Singapore’s SMRT Corp. (MRT), named the world’s best metro operator in 2009, angered commuters, lost its CEO and became Asia’s worst-performing major rail stock when trains stopped running on time. Worse may be in store.
The December breakdowns, the most disruptive in its 25-year history, prompted protests and forced the company to boost spending on upgrades amid the government’s biggest transport- related inquiry since 2004. The regulator said last week it’s considering raising the maximum penalty it can impose on train operators from S$1 million ($786,000). Full story
