DRB-Hicom to Find Solution for Proton’s Problems image

DRB-Hicom Bhd announced that next month it will come up with a plan to solve Proton’s problems.

This plan is of utmost importance and if not applied on time it could have severe negative consequances to DRB, look which is a major investor in Proton (Perusahaan Otomobil Nasional Bhd).

“Proton is in trouble and if we don’t solve Proton’s problem, link not only Proton would go down but the whole DRB will go down, health ” said chief operating officer Datuk Seri Che Khalib Mohamad Noh.

He did not offer details about what Proton’s problems are, but said that if not solved it will affect the company’s 11,000-plus employees and the entire automotive ecosystem surrounding Proton. DRB’s group managing director Datuk Seri Mohd Kamil Jamil announced that as Proton’s acquisition was a major investment for DRB, its future depends on Perusahaan Otomobil Nasional’s performance.

In a report published last month DRB was announcing its plans to add a foreign partner to Proton, which managed to raise its domestic sales target to 200,000 units for the financial year ending March 31st, 2013, an increase from 167,000 units. Proton was also offered a RM120 million fund to develop hybrid vehicles.