27th Aug 2012
Early next year, Nok Air will resume its international service.
The relaunch bid came on the heels of the scrapping of its proposed joint venture with Thai Airways International, to form an ultra-low-cost regional brand to challenge the budget leader AirAsia. Thai Airways holds a 49% stake in Nok Air.
The resumption of its international service was stalled indefinitely for a while following Thai Airways' plan to form a new ultra-low-cost brand to stem AirAsia's dominance in the market.
Ampon Kittiampon, THAI's chairman, recently made an announcement that it has abandoned its original plan following the flag carrier's ailing financial health and a troubled outlook. It will focus instead in its effort to recover last year's losses of 10.2 billion baht.
In 2010, a similar joint venture with Tiger Airways of Singapore was hatched but fell on the wayside following repeated delays to secure approval for the establishment of the new airline.
An airline official said that they will be careful this time when they relaunch their international service so as to ensure the sustainability of their operation. He said that they learned their lessons well and that they would not want to commit the same mistakes as before.
He admitted that the airline is now in a better position than in 2008 to operate an international service. It now boasts of a more sound financial backbone and is capable enough to manage whatever risk is coming their way.
Since the suspension of its international service (mainly to India and Vietnam), Nok Air has since been concentrating on its domestic operation.
Nok Air is taking extra care in its bid to launch its international service so that it will not compete directly with other THAI subsidiary airlines, an official said.
Nanjing in Southeast China will be among Nok Air's first destinations to serve during the relaunch of its international service from its hub at Don Mueang Airport. It has been operating a charter service to the Chinese city since April this year.
The airline will be deploying one of its B787-800s, a family of narrow-body single-aisle aircraft with 189 seats, for its international operations.
Nok Air is also firming up plans to strengthen its domestic network by opening up three new routes and add flight frequencies to existing routes. It currently flies to 20 domestic key destinations aside from Bangkok.
It will also take delivery of five B737-800 jets and a couple of ATR72-500 turboprops by the end of this year. While it will retire some of its aging aircraft such as the older B737-400s, the new replacement will significantly boost capacity.
Nok Air has a current fleet of nine B737-400s, four B737-800s and two ATR-72 aircraft.