Some Memories

WASHINGTON : Computer maker Dell Inc is paying US$100mil (RM320mil) to settle civil charges that it used fraudulent accounting to meet Wall Street earnings targets, the government announced. Under the settlement with the Securities and Exchange Commission (SEC), company chairman and CEO Michael Dell also agreed to pay a separate US$4mil (RM12.8mil) civil penalty. While the fine was far from the largest penalty levied by the SEC, the decision to charge a sitting chief executive of a major company and reach a seven-figure settlement with him is rare. Michael Dell is one of the most prominent figures in the technology industry, credited for revolutionising the PC market by making the computers cheap and accessible. The SEC said the company also failed to disclose to investors large payments it received from Intel Corp in exchange for not using equipment made by Intel's main rival, AMD Inc. Those payments enabled Dell to meet its quarterly earnings targets. After Intel stopped th...

Telco industry shocked at Digi official's quitting Why did Johan Dennelind quit since he was doing well at DiGi? T hat is the question being asked around at many lunch tables on Thursday IT has come as a big shock to the industry that Johan Dennelind has called it a day at DiGi.Com Bhd. That means those who are used to this soft-spoken man will miss him. He is the sort that would not kill an ant. But why did he quit since he was doing well at DiGi? That is the question being asked around at many lunch tables yesterday. Has it anything to do with Telenor's 49% stake in DiGi or was it about career advancement? Whatever, he has chosen to remain silent and is away on holiday with his family. May 17 is his last day at DiGi after clocking in two years. Dennelind has done a lot in the past two years while at the helm of DiGi. He is credited for the operational efficiency, something needed since margins in the cellular business is thinning. He also was instrumental in cha...

Vincent Tan's MOL buys Friendster social network site PayPal expands services in Malaysia, finally PayPal, a subsidiary of eBay Inc, has expanded its services in Malaysia with the introduction of support for payments in Malaysian ringgit and a new bank withdrawal feature that enables members to transfer money from their PayPal account directly to a Malaysian bank account.

JCY to offer 25.9pc shares in listing 2009/12/09 JCY International Bhd, planning what may be Malaysia's second-largest initial public offering in six years, may offer 25.9 percent of its stock in its IPO. JCY's stockholders plan to offer as many as 530.2 million shares, the maker of hard-disk drive components said in a prospectus filed to Malaysia's Securities Commission today, without specifying any price or timing. Of the total, 89 percent of the shares will be offered to institutional investors and the remainder to individuals, it said. The sale may raise as much as RM1 billion (US$295 million), the Edge newspaper reported on Dec 5, citing unidentified people. That would make it the second-largest IPO in six years in Malaysia, where the benchmark index has risen 44 per cent this year, after Maxis Bhd.'s record RM11.2 billion offering last month. JCY International Chairman Rozali Mohamed Ali yesterday declined to confirm the reported IPO size. "It will be...

6 cent per share for now. Does that mean 1.26% dividend yield?   Maxis: A Dividend Surprise KUALA LUMPUR, Dec 1 (Bernama) -- Maxis Bhd's maiden post listing interim dividend of six sen per share for the financial year ending Dec 31, 2009 was a pleasant surprise as the market expected that to happen only in the financial year of 2010, said OSK Investment Research. The country's biggest mobile operator declared an interim single-tier tax exempt dividend of six sen per ordinary share for the year, payable on January 15 next year. The company posted a higher net profit of 28 per cent year-on-year for the first nine months of 2009 and 1.0 percent year-on-year hike for the third quarter. "Year-to-date, its earnings made up 70 per cent of our full-year forecast and 72 per cent of consensus," the research house said in its note here Tuesday. Maxis's revenue also expanded by two per cent quarter-on-quarter, reversing the two consecutive quarters of contraction, ...

Yes! Going to draw my first dividend of 6 cents per share. Maxis profit jumps on mobile ops PETALING JAYA: Maxis Bhd's net profit for its third quarter ended Sept 30 jumped 28.1% to RM615mil against the previous corresponding period supported by growth in its total mobile subscription. Revenue inched 1.74% up to RM2.16bil from a year ago. Chief executive officer Sandip Das said the higher revenue was primarily due to the 3% increase in mobile subscription, bringing the total to 11.7 million. "The third quarter saw healthy net additions of 312,000 driven by pre-paid and wireless broadband subscriptions," he said in a filing with Bursa Malaysia yesterday. Post- and pre-paid average revenue per user remained stable at RM103 and RM41 respectively for the period under review. Non-voice revenue rose 8% quarter-on-quarter to RM663mil due to an increase in SMS and advanced data services revenue. Sandip said Maxis was encouraged by the growth of the non-voice revenue which accoun...

A contrasting view from TA. TA cuts call on Malaysia's Maxis to hold 12.01.09, 08:33 PM EST Dec 2 (Reuters) - Maxis Bhd: * Cuts call on Maxis to hold from buy as share price has appreciated 7% since listing. * Because of that, total upside to target price, inclusive of the dividend yield is less than 15%. * Pegging a PER of 17x against its estimated FY10 numbers Maxis should be valued at RM5.80. * Taking the 75% dividend payout policy as announced, we estimate FY10 dividend to be around 25.6 sen per share. * Our valuation implies a dividend yield of 4.4%. On EV/EBITDA basis, our valuation implies a multiple of 9.12x on FY10 EBITDA. Source: Forbes

With the onset of a global recession, Dubai's real estate market declined after a six-year boom. On November 25, 2009, the Dubai government announced that the company "intends to ask all providers of financing to Dubai World and [its subsidiary] Nakheel to 'standstill' and extend maturities until at least 30 May 2010".[3] The company will also undergo a restructuring process with the help of Deloitte consultants. Several months earlier, Dubai World accounted for a $59-billion debt, nearly three-quarters of the emirate's US$80-billion debt.[4] This includes a US$3.5-billion loan which the company is unable to repay by its December deadline.[5] In response to the government announced moratorium of Dubai World's debts, both Moody's and Standard & Poor's Investors Services heavily downgraded the debt of various Dubai government-related entities with interests in property, utilities, commercial operations and commodities trading. In Moody's ca...

20 November, 08:01 Dell profit falls 54%, shares down SAN FRANCISCO: Dell Inc. said Thursday that its net income dropped 54 percent in the latest quarter and amid signs the company isn't fully benefiting from the computer industry's fledgling recovery. Dell's numbers missed Wall Street's forecasts, and the shares fell almost 6 percent in extended trading. In the last quarter Dell lost its ranking as the world's No. 2 personal computer maker, a slot now held by Taiwan's Acer Inc. Dell rivals such as Acer and Hewlett-Packard Co. have stolen market share in part by exploiting their bigger presence in retail stores. That has been a big weapon because consumer interest in little laptops called "netbooks" has helped the PC industry start to pull out of its worst slump in years. Instead, Dell gets 80 percent of its business from corporations, government agencies and other large institutions, which have remained hesitant to spend money on...

This is a what the analysts expected .

Something to watch out. Will I get to buy their shares again? PETALING JAYA: Maxis Communications Bhd (MCB) is offering for sale 30% or 2.25 billion shares of Maxis Bhd's (Maxis) issued and paid-up capital, of which 2.33% is for retail investors and 27.67% for institutional investors as part of the celco's initial public offering (IPO). Maxis is the country's dominant cellular player, which as at mid-June had 11.4 million mobile subscribers and controls 40% share of the Malaysian cellular market. The offer for sale is expected to raise US$2.5bil or about RM9bil, which will be the biggest IPO in corporate Malaysia since 1995. The offer price was not revealed in the draft prospectus that was posted on the Securities Commission website on Thursday. Maxis will not issue new shares for the IPO and thus will not get any proceeds. The proceeds will go to the shareholders that are making the offer for sale. Prior to the IPO, MCB, a wholly-owned subsidiary of Binariang GSM Sdn Bhd, ...

His departure is viewed more negative than positive. Credit Suisse said Jala's departure came at an inopportune time as the operating environment was still tough. "This reinforces our negative view on the stock," the research house said, adding that it maintained a "underperform" rating on MAS. OSK Research analyst Ng Sem Guan expects a "smooth transition" with no or minimal interruption as Azmil had been with the national carrier since 2005. He said Azmil had much longer experience than Jala in the aviation industry and was one of the masterminds behind the transformation plan introduced by the latter. "We think his (Azmil) knowledge and experience will certainly help ensure a smooth transition," Ng said. "With the aviation industry is still mired in uncertainty in the aftermath of the global recession and volatile crude oil prices, we suspect Jala's departure may be viewed negatively by the market despite the fact that his experien...

Idris Jala, the man who's instrumental of lifting MAS from its doom back in 2005. From a loss P&L to a profit record in 2007. How is MAS going to be without him? Najib: Idris will be sworn in as senator PETALING JAYA: Malaysia Airlines (MAS) chief executive officer and managing director Datuk Seri Jala has been appointed as a Minister in the Prime Minister's department Thursday. He would be the chief executive officer of Performance Management and Delivery Unit (PEMANDU), the organisation that oversees the implementation of the Key Performance Index (KPI) initiatives. "Idris will complement, support and report to Tan Sri Dr Koh Tsu Koon, minister in Prime Minister's department in charge of National Unity and Performance Management," said the Prime Minister Datuk Seri Najib Tun Razak in a statement Thursday. Najib informed the Cabinet of the appointment at the Cabinet KPI Workshop held in Putrajaya Thursday and the Yang di-Pertuan Agong Tuanku Mizan Zainal...

Via The Star

Is this a signal that economy is getting more better soon? Bank Negara, two others plan to exit full deposit guarantee PETALING JAYA: The Hong Kong Monetary Authority, Bank Negara and the Monetary Authority of Singapore have established a tripartite working group to exit the full deposit guarantee by end-2010. In a coordinated effort to contain the effects of the global financial crisis, Malaysia and Singapore provided a blanket guarantee on all bank deposits in their respective banking systems in October last year. All ringgit and foreign currency deposits placed with financial institutions regulated by Bank Negara were fully guaranteed by the Government. The move has helped to reassure depositors and preserve confidence in the financial systems, as some of the biggest and respected international financial institutions were wracked by huge losses globally. Source: The Star

I'm wondering if AirAsiaX is doing well or not ... AirAsia X CEO backs merger with AirAsia Bhd By B.K. SIDHU Azran: Merger will let AirAsia tap into long-haul markets SEPANG: A merger between AirAsia X and AirAsia Bhd makes business sense and the combined balance sheet would make sourcing for future funding much easier, said AirAsia X chief executive officer Azran Osman-Rani. "It would be difficult for AirAsia in the future if it did not have trunk routes as (this) is where the traffic volumes come from, so AirAsia needs growth from AirAsia X and the merger allows it to tap growth opportunities in the long-haul markets," Azran told StarBiz in an interview. "AirAsia cannot continue to just criss-cross and enter new markets, it needs a bigger base,'' he added. Given the nature of the business, which is counter-cyclical, a large base was necessary to balance the routes in peak and non-peak months, he said. That is why AirAsia X has to sell beyond Kuala Lumpur ...

Keng! Public Bank's Q2 profit rises to RM610mil Group declares an interim dividend of 30 sen a share KUALA LUMPUR: Public Bank Bhd posted a modest rise in net profit to RM610.7mil, or 17.7 sen a share, in its second quarter ended June 30 as a still vibrant business in Malaysia was dragged down by a weaker performance from its overseas operations. It recorded a net profit of RM593.5mil, or 17.69 sen a share, in the previous corresponding period. The group, however, sees its loans growth and non-performing loans (NPLs) to be at industry leading levels as it forecast yet another year of record profit on a recurring basis. "The Public Bank group will continue to pursue its strategy of strong organic business growth, as well as maintain a high quality loan portfolio and improved productivity," chairman Tan Sri Teh Hong Piow said in a statement. The group declared an interim dividend of 30 sen a share less tax, which amounts to around RM777mil. The payout remained constant from...

I totally agree! Why are we just not synergize? KL-S'pore high-speed rail will generate economic benefits Hock's Viewpoint - By Choong Khuat Hock A KL-Singapore high-speed rail would generate more economic benefits than the double-tracking railway from Ipoh to Thailand WITH negative export growth and private consumption, fiscal stimulus is playing a more important role. In Japan, building bridges to nowhere has not generated long-term economic benefits but has instead burdened future generations. In Malaysia, building a double-tracking railway from Ipoh to the Thai border for RM12bil can never generate as much economic benefits as a high-speed rail (HSR) from Kuala Lumpur to Singapore for around the same price tag. (Please vote or express your views on the blog http://klsingaporehsr.blogspot.com/ ) Malaysia appears to be far behind in HSR development. China has completed six high-speed rail projects with design speeds of up to 250km/h and in July 2008, it completed the 108km ...

MAS lost RM 706.4 millions for Q1 2009

There is p ossibility of third stimulus package . The first stimulus package of RM7bil was announced last Nov 4 and the second, the RM60bil Mini Budget, was tabled in Parliament on March 10. Najib, who is also Finance Minister, announced a revised Gross Domestic Product (GDP) for Malaysia this year, where the figures are now between -4% and -5%, compared with -1% to +1% previously.