KARAMBUNAI CORP BHD (6461-P)
(Formerly known as FACB Resorts Berhad)
Unaudited Quarterly Report on the Consolidated Results For the Financial Quarter Ended 30 September 2004

Notes (In Compliance with MASB 26)

A1.	Accounting Policies

The Quarterly Report has been prepared in accordance with Malaysian Accounting Standards Board (“MASB”) 26 on ‘Interim Financial Reporting’ and Paragraph 9.22 of the Listing Requirements of Bursa Malaysia Securities Berhad (“BMSB”).

The accounting policies and methods of computation used in this interim financial report are consistent with the financial statements for the year ended 31 March 2004, except for the adoption of the following new applicable approved Accounting Standard:-

MASB 32 – Property Development Activities
The adoption of the above new MASB Standard have no impact to the results of the current quarter and financial year–to-date.

A2.	Audit report of previous annual financial report

The audit report of the preceding annual financial statements was not qualified.

A3.	Seasonal or Cyclical Factors

The Group’s operations for the current quarter and the financial year-to-date are not affected significantly by any seasonal or cyclical factors.

A4.	Unusual items

There were no items affecting assets, liabilities, equities, net income or cash flows that are unusual because of their nature, size or incidence during the current quarter and the financial year-to-date.	

A5.	Nature and Amount of Changes in Estimates

There were no changes in estimates of amounts reported in the prior interim period of the current financial year or changes in the estimates of amounts reported in previous financial years which have a material effect in the current quarter and financial year-to-date.

A6.	Issuance and Repayment of Debt and Equity Securities

There is no issuance and repayment of debts and equity securities, share buy-backs, share cancellations, shares held as treasury shares and resale of treasury shares for the current quarter and financial year-to-date.

							Page 5

KARAMBUNAI CORP BHD (6461-P)
(Formerly known as FACB Resorts Berhad)
Unaudited Quarterly Report on the Consolidated Results For the Financial Quarter Ended 30 September 2004

A7.	Dividend Paid
	
	There were no dividends paid during the current quarter or financial year-to-date.

A8.	Segmental Information
	
Segmental information is presented in respect of the Group’s business and geographical segments.

Segment revenue and results include items directly attributable to a segment as well as those that can be allocated on a reasonable basis. 
					
	The Group comprises the following main business segments:
(a) Property development	- Property development and construction of properties.
(b) Leisure & tourism		- Resorts, golf club and travel agency services.	    	 
(c) Trading			- Trading of wood products.				 
	(d) Investment holdings		- Investment holding, venture capital and management services.
	(e) Other			- Not of a sufficient size to be disclosed separately.

	Segment by activity

Current financial year-to-date ended 30/09/2004	Property 
development
RM’000	Leisure &
Tourism
RM’000	
Trading
RM’000	Investment
holdings
RM’000	
Consolidated
RM’000	
						
Revenue						
External sales	9,428	40,360	10,633	399	60,820	

Results						
Segment (loss) / profit	(847)	5,614	          (157)	(2,438)	         2,172        	
Depreciation	  (332)	(4,318)	     (41)	  (268)	         (4,959)	
Segment result	(1,179)	 1,296	(198)	(2,706)	         (2,787)	
Interest income					              189	
Interest expenses					(20,665)	
Share of associated results					              (16)	
Taxation					               4	
						
Loss after taxation					(23,275)	

Segment by geographical 

Current financial year-to-date ended 30/09/2004	
Malaysia
RM’000	
Singapore
RM’000	
Others
RM’000	
Consolidated
RM’000	
					
Revenue					
External sales	50,187	10,633	-	60,820	

A9.	Valuations of property, plant and equipment

The valuations of property, plant and equipment have been brought forward without amendment from the previous annual financial statements.

Page  6

KARAMBUNAI CORP BHD (6461-P)
(Formerly known as FACB Resorts Berhad)
Unaudited Quarterly Report on the Consolidated Results For the Financial Quarter Ended 30 September 2004

A10.	Material subsequent events

There were no material subsequent events from 30 September 2004 to 25 November 2004.(the latest practicable date which is not earlier than 7 days from the date of issue of this Quarterly Report),except as disclosed in B8 .On 30 September 2004 the Company has change its name to Karambunai Corp Bhd. 
	
A11.	Changes in the Composition of the Group

There were no material changes in the composition of the Group during the current quarter and financial   year-to-date, including business combinations, acquisition or disposal of subsidiaries and long-term investments, restructuring, and discontinuing operations except on 6 of August 2004, a wholly-owned subsidiary, Karambunai Resorts Sdn Bhd have increased its share holding in a subsidiary namely Dapan Construction Sdn Bhd (formerly known as Simfoni Istimewa Sdn Bhd), by subscription of 749,998 ordinary shares of RM1/- each for a cash consideration of RM749,998/-. This acquisition has no material impact on the Group financial statements as at 30 September 2004.

A12.	Changes in contingent liabilities or contingent assets
	
Other than corporate guarantees extended by the Company in support of banking facilities of its subsidiaries, there were no contingent liabilities or contingent assets as at 30 September 2004 (31 March 2004 : nil). 

Notes (BMSB Revised Listing Requirements) 

B1. 	Review of the Performance of the Company and Its Principal Subsidiaries

The Group recorded a revenue of RM 60.8 million for the financial year-to-date ended 30 September 2004 compared to RM 40.7 million for the preceding year corresponding period ended 30 September 2003. It represents an increase of 49% over the previous year corresponding period.

The Group also achieved a lower pre tax loss of RM 23.3 million for the financial year-to-date compared to RM 27.1 million in the same period last year, representing an improvement of 14 %, compared to previous year corresponding period. The Group’s lower pre tax loss for this financial year-to-date was mainly due to better performance in leisure & tourism industry. 
	
In the opinion of the Directors, the results for the current quarter and financial year-to-date have not been affected by any transaction or event of a material and unusual nature which has arisen between 30 September 2004 and 25 November 2004 (the latest practicable date which is not more than 7 days from the date of this Quarterly Report).

B2.	Material Changes in the Quarterly Results Compared to the Results of the Preceding Quarter 

The reduction of pre tax loss for the current quarter under review compared to previous quarter is mainly due to higher revenue and profitability reported by Group’s leisure & tourism sector.

Page  7

KARAMBUNAI CORP BHD (6461-P)
(Formerly known as FACB Resorts Berhad)
Unaudited Quarterly Report on the Consolidated Results For the Financial Quarter Ended 30 September 2004

B3.	Current Year Prospects

With the increasing growth trends in the leisure & tourism industry, the Group is optimistic that barring any unforeseen circumstances, the Group would continue to benefit from the performance of this industry.  Concurrently, the Group will continue to focus on addressing its borrowing costs and resolution of the RM420 million zero-coupon redeemable secured bonds 2001/2005 maturing in year 2005. 

B4.	Profit Forecast / Profit Guarantee 
	
Not applicable in this Quarterly Report.

B5.	Taxation

The breakdown of tax charge for the current quarter and financial year-to-date are as follows:

Tax Charge	Current Quarter
RM’000	Current Financial Year-to-Date
RM’000	
Current quarter / year provision	1	                          1	
Under / (Over) provision in previous year		                          (5)	
Transfer to / (from) deferred taxation	-	                           -	
Total	1	                          (4)	

B6.	Profit/(loss) on Sale of Unquoted Investments and/or Properties

There were no material sales of unquoted investment or properties for the current quarter and financial year-to-date, except as follows:

Arosa Development Sdn Bhd a wholly own subsidiary of Karambunai Corp Bhd ( formerly known as FACB Resorts Berhad) had on 11 September 2004 entered into a Sales and Purchase Agreement with Valencia Homes Sdn Bhd for disposal of a piece of land at Daerah Hulu Langat, Selangor Darul Ehsan, measuring 2.94 acres for a cash consideration of RM 10,000,000.00. An announcement has been made to BMSB on 14 September 2004.

B7.	Quoted Securities
	
There were no purchases or sales of quoted securities for the current quarter and financial year-to-date and there was no investment in quoted securities at the end of the reported quarter.

B8.	Status of Corporate Proposals Announced But Not Completed as at 25 November 2004 (the latest practicable date which is not earlier than 7 days from the date of issue of this Quarterly Report) 

On 1 October 2004 ,Special Administrators of Sri Hartamas Berhad (SHB) have informed of its decision to terminate the Reconstruction Agreement Between SHB,FACB Resorts Berhad and Hartamas Group Berhad .An announcement to this effect has been made by the Company on 1 October 2004 .

Page  8

KARAMBUNAI CORP BHD (6461-P)
(Formerly known as FACB Resorts Berhad)
Unaudited Quarterly Report on the Consolidated Results For the Financial Quarter Ended 30 September 2004

B9.	Borrowings and Debt Securities
	
(a)	Short Term Borrowings	RM’000	
			
	Secured		
	Term Loan (USD 5.42Million)	18,420	
	Term Loan	69,435	
	Revolving Credits	17,000	
	Bank Overdraft	23,702	
			
	Unsecured		
	Bank Overdrafts	162	
	Hire Purchase Creditors	2,242	
			
	Total	130,961	
			
(b)	Long Term Borrowings	RM’000	
			
	Secured		
	Term Loan	5,100	
			
	Unsecured		
	Hire Purchase Creditors	1,186	
			
	Total	6,286	

B10.	Off Balance Sheet Financial Instruments

As at 19 November 2004, the Group did not enter into any contract involving financial instruments with off balance sheet risk.

B11.	Material Litigation 

The Group is engaged in the following material litigation as at the date of this report.

	A minority shareholder of a subsidiary, First Travel and Tours (M) Sdn. Bhd. (“FTT”), has presented a legal petition against FTT, the Company and a director of the Company (“Respondents”) to wind-up FTT pursuant to Section 181 of the Companies Act, 1965, on allegation that the affairs of FTT were conducted in a manner oppressive to him and in disregard of his interest as shareholder. The Court has now directed that the petitioner file his affidavit in reply (to FTT’s affidavit in opposition to the petition). It is now up to the petitioner’s lawyers to file the necessary summons for directions to set the petition down for hearing. No provision has been made for possible losses arising from the above legal proceedings as the legal proceedings are still pending.

Page 9

KARAMBUNAI CORP BHD (6461-P)
(Formerly known as FACB Resorts Berhad)
Unaudited Quarterly Report on the Consolidated Results For the Financial Quarter Ended 30 September 2004

B12.	Dividend

No dividend is recommended for the current quarter and financial year-to-date.

B13.	(Loss)/ Earnings Per Share							Current	          Preceding

Basic (loss)/ earnings per share

 	Current
Quarter ended
30/09/2004
RM’000	Comparative
Quarter ended
30/09/2003 
RM’000	Financial Year-to-date ended
30/09/2004
RM’000	Financial
Year-to-date ended
30/09/2003
RM’000	
Group’s loss after tax used as numerator in the calculation of basic EPS	
(9,228)	
(12,390)	
(23,214)	
(27,008)	
					
Weighted average number of shares used as denominator in the calculation of basic EPS (‘000)	

2,030,060	

2,030,060	

2,030,060	

2,030,060	

Fully diluted (loss)/ earnings per share

The effect on the diluted loss per share for the current quarter and financial year-to-date arising from the assumed conversion of outstanding Warrants is anti-dilutive.

By order of the Board

_______________________
Lim Tiong Jin
Chief Financial Officer

Kota Kinabalu, Sabah           
25 November 2004

Page 10