The company said the improved figures were the result of increasing
ridership, a reduction in interest rates brought about by renegotiation
of its syndicated loans, and a change to depreciation based on
transport volume. However, the cost of servicing accumulated debts of
more than $NT 400 billion and depreciation meant THSRC made an overall
loss of $NT 4.8 billion.

The $US 16 billion Taipei - Kaohsiung
high-speed line was constructed under a 35-year build-operate-transfer
concession. It opened 15 months behind schedule in January 2007 and
passenger numbers have struggled to meet forecast levels. Last year the
company's continuing financial problems prompted the government to
appoint nine representatives to the 15-member THSRC board.