General Announcement
Reference No TC-071203-61200

Company Name	:	TALAM CORPORATION BERHAD
Stock Name	:	TALAM
Date Announced	:	03/12/2007


Type	:	Announcement
Subject	:	TALAM CORPORATION BERHAD (“Talam” or “the Company”) MONTHLY ANNOUNCEMENT ON STATUS OF REGULARISATION PLAN PURSUANT TO PRACTICE NOTE NO. 17/2005 OF BURSA MALAYSIA SECURITIES BERHAD LISTING REQUIREMENTS

Contents :

Further to our announcement made on 1 November 2007 in compliance with Paragraph 3.2 of the Practice Note No. 17/2005 (“PN 17”) of the Listing Requirements of Bursa Malaysia Securities Berhad (“Bursa Securities”), Talam wishes to announce that it had proposed, inter-alia, the following to address the concerns of the Securities Commission (“SC”) in its appeal against the SC’s rejection of the Proposed Regularisation Plan, which was submitted on 25 October 2007:-

a) revision to Talam’s financial forecast and projections to include certain events that occurred subsequent to the application made to the SC in April 2007, such as an additional commercial, office cum residential development project in China to be jointly developed with IJM Properties Sdn Bhd and project management fees in respect of the Canal City Project as well as the lower interest expense to be charged pursuant to Financial Reporting Standard 132 as a result of the lower number of debt securities to be issued pursuant to the Proposed Revised Regularisation Plan. All these are expected to contribute positively to the future financial position of Talam and will enable Talam to immediately turnaround post restructuring;

b) Talam has also propose an additional 10% capital reduction resulting in a total capital reduction of 40% and a 10% debt waiver on the amount owing to the creditors who will be receiving debt securities pursuant to the Proposed Regularisation Plan, which will substantially reduce the Talam Group’s accumulated losses;

c) Kumpulan Europlus Berhad has undertaken to retain its controlling interest in Talam; and

d) IJM Construction Sdn Bhd (“IJMC”) has been appointed as the principal contractor for the remaining stalled projects of the Talam group of companies, namely Abra Development Sdn Bhd, Lestari Puchong Sdn Bhd, Expand Factor Sdn Bhd, Galian Juta Sdn Bhd and Europlus Construction Sdn Bhd per the Letter of Award dated 23 November 2007.

The Proposed Revised Regularisation Plan is currently pending the decision of the SC.

This announcement is dated 3 December 2007.