2011 THAI profit falls by Bt10 bn

In 2010, the firm earned a healthy profit of Bt14.74 billion.
However, THAI chairman Ampon Kittiampon was optimistic about its business performance in the first quarter of this year, which he said would be driven by rising cabin factor and bookings.
THAI's board of directors on Friday acknowledged the company's operating result in January, 2012. Cabin factor – the percentage of passenger seats sold – was 77 per cent last month, similar to the same period last year. In December, the figure was 68.1. The increase was attributed to growth in cabin factor on routes to Europe (from 67.7 to 85.2 per cent), North America (from 72 to 79.1 per cent) and to Australia and New Zealand (from 71.8 to 77.7 per cent).

For cargo and commercial Mail, available capacity in January was 0.8 per cent lower than the same period last year. Freight load factor averaged at 49.7 per cent, which was 7.3% lower than the same month last year as a result of economic slow down in Europe as well as the decommissioning of one freighter aircraft in August 2011.

Its booking rate is expected to be almost 80 per cent during March and April, Ampon said after the board meeting.

He said it was a clear sign that THAI was on a recovery path after being hit by floods at the end of last year. Also, the firm has secured its fuel costs through hedging in the third quarter of last year.
 

The board also approved the aircraft decommissioning plans during 2012-2013 as part of the 2012-2022 Long-term Plan for Aircraft Fleet Development, including the aircraft currently on lease to NokAir.
 In 2012 THAI will decommission the following 11 aircraft:
- Airbus A300-600 (2 aircraft)
- Airbus A340-500 (4 aircraft)
- Boeing 747-400 (2 aircraft)
- ATR72 (2 aircraft, leased to Nok Air)

In 2013 THAI will decommission the following 14 aircraft:
- Airbus A300-600 (4 aircraft)
- Boeing 777-300ER (5 aircraft, leased from Jet Airways expires)
- Boeing 747-400 (2 aircraft)
- Boeing 737-400 (1 aircraft, leased to Nok Air)
- ATR72 (2 aircraft, leased to Nok Air)
 
During 2012 and 2013, the company will receive the delivery of 25 new aircraft into the fleet.