Reference is made to the announcement dated 15 March 2019 with regard to the receipt of a letter from the Government of Malaysia (“Government”) in relation to the revision of terms of contract  (“Main Contract”) for the supply and delivery of four (4) units of Littoral Mission Ship for the Royal Malaysian Navy by Boustead Naval Shipyard Sdn. Bhd., an associate company of BHIC, in collaboration with a Partner Shipyard in China.

The Company now wishes to announce that on 20 August 2019, Boustead Naval Shipyard Sdn. Bhd has entered into a Supplementary Contract (“First Supplemental Contract”) with the Government.

There will be no material effect on the earnings of BHIC Group for the financial year ending 31 December 2019 and its future earnings.

This announcement is dated 23 August 2019.