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Byline: PLOY CHITSOMBOON
Mar. 2--Bangkok Aviation Fuel Services projects modest growth for 2005 of 3 percent, due in part to expectations of a stronger baht.
M.R. Supadis Diskul, the managing director of Bangkok Aviation Fuel Services (BAFS), said the stronger baht would negatively affect the firm's performance given that service fees were set in US dollars.
"Frankly, we are affected significantly by baht appreciation, as we have dollar-linked revenue with our service fees set at $2.58 per gallon even though the oil companies pay the fees to BAFS in baht," M.R. Supadis said.
"Every one-baht appreciation against the US dollar causes BAFS ...
Source: HighBeam Research, Stronger baht to cut into Bangkok Aviation Fuel Services' earnings.