KLSE Market | Malaysia News for 2010-02-09

  The Star

Markets rebound
Asian markets rebounded in morning trade Wednesday and was mixed at mid-morning as investor hopes rose on a possible rescue for Greece from its growing debt problems and Wall Street’s main indices closed higher yesterday.


  Lead tainted Valentine’s Day toys removed
OAKLAND, California: Target Corp. said Tuesday it was pulling its Valentine’s Day “Message Bears” from store shelves after California’s attorney general raised concerns that the toys have illegal levels of lead.

Japan said Wed machinery orders jumped 20% in Dec
TOKYO: Japanese machinery orders, a closely watched indicator of future business investment, rose in December for the first time in three months, the government said Wednesday.

BHP Billiton said Wed half-year profit at $6.1bil
MELBOURN: Anglo-Australian miner BHP Billiton Ltd. on Wednesday announced it had more than doubled its first-half profit to US$6.1 billion after selling record quantities of key commodities and keeping a firm hand on its costs.

Oil, energy prices boosted by another winter blast
NEW YORK: Oil and heating oil prices got a boost Tuesday as the second powerful storm in four days threatened to dump more than a foot (0.3 meters) of snow on the East Coast.

Billionaire Buffett says bailout money will be paid back
OMAHA, Nebraska: Billionaire Warren Buffett and Henry Paulson, the former Treasury chief, said U.S. taxpayers will recover every cent paid out to banks during the economic meltdown and may even turn a profit.

US stocks up, Dow up above 10,000 again
NEW YORK: The Dow Jones industrial average jumped back above 10,000 on hope that the European Union will help Greece manage its growing debt burden.

Google opens new social hub in face-off with Facebook
SAN FRANCISCO: Google Inc. opened a new social hub in its e-mail service on Tuesday, leaving little doubt that the Internet search leader is girding for a face-off with Facebook.

Toyota seeks damage control, in public and private
WASHINGTON: In public, Toyota is running apologetic TV ads and vowing to win back customers’ trust. Behind the scenes, the besieged carmaker is trying to learn all it can about congressional investigations, maybe even steer them if it can.

Honda expands airbag inflation recall


EPF’s 2009 payout will be better
THANKS largely to a stellar stock market performance in 2009, the Employees Provident Fund (EPF) should be declaring a decent dividend for last year soon. And thanks too to low interest rates, the pension fund’s dividend payments is going to look good, when measured against the fixed deposit rates. (see table)

How to improve your investment skills
WE have been asked by many readers on ways to improve their investment skills. In fact, for all of us who invest, it is one of the essential skills that we need to acquire in our lifetime. Like it or not, we need to have it if we need to generate returns for our investment.

KNM’s future needs may be more than RM3.4bil
PETALING JAYA: The future capital expenditure needs of KNM Group Bhd may add another layer of funding needs above and beyond what is needed for its proposed management buyout, analysts say.

US$1b JV smelter for Sarawak
PUTRAJAYA: GIIG Holdings Sdn Bhd, a company controlled by billionaire Tan Sri Syed Mokhtar Al-Bukhary, and Aluminium Corp of China Ltd (Chalco), the world’s second largest producer of alumina, have teamed up to jointly develop an aluminium smelter plant in Samalaju Industrial Park in Bintulu, Sarawak at the cost of US$1bil.

Bank Negara said to have rejected Mulpha’s application
PETALING JAYA: Bank Negara is believed to have rejected Mulpha International Bhd’s application to commence talks with EON Capital Bhd to acquire a stake in EON Capital Bhd, according to sources.

Masteel plans RM300mil downstream project
KUALA LUMPUR: Malaysia Steel Works (KL) Bhd (Masteel) plans to invest about RM300mil in a downstream project to meet rising demand from both local and overseas markets.

Tamco investing RM172m in new plant
SHAH ALAM: Tamco Switchgear (M) Sdn Bhd (Tamco), part of India-based Larsen and Toubro Ltd (L&T), is investing RM172mil in a new factory near here.

Heitech Padu wins Govt software contract
KUALA LUMPUR: Heitech Padu Bhd has received an RM8.8mil letter of award from the Government.

Homeritz’s public portion oversubscribed by 19%
KUALA LUMPUR: Homeritz Corp Bhd’s public issue and offer for sale of 15 million shares for application by the Malaysian public has been oversubsribed by 19%.

Pelikan rights issue gets overwhelming response
KUALA LUMPUR: Pelikan International Corp Bhd has received an encouraging response to its proposed rights issue exercise despite the current volatile market conditions.

Maybank Q2 earnings up 35% to RM993mil
KUALA LUMPUR: The country’s largest financial group by assets, Malayan Banking Bhd (Maybank), posted a second consecutive quarter of gains in net profit on improved performance across the board.

Two divisions push F&N Q1 profit up 52%
PETALING JAYA: Fraser & Neave Holdings Bhd (F&N) registered a 52.4% rise in net profit to RM77.7mil in comparison to the previous corresponding period for the first quarter ended Dec 21, 2009 mainly due to higher contribution from the soft drinks as well as the dairies division but partly offset by the weaker performance of the glass division.

GAB posts higher Q2 net profit of RM43.8mil
PETALING JAYA: Guinness Anchor Bhd (GAB), which recorded a 26% jump in its net profit to RM43.82mil for its second quarter ended Dec 31, expects increasing consumer confidence and the FIFA World Cup to boost the malt liquor market this year.

Ekuinas eyes minimum IRR of 12% a year
PETALING JAYA: Ekuiti Nasional Bhd (Ekuinas), the government-linked private equity fund management company, aims to deliver a minimum internal rate of return (IRR) of 12% a year on its investments, said chief executive officer Datuk Abdul Rahman Ahmad.

EA: 2011 earnings may miss expectations
SAN FRANCISCO: Electronic Arts Inc warned that fiscal 2011 earnings would miss Wall Street expectations as it grapples with a lack of blockbuster new games after a succession of missed targets and restructurings.

Macquarie Q2 profit forecast disappoints
SYDNEY: Macquarie Group, Australia’s top investment bank, forecast a disappointing second-half profit and gave an outlook that raised worries about its key equity business, sending its shares sliding 7%.

UBS returns to profit in 4th quarter
ZURICH: Swiss bank UBS posted its first quarterly net profit since Oswald Gruebel took the helm a year ago but clients withdrew far more money than forecast, signalling he may need more time to steady the ship.

Swatch profit beats forecast
ZURICH: Swatch Group, the world’s largest watchmaker by sales, posted a forecast-beating full-year profit yesterday and maintained a positive outlook for 2010, easing worries a flagging economic recovery may hit demand.

P1 sees more competitive prices for WiMAX services
PETALING JAYA: Packet One Networks (Malaysia) Sdn Bhd (P1), a wholly-owned subsidiary of Green Packet Bhd, sees more competitive prices for its WiMAX services as competition heats up with the entrance of more players in the broadband market this year.

SingTel to buy way to growth
SINGAPORE: Singapore Telecommunications (SingTel) is eyeing acquisitions in Asia and the fast-growing markets of Africa and the Middle East to boost growth after it reported quarterly earnings in line with estimates.

BCorp unit plans RM180mil solar photovoltaic power plant
KUALA LUMPUR: Berjaya Corp Bhd’s (BCorp) wholly-owned subsidiary Berjaya Solar Sdn Bhd plans to develop a RM180mil 10-MW ground-based Solar Photovoltaic (PV) power plant at Bukit Tagar, Selangor,

MMC Corp international business CEO Feizal Ali resigns
PETALING JAYA: MMC Corp Bhd has announced the resignation of Feizal Ali as chief executive officer for its international business with effect from May 3.

Primus buys more time for better offers
PRIMUS Pacific Partners (HK) Ltd, the unhappy 20.2% shareholder of EON Capital Bhd (EON Cap), has probably bought itself a bit more time to try and attract more bidders to fight the RM4.92bil cash offer, which is equivalent to RM7.10 per share, from Hong Leong Bank Bhd (HLB).

Toyota recalls Prius, other hybrids over brakes
TOKYO: Toyota Motor Corp said it is recalling nearly half a million of its flagship Prius and other hybrid cars for braking problems as it seeks to address criticism over the handling of its worst safety crisis.

Ex-Intel exec admits to conspiring with Rajaratnam
NEW YORK: A former Intel Capital director pleaded guilty on Monday to fraud in the Galleon insider-trading case, telling a New York court that hedge fund founder Raj Rajaratnam gave him money for personal needs and that he profited from illegal trades.

Producer price inflation in S. Korea at 10-month high
SEOUL: South Korea producer price inflation hit a 10-month high in January, providing fresh evidence of growing consumer inflation pressure in the pipeline and adding to the case for an interest rate hike soon.

JAL to stay with American in Oneworld
TOKYO: Japan Airlines Corp said it would keep its partnership with American Airlines in the Oneworld alliance, ending Delta Air Lines’ attempt to entice the bankrupt carrier to its rival SkyTeam group.

Greece says call for aid would send ‘worst signal’
ATHENS: Greek Finance Minister George Papaconstantinou said he can’t call for outside aid as his government struggles to cut the European Union’s largest budget deficit.

  The Malaysian Mail

Flat trading in Euro stocks
LONDON: European stocks ended mixed yesterday amid concerns on Greece’s debt crisis and the stability of Austrian banks, as well as investor speculation on a possible early hike in US interest rates.. London’s FTSE 100 index of leading shares closed down 0.56 per cent at 5,285.77 points while in Paris the CAC 40 inched up 0.10 per cent to 3,834.09 and the Frankfurt Dax rose 0.16 per cent to 5,811.34.. Zurich was up 0.10 per cent, Brussels rose 0.08 per cent and Amsterdam gained 0.83 per cent, but Milan fell 0.15 per cent and Madrid was down 0.25 per cent.


  Wall Street ends lower
NEW YORK: Wall Street stocks retreated yesterday with investors turning skittish in the face of mixed economicnews and as a two-day Federal Reserve meeting on monetary policy got underway.. The Dow Jones Industrial Average dropped 49.05 points (0.47 per cent) to close at 10,452.00, a day after the blue chip index’s highest close since October 2008.. The technology-rich Nasdaq composite lost 11.05 points (0.50 per cent) to 2,201.05 and the Standard & Poor’s 500 index shed 6.18 points (0.55 per cent) to close at 1,107.93.

Fed likely to maintain stimulus
WASHINGTON: The US Federal Reserve concludes a two-day meeting today expected to pledge ongoing stimulus for a recovering US economy.. The Federal Open Market Committee (FOMC) is widely expected to keep its near-zero interest rate policy and a range of programmes to flood the financial system with money to restore credit flows.

Dream comes true for Boeing (finally)

BIZ BRIEFS: AirAsia to expand India routes

Colourful chips in the market

QMS launches hub in KL
KUALA LUMPUR: Qatar Media Services (QMS) aims to be a leading regional media partner leveraging on several platforms such as outdoor, print, online and television in countries like Australia, Hong Kong, Vietnam, Taiwan, Singapore, Korea, Japan and Malaysia in areas of media representation, media buying and consultancy services.. Trademarked as Q.media, the media representative for the Al-Jazeera Network and numerous other global and regional media networks, it launched its Asia Pacific hub here this morning.


  The Edge Malaysia

December IPI up 8.9% on-yr
KUALA LUMPUR: The Industrial Production Index (IPI) in December 2009 rose 8.9% from a year ago, as manufacturing picked up and electricity usage rose.The Statistics Department said on Wednesday, Feb 1….

Khazanah buys 10% stake in Oriental University City from Singapore’s Raffles Education
KUALA LUMPUR: Khazanah Nasional Bhd is acquiring a 10% stake in Oriental University City Ltd (OUCL) from Singapore’s listed Raffles Education Corporation Ltd for 300 million yuan (USD44 million or RM1….

#Flash:* F&N to distribute Red Bull from April 1, sees RM120m contribution
KUALA LUMPUR: Fraser & Neave Holdings Bhd has sealed an agreement with Allexcel Trading Sdn Bhd for the exclusive sales and distribution of Red Bull energy drink in Malaysia.The agreement whic….

China takes title of No 1 exporter
HONG KONG: China has had its position as the world’s No 1 exporter confirmed after Germany revealed its trade figures for last year.The European nation said Tuesday that exports slumped 18.4% to €80….

Market stages technical rebound
KULA LUMPUR: Key Asian markets staged a technical rebound in early trade on Wednesday, Feb 10 after the firmer close on Wall Street as the European Union works out a rescue plan for the debt-laden Gre….

Maybank Research maintains Buy on F&N, TP RM13.25
KUALA LUMPUR: Maybank Equities Research is maintaining its Buy on Fraser & Neave Holdings Bhd (F&N) at RM10.50 with a target price of RM13.25. The target price is based on 17.0 times C….

RHB Research: Position for growth, dividends ahead of 2011 recovery
KUALA LUMPUR: RHB Research believe it is worth repeating its market views for 2010 – trading conditions are likely to remain volatile as investors anticipate policy changes."In our view, this i….

Paulson, Buffett say US needed tough medicine
NEW YORK: Former US Treasury Secretary Henry Paulson and billionaire investor Warren Buffett, from different sides of the political spectrum, expressed support on Tuesday for the US government’s aggre….

OSK Research maintains Buy on Dialog
KUALA LUMPUR: OSK Research is maintaining its Buy on Dialog Group Bhd at RM1.34 with an unchanged target price of RM1.52.It said on Wednesday, Feb 10 that Dialog’s 2QFY10 results were within expecta….

OSK Researchs ups Maybank TP to RM7.05
KUALA LUMPUR: OSK Research has raised its target price for Malayan Banking Bhd (Maybank) from RM6.95 to RM7.05 (1.85 times FY10 PBV), backed by sustainable medium term ROEs of 13.5% and COE of 9.4%.&q….