DECEMBER 4: UPDATE ON THAILAND'S AIRPORTS AND

UNCLAS SECTION 01 OF 02 BANGKOK 003561 C O R R E C T E D C O P Y CHANGE TO PAR1 SENSITIVE SIPDIS STATE FOR EAP/MLS, CA, EEB, DS TRANSPORTATION FOR TSA STATE PASS TO USTR TREASURE FOR OASIA COMMERCE FOR EAP/MAC/OKSA SINGAPORE FOR FINATT BAKER E.O. 12958: N/A TAGS: ASEC CASC CMGT EAIR EFIN PGOV PREL ETRD TH SUBJECT: DECEMBER 4: UPDATE ON THAILAND'S AIRPORTS AND AIRLINES REF: A. BANGKOK 3532 (DECEMBER 2: UPDATE) ¶B. BANGKOK 3540 (DECEMBER 3: UPDATE) ¶C. BANGKOK 3519 (THAILAND: ECONOMY SUFFERS) ¶D. BANGKOK 3530 (THAI BANKS REMAIN STRONG) BANGKOK 00003561 001.5 OF 002 ¶1. (SBU) Summary. U.S. Transportation Security Administration (TSA) representatives began assessing the security conditions at Suvarnabhumi on December 4. TSA is working with U.S. air carriers and Thai officials to ensure that all safety and security regulations are met prior to U.S. air carriers being able to fly to the United States. U.S. air carriers have agreed not to resume flights until December 6 at the earliest. At the same time, the Thai Department of Civil Aviation has decided airport conditions are good enough for the resumption of non-U.S. bound flights on December 3, although check-in continues to be located off-site. Several airlines are flying out of the airport to international destinations, although not yet directly to the U.S. Due to low interest, the U.S. Embassy has decided a chartered flight for Amcits is no longer necessary. On the economic front, repercussions from the airport seizure have been felt most visibly in the tourism industry. Occupancy rates at major hotels in Bangkok are below 25 percent. The exact costs of the airport seizure are hard to determine, but there is no doubt that Thailand's image has suffered greatly. End Summary. Airport Security Conditions -------------- ¶2. (SBU) TSA accompanied officials from the Airports Of Thailand, as well as United Airlines and Northwest Airlines reps, on December 4 to Suvarnabhumi in order to conduct a preliminary security assessment of the airport. TSA began with a walk through of the perimeter of the airport and anticipates viewing the rest of airport operations throughout the night and possibly into the weekend. TSA also heard presentations from the U.S. airlines on the status of their operations and security procedures. TSA will prepare a report for its Washington headquarters upon completion of its assessment. Due to the size and complexity of the airport, TSA cannot give an exact timeline for completion of the assessment, but it seems unlikely to be completed before December 5. ¶3. (SBU) The Thai Department of Civil Aviation (DCA), accompanied by ICAO reps, is also inspecting the airport to determine safety and security conditions there. A DCA official told the Embassy on December 4 that DCA began inspections immediately after protesters left and expect to conclude their work later this week. In the meantime, DCA stated that the flight side of the airport, such as runways and the control tower, were not affected. Therefore, flights are allowed to take off while the inspection of the interior of the airport continues. Check-in, baggage inspection, and immigration control are still being done off-site, primarily at the BITEC Convention Center. Airline and Cargo Flights -------------- ¶4. (SBU) Executives at United and Northwest told the Embassy that they have decided to postpone resumption of flights until December 6 at the earliest. The airlines had previously made public announcements that they would resume flights on December 5. However, the airlines determined that additional time would be needed in order to ensure flight operations were safe and secure. TSA advises that while necessary assessments may be completed by this weekend, it is not yet clear when United and Northwest will resume flights BANGKOK 00003561 002.4 OF 002 out of Bangkok. ¶5. (SBU) Thai Airways has announced several international flights departing from Suvarnabhumi. None of these are bound for the U.S. Thai Airways executives told the Embassy on December 4 that they will continue check-in at the BITEC Convention Center and then bus passengers to plane-side at Suvarnabhumi. Thai Airways has ceased operations at U-Tapao, the military airfield it had been using during the airport occupation. According to TSA, Thai Airways will resume flights to the United States only when the airline has performed all necessary security checks. ¶6. (SBU) Cargo operators such as UPS informed the Embassy on December 4 that cargo loading areas at Suvarnabhumi had been cleared and appeared to be in good condition. UPS is ready to begin operations out of Suvarnabhumi December 5 provided they have satisfied all security requirements. Federal Express said that they have begun flights into Suvarnabhumi. Thai businesses and industries, such as the Thailand Post Office, reported to the press they are beginning to shift the bulk of their cargo operations back to Suvarnabhumi. Consular Assistance -------------- ¶7. (SBU) The Consular Section received approximately fifty responses to an Embassy announcement concerning the possibility of a chartered flight. However, when contacted, most Amcits decided they would wait for commercial flights. Consular distributed a follow-up message indicating there will not be a charter flight. Consular continues to assist Amcits and answer calls twenty-four hours a day. Economic Repercussions -------------- ¶8. (SBU) Executives at five-star hotels, including Marriot, Hilton, and Hyatt reported to the Embassy on December 3 that their occupancy rates are 25 percent or lower, the lowest ever recorded. Travel agents feel confident the tourism industry in Thailand is resilient and has survived shocks before. However, industry executives speculate it will take at least six months for convention and business related bookings to pick up in Bangkok. ¶9. (SBU) Since the airport seizure just over a week ago, ratings agencies have revised their outlook for Thailand to negative but have not adjusted the ratings themselves; and growth rate projections have been revised downward (see reftels C and D). ¶10. (SBU) Thai Airways announced to the press it plans to seek legal redress against anti-government protesters for losses suffered during the airport shutdown. ¶11. (SBU) Septel discusses a joint demarche to the MFA expressing concern over airport security delivered by the U.S. Ambassador and other ambassadors. JOHN