General Announcement
Reference No
TC-071031-64971
Company Name
:
TALAM CORPORATION BERHAD
Stock Name
:
TALAM
Date Announced
:
31/10/2007
Type
:
Announcement
Subject
:
TALAM CORPORATION BERHAD (“Talam” or “the Company”)
DIRECTIVES ISSUED UNDER REGULATION 5 OF THE SECURITIES INDUSTRY (COMPLIANCE WITH APPROVED ACCOUNTING STANDARDS) REGULATIONS 1999
Contents :
We refer to our announcement dated 4 October 2007 pertaining to the directive of Securities Commission (“SC”) to rectify and reissue the Company’s financial statements for the years ended 31 January 2006 and 31 January 2007 (“Financial Statements”) and to make a detailed announcement to Bursa Malaysia Securities Berhad in respect of the rectification of the Financial Statements together with the reasons and effects.
The Board of Directors of Talam wishes to make the following announcement:-
1)
Reasons for Rectification
The Securities Commission noted that certain prior year adjustments to record omitted transactions in prior years in its previously issued Financial Statements, which had the effects of decreasing receivables by RM90 million, increasing property development costs by RM56.800 million, decreasing other liabilities by RM23.241 million and decreasing opening retained profits by RM9.959 million, did not comply with the Financial Reporting Standards (FRS) 101, Presentation of Financial Statements which requires that financial statements should present fairly the financial position, financial performance and cash flow of enterprise, and thus is in breach of Regulation 4 of the Securities Industry (Compliance with Approved Accounting Standards) Regulation 1999 (Regulations).
The Securities Commission directed Talam to rectify and reissue its Financial Statements by restating the debtors and reversing the corresponding amounts from property development cost (RM56.800 million), other liabilities (RM23.241 million) and opening retained profits (RM9.959 million).
In view of the above, rectification has been made to comply with the directive of SC.
2)
Effects on the Rectification of the Financial Statements
The effects of the reinstatement of the Financial Statements are set out in Table A and Table B attached.
The accumulated loss has been reduced by an amount of RM18.300 million.
A copy each of the reissued Financial Statements are also attached herewith.
This announcement is dated 31 October 2007.
Table A
Table B
©
2007
, Bursa Malaysia Berhad. All Rights Reserved.