There are some firm that have been realizing gains in this economic environment and Chunghwa Telecom (NYSE: CHT) is one of them, according to Jim Trippon in The China Stock Digest.

While Washington debates its economic stimulus program, Beijing continues to pour on the gas, according to Trippon.

"Another $19 billion has just been unleashed on new infrastructure, housing and environmental projects," he says.

"China has much more still to come. Adding to its Financial shot in the arm, Beijing is revamping regulations and tax law to get money moving in the internal economy."

Following a surprising success in a pilot program to get the appliance industry moving, Beijing is now dramatically expanding its rural appliance program, according to him.

The pilot program subsidizes farmers’ purchases of TVs, refrigerators, washing machines, microwave ovens and mobile phones, Trippon adds.

"Despite a decline of almost 6% in Taiwan’s GDP, Chunghwa, the nation’s largest phone company delivered a gain to shareholders of almost 3% for the month," Trippon said.

"Part of the gain was due to Chunghwa’s announcement that it would begin expansion of a fiber optic network throughout the tiny island nation. The company is also creating a new wireless enterprise with the cooperation of the government."

According to him, Chunghwa also retained its value by beating profit expectations for the full year 2008. The company reported self-estimated net profit of $1.37 billion for the year, exceeding its target by 3.97 percent, he says. 

"Once again, Chunghwa continues to prove itself as a source of reasonable growth and excellent dividend income," Trippon notes.

"Chunghwa continues to offer a hefty and reliable dividend yield. Chunghwa Telecom remains Taiwan’s most profitable telecom carrier. It enjoys a P/E multiple of 10.9, an attractive figure for an expanding telecom company. It has a dividend yield above 7 percent."