THAI Airways Reports Huge 11.5 billion Loss

Old Mar 3, 19, 2:59 pm
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THAI Airways Reports Huge 11.5 billion Loss

From the Bangkok Post: https://www.bangkokpost.com/news/gen...e-b11-5bn-loss

Thoughts from Lucky at OMAAT: https://onemileatatime.com/thai-airways-losing-money/
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Old Mar 3, 19, 5:52 pm
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Blaming old aircraft. Funny, that doesn't stop DL from earning large profits.
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Old Mar 3, 19, 7:19 pm
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The following is some of my thoughts towards TG:

1. Whether TG would introduce Premium Econ like CX, VN and SQ? Not like those to Northern Europe in previous days. PEY and J is the most profitable in the aviation industry nowadays but not F and Y
2. Would TG focus on both Transit and O&D passengers? I feel that TG focus on O&D only
3. TG prices not competitive, to be honest it is a tough war against QR, EK, or some European Carriers. I do agree that TG can tune down their prices in some routes.
4. TG can consider restructuring their fleet. Yes, 747 is a problem, but I would think TG should take a strategy like smaller planes like 787/350 instead of 77W, but more frequencies, not only to European destinations but also to regional Asian destinations.
Should they scrap their A380? Well...

I would use a term of "Viscisous Circle"
No Passenger => No Income => No Money for buying new planes / renovation of cabins => No Passenger => .....
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Old Mar 3, 19, 8:33 pm
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Explains the lack of Dividend
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Old Mar 3, 19, 8:36 pm
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Originally Posted by Kacee View Post
Blaming old aircraft. Funny, that doesn't stop DL from earning large profits.
Exactly, itís appalling Management & interference from Government & a good measure of indemic Thai corruption
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Old Mar 3, 19, 8:38 pm
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Originally Posted by cheung.chunyuenc View Post
The following is some of my thoughts towards TG:

1. Whether TG would introduce Premium Econ like CX, VN and SQ? Not like those to Northern Europe in previous days. PEY and J is the most profitable in the aviation industry nowadays but not F and Y
2. Would TG focus on both Transit and O&D passengers? I feel that TG focus on O&D only
3. TG prices not competitive, to be honest it is a tough war against QR, EK, or some European Carriers. I do agree that TG can tune down their prices in some routes.
4. TG can consider restructuring their fleet. Yes, 747 is a problem, but I would think TG should take a strategy like smaller planes like 787/350 instead of 77W, but more frequencies, not only to European destinations but also to regional Asian destinations.
Should they scrap their A380? Well...

I would use a term of "Viscisous Circle"
No Passenger => No Income => No Money for buying new planes / renovation of cabins => No Passenger => .....
5. Remove interference (infection) from Government officials.
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Old Mar 3, 19, 11:53 pm
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Originally Posted by chris63 View Post


Exactly, itís appalling Management & interference from Government & a good measure of indemic Thai corruption
I know what you meant, but...

[pedantic ON]

Indemic - a go ahead New Zealand production design and consulting company, based in Taranaki Indemic - Product Development, Taranaki, New Zealand - Work
Endemic - adj(of a disease or condition) regularly found among particular people or in a certain area.

[pedantic OFF]
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Old Mar 4, 19, 12:09 am
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Originally Posted by cheung.chunyuenc View Post
I would use a term of "Viscisous Circle"
One of my favourite terms
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Old Mar 4, 19, 1:38 am
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The things they COULD do: prune back the bloated bureaucracy, go ‘all in’ with ONE model ( eg, 787/350 for both long and regional), get out of domestic entirely through Smile, show the hiso freeloaders the door once and for all, spend some time on modelling/research in route planning ( as opposed to the “wouldn’t it be nice if we flew there”approach), try to stay even ball-park competitive in respect of fares ( not my experience from looking yesterday: BKK-CDG Finnair 77,000, Thai 114,000...of course I’m going to add 2 hours to the journey to save more than 1000 USD; but for 200 extra I’d probably go with Thai , but it never happens these days).
The WORST thing they could do: tinker with ROP via ‘enhancements’. The program probably is too generous as it stands. IMO, they’re stuck with it because if the decrease benefits then members will walk .
What they WILL do: make a few board appointments , potter around the edges and continue to hold out for govt bail out funds. As it stands, the govt’s ‘golden’ share is worthless and there isn’t going to be any miraculous turnaround.
It’s unfortunate, sad even, but unsurprising.
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Old Mar 4, 19, 2:17 am
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Originally Posted by Thai-Kiwi View Post
I know what you meant, but...

[pedantic ON]

Indemic - a go ahead New Zealand production design and consulting company, based in Taranaki Indemic - Product Development, Taranaki, New Zealand - Work
Endemic - adj(of a disease or condition) regularly found among particular people or in a certain area.

[pedantic OFF]
Thanks Yes, it was a typo
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Old Mar 4, 19, 2:18 am
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Originally Posted by cheung.chunyuenc View Post
4. TG can consider restructuring their fleet. Yes, 747 is a problem, but I would think TG should take a strategy like smaller planes like 787/350 instead of 77W, but more frequencies, not only to European destinations but also to regional Asian destinations.
Should they scrap their A380? Well...
I have a round trip to East Asia on TG coming up and will (if things happen according to schedule) experience 4 different widebody aircraft. And the 747 I was on just recently and the 787 that has issues are not even one of them ...

TG should probably reduce fleet complexity to one VLA (i.e. get rid of the old 747s and keep the A380s for the routes it works well on) and one (or two) other efficient aircraft such as the A350, instead of buying planes left and right.
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Old Mar 4, 19, 2:43 am
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Originally Posted by worldclubber View Post
I have a round trip to East Asia on TG coming up and will (if things happen according to schedule) experience 4 different widebody aircraft. And the 747 I was on just recently and the 787 that has issues are not even one of them ...

TG should probably reduce fleet complexity to one VLA (i.e. get rid of the old 747s and keep the A380s for the routes it works well on) and one (or two) other efficient aircraft such as the A350, instead of buying planes left and right.
Oh, donít be such a Captain sensible

Itís so much fun flying TG, you never know for sure what aircraft you will end up on & spare a thought for those that want to try every aircraft type flying, you just need to stick with TG

Of course if TG hadnít procured all those different aircraft types & engine types , it would have severely limited the commissions
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Old Mar 4, 19, 5:54 am
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Originally Posted by UAuhoh View Post
Thats a loss of about $300m which is not exactly huge in the airline industry.
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Old Mar 4, 19, 5:59 am
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Originally Posted by geminidreams View Post
Thats a loss of about $300m which is not exactly huge in the airline industry.
I can see the THAI board of directors patting themselves on the back for that encouraging bit of news ("It could have been worse!").
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Old Mar 4, 19, 6:03 am
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Originally Posted by geminidreams View Post
Thats a loss of about $300m which is not exactly huge in the airline industry.
Who cares what it is in a US comparison? 11bn THB is pretty significant, especially considering it is not the first loss reporting!
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