Kuala Lumpur (XFN-ASIA) - OSK Research said it is cutting its
price of 2.61 rgt as the airport operator's restructuring is not worth the wait.
"Even if (the restructuring is) announced by end-June, we believe we have already imputed reasonable terms into our assumptions.
Transport Minister Chan Kong Choy recently announced that the passenger service charge for the LCCT at Kuala Lumpur
International Airport and Kota Kinabalu will be reduced to 6 rgt from the previous 9 rgt for domestic flights and to 25 rgt from 51 for international flights effective June 1.
In addition, with the Singapore Formula 1 race possibly starting next year, the attendance of the Sepang race,which has been loss-making for the last 3 years, may be further affected.
Visit Malaysia Year 2007 has 'certainly (been) nothing to shout about', it said.
"Looking at the traffic growth so far in the first quarter, international passenger traffic is up 4.4 pct, while domestic traffic is down 4.7 pct.
"We are still hopeful for a spurt in growth in the summer months but revise down our growth estimate from 9 pct to 7 pct on the international side," it added.
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