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  1. #1
    Thailand Expat tomcat's Avatar
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    Bleeding Like a Stuck Pig

    Potential Boeing 777X buyer puts jet orders on hold amid worsening finances
    By Andrew McIntosh Staff Writer, Puget Sound Business Journal


    An airline that was developing plans to purchase new jets including the Boeing 777X has frozen its fleet modernization and growth plans amid deteriorating finances.
    In October 2018, a senior Thai Airways International executive told an airline conference in South Korea that his airline was weighing buying Boeing's new 777X or the rival Airbus A350.
    Thailand's flagship airline reportedly wanted to buy 23 to 38 jets, and deliveries were being planned for between 2021 and 2026.

    Now, the company's board has frozen those plans and asked the airline to scale them back and resubmit them in six months, taking into account Thai Airways' worsening operating environment, according to reports by Air Transport World and The Bangkok Post.

    The Post reported Friday that senior Thai government officials are concerned about the airline's finances and leadership.
    Deputy Transport Minister Thaworn Senneam said the airline is in danger of running up huge losses this year, despite launching a financial rehabilitation effort a year ago.
    "Thai is now in crisis. Its financial status is in a critical condition," he said. "The question is, how well aware is the airline's board chairman about this matter."

    Thai Airways President Sumeth Damrongchaitham denied that the airline has any liquidity problems.
    The carrier has had a tumultuous summer, during which Damrongchaitham pressed his own senior executives to take pay cuts to help reduce costs.
    Thai Airways itself also announced a series of moves to cut costs and boost revenues, amid reports that losses are still mounting.

    Damrongchaitham, who has been on the job for a year, suggested the carrier is being hurt by several contributing factors beyond its own control, including competition from low-cost airlines, the U.S.-China trade war, sluggish global economic growth and the closure of Pakistani airspace, all which combined to reduce tourism to Thailand.






    Majestically enthroned amid the vulgar herd

  2. #2
    Thailand Expat
    Dragonfly's Avatar
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    it's 1997 all over again, except with a raging strong THB

  3. #3
    ความรู้ลึกลับ HuangLao's Avatar
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    Thai Airways has been a deluded and sad case for quite some time.

    Very much reflective of the Thai business manner.
    Corrupt and incompetent to the core.

    Remember who the majority holdings and subsidies are directed to.
    Explains everything.

  4. #4
    Thailand Expat jabir's Avatar
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    Aside from contingency planning there is little they can do about conditions that are out of their control, but I would guess they could improve on factors that are clearly within their area of control like wastage, incompetence, abuse and corruption; no proof of any, except time served in LoS.

  5. #5
    Thailand Expat
    kmart's Avatar
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    Quote Originally Posted by HuangLao View Post
    Thai Airways has been a deluded and sad case for quite some time.

    Very much reflective of the Thai business manner.
    Corrupt and incompetent to the core.

    Remember who the majority holdings and subsidies are directed to.
    Explains everything.
    First Class still filled with Vuitton-clutching 'hisos' going on free shopping junkets to Europe.

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