Summary
- Thai AirAsia X has received approval to expand its fleet of Airbus A330s from six to seventeen and open latest routes.
- While the airline is making progress in its financial rehabilitation, it must prioritize repaying creditors and refunding passengers whose flights were canceled throughout the pandemic.
- Thai AirAsia X goals to return to pre-pandemic capability by the tip of 2024, with a give attention to expanding within the Australian and Chinese markets, in addition to targeting growth opportunities in India and the Middle East.
The financial rehabilitation of Thai AirAsia X is gaining pace with Thailand’s Central Bankruptcy Court, giving the airline the green light to start out expanding again. Last week, the court approved the carrier’s business rehabilitation plan and ratified the choices made by a committee of creditors on July 14, 2023.
Photo: Airbus
On the lookout for more A330s
Thai AirAsia X (TAAX) has received approval from the Central Bankruptcy Court to start out implementing its rehabilitation plan in accordance with the choices that got here out of a conference of creditors in July. The low-cost carrier is now free to implement its plans, which include expanding the fleet of Airbus A330s from six to seventeen and opening latest routes to extend money flow and revenue.
Because the approved plan got here from a gathering of creditors, TAAX also must diligently implement repayment plans to creditors and refund payments to passengers whose flights were canceled throughout the COVID pandemic. While TAAX is making headway to depart its financial troubles behind, giving people back their money for flights that were never delivered must turn out to be a much higher priority if the airline wants to revive customer goodwill and confidence.
Photo: Airbus
TAAX is currently operating a fleet of six A330-300s with a mean age of greater than fifteen years. In response to fleet data from , it also has two A330-900s(neo) which are in storage and parked at Bangkok Don Mueang International Airport (DMK). The 2 A330neos, registered HS-XJA and HS-XJB, were in-built 2019 and delivered in August of that yr and are listed as managed by aircraft lessor Avolon.
Three core strategies for TAAX
On Friday, TAAX announced that following the approval from the Central Bankruptcy Court for its rehabilitation plan, it’ll give attention to three key strategies: fleet expansion, operational cost reduction, and effective debt management. TAAX CEO Tassapon Bijleveld said the choice and approval mark a crucial step forward and prove that the airline has proceeded along the fitting path within the interests of creditors and stakeholders, adding,
“After alleviation of the COVID-19 pandemic, Thai AirAsia X has returned to a stabilised operation mode, maintaining its strength as a number one low-fare medium-haul carrier dedicated to serving its core markets including Japan and South Korea.
“We now have targeted to return to shut to our pre-pandemic capability by the tip of 2024 and have accelerated expansion within the Australian and Chinese markets while also looking for out high growth opportunities in India and the Middle East, where we see significant future demand.”
Turning to fleet expansion, TAAX said the rehabilitation plan allows for an additional three to 5 aircraft inside 2024 and one other eight by 2028, bringing the whole fleet to seventeen, up from the six currently flying. Aside from increase the passenger network from Bangkok’s Suvarnabhumi International Airport (BKK), the low-cost carrier can be targeting growth opportunities in its cargo business.
Photo: via Melbourne Airport
On the debt situation, TAAX said it’ll begin repaying creditors and reimbursing passengers impacted by COVID-era cancelations. It added that the payment plan can be carried out sequentially in step with its turnaround plan, which suggests some customers could also be waiting for a while for a refund. To counter that, TAAX said that passengers can immediately substitute their refund for a travel voucher that they’ll use for flights to Japan, South Korea, Australia, and China.
Fleet Data: