The first-quarter net loss of embattled Picnic Corp Plc has swelled by 114.74 per cent to Bt819.8 million, following a revision of its quarterly earnings ordered by the Securities and Exchange Commission (SEC).

The company's earlier financial statements claimed a net loss of Bt381.77 million in the first quarter.

After the revision, Picnic saw its financial results slump by 1,247 per cent from a Bt71.44-

million profit in the corresponding period last year.

The company said in a filing with the Stock Exchange of Thailand (SET) that the larger quarterly net loss was triggered by a doubtful-debt provision totalling Bt459.98 million.

Of the total provision, Bt146 million covers accounts receivable in its LPG business and Bt254 million accounts receivable in its engineering business. The rest is for other receivables in the LPG business.

"This provision was set up [due to] a conservative approach," the company said. In addition, Picnic reversed losses from debt restructuring of an LPG filling plant worth Bt22.72 million and reversed interest income of Bt770,000.

Following the amendment, shareholders' equity in the company fell by Bt483.03 million to Bt2.03 billion.

"The company has completely submitted all evidence for its first-quarter 2006 review of financial statements, except for an appraisal report covering small gas cylinders, because the company is

hiring a new appraiser," Picnic said.

Despite Picnic's amendment of its financial result, as required, the SET is maintaining an SP (suspension) sign on the stock pending consideration of the revised earnings by the SEC, because the company's auditor has been unable to summarise the revised financial statement.

Picnic's stock was Bt0.46 per share before being suspended from trading on June 5.

Several of Picnic's creditors, who hold bills of exchange on which the troubled company has defaulted, are taking legal action. Moreover, Picnic's fate became even more uncertain recently when it was able to sell only a tiny portion of an issue of 1.48 billion capital-increase shares to existing shareholders.

It planned to use the proceeds from the share allocation to repay its debts.