23-May-2011 12:33 PM
Thai Airways to establish new regional wing
Analysis
Thai Airways' Board has given in-principle approval to plans to establish a new regional airline. The carrier, Thai Wing, will commence domestic and international services in Mar/Apr-2012.
Summary
- Thai Airways' Board approves plans to establish a new regional airline called Thai Wing.
- Thai Wing will commence domestic and international services in Mar/Apr-2012.
- The airline will start with five leased B737s and two other leased aircraft, with plans to expand the fleet to 11 within three years.
- The launch of Thai Tiger, a joint venture LCC between Thai Airways and Tiger Airways, has been delayed until July/August 2011.
- Thai Airways' shares fell 0.7% and Tiger Airways' shares fell 1.3% following the announcement.
- Thai Wing aims to cater to short-haul routes.
Thai Wing will operate short-haul services with five leased B737s and two other leased aircraft in its first year, with the fleet expected to reach 11 within three years.
Thai Airways, which signed an alliance with Tiger Airways last year to form a 51:49 joint venture LCC, said the launch of Thai Tiger had been delayed from this month until July/August 2011.
Thai Airways' shares fell 0.7% on Friday, while Tiger Airways shed 1.3%.
Selected APAD daily share price movements (% change): 23-May-2011
