The airline is expected to restart operations in December 2007.

In a statement yesterday, it said it had appointed Jak Chamikorn, a former executive of TV Channel 5 and the person responsible for its restructuring, as a director.

General Paiboon Aimphun has been named as the airline's chairman and Captain Suradej Nabhindhakarn has been appointed as another director.

Air Andaman was established in 2000 with authorised share capital of Bt40 million. This was later increased to Bt145 million.

The latest capital injection of Bt61.5 million brings its registered capital to Bt206.5 million, and the airline expects to receive approval from the Central Bankruptcy Court to begin the first moves towards recovery.

Jak owns 99.88 per cent of Air Andaman and he claims it could start flights in December next year.

The airline began flying 12 domestic routes in 2001 under an agreement that gave some private airlines the right to operate secondary domestic routes on behalf of Thai Airways International.

However, it was plagued with low passenger volumes and was struck by the advent of low-cost carriers in 2003 after the government dropped the minimum airfare ceiling.

Air Andaman continued to operate until February 2004 when its accumulated debt reached Bt439.7 million.

Suchat Sritama

The Nation