Thai Airways: 2009 revenue targets won't be met
Wednesday, 24 December 2008: Thai Airways this week announced it will not be able to meet its previously set out revenue targets for 2009, with expectations that it will fall some 3-5% below its predictions.
2008 revenue will also drop, decreasing by 10% when compared to 2007, Thai Airways adds.
Load factors for the current year are also expected to fall below targets, set to sit at 70%, three per cent below previous forecasts, said the carrier in a press conference on Monday.
As such the carrier will look to making more network adjustments, with long-haul network changes on the top of the agenda, and South Africa and New Zealand the likely areas to be hit.
“The company has revised its business and marketing plan for next year due to the worldwide economic slowdown and the closure of two airports recently,” said Pandit Chanaphai, Thai Airways Executive Vice President Commercial.
“The target will have to be revised as we accept that global economic slowdown will certainly affect us.”
A decision won’t be finalised until after the next board meeting, but it is likely that the Bangkok–Johannesburg will be cut, while Bangkok– Auckland will be revised.
Thai Airways hopes that dropping capacity will see it make an average of 74% on its load factor average for 2009.
In 2008, Thai has already dropped its direct service to New York, while it now operates its Los Angeles services via Tokyo.
During the siege of protestors at Bangkok’s two main airports, Thai Airways had said that it expected to lose some THB500 million for each day of the disruptions during its peak travel period.