Contents :
Your ref: JL-000404-59707
7th April 2000
The senior Manager, Listing Operation
KUALA LUMPUR STOCK EXCHANGE
9th Floor, Exchange Square
Bukit Kewangan
50200, Kuala Lumpur
Attention: Mr. Tan Yew Eng
Dear Sirs,
RE: ARTICLE ENTITLED: Chuan Huat plans to list IT arm
We refer to your facsimile transmission dated 5th April 2000 and wish to reply as below:
Chuan Huat Resources Berhad, … plans to list …
We have spoken and met with MESDAQ officers prior to the article on the 3rd April 2000 and they express their interests to follow up by visiting our facilities soon. It has always been our intention to investigate the possibility of listing our non-core activities where possible and where this listing is in the best interest of our shareholders.
He, … sees Disccomp achieving a turnover of RM100 millions …
We are looking forward to this increase in turnover from Pineapple Computer Group subsidiary after completion of our arrangement to operate all the Jusco’s computer stores throughout the country. We have announced the acquisition of Pineapple Computer Group on the 1st October 1998 and subsequently on the 23rd April 1999.
Chuan Huat plans to raise the number of its retail outlets through joint-venture …
Should the above negotiation with Jusco is successful, we can expect significantly raise the number of computer retail outlets throughout the country. The Company is already operating 2 of the Jusco computer stores, i.e. one in 1-Utama and another in Mid-Valley.
Please note that the word, “joint-venture” is inappropriately used by the reporters.
To this end, it is acquiring the computer retail business of the Jusco department stores …
The result of successful negotiation with Jusco will place us in ownership of the operation of the computer retail business in the Jusco departmental stores.
The usage of the word “acquiring” my not be precise.
We trust the above explanations are satisfactory.
Thank you.
Yours faithfully,
For and On Behalf of
CHUAN HUAT RESOURCES BERHAD
LIM LOONG HENG
DEPUTY MANAGING DIRECTOR
Query Letter Contents :
We refer to the above article appearing in The Edge, on Monday, 3 April 2000, a
copy of which is enclosed for your reference.
In particular, we would like to draw your attention to the underlined sentences
which are reproduced as follows:-
"Chuan Huat Resources Bhd, ......... plans to list its even lesser-known
information technology (IT) division on the Malaysian Exchange of Securities
Dealing and Automated Quotation Bhd (Mesdaq), Malaysia's technology stock
exchange."
"He........... sees Discomp achieving a turnover of RM100 million within the
next two years"
"Chuan Huat plans to raise the number of its retail outlets through
joint-ventures ............"
"To this end, it is acquiring the computer retail business of the Jusco
department stores in Malaysia."
In accordance with the Exchange's Corporate Disclosure Policy, you are
requested to furnish the Exchange with an announcement for public release
confirming or denying the above reported article and in particular the
underlined sentences after due and diligent enquiry with all the directors,
substantial shareholders and all such other persons reasonably familiar with
the matters about which the disclosure is to be made in this respect. In the
event you deny the above sentences or any other part of the above reported
article, you are required to set forth facts sufficient to clarify any
misleading aspects of the same. In the event you confirm the above sentences or
any other part of the above reported article, you are required to set forth
facts sufficient to support the same.
Please furnish the Exchange with your reply within one (1) market day from the
date hereof.
Yours faithfully
KUALA LUMPUR STOCK EXCHANGE
TAN YEW ENG
Senior Manager, Listing Operations
SA/JT
copy to Securities Commission
