New LCC Thailand

[Brown1950 67]

Understand an annoucement will be made tomorrow regarding a new LCC in Thailand. Thai Airways and Tiger Airways would appear to be involved. Where would this leave Nok Air (part owned by Thai) ?

[joekicker 53]

Understand an annoucement will be made tomorrow regarding a new LCC in Thailand. Thai Airways and Tiger Airways would appear to be involved. Where would this leave Nok Air (part owned by Thai) ?

 

You could sell it to Temasek Holdings. They've done okay with castoff Thai stuff.

 

No, seriously, I think you have to let Nok fly free OR sink it. My bet would be the former, as Nok is taking over some THAI routes already. Back in the day, there were two very separate airlines - Thai Airways and Thai International (two adjectives in search of a noun). The former was the domestic airline. No reason they couldn't do that again. Good job-creation scheme for 61-year-old generals and connected civil servants.

 

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Edited August 1, 2010 by joekicker

[darkmancomes 75]

Will wait and see! I flew with Nok a couple of times internal back in the days when they were competative checked within the last year and they were far from being that. They were an ok airline when I flew with them.

[CheshireTom 1,377]

Will wait and see! I flew with Nok a couple of times internal back in the days when they were competative checked within the last year and they were far from being that. They were an ok airline when I flew with them.

 

The only good thing about Nok is the opportunity to have your last Burger King meal at DM before heading back to the boonies.

 

You could sell it to Temasek Holdings. They've done okay with castoff Thai stuff.

 

I don't know if you meant that to be a bit tongue in cheek, but it's not too far removed from what's happening.

Edited August 1, 2010 by CheshireTom

[joekicker 53]

I don't know if you meant that to be a bit tongue in cheek, but it's not too far removed from what's happening.

 

Thassafact.

 

It's a jest, though. THAI is still state-owned. The government that sells used toilet paper to Temasek will be overthrown, let alone one of those precious "national assets". The yellow shirts are moving up again REALLY fast, just about ready to make another breakout, I think. You'd have to have a need for political suicide to unload Nok Air to those scurvy arrogant Singaporean thieves, heh.

 

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[Brown1950 67]

Joint venture between Thai Airways(51%) and Tiger Airways (49%) will be called Thai Tiger. Based in Bangkok will operate within 5 hour flying radius from BKK. New venture to commence around April 11.

[joekicker 53]

Will wait and see! I flew with Nok a couple of times internal back in the days when they were competative checked within the last year and they were far from being that.

 

Definitely. But don't make this error, that it is the sole goal (or even ANY goal) of the various authorities involved including Thai Airways to have a decent airline out of Nok. I can think up a couple of reasons to have a decent airline and about a gross of reasons where it doesn't matter at all, some of which are that it would be a goal to have a NOT-decent airline.

 

EDIT/ADDITION

 

Edit/add, there are two stories in the Tuesday Bangkok Post about this sudden development. A news story says the government and some high-ranking people are REALLY pixxed because this new airline will cut heavily into ThaiAirAsia. That's in the news section. A second story in the Business section notes about Nok:

 

 

[THAI president] Dr Piyasvasti said Nok Air would continue to play the same role it has, but as a hybrid model between a conventional airline and budget operator, Thai Tiger would be tasked with capturing the strictly low-cost carrier (LCC) segment.

 

Nok Air has been unable to move fast enough to re-enter the regional market as early as next year, as THAI mandated earlier, because of its short-term focus on the domestic market and limited aircraft availability, he said.

 

Separately, Nok chief executive Patee Sarasin yesterday confirmed his airline was not yet ready to operate regionally due to constraints and fierce competition that could weaken its attempt to consolidate its profitability.

 

"The regional market is volatile and we don't want to repeat the same mistakes that prompted a major rationalisation in recent years," he told the Bangkok Post.

 

News story.

 

Business story.

 

 

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Edited August 2, 2010 by joekicker

[mmaaarrrkkk 41]

Thai Airasia copy! I think Nok will continue domestic flights while the new airline will take advantage of Tiger Air's links with China , India etc

[CheshireTom 1,377]

Separately, Nok chief executive Patee Sarasin yesterday confirmed his airline was not yet ready to operate regionally due to constraints and fierce competition that could weaken its attempt to consolidate its profitability.

 

There is also the small problem that they seem unable to find anyone with a decent command of English to look after their marketing.

 

Thai Air Asia does appear to operate under some sort of restrictions e.g. they don't have flights to Vientiane, Siem Reap or Clark (amongst others), yet all those destinations are well served from KL. Not a big deal for me as previously I could fly Alor Star to KL and will be able to fly direct from Had Yai from the end of this month.

 

I'm not a big fan of LCC subsidiaries of major airlines - the majority seem to make a proper hash of things.

[joekicker 53]

That was the long windup, now here's the pitch. As I say, never EVER ignore the possibility that Nok Air is trying NOT to be a wonderful airline.

 

 

No change, no gain

 

THAI decided to co-invest with Tiger Airways because Nok Air refused to develop into a super low-cost airline, the THAI board chairman says.

 

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Edited August 3, 2010 by joekicker