Wednesday, February 29, 2012

"Seefood" - Malaysia First 3D Animated Movie 2012

29 Feb – "Seefood", Silver Ant Sdn. Bhd's latest production, which is Malaysia's first 3D animated movie in English and animation director Goh Aun Hee had the honour of introducing the movie to Malaysia in the presence of Ahmad Izham Omar of Primeworks Studios Sdn. Bhd., after seeing great reception overseas.
With a portfolio boasting a series of record-breaking screenings to over 90 countries, Silver Ant Sdn. Bhd's latest venture saw them in collaboration with Al-Jazeera Children's Channel in the production of "Seefood". However, Goh explained that the production team took a long time to design characters that were suitable for the theme of the movie.
"When we design a character for the international market, we need to made characters with a reason and purpose in order to create empathy among audiences," said Goh.
As a result, "Seefood" is a fun-filled adventure that tells the story of a bunch of sea creatures, which includes a bamboo shark named Pup and a whitetip shark named Julius, Mertle the turtle and Octo the inventor, who band together to fight the cruel humans in an attempt to protect the lives of all the sea animals.
Despite not opening in Malaysia, the movie has managed to bring a good impression for the country as the producers have retained a 100% local flavour for it by using the voice talents of Malaysian artistes Gavin Yap and Diong Chae Lan for the two leads, Pup and Julius.
When asked about the aim of the movie, Ahmad Izham Omar said, "Box office results are not the entire purpose of producing this animated film. We are trying to motivate more local animators to join the industry and contribute towards making better films, hence our international debut."
"Seefood" will be distributed by Grand Brilliance, and will finally see release in 65 cinemas in both Malaysia and Indonesia come this 8 March.
Source; Yahoo Malaysia

Proboscis Monkey Tour Package in Sabah

Teratak Klias

Our Teratak Riverside Wildlife Park, situated around 30 minutes from Beaufort town is gazetted under bird sanctuary for wildlife reserve. Due to protected area status, visitors able to view proboscis monkey at nearer distance with large number of fireflies. 

A river cruise that offers visitor spectacular view of mother-nature.

Our Teratak Riverside Protected Wildlife Park provide exotic experience to visitor, which is yet highly commercialized as compare to Klias Wetland.

Due to protected wildlife sanctuary status, visitor can view proboscis at closer distance with larger group of proboscis.

The very agile and wild silver leaf monkeys as well as naughty macaques are also abundantly found here. Other wildlife such crocodiles, monitor lizards, varieties of coastal bids , borneon bats can be observed too if lucky enough.

Egret birds can be found here which cant be seen in Klias Wetland. 

Unique species of monkey can be found here

Tour package to Klias Wetland or Teratak Riverside Wildlife Park from as low as RM70.00 per pax (Min 4 person) .Our exclusive package includes:

1.Boat transfer
2.Light tea time
3.Fireflies/Proboscis/Bird watching
4. Exotic local dinner
Light tea time will be served before river cruise started.

Delicious local food will be served. (curry chicken, crab/prawn, fish)

Time (Estimated):  4pm-8pm

Attention: Wildlife reserve status is not applicable in Klias Wetland River Cruise.  Thus, we recommend visitor to visit our Teratak Riverside Park which is yet highly commercialized.

Car rental service with map may be provided with extra charges for those from Kota Kinabalu to our park. Car rental service is less than RM200 per day depend on type of car.

Any inquiry, kindly sms/call us, Ben- 012-7334511 or Adi 013-4133246.

MAS posts 4Q net loss RM1.27bn, FY11 net loss RM2.52bn

KUALA LUMPUR (Feb 29): Malaysian Airline System Bhd (MAS) posted net losses totaling RM1.277 billion in the fourth quarter ended Dec 31, 2011 versus net profit of RM225.92 million a year ago as it severly affected by high fuel costs and non-fuel expenses.
It said on Wednesday that its revenue was RM3.678 billion, almost unchanged from the RM3.669 billion a year ago. Loss per share was 38.22 sen compared with earnings per share of 6.76 sen.
For the financial year ended Dec 31, 2011, MAS posted net loss of RM2.524 billion compared with net profit of RM234.47 million a year ago. Its revenue was 2% higher at RM13.901 billion compared with RM13.585 billion a year ago.
“The group’s full year performance was severely impacted by a 21% increase in expenditure over the previous year (2011: RM16.20 billion versus 2010: RM13.41 billion) attributed to a 33% year-on-year increase in fuel cost (2011: RM5.85 billion versus 2010: RM4.38 billion) and a 15% increase in non-fuel expenses (2011: RM10.43 billion versus 2010: RM9.03 billion).
MAS chief executive officer Ahmad Jauhari Yahya said the bottomline group losses for 2011 underscored the imperative need for MAS to immediately adopt strong measures to stop the bleeding.
“These include staff redeployment, increasing productivity and efficiency, relentless cost control and making further route reviews. We are also implementing an aggressive sales and marketing strategy,” he said.
Source: The Edge.

Buy Genting shares: HwangDBS 2012

Genting Bhd, which controls Asia’s second-biggest gaming company by market value, said fourth- quarter profit jumped 66 per cent, with maiden revenue contributions from its New York City casino.

Net income surged to RM772.9 million, or 20.94 sen a share, for the three months ended December 31, from RM465.4 million , or 12.57 sen per share, a year earlier, the company said in a filing to the Kuala Lumpur stock exchange yesterday.

Revenue climbed 24 per cent to RM5.06 billion on increased takings at its core Singapore, Malaysia and UK casinos and gaming resorts.

“The growth in the global gaming industry in 2011 was driven by key Asian markets,” the group said in its statement.

“The economic challenges in Europe and the U.S. continue to cloud the short-term outlook of the Asian economies. Uncertain economic climate also presents some potentially attractive investment opportunities” for Genting Singapore Plc, it said.

The Kuala Lumpur-based group is extending its overseas reach from its roots as owner of Malaysia’s only casino resort. It opened a casino at the Aqueduct Racetrack in New York City last quarter, where it also plans to build the country’s biggest convention center. 

Its Genting Malaysia Bhd. unit has also pitched proposals for a US$3.8 billion casino-and-hotel project in Miami. It’s already the UK’s biggest casino operator and owns Resorts World Sentosa, one of Singapore’s two gaming resorts.

Genting rose 0.6 per cent to RM10.60 at 11.15 am in Kuala Lumpur trading, tracking a similar gain in the FTSE Bursa Malaysia KLCI Index. 

The stock has fallen 3.8 per cent this year and trades at about 13 times estimated earnings, compared with the 21-times average for 16 gambling operations companies worldwide tracked by Bloomberg.

“Genting is the cheapest gaming stock in the world with resilient base earnings from gaming, plantation and power segments,” Yee Mei Hui, analyst at HwangDBS Vickers Research Sdn Bhd wrote in a note to clients today. 

She kept a “buy” rating on the stock with RM13.70 price target. - Bloomberg

Tuesday, February 28, 2012

Top 25 Jobs of 2012 Rankings

All of the occupations on our Best Jobs of 2012 list are outstanding, but the top 25 make for a particularly great career choice. 
We’ve ranked them by comparing their projected growth up to the year 2020 with the current employment rates of the industry to which they belong. Other components that contributed to each job’s overall score and rank include its average salary, predicted job prospects, and a quantitative assessment of the job satisfaction of those who are currently or have previously worked in the profession. 

Here’s our list of the top 25 jobs of 2012:

Also ranked in: Best Healthcare Jobs

Salary: $87,790-$54,360
Also ranked in: Best Technology Jobs

Salary: $82,090-$138,620
Also ranked in: Best Healthcare Jobs

Salary: $20,810-$40,190
Also ranked in: Best Healthcare Jobs

Salary: $115,660-$41,570
Also ranked in: Best Technology Jobs

Salary: $43,190-$119,940
Also ranked in: Best Technology Jobs

Salary: $48,360-$119,070
Also ranked in: Best Technology Jobs

Salary: $53,620-$107,920
Also ranked in: Best Healthcare Jobs

Salary: $40,820-$114,180
Also ranked in: Best Technology Jobs

Salary: $48,920-$102,520
Also ranked in: Best Healthcare Jobs

Salary: $20,800-$56,090
Also ranked in: Best Social Services Jobs

Salary: $34,390-$80,140
Also ranked in: Best Social Services Jobs

Salary: $24,210-$56,040
Also ranked in: Best Healthcare Jobs

Salary: $42,970-$103,630
Also ranked in: Best Social Services Jobs

Salary: $19,710-$51,370
Also ranked in: Best Healthcare Jobs

Salary: $27,090-$76,840
Also ranked in: Best Business Jobs

Salary: $31,630-$86,250
Also ranked in: Best Social Services Jobs

Salary: $26,170-$68,030
Also ranked in: Best Social Services Jobs

Salary: $16,380-$63,720
Also ranked in: Best Social Services Jobs

Salary: $26,970-$108,750
Also ranked in: Best Business Jobs

Salary: $38,940-$106,880
Also ranked in: Best Business Jobs

Salary: $17,560-$36,910
Also ranked in: Best Business Jobs

Salary: $32,660-$166,400
Also ranked in: Best Business Jobs

Salary: $19,550-$49,320
Also ranked in: Best Business Jobs

Salary: $31,110-$89,490
Also ranked in: Best Business Jobs


Top 10 Interview Questions Designed to Trick You

Provided by
by Jenna Goudreau
For the long-term unemployed or those workers looking for a change, getting an interview in today's market may feel like a win in itself. But once you're in the door, interviewers often put you through an obstacle course of deceptive questions with double meanings or hidden agendas. Do you know how to read the subtext?
"On the other side of the desk, hiring managers spend countless long hours interviewing candidate after candidate," says Joyce Lain Kennedy, a nationally syndicated careers columnist and author of Job Interviews For Dummies. "A tricky question may be used as a time management tool to quickly eliminate a less qualified candidate."
Kennedy says that even if job hunters have rehearsed anticipated topics, an unexpected question may jar loose an authentic answer that exposes hidden problems. She outlines the top 10 most common questions designed to trick you.
No. 1: Why have you been out of work so long, and how many others were laid off?
This question may also be followed by the more direct, "Why were you laid off?" Kennedy says it is an attempt to figure out if there's something wrong with you that your former company or that other potential employers have already discovered. The interviewer may be trying to determine if themes of recession and budget cuts were used to dump second-string employees, including you. Rather than answering the question directly and chancing an emotional response or misinterpretation, Kennedy advises punting. Respond: "I don't know the reason. I was an excellent employee who gave more than a day's work for a day's pay."
No. 2: If employed, how do you manage time for interviews?
"The real question is whether you are lying to and short-changing your current employer while looking for other work," says Kennedy. The interviewer may wonder: If you're cheating on your current boss, why wouldn't you later cheat on me? She suggests placing the emphasis on why you're interested in this position by saying you're taking personal time and that you only interview for positions that are a terrific match. If further interviews are suggested, Kennedy advises mentioning that the search is confidential and asking to schedule follow-ups outside of normal working hours.
No. 3: How did you prepare for this interview?
The intention of this question is to decipher how much you really care about the job or if you're simply going through the motions or winging it. Kennedy says the best way to answer is by saying, "I very much want this job, and of course researched it starting with the company website." Beyond explaining how you've done your homework, show it. Reveal your knowledge of the industry, company or department by asking informed questions and commenting on recent developments.

No. 4: Do you know anyone who works for us?
This one really is a tricky question, says Kennedy, because most interviewees expect that knowing someone on the inside is always a good thing. "Nothing beats having a friend deliver your resume to a hiring manager, but that transaction presumes the friend is well thought of in the company," she says. Because the interviewer will likely associate the friend's characteristics and reputation with your merits, she recommends only mentioning someone by name if you're certain of their positive standing in the organization.
No. 5: Where would you really like to work?
"The real agenda for this question is assurance that you aren't applying to every job opening in sight," says Kennedy. She advises never mentioning another company by name or another job title because you want to highlight all the reasons you're perfect for this job and that you'll give it all of your attention if achieved. A good response would be: "This is where I want to work, and this job is what I want to do."
No. 6: What bugs you about coworkers or bosses?
Don't fall into this trap. Kennedy says you always want to present yourself as optimistic and action-oriented, and hiring managers may use this question to tease out whether you'll have trouble working with others or could drag down workplace morale and productivity. "Develop a poor memory for past irritations," she advises. Reflect for a few seconds, and then say you can't recall anything in particular. Go on to compliment former bosses for being knowledgeable and fair and commend past coworkers for their ability and attitude. It will reveal your positive outlook and self-control and how you'll handle the social dynamics in this position.
No. 7: Can you describe how you solved a work or school problem?
Kennedy says that, really, no one should be too taken aback by this, as it's one of the most basic interview questions and should always be anticipated. However, all too often interviewees either can't come up with something on the spot or miss the opportunity to highlight their best skills and attributes. Kennedy says what the interviewer really wants is insight into how your mind works. Have an answer ready, like how you solved time management issues in order to take on a special assignment or complicated project, that showcases an achievement.
No. 8: Can you describe a work or school instance in which you messed up?
This one is a minefield. "One question within the question is whether you learn from your mistakes or keep repeating the same errors," says Kennedy. Similarly, the interviewer may be trying to glean whether you're too self-important or not self-aware enough to take responsibility for your failings. Perhaps even more problematic, if you answer this question by providing a list of all your negative traits or major misdeeds, then you're practically spelling out your insecurities and guaranteeing you won't get the job. So you don't want to skirt the question or make yourself look bad. "Briefly mention a single small, well-intentioned goof and follow up with an important lesson learned from the experience," she advises.
No. 9: How does this position compare with others you're applying for?
"The intent is to gather intel on the competitive job market or get a handle on what it will take to bring you on board," says Kennedy. There are two directions to take: Coy or calculated. "You can choose a generic strategy and say you don't interview and tell, and respect the privacy of any organization where you interview," she notes. Or you could try to make yourself appear in demand by confirming you've received another competitive offer, which may up the bidding for your services. Always bring the focus back to this position, by asking: "Have I found my destination here?"
No. 10: If you won the lottery, would you still work?
Admittedly, this one's a little silly. Even so, it's another opportunity to underscore your motivation and work ethic. Kennedy advises acknowledging that you'd be thrilled to win the lottery but would still look for meaningful work because meeting challenges and achieving make you happy. And say it with a straight face.
If at any point in an interview you're uncertain or caught off guard, don't panic, Kennedy warns. Deflect a question by saying you'd like to mull it over and come back to it, or by being honest that you don't know the answer and, as a careful worker, would prefer not to guess. "If you've otherwise done a good job of answering questions and confidently explained why you're a great match for the position," she says, "the interviewer probably won't consider your lack of specifics on a single topic to be a deal breaker."

Monday, February 27, 2012

Listing Of Felda Global Venture (FGV) is a step in right direction ???

THAT Koperasi Permodalan Felda (KPF) is now going to be left out of the loop of the listing of Felda Global Ventures Holdings Bhd (FGV) doesn't benefit anyone. In fact, one wonders if those responsible for opposing the participation of KPF in the listing process really have the settlers' best interest at heart.
For starters, the entire listing of FGV and the proposed plan of having all commercial assets parked under FGV, was aimed at not only unlocking values but also ensuring that a market-driven governance structure be put in place.
This would mean that the Felda assets would be put to work in a more efficient manner, and having the right professionals running the businesses. From day one, it was made clear that KPF would be the single-largest shareholder of FGV, without having to fork out a single sen. All it needed to do was swap its 49% in the unlisted Felda Holdings Bhd for a valuable 37% stake in FGV.
The latter stake would immediately become a valuable currency for KPF. Aside from that, KPF would be the biggest beneficiary of the dividend flows from FGV, which would have not only the upstream plantations business but also the downstream aspect of the business that encompasses valuable assets overseas.
Surely KPF must be happy with what it has from the listing of another Felda asset. Last year, Felda listed MSM Malaysia Holdings Bhd. KPF has enjoyed a paper gain of some RM300mil from its 20% stake in MSM. MSM was listed last June at a valuation of RM2.4bil. It now has a value of some RM3.5bil due to the strong performance of its shares.
One doesn't hear KPF or its members complain much about that.
Members of KPF should realise that going through the process of a public listing, companies inevitably have to be injected with a higher sense of governance and transparency.
This brings about a lot of good: it forces the entry of talented people in management and the inculcation of performance-based management; it puts to rest any perceptions that politicians are putting their hands in the till of these organisations; and it limits the role of the Government in the running of these companies which can then focus on drawing up policies that make for a business friendly environment.
KPF's members who had applied for the injunction may have thrown a spanner in the works. But that doesn't mean that they have won. The listing is going ahead, without KPF's direct involvement. The promoters of the listing are striving to ensure that the settlers don't lose out on the listing and are formulating an alternate structure. The value of FGV may be less without KPF's 49% in Felda Holdings but the listing will still be a win for Felda and its settlers.
Adapted : Star Business

Sunday, February 26, 2012

Hentikan Lynas, Selamatkan Malaysia


  • Keputusan yang dibuat oleh individu untuk mengeluarkan lesen pembinaan kilang tersebut pada tahun 2008 dibuat tanpa pengetahuan orang awam, termasuklah rakyat Pahang itu sendiri. Apabila negara mula melibatkan diri dalam pemprosesan bahan radioaktif, kajian menyeluruh perlu dijalankan sebelum apa-apa lesen atau arahan dikeluarkan untuk memulakan pembinaan.
  • Apabila negara memberikan lesen kepada syarikat luar untuk membuka kilang pemprosesan mereka, harapan kita adalah supaya dapat membuka peluang pekerjaan yang banyak kepada rakyat negara ini. Namun dalam hal kilang pemprosesan nadir bumi oleh Lynas Malaysia Sdn Bhd, peluang pekerjaan yang dibukan adalah sebanyak 350 sahaja. Langsung tak berbaloi dan tidak akan memberikan impak ekonomi yang diharapkan.
  • Pengecualian cukai selama 12 tahun. Ini adalah yang paling bodoh. Kita terlalu baik sampaikan industri yang menghasilkan sisa buangan radioaktif diberikan pengecualian cukai walaupun industri tersebut dianggarkan akan membuat untung berbillion ringgit pada tahun pertama pembukaannya. Bila negara tak dapat satu sen pun daripada industri yang sememangnya membahayakan rakyat ini, apa gunanya kita berikan mereka lesen untuk beroperasi di negara kita?
  • Menteri Western Australia, Hon Norman Moore memaklumkan sisa buangan radioaktif itu adalah milik Malaysia dan tidak akan diterima balik oleh Australia.
  • Lokasi yang terlalu dekat dengan kawasan kediaman. Jarak 2 km dari Balok dengan kepadatan penduduk seramai 16700 orang. Jika diambil kira keluasan evakuasi di Fukushima dengan jarak 40km dari Gebeng Kuantan, kebocoran sisa radioaktif akan melibatkan keseluruhan penduduk di Kuantan, Gambang, Cherating malah Kemaman di Terengganu sekalipun. Jumlah penduduk yang mungkin terlibat boleh mencecah hampir 800 hingga 900 ribu secara keseluruhannya dengan Kuantan sahaja di sekitar 600 hingga 650 ribu orang. Syarat yang ditetapkan oleh Kerajaan Australia adalah minima 35 km dari kawasan penempatan penduduk.
  • Denda RM50 juta seperti yang termaktub di bawah Akta Perlesenan Tenaga Atom Perenggan 59 (1) untuk setiap bencana kepada Lynas dilihat cukup ringan berbanding hasil RM8 Billion setahun. Hanya satu bencana yang melibatkan sisa radioaktif memadai untuk menjadi ancaman yang serius dan kekal lama kepada semua.
Kesan terhadap penduduk di kawasan sekitar kilang tersebut (Kuantan & Kemaman khususnya):
  • Nilai hartanah akan merudum kerana tiada siapa yang mahu membeli tanah atau kediaman di sekitar Kuantan dan di Kemaman.
  • Ancaman kepada syarikat berdekatan khususnya Petro-Kimia seperti Kaneka, MTBE, Petronas BASF dan BP Chemicals. Kerugian yang besar jika operasi mereka terganggu dengan insiden kebocoran sisa radioaktif yang boleh menjejaskan kesihatan pekerja mereka.
  • Pelabur baru dari luar negeri dan dari luar negara tidak akan berminat untuk melabur kerana ancaman sisa radioaktif daripada Lynas. Risiko terlalu tinggi.
  • Sektor pelancongan (Cherating) & perikanan (Kuantan) kemungkinan besar akan terjejas.

Nadir bumi yang dilombong di Mount Weld mengandungi beberapa mineral utama dan diantaranya ialah monazite. Monazite adalah bahan radioaktif. Di dalam bahan mineral monazite ini terdapat thorium, cerium dan lanthanum. Monazite kaya dengan thorium dan thorium ini juga adalah bahan radioaktif yang tinggi dan boleh digunakan untuk menggantikan uranium dalam menghasilkan tenaga nuklear. Berikut adalah kes-kes yang berkait rapat dengan thorium:
  1. Syarikat Mitsubishi Chemical yang terlibat dalam industri pemprosesan nadir bumi di Bukit Merah dikaitkan dengan 8 kes leukimia dan 7 kes kematian. Telah ditutup pada tahun 1992 dan kerja-kerja pembersihan sisa masih berjalan sehingga ke hari ini (hampir 20 tahun) dan telah menelan belanja lebih RM300 juta.
  2. Kesan toksik dan radioaktif dari industri ‘rare-earth’ di Baotou Mongolia. Setiap langkah pemprosesan nadir bumi yang bermula dari perlombongan bijih ke ‘rare earth oxide’ atau ‘rare-earth metals’ banyak menggunakan bahan asid dan kimia. Malah ketika perlombongan bijih, bahan asid akan dimasukkan ke lubang yang digali. Sisa buangan radioaktif khususnya Thorium juga dihasilkan ketika melalui semua proses itu. Kebocoran bahan asid, kimia dan sisa radioaktif ini yang banyak berlaku di Baotou terbukti telah menyebabkan kemusnahan kepada hasil pertanian dan kesihatan seperti kerosakan hasil tanaman, gigi tercabut dan rabut putih atau beruban diawal usia muda sekitar 20-an. Malah kematian disebabkan kanser juga direkodkan walaupun lokasi penempatan penduduk berada 10KM dari kawasan penyimpanan sisa buangan radioaktif itu.
  3. Kajian yang dilakukan oleh Kolej Perubatan Jiangxi di China dari sample darah dan ujian IQ pada kanak-kanak mengemukakan kesimpulan bahawa kanak-kanak di sekitar umur 7-10 tahun yang tinggal berdekatan dengan kawasan pemprosesan nadir bumi berkemungkinan mempunyai IQ atau kecerdasan akal yang lebih rendah berbanding mereka yang tinggal jauh atau yang tinggal di kawasan yang terkawal.
Further Reading,

Saturday, February 25, 2012

Say NO -NO to LYNAS : An injustice most taxing

Malaysians are no strangers to skewed agreements. From IPP subsidies to guaranteed profits for highway concessionaires, the public has on numerous times endured the consequences of sheer governmental incompetence. Yet, the 12-year tax exemption given to Lynas may prove to be the biggest blunder ever. Lynas is projected to make about AUD 6.2 billion in pre-tax profit in 2012 and 2013 and in exchange, we allow them to contaminate our land for free.
The graph below shows the spectacular rise in rare earth price since Q3 2010.  While gold’s bull run has been getting plenty of attention of late, the real star is rare earth, which has taken off to astronomical heights.

For Lynas, the price of the rare earths from Mount Weld may increase 15.7 times from JP Morgan’s estimate by the time the Lynas Advanced Materials Plant (LAMP) begins production in 2012.
JP Morgan published their stock analysis on June 24, 2010, just prior to the price break out.  They have predicted a ridiculously conservative average price of USD 17.69/kg in 2012.  At that price, they have expected Lynas to be breaking even in making AUD 4.8 million in net tax profit in 2012.  The price has since shot up to USD 201.35/kg on Aug 22, 2011.
Based on linear regression calculated from 3Q10 to Aug 22, 2011, and extrapolated to Jan 1, 2012, the price may even surge up to USD278.14.
The following table shows our revised estimates based on JP Morgan’s research.  We predict Lynas will make AUD 2.2 billion in 2012 and AUD 4.1 billion in 2013 before tax based on the above linear regression estimation (if the 22 August price of USD 201.35/kg is used, 2012 and 2013 profits would be AUD1.5 billion and AUD 2.9 billion respectively).
No matter what the price would be, Lynas will be able to repay their entire setup cost of AUD 807 million and still be able to make super normal windfall profit within the first year.  The profit is expected to double up in 2013 when production from Phase 2 commences.

Certain important assumptions are made in this deduction, and they are:
a) The revenue is directly proportional to the increase in rare earth price.
b) Rare earth prices are able to sustain at an average of USD 278.14.13/kg.  This is justified by assuming that the downside risk of new supply sources is balanced by the upside risk of China’s continual pull back in production.
c) Production of Phase 2, which will double LAMP’s capacity to commence production by 2013.  Construction of Phase 2 is scheduled for completion by Q4 2012.
d) In 2012 and 2013, the AUD/USD rates are 0.95 (rate at 25/8/2011) and 0.9 respectively.
e) Exchange rate has impact on revenue (since rare earths are priced in USD) and operating cost (25% of total operating cost to run the Mount Weld concentration plant is denominated in AUD).
JP Morgan has estimated that the internal transfer price of the semi-refined ores from the Mount Weld concentration plant to its Malaysian subsidiary to be approximately 30% of the finished product price.  Consequently, from the AUD 6.2 billion pre-tax profit for 2012-2013, only AUD 1.9 billion will be subjected to Australian tax.
The next table shows the estimated tax Lynas is liable for.  Taking into account the new Minerals Resource Rent Tax (MRRT), which is effectively levied at 22.5%, Lynas is estimated to pay AUD 683 million in Australian taxes in 2012 and 2013.
However, this amount is small compared to the AUD 2.3 billion in Australian taxes Lynas will have to pay if they have not relocated their plant overseas.
At the prevailing 25% corporate tax rate, Malaysia will be forgoing AUD 1.1 billion or RM 3.4 billion (rates at 25/8/2011) in tax revenue.  There will be some trickledown effects on Lynas’ local spending, income tax from Malaysian employees (up to 27%) and corporate tax on Lynas’ suppliers, but these benefits will be negated by the loss in real estate value and the inevitable depression in tourism.
Let’s ponder a moment the underlying principles for granting businesses tax holidays. Malaysia has numerous tax exemption ruling such as Pioneer Status, Investment Tax Allowance, Agriculture Allowance and Reinvestment Allowance.
These tax legislations are meant for Promoted Industries or Promoted Areas to facilitate economic growth and job opportunities in designated sectors or geographical areas (namely Sabah, Sarawak and Eastern Corridor of Malaysia).
Examples of Promoted Industries would be manufacturing and tourism, hence the rapid growth of industrial areas and hotels across Malaysia.  By granting Lynas a tax holiday vis-à-vis other “encouraged” endeavour, is the government keen to promote Grim Reaper factories here?
We are already opposed to the establishment of Lynas’ facility here.  And to let them reap the huge windfall arising from rare earths price trend movement while incurring huge and potentially disastrous social cost without making them compensate Malaysians adequately (if at all), shows just too clearly the inability of the present government to administer burden of tax in an equitable manner.
The Australian public would also be denied their rightful share of Lynas’ obligation to pay MRRT, should the plant be based in Australia instead hence the present Malaysian government is really presenting an unwitting loop hole to Lynas and doing huge disservices to the population of both nations.
This tax exemption is proving to be the worst agreement the Malaysian government has ever made.  At least for other lop-sided agreements, no matter how skewed the terms are, at least there are still some benefits, such as having power and access to highways.  But for Lynas, there is absolutely no benefit at all except imminent harm.
The final insult is that the Radiological Impact Assessment (RIA) has indicated that the plant is designed to store only 10 years of waste.  This means that Lynas may have already packed up and gone when their 12 years is up, leaving behind radioactive waste for the locals to deal with.
In conclusion, Malaysia is basically rolling out the red carpet to Lynas to turn our land into a permanent waste depository.  It is absolutely illogical.  Therefore, we appeal to the government’s common sense to stop Lynas from operating.
Note: The assumed operating capacity was not indicated in JP Morgan’s report.  They may have conservatively assumed that LAMP will only be running at 79% of the maximum capacity of 11,000 tonnes (deduced using the forecasted revenue of AUD 138 million divide by rare earth price of USD 17.69/kg).  If this assumption was made, Lynas stands to make AUD 2.8 billion in 2012 and AUD  5.2 billion in 2013 in pre-tax profit at full capacity. However, it might also be possible that the shortfall in revenue is the result of long term supply contracts at below market rare earth price.