The government is understood to have approached industrialist Ratan Tata to head an advisory board of the ailing Air India.
Sources in the know said that Civil Aviation Minister Praful Patel and Tata had met recently, and the Minister is believed to have sought his help in turning around the cash- strapped national carrier.
No official confirmation could be obtained on whether Tata has agreed to the government's proposal.
Air India is working on a plan for the return of leased aircraft at the earliest, sources said. A team has been set up to work on the leased contracts aimed at redelivery of leased planes within a week.
The sources also said Air India will close down its offices at overseas locations where the carrier does not operate.
Heads of strategic units concerning cargo, MRO and other related businesses will also be preparing a cost-cutting plan. Action plans would be drawn up by these officials to determine deliverables in the next 6 months, 12 months and 18 months.
All these plans would be submitted to the government to bring about a financial restructuring of the carrier, the sources said.
The government had yesterday announced an overhaul of its top management within 30 days by inducting seven independent directors with track record on the airline's board.
"We are going to bring high quality people of great integrity and people with a proven track record in business," Patel had said.
The names doing rounds for inclusion in the AI Board include National Knowledge Commission chairman Sam Pitroda, Infosys mentor and chairman N R Narayana Murthy and TCS CMD S Ramadorai.
Official sources had said the seven independent directors who are to be inducted would be of international repute.
Apart from revamping the board, the government is also mulling "partial disinvestment" of the state-owned carrier in the near future, the sources said, adding that the plan is to ensure a full turnaround for the airline in the next 24 months.