Air Force Convention Hall Bangkok. Mr. Areepong Bhoocha-oom, Chairman of the Board of Directors, Thai Airways International Public Company Limited (THAI), presided over the Company’s Annual General Shareholders’ Meeting 2016, with the attendance of THAI Board of Directors, THAI Management and shareholders, covering the following agenda:
Operating Results for 2015
At THAI’s 2016 Annual General Shareholders’ Meeting, the operating results for 2015 (January-December 2015) were acknowledged. Since the first quarter of 2015 THAI implemented the Transformation Plan approved by the State Enterprise Policy Committee on 26 January 2015. The Transformation Plan in the first phase aimed to stop the bleeding by reducing flight frequency and/or discontinuing non-profitable routes, cutting unnecessary cost items, generating revenue by adjusting sales strategies, increasing ancillary revenues and enhancing product and services competitiveness. This included personnel cost restructure in order to reduce long-term human resource costs in the long run.

THAI received seven new aircraft while decommissioned 15 aircraft following the fleet rationalization strategy resulting in 95 aircraft outstanding as of 31 December 2015 which was a decrease from 102 aircraft in 2014. Nevertheless, the network rationalization strategy resulting in adjusting flight frequency and change of aircraft to match the passenger demand caused more effectiveness on aircraft utilization causing (a) increasing Available Seat-Kilometer: ASK by 0.6%, (b) increasing Revenue Passenger-Kilometer: RPK by 6.5%, (c) increasing cabin factor to an average of 72.9% comparing with 68.9% in 2014, and (d) increasing in number of passengers carried to 21.25 million passengers or an increase of 11.3% from the previous year.

Strictly following the strategic and transformation plans which were closely monitored by the Management and Board of Directors, THAI and its subsidiaries reported a 2015 operating loss of THB 1,304 million from airline business, compared with THB 21,715 million or 93.4% improvement from the same period the previous year due mainly to 11.2% total expense reduction on the back of fuel expense and non-fuel expense resulting from cost management initiatives. Total revenue declined by 1.2% from 2014 mainly from 1.5% reduction in passenger revenue and 21.0% reduction in freight revenue. The main reasons for revenue decline were due to high competition, drop in fuel surcharge and strength in the Baht compared to major currencies.

In 2015, THAI and its subsidiaries had gained THB 3,512 million on foreign currency exchange. THAI incurred a THB 4,167 million one-time cost from the Transformation Plan and THB 12,157 million in aircraft and asset impairments. Including all these items, the total net loss for 2015 was THB 13,047 million. Loss attributable to owners of the parent amounted to THB 13,068 million. Loss per share was THB 5.99 which was a lower loss than in 2014 by THB 1.16 (16.2%).

As of 31 December 2015, total assets were THB 302,471 million, a decrease of THB 4,796 million (1.6%) from 31 December 2014, mainly due to impairment loss of aircraft. Total liabilities as of 31 December 2015 totaled THB 269,545 million, which was an increase of THB 3,574 million (1.3%) as of 31 December 2014. Total shareholders’ equity amounted to THB 32,926 million, which was a decrease of THB 8,370 million (20.3%) as compared to 31 December 2014.

Distribution of Dividend
At the 2016 Annual General Shareholders’ Meeting, the shareholders approved to suspend payment of dividend in reflection of the Company’s financial performance in 2015. The suspension of dividend payment is in accordance with the Company’s dividend policy providing that the Company shall distribute “not less than 25 percent of the consolidated net profit before gains or losses on foreign currency exchange and shall also be subject to the future investment plans, necessity and appropriateness.”

Selection of Board of Directors
At the 2016 Annual General Shareholders’ Meeting, the following Directors retired by rotation:
1. Police General Chakthip Chaijinda
2. Mr. Rathapol Bhakdibhumi
3. Mr. Kanit Sangsubhan
4. Mr. Weerawong Chittmittrapap
5. Mr. Somkiat Sirichatchai

At the Annual General Shareholders’ Meeting, the following five Directors were appointed for another term:
1. Police General Chakthip Chaijinda
2. Mr. Rathapol Bhakdibhumi
3. Mr. Kanit Sangsubhan
4. Mr. Weerawong Chittmittrapap
5. Mr. Somkiat Sirichatchai

Attending THAI’s Annual General Shareholders Meeting were 1,831 shareholders, representing 1,595,489,723 shares.

Furthermore, the Company reported progress on the transformation plan 2015 that consists of three stages, as follows:
1. Stop the bleeding
2. Strength building
3. Sustainable growth

In 2015, six strategies were implemented, as follows:
1. Route network strategy
2. Fleet strategy: by selling decommissioned aircraft
3. Commercial strategy: to increase revenue efficiency
4. Operations and cost strategy
5. Human resource management
6. Manage the Company and subsidiaries as well as business units

In 2016, the Company’s focus is on “strength building” in order to improve its abilities to compete by concentrating on the following four areas:
• Generate revenue
• Effective cost reduction
• Build sustainable capability
• Customer service excellence

Hinterlassen Sie einen Kommentar.