BANKRUPTCY COURT APPROVES THAI AIRWAYS RESTRUCTURING PLAN
BANGKOK, June 15 -- Thailand’s Central Bankruptcy Court today approved Thai Airways International Pcl's (Thai Airways) restructuring plan which covers the airline’s debt of 400 billion baht (100 baht = RM13.2).
In a statement, Thai Airways said the court endorsed the plan that had been accepted by creditors at a meeting on May 19.
About 91 per cent of the creditors approved the restructuring plan.
It said the court decision enabled the airline to continually operate its business under the business rehabilitation proceedings.
“The plan administrators and all employees are committed to performing their duties for a successful implementation of the plan and for the utmost benefit of all creditors,” it said.
Five people including Thai Airways acting chief executive officer (CEO) Chansin Treenuchagron and former CEO Piyasvasti Amranandthe have been appointed as the plan administrators.
Prime Minister Prayuth Chan o-cha said all related parties should help Thai Airways to successfully implement the restructuring plan.
Thai Airways biggest shareholder is the Finance Ministry which holds a 47.86 per cent stake in the carrier. However, it does not hold a state enterprise status.
The airline proposed in March a three-year freeze on loan payments and a deferment of bond repayments for six years.
In September last year, Thailand’s Bankruptcy Court allowed Thai Airways to proceed with its debt restructuring plan worth 245 billion baht.
Thai Airways recorded a loss of 141 billion baht last year as the COVID-19 pandemic plunged the carrier deeper into the red.
Meanwhile, Thai Airways is seeking new loans of as much as 25 billion baht to help in its restructuring plan.
Its chief financial officer Chai Eamsiri said the airline has been discussing with some banks for loans as part of the restructuring plan.
“We hope to secure new loans soon because our existing cash can only cover till the end of this year,” he said in a video conference today.
-- BERNAMA
BERNAMA provides up-to-date authentic and comprehensive news and information which are disseminated via BERNAMA Wires; www.bernama.com; BERNAMA TV on Astro 502, unifi TV 631 and MYTV 121 IFLIX channels and BERNAMA Radio on FM93.9 (Klang Valley), FM107.5 (Johor Bahru), FM107.9 (Kota Kinabalu) and FM100.9 (Kuching) frequencies.
Follow us on social media :
Facebook : @bernamaofficial, @bernamatv, @bernamaradio
Twitter : @bernama.com, @BernamaTV, @bernamaradio
Instagram : @bernamaofficial, @bernamatvofficial, @bernamaradioofficial
TikTok : @bernamaofficial
