Reference is made to the news appearing on local and international newspapers on 13 May 2013 which reported on the riots in Vietnam arising from the Vietnam and China dispute over the arrival of the deep-sea oil rig close to the Paracel Islands in South China Sea. The Board of Directors of LTHB wish to announce that the riot has spilled over into the Vietnam Singapore Industrial Park (“VSIP”) where the Company’s subsidiary, Latitude Tree Vietnam Joint Stock Company (“LTV”) is annexed to it. Rioters have entered LTV’s premise/factory at afternoon on Tuesday, 13 May 2014. The Company’s other subsidiary, RK Resources Co Ltd, is not affected as at to-date.
The main office building of LTV has been vandalised, ransacked and looted by the rioters. Some important data, permits, licenses and documents were destroyed or burnt. The rioters attempted to burn LTV’s factory but the fire was put out by LTV’s workers. At present, the production facilities were not affected although all factory workers were forced to go on strike by the rioters. LTV has temporarily stopped its factory operations since yesterday afternoon until further notice. Due to the on-going riot situation, LTHB is unable to ascertain when the production can be resumed. However, LTHB is monitoring the situation closely with the assistance of the Malaysian Consulate officials at Ho Chi Minh City. For safety reasons, LTHB does not allow the Factory Manager of LTV and his team to enter the factory at present. As such, LTHB is unable to ascertain the damages and its financial impact thereon.
All factory buildings, machinery, inventories, office equipment, furniture fittings and ancillary installations are insured against the risk of rioting. LTV has reported the incident to the insurance company. At present, the insurance company and the adjusters are unable to assess the extent and quantum of damages as the rioting is still on going.
Further announcements will be made as and when there are material changes to the situation.
This announcement is dated 14 May 2014.
