We refer to our announcement dated 27 February 2007 in relation to the Company’s Research Report for the six (6) month period ended 31 December 2006.

Further thereto, OSK Investment Bank Berhad (formerly known as OSK Securities Berhad), on behalf of the Company is pleased to furnish the following additional information:-

There is no capital expenditure for research and development (“R&D”) for the financial year ended (“FYE”) 31 December 2006 as the Company’s R&D focuses on improvement of processes and maintaining its product quality. All expenses incurred are expensed out and purchases of equipments are recognized as property, plant and equipment. In future, capital expenditure for the R&D will be provided for when the need arises. The Board is of the view that the future capital expenditure and allocation for the R&D is not expected to have any material financial impact on the Company for the coming FYE 31 December 2007.