Yup, you got it right. Though I'm not sure if there is further admin costs or not for the conversion at the expiry of the warrants.

Dividend yield is dependent on investors buying price. I believe handsome dividned is based more on how much of their EPS are they gonna give out to shareholders.

Yeah, I still remember buying it based on 6% yield at that time. Over time already >10% yield. All thanks to the forummers here for advice.

Companies rather increse allowances, so overtime calculation won't be affected.

Minimum wage is based on gross salary instead of basic. As long as your take home pay is above the minimum, no reason why the salary earner should remain in the "hardcore poor" category.

Yes. I always calculate based on my initial capital commitment. Every year the dividends received is considered my capital repayment, so every year my actual capital invested is reduced. This means over time, the dividends will ultimately pay for the share itself.

The DY you see in the newspapers or research reports are always based on current prices.

What I meant was fixed gross. Like lets say Basic 400, but fixed allowances like transport allowance, site allowance, makan allowance all add up to meet the minimum wage. This does not include overtime which is not fixed.

This way overtime or additional production does not cost extra from before. And fixed costs are easier to manage, where the company has a fixed objective and can concentrate on other cost cutting measures like medical benefits, cheaper insurers, less uniforms etc.

If basic = minimum wage, overtime of staff to meet production deadlines will have an impact on production costs. And these costs can vary according to the amount of production needed, public holiday overtime, different payscale of employees etc.

Edit:

Because employees didn't suddenly improved, there is a justification not to pay the basic = minimum wage if the delta is high.

This post has been edited by skiddtrader: Apr 26 2012, 04:16 PM

Yeah, the employers will suffer as adjustments will be more complicated. And employees will not benefit unless there is overtime. I guess the work harder, get paid more mantra is the philosophy.

Employers will probably cut other benefits like allowances and incorporate them into the basic pay. Overtime will probably also controlled to control costs.

I still think the gross = minimum wage is better option. At the end is how much coming into the bank for the employee, regardless of basic or allowance. EPF is match by gross anyway, right? Touching the basic pay will only cut the other benefits in kind, if the governments objective is to increase quality of life, it's better to do so when the adjustments are easier to manage.

Talking about inflation, ever wondered how the talk about GST completely vanished since election is coming?

Mmmmm yummy.

But special dividend, so might not repeat.

This post has been edited by skiddtrader: Apr 26 2012, 05:29 PM

No ler, was in my watchlist last time, but never follow for very long already.

Edit:
Dividends won't last for long, that's what I thought last year when they declared the special ><. Because their EPS is much lesser, they're just paying off the shareholders now which is quite good. But if buy now for the current special, will it come again next year?

This post has been edited by skiddtrader: Apr 26 2012, 05:42 PM