Proton Edar Signs New Dealership Agreement With EON

Proton Edar Signs New Dealership Agreement With EON

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Shah Alam, 8 May 2009 – Proton Holding’s distribution arm, Proton Edar Sdn Bhd (EDAR) today signed a new master dealership agreement with Edaran Otomobil Nasional Berhad (EON), in a move to rationalize the sales and service network of Proton vehicles.

The agreement was solemnized at the Proton Centre of Excellence complex in Shah Alam by Proton Edar Sdn Bhd Chief Executive Officer, Encik Mohamad Shukor bin Ibrahim and Edaran Otomobil Nasional Berhad Managing Director, Datuk Syed Hisham bin Syed Wazir. Also present to witness the ceremony was Proton Holdings Berhad Chairman Dato’ Mohd Nadzmi bin Mohd Salleh and Managing Director Dato’ Haji Syed Zainal Abidin bin Syed Mohamed Tahir.

With the signing of the new agreement, all EON sales and service dealers will undergo a migration process into the EDAR sales and service network effective from 1 July 2009. Subsequently, EON will no longer have any sub-dealers for Proton vehicles after 31 December 2009.

“Under the rationalization, Proton will be on the right track to reduce the number of its sales and service dealers and serve its customers better,” said Proton Holdings Berhad Managing Director, Dato’ Haji Syed Zainal Abidin bin Syed Mohamed Tahir.

Edaran Otomobil Nasional Berhad Managing Director Datuk Syed Hisham bin Syed Wazir said, “EON is pleased that both companies can come to an agreement to resolve the long-standing issues for common benefit. We believe that this agreement will benefit both PROTON and EON. We understand that to move forward, PROTON will have to take this action and we will give our full support and to continue to be involved in the growth of PROTON.”

According to Dato’ Syed Zainal, the exercise would result in cost saving as well as improve efficiency and productivity of the dealer network. It would also address inconsistencies in the corporate image of PROTON, duplication of resources, marketing activities and dissimilarities in operational processes.

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