The Board of Directors of KKB Engineering Berhad (“KKB”) wishes to announce that the Board has on 22 February 2013:

(i) recommended a first and final dividend of 5 sen per ordinary share of RM0.50 each, taxable at 25%, in respect of the financial year ended 31 December 2012, subject to approval by the shareholders at the forthcoming Thirty-Seventh Annual General Meeting.

The date of the Thirty-Seventh Annual General Meeting and the dates of the first and final dividend entitlement and payment will be announced at a later date.

(ii) proposed to seek shareholder mandate for the existing and new RRPT by way of an ordinary resolution at the forthcoming annual general meeting of KKB (“AGM”) to be convened at a later date. A Circular to Shareholders is currently being prepared for seeking shareholders' approval on the Proposed Shareholder Mandate.

The existing shareholder mandate was obtained at the AGM of KKB held on 10 May 2012. In accordance with the Main Market Listing Requirements of Bursa Malaysia Securities Berhad, this existing shareholder mandate shall lapse at the conclusion of the forthcoming AGM, unless renewal is obtained.

(iii) proposed to seek shareholders' approval on the Proposed Amendments by way of a special resolution at the forthcoming AGM.

Details of the Proposed Amendments will be distributed to the shareholders of KKB at a later date.

This announcement is dated 22 February 2013.