Airports of Thailand offers discount for airlines as passengers drop

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Airports of Thailand offers discount for airlines as passengers drop

 

FILE PHOTO: Chinese students living in Thailand wear protective suits as a measure of protection against the coronavirus disease (COVID-19) as they walk at the Suvarnabhumi Airport before boarding a repatriation flight, in Bangkok, Thailand April 21, 2020. REUTERS/Jorge Silva

 

BANGKOK (Reuters) - State-owned Airports of Thailand Pcl <AOT.BK> said on Thursday it would offer new measures for airlines and businesses to mitigate the impact of the decline in flights and passengers amid the coronavirus outbreak.

 

Airports of Thailand (AOT) said it would offer a 50% reduction in rents, terminal fees and landing charges from April to December for airlines and businesses.

 

The announcement comes after AOT warned on Wednesday that it expected passenger traffic to drop by 53% for the fiscal year ending in September.

 

Airlines and concessionaires that suspended operations will not owe rent or concession charges for 9 months or until operations resumed, AOT said.

 

Duty-free retailer King Power, which holds the majority of duty-free and commercial concessions at airports, has closed its stores and is selling non-duty-free products online.

 

AOT operates six airports, including the country's largest international hub, Suvarnabhumi Airport, and saw nearly 900,000 flights and 141.8 million passengers in the year that ended September 2019, booking profits of 25 billion baht ($773.5 million).

 

Its airport on the resort island of Phuket is closed.

 

Thailand has reported 2,839 cases and 50 deaths from the coronavirus.

 

The country's aviation regulator in early April imposed a ban on passenger flights until the end of the month to curb the spread of the virus. The government had already banned the entry of non-resident foreigners in March.

 

Southeast Asia's second-largest economy stands to lose 1.3 trillion baht, most of it in the tourism sector.

 

More than 2.57 million people have been reported to be infected by the coronavirus globally, and 178,574 have died, according to a Reuters tally.

($1 = 32.3200 baht)

 

(Reporting by Chayut Setboonsarng and Panarat Thepgumpanat)

 

-- © Copyright Reuters 2020-04-23

 

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[xtof2]

With these great discounts on airport fees, I am sure that all airlines are going to queue on the tarmac waiting restlessly in the hope that there will get a gate allocated. 

Even with no passengers on board.

 

[webfact]

AOT approves reduction in rates for concessionaires, airlines

By THE NATION

 

 

Airports of Thailand (AOT) will provide temporary financial relief to concessionaires and airlines affected by the new coronavirus (Covid-10) outbreak by reducing rents and charges.

 

The decision was made at a meeting of the AOT board on Wednesday (April 22).

 

According to its filing to the Stock Exchange of Thailand on Thursday, the move is aimed at mitigating impacts of the decline in flight and passenger numbers and customers for the concessionaires and airlines.

 

The measures include reduction of office and state property rents, terminal and building service charges and fixed monthly concession charges for concessionaires and airlines.

 

In case a concessionaire or airline submits a letter to temporarily suspend operations or AOT’s airports are temporarily closed, AOT will exempt the collection of office and state property rents, terminal and building service charges and fixed monthly concession charges for nine months, from April 1 to December 31 or until the date the concessionaires and airlines inform their resumption of operations, whichever comes first.

 

AOT will offer a 50 per cent reduction in office and state property rents to all tenants for nine months, from April 1 to December 31 for concessionaires and airlines who still operate at airports under AOT’s supervision.

 

It will collect terminal and building service charges at the rate of 15 per cent of office and state property rents which have been reduced by 50 per cent.

 

For airlines that request suspension of operations or in case airports under AOT’s supervision are temporarily closed, AOT will exempt parking charges for nine months, from April 1 to December 31, subject to approval by the Minister of Transport.

 

It will offer a 50 per cent reduction in landing charges and a 50 per cent reduction in parking charges for airlines that are still operating flights on all domestic and international routes for nine months, from April 1 to December 31.

 

Charter flights will be eligible for such assistance measures from May 1 onwards.

 

AOT will also adjust the rates of fixed concession charges and minimum guarantees for commercial activities operated at airports under AOT’s supervision after the end date of assistance measures for the concessionaires following the AOT board resolution on February 19.

 

Related story:

Additional assistance measures for concessionaires and airlines affected by the Coronavirus disease 2019 (COVID-19) outbreak at airports under supervision of Airports of Thailand.

 

-- © Copyright The Nation Thailand 2020-04-24

 

- Whatever you're going through, the Samaritans are here for you

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[PETERTHEEATER]

King Power.........Duty Free..........an oxymoron if ever there was one......

 

[mtls2005]

None of these actions will positively influence tourists to fly to Thailand. Other than time, nothing will.

[Mikeasq60]

Does anyone here have an idea when flights into and out of Bangkok will resume so I can see my Thai wife from Buriram? Why isnt Thai govt taking into consideration their are those outside of Thailand who want to be with their families inside of Thailand? Ive read here that thoses virus numbers have fallen drastically, their already talking a Chinese tourist boom in August so they must have plans to reopen!

[lujanit]

Wouldn’t make much difference if AOT reduced charges by 100%. Very few flights internationally anyway. 

[bkk6060]

34 minutes ago, Mikeasq60 said:

taking into consideration their are those outside of Thailand who want to be with their families inside of Thailand?

Which is exactly why it is closed.

[apophyss]

Almost company are now borrowing money,

so when flight come back, they have to pay back

and will no have full flight (maybe 66% max for security)

so flight ticket price will increase.

 

 

Customers will not see this discount.

[joskeshake]

a few times a week , I have update from skyscanner for my flight BKK-Brussels and back that has been cancelled, but a few other companies still fly ? and price before with Emirates was 495€ and now some other companies are the cheapest with 832€ and still not over yet.