Connect with us

Business

Bangkok Airways spending 3 billion on new planes, airports

Thaiger

Published 

 on 

PHOTO: A Bangkok Airways ATR 72-600 dwarfed by a Thai Airways ‘jumbo’

Bangkok Airways is putting aside 3 billion baht to finance two new aircraft to support their growing passenger numbers.

The local airline is forecasting a 3% growth in bums-on-seats this year to over 6 million passengers. The airline’s CEO says they hope to purchase two new ATR 72-600 aircraft. He says they’re hoping to take delivery before the middle of this year. The company is also spending some of the funds on maintenance and refurbishment of its single-aisle Airbus fleet.

Bangkok Airways already runs 40 aircraft – nine Airbus A320s, 15 Airbus A319s, 11 ATR 72-600s and 5 ATR 72-500s.

The airline is also set to spend on its three airports in Koh Samui, Trat and Sukhothai with a runway extension planned for its Trat operation.

For new routes, Bangkok Airways is poised to capitalize on its regional strengths, opening up flights into Cambodia, Laos, Myanmar and Vietnam.

For Vietnam, Bangkok Air already operates a Bangkok-Cam Ranh route with four flights a week after operating the Bangkok-Phu Quoc route with seven flights per week as well as Chiang Mai-Hanoi. It’s also increasing the frequency of the Bangkok-Da Nang route to 14 flights per week, up from seven flights.

The airline is also proposing increased flights for it’s Chiang Mai-Luang Prabang, Bangkok-Vientiane, Bangkok-Krabi and Bangkok-Mandalay routes.

Bangkok Airways spending 3 billion on new planes, airports | News by Thaiger

The ATR 72-600 is a popular plane for the leisure routes and smaller airports

 

Want more from the Thaiger family?

📱 Download our app on Android or iOS for instant updates on your mobile
📧 Subscribe to our daily email newsletter
👍 Like/Follow us on Facebook
🔔 Subscribe to or Join our YouTube channel for daily video updates

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *



Read more headlines, reports & breaking news in Koh Samui. Or catch up on your Thailand news.

If you have story ideas, a restaurant to review, an event to cover or an issue to discuss, contact The Thaiger editorial staff.

Business

No government bailout for Thai Airways

Maya Taylor

Published

on

PHOTO: Flickr/Christian Junker

A final meeting for a vote on the Thai Airways debt restructure program is set for this Wednesday after being postponed last week.

Meanwhile, a source close to those managing Thai Airways’ debt rehab plan, says the state is not obliged to provide a bailout for the national carrier. The Bangkok Post reports that Chansin Treenuchagron, acting president for Thai Airways, says no such commitment has been made and the government is not obliged to take on the role of loan guarantor for the airline.

It’s understood that last week, representatives from the Finance Ministry attended an online meeting between the airline’s debt rehab planners and its creditors. However, Chansin says the ministry’s presence at the meeting is not an indication that the state will provide a bailout.

According to the Bangkok Post report, a number of creditors are concerned about the carrier’s ability to secure a loan without assistance from the Finance Ministry, but Chansin insists that, should the rehab plan be judged financially viable, loan procurement will not be an issue, even with the airline’s huge debts.

A vote on the plan was delayed last week after more than 15 creditors asked for amendments to be made. It’s understood a number of creditors, including the Finance Ministry, are against the proposal of a no debt cut outlined in the plan. Thai Airways is understood to be trying to defer bond repayments.

The vote is now scheduled to take place on Wednesday, when the airline’s creditors will decide whether or not to accept the plan. The carrier needs more than 50% of its creditors to vote in favour of accepting, at which point, it will be submitted to the Central Bankruptcy Court for consideration. In the event of insufficient votes in favour of the plan, the national airline will be declared bankrupt.

SOURCE: Bangkok Post

 

Want more from the Thaiger family?

📱 Download our app on Android or iOS for instant updates on your mobile
📧 Subscribe to our daily email newsletter
👍 Like/Follow us on Facebook
🔔 Subscribe to or Join our YouTube channel for daily video updates

Continue Reading

Business

Thailand’s airlines call for meeting with PM to discuss soft loans

Maya Taylor

Published

on

PHOTO: Flickr/Ferry Octavian

The Thai Airlines Association says 7 member airlines are pushing for a meeting with PM Prayut Chan-o-cha to discuss the option of soft loans. The carriers have been seeking this financial aid for some time and have even decreased the amount being asked for, from 24 billion baht last year to 14 billion now.

The Bangkok Post reports that representatives from Thai AirAsia, Thai AirAsia X, Bangkok Airways, Nok Air, Thai Smile Airways, Thai Lion Air, and Thai Vietjet Air want to meet the PM to discuss what progress, if any, has been made on the matter. Wutthipong Prasartthong-osod from the TAA says the loans would give the carriers the support they desperately need at this time, with the association also putting the request in writing.

The airlines previously met with the PM last August to discuss the proposal, with the TAA pointing out the situation has worsened considerably since then. The ongoing third wave of Covid-19 has led to a reduction in flights, which has had a significant impact on revenue.

In addition, carriers are struggling to meet the ongoing costs of operating flights and paying workers. The association says the provision of soft loans would cushion the impact and help domestic tourism. It is also calling on the government to vaccinate airline staff, given that they are frontline workers in the tourism sector.

The Bangkok Post reports that in February, the Finance Minister, Arkhom Termpittayapaisith, was hesitant in his response to the call for soft loans, with the Export-Import Bank of Thailand asked to come up with some form of financial assistance for the airlines. According to Arkhom, providing soft loans or bringing such lending under the Public Service Account would mean his ministry having to take responsibility for the difference between market interest and soft loan interest.

SOURCE: Bangkok Post

 

Want more from the Thaiger family?

📱 Download our app on Android or iOS for instant updates on your mobile
📧 Subscribe to our daily email newsletter
👍 Like/Follow us on Facebook
🔔 Subscribe to or Join our YouTube channel for daily video updates

Continue Reading

Thailand

Thai Airways debt restructuring vote pushed back to next week

Thaiger

Published

on

Photo via Wikimedia

The vote on Thai Airways International’s debt restructuring plan has been postponed and rescheduled for next week. The national airline needs the plan to be approved by more than 50% of creditors to move forward with the bankruptcy proceedings.

The airline’s total liabilities stack up more than 300 billion baht. With flight suspensions over the past year brought on by travel restrictions to prevent the spread of Covid-19, Thai Airways lost 141 billion baht last year.

Thai Airways has proposed a 3-year freeze on the loan repayments as well as a 6-year delay on bond repayments. The airline is also pushing to have unpaid interest on loans waived.

Debtholders discussed the plan during a video conference today and decided to delay the vote, a legal advisor to Thai Airways told reporters. Back in March, Thailand’s Finance Minister, which is the airline’s largest shareholder, had implied that they back the debt restructuring plan. An attorney representing the creditors had also said many favoured the proposed restructuring.

SOURCE: Bloomberg

 

Want more from the Thaiger family?

📱 Download our app on Android or iOS for instant updates on your mobile
📧 Subscribe to our daily email newsletter
👍 Like/Follow us on Facebook
🔔 Subscribe to or Join our YouTube channel for daily video updates

Continue Reading

Follow Thaiger by email:

Thailand3 months ago

Thailand News Today | Thai Airways in rehab, All go for Songkran | March 4

Tourism3 months ago

Phuket’s nightlife. Yes, bars and clubs are still open | VIDEO

Phuket3 months ago

Thailand News Today | Covid passport talks, Thai Airways heads to court | March 2

Tourism3 months ago

Phuket Thai food treats you need to try | VIDEO

Thailand3 months ago

Thailand News Today | Bars, pubs and restaurants ‘sort of’ back to normal | Feb 23

Tourism3 months ago

In search of Cat & Dog Cafés in Phuket Town | VIDEO

Thailand4 months ago

Thailand News Today | Gambling crackdown, Seafood market to reopen, Vlogger challenge | Jan 21

Thailand4 months ago

Thailand News Today | Covid testing for visas, Business impact, Vaccine approval | January 19

Thailand4 months ago

Thailand News Today | Weekend Bangkok bombs, Thailand fires, Covid update | January 18

Thailand4 months ago

Thailand News Today | Stray car on runway, Indonesian quake, 300 baht tourist fee | January 15

Thailand4 months ago

Thailand News Today | Governor off respirator, sex-trafficking arrest, condo prices falling | January 14

Thailand4 months ago

Thailand News Today | Chinese vaccine, Thailand ‘drug hub’, Covid update | January 13

Thailand4 months ago

Thailand News Today | Bangkok may ease restrictions, Phuket bar curfew, Vaccine roll out | January 12

Thailand4 months ago

Thailand News Today | Covid latest, Cockfights closed down, Bryde’s Whale beached | January 11

Thailand4 months ago

Thailand News Today | Southern floods, Face mask fines, Thai Air Asia woes | January 8

Trending