Profit before taxation for the first quarter of 2008 was MYR348 million, 13.0 per cent higher than the MYR308 million reported for the same period in 2007.

The details set out as resolution numbered 11 in the notice convening the AGM (the “AGM Notice”) will be proposed at the AGM for the granting of a general mandate to the Directors to allot, issue and deal with new H Shares of up to a maximum of 20% of the H Shares of the Company in issue at the date of passing the resolution.

136,165,605 ordinary shares of US$0.50 each have been issued by HSBC Holdings plc to shareholders who elected to receive the scrip dividend alternative for the fourth interim dividend for 2007, payable on 7 May 2008. The shares rank pari passu with the existing issued ordinary shares of the Company.

Net income attributable to common shares was C$155 million for the quarter ended 31 March 2008, an increase of 11.5 per cent over the same period in 2007.

During the reporting period, the operating income of the Group was RMB5,552.258 million, representing an increase of RMB1,774.371 million, or 47.0%, as compared with the corresponding period last year. Net profit attributable to the Shareholders was RMB1,490.528 million, representing an increase of RMB789.861 million, or 112.7%, as compared with the corresponding period last year.

The balance of cash of the Company and its Subsidiaries as at the end of the period increased by approximately 80% over the beginning of the period. This was mainly due to the cash inflow from financing activities such as borrowings and sale and lease back. (2) Notes receivable for the Company and its Subsidiaries as at the end of the period decreased by approximately 92%

Reference is made to the announcement and circular of the Company dated 12 May 2005 and 19 May 2005 respectively in relation to, amongst others, the Continuing Connected Transactions in respect of agreements for the provision of goods and/or services between certain members of the CEA Holding Group and the Group. The Company has, in view of the expiration of the agreements relating to the Continuing Connected Transactions, entered into respective agreements relating to the Continuing Connected Transactions. It is the Company’s intention to finance the Renewed Continuing Connected Transactions through its internal resources.

On 17 March 2008, the Board of the Company approved the bidding by the Company in an open tender process on the China Beijing Equity Exchange to acquire certain equity interests in five aluminum fabrication plants and one primary aluminum production plant. Currently, the Board has submitted relevant proposals to the extraordinary general meeting to be convened on 9 May 2008 for consideration and approval and the relevant announcemen of the general meeting and circular were disclosed on 25 March 2008. Upon approval in the general meeting, the Company will participate in bidding on the China Beijing Equity Exchange.

During the reporting period, in accordance with IFRSs, revenues of the Group was RMB23,788 million (for the three months ended 31 March 2007: RMB18,489 million), representing an increase of 28.7%. Profit for the period attributable to shareholders of the Company was RMB6,772 million (for the three months ended 31March 2007: RMB4,919 million), representing an increase of 37.7%. During the reporting period, changes in major items of the financial statements and explanation thereof are as follows: