Next Generation TELECOMUNICATION Solution Provider Company towards the right direction in the...
Transcript of Next Generation TELECOMUNICATION Solution Provider Company towards the right direction in the...
Next Generation TELECOMUNICATIONSolution Provider
Annual Report 2015
Core ValuesIn order to realise its vision, SILVER RIDGE HOLDINGS BHD’s
management strongly believes that it has to expand its business activities through appropriate and effective strategies to steer the
Company towards the right direction in the telecommunications industry. The strategies adopted by the Company are to optimise its current technology capabilities, retain employees’ and stakeholders’
confidence, increase revenue growth through market expansion, product expansion and improvement in processes plus technology
upgrade along the value chain.
Our Mission To build upon core expertise in telecommunications and its association with multinational telecommunication partners to create a local environment that promotes creativity, structured thinking and the establishment of best practices for delivery in the area of Next Generation Telecommunication Solution.
Our VisionTo strive for excellence in INNOVATION, DEVELOPMENT, IMPLEMENTATION of next generation TELECOMMUNICATION SOLUTION in the local and international
INTEGRITY
DISCIPLINE
INNOVATION
COMMITMENT TO SOCIETY
CUSTOMER CENTRICITY
2 Corporate Information
3 Corporate Structure
4 Financial Highlights
5 Chairman’s Statement
7 ProfileofDirectors
12 Statement of Corporate Governance
20 Audit and Risk Management Committee Report
25 Statement on Risk Management and Internal Control
27 Additional Compliance Information
28 StatementofDirectors’Responsibility
29 Financial Statements
103 List of Properties
108 AnalysisofShareholdings
110 AnalysisofWarrantsHoldings
112 Notice of Annual General Meeting
116 Notice of Nomination of Auditors
ProxyForm
Contents
2 Silver Ridge Holdings Bhd. (667785-W)
Annual Report 2015
CORPORATE INFORMATION
BOARD OF DIRECTORS
Y. B. Datuk Sr. Haji Md. Alwi bin Haji Che AhmadChairman / Independent Non- Executive Director
Y. B. Senator Dato’ Mohd Suhaimi bin AbdullahGroup Managing Director
Syakur bin Dato’ Mohd SuhaimiExecutive Director / Chief Executive Officer
Wong Chee KeongExecutive Director / Group General Manager
Satila binti Dato’ Mohd Suhaimi Executive Director
Syauqat bin Dato’ Mohd SuhaimiExecutive Director
Voon Sze LinExecutive Director
Zakhirah @ Zamariah Binti Mohd ZabidiExecutive Director(appointed 27 May, 2015)
Ho Chee Meow @ Ho Chee MeeIndependent Non-Executive Director
Mohamad Ashshakur bin Ahmad MarzukiIndependent Non-Executive Director (appointed 27 February, 2015)
AUDIT COMMITTEE
Y.B.DatukSr.HajiMd.AlwibinHajiCheAhmadChairmanHoCheeMeow@HoCheeMeeMemberMohdAshshakurbinAhmadMarzukiMember
NOMINATION COMMITTEE
Y.B.DatukSr.HajiMd.AlwibinHajiCheAhmadChairmanHoCheeMeow@HoCheeMeeMemberMohdAshshakurbinAhmadMarzukiMember
REMUNERATION COMMITTEE
Y.B.DatukSr.HajiMd.AlwibinHajiCheAhmadChairmanY.B.SenatorDato’MohdSuhaimibinAbdullahMemberMohdAshshakurbinAhmadMarzukiMember
COMPANY SECRETARY
Leong Sue Ching (MAICSA 7040814)
REGISTERED OFFICE
No. 9A, Jalan Medan TuankuMedan Tuanku50300 Kuala LumpurWilayahPersekutuanTel.: 03 - 26918996Fax.: 03 - 26986996
REGISTRAR
Boardroom Corporate Services (KL) Sdn BhdLot6.05,Level6,KPMGTower8, First Avenue, Bandar Utama47800PetalingJayaSelangorDarulEhsan
Tel.: 03 - 77201188Fax.: 03 - 77201111
CORPORATE OFFICE
4 – 6, Jalan 28 / 70ADesaSriHartamas50480 Kuala LumpurWilayahPersekutuanTel.: 03 - 23000163Fax.: 03 - 23000291Email: [email protected]
AUDITORS
Messrs.BakerTillyMonteiroHengLevel10,Tower1,Avenue5BangsarSouthCity59200 Kuala LumpurWilayahPersekutuanTel.: 03 – 22971000Fax.: 03 – 22829980
PRINCIPAL BANKERS
MalayanBankingBerhadCIMB Bank BerhadBankIslamMalaysiaBerhad
STOCK EXCHANGE LISTING
ACEMarketofBursaMalaysiaSecuritiesBerhadStockname :SRIDGEStock code : 0129
3Silver Ridge Holdings Bhd. (667785-W)
Annual Report 2015
CORPORATE STRUCTURE
SILVERRIDGESDN.BHD.
SILVERRIDGETRADINGSDN.BHD.
SILVERRIDGECAPITALSDN.BHD.
SILVERRIDGE(HK)HOLDINGSLIMITED
SILVERRIDGE-TANGERINESDNBHD
SILVERRIDGEAGRICULTURALINFOMATICSSDN.BHD.
100%
100%
100%
100%
100%
100%
4 Silver Ridge Holdings Bhd. (667785-W)
Annual Report 2015
FINANCIAL HIGHLIGHTS
2011RM’000
2012RM’000
2013RM’000
2014RM’000
2015RM’000
Revenue 40,172 41,690 42,535 32,049 33,661
Profit/(Loss) before tax 3,029 (1,833) 1,590 (375) (4,934)
Profit/(Loss) attributable toowners of the company 1,447 (2,987) 516 (502) (4,970)
Total equity attributable toowners of the company 16,898 16,041 16,557 17,872 12,902
Net assets per share(RM) 0.17 0.15 0.15 0.15 0.11
Earnings/(Loss) per share
- Basic(sen) 1.4 (2.8) 0.5 (0.4) (4.1)
- Diluted(sen) 1.4 (2.8) 0.5 (0.4) 4.1
5Silver Ridge Holdings Bhd. (667785-W)
Annual Report 2015
CHAIRMAN’S STATEMENT
OVERVIEW
The Group recorded revenue of RM33.67 million during financial year2015 as compared to RM32.05 million for the previous financial year,representing an improvement of 5.05%.
Nevertheless, the higher revenue did not translate to better profitabilitywhere theGrouprecordedanet lossofRM4.97million infinancialyear2015ascomparedwithnetlossofRM0.50millioninthepreviousfinancialyear.
ThehigherlosswasaresultoftheGroupadoptingprudentmeasurestoprovideforimpairmentofreceivablesandinvestmentsduringthefinancialyear2015.However,theGroupactuallygeneratedbettercashflowswithnet cash generated from operating activities improving to RM6.09 million in financialyear2015fromRM2.00millioninthepreviousyear.
INDUSTRY TREND AND DEVELOPMENT
As announced in Budget 2016, in order to improve the telecommunication infrastructure, Malaysian Communications and Multimedia Commission(MCMC) will provide RM1.2 billion, among others, for rural broadbandprojects which will see a four-fold increase in Internet speed from 5megabytepersecondto20megabytepersecond;NationalFibreBackboneInfrastructure;HighSpeedBroadband;andunderseacablesystem.
PROSPECTS
The Group is cautiously optimistic of improving results in the comingfinancial yeardue to itshealthyorderbook from the telecommunicationsector. Looking further ahead, the Group is hopeful of the Government’s emphasis on broadband infrastructure through initiatives outlined in the11thMalaysiaPlan(11MP).
Accordingtotheplanforthe2016-2020period,digitalinfrastructurewillnotonlybevital inbringingpeople together throughcommunication
channels but also lay the foundation for economic developmentthroughknowledge-intensiveindustries.
The plan, which carries the theme “Anchoring Growth onPeople”, notes that key infrastructure roll-out initiativessuch as High-Speed Broadband 2 (HSBB 2), SuburbanBroadband(SUBB)andDigitalTerrestrialTelevision(DTT)will beundertakenduring thisperiod,alongwithpoliciesto improve access pricing and consumer protection frameworks.
My Fellow Shareholders,
OnbehalfoftheBoardofDirectorsofSilverRidgeHoldingsBhd.,IwouldliketopresenttoyoutheAnnualReportandAuditedFinancialStatementsoftheGroupandoftheCompanyforthefinancialyearended31December2015.
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CHAIRMAN’S STATEMENT(Continued)
The HSBB 2 proposes to cover all state capitals and selected high-impact growth areas that will see 250,000portsencompassing410,000premisesbyend-2016.Italsoeyes 100megabits per second (Mbps) broadband beingmadeavailabletoallhouseholdsintheareasinvolvedby2020.
UndertheSuburbanBroadbandinitiativecoveringsuburbanand rural areas, it is targeted that an additional 420,000 ports encompassing 750,000 premises will be installedwithin five years of the start of the projectwith 20Mbpsbroadbandmadeavailableto50%ofhouseholdsby2020.
TheGroup is cautiouslyoptimisticof improving results inthecomingfinancialyearduetoitshealthyorderbookfromthetelecommunication sector. The Group has also expanded its products and services offerings to the education and SMEsectorsandishopefultostartgeneratingsomeincomefrom these segments.
CORPORATE SOCIAL RESPONSIBILITY
TheGroupiscommittedtobeinganexemplarycorporatecitizen– to practice responsible corporate governanceand positively contribute towards safety, sustainableenvironment and society.CorporateResponsibility (“CR”)hasalwaysbeenanintegralpartoftheGroup’sculture.
Workplace
Topromotecloserworking relationshipsand fosterbetterunderstanding amongemployees, theGroupencouragesan active and healthy lifestyle through participation insports.Varioussocialandsportingactivitiesareorganizedonaregularbasis,withtheGroup’sSportsandRecreationalClubcarryingoutitsactiveroletoencourageouremployeesto participate in these activities. Staff gatherings are also organized to encourage more interaction amongst ouremployees.
On-the-job training is provided to optimise and developour people skills by strengthening both their capabilitiesand competencies. Coaching, mentoring and knowledgetransfer therefore form part of the learning culture in our organisationandhaveproventobeinvaluableindevelopingourworkforce.
We aim to attract the best talents, and retain them byprovidingvariousopportunitiestoenhancetheircapabilitiesand competencies while ensuring workplace satisfactionandwellness.
Environment
The Group recognizes the importance of environmentconservation and promotes the responsible use ofresources.TheGrouphasadoptedeco-friendlypracticesinits day-to-day work in order to minimize the impact oftheenvironment, including recycling of paper, conscioususeofwaterandelectricity.
Community
The Group is dedicated to support the community,particularly the less fortunate. Where able, the Groupmakesfinancialcontributionstosupport thecharityworksandwelfareactivities.SomeoftheCRactivitiesundertakenbytheGroupduringtheyearinclude:
1. FloodReleaseMission[MisiBantuanBanjir]2. HariRayaOpenHouseCelebration3. TSMCharityGolfopenhouse4. KembaraMerdeka[AktivitiAmalRumahTitianKasihin
conjunctionwithNationalDay]
ACKNOWLEDGEMENT AND APPRECIATION
The Group will not be where we are today without thecontributions from all our customers and suppliers. Iwouldalso like to thank themanagementandemployeesthroughout the Group for their outstanding efforts and commitment, aswell as to theBoardofDirectors for theexcellent governance and guidance.
And not forgetting my loyal shareholders; I thank youfor your faithandsupport in theGroup. I look forward tomeetingyouattheforthcomingAnnualGeneralMeetingon25May2016.
DATUK SR. HAJI MD. ALWI BIN HAJI CHE AHMADIndependentNon-ExecutiveChairman
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PROFILE OF DIRECTORS
Y.B.DatukSr.HajiMd.AlwiBinHajiCheAhmad, aged 60, aMalaysian,istheIndependentNon-ExecutiveChairmanandwasappointedtotheBoardofSilverRidgeHoldingsBhd (“theCompany”)on13August2009.HeservesasChairman of the Audit Committee, Nomination Committee and Remuneration Committee of the Company. HeobtainedhisBachelorinApp.Sc.(SurveyingandMapping)fromWesternAustraliaInstituteofTechnology,Australiain1983 and he completed his post graduate training in Cat. B.Hydrography,inOttawa,Canada,in1986,specialisingonseabedmapping,portsandwharfssurvey.In1990,hecompleted his specialised training on Motorised Levelling andGeodeticPositioningSysteminGavle,Sweden.
Y.B.DatukSr.HajiMd.AlwiisalicensedLandSurveyorandaFellowMemberoftheLandandSurveyingCouncilofMalaysia.HestartedhiscareerasaTechnicalAssistantwiththeDepartmentofSurveyinginKelantanfrom1979to1981.From1986to1990,hewastheAssistantDirectorofTopographyMappingfortheWestTerritoryofMalaysia.HeiscurrentlyaPrincipalinAAGeomatics,aLicensedLandSurveyorandtheChairmanofSyarikatPembinaanKarunSdn.Bhd.Since2008,Y.B.DatukSr.HajiMd.AlwiistheMemberoftheStateLegislativeAssemblyforKokLanas,Kelantan. HewasamemberofParliament forKetereh,KelantanandtheHeadofInformationforBackbenchersClub, Parliament of Malaysia between 2004 and 2008.Y.B.DatukSr.HajiMd.AlwiisalsoaMemberoftheBoardofDirectorsofFELCRAAgro,ChairmanoftheBoardofDirectorsofPermodalanRISDABerhadandChairmanoftheBoardofDirectorsofKemubuAgricultureDevelopmentAuthority(KADA).Heservedaspoliticalsecretarytotheformer Prime Minister, YA Bhg Tun Abdullah Bin HajiAhmadBadawifrom2008untilMarch2009.
He attended all four (4) Board of Directors’ meetingsheld during the financial year. He does not hold anydirectorshipon theboardofotherpubliccompanies.HehasnofamilyrelationshipwithanyDirectorsand/orothermajorshareholdersoftheCompany.HehasnoconflictofinterestwiththeCompany.Hehasneverbeenconvictedfor anyoffenceswithin thepast 10 years other than fortrafficoffences,ifany.
Y. B. Datuk Sr. Haji Md. Alwi Bin Haji Che AhmadChairman/Independent Non-Executive Director
Y.B.SenatorDato’MohdSuhaimiBinAbdullah, aged 58, a Malaysian, was appointed as the Managing DirectorandChiefExecutiveOfficeroftheCompanyon30March2006. Since 12 November 2009, he retained only thepositionasManagingDirectoroftheCompany.HeservesasmemberofRemunerationCommitteeoftheCompany.He graduated from Havering Technical College, London in1981withDiplomainBusinessStudies.Subsequently,heobtainedaprofessionalqualification in theCharteredInstituteofTransportfromSchoolofTransport,UniversityofLondonin1985andisamemberoftheCharteredInstituteofTransportsince1989.From1982to1984,whilehewascompleting his studies, hewas engaged as a secretarywiththeMajlisPelajar-PelajarMalaysiainLondon,UnitedKingdom. There, he managed the administrative and communicative matters between Ministries of Malaysia,and the Malaysian Students Societies Council in theUnited Kingdom and Ireland.
From 1984 to 1985, he was employed as a MarketingExecutiveinMafetaTravelAgencyLimited,London,UnitedKingdom where he managed the sales and marketingof air tickets forMalaysia andFarEast countries. From1985to1987,theFoundationofMaraEducationengagedhimas anAssistantSecretary II,where he handled theadministrative matters of the foundation. Also in 1986, he joined Angkatan Seniman Abad Sdn. Bhd. as anExecutiveDirector.Hewasinchargeofalladministrativeand financialmatters for theCompany, which producedfeaturefilmsandsitcomsforthelocalmedia.In1987,hejoinedYPMRealities Sdn. Bhd. as a General Managerandsubsequently,in1991,hejoinedYayasanBumiputeraPulau Pinang Berhad as a General Manager. He wasin charge of the overall management and day-to-dayoperationsofthecompanies.HeestablishedSilverRidgeSdn.Bhd.in1995.Currently,heisanIndependentNon-ExecutiveDirectorofSuiwahCorporationBerhadandtheHonoraryNationalTreasurerofthePersatuanMencegahDadahMalaysia (PEMADAM).Y.B.SenatorDato’MohdSuhaimiwasappointedtotheDewanNegaraofMalaysiaforathree(3)termfromMay2014toMay2017.
Heattendedallfour(4)BoardofDirector’smeetingsheldduring the financial year.He is the father ofSyakurBinDato’MohdSuhaimi,SatilaBintiDato’MohdSuhaimiandSyauqatBinDato’MohdSuhaimi,whoaretheExecutiveDirector/Chief Executive Officer and Non-IndependentExecutiveDirectorsrespectively,oftheCompany.Hehasno conflict of interest with the Company. He has neverbeenconvictedforanyoffenceswithinthepast10yearsotherthanfortrafficoffences,ifany.
Y. B. Senator Dato’ Mohd Suhaimi Bin Abdullah Managing Director
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Annual Report 2015
PROFILE OF DIRECTORS(Continued)
SyakurBinDato’MohdSuhaimi, aged30, aMalaysian,wasappointedastheNon-IndependentExecutiveDirectorof the Company on 2March 2011 and Chief ExecutiveOfficeroftheCompanyinSeptember2013.Hegraduatedfrom Xiamen University, Peoples’ Republic of China,withtheBachelorofArtsdegreemajoringinBusinessinChinese.Currently,he is theDirector inchargeofSilverRidgeTradingSdnBhd,asubsidiaryoftheGroupandamotivated entrepreneur.
He attended all four (4) Board of Directors’ meetingsduringthefinancialyear.HeisthesonofYBSenatorDato’MohdSuhaimiBinAbdullah,whoistheManagingDirectorandsubstantial shareholderof theCompany.He isalsothebrotherofPuanSatilabintiDato’MohdSuhaimiandEncikSyauqatbinDato’MohdSuhaimi,bothofwhomareNon-IndependentExecutiveDirectorsoftheCompany.HehasnoconflictofinterestwiththeCompany.Hehasneverbeenconvictedforanyoffenceswithinthepast10yearsotherthanfortrafficoffences,ifany.
Syakur Bin Dato’ Mohd SuhaimiExecutive Director and Chief Executive Officer
WongCheeKeong,aged63,aMalaysian,wasappointedas theExecutiveDirector of theCompanyon30March2006. He graduated from University of Liverpool, UKin 1975 with a Bachelor of Engineering (ElectronicsEngineering). In1974,hewasemployedasaResearchTraineewithCentralElectricityGeneratingBoardLondonResearch in the United Kingdom. In 1975, he joinedJabatanTelekomMalaysia,andhis lastpostingwas theAssistantGeneralManager.HejoinedtheCompanyasaGeneral Manager in 1995. As the chief operating person in the Company, he developed the technical resourcesandexpertisethroughclosecollaborationswithreputabletechnologymulti-nationalorganisations.IntheCompany,he designed, developed and innovated new businessdirection focus and business models for the Company.Hehasover30yearsofexperienceandknowledgeinthetelecommunicationnetworkindustry.
Heattendedthree(3)outofthefour(4)BoardofDirectorsmeetingsheldduringthefinancialyear.Hehasnofamilyrelationshipwithanydirectorsand/ormajorshareholdersof theCompany. He has no conflict of interest with theCompany.Hehasneverbeenconvictedforanyoffenceswithin thepast10yearsother thanfor trafficoffences, ifany.
Wong Chee KeongExecutive Director/Group General Manager
9Silver Ridge Holdings Bhd. (667785-W)
Annual Report 2015
PROFILE OF DIRECTORS(Continued)
Zakhirah @ Zamariah Binti Mohd Zabidi, aged 48, aMalaysian, was appointed as the Executive Directorof the Company on 27 May 2015. She graduated fromInternational IslamicUniversityofMalaya in1993withadegreeinBachelorofLaws(Hons)(2ndUpper).In1993,shewas employed as a LegalAssistant atMessrsH.S.Lim & Malek. She was responsible for ConveyancingandRealEstate,Conventionaland IslamicBankingwithexposuretolitigationmattersandspecialiseknowledgeinthesubstanceof theSyariahLaw,especially theLawofSuccession (faraid) and Family Law. Subsequently, sheobtainedDiplomaInTranslation(LegalText,etc) (Disnc)fromInstitutTerjemahanNegaraMalaysia(ITNM)in1998.She joinedSilver Ridge SdnBhd as a LegalAdviser in1994. She was responsible for preparing, drafting andvettinglegaldocuments,contractsandagreementsaswellas a LegalRepresentative of theCompany.She is alsoaFounder/ManagingPartnerofMessrsKhalekAwang&Associates,aLegalFirmwhichwassetupin1998whereinher areas of practice covers Corporate,Commercial and Business Contracts, Property, Real Estate andConveyancing, Corporate and Consumer/Retail Banking(Conventional & Islamic), Broadcasting, ICT, Multimedia, andCompanySecretarialPractices.
She attended two (2) out of two (2) Board of Directors’meetingsheldduringthefinancialyear.SheisthenieceofDato’MohdSuhaimiBinAbdullah,theManagingDirectorandsubstantialshareholderoftheCompany.ShehasnoconflictofinterestwiththeCompany.Shehasneverbeenconvictedforanyoffenceswithinthepast10yearsotherthanfortrafficoffences,ifany.
SatilaBintiDato’MohdSuhaimi, aged 33, aMalaysian,wasappointedastheNon-IndependentExecutiveDirectoroftheCompanyon23February2009andwastheChiefExecutiveOfficer fromNovember 2009 toAugust 2013.ShegraduatedfromtheUniversityofReading,Berkshire,Reading,Englandin2007withBSc(Hons)inBiomedicalEngineeringandCybernetics.BeforejoiningtheCompany,SatilawasworkingasaresearchassistantintheCentreofAppliedBiomechanics,FacultyofEngineering,Universityof Malaya. In 2006, Satila worked as a MarketingAssistantunderinternshipintheCompany.Shewasalsoa volunteer as a Pediatric Caretaker in Hospital Universiti Kebangsaan Malaysia (HUKM) in 2003. To furtherenhance her knowledge of business, Satila is currentlypursuing a degree in Business Administration on a part timebasisfromtheOpenUniversityofMalaysia.
Sheattendedallfour(4)BoardofDirectors’meetingsheldduringthefinancialyear.SheisthedaughterofYBSenatorDato’MohdSuhaimiBinAbdullah,who is theManagingDirectorandsubstantialshareholderoftheCompany.SheisalsothesisterofEncikSyakurBinDato’MohdSuhaimi,whoistheNon-IndependentExecutiveDirectorandChiefExecutive Officer of the Company and Encik Syauqatbin Dato’ Mohd Suhaimi, a Non-Independent ExecutiveDirector,of theCompany.Shehasnoconflictof interestwiththeCompany.Shehasneverbeenconvictedforanyoffences within the past 10 years other than for trafficoffences,ifany.
Satila Binti Dato’ Mohd SuhaimiExecutive Director
Zakhirah @ Zamariah Binti Mohd ZabidiExecutive Director
10 Silver Ridge Holdings Bhd. (667785-W)
Annual Report 2015
PROFILE OF DIRECTORS(Continued)
Voon Sze Lin (Alan), aged 46, a Malaysian, wasappointed as an ExecutiveDirector of theCompany on20September2014.Mr.VoongraduatedfromDegrooteSchool of Business, McMaster University of Canada in1993withaMasterofBusinessAdministration,majoringin Finance and an Honours Degree in Commercemajoring inAccounting from the same university. Mr.VoonisconsideredanexpertinMalaysia’swarrantsandinternational derivatives market. He is the author of three investment books “Trading the ChinaMarket withAmericanDepositaryReceipts”publishedbyJohnWiley&Sons,Inc.,“MakeMoneyInvestinginWarrantsonBursaMalaysia”and“MoneyinWarrants”.Mr.Vooniscurrentlya contributor tomajorChineseandEnglishnewspapersin the country on topics related to derivatives such aswarrants, convertibles, options etc. His articles arealso featured inwww.warrants.com.my, a localwarrantswebsite runbyWarrantsCapitalGroup, a jointly controlentityoftheCompany.
Heattendedallfour(4)BoardofDirectors’meetingsheldduringthefinancialyear.Heisasubstantialshareholderof thecompany. Hehasno family relationshipwithanydirectorsand/ormajorshareholdersoftheCompany.Hehas no conflict of interest with the Company. He hasneverbeenconvictedforanyoffenceswithinthepast10yearsotherthanfortrafficoffences,ifany.
Voon Sze LinExecutive Director
SyauqatBinDato’MohdSuhaimi,aged23,aMalaysian,was appointed as the Non-Independent ExecutiveDirector of the Company on 2 September 2014. Hegraduated from Arabic Language Centre of Qalam WaLawh,Rabat,Morocco.SyauqatisalsoaDirectorofSilverRidgeAgriculturalInformaticsSdnBhd,acompanywhichentered in a share sale agreement with the Companysubsequenttotheendof2015.
Heattendedoneallfour(4)BoardofDirectors’meetingsheldduringthefinancialyear.HeisthesonofYBSenatorDato’MohdSuhaimiBinAbdullah,who is theManagingDirector and substantial shareholder of the Company.He is also the brother of Encik Syakur Bin Dato’MohdSuhaimi,whoistheNon-IndependentExecutiveDirectorand Chief Executive Officer of the Company and PuanSatila Binti Dato’ Mohd Suhaimi, a Non-IndependentExecutiveDirectoroftheCompany.HehasnoconflictofinterestwiththeCompany.Hehasneverbeenconvictedfor anyoffenceswithin thepast 10 years other than fortrafficoffences,ifany.
Syauqat Bin Dato’ Mohd SuhaimiExecutive Director
11Silver Ridge Holdings Bhd. (667785-W)
Annual Report 2015
HoCheeMeow@HoCheeMee,aged65,aMalaysian,was appointed as the Non-Independent Non-ExecutiveDirector of the Company on 30 March 2006. He wasthen re-designated as Independent Non-ExecutiveDirectoron2March2011.HeservesasmemberofAuditCommitteeandNominationCommitteeof theCompany.He graduated fromKolej TunkuAbdul Rahman in 1976with a Diploma in Business Studies. He is a CharteredAccountantoftheMalaysianInstituteofAccountants.HeisalsoaFellowmemberoftheAssociationofCharteredCertified Accountants and Associate member of theInstitute of Chartered Secretaries and Administrators. He commenced his professional career as an audit assistant withLim,Tay&Companyin1976.Subsequently,in1983,hecommencedpracticebysettinguphisownaccountingfirm,HoCheeMee&Co.,whereheiscurrentlytheseniorpartner.Hisfirmisprincipallyengagedintheprovisionofauditing, accounting, tax and management consultancyservices.
Heattendedthree(3)outofthefour(4)BoardofDirectormeetingsheldduringthefinancialyear.Hehasnofamilyrelationshipwithanydirectorsand/ormajorshareholdersof theCompany. He has no conflict of interest with theCompany.Hehasneverbeenconvictedforanyoffenceswithin thepast10yearsother thanfor trafficoffences, ifany.
Ho Chee Meow @ Ho Chee MeeIndependent Non-Executive Director
Mohamad Ashshakur Bin Ahmad Marzuki, aged 24, aMalaysian, was appointed as the Independent Non-ExecutiveDirectorandamemberoftheAuditCommitteeof the Company on 27 February, 2015. He graduatedfrom APIIT Smart School in 2009. He is also appointed as a member of the Remuneration and NominationCommittees.HeiscurrentlyacomplianceofficerofPaypal(M)SdnBhd.HewasafieldofficerwithMARKZIndustriesSdn Bhd and a personal trainer with Fitness First from2009 to 2013.
Heattended three (3)outof three (3)BoardofDirectormeetingsheldduringthefinancialyear.Hehasnofamilyrelationshipwithanydirectorsand/ormajorshareholdersof theCompany. He has no conflict of interest with theCompany.Hehasneverbeenconvictedforanyoffenceswithin thepast10yearsother thanfor trafficoffences, ifany.
Mohamad Ashshakur Bin Ahmad MarzukiIndependent Non-Executive Director
PROFILE OF DIRECTORS(Continued)
12 Silver Ridge Holdings Bhd. (667785-W)
Annual Report 2015
STATEMENT OF CORPORATE GOVERNANCE
TheBoardofDirectorsofSilverRidgeHoldingsBhd (“Board”) recognises the importanceof corporategovernance inensuringgreatertransparency,protectingtheinterestsofitsshareholdersaswellasstrengtheninginvestors’confidenceinitsmanagementandfinancialreporting.ThistheBoardiscommittedtomaintainingahighstandardofcorporategovernancewithintheGroup.
Indevelopingitssystemofcorporategovernance,theBoardisguidedbythemeasuressetoutintheACEMarketListingRequirements(“ACELR”)ofBursaMalaysiaSecuritiesBerhad(“BursaSecurities”)andtheMalaysianCodeofCorporateGovernance2012(“MCCG2012”).ThepoliciesandpracticesoftheGroup,supportedbyexistinginternalcontrolprocesses,areregularlyauditedandreviewed,toensuretransparencyandaccountability.
ThefollowingsectionsdescribetheCompany’scorporategovernancepoliciesandpracticesthatwereinplaceduringthefinancialyearended31December2015(“FY2015”).Exceptforthedeparturesexplainedinthisstatement,theDirectorsbelievethattheCompanyhascompliedwithallsubstantialrespectsofthebestpracticesofACELRandMCCG2012.
I. BOARD
(1) Directors’ Code of Business Conduct and Ethics (“Code of Ethics”)
TheCompanyiscommittedtoconductingbusinessinaccordancewiththehigheststandardsofbusinessethicsandcomplyingwithapplicablelaws,rulesandregulations.Infurtheranceofthiscommitment,theBoardpromotesethicalbehaviourandhasadoptedtheCodeofEthics.TheprinciplesonwhichtheCodeofEthicsreliesarethosethatconcerntransparency,integrityandaccountability.Itprovidescleardirectiononconductingbusiness,guidanceondisclosureofconflictofinterestsituations,maintainingconfidentialityanddisclosureofinformation,goodpracticesandinternalcontrol,andthedutytoreportwherethereisabreachagainsttheCodeofEthics.TheCodeofEthicsisreviewedfromtimetotimetoensurenewfactsandcircumstancesandevolvingcorporategovernanceissuesareaddressedandbestpracticesareincorporated.
(2) Board Charter
TheCompany’sBoardCharterisaimedatensuringthatallBoardmembersactingonbehalfoftheCompanyareawareof theirdutiesandresponsibilitiesasBoardmembersandthevarious legislationsandregulationsaffecting their conduct and that the principles and practices of good corporate governance are applied in their dealingsinrespect,andonbehalfof,theCompany.TheBoardChartercomprises,amongothers,well-definedtermsof referenceaswellas theauthority limits for theBoardand itsCommittees,and thevariousrelevantinternalprocess.TheBoardCharteristobeupdatedfromtimetotimetoreflectchangestotheBoard’spolicies,proceduresandprocessesaswellasamendedrelevantrulesandregulationstoensuretheyremainconsistentwiththeBoard’sobjectives,currentlawandbestpractice.
(3) Board Responsibility
TheBoardhastheoverallresponsibilityforcorporategovernance,strategicdirection,formulationofpoliciesandoverseeingtheinvestmentandbusinessoftheGroup.
OtherthanasspecificallyreservedfortheBoard’sdecisionintheBoardCharter,theresponsibilityofmanagingtheGroup’s business activities and affairs is delegated to theGroupManagingDirector (“GroupMD”) whooperatesinaccordancewiththeBoard-approvedpoliciesanddelegatedlimitsofauthority.
(4) Board Composition and Balance
TheBoardcomprises10members;7ExecutiveDirectors(“EDs”)and3Non-ExecutiveDirectors(“NEDs”).Allthe3NEDsareIndependentDirectors(“INED”).Together,theDirectorswiththeirwideexperienceinboththepublicandprivatesectorsanddiverseacademicbackgroundsprovideacollectiverangeofskills,expertiseandexperiencewhichisvitalforthesuccessfuldirectionoftheGroup.ThecurrentBoardfufilstherequirementunderACELRtohaveatleastonethirdoftheBoardcomprisedofINEDs.AbriefprofileofeachDirectorispresentedintheProfileofDirectors.