Shin Corp. Posts 1st-Quarter Loss on Unit Write-Down

Shin Corp., controlled by Singapore's Temasek Holdings Pte, reported a net loss in the first quarter after it wrote down goodwill and the concession value of at least one unit.

Bangkok-based Shin Corp. posted a net loss of 1.72 billion baht ($50 million), or 0.54 baht loss per share, in the three months to March 31, from a profit of 2.23 billion baht, or 0.72 baht a share, a year earlier, according to the company's filing to the Stock Exchange of Thailand today. Total revenue fell 16 percent to 5.14 billion baht.

Singapore's state-owned Temasek last year led a takeover of more than 96 percent of Shin Corp. from investors, including the family of former Prime Minister Thaksin Shinawatra. Shin Corp. controls Advanced Info Service Pcl (ADVANC), Thailand's biggest mobile phone company, Shin Satellite Pcl, the country's only satellite operator, ITV Pcl (ITV), a Thai broadcaster, and CS Loxinfo Pcl (CSL), an Internet company.

The takeover exacerbated protests against the government, triggering a political stalemate that culminated in a coup Sept. 19. The junta-installed government has launched probes into Thaksin's dealings and toughened foreign ownership rules.

Shin Corp. booked a 447 million baht ``impairment loss on goodwill and investment in a subsidiary'' and a 1.97 billion loss on ``concession assets and related assets'' versus none a year ago, its financial statements show.

The company did not immediately provide an explanation of its results. Still, the write-offs may relate to ITV -- formerly Thailand's only free-to-air television network not controlled by the government. ITV's broadcasting license was seized by the government in March after the company failed to pay 100 billion baht in penalties.

The write offs pushed total expenses for the first quarter 81 percent higher, to 6.57 billion baht, from 3.63 a year earlier.

To contact the reporters on this story: Suttinee Yuvejwattana in Bangkok at suttinee1@bloomberg.net; Beth Jinks in Bangkok at bjinks1@bloomberg.net.

To contact the editor responsible for this story: Tony Jordan at tjordan3@bloomberg.net.

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