Contents :
We refer to your letter dated 21 June 2000 and reference to the article entitled “Landmarks Plans Assets Disposals To Trim Debt” appearing in Business Times on Wednesday, 21 June 2000.
We hereby confirm that
a) Landmarks proposed debt restructuring plan involves disposal of certain assets to reduce Group’s gearing. These assets include Tiara Labuan hotel and The Andaman hotel.
b) Based on our forecast for the year ending 31 December 2000, we believe that the Group will achieve a pretax profit before exceptional items of between RM 10 million to RM 12 million. The results for the first quarter of the year showed a pretax profit of RM 3.3 million.
c) Landmarks is negotiating to acquire a stake in a hospital in Penang. The existing shareholders are expected to remain albeit with reduced equity interest. The hospital is operating with approximately 150 beds with a capacity to increase to 250 beds. Landmarks will make a further announcement at the appropriate time.
This reply is dated 22 June 2000.
Query Letter Contents :
We refer to the above article appearing in Business Times, Page 5 on Wednesday,
21 June 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:-
"Next on the auction block are Landmarks' Tiara Labuan hotel and The Andaman
resort."
"Landmarks hopes to be profitable with RM12 million in profits for the year to
December 31 2000..."
"Landmarks also plans to acquire a 100-bed-hospital in Penang through a joint
venture."
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 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 reported sentences,
you are required to set forth facts sufficient to clarify any misleading
aspects of the same. In the event you confirm the above reported sentences, 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
Inderjit Singh
Senior Manager, Listing Operations
ASL/IS/NIK
cc: Securities Commission
