game over, GAMUDA

what a bad year for you.

I knew, I was comparing with the usage of company cash pile to buyback or give as dividend. Both are good to be happening. Just comparing pros and cons.

If company uses the cash pile as dividend it would have better support (on share price) than buyback programme. As seen by those generous high dividend stocks, they hardly drop much, but buyback programme one can't fight the market force.

The more famous of disadvatange of buyback has happened lately. Banks in US prior before subprime meltdown are mostly implement buyback across. There is one bank buyback significantly when its share was around 50-60, but now only around 20. But company with recent turmoil and captial strapped, then decide to issue new share at 30 in order to raise fresh capital. Then those cash pile using on buyback is actually evaporating. If those cash pile instead of buyback, then give it as cash to shareholders, shareholders at least have those cash in hand, won't suffer the losses as much.

Mostly company in KLSE only kept the treasury share, mostly don't cancel it. A few sell it back to market after gaining.

For (1), it less likely happen in KLSE because mostly major shareholders already hold significant stake, free float share not more than 30-40%.

For (2), I assume the preserve company valuation mean supporting the share price, right?
But market already shows us, generous dividend stock share price is more well supported than those buyback one because of market force.

For the like R company buyback at 3.50, shareholders indrectly are buying at 3.50 also. Just like YTL related shares, they are buyback their own shares, eventually afterwards, distributed the treasury share back to the shareholders (free). Why need to make a big circle then, why not straight away give the cash as dividend?[COLOR=blue] This really puzzling me. Don't get me wrong, it is good thing to happen also.

I don't understand the share buyback can be used to do acquisition project issue. Mind to share. 

Don't get me wrong, buyback is also a good thing to happen.
Just I don't fancy company keep the cash forever in the company without rewarding shareholders much with only peanut dividend while company profit is hefty (not zero lah) if company find no usage of cash pile they have. If company need the cash for future expansion for further and future profit incremental then need to give peanut dividend, then I have no problem with it.
But if company generating huge profit then find no usage on cash pile generated years after years but reluctantly rewarding the shareholders, only go through buyback programme, but don't cancel the treasury shares hold, I don't see it is very fair to shareholders already.

RM0.06 dividend per share.
1000 shares: RM0.06 x 1000 = RM60.00

If it is tax-exempt dividend, u get cheque for RM60.00. End of year, you must declare RM60.00 gross and be taxed accordingly.

Initially, that was what I thought as well.

However, as I found out later, tax-exempt dividends (not to be confused with single-tier tax-exempt dividends) means that the dividends are being paid from tax-exempt profits of the company, hence the company pay out the full gross amount as net dividends, without charging from the S108 account balance.

From the shareholder point of view, it is still taxable.