Thailand examines airline finances due to safety concerns

[webfact]

Thailand examines airline finances due to safety concerns
REUTERS

BANGKOK: -- Thailand's civil aviation authority ordered all Thai-registered airlines on Tuesday to submit reports on their financial positions by March 31 to avoid the risk of having their operating licences revoked.

The move is part of the military government's attempt to improve the country's aviation standards after the U.S. Federal Aviation Administration downgraded Thailand's safety ratings in December.

Full story: http://uk.reuters.com/article/uk-thailand-aviation-idUKKCN0VW14F


-- Reuters 2016-02-24

[siliconvalley]

Wow....

Ok Ok..What does an airlines' finances has to do with the compliance of international safety standards?

Just because you own 2016 Toyota Camery, doesn't mean you know how to drive.

[Chang_paarp]

Wow....

Ok Ok..What does an airlines' finances has to do with the compliance of international safety standards?

Just because you own 2016 Toyota Camery, doesn't mean you know how to drive.

If the airlines don't have the money or cash-flow to pay their staff the going rate they are unlikely to be paying for insignificant issues like ensuring correct qualifications or out laying for maintenance or even complying with international standards. As we all know it is all about the money.

[chilli42]

Wow....

Ok Ok..What does an airlines' finances has to do with the compliance of international safety standards?

Just because you own 2016 Toyota Camery, doesn't mean you know how to drive.

If you have a 1999 Toyota Camray and you have been spending nothing on maintenance then it does not matter how well you drive, the car is going to break down at some point soon.

[Taffyfromflint]

Wow....

Ok Ok..What does an airlines' finances has to do with the compliance of international safety standards?

Just because you own 2016 Toyota Camery, doesn't mean you know how to drive.

If the airlines don't have the money or cash-flow to pay their staff the going rate they are unlikely to be paying for insignificant issues like ensuring correct qualifications or out laying for maintenance or even complying with international standards. As we all know it is all about the money.

Maybe they want to see if the airlines are cash cows, heaven forbid they would rob peter to pay paul

[seajae]

lets see if any are removing the profit for themselves instead of using them to maintain the planes in good condition. If what happens with the buses is any indication then they probably are not, what you dont see doesnt matter if it puts money in your pocket does seem to be the catch cry of some of these people, customers safety comes a distant second

[webfact]

Thai airlines told to submit risk management plans



BANGKOK: -- Fourteen Thai airlines have been ordered by the transport Ministry to have risk management plans to avoid causing inconvenience to passengers, and for safety reasons following flight cancellations of Nok Air caused by pilots’ strike on February 14.

Mr Akom Termpitayapaisit, the transport minister said these airlines would have to report the risk management plan to the Civil Aviation Authority of Thailand (CAAT) and the plan must cover all risk situations, including pilot strike, natural disaster and information technology failure.

The movement came as some 10 Nok Air pilots went on a strike in February 14, affecting dozens of flights and as many as 3,000 air passengers.

The strike was resulted from dissatisfaction of pilots who did not pass the company’s new aviation management audit which was designed to meet safety standard set by the European Aviation Safety Agency (EASA).

Nok Air is also currently facing a severe shortage of pilots and ground staffs.

In a latest development, the company has announced that it would cancel some scheduled flights to Khon Kaen, Trang and Surat Thani provinces from yesterday to Sunday.

Akom said he had ordered the Civil Aviation Training Center to speed up establishing an aviation personnel recruitment plan to help fix the shortage problem.

The transport minister said that he had informed the cabinet that CAAT was performing an audit on very Nok Air pilot’s flight hours and his ministry should know the audit result this week.

Meanwhile, Chula Sukmanop, director of Civil Aviation Department and acting CAAT director said Nok Air’s flight cancellations had been done according to the rules because the airline’s clients had been informed about the cancellation three days in advance.

The department had not cancelled operating license of four airlines which was facing severe financial problems. The four airlines are City Airways, Asian Air, Kan Airlines and Jet Asia Airways.

Source: http://englishnews.thaipbs.or.th/content/152204


-- Thai PBS 2016-02-24

[webfact]

Four airlines facing financial problems



BANGKOK: -- The Civil Aviation Authority of Thailand (CAAT) has released financial reports of 50 Thai airlines, showing four of them having financial problems.

According to the report, the four airlines facing liquidity problems are City Air, Asian Air, Kan Air and Jet Asia.

It said the four airlines are facing financial loss and having a huge overdue over airport fees. The airlines also owe a huge sum of money to financial institutions.

It said these airlines operate air charter business.

City Air has already suspended its operation, while Asian Air used to operate Bangkok-Narita flights.

Kan Air is still in the business, offering flights between northern and northeastern provinces for about 20 trips per week.

Jet Asia airline used to offer Suvanabhumi-Narita flights for twice a week.

CAAT has ordered City Air to temporary suspend its operation since February 18 to prevent cancellation of their flights as has happened before.

Asian Air is facing a receivership order from the court and has been suspended its operation since February 5.

CAAT is now closely monitoring financial status of Kan Air and Jet Asia.

Source: http://englishnews.thaipbs.or.th/content/152212


-- Thai PBS 2016-02-24

[Ulic]

Wow....

Ok Ok..What does an airlines' finances has to do with the compliance of international safety standards?

Just because you own 2016 Toyota Camery, doesn't mean you know how to drive.

If you don't have the cash flow, you tighten the belt so to speak and an easy scrimp is to put

off, delay, cancel routine inspections and maintenance.

[Cereal]

Wow....

Ok Ok..What does an airlines' finances has to do with the compliance of international safety standards?

Just because you own 2016 Toyota Camery, doesn't mean you know how to drive.

I worked with Air Canada for 10 years and I'll tell you an airline's finances will tell everything about how safe it is and whether or nt it meets international safety standards.

It's more about 'where the money goes' as opposed to 'how much is coming in'. Maintenance, especially general routine maintenence, is one of the first things to get neglected.

[joebrown]

It's comforting to see the state owned and tax-payer financed Thai Airways doesn't appear to have any financial difficulties.

[rodknock]

why has it been since december 2015 before any one has made a decision to try and do something????

and why until the end of march to post issues??

well i guess the, if i do nothing it will go away method, has not worked.

probably more towards dog and pony show!!!!

when Thailand finally looses it's licenses to fly to other countries they will start crying, not my fault, not my fault.

when that happens, who's going to loose face and what are they going to do with all the people out of work.

at least if Thai. planes can not fly, what will taxi's do??????

[sanukjim]

It's comforting to see the state owned and tax-payer financed Thai Airways doesn't appear to have any financial difficulties.

Just because Thai Air does not seem to have money worries does not mean that it has been spending money needed on the proper maintenance and training programs.,Far from it.It only continues to operate because the country does not want to "Loose Face" if it failed.

[shaurene]

In regards to Thai air, this was one of the best airlines 5-6 yrs back. Very competitive. Now one of the most expensive to fly with.

The reasons are.

1: To much control in the government.

2: free tickets for all government people and important business Thai people. The cost to Thai Air must be huge. The typical way to make more profit is for them to increase prices.

3: They do not search international markets for experienced CEO's to run the airline. There are no experience

People in Thailand that can do it.

4: look at some of the Middle East CEO's in their airlines all from other countries and their airlines are making good profits and new planes.

The government must stop interfering in Thai Air.

Get an international person to run the company.

[TallGuyJohninBKK]

Of course, what the Thai PBS report doesn't mention at all is that at least PART of the reason some of those carriers are having financial problems is that they were prevented from operating their planned charter services to other countries like Japan and Korea when the ICAO and U.S. FAA downgrades/warnings about Thai aviation occurred, and other countries started shutting the door at least for the time being on Thai charter carriers.

[sanukjim]

In regards to Thai air, this was one of the best airlines 5-6 yrs back. Very competitive. Now one of the most expensive to fly with.

The reasons are.

1: To much control in the government.

2: free tickets for all government people and important business Thai people. The cost to Thai Air must be huge. The typical way to make more profit is for them to increase prices.

3: They do not search international markets for experienced CEO's to run the airline. There are no experience

People in Thailand that can do it.

4: look at some of the Middle East CEO's in their airlines all from other countries and their airlines are making good profits and new planes.

The government must stop interfering in Thai Air.

Get an international person to run the company.

I think their motto is" hire the incompetent,they are fun to watch".

[Whyamiandwhatamidoinghere]

Wow....

Ok Ok..What does an airlines' finances has to do with the compliance of international safety standards?

Just because you own 2016 Toyota Camery, doesn't mean you know how to drive.

If you don't have the cash flow, you tighten the belt so to speak and an easy scrimp is to put

off, delay, cancel routine inspections and maintenance.

Goodbye Thai Airways and baby bird...

[Whyamiandwhatamidoinghere]

I guess Bangkok Airways will be moving to Swampy...

[khunken]

I guess Bangkok Airways will be moving to Swampy...

Hardly as they are already there now.

[sawadee1947]

Four airlines facing financial problems

BANGKOK: -- The Civil Aviation Authority of Thailand (CAAT) has released financial reports of 50 Thai airlines, showing four of them having financial problems.

According to the report, the four airlines facing liquidity problems are City Air, Asian Air, Kan Air and Jet Asia.

It said the four airlines are facing financial loss and having a huge overdue over airport fees. The airlines also owe a huge sum of money to financial institutions.

It said these airlines operate air charter business.

City Air has already suspended its operation, while Asian Air used to operate Bangkok-Narita flights.

Kan Air is still in the business, offering flights between northern and northeastern provinces for about 20 trips per week.

Jet Asia airline used to offer Suvanabhumi-Narita flights for twice a week.

CAAT has ordered City Air to temporary suspend its operation since February 18 to prevent cancellation of their flights as has happened before.

Asian Air is facing a receivership order from the court and has been suspended its operation since February 5.

CAAT is now closely monitoring financial status of Kan Air and Jet Asia.

Source: http://englishnews.thaipbs.or.th/content/152212

-- Thai PBS 2016-02-24

I'm missing here Thai Airways. Huge losses, only supported by the "highest". Too minimize losses they want to sell some planes, but nobody wants to buy those junks.

[Johpa]

Maybe they want to see if the airlines are cash cows, heaven forbid they would rob peter to pay paul

It is easy to create a positive cash cow if you do not reinvest in the maintenance necessary to assure the safety of your customer base. But who cares about the safety of others once you have become addicted to money. Not all the wolves (money junkies) are on Wall St. Alas not reinvesting capital is one essence of "Thainess". But when the public sector goes Thai we could just say they go Flint.

[jacko45k]

So Nok Air are doing fine?

[Chiangmaijoseph]

Four airlines facing financial problems

BANGKOK: -- The Civil Aviation Authority of Thailand (CAAT) has released financial reports of 50 Thai airlines, showing four of them having financial problems.

According to the report, the four airlines facing liquidity problems are City Air, Asian Air, Kan Air and Jet Asia.

It said the four airlines are facing financial loss and having a huge overdue over airport fees. The airlines also owe a huge sum of money to financial institutions.

It said these airlines operate air charter business.

City Air has already suspended its operation, while Asian Air used to operate Bangkok-Narita flights.

Kan Air is still in the business, offering flights between northern and northeastern provinces for about 20 trips per week.

Jet Asia airline used to offer Suvanabhumi-Narita flights for twice a week.

CAAT has ordered City Air to temporary suspend its operation since February 18 to prevent cancellation of their flights as has happened before.

Asian Air is facing a receivership order from the court and has been suspended its operation since February 5.

CAAT is now closely monitoring financial status of Kan Air and Jet Asia.

Source: http://englishnews.thaipbs.or.th/content/152212

-- Thai PBS 2016-02-24

[Chiangmaijoseph]

These guys sit there like they would understand what is going on. The fuel price may drop to a penny and these airlines would still loose money. The cash is going a different route, like in other enterprises.

[phoenixdoglover]

Back in early December it was announced the Thai government was doing a fast track recruitment of foreign air safety experts. Wonder if that is done.

[GOLDBUGGY]

The greatest cost to an Airline is Fuel. If you can't make a go of it on low Oil Prices, you never will. Time to through the towel in.

[Broeno]

what a coincidence. Thai Airlines is in financial trouble. This looks like a good trick to give them a stronger position and more dominance in Thai airspace. wonder who the price to pay for this, but I actually know.

[Cereal]

Back in the days when I worked for an airling we had a saying:

What's the quickest way to become a millionaire?

Start with a billion dollars and buy an airline!