Kalbe Farma swings to net profit

Kalbe Farma swings to net profit

JAKARTA: PT Kalbe Farma swung to a net profit of Rp 231.53
billion (around US$25 million) in the first half of 2002, from a
loss of Rp 7.46 billion a year ago, mostly due to foreign
exchange gains, the pharmaceutical company said Tuesday.

It said the rupiah's appreciation against the dollar resulted
in unrealized foreign exchange gains of Rp 130.47 billion,
swinging from losses of Rp 120.31 billion the year before.

Like many local companies, Kalbe is exposed to the volatility
of the rupiah due to its dollar-denominated debts. The dollar
closed at Rp 8,730 as of June 30, down from Rp 11,440 as of June
30, 2001.

Kalbe said its sales edged up to Rp 1.25 trillion from Rp 1.03
trillion, which raised gross profit to Rp 631.27 billion from Rp
516.19 billion. -- Dow Jones

;Agencies;
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CorporateBrief-GM-recalls
GM recalls 720,000 cars, trucks
JP/14/brief

GM recalls 720,000 cars, trucks

DETROIT: General Motors Corp., the world's largest car maker,
announced Monday it was recalling nearly 720,000 cars and trucks
because of potentially faulty air bags.

About 570,000 cars were recalled because their air bags may
not inflate in a crash, General Motors said in a statement.

Another 150,000 were recalled because the module that inflates
the air bags may fracture at the point where they are welded to
the car, the statement said.

The 570,000 recalls affected model year 2000 Chevrolet
Silverado pickups, Tahoe/Suburban sport utility vehicles, GMC
Sierra pickups and Yukon/Yukon XL sport utility vehicles.

Full-size pickups and sports utility vans built between
February 1999 and February 2000 were affected, it said.

The other 150,000 recalls affected model years 2002 and 2003
Buick, Cadillac, Chevrolet, GMC, Oldsmobile, and Pontiac cars and
trucks built between May and July 2002. -- AFP

;Agencies;
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CorporateBrief-Honda-recalls
Honda to recall 18,400 vehicles
JP/14/brief

Honda to recall 18,400 vehicles

TOKYO: Japan's number two automaker Honda Motor Co. Ltd. said
Tuesday it would recall 18,414 Odyssey people-carriers in Japan
and overseas due to an engine fault.

In the worst case scenario a belt in the engine could come
loose, affecting the battery recharger lamp and also the steering
mechanism, said a spokesman.

"May be when you steer the car... the steering would be much
more than expected," he explained.

Five cases had been reported to Honda, although the problem
had not resulted in any accidents.

Some 18,081 mini-vans would be recalled in Japan and a further
333 from overseas -- 141 of them from Australia.

The effected Odysseys were made between November 1999 and
February 2000. -- AFP

;Agencies;
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CorporateBrief-Mitsubishi-recalls
Mitsubishi recalls 37,000 sedans
JP/14/brief

Mitsubishi recalls 37,000 sedans

TOKYO: Troubled automaker Mitsubishi Motors Corp. said Tuesday
it would spend 20 million yen US$168,000 recalling 37,000 sporty
Lancer Evolution sedans at home and abroad to fix an exhaust
problem.

Moisture in the exhaust pipe could clog up an oxygen sensor
causing it to crack and malfunction. As a result, the car may
release more exhaust fumes than necessary, explained Mitsubishi
spokesman Mitch Hayes.

Some 32,000 Lancer Evolutions would be recalled in Japan and
5,000 from overseas markets, mainly Britain, New Zealand and the
Middle East.

Mitsubishi has received 14 reports of such a problem, but it
has not caused any accidents.

The recall covers vehicles made between Jan. 7, 1998 and Apr.
3, 2002. -- AFP

;Agencies;
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CorporateBrief-Taiwan-Microsoft
Taiwan probes Microsoft
JP/14/brief

Taiwan probes Microsoft

TAIPEI: Taiwan has launched an investigation into Microsoft
for alleged unfair competition practice here, a report said
Tuesday.

The Fair Trade Commission formed a taskforce in May to probe
allegations Microsoft had abused its software dominance to
manipulate prices in Taiwan, the United Daily News said.

The FTC planned to question representatives from Microsoft's
headquarters in the United States after having talked to its
branch operations in Taiwan and Singapore, the paper said.

The newspaper said corporate clients in Taiwan buying
Microsoft software are required to sign contracts with
Microsoft's Singapore office while its local agents provide
clients with authorization codes to use the products.

Microsoft's Singapore office also barred Taiwanese clients
from switching local agents without its approval if they wanted
to buy additional Microsoft products. -- AFP

;Agencies;
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CorporateBrief-Sturbucks-Japan
Starbucks Japan profits cool 21.2%
JP/14/brief

Starbucks Japan profits cool 21.2%

TOKYO: Starbucks Coffee Japan Ltd. said Tuesday its pre-tax
profit slumped 21.2 percent in the three months to June as the
price of coffee beans soared after a decline in the yen against
the dollar.

Japan's version of the popular U.S. coffee chain saw its pre-
tax profit slip to 430 million yen (US$3.6 million) over the
first quarter from 546 million yen previously.

"The major reason for the profit decline was foreign exchange
losses, which made the price of coffee beans and foreign
products, such as cups and construction materials, considerably
higher," a company spokeswoman said.

The firm used a foreign exchange rate of 133 yen against the
dollar for the three months, compared with 105 yen a year
earlier. Importers benefit from a stronger yen when they pay for
foreign products in dollars.

Sales, however, rose 26.4 percent to 13,534 million yen over
April-June. -- AFP