Wednesday, 5 September 2012

News Highlights - Malaysain Airline System, DRB-Hicom, Kimlun Corporation, Rubber Gloves Sector


Malaysian Airline System Bhd (RM1.04/share)
Firefly in talks to buy new planes
Firefly chief executive officer Ignatius Ong said the company is negotiating with several aircraft manufacturers to buy new planes to fuel the community airlines’ robust expansion plans two years from now. He said the airline was keeping its options open on the range of the aircraft, which might be bigger in size from the turboprops the airline was currently using.

Currently, Firefly, a subsidiary of Malaysia Airlines (MAS) operates 12 turboprops, all have been 80% utilised. On the number of aircraft to be acquired, Ong said it all depends on the manufacturers and what the market has to offer. – StarBiz

DRB-Hicom Bhd (RM2.56/share)
Mohamed Razeek appointed COO
DRB-Hicom Bhd has appointed Datuk Mohamed Razeek Md Hussain as its chief operating officer - services and properties, effective September 1 2012.  Group managing di rector  Datuk Ser i  Mohd Khami l  Jami l  said Mohamed Razeek’s appointment came at an opportune time as the company positions itself for continued growth while managing the diversity of its business activities.

Mohamed Razeek served as the chief executive officer of Malaysian Resources Corp Bhd (MRCB) for three years prior to joining DRB-HICOM. He was responsible for steering MRCB towards operational, financial and branding achievements and accolades. – Business Times

Kimlun Corp Bhd (RM1.41/share)
Submits fresh tenders
Kimlun Corp Bhd has submitted fresh job tenders worth “several hundred million” ringgit and is expecting to replenish its current construction and manufacturing order book of RM1.8bil with these jobs. Chief executive officer Sim Tian Liang said they expect some results within the next three months and their track record is 20% of the tendered amount.
Kimlun, which derives 90% of its sales from the construction sector and the remaining from the manufacture of concrete products has year-to-date obtained some RM985mil worth of jobs. Sim added that they have started diversifying into the property market as they have currently become a bit reliant on the construction sector. The company in 2010 announced that it had purchased 4.95 acres of land in Cyberjaya for RM14mil or RM65psf.

Kimlun also has plans to expand into the industrial property market having recently purchased nine parcels of freehold agriculture land in Nilai, Negeri Sembilan for RM27.4mil. The company intends to build industrial buildings and factory units on this parcels of land to sell. – StarBiz

Rubber Gloves Sector
Margma seeks tax breaks for glove maker
Malaysian Rubber Glove Manufacturers Association (Margma) has appealed to the government to accord tax breaks for glove makers who aggressively re-invest to automate production lines and develop more innovative gloves for use in the medical sector.

Margma president Lim Kwee Shyan said the government earlier this year drastically cut approval  permits for foreign workers. In view of the difficulty in securing additional labour, Lim said the association members are working diligently to mechanise their manufacturing processes.

He highlighted that the industry is making a paradigm shift from being a labourintensive to that of a high technology and knowledge-based sector that is attracting more mechanical engineers and chemists. – Business Times

Source: AmeSecurities 

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