BANGKOK (Reuters) – Thailand’s bankruptcy court on Monday scheduled two more days of hearings to consider Thai Airways International Pcl’s (BK:THAI) request for restructuring, the airline said.
The national carrier said the Central Bankruptcy Court required two additional hearings to complete proceedings. The hearings are scheduled for Aug. 20 and Aug. 25 and more evidence will be presented.
“The hearings are promising and went smoothly,” Acting President Chansin Treenuchagron said in a statement. The airline submitted its bankruptcy and restructuring petition in May, giving it a stay on debt repayment.
“Only seven lawyers from minority creditors opposed the plan, but this is not troubling because (their objections) are issues that Thai Airways can clarify,” he said, without giving details.
The court will have to approve the airline’s request for restructuring and a committee that would lay out the plan.
Thai Airways on Monday said it has nominated a committee of seven – including the company’s chairman and acting president, former President Piyasvasti Amranand, veteran banker Boontuck Wungcharoen and EY Corporate Advisory Services Company Limited – to plan the company’s restructuring.
Chansin said the airline had support from major creditors, including the Ministry of Finance, which together account for more than 50% of its debt.
The Thai government holds a 47.86% stake in the airline.
After the court approves its restructuring proposals, the airline said it will take one to two months to develop its plan before presenting it to creditors.
Thai Airways told shareholders last month it was confident the court would accept its request.