Notes

1.	The same accounting policies and methods of computation are followed in the quarterly financial 	statements as compared with the annual financial statements as at 31 March 2000.

2.    There is no exceptional item for the current financial year to date.

3.    There is no extraordinary item for the current financial year to date.

4.	There is no deferred tax and/or adjustment for under or over provisions in respect of prior years, for the current financial year to date.

5.	 There is no pre-acquisition profits for the current financial year to date.

6.	The net profit realised on the disposal of quoted investments for the current financial year to date amounted to RM1,484,000. There is no sale of properties during the period.

7.	Particulars on the purchase or disposal of quoted securities is not provided as the activities of the Group comprises principally of stockbroking and related services.

8.	During the quarter, the Group announced the temporary suspension of operations of its subsidiary KAF-Refco Futures Sdn Bhd with effect from 14 March 2001. The suspension will not have any significant impact on the Group.

9.	The corporate proposal announced on 22 December 2000 in respect of a Memorandum of Understanding between a wholly-owned subsidiary of the Company, KAF-Seagroatt & Campbell Securities Sdn Bhd, and Mohaiyani Securities Sdn Bhd relating to the commencement of negotiations on the merger of their respective stockbroking businesses, is not completed as at 21 February 2001. 

10.	The results of the Group is dependent on the performance of the Kuala Lumpur Stock Exchange.

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

12.	There is no Group’s borrowings and debt securities as at the end of the reporting period except for an unsecured advance of RM638,000 maturing on 28 February 2003 from an Affiliated Company.

13.	The contingent liability of the Group as at 21 February 2001 relates to a guarantee of RM1.0 million to a bank in respect of banking facilities granted to Securities Clearing Automated Network Services Sdn Bhd.

14.	As at 21 February 2001, the Group does not hold any financial instruments with off balance sheet risk.

15.	There is no material litigation pending as at 21 February 2001.

16.	Segmental reporting is not provided as the activities of the Group comprises principally of stockbroking and related services in Malaysia.

17.	The Group reported a pretax loss of RM1.08 million for the quarter reported on, compared to a pretax profit of RM0.05 million in the preceding quarter. The unfavourable variance is due mainly to the lower volume of transactions in the Kuala Lumpur Stock Exchange for the quarter reported on as compared to the preceding quarter and the reduction of brokerage commission arising from the liberalisation of commission rates on transactions done on the Kuala Lumpur Stock Exchange which was implemented on 1 September 2000. 

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18.	Beside the matter highlighted in Note 17, there are no other material factors affecting the 	earnings  and/or revenue of the Company and the Group.
There  is also no material factor and /or significant trend or event which has occurred, between          the end of the reporting period and 21 February 2001, affecting the earnings and/or revenue of the Company and the Group.

19.	The Board of Directors is of the opinion that barring any unforeseen circumstances, the Group’s performance for the current financial year will be in accordance with the performance of the Kuala Lumpur Stock Exchange.

20.	The explanatory notes on variance of actual profit from forecast profit and/or shortfall in profit guarantee is not relevant to the Group.

21.	Dividends:
(a)	An interim ordinary dividend has been declared.
(b)	(i)    Amount per share – 7.5 sen (tax exempt).
(ii) 	Previous corresponding period – 7.5 sen gross (Amount is before tax and the tax rate is 
	28%.
(iii)  Total dividend for the current financial year – 7.5 sen (tax exempt).
(a)	Date payable – 12 April 2001.
(b)	In respect of deposited securities, entitlement to dividends will be determined on the basis of a record of depositors as at 19 March 2001.

BY ORDER OF THE BOARD

WENDY CHIN NGEOK MUI
(MAICSA NO : 7003178)
Company Secretary

Kuala Lumpur
27 February 2001

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