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Signing of Agreement between Rediffusion Berhad (RB)’s subsidiary, Radio Rediffusion Sdn. Bhd. (RRSB) and Resorts World Berhad (RWB) for operating a co-branded membership card business.
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The Board of Directors of RB is pleased to announce the following:

1. INTRODUCTION

RB’s subsidiary, Radio Rediffusion Sdn. Bhd. (RRSB) which operates two 24-hour radio channels viz. Redi-FM (Chinese broadcast) and RfM (Bahasa Malaysia and English broadcast), has on 26th May 2000 entered into an agreement with Resorts World Berhad (RWB) to jointly operate a co-branded membership card business. Essentially, the co-branded membership card business is a loyalty programme whereby cards carrying the “Rediffusion” and “Genting WorldCard” logos are issued to successful applicants entitling the cardholders to enjoy benefits and privileges accorded by programme partners signed up by RWB and RRSB in addition to earning reward points on spendings transacted with these programme partners which comprise a diverse range of retail and service outlets including restaurants.

Under the agreement between RWB and RRSB, the co-branded membership card carrying the “Genting WorldCard” and “Rediffusion” logos will be named as Rediffusion Genting WorldCard (RGWC) and both agree that RGWC members will enjoy all prevailing and future Genting WorldCard benefits and privileges in addition to added benefits accorded by RRSB. It also provides for RWB to provide database management service for the RGWC membership while RRSB will provide radio airtime to promote membership growth.

The signing of the agreement will enable RB and RWB to tap on each other’s strength and resources in promoting and developing an effective loyalty programme to strengthen RRSB’s position as a broadcasting media while enhancing the leisure and hospitality business of RWB.

The entering into the agreement is not expected to have any material effect on the earnings of RB Group for the financial year ending 31st March 2001.

The entering into the agreement will have no material effect on the NTA of RB Group for the financial year ending 31st March 2001.

The entering into the agreement will have no effect on RB’s issued and paid-up share capital.

No directors or substantial shareholders of RB or its subsidiaries have any direct or indirect interest in the contractual arrangement under the agreement.

The agreement being signed between RB and RWB is not subject to any regulatory approval.

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