What Happened
Air India Transformation Proves Costly for Singapore Airlines
Singapore Airlines has recorded a nearly SG$1 billion loss on its investment in Air India, less than two years after completing the deal. The loss is attributed to higher costs, operational disruption, and major fleet and network changes at Air India. The airline faces challenges including higher jet fuel costs, supply chain disruptions, and a weaker Indian rupee. Singapore Airlines may be required to provide more capital to support Air India’s transformation, according to Aviation A2Z.