The truth is... finally

Transmile replaces managing director

PETALING JAYA: Transmile Group Bhd has redesignated non-executive director Liu Tai Shin as managing director to replace outgoing Wong Yoke Ming, the company told Bursa Malaysia yesterday.

It is believed Wong's resignation is a signal that the restructuring scheme at the troubled air cargo freight forwarder is almost completed.

Liu and Wong joined Transmile in June last year as part of a new team brought in to tackle the huge financial problem that arose from the discovery of massive accounting frauds over a three-year period.

Both men are accountants by training and, together with the new management, were tasked with reviving the ailing firm.

Transmile posted a loss of RM279.6mil on revenue of RM616.2mil for the year ended Dec 31, 2007. The loss was about four times bigger than the RM63.8mil reported in the previous year.

The huge write-off that contributed to last year's loss had given the company a clean slate to start over.
Recent analysts' reports suggested the company would now focus on more profitable regional routes, and that it was likely to sell the under-utilised bigger aircraft in its fleet.

StarBiz learnt that Transmile is currently looking to hire a chief executive officer to put the company back on the growth track.

While the outlook for the air cargo carrier this year remains challenging, some investors are now more willing to take a bet that the worst is over for the company.

Shares in Transmile eased seven sen, or 3%, yesterday to close at RM2.33. It was the first decline in five days, halting a rally that lifted the stock from a six-year low of RM1.51 two weeks ago.

The stock peaked at RM14.40 on Jan 3 last year.

Transmile told Bursa Malaysia on Wednesday that after “due and diligent enquiries with all its directors and shareholders,” the company “was not aware of any new reason” for the sharp spike in its share price.

Major shareholders of the company include tycoon Tan Sri Robert Kuok with a 17% stake, followed by Pos Malaysia Bhd with 15%.

There had been speculation that the group's restructuring plan would involve acquisitions of new assets, with the possibility of Pos Malaysia injecting PosLaju, its courier express business.

However, PosLaju chief operating officer Nadza Abdul told StarBiz yesterday that he was not aware of any such proposal, whether to inject, integrate or amalgamate PosLaju or any other express business of Pos Malaysia, into Transmile.

“PosLaju has not been approached by any party regarding the matter highlighted,” he said.


From biz.thestar.com.my


It really needs time to recover, from trauma injury.
Hope she will get well soon.
Now, almost all the bad debts already written off.
We will see how she dance in the next quarter.