And Happy Chinese New Year To You Too!

Here's to a splendid and blessed Chinese New Year!

Is XDL Talking To Air Or Talking Air?

In the posting Would You Bet On XiDeLang (XDL) ???, I highlighted the new twist in bold published on BTimes.

Let me repeat once again:

• "Ding will reject the offer from Navis, and instead put in a rival proposal to create liquidity in the market place," a person familiar with the company said yesterday.

It was utterly nonsense.

Think about it.

Fact: The talk with Navis was purely informal.

Fact: The talk happened FEW MONTHS ago.

And if that's the case, why on earth is XDL making such a big fuss over it? And worst still Ding is said to reject the offer from Navis.

How?

If he had NO intention to accept the offer, an offer made few months ago, why make such a big fuss? Heck, XDL was even suspended so that it can make this announcement of 'no substance' (Yeah, in my flawed opinion, there's no substance. It was an informal discussion and no price was even mentioned! )

But note the snakey spin put on it.

• "put in a rival proposal to create liquidity in the market place,"

Oh yeah, with such a statement, XDL was going to have to answer to Bursa once more.

And the reply was not shocking at all.

• Reference is made to the news article published on page B2 in the Business Times entitled “Xidelang board to meet over Navis’ buyout offer” in particularly the following sentences:-
  
  “…instead put in a rival proposal to create liquidity in the market place”
  
  “It will be a script based reward exercise”
  
  “….Ding will likely propose that XiDelang to undertake a bonus issue and a warrant exercise so that…..”
  
  XDL, after having made due and diligent enquiry with the Board of Directors, major shareholder, namely HongPeng International Holdings Ltd and all such persons reasonably familiar with the above matter, wishes to inform that the Management has merely engaged in exploratory discussions with various professionals to undertake various corporate proposals to enhance value for the Company and shareholders. However, no concrete plans or proposal has been finalised at this juncture.
  
  XDL will make the necessary announcement to Bursa Malaysia Securities Berhad (“Bursa Securities”) in a timely manner in accordance with Bursa Securities Listing Requirements, should there be any further development on this matter.

Exactly!

Another exploratory discussion only.

NO CONCRETE PLANS yet!.

Is this talking to air or talking air?

I dunno.

I guess when the boss is frustrated with the stock lousy performance in the exchange, anything is possible!

And best of all, BTimes carried yet another article on XDL.

Yeah..... OMG!

• Xidelang in talks to boost shareholder value
  
  By Francis Fernandez Published: 2012/01/12
  
  KUALA LUMPUR: Xidelang Holdings Ltd, China's second largest maker of running and skateboard shoes, says it's in exploratory discussions with various professionals to undertake various corporate proposals to enhance shareholder value.
  
  The company said this in a statement to Bursa Malaysia yesterday, in response to an article in Business Times which stated that the mainland-based company is considering a script-based exercise to reward its shareholders.
  
  Business Times had reported that Xidelang could introduce a bonus-cum-warrants exercise so that shareholders, who did not directly benefit from Xidelang's growing business, will be rewarded in the market place.
  
  Xidelang's share price had fallen by as much as 35 per cent last year to 29.5 sen a share.
  
  This year, however, the shares are up by as much as 25 per cent to close the trading day at 38 sen.
  
  Up to the nine months ended September 30 2011, Xidelang's pre-tax profit stood at RM84.52 million, while for the 12 months of 2010, the company's pre-tax profit stood at RM106.78 million.
  
  As it stands, Xidelang is the only China-based company traded here with a consistent dividend policy in place.
  
  Xidelang paid out a 1.5 sen dividend in 2010 and a one-sen dividend the following year, giving shareholders a 12-month dividend yield of 2.63 per cent a year.
  
  The company also has about RM134 million in cash, while its book value per share comes in at just under 60 sen.
  
  Xidelang is the third China-based company to be listed on Bursa Malaysia.\

One huge article just to say "Xidelang Holdings Ltd, China's second largest maker of running and skateboard shoes, says it's in exploratory discussions with various professionals to undertake various corporate proposals to enhance shareholder value".

Duh!

Xian Leng's 52 Million Ringgit Loss Provision!!!

Sae the following news clip on Xian Leng posted on Business Times.

• Xian Leng impairment loss provision
  
  Published: 2012/01/11
  
  KUALA LUMPUR: Xian Leng Holdings Bhd is of the view that the provision of RM52.11 million for impairment loss provided for in its last quarterly report will not be recovered in the forseeable future.
  The impairment was in respect of the value of fish ponds incurred by another unit involved in breeding of Arowana fish. The impairment loss exercise and provision is independent of the special audit that is still ongoing.
  Shares of Xian Leng rose 3 sen yesterday to close at 40 sen.

Stock rose 3 sen yesterday? LOL!

Ok the special audit was highlighted in the posting Special Audit To Be Carried Out On Xian Leng!

A loss provision of 52.1 million???

What? What?? What???

I decided to check Xian Leng's announcements on Bursa website.

This is what Xian Leng said yesterday:

• With reference to the announcement dated 27 December 2011 on the third quarterly result for the quarter ended 31 October 2011 in respect of the Provision for impairment loss on property, plant and equipment, the Board of Directors ("Board") wishes to furnish the following additional information for public release.
  
  Impairment loss testing exercise is carried out based on information prevailing and available to the Board prior to the release of every quarterly results. In compliance with FRS 136, the Board will deliberate on the impairment loss computation based on discounted cash flow basis method as adopted in concurrence with the external auditors.
  
  During the third quarter results which were under reviewed then, RM11.39 million impairment loss was provided for a subsidiary involved in the breeding of other tropical fish, such as guppy, platy fish and cat fish. No provision was provided to this subsidiary in previous years/quarters due to gestation period provided to assess the profitability of this said subsidiary project in respect of start-up period. As this subsidiary continues to incur losses after a reasonable period and based on information currently available, the Board is of the view that provision for impairment loss of RM11.39 million on property, plant and equipment relating to this project should be fully provided in this Quarter onwards. Revision will be made in the future if this subsidiary could generate positive contribution to the Group thereafter.
  
  In addition, RM52.11 million of impairment loss was provided for in respect of the value of fish ponds incurred by another subsidiary involved in the breeding of Arowana fishes. Due to continuous and persistent drop in productivity and selling prices as compared to the previous year/quarters results, the forecast for future yearly/quarterly revenue (discounted cash flow basis) of the Company has deteriorated further and likely to trend downwards. In view of this latest development and assessment, , higher amount of fish ponds value incurred in respect of capital expenditures incurred with regard to expansion plan carried out in previous years is not envisaged to be recovered in the forseeable future. As such, the Board is of the view that the additional provision of RM52.11 million is necessary in accordance to the FRS 136 and thus impairment loss was provided in this Quarter onwards.
  
  We wish to highlight that this impairment loss exercise and provision is independent to the Special Audit that was announced on 17 October 2011. Special audit is still on-going and the Board will re-assess the impairment loss ( if any) quantum and its impact to the financial statements once the Special Audit is concluded and the Final Report is received.
  
  
  This announcement is dated 10 January, 2012

WOW!

Does it really cost that much?

11.39 million for the breeding of tropical fish such as guppy, platy fish and cat fish?????

Seriously that much money??????

Damn!

How much did you last pay for your guppies?

oO

Pos Malaysia To See 2 Billion In PROFITS???

On Business Times:

• DRB-HICOM sees RM2b Pos profit
  Published: 2012/01/11
  :
  DRB-HICOM has identified 17 areas of new businesses that can be tapped through Pos Malaysia including collaborating with Bank Muamalat Malaysia
  
  KUALA LUMPUR: DRB-HICOM Bhd expects Pos Malaysia Bhd to generate RM2 billion in earnings by 2015, said DRB HICOM's managing director Datuk Seri Mohd Khamil Jamil.
  
  DRB HICOM owns 32.27 per cent of Pos Malaysia, the country's largest postal company. It acquired the stake from Khazanah Nasional late last year for RM622.79 million or RM3.60 per share.
  
  For the year ended December 31 2010, Pos Malaysia earned RM1.01 billion in sales, while pre-tax profit stood at RM99.06 million. Up to the nine months ended September 30 2011, Pos Malaysia's revenue stood at RM883.98 million, while pre-tax profit came in at RM128.55 million.
  Mohd Khamil said that DRB- HICOM had identified 17 areas of new businesses that can be tapped through Pos Malaysia including collaborating with Bank Muamalat Malaysia Bhd.
  
  "The management of Pos Malaysia had put forward more than 39 points of its transformation plans," Mohd Khamil said, noting that Pos Malaysia had 39 points of transformation plan before it was handed over and after being acquired.
  
  Moving forward, DRB-HICOM plans to take Pos Malaysia to the next level of growth despite the postal business being a sunset industry. Worldwide, postal businesses have slowed down as people are moving away from traditional postal mail.
  
  "The margin to improve is tremendous if we concentrate on courier services," he said noting that courier services have about RM1.6 billion worth of business to tap on.

2 Billion in profits????

OMG!

Here we go again... the sound good news!

Would You Bet On XiDeLang (XDL) ???

On the 4th Jan, the EdgeMalaysia highlighted the following article: Xidelang hits six-month high

• ... There were no new filings for substantial shareholding changes at press time.
  
  Ding Peng Peng, its co-founder, managing director and CEO, owned 54.55% of the company as at May 3, 2011.
  
  At yesterday's close of 37.5 sen, there is a 14.7% upside potential to the 43 sen apiece that Mercury Securities said the stock was worth in a note dated Nov 25, 2011.
  
  Notably, Xidelang's unaudited net asset per share stood at 72.72 sen as at Sept 30, 2011, up from 56.14 sen as at Sept 30, 2010.
  
  Xidelang, which recently got shareholders' mandate to buy back its shares from the open market, sold its shares for 63 sen apiece at its IPO on Nov 11, 2009.
  The low valuations accorded by the market had sparked rumours that its major shareholder may take the company private, one source said. This could not be immediately confirmed at press time....

One source... said major shareholder MAY TAKE THE COMPANY PRIVATE!

All it takes is just one source.... and the stock flew up, up and awayyyyyy!!!

Nice eh?

Just one source. Don't care who the source is lah. It could be tea lady. The toilet cleaner. The car jockey. It's just one source and don't bother about finding out who that one source is lah. The EdgeMalaysia would not reveal their source.

So who cares, yes?

The stock flew!

The next day on BusinessTimes: Decisive year for Xidelang

• His company’s profit has been soaring over the past three financial years only for the shares to keep heading south.
  
  “It is a bit frustrating ... the investment community tells me that this has a lot to do with perception of being a mainland China company,” Ding, who is also the managing director of the company, told Business Times in an interview.
• “Ever since then, mainland companies have been painted in one brush. Look, Xidelang is not a fly by night company. We have been here three years, been profitable and have been building on a dividend track record,” said Ding.

Then in mid afternoon, the EdgeMalaysia came out with this piece: Navis Cap keen to buy Hong Peng's stake in Xidelang

• Navis Cap keen to buy Hong Peng's stake in Xidelang Written by Joseph Chin of theedgemalaysia.com
  Thursday, 05 January 2012 15:10
  
  KUALA LUMPUR (Jan 5): XiDeLang Holdings Ltd (XDL) says Navis Capital has approached the former's major shareholder Hong Peng International Holdings Ltd to acquire its stake.
  It said on Thursday that 'Navis Capital had indicated their intention to acquire the entire shareholdings of Hong Peng in XDL during an informal discussion'.
  
  Trading in the shares of XDL was voluntarily suspended from 2.30pm to 3.30pm following the announcement.
  According to filings to Bursa Malaysia, the British Virgin Islands' registered Hong Peng owns 240 million XDL shares or 60% as at Nov 11, 2009.
  
  XDL share price was up one sen to 37.5 sen before trading was suspended

And the next morning, BTimes followed it up: Navis makes offer for major stake in Xidelang - Business Times

• Xidelang, China’s second second largest maker of running and skateboard shoes, is some 54.6 per cent owned by HongPeng International Holdings Ltd.
  
  HongPeng in turn is controlled by Mark Ding Peng Peng, who is also the managing director of Xidelang.
  
  Analysts said Navis’ plan to buy out HongPeng’s entire shareholding in XDL would trigger a mandatory general offer as its shareholding would breach the 33 per cent level.
  
  “The likely outcome will be the new owners taking the company private,” Mercury Securities Sdn Bhd head of research, Edmund Tham, told Business Times.
  
  Tham believed that Navis might offer between 60 sen and 90 sen apiece for the shares it did not already own in the company.
  
  “It is obvious that Ding is looking to exit the company as he is disappointed with the performance on the local bourse but he may strike a deal with Navis to stay on the board,” Tham said.
  
  In a filing to Bursa Malaysia yesterday, XDL said Navis had indicated its intention during an informal discussion with HongPeng International....

Yeah.. it is so obvious that Ding is frustrated with the stock performance on Bursa Malaysia... but ... the announcement just mentioned Navis intention during an INFORMAL discussion with HongPeng International...

Just an informal discussion hor... err... correct me if I am wrong.... but this is like a coffee shop chit chat isn't it?

INFORMAL discussion hor...

But yet XDL decided that it was improtant to announce it ....

The SunDaily also carried this 'NEWS' ... XiDeLang confirms takeover interest

With such 'news', the stock had a WILD trading day!

It opened higher at 38 sen (previous day closing price was 36.5 sen). The stock soared to 44.5 sen but soon plummeted to close the day lower at 35.5 sen!!!

Did the market realise that all the hoo-ha was based on an INFORMAL discussion? And yeah, no price was even mentioned!

Star Biz wrote on XDL the next day: XiDeLang: Navis showed interest in 55% stake

• ... Its announcement was in response to a news article published in a local Chinese daily which stated that Navis Capital was interested to acquire XiDeLang shares.
  
  “There was no discussion on Navis Capital's offer price during the informal discussion,” it added.

The local Chinese daily mentioned was Nanyang Press.

Getting fuzzy?

Yeah, XDL had to make another announcement yesterday evening on Bursa website: OTHERS

Some 'interesting facts'  mentioned in that announcement. (Thanks TK for your comments! )

• XDL, after having made due and diligent enquiry with our major shareholder, namely HongPeng International Holdings Ltd (“HongPeng”) and the Board of Directors, wishes to inform that the discussions between Navis Capital and HongPeng held during October and November of last year were solely exploratory in nature and there was no offer being made or a price range indicated by Navis Capital.
  These exploratory discussions were discontinued in late November 2011.

The so called talks were made during Oct and Nov 2011!!!!!!!!!!!!!

What??? What??? What????

Them talks happened few months ago?????

Huh????

Like this also can?

So what's the idea to highlight this issue to the media?

To stir fry the stock???????

Gee!!!

And the next statement obviously blew everybody's mind!!!

• XIDELANG Holdings Limited's largest shareholder, Hong Peng International Holdings Ltd, has no intention of selling its stake in the shoe producer

WTH!!!!

HongPeng doesn't even have the intention to sell its stake in XDL!!!!

So what on earth were all the 'news' for?

Stir fry the stock, is it????

And then on Business Times this morning....

• Xidelang board to meet over Navis' buyout offer
  
  By Francis Fernandez Published: 2012/01/10
  
  XIDELANG Holdings Ltd's board is expected to meet tomorrow to discuss the approach made by private equity firm Navis Capital to buy out the company's major stakeholder.
  
  Xidelang, China's second largest maker of running and skateboard shoes, is 54.6-per cent owned by HongPeng International Holdings Ltd.
  
  HongPeng is in turn controlled by Mark Ding Peng Peng, who is also the managing director of Xidelang.
  
  Days before Xidelang had informed the stock exchange of the offer from Navis, Ding had told Business Times that he was frustrated with the lacklustre performance of the company on the stock exchange.
  Xidelang is the third China-based company to be listed on Bursa Malaysia. Its share price had fallen by as much as 35 per cent last year.
  
  Up to the nine months ended September 30, 2011, Xidelang's pre-tax profit stood at RM84.52 million, while for the 12 months of 2010, Xidelang's pre-tax profit stood at RM106.78 million.
  
  Additinally, Xidelang also has about RM134 million in cash while its book value per share comes in at just under 60 sen.
  "Ding will reject the offer from Navis, and instead put in a rival proposal to create liquidity in the market place," a person familiar with the company said yesterday.
  
  The proposal, which Ding plans to table to the board, calls for the company to reward its shareholders.
  
  "It will be a script-based reward exercise," said the source.
  
  As such, Ding will likely propose that Xidelang understake a bonus issue and a warrant exercise so that shareholders who did not directly benefit from Xidelang's growing business will be rewarded in the market place.
  
  As it stands, Xidelang is the only mainland-based company which has a consistent dividend policy in place.
  
  Xidelang paid out a 1.5 sen dividend in 2010 and a one sen dividend the following year, giving shareholders a 12-month dividend yield of 2.63 per cent a year.
  
  Navis, run by former executives of Boston Consulting Group, manages about US$3 billion(RM9.3 billion) in equity capital and is believed to want to take Xidelang private.
  
  It also plans to group Xidelang with other shoe makers from China and list them as one entity on the Hong Kong Stock Exchange.

Sigh!

And so Mr. Ding feels so frustrated about the lousy stock performance from XDL.

I wonder why.

Yeah, if you open the announcement: Quarterly rpt on consolidated results for the financial period ended 30/9/2011, you would see that XDL have 136.5 million cash but its borrowing now totals 47.170 million!

Compare these figures to that posting I made on XDL last July 2011: Regarding XDL. Back then XDL had 98.3 million cash and loans of 19.3 million.

XDL's financial has weakened despite the strong earnings it announced.

And the issue mentioned in the posting Regarding XDL remains.

So XDL said it has so much money.

But yet despite having so much money, I CANNOT UNDERSTAND why XDL's cost of financing is more than its interest it gets for its cash deposits! Cash 136.5 million woh. Borrowings 47.1 million woh! So why XDL has financial costs of 905 thousand for the that quarter, while its interests received is only 315 thousand?

From The Edge Malaysia: UEM Land's Target Price Is ....

UEM Land's closing price yesterday was 2.28.

And then I saw this stange article from the EdgeMalaysia. It said HDBSVR sees upside for UEM Land and the TP is rm 2.30!

I went... huh????

UEM Land last traded at 2.28 woh...

TP at 2.30???

Is HDBSVR going bonkers??? Or is the EdgeMalaysia goofing up?

Here's the article: http://www.theedgemalaysia.com/business-news/198913-hdbsvr-sees-upside-for-uem-land-tp-rm230.html

• HDBSVR sees upside for UEM Land, TP RM2.30
  Written by theedgemalaysia.com
  Friday, 06 January 2012 09:11
  
  KUALA LUMPUR (Jan 6): Hwang DBS Vickers Research (HDBSVR) sees the successful talks between the governments of Malaysia and Singapore as a strong boost to the prospects of Iskandar Malaysia.
  
  The research house said on Friday that Iskandar Malaysia is expected to reach its tipping point in 2012 following the completion of key catalyst developments and infrastructure improvements.
  
  The industrial cooperation work group may serve as a springboard for more investments from Singapore into Iskandar Malaysia which has received RM77.8 billion worth of committed investments as at Dec 2011.
  
  HDBSVR said UEM Land will be the largest beneficiary of improving Malaysia-Singapore ties given that it is the largest landowner in Iskandar Malaysia with 11,000 acres in Nusajaya.
  
  UEM Land is also the project manager for the M+S Pte Ltd developments (S$11bn) in Singapore. Assuming project management fee of 3% of GDV and a 50% share, it could boost UEM Land’s RNAV by an additional 1.3% or 5 sen/share.
  
  “Maintain Hold call for UEM Land with RM2.30 TP, based on 40% discount to RNAV of RM3.82,” it said.

Ahh... the last line.... “Maintain Hold call for UEM Land with RM2.30 TP, based on 40% discount to RNAV of RM3.82,”

!!!!!

Another Fine Mess From OSK Research?

A brand New Year and a brand NEW MESS from OSK Research?

Well, just in case you need to know, I am NOT a fan of OSK Research at all. It's well documented on this site, the reasons why I reckon they are simply way below par. (for example do read: QC And The Research Reports or past postings

This morning, I noted this stunning snippet from Business Times: It’s OSK Research, not MCIL   (do note, that BTimes link is not a permanent link! )

• It’s OSK Research, not MCIL
  
  Published: 2012/01/04
  
  KUALA LUMPUR: Our report published on January 3 headlined “MCIL: Payout ratio of 60pc for next two years”, should quote OSK Research and not Media Chinese International Ltd (MCIL).
  
  MCIL has clarified that it has not at any time released any statement which forms the basis of the article.
  
  “We have also not given any statement stating that among others, we will be incorporating a payout ratio of 60 per cent for the next two years nor have we given any opinion on the exchange rate for USD into RM,” the company said in a statement.

So I decided to check Btimes 6 day's archive for yesterday's article: http://www.btimes.com.my/Current_News/BTIMES/6days_html?myday=Tuesday

That article could not be found. Googled it. I got this not working link: Media Chinese Int'l: Payout ratio of 60pc for next two years

But luckily I got a copy of that article. Business Times wrote the following:

• Media Chinese Int'l: Payout ratio of 60pc for next two years
  
  Published: 2012/01/03
  
  KUALA LUMPUR: Media Chinese International Ltd (MCIL) sees that its dividend surprises are likely to go forward to right-size the group's balance sheet.
  
  MCIL said it is incorporating a payout ratio of 60 per cent for the next two years, which translates into a decent yield of more than five per cent per year.
  
  MCIL was formed by the merger of Sin Chew Media Corp Bhd, Nanyang Press Holdings Bhd and Hong Kong-based Ming Pao Enterprise Corp Ltd.
  
  It emerged with four core daily publications in Malaysia, which are Sin Chew, Nanyang, China Press, and Guang Ming.
  
  MCIL came off a stellar 2011 with a nine-month advertising and expenditure (adex) growth of 10.4 per cent year-on-year.
  
  It saw a positive momentum spilling over to 2012, with adex likely to close at two times its 2012 gross domestic product growth forecast of 5.2 per cent.
  
  "It is expected to be boosted by upcoming major adex-friendly events such as the national snap polls and Euro 2012 in the middle of the year," MCIL said in a statement last week.
  
  Newspaper remains the largest advertising medium with more than 50 per cent share of total adex.
  
  Newsprint makes up more than 40 per cent of MCIL's financial year 2011 operating costs.
  
  It said that in the event of a sharp spike in newsprint prices, the negative impact would be partially mitigated by continuous weakness in the US dollar against the ringgit for which it is targeting to close the year at RM3 per US dollar compared with RM3.15 currently.

That was what Business Times wrote!

• MCIL said it is incorporating a payout ratio of 60 per cent for the next two years

Now interestingly, the Sun Business carried the following article on 1st Jan 2012: MCIL is OSK's top pick in media sector ( I know, I know... it's sounding like a circus.... he says she says he says... )

• MCIL is OSK’s top pick in media sector
  Posted on 1 January 2012 - 08:18pm
  
  PETALING JAYA (Jan 1, 2012): Media Chinese International (MCIL) is OSK Research's top pick in the media sector, supported by its strong management, sturdy 2012 advertising expenditure (adex) growth and its near-monopoly of the Chinese daily space in the country.
  
  The research house has maintained its buy call on MCIL at RM1.27, with an unchanged fair value of RM1.47 based on 13 times CY12 price/earnings ratio.
  
  "In view of the volatile global equity markets, we believe MCIL would also appeal to risk-averse investors given its decent dividend yield and relatively defensive earnings," it said in a report.
  
  For the first nine months of 2011, Malaysia's adex grew 10.4% year-on-year and the momentum is expected to spill over to 2012, with adex likely to close at two times OSK's 2012 GDP growth forecast of 5.2%.
  
  "It is expected to be boosted by upcoming major adex-friendly events such as the national snap polls and Euro 2012 in the middle of the year. Newspapers remain the largest advertising medium with more than 50% share of total adex. We believe that MCIL could again emerge as a key beneficiary, bolstered by its stranglehold in the Chinese daily segment as its adex share approaches a new high of 75%," OSK said.
  
  With over 40% of its FY11 operating costs coming from newsprint, MCIL is expected to benefit from newsprint prices that are likely to hover at the current US$600-650 per tonne in 2012, given worries over the global economy and Europe's deepening sovereign debt crisis.
  
  "In the event of a sharp spike in newsprint prices, which we believe is unlikely at this point of time, the negative impact would be partially mitigated by continued weakness in the USD against RM, for which we are targeting to close the year at 3.0 compared with 3.15 currently," said OSK.
  
  As of Q1 FY03/12, MCIL was sitting on a net cash hoard of RM370 million, representing 15% of its current market capitalisation. OSK said the group is a cash cow in the making with its strong cash generation of an estimated RM320 million a year.
  
  "And given its minimal annual capital expenditure of RM30 million, we believe that dividend surprises are likely, going forward, to right-size the group's balance sheet. We are incorporating a payout ratio of 60% for the next two years, which translates into a decent yield of more than 5% per annum," it added.
  MCIL is the result of a mega-merger involving Sin Chew and Nanyang, with Hong Kong's Ming Pao. Today, it has four core daily publications in Malaysia namely Sin Chew, Nanyang, China Press and Guang Ming, one in Hong Kong under the Ming Pao brand, and a few magazine titles as well as a Hong Kong travel business.
  
  The group's core Malaysian operations still contribute a significant 85% of group EBIT given its near-monopoly of Chinese daily publications, with the lion's share of 85% of the market.
  

Hmm.. and so for once (gulped) ... I would not fault OSK Research here. They have stated their reasoning ( ... but.. but... one could also start arguing the validity of OSK's reasoning, given the fact that MCIL had disputed this 60% payout assumption!!! ) and the Sun reported it as it is wheres Business Times just zoomed in to the juicy part and highlighted it!!!

Just to make it more interesting... the EdgeMalaysia reported the following yesterday evening. Media Chinese Intl director sells 400000 shares

• Media Chinese Intl director sells 400,000 shares
  KUALA LUMPUR (Jan 3): MEDIA CHINESE INTERNATIONAL LTd director Tiong Kiew Chiong disposed of 400,000 shares in the open market on Dec 30.
  A filing to Bursa Malaysia on Tuesday showed he disposed of the shares, representing 0.03%, for RM1.19 a share.
  After the disposal of the stake, Tiong’s stake was reduced to 3.607 million shares

Where Would You Keep Your Money For 2012?

How?

Me?

How about some jewellery, like gold and diamonds. Me? I like them bling-bling stuff like diamonds. Could diamonds be a cow best friend?

I like stocks but I do think stock selection, as always, is very important. Any ideas? Me? I can only say that one should watch out for companies with high debts denominated in USD. We had recently seen these companies' earnings hurt by the stronger USD and with the USD remaining stubbornly strong, I do reckon that these companies would continue to face such difficulties.

Feedbacks and suggestions most welcomed.

Happy 2012 once again.

Cheers