Steel Trading

Turnover for the Steel Division for FY09 rose by $32m or 20% to $190m from $158m in FY08 mainly contributed by few major construction projects such as the two Intergrated Resorts projects, higher steel prices and higher tonnage for rebar. With the higher volume and improved margins, net operating profit increased from $1.8m to $6.8m.

Regional Property Development & Management

Turnover for Property Development improved by $3.5m from $8.2m to $11 .7m. Net operating profit declined by $2.2m from a profit of $1.5m to a loss of $0.7m after a provision of foreseeable loss of $3.6m for properties under development. Turnover for Property Rental decreased by 3% to $5.1m mainly due to lower rental income from the hypermarket building in Skudai, Johor. Net operating profit declined by $10.5m from $11 .7m to $1.2m mainly due to an impairment loss of $2.0m on investment properties compared to a gain of $8.1m in FY08.