Friday, July 16, 2010

Positive Development For Tong Herr

A year ago on 30 August 2009, I made the following posting: A Warning From Tong Herr?

In which, Tong Herr warns that it could be hit by the anti-dumping and anti-subsidy proceeding imposed by the EU on imports of stainless steel fasteners and parts from India and Malaysia.

And I mentioned in that posting it reminded me of what had happened back in 2003.

Let me repeat a section of that blog posting.....

This reminded me of 2003.

Now I wrote in a posting
on Tong Herr here


And what was the end result?

Well if you look at the top of the posting, there's a table posting. For fy 2003, Tong Herr earned some 19.868 million and the year after the the expiry of the anti-dumping ruling, Tong Herr's earnings soared to 43.9 million.

Today, 16 Jul 2010, the following article on Reuters is catching my attention once more. (Yeah, since I had highlighted on the profit warning last year, it's only fair I highlight this article. )

  • EU drops trade probes on Malaysia, India fasteners

    BRUSSELS Thu Jul 15, 2010 10:16pm IST

    BRUSSELS (Reuters) - The European Commission has dropped investigations into allegations of illegal dumping and state subsidies favouring Indian and Malaysian fastener exporters after EU producers withdrew their complaints.

    "By its letter of 1 April 2010 to the Commission, EIFI (the European Industrial Fasteners Institute) formally withdrew its complaint," the EU said in its official register on Thursday.

    European producers say they will refile amended complaints in the coming months.

    Border tariffs protecting Europe's fastener makers from rival products are already in place against China, Vietnam, Thailand, Taiwan and Indonesia

Well this is a positive development for Tong Herr and its fasteners but of course business economics back in 2003 cannot be compared to present day, 2010. :D

ps: And for the record, if I do have the stock, I would had exited many, many, many moons ago. And also for the record, back in 2008, June 2008 to be more precise, I said NO to the stock when it was trading at 2.80. See posting: A Look At Contrarian Investing Approach for Tong Herr.

1 comments:

Moolah said...

Tong Herr acknowledges this.

---------------

Saturday July 17, 2010

Tong Herr: EC proceeding ended

PETALING JAYA: Tong Herr Resources Bhd said the European Commission had terminated the anti-dumping and anti-subsidy proceeding concerning imports of certain stainless steel fasteners and part thereof originating in India and Malaysia.

“The company is of opinion that the termination of the anti-dumping and anti-subsidy proceeding will have a positive effect for the sales to Europe,” it said in a filing with Bursa Malaysia.