Khazanah “loses” RM18.0 billion ‘only’, TNB “loses” RM1.5 billion ‘only’

Well here is more stuff from the GLCs. The Star says today that Khazanah Nasional Berhad has ‘lost’ RM18.0 billion in the value of its investment portfolio.

In 2008, Khazanah’s investment portfolio declined with the overall portfolio realisable asset value (RAV) at RM70.4bil as at Dec 31 against RM88.2bil at May 31.

This is a round about way of saying RM18.0 billion has gone out the window. What got my attention was the way The Star tried glossing things over. Their headline said : ‘Khazanah To Invest RM58.0 billion’.

First off I thought, Wow! Then only when you read the story, you can see the stuff hitting the fan. But what does Khazanah’s boss say?

“. . it was in line with the sharp decline in asset values globally and domestically,” Azman said.

Oh well. Kalau macam tu tak apa lah. What’s the big deal? Its only taxpayers money. After all we have lots more oil in the ground. A few hundred billion Ringgits worth at least.

Then on the same page the headline about TNB says they made an operating profit of RM942 million. Again Wow!

But when I read the story, more stuff hit the fan. It was more spin. TNB had actually made a FOREX loss of RM1.439 billion. This helped wipe out the RM942.0 million Operating Profit, plus other business inefficiencies which negatively impacted poor TNB (one of the largest monopolies in the country), the final outcome was a loss of RM944.0 million for its quarter ended Nov 30th.

And what did TNB’s CEO say?