Julian Moxon/BANGKOK
THE PRESIDENT and owner of Thailand's privately owned airline Bangkok Airways wants to start a new airline to respond to the Thai Government's imminent call for offers for a second carrier to operate services on domestic and regional routes.
Prasert Prasarttong-Osoth, who owns 95% of Bangkok Airways, says that he may be forced into such a move to meet the Thai Government's condition that no shareholder in the new airline may own more than 40%. The Government has also stipulated that there be a minimum of three Thai investors, and that foreign ownership be limited to no more than 15%.
The opening of the network, and the ending of flag carrier Thai International's long-held monopoly on domestic routes, has been formally approved by the Government and is due to take effect "within three months", according to one source. Thai International has been told that it cannot be one of the investors.
While there are at least two other candidates for the second airline, including Orient Express Air (which operates a Boeing 727 and 737), Bangkok Airways has been seen as a front runner because of its existing, profitable domestic operation in Thailand, serving holiday destinations with five AI(R) ATR 72s (the sixth and final aircraft is due for delivery later this year).
Prasarttong-Osoth, whose involvement in the airline business dates back 29 years, says that he intends to leave Bangkok Airways to develop naturally. "We made $12 million profit in 1995," he says. "I am happy for that situation to continue," he adds.
He admits that he is still looking for investors in the new airline, however, "-but I don't expect too much difficulty".
Meanwhile, Prasarttong-Osoth is planning improvements to a pair of Bangkok Airways airports in Thailand, at Sukhothai in the north and Samui in the south. Sokhothai was opened in April, and is likely to see fast expansion as tourism to the ancient capital of Thailand increases, while the island of Samui is experiencing rapid growth.
Source: Flight International
