Untitled Document

General Announcement

Reference No BD-071205-59396

Company Name	:	BINA DARULAMAN BERHAD
Stock Name	:	BDB
Date Announced	:	05/12/2007


Type	:	Announcement
Subject	:	PROPOSED CONSTRUCTION OF THE INSTITUT KEMAHIRAN BELIA NEGARA (IKBN) PEDU, KEDAH ON DESIGN AND BUILD

Contents :

1.0 INTRODUCTION

Bina Darulaman Berhad (BDB) wishes to announce that it has received the Acceptance Letter dated 28th November 2007 from Jabatan Kerja Raya Malaysia to undertake the project known as “The Construction of the Institute Kemahiran Belia Negara (IKBN) at Pedu, Kedah (“The Project”) subject to the terms and conditions stipulated in the Pre Award Document and the Contract Agreement to be drawn up.

2.0 SALIENT TERMS OF THE ACCEPTANCE LETTER

The salient terms of the Acceptance Letter among other things include the following:-

(i) The Contract Sum

The Contract Sum shall be RM63,400,000.00 (Ringgit Malaysia : Sixty three million, four hundred thousand) only.

(ii) Basis of Project

The Project shall be on “Design and Build”.

(iii) Commencement and Completion Date

The date of site possession shall be on 19th December 2007 and the project is expected to be completed on 15th December 2009.

(iv) Performance Bond

BDB shall be requested to furnish a Performance Bond which can be in any of the following form:-

a) Bank Guarantee
b) Financial Institution Guarantee
c) Insurance Guarantee
d) Performance bond with a deduction of ten (10) percent from every interim payment until a sum of 5% of the contract sum is achieved.

(v)

Public Liability Insurance Policy

BDB shall subscribe to public liability insurance policy with a minimum liability of RM2,000,000.00.

(vi)

Insurance Policy for the Works

BDB shall subscribe to the Insurance Policy for the works from an authorized insurance company for the sum of RM63,4000,000.00.

3.0 FINANCIAL EFFECT

The Project is expected to contribute positively to the earnings of BDB for the financial year 2008 and 2009.

4.0 DIRECTORS AND SUBSTANTIAL SHAREHOLDER’S INTEREST

None of the directors and substantial shareholders of BDB or persons connected to the directors and substantial shareholders has any interest whether direct or indirect in the said project.

5.0 STATEMENT BY DIRECTORS

The Board of Directors of BDB is of the opinion that the Project is in the best interest of BDB as it is expected to enhance its future earnings.

Dated this: