THAI spends on fleet rejuvenation; takes a step closer to launching new LCC

THAI Airways International (THAI) has set aside 457 billion baht (US$14.9 billion) to acquire 75 new aircraft between this year and 2022 as part of plans to modernise its fleet.

The Thai national carrier will spend 216 billion baht between this year and 2017 on 11 narrow-bodied and 26 wide-bodied planes. Another 241 billion baht will be invested between 2018 and 2022 on 38 wide-bodied aircraft.

The investment will be on top of existing orders for seven Airbus A330-300s and eight Boeing 777-300ERs to be delivered between this year and 2013, while six A380-800s will join the fleet within the next two years.

The carrier will gradually decommission some 21 aging planes by 2024, in the process reducing the average age of its aircraft from 11.9 years in 2010 to 8.5 years in 2017, and eight years by 2024.

Meanwhile, THAI yesterday inked a shareholder agreement with Tiger Airways to establish new regional low-cost carrier (LCC) Thai Tiger Airways, following a memorandum of understanding signed last August (TTG Asia e-Daily, August 2, 2010).

The LCC was slated to take off sometime this month, but has faced delays due to opposition from Thai authorities (TTG Asia e-Daily, September 3, 2010).

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