THAI to Increase Domestic Air Fare

From 15 November 2001, Thai Airways International Public Company Limited will increase its domestic fares in compliance with government policy to standardize the fare rates for all domestic carriers.

The Thai Civil Aviation Board (C.A.B.) has recently announced the open sky policy and set guidelines on air fares, enabling the privately-owned carriers to follow similar guidelines based on the following criteria:

1. Airlines can freely adjust their fares, providing that the flight route is within a distance range of 200 kilometers. However, the minimal fare is set at 764 baht and maximum of not more than 6.82 baht per kilometer if ground transport on the route is considered unfavorable.

2. For the flight route of over 200 kilometers, airlines are required to follow the standard range of fare increase of between 3.82 to 6.82 baht per kilometer.

Thai Airways International will increase domestic fares as follows:

1. A fare increase of 765 baht (excluding airport tax and insurance surcharge) for flight routes not over 200 kilometers such as flights between Chiang Mai - Mae Hong Son, Chiang Mai - Phrae, Krabi - Trang, Nakorn Ratchasrima -Buriram, Phitsanulok - Phrae, Phrae - Nan, Sakon Nakhorn - Nakhorn Phanom, and Trang- Hat Yai.

2. An average increase of 20 per cent (excluding airport tax and insurance surcharge) for flight routes over 200 kilometers, resulting in an increase of 300 baht on THAI's economy class. A difference of 800 baht between economy and business class remains unchanged.

For example, a one-way economy class ticket on the route between Bangkok - Chiang Mai will be changed from 1,870 baht to 2,170 baht while a one-way business class ticket will be changed from 2,670 baht to 2,970 baht.

No changes or additional costs are required for passengers whose traveling date will commence after 15 November 2001, but already had their tickets issued prior to the date. Passengers are entitled to use the tickets as purchased. The new domestic fare rates are not applicable to air tickets included in THAI's Eurng Luang Tour Program.