Tiger Airways

Tiger Airways: Macquarie downgrades to Underperform from Neutral with $1.50 TP from $1.80. Note that higher jet fuel prices were the main reason for downgrade, with hedging at similar levels; fuel surcharge unlikely to differentiate. Pilot retention also an unlikely risk; however, at 12x CY11E EV/EBITDAR vs the Asia-ex average of 5.9x, think Tiger is looking fully valued vs its peers.