High prices hurt sales GOLD

INBrief

High prices hurt sales GOLD :Business in local gold shops next year will remain sluggish because of high prices, according to Jitti Tangsithpakdi, the president of the Gold Traders' Association of Thailand.

He predicted that global gold prices would likely exceed US$850 per ounce next year, against $811 as of Friday, with more volatility expected.

As a result, local gold prices would climb back above 13,000 baht per one-baht weight (15.16 grammes), against 12,800 on Friday, based on an exchange rate of 33.60 baht against a dollar.

According to Mr Jitti, despite surging prices in the world market, the strong baht has tamed domestic prices.

However, the sluggish economy and high prices have reduced domestic demand, especially in the past two months while gold exports have been increasing at an average of 2-3 billion baht a month. PTT directors resign

ENERGY :Three members of the board of PTT Plc resigned on Friday in order to comply with a new law that will take effect soon.

The law will prohibit civil servants, policymakers, clients and suppliers from being involved in the businesses of state enterprises and their boards.

Leaving the PTT board were Pornchai Rujiprapa, the permanent secretary of the Energy Ministry; Metta Bunterngsuk, director-general of the Department of Energy Business; and Viraphol Jirapraditkul, director-general of the Energy Policy and Planning Office (EPPO).

Similar changes are imminent on the boards of other energy state enterprises including the Electricity Generating Authority of Thailand and Bangchak Petroleum Plc. Exim ratings affirmed

FINANCE :Fitch Ratings has affirmed the long- and short-term foreign currency issuer default ratings of the Export-Import Bank of Thailand at BBB+/F2 with a stable outlook. The national long- and short-term ratings were affirmed at AAA(tha) and F1+(tha), with the support rating of 2 and support rating floor also affirmed at BBB+. Muang Thai at BBB+

INSURANCE :Standard & Poor's affirmed its BBB+ rating on Muang Thai Life Assurance with a stable outlook. The ratings reflect the company's solid business profile in Thailand's life insurance industry, strong profitability and supportive capitalisation. The ratings are also supported by the technical assistance provided by the minority shareholder Fortis Group. UOB Thai affirmed

BANKING :Fitch Ratings has affirmed the long- and short-term foreign currency issuer default ratings of United Overseas Bank (Thai) at A-/F2 with a stable outlook.

The individual rating of C/D, support rating of 1 and the national long- and short-term ratings of AA+(tha) and F1+(tha) were also affirmed. UOBT's ratings are based on Singapore-based United Overseas Bank remaining the controlling shareholder. Aeon rating at BBB+

FINANCE :Fitch Ratings has affirmed the national long- and short-term ratings of Aeon Thana Sinsap (Thailand) at BBB+(tha)/F2(tha) with a stable outlook.

The ratings reflect AEONTS' niche market position, strong earnings and profitability in retail financing in Thailand, solid capital position and partial support from a strong foreign parent. Feed expo planned

AGRIBUSINESS :Expolink Global Network will hold Victam Asia 2008 & Feed Ingredients & Additives Asia Pacific 2008, a major animal feed and pet food exhibition, from March 5-7 next year.

The event will feature 120 exhibitors of equipment, technology, production processes, formula and ingredients for animal feed, pet and aquatic foods.

According to Phusit Sasitaranondha, managing director of Expolink, visitors will be able to see all of the processes involved in feed production from beginning to end. Exhibitors will also demonstrate storage and bulk handling systems that can be beneficial to rice and grain processing plants.

Victam Asia 2007, held last March, drew 4,000 visitors from 51 countries. The 2008 fair will be held at the Queen Sirikit National Convention Center.