Air India Faces Record $1.6 Billion Loss After Deadly Crash, Airspace Shutdowns

• Air India is projected to report a record annual loss of at least 150 billion rupees ($1.6 billion) for the year ending March 31.
• The losses are attributed to a deadly Dreamliner crash last year, which killed over 240 people, and Pakistan's airspace closure for Indian airlines.
• The crash and airspace issues wiped out previous progress towards profitability, with founders' target of operational break-even now out of reach.
• The mounting losses are a concern for joint venture partners Tata Group and Singapore Airlines Ltd., with Tata Group seeking a new CEO.
• Singapore Airlines, which holds a 25.1% stake, has seen its earnings impacted by Air India's performance despite aiding restructuring efforts.

Why It Matters: Air India faces a record $1.6 billion loss due to a fatal crash and airspace closures, hindering its turnaround.