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filmwill Sep 12th, 2008 06:58 AM

Guen,
This is from today's Bangkok Post. Thought it sounded promising:

HAI may cut fuel surcharges soon

Reduction in oil prices leads to reassessment

BOONSONG KOSITCHOTETHANA

Thai Airways International looks poised to reduce fuel surcharges in line with easing fuel prices, but other carriers in Thailand remain undecided whether to follow suit.THAI executives said yesterday that an across-the-board reduction in fuel surcharges could take place ''as soon as possible,'' probably before the end of this month. The sizes of the cuts, however, are still under consideration. ''I think we are moving towards that direction (cutting fuel surcharges) in response to how the airline industry is reacting to the recent decline in fuel prices,'' said THAI executive vice-president Pandit Chanapai.

On Tuesday, Singapore Airlines (SIA) cut fuel surcharges by US$4 to $10 per leg for flights from Singapore to Southeast Asian countries, Australia, New Zealand and other East Asian hubs.

But the surcharges on long-haul flights, including between Singapore and cities in the United States and Canada, were unchanged.

Crude oil prices have fallen 27% from record highs of above $147 a barrel in July on growing worries about a US-led global economic slowdown.

Jet fuel prices have moved in a similar trend and dropped to $120 a barrel in the Singapore spot market on Wednesday.

But two Bangkok-based low-cost carriers _ Thai AirAsia (TAA) and Nok Airlines _ yesterday made clear they have no such plan, at least for the time being.

Bangkok Airways, the full-service carrier that operates domestic and regional routes, said reduction of fuel surcharges was not an issue being taken up yet.

Executives of these airlines said they were unable to make decisions on the cuts due to the continued volatility of fuel prices, noting that they need to see the fuel prices move in a stable manner over a longer period.

Furthermore, they insisted that the rate of the fuel surcharges they imposed did not cover the entire increase when jet fuel prices peaked at around $170 a barrel in the past few months.

''We simply cannot reduce the fuel surcharges yet. If oil prices are stable in the next few months, then it will be easier for us to decide whether any cut can be made,'' TAA chief executive Tassapon Bijleveld said yesterday.

Asked whether Nok Airlines would follow the move by THAI, the market leader, to reduce the fuel surcharges, Nok Airlines chief executive Patee Sarasin said: ''We need to look at the fuel price situation,'' but he added there had been no discussion about the subject at the airline.

Bangkok Airways vice-president Nandhika Varavarn said the airline was still monitoring fuel prices and how other airlines were reacting, but noted any changes to its rates were unlikely to take place before the end of the year.

Airline executives insisted it was difficult for them to change the fuel surcharges frequently as that would be unacceptable by passengers.

The last time THAI increased its fuel surcharges was on June 25, with much heftier increments than the previous adjustments on April 28 _ as much as 140% on certain international routes.

The existing rates of fuel surcharges were based largely on jet fuel prices of $153 a barrel. Fuel is the largest expense of THAI, accounting for 34% of its total operating cost.

quimbymoy Sep 12th, 2008 08:46 AM

when i first looked at flights to bangkok for january, they were less than $1000. now they are at least $1500 from ORD. luckily i had enough miles to fly on AA codeshare partner JAL. but then again, i spent almost $1700 flying to Paris this past july. that hurt.

i don't think things will get much better, but maybe people will rethink flying during peak seasons.

Guenmai Sep 12th, 2008 10:21 PM

Some of us have to fly during peak season. Happy Travels!

Guenmai Sep 12th, 2008 10:35 PM

Filmwil...Thanks for the info. With all this Thai Air drama, in the future I might have to save up more and go on Singapore Air. I've never had drama with them.

Once while flying on Singapore Air, the plane was a little late arriving somewhere (no big deal) and when we all got off the plane, there was a representative standing , at the gate, passing out a gift to apologize for the late arrival. The gift was a nice leather wallet, in a Singapore Air box, and with the Singapore Air logo on it.

I do hope I end up in Business Class, on Thai Air. I was told that it could happen. You know how nothing is predictable with either Thai Air or Thailand.

When I Ieft L.A. for BKK last December, the plane was over 2 hours late leaving. A friend had taken the same flight a few months prior and told me that her flight was I think 3 hours late taking off. While I was standing in the airport, with a Thai Air meal voucher, I watched the Singapore Air flight board clear. That plane had taken off on time! Happy Travels!

simpsonc510 Sep 13th, 2008 04:08 AM

A bit off subject, but does anyone know just how expensive that Singaport Air flight from JFK to BKK will cost.. it is being touted as an "all business" class flight, in my latest AmEx Platinum magazine. Anyone? I'd love to try that one some day.
Carol

rhkkmk Sep 13th, 2008 05:26 AM

carol, its newark to singapore, not bkk, but you could switch in sin to bkk

rhkkmk Sep 13th, 2008 05:32 AM

its quite cheap really carol....ord to bkk is $9110...

newark to sin $8047

i would consider taking two seats so that you could be fully comfortable

simpsonc510 Sep 13th, 2008 05:54 AM

Two seats would be lovely, Bob. That way, I can put my designer (copy from MBK) bag on its own seat.

My mistake, yes of course the flt goes to Sin and not BKK. I'll have to save up a LOT of AmEx points to help pay for the trip... lol.

Bob, you and Karen can be the guinea pigs and try it out first and then report back to all of us.

Carol

tengohambre Sep 13th, 2008 08:30 AM

Singapore Air is one step ahead of all of us on that non stop EWR-SIN flight.

If you seek to redeem FF miles, the non stop flight costs you about 50% more miles then the one stop via Frankfurt, both in business class.

What I need is the TG non stop to return, from JFK . . . .

Gpanda Sep 13th, 2008 10:19 AM

WE all need the return of Thai Air. Maybe if gas prices stay down, it will reappear. It was without a doubt the best way to get to BKK from the east coast of the US.

Guenmai Sep 13th, 2008 12:43 PM

It was also the best way to get to BKK from L.A. I have friends who were zipping back and forth, constantly, like it was nothing. I'm going to REALLY miss that non-stop flight! Happy Travels!

jenskar2 Sep 13th, 2008 04:02 PM

Yep, this whole thread started when I saw that $7500 biz class flight from EWR -- there was a little picture in my email a few weeks ago announcing the new service and the seats look much too nice for me to entertain any delusions I'd be in one. I'm trying to remember what biz class was in 2000 when I went to Cambodia -- I think it was 4000, or maybe 5000 vs 1100 for coach. Given inflation and the price of oil, perhaps none of us should be surprised? I do wish they hadn't gotten rid of exec economy tho.

filmwill Sep 13th, 2008 04:05 PM

I was at LAX last night to pick up a friend and up pulled the Thai Air A345 (arriving nonstop from BKK.) First time I've seen a Thai Air plane in-person at LAX. It made me choke up a bit, I have to admit. A combination of thrilling anticipation for our trip in anticipation and sad regret that we won't be able to fly on that beauty direct to Bangkok when we go.


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