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Thai CEO calls budget airlines' cheap fares far 'too low' for survival.

Bangkok Post (Bangkok, Thailand)

| October 04, 2004 | COPYRIGHT 2004 Bangkok Post. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Byline: Nondhanada Intarakomalyasut

Oct. 4--GUANGZHOU, China -- Budget airlines in Thailand could be on the verge of collapsing if operators continue to offer unrealistic airfares to consumers, according to a local airline executive.

Udom Tantiprasongchai, chief executive officer of One-Two-Go, the country's first low-cost airline, said the pricing structure of local budget airlines had been wrecked by the offering of super-low fares that were far below the actual cost.

He said it cost about 1,400 baht per passenger per trip to fly from one province to another in Thailand.

"I don't believe airlines that offer lower airfares than 1,400 ...

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