This is the most idiot one, just simply point finger to others.... my business nothing to do with kronies or politician, I supply to Hong Kong, Singapore, China & Middle East.. Not even once I got chance supply to Petronas cause they got Vendor Development Program (VDP) holder. Even though I have VDP contract for Pump & Valve but still in R&D (since Sept' 08, spend USD2.5m). My self not even think 2nd stage for API & Lloyd boards testing at this moment... Mechanical seal size 3" price USD62,500 each... USD62,500 x <1200 unit p.a (max) = USD75m @ RM3.00 = RM225m (profit 40%)

I can call U an Idiot cause can't think Business Vs SBLC & LC.. just for Ur info SBLC/LC always used for overseas trading. Especially SBLC, Issuer banker must be from overseas bank. Local trading, people always ask for credit term...... 30 / 45 / 60 days

Another bad experience I got,  lost 2 unit Apartment & a unit Terrace house in 2007 to "Along".. Who has deal with "Along" before, they know how scared they are...  

---

Added on October 14, 2011, 11:28 am
Normal FD... just for Ur info... RM36m just a little, got a lot people place FD >RM60m.. even younger than me got RM100m in FD...

---

Added on October 14, 2011, 12:19 pm
Bank paper mean your buyer bank paper like Standby Letter of Credit (SBLC), Letter of Credit (LC), Documentary Credit & etc.. Let say U have contract supply Coal (just example) to China with payment trough LC (per shipment) but U have limited capital, RM500k... The best U can do ask Ur buyer issue SBLC for the whole year shipping as collateral, let say USD80m (coal cost USD55m).. After that place your SBLC at your banker for Over Draft Facility but don't ask to much cause interest will charges (std rate BLR + 1.5%).. How much to request?

1) Calculate the whole year Mgmt Cost.. Let say RM1.5m
2) Coal cost for starting till U get 1st Claim, which U can rooling it back. Depends on Ur LC term & condition (std >15 days after delivery).. Let say USD10m @ Rm3.00.

Than U just need OD around = RM31.5m, interest will be charge RM2.5515m (8.1% = 6.6% + 1.5%)... If took OD at whole Coal cost, USD55m @ Rm3.00 = RM165m.. interest will be charge RM13.365m... U can see the diff was huge RM2.5515m vs RM13.365m = >RM10m....

This is what I mean using "Bank Paper to get Bank Money to make more Money".... Never use your Capital to make money cause it was limited...