PETALING JAYA: The Proton Edar Dealers Association Malaysia (Peda) will meet local banks in an attempt to iron out issues relating to Bank Negara's responsible lending guidelines.

“To further improve the approval rate for the buyer, Peda plans to meet all banks individually and better understand the banks' limitations and perhaps extend our feedback and proposal on how to expedite the loan processes and increase our approval rate,” Peda president Armin Baniaz Pahamin told StarBiz.

Following Bank Negara's new lending guidelines that came into effect on Jan 1, loans are now approved based on net income compared with gross income previously.

The new guidelines are intended to help manage the household debt in Malaysia to reasonable levels.

Armin says the launch of the Prevé is timely because Proton must protect its market share in the ‘C-Segment.’

However, the new stringent rules have resulted in some potential car-buyers finding it more difficult to get their loans approved.

This, meanwhile, is having a direct impact on the sales of local automotive companies, especially those within the lower capacity passenger vehicle segment such as Proton and Perusahaan Otomobil Kedua Sdn Bhd (Perodua).

According to Armin, after the implementation of the new lending rules this year, Peda's dealership sales were immediately affected, with only 30% of applicants able to secure financing for new Proton cars in January.

However, he said that approval rates had since improved to 40% in March.

“But this is still far from the approval percentages before the lending rules were implemented. The duration taken for approval has improved from more than two weeks in January to one week currently,” Armin said.

He said Peda had already engaged with the central bank, the Malaysian Automotive Institute and the Ministry of International Trade and Industry on two occasions to iron out issues relating to the new hire purchase (HP) rules.

“We believe this (the meetings) may have contributed to the improvement in the overall HP loan-application approval percentage,” he said.

Last week, Perodua announced that its vehicle sales fell 11% in March to 16,000 vehicles versus 18,000 units in the previous corresponding period, mainly due to Bank Negara's responsible lending guidelines implemented this year.

It said sales eased 2.2% to 44,700 vehicles in the first quarter of this year from 45,700 vehicles registered in the previous corresponding quarter.

In a statement by the company last week, Perodua managing director Datuk Aminar Rashid Salleh was quoted as saying that the current loan approval rate by financial institutions was much lower than usual due to the new guidelines, adding that loan approvals were also delayed.

“Due to this delay, it takes an average of 20 days to know the outcome of a loan application instead of three days previously, and this is having a huge impact to not just the manufacturers but also to the entire automotive eco-system,” he said in the statement.

Aminar also said that the loan rejection, as well as delay in the loan approval process, had resulted in high inventory levels at Perodua's stockyards, which in turn had increased cost for the independent dealers.

On another note, Armin said the launch of Proton's newest model, the Prevé, could not have been more timely.

“Yes, it is timely because Proton must protect its market share in the “C-Segment” that is now being represented only by the (Proton) Persona when the Proton Waja was phased out.

He pointed out that marketing research and analysis firm Frost & Sullivan had forecast that the biggest growth in the automotive industry this year would be in the C-segment.

“(This is something) our dealer network will capitalise on with the new Proton Prevé. The C-Segment dominates more than 25% of the total industry volume,” Armin said.

The Prevé was launched last week.

“For April and especially with the launching of the Prevé, we trust the approval rate will further improve, given the buyers' demographic is not in the most affected segment by the lending guidelines.

“The lending guidelines affect new graduates, the lower and middle-income group as well as small business owners,” added Armin.

-Star motoring
KUALA LUMPUR: Proton, which has received 2,800 bookings for its newly unveiled first global car the Proton Prevé, will start to market the car in Indonesia and Thailand by the middle of this year, said its managing director Datuk Seri Syed Zainal Abidin Syed Mohamed Tahir.

"Since it was launched, we have recorded bookings for 2,800 units. We have been getting encouraging response."

The public feedback received to date indicated many people were satisfied with the design, he said at the launch of a new Proton showroom in Jalan Ampang here.

He said the Prevé will be exported to Australia by the end of this year.

Syed Zainal is optimistic that Proton could achieve its monthly target of 4,000 units for the Proton Preve.

-Bernama
SUBANG JAYA: The Proton Prevé hit the streets barely 24 hours after being launched on a nationwide tour to give Malaysians a first-hand look at its first global car.

The Prevé motorcade, which was flagged off from Sri Pentas in Bandar Utama, continues a Proton tradition in bringing its latest model to the people. The convoy includes eight Prevés, four Inspiras, and one unit each of the Persona and Exora.

Proton subsequently presented keys to the first Prevé owners at its showroom in Mutiara Damansara.
Syed Zainal (left) flagging off the convoy at Sri Pentas with Media Prima chief 
operations officer (TV network) Ahmad Izham Omar.
“The Prevé ... brings a new level of safety, performance, comfort, build quality, technology and styling to Proton cars," said Proton managing director Datuk Sri Haji Syed Zainal Abidin Syed Mohamed Tahir.

"The launch of this car marks a new and exciting era for Proton, and this is an achievement we wish to share with all Malaysians who have been a strong and instrumental driving force of Proton’s continued success.”

Two of the early birds to the showroom were pleased with the car.

“I am pleasantly surprised by how different this car is compared to previous models by Proton. Its features, like the 7-Speed ProTronic 7-speed CVT, with pedal shifters are impressive,” said R3 Satria Neo owner Mohd Shafik, 26.

Wira owner Mohd Sobri said: “The exterior looks unique and I’m satisfied with the interior. This is such a big change for Proton. I can’t wait to test drive this car because of its turbo-charged engine as I have experienced what it does to the Exora Bold. I’m considering a trade-in of my Wira for the Prevé.”

The convoy made a few stopovers in Kuala Lumpur before heading out of the Klang valley. It will also go to the east coast before ending the trip at Proton's new showroom in Jalan Ampang, Kuala Lumpur, on Saturday.
SERI KEMBANGAN: While Malaysians are still learning to correctly pronounce Preve, the name of Proton’s latest family sedan, the national car maker has officially launched the car tonight with pricing that are a few thousand ringgit lower than the pre-launch indicative prices.

Sold in three variants, the Preve (pronounced “prae-vae”) is priced at RM59,990 for the 1.6-litre IAFM+ engine variant with five-speed manual transmission, RM62,990 for the 1.6-litre IAFM+ with six-speed continuously variable transmission (CVT) and RM72,990 for the premium 1.6-litre CFE turbocharged engine with seven-speed CVT.  The variant in solid colour is RM450 cheaper.

Launched by Prime Minister Datuk Seri Najib Tun Razak at the MINES Convention Centre in Seri Kembangan tonight, the Preve is touted as Proton’s global and best car to-date mainly due to improvements in performance, safety, comfort and styling.

Bernama reported Proton executive chairman Datuk Seri Mohd Khamil Jamil as saying that he plans to see a stronger Proton as it grows into a global company.

He said it would redefine its product and brand to stay competitive in a global setting.

"There is already an acceptance of Proton cars regionally and globally, but we must respond more aggressively in order to expand abroad by becoming more technology-advanced," he said.

Mohd Khamil said Proton would continue to offer customers desirable vehicles, while strengthening its sales and after sales networks internationally, with the intent of evolving into a reputable, preferred and competitive car maker.

Proton managing director Datuk Seri Syed Zainal Abidin Syed Mohamed Tahir said "the Preve reflected Proton's maturity, technical knowledge and capability to evolve into a global player."

The car, with its low front and high tail, looks handsome and creases on the sides add elegance to the proportions.

It features a profile that reminds one of the BMW E90 3 Series.

The car boasts a rigid structure, thanks to the usage of stronger steel components made using Hot Press Forming (HPF) technology.

Preve’s instrument meter cluster is also more advanced than previous Proton models and comes with a Smart Info Display to show useful details such as journey time, distance to empty tank, key fob and car battery low warning as well as bulb failure warning.
Other safety features include seatbelts with pre-tensioner helps to secure driver and passenger in position during the initial moments of a collision, two front airbags and anti-lock braking system with electronic brakeforce distribution while the Premium variant gets two more side airbags and electronic stability control.

The Premium variant also gets additional paddle shifters, wipers with rain sensor, start-stop button and a CD Player with Bluetooth connectivity and built-in satellite navigation system.

This is how the top of the line Preve looks, paddle shifters and all.
Other standard equipment across the range include 4G in-car WiFi system, 16-inch tyres, remote trunk opening, numerous cup and bottle holders.

The IAFM+ engine churns out 109bhp and 150Nm of torque which should translate into adequate perfromance for a regular 1.6-litre family car.

Meanwhile, the Premium variant’s turbocharged engine produces 138bhp and 205Nm of torque similar to that of a bigger 2.0-litre car.

Available colours are Blue Lagoon, Fire Red, Genetic Silver, Tranquility Black, Elegant Brown and Solid White.

The car will be available in Proton showrooms across Malaysia from tomorrow. Click

Syed Zainal
KUALA LUMPUR: Former Prime Minister Tun Dr Mahathir Mohamad today hinted that Proton managing director Datuk Seri Syed Zainal Abidin Syed Mohamed Tahir might not want to continue leading the national car maker under the ownership of DRB-Hicom Bhd.

Mahathir, who is also Proton adviser, said in Syed Zainal's case, there was no question of sacking but merely a question of an agreement between the latter and DRB-Hicom as to how best to deal with the problem of redundancy.

"DRB-Hicom is quite entitled to change the MD because they now own Proton but at the moment Syed Zainal is still the managing director and he is getting paid for the position.

"But of course he might not want to continue. It's his choice," Mahathir told reporters after chairing a Roundtable High Level Strategy Session organised by the National Chamber of Commerce and Industry of Malaysia.

He was commenting on news report that Syed Zainal would be removed as managing director of the company after the launch of the Proton Preve sedan model tonight.

-Bernama
SUBANG JAYA: Proton has denied a speculative report in a financial daily that its group managing director, Datuk Seri Syed Zainal Abidin Syed Mohamed Tahir, has resigned.

The national auto maker said it "was not aware of the source of this speculation."

"Syed Zainal is still holding the position of the group managing director of Proton, and his services are still required in the company," it said in a statement today.

"The post-acquisition exercise is still proceeding smoothly and upon the completion of the same, Proton is expected to have a strong synergy of current and new management team members that will provide Proton with the necessary impetus to lead the company in its aspiration to become a globally successful automotive player."

The newspaper had published today on its front page that Syed Zainal had resigned from the company.

On March 16, Proton had announced that Datuk Seri Mohd Nadzmi Mohd Salleh had resigned as its chairman and director with immediate effect.

In a filing to Bursa Malaysia that day, the national auto maker said his resignation was part of a term stipulated in the sales and purchase agreement between Khazanah Nasional Bhd and DRB-Hicom Bhd, Proton's new owner.
PUTRAJAYA: Proton kicked off a pre-launch programme here for the media today to sample the Prevé, its first global car previously known by the code name P3-21A.

The new C-segment sedan is targeted at the small family who prefers stylish design with excellent riding  comfort, safety and quality. It's also pitched at young professionals and executives leading an active lifestyle.

Indicative prices of the car, as announced at Proton's Power of 1 showcase last month, is from RM62,000 to RM75,000.

No photography was allowed, with Proton issuing only teaser shots of the car that you see here.

At today's product briefing, Proton group managing director Datuk Seri Syed Zainal Abidin Syed Mohamed Tahir finally confirmed the name of the P3-21A which had in recent days been leaked out as Prevé (pronounced Prae-vae). 

Three 1.6-litre model variants will be offered. 

Executive variants come with a 5-speed manual transmission and a '6-speed' CVT. Both uses the CamPro IAFM+ engines while the top of the line Premium variant is fitted with the turbocharged Charged Fuel Efficiency engine with a '7-speed' CVT.

The Premium model has torque output that mimics a 2.0-litre naturally aspirated powerplant but has combined fuel consumption of 8.2l/100km.

While Proton did not reveal performance details of the lower end models today, it did announce that the engine of the Premium model produces 138bhp and 205Nm. Its sprint from 0 to 100kph is achieved in 9.6s.

In addition, its transmission ensures smooth gear change while the ‘7-Speed ProTronic’ allows the driver to override the automatic mode by moving the shift lever into a second shift gate to ‘upshift’ and ‘downshift’. 

Other value-for money features in the car are active headrests, four cupholders and stowage spaces on all four doors. 

The Premium Prevé  gets extra goodies such as four airbags (two front and two side);  paddle shifters, auto rain sensor, stop-start button and a CD Player with Bluetooth & built-in GPS Navigator. 

ABS with EBD is standard while Electronic Stability Control is available in the Premium variant. Proton said the car has the best stopping distance in its class at 36.8m when compared with three foreign models.

It also boasts the best legroom in its class with front and rear spaces at 930mm and 815mm respectively.

Syed Zainal said the name was based on the English word 'preve' which means proof or  'to prove' (a point).

He said the car was a clean departure from the past and was not a replacement model for any existing cars. 

The Prevé was planned holistically from the start with Proton having a clear idea on what future variations of the car will be, said Syed Zainal, adding that the public could expect a sporty hatchback variant in coming months.

The Prevé  sedan, which will be launched this month in a choice of six colours, is available with water-repellent fabric seats and future plans include bodykit and leather seats to jazz it up.

Proton has received around 1,000 bookings for the car so far even before launch with 75% of bookings for the Premium variant.

As a global car, Proton has the world market in mind for the Preve with Indonesia and Thailand as the first  export markets to get it within three months of domestic launch  followed by gradual rollout to other countries such as China, Iran and Australia. Exported cars will retain the Prevé name.

Proton senior director of operations Dr Wolfgang Karl Epple said the body of the car was the most rigid Proton has ever produced, resulting in a vehicle that's surefooted in corners and stability at high speeds yet retaining an ideal weight for better fuel efficiency. 

The torsional body  rigidity also ensures cabin integrity during collision.

Members of the media were given the opportunity today to drive the Prevé from here to Setul, Seremban, and back covering a total distance of 157km. 

Overall impressions of the two CVT variants were positive (more details to follow in Star2 on Sunday). Click

VIDEO: The new Proton Prevé name 
-Proton Managing Director Datuk Seri Syed Zainal explains the name
SUBANG  JAYA: "My  Proton Makeover” competition ended with the announcement that an IT expert and a home maker will be the final recipients of cars that will be given a new lease of life.

IT  consultant Amirul  Azim  Mohd Hussain, 36, and home maker Lee Koon Gaik, 54, submitted their old cars recently to Proton, the fifth and sixth cars to undergo the refurbishment programme.

Satria owner Amirul  Azim said his car had served him well for 11 years from his bachelor days and even now when he has become a father.

Amirul  Azim handing in his Satria for a makeover.
He revelaed that he was a toy car collector, and have accumulated a sizeable cache of Hot Wheels die-cast cars.    

Lee's husband bought her a Saga 20 years ago.  The car had been a reliable workhorse over the years, allowing her to send her sons to school, college and  early working life. 

Lee said she had grown attached to the Saga and had even declined to give up the car for a new Proton under the government’s voluntary scrapping incentive in 2009.   

“Even with the common wear and tear over the past 20 years, I am still able to rely on it to get me around - and I’m happy to be able to treat it to a little pampering with this makeover."

Proton Motorsports R3 engineering chief Tengku  Djan  Ley  Tengku  Mahaleel said on Friday that the company would ensure the cars perform with greater reliability, efficiency and safety after the makeover.

For more information, go to www.protonvip.com.

Tengku  Djan  Ley (left) was on hand to receive the old Saga belonging to Lee, who was accompanied by her family for the handover. click