Far East Holdings Berhad: Annual Report 2015

Far East Holdings Berhad (14809-W)
Annual Report 2015

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CONTENTS
2 Notice of Annual General Meeting 10 Board of Directors
5 Statement Accompanying Notice 12 Directors’ Profile
of Annual General Meeting
21 Senior Management
6 Corporate Information
22 Financial Calendar
7 Location of Operations
23 Group Financial Summary
8 Corporate Structure
25 Plantation Matrix
9 Estate Structure
42
ANNUAL
ND
The Zenith Hotel 25 May 2016
GENERAL Jalan Putra Square 6
25200 Kuantan
Wednesday
MEETING Pahang Darul Makmur 10.00 a.m.
26 Group Executive Chairmanʼs 56 Statement on Risk Management and

Statement Internal Control
32 Managementʼs Discussion and 59 Statement of Directors’ Responsibilities
Analysis
60 Financial Statements
37 Audit Committee Report
107 Shareholdings Structure
43 Corporate Governance Statement
111 Group Properties
51 Recurrent Related Party Transactions
Proxy Form
55 Additional Compliance Statements
2 Far East Holdings Berhad (14809-W)
NOTICE OF ANNUAL GENERAL MEETING
NOTICE IS HEREBY GIVEN that the 42nd Annual General Meeting of FAR EAST
HOLDINGS BERHAD ("the Company") will be held at The Zenith Hotel, Jalan Putra
Square 6, 25200 Kuantan, Pahang Darul Makmur on Wednesday, 25 May 2016 at 10.00 a.m.
to transact the following businesses:-
AGENDA
As Ordinary Business
1. To receive the Audited Reports and Financial Statements of the Company for the Please refer to Note A
financial year ended 31 December 2015 together with the Directors’ and Auditors'
Reports thereon.
2. To approve the payment of a final single tier dividend of 15 sen per share in respect Ordinary Resolution 1
of the financial year ended 31 December 2015 as recommended by Directors.
3. To re-elect the following Directors who retire pursuant to Article 97 of the Company's
Articles of Association:-
(i) Encik Hashim Naina Merican bin Yahaya Merican Ordinary Resolution 2
(ii) Mr Tee Lip Teng Ordinary Resolution 3
4. To re-elect the following Directors who retire pursuant to Article 102 of the
Company's Articles of Association:-
(i) YH Dato’ Jamaluddin bin Abd Majid Ordinary Resolution 4

(ii) Encik Nik Mohamed Zaki bin Nik Yusoff Ordinary Resolution 5
5. To consider and, if thought fit, pass the following resolution pursuant to section Ordinary Resolution 6
129(6) of the Companies Act, 1965 as ordinary resolution:-
“That pursuant to Section 129(6) of the Companies Act, 1965, YH Dato’ Tan Bing
Hua be and is hereby re-appointed Director of the Company to hold office until the
next Annual General Meeting of the Company”.
6. To approve the payment of Directors' fees for the financial year ended 31 December Ordinary Resolution 7
2015.
7. To re-appoint Messrs McMillan Woods Thomas as auditors for the coming year and Ordinary Resolution 8
to authorise the Directors to fix their remuneration.
As Special Business
To consider and, if thought fit, to pass the following resolution:-
8. Proposed Renewal of Shareholders' Mandate In Respect of Recurrent Related Party Ordinary Resolution 9
Transactions of a Revenue or Trading Nature
"That the mandate granted by the shareholders of the Company on 10 June 2015
pursuant to paragraph 10.09 of the Listing Requirements of Bursa Malaysia
Securities Berhad, authorising the Company to enter into recurrent transactions of a
revenue nature as set in paragraph 2.1 of the Circular to Shareholders dated 25 April
2016 ("Circular") with the related parties mentioned therein which are necessary for
the Company's day to day operations, be and is hereby renewed.

Annual Report 2015 3
Notice of Annual General Meeting
That the Company is hereby authorised to enter into the recurrent transactions with
the related parties mentioned therein provided that the transactions are in the ordinary
course of business and on normal commercial terms which are not more favourable
to the related parties than those generally available to the public and are not to the
detriment of the minority shareholders of the Company and the Board will seek
shareholders’ approval for the renewal of the proposed Shareholders’ Mandate annually
subject to satisfactory review by the Audit Committee of its continued application to
the interested parties transaction. In this respect, if approved at the forthcoming Annual
General Meeting such mandate shall continue in force until:

a. the conclusion of the next AGM of the Company at which time it will lapse, unless
by a resolution passed at a general meeting, the authority is renewed;
b. the expiration of the period within which the next Annual General Meeting after
that date is required to be held pursuant to Section 143(1) of the Act (but shall not
extend to such extension as may be allowed pursuant to Section 143(2) of the Act);
or
c. revoked or varied by resolution passed by the shareholders in a general meeting,

whichever is earlier and

That the Directors of the Company be and are hereby authorised to complete and do all
such acts and things as they may consider expedient or necessary to give effect to the
transactions contemplated and/or authorised by this resolution."

9. To transact any other ordinary business for which due notice shall have been given.
Notice of Dividend Entitlement And Payment

NOTICE IS HEREBY GIVEN THAT a final single tier dividend of 15 sen per share for the financial year ended
31 December 2015 if approved by the shareholders at the Annual General Meeting will be paid on 29 June 2016
to the shareholders whose names appear in the Record of Depositors of the Company at the close of business on
9 June 2016.
A depositor shall qualify for entitlement to the dividend only in respect of:-
a) Shares deposited into the Depositor’s Securities Account before 12.30 p.m. on 7 June 2016 (in respect of share
which are exempted from mandatory deposit);
b) Shares transferred into Depositor’s Securities Account before 4.00 p.m. on 9 June 2016 (in respect of ordinary
shares); and
c) Shares bought on Bursa Malaysia Securities Berhad on a cum entitlement basis according to the Rules of Bursa
Malaysia Securities Berhad.
By Order of the Board

ASMIN BINTI YAHYA (MIA 10161)
NOOR ANISAH BINTI SABARUDIN (LS 0008153)
Company Secretaries
Kuantan, Pahang
Date: 25 April 2016

Notice of Annual General Meeting
Notes On Proxy
1. Depositors who appear in the Record of Depositors as at 19 May 2016 (which is not less than three (3) market
days before the date of this meeting) shall be regarded as member of the Company entitled to attend at the 42nd
Annual General Meeting or appoint a proxy or proxies to attend and vote on his behalf.
2. A proxy may but need not be a member of the Company and the provisions of Section 149(1)(b) of the Companies
Act, 1965 shall not apply to the Company.
3. To be valid, the duly completed form of proxy must be deposited at the registered office of the Company, Suite
5 & 6, Tingkat 8, Kompleks Teruntum, Jalan Mahkota, 25000 Kuantan, Pahang Darul Makmur, not less than 48
hours before the time for holding the meeting.
4. A member who is an authorised nominee may appoint one (1) proxy in respect of each securities account it holds
with ordinary shares of the Company standing to the credit of the said securities account.
5. A member other than an authorised nominee shall be entitled to appoint not more than two (2) proxies to attend
and vote at the same meeting.
6. Where a member appoints more than one (1) proxy, the appointment shall be invalid unless he/she specifies the
proportions of his/her holdings to be represented by each proxy.
7. If the appointor is a corporation, the form of proxy must be executed under its Common Seal or under the hand
of an officer or attorney duly authorised.
8. Where a member of the Company is an exempt authorised nominee which holds ordinary shares in the Company
for multiples beneficial owners in one (1) securities account (“omnibus account”), there is no limit to the number
of proxies which the exempt authorised nominee may appoint in respect of each omnibus account it holds.
9. Where an authorised nominee appoints two (2) proxies, or where an exempt authorised nominee appoints two
(2) or more proxies, the proportion of shareholdings to be represented by each proxy must be specified in the
instrument appointing the proxies.
Explanatory Notes on
Ordinary Business - Note A

This agenda item is meant for discussion only as the provision of Section 169 (1) of the Companies Act, 1965 does
not require a formal approval by the members and hence, is not put forward for voting.
Special Business
Ordinary Resolution 9
Proposed Renewal of Shareholders’ Mandate For Recurrent Related Party Transactions of A Revenue Nature
This proposed Resolution 9, if passed, will enable the Company to enter into recurrent related party transactions
involving related parties which are of a revenue nature and necessary for the Group’s day-to-day operations,
subject to transactions being carried out in the ordinary course of business and on terms not to the detriment of
the minority shareholders of the Company. For further information, please refer to the Circular to Shareholders’
dated 25 April 2016 accompanying the Company's Annual Report for the financial year ended 31 December 2015.
STATEMENT ACCOMPANYING
NOTICE OF ANNUAL GENERAL MEETING
Names of Retiring Directors:
Article 97 of the Company’s i) Encik Hashim Naina Merican bin Yahaya Merican
Articles of Association ii) Mr Tee Lip Teng
Article 102 of the Company’s i) YH Dato’ Jamaluddin bin Abd Majid

Articles of Association ii) Encik Nik Mohamed Zaki bin Nik Yusoff
Pursuant to Section 129(6) i) YH Dato’ Tan Bing Hua

of the Companies Act, 1965
The details of the abovenamed Directors who are standing for re-election/re-appointment are set out in the
Directors’ profiles (pages 12 to 20 of the Annual Report); while their securities holdings (where applicable) are
set out in the Analysis of Shareholdings – Directors’ Interests in the Company and Related Corporations (page
109 of the Annual Report).
Place, date and time of the 42nd Annual General Meeting:
The 42nd Annual General Meeting of the Company will be held at The Zenith Hotel, Jalan Putra Square 6, 25200
Kuantan, Pahang Darul Makmur on Wednesday, 25 May 2016 at 10.00 a.m.
Details of Attendance of Directors at Board Meetings:
A total of eight (8) Board Meetings were held during the financial year ended 31 December 2015. Details of
attendance of Directors holding office at the end of financial year are as follows:-
Meeting Date
Name Date Appointed
Attendance Resigned/Retired
YH Dato’ Sri Kamaruddin bin Mohammed 8/8 16/08/2002 -
YH Dato’ Wan Bakri bin Wan Ismail 8/8 17/03/2014 -

YH Dato’ Tan Bing Hua 8/8 23/07/2012 -
YH Dato’ Jamaluddin bin Abd Majid 4/4 08/07/2015 -
Mr Tee Kim Tee @ Tee Ching Tee 8/8 16/08/2002 -
Mr Tee Cheng Hua 8/8 16/08/2002 -
En Hashim Naina Merican bin Yahaya Merican 8/8 13/08/2009 -
Mr Tee Lip Teng 8/8 23/07/2012 -

En Nik Mohamed Zaki bin Nik Yusoff 4/4 08/07/2015 -
En Khairul Azahar bin Ariffin 4/4 23/07/2007 10/06/2015
CORPORATE INFORMATION
BOARD OF DIRECTORS
YH Dato’ Sri Kamaruddin bin Mohammed Mr Tee Cheng Hua

Group Executive Chairman Non-Independent, Executive Director
Non-Independent, Executive Director
En Hashim Naina Merican bin Yahaya Merican
YH Dato’ Wan Bakri bin Wan Ismail Independent, Non- Executive Director
Non-Independent, Non-Executive Director (Responsible For Investor Relations)
Tel : 09-514 1936 / 948 / 339
YH Dato’ Tan Bing Hua Fax : 09-513 6211
Independent, Non-Executive Director Email : hashimmerican@fareh.po.my
YH Dato’ Jamaluddin bin Abd Majid Mr Tee Lip Teng

Non-Independent, Non-Executive Director Non-Independent, Non-Executive Director
Mr Tee Kim Tee @ Tee Ching Tee En Nik Mohamed Zaki bin Nik Yusoff
Non-Independent, Non-Executive Director Independent, Non-Executive Director
SENIOR MANAGEMENT TEAM SECRETARIES SHARE REGISTRAR
YH Dato’ Sri Kamaruddin Puan Asmin binti Yahya Symphony Share Registrars Sdn Bhd
bin Mohammed MIA10161 Level 6, Symphony House,
Group Executive Chairman Pusat Dagangan Dana 1,
Puan Noor Anisah Jalan PJU 1A/46,
Mr Tee Cheng Hua binti Sabarudin 47301 Petaling Jaya,
Executive Director, Plantations LS0008153 Selangor Darul Ehsan.
Tel : 03-7849 0777
Puan Asmin binti Yahya Tel : 09-514 1936 / 948 / 339 Fax : 03-7841 8151 / 52
General Manager Fax : 09-513 6211 Email : ssr.helpdesk@symphony.com.my
Website : www.fehb.com.my
Encik Adnan bin Mustafa Email : fareast@fareh.po.my
MAJOR BANKERS
Senior Regional Manager, Zone A
STOCK EXCHANGE LISTING CIMB Bank Berhad
Encik Nazaruddin bin Hasim
Lot G-01, Kompleks Teruntum,
Senior Regional Manager, Zone B
Bursa Malaysia Securities Jalan Mahkota, 25000 Kuantan,
Berhad Main Market Pahang Darul Makmur.
Tuan Haji Ahmad Ghazalli (Listing Date: 31.01.1991)
bin Johari CIMB Bank Berhad
Senior Manager, A1, Lorong Tun Ismail 9,
Estate Management REGISTERED ADDRESS Sri Dagangan 2, 25000 Kuantan,
Pahang Darul Makmur.
Puan Noor Anisah Suite 5 & 6, Tingkat 8,
binti Sabarudin Kompleks Teruntum, Bank Islam (Malaysia) Berhad
Manager, Secretarial Jalan Mahkota, No G-05, G-06 & G-07 (Ground Floor)
& Corporate Affairs 25000 Kuantan, & No 1-05, 1-06 & 1-07 (First Floor)
Pahang Darul Makmur. Mahkota Square,
Encik Zahari bin Jaafar Tel : 09-514 1936 / 948 / 339 Jalan Mahkota,
Manager, Internal Audit Fax : 09-513 6211 25000 Kuantan,
Website : www.fehb.com.my Pahang Darul Makmur.
Puan Rosliha binti Husin Email : fareast@fareh.po.my
Manager, Finance
LOCATION OF OPERATIONS
• Kangar
PERLIS
• Alor Setar
KEDAH • Kota Bharu
PENANG
KELANTAN
• Georgetown
• Kuala Terengganu
PERAK
• Ipoh TERENGGANU
PAHANG 1
2
5
9
3 C
SELANGOR A
7 E
10
• Shah Alam B
8 11
12
F • Seremban 13
NEGERI
SEMBILAN D
6
LEGEND
MELAKA
Location of Estates • Malacca
1 Sg Batu
2 Sg Rasau JOHOR
3 Bukit Jin
4 Cempaka
5 Kampong Aur
6 Dawn Location of Palm Oil Mills / • Johor Baharu
7 Bukit Serok Biodiesel Plant
8 Sungai Seraya
A Kilang Kosfarm Sdn Bhd
9 Chengal
B Kilang Sawira Makmur Sdn Bhd
10 Sg Gayung
C Wujud Wawasan Sdn Bhd
11 Sg Marung
D Endau Palm Oil Mill Sdn Bhd
12 Delima
E Rompin Palm Oil Mill Sdn Bhd
13 Rangkaian
F Future Prelude Sdn Bhd
CORPORATE STRUCTURE
Far East Holdings Berhad

(14809-W)
100% 100% 100% 100%

* RM1,800,150 * RM1,800,150 * RM2 * RM200,000
B.S. Oil Palm Dawn Oil Palm Spectacular Potential Inai Prisma
Plantations Sdn. Bhd. Plantations Sdn. Bhd. Sdn. Bhd. Sdn. Bhd.
82.84% 70% 80% 51%

* RM47,000,000 * RM2,000,000 * RM1,000,000 * RM10,000,000 49%
Kampong Aur Oil F.E. Rangkaian Far East Delima Kilang Kosfarm
Palm Company Sdn. Bhd. Plantations Sdn. Bhd.
(Sdn.) Berhad Sdn. Bhd.
100% 51% 45% 30%

* RM25,000,002 * RM1,500,000 * RM100,000 * RM100,000
Madah Perkasa Wujud Wawasan Jaspurna Holdings PGC Mgt Services
Sdn. Bhd. Sdn. Bhd. Sdn. Bhd. Sdn. Bhd.
47.17% 36.29% 40% 70%

* RM110,021,710 * RM17,500,000 * RM50,000,000 * RM4,000,000
Future Prelude Business & Budget Prosper Palm Oil Kilang Sawira
Sdn. Bhd. Hotels (Kuantan) Mill Sdn. Berhad Makmur Sdn. Bhd.
Sdn. Bhd.
* Paid up share capital

ESTATE STRUCTURE

(14809-W)
BUKIT JIN CHENGAL

En Mohamad Zulkefli
Tn Dr Zulkifli bin Abdullah
bin Mohamed Ali
SG. SERAYA
En Muhammad Uzairi
bin Abdul Rahim
SG. RASAU SG. BATU
En Mohd Rasul bin Ghazali En Mohd Rasul bin Ghazali
DAWN OIL PALM B.S. OIL PALM KAMPONG AUR OIL PALM
PLANTATIONS SDN. BHD. PLANTATIONS SDN. BHD. COMPANY (SDN.) BERHAD
DAWN BUKIT SEROK KAMPONG AUR

En Ahmad Khayrul Azmir
En Mohd Rushdan bin Mashar bin Abdullah En Romeli bin Mohamad
CEMPAKA MADAH PERKASA

SDN. BHD.
En Mohd Rushdan bin Mashar
SG. GAYUNG SG. MARUNG
En Razlan bin Muhammad En Madrizam bin Jaafar
F.E. RANGKAIAN FAR EAST DELIMA

SDN. BHD. PLANTATIONS SDN. BHD.
RANGKAIAN DELIMA
En Yusri bin Bidin En Musa bin Abdul Halim
BOARD OF DIRECTORS
Mr Tee Kim Tee YH Dato’ Sri Kamaruddin

@ Tee Ching Tee bin Mohammed
Non-Independent, Group Executive Chairman
Non-Executive Director Non-Independent, Executive Director
YH Dato’ Jamaluddin YH Dato’ Tan Bing Hua En Nik Mohamed Zaki

bin Abd Majid Independent, bin Nik Yusoff
Non-Independent, Non-Executive Director Independent,
Non-Executive Director Non-Executive Director
Board of Directors
YH Dato’ Wan Bakri

Mr Tee Lip Teng bin Wan Ismail En Hashim Naina Merican
Non-Independent, Non-Independent, bin Yahaya Merican
Non-Executive Director Non-Executive Director Independent,
Non- Executive Director
Mr Tee Cheng Hua
Non-Independent,
Executive Director
DIRECTORS’ PROFILE
YH Dato’ Sri Age

Kamaruddin bin 68
Mohammed Nationality
SSAP, DSAP, DIMP,
SF Fin (Aust) Malaysian
Qualification
• A Business graduate from MARA College (UiTM).
• Professional graduate in Investment Analysis from the Securities Institute of
Australia, Sydney, Australia in 1972.
• A Fellow Member of The Securities Institute of Australia (FSIA).
• Management graduate from the Asian Institute of Management, Manila,
Philippines.
• A Senior Fellow of the Financial Services Institute of Australasia (SF Fin).
Position on the FEHB Board

• Group Executive Chairman
• Non-Independent Executive Director
Date first appointment to the FEHB Board

16 August 2002
Membership of FEHB Board Committees

Chairman of Remuneration Committee
Working experience
• Vast experience in Investment Management, Finance & Corporate Restructuring
and Management. Worked over 40 years in ASMB (now Pelaburan MARA Berhad
- PMB)
• Group Managing Director of ASMB (PMB) from December 1995 until April
2008.
• Deputy Chairman cum Advisor of ASMB (PMB) from May 2008 to 30 April
2010.
Any other directorships in public companies

• Pascorp Paper Industries Berhad
• Amanah Saham Pahang Berhad
Securities holdings in FEHB and subsidiaries

• Direct - 2,700,000
• Indirect - 600,000
Any family relationship with Director and/or Major Shareholder of FEHB or its
subsidiaries
Nil
List of conviction for offences within the past 10 years other than traffic offences, if any
Nil
Number of FEHB Board Meetings attended in the financial year

All eight meetings
Directors’ Profile
YH Dato’ Age
Wan Bakri bin 62
Wan Ismail Nationality
DSAP, DIMP, AMP, PKT
Malaysian
Qualification
Bachelor of Social Science (Hons) majoring in Political Science from University
Science Malaysia in 1994.

Non-Independent Non-Executive Director

17 March 2014

None
Working experience
• Started his career with Lembaga Kemajuan Perusahaan Pertanian Negeri Pahang
(“LKPP”) in 1969.
• He sits on the Board of Tanah Makmur Berhad and in a few private limited
companies.
• He is currently the General Manager of LKPP.

• Tanah Makmur Berhad
• Astral Asia Berhad

Nil
subsidiaries
Nil
Nil

All eight meetings
YH Dato’ Age
Tan Bing Hua 72
DIMP
Nationality
Malaysian
Qualification
• B.A (Hons) degree from the University of Malaya.
• LL.B (Hons) degree from the University of London.
• Barrister-at-Law from Lincoln’s Inn, England.

Independent Non-Executive Director

23 July 2012

• Chairman of Nomination Committee
• Member of Audit Committee
Working experience
• Started his career with Bank Negara Malaysia from 1969 to 1982.
• He practised law at Amin-Tan & Co in Kuala Lumpur from 1987 to 2012.

Hua Yang Berhad

Indirect - 44,000
subsidiaries
Nil
Nil

All eight meetings
YH Dato’ Age
Jamaluddin bin 62
Abd Majid Nationality
DPSK, DSAP, DIMP, PSPP,
JMN, SMS Malaysian
Qualification
• Bachelor of Mass Communication at Mara Institute of Technology
• Post Graduate Diploma in Human Resources at University Kebangsaan Malaysia.


8 July 2015

Member of Audit Committee
Working experience
He served with the Royal Malaysia Police Force from 1975 in various departments
until his retirement in 2014, the last post held being Deputy Chief Police Officer of
Pahang.

KOP Mantap Berhad

Nil
subsidiaries
Nil
Nil

Four out of eight board meetings
(since his appointment as Director)
Mr Tee Kim Tee Age

@ Tee Ching Tee 68
Nationality
Malaysian


16 August 2002

• Member of Remuneration Committee
• Member of Nomination Committee
Working experience
• Started his career 45 years ago as an estate contractor and FFB dealer.
• He has been involved in palm oil plantations management, palm oil milling and
refinery business both as an owner as well as operator over the last 40 years.
• Vast experience in managing palm oil estates.

Nil

Direct - 4,755,900
subsidiaries
He is the elder brother of Mr Tee Cheng Hua and an uncle of Mr Tee Lip Teng.
Nil

All eight meetings
Mr Tee Cheng Hua Age

62
Nationality
Malaysian
Qualification
Bachelor of Mechanical Engineering from University Technology Malaysia.

Non Independent Executive Director

16 August 2002

None
Working experience
• Engineer with Highlands and Lowlands Bhd.
• Mill Manager/Engineer with Kulim (M) Bhd.
• He is at present the Executive Director of Prosper Group of Companies.

Nil

Direct - 2,124,000
subsidiaries
He is the younger brother of Mr Tee Kim Tee @ Tee Ching Tee and the father of Mr
Tee Lip Teng.
Nil

All eight meetings
Encik Age
Hashim Naina 65
Merican bin Nationality
Yahaya Merican Malaysian
Qualification
• He graduated from Mara Institute of Technology after successfully completing
the professional examinations of the Association of Certified Accountants (UK)
in 1974.
• He is also a member of the Malaysian Institute of Accountants.


13 August 2009

• Chairman of Audit Committee
• Member of Nomination Committee
Working experience
• He started his career as an auditor in 1974 at Price WaterhouseCoopers (formerly
known as Coopers & Lybrand).
• He joined Malaysian Oxygen Berhad in 1977 as Internal Auditor.
• He served as Administrative Manager at Hewlett Packard Sales Malaysia Sdn Bhd
from 1979 to 1987.
• He joined Rashid Hussein Securities Sdn Bhd as a Dealer Representative in 1987.
• Currently he is a Dealer Representative with TA Securities Holdings.

Nil

Direct - 10,000
subsidiaries
Nil
Nil

All eight meetings
Mr Tee Lip Teng Age

32
Nationality
Malaysian
Qualification
Master of Electronic and Electrical Engineering from University College London,
United Kingdom.


23 July 2012

Member of Remuneration Committee
Working experience
• Electrical Engineer with Hoare Lea, United Kingdom.
• Director, Marketing & Business Development of Prosper Group since 2011.
• Currently he is also the Director of Prosper Palm Oil Product Marketing Sdn Bhd.
• He is also the Executive Director for Future Prelude Sdn Bhd.
• EXCO member of Malaysian Biodiesel Association (“MBA”) since 2015.

Nil

Direct - 300,000
subsidiaries
He is the son of Mr Tee Cheng Hua and a nephew of Mr Tee Kim Tee @ Tee Ching
Tee.
Nil

All eight meetings
Encik Age
Nik Mohamed Zaki 52
bin Nik Yusoff Nationality
Malaysian
Qualification
Bachelor of Commerce (Honours) from Carleton University Ottawa, Canada in 1985.


8 July 2015

Member of Audit Committee
Working experience
• Started his career in 1986 in the banking sector at Pacific Bank Berhad and joined
Affin Bank Bhd in1989.
• He later furthered his career at Affin Hwang Investment Bank Bhd as Manager
Corporate Banking in 1990 until 1994.
• He was the Group Chief Executive Officer of Pelaburan Mara Bhd (“PMB”) from
2008 to 2013 and also previously served as the Chief Executive Officer of the
Group’s Unit Trust and Fund Management i.e. a subsidiary PMB Investment Bhd.
He remains as a Board member and investment committee member todate.
• He is also attached to shariah based private equity firm Musharaka Venture
Management Sdn Bhd on an advisory basis and serves on the Board of certain
investee companies of Musharaka.

PMB Investment Berhad

Nil
subsidiaries
Nil
Nil

Four out of eight board meetings
(since his appointment as Director)
SENIOR MANAGEMENT
Seated (Left to Right): Standing (Left to Right):
Puan Asmin binti Yahya Puan Rosliha binti Husin

General Manager Manager, Finance
YH Dato Sri’ Kamaruddin bin Mohammed Encik Zahari bin Jaafar

Group Executive Chairman Manager, Internal Audit
Mr Tee Cheng Hua Tuan Haji Ahmad Ghazalli bin Johari

Executive Director, Plantations Senior Manager, Estate Management
Encik Nazaruddin bin Hasim Encik Adnan bin Mustafa

Senior Regional Manager, Zone B Senior Regional Manager, Zone A
Puan Noor Anisah binti Sabarudin

Manager, Secretarial & Corporate Affairs
FINANCIAL CALENDAR
FINANCIAL YEAR END
31 December 2015
ANNOUNCEMENT OF FINANCIAL RESULTS
First Quarter
15 May 2015
Fourth Quarter
23 Feb 2016 FY'15 Second Quarter
19 Aug 2015
Third Quarter
25 Nov 2015
PUBLISHED ANNUAL REPORT AND FINANCIAL STATEMENTS
25 April 2016 25 May 2016 (10.00 a.m.)

Notice of Annual General Meeting Annual General Meeting
DIVIDENDS
INTERIM FINAL
Book Closure Announcement Date 25 November 2015 26 April 2016
Entitlement Date 23 December 2015 9 June 2016
Payment Date 15 January 2016 29 June 2016
GROUP FINANCIAL SUMMARY
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION AS AT 31 DECEMBER
2015 2014 2013 2012 2011

RM’000 RM’000 RM’000 RM’000 RM’000
Capital And Reserves
Share Capital 141,390 141,390 141,390 141,390 139,779

Non-Distributable Reserves 450,832 351,685 354,684 357,684 351,357
Retained Earnings 645,631 612,984 552,612 514,288 470,656
Shareholders’ Equity 1,237,853 1,106,059 1,048,686 1,013,362 961,792
Non-Controlling interests 77,375 70,297 70,157 67,909 66,636
1,315,228 1,176,356 1,118,843 1,081,271 1,028,428

Non Current Assets
Property, Plant And Equipment 839,517 690,147 686,592 682,739 679,919
Land Held For Disposal 22,413 22,413 29,263 29,263 29,263
Associates 320,583 306,216 292,137 276,292 226,717
Investment 3,000 - - - -
Others Financial Assets - - - - 41,481
1,185,513 1,018,776 1,007,992 988,294 977,380

Current Assets 339,922 316,645 289,272 272,096 227,352
Current Liabilities 43,992 29,679 50,071 51,246 49,711
Net Current Assets 295,930 286,966 239,201 220,850 177,641

Non-Current Liabilities
Hire Purchase 58 - - - -
Deferred Tax Liabilities 166,157 129,386 128,350 127,873 126,593
1,315,228 1,176,356 1,118,843 1,081,271 1,028,428
CONSOLIDATED STATEMENTS OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 DECEMBER
2015 2014 2013 2012 2011

RM’000 RM’000 RM’000 RM’000 RM’000
Revenue 327,736 428,343 439,781 452,362 479,254
Profit Before Tax 102,354 129,241 108,706 121,702 156,162
Profit After Tax 80,652 104,254 85,371 93,307 129,740
HIGHLIGHTS AS AT 31 DECEMBER
2015 2014 2013 2012 2011

Earnings Per Share (Sen) 50.41 65.87 52.19 59.69 86.95
Net Tangible Asset Per Share (RM) 8.75 7.82 7.42 7.17 6.88
Current Ratio (Times) 7.73 10.67 5.78 5.31 4.57
Pre-Tax Profit As a Percentage of Sales (%) 31.23 30.17 24.72 26.90 32.58
Pre-Tax Profit As a Percentage 8.27 11.69 10.37 12.01 16.24
of Shareholders’ Equity (%)
DIVIDENDS DECLARED AND DIVIDEND PAYOUT FOR THE FINANCIAL YEAR ENDED 31
DECEMBER
2015 2014 2013 2012 2011

Gross dividend (Sen) 25.00 30.00 25.00 25.00 40.00
Dividend payout ratio 50% 45% 48% 42% 46%
Group Financial Summary
TOTAL ASSETS, LIABILITIES & EQUITIES

2015 2014
Total Assets RM'000 RM'000
Property, Plant and Equipment 839,517 690,147
Land Held for Disposal 22,413 22,413
Associates 320,583 306,216
Inventories 5,290 5,431
Receivables 58,628 78,693
Deposits, bank and cash 276,004 232,520
Investment 3,000 -
55%
52%
2015 2014
0% 0%
0% 2%
2% 6%
4% 17%
18% 23%
21%
2015 2014
Total Liabilities & Equities RM'000 RM'000
Share Capital 141,390 141,390
Non-Distributable Reserves 450,832 351,685
Retained Earnings 645,631 612,984
Non-Controlling Interest 77,375 70,297
Payables 29,853 29,679
Deferred Tax Liabilities 166,157 129,386
Dividend Payable 14,139 -
Hire Purchase Creditor 58 -
42% 46%
2015 2014
0% 0%
1% 0%
2% 2%
5% 5%
9% 11%
11% 10%
30% 26%
PLANTATION MATRIX
2015 2014 2013 2012 2011

Mature Area Hectare 18,512 18,106 16,927 16,218 15,049
Total Planted Area Hectare 21,373 21,239 20,768 19,593 19,592
FFB Production Mt 368,964 345,268 339,502 316,153 274,032
FFB Yield Mt/ha 19.93 19.07 20.06 19.49 18.21
OER % 18.86 19.11 18.72 18.89 18.78
CPO Yield Mt/ha 3.76 3.64 3.75 3.68 3.42
CPO Price (Average) RM/mt 2,172 2,413 2,375 3,017 3,118
Kernel Recovery Revenue RM/mt 410 433 354 398 546
CPO Production Cost (Ex-estate) RM/mt 954 929 963 1,077 950
CPO Production Cost RM/mt 1,331 1,306 1,347 1,487 1,410
(Exclude Replanting Cost)
Profit from CPO & RM/mt 4,688 5,664 5,417 7,065 7,812
Kernel/Mature Hectare
Profit Before Tax (RMʼ000) Revenue (RMʼ000)
200 500
400
150
300
100
200
50
102,354
129,241
108,706
121,702
156,162
327,736
428,343
439,781
452,362
479,254
100
0 0
2015 2014 2013 2012 2011 2015 2014 2013 2012 2011
FFB Production (mt) CPO Price (Average) (RM/mt)
400 3,500
350 3,000
300 2,500
250 2,000
200 1,500
150 1,000
368,964
345,268
339,502
316,153
274,032
2,172
2,413
2,375
3,017
3,118
100 500
0 0
2015 2014 2013 2012 2011 2015 2014 2013 2012 2011
GROUP EXECUTIVE CHAIRMANʼS STATEMENT
On behalf of the Board of Directors, it is my pleasure to present the Annual

Report for the financial year ended 31 December 2015. Despite challenging
economic conditions, especially in the volatile palm oil prices, the Group
managed to produce another set of encouraging results.
Group Executive Chairmanʼs Statement
FINANCIAL PERFORMANCE
The Group’s revenue was down by 23% from RM428.34 million in 2014 to RM327.74 million in 2015 as a result
of lower CPO and PK prices. The average CPO and PK prices achieved during the year were RM2,172 per mt and
RM1,626 per mt respectively (2014: Average CPO price of RM2,413 per mt and PK price of RM1,737 per mt). The
Group registered a profit before tax of RM102.35 million, a decline of 21% compared with the previous year of
RM129.24 million. Correspondingly, the Group’s earnings per share for the year under review reduced by 23% to
50.41 sen from 65.87 sen registered in the previous year.
The Group is well positioned for growth. The shareholders’ fund increased from RM1.11 billion to RM1.24 billion
with the net tangible asset per share increased by 93 sen to RM8.75 from RM7.82 in 2014. Our total assets and
liabilities stood at RM1.53 billion and RM210.21 million respectively in 2015 with total market capitalisation at
RM1.07 billion.
GROUP OPERATIONS HIGHLIGHTS
The Group recorded higher production of FFB at 368,964 metric tonnes, an increase of 7% when
compared to 345,268 metric tonnes produced in 2014. The total plantation area for the year
under review was 21,373 hectares, whilst the matured area for the year under review was 18,512
hectares against the previous year of 18,106 hectares.
The Group achieved a FFB yield of 19.93 metric tonnes per hectare in 2015 compared to 19.07
metric tonnes per hectare in 2014. The Group’s full year performance was significantly impacted
by the tough operating conditions in 2015. The Group’s revenue was adversely impacted by the
drastic fluctuation of commodity prices, while the prolonged dry spell in early 2014 severely
impacted the production throughout all its estates.
The Group recorded an Oil Extraction Rate (“OER”) of 18.86% and Kernel Extraction Rate
("KER") of 4.87% for 2015 compared to 19.11% and 4.88% respectively for 2014. Lower
OER achieved in 2015 compared to the preceding year due to newly young palms coming into
maturity. The Company will continue to focus on improving the yield per hectare, oil extraction
rates and labour productivity in view of rising wages and higher production cost envisage in the
coming years.
On the milling business, Kilang Kosfarm Sdn Bhd and its subsidiary Wujud Wawasan Sdn Bhd
managed to process 434,200 metric tonnes of FFB which was 9% higher compared to 400,040
metric tonnes FFB processed in the preceding year. The total CPO produced in 2015 increased
by 7% to 86,659 metric tonnes, while the production of PK recorded an increase of 5% to
23,710 metric tonnes. On average, the mills achieved an OER and KER of 19.96% and 5.46%
respectively (2014: OER of 20.22% and KER of 5.64%).
Hectarage Profile
5,694 Ha
Old Palms (19 years and above)
9,818 Ha
Prime Palms (7-18 years)
21,373 Ha
394 Ha
Land Preparation
2,467 Ha
Immature Palms (1-3 years)
3,000 Ha
Young Palms (4-6 years)
DIVIDENDS
The Board of Directors remains committed to rewarding our valued

shareholders with good returns on their investments. Although it has
been a particularly challenging year, the Group continues to manage
its capital in a proactive manner to enhance value to shareholders.
For the financial year ended 31 December 2015, an interim single

tier dividend of ten (10) sen per share was paid on 15 January
2016. The Board of Directors is pleased to recommend for your
approval, a final single tier dividend of fifteen (15) sen per share
at the forthcoming Annual General Meeting. If approved, the total
dividend paid for financial year 2015 would be 25 sen per share.
This brings the total payout for the period under review of RM35.35
million, or a net dividend payout ratio of 50%.
The Group retains sufficient cash for the development planned over
the next few years, as well as ensure the sustainability of dividend
payments during our phase of growth.
CORPORATE GOVERNANCE AND STATEMENT OF RISK MANAGEMENT AND

INTERNAL CONTROL
Our aim of delivering sustainable value is guided by In discharging its responsibilities, the Board is fully
our continued focus on Corporate Governance. The committed to maintaining sound risk management and
Statements on Corporate Governance and Statement of internal control systems and reviewing its adequacy,
Risk Management and Internal Control are included in integrity and effectiveness to safeguard shareholders’
our Annual Report to affirm the Board’s commitment investments and the Group’s assets. This is embedded in
to ensure that the best possible standards of Corporate the Group’s Risk Management Framework and internal
Governance are practiced throughout the Group. The control system that is further described in the Statement
statements had been approved by the Board in the on Risk Management and Internal Control.
meeting dated 23 March 2016 for disclosure in the
Annual Report.
SUSTAINABILITY
The Group commits to fostering a sustainability In addition to the above, the Group’s sustainability
culture in the Group, upholds human and community pursuit also extends to its effort to have its oil palm
rights and promotes a safe, healthy and harmonious milling operation namely Kilang Kosfarm Sdn Bhd to
working environment for all employees. Although the achieve lower emission of greenhouse gas through its
agricultural sector has evolved tremendously over the methane capture project.
last few decades, it continues to be labour-intensive.
In recognition of the critical role that our plantation The Group estates namely Sg Seraya estate, Bukit Serok
workers play in our operations, we make conscious estate, Cempaka estate, Dawn estate, Kampong Aur
efforts to provide the most conducive and safe working estate and our associate company, Future Prelude Sdn
environment for them while enhancing their well- Bhd have been certified under the ISCC (“International
being. To create greater value in our plantations, we Sustainability and Carbon Certification”). This
have been investing in sophisticated technologies and demonstrates that biomass and bioenergy from our
machineries, systems and processes to increase our estates and refineries are produced in accordance to the
yields in the most cost efficient manner. European and German sustainability legislation.
As evidence of your Group’s commitment towards The Group will endeavor to expand its plantation
sustainable business practices, we have embarked on hectarage by acquiring land not only in Malaysia, but
getting our operations certified under the Malaysian also beyond its shores.
Palm Oil Board Code of Practices. Currently, the
Group’s mill, Kilang Kosfarm Sdn Bhd and two of our
estates namely Bukit Serok and Kampong Aur estates
and our oil palm nursery had been awarded with
Certificate of Compliance to the Malaysian Palm Oil
Board Code of Practices.
CORPORATE SOCIAL RESPONSIBILITY
While FEHB takes firm steps in ensuring sustainable growth in our oil palm
plantations, we also strive to maintain our social responsibilities towards
society at large especially those surrounding our estates as well as to our
employees and will continue to remain committed in our efforts to institute
programmes that will protect the environment. We practice sustainable
methods of palm oil production and constantly improved our agriculture
practices to protect and preserve the biodiversity of our surrounding
environment. This is not only to fulfill ethical obligation but build the
Group’s reputation and eventually creates long term value.
FEHB Group recognised that continuous training for the development of

its employees are paramount to strengthen the foundation of its business. To
enhance management skills and knowledge, training programmes are conducted
internally as well as by external parties and are scheduled regularly for executives and
managers. We also took a proactive approach by providing opportunities for our employees
to obtain professional and nationally recognized qualifications in order to enhance their knowledge and advancement
in their career paths.
During the year, the Group organised and participated in various programmes for the benefit of the community in
the various estates and townships such as yearly Ramadhan events, festive celebrations and making contributions to
the needy and also to the flood victims in Pahang.
We build the infrastructures required to support a healthy and comfortable life within our estates. We took steps to
improve the welfare of our employees and workers. We offer employment opportunities to members of the local
communities to be gainfully employed in our estates.
PROSPECTS ACKNOWLEDGEMENTS
The Malaysian economy will continue to grow at a On behalf of the Board, I wish to take this opportunity to
moderate pace and mainly supported by domestic welcome the appointments of YH Dato’ Jamaluddin bin
demand. The plantation industry will continue to face Abd Majid and En Nik Mohamed Zaki bin Nik Yusoff to
challenges in the forms of fluctuating prices, increasing the Board of Directors effective 8 July 2015.
costs, manpower shortages and unpredictable weather
conditions. Nevertheless, with robust demand for food I would like to express my sincere and heartfelt thanks
from the vegetable oils industry, the Group is expected to our valued customers, associates and the relevant
to remain responsive to these challenges and continue to government authorities especially to the government
prosper in times to come. of the State of Pahang for their assistance, support and
guidance that are so essential for the growth of the
CPO prices, in particular are currently facing downward Group.
pressure due to uncertainty economic global growth as
well as declining crude oil and other edible oil prices. My sincere appreciation is also directed to all our
As proven in the past, the price of commodities, CPO employees for their positive efforts in building a strong
included, is volatile given the interplay of various supply team and to our shareholders for their continued faith
and demand factors from weather patterns to the prices and endorsement. Our two (2) major shareholders,
of competing oils such as soybean and rapeseed, and the i.e. LKPP Group and the Prosper Group have shown
price of fuel which directly impacts sales of CPO as well their unwavering commitment, support and confidence
as biodiesel sector. towards your Company.
The Group will continue to rely on its experience to Last but not least, my personal thanks to my fellow
pursue cost efficiency and higher productivity in its colleagues on the Board for their invaluable views,
plantation operations. The Group also expects positive insights and resolute support. We hold the responsibility
growth prospects not only from its plantation operations that all our esteemed shareholders have entrusted to us in
but also from the milling and biodiesel operations via high regards. We shall continue to deliver an even better
its subsidiary and associates holdings. Given these results, hopefully in 2016. We shall steer the Group in
positive macro factors, the Group expects its overall
pursuit of excellence and to scale greater heights.
operating performance for year 2016 to be challenging
but encouraging.
DATO’ SRI KAMARUDDIN BIN MOHAMMED

Group Executive Chairman
MANAGEMENT’S DISCUSSION AND ANALYSIS
Far East Holdings Berhad (“FEHB” (i) Lower average Crude Palm Oil (“CPO”) and
or “the Group”) was incorporated on 6 Palm Kernel (“PK”) prices. CPO and PK prices
were realised at an average price of RM2,172
August 1973. The principal activities
per metric tonne and RM1,626 per metric tonne
of the Company are cultivation of oil respectively in year 2015 (2014: Average CPO
palms, productions and sales of fresh price of RM2,413 per metric tonne and average
fruit bunches, crude palm oil and palm PK price of RM1,737 per metric tonne). The
kernel and investment holdings. The average CPO and PK prices dropped by 10%
principal activities of the subsidiaries of and 6% respectively as compared to the average
the Group consist of oil palm plantations prices for the year 2014.
and palm oil mill. The estates and mills
(ii) Lower contribution from the share of profits from
of the Group are shown in page 7. associated companies by RM0.90 million (5%).
GROUP FINANCIAL REVIEW (iii) Lower other income by RM10.58 million as

compared to the financial year 2014. There
The Group managed to record encouraging results in was a gain on disposal of part of Bandar Indera
the financial year 2015 despite it being a challenging Mahkota Land of RM9.34 million which was
year. The Group’s revenue for financial year 2015 has recognised in year 2014.
declined by 23% to RM327.74 million compared to
RM428.34 million registered in 2014. The profit before Breakdown of the profit before taxation is shown
tax of the Group for the year under review decreased below:-
by 21% to RM102.35 million from RM129.24 million
registered in the preceding financial year ended 31 2015 2014
December 2014. RM’000 RM’000
Profit from plantation operation 66,221 82,216
Profit from milling operation 6,974 6,428
PROFIT BEFORE TAXATION Share of profits from 17,810 18,712
associated companies
Profit before taxation decreased by 21% to RM102.35
Other income 4,998 15,582
million from RM129.24 million registered in the
Finance income 6,351 6,303
preceding financial year ended 31 December 2014.
Lower profit before taxation was due to the followings:- Profit before taxation 102,354 129,241
Management’s Discussion and Analysis
PLANTATION OPERATIONS
The profit from plantations operations reported lower

operating profits of RM66.22 million for the financial
year 2015 which was lower than RM82.22 million
reported for the preceding financial year. The fall in
the profit from plantations operations was primarily
attributed to lower CPO and PK prices.
For the financial year under review, the average cost of

FFB increased by 2% to RM180 per metric tonne (ex-
estate) whilst CPO cost was recorded at RM1,331 per
metric tonne (ex-mill). Production cost was increased
in line with the increase in fertilizer prices and FFB
processing cost.
As at 31 December 2015, the Group’s total plantation

area stood at 21,373 hectares, all of which are located
in Pahang. The Group has thirteen (13) estates namely,
Bukit Jin Estate, Sungai Seraya Estate, Sungai Rasau
Estate, Sungai Batu Estate, Chengal Estate, Bukit
Serok Estate, Dawn Estate, Cempaka Estate, Kampong
Aur Estate, Sungai Gayung Estate, Sungai Marung
Estate, Delima Estate and Rangkaian Estate.
The plantation industry for the year 2015 has been
The age profile of the developed areas is shown below:- characterized as challenging due to fluctuations of
average CPO price coupled with weather abnormalities.
Particulars Hectare %
> 19 years (old palms) 5,694 27 Fresh Fruit Bunches (“FFB”) production for the year
7 - 18 years (prime palms) 9,818 46 ended 31 December 2015 was 368,964 metric tonnes,
4 - 6 years (young palms) 3,000 14 which was higher by 23,694 metric tonnes (7%) when
1 - 3 years (immature palms) 2,467 11 compared to the year 2014, which was 345,268 metric
Land preparation 394 2 tonnes. The average yield per hectare was 19.93 metric
tonnes when compared to 19.07 metric tonnes achieved
Total 21,373 100 in 2014.
Higher FFB production for the year 2015 was due

5,694 Ha
to more young planted areas coming into maturity
Old Palms covering 406 hectares for Chengal, Bukit Serok,
Kampong Aur and Dawn estates. This resulted in
9,818 Ha higher FFB yield per hectare of 19.93 metric tonne per
Prime Palms
hectare in 2015 compared to 19.07 metric tonnes per
Hectarage Profile hectare in 2014.
21,373 Ha
The Group recorded an Oil Extraction Rate (“OER”)
Land Preparation 394 Ha
2,467 Ha
of 18.86% and Kernel Extraction Rate (“KER”) of
Immature Palms 4.87% for year 2015 compared to 19.11% and 4.88%
3,000 Ha
Young Palms
respectively for year 2014. The Group will focus on
improving the existing OER and as well as labour
productivity.
Despite facing tough operating conditions due to weak

crude oil prices and unfavorable weather conditions,
we remain focused in pursuing our development
strategies. We have been aggressively optimizing the
average age of our plantations with new developed
areas and focusing on our replanting activities, which
we should be able to realize the full potential of our
enlarged land bank in years to come.
The yield of oil palms depend on other factors such as

soil and climatic conditions, the quality of plantation
management, and harvesting and processing of the
FFB at the optimum time. In this respect, hands-on
management, proactive attitude and attention to detail
have contributed to higher productivity. In addition, we
have a team of agronomists to conduct various analysis
and studies with the objective of ensuring quality
palms and fruits, including studies on oil palm nutrient
status, palm appearance, ground conditions, pests and
diseases affecting the palms and pruning methods to
ensure the best practices for sustainable agriculture are
practiced by FEHB.
The Group adopts proper frond stacking, planting

of legume cover crops, implementing no blanket
spraying and adopting an agronomic based fertiliser
recommendation programme. The Group’s fertiliser
programme is recommended by a qualified agronomist
based on a thorough analysis of leaf nutrient contents,
yield-gap profiling and field observations.
The Group continues to embrace and implement integrated

pest management practices. It involves a combination
of different pest management techniques including an
effective pest census and surveillance system to maintain
the pest population below the acceptable thresholds while
minimising the pesticide usage.
MILLING OPERATIONS
Profits from milling operations were generated from Kilang Kosfarm Sdn Bhd and Wujud Wawasan Sdn Bhd.
In 2015, the total CPO produced by the mills reached 86,659 metric tonnes representing an increase of 7% over
2014’s 80,957 metric tonnes. Similarly the total PK produced increased by 5% at 23,710 metric tonnes (2014:
22,605 metric tonnes). This was in line with the higher FFB processed by the Group of 434,200 tonnes for the
year under review (2014: 400,040 tonnes).
In terms of oil and kernel extraction rates, the Group’s OER decreased to 19.96% in 2015 as compared to 20.22%
in 2014, while KER also decreased slightly to 5.46% in 2015 from 5.64% previously. Our crude palm oil and
palm kernel extraction rates were lower as compared to previous year due to inclement weather which affected
the production of quality FFB.
Good milling practices are constantly being implemented with the aim to improve productivity and efficiency.
SHARE OF PROFITS FROM ASSOCIATED COMPANIES
Share of profits from associated companies were mainly contributions from Prosper Palm Oil Mill Sdn Bhd and
Future Prelude Sdn Bhd. Contribution from associates also declined by 5% from RM18.71 million in year 2014
to RM17.81 million in year 2015.
OTHER INCOME
Other income of RM4.99 million consist of net sales from scout harvesting, seedlings, palm kernel shell and
rental income.
FINANCE INCOME
Finance income consists of interests received from Fixed Deposit placements and Short-Term Special Investments.
HUMAN CAPITAL FEHB also offers internship to graduates as our

initiative to recruit the best talents. Selected talents
The Group has always believed that the future of will be given the opportunity to be part of the team
the Group is shaped and determined by how well it involved in operation of the Group. Upon completing
manages its people. The skills, experience, potential the internship, graduates may be recruited to be part of
and capacity of the people are seen as essential the team.
elements that an organisation needs to be successful,
thus we continue to place emphasis on developing our Apart from the above, the Group is committed towards
enhancing “esprit de corps” among employees as part
human capital as our workforce plays a critical role in
of employee engagement. The Group had form special
the future growth and sustainability of the business as
team among employees to provide humanitarian
well as the way it delivers that value.
assistance to flood victims.
We are investing in the long-term development PROSPECTS
of our people and improving capabilities across
organisations. In driving the learning culture, we are In 2016, the uncertainties in the business environment
providing opportunities for our employees to enhance and respective markets where the Group operates
their competencies and skills at all levels by attending present challenges to the Group’s business operation.
courses, seminars, and internal and external workshops The Group continues to operate in a period of high
were held during the year with modules ranging from volatility in CPO prices. In the long term, demand for
corporate culture, familiarisation, awareness and supply of palm oil should remain strong in line with
productivity to effective communication, sustainability world population. Apart from that, global consumption
as well as executive and leadership development. of palm oil is also governed by rising affluence and
living standard, demand for healthier and sustainably
The Group believes that its people should be fairly produced palm products, thus indirectly will increase
rewarded and recognised. The basis of recognition is consumption of palm oil.
not only limited to work performance but also by other
aspects (i.e.: behaviour at work, creativity, involvement El Nino is expected to persist through the early part of
in Group’s activities). Our reward philosophy covers 2016 which have significant impact on the output of
basic salary, benefits, short-term variable bonus as well agriculture products. This event will also pose additional
challenge to the Group.
as promotion.
In spite of the above challenges, the Group will strive
to achieve a higher degree of efficiency in operations to
increase production yield to achieve better operational
results in years to come.
AUDIT COMMITTEE REPORT
The Board of Directors of Far East Holdings Berhad (“FEHB”) is pleased to present the Audit Committee Report
for the financial year ended 31 December 2015.
Composition of the Audit Committee
The Audit Committee presently comprises the following Directors:-
Members Membership Appointment Tenure on the

Audit Committee
(Years)
Encik Hashim Naina Merican Chairman, 13.8.2009 6
bin Yahaya Merican Independent Non-Executive Director
YH Dato’ Tan Bing Hua Member, 23.7.2012 3
YH Dato’ Jamaluddin Member, 18.8.2015 1
bin Abd Majid Non-Independent Non-Executive Director
Encik Nik Mohamed Zaki Member, 8.7.2015 1
bin Nik Yusoff Independent Non-Executive Director
There was no alternate director appointed during the year 2015.
Duties and Responsibilities
The duties and responsibilities of the Audit Committee are as follows:-
• To undertake annual review as well as reassess the adequacy of the Terms of Reference annually.
• To review and verify annually the effectiveness of the Company’s Risk Management Program.
• To review the Group’s Statement of Internal Control systems prior to endorsement by the Board.
• To ensure prompt publication of annual accounts.
• To review the minutes of other audit committee meetings within the Group to ensure all matters arising are
being appropriately addressed.
• To review the audit report with the external auditors.
• To review the quarterly results and year-end financial statements of the Company and the Group.
• To review all related party transactions and any conflict of interest situation that may arise.
• To consider and examine such other matters as the Board consider appropriate and beneficial.
• To perform any other functions as may be agreed upon by the Audit Committee and the Board.
• To recommend to the Board on the appointment and the annual reappointment of the external auditors and their
audit fee.
• To review the scope of external auditors’ audit plan, their evaluation on internal control systems, their
management letter and discuss any matter that the external auditors may wish to raise without the presence of
management.
Audit Committee Report
Duties and Responsibilities (CONTʼD)
The duties and responsibilities of the Audit Committee are as follows:- (Contʼd)
• To obtain explanations from management for unusual variances in the Company’s annual financial statements,
review annually the independent auditors’ letter of recommendations to management and management’s
response.
• To review and coordinate the audit approaches where more than one audit firms of external auditors are involved
and the co-ordination between the external and internal auditors.
• To ensure that the employees of the Group have given external and internal auditors appropriate assistance in
discharging their duties.
• To consider whether the independent auditors provision of non-audit services is compatible.
• To discuss and review with the external auditors any proposal from them to resign as auditors.
• To ensure the adequacy of the scope, functions, competency and resources of the internal audit function.
• To review the internal audit plan, processes, results and implementation of recommendations.
• To appraise the performance of the Head of Internal Audit and to review his function as well as appraisals of
senior staff members of the internal audit team.
• To approve appointment, resignation or termination of the Head of Internal Audit and senior staff members of
the internal audit.
Purpose
The purpose of the Audit Committee is to assist the Board in fulfilling the following key responsibilities:-
• Assessing the risks and control environment.
• Overseeing financial reporting.
Terms of Reference

• Evaluating the internal and external audit process and outcome.
• Reviewing conflict of interest situations and related party transactions (including recurrent related party
transactions).
• Undertake any such other functions as may be determined by the Board from time to time.
The existence of the Committee does not diminish the Board’s ultimate statutory and fiduciary responsibility for
decision making relating to the functions and duties of the Committee.
Membership
• The Committee shall be appointed by the Board from amongst the non-executive directors of the Company and
shall consist of not less than three members, of whom the majority shall be independent.
Terms of Reference (CONTʼD)
Membership (Contʼd)
• At least one member of the Committee:-
√ Shall be a member of the Malaysian Institute of Accountants; or
√ If he is not a member of the Malaysian Institute of Accountants, he shall have at least three (3) years’ working
experience and:-
√ He must have passed the examinations specified in Part I of the 1st Schedule of the Accountants Act
1967; or
√ He must be a member of one of the associations of accountants specified in Part II of the 1st Schedule
of the Accountants Act 1967.
• The term of office and performance of the Committee and each of its members must be reviewed by the Board
at least once every three (3) years.
Authority
The Committee has the following authority:-
• To investigate any matter within its term of reference, to obtain the resources, and to have full and unrestricted
access to information.
• Direct communication channels with the external and internal auditors.
• Obtain independent professional or other advice at the Company’s expense.
• The Committee shall report to the Bursa if there is any matter reported by it to the Board has not been satisfactorily
resolved resulting in a breach of the Listing Requirements of the Bursa Malaysia Securities Berhad.
• Convene meetings with the external auditors, internal auditors or both, without presence of other directors and
employees of the Group, whenever deemed necessary.
Reporting Procedures
• The Committee shall provide a summary of their activities to the Board for inclusion in the Company’s annual
report.
• The Committee shall assist the Board in preparing the corporate governance statement, statement on risk
management and internal control and statement of Directors’ responsibilities for preparing the annual audited
accounts for publication.
• The Committee may report any breaches of the Listing Requirements to the Bursa Malaysia Securities Berhad.
Reviewing Conflict of Interest Situations and Related Party Transactions
• To review any conflict of interests situation and Related Party Transactions that may arise within the Group
including any transaction, procedure or course of conduct that raises questions of management integrity.
Terms of Reference (CONTʼD)
Reviewing Conflict of Interest Situations and Related Party Transactions (Contʼd)
• In respect of Related Party Transactions, including Recurrent Related Party Transactions:
√ To ensure that the Group has adequate procedures and processes to identify, and where relevant, monitor
and track the Related Party Transactions in a timely manner, and to review these procedures and processes
annually.
√ To assess the sufficiency of the procedures, policies and terms of the Related Party Transactions to ensure
that the transactions are fair, reasonable and on normal commercial terms; are not more favourable to the
Related Party than those generally available to the public and are not detrimental to minority shareholders
and in the best interest of the Group.
√ Where the Related Party Transactions are not comparable to quotations or comparative pricing with unrelated
third parties, to review the basis of the transaction price determined by the management in comparison to
transactions by/to unrelated parties for substantially similar type transactions for approval by the FEHB
Board.
√ The Related Party Transactions and conflict of interest situations should be a permanent agenda item of the
Committee meetings.
Meetings
• Meetings shall be held at least four (4) times a year with a minimum quorum of two (2) members and the
majority of members present shall be independent non-executive directors. Additional meetings may be called
at any time at the discretion of the Chairman of the Committee or if requested by any Audit Committee member,
the management, the internal or external auditors.
• The Head of Internal Audit shall be in attendance at meetings of the Committee when deemed necessary.
The Committee may also invite the external auditors, any other directors or members of the management and
employees of the Group.
• At least once a year, the Committee shall meet with the external auditors without the presence of any executive
Board members in order to review and evaluate the factors relating to the independence of external auditors.
The Chairman of the Committee can hold meetings with the external auditors, the internal auditors or both,
excluding the attendance of other directors and employees of the listed issuer, whenever deemed necessary.
• The Company Secretary shall be the Secretary of the Committee.
• The minutes of each Committee meeting shall be tabled to the Board by the Chairman of the Committee.
Overseeing the Internal Audit Function
• The Committee shall oversee all internal audit functions.
• The Committee must ensure that the internal audit function is independent from the activities it audits.
• The internal auditor shall report directly to the Committee and shall have direct access to the Chairman of the
Committee.
• All proposals by management regarding the appointment, transfer or dismissal of the internal auditor shall
require the approval of the Committee.
Performance of The Committee
The appointment of Chairman and members of the Committee had been made in accordance to the Listing
Requirements.
The Committee comprises exclusively of Non-Executive Directors, a majority of whom are independent Non-
Executive Directors.
The Committee members were informed at the beginning of the year or upon their appointment of the number of
Audit Committee Meetings scheduled during the year.
The Audit Committee members were given Audit Committee Papers in advance not less than seven (7) days before
the scheduled meeting.
Pursuant to the Listing Requirements, the Board had reviewed the term of office and assessed the performance
of each member of the Audit Committee appointed for the year based on the recommendation of the Nomination
Committee.
The Board is satisfied that the Audit Committee has discharged its duties in accordance with the Terms of Reference.
Attendance At Meetings
During the financial year ended 31 December 2015, the Audit Committee held a total of 5 meetings. Details are as
follows:-
No 1 2 3 4 5
Date 25 February 2015 15 April 2015 18 May 2015 13 August 2015 18 November 2015
The details of attendance of the Audit Committee members are as follows:-
Total Number Number of

Name of Audit Committee Members of Meetings Meetings Attended
Encik Hashim Naina Merican bin Yahaya Merican 5 5
YH Dato’ Tan Bing Hua 5 5
YH Dato’ Jamaluddin bin Abd Majid (Appointed on 18.8.2015) 1 1
Encik Nik Mohamed Zaki bin Nik Yusoff (Appointed on 8.7.2015) 2 2
Encik Khairul Azahar bin Ariffin (Resigned on 10.6.2015) 3 3
Committee’s Activities
During the year under review, the Audit Committee has undertaken the following activities:-
• Reviewed the external auditors’ audit plan, scope and areas of audits, evaluation of the system of internal
controls, audit findings, management letter, management’s response and the audit report.
• Reviewed the suitability of the external auditors and recommended to the Board for appointment and the audit
fee thereof.
• Reviewed and recommended to the Board for approval on the new clauses in the updated letters of engagement
from the external auditors for the Group.
Committee’s Activities (CONTʼD)
• Reviewed the Company’s Financial and General Performance Report in order to ensure that the Board had been
provided with sufficient information for announcements to Bursa Malaysia.
• Reviewed the annual financial statements, semi annual returns and quarterly results of the Group for the Board
approval.
• Reviewed the policy on recurrent related party transactions (“RRPT”) of a revenue or trading nature and
recommended to the Board for approval, adoption and inclusion in the circular to shareholders in relation to the
proposed renewal of shareholders’ mandate for RRPT pursuant to the Bursa Malaysia Listing Requirements.
• Reviewed the risk management of the Company, management objectives and policies of the Group and
recommended to the Board for approval and adoption.
• Reviewed the results of the Group’s internal audit reports and the adequacy of remedial actions taken by the
management as recommended in the reports.
• Reviewed and approved the 2016 Internal Audit Plan.
• Reviewed follow-up actions by management on any weaknesses in internal accounting procedures and controls
as highlighted by the external and internal auditors.
Internal Audit Functions & Activities
The Audit Committee is assisted by the in-house Internal Audit Department in maintaining a sound system of
internal controls.
The Internal Audit Department undertakes internal audit functions based on the audit plan that is reviewed and
approved by the Audit Committee, which covers the adequacy of financial and operational controls, risk management,
compliance with laws and regulations, policies and procedures and management efficiency, amongst others.
Based on the risk assessment exercise results, Internal Audit had reviewed the adequacy of control on the auditable
areas/scopes.
Internal Audit had carried out scheduled audit for 7 out of 13 estates and also conducted special reviews on 4 estates
based on the requests made by the management on the nursery management and foreign workers advance deduction.
All significant issues were highlighted during the audit exit meetings and follow-up on the issues were taken and
communicated to the auditees, management and Audit Committee.
Internal Audit also had conducted compliance audit on ISCC (“International Sustainability and Carbon Certification”)
whereby 5 certified estates were reviewed during the year 2015.
Internal Audit had coordinated with the management on establishment of Security Manual to be implemented within
the FEHB’s Group.
The internal audit reports prepared by the Internal Audit Department are presented to the Audit Committee. The
summary of Internal Audit’s findings, recommendations and management’s responses were also tabled to the Audit
Committee to ensure that management undertakes the agreed remedial actions.
Internal Audit Department had adequate resources to carry out its duties during the year 2015. The internal and
external auditors had conducted a meeting to discuss on issues pertaining to the principal risks, follow-up actions
taken by the management and also scopes/areas of audit to be covered by both parties.
CORPORATE GOVERNANCE STATEMENT
The Board of Directors is committed to ensure that the highest standards of corporate governances are practised
throughout the Group as a fundamental part of discharging its responsibilities to protect and enhance shareholders
value and financial performance.
The Board of Far East Holdings Berhad confirms that the Group has applied the principles, and the extent of
compliance with the Malaysian Code on Corporate Governance 2012 (“the Code”) pursuant to Paragraph 15.26 of
the Listing Requirements of the Bursa Malaysia Securities Berhad (“LR”). These principles and best practices have
been applied throughout the year ended 31 December 2015.
The Board of Directors further confirms that the Group will continuously apply the said principles and practices and
where deemed appropriate, enhance the application thereof in pursuit of its commitment to the highest standards of
corporate governance that best suited to the Company practices.
The Board emulated by the Code in achieving the primary objective of the Company which is to enhance
professionalism in boards and committees. The Board continuously strive to raise the level of corporate governance
through the structuring and implementation of sound practices and processes which engender an effective Board.
Set out below are descriptions of how the Group applied to the Principles of the Code and how the Board has
complied with the Best Practices set out in the Code.
The Board during the year under review has established the Board Charter as guidelines and perimeter for the Board
as well as the Committees.
THE BOARD OF DIRECTORS
Principal Roles
The Board has the overall responsibility for corporate governance, strategic direction, formulation of policies and
overseeing the investments and business of the Company.
The Board is aware that an effective Board essentially comprising Directors who are fully committed, well informed
and who possess diverse skill and experience relevant to the business that could contribute effectively to the growth
of the Company.
As stipulated in the Board Charter, the Board has targeted to meet at least six (6) times a year, with additional
meetings convened as and when necessary.
Board Balance
The current Board consists of seven (7) Non-Executive Directors and two (2) Executive Directors i.e. Group
Executive Chairman and Executive Director, Plantations, with three (3) of the nine (9) Directors being Independent
Directors with a synergistic mixture of businessmen, planters, professionals and technical expertise. This mix of
skills and experience is vital for the successful direction of the Group. A brief profile of each Director is presented
on pages 12 to 20.
All Directors, both executive or non-executive, independence and non-independence are aware of their legal
obligations to exercise independence, unfettered judgment and to act in good faith with due care and skills.
Corporate Governance Statement
THE BOARD OF DIRECTORS (CONTʼD)
Board Balance (Contʼd)
The role of the Group Executive Chairman and the Executive Director, Plantations are separated and clearly defined,
as stipulated in the Board Charter so as to ensure that there is a balance of power and authority. The Group Executive
Chairman is responsible for ensuring Board effectiveness and conduct, whilst the Executive Director, Plantations
has overall responsibility for the plantation operating units, organisational effectiveness and implementation of
Board policies and decisions. The existing Group Executive Chairman has never been a Chief Executive Officer
of the Company. Under his stewardship, the Board is encouraged of healthy debate on any agenda tabled. Each
one of the Board member is allowed to express any skepticism and be debated openly until collective decision is
made. The Chairman of the Board has played his role effectively to ensure that all resolutions are made after careful
deliberation and discussion. The presence of three (3) Independent Non-Executive Directors fulfills a pivotal role
in corporate accountability. Although all the Directors have an equal responsibility for the Group’s operations,
the role of these Independent Non-Executive Directors are particularly important as they provide an unbiased and
independent views, advice and judgment.
Supply of Information
All Directors are provided with formal schedule of matters and a set of necessary Board papers in advance at least
seven (7) days prior to the respective Board meetings. They have direct access to the advice and services of the
Company Secretary.
The followings are schedule of matters which are specifically reserved for the Board:-
• Appointment of the Chairman;

• Appointment and recommendation for removal of Directors;
• Appointment and removal of Company Secretary;
• Establishment of Board Committee, their membership and delegated authorities;
• Approval of interim dividend and recommendation of final dividend for shareholders’ approval;
• Approval of annual budget including capital committees;
• Approval of corporate plan and programme;
• Approval of new ventures;
• Approval of material acquisition and disposals of undertaking and properties;
• Approval of the limits of authority for the Company and Group;
• Approval for the Audited Reports and Financial Statements;
• Calling for the meetings of shareholders;
• Review of corporate governance principles and policies;
• Review of whistle blowing reports if applicable; and
• Any other specific matters requested by the Board from time to time.
In furtherance of their duties and responsibilities, Directors may obtain independent professional advice, where
necessary at the Company’s expense. The external advisers are sometimes sought by the Company to enhance both
Board’s and management’s understanding of a particular emerging issue.
Appointments To The Board
Pursuant to the best practices promulgated by the Code, the Board has established a Nomination Committee,
consisting of three (3) Directors. The duties and responsibilities of the Committee are to propose new nominees to
the Board and to assess the contribution of each individual Director and overall effectiveness of the Board on an
on-going basis. The Nomination Committee is guided by the specific Terms of References that is set by the Board.
The primary objectives of the Nomination Committee are as follows:-
• To assist the Board in assessing existing Directors and identifying, nominating and orientating new Directors to
enhance corporate governance.
• To assist the Board in ensuring that appointment are made on merit against an agreed specification.
• To assist the Board in identifying and reviewing on annual basis, the required mix of skills, experience and other
qualities, including core competencies Directors should bring to the Board for it to function effectively and
efficiently.
• To examine the size of the Board.
• It is an annual exercise that each individual Board and Committee member is evaluated based on pre-set criteria.
The Board is looking for and identifying suitable female candidates to sit in the Board.
Board Committees
The Board delegates specific responsibilities to the Board Committees, all of which have their written terms of
references. These Committees have the authority to examine particular issues and report to the Board with their
recommendations.
The Board Committees allow Directors to make better use of their limited time and allow more focus be given to
complex issues and recommending courses of action whereby detail deliberation had been made at Committee level
with the specific function of the committee agenda. However, the ultimate responsibility for the final decision on all
matters lies with the Board.
The Board delegates authority not responsibility to the Committees. The three principal Board Committees are:-
(i) Audit Committee

(ii) Remuneration Committee
(iii) Nomination Committee
The membership and principal duties and responsibilities of the Committees are set out in the following pages 47
to 49.
Re-Election of Directors
In accordance with the Company’s Articles of Association, all Directors who are appointed by the Board are subject
to re-election by shareholders at the next Annual General Meeting immediately after their appointment.
In accordance with the Articles, one third of the remaining Directors, including the Executive Directors, are required
to submit themselves for re-election by rotation at each Annual General Meeting.
The Company had made a policy that an Independent Director should not serve the Company for more than nine (9)
years. These could be evidenced by previous retirements of our Independent Directors namely Puan Sharina Bahrin,
Miss Ng Yee Kim, En Khairul Azahar bin Ariffin, Mr Ng Say Pin and YH Dato’ Dr Ahmad bin Aman. In fact, it is
the Company’s practice to evaluate the Independent Directors as set by Paragraph 1.0 of the Listing Requirements.
Directors over seventy (70) years of age are required to submit themselves for re-appointment annually in
accordance with Section 129(6) of the Companies Act, 1965.
Directors Training
Every Director of the Company undergoes continuous training to equip himself to effectively discharge his duties
as a Director and for that purpose he ensures that he attends such training programmes as prescribed by the Bursa
Malaysia from time to time. All Directors attended the Mandatory Accreditation Programme (“MAP”) prescribed
by the Bursa Malaysia and completed their Continuing Education Programme (“CEP”) as prescribed by the Bursa
Malaysia. For the financial year ended 31 December 2015, all Directors had participated and attended seminars as
recommended and approved by the Board as follows:-
No Name Course Attended Date Attended

1. YH Dato’ Sri Kamaruddin Seminar Inspirasi Badan Berkanun dan 15 & 16 June 2015
bin Mohammed “Government Linked Companies”
Dalam Sektor Perladangan
2. YH Dato’ Wan Bakri bin Wan Ismail 8th International Planter Conference 08 - 10 June 2015
Seminar Inspirasi Badan Berkanun dan 15 & 16 June 2015
“Government Linked Companies”
3. YH Dato’ Tan Bing Hua National Seminar On Trans-Pacific 1 December 2015
Partnership Agreement
4. YH Dato’ Jamaluddin bin Abd Majid Mandatory Accreditation Programme 29 & 30 July 2015
for Directors of Public Listed Companies
5. Mr Tee Kim Tee @ Tee Ching Tee National Seminar On Trans-Pacific 1 December 2015
Partnership Agreement
6. Mr Tee Cheng Hua Audit, Internal Control and Fraud 29 & 30 July 2015
Detection Seminar For The Public
and Private Sectors 2015
7. En Hashim Naina Merican The Audit Oversight Board Conversation 07 May 2015
bin Yahaya Merican With Audit Committees
8. Mr Tee Lip Teng Palm Oil Economic Review & 19 January 2015
Outlook Seminar 2015
Palm and Lauric Oils Price Outlook 02 – 04 March 2015
Conference & Exhibition
FMM Seminar – Electricity Supply Updates 28 April 2015
on Tariffs, Power Quality & Energy Savings
9. En Nik Mohamed Zaki bin Nik Yusoff Mandatory Accreditation Programme for 29 & 30 July 2015
Directors of Public Listed Companies
Development of Human Capital
The Board is also of the view that human capital development and management is one of the major concern of
ensuring continuous growth and standard of the Company. The Company has set a benchmark to promote internal
candidate for succession planning. Core functions of the management operation had been identified and the
supporting talents of individual function are nurtured and developed in order to be prepared for advancement. The
Board delegated the authority for identifying the key talent to the key management of the Company.
AUDIT COMMITTEE
Chairman Encik Hashim Naina Merican bin Yahaya Merican

Members YH Dato’ Tan Bing Hua

YH Dato’ Jamaluddin bin Abd Majid

Encik Nik Mohamed Zaki bin Nik Yusoff

Terms of Reference
The Audit Committee reviews issues of accounting policies, presentation for external financial reporting, monitors
the work of the Internal Audit function and ensures an objective and professional relationship is maintained with the
external auditors. The Audit Committee has full access to the auditors both internally and externally who, in turn,
have access at all times to the Chairman of the Audit Committee. The report of the Audit Committee is stated on
pages 37 to 42. The Audit Committee meets once a year with the external auditors without the presence of Executive
Officers of the Company.
The Group’s financial reporting and internal control system is overseen by the Audit Committee, which comprises
three (3) Independent Non-Executives and one (1) Non-Independent Non-Executive Director. The composition,
terms of reference and summary of the activities of the Audit Committee during the financial year are disclosed in
the Audit Committee Report. A Charter that is approved by the Board governs the activities of the Audit Committee.
The Audit Committee meets quarterly. Additional meetings are held as and when required. During the financial year
ended 31 December 2015, a total of five (5) Audit Committee meetings were held.
The Head of Departments in Head Office are invited to attend the Audit Committee meetings when deemed necessary
by the Audit Committee for the purpose of briefing the Audit Committee on the activities involving their areas of
responsibilities.
The Audit Committee meets with the Group’s external auditors annually to review the scope and adequacy of the
audit process, the annual financial statements and their audit findings. The Audit Committee also meets with the
external auditors whenever it deems necessary.
NOMINATION COMMITTEE
Chairman YH Dato’ Tan Bing Hua

Members Mr Tee Kim Tee @ Tee Ching Tee

En Hashim Naina Merican bin Yahaya Merican

Terms of Reference
The Committee is authorised to propose new nominees of the Board and to assess the contribution of each individual
Director and overall effectiveness of the Board and an on-going basis. The actual decision as to who shall be
appointed a Director would be the responsibility of the full Board after considering the recommendations of the
Committee. During the year under review, the Nomination Committee held two (2) meetings.
The terms of reference of the Nomination Committee are as follows:-
• To recommend to the Board candidates for all directorships to be filled;

• To recommend to the Board, Directors to fill the seats on the Committees of the Board;
• To identify and review the core competencies and skills required of Board members to best serve the business
and operations of the FEHB Group as a whole and optimum size of the Board to reflect the desired skills and
competencies;
• To review and ensure that at least one-third of the Board is independent;
• To recommend to the Board the appropriate number of Directors which fairly reflects the investments of the
minority shareholders in the Company, and whether the current Board representation satisfies this requirement;
• To undertake an annual review of the required mix of skill, experience and other qualities including core
competencies which the Directors should bring to the Board and to disclose this in the Company’s Annual
Report;
• To identify a criteria and formulate a procedure to assess the effectiveness of the Board, the Committee of the
Board and the contributions of each individual director;
• To take into account an individual’s other commitments, resources and time available for input for the Board in
assessing the suitability of an individual to be elected to the Board;
• To report all its recommendations to the Board for its consideration and implementation;
• To formulate relevant guidelines and procedures to enable the Committee to function effectively and achieve its
objectives; and
• To perform any other functions as authorised by the Board.
REMUNERATION COMMITTEE
Chairman YH Dato’ Sri Kamaruddin bin Mohammed

Non-Independent Executive Director
Members Mr Tee Kim Tee @ Tee Ching Tee

Mr Tee Lip Teng

Terms of Reference
The Remuneration Committee currently consists of wholly Non-Independent Directors. The Committee is
responsible for setting the policy framework and for making recommendations to the Board on remuneration and
other terms of employment for member of the Board and senior management. During the year under review, the
Remuneration Committee held three (3) meetings.
DIRECTORS’ REMUNERATION
The aggregate Directors’ remuneration paid or payable or otherwise made to all Directors of the Company who
served during the financial year ended 31 December 2015 are as follows:-
Other Fees Salaries Total

Category (RM’000) (RM’000) (RM’000)
Executive 220 1,163 1,383
Non-Executive 449 - 449
Total 669 1,163 1,832
The number of Directors whose total remuneration falls within the following bands is as follows:-
Executive Non-Executive
Range of Remuneration Director Directors
RM50,000 – RM100,000 - 7
RM400,000 – RM450,000 1 -
RM1,250,000 – RM1,300,000 1 -
RELATION WITH SHAREHOLDERS AND INVESTORS
Corporate Communication
The Annual General Meeting (“AGM”) is the principal forum for dialogue with individual shareholders and
investors. It is a crucial mechanism in shareholder communication for the Company. At the Company’s AGM,
which is generally well attended, shareholders have direct access to the Board and are given the opportunities to
ask questions during open question and answer session prior to the motion moving for approval of the Company’s
Audited Statements and Directors’ Report for the financial year. The shareholders are encouraged to ask questions
both about the resolutions being proposed or about the Group’s operations in general. Where it is not possible to
provide the questions with immediate answer to a significant question, the Chairman will undertake to provide him/
her with a written answer after the AGM.
RELATION WITH SHAREHOLDERS AND INVESTORS (CONTʼD)
Corporate Communication (Contʼd)
The Company’s e-mail address fareast@fareh.po.my is one of the means to communicate with the Company. The
Board has appointed En Hashim Naina Merican bin Yahaya Merican, an Independent Non-Executive Director as
a Director responsible for Investor Relationship. Any queries with regard to the Group may be communicated to
him. His email address is hashimmerican@fareh.po.my. Shareholders may also contact the Company Secretary
or visit our website www.fehb.com.my for further information.
The Company always welcome whistle blowers of any suspected wrong doing and ensures that matters highlighted
by the whistle blowers are scrutinized and appropriate action taken.
ACCOUNTABILITY AND AUDIT
Financial Reporting
The Directors recognise the responsibility for ensuring that accounting records are properly kept and the financial
statements are prepared in accordance with applicable approved accounting standards in Malaysia and the provisions
of the Companies Act, 1965.
The quarterly results announcements to Bursa Malaysia Securities Berhad reflect the Board’s commitment to give
regular updated assessments on the Group’s performance and prospects. The statement by the Board pursuant to
Section 169(15) of the Companies Act, 1965 is presented on page 59.
Internal Controls
The Group has established internal controls that covers all levels of personnel and business processes to ensure the
Group’s operations are effective and efficient as well as safeguarding the Group’s assets and shareholders’ interests.
The Statement on Risk Management and Internal Control furnished on pages 56 to 57 of the Annual Report provides
an overview of the state of internal controls within the Group.
Internal Audit
The Group has established an Internal Audit Department to assist the Audit Committee in the discharge of its duties
and responsibilities. Its role is to provide independent and objective reports on the organisation’s management,
records, accounting policies and controls to the Board. The Internal Audit function includes evaluation of the
processes by which significant risks are identified, assessed and managed. Such audits are carried out to ensure
instituted controls are appropriate, effectively applied and within acceptable risk exposures consistent with the
Group’s risk management policy. The Internal Audit Department reports directly to the Audit Committee and its
findings and recommendations are communicated to the Board.
External Audit
The Group’s independent External Auditor fills an essential role for the shareholders by enhancing the reliability of
the Group’s financial statements and giving assurance of that reliability to users of these financial statements.
The External Auditors have an obligation to bring any significant defects in the Group’s system of control and
compliance to the attention of the management and, if necessary, to the Audit Committee and the Board. This
includes the communication of any fraud detected.
RECURRENT RELATED PARTY TRANSACTIONS
Recurrent Related Party Transactions of a Revenue or Trading Nature
Pursuant to paragraph 10.09 of the Listing Requirements of Bursa Malaysia Securities Berhad, the Company will
be seeking the renewal from the shareholders for recurrent related party transactions of a revenue or trading nature,
entered into between Far East Holdings Berhad (“FEHB”) or its subsidiary companies and related parties, at the
forthcoming Annual General Meeting of FEHB scheduled to be held on 25 May 2016. The related party transactions
for the group are as follows:
Date and Place

Name Nature of Relationship of Incorporation Principal Activities
KKSB FEHB directly holds 51%* equity interest 13.11.1989 Operating of palm oil mill
in KKSB Malaysia
WWSB KKSB directly holds 51%* equity interest 29.11.2005 Operating of palm oil mill
in WWSB Malaysia
PTSB PTSB is a major shareholder of FEHB that 09.09.1985 Operating of palm kernel mill
holds 23.74%* equity interest in FEHB Malaysia
PPOM FEHB directly holds 40%* equity interest 13.01.1978 Operating of palm oil mill and
in PPOM Malaysia cultivation of oil palm
RPOM PPOM directly holds 30%* equity interest 28.01.1994 Operating of palm oil mill
in RPOM Malaysia
EPOM PTSB directly holds 32%* equity interest 23.10.1997 Operating of palm oil mill
in EPOM Malaysia
PGC KKSB directly holds 30%* equity interest 10.04.2004 Management Services in palm oil
in PGC Malaysia plantations and marketing of
sales and purchases of CPO
PPOPM PPOM directly holds 30%* equity interest 18.08.1994 Trading and Marketing agent
in PPOPM Malaysia
KOSMA KOSMA is a shareholder of WWSB that 04.12.1967 Operating of palm oil mill and
holds 49%* equity interest in WWSB (Incorporated under cultivation of oil palm
Cooperative Act 1993)
Malaysia
LKPP Corp. LKPP Corp. holds 5.96%* equity interest 21.06.1990 Operating of palm oil mill and
in FEHB. LKPP Corp. is a wholly owned Malaysia cultivation of oil palm
subsidiary of LKPP. LKPP is a major
shareholder of FEHB that holds 25.18%*
equity interest in FEHB
Kilang KKSB indirectly holds 31.50%* stake 18.11.1993 Operating of palm oil mill
Sawira in Kilang Sawira Makmur via its Malaysia
Makmur associated company i.e. Jaspurna
Holdings Sdn Bhd
FPSB FEHB and PPOM directly hold 47.17%* 24.10.2005 Manufacturing and exporting
and 35.17%* equity interest in Malaysia palm oil, fatty acids and
FPSB respectively chemicals compounds or
derivatives
* As at 31 March 2016
Recurrent Related Party Transactions
Recurrent Related Party Transactions of a Revenue or Trading Nature (Contʼd)
EPOM Endau Palm Oil Mill Sdn Bhd

FPSB Future Prelude Sdn Bhd
KKSB Kilang Kosfarm Sdn Bhd
Kilang Sawira Makmur Kilang Sawira Makmur Sdn Bhd
LKPP Lembaga Kemajuan Perusahaan Pertanian Negeri Pahang
LKPP Corp. LKPP Corporation Sdn Bhd
KOSMA Koperasi Serbausaha Makmur Berhad
PTSB Prosper Trading Sdn Bhd
PPOM Prosper Palm Oil Mill Sdn Berhad
RPOM Rompin Palm Oil Mill Sdn Bhd
PGC PGC Management Services Sdn Bhd
PPOPM Prosper Palm Oil Products Marketing Sdn Bhd
WWSB Wujud Wawasan Sdn Bhd

Pursuant to paragraph 10.02 of the Listing Requirements, the parties related to the FEHB Group, which have
recurrent transactions of a revenue or trading nature with the Group are as follows:
Sales of fresh fruit bunches

Related Party Nature of Transaction Method of Pricing
KKSB Sales of FFB by FEHB to KKSB and WWSB Based on forward sales and MPOB pricing
WWSB Sales of FFB between KKSB and WWSB Based on forward sales and MPOB pricing
PPOM Sales of FFB by KKSB to PPOM Based on forward sales and MPOB pricing
RPOM Sales of FFB by FEHB to RPOM Based on forward sales and MPOB pricing
EPOM Sales of FFB by FEHB to EPOM Based on forward sales and MPOB pricing
Kilang Sawira Sales of FFB by FEHB to Kilang Based on forward sales and MPOB pricing
Makmur Sawira Makmur
LKPP Corp. Sales of FFB by FEHB to LKPP Corp. Based on MPOB pricing
Purchases of fresh fruit bunches

FEHB Purchases of FFB by KKSB from FEHB Based on forward sales and MPOB pricing
KKSB Purchases of FFB between KKSB and WWSB Based on forward sales and MPOB pricing
PPOM Purchases of FFB by KKSB from PPOM Based on forward sales and MPOB pricing
RPOM Purchases of FFB by KKSB from RPOM Based on forward sales and MPOB pricing
KOSMA Purchases of FFB by WWSB from KOSMA Based on MPOB pricing
Sales of CPO

WWSB Sales of CPO by KKSB to WWSB Based on the contract price
KKSB Sales of CPO by WWSB to KKSB Based on the contract price
PPOM Sales of CPO by KKSB and WWSB to PPOM Based on the contract price
RPOM Sales of CPO by KKSB and WWSB to RPOM Based on the contract price
EPOM Sales of CPO by KKSB and WWSB to EPOM Based on the contract price
PGC Sales of CPO by KKSB to PGC Based on the forward sales and
sales contract price
PPOPM Sales of CPO by KKSB and WWSB to PPOPM Based on the contract price
Kilang Sawira Sales of CPO by KKSB to Kilang Based on the contract price
FPSB Sales of CPO by KKSB and WWSB to FPSB Based on the contract price
Purchases of CPO

KKSB Purchases of CPO by WWSB from KKSB Based on the contract price
WWSB Purchases of CPO by KKSB from WWSB Based on the contract price
PPOM Purchases of CPO by KKSB and WWSB from PPOM Based on the contract price
RPOM Purchases of CPO by KKSB and WWSB from RPOM Based on the contract price
EPOM Purchases of CPO by KKSB and WWSB from EPOM Based on the contract price
PPOPM Purchases of CPO by KKSB and WWSB from PPOPM Based on the contract price
Kilang Sawira Purchases of CPO by KKSB and WWSB from Kilang Based on the contract price
Sales of Kernel

KKSB Sales of kernel by KKSB to WWSB Based on the contract price
WWSB Sales of kernel by WWSB to KKSB Based on the contract price
PTSB Sales of kernel by KKSB and WWSB to PTSB Based on the contract price
EPOM Sales of kernel by WWSB to EPOM Based on the contract price
RPOM Sales of kernel by KKSB and WWSB to RPOM Based on the contract price
Kilang Sawira Sales of kernel by WWSB to Kilang Sawira Makmur Based on the contract price
Makmur
Purchases of Kernel

KKSB Purchases of kernel by KKSB from WWSB Based on the contract price
WWSB Purchases of kernel by WWSB from KKSB Based on the contract price
EPOM Purchases of kernel by WWSB from EPOM Based on the contract price
Kilang Sawira Purchases of kernel by WWSB from Kilang Sawira Based on the contract price
Makmur Makmur
Management fee
The management fee charged includes the management services for technical services, marketing services,
administration and accounting services.

PGC Management fee charged by PGC to KKSB, Based on agreed contract agreement for
WWSB and Kilang Sawira Makmur the management services
Purchases of Fertilizers

PTSB Purchases of fertilizers by FEHB from PTSB Based on the agreed fertilizer prices
negotiated
Aggregate Value During the Financial Year
The aggregate value of the Recurrent Related Party Transactions made during the financial year ended 31 December
2015 is shown below:-
Related Party RM'000

FEHB 63,498
KKSB 64,912
WWSB 1,414
PPOM 3,915
RPOM 24,028
EPOM 9,262
Kilang Sawira Makmur 56,241
LKPP Corp. 1,279
KOSMA 114,335
PGC 2,215
PPOPM -
PTSB 12,190
FPSB 40,845
Total 394,134
ADDITIONAL COMPLIANCE STATEMENTS
Share Buy-Back
The Company has not purchased any of its own shares during the financial year under review. As such, there is no
treasury share maintained by the Company.
Options
The Employees’ Share Option Scheme (“ESOS”) of FEHB came into effect on 18 March 2002 and had expired on
16 March 2012.
Warrant or Convertible Securities
The Company has not issued any warrant or convertible securities in the financial year ended 31 December 2015.
American Depository Receipt (“ADR”) or Global Depository Receipt (“GDR”)
The Company has not sponsored any ADR or GDR programme in the financial year ended 31 December 2015.
Approved Utilisation of Fund
There were no approved utilisation of fund obtained by the Company from the relevant bodies.
Penalties Imposed on FEHB and Its Subsidiaries
There were no sanctions and/or penalties imposed on the Company by the relevant regulatory bodies during the
financial year ended 31 December 2015.
Non-Audit Fees
The amount of non-audit fees paid/payable to the external auditors by the Group for the financial year ended 31
December 2015 is RM53,000.
Internal Audit
The Company’s In-House Internal Audit Department had incurred expenses amounting to RM375,791 for the
financial year ended 31 December 2015 (2014: RM319,786).
Material Contract
Except for transactions disclosed in Recurrent Related Party Transactions, none of the directors and major
shareholders had any material contracts with the Company during the financial year ended 31 December 2015.
Profit Estimate, Forecast, Projection and Variation
There was no variations of 10% or more between the audited result for the financial year ended 31 December 2015
and the unaudited results for the quarter ended 31 December 2015 of the Company previously announced.
Profit Guarantee
The Company has not issued any profit guarantees in the financial year ended 31 December 2015.
STATEMENT ON RISK MANAGEMENT

AND INTERNAL CONTROL
Board Responsibility
The Board of Directors is committed to maintaining a sound system of internal control to safeguard shareholders’
investment and the Group’s assets and to review its adequacy and integrity. The system of internal control covers
not only financial matters but also operational, compliance and risk management.
The Board also recognises that a sound system of internal control can only reduce but not eliminate the possibility
of poor judgement in decision making, human error, control process being deliberately circumvented by employees,
management overriding controls and the occurrence of unforeseeable circumstances. Accordingly, the system could
provide only reasonable but not absolute assurance against material misstatement, operational failures, fraud or loss.
Risk Management Framework
The Board with the assistance of the management undertook to identify the principal business risks in the critical
areas of the Group, assessing the likelihood of material exposures and identifying the measures taken and the time
frame to mitigate and minimise these risks. This was done through desktop reviews, interviews with the management
and thorough deliberation and discussion among the Directors in the Board meetings.
The top five (5) business risks that were rated as High or Significant are as follows:-
(1) Over-dependence on foreign workers

(2) Fluctuation of Crude Palm Oil (CPO) prices
(3) Oil Extraction Rate (OER) offered by mills
(4) Investment
(5) Increased in input price
After the review and taking into consideration the nature of the Group’s business, the Directors are of the view that
the Group is not materially exposed to legal and environmental risks and therefore have concluded to focus on the
operational risks relevant to the business. Although there is exposure to market risk as a result of price fluctuations
in the commodity market, the Directors consider these as movement in market forces inherent in the industry in
which the Group operates.
The Internal Audit Function reviews the operational procedures and processes to ensure the effectiveness and
integrity of the Group’s internal control system.
Other Key Elements of Internal Control System

The other key elements of the Group’s internal control system which has been reviewed by the Board are as follows:-
• Board Meetings
The Board meets at least quarterly and has a formal agenda on matters for discussion.
The Group Executive Chairman, together with the Executive Director, leads the presentation of Board papers
and provides comprehensive explanation of pertinent issues.
In arriving at any decision, on recommendation by the management, a thorough deliberation and discussion by
the Board is a prerequisite. In addition, the Board is kept updated on the Group’s activities and operations on a
regular basis.
Statement on Risk Management and Internal Control
Other Key Elements of Internal Control System (Contʼd)
• Organisational Structure with Formally Defined Responsibility Lines and Delegation of Authority
The Board is headed by the Group Executive Chairman who ensures the Group operates within its mission and
established policies to enable the Group to meet its objectives in enhancing shareholders’ wealth.
The monitoring and managing of the Group operations are delegated to its Executive Director and General
Manager who are actively involved in day-to-day operations of the Group.
There is a clearly defined organisation structure which outlines the responsibilities lines and authorities to
ensure proper and clear delegation of responsibilities to Committees of the Board and to the management.
• Performance Management Framework
Comprehensive management reports covering the Group and Company’s performance are presented to the
Board at its regular meetings. The reports are consistently generated to facilitate the Board and the management
on the performance of various operating units. The reviews encompass areas such as financial and non-financial
key performance indicators, variances between budget and operating results and compliance with laws and
regulations.
The Group also has a detailed budgeting process with an annual budget approved by the Board. Actual results
are reported monthly against budget and major variances are reviewed and corrective actions are taken, where
necessary.
Internal Audit visits are systematically organised over a period, to monitor compliance with policies, procedures
and assess the integrity of financial and operational information provided.
• Operational Policies and Procedures
The Group operates based on existing operational policies and procedures. The operational policies and
procedures are reviewed periodically to remain effective and relevant to support the Group’s business activities
at all times as it continues to grow. The policies also facilitate compliance to regulations, listing and governance
requirements. Management is responsible for the periodic review of operational policies and procedures.
• Audit Committee and Internal Audit
The Audit Committee was formed with a view to assist the Board in discharging its duties. The Audit Committee
comprises non-executive members of the Board and review internal audit findings, discuss risk management
plans and to ensure that weaknesses in controls highlighted are appropriately addressed by the management.
The Internal Audit Function adopts a risk-based approach and is independent of the activities they audit. Their
work is based on an annual audit plan approved by the Audit Committee and to ensure independence, the Head
of Internal Audit reports directly to the Audit Committee.
The Internal Audit Function has the primary objective to carry out a review of the internal control system to
determine whether the accounting and internal controls have been complied with and also make recommendations
to strengthen the accounting and internal control system.
• Review of Recurrent Related Party Transactions
All recurrent related party transactions are dealt with in accordance with the Listing Requirements of Bursa
Malaysia Securities Berhad. The Board and the Audit Committee review the recurrent related party transactions
annually.
Statement on Risk Management and Internal Control
Other Key Elements of Internal Control System (Contʼd)
• Financial and Operating Manuals
The Financial and Operating Manuals set out the policies and procedures as guideline for day-to-day operations.
The Manuals enable tasks to be carried out within a set of flexible rules with minimal supervision.
• Financial Authority Limits
The Financial Authority Limits defines the revenue and capital expenditure limits for each level of management
within the Group. This internal control acts as a check and balance before financial expenditure is actually
incurred.
• Tender Committees
The procurement of goods and services exceeding a prescribed limit is approved by the Tender Committees at
the Head Office. A minimum number of three quotations are called for and tenders are awarded based on factors
such as pricing, quality, reliability, track record and speed of delivery. The Tender Committees, therefore, ensure
transparency in the award of contracts. The Group also has an Opening Tender Committee. Both Committees
are comprised of different officials.
• Plantation Advisory Services
The Plantation Advisory Service that is outsourced is entrusted with achieving and maintaining performance
benchmarks for the Plantation sector. Any deviations from the agreed standards and poor performances in the
estates are reported to Executive Director, Plantations and management for corrective measures to be taken.
• Plantation Coordination Meeting
As a pro-active measure to achieve greater co-operation and co-ordination to enhance productivity and quality,
the Group has established plantation operations and management co-ordination meetings, which meet regularly.
• Security Unit
Security for the Group is enforced by in-house security unit which oversight all security issues faced by the
business units within the Group and security guards personnel.
The security unit had established the Security Manual in year 2015 to form an integral part of the internal
control system to safeguard the Group’s assets against material loss.
The scheduled urine examination for drug abused was performed with the assistance of Agensi Anti Dadah
Kebangsaan (AADK) in order to ensure that a healthy environment within the Group’s business units is
maintained. The Group also maintained a close relationship with PDRM to ensure the security of FEHB’s
property and personnel.
Weakness In Internal Control
There were no material internal control failures nor have any of the reported weaknesses resulted in material losses
or contingencies during the financial year under review.
Based on the risk management and internal control system of the Group, the Board has been provided with a
reasonable assurance regarding the effectiveness and efficiency of operations, reliability of financial reporting and
compliance with applicable laws and regulations.
This Statement is made in accordance with a resolution of the Board of Directors dated 23 March 2016.
STATEMENT OF DIRECTORSʼ RESPONSIBILITIES
The Directors are required by law to prepare financial statements for each financial year which give a true and fair
view of the state of affairs of the Group and of the Company at the end of the financial year and of the results and
cash flows of the Group and of the Company for the financial year then ended.
The Directors consider that, in preparing the financial statements for the financial year ended 31 December 2015, the
Group has used appropriate accounting policies and applied them consistently and made judgments and estimates
that are reasonable and prudent. The Directors also consider that all applicable approved accounting standards have
been followed and confirm that the financial statements have been prepared on going concern basis.
The Directors are responsible for ensuring that the Group and the Company keep accounting records which disclose
with reasonable accuracy at any time the financial position of the Group and of the Company and which enable them
to ensure that the financial statements comply with the Companies Act 1965 and Financial Reporting Standards in
Malaysia.
FINANCIAL STATEMENTS
61 Directors’ Report 70 Statements of Cash Flows
65 Statements of Profit or Loss and 72 Notes to the Financial Statements
Other Comprehensive Income 104 Statement by Directors
67 Statements of Financial Position 104 Statutory Declaration
68 Statements of Changes In Equity 105 Independent Auditors’ Report
DIRECTORSʼ REPORT
for the year ended 31 December 2015
The Directors are pleased to submit their Annual Report to the members together with the audited financial statements
of the Group and of the Company for the financial year ended 31 December 2015.
Principal activities
The principal activities of the Company are cultivation of oil palms, productions and sales of fresh fruit bunches,
crude palm oil and palm kernel and investment holding. The principal activities of the subsidiaries of the Group
consist of oil palm plantations and palm oil mill. There have been no significant changes in these principal activities
during the financial year.
Financial results
Group Company
RM RM
Profit for the year attributable to owners of the Company 71,281,687 43,277,168
Dividends
The dividends on ordinary shares paid or declared by the Company since 31 December 2014 were as follows:
RM
In respect of the financial year ended 31 December 2014:
Final single tier dividend of 20 sen per share on 141,390,000
ordinary shares paid on 15 July 2015 28,278,000
In respect of the financial year ended 31 December 2015:

Interim single tier dividend of 10 sen per share on 141,390,000
ordinary shares paid on 15 January 2016 14,139,000
42,417,000
The Directors now recommend the payment of a final single tier dividend of 15 sen per share on 141,390,000
ordinary shares amounting to RM21,208,500 for the financial year ended 31 December 2015. The proposed dividend
is subject to the approval of the shareholders at the forthcoming Annual General Meeting. The financial statements
for the current financial year do not reflect this proposed dividend. Such dividend if approved by the shareholders,
will be accounted for in equity as an appropriation of retained earnings in the financial year ending 31 December
2016.
Reserves and provisions
All material transfers to or from reserves and provisions during the financial year are shown in the financial
statements.
Directorsʼ Report
Directors
The names of the Directors of the Company in office since the date of the last report and at the date of this report are:
YH Dato’ Sri Kamaruddin bin Mohammed

YH Dato’ Tan Bing Hua
YH Dato’ Wan Bakri bin Wan Ismail
YH Dato’ Jamaluddin bin Abd Majid Appointed on: 8.7.2015
Mr Tee Kim Tee @ Tee Ching Tee
Mr Tee Cheng Hua
Encik Hashim Naina Merican bin Yahaya Merican
Mr Tee Lip Teng
Encik Nik Mohamed Zaki bin Nik Yusoff Appointed on: 8.7.2015
In accordance with Article 97 of the Companyʼs Articles of Association, Mr Tee Lip Teng and Encik Hashim Naina
Merican bin Yahaya Merican retire by rotation at the forthcoming Annual General Meeting and being eligible offer
themselves for re-election.
In accordance with Article 102 of the Companyʼs Articles of Association, YH Dato’ Jamaluddin bin Abd Majid and
Encik Nik Mohamed Zaki bin Nik Yusoff retire at the forthcoming Annual General Meeting and being eligible offer
themselves for re-election.
Pursuant to Section 129(6) of the Companies Act, 1965 the Directors over the age of seventy years are required
to offer themselves for re-appointment annually. YH Datoʼ Tan Bing Hua who reached 70 years offers himself for
re-election at the forthcoming Annual General Meeting and to hold office until the conclusion of the next Annual
General Meeting of the Company.
Directorsʼ benefits
During and at the end of the year, no arrangements subsisted to which the Company is a party, being arrangements
with the object or objects of enabling Directors of the Company to acquire benefits by means of the acquisition of
shares in, or debentures of, the Company or any other body corporate.
Since the end of the previous year, no Director has received or become entitled to receive a benefit (other than
Directorsʼ remunerations disclosed in the financial statements) by reason of a contract made by the Company or a
related corporation with the Director or with a firm of which he is a member, or with a company in which he has a
substantial financial interest except as disclosed in Note 25 to the financial statements.
Directorsʼ Report
Directorsʼ interests in shares
According to the register of directorsʼ shareholdings, particulars of interests of Directors who held office at the end
of the year in shares in the Company and its related corporations are as follows:
Number of ordinary shares of RM1 each

1.1.2015 Bought Sold 31.12.2015
Direct interest - in the Company
YH Datoʼ Sri Kamaruddin bin Mohammed 2,700,000 - - 2,700,000
Mr Tee Kim Tee @ Tee Ching Tee 4,704,400 51,500 - 4,755,900
Mr Tee Cheng Hua 2,124,000 - - 2,124,000
Encik Hashim Naina Merican bin Yahaya Merican 10,000 - - 10,000
Mr Tee Lip Teng 300,000 - - 300,000
1.1.2015 Bought Sold 31.12.2015

Indirect interest – in the Company
YH Datoʼ Sri Kamaruddin bin Mohammed 600,000 - - 600,000
YH Datoʼ Tan Bing Hua 44,000 - - 44,000
Other than disclosed above, according to the register of directorsʼ shareholdings, the other Directors in office at the
end of the year did not hold any interest in shares in the Company and its related corporations during the year.
The Directors by virtue of their interest in shares of the Company are also deemed to have interest in shares of the
Companyʼs subsidiaries to the extent that the Company has an interest.
Statutory information on the financial statements
Before the statements of profit or loss and other comprehensive income and statements of financial position were
made out, the Directors took reasonable steps:
• to ascertain that proper action had been taken in relation to the writing off of bad debts and the making of
allowance for doubtful debts and satisfied themselves that all known bad debts had been written off and that
adequate allowance had been made for doubtful debts; and
• to ensure that any current assets, other than debts, which were unlikely to realise in the ordinary course of
business their values as shown in the accounting records of the Group and of the Company had been written
down to an amount which they might be expected so to realise.
At the date of this report, the Directors are not aware of any circumstances:
• which would render the amounts written off for bad debts or the amount of the allowance for doubtful debts in
the financial statements of the Group and of the Company inadequate to any substantial extent; or
• which would render the values attributed to current assets in the financial statements of the Group and of the
Company misleading; or
• which have arisen which render adherence to the existing method of valuation of assets or liabilities of the
Group and of the Company misleading or inappropriate.
Directorsʼ Report
Statutory information on the financial statements (continued)
No contingent or other liability has become enforceable or is likely to become enforceable within the period of
twelve months after the end of the financial year which, in the opinion of the Directors, will or may affect the ability
of the Group or of the Company to meet their obligations when they fall due.
At the date of this report, there does not exist:
• any charge on the assets of the Group or of the Company which has arisen since the end of the financial year
which secures the liability of any other person; or
• any contingent liability of the Group or of the Company, which has arisen since the end of the year.
At the date of this report, the Directors are not aware of any circumstances not otherwise dealt with in this report or
the financial statements, which would render any amount stated in the financial statements misleading other than the
material litigation as disclosed in Note 30 to the financial statements.
In the opinion of the Directors:
• the profits of the Groupʼs and of the Companyʼs operations during the year were not substantially affected by
any item, transaction or event of a material and unusual nature; and
• there has not arisen in the interval between the end of the financial year and the date of this report any item,
transaction or event of a material and unusual nature likely to affect substantially the profits of the operations of
the Group or of the Company for the year in which this report is made.
Auditors
The auditors, McMillan Woods Thomas, have expressed their willingness to continue in office.
In accordance with a resolution of the Board of Directors dated 23 March 2016.
Datoʼ Sri Kamaruddin bin Mohammed Tee Cheng Hua

Group Executive Chairman Executive Director
Statements of profit or loss

and other comprehensive income
Group Company
2015 2014 2015 2014
Note RM RM RM RM
Continuing operations
Revenue 4 327,736,280 428,342,939 70,066,681 79,431,728

Other operating income 4,998,548 15,582,167 2,308,306 11,635,684
Amortisation of amounts
due from subsidiaries - - 1,678,382 1,844,014
Loss on initial recognition of
amounts due from subsidiaries - - (1,111,969) (1,867,168)
Staff costs (14,380,430) (13,631,193) (2,931,554) (2,870,242)
Changes in inventories (262,257) (2,275,705) - -
Finished goods purchased (14,808,436) (93,104,948) - -
Raw material purchased (120,107,271) (133,965,477) - -
Production cess (1,126,551) (1,052,549) - -
Carriage outwards (5,476,709) (4,562,148) - -
Upkeep, repair and maintenance
of assets (4,976,938) (4,442,483) - -
Utilities and fuel (1,410,033) (1,710,569) - -
Depreciation (10,575,834) (10,657,738) (3,118,103) (3,219,570)
Upkeep and cultivation (30,887,474) (28,114,905) (9,151,306) (8,581,932)
Harvesting (21,377,330) (19,819,792) (5,690,514) (5,285,148)
Estate general charges (8,350,824) (7,323,948) (2,717,351) (2,278,483)
Replanting expenses (3,783,879) (4,032,684) - -
Other operating expenses (17,017,021) (15,004,993) (3,662,901) (3,239,510)
Finance income 6,350,787 6,303,297 3,993,534 4,275,155
Finance cost (1,201) - - -
Share of profit after tax of equity
accounted associates 17,810,228 18,712,124 - -
Profit before tax 5 102,353,655 129,241,395 49,663,205 69,844,528
Tax expenses 7 (21,701,254) (24,987,390) (6,386,037) (7,495,257)
Profit for the year 80,652,401 104,254,005 43,277,168 62,349,271
Profit for the year attributable to:
Owners of the Company 71,281,687 93,128,166 43,277,168 62,349,271

Non-controlling interests 9,370,714 11,125,839 - -
80,652,401 104,254,005 43,277,168 62,349,271
Statements of Profit or Loss and Other Comprehensive Income

Group Company
2015 2014 2015 2014
Note RM RM RM RM
Profit for the year

80,652,401 104,254,005 43,277,168 62,349,271
Other comprehensive income
Items that will not be reclassified

subsequently to profit or loss:
- Surplus from revaluation of leasehold
land and oil palm plantation 22 109,275,977 - 43,346,944 -
- Transfer from revaluation reserve 2,999,685 2,999,685 914,817 914,817
- Transfer to retained earnings (2,999,685) (2,999,685) (914,817) (914,817)
109,275,977 - 43,346,944 -
Item that may be reclassified

subsequently to profit or loss:
- “Available for sale” - fair value
gain/(loss) 782,411 (408,214) - -
Other comprehensive income

for the year 110,058,388 (408,214) 43,346,944 -
Total comprehensive income

for the year 190,710,789 103,845,791 86,624,112 62,349,271
Total comprehensive income

attributable to:
Owners of the Company 174,211,075 92,719,952 86,624,112 62,349,271

190,710,789 103,845,791 86,624,112 62,349,271
Earnings per share attributable to

equity holders of the Company (sen)
- basic 8 50.41 65.87
The accompanying notes form an integral part of these financial statements.

Statements of financial position

AS AT 31 December 2015
Group Company
2015 2014 2015 2014
Note RM RM RM RM
Non current assets
Property, plant and equipment 10 839,517,232 690,147,136 288,095,374 226,900,654

Land held for disposal 11 22,412,539 22,412,539 22,412,539 22,412,539
Subsidiaries 12 - - 42,499,349 42,499,349
Associates 13 320,583,473 306,215,834 89,675,168 89,675,168
Other financial assets 14 3,000,000 - 3,000,000 -
1,185,513,244 1,018,775,509 445,682,430 381,487,710
Current assets
Other financial assets 14 165,182 3,119,698 - -

Inventories 15 5,290,330 5,431,261 64,673 74,664
Receivables, deposits and prepayments 16 56,972,464 73,052,952 89,068,213 96,539,890
Tax recoverable 1,490,496 2,520,736 309,963 151,000
Deposits, cash and bank balances 17 276,004,017 232,520,441 151,280,672 134,893,421
339,922,489 316,645,088 240,723,521 231,658,975
Less: Current liabilities
Payables 18 28,944,051 29,527,796 2,844,885 2,425,731

Dividend payable 14,139,000 - 14,139,000 -
Hire purchase creditor 34,602 - - -
Current tax liabilities 874,584 150,975 - -
43,992,237 29,678,771 16,983,885 2,425,731
Net current assets
295,930,252 286,966,317 223,739,636 229,233,244
Less: Non current liabilities
Deferred tax liabilities 19 166,157,138 129,385,638 54,633,000 40,139,000

Hire purchase creditor 58,731 - - -
166,215,869 129,385,638 54,633,000 40,139,000
Total net assets
1,315,227,627 1,176,356,188 614,789,066 570,581,954
Capital and reserves attributable

to owners of the Company
Share capital 20 141,390,000 141,390,000 141,390,000 141,390,000

Share premium 21 47,997,970 47,997,970 44,947,244 44,947,244
Revaluation reserves 22 402,834,213 303,686,921 124,842,586 82,410,459
Retained earnings 23 645,630,630 612,983,847 303,609,236 301,834,251
Shareholdersʼ equity 1,237,852,813 1,106,058,738 614,789,066 570,581,954
Total equity
1,315,227,627 1,176,356,188 614,789,066 570,581,954

68
Attributable to owners of the Company
Non-
Share Share Revaluation Retained controlling Total
capital premium reserves earnings Total interest equity
(Note 20) (Note 21) (Note 22)
Group Note RM RM RM RM RM RM RM
At 31 December 2013 141,390,000 47,997,970 306,686,606 552,611,710 1,048,686,286 70,156,461 1,118,842,747
Total comprehensive income - - (2,999,685) 95,719,637 92,719,952 11,125,839 103,845,791
Dividends for the year ended
- 31 December 2013 9 - - - (21,208,500) (21,208,500) (7,758,283) (28,966,783)

- 31 December 2014 9 - - - (14,139,000) (14,139,000) (3,226,567) (17,365,567)
At 31 December 2014 141,390,000 47,997,970 303,686,921 612,983,847 1,106,058,738 70,297,450 1,176,356,188
At 31 December 2014 141,390,000 47,997,970 303,686,921 612,983,847 1,106,058,738 70,297,450 1,176,356,188

Total comprehensive income - - 99,147,292 75,063,783 174,211,075 16,499,714 190,710,789
- 31 December 2014 9 - - - (28,278,000) (28,278,000) (9,422,350) (37,700,350)
- 31 December 2015 9 - - - (14,139,000) (14,139,000) - (14,139,000)
At 31 December 2015
141,390,000 47,997,970 402,834,213 645,630,630 1,237,852,813 77,374,814 1,315,227,627
Statements of changes in equity
Statements of Changes in Equity

Share Share Revaluation Retained

capital premium reserves earnings
Company Note (Note 20) (Note 21) (Note 22) (Note 23) Total
RM RM RM RM RM
At 31 December 2013 141,390,000 44,947,244 83,325,276 273,917,663 543,580,183
Total comprehensive income - - (914,817) 63,264,088 62,349,271
- 31 December 2013 9 - - - (21,208,500) (21,208,500)
- 31 December 2014 9 - - - (14,139,000) (14,139,000)
At 31 December 2014 141,390,000 44,947,244 82,410,459 301,834,251 570,581,954
At 31 December 2014 141,390,000 44,947,244 82,410,459 301,834,251 570,581,954

Total comprehensive income - - 42,432,127 44,191,985 86,624,112
- 31 December 2014 9 - - - (28,278,000) (28,278,000)
- 31 December 2015 9 - - - (14,139,000) (14,139,000)
At 31 December 2015
141,390,000 44,947,244 124,842,586 303,609,236 614,789,066

Statements of CASH FLOWS

Group Company
2015 2014 2015 2014
Note RM RM RM RM
Operating activities
Profit for the year attributable to
owners of the Company 71,281,687 93,128,166 43,277,168 62,349,271
Adjustments for:
Property, plant and equipment
- depreciation 10,575,834 10,657,738 3,118,103 3,219,570
- gain on disposal (153,582) (16,367) (119,999) -
- written off 9,914 1,355 2,796 313
Share of profit of associates (17,810,228) (18,712,124) - -
Gain on disposal of land held
for disposal - (9,334,691) - (9,334,691)
Loss on initial recognition - - 1,111,969 1,867,168
Amortisation of receivable - - (1,678,382) (1,844,014)
Dividend income - - (24,593,682) (32,229,222)
Interest expenses 1,201 - - -
Interest income (6,350,787) (6,303,794) (3,993,534) (4,275,155)
Tax expense 21,701,254 24,987,390 6,386,037 7,495,257
Operating profit before working capital 88,626,007 105,533,512 23,510,476 27,248,497
Changes in working capital:
- inventories 140,931 2,614,405 9,991 30,548
- receivables, deposits and prepayments 12,406,324 13,523,013 13,868,190 2,723,628
- subsidiaries - - (9,502,298) (2,562,100)
- payables (583,745) (4,880,263) 417,188 (622,990)
Cash from operations 100,589,517 116,790,667 28,303,547 26,817,583
Interest paid (1,201) - - -
Interest received 6,305,303 6,215,983 3,993,534 4,275,155
Tax refunded 1,892,863 489,346 - -
Tax paid (21,493,768) (27,158,173) (6,500,000) (8,082,257)
Net cash flow from operating activities 87,292,714 96,337,823 25,797,081 23,010,481
Statements of Cash Flows

Group Company
2015 2014 2015 2014
Note RM RM RM RM
Investing activities
Property, plant and equipment
- purchase (10,475,706) (14,248,678) (2,845,512) (2,065,349)
- proceed from disposal 153,585 51,001 120,000 -
Purchase of investment (3,000,000) - (3,000,000) -
Proceed from disposal of investment 3,000,000 - - -
Proceed from disposal of land held
for disposal, net of expenses - 975,121 - 975,121
Dividend received 4,225,000 4,225,000 24,593,682 32,229,222
Net cash flow (used in)/from
investing activities (6,097,121) (8,997,556) 18,868,170 31,138,994
Financing activities
Hire purchase paid (11,667) - - -
Dividend paid (37,700,350) (60,471,350) (28,278,000) (49,486,500)
Net cash flow used in
financing activities (37,712,017) (60,471,350) (28,278,000) (49,486,500)
Net increase in cash and

cash equivalents 43,483,576 26,868,917 16,387,251 4,662,975
Cash and cash equivalents
- at start of the year 232,520,441 205,651,524 134,893,421 130,230,446
- at end of the year 17 276,004,017 232,520,441 151,280,672 134,893,421

Notes to the financial statements

1 General information
The principal activities of the Company are cultivation of oil palms, productions and sales of fresh fruit
bunches, crude palm oil and palm kernel and investment holding. The principal activities of the subsidiaries
of the Group consist of oil palm plantations and palm oil mill.
The Company is a public limited liability company, incorporated and domiciled in Malaysia, and listed on the
Main Board of the Bursa Malaysia Securities Berhad.
The address of the registered office and principal place of business of the Company is Suite 5 & 6, Tingkat 8,
Kompleks Teruntum, Jalan Mahkota, 25000 Kuantan, Pahang Darul Makmur.
The financial statements are presented in Ringgit Malaysia, which is its functional currency.
2 Basis of preparation of financial statements
The financial statements of the Group and of the Company are prepared under the historical cost basis unless
otherwise indicated in the individual policy statements in Note 3 to the financial statements and comply with
Financial Reporting Standards and the requirements of the Companies Act, 1965.
The preparation of financial statements are in conformity with the requirements of the Companies Act, 1965
and the Financial Reporting Standards requires the use of estimates and assumptions that affect the reported
amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of revenue and expenses during the reported period. Although these
estimates are based on the Directorsʼ best knowledge of current events and actions, actual result may differ
from those estimates.
The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates
are significant to the financial statements are disclosed in Note 28 to the financial statements.
3 Summary of significant accounting policies
The principal accounting policies adopted are set out below:
(a) Property, plant and equipment
Property, plant and equipment are initially stated at cost. Land and oil palm plantations are subsequently
shown at revalued amount, based on valuation at regular interval of once every five years carried out by
a firm of independent external valuers, less subsequent depreciation and impairment losses. All other
property, plant and equipment are stated at cost less accumulated depreciation and impairment losses.
Cost includes expenditure that is directly attributable to the acquisition of the items.
Subsequent costs are included in the assetsʼ carrying amount or recognised as a separate asset, as
appropriate, only when it is probable that future economic benefits associated with the item will flow
to the Group and the cost of the item can be measured reliably. All other repairs and maintenance
expenditure are charged to the statement of profit or loss during the period in which they are incurred.
Surpluses arising on revaluation are credited to revaluation reserve. Any deficit arising from revaluation
is charged against the revaluation reserve to the extent of a previous surplus held in the revaluation
reserve for the same asset. In all other cases, a decrease in carrying amount is charged to income
statement. On disposal of revalued assets, amounts in revaluation reserve relating to those assets are
transferred to retained earnings.
Notes to the Financial Statements

3 Summary of significant accounting policies (continued)
(a) Property, plant and equipment (continued)
Long-term leasehold land is amortised in equal instalments over the period of the leases ranging from
73 to 96 years. Oil palm plantations are not depreciated. Other property, plant and equipment are
depreciated on the straight line basis to allocate the cost of each asset, or its revalued amount, to its
residual value over its estimated useful life as follows:
%
Buildings 10
Plant and machinery 20
Motor vehicles, furniture, fixtures and equipment 20 - 33.33
Residual values and useful lives of assets are reviewed, and adjusted if appropriate, at each year-end to
ensure that the amount, method and period of depreciation are consistent with previous estimates and
the expected pattern of consumption of the future economic benefits embodied in the items of property,
plant and equipment.
At each year-end date, the Group assesses whether there is any indication of impairment. If such
indications exist, an analysis is performed to assess whether the carrying amount of the asset is fully
recoverable. A write down is made if the carrying amount exceeds the recoverable amount. See
accounting policy Note 3 (g) on impairment of non-financial assets.
Gains and losses on disposals are determined by comparing proceeds with carrying amount and are
included in profit/(loss) from operation in the income statement.
Depreciation on assets under construction commences when the assets are ready for their intended use.
(b) Estate planting expenditure
New planting
Planting expenditure of new oil palm plantations will be capitalised as immature plantation cost
and shown as property, plant and equipment. As and when the new oil palm plantations mature the
capitalisation of planting expenditure will cease.
Replanting
Replanting of oil palm is charged to statement of profit or loss as replanting expenses as and when
incurred.
(c) Non-current assets held for sale
Non-current assets are classified as held for sale if there has been a change in management intentions in
respect of the future use of the asset or disposal group, and hence the carrying amount will be recovered
principally through a sale transaction rather than through continuing use.
On initial classification as held for sale, non-current assets are measured at the lower of their carrying
amount and fair value less costs to sell. Immediately before the initial classification as held for sale, the
carrying amount of non-current assets is measured in accordance with the applicable FRSs.
An impairment loss is recognised for any initial or subsequent write-down of the assets to fair value less
costs to sell. Any subsequent increase in fair value less costs to sell is recognised as a gain in profit or
loss, to the extent of the cumulative impairment loss that had previously been recognised.

(d) Subsidiaries and basis of consolidation
(i) Subsidiaries
Subsidiaries are all entities over which the Group has control. The Group controls an entity when
the Group is exposed to, or has rights to, variable return from its involvement with the entity and
has the ability to affect those returns through its power over the entity.
In the Companyʼs separate financial statements, investments in subsidiaries are accounted for at
cost less accumulated impairment losses. On disposal of such investments, the difference between
net disposal proceeds and their carrying amounts is recognised in profit or loss.
(ii) Basis of consolidation
The consolidated financial statements comprise the financial statements of the Company and its
subsidiaries made up to the end of the financial year. The financial statements of the subsidiaries
used in the preparation of the consolidated financial statements are prepared for the same financial
period as the Company. Consistent accounting policies are applied to like transactions and events
in similar circumstances.
All intra-group balances, income and expenses and unrealised gains and losses resulting from
intra-group transactions are eliminated in full.
Acquisition of subsidiaries is accounted for by applying the purchase method. Under the purchase
method of accounting, subsidiaries are fully consolidated from the date on which control
is transferred to the Group and de-consolidated from the date that control ceases. The cost of
acquisition is measured as fair value of the assets given, equity issued and liabilities incurred or
assumed at the date of exchange, plus costs directly attributable to the acquisition.
Identifiable assets acquired and liabilities and contingent liabilities assumed in a business
combination are measured initially at their fair values at the acquisition date, irrespective of
the extent of any non-controlling interests. The excess of the cost of acquisition is reflected as
goodwill. If the acquisition is less than the fair value of the net assets of the subsidiary acquired,
the difference is recognised directly in the statement of profit or loss.
(iii) Non-controlling interests
Non-controlling interests represents the portion of profit or loss and net assets of a subsidiary
attributable to equity interests that are not owned by the Group and are presented separately
in profit or loss of the Group and within equity in the consolidated statements of financial
position, separately from owner shareholdersʼ equity. Transactions with non-controlling interests
are accounted for using the entity concept method, whereby, transactions with non-controlling
interests are accounted for as transactions with owners. On acquisition of non-controlling interests,
the difference between the consideration and the book value of the share of the net assets acquired
is recognised directly in equity. Gain or loss on disposal of non-controlling interests is recognised
directly in equity.
(e) Associates
In the Companyʼs separate financial statements, investments in associates are stated at cost less
accumulated impairment losses.
Associates are entities in which the Group is in the position to exercise significant influence, but it does
not control, generally accompanying a shareholding of between 20% and 50% of the voting rights.
Significant influence is the power to participate in the financial and operating policy decisions of the
associates but not the power to exercise control over those policies.

(e) Associates (continued)
Investments in associates are accounted for in the consolidated financial statements by using the equity
method of accounting and are initially recognised at cost. The Groupʼs investment in associates includes
goodwill identified on acquisition, net of any accumulated impairment loss.
The Groupʼs shares of its associatesʼ post acquisition profits or losses is recognised in the income
statement and its share of post-acquisition movements in reserves is recognised in reserves. The
cumulative post-acquisition movements are adjusted against carrying amount of the investment. When
the Groupʼs share of losses in an associate equals or exceeds its interest in the associate the Groupʼs
interest is reduced to nil and recognition of further losses is discontinued except to the extent that the
Group has incurred legal or constructive obligations or made payments on behalf of the associates.
Unrealised gains on transactions between the Group and its associates are eliminated to the extent of the
Groupʼs interest in the associates; unrealised losses are also eliminated unless the transaction provides
evidence on impairment of the assets transferred. Where necessary, in applying the equity method,
adjustments are made to the financial statements of associates to ensure consistency of accounting
policies with those of the Group.
(f) Investments
Investments in subsidiaries and associates are shown at cost. Where an indication of impairment exists,
the carrying amount of the investment is assessed and written down immediately to its recoverable
amount. See Note 3 (g) on impairment of non-financial assets.
On disposal of an investment, the difference between net disposal proceeds and its carrying amount is
charged/credited to the statement of profit or loss.
(g) Impairment of non-financial assets
Assets that have an indefinite useful life are not subject to amortisation and are tested annually for
impairment. Assets that are subject to amortisation are reviewed for impairment whenever events or
changes in circumstances indicate that the carrying amount may not be recoverable. An impairment
loss is recognised for the amount by which the carrying amount of the asset exceeds its recoverable
amount. The recoverable amount is the higher of assetʼs fair value less costs to sell and value in use. In
assessing value in use, the estimated future cash flows are discounted to their present value using a pre-
tax discount rate that reflect market assessments of the time value of money and the risks specific to the
asset. For the purpose of assessing impairment, assets are grouped at the lowest level for which there is
separately identifiable cash flows (cash-generating units). Non-financial assets other than goodwill that
suffered impairment are reviewed for possible reversal of the impairment at each reporting date.
Impairment losses are recognised in profit or loss except for assets that are previously revalued where
the revaluation was taken to other comprehensive income. In this case, the impairment is also recognised
in other comprehensive income up to the amount of any previous revaluation.
(h) Inventories
Inventories are stated at the lower of cost and net realisable value. Cost is determined using the weighted
average method. The cost of finished goods comprises raw materials, direct labour, other direct costs
and related production overheads (based on normal operating capacity). It excludes borrowing costs.
Net realisable value is the estimated selling price in the ordinary course of business, less the costs of
completion and applicable variable selling expenses.
(i) Cash and cash equivalents
Cash and cash equivalents comprise cash in hand, deposits held at call with banks, bank overdrafts and
short term, highly liquid investments that are readily convertible to known amounts of cash and which
are subject to an insignificant risk of changes in value.

(j) Taxation
Tax on the profit or loss for the year comprises current and deferred tax. Income tax is recognised in the
profit or loss except to the extent that it relates to items recognised outside profit or loss, either in other
comprehensive income or directly in equity.
Current tax expense is the expected tax payable on the taxable income for the year, using tax rates
enacted or substantially enacted at the balance sheet date, and any adjustment to tax payable in respect
of previous years.
Deferred tax is provided using the liability method on temporary differences arising between the
tax bases of assets and liabilities and their carrying amounts in the financial statements. Temporary
differences are not recognised for the initial recognition of assets and liabilities that at the time of the
transaction affects neither accounting nor taxable profit. The amount of deferred tax provided is based
on the expected manner of realisation or settlement of the carrying amount of assets and liabilities,
using tax rates enacted or substantially enacted at the balance sheet date.
A deferred tax asset is recognised only to the extent that it is probable that future taxable profits will be
available against which the asset can be utilised.
Deferred tax relating to items recognised outside profit or loss is recognised outside profit or loss.
Deferred tax items are recognised in correlation to the underlying transactions in other comprehensive
income or directly in equity and deferred tax arising from a business combination is adjusted against
goodwill on acquisition.
(k) Employee benefits
(i) Short term employee benefits
Wages, salaries and bonuses are accrued in the year in which the associated services are rendered
by employees of the Group.
(ii) Defined contribution plans
As required by law, companies incorporated in Malaysia make contribution to the state pension
scheme, the Employees Provident Fund (“EPF”). Such contributions are recognised as an expense
in the statement of profit or loss as incurred.
(l) Financial instruments
(i) Financial assets
Financial assets are recognised in the statements of financial position when the Group and
Company become a party to the contractual provisions of the instrument. Regular way purchases
and sales of financial assets are recognised and derecognised using trade date accounting.
On initial recognition, financial assets are measured at fair value, plus transaction costs for
financial assets not at ‘fair value through profit or loss’.
Effective interest method is a method of calculating the amortised cost of financial assets and of
allocating the interest income over the relevant period. The effective interest rate is the rate that
exactly discounts estimate future cash receipts through the expected life of the financial assets or
a shorter period to the net carrying amount of the financial assets.
After initial recognition, financial assets are classified into one of four categories: financial assets
at ‘fair value through profit or loss’, ‘held-to-maturity’ investments, loans and receivables and
‘available-for-sale’ financial assets.

(l) Financial instruments (continued)
(i) Financial assets (continued)
Financial Assets at “Fair Value Through Profit or Loss’’
Financial assets are classified as at “fair value through profit or loss” when the financial assets
are either ‘held for trading’, or upon initial recognition, financial assets are designated as at “fair
value through profit or loss”.
A financial asset is classified as ‘held for trading’ if:

- it is acquired principally for the purpose of selling it in the near term; or
- on initial recognition, it is part of a portfolio of identified financial instruments that are managed
together and for which there is evidence of a recent actual pattern of short-term profit-taking; or
- it is a derivative that is not designated and effective hedging instrument.
After initial recognition, financial assets at “fair value through profit or loss” are measured at fair
value. Gains or losses on the financial assets at ‘fair value through profit or loss’ are recognised
in profit or loss.
Loans and Receivables
Loans and receivables are non-derivative financial assets (such as trade receivables, loans assets,
unquoted debt instruments and deposits held in banks) with fixed or determinable payments that
are not quoted in an active market.
After initial recognition, loans and receivables are measured at amortised cost using the effective
interest method less any accumulated impairment losses. Gains or losses are recognised in profit
or loss when loans and receivables are derecognised or impaired.
Derecognition of Financial Assets
Financial assets are derecognised when the contractual rights to the cash flows from the financial
assets expire or the Group and Company transfer the financial assets and the transfers qualify for
derecognition.
On derecognition of financial assets in their entirety, the differences between the carrying amounts
and the sum of the consideration received and any cumulative gains or losses that have been
recognised in other comprehensive income are recognised in profit or loss.
Impairment of Financial Assets
At the end of each reporting period, the Group and the Company assess whether there is any
objective evidence that financial assets held, other than financial assets at ‘fair value through profit
or loss’, are impaired. Financial assets are impaired if there is objective evidence of impairment
as a results of one or more events that occurred after the initial recognition of the financial assets
which have an impact on the estimated future cash flows of the financial assets that can be reliably
measured.
For other financial assets, objective evidence could include:

- significant financial difficulty of the issuer; or
- a breach of contract; or
- the lender granting to the borrower a concession that the lender would not otherwise consider; or
- it becoming probable that the borrower will enter bankruptcy or other financial reorganisation; or
- observable data indicating that there is a measurable decrease in the estimated future cash flows
from the financial assets since the initial recognition of those assets.

(l) Financial instruments (continued)
(i) Financial assets (continued)
For certain categories of financial assets, such as trade receivables, if it is determined that no
objective evidence of impairment exists for an individually assessed financial asset, whether
significant or not, the assets are included in a group with similar credit risk characteristics and
collectively assessed for impairment.
The carrying amounts of the financial assets are reduced directly, except for the carrying amounts
of trade receivables which are reduced through the use of an allowance account. Any impairment
loss is recognised in profit or loss immediately. If, in later periods, the amount of any impairment
loss decreases, the previously recognised impairment losses are reversed directly, except for the
amounts related to trade receivables which are reversed to write back the amount previously
provided in the allowance account. The reversal is recognised in profit or loss immediately.
(ii) Financial liabilities
Financial liabilities are recognised on the statement of financial position when the Group and
Company become a party to the contractual provisions of the instrument.
On initial recognition, financial liabilities are measured at fair value, plus transaction costs for
financial liabilities not at “fair value through profit or loss”.
After initial recognition, financial liabilities are either classified as at “fair value through profit or
loss” or amortised cost using the effective interest method.
Derecognition of Financial Liabilities
Financial liabilities are derecognised when the obligation specified in the contract is discharged,
cancelled or expired.

Any difference between the carrying amounts of financial liabilities derecognised and the
consideration paid is recognised in profit or loss.
(m) Share capital
Ordinary shares are classified as equity. Dividends to shareholders are recognised in equity in the period
in which they are paid or right to receive payment is established.
(n) Revenue recognition
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group
and Company and the revenue can be reliably measured.
Revenue is measured at the fair value of the consideration received or receivable.
Revenue is recognised upon delivery of products and customer acceptance net of discounts, if any, and
after eliminating sales within the Group.
Dividend income is recognised when the Groupʼs right to receive payment is established.
Income from rental and interest are recognised on accrual basis.


4 Revenue
Group Company
2015 2014 2015 2014
RM RM RM RM
Sales of fresh fruit bunches 89,196,597 102,437,592 45,472,999 47,202,506
Sales of crude palm oil and palm kernel 238,539,682 325,905,347 - -
Dividend income - - 24,593,682 32,229,222
327,736,280 428,342,939 70,066,681 79,431,728
Dividend income of the Company is excluding RM17,292,428 (2014: RM17,292,428) declared by its
subsidiary, Kampong Aur Oil Palm Company (Sdn.) Berhad, for the shares issued by the later to the Company
which is disputed and under an on-going legal proceeding. The status of the litigation is as disclosed in Note
30 to the financial statements.
5 Profit before tax
(a) The following items have been charged/(credited) in arriving at profit before tax:
Group Company
2015 2014 2015 2014
RM RM RM RM
Auditorsʼ remuneration:
- statutory audit
current year 172,000 138,000 50,000 40,000
previous year 34,000 - 10,000 -
- assurance related services 43,000 43,000 43,000 43,000
Property, plant and equipment:
- written off 9,914 1,355 2,796 313
- gain on disposal (153,582) (16,367) (119,999) -
Cost of contract workers 47,754 48,405 - -
Gain on disposal of land
held for disposal - (9,334,691) - (9,334,691)
Rental of land 489,652 487,912 - -
Rental of lorry - 2,082 - -
Rental income (118,398) (125,406) (82,398) (85,376)
(b) Employee benefits cost
Group Company
2015 2014 2015 2014
RM RM RM RM
Salaries, bonus and other benefits 12,738,161 12,218,596 2,516,213 2,509,996
Defined contribution plans 1,642,269 1,412,597 415,341 360,246
14,380,430 13,631,193 2,931,554 2,870,242

6 Key management personnel compensation
(a) Directors
Group Company
2015 2014 2015 2014
RM RM RM RM
Directors of the Company
Non-executive Directors
- Fees 718,767 1,170,600 448,767 555,600
- Other emoluments - 772,200 - 772,200
718,767 1,942,800 448,767 1,327,800
Executive Directors
- Fees 880,000 375,000 220,000 70,000
- Other emoluments 1,521,763 700,377 1,163,363 366,563
2,401,763 1,075,377 1,383,363 436,563
Directors of subsidiaries
Non-executive Directors
- Fees 895,000 851,500 - -
Total 4,015,530 3,869,677 1,832,130 1,764,363
(b) Other key management personnel
Group Company
2015 2014 2015 2014
RM RM RM RM
Salaries, bonus and other benefits 1,482,633 1,404,252 1,021,453 950,812
Defined contribution plans 199,428 193,320 152,775 140,917
Total 1,682,061 1,597,572 1,174,228 1,091,729
7 Tax expenses
(a) Tax charge for the year
Group Company
2015 2014 2015 2014
RM RM RM RM
Malaysian income tax 21,354,754 23,951,936 6,341,037 7,344,257
Deferred tax (Note 19) 346,500 1,035,454 45,000 151,000
Tax expenses 21,701,254 24,987,390 6,386,037 7,495,257
Share of tax of equity
accounted associates 7,317,394 6,779,858 - -
Total tax expense 29,018,648 31,767,248 6,386,037 7,495,257
Malaysian income tax

Current year 21,532,085 24,007,081 6,500,000 7,349,000
Over accrued in previous years (177,331) (55,145) (158,963) (4,743)
21,354,754 23,951,936 6,341,037 7,344,257
Deferred tax
Temporary differences 346,500 1,035,454 45,000 151,000
Tax expenses 21,701,254 24,987,390 6,386,037 7,495,257

7 Tax expenses (continued)
(b) Numerical reconciliation of income tax expense
The explanation on the difference in the tax on the Groupʼs and Companyʼs profit and the theoretical
amount that would arise using the statutory income tax rate of Malaysia is as follows:
Group Company
2015 2014 2015 2014
RM RM RM RM
Profit for the year 80,652,401 104,254,005 43,277,168 62,349,271
Total tax expenses 29,018,648 31,767,248 6,386,037 7,495,257
109,671,049 136,021,253 49,663,205 69,844,528
Tax calculated at the tax rate

of 25% (2014: 25%) 27,417,762 34,005,313 12,415,801 17,461,132
Tax effect of:
- expenses not deductible
for tax purposes 2,077,919 1,444,652 277,620 429,841
- over accrued in previous years (177,331) (55,145) (158,963) (4,743)
- benefits from utilisation of
reinvestment allowance (112,432) (259,294) - -
- deferred tax over accrued - (763,610) - -
- deferred tax asset not recognised - 44,250 - -
- income not taxable (187,270) (2,648,918) (6,148,421) (10,390,973)
Total tax expenses 29,018,648 31,767,248 6,386,037 7,495,257
8 Earnings per share
Basic earnings per share
Basic earnings per share of the Group are calculated by dividing the net profit for the financial year by the
weighted average number of ordinary shares in issue during the financial year.
2015 2014
Profit attributable to equity holders of the Company (RM) 71,281,687 93,128,166
Weighted average number of ordinary shares in issue 141,390,000 141,390,000
Basic earnings per share (sen) 50.41 65.87

9 Dividends
Dividends declared or proposed for year ended 31 December 2015 are as follows:
Group and Company

31.12.2015 31.12.2014
Single tier Amount of Single tier Amount of
dividend single tier dividend single tier
per share dividend per share dividend
Sen RM Sen RM
Declared
- interim single tier dividend 10.0 14,139,000 10.0 14,139,000
Proposed
- final single tier dividend 15.0 21,208,500 20.0 28,278,000
25.0 35,347,500 30.0 42,417,000
Dividend per share recognised as

distribution to ordinary equity
holders of the Company
31 December 2014
- paid during the year 20.0 28,278,000 - -
31 December 2015
- paid during the year 10.0 14,139,000 - -
31 December 2013
- paid during the year - - 15.0 21,208,500
31 December 2014
- paid during the year - - 10.0 14,139,000
30.0 42,417,000 25.0 35,347,500
Interim single tier dividend of 10 sen per share on 141,390,000 ordinary shares totalling RM14,139,000 for
the financial year ended 31 December 2015 was paid on 15 January 2016.
At the forthcoming Annual General Meeting, a final single tier dividend of 15 sen per share on 141,390,000
ordinary shares amounting to RM21,028,500 will be proposed for shareholdersʼ approval.
The proposed dividend is subject to the approval of the shareholders at the forthcoming Annual General
Meeting. The financial statements for the current financial year do not reflect this proposed dividend. Such
dividend if approved by the shareholders, will be accounted for in equity as an appropriation of retained
earnings in the financial year ending 31 December 2016.
10 Property, plant and equipment
Motor vehicles,
Long term furniture, Assets
leasehold Oil palm Plant and fixtures and under
land plantations Buildings machinery equipment construction Total
Group RM RM RM RM RM RM RM
Carrying amounts at 31 December 2013 318,470,339 331,820,034 17,053,048 11,902,775 3,056,883 4,289,106 686,592,185
Additions - 8,210,414 738,789 3,208,017 704,745 1,386,713 14,248,678
Reclassification - - 434,591 - 1 (434,592) -
Written off - - - (752) (603) - (1,355)
Disposal - - - (34,633) (1) - (34,634)
Depreciation charge (4,387,221) - (1,851,524) (3,145,543) (1,273,450) - (10,657,738)
Additions 3,698,278 5,685,558 612,380 1,142,420 1,482,232 1,634,002 14,254,870
Revaluation surplus 76,325,246 69,375,731 - - - - 145,700,977
Reclassification - 4,528,015 811,142 200,825 - (5,539,982) -
Written off - - (5,734) (350) (3,830) - (9,914)
Disposal - - - (1) (2) - (3)
Depreciation charge (4,402,825) - (1,946,782) (2,964,908) (1,261,319) - (10,575,834)
At 31 December 2014
Cost 472,672 27,239,500 35,692,550 52,312,747 12,167,163 5,241,227 133,125,859
Valuation 331,159,330 313,572,453 - - - - 644,731,783
Accumulated depreciation (17,548,884) (781,505) (19,317,646) (40,382,883) (9,679,588) - (87,710,506)
Carrying amounts 314,083,118 340,030,448 16,374,904 11,929,864 2,487,575 5,241,227 690,147,136

At 31 December 2015
Cost 472,672 - 36,385,085 53,579,278 12,665,139 1,335,247 104,437,421
Valuation 389,270,539 419,619,752 - - - - 808,890,291
Accumulated depreciation (39,394) - (20,539,175) (43,271,428) (9,960,483) - (73,810,480)
Carrying amounts 389,703,817 419,619,752 15,845,910 10,307,850 2,704,656 1,335,247 839,517,232
Annual Report 2015

83
84
10 Property, plant and equipment (continued)
Motor vehicles,
Long term furniture, Assets
leasehold Oil palm Plant and fixtures and under
land plantations Buildings machinery equipment construction Total
Company RM RM RM RM RM RM RM
Carrying amounts at 31 December 2013 117,458,054 103,636,818 4,775,915 653,592 1,530,809 - 228,055,188
Additions - 1,642,812 161,000 6,990 163,247 91,300 2,065,349
Written off - - - - (313) - (313)
Depreciation charge (1,553,532) - (667,366) (280,010) (718,662) - (3,219,570)

Carrying amounts at 31 December 2014 115,904,522 105,279,630 4,269,549 380,572 975,081 91,300 226,900,654
Additions 3,698,078 871,473 292,060 71,605 1,073,862 512,598 6,519,676
Reclassification - - 306,230 - - (306,230) -
Revaluation surplus 28,697,076 29,098,868 - - - - 57,795,944

Disposal - - - - (1) - (1)
Written off - - (2) - (2,794) - (2,796)
Depreciation charge (1,569,137) - (701,363) (198,116) (649,487) - (3,118,103)

Carrying amounts at 31 December 2015 146,730,539 135,249,971 4,166,474 254,061 1,396,661 297,668 288,095,374
At 31 December 2014
Cost - 9,583,785 8,834,616 2,842,498 5,908,139 91,300 27,260,338
Valuation 122,118,650 96,477,350 - - - - 218,596,000
Accumulated depreciation (6,214,128) (781,505) (4,565,067) (2,461,926) (4,933,058) - (18,955,684)
Carrying amounts 115,904,522 105,279,630 4,269,549 380,572 975,081 91,300 226,900,654
At 31 December 2015
Cost - - 9,290,381 2,914,103 6,140,064 297,668 18,642,216
Valuation 146,730,539 135,249,971 - - - - 281,980,510
Accumulated depreciation - - (5,123,907) (2,660,042) (4,743,403) - (12,527,352)
Carrying amounts 146,730,539 135,249,971 4,166,474 254,061 1,396,661 297,668 288,095,374

10 Property, plant and equipment (continued)
On 31 December 2015, independent qualified valuer had revalued the leasehold land and oil palm plantations
to their open market value using the investment method (2010: open market value using the comparison
method). Details of the independent qualified valuer are as follows:
Name of the firm: Azmi & Co (Pahang) Sdn Bhd

Name of the valuer: Noriha Harun, V-634
Qualification of the valuer: BSc (Hons) Estate Management (UK), APEPS, MIPPM
Details of independent professional valuation of leasehold land and oil palm plantations owned by the Group
at 31 December 2015 are as follows:
Year of valuation Description of Property Amount Basis of Valuation

RM
2000 Leasehold land and oil palm plantations 230,177,024 Open market value
11 Land held for disposal
These land are presented as non-current assets even though their recovery are by way of sale since the
Company has yet to enter into any formal sale and purchase agreement for their disposal.
12 Subsidiaries
Company
2015 2014
RM RM
Unquoted shares, at cost:
- at start and end of the year 42,499,349 42,499,349
Details of the subsidiaries, all of which are unquoted, are as follows:
Effective interest of the Group

Country of Company Subsidiary Principal activities
Name of Company incorporation 2015 2014 2015 2014
% % % %
Dawn Oil Palm Plantations Sdn Bhd Malaysia 100 100 - - Oil palm plantations
B.S. Oil Palm Plantations Sdn Bhd Malaysia 100 100 - - Oil palm plantations
Spectacular Potential Sdn Bhd Malaysia 100 100 - - Investment holding
Inai Prisma Sdn Bhd Malaysia 100 100 - - Dormant company
Kampong Aur Oil Palm Malaysia 83 83 - - Oil palm plantations
Company (Sdn.) Berhad
Madah Perkasa Sdn Bhd # Malaysia - - 83 83 Oil palm plantations
Far East Delima Plantations Sdn Bhd Malaysia 80 80 - - Oil palm plantations
F.E. Rangkaian Sdn Bhd Malaysia 70 70 - - Oil palm plantations
Kilang Kosfarm Sdn Bhd Malaysia 51 51 - - Palm oil mill
# Wholly owned subsidiary of Kampong Aur Oil Palm Company (Sdn.) Berhad.
All subsidiaries are audited by McMillan Woods Thomas.


13 Associates
Group Company
2015 2014 2015 2014
RM RM RM RM
At cost
Unquoted shares 66,464,400 66,464,400 103,358,781 103,358,781
Accumulated impairment loss - - (13,683,613) (13,683,613)
66,464,400 66,464,400 89,675,168 89,675,168
Share of post acquisition reserve 254,119,073 239,751,434 - -
320,583,473 306,215,834 89,675,168 89,675,168
Details of the associates, all of which are unquoted and incorporated in Malaysia, are as follows:
Interest of equity held by

Principal activities Company Subsidiary
Name of company 2015 2014 2015 2014
% % % %
* Prosper Palm Oil Mill Operating of palm oil mill and 40.0 40.0 - -
Sdn Berhad oil palm plantation
* Business & Budget Hotels Hotel and resort operator 36.2 36.2 - -
(Kuantan) Sdn Bhd
# Future Prelude Sdn Bhd Manufacturing and exporting of 47.2 47.2 - -
palm oil, fatty acids and chemicals
compounds or derivatives
* Jaspurna Holdings Sdn Bhd Investment holding - - @45.0 @45.0
* PGC Management Services Marketing of crude palm oil and - - @30.0 @30.0
Sdn Bhd management services
# Audited by McMillan Woods Thomas
* Audited by other firms of auditors
@ Shares held by Kilang Kosfarm Sdn Bhd
All the associates are accounted for using equity accounting method.
(a) Aggregate information of associates that are not individually material are as follows:
Group
2015 2014
RM RM
The Group share of profit/(loss) after tax 1,973,001 (320,905)
The Group share of total comprehensive income 2,755,412 (729,119)
Carrying value of Groupʼs interest in associates 50,391,522 47,861,110

13 Associates (continued)
(b) Summarised financial information in respect of the Groupʼs material associate is set out below. The
summarised financial information represents the amounts of the financial statements of the associate
and not the Groupʼs share of those amounts.
(i) Summarised statements of financial position
Prosper Palm Oil Mill

Sdn Berhad
2015 2014
RM RM
Non-current assets 606,358,708 596,340,282
Current assets 99,899,724 86,283,137
Total assets 706,258,432 682,623,419
Non-current liabilities 13,067,926 15,422,055

Current liabilities 17,710,627 21,314,554
Total liabilities 30,778,553 36,736,609
Net assets 675,479,879 645,886,810
(ii) Summarised statements of comprehensive income

Sdn Berhad
2015 2014
RM RM
Revenue 153,953,324 244,237,730
Profit before tax 56,351,733 63,300,720
Total comprehensive income 39,953,069 47,582,572
(iii) Reconciliation of the summarised financial information presented above to the carrying
amount of the Groupʼs interest in associate:

Sdn Berhad
2015 2014
RM RM
Net assets as at 1 January 645,886,810 608,304,238
Profit for the year 39,593,069 47,582,572
Dividend paid (10,000,000) (10,000,000)
Net assets as at 31 December 675,479,879 645,886,810
Interest in associate 40% 40%

Carrying value of Groups interest in associate 270,191,951 258,354,724

14 Other financial assets
Group Company
2015 2014 2015 2014
RM RM RM RM
Non-current
Held to maturity investment
Redeemable Convertible Non-Cumulative
Preference Share 3,000,000 - 3,000,000 -

Current
Financial assets at “fair value
through profit or loss”
Investment in fund management 165,182 3,119,698 - -
15 Inventories
Group Company
2015 2014 2015 2014
RM RM RM RM
At cost
Finished goods 3,839,659 3,864,576 - -
Raw material 71,056 308,396 - -
Nurseries 656,609 518,025 - -
Consumables 723,006 740,264 64,673 74,664
5,290,330 5,431,261 64,673 74,664
16 Receivables, deposits and prepayments
Group Company
2015 2014 2015 2014
RM RM RM RM
Trade receivables 16,048,010 16,805,541 3,290,199 1,839,282
Other receivables 2,954,912 18,508,344 1,292,896 16,590,340
Deposits 21,854,396 25,540,682 21,798,700 25,495,012
Prepayments 10,076 11,553 5,477 4,992
Amounts due from subsidiaries - - 62,680,941 52,610,264
Amounts due from associates 16,105,070 12,186,832 - -
56,972,464 73,052,952 89,068,213 96,539,890
Credit term of trade receivables to the Group and to the Company is 30 days (2014: 30 days).
The amounts due from subsidiaries are advances, which are unsecured, free of interest and refundable on
demand except for RM16,034,630 (2014: RM16,913,727) repayable in 2 to 4 years (2014: 2 to 4 years) period.
The amounts due from associates are in respect of trading and repayable within the normal credit period.
Included in deposits is RM21,645,820 (2014: RM25,343,897) paid to Pengarah Tanah dan Galian Pahang
and Pentadbir Tanah Daerah Pekan for the alienation of 3,333.805 acres (2014: 3,899.061 acres) of land. The
amount will be reflected as land once the Company obtained the land title deed from the relevant authority.

17 Cash and cash equivalents
Group Company
2015 2014 2015 2014
RM RM RM RM
Deposits with licensed banks 210,887,035 202,006,402 143,114,548 134,843,344
Deposit with other corporation 4,000,000 - - -
Cash and bank balances 61,116,982 30,514,039 8,166,124 50,077
276,004,017 232,520,441 151,280,672 134,893,421
The effective weighted average interest/profit rates of the deposits at the end of the year were as follows:
Group Company
2015 2014 2015 2014
% % % %
Deposit with other corporation 3.70 - - -
Deposits with licensed banks 3.18 3.12 3.15 3.22
As at 31 December 2015, the deposits of the Group and of the Company have maturity periods between 30 to
90 days (2014: 30 to 90 days). Bank balances are deposits held at call with banks.
Included in fixed deposist with licensed banks of the Group and the Company is RM91,971,412 (2014: NIL)
deposited in accordance with the Consent Order from the Court of Appeal.
18 Payables
Group Company
2015 2014 2015 2014
RM RM RM RM
Trade payables 17,051,608 20,014,366 224,477 402,804
Other payables 4,582,506 3,226,062 534,848 169,541
Deposits 5,000 5,000 5,000 5,000
Accruals 7,124,730 6,135,080 2,071,199 1,840,991
Amounts due to subsidiaries - - 9,361 7,395
Amount due to associate 180,207 147,288 - -
28,944,051 29,527,796 2,844,885 2,425,731
Credit terms of trade payables of the Group and of the Company ranges from 30 to 90 days (2014: 30 to 90
days).
The amounts due to subsidiaries and associates are unsecured, interest free and repayable within the normal
terms.

19 Deferred tax liabilities
Deferred tax liabilities are offset when there is a legal enforceable right to set off current tax assets against
current tax liabilities that relate to the same tax authority. The following amounts, determined after appropriate
offsetting, are shown in the balance sheet:
Group Company
2015 2014 2015 2014
RM RM RM RM
At start of the year 129,385,638 128,350,184 40,139,000 39,988,000
Arising from revaluation (Note 22) 36,425,000 - 14,449,000 -
Charged to statement of profit
or loss (Note 7) 346,500 1,035,454 45,000 151,000
At end of the year 166,157,138 129,385,638 54,633,000 40,139,000

Deferred tax assets before offsetting
- unabsorbed business loss (1,224,416) (1,224,416) - -
Offsetting 1,224,416 1,224,416 - -
Deferred tax assets after offsetting - - - -

Deferred tax liabilities before offsetting
- property, plant and equipment 167,294,554 130,523,054 54,633,000 40,139,000
- others 87,000 87,000 - -
Offsetting (1,224,416) (1,224,416) - -
Deferred tax liabilities after offsetting 166,157,138 129,385,638 54,633,000 40,139,000
20 Share capital
Group and the Company

Ordinary shares of RM1 each
2015 2014 2015 2014
Unit Unit RM RM
Authorised
At start and end of the year 500,000,000 500,000,000 500,000,000 500,000,000
Issued and fully paid

21 Share premium
Group Company
2015 2014 2015 2014
RM RM RM RM

22 Revaluation reserves
Group Company
2015 2014 2015 2014
RM RM RM RM
At 1 January 303,686,921 306,686,606 82,410,459 83,325,276
Surplus arising during the year 145,700,977 - 57,795,944 -
Deferred tax thereon (Note 19) (36,425,000) - (14,449,000) -
109,275,977 - 43,346,944 -
Non controlling interest share
on the surplus (7,129,000) - - -
Transfer to retained earnings (2,999,685) (2,999,685) (914,817) (914,817)
At 31 December 402,834,213 303,686,921 124,842,586 82,410,459
Revaluation reserves being surplus arising from revaluation of the Groupʼs and of the Companyʼs leasehold
land and oil palm plantations. These amounts are not distributable by way of dividend.
23 Retained earnings
The Company had moved to the single tier dividend system. Therefore all its retained earnings as at 31
December 2015 can be paid out as single tier exempt dividend.
24 Segmental information
No segmental reporting has been prepared as the Group activities are predominantly in plantation related
activities, which are carried out in Malaysia.
25 Related parties
(a) Identity of related parties
For the purpose of these financial statements, parties are considered related to the Group if the Group
has the ability, directly or indirectly to control the party or exercise significant influence over the party in
making financial and operating decisions, or vice versa or where the Group and the party are subject to
common control or common significant influence. Related parties may be individuals or other entities.
The Group has a related party relationship with its subsidiaries (see Note 12), associates (see Note 13),
key management personnel and other related parties.
Other related parties and their relationship are as follows:
Related parties Relationship

- PGC Management Services Sdn Bhd Associate of Kilang Kosfarm Sdn Bhd
- Kilang Sawira Makmur Sdn Bhd Associate of Kilang Kosfarm Sdn Bhd
- Rompin Palm Oil Mill Sdn Bhd (RPOM) PPOM holds 30% equity in RPOM
- Endau Palm Oil Mill Sdn Bhd (EPOM) PTSB holds 32% equity in EPOM
- Prosper Trading Sdn Bhd (PTSB) Substantial shareholder of the Company
- Prosper Palm Oil Products Marketing Sdn Bhd (PPOPM) PPOM holds 30% equity interest in
PPOPM
- Wujud Wawasan Sdn Bhd 51% subsidiary of Kilang Kosfarm
Sdn Bhd
- Koperasi Serbausaha Makmur Berhad Shareholder of Wujud Wawasan
Sdn Bhd
- LKPP Corporation Sendirian Berhad Shareholder of the Company

25 Related parties (continued)
(b) Transactions with key management personnel
Key management personnel compensation is disclosed in Note 6. There are no other transactions with
key management personnel other than compensation.
(c) Transactions with subsidiaries
Group Company
2015 2014 2015 2014
RM RM RM RM
Dividend income
- Kampong Aur Oil Palm
Company (Sdn.) Berhad - - 6,067,722 6,067,722
- Dawn Oil Palm Plantations Sdn Bhd - - 6,300,525 9,000,750
- B.S. Oil Palm Plantations Sdn Bhd - - 5,220,435 9,000,750
- Far East Delima Plantations Sdn Bhd - - 200,000 80,000
- Kilang Kosfarm Sdn Bhd - - 2,805,000 4,080,000

- Kilang Kosfarm Sdn Bhd - - 6,765,396 6,616,048
(d) Transactions with associates
Group Company
2015 2014 2015 2014
RM RM RM RM
Dividend income
- Prosper Palm Oil Mill Sdn Berhad - - 4,000,000 4,000,000
Purchase of fresh fruit bunches

- Prosper Palm Oil Mill Sdn Berhad 441,047 302,178 - -
Sales of crude palm oil

and palm kernel
- Future Prelude Sdn Bhd 40,844,632 36,349,336 - -
- Prosper Palm Oil Mill Sdn Berhad 2,972,945 21,591,414 - -
Purchase of crude palm oil

and palm kernel
- Prosper Palm Oil Mill Sdn Berhad 501,060 7,094,301 - -
Management fee payable to

PGC Management Services Sdn Bhd 2,215,031 2,000,200 - -

25 Related parties (continued)
(e) Other related parties transactions
Group Company
2015 2014 2015 2014
RM RM RM RM
- Rompin Palm Oil Mill Sdn Bhd 16,112,251 16,532,960 - -
- LKPP Corporation
Sendirian Berhad 1,279,039 1,427,010 1,279,039 1,427,010
- Kilang Sawira Makmur Sdn Bhd 52,079,315 62,892,954 13,415,287 15,510,625
- Endau Palm Oil Mill Sdn Bhd 350,704 - - -
Purchase of fresh fruit bunches

- Koperasi Serbausaha
Makmur Berhad 114,334,762 118,453,498 - -
Sales of crude palm oil

and palm kernel
- Prosper Trading Sdn Bhd 12,189,626 14,971,627 - -
- Prosper Palm Oil Products
Marketing Sdn Bhd - 1,487,373 - -
- Endau Palm Oil Mill Sdn Bhd 2,693,423 45,470,167 - -
- Kilang Sawira Makmur Sdn Bhd 1,273,680 534,683 - -
Purchase of crude palm oil

and palm kernel
- Kilang Sawira Makmur Sdn Bhd 2,887,893 10,401,405 - -
(f) Outstanding balances for related party transactions carried out during the year
Group Company
2015 2014 2015 2014
Related parties RM RM RM RM
Receivables:
- Kilang Kosfarm Sdn Bhd - - - 2,276,668
- Prosper Trading Sdn Bhd 1,153,683 785,640 - -
- LKPP Corporation
Sendirian Berhad 285,170 101,440 285,170 101,440
- Prosper Palm Oil Mill Sdn Berhad 514,358 1,127,479 - -
- Future Prelude Sdn Bhd 15,170,951 9,439,592 - -
- Kilang Sawira Makmur Sdn Bhd 4,772,879 3,303,205 868,345 597,831
- Endau Palm Oil Mill Sdn Bhd 371,746 - - -
Payables:
- PGC Management Services Sdn Bhd 167,730 147,288 - -
- Rompin Palm Oil Mill Sdn Bhd 2,050,358 - - -
- Koperasi Serbausaha
Makmur Berhad 9,336,914 6,852,621 - -

26 Capital commitments
Capital expenditures not provided for in the financial statements are as follows:
Group Company
2015 2014 2015 2014
RM RM RM RM
Authorised by the Directors
and not contracted 24,157,000 61,818,170 11,276,800 43,732,765
Analysed as follows:
- property, plant and equipment 7,230,900 10,082,300 1,276,800 2,270,800
- oil palm plantation development 6,926,100 11,735,870 - 1,461,965
- acquisition of land 10,000,000 40,000,000 10,000,000 40,000,000
24,157,000 61,818,170 11,276,800 43,732,765
27 Financial instruments
(a) Classification of financial instruments
Financial Financial
assets “at fair Held to liabilities, at
value through maturity Loan and amortised
Group profit or loss” investment receivables cost Total
31.12.2015 RM RM RM RM RM
Financial assets
Investment in fund
management 165,182 - - - 165,182
Redeemable Convertible
Non-Cumulative
Preference Shares - 3,000,000 - - 3,000,000
Trade and other
receivables - - 19,002,922 - 19,002,922
Amounts due from
associates - - 16,105,070 - 16,105,070
Deposits, cash and
bank balances - - 276,004,017 - 276,004,017
Total financial assets 165,182 3,000,000 311,112,009 - 314,277,191
Financial liabilities
Trade and other payables - - - 21,634,114 21,634,114
Amount due to associate - - - 180,207 180,207
Accruals - - - 7,124,730 7,124,730
Hire purchase creditor - - - 93,333 93,333
Total financial liabilities - - - 29,032,384 29,032,384

27 Financial instruments (continued)
(a) Classification of financial instruments (continued)
Financial Financial
assets “at fair liabilities, at
value through Loan and amortised
Group profit or loss” receivables cost Total
31.12.2014 RM RM RM RM
Financial assets
Investment in fund management 3,119,698 - - 3,119,698
Trade and other receivables - 35,313,885 - 35,313,885
Amounts due from associates - 12,186,832 - 12,186,832
Deposits, cash and bank balances - 232,520,441 - 232,520,441
Total financial assets 3,119,698 280,021,158 - 283,140,856
Trade and other payables - - 23,240,428 23,240,428
Amount due to associate - - 147,288 147,288
Accruals - - 6,135,080 6,135,080
Total financial liabilities - - 29,522,796 29,522,796
Held to Financial
maturity Loan and liabilities, at
Company investment receivables amortised cost Total
31.12.2015 RM RM RM RM
Non-Cumulative Preference Shares 3,000,000 - - 3,000,000
Trade and other receivables - 4,583,095 - 4,583,095
Amounts due from subsidiaries - 62,680,941 - 62,680,941
Deposits, cash and bank balances - 151,280,672 - 151,280,672
Total financial assets 3,000,000 218,544,708 - 221,544,708
Trade and other payables - - 759,325 759,325
Amounts due to subsidiaries - - 9,361 9,361
Accruals - - 2,071,199 2,071,199
Total financial liabilities - - 2,839,885 2,839,885
Financial
Loan and liabilities, at
Company receivables amortised cost Total
31.12.2014 RM RM RM
Trade and other receivables 18,429,622 - 18,429,622
Amounts due from subsidiaries 52,610,264 - 52,610,264
Deposits, cash and bank balances 134,893,421 - 134,893,421
Total financial assets 205,933,307 - 205,933,307
Trade and other payables - 572,345 572,345
Amounts due to subsidiaries - 7,395 7,395
Accruals - 1,840,991 1,840,991
Total financial liabilities - 2,420,731 2,420,731

(b) Financial risk management objectives and policies
The Groupʼs operations are subject to a variety of financial risks, including interest rate risk, credit risk,
market risk, liquidity risk and cash flow risk.
The Groupʼs financial risk management policy seeks to ensure that adequate resources are available to
manage the above risks and to create value for its shareholders. The Board regularly reviews these risks
and approves treasury policies, which cover the management of these risks. It is not the Groupʼs policy
to engage in speculative transactions.
Interest rate risk
The Groupʼs income and operating cash flows are not substantially affected by the changes in interest
rates, as the Group has no significant borrowings for the year in review. Interest rate exposure for the
Groupʼs deposits is managed through the use of fixed and floating rates negotiated and agreed by the
Group and the financial institutions.
Market risk
The Groupʼs exposure to market risk comprises primarily the fluctuations in the palm oil prices. To
mitigate some of these risks, the Group always keeps abreast with the latest updates on global supply
and demand for oils and fats market.
Credit risk
Credit risk is the risk of loss that may arise from the outstanding financial instruments should a
counterparty default on its obligations. The Group and Company are exposed to credit risk primarily
from trade receivables, other receivables and deposits, cash and bank balances with financial institutions.
As at the current and previous financial year-end, the Group and Companyʼs maximum exposure to
credit risk is represented by the carrying amount of each class of financial assets recognised in the
statements of financial position. Receivables are continuously being monitored to ensure that exposure
to bad debts are minimised.
The ageing of trade receivables of the Group and Company are as follows:
Impairment
Gross loss Net
Group RM RM RM
2015
Not past due 15,997,089 - 15,997,089
More than 120 days past due 50,921 - 50,921
16,048,010 - 16,048,010
2014
Not past due 16,754,620 - 16,754,620
More than 120 days past due 50,921 - 50,921
16,805,541 - 16,805,541
Company
2015
Not past due 3,290,199 - 3,290,199
2014
Not past due 1,839,282 - 1,839,282

(b) Financial risk management objectives and policies (continued)
Receivables that are neither past due nor impaired
Receivables that are neither past due nor impaired are creditworthy debtors with good payment records
with the Group and Company. None of the Group and Companyʼs receivables that are neither past due
nor impaired have been renegotiated during the current and previous year.
The Group and Company have no significant concentration of credit risk that may arise from exposures
to a single debtor or counterparty.
Liquidity and cash flow risk
The Group manages its liquidity risk by maintaining sufficient cash and availability of funding through an
adequate amount of committed credit facilities to meet estimated commitments arising from operational
expenditures and financial liabilities. The Group also has an effective control of cash flow management
to ensure that the Group can pay its targeted dividends to shareholders at an appropriate time.
The following tables analysed the remaining maturity for non-derivatives financial liabilities. The tables
have been drawn up based on the undiscounted cash flows of financial liabilities based on earliest date
on which the Group can be required to pay.
Not later 1 month

than 1 to 3 months 1 to 2
Group month 3 months to 1 year years Total
2015 RM RM RM RM RM
Trade and other payables 20,640,670 623,506 369,938 - 21,634,114
Amount due to associate 180,207 - - - 180,207
Accruals 4,241,901 - 2,882,829 - 7,124,730
Hire purchase creditor 2,759 5,551 26,292 58,731 93,333
25,065,537 629,057 3,279,059 58,731 29,032,384

2014 RM RM RM RM RM
Trade and other payables 21,447,776 1,424,762 367,890 - 23,240,428
Amount due to associate 147,288 - - - 147,288
Accruals 3,344,274 - 2,790,806 - 6,135,080
24,939,338 1,424,762 3,158,696 - 29,522,796
Not later
than 1 3 months
Company month to 1 year Total
2015 RM RM RM
Trade and other payables 759,325 - 759,325
Amounts due to subsidiaries 9,361 - 9,361
Accruals 1,222,085 849,114 2,071,199
1,990,771 849,114 2,839,885

2014 RM RM RM
Trade and other payables 572,345 - 572,345
Amounts due to subsidiaries 7,395 - 7,395
Accruals 980,391 860,600 1,840,991
1,560,131 860,600 2,420,731

(c) Fair value of financial instruments carried at amortised cost and cost
The carrying amounts of the financial assets and financial liabilities are recognised at their fair values,
except for the following financial assets and financial liabilities, which are recognised at cost and
amortised cost after initial recognition. However, the Directors are of the opinion that the carrying
amounts do not materially differ from their fair values:
2015 2014
Carrying Fair Carrying Fair
amounts values amounts values
Group RM RM RM RM
Financial assets
Financial assets “at fair value
through profit or loss”
Investment in fund management 165,182 165,182 3,119,698 3,119,698
Held to maturity
Non-Cumulative Preference Shares 3,000,000 3,000,000 - -
Loan and receivables
Trade and other receivables 19,002,922 19,002,922 35,313,885 35,313,885
Amounts due from associates 16,105,070 16,105,070 12,186,832 12,186,832
Deposits, cash and bank balances 276,004,017 276,004,017 232,520,441 232,520,441
Total financial assets 314,277,191 314,277,191 283,140,856 283,140,856
Financial liabilities at amortised cost
Trade and other payables 21,634,114 21,634,114 23,240,428 23,240,428
Accruals 7,124,730 7,124,730 6,135,080 6,135,080
Amount due to associate 180,207 180,207 147,288 147,288
Hire purchase creditor 93,333 93,333 - -
Total financial liabilities 29,032,384 29,032,384 29,522,796 29,522,796
Company
Financial assets
Held to maturity
Non-Cumulative Preference Shares 3,000,000 3,000,000 - -
Loan and receivables
Trade and other receivables 4,583,095 4,583,095 18,429,622 18,429,622
Amounts due from subsidiaries 22,486,660 22,486,660 19,876,257 19,876,257
Amounts due from subsidiaries 40,194,281 40,194,281 32,734,007 32,734,007
Deposits, cash and bank balances 151,280,672 151,280,672 134,893,421 134,893,421
Total financial assets 221,544,708 221,544,708 205,933,307 205,933,307
Financial liabilities at amortised cost
Trade and other payables 759,325 759,325 572,345 572,345
Amounts due to subsidiaries 9,361 9,361 7,395 7,395
Accruals 2,071,199 2,071,199 1,840,991 1,840,991
Total financial liabilities 2,839,885 2,839,885 2,420,731 2,420,731

(c) Fair value of financial instruments carried at amortised cost and cost (continued)
Valuation technique and significant assumptions used in determining fair value of financial assets and
financial liabilities recognised at amortised cost or cost after initial recognition are as follows:
Financial assets without published price in active market

The fair values of financial assets not traded on active markets are determined by using generally
accepted valuation technique.
Financial assets with published price in active market

The fair values of financial assets traded on active markets are determined with reference to their quoted
market price.
Trade and other receivables, amounts due from associates/subsidiaries, deposits, cash and bank
balances, trade and other payables, amounts due to subsidiaries and accruals
The carrying amounts approximate the fair value due to their short-term nature except for RM40,194,281
(2014: RM32,734,007) due from two of the subsidiaries. The fair value is estimated by discounting the
future cash flow at the rate of 5.425%, based on estimated borrowing cost of the companies.
28 Critical accounting estimates and assumptions
Estimates and judgment are continually evaluated and are based on historical experience and other factors,
including expectations of future events that are believed to be reasonable under the circumstances.
The Group and Company make estimates and assumptions concerning the future. The resulting accounting
estimates will, by definition, rarely equal the related actual results. The estimates and assumptions that have
a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the
next financial year are discussed below:
(a) Estimated impairment of property, plant and equipment
Determining whether the property, plant and equipment are impaired requires an estimation of value
in use of the property, plant and equipment. The value in use calculation requires the management to
estimate the future cash flows and an appropriate discount rate in order to calculate the present value of
future cash flows. The management has evaluated such estimates and is confident that no allowance for
impairment is necessary.
(b) Estimated useful life of property, plant and equipment
The residual value and the useful life of the property, plant and equipment are reviewed at each year-end.
The review is based on factors such as business plans and strategies, expected level of usage and future
regulatory changes. The estimation of the residual values and useful life involve significant judgment.
(c) Allowance for doubtful debts
The Group assesses at each balance sheet date whether there is objective evidence that trade receivables
have been impaired. Impairment loss is calculated based on a review of the current assets of existing
receivables and historical collections experience. Such provisions are adjusted periodically to reflect the
actual and anticipated impairment.
(d) Income tax expense
The Group is subject to income tax in Malaysian jurisdiction. There are certain transactions and
computations for which the ultimate tax determination is uncertain during the ordinary course of
business. The Group recognises liabilities for tax matters based on estimates of whether additional
taxes will be due. If the final outcome of these tax matters result in a difference in the amounts initially
recognised, such differences will impact the income tax and/or deferred tax provisions in the period in
which such determination is made.

28 Critical accounting estimates and assumptions (continued)
(e) Contingent liabilities
Determination of the treatment of contingent liabilities is based on managementʼs view of the expected
outcome of the contingencies after consulting legal counsel for litigation cases and experts internal
and external to the Group for matters in the ordinary course of business. Please refer to Note 30 of the
financial statements for details.
29 Adoption of new and revised Financial Reporting Standards and Interpretations
During the financial year, the Group has adopted the following new and revised Financial Reporting Standards
and Interpretations (collectively referred to as ‘FRSs’), issued by the Malaysian Accounting Standards Board
(‘MASB’) and effective for the financial periods beginning on or after 1 January 2015:
FRSs that do not have significant impacts on these financial statements
The following new and revised FRSs issued by the MASB, effective for financial periods beginning on or after
1 July 2014, have been adopted, but the adoptions do not have a significant impact on the financial statements:
Amendments to FRS 119 Defined Benefit Plans: Employee Contributions
Annual Improvements to FRSs 2010 – 2012 Cycle:

Amendment to FRS 2 Share-based Payment
Amendment to FRS 3 Business Combinations
Amendment to FRS 8 Operating Segments
Amendment to FRS 13 Fair Value Measurement
Amendment to FRS 116 Property, Plant and Equipment
Amendment to FRS 124 Related Party Disclosures
Amendment to FRS 138 Intangible Assets

Amendment to FRS 1 First-time Adoption of Financial Reporting Standards
Amendment to FRS 3 Business Combinations
Amendment to FRS 13 Fair Value Measurement
Amendment to FRS 140 Investment Property
FRSs that have been issued but are not yet effective
The Group has not adopted the following FRSs that have been issued by the MASB but are not yet effective:
Effective for financial period beginning on or after 1 January 2016

Amendment to FRS 10, FRS 12 Investment Entities: Applying the Consolidation Exception
and FRS 128
Amendments to FRS 11 Accounting for Acquisitions of Interests in Joint Operations
FRS 14 Regulatory Deferral Accounts
Amendments to FRS 101 Disclosure Initiative
Amendments to FRS 116 Clarification of Acceptable Methods of Depreciation and
and FRS 138 Amortisation
Amendments to FRS 127 Equity Method in Separate Financial Statements

Amendments to FRS 5 Non-current Assets Held for sale and Discontinued Operations
Amendments to FRS 7 Financial Instruments: Disclosures
Amendments to FRS 119 Employee Benefits
Amendments to FRS 134 Interim Financial Reporting
Effective for financial period beginning on or after 1 January 2018

FRS 9 Financial Instruments (IFRS 9 as issued by IASB in July 2014)

29 Adoption of new and revised Financial Reporting Standards and Interpretations (continued)
Malaysian Financial Reporting Standards (‘MFRS Framework’)
On 19 November 2011, the MASB issued a new MASB approved accounting framework, the MFRS
Framework. The MFRS Framework is to be applied by all Entities Other Than Private Entities for annual
periods beginning on or after 1 January 2012, with the exception of entities that are within the scope of MFRS
141 Agriculture (‘MFRS 141’) and IC Interpretation 15 Agreements for Construction of Real Estate (‘IC 15’),
including its parent, significant investor and venture (herein called ‘Transitioning Entities’). On 8 September
2015, MASB announced that it will permit Transitioning Entities to defer the adoption of the new MFRS
Framework until annual periods beginning on or after 1 January 2018.
The Company falls within the scope of Transitioning Entities and has opted to defer adoption of the new
MFRS Framework. Accordingly, the Company will be required to prepare financial statements using the
MFRS Framework in its first MFRS financial statements for the financial year ending 31 December 2018.
In presenting its first MFRS financial statements, the Company will be required to restate the comparative
financial statements to amounts reflecting the application of MFRS Framework. The majority of the adjustments
required on transition will be made, retrospectively, against opening retained earnings.
The Group is reviewing its accounting policies to assess its financial effects of the differences between the
current FRS and the MFRS Framework. Accordingly, the financial performance and financial position as
disclosed in these financial statements for the year ended 31 December 2015 could be different if they are
prepared under the MFRS Framework.
30 Material litigation
(1) Stay Application in the Court of Appeal

Civil Appeal No. W-02(NCC)(A)-2671-12/2013
Far East Holdings Berhad & Kampong Aur Oil Palm Company (Sdn.) Berhad v.
Majlis Ugama Islam dan Adat Resam Melayu Pahang
(2) Motion for Leave to Appeal to the Federal Court

Civil Application No.08-379-08/2015 (W)


Majlis Ugama Islam dan Adat Resam Melayu Pahang v.
Far East Holdings Berhad & Kampong Aur Oil Palm Company (Sdn.) Berhad
A brief background on FEHB’s Applications and the current status of the matter is as follows:-
(a) FEHB and Kampung Aur Oil Palm Company (Sdn.) Berhad (“KAOP”) entered into an Agreement with
Majlis Ugama Islam dan Adat Resam Melayu Pahang (“MUIP”) on 16.1.1992.
(b) A dispute arose between the Parties and the dispute was referred by way of arbitration, wherein MUIP
was the Claimant while FEHB and KAOP were the Respondents.
(c) The dispute that arose between the Parties concerns essentially the following 3 Issues:
(i) Increase in paid up capital of KAOP;
(ii) The exercise of the 1st Option; and
(iii) The exercise of the 2nd Option.

30 Material litigation (continued)
(d) The Arbitrator found in favour of MUIP in Award dated 19.9.2012 and a Corrective Award dated
11.10.2012.
(e) FEHB and KAOP challenged the Award (and the Corrective Award) and resisted the enforcement of the
Award before the High Court.
(f) On 21.11.2013, the High Court allowed FEHB’s and KAOP’s challenge only on the award of pre-award
and post-award interest, but recognised and enforced the rest of the Award (“the Judgment”). A stay of
execution for the Judgment was granted in favour of FEHB and KAOP.
(g) Essentially the Judgment compels FEHB to, firstly, cancel substantial shares (to the tune of 22 million
shares) that it holds in KAOP, secondly, to transfer a total of 27% of its shares in KAOP to MUIP and
finally, to pay a sum in excess of RM77.8 million to MUIP.
(h) The Judgment bears the endorsement under Order 45 Rule 7(4) of the Rules of Court 2012 compelling
FEHB and KAOP, their Directors and Company Secretaries to comply with the terms of the Judgment
upon personal service thereof, failing which to be subjected to committal proceedings.
(i) FEHB and KAOP appealed to the Court of Appeal against the High Court decision save as to the award
of pre-award and post-award interest which was set aside (“FEHB’s and KAOP’s CA appeals”).
MUIP in turn appealed to the Court of Appeal against that part of the High Court decision setting aside
the award of interests (“MUIP’s CA appeals”).
(j) On 31.7.2015, the Court of Appeal dismissed all the appeals and affirmed the decision of the High
Court.
(k) FEHB and KAOP have since filed 2 motions for leave to appeal to the Federal Court while MUIP has
also filed a motion for leave to appeal to the Federal Court against the decision setting aside the award
of interest. FEHB and KAOP applied for stay of execution of the Judgment pending the disposal of the
leave applications.
(l) On 13.10.2015, the Court of Appeals granted, inter alia, a conditional stay of execution. For
completeness, the Consent Order reads as follows:-
“Pelaksanaan Penghakiman Mahkamah Tinggi bertarikh 21.11.2013 yang telah disahkan oleh
Mahkamah Rayuan Yang Mulia ini pada 31.7.2015 digantung sementara menunggu penyelesaian
penuh dan muktamad permohonan Perayu-perayu/Pemohon-pemohon bagi kebenaran untuk merayu
ke Mahkamah Persekutuan dalam Permohonan Sivil No. 08-380-08/2015(W) dan Permohonan Sivil
No. 08-379-08/2015(W) dan sekiranya kebenaran diberikan, sementara menunggu penyelesaian penuh
dan muktamad akan rayuan-rayuan tersebut berdasarkan syarat-syarat yang berikut:-
(a) Perayu/Pemohon Pertama akan mendepositkan jumlah sebanyak RM91,971,411.54 (tanpa

mengakui pengiraan Responden untuk mencapai angka ini) ke dalam Akaun Simpanan Tetap
(“Akaun FD”) yang memperoleh faedah dengan sebuah Bank yang bereputasi di bawah nama
Perayu/Pemohon Pertama dalam tempoh dua (2) minggu dari tarikh Perintah ini;
(b) Perayu/Pemohon Pertama bersetuju untuk tidak berurusan dengan wang dalam Akaun FD
sementara menunggu penyelesaian permohonan-permohonan kebenaran dan sekiranya
kebenaran diberikan, sementara menunggu penyelesaian rayuan-rayuan tersebut;
(c) Sekiranya Mahkamah Persekutuan mengesahkan hak Responden kepada jumlah seperti yang
dinyatakan dalam perenggan-perenggan 8 dan 9 Penghakiman Mahkamah Tinggi, Perayu/
Pemohon Pertama mengakujanji untuk mencairkan Akaun FD dan membayar jumlah dalam
Akaun FD termasuk faedah yang terakru di dalamnya kepada Responden dengan serta merta;
Adalah diperintahkan melalui persetujuan bahawa Responden mengakujanji untuk tidak meneruskan
dengan sebarang prosiding penggulungan terhadap Perayu-perayu/Pemohon-pemohon berhubung
Penghakiman Mahkamah Tinggi bertarikh 21.11.2013 sementara menunggu penyelesaian permohonan-
permohonan kebenaran dan sekiranya kebenaran diberikan, sementara menunggu penyelesaian
rayuan-rayuan tersebut.”

30 Material litigation (continued)
(m) On 26.10.2015, FEHB deposited the sum of RM91,971,411.54 in compliance with the Consent Order.
(n) The 3 appeals have now been fixed for hearing on 28.3.2016.
31 Supplementary information on the breakdown of realised and unrealised profits and losses
The breakdown of the retained earnings of the Group and of the Company as at 31 December 2015, into
realised and unrealised profits, pursuant to the directive, is as follows:
Group Company
2015 2014 2015 2014
RM RM RM RM
Realised 657,484,186 627,490,587 311,521,895 310,267,323
Unrealised (11,853,556) (14,506,740) (7,912,659) (8,433,072)
645,630,630 612,983,847 303,609,236 301,834,251
The determination of realised and unrealised profits is based on the Guidance of Special Matter No.1,
Determination of Realised and Unrealised Profits or Losses in the Context of Disclosure Pursuant to Bursa
Malaysia Securities Berhad Listing Requirements, issued by Malaysian Institute of Accountants on 20
December 2010.
32 Approval of financial statements
The financial statements have been approved for issue in accordance with a resolution of the Board of
Directors on 23 March 2016.
Statement by Directors
Pursuant to Section 169(15) of the Companies Act, 1965
We, Datoʼ Sri Kamaruddin bin Mohammed and Tee Cheng Hua, two of the Directors of Far East Holdings Berhad,
do hereby state that, in the opinion of the Directors, the financial statements set out on pages 65 to 103 are drawn up
so as to give a true and fair view of the state of affairs of the Group and of the Company as at 31 December 2015 and
of the results and cash flows of the Group and of the Company for the financial year ended on that date in accordance
with Financial Reporting Standards and the requirements of the Companies Act, 1965.
The supplementary information set out in Note 31 on page 103 have been prepared in accordance with the guidance
as Special Matter No.1, refer matters of realised and unrealised profit or loss in the context Disclosure Persuant to
Bursa Malaysia Security Listing Requirements as owned by the Malaysian Institutes of Accountants.
Signed in accordance with a resolution of the Board of Directors dated 23 March 2016.
Datoʼ Sri Kamaruddin bin Mohammed Tee Cheng Hua

Group Executive Chairman Executive Director
Statutory declaration
Pursuant to Section 169(16) of the Companies Act, 1965
I, Asmin binti Yahya, being the Officer primarily responsible for the financial management of Far East Holdings
Berhad, do solemnly and sincerely declare that the financial statements set out on pages 65 to 103 are, to the best of
my knowledge and belief, correct and I make this solemn declaration conscientiously believing the same to be true,
and by virtue of the provisions of the Statutory Declarations Act, 1960.
Asmin binti Yahya
Subscribed and solemnly declared by the abovenamed Asmin binti Yahya
At: Kuantan
On: 23 March 2016
Before me:
Commissioner for Oaths

Independent Auditorsʼ Report

to the Members of Far East Holdings Berhad
Report on the Financial Statements
We have audited the financial statements of Far East Holdings Berhad, which comprise the statements of financial
position as at 31 December 2015 of the Group and of the Company, and the statements of profit or loss and
other comprehensive income, statements of changes in equity and statements of cash flows of the Group and of
the Company for the year then ended, and a summary of significant accounting policies and other explanatory
information, as set out on pages 65 to 103.
Directorsʼ Responsibility for the Financial Statements
The Directors of the Company are responsible for the preparation of financial statements so as to give a true and
fair view in accordance with Financial Reporting Standards and the requirements of the Companies Act, 1965 in
Malaysia. The Directors are also responsible for such internal control as the Directors determine is necessary to
enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
Auditorsʼ Responsibility
Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit
in accordance with approved standards on auditing in Malaysia. Those standards require that we comply with ethical
requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements
are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the
financial statements. The procedures selected depend on our judgment, including the assessment of risks of material
misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, we consider
internal control relevant to the Companyʼs preparation of financial statements that give a true and fair view in order
to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion
on the effectiveness of the Companyʼs internal control. An audit also includes evaluating the appropriateness of
accounting policies used and the reasonableness of accounting estimates made by the directors, as well as evaluating
the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit
opinion.
Opinion
In our opinion, the financial statements give a true and fair view of the financial position of the Group and of the
Company as at 31 December 2015 and of their financial performance and cash flows for the year then ended in
accordance with Financial Reporting Standards and the requirements of the Companies Act, 1965 in Malaysia.
Report on Other Legal and Regulatory Requirements
In accordance with the requirements of the Companies Act, 1965 in Malaysia, we also report the following:
(a) In our opinion, the accounting and other records and the registers required by the Act, to be kept by the
Company and its subsidiaries have been properly kept in accordance with the provisions of the Act.
(b) We are satisfied that the accounts of the subsidiaries that have been consolidated with the Companyʼs financial
statements are in form and content appropriate and proper for the purposes of the preparation of the financial
statements of the Group and we have received satisfactory information and explanations required by us for
those purposes.
(c) Our audit reports on the financial statements of the subsidiaries did not contain any qualification or any
adverse comment made under Section 174(3) of the Act.
Independent Auditorsʼ Report

to the Members of Far East Holdings Berhad
Other reporting responsibilities
The supplementary information set out in Note 31 on page 103 is disclosed to meet the requirement of Bursa
Malaysia Securities Berhad (“Bursa Malaysia”) and is not part of the financial statements. The directors are
responsible for the preparation of the supplementary information in accordance with Guidance on Special Matter
No. 1, Determination of Realised and Unrealised Profits or Losses in the Context of Disclosure Pursuant to Bursa
Malaysia Listing Requirements, as issued by the Malaysian Institute of Accountants (“MIA Guidance”) and the
directive of Bursa Malaysia. In our opinion, the supplementary information is prepared, in all material respects, in
accordance with the MIA Guidance and the directive of Bursa Malaysia Securities Berhad.
Other Matters
This report is made solely to the members of the Company, as a body, in accordance with Section 174 of the
Companies Act, 1965 in Malaysia and for no other purpose. We do not assume responsibility to any other person
for the content of this report.
McMillan Woods Thomas

(AF 001879)
Chartered Accountants
Chong Loong Choy

[2589/08/16(J)]
Partner of the firm
Kuantan 23 March 2016

SHAREHOLDINGS STRUCTURE
AS AT 31 MARCH 2016
TOP THIRTY (30) SECURITIES ACCOUNT HOLDERS

(Without aggregating the securities from different securities account belonging to the same Depositor)
NRIC/ NO. OF
NAMES REGISTRATION NO. SHARES %
1 AMSEC NOMINEES (TEMPATAN) SDN BHD 102918T 23,054,400 16.31
<PLEDGED SECURITIES ACCOUNT FOR
PROSPER TRADING SDN BERHAD>
2 LEMBAGA KEMAJUAN PERUSAHAAN LKPPNPECT 71971 22,807,800 16.13
PERTANIAN NEGERI PAHANG
3 LEMBAGA KEMAJUAN PERUSAHAAN LKPPNPECT 71971 12,793,000 9.05
PERTANIAN NEGERI PAHANG
4 HIKMAT ELIT SDN BHD 562277U 9,365,800 6.62
5 LKPP CORPORATION SDN BHD 199769V 8,300,280 5.87
6 PROSPER TRADING SDN BERHAD 144561U 7,894,920 5.58
7 FOKAS SEHATI SDN BHD 649034D 4,440,000 3.14
8 DELUXE ERA SDN BHD 845421X 3,262,800 2.31
9 HIKMAT ELIT SDN BHD 562277U 3,121,300 2.21
10 KAMARUDDIN BIN MOHAMMED 481124-06-5173 2,700,000 1.91
11 PROSPER TRADING SDN BERHAD TEM144561 2,603,600 1.84
12 AFFIN HWANG NOMINEES (TEMPATAN) SDN BHD 41117T 2,580,200 1.82
TEE KIM TEE @ TEE CHING TEE
13 MERGEBOOM (M) SDN BHD 261276X 2,500,000 1.77
14 TEE CHENG HUA 540601-10-5949 2,124,000 1.50
15 AFFIN HWANG NOMINEES (TEMPATAN) SDN BHD 41117T 2,056,300 1.45
TEE KIM TEE @ TEE CHING TEE
16 BUDI-JS PLANTATION MANAGEMENT SDN BERHAD 248375P 1,667,200 1.18
17 MERGEBOOM (M) SDN BHD 261276X 1,145,000 0.81
18 HAN KEE JUAN 510913-01-6067 979,700 0.69
19 TEE CHING CHAN 620113-10-5819 959,400 0.68
20 AMANAH SAHAM PAHANG BERHAD 017251P 779,100 0.55
21 MAN FOH @ CHAN MAN FOH 570306-06-5099 728,000 0.51
22 TEE CHENG HU 631115-10-5197 723,400 0.51
23 TEE LIP HIAN 730303-10-5171 686,600 0.49
24 ANG KIM SENG @ ANG ENG HOCK 511009-10-5437 682,600 0.48
25 NOWAWI BIN ABDUL RAHMAN 551126-06-5207 678,000 0.48
26 TEE CHAIN YEE 770810-10-5420 675,000 0.48
27 YEW PENG DU 730117-10-5477 555,000 0.39
28 TEE LIP SIN 710501-10-6089 550,900 0.39
29 TEE LIP JEN 830525-10-5407 519,900 0.37
30 TEE LIP CHUAN 841119-10-5827 507,700 0.36
Shareholdings Structure
As at 31 March 2016
INFORMATION ON SUBSTANTIAL SHAREHOLDERS (COMBINED ACCOUNT)
Direct Holdings
Nos. Names of Substantial Shareholders No. %
1 LEMBAGA KEMAJUAN PERUSAHAAN PERTANIAN NEGERI PAHANG

Share held through:-
Own Account - CDS No. 076-002-000389122 22,807,800 16.13
35,600,800 25.18
2 PROSPER TRADING SDN BERHAD

AMSEC Nominees (Tempatan) Sdn Bhd - CDS No. 086-001-035663806 23,054,400 16.31
33,552,920 23.74
3 HIKMAT ELIT SDN BHD

12,487,100 8.84
4 LKPP CORPORATION SDN BHD

TA Nominees (Tempatan) Sdn Bhd - CDS No. 058-003-004774634 121,000 0.09
8,421,280 5.96
As at 31 March 2016
INFORMATION ON DIRECTORS SHAREHOLDING
Direct Indirect
Holdings Holdings
Nos. Names Of Directors No. % No. %
1 YH DATO’ SRI KAMARUDDIN BIN MOHAMMED
Individual Account - CDS No. 058-003-043607845 2,700,000 1.91 500,000 (a) 0.35
Notes: 100,000 (b) 0.07
By Virtue of Ybg Datin Sri Kalsom bt Ahmad is his spouse
(a)
By Virtue of Khairatun Amirah bt Kamaruddin

(b)
is his daughter 2,700,000 1.91 600,000 0.42
2 EN TEE KIM TEE @ TEE CHING TEE - -

Individual Account - CDS No. 068-009-050698323 119,400 0.08
Affin Hwang Nominees (Tempatan) Sdn Bhd
- CDS No.068-009-050757608 2,580,200 1.82
Affin Hwang Nominees (tempatan) Sdn Bhd
- CDS No.028-002-009567678 2,056,300 1.45
4,755,900 3.35
3 EN TEE CHENG HUA - -

Individual Account - CDS No. 086-001-013021316 2,124,000 1.50
2,124,000 1.50
4 EN HASHIM NAINA MERICAN BIN YAHAYA MERICAN - -

10,000 0.01
5 EN TEE LIP TENG - -

300,000 0.21
6 YH DATOʼ TAN BING HUA

Notes: - - 44,000 0.03
(a)
By Virtue of Datin Cho Kwai Lin is his spouse 44,000 0.03
7 YH DATOʼ WAN BAKRI BIN WAN ISMAIL - - - -
8 YH DATOʼ JAMALUDDIN BIN ABD MAJID - - - -
9 EN NIK MOHAMED ZAKI BIN NIK YUSOFF - - - -

As at 31 March 2016
DISTRIBUTION TABLE A
No. of Holders No. of Shares Percentage (%)

Category Malaysian Foreign Malaysian Foreign Malaysian Foreign
Less than 100 14 1 234 66 0.00 0.00
100 - 1,000 297 2 170,200 900 0.12 0.00
1,001 - 10,000 1,143 16 3,947,500 74,200 2.79 0.05
10,001 - 100,000 206 15 5,491,000 300,600 3.89 0.21
100,001 and above 64 1 121,111,600 403,800 85.66 0.29
Directors' Shareholdings 5 0 9,889,900 - 6.99 0.00
TOTAL 1,729 35 140,610,434 779,566 99.45 0.55
ANALYSIS OF EQUITY STRUCTURE
No. of No. of
Category Holders Shares %
1) BUMIPUTRA :
a) Individual 101 4,820,500 3.41
b) Body Corporate
i) Banks/Finance Companies 6 87,600 0.06
ii) Investments Trust/Foundation/Charities - - -
iii) Other types of Companies 11 13,660,480 9.66
c) Government Agencies/Institutions 3 36,093,100 25.53
d) Nominees 62 23,377,046 16.54
e) Others - - -
2) NON-BUMIPUTRA :
a) Individual 1,452 24,730,488 17.49
b) Body Corporate
i) Banks/Finance Companies - - -
iii) Other types of Companies 32 32,239,520 22.80
c) Government Agencies/Institutions - - -
d) Nominees 62 5,601,700 3.96
e) Others - - -
3) FOREIGN :
a) Individual 23 195,266 0.14
b) Body Corporate
i) Banks/Finance Companies - - -
iii) Other types of Companies 1 8,800 0.01
c) Government Agencies/Institutions - - -
d) Nominees 11 575,500 0.40
e) Others - - -
GRAND TOTAL 1,764 141,390,000 100.00
GROUP PROPERTIES
Location Title Tenure Area Usage Date As At

(Leasehold (Hec) Revaluation 31.12.2015
Period Till RM’000
Year)
Ladang Sg. Seraya H.S(D) 61 2079 161.87 Oil Palm 31.12.2015

Daerah Rompin H.S(D) 62 2079 259.00 Cultivations
Pahang Darul Makmur H.S(D) 63 2079 230.67
H.S(D) 64 2079 190.20
PN 16273 2103 60.57
PN 16839 2103 10.22

Ladang Bukit Jin H.S(D) 3171 2079 420.87 Oil Palm 31.12.2015
Daerah Bera H.S(D) 3172 2079 420.87 Cultivations
H.S(D) 3174 2079 230.67
H.S(D) 3175 2079 274.78
H.S(D) 3176 2079 8.50

H.S(D) 3177 2079 384.45
H.S(D) 3178 2079 36.42
H.S(D) 3179 2079 68.80
H.S(D) 3180 2079 68.80
Ladang Sg Rasau H.S(D) 1971 2091 118.04 Oil Palm 31.12.2015

Daerah Pekan Cultivations
Pahang Darul Makmur
Ladang Sg Batu H.S(D) 23609 2103 874.75 Oil Palm 31.12.2015

Daerah Kuantan H.S(D) 42974 2112 33.26 Cultivations
Pahang Darul Makmur

Ladang Chengal H.S(D) 4147 2106 1,103.01 Oil Palm 31.12.2015
Daerah Rompin H.S(D) 4148 2106 1,096.99 Cultivations
Pahang Darul Makmur

Bandar Indera Mahkota PN 7721 2096 8.82 Building

New land nearby H.S(D) 5006 2114 158.19 Oil Palm 31.12.2015
Sungai Marung Estate H.S(M)7647 2114 1.49 Cultivations 31.12.2015
H.S(D) 5087* 2115 31.8
New land nearby H.S(D) 5088* 2115 11.56 Oil Palm

Sungai Gayung Estate Cultivations

Bukit Serok Estate H.S(D) 4851* 2113 145.89 Cultivations

Kampong Aur Estate Cultivations

Dawn Estate Cultivations

Simpai Estate H.S(D) 5319* 2115 107.53 Cultivations
6,994.13 281,980
Group Properties

Year)
Dawn Oil Palm Plantations Sdn Bhd
Ladang Dawn H.S(D) 11 2075 297.85 Oil Palm 31.12.2015

H.S(D) 58 2079 177.76
H.S(D) 3719 2071 11.33
H.S(D) 3772 2072 236.34
H.S(D) 3773 2072 14.57
H.S(D) 4115 2103 114.18
PN 7815 2103 218.90
PN 19605 2071 138.20
H.S(D) 4852 2113 220.06
PN17098 2103 23.77

Ladang Cempaka H.S(D) 988 2096 452.60 Oil Palm 31.12.2015
Daerah Bera Cultivations
Pahang Darul Makmur
2,281.51 88,530
B.S. Oil Palm Plantations Sdn. Bhd.
Ladang Bukit Serok H.S(D) 8 2075 350.46 Oil Palm 31.12.2015

H.S(D) 59 2079 171.99
H.S(D) 60 2079 248.88
H.S(D) 3716 2071 136.38
H.S(D) 3717 2071 137.19
H.S(D) 3741 2071 290.16
PN 17048 2103 27.79
2,067.47 98,000
Kampong Aur Oil Palm Company (Sdn.) Berhad

Ladang Kampong Aur H.S(D) 3896 2070 123.83 Oil Palm 31.12.2015
H.S(D) 3781 2073 64.75
H.S(D) 3780 2073 260.62
H.S(D) 3886 2074 419.26
H.S(D) 38 2077 407.12
H.S(D) 74 2079 283.28
H.S(D) 75 2079 137.60
PN 16917 2100 35.57
2,093.42 79,960

Group Properties

Year)
Madah Perkasa Sdn Bhd

Ladang Sg Marung PN 16812 2095 878.70 Oil Palm 31.12.2015
Daerah Rompin PN 17988 2095 665.40 Cultivations
Pahang Darul Makmur

Ladang Sg Gayung PN 17986 2095 1,039.80 Oil Palm 31.12.2015
Daerah Rompin PN 17987 2095 1,898.80 Cultivations
Pahang Darul Makmur
4,482.70 183,400
Far East Delima Plantations Sdn. Bhd.

Ladang Delima H.S(D) 4568** 2103 2,830.85 Oil Palm 31.12.2015
Daerah Rompin Cultivations
Pahang Darul Makmur
2,830.85 58,050
F.E. Rangkaian Sdn. Bhd.

Ladang Rangkaian H.S(D) 4805** 2112 728.45 Oil Palm 31.12.2015
Daerah Rompin H.S(D) 4806** 2112 687.98 Cultivations
Pahang Darul Makmur
1,416.43 18,500

Kilang Kosfarm Sdn Bhd H.S(D) 3896*** 2070 123.83 Oil Palm
Cultivations
123.83 433

22,290.34 808,853
Notes:
* The title obtained in financial year 2016.
** The land is subleased from Rangkaian Delima Sdn. Bhd.
*** Sublease from Kampong Aur Oil Palm Company (Sdn.) Berhad up to 2050.
This page have been intentionally left blank.
(14809-W)
PROXY FORM
I / We
NRIC/Company No.
of
being a member / members of FAR EAST HOLDINGS BERHAD, hereby appoint
of
or failing him
of
or failing him the Chairman of the meeting as my/our proxy to vote for me/us and on behalf at the 42nd Annual
General Meeting of Far East Holdings Berhad to be held at The Zenith Hotel, Jalan Putra Square 6, 25200 Kuantan,
Pahang Darul Makmur on 25 May 2016 at 10.00 a.m. and at any adjournment thereof.
My/Our proxy to vote on the resolution as indicate with (X) in the space provided to be cast, my/our proxy will note
or abstain as he/she thinks fit.
Resolution Number 1 2 3 4 5 6 7 8 9
For
Against
Signed this day of 2016.
Total Shares Held

Signature(s)/Company Seal
Witness*
* This signature on Proxy Form executed outside Malaysia must be attested by a notary or consul.
Fold here to seal
STAMP
COMPANY SECRETARIES
FAR EAST HOLDINGS BERHAD
Suite 5 & 6, Tingkat 8,
Kompleks Teruntum,
Jalan Mahkota, 25000 Kuantan,
Pahang Darul Makmur.
Fold here to seal

Suite 5, Level 8, P.O.Box 35 Kompleks Teruntum, Jalan Mahkota, 25000 Kuantan, Pahang Darul Makmur, Malaysia
Tel: +609-514 1936 / +609-514 1948 / +609-514 1339
Fax: +609-513 6211
E-mail: fareast@fareh.po.my
www. feh b . co m . my

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Far East Holdings Berhad (14809-W)

Annual Report 2015

MEETING Pahang Darul Makmur 10.00 a.m.

26 Group Executive Chairmanʼs 56 Statement on Risk Management and

NOTICE OF ANNUAL GENERAL MEETING

(i) YH Dato’ Jamaluddin bin Abd Majid Ordinary Resolution 4

To consider and, if thought fit, to pass the following resolution:-

Notice of Annual General Meeting

c. revoked or varied by resolution passed by the shareholders in a general meeting,

Notice of Dividend Entitlement And Payment

By Order of the Board

Date: 25 April 2016

Notice of Annual General Meeting

Ordinary Business - Note A

Names of Retiring Directors:

Article 102 of the Company’s i) YH Dato’ Jamaluddin bin Abd Majid

Pursuant to Section 129(6) i) YH Dato’ Tan Bing Hua

Place, date and time of the 42nd Annual General Meeting:

Details of Attendance of Directors at Board Meetings:

YH Dato’ Wan Bakri bin Wan Ismail 8/8 17/03/2014 -

Mr Tee Lip Teng 8/8 23/07/2012 -

YH Dato’ Sri Kamaruddin bin Mohammed Mr Tee Cheng Hua

YH Dato’ Jamaluddin bin Abd Majid Mr Tee Lip Teng

SENIOR MANAGEMENT TEAM SECRETARIES SHARE REGISTRAR

KEDAH • Kota Bharu

Far East Holdings Berhad

100% 100% 100% 100%

82.84% 70% 80% 51%

100% 51% 45% 30%

47.17% 36.29% 40% 70%

* Paid up share capital

Far East Holdings Berhad

BUKIT JIN CHENGAL

SG. RASAU SG. BATU

En Mohd Rasul bin Ghazali En Mohd Rasul bin Ghazali

DAWN BUKIT SEROK KAMPONG AUR

CEMPAKA MADAH PERKASA

SG. GAYUNG SG. MARUNG

En Razlan bin Muhammad En Madrizam bin Jaafar

F.E. RANGKAIAN FAR EAST DELIMA

Mr Tee Kim Tee YH Dato’ Sri Kamaruddin

YH Dato’ Jamaluddin YH Dato’ Tan Bing Hua En Nik Mohamed Zaki

YH Dato’ Wan Bakri

YH Dato’ Sri Age

Position on the FEHB Board

Date first appointment to the FEHB Board

Membership of FEHB Board Committees

Any other directorships in public companies

Securities holdings in FEHB and subsidiaries

Number of FEHB Board Meetings attended in the financial year

Position on the FEHB Board

Date first appointment to the FEHB Board

Membership of FEHB Board Committees

Any other directorships in public companies

Securities holdings in FEHB and subsidiaries

Number of FEHB Board Meetings attended in the financial year

Position on the FEHB Board

Date first appointment to the FEHB Board