General Announcement
Reference No CC-110609-44905
| Submitting Merchant Bank | : | - |
| Company Name | : | FAVELLE FAVCO BERHAD |
| Stock Name | : | FAVCO |
| Date Announced | : | 9 Jun 2011 |
| Type | : | Announcement |
| Subject | : | OTHERS |
| Description | : | FAVELLE FAVCO BERHAD ("FFB" of "the Company") ACCEPTANCE OF PURCHASE ORDERS |
Announcement Details/Table Section :
INTRODUCTION
The Board of Directors of FFB is pleased to announce that its wholly-owned subsidiary, Favelle Favco Cranes (M) Sdn Bhd., Favelle Favco Cranes (USA), Inc, FES Equipments Services Sdn Bhd (formerly known as Favelle Favco Equipment Services Sdn Bhd) and Favelle Favco Cranes Pty Ltd had received the following purchase orders or Letter of Intent (“Contracts”) respectively in the months of May 2011 and June 2011:-
| Contracts secured by | Customer | Brief description of the Contracts | Duration of the Contracts |
| Favelle Favco Cranes (M) Sdn Bhd | ExxonMobil Exploration Malaysia Inc | Supply of Offshore Crane | which is expected to be delivered by first quarter of 2012 |
| Favelle Favco Cranes (USA), Inc | TES, Inc | Supply of Tower Crane | which is expected to be delivered by second quarter of 2012 |
| FES Equipments Services Sdn Bhd (formerly known as Favelle Favco Equipment Services Sdn Bhd) | Petrovietnam Drilling & Well Services Corp. - Drilling Division | Supply of Spare parts | which is expected to be delivered from third quarter of 2011 to third quarter of 2012 |
| Favelle Favco Cranes Pty Ltd | Marr Contracting Pty Ltd | Supply of Tower Crane | which is expected to be delivered by end of 2011 |
The approximate combined value of the above substantial orders secured amount to RM70.3 million.
FINANCIAL EFFECTS
The above Contracts are expected to contribute positively to the earnings and net assets of FFB for the financial year ending 31 December 2011 and beyond. The Contracts do not have any impact on the share capital and shareholding structure of FFB.
DIRECTORS' AND MAJOR SHAREHOLDERS' INTERESTS
None of the Directors or major shareholders or persons connected to the Directors or major shareholders has any direct or indirect interest in the above Contracts.
DIRECTORS' STATEMENT
The Board of Directors of FFB is of the opinion that the acceptance of the above Contracts are in the best interest of FFB.