Thai Airways International finally emerged from a rehabilitation plan on 16 June after four years of arduous restructuring.. This plan has resulted in a significant reduction in the fleet, network and workforce of the Thai national carrier.
However, Thai Airways is fortunate in that it is controlled by the State, through the Minister of Finance. A private airline would certainly have gone bankrupt given its financial performance and strategic choices...
A healthier financial situation
Following the court's decision on the official release of the rescue plan, the company wasted no time in convening its first board meeting to elect a new chairman and plan its return to the stock market, scheduled for July 2025.
Piyasvasti Amranand, Chairman of the Trustees of the Rehabilitation Plansaid: " It was more than four years ago that Thai Airways began the process of corporate rehabilitation. Before the rehabilitation, our shareholders' equity was negative, at -3.7 billion euros. Today, it stands at +1.45 billion euros, a clear demonstration of a genuine organisational recovery." . The carrier's debt has been more than halved. Admittedly, it still represents almost 5 billion euros, but a far cry from the 10.5 billion recorded in 2020.
The company can look to the future with renewed optimism. Two events have confirmed this new-found confidence. In April, Thai Airways finalised a firm order for 45 Boeing 787-9 Dreamliners.. The carrier has an option for a further 35 Boeing 787s. This purchase is part of a strategy to increase the fleet from the current 85 aircraft to 116 by 2027. With a target of 150 aircraft by 2033. The new aircraft will replace the somewhat ageing Boeing 777-200ERs and A330-300s. Before its restructuring in 2020, Thai Airways had a fleet of 119 aircraft.
A leading position on the Europe-Southeast Asia route
At the beginning of June, the company presented its new in-flight product. Delivery of the first Airbus A321neo was an opportunity to present a new business headquarters which can be converted into a couchette. All 16 seats will be equipped with an in-flight entertainment (IFE) system with touch screen and Wi-Fi connection. The Economy cabin will feature a standard 3-3 configuration, with each seat also equipped with a large IFE touchscreen and adjustable headrest. The carrier has also revamped its in-flight catering service, offering more typical Thai dishes as well as local snacks and desserts.
Network side, Thai Airways International also wants to consolidate its Bangkok hub. The airline has recently opened flights to Oslo and Milan Malpensa, confirming its position as the world's leading air transport operator. its leading position in Europe from South-East Asia. It now wants to reactivate its hub between Europe and Australia as well as to the rest of South-East Asia. The carrier plans to offer 883 weekly flights to 64 destinations this winter.
