THAI creditors told to file requests for repayment

THAI creditors told to file requests for repayment

Thai Airways International has asked its creditors to file their requests for debt repayments with the Department of Legal Execution after the Central Bankruptcy Court on Monday accepted its request for debt restructuring.

THAI acting president Chansin Treenuchagron said creditors must submit their requests within a month of the order for the airline's rehabilitation being published in the Royal Gazette.

"All the creditors except customers can file their requests with the Department of Legal Execution. We've put in place measures to take care of the customers, so they do not need to worry," he said.

According to the airline, customers are allowed to keep unused tickets for use after its rehabilitation or with its subsidiary Thai Smile Airways which is still operating. They can also trade their tickets for travel vouchers that will be valid until Dec 31, 2021.

The court's decision came after three rounds of hearings were held on Aug 17, 20 and 25.

Mr Chansin said the rehab plan is expected to be submitted to the court by the end of the year and the Department of Legal Execution will hold a meeting with the airline's creditors to examine the plan.

He said the court is likely to rule on the plan and the appointment of administrators early next year but declined to give any details saying it must be approved by the court.

According to Mr Chansin, THAI's total outstanding debt currently stands at about 352.494 billion baht with 10.248 billion baht due for imminent repayment. However, the airline has been given an automatic stay from debt collection by creditors.

In July, the flag-carrier announced a huge fall in passenger numbers, with only about 3.5 million people carried in the first five months of the year. It also lost its state enterprise status after the Vayupak 1 Fund bought a 3.17% stake from the Finance Ministry.

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