|
* Adopted abbreviations :
|
SC - Subject Company (the company enquired by you)
|
|
|
|
N/A - Not Applicable
|
|
|
|
EXECUTIVE SUMMARY
|
REGISTRATION NO.
|
:
|
49276-P
|
|
COMPANY NAME
|
:
|
HENG FENG INDUSTRY SDN BHD
|
|
FORMER NAME
|
:
|
SIMANGGANG CONSTRUCTION SDN BHD (01/09/1988)
|
|
INCORPORATION DATE
|
:
|
28/07/1979
|
|
|
|
|
|
|
|
|
|
COMPANY STATUS
|
:
|
EXIST
|
|
LEGAL STATUS
|
:
|
EXEMPT PRIVATE
|
|
LISTED STATUS
|
:
|
NO
|
|
|
|
|
|
|
|
|
|
REGISTERED ADDRESS
|
:
|
LOT 157, BLOCK 45, 8 1/2 MILES, BATU KITANG ROAD, 93250 KUCHING,
SARAWAK, MALAYSIA.
|
|
BUSINESS ADDRESS
|
:
|
LOT 157, BLOCK 45, 8 1/2MILES, BATU KITANG ROAD, 93250 KUCHING,
SARAWAK, MALAYSIA.
|
|
TEL.NO.
|
:
|
082-615668
|
|
FAX.NO.
|
:
|
082-615669
|
|
CONTACT PERSON
|
:
|
NGU MEE HUA ( DIRECTOR )
|
|
|
|
|
|
INDUSTRY CODE
|
:
|
15111
|
|
PRINCIPAL ACTIVITY
|
:
|
MANUFACTURER OF FROZEN FOOD
|
|
AUTHORISED
CAPITAL
|
:
|
MYR
10,000,000.00 DIVIDED INTO
ORDINARY SHARE 10,000,000.00 OF MYR 1.00 EACH.
|
|
ISSUED AND
PAID UP CAPITAL
|
:
|
MYR
10,000,000.00 DIVIDED INTO
ORDINARY SHARES 10,000,000 CASH OF MYR 1.00 EACH.
|
|
|
|
|
|
SALES
|
:
|
N/A
|
|
NET WORTH
|
:
|
N/A
|
|
|
|
|
|
STAFF STRENGTH
|
:
|
30 [2011]
|
|
BANKER (S)
|
:
|
|
ALLIANCE
BANK MALAYSIA BHD
HSBC BANK MALAYSIA BHD
|
|
|
|
LITIGATION
|
:
|
CLEAR
|
|
DEFAULTER CHECK
|
:
|
CLEAR
|
|
FINANCIAL CONDITION
|
:
|
N/A
|
|
PAYMENT
|
:
|
N/A
|
|
MANAGEMENT CAPABILITY
|
:
|
AVERAGE
|
|
|
|
|
|
COMMERCIAL RISK
|
:
|
MODERATE
|
|
CURRENCY EXPOSURE
|
:
|
MODERATE
|
|
GENERAL REPUTATION
|
:
|
SATISFACTORY
|
|
INDUSTRY OUTLOOK
|
:
|
AVERAGE GROWTH
|
|
PROPOSED CREDIT LIMIT
|
:
|
USD115,132.00
|
HISTORY / BACKGROUND
The SC is an exempt private company which
is allowed to have a minimum of two and a maximum of twenty shareholders and
all the shareholders must be individuals. An exempt company is a type of
private limited company. As a private limited company, the SC must have at
least two directors. A private limited company is a separate legal entity
from its shareholders. As a separate legal entity, the SC is capable of
owning assets, entering into contracts, suing or be sued by other companies.
The SC is governed by the Companies Act, 1965 and must file in its annual
return. The SC need not file in its financial statements but it has to file
in a document duly signed by its director in charge of its finance, the
secretary and its auditor stating that the SC is able to meet all its
obligations as and when they fall due. Although the SC is not required to
file in its financial statements, it also has to prepare its financial
account which must be presented at the Annual General Meeting.
The SC is principally engaged in the (as a / as an) manufacturer of frozen
food.
The SC is not listed on Bursa Malaysia (Malaysia Stock Exchange).
The major shareholder(s) of the SC are
shown as follows :
Name
|
Address
|
IC/PP/Loc No
|
Shareholding
|
|
MR. CHAI HON LEONG +
|
288, HUI SING JAYA, JALAN SHERIP MASAHOR, 93350 KUCHING, SARAWAK,
MALAYSIA.
|
600301-71-5755
|
9,800,000.00
|
|
MS. NGU MEE HUA +
|
288, HUI SING JAYA, JALAN SHERIP MASAHOR, 93350 KUCHING, SARAWAK,
MALAYSIA.
|
580413-13-5442
K682088
|
200,000.00
|
|
|
|
|
---------------
|
|
|
|
|
10,000,000.00
|
|
|
|
|
============
|
+ Also Director
DIRECTORS
DIRECTOR 1
|
Name Of Subject
|
:
|
MS. CHAI WAN YING
|
|
Address
|
:
|
288, HUI SING JAYA, JALAN SHERIP MASAHOR, 93350 KUCHING, SARAWAK,
MALAYSIA.
|
|
|
|
|
|
New IC No
|
:
|
901020-13-6238
|
|
Date of Birth
|
:
|
20/10/1990
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
|
Date of Appointment
|
:
|
23/07/2009
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DIRECTOR 2
|
Name Of Subject
|
:
|
MS. NGU MEE HUA
|
|
Address
|
:
|
288, HUI SING JAYA, JALAN SHERIP MASAHOR, 93350 KUCHING, SARAWAK,
MALAYSIA.
|
|
IC / PP No
|
:
|
K682088
|
|
New IC No
|
:
|
580413-13-5442
|
|
Date of Birth
|
:
|
13/04/1958
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
|
Date of Appointment
|
:
|
23/07/2009
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DIRECTOR 3
|
Name Of Subject
|
:
|
MR. CHAI HON LEONG
|
|
Address
|
:
|
288, HUI SING JAYA, JALAN SHERIP MASAHOR, 93350 KUCHING, SARAWAK,
MALAYSIA.
|
|
|
|
|
|
New IC No
|
:
|
600301-71-5755
|
|
Date of Birth
|
:
|
01/03/1960
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
|
Date of Appointment
|
:
|
01/08/1988
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MANAGEMENT
|
1)
|
Name of Subject
|
:
|
NGU MEE HUA
|
|
|
Position
|
:
|
DIRECTOR
|
|
|
|
|
|
AUDITOR
|
Auditor
|
:
|
ARTHUR ANDERSEN & CO
|
|
Auditor' Address
|
:
|
MENARA MILENIUM, JLN DAMANLELA, PUSAT BDR D'SARA, 23A FLR, 50490
KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
|
|
|
|
|
|
|
|
|
COMPANY SECRETARIES
|
1)
|
Company Secretary
|
:
|
MR. CHAI AI FAH
|
|
|
|
|
|
|
|
New IC No
|
:
|
561120-71-5255
|
|
|
Address
|
:
|
61, 8TH MILE, PENRISSEN ROAD, 93200 KUCHING, SARAWAK, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2)
|
Company Secretary
|
:
|
MR. CHUA YONG SENG
|
|
|
IC / PP No
|
:
|
K0214864
|
|
|
New IC No
|
:
|
690105-13-5069
|
|
|
Address
|
:
|
808, LOT 10817, LORONG 5, JALAN STAMPIN TENGAH, 93350 KUCHING,
SARAWAK, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BANKING
Banking relations are maintained principally with :
|
1)
|
Name
|
:
|
ALLIANCE BANK MALAYSIA BHD
|
|
|
|
|
|
|
2)
|
Name
|
:
|
HSBC BANK MALAYSIA BHD
|
|
|
|
|
|
|
The SC enjoys normal banking routine with above mentioned banker(s).
The SC has bank charges with above mentioned banker(s).
|
ENCUMBRANCE (S)
ENCUMBRANCE 1
|
Date of Creation
|
:
|
30/12/1995
|
|
Description Of Charge
|
:
|
N/A
|
|
Amount Secured
|
:
|
RM1,850,000.00
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
HONGKONG BANK MALAYSIA BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 8 In The Register of Charges
|
ENCUMBRANCE 2
|
Date of Creation
|
:
|
30/12/1995
|
|
Description Of Charge
|
:
|
N/A
|
|
Amount Secured
|
:
|
RM200,000.00
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
HONGKONG BANK MALAYSIA BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 9 In The Register of Charges
|
ENCUMBRANCE 3
|
Date of Creation
|
:
|
10/08/1996
|
|
Description Of Charge
|
:
|
N/A
|
|
Amount Secured
|
:
|
RM1,700,000.00
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
HONGKONG BANK MALAYSIA BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 10 In The Register of Charges
|
ENCUMBRANCE 4
|
Date of Creation
|
:
|
10/08/1996
|
|
Description Of Charge
|
:
|
N/A
|
|
Amount Secured
|
:
|
RM9,500,000.00
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
HONGKONG BANK MALAYSIA BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 11 In The Register of Charges
|
ENCUMBRANCE 5
|
Date of Creation
|
:
|
10/08/1996
|
|
Description Of Charge
|
:
|
N/A
|
|
Amount Secured
|
:
|
RM600,000.00
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
HONGKONG BANK MALAYSIA BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 12 In The Register of Charges
|
ENCUMBRANCE 6
|
Date of Creation
|
:
|
01/04/1998
|
|
Description Of Charge
|
:
|
CHARGE
|
|
Amount Secured
|
:
|
RM1,000,000.00
|
|
Description Of Property Affected
|
:
|
LOTS 26-28 & 164, SENGGI POAK LAND DIST & LOTS 40, 45, 47
& 49, BLK 7, SENGGI POAK LAND DIST
|
|
Name & Address Of Chargee
|
:
|
HONGKONG BANK MALAYSIA BHD
JLN PADUNGAN, BGN BINAMAS, 93000 KUCHING, SARAWAK, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
Form 40 Dated 24/04/1998
|
|
Registered and Numbered 14 In The Register of Charges
|
ENCUMBRANCE 7
|
Date of Creation
|
:
|
15/12/1998
|
|
Description Of Charge
|
:
|
N/A
|
|
Amount Secured
|
:
|
RM1,600,000.00
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
HONGKONG BANK MALAYSIA BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 15 In The Register of Charges
|
ENCUMBRANCE 8
|
Date of Creation
|
:
|
01/10/1999
|
|
Description Of Charge
|
:
|
N/A
|
|
Amount Secured
|
:
|
RM520,000.00
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
HSBC BANK MALAYSIA BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 16 In The Register of Charges
|
ENCUMBRANCE 9
|
Date of Creation
|
:
|
04/11/1991
|
|
Description Of Charge
|
:
|
N/A
|
|
Amount Secured
|
:
|
RM374,000.00
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
HONGKONG BANK MALAYSIA BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 17 In The Register of Charges
|
ENCUMBRANCE 10
|
Date of Creation
|
:
|
27/12/1994
|
|
Description Of Charge
|
:
|
N/A
|
|
Amount Secured
|
:
|
RM200,000.00
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
HONGKONG BANK MALAYSIA BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 18 In The Register of Charges
|
ENCUMBRANCE 11
|
Date of Creation
|
:
|
16/05/2001
|
|
Description Of Charge
|
:
|
N/A
|
|
Amount Secured
|
:
|
RM1,500,000.00
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
HSBC BANK MALAYSIA BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 19 In The Register of Charges
|
ENCUMBRANCE 12
|
Date of Creation
|
:
|
16/05/2001
|
|
Description Of Charge
|
:
|
N/A
|
|
Amount Secured
|
:
|
RM1,500,000.00
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
HSBC BANK MALAYSIA BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 20 In The Register of Charges
|
ENCUMBRANCE 13
|
Date of Creation
|
:
|
01/08/2001
|
|
Description Of Charge
|
:
|
N/A
|
|
Amount Secured
|
:
|
RM1,000,000.00
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
ALLIANCE BANK MALAYSIA BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 21 In The Register of Charges
|
LEGAL CHECK AGAINST SC
* A check has been conducted in our databank againt the SC whether the
subject has been involved in any litigation. Our databank consists of 99% of
the wound up companies in Malaysia.
No legal action was found in our databank.
No winding up petition was found in our databank.
DEFAULTER CHECK AGAINST SC
* We have checked through the SC in our defaulters' database which comprised
of debtors that have been blacklisted by our customers and debtors that have
been placed or assigned to us for collection since 1990. Information was
provided by third party where the debt amount can be disputed. Please check
with creditors for confirmation as alleged debts may have been paid since
recorded or are being disputed.
No blacklisted record & debt collection case was found in our defaulters'
databank.
PAYMENT RECORD
|
|
|
|
SOURCES OF RAW MATERIALS:
|
|
Local
|
:
|
YES
|
|
Overseas
|
:
|
YES
|
|
|
|
|
CLIENTELE
|
Local
|
:
|
YES
|
Percentage
|
:
|
100%
|
|
Domestic Markets
|
:
|
MALAYSIA
|
|
Overseas
|
:
|
NO
|
Percentage
|
:
|
0%
|
|
|
|
|
|
|
|
|
Credit Term
|
:
|
30 - 60 DAYS
|
|
|
|
|
|
|
|
|
Payment Mode
|
:
|
CHEQUES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATIONS
|
Products manufactured
|
:
|
|
|
|
|
|
|
Competitor(s)
|
:
|
AYAM A1 FOOD
CORPORATION SDN BHD
AYAMAS FOOD CORPORATION SDN BHD
CENTRAL COLDSTORAGE KUCHING SDN BHD
D.B.E. POULTRY SDN BHD
FARM'S BEST BHD
|
|
|
|
|
|
Member(s) / Affiliate(s)
|
:
|
MALAYSIA FOOD & BEVERAGE INDUSTRY
|
|
|
|
|
|
Total Number of Employees:
|
|
YEAR
|
2011
|
|
|
|
|
GROUP
|
N/A
|
|
|
|
|
|
|
|
|
|
COMPANY
|
30
|
|
|
|
|
|
|
|
|
Other Information:
The SC is principally engaged in the (as a / as an) manufacturer of frozen
food.
The SC is engaged in the processing of chicken and chicken feed products.
The SC produces according to its customers' orders.
PROJECTS
No projects found in our databank
RECENT DEVELOPMENT
We have checked with the Malaysian National News Agency's (BERNAMA)database,
but no latest development was noted in our investigation.
CURRENT INVESTIGATION
Latest fresh
investigations carried out on the SC indicated that :
|
Telephone Number Provided By Client
|
:
|
N/A
|
|
Current Telephone Number
|
:
|
082-615668
|
|
Match
|
:
|
N/A
|
|
|
|
|
|
Address Provided by Client
|
:
|
LOT 157, BLOCK 45, 8 1/2 MILE, BATU KITANG ROAD, 93250 KUCHING
SARAWAK
|
|
Current Address
|
:
|
LOT 157, BLOCK 45, 8 1/2MILES, BATU KITANG ROAD, 93250 KUCHING,
SARAWAK, MALAYSIA.
|
|
Match
|
:
|
YES
|
|
|
|
|
|
Latest Financial Accounts
|
:
|
NO
|
Other Investigations
We contacted one of the staff from the SC and she provided some information
on the SC.
FINANCIAL COMMENTS
The SC is a private exempt company which
does not need to file in its accounts with the Registrar of Companies for the
information of the public. Therefore, we are not able to comment on the SC's
financial performance.
ECONOMIC / INDUSTRY OUTLOOK
|
Major Economic Indicators:
|
2007
|
2008
|
2009
|
2010*
|
2011**
|
|
|
|
|
|
|
|
|
Population ( Million)
|
27.17
|
27.73
|
28.31
|
28.88
|
29.13
|
|
Gross Domestic Products ( % )
|
6.3
|
4.6
|
<0.5>
|
6.9
|
5.8
|
|
Domestic Demand ( % )
|
9.0
|
6.9
|
2.9
|
4.6
|
4.8
|
|
Private Expenditure ( % )
|
8.6
|
7.1
|
<2.7>
|
8.1
|
7.0
|
|
Consumption ( % )
|
9.0
|
8.4
|
0.7
|
6.7
|
6.3
|
|
Investment ( % )
|
7.1
|
1.5
|
<17.2>
|
15.2
|
10.2
|
|
Public Expenditure ( % )
|
10.1
|
6.5
|
5.2
|
3.8
|
2.8
|
|
Consumption ( % )
|
10.8
|
11.6
|
3.1
|
0.2
|
4.6
|
|
Investment ( % )
|
9.3
|
0.7
|
8.0
|
8.3
|
0.6
|
|
|
|
|
|
|
|
|
Balance of Trade ( MYR Million )
|
100,340
|
129,563
|
89,650
|
118,356
|
116,058
|
|
Government Finance ( MYR Million )
|
<19,948>
|
<34,462>
|
<28,450>
|
<40,482>
|
-
|
|
Government Finance to GDP / Fiscal Deficit ( % )
|
<3.2>
|
<4.8>
|
<4.8>
|
<5.6>
|
<5.4>
|
|
Inflation ( % Change in Composite CPI)
|
2.0
|
<3.3>
|
<5.2>
|
5.1
|
-
|
|
Unemployment Rate
|
3.2
|
3.7
|
4.5
|
3.9
|
-
|
|
|
|
|
|
|
|
|
Net International Reserves ( MYR Billion )
|
336
|
388
|
331
|
394
|
-
|
|
Average Risk-Weighted Capital Adequacy Ratio ( % )
|
3.04
|
1.91
|
2.87
|
2.20
|
-
|
|
Average 3 Months of Non-performing Loans ( % )
|
13.30
|
13.24
|
11.08
|
15.30
|
-
|
|
Average Base Lending Rate ( % )
|
6.72
|
6.72
|
5.53
|
5.70
|
-
|
|
Business Loans Disbursed( % )
|
9.1
|
11.6
|
10.5
|
14.7
|
-
|
|
Foreign Investment ( MYR Million )
|
33,426.0
|
23,261.4
|
22,156.8
|
22,517.9
|
-
|
|
Consumer Loans ( % )
|
-
|
-
|
-
|
-
|
-
|
|
|
|
|
|
|
|
|
Registration of New Companies ( No. )
|
43,337
|
41,599
|
41,578
|
-
|
-
|
|
Registration of New Companies ( % )
|
13.2
|
<4.0>
|
<0.1>
|
-
|
-
|
|
Liquidation of Companies ( No. )
|
22,629
|
27,992
|
39,075
|
-
|
-
|
|
Liquidation of Companies ( % )
|
161.5
|
23.7
|
39.6
|
-
|
-
|
|
|
|
|
|
|
|
|
Registration of New Business ( No. )
|
227,410
|
269,866
|
312,581
|
-
|
-
|
|
Registration of New Business ( % )
|
-
|
-
|
-
|
-
|
-
|
|
Business Dissolved ( No. )
|
20,431
|
18,885
|
19,345
|
-
|
-
|
|
Business Dissolved ( % )
|
<61.4>
|
<7.6>
|
2.4
|
-
|
-
|
|
|
|
|
|
|
|
|
Sales of New Passenger Cars (' 000 Unit )
|
442.9
|
497.5
|
319.4
|
369.7
|
-
|
|
Cellular Phone Subscribers ( Million )
|
23.3
|
25.1
|
30.1
|
32.8
|
-
|
|
Tourist Arrival ( Million Persons )
|
20.9
|
21.5
|
23.6
|
24.0
|
25.0
|
|
Hotel Occupancy Rate ( % )
|
70
|
68
|
58
|
63
|
-
|
|
|
|
|
|
|
|
|
Credit Cards Spending ( % )
|
20.1
|
17.1
|
12.8
|
15.1
|
-
|
|
Bad Cheque Offenders (No.)
|
30,004
|
34,834
|
-
|
-
|
-
|
|
Individual Bankruptcy ( No.)
|
13,238
|
13,907
|
-
|
-
|
-
|
|
Individual Bankruptcy ( % )
|
<2.6>
|
5.1
|
-
|
-
|
-
|
|
|
|
|
|
|
|
|
INDUSTRIES ( % of Growth ):
|
2007
|
2008
|
2009
|
2010*
|
2011**
|
|
|
|
|
|
|
|
|
Agriculture
|
3.1
|
3.6
|
0.4
|
3.4
|
4.5
|
|
Palm Oil
|
<0.6>
|
7.0
|
<1.1>
|
1.3
|
-
|
|
Rubber
|
1.0
|
<1.1>
|
<19.8>
|
9.9
|
-
|
|
Forestry & Logging
|
2.8
|
<1.5>
|
<5.9>
|
<1.3>
|
-
|
|
Fishing
|
5.2
|
4.0
|
5.5
|
4.1
|
-
|
|
Other Agriculture
|
7.0
|
5.9
|
9.0
|
6.6
|
-
|
|
Industry Non-Performing Loans ( MYR Million )
|
487.3
|
393.0
|
413.7
|
508.4
|
-
|
|
% of Industry Non-Performing Loans
|
1.1
|
<2.0>
|
1.3
|
2.1
|
-
|
|
|
|
|
|
|
|
|
Mining
|
3.3
|
<0.8>
|
<3.8>
|
1.0
|
2.9
|
|
Oil & Gas
|
2.2
|
12.7
|
2.1
|
4.9
|
-
|
|
Other Mining
|
-
|
-
|
-
|
-
|
-
|
|
Industry Non-performing Loans ( MYR Million )
|
42.2
|
36.0
|
44.2
|
49.7
|
-
|
|
% of Industry Non-performing Loans
|
0.1
|
0.1
|
0.1
|
0.1
|
-
|
|
|
|
|
|
|
|
|
Manufacturing #
|
3.1
|
1.3
|
<9.4>
|
10.8
|
6.7
|
|
Exported-oriented Industries
|
<1.9>
|
2.7
|
<19.0>
|
12.1
|
-
|
|
Electrical & Electronics
|
3.0
|
2.4
|
<30.3>
|
27.4
|
-
|
|
Rubber Products
|
8.0
|
4.2
|
<10.1>
|
25.3
|
-
|
|
Wood Products
|
3.3
|
<6.0>
|
<24.1>
|
19.7
|
-
|
|
Textiles & Apparel
|
<10.1>
|
1.9
|
<19.5>
|
<1.3>
|
-
|
|
Domestic-oriented Industries
|
5.3
|
9.9
|
<9.8>
|
16.3
|
-
|
|
Food, Beverages & Tobacco
|
5.6
|
9.5
|
0.2
|
3.0
|
-
|
|
Chemical & Chemical Products
|
9.2
|
1.4
|
<7.7>
|
20.4
|
-
|
|
Plastic Products
|
<3.6>
|
6.5
|
<9.1>
|
2.4
|
-
|
|
Iron & Steel
|
17.5
|
16.8
|
<32.7>
|
30.0
|
-
|
|
Fabricated Metal Products
|
26.2
|
14.7
|
<2.5>
|
14.9
|
-
|
|
Non-metallic Mineral
|
6.6
|
8.3
|
<15.5>
|
20.2
|
-
|
|
Transport Equipment
|
<19.0>
|
27.1
|
<13.5>
|
36.5
|
-
|
|
Paper & Paper Products
|
14.9
|
8.6
|
<5.0>
|
20.5
|
-
|
|
Crude Oil Refineries
|
8.6
|
7.8
|
0.2
|
<11.4>
|
-
|
|
Industry Non-Performing Loans ( MYR Million )
|
6,366.2
|
5,729.4
|
6,007.3
|
6,217.5
|
-
|
|
% of Industry Non-Performing Loans
|
14.1
|
16.8
|
18.3
|
23.8
|
-
|
|
|
|
|
|
|
|
|
Construction
|
4.6
|
2.1
|
5.8
|
4.9
|
4.4
|
|
Industry Non-Performing Loans ( MYR Million )
|
5,116.7
|
4,149.8
|
3,241.8
|
4,038.5
|
-
|
|
% of Industry Non-Performing Loans
|
11.3
|
12.2
|
9.9
|
10.7
|
-
|
|
|
|
|
|
|
|
|
Services
|
9.7
|
7.3
|
2.6
|
6.5
|
5.3
|
|
Electric, Gas & Water
|
4.6
|
5.0
|
0.4
|
8.5
|
5.6
|
|
Transport, Storage & Communication
|
7.60
|
7.80
|
1.60
|
7.15
|
7.55
|
|
Wholesale, Retail, Hotel & Restaurant
|
11.6
|
10.0
|
2.8
|
4.7
|
5.2
|
|
Finance, Insurance & Real Estate
|
10.7
|
9.2
|
3.8
|
6.0
|
5.2
|
|
Government Services
|
4.6
|
8.6
|
2.0
|
6.7
|
1.9
|
|
Other Services
|
5.0
|
5.9
|
4.4
|
4.2
|
5.4
|
|
Industry Non-Performing Loans ( MYR Million )
|
10,207.8
|
8,281.4
|
6,631.3
|
7,384.6
|
-
|
|
% of Industry Non-Performing Loans
|
22.6
|
24.3
|
20.2
|
25.7
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* Estimate / Preliminary
|
|
|
|
|
|
|
** Forecast
|
|
|
|
|
|
|
# Based On
Manufacturing Production Index
(Source : Department of Statistics / Economic Report / Bank Negara Report)
|
|
|
|
|
|
|
|
INDUSTRY COMMENTS
|
MSIC CODE
|
|
15111 : Processing and preserving of poultry and poultry products
|
|
|
|
|
INDUSTRY :
|
FOOD & BEVERAGES
|
|
|
|
|
|
|
Rising inflationary pressure and volatile financial markets have prompted
some companies to forecast conservative earnings as they brace for a
potential slowdown in consumer spending this year. Companies cautious about
their earnings outlook are mainly those in the food and beverage industry.
Most of them import their raw materials, including milk and wheat, where
the prices have surged in recent months.
|
|
While contending with margin squeeze, the companies would not want to pass
on most of the costs yet on concerns the higher prices would affect
consumer spending. For the moment, the outlook for consumer spending might
not be as bright but the domestic economy is still strong.
|
|
The food and beverages industry has always been one of the more resilient
industries in an economic downturn. For the period of January - May 2009,
the industry achieved exports of RM4.41 billion, slightly lower than RM4.42
billion attained in the same period in 2008. The Government is dealing with
issues like inflation to improve consumer sentiment. High commodity prices
would boost the country's gross domestic product growth and consumer
spending would stay resilient, given rising household income for farmers,
civil servants and private sector employees.
|
|
An increase in the annual subsidy assistance for padi farmers to boost
production levels and encourage more people to plant the crop so as to
increase the State's food supply. The government believes the increase in
the subsidy assistance will directly increase the level of income and
well-being of the farmers in the State. This would be in line with the
Malaysia policy of People First, Performance Now. The move is also in line
with the government objective to increase the State's self-sufficiency in
padi and rice production to 60 per cent by the year 2010.
|
|
The Government has identified the processed food industry as one of the
major growth sectors of the economy under the Ninth Malaysia Plan (9MP).
Under the 9MP, the food commodities subsector is expected to grow at an
average rate of 7.6% per annum through improvements in efficiency and
productivity as well as expansion in hectarage. Exports of food commodities
will be increased to achieve a positive food trade balance. The production
of 'padi' will be increased to meet the target of self-sufficiency level of
90%. The production of fruits will be undertaken on a large-scale in the
fruit production zones using the cluster development approach and
concentrating on nine fruit species which have export potential. The
production of vegetables will focus on high value varieties for local consumption
and selected export markets. The Green Book Programme to promote
cultivation of food crops at the community level will be reactivated.
|
|
Note : The Ninth Malaysia Plan (9MP) was tabled in Parliament on March 31,
2006, is the five-year blueprints within the new National Mission policy
and implementation framework from now until 2010. Malaysia is expected to
see some structural changes and improved performance in the economy.
|
|
|
|
|
OVERALL INDUSTRY OUTLOOK : Average Growth
|
COMMENTS & RECOMMENDATION
|
Established in 1979, the SC is an exempt private company with core business
in the manufacturer of frozen food. With experiences for about 32 years in
the industry, the SC's operation has been running relatively stable since
it has built up a relatively sound and stable clientele base which has
contributed to its business growth. With a large issued and paid up capital
of RM10 million, the SC's business has been expanding comfortably over the
years.
|
|
Information revealed that the SC solely focuses on domestic market rather
than overseas market. We believe that this narrow market segment would
limit the SC's business opportunities and the SC is likely to be affected
by the uncertainties in local economy. However, its long presence in the
market has enabled the SC to gain certain market shares and established
good rapport with its clients. Thus, its business risk is diversified.
Headed by its Managing Director, the SC currently has about 30 staff in its
business operations. The overall management capability of the SC is
average.
|
|
As the SC is registered as a Exempt Private company, it is not required to
file financial statements for public review. As such, we are unable to
ascertain its present financial health.
|
|
We noted that the SC's raw materials are sourced from the local market and
overseas market. Therefore the SC is exposed to foreign currency risk.
|
|
Based on our databank, the SC is clear of any litigation action.
|
|
The industry remains robust with continuing strong global demand for its
products. There is no doubt that the food industry is growing, in tandem
with the rising population. These factors provided the SC with the
necessary foundation to maintain its business. Hence, with its vast
experience in the business, the SC has the potential of capturing a higher
market share in line with the growth in the industry.
|
|
In view of the above, we recommend credit be granted to the SC with close
monitoring.
|
|
