LCL Corporation Berhad
(Public, KUL:LCL)
Officers and directors
Chin Meng Low
Executive Chairman of the Board
Pang Kiam Lim
Chief Executive Officer
Suet Wei Siew
Company Secretary
Kok Keong Chong
Independent Non-Executive Director
Choon Meng Leong
Independent Non-Executive Director
Hock Sen Tong
Independent Non-Executive Director
Address
Lot 2132 Jalan BA/3 Kawasan Perusahaan Bukit Angkat, Kajang
Selangor Darul Ehsan, 43000
Malaysia
+60-3-87379899 (Phone)
+60-3-87376998 (Fax)
External links
Discussion Group - Google Finance
LCL Corporation Berhad is a Malaysia-based company engaged in investment holding and provision of management services to the subsidiary companies. The Company, through its subsidiaries, operates in five segments: interior fit-out services, manufacturing of furniture, supply and installation of materials and fittings, trading of furniture and building materials and others. It provides interior fit-out works and services, including project management, design and consultancy, procurement, construction and installation. The Company is also engaged in the manufacture of customized furniture and fixtures, generic furnitures; supply and installation of ceiling materials, metal fittings and fixtures and stone materials, and trading of furniture and building materials, including interior fit-out materials. Operations are carried out in Malaysia, United Arab Emirates, India, Kazakhstan, Doha and other countries.
LCL Corporation Berhad (“LCL”), is a main board listed company in Bursa Malaysia, Being recognised as a global player in the Interior-Fit-Out (IFO) industry, LCL is steadily moving forward in synergy with our customers’ specific needs and imaginative requirements.
Our forte is our “Integrated Strength”- LCL subsidiaries, strategic business partners and associates to empower us with the capabilities and capacities to innovatively design on concept, to manufacture, to build, to install, project management and complete with after-sales support.
We showcase our experience and expertise in all areas of project management including interior construction and structure, fit-out works, manufacturing generic and customized wood furniture, supplying and installing metal fittings, fixtures, building materials, stone work, plaster ceiling work, furniture trading and property development services. Our in-house manufacturing facilities and expertise have powered LCL’s dynamic growth throughout the years.
LCL’s projects around the world have encompass a variety of industries including hospitality, corporate, commercial, to civil and administration sectors. These projects have been successfully executed and delivered to our clients on time, with the highest standard of quality – at highly competitive prices. LCL has been recognised as the most favorable “World Class Interior Solution” of the IFO world
15 Dec 2009
PUBLIC REPRIMAND ON LCL CORPORATION BERHAD
Breach of Paragraph 9.23(b) of the Listing Requirements of Bursa Malaysia Securities Berhad (“LR”)
1. Bursa Malaysia Securities Berhad (“Bursa Securities”) hereby publicly reprimands LCL Corporation Berhad (“LCL” or “the Company”) for breach of paragraph 9.23(b) of the LR.
In addition, LCL is required to ensure all its directors and the relevant personnel of the Company attend a training programme in relation to compliance with the LR particularly pertaining to financial statements.
2. Paragraph 9.23(b) of the LR states that a listed issuer must ensure that the issuance of the annual audited accounts together with the auditors’ and directors’ reports shall, in any case, be given to Bursa Securities for public release, within a period not exceeding 4 months from the close of the financial year of the listed issuer unless the annual report is issued within a period of 4 months from the close of the financial year of the listed issuer.
3. LCL had breached paragraph 9.23(b) of the LR for failing to submit the Company’s annual audited accounts for the financial year ended 31 December 2008 (“AAA 2008”) on or before 30 April 2009. The Company only submitted the AAA 2008 on 5 May 2009 after a delay of 2 market days.
4. The above penalty on LCL is imposed pursuant to paragraph 16.17(1) of the LR upon completion of due process and after taking into consideration all facts and circumstances of the matter.
5. Bursa Securities views the above contravention seriously and reminds LCL and its Board of Directors on their responsibility to maintain appropriate standards of corporate responsibility and accountability in order to achieve greater disclosure and transparency to its shareholders and the investing public.
6. Whilst Bursa Securities has not made a finding that any of the directors of the Company caused or permitted the aforesaid breach by the Company, Bursa Securities nevertheless wishes to highlight that it is the responsibility of directors of listed companies to maintain appropriate standards of responsibility and accountability within the Company and amongst its officers and employees including, amongst others an awareness of the importance of compliance with the LR. The Board of Directors of the Company at the material time are as follows:-
a. Dato’ Syed Ariff Fadzillah bin Syed Awalluddin (Resigned on 6 November 2009)
b. Dato’ Low Chin Meng
c. Mohd Akib bin Abd Rashid (Resigned on 30 November 2009)
d. Pang Yew Foh (Resigned on 6 November 2009)
e. Tan Sri Abdul Halim Ali (Resigned on 13 November 2009)
f. Tan Sri Ahmad Fuzi Abd Razak (Resigned on 13 November 2009)
g. Datuk Emam Mohd Haniff Bin Emam Mohd Hussain (Resigned on 13 November 2009)
h. Dato’ Abd Wahab bin Harun (Resigned on 13 November 2009)
i. Chiam Tau Meng (Resigned on 13 November 2009)
Company Name : LCL CORPORATION BERHAD
Stock Name : LCL
Date Announced : 21/12/2010
Type : Announcement
Subject : LCL Corporation Berhad ("LCL" or "the Company")
- Announcement pursuant to the Suspension and De-Listing of the Securities of LCL Corporation Berhad
Contents : We refer to LCL's announcement made on 15 December 2010 with regards to the Suspension and De-Listing of the Securities of LCL.
The Company wishes to announce that it shall not be making an appeal on or before 22 December 2010 ("the Appeal Timeframe") as the Company does not have any Regularisation Plan.
This announcement is dated 21 December 2010.
Company Name : LCL CORPORATION BERHAD
Stock Name : LCL
Date Announced : 25/05/2010
Type : Announcement
Subject : LCL Corporation Berhad ("LCL" or "Company")
- Kuala Lumpur High Court Suit No. D22-NCC-360-2010
The Royal Bank of Scotland Berhad vs 1. LCL Furniture Sdn Bhd 2. LCL Corporation Berhad
Contents : We refer to LCL’s announcement dated 19 May 2010 in respect of the above matter and wish to inform that LCL Furniture Sdn Bhd (Receiver and Manager Appointed) had on 24 May 2010 received a copy of the Judgment in Default dated 23 April 2010.
LCL has filed a Statement of Defence to the court on 30 April 2010.
The Company will announce further developments on the above matter as and when necessary.
This announcement is dated 25 May 2010.
Announcement Details :
General Announcement
Reference No CCS-100615-74CE9
Company Name : LCL CORPORATION BERHAD
Stock Name : LCL
Date Announced : 18/06/2010
Type : Announcement
Subject : LCL CORPORATION BERHAD (“LCL” or “the Company”)
- Special Review by Messrs UHY
Contents : The Board of Directors of LCL wishes to inform that the Audit Committee has recommended and the Board has agreed to appoint Messrs UHY to carry out a special review on LCL’s trade receivables and contracts of work-in-progress.
Announcement Details :
The purpose and scope of work of the Special Review are as follows:-
1. Purpose of the Special Review
The purpose of the Special Review is a result of the announcement of LCL’s unaudited financial statements for the fourth quarter ending 31 December 2009 on 23 February 2010. The Company had announced a loss before tax of RM327.1 million of which were mainly attributed to among others, writing down of contracts of work-in-progress (RM170.966 million) and allowance of doubtful debts (RM113.988 million).
2. Scope of Work of the Special Review
The proposed scope of work for the Special Review which will emphasize on the material amount of trade receivables and contracts of work-in-progress based on UHY’s materiality assessment worksheet and on a sampling basis are as follows:
Trade receivables
- reviewing the accounting systems and related internal control
- reviewing and verifying receivables with significant balances and to ascertain the validity and existence of the said receivables as at 31 December 2009
- performing analytical procedures on trade receivables for the past 3 years and commenting on significant variation of major debtors
- reviewing the Group’s credit evaluation systems and bad debts provision policies
Contracts of work-in-progress
- reviewing the accounting systems and related internal control
- reviewing and testing the method of allocating overheads
- reviewing specific contracts which suffer significant losses and cost written off or offset in the past 3 years to identify any significant or unusual transaction
- performing analytical procedures on contracts of work-in-progress for the past 3 years and commenting on significant variation of major contracts
Upon completion of the Special Review, a report on UHY’s assessment will be issued to LCL.
3. Time frame of the Special Review
UHY is expected to commence work on the Special Review from 21 June 2010 and will take approximately 8-10 weeks to complete.
This announcement is dated 18 June 2010.
Sunday, June 17, 2007
LCL Corporation Berhad - Goldman Sachs
Filing to Bursa Malaysia shows that Goldman has emerged as the substantial shareholder of LCL. Goldman bought 900,000 shares on 7 June 07. After the purchase, Goldman has 2.3mil shares, represents a total of 5.52% in LCL.
LCL was traded between the range of RM4.66 to RM5.10 on 7 June 07. LCL closed at RM5.95 last Friday. Perhaps we can buy in if there is a correction in LCL where the price will come down a bit?
Suspension and De-Listing
15 Dec 2010, 18:46
Suspension and De-Listing
LCL Corporation Berhad ("LCL" or "the Company")
- Announcement pursuant to the Suspension and De-Listing of the Securities of
LCL Corporation Berhad
We wish to inform that LCL has on 15 December 2010, received a letter from
Bursa Malaysia Securities Berhad via fax ("Bursa Securities") pertaining to the
Suspension and De-Listing of the Securities of LCL. The main contents of the
letter is as follows :-
Pursuant to the Main Market Listing Requirements of Bursa Securities, Paragraph
8.04(5), please be informed that :-
(a) the trading in the securities of the Company will be suspended with effect
from 23 December 2010; and
(b) the securities of the Company will be de-listed on 27 December 2010 unless
an appeal is submitted to Bursa Securities on or before 22 December 2010 ("the
Appeal Timeframe"). Any appeal submitted after the Appeal Timeframe will not be
considered by Bursa Securities.
Further announcement on the development of the above matter will be made to
Bursa Securities in due course.
This announcement is dated 15 December 2010.
• SUNWAY HOLDINGS BERHAD ("SUNWAY")
- SHAREHOLDERS AGREEMENT BETWEEN SUNWAY CONSTRUCTION SDN BHD (A WHOLLY-OWNED SUBSIDIARY OF SUNWAY) AND LCL CORPORATION BERHAD
________________________________________
1. INTRODUCTION
The Board of Directors of Sunway wishes to announce that Sunway Construction Sdn Bhd (“SunCon”), a wholly-owned subsidiary of Sunway has on 21 October 2009, entered into a Shareholders Agreement with LCL Corporation Berhad ("LCL") for the purpose of procuring a company known as Best Expertise Sdn Bhd to carry on the interior works such as interior fit-out, system furniture and customized joinery system for potential interior fit-out (“IFO”) projects in Abu Dhabi (hereinafter referred to as “the Proposed Joint Venture”).
The name of Best Expertise Sdn Bhd would be changed to Sunway-LCL Interiors Sdn Bhd ("Sunway-LCL JV"), subject to the approval of the Companies Commission of Malaysia.
2. INFORMATION ON SUNCON, LCL AND SUNWAY-LCL JV
2.1 SUNCON
SunCon is a company incorporated in Malaysia and having its registered office at Level 16, Menara Sunway, Jalan Lagoon Timur, Bandar Sunway, 46150 Petaling Jaya, Selangor Darul Ehsan. The authorised and paid-up share capital of SunCon are RM1,000,000,000/- and RM193,954,000/- respectively. The principal activities of SunCon are turnkey, construction related design and build, civil engineering and building works.
2.2 LCL
LCL is a company incorporated in Malaysia and having its registered office at Lot 2132, Jalan BA/3, Kawasan Perusahaan Bukit Angkat, 43000 Kajang, Selangor Darul Ehsan. The authorised and paid-up share capital of LCL is RM 500,000,000/- and RM71,566,150/-. The principal activities of LCL are investment holding and provision of management services to its subsidiaries which are mainly involved in interior fit-out businesses.
2.3 SUNWAY-LCL JV
Sunway-LCL JV is a company incorporated in Malaysia and having its registered office at Level 16, Menara Sunway, Jalan Lagoon Timur, Bandar Sunway, 46150 Petaling Jaya, Selangor Darul Ehsan. The authorised and paid-up share capital of Sunway-LCL JV are RM100,000/- and RM2/- respectively. Sunway-LCL JV, amongst others, will set up a branch in Abu Dhabi for the purpose of tendering and carrying out IFO works and related services in Abu Dhabi and any other locations as may be agreed upon by both parties from time to time.
3. SALIENT TERMS OF THE SHAREHOLDERS AGREEMENT
SunCon and LCL have entered into the Shareholders Agreement, amongst others, to undertake and carry out IFO projects in Abu Dhabi and any other locations as may be agreed upon from time to time as well as to record their joint venture arrangement and their rights and obligations as shareholders in Sunway-LCL JV. The Proposed Joint Venture will be undertaken through Sunway-LCL Interiors Sdn Bhd - Abu Dhabi Branch to be set up.
Pursuant to the Shareholders Agreement, the issued and paid-up capital of Sunway-LCL JV shall be increased to RM10,000/- and the shareholding structure is as set out in Table 1 below.
4. RATIONALE
SunCon through its subsidiaries, is currently involved in 2 joint venture projects in Abu Dhabi which are involved in the construction of building works. LCL has vast experience and has recently completed some major IFO jobs in Dubai. The experience gained from SunCon Group’s projects, coupled with LCL’s experience in IFO works in Dubai, would enable SunCon and LCL to tap on potential IFO jobs in Abu Dhabi.
5. FEASIBILITY STUDY
Abu Dhabi is a market that both SunCon and LCL are familiar with. All tender documents for potential IFO projects will be studied and assessed jointly by SunCon and LCL prior to the submission of tenders to ensure they meet the anticipated profit margin.
6. PROSPECTS
The economy of the capital emirate of the UAE - the world's 5th largest oil exporter - should expand 54.4% in real terms over the 5-year period and could almost double again between 2010 to 2020 according to a report by the Abu Dhabi Department of Planning and Economy.
Abu Dhabi is investing windfall oil revenue from an almost 6-fold rise in oil prices since 2002 into diversifying its economy away from a reliance on oil exports, funnelling money into real estate and heavy industry. The Government of Abu Dhabi is committed to its target of a greater role of non-oil economic diversification to reach 45% of Abu Dhabi's Gross Domestic Product in 2010 from the level of 40% in 2005.
(Source : Abu Dhabi Department of Planning and Economy)
Against this backdrop, SunCon and LCL are confident that Sunway-LCL JV will be able to tap on potential IFO projects in Abu Dhabi.
7. RISKS FACTORS
The potential IFO projects that may be entered into by Sunway-LCL JV is subject to certain risks in the property and construction sector. These include changes in general economic conditions such as, but not limited to inflation, taxation, foreign exchange, interest rates, constraints in labour and material supply, changes in business and operating conditions such as, but not limited to government and statutory regulations, deterioration in prevailing market conditions, machinery breakdown, technological and facilities obsolescence and industrial disputes. The experiences gained from SunCon Group and LCL Group in their projects in Abu Dhabi and Dubai respectively provide assurance in mitigating the execution risks.
Similar to any other business enterprise, the breakout of fire, floods, social unrest or other emergencies could adversely affect the performance and business of the Proposed Joint Venture. In an effort to mitigate such risks, proper fire and other safety procedures will be emphasised at the company's premises and facilities and its physical assets will be adequately insured.
8. SOURCE OF FUNDS
SunCon will fund its investment in Sunway-LCL JV through internally generated funds.
9. EFFECTS OF THE PROPOSED JOINT VENTURE
9.1 On Share Capital and Substantial Shareholders' Shareholding
The Proposed Joint Venture will not have any effect on the share capital and substantial shareholders' shareholding of Sunway as the Proposed Joint Venture does not involve any allotment or issuance of new shares by Sunway.
9.2 On Earnings Per Share, Net Assets Per Share and Gearing
The Proposed Joint Venture is not expected to have any immediate material effect on the earnings per share, net assets per share and gearing of Sunway for the current financial period ending 31 December 2009 but is expected to contribute positively to the future earnings of Sunway Group.
10. APPROVALS REQUIRED
The Proposed Joint Venture does not require approval from the shareholders of Sunway or any government authorities in Malaysia.
11. DIRECTORS' AND MAJOR SHAREHOLDERS' INTERESTS
Insofar as the Directors are aware, none of the directors or major shareholders of Sunway or persons connected with them has any interest, whether direct or indirect, in the Proposed Joint Venture.
12. STATEMENT BY THE BOARD OF DIRECTORS
The Board of Directors of Sunway is of the opinion that the Proposed Joint Venture is in the best interests of Sunway Group.
13. DOCUMENT AVAILABLE FOR INSPECTION
The Shareholders Agreement is available for inspection at the registered office of Sunway at Level 16, Menara Sunway, Jalan Lagoon Timur, Bandar Sunway, 46150 Petaling Jaya, Selangor Darul Ehsan during normal business hours (9.00 a.m. to 6.00 p.m.) from Monday to Friday (except public holidays) for a period of 3 months from the date of this announcement.
This announcement is dated 21 October 2009.
Table 1: Announcement Details
Name of shareholder No. of shares Percentage of shareholding
SunCon 6,000 60%
LCL 4,000 40%
Total: 10,000 100%
Top ^
Last update on 11 January 2010
Sunday, June 28, 2009
LCL Corporation Bhd
LCL Corporation closed at RM 0.725 during Friday's trading session.
The stock closed up on high volume a sign that investors are buying into the stock.
The technical charts are also showing bullish signs.
The MACD indicator just made a bullish crossover.
The +DI is above the -DI. However ADX is still at the lower end which means that the stock price although moving up, will most likely be a weak up trend.
RSI is increasing and is not in overbought region.
The resistance is still at RM 0.76. Support is at RM 0.62 level.
A way to ride on this uptrend is to buy when the stock moves above RM 0.73 and to take profit when RSI shows decreasing momentum. Stop loss level can be set at slightly below RM 0.64 which is near the 50 day moving average closing price.
Posted by mystocktrader at 8:09 PM
16 Dec 2009
NEW ADMISSION INTO PRACTICE NOTE 17 - LCL CORPORATION BERHAD
Bursa Malaysia Securities Berhad ("Bursa Securities") would like to announce that LCL CORPORATION BERHAD ("LCL") has triggered the criteria pursuant to Practice Note No. 17 ("PN17") of the Main Market Listing Requirements of Bursa Securities ("Listing Requirements").
LCL had announced on 15 December 2009 that it is considered a PN17 Company pursuant to Paragraph 2.1(f) of PN17.
Bursa Securities would like to emphasize that Bursa Securities will continue to monitor the progress of LCL in respect of their compliance with the Listing Requirements.
Information on companies under Practice Note 17*
As at 16 December 2009, there are a total of 30 companies under Practice Note 17* which represent 3.13% of the total number of 960 companies listed on Bursa Securities.
List of companies under Practice Note 17*:-
1. ARK RESOURCES BHD
2. AKN TECHNOLOGY BERHAD
3. AXIS INCORPORATED BERHAD
4. EKRAN BHD
5. ENGLOTECHS HOLDING BHD
6. EVERMASTER GROUP BERHAD
7. FOUNTAIN VIEW DEVELOPMENT BERHAD
8. HO HUP CONSTRUCTION BERHAD
9. IDAMAN UNGGUL BERHAD
10. JPK HOLDINGS BERHAD
11. LCL CORPORATION BERHAD
12. LUSTER INDUSTRIES BHD
13. MECHMAR CORPORATION (MALAYSIA) BERHAD
14. NIKKO ELECTRONICS BHD
15. OCI BERHAD
16. OILCORP BERHAD
17. PILECON ENGINEERING BHD
18. POLY TOWER VENTURES BERHAD
19. PRIME UTILITIES BERHAD
20. RHYTHM CONSOLIDATED BERHAD
21. SATANG HOLDINGS BERHAD
22. SELOGA HOLDINGS BERHAD
23. STAMFORD COLLEGE BERHAD
24. SYARIKAT KAYU WANGI BERHAD
25. TALAM CORPORATION BERHAD
26. TENGGARA OIL BERHAD
27. THE AYER MOLEK RUBBER COMPANY BERHAD
28. TRIPLC BHD
29. WONDERFUL WIRE & CABLE BHD
30. WWE HOLDINGS BERHAD
* Include companies that triggered any of the criteria pursuant to Practice Note 17 and Amended Practice Note 17 of the Listing Requirements of Bursa Securities which came into effect on 3 January 2005 and 5 May 2006 respectively
LCL - GENERAL ANNOUNCEMENT
Announcement Type: General Announcement
Company Name: LCL CORPORATION BERHAD
Stock Name: LCL
Date Announced: 16/07/2010
Announcement Detail:
Type: Announcement
Subject: LCL CORPORATION BERHAD ("LCL" or "the Company")
Shah Alam High Court Summons Writ No. 22-820-2010
Bank Muamalat Malaysia Berhad vs 1. LCL Furniture Sdn Bhd("LCLF") 2. LCL Corporation Berhad ("LCL")
Contents: We refer LCL's announcement dated 7 April 2010 in respect of the Default in Payment to Bank Muamalat Malaysia Berhad under Practice Note No. 1/2001 of the Main Market Listing Requirements of Bursa Malaysia Securities Berhad. We wish to inform that LCLF (1st Defendant) and LCL (2nd Defendant) have been served a Writ of Summons in respect thereof. Further information is as follows:
1. The date of the presentation of the Writ of Summons and the date the Writ of Summons was served on the Company, its subsidiary or major associated company.
The Writ of Summons and Statement of Claim dated 10 June 2010 was served on LCLF and LCL on 15 July 2010.
2. The particulars of the claim under the Writ of Summons, including the amount claimed for and the interest rate.
The Plaintiff's claims are for the following:
The sum of RM9,023,192.68 as at 18th March 2010 in respect of default in payments for the following credit facilities :-
(i) Al-Bai Bithaman Ajil Facility of RM5,600,000/-;
(ii) Documentary Credit Murabahah / Al-Murabahah Working Capital Financing/ Al-Kafalah Bank Guarantee Facility of RM6,500,000/-; and
(iii) Muamalat Cash Financing Facility of RM2,000,000/-
Note : No interest rate was stated in the Writ of Summons.
3. The details of the default or circumstances leading to the filing of the Writ of Summons against the Company, its subsidiary or major associated company.
The filing of the Writ of Summons is a result of the default in payment of the credit facilities granted to LCLF as mentioned in Note 2.
4. The financial and operational impact of the Writ of Summons on the Group.
(a) In the event LCL loses the case, the expected losses arising from the litigation is as mentioned in Note 2 above.
(b) The litigation will not have any operational impact on LCL Group as receivers and managers have been appointed over the property and undertaking of LCLF with effect from 16 December 2009.
5. The expected losses, if any, arising from the Writ of Summons.
The sum mentioned in Note 2 above alleged to be due together with interest and costs thereon.
6. The steps taken and proposed to be taken by the Company in respect of the Writ of Summons.
LCL will seek necessary legal advice from its solicitors with regards to the claim. LCLF is currently under receivership.
The Company will announce further developments on the above matter as and when necessary.
This announcement is dated 16 July 2010.
________________________________________
LCL - GENERAL ANNOUNCEMENT
Announcement Type: General Announcement
Company Name: LCL CORPORATION BERHAD
Stock Name: LCL
Date Announced: 16/07/2010
Announcement Detail:
Type: Announcement
Subject: LCL CORPORATION BERHAD ("LCL" or "the Company")
Shah Alam High Court Summons Writ No. 22-819-2010
Bank Muamalat Malaysia Berhad vs 1. LCL Trading Sdn Bhd("LCLT") 2. LCL Corporation Berhad ("LCL")
Contents: We refer LCL's announcement dated 7 April 2010 in respect of the Default in Payment to Bank Muamalat Malaysia Berhad under Practice Note No. 1/2001 of the Main Market Listing Requirements of Bursa Malaysia Securities Berhad. We wish to inform that LCLT (1st Defendant) and LCL (2nd Defendant) have been served a Writ of Summons in respect thereof. Further information is as follows:
1. The date of the presentation of the Writ of Summons and the date the Writ of Summons was served on the Company, its subsidiary or major associated company.
The Writ of Summons and Statement of Claim dated 10 June 2010 was served on LCLT and LCL on 15 July 2010.
2. The particulars of the claim under the Writ of Summons, including the amount claimed for and the interest rate.
The Plaintiff's claims are for the following:
The sum of RM1,639,425.44 as at 18th March 2010 in respect of default in payments under the Multi Option Trade Financing Facility of RM2,000,000/-.
Note : No interest rate was stated in the Writ of Summons.
3. The details of the default or circumstances leading to the filing of the Writ of Summons against the Company, its subsidiary or major associated company.
The filing of the Writ of Summons is a result of the default in payment of the banking facilities granted to LCLT.
4. The financial and operational impact of the Writ of Summons on the Group.
(a) In the event LCL loses the case, the expected losses arising from the litigation is as mentioned in Note 2 above.
(b) The litigation will not have any operational impact on LCL Group as LCLT has ceased operations with effect from 31 December 2009.
5. The expected losses, if any, arising from the Writ of Summons.
The sum mentioned in Note 2 above alleged to be due together with interest and costs thereon.
6. The steps taken and proposed to be taken by the Company in respect of the Writ of Summons.
LCL will seek necessary legal advice from its solicitors with regards to the claim and instruct its solicitors to defend the said claim.
The Company will announce further developments on the above matter as and when necessary.
This announcement is dated 16 July 2010.
Key Developments For LCL CORP BHD (LCLCF)
LCL Not To Appeal Against The Suspension Of Trading In Its Shares
12/22/2010
LCL Corp. Bhd has informed Bursa that it does not have a regularisation plan and hence will not appeal against the suspension of trading in the companys shares. The company announced that it shall not be making an appeal on or before Dec 22, 2010 as it does not have any regularisation plan. On December 15, 2010, the company was informed by Bursa that trading of the companys shares would be suspended with effect from December 23, 2010, and subsequently delisted on December 27, 2010 unless an appeal is submitted on or before December 22, 2010.
Bursa Malaysia To Delist LCL Corp. Bhd
12/16/2010
LCL Corp. Bhd risks being delisted this month if it fails to submit an appeal to the stock exchange by December 22, 2010. In a statement to the exchange, LCL said Bursa Malaysia had written to the company informing of the suspension of trading in LCL shares on December 23, 2010 before a delisting on December 27, 2010. Bursa Malaysia will reconsider LCLs delisting if the company appealed to the regulator by December 22, 2010.
LCL Corp. Bhd Announces Unaudited Consolidated Earnings Results for the Third Quarter and Nine Months Ended September 30, 2010
11/29/2010
LCL Corp. Bhd announced unaudited consolidated earnings results for the third quarter and nine months ended September 30, 2010. For the quarter, revenue was MYR 18,000, loss from operations was MYR 1,010,000, loss before taxation was MYR 3,722,000 and loss for the period attributable to equity holders of the parent was MYR 3,722,000 or 2.60 sen per diluted share against revenue of MYR 57,786,000, loss from operations of MYR 24,021,000, loss before taxation of MYR 30,167,000 and loss for the period attributable to equity holders of the parent of MYR 26,412,000 or 17.74 sen per diluted share for the same period a year ago. For the nine months, revenue was MYR 2,761,000, loss from operations was MYR 148,520,000, loss before taxation was MYR 167,226,000 and loss for the period attributable to equity holders of the parent was MYR 167,205,000 or 116.82 sen per diluted share against revenue of MYR 243,720,000, loss from operations of MYR 46,342,000, loss before taxation of MYR 65,103,000 and loss for the period attributable to equity holders of the parent of MYR 58,635,000 or 40.97 sen per diluted share for the same period a year ago. Net cash used in operating activities was MYR 1,259,000 and purchase of property, plant and equipment was MYR 8,000 against net cash used in operating activities of MYR 31,953,000 and purchase of property, plant and equipment of MYR 5,135,000 a year ago.
LCL Corporation recent
Dec 14, 2009
Full Name LCL CORPORATION BHD
Stock Code No 7177
Sector TRADSERV
Latest (delayed) price and chart at LCL Yahoo Finance
LCL Default in payment
LCL Corp Bhd’s subsidiary has defaulted RM72m of bank loans following the collapse of property prices in Dubai,making it the first casualty on the local stock exchange in the aftermath of the Dubai debacle. LCL said yesterday it received notice of demand from Affin Bank Bhd for RM22.76m owed in general lines and RM46.66m owed in blanket contract financing.
Its subsidiary LCL Furniture Sdn Bhd has also defaulted RM2.63m of murabahah working capital financing provided
by Bank Islam Malaysia Bhd. “LCL has been severely impacted by the recent financial turnmoil in Dubai, where property prices
have plunged resulting in delay and non payment of its receivables. Hence, LCL and its subsidiaries have been unable to meet its repayment obligations,” the company said. LCL added that prior to the notices of demand, it has been in regular negotiations with the banks to reschedule its loan payment. However, the defaulted bank borrowings will have a consequence on the on-going bank borrowings of the LCL, which will also be declared default by 12 other banks under the cross default clause. (Malaysian Reserve dec 11)
CIMB Equities Research is maintaining its underperform recommendation on LCL
CIMB Equities Research is maintaining its underperform recommendation on LCL Corp Bhd after the latter's unit defaulted in payment of RM72 million to two banks.
"Our target price remains 25 sen as we continue to tag to the stock an unchanged 75% discount to our 1.8 times target price/book value for the CONSTRUCTION [ ] sector. We reiterate our Underperform recommendation," it said in a research note on Friday, Dec 11.
CIMB Research said the latest news was a major de-rating catalyst, along with worsening newsflow and continuing collection problems in Dubai.
The research house said it expected more loan default announcements by LCL in the coming months unless Dubai's financial position turns around for the better soon.
"We believe this is a less likely scenario. Over the next few months, newsflow for LCL is expected to get worse before it gets better," it said.
The research house said it was unfortunate that LCL had reached this stage. The company offered so much potential two to three years back but its operations and balance sheet were hit hard after working conditions in Dubai deteriorated rapidly in the aftermath of the 4Q08 property crash.
It added the challenges were not just hitting LCL but also hitting hard the main contractors in Dubai, including the Korean and Japanese contractors. (source:theedge dec 11)
