Business

Published: Monday December 31, 2012 MYT 12:33:00 PM
Updated: Monday December 31, 2012 MYT 2:15:13 PM

Bina Goodyear still probing RM29.6m provision for works-in-progress

By John Loh


SUBANG JAYA: Bina Goodyear Bhd is "still investigating" the RM29.6mil provision it had to make for works-in-progress, said managing director Moo Hean Chong.

He, however, declined to release any further details to journalists after the company's AGM on Monday.

The construction and property development outfit had on Nov 19 appointed PKF Advisory Sdn Bhd to conduct a special audit on the provision and related matters, just three days before it suspended its senior general manager of finance to facilitate the investigation.

The provision, which had to be made for work that could not be charged to customers, whittled its shareholders' equity and caused the company to slip into PN17 status.

The firm also incurred RM90.5mil in net losses for the quarter ended Sept 30 due to a prior-year adjustment and additional provisions relating to the non-billable work-in-progress.

Bina Goodyear has said it plans to submit a regularisation plan to address the PN17 status.

Its stock was unchanged at 10 sen at midday, up from a low of nine sen on thin trade of 10,000 shares.

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