Upon the announcement by the bank's management announced that the bank contains Bt3.5 billion exposure, Tisco said that the impact would be 11 per cent of the bottomline. This is based on the net profit projection of Bt23 billion in 2008. The bank's management did say that it would set aside 100 per cent of this amount in the third quarter.
The research noted that the impact on Kasikornbank and Siam Commercial Bank would be 1.5 and 3.7 per cent, respectively at the maximum.
Krung Thai Bank and Bank of Ayudhya are expected to have indirect impact toward the reduction in collateralised debt obligations (CDO) price while Siam City Bank, TMB Bank, Kiatnakin Bank and Thanachart Capital are immune from Lehman Brother's turmoil.
Following the continued plunge in the stock exchange led by losses in banking and energy stocks, Bank of Thailand insisted on Monday that the impact on Thai banks are small with their maximum exposure of less than Bt7 billion.