According to The Thai Enquirer, Thai Airways will file for bankruptcy today.
The airline has been struggling for a number of months. Admittedly, at this stage, I dont know whether this means the airline will stop flying entirely or they will carry on under bankruptcy protection. My knowledge of the laws in Thailand aren’t that great! However, as the article states that it is a “rehabilitation plan”, this says to me that the airline will continue to operate.
As seen with South African Airways and virtually all the US carriers over the years, they are able to continue their operations, despite being in bankruptcy.
However, in Europe, the laws are different. Once an airline is bankrupt, that is that. Game over. As seen with Monarch, Thomas Cook, Air Berlin and numerous others over the years.
The situation at Thai doesn’t sound too positive however. According to the linked article, the airline only has enough cash on hand to pay employees wages for the month.
It also states that the airline has in the region of £7,800,000,000 debt. Impressive numbers.
Should Thai Airways cease flying completely, it will leave Thailand without a major international airline. The only other airlines the country is home to are low cost carriers that fly regionally within Asia.
Like many airlines the world over, Thai Airways has ceased all fliights completely for the time being. The latest update from their website states that they aren’t scheduled to begin services again until at least July.