Further to our announcement on 23 January 2006, IJM Properties Sdn Bhd (“IJMPRP”) has on 31 March 2008 entered into a Mutual Termination Agreement with Island Bay Resorts Sdn Bhd (“IBR”) to terminate the Joint Venture (Development) Agreement executed on 23 January 2006 for a proposed mixed development comprising residential and/or commercial units on five (5) pieces of land measuring approximately 42.76 acres at Batu Ferringhi, Pulau Pinang.

IJMPRP and IBR is a wholly-owned subsidiary of the Company and Asia Pacific Land Berhad respectively.

None of the Directors or major shareholders of the Company, or persons connected with them, has any interest, direct or indirect, in the transaction. The termination will not have any significant effect on the earnings or net assets per share of the Company for the financial year ending 31 March 2008.