By: Derek Lim A good set of results though a dividend of 6 cents is pretty disappointing considering that HL Finance has S44 tax credits - I suspect that HL finance might be issuing rights. My friend mention that HL finance has just open a branch in Rivervale Mall. This is in line with HL Finance plan to target the heartlands. With the economy expected to do well, I will expect to see even better earnings from the heartlands. "In the light of recent developments in the United States sub-prime mortgage market, Hong Leong Finance would also like to take this opportunity to inform shareholders that the Group has no holdings in Collateralised Debt Obligations and/or Asset-Backed Securities." The above statement in the financial statement is particularly comforting especially when the share price of the three local banks have been battered by sub-prime concerns. I believe that the sharp drop in HL Finance share price is due to similar concerns. I expect the HL Finance to recover to $4 soon with a fair value of $4.40 (excluding S44 credits) at year end. View the Financial Statement here.