Banyan Tree Holdings Limited announced today its 4th quarter result which shows a 79% decrease in operating profit due to political turmoil in Thailand and slow down in world economy following the financial crisis.
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However, operating profit for the full year 2008 was more muted at 23% below last year to S$93.8 million, shored largely by a good first half year for the Group.
Mr Ho KwonPing, Executive Chairman of Banyan Tree said, “The political turmoil in Thailand which led to a week long closure of Bangkok’s Suvarnabhumi International Airport and left more than 300,000 tourists stranded in November has significantly affected our hotel operation and property sales in Thailand in the 4th quarter. We are bracing for a tough year in 2009 given the continuing political crisis in Thailand and the world economic slowdown and deterioration of the global financial situation. The Group however has embarked on various cost cutting measures for all its operations and will defer where necessary projects that have yet to commence and minimize capital expenditure.”