Labuan, Friday, 23 May 2003 - Labuan International Financial Exchange (LFX) today took a step further towards greater international acceptance with the latest primary listing by a leading global fund management group.

The primary listing of the Am-Macquarie Sovereign Plus Fund (“Am-Macquarie Fund”) by Australian fund management group, Macquarie Investment Services Limited (MISL) enhances LFX’s position as an offshore exchange that offers a primary platform for the listing of a wide range of financial products, both local and international.

The Chairman of the Board of LFX, Dato’ Mohd Azlan Hashim welcomes the participation of a well-established international fund management group such as MISL.

“We hope more local and international fund managers will review the various opportunities available at LFX and follow in the steps of Am-Macquarie.

“The listing of the Am-Macquarie Fund is an indication that the Exchange is fast gaining acceptance in the international financial arena,” he said.

Being an open-ended fund with a maximum size of Australian Dollars (AUD) 40 million (approximately USD 20 million), the Am-Macquarie Fund is the first primary listing of an investment fund on the LFX. While the Am-Macquarie Fund is listed only on the LFX, the other five existing funds are secondary listings by the Insinger De Beaufort Group, and have their main or primary listings on the Luxembourg and Irish Stock Exchanges.

The Am-Macquarie Fund is the third primary listing on LFX after the two Syariah-compliant certificates (Sukuk) issued by First Global Sukuk Inc. for Kumpulan Guthrie Berhad in January 2002. This latest listing brings the number of total listings to 12 on LFX.

With the latest listing, the range of products on LFX now comprises three Syariah-compliant certificates (sukuk), six investment funds and three conventional debt securities, with a total market capitalisation of USD1.93 billion.

The Am-Macquarie Fund is offered and managed by MISL, which operates within Macquarie Funds Management, and is part of the Macquarie Bank Group, an Australian investment bank with an investment portfolio of AUD52 billion in funds in both retail and institutional clients. MISL will also perform the role of a trustee.

The listing sponsor for the primary listing of the Am-Macquarie Fund is AmInternational (L) Ltd (AMIL), the offshore arm of AmMerchant Bank Berhad. It is responsible for the listing and ensuring that MISL complies with the post-listing obligations as prescribed by LFX’s rules and regulations. AMIL is also the sole distributor of the Am-Macquarie Fund.

The Am-Macquarie Fund is a private open-ended fund available to investors seeking exposure to international interest rate and currency derivatives. The Am-Macquarie Fund will be investing in cash and cash equivalents, interest rate and currency derivatives. Investment returns is generated by taking duration, yield curve, country spread and currency positions in international markets such as Europe, Japan, the UK and US.

The minimum investment by any investor in the Am-Macquarie Fund is AUD500,000. The Am-Macquarie Fund will, however, be listed on the LFX in USD.

As a web-based exchange, LFX offers market participants and investors around the world, fast and efficient access to its services. Wholly owned by the Kuala Lumpur Stock Exchange, LFX is an international offshore financial exchange that facilitates the listing of a multitude of multi-currency instruments and allows the issuer the flexibility to structure the instruments that best suit their funding needs.