2011

vol.2 Thistle The Magazine of

Jardine Matheson’s Record Results Reflect Outstanding Performances > page 3

Pride in Performance Shines Across the Group > page 4

Topping-out of Gammon Joint Venture Tamar Development Project > page 9

Astra’s Automotive Business in Top Gear Record Performances

2010 was another record year for the Group as reflected in our annual results, which were underpinned by strong performances from most of our businesses. 2010 also marked the end of a very successful decade of consistent growth for the Group, one in which our ‘Bold’ approach paid off and our businesses prospered through often challenging times.

Many of our 2011 Pride in Performance (PIP) Award winners set out on pages 4 and 5, also demonstrated a ‘Bold’ approach, which enabled them to achieve record performances in their respective businesses. They, along with all the other impressive entries for the awards programme, which this year is celebrating its 10th anniversary, showcase the common characteristics or ‘Elements’ that enable businesses to succeed and set an example to which all our businesses can aspire.

Astra is another Group business which has achieved record performances in recent years. As the feature on its automotive interests on pages 15-19 reflects, the group is well placed to take advantage of Indonesia’s strong economic growth and achieve its goals of maintaining market leadership while providing its customers and business partners with the highest quality services.

Anthony Nightingale At the Centre 2 Jardine Matheson’s Record Results Reflect Outstanding Performances Pride in Performance Shines Across the Group China Forum … 2

Leadership 8 Topping-out of Gammon Joint Venture Tamar Development Project Revamp of Stores in Kong Attracts More Shoppers JEC Expertise Wins Contracts in and the Own Skincare Brands Take Off in Mainland China …

Feature 14 Astra’s Automotive Business in Top Gear CONTENTS

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Performance 20 Top Awards for Astra Hong Kong App Makes Big Impact JOS Achieves More Partnership Awards China Travel Industry Accolades for Mandarin 20 Oriental Hotels …

Spirit 26

Walk Up Raises Record Amount for MINDSET Jardine Ambassadors and MINDSET Place Residents Spread Festive Cheer Group Teams Hike for Hospice Hong Kong IKEA Staff Join Forces in SPREE Campaign …

People 32 Team-Building and Leadership for Jardine Matheson Vietnam Dairy Farm Graduates Aspire to Success Successive Jocks’ Pot Victory for Jardines Enterprise at Work … Bar Boulud, Mandarin Oriental 34 Hyde Park, London Jardine Matheson’s Record Results Reflect Outstanding Performances

AT THE CENTRE 3

Jardine Matheson’s Record Results Reflect Outstanding Performances

The positive economic environment and room rates. Jardine Cycle & where new revenue streams would At the Centre seen in Asia throughout 2010 Carriage’s earnings reflected the boost earnings. underpinned strong performances record results achieved by Astra. from most of the Jardine Matheson Mr Nightingale cited specific examples. Group’s businesses, enabling it to Being Bold These included Jardine Pacific that had produce a record result for the year. doubled its profits by concentrating The contribution from Southeast In his annual address to Group senior on areas where it could see the Asia represented 56% of the Group’s executives, Managing Director Anthony greatest opportunities for profitable underlying profit for the year, Nightingale looked back at what has growth in East Asia; , compared with 41% from Greater been a very successful decade for which built on its reputation for China, largely due to outstanding the Group and the factors that have quality and expanded its commercial results from Astra in Indonesia. produced consistent profit growth. property activities in , while also developing profitably The Group achieved an underlying During the period, the Group’s gross high-end residential properties; profit in 2010 of US$1,364 million, revenues doubled to US$47 billion, and Jardine Cycle & Carriage, which an increase of 34%. Underlying while underlying profit went acquired an interest in Astra when earnings per share were 33% higher at from US$171 million in 2001 to seeking additional investment US$3.80 and revenue, including 100% US$1,364 million in 2010. Total opportunities, and helped it to achieve from associates, was US$47 billion, equity increased from US$7 billion to record-breaking performances. compared with US$36 billion in 2009. US$32 billion. In conclusion, Mr Nightingale said Jardine Pacific saw good performances “These results demonstrate the ability that the result of being Bold is a set across its operations, leading to of our businesses to prosper through of Group companies that are more another record profit. A strong first often challenging times. So what focused, more versatile and more half enabled Jardine Motors to produce approach did they take ten years ago? profitable, and well positioned for an excellent result, while Jardine To put it simply, they were Bold,” said the future. Lloyd Thompson made satisfying all Mr Nightingale. round progress. “Across the Group, we understand Businesses were sold that did our customers and our markets. We Hongkong Land’s impressive result not fit the strategic vision; others are concentrating on what we do well included notable gains on completion were refocused on East Asia and and avoiding distractions. We have of residential development projects. steadily built across the region; the ability to identify and nurture the Dairy Farm achieved higher earnings specialist offerings were taken to right people with the skills to build in most of its banners, while Mandarin global markets; while a number of our businesses; and we are ready Oriental saw profits start to recover businesses built on their proven to take calculated risks and make following improvements in occupancy expertise and branched into areas bold decisions.”

Group Chairman at London Events with China’s Vice Premier

Jardine Matheson Group Chairman Sir Henry Keswick attended Right: Jardine Matheson two dinners during the visit to London of China’s Vice Premier Group Chairman Li Keqiang. Sir Henry Keswick with China’s Vice Premier The first was hosted by The Chancellor of the Exchequer, The Li Keqiang. Rt Hon George Osborne, at 11 Downing St and the second, a banquet organized by the China British Business Council at the Royal Courts of Justice. At both dinners, Sir Henry met with the Vice Premier and with MOFCOM Vice-Minister Gao Hucheng. Pride in Performance Shines Across the Group

IKEA Hong Kong Marketing JLT London Makes Cyber Revolution Wins PIP Awards Challenge an Opportunity Grand Prize Rather than ignore the impact of the IKEA Hong Kong, the Marketing Internet on its employee benefits (EB) Excellence category winner, won business,

IKEA Hong Kong – Marketing Excellence and the Pride in Performance (PIP) (JLT) embraced the cyber challenge Grand Prize Winner Awards Grand Prize for 2011 for with a new venture – an online its implementation of a marketing benefits platform. BenPal, which was revolution which has seen it launched in 2009, was a runaway become the fastest growing IKEA success, winning new clients and business globally. transforming JLT’s EB business. BenPal’s superior technology has After looking at the business through enhanced JLT’s competitive edge, the eyes of their customers, the widened its revenue base, increased IKEA team successfully mobilized its sales and lowered operating costs. staff behind its mission of marketing Lloyd & Partners – Customer Focus being everyone’s responsibility. MCL Land Turns Waterfall A targeted advertising campaign Gardens into Windfall for the opening of its Kowloon Bay store highlighted IKEA’s low A winning combination of a unique prices and family friendly stores. product, innovative marketing and Within a month of the campaign prudent cost management resulted launch, the new store had attracted in MCL Land hitting the jackpot with nearly 400,000 visitors. In total, its luxury development, Waterfall IKEA experienced over one million Gardens in Singapore. The marketing additional store visits in 2010 team pre-launched the project in Indonesia and Hong Kong, achieving Jardine Lloyd Thompson – Successful New Venture compared to 2009 and recorded an 83% increase in underlying PBIT of 85% pre-sales with the remaining US$21 million. 15% snapped up by local buyers. While Waterfall Gardens had its JLT Subsidiary Puts share of major challenges, the team’s Customer’s Needs First can-do attitude ensured that the project stayed on track, surpassing its Jardine Lloyd Thompson subsidiary original tender budget nine-fold. and wholesale insurance broker Lloyd & Partners Ltd (LPL) had its Mannings Hong Kong Scales strong relationship with Transocean, New Heights MCL Land – Innovation and Creativity the world’s largest offshore drilling contractor, tested in April 2010 when Mannings Hong Kong has proved Transocean’s semi-submersible that passion, innovation and drilling rig, Deepwater Horizon, sank entrepreneurship can deliver dramatic in the Gulf of Mexico with the loss growth even in a mature market of 11 crew. An insurance claim for during tough times. Determined to US$560 million was triggered. The outperform, Mannings set out a list of LPL team pulled out all the stops initiatives in its 2008-2010 business and completed the complex claims plan. This has since delivered a 58% process in a record-breaking 11 increase in sales and an annual EBIT growth of 18% over the plan period. Mannings Hong Kong – Business Outperformance working days. 5

PIP Anniversary Publication Defines Success At the Centre

A decade after the Pride in growth of dynamic enterprises where • Collaborating as a team, sharing Performance Awards programme people take pride in performance.” values and learning from each other; was launched to identify and reward • Solving problems and overcoming outstanding performances across To date, the PIP Awards have attracted obstacles with tenacity; and the Group, a special publication 213 entries. The entrants have • Connecting with customers and has been produced to recognize represented diverse industry sectors, understanding their needs. its achievements and celebrate operated in different cultural and its success. economic environments and served The PIP 10th anniversary publication very different customer groups. Yet gives examples of PIP Award winners “Through PIP, a platform has been within their PIP submissions can be who have demonstrated each of created to showcase and demonstrate identified five common characteristics or the five Elements and outlines the how a strong set of values can instil ‘Elements’ that enabled them to succeed. essential qualities which form them. pride, while key business elements can underpin outstanding performance,” These elements are: Further information on the PIP Awards explained Group Managing Director • Striving for and attaining new and the publication is available at Anthony Nightingale. “In essence, performance heights; www.jardines.com/news-and-events/ PIP meets the intent of Jardine • Innovating by going beyond pip-awards.html Matheson which is to stimulate the boundaries;

Centre: Jardine Matheson Group Managing Director Anthony Nightingale celebrates with the prize winners of the 2011 PIP Awards. Group Chairman Leaves His Mark at First Giant Hypermarket Sites in Sarawak

Jardine Matheson Group Chairman Sir Henry At the site of the second new Giant Keswick left his mark when he visited the sites Hypermarket in Tabuan of two Giant hypermarkets, which are currently Jaya, Sir Henry and Lady Keswick (centre) under construction in Kuching and are Dairy are assisted with Farm’s first in Sarawak, Malaysia. making imprints of their hands to be mounted at the entrance to the Sir Henry, who was accompanied by Lady new store. Keswick and a team comprising senior management from Jardine Matheson and Dairy Farm, was welcomed with performances by local tribes at the Kota Padawan site. Sir Henry and Lady Keswick were invited to plant local Belian and Mahogany trees at the site, which were presented to them by the Deputy Chief Minister of Sarawak, Datuk Patinggi Tan Sri Alfred Jabu Numbang.

Group Chairman Meets China’s Deputy Premier in Beijing

Jardine Matheson Group Chairman response, Sir Henry outlined Jardines’ Sir Henry Keswick met with China’s strong and growing presence there Deputy Premier Wang Qishan during and said that it was now the Group’s his annual visit to the country, which priority market for development. this year concentrated on important meetings in Beijing. During his four-day visit to Beijing, Sir Henry took the opportunity to Mr Wang, who met Sir Henry in the meet the new Chairman of the State Ziguange Pavilion of the State Council Council Hong Kong and Macao Affairs Compound in Zhongnanhai, said he Office, Wang Guangya, Vice Minister of was impressed by Jardines’ investment MOFCOM Zhang Yaoping, the Chairman Left: Jardine Matheson Group Chairman Sir Henry plans and would welcome the Group of CCPIT, Wan Jifei, and many other Keswick with China’s Deputy Premier Wang Qishan during his four-day visit to Beijing. expanding its activities in China. In government and business leaders.

Lord Powell Becomes Ambassador for British Business

Matheson & Co Director Lord Powell of Bayswater has been nominated as an Ambassador for British Business by UK Prime Minister . The Ambassadors are charged with promoting British business in foreign markets and encouraging overseas companies to invest in Britain.

Lord Powell also serves as Co-Chairman of the Asia Task Force with Vince Cable, Secretary of State for Business, Innovation Left: Lord Powell and (second left) UK Prime Minister David Cameron meeting with Chinese Premier and Skills. Wen Jiabao during Mr Cameron’s first official visit to China last year. 7

The team at the Dairy Farm Group’s

Representative At the Centre Office liaises with suppliers throughout Dairy Farm Expands mainland China to enable Dairy Procurement Business Farm Group companies to in Mainland China obtain best prices.

As Dairy Farm continues to expand its retail formats in over 5,300 outlets across Asia and mainland China, sourcing the best quality goods at the best prices has become more important than ever in an increasingly products and the other, new innovative different customer profile and competitive marketplace. products and promotional items different economic level,” said sourced across China. Mr Venter. “We also have to be For over a decade now, mainland China certain we are up to date with the has been one of the largest sources “We are currently dealing with over health and safety requirements of of goods for Dairy Farm. Last year, 500 suppliers across China,” said each country.” the group’s companies purchased Mr Shu. “Last year, our business units over US$1 billion worth of products purchased 60% from Guangdong While rising standards in China have from mainland China including Province and 33% from Zhejiang region, led to better quality products, prices grocery, fresh produce, non-food which includes the Shanghai area, as have also gone up in recent years and general merchandise items for well as products from Xiamen, Fuzhou, due to increases in the costs of raw its hypermarkets, supermarkets, Hebei and Shandong provinces. We materials, labour and transportation. health and beauty stores and are also exploring new suppliers in the convenience stores. north and inland regions of China.” “Because the prices tend to fluctuate rapidly, timely communication Since 2008, most of the general Over the last three years, the office between the procurement office and merchandise procurement has been has identified more than 5,400 new buyers across the group is essential co-ordinated from Guangzhou by the products for Dairy Farm in order to to help them make decisions quickly Dairy Farm Group Representative help the group maintain leadership in and ensure that they get the best Office, which has the main function its various markets. deals,” said Frederic Shu. of liasing between suppliers and Dairy Farm buyers and, most “For the basic core ranges, we look In spite of the changing market, China importantly, searching for new for items that can compete well. For remains unrivalled in terms of overall general merchandise products and ranges that are unique to the Dairy quality and price, while also offering suppliers in China. Farm own-label brands, we look for the advantages of faster production a point of difference, which will give lead and delivery times. “Guangzhou is an ideal location us an edge over our competitors,” because of the easy air, boat and train explained Merchandising Manager “Combined group procurement connections for Dairy Farm buyers Justin Venter. and buying synergies are vital to who come from all over Asia and for a multinational business such as our China suppliers,” explained Dairy Ensuring that items meet Dairy Farm Dairy Farm and we see our role Farm Group Procurement Manager standards and are suitable for the in China expanding as the group Frederic Shu. individual markets in which it operates continues to grow, especially in can often be challenging. the areas of hardware, homeware, Situated in the heart of the city, leisurewear and textiles,” said the office has two showrooms, one “For a start, each country has a Mr Shu. displaying the Corporate Brand different standard requirement, Topping-out of Gammon Joint Venture Tamar Development Project

LEADERSHIP 9

Topping-out of Gammon Joint Venture Tamar Development Project Leadership The Tamar Development Project in Hong Kong, which is being constructed by a Gammon/Hip Hing Construction joint venture, has held a topping-out ceremony to mark the completion of the building structure.

The project, which is scheduled for completion this year, includes the design and construction of a new Hong Kong Government Headquarters, Legislative Council Complex, landscaped open space and ancillary facilities. It will also provide a vast, central civic space, lush greenery and improved ventilation that will benefit the whole of Central District. Environmentally friendly and energy-efficient features range from waste recycling to a sunlight system and seawater cooling.

“We are expecting to deliver an iconic and benchmark complex that will grace the Hong Kong skyline,” said Gammon Chief Executive Thomas Ho.

Photo opposite: Officiating at the Tamar Development Project topping-out ceremony are, from left: Patrick Lam, Executive Director, NWS Holdings; Leung Chun-ying, Convenor, Non-official Members of the Executive Council; Henry Tang, Chief Secretary for Administration; Donald Tsang, HKSAR Chief Executive; Tsang Yok-sing, President, Legislative Council; and Adam The Tamar Development Project, which is being constructed by a Keswick, Director, Jardine Matheson. Gammon/Hip Hing Construction joint venture.

Revamp of Wellcome Stores in Hong Kong Attracts More Shoppers

Wellcome Hong Kong has been “We strategically remodel our Kong Chief Executive Officer Choo revamping some of its existing formats superstores to cater for changing Peng Chee. “It’s been a combined to meet changes in customers’ needs customer needs, to scale-up brand effort by teams from our Operations, and expectations. image and, more importantly, to boost Projects, Merchandising, Fresh and sales,” explained Wellcome Hong Marketing units.” The initiative has involved a remodelling of its superstores with particular regard to the shopping environment and merchandise. So far seven Wellcome superstores have been remodelled, with the scheme being gradually rolled out to other stores.

The first revamped store at Sunshine City in Ma On Shan successfully improved sales by a significant margin. The store now features the popular bakery chain ‘Bread Talk’ from Singapore, local fresh pork and a significantly expanded and repackaged selection of sushi. In addition, over 3,000 kinds of specialized products from around the world have Wellcome Hong Kong’s revamped superstores have resulted in an increase in sales and received an been introduced. enthusiastic response from customers. JEC Expertise Wins Contracts in Hong Kong and the Philippines

Jardine Engineering Corporation’s (JEC) Jardine Engineering Corporation has expertise in sewage treatment has won several new won it several new contracts in Hong sewage treatment contracts in Kong and the Philippines. Hong Kong and the Philippines. In a joint venture in Hong Kong, JEC is to upgrade preliminary sewage treatment facilities at North Point, Wan Chai East and Central in a project awarded by the Drainage Services Department. The upgrade will include the electrical and mechanical facilities as well as the supply and installation partnership with Kingsford and FF Kong for the construction of a top of major equipment. Cruz. Both are at tertiary sewage tier data centre to host ‘mission treatment facilities located in Taguig critical’ computer systems and The contract is part of Harbour Area City and involve the design, supply, components in an industrial building Treatment Scheme Stage 2A to provide construction, installation and testing in Tsuen Wan. preliminary treatment of sewage of the wastewater treatment plants. from the northern parts of Hong The project includes the supply Kong Island before it is discharged “JEC is pleased to be able to contribute and installation of all electrical and to deep tunnels, currently under our environmental engineering expertise mechanical services to support the construction by Gammon, destined for to support these new projects,” said JEC operation of the new data centre Stonecutters Island. Chief Executive Alex Newbigging. including uninterrupted and stand-by power supplies, precision controlled In the Philippines, JEC has been In another area of expertise, JEC has air-conditioning plants and security awarded two new contracts in also been awarded a contract in Hong and automation systems.

Refurbishment Preserves History of Iconic Lobby

The refurbishment of Mandarin Oriental, soul of the 135-year-old hotel, The majestic floor-to-ceiling Bangkok’s main lobby and reception while combining it with a modern windows that face towards the Chao area has preserved the legendary interpretation of traditional themes. Phraya River, the two royal elephants guarding the lift landing and the historical ‘temple bell’ chandeliers all remain as before. New upholstery, carpeting and furniture have been installed and during evening hours, a lighting system highlights the vibrant new colour scheme of burnt sepia, crimson reds and cool grays.

“The refurbishment will ensure that the lobby at Mandarin Oriental, Bangkok continues to be a landmark in the city,” said General Manager Jan Goessing.

The refurbishment of Mandarin Oriental, Bangkok’s main lobby and reception area retains the character of its long history while creating a more contemporary look. 11

Schindler Lifts Elevate Modern Luxury Living in Malaysia Leadership Antah Schindler in Malaysia has held the concept of modern living, Director Noky Wong told the gathering. a media briefing on its Schindler 3300 reflecting the global trend of elevator “The Schindler 3300 AP is ingeniously AP elevator and how it is redefining usage in residences and lowrise designed and flexible to install. It commercial buildings. has many inbuilt safety features and its gearless motor saves 40% Schindler has been involved in many energy compared to a conventional iconic buildings in Malaysia including geared motor.” most recently, the installation of the Schindler 3300 AP in each of the 29 Malaysia’s well-known celebrity luxury villas in Duta Kinrara, a resort interior designer Eric Leong also style residential development in shared his insights on new living Bandar Kinrara, Puchong. trends for modern homes with the audience. “Residential elevators are increasingly From left: Celebrity interior designer Eric Leong, Antah Schindler Managing Director Noky Wong and recognized as an investment that “Having an elevator at home is the C K Ang, Director of Pilot Group, the Developer of adds value and mobility to a home,” future trend of modern residential Duta Kinrara, with a Schindler 3300 AP elevator touch sensitive panel. Antah Schindler Sdn Bhd Managing living,” said Mr Leong.

Mannings Own Skincare Brands Take Off in Mainland China

Last year’s launch of four new profit contributor. Compared to skincare product lines in Mannings the previous six-month period, own corporate brand range to meet total sales of Mannings skincare mainland China consumers’ needs has products rose two and a half resulted in a big increase in sales. times in dollar value.

In the 2010 winter season, Mannings “This success represents true skincare corporate brand jumped from team work between our business its previous ranking of six to become unit and corporate brand teams,” the number two skincare brand in said Mannings China Chief Manning own skincare brands have proved to be a big Mannings China and the leading gross success in mainland China. Executive Officer Jenny Lee.

Milestone for MCL Land Development

Hongkong Land subsidiary MCL Land has achieved a significant milestone for its latest residential development in Singapore with the granting of the temporary occupation permit to mark completion of the main construction works.

The Peak@Balmeg is a condominium development of 180 units, all of which are already sold. Located between Kent Ridge and West Coast parks, the property stands on an elevated site overlooking the sea and includes facilities such as an infinity pool, deck MCL Land’s latest residential development in Singapore, The Peak@Balmeg, offers a and garden. seaside location, which combines seclusion with convenience and security. Big Dairy Farm Presence in New Singapore Mall

Several Dairy Farm brands have opened in the Nex Mall in Singapore, a new shopping hub in the centre of the city with over 360 premium tenants. They include a Cold Storage supermarket, Guardian Health & Beauty store and two 7-Elevens.

Spanning more than 11,000 sq. ft, the latest Cold Storage supermarket is a one-stop shop for grocery and household needs and incorporates a ‘Marche Provence’ bakery.

Guardian Nex includes a dedicated Guardian Health & Beauty Chief Executive Officer Pierre Olivier Deplanck explains the key features of Men’s Care Zone and in a first for Guardian’s concept store in the new Nex Mall in Singapore to journalists. Guardian, a patient care counselling room where customers can be assured 7-Eleven Singapore has opened two moviegoers and shoppers while of privacy when discussing their stores at Nex to cater for different the other aims to serve commuters health needs. consumer groups. One targets moving through the mall.

Hongkong Land to Invest in Cambodian Property Market

Hongkong Land plans to invest by JSM Indochina Limited. All the which we believe offers great approximately US$36 million in land within the portfolio offers growth potential,” said Hongkong the Cambodian property market development opportunities. Land South Asia Executive Director following an agreement to purchase Robert Garman. “We look forward to four prime freehold sites in Phnom “We see this as an excellent developing our business here over Penh and a leasehold site in Siem opportunity for Hongkong Land to the longer term.” Reap. The sites are currently owned enter the Cambodian property market,

Fresh Look at 7-Eleven Singapore

7-Eleven Singapore has been applying a fresh look to its stores with a refit exercise aimed at enhancing the overall experience of shoppers. The refurbishment involves both an interior and exterior makeover of stores to create a contemporary and bright environment for 7-Eleven customers. The new façade features visuals of 7-Eleven proprietary products to emphasize the wide array of items on offer. Inside, wider aisles and well-planned product placement further enhance the shopping experience.

“The improved shopping ambience enables us to meet the evolving needs of consumers as we reinforce further our position as the leading retailer of convenience in Singapore,” said 7-Eleven Singapore Chief Executive Officer Richard Seah. The fresh look of one of the new refurbished 7-Eleven Singapore stores. 13

Jardine Lloyd Thompson THACO Scores a First with New Kia Showroom

Restructures Japan Leadership Truong Hai Auto Corporation (THACO), During the opening of the showroom, Operations in which Jardine Cycle & Carriage which included 3D movies and laser holds a 30% interest, has scored a lights, the all new Kia Optima K5 was Jardine Lloyd Thompson (JLT) has first with the opening of its Kia Phu introduced with the message ‘THACO restructured its operations in Japan My Hung showroom in Ho Chi Minh Kia New Class – New feeling’. with the goal of ensuring greater City. The facility is the first showroom responsiveness to client needs as in Vietnam and only the second in “The emphasis at the Kia Phu well as to facilitate the independent the world to be branded with the new My Hung showroom is on the high operations of each business unit. global identity of Kia Motors, which standard of the service workshop and was introduced last year. the professional and dedicated staff,” Through an equity transfer explained THACO arrangement, JLT has established Chairman Tran JLT Holdings Japan. Under this Ba Duong. “Kia’s new structure, insurance agency new corporate operations will be conducted by JLT identity sets Risk Services Japan (formerly Jardine higher standards Lloyd Thompson Limited), while JLT worldwide and Japan (formerly JLT Re Japan) will here in Vietnam conduct the insurance and reinsurance raises the broking businesses. benchmark for our customers in terms JLT Risk Services Japan will draw on of quality and 26 years of experience to provide risk The opening of Truong Hai Auto Corporation’s Kia Phu My Hung showroom convenience.” management advice and insurance in Ho Chi Minh City is expected to raise the benchmark for customers in terms of quality and convenience. agency services, while JLT Japan provides insurance broking solutions on domestic and overseas insurance programmes and reinsurance Jardine Pacific Acquires Full Interest in broking services. Pizza Hut Vietnam

“The restructured operations will also Jardine Pacific has increased its Assistant to Jardine Matheson harness the JLT Group’s strengths in stake in Pizza Hut Vietnam from Group Managing Director overseas markets to serve Japanese 25% to 100% by acquiring the Anthony Nightingale. companies abroad,” said President & interests of its joint venture partner. Chief Executive Officer of JLT Holdings Japan, Masato Ata. The acquisition represents a further commitment by Jardine Pacific to Yum! Brands and its Pizza Hut operations. Through the Jardine Restaurant Group, Jardine Pacific also operates Pizza Hut in Hong Kong, Macau and Taiwan as well as KFC in Taiwan.

Archie Keswick has been appointed Chief Executive Officer of Pizza Hut Vietnam. His previous role as General Manager of Zung Fu in Macau has been taken up by Jardine Pacific’s full acquisition of Pizza Hut Masato Ata (centre) leads the team at JLT Japan. Priscilla Wu, formerly Executive Vietnam includes this restaurant at DeTham. Astra’s Automotive Business in Top Gear

FEATURE 15

Astra’s Automotive Business in Top Gear Feature

As one of Indonesia’s leading groups, value chain through direct ownership products and services also gives Astra is well placed to take advantage of manufacturing of vehicles and parts, customers the opportunity to get the of the country’s strong economic distribution, dealerships, after-sales right product, at the right time and at growth. This is particularly so in the and service, financing and insurance, the right price. automotive sector where Astra, as as well as through a network of Southeast Asia’s largest independent quality suppliers. Market confidence rebounded automotive group, is the foremost in 2010 following the slowdown provider of a full range of automobile Astra has established international precipitated by the global financial and motorcycle products. partnerships with Toyota, Daihatsu, crisis. The Indonesian economy grew Isuzu, UD Trucks, Peugeot and BMW by 6%, while the wholesale markets Astra, which was established in in the automobile segment and with for motorcars and motorcycles 1957 and listed on the Indonesia Honda in the motorcycle segment. In experienced 57% and 26% growth, Stock Exchange in 1990, is currently the automotive component business respectively. Overall, the contribution engaged in five business lines too, Astra enjoys relationships with to net income from Astra’s automotive in addition to its automotive many globally renowned companies. businesses rose by 55% to interests. These comprise Financial Rp7.1 trillion (US$832 million). Services; Heavy Equipment and “Our partnerships provide us with Mining; Agribusiness; Information access to the latest technology, “The future of vehicle sales in 2011 Technology; and Infrastructure proven production design models and beyond rests on a number and Logistics. and quality products. They also play of factors,” said Mr Sugiarto. “Of an important role in the group’s most concern is the uncertainty In the Indonesian automotive constant striving for improvement surrounding planned regulatory sector last year, Astra’s businesses in manufacturing quality,” changes. Astra, nevertheless, remains accounted for 56% of all the new explained Astra President Director confident both in the short and longer cars sold and 46% of all the new Prijono Sugiarto. term as car ownership density in motorcycles sold in the country. Indonesia is still low in global terms.” This market leading position is The provision of financing support strengthened at each step of the through Astra’s various financial

Astra, which has its headquarters in Jakarta, is one of Indonesia’s leading businesses and Southeast Asia’s largest independent automotive group. Driving Ahead with Motor Vehicles Astra Toyota Astra’s leadership position in the PT Toyota-Astra Motor (TAM), a joint automotive market in Indonesia venture between Astra and Toyota is defined by its manufacturing, Motor Corporation, is the sole agent distribution and sales businesses for Toyota vehicles sold in Indonesia in partnership with prominent through five main dealers. international marques.

Of these, Auto2000 is the largest In recent years, its automobile and with 145 branches, which together motorcycle manufacturing operations with their sub-dealers account for have experienced rapid growth. nearly 80% of Toyota’s sales volume Currently Astra has stakes in some in Indonesia. Through this extensive seven manufacturing companies. network, Auto2000 provides sales and These include PT Astra Daihatsu Motor after-sales services as well as selling (ADM), which is the manufacturer of Toyota spare parts. Daihatsu compact cars and Toyota vehicles in Indonesia for both “2010 was a good year for Toyota the local and overseas markets; with sales reflecting the rebounding PT Astra Honda Motor (AHM), which confidence in the market-place,” dominates Indonesia’s motorcycle said TAM President Director Johnny market in both the manufacturing Darmawan. “A new sales record of and sales segments; and PT Astra 280,989 vehicles, up 50.3% from PT Toyota-Astra Motor (TAM), which is the sole Otoparts Tbk, which manufactures 2009, was aided by stable and agent for Toyota vehicles sold in Indonesia, achieved and distributes components for both record-breaking sales in 2010. favourable interest rates.” cars and motorcycles. Daihatsu To maintain its leading position Distribution is a core competency of and attract new customers, TAM As well as being the manufacturer Astra and, supported by the largest will continue to broaden its product of Daihatsu and Toyota vehicles and sales and distribution network across range, while the Avanza, Toyota’s components in Indonesia, PT Astra Indonesia, the group is able to serve highest selling car in 2010 with Daihatsu Motor (ADM), in which Astra the full range of market segments and 50% of sales, will be supported has a 32% interest, is also the sole maintain its leadership position in the by product refreshment and agent for Daihatsu vehicles in Indonesia. face of aggressive competition. enhanced marketing. Last October ADM reached a production “We will also focus milestone of two million units on giving our manufactured. This was the culmination customers a ‘Best of a challenging year when ADM was Total Ownership simultaneously manufacturing at 50% Experience’ through above normal capacity while preparing operational to expand production further. This was excellence at all achieved through a shift doubling which levels and expand saw capacity increase from 211,000 our outlets and vehicles per annum to an output in 2010 infrastructure, of 320,000 units serving domestic and with the goal of export markets. ADM also strengthened strengthening its product line-up by introducing several market penetration,” special editions – New Terios, Luxio Astra’s automotive business relies on strong working relationships with principals such as Toyota and Daihatsu. said Mr Darmawan. Prestige and Sirion Femme and Drift. 17

Motor Vehicles Feature

“Planning for this included the With an expanded dedicated Last year in line with commercial and co-ordination of a network of network of 86 outlets, Isuzu aims industrial growth, sales of UD Trucks’ more than 1,000 local suppliers to be the number one truck seller medium and heavy-duty vehicles grew in addition to plant expansion,” in Indonesia. rapidly with volumes increasing by explained ADM President Director 111% to reach the highest levels since Sudirman M Rusdi. “We will compete by expanding the Asian financial crisis. The company coverage, offering high quality after- also benefited from several government In 2010, Daihatsu achieved a record sales service and meeting customer initiatives introduced during 2010 to 118,554 vehicles sold, a 53% increase, expectations,” said IAMI Vice lower tariffs on importing vehicles in thus maintaining its second place President Director Johannus Nangoi. complete knockdown (CKD) form. market share gained in 2009. Astra distributes Daihatsu cars through its Daihatsu Sales Operation, by way of dealer networks and its own growing network of 179 outlets.

Isuzu

PT Isuzu Astra Motor Indonesia (IAMI), in which Astra holds a 45% stake, is the sole agent and manufacturer of 2010 was a record year for PT Astra Daihatsu Motor (ADM), which is the sole agent for Daihatsu vehicles Isuzu in Indonesia and offers a range of in Indonesia. diesel-engine vehicles from pick-ups to minibuses and dump trucks. Through UD Trucks BMW the Isuzu Sales Operation (ISO), it is also the largest dealer of Isuzu commercial PT Astra Multi Trucks (AMT) Indonesia, Astra’s BMW Sales Operation (BSO) vehicles in Indonesia and sole distributor in which Astra has a 75% share, is holds the dealership rights to sell of its light commercial vehicles. the sole agent and manufacturer for BMW cars and provide after-sales UD Trucks, a rebranding of Nissan services. As a result of last year’s Last year Isuzu benefitted from Diesel following a new strategic favourable economic climate, BSO growth in the mining and agricultural partnership between Nissan Diesel of achieved the number two position sectors with overall sales increasing Japan and Volvo AB of Sweden. in the premium car segment dramatically to over 24,000 units, up in Indonesia. 58% from 2009. Commercial vehicle Through UD Trucks Sales Operation, sales are also expected to rise following AMT Indonesia sells and distributes Peugeot the launch of the new F-Series engine UD Trucks and delivers after-sales design, which boasts increased power, service through its 12 branches and a PT Tjahja Sakti Motor (TSM), fuel efficiency and better emissions. network of 13 dealerships. a wholly owned subsidiary of Astra, is the sole importer of Peugeot vehicles in Indonesia, which it Toyota Sales Operation delivers distributes through Astra’s Peugeot the highest Sales Operation. standards of sales and after-sales services to its During 2010, sales quadrupled customers through a large network as a result of the strong rupiah of outlets. and economy as well as targeted marketing efforts and a new product line-up, which included the Peugeot 3008 and 5008 series. Motorcycles

Honda In distributing its products, AHM through its network franchise of engages with several main dealers almost 3,000 outlets. The manufacturing facilities of PT responsible for specific regions Astra Honda Motor (AHM), which is across Indonesia. Of these, Honda In 2010, AHM sold more than a 50:50 venture between Astra and Sales Operation (HSO), an Astra- 3.4 million Honda motorbikes, Honda Motor Company Ltd, have a owned business, is responsible for surpassing its previous record sales total production capacity of 3.5 million ten regions and accounts for 30% of 2008 and up 27% from 2009. motorcycles a year supported by parts of all Honda sales in the country. and training centres as well as tooling HSO also offers integrated after- “A balanced product line, available and die manufacturing plants. sales services and spare parts sales production capacity, an aggressive marketing campaign, a strengthening domestic economy and effective distribution allowed AHM to maintain its leadership position,” said AHM Vice President Director Johannes Loman.

The fastest growing segment was the AT (Automatic Transmission) scooter category where in 2010 AHM captured a market share of 46%, up from 38% in 2009. This was made possible by increasing plant capacity and launching several new and revamped models, including the Honda Scoopy, PT Astra Honda Motor (AHM) dominates Indonesia’s motorcycle market in both the manufacturing and Honda PCX and Honda Vario Techno. sales segments.

Accelerated Growth from Auto Components

Publicly-listed PT Astra Otoparts Although 2010 was Tbk (AOP), in which Astra holds a not easy for AOP due 95.7% interest, aspires to be a world- to changing market class auto parts supplier through demand and pressures its wholly-owned manufacturing on costs, it turned operations and in partnership with out to be a profitable leading global players. The company year with the company produces quality automotive achieving a record net components for a growing domestic income of Rp 1.1 trillion market in both the original and (US$129 million), replacement segments and for export up 49%. to Asia, Oceania, the Middle East PT Astra Otoparts’ (AOP) effective production processes and wide and Africa. “This was achieved product range are aiding its rapid business growth in the quality automotive components sector. by taking advantage Astra Otoparts strives to improve its of market opportunities, meeting manufacturing technology through a surge in customer demand and cost reduction programmes, strong strategic joint ventures and technical maintaining cost competitiveness,” production performance and excellent assistance agreements with reputable said AOP President Director Siswanto vendor management, enabled AOP to component manufacturers. Prawiroatmodjo. “This, together with overcome the challenges of 2010.” 19

Financial Services Add Value Feature

Astra’s automotive business generates Astra’s financial services play a significant role a value chain which brings benefits in the value chain across the group. This is particularly generated by its automotive business. evident in the Heavy Equipment & Mining and Agribusiness sectors where increased output in line with the rapid commercial and industrial growth of the Indonesian economy has created rising demand for vehicles and components.

As the number of vehicle owners increase, there is also more demand for financial services. During 2010, Astra Credit Companies, which has 58 branch purchase of 31,542 Toyota vehicles; The value chain also extends into offices and 46 service centres, financed and Federal International Finance Astra Insurance, which through its the purchase of 144,000 units of cars; financed the purchase of 1.4 million best-selling product ‘Garda Oto’, Toyota Astra Finance, a joint venture Honda motorcycles through its 121 is the market leader in automotive between Astra and Toyota Financial branch offices and 357 points of sale insurance in Indonesia backed by Service Corporation, financed the across Indonesia. 26 branches and 12 service points.

Enhancing Loyalty Through AstraWorld

AstraWorld supports Astra’s automotive car purchases, insurance and financing. “Astra’s automotive business is businesses by delivering added value In addition to offering discounts built on strong customer trust services through Customer Relationship and reward points, AstraWorld also and AstraWorld is a focal point in Management programmes designed to sends customers reminders of routine demonstrating our commitment to enhance customer loyalty. vehicle maintenance checks and customer satisfaction,” said Chief offers assistance in vehicle re-sales, of AstraWorld Sales Operations, Membership provides numerous benefits ultimately creating two-way loyalty Denny Suhardja. including consultation services on new and mutual value.

On Track for Future Development

As Indonesia’s economy continues to grow and more infrastructure projects are initiated, especially road networks, Astra’s automotive business is poised to meet increasing consumer demand and achieve its goals of maintaining market leadership while providing its customers and business partners with the highest quality services.

“Astra’s automotive business relies on strong working relationships with principals, supported by production capability to meet market demand, providing products at an affordable price, extensive distribution and after-sales service networks, and marketing excellence,” said Astra President Director Prijono Sugiarto. “These we will continue to enhance while also investing Astra’s automotive business is well placed for the future with its strong line-up of quality brands and effective production, distribution and in developing our people in order to create further added value.” financing capacity. Top Awards for Astra

Performance 21

Top Awards for Astra Gammon Achieves Environmental Excellence

Astra has carried off two top awards. The second accolade recognized Performance Astra as one of 20 ‘Dream Companies The first from Hong Kong-based 2010’ at an event intended to show financial magazine Asiamoney appreciation towards companies was for ‘Overall Best Managed that have succeeded in developing Company in Indonesia – Large Cap’. a good corporate image. Astra was Determined by a survey based selected as the second ‘Dream on Astra’s strong performance Company’ after state gas and oil throughout 2010, the award was company Pertamina following a presented at Asiamoney’s second survey of 1,590 respondents in annual Indonesia awards ceremony Jakarta, Bogor, Depok, Tangerang in Jakarta. and Bekasi. Right: Director M K Woo receives the 2010 Hong Kong Award for Environmental Excellence from HKSAR Chief Executive Donald Tsang.

Pizza Hut Hong Kong App Makes Big Impact Gammon has received two awards for its ‘green’ strategy in the Construction Pizza Hut Hong Kong’s first iPhone/ “The Pizza Hut app is going to Industry Sector of the 2010 Hong Kong iPad application (app) for its home revolutionize the way Hong Kong Awards for Environmental Excellence. delivery service clients has proved a people order their pizzas and will The group won a Gold Award for Hysan huge success. play a crucial role in our multiple- Place and a Certificate of Merit for channel strategy,” said Mr Leong. the Tuen Mun Road eastern section Within a week of its launch, the app reconstruction and improvement project. had already achieved sixth place in Hong Kong’s Apple App Store and “Gammon’s green strategy incorporates topped the ‘Lifestyle’ category. the three core ideals of use wisely, waste less and emit less,” explained “This was based solely on word of Chief Executive Thomas Ho. “These mouth promotion,” said Pizza Hut awards reaffirm our high standards Hong Kong & Macau Marketing and our goal to reduce the carbon Director Richard Leong. “We are footprint and work towards a future now looking into the opportunities low-carbon economy.” offered by other mobile operating systems with a view to extending Hysan Place is the first Hong Kong this innovative service in the building to be pre-certified at the near future.” highest Platinum level for the United States Green Building Council’s Customers can use the app to place Leadership in Energy and Environmental delivery and takeaway orders and Design standard (LEED), as well as the access both the combo and à la carte Hong Kong BEAM standard. During Pizza Hut menus. They also enjoy its construction, Gammon achieved a great mobile online discounts. 10% reduction in water consumption with a recycled water system and Last year Pizza Hut in the USA Pizza Hut Hong Kong’s first iPhone/iPad application for its home delivery service implemented a construction waste predicted that the mobile phone is expected to revolutionize the way Hong disposal programme, which enabled the Kong people order their pizzas. would soon account for 50% of site to successfully recycle 86,000 tons future orders. of broken rock and 4,200 tons of broken concrete and steel beams. Similarly, 52% of the construction waste in the Tuen Mun Road project was reused. JOS Achieves More Hot Competition at Forklift and Pallet Partnership Awards Building Championships

There was hot competition at the 2011 International Forklift and Pallet Building Competition, which was organized by Hong Kong Air Cargo Terminals Limited (Hactl) for the fifth time and held at SuperTerminal 1.

Seven international airlines sent their top cargo-handling teams From left: JOS Malaysia Senior Business Manager to the event, which produced Li Ching Toh; General Manager Yoon Kam Fei; General Sales Manager Kheng Thiang Chan; and higher standards than ever, General Manager Andrew Lee proudly display their with all teams demonstrating Each competing team strived hard to demonstrate their partnership awards from Hewlett-Packard. skills at the 2011 International Forklift and Pallet Building outstanding operational skills Competition, which was organized by Hong Kong Air and safety awareness. Cargo Terminals Limited (Hactl).

2010 was another fruitful year for “This event showcases best the competition may see it extended Jardine OneSolution (JOS) in terms of practices, brings together our to more teams in the future. new awards representing the enduring industry partners from around the partnerships it holds with many of world and spreads the message Air China Cargo was the overall its vendors. of occupational safety,” said Hactl champion of the competition with Managing Director Mark Whitehead, Hactl coming in as first runner-up In Hong Kong, JOS received IBM’s High who revealed that growing interest in followed by Nippon Cargo Airlines. Flyer of the Year and Top Contributor Award System Storage – Distributor awards, with the latter title celebrating JOS’ achievement as a top seller of Best Dealer Award for Tunas Daihatsu Outlet Linear Tape-Open drives and storage volume products. Other accreditations Tunas Daihatsu dealership in Daihatsu’s outlet in Soepomo, won by the Hong Kong team included Soepomo, Jakarta carried off the Jakarta as the best in terms of sales Outstanding Dealer Award from Lenovo prize for ‘The Best Dealer Outlet and customer service. (Hong Kong), which recognized JOS’ 2010’ at the National Daihatsu leadership as a Lenovo dealer and its Dealer Convention. “This has been made possible by outstanding performance in achieving years of focused and continous effort year-on-year growth. Symantec Selected from all Daihatsu on providing excellent customer also named JOS ‘FY10 Best Country dealerships throughout Indonesia, service,” said Tunas Daihatsu Security Partner (HK)’ for its significant the award recognizes Tunas President Director Anton Leoman. contribution towards sales growth.

Elsewhere, JOS Malaysia was bestowed with a long list of awards from Hewlett-Packard. These included ESSN Technology Services – Top Services Contract Specialist Distributor and PSG Commercial Notebook – Top Corporate Reseller and honoured JOS’ 128% ‘over-achievement’ of vendor quota and a year-on-year sales growth of 176% Tunas Daihatsu celebrates the success of Tunas Daihatsu in Soepomo, Jakarta as the best Dealer respectively. Outlet 2010. 23

7-Eleven a Top Ten Brand in Singapore

7-Eleven Singapore has been named one of the city-state’s Performance Singapore’s Top Ten Favourite Brands 2010 top ten favourite brands for the second consecutive year. RANK BRAND RANK BRAND

The survey, which was commissioned by Superbrands in 1 Google 6 StarHub the third quarter of 2010, ranked brands according to their 2 Colgate 7 Sony popularity with consumers. 7-Eleven shared its Top Ten 3 NTUC Fairprice 8 Yahoo place with global names such as Google, Sony and Colgate. 4 9 7 Eleven

5 Straits Times 10 Nippon “We are proud to be one of the significant brands touching Source: Superbrands Survey conducted by The Nielsen Company during the the lives of consumers in Singapore,” said 7-Eleven period 3rd to 15th September 2010 with a sample size of 1603 people which was representative of the Singapore adult population Singapore Chief Executive Officer Victor Chia.

Guardian Rewards Staff for Exceptional Service

Guardian Malaysia’s level cashiers and sales assistants – annual nationwide met for the national Customer Customer Care Campaign Care Competition held at Guardian has once again Suria KLCC, which serves up to recognized employees 5,000 customers a day. Judging who have demonstrated in the on-the-job competition outstanding was based on the best customer customer service. service attributes.

A shortlist of 14 The winners will become Guardian’s candidates in each of two customer care ambassadors and the categories – management catalyst for inculcating a service- Centre: Guardian Malaysia Chief Operating Officer Loi Liang Tok and level supervisors and oriented culture within the group. senior management with Customer Excellence Champions Khalid and Zulkifli. executives, and staff

New Look for Jardine Airport Services Ground Staff

Frontline ground staff of Jardine Airport Services Limited at Hong Kong International Airport have a new look following the introduction of a brand new uniform.

Designed by Johanna Ho, a Hong Kong fashion designer of international renown, the new collection is in blue, red and grey, utilizing the three corporate colours of Jardines for enhanced brand recognition.

Details incorporated into the tailored outfits include dri-fit and breathable fabric to maximize functionality and comfort, and ties and scarves, which feature two colour pattern choices of red and Ground staff of Jardine Airport grey for greater flexibility and personalization. Both patterns are Services derived from a vintage flying bird print created in 1946, the year Limited show off their new Jardines began providing aviation services. uniforms. China Travel Industry Accolades for Mandarin Oriental Hotels

Mandarin Oriental Hotel Group’s hotels was named ‘Best New Hotel in Macau’ Oriental, Macau General Manager in Sanya and Macau each carried after more than 32,000 readers of TTG Martin Schnider. “The mission of off a major trophy at the fourth TTG China, TTG Asia, TTGmice and TTG- Mandarin Oriental hotels worldwide is China Travel Awards ceremony, which BTmice China cast their votes. simple: to delight and satisfy each and was held in Shanghai. Established every guest.” by influential trade publishers, TTG Mandarin Oriental, Macau has also Publishing, the Awards honour the been listed among the ‘Top 10 Newly Earlier this year, Mandarin Oriental, most outstanding performers for their Opened Hotels in China’ at the sixth Macau was named one of ‘The 25 Best contribution to the travel industry China Hotel Starlight Awards, which Business Hotels in Greater China’ by in China. are often dubbed the ‘Oscars’ of the Travel & Leisure magazine as well as hospitality industry in China. the property ‘Most Worth Waiting For’ Mandarin Oriental, Sanya won the by Voyage. The two publications are highly coveted ‘Best Resort in China’ “We are delighted to have been among the most widely read travel award and Mandarin Oriental, Macau honoured in this way,” said Mandarin magazines in mainland China.

The Fresh Restaurant and Grill at Mandarin Oriental, Sanya, which has won the highly coveted ‘Best Resort in China’ award voted for by readers of TTG publications.

Maxim’s Group Accredited as Manpower Developer

Maxim’s Group has been accredited as a ‘Manpower Developer’ in the Employees Retraining Board Manpower Developer Award Scheme in Hong Kong.

The Award Scheme aims to acknowledge organizations which have demonstrated Left: Maxim’s Group General outstanding accomplishments in manpower Manager, Finance, IT, Projects & Engineering, training and development in five key Group Human Resources aspects – Leading a Learning Culture, Resources Keith Siu receives the ‘Manpower Developer’ Planning, Training & Development System, award from HKSAR Performance Management and Corporate Social Government Secretary for Labour and Welfare Responsibility in Manpower Development. Matthew Cheung. 25

Wellcome Hong Kong Wins Brand Awards

Wellcome Hong Kong has won several of Hong Kong and co-organized by Performance awards, which reinforce its position as Hong Kong General Chamber of one of the SAR’s leading brands. Commerce, the award scheme aims to recognize Hong Kong enterprises The company carried off the ‘Hong for their success in brand building. Kong Proud Brand Award – Judging Panel Award (Department Store, Meanwhile, Wellcome Hong Kong Supermarket and leapfrogged 39 places compared Convenience Store with its position a year ago to 146th Category)’ for the place, the highest ranking among third consecutive Hong Kong supermarket brands year and for the in Asia-Pacific’s Top 1000 Brands first time was by Media Magazine. The Top 1000 In another success and for the third one of the top Brands are the result of a survey of consecutive year, Wellcome Hong five brands out of over 3,000 interviewed consumers Kong won ‘The Best for Home Award 36 winners chosen from all the major countries in the 10-11’ organized by the newspaper from 21 categories. region including Australia, China, Take me Home. Over 60,000 readers Organized by Hong Kong, India, Japan, Korean, voted for their favourite house brands Ming Pao and The Malaysia, Singapore, Taiwan and Wellcome scored highest in the Chinese University and Thailand. retail category.

Customers Vote for Dairy Farm Hong Kong’s ‘Passionate’ Staff

For the third year running, Dairy The theme was to find the staff was an enthusiastic response and Farm Hong Kong customers were members who were the ‘Most almost 60,000 votes were received in invited to partake in a competition Passionate’ about their work and the the four-week election period, a record regarding the performance of staff most attentive to customers’ needs. high. Altogether 19 staff were named in its Wellcome, Market Place by Customers were encouraged to cast winners with one gaining almost Jasons, ThreeSixty and Oliver’s The their votes and letters of appreciation 5,000 votes. Delicatessen stores. were also taken into account. There

Dairy Farm Hong Kong’s ‘Most Passionate’ staff celebrate their success in the annual competition to identify outstanding customer service. Walk Up Jardine House Raises Record Amount for MINDSET

SPIRIT 27

On Mental Health from

the Jardine Ambassadors Spirit

Walk Up Jardine House Raises Record Amount for MINDSET

The annual Walk Up Jardine House 23 seconds. The fastest has raised a record HK$3.1 million man was Lam Ka Ming who for MINDSET. Over 500 Jardines’ covered the distance in executives, staff from all business five minutes and 58 seconds. units, business associates, families The Barrow Cup, which and their friends walked – or in some is awarded to the fastest cases ran – up 49 floors, covering male and female runners 947 steps, to reach the Penthouse of by age over 40 years old, Jardine House at a height of 600 feet. was won by Cheung Yip Kei and Eva Kwan, respectively. Walk Up Jardine House 2011 consisted The Group ‘Fancy Dress of individual and team races, as well Award’ went to Hong Kong as a mass walk following the awards Air Cargo Terminals Limited presentation. The School Relay race (Hactl) and the fund raising featured ten teams from the schools awards made to the Jardines participating in the MINDSET ‘Health business unit and business in Mind’ programme. associate that raised the highest amount were won by The fastest woman was Flora Cheung Dairy Farm and The Nielsen who won the women’s individual Company Hong Kong, For the second consecutive year, the Hong Kong Air Cargo Terminals Limited (Hactl) team won the Group ‘Fancy Dress event in a time of seven minutes and respectively. Award’ at the Walk Up Jardine House event.

Jardine Ambassadors and MINDSET Place Residents Spread Festive Cheer

Jardine Ambassadors accompanied people, but also brought Chinese New and meaningful to share experiences by service users from MINDSET Place Year spirit to the elderly,” said Jardine and see those involved reach out to brought festive cheer to 25 elderly Ambassador May Lo of Wellcome Hong one another.” live-alone people in Fanling when Kong. “It was very heart-warming they presented them with a Chinese New Year gift bag of rice, oil, canned food, Chinese sausages, cereals and other goods sponsored by Wellcome Hong Kong and Maxim’s.

MINDSET Steering Committee members Neil McNamara and Giles White and his wife also joined in and together the group handed out Lai See packets and spent time chatting with the elderly.

“The event not only provided another opportunity for the MINDSET Place Centre: MINDSET Steering Committee member and Group General Counsel Giles White hands out Lai See service users to interact more with packets during the Chinese New Year visit to elderly live-alone people in Fanling. City Orienteering Forges Mutual Respect

Over 230 participants including Jardine Ambassadors, students from MINDSET’s Health in Mind Programme and service users from Caritas Hostel, Fanling gathered together at Fanling Rhenish Church Secondary School in Hong Kong for a fun day out in the annual City Orienteering event organized by the Ambassadors.

Participants were divided into 38 teams with the objective of finding their way to various tourist sites in Fanling, Taipo and Shatin before finishing at St Rose of Lima’s College in Shatin. The event provided a lot of opportunities for the students and service users to interact with one another through route planning, money management, problem solving, decision-making and completing given tasks.

“I soon realized that the event wasn’t just about the students taking care of the service users, but the service users showing their capabilities in helping out their respective teams,” said Jardine Ambassador Ken Lin of Jardine Matheson Limited. Participants in the City Orienteering event follow tradition by making a “We all learnt from each other!” New Year’s wish at the famous ‘Wishing Tree’ in Taipo Lam Tsuen.

Activities Provide Insight for Service Users

Several activities for service users standard table manners through group each participant was given a sample organized by the Jardine Ambassadors activities and games and given the boarding pass with his/her name on it. have proved a great success. opportunity to make their own pizzas. In another activity aimed at helping In the first, some 25 parents and In the second outing, Jardine service users to develop new skills, children from the Hong Kong Family Ambassadors accompanied a group participants from Fu Hong Society Welfare Society enjoyed a visit to of service users from Castle Peak and Kwai Chung Hospital attended Kornhill Plaza Pizza Hut. Hospital on a tour of Hong Kong a practical computer training class International Airport where they organized by Jardine Ambassadors from Guided by restaurant managers, learnt about the services provided Jardine OneSolution. During the course, participants visited the back-of-house by Jardine Aviation Group. They were they learnt how to surf the Internet operations and learnt the process of also allowed to closely observe the and each person received a specially making pizzas. They were also taught taking off and landing of aircraft and prepared manual.

Kornhill Plaza Pizza Meanwhile residents of New Life Hut General Manager Alfred Lee passes on Building Halfway Houses had a chance some tips on table to attend a body stretching class under etiquette to the visitors from the Hong the instruction of qualified trainer and Kong Family Welfare Jardine Ambassador David Chioe of The Society. Landmark Mandarin Oriental hotel.

The participants found the class quite testing as they had not exercised for some time, but when it was over they wanted to know when they could have another session. 29

Inaugural Event for MINDSET Singapore Spirit

MINDSET Singapore has held its first event, a Chinese New Year party for 60 long-stay patients at the Institute of Mental Health (IMH).

The programme, which was organized by the Jardine Ambassadors appointed by the Group’s business units in Singapore, ranged from karaoke to games, with the patients divided into four groups of 15 to ensure maximum participation and enjoyment.

Six MINDSET Singapore Steering Committee members and the Jardine Ambassadors together with MINDSET Singapore Steering newly appointed Chief Executive Officer of the IMH also joined in. Committee members at their inaugural event.

Group Teams Hike for Hospice

Teams from across the Jardine 19-kilometre course through Matheson Group joined forces in the mountainous terrain and rural 2011 Hike for Hospice charity event, countryside to complete the which was held in Tai Lam Country Park race. The team led by Group in the New Territories to support the Managing Director Anthony Hong Kong Society for the Promotion of Nightingale finished in first Hospice Care. place, followed closely by two teams from Jardine Schindler. Hikers from Jardine Lloyd Thompson, Jardine Schindler, Jardine Engineering The hike, which has been Corporation, Hongkong Land, Jardine held annually since 1992, is Aviation Services, and Jardine Jardine Matheson Group participants in the 2011 Hike the Society’s largest annual for Hospice included from left: Finn Carew, Thomas Tan, Matheson Limited traversed an arduous Matthew Payne, Anthony Nightingale and David Lamb. fundraising activity.

Group Supports Earthquake Victims

All facilities at Mandarin Oriental, tsunami in Japan on 11th March and Astra Aid to West Sumatra Tokyo are fully operational following the hotel continues to implement a Quake Victims the devastating earthquake and variety of appropriate measures to support the government’s directive to Meanwhile, almost two years after conserve energy. the earthquake that struck West Sumatra in 2009, Astra donations In an effort to support the victims, towards relief aid have topped Mandarin Oriental, Tokyo is donating Rp11.3 billion (US$1.33 million). 5% of all generated food and beverage revenue from the hotel’s restaurants and In the latest project to be supported bars to the Japanese Red Cross Society. by the group, a public elementary school newly renovated by Astra “Our thoughts remain with all victims Group has been opened in Padang and their loved ones during these Pariaman. This is the fourth such

Following the devastating earthquake and tsunami difficult times,” said Mandarin school renovation. in Japan, the Japanese Red Cross Society began Oriental, Tokyo General Manager immediate distribution of its stockpile of blankets to those in need. Christian Hassing. Hong Kong IKEA Staff Cycle & Carriage Donation Eases Join Forces in SPREE Transportation Burden Campaign Cycle & Carriage’s donation of some The ‘Care for the Community’ S$100,000 (US$81,000) worth of programme was initiated by Cycle passenger vehicles has eased the & Carriage in 1997 as part of its transportation burden of several commitment to be an active and welfare organizations in Singapore. responsible corporate citizen. After 14 years it has now been replaced by Two brand new Citröen Dispatch MINDSET Singapore. passenger vans were donated to the Singapore Association for Mental “We are delighted that the Health and Singapore Anglican programme has achieved its Community Services. The vehicles purpose of helping local volunteer were specially modified to cater for the welfare organizations meet their needs of the recipient organizations transportation needs,” said Jardine and include features such as Cycle & Carriage Group Managing passenger seats with three-point seat Director Ben Keswick. The ‘IKEA Kids Corner’ set up by the Hong Kong IKEA Volunteer Team to aid its SPREE programme. belts, side steps and first aid kits.

Building on its success to date, the Hong Kong IKEA Volunteer Team has recently been encouraging all IKEA staff to become more actively involved in its community programme, SPREE, which is now in its fifth year. SPREE, which stands for Student Psychological Resilience and

Emotional Intelligence Enhancement, Centre left: Jardine Cycle & Carriage Managing Director Ben Keswick and Singapore Minister of State for aims to coach students with Community Development, Youth and Sports Yu-Foo Yee Shoon with beneficiaries of the group’s ‘Care for the Community’ programme. techniques on how to better cope with stress and emotional issues through the use of games, activities and story-telling. JEC Philippines Visits Chosen Children

Through a series of fund-raising Jardine Engineering Corporation (JEC) events supported by all 900 plus in the Philippines has made its second staff members in Hong Kong, the visit to the Chosen Children Village IKEA team raised the money to fully orphanage in Silang Cavite City, which renovate a permanent activity room is one of the company’s outreach at the Hong Kong Family Welfare programmes. The village serves as a Society Centre, which organizes the home for abandoned children who are SPREE programme. The ‘IKEA Kids physically and mentally challenged. Corner’, which was designed by the company’s design team, now offers During the visit, JEC contributed a warm and comforting environment cash to the village’s existing trust that can better support the ambitions fund account. The aim is to raise of SPREE. Php20 million (US$462,000) for the fund to allow the village to become Management and staff from JEC Philippines received a warm welcome during their second visit to the Chosen self-sustainable. Children Village orphanage in Silang Cavite City. 31

JDI Seals Leaks in City High School Spirit

With the aid of one of its world-class Rice Awareness Run waterproofing products, Jardine Distribution, Inc (JDI) worked with Meanwhile, JDI recently school officials to resolve water sponsored and fielded a leakage problems at Pasig Santolan team in a running event High School in one of Metro Manila’s organized by the Philippine densely populated areas. The project Rice Research Institute in was part of JDI’s ‘Sagip Silid-Aralan’ celebration of the country’s (Save the Classrooms) scheme, ‘Rice Awareness Month’. which aims to help schools around the Philippines using JDI’s quality In recent years, the Philippines Runners from Jardine Distribution, Inc (JDI) celebrate after has been the world’s biggest completing the race organized by the Philippine Rice Research construction products. Institute in celebration of the country’s Rice Awareness Month. importer of rice, but aims to be “We applied the waterproof coating self-sufficient by 2013. last year and as the rainy season and trade partners as well as industry- passed, not a single case of water “As a new player in the hybrid rice related activities such as this fun run,” leakage was reported,” explained JDI market, JDI is engaged in extensive explained JDI Senior Product Manager Product Manager Rowena Asuncion. promotional efforts among farmers Roberto Littaua.

JOS Hong Kong Bridges Gap Between Young and Old

Jardine OneSolution (JOS) Hong Kong has Jardine OneSolution (JOS) Hong Kong been helping to bridge the gap between brought young and young and old by taking a group of isolated old together for a pre-Chinese New youngsters to visit a home for the elderly. Year party.

Part of the ‘Withdrawn Youth Support Network Project’, the pre-Chinese New Year visit brought both groups together through festive songs, the making of traditional Chinese ornaments and a magic show. It is planned to involve young people in more volunteering efforts in the future.

IKEA Taiwan Supports Children in Need

IKEA Taiwan has joined a ‘Love Meal so far raised around NT$2,300,000 Deliver’ project organized by World (US$80,000), which will benefit Vision Taiwan and is raising funds to 2,000 children in need. help provide breakfast and dinner during school days for students from “We hope to create a better future disadvantaged families through for children in Taiwan through our local restaurants, churches and long-term co-operation with World community kitchens. Vision and look forward to even more people supporting our efforts,” said Through in-store and external IKEA Taiwan is helping to raise funds for students IKEA Taiwan Marketing Manager from disadvantaged families through the ‘Love Meal communication, IKEA Taiwan has Deliver’ project organized by World Vision Taiwan. Roxy Cheng. Team-Building and Leadership for Jardine Matheson Vietnam

PEOPLE 33

Team-Building and Leadership for Jardine Matheson Vietnam People

Some 30 senior managers and unit various leadership styles, the and synergy across the different heads from across Jardine Matheson participants embarked on a variety business units becomes an Group businesses in Vietnam came of activities to encourage teamwork increasingly important issue,” together for a two-day leadership and and develop an understanding of explained Jardine Matheson Vietnam team-building workshop in Dalat in the leadership behaviour. Country Chairman Alain Cany. “This country’s Central Highlands. workshop was one way for us to “As the group continues to grow address that.” After hearing about the rich history organically and by third party of the Group and discussing investment, managerial development

Dairy Farm Graduates Aspire to Success

Following eight months of of the programme, they also gave It is hoped that the executives who commitment and training, participants presentations to Dairy Farm senior underwent a rigorous selection in Dairy Farm’s ‘Executives in management. process for the EID/PLP programme Development/Pharmacists Leadership will progress to become the next Programme’ (EID/PLP) have For many, the main highlight of the generation of Dairy Farm business graduated, with some already moving EID/PLP programme was a trip to Hong leaders. into positions of greater responsibility Kong where the participants were within their respective business units. exposed to and learnt best practices “The EID/PLP executives have shown from Dairy Farm counterparts there. great commitment, dedication and The executives from Dairy Farm They also visited other Dairy Farm potential and some have already businesses, which included 7-Eleven, operations, among them 7-Eleven moved into bigger roles,” said Dairy Cold Storage, Giant, Shop N Save Hong Kong. Farm Singapore HR Director Carol and Guardian, underwent training Yong. “We hope they will continue and development in a wide variety “This allowed the team to experience to shine and rise to greater heights of topics ranging from Presentation customer service and business within Dairy Farm.” Skills and Basic Finance to Social innovation in a more advanced Grooming and Etiquette, as well environment where there is no room as learning how to ‘Drive Results for the status quo,” said EID/PLP through People’. At several stages Programme Chairman Steven Lye.

Participants in Dairy Farm’s ‘Executives in Development/Pharmacists Leadership Programme’ with the organizing committee and sponsors. Board Appointment for Y K Pang

Hongkong Land Chief Executive and recent years, has also been active Jardine Matheson Limited director in the development of the Group’s Y K Pang has been appointed business activities in mainland China. a Director of Jardine Matheson In addition, he participates fully in Holdings Limited. the business community, including currently being Vice Chairman of Mr Pang who joined the Group in the Hong Kong General Chamber 1984 has been Chief Executive of of Commerce and Chairman of the Hongkong Land since 2007 and in Employers’ Federation of Hong Kong.

Passion at Wellcome Hong Kong Team-building Workshops

‘Passion to Win’ was the theme Through activities and of Wellcome Hong Kong’s discussions, the workshops annual team-building training sought to highlight three event. Five consecutive of the company’s key workshops were held with objectives – sales boost, over 500 participants shrinkage control and including senior management, cost management. A key store managers and activity was for teams to run supporting staff. Wellcome their own ‘corporate brand Hong Kong Chief Executive company’, taking care of Officer Choo Peng Chee was also production, marketing and present to lend his support and sales operations. Team-building was demonstrated in many different ways during encouragement. Wellcome Hong Kong’s annual team-building training event.

Successive Jocks’ Pot Victory for Jardines

The traditional annual Jardines v Swires football match was moved from Boxing Day to January with the aim of rekindling the social side of the event. Urged on by vocal supporters including Jock Mackie, one of the original Jocks who founded the event in 1953, Jardines won 2-0. This followed a 3-1 win last year.

Although Swires put the Jardines squad under immense pressure, particularly in the first half, Jardines triumphed with two goals scored by forward Chiu In spite of some anxious moments, the Jardines team (in the white shirts) triumphed in the annual Jocks’ Pot Ka Chun from Jardine Schindler – one football match against Swires. from 20 yards out in the first half and the second from a penalty in the latter “It was a very competitive and the match,” said convener Joshua stages of the second half. Goalkeeper enjoyable game with Jardines Chetwode of Jardine Engineering Adam Keswick also saved the day on fortunate to have won as the Swires Corporation. several occasions. team dominated for the majority of 35

Long-Serving Group Director Robert Kwok Steps Down People

Robert Kwok has retired as a non- has maintained an active involvement executive Director from the Board of in the Group’s affairs. Jardine Matheson Holdings and has also stepped down from the boards of Commenting on Mr Kwok’s decision to the other Group companies of which retire, which is due to health reasons, he was a director. Group Chairman Sir Henry Keswick said, “Bobby has served the Group Mr Kwok first joined the Group in 1964 with great skill and dedication for and served in a variety of executive some 47 years. I would like to thank roles, being appointed to the board of him for his fine service and am very the Group holding company in 1972. pleased that he will continue his While relinquished his executive association with Jardine Matheson as responsibilities several years ago, he an adviser.”

Medal Honour for Vietnam Country Chairman

Jardine Matheson Country Chairman for Vietnam Alain Cany has been awarded the Friendship Medal by the President of Vietnam.

The honour is rarely given to foreign businessmen, but usually to long-term service diplomats or representatives from other Communist countries. Mr Cany received it for his personal involvement in developing trade and investment between Vietnam and Europe as Chairman of the European Chamber of Commerce for the last six years and Co- Chairman of the Vietnam-EU Business Centre: Jardine Matheson Country Chairman for Vietnam Alain Cany at the medal award ceremony with (right) Vietnam Deputy Prime Minister Hoang Trung Hai and (left) Chairman of Vietnam Chamber of Forum for five years. Commerce and Industry Dr Loc.

New Chairman for Jardine Matheson (China)

David Hsu has joined the Jardine Asia Pacific Region, where he had been Matheson Group as Chairman of Chief Executive since 2003. In addition Jardine Matheson (China) with to supervising eight offices across responsibility for supporting the the Region, he was responsible for development of the Group’s business establishing J P Morgan’s mutual fund activities in mainland China, Taiwan operations in mainland China, Korea and Macau. He has also joined the and India. Prior to that he had been with board of Group management company, the Jardine Matheson Group’s former Jardine Matheson Limited. investment banking joint venture, Jardine Fleming, in Taiwan since 1986, Mr Hsu comes to Jardines from J P and remained there following its Morgan Asset Management in the acquisition by J P Morgan in 2000. ENTERPRISE AT WORK ... Bar Boulud, Mandarin Oriental Hyde Park, London

“The ‘can do’ spirit during that time was remarkable,” said Bar Boulud London General Manager Stephen Macintosh.

Two weeks before opening, Bar Boulud successfully hosted the ‘50 Best Chefs in the World’ San Pellegrino Awards 2010. Celebrity chefs attending the event were full of praise for the successful combination of design, food quality and exceptional service.

There were, however, still operational challenges to surmount. The overwhelmingly strong initial demand meant that the team had to work hard to ensure tables were available not only for external guests, but also for hotel From left: The quintessential quartet from Bar Boulud London – Giles Verot, Nicholas Marragou, Dean Yasharian and Daniel Boulud. guests who might not have booked in advance.

When Mandarin Oriental Hyde Park, London decided that “It required strong communication between the restaurant it needed to create a brand new restaurant from scratch, team and the hotel’s concierge to understand each other’s forming a team of people with the right skill sets, background needs and keep everyone happy, which they did with great and experience was crucial to achieving the objective. success,” said Mr Macintosh.

Bar Boulud London, which opened in May 2010 to critical Since opening, the 169-seat Bar Boulud has surpassed acclaim, is named after three Michelin-starred chef Daniel expectations and achieved amongst the highest volumes of Boulud and serves famed charcuterie and seasonal French any Mandarin Oriental Hotel Group restaurant. brasserie cooking. “To introduce a celebrity chef’s volume-driven concept and The 12-month project to open Bar Boulud was a team effort create a stand-alone restaurant within the infrastructure from the beginning. As well as key executive appointments of the hotel required entrepreneurial spirit and great and a Europe-wide search for talent, it involved the determination and has resulted in a redefinition of hotel integration of service and kitchen colleagues from the dining in London,” said Tony McHale. hotel’s previous restaurants The Park and Foliage. “The challenging workload and time pressure were intense, “The professionalism of the former The Park and Foliage but eventually these memories fade. What stays is an team was exceptional,” said Mandarin Oriental Hyde enormous pride for the team and for their exceptional Park, London General Manager Tony McHale. “During performance. The success speaks for itself,” he added. the transition period they were still working fulltime at their respective restaurants, but joined the training and After a hugely successful first workshops for Bar Boulud after their shifts ended.” year, Bar Boulud finished in the top 100 best Pre-opening involved four weeks of intensive training with restaurants in the World San the goal of bringing the entire team together to pool skills Pellegrino Awards and knowledge. It included product workshops, training in 2011. phraseology, sales and service, and cooking simulations. Hotel colleagues from other departments also visited the restaurant as guests and judged food quality and service performance. Please address your comments or suggestions regarding Thistle to the Thistle Editor, c/0 Group Corporate Affairs, Jardine Matheson Limited, 48/F Jardine House, Central, Hong Kong [email protected]

Thistle is published by Jardine Matheson Limited on behalf of the Jardine Matheson Group. www.jardines.com