Thai Airways backs Nok Air’s purchase of new aircraft

[webfact]

Thai Airways backs Nok Air’s purchase of new aircraft

By THE NATION

 

 

Thai Airways (THAI) recently announced that it is lending strong support to Nok Air’s purchase of new aircraft, president of the national airline Sumeth Damrongchaitham said.

 

He added that a meeting among top executives of THAI and its allies, comprising Thai Smile and Nok Air, was held to seek greater collaboration and assistance in many areas, such as marketing and route arrangements. 

 

“We will collaborate with Nok Air, which is facing management problems, and will help it rebuild confidence, including negotiations with trading partners.

 

Our collaboration will also offer THAI’s credibility when it comes to Nok Air purchasing new aircraft,” Sumeth said, adding that the assistance was not financial in nature. 

 

As for progress in THAI’s plans to acquire 30 aircraft worth a total of Bt150 billion, Sumeth said the airline has already submitted the proposal to the Transport Ministry. 

 

“We need to wait for the new Cabinet to approve the plan. Though the delay in the purchase of new aircraft will have a negative impact on THAI’s revenue, we are adjusting some business plans to ease the impact, such as renting new aircraft,” Sumeth said. 

 

“At the group meeting, we also discussed the obstacles faced by THAI, especially unfair practices related to the ‘open skies’ policy. Thailand has opened its skies to foreign airlines, but we have found that many countries do not open their skies to Thai airlines. This is an unfair practice and will have a negative impact on our tourism industry,” he said. 

 

Sumeth added that THAI, along with other local airlines, will soon hold a forum to seek solutions to such “open skies” problems and will come up with proposals for the Transport Ministry and other related agencies so the problem can be solved as soon as possible.

 

Source: http://www.nationthailand.com/business/30372411

 

-- © Copyright The Nation Thailand  2019-07-08

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[wisperone]

Sounds like Nok Air is gonna get some "atta boys" to help boost it along.

 

The reason countries are offering "open skies" to Thai Airways is because they are not up to the other countries standards for flying there. Time to get your act together or continue to flounder.

[Cadbury]

2 hours ago, webfact said:

“We will collaborate with Nok Air, which is facing management problems, and will help it rebuild confidence, including negotiations with trading partners.

Surely the President of Thai Airways jests when he talk about Nok Air having management problems. Who is he to cast stones about the management of other airlines even though TA has a significant shareholding in Nok Air.

Thai Airways itself is a monument to financial failure and mismanagement and has the largest debt of any international airline. Having the Thai government as a 51% shareholder would be a handicap in itself.

Last year it lost a massive 11.6 billion baht (US$365 million), up from a loss of 2.1 billion baht (US$66 million) in the previous year. 

One might conclude that Thai Airways should be the last ones to be giving advice and support to Nok Air.

 

This story gives an interesting insight into the failings of Thai Airways.

I love this bit......"domestic flights are held back on the tarmac for government officials running late. The cost impact is phenomenal". Can't you just image.

 

http://bakertilly.co.th/insights/thai-airways-drastic-action-required/

 

[ezzra]

What a joke, the scourge of Thai airways is that they never stop ordering new planes by the billions while hemorrhaging money year after year and tethering on the verge of insolvency, so their idea to help Nok is sticking to their motto: when in trouble, buy more planes...

[tracker1]

Firstly there has to be a Government ! secondly no doubt corruption that will be resolved by the New Government ! Thirdly to expensive and cut backs on baggage allowances all help to the demise !

[connda]

Help them purchase a new fleet of B737 MAX?

[SOTIRIOS]

...not clear where this relationship begins and ends....???

 

...shouldn't it be...???

[Burma Bill]

45 minutes ago, connda said:

Help them purchase a new fleet of B737 MAX?

My thoughts as well - at a special "knock down" price!!

[Guest Jerry787]

3 flights with Nok air in 2019
2 flights delay over 1 and 1/2 hours, never took them anymore.
 

[Srikcir]

6 hours ago, tracker1 said:

Firstly there has to be a Government ! secondly no doubt corruption that will be resolved by the New Government !

There's nothing left to be resolved.

Prayut during his five-year term as PM created a Super Committee to oversee the management of all state-owned enterprises with the PM as Chairman. With the March 2019 election Prayut continues as PM. I'm sure he has already made the necessary "arrangements" to achieve successful government oversight of enterprises such as state-owned Thai Airways.