Please Ensure Safety and Security for Tourists, Minister Advised...

Ministers must ensure they perform a duty of care for the target group under their portfolio. And that was the situation Ng Yen Yen the Tourism Minister found herself. It was quite a spot for her when she met up with Malaysia' richest man at his Shangrila Hotel in Hongkong.

According to Robert Kuok, he is always concerned about things back home. Kuok, 85, dubbed the Sugar King expressed this concern pointedly if he was to help in promoting tourism in Malaysia.

Kuok told her that public security was the main concern among tourists when they were travelling in foreign countries, as they were frightened of ending up as snatch theft victims or robbed.

“Nowadays, tourists are very concerned about their personal security, especially tourists from China and Japan. Therefore, public security must be taken into account in attracting tourists,” he said.

Ng tried to allay his fears by conveniently saying that Prime Minister Najib had put this into focus in his six national key results areas recently and crime prevention is one of them.

We know that Malaysia is not an easy country to govern. MCA Ministers are always second rated and they hardly have the wherewithal to keep any promises they make....

Another Rerating for Genting Malaysia

In spite of poor inbound travel and local patronage at the casino, the ancillary facilities of Genting continues to receive support. Expect the second quarter result of Genting Malaysia to be reduced too.

However, Maybank Investment Bank Bhd has meantime, raised the target price on Genting Malaysia Bhd, to RM3.25 from RM3.10, reflecting higher valuations at its cruise affiliate.

At noon break, the shares of Genting Malaysia advanced 0.7 per cent to RM2.77, set for the highest level since August 20.

So, those with spare cash may want to have a second look at this defensive stock.

Will this Impact Time Engineering?

TIME dotCom Bhd (TdC), through wholly-owned subsidiary, Hakikat Pasti Sdn Bhd, has disposed of 27.75 million shares in DiGi.Com Bhd for RM604.95 million, or RM21.80 apiece, via private placement.

CIMB Investment Bhd, in an announcement to Bursa Malaysia on behalf of TdC, said the sale would reduce TdC's interest in DiGi.Com to 27.5 million shares, or 3.5 per cent.

“The disposal will result in an estimated gain about RM5.33 million (before taking into account tax effects, if any) to TdC for the financial year ending Dec 31, 2009,” it said.

It said TdC was also expected to enjoy pre-tax interest savings of RM23.4 million per annum going forward as a result of the full repayment of bank borrowings with the net proceeds from the disposal.

"However, it will no longer enjoy any future dividends declared on the shares disposed," it said.

On the rationale for the disposal, CIMB said market conditions had improved recently, as evidenced by the performance of the FTSE Bursa Malaysia KLCI Index, which has been recording an uptrend since its 52-week low of 829.41 points on Oct 29, 2008 to 1,171.09 points on Aug 25, 2009.

It said the price performance of DiGi.Com shares had improved from their 52-week low of RM17.32 on Oct 31, 2008 to RM21.98 on Aug 25, 2009.

CIMB said given the current improved market conditions and DiGi's share price, and in line with its prudent debt management practices, TdC has decided to fully settle its borrowings which were taken to finance its investments in securities.

"The disposal will enable the TdC group to raise funds to achieve this objective," it said.

So how would this new development going to impact upon a newly restructured Time Engineering Berhad? would its share in TdC be worth much more now?

Genting Revenue dropped by 26%

It was to be expected.

Malaysian conglomerate Genting reported lower second quarterly earnings for 2009 as the economic crisis hit its casinos and palm plantation businesses.Genting is mildly expectant that its casino takings may improve given improved prospects for the economy.

"With the forecast turnaround in the global economic outlook, Genting Malaysia Group is cautiously optimistic (concerning) its prospects," it said in a statement.

However, its casinos in the United Kingdom is expected to remain weak due to the still gloomy economic outlook there, it said.

Second-quarter net profit fell 26 per cent from a year ago to 214.49 million ringgit ($60.86 million).

"The Genting Highlands Resort experienced weaker luck ... in the premium players business" though volumes rose, added Genting.

In the UK, higher revenue was offset by a weakening of the pound against the ringgit.

Analysts in Malaysia do not provide quarterly earnings forecasts, but 20 analysts polled by earnings tracker IBES ahead of the results projected Genting's full-year net profit at 1.02 billion ringgit.

In June, Genting bought a 3.2 per cent stake in MGM Mirage, the biggest casino operator on the Las Vegas Strip, sparking market talk Genting could buy out MGM's stake in its Macau's business.

Its unit Genting Singapore is building Singapore's second integrated casino resort and is also the largest casino operator in the United Kingdom.

Genting also has interests in oil palm plantations, power generation and property development. Its associate Star Cruises is Asia's largest cruise operator.

Genting shares have gained 78 per cent so far this year, outpacing the wider market's 34 per cent gain. They traded up 1.1 per cent ahead of the results announcement.

Bye, Ted!

Teddy Kennedy, the last of the three Kennedy brothers passed on yesterday. He was 77. He could have been a US president but fate dealt him a blow when he had that accident in Chappaquiddick where Mary Jo Kopecne died in the icy waters. His indiscretion of not making a police report on the accident and drowning cost him a great political future. Ted was Senator and a big wig of the Democrats. God bless his soul.