Thai Airways – Thai Smile merger gets green light

[snoop1130]

Photo via Thai Airways Facebook / Instagram user @narong1980

 

Debt-ridden Thai Airways International (THAI) will merge its subsidiary Thai Smile into its main company as part of its overall restructuring plan. The merger is set to be completed this year.

 

THAI reported that their creditor’s committee gave the merger the green light yesterday. Now, the plan will be put before Transport Minister Saksayam Chidchob and the Civil Aviation Authority of Thailand (CAAT) for approval.

 

Currently, Thai Smile operates under its own Air Operator Certificate (AOC), managing operations independently of THAI. Once the merger is complete, THAI will manage Thai Smile’s fleet planning, scheduling, and route network.

 

The merger is expected to pave the way for better coordination of short-haul and long-haul flights at Suvarnabhumi Airport in Bangkok, higher capacity, improved utilisation, lower unit costs, and improved economies of scale.

 

THAI shed light on the expected benefits of the merger…

 

“Currently, THAI Smile Airways is one of THAI’s subsidiaries of which operational performance results were reported in the parent company’s consolidated financial statements according to applicable accounting standards.

 

Full Story: https://thethaiger.com/news/business/thai-airways-thai-smile-merger-gets-green-light

 

-- © Copyright Thaiger 2023-05-18

 

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[ThailandRyan]

Will this keep them in the air.  I use Thai smile as much as I can when I fly from BKK to UTH. Maybe they can start flying from Hua Hin to BKK or elsewhere.

[bignok]

Udon or Khon Kaen to Hua Hin be good. 

Edited May 18, 2023 by bignok

[Pink Mist]

A troll post with misinformation about the drive from HH to Suvarnabhumi Airport in BKK has been removed.

 

[Dan747]

Hope they keep flying from BKK-UBP-BKK, and keep the prices down.

[daveAustin]

I’m with the general consensus; hope it doesn’t affect service. Always used them where possible. Good service and usually good times. Not to be typical, but the stewardesses tend to be pretty hot, too!

 

[Bangkok Barry]

10 hours ago, snoop1130 said:

The merger is expected to pave the way for better coordination of short-haul and long-haul flights at Suvarnabhumi Airport in Bangkok, higher capacity, improved utilisation, lower unit costs, and improved economies of scale.

So why did they set up two separate companies in the first place, if so much now has to be 'corrected'?

[statman78]

I fly Thai Smile every month from Chiang Rai to Bangkok and return.  Reasonable prices along with good service.  I hope it continues.  The flights usually only have a few empty seats.

[KhunBENQ]

6 hours ago, Bangkok Barry said:

So why did they set up two separate companies in the first place, if so much now has to be 'corrected'?

I read that ThaiSmile had made nothing but losses.

Now due for a "price adjustment"?

 

Edited May 19, 2023 by KhunBENQ

[Bangkok Barry]

16 minutes ago, KhunBENQ said:

I read that ThaiSmile had made nothing but losses.

Now due for a "price adjustment"?

 

With THAI taking on the loss-making routes. Or closing them? Smile used to fly to Roi Et but no longer does.

[Sydebolle]

Interesting; Thai Airways (TG) has accrued 300 billion (not million) THB in losses carried forward, Thai Smile (WE) reported a loss of 20 billion or so less than two months ago. 

So, what exactly is getting merged, considering the fact, that both airlines are completely off the radar as far as customer satisfaction and pricing is concerned ????