It’s been in the news for a while that BEM has been fighting with EXAT to get back someTHB 8 bn in lost revenue..
“The Expressway Authority of Thailand (Exat) has decided to petition the Administrative Court, asking it to revoke an arbitration committee’s order that it pay more than 8 billion baht in compensation to Bangkok Expressway and Metro Plc (BEM) over a toll hike dispute. “
…for the following reasons…
In” 2003, Exat and BEM became involved in a dispute about raising toll fees on the second-stage expressway system. BEM is responsible for the section management, including collecting toll fees.
Under the contract, the fees must be raised every five years by between five and 10 baht. The increase depends on the Consumer Price Index in that year.
Exat in 2003 did not permit a toll rise after it took the view the index point level should be rounded down, with the result it failed to reach the point where the hike would be five baht. BEM insisted it should be rounded up to make the increase five baht.
On Feb 12 this year, the arbitration committee ruled Exat must pay BEM compensation of 8.16 billion baht, including an interest payment of 3.77 billion baht.”
…so just imagine what if they do win? note 1Q16 revenues and profits were THB 3.1 bn and THB 700mn respectively.
Source: Bangkok Post