Investor Relations

A AMAL- PRESS RELEASE ON PUBLIC REPRIMAND AND FINE

LISTING'S CIRCULAR NO. L/Q : 5600 OF 2000

PUBLIC REPRIMAND AND FINE ON AUSTRAL AMALGAMATED BERHAD

Kuala Lumpur, 6 May 2000 - The Kuala Lumpur Stock Exchange ("KLSE") in consultation with the Securities Commission, publicly reprimanded and imposed a fine of RM100,000 on Austral Amalgamated Berhad ("A Amal") for breach of Section 60 of the KLSE Main Board Listing Requirements ("MBLR").

Section 60 of the MBLR stipulates that the interval between the close of the financial year of the company and the issue of the printed annual report to the company's shareholders and the Exchange shall not exceed six (6) months.

The financial year-end for A Amal was 30 June 1999 and hence the annual report was due on 31 December 1999. To date, A Amal has yet to furnish the annual report to the KLSE. The KLSE has required A Amal to furnish the same to the KLSE immediately, failing which further action may be taken against A Amal.

The public reprimand and fine were imposed pursuant to Section 392 of the MBLR after having considered all relevant circumstances and after consultation with the Securities Commission.

This is the second breach of the Listing Requirements committed by A Amal. The KLSE had previously imposed a public reprimand on A Amal on 16 October 1999 for breaching Sections 36 and 114 of the MBLR in respect of its failure to make an immediate announcement on the acquisition of shares in RNC Corporation Berhad from 10 December 1996 to 19 November 1997.

The KLSE views this contravention seriously and hereby cautions the Company of its responsibility to maintain appropriate standards of corporate responsibility and accountability in order to achieve greater disclosure and transparency to its shareholders and the investing public.