umw cover noticeagm summary corpinfo auditcmt chairman statement (e) (630kb)

8/6/2019 UMW Cover NoticeAGM Summary CorpInfo AuditCmt Chairman Statement (E) (630KB)

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a n n u a l r e p o r t

l a p o ra n t a h u n a n2 0 0 0


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30 years of a challenging and exciting journey. Like the pearl which has to pass numerous

organic processes before transforming into an ornament of beauty, we too have passed and

survived processes that ha ve included scores of setbacks, before e arning ou r leadership p osition

in the industry. Our p erseverance, e thical practices a nd commitment towards offering only the

best ha ve ea rned the trust of our principals, global joint venture p artners an d most important of

all, our customers. As we move forward into the future, we are a lso prepa ring our emp loyees to

be suitably trained and skilled to meet the dem and s of the n ew m illennium. Togethe r with our

joint venture p artners an d p rincipals, we p ledge to give our best in terms of value and customer

satisfaction. In drawing an analogy with the magnificent pearl, UMW will continue to strive to

earn its place a s a corporate jewe l to be coveted in an y investment portfolio.

Perjalanan 30 tahun yang mencabar namun penuh bermakna. Seperti mutiara yang harus

melalui pelbagai proses organik sebelum bertukar menjadi perhiasan yang indah, kami juga


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o u r m i s s i o n

The UMW Grou p is a lea ding ind ustrial en terprise, serving

the economies of Malaysia a nd the Asia-Pacific region.

We will manage our businesses with excellence in partnership

with leading global compan ies.

We will always exceed our customers expectations by


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c o n t e n t s

C o m m i t m e n t t o p e r s o n a l i s e d

custome r serviceIn the face of technology constantly revolutionising the modes of communication

in the corporate world, there is an even greater need to foster the human touch.

Notice of Annual General Meeting

Financial Calendar

Summary of Group Results

Five-Year Group Su mmary Results

Corporate Information

Board of Directors

Directors Profile

Audit Committee

Audit Committee Report

Nomination Committee

Remuneration Committee

UMW Group Structure

Chairmans Statement

Review of Operations

Corporate Governance

Accountability and Audit

Material Contracts Involving Related Parties

Safety, Health and Environment

Human Resource, Training and Development

Community Relations

2000 Diary of Events

Statistics on Shareholdings

Statistics on Warrant Holdings

Properties Held by the UMW Group

Form of Proxy

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02

n o t i c e o f a n n u a l g e n e r a l m e e t i n g

UMW

HOLDIN

GS

BERHAD

NOTICE IS HEREBY GIVEN that the Nineteenth Annual General Meeting of the Company will be held at the

UMW Auditorium, UMW Holdings Berhad, Jalan Utas (15/7), Batu Tiga Industrial Estate, 40200 Shah Alam,

Selangor Darul Ehsan on Thursday, 21 June 2001 at 10.00 a.m. for the following purposes:-

1. To receive and consider the Reports of the Directors and Auditors and the Audited Financial Statements for

the year en ded 31 Decembe r 2000. resolution 1

2. To declare a final dividend of 7.5 sen per share for the year ended 31 December 2000, giving a total gross

dividen d of 12.5 sen per sha re for the yea r. resolution 2

3. * To re-elect the following Directors who are retiring in accordan ce with Article 96 of the Compa nys Articles

of Association -

a. Tan Sri Datuk Asmat bin Kamaludin resolution 3

b. Tan Sri Datuk Moham ed Khatib bin Abdul Ham id. resolution 4

4. * To re-elect the following Directors who are retiring in accordance with Article 109 of the Compa nys Articles

of Association -

a. Thomas Mun Lung Lee resolution 5

b. Md . Yusof bin H ussin. resolution 6

5. * To consider an d if though t fit, to pass the following resolution pursuan t to Section 129(6) of the Comp anies

Act 1965 -

THAT, pursu an t to Se ction 129(6) of the C ompa nies Act 1965, Lt. Gen. (R) Dato Mohd . Yusof bin Din, who

has attained the age of seventy (70) years, be re-appointed as Director of the Company, to hold office until

the conclusion of the n ext Annual Ge neral Mee ting of the Comp any. resolution 7


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0


UMW

HOLDIN

GS

BERHAD

n o t e s :

1. A ppoin tme nt of Proxy

A memb er entitled to attend and vote at the mee ting is entitled to appoint one or more proxies to attend and vote in his stead. A proxy

need not be a me mber of the C ompan y but, in accordance with Section 149 of the Compa nies Act 1965 and the Articles of Association

of the Compan y, if not a me mber of the C ompan y, he m ust be a qualified legal practitioner, an app roved compan y auditor or a person

approved by the Registrar of Companies in a p articular case. A proxy form is enclosed herewith.

Shareholders attention is hereby draw n to the revamp ed Listing Requirements of the Kuala Lumpur Stock Exchang e wh ich will come

into effect on 1 June 2001, which allows a member of the Company who is an authorised nominee as defined under the Securities

Industry (Central Depositories) Act 1991, to appoint at least one (1) proxy in respect of each securities account it holds with ordinary

shares of the Comp any stand ing to the credit of the said securities account.

In accordance with Clause 11 of the Third Schedule of the Deed Poll of the Comp any da ted 16 Jan uary 1995, a copy of this Annual

Report to shareholders has bee n simultaneously extended to every warrant h older of the Compan y for information only.

2. Increase in Direc tors Fees - Item 6** of the Agenda

There has been no change in Directors fees since 1988. In recent years there has b een a substan tial increase in Directors duties and

responsibilities and these are reflected in the Malaysian Code on Corporate Governa nce and the revamp ed Listing Requirements of

the Kuala Lumpur Stock Exchange. As th e level of remun eration should rightfully reflect such increased responsibilities, a p roposal is

being sub mitted to shareholders to approve an increase in Directors fees.

3. Share Options to Encik Abdul Halim bin Harun - I tem 8# of the Agenda

The UMW Employee Share Option Scheme ( ESOS ) was approved by shareholders on 22 Jun e 2000 and the relevant auth orities on

23 August 2000. The ESOS was officially implemented on 29 August 2000 for a period of five (5) years, expiring on 28 August 2005.

Encik Abdul Halim bin Harun, as Group Managing Director and Chief Executive Officer, is eligible to participate in the ESOS,

following his app ointment as a full-time Executive Director of the Comp any on 5 April 2001. Shareholders approval is hereby sought

for the granting of the options to subscribe for shares in the Company to Encik Abdul Halim bin Harun pursuant to the ESOS. The

ESOS provides for a ma ximum allotment entitlement of 169,000 new ordinary shares in the C ompan y to the said Director.

4. Please see Attachment I below for details on items (3)*, (4)* and (5)* of the Agen da.

a t t a c h m e n t I


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04


UMW

HOLDINGS

BERHAD

Details of Directors standing for re-election

Tan Sri Datuk Asmat bin Kamaludin (57 years of age - Malaysian)

* Graduated with a BA (Hons.) in Economics from the University of Malaya

* Non-Independent and Non-Executive Director/Chairman

* Served in the M inistry of International Trade & Industry for over 31 years until his retirement as Secretary-General in

Janua ry 2001

* Appointed to the Board of UMW Holdings Berhad a s Group Chairman on 20 February 2001. Other Directorships

include Malaysian Pacific Industries Berhad , Hong Leong Prope rties Berhad, Permodalan N asional Berhad, Lion

Land Berhad, Shang ri-La H otels (Malaysia) Berhad, Carlsberg Brewery M alaysia Berhad and YTL Cement Berhad

* Does not hold an y shares or warrants, direct or indirect, in UMW Holdings Berhad or any of its subsidiary companies* No family relationship with an y Director and/ or major shareholder of UMW Holdings Berhad

* No conflict of interest with UMW Holdings Berhad

* Has not been convicted of any offences in the past ten (10) years

Tan Sri Datuk M ohamed Khatib bin Abdul Hamid (62 years of age - Malaysian)

* Graduated with a BA (Hons.) from the University of Malaya

* Non-Independent and Non-Executive Director

* Served in the Ministry of Foreign Affairs for over 36 years in various capa cities. Former am bassad or to Kuwait,

Bahrain, UAE, Qatar and Om an, Indonesia and Japan

* Appointed to the Board of UMW Holdings Berhad on 7 September 2000. Membe r of the Nomination Committee of

the Board. Also Chairman of Small and Medium Industries Development Corporation* Does not hold an y shares or warrants, direct or indirect, in UMW Holdings Berhad or any of its subsidiary companies

* No family relationship with an y Director and/ or major shareholder of UMW Holdings Berhad

* No conflict of interest with UMW Holdings Berhad

* Has not been convicted of any offences in the past ten (10) years

Thomas Mun Lung Lee (63 years of age - Malaysian)

* Graduated from Camb ridge University, England an d is a Barrister-at-Law, England

* Independent Non Executive Director


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0

UMW

HOLDINGS

BERHAD

f i n a n c i a l c a l e n d a r y e a r e n d e d 3 1 d e c e m b e r 2 0 0 0

f i n a n ci a l y e a r e n d e d / e n d i n g tahun kewangan berakhir 31 Dec 2000 31 Dec 2001

Announceme nt of Results Pengumuman Keputusan

First Quarter Suku Pertama 8 May 2000 21 May 2001

Second Quarter Suku Kedua 7 Aug 2000 Aug 2001

Third Quarter Suku Ketiga 16 Nov 2000 Nov 2001

Fourth Quarter Suku Keempat 13 Feb 2001 Feb 2002

Issue of Annua l Report and Finan cial Statements 29 May 2001 May 2002

Terbitan Laporan Tahunan d an Penyata Kewang an

Annual General Meeting Mesyuarat Agu ng Tahunan 21 June 2001 June 2002

Dividends Dividen

Interim Interim

- Declaration Pengumuman 7 Aug 2000 Aug 2001- Payment Bayaran 31 Oct 2000 Oct 2001

Final Terakhir

- Declaration Pengumuman 13 Feb 2001 Feb 2002

- Payment Bayaran Aug 2001 Aug 2002

t a k w i m k e w a n g a n tahun be rakh ir 31 d i sembe r 2000


9/29

06

UMW

HOLDINGS

BERHAD

f i v e - y e a r g r o u p s u m m a r y r e s u l t s

3,678.5 4,101.0 1,699.7 2,485.0 3,136.1

374.3 391.2 (47.8) 167.0 204.9

233.1 234.9 (48.0) 116.9 97.1

Gross revenu e RM m illion

Perolehan kasarRM juta

Profit /(Loss) before ta xation RM m illion

Keuntun gan/(Kerugian) sebelum cukai RM juta

Net p rofit /(loss) for the yea r RM million

Keuntun gan bersih/(kerugian) bagi tahun RM juta

r i n g k a sa n k e p u t u s a n l i m a t a h u n k u m p u l a n


10/29

0

c o r p o r a t e i n f o r m a t i o n

UMW

HOLDINGS

BERHAD

b o a r d o f d i r e c t o r s

group chairman Tan Sri Datuk Asmat bin Kamaludin

non-indepe nden t n on-executive director

group managing director & Abdul Halim bin Harun

chief executive off icer non-indepe nden t exe cutive director

directors Tan Sri Datuk Moham ed Khatib bin Abdul Ham idnon-indepe nden t n on-executive director

Dato Dr. Mokhzani bin Abdul Rahimindepend ent n on-executive director

Lt. Gen. (R) Dato Mohd. Yusof bin Dinindepend ent n on-executive director*

Md. Yusof bin H ussinnon-indepe nden t n on-executive director

Thomas Mun Lung Leeindepend ent n on-executive director*

Jamiah binte Abdul Hamidnon-indepe nden t n on-executive director

secretary Suseela Menon (MAICSA 7028386)


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08

b o a r d o f d i r e c t o r s

UMW

HOLDINGS

BERHAD

from left to right

dari kiri ke kanan

Thomas Mun Lung Lee

Suseela Menon

(Group Secretary/

Corporate Director)

(Setiausaha Kumpulan/

Pengarah Korporat)

Dato Dr. Mokhzani

bin Abdul Rahim

Lt. Gen. (R) Dato Mohd. Yusof

bin Din

Tan Sri Datuk Asmat

bin Kamaludin

(Group Chai rman)

(Pengerusi Kumpulan)

Abdul Hal im bin Harun

(Group Managing Director &

Chief Executive Officer)

(Pengarah Urusan Kumpulan &

Ketua Pegawai Eksekutif)

Jamiah binte Abdul Hamid

Tan Sri Datuk Mohamed Khat ib

bin Abdul Hamid

Md. Yusof bin Hussin

l e m b a g a p e n g a r a h


12/29

10

d i r e c t o r s p r o f i l e

UMW

HOLDI

NGS

BERHAD

Tan Sri Datuk Asmat bin Kamaludin (57 years of age - Malaysian)

Non-Independent and Non-Executive Director. Graduated with a BA (Hons.) in Economics from the

University of Malaya. Served in the Ministry of International Trade & Industry for over 31 years until his

retirement as Secretary-General in January 2001. Appointed to the Board of UMW Holdings Berhad as

Group C hairman on 20 Februa ry 2001. Current directorships include Malaysian Pacific Industries Berhad,

Hong Leong Properties Berhad, Permodalan Nasional Berhad, Lion Land Berhad, Shangri-La Hotels

(Malaysia) Berhad, Carlsberg Brewery Malaysia Berhad and YTL Cement Berhad. Information on

attendance of Board meetings is not applicable as appointment was only effected in February 2001. No

family relationship with any Director and/or major shareholder of UMW Holdings Berhad. No conflict ofinterest with UMW Holdings Berhad. Ha s not be en convicted of any offences in the past ten (10) years.

Abdul Halim bin Harun (50 years of age - Malaysian)

Non-Independent Executive Director. Received formal training from Universiti Teknologi Mara and Emile

Woolf College of Accounta nts (UK). Fellow memb er of the Association of Cha rtered Ce rtified Accoun tan ts

(UK) and a member of the Malaysian Institute of Accountants. Former Managing Director of Klang Port

Mana geme nt Sdn. Bhd. and Klang Containe r Terminal Berhad . Joined the Board of UMW Holdings Berhad

as Non-Executive Director on 15 October 1990. Appointed to Executive position, i.e., as Group Managing

Director/Chief Execu tive Officer, on 5 April 2001. Attend ed ten (10) out of the thirtee n (13) Board mee tings

held in the financial year. No family relationship with any Director and/or major shareholder of UMW

Holdings Berhad. No conflict of interest with UMW Holdings Berhad. Has not been convicted of any

offences in the past ten (10) years.


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15/29 1

a u d i t c o m m i t t e e r e p o r t

UMW

HOLDI

NGS

BERHAD

t e r m s o f r e f e r e n c e

The primary objective of the Audit Committee of

the Board is to assist the Board of UMW Holdings

Berhad in fulfilling its fiduciary responsibilities

relating to corporate accounting, system of internal

controls , management and financial reporting

practices of the G roup.

The Audit Committee s functions are as follows

and to review, evaluate and report to the Board

on these matters:-

1. To consider the appointment of the external

auditors , the audit fee and any questions of

resignation or dismissal.

2. To discuss with the external aud itors before the

audit commences, the nature and scope of the

aud it plan, and ensure co-ordination where m orethan one audit firm is involved.

3. To review the q uarterly, half-year and annual

financial s tatements of the Board focusing

pa rticularly on:-

(a) any changes in accounting policies and

practices;

8 . To consider the major findings of in ternal

investigations (by internal an d external a uditors)

and managements response.

9. To review the adequacy and effectiveness of

the Group s accounting procedure s and policies,

the adequacy and effectiveness of its internal

control systems as well as the financial reporting

standards of the G roup.

10. To consider othe r topics as de fine d by the Board.

m e e t i n g s a n d p r o c e d u r e s

There are to be at least four (4) meetings per

year although a dditional mee tings may be called for

by the Chairman at his discretion. The quorum for

each meeting shall be two (2). The majority of

members present to form a quorum in respect of

such meetings must be Indep end ent Directors.

The head of the Group Internal Audit Division and

the Group Financial Controller will normally attend

this meeting to brief the Audit Committee on the

internal audit reports and any significant control

issues/concerns. The Committee will decide on

its own administrative procedures to effectively


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n o m i n a t i o n c o m m i t t e e

UMW

HOLDINGS

BERHAD

Dato Dr. Mokh zani bin Abdul Rahim (3)

chairman of comm ittee, indepe ndent non-executive director

pengerusi jawatankuasa, pengarah bebas dan bukan eksekutif

Tan Sri Datuk Mohamed Khatib bin Abdul Hamid (2)

non-indepen dent non-executive director

pengarah bukan be bas dan bukan ek sekutif

Lt. Gen. (R) Dato Mohd. Yusof bin Din (4)

independen t non-executive d irector

pengarah bebas dan buk an eksekutif

Suseela Menon (1)

secretary

setiausaha

j a w a t a n k u a s a p e m i l i h a n

1 2 3 4


17/29


1. To propose new n ominees for the Boards of UMW

Holdings Berhad and its subsidiaries, whether

to be filled by Board members, shareholders or

executives. The Committee shall also consider

candidates for directorships proposed by the

Chief Executive O fficer and, within the bound s of

practicability, by a ny othe r senior exe cutive or an y

Director or shareholder.

2 . To make recommendat ions to the Board on

Directors to fill seats on Board Committee s.

3. To assist the Board in ann ually reviewing the

required mix of skills and experience and other

qualities, including core competencies, which

Non-Executive Directors should b ring to the Board.

4 . To annual ly carry out the process to be

implemented by the Board for assessing the

effectiveness of the Board as a whole, the

C itt f th B d d f i th

b i d a n g k u a s a r u j u k a n

1. Men gesyorkan calon baru bagi Lembaga UMW

Holdings Berhad dan subsidiari-subsidiarinya,

sama ada jawatan diisi oleh ahli Lembaga,

pemegang saham atau eksekutif. Jawatankuasa

juga akan pertimbangkan calon Pengarah yang

dicadangkan oleh Ketua Pegawai Eksekutif dan

dalam batasan yang praktikal, oleh eksekutif

kanan lain atau Pengarah atau pe me gang saham.

2. Mencadangkan kepada Lembaga Pengarah untuk

me ngisi kerusi dalam Jawatanku asa Lem baga.

3 . M e m b a n t u Le m b a g a s e ti ap t ah u n d a la m

mengkaji kemahiran, pengalaman dan kualiti

lain termasuk kecekapan teras yang perlu ada

pada Pengarah Bukan Eksekutif.

4. Me njalankan proses yang akan dilaksanakan

oleh Lembaga untuk meni la i keberkesanan

Lem baga secara keseluruhannya, Jawatankuasa

L b d t k il i b ti 1

n o m i n a t i o n c o m m i t t e e

UMW

HOLDINGS

BERHAD

j a w a t a n k u a s a p e m i l i h a n


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r e m u n e r a t i o n c o m m i t t e e

UMW

HOLDINGS

BERHAD

Thomas Mun Lung Lee (3)

chairman of comm ittee, indepe ndent non-executive director

pengerusi jawatankuasa, pengarah bebas dan bukan eksekutif

Md. Yusof bin Hussin (5)

non-indepen dent non-executive director


Jamiah binte Abdul Hamid (4)non-indepen dent non-executive director


Suseela Menon (2)

secretary

setiausaha

included in the picture is

terdapat dalam gam bar

Mohd. Fahmi bin Ishak (1)

director, group hu man resource division

pengarah, bahagian sum ber manusia kum pulan

j a w a t a n k u a s a sa r a a n

1 2 3 4 5


19/29


1. To review and recommend to the Board the

remuneration of Executive Directors and all

executives in Grad es 22 and ab ove.

2 . To recommend to the Board af ter reviewing

managements prop osals:-

(a) overall annual salary increment guidelines/

limits for all non -unionised staff;

(b) annual bonus limits/guidel ines ;

(c) ex-gratia for unionised s taff;

(d) remunerat ion, benefits and other terms and

conditions of employment, which have to

be introduced a s part of the Group s overall

human resource development plan. This

would include matters such as pegging the

Group salaries in line with industry standards

and major changes in benefits package.

m e e t i n g s a n d p r o c e d u r e s

Meetings are held as and when necessary. The

b i d a n g k u a s a r u j u k a n

1. Mengkaji dan mengesyorkan kepada Lembaga

me nge nai saraan Pengarah Eksekutif dan semu a

eksek utif Gred 22 ke atas.

2. Meng esyorkan kepada Lembaga selepas meneliti

cadangan p eng urusan:-

(a) garis panduan kenaikan gaji tahunan secara

keseluruhannya/had bagi semua pekerja

yang bukan d alam ke satuan pekerja;

(b) garis panduan/had bonus tahunan;

(c ) ex -gra tia bag i peker ja da lam kes a tuan

pekerja;

(d) saraan, manfaat serta la in syarat dan

peraturan perkhidmatan yang per lu

diperkenalkan sebagai sebahagian dari

pelan Kumpulan untuk membangunkan

sumb er manusia secara keseluruhannya. Ini

termasuklah perkara sepe rti pene tapan gaji

Kum pulan selaras den gan taraf indu stri dan

perubahan utama dalam pakej manfaat.

1

r e m u n e r a t i o n c o m m i t t e e

UMW

HOLDINGS

BERHAD

j a w a t a n k u a s a sa r a a n


20/29

U M W g r o u p s t r u c t u r e

S i n g a p o r e d i v i s i o nb a h a g i a n S i n g a p u r a

UMW Equipment Systems Pte. Ltd.

* UMW Equipmen t Systems (Vietnam) Co. Ltd.

* UMW Equipment Systems (Changshu) Co. Ltd.

UMW Equipment & Engineering Pte. Ltd.

(formerly know n as UMW Trading & Engine ering Pte. Ltd.)

(dahulu dikenal i sebagai UMW Trading & Engineering Pte. Ltd.)

* Beijing Aiqing Sweeper Manufacturing Co. Ltd.

p a r t s d i v i s i o nb a h a g i a n a l a t g a n t i

UMW Auto Parts Sdn. Bhd.

* Lubetech Sdn. Bhd.

* UMW Pennzoil Distributors Sdn. Bhd.

Kayaba (Malaysia) Sdn. Bhd.

* Kayaba Hydraulics (Malaysia) Sdn. Bhd.

serv ices div is ionb a h a g i a n p e r k h i d m a t a n

Seabanc GE Capital Sdn. Bhd.

* Seabanc Kredit Sdn. Bhd.

* Seabanc Acceptance Sdn. Bhd.

UMW Insurance Services Sdn. Bhd.

UMW Travel Sdn. Bhd.

e n e r g y d i v i s i o nb a h a g i a n t e n a g a

* UCM Oil-Tex Threading Limite d

p r o p e r t y d e v e l o p m e n t d i v i s i o n

b a h a g i a n p e m b a n g u n a n h a r t a

UMW Kentruck Sdn. Bhd.

UMW Aero Industries Sdn. Bhd.

Tracpart Centre Sdn. Bhd.

UMW-PNSB Development Sdn. Bhd.

* UMW Properties Sdn. Bhd.

* UMW Bumi Hijau Sdn. Bhd.

* UMW Bumi Indah Sdn. Bhd.

* UMW Technology Management Sdn. Bh

* UMW Management Systems Sdn. Bhd.

s t r u k t u r k u m p u l a n U M W

18

U M W g r o u p s t r u c t u r e

UMW

HOLDINGS

BERHAD

a u t o m o t i v e d i v i s i o n

bahagian kenderaan

UMW Toyota Motor Sdn. Bhd.

* Assembly Services Sdn. Bhd.

* Automotive Industries Sendirian Berhad

* Seat Industries (Malaysia) Sdn. Bhd.

* Perodua M anufacturing S dn. Bhd.

* Perodua Sales Sdn. Bhd.

* Perodua Engine M anufacturing Sdn. Bhd.

Otomobil Sejahtera Sdn. Bhd.

h e a v y e q u i p m e n t d i v i s i o nbahagian jentera berat

UMW Equipment Sdn. Bhd.

UMW (East Malaysia) Sdn. Bhd.

- Sabah Division

- Sarawak Division

UMW Niugini Limited

UMW Solomon Islands Limited

UMW Machinery Limited

UMW Engineering Services Limited

i n d u s t r i a l e q u i p m e n t d i v i s i o nbahagian jentera per indus tr ian

UMW Industries (1985) Sdn. Bhd.

* UMW Indu stries (Philippines) Inc.

UMW Industrial Power Sdn. Bhd.

m a n u f a c t u r i n g & e n g i n e e r i n g d i v i s i o n

bahagian pembuatan & kejuruteraan

UMW Engineering Sdn. Bhd.

UMW-Dennis Specialist Vehicles Sdn. Bhd.

UMW Corporat ion Sdn. Bhd.

s t r u k t u r k u m p u l a n U M W


21/2920

UMW

HOLD

INGS

BERHAD


22/29 2

c h a i r m a n s s t a t e m e n t

UMW

HOLD

INGS

BERHAD

Dear Shareholders,

I l d t b bl t dd h h ld th i t ti i


23/2922


UMW

HOLD

INGS

BERHAD

On 26 Decem ber 2000 , we announced theresignation of our Group Mana ging Director /Ch ief

Executive Officer, Encik Mohd. Sallehuddin bin

Othman, who left the UMW Group to take up the

position of Chief Executive Officer in another PNB

company. Encik Mohd. Sallehuddin had served the

Group as Executive Director for six years, two of

f i n a n c i a l r e s u l t sI am p leas ed to r epor t ye t ano ther year o f

satisfactory results - Group reve nu e improved 26.2%

over the previous year to RM3,136.1 million, with

all major operating units showing positive results.

Group profit before tax amounted to RM204.9

million, a 22.7% increa se from th e RM167.0 million


24/29 2


UMW

HOLD

INGS

BERHAD

UMW Toyota Motor Sdn. Bhd. (UMW Toyota )

effected a series of price increases du ring the yea r to

partially compensate for the higher Yen exchange

rate. At the same time, the company implemented

some attractive promotional programmes for certain

models to meet targe ted order rates.

Our H eavy Equ ipment Division continued to ben efit

from the governments infrastructure development

efforts. However, our operations in Sabah were

adversely affected by the general decline in the

logging sector. The civil unrest in the Solomon

Is lands necess i ta ted a speedy cos t reduct ion

programme by UMW Solomon Islands Limited,


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Industries ), UMW Industries (Philippines), Inc., andUMW Industrial Power Sdn. Bhd. (UMW Industrial

Power ) continued to perform well in year 2000.

UMW Industries registered strong growth in the

sales of new Toyota and BT forklifts as a result of

the strong demand from the manufacturing sector.

The fleet manag ement / rental programme that the

company commenced in recent years has taken off

very well. Management is continuing with efforts to

promote and market this programme to customers in

kee ping with the industry trend.

in the Middle East, Asean countries and China.Efforts are ongoing to ach ieve cost reduction by wa y

of localisation wh ere ver possible.

The Division continued to maintain its market

leadership position in the sales and rental of

Toyota forklift trucks in Singapore, despite intense

competition. Toyota s position in the market was

further strengthened with the introduction of the

new AC battery-powered truck model. The Toyota

Overall Excellence Award was presented to UMW

Equipment Systems in recognition of its excellent

performance in sales and after-sales service. The


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Award for 2000 from the Ministry of Health inrecogni t ion of i ts heal th programmes for i ts

employees a nd their families.

The recovery in the domestic automotive sector

benefited our Parts Division, which chalked up a

14.9% increase in revenu e in year 2000 over 1999.

The Division exp an de d its filter exports to the Un ited

Kingdom/Ge rmany in year 2000.

UMW Auto Parts Sdn. Bhd. implemented several

efficiency improvement programmes in year 2000,

aimed at further improving its competitiveness, and

Seabanc GE Capital Sdn. Bhd. continues to beselective in its customer financing policies, placing

emphasis on the quality of loans, rather than in

generating higher business volume. Despite a drop

in business volume in year 2000, the company

registered a marked improvement in profit before

tax as a result of the implementation of cost

rationalisation and efficiency programmes. The

company will continue to b uild on qua lity assets by

focusing on developing innovative financial

products for the market and providing service

excellence to its valued customers.

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Group. Using these technologies, UMW subsidiaries

can now exchange production orders and schedules

wi th the i r bus ines s pa r tne r s , bo th loca l ly and

overseas. UMW customers and dea lers in the Asia-

Pacific region a re now also able to orde r electronically.

Efforts are ong oing to ensu re tha t UET will continue

to improve its services and to add value for the UMW

to local individuals, which included retiring staff,

all of whom have undergone training in the skills

and experience required to successfully take over

these ope rations.

The annual Toyota Classics Concert, brought to

Malaysia for the tenth year running, was held on


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Corporate Governance, and we are currently in the

process of complying with the revamped Listing

Requ ireme nts of the Kuala Lumpur Stock Exchange.

Although the Group is only required under the

Listing Requirem en ts to comply with the disclosure

requirements on Corporate Governan ce in the 2001

Group in a position of strength so as to be able to

take advantage of the opportunities that AFTA

can bring and to become a reputable manu facturer

in the region.

a c k n o w l e d g e m e n t

In closing I would like to record my thanks


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C o n t i n u a l l y e m b r a c i n g l a t e s t

technologyThe adven t of the K-economy is testimony to the reality that there is the constan tneed to stay at the forefront of technology to maintain lead ership.

umw cover noticeagm summary corpinfo auditcmt chairman statement (e) (630kb)

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