Challenge to verdicts

 "The company would like to insist that the verdicts do not affect the financial status of the company," managing director Suthep Akkawuttikrai said in a filing with the Stock Exchange of Thailand yesterday.

Picnic said four mutual-fund companies had sued it for Bt510 million.

Suthep said the company was negotiating with the firms about restructuring its debts.

The manufacturer of cooking gas  is still paying interest at a rate of 4.35 per cent to one company that is a creditor to the tune of Bt50 million.

 It has paid interest at 4.25 per cent to two other firms that require the company to service debts of Bt90 million and Bt80 million respectively.

The other company, which is owed Bt290 million, has received interest at a rate of 2.5 per cent.

Three of the four fund operators are reported to be Aberdeen Asset Management, Krung Thai Asset Management and Finansa Asset Management.

Picnic has defaulted on its bills of exchange since early 2005. However, it has already paid off some mutual funds that had held its bills of exchange.

Separately, Picnic reported that it expected due diligence on accounting and finance for a share divestment in Enesol, an electricity and heat energy distributor, would be finished this month.

Legal due diligence has already been completed.

The company earlier reported that it would sell 1.2 billion shares in Enesol to Eastern Wire for Bt66 million, which would reduce its stake in Enesol from 65 per cent to 15.41 per cent.