"We are calculating our costs and will claim for the loss from Bangladesh," vice chairman Suparut Kawatkul said Thursday. Bangladesh never handed over operations to Thai Airways, he said.

THAI was scheduled to start managing Shah Amanat International Airport in Chittagong more than a year ago. The move was delayed because of local opposition, said an airline official.

In other business, the THAI board meeting on Thursday approved the signing of a long-term "TotalCare" services contract with Rolls-Royce covering the Trent 500 engines that power its fleet of 10 latest-generation Airbus A340s. Rolls Royce said the 10-year agreement, which is based on an agreed dollar fee per engine flying hour, is the latest announcement to underline the popularity of the "TotalCare" programme, which has been selected in 80 per cent of new Trent orders over the past six years. -

Shares queried

The Civil Aviation Department is waiting for information on Thai AirAsia from the Commerce Ministry, following the airline's change in shareholding structure, which could push its foreign ownership above the legal limit.

Department director-general Chaisak Angsuwan said upon receiving the official list of new shareholders it would consider if the airline's foreign ownership limit had been breached.

National Legislative Assembly transport committee chairman Bannavit Kengrien said yesterday Thai AirAsia would be stripped of its aviation licence if the limit were breached.

Thai AirAsia's six executives and directors earlier this week bought a stake in Asia Aviation, which enable them to indirectly hold a 25-per-cent stake in AirAsia. Though they said they borrowed money to buy the stake, many suspect they are nominees for foreigners.

Govt deficit

The government ran a deficit of Bt244 billion between October and May, the first eight months of the current state fiscal year, largely due to the economic slowdown and accelerated government spending.

Finance Ministry spokesman Somchai Sujjapongse said net government revenue in the first eight months was Bt800.1 billion while spending was Bt990.36 billion. This resulted in a budget deficit of Bt190.26 billion, up 47.6 per cent compared with the same period last year.