Airports of Thailand Public Company Limited (SET: AOT) has addressed recent developments concerning its duty-free concessionaire, King Power Duty Free Company Limited (KPD), following KPD’s formal request to discuss a possible early termination of its contracts at AOT-managed airports. In response, AOT has laid out a structured plan involving the formation of a dedicated working group and the engagement of academic consultants to explore fair and viable solutions, while reaffirming its strong financial position and commitment to sustaining operational stability.
Reference is made to the letter of AOT, clarifying the information regarding King Power Duty Free Company Limited (KPD)’s submission of a letter requesting a discussion on the possible termination of duty-free contracts at airports under AOT’s supervision, submitted to the Stock Exchange of Thailand (SET) for acknowledgement.
The AOT Board of Directors, in a meeting held on 16 June 2025, assigned AOT management to expedite the appointment of a working group to consider possible solution options for the duty-free shop operation problems at AOT’s airports. Additionally, AOT management was tasked with procuring consultant services from a public higher education institution to conduct a study and analysis of these options, taking into account legal, economic, financial, and business management issues. The study will also analyze constraints of previous contracts and propose suitable and fair approaches for all parties. A conclusion is expected within 60 days before being submitted to the AOT Board of Directors for further consideration.
While proceeding with the above-mentioned resolution, AOT will hold discussions with KPD to reach a conclusion as quickly as possible. However, KPD’s due payment of concession fees remains within the credit limit of the bank guarantee, which serves as collateral to ensure KPD’s financial obligations in case of unexpected events.
In addition, AOT has informed that it continues to maintain robust financial stability. AOT also plans to seek additional revenue from other sources, such as service fees from 400 Hz Power, Pre-Conditioned Air (PC Air), apron services, ground equipment, ground passenger services project, and other related businesses operated by the third operator at Suvarnabhumi Airport. Furthermore, AOT is developing commercial land surrounding its six airports to generate additional non-aeronautical revenue.
AOT assures that it has adequate liquidity to support future investment projects and operations as planned, without any impact on its financial stability.
