We refer to the query letter by KLSE with reference no. KM-001125-35066 and to our announcement dated 24 November 2000. On behalf of the Board of Directors of EGB, we are pleased to furnish the following information:
1. There will be no expected losses at EGB Group level.
2. There will be a positive financial impact on the Group mainly due to realisation of post acquisition losses of Esprit Marketing Sdn Bhd ("EMSB") and reversal of provision for doubtful debts for amounts owing by Esprit Corporation Sdn Bhd to EMSB.
Query Letter Contents :
We refer to your announcement, on behalf of ESPRIT, date 24 November 2000 in
relation to the above mentioned matter.
In this connection, kindly furnish the Exchange immediately with the following
additional information for public release:-
Effective interest of ESPRIT in EMSB.
Expected losses at ESPRIT group level ("Group"), if any.
Operational and financial impact on the Group, if any.
Details of default or circumstances leading to the winding-up petition.
Details of steps taken and to be taken by your Company in respect of the