Thai Airways asks German, Swiss courts for asset protection

 

FILE PHOTO: A Thai Airways Boeing 777-300 airplane approaches to land at Changi International Airport in Singapore June 10, 2018. REUTERS/Tim Chong

 

BANGKOK (Reuters) - Thai Airways <THAI.BK> has asked German and Swiss courts to protect its planes, deposit accounts and other assets overseas from creditors, a government spokeswoman said.

 

The airline, which is under bankruptcy court protection in Thailand, will seek the same recognition from courts in other countries, including Japan and the United States, Naruemon Pinyosinwat told reporters on Tuesday.

 

A legal adviser to Thai Airways, which will have a first hearing on Aug. 17, has said the timeframe for its rehabilitation may be up to seven years.

 

-- © Copyright Reuters 2020-06-09

 

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Just now, snoop1130 said:

Thai Airways asks German, Swiss courts for asset protection

Yes, we promise to pay back the money one day. 

6 hours ago, rkidlad said:

Yes, we promise to pay back the money one day. 

More interesting is the German connection

You don't need to be a Rocket Scientist to figure this one out, but it's wrapped up in things we can't discuss

 

15 minutes ago, bodga said:

6 hours ago, rkidlad said:

Yes, we promise to pay back the money one day. 

More interesting is the German connection

 

Questionable to say the least.... Thailand failed to pay a German company [Dywidag] for building the toll road to Don Muang Airport.

 

After 'someones' plane was held back in 2011 Thailand agreed provided a 'Bank Guarantee letter' so that Germany would release the plane.

Did Thailand ever pay the 38 million Euro's debt to Germany [the German company - which ultimately ended up insolvent as a result of the failed payment].

 

Asking for assistance from the 'farangs' (Germany and Switzerland) seems somewhat ironic given the 'debt' history (with Germany) and also the recent spate of extremely clumsy xenophobic and racist comments towards Westerners by some key members of the Thai government.

 

 

Edited June 9, 20206 yr by richard_smith237

So they'll be flying Boeing 777-7 year old planes when this is done.  I hope they opted for the extended warranty.

Let's pare this right down to the bare bones.  If these countries refuse TG asset protection then that's it.  I shouldn't laugh, haha.  

THAI wins some success in negotiating with creditors

By The Nation

 

 

Thai Airways international (THAI) has successfully completed negotiations with creditors in three countries, namely Switzerland, Germany and Japan, and is planning to seek bankruptcy protection in the United States before it starts negotiating with creditors there.

 

This progress was reported to the Cabinet by Deputy Prime Minister Wissanu Krea-ngam in his capacity as chairman of the rehab monitoring committee.

 

THAI has until August 17 to come up with a rehabilitation plan to present to the Central Bankruptcy Court.

 

“Seeking bankruptcy protection in the US will help protect THAI’s assets overseas. This process needs to be completed before August 17, when the court is scheduled to launch an investigation,” Wissanu said.

 

Based on information submitted to the Central Bankruptcy Court, as of March 31, the airline had accrued net losses of Bt12 billion and its debt to equity ratio stood at 20.81 per cent based on total assets worth Bt256 billion versus total liabilities of over Bt350 billion.

 

Since it is unable to reduce its monthly expenses by Bt6 billion, the airline will not have enough cash to pay bills in June. The airline is currently in talks with related agencies to seek funds.

 

It is important for THAI to negotiate as many deals with creditors and relevant agencies before August 17 to ensure a smooth recovery process. The airline’s legal consultants, Baker & Mckenzie, have started taking steps in this direction.

 

Meanwhile, the airline has called on the Transport Ministry to help now that it has lost its benefits as a state enterprise. Previously, as a national carrier, THAI employees could receive treatment from four private hospitals. Now, however, these hospitals are refusing to treat THAI staff, resulting in a large number of reimbursement bills. Also, THAI aircraft have not been supplied with fuel since May 26 and the purchase of ingredients for aircraft meals has been suspended.

 

Source: https://www.nationthailand.com/news/30389345

 

-- © Copyright The Nation Thailand 2020-06-10

 

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3 minutes ago, webfact said:

THAI has until August 17 to come up with a rehabilitation plan to present to the Central Bankruptcy Court

Flying out of here with TG on Aug 1.

Fingers crossed...... ????

39 minutes ago, rasmus5150 said:

Flying out of here with TG on Aug 1.

Fingers crossed...... ????

I hope they changed the oil.  ????

is it oktoberfest already ???

 

holy time flies...i should book my hotel. i wonder if i can book an entire floor for the holiday. 

50 minutes ago, torturedsole said:

I hope they changed the oil.  ????

the coffee machine will work just fine.  

"  Since it is unable to reduce its monthly expenses by Bt6 billion, the airline will not have enough cash to pay bills in June. The airline is currently in talks with related agencies to seek funds. "

 

So:

 

- Take your own sandwiches.

- Be ready for the whip around for passengers to donate to pay cash on the spot for the fuel.

- Perhaps even have compassion for the so poor hosties and give them really generous tips so they can

stay in a 5 star hotel on arrival at destination/turn around and buy another Gucci bag to maintain their Hi-so status. But ensure it's all new bank notes.

1 hour ago, rasmus5150 said:

Flying out of here with TG on Aug 1.

Fingers crossed...... ????

Is that the flight where all cabin services are self-service?

Edited June 9, 20206 yr by scorecard

10 minutes ago, scorecard said:

 

 

So:

 

 

- Be ready for the whip around for passengers to donate to pay cash on the spot for the fuel.

 

Not the first time for that to happen !!

 

An airline is set to investigate reports that it asked passengers to pay £20,000 towards the cost of fuel to complete their journey to the UK.

Passengers said they were asked for the money when a flight with Austrian airline Comtel Air from Amritsar in India stopped in Vienna to refuel.

 

https://www.bbc.com/news/uk-england-birmingham-15762127

 

^ Has happened a few times in Africa as well!

 

"Anyone on the aircraft have an American Express card?"

Anyone remember Dan-Air?

I  was on a holiday flight returning to Stansted from Corfu after a 5 hour delay, when the plane landed at Sofia and the captain said he had to refuel (using his personal credit card). He apologised for the delay, also the unscheduled stop and said all drinks were now free on the flight until the plane was drunk empty! 

If I remember correctly, Dan-Air was sold to British Airways for a £1 nominal fee shortly afterwards.

Dan-Air: affectionally known as Dan-Dare as you had to be mad to fly with them!

 

53 minutes ago, Madgee said:

Anyone remember Dan-Air?

I  was on a holiday flight returning to Stansted from Corfu after a 5 hour delay, when the plane landed at Sofia and the captain said he had to refuel (using his personal credit card). He apologised for the delay, also the unscheduled stop and said all drinks were now free on the flight until the plane was drunk empty! 

If I remember correctly, Dan-Air was sold to British Airways for a £1 nominal fee shortly afterwards.

Dan-Air: affectionally known as Dan-Dare as you had to be mad to fly with them!

 

Used to know an alcoholic pilot with Dan Air, a relative of the wife!

4 hours ago, rasmus5150 said:

Flying out of here with TG on Aug 1.

Fingers crossed...... ????

I think you have two chances ....   buckley's & none 

1 hour ago, Madgee said:

Anyone remember Dan-Air?

 

I flew Gatwick to Malta with them

I was thinking about how much Thai owe to hotels around the world for their stopovers 

22 minutes ago, ChipButty said:

I flew Gatwick to Malta with them

Decades back I had to urgently fly from Hong Kong to Mumbai, ended up on an Air-India flight.

 

Many passengers (99% Indian folks) came on board with washing machines, small fridges etc., not challenged. The passengers took their seats then straddled the appliance boxes across the arm rests. Other passengers held their food trays so they could etc. Also numerous full size suitcases in the galleys and in the aisles.

 

During the flight an Indian family sat in the aisle and took out meat, vegies etc., and a small pump up primus stove which they duly lit and started to cook.

 

Air steward came and told them angrily to put out the flame and pack it up.

 

When the flame was out the steward tried to take the stove away but was stooped by other passengers. They all had the same comment 'leave them alone, they have to eat'. 

 

Never ever flew Air India again.

 

 

Edited June 10, 20206 yr by scorecard

12 hours ago, snoop1130 said:

including Japan and the United States,

Ah, German, Swiss, Japanese and US ... ????   they owe mucho dinero in lots of places.  Good luck, Thai Airways, convincing them not to seize assets for non payment. 

I think they asked those 2 countries because some Thai are staying there and need to be flown back to Bangkok when needed. Or they must use their private planes.

"seeking bankruptcy protection ... before negotiating with creditors"

I believe this is only a temporary stay to a creditor forced liquidation. So maybe a stay until January 2021 that would allow THAI to continue to operate on a limited basis while it negotiates its debts. THAI will not get a 6 year stay.

Without the protection the foreign based creditors can begin asset seizures. Including intangible assets such as airport gate access rights to a creditor's foreign airport, ie., in Germany.

54 minutes ago, scorecard said:

Decades back I had to urgently fly from Hong Kong to Mumbai, ended up on an Air-India flight.

 

Many passengers (99% Indian folks) came on board with washing machines, small fridges etc., not challenged. The passengers took their seats then straddled the appliance boxes across the arm rests. Other passengers held their food trays so they could etc. Also numerous full size suitcases in the galleys and in the aisles.

 

During the flight an Indian family sat in the aisle and took out meat, vegies etc., and a small pump up primus stove which they duly lit and started to cook.

 

Air steward came and told them angrily to put out the flame and pack it up.

 

When the flame was out the steward tried to take the stove away but was stooped by other passengers. They all had the same comment 'leave them alone, they have to eat'. 

 

Never ever flew Air India again.

 

 

Indian Airlines even worse I flew Goa to Sharjah in the UAE as I needed to get to Dubai even business class was a slum I didn't use the return ticket I binned it and flew from Dubai to Mumbai and then down to Goa 

13 hours ago, snoop1130 said:

protect its planes

why does it say: IT's planes (as owned by THAI???)

 

look up: 

https://www.google.com/search?q=who+does+THAI+lease+airplanes+from

 

Thai Airways International (THAI) may lease aircraft along with cabin staff as part of fleet and service improvement options, according to Transport Minister Saksayam Chidchob. The national carrier plans to procure 38 planes with its budget of 156 billion baht.Jan 23, 2020

 

51 minutes ago, Tops said:

I think they asked those 2 countries because some Thai are staying there and need to be flown back to Bangkok when needed. Or they must use their private planes.

is on the budget of defense, plane & personnel, don't worry

Stands a chance they will get a Yes. Swiss will help anyone if they are paid enough.

Anyone remember when Phuket Airlines had one of their 747s seized in Seoul for outstanding debts?? About fifteen years ago.