Air India CEO: Preliminary Crash Findings Show No Fault with Aircraft, Engines, or Operations

Campbell Wilson, Managing Director and CEO of Air India, stated on Wednesday that the preliminary findings from the Aircraft Accident Investigation Bureau (AAIB) concerning the Ahmedabad plane crash on June 12 indicated no issues with the aircraft, its engines, or the airline's operational practices. The accident, which resulted in 270 fatalities, involved an Air India Boeing 787 aircraft. The AAIB's initial report highlighted that the plane's fuel switches were disengaged shortly after takeoff, and there was confusion between the two pilots regarding who performed this action. Crucially, the AAIB has not issued any directives to Boeing or engine maker General Electric, suggesting no critical equipment faults were identified. However, industry experts and airline officials have criticized the AAIB for selectively releasing a single sentence from the cockpit voice recorder, potentially creating suspicion of pilot suicide without providing a complete picture. Separately, Air India has faced scrutiny from the Directorate General of Civil Aviation (DGCA), which issued show cause notices to several senior officials for various violations. Air India has also mobilized significant resources to support the victims' families, including setting up a trust and providing ex-gratia and interim compensation payments.

Impact: This news is significant for Air India as it addresses the cause of a major accident. While the preliminary findings are favorable regarding the aircraft and engines, the DGCA notices point to potential internal operational lapses. This could affect investor sentiment towards Air India and its parent, Tata Sons, impacting its reputation and potentially future investment in the airline. The broader aviation sector in India might also see increased regulatory oversight or investor caution. The findings, if substantiated, would also affect the public perception of air travel safety. Rating: 7/10

Difficult terms: Aircraft Accident Investigation Bureau (AAIB): A governmental agency responsible for investigating aviation accidents in India. Directorate General of Civil Aviation (DGCA): India's civil aviation regulatory body, overseeing safety standards, airline operations, and air traffic control. Preliminary findings: Initial conclusions or results from an investigation before a final report is completed. Ex-gratia payments: Voluntary payments made as compensation for loss or injury, not necessarily legally mandated. Interim compensation: Provisional payments made to affected parties while the final compensation amount is being determined.