PRESS DIGEST - Malaysia - June 10

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)

-- Malaysians have been told to prepare themselves for hotter and drier days over the next three months with the return of the El Nino phenomenon, Natural Resources and Environment Minister Douglas Uggah Embas said.

-- Rate payers hoping for a further cut in electricity tariffs may be disappointed come the July 1 deadline of the review by the government, as analysts largely expect rates to stay unchanged.

BUSINESS TIMES (www.btimes.com.my)

-- The four-star Hydro Majestic Hotel in Batu Ferringhi, Penang, is up for sale for an estimated 100 million Malaysian ringgit ($28.40 million).

-- Malaysia's first Corporate Governance Index, launched on Tuesday, will filter through some 960 listed companies this year to determine its top 100, said the Minority Shareholder Watchdog Group chief executive officer Rita Benoy Bushon.

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

-- The government is looking for ways to help students overcome the high cost of public transport and one solution could be a discount card, Deputy Prime Minister Muhyiddin Yassin said.

THE EDGE FINANCIAL DAILY (www.theedgemalaysia.com)

-- The government is most unlikely to invoke an expropriation clause in the toll concession agreement to nationalise PLUS Expressways Bhd (PLUE.KL) as it could involve shelling out a total of 30 billion ringgit for such an exercise, said Singapore's DBS Vickers Research.

THE MALAYSIAN RESERVE (www.themalaysianreserve.com)

-- Fitch Ratings has downgraded Malaysia's long-term local currency issuer default rating (IDR) to A from A+ previously, an action that could raise further government consternation and heighten calls for an Asian-owned and managed ratings agency.

THE SUN (www.sn2surf.com)

-- The Pan Malaysian Islamic Party (PAS) president Abdul Hadi Awang's proposed unity talks with United Malays National Organisation (UMNO) has thrown up so much confusion and feelings of mistrust among Pakatan Rakyat (People Unity) components that even the ruling UMNO is wondering if the idea can be realised, Deputy Prime Minister Muhyiddin Yassin said.

-- Demand for liquefied natural gas (LNG) in Asia-Pacific has dropped tremendously and is expected to be at between 15 and 20 million tonnes by year-end, US-based FACTS Global Energy Group chairman Fereidun Fesharaki said.

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