The Malaysian Insider :: Business

EU steps up quest to solve youth unemployment

Sat, 25 May 2013 11:52:39 GMT

BRUSSELS, May 25 — European leaders have decided youth unemployment and the risk of social breakdown are among the toughest challenges they face and finding solutions will be a top priority for the coming months. In a letter released late on Friday, European Council President Herman Van Rompuy said youth unemployment was one of the most pressing ...

Chinese Premier criticises EU move on trade measures

Sat, 25 May 2013 02:56:07 GMT

SHANGHAI, May 25 — Chinese Premier Li Keqiang criticised the European Union over its plans to investigate alleged anti-competitive behaviour by Chinese mobile telecom equipment makers and to impose punitive import duties on solar panels from China, state media reported. The official Xinhua news agency reported late on Friday that Li had told ...

AirAsia still wants jets after record orders

Sat, 25 May 2013 01:52:02 GMT

MONACO, May 25 — AirAsia, which smashed order records for Airbus jets to become Asia’s largest budget carrier, could buy another 50 planes as it targets aggressive expansion in India, Chief Executive Tony Fernandes said. Discussion of an order for another 50 A320-family jets, worth US$5 billion (RM15 billion) at list prices, comes weeks ahead ...

IMF’s Lagarde escapes formal investigation in French case

Sat, 25 May 2013 01:39:58 GMT

PARIS, May 25 — French magistrates decided last night not to place IMF chief Christine Lagarde under formal investigation over her role in a €285-million (RM1.1 billion) arbitration payment made to a supporter of former president Nicolas Sarkozy. Lagarde was instead given the status of a “supervised witness”, after she was questioned on her ...

Tiger Global invests US$50m in Automattic’s WordPress.Com

Sat, 25 May 2013 00:42:57 GMT

SAN FRANCISCO, May 24 — Automattic, the company that operates blogging service WordPress.com, announced a US$50 million (RM151 million) investment from hedge fund and private-equity investor Tiger Global today. The investment comes on the heels of Yahoo’s USD$1.1 billion acquisition of blogging company Tumblr, showing the high prices fast-growing ...

Investors look for signs in Wall Street’s rally break

Sat, 25 May 2013 00:32:12 GMT

NEW YORK, May 25 — The US stock market’s break in its recent rally this week left investors wondering if they’re seeing a turning point or just a blip in the upward path. Next week could make it harder to figure out, considering that the long Memorial Day weekend typically signals the start of the summer. The three major US stock indexes posted ...

News Corp to take charge of up to US$1.4b this quarter

Sat, 25 May 2013 00:22:56 GMT

NEW YORK, May 25 — News Corp said today it will write down the value of its Australian and US publishing assets by up to US$1.4 billion (RM4.2 billion), as the company prepares to split its business between its newspaper and entertainment operations. The company said the goodwill impairment charge was primarily for its Australia newspapers though ...

NextGen ePerolehan to be implemented in 2015

Fri, 24 May 2013 10:34:35 GMT

PUTRAJAYA, May 24 — The new version of the government procurement system, NextGen ePerolehan, is 20 per cent ready and will be implemented in 2015 in an effort to improve the Federal government’s delivery system. Deputy Finance Minister Datuk Ahmad Maslan Ahmad said Vietnam, the Philippines and Indonesia was keen to learn and emulate the system ...

Malaysian couple joins the billionaires club in Australia

Fri, 24 May 2013 10:34:29 GMT

MELBOURNE, May 24 — A Malaysian couple has almost doubled their wealth in one year to become billionaires in the process. David Teoh, 57, and his wife Vicky, 56, have achieved one of the biggest rises on this year’s BRW Rich 200 List, lifting their fortune from AUS$526 million (RM1.54 billion) last year to AUS$1.06 billion. On the other hand, last ...

Britain’s FTSE steadies after worst day in a year

Fri, 24 May 2013 09:08:31 GMT

LONDON, May 24 — Britain’s leading shares steadied today after their steepest fall in a year in the previous session, with central bankers offering some reassurance that stimulus will stay for a while yet. The FTSE 100 index was flat at 6,695.00 by 0749 GMT after slumping 2.1 per cent yesterday on concerns that US Federal Reserve may soon start to ...

German business morale rises more than expected in May

Fri, 24 May 2013 09:04:24 GMT

BERLIN, May 24 — German business morale rose far more than expected in May, rebounding after two consecutive falls and suggesting Europe’s largest economy is picking up steam after posting anaemic growth in the first quarter. The Munich-based Ifo think tank said today its business climate index, based on a monthly survey of some 7,000 firms, rose ...

P&G brings back former CEO to fix company

Fri, 24 May 2013 07:30:04 GMT

NEW YORK, May 24 — Procter & Gamble Co yesterday brought back AG Lafley to run the world’s largest household products maker, replacing Bob McDonald immediately in the midst of a major restructuring. Lafley is taking on the roles of chairman, president and chief executive officer, effective immediately, while McDonald is set to retire on June 30 ...

Gold climbs as Fed official says no rush to end bond buying

Fri, 24 May 2013 07:26:37 GMT

SINGAPORE, May 24 — Gold rose on Friday, on track for its strongest week in a month, after a US Federal Reserve official said there was no rush to end the monetary easing programme that has increased the metal’s appeal as a hedge against inflation. Gold edged up this week as investors sought its safe-haven status after the dollar and equity ...

Oil prices set for biggest weekly drop since mid-April

Fri, 24 May 2013 06:40:18 GMT

SINGAPORE, May 24 — Crude futures are set to post their biggest weekly loss in five weeks, with Brent edging down toward US$102 (RM306) per barrel today, as ample supply and a slow global economic recovery fuelled worries that demand for oil would be hit. Crude inventories in the United States are near record levels as the world’s top oil consumer ...

Google faces new federal antitrust probe

Fri, 24 May 2013 06:25:42 GMT

WASHINGTON, May 24 — US regulators are in the early stages of an antitrust probe into whether Google Inc, the top player in Web display advertising, breaks antitrust law in how it handles some advertising sales, a source told Reuters yesterday. The source said that it was unlikely that the Federal Trade Commission had sent out civil investigative ...

Draghi says euro zone more stable, ‘needs a more European UK’

Fri, 24 May 2013 06:21:01 GMT

LONDON, May 24 — The euro zone is more stable than a year ago but economic conditions remain challenging and governments must push on with reforms and banking union plans, European Central Bank President Mario Draghi said yesterday. Speaking in London almost a year after he vowed to do “whatever it takes” to save the euro, Draghi said European ...

Bank Indonesia boss to seek overseas talks on bank reciprocity

Fri, 24 May 2013 04:14:43 GMT

JAKARTA, May 24 — Indonesia’s new central bank governor said today he will seek “good negotiations” with overseas monetary authorities on banking reciprocity. Indonesia’s central bank governor Agus Martowardojo told reporters shortly after his swearing-in ceremony that he would respect the country’s current regulations on banking reciprocity and ...

The deeper agenda behind ‘Abenomics’

Fri, 24 May 2013 02:44:06 GMT

TOKYO, May 24 — When ill health and political gridlock forced Shinzo Abe to quit after one dismal year as Japan’s prime minister, his pride was dented and his self-confidence battered. One thing, however, was intact: his commitment to a controversial conservative agenda centred on rewriting Japan’s constitution. Conservatives see the 1947 pacifist ...

Volatile Nikkei keeps Asian stocks on edge

Fri, 24 May 2013 01:06:06 GMT

SYDNEY, May 24 — Asian stocks fell to one-month lows today and the yen rebounded broadly as extreme volatility in the Nikkei kept investors on edge. MSCI’s broadest index of Asia-Pacific shares outside Japan shed 0.4 per cent and reached levels not seen since April 19, extending Thursday’s 2.2 per cent fall. Australian shares underperformed, ...

ECB can’t solve euro zone crisis alone, Bundesbank chief says

Thu, 23 May 2013 22:55:39 GMT

PARIS, May 24 — Bundesbank chief Jens Weidmann said yesterday it was not up to the European Central Bank to solve the euro zone crisis, resisting pressure from other ECB policymakers for the bank to widen its range of policy tools. Speaking in Paris, Weidmann declined to comment on US Federal Reserve chairman Ben Bernanke’s remarks that the US ...

Wall Street sags, but ends off session lows

Thu, 23 May 2013 22:51:13 GMT

NEW YORK, May 24 — US stocks slipped yesterday but finished sharply off their session lows as a rally in Hewlett-Packard’s shares offset worries about weak Chinese manufacturing data and the prospects of the Federal Reserve reducing its monetary stimulus. Trading was choppy as many traders were adjusting their positions ahead of the long holiday ...

YTL Power Q3 pre-tax profit slips to RM336.6m

Thu, 23 May 2013 14:51:12 GMT

KUALA LUMPUR, May 23 – YTL Power International Bhd’s pre-tax profit decreased to RM336.57 million for the third quarter ended March 31, 2013 from RM351.9 million in the same period a year ago. Revenue fell to RM3.65 billion from RM3.98 billion previously. In a filing to Bursa Malaysia, the group said its multi utilities business segment recorded a ...

UMW posts lower pre-tax profit in Q1

Thu, 23 May 2013 14:39:09 GMT

KUALA LUMPUR, May 23 – UMW Holdings Bhd’s pre-tax profit for the first quarter ended March 31, 2013 slipped 0.9 per cent to RM432.7 million from RM436.7 million in the same period last year. Revenue fell 9.2 per cent to RM3.36 billion from RM3.7 billion previously, on lower revenue from automotive, oil & gas and equipment segments, the company ...

YTL Corp Q3 pre-tax profit falls to RM541.4m

Thu, 23 May 2013 14:19:49 GMT

KUALA LUMPUR, May 23 – YTL Corporation Bhd’s pre-tax profit fell to RM541.37 million for the third quarter ended March 31, 2013 from RM694.37 million recorded in the same period last year. Revenue declined to RM4.75 billion from RM5.24 billion previously. In a filing to Bursa Malaysia, the group said its cement manufacturing and trading segment’s ...

Petronas Dagangan Q1 pre-tax profit dips 3.7pc to RM327m

Thu, 23 May 2013 12:42:52 GMT

KUALA LUMPUR, May 23 – Petronas Dagangan Bhd (PDB)’s pre-tax profit dipped 3.7 per cent to RM326.969 million for the first quarter ended March 31, 2013 from RM339.686 million in the same quarter last year. The decline was due to lower Means of Platts Singapore prices which have affected the whole industry, the company said in a statement ...

IHH Healthcare Q1 pre-tax profit falls to RM213.59m

Thu, 23 May 2013 12:14:10 GMT

KUALA LUMPUR, May 23 – IHH Healthcare Bhd’s pre-tax profit declined to RM213.588 million for the first quarter ended March 31, 2013 from RM218.248 million recorded in the same period last year. Revenue, however, increased to RM1.62 billion, during the quarter under review, from RM1.26 billion chalked up previously. In a filing to Bursa Malaysia, ...

Khazanah appoints Nor Mohamed as deputy chairman

Thu, 23 May 2013 12:01:49 GMT

KUALA LUMPUR, May 23 – Khazanah Nasional Bhd has announced the appointment of Tan Sri Nor Mohamed Yakcop as its deputy chairman effective June 3, 2013. Nor Mohamed’s appointment was nominated by Prime Minister and chairman of Khazanah, Datuk Seri Najib Razak, it said in a statement. He will also be appointed as chairman of the upcoming Khazanah ...

Maybank on track for 40pc PBT contribution from international operations

Thu, 23 May 2013 10:51:51 GMT

KUALA LUMPUR, May 23 – Malayan Banking Bhd (Maybank) is on track to achieve a 40 per cent pre-tax profit contribution from its international operations by 2015. Its outgoing president/chief executive officer Datuk Seri Abdul Wahid Omar said the contribution would likely be from a combination of organic growth, mergers and acquisitions. “We plan to ...

SE Asia Stocks: Fall on Fed, China data jitters; S’pore, Thailand hit 2-wk low

Thu, 23 May 2013 10:34:24 GMT

BANGKOK, May 23 – Southeast Asian stocks fell today, with Singapore marking its worst week since November 2012 and Thai stocks at their lowest close in more than two weeks, as worries over the future of US monetary stimulus and weak Chinese data dented global sentiment. Singapore, Thailand and Malaysia saw weakness in large caps such as Singapore ...

Bursa shares close sharply lower

Thu, 23 May 2013 10:00:20 GMT

KUALA LUMPUR, May 23 – Share prices on Bursa Malaysia closed sharply lower on heavy selling of heavyweights in line with weaknesses in regional markets, dealers said. The benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) declined 10.82 points to 1,773.06. Comments by US Federal Reserve Chairman Ben Bernanke that policymakers may scale down bond ...

Australia’s Crown selling entire 10pc stake in rival Echo

Thu, 23 May 2013 09:25:30 GMT

SYDNEY, May 23 – Australian casino company Crown Ltd is selling its entire 10 per cent stake in rival Echo Entertainment Group, the operator of Sydney’s sole casino, a source with knowledge of the sale said. Crown is seeking in a book build through UBS to sell 82.5 million Echo shares at A$3.20 each, or for a total of A$264 million ($255.51 ...

IMF’s Lagarde in court for French arbitration case

Thu, 23 May 2013 07:23:46 GMT

PARIS, May 23 — IMF chief Christine Lagarde arrived in court today to be questioned by a French magistrate over her role in a €285-million (RM1.14 billion) arbitration payment made to a supporter of former president Nicolas Sarkozy. Lagarde risks being placed under formal investigation at the hearing for her 2007 decision as Sarkozy’s finance ...

Bursa falls to low of 1,765 in afternoon trade

Thu, 23 May 2013 07:19:20 GMT

KUALA LUMPUR, May 23 ― Malaysia’s FBM KLCI fell to a low of 1,765 in mid-afternoon trade on Thursday as investors were rattled by the plunge in Japan’s markets and fall in Hong Kong. A security crackdown here which so far held two politicians, PKR Batu MP Chua Tian Chang and PAS Tamrin Abdul Ghafar, together with activist Haris Ibrahim have also ...

Maybank Q1 net profit up 11.8pc, tops forecast

Thu, 23 May 2013 05:17:46 GMT

KUALA LUMPUR, May 23 — Malayan Banking Bhd (Maybank), the country’s biggest bank by assets, posted an 11.8 per cent rise in first quarter profit, helped by higher net interest income and strong Islamic banking performance. Maybank earned RM1.51 billion in the three months ended March, compared with a net profit of RM1.35 billion a year earlier. ...

Asian markets sell off on Bernanke remarks, China PMI

Thu, 23 May 2013 04:01:07 GMT

SINGAPORE, May 23 — Hawkish comments by US Federal Reserve Chairman Ben Bernanke and weakness in China’s factory activity rattled Asian markets today, sending stock prices down, the US dollar to three-year highs, and Japanese government bond yields to their highest in a year. Stock and bond markets took their cue from the drop in US equities and ...

Singapore Q1 GDP growth surprises on surge in financial services

Thu, 23 May 2013 02:32:33 GMT

SINGAPORE, May 23 — Singapore today reported a surprise expansion in its economy in the first quarter, helped by a surge in financial services as trading in stocks and foreign exchange soared. The Southeast Asian city-state, whose economy is heavily dependent on trade, manufacturing and financial services, said gross domestic product expanded 1.8 ...

Analyst calls for May 23

Thu, 23 May 2013 01:41:12 GMT

KUALA LUMPUR, May 23 ― This is a selection of morning calls by local research houses for the day. From RHB Research Eversendai Eversendai reiterated that the low margins reported in its 1QFY13 results released yesterday were largely a “timing issue” as several substantial variation order (VO) claims were still pending. Eversendai guided 4-6 ...

Equity investors flock to Japan funds, exit emerging markets

Thu, 23 May 2013 01:19:24 GMT

LONDON, May 23 — Equity investors piled a net US$9.1 billion (RM27.3 billion) into Japan mutual funds and ETFs last month, while exiting some emerging markets, showing continued support for “Abenomics” — Japan’s efforts to revitalise economic growth. Japan equity products were by far the top-performing sector in April, taking in more than three ...

Rich-nation investors returning home

Thu, 23 May 2013 01:13:17 GMT

LONDON, May 23 — The world’s biggest investors may be rethinking 20 years of boosting overseas holdings and are instead seeking more stable cash income at home, as aging societies and tighter regulation dull risk appetite. This heralds a structural shift toward investments that produce long-term income in advanced economies, home to two thirds of ...

Bernanke says more progress needed before stimulus pullback

Wed, 22 May 2013 22:57:56 GMT

WASHINGTON, May 23 — The Federal Reserve’s monetary stimulus is helping the US economy recover but the central bank needs to see further signs of traction before taking its foot off the gas pedal, Fed Chairman Ben Bernanke said yesterday. A decision to scale back the US$85 billion (RM255 billion) in bonds the Fed is buying each month could come at ...

Wall St falters in volatile session on Fed worries

Wed, 22 May 2013 22:51:10 GMT

NEW YORK, May 23 — US stocks fell yesterday with the S&P 500 posting its biggest decline in three weeks, after minutes from the latest US Federal Reserve meeting showed some officials were open to tapering large-scale asset purchases as early as at the June meeting. Trading was volatile — the Dow and the S&P indexes both rose more than 1 per cent ...

Asian stocks supported by Fed reassurance; BOJ stands pat

Wed, 22 May 2013 15:07:03 GMT

SINGAPORE, May 22 — Some Asian stock markets rose today following a positive lead from Wall Street, with Japan’s Nikkei reaching a 5-1/2 year high and staying firm as the Bank of Japan stood pat after unleashing massive stimulus last month. European stocks are expected to inch lower with markets taking a breather from a month-long rally before US ...

New RON97 price receives positive response from analysts

Wed, 22 May 2013 15:02:34 GMT

KUALA LUMPUR, May 22 — The 20 sen price reduction in RON97 petrol to RM2.70 per litre, as announced by the government yesterday, received encouraging response from analysts who generally opined that it will have a positive impact on the economy, although the adjustment was minimal. Affin Bank Economist Alan Tan said the reduction may lower the ...

Takaful Malaysia optimistic on RM35m no claim rebate payment this year

Wed, 22 May 2013 15:00:14 GMT

SHAH ALAM, May 22 — Syarikat Takaful Malaysia Bhd (Takaful Malaysia) is confident of disbursing about RM35 million in No Claim Rebate this year to its customers given the positive growth in its General Takaful portfolio. Group Managing Director Datuk Mohamed Hassan Kamil said Takaful Malaysia has sufficient surplus to sustain its 15 per cent No ...

Gold up on weaker dollar, stimulus hopes before Fed testimony

Wed, 22 May 2013 12:08:33 GMT

LONDON, May 22 — Gold rose today as the dollar fell after Federal Reserve officials allayed investor concerns that the US central bank would soon reduce its bond-buying programme, while Chinese physical demand also lent some support to prices. Yesterday, New York Federal Reserve Bank President William Dudley and St. Louis Fed chief James Bullard ...

Strong data revenues boost Malaysia Axiata’s Q1 net profit

Wed, 22 May 2013 12:07:15 GMT

KUALA LUMPUR, May 22 — Axiata Group Bhd, Malaysia’s biggest telco firm by market capitalisation, posted a 8.65 per cent rise in first quarter profit, driven by strong growth in regional data revenue. Axiata earned 614.56 million ringgit in the three months ended March, compared with the previous net profit of 565.63 million ringgit a year earlier. ...

The Star to revamp online portal for more income

Wed, 22 May 2013 11:53:42 GMT

KUALA LUMPUR, May 22 — Star Publications (M) Bhd plans to revamp its online portal The Star Online (thestar.com.my) to generate a new revenue stream for the group. Executive Deputy Chairman Datuk Vincent Lee said the new-look portal will roll out on July 1 with a more interactive content. “We also plan to spend about RM20 million to RM30 million ...

MOSTI to look into ways to commercialise products, produce more technopreneurs

Wed, 22 May 2013 10:32:49 GMT

KUALA LUMPUR, May 22 — The Ministry of Science, Technology and Innovation (Mosti) will look into ways to encourage more commercialisation of products innovated by local inventors, said its deputy minister Datuk Dr Abu Bakar Md Diah. He said the ministry would also look to train more technopreneurs who not only know how to invent but also to ...

Ringgit closes sharply lower against dollar

Wed, 22 May 2013 10:31:07 GMT

KUALA LUMPUR, May 22 — The ringgit closed sharply lower against the US dollar on weaker buying interest for the local note, ahead of the US Federal Open Market Committee (FOMC) meeting later today. At 5pm, the local unit was quoted at 3.0205/0225 to the greenback from yesterday’s close of 3.0170/0200. A dealer said Federal Reserve Chairman Ben ...

FTSE edges down, awaits US stimulus clues

Wed, 22 May 2013 10:09:52 GMT

LONDON, May 22 — Britain’s FTSE 100 weakened early today after hitting 13-year highs in the previous session, as investors looked for further clues from the US Federal Reserve over the outlook for its stimulus measures. London’s blue chip index fell 16.89 points, or 0.3 per cent to 6,786.98 at 0807 GMT. Its close of 6,950.60 yesterday was its ...