Reference is made to the Company’s announcement made on 27 December 2012 pertaining to CIMB Bank Berhad (“CIMB”) demand from FBO Land (Setapak) Sdn. Bhd. (“FBO Setapak””), a wholly owned subsidiary of the Company, for the repayment of the total sum of RM3,148,497.33 as at 11 October 2012 together with continuing interest thereon.

The Company wishes to announce that the management had a meeting with CIMB on 3 January 2013. CIMB had in principle agreed to the Company’s proposed term of settlement and agreed to withhold further legal action upon receipt of official letter of proposal.

The Company had on 4 January 2013 submitted the settlement proposal to CIMB.