How To Make A Bad Thing Worse - PROTON
Tourists always head to Petaling Street when they come to Malaysia. No need to go to Petaling Street, KLSE also can. Well, getting something lelong for ONE Euro probably takes the chapati, and after only buying it for a year! We all know that it was an investment which turned sour, and Proton's management has already written down the book value, and that one Euro was just a token as it will stop the rot (share of losses and liabilities) on Proton's books. Just take the pill and lie down, wait till you get better.
Now, why would the spokesman want to come out a few days later and blurt out in a headliner "PROTON TO RECORD NO LOSS ON DISPOSAL". As if now, we will go aaahhhh, actually sell something for one Euro also can have zero losses, so smart lah Proton!! What are we,....... idiots??
THE ONLY WAY YOU DO NOT HAVE A GAIN OR LOSS WHEN YOU SELL A COMPANY FOR 1 EURO IS WHEN YOU BOUGHT THE COMPANY FOR 1 EURO!!!
The actual announcement as reported in The Edge Daily:
Proton Holdings Bhd does not expect any gain or loss from its proposed disposal of the 57.75% stake in MV Agusta Motors SpA as the carrying value of the investment was nil.
Proton said on Dec 29 that based on the audited accounts of MV Agusta for the 15-month period ended March 31, 2005, the net loss after tax and extraordinary income of MV Agusta was 29 million euros (RM128 million).
In its reply to Bursa Malaysia Securities Bhd's query, Proton said its share of the net losses amounted to 16.75 million euros.
It said that MV Agusta’s net liabilities for the same period were 46.53 million euros and Proton’s share of that amount was 26.87 million euros.
Proton said the proposed disposal was expected to be completed by Feb 28 next year.
Its already a bad thing, just let sleeping dogs lie. I don't know who your PR team is, but that is sooooo baadd. DON'T TRY TO PUT A POSITIVE SPIN ON A BAD THING!!! Imagine a convicted rapist shouting out to the crowds, "But she didn't get pregnant , what!!!".
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