We refer to the announcement dated 14 August 2012 in relation to the acquisition of 100% equity interest in Urusan Ihsan Sdn Bhd (“UISB”) (“Acquisition”).

RCE wishes to announce that the Company and the vendors of UISB have mutually agreed to terminate the Acquisition and rescind the respective share sale agreements executed on 13 August 2012 (“Rescission”).

The Rescission is not expected to have any material effect on the earnings and net assets per share of RCE Group for the financial year ending 31 March 2013.

This announcement is dated 2 November 2012.