• 

  Thai Airways

  IATA/ICAO Code:

  TG/THA

  Airline Type:

  Full Service Carrier

  Hub(s):

  Bangkok Suvarnabhumi Airport

  Year Founded:

  1960

  Alliance:

  Star Alliance

  CEO:

  Suvadhana Sibunruang

  Country:

  Thailand

Thai Airways is reactivating three Airbus A330s and two Boeing 777s ahead of the bustling summer travel season. The carrier is seeing strong demand through July and August, with Europe emerging as the most-booked market for July and beyond. Let's find out more.

Out of storage

Thai Airways' A330 fleet has been grounded since February 2021 and was strongly considered to be retired as the airline consolidated its fleet around the A350, 787, and 777s. However, this may not be the case. Thai CCO Nond Kalinta recently told Nation Thailand that five planes will return to action.

This will see three A330-300s, of which nine remain in the fleet, and two 777-200s brought out of long-term storage for the busy coming months. The decision marks an important milestone for Thai, which was looking to become a much smaller carrier as the pandemic shuttered travel to the popular tourist country.

The story is similar with the 777-200s (not ERs), which have not flown since last July and were earmarked for retirement. Now, both types will be back in action ahead of the July-August travel surge. So what are the numbers looking like at the Bangkok-based airline?

Strong demand

Thai Airways' current load factor stands at 70-80%, a massive improvement from the days of near-empty flights just a year ago. Much of the gains are coming from its European bases, with load factors topping 90% in recent weeks, as many return to East Asia after three years.

The airline expects to see this trend continue for now, with 60% of flights for July already booked up. To cope with the demand, the five planes will be important, especially if more destinations are to be resumed. Moreover, reactivating the machinery around the A330s and 777-200s will make it easier to bring out of storage in the future as well.

Still in bankruptcy but doing well

Despite being in Chapter 11-style bankruptcy since the outbreak of the pandemic in 2020, Thai Airways has made great strides towards making a full recovery and emerging as a profitable operation. The airline is currently on track to exit bankruptcy in 2024, supported by over $700 million in loans from the government and huge cost cuts to the operation. This figure is half of the $1.4bn originally planned due to rapidly improving passenger figures.

In 2022, the airline is predicting 4.48 million passengers and bringing in revenues of $2.2 billion, up from just 194,000 passengers last year alone. The carrier has technically managed to turn a full-year profit in 2021 thanks to drastic cost-cutting and one-off accounting expenses but remains a few years from returning to positive equity.

For now, keep an eye out as Thai Airways accelerates its recovery plan in response to travel demand across the globe, which will only rise as travel restrictions ease across Asia.

What do you think about Thai's decision to bring back the A330 and 777-200s? Let us know in the comments!

Source: Nation Thailand