Contents :
Furtherance to the announcement to the Kuala Lumpur Stock Exchange ("KLSE") on 15 November 2000 and in response to the letter from the KLSE dated 16 November 2000, the Board of Directors of Ye Chiu wishes to inform the KLSE on the following:-
(i) Yeild-to-Maturity ("YTM") of the Bonds
Yield-to-Maturity (which has been rated A2 by Rating Agency Malaysia Berhad) will only be finalised at a point closer to the issuance of the Bonds.
(ii) Directors' Recommendation
The Board of Directors is unanimous that the Proposed Bonds Issue is in the best interest of the Company after due consideration on various methods of fund raising. The Proposed Bonds Issue is the most appropriate means to pursue its expansion plans as it will provide the Company with medium-term financing at a fixed interest rate, which will in turn enable the effective planning of operating costs and the elimination of risks associated with unforeseen volatile interest rate movements.
This announcement is dated November 17, 2000.
Query Letter Contents :
We refer to Ye Chiu's announcement dated 15 November 2000, in respect of the
aforesaid matter.
In this connection, kindly furnish the Exchange with the following additional
information for public release :
The yield-to-maturity of the Bonds; and
A statement by the Board of Directors stating whether or not the Bonds Issue is
in the best interests of the company and where a director disagrees with such
statement, a statement by the director setting out the reasons and the factors
taken into consideration in forming that opinion.
Please furnish the Exchange with your reply within two (2) market days from the
date hereof.
Yours faithfully
TAN YEW ENG
Senior Manager, Listing Operations
LMN\
copy to:- Securities Commission (via fax)
