PDB Annual Report 2011

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PDB is the leading provider

of quality petroleum products

in Malaysia. As we move ahead,

we remain committed to

continuously innovate and

redefi ne our products, services

and customer experience,

further affi rming our aspiration

to go “All the Way” in creating

sustainable value for

our stakeholders.

...all the way

Financial Highlights

Business Highlights

Letter to Stakeholders

PDB Today

Our Vision & Shared Values

About PDB

Areas of Operation

Group Structure

Corporate Information

Board of Directors

Profi les of Directors

Management Committee

Performance Review

Q&A with the MD/CEO

Business Review

PDB in the News

Highlights 2010/11

Crude Oil and Petroleum Product Price Trend

Economic Outlook

Group Financial Summary

Simplifi ed Group Financial Position

Value Added Statement FY 2010/11

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Corporate Responsibility

Sustainability Report

Corporate Governance Statement

Statement on Internal Control

Board Audit Committee’s Report

Board Audit Committee’s Terms of Reference

Statement of Directors’ Responsibility

Investors’ Overview

Investor Relations Report

Share Performance

Shareholders’ Information

Financial Calendar

Financial Statements

List of Properties

Corporate Directory

Notice of Annual General Meeting

Proxy Form

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29th Annual General Meeting

Sapphire Ballroom, Level 1,

Mandarin Oriental Kuala Lumpur,

Kuala Lumpur City Centre,

50088 Kuala Lumpur on

Thursday, 28 July 2011

at 10.00 a.m.

inside

Financial Highlights

• Share price growth of 82.3% over 12 months

• Total annualised shareholders’ return

of 26.5% over 10 years

By delivering strong performance every quarter,

PDB’s share price has risen steadily as

shareholders’ confi dence continued to increase,

supported by regular communication and active

investor relations engagements by the Company.

4 PETRONAS DAGANGAN BERHAD (88222-D)

PETRONAS DAGANGAN BERHAD (88222-D) 5

Sales volume increase contributed mainly

by higher cylinder sales driven through

aggressive marketing activities and

enhanced customer services.

The Commercial Business’

market leadership is anchored

on our extensive supply and

delivery logistics of 29 terminals

strategically located nationwide.

Total LPG sales of

Market leadership of more than

1.4 billion litres

60%

Business Highlights

CommercialLPG


The Lubricant Business’ volume and revenue

growth was contributed by aggressive marketing

and wider distribution channels, clinching

partnership deals with major automotive dealers

such as PROTON, Chevrolet and Cycle & Carriage.

Over 20 new stations along with C-stores

were built and commenced operations during the year,

bringing our Retail Business’ market share to 32%.

- 3 times the industry growth

Growth of

PETRONAS Service Stations

Kedai Mesra Convenience Stores

955

617

Retail

Lubricants

9%



During the period under review, PDB committed

itself to pursuing an aggressive growth target,

with the ultimate intention of leading the

domestic market in all its business sectors.

Dear Shareholders,

On behalf of the Board of Directors, it gives me great pleasure to present the Annual Report of

PETRONAS Dagangan Berhad (the Company) for the fi nancial year ended 31 March 2011.

Economic Landscape

There was a revival of worldwide economic activity, with global output estimated to have grown

by slightly under 5%. Economies have not shown consistent upturns however, there were some

countries outpacing others with the Asian economies faring better.

The Malaysian economy emerged relatively unscathed from the global economic meltdown in

2009, and continued to grow in 2010 with a registered growth rate of 7.2%, on the back of revived

trade and industry activities driven by the government’s affi rmative economic programmes.

Moving into 2011, the domestic growth for the coming fi nancial year is anticipated to remain

respectable at 5% to 6%, in spite of the challenging external factors.



PDB is driven by

an aggressive growth

strategy to further

strengthen our market

leadership.


The Company - Energised for Growth

During the period under review, the Company committed

itself to pursuing an aggressive growth target, with the

ultimate intention of leading the domestic market in all its

business sectors.

The Company achieved several milestones in business

growth and innovative breakthroughs. The Company’s latest

in fuel innovation, the PETRONAS PRIMAX 95 Xtra was

launched by the Prime Minister in April 2011 for the retail

market. This provides our customers with an indisputably

superior quality product at the same price.

On the commercial side, successful strides were made

to broaden the customer base for our aviation fuel sector,

cementing the Company’s stronghold in major airports across

the country. The LPG Business introduced a convenient

service to deliver LPG cooking gas cylinders to customers

who can now place orders at a PETRONAS Service Station.

Our Lubricants Business, through strong partnerships and

aggressive expansion of the highstreet channels, has also

recorded a commendable performance.

The Company has also been taking preliminary steps over

the year in review to ensure that we are poised for the

next growth journey. Some of the steps include reviewing

business growth plans and realigning them to the growth

agenda through specifi c strategies that will not only build

on the strengths of each business unit, but also explore

opportunities to enhance new capabilities.

In addition, the Company continues to invest in its existing

infrastructure and assets to enhance their integrity as part

of the vigorous efforts expended to ensure that our delivery

network and operations are geared towards supporting

our anticipated business growth.

Financial Performance

The Company recorded revenue of RM23.3 billion for the

fi nancial year ending 31 March 2011, and another record

pre-tax profi t of RM1.2 billion. This is a testimony to the

Company’s commitment to continuously push for volume

growth, yield management and sound internal controls

exercised over the year in review.

For our loyal shareholders, the Board of Directors is

recommending a fi nal dividend of 35 sen and a special

dividend of 25 sen per share. An interim dividend of 30 sen

per share and special dividend of 10 sen per share were paid

on 28 December 2010, bringing the total dividend for the

fi nancial year to RM1.00 per share, a growth of 66.7% from

the previous fi nancial year.

The Company’s share price meanwhile charted extraordinary

growth of 82.3% over a 12-month period, bringing the share

price to RM16.50 as at 31 March 2011. We believe this to be

a refl ection of the Company’s strong business performance,

facilitated by more proactive and targeted communication

with shareholders, analysts and the market in general.

Total annualised shareholder return over 10 years stood at

26.5% at the end of the year in review, a highly commendable

achievement.

Corporate Responsibilities

Health, Safety and Environment (HSE) remains a focus of the

Company and practices have been pushed hard across our

operations. PDB will continue to challenge itself on this

front to deliver its Brand Promise to stakeholders.

As a company which believes in the collective strength of its

people to bring it forward, the Company continues to invest in

its staff through continuous training and teamwork-building

to ground in-house capability and develop a united workforce

that will see the Company realise its aspirations.


The Company has

taken preliminary steps

over the year in review to

ensure that we are poised

for the next growth journey.


The Company also continued to manifest its commitment

to Corporate Citizenry through initiatives in promoting

Road Safety, as well as participation in various community

programmes nationwide.

On the Corporate Governance front, I am pleased to

announce that the Company has adopted more stringent

measures of internal controls, including the establishment

of its own Internal Audit Department to supplement audit

efforts by PETRONAS’ Group Internal Audit, as well as the

introduction of Nomination and Remuneration Committees.

These measures demonstrate the Company’s commitment

to Corporate Transparency and Governance.

Looking Ahead

Looking ahead and notwithstanding the volatility of global oil

prices and the uncertainty of deregulation measures vis-à-

vis petrol pump prices in Malaysia, PDB is positioned for a

steady growth performance in the coming fi nancial year.

As the Malaysian government continues to aggressively

push for consumption growth and renewed investments in

the Malaysian market through its Economic Transformation

Programmes (ETPs), the different business segments are

ready to capture new growth opportunities.

Taking into consideration a 9-month fi nancial year for

2011, the Company expects to sustain moderate growth as

the gears are shifted to increase the momentum towards

the Company’s aspiration as the Brand of 1st Choice for

Malaysians.

Appreciation

On behalf of the Board of Directors, I would like to take

this opportunity to express my sincere appreciation to

YBhg Datuk Anuar Ahmad who has served as the previous

Chairman of the Board for fi ve years. We wish him all the

very best in his new role as Executive Vice President of Gas

and Power, PETRONAS.

I would also like to extend my appreciation and best wishes

to our previous MD/CEO, YBhg Dato’ Mohamad Sabarudin

Mohamad Amin, who joined MLNG in June 2010. On the

same note the Board welcomes our new MD/CEO En. Amir

Hamzah Azizan, who is also Vice President of Downstream

Marketing in PETRONAS.

The Board of Directors would also like to record our

appreciation to En. Md Arif Mahmood and Mr. Jan Hendrik

Badenhorst for their leadership and commitment as they

have stepped down from the Board in August 2010 and

February 2011 respectively. On the same note, we are

pleased to welcome back En. Mohammad Medan Abdullah

to the Board, and also new directors, YBhg Datuk George

Manharlal Ratilal and Pn. Juniwati Rahmat Hussin.

Finally, my sincere appreciation reaches out to all our

shareholders and stakeholders for their relentless support

and confi dence. I would also like to thank the Board of

Directors for their insightful guidance and support, the

Management Committee of PETRONAS Dagangan Berhad

and our dedicated employees for their professionalism,

determination and commitment to the Company in making

this year a signifi cant success.

Datuk Wan Zulkifl ee Wan Ariffi n

Chairman

PDB will be shifting gears

in the coming year to

increase the momentum

towards its aspiration as

the Brand of 1st Choice

for Malaysians.



Our Vision & Shared Values

About PDB

Areas of Operation

Group Structure


Board of Directors



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PDB todayPETRONAS DAGANGAN BERHAD (88222-D) 13

PDB is passionate

about delivering innovative

products and unique

experiences to

our customers.


Our Vision

Shared Values

Loyalty

Loyal to nation and corporation

Integrity

Honest and upright

Professionalism

Committed, innovative and proactive

and always striving for excellence

Cohesiveness

United in purpose and fellowship

To be the Brand of 1st Choice

What does it mean?

“Brand of 1st Choice” drives the core essence of what PDB stands for in terms of quality,

innovation, excellence and experience for petroleum products and services in Malaysia.

PDB aspires that Malaysians will continue to recognize, endorse and recommend PDB as

their foremost preferred brand, today and in the years ahead.

How we hope to achieve this

PDB offers a wide spectrum of high-quality premium petroleum products and services,

resulting from years of research and partnerships with the best in class, developed to cater to

the specifi c requirements of our customers.

Importantly, PDB has integrated this vision into all its processes, procedures and people

to make this aspiration a reality, for each of its core business and across all levels of the

Company.

Above all, PDB enjoys relentless support from its employees who embrace this vision and

are committed to translate this into a reality for customers. With aggressive plans for market

penetration and renewed commitment towards customer service excellence, PDB has

clearly set the platform for its next stage of growth.

Given its current market leadership position, PDB is poised to challenge the market paradigm

with innovative products and services to consistently remain the “Brand of 1st Choice”.


Incorporated in August 1982, PETRONAS Dagangan Berhad

(PDB) was listed on the Main Board of Bursa Malaysia on

8 March 1994. It is the principal domestic marketing arm

of Petroliam Nasional Berhad (PETRONAS) for downstream

petroleum products.

Committed to a growth agenda, PDB strives to continuously

provide superior products and services in all its four core

businesses of Retail, Commercial, Liquefi ed Petroleum Gas

(LPG) and Lubricants. The Company continues to offer a wide

range of internationally-recognised, high-quality petroleum

products including motor gasoline, aviation fuel, kerosene,

diesel, fuel oil, LPG cylinders and asphalt.

Today, PDB is the domestic market leader in the Commercial

and LPG sectors, with strong fundamentals to retain and

further solidify this position.

The Company’s Retail Business continues to grow its

extensive network of over 950 stations nationwide,

complemented by the broad expansion in products and

services offered through the MESRA Convenience Stores.

On the Lubricants Business front, PDB remains committed

to accelerating growth through the introduction of innovative

and niche products that are the result of dynamic international

partnerships and vast experience in motorsports fuel

technology.

PDB has also widely extended its comprehensive nationwide

logistics and distribution network over the years, comprising

bulk and aviation depots, bunkering facilities as well as

LPG bottling plants to ensure continuous reliable supply of

products. Our enhanced fl eet of road tankers completes the

value chain for a seamless delivery throughout Malaysia.

PDB’s leadership position in the Malaysian retail market

provides a robust foundation for the Company to achieve

its Vision to become Malaysia’s “Brand of 1st Choice” for

petroleum products.

About PDB

PDB is geared to be

the Brand of 1st Choice.



Bottling Plant

Aviation Depot

Fuel Terminal

Offi ce

Bunkering Facilities

Multi Product Pipeline

Joint Venture Depots and Facilities are:

i. Multi Product Pipeline,

Klang Valley Distribution Terminal Bulk Depot

ii. Bintulu Bulk Depot

iii. Tawau Bottling Plant and Bulk Depot

iv. KLIA Aviation Depot

v. Asean Supply Base JV for Bunkering Facilities

vi. IOT Management Senari

vii. Central Oil Distribution Terminal Tg Manis

Areas of Operation


PETRONAS DAGANGAN BERHAD

Subsidiary

Associate

Group Structure

PS TERMINAL SDN BHD

PDB: 50%

Shell Timur Sdn Bhd: 50%

Operation of joint depot

& bottling plant

IOT MANAGEMENT

SDN BHD

PDB: 20%


Senari Synergy Sdn Bhd: 70%

Operation of bulk

& LPG terminal

KUALA LUMPUR AVIATION

FUELLING SYSTEM SDN BHD

PDB: 65%

Malaysia Airports

(Properties) Sdn Bhd: 20%

Malaysia Airlines System

Berhad: 15%

Ownership & operation

of aircraft refuelling

system at KLIA

LUB DAGANGAN

SDN BHD

PDB: 100%

Marketing and distribution

of lubricants

ASSAR CHEMICALS DUA

SDN BHD

PDB: 20%


Senari Synergy Sdn Bhd: 60%

Ownership, operation and

maintenance of Central Oil

Distribution Terminal

PS PIPELINE SDN BHD

PDB: 50%

Shell Malaysia Trading

Sdn Bhd: 50%

Operation of Multi-Product

Pipeline and Klang Valley

Distribution Terminal (MPP-KVDT)




Directors

Datuk Wan Zulkifl ee

bin Wan Ariffi n (Chairman)

Amir Hamzah bin Azizan

Dato’ Chew Kong Seng

Dato’ Dr. R. Thillainathan

Dato’ Kamaruddin bin Mohd Jamal

Datuk Ainon Marziah bt Wahi

Datuk Manharlal a/l Ratilal

Juniwati bt Rahmat Hussin

Mohammad Medan bin Abdullah

Board Audit Committee

Dato’ Chew Kong Seng (Chairman)




Remuneration Committee

Datuk Ainon Marziah bt Wahi (Chairman)



Nomination Committee

Dato’ Dr. R. Thillainathan (Chairman)



Company Secretaries

Nur Ashikin bt Khalid

Yeap Kok Leong

Registrar

Symphony Share Registrars Sdn. Bhd.

Level 6, Symphony House

Pusat Dagangan Dana 1

Jalan PJU 1A/46

47301 Petaling Jaya

Selangor, Malaysia

Tel : (03) 7841 0000

Fax : (03) 7841 8151 / 7841 8152

Registered Address

Tower 1

PETRONAS Twin Towers

Kuala Lumpur City Centre

50088 Kuala Lumpur

Tel : (03) 2051 5000

Fax : (03) 2026 5505

Business Address

Level 30-33, Tower 1



50088 Kuala Lumpur

Tel : (03) 2051 5000

Fax : (03) 2026 5505

Bankers

CIMB Bank Berhad

Malayan Banking Berhad

Stock Exchange Listing

Main Market of

Bursa Malaysia Securities Berhad

Auditors

KPMG Desa Megat & Co.

Website

www.mymesra.com.my

Customer Service Centre (MESRALINK)

Tel : 1-300-88-8181

e-mail : [email protected]


Board of Directors

SEATED, FROM LEFT:



Datuk Wan Zulkifl ee bin Wan Ariffi n

Datuk Manharlal a/l Ratilal

STANDING, FROM LEFT:

Yeap Kok Leong (Company Secretary)

Nur Ashikin bt Khalid (Company Secretary)





Mohammad Medan bin Abdullah



Datuk Wan Zulkifl ee bin Wan Ariffi n, a Malaysian aged 51, is a Non-Independent Non-Executive

Director. He is the Chairman of PETRONAS Dagangan Berhad.

He holds a Bachelor of Engineering Degree from the University of Adelaide, South Australia.

In 2000, he attended the INSEAD Senior Management Development Program and in 2004

he attended the Advanced Management Program at Harvard Business School, Harvard University.

He was conferred the Honorary Fellowship by the Institution of Chemical Engineers, United Kingdom

in November 2005.

Since joining PETRONAS in 1983, Datuk Wan Zulkifl ee has held various positions within the

PETRONAS Group including serving in the Offi ce of the President as Executive Assistant to the

President, General Manager, International Projects Management Division of OGP Technical Services

and General Manager for the Strategy and Business Development Unit. He was the Managing Director/

Chief Executive Offi cer of PETRONAS Gas Berhad from 2003 until 2007. He was also the Vice President

of Gas Business from April 2006 until April 2010.

Datuk Wan Zulkifl ee is currently the Executive Vice President, Downstream Business of PETRONAS

and is a member of PETRONAS’ Board of Directors, the Executive Committee, Management

Committee and serves on various Boards of several Joint Ventures and Subsidiary Companies in the

PETRONAS Group.

Datuk Wan Zulkifl ee is also the Chairman of PETRONAS Chemicals Group Berhad. He is a member of

the Board of Directors for MISC Berhad and the Industry Advisor to the Engineering Faculty, University

Putra Malaysia.

He was appointed to the Board on 17 August 2010 and attended three (3) Board meetings during the

fi nancial year.


Dato’ Chew Kong Seng, a Malaysian aged 73, is an Independent Non-Executive Director and the

Chairman of the Board Audit Committee. He is a Fellow of the Institute of Chartered Accountants in

England and Wales and a member of the Malaysian Institute of Certifi ed Public Accountants and the

Malaysian Institute of Accountants. His career started off as a tax offi cer in the United Kingdom with

the Inland Revenue Department and Stoy Hayward & Co. from 1964 to 1970. He returned to Malaysia

to join Turquand Young & Co. (now known as Ernst & Young) and was subsequently transferred to the

Sarawak offi ce in 1973, fi rst as Manager-in-Charge and later as Partner-in-Charge. He served as the

Managing Partner of Ernst & Young for six (6) years before he retired from professional practice in

1996. From May 1999 to June 2005, he was an Executive Director of Sarawak Enterprise Corporation

Berhad.

His experience covers a wide variety of industries including those relating to banking and fi nancial

institutions, utilities, timber-based, manufacturing, trading and advisory services to local and foreign

investors. He is also an Independent Director and Audit Committee Chairman of fi ve (5) public-listed

companies namely PETRONAS Dagangan Berhad, AEON Co. (M) Berhad, PBA Holdings Berhad,

Encorp Berhad and GW Plastics Holdings Berhad. He is an Audit Committee member of PETRONAS

Gas Berhad and GuocoLand Malaysia Berhad. He also acts as an Independent Director in other public

limited companies.

He was appointed to the Board on 25 March 1994 and attended four (4) Board meetings during the

fi nancial year.

Amir Hamzah bin Azizan, a Malaysian aged 44, was appointed as the Managing Director and Chief

Executive Offi cer of PETRONAS Dagangan Berhad in June 2010. He was subsequently promoted to

become Vice President of Downstream Marketing of PETRONAS on 1 March 2011.

He holds a Bachelor of Science degree in Management (majoring in Finance and Economics) from

Syracuse University, New York. He had also attended the Stanford Executive Programme at Stanford

University, U.S.A. and the Corporate Finance Evening Programme at the London Business School,

United Kingdom.

He started his career within the Shell Group of Companies for 10 years, serving in various capacities

including Head of Financial Services and Manager, Planning & Support at Sarawak Shell Berhad,

Corporate Finance Executive at Shell Malaysia Limited, Marketing Credit Accountant at Shell Singapore

Pte. Ltd., Internal Auditor at Shell Eastern Petroleum Pte. Ltd. and Senior Treasury Advisory at Shell

International Ltd., London.

In the year 2000, Amir Hamzah joined MISC Berhad as the Group’s General Manager, Corporate

Planning Services. Subsequently in 2004, he was the Regional Business Director (Europe, Americas,

Africa and FSU) of MISC Berhad, based in London, UK; before being appointed President/Chief

Executive Offi cer, AET Tanker Holdings Sdn. Bhd. on 1 April 2005. He was promoted to become the

President/Chief Executive Offi cer of MISC Berhad on 1 January 2009 and served until 14 June 2010.

He is also a Board Member of MISC Berhad, UK P&I Club as well as a council member of the American

Bureau of Shipping. He is also a Board Member of a number of companies within the PETRONAS

Group including Engen Limited, PETRONAS Lubricants International and PETRONAS Aviation Sdn. Bhd.

He was appointed to the Board on 15 June 2010 and attended three (3) Board meetings during the

fi nancial year.


Dato’ Dr. R. Thillainathan, a Malaysian aged 66, is an Independent Non-

Executive Director. He holds a Class 1 Honours in Bachelor of Arts (Economics),

University of Malaya (1968) and obtained his Masters and PhD in Economics from

the London School of Economics. He is also a Fellow of the Institute of Bankers,

Malaysia.

He sits on the Boards of Bursa Malaysia Berhad, Genting Berhad, The Bank

of Nova Scotia Berhad, Allianz General Insurance Company (Malaysia) Berhad

and Allianz Life Insurance Malaysia Berhad as well as Asia Capital Reinsurance

Malaysia Sdn Bhd. He is also a member of the Board of Trustees of Child

Information, Learning and Development Centre as well as Yayasan MEA.

Dato’ Dr. R. Thillainathan has extensive years of experience in fi nance and

banking and is actively involved in numerous professional and national bodies.

He is also the Past President of the Malaysian Economic Association.

He was appointed to the Board on 24 March 1994 and attended four (4) Board

meetings during the fi nancial year.

Datuk Manharlal a/l Ratilal, a Malaysian aged 52, is a Non-Independent Non-

Executive Director. He holds a Bachelor of Arts (Honours) degree in Accountancy

from the City of Birmingham Polytechnic, United Kingdom and Master in Business

Administration from the University of Aston in Birmingham, United Kingdom.

Prior to joining PETRONAS in 2003, he was attached with a local investment bank

for eighteen (18) years, concentrating on corporate fi nance where he was involved

in advisory work in mergers and acquisitions, equity and debt capital markets.

From 1997 to 2002, he served as the Managing Director of the investment bank.

Datuk Manharlal is the Executive Vice President, Finance of PETRONAS, a member

of PETRONAS’ Board of Directors, the Executive Committee, Management

Committee and currently serves on various Boards of several Joint Ventures and

Subsidiary Companies in the PETRONAS Group. He is also a Non-Independent

Non-Executive Director in two (2) other public-listed companies namely KLCC

Property Holdings Berhad and PETRONAS Chemicals Group Berhad. He also

acts as an Independent Director in other public companies.

He was appointed to the Board on 17 August 2010 and attended three (3) Board




Datuk Ainon Marziah bt Wahi, a Malaysian aged 60, is an Independent

Non-Executive Director. She holds a Bachelor of Arts (Hons) in Anthropology

& Sociology from University of Malaya and obtained her Master of Science

(Industrial Relations) from University of Strathclyde, United Kingdom.

She joined PETRONAS in 1979 and has held various senior positions in the Human

Resources Management Division, PETRONAS including that of Vice President,

Human Resources Management Division until she retired on 31 March 2009.

She was appointed to the Board on 1 October 2002 and attended four (4) Board




Dato’ Kamaruddin bin Mohd Jamal, a Malaysian aged 68, is an Independent

Non-Executive Director. He had attended the British Royal Military College of

Science and British Command and Staff College. He holds an MBA from the

School of Business Management of the Cranfi eld Institute of Technology, United

Kingdom. He had also attended the Advance Management Program at the IMD,

Lausanne, Switzerland.

He was commissioned into the Malaysian Army in 1962 and left the service in

1974 after he had served in various command and staff positions for twelve (12)

years. He then joined Esso Production Malaysia Inc. in 1975 and held various

management positions in both upstream and downstream sectors. He was

an Assistant to the Chairman for two (2) years before he was appointed as HR

Director for the Esso Companies in Malaysia on 1 January 1987. He remained in

this position until he elected to retire in December 2001.

He was appointed to the Board on 1 March 2002 and attended four (4) Board



Juniwati bt Rahmat Hussin, a Malaysian aged 52, is a Non-Independent

Non-Executive Director. She holds a Bachelor of Science (Hons) Degree in

Chemistry from University of Kent, Canterbury, United Kingdom and is currently

the Vice President of Human Resource Management Division, PETRONAS.

Juniwati started her career in 1981 as a Chemist and had served for 30 years

in several positions in the PETRONAS Group including as Vice President of the

Education Division. Throughout her career, she has gained a wide range of

hands-on experience in Refi nery Operations, Project Management, Corporate

Planning, Human Resource and Marketing & Trading.

During her tenure in PETRONAS, she had attended INSEAD Senior Management

Development Program in 2004 and Advanced Management Program in 2007.

She holds a Certifi cate in International Management from GE and attended the

HENLEY Business School Advanced Management Program in United Kingdom.

Juniwati currently sits on the Board of several companies in the PETRONAS

Group. She was appointed to the Board of PETRONAS Dagangan Berhad on

17 August 2010 and attended two (2) Board meetings during the fi nancial year.

Mohammad Medan bin Abdullah, a Malaysian aged 53, is a Non-Independent

Non-Executive Director. He holds a Bachelor of Laws from the University of

Malaya.

He joined PETRONAS in 1982 and is currently the Senior General Manager of

Group Corporate Affairs Division. Prior to assuming this role, he has held various

senior positions in PETRONAS such as the Managing Director/Chief Executive

Offi cer of Malaysia LNG Sdn Bhd and Executive Assistant to the President/Chief

Executive Offi cer of PETRONAS. He is a Non-Independent Non-Executive Director

of two (2) other public-listed companies namely PETRONAS Gas Berhad and

Bintulu Port Holdings Berhad. He is also a Board member and/or the Chairman

of other companies within the PETRONAS Group.

He was appointed to the Board on 17 August 2010 and attended three (3) Board


None of the Directors has:

Any family relationship with any Director and/or major shareholder.

Any confl ict of interest with PETRONAS Dagangan Berhad.

Any conviction for offences within the past ten (10) years

other than traffi c offences.


Izuddin Husaini Mohd. YusoffSenior General Manager, Retail Business Division

Izuddin Husaini, a Malaysian aged 50, graduated with a Bachelor

in Civil Engineering (Hons) from the University of Malaya. He is

a fellow of the Certifi ed Professional Engineer accredited by the

Board of Engineers Malaysia.

He joined PETRONAS in 1987 and served PETRONAS Gas Sdn Bhd

until 1992. In 2001 he joined PETRONAS Dagangan Berhad and

held various management positions within the Supply and

Distribution Division including General Manager of the Division. In

2008, Izuddin Husaini was appointed as Chief Executive Offi cer for

PICL (Egypt) Corp. Ltd and served in Egypt for slightly less than

three years before returning in December 2010 to join PETRONAS

Dagangan Berhad as Senior General Manager of the Retail

Business Division.

Rozaini Mohd. SaniChief Financial Offi cer

Rozaini, a Malaysian aged 37, graduated with a Bachelor in

Commerce (Accounting & Finance) from the University of

New South Wales, Australia and is a Member of the Institute of

Chartered Accountants in Australia.

He started his career in KPMG Sydney, Australia for six years

before joining PETRONAS in 2001. He was attached to PETRONAS’

Group Internal Audit Division until 2004 before moving to undertake

Business Development roles within the Gas Business of

PETRONAS. He was then involved in senior managerial roles

in Marketing & Trading of Liquefi ed Natural Gas (LNG) in a

subsidiary of PETRONAS, followed by a Senior Manager position

at PETRONAS’ Corporate Strategic Planning Division before

joining PETRONAS Dagangan Berhad in November 2010 as Chief

Financial Offi cer.

Amir Hamzah AzizanManaging Director / Chief Executive Offi cer

Amir Hamzah, a Malaysian aged 44, holds a Bachelor of Science

degree in Management from Syracuse University, New York. He also

attended the Stanford Executive Programme at Stanford University,

and the Corporate Finance Evening Programme at the London

Business School.

He started his career within the Shell Group of Companies for 10

years, before joining MISC Berhad in 2000 as the General Manager

of Corporate Planning Services. In 2004, he moved to London as

Regional Business Director and was subsequently appointed as

President / CEO of AET Tanker Holdings Sdn Bhd in 2005.

In January 2009, Amir Hamzah was promoted to be President

/ CEO of MISC Berhad and served until June 2010 before being

appointed as the MD / CEO of PETRONAS Dagangan Berhad. He is

also the Vice President of Downstream Marketing, PETRONAS.



Mohd Shobri Abu BakarGeneral Manager, Lubricants Business Division

Mohd Shobri, a Malaysian aged 51, graduated with a Bachelor

in Mechanical Engineering from the University of Technology

Malaysia.

He joined PETRONAS in 1982 and served with the Supply and

Distribution Division for 23 years, holding various management

positions covering project management, maintenance, logistic

planning and operations before being promoted as the General

Manager in 2005. He then continued his services with PETRONAS

as the General Manager for the Lubricant Unit of the Holding

Company until 2007, overseeing its lubricant business expansion

and is currently the General Manager of the Lubricants Business

Division of PDB.

Ungku Haslina Ungku Mohamed TahirGeneral Manager, Supply and Distribution Division

Ungku Haslina, a Malaysian aged 47, graduated with a Bachelor

(Sc) in Mechanical Engineering from Ohio University and holds a

Masters in Engineering (Mechanical) from Universiti Teknologi

Malaysia.

She joined PETRONAS in 1987 and started her journey as a

Mechanical Engineer within the PETRONAS Group. She later joined

PETRONAS Group Human Resource Division, where she served

from 2001 to 2008. Ungku Haslina joined PETRONAS Dagangan

Berhad in July 2008 as General Manager of the Human Resource

Division, and assumed her current position as General Manager

of Supply & Distribution Division in June 2010.

Nur Azmin Abu BakarGeneral Manager, Corporate Services Division

Nur Azmin, a Malaysian aged 49, graduated with a Bachelor in

Business Administration from Indiana State University and holds

a MBA from Drake University, USA. He is a Certifi ed Professional

Risk Manager (CPRM), a Fellow in Applied Risk Manager (FARM)

and is a Certifi ed Professional Coach (CPC).

He joined PETRONAS in 1992 and held various management

positions in PETRONAS Corporate Planning and Development

Division, responsible for strategizing and implementing Enterprise

Risk Management within the group. He joined PETRONAS

Dagangan Berhad in 2009 as General Manager of the Corporate

Services Division.



Sabri SaidGeneral Manager, Commercial Business Division

Sabri, a Malaysian aged 49, graduated in Business Studies and

began his career as a journalist with a leading local English daily

in 1985 before joining a mobile telecommunications company in

1993.

He joined PETRONAS in 1995, starting with the PETRONAS

Corporate Affairs Division before being appointed to the Offi ce

of the President where he served as Executive Assistant to the

President / CEO until February 2010. Sabri joined PETRONAS

Dagangan Berhad in March 2010 as General Manager of the

Commercial Business Division.

Lee Ten ChaiSenior Manager, Health, Safety and Environment Department

Lee Ten Chai, a Malaysian aged 54, graduated with a Bachelor (Sc)

in Occupational Health and Safety from the National University of

California, USA.

He joined PETRONAS in 1978 and was involved with conducting

occupational, health and safety enforcements and governance.

From 1998 to 2007, Lee served as the Deputy Project Director of

the PETRONAS Disaster Management Unit, applying Business

Continuity Plans (BCP) and Disaster Management for the

PETRONAS Group. He joined PETRONAS Dagangan Berhad in

2007 and is currently the Senior Manager of the Health, Safety

and Environment Department.

Nur Ashikin KhalidSenior Legal Counsel, Legal & Secretariat Department

Nur Ashikin, a Malaysian aged 39, holds a Bachelor of Laws (Hons)

degree as well as a Master of Laws in Legal Aspects of Marine

Affairs from the University of Wales, Cardiff.

She joined PETRONAS in 1996 as a Legal Offi cer for PETRONAS

Maritime Services Sdn Bhd. She then held positions in PETRONAS

Gas Berhad as well as in Corporate Services & Technology, Legal

Services Unit, PETRONAS before her secondment as a Senior

Legal Counsel to the East Coast Economic Region Development

Council in 2008. She was the Senior Legal Counsel for the MLNG

Group of Companies before joining PETRONAS Dagangan Berhad

in January 2011.


Ahmad Kushaini RamliSenior Manager, Strategic Planning Department

Ahmad Kushaini, a Malaysian aged 44, graduated

with a Bachelor in Economics from Marquette

University, USA.

He joined PETRONAS in 1992 and served

with the PETRONAS Corporate Planning and

Development Department for 13 years in

various positions, before he was seconded to

the National Economic Action Council (NEAC),

focusing on government initiatives to enhance

and transform the national economy. In 2008,

he rejoined PETRONAS Corporate Planning &

Development Department and served for two

more years before joining PETRONAS Dagangan

Berhad in 2010 as Senior Manager of the

Strategic Planning Department.

Mohd Azlan AbasSenior Manager, Operation and Performance

Improvement Department

Mohd Azlan, a Malaysian aged 40, graduated with

a Bachelor (Sc) in Mechanical Engineering from

Western Michigan University and holds a MBA

from Universiti Kebangsaan Malaysia (UKM). He

is professionally certifi ed in several areas such

as Mechanical Engineering, Project Management,

ISO9000, Kaizen and Six Sigma.

He worked in commercial and technical areas of

several renowned companies such as Proton

Berhad, Bechtel Corporation, 3M Co. (M) Sdn Bhd,

General Electric International and Ambank Berhad,

before joining PETRONAS Dagangan Berhad as

Senior Manager of the Operation and Performance

Improvement Department in November 2010.

Zubair Abdul RazakGeneral Manager, LPG Business Division

Zubair, a Malaysian aged 47, graduated with a

Bachelor (Sc) in Mechanical Engineering from

the University of Southwestern Louisiana, USA

in 1986.

He joined PETRONAS in 1987 and fi rst served as

a Project Engineer in PETRONAS Refi ning and

Marketing Division. He later served PETRONAS

Penapisan Melaka Sdn Bhd from 1989 to 2001,

holding various positions within the company.

Zubair then joined PETRONAS Dagangan

Berhad in 2001 as Manager and subsequently

Senior Manager in the Engineering Department,

Supply and Distribution Division. He assumed

the position of General Manager of the LPG

Business Division in February 2009.

Hamidah AliasGeneral Manager, Human Resource

Management Division

Hamidah, a Malaysian aged 54, graduated with a

Bachelor (Sc) in Estate Management from South

Bank University and also holds a MBA from the

University of Lancaster, United Kingdom.

She joined PETRONAS in 1983 and has

accumulated through various postings, over

20 years of progressive human resource

management and leadership experience within

the PETRONAS Group. She was responsible for

setting up the Leadership Faculty for PERMATA

Training Sdn Bhd in 2002. In 2010, Hamidah

joined PETRONAS Dagangan Berhad as the

General Manager of the Human Resource

Management Division.



Performance Review

Q&A with the MD/CEO

Business Review

PDB in the News

Highlights 2010/11


Economic Outlook




36

43

63

64

70

71

72

75

76


The year under review was marked by several key

achievements for PDB, with improvement initiatives

rooted in fundamental aspects of the business,

namely products, service and operational effi ciency.

Amir Hamzah Azizan, Managing Director and Chief Executive Offi cer of

PETRONAS Dagangan Berhad (PDB), joined the company in June 2010.

He speaks to shareholders about the fi nancial year in review, and the

aspirations for PDB in relation to the new growth agenda.

Q&Awith the MD/CEO



1. PETRONAS Dagangan Berhad closed its Financial Year

with a record. What were the key contributing factors?

Profi t before tax increased almost 16% from last year to

RM1.2 billion, on the back of RM23.3 billion in revenue

generated by 13.5 billion litres in sales volume – defi nitely

results that we are pleased with.

This year’s numbers were contributed by a combination

of increase in sales volume – particularly from the

Commercial sector, and an increase in selling price due

in part to global oil prices and in part to the controlled

price increases of retail fuel as the government gradually

cut back on subsidies. Internally, we were able to control

operational expenditure despite the increased sales

activities, further contributing to the bottom line.

An instrumental driver behind our performance was

also the collective effort of our people and to this end

I would like to record my sincere appreciation to our

staff for their continued commitment, members of my

Management Committee for their leadership, and the

Board of Directors for their guidance and support.

The year under review was marked by several key

achievements for PDB, with improvement initiatives

rooted in fundamental aspects of the business, namely

products, service and operational effi ciency. The launch

of our new RON 95 fuel, PETRONAS PRIMAX 95 Xtra is

a signifi cant accomplishment as its superior quality has

provided PDB with a sharp competitive edge. I believe,

however, that good products need to be backed up by

excellent customer services as well as uncompromising

operational excellence. To this end, we have also

spent time and energy in the previous year to focus on

encouraging fi rst-rate service at our retail stations,

and tight management of our supply and distribution

network.

2. How did each of the business divisions perform

in relation to the market?

The Retail Business marked a respectable 4.7% increase

in sales volume from last year, mirroring the nation’s

economic growth over the same period. Margin also

increased as the Retail Business gained from increased

sale prices, and contribution from the Non-fuel business,

in particular the Convenience Store Business which

marked a 9% increase in average daily sales. In the

year under review, we continued to grow our network,

crossing the 950th station mark in November. Retail

remains the fl agship business for PDB, contributing

almost half of the company’s net margin.

Q&A with the MD/CEO


Our Commercial Business had a good run in FY2010/2011

in tandem with growing economic activities in several

sectors, marked by an increase in diesel, aviation fuel

and bitumen sales volume. The Commercial team’s

focus on heightening customer service to secure new

customers paid off with solid additions to the aviation,

industrial and marine portfolios, further running up the

volume.

Although the LPG Business exceeded internal growth

targets, it was weighed down by slower bulk sales,

resulting in a modest growth of 2% compared to last

year. Cylinder sales contributed healthy volume as we

penetrated new markets while continued efforts to

manage dealer incentives resulted in improved margins.

PDB continues to lead the market in the LPG sector with

50.7% market share.

Sales volume from the Lubricants Business grew

by 9% compared to the previous year, driven mainly

through direct sales to our OEM and targeted consumer

promotions to drive sales through the other channels.

In particular, the highstreet channel marked signifi cant

increase through the successful efforts of our fully-

owned subsidiary, Lub Dagangan Sdn. Bhd. (LDSB). Our

products for the Passenger and Commercial Vehicle

Lubricants line continued to do well, chalking 14% and

9% growth respectively. With an extensive line-up of

high-quality products, focus on strategic marketing

will continue to guide the Lubricants Business as we

endeavour to increase market share and margins.

3. What are the focus areas for each of the business

divisions looking forward?

The Retail Business has a stretched target ahead. Our

ambition is to take the market leadership position in

three to fi ve years’ time. This translates into very specifi c

strategies over the next few years to achieve growth that

is not just cosmetic in nature. We will be reviewing our

network of over 950 PETRONAS Service Stations across

the country to streamline the portfolio. To compete

in the partially price-controlled retail market where

consumers are increasingly discerning about quality,

we believe in long-term investments in Research and

Development to ensure continuous improvements to

our fuel products. Our ongoing work with Formula 1™

fuel technology partners have resulted in the successful

launch of our new PETRONAS PRIMAX 95 Xtra fuel for

consumers in April 2011, an advanced RON 95 grade

fuel that provides superior engine performance and

better mileage. This milestone marks the beginning of

other product enhancements – exciting times for the

coming year! Also imperative to the Retail Business

is uncompromising service excellence. To this end the

company has introduced several initiatives involving

participation from all levels of staff and our network of

dealers. I hope to see the results of these initiatives in the

coming year. Ultimately, we want our customers to have

a great experience every time they visit a PETRONAS

Service Station. If you don’t, tell us – because we are

committed to improving.

Q&A with the MD/CEO

Ultimately, we want our

customers to have a great

experience every time they

visit a PETRONAS Service

Station. If you don’t,

tell us – because we are

committed to improving.


Q&A with the MD/CEO

For our Commercial Business, our main focus in the

coming year will be on securing consistent product

sources while growing our customer base. We will

be concentrating on new opportunities coming out of

the economic development corridors under the 10th

Malaysia Plan and the government’s Economic

Transformation Programmes (ETPs) to capture

new customers who will require our products for

development projects. In order to ensure top service

for our Commercial customers, we will also be working

very hard on the back-end to strengthen our network for

product sourcing and delivery to ensure uninterrupted

supply to all our customers as our base grows. Our

customer service, the differentiator in the Commercial

market, will continue to be fi ne-tuned to retain our

healthy customer portfolio.

The LPG Business is a matured business for PDB, and

key focus areas for us include innovative marketing and

tighter cost controls. By the end of this fi nancial year, we

hope to be able to introduce a break-through innovation

that will translate to even stronger performance in

the LPG market for PDB, backed by unconventional

promotional efforts to penetrate niche consumer

markets. The business will also be intensifying

operational effi ciency to control costs and create value

across the delivery chain, including better manpower

planning and streamlining assets at our bottling plants,

and detailed management of our dealer network.

As with the Retail Business, our Lubricants Business

is also chasing market leadership position. We have a

strong line-up of products and will continue to focus

on providing high-quality, unique products to cater to

the needs of specifi c industrial users, and building up

our presence in niche markets. In this regard, our close

partnership with PETRONAS Lubricants International

(PLI) and Formula 1™ fuel technology experts gives us

the cutting edge in being able to supply a wide range

of international-standard lubricants in the domestic

market. Another area we will be concentrating on will

be our marketing and distribution channels, as we

continue to push for market entry in target areas.

4. You have set PETRONAS Dagangan Berhad on a

pretty aggressive growth agenda. What are your key

aspirations and drivers behind it?

PDB is the domestic retail and marketing arm for the

PETRONAS Group. Fundamentally, as a member of

this formidable global corporation, it would be fi tting

for PDB to be the market leader on home ground.

To get to that position, we must work very hard to achieve

optimum market share in each of our businesses.

However, growing only in size and sales volume will

not turn PDB into the leader I envision; we must also

be top in class in business conduct and operational

standards. To our customers on the road, this means

uncompromised excellence in customer service and

superior quality products that cater to their needs.

I would like to see PDB as a company held in high regard

by the corporate community as well as the man on the

street for its strong business acumen and unbending

integrity.

Growing only in size and

sales volume will not

turn PDB into the leader

I envision; we must also

be top in class in business

conduct and operational

standards.


The key driver behind PDB’s growth journey will be,

without a doubt, our staff. This is a company that has

grown from humble beginnings into a company with a

market capitalization of RM16.4 billion as at 31 March

2011. Many of our staff have been part of this incredible

journey over the last 28 years and there is an ingrained

force of solidarity among the workforce that drives the

passion and commitment to see PDB reach its ultimate

goals.

Other strengths that will play in our favour include our

wide network of assets, delivery operations and dealers /

distributors. These are all channels that we can leverage

on in planning our growth strategies.

5. PETRONAS Dagangan Berhad’s Share Price

has increased over 80% in the last 12 months.

What happened?

Over the 12-month period in the last Financial Year,

PDB’s share price grew from RM9.05 to RM16.50,

essentially a 82.3% hike. To date, it is hovering between

RM15 and RM16. A great performance by any measure

and we, and I believe our shareholders, are pleased.

There are many factors, both internal and external that

affect a company’s share price. On the internal side, I do

believe that a sustained strong business performance

has helped.

What I can say for sure is that with the establishment

of a structured investor relations policy this year, PDB

is now communicating much more than before with

investors, analysts and other related stakeholders. As a

listed company, we are committed to ensure timely and

accurate sharing of material information with the end

objective of attaining a fair valuation for PDB from the

investing community.

Over the years, PDB has consistently generated

strong shareholder value in the form of dividend yield.

We believe in sustaining attractive returns to reward

our loyal shareholders, and this has been demonstrated

through the record dividend payout in this fi nancial

year amounting to RM745.1 million, and a strong Price/

Earnings Ratio of 18.85 times. Combined with a generally

stable outlook for future growth, I would like to believe

that PDB shares will remain attractive to investors in the

years to come.

Q&A with the MD/CEO


As a company that is present in every single community in

the country, we continuously make an effort to reach out

to the people – notably through our PETRONAS Coffee

Break campaign every festive season to promote road

safety to Malaysians during their ‘balik kampung’ exodus.

This year we have also offered our wide network of Kedai

Mesra convenience stores to support PETRONAS’

“Sentuhan Harapan” programme, aimed at alleviating

poverty. The programme assists Malaysians living

below the poverty line to break the poverty cycle through

several initiatives, including providing basic food aid and

living skills training. PDB’s participation allows them

to conveniently pickup the subsidised basic food items

at selected Kedai Mesra convenience stores that are

accessibly located.

Responsibility to society is extended from internal

responsibility to ourselves by ensuring a safe and

healthy working environment. Emphasis on Health,

Safety and Environment (HSE) practices in all our

operations remains a business priority – we believe

tough HSE standards sustain good business, and there

are no compromises when it comes to safety at work.

Staff welfare is regularly addressed through staff-

management engagements; in addition to continuous

capability development plans for staff, last year also saw

PDB expending resources to create a more conducive

working environment as part of our goal to make PDB

an employer of choice.

7. What can we expect from PDB in the 2011

Financial Year?

Earlier this year we launched our new tagline:

All The Way. That is what can be expected of PDB

moving forward – we are going all the way, in every way.

On the business front, our end-targets are clear indicators

of the effort and resources that need to be invested.

With key focus areas for individual businesses’ growth

plans, we expect to chart gradual but considerable

milestones. At the same time we will remain vigilant

and fl exible in responding to ever-changing market

demands and customer needs.

As a retailer, two key elements to sustain business

growth are high-quality products and unparallel

customer services. Groundwork is already underway to

enhance both for PDB, and I hope to see them make an

impact in the coming year.

We will also continue to step up fundamentals of our

business and operations, including emphasis on HSE,

people capability and cash fl ow management.

Most importantly, moving forward PDB is going to be

more prominent in the market place as we continue

to reach out to our customers. We intend to show our

customers that we are with them All The Way, and will

continue to give them all the right reasons to choose

PDB as their Brand of 1st Choice.

6. How does PETRONAS Dagangan Berhad defi ne its

Corporate Responsibility?

For PDB, being a responsible corporate citizen means:

conducting business with a clear conscience. In this

regard, every decision made must be in the best interest

of the business and ultimately, shareholders; while every

action taken must take into consideration the effect on

all our stakeholders.

Enhancing our commitment to corporate governance

and transparency, we have introduced an internal audit

team to complement ongoing auditing by PETRONAS’

Group Internal Audit. The Board of Directors also

endorsed the establishment of a Nomination Committee

to independently assess the performance of the Board

and oversee the succession management plan for

the Board and senior management members of PDB.

In tandem, a Remuneration Committee was established

to provide a formal and transparent procedure to develop

a strong remuneration and HR policy that supports

PDB’s business directions.

Q&A with the MD/CEO


Business Review

• Retail

• Commercial

• LPG

• Lubricants


convenience all the way

As the largest contributor to the Company’s business, Retail Business

continues to deliver unrivalled quality service and a broad range of

innovative products. With over 950 well-equipped PETRONAS Service

Stations and more than 600 Kedai Mesra, we offer our customers unique

fuel-up experiences that come with shopping, banking, dining and on-going

rewards at all our one-stop centres.


Now, our customers

can be assured of

ultimate convenience

at our Retail Stations.


Business Review – Retail

The Retail Business Division (Retail) is responsible for

the marketing and distribution of petroleum products to

the consumer market through our network of over 950

PETRONAS Service Stations. Apart from marketing fuel

products, the Retail Business also operates more than

600 Kedai Mesra convenience stores, and manages PDB’s

loyalty programmes through the PETRONAS Mesra Loyalty

Programme, SmartPay Fleet Card, co-branded credit cards

and gift cards.

In FY10/11, Retail remained a key business for the Company,

contributing almost 50% to the group’s net margin. Retail’s

market share maintained at 32%. Fuel sales grew in

tandem with the national growth rate, with boosted

performance from diesel sales which increased 10% from

the previous year.

Retail Reach

(a) Service Station

During the year under review, more than 20 new service

stations commenced operations, bringing the total

number of retail stations to 955 as at 31 March 2011.

The launch of the Company’s 950th station in November

charted a major milestone for PDB, taking into account

the Company’s humble beginnings with the fi rst

PETRONAS Service Station established in Taman Tun

Dr Ismail, Kuala Lumpur, in 1982.

In FY10/11, Retail remained

a key business for the Company,

contributing almost 50%

to the group’s net margin.

Impressive reach

with over 950 PETRONAS

Service Stations and

more than 600 Kedai Mesra

convenience stores.


The Company also plans to continue expanding the

service station network in line with the Company’s

growth strategy and to strengthen the Retail Business’

fundamentals as it aims to take market leadership of the

domestic Retail sector.

(b) C-Store

In addition to the growing network of PETRONAS Service

Stations across the country, the Company also has the

largest network of convenience stores at retail stations

in the nation with 617 Kedai Mesra convenience stores

opened to-date. This signifi cant network nationwide

is complemented with the various product offerings

available in the Kedai Mesra, ranging from food-to-go

items, car accessories and lubricants to various partner

facilities that include quick-serve restaurants, banking

facilities, courier services and other conveniences.

The Company has the widest ATM network at retail

stations with more than 1,000 ATM machines, 340

Touch ‘n Go reload terminals and more than 800 ePay

terminals. To date, we have 15 quick-serve restaurant

partners with 56 outlets and 27 other partners offering

various convenient services.

One-stop centre for fuel,

lined with convenient eateries,

shopping and banking,

to name just a few.


During the year under review, PDB also streamlined its

standalone Mesra Shoppes, focusing on strategically-

located assets in high-traffi c areas such as in the Menara

Bumiputra-Commerce in Kuala Lumpur.

Non-fuel income increased 14% from last year,

contributing almost 7% to Retail Business’ total

margin and positioning the Kedai Mesra and other

complementary business as increasingly signifi cant

contributors to PDB’s Retail Business. To nurture

this revenue stream, PDB continues to build strategic

partnerships with one aim: to provide convenience to

our customers. With a Kedai Mesra in almost every

neighbourhood, we want to ensure that the products and

services available in each one cater to the unique needs

and requirements of our valued customers.

(c) Cards Business

To ensure better convenience and reliable customer

experience at PETRONAS Service Stations, the Company

has equipped more than 940 of its service stations with

the Electronic Payment System (EPS) to enable Pay-at-

Pump transactions whilst more than 920 of its service

stations were equipped with the Company’s Fleetcard or

SmartPay Card Top-Up facilities.

The Company on 2 March 2011 launched its PETRONAS

Mesra Loyalty Programme (PMLP) In-Store Redemption.

The redemption is an extended offering for Mesra card

holders and part of the Company’s on-going effort

to continuously reward its members with extensive

offerings and enhancement to the existing redemption

items. The In-Store Redemption is currently available at

PETRONAS Cards Centre, KLCC and selected PETRONAS

Service Stations in the Central region.

PDB continues to build

strategic partnerships with

one aim: to provide convenience

to our customers.Bringing convenience to our Mesra card

holders with our in-store redemption at

selected PETRONAS Service Stations.


Business Review – Retail

Major Highlights

Throughout the fi nancial year, Retail Business embarked

on various initiatives and promotions in order to increase

customer patronage at the stations. Some of these were the

Road to Rewards promotion, PETRONAS Mesra Card Hotel

Packages contest, PETRONAS Mesra Bonus campaigns,

introduction of special edition Moto GP Touch ‘n Go Cards,

and extending more convenient services such as the

Touch ‘n Go Premier Service Centre.

Apart from the above initiatives, the Company on

9 April 2011 launched its new product, the PETRONAS

PRIMAX 95 Xtra - a new fuel inspired by Formula 1™

technology and reformulated for enhanced mileage and

superior performance. PETRONAS PRIMAX 95 Xtra was

launched in conjunction with the unveiling of the Company’s

new brand concept “All The Way”. Despite its marked

superior quality performance, PETRONAS PRIMAX 95 Xtra

is still sold at the regulated price of RON 95, essentially

offering the best RON 95 fuel in the market.

In addition to ongoing research and development of the

PETRONAS PRIMAX fuel line, PDB is also ready to supply

biodiesel to the consumer market. In support of the

Government’s initiative to encourage the use of Biodiesel,

PDB will start supplying the environment-friendlier diesel at

selected PETRONAS Service Stations by early June 2011.

Moving forward, the Company will continue growing the

Retail Business strategically to achieve its target to become

the market leader in the domestic Retail segment.

Recognising and rewarding our valued

customers through exciting marketing

and promotion programmes.


sustainable all the way

Forging ahead, Commercial Business continues to retain its market

leadership amidst global competitors in a challenging and dynamic

liberalised environment. Our market leadership is supported by an

extensive supply and delivery logistics system backed by a sustainable

framework that ensures competitive, effi cient and reliable supply

to our customers in the industrial and commercial sectors.


We are committed

to further reinforce

our sustainability

efforts.


PDB’s Commercial Business covers the marketing and sales

of petroleum products in bulk to the various industrial and

commercial sectors in Malaysia. In this market segment,

we compete with established multinational players in a

fully-liberalised environment where products are supplied

at market prices. Over the years, we have grown to become

a dominant market leader in this segment with more than

60% market share, contributing 46% of PDB’s total sales

volume and 31% of net margin during the review period.

During the review period, Commercial Business recorded

a healthy growth in sales revenue from RM9.7 billion to

RM11.4 billion, up 16.6% backed by a 3.8% increase in

sales volume from 5.98 billion litres to 6.21 billion litres.

The encouraging revenue growth was achieved primarily on

the back of stronger prices as well as higher sales volume of

aviation fuel and diesel as a result of strong performance of

the global and domestic economy.

Our market leadership position in Commercial Business

is anchored on our extensive supply and delivery logistics

comprising 17 bulk terminals (including four JVs) and

12 aviation terminals (including one JV) in strategic locations

nationwide, enabling us to ensure competitive, effi cient

and reliable supply to our customers. We will continue to

harness this competitive edge, coupled with our continuous

endeavour to provide superior services and enhance the

quality of our products to our customers, to protect and

strengthen our leadership position.

PDB’s Commercial presence is prominent in the aviation

sector, with a dominant market share of almost 70% at

Kuala Lumpur International Airport (KLIA) and other major

airports in the country. Our investment in the fuel hydrant

system at KLIA, Penang International Airport, Kuching

International Airport and Kota Kinabalu International Airport

provide a strong foundation vis-á-vis this achievement.

A renewed commitment to customer service excellence

resulted in successfully signing on new customers such as

Emirates and Lufthansa, leading to a 19.8% growth in total

aviation fuel sales volume compared to last year. In the

pipeline to further expand our aviation fuel sector, PDB’s

joint involvement in the fuel hydrant system project at the

new KLIA 2 is progressing as scheduled, and expected to

be completed by April 2012. The project includes storage

facilities with a maximum capacity of 112 million litres,

Business Review – Commercial

PDB’s Commercial

presence is prominent in

the aviation sector, with a

dominant market share of

almost 70% at Kuala

Lumpur International

Airport (KLIA).

Extensive supply and delivery

logistics ensures competitive,

effi cient and reliable supply

to customers.


expected to supply approximately 180 refuellings per day

to local and international airlines. Commercial Business

achieved ISO 9001 certifi cation in February 2008 - a

testimony that our products and services are in accordance

with international standard work processes and procedures.

This certifi cation also attests to our commitment to

maintain service excellence at internationally-recognised

quality assurance, realised through a workforce of highly

competent and specialised people and a consistent practice

of continuous improvement.

We will relentlessly leverage on our superior logistics and

leadership position to further strengthen and improve

our services, offerings and quality of our products to our

customers in this highly competitive market segment.

We believe that this pursuit, coupled with our sharper

focus on personalised services and differentiated offerings,

will effectively enhance our competitiveness to become

the preferred petroleum products supplier in the country.

We also believe that we are well-positioned to tap on the

planned growth of economic activities under the 10th

Malaysia Plan, particularly initiatives translated from the

Economic Transformation Programme (ETP). Above all,

we aim to harness our experience and competence of

competing in a liberalised environment to expand the

geographical boundaries of our operations and generate

greater value to all our stakeholders.

Leveraging on superior logistics to

enhance our services and products.


enriching all the way

LPG Business remains resilient in defending its title as ‘Malaysia’s No.1

Selling Cooking Gas’ through innovative marketing campaigns

and extensive distribution services. Apart from widening the availability of

Gas PETRONAS, we also sponsor various inter-college cooking competitions

aimed at nurturing the passion for cooking specifi cally amongst the nation’s

future chefs. As a responsible corporate citizen, we will continue to sponsor

worthy causes and outreach programmes while continuing to support

a broad range of community-development initiatives.


PDB continues

to work hand-

in-hand with the

local communities to

further enrich lives.


The LPG Business continued to improve performance during

the year under review and maintained its market leadership

at 50.7%. Overall sales volume increased by 2% compared

to the previous year, contributed mainly by higher cylinder

sales driven through aggressive marketing activities and

enhanced customer services. 12kg and 14kg cylinder sales

recorded almost 1.1 billion litres in tandem with higher

household demand.

During the year under review, the Company introduced

several innovative marketing campaigns to further increase

LPG sales. In December 2010, the Company launched the

Gas PETRONAS ‘Order Here’ initiative, whereby customers

can conveniently place orders and purchase 12kg and 14kg

Gas PETRONAS cylinders at 50 selected PETRONAS Service

Stations in the Klang Valley, and have them delivered to their

homes within 90 minutes. At the same time, customers

are able to collect Mesra points for the purchase of the

gas cylinders. The aim is to provide more convenience

to customers and to further expand and strengthen the

Company’s line of services as the country’s leading cooking

gas retailer.

In its effort to increase cost effi ciency, the Company via its

Premium Dealer engaged a B-Double LPG Pallet Trailer

in February 2011. The fi rst of its kind in the industry, the

25-metre B-Double LPG Pallet Trailer has 65% more

capacity to transport cylinders, compared to the current

LPG trailer load. This reduces the number of trips per day,

thereby increasing productivity and lowering cost per unit

cargo. Safety and operational effi ciency continue to be a key

focus for the LPG Business in ensuring sustainable business

practices.

We aim to provide more convenience

to customers and strengthen our line

of services as the country’s leading

cooking gas retailer.

Business Review – LPG

Safety and operational effi ciency

is the cornerstone to ensuring

our market leadership.


Apart from conventional marketing activities, the Company

was also involved in sponsoring events in the community,

namely several inter-college cooking competitions aimed at

promoting healthy cooking. Among them was the inaugural

‘Gas PETRONAS Battle of the Chefs’ held on 28th February

2011 at SStwo Mall in Petaling Jaya. Six leading universities

and colleges showcased their team’s culinary skills to win

more than RM10,000 worth of cash and prizes. Another event

was the ‘2nd Inter-College Healthy Cooking Contest 2010’

organized by KDU College on 20th May 2010. The Company

gave away more than RM3,000 worth of cash and prizes.

The Company also sponsored the 3rd Putrajaya International

Hot Air Balloon Fiesta held in Putrajaya in March 2011.

Going forward, new initiatives are in the pipeline to provide

more convenient and innovative services to our customers

and to remain “Malaysia’s No. 1 Selling Cooking Gas”.

Gas PETRONAS continues to

be the No. 1 cooking gas

in the hearts and minds

of Malaysians.


performance all the way

Lubricants Business delivered a strong performance through

aggressive marketing strategies and diversifying distribution channels,

despite facing a challenging and competitive environment. Backed by

the technological aptitude and continuous on-the-job training for our

people, vendors and suppliers, we will continue to drive Lubricants Business’

performance to be No.1 in Malaysia by 2015. Our performance-driven culture

coupled with unwavering dedication has resulted in our employees being the

backbone of our continuing success.


We pledge to

raise the bar

and set new

benchmarks through

our performance-

driven culture.


The Lubricants Business achieved better performance this

year despite a challenging competitive environment, with

market share growing to 22%. Sales volume improved by

9% compared to the previous fi nancial year, while revenue

increased by 12%, contributed by aggressive marketing and

wider distribution channels.

Passenger Vehicle Lubricants registered a 14% increase

in sales volume against the previous fi nancial year, mainly

contributed by growth in sales from Original Equipment

Manufacturer (OEM) partners. The highstreet channel

registered a growth of 21% against the previous fi nancial

year boosted by the opening of additional 353 independent

outlets. Commercial Vehicle Lubricants marked a 9%

increase in sales volume due to attractive trade promotions

held throughout the year. In partnership with Commercial

Business, Lubricants Business made its fi rst foray into the

timber business with a substantial upliftment from a key

timber player in Sarawak.

Sales volume of Motorcycle Oil products increased a

respectable 5%, against the previous fi nancial year, driven

by higher sales of our new multi grade 4T. Industrial and

Marine Lubricants sales grew 4% in tandem with national

growth rates, mainly contributed from our dealer segment

through trade promotion programs of our hydraulic range

and at the same time securing upstream contractors such

as Murphy Oil. In the marine segment, Lubricants Business

continued to grow its customer base with the addition of

offshore supply vessel companies such as EA Technic, Jasa

Marine and Alam Maritim.

Clinching of new partnership deals with major automotive

dealers during the year further increased sales. During

the period under review, the Company signed a 10-year

Local Supply and Commercial Collaboration Agreement

(LSCCA) with PROTON Edar Sdn. Bhd. to be its exclusive

partner and lubricants supplier. With this partnership,

both companies will leverage on each other’s strengths to

increase competitiveness in the domestic automotive and

lubricants market. In a move that further strengthened the

relationship between PDB and the NAZA Group, the Company

also formed a partnership with a fl agship brand under the

NAZA Group, Chevrolet Malaysia, to exclusively market and

sell the Syntium range of products to Chevrolet customers

who service their cars at their 3S centres. Chevrolet plans

to aggressively expand its outlets nationwide by 2013,

positioning PDB’s Lubricants Business on advantageous

ground to leverage on Chevrolet’s wide customer base and

to market the Syntium brand further. The Company also

started the new year with a strategic partnership with Cycle

& Carriage, a major Mercedes Benz dealer by securing a

3-year lubricants supply contract. These efforts coupled

with existing strategic partnerships such as with PERODUA

Sales Sdn. Bhd., culminated in a jump of 11.4% in direct

sales volume compared to last year.

Clinching new partnership

deals with major automotive

dealers further increased

sales and secured

long-term lubricants

business.

Business Review – Lubricants

Strong partnerships and strategic marketing

to continue to drive growth.


During the year under review, the Company introduced a

line-up of new products, to cater to a wider range of

customers with differing requirements. A new lubricant

line, NGV Lube was launched for gas-powered vehicles. This

specially-engineered lubricant uses extreme performance

Salicylate and DPA additive technology, offering NGV

customers the benefi t of exceptional protection against

oxidation and nitration for excellent engine cleanliness.

Another innovative product, the premium marine lubricant

PETRONAS Nautimar FBO was introduced early 2011.

The PETRONAS Nautimar FBO is an affordable, high-quality,

niche marine lubricant with advanced technology formulated

especially to address Malaysian fi sheries’ requirement for

lubricants, specifi cally meant for deep-sea fi shing boats and

marine applications. In the continuous effort to improve the

quality of our products, PDB introduced newer versions of its

current Sprinta and Syntium product ranges to replace the

older formulations.

To further increase lubricants sales at retail stations,

the Company embarked on a mobile booth promotion at

selected retail stations in the Klang Valley. This promotion

was carried out from 15th December 2010 to 31st March

2011 and received good response, with sales increasing 2.8

times in volume from regular sales at the retail stations.

Moving forward, Lubricants Business continues to leverage

on strong partnerships and strategic marketing of its wide

range of products to establish a stronghold on PDB’s market

share in this segment.

Collaboration with

strategic partners to

nurture local expertise.


Supply & Distribution Division

The mechanism behind PDB’s business performance is our

extensive supply and logistics network, covering the entire

country. In the year under review, PDB embarked on a few

key strategies to enhance the system in order to support our

growth nationwide, including:

• Delivery of operational excellence through continuous

Health, Safety and Environment (HSE) improvement

initiatives and implementation at terminals, continuous

system and process improvements to enhance

operational effi ciency, as well as develop and sustain

knowledgeable and skilled manpower.

• Effective and prudent cost management through effective

product-sourcing control and monitoring, equipment

maintenance outsourcing and rationalising of product

distribution.

• Focus on high assets performance through effective

project management to enable timely project completion

and effective maintenance and asset replacement to

ensure maximum productivity.

A key project completed this year is the reactivation of

the Pasir Gudang LPG Plant in March 2011. The plant will

continue to serve the Southern region and optimise LPG

cylinder distribution in the region. Several other projects

are on schedule for completion this year to further support

our planned business growth. The Central Oil Distribution

Terminal (CODT) in Tg. Manis, Sarawak is anticipated to be

operational by September 2011, and will consist a Petroleum

Terminal and an LPG Bottling Plant. Meanwhile, the

Engineering, Procurement, Construction and Commissioning

(EPCC) of the Biodiesel Storage Tank & Blending Facilities at

Melaka Fuel Terminal will be commissioned in June 2011

and completed in September 2011 to cater to the B5 diesel

implementation taking place nationwide. PDB’s KLIA2

Fuel Hydrant Project, under our subsidiary company Kuala

Lumpur Aviation Fuelling System Sdn. Bhd., is also slated

for completion by March 2012, in time for the opening of the

new airport.

Going forward, PDB will continue to build resilience and

operational excellence through improved effi ciency,

effectiveness and increased capability.

Business Review

Maintaining stringent integrity

of the whole value chain,

including facilities and manpower.


PDB in the News



28 March 2010 to 4 April 2010

PETRONAS Malaysia Grand Prix Week

In conjunction with the race weekend, PDB rewarded

10 lucky PETRONAS Mesra card members who won the

Exclusive Meet and Greet with Mercedes GP-PETRONAS

Formula 1™ Drivers online contest. The winners had an

opportunity to meet Michael Schumacher and Nico Rosberg

at the PETRONAS Pit Pulse Carnival, Kuala Lumpur.

29 June 2010

Gas PETRONAS Appreciation Night

LPG Business Division held an appreciation night at the

Equatorial Hotel, Bangi, for its dealers across Malaysia.

More than 150 dealers attended, where they were feted with

dinner and a fun-fi lled evening. Cash rewards were awarded

to dealers who recorded outstanding performances.

30 June 2010 A

PETRONAS Dagangan Berhad Unveils

Specially Engineered Lubricant

The Company launched its new lubricant line, NGV Lube,

for gas powered vehicles at the Bandar Tun Razak NGV station.

The new NGV Lube is specially engineered using extreme

performance Salicylate and DPA additive technology, offering

NGV customers the benefi t of exceptional protection against

oxidation and nitration for excellent engine cleanliness.

Highlights 2010/11

C

D

B

A


7 to 19 July 2010

MD/CEO Walkabout at PDB Headquarters

and PDB Central Region Offi ce

En Amir Hamzah Azizan, MD/CEO of PDB had a walkabout

session at PDB offi ces located in the PETRONAS Twin Towers

and Menara Dayabumi as part of his engagement and get-

to-know-you session with PDB staff.

22 July 2010

Launch of Sentuhan Harapan PETRONAS

The “Sentuhan Harapan” PETRONAS community programme

was launched by the Prime Minister in Miri, Sarawak.

Through the programme, the hardcore poor will be able to

redeem basic foodstuff from PDB’s network of Kedai

Mesra at selected PETRONAS Service Stations.

22 to 23 July 2010

MD/CEO Visit to PDB Sarawak Region

The visit was part of the MD/CEO’s effort and commitment

to meet with PDB staff and understand the working

conditions in all regions and locations. During the visit,

En Amir had an opportunity to visit PDB Sarawak Regional

Offi ce at Kuching, PDB Kuching Bulk Depot/LPG Bottling

Plant at Senari, Kuching, PDB Kuching Aviation Terminal,

PDB Miri Branch Offi ce and PDB Miri Aviation Terminal.

27 July 2010

The PETRONAS Dagangan Berhad

Annual General Meeting

The Company held its 28th Annual General Meeting at the

Kuala Lumpur Convention Centre chaired by Chairman of

the Board, Datuk Anuar Ahmad.

11 to 12 August 2010

MD/CEO Visit to PDB Sabah Region

En Amir Hamzah Azizan visited the PDB Sabah Regional

Offi ce at Kota Kinabalu, PDB Kota Kinabalu Bulk/LPG

Bottling Plant, PDB Tawau Branch Offi ce and PDB Tawau

Bulk Depot/LPG Bottling Plant at Sabah.

30 August to 6 September 2010

MD/CEO Visit to PDB Western and Southern Region

En Amir Hamzah Azizan visited the PDB Western Regional

Offi ce at Ayer Keroh, PDB Melaka Depot Terminal at Tangga

Batu, Melaka, PDB Southern Regional Offi ce at Johor Bahru,

PDB Pasir Gudang Bulk Depot and PDB Senai Aviation

Terminal at Johor.

2 September 2010 B

Enhancing Road Safety through

the Coffee Break Campaign

The Coffee Break Campaign encourages motorists to stop

by, take a break and get refreshed with free beverages and

snacks available at 32 selected PETRONAS Service Stations

nationwide. To further promote road safety, the campaign

was extended to include free 5-point vehicle inspections

courtesy of Perusahaan Otomobil Kedua Sdn Bhd (PERODUA)

and a series of fun-fi lled interactive games for the whole

family centering on road safety measures by the PETRONAS

StreetSmart team, courtesy of PETROSAINS.

22 September 2010 C

PDB Becomes Exclusive Partner

and Lubricants Supplier to PROTON Edar

The Company and Proton Edar Sdn Bhd (PESB), the domestic

marketing arm of PROTON Holdings Berhad, signed a Local

Supply and Commercial Collaboration Agreement (LSCCA)

which is estimated to generate a total revenue of RM260

million to PDB, where PDB will be the national carmaker’s

exclusive partner and supplier of automotive lubricants.

24 September 2010 D

Hari Raya bersama PDB with Partners and Customers

The Company held its Hari Raya bersama PDB at the Nikko

Hotel in Kuala Lumpur to celebrate the festive month with

PDB partners and customers.

Highlights 2010/11


22 December 2010 F

Launch of the “Gas PETRONAS: Order Here” Campaign

The “Gas PETRONAS: Order Here” service was launched at

50 selected PETRONAS Service Stations in the Klang Valley.

Through this service customers can order their cooking gas

at selected PETRONAS Service Stations and have it delivered

to their home.

10 January 2011

CIMB Malaysia Corporate Day 2011

PDB participated in CIMB Investment Bank’s annual

corporate event to update institutional investors on the

Company’s corporate, fi nancial and business developments.

25 January 2011

The 2011 Retail Dealer Conference

The Company through the Retail Business Division proudly

organised one of its biggest events throughout the year,

the 2011 Dealers Conference at the Sunway Resort Hotel

and Spa. Over 850 dealers across Malaysia converged in

Sunway for two days of business strategy discussions and

networking.

9-22 February 2011 G

Lion Dance brings Luck & Prosperity

for Loyal PETRONAS Dagangan Customers

PDB took an innovative approach to thank its loyal customers

and jointly celebrated the Chinese New Year with them

by sponsoring lion dance performances’ at customers

premises.

Highlights 2010/11

26 September 2010

PDB Hari Raya Gathering: A Celebration Shared

with the Family

The Company held its annual Hari Raya gathering for

PETRONAS Twin Towers (PETT) and Central Region staff

and their families to celebrate the joyous occasion at the

Sime Darby Convention Centre in Kuala Lumpur.

5 October 2010

PETRONAS Safety Riding Clinic

The PETRONAS Safety Riding Clinic, is an educational

initiative to educate and further increase awareness on the

importance of safe motorcycle riding particularly among high

school students. A total of 100 students from high schools

around Kuala Lumpur participated in the PETRONAS Safety

Riding Clinic organised by the Company in collaboration

with the Road Safety Department that was held during

the 2010 PETRONAS MotoGP Carnival.

28 October 2010

The “PETRONAS Road to Rewards” Campaign

The Company launched the “PETRONAS Road to Rewards”

Campaign at the PETRONAS Service Station Jalan Kolam

Ayer Lama, Ampang and invited Malaysians nationwide to

“Ride the RM3 million Wave”.

1 to 2 November 2010

MD/CEO Visit to PDB Northern Region

En Amir took the opportunity to visit the PDB Northern

Region Offi ce in Prai, Pulau Pinang, PDB Langkawi Bulk

Terminal, PDB Langkawi Aviation Depot at Langkawi and

PDB Bayan Lepas Aviation Terminal at Pulau Pinang.

14 November 2010 E

Opening of the 950th PETRONAS Service Station

PDB marked another milestone with the successful opening

of the 950th PETRONAS Service Station at Taman Dagang

Ampang, Kuala Lumpur. In addition to the growing network

of PETRONAS Service Station across the country, PDB also

has the largest network of convenience stores at petrol

stations in the nation with more than 600 Kedai Mesra

convenience stores opened to-date.

25 November 2010

PETRONAS Dagangan Berhad Records RM11 Billion

Revenue in First Half of FY 2010/11

The Company recorded RM10.9 billion in revenue for the fi rst

half-year ended 30 September 2010, an increase of 10.3%

from the RM9.9 billion recorded in the corresponding period

last year, on the back of higher average selling prices and

sales volume.


14 February 2011 H

PETRONAS Dagangan Unveils Premium

Marine Lubricant

PDB launched the PETRONAS Nautimar Fishing Boat Oil

(FBO), a niche marine lubricant that combines advanced

technology, quality and affordability to address Malaysian

fi shermen’s requirement for lubricants for their deep sea

fi shing boats.

16 February 2011

FY2010/2011 Quarter 3 Profi t before Tax Soars by 29%

PDB recorded a 29% increase in profi t before tax to RM331.9

million against the corresponding period last year for the

third quarter ended 31 December 2010.

18 February 2011 I

Prize Giving Ceremony for the

‘PETRONAS Mesra Card Great Rewards’

1,000 PETRONAS Mesra cardholders were announced

winners of the PETRONAS Mesra Card Great Rewards

campaign and received complimentary hotel stay packages

at selected luxury hotels around the country. The event was

organised to appreciate their support and loyalty towards

PETRONAS.

E

F

H

G

I


25 February 2011

Launch of B-Double LPG Trailer

The Company introduced the B-Double LPG Trailer to its

fl eet of prime movers. The 25-meter LPG trailer has the

capacity to transport more than 1,000 LPG cylinders per trip.

The trailer operates up to three trips a day, thereby raising

the productivity and lowering the cost of per unit cargo.

28 February 2011 J

The Inaugural “Battle of the Chefs” 2011

LPG Business Division hosted its inaugural “Battle of the

Chefs” and gave away more than RM10,000 worth of cash

and prizes to winners of the cooking competition. The event

saw six leading universities and colleges showcasing their

teams’ culinary skills at the competition held at the SStwo

Mall in Petaling Jaya.

3 March 2011

3rd Putrajaya International Hot Air Balloon Fiesta 2011

PETRONAS Dagangan Berhad under the Gas PETRONAS

brand sponsored 6,000kg of Bulk LPG for the 3rd Putrajaya

International Hot Air Balloon Fiesta 2011 at Monumen Alaf

Baru, Presinct 2, Putrajaya. Gas PETRONAS was announced

as the offi cial gas provider fuelling about 26 hot air balloons

from over 13 countries around the world.

J

L

K


Highlights 2010/11

9 April 2011 L

PETRONAS PRIMAX 95 Xtra - “Savings All the Way”

The Company launched its new product in the PRIMAX fuel

line, PETRONAS PRIMAX 95 Xtra. It was offi ciated by Yang

Amat Berhormat Datuk Seri Najib Tun Razak, the Prime

Minister of Malaysia. The new fuel, inspired by Formula

1™ technology, delivers superior power and better fuel

economy. The new fuel which will replace PDB’s existing

RON 95 fuel will go “All The Way” to establish a new

benchmark for the industry as the PRIMAX 95 Xtra is sold

at the regulated price of RON 95 fuel, despite its marked

superior quality and performance.

18 April 2011

PETRONAS Urania Dealers’ Appreciation Night

The Company through Lubricants Business Division

organised the Urania Dealers’ Appreciation Night at Genting

First World in Pahang. The dinner was part of the ongoing

effort to reward dealers who showed outstanding sales

performance and commitment.

21 April 2011

New PETRONAS ATF-XP3 Launched

PETRONAS and PROTON have launched a co-branded

automatic transmission fl uid (ATF) called PETRONAS

ATF-XP3 at Putrajaya International Convention Centre.

PETRONAS ATF-XP3 is jointly developed by PETRONAS

and PROTON and is uniquely formulated and extensively

fi eld-tested for PROTON cars. It is the only automatic

transmission fl uid approved in accordance to PROTON

PES-1133 standard.

November 2010 to May 2011

Analysts Briefi ngs

The analyst briefi ngs were conducted on a quarterly

basis right after the Company’s fi nancial announcement.

The Company’s management team shared PDB’s fi nancial

and business performance with investors, fund managers

and analysts. During the briefi ngs, the Company also

shared special features on its businesses.

29 March 2011

CIMB Oil & Gas Corporate Day

The event provided a platform for PDB to share its latest

growth potential, recent developments and achievements

with the other companies within the same industry, fi nancial

institutions, the Company’s investors, fund managers and

analysts.

5 April 2011 K

Grand Finale of the “PETRONAS Road

to Rewards” Campaign

The Company organised the Grand Finale of the “PETRONAS

Road to Rewards” campaign at The Cabana, KLCC to

announce its grand prize winners. The fi rst three grand prize

winners took home RM100,000 each. The campaign was part

of the company’s continued effort to thank its customers

for their support by offering not only quality products and

convenient services but also more benefi ts and rewards.

The campaign attracted more than 4 million entries

nationwide.



Note: Average monthly prices based on Mean of Platts Singapore (MOPS)

RON 97 RON 95 Diesel Jet A-1Crude Oil (Tapis)


The year 2010 saw a broad-based global economic recovery

from the unprecedented global fi nancial crisis in 2008/09.

The advance economies continue to recover albeit at a

subdued pace while the economies in the developing

countries remain resilient.

As Malaysia is an export-oriented economy, the country’s

economic performance is very much affected by the external

environment. For the year 2010, the country registered a

commendable economic growth of 7.2% underpinned by

buoyant domestic demand as well as rising exports. Much of

the strength came mainly from the government’s proactive

stimulus packages with accommodative policies, leading to

higher energy demand for construction and manufacturing

activities.

After a bumpy year in 2010, the global economy in 2011 is

expected to grow modestly taking into account the current

weaknesses in the US economy, beleaguering sovereign

debts crisis in some of the EU’s members as well as a

dampening Japanese economy following the tsunami

disaster.

However, domestic economy is expected to continue to

remain resilient this year albeit at a moderate pace. In the

fi rst half of the year, the domestic economy is projected

to register modest growth of 4.5% in line with moderating

global economic growth before improving to around 6.5% in

the second half of the year. The launching of the 10th Malaysia

plan as well as continuing progress in the government’s

Economic Transformation Programme (ETP) are the keys to

sustaining growth.

Looking ahead PETRONAS Dagangan Berhad is poised to

benefi t from the strong domestic demand, underpinned by

the still-positive consumer spending. Record car sales and

increased highway traffi c are expected to drive the demand

for our petrol and diesel products. With more than 950

PETRONAS Service Stations across Malaysia and more to

come as we widen our retail reach, we make our products

more accessible to the masses. Our premium product

PETRONAS PRIMAX 97 caters to high-end vehicles while

our recently-launched PETRONAS PRIMAX 95 Xtra provides

value without sacrifi cing performance. Furthermore,

record-breaking property transactions and the mushrooming

of new residential areas could signal an increase in our

cooking gas sales.

Robust airport passenger numbers and a vibrant low-cost

travel segment spell good news for our aviation fuel sales.

The government’s efforts to get more international airlines

to land at the Kuala Lumpur International Airport as well

as promoting Kota Kinabalu as a regional airport could only

result in greater aviation fuel demand. Meanwhile, various

initiatives and programs being implemented under the

Economic Transformation Programme coupled with scores

of major projects under the 10th Malaysia Plan should

further underpin greater petroleum products demand for

our LPG, Lubricants and Commercial products such as

diesel, fuel oil and bitumen.

Economic Outlook



2007 2008 2009 2010 2011

Revenue (RM million) 19,496.4 22,301.6 24,367.6 20,687.0 23,267.6

Profi t before taxation (RM million) 903.2 908.4 810.3 1,046.0 1,208.9

Profi t for the year attributable to shareholders

of the Company (RM million)

640.3 661.7 578.7 752.9 869.7

Total equity attributable to shareholders

of the Company (RM million)

3,487.8 3,917.4 4,163.3 4,558.5 4,794.9

Total assets (RM million) 6,516.9 8,609.6 6,584.2 7,884.7 8,484.7

Earnings per ordinary share (sen) 64.5 66.6 58.2 75.8 87.5

SHARE INFORMATION

Per share

- Gross dividend (sen) 30.0 45.0 45.0 60.0 100.0

- Net dividend (sen) 21.8 33.5 33.8 45.0 75.0



Strongest Group Financial Performance To-Date

Building upon previous year’s commendable fi nancial

performance in achieving Profi t Before Tax (PBT) of more

than RM1 billion, the Group continued to achieve another

record-breaking fi nancial milestone in the year under

review.

The Group achieved its strongest fi nancial year performance

to-date with a PBT of RM1.2 billion for the fi nancial year

ended 31 March 2011, an increase of 16% against the

previous fi nancial year.

Amidst the various challenges in the global and Malaysian

economy including the volatility in oil prices and increase

in infl ation rates, the Group has again proven its resilience

and capability in delivering a strong fi nancial performance

during the year.

Group Revenue

Revenue increased by 12.5% from RM20.6 billion to RM23.3

billion in the year under review. This was attributable to the

increase in sales volume and average selling prices of the

Group’s main products which are diesel, motor gasoline and

aviation fuel.

Revenue from the Commercial segment continued to be the

main contributor to the Group’s total revenue, amounting to

RM12.1 billion (51.9%) of the Group’s revenue for the year

under review.

Group Gross Profit

Gross Profi t stood at RM2.1 billion, which was 6.1% higher

than the previous year’s Gross Profi t of RM1.98 billion.

This was mainly a result of higher gross margins recorded

for products such as diesel, motor gasoline and fuel oil,

contributed by the increase in oil price, i.e. Mean of Platts

Singapore (MOPS) price during the year. The higher Gross

Profi t was also contributed by the higher sales volume of

aviation fuel, diesel and motor gasoline.

Group Operating Expenses

The Group’s operating expenses decreased by 1.9% from

RM1.1 billion to RM1.0 billion during the year under review.

Transportation cost, which accounted for 15.7% of the

group’s total operating expenses, decreased by 4.2%, in line

with the Group’s efforts to achieve cost optimization and

overall effi ciency.

Group Profit Before Tax

As highlighted earlier, the Group achieved its highest PBT

so far of RM1.2 billion this year against RM1.0 billion in the

previous fi nancial year. The increase in PBT of 16% was

mainly attributable to higher sales volume and reduction in

operating expenses.

Our subsidiary companies, Kuala Lumpur Aviation Fuelling

System Sdn. Bhd. (KAFS) and Lub Dagangan Sdn. Bhd.

(LDSB), recorded Pre-Tax profi ts of RM24.1 million and

RM18.2 million respectively during the year, which was an

improvement of 35.6% and 66.7% respectively against the

previous fi nancial year.

Share of profi t after tax of equity accounted associates

increased by 70% from RM0.44 million to RM0.75 million

during the year.

Profitability

Profi t after tax for the year under review was RM875.9

million, an increase of RM118.4 million against RM757.5

million recorded in the previous year. Profi t attributable

to the shareholders of the Company was RM869.7 million

while the minority interest portion amounted to RM6.2

million. The Group’s earnings per share stood at 87.5 sen,

an increase of 11.7 sen or 15.6% against earnings per share

of 75.8 sen registered in the previous year.



Total Assets

Total assets of the Group stood at RM8.5 billion as at the

end of the fi nancial year, an increase of RM600 million or

7.6% from the previous year’s balance of RM7.9 billion. The

increase was contributed by 14.3% increase in the Group’s

current assets mainly due to higher inventory value, trade

and other receivables as well as cash and cash equivalent

balances as at 31 March 2011.

Cash and cash equivalent remains strong with a balance of

RM1.03 billion as at 31 March 2011, an increase of 12.5%

from RM912.5 million as at the end of the previous fi nancial

year. During the year under review, the Group spent RM289.2

million for its capital expenditure and paid dividends to

shareholders and minority interests amounting to a total of

RM639.4 million.

Total Liabilities

Total liabilities increased by 11.0% from RM3.3 billion to

RM3.7 billion by the end of the fi nancial year under review.

The increase was mainly due to higher trade payables

balances arising from higher product costs during the year.

Total Equity

The Group’s shareholders’ equity increased to RM4.8 billion,

a 5.2% increase from RM4.6 billion as at the end of the

previous fi nancial year. The increase in equity is due to the

higher profi t after tax for the year of RM875.9 million, minus

the dividend payments of RM639.4 million made during the

year.

Dividends

In respect of the fi nancial year ended 31 March 2011, the

Company has declared and paid an interim dividend and a

special interim dividend of 30 sen and 10 sen respectively

per ordinary share, less tax, on 28 December 2010.

In view of the year’s strong fi nancial performance, the Board

has approved a fi nal dividend and a special fi nal dividend

of 35 sen and 25 sen respectively per ordinary share, less

tax, which will be subject to approval of shareholders in the

forthcoming Annual General Meeting.

In total, the gross dividend for the fi nancial year ended

31 March 2011 will be RM1.00 per ordinary share, which

represents a growth of 66.7% as compared to the gross

dividend of 60 sen per ordinary share in the previous year.




Group

2011

RM’000

2010

RM’000

Revenue 23,267,648 20,687,042

Less: Purchase of goods and services (21,698,449) (19,238,585)

Value added 1,569,199 1,448,457

Other income 147,073 126,906

Financing costs (1,015) (3,409)

Share of net profi t of associates 753 444

Value Created 1,716,010 1,572,398

Distributed to: % RM’000 % RM’000

Employees 12 206,576 13 203,198

Providers of equity (net dividends and

redemption of preference shares)

44 751,155 30 465,167

Providers of debt (profi t share margin) 0 – 0 29

Government (taxation) 19 332,984 18 288,478

Retained for reinvestment

and future growth

– Depreciation and amortisation 18 299,508 20 319,789

– Unappropriated profi ts 7 125,787 19 295,737

Value Distribution 1,716,010 1,572,398

Value added is defi ned as the value created by the activities of a business and its employees

and in the case of PDB is determined as revenue less the cost of goods and services. The

value added statement reports on the calculation of value added and its application among

the stakeholders in the Group. This statement shows the total wealth created and how it was

distributed, taking into account the amounts retained and reinvested in the Group for the

replacement of assets, development of operations and future growth.








Statement of Directors’ Responsibility

78

88

97

101

104

106

Corporate Responsibility


Sustainability ReportPETRONAS Dagangan Berhad remains committed towards

ensuring the sustainable performance and development

of our business operations in Malaysia.

The Company continues to conduct our businesses

in line with the seven key result areas of PETRONAS’

Corporate Sustainability Framework:

1. Shareholder value

2. Product Stewardship

3. Societal Needs

4. Health, Safety and Environment

5. Natural Resource Use

6. Climate Change

7. Biodiversity


MARKETPLACE

At the business level, the Company continues to offer high quality products

that exceed industry standards and effi cient services in the best interest

of our key stakeholders: customers, employees, business partners and

shareholders.

Shareholder Value

As a public-listed company, our main priority is to create value to our

shareholders through sustaining respectable dividend payout and

returns.

Testimony to this, since Financial Year (FY) 05/06, the Company’s dividend

payout ratio trending has been on a steady increase with the payout ratio

for FY 10/11 recorded at 85%.

Despite the increase in dividend payment, shareholder’s funds remain

healthy to support Capital Expenditure (CAPEX) and working capital.

In the period under review, the Company’s share price upward momentum

also continued to give higher returns to shareholders in the form of capital

appreciation.

Through consumers’ recognition and acknowledgement, PDB received a

Gold Award from the Putra Brands Awards, an award based on brand

valuation for public-listed companies and SMEs. PDB was also awarded

the Gold Award from the Reader’s Digest Trusted Brand Awards, an

annual consumer award concluded from a survey that identifi es the

brands that are most trusted by the Malaysian market.


marketplace

The introduction of the revolutionary

PETRONAS PRIMAX 95 Xtra

is testimony to the Company’s

commitment to provide high-value

products to our customers.

Our network of partners

provide a myriad of

convenient services.


Product Stewardship

As a retailer, PDB is committed to ensuring high quality standards not

only to meet our customers’ expectations, but also to ensure a sustainable

end-to-end value chain in the development and delivery of our products

and services.

The introduction of the revolutionary PETRONAS PRIMAX 95 Xtra is

testimony to the Company’s commitment to provide high-value products

to our customers. Inspired by the Formula 1™ technology, the PETRONAS

PRIMAX 95 Xtra is proven to deliver enhanced performance and greater

fuel economy, and is sold at the regulated price of RON 95, therefore

offering our customers an affordable quality product conveniently

available at more than 950 PETRONAS Service Stations in the country.

While PETRONAS PRIMAX 95 Xtra caters to the demand of the mass

market, the Company continues to offer industry-specifi c innovative

products to meet the demands of the industry as well as customers’

expectations in catering to their varied needs.

To address the market for gas-powered vehicles, the Company introduced

PETRONAS NGV Lube, specially engineered using extreme performing

Salicylate and DPA additive technology, offering NGV customers the

benefi t of exceptional protection against oxidation and nitration for

excellent engine cleanliness.

The introduction of the PETRONAS Nautimar Fishing Boat Oil (FBO),

a niche marine lubricant that combines advanced technology, quality

and affordability is targeted at the Malaysian fi sheries industry. It is

specifi cally catered for deep sea fi shing boats, providing our fi shermen

greater performance and smoother boat rides while they are at sea. The

PETRONAS Nautimar FBO products are being made available extensively

through the National Fishermen’s Association (NEKMAT) and PDB-

appointed dealers.

As a responsible petroleum products supplier, PDB continues to adhere

to Health, Safety and Environment (HSE) regulation and ensures that

relevant safety data and product handling information on our petroleum

products as illustrated in the Material Safety Data Sheet (MSDS) is

distributed accordingly.

Apart from this, the Company also ensures that the label affi xed to

our lubricant bottles incorporate a reminder message to encourage

proper waste management. This effort is part of our commitment to

not only provide quality products but also support efforts to minimise

environmental hazards.

As for our Liquefi ed Petroleum Gas (LPG) Business, the Company ensures

that its cylinders used to store LPG are in optimum safe condition. Used

cylinders undergo a Requalifi cation Procedure to inspect and ensure that

the cylinders are safe for use. Cylinders unfi t for further utilisation are

disposed off for scrap metal.


Innovative offerings

for NGV customers.


Societal Needs

PDB’s long-term dealer development programme continued its initiatives

in the year under review, underpinned by our commitment to ensure

sustained operational excellence and superior customer service at our

stations.

Programmes conducted for our Retail Station dealers included the

“Kursus ASAS Pengurusan Stesen Minyak PETRONAS” to train potential

dealers in the day-to-day management of a retail station. In the period

under review, the company conducted three ASAS programmes at our

Retail Training Centre in Shah Alam involving 33 new dealers. In addition

to the ASAS programme, Dealers and our ground crew at service stations

(Krew PETRONAS) were also encouraged to enrol in other trainings

offered throughout the year to increase competency skills.

Our Retail Business Division also successfully conducted the 2011

Dealers Conference for 850 station dealers across Malaysia in January.

The Conference was designed to elevate the level of dialogue between

PDB’s management and our station dealers to encourage business

strategy discussions and enhance collaborative efforts to compete in the

market.

As for our Commercial Sales Dealers, the Sales Department in the

Northern region successfully organized a series of engagement sessions

with dealers throughout the month of December. The sessions were

held at the Prai and Ipoh Regional Offi ces. The half-day sessions were

not only conducted to enhance the working relations between our sales

employees and our dealers, but also served as a platform to update the

dealers on our business aspirations and requirements.

PDB’s long-term dealer development

programme is underpinned by our commitment

to ensure sustained operational excellence

and superior customer service.

PDB’s Dealer Development

programme ensures dealers are

competent and competitive

in the market.


workplace

As a responsible employer, PDB continues

to create a conducive and progressive work

environment for our 1,964 employees.

WORKPLACE

PDB views its responsibility as an employer seriously, and continues

to promote an ideal work place in an effort to create a conducive and

progressive work environment for our employees through several

initiatives that emphasise employees’ wellbeing at every level throughout

the organization. In the period under review, several awareness

programmes and engagement sessions were organized.

Employees

In the year under review, PDB directly employed 1,964 employees across

the country, 24% of which are women. Women representation in top

management stands at 23%, a testimony to PDB’s commitment to be a

non-discriminating and progressive employer.

In the effort to promote a healthy and balanced lifestyle, three main

health awareness programmes were conducted at the PETRONAS Twin

Towers. The fi rst was held in conjunction with the PDB I-Deal Programme

where health talks were held for staff in collaboration with Prince Court

Medical Center (PCMC). The talks featured guest speakers from PCMC to

encourage employees to adopt proper diet and exercise routines in their

lifestyles. This was followed by other talks on Ergonomic Risk and Stress

Management, by speakers from the Department of Occupational Safety

and Health (DOSH).

A few tangible initiatives were undertaken in the year to promote

employees’ well-being and to encourage a healthy work-life balance.

Gym memberships have been extended to our employees located at the

Central Region in the Dayabumi Offi ce, while staff based in Kota Kinabalu,

who have recently been relocated to a new premise, now also enjoy

complimentary sporting and recreational facilities inside the new offi ce.

PDB believes in

promoting a healthy

and balanced lifestyle.


As a company with a large employee base, PDB views ongoing training

as a key driver of business sustainability. In this regard, the Company

continued to provide appropriate and value-added training for staff

across levels, accumulating more than 24,000 training hours for the year,

equivalent to 5-7 days of training per employee.

Targeted training programmes to ground in capabilities and groom future

leaders were conducted during the year. The ‘My PDB’ programme,

an initiative designed to shorten the learning curve of new employees

by providing exposure to all aspects of the business operations was

conducted over 10 months, providing a platform for better understanding

and integration between the various business and support divisions

and to instil loyalty and commitment. The third round of the ‘My PDB’

programme was organised for a total of 18 new entrants.

The Company also continued its Building Leaders Programme (BLP),

an initiative that identifi es and grooms future leaders of the Company.

In the period under review, a total of 25 employees were identifi ed as

participants, including Managers and Senior Executives with the potential

to not only lead, but who also demonstrate PETRONAS’ shared values in

their conduct. BLP participants were also required to complete a CSR

project with the community and relevant organisations.

In the interest of better staff-management relationships, the Company

also continued to conduct quarterly tea-talk sessions throughout the

region to engage employees in sharing sessions with the management.

Already in its 21st round, these sessions provide the opportunity for

our management committee members to share business direction

and strategies with employees at the operational level and encourage

two-way communication. Employees are given the avenue to provide

their feedbacks and highlight their concerns on challenges and means

of improvement in the business operations. In the year under review,

the management enhanced these sessions with a special address to

managers immediately following the quarterly results announcements,

to highlight PDB’s fi nancial performance and discuss key corporate and

business issues.

Health, Safety and Environment at the Workplace

In the period under review, PDB adopted and offi cially implemented

PETRONAS Group’s ZeTo Rules, or Zero Tolerance Rules, to mark our

commitment to reduce operational hazards at the work place. ZeTo Rules

supplement the safety rules and regulations imposed by PETRONAS and

any laws and regulations applicable at locations where works are carried

out. ZeTo Rules ensure all high-risk activities are carried out safely to

improve the safety performance throughout all of PETRONAS’ business

operations.

The ZeTo rules consist of the following:

1. Work with a valid work permit (PTW) required by the job;

2. Verify energy isolation before starting work;

3. Obtain authorization before overriding or disabling safety critical

equipment;

4. Obtain authorization before entering a confi ned space;

5. Protect yourself against a fall when working at height;

6. Use the correct personal protective equipment (PPE) when handling

hazardous chemicals;

7. Obtain authorization before excavation or entering a trench;

8. Do not position yourself under a suspended load;

9. Do not smoke outside designated areas or bring potential ignition

sources into process areas without authorization;

10. Do not use your mobile phone/walkie-talkie while driving, follow the

speed limit and use your seat belt.


PDB tea-talk sessions

are avenues for

Management to engage

with employees and network

among colleagues.


COMMUNITY

As a company that has business operations throughout the country,

we continuously make the effort to reach out and contribute to the society

and community particularly within the areas of our operations. In line

with the nature of our business, our efforts focus on promoting road

safety among Malaysian motorists as well as contributing to improve the

livelihoods of the community.

Societal Needs

The PETRONAS Coffee Break Campaign is already in its 11th year, and to

further support the Ministry of Transport’s efforts to curb road accidents

during the “balik kampong” exodus, the campaign was redesigned to

further stress on the importance of safe driving habits.

In the period under review, apart from the usual free beverages and

snacks offered at participating PETRONAS Service Stations nationwide,

the campaign introduced additional activities including free 5-point

vehicle inspections courtesy of Perusahaan Otomobil Kedua Sdn Bhd

(PERODUA) and a series of fun fi lled interactive games for the whole

family by the PETRONAS StreetSmart team, courtesy of PETROSAINS.

The PETRONAS Coffee Break 2010 Campaign took place twice during

the festive seasons at 32 selected PETRONAS Service Stations located

along the highways and major trunk roads across Malaysia. To date, the

PETRONAS Coffee Break Campaign has reached more than 8 million

motorists.

In line with the Road Safety Awareness message brought by the

PETRONAS Coffee Break Campaign, the Company introduced the

PETRONAS Safety Riding Clinic, an educational initiative to educate and

further increase awareness on the importance of safe motorcycle riding

particularly among high school students.

In the period under review, a total of 100 students from high schools

around Kuala Lumpur participated in the PETRONAS Safety Riding Clinic

organised in collaboration with the Road Safety Department. Conducted

by the Hong Leong Yamaha and PETRONAS Raceline Teams, the initiative

was held during the 2010 PETRONAS MotoGP Carnival at the Esplanade,

Kuala Lumpur City Centre.

community

The PETRONAS Coffee Break Campaign

has reached more than 8 million motorists

in the effort to promote road safety

among Malaysians.

The PETRONAS Coffee Break

Campaign also provides a series

of fun fi lled activities for the young.


Five participating schools were selected by the Education Ministry,

namely Sekolah Menengah Kebangsaan (SMK) Datuk Lokman,

SMK Kampung Pandan, SMK St Gabriel, SMK Taman Maluri and

SMK Aminuddin Baki, Kuala Lumpur. The Safety Riding Clinic was

conducted in two segments comprising a theory presentation by the

Hong Leong Yamaha team and a practical session by the PETRONAS

Raceline Team. The two-day initiative was conducted for 50 students

each day.

For the wider community, PDB joined PETRONAS in establishing

the Program Sentuhan Harapan PETRONAS, a community outreach

programme that provides basic assistance to hardcore poor families in an

effort to alleviate poverty and contribute to improving their livelihoods.

Under the outreach programme, a total of 5,000 families nationwide have

been selected according to several criteria such as having a monthly

income of below RM440 and having school-going children. The families

will receive a monthly stipend of RM80 in the form of basic foodstuff

such as rice, sugar and cooking oil, which can be picked-up from 28

participating Kedai Mesra convenience stores at selected PETRONAS

Service Stations nationwide.

Other than providing food aid, the programme also conducts

supplementary courses in basic fi nancial literacy and skills. These

are aimed to help the recipients gain knowledge in areas pertaining to

managing family fi nances, ways to increase joint family income, promote

a learning culture among children and youth to encourage them to break

away from the poverty cycle.

The outreach programme was launched by Prime Minister Datuk Sri

Mohd Najib Tun Razak in Miri on 22 July 2010 and is implemented by

PETRONAS in collaboration with Yayasan MyKasih and several local

non-governmental agencies.


Educating the young – the PETRONAS

Safety Riding Clinic further increases

awareness of safe motorcycle riding.

Launched by the Prime Minister,

the Program Sentuhan Harapan

PETRONAS provides basic foodstuff

to hard core poor families

through our Kedai Mesra

convenience stores.


environment

PDB is committed to commence long-term,

sustainable actions to address climate change

and biodiversity issues.

HSE MANAGEMENT

The Company is committed towards effective management of health,

safety and environment (HSE) matters across all our business operations,

as it is essential in ensuring the Company’s business success. Several

initiatives and programmes have been implemented and conducted to

ensure that PDB HSE standards meet or exceed industry requirements.

In the period under review, the Company adopted i-HSE, an online platform

to enhance HSE information management throughout the PETRONAS

group. The system promotes seamless sharing on HSE Knowledge, best

practices and lessons learnt, and also offers a wide range of information

management tools to support HSE Operations across the business.

The Company also continues to test the effectiveness of our Emergency

Response Plan (ERP) and Crisis and Disaster Management Plan (CDMP).

Simulation exercises and drills are among the activities included in our

HSE calendar of events to promote a culture of preparedness as well

as improved competency in incident and crisis mitigation. In the period

under review, a total of 19 Tier 1 ERP and Table Top Exercises and

trainings were conducted, while three Tier 2 Functional Exercises and

four Regional Emergency Management Team (EMT) trainings were held

at Sabah, Sarawak, Eastern and Southern Regions.

Natural Resource Use

The Company is committed to enhance efforts in renewable energy use,

in line with the PETRONAS Group’s sustainability philosophy.

Since February 2009, PDB has been supplying Biodiesel to selected bulk

customers. Blended with 5% palm methyl ester (PME) from palm oil,

Biodiesel is less toxic compared to conventional diesel and is also designed

to be biodegradable. With low sulphur content, usage of Biodiesel in the

PDB is committed

towards efforts to protect

the environment.


country will also contribute towards reducing sulphur emission in the air

and thus promote a cleaner environment. In support of the Government’s

initiative to promote Biodiesel use, PDB is preparing its operations and

network to supply Biodiesel at selected retail stations by mid-2011.

To further support environmental conservation, PDB continues to adopt

the usage of an environmentally friendly plastic bag made from Eco Plus™

105 High Density Polyethylene (HDPE) at our Kedai Mesra convenience

stores. Promoting usage of a degradable plastic bag that complies with

ASTM 883-00 requirements and standards on the defi nition of degradable

plastics exemplify our commitment to proper waste management and

contribute to a better environment for the future generation.

The Company is also committed to initiate action plans to measure the

effi cient usage of water and energy used within our business operations

as part of our effort to internalise the importance of effi ciently using

natural resources.

Climate Change & Biodiversity

Since 1992, the Company has been involved in operating stations

providing natural gas for vehicles (NGV) in the country and to date operates

a total of 161 stations.

In line with this commitment to help limit the emission of greenhouse

gases, in the period under review, the Company together with the Road

Transport Department (JPJ) enhanced safety awareness for NGV users

with the launch of the NGV Vehicle Identifi cation Label during the NGV

Safety Awareness Campaign at PETRONAS Service Station Bandar Tun

Razak on 3 March 2011. The initiative was launched in an effort to ensure

that NGV equipments and cylinders are maintained according to the

safety requirements set by the Malaysian NGV Standards.

The Company is also committed to contribute towards efforts to protect

the environment.

This includes minimizing emissions of Hydrocarbon Volatile Organic

Compounds, an environmentally hazardous substance released during

petroleum product loading and unloading process. Through the Vapour

Recovery Unit (VRU) system installed at the Prai Bulk Terminal, the

Company is able to reduce hydrocarbon emissions into the atmosphere

and therefore minimise pollution to the environment. It does not only

protect facilities, but also the safety and health of employees.

In the period under review, the Company also continued to support the

Earth Hour campaign in Malaysia by partially switching off non-essential

lights at our retail stations. The partial lights-off exercise from 8.30pm to

9.30pm was carried out with utmost care to ensure that the safety of

our customers and employees were not compromised. This marks the

third year that PDB has supported this global initiative to celebrate a

worldwide commitment to ongoing change for a better future.

As a company with operations nationwide, PDB is set to adopt concrete

and measurable initiatives to monitor our carbon footprint and set

reduction targets accordingly. To this end, the Company will study the

baseline measurements and commence deliberations to undertake

long-term, sustainable actions to address climate change and

biodiversity issues.


Supporting environmental

conservation, degradable

plastic bags are used

at our Kedai Mesra

convenience stores.


Compliance with the Best Practices in Corporate Governance

The Company’s Board of Directors (the Board) acknowledges that

Corporate Governance is a form of self-regulation which is aimed at

maximizing shareholders’ value.

The Board strives to ensure that the best practices in Corporate

Governance pursuant to the Malaysian Code on Corporate Governance

are adhered to in carrying out its duties and responsibilities.

Effective Board of Directors

The Company has adopted a number of measures to ensure effectiveness

of the Board in discharging its duties and responsibilities.

Composition of Board

The Board comprises members with relevant expertise and experiences

drawn from business, fi nancial, technical and public service backgrounds.

The wide spectrum of skills and experiences has given them an edge and

an added strength in terms of leadership and management, thus ensuring

that PETRONAS Dagangan Berhad and its subsidiaries (the Group) are

steered and guided by an accountable and competent Board.

The Board comprises nine (9) members. One (1) of whom holds an

Executive Offi ce, having a dual role as Managing Director as well as Chief

Executive Offi cer. There are four (4) members who are independent and

non-executive and four (4) other non-independent and non-executive

members (including the Chairman).

As at the date of this report, the percentage of the Board composition is

as follows:

Executive Director

(also the Managing Director /Chief Executive Offi cer)

1/9 (11.12%)

Independent Non-Executive Directors 4/9 (44.44%)

Non-Independent Non-Executive Directors

(including Chairman)

4/9 (44.44%)

The profi le of each Director is presented in this Annual Report from

pages 24 to 29.

The Board is of the opinion that its current composition and size constitutes

an effective Board to the Company.

Role and Responsibilities of the Board

The Board practises a clear demarcation of responsibilities whilst

maintaining the balance of power and authority. The positions of the

Chairman and the Managing Director/Chief Executive Offi cer are

individually held by two persons.

The Chairman is primarily responsible for the orderly conduct and

workings of the Board. The Managing Director/Chief Executive Offi cer is

responsible for the day-to-day running of the business, implementation of

Board policies and decision-making on operational matters. In managing

the business affairs, he is assisted by a Management Committee, which

meets at least once a month and as and when necessary.



The Non-Executive Directors have the necessary calibre to ensure that

the strategies proposed by the Management are fully deliberated and

examined, taking into account the long-term interest of the shareholders

and other stakeholders. They contribute to the formulation of policy

and decision-making through their expertise and experience and are

independent of the Management, thereby helping to ensure that no

individual or group dominates the Board’s decision-making process.

The presence of the independent Non-Executive Directors is essential

as it provides unbiased and independent views, advice and judgement

as well as to safeguard the interests of other parties such as minority

shareholders and the community. The concept of independence adopted

by the Board is in accordance with the defi nition in Paragraph 1.01 of

Bursa Malaysia Securities Berhad Main Market Listing Requirements

(Main Listing Requirements).

The role and responsibilities of the Board are, inter alia, as follows:

• to discuss and critically examine strategies proposed by the

Management taking into account the long-term interest of the

shareholders as well as other stakeholders;

• to contribute to the formulation of policy and decision-making through

the Board’s accumulated expertise and experience;

• to identify principal risks and ensure that these risks are managed in

a proper and effective manner;

• to review the integrity and capability of the Group’s internal control

systems as well as its management information system;

• to oversee and critically review the proper management of the Group’s

business; and

• to review the Company’s plans and budget including cash fl ow forecast

for the forthcoming year and fi nancial projections.

Re-election

The Company’s Articles of Association further provides that at least one

third (1/3) of the directors are subject to retirement by rotation at each

Annual General Meeting (AGM) but shall be eligible for re-election in line

with the Main Listing Requirements.

Supply of Information to the Board

The Board members are supplied with required and timely information

which allows them to discharge their responsibilities effectively and

effi ciently. Prior to each Board meeting, every director is given an agenda

and a set of Board papers for each agenda item to be deliberated.

Information provided to the Board goes beyond the quantitative

performance data as it includes qualitative performances for the directors

to obtain a holistic view on the issues deliberated. All directors are entitled

to call for additional clarifi cation and information to be furnished to them

for the purpose of assisting them in their decision-making. In addition, in

arriving at any decision recommended by the Management, a thorough

deliberation and discussion by the Board is a prerequisite.

The Board is also updated by the Company Secretaries on new statutory

and regulatory requirements concerning their duties and responsibilities

as and when necessary. All Directors have access to the advice and

services of the Company Secretaries and where independent professional

advice is required, external independent experts are engaged at the

Group’s expense to facilitate their decision-making.

YBhg. Dato’ Chew Kong Seng has been identifi ed and appointed as the

Senior Independent Non-Executive Director, to whom any concerns

pertaining to the Group may be conveyed.



Board Meetings

During the fi nancial year, the Board met four (4) times. The attendance of

the Board members were as follows:

No. Name of Board Member

Total Meetings Attended

by Board Members

1 Datuk Anuar bin Ahmad

(resigned on 17.08.2010)

1 / 1

2 Amir Hamzah bin Azizan 3 / 3

3 Dato’ Chew Kong Seng 4 / 4

4 Dato’ Dr. R Thillainathan 4 / 4

5 Dato’ Kamaruddin bin Mohd Jamal 4 / 4

6 Datuk Ainon Marziah bt Wahi 4 / 4

7 Md Arif bin Mahmood

(resigned on 17.08.2010)

1 / 1

8 Datuk Wan Zulkifl ee bin Wan Ariffi n

(appointed on 17.08.2010)

3 / 3

9 Datuk Manharlal a/l Ratilal


3 / 3

10 Juniwati bt Rahmat Hussin


2 / 3

11 Mohammad Medan bin Abdullah


3 / 3

12 Jan Hendrik Badenhorst (appointed on

17.08.2010 and resigned on 16.02.2011)

2 / 2

The proceedings of all meetings including all issues raised, substance

of enquiry and response, board members’ suggestions, decision and

conclusions made at the Board of Directors and Board Audit Committee

meetings were recorded in the minutes of the Board of Directors and

Board Audit Committee meetings respectively.

Directors’ Training

In compliance with the Main Listing Requirements, all members of the

Board have attended the required mandatory accreditation training

programme.

Further, as an integral part of orientation and education programme for

new Directors, the Management provides them with a comprehensive

understanding of the operations of the Group through briefi ngs on its

history, fi nancial control systems and site visits.

In compliance with the Main Listing Requirements, the Directors are

mindful that they shall receive appropriate training which may be required

from time to time to keep them abreast of current developments of the

industry as well as new statutory and regulatory requirements.

During the fi nancial year, the members of the Board have attended

relevant training programmes in areas of leadership, corporate

governance, fi nance and competitive strategies to enhance their ability in

discharging their duties and responsibilities more effectively.



Particulars of training programmes attended by the Directors as at 31 March 2011 were as follows:

Corporate Governance • PETRONAS Directors Workshop - Corporate Governance and Boardroom Issues in Challenging Times

• Mandatory Accreditation Programme

• Corporate Governance Week:

1. Roundtable

2. Independent Directors – Actual vs Perceived Independence

• Risk Management – Things Can Still Go Wrong

• Sustainability Session for Directors

• Assessing Risk and Control Environment

• Risk Management for Directors, CEOs and Senior Executives

Oil and Gas Business • 15th Asia Oil And Gas Conference (AOGC) 2010

• 29th JCCP International Symposium

Economics, Finance,

Capital Market and Exchange

• Banking Insights

• Powering Business Sustainability

• ADB Regional Forum on the Impact of Global Economic and Financial Crisis

• MEA/FEA Forum on the New Economic Model

• World Capital Markets Symposium – Leadership, Change and Governance

• Financial Industry Conference

• ACMF-GOE Meeting on Development of Asean Capital Markets

• ASEAN Finance Ministers Investor Seminar

• Strategic Review of Opportunity in Insurance Industry

• Global Exchanges Trend and Development



Directors’ Fees

With the exception of the Managing Director/Chief Executive Offi cer, all non-executive directors are paid directors fees which are subsequently approved

by the shareholders at the AGM based on the recommendations of the Board. For the year of review, breakdown of fees received by each director is as

listed:

Details of Directors’ Fees

Name of Directors

Directors

Fees

(RM)

Board

Meeting

Attendance

Fees (RM)

BAC Meeting

Attendance

Fees (RM)

Others*

(RM)

Total

(RM)

Datuk Anuar bin Ahmad (resigned on 17.08.2010) 27,000 4,000 Nil Nil 31,000

Dato’ Chew Kong Seng 72,000 12,000 12,000 3,000 99,000

Dato’ Dr. R. Thillainathan 72,000 12,000 8,000 6,000 98,000

Dato’ Kamaruddin bin Mohd Jamal 72,000 12,000 8,000 6,000 98,000

Datuk Ainon Marziah bt Wahi 72,000 12,000 8,000 6,000 98,000

Md Arif bin Mahmood (resigned on 17.08.2010) 27,290 3,000 Nil Nil 30,290

Datuk Wan Zulkifl ee bin Wan Ariffi n (appointed on 17.08.2010) Nil Nil Nil Nil Nil

Datuk Manharlal a/l Ratilal (appointed on 17.08.2010) Nil Nil Nil Nil Nil

Juniwati bt Rahmat Hussin (appointed on 17.08.2010) Nil Nil Nil Nil Nil

Mohammad Medan bin Abdullah (appointed on 17.08.2010) 44,903 9,000 Nil Nil 53,903

Jan Hendrik Badenhorst (appointed on 17.08.2010 and resigned

on 16.02.2011)

Nil Nil Nil Nil Nil

TOTAL 387,193 64,000 36,000 21,000 508,193

* benefi ts in kind (petrol/fl eet card)

Note : Total amounting to RM249,290.33 paid directly to holding company in respect of directors who are appointees of the holding company and holding positions of Vice

President and above.



The Managing Director/Chief Executive Offi cer, an employee of

PETRONAS, is seconded to the Company to undertake all responsibilities

of an Executive Director who is also the Managing Director/Chief Executive

Offi cer. In consideration for the above service, the Company is required

to pay a management fee to cover all payroll related costs and benefi ts

ordinarily incurred by him in the course of his employment. During the

year, the Company paid RM985,000 as management fee.

Pursuant to Article 84 of the Company’s Articles of Association, the

Company also reimburses reasonable expenses incurred by directors

where relevant, in the course of carrying out their duties as directors.

In addition to the Managing Director/Chief Executive Offi cer, other

Management staff and executives have also been seconded from

PETRONAS. Their training and succession planning are aligned to

the PETRONAS’ Human Resources Division. The Board ensures that

only appropriate personnel with the relevant skills and experience are

appointed to Management positions of the Company.

Shareholders and Investors

The Board values its dialogue with both institutional shareholders and

private investors and recognises that timely and equal dissemination of

relevant information be provided to them.

The AGM is the principal forum of dialogue with the shareholders and also

an avenue for the Chairman and Board members to respond personally

to all queries and undertake to provide suffi cient clarifi cation on issues

and concerns raised by the shareholders.

Other mediums of communication between the Company and

shareholders and/or investors are detailed out in the Investor Relations

report.

Disclosures

The Board is fully committed to providing and presenting a true and fair

view of the fi nancial performances and future prospects in the industry.

This is provided through the quarterly, half yearly and annual fi nancial

statements as well as the Company’s Annual Report.

The Board also recognises the need to fully disclose to shareholders all

major developments in relation to the Group on a timely basis. In addition

to the mandatory disclosure requirements by Bursa Malaysia as well as

other corporate disclosures, the Company also maintains a website -

www.mymesra.com.my - for access by the public and shareholders.



While the Company endeavours to provide as much information as

possible to its shareholders and stakeholders, it must also be wary of the

legal and regulatory framework governing the release of material and

price-sensitive information. All corporate disclosures take into account

the prevailing legislative restrictions and requirements as well as the

investors’ need for timely release of price-sensitive information such

as fi nancial performance results and statements, material acquisitions,

signifi cant corporate proposals as well as other signifi cant corporate

events. In all circumstances, the Group is cautious not to provide

undisclosed material information about the Group and continually

stresses the importance of timely and equal dissemination of information

to shareholders and stakeholders.

Committees

In ensuring its effectiveness and realising its responsibilities to its

stakeholders generally and specifi cally to its shareholders, the Board has

formed committees to effi ciently discharge its duties and responsibilities.

These committees, members of which are amongst the members of the

Board itself, are delegated with specifi c powers and responsibilities.


The Board Audit Committee (BAC) is formed to operate within the

clearly defi ned terms of reference as stated in pages 104 to 105 of the

Annual Report. The BAC comprises four (4) independent non-executive

members. This composition of BAC will ensure the balance of roles and

responsibilities within the BAC in overseeing the fi nancial effi ciency

and effectiveness of the Company within the current fi nancial year. The

Chairman of the BAC reports the outcome of its meetings to the Board

and such reports are incorporated as part of the minutes of the Board

meetings.

Further in accordance with prescribed best practices of Corporate

Governance, the BAC hereby presents its report in pages 101 to 103 of the

Annual Report to the shareholders.

Nomination and Remuneration Committees

On 16 February 2011, the Board approved the establishment of the

Nomination Committee and the Remuneration Committee.

The Nomination Committee and the Remuneration Committee

comprises two (2) Independent Non-Executive Directors and one (1)

Non-Independent Non-Executive Director respectively.

The Nomination Committee is primarily responsible to propose, consider

and recommend to the Board, candidates for directorships to be fi lled

in the Board and Committees of the Board, whereas the Remuneration

Committee is primarily responsible to propose, consider and recommend

to the Board the remuneration of the Directors and Senior Management.



As at the date of this report, both the Nomination Committee as well

as the Remuneration Committee convened one (1) meeting each, and

the attendance of the members for the respective meetings are stated

below:

No. Name of Nomination Committee Member

Total Meeting

Attended

1 Dato’ Dr. R. Thillainathan 1 / 1

2 Dato‘ Kamaruddin bin Mohd Jamal 1 / 1

3 Juniwati bt Rahmat Hussin 1 / 1

No. Name of Remuneration Committee Member

Total Meeting

Attended


2 Dato‘ Kamaruddin bin Mohd Jamal 1 / 1

3 Juniwati bt Rahmat Hussin 1 / 1

Since the Board of Directors comprises mainly of Non-Executive

Directors, the full Board had, for the past years prior to the formation of

the Nomination Committee and Remuneration Committee, assumed the

function of the Nomination Committee and Remuneration Committee.

Any Board member who has interest in any matter raised abstains himself

from the deliberations and voting. The Directors do not participate in the

deliberations and voting on decisions in respect of their own remuneration

packages.


Accountability and Audit

1. Financial Reporting

The Board aims to present a balanced and meaningful assessment

of the Group’s fi nancial performance, position and prospects,

primarily through the annual fi nancial statements, quarterly and

half-yearly announcement of results to the shareholders as well as

the Chairman’s statement and review of operations in the Annual

Report. The Board is assisted by the BAC to oversee the Group’s

fi nancial reporting processes and the quality of its fi nancial

reporting.

The Statement of Directors’ Responsibility is enclosed in page 106 of

the Annual Report.

2. Internal Control

The Board acknowledges its overall responsibility for continuous

maintainance of a sound system of internal control to safeguard

shareholders’ investment and the Group’s assets. This principle

is further elaborated under Statement on Internal Control by the

Directors in pages 97 to 100 of the Annual Report.

3. Relationship with the Auditors

The external auditors from Messrs. KPMG Desa Megat & Co., have

continued to report to shareholders of the Company on their opinion

which are included as part of the Group’s fi nancial reports with

respect to their audit on each year’s statutory fi nancial statements.

In so doing, the Group has established a transparent arrangement

with the external auditors to meet the external auditors’ professional

requirements. The external auditors are also under the obligation

to highlight to the BAC and the Board on matters that require their

attention.


Additional Compliance Information

1. Non-Audit Fees

The amount of non-audit fees paid and payable to the external

auditors by the Company for the fi nancial year ended 31 March 2011

was RM106,000.00. (RM117,000.00 for fi nancial year ended 31 March

2010)

2. Sanctions

During the fi nancial year, there were no sanctions and/or penalties

imposed on the Company, Directors or Management by the relevant

regulatory bodies.

3. Material Contracts

There was no material contract entered into or subsisting between

the Company and its Directors or substantial shareholders during

the fi nancial year except as disclosed in the audited accounts.

The BAC met the external auditors once during the year without

the presence of the Head of Group Internal Audit, the Managing

Director/Chief Executive Offi cer and the Management to discuss the

Management’s co-operation in fi nancial reporting and the state of

affairs of the internal audit function.

A summary of the activities of the BAC during the year, including

the evaluation of independent audit process, are set out in the BAC

Report on pages 101 to 103 of the Annual Report.

This statement is made in accordance with the resolution of the

Board of Directors dated 24 May 2011.


Chairman


Managing Director/Chief Executive Offi cer




Introduction

The Malaysian Code on Corporate Governance requires Public Listed

Companies to maintain a sound system of internal controls to safeguard

shareholders’ investments and Company’s assets. Under the provisions of

the Bursa Malaysia Securities Berhad Main Market Listing Requirements,

(Main Listing Requirements) paragraph 15.26(b), Directors of Public

Listed Companies are required to produce a statement on the state of the

Company’s internal control in their Annual Report.

The Board continues with its commitment to maintain a sound system

of internal control throughout PETRONAS Dagangan Berhad and its

subsidiaries (Group) and in compliance with Bursa Malaysia Listing

Requirements and the Statement on Internal Control: Guidance for

Directors of Public Listed Companies (Internal Control Guidance), the

Board is pleased to provide the following statement which outlines the

nature and scope of internal control of the Group during the year in

review.

Board Responsibility

The Board acknowledges the importance of sound internal controls for

good corporate governance. The system of internal control covers, inter

alia, risk management and fi nancial, organisational, operational, project

and compliance controls. The Board reaffi rms its overall responsibility for

the Group’s systems of internal control, and for reviewing the adequacy

and integrity of those systems. It should be noted, however, that such

systems are designed to manage, rather than eliminate, risks of failure

to achieve corporate objectives. Inherently, it can only provide reasonable

and not absolute assurance against material misstatement or loss.

The Group has in place an ongoing process for identifying, evaluating,

monitoring and managing signifi cant risks that may materially affect

the achievement of corporate objectives. This process has been in place

throughout the year under review and this process is reviewed by the

Board and it accords with the Internal Control Guidance.

Control Structure and Environment

In furtherance to the Board’s commitment to maintain a sound system of

internal control, the Board continues to maintain and implement a strong

control structure and environment for the proper conduct of the Group’s

business operations as follows:

• The Board meets at least quarterly and has set a schedule of

matters, which is required to be brought to its attention for

discussion, thus ensuring that it maintains full and effective

supervision over appropriate controls. The Managing Director/

Chief Executive Offi cer leads the presentation of board papers

and provides comprehensive explanation of pertinent issues.

In arriving at any decision, upon recommendation by the Management,

a thorough deliberation and discussion by the Board is a prerequisite.

In addition, the Board is kept updated on the Group’s activities and its

operations on a regular basis.


• The Managing Director/Chief Executive Offi cer reports to the Board

on signifi cant changes in the business and external environments

which affect risks. The Chief Financial Offi cer provides the Board with

quarterly fi nancial information.

• An organisational structure with formally defi ned lines

of responsibility and delegation of authority is in place.

A process of hierarchical reporting has been established which

provides for a documented and auditable trail of accountability.

• A documented delegation of authority with clear lines of accountability

and responsibility serves as a tool of reference in identifying the

approving authority for various transactions including matters that

require the Board’s approval.

• The Group performs annual budgeting and forecasting exercise

including development of business strategies for the next fi ve years,

and the establishment of key performance indicators against which

units within the Group can be evaluated. Variances against budget are

analysed and reported internally on a monthly basis in the Company’s

Management Committee (MC) meetings. On a quarterly basis, the

variances are reported to the Board. The Group’s strategic direction is

also reviewed annually through a rigorous assessment process taking

into account changes in market conditions and signifi cant business

risks.

• The Accounting Procedure Manuals defi ne the policies and procedures

for day-to-day operations and act as guidelines as to the proper

measures to be undertaken in a given set of circumstances.

Risk Management

Risk management has been an integral part of the Company’s

management system and business activities. Continuous strengthening

of mitigation and control measures for all signifi cant risk areas remains

a key focus of the Board in ensuring sustainable value protection and

creation.

The Company adopts the PETRONAS Enterprise Risk Management policy

(“ERM”) in identifying, assessing, reporting and monitoring the ever

changing risks facing the Group and taking specifi c measures to mitigate

these risks. In managing the specifi c key risks, the Group focuses on

fi ve core risk areas, namely HSE, Contractor, Project, Credit and Finance,

which are supported and governed by respective risk management

frameworks and guidelines.

The Company’s Management Committee (MC), through Risk Management

Department, has been assisting the Managing Director/Chief Executive

Offi cer and Board in defi ning, developing and recommending risk

management policies and strategies and building risk management

awareness and capabilities across the Company. The MC coordinates

periodical review and reporting of the Company’s Risk Profi le and

implementation of risk mitigation plans to the Board.

Risk committees were formed to steer and manage specifi c risk

management framework implementation and to be accountable on any

issues and developments pertaining to the respective risk areas such

as HSE Committee, Credit Control Committee and Tender Committee.



Each committee was established with formal terms of references clearly

outlining their functions and duties and appropriately empowered to

ensure effective management and supervision of risk management

activities. The specifi c risk management framework implementation is

outlined below:-

HSE Risk

The Company adopts PETRONAS HSE Management System (HSEMS) to

manage HSE risk to an acceptable level and to ensure compliance to HSE

regulatory requirements.

Contractor Risk

Supply Chain Management Department leads the management of

Contractor risk through Contractor Risk Assessment. Prior to award

of contracts, a technical, commercial and contractor evaluation is

conducted in order to identify and mitigate the risk of contractors’ non-

performance.

Project Risk

The Company carries out Project Risk Assessment, Project Independent

Reviews and Project Lesson Learnt for all of its major and critical projects.

The Project Risk Management Framework and Guidelines have also been

enhanced to incorporate Project Risk Management modules in line with

the new PETRONAS Project Management System.


Credit Risk

In reducing the Company’s credit risk exposure to an acceptable level,

rigorous customer credit worthiness and credit rating assessments are

conducted on all credit customers. Periodical reviews of customers’

fi nancial information are made to detect any signs of fi nancial distress,

which serves as an early warning to management of increasing credit

risk exposures. Credit risk exposures are reported to a Credit Control

Committee on a monthly basis.

Finance Risk

The Company manages its fi nance risk exposure by adopting the

PETRONAS Corporate Financial Policy. The Company has developed

liquidity management, foreign exchange management and banking

supporting guidelines, while fi nancing and asset liability management

supporting guidelines are currently being developed. These guidelines are

established to manage counterparty risk, liquidity risk, foreign exchange

risk and interest rate risk.

Risk Awareness sessions have been conducted for the Company’s top

and middle Management and key employees within the business lines,

which is part of the Company’s initiative to sustain risk awareness and

enhance risk management capabilities.

In essence, Risk Management is conducted through an iterative process

between the Board, the Management and employees in the Company.

The Company believes that the establishment of the Risk Management

Department and the respective Risk Committees has strengthened risk

ownership and Risk Management culture amongst the employees in the

Company.


Internal Audit Function

Internal audits were undertaken to provide independent assessments

on the Group’s internal control systems in the assessment of potential

risks exposures in key business processes and in controlling the proper

conduct of business within the Group. The BAC has full and direct access

to internal auditors and the BAC received reports on all internal audits

performed.

During the fi nancial year, the internal audit function of the Group was

carried out by PETRONAS Group Internal Audit (GIA), a division in

PETRONAS. One of the key objectives of GIA is to assist the Group

in accomplishing its goals by bringing a systematic and disciplined

approach to evaluate and improve the effectiveness of risk management,

control and governance processes within the Group. GIA maintained its

impartiality, profi ciency and due professional care by having its plans and

reports directly under the purview of the BAC.

The internal audit function reviews the internal controls in selected key

activities of the Group’s businesses in accordance with the annual internal

audit plan which was presented to the BAC for approval.

The BAC reviews audit reports and directs the Management for the

necessary corrective actions. The Management is responsible for

ensuring that corrective actions were implemented accordingly.

On 16 February 2011, the Board approved the proposed PDB Internal

Audit Department (IAD) with a direct reporting line to the BAC. Effective

1 April 2011, the IAD organization structure was formalized. IAD will be

guided by the same Terms of Reference that PDB had with GIA. Moving

forward, IAD shall carry out the internal audit function of the Group.

Weaknesses in Internal Controls that Result in Material Losses

There were no material losses incurred during the current fi nancial year

as a result of weaknesses of internal control. The Management continues

to take measures to strengthen the controlled environment within the

Company.

This statement is made in accordance with the resolution of the Board

of Directors dated 24 May 2011.


Chairman


Managing Director/Chief Executive Offi cer



The Board Audit Committee (BAC) is pleased to present the BAC Report

for the year ended 31 March 2011 as follows:-

Membership

Pursuant to a Board resolution passed on 3 March 1994, the BAC was

formed. Currently, the BAC comprises four (4) Directors, namely:-

1) Dato’ Chew Kong Seng (Chairman)

(Independent non-executive Director)

2) Dato’ Dr. R. Thillainathan


3) Dato’ Kamaruddin bin Mohd Jamal


4) Datuk Ainon Marziah bt Wahi


The BAC is governed by the Terms of Reference as stipulated in pages

104 to 105 of the Annual Report. All the requirements under the Terms of

Reference were fully complied with and the BAC did not see any matter

in breach of the Bursa Malaysia Securities Berhad Main Market Listing

Requirements (Main Listing Requirements) that warrants reporting to

Bursa Malaysia.

Summary of Activities of the BAC

During the fi nancial year, the BAC in discharging its duties and functions

as an independent entity within the Company, held four (4) quarterly

meetings. By invitation, the Managing Director/Chief Executive Offi cer,

Company Secretary, Chief Financial Offi cer, external and internal

auditors were also present during deliberations which require their

inputs and advice.


FROM LEFT: Dato’ Chew Kong Seng • Dato’ Dr. R. Thillainathan • Dato’ Kamaruddin bin Mohd Jamal • Datuk Ainon Marziah bt Wahi


Attendance Record of BAC members

The attendance of the BAC members at the BAC meetings were as

follows:

No. Name of BAC Member

Total Meetings

Attended

by BAC Member

1 Dato’ Chew Kong Seng 4 / 4

2 Dato’ Dr. R. Thillainathan 4 / 4

3 Dato’ Kamaruddin bin Mohd Jamal 4 / 4


The following activities were carried out by the BAC during the fi nancial

year ended 31 March 2011:-

1) reviewed the external auditors’ scope of work and audit plans for the

year. Prior to the audit, representatives from the external auditors,

presented their audit strategy and plan;

2) reviewed with the external auditors the results of the audit and the

audit report;

3) consideration and recommendation to the Board for approval of the

audit fees payable to the external auditors as disclosed in Note 17 to

the fi nancial statements;

4) reviewed the independence and objectivity of the external auditors

and the services provided;

5) reviewed the internal audit reports, which highlighted the audit issues,

recommendations and the Management’s response. Discussed with

the Management on actions taken to improve the system of internal

control based on improvement opportunities identifi ed in the internal

audit reports;

6) reviewed the audited fi nancial statements of the Group prior to

submission to the Board for their consideration and approval. The

review was to ensure that the audited fi nancial statements were

drawn up in accordance with the provisions of the Companies Act,

1965 and the applicable approved accounting standards;

7) reviewed the Company’s compliance in particular the quarterly and

year-end fi nancial statements with the Main Listing Requirements,

Malaysian Accounting Standards Board and other relevant legal and

regulatory requirements;



8) reviewed the quarterly unaudited fi nancial results announcements

before recommending them for the Board’s approval. The review and

discussion were conducted with the Chief Financial Offi cer;

9) reviewed the related party transactions entered into by the Company;

and

10) reviewed the extent of the Company’s compliance with the provisions

set out under the Malaysian Code on Corporate Governance for

the purpose of preparing the Corporate Governance Statement

and Statement of Internal Control pursuant to the Main Listing

Requirements. Recommended to the Board action plans to address

the identifi ed gaps between the Group’s existing corporate governance

practices and the prescribed corporate governance principles and

best practices under the Malaysian Code on Corporate Governance.

Internal Audit

The internal audit function of the Group is carried out by the Group Internal

Audit (GIA) Division of PETRONAS. They maintained at all times their

impartiality, profi ciency and due professional care by having their plans

and reports directly under the purview of the Board Audit Committee

(BAC).

The internal audits were undertaken to provide independent assessments

on the adequacy, effi ciency and effectiveness of the Group’s internal

control systems in the assessment of potential risk exposures over key

business processes within the group. The BAC has full and direct access

to Internal Auditors and received reports on all audits performed.

During the year, the Internal Auditors had carried out audits according to

the internal audit plan which had been approved by the BAC. The internal

audit provides assurance that adequate and effective internal controls are

in place and relevant policies, procedures and guidelines and applicable

laws and regulations are adhered to.

The BAC reviews the audit reports and directs the Management for

the necessary corrective actions. The Management is responsible for

ensuring that corrective actions are implemented accordingly.

The total costs incurred for the internal audit function of the Company

and the Group for the fi nancial year was RM440,000.


Chairman




Constitution

The Audit Committee was created by the Board pursuant to its resolution

on 3 March 1994.

Membership

• The members of the Audit Committee shall be appointed by the

Board from amongst their number and shall consist of not less than

three (3) members. All the Audit Committee members must be non-

executive directors with majority of them being independent directors.

Independent Directors shall be one who fulfi lls the requirement as

provided in the Bursa Malaysia Main Market Listing Requirements

(Main Listing Requirements).

• All the Audit Committee members must be fi nancially literate with at

least one (1) member of the Audit Committee :-

(i) being be a member of the Malaysian Institute of Accountants; or

(ii) if he is not a member of the Malaysian Institute of Accountants, he

must have at least three (3) years working experience and :-

(a) he must have passed the examinations specifi ed in Part I of

the First Schedule of the Accountants Act, 1967; or

(b) he must be a member of one of the associations of accountants

specifi ed in Part II of the First Schedule of the Accountants

Act, 1967.

(iii) fulfi lling such other requirements as prescribed or approved by

the Bursa Malaysia.

• The members of the Audit Committee shall elect a Chairman from

amongst them who shall be an Independent Director.

• If a member of the Audit Committee resigns, dies or for any other

reason ceases to be a member with the result that the number of

members is reduced below three (3), the Board shall within three (3)

months of that event, appoint such number of new members as may

be required to make up the minimum number of three (3) members.

• No alternate director can be appointed as a member of the Audit

Committee.

Meeting

• A quorum shall be two (2) members, both being Independent Directors

and one of whom shall be the Chairman of the Audit Committee. The

Audit Committee shall be able to convene meetings with the external

auditors, internal auditors or both, excluding the attendance of other

directors and employees whenever deemed necessary. The external

auditors and internal auditors have the right to appear and be heard

at any meeting of the Audit Committee and shall appear before the

Committee when required to do so by the Audit Committee.

• The Company Secretary or in his/her absence, his/her deputy shall be

the Secretary of the Audit Committee. Minutes of the meetings shall

be duly entered in the books provided therefor.

• Meetings shall be held not less than four (4) times a year. The external

auditors may request a meeting if they consider it necessary. The

Chairman of the Audit Committee shall convene a meeting of the

Committee to consider any matters the external auditors believe

should be brought to the attention of the Directors or shareholders.

Authority

• The Audit Committee is authorised by the Board to investigate

any activity within its Terms of Reference. It is authorised to seek

any information it requires from any employee and all employees

are directed to co-operate with any request made by the Audit

Committee.




• The Audit Committee is authorised by the Board to obtain external

legal or other independent professional advice and to secure the

attendance of outsiders with relevant experience and expertise if it

considers necessary.

Duties and Functions

• The duties and functions of the Audit Committee shall be:-

a) to consider the appointment of the external auditors, the audit

fee, and any questions of resignation or dismissal of the external

auditors before making recommendation to the Board;

b) to discuss with the external auditors before the audit commences

the nature and scope of the audit, and ensure coordination where

more than one (1) audit fi rm is involved;

c) to review with the Management and the external auditors the

quarterly results and year-end fi nancial statements prior to the

approval by the Board, focusing particularly on:

- any change in accounting policies and practices

- signifi cant and unusual events

- major judgmental areas

- signifi cant adjustments resulting from the audit

- the going concern assumption

- compliance with accounting standards

- compliance with stock exchange and legal requirements

d) to arrange for periodic reports from Management, the external

auditors, and the internal auditors to assess the impact of

signifi cant regulatory changes, and accounting or reporting

developments proposed by accounting and other bodies, or

any signifi cant matters that may have a bearing on the annual

examination;

e) to discuss problems and reservations arising from the internal

or external interim and fi nal audits, and matters the external

or internal auditors may wish to discuss (in the absence of

Management where necessary);

f) to review the internal audit programme, consider the major

fi ndings of internal audits and Management’s response, and

ensure coordination between the internal and external auditors;

g) to review the adequacy of the competency of the internal audit

function;

h) to review any related party transaction and confl ict of interest

situation that may arise in the Company including any

transaction, procedure or course of conduct that raises questions

of Management’s integrity;

i) to keep under review the effectiveness of internal control

systems, and the internal and/or external auditors’ evaluation

of these systems and in particular, review the external auditor’s

Management Letter and Management’s Response;

j) to review the audit reports;

k) to direct and where appropriate supervise any special project or

investigation considered necessary;

l) to prepare periodic report to the Board of Directors summarising

the work performed in fulfi lling the Audit Committee’s primary

responsibilities; and

m) to consider other topics, as defi ned.

Reporting Procedures

The Secretary shall circulate the minutes of meetings of the Audit

Committee to all members of the Board.


The fi nancial statements as set out on pages 118 to 170 of the Group, are properly drawn up so as to give a true and fair view

of the state of affairs of the Group as at 31 March 2011 and of the results of its operations and cash fl ows for the year ended

on that date.

The Directors consider that in preparing the fi nancial statements:-

• the Group has used appropriate accounting policies that were consistently applied;

• reasonable and prudent judgements and estimates were made; and

• all applicable approved accounting standards in Malaysia have been followed.

The Directors are also responsible for ensuring that the accounting and other records and registers required by the Companies

Act, 1965 to be kept by the Group have been properly kept in accordance with the provisions of the said Act.

The Directors also have general responsibilities for taking such steps that are reasonably available to them to safeguard the

assets of the Group, and to prevent and detect fraud and other irregularities.

Statement of Directors’ ResponsibilityIN RELATION TO THE FINANCIAL STATEMENTS



Share Performance


Financial Calendar

108

109

110

115

Investors’ Overview


Investor relations activities are an important channel of communication

with shareholders and the investing community. PDB recognizes the

importance of developing and maintaining good relationships with

domestic and international investors as well as research analysts, to

disseminate timely, accurate and reliable information.

During the year, PDB established its Investor Relations (IR) Policy with

the objective of promoting effective communication between PDB and the

investing community as well as providing a structured and professional

approach to the fl ow of information at all times.

Senior Management Involvement

It is PDB’s policy to provide and encourage the use of appropriate channels

for the management of information. These include the designation

of nominated individuals authorized to speak on behalf of PDB and its

subsidiaries, and processes to ensure that information released by PDB

is accurate, clear and timely in reaching its intended recipient (s).

The involvement of senior management in PDB’s IR function refl ects

its commitment to enhance and foster closer ties with the investing

community. Designated spokespersons are nominated to communicate

with investors to ensure consistency and to maintain fairness of disclosure

of information to the intended recipients. The Managing Director/Chief

Executive Offi cer, Chief Financial Offi cer and Senior Manager of Strategic

Planning Department, together with the IR team are actively involved in

meetings with investors.

Dedicated IR Team

The management of investor relations is performed by a dedicated

IR Unit within Strategic Planning Department which functions as a

one-stop centre to further improve accessibility by equity research

analysts, fund managers, institutional shareholders and investors to

PDB.

Annual Report and Annual General Meeting (AGM)

The Annual Report is the key channel of communication with shareholders

and investors which incorporates comprehensive information about

PDB’s fi nancial results and activities throughout the year.

The AGM is the principal forum for dialogue and interaction between the

shareholders and the Board of Directors and senior management. At

the AGM, shareholders are briefed on PDB’s fi nancial performance and

signifi cant operational developments for the fi nancial year as well as key

business strategies going forward.

Quarterly Financial Results Announcement and Briefings

Briefi ng sessions with analysts to discuss key business highlights are

organized immediately after the announcement of quarterly fi nancial

results to Bursa Malaysia. These interactive sessions are chaired by the

Managing Director/Chief Executive Offi cer and other senior members of

the management. Special feature presentations on each business are also

presented during the analyst briefi ng. To date, PDB has shared its special

feature presentations on Retail Business, Commercial Business and

Lubricant Business during its Quarter 2, Quarter 3 and Quarter 4 analyst

briefi ngs in November 2010, February 2011 and May 2011, respectively.

One-on-One Meetings and Conferences

In the year under review, PDB took part in two (2) investors’ conferences

involving over 125 fund managers and equity analysts, three (3) analyst

briefi ngs and 15 one-on-one meetings with analysts and their clients.

Feedback

PDB welcomes comment and constructive feedback from investors and

other stakeholders. External opinion is sought not only on operational

and performance matters, but also on governance and strategic issues.

Please visit www.mymesra.com.my for more information.



Share Performance

With the exception of the economic

recession period of FY 2008/09,

the Company’s share performance

continued to improve over the

years, rising steadily from RM3.60

at the end of 2005 to RM16.50 in

Q4 FY 2010/11. This was heavily

refl ected by the strong fi nancial

performance delivered since the

last few years as the Company

continued to strive for greater

return to its shareholders in the

form of higher dividend payment.

Despite the challenging

downstream industry and

volatile market environment, our

shareholders have been confi dent

and committed with their support

and trust towards the Company’s

long-term strategy to seek

higher growth opportunities

in the domestic market. This

was further testifi ed by positive

recommendations by analysts and

fund managers on the Company’s

share to “Buy” due to better

quarterly results achieved against

the previous year. The Company’s

shareholding ratios rose more

than 80% during the year under

review, a positive indication of

greater interest from both major

and minor shareholders.

PDB Stock Highest Price Lowest Price Total Volume Traded FBM KLCI

Apart from the above, the

Company continued to enhance its

shareholders value through active

investor relations engagement

and communication programs on

the Company’s performance and

business strategies and activities.

This has borne fruitful results as

indicated by the Company’s share

performance, which rose 82.3%,

outperforming the 12.8% rise in

FBMKLCI. (Please refer to the

graph).

Ever since the government

introduced the Economic

Transformation Programme

(ETP), an initiative to develop

high-performing entities for

the future prosperity of the

country, the Company has been

exposed to various new business

opportunities. The Company

would be able continue to further

grow its business and maximize

its profi ts by leveraging on the vast

potentials from the ETP, further

enhancing its shareholders’ value.


Financial Year End : 31 March 2011

Class of Shares : Ordinary Shares of RM1.00 Each

Voting Rights : One Vote Per Ordinary Share (On A Poll)

Analysis of Shareholdings as at 31 May 2011

Size of Holdings No. of Holders

% of Total

Shareholders No. of Shares % of Total Shares

Less than 100 70 0.92 631 0.00

100 - 1,000 1,356 17.74 1,095,835 0.11

1,001 - 10,000 5,553 72.65 15,001,393 1.51

10,001 - 100,000 482 6.30 16,902,013 1.70

100,001 to less than 5% of issued shares 180 2.36 211,270,728 21.27

5% and above of issued shares 2 0.03 749,183,400 75.41

7,643 100.0 993,454,000 100.00

Classification of Shareholders as at 31 May 2011

Category No. of Holders No. of Shares % of Total Shareholding

Malaysian Foreign Malaysian Foreign Malaysian Foreign

• Individual 6,511 66 22,433,551 466,807 2.26 0.05

• Corporate Body

a. Banks/Finance Companies

b. Investment Trusts /

Foundation /Charities

c. Other types of companies

44

1

227

0

0

6

100,668,800

1,400

8,425,100

0

0

945,000

10.13

0

0.85

0

0

0.10

• Government Agencies / Institution 9 0 11,217,400 0 1.13 0

• Nominees 518 261 798,871,300 50,424,642 80.40 5.08

7,310 333 941,617,551 51,836,449 94.77 5.23



List of Thirty Largest Shareholders

Registered as at 31 May 2011

Name No. of Shares % of Total Shares

1. Cartaban Nominees (Tempatan) Sdn Bhd

(Petroliam Nasional Berhad (Strategic Inv))

694,004,000 69.86

2. Citigroup Nominees (Tempatan) Sdn Bhd

(Employees Provident Fund Board)

55,179,400 5.55

3. Valuecap Sdn Bhd 29,233,600 2.94

4. Amanahraya Trustees Berhad

(Amanah Saham Wawasan 2020)

16,323,200 1.64


(Skim Amanah Saham Bumiputera)

15,000,000 1.51

6. Malaysia Nominees (Tempatan) Sendirian Berhad

(Great Eastern Life Assurance (Malaysia) Berhad (Par 1))

14,368,100 1.45


(Public Islamic Dividend Fund)

7,177,100 0.72

8. Permodalan Nasional Berhad 6,945,700 0.70


(Amanah Saham Malaysia)

6,000,000 0.60

10. Cartaban Nominees (Asing) Sdn Bhd

(Exempt AN for State Street Bank & Trust Company (West CLT OD67))

4,674,500 0.47

11. Citigroup Nominees (Tempatan) Sdn Bhd

(Employees Provident Fund Board (CIMB PRIN))

4,224,800 0.43

12. AMSEC Nominees (Tempatan) Sdn Bhd

(Amtrustee Berhad for CIMB Islamic Dali Equity Growth Fund (UT-CIMB-DALI))

4,169,700 0.42

13. HSBC Nominees (Asing) Sdn Bhd

(BBH and Co Boston for Vanguard Emerging Markets Stock Index Fund)

4,063,900 0.41


(AS 1Malaysia)

3,500,000 0.35



Name No. of Shares % of Total Shares


(Exempt AN for JPMorgan Chase Bank, National Association (Norges BK Lend))

3,084,400 0.31

16. DB (Malaysia) Nominee (Tempatan) Sendirian Berhad

(icapital.biz Berhad)

2,700,000 0.27

17. Lembaga Tabung Haji 2,680,500 0.27

18. Pertubuhan Keselamatan Sosial 2,559,200 0.26


(TNTC for Saudi Arabian Monetary Agency)

2,445,100 0.25

20. SBB Nominees (Tempatan) Sdn Bhd

(Kumpulan Wang Persaraan (Diperbadankan))

2,357,100 0.24


(Exempt AN for JPMorgan Chase Bank, National Association (U.A.E.))

2,085,952 0.21


(Public Islamic Equity Fund)

2,042,700 0.21


(Amanah Saham Didik)

2,035,400 0.20

24. Foh Chong & Sons Sdn Bhd 2,014,000 0.20

25. State Financial Secretary Sarawak 2,000,000 0.20

26. Setiausaha Kerajaan Pulau Pinang 2,000,000 0.20

27. State Secretary Kedah Incorporated 2,000,000 0.20

28. Mayban Securities Nominees (Tempatan) Sdn Bhd

(Kumpulan Wang Amanah Pencen for Kerajaan Negeri-Negeri Sembilan)

2,000,000 0.20

29. Kerajaan Negeri Perak Darul Ridzuan 2,000,000 0.20

30. Malaysia Nominees (Tempatan) Sendirian Berhad

(Great Eastern Life Assurance (Malaysia) Berhad (Par 2))

1,935,800 0.19


List of Thirty Largest Shareholders (Cont’d)

Registered as at 31 May 2011


List of Substantial Shareholders

as at 31 May 2011

Direct Indirect

No. of Shares % of Total Shares No. of Shares % of Total Shares

1. Cartaban Nominees (Tempatan) Sdn Bhd

(Petroliam Nasional Berhad) (Strategic Inv & Petronas

for Petroleum Research Fund)

694,204,900 69.88 200,900 0.02

2. Employees Provident Fund Board 63,255,100 6.37 – –

* Deemed interest in 200,900 shares of PETRONAS for Petroleum Research Fund held through Cartaban Nominees (Tempatan) Sdn Bhd pursuant to Section 6A of the

Companies Act, 1965.

List of Directors’ Shareholding in the Company

as at 31 May 2011

Name

No. of Shares

in the Company

% of

Shareholding

1. Amir Hamzah bin Azizan 15,000 0.00

2. Datuk Ainon Marziah bt Wahi 2,000 0.00

3. Dato’ Dr. R. Thillainathan* 10,000 0.00

* Deemed interest by virtue of his spouse’s shareholdings of 10,000 units pursuant to Section 134(12)(c) of the Companies Act, 1965.

Name

No. of Shares

in PETRONAS

Gas Berhad

% of

Shareholding

1. Juniwati bt Rahmat Hussin 3,000 0.00



Name

No. of Shares

in PETRONAS

Chemicals Group

Berhad

% of

Shareholding

1. Datuk Wan Zulkifl ee bin Wan Ariffi n 20,000 0.00


3. Datuk Ainon Marziah bt Wahi 5,000 0.00

4. Datuk Manharlal a/l Ratilal 20,000 0.00


6. Mohammad Medan bin Abdullah 6,000 0.00

Name

No. of Shares

in MISC Berhad

% of

Shareholding


Name

No. of Shares

in KLCC Property

Holdings Berhad

% of

Shareholding

1. Datuk Manharlal a/l Ratilal 5,000 0.00


Name

No. of Shares

in Malaysia

Marine and Heavy

Engineering

Holdings Berhad

% of

Shareholding

1. Datuk Wan Zulkifl ee bin Wan Ariffi n 10,000 0.00

2. Amir Hamzah bin Azizan* 14,000 0.00


* Inclusive of deemed interest by virtue of his spouse’s shareholdings of 1,000 units pursuant to Section 134(12)(c) of the Companies Act, 1965.



24 August 2010 Announcement of the unaudited consolidated results for the 1st quarter

ended 30 June 2010

24 August 2010 Date of payment of the 2009/2010 fi nal dividend and special fi nal dividend

25 November 2010 Announcement of the unaudited consolidated results for the 2nd quarter

ended 30 September 2010

28 December 2010 Date of payment of the 2009/2010 interim dividend and special interim dividend

16 February 2011 Announcement of the unaudited consolidated results for the 3rd quarter

ended 31 December 2010

31 March 2011 Date of fi nancial year-end

24 May 2011 Announcement of the audited consolidated results for the 4th quarter

and fi nancial year ended 31 March 2011

5 July 2011 Date of Notice of 29th Annual General Meeting and date of issuance of

2011 Annual Report

28 July 2011 Date of 29th Annual General Meeting

23 August 2011 Date of payment of the 2010/2011 fi nal dividend and special fi nal dividend

Financial Calendar



Financial Statements

Directors’ Report

Statement by Directors

Statutory Declaration

Consolidated Statement of Financial Position

Consolidated Statement of Comprehensive Income

Consolidated Statement of Changes in Equity

Consolidated Statement of Cash Flows

Statement of Financial Position

Statement of Comprehensive Income

Statement of Changes in Equity

Statement of Cash Flows

Notes to the Financial Statements

Independent Auditors’ Report to the Members

118

122

122

123

124

125

126

127

128

129

130

131

171


The Directors have pleasure in submitting their report and the audited fi nancial statements

of the Group and of the Company for the fi nancial year ended 31 March 2011.

Principal Activities

The principal activity of the Company in the course of the fi nancial year remained

unchanged as domestic marketing of petroleum products.

The principal activities of the subsidiaries and associates are stated in Note 30 and Note

31 to the fi nancial statements respectively.

There has been no signifi cant change in the nature of these activities during the fi nancial

year.

Results Group Company

RM’000 RM’000

Profi t for the year 875,927 879,059

Attributable to:

Shareholders of the Company 869,728 879,059

Minority interests 6,199 –

875,927 879,059

Dividends

Since the end of the previous fi nancial year, the Company paid:

i) as proposed in last year’s report, a fi nal dividend of 30 sen per ordinary share less

25% tax amounting to RM223,527,150 and a special dividend of 15 sen per ordinary

share less 25% tax amounting to RM111,763,575 in respect of the fi nancial year

ended 31 March 2010 on 24 August 2010.

Directors’ ReportFOR THE YEAR ENDED 31 MARCH 2011

Dividends (Continued)

ii) an interim dividend of 30 sen per ordinary share less 25% tax amounting to

RM223,527,150 and a special dividend of 10 sen per ordinary share less 25% tax

amounting to RM74,509,050 in respect of the fi nancial year ended 31 March 2011 on

28 December 2010.

The Directors propose a fi nal dividend of 35 sen per ordinary share less 25% tax amounting

to RM260,781,675 in respect of the fi nancial year ended 31 March 2011.

In addition, the Directors propose a special dividend of 25 sen per ordinary share less 25%

tax amounting to RM186,272,625 in respect of the fi nancial year ended 31 March 2011.

The fi nancial statements for the current fi nancial year do not refl ect these proposed

fi nal dividend and special dividend. Such dividends will be accounted for in equity as an

appropriation of retained profi ts in the fi nancial period ending 31 December 2011.

Reserves and Provisions

There were no material movements to and from reserves and provisions during the year.

Directors of the Company

Directors who served since the date of the last report are:





Amir Hamzah bin Azizan – Managing Director / CEO (appointed on 15.06.2010)

Datuk Wan Zulkifl ee bin Wan Ariffi n – Chairman (appointed on 17.08.2010)

Datuk Manharlal a/l Ratilal (appointed on 17.08.2010)

Juniwati bt Rahmat Hussin (appointed on 17.08.2010)

Mohammad Medan bin Abdullah (appointed on 17.08.2010)

Jan Hendrik Badenhorst (appointed on 17.08.2010 and resigned on 16.02.2011)


Directors’ Report

FOR THE YEAR ENDED 31 MARCH 2011

Directors of the Company (Continued)

Datuk Mohamad Sabarudin bin Mohamad Amin – Managing Director / CEO (resigned

on 15.06.2010)

Datuk Anuar bin Ahmad – Chairman (resigned on 17.08.2010)

Md Arif bin Mahmood (resigned on 17.08.2010)

Dato’ Kamaruddin bin Mohd Jamal, the Director retiring pursuant to Article 93 of the

Company’s Articles of Association and being eligible, offers himself to be re-elected as

Director of the Company.

Datuk Wan Zulkifl ee bin Wan Ariffi n, Datuk Manharlal a/l Ratilal, Juniwati bt Rahmat

Hussin and Mohammad Medan bin Abdullah who were appointed as Directors on

17 August 2010, retiring pursuant to Article 96 of the Company’s Articles of Association

and being eligible, offer themselves to be re-elected as Directors of the Company.

Dato’ Chew Kong Seng retiring pursuant to Section 129 of the Companies Act, 1965 at

the forthcoming Annual General Meeting, offers himself to be re-elected as a Director

of the Company to hold offi ce until the conclusion of the next Annual General Meeting

of the Company.

Directors’ Interests

The Directors in offi ce at the end of the fi nancial year who have interests and deemed

interests in the shares of the Company and of its related corporations as recorded in the

Register of Directors’ Shareholdings are as follows:

Number of Shares in the Company

Balance at Balance at

Name 1.4.2010 Bought Sold 31.3.2011

Datuk Ainon Marziah bt Wahi 2,000 – – 2,000

Dato’ Dr. R. Thillainathan* 10,000 – – 10,000

Amir Hamzah bin Azizan – 15,000 – 15,000

* Deemed interest by virtue of his spouse’s shareholdings pursuant to Section 134(12)(c)

of the Companies Act, 1965.

Directors’ Interests (Continued) Number of Shares in PETRONAS

Chemicals Group Berhad



Datuk Wan Zulkifl ee bin Wan Ariffi n – 20,000 – 20,000

Datuk Ainon Marziah bt Wahi – 10,000 5,000 5,000

Datuk Manharlal a/l Ratilal – 20,000 – 20,000


Juniwati bt Rahmat Hussin – 10,000 – 10,000

Mohammad Medan bin Abdullah – 6,000 – 6,000

Number of Shares in Malaysia Marine and

Heavy Engineering Holdings Berhad



Datuk Wan Zulkifl ee bin Wan Ariffi n – 10,000 – 10,000

Amir Hamzah bin Azizan* – 14,000 – 14,000

Juniwati bt Rahmat Hussin – 2,000 – 2,000

* Inclusive of deemed interest by virtue of his spouse’s shareholding of 1,000 units

pursuant to Section 134(12)(c) of the Companies Act, 1965.

Number of Shares in KLCC Property

Holdings Berhad



Datuk Manharlal a/l Ratilal 5,000 – – 5,000

Amir Hamzah bin Azizan 52,000 – – 52,000

Number of Shares in PETRONAS Gas Berhad



Juniwati bt Rahmat Hussin 3,000 – – 3,000


Directors’ Interests (Continued) Number of Shares in MISC Berhad




None of the other Directors holding offi ce at 31 March 2011 had any interest in the ordinary

shares of the Company and of its related corporations during the fi nancial year.

Directors’ Benefits

Since the end of the previous fi nancial year, no Director of the Company has received nor

become entitled to receive any benefi t (other than the benefi t included in the aggregate

amount of emoluments received or due and receivable by Directors as shown in the

fi nancial statements or the fi xed salary of a full-time employee of the Company or of

related companies/corporations) by reason of a contract made by the Company or a

related corporation with the Director or with a fi rm of which the Director is a member, or

with a company in which the Director has a substantial fi nancial interest.

There were no arrangements during and at the end of the fi nancial year which had the

object of enabling Directors of the Company to acquire benefi ts by means of the acquisition

of shares in or debentures of the Company or any other body corporate.

Issue of Shares

There were no changes in the issued and paid up capital of the Company during the

fi nancial year.

Options Granted Over Unissued Shares

No options were granted to any person to take up unissued shares of the Company during

the fi nancial year.

Other Statutory Information

Before the fi nancial statements of the Group and of the Company were made out, the

Directors took reasonable steps to ascertain that:

i) all known bad debts have been written off and adequate provision made for doubtful

debts, and

ii) any current assets which were unlikely to realise, in the ordinary course of business,

their values as shown in the accounting records of the Group and of the Company

had been written down to an amount which they might be expected so to realise.

At the date of this report, the Directors are not aware of any circumstances:

i) that would render the amount written off for bad debts, or the amount of the provision

for doubtful debts, in the Group and in the Company inadequate to any substantial

extent, or

ii) that would render the value attributed to the current assets in the fi nancial

statements of the Group and the Company misleading, or

iii) which have arisen which render adherence to the existing method of valuation of

assets or liabilities of the Group and of the Company misleading or inappropriate, or

iv) not otherwise dealt with in this report or the fi nancial statements, that would render

any amount stated in the fi nancial statements of the Group and of the Company

misleading.

Directors’ Report



Other Statutory Information (Continued)

At the date of this report, there does not exist:

i) any charge on the assets of the Group or of the Company that has arisen since the

end of the fi nancial year and which secures the liabilities of any other person, or

ii) any contingent liability in respect of the Group or of the Company that has arisen

since the end of the fi nancial year.

No contingent liability or other liability of any company in the Group has become

enforceable, or is likely to become enforceable within the period of twelve months after

the end of the fi nancial year which, in the opinion of the Directors, will or may substantially

affect the ability of the Group and of the Company to meet their obligations as and when

they fall due.

In the opinion of the Directors, the results of the operations of the Group and of the

Company for the fi nancial year ended 31 March 2011 have not been substantially affected

by any item, transaction or event of a material and unusual nature nor has any such item,

transaction or event occurred in the interval between the end of that fi nancial year and

the date of this report.

Auditors

The auditors, Messrs. KPMG Desa Megat & Co., have indicated their willingness to accept

re-appointment.

Signed on behalf of the Board of Directors in accordance with a resolution of the

Directors:

DATUK WAN ZULKIFLEE BIN WAN ARIFFIN

AMIR HAMZAH BIN AZIZAN

Kuala Lumpur,

Date: 24 May 2011

Directors’ Report



In the opinion of the Directors, the fi nancial statements set out on pages 123 to 170 are

drawn up in accordance with Financial Reporting Standards and the Companies Act, 1965

in Malaysia so as to give a true and fair view of the fi nancial position of the Group and of

the Company at 31 March 2011 and their fi nancial performance and cash fl ows for the

year ended on that date.

In the opinion of the Directors, the information set out in Note 36 to the fi nancial

statements has been compiled in accordance with the Guidance on Special Matter No.1,

Determination of Realised and Unrealised Profi ts or Losses in the Context of Disclosures

Pursuant to Bursa Malaysia Securities Berhad Listing Requirements, issued by the

Malaysian Institute of Accountants, and presented based on the format prescribed by

Bursa Malaysia Securities Berhad.

Signed on behalf of the Board of Directors in accordance with a resolution of the

Directors:

DATUK WAN ZULKIFLEE BIN WAN ARIFFIN

AMIR HAMZAH BIN AZIZAN

Kuala Lumpur,

Date: 24 May 2011

Statement by Directors Statutory Declaration

I, ROZAINI BIN MOHD SANI, the offi cer primarily responsible for the fi nancial management

of PETRONAS Dagangan Berhad, do solemnly and sincerely declare that the fi nancial

statements set out on pages 123 to 170, are, to the best of my knowledge and belief,

correct and I make this solemn declaration conscientiously believing the same to be true,

and by virtue of the provisions of the Statutory Declarations Act, 1960.

Subscribed and solemnly declared by the above named

ROZAINI BIN MOHD SANI at KUALA LUMPUR

in WILAYAH PERSEKUTUAN on 24 May 2011.

BEFORE ME:

Commissioner for Oaths


Consolidated Statement of Financial PositionAT 31 MARCH 2011

Note 31.3.2011 31.3.2010 1.4.2009

RM’000 RM’000 RM’000

(Restated) (Restated)

ASSETS

Property, plant and equipment 3 3,583,364 3,568,833 3,506,230

Investment in associates 5 8,770 3,617 2,773

Prepaid lease payments 6 364,886 351,397 341,563

Goodwill – – 25,189

TOTAL NON-CURRENT ASSETS 3,957,020 3,923,847 3,875,755

Inventories 7 832,600 751,182 443,961

Trade and other receivables 8 2,668,903 2,297,248 1,726,416

Cash and cash equivalents 9 1,026,209 912,471 538,082

TOTAL CURRENT ASSETS 4,527,712 3,960,901 2,708,459

TOTAL ASSETS 8,484,732 7,884,748 6,584,214

EQUITY

Share capital 10 993,454 993,454 993,454

Reserves 11 3,801,494 3,565,093 3,169,802

Total equity attributable to

shareholders of the Company 4,794,948 4,558,547 4,163,256

Minority shareholders’ interests 12 35,646 35,511 49,033

TOTAL EQUITY 4,830,594 4,594,058 4,212,289

Note 31.3.2011 31.3.2010 1.4.2009

RM’000 RM’000 RM’000


LIABILITIES

Borrowing 13 16,232 – –

Deferred tax liabilities 14 162,833 126,510 107,032

Provisions 15 19,564 20,970 26,488

Finance lease liabilities – – 497

TOTAL NON-CURRENT LIABILITIES 198,629 147,480 134,017

Trade and other payables 16 3,351,073 3,000,404 2,152,305

Taxation 104,436 142,806 85,159

Finance lease liabilities – – 444

TOTAL CURRENT LIABILITIES 3,455,509 3,143,210 2,237,908

TOTAL LIABILITIES 3,654,138 3,290,690 2,371,925

TOTAL EQUITY AND LIABILITIES 8,484,732 7,884,748 6,584,214

The notes on pages 131 to 170 are an integral part of these fi nancial statements.


Note 2011 2010

RM’000 RM’000

Revenue

– sales of petroleum products 23,251,778 20,671,181

– rendering of services 15,870 15,861

23,267,648 20,687,042

Cost of revenue

– cost of petroleum products (21,154,085) (18,694,059)

– cost of services (12,859) (13,583)

(21,166,944) (18,707,642)

Gross profi t 2,100,704 1,979,400

Selling and distribution expenses (240,458) (240,764)

Administration expenses (798,146) (816,575)

Other income 147,073 126,906

Operating profi t 17 1,209,173 1,048,967

Financing costs 18 (1,015) (3,409)

Share of profi t after tax of equity accounted

associates 753 444

Profi t before taxation 1,208,911 1,046,002

Tax expense 19 (332,984) (288,478)

PROFIT/TOTAL COMPREHENSIVE

INCOME FOR THE YEAR 875,927 757,524

Consolidated Statement of Comprehensive Income FOR THE YEAR ENDED 31 MARCH 2011

Note 2011 2010

RM’000 RM’000

Attributable to:


Minority interests 6,199 4,590

PROFIT/TOTAL COMPREHENSIVE

INCOME FOR THE YEAR 875,927 757,524

Earnings per ordinary share – basic 22 87.5 sen 75.8 sen



Consolidated Statement of Changes in Equity FOR THE YEAR ENDED 31 MARCH 2011

Note 2011 2010

RM’000 RM’000

Non-distributable:

Share capital

Balance at 1 April/31 March 10 993,454 993,454

Distributable:

Unappropriated profi ts

Balance at 1 April 3,565,093 3,169,802

Total comprehensive income for the year 869,728 752,934

Dividends paid 20 (633,327) (357,643)

Balance at 31 March 3,801,494 3,565,093

Minority interests

Balance at 1 April 35,511 49,033


Dividends paid (6,064) (787)

Redemption of preference shares by minority

shareholders of a subsidiary – (17,325)

Balance at 31 March 12 35,646 35,511

TOTAL EQUITY 4,830,594 4,594,058



Consolidated Statement of Cash FlowsFOR THE YEAR ENDED 31 MARCH 2011

2011 2010

RM’000 RM’000

(restated)

CASH FLOWS FROM OPERATING ACTIVITIES

Receipt from customers 26,911,324 20,620,553

Payment to suppliers and employees (25,532,354) (19,302,756)

1,378,970 1,317,797

Payment of taxes (335,032) (211,544)

Net cash generated from operating activities 1,043,938 1,106,253

CASH FLOWS FROM INVESTING ACTIVITIES

Investment in an associate (4,400) (1,200)

Interest income from deposits with licensed banks 24,101 14,546

Purchase of property, plant and equipment (289,167) (341,746)

Prepayment of leases (47,700) (29,320)

Proceeds from disposal of property, plant and equipment 10,125 1,328

Proceeds from disposal of prepaid leases – 453

Receipt of dividends – 800

Net cash used in investing activities (307,041) (355,139)

CASH FLOWS FROM FINANCING ACTIVITIES

Drawdown of Islamic fi nancing facility 16,232 –

Repayment of fi nance lease liabilities – (941)

Payment of interest for fi nance lease liabilities – (29)

Redemption of preference shares by minority

shareholders of a subsidiary – (17,325)

Payment of dividends to shareholders (633,327) (357,643)

Payment of dividends to minority shareholders

of a subsidiary (6,064) (787)

Net cash used in fi nancing activities (623,159) (376,725)

2011 2010

RM’000 RM’000

(restated)

NET INCREASE IN CASH AND CASH EQUIVALENTS 113,738 374,389

CASH AND CASH EQUIVALENTS AT

BEGINNING OF THE YEAR 912,471 538,082

CASH AND CASH EQUIVALENTS AT

END OF THE YEAR (Note 9) 1,026,209 912,471



Statement of Financial Position AT 31 MARCH 2011

Note 31.3.2011 31.3.2010 1.4.2009

RM’000 RM’000 RM’000


ASSETS

Property, plant and equipment 3 3,456,347 3,483,882 3,412,625

Investment in subsidiaries 4 19,590 19,590 51,765

Investment in associates 5 5,825 1,425 225

Prepaid lease payments 6 364,886 351,397 341,563

Goodwill – – 21,926

TOTAL NON-CURRENT ASSETS 3,846,648 3,856,294 3,828,104

Inventories 7 824,362 743,754 433,473

Trade and other receivables 8 2,672,543 2,291,479 1,716,098

Cash and cash equivalents 9 992,863 855,068 469,109

TOTAL CURRENT ASSETS 4,489,768 3,890,301 2,618,680

TOTAL ASSETS 8,336,416 7,746,595 6,446,784

EQUITY

Share capital 10 993,454 993,454 993,454

Reserves 11 3,733,069 3,487,337 3,106,380

TOTAL EQUITY 4,726,523 4,480,791 4,099,834

Note 31.3.2011 31.3.2010 1.4.2009

RM’000 RM’000 RM’000


LIABILITIES

Deferred tax liabilities 14 147,459 109,871 88,925

Provisions 15 19,564 20,970 26,488

TOTAL NON-CURRENT LIABILITIES 167,023 130,841 115,413

Trade and other payables 16 3,341,538 2,995,206 2,145,086

Taxation 101,332 139,757 86,451

TOTAL CURRENT LIABILITIES 3,442,870 3,134,963 2,231,537

TOTAL LIABILITIES 3,609,893 3,265,804 2,346,950

TOTAL EQUITY AND LIABILITIES 8,336,416 7,746,595 6,446,784



Statement of Comprehensive Income FOR THE YEAR ENDED 31 MARCH 2011

Note 2011 2010

RM’000 RM’000

Revenue 23,227,285 20,642,586

Cost of revenue (21,183,913) (18,717,121)

Gross profi t 2,043,372 1,925,465

Selling and distribution expenses (239,091) (234,861)

Administration expenses (781,844) (796,860)

Other income 179,652 127,990

Operating profi t 17 1,202,089 1,021,734

Financing costs 18 (1,015) (3,380)


Tax expense 19 (322,015) (279,754)

PROFIT/TOTAL COMPREHENSIVE INCOME FOR THE YEAR 879,059 738,600

Attributable to:


PROFIT/TOTAL COMPREHENSIVE INCOME FOR THE YEAR 879,059 738,600



Statement of Changes in Equity FOR THE YEAR ENDED 31 MARCH 2011

Note 2011 2010

RM’000 RM’000

Non-distributable:

Share capital

Balance at 1 April/31 March 10 993,454 993,454

Distributable:

Unappropriated profi ts

Balance at 1 April 3,487,337 3,106,380


Dividends paid 20 (633,327) (357,643)

Balance at 31 March 11 3,733,069 3,487,337

TOTAL EQUITY 4,726,523 4,480,791



2011 2010

RM’000 RM’000

(restated)

CASH FLOWS FROM OPERATING ACTIVITIES

Receipt from customers 26,860,643 20,571,307

Payment to suppliers and employees (25,547,885) (19,309,964)

1,312,758 1,261,343

Payment of taxes (322,853) (205,504)

Net cash generated from operating activities 989,905 1,055,839

CASH FLOWS FROM INVESTING ACTIVITIES

Investment in an associate (4,400) (1,200)

Interest income from deposits with licensed banks 22,959 13,869

Purchase of property, plant and equipment (235,889) (331,459)

Prepayment of leases (46,203) (29,308)

Proceeds from disposal of property, plant and equipment 10,125 970

Proceeds from disposal of prepaid leases – 453

Proceeds from redemption of preference shares in a subsidiary – 32,175

Receipt of dividends 34,625 2,263

Net cash used in investing activities (218,783) (312,237)

CASH FLOWS FROM FINANCING ACTIVITY

Payment of dividends (633,327) (357,643)

Net cash used in fi nancing activity (633,327) (357,643)

NET INCREASE IN CASH AND CASH EQUIVALENTS 137,795 385,959

CASH AND CASH EQUIVALENTS AT BEGINNING OF THE YEAR 855,068 469,109

CASH AND CASH EQUIVALENTS AT END OF THE YEAR (Note 9) 992,863 855,068


Statement of Cash FlowsFOR THE YEAR ENDED 31 MARCH 2011


Notes to the Financial Statements 31 MARCH 2011

1. Basis of Preparation

1.1 Statement of Compliance

The fi nancial statements of the Group and of the Company have been prepared

in accordance with Financial Reporting Standards (FRSs), generally accepted

accounting principles and the Companies Act, 1965 in Malaysia.

As of 1 April 2010, the Group and the Company have adopted the following

FRSs, amendments to FRSs and Statement of Interpretation which are

effective for annual periods beginning on or after 1 January 2010 (unless

otherwise stated):

(i) FRS 8, Operating Segments (effective for annual periods beginning on or

after 1 July 2009);

(ii) FRS 101, Presentation of Financial Statements (Revised);

(iii) FRS 123, Borrowing Costs (Revised);

(iv) Amendments to FRS 1, First-time Adoption of Financial Reporting Standards

and FRS 127, Consolidated and Separate Financial Statement: Cost of an

Investment in a Subsidiary, Jointly Controlled Entity or Associate;

(v) Amendments to FRS 8, Operating Segments;

(vi) Amendments to FRS 107, Statement of Cash Flows;

(vii) Amendments to FRS 108, Accounting Policies, Changes in Accounting

Estimates and Errors;

(viii) Amendments to FRS 110, Events After the Reporting Period;

(ix) Amendments to FRS 116, Property, Plant and Equipment;

(x) Amendments to FRS 117, Leases;

(xi) Amendment to FRS 118, Revenue;

(xii) Amendments to FRS 123, Borrowing Costs;

(xiii) Amendments to FRS 127, Consolidated and Separate Financial Statements;

1. Basis of Preparation (Continued)

1.1 Statement of Compliance (continued)

(xiv) Amendments to FRS 128, Investment in Associates;

(xv) Amendments to FRS 132, Financial Instruments: Presentation (Puttable

Financial Instruments and Obligations Arising on Liquidation/Separation

of Compound Instruments);

(xvi) Amendments to FRS 134, Interim Financial Reporting;

(xvii) Amendments to FRS 139, FRS 7 and IC Interpretation 9, Financial

Instruments: Recognition and Measurement; Financial Instruments:

Disclosures; and Reassessment of Embedded Derivatives;

(xviii) Amendments to FRS 136, Impairment of Assets; and

(xix) Amendments to FRS 138, Intangible Assets.

The adoption of the above FRSs and Amendments to FRSs other than FRS

117 did not have material impact on these fi nancial statements. The principal

changes in accounting policies and its effects resulting from the adoption of

FRS 101, FRS 8 and FRS 117 are set out in Note 23 (changes in accounting

policies) and Note 32 (comparative fi gures), respectively.

The Malaysian Accounting Standards Board (“MASB”) has also issued new

pronouncement comprising FRSs, Amendments to FRSs and Statement of

Interpretations, which are not yet effective for the Group and the Company.

These pronouncements including their impact on the fi nancial statements in

the period of initial application are set out in Note 34. New pronouncements

that are not relevant to the operations of the Group and the Company are set

out in Note 35.

The fi nancial statements were approved and authorised for issue by the Board

of Directors on 24 May 2011.


1. Basis of Preparation (Continued)

1.2 Basis of Measurement

The fi nancial statements of the Group and the Company have been prepared on

the historical cost basis, unless otherwise stated.

The methods used to measure fair value are stated in Note 2.7.

1.3 Functional and Presentation Currency

The individual fi nancial statements of each entity in the Group are measured

using the currency of the primary economic environment in which the entity

operates (“the functional currency”). The Group’s and the Company’s fi nancial

statements are presented in Ringgit Malaysia (RM), which is also the Company’s

functional currency.

1.4 Use of Estimates and Judgements

The preparation of fi nancial statements in conformity with FRSs requires

management to make judgements, estimates and assumptions that affect the

application of accounting policies and the reported amounts of assets, liabilities,

income and expenses. Actual results may differ from these estimates.

Estimates and underlying assumptions are reviewed on an ongoing basis.

Revisions to accounting estimates are recognised in the period in which the

estimate is revised and in any future periods affected.

There are no signifi cant areas of estimation, uncertainty and critical

judgements in applying accounting policies that have signifi cant effect on the

amount recognised in the fi nancial statements other than as disclosed in the

following notes:

(i) Note 2.3 and Note 3 – Property, Plant and Equipment

(ii) Note 2.4 – Leased Assets

(iii) Note 2.6 – Intangible Assets

(iv) Note 2.11 and Note 15 – Provisions

(v) Note 2.13 (ii) and Note 14 – Deferred Tax

(vi) Note 2.18 – PETRONAS Mesra Loyalty Programme

2. Significant Accounting Policies

The accounting policies set out below have been applied consistently to all periods

presented in these fi nancial statements, and have been applied consistently by

Group entities, unless otherwise stated.

2.1 Basis of Consolidation

Subsidiaries are entities controlled by the Group. Control exists when the Group

has the power, directly or indirectly, to govern the fi nancial and operating

policies of an entity so as to obtain benefi ts from its activities. Subsidiaries are

consolidated using the purchase method of accounting.

The fi nancial statements of subsidiaries are included in the consolidated

fi nancial statements from the date that control commences until the date that

control ceases.

All inter-company transactions are eliminated on consolidation and revenue

and profi ts relate to external transactions only. Unrealised losses resulting

from inter-company transactions are also eliminated unless cost cannot

be recovered.

Minority interests at the reporting date, being the portion of the net assets of

subsidiaries attributable to equity interests that are not owned by the Company,

whether directly or indirectly through subsidiaries, are presented in the

consolidated statement of fi nancial position and statement of changes in equity

within equity, separately from equity attributable to the equity shareholders of

the Company. Minority interests in the results of the Group are presented on

the face of the consolidated profi t or loss as an allocation of the total profi t

or loss for the year between minority interests and the equity shareholders

of the Company.


31 MARCH 2011


2. Significant Accounting Policies (Continued)

2.1 Basis of Consolidation (Continued)

Where losses applicable to the minority exceed the minority’s interest in

the equity of a subsidiary, the excess, and any further losses applicable to

the minority, are charged against the Group’s interest except to the extent

that the minority has a binding obligation to, and is able to, make additional

investment to cover the losses. If the subsidiary subsequently reports profi ts,

the Group’s interest is allocated all such profi ts until the minority’s share of

losses previously absorbed by the Group has been recovered.

2.2 Associates

Associates are entities in which the Group has signifi cant infl uence including

representation on the Board of Directors, but not control or joint control, over

the fi nancial and operating policies of the investee company.

Associates are accounted for in the consolidated fi nancial statements using

the equity method less any impairment losses. The consolidated fi nancial

statements include the Group’s share of post-acquisition profi ts or losses of the

equity accounted associates, after adjustments to align the accounting policies

with those of the Group, from the date that signifi cant infl uence commences

until the date that signifi cant infl uence ceases.

The Group’s share of post-acquisition reserves and retained profi ts less losses

is added to the carrying value of the investment in the consolidated statement

of fi nancial position. These amounts are taken from the latest audited fi nancial

statements or management fi nancial statements of the associates.

When the Group’s share of post-acquisition losses exceeds its interest in an

equity accounted associate, the carrying amount of that interest (including any

long-term investments) is reduced to nil and the recognition of further losses

is discontinued except to the extent that the Group has an obligation or has

made payments on behalf of the investee.


2.2 Associates (Continued)

Unrealised profi ts arising from transactions between the Group and its

associates are eliminated to the extent of the Group’s interests in the associates.

Unrealised losses on such transaction are also eliminated partially, unless cost

cannot be recovered.

2.3 Property, Plant and Equipment

Freehold land and projects-in-progress are stated at cost less accumulated

impairment losses but are not depreciated. Other property, plant and

equipment are stated at cost or valuation less accumulated depreciation and

accumulated impairment losses.

Cost includes expenditures that are directly attributable to the acquisition of

the asset. The cost of self-constructed assets includes the costs of materials

and direct labour, any other costs directly attributable to bringing the assets

to working condition for their intended use, and the costs of dismantling and

removing the items and restoring the site on which they are located. Purchased

software that is integral to the functionality of the related equipment is

capitalised as part of that equipment.

When signifi cant parts of an item of property, plant and equipment have different

useful lives, they are accounted for as separate items (major components) of

property, plant and equipment.

The cost of replacing part of an item of property, plant and equipment is

recognised in the carrying amount of the item if it is probable that the future

economic benefi ts embodied within the part will fl ow to the Group and its

cost can be measured reliably. The net book value of the replaced item of

property, plant and equipment is derecognised with any corresponding gain

or loss recognised in the profi t or loss accordingly. The costs of the day-

to-day servicing of property, plant and equipment are recognised in the

profi t or loss as incurred.


31 MARCH 2011



2.3 Property, Plant and Equipment (Continued)

Depreciation for property, plant and equipment other than freehold land and

projects-in-progress, is recognised in the profi t or loss on a straight-line basis

over the estimated useful lives of each part of an item of property, plant and

equipment. Properties under construction are depreciated when the assets

are ready for their intended use.

Buildings are depreciated over 20 years or over the remaining land lease

period, whichever is shorter.

Leases of leasehold land under fi nance lease shall be depreciated over the

shorter of the lease term and its useful life.

The estimated useful lives of the other property, plant and equipment are

as follows:

• Plant, machinery, tankage and pipeline 5 – 20 years

• Offi ce equipment, furniture and fi ttings 3 – 6.7 years

• Motor vehicles 4 years

• Computer hardware and software 5 years

Property, plant and equipment individually costing less than RM5,000 are

expensed off in the year of purchase.

The depreciable amount is determined after deducting residual value.

The residual values, useful life and depreciation method are reviewed at

each fi nancial year end to ensure that the amount, method and period of

depreciation are consistent with previous estimates and the expected pattern of

consumption of the future economic benefi ts embodied in the items of property,

plant and equipment.

An item of property, plant and equipment is derecognised upon disposal or

when no future economic benefi ts are expected from its use or disposal. The

difference between the net disposal proceeds, if any, and the net carrying

amount is recognised in the profi t or loss.


2.4 Leased Assets

(i) Finance Lease

A lease is recognised as a fi nance lease if it transfers substantially to the

Group and the Company all the risks and rewards incidental to ownership.

Upon initial recognition the leased asset is measured at an amount equal

to the lower of its fair value and the present value of the minimum lease

payments at the inception of the lease. Subsequent to initial recognition,

the asset is accounted for in accordance with the accounting policy

applicable to that asset. The corresponding liability is included in the

fi nancial position as fi nance lease liabilities.

Minimum lease payments made under fi nance leases are apportioned

between the fi nance costs and the reduction of the outstanding liability.

Finance costs, which represent the difference between the total leasing

commitments and the fair value of the assets acquired, are recognised

in the profi t or loss over the lease term so as to produce a constant

periodic rate of interest on the remaining balance of the liability for each

accounting period.

(ii) Prepaid Lease Payments

On adoption of Amendments to FRS 117, leases of a leasehold land which

in substance is a fi nance lease has been reclassifi ed to property, plant

and equipment and measured as such retrospectively.

The remaining leases of leasehold land which is not in substance a fi nance

lease, together with prepaid rental for service station sites and depots are

recognised as prepaid lease payments.

The payment made on entering into or acquiring such leasehold land

and prepaid rental arrangement is amortised over the lease term in

accordance with the pattern of benefi ts provided.


31 MARCH 2011



2.4 Leased Assets (continued)

(ii) Prepaid Lease Payments (continued)

The prepaid lease payments is categorised into long lease, short lease and

prepaid rental. Long lease is defi ned as a lease with an unexpired lease

period of fi fty years or more. Short lease and prepaid rental is defi ned as

a lease with an unexpired lease period of less than fi fty years.

Prepaid lease payments are recognised as an expense in the profi t or

loss on a straight-line basis over the term of the lease or the period

of the agreements.

2.5 Investments

Long-term investments in subsidiaries and associates are stated at cost less

impairment loss, if any, in the Company’s fi nancial statements.

2.6 Intangible Assets

(i) Goodwill on Consolidation

Goodwill arises on the acquisition of subsidiaries and associates.

Goodwill represents the excess of the cost of the acquisition over the

Group’s interest in the fair values of the net identifi able assets and

liabilities and contingent liabilities of the acquiree.

When the excess is negative (negative goodwill), it is recognised

immediately in the profi t or loss.

Goodwill is initially measured at cost. Following the initial recognition,

goodwill is measured at cost less any accumulated impairment losses.

Goodwill is not amortised but instead, it is reviewed for impairment,

annually or more frequently if events or changes in circumstances

indicate that the carrying value may be impaired.


2.6 Intangible Assets (continued)

(ii) Purchased Goodwill

Purchased goodwill represents the excess of the cost of acquisition over

the fair value of the identifi able assets acquired.

Purchased goodwill is initially measured at cost. Following the initial

recognition, purchased goodwill is measured at cost less any accumulated

impairment losses. Purchased goodwill is not amortised but instead, it is

reviewed for impairment, annually or more frequently if events or changes

in circumstances indicate that the carrying value may be impaired.

2.7 Financial Instruments

(i) Financial Assets

Initial Recognition

Financial assets within the scope of FRS 139 Financial Instruments:

Recognition and Measurement are classifi ed as loans and receivables,

available-for-sale fi nancial assets, fi nancial assets at fair value through

profi t or loss, held-to-maturity investments or as derivatives designated

as hedging instruments in an effective hedge, as appropriate. The Group

and the Company determine the classifi cation of its fi nancial assets at

initial recognition.

Financial assets are recognised initially at fair value, normally being

the transaction price plus, in the case of fi nancial asset not at fair value

through profi t or loss, any directly attributable transaction costs.

Financial assets at fair value through profi t or loss includes fi nancial

assets held for trading and fi nancial assets designated upon initial

recognition as at fair value through profi t or loss. Financial assets are

classifi ed as held for trading if they are acquired for the purpose of selling

in the near term. This category includes derivative fi nancial instruments

entered into by the Group and Company, including separated embedded

derivatives, unless they are designated as effective hedging instruments.


31 MARCH 2011



2.7 Financial Instruments (Continued)

(i) Financial Assets (Continued)

The Group’s and the Company’s fi nancial assets are categorised as fair

value through profi t or loss and loans and receivables which includes

cash and cash equivalents and trade and other receivables.

Subsequent Measurement

Loans and Receivables

Loans and receivables are non-derivative fi nancial assets with fi xed or

determinable receipts that are not quoted in an active market. Subsequent

to initial recognition, such fi nancial assets are carried at amortised cost,

using the effective interest rate method less impairment losses.

Gains and losses are recognised in the profi t or loss when the loans

and receivables are derecognised or impaired, as well as through the

amortisation process.

Financial assets at fair value through profi t or loss

Financial assets at fair value through profi t or loss includes fi nancial

assets held for trading and fi nancial assets designated upon initial

recognition as at fair value through profi t or loss. Financial assets are

classifi ed as held for trading if they are acquired for the purpose of selling

in the near term. This category includes derivative fi nancial instruments

entered into by the Group and Company, including separated embedded

derivatives, unless they are designated as effective hedging instruments.

All fi nancial assets, except for those measured at fair value through profi t

or loss, are subject to review for impairment.



(ii) Financial Liabilities

Initial Recognition

Financial liabilities within the scope of FRS 139 Financial Instruments:

Recognition and Measurement are classifi ed as loans and payables,

fi nancial liabilities at fair value through profi t or loss or as derivatives

designated as hedging instruments in an effective hedge, as appropriate.

The Group and the Company determine the classifi cation of its fi nancial

liabilities at initial recognition.

Financial liabilities are recognised initially at fair value less, in the case of

loans and payables, any directly attributable transaction cost.

The Group’s and the Company’s fi nancial liabilities include loans and

borrowing and trade and other payables.

Subsequent Measurement

Loans and Payables

Subsequent to initial recognition, loans and payables are measured at

amortised cost using the effective interest rate method.

Gains and losses are recognised in the profi t or loss when the liabilities

are derecognised as well as through the amortisation process.

Financial liabilities at fair value through profi t or loss

Financial liabilities at fair value through profi t or loss includes fi nancial

liabilities held for trading and fi nancial liabilities designated upon initial

recognition as at fair value through profi t or loss.


31 MARCH 2011




(ii) Financial Liabilities (Continued)

Financial liabilities at fair value through profi t or loss (Continued)

Financial liabilities are classifi ed as held for trading if they are acquired for

the purpose of selling in the near term. This category includes derivative

fi nancial instruments entered into by the Group and Company that do not

meet the hedge accounting criteria as defi ned by FRS 139.

Financial liabilities at fair value through profi t or loss are carried on the

statement of fi nancial position at fair value with gains or losses recognised

in the profi t or loss.

(iii) Offsetting of Financial Instruments

Financial assets and fi nancial liabilities are offset and the net amount

is reported in the statement of fi nancial position if, and only if, there is

a currently enforceable legal right to offset the recognised amounts and

there is an intention to settle on a net basis, or to realise the assets and

settle the liabilities simultaneously.

(iv) Fair value of fi nancial instruments

The fair value of fi nancial instruments that are actively traded in

organised fi nancial markets is determined by reference to quoted market

bid prices at the close of business on the statement of fi nancial position

date. For fi nancial instruments where there is no active market, fair value

is determined using valuation techniques. Such techniques may include

using recent arm’s length market transactions; reference to the current

fair value of another instrument that is substantially the same; discounted

cash fl ow analysis or other valuation models. Where fair value cannot be

reliably estimated, assets are carried at cost less impairment.



(v) Amortised Cost of Financial Instruments

Amortised cost is computed using the effective interest rate method.

This method uses effective interest rate that exactly discounts estimated

future cash receipts or payments through the expected life of the fi nancial

instrument to the net carrying amount of the fi nancial instrument.

Amortised cost takes into account any transaction costs and any discount

or premium on settlement.

(vi) Derecognition of Financial Instruments

Financial Assets

A fi nancial asset is derecognised when the rights to receive cash fl ows from

the asset have expired or, the Group and the Company have transferred

their rights to receive cash fl ows from the asset. On derecognition of a

fi nancial asset, the difference between the carrying amount and the sum

of the consideration received (including any new asset obtained less any

new liability assumed) and any cumulative gain or loss that had been

recognised in equity is recognised in the profi t or loss.

Financial Liabilities

A fi nancial liability is derecognised when the obligation under the liability is

discharged or cancelled or expires. On derecognition of a fi nancial liability,

the difference between the carrying amount of the fi nancial liabilities

extinguished or transferred to another party and the consideration paid,

including any non-cash assets transferred or liabilities assumed, is

recognised in the profi t or loss.


31 MARCH 2011



2.8 Impairment

(i) Financial Assets

A fi nancial asset is considered to be impaired if objective evidence indicates

that one or more events have had a negative effect on the estimated

future cash fl ows of that asset. For an equity instrument, a signifi cant or

prolonged declined in fair value below its cost is also considered objective

evidence of impairment.

Loans and Receivables

For loans and receivables carried at amortised cost, individually signifi cant

fi nancial assets are tested for impairment on an individual basis. The

remaining fi nancial assets are assessed collectively in groups that share

similar credit risk characteristics.

An impairment loss is measured as the difference between an asset’s

carrying amount and the present value of estimated future cash fl ows

discounted at the asset’s original effective interest rate. The carrying

amount of the asset is reduced through the use of an allowance account

and the amount of the loss is recognised in the profi t or loss.

If, in a subsequent year, the amount of the estimated impairment

loss increases or decreases because of an event occurring after the

impairment was recognised, the previously recognised impairment loss

is increased or reduced by adjusting the allowance account.

(ii) Non-fi nancial Assets

The carrying amounts of assets, other than inventories and fi nancial

assets (fi nancial assets in this context exclude investments in subsidiaries

and associates), are reviewed at each reporting date to determine

whether there is any indication of impairment. The carrying amounts

of certain classes of assets are reviewed whenever events or changes

in circumstances indicate that the carrying value may be impaired, as

described in the respective assets’ accounting policies.


2.8 Impairment (Continued)

(ii) Non-fi nancial Assets (Continued)

If any such indication exists, the asset’s recoverable amount is estimated.

For goodwill and intangible assets that have indefi nite useful lives or that

are not yet available for use, recoverable amount is estimated at each

reporting date.

An impairment loss is recognised if the carrying amount of an asset or

the cash-generating unit to which it belongs exceeds its recoverable

amount. Impairment losses are recognised in the profi t or loss, unless

the asset is carried at a revalued amount, in which case the impairment

loss is recognised directly against any revaluation surplus for the asset

to the extent that the impairment loss does not exceed the amount in the

revaluation surplus for that same asset.

A cash-generating unit is the smallest identifi able asset group that

generates cash fl ows that are largely independent from other assets

and groups. Impairment losses recognised in respect of cash-generating

units are allocated fi rst to reduce the carrying amount of any goodwill

allocated to the units and then to reduce the carrying amount of the other

assets in the unit on a pro-rata basis.

The recoverable amount is the greater of the asset’s fair value less cost

to sell and its value in use. In assessing the value in use, estimated future

cash fl ows are discounted to their present value using a pre-tax discount

rate that refl ects current market assessments of the time value of money

and the risks specifi c to the asset. For an asset that does not generate

largely independent cash infl ows, the recoverable amount is determined

for the cash-generating unit to which the asset belongs.


31 MARCH 2011



2.8 Impairment (Continued)

(ii) Non-fi nancial Assets (Continued)

An impairment loss in respect of goodwill is not reversed in a subsequent

period. In respect of other assets, impairment losses are reversed if there

has been a change in the estimates used to determine the recoverable

amount. An impairment loss is reversed only to the extent that the asset’s

carrying amount does not exceed the carrying amount that would have

been determined, net of depreciation or amortisation, if no impairment

loss had been recognised.

Reversals of impairment losses are credited to the profi t or loss in the year

in which the reversals are recognised, unless it reverses an impairment

loss on a revalued asset, in which case it is credited directly to revaluation

surplus. Where an impairment loss on the same revalued asset was

previously recognised in the profi t or loss, a reversal of that impairment

loss is also recognised in the profi t or loss.

2.9 Cash and Cash Equivalents

Cash and cash equivalents consist of cash in hand, bank balances and deposits

with licensed banks.

2.10 Inventories

Inventories of petroleum products and non-tradeable spare parts are stated at

the lower of cost and net realisable value. Net realisable value is the estimated

selling price in the ordinary course of business, less the estimated costs of

completion and selling expenses.

Cost of petroleum products includes direct costs and transportation charges

necessary to bring the inventories to their present locations and condition and

is determined on the weighted average basis.

The cost of spare parts is the invoiced value from suppliers.


2.11 Provisions

A provision is recognised if, as a result of a past event, the Group or the Company

has a present legal or constructive obligation that can be estimated reliably,

and it is probable that an outfl ow of economic benefi ts will be required to settle

the obligation. Provisions are determined by discounting the expected future

cash fl ows at a pre-tax rate that refl ects current market assessments of the

time value of money and the risks specifi c to the liability. Where discounting is

used, the increase in the provision due to the passage of time is recognised as

fi nance cost.

The amount recognised as a provision is the best estimate of the expenditure

required to settle the present obligation at the reporting date. Provisions

are reviewed at each reporting date and adjusted to refl ect the current

best estimate.

In particular, information about provisions that have the most signifi cant effect

on the amount recognised in the fi nancial statements is described in Note 15.

2.12 Employee Benefi ts

(i) Short Term Benefi ts

Wages and salaries, bonuses and social security contributions are

recognised as an expense in the year in which the associated services are

rendered by employees of the Group and the Company.

(ii) Defi ned Contribution Plan

As required by law, companies in Malaysia make contributions to the

state pension scheme, the Employees Provident Fund (“EPF”).

Such contributions are recognised as an expense in the profi t or loss

as incurred.


31 MARCH 2011



2.13 Taxation

Tax on the profi t and loss for the year comprises current and deferred tax.

Income tax is recognised in the profi t or loss except to the extent it relates to

items recognised directly in equity, in which case it is recognised in equity.

(i) Current Tax

Current tax expense is the expected tax payable on the taxable income

for the year, using the statutory tax rates at the reporting date, and any

adjustment to tax payable in respect of previous years.

(ii) Deferred Tax

Deferred tax is provided for, using the liability method, on temporary

differences at the reporting date between the tax bases of assets and

liabilities and their carrying amounts in the fi nancial statements. In

principle, deferred tax liabilities are recognised for all taxable temporary

differences and deferred tax assets are recognised for all deductible

temporary differences, unabsorbed capital allowances, unused tax

losses and unused tax credits to the extent that it is probable that future

taxable profi t will be available against which the deductible temporary

differences, unabsorbed capital allowances, unused tax losses and unused

tax credits can be utilised.

Deferred tax is not recognised if the temporary difference arises from

initial recognition of goodwill or negative goodwill or from the initial

recognition of an asset or liability in a transaction which is not a business

combination and at the time of the transaction, affects neither accounting

profi t nor taxable profi t.

Deferred tax is measured at the tax rates that are expected to apply in

the period when the asset is realised or the liability is settled, based on

statutory tax rates at the reporting date.


2.13 Taxation (Continued)

(ii) Deferred Tax (Continued)

Deferred tax assets are reviewed at each reporting date and are reduced

to the extent that it is no longer probable that the related tax benefi t will

be realised.

2.14 Foreign Currency Transactions

In preparing fi nancial statements of individual entities in the Group, transactions

in currencies other than the entity’s functional currency (foreign currencies)

are translated to the functional currencies at rates of exchange ruling on the

transaction dates.

Monetary assets and liabilities denominated in foreign currencies at the

reporting date have been retranslated to the functional currency at rates ruling

on the reporting date.

Non-monetary items that are measured in terms of historical cost in foreign

currency are not retranslated.

Exchange differences arising on the settlement of monetary items or on

translation of monetary items at the reporting date are recognised in the profi t

or loss in the period in which they arise.

2.15 Financing Costs

Financing costs comprise interest on fi nance lease liabilities and unwinding of

discount for provision of dismantling, removal and restoration costs.

The interest on fi nance lease liabilities is accounted for in accordance with the

policy set out in Note 2.4 (i).


31 MARCH 2011



2.16 Borrowing Costs Relating to Projects-in-Progress

During the fi nancial year, the Group has obtained Islamic fi nancing facility

under the Musharakah Mutanaqisah principle from a local fi nancial institution,

specifi cally for the construction of the Group’s assets.

Borrowing costs incurred on projects-in-progress which are directly attributable

to the acquisition, construction or production of the assets which necessarily

takes a substantial period of time to be prepared for its intended use, are

capitalised. Capitalisation of borrowing costs will cease when the assets are

ready for their intended use.

As the borrowings are made specifi cally for the purpose of fi nancing a

specifi c asset, the actual borrowing cost incurred on that borrowing will

be capitalised.

2.17 Revenue

Revenue from sale of petroleum products is recognised in the profi t or loss

when the signifi cant risks and rewards of ownership have been transferred

to the buyer.

Revenue from services rendered is recognised in the profi t or loss based on the

value of services performed and invoiced to customers during the period.

2.18 PETRONAS Mesra Loyalty Programme

PETRONAS Mesra Loyalty Programme is an in-house loyalty programme

where members are awarded with PETRONAS Mesra points at the point of sale

made at PETRONAS Stations and Kedai Mesra. The monetary value attributed

to the awarded points is treated as deferred revenue and only recognised as

revenue in the profi t or loss on redemption of the points. Currently, members

can redeem the awarded points for purchase of fuel at PETRONAS Stations or

items at Kedai Mesra and PETRONAS Card Centre.


2.18 PETRONAS Mesra Loyalty Programme (Continued)

On an annual basis, fair value of the deferred revenue will be estimated by

reference to the monetary value attributable to the awarded points and

the points redemption profi le. This accounting treatment is in line with IC

Interpretation 13, Customer Loyalty Programmes.

2.19 Earnings Per Share

The Group presents basic earnings per share (“EPS”) data for its ordinary

shares.

Basic EPS is calculated by dividing the profi t and loss attributable to ordinary

shareholders of the Company by the weighted average number of ordinary

shares outstanding during the period.

2.20 Operating Segments

An operating segment is a component of an entity that engages in business

activities from which it may earn revenues and incur expenses (including

revenues and expenses relating to transactions with other components of the

same entity), whose operating results are regularly reviewed by the entity’s

chief operating decision maker to make decisions about resources to be

allocated to the segment and assess its performance, and for which discrete

fi nancial information is available.


31 MARCH 2011


3. Property, Plant and Equipment At 1.4.2010

Effect of

Opening adopting Disposals/ At

Group balance FRS 117 Restated Additions Write-offs Transfers 31.3.2011

RM’000 RM’000 RM’000 RM’000 RM’000

At cost

Freehold land 880,130 – 880,130 – (2,786) 68,088 945,432

Leasehold land – Long lease – 473,886 473,886 125 (502) 41,554 515,063

– Short lease – 7,669 7,669 – – 4,593 12,262

Buildings 1,737,421 – 1,737,421 69 (13,014) 95,008 1,819,484

Plant, machinery, tankage and pipeline 1,549,821 – 1,549,821 7,646 (17,556) 114,022 1,653,933

Offi ce equipment, furniture and fi ttings 240,853 – 240,853 1,769 (63) 34,960 277,519

Motor vehicles 56,522 – 56,522 775 (2,071) 2,316 57,542

Computer hardware and software 420,496 – 420,496 3,235 (102) 11,874 435,503

Projects-in-progress 414,553 – 414,553 284,112 – (372,415) 326,250

5,299,796 481,555 5,781,351 297,731 (36,094) – 6,042,988

At 1.4.2010

Effect of

Opening adopting Charge for Impairment Disposals/ At

Group balance FRS 117 Restated the year for the year Write-offs Transfers 31.3.2011

RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Accumulated depreciation and impairment losses

Freehold land – – – – 1,379 – – 1,379

Leasehold land – Long lease – 40,028 40,028 7,706 616 (194) (721) 47,435

– Short lease – 2,911 2,911 166 – – 721 3,798

Buildings 752,904 – 752,904 85,701 1,408 (12,164) – 827,849

Plant, machinery, tankage and pipeline 866,448 – 866,448 112,902 208 (16,361) – 963,197

Offi ce equipment, furniture and fi ttings 158,220 – 158,220 29,342 – (64) – 187,498

Motor vehicles 37,966 – 37,966 7,390 – (2,039) – 43,317

Computer hardware and software 354,041 – 354,041 31,210 – (100) – 385,151

Projects-in-progress – – – – – – – –

2,169,579 42,939 2,212,518 274,417 3,611 (30,922) – 2,459,624


31 MARCH 2011


3. Property, Plant and Equipment (Continued) At 1.4.2009

Effect of


Group balance FRS 117 Restated Additions Write-offs Transfers 31.3.2010

RM’000 RM’000 RM’000 RM’000 RM’000

At cost

Freehold land 850,395 – 850,395 – (47) 29,782 880,130

Leasehold land – Long lease – 427,391 427,391 46,586 (91) – 473,886

– Short lease – 7,669 7,669 – – – 7,669

Buildings 1,669,695 – 1,669,695 58 (6,366) 74,034 1,737,421


Offi ce equipment, furniture and fi ttings 214,259 – 214,259 2,228 (5,629) 29,995 240,853

Motor vehicles 38,825 – 38,825 6 (2,007) 19,698 56,522

Computer hardware and software 395,572 – 395,572 6,274 (10,046) 28,696 420,496

Projects-in-progress 497,428 – 497,428 276,727 (219) (359,383) 414,553

5,037,102 435,060 5,472,162 341,274 (32,085) – 5,781,351

At 1.4.2009

Effect of

Opening adopting Charge for Disposals/ At

Group balance FRS 117 Restated the year Write-offs 31.3.2010

RM’000 RM’000 RM’000 RM’000


Leasehold land – Long lease – 34,526 34,526 5,529 (27) 40,028

– Short lease – 2,744 2,744 167 – 2,911

Buildings 676,715 – 676,715 81,084 (4,895) 752,904

Plant, machinery, tankage and pipeline 768,369 – 768,369 104,589 (6,510) 866,448

Offi ce equipment, furniture and fi ttings 134,251 – 134,251 29,479 (5,510) 158,220

Motor vehicles 31,790 – 31,790 7,881 (1,705) 37,966

Computer hardware and software 317,537 – 317,537 46,393 (9,889) 354,041

Projects-in-progress – – – – – –

1,928,662 37,270 1,965,932 275,122 (28,536) 2,212,518


31 MARCH 2011


3. Property, Plant and Equipment (Continued) Carrying amount

31.3.2011 31.3.2010

Group RM’000 RM’000

(restated)

Freehold land 944,053 880,130

Leasehold land – Long lease 467,628 433,858

– Short lease 8,464 4,758

Buildings 991,635 984,517

Plant, machinery, tankage and pipeline 690,736 683,373

Offi ce equipment, furniture and fi ttings 90,021 82,633

Motor vehicles 14,225 18,556

Computer hardware and software 50,352 66,455

Projects-in-progress 326,250 414,553

3,583,364 3,568,833

At 1.4.2010

Effect of


Company balance FRS 117 Restated Additions Write-offs Transfers 31.3.2011

RM’000 RM’000 RM’000 RM’000 RM’000

At cost

Freehold land 880,130 – 880,130 – (2,786) 68,087 945,431

Leasehold land – Long lease – 472,877 472,877 125 (502) 41,553 514,053

– Short lease – 7,669 7,669 – – 4,593 12,262

Buildings 1,710,329 – 1,710,329 69 (13,014) 95,008 1,792,392


Offi ce equipment, furniture and fi ttings 236,700 – 236,700 1,767 (63) 34,960 273,364

Motor vehicles 53,926 – 53,926 774 (2,071) 2,316 54,945

Computer hardware and software 411,525 – 411,525 3,235 (102) 13,027 427,685


5,084,238 480,546 5,564,784 245,642 (36,094) – 5,774,332


31 MARCH 2011



Effect of

Opening adopting Charge for Impairment Disposals/ At

Company balance FRS 117 Restated the year for the year Write-offs Transfers 31.3.2011

RM’000 RM’000 RM’000 RM’000 RM’000 RM’000


Freehold land – – – – 1,379 – – 1,379

Leasehold land – Long lease – 39,847 39,847 7,697 616 (194) (721) 47,245

– Short lease – 2,910 2,910 166 – – 721 3,797

Buildings 737,800 – 737,800 84,318 1,408 (12,164) – 811,362

Plant, machinery, tankage and pipeline 764,109 – 764,109 104,480 208 (16,361) – 852,436

Offi ce equipment, furniture and fi ttings 154,458 – 154,458 29,211 – (64) – 183,605

Motor vehicles 35,412 – 35,412 7,340 – (2,039) – 40,713

Computer hardware and software 346,365 – 346,365 31,183 – (100) – 377,448

Projects-in-progress – – – – – – – –

2,038,144 42,757 2,080,901 264,395 3,611 (30,922) – 2,317,985

At 1.4.2009

Effect of


Company balance FRS 117 Restated Additions Write-offs Transfers 31.3.2010

RM’000 RM’000 RM’000 RM’000 RM’000

At cost

Freehold land 850,395 – 850,395 – (47) 29,782 880,130

Leasehold land – Long lease – 426,278 426,278 46,690 (91) – 472,877

– Short lease – 7,669 7,669 – – – 7,669

Buildings 1,642,607 – 1,642,607 4 (6,316) 74,034 1,710,329


Offi ce equipment, furniture and fi ttings 209,811 – 209,811 2,231 (5,337) 29,995 236,700

Motor vehicles 35,398 – 35,398 6 (1,176) 19,698 53,926

Computer hardware and software 387,512 – 387,512 5,121 (9,804) 28,696 411,525


4,819,168 433,947 5,253,115 338,968 (27,299) – 5,564,784


31 MARCH 2011



Effect of

Opening adopting Charge for Disposals/ At

Company balance FRS 117 Restated the year Write-offs 31.3.2010

RM’000 RM’000 RM’000 RM’000


Freehold land – – – – – –

Leasehold land – Long lease – 34,229 34,229 5,646 (27) 39,848

– Short lease – 2,744 2,744 166 – 2,910

Buildings 663,018 – 663,018 79,744 (4,962) 737,800

Plant, machinery, tankage and pipeline 671,675 – 671,675 96,150 (3,716) 764,109

Offi ce equipment, furniture and fi ttings 130,434 – 130,434 29,287 (5,263) 154,458

Motor vehicles 28,708 – 28,708 7,880 (1,176) 35,412

Computer hardware and software 309,682 – 309,682 46,340 (9,657) 346,365

Projects-in-progress – – – – – –

1,803,517 36,973 1,840,490 265,213 (24,801) 2,080,902

Carrying amount

31.3.2011 31.3.2010

Company RM’000 RM’000

(restated)

Freehold land 944,052 880,130

Leasehold land – Long lease 466,808 433,029

– Short lease 8,465 4,759

Buildings 981,030 972,529

Plant, machinery, tankage and pipeline 629,714 614,502

Offi ce equipment, furniture and fi ttings 89,759 82,242

Motor vehicles 14,232 18,514

Computer hardware and software 50,237 65,160

Projects-in-progress 272,050 413,017

3,456,347 3,483,882


31 MARCH 2011


3. Property, Plant and Equipment (Continued)

Restrictions of land title

The titles to certain freehold and leasehold lands are in the process of being

registered in the Company’s name.

Additions of projects-in-progress

Borrowing costs amounting to RM17,219 (2010: Nil) are included in the additions

of projects-in-progress.

4. Investment in Subsidiaries Company

2011 2010

RM’000 RM’000

Unquoted shares at cost 19,590 19,590

Details of the subsidiaries are stated in Note 30 to the fi nancial statements.

5. Investment in Associates Group Company

2011 2010 2011 2010

RM’000 RM’000 RM’000 RM’000

Unquoted shares at cost 5,825 1,425 5,825 1,425

Share of post-acquisition

profi ts and reserves 2,945 2,192 – –

8,770 3,617 5,825 1,425

5. Investment in Associates (Continued)

Summary of fi nancial information on associates: Group and Company

2011 2010

RM’000 RM’000

Total assets (100%) 113,830 66,752

Total liabilities (100%) 77,990 54,820

Revenue (100%) 23,114 35,789

Profi t (100%) 1,824 1,112

Details of the associates are stated in Note 31 to the fi nancial statements.


31 MARCH 2011


6. Prepaid Lease Payments At 1.4.2010

Effect of

Opening adopting At

Group balance FRS 117 Restated Transfers Additions 31.3.2011

RM’000 RM’000 RM’000 RM’000

At cost

Leasehold land – Long lease 495,675 (473,886) 21,789 (21,789) – –

– Short lease 39,984 (7,669) 32,315 21,789 2,987 57,091

Prepaid rental 471,480 – 471,480 – 31,982 503,462

1,007,139 (481,555) 525,584 – 34,969 560,553

At 1.4.2010

Effect of Charge

Opening adopting for the At

Group balance FRS 117 Restated year Transfers 31.3.2011

RM’000 RM’000 RM’000 RM’000

Accumulated amortisation

Leasehold land – Long lease 43,320 (40,028) 3,292 1,183 (4,475) –

– Short lease 23,234 (2,911) 20,323 1,064 4,475 25,862

Prepaid rental 150,572 – 150,572 19,233 – 169,805

217,126 (42,939) 174,187 21,480 – 195,667


31 MARCH 2011


6. Prepaid Lease Payments (Continued) At 1.4.2009

Effect of

Opening adopting At

Group balance FRS 117 Restated Additions Disposals 31.3.2010

RM’000 RM’000 RM’000 RM’000

At cost

Leasehold land – Long lease 443,381 (427,391) 15,990 5,799 – 21,789

– Short lease 40,444 (7,669) 32,775 – (460) 32,315

Prepaid rental 447,938 – 447,938 24,311 (769) 471,480

931,763 (435,060) 496,703 30,110 (1,229) 525,584

At 1.4.2009

Effect of Charge


Group balance FRS 117 Restated year Disposals 31.3.2010

RM’000 RM’000 RM’000 RM’000



– Short lease 22,416 (2,744) 19,672 1,077 (426) 20,323

Prepaid rental 133,278 – 133,278 17,299 (5) 150,572

192,410 (37,270) 155,140 19,478 (431) 174,187

Carrying amount

31.3.2011 31.3.2010

Group RM’000 RM’000

(restated)

Leasehold land – Long lease – 18,497

– Short lease 31,229 11,992

Prepaid rental 333,657 320,908

364,886 351,397


31 MARCH 2011



Effect of

Opening adopting At

Company balance FRS 117 Restated Transfers Additions 31.3.2011

RM’000 RM’000 RM’000 RM’000

At cost

Leasehold land – Long lease 494,666 (472,877) 21,789 (21,789) – –

– Short lease 39,984 (7,669) 32,315 21,789 2,987 57,091

Prepaid rental 471,480 – 471,480 – 31,982 503,462

1,006,130 (480,546) 525,584 – 34,969 560,553

At 1.4.2010

Effect of Charge


Company balance FRS 117 Restated year Transfers 31.3.2011

RM’000 RM’000 RM’000 RM’000


Leasehold land – Long lease 43,139 (39,847) 3,292 1,183 (4,475) –

– Short lease 23,233 (2,910) 20,323 1,064 4,475 25,862

Prepaid rental 150,572 – 150,572 19,233 – 169,805

216,944 (42,757) 174,187 21,480 – 195,667


31 MARCH 2011



Effect of


Company balance FRS 117 Restated Additions Write-offs 31.3.2010

RM’000 RM’000 RM’000 RM’000

At cost


– Short lease 40,444 (7,669) 32,775 – (460) 32,315

Prepaid rental 447,938 – 447,938 24,311 (769) 471,480

930,650 (433,947) 496,703 30,110 (1,229) 525,584

At 1.4.2009

Effect of Charge


Company balance FRS 117 Restated year Disposals 31.3.2010

RM’000 RM’000 RM’000 RM’000



– Short lease 22,416 (2,744) 19,672 1,077 (426) 20,323

Prepaid rental 133,278 – 133,278 17,299 (5) 150,572

192,113 (36,973) 155,140 19,478 (431) 174,187

Carrying amount

31.3.2011 31.3.2010

Company RM’000 RM’000

(restated)

Leasehold land – Long lease – 18,497

– Short lease 31,229 11,992

Prepaid rental 333,657 320,908

364,886 351,397

Restrictions of land title

The titles to certain leasehold land are in the process of being registered in the Company’s name.


31 MARCH 2011


7. Inventories Group Company

2011 2010 2011 2010

RM’000 RM’000 RM’000 RM’000

Petroleum products 831,595 749,942 824,088 743,169

Others 1,005 1,240 274 585

832,600 751,182 824,362 743,754

8. Trade and Other Receivables Group Company

2011 2010 2011 2010

RM’000 RM’000 RM’000 RM’000

Trade receivables 1,309,034 1,036,429 1,278,551 1,004,267

Other receivables, deposits

and prepayments 1,186,550 1,108,365 1,187,053 1,106,894

Amounts due from:

Subsidiary – – 33,620 27,864

Related companies 171,866 149,689 171,866 149,689

Associates 1,453 2,765 1,453 2,765

2,668,903 2,297,248 2,672,543 2,291,479

Trade and other receivables denominated in currencies other than the functional

currency comprise RM208,565,791 (2010: RM155,545,000) of trade receivables

denominated in USD.

The Group uses ageing analysis to monitor the credit quality of the receivables. With

respect to the trade and other receivables that are neither impaired nor past due,

there are no indications as of reporting date that the debtors will not meet their

payment obligations.

97% of gross trade receivables are within the credit terms.

8. Trade and Other Receivables (Continued)

Collaterals for the trade receivables are in the form of bank guarantee, Amanah

Saham Bumiputera (ASB) and cash deposits.

The amounts due from subsidiary and related companies arose in the normal course

of business.

9. Cash and Cash Equivalents Group Company

2011 2010 2011 2010

RM’000 RM’000 RM’000 RM’000

Cash and bank balances 146,586 86,257 141,444 82,541

Deposits placed with

licensed banks 879,623 826,214 851,419 772,527

1,026,209 912,471 992,863 855,068

Cash and cash equivalents denominated in currencies other than the functional

currency comprise RM47,696,040 (2010: RM148,249,000) of cash and bank balances

and deposits placed with licensed banks denominated in USD.

10. Share Capital Number of shares Amount

Group and Company 2011 2010 2011 2010

’000 ’000 RM’000 RM’000

Authorised:

Ordinary shares of

RM1.00 each 1,000,000 1,000,000 1,000,000 1,000,000

Issued and fully paid:

Ordinary shares of

RM1.00 each 993,454 993,454 993,454 993,454


31 MARCH 2011


11. Reserves

Subject to agreement with the Inland Revenue Board, the Company has suffi cient Section 108 tax credits and tax exempt income to distribute approximately RM3,186,942,220 of its

distributable reserves at 31 March 2011, if paid out as dividends.

The Finance Act, 2007 introduced a single-tier company income tax system with effect from year of assessment 2008. As such, the Section 108 tax credits as at 31 December 2007 will

be available to the Company until such time the credit is fully utilised or upon expiry of the six-year transitional period on 31 December 2013, whichever is earlier.

12. Minority Interests

This consists of the minority shareholders’ proportion of share capital and reserves of a subsidiary.

13. Borrowings Group

2011 2010

RM’000 RM’000

Unsecured

Islamic fi nancing facility

Non-Current 16,232 –

Terms and debt repayment schedule Under 1 - 2 2 - 5 Over 5

Total 1 year years years years

RM’000 RM’000 RM’000 RM’000 RM’000

Islamic fi nancing facility 16,232 – – 16,232 –

The unsecured Islamic fi nancing facility is governed by the Musharakah Mutanaqisah principle and bears a fl oating profi t margin of 0.5% (2010: Nil) above the fi nancing bank’s cost of

fund per annum. The total facility granted to the Group is RM122 million which is to be subscribed latest by February 2013.

Repayment of the principle portion will commence from June 2013 at a predetermined amount until March 2021, if the facility is fully subscribed.


31 MARCH 2011


14. Deferred Tax

The components and movements of deferred tax liabilities and assets during the

fi nancial year prior to offsetting are as follows: Charged

As at to profi t As at

1.4.2010 or loss 31.3.2011

RM’000 RM’000 RM’000

Group

Deferred tax liabilities

Property, plant and equipment 126,610 36,223 162,833

Deferred tax assets

Other provisions (100) 100 –

Company

Deferred tax liabilities

Property, plant and equipment 109,971 37,488 147,459

Deferred tax assets

Other provisions (100) 100 –

Deferred tax liabilities and assets are offset when there is a legally enforceable right

to set off current tax assets against current tax liabilities and when the deferred

taxes relate to the same tax authority. The amounts determined after appropriate

offsetting are as follows: Group Company

2011 2010 2011 2010

RM’000 RM’000 RM’000 RM’000

Deferred tax liabilities 162,833 126,610 147,459 109,971

Deferred tax assets – (100) – (100)

162,833 126,510 147,459 109,871

15. Provisions Group and Company

2011 2010

RM’000 RM’000

Dismantling, removal and restoration costs

Balance at 1 April 20,970 26,488

Additional provision 67 4

Reversal of provision (2,488) (8,902)

Unwinding of discount 1,015 3,380

Balance at 31 March 19,564 20,970

Under provisions of certain land lease agreements, the Company has an obligation to

dismantle and remove structures on certain sites and restore those sites at the end

of the lease term to an acceptable condition consistent with the lease agreement.

For these affected sites, the liabilities for dismantling, removal and restoration

costs are recognised at present value of the compounded future expenditure

estimated using existing technology, at current prices and discounted using a real

discount rate.

The present value of the estimated costs is capitalised as part of the asset and the

related provisions raised on the date when the obligation arises. The capitalised cost

is depreciated over the expected life of the asset. The increase in the net present

value of the provision for the expected cost is included as fi nance costs in the profi t

or loss. Any change in the present value of the estimated expenditure is refl ected as

an adjustment to the Provision.

While the provision is based on the best estimate of future costs and the economic

lives of the affected assets, there is uncertainty regarding both the amount and

timing of incurring these costs. All the estimates are reviewed on an annual basis or

more frequently, where there is indication of a material change.


31 MARCH 2011


16. Trade and Other Payables Group Company

2011 2010 2011 2010

RM’000 RM’000 RM’000 RM’000

Other payables 562,053 458,584 551,095 451,922

Amounts due to:

Holding company 253,415 129,386 253,415 129,386

Subsidiary – – 1,422 1,464

Related companies 2,530,477 2,409,014 2,530,478 2,409,014

Associates 5,128 3,420 5,128 3,420

3,351,073 3,000,404 3,341,538 2,995,206

Trade and other payables denominated in currencies other than functional currency

comprise RM30,163,575 (2010: RM29,810,000) denominated in USD. Included in

other payables is deferred revenue totalling RM31,118,176 (2010: RM21,087,000) of

which the movement has been recorded in the profi t or loss.

The amounts due to holding company, subsidiary, related companies and associates

arose in the normal course of business.

17. Operating Profit Group Company

2011 2010 2011 2010

RM’000 RM’000 RM’000 RM’000

(restated) (restated)

Included in operating profi t are

the following charges:

Audit fees 402 383 340 324

Non audit fees paid to

external auditors 106 117 106 117

Amortisation of prepaid

lease payments 21,480 19,478 21,480 19,478

Depreciation of property,

plant and equipment 274,417 275,122 264,395 265,213

Impairment losses on goodwill – 25,189 – 21,926

Impairment losses on trade

receivables 323 1,561 323 –

Impairment losses on property,

plant and equipment 3,611 – 3,611 –

Property, plant and equipment

expensed off 8,059 6,875 7,861 6,753

Rental of land and building 33,818 35,034 28,036 29,422

Rental of plant and equipment 6,106 4,006 6,075 3,998

Staff costs 172,266 161,725 166,906 156,403

Contribution to EPF 34,310 41,473 34,102 41,317

Inventories written off 4 320 – 307

and credits:

Write back of impairment losses on

trade receivables 140 281 140 281

Dividend income from subsidiaries – – 34,625 1,463

Dividend income from an associate – – – 800

Interest income from deposits 24,669 14,652 22,920 13,975

Income from rental of premises 1,888 2,103 1,549 1,796


31 MARCH 2011


18. Financing Costs Group Company

2011 2010 2011 2010

RM’000 RM’000 RM’000 RM’000

Unwinding of discount - Provision

for dismantling, removal and

restoration costs 1,015 3,380 1,015 3,380

Interest on fi nance lease liabilities – 29 – –

1,015 3,409 1,015 3,380

19. Tax Expense Group Company

2011 2010 2011 2010

RM’000 RM’000 RM’000 RM’000

Current tax expense

Current year 302,958 274,405 290,622 265,612

Prior year (6,297) (5,405) (6,195) (6,804)

296,661 269,000 284,427 258,808

Deferred tax expense

Origination and reversal of

temporary differences 24,715 20,247 26,066 21,949

Under/(Over) provision in

prior year 11,608 (769) 11,522 (1,003)

332,984 288,478 322,015 279,754

19. Tax Expense (Continued)

A reconciliation of income tax expense applicable to profi t before taxation at the

statutory income tax rate to income tax expense at the effective income tax rate of

the Group and of the Company is as follows:

Group 2011 2010

% RM’000 % RM’000


Taxation at Malaysian statutory

tax rate 25 302,228 25 261,501

Non-deductible expenses 2 25,445 3 33,151

27 327,673 28 294,652

(Over)/Under provision in prior years

– tax expense (1) (6,297) (1) (5,405)

– deferred tax expense 1 11,608 – (769)

Tax expense 27 332,984 27 288,478

Company 2011 2010

% RM’000 % RM’000


Taxation at Malaysian statutory

tax rate 25 300,268 25 254,589

Non-deductible expenses 2 16,420 3 32,972

27 316,688 28 287,561

(Over)/Under provision in prior years

– tax expense (1) (6,195) (1) (6,804)

– deferred tax expense 1 11,522 – (1,003)

Tax expense 27 322,015 27 279,754


31 MARCH 2011


20. Dividends Group and Company

2011 2010

RM’000 RM’000

Final paid:

2010 – Final dividend of 30 sen per ordinary share

less tax at 25% (2009: 33 sen less tax at 25%) 223,527 245,880

2010 – Special dividend of 15 sen per ordinary share

less tax at 25% (2009: Nil) 111,764 –

Interim paid:

2011 – Interim dividend of 30 sen per ordinary share

less tax at 25% (2010: 15 sen less tax at 25%) 223,527 111,763

2011 – Special dividend of 10 sen per ordinary share

less tax at 25% (2010: Nil) 74,509 –

633,327 357,643

The proposed fi nal dividend of 35 sen less tax at 25% per ordinary share amounting

to RM260,781,675 and special dividend of 25 sen less tax at 25% per ordinary share

amounting to RM186,272,625 in respect of the fi nancial year ended 31 March 2011

have not been accounted for in the fi nancial statements.

21. Key Management Personnel Compensation Group and Company

2011 2010

RM’000 RM’000

Directors

Fees 487 596

Other short-term benefi ts

(including estimated monetary value of

benefi ts-in-kind) 130 44

617 640

21. Key Management Personnel Compensation (Continued)

The Company pays management fee to the holding company in relation to services

of an executive director and also fees for certain non executive directors of the

Company as disclosed in Note 25.

22. Earnings Per Share - Group

Basic earnings per share

The calculation of basic earnings per ordinary share at 31 March 2011 was based

on the profi t attributable to ordinary shareholders and number of ordinary shares

outstanding calculated as follows: 2011 2010

Profi t for the year attributable

to shareholders (RM’000) 869,728 752,934

Number of ordinary shares (’000) 993,454 993,454

Earnings per ordinary share (sen) 87.5 75.8

23. Changes in Accounting Policies

As of 1 April 2010, the Group and the Company had adopted new and revised FRS

and Amendment to FRS issued by MASB as disclosed in Note 1.1.

The principal changes in accounting policies and their effects resulting from the

above are as follows:

(i) FRS 8, Operating Segments

The adoption of FRS 8 has resulted in a change in accounting policy relating to

presentation of result of operating segments.


31 MARCH 2011


23. Changes in Accounting Policies (Continued)

(i) FRS 8, Operating Segments (Continued)

FRS 8, which replaces FRS 1142004

Segment Reporting, requires the Group to

determine and present operating segments based on the information that is

internally provided to the Group’s Chief Operating Decision Maker (i.e. Board

of Director) for the purpose of allocating resources to the segments and

assessing their performance. It also sets out the required disclosures for

operating segments.

The adoption of FRS 8 has no effect on the Group’s reported income or net

assets, other than extended disclosures on operating segment results.

(ii) FRS 101, Presentation of Financial Statements (Revised)

The adoption of revised FRS 101 has resulted in a change in accounting policy

relating to presentation of fi nancial statements.

Following the adoption of revised FRS 101, the Group and the Company

presents all non-owner changes in equity in the consolidated statements of

comprehensive income.

The adoption of revised FRS 101 has no effect on the Group’s and Company’s

reported income or net assets, other than certain extended disclosures.

Comparative information has been re-presented so that it is in conformity with

the revised standard.

(iii) Amendments to FRS 117, Leases

The adoption of Amendments to FRS 117 has resulted in a change in the

accounting policy relating to the classifi cation of leases of land.

Prior to the adoption of Amendments to FRS 117, the Group and the Company

had previously classifi ed a leasehold land that normally has an indefi nite

economic life and title is not expected to pass to the lessee by the end of

the lease term as an operating lease. The payment made on entering into

or acquiring a leasehold land is accounted for as prepaid lease payments

that are amortised over the lease term in accordance with the pattern

of benefi ts provided.

23. Changes in Accounting Policies (Continued)

(iii) Amendments to FRS 117, Leases (Continued)

On adoption of Amendments to FRS 117, leases of a leasehold land which

in substance is a fi nance lease has been reclassifi ed to property, plant and

equipment. The effects of adopting Amendments to FRS 117 had been

accounted for retrospectively in accordance with transitional provisions of the

standard, and comparatives have been restated (Note 32).

This change in accounting policy does not have material impact on current year

profi t or loss.

24. Commitments

Outstanding commitments in respect of capital expenditure at reporting date not

provided for in the fi nancial statements are: Group Company

2011 2010 2011 2010

RM’000 RM’000 RM’000 RM’000

Approved and contracted for 28,042 7,769 27,691 7,769

Approved but not contracted for 59,889 92,341 56,212 92,334

87,931 100,110 83,903 100,103

25. Related Parties Disclosures

For the purposes of these fi nancial statements, parties are considered to be

related to the Group or the Company if the Group or the Company has the ability,

directly or indirectly, to control the party or exercise signifi cant infl uence over

the party in making fi nancial and operating decisions, or vice versa, or where the

Group or the Company and the party are subject to common control or common

signifi cant infl uence.


31 MARCH 2011


25. Related Parties Disclosures (Continued)

In addition to the transactions detailed elsewhere in the fi nancial statements, the

Company had the following signifi cant transactions with related parties during the

fi nancial year: Group and Company

2011 2010

RM’000 RM’000

Sales of petroleum products

Related companies:

Malaysia LNG Sdn. Bhd. 443,166 401,195

MISC Berhad 107,735 386,503

PETRONAS Carigali Sdn. Bhd. 581,247 432,794

PETRONAS Trading Corporation Sdn. Bhd. 137,270 84

Purchases of petroleum products

Related companies:

PETRONAS Trading Corporation Sdn. Bhd. (4,236,017) (4,444,681)

PETRONAS Penapisan (Melaka) Sdn. Bhd. (16,398,158) (13,225,980)

PETRONAS Penapisan (Terengganu) Sdn. Bhd. (2,410,113) (2,178,818)

Malaysian Refi ning Company Sdn. Bhd. (424,094) (351,760)

PETRONAS Lubricants International Sdn. Bhd. (289,902) (267,178)

Holding company:

Petroliam Nasional Berhad (335,871) (351,816)

Fees to holding company for services of an executive

director and certain non executive directors. (985) (736)

25. Related Parties Disclosures (Continued)

Information regarding outstanding balances arising from related party transactions

as at 31 March 2011 are disclosed in Note 8 and Note 16.

Information regarding impairment losses on trade receivables during the fi nancial

year are disclosed in Note 17.

The directors of the Company are of the opinion that the above transactions have

been entered into in the normal course of business and have been established on a

commercial basis.

26. Segmental Information

Operating segments

Following the adoption of FRS 8, Operating Segments, an operating segment is

a component of the Group that engages in business activities from which it may

earn revenues and incur expenses, including revenues and expenses that relate to

transactions with any of the Group’s other components. An operating segment’s

operating results are reviewed regularly by the Group’s chief operating decision

maker, which is the Board of Directors, to make decisions about resources to be

allocated to the segment and assess the Group’s performance and for which discrete

fi nancial information is available.

The Group’s reportable segments are as follows:

• Retail – consist of sales and purchase of petroleum products to the

retail sector

• Commercial – consist of sales and purchase of petroleum products to the

commercial sector

• Others – comprise mainly of aviation fuelling services and business

activities other than in retail and commercial segment

Segment performance is evaluated based on profi t or loss before tax and is measured

consistently with profi t or loss before tax in the consolidated fi nancial statements.


31 MARCH 2011


26. Segmental Information (Continued)

Results for 12 months ended 31 March

Retail Commercial Others Elimination Group

Reportable Segments 2011 2010 2011 2010 2011 2010 2011 2010 2011 2010

RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Revenue 11,262,366 10,353,947 12,163,125 10,450,132 48,904 42,690 (206,747) (159,727) 23,267,648 20,687,042

Operating expenditures

Depreciation and amortisation 247,936 251,529 46,429 41,543 1,532 1,528 – – 295,897 294,600

Finance costs 913 2,863 102 517 – – – – 1,015 3,380

Impairment of property,

plant and equipments 3,611 – – – – – – – 3,611 –

Profi t before taxation for

reportable segments 611,806 553,862 427,172 350,150 22,733 17,105 (626) (2,465) 1,061,085 918,652

Other income 103,035 92,839 – – 44,038 36,330 – (2,263) 147,073 126,906

Share of profi t after tax of associates 753 444


Geographical segments

No disclosure on geographical segment information as the Group is predominantly operated in Malaysia.

Major customers

No disclosure on major customer information as no customer represents equal or more than 10 percent of Group revenue.


31 MARCH 2011


27. Financial Instruments

Categories of fi nancial instruments

The table below provides an analysis of fi nancial instruments categorised

as follows:

(i) Loans and receivables (“L&R”);

(ii) Loans and payables (“L&P”); and

(iii) Fair value through profi t and loss (“FVTPL”)

L&R/ Carrying

2011 L&P FVTPL amount

Group Note RM’000 RM’000 RM’000

Financial assets

Trade and other receivables 8 2,595,471 48 2,595,519

Cash and cash equivalents 9 1,026,209 – 1,026,209

3,621,680 48 3,621,728

Financial liabilities

Borrowing 13 16,232 – 16,232

Trade and other payables 16 3,304,865 150 3,305,015

3,321,097 150 3,321,247

2010

Group

Financial assets

Trade and other receivables 8 2,259,628 – 2,259,628

Cash and cash equivalents 9 912,471 – 912,471

3,172,099 – 3,172,099


Borrowing 13 – – –

Trade and other payables 16 2,964,685 – 2,964,685

2,964,685 – 2,964,685

27. Financial Instruments (Continued)

Categories of fi nancial instruments (continued) L&R/ Carrying

2011 L&P FVTPL amount

Company Note RM’000 RM’000 RM’000

Financial assets

Trade and other receivables 8 2,599,109 48 2,599,157


3,591,972 48 3,592,020



Trade and other payables 16 3,295,328 150 3,295,478

3,295,328 150 3,295,478

2010

Company

Financial assets

Trade and other receivables 8 2,253,861 – 2,253,861


3,108,929 – 3,108,929



Trade and other payables 16 2,959,487 – 2,959,487

2,959,487 – 2,959,487


31 MARCH 2011



Financial Risk Management

Petroliam Nasional Berhad (PETRONAS) has a Group Risk Management Framework

and Guidelines that sets the foundation for establishment of effective risk management

across the PETRONAS Group.

The Group’s and the Company’s goal in risk management are to ensure that the

management understands, measures and monitors the various risks that arise in

connection with their operations. Policies and guidelines have been developed to

identify, analyse, appraise and monitor the dynamic risks facing the Group and the

Company. Based on this assessment, the Group and the Company adopt appropriate

measures to mitigate these risks in accordance with their views of the balance

between risk and reward.

The main fi nancial risks faced by the Group and the Company arising from its use of

fi nancial instrument in their normal activities are credit risk, liquidity risk, interest

rate risk and foreign currency risk.

Credit Risk

Credit risk is the probability of fi nancial loss arising from the failure of counterparties

to make payment for goods or services already delivered or to deliver goods or services

for which payment has already been made.

Credit evaluations are performed on an on-going basis where customer’s credit

worthiness is evaluated using a list of qualitative and quantitative weighted criteria.


Credit Risk (Continued)

The Group and the Company mitigate their credit risks within a conservative framework

by dealing with creditworthy counterparties or setting credit limits on exposures to

counterparties where appropriate. These are done on an on-going basis to constantly

monitor any developments. The Group and the Company further mitigate and limit

credit risks by securing collateral or other credit enhancements such as cash deposits,

letter of credit and bank guarantee.

On reporting date, there was a signifi cant concentration of credit risk arising from

an amount owing from a customer constituting 30% (2010: 26%) of the total trade

receivables, of which all outstanding balances were current.

In addition, there was a signifi cant concentration of credit risk being an amount owing

from the government constituting 92% (2010: 95%) of the total other receivables

relating to subsidies arising from the Automatic Pricing Mechanism governing the

sale of petroleum products.

The maximum exposure to credit risk for the Group and the Company is represented

by the carrying amount of each fi nancial asset, without taking into account the fair

value of any collateral.

Liquidity Risk

Liquidity risk arises due to inability to liquidate an asset and from the requirement to

raise funds for the business on an on-going basis as a result of existing and future

commitments which are not funded from internal resources. The Group and the

Company manage liquidity risk by maintaining suffi cient cash. As such, they are not

exposed to any signifi cant liquidity risk.


31 MARCH 2011



Maturity Analysis

The table below summarises the maturity profi le of the Group’s and Company’s fi nancial liabilities as at the reporting date based on undiscounted contractual payments:

Carrying Effective Contractual Within 1 1 - 2 2 - 5 More than

Group amount interest rate cash fl ows year years years 5 years

RM’000 % RM’000 RM’000 RM’000 RM’000 RM’000

2011


Unsecured Islamic Financing Facility

Floating rate 16,232 3.52 17,724 575 571 16,578 –

Trade and other payables 3,304,865 3,304,865 3,304,865 – – –

3,321,097 3,322,589 3,305,440 571 16,578 –

2010



Floating rate – – – – – – –


2,964,685 2,964,685 2,964,685 – – –


31 MARCH 2011



Maturity Analysis (Continued) Carrying Effective Contractual Within 1 1 - 2 2 - 5 More than

Company amount interest rate cash fl ows year years years 5 years

RM’000 % RM’000 RM’000 RM’000 RM’000 RM’000

2011





3,295,328 3,295,328 3,295,328 – – –

2010




Trade and other payables 2,959,487 – 2,959,487 2,959,487 – – –

2,959,487 2,959,487 2,959,487 – – –


31 MARCH 2011



Interest Rate Risk

Interest rate risk is the risk that the fair value or future cash fl ows of a fi nancial

instrument will fl uctuate because of changes in market interest rates.

The Group’s exposure to the risk of changes in market interest rates relates primarily

to the Group’s borrowing with fl oating profi t rates. The Group’s interest bearing

fi nancial asset which consists mainly of fi xed rate short term fund placement does

not have signifi cant exposure to interest rate risk.

All interest rate risks are monitored and managed proactively by Group Treasury

Division of PETRONAS based on guidance from PETRONAS Group Risk Management

Framework and Guidelines.

As at 31 March 2011, 0.2% (2010: Nil) of the fi nancial instruments of the Group are

fl oating rate instruments.

Foreign Currency Risk

Foreign currency risk is the risk that the fair value or future cash fl ows of a fi nancial

instrument will fl uctuate because of changes in foreign exchange rates.

Exposure to foreign currency exchange risk arises as a natural consequence of the

Group and the Company engaging in business activities. However, the Group and

the Company operate predominantly in Malaysia and transact mainly in Malaysian

Ringgit. The Company mitigates its foreign currency exposure through forward

foreign currency contract.


Foreign Currency Risk (Continued)

The Group’s and Company’s exposure to foreign currency risk, based on carrying

amounts as at the reporting date is as follows:

2011 2010

Group and Company USD MYR USD MYR

RM’000 RM’000 RM’000 RM’000

Financial assets

Cash and cash equivalents 15,765 47,696 45,350 148,249

Trade and other receivables 68,935 208,566 47,582 155,545

84,700 256,262 92,932 303,794


Trade and other payables 9,969 30,163 9,119 29,810

Net exposure 74,731 226,099 83,813 273,984

Currency risk sensitivity analysis

The following table demonstrates the indicative pre-tax effects on the profi t or loss

and equity of applying reasonably foreseeable market movements in the following

currency exchange rates:

2011 2010

Change in Effect Change in Effect

currency on profi t currency on profi t

Group and Company rate or loss rate or loss

% RM’000 % RM’000

USD 5 11,305 5 13,699

This analysis assumes all other variables, in particular interest rates, remain

constant.

A decrease in change in currency rate above would have had equal but opposite

effect, on the basis that all other variables remain constant.


31 MARCH 2011



Recognised Financial Instruments

The Group’s and the Company’s fi nancial instruments consist of cash and cash

equivalents, trade and other receivables, trade and other payables and borrowings.

Fair Value

The Group’s and the Company’s fi nancial instruments are carried at amortised costs,

which are not materially different from their fair values due to the short term nature

of these fi nancial instruments. The fair value of borrowing approximates carrying

value due to profi t rate on borrowing is similar to market profi t rate.

Income/expense, net gains and losses arising from fi nancial instruments

Net

Group gain/(loss)

RM’000

31 March 2011

Financial instruments through profi t and loss 1,215

Loans, receivables and payables 8,581

Total 9,796

28. Capital Management

The Group defi nes capital as total equity and debt. The objective of the Group’s

capital management is to maintain an optimal capital structure in order to support

its business and maximise shareholders’ value. As a subsidiary of Petroliam

Nasional Berhad (PETRONAS), the Group’s approach in managing capital is set out

in the PETRONAS Group Corporate Financial Policy.

The Group monitors and maintains a prudent level of total debt to total asset

ratio to optimise shareholder value and to ensure compliance with shareholders’

agreements and regulatory requirements if any.

28. Capital Management (Continued)

The debt equity ratio as at 31 March 2011 is 0.04:100 (2010: 0:100).

There were no changes in the Group’s approach to capital management during

the year.

Under the requirement of Bursa Malaysia Practice Note No.17/2005, the Group

is required to maintain consolidated shareholders’ equity equal to or not less

than 25% of the issued and paid-up capital (excluding treasury shares) and such

shareholders’ equity is not less than RM40 million. The Group has complied with

this requirement.

29. Holding Company

The holding company is Petroliam Nasional Berhad (PETRONAS), a company

incorporated in Malaysia.

30. Subsidiaries and Activities Effective Percentage

Holding Principal Activities

2011 2010

Companies Incorporated

in Malaysia

Kuala Lumpur Aviation 65% 65% Operation of aviation fuelling at

Fuelling System Kuala Lumpur International

Sdn. Bhd. Airport, Sepang.

Lub Dagangan Sdn. Bhd. 100% 100% Marketing and distribution of

lubricants.


31 MARCH 2011


31. Associates and Activities Effective Percentage


2011 2010

Companies Incorporated

in Malaysia

* PS Pipeline Sdn. Bhd. 50% 50% To maintain and operate the

Multi-Product Pipeline and Klang

Valley Distribution Terminal

(MPP-KVDT) and the associated

facilities for the transportation

of the petroleum products on

behalf of the MPP-KVDT owners /

shareholders.

* PS Terminal Sdn. Bhd. 50% 50% To operate, manage and

maintain the joint facilities

- terminal, depot, warehouse

etc. in Tawau and Bintulu on

behalf of the owners PETRONAS

Dagangan Berhad and Shell

Timur Sdn. Bhd.

** IOT Management. 20% 20% To operate and manage a

Sdn. Bhd petroleum storage terminal

with facilities for receipt,

storage and delivery of

petroleum products at Senari,

Kuching, Sarawak for the users,

PETRONAS Dagangan Berhad

and Shell Timur Sdn. Bhd.

31. Associates and Activities (Continued) Effective Percentage


2011 2010

** Assar Chemicals 20% 20% To own, operate and manage

Dua Sdn. Bhd. a petroleum storage terminal

with facilities for receipt,

storage and delivery of

petroleum products located

at Bandar Baru Tanjung Manis,

Mukah, Sarawak for the users,

PETRONAS Dagangan Berhad

and Shell Timur Sdn. Bhd.

* Audited by KPMG. However, share of results was based on unaudited fi nancial

statements.

** Not audited by KPMG and the share of results was based on unaudited fi nancial

statements.


31 MARCH 2011


32. Comparative Figures

Amendments to FRS 117

Following the adoption of Amendments to FRS 117, certain comparative fi gures

of the Group and Company have been reclassifi ed to ensure consistency with the

current period’s presentation.

Group Company

As As

As previously As previously

2010 restated stated restated stated

RM’000 RM’000 RM’000 RM’000

Statement of fi nancial position

Non-current assets

Property, plant

and equipment 3,568,833 3,130,217 3,483,882 3,046,093

Prepaid lease payments 351,397 790,013 351,397 789,186

3,920,230 3,920,230 3,835,279 3,835,279

Statement of cash fl ow

Cash fl ows from

investing activities

Purchase of property,

plant and equipment (341,746) (295,588) (331,459) (285,184)

Prepayment of leases (29,320) (75,478) (29,308) (75,583)

(371,066) (371,066) (360,767) (360,767)

Operating profi t

Included in operating profi t are

the following charges

Depreciation of property,

plant and equipments (275,122) (269,426) (265,213) (259,401)

Amortisation of prepaid

lease payment (19,478) (25,174) (19,478) (25,290)

(294,600) (294,600) (284,691) (284,691)

33. Change of Financial Year End

The Group and Company will change its fi nancial year end from 31 March to 31

December which will be effective after the close of fi nancial year 31 March 2011.

Accordingly, the fi nancial statements of the Group and Company for the fi nancial

period ended 31 December 2011 cover a 9-month period. Thereafter, the fi nancial

year end of the Group and Company will revert to the usual 12 months from 1 January

to 31 December.

34. New and Revised Pronouncements Yet in Effect

The following new and revised FRSs, Amendments to FRS and Statement of

Interpretations (collectively referred to as “pronouncements”) from the Malaysian

Accounting Standards Board which are effective for annual periods beginning on or

after 1 July 2010 (unless otherwise stated):

(i) FRS 1, First-time Adoption of Financial Reporting Standards (revised);

(ii) FRS 3, Business Combinations (revised);

(iii) FRS 127, Consolidated and Separate Financial Statements (revised);

(iv) FRS 138, Intangible Assets;

(v) Amendments to FRS 1, First-time Adoption of Financial Reporting Standard –

Limited Exemption from Comparative FRS 7 Disclosures for First-time Adopters

and Additional Exemptions for First Time Adopters (effective from annual periods

beginning on or after 1 January 2011);

(vi) Amendments to FRS 1, First-time Adoption of Financial Reporting Standard

[Improvements to FRSs (2010)] (effective from annual periods beginning on or

after 1 January 2011);

(vii) Amendments to FRS 3, Business Combinations [Improvements to FRSs (2010)]

(effective for annual periods beginning on or after 1 January 2011);

(viii) Amendments to FRS 7, Financial Instruments: Disclosures - [Improvements

to FRSs (2010)] (effective for annual periods beginning on or after 1 January

2011);


31 MARCH 2011


34. New and Revised Pronouncements Yet in Effect (Continued)

(ix) Amendments to FRS 101, Improvements to FRSs (2010) (effective for annual

periods beginning on or after 1 January 2011);

(x) Amendments to FRS 128, Investment in Associates [Improvements to FRSs

(2010)] (effective for annual periods beginning on or after 1 January 2011);

(xi) Amendments to FRS 131, Interests in Joint Ventures [Improvements to FRSs


(xii) Amendments to FRS 132, Financial Instruments: Presentation [Improvements

to FRSs (2010)] (effective for annual periods beginning on or after 1 January

2011);

(xiii) Amendments to FRS 134, Interim Financial Reporting [Improvements to FRSs


(xiv) Amendments to FRS 139, Financial Instruments: Recognition and Measurement

[Improvements to FRSs (2010)] (effective for annual periods beginning on or after

1 January 2011);

(xv) IC Interpretation 4, Determining Whether an Arrangement contains a Lease

(effective for annual periods beginning on or after 1 January 2011);

(xvi) Amendments to IC 13 Customer Loyalty Programmes [Improvements to

Interpretation 13 FRSs (2010)] (effective for annual periods beginning on or after

1 January 2011);

(xvii) IC Interpretation 19, Extinguishing Financial Liabilities with Equity Instruments

(effective for annual periods beginning on or after 1 July 2011); and

(xviii) FRS 124, Related Party Disclosures Transactions (effective for annual periods

beginning on or after 1 January 2012).

34. New and Revised Pronouncements Yet in Effect (Continued)

Initial application of these pronouncements for the Group and the Company will be

effective from the annual period beginning:

(i) 1 April 2011 for pronouncements which are effective for annual periods

beginning on or after 1 July 2010 and 1 January 2011.

(ii) 1 January 2012 for pronouncements which are effective for annual periods

beginning on or after 1 July 2011 and 1 January 2012.

The adoption of other FRSs, Amendments to FRSs and Statement of Interpretations

other than IC 4 is not expected to have any material impact on the fi nancial statements

of the Group and of the Company in the period of initial application.

IC Interpretation 4 addresses the determination on whether certain arrangements are,

or contain, leases that are required to be accounted for in accordance with FRS 117,

Leases. Where an arrangement is within the scope of FRS 117, the Group/Company

applies FRS 117 in determining whether the arrangement is fi nance or an operating

lease. The adoption of IC Interpretation 4 will result in a change in accounting policy in

which certain arrangements are to be accounted for a fi nance lease. This change will

be applied retrospectively in accordance with FRS 108, Accounting Policies, Changes

in Accounting Estimates and Errors.


31 MARCH 2011


35. New Pronouncements Not Applicable to the Group and the Company

The MASB has issued FRSs, Amendments to FRSs and Interpretations which are not

yet effective, but for which are not relevant to the operations of the Group and the

Company and hence, no further disclosure is warranted:

Effective for annual periods beginning on or after 1 July 2010

(i) Amendments to FRS 5, Non-current Assets Held for Sale and Discontinued

Operations;

(ii) IC Interpretation 12, Service Concession Agreements;

(iii) IC Interpretation 16, Hedges of a Net investment in a Foreign Operation;

(iv) IC Interpretation 17, Distribution of Non-cash Assets to Owner; and

(v) Amendments to IC 9, Reassessment of Embedded Derivatives.

Effective for annual periods beginning on or after 1 January 2011

(i) Amendments to FRS 2, Group Cash-settled Share-Based Payment

Transactions;

(ii) Amendments to FRS 121, The Effects of changes in Foreign Exchange Rates

[Improvements to FRSs (2010)];

(iii) Amendments to FRS 131, Interests in Joint Ventures [Improvements to FRSs

(2010)]; and

(iv) IC Interpretation 18, Transfers of Assets from Customers.

Effective for annual periods beginning on or after 1 July 2011

(i) Amendments to IC Interpretation 14, Prepayments of a Minimum Funding

Requirement.

Effective for annual periods beginning on or after 1 January 2012

(i) IC Interpretation 15, Agreements for the Construction of Real Estate.

36. Disclosure of Realised and Unrealised Profit

On 25 March 2010, Bursa Malaysia Securities Berhad (“Bursa Malaysia”) issued a

directive to all listed issuers pursuant to Paragraphs 2.06 and 2.23 of Bursa Malaysia

Main Market Listing Requirements. The directive requires all listed issuers to

disclose the breakdown of the unappropriated profi ts or accumulated losses as at

the end of the reporting period, into realised and unrealised profi ts or losses.

On 20 December 2010, Bursa Malaysia further issued another directive on the

disclosure and the prescribed format of presentation.

The breakdown of the retained earnings of the Group and of the Company as at 31

March 2011, into realised and unrealised profi ts, pursuant to the directive, is as

follows: 2011

Group Company

RM’000 RM’000

Total retained profi ts/(accumulated losses)

– realised 4,007,034 3,880,074

– unrealised (162,270) (147,005)

3,844,764 3,733,069

Total retained profi ts/(accumulated losses)

of associates attributable to the Group

– realised 2,962 –

– unrealised (17) –

Less: Consolidation adjustments (46,215) –

Total retained profi ts 3,801,494 3,733,069

The determination of realised and unrealised profi ts is based on the Guidance of

Special Matter No.1, Determination of Realised and Unrealised Profi ts or Losses

in the Context of Disclosure Pursuant to Bursa Malaysia Securities Berhad Listing

Requirements, issued by Malaysian Institute of Accountants on 20 December 2010.


31 MARCH 2011


Report on the Financial Statements

We have audited the fi nancial statements of PETRONAS Dagangan Berhad, which

comprise the statements of fi nancial position as at 31 March 2011 of the Group and of the

Company, and the statements of comprehensive income, changes in equity and cash fl ows

of the Group and of the Company for the year then ended, and a summary of signifi cant

accounting policies and other explanatory information, as set out on pages 123 to 170.

Directors’ Responsibility for the Financial Statements

The Directors of the Company are responsible for the preparation of fi nancial statements

that give a true and fair view in accordance with Financial Reporting Standards and the

Companies Act, 1965 in Malaysia, and for such internal control as the directors determine

are necessary to enable the preparation of fi nancial statements that are free from material

misstatement, whether due to fraud or error.

Auditors’ Responsibility

Our responsibility is to express an opinion on these fi nancial statements based on our

audit. We conducted our audit in accordance with approved standards on auditing in

Malaysia. Those standards require that we comply with ethical requirements and plan

and perform the audit to obtain reasonable assurance about whether the fi nancial

statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts

and disclosures in the fi nancial statements. The procedures selected depend on our

judgement, including the assessment of risks of material misstatement of the fi nancial

statements, whether due to fraud or error. In making those risk assessments, we

consider internal control relevant to the entity’s preparation of fi nancial statements that

give a true and fair view in order to design audit procedures that are appropriate in the

circumstances, but not for the purpose of expressing an opinion on the effectiveness of

the entity’s internal control. An audit also includes evaluating the appropriateness of

accounting policies used and the reasonableness of accounting estimates made by the

Directors, as well as evaluating the overall presentation of the fi nancial statements.

We believe that the audit evidence we have obtained is suffi cient and appropriate to

provide a basis for our audit opinion.

Independent Auditors’ ReportTO THE MEMBERS

Report on the Financial Statements (Continued)

Opinion

In our opinion, the fi nancial statements have been properly drawn up in accordance with

Financial Reporting Standards and the Companies Act, 1965 in Malaysia so as to give a

true and fair view of the fi nancial position of the Group and of the Company as of 31 March

2011 and of their fi nancial performance and cash fl ows for the year then ended.

Report on Other Legal and Regulatory Requirements

In accordance with the requirements of the Companies Act, 1965 in Malaysia, we also

report the following:

a) In our opinion, the accounting and other records and the registers required by the

Act to be kept by the Company and its subsidiaries, have been properly kept in

accordance with the provisions of the Act.

b) We are satisfi ed that the accounts of the subsidiaries that have been consolidated

with the Company’s fi nancial statements are in form and content appropriate and

proper for the purposes of the preparation of the fi nancial statements of the Group

and we have received satisfactory information and explanations required by us for

those purposes.

c) Our audit report on the accounts of the subsidiaries did not contain any qualifi cation

or any adverse comment made under Section 174(3) of the Act.

Other Reporting Responsibilities

Our audit was made for the purpose of forming an opinion on the fi nancial statements

taken as a whole. The information set out in Note 36 to the fi nancial statements has been

compiled by the Group and the Company as required by the Bursa Malaysia Securities

Berhad Listing Requirements. We have extended our audit procedures to report on the

process of compilation of such information. In our opinion, the information has been

properly compiled, in all material respects, in accordance with the Guidance of Special

Matter No.1, Determination of Realised and Unrealised Profi ts or Losses in the Context of

Disclosures Pursuant to Bursa Malaysia Securities Berhad Listing Requirements, issued

by the Malaysian Institute of Accountants and presented based on the format prescribed

by Bursa Malaysia Securities Berhad.


Other Matters

This report is made solely to the members of the Company, as a body, in accordance with

Section 174 of the Companies Act, 1965 in Malaysia and for no other purpose. We do not

assume responsibility to any other person for the content of this report.

KPMG DESA MEGAT & CO. AHMAD NASRI ABDUL WAHAB

Firm Number: AF 0759 Approval Number: 2919/03/12(J)

Chartered Accountants Chartered Accountant

Petaling Jaya,

Date: 24 May 2011

Independent Auditors’ Report

TO THE MEMBERS


Property

Land Area

(sq. ft.) Description Tenure

Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

A PULAU PINANG

1 Lot PT 456, Mukim 11, Daerah Seberang Perai Selatan 22,400 SS LH 31/05/1988 13/06/2014 26

2 Lot 16, Seksyen 3, Bandar Butterworth 53,274 SS LH 31/05/1990 16/08/2081 25

3 Lot 2360, Mukim 11, Daerah Seberang Perai Tengah 11,467 SS FH 31/03/1987 – 28

4 Lot 2453, Mukim 9, Daerah Seberang Perai Utara 21,463 SS FH 30/11/1989 – 25

5 Lot 5352 & 5353, Mukim 11, Daerah Seberang Perai Tengah 85,907 SS FH 30/09/1991 – 24

6 Lot 3609 HS(D) 1745, Mukim 15, Daerah Seberang Perai Selatan 26,135 SS FH 09/10/1998 – 11

7 Lot 2574-2576, Seksyen 4, Bandar Butterworth 6,684 SH FH 27/12/1983 – 26

8 Lot 1070, Mukim 1, Kawasan Perindustrian Perai 907,860 BD LH 31/03/1987 27/08/2041 29

9 Lot PT 1612, Mukim 6, Seberang Perai Tengah 55,937 SS FH 03/11/1999 – 11

10 Lot 1475, Mukim 13, Daerah Timur Laut 39,241 SS FH 22/12/1999 – 11

11 Lot 10034, Mukim 13, Daerah Timur Laut 26,200 SS FH 24/03/2000 – 11

12 Lot 3237, Mukim 10, Daerah Seberang Perai Utara 22,367 SS FH 31/12/2002 – 6

13 Lot 2840 & 2843, Mukim 4, Daerah Seberang Perai Utara 60,321 SS FH 24/05/2003 – 8

14 Lot 2489 & 2490, Seksyen 2, Bandar Butterworth, Seberang Perai Utara 50,590 SS FH 09/10/2003 – 8

15 Lot 3167 HS(M) 815, Mukim 4, Butterworth-Kulim, Seberang Perai 85,637 SS FH 24/05/2003 – 7

16 Lot 10885, Jalan Rozhan, Mukim 15, Seberang Perai Tengah 69,658 SS FH 05/03/2004 – 6

17 Lot 859, Bandar Baru Perda, Mukim 6, Seberang Perai Tengah 55,958 SS FH 24/07/2002 – 8

18 Lot 5494 & 5279, Sunway BKE, Mukim 1, Seberang Perai Tengah 71,811 SS LH 07/11/2003 21/10/2092 7

19 Lot 8889 & 4867, Jalan Dato Ahmad Badawi, Seberang Perai Utara 29,662 SS FH 22/07/2005 – 6

20 Lot 648, Bukit Tengah, Mukim 11, Seberang Perai Tengah 25,504 SS FH 08/02/2005 – 5

21 Lot 112, 117 & 118, Seksyen 1, Bandar Bukit Mertajam, Seberang Perai Tengah 78,378 SS FH 27/06/2006 – 4

22 Lot 18566, 18568 & 18570, Mukim 15, Bukit Mertajam, Seberang Perai Tengah 41,921 SS FH 06/02/2006 – 5

23 Lot 5597, Bandar Tasik Mutiara, Seberang Perai Selatan 33,443 SS FH 02/07/2007 – 4

24 Lot 6163 & 2081 (Bertam Perdana), Mukim 6, Daerah Seberang Perai Utara 63,603 SS FH 01/04/2007 – 3

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

25 Lot PT 2510 HS(D) 14748, Mukim 13, Daerah Timur Laut, Jalan Paya Terubong 41,211 SS FH 13/10/2006 – 3

26 Part of Lot 60 GRN 61129 & Lot 66, GRN 22712 Section 1, Bandar Butterworth,

District of Seberang Perai Utara

30,257 SS FH 23/01/2008 – 1

27 Lot 4107 HS(M) 448, Mukim 9, Jalan Besar, Seberang Perai Selatan 28,815 SS FH 14/07/2007 – 21

28 Lot 602, Mukim E Titi Teras (Mukim 4) Daerah Barat Daya 52,592 SS LH 17/05/1991 16/05/2021 5

B KEDAH DARUL AMAN

1 Sebahagian Lot 1990/1991, HS(M) 24/1982, Mukim Sungai Petani, Daerah Kuala Muda 16,090 SS LH 31/05/1990 13/07/2012 30

2 Lot 27, Seksyen 9, Pekan Gurun, Daerah Kuala Muda 24,775 SS LH 27/05/1984 07/01/2048 25

3 Lot PT 461 HS(M) 5/1982 & PT 1055 HS(M) 113/1983, Mukim Kota Setar,

Daerah Kota Setar

27,000 SS LH 27/10/1983 16/05/2012 23

4 Lot PT 669, Mukim Ayer Puteh, Daerah Pendang 26,327 SS LH 27/06/1984 29/07/2014 24

5 Lot PT 149 HS(M) 6/85, Mukim Kuah, Daerah Pulau Langkawi 69,384 SS LH 27/07/1985 14/08/2045 26

6 Lot 703, Mukim Sungai Seluang, Daerah Kulim 12,567 SS FH 31/03/1987 – 26

7 Lot PT 9290, Mukim Sungai Petani, Daerah Kuala Muda 19,576 SS FH 31/03/1990 – 19

8 Lot 3268 GM 368, Mukim Mergong, Daerah Kota Setar 27,373 SS FH 31/08/1993 – 24

9 Lot PT 12241, Mukim Sungai Pasir, Daerah Kuala Muda 29,945 SS FH 31/03/1993 – 18

10 Lot PT 3541, Mukim Naga, Daerah Kubang Pasu 32,450 SS FH 30/09/1994 – 17

11 Lot 2226, Mukim & Daerah Kulim 43,540 SS FH 31/03/1987 – 28

12 Lot PT 3356 HS(M) 126/92, Mukim Keladi, Daerah Kulim 48,200 SS FH 31/08/1993 – 15


14 Lot PT 553-564, Mukim Sungai Seluang, Daerah Kulim 18,576 SS FH 31/03/1992 – 11

15 Lot PT 2964, Mukim Sungai Seluang, Daerah Kulim 28,674 SS FH 31/07/1991 – 11

16 Lot PT 11615, Mukim Sungai Pasir, Daerah Kuala Muda 38,250 SS FH 30/09/1991 – 9

17 Lot PT 23517 HS(D) 499/97, Mukim Sungai Petani, Daerah Kuala Muda 23,863 SS FH 15/03/1998 – 9

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

18 Part of Lot 2008 & 2009, Mukim Sungai Laka, Daerah Kubang Pasu 76,300 SS FH 20/10/1998 – 10

19 Lot PT 4761, Tanjung Bendahara, Mukim Derga, Daerah Kota Setar 43,550 SS FH 31/12/2003 – 6

20 Lot 5840 HS(D) 5380/97, Mukim Padang Cina, Daerah Kulim 43,621 SS FH 25/01/2004 – 7

21 Lot PT 12770, Mukim Pengkalan Kundor, Kota Setar 35,502 SS FH 10/08/2004 – 6

22 Lot 1491, Seksyen 41, Kota Kenari, Kulim 42,508 SS FH 23/08/2004 – 7


24 Lot PT 437 HSM 25/1986, Alor Bekong, Mukim Mergong, Kota Setar 12,495 SS FH 02/11/2004 – 25

25 Lot 134, Lebuhraya Kulim-Butterworth, Mukim Seluang, Daerah Kulim 79,758 SS FH 07/01/2003 – 6

26 Lot 2356, Kuala Ketil, Mukim Tawar, Daerah Baling 66,892 SS FH 30/03/2002 – 5

27 Lot 3932, Bandar Padang Serai, Mukim Sidam Kanan, Daerah Kulim 33,788 SS FH 30/05/2006 – 5

28 Lot PT 76726, Bandar Mutiara, Daerah Kuala Muda, Sungai Petani 45,305 SS FH 28/06/2007 – 4

29 Lot PT 84793/101745, Taman Ria Jaya, Sungai Petani 43,560 SS FH 17/07/1990 – 3

30 Lot PT 2388, Mukim Kuala Kedah, Daerah Kota Setar 40,053 SS FH 17/09/2007 – 5

31 Lot PT 23743, Mukim Sungai Pasir, Kuala Muda 44,885 SS FH 19/07/2007 – 3

32 Part of Lot 47457 HS(D) 18435, Bandar Puteri Jaya, Sungai Petani Town 43,560 SS FH 15/08/2006 – 3

33 Lot PT 92935 HS(D) 109663, Bandar Laguna Merbok,

Jalan Lencongan Barat, Mukim Sungai Petani

45,693 SS FH 25/05/2007 – 3

34 PT 19 HS(M) 640, Habour Park Langkawi (Pantai Kok), Mukim Padang Matsirat 56,977 SS LH 23/10/2007 10/08/2065 8

35 Lot PT 441 HS(M) 988, Bandar Anak Bukit, Jalan Gunung, Daerah Kota Setar 38,147 SS FH 18/02/2010 – –

C PERLIS INDERA KAYANGAN

1 Lot 2729, Mukim Berseri, Daerah Padang Malau 13,340 SS FH 31/03/1987 – 21

2 Lot 3684, Jalan Raja Syed Alwi, Behor Gandil, Mukim Utan Aji 50,579 SS FH 05/10/2004 – 7

3 Lot PT 726 HS(M) 773, Behor Temak, Mukim Seriab 30,280 SS FH 30/04/2004 – 7

4 Lot 1925, Mukim Titi Tinggi, Padang Besar 18,686 SS LH 02/11/2004 01/05/2043 27

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

D KELANTAN DARUL NAIM

1 Lot PT 2424, Bandar & Daerah Kuala Krai 10,367 SS LH 31/05/1990 02/03/2049 26

2 Lot 2079 (PT 1043), Bandar & Daerah Gua Musang 15,995 SS LH 27/09/1985 13/03/2084 24

3 Lot PTLO 1945, Mukim Maka, Daerah Tanah Merah 19,946 SS LH 31/05/1990 10/10/2086 28

4 Lot PT 38/1433, Mukim Lembu, Daerah Kota Bharu 22,593 SS LH 31/05/1990 23/01/2017 24

5 Lot PT 48, Seksyen 16, Bandar & Daerah Kota Bharu 28,710 SS LH 30/11/1989 22/08/2088 27

6 Lot PT 2360, Mukim Maka, Daerah Tanah Merah 43,200 SS LH 27/06/1983 09/01/2053 24

7 Lot 2781, Bandar & Daerah Kuala Krai 26,285 SS FH 30/09/1992 – 10

8 Lot PT 623, Mukim Panchor, Bandar & Daerah Kota Bharu 84,680 W LH 27/07/1983 25/07/2048 25

9 Lot PT 88 & 89, Mukim Lemal, Daerah Pasir Mas 15,177 SS LH 08/12/1998 12/05/2065 11

10 Lot 2799, Mukim Tanah Merah, Jajahan Tanah Merah 18,535 SS LH 04/08/2002 03/08/2068 9

11 Lot PT 1272 HS(M)166, Kampung Dalam Huma, Mukim Pasir Puteh,

Daerah Limbongan

45,667 SS LH 29/07/2003 28/07/2069 6

12 Lot 243 & 1310, Mukim Demit, Kubang Kerian 15,973 SS FH 31/12/2002 – 7

13 Lot PT 3399, Mukim Pasir Pekan, Wakaf Baru, Jajahan Tumpat 27,039 SS LH 18/06/2006 17/06/2072 25

14 Lot PT 1850, Kampung Jelawat, Jajahan Bachok, Mukim Rusa 35,187 SS LH 10/06/2007 10/03/2073 5

15 Lot PT 8704, Mukim Maka, Tanah Merah 27,704 SS LH 11/01/2006 10/01/2105 –

16 Lot 3201 (GM 2154), Kampung Pasir Pekan, Mukim Pasir Pekan, Jajahan Tumpat 43,099 SS LH 11/09/2008 17/06/2072 –

E TERENGGANU DARUL IMAN

1 Lot 7858, Mukim Chukai, Daerah Kemaman 28,201 SS LH 31/03/1987 24/04/2044 26

2 Lot 2913 & 3486, Mukim Sura, Daerah Dungun 30,408 SS LH 31/05/1990 29/05/2045 25

3 Lot PT 134, Mukim Pelagat, Daerah Besut 39,159 SS LH 30/11/1987 04/01/2018 22

4 Lot 6108 & 4182, Mukim Kuala Dungun, Daerah Dungun 53,087 SS LH 27/01/1987 13/09/2043 26

5 Lot 3578, Mukim Kuala Paka, Daerah Dungun 15,834 SS FH 31/01/1991 – 24

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

6 Lot PT 1722, Mukim Abang, Daerah Dungun 31,323 SS LH 31/07/1995 16/10/2055 12

7 Lot PT 4799, Mukim Kijal, Daerah Kemaman 30,000 SS LH 14/12/1999 25/11/2101 8

8 Lot 2112, Mukim Hulu Setiu, Daerah Setiu 22,800 SS FH 31/03/1997 – 9

9 Lot PT 5010, Mukim Teluk Kalung, Daerah Kemaman 64,580 SS LH 31/12/1999 20/10/2058 10

10 Lot 2247, Mukim Bukit Kenak, Padang Jerteh, Daerah Besut 43,712 SS FH 01/04/2003 – 9

11 Lot 13181 HM 5258, Banggol Titian Ketat, Mukim Kuala Nerus, Kuala Terengganu 17,738 SS FH 09/09/2004 – 25

12 Lot PT 6730, Mukim Kuala Berang, Hulu Terengganu 46,000 SS FH 08/08/1991 – 20

13 Lot 2415, Kampung Gong Kiat, Kuala Terengganu 34,498 SS FH 30/11/2007 – 2

14 Lot 1870, Mukim Batu Burok 18,674 SS LH 31/03/1987 30/03/2014 23

15 Lot 601, Bandar Baru Kerteh 22,041 SS LH 30/09/1994 30/06/2014 15

16 Lot PT 14177, Mukim Kerteh, Daerah Kemaman, Terengganu 54,358 SS LH 19/11/2008 18/11/2084 7

F PAHANG DARUL MAKMUR

1 Lot PT 3370, Mukim Sabai, Daerah Bentong 22,826 SS LH 31/07/1993 17/01/2049 21

2 Lot PT 719, Mukim Ringlet, Daerah Cameron Highlands 9,000 SS LH 27/10/1986 22/06/2089 23

3 Lot PT 15291, Mukim Kuala Kuantan, Daerah Kuantan 11,115 SS LH 31/03/1992 16/01/2085 20

4 Lot PT 3640, Mukim Pedah, Daerah Jerantut 13,612 SS LH 31/05/1990 09/02/2082 27

5 Lot PT 1207, Mukim Kuala Lipis, Daerah Lipis 19,329 SS LH 27/10/1985 09/10/2056 22

6 Lot PT 1987, Mukim Semantan, Daerah Temerloh 56,901 SS LH 27/07/1985 18/08/2052 24

7 Lot PT 4335, Bandar & Daerah Temerloh 10,054 SS LH 31/03/1992 30/01/2091 17

8 Lot PT 9011, Mukim Gali, Daerah Raub 11,434 SS LH 27/02/1984 10/08/2091 26

9 Lot PT 4519, Mukim & Daerah Bentong 11,887 SS LH 31/03/1992 22/03/2053 17


11 Lot PT 601, Mukim Tanah Rata, Daerah Cameron Highlands 30,797 SS LH 27/11/1986 22/06/2089 24

12 Lot PT 3920, Mukim Sungai Karang, Daerah Kuantan 16,968 SS FH 31/01/1991 – 16

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

13 Lot PT 3921, Mukim Sungai Karang, Daerah Kuantan 15,020 SS FH 31/01/1991 – 19

14 Lot 2, Seksyen 3, Kampung Ketari, Daerah Bentong 20,691 SS FH 31/01/1992 – 14

15 Lot 24757, Mukim Kuala Kuantan, Daerah Kuantan 34,929 SS FH 30/09/1992 – 16

16 Lot 1593, Mukim Pedah, Daerah Jerantut 14,284 SS FH 31/03/1992 – 16

17 Lot 7, 8 & 43, Seksyen 18, Bandar & Daerah Kuantan 25,345 SS FH 31/03/1992 – 15

18 Lot 112, Mukim & Daerah Bentong 39,030 SS FH 31/03/1992 – 16

19 Lot PT 3443, Mukim Perak, Daerah Temerloh 47,647 SS LH 27/07/1985 18/08/2052 6

20 Lot PT 33423, Seksyen 1, Bandar Indera Mahkota, Daerah Kuantan 20,000 SS LH 30/09/1994 06/04/2093 10

21 Lot 5093 CT 6585, Mukim Kuala Kuantan, Daerah Kuantan 21,200 SS FH 30/09/1994 – 11

22 Lot 26180-26186, Mukim Kuala Kuantan, Daerah Kuantan 11,711 SS FH 29/02/1992 – 8

23 Lot PT 10884, Mukim & Daerah Bentong 179,296 LPGSBP LH 28/02/1993 07/01/2058 14

24 Lot PT 10852 & 10853, Mukim Mentakab, Daerah Temerloh 43,515 SS FH 30/03/2000 – 6

25 Lot PT 817, Mukim Sungai Karang, Daerah Kuantan 19,364 SS LH 31/03/1992 11/07/2090 9

26 Lot PT 678, Mukim Mentakab, Daerah Temerloh 43,832 SS LH 31/12/2002 06/11/2035 8

27 Lot PT 57349, Bandar Kuantan, Daerah Kuantan 41,689 SS LH 03/01/2003 02/09/2093 5


29 Lot PT 4019, Bandar Kerayong, Mukim Triang, Daerah Bera 49,051 SS FH 09/08/2005 – 6

30 Lot PT 3775 (HSM 3112), Paya Siak Ulu, Mukim Perak, Daerah Temerloh 17,438 SS FH 12/11/2004 – –

31 Lot 21123, Jalan Telok Sisek, Mukim Kuala Kuantan 15,844 SS LH 06/03/2006 11/09/2089 17

32 Lot 3258, Simpang Chini, Mukim Bebar, Pekan 25,855 SS LH 29/08/2006 01/08/2088 19

33 Lot 8207, Mukim Bentong, KM 53, Kuala Lumpur-Karak Highway, Eastbound 87,120 SS FH 21/11/2003 – 8

34 Lot PT 8360, Mukim Gali, Sempalit, Daerah Raub 43,560 SS FH 01/04/2007 – 2

35 Lot PT 82380, Batu 10, Jalan Gambang, Mukim Kuala Kuantan, Kuantan 65,340 SS LH 01/04/2007 25/01/2104 3

36 Lot PT 772 HS(M) 719, Lot 799 HS(M) 758 & Govt. Alienated Land, Tanjung Gemok 28,760 SS FH 09/03/2007 – 2

37 Lot PT 25 HS(D) 4529, Bandar Pekan, Daerah Pekan 43,056 SS LH 18/02/2009 17/02/2108 2

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

G JOHOR DARUL TAKZIM

1 Lot PTD 3009, Mukim Linau, Daerah Batu Pahat 10,772 SS LH 31/03/1987 17/01/2047 25

2 Lot PTD 4560, Mukim Kesang, Daerah Muar 17,837 SS LH 31/03/1987 28/10/2046 27

3 Lot PTB 324, Bandar Jementah, Daerah Segamat 25,000 SS LH 31/05/1990 01/12/2051 24

4 Lot PTD 3618, Mukim Sungai Segamat, Daerah Segamat 25,000 SS LH 31/05/1990 15/09/2051 25

5 Lot PTD 13309 & 52136, Mukim Tebrau, Daerah Johor Bahru 70,726 SS LH 27/02/1984 25/11/2015 23

6 Lot PTB 16964, Bandar & Daerah Johor Bahru 24,012 SS LH 31/01/1992 02/05/2087 18

7 Lot PTD 89980, Mukim Plentong, Daerah Johor Bahru 25,000 SS LH 31/03/1987 30/03/2089 26

8 Lot PTD 60266, Mukim Pulai, Daerah Johor Bahru 39,260 SS LH 31/07/1992 03/08/2021 14

9 Lot PTD 57850, Mukim Tebrau, Daerah Johor Bahru 43,512 SS LH 30/09/1992 15/10/2021 14

10 Lot PTD 7605, Mukim Serom, Daerah Muar 12,818 SS FH 30/09/1990 – 18

11 Lot PTD 9492, Mukim Tebrau, Daerah Johor Bahru 13,208 SS FH 31/03/1991 – 17

12 Lot PTD 814, Mukim Sungai Kluang, Daerah Batu Pahat 13,663 SS FH 31/03/1987 – 26

13 Lot 7949, Mukim Senai-Kulai, Daerah Johor Bahru 15,860 SS FH 31/01/1991 – 18

14 Lot PTD 37211, Bandar & Daerah Kluang 16,847 SS FH 30/06/1990 – 19

15 Lot PTD 15400, Mukim Tangkak, Daerah Muar 20,000 SS FH 31/05/1993 – 25

16 Lot 881, Bandar Maharani, Daerah Muar 27,143 SS FH 31/01/1991 – 23

17 Lot PTD 84376, Mukim Plentong, Daerah Johor Bahru 28,846 SS FH 31/03/1990 – 19

18 Lot PTD 10908, Mukim Sedenak, Daerah Johor Bahru 30,582 SS FH 31/03/1990 – 19

19 Lot 1069, Mukim & Daerah Kota Tinggi 34,848 SS FH 31/03/1991 – 17

20 Lot 230, Bandar & Daerah Kota Tinggi 49,713 SS FH 31/03/1987 – 24

21 Lot 3116, Mukim Jalan Bakri, Daerah Muar 30,764 SS FH 31/03/1992 – 16


23 Lot 155, Mukim Sermin, Daerah Segamat 21,789 SS FH 31/01/1990 – 15


25 Lot PTD 44992, Mukim Pulai, Daerah Johor Bahru 50,202 SS FH 31/03/1991 – 14

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

26 Lot 7320, Mukim Senai-Kulai, Daerah Johor Bahru 23,475 SS FH 30/09/1991 – 13


28 Lot PTD 57709, Mukim Pulai, Daerah Johor Bahru 19,200 SS LH 30/06/1991 29/06/2020 11

29 Lot PTB 11985, Bandar & Daerah Johor Bahru 24,000 SS LH 30/09/1992 02/02/2042 11

30 Lot PTD 8255, Mukim Buloh Kasap, Daerah Segamat 28,807 SS LH 31/08/1990 31/12/2086 10

31 Lot PTD 35578, Mukim Senai-Kulai, Daerah Johor Bahru 32,147 SS LH 30/09/1992 18/08/2084 20

32 Lot PTB 9, Bandar Gemas, Daerah Segamat 25,000 SS LH 31/05/1990 15/09/2051 3

33 Lot 23551 (PTD 110909), Mukim Plentong, Daerah Johor Bahru 21,273 SS FH 28/02/1995 – 13

34 Lot 7344, Mukim Sungai Balang, Semerah, Daerah Batu Pahat 19,979 SS FH 30/04/1993 – 9


36 Lot 24883, Mukim Pulai, Bandar Selesa Jaya, Johor Bahru 34,832 SS FH 31/08/1993 – 13

37 Lot 23551 (PTD 110910), Mukim Plentong, Daerah Johor Bahru 21,325 SS FH 31/03/1995 – 13

38 PTD 6717, Mukim Kesang, Daerah Muar 35,005 SS FH 24/05/1996 – 11




42 Part of Lot 441, 442 & 1504 Mukim Plentong, Daerah Johor Bahru 40,000 SS FH 02/03/2000 – 9

43 Lot PTB 19195, Bandar Johor Bahru 33,632 SS LH 24/08/2002 08/03/2091 6

44 Lot PTD 1525, Mukim Gemereh, Daerah Segamat 34,734 SS FH 04/10/2002 – 6

45 Lot PTD 85816 (105615), Taman Pelangi Indah, Mukim Tebrau 91,875 SS FH 31/05/2003 – 8

46 Lot PTD 95704, Taman Setia Indah, Mukim Tebrau 54,390 SS FH 15/10/2003 – 6

47 Lot PTB 4648 HSD 47973, Jalan Rahmat, Bandar Penggaram, Batu Pahat 45,019 SS FH 08/08/2004 – 7

48 Lot PTD 105784 HS(D) 361231, Mukim Tebrau, Johor Bahru 52,599 SS FH 10/02/2004 – 7

49 Lot PTD 77623 HS(D) 258216, Taman Nusa Perintis, Mukim Pulai, Johor Bahru 31,416 SS FH 09/10/2003 – 8

50 Lot LT PTD 135636, Taman Sri Yaakob, Mukim Pulai, Johor Bahru 56,886 SS FH 11/10/2004 – 7

51 Lot LT PTD 129028, Kota Masai, Mukim Plentong, Johor Bahru 38,298 SS FH 11/06/2003 – 8

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

52 Lot PTD 174174, Bandar Seri Alam, Mukim Plentong, Johor Bahru 43,577 SS FH 01/07/2004 – 7

53 Lot MLO 8028, Parit Tengah, Mukim Tanjung Sembrong, Batu Pahat 70,499 SS FH 04/02/2005 – 6

54 Lot PTD 127744, Jalan Kempas Lama, Mukim Tebrau, Johor Bahru 44,190 SS FH 26/01/2005 – 6

55 Lot PTD 76295, R&R Skudai (NB), Lebuhraya Utara-Selatan, Johor Bahru 120,529 SS LH 18/07/2003 17/07/2102 7

56 Lot PTD 173047 HSD 353199, Bayu Senibong, Mukim Plentong, Johor Bahru 70,165 SS LH 08/05/2003 07/05/2102 6

57 Lot 181563, Mukim Plentong, Taman Bayu Puteri,

Bandar Baru Permas Jaya, Johor Bahru

50,812 SS LH 08/02/2005 21/01/2097 6

58 Plot 4, Bandar Putra, Mukim Senai-Kulai, Daerah Johor Bahru 48,460 SS FH 22/03/2005 – 7

59 Lot PTD 133688, Taman Perling, Mukim Pulai, Daerah Johor Bahru 50,601 SS FH 23/03/2005 – 5

60 Lot PTD 93016 HSD 329339, Taman Desa Tebrau, Johor Bahru 48,835 SS FH 25/10/2005 – 5

61 Lot PTD 130265 HSD 395366, Mukim Tebrau, Daerah Johor Bahru 45,000 SS FH 03/10/2005 – 5

62 Lot PTB 20846, Jalan Tampoi, Bandar Johor Bahru 41,397 SS FH 11/11/2005 – 6

63 Lot 1283 (PTD 135891) HSM 1527, Mukim Pulai, Batu 8 Jalan Skudai, Johor Bahru 40,000 SS FH 28/02/2006 – 5

64 Lot PTD 104981, Taman Intan, Mukim Tebrau (Damansara Alif), Johor Bahru 43,562 SS FH 09/06/2004 – 6

65 Lot PT 44208 HSM 6268, Simpang Kanan, KM 7 Jalan Keluang, Batu Pahat 43,593 SS FH 12/10/2004 – 6

66 Lot PTD 166495 (HSD 333428), Taman Bukit Dahlia, Mukim Pelentong,

Daerah Johor Bahru

47,467 SS LH 17/01/2005 15/06/2101 7

67 Lot PTD 160926, Taman Cahaya Masai, Mukim Plentong, Johor Bahru 51,911 SS LH 22/03/2005 07/07/2102 7

68 Lot 105660, Lebuhraya Perling-Pasir Gudang, Kampung Kempas Baru, Mukim Tebrau 38,560 SS FH 16/10/2003 – 6

69 Lot PTB 21228, Jalan Datin Halimah, Johor Bahru 47,048 SS LH 06/08/2003 06/08/2102 5

70 Lot 111466, Jalan Masai, Mukim Plentong, Johor Bahru 45,000 SS FH 24/03/2004 – 7

71 Lot PTD 138181, Taman Daya, Mukim Tebrau, Daerah Johor Bahru 43,551 SS LH 23/05/2006 23/05/2105 4

72 Lot PTD 107116, Taman Impian Emas, Mukim Tebrau, Daerah Johor Bahru 48,549 SS FH 28/04/2006 – 5

73 Lot 823, Mukim Bandar Johor Bahru 124,420 SS FH 04/05/2006 – 4

74 Lot PTD 11262, Mukim Rimba Terjun, Daerah Pontian 30,666 SS FH 27/10/2005 – 4

75 Lot PTD 177201, Mukim Plentong 65,788 SS FH 15/11/2006 – 5

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

76 Lot PTB 21742, Jalan Tun Abdul Razak, Daerah Johor Bahru 43,560 SS LH 28/12/2006 25/07/2065 5

77 Lot PTD 770, Pekan Bukit Pasir, Mukim Sungai Raya, Daerah Muar 11,142 SS FH 24/02/2005 – 6

78 Lot PT 61674, Bandar Putra (Plot 1), Mukim Senai-Kulai, Johor Bahru 22,950 SS FH 23/08/2006 – 5

79 Lot PTD 82406, Bandar Putra (Plot 2), Mukim Senai-Kulai, Johor Bahru 43,923 SS FH 23/08/2006 – 7

80 Lot PTD 67447, Bandar Putra (Plot 3), Mukim Senai-Kulai, Johor Bahru 31,950 SS FH 23/08/2006 – 2

81 Lot PTD 15085, Jalan Pintasan Muar, Daerah Muar 43,572 SS FH 25/01/2007 – 3

82 Lot PTD 94525, KM 1 Jalan Kulai-Kota Tinggi, Mukim Senai-Kulai, Kulai 44,997 SS FH 11/10/2006 – 5

83 Lot PTD 90167, Kampung Jaya Sepakat, Mukim Senai-Kulai, Daerah Kulai 35,941 SS FH 01/12/2005 – 4

84 Lot PTD 15471, Jalan Salleh, Mukim Bandar, Muar 45,800 SS FH 10/04/2007 – 4

85 Plot A, KM 23.6, Taman Pulai Perdana, Jalan Johor Bahru, Pontian 30,491 SS FH 11/12/2003 – 8

86 Lot 55821, Taman Universiti, Mukim Pulai, Johor Bahru 60,601 SS FH 10/05/2005 – 6

87 Lot 94, Pekan Parit Sulong, Batu Pahat 35,392 SS FH 15/02/2007 – 8

88 Lot PTD 52710, Jalan Rosmerah, Taman Johor Jaya, Plentong 44,141 SS FH 17/08/2007 – 4

89 Lot 8379, Batu 1, Jalan Kluang-Air Hitam, Mukim Sri Gading, Batu Pahat 79,662 SS FH 27/08/2007 – 4

90 Lot 5 (PTD 51002), Bandar Indahpura, Mukim Senai-Kulim, Johor Bahru 29,407 SS FH 28/06/2007 – 4

91 Lot 21 (PTD 11493), Mukim Rimba Terjun, Batu 35 1/2, Jalan Johor, Pontian 66,892 SS FH 01/11/2007 – 3

92 Lot 1070, Jalan Mawai, Mukim Bandar Kota Tinggi 35,327 SS FH 23/03/1994 – 17

93 Lot 12435, Bandar Sri Saujana, Kota Tinggi 44,012 SS FH 31/03/2006 – 5

94 Lot PTB 20457 HS(D) 303968, Jalan Langkasuka, Mukim Bandar, Johor Bahru 49,190 SS FH 19/10/2006 – 5

95 Lot PTD 65639, Taman Austin Perdana, Mukim Tebrau, Johor Bahru 60,113 SS FH 01/04/2007 – 4

96 Lot 2478, Jalan Batu Pahat-Muar, Mukim Peserai, Daerah Batu Pahat 43,560 SS FH 26/06/2007 – 3

97 Lot PTD 108516, Taman Bukit Indah, Mukim Pulai, Johor Bahru 47,921 SS FH 01/04/2007 – 4

98 Lot PTD 144219, Taman Sri Orkid, Mukim Pulai, Daerah Johor Bahru 38,000 SS LH 30/07/2007 03/09/2911 3

99 Lot PT 74793, Bandar Baru Ayer Hitam, Mukim Kluang, Daerah Kluang 79,868 SS LH 01/04/2007 05/06/2106 5

100 Lot PTD 44263, Jalan Bukit Pasir, Mukim Simpang Kanan, Batu Pahat 28,033 SS LH 01/04/2007 01/02/2105 4

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

101 Part of Lot No. 4193 GRN 97400, Mukim of Labis, District of Segamat 56,737 SS FH 04/07/2008 – 2

102 Part of Lot 49987, Mukim Senai-Kulai, Pontian Highway (Arah Johor Bahru), Johor Bahru 43,560 SS LH 01/08/2008 25/08/2035 2

103 Lot PTD 2176, No 59, Bandar Tenggara, Daerah Kota Tinggi 43,346 SS LH 18/07/2008 12/02/2037 28

104 PTB 20802 Part of Lot 6197, Geran 89960, Jalan Tampoi 60,548 SS FH 13/04/2006 – 4

105 Lot 158422 (PTD 136202 HS(D) 277380), Jalan Kota Masai 2,

Taman Kota Masai, Mukim Plentong

53,508 SS FH 27/06/2006 – 4

106 Lot PTB 813 HS(D) 46082, Mukim Bandar Anam, District of Segamat 20,349 SS LH 01/06/2007 31/12/2105 3

107 Lot 823 Geran 94570, Mukim Serkat, Daerah Pontian 42,959 SS FH 11/03/2009 – 2

108 Lot PTD 69990 HSD 124966, Jalan Besar, Pasir Gudang, Daerah Johor Bharu 50,000 SS FH 10/09/2009 – –

109 Part of Lot 1033, GRN 95525, Mukim Mersing, Daerah Mersing 54,314 SS FH 02/10/2009 – 25

110 Lot 18502 GRN 32042, Mukim Simpang Kanan, Jalan Tg Laboh, Daerah Batu Pahat 44,024 SS FH 17/02/2010 – –

H NEGERI SEMBILAN DARUL KHUSUS

1 Lot PT 1414, Mukim Triang Hilir, Daerah Jelebu 11,926 SS LH 30/06/1991 24/02/2090 16

2 Lot 268 (PT 6086), Mukim Ampangan, Daerah Seremban 16,000 SS LH 27/10/1985 20/12/2045 21

3 Lot PT 999, Mukim Gemas, Daerah Tampin 21,780 SS LH 31/03/1987 13/09/2043 23

4 Lot PT 278, Mukim Ampangan, Daerah Seremban 25,019 SS LH 31/03/1987 12/09/2075 17

5 Lot 10066, Mukim Rasah, Daerah Seremban 14,400 SS FH 31/03/1987 – 20

6 Lot 2253, Mukim Si Rusa, Daerah Port Dickson (Coast) 15,781 SS FH 31/03/1987 – 23

7 Lot PT 489, Mukim Serting Ulu, Daerah Jempol 16,861 SS FH 31/01/1991 – 19

8 Lot 448, Mukim Tampin, Daerah Tampin 17,705 SS FH 31/03/1987 – 21

9 Lot 5935, Mukim Rantau, Daerah Seremban 17,687 SS FH 30/09/1992 – 26

10 Lot PT 26/2 - Lot PT 26/3 & Lot PT 26/6 - Lot PT 26/11,

Pekan Kuala Klawang, Daerah Jelebu

24,550 SS FH 31/07/1990 – 10

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

11 Lot 527, Bandar Port Dickson, Daerah Port Dickson (Coast) 43,914 SS FH 31/01/1992 – 9

12 Lot PT 10841 & PT 10842, Mukim Rasah, Daerah Seremban 41,167 SS FH 21/05/1998 – 11

13 Lot PT 2277 HS(D) 16461, Mukim Jimah, Daerah Port Dickson 24,393 SS FH 22/05/1998 – 11

14 Lot 13796 HS(D) 49314, Mukim Rantau, Daerah Seremban 17,663 SS FH 30/10/1998 – 10

15 Lot PT 21419, Mukim Labu, Daerah Seremban 55,006 SS FH 29/04/2002 – 9

16 Lot PT 12874 & 12875, Mukim Labu, Daerah Seremban 26,354 SS FH 01/02/2001 – 9

17 Lot PT 6054, Mukim Seremban, Daerah Seremban 52,140 SS FH 20/08/2002 – 8

18 Lot PT 5890, Bandar & Daerah Seremban 63,162 SS FH 06/02/2003 – 7

19 Lot PT 2172, Jalan Seremban-Tampin, Daerah Tampin 29,396 SS FH 28/05/2002 – 8

20 Lot PT 4087 HS(D) 154332, Senawang Ampangan, Daerah Seremban 47,303 SS FH 10/03/2004 – 6

21 Lot PT 7931, Jalan Jelebu, Seremban 29,590 SS FH 09/10/2004 – 6

22 Lot PT 1421, Mukim Titian Bintanggor, Daerah Rembau 87,174 SS LH 28/01/2005 03/12/2062 3

23 Lot 2902 & 2903, Pekan Lukut, Port Dickson 42,819 SS FH 01/03/2005 – 5

24 Lot 726 & 727 HSM 7196, Mukim Ampangan, Seremban 63,048 SS FH 30/11/2004 – 6

25 Lot PT 2244, Lavender Height, Pekan Senawang, Daerah Seremban 43,562 SS FH 22/07/2003 – 7

26 Lot 19968, Bandar Seremban 2, Mukim Rasah, Daerah Seremban 40,451 SS FH 08/11/2006 – 5

27 Part of Lot 6283, Bandar Seremban 2, Mukim Rasah, Daerah Seremban 47,389 SS FH 02/11/2006 – 4

28 Lot 1682 (PT29818), Jalan Senawang-Paroi, Sungei Landak, Ampangan, Seremban 43,583 SS FH 01/04/2007 – 3

I MELAKA

1 Lot PT 32 & Lot 684, Kawasan Bandar XXXVII,

Daerah Melaka Tengah

9,322 SS LH 27/04/1984 19/12/2075

31/07/2090

25

2 Lot 1072, Mukim Ramuan Cina Kechil, Daerah Alor Gajah 16,770 SS LH 27/09/1985 07/07/2084 23

3 Lot 351, Mukim Batu Berendam, Daerah Melaka Tengah 22,400 SS LH 27/09/1985 30/09/2084 14

4 Lot PT 1, Mukim Cheng, Daerah Melaka Tengah 23,143 SS LH 31/05/1990 28/06/2045 26

5 Lot 260, Kampung Klebang, Seksyen 11, Daerah Melaka Tengah 23,435 SS LH 31/01/1992 12/02/2047 23

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

6 Lot 271, Bandar Pulau Sebang, Seksyen 1, Daerah Alor Gajah 24,154 SS LH 31/05/1990 14/08/2044 26

7 Lot 4351, Mukim Bukit Katil, Daerah Melaka Tengah 28,578 SS LH 31/03/1987 16/07/2050 27

8 Lot 353, Mukim Tangga Baru, Daerah Melaka Tengah 28,050 SS FH 31/08/1993 – 24

9 Lot PT 4175, Mukim Bukit Baru, Daerah Melaka Tengah 12,066 SS FH 31/03/1987 – 26

10 Lot 347, Bandar Bukit Baru, Seksyen 111, Daerah Melaka Tengah 13,329 SS FH 29/02/1992 – 15

11 Lot PT 701, Mukim Selandar, Daerah Jasin 20,599 SS FH 30/09/1992 – 15

12 Lot PT 4683, Mukim Bachang, Daerah Melaka Tengah 30,000 SS FH 31/03/1991 – 15

13 Lot 321, Mukim Bukit Baru, Daerah Melaka Tengah 63,162 SS FH 31/01/1991 – 20

14 Lot 175 & 1456, Kawasan Bandar XXXVII, Daerah Melaka Tengah 18,649 SS FH 30/11/1989 – 18

15 Lot 311, Bandar Bukit Baru, Seksyen 5, Daerah Melaka Tengah 18,741 SS FH 27/06/1985 – 20

16 Lot 142, Kawasan Bandar XXXI, Daerah Melaka Tengah 23,079 SS FH 31/01/1991 – 18

17 Lot 70, Kawasan Bandar XXIX, Daerah Melaka Tengah 14,322 SS LH 31/03/1991 10/12/2051 11

18 Lot 918, Mukim Peringgit, Daerah Melaka Tengah 84,345 SS FH 31/08/1993 – 26

19 Lot 2031, GM MCL 1150, Mukim Air Molek, Daerah Melaka Tengah 19,400 SS FH 30/04/1993 – 11

20 Lot 1375, MCL 360, Mukim Balai Panjang, Daerah Melaka Tengah 20,000 SS FH 30/04/1993 – 9

21 Lot PT 851, Mukim Sungai Baru Hulu, Daerah Alor Gajah 20,000 SS FH 31/08/1993 – 9

22 Lot 303, Kawasan Bandar XXIX, Daerah Melaka Tengah 21,351 SS FH 31/03/1991 – 11

23 Lot PT 1317 HS(M) 67, Mukim Sungai Udang, Daerah Alor Gajah 27,953 SS FH 24/03/1998 – 10

24 Lot 2854 GMM 1094, Jalan Air Keroh, Mukim DurianTunggal, Daerah Alor Gajah 58,704 SS FH 30/04/2004 – 7

25 Lot PT 13670, Mukim Batu Berendam, Daerah Melaka Tengah 48,416 SS FH 16/08/2006 – 5

26 Lot 273 (34), Jalan Panglima Awang, Seksyen 33, Daerah Melaka Tengah 56,212 SS FH 09/05/2007 – 2

J PERAK DARUL RIDZUAN

1 Lot PT 5309, Mukim Sungai Siput, Daerah Kuala Kangsar 15,110 SS LH 31/07/1991 17/12/2089 18

2 Lot 5653, Mukim Parit Buntar, Daerah Kerian 17,147 SS LH 30/11/1991 09/05/2043 26

3 Lot 87409, Mukim Hulu Kinta, Daerah Kinta 18,977 SS LH 31/03/1987 31/12/2078 27

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

4 Lot 29526, Mukim Setiawan, Daerah Dinding 21,700 SS LH 27/09/1985 22/11/2086 25

5 Lot PT 66101, Bandar Ipoh, Daerah Kinta 26,332 SS LH 31/05/1990 18/08/2047 25

6 Lot 303, Pekan Sungkai, Daerah Batang Padang 37,200 SS LH 31/01/1988 01/12/2052 22

7 Lot PT 89905, Mukim Hulu Kinta, Daerah Kinta 49,735 SS LH 30/11/1989 10/04/2088 19

8 Lot 5739 & Lot PT No. 3131-3137, Mukim Slim, Daerah Batang Padang 12,404 SS LH 27/08/1984 03/06/2083 23

9 Lot 14501, Bandar Ipoh, Daerah Kinta 16,975 SS LH 31/08/1993 31/07/2052 20

10 Lot PT 64796, Bandar Ipoh, Daerah Kinta 20,000 SS LH 27/04/1984 11/12/2044 25

11 Lot 1963, Batu 1, Mukim Kampar, Daerah Hilir Kinta 39,761 SS LH 31/05/1990 11/12/2044 25

12 Lot PT 923, Mukim Sungai Raya, Daerah Kinta 17,653 SS LH 30/09/1992 19/04/2083 15

13 Lot 43881, Mukim Sungai Terap, Daerah Kinta 11,979 SS FH 30/09/1994 – 23

14 Lot PT 92889, Mukim Hulu Kinta, Daerah Kinta 12,359 SS LH 30/09/1992 09/10/2049 11

15 Lot PT 131534 HS(D) KA 35310, Mukim Hulu Kinta, Daerah Kinta 43,712 SS LH 03/01/1997 08/08/2093 24

16 Lot 1454, Mukim Bagan Serai, Daerah Kerian 16,089 SS FH 30/09/1992 – 11

17 Lot PT 856 HS(M) 3, Mukim Teja, Daerah Kinta 17,146 SS LH 29/12/1997 28/12/2096 10

18 Lot PT 8621, Mukim Lumut, Daerah Manjung 45,805 SS LH 14/10/1999 15/12/2098 11

19 Lot PT 1341, Mukim Simpang, Daerah Larut & Matang 32,130 SS FH 30/04/1993 – 11

20 Lot 92912, Jalan Lahat, Mukim Hulu Kinta, Daerah Kinta 48,395 SS LH 07/01/2003 08/01/2110 9

21 Lot PT 10158, Taman Saujana, Batu Gajah, Mukim Sungai Terap, Daerah Kinta 30,887 SS LH 09/05/2003 26/01/2098 8

22 Lot 191515, Jalan Kuala Kangsar, Mukim Kinta, Ipoh 16,523 SS LH 12/05/2003 11/05/2102 7

23 Lot PT 15613, Mukim Terap, Daerah Kinta 41,499 SS FH 31/12/2002 – 8

24 Lot PT 187383, Jalan Bercham-Tanjung Rambutan, Mukim Hulu Kinta, Daerah Kinta 34,016 SS FH 07/12/2004 – 6

25 Lot PT 3491, Kampung Kedah, Mukim Parit Buntar, Daerah Kerian 43,588 SS FH 18/10/2004 – 5

26 Lot PT 15978 HSD 131903, Mukim Sungai Raya, Kinta 65,393 SS LH 28/04/2004 27/04/2013 6

27 Lot PT 191532, Taman Pengkalan Utama, Mukim Hulu Kinta, Daerah Kinta 65,415 SS LH 10/01/2004 18/06/2102 5

28 Lot PT 3137, Mukim Sungai Raya, Daerah Kinta, Jalan Ipoh-Kampar, Gopeng 94,144 SS LH 07/02/2005 30/03/2096 6

29 Lot 3553, Simpang Lima, Mukim Parit Buntar, Daerah Kerian 45,090 SS FH 11/03/2005 – 5

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

30 Lot 115478 & 131710, Tanjung Rambutan, Hulu Kinta 14,000 SS LH 11/06/2004 27/12/2052

28/11/2054

16

31 Lot 126025, Taman Bandar Baru Kampar, Mukim Kampar, Daerah Kinta 45,230 SS LH 20/10/2004 31/01/2083 7

32 Lot 8123 & 8124, Mukim Bota, Daerah Perak Tengah 47,124 SS LH 22/12/2004 07/04/2102 8

33 Lot 195487, Taman Rishah Hijau, Mukim Hulu Kinta, Daerah Kinta 29,999 SS LH 24/01/2005 15/01/2103 5

34 Lot 497, Paya Panjang, Mukim Kampung Buaya, Daerah Kuala Kangsar 54,788 SS FH 18/05/2006 – 4

35 Lot PT 4556, Suak Sidonan, Lebuhraya Ipoh-Lumut, Mukim Bota,

Daerah Perak Tengah

43,562 SS FH 21/11/2006 – 5

36 Lot 7338, Sungei Nibong, Mukim Durian Sebatang, Daerah Hilir Perak 72,418 SS FH 05/04/2007 – 6

37 Lot 4553, Mukim Ulu Bernam Timur, Bandar Baru Behrang, Daerah Tanjung Malim 72,527 SS FH 07/08/1985 – 4

38 Lot 9930, Jalan Kuala Kangsar, Hulu Kinta 43,560 SS FH 22/10/2007 – 3

39 Lot 9410, Mukim Bidor, Jalan Tapah 13,315 SS LH 22/11/2002 21/04/2045 23

40 Lot PT 10446/10448/10449/10450/10451, Mukim Lumut, Daerah Manjung 1,479,682 BD LH 01/04/2007 09/07/2105 3

41 Lot 199369, Mukim Hulu Kinta, Jalan Ipoh-Jelapang 39,185 SS LH 01/04/2007 31/03/2103 4

42 Lot PT 204047 HS(D) 141862, Jln Jelapang-Chemor, (South Bound / Ipoh Bound),

Bandar Meru Raya (Site 2), Ipoh

54,715 SS FH 30/05/2008 – –

43 Part of Lot 303545, Sunway City, Tambun, Mukim Hulu Kinta, District of Kinta 39,600 SS LH 01/04/2008 27/10/2097 3

44 Part of Lot 194522, Bandar Baru Bercham, Mukim Hulu Kinta, Daerah Kinta, Ipoh 44,724 SS LH 06/11/2008 11/06/2107 2

45 Part of Lot 13157 GRN 27603, Universiti Teknologi PETRONAS (UTP), Ipoh-Lumut

Highway (Ipoh Bound), Mukim of Bota, District of Perak Tengah

65,340 SS LH 12/10/2006 11/10/2036 3

46 Lot 312358 Mukim Sungai Raya, Daerah Kinta, Perak. 43,560 SS FH 22/01/2010 – –

47 Lot 1317 GRN12990 Mukim Batang Padang, Perak. 43,560 SS FH 01/03/2010 – –

K SELANGOR DARUL EHSAN

1 Lot PT 3164, Mukim & Daerah Petaling 17,702 SS LH 30/11/1989 18/11/2087 17

2 Lot 1891, Mukim Sungai Buloh, Daerah Petaling 15,314 SS LH 31/03/1987 20/03/2011 29


List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)



6 Lot PT Utama, Lot PT 1985 (Plot 749), Mukim Batu, Daerah Gombak 13,606 SS LH 31/08/1990 06/12/2076 17

7 Lot PT 45, Seksyen 15, Bandar Shah Alam, Daerah Petaling 61,946 SS LH 31/01/1990 12/01/2086 20

8 Lot PT 119, Seksyen 1, Mukim Damansara, Daerah Petaling 16,731 SS LH 31/03/1990 02/12/2019 18

9 Lot PT 435, Seksyen 6, Bandar Shah Alam, Daerah Petaling 26,275 SS LH 31/07/1992 05/02/2018 26

10 Lot PT No. 476 & 484, Mukim Ampang, Daerah Ulu Langat 9,600 SS LH 31/01/1991 30/07/2074 19

11 Lot PT 22521, Mukim Kajang, Daerah Ulu Langat 26,144 SS LH 31/01/1992 09/05/2021 17

12 Lot PT 318, Mukim Ampang, Daerah Gombak 11,400 SS LH 31/07/1988 21/01/2073 23

13 Lot PT 436, Mukim Batu, Daerah Kuala Langat 9,320 SS LH 27/05/1984 22/11/2014 24

14 Lot PT 31182, Mukim & Daerah Klang 17,058 SS LH 31/03/1991 17/09/2050 18

15 Lot PT 9995, Mukim & Daerah Klang 43,560 SS LH 31/03/1988 20/03/2015 24

16 Lot PT 669, Mukim Ampang Pechah, Daerah Hulu Selangor 14,850 SS LH 27/05/1985 30/09/2015 26

17 Lot PT 5162, Mukim Setapak, Daerah Gombak 18,209 SS LH 31/01/1991 12/02/2067 17

18 Lot 1859, Mukim Ampang, Daerah Hulu Langat 20,192 SS LH 31/03/1987 25/09/2011 25

19 Lot PT 27361 & Lot No. 15 & 16, Seksyen 5, Pekan Ampang 18,700 SS LH 30/09/1992 03/01/2090 15

20 Lot PT No. 29071 & 29072, Mukim Batu, Daerah Gombak 51,646 SS LH 30/09/1992 16/10/2091 14

21 Lot PT 2059, Mukim Serendah, Daerah Hulu Selangor 34,092 SS LH 30/09/1992 21/11/2090 15

22 Lot PT 1466 (Lot 7380) & Lot PT 1467 (Lot 7381), Mukim Damansara, Daerah Petaling 24,038 SS FH 31/03/1987 – 28

23 Lot PT 3585, Mukim Kapar, Daerah Klang 10,417 SS FH 30/09/1992 – 22

24 Lot PT 2781, Mukim Damansara, Daerah Petaling 16,687 SS FH 31/01/1990 – 19

25 Lot PT 11854, Mukim & Daerah Klang 12,985 SS FH 30/09/1990 – 18

26 Sebahagian dari Lot 2883, Mukim Tanjung Duabelas, Daerah Kuala Langat 20,000 SS FH 31/01/1991 – 19

27 Lot PT 12842, Mukim Kajang, Daerah Hulu Langat 26,639 SS FH 30/11/1989 – 27

28 Lot 44, 45 & 46, Seksyen 25, Bandaraya & Daerah Klang 28,670 SS FH 31/07/1991 – 17

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)


30 Lot 136-140, Kampung Salak, Daerah Sepang 10,145 SS FH 30/09/1990 – 20

31 L.O. 15, Seksyen 6, Bandar Petaling, Daerah Kuala Lumpur 17,160 SS LH 30/11/1989 12/11/2062 11


33 Lot PT 28938, Mukim Ampang, Daerah Hulu Langat 19,533 SS LH 30/09/1992 27/04/2092 15

34 Lot PT 32008, Mukim Batu, Daerah Gombak 27,695 SS LH 30/09/1992 20/07/2073 15



37 Sebahagian dari Lot PT 10295, Mukim Rawang, Daerah Gombak 18,310 SS LH 31/03/1990 13/07/2024 6

38 Lot PT 9260, Mukim Damansara, Daerah Petaling 15,000 SS LH 31/01/1992 02/07/2051 20


40 Lot PT 43361 (Lot Pertama), Mukim & Daerah Klang 23,000 SS FH 30/09/1992 – –

41 Lot PT 43362 (Lot ke-2), Mukim & Daerah Klang 23,000 SS FH 30/09/1992 – –

42 Lot PT 5052 HS(D) 44113, Seksyen 28, Bandar Shah Alam 25,950 SS FH 30/04/1993 – 10

43 Lot PT No. 739 & 740, Mukim Serendah, Daerah Hulu Selangor 25,693 SS FH 31/01/1992 – 10

44 Lot PT 16292, HS(D) 27931, Mukim Cheras, Daerah Kuala Langat 19,361 SS FH 10/10/1997 – 11

45 Lot 4042 HS(M) 5694, Mukim Tanjung Duabelas, Daerah Kuala Langat 21,790 SS LH 01/12/1997 26/09/2087 11

46 Lot PT 32710 HS(M) 32875, Mukim Ampang, Daerah Hulu Langat 31,720 SS LH 28/08/1998 02/08/2094 11

47 Lot PT 63, Mukim Damansara, Daerah Petaling 78,410 TCSS FH 27/10/1985 – 16

48 Lot PT 1442, Mukim Dengkil, Daerah Putrajaya 40,935 SS FH 01/11/1999 – 11






List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)


55 Lot 1253, Mukim Rawang, Daerah Gombak 30,492 SS FH 29/02/1992 – 11


57 Lot PT 13173, Mukim & Daerah Petaling 23,207 SS FH 30/09/1992 – 8

58 Lot 219, Mukim Cheras, Daerah Hulu Langat 51,009 SS FH 30/06/1991 – 9


60 No. 204 Seksyen 25, Mukim & Daerah Klang 48,007 SS FH 28/08/1998 – 11

61 Lot 5006, Mukim Dengkil, Daerah Sepang 4,808,672 KVDT FH 31/07/1997 – 14

62 Lot PT 11887, Mukim Rawang, Daerah Gombak 48,394 SS LH 22/03/2000 09/02/2094 9

63 Lot PT 37331, Seksyen 5, Bandar Kinrara, Daerah Petaling 22,387 SS FH 07/01/2003 – 9

64 Lot PT 70, Pekan Bukit Kemuning, Mukim & Daerah Klang 52,226 SS FH 30/10/2003 – 5

65 Lot 52548, 52549 & 52550, Jalan Batu Tiga-Puchong,

Mukim Damansara, Daerah Petaling

71,548 SS LH 22/04/2003 03/08/2068 8

66 Lot PT 27423, Taman Dato Ahmad Razali, Jalan Kolam Air Lama,

Ampang, Daerah Hulu Langat

161,222 SS LH 26/05/2003 02/06/2090 6

67 Lot PT 35256, Bandar Baru Selayang, Mukim Batu, Daerah Gombak 38,613 SS LH 03/08/2001 02/08/2100 8

68 Lot PT 10702, Puncak Alam, Mukim Ijok, Kuala Selangor 56,649 SS LH 07/04/2004 06/04/2103 5

69 Lot PT 10659, Puncak Alam, Mukim Ijok, Kuala Selangor 43,576 SS LH 18/09/2003 17/09/2102 8

70 Lot PT 7741, Batu 9, Mukim Teluk Panglima Garang, Kuala Langat 37,246 SS LH 25/08/2003 13/08/2101 9

71 Lot PT 3429 HS(D) 17325, Mukim Hulu Klang, Daerah Gombak, Bukit Antarabangsa 66,958 SS FH 30/01/2004 – 8

72 Lot PT 25433, Bandar Tun Hussein Onn, Mukim Cheras, Daerah Hulu Langat 18,478 SS FH 23/05/2003 – 7

73 Lot PT 30965 HS(D) 69867, Bandar Baru Damai Perdana, Cheras 43,577 SS FH 25/11/2002 – 7

74 Lot PT 1545 HS(D) 43089, Kepong Industrial Park, Daerah Gombak 24,002 SS FH 04/06/2003 – 7

75 Lot PT 44579,Mutiara Damansara, Mukim Sungai Buloh, Daerah Petaling 56,940 SS FH 15/01/2004 – 7

76 Lot PT 1161, Pekan Puchong, Daerah Petaling 33,573 SS FH 14/04/2003 – 7

77 Lot PT 6273, Taman Meranti Jaya, Mukim Dengkil, Daerah Sepang 70,185 SS FH 23/12/2004 – 6

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

78 Lot PT 30147, Bukit Jelutong, Mukim Damansara, Daerah Petaling 33,951 SS FH 16/09/2004 – 5

79 Lot 83230, Bandar Bukit Tinggi, Klang 43,559 SS FH 08/05/2003 – 9

80 Lot 75237A, Bandar Bukit Tinggi, Klang 43,602 SS FH 24/07/2002 – 7

81 Lot PT 39138, Bandar Seri Putera, Bangi, Mukim Kajang, Daerah Hulu Langat 54,153 SS FH 12/07/2005 – 5

82 Lot 14387 HS(M) 6834, LDP Sungai Penaga, Mukim Damansara, Daerah Petaling 35,715 SS FH 12/09/2005 – 3

83 Lot PT 25 HS(M) 2948, Mukim Hujung Permatang Sungai Gawar,

Daerah Kuala Selangor

43,562 SS FH 06/04/2004 – 6

84 Lot 58764 HM 339, Kampung Bharu Serdang, Mukim Petaling, Seri Kembangan 38,395 SS FH 23/07/2004 – 9

85 Lot PT 1536, Jalan Semenyih, Mukim Semenyih, Daerah Hulu Langat 72,789 SS FH 23/01/2006 – 2

86 Lot PT 52587, Taman Prima Saujana, Mukim Kajang, Daerah Hulu Langat 43,621 SS FH 23/01/2006 – 5

87 Lot PT 52322, Taman Prima Saujana, Mukim Kajang, Daerah Hulu Langat 42,700 SS FH 23/01/2006 – 5

88 Lot PT 29771, Fasa A1 Cyberjaya, Mukim Dengkil, Daerah Sepang 65,498 SS FH 28/12/2005 – 6

89 Lot PT 11509 HS(D) 57278, Bukit Subang, Mukim Bukit Raja, Daerah Petaling 47,663 SS FH 16/07/2004 – 5

90 Lot PT 1278, NKVE Arah Damansara, Mukim Pekan Cempaka, Petaling 92,397 SS FH 01/01/2005 – 6

91 Lot PT 621, Taman Desa Mentari, Mukim Damansara, Daerah Petaling 45,004 SS LH 26/12/2003 11/04/2101 9

92 Lot PT 50147 Site A, Jalan Pekeliling Section 15, Bandar Baru Bangi 43,961 SS LH 03/05/2004 25/04/2102 7

93 Lot PT 2661 HS(D) 3142, Sungai Buloh Country Resort, Ijok, Kuala Selangor 35,596 SS LH 15/04/2004 24/03/2095 5

94 Lot 37310-37311, Subang Bestari, Jalan Subang-Sungai Buloh,

Mukim Sungai Buloh, Daerah Petaling

45,445 SS LH 29/06/2005 01/12/2095 5

95 Lot PT 166 Section 15, KM 12.3 Federal Highway (Klang Bound), Shah Alam 54,939 SS LH 31/01/2005 18/04/2103 2

96 Lot PT 1560 HS(D) 54927, Taman Bersatu, Bandar Kundang, Daerah Gombak 50,117 SS LH 27/10/2005 26/04/2104 6

97 Lot PT 1, Seksyen 33(51A), Jalan 222, Petaling Jaya 22,000 SS LH 20/07/2005 19/07/2104 22

98 Lot PT 111, Seksyen 40, Mukim Damansara, Daerah Petaling 43,551 SS LH 15/03/2005 28/09/2103 6

99 Lot PT 40846, Taman Sungai Kapar, Mukim Kapar, Daerah Klang 43,562 SS FH 30/10/2003 – 8

100 Lot PT 49946, USJ 20, Mukim Damansara, Daerah Petaling 68,133 SS FH 31/03/2005 – 6

101 Lot 19146, Jalan Haji Sirat, Mukim Kapar, Daerah Klang 23,207 SS FH 20/03/2006 – 5

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

102 Lot PT 36061, Pekan Penaga, Taman Subang Mewah, Mukim Petaling 66,058 SS LH 21/04/2006 24/01/2104 5

103 Lot PT 41658, Taman Putra Budiman, Mukim Kajang, Daerah Hulu Langat 61,780 SS LH 14/04/2006 22/09/2098 4

104 Lot 64241, Puchong Jaya, Pekan Kinrara, Mukim & Daerah Petaling 54,422 SS FH 20/03/2006 – 7

105 Lot PT 4054, Pekan Kinrara, Daerah Petaling 44,625 SS FH 18/09/2006 – 5

106 Lot 81504, Taman Equine Park, Mukim & Daerah Petaling 62,689 SS LH 24/07/2006 18/09/2093 8

107 Lot PT 52814, Taman Saujana Puchong, Daerah Petaling 33,541 SS LH 30/06/2006 29/09/2103 6

108 Lot 2883, Mukim Kelanang, Daerah Kuala Langat 87,664 SS FH 25/01/2006 – 19

109 Lot PT 34453, Putra Heights, Subang Jaya, Mukim Damansara, Daerah Petaling 43,562 SS FH 16/10/2006 – 3

110 Lot PT 60940, Batu 17, Jalan Reko, Mukim & Daerah Kajang 51,224 SS FH 18/01/2007 – 4

111 Lot PT 1423, Jalan PJU 1A/20, Ara Damansara 35,327 SS FH 18/04/2007 – 7

112 Lot PT 3612, Putra Heights, Mukim Damansara, Daerah Petaling 42,874 SS FH 29/09/2006 – 4

113 Lot PT 38265, Seksyen 1, Bandar Cheras, Daerah Hulu Langat 38,147 SS FH 04/11/2003 – 8

114 Lot 12099, Phase 1A, Cyberjaya 60,676 SS FH 14/02/2005 – 7

115 Lot PT 1897, Lebuhraya Damansara-Puchong, Puchong Perdana, Daerah Petaling 34,735 SS FH 02/06/2007 – 4

116 Lot PT 119929, Jalan Sungai Jati, Klang 45,994 SS FH 02/06/2007 – 4

117 Lot PT 8561, Mukim Serendah, Hulu Selangor 66,505 SS FH 25/07/2007 – 4

118 Lot 37993, Bandar Utama, Batang Kali 26,938 SS FH 16/10/2003 – 8

119 Lot 20, Geran 31322, Taman Pendamar Indah, Klang 46,252 SS FH 30/11/2002 – 10

120 Lot 5471 & 5473, Bandar Puteri, Puchong 31,313 SS FH 30/07/2007 – 2

121 Lot PT 33121, Bandar Mahkota, Cheras 32,787 SS FH 03/10/2007 – 3

122 Lot 911 GM222, Batu 7 1/2, MRR2, Mukim Hulu Klang, Daerah Gombak 26,180 SS FH 10/12/2007 – 4

123 Lot PT 8266, Mukim Batu, Gombak 50,051 SS FH 01/04/2007 – 4

124 Lot PT 49054, Bandar Putra Permai, Serdang 65,340 SS LH 05/08/2005 27/05/2098 6

125 Lot PT 445, Seksyen 13, Bandar Shah Alam 43,560 SS LH 27/04/2007 25/08/2098 4

126 Lot 14588 HS(M) 12926, Taman Lagenda Emas, Mukim Tanjung Duabelas,

Kuala Langat

38,632 SS LH 23/01/2007 26/09/2087 6

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

127 Lot 55687, Jalan Persiaran Kemajuan, Seksyen 9, Bandar Baru Bangi 43,560 SS LH 20/04/2007 08/03/2103 4

128 Lot 4756 & 1090 3/4, MRR2, Sunway Batu Caves 77,537 SS LH 17/11/2006 27/11/2104 5

129 Lot PT 5533, Bandar Baru Rawang, Rawang 42,700 SS LH 01/12/2004 21/01/2102 7

130 Lot PT 60226 (HS(D) 201977), Bandar Puncak Jalil, Mukim Petaling 43,559 SS LH 06/08/2007 09/06/2103 4

131 Seksyen 2, Persiaran Surian, Kota Damansara, Mukim Sungai Buloh, Daerah Petaling 85,208 SS LH 20/07/2004 22/10/2030 7

132 Lot 115, Persiaran Jubli Perak, Seksyen 18, Shah Alam 43,560 SS LH 01/04/2007 31/03/2106 2

133 Lot PT 21(HS(D) 4976), Desa Pahlawan, Ampang 40,275 SS LH 01/04/2007 02/06/2079 4

134 Lot PT 6642, Jalan Sungai Tua, Mukim Batu, Bandar Selayang, Daerah Gombak 50,827 SS LH 01/04/2007 08/07/2096 4

135 Lot PT 9684, Seksyen 4, Kota Damansara, Pekan Baru, Sungai Buloh, Daerah Petaling 49,040 SS LH 01/04/2007 18/07/2105 4

136 Lot PT 1845, Bandar Baru Salak Tinggi, Sepang 43,560 SS LH 01/04/2007 11/12/2105 4

137 Lot 5912, Persiaran Raja Muda Musa, Klang 36,000 SS FH 31/01/1992 – 10

138 Lot PT 26796 HS(D) 107602 Pelangi Semenyih, Mukim Semenyih, Daerah Hulu Langat 56,737 SS FH 09/07/2008 – 1

139 Part of Lot 14369 HS(D) 80056, Mukim Damansara, Persiaran Jubli Perak, Seksyen 22,

Shah Alam, Daerah Petaling

43,323 SS FH 09/07/2008 – 1

140 Lot 26868 GM 7090, Kuang, Mukim Rawang, Gombak 36,934 SS FH 11/02/2009 – 2

141 PT 47809 HS(D) 125479 (Plot 2), Bandar (Jalan) Sungai Long (Taman Rakan),

Mukim Cheras, Hulu Langat

68,826 SS LH 31/07/2008 04/02/2106 1

142 Lot 48733 PN 16865, Mukim & Daerah Petaling (LDP-Puchong Gateway) 63,368 SS LH 30/04/2008 27/05/2097 3

143 Part of Lot PT 20188 HS(M) 12810, Air Hitam-Puchong, Mukim Dengkil,

Daerah Sepang (SKVE (KVDT))

57,717 SS LH 08/08/2008 16/04/2102 2

144 Lot 15752 HS(D) 116191, Jalan Nirwana, Taman Dagang, Mukim Ampang 53,143 SS LH 11/11/2008 12/11/2088 2

145 Lot 12936 PT 2279, HS(M) 4559, Mukim Panchang Bedena, Sungai Besar 27,200 SS LH 29/09/2008 31/12/2013 20

146 Lot 32650, Jalan Langat, Mukim Kapar, Daerah Klang 51,247 SS FH 31/03/1991 – 10

147 Lot PT 33121 HS(D) 89115, Bandar Mahkota Cheras, Daerah Hulu Langat 32,787 SS FH 26/10/2007 – 3

148 Part of Lot 33429,(33428 GRN 41170), Pekan Baru Sungai Buloh,

Jalan Bukit Rahman Putra, Sungai Buloh, Daerah Petaling

73,797 SS FH 15/01/2008 – 3

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

149 PT 4 HS(D) 136186, Bandar Glenmarie, Section AU1/A, Shah Alam 33,977 SS FH 03/03/2003 – 7

150 Lot PT 16000 HS(D) 213081, Bandar Setia Alam, Mukim Bukit Raja, Daerah Petaling 43,560 SS FH 26/01/2007 – 3

151 Lot PT 110321 HS(D) 102654, Kota Bayu Emas, Mukim & Daerah Klang 42,123 SS FH 30/11/2006 – 3

152 Lot 27657, Taman Cempaka, Batu 5 Kampung Pandan, Mukim Ampang 20,192 SS LH 01/02/2008 25/09/2011 26

153 PT 95256 HS(M) 36396, Taman Sri Andalas, Jalan Banting, Mukim & Daerah Klang 28,000 SS LH 01/04/2007 22/04/2037 11

154 Lot PT 4 HS(M) 10792, Mukim Panchang Bedena, Sungai Haji Daroni, Sabak Bernam 169,015 SS FH 10/02/2009 – 1

155 Lot PT 61591(HS(D) 109493),Seksyen 7, Bandar Baru Bangi, Daerah Hulu Langat 45,338 SS LH 29/05/2009 25/09/2104 1

156 Part of Lot 32301, KM 11 Jalan Klang Lama, Mukim Petaling 22,519 SS LH 07/07/2009 04/03/2085 1

157 Lot PT 5470 HS(D) 239497, Mukim Petaling, Pekan Kinrara 52,297 SS FH 25/03/2010 – –

L WILAYAH PERSEKUTUAN

1 Lot 44489 (PT 3), Mukim Kuala Lumpur, Daerah Wilayah Persekutuan 21,780 SS LH 31/03/1991 08/08/2073 18

2 Lot PT 9614, Mukim Batu, Daerah Wilayah Persekutuan 17,773 SS LH 31/01/1991 22/07/2072 18

3 Lot No. 29395 & 29396, Mukim Kuala Lumpur, Daerah Wilayah Persekutuan 32,081 SS LH 31/03/1987 21/01/2011 29

4 Lot 6209, Mukim Batu, Daerah Wilayah Persekutuan 23,250 SS LH 31/05/1990 17/11/2043 26

5 Lot PT 39732, Mukim Kuala Lumpur, Daerah Wilayah Persekutuan 22,853 SS LH 27/06/1984 10/02/2077 24

6 Lot 48523 (PT No. 7489), Mukim Batu, Daerah Wilayah Persekutuan 36,210 SS LH 27/01/1987 24/06/2017 22

7 Lot 136, Seksyen 90, Bandaraya Kuala Lumpur 10,753 SS LH 27/01/1985 04/05/2047 24

8 Lot 12134, Mukim Batu, Daerah Wilayah Persekutuan 30,837 SS LH 31/01/1992 28/06/2066 18

9 Lot PT 2956, Mukim Kuala Lumpur, Daerah Wilayah Persekutuan 27,341 SS FH 30/11/1989 – 21

10 Lot 48653, Mukim Kuala Lumpur, Daerah Wilayah Persekutuan 23,714 SS FH 30/11/1989 – 19

11 Lot 20272, Mukim Setapak, Daerah Wilayah Persekutuan 25,529 SS FH 31/01/1988 – 20

12 Lot 232, Seksyen 96, (PT No. 232 & 233), Bandaraya Kuala Lumpur 17,212 SS FH 30/09/1991 – 18

13 Lot PT 3644, Mukim Setapak, Daerah Wilayah Persekutuan 31,300 SS FH 31/07/1991 – 28

14 Lot 16794, Mukim Batu, Daerah Wilayah Persekutuan 16,351 SS FH 31/12/1987 – 20

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

15 Lot 59, Seksyen 88, Bandaraya Kuala Lumpur 19,785 SS FH 31/03/1987 – 27

16 Lot No. 4295 & 4310, Mukim Ampang, Bandaraya Kuala Lumpur 12,626 SS FH 31/03/1987 – 24

17 Lot 2343 (Lot 1653), Seksyen 41, Bandaraya Kuala Lumpur 13,638 SS FH 31/05/1988 – 21

18 Lot No. 545-552, Seksyen 55, Bandaraya Kuala Lumpur 9,741 SS FH 31/08/1990 – 19

19 Lot PT 2381, Mukim Setapak, Daerah Wilayah Persekutuan 21,052 SS LH 30/09/1991 20/09/2086 13

20 Lot 353, Seksyen 91A, Bandaraya Kuala Lumpur 13,164 SS LH 31/05/1990 11/01/2043 13

21 Lot 9524, Mukim Batu, Daerah Wilayah Persekutuan 32,343 SS FH 30/09/1992 – 13

22 Lot PT 737, Mukim Petaling, Daerah Wilayah Persekutuan 32,947 SS LH 30/11/1989 17/08/2085 20

23 Sebahagian dari Lot PT 899, Mukim Petaling, Daerah Wilayah Persekutuan 27,439 SS LH 31/07/1991 19/08/2084 9

24 Lot PT 17082, Mukim Batu, Daerah Wilayah Persekutuan 26,530 SS LH 30/09/1992 11/01/2087 15

25 Lot PT 2686, Mukim Setapak, Daerah Wilayah Persekutuan 17,912 SS LH 30/09/1992 10/11/2089 18

26 Lot 25, Seksyen 87, Bandaraya Kuala Lumpur 20,010 SS FH 30/09/1990 – 3

27 Lot 788, Mukim Setapak, Daerah Wilayah Persekutuan 35,166 SS FH 30/09/1991 – –

28 Lot 836, Precint 9, Wilayah Persekutuan Putrajaya 43,154 SS FH 12/06/2003 – 8



31 Lot PT 7667, Taman Setiawangsa, Setapak 63,140 SS FH 24/07/2003 – 8

32 Lot PT 62368 & PT 61957, Mukim Petaling, Wilayah Persekutuan Kuala Lumpur 43,560 SS FH 31/12/2002 – 8

33 Lot 25067, Taman Melati, Mukim Setapak, Kuala Lumpur 19,182 SS FH 07/01/2003 – 4

34 Lot 20721, Wangsa Melawati, Mukim Setapak 28,933 SS FH 06/11/2003 – 19

35 Lot PT 6490, Bandar Sri Permaisuri, Kuala Lumpur 23,519 SS LH 29/06/2006 01/01/2102 7

36 Lot 17292 (HS(D) 101581), MRR2, Sempadan Batu Caves, Kepong 43,551 SS LH 02/12/2004 07/05/2032 7

37 Lot PT 22009, Batu 4 1/2, Jalan Kepong, Mukim Batu, Daerah Wilayah Persekutuan 20,473 SS LH 15/07/2005 24/01/2053 19

38 Lot 2381, Taman Setapak Indah 21,052 SS LH 31/05/1995 30/04/2094 13

39 Lot 25 Geran 30227, Seksyen 87, Jalan Tun Razak, Kuala Lumpur 20,010 SS FH 01/04/2007 – 3

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

40 Lot 55602 & 55603, Mukim Batu, Taman Wilayah Selayang, Kuala Lumpur 28,384 SS LH 29/04/2009 25/03/2080 2

41 Plot B MRR2 (Kepong Bound), Mukim Batu, Kuala Lumpur 43,560 SS LH 11/06/2009 10/06/2039 1

42 Lot PT 12850 HS(D) 8220, Presint 18, Bandar Putrajaya, Putrajaya 26,695 SS LH 12/05/2009 22/07/2103 –

43 Lot PT 522 HS(D) 37656 & Lot PT 2955, HS(D) 64340, Bandar Tun Razak,

Mukim Petaling, Kuala Lumpur

169,884 SS LH 18/10/2009 17/10/2069 2

M SABAH AND WILAYAH PERSEKUTUAN LABUAN

1 Lot CL 175310595 (Lot 136), Daerah Beaufort 24,750 SS LH 27/09/1983 31/12/2901 23

2 Lot CL 025331631, Jalan Papar-Kimanis, Daerah Papar 24,750 SS LH 30/09/1992 10/09/2913 17

3 Lot CL 015414490, Jalan Reservoir, Daerah Kota Kinabalu 18,280 SS LH 31/05/1990 31/12/2012 26

4 Lot CL 10542613, Lot CL 10542622 & Lot CL 105542631, Daerah Tawau 22,450 SS LH 31/03/1991 17/01/2914 17

5 Lot CL 28409 & Lot CL 284410, Jalan Mat Salleh, Daerah Kota Kinabalu 21,344 SS LH 27/11/1983 04/05/2913 24

6 Lot CL 075326082, Jalan Utara, Daerah Sandakan 14,750 SS LH 31/03/1987 09/07/2887 28

7 Lot CL 105316630, Daerah Tawau 23,820 SS LH 31/03/1992 20/06/2055 17

8 Lot TL 057504688, Pekan Kudat, Daerah Kudat 28,300 SS LH 30/04/1993 31/12/2009 15

9 Lot CL 10546680 (CL 105311500), KM 7, Jalan Apas, Daerah Tawau 21,780 SS LH 30/04/1993 23/02/2025 14

10 Lot CL 105139580 (Lot 1), Jalan Kuhara, Daerah Tawau 19,249 SS LH 29/02/1992 30/10/2055 15

11 Lot CL 1153799989, Jalan Silam, Daerah Lahad Datu 21,279 SS LH 30/09/1994 31/12/2069 7

12 Lot CL 165005569, Daerah Tenom 12,000 SS LH 27/09/1985 30/12/2014 7

13 Lot CL 075203413, Jalan Labuk, Daerah Sandakan 20,000 SS LH 31/08/1993 01/07/2882 4

14 Lot CL 025337722, Kampung Kinarut, Daerah Papar 39,639 SS LH 31/08/1993 31/12/2084 10

15 Lot TL 247501177, Daerah Kunak 13,930 SS LH 23/04/1998 31/12/2088 12

16 Lot CL 156466699, KM 7, Jalan Apas, Daerah Tawau 79,598 SS LH 19/03/1998 23/02/2925 15

17 Lot CL 105430868, Lot 82100054, Tanjong Batu, Daerah Tawau 435,600 BD LH 31/05/1990 31/12/2042 14

18 Lot RSP No. 90019022, Sepangar Bay, Kota Kinabalu 522,720 BD LH 31/08/1992 28/12/2045 17

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

19 Lot CL 207901933, Tanjong Kubong, Labuan 23,096 SS FH 30/04/1993 – 15

20 Lot CL 015580186, Jalan Luyang, Daerah Kota Kinabalu 8,503 SS LH 23/12/2002 31/12/2906 18

21 Lot CL 015500893, Likas, Daerah Kota Kinabalu 30,158 SS LH 23/12/2002 23/12/2083 20

22 Lot CL 01578533, Jalan Inanam, Daerah Kota Kinabalu 20,575 SS LH 23/12/2002 14/05/2076 25

23 Lot CL 015474012, Penampang, Daerah Kota Kinabalu 28,353 SS LH 31/03/2003 31/12/2076 23

24 Lot CL 215386851, Daerah Penampang, Kampung Nosoob 27,007 SS LH 23/12/2002 08/12/2062 20

25 Lot TL 077544186, KM 6, Jalan Batu Sapi, Karamunting, Sandakan 85,813 SS LH 21/10/2003 14/11/2883 6

26 Lot CG 2205005894, KM 6.5, Jalan Pohon Batu, Wilayah Persekutuan Labuan 58,125 SS LH 23/11/2004 21/07/3002 3

27 Lot CL 045310334, Batu 16, Jalan Tuaran, Kampung Bakud 51,836 SS LH 10/02/2006 31/12/2068 4

28 Lot NT 4689, KM 8, Jalan Penampang, Penampang 49,223 SS FH 23/12/2002 – 9

29 Lot NT 213191872, Jalan Lintas Kepayan, Kota Kinabalu 43,560 SS LH 10/01/2004 31/12/2099 8

30 Lot 551 (CL 015495431), Menggatal North New Township, Jalan Tuaran, Kota Kinabalu 85,037 SS LH 03/08/2005 31/12/2085 6

31 Lot NT 043173244, Jalan Berunggis, Kota Belud 66,646 SS LH 03/01/2007 02/01/2106 5

32 Lot 2, KM 5, Jalan Kota Belud, Kota Kinabalu 26,789 SS LH 01/04/2007 31/12/2100 –

33 KM 9.5, Jalan Penampang-Papar, Kampung Makanibong, Donggongon 20,038 SS LH 31/03/1987 30/03/2081 18

34 Lot TL 067500172, Jalan Tenompok, Ranau 15,059 SS LH 31/07/1993 30/07/2020 6

35 Lot TL 087500230, Pekan Beluran 16,700 SS LH 31/07/1993 30/07/2023 17

36 Lot TL 207527044 (LA 2020097), Jalan Saguking, Labuan 30,494 SS LH 01/03/2011 31/12/2041 25

37 Lot TL 147501764 , Kota Marudu 21,680 SS LH 01/03/2011 31/12/2041 25

38 Lot TL 227500816, Tambunan 24,690 SS LH 01/03/2011 31/12/2041 25

N SARAWAK

1 Lot 5185, Seksyen 64, Daerah Bandar Kuching 21,388 SS LH 31/03/1990 23/09/2048 19

2 Lot 1392, Blok 11, Daerah Muara Tebas 12,325 SS LH 31/03/1987 31/12/2069 15


List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

4 Lot 721, Blok 31, Daerah Kemena 46,392 SS LH 31/03/1987 11/03/2051 27


6 Lot 397, Blok 9, Daerah Konsesi Miri 63,733 SS LH 31/05/1990 18/01/2042 25

7 Lot 425, Blok 2, Daerah Sibu 15,069 SS LH 31/05/1990 31/01/2042 16

8 Lot 4772, Blok 16, Daerah Kuching Tengah 60,762 SS LH 27/12/1986 02/05/2050 28

9 Lot 402, Daerah Serian 11,270 SS LH 27/12/1985 26/12/2045 22


11 Lot 1804, Daerah Limbang 18,094 SS LH 31/03/1992 21/01/2052 15


13 Lot 2065, Blok 1, Daerah Lambir 38,179 SS LH 27/09/1985 07/12/2052 15

14 Lot 419, Blok 26, Daerah Kemena 22,432 SS LH 30/09/1994 14/08/2054 20

15 Lot 650, Blok 3, Daerah Sentah-Segu 18,546 SS LH 30/09/1992 27/05/2052 16


17 Sublot 131 & Lot 2400, Blok 4, Daerah Sungai Merah 23,034 SS LH 31/08/1995 13/10/2057 13

18 Lot 486, Blok 4, Daerah Bandar Sungai Merah 22,657 SS LH 24/05/1996 31/12/2019 13

19 Sublot 102, Blok 5, Daerah Sentah-Segu 22,012 SS LH 30/09/1994 16/02/2056 14

20 Lot 1144, Blok 6, Daerah Seduan 22,423 SS LH 30/09/1994 14/07/2053 12

21 Lot 251, Daerah Muara Tebas 35,198 SS LH 24/05/1996 28/11/2055 10

22 Lot 123, 124, 125 & 126, Daerah Bandar Seduan 301,004 BD LH 30/11/1989 20/05/2018 17

23 Lot 94, Blok 217, Daerah Batu Kawah 22,703 SS LH 30/06/2000 27/08/2058 9

24 Lot 121, Blok 217, Daerah Bukit Kisi 22,388 SS LH 30/06/2000 12/04/2056 9

25 Lot 1106, Blok 5, Kuala Baram Land District, Daerah Miri 36,867 SS FH 31/12/2002 – 7

26 Lot 1050, Blok 7, Jalan Bulan Sabit, Miri 79,639 SS LH 27/06/2002 13/12/2054 8

27 Lot 4003, Blok 14, Salak Land District, Kuching 73,076 SS LH 24/01/2007 08/12/2065 6

28 Lot 283, Blok 8, Kayan Land District, Bandar Mutiara, Tebedu 49,008 SS LH 14/03/2007 22/10/2056 5

List of Properties


Property

Land Area


Date of

Acquisition

Date of

Expiry

Approximate

Age of Building

(Years)

29 Lot 1143, Blok 1, Batu 13, Kuching 20,419 SS LH 22/12/2006 31/12/2034 6

30 Lot 2646, Jalan Tun Ahmad Zaidi, Bintulu 191,550 SS LH 08/10/2007 18/02/2057 4

31 Lot 1876, Jalan Pujut Lutong, Miri 43,319 SS LH 18/07/2007 17/07/2067 4

32 Lot 4152, Blok 19, Jalan Lanang Barat, Sibu 46,038 SS LH 22/01/2007 21/01/2067 18

33 Lot 9815, Seksyen 25, Jalan Tun Abdul Rahman Yaakub 68,232 SS LH 13/03/2007 12/12/2817 22

34 Lot 98, Blok 11, Jalan Stutong, Heights Drive, Muara Tebas, Kuching 49,126 SS LH 01/04/2007 31/12/2039 4

35 Lot 5055, Salak Land District 66,058 SS LH 07/03/2007 06/12/2037 5

36 Lot 2337 & Lot 2339, Seksyen 65, Jalan Matang, Kuching 35,904 SS LH 31/10/1995 30/10/2055 13

37 Plot 1, Part of Lot 2903, Block 6, Lawas Land District, Jalan Gaya Lawas 41,484 SS LH 31/03/2009 31/12/2028 1

O LAND FOR PIPELINE

1 Pipeline for multiple petroleum products of 130 km,

which consists of 28 km from Sungai Udang,

Melaka to Sungai Linggi, Negeri Sembilan,

62 km from Sungai Linggi to FELDA LPJ, Mukim Labu,

Negeri Sembilan, 36 km from FELDA LPJ,

Mukim Labu to KVDT, Sepang, Selangor, 3 km from KVDT,

Sepang to KLIA, Selangor and 1 km from Port Dickson Refi nery

to main pipeline.

36,603,280 MPP FH 26/08/1997

(Negeri

Sembilan

& Melaka)

08/03/1995

(Selangor)

– –

List of Properties

ABBREVIATION

DESCRIPTION

SS – Service Station

SH – Shophouse

BD – Bulk Depot

LPGSBP – LPG Storage & Bottling Plant

W – Warehouse

TCSS – Training Centre & Service Station

MPP – Multi Product Pipeline

KVDT – Klang Valley Distribution Terminal

TENURE

FH – Freehold

LH – Leasehold


Corporate Directory

Head Office




50088, Kuala Lumpur

Tel : 03-2051 5000

Fax : 03-2026 5505

Area Offices

Central Region

Level 12, Menara Dayabumi

Jalan Sultan Hishamuddin

P.O. Box 11946

50762, Kuala Lumpur

Tel : 03-2783 6000

Fax : 03-2260 1527

Offi cer in Charge :

M Ajmi Abdi

Northern Region

Lot No. 93

Prai Industrial Estate

13600, Prai, Pulau Pinang

Tel : 04-390 7291/7201

Fax : 04-399 0211

Manager in Charge :

Amirruddin Harun

Southern Region

1st & 2nd Floor

Bangunan PETRONAS

Bandar Baru UDA

Km 7, Jalan Skudai

81200, Johor Bahru, Johor

Tel : 07-233 6000

Fax : 07-233 6001

Manager in Charge :

Badruldin Isami Ibrahim

Western Region

Lot M1-2-17 & M1-2-18

Komplek Yayasan Belia

Sedunia (WYF Complex)

Lebuh Ayer Keroh

75450, Melaka

Tel : 06-232 6262

Fax : 06-232 6111

Manager in Charge :

Badruldin Isami Ibrahim

Eastern Region

A-39 & A-43, Jalan Haji Abdul Aziz

25000, Kuantan, Pahang

Tel : 09-513 7022//7099

Fax : 09-514 4040

Manager in Charge :

Mat Supian Saleh

Sarawak Region

3rd & 4th Floor

Wisma Naim

Lot 2679, Jalan Rock

93200, Kuching, Sarawak

Tel : 082-25 5200

Fax : 082-42 9958

Manager in Charge :

Ibrahim Ihsan

Sabah Region

Lot 7a01-7a13, Block A, Level 7

Karamunsing Complex

88300, Kota Kinabalu, Sabah

Tel : 088-525 777

Fax : 088-269 817

Manager in Charge :

Hamdan Man



Agenda

As Ordinary Business

1. To receive the Audited Financial Statements for the year ended

31 March 2011 together with the Reports of the Directors and

Auditors thereon. (Resolution 1)

2. To approve the payment of fi nal dividend of 35 sen per ordinary

share less income tax at 25% in respect of the year ended

31 March 2011. (Resolution 2)

3. To approve the payment of special dividend of 25 sen per

ordinary share less income tax at 25% in respect of the year

ended 31 March 2011. (Resolution 3)

4. To re-elect the following Directors pursuant to:-

(i) Article 93 of the Company’s Articles of Association:-

(a) Dato’ Kamaruddin bin Mohd Jamal

(ii) Article 96 of the Company’s Articles of Association:-

(a) Datuk Wan Zulkifl ee bin Wan Ariffi n

(b) Datuk Manharlal a/l Ratilal

(c) Juniwati bt Rahmat Hussin

(d) Mohammad Medan bin Abdullah

(Resolution 4)

(Resolution 5)

(Resolution 6)

(Resolution 7)

(Resolution 8)

NOTICE IS HEREBY GIVEN THAT the Twenty-Ninth Annual General Meeting of PETRONAS Dagangan Berhad

(the Company) will be held on Thursday, 28 July 2011 at 10.00 a.m. at the Sapphire Ballroom, Level 1, Mandarin

Oriental Kuala Lumpur, Kuala Lumpur City Centre, 50088 Kuala Lumpur for the following purposes, namely:

5. To approve the payment of Directors’ fees in respect of the year

ended 31 March 2011. (Resolution 9)

6. To re-appoint Messrs. KPMG Desa Megat & Co. as Auditors

of the Company and to authorise the Directors to fi x their

remuneration. (Resolution 10)

As Special Business

7. To consider and if thought fi t, to pass the following resolution in

accordance with Section 129(6) of the Companies Act, 1965:

“THAT, Dato’ Chew Kong Seng retiring pursuant to Section 129

of the Companies Act, 1965 be and is hereby re-appointed as a

Director of the Company and to hold offi ce until the conclusion

of the next Annual General Meeting.” (Resolution 11)

8. To transact any other business for which due notice has

been given.


Notice of Dividend Entitlement and Payment

NOTICE IS ALSO HEREBY GIVEN THAT subject to the approval of members at the Twenty-

Ninth Annual General Meeting to be held on 28 July 2011, a fi nal dividend of 35 sen per

ordinary share less income tax at 25% and a special dividend of 25 sen per ordinary share

less income tax at 25% will be paid on 23 August 2011 to shareholders whose names

appear in the Record of Depositors on 3 August 2011.

A depositor shall qualify for entitlement only in respect of:

(a) Shares transferred into the Depositor’s Securities Account before 4.00 p.m.

on 3 August 2011 in respect of ordinary transfers.

(b) Shares bought on the Bursa Malaysia on a cum entitlement basis according to the

Rules of Bursa Malaysia.

By Order of the Board

NUR ASHIKIN BINTI KHALID (LS 0008025)

YEAP KOK LEONG (MAICSA 0862549)

Company Secretaries

Kuala Lumpur

5 July 2011

Notes:

1. A member of the Company entitled to attend and vote at the meeting may appoint not more

than two (2) proxies to attend and vote on his behalf. Where a member appoints two (2) proxies,

he shall specify the proportion of his shareholding to be represented by each proxy. A proxy may

but need not be a member of the Company.

2. Where a member of the Company is an authorised nominee as defi ned under the Securities

Industry (Central Depositories) Act, 1991, it may appoint at least one (1) proxy but not more than

two (2) proxies in respect of each Securities account it holds with ordinary shares of the Company

standing to the credit of the said Securities accounts.

3. The instrument appointing a proxy shall be in writing under the hand of the appointer or his

attorney duly authorised in writing or if the appointer is a corporation either under seal or

under the hand of an offi cer or attorney duly authorised and must be deposited at the

Company’s Share Registrar, Symphony Share Registrars Sdn. Bhd., Level 6, Symphony House,

Pusat Dagangan Dana 1, Jalan PJU 1A/46, 47301 Petaling Jaya, Selangor, Malaysia, not less than

forty-eight (48) hours before the time fi xed for the meeting.

If this Proxy Form is signed under the hand of an offi cer duly authorised, it should be accompanied by

a statement reading “signed as authorised offi cer under Authorisation Document which is still in

force, no notice of revocation having been received”. If this Proxy Form is signed by an attorney duly

appointed under a power of attorney, it should be accompanied by a statement reading “signed

under Power of Attorney which is still in force, no notice of revocation having been received”.

A copy of the Authorisation Document or the Power of Attorney, which should be valid in accordance

with the laws of the jurisdiction in which it was created and is exercised, should be enclosed with

this Proxy Form.

4. Explanatory Notes on Special Business:

Section 129 of the Companies Act, 1965

Pursuant to Section 129 of the Companies Act, 1965, the proposed Resolution 11 is to seek

shareholders’ approval on the appointment of Director who is over the age of seventy.


Proxy Form

I/We

of

being a member of PETRONAS Dagangan Berhad hereby appoint

or failing him/her, the Chairman of the Meeting as my/our proxy to vote for me/us on my/our behalf at the Twenty-Ninth Annual General Meeting of the Company to be held at the Sapphire

Ballroom, Level 1, Mandarin Oriental Kuala Lumpur, Kuala Lumpur City Centre, 50088 Kuala Lumpur on Thursday, 28 July 2011 at 10.00 a.m. and at any adjournment thereof.

*Ordinary Business For Against

1. To receive Directors’ Report and Financial Statements

2. Approval of Final Dividend

3. Approval of Special Dividend

4. To re-elect Director under Article 93 : Dato‘ Kamaruddin bin Mohd Jamal

5. To re-elect Director under Article 96 : Datuk Wan Zulkifl ee bin Wan Ariffi n

6. To re-elect Director under Article 96 : Datuk Manharlal a/l Ratilal

7. To re-elect Director under Article 96 : Juniwati bt Rahmat Hussin

8. To re-elect Director under Article 96 : Mohammad Medan bin Abdullah

9. Approval of Payment of Directors’ Fees

10. Re-appointment of Auditors

11. *Special Business

To consider, and if thought fi t, to pass the following Resolution: Re-appointment of Dato’ Chew Kong Seng

in accordance with Section 129 of the Companies Act, 1965.

* Please refer to the Notice of Annual General Meeting for full details of the proposed Resolutions.

(Please indicate with a “x” in the spaces provided whether you wish your vote to be cast for or against the Resolutions. In the absence of specifi c directions, your proxy will vote or abstain

as he/she thinks fi t)

Number of Ordinary Shares Held

Date:

Signature/Common Seal of Shareholder(s)

PETRONAS DAGANGAN BERHAD (88222-D)

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Fo

rm.

PETRONAS DAGANGAN BERHAD (88222-D)




50088 Kuala Lumpur

Tel : (03) 2051 5000

Fax : (03) 2026 5505

Website : www.mymesra.com.my

Mesralink Tel : 1-300-88-8181

E-mail : [email protected]

Documents

PDB Annual Report 2011