Guinness Anchor Berhad (“GAB”) has, for several years, maintained an informal dividend policy for distribution of dividends to its shareholders with a target of 85% to 90% of the Group profit after tax.

The Board has recently reviewed this informal policy and the dividend payout over the past financial years. The Board decided that:

1. GAB maintains the informal approach with the objectives of providing the Company flexibility in managing its working capital requirements to cater for any business needs at any particular time in the future

1. The target dividend payout is revised to range from 90% to 95% of the Group profit after tax with the aim of optimising the Company’s return to shareholders whilst maintaining equilibrium between balanced dividend payment and adequate capital retention rate for future growth

The revised targeted dividend payout is adopted for the financial year ending 30 June 2013 and thereafter.

In determining and recommending the level of dividend payments in any particular financial year or period, the Company will take into consideration the overall financial performance including the operating cash flow, free cash flow positions and the future expansion plans of the Group.

This announcement is dated 28 August 2012.