The Mahathir-inspired Perwaja Holdings Bhd is saddled with large debt.
Its major shareholders are Kinsteel Bhd (37.3 per cent), controlled by Pheng Yin Huah, and Maju Group (31.8 per cent), controlled by Abu Sahid Mohamed. Maju also has a 15.8 per cent stake in Kinsteel.
According to the Edge weekly (24 November), its Kemaman plant has not been operating since August last year and its 2000 workers are being paid RM450 monthly in the meantime.
Perwaja’s current assets amount to RM0.2bn while its current liabilities come up to RM1.9bn, reported the Edge. Not looking healthy.
The Edge cites sources as saying that its secured lenders – RHB Bank Bhd, Standard Chartered, OCBC and Kuwait Finance House – could be looking at a “haircut” of 20 per cent on Perwaja’s debt to them.
The EPF (that’s our money) holds a 41.3 per cent stake in RHB Capital Bhd, which in turn holds a 100 per cent stake in RHB Bank Bhd.
The unsecured lenders that should concern us too: Perwaja owes Petronas RM275m, TNB RM177m and the government RM201m. That would be our money.
The Edge quotes a source as saying these unsecured lenders could be looking at a 50 per cent haircut. “A 50 per cent haircut may look bad, but the unsecured lenders will lose everything if the assets are liquidated.”
If this happens, private debt will be transferred to the public sector, the burden shouldered indirectly by the weary public.
At this rate, we could all be left sporting crew cuts. No wonder short haircuts are in fashion.
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The most wise thing to do is let these nuts rot with their government, no point engaging with nuts as nuts are nuts…
The wisest thing is to be able to be independent and not to be cheated and swayed whether its the CAT or anybody which why I am what I am today. I don`t whine. I fight when my rights and benefits is being deprived unaccountably and with no transparency. I don`t simply support like a robot anymore and then cry and whine like you. That is the most wisest thing I have even done since I gave up support to whether its the cat, dogs… I think you are not any wiser for one that see animals as more wiser… Read more »
Do you know that if these nuts rot with their govt, you will be rotting as well
EPF gives higher dividends by treating new contributions as income. The day will come when there is a net withdrawal then the true picture will appear.
Sounds ominously like the Pontiff scheme. Hope it is not true.
It’s about time to withdraw your EPF savings and fixed deposit at more reliable banks that can offer up to 4.1% yearly interest. EPF can promise us 6~7% interest BUt the risk is that our savings can be wiped out overnite to bail out 1MDB for example.
Be alert don’t later regret.
… Chinese Renminbi. The Chinese bond paper has 4.5% annual return, plus potential 2.5% appreciation over Ringgit in the 5 year tenure.
siva, epf monies are guaranteed by the govt. don`t be deceived by the pakatoon. for more than 10 years they have been saying our country will go bankrupt and we are still going strong. use your common sense. how could 1MDB few billions wipe out epf portfolio of more than 630 billions. Even if 1mdf make a loses, it asset is still on par with its liabilities and its assets of properties such as land could grow in value. don`t simply listen to the lies of these pakatoon leaders
siva : If EPF can be wiped off, you can be assured that banks, financial institution and the while economy will be in trouble. Its a double edge sword. The US & the West thought their sanction will hurt Russia. Now the West is hurt even more with China the greatest beneficiary
Last nite live on Astro Awani, TV1 nTV3 Um no 2nd man Muhidyin acknowledged that so called warlords old guards must start to give way to aspiring younger leaders else UMNO continues to have Trust perception issue (layman called it glorious). The camera candidly zoomed into Wanita boss Syarizat with beefcondo stigma. So UMNO now realize dwindling urban n young support, n with so many scandals happening the next GE14 shall see a wave of new hope for the nation e.g. transformi vs reformasi?
DPM coincidentally sporting crew cut hairdo lately.
UMNO lost of urban support especially from the non malays is due to the lies and deceit of the pakatoon leaders such as thousand of bangla voters, chinese education will be wipe off, non malays were being treated unfairly and so many which were found to be not true.
Rafizi Ramli: Kalau 1MDB Tak Boleh Bayar Hutang 1MDB, Kerajaan Malaysia Akan Bayar
22/11/2014
Itu lah yang Rafizi cakap. Adalah kerajaan cakap. You tau kah. Rafizi serupa Anwar …
Lagu klasik M Daud Kilau ‘Hutang’ untuk semua yang berhutang:
http://www.youtube.com/watch?v=W8GgPfNZJUw
Good luck to EPF holders.
This year EPF may post a higher dividend for its member
Civil servants should heed the controversies surrounding 1MDB as one of its subsidiaries has not been able to service a RM4 billion loan taken from Kumpulan Wang Amanah Pencen (KWAP) which pays government pensions.
http://www.themalaysianinsider.com/malaysia/article/pensions-at-risk-because-of-loan-to-1mdb-subsidiary-warns-lawmaker