Bangkok--18 Jan--Thai Airways International
Today (15 January, 2010) at the Head Office of Thai Airways International Public Company Limited, a Board of Directors Meeting was chaired by Mr. Ampon Kittiampon, THAI’s Chairman of the Board of Directors, with the following results:
1. Upgrade of Inflight Entertainment System on Boeing 777-200s
The Board of Directors approved the upgrade of inflight entertainment system in Economy Class for 8 Boeing 777-200s, at an investment of 1,104 million baht. The newly upgraded inflight entertainment system is the same type that is already equipped in Business Class. The upgrade aims to boost competitiveness and improve customer satisfaction, which the Board has considered as investment worthy in terms of financial and commercial values, equivalent to the Internal Rate of Return (IRR) of 14 percent. It is anticipated that the Company’s revenue will increase to approximately 2,404 million baht. The upgrade of inflight entertainment systems will be complete within two years.
THAI will utilize Boeing 777-200s on its regional routes including Tokyo, Osaka, Korea, Hong Kong and Kathmandu, which are high traffic demand and high revenue making routes.
2. Concerning Installation of KOITO Passenger Seats
The Board of Directors acknowledged the delay in installing of KOITO passengers seats in Economy Class for the Company’s Airbus A330-300 aircraft. As the seats were not yet certified by the authorities concern, those being the Japan Civil Aviation Bureau (JCAB) and the European Aviation Safety Agency (EASA), this caused a delay in installation that has effected several airlines ordering KOITO seats. KOITO is actively in pursuit of alleviating this matter and has currently informed the Company of the resolution as well as the audit schedule in order that the JCAB and EASA may issue an Export Certificate of Airworthiness. However, should there be a delay in conducting the audit and issuing the Export Certificate of Airworthiness, the Company can claim for any impact on the delay and on opportunity loss from KOITO at approximately 500 million baht.
3. Approval of Annual Bonus for Year 2009 and Employee Pay Raise
The Board of Directors approved of the annual bonus for Year 2009 for employees at 0.5 percent of their salary and the employee pay raise at 4 percent of their salary. The Board of Directors announced that the financial results for Year 2009 were profitable due to a greatly improved fourth quarter result. The profits were due to cost cutting measures that were strictly implemented continuously in accordance to the business turnaround plan. Revenue for 2009 is also beyond target. The bonus and pay raise are made in recognition of employees’ hard work and dedication and as inspiration for their continued efforts.
International Public Relations Department
Thai Airways International Public Company Limited
Tel : (662) 545-2662 / 2663 / 1711 / 4686 / 1705 / 2720
Fax : (662) 545-3891