THAI books Bt12bn net loss

[webfact]

AVIATION
THAI books Bt12bn net loss
The Nation



BANGKOK: -- Thai Airways International showed a net loss of Bt12 billion in 2013, seriously hit by fierce competition and political turbulence in the fourth quarter. In the previous year, it reaped Bt6.23 billion in net profit.

The company’s share price was unchanged at noon, at Bt13, while the composite SET index was 0.12 point or 0.01 per cent lower to 1,303.76 points. Market turnover was as thin as Bt8.4 billion.

In the year, THAI’s operating loss, exclusive of contribution from Nok Air, hit Bt2.896 billion against the operating profit of Bt5.75 billion in the previous year.

The airline said in the filing to the Stock Exchange of Thailand that in 2013, sale revenue grew only 2.5 per cent on year due to fierce competition, the new tourism law in China, and the domestic political protest in Thailand in the fourth quarter which is a seasonally best-selling period. Meanwhile, once converted to Thai baht, the foreign income showed a 4.3 per cent depreciation thanks to the baht appreciation against major currencies particularly the Japanese yen.

The operating expenses however rose by 7 per cent on year, mainly because of the higher costs of maintenance, advertising, leasing and expenses on pilots and crew.

In the year, Bt5.4 billion in depreciation cost was booked aside from the foreign exchange loss of Bt3.895 billion.


-- The Nation 2014-02-26

[kotsak]

[Costas2008]

Be more competitive.

Lower your prices.

Offer better service.

Then people will start using your services again.

[Nickymaster]

Back in 2012....

Thai Airways International Pcl (THAI) Chief Executive Officer Piyasvasti Amranand thought his annual review went well. That didn’t stop the board from firing him.

“I just want the board to explain the reason,” Piyasvasti said at a media briefing yesterday. “It’s ambiguous. The performance of the company during my term has improved in every aspect and I passed the evaluation at 86 percent.”

--The big question remains: Why did the old CEO (who had done a good job) have to be replaced by one that made huge losses.....

http://www.bloomberg.com/news/2012-05-21/fired-thai-air-ceo-blames-politics-over-business-southeast-asia.html

BANGKOK—Thai Airways International PCL said Monday that it dismissed President Piyasvasti Amranand in what analysts said was a politically motivated move that could further damp the outlook for a flag carrier already being hit by high fuel prices and weak demand.

The company didn't provide information on who might succeed Mr. Piyasvasti. Executive Vice President Chokchai Panyayong has been named acting president until a selection committee finds Mr. Piyasvasti's successor, Chairman Ampon Kittiampon said.

--I guess the analysts were right.....

http://online.wsj.com/news/articles/SB10001424052702303610504577417861231329188

--So who was that genius that made Thai Airways loose 12,000,000,000 THB

A member of the government of former prime minister, Thaksin Shinawatra, who is living in self-imposed exile in Dubai, Sorajak was the only candidate for the job and is expected to start in November. He has no previous experience in the airline industry.

http://www.orientaviation.com/section.php?currenyIssue=I20120913120909-B7PQm&currentSection=regionalroundup&currentArticle=A20121003111003-kPC8F&

Thai Airways (THAI) president Sorajak Kasemsuvan has resigned from the post (in Dec 2013) citing health problems

Edited February 26, 2014 by Nickymaster

[kotsak]

Be more competitive.

Lower your prices.

Offer better service.

Then people will start using your services again.

..and re-launch the BKK-ATH route..

[ginjag]

Rather than expensive advertising, how about promoting new good service, promote LOWER fares, get rid of hangers on, no more freebies for VIP, Your Thai Smile regional flights are good BUT double the price of competitors.

You are not filling flights because of the above comments.

[ginjag]

Be more competitive.

Lower your prices.

Offer better service.

Then people will start using your services again.

..and re-launch the BKK-ATH route..

Couldn't they get a foothold into Manchester ??---Emirates and Etihad Turkish etc all doing well, WHY should they go there ?? they have the edge--NON STOP.

[siampolee]

Processional airline aviation management teams employed and not necessarily Thai nationals, no political influence plus the complete banning of the freebies regarding seats for self important people whose requests or actually in truth ''demands'' have led to many other fare paying passengers having their bookings and seats rearranged.

The current management team like its predecessors over the years couldn't hold their own in the males restroom.

Edited February 26, 2014 by siampolee

[PatOngo]

"Smooth as......Sandpaper"

[anon7867763]

A member of the government of former prime minister, Thaksin Shinawatra, who is living in self-imposed exile in Dubai, Sorajak was the only candidate for the job and is expected to start in November. He has no previous experience in the airline industry.

Says it all really , no need for further discussion in my opinion

[ChrisY1]

Back in 2012....

Thai Airways International Pcl (THAI) Chief Executive Officer Piyasvasti Amranand thought his annual review went well. That didn’t stop the board from firing him.

“I just want the board to explain the reason,” Piyasvasti said at a media briefing yesterday. “It’s ambiguous. The performance of the company during my term has improved in every aspect and I passed the evaluation at 86 percent.”

--The big question remains: Why did the old CEO (who had done a good job) have to be replaced by one that made huge losses.....

http://www.bloomberg.com/news/2012-05-21/fired-thai-air-ceo-blames-politics-over-business-southeast-asia.html

BANGKOK—Thai Airways International PCL said Monday that it dismissed President Piyasvasti Amranand in what analysts said was a politically motivated move that could further damp the outlook for a flag carrier already being hit by high fuel prices and weak demand.

The company didn't provide information on who might succeed Mr. Piyasvasti. Executive Vice President Chokchai Panyayong has been named acting president until a selection committee finds Mr. Piyasvasti's successor, Chairman Ampon Kittiampon said.

--I guess the analysts were right.....

http://online.wsj.com/news/articles/SB10001424052702303610504577417861231329188

--So who was that genius that made Thai Airways loose 12,000,000,000 THB

A member of the government of former prime minister, Thaksin Shinawatra, who is living in self-imposed exile in Dubai, Sorajak was the only candidate for the job and is expected to start in November. He has no previous experience in the airline industry.

http://www.orientaviation.com/section.php?currenyIssue=I20120913120909-B7PQm&currentSection=regionalroundup&currentArticle=A20121003111003-kPC8F&

Thai Airways (THAI) president Sorajak Kasemsuvan has resigned from the post (in Dec 2013) citing health problems

Health problems ??? He finally realised that it's much easier being a minister.......

Where is he now I wonder?

[negreanu]

I am not sure cutting the cheese plate and celery from J class at the beginning off the month will make a difference. Although it did succeed in pissing me off.

[scorecard]

<script type='text/javascript'>window.mod_pagespeed_start = Number(new Date());</script>

Processional airline aviation management teams employed and not necessarily Thai nationals, no political influence plus the complete banning of the freebies regarding seats for self important people whose requests or actually in truth ''demands'' have led to many other fare paying passengers having their bookings and seats rearranged.

The current management team like its predecessors over the years couldn't hold their own in the males restroom. alt=whistling.gif width=19 height=18>

A few years back the freebies Baht value was published, It was an enormous amount and caused quite some public anger.

I haven't noticed any year by year figures since that time, I winder what the value of these freebies is now?

Edited February 26, 2014 by scorecard

[smutcakes]

Given the strategic advantages that Thailand Airways has over other global airlines, there is no excuse for failure on that level.

Over bloated, politicized mess of a company- they should get some foreign executive in to make the necessary decisions in cutting the fat which Thais are unwilling or unable to do.

Perhaps someone like Michael O'Leary from Ryanair.

[SamMunich]

Number one problem of Thai is not the shoddy service (which is nevertheless a problem) but the waterhead of personell.

Singapore Airline runs roughly the same amount of planes with only half as many staff. Problem is, that every male retiree from the air force will automatically get a job at Thai Inter. Many are just sitting in an office, trying hard to find at least something to do.

Next major problem is the amount of corruption within the company.

Fix these two issues and Thai will not write red figures. Improve service, quality and pricing and they will get many customers back and make a profit...

[rogerdee123]

Back in 2012....

Thai Airways International Pcl (THAI) Chief Executive Officer Piyasvasti Amranand thought his annual review went well. That didn’t stop the board from firing him.

“I just want the board to explain the reason,” Piyasvasti said at a media briefing yesterday. “It’s ambiguous. The performance of the company during my term has improved in every aspect and I passed the evaluation at 86 percent.”

--The big question remains: Why did the old CEO (who had done a good job) have to be replaced by one that made huge losses.....

http://www.bloomberg.com/news/2012-05-21/fired-thai-air-ceo-blames-politics-over-business-southeast-asia.html

BANGKOK—Thai Airways International PCL said Monday that it dismissed President Piyasvasti Amranand in what analysts said was a politically motivated move that could further damp the outlook for a flag carrier already being hit by high fuel prices and weak demand.

The company didn't provide information on who might succeed Mr. Piyasvasti. Executive Vice President Chokchai Panyayong has been named acting president until a selection committee finds Mr. Piyasvasti's successor, Chairman Ampon Kittiampon said.

--I guess the analysts were right.....

http://online.wsj.com/news/articles/SB10001424052702303610504577417861231329188

--So who was that genius that made Thai Airways loose 12,000,000,000 THB

A member of the government of former prime minister, Thaksin Shinawatra, who is living in self-imposed exile in Dubai, Sorajak was the only candidate for the job and is expected to start in November. He has no previous experience in the airline industry.

http://www.orientaviation.com/section.php?currenyIssue=I20120913120909-B7PQm&currentSection=regionalroundup&currentArticle=A20121003111003-kPC8F&

Thai Airways (THAI) president Sorajak Kasemsuvan has resigned from the post (in Dec 2013) citing health problems

probably Piyasvasti wasn't red enough. Same same that singer in CM whose performance was cancelled. Like the Communist countries, in Thailand don't expect anything unless you are a member of the party .. i.e. the CPT ... ooops I mean the PTP Party.

[Suriya4]

Even AirAIA Is better.

[negreanu]

Even AirAIA Is better.

emm...No.

[dknslowly]

Send them Alan Joyce. He's done an excellent job with Qantas...

At least has has experience destroying an airline which probably puts him on par with the current Thai management team

[AloisAmrein]

Thai Airways: high prices, low standard. Now they feel the competition of Air Asia, Nok Air, Bangkok Airways and others. One example: BKK - Khon Kaen Air Asia one way 970 Baht, Thai Airways before the competition 2800 Baht, now 1350 Baht.

[wileycoyote]

Good airline ,but uncompetitive pricing and inability to strike deals with feeder airlines for add-ons,to encourage thru-tickets

[laurentbkk]

When you see the difference in service and offers on either emirates , Etihad, Cathay or Singapore airlines , specially in business class you don't want to fly TG anymore . That's what I did ... TG sucks , it's a shame as it was so good many years ago , you still can blame the competition but look in your own garden before putting the blame on others.

[bigbamboo]

Seriously hit by bad management.

[madmitch]

The freebies and perks for VIPs is a major problem and also a major reason why a foreign CEO would never be allowed.

[Artist]

Be more competitive.

Lower your prices.

Offer better service.

Then people will start using your services again.

From Perth to BKK they are not bad, the service is good and the seats reasonably comfortable. We have tried the cut price airlines and for such a long flight they are very uncomfortable plus a wait in Singapore KL etc. Thai's offseason rates are competitive. We use them and recommend them to our guests.

[Evolare]

Back in 2012....

Thai Airways International Pcl (THAI) Chief Executive Officer Piyasvasti Amranand thought his annual review went well. That didn’t stop the board from firing him.

“I just want the board to explain the reason,” Piyasvasti said at a media briefing yesterday. “It’s ambiguous. The performance of the company during my term has improved in every aspect and I passed the evaluation at 86 percent.”

--The big question remains: Why did the old CEO (who had done a good job) have to be replaced by one that made huge losses.....

http://www.bloomberg.com/news/2012-05-21/fired-thai-air-ceo-blames-politics-over-business-southeast-asia.html

BANGKOK—Thai Airways International PCL said Monday that it dismissed President Piyasvasti Amranand in what analysts said was a politically motivated move that could further damp the outlook for a flag carrier already being hit by high fuel prices and weak demand.

The company didn't provide information on who might succeed Mr. Piyasvasti. Executive Vice President Chokchai Panyayong has been named acting president until a selection committee finds Mr. Piyasvasti's successor, Chairman Ampon Kittiampon said.

--I guess the analysts were right.....

http://online.wsj.com/news/articles/SB10001424052702303610504577417861231329188

--So who was that genius that made Thai Airways loose 12,000,000,000 THB

A member of the government of former prime minister, Thaksin Shinawatra, who is living in self-imposed exile in Dubai, Sorajak was the only candidate for the job and is expected to start in November. He has no previous experience in the airline industry.

http://www.orientaviation.com/section.php?currenyIssue=I20120913120909-B7PQm&currentSection=regionalroundup&currentArticle=A20121003111003-kPC8F&

Thai Airways (THAI) president Sorajak Kasemsuvan has resigned from the post (in Dec 2013) citing health problems

Health problems ??? He finally realised that it's much easier being a minister.......

Where is he now I wonder?

Sorajak is probably collecting money with a fat parachute deal eventhough they did a lot to dismantle thaiair in everyway they could...these moves that they made when firing Piyasvasti was 100% political and a corrupyed financial moves so that airasia to take over the hauling of thai government worker contracts etc.

[smileydude]

There's nothing wrong with the service.

Thai airways has to deal with inept management instated due to cronyism.

It also has to give alot of non-paying first class rides to government officials and VIP freeloaders.

Its has to deal with a very strong union workforce with demands of lifelong employment and unrealistic benefits in these days of fierce competition.

Basically it gets screwed alot because it is run by the state and not as a business.

Edited February 26, 2014 by smileydude

[Noi657]

Be more competitive.

Lower your prices.

Offer better service.

Then people will start using your services again.

This sums it up! I stopped using THAI 4 years ago because of the above.

[Torrens54]

See...I said they shouldn't have spent so much money on Black Paint to cover the TG Logo when they have a problem.

Now they'll also have to buy a lot of White Paint so they can do a WHITE WASH.

[Ricardo]

Be more competitive.

Lower your prices.

Offer better service.

Then people will start using your services again.

..and re-launch the BKK-ATH route..

Couldn't they get a foothold into Manchester ??---Emirates and Etihad Turkish etc all doing well, WHY should they go there ?? they have the edge--NON STOP.

Indeed, it would seem the be the perfect route, for their smaller (than B744s) A340s, currently stood doing little-or-nothing ?

Or perhaps TG believe they can't compete against any other halfway-decent airline ?