Thai Airways debt restructuring vote pushed back to next week

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

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Tanutam Thawan

Local Thai journalist speaking fluent Thai and English. Tanutam studied in Khon Kaen before attending Bangkok’s Chulalongkhorn University.


  1. Easy math: 300 – 141 = 159 (I did that in my head ? ). Which means that the combined [gross] loss was bigger pre-c19.

    That the depth holders and creditors want their money back, doesn’t even needs a comment … but to think that they [once again] wants to take another try in catching falling knife, with their bare hands YEAH I don’t think so

    So if not the PM and his gang [as so often before] does a 180 turn and buy back their shares for control, then who in their right mind, with the cash thinks this is the best investment opportunity, i.e. ‘money-maker’, they can find. As THAI didn’t manage to have a balance sheet with positive numbers in the bottom row pre-C19, sure they wont post

  2. THAI’s restructuring vote pushed back to next week?

    Well, it’s only the ‘hanging on by its teeth’ national airline . . . so what?

    THAI, like the country’s recent governments that until recently ‘controlled’ it, are done for, well and truly done for.

    It’s an attitude thing, which will mean little, if anything, to either the airline’s interim management or this present circus of a government.

  3. how ever it is presented the thai government still owns the vast majority of the dead whales carcass.what ever way any of the other creditors decide to vote it will make absolutely no difference to the final outcome.the fact that they require even more time to make this very simple decision is astounding even by local standards.amazing thailand!

  4. The spectacular rise and fall of tg and the underlying reasons mirror what goes on in the whole whole country to perfection.
    It is the best economic and social barometer in thailand and has been for decades.
    Proceedings over the course of the next week or two will be well worth following closely for all.
    You have been warned!

  5. What a debacle! Finance Ministry holds just under 50% so whatever the government says, goes. It’s simply too late for rehab. Proceeding started at the worst possible time. No one is going to buy those grounded planes. Whether THAI reverts to being a State Enterprise or not, it will be propped up yet again, run like the bloated bureaucracy it has always been, and will be insolvent again before too long. THAI simply can’t compete w/ truly private companies. I’ll take the plebeian surliness of Air Asia over the patrician surliness of THAI any day.

  6. Wow! I’m amazed at all the negative comments which all feels like personal vindictive attacks toward this company. As a business man, if I were to have the ability to take over the whole thai airways brand I would do it in a heart beat. Why?? I can think of endless potential this very established and pretigious this company has. With a well run restructuring and efficient management, profitability is possible in the very near future and beyond. This is not just another company in thailand but it’s a national simple of pride. If you don’t protect your own, what else do you have to protect?

  7. @Nam H – Several businessmen have tried and failed already over the years, defeated by the State Enterprise system, intransigent unions, grifters, grafters, parasites, back slappers and back scratchers.

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