Its share price closed at Bt9.10, down from its Friday close of Bt10.20. Its share price fluctuated wildly yesterday, trading at a high of Bt9.50, while its lowest level was at Bt8.85.

"Investors were worried about the ruling tomorrow. If the court rules in favour of the PM's Office's petition, the company would need to pay retroactive concession fees, which will immediately affect its cash flow," an analyst at Siam City Securities said yesterday. In the worst-case scenario, iTV would also be required to pay overdue concession fees for 2004 and 2005 worth Bt1.6 billion.

In January 2004, iTV won the arbitrator's consent to cut the annual concession fee from Bt900 million to Bt230 million and adjust its programme content.

The news/entertainment programme ratio was revised from 70:30 to 50:50, which allows iTV to bring in more advertising. Prime Minister Thaksin Shinawatra came under public pressure because his family then held a majority stake in Shin Corp, which holds a 53-per-cent stake in iTV.

Immediately after the arbitrator's ruling, the PM's Office, which awarded iTV the concession, asked the Central Administrative Court to have the arbitrator's ruling nullified. If the PM's Office wins, iTV will go back to paying its old concession rate and return to the previous programming ratio.

ITV's future also looks uncertain as the Federation of Consumer Organisations, which won the case against the Electricity Generating Authority of Thailand's privatisation, is also seeking to revoke the concession. Rosana Tositrakul, chairwoman of the body, said it had submitted a petition to the National Telecommunications Commission last month.

Siriporn Chanjindamanee,

Chularat Saengpassa

The Nation