Tiger Airways

Tiger Airways: OCBC upgrades from Hold to Buy and raises its TP from $0.67 to $0.76. Tiger is likely to benefit from the current respite in jet fuel prices, especially with fuel cost contributing to more than 40 percent of its operating costs. Assumes that Tiger can achieve around $5m of savings in fuel costs in the 1Q2013 fiscal year, given the 7% qoq fall in average jet fuel prices. With Tiger's Australian unit flying more sectors and lowering its unit fixed cost and Tiger Singapore more focused on improving yields and load factors, the budget carrier's profitability is poised to considerably improve in 2013