LOCAL MARKET EXPECTS TO HOLD FORT, SAYS MIDF

KUALA LUMPUR, Sept 2 (Bernama) -- The FTSE Bursa Malaysia Kuala Lumpur
Composite Index (FBM KLCI) is expected to hold the fort despite the anticipated
weakness on Wall Street, says MIDF Research.
The Dow Jones Industrial Average fell 185.7 points or -1.96 per cent from
9496.3 to 9310.6 due to profit-taking on Tuesday.
The tone is set for the next few weeks for depressed sentiment as the
market discounts the positive macro news, said MIDF.
However, regional equity market momentum is not expected to be broken as
liquidity is still flowing into the market, said MIDF in its research note.
" Last week, foreign fund purchases of equity in six Asian markets (Taiwan,
South Korea, India, Thailand, Indonesia, the Philippines) surged to US$2.7
billion," the research house said.
Meanwhile, September is expected to be a lull month for the local market as
the market is wary of the Wall Street and awaits the next wave of positive news
flow after the encouraging 2009 earning numbers.
-- BERNAMA
WNA TOM

3COM WINS MILLION DOLLAR DEAL TO NETWORK IPG

KUALA LUMPUR, Aug 25 (Bernama) -- 3Com Corporation announced today it has
won a million dollar tender to equip the Institutes of Teacher Education (IPG)
under the Education Ministry.
The global enterprise networking solutions company said it will provide
products to power 10 campus networks nationwide for IPG which offers training to
teachers at various graduate levels.
The solutions will "help reduce the IPG's total cost of ownership without
compromising performance, security and reliability", it said in a statement.
Under the contract, 3Com, together with partner Sigma Rectrix Systems (M)
Sdn Bhd, will develop a high-speed wired and wireless campus network for IPG's
campuses nationwide.
With the new network, the ministry will be able to achieve its goal of
placing graduate-level teachers in all secondary schools and 50 percent of all
primary schools by next year, 3Com said.
"3Com's established reputation of being the market leader in
price-performance and convergence, coupled with our broad networking portfolio
and our innovative wireless and security technologies, gives us the unique
ability to outfit our customers with cost-effective solutions that span from the
data centre to the network edge," said 3Com Malaysia country manager Marcus Lai.
"With strong local support services and our investment in a direct-touch
partner model, 3Com is in a position of strength to continue to win sizeable
deals over competition despite the current economic crisis," he said. -- BERNAMA
WNA LC

KPMG RECOGNISES PLCs FOR SHAREHOLDER VALUE CREATION

KUALA LUMPUR, Aug 21 (Bernama) -- The average economic profit over invested
capital (EP/IC) among Malaysian public-listed companies (PLCs) increased to
15.46 percent in 2008 from 14.35 percent in 2007, according to audit and tax
advisory firm KPMG.
The firm today recognised several PLCs in the country for demonstrating
exemplary shareholder value creation for the financial year ended 2008.
"The shareholder value creation, saw an upward trend despite the impact of
the global market turmoil locally," KPMG business advisory executive director
Anita Menon told reporters at 2008 KPMG Shareholder Value Award ceremony here.
She said consumer market, agriculture and plantations were among the sectors
that saw positive improvement in their shareholder value creation in 2008.
The award recognised companies across nine industries, comprising
agriculture and fisheries, financial services, infrastructure, consumer markets,
leisure, energy and natural resources, industrial markets, construction and
property, and information and communications technology.
British American Tobacco Bhd was declared to have the highest EP/IC.
On the outlook for next year, KPMG head of Malaysia financial services, Dr
John Lee, said the EP/IC for next year is expected to be lower due to the impact
of the global financial crisis.
Securities Commission chairman Tan Sri Zarinah Anwar, who officiated the
event, said delivering shareholder value was key towards achieving success in
today’s markets where competition for capital was intense.
"In other words, there is an increased awareness among companies that the
essence of shareholder value boils down to being able to set long-term
objectives and delivering them," she said in her speech.
The global nature of capital markets means that capital can easily migrate
to higher yielding, often foreign opportunities, Zarinah said.
"It is essential therefore that all companies understand and appreciate the
critical role that they play in building investor confidence and in ensuring
that the Malaysian capital market remains competitive," she said. -- BERNAMA
WNA LC

CPO PRICES TO FETCH RM3,000 PER TONNE?

KUALA LUMPUR, Aug 20 (Bernama) -- Depleting stocks and lower output is expected
to shore up crude palm oil prices.
The golden crop is forecast to fetch about RM3,000 per tonne in the next six
months against its current price of RM2,400 per tonne, said the Chief Executive
Officer of the Malaysian Palm Oil Council, Tan Sri Dr Yusof Basiron.
He said supply shortages would be the norm of the future if biofuel usage is
factored in.
Speaking on the trends and potential for Malaysia's plantation and natural
resources sector at the "Industry Insights Seminar 2009" here today, Yusof said
very few countries are in a net supply excess position for oils and fats.
" Developed countries in Europe have embarked on bio-diesel programmes in a big
way although their bio-diesel industry have yet to take of," Yusof said.
Yusof said this provided an optimistic scenario for oils and
fats suppliers and exporters.
He estimated crude palm oil output in 2009 to reduce slightly to 17.3
million tonnes compared with 17.7 million tonnes produced last year.
" The world is experiencing an acute shortage of oils and fats in view of
the growing world population, economic growth and demand for bio-fuels.
" With a growing population, consumption will be affected if there's global
recession as more than 80 per cent of vegetable oils end up in food,
oleochemicals and biofuel," Yusof added.
He said there would be a 50 per cent increase in world population to 9
billion people in 2043 from 1999's population of 6 billion people.
-- BERNAMA
WNA VMD

PETRONAS YES TO NEW GAS SUPPLY AGREEMENT WITH MMC

KUALA LUMPUR, Aug 20 (Bernama) -- Petronas has agreed to a new gas supply
agreement with Gas Malaysia Sdn Bhd, a 41.8 percent-owned unit of MMC Corp Bhd
(MMC).
In a statement, MMC chief executive officer, Datuk Hasni Harun, said the
agreement would consist of 300 million standard cu ft of natural gas per day.
"With the increase in gas supply, the company is expected to expand its gas
pipeline network, which currently covers 1,642km," he said.
He said the agreement would enable Gas Malaysia to provide long-term supply
of natural gas to its industrial users, which would incur lower energy costs
from using competitively-priced natural gas.
Gas Malaysia is the sole supplier of natural gas to the non-power sector and
currently supplies energy to over 31,000 residential and 600 commercial
customers.
It also supplies to industrial customers throughout Peninsular Malaysia. --
BERNAMA
WNA THS

CRADLE LOOKING TO FUND 100 PROJECTS BY NEXT MAY

KUALA LUMPUR, Aug 19 (Bernama) -- Cradle Fund Sdn Bhd, manager of the Cradle
Investment Programme (CIP) for the Ministry of Finance, is looking to finance
100 projects by May next year, focusing on solutions for tourism industry.
Its chief executive officer, Nazrin Hassan, said the company has funded 369
projects worth RM30 million since its inception in 2003.
"The ministry has allocated RM100 million for the programme," he told
reporters at the Standard On-line Tourism (SOTA) International Conference 2009
here today.
Over 300 technopreneurs attended the conference.
The event also saw the signing of a memorandum of understanding between
Cradle and Creative Advances Technology Sdn Bhd (CAT), a leader in technology
for tourism sector, to launch the CAT-CRADLE-SOTA Technopreneur Development
collaboration.
Meanwhile, CAT chief executive officer, Rohizan Md Yusoff, said the
collaboration was to boost tourism industry in the country.
He said on-line transactions for the industry globally had reached US$200
billion (US$1=RM3.54)
Tourism is the second largest income earner for the country, with tourist
arrivals of 22.05 million in 2008 and tourism receipts amounting to RM48
billion. --- BERNAMA
WNA THS

PNB ANNOUNCES 6.3 SEN INCOME DISTRIBUTION FOR ASW 2020

KUALA LUMPUR, Aug 19 (Bernama) -- Permodalan Nasional Bhd (PNB) today announced an income distribution of 6.3 sen per unit for Amanah Saham Wawasan 2020 (ASW 2020) for the year ending Aug 31, 2009 as against 7.0 sen per unit in the previous year.
Its chairman Tun Ahmad Sarji Abdul Hamid said the income distribution involved a total payment of RM592.26 million.
"It will benefit 872,322 unit holders who currently hold 11.01 billion units of ASW 2020," he told a press conference here.
ASW 2020 unit holders will receive their income statement from the end of October.
Up to Aug 17 this year, ASW 2020 recorded an income of RM661.28 million, an increase of 12.62 percent from the RM587.18 million posted in the previous corresponding period.
Profit from the sale of shares contributed RM311.27 million or 47.7 percent
while dividend income from investing companies RM223.69 million or 33.83 percent
and interest and other income RM126.32 million or 19.10 percent.
Meanwhile, PNB president and group chief executive Tan Sri Hamad Kama Piah
Che Othman said PNB sold 14.5 billion trust units in the first eight months of
this year.
Of the amount, 7.7 billion units were subscribed by Bumiputeras and the balance of 6.8 billion units by non-Bumiputeras.
"As a whole, since PNB launched Amanah Saham 1Malaysia (AS 1Malaysia) and
increased the units of ASW 2020 and Amanah Saham Malaysia (ASM), it has sold
14.5 billion units," he said.
PNB currently manages funds totalling RM120 billion.
Asked on the progress of AS 1Malaysia, Hamad Kama Piah said 1.962 billion
units had been sold to date.
"Even though, its sale was quite slow, the demand for AS 1Malaysia was
better compared to ASW 2020 and ASM," he said.
ASW 2020 sold 70.18 million units on the first day of its launch on Aug 28,
1996 and ASM 173.6 million units when it was launched on April 20, 2000 while AS
1Malaysia touched 1.08 billion units on its launch on Aug 5, 2009, he said.
He added that for AS 1Malaysia, about 56 percent of the Chinese quota had
been filled, representing 1.66 billion units. -- BERNAMA
WNA JR

EON BANK TO FORM STRATEGIC JOINT VENTURES

KUALA LUMPUR, Aug 18 (Bernama) -- EON Bank Group is actively in talks with
various companies to form strategic joint-ventures on an exclusive basis.
Head of Consumer Banking Michael Lor said this would allow the bank to
develop products and propositions which were now highly expected among
customers.
"We hope to leverage through either an equity stake, insurance company or a
strategic joint-venture with exclusive partners," he told reporters after the
company entered into a partnership agreement with UniAsia Life Insurance Bhd to
launch "Wealth Planner", an innovative savings and insurance plan.
Lor added that the group was also reviewing its entire bancassurance
strategy as there are vast potential for further growth.
"We expect to achieve a non-interest income of between 25 and 30 per cent
over the next 3 years.
"At present, the bank's non-interest income was about 20 per cent," he said.
On Wealth Planner, Lor said EON Bank was targeting over 6,000 customers for
the product which would translate into new deposits of RM75 million by year-end.
He said unlike the conventional fixed deposit, the Wealth Planner savings
and insurance plan guaranteed interest rate returns of 5 per cent, per annum,
and a guaranteed 5 per cent annual cash back on the sum assured.
For a deposit of RM50,000, a depositor would accrue returns of RM1,275
against RM500 earned on the same sum in a normal fixed deposit savings account.
The Wealth Planner promotion begins today and will end on Dec, 31 2009.
-- BERNAMA
WNA VMD