ANNUAL REPORT & ACCOUNTS
ESSO MALAYSIA BERHAD (Company No.3927-V) (Incorporated in Malaysia)
FINANCIAL HIGHLIGHTS
Our stockholders at the Company’s 40th Annual General Meeting held on May 25, 1999 at Menara Esso. Pemegang-pemegang saham Syarikat yang hadir di Mesyuarat Agung Tahunan ke 40 pada 25 Mei, 1999 di Menara Esso.
FINANCIAL HIGHLIGHTS 1999 RM million
1998 RM million
2,478.4
2,257.3
Profit/(Loss) After Taxation
(44.0)
68.4
N/A
Earnings/(Loss) per ordinary stock unit (sen)
(16.3)
25.3
N/A
1,558.7
1,465.6
+
6.4
348.5
392.5
-
11.2
77
81
-
4.9
Turnover
Total assets employed Total shareholders’ funds Sales volume (thousands of barrels per calendar day)
% change
+
9.8
THE YEAR IN REVIEW REFINERY CRUDE RUNS
95
96
97
98
99
INDUSTRIAL DIESEL SALES
95
96
97
98
99
TOTAL MOTOR FUEL SALES
95
96
97
98
97
98
99
AVIATION FUEL SALES
95
LUBRICANTS SALES
95
96
96
97
98
99
LPG SALES
99
95
96
97
ESSO MALAYSIA BERHAD
98
99
1
BOARD OF DIRECTORS / LEMBAGA PENGARAH
YBhg Tan Sri Hashim Aman Resigned w.e.f. January 1, 2000 Meletak jawatan berkuatkuasa 1 Januari 2000 2
ESSO MALAYSIA BERHAD
SEATED FROM LEFT TO RIGHT DUDUK DARI KIRI KE KANAN YBhg Tan Sri Dr. Syed Jalaludin Syed Salim The late / Allahyarham YM Raja Tan Sri Dato’ Zainal Raja Sulaiman passed away peacefully on April 6, 2000 telah kembali ke rahmatullah pada 6 April 2000 YBhg Dato’ Philip J. Dingle Chairman / Pengerusi YABhg Tun Dato’ Haji Omar Yoke Lin Ong
STANDING FROM LEFT TO RIGHT BERDIRI DARI KIRI KE KANAN Dr. Abu Hassan Sulaiman A.S.M. Logistics Director / Pengarah Logistik Mr Steven C. Spancake Financial Director / Pengarah Kewangan Mr Ooi Poh Kheng Managing Director / Pengarah Urusan
YBhg Dato’ Kamaruddin Mohd Jamal Human Resources Director / Pengarah Sumber Tenaga Manusia Cik Rajabee Mohd Yusoff Corporate Secretary / Setiausaha Korporat
3
CHAIRMAN’S STATEMENT
N
ineteen ninety-nine was a disappointing year for Esso Malaysia Berhad. The Company recorded an after tax loss of RM44.0 million
compared to an after tax profit of RM68.4 million in 1998. Although income tax was waived in 1999 and the economy began to recover in the second half of the year, the Company was most impacted by the deterioration of petroleum product margins for most of the year. In refining, the cost of crude purchased continued to rise faster than prices for finished products. The lag in incorporating these rising costs through the controlled automatic pricing mechanism for marketing was further aggravated when the government reduced product cost recovery on LPG in the third quarter of the year. Revenues of RM2,489 million in 1999 showed an increase of 10 percent over the RM2,269 million in the previous year reflecting higher product prices. Sales volume declined from 81 thousand barrels per day (kbd) in 1998 to 77 kbd in 1999 due to weaker product demand, partly reflective of the higher prices. Our introduction of the "Xchange" Card, a retail customer loyalty card programme was well received by the motoring public. This and other initiatives enabled us to improve upon our sales and share of the retail market in 1999. Our LPG sales further expanded, with strong sales of the 14 kilogram red cylinders introduced in 1998. Product demand in the aviation and industrial sectors remained weak despite some recovery in the economy. Throughput at the Port Dickson refinery was reduced to 64 kbd, 4 % lower than the 67 kbd recorded in 1998, due to lower product demand and poor margins which did not support processing for export. Several profit improvement projects at the refinery were completed during the year. The tie-in to the Multi-Product Pipeline for the supply of jet fuel from the Port Dickson Refinery directly to the Kuala Lumpur International Airport was completed in March 1999. The Company also completed inter-refinery lines between our refinery and a neighbouring refinery in Port Dickson. This has helped to reduce imports of LPG and exports of low sulphur waxy residue.
4
ESSO MALAYSIA BERHAD
YBhg Dato’ Philip J. Dingle
Chairman and Chief Executive Officer Pengerusi dan Ketua Pegawai Eksekutif
The Company continued to maintain a strong focus on
for 1999 because of the loss for the year and because the
operating cost management and expenditure reductions
Company's borrowings increased from RM585 million in
during the year. In view of the current economic
1998 to RM630 million. The Board views this action as a
environment, we made only selective investments to
prudent move to strengthen the financial position of the
ensure the future growth of the Company.
Capital
Company. In addition, we anticipate that cash generation
investments including long term leases amounted to
for year 2000 will be impacted by the Company's
RM62 million, a decrease of 66% from 1998, mainly due to
proposed equity participation in the Multi-Product
fewer acquisitions of service station land and
Pipeline.
construction of fewer stations. In November 1999, Exxon Corporation merged with Safety, environment, health and operations integrity
Mobil Corporation to form Exxon Mobil Corporation
continued to be high priority areas for the Company.
which is now the ultimate holding company of Esso
There were no lost time injuries by either employees or
Malaysia Berhad. We will keep our stockholders
contractors working for the Company, and the number of
informed of any developments in Malaysia that might
delivery truck accidents decreased by 10% from 1998. A
arise as a result of this merger.
new initiative called the Loss Prevention System, which is a behavior based safety system was introduced in 1999.
There have been some changes in the Board of Directors.
This system will further help to identify and eliminate any
Yang Berbahagia Tan Sri Hashim bin Aman has resigned
unsafe behaviours and practices from our operations. In
from the Board with effect from January 1, 2000 after
recognition of the Company's safety achievements, the
serving the Company for fifteen years. As his
Malaysian Society of Occupational Safety and Health
replacement, the Board has appointed Yang Berbahagia
awarded the Grand Award to our refinery in Port Dickson
Tan Sri Dr. Syed Jalaludin bin Syed Salim as a new
and the Gold Award to our distribution and marketing
Director of the Company with effect from February 15,
operations.
2000. I would like to thank Yang Berbahagia Tan Sri Hashim bin Aman for his many contributions to the
The Company spent a total of RM6.5 million up through
Company and to welcome Yang Berbahagia Tan Sri Dr
1999 on Year 2000 compliance work. As a result, the
Syed Jalaludin bin Syed Salim to our Board of Directors.
Company experienced a smooth, incident free rollover to year 2000.
On behalf of the Board, I would also like to thank all our employees for their hard work and dedication to the
Looking to 2000, the Malaysian economy is expected to
Company and I would like to express my appreciation to
record a higher growth rate. Although demand for
all our stockholders, dealers and customers for their
petroleum products is expected to accelerate, pressure on
continued support during this challenging period.
gross margins is likely to continue. Therefore, we expect that the business environment will be challenging and this will require continuing focus on the reduction of operating costs and enhancing growth in profitable business areas. We are well positioned to participate in the country's economic recovery, and return the Company to its previous level of profitability. In this respect, we will
Dato' Philip J. Dingle
make selective investments to protect our market position
Chairman of the Board
for the future and will continue to improve efficiency and
Kuala Lumpur
the effectiveness of our facilities.
February 24, 2000
The Board is not recommending any dividend payment
ESSO MALAYSIA BERHAD
5
PENYATA PENGERUSI
S
embilan belas sembilan puluh sembilan merupakan satu tahun yang mengecewakan bagi Esso Malaysia Berhad. Syarikat mencatatkan kerugian selepas cukai sebanyak RM44.0 juta berbanding keuntungan selepas cukai sebanyak RM68.4 juta pada tahun 1998. Walaupun cukai pendapatan dikecualikan pada tahun 1999 dan keadaan ekonomi mulai pulih pada separuh tahun kedua, namun Syarikat telah menerima kesan teruk dari kemerosotan margin hasil jualan petroleum di sepanjang tahun. Dalam sektor penapisan, kos pembelian bahan mentah terus meningkat dengan mendadak berbanding harga jualan keluaran produk. Kelewatan dalam pergabungan antara nilai kos yang meningkat melalui mekanisma harga terkawal pemasaran telah menjadi semakin buruk apabila kerajaan mengurangkan kos pemulihan bahan LPG pada suku ketiga tahun itu. Pendapatan sebanyak RM2,489 juta pada tahun 1999 menunjukkan kenaikan sebanyak 10 peratus dari RM2,269 juta pada tahun yang sebelumnya kesan dari harga produk yang lebih tinggi. Jumlah jualan menurun dari 81 ribu tong sehari (rts) pada tahun 1998 kepada 77 rts pada tahun 1999 disebabkan oleh permintaan produk yang lebih lemah ekoran dari harga yang tinggi. Pengenalan Kad “Xchange”, program kad pelanggan runcit setia telah mendapat sambutan yang baik dari pengguna-pengguna jalanraya. Program ini dan inisiatif-inisiatif yang lain telah membolehkan kami meningkatkan jualan dan syer pasaran runcit pada tahun 1999. Jumlah jualan LPG terus berkembang, dengan jualan laris bagi silinder merah 14 kilogram yang diperkenalkan pada tahun 1998. Permintaan produk bagi minyak penerbangan dan sektor industri kekal lemah walaupun keadaan ekonomi beransur pulih. Pengeluaran di Loji Penapisan Port Dickson menurun ke 64 rts, 4 % lebih rendah dari 67 rts yang dicatatkan pada tahun 1998, kerana permintaan
6
ESSO MALAYSIA BERHAD
produk yang berkurangan dan margin yang rendah tidak dapat menampung pemprosesan untuk eksport. Beberapa projek pembaikpulih keuntungan di Loji Penapisan telah disiapkan di sepanjang tahun. Penyambungan “Multi-Product Pipeline” untuk membekalkan minyak kapal terbang dari Loji Penapisan Port Dickson terus ke Lapangan Terbang Antarabangsa Kuala Lumpur telah disiapkan pada bulan Mac 1999. Syarikat juga turut menyempurnakan saluran-saluran perantaraan di antara loji penapisan kita di Port Dickson dengan loji penapisan yang berhampiran. Ini telah membantu mengurangkan kadar import bagi LPG dan eksport bagi “low sulphur waxy residue”. Syarikat terus memberi perhatian kepada kos pengurusan operasi dan pengurangan perbelanjaan di sepanjang tahun. Memandangkan keadaan ekonomi sekarang, kami membuat pelaburan terpilih sahaja untuk memastikan perkembangan Syarikat di masa hadapan. Modal pelaburan termasuk sewa jangka panjang berjumlah RM62 juta, kurang 66 % dari tahun 1998, sebahagian besarnya disebabkan oleh pemerolehan tanah dan pembinaan stesyen-stesyen servis yang berkurangan. Keselamatan, alam sekitar, kesihatan dan keutuhan operasi terus diberi keutamaan oleh Syarikat. Tiada kakitangan dan kontraktor kita yang mengalami kecederaan masa kerja, dan jumlah kemalangan bagi trak penghantaran menurun 10% dari tahun 1998. Inisiatif baru yang dikenali sebagai “Loss Prevention System” (Sistem Mencegah Kerugian), iaitu sistem sikap asas keselamatan telah diperkenalkan pada tahun 1999. Sistem ini akan membantu mengenal pasti dan membasmi sikap dan juga perlakuan yang tidak selamat dalam operasi kami. Sebagai pengiktirafan kepada pencapaian keselamatan Syarikat, loji penapisan Port Dickson telah menerima Anugerah Keseluruhan manakala operasi pengedaran dan pemasaran pula telah menerima Anugerah Emas dari Persatuan Keselamatan dan Kesihatan Sekerja Malaysia.
Syarikat telah membelanjakan sebanyak RM6.5 juta di sepanjang tahun 1999 untuk kerja-kerja permatuhan tahun 2000. Sehubungan dengan itu, pelancaran tahun 2000 berjalan dengan lancar tanpa sebarang insiden. Memandang ke hadapan ke tahun 2000, Malaysia dijangka akan mencatat pertumbuhan ekonomi yang lebih tinggi. Walaupun permintaaan terhadap produk petroleum dijangka akan bertambah, penekanan terhadap margin pendapatan kasar dijangka akan berterusan. Oleh itu, kita menjangkakan alam perniagaan akan lebih mencabar dan ia memerlukan fokus yang berterusan terhadap pengurangkan kos operasi dan meluaskan perniagaan di bidang yang memberi pertambahan keuntungan. Syarikat berada di kedudukan yang baik untuk bergiat dalam pemulihan ekonomi negara dan meningkatkan semula keuntungan Syarikat ke paras sebelumnya. Dalam hal ini, pelaburan terpilih akan dibuat untuk melindungi posisi pasaran di masa hadapan dan akan terus meningkatkan kecekapan dan keberkesanan terhadap kemudahan-kemudahan kami.
mengenai sebarang perkembangan di Malaysia yang mungkin timbul hasil dari penggabungan ini. Terdapat beberapa perubahan kepada ahli Lembaga Pengarah. Yang Berbahagia Tan Sri Hashim bin Aman telah meletakkan jawatan sebagai ahli Lembaga Pengarah berkuatkuasa 1 Januari, 2000 selepas berkhidmat selama lima belas tahun bersama Syarikat. Sebagai pengganti, Lembaga Pengarah telah melantik Yang Berbahagia Tan Sri Dr. Syed Jalaludin bin Syed Salim sebagai ahli Lembaga Pengarah yang baru berkuatkuasa 15 Februari, 2000. Saya ingin mengucapkan terima kasih kepada Yang Berbahagia Tan Sri Hashim bin Aman di atas sumbangan beliau terhadap Syarikat dan mengalualukan perlantikan Yang Berbahagia Tan Sri Dr. Syed Jalaludin bin Syed Salim ke Lembaga Pengarah. Bagi pihak Lembaga Pengarah, saya juga ingin mengucapkan ribuan terima kasih kepada semua kakitangan atas usaha dan dedikasi mereka kepada Syarikat dan saya juga ingin merakamkan penghargaan saya kepada semua pemegang stok, pengedar dan pelanggan Syarikat kerana sokongan berterusan mereka pada waktu yang mencabar ini.
Lembaga Pengarah tidak mencadangkan sebarang bayaran dividen bagi tahun 1999 kerana kerugian dan jumlah pinjaman Syarikat yang telah meningkat dari RM585 juta pada tahun 1998 ke RM630 juta. Lembaga Pengarah menganggap langkah ini bijak untuk mengukuhkan posisi kewangan Syarikat. Tambahan pula, kita menjangkakan perolehan wang tunai bagi tahun 2000 akan terjejas akibat dari cadangan Syarikat untuk menyertai equiti di dalam Multi-Product Pipeline. Pada bulan November 1999, penggabungan antara Exxon Corporation dengan Mobil Corporation telah membentuk Exxon Mobil Corporation yang merupakan pemegang muktamad syarikat Esso Malaysia Berhad. Pemegang-pemegang stok akan diberitahu
Dato' Philip J. Dingle Pengerusi Lembaga Pengarah Kuala Lumpur 24 Februari, 2000
ESSO MALAYSIA BERHAD
7
FIVE - YEAR SUMMARY CHARTS TURNOVER
TOTAL ASSETS EMPLOYED
(NET OF GOVERNMENT DUTIES) RM MILLION
RM MILLION Financed by:
2400 2100 1800
2,478
2,449
334
2,257
2,166
433 1,768
1200
406 356
269
393
415
1000
1500
280
253 585
630
509
900
500
600 300 0
349
1500
257
301
246
256
1995
1996
187
235
174
0 1995
1996
1997
1998
1999
1997
1998
1999
Shareholders’ fund
Turnover
Trade payables Notes payable and bank borrowings Taxes payable, provisions and others
SALES VOLUME
PROFIT/(LOSS) AFTER TAX
THOUSANDS OF BARRELS PER CALENDAR DAY
RM MILLION
ANNUAL REPORT & ACCOUNTS 1999
90 65
80 70
120
69
100
64
61
63
80
79
58
63
40
50
20 40
5
3
3
0
30
-20
20 16
20
22 17
1995
1996
White product
ESSO MALAYSIA BERHAD
1997
1998
-2
-3
-44
-40 14
0
8
77
68
60
60
10
90
1999
Black product
-60 -80
-63 1996 1997 1995 Profit/(Loss) after tax and before extraordinary items
1998
1 1999
% of turnover
CAPITAL EXPENDITURE
TOTAL THROUGHPUT
RM MILLION
THOUSANDS OF BARRELS PER CALENDAR DAY
160
160
154
90
145
140
124
142
129
77
79
70
120
65
100 80
80
111 89
64
60
63
50
96
40
60
30 47
40
20
20
10
0
0 1995
1996
1997
1998
1999
3 1995
4 1996
3 1997
Capital expenditure
Local crude
Net tangible asset per stock unit (sen)
Other feedstocks
3 1998
1 1999
1995
1996
1997
1998
1999
Earnings/(Loss) per ordinary stock unit (sen)
33.3
21.5
(23.2)
25.3
(16.3)
Gross dividend per stock unit - ordinary (sen)
40
40
10
5
0
Dividend yield (%)
5.7
5.7
1.7
1.4
0.0
7.50 6.35 7.05
7.65 6.65 7.07
7.20 4.12 6.01
4.80 2.05 3.48
3.52 2.39 3.05
Share price (RM)
- Highest - Lowest - Average
ANNUAL REPORT & ACCOUNTS 1999
OTHER INFORMATION
Note : In calculating dividend yield, the average share prices have been used.
ESSO MALAYSIA BERHAD
9
REPORT OF THE DIRECTORS Your Directors submit their report together with the audited accounts of the Company for the year ended December 31, 1999. PRINCIPAL ACTIVITIES The Company's principal activities are the manufacturing and marketing of petroleum products in Malaysia. There has been no significant change in the nature of the Company's activities during the year. FINANCIAL RESULTS RM'000 Loss after taxation Retained profits brought forward Profits available for appropriation Dividend
(44,028) 249,520 205,492 -
Retained profits carried forward
205,492
DIVIDENDS The amount of dividends paid since December 31, 1998 are as follows: RM'000 In respect of the year ended December 31, 1998 shown in the Directors' report of that year:
ANNUAL REPORT & ACCOUNTS 1999
Final dividend per stock unit, paid on June 11, 1999 Ordinary - 5 sen gross less income tax at 28%
9,720 9,720
The Directors are not proposing a final dividend for 1999. RESERVES AND PROVISIONS There were no material transfers to or from reserves and provisions during the year other than those disclosed in the accounts.
10
ESSO MALAYSIA BERHAD
STATUTORY INFORMATION ON THE ACCOUNTS Before the profit and loss statement and balance sheet were made out, the Directors took reasonable steps: 1.
to ascertain that action had been taken in relation to the writing off of bad debts and the making of provision for doubtful debts, and satisfied themselves that all known bad debts had been written off and that adequate provision had been made for doubtful debts; and
2.
to ensure that any current assets, other than debts, which were unlikely to realise in the ordinary course of business their value as shown in the accounting records of the Company have 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: 1.
which would render the amounts written off for bad debts or the amount of the provision for doubtful debts in the accounts of the Company inadequate to any substantial extent; or
2.
which would render the values attributed to current assets in the accounts of the Company misleading; or
3.
which have arisen which render adherence to the existing method of valuation of assets or liabilities of the Company misleading or inappropriate.
No contingent or other liability has become enforceable or is likely to become enforceable within the period of twelve months after the end of the year which, in the opinion of the Directors, will or may affect the ability of the Company to meet its obligations when they fall due. At the date of this report, there does not exist: 1.
any charge on the assets of the Company which has arisen since the end of the year which secures the liability of any other person; or
2.
any contingent liability of the Company which has arisen since the end of the year.
OTHER STATUTORY INFORMATION
ANNUAL REPORT & ACCOUNTS 1999
The Directors state that: At the date of this report, they are not aware of any circumstances not otherwise dealt with in this report or the accounts which would render any amount stated in the accounts misleading. In their opinion, 1.
the results of the Company's operations during the year were not substantially affected by any item, transaction or event of a material and unusual nature, and
2.
there has not arisen in the interval between the end of the year and the date of this report any item, transaction or event of a material and unusual nature likely to affect substantially the results of the operations of the Company for the year in which this report is made.
ESSO MALAYSIA BERHAD
11
DIRECTORS The Directors who have held office during the period since the date of the last report are: YBhg Dato' Philip J. Dingle Mr. Ooi Poh Kheng YABhg Tun Dato' Haji Omar Yoke Lin Ong YM Raja Tan Sri Dato' Zainal Raja Sulaiman YBhg Tan Sri Hashim Aman YBhg Tan Sri Dr. Syed Jalaludin bin Syed Salim Mr. Steven C. Spancake YBhg Dato' Kamaruddin Mohd Jamal Dr. Abu Hassan Sulaiman A.S.M.
(resigned w.e.f. January 1, 2000) (appointed w.e.f. February 15, 2000)
DIRECTORS' BENEFITS During and at the end of the year, no arrangements subsisted to which the Company is a party, with the object or objects of enabling Directors of the Company to acquire benefits by means of the acquisition of shares in or debentures of the Company or any other body corporate. Since the end of the previous year, no Director has received or become entitled to receive a benefit (other than benefits disclosed in note 6 to the accounts) by reason of a contract made by the Company or a related corporation with the Director or with a firm of which he is a member, or with a company in which he has a substantial financial interest. All transactions between the Company or a related corporation and companies in which Directors have interests are conducted on an arms-length, commercial basis in the ordinary course of business. DIRECTORS' INTERESTS IN SHARES AND DEBENTURES According to the register of Directors' shareholdings, the interests of Directors who held office at the end of the year in the share capital of the Company and its related corporations were as follows:
ANNUAL REPORT & ACCOUNTS 1999
Esso Malaysia Berhad - Number of ordinary stock units of RM0.50 each in which the following Director is deemed to have an interest: YABhg Tun Dato' Haji Omar Yoke Lin Ong
As at 1.1.99
Bought
Sold
As at 31.12.99
64,000
-
-
64,000
6,080
889
-
6,969
5,030 -
2,642 1,500
(2,642) (1,500)
5,030 -
Imperial Oil Limited (Subsidiary of Exxon Mobil Corporation) - Number of common shares without par value held by the following Director: YBhg Dato' Philip J. Dingle Exxon Mobil Corporation (Ultimate holding company) - Number of ordinary shares without par value held by the following Directors: Mr. Steven C. Spancake Dr. Abu Hassan Sulaiman
12
ESSO MALAYSIA BERHAD
No other Director in office at the end of the year held any interest in the share capital of the Company or its related corporations. DIRECTORATE In accordance with Article 104 and Article 105 of the Company's Articles of Association, Mr. Steven C. Spancake retires by rotation at the forthcoming Annual General Meeting and, being eligible, offers himself for re-election. In accordance with Article 109 of the Company's Articles of Association, YBhg Tan Sri Dr. Syed Jalaludin bin Syed Salim retires and being eligible, offers himself for re-election. In accordance with Section 129 of the Companies Act, 1965, YM Raja Tan Sri Dato' Zainal Raja Sulaiman and YABhg Tun Dato' Haji Omar Yoke Lin Ong retire at the forthcoming Annual General Meeting. Your other Directors recommend that they be re-appointed Directors for the ensuing year. ULTIMATE HOLDING COMPANY The Directors regard Exxon Mobil Corporation, a company incorporated in New Jersey, United States of America, as the ultimate holding company of the Company. AUDITORS The auditors, PricewaterhouseCoopers, have expressed their willingness to continue in office.
On behalf of the Directors
ANNUAL REPORT & ACCOUNTS 1999
Dato' Philip J. Dingle Chairman
Ooi Poh Kheng Managing Director Kuala Lumpur, February 24, 2000
ESSO MALAYSIA BERHAD
13
PROFIT AND LOSS STATEMENT FOR THE YEAR ENDED DECEMBER 31, 1999 Note
1999 RM'000
1998 RM'000
REVENUES
3
2,489,026
2,269,467
COSTS AND OTHER DEDUCTIONS (excluding foreign exchange)
4
(2,556,825)
(2,149,988)
LOSS ON FOREIGN EXCHANGE
5
(1,758)
( 22,741)
(LOSS)/PROFIT BEFORE TAXATION
6
(69,557)
96,738
TAXATION
7
25,529
(28,306)
(LOSS)/PROFIT AFTER TAXATION
(44,028)
68,432
RETAINED PROFITS BROUGHT FORWARD
249,520
190,808
PROFITS AVAILABLE FOR APPROPRIATION
205,492
259,240
-
(9,720)
19
205,492
249,520
8
(16.3)
25.3
DIVIDENDS Final dividend per ordinary stock unit (proposed): Nil (1998 - 5 sen gross less income tax at 28% paid on 11 June 1999) RETAINED PROFITS CARRIED FORWARD
ANNUAL REPORT & ACCOUNTS 1999
(LOSS)/EARNINGS PER ORDINARY STOCK UNIT (SEN)
The notes on pages 17 to 27 form part of these accounts.
14
ESSO MALAYSIA BERHAD
BALANCE SHEET Note
1999 RM'000
1998 RM'000
9
1,047,845
1,068,026
10
182,901
167,953
11 12
109,743 142,842 41,345 33,990 327,920
109,720 96,298 18,279 5,350 229,647
13
200,204 261,717 135,000 165,422 114,750 877,093
222,739 104,828 150,000 170,175 286 9,720 657,748
(549,173)
(428,101)
(52,725)
(81,039)
(65,356)
(69,551)
(215,000)
(264,768)
348,492
392,520
135,000 213,492
135,000 257,520
348,492
392,520
ASSETS EMPLOYED: FIXED ASSETS LONG TERM ASSETS AND RECEIVABLES CURRENT ASSETS Inventories Receivables Amounts due from related companies Cash and bank balances TOTAL CURRENT ASSETS CURRENT LIABILITIES Payables Amounts due to related companies Notes Payable (Unsecured) Bank borrowings (Unsecured) Term borrowings (Unsecured) Taxation Proposed dividend TOTAL CURRENT LIABILITIES
14 15 16
CURRENT ASSETS LESS CURRENT LIABILITIES DEFERRED TAXATION
17
PROVISION FOR RETIREMENT BENEFITS TERM BORROWINGS (Unsecured)
16
TOTAL NET ASSETS EMPLOYED FINANCED BY: SHARE CAPITAL RESERVES
18 19
TOTAL CAPITAL AND RESERVES
ANNUAL REPORT & ACCOUNTS 1999
AS AT DECEMBER 31, 1999
The notes on pages 17 to 27 form part of these accounts.
ESSO MALAYSIA BERHAD
15
STATEMENT OF CASH FLOWS FOR THE YEAR ENDED DECEMBER 31, 1999 1999 RM'000
1998 RM'000
(69,557)
96,738
61,699 34,481 3,585 9,068 (18) (2,147)
60,842 52,278 7,604 (4,422) 1,082
Operating profit before working capital changes (Increase)/Decrease in inventories (Increase)/Decrease in trade and other receivables (Increase)/Decrease in amounts due from related companies Increase/(Decrease) in amount due to related companies (Decrease)/Increase in trade and other payables
37,111 (23) (49,315) (23,066) 156,889 (22,279)
214,122 2,568 14,895 5,519 (100,692) 5,153
Cash generated from operations Interest paid Income taxes paid Severance expenses paid Retirement benefits paid
99,317 (34,681) (356) (12,041) (1,222)
141,565 (53,416) (4,251)
51,017
83,898
(47,026) (14,948) 4,070
(141,877) (39,564) 399
( 57,904)
(181,042)
26,300 65,000 (9,720)
108,700 (40,000) -
81,580
68,700
74,693
(28,444)
(46,125)
(17,681)
28,568
(46,125)
Note CASH FLOWS FROM OPERATING ACTIVITIES (Loss)/Profit before taxation Adjustments for: Depreciation on fixed assets Interest expense Provision for fixed assets write-down Provision for retirement benefits/severance expenses Foreign exchange gain on loans (Gain)/Loss on disposal of fixed assets
Net cash from operating activities
ANNUAL REPORT & ACCOUNTS 1999
CASH FLOWS FROM INVESTING ACTIVITIES Purchase of fixed assets Increase in long term assets Proceeds from disposal of fixed assets Net cash used in investing activities CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from short-term borrowings Proceeds from /(Repayment of) long-term borrowings Dividends paid Net cash from financing activities NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR CASH AND CASH EQUIVALENTS AT END OF YEAR
20
The notes on pages 17 to 27 form part of these accounts.
16
ESSO MALAYSIA BERHAD
NOTES TO THE ACCOUNTS 1.
BASIS OF ACCOUNTING The accounts of the Company are prepared under the historical cost convention as modified by the revaluation of certain fixed assets and comply with the applicable approved Accounting Standards in Malaysia. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The following accounting policies adopted by the Company are consistent with those adopted in previous years: (a)
Inventories Crude oil and petroleum product inventories are valued at the lower of cost and net realisable value. Cost includes all applicable purchase costs and production overheads and is determined on the last-in first-out basis. Materials and supplies are valued at cost, determined on a weighted average basis, and a deduction is made for obsolete and slow moving stocks.
(b)
Fixed assets Fixed assets are stated at cost or valuation less accumulated depreciation. The Directors have applied the transitional provisions of International Accounting Standard No.16 (Revised) Property, Plant and Equipment as adopted by Malaysian Accounting Standards Board which allows the freehold and leasehold land and buildings to be stated at their prevailing valuations less depreciation. These assets are stated at the latest independent valuations by professional valuers in 1982 on the following bases: Land Buildings
- Open market value based on existing use - Depreciated replacement cost
Accordingly, these valuations have not been updated. (c)
Depreciation
ANNUAL REPORT & ACCOUNTS 1999
2.
No depreciation is provided on freehold land and capital project-in-progress. Leasehold land is amortised in equal instalments over the period of the respective leases. Buildings and improvements and plant and equipment are depreciated on a straight-line basis to write off the cost or valuation of the assets over the term of their estimated service lives. The principal annual rates of depreciation used are as follows: Buildings and improvements Plant and equipment
3% - 5% 4% - 10%
Maintenance and repairs are charged to income as incurred. Major renewals and improvements are capitalised.
ESSO MALAYSIA BERHAD
17
2.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) (d) Translation of foreign currencies Transactions arising in foreign currencies are translated into Ringgit Malaysia at rates of exchange approximating those ruling on transaction dates except for transactions uncompleted at balance sheet date which are translated at rates of exchange approximating those ruling at that date. Foreign currency exchange gains and losses resulting from translation are included in the profit and loss statement. (e) Taxation The taxation charge in the profit and loss statement is calculated at current tax rates based on the chargeable income for the year. Deferred taxation is calculated on all material timing differences between taxable income and accounting income using the liability method except that the benefit of future tax deductions are not recognised until there is a reasonable expectation of future income to absorb the deductions. (f)
Retirement benefits Provision for employees' retirement benefits is determined by an independent actuarial valuation which is carried out periodically, based on the schedule of benefits stipulated in the Company's retirement benefits plan. The most recent valuation was carried out in December 1997. The projected benefit valuation method is used to calculate the actuarial plan benefits based on the estimated years of service and employees' projected compensation during their last year of employment. Any excess or deficit between the actuarial valuation and the book provision is amortised on a straight-line basis over the average remaining service life of employees expected to receive the plan benefits.
(g) Operating leases
ANNUAL REPORT & ACCOUNTS 1999
Leases of assets under which all the risks and benefits of ownership are effectively retained by the lessor are classified as operating leases. Prepaid lease rentals on service station sites made under operating leases are included in the profit and loss statement on a straight-line basis over the period of the lease. Rentals on all other operating leases are included in the profit and loss statement. (h) Cash and cash equivalents Cash and cash equivalents comprise bank balances, deposits with maturity period not exceeding three months and cash in hand less bank overdrafts, that are readily convertible to cash and are subject to insignificant risk of changes in value.
18
ESSO MALAYSIA BERHAD
3.
REVENUES
Related company sales Third party sales Turnover Interest income Income from rent of land & buildings Other operating income
1999 RM'000
1998 RM'000
379,757 2,098,602 2,478,359
467,198 1,790,117 2,257,315
223 8,436 2,008
211 8,108 3,833
2,489,026
2,269,467
Turnover represents the invoiced value of goods sold net of Government duties and taxes of RM415,259,000 (1998: RM439,002,000). COSTS AND OTHER DEDUCTIONS (Excluding foreign exchange)
Crude oil and finished products Operating, administrative and other expenses (Gain)/Loss on disposal of fixed assets Interest on bank borrowings Other interest expense
5.
1999 RM'000
1998 RM'000
2,218,078 306,413 (2,147) 34,317 164
1,798,553 298,075 1,082 50,717 1,561
2,556,825
2,149,988
1999 RM'000
1998 RM'000
(18) 1,776
(4,422) 27,163
1,758
22,741
LOSS ON FOREIGN EXCHANGE
Unrealized gain on US Dollar Term Loan Other operating foreign exchange loss
ESSO MALAYSIA BERHAD
ANNUAL REPORT & ACCOUNTS 1999
4.
13 19
6.
(LOSS)/PROFIT BEFORE TAXATION
The (loss)/profit before taxation is arrived at after charging: Depreciation on fixed assets Directors' remuneration: Fees (Non-Executive Directors) Other emoluments (Executive Directors) Amounts paid to the Company's ultimate holding company in respect of its executives assigned to the Company as Executive Directors Auditors' remuneration Provision for retirement benefits/severance expense Provision for doubtful debts Provision for fixed assets write-down Rental of land and buildings Hire of plant and machinery Research and development expense Year 2000 compliance expense
1999 RM'000
1998 RM'000
61,699
60,842
60 1,063
60 1,006
434 136 9,068 62 3,585 16,779 316 2,317 362
473 136 7,604 191 15,273 494 2,630 4,900
The estimated monetary value of benefits provided to Directors during the year by way of usage of the Company's assets and the provision of accommodation and other benefits amounted to RM117,000 (1998: RM126,000). Provision for retirement benefits is made for all national employees under the Company's retirement benefits plan. The charge to income includes an amount of RM245,000 (1998: RM237,000) in respect of Directors who are full time employees of the Company. The Year 2000 compliance expenses are costs associated with the modifications and m a i n t e n a n c e o f existing computer software programs and equipment relating to the Year 2000 issue.
ANNUAL REPORT & ACCOUNTS 1999
7.
TAXATION
Current Taxation Prior years Deferred Taxation Current year
1999 RM'000
1998 RM'000
2,771
-
(28,300)
28,306
(25,529)
28,306
In accordance with the Income Tax (Amendment) Act 1999, assessment of income tax based on income received in the preceding year is changed to that of the current year beginning from the year of assessment 2000, and that tax on income earned in 1999 will be waived. The amount of income tax waived for the year ended December 31, 1999 amounted to approximately RM10,349,000.
20
ESSO MALAYSIA BERHAD
8.
(LOSS)/EARNINGS PER ORDINARY STOCK UNIT (Loss)/earnings per ordinary stock unit is calculated by dividing the loss after taxation for the year of RM44,028,000 (1998: profit after taxation of RM68,432,000) by the 270 million stock units in issue during the year. FIXED ASSETS
Cost or valuation: -----------------------At January 1, 1999 Additions at cost Disposals Reclassifications
Freehold land RM'000
Buildings Leasehold and land improvements RM'000 RM'000
Plant Capital and projectequipment in-progress Total RM'000 RM'000 RM'000
162,141 0 (682) 7,860
91,449 1,094 (283) -
214,985 (517) 14,759
967,622 (7,986) 75,681
126,039 1,562,236 45,932 47,026 (9,468) (98,300) -
169,319
92,260
229,227
1,035,317
73,671 1,599,794
66,279
4,573
18,113
-
103,040
87,687
211,114
1,035,317
73,671 1,510,829
169,319
92,260
229,227
1,035,317
73,671 1,599,794
At January 1, 1999 Provision for the year Provision for write-down Elimination on disposals Reclassifications
-
7,349 1,168 (283) -
59,140 10,144 (74) 741
427,721 50,387 3,585 (7,188) (741)
-
494,210 61,699 3,585 (7,545) -
As at December 31, 1999
-
8,234
69,951
473,764
-
551,949
169,319
84,026
159,276
561,553
73,671 1,047,845
Net book value at December 31, 1999 if assets had been carried at cost less depreciation: 110,457
81,063
159,270
561,553
73,671
At December 31, 1999 Representing items at: Valuation-1982 Cost-Post 1982 net additions
-
88,965
Accumulated depreciation: ------------------------------------
Net Book Value: ---------------------At December 31, 1999
ANNUAL REPORT & ACCOUNTS 1999
9.
986,014
ESSO MALAYSIA BERHAD
21
9.
FIXED ASSETS (Continued)
Cost or valuation: -----------------------At 1 January, 1998 Additions at cost Disposals Reclassifications
150,371 (344) 12,114
70,351 21,815 (717) -
192,857 (327) 22,455
914,026 (8,979) 62,575
103,121 1,430,726 120,062 141,877 - (10,367) (97,144) -
162,141
91,449
214,985
967,622
126,039 1,562,236
66,961
4,721
18,187
-
95,180
86,728
196,798
967,622
126,039 1,472,367
162,141
91,449
214,985
967,622
126,039 1,562,236
Accumulated depreciation: -----------------------------------At 1 January, 1998 Provision for the year Eliminated on disposals
-
7,056 1,010 (717)
51,631 7,669 (160)
383,567 52,163 (8,009)
-
442,254 60,842 (8,886)
As at December 31, 1998
-
7,349
59,140
427,721
-
494,210
Net Book Value: ---------------------At December 31, 1998
162,141
84,100
155,845
539,901
126,039 1,068,026
Net book value at December 31, 1998 if assets had been carried at cost less depreciation:
102,668
81,035
155,839
539,901
126,039 1,005,482
At December 31, 1998 Representing items at: Valuation-1982 Cost-Post 1982 net additions
ANNUAL REPORT & ACCOUNTS 1999
Buildings Plant Capital Freehold Leasehold and and projectland land improvements equipment in-progress Total RM'000 RM'000 RM'000 RM'000 RM'000 RM'000
-
89,869
The amount of RM126 million in 1998 have been reclassified to capital project-in-progress, to conform with the current year's accounts presentation.
Leasehold land (Net book value) Long leaseholds (unexpired period of fifty years or more) Short leaseholds
22
ESSO MALAYSIA BERHAD
1999 RM'000
1998 RM'000
77,267 6,759
76,950 7,150
84,026
84,100
10.
LONG TERM ASSETS AND RECEIVABLES
Deposits and prepaid rentals Loans to dealers Others
1999 RM'000
1998 RM'000
163,612 4,114 15,175 182,901
151,928 4,335 11,690 167,953
Loans to dealers are in respect of amounts advanced to meet the acquisition cost of service station sites which are subsequently leased to the Company. Loans are repaid by set off against the rental payments which would otherwise be paid to the dealers. 11.
INVENTORIES
Crude oil Petroleum products Materials and supplies
1999 RM'000
1998 RM'000
45,509 56,242 7,992 109,743
56,620 44,743 8,357 109,720
As mentioned in note 2(a) to the accounts, the cost of crude oil and petroleum product inventories is determined on the last-in first-out basis. Application of the first-in first-out basis in determining the cost of crude oil and petroleum product inventories at December 31, 1999 would increase the value by RM122,857,000 (1998: RM10,301,000).
Trade receivables Less: Provision for doubtful debts Other receivables
1999 RM'000
1998 RM'000
83,496 (2,936) 80,560 62,282 142,842
67,060 (4,650) 62,410 33,888 96,298
ANNUAL REPORT & ACCOUNTS 1999
12. RECEIVABLES
Other receivables are generally those of a non-trade nature that arose other than from the sale of products to the Company's customers. Included in the current year balance is an amount of RM50,270,000 (1998 : RM18,977,000) receivable from the Government of Malaysia under the pricing mechanism governing the sale of petroleum products.
ESSO MALAYSIA BERHAD
23
13.
PAYABLES
Trade payables Other payables
14.
- purchases of fixed assets - other liabilities
1999 RM'000
1998 RM'000
144,510 5,052 50,642 200,204
147,786 31,321 43,632 222,739
1999 RM'000
1998 RM'000
135,000
150,000
NOTES PAYABLE (UNSECURED)
Short-term notes
The short-term notes were issued under a RM250 million Commercial Papers Issuance Facility (CPIF). This facility which is available until May 2004 allowed the Company to issue notes of various durations not exceeding twelve months to the Tender Panel Members with the notes offered to the lowest bidder(s). The CPIF is partially underwritten for an amount of RM100 million at a rate that varies according to the Kuala Lumpur Interbank Offered Rate. The short-term notes during the previous year were issued under a Notes Issuance Facility, which was available until May 1999. In summary, the weighted average interest rate for the shortterm notes was 4.3% per annum (1998: 10.5% per annum). 15.
BANK BORROWINGS (UNSECURED)
ANNUAL REPORT & ACCOUNTS 1999
Bank overdrafts Revolving credits Bankers acceptances
1999 RM'000
1998 RM'000
5,422 160,000 165,422
51,475 30,000 88,700 170,175
Interest rates for overdrafts vary with the base lending rate. The interest rates for revolving credits and bankers acceptances depend upon competitive market conditions at the time of each drawing, and generally vary with the Kuala Lumpur Interbank Offered Rate. In summary, the weighted average interest rate for these facilities was 4.4% per annum (1998: 9.7% per annum).
24
ESSO MALAYSIA BERHAD
16.
TERM BORROWINGS (UNSECURED)
US Dollar Term Loan Fixed Rate Term Loan Floating Rate Term Loan Less: Amount repayable within 12 months (Included in current liabilities)
1999 RM'000
1998 RM'000
114,750 150,000 65,000 329,750
114,768 150,000 264,768
(114,750)
-
215,000
264,768
The US Dollar term loan is repayable in full in 2000. The loan carries interest rates at a spread above the London Interbank Offered Rate. The fixed rate term loan facility was negotiated in June 1997 at the commercial rate prevailing at that time. This five year loan is repayable in full in 2002. The floating rate term loan is a five year facility for an amount of RM150 million. This loan carries interest at commercial rates and is repayable in full in 2004. In summary, the weighted average interest rate for these term loans was 7.3% per annum (1998: 7.4% per annum). 17.
DEFERRED TAXATION
Deferred tax provided for in the accounts: Excess of capital allowances over depreciation Inventory valuation Provision for retirement benefits Other timing differences
1999 RM'000
1998 RM'000
98,944 (34,400) (10,191) (1,628)
93,579 (2,884) (9,358) (298)
52,725
81,039
18.
ANNUAL REPORT & ACCOUNTS 1999
The tax effect in respect of the surplus from revaluation of the freehold and leasehold land and buildings of the Company has not been provided as there is no intention to dispose these properties in the foreseeable future. SHARE CAPITAL
Authorised: 300,000,000 ordinary shares of RM0.50 each Issued and fully paid: 270,000,000 ordinary stock units of RM0.50 each
1999 RM'000
1998 RM'000
150,000
150,000
135,000
135,000
ESSO MALAYSIA BERHAD
25
19.
RESERVES
Capital redemption reserve (non-distributable) Retained profits (distributable)
1999 RM'000
1998 RM'000
8,000 205,492
8,000 249,520
213,492
257,520
The Company has sufficient tax credit under Section 108 of the Income Tax Act, 1967 to frank up to approximately RM80,000,000 of the retained profits as at December 31, 1999 if paid out as dividends. However, subject to the approval of tax authorities, the Company has tax exempt account available to frank tax exempt dividends up to approximately RM177,000,000. 20.
CASH AND CASH EQUIVALENTS
Cash and bank balances Bank overdrafts
21.
1999 RM'000
1998 RM'000
33,990 ( 5,422)
5,350 (51,475)
28,568
(46,125)
RELATED PARTY RELATIONSHIPS AND TRANSACTIONS Ultimate Holding Company and Related Companies The Company is a subsidiary of Esso Eastern Incorporated, which in turn is a wholly owned subsidiary of Exxon Mobil Corporation, both companies incorporated in the United States of America. Exxon Mobil Corporation is regarded by the Directors as the ultimate holding company of the Company. Related companies are Exxon Mobil Corporation and its other subsidiaries.
ANNUAL REPORT & ACCOUNTS 1999
Intercompany Transactions
Purchases of crude oil, petroleum and other products from related companies Sales of petroleum and other products to related companies Allocation of shared services from related companies
1999 RM'000
1998 RM'000
2,061,512
1,609,100
379,757
467,198
32,808
34,006
The sale and purchase transactions were conducted on an arms-length, commercial basis in the ordinary course of business.
26
ESSO MALAYSIA BERHAD
COMMITMENTS FOR CAPITAL EXPENDITURE 1999 RM'000
1998 RM'000
28,808 13,528
38,186 19,813
42,336
57,999
1999 RM'000
1998 RM'000
922 228
1,005 210
1,150
1,215
1999 RM'000
1998 RM'000
Within 1 year After 1 year but within 2 years After 2 years but within 5 years After 5 years
8,200 7,997 23,691 37,205
7,840 7,735 22,050 51,355
Leasing commitments where milestone payments are dependent upon approvals from relevant authorities or the occurrence of events as specified under the said lease agreements
16,435
29,404
Commitments for the purchase of fixed assets authorised by the Directors but not provided for in the accounts Contracted Not contracted
23.
CONTINGENT LIABILITIES (UNSECURED)
Guarantees to third parties to secure housing and car loans for employees under the Company's benefits plan Litigation and other claims against the Company
24.
LEASING COMMITMENTS
As at balance sheet date, leasing commitments under non-cancellable operating leases were payable:
ESSO MALAYSIA BERHAD
ANNUAL REPORT & ACCOUNTS 1999
22.
27
STATEMENT BY DIRECTORS PURSUANT TO SECTION 169(15) OF THE COMPANIES ACT, 1965 We, Dato' Philip J. Dingle and Tun Dato' Haji Omar Yoke Lin Ong, two of the Directors of Esso Malaysia Berhad, state that in the opinion of the Directors, the accounts set out on pages 14 to 27 have been made out in accordance with the applicable approved Accounting Standards in Malaysia, and are drawn up so as to give a true and fair view of the state of affairs of the Company at December 31, 1999 and of the results of the Company and its cash flows for the year ended on that date. On behalf of the Board
Dato' Philip J. Dingle
YABhg Tun Dato' Haji Omar Yoke Lin Ong Kuala Lumpur, February 24, 2000
DECLARATION PURSUANT TO SECTION 169(16) OF THE COMPANIES ACT, 1965
ANNUAL REPORT & ACCOUNTS 1999
I, Steven C. Spancake, the Director primarily responsible for the financial management of Esso Malaysia Berhad, do solemnly and sincerely declare that the accounts set out on pages 14 to 27, are in my opinion 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.
Steven C. Spancake Subscribed and solemnly declared by the above named Steven C. Spancake at Kuala Lumpur in Malaysia on February 24, 2000 before me.
Datin Raihela bte Wan Chik Commissioner for Oaths Kuala Lumpur
28
ESSO MALAYSIA BERHAD
REPORT OF THE AUDITORS TO THE MEMBERS OF ESSO MALAYSIA BERHAD We have audited the accounts set out on pages 14 to 27. These accounts are the responsibility of the Company's Directors. Our responsibility is to express an opinion on these accounts based on our audit. We conducted our audit in accordance with approved Auditing Standards in Malaysia. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the accounts are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the accounts. An audit also includes assessing the accounting principles used and significant estimates made by Directors, as well as evaluating the overall accounts presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion: (a)
the accounts give a true and fair view of the state of affairs of the Company as at December 31, 1999 and of its results and cash flows for the year ended on that date in accordance with the applicable approved Accounting Standards in Malaysia, and comply with the Companies Act, 1965; and
(b)
the accounting and other records and the registers required by the Act to be kept by the Company have been properly kept in accordance with the provisions of the Act.
ANNUAL REPORT & ACCOUNTS 1999
PRICEWATERHOUSECOOPERS (No. AF-0052) Public Accountants
ERIC OOI LIP AUN [ No. 1517/6/00 (J) ] Partner of the firm Kuala Lumpur February 24, 2000
ESSO MALAYSIA BERHAD
29
AUDIT COMMITTEE & GENERAL INFORMATION AUDIT COMMITTEE JAWATANKUASA AUDIT THE AUDIT COMMITTEE WAS ESTABLISHED ON APRIL 5, 1994, COMPRISING THE FOLLOWING MEMBERS: JAWATANKUASA AUDIT TELAH DITUBUHKAN PADA 5 APRIL, 1994, AHLI-AHLINYA TERDIRI DARIPADA: YABHG TUN DATO' HAJI OMAR YOKE LIN ONG
! to perform such other functions as may be agreed to by the Audit Committee and the Board of Directors. TANGGUNGJAWAB ADALAH:
- rancangan audit Syarikat; - penilaian mereka mengenai sistem kawalan akaun dalaman; dan laporan audit.
YBHG TAN SRI HASHIM AMAN
YBHG TAN SRI DR. SYED JALALUDIN BIN SYED SALIM
Member Ahli Independent Non-executive Director Pengarah Bebas bukan Eksekutif - Appointed w.e.f. February 15, 2000 - Dilantik pada 15 Februari, 2000
MR OOI POH KHENG Member Ahli Executive Director
Pengarah Eksekutif
MR STEVEN C. SPANCAKE
Alternate member to Mr. Ooi Poh Kheng Ahli bergilir kepada Encik Ooi Poh Kheng Executive Director Pengarah Eksekutif
MR LEE CHONG SAN
Secretary - Resigned w.e.f. February 1, 2000 Setiausaha - Meletak jawatan pada 1 Februari, 2000
MR EDWARD V. RAJASINGAM
ANNUAL REPORT & ACCOUNTS 1999
Secretary - Appointed w.e.f. February 24, 2000 Setiausaha - Dilantik pada 24 Februari, 2000
THE FUNCTIONS OF THE AUDIT COMMITTEE SHALL BE: ! to review with the internal Auditor and the external Auditor of the Company appointed in accordance with section 172 of the Companies Act, 1965: - the audit plan of the Company; - their evaluation of the system of internal accounting controls; and the audit report. ! to review the assistance given by the Company's officers to the internal and external Auditors; ! to review the scope and results of the internal audit procedures; ! to review the balance sheet and profit and loss statement of the Company, and thereafter to submit them to the Directors of the Company; ! to review any related party transactions that may arise within the Company; ! to nominate a person or persons for appointment as Auditor of the Company in accordance with section 172 of the Companies Act, 1965; and 30
ESSO MALAYSIA BERHAD
AUDIT
! untuk menyemak dengan Juruaudit dalaman dan Juruaudit luar Syarikat yang dilantik mengikut seksyen 172 Akta Syarikat, 1965:
Chairman Pengerusi Independent Non-executive Director Pengarah Bebas bukan Eksekutif
Member Ahli Independent Non-executive Director Pengarah Bebas bukan Eksekutif - Resigned w.e.f. January 1, 2000 - Meletak jawatan pada 1 Januari, 2000
JAWATANKUASA
! untuk menyemak bantuan yang diberikan oleh pegawai-pegawai Syarikat kepada juruaudit dalaman dan luar; ! untuk menyemak skop dan keputusan peraturan-peraturan audit dalaman; ! untuk menyemak kunci kira-kira dan akaun untung-rugi Syarikat, dan seterusnya mengemukakannya kepada Pengarah-Pengarah Syarikat; ! untuk menyemak urusan pihak berkaitan yang mungkin timbul dalam Syarikat; ! untuk menamakan seorang atau lebih untuk dilantik sebagai Juruaudit Syarikat mengikut seksyen 172 Akta Syarikat, 1965; dan ! untuk menjalankan tugas-tugas lain yang dipersetujui oleh Jawatankuasa Audit dan Lembaga Pengarah. GENERAL INFORMATION AUDITORS JURUAUDIT
MAKLUMAT AM
PricewaterhouseCoopers Public Accountants Akauntan Awam Kuala Lumpur
SOLICITORS
PEGUAMCARA
!
Skrine, Kuala Lumpur
! ! !
Messrs. Tetuan Messrs. Tetuan Messrs. Tetuan Kuala Lumpur Messrs. Tetuan
Raja, Darryl & Loh, Kuala Lumpur Azman, Davidson & Co.,Kuala Lumpur Ng Yook Woon, Andrew T.C. Saw & Co.,
REGISTERED OFFICE
PEJABAT BERDAFTAR
EMB Company Secretary's Office Level 16, Menara Esso, Kuala Lumpur City Centre, 50088 Kuala Lumpur Tel: 2033000
SHARE REGISTRARS
PENDAFTAR SAHAM
M & C Services Sdn. Bhd. 11th Floor, Wisma Damansara, Jalan Semantan, Damansara Heights, 50490 Kuala Lumpur Tel: 2557188
ANALYSIS OF STOCKHOLDINGS As at April 14, 2000
Class of stocks: Ordinary stock unit (RM0.50) Voting right: One vote per stock unit
1 500 5,001 10,001 100,001 Above
Size of Holdings 499 5,000 10,000 100,000 1,000,000
No of Stockholders
% of Stockholders
699 8,958
5.89
Number of Units 105,829
1,209 943 53
75.47 10.19 7.94 0.45
17,518,109 9,658,754 24,399,625 13,958,120
7
0.06
204,359,563
75.69
11,869
100.00
270,000,000
100.00
1,000,000 TOTAL
% of Issued Capital 0.04 6.49 3.58 9.03 5.17
As at April 14, 2000 Name 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20.
No. Of Units Held 175,500,000 11,388,563 10,065,000 2,465,000 2,312,000
% of Issued Capital 65.00 4.22 3.73 0.91 0.86
1,330,000 1,299,000 837,000
0.49 0.48 0.31
Amanah Raya Nominees (Tempatan) Sdn. Bhd.
805,000
0.30
KE-ZAN Nominees (Asing) Sdn. Bhd.
771,000
0.28
Cartaban Nominees (Asing) Sdn. Bhd.
722,600
0.27
Asia Life (M) Berhad
715,000
0.26
Cartaban Nominees (Asing) Sdn. Bhd.
576,000
0.21
Lim Seng Chee Bumiputra-Commerce Trustee Berhad
531,000 381,000
0.20 0.14
Eng Guan Chan Sdn. Berhad Kumpulan Wang Amanah Pencen Asia Life (M) Berhad
367,800 348,000 347,000
0.14 0.13 0.13
Universal Trustee (Malaysia) Berhad
323,000
0.12
Yap Chai Company Sdn. Bhd.
316,000
0.12
211,399,963
78.30
Esso Eastern Inc. The Central Depository (Pte) Limited Employees Provident Fund Board Lembaga Tabung Haji Amanah Raya Nominees (Tempatan) Sdn. Bhd.
(Skim Amanah Saham Bumiputra)
Universiti Malaya Malaysia National Insurance Berhad RHB Nominees (Tempatan) Sdn. Bhd.
(Rashid Hussain Asset Management Sdn. Bhd. For Pertubuhan Kebangsaan Melayu Bersatu atau UMNO) (Sekim Amanah Saham Nasional)
(Kim Eng Securities (Private) Limited for See Hoy Chan (S) Pte Limited) (State Street Bank and Trust Fund For IFC Emerging Markets Fund-Malaysia)
(Malaysia Life Fund)
(State Street Bank & Trust Fund For Employee Trusts)
(Amanah Saham Darul Iman)
(As Beneficial Owner (Non Par Fund) (Mayban Balanced Trust Fund)
ANNUAL REPORT & ACCOUNTS 1999
TWENTY LARGEST STOCKHOLDERS
SUBSTANTIAL STOCKHOLDERS As at April 14, 2000 Name
1. 2. 3.
Esso Eastern Inc The Central Depository (Pte) Limited Employees Provident Fund Board
No. Of Units Held
% of Issued Capital
175,500,000 11,388,563 10,065,000
65.00 4.22 3.73
ESSO MALAYSIA BERHAD
31
PROPERTIES OWNED AS AT DECEMBER 31, 1999
FEDERAL TERRITORY 315, Jalan Ampang 125, Jalan Maharajalela Lots 6-10, 31, 426-430, Section 7, Setapak 131, Jalan Pasar 245, Jalan Bukit Bintang 29, Jalan Damansara Indah 69, Jalan Dang Wangi Lot 31362, Mukim Petaling Lot PT 11134, Jalan Segambut Lot 49260, Mukim Kuala Lumpur Lot 212 & 2042, Section 99, Mukim of Petaling Lot 3125, Mukim of Petaling PT 1642, Sungai Untut, Setapak Lot 26495, 6 ¼ ML Jalan Sg. Besi, Mukim Petaling Lots 51 & 52, Section 98, Kuala Lumpur Lot 199 & 200, Section 96, Kuala Lumpur Lot 1758, Mukim Setapak, Kuala Lumpur PT 22391, Mukim Cheras Lot 435, (PT 32725), 14, Jalan Cheras Lot 26494, Mukim Petaling, Wilayah Persekutuan Part of Lot 1280, Jalan Medan Midah, Kuala Lumpur Lot 293, Seksyen 63, Jalan Pekeliling Lot 20021, Jalan Genting Kelang, Mukim Setapak HS(D) 51787-51795 Mukim Kuala Lumpur Lot 64, Seksyen 88, Bandar Kuala Lumpur HS(D) 77348, PT 107, Section 92A, Jalan Sungai Besi PT 4062, Jalan Mewah, Cheras, Kuala Lumpur Lot 23440, Mukim Setapak Lot 8094, Jalan Kuchai Lama PT 1604 & 1668, Mukim Ampang
ANNUAL REPORT & ACCOUNTS 1999
SELANGOR Lots 83-88, Section 3, Banting Lots 499 & 82, Section 24, Kelang Lots 222-226, Section 23, Kelang Lot 230, Mukim of Klang Lot 1352, Mukim of Damansara Lots 9179 & 9180, Mukim Sungai Buloh, Daerah Petaling PT 13123, Mukim Raja, Kelang PT 13122, Mukim Raja, Kelang PT 19199, Jalan Sungai Rasa, Mukim Kapar, Kelang Lot 1115 & 1116, Petaling Jaya PT 12368, Mukim Klang PT 3637, Mukim Telok Panglima Garang PT 15209, Mukim Damansara, Petaling Jaya Lot PT 43708 Mukim Kelang PT 22493, Mukim Batu Gombak PT 1444, Mukim Sepang PT 46121, Mukim Daerah Klang, Selangor Lots 21696 & 21728, Mukim Kapar, Daerah Klang Lot 703, Mukim Bukit Raja, Klang Lot 19, Section 18, Ampang Pechah, Kuala Kubu Bharu Lot 9353 HS(D) 41833, Daerah Klang, Esso Taman Sri Muda P2 Lot 9340 HS(D) 41825, Daerah Klang, Esso Taman Sri Muda P3 PT 21440, Daerah Kelang, Selangor PT 1517, Mukim Batu, Gombak, Batu 8, Jalan Rawang No. PT 2204, HS(D) 15872, MK Ulu Kelang Lot 10513, Taman Putra, Mukim Ampang Lot 12276, MK of Batu Selangor, Mukim Batu Lot 4, Jalan Raya 2, Petaling, Serdang Lot PT 334, Mukim Petaling, Daerah Petaling PT 7234, HS(M) 5288, Daerah Petaling, Sungai Buloh Lot 1850, Mukim Ampang PT 23489, HS(M) 14599, Mukim Batu, Gombak, Selangor PT 20061, Daerah Petaling, Selangor Lot 49, Section 27, Lorong Utara, Petaling Jaya Lot No. 15, Road 201, Petaling Jaya, Selangor PT 18428, Mukim Batu, Gombak PT 4675, Jalan Balakong, Mukim Petaling PT 902, Mukim Sungai Buloh, Damansara Highway PT 30165, Jalan Kuari, Mukim Ampang, District of Ulu Langat PT 11448, Taman Subang Indah, Mukim Damansara PT 12581, Tempat Batu 10, Petaling Tin, Mukim Damansara PT 7906, Mukim Bukit Raja, Petaling, Selangor Lot 390, Section 3, Bandar Petaling Jaya, Jalan Selangor PT 8542, Mukim Kapar, Daerah Klang PT 2942, Mukim Rawang, Daerah Gombak Seksyen 5, Pekan Meru, Mukim Kapar PT 30186, Mukim Ampang, Ulu Kelang
32
ESSO MALAYSIA BERHAD
Tenure F F F F F F F F F F F F F F F F F F F F F L L L L L L L L L
L.A. 4,659 789 929 983 2,137 1,673 1,495 2,354 1,734 1,714 4,055 2,080 1,757 2,250 1,405 2,017 1,926 2,769 4,048 5,669 929 1,406 1,987 1,715 1,917 2,081 4,622 1,417 3,437 2,437
F F F F F F F F F F F F F F F F F F F F F F L L L L L L L L L L L L L L L L L L L L L L L L L
1,115 1,392 932 1,439 1,282 4,138 1,505 1,580 1,765 2,085 3,188 2,741 2,022 2,395 2,684 4,047 2,345 4,032 4,088 2,954 1,481 1,609 4,048 2,137 1,233 1,644 1,440 2,448 3,577 2,370 1,413 2,017 1,773 1,858 4,047 2,118 1,530 3,055 1,672 3,273 2,580 3,237 1,057 1,980 2,723 1,859 2,186
D.O.P.
PERAK Lot 2672, Mukim of Bidor Lot 2225, Teluk Intan Lots 3257, 3258 & 32A, District of Larut & Matang Lot 2505, Taiping Lots 2878 & 2875, Mukim of Parit Buntar, Krian Lots 2168-2172, Taiping Lot 30480, Jalan Gopeng, Daerah Kinta Lots 3637-3643, Ipoh, Daerah Kinta Lot 2738N, Ipoh, Daerah Kinta Lots 916-919, Ipoh, Daerah Kinta Lots 3045N-3049N, Ipoh, Daerah Kinta Lot 103476 & 30982, Mukim Ulu Kinta Lot 17898, Mukim of Teja, Ipoh Lot 29881, Pusing, Daerah Kinta Lots 455-462, Menglembu, Daerah Kinta Lot 61406, Jalan Tasek, Ipoh Lot 9202, Mukim Sitiawan PT 146342, Mukim Hulu Kinta, Daerah Kinta, Perak Grant Nos. 1115-1117 & 1128-1130, 245, Jalan Besar, Sungai Siput Lots 10321 & 4459, 2 ¼ Mile, Ipoh, Perak Lot 36173, Batu Gajah PT 40, Kampar, Tasek Ind. Estate Site, Ipoh Lot 1803, Mukim Asam Kumbang Lot 162, Town of Tg. Tualang, District Kinta Lots 964 & 100, Tasek PT 153632 Mukim Ulu Kinta, Ulu Kinta PT 4825, Daerah Manjung PENANG Lot 1991, Section 12, Georgetown, Daerah Timor Laut Lots 425, 433 & 144, Mukim 7, Province Wellesley Lot 402, Mukim 1, Daerah Central Penang Lot 33, Section 4, Daerah Timor Laut Lots 1684 & 378, 79, Jalan Mcalister Lot 389, 32A, Jalan Ayer Itam Lot 1791, Tanjong Bungah Lots 1011, 449 & 452, 539, Jalan Dato Keramat Lot 152, 219A, Jalan Jelutong PT 783 & 784, Section 4, Seberang Perai Utara Lot 140, Section 2, Seberang Perai Utara Lot 152, Section 9, Jelutong Lots 95-125, 128, Lots 2328-2338, Bagan Luar Lots 7632, 7633, 7634 & 622, Sungai Nibong, Mukim 13 Lot 3565, Mukim 6, Seberang Prai Tengah, Butterworth Lot No Part 229/XIV, Mukim Bukit Mertajam Lot 1213, Mukim 4, Daerah Seberang Perai Esso Jalan Permatang Pauh Lot 5166 HS(D) 2986, Mukim 14, Daerah Prai Selatan Esso Bukit Tambun Pegangan No 2339, Seksyen 4, Bandar Butterworth Daerah Seberang Perai Utara KEDAH Lot 4136, Mukim of Sungai Petani Lot 20, Section 49, Sungai Petani, Daerah Kuala Muda Lots 151 & 3056, Mukim Pengkalan Kundor PT 3928, Mukim Alor Malai, Alor Setar PT 1595, Mukim Kulim, Daerah Kulim Lot 22384, Mukim Sungai Petani, Daerah Kuala Muda NEGERI SEMBILAN Lots 4510-4516, 4586, 4514, 4605, 4522, 4511, 4513 & 4515, Mukim of Ampangan Lots 2298-2303, Mukim of Ampangan Lot 3246, Daerah Jempol Lot 4590, Village of Nilai Lot 1305, Port Dickson Lots 3468-3471, Seremban Lots 687 & 697, Mukim of Jelai Lots 2645 & 2647, Mukim Port Dickson (Lots 2646 & 2648) & 15 other small lots, Mukim Port Dickson Lot 18171, (PT 940), Batu 2, Jalan Ampangan 70400 Seremban Lot Nos. PT 12697-12699, Tuanku Jaafar Industrial Estate, Seremban PT 3861, Mukim Rasah, Seremban Pipeline to Jetty, Lot 2201 & 1931, Lots 135-141 PT 14782, Mukim Ampangan, Panchor Jaya PT 14782, Mukim Ampangan, Persiaran Senawang 1
Tenure F F F F F F F F F F F F F F F F F F
L.A. 902 892 1,640 1,280 1,390 756 3,895 1,049 1,748 693 929 1,463 2,200 1,796 1,479 1,415 4,639 2,163
F F L L L L L L L
847 2,582 1,110 819 18,057 719 26,305 3,610 3,717
F F F F F F F F F F F F F F F F
1,395 1,145 1,627 1,774 1,620 2,126 781 993 743 1,998 1,859 4,917 43,780 1,536 2,969 1,009
F
6,817
F
2,392
L
1,566
F F F F F F
919 873 239 2,569 2,913 2,625
F 1,207 F 1,185 F 2,937 F 839 F 1,821 F 798 F 278 F 41,816 F 1,590,154 F
2,074
F L L L L
30,171 3,437 717,747 4,319 3,659
D.O.P
JOHORE Lot MLO 643, Mukim of Simpang Kanan, Batu Pahat Lot 3250, Mukim of Simpang Kanan, Batu Pahat Lot 3567, Mukim Kesang, Daerah Muar Lot 890, Township Segamat, District of Batu Pahat TLO 2084, Jalan Salleh Lot 535, Township of Bandar Penggaram District of Batu Pahat TLO 4111 Bandar Johore Bharu Lot 456, Town of Mersing Lot 15317, Bandar of Johore Bharu Lot 151, Township of Pontian Kechil, District of Pontian Lot 480, Mukim Tebrau Lot 375, Mukim Bandar Penggarang Lot 634, Mukim Kota Tinggi No PTB 4771, Bandar Kluang, Johor PTD 54009 MK Tebrau, Johor Bahru MLO No 0825, District of Johor Bahru Lot 25729, Mukim Kluang
Tenure F F F
L.A. 1,177 1,839 645
F F F F F F F F F L
592 1,674 1,105 822 743 3,716 2,251 2,788 1,652 268
F F F F F
1,467 860 1,432 976 1,114
F F F F F F F F F F F F
1,897 1,985 1,232 1,394 841 1,745 2,414 9,105 1,940 2,021 2,787 3,608
D.O.P.
Lot 6280, Town & District of Johore Bahru PTD 127533, Mukim Plentong, Daerah Johor Bahru Lot 18302, Jalan Kebun Teh, Johore Lot 2055, Jalan Mengkibol, Kluang PT 20417, Daerah Johor Bahru PT 87837, Mukim Pulai, Daerah Johor Bahru PT D64145, Mukim Tebrau, Daerah Johor Bahru
Tenure F F F L L L L
L.A. 5,933 4,624 1,564 2,300 2,406 2,274 4,298
TERENGGANU Lot 1745, Daerah Kuala Trengganu Lots 108 & 109, Part of 102, Town of Chukai Lot 2904-2907, Mukim of Batu Buruk Lot 3550, Dungun SS
F F F L
770 1,122 1,649 1,532
PAHANG Lots 59-53, Section 18, Kuantan Lot 7171, Mukim Kota Kuantan Lot 13, Section 7, Pekan Lot 9141, PT 2266, Mukim Kota Kuantan Lot 14, Section 20, Bentong Lot 1804, Mukim Sabai, Bentong Lots 73-76, Section 8, Raub Lot 50, Section 8, Mukim of Raub Lot 19, Section 10, Bandar Temerloh PT 28106, Mukim Kuala Kuantan PT 29313, Mukim Kuala Kuantan Lot PT 2291, Mukim Kuala Lipis Lot 2, Section 19, Bentong, Pahang Lot 4691, Mukim Kuala Kuantan
F F F F F F F F F F F F F L
17,461 1,181 821 1,046 1,022 1,971 889 945 1,268 3,232 1,961 4,048 50 5,771
KELANTAN Lots 231 & 233, 1 Lorong Minyak Gas Lot 171, Jalan Sultan Ibrahim, Kota Bharu Lot 552, Bandar Machang
F L L
6,227 1,742 1,030
TENURE
LAND AREA (L.A.)
F Freehold L Leasehold
(Sq. Metre)
D.O.P.
DESCRIPTION OF PROPERTY (D.O.P.) Service Station Vacant Land Pipeline Site Refinery Ancillary Building And Quarters Mooring Dolphins and Piers LPG Redistribution Centre Product Jetty Lubes Distribution Centre Bulk Plant Filling Station Refinery Phased-Out Distribution Plant Storage and Distribution Plant
ESSO MALAYSIA BERHAD
ANNUAL REPORT & ACCOUNTS 1999
MALACCA Lots 94-101, Village of Alor Gajah, Northern District Lot 723, Mukim Balai Panjang, Central Malacca Lots 394-397, Town of Area XXIX, Central Malacca Lots 31-33 & 1632, Section 111/M, Village of Masjid Tanah Northern District Lot 454 (New Lot No 930), Town Area V11, Melaka Tengah Lot 817, Klebang Kechil Lots 4 to 8, Mukim of Jasin, Southern District Lot 140, A, Jalan Semabok Lot 262, (Lot 467), Mukim Bertam, Daerah Melaka Tengah Lots 527, 78, 770, 462 Jalan Munsi Abdullah, Malacca Lot 7529, Mukim Bukit Baru, Malacca Holding No 153, Bukit Baru, Malacca Lot 511, & QTR 385, District of Malacca Central
33
NOTICE OF ANNUAL GENERAL MEETING NOTICE IS HEREBY GIVEN that the Forty-first Annual General Meeting of the Company will be held at the TRAINING CENTRE, LEVEL 18, MENARA ESSO, KUALA LUMPUR CITY CENTER, 50088 KUALA LUMPUR on Thursday, June 22, 2000 at 10:30 a.m. for the purpose of transacting the following business: 1. To receive and adopt the Company's Accounts for the year ended December 31, 1999 and the Directors' and Auditors' Reports thereon 2. To re-elect Mr. Steven C. Spancake, a Director retiring in accordance with Articles 104 and 105 of the Company's Articles of Association 3. To re-elect YBhg Tan Sri Dr. Syed Jalaludin bin Syed Salim, a Director retiring in accordance with Article 109 of the Company's Articles of Association 4. To consider and if thought fit, pass the following resolutions pursuant to Section 129 of the Companies Act, 1965: "That YABhg Tun Dato' Haji Omar Yoke Lin Ong, a Director who retires in accordance with Section 129 of the Companies Act, 1965 be and is hereby re-appointed as a Director of the Company to hold office until the conclusion of the next Annual General Meeting" 5. To approve the payment of Directors' fees 6. To re-appoint Messrs. PricewaterhouseCoopers as Auditors of the Company and to authorise the Directors to fix their remuneration
ANNUAL REPORT & ACCOUNTS 1999
7.
To transact any other ordinary business of the Company
Kuala Lumpur April 10, 2000
Note:
By Order of the Board Rajabee Mohd Yusoff MAICSA 0743587 Secretary
A member of the Company entitled to attend and vote is entitled to appoint a proxy or proxies to attend and vote instead of the member. A proxy need not be a member of the Company. The instrument appointing a proxy must be deposited at the registered office of the Company, EMB Company Secretary's Office, Level 16, Menara Esso, Kuala Lumpur City Center, 50088 Kuala Lumpur not less than 48 hours before the time set for the meeting.
34
ESSO MALAYSIA BERHAD
ESSO MALAYSIA BERHAD ( Company No. 3927-V ) ( Incorporated in Malaysia )
PROXY
FORM
( Before completing the form please see notes overleaf ) "A" I / We _____________________________________________________________________________________ ( Full Name in Block Capitals )
of _____________________________________________________________________________________________ ( Address )
being a member / members of the above-named Company hereby appoint _______________________________________________________________________________________________ ( Full Name )
of _______________________________________________________________________________ whom failing ( Address )
_______________________________________________________________________________________________ ( Full Name )
of _________________________________________________________________________________as my *first ( Address )
proxy to attend and vote for me / us on my / our behalf at the Annual General Meeting of the Company to be held on Thursday, June 22, 2000 at 10:30 a.m. and at any adjournment thereof. "B" Where it is desired to appoint a second proxy this section must also be completed, otherwise it should be deleted. I / We ________________________________________________________________________________________ (Full Name in Block Capitals )
of _____________________________________________________________________________________________ ( Address )
being a member / members of the above-named Company hereby appoint _______________________________________________________________________________________________ ( Full Name )
of ________________________________________________________________________________whom failing ( Address )
_______________________________________________________________________________________________ ( Full Name )
of _______________________________________________________________________________as my second ( Address )
proxy to attend and vote for me / us on my / our behalf at the Annual General Meeting of the Company to be held on Thursday, June 22, 2000 at 10:30 a.m. and at any adjournment thereof. The proportions of my holding to be represented by my proxies are as follows: First proxy "A" Second proxy "B"
% % 100 %
“C" My instruction to my proxy / proxies are to vote as follows: Resolutions
For
Against
1. Receive and adopt Company accounts 2. Re-elect Mr. Steven C. Spancake 3. Re-elect YBhg Tan Sri Dr Syed Jalaludin bin Syed Salim 4. Approve resolution that YABhg Tun Dato' Haji Omar Yoke Lin Ong be re-appointed a Director 5. Approve payment of Directors' fees 6. Re-appoint Auditors and authorise Directors to fix their remuneration 7. Any Other Business In case of a vote taken by a show of hands *first proxy "A"/* second proxy "B" shall vote on my behalf.
Signed this ________________day of June 2000.
__________________________ Signature of Member (s)
* Delete if not applicable Notes: 1. A member of the Company entitled to attend and vote at a meeting of the Company is entitled to appoint a proxy or proxies to attend and vote instead of the member. A proxy need not be a member of the Company. The instrument appointing a proxy must be deposited at the registered office of the Company, EMB Company Secretary's Office, Level 16, Menara Esso , Kuala Lumpur City Centre , 50088 Kuala Lumpur not less than 48 hours before the time set for the meeting. 2. Where a member appoints two proxies, the appointments shall be invalid unless he specifies the percentage of his holding to be represented by each proxy. 3. In the case of a corporation, the instrument appointing a proxy or proxies must be under seal or under the hand of an officer or attorney duly authorised. 4. Unless otherwise instructed, the proxy may vote as he thinks fit.
N O T IS M E S Y U A R A T A G U N G TA H U N A N ADALAH DENGAN INI DIBERITAHU bahawa Mesyuarat Agung Tahunan yang Keempat Puluh Satu bagi Syarikat ini akan diadakan di PUSAT LATIHAN, ARAS 18, MENARA ESSO, KUALA LUMPUR CITY CENTER, 50088 KUALA LUMPUR pada hari Khamis, 22 Jun, 2000 jam 10:30 pagi dengan tujuan mengendalikan urusan-urusan berikut: 1.
Menerima dan meluluskan Akaun-akaun Syarikat bagi tahun berakhir 31 Disember, 1999 dan juga Laporan Pengarah serta Laporan Juruaudit mengenainya
2.
Memilih semula Encik Steven C. Spancake, Pengarah yang bersara mengikut Perkara 104 dan 105 Tataurusan Pertubuhan Syarikat
3.
Memilih semula YBhg Tan Sri Dr. Syed Jalaludin bin Syed Salim, Pengarah yang bersara mengikut Perkara 109 Tataurusan Pertubuhan Syarikat
4.
Menimbangkan dan jika difikirkan sesuai, meluluskan resolusi-resolusi berikut mengikut Seksyen 129 Akta Syarikat, 1965;
5.
Meluluskan pembayaran ganjaran Pengarah-Pengarah
6.
Melantik semula Tetuan PricewaterhouseCoopers sebagai Juruaudit Syarikat dan memberi kuasa kepada Pengarah- Pengarah untuk menetapkan imbuhan mereka
7.
Menguruskan lain-lain urusan biasa Syarikat
Dengan Perintah Lembaga Pengarah Rajabee Mohd Yusoff MAICSA 0743587 Setiausaha Kuala Lumpur 10 April, 2000 Nota:
Seorang ahli Syarikat yang berhak hadir dan mengundi adalah berhak melantik seorang wakil atau wakil-wakil untuk hadir mengundi bagi pihak ahli. Wakil itu tidak semestinya seorang ahli Syarikat. Surat perlantikan wakil hendaklah diserahkan di pejabat berdaftar Syarikat iaitu Setiausaha Syarikat EMB, Aras 16, Menara Esso, Kuala Lumpur City Center, 50088 Kuala Lumpur, tidak lewat dari 48 jam sebelum waktu mesyuarat yang telah ditetapkan.
ESSO MALAYSIA BERHAD
IBC
ANNUAL REPORT & ACCOUNTS 1999
"Bahawa YABhg Tun Dato' Haji Omar Yoke Lin Ong, Pengarah yang bersara menurut Seksyen 129 Akta Syarikat, 1965, dengan ini dilantik semula sebagai Pengarah Syarikat untuk memegang jawatan sehingga tamat Mesyuarat Agung yang akan datang
