THAI woos Nok for new no-frills venture

Published: 13/02/2012 at 03:10 AM
Newspaper section: Business

Thai Airways International (THAI) is reviving its plan to create yet another budget carrier following the failure to get its to partnership with Singapore-based Tiger Airways off the ground.

The flag carrier has now turned to Nok Air, its budget affiliate, to help set up a new airline whose prime mission would be to compete head-on with Thai AirAsia, which has the lion's share of the no-frills business in Thailand.

An industry insider said THAI leaders were pushing for a commitment "as soon as possible" from the Nok Air board on which they also sit. THAI raised its stake in Nok to 49% by acquiring the 10% held by state-owned Krung Thai Bank last year.

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: Writer: Boonsong Kositchotethana; Position: Deputy Editor Business

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barryw
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Discussion 1 : 13/02/2012 at 09:45 AM1
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Thai Air were caught napping by Air Asia and have been trying for years to catch up. All attempts have failed, with Nok Air leaving the international market, the link with Tiger not getting off the ground as it wasn't considered 'Thai' enough, and now Smile is to be tried. Yet, even before Smile begins service, Thai are talking about starting up yet another new airline.
It seems a very odd way to run a business, with the airline not really knowing what it wants. But then, this is Thailand where normal rules don't apply.
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THAI woos Nok for new no-frills venture | Bangkok Post: business