Contents :

CAHB confirms that in line with the SC's Framework for Consolidation of Stockbroking Companies in Malaysia, CIMB is exploring the possibility of a merger or acquisition with respect to its stockbroking operations. Expressions of interest have been made to shareholders of several stockbroking companies including, but not limited to, those mentioned in the article, i.e BBMB Securities Sdn Bhd and Labuan Securities Sdn Bhd.

CIMB intends to comply with the SC's Framework for Consolidation. An announcement will be made as soon as there are material developments in the process.

Query Letter Contents :

We refer to the above article appearing in The Sun, Sun Biz section, page 1, on
27 July 2000, a copy of which is enclosed for your reference.
In particular, we would like to draw your attention to the underlined sentence,
which is reproduced as follows:-
"It is not certain whether CIMB Securities has withdrawn its bid but sources
said the stockbroking house may be in the process of working out a deal for
Labuan Securities Sdn Bhd."
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 sentence 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 sentence 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 sentence 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


Chong Fui Tzy
Manager, Listing Operations
ASL/TPL
c.c. Securities Commission