Sindhu Bhattacharya

New Delhi: Raghu Menon is tipped to take charge as chairman and managing director of the Air-India-Indian Airlines combine Nacil.

Menon is currently the special secretary and financial advisor to the civil aviation ministry and would succeed V Thulasidas, who super-annuates on March 31.

The services of Nacil joint managing director Vishwapati Trivedi, who also completes his tenure on the same day, may not be extended.

Menon’s selection comes as a surprise as he had bowed out of the race for the CMD’s post many weeks back. He would take charge at a time when the airline is still suffering from merger pangs and is making huge losses.

In 2006-07, Air India and Indian Airlines declared net losses of Rs 447.93 crore and Rs 240.29 crore, respectively, but the current fiscal would be the first after the two merged to form Nacil. Industry experts are now predicting a much higher combined net loss.

Already, the uncertainty over the selection of a head for Nacil has delayed finalisation of an ambitious fleet expansion programme and decision on consolidated flying schedule for the two airlines.

Menon would also have to strike a fine balance between keeping the balance sheet healthy and employees of the two erstwhile separate carriers happy.

Source : DNA