Kenmark can't quantify impact of expected losses

KENMARK Industrial Co (M) Bhd (7030) said it could not quantify the full impact of the expected losses arising from the winding-up proceeding served by Export-Import Bank of Malaysia Bhd (Exim Bank) for non-payment of loans.

However, the immediate effect would be the loss on use of the credit facilities from the banks and a writedown on the cost of investment in the subsidiary to be wound up amounting to RM130 million.

Meanwhile, Kenmark has also defaulted on the banking facilities from RHB Bank Bhd. It has an unsecured credit facility of RM3 million from RHB and an outstanding amount of RM2.16 million as of June 14.

This together with other defaults will have a material finan-cial and operational impact on the group, it told Bursa Malaysia.



by Business Times