The papers, both local and foreign, are reporting that Second Finance Minister Tan Sri Nor Mohamed Yakcop said there would be no foreign partner for Proton for the time being as the national car manufacturer was showing signs of a turnaround.
Kononnya, when Khazanah started negotiations in December 2006, Proton was in dire straits and urgently required a foreign partner.
The situation has now changed with Proton "starting to make money again" and expected to return to profit by 2009.
The indicators of the turnaround are:
- Proton’s market share has increased from 22% to 31%;
- Increased export orders from China, Iran, Indonesia and Thailand;
- Number of dealers reduced from 362 in March to 304;
- Closer cooperation with Lotus to ensure technology was transferred to Proton vehicles;
- Sales have increased with 21,580 bookings in the past three months; and
- Reduction of inventory by 50% from three months to about a month.
- Proton's Consumer Satisfaction Index had risen to 713 points from 677 points last year
- Saga replacement model would be launched in February and a seven-seater MPV in January 2009.
Nor Mohamed said the turnaround at Proton was such that the earlier thinking that it needed a foreign partner to stay afloat was no longer valid.
hmm... it sounds so rosy and all that.
But Lulu's confused.
Why then, Lulu's wondering, did the Proton Share tumble?
Why did CIMB Investment bank CIMB cut its target price on shares in Malaysian car-maker Proton Holdings to 3.50 ringgit after the government abruptly ended talks with Germany's Volkswagen over an alliance?
Could it be cos they tak 'caya our Second Finance Minister Tan Sri Nor Mohamed Yakcop?
updates Proton shares closed at Rm4.02, a 92sen drop from previous day.