PRESS DIGEST - Malaysia - Dec 28

Following are the main stories in Malaysian newspapers. Reuters has not verified these stories and does not vouch for their accuracy.

THE STAR (www.thestar.com.my)

- The cheapest cigarettes in the market will cost 6.40 Malaysian ringgit ($1.87) per pack of 20s starting January 1, Health Minister Liow Tiong Lai said.

- Come January 1, things at the local supermarket are going to be cheaper - at least that is what is supposed to be when the Asean Free Trade Area (Afta) agreement comes into effect.

NEW STRAITS TIMES (www.nst.com.my)

- Security personnel at all airports nationwide have been told to be extra vigilant for anything suspicious in the wake of a botched attempt to blow up an American plane bound for Detroit from Amsterdam, a Malaysia Airports Holdings Bhd (MAHB.KL) spokesman said.

- The Malaysian Anti-Corruption Commission carried out investigations into alleged irregularities in the Royal Malaysian Air Force in the late 1990s, a source said.

BUSINESS TIMES (www.btimes.com.my)

- CIMB Group Holdings Bhd (CIMB.KL), the country's second largest bank, wants Southeast Asia to embrace the Asean spirit and give preferential treatments to a regional bank like itself, CIMB group chief executive officer Nazir Razak said.

- The Employees Provident fund (EPF) may back a deal to merge the country's sixth and seventh biggest banking groups if it thinks the price offered is attractive, industry sources said.

THE EDGE FINANCIAL DAILY (www.theedgedaily.com.my)

- The country's gross domestic product (GDP) is expected to grow beyond seven percent in the first half of 2010 (1H10), underpinned by the strengthening of domestic economic activity, a top banker said.

- Ho Hup Construction Bhd's (HHCS.KL) second-largest shareholder Low Chee & Sons Sdn Bhd (LCS) is opposing the board's proposed sale of two tracts of land.

THE SUN (www.sun2surf.com)

- The minimum price of a 20-pack of cigarettes has been set at 6.40 ringgit from Friday, when the Health Ministry enforces recently gazetted amendments to tobacco control regulations, Health Minister Liow Tiong Lai said.

- Malaysia's commodity sector remained crucial this year as it provided the much-needed boost at a time when the nation is facing an economic stalemate, analysts said.

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($1=3395.0 Malaysian Ringgit)