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   FEATURES

HEADLINES [click on headline to view story]:
Amazing Health and Healing in Thailand
World Heritage Sites in Thailand
Hong Kong ‘Downs’ the Platu Fleet at Pranburi

Japanese airlines battle it out on new playing field

BOI foreign investor survey reveals improving investment

Water, water everywhere, and not a drop to drink!

Amazing Health and Healing in Thailand

The search for good health is becoming a universal phenomena. It is commonly known that many of the global travelers are fleeing the stress of big-city life, and looking for fresh air, clean water and good food. Thailand is proud to offer something in each of those categories, provided the visitors venture out of Thailand’s big cities, too. A sampling:

Spas

Not long ago, spa holidays attracted a limited segment of society - almost exclusively female guests from higher income brackets. The emphasis has shifted towards average and above-average wage-earners, with more and more male guests.

Wellness is a concept that is becoming increasingly important, regardless of social position. One reason for the success of spa travel can be found in the growing popularity of alternative and specifically preventive medical practices. After all, the most common illnesses in the civilized world, such as cancer and heart disease, have their roots in a person’s lifestyle.

In recent years, the number of health resorts and spa facilitates available in Thailand has increased and their range of activities, too. Aimed at both the local market and overseas visitors, this presents a new dimension to the tourism attractions offered in Thailand.

Traditional styles and methods of healing are available as well as western style spas and treatments. Traditional healing involves herbal steam baths said to improve circulation, reduce muscles aches and stress, improve the respiratory system, and ease allergies as well as cure skin aliments.

There are a number of renowned spas and natural healing centers scattered around the country. Some of the best known include Balavi Natural Health Center in Bangkok which emphasizes the role of food in promoting good health. Another one, Jansom Thara Hot Spa Health Resort in Ranong, south of Bangkok, specializes in natural mineral waters.

Wat Bhramani Social Health Center specializes in herbal steam baths. Hin Dard Hot Spring in Kanchanaburi has mineral baths to cure general ailments. The Herb Garden and Phaen both offer traditional massage and herbal steam baths.

Dhammaraksa Nivet Project at Wat Prabat Nampu in Lopburi, north Thailand, offers a special treatment for AIDS patients.

Chiva-som in Hua Hin is Thailand’s only full health resort. Situated on seven acres of beachside land, this spa was created in association with experts from France and England. Chiva-som has comprehensive health services, including an ultra-modern spa. Guests of the spa stay in Thai-style pavilions. Several leading hotels in Bangkok and throughout the country have spa facilities, offering herbal treatments and massage.

Meditation

Meditation is one of the most publicized and popular aspects of Buddhism, practiced by monks and laymen alike. It is a means of promoting inner peace and happiness. Visitors to Thailand can learn the fundamentals of this practice at centers in Bangkok and around the country. Introductory courses are offered in English and Thai at some of the centers.

Some centers offer introductory lectures on transcendental meditation, while others organize retreats for 20-50 days with instruction by foreign monks and nuns. Meditation is a good way to unwind after a grueling day at the office.

For further information and contact details while in Thailand, consult daily newspapers which usually have announcements of one or another meditation courses.

Traditional Thai massage

Studied in Thailand as an art, a form of healing and a spiritual ritual, the time honored practice of traditional Thai massage can trace its amazing roots back some 2,500 years.

Described by some Westerners as a "brutally pleasant experience", this ancient form of healing was first documented in the west by the French liaison to the Thai Royal Court in Ayutthaya in 1690 who wrote: "When any person is sick in Siam (Thailand’s ancient name), he causes his whole body to be molded by one who is skilful herein, who gets upon the body of the sick person and tramples him under his feet."

Unlike Western, or Swedish classical style massage, the basis of Thai massage lies in tapping into the natural energy of the human body.

Muscles are not kneaded to relax the body as in western massage. In using the Buddhist principle of Yin and Yang, Thai massage seeks to distribute energies evenly throughout the body as to create an inner harmony. To do this, the masseur concentrates on the body’s main pressure points and a great deal of stretching.

There are generally two forms of Thai massage: Royal massage and folk massage. Royal massage uses only the finger tips to massage the body, whereas folk massage uses many different parts of the body.

In the more common folk massage, the masseur will press, hold and release pressure points using their own palms, fingers, elbows, feet, and knees. Thai massage is more closely related to physiotherapy or chiropractic than Western massage techniques.

It is widely believed that an Indian physician named Jivaka Kumar Bhaccha, said to be a personal friend of the Buddha, made the first steps in developing what would be later become Thai massage. Even today, many Thais regard Kumar Bhaccha as the "Father of Medicine" with many religious ceremonies still performed in his honor.

Theoretically, he argued that every person has a network of invisible energy lines (called sen) running through his or her body. In employing the Yoga philosophy, these "life energy" lines are fuelled by the air we breathe and the food we eat. The trials and tribulations of day-to-day life may cause congestion in these energy lines, creating energy imbalances in the body.

With an estimated 72,000 energy lines on each person, there is room for much congestion. These blockages, he concluded, can be directly related to pains, illness, and even diseases. In applying pressure to specific parts of the body, blockages can be disrupted, thus allowing these lines to better transmit energy and restore an overall harmony to the body.

Thai massage concentrates on the main 10 sen, which are believed to be sufficient for the treatment of the whole body and internal organs.

Western scientists have been and still are amazed that these energy lines retain their validity. Some have even conceded that the body possesses a "second invisible skin" made up of these lines.

Time and time again it has been proven by teachers of Thai massage that through maintaining the body’s energy balance with the energy of the universe, people will live longer and in better health. Through Thai massage both body fluids and body energy are encouraged to flow.

As Thai massage was originally founded as a spiritual practice and was thoroughly explored by ancient Buddhists, it is no wonder that wats or monasteries are still the principal places where the art form is taught and practiced.

A truly dedicated masseur will perform massage in a meditative mood, sometimes meditating for long periods of time before taking on the task. This is done to get a feel for the energy flow in the body and also to be better able to concentrate on the healing he is about to perform.

Thai massage can be a highly enlightening experience once the masseur becomes one with the cosmic energies of the patient’s body. The attainment of a higher consciousness is what gives the masseur the power to become a healer.

The most famous school of Thai massage can be found at Wat Pho in Bangkok. It is there in 1832 that King Rama III had the most prominent teachers of Thai massage carve into 60 stone tablets the secrets of the trade. These tablets, as well as 1,000 others describing ancient Thai culture, can still be found adorning the walls of this sacred monastery.

While it is easy enough to get a traditional massage here by an expert pair of hands, one can also take an internationally recognized course, which is inexpensive and takes ten days.

There are innumerable places in Thailand to receive a massage. After trekking through the northern forests of Chiang Mai, you can retreat to one of many monasteries to have your body returned to its proper harmony. If harmony is already yours as you lounge on one of the southern islands, you can get a traditional massage right on the beach to refresh you for the night’s adventures.

Traditional Thai massage is strongly ingrained in Thai culture. The Thais regard it as a part of their lifestyle which keeps them healthy both physically and spiritually. This unique form of healing is just one more reason why Thailand is so amazing.

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World Heritage Sites in Thailand

A total of four World Heritage sites have been identified in Thailand by the United Nations Educational, Scientific and Cultural Organization (UNESCO) since 1991.

In order to be included on the World Heritage List, sites must satisfy the selection criteria. These criteria are explained in the Operational Guidelines which, besides the text of the Convention, is the World Heritage Committee’s main document. Revised regularly by the Committee, the criteria evolve to match the evolution of the World Heritage concept itself.

Separate criteria are defined for cultural and natural sites. Sites are identified if they are considered to be of outstanding universal value. Thailand’s World Heritage sites are as follows:

Historic Town of Sukhothai and Associated Historic Towns

Sukhothai, which literally means the "Dawn of Happiness," was the capital of the first Kingdom of Siam in the 13th and 14th centuries. A number of notable monuments, which illustrate the beginnings of Thai architecture, can be seen in Sukhothai, a region that had a profound effect on all subsequent Thai political and religious and artistic trends.

Its former greatness has been carefully preserved by the Fine Arts Department in co-operation with UNESCO, including ruins of the Royal Palaces, Buddhist temples, city gates, walls, moats, dams, ditches, ponds and canals.

Sukhothai is located 427 kilometers north of Bangkok and is accessible via the nearest airport at Phitsanulok. THAI Airways International has a daily flight to Phitsanulok.

Historic City of Ayutthaya

Founded in about 1350, Ayutthaya became the second Siamese capital after Sukhothai. It was destroyed by the Burmese in the 18th century. Its remains, characterized by its prang or reliquary towers, and gigantic monasteries, give an idea of its past splendor.

Ayutthaya was a capital of Thailand for 417 years. Today, its many ruins include one of Thailand’s largest bronze Buddha images, the ancient palace, several important temples, a national museum and an elephant kraal. The nearby Bang Pa-In Palace, a former summer palace of the Ayutthaya kings, is located in one of Ayutthaya’s districts. It has been restored to its former glory and is a popular tourist attraction.

Visitors to the palace can wander around the beautifully ornate buildings which combine European and Thai architecture for a most unusual result. A leisurely boat ride around the palace grounds is an ideal way to get out of the mid-day sunshine. Ayutthaya is located 72 kilometers north of Bangkok.

Thungyai-Huai Kha Khaeng Wildlife Sanctuaries

Stretching over more than 600,000 hectares along the Thai-Myanmar border, the sanctuary abounds with species of almost all the forest formations of continental Southeast Asia. Declared a wildlife preserve in 1972, it is home to a very diverse array of animals, including 77% of the large mammals (especially elephants and tigers), 50% of the large birds and 3% of the land vertebrates to be found in this region.

The sanctuary stretches through the provinces of Uthai Thani and Tak, about 219 kilometers north of Bangkok. Because it is considerably off the beaten track, visiting it is very much for the die-hard nature enthusiasts.

Ban Chiang Archaeological Site

Considered the most important prehistoric settlement so far discovered in South-East Asia, Ban Chiang was the center of a remarkable phenomenon of human cultural, social and technological evolution. It was discovered in 1966 by an American, Steve Young who came across pieces of broken pottery and informed the Fine Arts Department. Subsequent excavations in 1967 and 1972 led to the discovery of skeletons, skulls, beads, weapons, home utensils and other significant signs of the ancient civilization about 6,000-7,000 years old.

Ban Chiang is located in the province of Udon Thani, in Northeast Thailand, 564 kms from Bangkok and just a short distance from the Thai-Laos border town of Nong Khai.

Northeast Thailand is well worth a visit for its unique culture and because of its proximity to neighboring destinations of Cambodia, Vietnam and Laos, and a central focus of the entire development of the Mekong region.

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Hong Kong ‘Downs’ the Platu Fleet at Pranburi

In the Fourth Coronation Cup, sailed to honour HM the King’s accession to the Thai Throne in 1946, some 90 sailors went to the Phatra Marina and Yacht Club facility at the Pran River estuary. A large contingent of our own Eastern Seaboarders from the Royal Thai Navy bases at Sattahip and the Royal Varuna Yacht Club at Pattaya, were no match for the visiting teams from eight Asian and European countries.

Peter Cummins
reports from Pranburi
All photos
by Peter Cummins

Warwick Downes, the undisputed master of the Asian Platu fleet, left no doubt who was in charge of the 1999 Coronation Cup. His trusty Royal Hong Kong Yacht Club team ‘downed’ 21 other teams of Platu sailors from eight countries who had come to the Phatra Marina and Yacht Club in Pranburi to contest this, the fourth sailing of the Coronation Cup, held from 1 - 5 May.

Finishing second to X.P. Garcia’s crack Philippine team at last year’s Coronation Cup, it was the sweet smell of success for Warwick and his crew. Unfortunately, they had to take a flight back to Hong Kong, departing Pranburi before the colourful awards ceremony. Well, somebody has to work!

f31.jpg (15883 bytes)Sailing close to the sunset? A bit hot, one would think. A Platu rounds the windward mark.

"How did you do it, Warwick, with a maximum-crew weight and extremely light winds?" I asked him. "It was easy," said the personable China Coaster. "I often read ‘Julius Caesar’ and like him, ‘we came, we saw and we (Hong) Kongquered.’"
(I hope Warwick will forgive my intransigence in consorting to some journalistic license!)

Just two months since his resounding victory in the Platu Division of the Seventh President’s Cup at Subic Bay, Philippines, Warwick mastered the very light conditions prevailing during this year’s event, finishing with a score of 1, 1, 2 for 4 penalty points, for the best three of the four races comprising the Championship Division.

Warwick’s crew, comprising Nick Burns, Glenn Kim and two ladies Mo Burns and Evelyn Lam, with an all-up weight of 370 kg., were right on the maximum allowable for the Platu. Being far from the lightest team in the event, nevertheless, the weight/boat ratio proved ideal for the trying conditions.

f32.jpg (15668 bytes)Royal Varuna Manager Cheerut Sudasna prepares to present the qualifying fround awards.

Second in the Championship Fleet, comprising a total of 14 craft selected from the 22 entries after qualifying races, was the New Zealand team comprising Russell Wood skipper, Bill Howlett, Fred Prohuber and John Rogers, finishing 2, 6, 1, for a total of nine penalty points.

Mark Thornborrow from Hong Kong’s Hebe Haven Yacht Club and his team of Mark Houghton, J. Grendon, D. Decanzon and Thailand’s own great lady sailor Leonie Duson, finished third on 10 points.

Third place was hotly disputed, however, by two other teams which also finished on 10 penalty points. UK’s Robert Wilder (Andy Harris, Matthew Peregrine-Jones and Gideon Mowser) from the Thames-side Tamesis Yacht Club and the Royal Thai Navy’s best-performing team from Sattahip, Wiwat Poonpat (Chaiwat Thaiking, Vasan Jumpathong, Preecha Dangpartum and Somkiat Poonpat) were relegated to fourth and fifth places, respectively, on the count-back (the tie-breaker based on the teams’ highest placing).

Then followed Mark Haswell (Tony Robinson, Sandy Sandoval, Mila Dahunog and Jill Novera) from the Subic Bay Club in the Philippines, sixth on 17 points and the personable "shoe-string" sailors (as they would have it) from Phuket’s Ao Chalong Yacht Club, Muzza Nordstrand (Rob Taylor, Paul Brousequet, Johnno Winter and Tony Knight), seventh, on 19 points.

In the Second Division (called the ‘Platu Division’) comprising eight craft, Mark Jewell’s Royal Singapore Yacht Club team (Adrian Owles, Andy Cocks and Angie Yeo) shared a first-place five point penalty with Royal Thai Navy skipper Monton Juntarasri (Verasit Puangnak, Theera Vongruk, Kittisak Phuyim and Sitisak Musikul), with the Singaporeans taking the honours on a count-back of the best placing.

"Home town" team, led by Robert Brown (David Inkpen, James Dowey and James Knowler) finished third on 11 penalty points and, as with the minor placings in the Championship Division, Robert shared equal points with two other teams, taking the preferred place on the tie - or, should that read "Thai" - breaker!

f33.jpg (10373 bytes)The stroms at sunset made spectacular photography but some problems for the race management.

Phatra Yacht Club Thai team skipper Schle Wood-Thanin (Oliviero Godi, Suwan Poopoksakul, Peerapol Laohasereekul and Sansi Chantian), was thus fourth and Changi Sailing Club’s finest, skipper Tan Soon Hwa (Ho Kah Soon, Rupert Ong Cheng Tat, Ong Pang Liang and James Leow) had to return to the Island Republic with a fifth place recorded.

A record fleet of 22 Platus were chartered for the 1999 Coronation Cup, the fourth in the series originally established in May 1996 to honour HM King Bhumibhol Adulyadej on the occasion of the 50th anniversary of his accession to the Thai Throne in 1946. His Majesty, a renowned Gold-medallist dinghy (OK) sailor in regional games, graciously bestowed the very handsome Coronation Cup trophy to be contested each year in perpetuity.

The participation list in this year’s Coronation Cup bears witness to the advancement of the Farr Platu Racing Keelboat generally and the Coronation Cup specifically. Teams from Australia, Belgium, Hong Kong, Japan, New Zealand, Philippines, Singapore and the United Kingdom joined a big contingent of Thai sailors from several yacht clubs throughout the Kingdom.

The region’s best Platu sailors descended on the home of this versatile little (25-ft) Platu racing keelboat, especially designed for Thailand by the world’s pre-eminent yacht designer, New Zealand’s Bruce Farr, and constructed by New Zealand’s equally-eminent boat-builders, McDell Marine.

It was named after the Platu - also known as the short-bodied mackerel - the indigenous fish which inhabits the waters off Hua Hin and Prachuab Khiri Khan. The Platu racing keelboat, however, since its inception at the Phatra Marina and Yacht Club some six years ago, unlike its underwater nemesis, has rapidly spread to many Asian-Pacific and European countries.

The Coronation Cup has been the catalyst in this phenomenal development and such other events as the annual Phuket King’s Cup Regatta - held each December to celebrate His Majesty’s birthday - have further increased the appeal of the Platu.

Yves Anrys, well known as the organizer of ongoing Cataworld Cups, two sectors of which have been sailed in Thailand, came to Pranburi to participate in the Coronation Cup and monitor the development of the Platu. Yves pointed out that the first European Championship for the "European Platu", produced by Beneteau and known in European waters as the "Beneteau 25", was held last September in Nieuport, Belgium, contested between Belgium, France, Germany and the United Kingdom. (It is good to know that there is another NEWPORT associated with yacht racing!)

"It is only a matter of time," Yves noted, "and there will be the Platu/Beneteau World Championships - maybe even here in Thailand," he added hopefully.

Heavy rain preceded the opening day of the championship, causing a little consternation for the race management, as a heavy cumulus scudded around the horizon and, in fact, a strong westerly storm greeted the hapless sailors and committee every afternoon at sunset.

The first-class race management committee grappled with the most unseasonable weather patterns, spending up to 12 hours per day on the committee vessel anchored well off shore. As Race Committee Chairman Rear Admiral Sunan Monthardpalin said with a wry grin, "I did not know that the wind was the same as a clock; it just kept going around... and around."

f34.jpg (17775 bytes)Admiral Suvatchai poses with the Hebe Haven team from Hong Kong. Varuna’s own Leonie Duson upgrades the photo.

The evening storms, though scenically spectacular, did not do a lot to ease the race committee’s burdens, intent as they were to manage a championship worthy of an international label. "They did succeed Admirably on all counts," was the consensus of the sailors. Not surprising, that, considering that there were some five Royal Thai Navy Admirals involved in the regatta.

International Judges (you guessed it!) Rear Admiral Prasart Sribadung and Royal Varuna Yacht Club Flag Commodore ensured that all was fair on sea and on land.

It was almost one of those unavoidable ironies that the only REAL wind during the week blew in from the southeast at the awards ceremony. The beautiful ornate plate for the winner of the Platu Division was blown off its base - US$250 worth of perpetual trophy - and was on its way to smash on the concrete. An alert sailor, who obviously was not too much into the Heineken, made a brilliant catch - 15 cm from the ground. Phongphan Sukyanga, who managed the shore back-up services and press office was, to say the least, rather grateful.

As 24 teams had arrived to compete in just 22 boats (the Phatra Marina previously housed 28 Platus but now, six have been added to the Sunsail charter fleet, based at the Phuket Boat Lagoon), the race committee divided the four-day regatta into two divisions of 11 craft, randomly selected. At the end of the second day’s qualifying races, the fleets split into the Championship and Platu Divisions of 14 and eight craft respectively.

It was most satisfying to have the "big four" of Platu development at Pranburi that week. It also allowed the "Asian Marine" correspondent to embark on his favourite grammatical foray - alliteration, in the form of four double ems. Thai financier, Viroj Nualkair was the "Master Mind" behind the Platu; New Zealand’s Bill Howlett from McDell Marine, the "Master Manufacturer"; New Zealand’s John Weston who "set the whole show on the road" would be the "Master Mariner" behind the Phatra marina and yacht club project; and, finally, Cheerut Sudasna, MD of Phatra Marine Products Company would undoubtedly be the "Master Marketeer".

And, as the weary sailors, clutching environmentally-green cans of Heineken beer, gathered to honour the winners, it did not really need Admiral (yes, another one) Suvatchai Kasemsook to "exhort the group to come back next year for the fifth Coronation Cup."

If any one of the gathered sailors was harbouring reservations about returning in May, 2000, the Admiral’s closing words were: "it will, after all, be mango season again."

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Japanses airlines battle it out on new playing field

by Imtiaz Muqbil,
Executive Editor, Travel Impact Newswire

The winds of change that swept through the US aviation industry in the 1980s and the European industry in the 1990s are now affecting Japan’s Big-Two airlines, whose efforts to retain profitability and market share are following much the same path as those already charted by their US and European counterparts.

Both the major players, Japan Airlines and All Nippon Airways, are now in the throes of major cost-cutting and restructuring as well as reshaping their global alliance partnerships. All Nippon Airways, Asia’s largest airline, will join the Star Alliance in October 1999. Japan Airlines, once a stodgy, government-owned airline, is still one of the largest global airlines out of the alliance loop but is keeping its options open, seeking to consolidate its existing bilateral partnerships with a range of other airlines before deciding which alliance to get into bed with.

The two airlines are operating under a backdrop of some difficult circumstances. Japanese infrastructure costs are the highest in the world. Ditto the landing costs at the two major international Japanese airports, Tokyo Narita and Kansai Osaka; it costs 950,000 yen (or about US$8,110) to land a Boeing 747 at Narita and 940,000 yen at Kansai, compared to only US$2,640 at Singapore Changi airport.

The situation is exacerbated by the decline in Japanese outbound travel which last year dropped 6% to 15.8 million. At the same time, the number of inbound visitors dropped 2.7% to 4.1 million. Even as the economic recession takes its toll from the implosion of the ‘bubble economy,’ the entrance of new airlines from before the collapse has meant increasing competition in both the domestic and international markets.

Indeed, last year’s entrance of new domestic airlines like Skymark and Air Do was the first in 35 years.

The interplay between the two Japanese airline giants makes for an interesting scenario. ANA was founded in 1957 and became the unshakeable supremo of the domestic routes. Japan Airlines was founded in 1951 and for many years dominated the international routes.

In 1986, the Japanese government decided to allow increased competition in the expanding market for overseas travel and in March 1986, ANA went international. Realizing that its government-ownership would ill-position it to face the competition to come, JAL was privatized with the government relinquishing its final 34% stake in November 1987.

ANA has since grown its international network to 28 destinations in 17 countries which, complemented by its domestic network of almost 540 flights daily to 34 Japanese destinations, gives it a formidable marketing presence.

Meanwhile, JAL has been expanding its domestic route network and now serves 23 cities in Japan, in addition to 72 cities abroad. ANA’s response to JAL’s dominance on the international sectors has been to initiate the link up with the Star Alliance and launch a number of code-share flights with partner airlines like United.

According to the latest available statistics, JAL earns about 74% of its income from international routes, ANA 30% and the third major player, Japan Air System, only 6%. The rest of the earnings comes from domestic routes.

It is this lopsided nature of the earnings mix that the airlines are trying to rectify, mainly by encroaching into each other’s markets. However, the fight for market share, exacerbated by the economic problems, the downturn in outbound travel and the increased competition stemming from deregulation of aviation routes and fares in 1997 is drowning the airlines in red-ink.

In fiscal year 1997/98, JAL reported a net loss of 94,189 million yen on an operating revenue of 1,219,706 million yen. In the same year, ANA’s net loss was 5,398 million yen on operating revenues of 1,080,506 million yen.

The cost-cutting that is taking shape is affecting every area of both airlines, beginning from the top down. JAL has halved the size of its board of directors from 30 to 15. ANA has gone several steps further. After its shareholders meeting in June, it will be reducing the size of the board from 31 to 19, further reducing their salaries and flattening the organizational structure by suspending several senior positions in its own hierarchy as well as that of associated companies.

Both airlines are also transferring many less-profitable routes over to their subsidiary companies which have operating costs about 20% lower than the mother companies.

JAL is also reviewing the employment structure of its cabin attendants; in 1997, 61% of its 7,200 cabin attendants were permanent (conventional) and 3% permanent (new). By 2001, the number of permanent (conventional) attendants will be cut to 40% and the number of permanent (new) attendants raised to 26%.

The good news for Asian countries is that the number of non-Japanese attendants, mainly Thais, will be raised from 12% to 17% of the total staff. Indeed, JAL’s subsidiary airline, Japan Air Charter, is almost entirely staffed with Thai cabin crew, based in Bangkok.

Gaining steam is the number of code-share flights - a system under which two otherwise-competing airlines pool resources on a low-profit route, use each other’s aircraft and share revenues and income. This allows them to improve utilization of existing aircraft, cut costs and divert other aircraft to profitable routes.

JAL has announced a number of new code-shares with American Airlines, British Airways and Cathay Pacific, all part of the ‘Oneworld’ alliance, giving some indication of which alliance JAL is most likely to join. Meanwhile, ANA in October 1998 signed a wide-ranging pact with United Airlines, the largest US airline, for more than 400 code-share flights across the Pacific, within the US and Japan, and beyond Japan to Singapore, Bangkok and Seoul.

Both airlines are also embarking upon an orgy of route-restructuring, including pulling out of many unprofitable routes. Asian destinations have been most affected. Instead, aircraft are being ploughed to Europe and, in the wake of the highly liberal new aviation pact with the United States signed in 1998, to North America and beyond.

There is a long way to go for both airlines as they seek to further pare back unit labor costs even while boosting staff productivity. Indeed, both are looking forward to the opening, some day, of the second runway at Tokyo Narita airport that will allow a considerable increase in the number of landing slots and give them some room to breathe in one of the world’s most congested airports.

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BOI foreign investor survey reveals improving investment climate

from Joseph Feinstein Investment Services Center,
Office of the Board of Investment

At the May 12 meeting chaired by Prime Minister Chuan Leekpai, the Board of Investment reported the findings of their annual Foreign Investment Confidence Survey. The survey, which was conducted during the first quarter of 1999, was distributed to 705 BOI-promoted firms, each of which had a minimum of 10 percent foreign shareholding.

The results of the survey are a clear indication that foreign businessmen expect the economic situation to improve. Perhaps the most encouraging finding was that 57 percent of respondents indicated their company forecast net profits for 1999, while only 18 percent expected to post losses. 30 percent of those responding to the survey reported losses in 1998.

The survey also revealed that 45.2 percent of respondents reported that their company planned to expand their investment in Thailand in 1999, a 26 percent increase from the 1998 survey. This finding certainly is attributable to improved confidence in the Thai economy on the part of the international investment community.

Investors report that investment incentives and competitive labor costs remain the two most important factors involved in their decisions to invest in Thailand, which is consistent with the results of the past two years’ surveys. The greatest obstacle cited in the survey, not surprisingly, was the instability of the Thai baht.

Other interesting findings include:

* 53 percent of surveyed firms expect to export more in 1999, as projects in sectors that previously targeted the domestic market are increasingly targeting export markets for their products.

* Capacity utilization by BOI-promoted companies appears to surpass the rate for the manufacturing sector as a whole, as 25 percent of respondents utilized over 90 percent of capacity last year, as opposed to the Bank of Thailand’s 50 percent estimate for the nation’s entire industrial sector.

* 66 percent of respondents reported increased baht-denominated export earnings in 1998, while 48 percent reported increases in yen or dollars terms.

* To cope with the economic crisis, firms adopted cost-cutting measures, such as reducing packaging and transportation costs, and lowering inventory, and more than half the respondents indicated they were exploring new export markets for their products.

There were a total of 347 responses, which represents a 49 percent response rate. The respondents reflected a broad spectrum of interests, with responses of companies from Japan, Taiwan, Europe and the United States. Approximately two-thirds of the responses came from companies that have been in Thailand for at least five years, and almost 75 percent derive at least half their income from exports. Most of the firms are classified as medium to large size; and about 25 percent of the responses were from companies in machinery and transport equipment, with another 25 percent from electronic and electrical products industries.

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Water, water everywhere, and not a drop to drink!

by Doctor Iain Corness

Having been born in November, I am not an Aquarian. These ‘water sign’ people have had my undying admiration all my life. While the Aquarians have taken to water like the proverbial ducks, I have approached the fluid medium with all the agility of a house brick.

This first became apparent when I was taken to the local swimming baths by my proud parents, both of whom could swim, a talent possessed by only 50% of post-war Britain. After several attempts, even my swimming medal winning father accepted that his son was not a swimmer. It is not often that a five year old can lower the level of a swimming pool three inches by gulping.

As I proceeded down the water course of life it became increasingly obvious that water and I did not have a love-hate relationship. It was more of a hate-hate relationship. Seaside rocks I could slip off, puddles I fell in, sudden downpours I was caught in and floods I was trapped in. There was no end to watery accidents. I took to carrying a plastic mack, blow up water wings and an expanding shaft umbrella at all times.

As I grew up into my teens it became clear that I excelled at spectator sports. Again the Aquarian jinx became apparent. Every sporting function looked forward to at the weekend was rained off. Replays of football matches, speedway tournaments, tennis and cricket were always held on Mondays, a school day, and the bleachers were always minus one. Me.

As I grew older I began to manage the water problems more cleverly. Beach trips were refused. I signed an undying pact with the international shark population - I would not enter their bath water if they, in turn, stayed out of mine. This contract is still current. I avoided staying in any house or apartment that had a pool. I turned down offers to join the Plumber’s Union. I broke family tradition and did not join the navy. Offers of fishing trips were returned and on wet days I stayed indoors.

All of this worked, by keeping me away from water, until Thailand. Since settling here I have been plagued by water gremlins ever since. All my hard and fast rules have proved to be totally useless in this tropical paradise.

The first was coming home to find that someone had removed my water meter. After paying the bill that was never delivered, plus 500 Baht re-connection I came home to find the neighbourhood children playing in the swimming pool outside my home. A swimming pool we never had before. A swimming pool fed by the gushing water from the poorly re-connected meter. It was at that point I became a plumber.

Since then, every water cistern in the house has decided to do Niagara Falls impressions. I have become so adept at changing floats, valves and funny plastic bits that I am on first name terms with the local hardware shop.

The right angle bends joining the familiar blue plastic water pipes are also on my list of bete noirs. They have taken to blowing off in turn, producing a flood in the kitchen, toilet and back garden, in that order. There is a special clear aromatic fluid that fixes these. I have several gallons in stock.

The recent downpours have also impinged on my daily routine. A falling tree breaking the roof and allowing the rain to pour through the ceiling in the bedroom. Of course the mattress was soaked. Why did you even bother asking? The sun-shade over the car filled with water and the gate-post it was attached to toppled over and broke the rear vision mirror and the gate came off its runners. No matter where I park the car, I will always return to find it in the middle of a large pond and my shoes will leak.

I have taken to studying the Aquarian horoscope in the faint hope that I will glean some insight into how to handle this water problem in Thailand. In the meantime I have taken up SCUBA diving!

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Copyright 1998 Pattaya Mail Publishing Co.Ltd.
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Created by Andy Gombaz, assisted by Chinnaporn Sangwanlek.