INFORMATION ON THE SUBSIDIARY

YNHL, bearing Company No. 415714-W, was incorporated in Malaysia on 3 January 1997 as a private limited company under the name Saujana Harian Sdn Bhd. The company changed its name to YNH Land Sdn Bhd on 2 September 2005. The authorised share capital of YNHL is RM100,000,000 divided into 100,000,000 ordinary shares of RM1.00 each of which 80,000,000 ordinary shares have been issued and are fully paid up or credited as fully paid up. The principal activities of YNHL are that of property investment and development.  

RATIONALE FOR THE INTERNAL RE-ORGANISATION

The Internal Re-organisation is to streamline the Group structure of YNH group.

EFFECT OF THE INTERNAL RE-ORGANISATION

Upon completion of the Internal Re-organisation, YNHL will become a direct subsidiary of the Company.

FINANCIAL EFFECTS

The Internal Re-organisation does not have any effect on the earnings, net assets and gearing of YNH Group for the year ending 31 December 2010.

APPROVAL FOR THE INTERNAL RE-ORGANISATION

The Internal Re-organisation is not subject to the approval of shareholders of YNH and any other authorities.

DIRECTORS’ AND SUBSTANTIAL SHAREHOLDERS’ INTEREST

None of the Directors and/or substantial shareholders of the Company and/or persons connected to them has any interest, direct or indirect in the Internal Re-organisation.

DIRECTORS’ RECOMMENDATION

The Directors are of the opinion that the Internal Re-organisation is in the best interest of YNH Group.

This announcement is dated 28 December 2010.