The Board of Directors of Malayan Flour Mills Berhad (“the Board”) is pleased to inform that the Company has adopted a dividend policy and will endeavour to pay dividend of not less than 30% of its consolidated net profit after taxation and minority interest (“PATAMI”) annually with immediate effect, subject to the availability of distributable reserves and consideration on the following factors:

• The level of available cash and cash equivalents;
• Solvency test performed for the next 12 months immediately after the dividend is paid;
• Return on equity and sufficient retained earnings;
• The projected levels of capital expenditure; 
• Funding needs for future growth;
• Working capital requirements;
• Restrictions and/or covenants imposed by lenders;
• Country/foreign currency/tax restrictions;
• Repayment of inter-company advances; and
• Other factors which the Board may deem relevant.

Whilst the dividend policy reflects the Board’s current views on the Group’s financial and cash-flow position, the dividend policy will be continuously reviewed from time to time. It is the policy of the Board, in recommending dividend, to allow shareholders to participate in the Company’s profits, as well as to retain adequate reserves for future growth.

Remarks: The words "normalised annual" were deleted from the first paragraph for better clarity.