Thai Hotels Face 111 Million Baht Loss After FTI Group Insolvency

[webfact]

National - On June 12th, 2024, Mr. Thienprasit Chaiyapatranun, president of the Thai Hotels Association (THA), addressed the impact of the insolvency of FTI GROUP, a major German tourism operator, on Thailand’s hotel industry.

FTI Touristik GmbH, the third-largest tour operator in Europe and parent company of FTI GROUP, filed for insolvency with the Munich District Court on June 3rd.

In the wake of this development, the THA conducted a survey to assess the financial impact on hundreds of Thai hotels, which amounted to a cumulative loss of 111 million baht.

 

Hotels in Bangkok faced losses of 12.72 million baht, the northern region 632,244 baht, the eastern region 4.04 million baht, the western region 888,151 baht, and the southern region 92.88 million baht.

 

Thienprasit noted that the insolvency has led to a loss of confidence among hotel operators in dealing with international travel agencies, which had previously received advance credit. From now on, travel agencies might face difficulties as hotels may now impose stricter credit limits or refuse credit altogether.

 

Full story: THE PATTAYA NEWS 2024-06-14

 

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[hotchilli]

1 hour ago, harleyclarkey said:

You shoved out and snubbed the Europeans, who by the way started your tourism industry-not the Chinese nor Indians.

You obviously don't read history books.

[Ben Zioner]

16 minutes ago, hotchilli said:

You obviously don't read history books.

So there are books on mass tourism under King Taksin?

[Drumbuie]

3 hours ago, malathione said:

It must be less than wonderful to be so vituperative and bitter and clueless. King Taksin the Great's father was Chinese. As for the Indians, Ayuthayya is named after Ayodhya, demonstrating just how old those ties are. 

Indeed, Thai language has many Sanskrit roots and the alphabet is derived from the South Indian Pallava alphabet. 

 

Unfortunately European history is taught as though nothing happening outside Europe matters and until Europeans arrived the rest of the world was living in mud huts.

 

In reality, the Chinese were millennia ahead. Trading along the Silk Road brought many of their improvements to the West - their extensive hydrological knowledge, for example ( 4,000 years ago, they managed to tame the Yellow and Yangtze rivers to prevent disastrous flooding)  and their inventions of paper and gunpowder. 

 

[paul1804]

On another note after all the ranting from the key board warriors, declaring 111 million baht loss yet the accumulated region losses of less than 20 million, am I missing something here?

Edited June 14 by paul1804

[Mike Lister]

3 minutes ago, paul1804 said:

On another note after all the ranting from the key board warriors, declaring 111 million baht loss yet the accumulated region losses are around 22 million, am I missing something here?

The bankruptcy filing was valued at 111 mill baht but the impact on Thai hotels was substantially less. FTI is a German tour operator that doubtless has other interest than Thailand.

[edwinchester]

21 minutes ago, Mike Lister said:

The bankruptcy filing was valued at 111 mill baht but the impact on Thai hotels was substantially less. FTI is a German tour operator that doubtless has other interest than Thailand.

"In the wake of this development, the THA conducted a survey to assess the financial impact on hundreds of Thai hotels, which amounted to a cumulative loss of 111 million baht."

 

"Hotels in Bangkok faced losses of 12.72 million baht, the northern region 632,244 baht, the eastern region 4.04 million baht, the western region 888,151 baht, and the southern region 92.88 million baht."

 

This two paragraphs suggest the loss to Thai hotels was indeed 111 million bht.

 

 

[Mike Lister]

1 minute ago, edwinchester said:

"In the wake of this development, the THA conducted a survey to assess the financial impact on hundreds of Thai hotels, which amounted to a cumulative loss of 111 million baht."

 

"Hotels in Bangkok faced losses of 12.72 million baht, the northern region 632,244 baht, the eastern region 4.04 million baht, the western region 888,151 baht, and the southern region 92.88 million baht."

 

This two paragraphs suggest the loss to Thai hotels was indeed 111 million bht.

 

 

Yes, I misread the numbers, you are right.

[Surasak]

So, all the hotels may have a sign on the reception desk, "No Credit unless over 90, and accompanied by both parents".

[Mike Lister]

I didn't realise, the bankruptcy was huge, the second largest tour operator in Europe:

 

https://www.fti-group.com/en/press/fti-group-press-releases-and-information/detail/news/companies-of-the-fti-group-file-for-insolvency

[Rimmer]

An inflammatory racist post and replies has been removed

[BritScot]

3 hours ago, Drumbuie said:

Indeed, Thai language has many Sanskrit roots and the alphabet is derived from the South Indian Pallava alphabet. 

 

Unfortunately European history is taught as though nothing happening outside Europe matters and until Europeans arrived the rest of the world was living in mud huts.

 

In reality, the Chinese were millennia ahead. Trading along the Silk Road brought many of their improvements to the West - their extensive hydrological knowledge, for example ( 4,000 years ago, they managed to tame the Yellow and Yangtze rivers to prevent disastrous flooding)  and their inventions of paper and gunpowder. 

 

You do knowthe Wall is just a movie? Yes China did have a vast impact but I think you will find that China envoys were in oar of the Kamer empire.  Please also not that emigration is totally different to tourism.  What a bizzare statement. China wasn't doing zero dollar tours in medieval times. 

[Mr Meeseeks]

4 hours ago, Drumbuie said:

Indeed, Thai language has many Sanskrit roots and the alphabet is derived from the South Indian Pallava alphabet. 

 

Unfortunately European history is taught as though nothing happening outside Europe matters and until Europeans arrived the rest of the world was living in mud huts.

 

In reality, the Chinese were millennia ahead. Trading along the Silk Road brought many of their improvements to the West - their extensive hydrological knowledge, for example ( 4,000 years ago, they managed to tame the Yellow and Yangtze rivers to prevent disastrous flooding)  and their inventions of paper and gunpowder. 

 

 

The Chinese, a great bunch of lads. 

[Jumbo1968]

Are the hotels not protected by something similar to ABTA under German Law ?

[Hotrod1]

Here are some answers... (your browser should be able to show you an English version of this Swiss site):

https://abouttravel.ch/reisebranche/fti-schweiz-beantwortet-offene-fragen/

[Lancelot01]

8 hours ago, Drumbuie said:

Indeed, Thai language has many Sanskrit roots and the alphabet is derived from the South Indian Pallava alphabet. 

 

Unfortunately European history is taught as though nothing happening outside Europe matters and until Europeans arrived the rest of the world was living in mud huts.

 

In reality, the Chinese were millennia ahead. Trading along the Silk Road brought many of their improvements to the West - their extensive hydrological knowledge, for example ( 4,000 years ago, they managed to tame the Yellow and Yangtze rivers to prevent disastrous flooding)  and their inventions of paper and gunpowder. 

 

Yeah, but what else did the Chinese, or Romans do for us? 

[Paris333]

Thomas Cook and FTI group .....History repeats itself

 

We have also the same problem in Greece ......and tourists who have been already in Greece will be able to complete their vacation and return to Germany normally, unaffected by the bankruptcy of FTI.

In fact, the country's hoteliers who host them in Greece, at their own expense, will take care of their transportation to the Greek airports. In addition, as it transmits without financial loss, this will be the current development for the hoteliers who cooperate with FTI, since as it is known, these hotels have been prepaid for the arrivals of the customers so far.

For Germans the statutory insurance protection provided by the German Travel Insurance Fund (DRSF) applies.

This is European Package Travel Directive for such cases (in many languages)

Source:

https://eur-lex.europa.eu/eli/dir/2015/2302/oj/deu

I have never needed a travel agent for my trips in my entire life.

The future of the company, which had received a total of €595 million euros in state aid from the Economic Stabilization Fund (WSF) during the Corona crisis, actually seemed secured.

And all of these money from Germans taxpayers is.....in Egypt.....

 

Kiss Kiss -Tarkan Şımarık-Turkish Belly Dance Isabella HD

 

 

Edited June 14 by Paris333

[cowellandrew]

On 6/14/2024 at 12:06 PM, Paris333 said:

Thomas Cook and FTI group .....History repeats itself

 

We have also the same problem in Greece ......and tourists who have been already in Greece will be able to complete their vacation and return to Germany normally, unaffected by the bankruptcy of FTI.

In fact, the country's hoteliers who host them in Greece, at their own expense, will take care of their transportation to the Greek airports. In addition, as it transmits without financial loss, this will be the current development for the hoteliers who cooperate with FTI, since as it is known, these hotels have been prepaid for the arrivals of the customers so far.

For Germans the statutory insurance protection provided by the German Travel Insurance Fund (DRSF) applies.

This is European Package Travel Directive for such cases (in many languages)

Source:

https://eur-lex.europa.eu/eli/dir/2015/2302/oj/deu

I have never needed a travel agent for my trips in my entire life.

The future of the company, which had received a total of €595 million euros in state aid from the Economic Stabilization Fund (WSF) during the Corona crisis, actually seemed secured.

And all of these money from Germans taxpayers is.....in Egypt.....

 

Kiss Kiss -Tarkan Şımarık-Turkish Belly Dance Isabella HD

 

 

That looks like high maintenance!

Think will stick with Mrs c,  few bags of rice,

Somtam, few kgs chickens feet, easy

[jts-khorat]

On 6/13/2024 at 10:19 PM, webfact said:

Thienprasit noted that the insolvency has led to a loss of confidence among hotel operators in dealing with international travel agencies, which had previously received advance credit. From now on, travel agencies might face difficulties as hotels may now impose stricter credit limits or refuse credit altogether.

 

After the tsunami we had exactly the opposite problem, lots of hotels had already received the payments, but not the guests.

 

I had calls by hundreds of customers, who wanted their money back, but -- no big surprise!! -- this was not happening. Many were quite furious, as they had the wrong understanding that the hotels themselves, the Thai government or some insurance would reimburse them.

 

So maybe the Thai Hotels Association should pull their own nose before whining.

[bristolgeoff]

Someone will buy them out,they have assets so a change of name and owner soon