Message from Chairman
Overview
For the year ended 30 June 2010, the Company’s total revenue was $3.039 million. This was 3% higher than the previous year (2009 : $2.96 million). The increase was due to higher commission income from trust clients which more than compensated for the lower income from investments.

The operations of the Company had an operating profit before tax of $1.054 million as at 30 June 2010. This was 13% lower than last year’s operating profit of $1.213 million mainly due to the professional fees incurred for the mandatory cash offer related to the OCBC Group’s sale of their substantial shareholdings in the Company. Excluding the professional fees, operating profits would be similar to last year’s operating profits.

For the year ended 30 June 2010, the Company had a profit after tax of $0.847 million compared to a loss after tax of $0.791 million in the previous year which included an impairment charge of $1.846 million for available-for-sale financial assets taken in accordance with FRS 39.

Dividend
During the year, the Directors declared an interim tax exempt dividend of 1.75 cents per share which was paid on 4 March 2010.

The Board is recommending a final tax exempt dividend of 3.5 cents per share at the forthcoming Annual General Meeting to be held on 14 October 2010. With the interim tax exempt dividend of 1.75 cents per share, total tax exempt dividends paid to shareholders in FY2010 will be 5.25 cents per share.

Prospects
The Directors expect the Company’s overall results for the year ending 30 June 2011, to be higher than that of the current year so long as better business prospects in the trust industry continues and existing economic and financial market conditions do not deteriorate.

General
The Directors continue to be grateful for the valuable support which the Company has been receiving from its business associates and would like to express special thanks to its team of dedicated Management and employees.