Fun: Dead Duck

Let's have a guffaw here.

A woman brought a very limp duck into a veterinary surgeon. As she laid her pet on the table, the vet pulled out his stethoscope and listened to the bird's chest.

After a moment or two, the vet shook his head and sadly said, "I'm sorry, your duck, Becky, has passed away."

The distressed woman wailed, "Are you sure?"
"Yes, I am sure. Your duck is dead," replied the vet..

"How can you be so sure?" she protested. "I mean you haven't done any testing on him or anything. He might just be in a coma or something."

The vet rolled his eyes, turned around and left the room.  He returned a few minutes later with a black Labrador Retriever. As the duck's owner looked on in amazement, the dog stood on his hind legs, put his front paws on the examination table and sniffed the duck from top to bottom. He then looked up at the vet with sad eyes and shook his head.

The vet patted the dog on the head and took it out of the room. A few minutes later he returned with a cat. The cat jumped on the table and also delicately sniffed the bird from head to foot. The cat sat back on
its haunches, shook its head, meowed softly and strolled out of the room.

The vet looked at the woman and said, "I'm sorry, but as I said, this is most definitely, 100% certifiably, a dead duck."

The vet turned to his computer terminal, hit a few keys and produced a bill, which he handed to the woman..
The duck's owner, still in shock, took the bill.

"$1000!" she cried, "$1000 just to tell me my duck is dead!"

The vet shrugged, "I'm sorry.... If you had just taken my word for it, the bill would have been $50, but with the Lab Report and the Cat Scan, it's now $1000."


Wasn't it punny?

Malaysia: 2010 GDP at 7.3%?

Quick on the heels of JP Morgan's startling prediction of a 7.7% potential GDP growth for the country i nthe current year,  HSBC  lost no time in giving their take.

HSBC Holdings plc senior Asian economist Robert Prior-Wandesforde yesterday predicted that Malaysia’s gross domestic product (GDP) will expand 7.3% this year on rising exports fuelled by higher commodity prices and domestic demand.

His forecast for 2010 was revised from the 6.8% made last year and higher than Bank Negara’s forecast of 4.5% to 5.5% in the 2009 annual report.

“We’re looking at a very vigorous V-shaped recovery from the exports side for Asia and Malaysia’s export-led economy will definitely benefit from this recovery,” Prior-Wandesforde told reporters on the sidelines of the Activate Asia: India in Focus seminar organised by HSBC Bank Malaysia Bhd yesterday.

He said there were also signs that private consumption had risen strongly due to confidence in the economy returning.

However, Prior-Wandesforde said while indications suggested growth would be broad-based this year, growth levels would not sustain beyond 2010 but return to trend growth of 4.5% to 5% annually in the next five to 10 years on structural impediments. [So, the government better wake out to this reality. The sooner,the better.]

He said the reforms suggested by the National Economic Advisory Council to the Government and encapsulated in the recently unveiled New Economic Model were sensible but a lot depended on the delivery.

“Clearly the aim is to raise growth via structural reforms but this will take time. How this is enforced will be crucial as generally, there’s a lot of room for improvement,” he said, citing bureaucratic red tape and corruption among the reasons why foreign direct investment had dropped and domestic investors had invested abroad.[Hear,hear!]

He said there was currently scepticism among investors that the reforms would be implemented. “Investors will need a lot more convincing,” Prior-Wandesforde said. [Feel the perception out there if you want to attract foreign investment. It is not that difficult to do,is it? You must have political will!!]

He expects Bank Negara to raise the rates of the country’s benchmark policy rate – the overnight policy rate (OPR) – by another 75 basis points to 3% this year. [This will make many conservative fixed depositers happy after a terible 2007-8 low interest regime).

“Any raising of the OPR by Bank Negara should be seen as a normalisation,” Prior-Wandesforde said, adding that this meant the minimal level for policy rates to be considered normal would be 3%. The OPR currently stands at 2.25% after Bank Negara raised it by 25 basis points in March.

On Thursday, the World Bank’s lead economist for East Asia and Pacific Ivailo Izvorski said the region’s real GDP was expected to grow 8.7% this year after it slowed to 7% last year from 8.5% in 2008."

So, looks like regionally, it is a happy picture too!

English: Its Importance by Olympia College

Olympia college hits the nail on its head when it says that English is now the international business language as well for science and technology. so why is the Government going against the current? Is it a deja vu for nationalism once more? Have the current generation of poor English speakers sufficient testimony that we were wrong before.Must we be foolish to be the fools that thread in our former footsteps once again because of blind pride?

Let us hear what the College has to say.

"The numbers of students in For many students in the East Coast, their lack of proficiency in English has made it difficult for them to study in the language and secure jobs at multi-national companies after they have graduated.

Without a good grasp of the language, the students lack confidence and cannot communicate or present their ideas in English -- which is now the lingua franca of international business, science and technology.

To help students improve their English, the Olympia College here has ensured that all its programmes are conducted in the language from day one.

Its principal, N. Sundar, said lecturers at Olympia College would personally help each student so that they could master the language in the first three months.

"With a small number of students in each classroom, the lecturers can pay more attention to each of them," he said.

He added that Olympia College graduates could converse and write well in English after completing their diploma courses in 30 months.

The college's academic manager Christine Gan said many private and public higher learning institutions preferred to conduct bilingual classes as they believed that such an approach could help students from rural areas including those from the East Coast.

However, based on her experience, Gan said such students were able to master English faster if they were exposed to it everyday.

"We had many students who could not speak English well when they first enrolled.

"They were scared to communicate, but with the help of our friendly lecturers, they slowly gained the confidence," she said.

At present, there are 35 college students taking the Diploma in Business Studies and Diploma in Information Technology courses while another 15 are pursuing degree courses and 20 in Master's programmes.

Gan said all the students had to undergo three months intensive English classes in addition to their core subjects.

"I don't want to study far from my family. I also believe this is the only college which gives priority to English," said the second child of three siblings who plans to major in accounting after completing the diploma in business studies at the college.

Policy makers in Putrajaya-are you reading this?

JAKS: Potential Through New Projects

There was an interesting article in The Edge written by Joesph Chin on 9 April 2010.

I copy it t wholesale so that the essence of the piece remains intact. 

"KUALA LUMPUR: JAKS Resources Bhd's share price was at its highest since August last in morning trade on Friday, April 9 as analysts were upbeat about its joint venture to build a 2 X 600 megawatt (MW) coal-fired power plant in Vietnam. It opened at 92.5 sen. However, lack of follow through buying saw it ending the morning session unchanged at 90.5 sen with 14.27 million shares done. Year-to-date the share price is up 27 sen or 42.5% from its closing price of 63.5 sen on Dec 31, 2009. Over the past week, its share price is up six sen.

RHB Research Institute expects JAKS Resources Bhd's earnings to be diversified and boosted by its joint venture to build a 2 X 600 megawatt (MW) coal-fired power plant in Vietnam. The research house said it was positive about the independent power project (IPP) as it would diversify and boost its earnings base in 2014-2015. "The project is believed to be the first foreign-owned IPP to sign its power purchase agreement (PPA) with EVN (Vietnam Electricity) and potentially opens the door to more power projects in Vietnam given the shortage of installed capacity.

"Meantime, JAKS's CONSTRUCTION division will be supported by an order book believed to be over RM500 million over the next two to three years, while the pipe manufacturing division will remain dependent on the upgrading of the water supply infrastructure in Malaysia," it said. On Thursday, JAKS teamed up with China Huadian Corporation's unit for the IPP in Hai Duong Province, Vietnam. The project would be undertaken under a build-operate-transfer (BOT) structure and run as an independent power plant (IPP) with a 25-year power purchase agreement (PPA) with Vietnam Electricity. At the expiry of the concession term, JAKS will transfer the plant to Vietnam's Ministry of Industry and Trade."

Well, what do you think?

Ramunia: Getting Out of Debt through Crucial Sale to Sime Darby

Technically, Ramunia defaulted and was placed under P17 status. The shares went down below 20 sen. Since then, it has gone back to its pre-fall price. The price ascent is partly fueled by news that the shipyard sale is ready for proper execution now that it is no longer conditional. Hopefully, debtors will start renegotiating with Ramunia instead of going through the ardous court route to get their money back.

 
Let is read the annoucnement on this from K&N Kenanga, the mouthpiece for Ramunia.

"RAMUNIA HOLDINGS BERHAD (“RAHB” OR THE “COMPANY”)

PROPOSED DISPOSAL OF THE TELUK RAMUNIA FABRICATION YARD TOGETHER WITH ALL MOVEABLE AND IMMOVABLE ASSETS LOCATED THEREON TO SIME DARBY ENGINEERING SDN BHD (“SDE”) FOR A FINAL DISPOSAL CONSIDERATION OF RM530 MILLION TO BE SATISFIED ENTIRELY BY CASH (“PROPOSED DISPOSAL”)

Contents:  
   
We refer to the announcements dated 3 August 2009, 24 August 2009, 3 September 2009 and 3 February 2010.

On behalf of RAHB, Kenanga Investment Bank Berhad is pleased to announce that all of the conditions precedent to the definitive sale and purchase agreement dated 3 August 2009 (“SPA”) entered into between RAHB, Ramunia Optima Sdn Bhd and SDE (collectively referred to as the “Parties”) have been fulfilled.

Pursuant thereto, the SPA is now unconditional and the Parties will proceed to take the necessary actions to complete the Proposed Disposal.

This announcement is dated 5 April 2010."

As Ramunia has about 8 more months to go before submitting a corporate reconstruction scheme to Bursa to get itself off the insidious PN17 label,there are parties rumours to be in discussion with it to bring about a brand new Ramunia into being.

Time will tell.

JAKS: Returning with a Vengeance

JAKS may see things getting better as potential projects  takes fruition. From just being a pipe manufacturer, supplier and minor contractor for waterworks,it went through a baptism of fire when it was sabotaged politically out of its agreement to supply pipes for the re-piping project in Selangor. The case is still dragging in its  fee in court. I think JAKS will win out this one. There is nothing to really lose.

However, the management is not sitting still. It continued its quest to get more projects into its book and now has two on-going projects in the country and two more moving towards contract  fruition in China and in Vietnam.

Let us look at the latest announcement to Bursa KL.This is with regard to its project in Vietnam on the construction of a coal-fired power plant.


The first one is the execution of Memorandum of Agreements in relation to Hai Doung 1200MW Thermal Power Project.
   
"Further to the Company’s announcement on 17 October 2008, where the Company received a letter from the Ministry of Industry and Trade of Vietnam (“MOIT”) to prepare an Investment Project Report for submission to the relevant authorities in Vietnam for the construction project of a 2 X 600 megawatt coal-fired power plant at Phuc Thanh Commune, Kinh Mon District in Hai Duong Province, Vietnam (the “Project” or the “Plant”), the Board of Directors of JRB is pleased to announce that the various project documents (“Project Documents”) required for the Project have been submitted for review and after intensive negotiations, the relevant authorities and Government agencies in Vietnam have on 8 April 2010 entered into various Memorandum of Agreements (“MOA”) with JRB to confirm the parties agreement to the terms and conditions of the Project Documents and the way forward.

JRB has also concluded negotiations with China Huadian Engineering Co. Ltd (“CHEC”) for the Engineering, Procurement and Construction (“EPC”) Contract for the Project. A Memorandum of Agreement has also been entered into between JRB and CHEC on 8 April 2010 to confirm the completion of negotiations.

The Project

The Project will be developed under a Build-Operate-Transfer (“BOT”) structure and run as an Independent Power Plant with a 25-years Power Purchase Agreement (“PPA”) with Vietnam Electricity (“EVN”), the Vietnamese state-owned national utility company. At the expiry of the concession term, JRB will transfer the Plant to Vietnam’s MOIT. The right to implement the Project on a build, operate, transfer basis is granted by MOIT under a BOT Contract to be entered which will also set out the rights and obligations of each party.

The Project will be fuelled by domestic coal supplied by Vietnam National Coal-Mineral Industries Group (“Vinacomin”), the Vietnamese state-owned entity of coal resources in Vietnam from the nearby coals mines in the Quang Ninh province. The coal supply arrangement is to be specified in a 25-years Coal Supply Agreement (“CSA”) with Vinacomin.

The project site land will be leased from the Department of Natural Resources and Environment of Hai Duong People’s Committee for 25 years under a Land Lease Agreement (“LLA”).

The construction of the Project is slated to begin in the last quarter of this year and the commercial operation for the first unit of 600 megawatt is scheduled in the fourth quarter of 2014 and the second unit of 600 megawatt to follow in the second quarter of 2015.

Memorandum of Agreements

JRB has executed the following MOAs on 8 April 2010 with the following parties:

a) MOA with MOIT, in relation to the BOT Contract, where the parties confirmed their agreement on all terms of the BOT Contract, except for two issues that the parties have identified and are seeking to resolve. The parties also agree to use their best efforts to resolve the two outstanding issues in good faith as soon as possible and further cause all the Project Agreements to be submitted to the Ministry of Planning and Investment, Vietnam for the issuance of an investment certificate for the Project.

b) MOA with EVN, in relation to the PPA where the parties confirmed their agreement to the terms and conditions to the PPA (subject to the finalization of the BOT Contract), including without limitation the tariff stated therein.

c) MOA with Vinacomin, in relation to the CSA where the parties confirmed their agreement to the terms and conditions to the CSA, including without limitation the coal price as stated therein.

d) MOA with the Department of Natural Resources and Environment of Hai Duong People's Committee, in relation to the LLA where the parties confirmed their agreement to the terms and conditions for the lease of the project site land.

e) MOA with CHEC, in relation to the EPC Contract where the parties confirmed their agreement to the terms and conditions for the EPC Contract.

The BOT Contract, PPA, CSA, LLA and the EPC Contract will be executed between a project company to be incorporated in Vietnam and the respective parties upon the issuance of the Investment Licence and the incorporation of the project company.


Information on CHEC

CHEC is one of the largest EPC Contractors in electric power field in China , with 3 design companies, 20 subsidiary and holding companies, 7 joint ventures with foreign companies and 50 cooperative fabrication and construction enterprises. CHEC’s parent company, China Huadian Corporation (CHD) owns and manages more than 180 power stations and the total installed capacity of the CHD Group is 80,000 MW located in 21 provinces and regions in China.

None of the Directors and Major Shareholders of the Company and/or persons connected with them has any interest, direct or indirect, in the Project.

The Directors of JRB are of the opinion that the Project is in the best interest of the JRB Group.

This announcement was dated 8 April 2010."

I think this bodes well for JAKS.

Najib:Ever Modest

On the sidelines of the Asean Summit, Najib modestly decline to  revise the country's GDP upwards to 7.7% as projected by JP Morgan. He said Malaysia will be contented to achieve the offciial  forecast between 4.5 to 5.5%.

JP Morgan has projected &.7% growth rate for Malaysia, revising its earlier forecast of 6.8%.They said that Malaysia's forecast is 'conservative'.

Najib did not discount the country’s chances of achieving higher growth than forecasted by the Government. but he stressed that it was more important to achieve the official forecast.

“We will look for mechanisms, from policy intervention to faster and more efficient delivery, to achieve the forecast that we have set,” he told Malaysian journalists in Hanoi.

The Prime Minister said the analyst’s revision of the forecast showed that it expected Malaysia to achieve a solid recovery from the global recession.“Maybe it is based on the first quarter indicators, such as the industrial production index, export and energy consumption,” he said.

Is JP Morgan taking a leap of faith here?

Well, we must see how the growth pans out in the next 9 months to  see whether JP Morgan is hyping it up or not.

Dayang Enterprise - A Titan in the Making

 Watch my words. This counter will fly in your face.

Dayang Enterprise Holdings Bhd’s wholly owned unit, Dayang Enterprise Sdn Bhd has just announced that it has secured a RM400mil contract from Sarawak Shell Bhd to provide maintenance services.

Dayang Holdings, an oil and gas services provider, told Bursa Malaysia yesterday that the contract was for a five-year period with an option to renew for one year.

“The contract is expected to contribute positively to the earnings of the group for the financial years 2010 to 2015. There is no significant risks involved in fulfilling the contract obligations,” it said. Dayang Holdings announced in January that it had been awarded a RM70mil contract by Nautika Sdn Bhd for the charter of its workboat to Brunei Shell Petroleum Co Sdn Bhd. All these will add to your potential dividends in 2010 and onwards.

Analysts have said that Sarawak-based Dayang Enterprise could be one of the beneficiaries the projects under the Sarawak Corridor of Renewable Energy (SCORE) plan.

SCORE projects will increase maritime traffic between the peninsula and East Malaysia due to heightened industrial activity, they said.


For your information, Dayang will announce the payment of its  final dividend for 2009 soon.

MRCB To Set its Sights on Iskandar Malaysia

MRCB continues to hog the lime-light lately. From the GMO of all MRCB shares by the EPF  to the potential participation in the RM5 billion worth Sungai Buluh property project  between EPF and the Federal Government,rumours still swirled around of the choice lands in Jalan Cochrane and elsewhere that they will also get, that will help built up the book values of MRCB in the years to come.

Now, Malaysian Resources Corp Bhd (MRCB) is eyeing land in Iskandar Malaysia for its property development projects in Malaysia’s first economic growth corridor.

Executive director Datuk Ahmad Zaki Zahid told StarBiz that the company was looking to develop projects on a joint-venture basis with land owners or other parties.

“We see Iskandar offering good prospect in the long run in view of the commitment shown by the Federal Government and other stakeholders,” he said.

The company is now undertaking two projects in Johor Baru – the RM550mil Permai psychiatric hospital in Tampoi (to be ready by year-end) and the RM1bil Eastern Dispersal Link Expressway (EDL).

Earlier, at a press briefing, Zaki said MRCB’s wholly-owned subsidiary, MRCB Lingkaran Selatan Sdn Bhd (MLSSB), was on track to complete the EDL project by end-2011 and it would be opened to motorists by February 2012.

MLSSB was awarded the 30-year concession in June 2007, including the four-year construction period.
The 8.1km dual three-lane carriageway – 4.4km elevated and 3.7 At-Grate – is an electronic, open toll system and motorists have to pay their toll charges using the Touch & Go card only.

The expressway provides direct link between the Sultan Iskandar Customs, Immigration and Quarantine complex in Bukit Chagar and the North-South Expressway via the Pandan interchange.

“The opening of the EDL will shorten travelling time by almost 50% to most destinations in Johor Baru and improve connectivity and accessibility,” said Zaki.

So,are you holding  onto your MRCB shares or are you intending to procure some more  before speculators ballooned up its price?