Operations Review - ChartNexus

Operations Review
Production of the Exora is expected to
receive a further boost once launched
into the Indonesian market.
The loss of volume has motivated the Group to further improve operational efficiencies
and to enhance cost reduction activities. PROTON is confident that all the proposed cost
reduction initiatives will be carried out accordingly.
On the other hand, demand for the Saga is expected to stablise in the domestic market,
while an increase in production volume is anticipated when exports to Australia and the
Gulf Community Countries (GCC) begin. The cosmetic change and special edition models
also provide a positive outlook for the Saga.
The Group also forsees that the high number of bookings for the Exora would result in
high volumes in excess of 3,000 units a month. Export to the Indonesian market slated for
July 2009 will further boost production volume. The plan for the new financial year is to
produce 35,000 units and we expect this target to be achieved, if not, exceeded.
While demand for the Exora is on the rise and demand for the Persona and Saga is stabilising,
the corresponding requirement for the CamPro engines is as per the last financial year.
The CamPro engine component machine and assembly capacity expansion plans are also
constantly being reviewed and we anticipate that the current capacity of 180,000 units will
be sufficient to cater for the coming year.
PROTON 2009 ANNUAL REPORT
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