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Five things to know about Thai Airways' rehabilitation

Thai Airways International will have to endure a massive overhaul of its business and management for years to come in a rehabilitation process under the court's supervision, after the COVID-19 pandemic sent the national carrier into deeper debt. The final day of initial hearings at the Central Bankruptcy Court will take place on Tuesday. The airline's board members and its consulting partner EY Corporate Advisory Services will attend court as witnesses, facing lawyers representing creditors. At the end of Tuesday's hearing, the court is expected to decide whether to give the green light to the cash-strapped carrier's rehabilitation strategy formulated by nominated planners, who include the board members and the consultancy. Story looks at why Thai Airways entered rehabilitation, what the rehabilitation plan should include, whether the airline be able to carry out its rehabilitation plan without hindrance, whether THAI will be able to raise funds through its rehabilitation and whether the global environment will be conducive for its rehabilitation.<br/>

Coronavirus: Air NZ can't offer cheapest fares while physical distancing rules apply, CEO says

Air NZ can operate safely without the need for physical distancing on aircraft provided staff wear personal protective equipment and customers wear masks, CE Greg Foran says. Until physical distancing rules were relaxed the airline was not able to operate commercially or offer its cheapest lead in fares, Foran said. Foran said under alert level 2 it could sell just under 50% of seats on a turboprop aircraft and just 65% on an A320. “On that basis, to ensure we cover our operating costs, we won’t be able to offer our lowest lead in fares until social distancing measures are removed.” Under alert level 2 New Zealanders can travel, but they must do it in a safe way and keep a record of their journey. Physical distancing applies and people should not travel if they have been requested to self-isolate/quarantine, have symptoms of Covid-19, or are awaiting Covid-19 test results. Foran’s comments come at the same time competitor Jetstar has suspended flights in New Zealand for at least 11 more days. Physical distancing on flights made the low cost carrier’s operation in New Zealand “unviable”, it said in a travel alert. Foran said it was “really tough” for airlines to operate with physical distancing and wanted the rules done away with. “We believe that if masks are required on board for all customers, if staff use PPE and if we all follow good hand hygiene, we can operate safely without physical distancing.” With restrictions in place, some services were immediately at capacity, he said. The airline was working to add capacity through upgauging aircraft or adding services.<br/>

SAA restructuring team sifts through unsolicited investor approaches

More than 10 unsolicited approaches expressing interest in South African Airways have been received from potential investors and partners. The South African government’s department of public enterprises states that the approaches concern SAA and its subsidiaries Mango Airlines, SAA Technical, and catering arm Air Chefs. “[We have] been busy assessing the interests from several unsolicited local and international strategic equity partners,” the department says. SAA underwent a prolonged business rescue programme which resulted in a strategic plan for the company being approved by creditors in mid-July. The department claims it has been working “around the clock” to finalise the rescue process after stating, earlier in August, that all the conditions for implementation had been met. It says it believes investments in the airline and its subsidiaries will “help support key economic sectors, including tourism” and “solidify” the country as a gateway to international markets. SAA is being overhauled in four phases, it adds. Some 1,000 personnel will be retained for the restructured company, with another 1,000 placed on a social plan for integration as the airline expands. The remaining staff will be granted a voluntary severance package. A smaller board – with members including a chief risk officer, chief operating officer, and chief information officer – is being appointed.<br/>

Air Canada racks up second-most refund complaints in US in May

Air Canada had the second-highest number of complaints about refunds to the US DoT of any airline in May. The department says Air Canada was the target of 1,705 refund complaints out of 10,415 filed against non-US airlines in the month, outpacing all 80-plus foreign carriers in the category. United was the only airline — domestic or international — to notch more refund complaints at 3,215. Air Canada and other Canadian carriers have refused to reimburse most customers whose flights were cancelled due to the COVID-19 pandemic. However the US, like the European Union, requires airlines to refund passengers. A complaint to the U.S. regulator offers a potential path to reimbursement for some Air Canada customers who have been turned down north of the border.<br/>

Japanese airline becomes first to test 'hands-free' bathroom doors

The coronavirus pandemic has kickstarted a race among airlines to develop ever more sophisticated hygiene technology as they strive to protect passengers against the threat of a Covid-19 outbreak. Now, a Japanese carrier has started trialing a new innovation designed to circumvent the most notorious culprit of in-flight contamination: the lavatory door handle. ANA has released details of its specially designed Covid-safe aircraft toilet, with doors that can be opened, closed and locked with your elbow. The design is simple: a broad, flat lever sticks out at an angle, allowing the user to hook their arm underneath and pull back to release the latch. While in use, the door can be secured using a sliding lock with an oversized handle that can easily be pushed back and forth with an elbow or forearm. A prototype toilet, developed by Japanese aviation technology specialist Jamco Corporation, is currently being tested at Haneda Airport in Tokyo, with airline officials set to make a decision on its viability at the end of August. Since ANA planes have all already been fitted with sensor taps, the company hopes that a successful trial will enable it to be among the first to offer a (mostly) hands-free lavatorial experience for fliers. The contest is close, however, with a rival tech company, Haeco Americas, currently working on a sensor-activated toilet door.<br/>