Image: Stanley Howe · CC BY-SA 2.0 · via Wikimedia Commons
Former Ethiopian Airlines CEO Tewolde Gebremariam appointed as Air India CEO
Air India has chosen Tewolde Gebremariam, ex-CEO of Ethiopian Airlines, to lead its next phase of growth following a global search for proven airline turnaround expertise.
The gist
Tewolde Gebremariam, renowned for expanding Ethiopian Airlines, will now take over as Air India’s CEO to drive its growth and global competitiveness.
Continuing coverage
All Air India →Air India announced the appointment of Tewolde Gebremariam as its new Chief Executive Officer on August 5, 2025, marking a pivotal leadership change for the carrier. Gebremariam, recognized internationally for his tenure at Ethiopian Airlines, comes in to steer Air India through the critical next phase of its transformation and expansion after privatization. The airline praised his strong track record in managing large-scale airline operations and complex turnarounds, highlighting him as the ideal candidate to drive Air India's growth ambitions.
Gebremariam served as the CEO of Ethiopian Airlines Group from January 2011 until March 2022. Under his leadership, Ethiopian Airlines underwent a dramatic transformation, evolving from a regional carrier to Africa’s largest and most profitable airline. The group’s revenue increased more than fourfold during his tenure, while its fleet size nearly tripled, turning Ethiopian Airlines into a model of success on the continent and globally.
A key factor in Gebremariam’s selection was his experience managing complex operational landscapes and spearheading cultural transformations within airline groups. Air India emphasized his skills in establishing competitive global hubs and developing world-class maintenance, repair, and overhaul (MRO) facilities as critical assets the airline intends to leverage. His background in expanding aviation training infrastructure aligns with Air India’s goals of enhancing operational efficiency and workforce expertise.
The transition in Air India’s leadership follows the resignation of Campbell Wilson, who had led the airline since its acquisition by the Tata Group. Wilson’s tenure was marked by rapid restructuring and post-privatization integration, setting the foundation for Air India’s stabilization. With this phase complete, the airline now aims to shift from consolidation to expansion, a challenge that Gebremariam is expected to lead with his extensive turnaround experience.
N. Chandrasekaran, Chairman of Tata Sons and Air India, noted that with the initial stages of stabilization and fleet commitments in place under Wilson’s leadership, it is the right moment for a leader of Gebremariam’s caliber to steer the company forward. The chairman underlined Gebremariam’s record of building one of the world’s most efficient and profitable airline groups as an important reason for his appointment.
Gebremariam described his new role as a profound honor, expressing excitement about the opportunity to lead Air India at this historic juncture. He acknowledged Air India’s enduring legacy and emphasized the unique potential to build a world-class global airline that resonates with India’s growing economic stature on the world stage. His vision promises a renewed focus on global competitiveness and operational excellence.
The strategic appointment arrives as Air India prepares to extend its reach internationally and modernize its fleet and services. The airline’s leadership transition signifies a clear intent to not only capitalize on India’s economic momentum but also to enhance the quality and scope of its offerings to customers worldwide.
Under Gebremariam’s guidance, Ethiopian Airlines developed a reputation for innovation, financial discipline, and operational efficiency, attributes that Air India seeks to emulate as it expands. The airline’s endorsement of his abilities suggests a path forward that blends robust financial growth with improved service standards and infrastructure development.
This leadership change is a critical milestone in Air India’s post-privatization journey, aligning the airline’s strategic direction with proven global expertise. Gebremariam’s appointment is anticipated to position Air India more firmly on the international aviation map, with particular emphasis on scalable operations, hub development, and maintenance infrastructure upgrades.
Frequently asked questions
- Who is Tewolde Gebremariam and what is his background?
- Tewolde Gebremariam is the former CEO of Ethiopian Airlines, serving from 2011 to 2022, known for significantly expanding the airline’s revenue and fleet size and building it into Africa’s largest and most profitable carrier.
- What are Air India’s reasons for appointing Gebremariam as CEO?
- Air India appointed Gebremariam due to his proven expertise in managing large-scale airline turnarounds, experience in operational complexity, cultural transformation, and building competitive global hubs alongside world-class MRO and aviation training infrastructure.
- What leadership changes has Air India recently undergone?
- Campbell Wilson resigned as Air India CEO in April 2026 after nearly four years leading the airline’s post-privatization transformation, with Gebremariam now taking over to guide the airline into its next growth phase.
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Chinese Lessor Begins Repossession of Four Boeing 737-8 Jets from SpiceJet
A Chinese aircraft lessor has started the process to repossess four Boeing 737-8 jets from Indian low-cost carrier SpiceJet. The move highlights the budget airline’s ongoing financial and operational challenges in a competitive Indian aviation market. ezstandalone.cmd.push(function () { ezstandalone.showAds(119); }); The Directorate General of Civil Aviation (DGCA) published deregistration notices under the Irrevocable Deregistration and Export Request Authorisation (IDERA) framework. Two Dublin-based entities, Sky High LXXVIII Leasing Co. Ltd and Sky High LXXX Leasing Co. Ltd — both linked to ICBC Financial Leasing — filed the applications. The four grounded Boeing 737-8 aircraft are located in Delhi, Hyderabad, and Amritsar. ezstandalone.cmd.push(function () { ezstandalone.showAds(127); }); SpiceJet’s Response and Operational Impact SpiceJet stated that the repossession would not disrupt its current flight operations. The aircraft have remained out of service for an extended period due to widespread industry issues with CFM LEAP-1B engines. The airline noted that deregistration would remove ongoing lease costs for these inactive planes while talks with the lessor and engine manufacturer continue. ezstandalone.cmd.push(function () { ezstandalone.showAds(128); }); This development serves as an early test of India’s improved aircraft repossession rules. Legislative changes in 2024 strengthened protections for lessors, making the IDERA process more efficient for recovering assets after payment defaults. SpiceJet’s Turbulent Journey SpiceJet, one of India’s pioneering low-cost carriers, was co-founded by Ajay Singh in 2005 with a mission to make air travel affordable for millions of Indians. ezstandalone.cmd.push(function () { ezstandalone.showAds(129); }); Singh exited in 2010 but returned in 2015 when the airline faced near-collapse. Under his leadership, SpiceJet achieved multiple profitable quarters and high load factors, establishing itself as a key player in India’s dynamic aviation sector. Photo Credit: Anna Zvereva, CC BY-SA 2.0, via Wikimedia Commons The airline operates a mixed fleet of Boeing 737 variants and Bombardier Q400 turboprops. As of mid-2026, reports indicate SpiceJet’s active fleet has shrunk significantly, with some sources citing around 11 to 21 operational aircraft amid broader challenges. Many aircraft remain grounded, and the carrier has scaled back schedules while focusing on debt resolution and fleet revival. SpiceJet has reported substantial accumulated losses, estimated in thousands of crores, with current liabilities exceeding assets in recent periods. ezstandalone.cmd.push(function () { ezstandalone.showAds(130); }); Despite this, the airline has outlined ambitious recovery plans, targeting a fleet of 55-100 aircraft by late 2026 through inductions, reactivations, and capital infusions from promoters, including Chairman Ajay Singh. Broader Industry Context India’s aviation sector has grown rapidly, but budget carriers face intense pressure from high fuel costs, rupee fluctuations, intense competition from IndiGo and Akasa Air, and maintenance backlogs. SpiceJet’s situation reflects these headwinds, with many aircraft parked due to engine issues affecting the global 737 MAX family. ezstandalone.cmd.push(function () { ezstandalone.showAds(131); }); The repossession case underscores the importance of timely lease payments and strong lessor protections. Successful implementation of the 2024 reforms could boost confidence among international financiers and lessors in the Indian market, potentially easing future aircraft acquisitions for domestic carriers. Looking Ahead SpiceJet continues negotiations to resolve the lease dispute and address engine-related grounding. The airline aims to restore grounded Boeing aircraft and expand capacity for peak seasons. Success depends on securing fresh capital, improving cash flow, and navigating regulatory and supplier discussions effectively. For passengers, SpiceJet remains a familiar low-fare option on domestic and select regional routes. However, frequent schedule changes and reduced capacity have tested customer loyalty in recent times. ezstandalone.cmd.push(function () { ezstandalone.showAds(132); }); This latest development with ICBC-linked lessors adds to the pressure on SpiceJet’s management. As India’s aviation market expands, the airline’s ability to stabilize operations, reduce debt, and grow sustainably will determine its long-term role in the sector. Industry observers will closely monitor how SpiceJet manages this and other creditor issues in the coming months.
EasyJet takeover sparks fleet flexibility debate among European low-cost carriers
easyJet has been garnering news headlines recently, in the wake of the low-cost carrier gaining the attention of two US companies for a possible takeover. Just as it seemed that Castlelake was crossing the finishing line in acquiring easyJet , a rival offer from US private equity firm Apollo blew the situation wide open . As it stands, Apollo has made what appears to be a superior proposal, but Castlelake still has time to come back with an increased offer. In his latest article for AeroTime, the Founder and Chairman of the Board of Directors of Avia Solutions Group , Gediminas Ziemelis, offers his thoughts on how easyJet could benefit from a more flexible fleet model in the future and why this could be a watershed moment for European LCCs (below). Avia Solutions Group The appeal of easyJet as an acquisition target is rooted in the potential inefficiency of how it and many of its peers own and manage their fleets. ACMI (wet leasing) can be a key vehicle in aiding a future owner's, easyJet's and other European LCCs' search for net profitability. easyJet is currently subject to a possible offer process. No firm offer has yet been announced, and the analysis below reflects an independent ASG scenario rather than any announced intention of easyJet or a potential bidder. By capitalizing on the inherent seasonality of European travel, ASG analysis indicates that, on the assumptions used, the airline could divest 73 of its owned aircraft, potentially generating approximately $2.3 billion in gross disposal proceeds before transaction costs, taxes, debt repayment and other implementation costs. Fundamentally, the headline case is that capital tied up in winter aircraft acts as a drag on return on invested capital. Maintaining a large fleet that easyJet owns and long-term leases year-round, despite significant seasonal drops in demand, is an inefficient use of capital. For example, easyJet's FY25 performance illustrates the classic seasonal nature of the airline industry. During the winter months, the non-peak first half of the fiscal year, the carrier recorded a headline loss before tax of £394 million. However, during the summer peak, it generated an implied profit of £1,059 million between April and September, concluding the full fiscal year with a headline profit before tax of £665 million. Currently, the airline's fleet (as of 31 March 2026, easyJet's total fleet comprised 356 aircraft with 208 owned) implicitly holds enough capacity for peak summer demand, meaning a large portion of its fleet is under-utilized and financially burdensome during the winter. A more efficient strategy would involve rightsizing the permanent fleet to meet only the winter base-case, whilst utilizing short-term wet leasing (ACMI) to cover summer peaks. By trading fixed, long-term capital expenditure for flexible operating costs, the airline could potentially better align its capacity with actual market demand. A rightsizing strategy of this kind could yield a net profit uplift in the region of $250 million, according to ASG analysis – on the assumption that the airline replaces year-round capital depreciation with variable, seasonal expenditure. London Gatwick Airport Fundamentally, using ACMI replaces heavy, idle fixed costs with a flexible operating structure. In short, this strategy trades the cost of maintaining lower-utilization winter capacity for a lean, scalable operation better suited to modern market volatility. Why this could be a watershed moment for European LCCs Thirty-one years after being launched, easyJet's current possible offer process could spur another revolution in the European airline market. This time it will be on how fleets are owned/managed, rather than lower fares. If a future owner, or easyJet itself, were to unlock capital by adjusting/selling off the fleet/orderbook, it could force a wider debate across the sector. There is currently no public indication that easyJet or any potential bidder has decided to implement the specific ACMI strategy described in this article. Rivals sticking with high capital expenditure and long-term, peak-ready fleets may face more shareholder scrutiny over costs required to maintain assets year-round that often sit idle during winter. This is particularly true against the backdrop of Europe's aviation market increased seasonality. Transitioning toward fleet management with ACMI (Aircraft, Crew, Maintenance, and Insurance) or wet leasing as a core strategy allows airlines to trade fixed capital expenditure for operating expenditure. This may mitigate the winter weakness historically seen on European airline balance sheets. Furthermore, it offers the agility to scale capacity flexibly without assuming the multi-year risk of aircraft acquisition or long-term leases. The most competitive European low-cost carriers of the future, particularly those that remain in the public markets, will likely be those that manage their fleets as portfolios of risk/seasonality rather than long term Capex. RELATED easyJet takeover thrown wide open by rival $7.6 billion US offer
Croatia Airlines sees losses soar to €50 million amid fleet transition and fuel cost pressures
Carrier dealing with complexity of fleet transition as it withdraws older models and shifts to A220s. Croatia Airlines' losses deepened substantially over the first half of this year, as the impact of fuel prices and exchange rates added to the cost burden associated with its fleet transition. It turned in an operating loss of €36.8 million ($42.4 million), which was 73% worse than the previous half-year, while its net loss came close to trebling at around €50 million. Although passenger numbers increased by more than 20% in the first five months – before declining in June – the improved revenue performance was checked by a "significant increase" in fuel prices, says the carrier. Croatia Airlines adds that negative exchange rates contributed heavily to a €16 million rise in net financing costs. The airline is progressing with a fleet modernisation, shifting to the Airbus A220, but is still feeling the effect of transition costs as it introduces the new type. It expects to have 14 of the 15 planned A220 in its fleet by the end of this year – with seven arriving in 2026 – while it gradually withdraws older aircraft from service. Croatia Airlines says the "simultaneous management" of a fleet with three different aircraft types presents an "additional challenge". "Such a structure requires precise resource planning, adaptation of operational procedures [and] increased co-ordination between organisational units," it states. "At the same time, the process of preparing aircraft for retirement from the fleet places an additional burden on the technical sector." Over the course of this year it aims to remove two De Havilland Dash 8-400s, an Airbus A320 and an A319. Two Dash 8s and an A320 were taken out last year, and returned to owners in the first half of 2026. "The fleet renewal project represents the largest strategic step forward in the history of Croatia Airlines and is crucial for the long-term sustainable development of the company," the carrier says. At the half-year mark its operational fleet comprised 15 aircraft: nine A220s, four A319s and two Dash 8s. The airline has also leased an ATR 72 since April to maintain its planned schedule. One of Croatia Airlines' A220 was subsequently damaged in a runway excursion in May, adding to the company's pressures. Croatia Airlines is also having to cover lease costs for two Dash 8s – registered 9A-CQC and -CQD – whose return to their owner has been delayed, owing to limited maintenance capacity and parts availability.
IndiGo suspends London Heathrow and shifts Amsterdam to A321XLR as it awaits Airbus A350 widebodies
Indian carrier suspends London route while switching Amsterdam service to A321XLRs. Indian carrier IndiGo will axe its London Heathrow service until its first Airbus A350-900s arrive, following the decision to terminate its Boeing 787 damp-lease with Norse Atlantic. The end of the damp-lease agreement means all IndiGo widebody operations will cease from 25 October. IndiGo says it will deploy Airbus A321XLRs on the Mumbai-Amsterdam route instead. The carrier adds that it will "temporarily discontinue" its Heathrow service until it receives A350s. IndiGo has 60 of the widebody twinjet type on order and, at the time of the agreements, expected its first to arrive in 2027. The carrier says it entered the Norse damp-lease arrangement, initially covering six 787-9s, to gain "fast-track learning" and "establish brand presence" before the introduction of A350s. "This enabled IndiGo to commence services to markets in the UK and Europe, while accelerating the development of the operational capabilities, commercial expertise and customer insights required to support its future widebody ambitions," it adds. As a result of the damp-lease arrangement, it says, the airline has been able to build "critical competencies" in long-haul network planning, crew operations, maintenance, and other areas. But it says the operating environment – particularly in regard to airspace closures and fuel prices – has "changed considerably" and led to a "significant escalation" in costs. It had already opted to return one of the six 787s to Norse. "Volatility across aviation markets has reduced industry-wide risk appetite – prompting a comprehensive review of the project and evaluation of possible alternative solutions," it adds. IndiGo senior vice-president for planning Abhijit Dasgupta says the situation necessitates a "prudent deployment" of resources in the short term, even as the carrier maintains its long-term objectives. "This [damp-lease] project was never solely about serving specific routes but laying the foundation for our long-haul operations in future," he adds. "As we enter the next phase of our growth, we remain firmly committed to expanding our global footprint across key mid- and long-haul markets."
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