Friday, June 12, 2009

Blackbird weekend interlude for UEM


Yours truly need to correct The Star report here. This blog is 'only' posing the question whether it is true or not. It is not an outright accusation.

To quote the analyst, now that is a spin. Off course, the analyst is undisturbed because the potential problem is not a listed concern. If it is, they will be concerned too.

UEM have made the necessary denial and explanation. They have corrected an oversight that UEM Group is not listed but UEM World is. Their listing status is passed on to UEM Land. Nevertheless, the question remains relevent.

There are many subsequent questions from their statement and commentators. Yours truly will be meeting few little birds over the weekend. Lets delve on it next week.

There were comentators Ciku Muda, and Jack sharing the operational problem faced by the Qatar project. Putik Ciku Bergetah expressed pride in their achievement.

Those are not quite answering the question but it gives an overview of the situation. If we lose money, how? And your company go bust? This is nation's asset. The cost of pride?

Many comentators were defensive and aggresive towards UEM. Many went out of topic and simplified conclusion. This is about issues of policy, professionalism and accountability.

RM840 million is a serious sh*t, whether one is a first defendent or second defendent. If the first defendent defaulted, Qatar PWA will go after UEM.

Why was the joint and several agreement signed? Few commentators questioned Ciku Muda about his no. 7 point and it and the no 6 point is reproduced below:

6. The failure took place exactly during the prestigious event of Asian Games 2006 (which Malaysia had lost the bid to be the host). Some portion of the highway starts to crack and damage severely. Unusual heavy rain since the past 10 years had deteriorated the damage further. However, it was surprisingly that the failure took place at only one particular type of design which is the pavement ‘Type 5’ out of 7 or 8 different types of road design in the project.

7. Subsequent to the first failure, at half way through the project, UEM was invited by PWA to re-negotiate the contract which ended up UEM being given a new price, new completion date, new design drawings, new requirement & specifications (which was until to date not approved by Qatar General Organization For Standards and Metrology) and less scope (as PWA wish to involve local company participation in the project). Both parties mutually agreed with a further terms in which PWA promised to assess fairly UEM’s earlier submission of financial claim, compensated losses incurred by UEM, no back charging of cost incurred by local companies participation, and many sweet promises more.
Enjoy the weekend and school holidays. In the meanwhile, enjoy this performace of McCartney's song Blackbird.

More next week.

8 comments:

Anonymous said...

I really thin this is a beautiful song, not only because of the outstanding acoustics but the lyrics as well, and you can argue over what it means as much as you want but all that really matters is how inspiring it is. The song basically means that things are gonna get better, after all the time you've been waiting for. It's not particularly about world peace or anything in particular, it could be about anything like a relation, but it can pertain to any situation, and how its always darkest right before dawn, things are gonna get better. This song inspires Hope above all else.

Don't give up on life...UEM^_*

Anonymous said...

..this is a beautiful song, not only because of the outstanding acoustics but the lyrics as well, and you can argue over what it means as much as you want but all that really matters is how inspiring it is. The song basically means that things are gonna get better, after all the time you've been waiting for. It's not particularly about world peace or anything in particular, it could be about anything like a relation, but it can pertain to any situation, and how its always darkest right before dawn, things are gonna get better. This song inspires.. hope above all else.

Don't give up on life...UEM^_*

Anonymous said...

Voice,

All's Quiet on the Western Front...

Before the BombShells starts dropping!!



Joe Black

Anonymous said...

just wait n c.....since benda nie dh masuk court.no point to comment or give bad pic about UEM.To M'sian goverment & Top Management of UEM cube lah buang ego tue sikit....jgan dok tunjuk handal kat negara org....even you have ground to win this case...just go n talk about this to the rights guy n very influence in GCC ( DSAI)...DSAI very closed with goverment of qatar n others GCC.....he is one of the economy adviser in Qatar Goverment......should used his influence to resolve this issue.....

Anonymous said...

Salwa road project update...

http://superman8818.blogspot.com/

Anonymous said...

In http://superman8818.blogspot.com/
The PWA (ASHGHAL)Magazine mentioned that:
"The committee report has clearly pointed out the faults and problems in the design of the project. The consultant has designed the project based on measurements beyond the standards and specifications of Qatar. Due to the transparency and truthfulness of Ashghal, public opinion on the issue emerged through newspaper columns and media responses."

Interesting why they sue UEM ?

Anonymous said...

Umm... err... tolong belikan jeket zara 1!

Anonymous said...

A joint and several construction agreement is a standard requirement by project owners and banks in any project. If there are more than one main contractor working in a joint venture, project owners and banks will want the comfort that they can take action on any one or all of the contractors. It is not out of the ordinary to sign such agreement. This liability is usually managed in the joint venture agreement between the contractors.

See this for reference:
http://books.google.com.my/books?id=8wz4MpHS4FsC&lpg=PA95&dq=turnkey%20joint%20and%20several&pg=PA95

My Say