Thai Airways seen soaring<\/p>\n
BANGKOK (Reuter): Thai Airways International (THAI) whose
\nincome is about 75 percent dollar-based, is seen flying higher
\nafter the baht's de facto devaluation, analysts said yesterday.<\/p>\n
They expect the national flag carrier, which posted
\ndisappointing first-half results, to show an improvement from the
\nsecond half of this year as a result of the baht's managed float.<\/p>\n
ABN-AMRO Hoare Govett Asia forecast that THAI's net profit in
\n1998 fiscal year (October-September) would nearly double to 5.95
\nbillion baht (US$205.2 million) from a projected 2.87 billion
\nbaht this year.<\/p>\n
Thailand last week scrapped the baht's peg against a trade-
\nweighted basket of currencies and allowed the currency to move
\nunder a new managed float system.<\/p>\n
The move, which saw the baht plummet 15-20 percent, has forced
\nmany other Thai corporate with foreign debt exposure into
\nvulnerable loss-making positions.<\/p>\n
But they said THAI was one of the few exceptions. The
\ncompany's revenue and cost structure puts it in a unique position
\nto increase net free cash flow after the baht float.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/thai-airways-seen-soaring-1447893297",
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