Landmarks Berhad

Proposed issue of RM185.0 million nominal value redeemable secured serial bonds

Further to our announcement dated 10 September 2001, Landmarks is pleased to announce that, Ikatan Perkasa Sdn Bhd ("IPSB"), its wholly owned subsidiary, proposes to proceed with the issue of RM185,000,000 nominal value redeemable secured serial bonds ("Bonds") upon varied terms.

The initial issue was re-considered following the events of September 11, 2001, but Landmarks is now confident of the marketability of the Bonds. The Bonds of RM 185,000,000 will be fully subscribed on a 'bought-deal' basis by Malaysian International Merchant Bankers Berhad, as the primary subscriber.

The Bonds are expected to be issued by middle of May 2002 and will have maturities ranging from 2.5 years to 7 years from the date of issue.

IPSB may at any time prior to the maturity date, purchase the Bonds by tender for cancellation from the open market. Bonds with a maturity in excess of 5 years are also callable at the end of year 5 based on a formula payable at the time redemption is made.

The Bonds will be fully subscribed by the Primary Subscriber, Malaysian International Merchant Bankers Berhad, who may offer the Bonds to persons whom an offer or invitation to subscribe or purchase the Bonds would constitute an excluded invitation pursuant to Section 38 and an excluded issue pursuant to Section 39, and an issue, offer or invitation specified under Schedule 2 and Schedule 3 of the Securities Commission Act 1993. The Bonds will not be listed on any exchange.

The Bonds will constitute direct, unconditional and secured obligations of IPSB ranking pari passu without any preference or priority amongst themselves.