New Code of Corporate Governance

The Code of Corporate Governance for all Singaporelisted companies, which comes into effect on January 2003, addresses four areas : Board Matters, Remuneration Matters, Accountability and Audit, and Communication with Shareholders.

The Company already has in place an Audit Committee and a Share Option Scheme Committee, which are considered important organisation structures for the practice of corporate governance. In addition, Keppel Land will be establishing two other committees - the Nominating Committee and the Remuneration Committees. With the two new Directors, the Company is able to fill the committees with the appropriate members.

Of the ten Directors on the Board, five are independent non-executive directors, which exceeds the one-third requirement. They have a diverse wealth of knowledge in the fields of real estate, accounting and general management as well as finance and investment, which will help to guide the Company.

Responsibility to Shareholders

Timeliness and transparency are what Keppel Land have strived for in its disclosure to shareholders and relations with investors. Keppel Land was among the first property companies to hold press and analysts’ briefings for the interim results in addition to the full year annual results.

Furthermore, the Company also holds additional briefings under exceptional circumstances such as during the Asian financial crisis of 1998, which severely affected the property business in the region and required the making of provisions and write-downs.

In 2001, Keppel Land also held a similar briefing in late November to announce that it would make provisions for the write-down in its landbank value, due to weaker economic prospects in Singapore and the global market place as result of the September 11 events.

The Company announced its 2001 results on 28 January 2002, well within the requirement for it to be announced 60 and 45 days after the close of the financial year for 2003 and 2004 respectively. Furthermore, the Company’s 2001 annual report is despatched to shareholders within 120 days of the close of the financial year.

Ahead of the deadline of 2003, the Company has commenced with quarterly reporting of results in 2002. As part of its results disclosure, Keppel Land provides cashflow statements, segmental information on turnover and profit, by business segment as well as by geographical location.

It provides a review of the Company’s performance as well as a commentary on the prospects and strategies ahead.

Communicating Online

Keppel Land’s past four years’ award-winning annual reports are available on its corporate website. The web version of the annual report is available simultaneously as the hard copy is despatched to shareholders. This allows overseas shareholders to access the annual report at the same time as Singapore shareholders. In 2001, the web annual report was made more interactive with the addition of a search capability. Increasingly, the financial community, has been using Keppel Land’s website (http://www.keppelland.com.sg) to access information about the Company.

The online information provided on the website includes the Company’s results, financial ratios and share prices over the past ten years. In addition, the Company’s top 20 shareholders, its residential landbank and office portfolio are also available. The investing public is able to request for more information or clarification online. Requests for hard copies of the annual report can also be made over the web.

Keppel Land recognises the importance of good corporate governance in its activities and is committed to ensure that high standards of disclosure is practised. Going forward, it will continue to strive towards greater transparency.