Thai Airways is set to wrap up its restructuring plan ahead of schedule, with new CEO Chai Eamsiri recently announcing that the company is 70% complete. The restructuring plan, announced in 2020, aimed to complete in 2024 through a debt-for-equity swap and resume trading on the stock market in 2025.
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Thai Airways On-Track to End Leave Bankruptcy Early
Thai Airways, which filed for bankruptcy in 2020, is ahead of schedule in its restructuring plan according to a new report in Nikkei. New CEO Chai Eamsiri reported that the goal is 70% complete and aims to complete it in 2024 through a debt-for-equity swap. The airline also hopes to return to the stock market in 2025.
This comes as travel restrictions ease worldwide and revenue for the Star Alliance member airline has increased nearly fourfold. It reached around $2.69 billion in 2022. The carrier predicts another 40% increase in 2023, bringing revenue close to 70% of pre-pandemic levels. The airline is also looking to expand its fleet to 58 aircraft from the current 49.
Expanding Service to Key Destinations
The new CEO has big plans for Thai Airways. His first focus is expanding service to China, Japan, and Europe. The airline is set to launch new flights to five Chinese cities this year, including Beijing and Shanghai.
In Japan, Chai is looking to increase the frequency on existing routes, with more flights to and from the Haneda and Narita Airports in Tokyo and Kansai International Airport in Osaka.
Returning to Pre-COVID Routes Thai Airways aims to resume 65% of pre-COVID routes in 2023 and reach 85% in 2025. The airline’s CEO, Chai Eamsiri, is confident that the company will continue to grow and thrive as travel demand increases and restrictions ease.
Incredibly, Chai is the first permanent CEO of Thai Airways since Sumeth Damrongchaitham stepped down in April 2020.
Bottom line
Thai Airways is on track to wrap up its restructuring plan ahead of schedule, with its new CEO, Chai Eamsiri, announcing that it is 70% complete. The airline filed for bankruptcy protection in 2020 and aims to complete the restructuring in 2024 through a debt-for-equity swap. In addition, the airline hopes to return to the stock market in 2025. The CEO has big plans for Thai Airways, including expanding service to China, Japan, and Europe, increasing frequency on existing routes in Japan, and resuming 65% of pre-COVID routes in 2023 and 85% in 2025.
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