Thai Airways restructures debt to stay in the skies
Thai Airways has been allowed to restructure its debts keep its planes in the sky.
The Thai flag carrier had previously requested a £1.48bn government bailout loan as it faced…
Thai Airways has been allowed to restructure its debts keep its planes in the sky.
The Thai flag carrier had previously requested a £1.48bn government bailout loan as it faced up to financial struggles resulting from coronavirus travel restrictions.
The airline, which reported losses of 12bn baht in 2019, was told by Thai officials to come up with a restructuring plan to avoid going bankrupt.
The carrier has denied “rumours” published over recent days that it was looking to file for bankruptcy. A statement on its website, reads that the airline: “has no intention to file for bankruptcy, responding to rumours appeared in the news and online”.
Airline 51 per cent government owned
The airline is 51 per cent owned by the Thai government and overseen by the government’s State Enterprise Policy Committee (SEPC).
Thailand’s Prime Minister, Prayuth Chan-ocha, said: “The government has reviewed all dimensions… we have decided to petition for restructuring and not let Thai Airways go bankrupt. The airline will continue to operate.”
Thai Airways employs 22,000 people. The airline has stated that it will not resume international flights until at least 30 June.
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