Thursday, 21 September 2017

Nok CEO resigns - as refinancing begins

The low-cost Thai carrier Nok Airlines and its  Chief Executive Officer Patee Sarasin, have parted company they've announced. In fact,  Patee Sarasin resigned from the position on the 14th September and has been replaced with the former Deputy Chief Executive Officer Piya Yodmani 

However, despite resigning as the CEO, Sarasin will actually remain with the budget airline, he'll still be a director of the company but has also been appointed as Vice Chairman. He is largely considered to be the driving force behind the inventive way the airline has branded itself as a fun, playful airline with sometimes tongue-in-cheek videos and commercials as well as creating music videos.

Nok Air may well be one of the leading budget airlines in the region, however, it is trying to transition itself as a high-quality price conscious airline.  They currently operate a mixed fleet comprising of 31 aircraft in total,  21 Boeing 737-800s, 8 Q400Next Gen's and a couple of ATR72-500 aircraft. 

The resignation of Sarasin is part of a whole restructuring move in which the company hopes to raise an additional 1.7billion TB to keep the airline going.   part of this deal will see a devolution of shires, increased investment from leading shareholder Thai Airways and a fleet reduction.  The ATR's will go along with a small number of 737-800's.  The plans include taking delivery over the next few years of some Boeing 787 aircraft as well as opening new routes to China, possibly up to five, as well as operating new domestic services.

The new CEO Piya Yodmani told local media "My preoccupation is to stop the bleeding and ensure the business turnaround plan is brought to fruition as soon as possible," 

"Restoring confidence among employees and consumers in Nok Air's brand, which has been bruised over the past few years, is another priority."  He plans to relocate various duties around the management team to assist with transforming the company and halting the drastic losses that have afflicted the airline in recent times. 

Another key issue for the new CEO will be to continue to repair relations with pilots and air crew's which have been fractious in recent times leading to industrial action, shortages and ill-feeling and a lack of goodwill on both sides. 

More details of part of the refinancing can be found here. 

This article was written for this site by a member of our team 🙋, please do share it with your friends via social media. You are also welcome to post it or republish elsewhere on the 🌎web on the condition that you credit the author and link back to our site. Thank you.

 ♻ We care about the environment, please think twice before you hit ‘print’