PRESS RELEASE

Kuala Lumpur, July 24 2008 - The National Insurance Association of Malaysia (NIAM) launched its new product, the Tani Malaysia Livestock Insurance for commercial farmers today at the Hilton Hotel, Kuala Lumpur. Participating members of NIAM signed the Tani Malaysia Consortium Agreement which serves as the foundation stone for the Insurance industry's impetus in to the Agriculture section.

Underwriting Agriculture Insurance proved to be challenging for the Insurance industry due to lack of technical expertise, reinsurance capacity, credible statistics for fair pricing, infrastructure for speedy claims settlement, affordability issues and most importantly the mind set of farmers who have for many years enjoyed government support in one form or another. The time has come for farmers to be more self-reliance by assuming some of the risks which are within their control. The insurance industry is ready to play its part by pooling the resources of many farmers for the misfortune of the few.

Mr Koh Heng Kong, Chairman of NIAM said: "NIAM has been conducting Research and Development for Agriculture Insurance for more than six (6) years. Some of you may recall in 2002, NIAM proposed a pilot project for a government sponsored Paddy Yield Shortfall Insurance Scheme which was not taken up. Notwithstanding the earlier disappointment, NIAM continued to explore new areas to help Malaysians. Volunteers from member companies have worked very hard culminating to the launch of Tani Malaysia Livestock Insurance for commercial farmers today. With the security of insurance, livestock farmers will be able to expand their farms leading to greater self-sufficiency in terms of security of supply for the country. NIAM is proud to play a role in meeting our national objectives. Tani Malaysia Livestock Insurance will be first of the many Agriculture Insurance products introduced by NIAM and will be priced competitively. NIAM plans to expand to other sub-sectors such poultry farming and aquaculture in the event the products are well received.

Today's launching of Tani Malaysia Livestock Insurance marks another mile-stone for NIAM. It is NIAM's wish to serve all Malaysian; Livestock Insurance is now accessible to eligible farmers; gone were the days where farmers' dreams were shattered by the vagaries of nature.

The participating insurance companies are: