Rasional Kulit laporan tahunan ini menggambarkan nadi kepada perkhidmatan yang kami sediakan. Payung...

Protection, Security and Preparedness - these are the fundamentals of Takaful Malaysia’s services. We set the stage for protection from the unexpected. We provide security for unforeseen circumstances. We prepare our customers from uncertainties that hinder their freedom of life.

This year’s cover reflects the essence of the services that we provide. The umbrella is symbolic of Protection, Security and Preparedness. The span of the umbrella’s canopy represents the customers that Takaful Malaysia protects and serves. The ribs that bind and secure the canopy together symbolises Takaful Malaysia’s continuing efforts to provide diversity in product range to ensure maximum benefits. The firmness of the umbrella’s shaft represents the strength of Takaful Malaysia’s fundamentals in remaining resilient through challenging times. The stability that it offers, ensures progress. This concept reflects the peace of mind that Takaful Malaysia upholds to its customers.

Perlindungan, Jaminan dan Persediaan - menjadi asas perkhidmatan Takaful Malaysia. Kami menyediakan perlindungan daripada sebarang keadaan di luar jangkaan. Kami menawarkan jaminan untuk keadaan yang tidak boleh diramalkan. Kami mempersiapkan para pelanggan kami menghadapi keadaan tidak menentu yang menggugat ketenteraman hidup mereka.

Kulit laporan tahunan ini menggambarkan nadi kepada perkhidmatan yang kami sediakan. Payung merupakan simbol Perlindungan, Jaminan dan Persediaan. Teduhan payung menggambarkan perlindungan dan perkhidmatan yang diberi oleh Takaful Malaysia kepada para pelanggan. Tetulang yang mengikat dan mengukuhkan kanopi payung tersebut melambangkan usaha berterusan Takaful Malaysia menyediakan pelbagai produk bagi memastikan manfaat yang maksimum. Kekukuhan tangkai payung tersebut mencerminkan kekuatan fundamental Takaful Malaysia untuk kekal berdaya tahan mengharungi detik-detik mencabar. Kestabilan yang disediakannya, membantu ke arah pertumbuhan. Konsep ini mencerminkan ketenteraman minda yang diperjuangkan oleh Takaful Malaysia untuk para pelanggannya.

Rasional KulitCover Rationale

�Syarikat Takaful Malaysia Berhad l Laporan Tahunan 2008 Annual Report

Isi Kandungan Contents

2Visi & MisiVision & Mission

4-7Notis Mesyuarat Agung TahunanNotice of Annual General Meeting

8Penyata Mengiringi Notis Mesyuarat Agung Tahunan Kedua Puluh TigaStatement Accompanying Notice of Twenty Third Annual General Meeting

9Struktur KorporatCorporate Structure

�0-��Ringkasan Kewangan Lima TahunFive Years Financial Highlights

�2-�4Maklumat KorporatCorporate Information

�6-22Profil Lembaga PengarahBoard of Directors’ Profile

24-27Profil Badan Penasihat SyariahShariah Advisory Body’s Profile

28-29Jawatankuasa PengurusanManagement Committee

30-38Laporan Jawatankuasa AuditAudit Committee Report

39-47Penyata Urus Tadbir KorporatCorporate Governance Statement

48-52Maklumat Pematuhan TambahanAdditional Compliance Information

53-56Penyata Kawalan DalamanStatement on Internal Control

58-7�Penyata PengerusiChairman’s Statement

73-�59Penyata KewanganFinancial Statements

�60-�66Maklumat HartanahParticulars of Properties

�67-�70Statistik Pegangan SahamShareholdings Statistics

�7�-�78Rangkaian CawanganBranch Network

Borang ProksiProxy Form

Syarikat Takaful Malaysia Berhad l Laporan Tahunan 2008 Annual Report2

Menjadikan kami pilihan utama insurans

Matlamat kami adalah untuk menjangkau harapan pelanggan melalui:• Operasi Cemerlang• Kebolehan Dalam Daya Saing Teknologi • Inovasi Produk• Budaya Kerja Berorientasikan PrestasiKetika menyampaikan kehendak utama pemegang saham

We want to be the preferred choice for insurance

We aim to exceed customer expectations through:• Operational Excellence• Technology Driven Capabilities • Product Innovation• Performance Oriented CultureWhilst delivering superior shareholders’ value

VISI & MISIVISION & MISSION

3Syarikat Takaful Malaysia Berhad l Laporan Tahunan 2008 Annual Report

Achieving new heights


NOTICE IS HEREBY GIVEN that the TWENTY THIRD ANNUAL GENERAL MEETING of SYARIKAT TAKAFUL MALAYSIA BERHAD will be held at Dewan Ahmad Mohamed Ibrahim, 5th Floor, Annexe Block, Dataran Kewangan Darul Takaful, No. 4, Jalan Sultan Sulaiman, 50000 Kuala Lumpur on Wednesday, �0 December 2008, at 9:30 a.m. for the following purposes:

�. To receive and adopt the Audited Financial Statements for the financial year ended 30 June 2008, together with the reports of the Directors and Auditors thereon.

(Resolution �)

2. To approve a final dividend of 3.5% less 26% tax in respect of the financial year ended 30 June 2008. (Resolution 2)

3. To re-elect the following Directors, each of whom retires pursuant to the Company’s Articles of Association: Article 62

3.� Y. Bhg. Dato’ Mohamed Hassan b. Md. Kamil (Resolution 3)

3.2 Y. Bhg. Tan Sri Dr. Hadenan b. A. Jalil (Resolution 4)Article 66A

3.3 Y. Bhg. Dato’ Sulaiman b. Mohd Yusof (Resolution 5)

3.4 Encik Johan b. Abdullah (Resolution 6)

4. To approve the payment of the Directors’ fees for the financial year ended 30 June 2008. (Resolution 7)

5. To approve the payment of Shariah Advisory Body Members’ fees for the financial year ended 30 June 2008. (Resolution 8)

6. To re-appoint Messrs KPMG Desa Megat & Co. as the Auditors of the Company and to authorise the Directors to fix their remuneration. (Resolution 9)

DENGAN INI DIMAKLUMKAN bahawa MESYUARAT AGUNG TAHUNAN SYARIKAT TAKAFUL MALAYSIA BERHAD YANG KEDUA PULUH TIGA akan diadakan di Dewan Ahmad Mohamed Ibrahim, Tingkat 5, Blok Annex, Dataran Kewangan Darul Takaful, No. 4, Jalan Sultan Sulaiman, 50000 Kuala Lumpur pada hari Rabu, �0 Disember 2008, jam 9:30 pagi bagi tujuan-tujuan berikut:

�. Untuk menerima dan menimbang Penyata-penyata Kewangan Beraudit bagi tahun kewangan berakhir 30 Jun 2008, berserta laporan Pengarah dan Juruaudit berkaitan dengannya. (Resolusi �)

2. Untuk meluluskan dividen akhir sebanyak 3.5% ditolak 26% cukai bagi tahun kewangan berakhir 30 Jun 2008. (Resolusi 2)

3. Untuk melantik semula Pengarah-pengarah berikut yang bersara menurut Tataurusan Persatuan Syarikat:

Artikel 62

3.� Y. Bhg. Dato’ Mohamed Hassan b. Md. Kamil (Resolusi 3)3.2 Y. Bhg. Tan Sri Dr. Hadenan b. A. Jalil (Resolusi 4)Artikel 66A

3.3 Y. Bhg. Dato’ Sulaiman b. Mohd Yusof (Resolusi 5)3.4 Encik Johan b. Abdullah (Resolusi 6)

4. Untuk meluluskan bayaran yuran Pengarah-pengarah bagi tahun kewangan berakhir 30 Jun 2008. (Resolusi 7)

5. Untuk meluluskan bayaran yuran Ahli-ahli Badan Penasihat Syariah bagi tahun kewangan berakhir 30 Jun 2008. (Resolusi 8)

6. Untuk melantik semula Tetuan KPMG Desa Megat & Co. sebagai Juruaudit Syarikat dan memberi kuasa kepada Pengarah-pengarah untuk menetapkan bayaran Juruaudit. (Resolusi 9)

Notis Mesyuarat Agung TahunanNotice of Annual General Meeting



7. As Special Business – Ordinary Resolution

“THAT subject always to the Companies Act �965, the Articles of Association of the Company and approval from the Bursa Malaysia Securities Berhad and any other governmental and/or regulatory bodies, where such approval shall be necessary, the Directors be and hereby authorized pursuant to Section �32D of the Companies Act �965, to allot and issue shares in the Company from time to time and upon such terms and conditions and such purposes as they may, in the absolute discretion, deem fit provided that the aggregate number of shares to be issued pursuant to this resolution does not exceed ten per cent (�0%) of the issued capital for the time being of the Company and that such authority shall continue in force until the conclusion of the next Annual General Meeting of the Company.” (Resolution �0)

8. As Special Business - Ordinary Resolution - Proposed Renewal of Shareholders’ Mandate for Recurrent Related Party Transactions of a Revenue or Trading Nature with BIMB Holdings Berhad and its Subsidiaries (“BHB Group”).

“THAT, subject to compliance with all applicable laws, regulations and guidelines, the mandate granted by the shareholders of the Company on 5 December 2007 pursuant to paragraph �0.09 of the Listing Requirements of the Bursa Malaysia Securities Berhad, authorizing the Company and its subsidiaries (“Takaful Malaysia Group”) to enter into the Recurrent Related Party Transactions of a revenue or trading nature with the BHB Group which are necessary for the day to day operations of the Takaful Malaysia Group as set out in Section 2.3 of the Circular to Shareholders dated �8 November 2008 (“Circular”), be and is hereby renewed, provided that :

(a) the transactions are in the ordinary course of business and are on terms which are not more favourable to the related parties than those generally available to the public and on terms not to the detriment of the minority shareholders of the Company;

(b) the transactions are made at arm’s length and on normal commercial terms; and

7. Sebagai Urusan Khas - Resolusi Biasa

“BAHAWA tertakluk kepada Akta Syarikat �965, Tataurusan Persatuan Syarikat dan kelulusan dari Bursa Malaysia Securities Berhad dan lain-lain badan kerajaan dan/atau berkanun, yang mana kelulusan diperlukan, Lembaga Pengarah diberikan kuasa mengikut Seksyen �32D Akta Syarikat �965, untuk mengagihkan dan menerbitkan saham Syarikat dari masa ke semasa sebagaimana tatacara yang ditetapkan dan untuk tujuan yang mengikut budi bicara mereka, patut, dengan syarat jumlah terkumpul saham yang diterbitkan melalui resolusi ini tidak melebihi sepuluh peratus (�0%) modal terbitan semasa Syarikat dan kebenaran ini adalah berkuatkuasa sehingga berakhirnya Mesyuarat Agung Tahunan yang akan datang.”

(Resolusi �0)

8. Sebagai Urusan Khas - Resolusi Biasa - Cadangan Pembaharuan Mandat Pemegang Saham bagi Urusniaga Pihak Berkaitan yang Berulang Berbentuk Hasil atau Perdagangan dengan BIMB Holdings Berhad dan subsidiari-subsidiarinya (“Kumpulan BHB”).

“BAHAWA, tertakluk kepada pematuhan dengan semua

undang-undang, peraturan dan garis panduan yang berkaitan, mandat yang diberikan oleh para pemegang saham Syarikat pada 5 Disember 2007 menurut perenggan �0.09 Keperluan Penyenaraian Bursa Malaysia Securities Berhad, memberi kuasa kepada Syarikat dan subsidiari-subsidiarinya (“Kumpulan Takaful Malaysia”) untuk memeterai Urusniaga Pihak Berkaitan yang Berulang Berbentuk Hasil atau Perdagangan dengan Kumpulan BHB yang perlu bagi operasi harian Kumpulan Takaful Malaysia seperti yang dinyatakan dalam Seksyen 2.3 Pekeliling kepada Para Pemegang Saham bertarikh �8 November 2008 (“Pekeliling”), adalah dan dengan ini diperbaharui, dengan syarat bahawa:

(a) urusniaga tersebut adalah dalam perjalanan biasa perniagaan dan atas terma yang tidak lebih memihak kepada pihak berkaitan berbanding yang secara umumnya tersedia kepada orang ramai dan atas terma yang tidak menjejaskan para pemegang saham minoriti Syarikat;

(b) urusniaga dilaksanakan pada asas yang saksama dan atas terma komersial biasa; dan



(c) the disclosure will be made in the annual report with the breakdown of the aggregate value of the transactions conducted pursuant to the mandate during the financial year.

AND THAT such renewed and granted mandate shall continue to be in force until:

(a) the conclusion of the next annual general meeting of the Company following the general meeting at which such mandate was passed, at which time it will lapse, unless by a resolution passed at the meeting, the authority is renewed;

(b) the expiration of the period within which the next annual general meeting after the date that it is required to be held pursuant to Section �43(�) of the Companies Act, �965 (“CA”) (but shall not extend to such extension as may be allowed pursuant to Section �43(2) of CA); or

(c) revoked or varied by resolution passed by the shareholders in a general meeting;

whichever is the earlier”. (Resolution ��)

9. To transact any other business for which due notice has been given.

NOTICE IS ALSO HEREBY GIVEN THAT a final dividend of 3.5% less 26% tax in respect of the financial year ended 30 June 2008 will be paid on 9 January 2009 to Depositors registered in the Record of Depositors at the close of business on �5 December 2008.

FURTHER NOTICE IS HEREBY GIVEN THAT a Depositor shall qualify for entitlement to the dividend only in respect of:

(a) Shares transferred into the Depositor’s Securities Account before 4:00 p.m. on �5 December 2008 in respect of transfers; and

(b) Shares bought on the Bursa Malaysia Securities Berhad on a cum entitlement basis according to the Rules of Bursa Malaysia Securities Berhad.

(c) pendedahan akan dibuat dalam laporan tahunan dengan pecahan nilai agregat urus niaga yang dijalankan menurut mandat pada tahun kewangan.

DAN BAHAWA pembaharuan dan pemberian mandat akan terus berkuatkuasa sehingga:

(a) tamat mesyuarat agung tahunan Syarikat yang akan datang di mana mandat tersebut diluluskan, di mana mandat tersebut akan luput, melainkan kuasa tersebut diperbaharui melalui satu resolusi yang diluluskan dalam mesyuarat tersebut;

(b) tamat tempoh di mana mesyuarat agung tahunan berikutnya selepas tarikh ia dikehendaki untuk diadakan menurut Seksyen �43(�) Akta Syarikat, �965 (“AS”) (tetapi tidak melebihi penangguhan seperti yang dibenarkan menurut Seksyen �43(2) AS); atau

(c) dibatalkan atau dipinda melalui resolusi yang diluluskan oleh pemegang saham dalam mesyuarat agung;

yang mana lebih awal”. (Resolusi ��)

9. Untuk melaksanakan sebarang urusan yang mana notis sewajarnya telah diberi.

NOTIS DENGAN INI JUGA DIBERI BAHAWA dividen akhir sebanyak 3.5% tolak 26% cukai bagi tahun kewangan berakhir 30 Jun 2008, akan dibayar pada 9 Januari 2009 kepada para Pendeposit yang berdaftar di dalam Rekod Pendeposit pada penutupan perniagaan, �5 Disember 2008.

NOTIS SETERUSNYA DENGAN INI JUGA DIBERI BAHAWA seorang Pendeposit adalah layak untuk mendapat hak menerima dividen hanya dalam keadaan:

(a) Saham yang dipindahkan ke dalam Akaun Sekuriti Pendeposit sebelum 4:00 petang pada �5 Disember 2008 berhubung pindahan; dan

(b) Saham yang dibeli di Bursa Malaysia Securities Berhad pada asas kelayakan menurut Peraturan Bursa Malaysia Securities Berhad.


By Order of the Board

MOHAMAD ASRI HAJI YUSOFF (MIA �4�7�)Company SecretaryKuala Lumpur�8 November 2008

Notes:

1. Appointment of Proxy

(i) A member entitled to attend and vote at the meeting is entitled to appoint a proxy or proxies to attend and to vote instead of him and shall specify the proportions of his holdings to be represented by each proxy and a proxy need not be a member of the Company.

(ii) The instrument appointing a proxy in the case of an individual shall be signed by the appointer or his attorney and in the case of a corporation, must be under seal or under the hand of an officer or attorney duly authorised.

(iii) The instrument appointing a proxy must be deposited at the Registered Office of the Company at 26th Floor, Annexe Block, Dataran Kewangan Darul Takaful, No. 4, Jalan Sultan Sulaiman, 50000 Kuala Lumpur not less than forty-eight (48) hours before the time for holding the meeting or any adjournment thereof.

2. Explanatory Notes to Special Business (i) Authority to Issue Shares Pursuant to Section �32D of the Companies,

Act �965.

The proposed Resolution No.�0, if passed, will authorize the Directors of the Company to allot and issue shares up to ten per cent (�0%) of the issued capital of the Company for the time being for such purposes as the Directors consider would be in the interest of the Company. This authority unless revoked or varied by the Company in general meeting will expire at the next Annual General Meeting of the Company.

(ii) Proposed Renewal of Shareholders’ Mandate for Recurrent Related Party Transaction of a Revenue or Trading Nature.

The proposed Resolution No. ��, if passed, will empower the Company to conduct recurrent related party transactions of a revenue or trading in nature which are necessary for Takaful Malaysia Group’s day to day operations and will eliminate the need to convene separate general meetings from time to time to seek shareholders’ approval.

Atas Arahan Lembaga Pengarah

MOHAMAD ASRI HAJI YUSOFF (MIA �4�7�)Setiausaha SyarikatKuala Lumpur�8 November 2008

Nota:

1. Pelantikan Proksi

(i) Seorang ahli yang berhak hadir untuk mengundi dalam mesyuarat itu layak untuk melantik seorang atau beberapa orang proksi untuk hadir dan mengundi bagi pihaknya dan haruslah menyatakan bahagian sahamnya yang diwakili oleh setiap proksi dan proksi itu tidak semestinya seorang ahli Syarikat.

(ii) Suratcara pelantikan proksi bagi individu hendaklah ditandatangani oleh pelantik atau peguamnya dan dalam hal perbadanan, ia mestilah di bawah meterai atau ditandatangani oleh seorang pegawai atau peguamnya yang telah diberi kuasa sewajarnya.

(iii) Suratcara pelantikan seorang proksi mestilah dihantar ke Pejabat Berdaftar Syarikat di Tingkat 26, Blok Annex, Dataran Kewangan Darul Takaful, No. 4, Jalan Sultan Sulaiman, 50000 Kuala Lumpur, tidak lewat dari empat puluh lapan (48) jam sebelum waktu yang ditetapkan bagi mengadakan mesyuarat atau sebarang penangguhannya.

2. Nota Penerangan kepada Urusniaga Khas

(i) Kuasa Bagi Menerbitkan Saham di bawah Seksyen �32D Akta Syarikat, �965.

Cadangan Resolusi No. �0, sekiranya diluluskan, akan memberikan kuasa kepada Lembaga Pengarah untuk mengagihkan dan menerbitkan saham tidak melebihi sepuluh peratus (�0%) modal terbitan semasa Syarikat untuk tujuan yang mengikut pertimbangan Lembaga Pengarah adalah untuk kepentingan Syarikat. Kecuali dibatalkan atau diubah oleh Syarikat di dalam mesyuarat agung, kuasa ini akan tamat tempohnya pada Mesyuarat Agung Tahunan Syarikat yang akan datang.

(ii) Cadangan Pembaharuan Mandat Pemegang Saham bagi Urusniaga Pihak Berkaitan yang Berulang Berbentuk Hasil atau Perdagangan.

Cadangan Resolusi No. ��, jika diluluskan, akan memberi kuasa kepada Syarikat untuk melaksanakan urusniaga pihak berkaitan yang berulang berbentuk hasil atau perdagangan perlu bagi operasi harian Kumpulan Takaful Malaysia dan akan menghapuskan keperluan untuk menjalankan mesyuarat agung yang berasingan dari masa ke semasa untuk mendapatkan kelulusan para pemegang saham.



Maklumat para Pengarah yang bersedia untuk pemilihan semula atau pelantikan semula dalam Agenda 3 Notis Mesyuarat Agung Tahunan Kedua Puluh Tiga dibentangkan dalam profil masing-masing dalam bahagian Profil Pengarah di muka surat �6, �7, 2� dan 22 dalam Laporan Tahunan ini. Pegangan sekuriti mereka dalam Syarikat dinyatakan dalam Statistik Pegangan Saham di muka surat �67 dalam Laporan Tahunan ini.

The details of the Directors who are standing for re-election or re-appointment in Agenda 3 of the Notice of the Twenty Third Annual General Meeting are set out in their respective profiles which appear in the Directors’ Profiles on pages �6, �7, 2� and 22 of this Annual Report. Their securities holdings in the Company are set out in the Shareholdings Statistics which appear on page �67 of this Annual Report.

Penyata Mengiringi Notis MesyuaratAgung Tahunan Kedua Puluh Tiga

mengikut Perenggan 8.28(2) Keperluan Penyenaraian Bursa Malaysia

Statement Accompanying Notice of Twenty Third Annual General Meeting

pursuant to Paragraph 8.28(2) of the Bursa Malaysia’s Listing Requirements


Syar

ikat

-Sya

rika

t Sub

sidi

ari/

Subs

idia

ry C

ompa

nies

(47.08%)

(56.00%)

(63.09%)

(99.94%)

(52.67%)

Struktur KorporatCorporate Structure

P.T. SYARIKAT

Syarikat Takaful Malaysia Berhad l Laporan Tahunan 2008 Annual Report�0

SYARIKAT/COMPANY

Jumlah Kasar Sumbangan Takaful (RM ’000)/Total Gross Takaful Contributions (RM ’000)

Takaful Keluarga/Family Takaful Takaful Am/General Takaful

Jumlah Aset (RM ’000)/Total Assets (RM ’000)

Jumlah Aset/Total Assets

2004 2005 2006 2007 2008

529,

689

2004 2005 2006 2007 2008

255,

575

264,

787

34�,

874

306,

620

2004 2005 2006 2007 2008

2,36

0,70

6

2,66

�,95

5

2,98

3,33

8

3,29

�,28

5

Ringkasan Kewangan Lima TahunFive Years Financial Highlights

356,

560

357,

�45

375,

074

470,

205

�93,

372

3,79

6,26

0

��Syarikat Takaful Malaysia Berhad l Laporan Tahunan 2008 Annual Report

Keuntungan Sebelum Cukai (RM ’000)/Profit Before Taxation (RM ’000)

Keuntungan Sebelum Cukai (RM ’000)/Profit Before Taxation (RM ’000)

SYARIKAT/COMPANY

Keuntungan/Profit

KUMPULAN/GROUP

Keuntungan/Profit

2004 2005 2006 2007 2008

20,�

20

33,9

93

32,5

86

�4,3

6�

42,6

59

2004 2005 2006 2007 2008

2�,9

96 29,0

54 4�,0

06

2�,6

26 33,8

60

Ringkasan Kewangan Lima TahunFive Years Financial Highlights


Maklumat KorporatCorporate Information

Pengerusi/Chairman

Y. Bhg. Tan Sri Dr. Hadenan b. A. JalilPengarah Bukan Eksekutif Bukan Bebas/Non-Independent Non-Executive Director

Ahli-ahli/Members

Y. Bhg. Dato’ Mohamed Hassan b. Md. KamilPengarah Urusan Kumpulan/Group Managing Director

Y. A. M. Tengku Dato’ Sri Azman Ibni Almarhum Sultan Abu BakarPengarah Bukan Eksekutif Bebas/Independent Non-Executive Director

Puan Rozaida bt. OmarPengarah Bukan Eksekutif Bukan Bebas/Non-Independent Non-Executive Director

Encik Mahadzir b. AzizanPengarah Bukan Eksekutif Bebas/Independent Non-Executive Director

Y. Bhg. Dato’ Sulaiman b. Mohd YusofPengarah Bukan Eksekutif Bebas/Independent Non-Executive Director(Dilantik pada � Januari 2008/Appointed on � January 2008)

Encik Johan b. AbdullahPengarah Bukan Eksekutif Bukan Bebas/Non-Independent Non-Executive Director(Dilantik pada �5 Ogos 2008/Appointed on �5 August 2008)

Y. DH. Dato’ Sri Wan Abdul Wahid b. Wan HassanPengarah Bukan Eksekutif Bebas/ Independent Non-Executive Director(Bersara pada 25 November 2007/Retired on 25 November 2007)

Y. Bhg. Dato’ Alwi b. MuhamadPengarah Bukan Eksekutif Bebas/Independent Non-Executive Director(Bersara pada 30 November 2007/Retired on 30 November 2007)

Y. Bhg. Dato’ Noorazman b. A. AzizPengarah Bukan Eksekutif Bukan Bebas/Non-Independent Non-Executive Director(Meletak jawatan pada � Januari 2008/Resigned on � January 2008)

Setiausaha/Secretary

Encik Mohamad Asri b. Hj. Yusoff (MIA �4�7�)

BADAN PENASIHAT SYARIAH/SHARIAH ADVISORY BODY

Pengerusi/Chairman

Y. Bhg. Prof. Madya Dr. Ahmad Shahbari @ Sobri b. Salamon

Ahli-ahli/Members

Y. Bhg. Datuk Abdul Hamid b. Said

Y. Bhg. Ustaz Mohd. Bakir b. Hj. Mansor

Y. Bhg. Dr. Aida bt. Othman(Dilantik pada 6 Mac 2008/Appointed on 6 March 2008)

Y. Bhg. Prof. Madya Dr. Ashraf b. Md. Hashim(Meletak jawatan pada � Julai 2008/Resigned on � July 2008)

Setiausaha/Secretary

Encik Wan Jemizan b. Wan Deraman(Meletak jawatan pada 20 April 2008/Resigned on 20 April 2008)

Encik Mohamad Asri b. Hj. Yusoff

JAWATANKUASA AUDIT/AUDIT COMMITTEE

Y. A. M. Tengku Dato’ Sri Azman Ibni Almarhum Sultan Abu BakarPengerusi/Chairman

Puan Rozaida bt. Omar

Y. Bhg. Dato’ Sulaiman b. Mohd Yusof(Dilantik pada � Januari 2008/Appointed on � January 2008)

Y. DH. Dato’ Sri Wan Abdul Wahid b. Wan Hassan(Bersara pada 25 November 2007/Retired on 25 November 2007)

Y. Bhg. Dato’ Alwi b. Muhamad(Bersara pada 30 November 2007/Retired on 30 November 2007)

Y. Bhg. Dato’ Noorazman b. A. Aziz(Meletak jawatan pada � Januari 2008/Resigned on � January 2008)

LEMBAGA PENGARAH/BOARD OF DIRECTORS

�3Syarikat Takaful Malaysia Berhad l Laporan Tahunan 2008 Annual Report

JAWATANKUASA PEMILIHAN/NOMINATION COMMITTEE

Encik Mahadzir b. AzizanPengerusi/Chairman

Y. Bhg. Dato’ Mohamed Hassan b. Md. Kamil


Y. Bhg. Dato’ Sulaiman b. Mohd Yusof(Dilantik pada � Januari 2008/Appointed on � January 2008)

Y. DH. Dato’ Sri Wan Abdul Wahid b. Wan Hassan(Bersara pada 25 November 2007/Retired on 25 November 2007)

Y. Bhg. Dato’ Alwi b. Muhamad(Bersara pada 30 November 2007/Retired on 30 November 2007)

Encik Johan b. Abdullah(Dilantik pada �5 Ogos 2008/Appointed on �5 August 2008)

JAWATANKUASA GANJARAN/REMUNERATION COMMITTEE



Y. A. M. Tengku Dato’ Sri Azman Ibni Almarhum Sultan Abu Bakar

Y. Bhg. Dato’ Sulaiman b. Mohd Yusof(Dilantik pada � Februari 2008/Appointed on � February 2008)


JAWATANKUASA PENGURUSAN RISIKO/RISK MANAGEMENT COMMITTEE




Y. Bhg. Dato’ Sulaiman b. Mohd Yusof(Dilantik pada � Mac 2008/Appointed on � March 2008)


JAWATANKUASA ESOS/ESOS COMMITTEE



Y. A.M. Tengku Dato’ Sri Azman Ibni Almarhum Sultan Abu Bakar

PENGURUSAN/MANAGEMENT

Y. Bhg. Dato’ Mohamed Hassan b. Md. KamilPengarah Urusan Kumpulan/Group Managing Director

Encik Muhammad Anjar b. KuncoroKetua Pegawai Informasi/Chief Information Officer

Puan Azian bt. KassimKetua Pegawai Pelaburan/Chief Investment Officer

Encik Nazrul Hisham b. Abdul HamidKetua Pegawai Audit Dalaman/Chief Internal Auditor

Encik Abdul Khalid b. SallehPengurus Besar, Jualan & Pemasaran/Bancatakaful/General Manager, Sales & Marketing/Bancatakaful




Puan Balilah bt. HassanPengurus Besar, Sumber Manusia/General Manager, Human Resource

Puan Fauziah bt. Md. HasanPenolong Pengurus Besar, Kewangan/Assistant General Manager, Finance

KETUA PEGAWAI EKSEKUTIF BAGI SYARIKAT SUBSIDIARI/ CHIEF EXECUTIVE OFFICER OF SUBSIDIARY COMPANIES

Encik Izzuddin b. TajudinKetua Pegawai Eksekutif, Asean Retakaful International (L) Ltd/Chief Executive Officer, Asean Retakaful International (L) Ltd

Encik Saiful Yazan b. AhmadDirektur Utama, P. T. Syarikat Takaful Indonesia/President Director, P. T. Syarikat Takaful Indonesia

JURUAUDIT/AUDITORS

KPMG Desa Megat & Co. (AF0759)Chartered AccountantsLevel �0, KPMG Tower8, First AvenueBandar Utama47800 Petaling JayaSelangor Darul EhsanTel : 603-772� 3388Fax : 603-772� 3399

PEJABAT BERDAFTAR/REGISTERED OFFICE

Tingkat 26, Blok AnnexDataran Kewangan Darul TakafulNo. 4, Jalan Sultan Sulaiman50000 Kuala LumpurTel : 603-2268 �984Fax : 603-2274 2864Email : [email protected] : www.takaful-malaysia.com

PENDAFTAR/REGISTRAR

Symphony Share Registrars Sdn Bhd (378993-D)Level 26, Menara Multi-PurposeCapital SquareNo. 8, Jalan Munshi Abdullah50�00 Kuala LumpurTel : 603-272� 2222Fax : 603-272� 2530Website : www.symphony.com.my

TEMPAT DITUBUHKAN DAN DOMISIL/PLACE OF INCORPORATION AND DOMICILE

Malaysia

PENYENARAIAN BURSA/BURSA LISTING

Papan Utama/Main BoardBursa Malaysia Securities Berhad


Fundamental Strength, Continual Resilience


Profil Lembaga PengarahBoard of Directors’ Profile

Y. BHG. TAN SRI DR. HADENAN B. A. JALILPengerusi Bukan Eksekutif Bukan Bebas/Non-Independent Non-Executive Chairman

Y. Bhg. Tan Sri Dr. Hadenan b. A. Jalil, aged 62, is a Malaysian citizen and the Non-Independent Non-Executive Chairman of Takaful Malaysia and was appointed to the Board on � October 2006.

He graduated with a Bachelor of Economic (Honours) degree from the University of Malaya in �970 and then obtained a Master in Business Management from the Asian Institute of Management, Philippines in �975. In �986, he obtained a Doctor of Philosophy from Henley–The Management College, United Kingdom.

He started his career as an Assistant Secretary, Budget Division at the Ministry of Finance in �970. He then assumed various positions at the Ministry of Finance such as Principal Assistant Secretary, Tax Division; Deputy Secretary, Economic Division; Deputy Secretary, Finance Division and Secretary, Finance Division until �998. He then served at the Ministry of International Trade and Industry as Deputy Secretary General (Trade) from �998 to �999, Secretary General at the Ministry of Works from �999 to 2000 and as the Auditor General at the National Audit Department until his retirement in 2006.

He is also presently the Chairman of ICB Islamic Bank, Dhaka, Bangladesh; Board member and Chairman of Audit Committee of Island and Peninsular Berhad; Board member of Unilever (Malaysia) Holdings Sdn Bhd and Group Business Advisor, Sinar Jernih Sdn Bhd.

He has no family relationship with any other directors/major shareholders of Takaful Malaysia and has no conflict of interest with Takaful Malaysia. He has no conviction for offences within the past ten (�0) years and attended eight (8) Board of Directors’ meeting during the financial year ended 30 June 2008.

Y. Bhg. Tan Sri Dr. Hadenan b. A. Jalil, berusia 62 tahun, adalah warganegara Malaysia dan merupakan Pengerusi Bukan Eksekutif Bukan Bebas Takaful Malaysia dan telah dilantik pada � Oktober 2006.

Beliau memperolehi Ijazah Sarjana Muda Ekonomi (Kepujian) dari Universiti Malaya pada tahun �970 dan kemudian memperolehi Ijazah Sarjana Pengurusan Perniagaan dari Asian Institute of Management, Filipina pada tahun �975. Pada tahun �986, beliau memperolehi Doktor Falsafah dari Henley–The Management College, United Kingdom.

Beliau memulakan kerjayanya sebagai Penolong Setiausaha, Bahagian Belanjawan di Kementerian Kewangan pada tahun �970. Beliau kemudian memegang pelbagai jawatan di Kementerian Kewangan seperti Ketua Penolong Setiausaha, Bahagian Cukai; Timbalan Setiausaha, Bahagian Ekonomi; Timbalan Setiausaha, Bahagian Kewangan dan Setiausaha, Bahagian Kewangan sehingga tahun �998. Beliau kemudian berkhidmat di Kementerian Perdagangan Antarabangsa dan Industri sebagai Timbalan Ketua Setiausaha (Perdagangan) dari tahun �998 hingga �999, Kementerian Kerja Raya sebagai Ketua Setiausaha dari tahun �999 hingga 2000 dan sebagai Ketua Audit Negara di Jabatan Audit Negara sehingga persaraan beliau pada tahun 2006.

Beliau kini adalah Pengerusi Lembaga Pengarah ICB Islamic Bank, Dhaka, Bangladesh; ahli Lembaga Pengarah dan Pengerusi Jawatankuasa Audit Island and Peninsular Berhad; ahli Lembaga Pengarah Unilever (Malaysia) Holdings Sdn Bhd dan Penasihat Perniagaan Kumpulan, Sinar Jernih Sdn Bhd.

Beliau tidak mempunyai perhubungan kekeluargaan dengan mana-mana pengarah/pemegang saham utama Takaful Malaysia dan tidak mempunyai percanggahan kepentingan dengan Takaful Malaysia. Beliau tidak pernah disabitkan dengan apa-apa kesalahan dalam tempoh sepuluh (�0) tahun yang lalu dan telah menghadiri lapan (8) mesyuarat Lembaga Pengarah semasa tahun kewangan berakhir 30 Jun 2008.



Y. Bhg. Dato’ Mohamed Hassan b. Md. Kamil, berusia 45 tahun, adalah warganegara Malaysia dan dilantik ke Lembaga Pengarah Syarikat Takaful Malaysia Berhad pada � September 2006 sebagai Pengarah Bukan Eksekutif Bukan Bebas. Beliau kini adalah Pengarah Urusan Kumpulan bagi Takaful Malaysia sejak � April 2007. Beliau juga merupakan ahli Jawatankuasa Ganjaran, Jawatankuasa Pemilihan, Jawatankuasa Pengurusan Risiko dan Jawatankuasa ESOS. Beliau juga merupakan Pengerusi Lembaga Komisaris P.T. Asuransi Takaful Umum dan P.T. Asuransi Takaful Keluarga, ahli Lembaga Komisaris P.T. Syarikat Takaful Indonesia dan Pengarah Institut Perbankan dan Kewangan Islam Malaysia Sdn Bhd (IBFIM).

Beliau merupakan graduan Sarjana Muda Sains dalam bidang Sains Aktuari dan Sarjana Pentadbiran Perniagaan dari University of Iowa, USA. Beliau juga adalah Fellow of the Society of Actuaries, USA, ahli American Academy of Actuaries dan Chartered Life Underwriter.

Beliau telah bekerja di Amerika Syarikat sebagai Aktuari dari tahun �987 hingga �994 sebelum pulang ke Malaysia sebagai Timbalan Pengurus Besar di Malaysia National Insurance. Pada tahun �996, beliau menyertai ING Insurance Berhad (sebelum ini dikenali sebagai Aetna Universal Insurance) sebagai Naib Presiden Kanan dan Ketua Aktuari. Pada tahun 2004, beliau menjadi Timbalan Pengurus Besar bagi P.T. AIA Indonesia. Beliau merupakan Pengarah Eksekutif BIMB Holdings Berhad mulai April 2006 hingga Mac 2007.

Beliau tidak mempunyai perhubungan kekeluargaan dengan mana-mana pengarah/pemegang saham utama Takaful Malaysia dan tidak mempunyai percanggahan kepentingan dengan Takaful Malaysia. Beliau tidak pernah disabitkan dengan apa-apa kesalahan dalam tempoh sepuluh (�0) tahun yang lalu dan telah menghadiri sembilan (9) mesyuarat Lembaga Pengarah semasa tahun kewangan berakhir 30 Jun 2008.

Y. Bhg. Dato’ Mohamed Hassan b. Md. Kamil, aged 45, is a Malaysian citizen and was appointed to the Board of Syarikat Takaful Malaysia Berhad on � September 2006 as a Non-Independent Non-Executive Director. He is currently the Group Managing Director of Takaful Malaysia since � April 2007. He is a member of the Remuneration Committee, Nomination Committee, Risk Management Committee and ESOS Committee. He is also the Chairman of the Board of Commissioners of P.T. Asuransi Takaful Umum and P.T. Asuransi Takaful Keluarga, a member of the Board of Commissioners of P.T. Syarikat Takaful Indonesia and Director of Islamic Banking and Finance Institute Malaysia Sdn Bhd (IBFIM).

He graduated with a Bachelor of Science degree in Actuarial Science and Master in Business Administration from the University of Iowa, USA. He is a Fellow of the Society of Actuaries, USA, a member of the American Academy of Actuaries and a Chartered Life Underwriter.

He worked in the United States as an Actuary from �987 to �994 prior to returning to Malaysia as Deputy General Manager at Malaysia National Insurance. In �996, he joined ING Insurance Berhad (previously known as Aetna Universal Insurance) as Senior Vice President and Chief Actuary. In 2004, he became the Deputy General Manager for P.T. AIA Indonesia. He was an Executive Director of BIMB Holdings Berhad from April 2006 until March 2007.

He has no family relationship with any other directors/major shareholders of Takaful Malaysia and has no conflict of interest with Takaful Malaysia. He has no conviction for offences within the past ten (�0) years and attended nine (9) Board of Directors’ meeting during the financial year ended 30 June 2008.

Y. BHG. DATO’ MOHAMED HASSAN B. MD. KAMILPengarah Urusan Kumpulan/

Group Managing Director



Y. A. M. TENGKU DATO’ SRI AZMAN IBNI ALMARHUM SULTAN ABU BAKARPengarah Bukan Eksekutif Bebas/Independent Non-Executive Director

Y. A. M. Tengku Dato’ Sri Azman Ibni Almarhum Sultan Abu Bakar, aged 56, is a Malaysian citizen and was appointed as an Independent Non-Executive Director of Takaful Malaysia on �5 May 2007. He is also the Chairman of Audit Committee and a member of Remuneration Committee and ESOS Committee. He is also a member of the Board of Commissioners of P.T. Syarikat Takaful Indonesia.

Y. A. M. Tengku Dato’ Sri Azman had his early education in the United Kingdom. He started off his career with Hongkong & Shanghai Banking Corporation in �973 as Regional Officer Trainee. After completing the training period in Hongkong Head Quarters and the Institute of Banking (Part I), he then returned to Malaysia and continued working with Hongkong & Shanghai Banking Corporation before setting up his own business, Jomalina Sdn Bhd, a company involved in palm oil refining in �976. From then onwards, Y.A.M. Tengku Dato’ Sri Azman continued his career path by assuming management positions in several other private limited companies. In the period from �985 to 200�, Y.A.M. Tengku Dato’ Sri Azman held the position of Director of Aetna Universal Insurance Berhad (now known as ING Insurance Berhad) and Ralco Corporation Berhad, companies involved in multi-line insurance and manufacturing and trading of plastic materials respectively. Currently, Y. A. M. Tengku Dato’ Sri Azman is the Executive Chairman of a private company, Ampmech Industries Sdn Bhd, a licensed company by Petroliam Nasional Berhad, specializing in the oil and gas industry and Managing Director of A. S. Holdings Sdn Bhd since �998 and �980 respectively. He is also a Director of several other private limited companies.

Y. A. M. Tengku Dato’ Sri Azman has no family relationship with any other directors/major shareholders of Takaful Malaysia and has no conflict of interest with Takaful Malaysia. He has no conviction for offences within the past ten (�0) years and has attended eight (8) Board of Directors’ meeting during the financial year ended 30 June 2008.

Y. A. M. Tengku Dato’ Sri Azman Ibni Almarhum Sultan Abu Bakar, berusia 56 tahun adalah warganegara Malaysia dan telah dilantik sebagai Pengarah Bukan Eksekutif Bebas Takaful Malaysia pada �5 Mei 2007. Beliau juga adalah Pengerusi Jawatankuasa Audit dan ahli Jawatankuasa Ganjaran dan Jawatankuasa ESOS. Beliau juga merupakan ahli Lembaga Komisaris P.T. Syarikat Takaful Indonesia.

Y. A. M. Tengku Dato’ Sri Azman mendapat pendidikan awalnya di United Kingdom dan memulakan kerjayanya dengan Hongkong & Shanghai Banking Corporation pada tahun �973 sebagai Pegawai Rantau Pelatih. Selepas menamatkan tempoh latihannya di Ibu Pejabat di Hong Kong dan di Institute of Banking (Part I), beliau pulang ke Malaysia dan terus bekerja dengan Hongkong & Shanghai Banking Corporation sebelum membuka perniagaannya sendiri, iaitu Jomalina Sdn Bhd, sebuah syarikat yang terlibat dengan penapisan minyak sawit pada tahun �976. Mulai dari situ, Y.A.M. Tengku Dato’ Sri Azman meneruskan kerjayanya dengan memegang jawatan pengurusan dalam beberapa syarikat swasta yang lain. Dalam tempoh dari tahun �985 hingga 200�, Y.A.M. Tengku Dato’ Sri Azman memegang jawatan Pengarah di Aetna Universal Insurance Berhad (kini dikenali sebagai ING Insurance Berhad) dan Ralco Corporation Berhad, masing-masing adalah syarikat yang terbabit dalam pelbagai jenis insurans dan pengeluaran serta perdagangan bahan plastik. Kini, Y. A. M. Tengku Dato’ Sri Azman adalah Pengerusi Eksekutif sebuah syarikat swasta, Ampmech Industries Sdn Bhd, syarikat yang dilesenkan oleh Petroliam Nasional Berhad, yang berkecimpung dalam industri minyak dan gas dan sebagai Pengarah Urusan A. S. Holdings Sdn Bhd, masing-masing sejak tahun �998 dan �980. Beliau juga merupakan Pengarah di beberapa syarikat sendirian berhad yang lain.

Y. A. M. Tengku Dato’ Sri Azman tidak mempunyai perhubungan kekeluargaan dengan mana-mana pengarah/pemegang saham utama Takaful Malaysia dan tidak mempunyai percanggahan kepentingan dengan Takaful Malaysia. Beliau tidak pernah disabitkan dengan apa-apa kesalahan dalam tempoh sepuluh (�0) tahun yang lalu dan telah menghadiri lapan (8) mesyuarat Lembaga Pengarah semasa tahun kewangan berakhir 30 Jun 2008.



PUAN ROZAIDA BT. OMARPengarah Bukan Eksekutif Bukan Bebas/

Non-Independent Non-Executive Director

Puan Rozaida bt. Omar, aged 45, is a Malaysian citizen and is a Non-Independent Non-Executive Director of Takaful Malaysia and was appointed to the Board on �5 May 2007. She is also a member of the Audit Committee, Nomination Committee and Risk Management Committee.

She is a Chartered Accountant (M) and a member of the Association of Chartered Certified Accountants (ACCA) United Kingdom since �986.

She started her career as a Financial Accountant at FELDA in �986. In �990, she became a Credit Manager at Citibank Berhad until �99�. She then joined Guthrie Trading Sdn Bhd in �992 as a Finance Manager until �993. After that, she became a Finance Director of Glaxo SmithKline Consumer Healthcare Sdn Bhd from �994 until 2003. She is currently the Senior General Manager (Finance) of Lembaga Tabung Haji since 2004. She is also a Director of TH Properties Sdn Bhd.

She has no family relationship with any other directors/major shareholders of Takaful Malaysia and has no conflict of interest with Takaful Malaysia. She has no conviction for offences within the past ten (�0) years and attended eight (8) Board of Directors’ meeting during the financial year ended 30 June 2008.

Puan Rozaida bt. Omar, berusia 45 tahun, adalah warganegara Malaysia dan telah dilantik sebagai Pengarah Bukan Eksekutif Bukan Bebas Takaful Malaysia pada �5 Mei 2007. Beliau juga merupakan ahli Jawatankuasa Audit, Jawatankuasa Pemilihan dan Jawatankuasa Pengurusan Risiko.

Beliau adalah Akauntan Bertauliah (M) dan merupakan ahli Association of Chartered Certified Accountants (ACCA) United Kingdom sejak tahun �986.

Beliau memulakan kerjayanya sebagai Akauntan Kewangan di FELDA pada tahun �986. Pada tahun �990, beliau menjadi Pengurus Kredit di Citibank Berhad sehingga tahun �99�. Beliau kemudiannya menyertai Guthrie Trading Sdn Bhd pada tahun �992 sebagai Pengurus Kewangan sehingga tahun �993. Selepas itu, beliau menjadi Pengarah Kewangan di Glaxo SmithKline Consumer Healthcare Sdn Bhd dari tahun �994 sehingga tahun 2003. Kini beliau adalah Pengurus Besar Kanan (Kewangan) di Lembaga Tabung Haji sejak tahun 2004. Beliau juga merupakan Pengarah TH Properties Sdn Bhd.

Beliau tidak mempunyai perhubungan kekeluargaan dengan mana-mana pengarah/pemegang saham utama Takaful Malaysia dan tidak mempunyai percanggahan kepentingan dengan Takaful Malaysia. Beliau tidak pernah disabitkan dengan apa-apa kesalahan dalam tempoh sepuluh (�0) tahun yang lalu dan telah menghadiri lapan (8) mesyuarat Lembaga Pengarah semasa tahun kewangan berakhir 30 Jun 2008.



ENCIK MAHADZIR B. AZIZANPengarah Bukan Eksekutif Bebas/Independent Non-Executive Director

Encik Mahadzir b. Azizan, aged 59, is a Malaysian citizen and is an Independent Non-Executive Director of Takaful Malaysia and was appointed to the Board on � September 2007. He is also the Chairman of the Remuneration Committee, Risk Management Committee, Nomination Committee and ESOS Committee.

He is a Barrister-At-Law from Lincoln’s Inn, London, United Kingdom and was called to the English Bar in �978.

He has held key positions both in private and public sector. After graduation, he joined the Judicial and Legal Service of the Malaysian Government as a Deputy Public Prosecutor and Federal Counsel and subsequently ventured into the private sector and served Malaysian International Shipping Corporation (“MISC”) and Island & Peninsular Berhad, the property arm of Permodalan Nasional Berhad (“PNB”) for 24 years.

Whilst in the private sector, he also served as Ahli Majlis MARA, Director of Amanah Raya Berhad group of companies, Director of Tabung Haji group of companies as well as various other directorships in government linked companies.

Currently, Encik Mahadzir is also a Director of ECM Libra Financial Group and several other companies.

He has no family relationship with any other directors/major shareholders of Takaful Malaysia and has no conflict of interest with Takaful Malaysia. He has no conviction for offences within the past ten (�0) years and has attended seven (7) Board of Directors’ meeting during the financial year ended 30 June 2008.

Encik Mahadzir b. Azizan, berusia 59 tahun, adalah warganegara Malaysia dan telah dilantik sebagai Pengarah Bukan Eksekutif Bebas Takaful Malaysia pada � September 2007. Beliau juga merupakan Pengerusi Jawatankuasa Ganjaran, Jawatankuasa Pengurusan Risiko, Jawatankuasa Pemilihan dan Jawatankuasa ESOS.

Beliau memperolehi kelulusan Barrister-At-Law dari Lincoln’s Inn, London, United Kingdom dan diterima masuk ke English Bar pada tahun �978.

Beliau telah memegang pelbagai jawatan penting di dalam sektor awam dan swasta. Selepas tamat pengajian, beliau telah menyertai perkhidmatan Perundangan dan Kehakiman Kerajaan Malaysia sebagai Timbalan Pendakwaraya Awam dan Penasihat Undang-Undang. Beliau kemudiannya menyertai sektor swasta dan berkhidmat di Malaysian International Shipping Corporation (“MISC”) dan Island & Peninsular Berhad, syarikat hartanah Permodalan Nasional Berhad (“PNB” ) selama 24 tahun.

Semasa di sektor swasta, beliau juga telah berkhidmat sebagai Ahli Majlis MARA, Pengarah bagi syarikat kumpulan Amanah Raya Berhad, Pengarah bagi syarikat kumpulan Tabung Haji dan juga sebagai Pengarah di pelbagai syarikat berkaitan Kerajaan.

Kini, beliau merupakan Pengarah ECM Libra Financial Group Berhad dan beberapa syarikat lain.

Beliau tidak mempunyai perhubungan kekeluargaan dengan mana-mana pengarah/pemegang saham utama Takaful Malaysia dan tidak mempunyai percanggahan kepentingan dengan Takaful Malaysia. Beliau tidak pernah disabitkan dengan apa-apa kesalahan dalam tempoh sepuluh (�0) tahun yang lalu dan telah menghadiri tujuh (7) mesyuarat Lembaga Pengarah semasa tahun kewangan berakhir 30 Jun 2008.

2�Syarikat Takaful Malaysia Berhad l Laporan Tahunan 2008 Annual Report


Y. Bhg. Dato’ Sulaiman b. Mohd Yusof, berusia 57 tahun, adalah warganegara Malaysia dan telah dilantik sebagai Pengarah Bukan Eksekutif Bebas Takaful Malaysia pada � Januari 2008. Beliau merupakan ahli Jawatankuasa Audit, Jawatankuasa Pemilihan, Jawatankuasa Ganjaran dan Jawatankuasa Pengurusan Risiko. Beliau juga merupakan Pengerusi Asean Retakaful International (L) Ltd.

Beliau memperolehi Ijazah Sarjana Muda Undang-undang (LLB) dari University of Buckingham, United Kingdom pada tahun �984 dan diterima masuk ke Malaysian Bar pada tahun �986.

Beliau memulakan kerjayanya sebagai Pelatih Wartawan Kadet dengan Agensi Berita Bernama pada tahun �969. Seterusnya pada tahun yang sama, beliau menyertai Polis Di Raja Malaysia. Beliau menjawat pelbagai jawatan dalam Polis Di Raja Malaysia seperti Timbalan Superitendan Personel, Setiausaha yang bertanggungjawab kepada Ketua Polis Negara, Tun Haniff Omar, Pegawai Polis Daerah Sentul, Alor Setar dan Sungai Petani dan Penolong Pesuruhjaya Penyelidikan dan Perancangan di Bukit Aman. Pada tahun 2002, beliau menjadi Timbalan Pengarah Pengurusan (Disiplin), Timbalan Pengarah Jabatan Narkotik pada tahun 2003, Ketua Polis Negeri Sembilan pada tahun 2004, Timbalan Pengarah, Jabatan Siasatan Jenayah Komersial pada tahun 2005 dan sebagai Ketua Polis Kuala Lumpur pada tahun 2006 sehingga persaraan beliau. Pada bulan April 2007, beliau membuka syarikat guamannya sendiri, SulaimanYusof & Co. Beliau juga merupakan Pengarah AWC Facility Solutions Berhad dan beberapa syarikat sendirian berhad yang lain.

Beliau tidak mempunyai perhubungan kekeluargaan dengan mana-mana pengarah/pemegang saham utama Takaful Malaysia dan tidak mempunyai percanggahan kepentingan dengan Takaful Malaysia. Beliau tidak pernah disabitkan dengan apa-apa kesalahan dalam tempoh sepuluh tahun (�0) yang lalu dan telah menghadiri empat (4) mesyuarat Lembaga Pengarah semasa tahun kewangan berakhir 30 Jun 2008.

Y. Bhg. Dato’ Sulaiman b. Mohd Yusof, aged 57, is a Malaysian citizen and is an Independent Non-Executive Director of Takaful Malaysia and was appointed to the Board on � January 2008. He is a member of the Audit Committee, Nomination Committee, Remuneration Committee and Risk Management Committee. He is also the Chairman of Asean Retakaful International (L) Ltd.

He graduated with a Bachelor of Law (LLB) degree from the University of Buckingham, United Kingdom in �984 and was called to the Malaysian Bar in �986.

He started his career as a Cadet Reporter Trainee with Bernama News Agency in �969. Later in the same year, he joined Royal Malaysia Police. He assumed various positions at the Royal Malaysia Police such as Deputy Superintendent of Personnel, Secretary responsible for the IGP, Tun Haniff Omar, Officer of Police District Sentul, Alor Setar and Sungai Petani and Assistant Commissioner with Research and Planning at Bukit Aman. In 2002, he became the Deputy Director Management (Discipline), in 2003 as Deputy Director Narkotics Department, in 2004 as the Chief Police Officer Negeri Sembilan, in 2005 as Deputy Director Commercial Crime Investigation Department and in 2006 as Chief Police Officer of Kuala Lumpur until his retirement. In April 2007, he started his own legal firm, SulaimanYusof & Co. He is also a Director of AWC Facility Solutions Berhad and other private limited companies.

He has no family relationship with any other directors/major shareholders of Takaful Malaysia and has no conflict of interest with Takaful Malaysia. He has no conviction for offences within the past ten (�0) years and attended four (4) Board of Director’s meeting during the financial year ended 30 June 2008.

Y. BHG. DATO’ SULAIMAN B. MOHD YUSOF Pengarah Bukan Eksekutif Bebas /

Independent Non-Executive Director



Encik Johan b. Abdullah, berusia 52 tahun, adalah warganegara Malaysia dan merupakan Pengarah Bukan Eksekutif Bukan Bebas Takaful Malaysia dan telah dilantik pada �5 Ogos 2008. Beliau juga merupakan ahli Jawatankuasa Pemilihan.

Beliau memperolehi Diploma Perbankan dari Universiti Teknologi MARA, Shah Alam pada tahun �983, Ijazah Sarjana Muda Pentadbiran Perniagaan (Kewangan) dari Eastern Michigan University, Michigan, USA pada tahun �985 dan Ijazah Sarjana Pentadbiran Perniagaan (Kewangan) dari Morehead State University, Kentucky, USA pada tahun �986.

Beliau memulakan kerjaya profesionalnya pada tahun �987 di Kuala Lumpur Stock Exchange (sekarang ini dikenali sebagai Bursa Malaysia Berhad) sebagai Listing Officer. Pada tahun �989, beliau menyertai bahagian Kewangan Korporat di Bumiputra Merchant Bankers Berhad dan meletak jawatan pada awal tahun �995 sebagai Pengurus Kanan. Beliau kemudiannya menyertai Damansara Realty Berhad sebagai Pengurus Besar, Perancangan Korporat. Seterusnya pada tahun �999, beliau menyertai semula Bursa Malaysia Berhad dan telah memegang pelbagai jawatan kanan termasuk Deputy Chief Regulatory Officer, Group Regulation. Pada bulan Mei 2008, beliau menyertai BIMB Holdings Berhad sebagai Pengarah Urusan Kumpulan/Ketua Pegawai Eksekutif.

Beliau tidak mempunyai perhubungan kekeluargaan dengan mana-mana pengarah/pemegang saham utama Takaful Malaysia dan tidak mempunyai percanggahan kepentingan dengan Takaful Malaysia. Beliau tidak pernah disabitkan dengan apa-apa kesalahan dalam tempoh sepuluh tahun (�0) yang lalu.

Encik Johan b. Abdullah, aged 52, is a Malaysian citizen and is a Non-Independent Non-Executive Director of Takaful Malaysia and was appointed to the Board on �5 August 2008. He is also a member of the Nomination Committee.

He obtained a Diploma in Banking from University Technology MARA, Shah Alam in �983, a Bachelor of Business Administration (Finance) from Eastern Michigan University, Michigan, USA in �985 and a Master in Business Administration (Finance) from Morehead State University, Kentucky, USA in �986.

He started his professional career in �987 with Kuala Lumpur Stock Exchange (currently known as Bursa Malaysia Berhad) as Listing Officer. In �989, he joined Corporate Finance division of Bumiputra Merchant Bankers Berhad and left the bank in early �995 as Senior Manager. Later he joined Damansara Realty Berhad as General Manager, Corporate Planning. Subsequently in the year �999, he re-joined Bursa Malaysia Berhad and took up various senior positions including that of Deputy Chief Regulatory Officer, Group Regulation. In May 2008, he joined BIMB Holdings Berhad as Group Managing Director/Chief Executive Officer.

He has no family relationship with any other directors/major shareholders of Takaful Malaysia and has no conflict of interest with Takaful Malaysia. He has no conviction for offences within the past ten (�0) years.

ENCIK JOHAN B. ABDULLAHPengarah Bukan Eksekutif Bukan Bebas /Non-Independent Non-Executive Director


Growing with a vision


Profil Badan Penasihat SyariahShariah Advisory Body’s Profile

Y. Bhg. Prof. Madya Dr. Ahmad Shahbari @ Sobri b. Salamon berusia 66 tahun, adalah warganegara Malaysia dan merupakan Pengerusi Badan Penasihat Syariah (BPS) Takaful Malaysia dan telah dilantik pada � Julai �985.

Beliau memperolehi Ijazah Sarjana Muda Sastera dalam Syariah, dari Universiti Al–Azhar, Mesir pada tahun �970, Sarjana Sastera dalam Pengajian Antarabangsa dari Fairleigh Dickenson Universiti, Amerika Syarikat pada tahun �973 dan kemudian melanjutkan pengajian di peringkat Ijazah Doktor Falsafah dalam Sejarah di Universiti New York, Amerika Syarikat pada tahun �979.

Beliau memulakan kerjayanya pada tahun �978 sebagai Pensyarah di Jabatan Syariah, Fakulti Pengajian Islam, Universiti Kebangsaan Malaysia (UKM) sebelum dipinjamkan ke Universiti Islam Antarabangsa (UIAM) dari tahun �983 hingga �984. Semasa di UKM, beliau telah dilantik sebagai Penyelaras bagi Pendidikan Umum dari tahun �98� hingga �982. Pada tahun �982, beliau berkhidmat sebagai Pemangku Ketua Jabatan Syariah. Beliau juga merupakan Penyelaras Program Diploma dan Sijil Pengajian Islam UKM sehingga tahun �983. Beliau kembali ke UKM pada tahun �984 sebagai Pensyarah di Jabatan Syariah sehingga tahun �985. Kemudian beliau menjadi Pengarah Eksekutif Pusat Rawatan Islam (MAIS) dari tahun �996 hingga �999. Kini, beliau merupakan Pengerusi Pusrawi Corporation Sdn Bhd.

Beliau telah menghasilkan tulisan dalam bidang pendidikan, ekonomi, perbankan Islam dan perundangan Islam sebanyak �2 buah buku, 7 jilid terjemahan, 300 skrip tv dan 40 kertas kerja. Beliau juga dianugerahkan sebagai ‘Tokoh Ulamak Bestari Negeri Selangor’ pada tahun 2000, ‘Tokoh Ma’al Hijrah Negeri Selangor’ pada tahun 200� dan Ahli Majlis Agama Islam Negeri Selangor selama 2� tahun.

Y. Bhg. Prof. Madya Dr. Ahmad Shahbari @ Sobri b. Salamon, aged 66, is a Malaysian citizen and is the Chairman of the Shariah Advisory Body (SAB) of Takaful Malaysia and was appointed on � July �985.

He graduated with a Bachelor of Arts degree in Shariah from the University of Al-Azhar, Egypt in �970, a Master of Arts in International Studies from Fairleigh Dickenson University, USA in �973 and a Doctor of Philosophy in History from New York University, USA in �979.

He started his career in �978 as a Lecturer at the Shariah Department, Faculty of Islamic Studies, Universiti Kebangsaan Malaysia (UKM) prior to his secondment to the International Islamic University Malaysia (IIUM) from �983 to �984. Whilst with UKM, he was appointed as the Coordinator for the General Teachings from �98� to �982. In �982, he served as the Acting Head of the Shariah Department. He was also the Programme Coordinator for Diploma and Certificate in Islamic Studies of UKM until �983. He returned to UKM in �984 as a Lecturer in the Shariah Department until �985. He then became an Executive Director of Pusat Rawatan Islam (MAIS) from �996 to �999. At present, he is the Chairman of Pusrawi Corporation Sdn Bhd.

He has produced writings in educational, economy, Islamic banking and Islamic law, a total of �2 books, 7 translation bindery, 300 tv scripts and 40 paper works. He was also awarded ‘Tokoh Ulamak Bestari Negeri Selangor’ in 2000, ‘Tokoh Ma’al Hijrah Negeri Selangor’ in 200� and a member of Religious Council of Selangor State for 2� years.

Y. BHG. PROF. MADYA DR. AHMAD SHAHBARI @ SOBRI B. SALAMON


Y. BHG. DATUK ABDUL HAMID B. SAID

Y. Bhg. Datuk Abdul Hamid b. Said, aged 70, is a Malaysian citizen and is a member of the Shariah Advisory Body (SAB) of Takaful Malaysia and was appointed on 8 August 2005.

He obtained the Barrister-At-Law from the Council of Legal Education, England in �980.

After completing his secondary education at Malacca High School in �957, he underwent training at the Malayan Teachers College, Kirkby, Liverpool, England from �959 to �960. In �96�, he started his career as a Lecturer in the Teachers Training College Brunei. In �964, he was called back to Malaysia and served as a teacher at Sekolah Menengah Kebangsaan Melaka. In �973, he joined Kementerian Kebudayaan Belia dan Sukan as a Sports Officer. From �979 to �980, he continued his studies in the Counsel of Legal Education, London, England. Upon completion in �98�, he was appointed as a Federal Council at the Attorney General Chambers. He resigned to become a Law Practitioner in the High Court of Malaya for �4 years. In �998, he was appointed as Judicial Commissioner in Malacca High Court. In 2000, he was transferred to the Kuala Lumpur High Court where he was appointed as a Judge in the High Court of Malaya. He retired in 2003. In the same year, he was appointed as the Chairman of the Advocate & Solicitor Disciplinary Body for two years. He also served as Senior Academic Fellow at the International Islamic University Malaysia until 2006.

Presently, he is the Chairman of Fennek Global Sdn Bhd, Chairman of Isra, Director of IJN College Sdn Bhd and a member of Risk Compliance of Institut Jantung Negara.

Y. Bhg. Datuk Abdul Hamid b. Said, berusia 70 tahun, adalah warganegara Malaysia dan merupakan ahli Badan Penasihat Syariah (BPS) Takaful Malaysia dan telah dilantik pada 8 Ogos 2005.

Beliau berkelulusan Barrister-At-Law dari Council of Legal Education, England pada tahun �980.

Setelah tamat persekolahan di Sekolah Tinggi, Melaka pada tahun �957, beliau telah menjalani latihan perguruan di Malayan Teachers College, Kirkby, Liverpool, England dari tahun �959 sehingga �960. Pada tahun �96�, beliau memulakan kerjayanya sebagai Pensyarah di Maktab Perguruan Brunei. Pada tahun �964, beliau telah dipanggil pulang ke Malaysia dan bertugas sebagai guru di Sekolah Menengah Kebangsaan Melaka. Pada tahun �973, beliau menyertai Kementerian Kebudayaan, Belia dan Sukan sebagai Pegawai Sukan. Dari tahun �979 sehingga �980, beliau telah menyambung pelajarannya di Council of Legal Education, London, England. Selepas tamat pengajiannya pada tahun �98�, beliau telah dilantik sebagai Peguam Persekutuan, Pejabat Peguam Negara. Beliau kemudiannya meletak jawatan untuk menjadi Pengamal Undang-Undang di Mahkamah Tinggi Malaya selama �4 tahun. Pada tahun �998, beliau dilantik menjadi Pesuruhjaya Kehakiman, Mahkamah Tinggi Melaka. Pada tahun 2000, beliau ditukarkan ke Mahkamah Tinggi Kuala Lumpur di mana beliau dilantik sebagai Hakim Mahkamah Tinggi Malaya. Beliau bersara pada tahun 2003. Pada tahun yang sama, beliau dilantik menjadi Pengerusi Lembaga Disiplin Peguamcara dan Peguambela selama dua tahun. Beliau juga merupakan Fellow Kanan Akademik di Universiti Islam Antarabangsa Malaysia sehingga 2006.

Kini beliau memegang jawatan sebagai Pengerusi Fennek Global Sdn Bhd, Pengerusi Isra, ahli Lembaga Pengarah IJN College Sdn Bhd dan ahli Jawatankuasa Pematuhan Risiko Institut Jantung Negara.




Y. BHG. USTAZ MOHD BAKIR B. HAJI MANSOR

Y. Bhg. Ustaz Mohd Bakir b. Haji Mansor, aged 72, is a Malaysian citizen and is a member of the Shariah Advisory Body (SAB) of Takaful Malaysia and was appointed on � July 2002.

He obtained the Shahadah Ulya (Highest Certificate) from Kolej Islam Malaya in �965.

He started his career as a temporary teacher at Madrasah Mashhoor Islamiyah, Pulau Pinang from �967 to �970. He then served as a temporary Information Officer at the National Council for Islamic Religious Affairs Malaysia from �97� to �973; as an Islamic Affairs Officer at the Islamic Affairs Division, the Prime Minister’s Department from �973 to �977; as Religious Education Planning Officer at Social Development Department, Ministry of Agriculture from �978 to �980; as an Assistant Documentation Director at the Islamic Affairs Division, the Prime Minister’s Department from �980 to �98� and as an Assistant Chief Director of Islamic Research Centre from �98� to �984. He then served at Bank Islam Malaysia Berhad as Shariah Coordinator from �984 to 200�.

He is currently a Research Fellow at Islamic Banking and Finance Institute Malaysia (IBFIM). He is also a member of the Shariah Supervisory Council of Bank Islam Malaysia Berhad. Before being appointed as a member of SAB of Takaful Malaysia on � July 2002, he was the Secretary of SAB of Takaful Malaysia since its inception in �985 to December 200�.

Y. Bhg. Ustaz Mohd Bakir b. Haji Mansor, berusia 72 tahun, adalah seorang rakyat Malaysia dan merupakan ahli Badan Penasihat Syariah (BPS) Takaful Malaysia dan telah dilantik pada � Julai 2002.

Beliau memperolehi Shahadah Ulya (Sijil Tertinggi) dari Kolej Islam Malaya pada tahun �965.

Beliau telah memulakan kerjayanya sebagai guru sementara di Madrasah Mashhoor Islamiyah, Pulau Pinang dari tahun �967 hingga �970. Beliau kemudiannya berkhidmat sebagai Pegawai Penerangan sementara di Majlis Kebangsaan Hal Ehwal Agama Islam Malaysia mulai tahun �97� hingga �973; sebagai Pegawai Hal Ehwal Islam di Bahagian Hal Ehwal Islam, Jabatan Perdana Menteri dari tahun �973 hingga �977; sebagai Pegawai Perancangan Pendidikan Ugama di Bahagian Pembangunan Sosial, Kementerian Pertanian dari tahun �978 hingga �980; sebagai Penolong Pengarah Dokumentasi di Bahagian Hal Ehwal Islam, Jabatan Perdana Menteri mulai tahun �980 hingga �98� dan sebagai Penolong Ketua Pengarah Pusat Penyelidikan Islam dari tahun �98� hingga �984. Beliau kemudiannya berkhidmat dengan Bank Islam Malaysia Berhad sebagai Koordinator Syariah dari tahun �984 hingga 200�.

Beliau kini berkhidmat di Institut Perbankan dan Kewangan Islam Malaysia (IBFIM) sebagai Fellow Research. Beliau juga adalah ahli Majlis Penasihat Syariah Bank Islam Malaysia Berhad. Sebelum dilantik sebagai ahli BPS Takaful Malaysia pada � Julai 2002, beliau adalah Setiausaha BPS Takaful Malaysia sejak ia ditubuhkan pada tahun �985 hingga Disember 200�.



Y. Bhg. Dr. Aida bt. Othman berusia 39 tahun, adalah warganegara Malaysia dan merupakan ahli Badan Penasihat Syariah (BPS) Takaful Malaysia dan telah dilantik pada 6 Mac 2008.

Beliau memperolehi Ijazah Sarjana Muda Undang-undang (LL.B) dari Universiti Islam Antarabangsa pada tahun �992 dan Ijazah Sarjana Muda Undang-undang (LL.B Syariah) pada tahun �993. Pada tahun �995, beliau memperolehi Sarjana Undang-undang (LL.M) dari Universiti Cambridge, England dan pada tahun 2005 beliau memperolehi Doktor Falsafah dari Universiti Harvard, Amerika Syarikat. Beliau juga memperolehi PostDoctorate Fellowship dari Universiti Harvard pada tahun 2006.

Beliau memulakan kerjayanya dengan Tetuan Zain & Co. pada tahun �993 sebagai Penolong Pegawai Undang-Undang. Pada tahun �995, beliau menyertai Universiti Islam Antarabangsa sebagai Pensyarah. Kemudian beliau menjadi Penyelidik di United Nations dari tahun �998 hingga �999. Pada tahun 2002, beliau berkhidmat di Universiti Harvard sebagai Teaching Fellow sehingga tahun 2003 dan PostDoctorate Fellow dan Teaching Assistant dari tahun 2005 hingga 2006. Beliau berkhidmat sebagai peguam dalam kumpulan praktis korporat dan komersial serta perbankan dan kewangan Islam di firma guaman Zaid Ibrahim & Co. sejak 2006 sehingga sekarang.

Y. Bhg. Dr. Aida bt. Othman aged 39, is a Malaysian citizen and is a member of the Shariah Advisory Body (SAB) of Takaful Malaysia and was appointed on 6 March 2008.

She graduated from the International Islamic University Malaysia with a Bachelor of Law (LL.B) degree in �992 and a Bachelor of Law (LL.B Shariah) degree in �993. In �995, she obtained a Master in Law (LL.M) from the Cambridge University, England and in 2005, she obtained a Doctor of Philosophy from the Harvard University, USA. She also obtained Postdoctorate Fellowship from the Harvard University in 2006.

She started her career with Messrs. Zain & Co. in �993 as Assistant Legal Officer. In �995, she joined International Islamic University Malaysia as a Lecturer. After that, she became a Researcher at United Nations from �998 until �999. In 2002, she joined the Harvard University as Teaching Fellow until 2003 and Postdoctorate Fellow and Teaching Assistant from 2005 until 2006. Currently she is a lawyer in the corporate and commercial practice group as well as in the Islamic banking and finance at a legal firm, Zaid Ibrahim & Co. since 2006.

Y. BHG. DR. AIDA BT. OTHMAN


Jawatankuasa PengurusanManagement Committee

�

1. Y. Bhg. Dato’ Mohamed Hassan b. Md. KamilPengarah Urusan Kumpulan/Group Managing Director

2. Encik Muhammad Anjar b. KuncoroKetua Pegawai Informasi/Chief Information Officer

2 3

4 5

3. Puan Azian bt. KassimKetua Pegawai Pelaburan/Chief Investment Officer

4. Encik Nazrul Hisham b. Abdul HamidKetua Pegawai Audit Dalaman/Chief Internal Auditor

5. Encik Abdul Khalid b. SallehPengurus Besar, Jualan & Pemasaran/BancatakafulGeneral Manager, Sales & Marketing/Bancatakaful


Jawatankuasa PengurusanManagement Committee

6. Puan Balilah bt. HassanPengurus Besar, Sumber Manusia/General Manager, Human Resource

7. Puan Fauziah bt. Md. HasanPenolong Pengurus Besar, Kewangan/Assistant General Manager, Finance

6 7 8

9

8. Encik Izzuddin b. TajudinKetua Pegawai Eksekutif/Chief Executive OfficerAsean Retakaful International (L) Ltd

9. Encik Saiful Yazan b. AhmadDirektur Utama/President DirectorP.T. Syarikat Takaful Indonesia


Laporan Jawatankuasa AuditAudit Committee Report

The Board of Directors of Syarikat Takaful Malaysia Berhad (“Takaful Malaysia”) is pleased to present the Audit Committee Report for the financial year under review.

The Audit Committee (“Committee”) was established on 6 March �990 to appraise Takaful Malaysia’s financial structure, internal control system, strategic planning, implementation of audit function and to propose applicable decisions in ensuring a high standard of corporate responsibility, integrity and accountability to shareholders in line with the corporate governance and disclosure standards expected from that of a public listed company in Malaysia.

MEMBERSHIP AND MEETINGS

The Committee currently comprises three (3) members, two (2) of whom are Independent Non-Executive Directors. The details of members and meetings held during the financial year ended 30 June 2008 are as follows:

Name of Audit No. of MeetingsCommittee Members Held Attended

Y. A. M. Tengku Dato’ Sri Azman Ibni Almarhum Sultan Abu Bakar (Chairman) 8 8(Independent Non-Executive Director)

Puan Rozaida bt. Omar 8 7(Non-Independent Non-Executive Director) Y. Bhg. Dato’ Sulaiman b. Mohd Yusof 3* 3(Independent Non-Executive Director) Y. DH. Dato’ Sri Wan Abdul 5* 5Wahid b. Wan Hassan(Retired on 25 November 2007)(Independent Non-Executive Director) Y. Bhg. Dato’ Alwi b. Muhamad 5* 4(Retired on 30 November 2007)(Independent Non-Executive Director) Y. Bhg. Dato’ Noorazman b. A. Aziz 5* 4(Resigned on � January 2008)(Non-Independent Non-Executive Director) Note: * Reflects the number of meetings held during the time the Director held office as an Audit Committee member.

Lembaga Pengarah Syarikat Takaful Malaysia Berhad (“Takaful Malaysia”) dengan berbesar hati membentangkan Laporan Jawatankuasa Audit bagi tahun kewangan yang dikaji.

Jawatankuasa Audit (“Jawatankuasa”) telah ditubuhkan pada 6 Mac �990 untuk menilai struktur kewangan, sistem kawalan dalaman, perancangan strategik dan pelaksanaan fungsi audit Takaful Malaysia dan untuk mencadangkan keputusan yang boleh dilaksanakan bagi memastikan piawaian tanggungjawab korporat, kewibawaan dan kebertanggungjawaban kepada para pemegang saham yang tinggi, selaras dengan piawaian urus tadbir dan pendedahan yang dikehendaki daripada sebuah syarikat senarai awam di Malaysia.

KEAHLIAN DAN MESYUARAT

Jawatankuasa terdiri daripada tiga (3) orang ahli, dua (2) daripada mereka adalah Pengarah Bukan Eksekutif Bebas. Maklumat terperinci mengenai ahli dan mesyuarat yang diadakan sepanjang tahun kewangan berakhir 30 Jun 2008 adalah seperti berikut:

Nama Ahli Bil. MesyuaratJawatankuasa Audit Diadakan Dihadiri

Y. A. M. Tengku Dato’ Sri Azman Ibni 8 8Almarhum Sultan Abu Bakar (Pengerusi)(Pengarah Bukan Eksekutif Bebas)

Puan Rozaida bt. Omar 8 7(Pengarah Bukan Eksekutif Bukan Bebas)

Y. Bhg. Dato’ Sulaiman b. Mohd Yusof 3* 3(Pengarah Bukan Eksekutif Bebas) Y. DH. Dato’ Sri Wan Abdul 5* 5Wahid b. Wan Hassan(Bersara pada 25 November 2007)(Pengarah Bukan Eksekutif Bebas) Y. Bhg. Dato’ Alwi b. Muhamad 5* 4(Bersara pada 30 November 2007)(Pengarah Bukan Eksekutif Bebas) Y. Bhg. Dato’ Noorazman b. A. Aziz 5* 4(Meletak jawatan pada � Januari 2008)(Pengarah Bukan Eksekutif Bukan Bebas) Nota: *Menunjukkan bilangan mesyuarat yang diadakan sepanjang tempoh Pengarah memegang jawatan sebagai ahli Jawatankuasa Audit.



Puan Rozaida bt. Omar is a member of the Malaysian Institute of Accountants (“MIA”). Thus, Takaful Malaysia complies with Paragraph �5.�0 of the Bursa Malaysia Securities Berhad (“Bursa Malaysia”) Listing Requirements which stipulate that at least one (�) member of the Committee must be a member of the MIA.

The Committee met eight (8) times during the financial year. The meetings were appropriately structured and conducted through the use of agenda which were distributed to members with sufficient notification.

The Group Managing Director, the Chief Financial Officer/Head of Finance Division and the Chief Internal Auditor also attended the meetings upon invitation.

TERM OF REFERENCE

CompositionThe members of the Committee shall be appointed by the Board from amongst their numbers and shall comprise at least three (3) members, the majority of whom shall be Independent Non-Executive Directors. An Independent Non-Executive Director shall be the one who fulfils the requirements as provided in the Bursa Malaysia Listing Requirements and the guidelines of Bank Negara Malaysia (“BNM”).

At least one (�) member of the Committee:�) must be a member of the MIA; or 2) if he is not a member of the MIA, he must have at least

three (3) years’ working experience and:- (a) he must have passed the examinations specified in Part

I of the �st Schedule of the Accountants Act �967; or (b) he must be a member of one of the associations of

accountants specified in Part II of the �st Schedule of the Accountants Act �967; or

(c) fulfils such other requirements as prescribed by Bursa Malaysia.

The members of the Committee shall elect a Chairman from amongst their numbers who shall be an Independent Non-Executive Director. If a member of the Committee resigns, dies or for any reason ceases to be a member with the result that the number of members are reduced below three (3), the Board shall within three (3) months of that event, appoint such number of new members as may be required to make up the minimum number of three (3) members. No alternate Director can be appointed as a member of the Committee.

Puan Rozaida bt. Omar adalah ahli Institut Akauntan Malaysia (“MIA”). Oleh itu, Takaful Malaysia telah mematuhi Perenggan �5.�0 Keperluan Penyenaraian Bursa Malaysia Securities Berhad (“Bursa Malaysia”) yang menggariskan bahawa sekurang-kurangnya seorang (�) ahli Jawatankuasa mestilah merupakan ahli MIA.

Jawatankuasa telah bermesyuarat sebanyak lapan (8) kali pada tahun kewangan ini. Mesyuarat tersebut telah disusun dan dijalankan dengan sewajarnya melalui penggunaan agenda yang diedarkan kepada ahli terlebih dahulu dengan notis yang mencukupi.

Pengarah Urusan Kumpulan, Ketua Pegawai Kewangan/Ketua Bahagian Kewangan dan Ketua Audit Dalaman turut menghadiri mesyuarat tersebut atas jemputan.

TERMA RUJUKAN

KomposisiAhli Jawatankuasa hendaklah dilantik oleh Lembaga Pengarah daripada kalangan mereka dan hendaklah terdiri daripada sekurang-kurangnya tiga (3) orang ahli, di mana majoritinya adalah Pengarah Bukan Eksekutif Bebas. Seorang Pengarah Bukan Eksekutif Bebas hendaklah merupakan ahli yang memenuhi keperluan seperti yang diperuntukkan dalam Keperluan Penyenaraian Bursa Malaysia dan garis panduan Bank Negara Malaysia (“BNM”).

Sekurang-kurangnya seorang (�) ahli Jawatankuasa:�) mestilah merupakan ahli MIA; atau2) jika beliau bukan ahli MIA, beliau mestilah mempunyai

pengalaman bekerja sekurang-kurangnya selama tiga (3) tahun dan:- (a) beliau mestilah lulus peperiksaan yang dinyatakan dalam

Bahagian I Jadual Pertama Akta Akauntan �967; atau(b) beliau mestilah merupakan ahli salah sebuah persatuan

akauntan yang dinyatakan dalam Bahagian II Jadual Pertama Akta Akauntan �967; atau

(c) memenuhi keperluan-keperluan lain yang digariskan oleh Bursa Malaysia.

Ahli Jawatankuasa hendaklah melantik Pengerusi daripada kalangan mereka yang merupakan seorang Pengarah Bukan Eksekutif Bebas. Sekiranya seorang ahli Jawatankuasa meletak jawatan, meninggal dunia atau atas sebarang sebab tidak lagi menjadi ahli sehingga menyebabkan bilangan ahli kurang daripada tiga (3) orang, maka Lembaga Pengarah hendaklah melantik ahli baru dalam bilangan yang diperlukan untuk mencukupkan bilangan minimum ahli kepada tiga (3) orang dalam tempoh tiga (3) bulan dari peristiwa tersebut. Pengarah gantian tidak boleh dilantik sebagai ahli Jawatankuasa.


The Board shall review the term of office and performance of the Committee and each of its members at least once every three (3) years.

Quorum and Committee’s ProceduresMeetings shall be conducted at least four (4) times annually or more frequently as circumstances dictate.

In order to form a quorum for the meeting, the majority of the members present must be Independent Non-Executive Directors. In the absence of the Chairman, the members present shall elect a Chairman for meeting from amongst the members present.

The Company Secretary shall be the Secretary of the Committee. The Secretary, in concurrence with the Chairman, shall draw up an agenda, which shall be circulated together with relevant support papers within reasonable time prior to each meeting to the members of the Committee. The Secretary shall circulate the minutes of meetings to all member of the Committee.

The Committee may, as and when deemed necessary, invite other Board members and/or Senior Management members to attend the Committee meetings.

The Committee shall, at least twice (2) a year, meet with the external auditors to discuss any matter with the Committee without the presence of any executive members of the Board and Senior Management. The Chairman of the Committee shall convene a meeting of the Committee to consider any matter which the external auditors believe should be brought to the attention of the Directors or shareholders.

The Committee shall regulate the manner of proceedings of its meetings, having regard to normal conventions on such matter.

AuthorityThe Committee is authorised by the Board to investigate any matter within its terms of reference. It is authorised to seek any information it requires from any employee and all employees are required to cooperate with any request made by the Committee.


Lembaga Pengarah hendaklah mengkaji semula tempoh perkhidmatan dan prestasi Jawatankuasa Audit dan setiap ahlinya sekurang-kurangnya setiap tiga (3) tahun sekali.

Korum dan Prosedur JawatankuasaMesyuarat hendaklah diadakan sekurang-kurangnya empat (4) kali setahun atau dengan lebih kerap, mengikut keperluan.

Bagi membentuk korum mesyuarat, majoriti ahli yang hadir mestilah merupakan Pengarah Bukan Eksekutif Bebas. Sekiranya Pengerusi tidak hadir, ahli-ahli yang hadir hendaklah melantik seorang Pengerusi bagi mesyuarat tersebut daripada kalangan ahli-ahli yang hadir.

Setiausaha Syarikat hendaklah bertindak sebagai Setiausaha Jawatankuasa. Atas persetujuan Pengerusi, Setiausaha hendaklah merangka agenda yang akan diedarkan kepada ahli Jawatankuasa bersama-sama dengan kertas sokongan yang berkaitan dalam tempoh yang berpatutan sebelum setiap mesyuarat. Setiausaha hendaklah mengedarkan minit mesyuarat kepada semua ahli Jawatankuasa.

Jawatankuasa boleh, apabila dianggap perlu, menjemput ahli Lembaga Pengarah lain dan/atau ahli Pengurusan Kanan untuk menghadiri mesyuarat Jawatankuasa.

Jawatankuasa ini hendaklah bermesyuarat dengan juruaudit luar sekurang-kurangnya dua (2) kali setahun, untuk membincangkan sebarang perkara dengan Jawatankuasa tanpa kehadiran mana-mana ahli eksekutif Lembaga Pengarah dan Pengurusan Kanan. Pengerusi Jawatankuasa akan mengadakan mesyuarat untuk mempertimbangkan sebarang perkara yang pihak juruaudit luar percaya perlu di bawa kepada perhatian para Pengarah atau pemegang saham.

Jawatankuasa hendaklah mengatur prosiding mesyuaratnya, dengan mengambil kira konvensyen biasa berhubung perkara tersebut.

KuasaJawatankuasa diberi kuasa oleh Lembaga Pengarah untuk menyiasat sebarang perkara dalam terma rujukannya. Jawatankuasa juga diberi kuasa untuk mendapatkan sebarang maklumat yang diperlukan daripada mana-mana kakitangan dan semua kakitangan dikehendaki memberi kerjasama terhadap sebarang permintaan yang dibuat oleh Jawatankuasa.


The Committee shall have full and unlimited access to any information pertaining to the Group. The Committee shall have the resources that are required to perform its duties. The Committee can obtain, at the expense of Takaful Malaysia, external legal or other independent professional advice it considers necessary.

The Committee shall have direct communication channels with the internal and external auditors, the risk management personnel and with Senior Management of the Group and shall be able to convene meetings with the external auditors, the internal auditors or both, excluding the attendance of other directors and employees of the Company, whenever deemed necessary. Where the Committee is of the view that a matter reported by it to the Board has not been satisfactorily resolved resulting in a breach of Bursa Malaysia Listing Requirements, the Committee shall promptly report such matter to the Bursa Malaysia.

Duties and ResponsibilitiesThe primary function of the Committee is to assist the Board to assess the Group’s processes relating to its risks and control environment, oversee financial reporting and evaluate the internal and external audit processes.

Therefore, the duties and responsibilities of the Committee are as follows:

• to review with the external auditor and report to the Board, the audit scope and plan, including any changes to the planned scope of the audit plan and evaluation of the system of internal control.

• to review the adequacy of the internal audit scope and plan, functions, competency and resources of the internal audit functions and that it has the necessary authority to carry out its work.

• to review the internal audit programme, processes, the results of the internal audit programme, processes or investigation undertaken and whether or not appropriate action is taken on the recommendations of the internal auditors.


Jawatankuasa hendaklah mempunyai akses penuh dan tanpa had kepada sebarang maklumat berkaitan Kumpulan dan hendaklah mempunyai sumber yang diperlukan untuk melaksanakan tugasnya. Jawatankuasa boleh mendapatkan nasihat perundangan atau profesional bebas luar lain yang dianggap perlu, dengan perbelanjaan ditanggung oleh Takaful Malaysia.

Jawatankuasa hendaklah mempunyai saluran komunikasi secara langsung dengan juruaudit dalaman dan juruaudit luar, kakitangan pengurusan risiko dan dengan Pengurusan Kanan Kumpulan dan boleh mengadakan mesyuarat dengan juruaudit luar, juruaudit dalaman atau kedua-duanya sekali, tanpa dihadiri oleh para pengarah dan kakitangan Syarikat, bila-bila dianggap perlu.

Sekiranya Jawatankuasa berpendapat bahawa sebarang perkara yang dilaporkan olehnya kepada Lembaga Pengarah masih belum diselesaikan dengan memuaskan sehingga menyebabkan pelanggaran Keperluan Penyenaraian Bursa Malaysia, Jawatankuasa hendaklah melaporkan dengan segera perkara tersebut kepada Bursa Malaysia.

Tugas dan TanggungjawabFungsi utama Jawatankuasa adalah untuk membantu Lembaga Pengarah dalam menilai proses Kumpulan berkaitan dengan risiko dan persekitaran kawalannya, mengawasi laporan kewangan dan menilai proses audit dalaman dan luar.

Oleh yang demikian, tugas dan tanggungjawab Jawatankuasa adalah seperti berikut:

• mengkaji dengan juruaudit luar dan melaporkan kepada Lembaga Pengarah, skop dan pelan audit, termasuk sebarang perubahan kepada skop yang dirancang bagi pelan audit dan penilaian bagi sistem kawalan dalaman.

• mengkaji kecukupan skop dan pelan audit dalaman, fungsi-fungsi, daya saing dan sumber fungsi audit dalaman dan sama ada ianya mempunyai kuasa diperlukan untuk menjalankan tugas.

• mengkaji program dan proses audit dalaman, keputusan program, proses atau penyiasatan audit dalaman yang dilaksanakan dan sama ada tindakan yang sewajarnya telah diambil berdasarkan syor-syor yang dikemukakan oleh juruaudit dalaman.


• to review the external and internal audit reports to ensure that appropriate and prompt remedial action is taken by Management on major deficiencies in controls or procedures that are identified and reported to the Board.

• to review the major audit findings and Management’s response during the year with Management, external auditors and internal auditors, including the status of previous audit recommendations.

• to review the assistance given by the Group’s employees to the auditors, and any difficulties encountered in the course of the audit work, including any restrictions on the scope of activities or access to required information.

• to review the independence and objectivity of the external auditors and their services, including non-audit services and the professional fees, so as to ensure a proper balance between objectivity and value for money.

• to review the appointment, performance, audit fees and any question regarding the resignation or dismissal of external auditors before making recommendations to the Board.

• to review whether there is a reason (supported by grounds) to believe that the Company’s external auditors is not suitable for the re-appointment.

• to review the Internal Audit Charter, budget and staffing of the Internal Audit and Compliance Division.

• to review the adequacy and integrity of internal controls, the internal audit findings, and recommend action to be taken by Management. The reports of the internal auditors and the Committee should not be subject to the clearance of the Chief Executive Officer/Group Managing Director and Executive Directors.

• to direct and where appropriate supervise any special projects or investigation considered necessary, and review investigation report on any major defalcation, frauds and thefts.


• mengkaji laporan audit dalaman dan luar bagi memastikan supaya tindakan segera dan sewajarnya diambil oleh pihak Pengurusan terhadap kekurangan utama dalam kawalan atau prosedur yang telah dikenal pasti dan dilaporkan kepada Lembaga Pengarah.

• mengkaji penemuan audit utama dan tindakan Pengurusan sepanjang tahun dengan Pengurusan, juruaudit luar dan juruaudit dalaman termasuk status syor-syor audit yang terdahulu.

• mengkaji kerjasama yang diberi oleh kakitangan Kumpulan kepada juruaudit dan sebarang masalah yang dihadapi dalam menjalankan kerja audit, termasuk sebarang sekatan dalam skop aktiviti atau akses untuk mendapatkan maklumat yang diperlukan.

• mengkaji kebebasan dan objektif juruaudit luar dan khidmat mereka, termasuk khidmat bukan audit dan yuran profesional, bagi memastikan keseimbangan objektif dan nilai wang.

• mengkaji pelantikan, prestasi, yuran audit dan sebarang persoalan berhubung peletakan jawatan atau pemecatan juruaudit luar sebelum memberi cadangan kepada Lembaga Pengarah.

• mengkaji sama ada terdapat sebarang alasan (dengan disokong oleh sebab-sebab tertentu) untuk mempercayai bahawa juruaudit luar Syarikat tidak sesuai untuk dilantik semula.

• mengkaji Piagam Audit Dalaman, belanjawan dan komposisi kakitangan Bahagian Audit Dalaman dan Pematuhan.

• mengkaji kecukupan dan kewibawaan sistem kawalan dalaman, penemuan audit dalaman dan mencadangkan tindakan yang perlu diambil oleh Pengurusan. Laporan juruaudit dalaman dan Jawatankuasa tidak harus tertakluk kepada kebenaran dari Ketua Pegawai Eksekutif/Pengarah Urusan Kumpulan dan Pengarah Eksekutif.

• mengarah dan sekiranya wajar, menyelia sebarang projek atau siasatan khas jika perlu, dan mengkaji laporan siasatan berkenaan sebarang penyalahgunaan, penipuan dan kecurian yang besar.


• to review the quarterly results and the year end financial statements, prior to the approval by the Board focusing particularly on:

- changes in or implementation of major accounting policy;

- significant and unusual events; and - compliance with accounting standards, Bursa Malaysia

and other legal requirements.

• to ensure that the accounts are prepared in a timely and accurate manner with frequent reviews of the adequacy of provisions against contingencies, and bad and doubtful debts.

• to ensure prompt publication of annual financial statements/report.

• to review any related party transaction and conflict of interest situation that may arise within the Company or the Group, including any transaction, procedure or course of conduct that raises question on management integrity.

• to perform any other functions as may be agreed by the Board.

SUMMARY OF ACTIVITIES OF THE COMMITTEE

The following activities were undertaken by the Committee during the financial year under review:

• Reviewed and monitored with the external auditors, the results and progress of the audit for the financial year ended 30 June 2007, the audit report and the Management letter, including Management’s response thereto.

• Discussed the re-appointment of external auditors for the financial year ended 30 June 2008.

• Reviewed the external auditors’ scope of work and audit plans for the financial year ended 30 June 2008. Prior to the audit, representatives from the external auditors presented their audit strategy and plan.

• Discussed the audit fees payable to the external auditors.


• mengkaji keputusan suku tahunan dan penyata kewangan akhir tahun, sebelum kelulusan Lembaga Pengarah dengan menumpu terutamanya kepada:- perubahan atau pelaksanaan dasar perakaunan

utama;- peristiwa penting dan luar biasa; dan- pematuhan kepada piawaian perakaunan, Bursa

Malaysia dan keperluan undang-undang lain.

• memastikan akaun disediakan tepat pada masanya dan dengan cara yang tepat dengan kajian secara kerap terhadap kecukupan peruntukan bagi luar jangka, dan hutang lapuk dan hutang ragu.

• memastikan penerbitan penyata/laporan kewangan tahunan yang menepati masa.

• mengkaji sebarang urusniaga pihak berkaitan dan situasi konflik kepentingan yang mungkin timbul dalam Syarikat atau Kumpulan, termasuk sebarang urusniaga, prosedur atau tatacara yang menimbulkan persoalan tehadap kewibawaan pihak Pengurusan.

• melaksanakan sebarang fungsi lain yang mungkin dipersetujui oleh Lembaga Pengarah.

RINGKASAN AKTIVITI JAWATANKUASA

Aktiviti-aktiviti berikut telah dijalankan oleh Jawatankuasa sepanjang tahun kewangan yang dikaji:

• Mengkaji dan memantau dengan juruaudit luar, keputusan dan perkembangan audit bagi tahun kewangan berakhir 30 Jun 2007, laporan audit dan surat Pengurusan, termasuk tindakan Pengurusan berkaitannya.

• Berbincang mengenai pelantikan semula juruaudit luar bagi tahun kewangan berakhir 30 Jun 2008.

• Mengkaji skop kerja dan rancangan audit juruaudit luar bagi tahun kewangan berakhir 30 Jun 2008. Sebelum audit dijalankan, wakil-wakil juruaudit luar telah membentangkan strategi dan rancangan audit.

• Berbincang mengenai yuran audit yang perlu dibayar kepada juruaudit luar.


• Discussed with external auditors any matters that warrant the Board and Shareholders’ attention without the presence of the member of the Executive Directors and Management.

• Reviewed the Internal Audit and Compliance Division’s audit plan, programmes and resources requirements for the financial year under review.

• Reviewed the internal audit reports and special audit reports for Takaful Malaysia and its subsidiaries, which highlighted the audit issues, recommendations and Management’s response thereto. Discussed with Management on actions taken or to be taken to improve the system of internal control based on improvement opportunities identified in the internal audit reports.

• Reviewed follow-up reports by the internal auditors on the status of actions taken by the Management on recommendations suggested in the audit reports.

• Reviewed follow-up reports by the internal auditors on BNM’s examination findings and status of actions taken by the Management on issues raised by BNM.

• Reviewed follow-up reports by the internal auditors on external auditors’ findings as set out in the Management letter and status of actions taken by the Management on issues raised by the external auditors.

• Reviewed Management report on disciplinary cases of its employees.

• Monitored the progress of the Internal Audit and Compliance Division in completing its audit within the stipulated time frame.

• Examined the adequacy of the skills, knowledge and core competencies of the internal auditors.

• Reviewed the audited financial statements of the Company prior to submission to the Board for their consideration and approval. The review was to ensure that the audited financial statements were drawn up in accordance with the provisions of the Companies Act �965 and the applicable approved accounting standards.


• Berbincang dengan juruaudit luar berhubung sebarang perkara yang memerlukan perhatian Lembaga Pengarah dan Pemegang Saham tanpa kehadiran ahli Lembaga Pengarah Eksekutif dan pihak Pengurusan.

• Mengkaji pelan audit, program dan keperluan sumber Bahagian Audit Dalaman dan Pematuhan bagi tahun kewangan yang dikaji.

• Mengkaji laporan audit dalaman dan audit khas untuk Takaful Malaysia dan subsidiarinya yang menekankan isu-isu audit, cadangan dan maklum balas pihak Pengurusan berkaitannya. Berbincang dengan Pengurusan mengenai tindakan yang telah dan akan diambil untuk mempertingkatkan sistem kawalan dalaman berdasarkan peluang-peluang penambahbaikan yang telah dikenal pasti dalam laporan audit dalaman.

• Mengkaji laporan susulan oleh juruaudit dalaman mengenai status tindakan yang diambil oleh pihak Pengurusan terhadap cadangan yang diberikan dalam laporan audit.

• Mengkaji laporan susulan oleh juruaudit dalaman berhubung isu-isu yang dibangkitkan berdasarkan penemuan daripada pemeriksaan oleh BNM dan status tindakan yang diambil oleh pihak Pengurusan mengenai isu yang dibangkitkan oleh BNM.

• Mengkaji laporan susulan oleh juruaudit dalaman berhubung isu yang dibangkitkan dalam surat Pengurusan oleh juruaudit luar dan status tindakan yang diambil oleh pihak Pengurusan mengenai isu tersebut.

• Mengkaji laporan pihak Pengurusan mengenai kes-kes disiplin kakitangan.

• Memantau perkembangan Bahagian Audit Dalaman dan Pematuhan dalam menyelesaikan auditnya dalam tempoh yang telah ditetapkan.

• Memeriksa kecukupan kemahiran, pengetahuan dan daya saing teras juruaudit dalaman.

• Mengkaji penyata kewangan Syarikat yang telah diaudit sebelum diserahkan kepada Lembaga Pengarah bagi pertimbangan dan kelulusan mereka. Kajian ini adalah untuk memastikan supaya penyata kewangan yang telah diaudit disediakan mengikut peruntukan Akta Syarikat �965 dan piawaian perakaunan berkaitan yang diluluskan.


• Reviewed the Company’s compliance in particular the quarterly and the year end financial statements with Bursa Malaysia Listing Requirements, Capital Markets and Services Act 2007, BNM Guidelines, applicable approved accounting standards and other relevant legal and regulatory requirements.

• Reviewed the Compliance reports on the level of compliance with Regulators’ requirements, laws and Acts.

• Discussed the implementation of new requirements set forth by the Regulators.

• Reviewed the reports on Anti Money Laundering.

• Reviewed the quarterly unaudited financial results announcements before recommending them for the Board’s approval.

• Reviewed related party transactions within the Group.

• Reviewed the disclosure statements in the Annual Report such as Corporate Governance Statement, Statement on Internal Control and Audit Committee Report in compliance with Bursa Malaysia Listing requirements.

• In respect of the Company’s Employees’ Share Option Scheme, there was no allocation of options in the year for the Committee to review.

INTERNAL AUDIT FUNCTION AND ACTIVITIES

The Internal Audit and Compliance Division is independent of the activities or operations of other operating units. The principal role of the division is to undertake independent regular and systematic reviews of the systems of internal controls so as to provide reasonable assurance that such systems continue to operate satisfactorily and effectively. The internal audit practices a risk-based approach in its audit plan and examination.

In order to provide a continuous monitoring on Takaful Malaysia’s IT Environment, an IT Audit Unit has been established to ensure that the IT Environment is adequately managed and any risks identified are addressed accordingly.


• Mengkaji pematuhan Syarikat terhadap Keperluan Penyenaraian Bursa Malaysia, Akta Pasaran dan Perkhidmatan Modal 2007, Garis Panduan BNM, piawaian perakaunan berkaitan yang diluluskan dan keperluan-keperluan perundangan dan penguatkuasaan lain, terutamanya bagi penyata kewangan suku tahunan dan akhir tahun.

• Mengkaji laporan Pematuhan mengenai tahap pematuhan dengan keperluan Pihak Penguatkuasa, undang-undang dan Akta.

• Membincangkan pelaksanaan keperluan-keperluan baru yang digariskan oleh Pihak Penguatkuasaan.

• Mengkaji laporan berhubung Pencegahan Penggubahan Wang Haram.

• Mengkaji pengumuman keputusan kewangan suku tahunan yang belum diaudit sebelum disyorkan kepada Lembaga Pengarah untuk kelulusan.

• Mengkaji urusniaga pihak yang berkaitan dalam Kumpulan.

• Mengkaji penyata pendedahan dalam Laporan Tahunan seperti Penyata Urus Tadbir Korporat, Penyata Kawalan Dalaman dan Laporan Jawatankuasa Audit dalam mematuhi Keperluan Penyenaraian Bursa Malaysia.

• Berhubung Skim Opsyen Saham Kakitangan Syarikat, tiada sebarang peruntukan opsyen untuk dikaji oleh Jawatankuasa pada tahun ini.

FUNGSI DAN AKTIVITI AUDIT DALAMAN

Bahagian Audit Dalaman dan Pematuhan adalah bebas daripada aktiviti atau operasi unit-unit operasi lain. Peranan utama bahagian ini adalah untuk menjalankan kajian sistem kawalan dalaman secara bebas, kerap dan sistematik supaya dapat memberi jaminan yang sewajarnya bahawa sistem tersebut mampu terus beroperasi secara berkesan dan memuaskan. Audit dalaman mengamalkan pendekatan berasaskan risiko dalam rancangan audit dan pemeriksaannya.

Bagi menyediakan pemantauan berterusan ke atas persekitaran IT Takaful Malaysia, satu Unit Audit IT telah ditubuhkan untuk memastikan supaya persekitaran IT diuruskan sebaiknya dan sebarang risiko yang telah dikenal pasti ditangani dengan sewajarnya.



It is the responsibility of the Internal Audit and Compliance Division to provide the Committee with independent and objective reports on the state of internal control of the various operating units within the Group and the extent of compliance of the units with the Group’s established policies and procedures as well as relevant statutory requirements.

A summary of its activities for the year is as follows:

• Prepared audit rating methodology in assessing and rating the risk levels of the various auditable areas for the Committee’s consideration.

• Prepared annual audit plan of departments, branches, subsidiaries as well as IT for the Committee’s consideration.

• Conducted audits on departments, branches, subsidiaries, etc. as set out in the Audit Plan.

• Conducted follow-up audit on status of actions taken by the Management on recommendations suggested in audit findings of internal auditors, external auditors, BNM examiners, etc.

• Conducted ad-hoc audits and investigations on special cases.

• Conducted reviews on IT system implementation before embarking into production.

• Participated in the Company’s system migration project/activities.

• Coordinated the revision exercise on Limit of authority and Standard Operating Procedures via its compliance function.

Reports from the audit assignments are forwarded to the Management for attention and necessary corrective actions as recommended. The Management is responsible for ensuring that corrective actions on reported weaknesses are taken within the required time frame.

Adalah menjadi tanggungjawab Bahagian Audit Dalaman dan Pematuhan untuk menyediakan laporan bebas dan objektif kepada Jawatankuasa tentang status kawalan dalaman di pelbagai unit operasi dalam Kumpulan serta tahap pematuhan unit-unit tersebut terhadap dasar dan prosedur Kumpulan serta terhadap keperluan berkanun yang berkaitan.

Ringkasan aktiviti sepanjang tahun adalah seperti berikut:

• Menyediakan kaedah penarafan audit dalam menilai dan memberi penarafan kepada tahap risiko di pelbagai bahagian yang boleh diaudit untuk pertimbangan Jawatankuasa.

• Menyediakan pelan audit tahunan bagi jabatan, cawangan, subsidiari serta IT untuk pertimbangan Jawatankuasa.

• Menjalankan audit ke atas jabatan, cawangan, subsidiari dan sebagainya seperti yang dinyatakan dalam Pelan Audit.

• Menjalankan audit susulan berhubung status tindakan yang diambil oleh Pengurusan berdasarkan cadangan yang dibuat dalam penemuan audit juruaudit dalaman, juruaudit luar, pegawai pemeriksa BNM dan lain-lain.

• Menjalankan audit ad-hoc dan penyiasatan ke atas kes-kes khas.

• Menjalankan kajian ke atas pelaksanaan sistem IT sebelum ianya dilaksanakan.

• Menyertai projek/aktiviti berkaitan dengan migrasi sistem Syarikat.

• Menyelaras pelaksanaan semakan semula ke atas Had kuasa dan Prosedur Operasi Piawai melalui fungsi pematuhannya.

Laporan daripada tugasan audit dikemukakan kepada Pengurusan untuk perhatian dan tindakan pembetulan yang perlu seperti yang dicadangkan. Pengurusan bertanggungjawab memastikan tindakan pembetulan terhadap kelemahan yang dilapor dilaksanakan dalam jangka masa yang ditetapkan.


Penyata Urus Tadbir KorporatCorporate Governance Statement

The Board of Directors (“the Board”) of Syarikat Takaful Malaysia Berhad (“Takaful Malaysia”) continues to subscribe and fully support the Malaysian Code of Corporate Governance (“the Code”) and is committed to ensure that the Principles of Corporate Governance and Best Practices are observed and practised throughout the Group so that the affairs of the Group are conducted with professionalism, accountability and integrity with the objective of safeguarding and enhancing shareholders’ value and financial performance of the Group.

The Board is pleased to report on the application of the Principles of the Code and the extent of compliance with the Best Practices of the Code as required under the Listing Requirements of Bursa Malaysia Securities Berhad (“Bursa Malaysia Listing Requirements”) during the financial year under review.

DIRECTORS

The Board of DirectorsThe Board is responsible for the overall corporate governance of the Group and is also entrusted with the responsibility of exercising reasonable care of the Company as well as Group’s resources in the best interests of its shareholders and in ensuring the proper conduct of business.

Board MeetingsBoard meetings are scheduled in advance at the beginning of a calendar year with additional meetings convened when necessary. Nine (9) Board meetings were held during the financial year under review with details of meetings’ attendance of each Director as follows:

Lembaga Pengarah Syarikat Takaful Malaysia Berhad (“Takaful Malaysia”) terus mematuhi dan menyokong sepenuhnya Kod Urus Tadbir Korporat Malaysia (“Kod”) dan sentiasa komited dalam memastikan supaya Prinsip-prinsip dan Amalan Terbaik Urus Tadbir Korporat dipatuhi dan diamalkan oleh keseluruhan Kumpulan bagi membolehkan urus selia hal-ehwal Kumpulan dikendalikan secara profesional, bertanggungjawab dan berwibawa dengan objektif untuk melindungi dan mempertingkatkan nilai pelaburan pemegang saham dan prestasi kewangan Kumpulan.

Lembaga Pengarah dengan ini berbesar hati melaporkan pelaksanaan penggunaan Prinsip-prinsip Kod dan sejauh mana Kumpulan telah mematuhi Kod Amalan Terbaik sebagaimana yang ditetapkan menurut Keperluan Penyenaraian Bursa Malaysia Securities Berhad (“Keperluan Penyenaraian Bursa Malaysia”) sepanjang tahun kewangan yang dikaji.

PENGARAH

Lembaga PengarahLembaga Pengarah bertanggungjawab terhadap keseluruhan aspek urus tadbir korporat Kumpulan dan juga diamanahkan dengan tanggungjawab dalam melaksanakan penjagaan yang sewajarnya ke atas Syarikat serta sumber-sumber Kumpulan bagi memelihara kepentingan para pemegang saham dan memastikan pengurusan perniagaan yang sewajarnya.

Mesyuarat Lembaga PengarahMesyuarat Lembaga Pengarah dijadualkan terlebih dahulu pada permulaan tahun kalendar dengan mesyuarat tambahan diadakan bila perlu. Sembilan (9) mesyuarat Lembaga Pengarah telah diadakan pada tahun kewangan yang dikaji dengan butiran kehadiran setiap Pengarah seperti berikut:

Nama/Name Kehadiran/ Peratus (%)/ Attendance Percentage (%)

Y. Bhg. Tan Sri Dr. Hadenan b. A. Jalil 8/9 89(Pengarah Bukan Eksekutif Bukan Bebas/Non-Independent Non-Executive Director)

Y. Bhg. Dato’ Mohamed Hassan b. Md Kamil 9/9 �00(Pengarah Eksekutif Bukan Bebas/Non-Independent Executive Director)

Y. A. M. Tengku Dato’ Sri Azman Ibni Almarhum Sultan Abu Bakar 8/9 89(Pengarah Bukan Eksekutif Bebas/Independent Non-Executive Director)



Puan Rozaida bt. Omar 8/9 89(Pengarah Bukan Eksekutif Bukan Bebas/Non-Independent Non-Executive Director)

Encik Mahadzir b. Azizan 7/7 �00(Pengarah Bukan Eksekutif Bebas/Independent Non-Executive Director) Y. DH. Dato’ Sri Wan Abdul Wahid b. Wan Hassan 4/4 �00(Pengarah Bukan Eksekutif Bebas/Independent Non-Executive Director)(Bersara pada 25 November 2007/Retired on 25 November 2007) Y. Bhg. Dato’ Alwi b. Muhamad 4/5 80(Pengarah Bukan Eksekutif Bebas/Independent Non-Executive Director)(Bersara pada 30 November 2007/Retired on 30 November 2007) Y. Bhg. Dato’ Noorazman b. A. Aziz 5/5 �00(Pengarah Bukan Eksekutif Bukan Bebas/Non-Independent Non-Executive Director)(Meletak jawatan pada � Januari 2008/Resigned on � January 2008) Y. Bhg. Dato’ Sulaiman b. Mohd Yusof 4/4 �00(Pengarah Bukan Eksekutif Bebas/Independent Non-Executive Director)(Dilantik pada � Januari 2008/Appointed on � January 2008) Encik Johan b. Abdullah t/b t/b(Pengarah Bukan Eksekutif Bukan Bebas/Non-Independent Non-Executive Director) n/a n/a(Dilantik pada �5 Ogos 2008/Appointed on �5 August 2008)

n/a – not applicable as the date of appointment is after the financial year end 30 June 2008.

All Directors have the backing of extensive work experience in various fields and therefore able to exercise independent judgement in order to discharge their duties.

Board BalanceDuring the financial year under review, the Board comprises the following:


Pengarah Eksekutif Bukan Bebas/Non-Independent Executive Director �/6 �6.7%Pengarah Bukan Eksekutif Bukan Bebas/Non-Independent Non-Executive Directors 2/6 33.3%Pengarah Bukan Eksekutif Bebas/Independent Non-Executive Directors 3/6 50.0%


t/b – tidak berkenaan kerana tarikh pelantikan adalah selepas tahun kewangan berakhir 30 Jun 2008

Semua Pengarah memiliki latar belakang pengalaman kerja yang luas dalam pelbagai bidang, dan dengan ini membolehkan mereka membuat pertimbangan yang sewajarnya dalam melaksanakan tugas mereka.

Keseimbangan Lembaga PengarahSepanjang tahun kewangan yang dikaji, Lembaga Pengarah terdiri daripada:


* The above composition is after the retirement of Y. DH. Dato’ Sri Wan Abdul Wahid b. Wan Hassan and Y. Bhg. Dato’ Alwi b. Muhamad on 25 November 2007 and 30 November 2007 respectively; the resignation of Y. Bhg. Dato’ Noorazman b. A. Aziz on 1 January 2008; and the appointment of Y. Bhg. Dato’ Sulaiman b. Mohd Yusof on 1 January 2008; but before the appointment of Encik Johan b. Abdullah on 15 August 2008.

The above composition is in compliance with Bursa Malaysia Listing Requirements which require that one third (�/3) of Directors of Takaful Malaysia to be Independent Directors.

The Board with their different backgrounds and specialisations, collectively bring with them a wide range of experience and expertise in areas such as finance, audit, insurance, actuary, accounting, company secretarial, legal, management and banking. The profiles of the Directors are provided on pages �6 to 22 of the Annual Report. There is a clear division of responsibilities between the Chairman and the Group Managing Director to ensure that there is a balance of power and authority.

The roles of the Chairman and Group Managing Director are clearly defined with the Chairman being responsible for running the Board and lead the discussion at the Board level whilst the Group Managing Director is responsible for managing the Company and the Group as well as the implementation of the Board’s policies and decisions.

The Code recommends the appointment of a senior independent non-executive Director to whom concerns may be conveyed by other Board members. However, given the high caliber and standing of the individual members of the Board and the separation of the roles of the Chairman and Group Managing Director, the Board currently does not consider it necessary to nominate a designated senior independent non-executive Director.

Board CommitteesTo enable the Board to discharge its duties effectively whilst enhancing business and operational efficacy, the Board delegates certain responsibilities to five (5) Board Committees, namely:

• Audit Committee• Nomination Committee• Remuneration Committee• Risk Management Committee; and• ESOS Committee


* Komposisi di atas adalah selepas persaraan Y.DH. Dato’ Sri Wan Abdul Wahid b. Wan Hassan dan Y. Bhg. Dato’ Alwi b. Muhamad masing-masing pada 25 November 2007 dan 30 November 2007, peletakan jawatan Y. Bhg. Dato’ Noorazman b. A. Aziz pada 1 Januari 2008; dan pelantikan Y. Bhg. Dato’ Sulaiman b. Mohd Yusof pada 1 Januari 2008; tetapi sebelum pelantikan Encik Johan b. Abdullah pada 15 Ogos 2008.

Komposisi di atas mematuhi Keperluan Penyenaraian Bursa Malaysia yang mewajibkan satu pertiga (�/3) daripada para Pengarah Takaful Malaysia terdiri daripada Pengarah Bebas.

Lembaga Pengarah yang mempunyai pelbagai latar belakang dan kepakaran khusus, secara kolektifnya membawa bersama mereka pengalaman dan kepakaran yang luas dalam bidang-bidang seperti kewangan, audit, insurans, aktuari, perakaunan, kesetiausahaan syarikat, perundangan, pengurusan dan perbankan. Profil ahli Lembaga Pengarah ada dibentangkan di mukasurat �6 hingga 22 dalam Laporan Tahunan ini. Terdapat pembahagian yang jelas antara tanggungjawab Pengerusi dan Pengarah Urusan Kumpulan bagi memastikan keseimbangan kuasa dan autoriti.

Peranan Pengerusi dan Pengarah Urusan Kumpulan ditakrif dengan jelas di mana Pengerusi bertanggungjawab terhadap pengendalian Lembaga Pengarah dan menerajui perbincangan di peringkat Lembaga Pengarah sementara Pengarah Urusan Kumpulan bertanggungjawab terhadap pengurusan Syarikat dan Kumpulan serta pelaksanaan dasar dan keputusan yang telah diputuskan oleh Lembaga Pengarah.

Kod ada mengesyorkan pelantikan Pengarah Bukan Eksekutif Bebas Kanan di mana sebarang kemusykilan boleh dirujuk oleh ahli Lembaga Pengarah yang lain. Walau bagaimanapun, memandangkan setiap ahli Lembaga Pengarah adalah berkaliber tinggi dan peranan yang berbeza antara Pengerusi dan Pengarah Urusan Kumpulan, buat masa ini Lembaga Pengarah menganggap adalah tidak perlu untuk melantik Pengarah Bukan Eksekutif Bebas Kanan yang khusus.

Jawatankuasa Lembaga PengarahDalam memastikan Lembaga Pengarah melaksanakan tugas mereka dengan lebih berkesan di samping meningkatkan perniagaan dan kecekapan operasi, Lembaga Pengarah mengagihkan tanggungjawab tertentu kepada lima (5) Jawatankuasa Lembaga Pengarah, iaitu:

• Jawatankuasa Audit• Jawatankuasa Pemilihan• Jawatankuasa Ganjaran• Jawatankuasa Pengurusan Risiko; dan• Jawatankuasa ESOS


All Committees have clear written terms of reference and the Board receives reports of their proceedings and deliberations. The Chairman of the various Committees will report to the Board the outcome of their meetings and such reports are incorporated in the minutes of the Board Meeting.

The Committees’ membership are based on Directors’ skills and experience as well as their ability to add value to the Committees.

In ensuring that the Group’s operations and products offered are in accordance with Shariah Principle, the Shariah Advisory Body is entrusted by the Board to undertake such roles and responsibility.

Supply of Information to the BoardThe Board has full and timely access to information with Board papers distributed in advance of meetings to enable the Directors to obtain further explanation, where necessary, in order to be properly briefed before the meetings. The Board papers include the minutes of previous Board meeting, minutes of meetings of all Committees of the Board and reports relevant to the issues of the meetings covering areas such as financial, investment, information technology, operational, human resource and regulatory compliance matters. The Group Managing Director keeps the Board informed, on timely basis, of all material matters affecting the Group’s performance and major developments within the Group.

All the Board members have unrestricted access to timely and accurate information and access to the advice and services of the Company Secretary, who is responsible for ensuring that Board meeting’s procedures are followed and that all applicable rules and regulations are complied with. The Directors can also seek independent professional advice in furtherance of their duties, at Takaful Malaysia’s expense.

Appointments to the BoardThe appointment of new Board members are considered and evaluated by the Nomination Committee and the Committee would recommend the appointment to the Board for approval. In line with Takaful Act, �984 and the requirement of Bank Negara Malaysia (“BNM”), the appointment of Directors is subject to the approval from BNM. The Company Secretary will ensure that all the appointments are properly made, all necessary information are obtained, as well as all legal and regulatory requirements are met.


Setiap Jawatankuasa mempunyai terma rujukan bertulis yang jelas dan Lembaga Pengarah menerima laporan bagi setiap persidangan dan pertimbangan Jawatankuasa tersebut. Pengerusi bagi setiap Jawatankuasa akan melaporkan kepada Lembaga Pengarah setiap keputusan dari mesyuarat yang dijalankan dan laporan tersebut akan dimasukkan ke dalam minit Mesyuarat Lembaga Pengarah.

Keahlian Jawatankuasa adalah bergantung kepada kemahiran dan pengalaman seseorang Pengarah serta kebolehan mereka memberi nilai tambah kepada Jawatankuasa.

Bagi memastikan operasi dan produk Kumpulan yang ditawarkan selaras dengan Prinsip Syariah, Lembaga Pengarah mengamanahkan peranan dan tanggungjawab ini kepada Badan Penasihat Syariah.

Sumber Maklumat kepada Lembaga Pengarah Lembaga Pengarah mempunyai akses penuh dan secukupnya kepada maklumat berkenaan kertas Lembaga Pengarah yang diedarkan sebelum mesyuarat agar Pengarah boleh mendapatkan penjelasan lanjut, apabila diperlukan bagi mendapatkan penerangan yang sewajarnya sebelum mesyuarat. Kertas Lembaga Pengarah merangkumi minit mesyuarat Lembaga Pengarah yang lalu, minit mesyuarat semua Jawatankuasa Lembaga Pengarah dan laporan yang berkaitan isu-isu mesyuarat yang meliputi kewangan, pelaburan, teknologi maklumat, operasi, sumber manusia dan perkara berkaitan dengan pematuhan peraturan. Pengarah Urusan Kumpulan akan memaklumkan kepada Lembaga Pengarah tepat pada masanya, berhubung semua isu penting yang boleh mempengaruhi prestasi Kumpulan dan pembangunan utama yang berlaku dalam Kumpulan.

Semua ahli Lembaga Pengarah mempunyai akses yang tidak terhad kepada maklumat yang tepat dan pada masa yang ditetapkan serta khidmat nasihat Setiausaha Syarikat yang bertanggungjawab untuk memastikan supaya prosedur mesyuarat Lembaga Pengarah dituruti dan semua syarat serta peraturan yang diterima pakai dipatuhi. Para Pengarah juga boleh mendapatkan nasihat badan profesional bebas dalam menjalankan tugas mereka, di bawah tanggungan Takaful Malaysia.

Pelantikan sebagai ahli Lembaga PengarahPelantikan ahli Lembaga Pengarah yang baru dipertimbang dan dinilai oleh Jawatankuasa Pemilihan dan Jawatankuasa tersebut akan mengesyorkan pelantikan tersebut kepada Lembaga Pengarah untuk diluluskan. Selaras dengan Akta Takaful, �984 dan keperluan Bank Negara Malaysia (“BNM”), pelantikan Pengarah adalah tertakluk kepada kelulusan BNM. Setiausaha Syarikat akan memastikan supaya semua pelantikan dilakukan dengan cara yang betul di mana semua maklumat yang diperlukan diperoleh serta semua syarat perundangan dan peraturan dipenuhi.


Nomination CommitteeThe Nomination Committee currently consist of four (4) Non-Executive Directors and one (�) Executive Director, two (2) of whom are Independent. The current Chairman of the Committee is Encik Mahadzir b. Azizan, an Independent Non-Executive Director. The Nomination Committee met four (4) times during the financial year.

The Nomination Committee is empowered by the Board and its terms of reference are to bring to the Board recommendations as to the appointment of new Directors and Group Managing Director/Chief Executive Officer, and keeps under review the terms of appointment of Directors/Group Managing Director/ Chief Executive Officer. The Nomination Committee is also empowered to assess the effectiveness of the Board, its Committees and the contribution of each individual Director. The Nomination Committee also discussed the succession plan of the Senior Management of Takaful Malaysia.

Directors’ TrainingAll Directors have attended the Mandatory Accreditation Programme (“MAP”). The Directors will continue to attend other relevant training programmes, courses and seminars to enhance their skills and knowledge in discharging their duties as Directors.

During the year, the Directors attended training courses including in house training arranged by BIMB Holdings Berhad related to, amongst others, Update on Malaysian Code on Corporate Governance & Directors’ Duties, the Malaysian Capital Markets & Services Act 2007, Recent Cases & Developments of Islamic Financial Products and Directors & Officers Liability. Takaful Malaysia also continued to provide BNM’s Circulars, updated Bursa Malaysia Listing Requirements and new regulations to assist the Directors in keeping abreast with the latest development.

Re-electionThe Articles of Association provide for all Directors including the Group Managing Director/Chief Executive Officer to submit themselves for re-election at least every three (3) years in compliance with Bursa Malaysia Listing Requirements.

To assist shareholders in their decision, sufficient information, such as personal profile, meetings attendance and shareholding in the Company of each director standing for re-election are furnished in the Annual Report.


Jawatankuasa Pemilihan Jawatankuasa Pemilihan kini terdiri daripada empat (4) Pengarah Bukan Eksekutif dan seorang (�) Pengarah Eksekutif, di mana dua (2) daripada mereka adalah Pengarah Bebas. Pengerusi Jawatankuasa kini ialah Encik Mahadzir b. Azizan, seorang Pengarah Bukan Eksekutif Bebas. Jawatankuasa Pemilihan telah bermesyuarat sebanyak empat (4) kali sepanjang tahun kewangan ini.

Jawatankuasa Pemilihan telah diberikan mandat oleh Lembaga Pengarah dan terma rujukannya untuk membentang kepada Pengarah cadangan pemilihan ahli Lembaga Pengarah dan Pengarah Urusan Kumpulan/Ketua Pegawai Eksekutif, dan sentiasa mengkaji syarat-syarat pelantikan Pengarah/Pengarah Urusan Kumpulan/Ketua Pegawai Eksekutif. Jawatankuasa Pemilihan juga diberi mandat untuk menilai keberkesanan Lembaga Pengarah, Jawatankuasanya dan sumbangan setiap Pengarah. Jawatankuasa Pemilihan juga merangka pelan peralihan jawatan bagi Pengurusan Kanan Takaful Malaysia.

Latihan PengarahSemua ahli Lembaga Pengarah telah menghadiri Program Latihan Akreditasi Mandatori (“MAP”). Mereka akan terus menghadiri lain-lain program latihan, kursus dan seminar yang relevan untuk mempertingkatkan kemahiran dan pengetahuan mereka dalam menjalankan tugas mereka sebagai Pengarah.

Sepanjang tahun ini, para Pengarah telah menghadiri pelbagai kursus latihan termasuk latihan dalaman yang diatur oleh BIMB Holdings Berhad yang berkaitan, antaranya, Kemaskini Kod Urus Tadbir Korporat Malaysia & Tugas-tugas Pengarah, Akta Pasaran & Perkhidmatan Modal Malaysia 2007, Kes-kes & Perkembangan Terkini Produk Kewangan Islam dan Liabiliti Pengarah & Pegawai. Takaful Malaysia juga terus menyediakan Pekeliling BNM, Keperluan Penyenaraian Bursa Malaysia yang dikemaskini dan peraturan-peraturan baru lain untuk membantu para Pengarah dalam mendapatkan maklumat mengenai perkembangan terkini.

Pemilihan SemulaTataurusan Persatuan Syarikat memperuntukkan agar semua Pengarah termasuk Pengarah Urusan Kumpulan/Ketua Pegawai Eksekutif untuk menawarkan diri mereka bagi pemilihan semula sekurang-kurangnya setiap tiga (3) tahun sekali selaras dengan Keperluan Penyenaraian Bursa Malaysia.

Bagi membantu para pemegang saham membuat keputusan, maklumat yang mencukupi seperti profil peribadi, kehadiran mesyuarat dan pegangan saham dalam Syarikat bagi setiap Pengarah yang bersedia untuk pemilihan semula disediakan dalam Laporan Tahunan.


DIRECTORS’ REMUNERATION

Level and Make-up of RemunerationThe Remuneration Committee is responsible in recommending the remuneration framework for the Directors as well as the remuneration package of Executive Director to the Board so as to ensure that Takaful Malaysia attracts, motivates and retains the Directors needed to run it successfully. The remuneration of Directors is in line with the Group’s overall practice on compensation and benefits. The Executive Director does not participate in any way in determining his individual remuneration. The Board as a whole determines the remuneration of Non-Executive Directors.

Directors’ fees are approved by the shareholders at the Annual General Meeting.

Remuneration CommitteeThe Remuneration Committee currently consist of three (3) Non-Executive Directors, all of whom are Independent and one (�) Executive Director. The current Chairman of the Committee is Encik Mahadzir b. Azizan, an Independent Non-Executive Director. The Remuneration Committee met three (3) times during the financial year.

DisclosureA summary of the remuneration of the Directors for the year ended 30 June 2008 is as follows:

Ganjaran Pengarah/ Jumlah Pengarah/Directors’ Remuneration Number of Directors Pengarah Eksekutif/ Pengarah Bukan Eksekutif/ Executive Director Non Executive Directors (RM’000) (RM’000)Dibawah/Below than RM50,000 - 7RM50,00� – RM�00,000 - �RM�00,00� – RM�50,000 - -RM�50,00� – RM200,000 - -Melebihi/More than RM200,00� � -Jumlah/Total 1 8


GANJARAN PENGARAH

Peringkat dan Kandungan GanjaranJawatankuasa Ganjaran bertanggungjawab mengesyorkan rangka kerja ganjaran bagi para Pengarah termasuk pakej ganjaran bagi Pengarah Eksekutif kepada Lembaga Pengarah bagi memastikan Takaful Malaysia mampu menarik minat, memberi motivasi dan mengekalkan ahli Lembaga Pengarah yang diperlukan untuk mentadbir dengan jayanya. Ganjaran para Pengarah adalah sejajar dengan amalan keseluruhan Kumpulan mengenai ganjaran dan imbuhan. Pengarah Eksekutif tidak terlibat dalam apa juga cara dalam menentukan ganjarannya sendiri. Lembaga Pengarah secara keseluruhannya menentukan ganjaran bagi Pengarah Bukan Eksekutif.

Yuran para Pengarah diluluskan oleh para pemegang saham di Mesyuarat Agung Tahunan.

Jawatankuasa GanjaranJawatankuasa Ganjaran kini terdiri daripada tiga (3) orang Pengarah Bukan Eksekutif, di mana kesemua mereka adalah Pengarah Bebas, dan seorang (�) Pengarah Eksekutif. Pengerusi Jawatankuasa kini ialah Encik Mahadzir b. Azizan, seorang Pengarah Bukan Eksekutif Bebas. Jawatankuasa Ganjaran telah bermesyuarat sebanyak tiga (3) kali pada tahun kewangan ini.

PendedahanRingkasan maklumat mengenai ganjaran para Pengarah bagi tahun berakhir 30 Jun 2008 adalah seperti berikut:


SHAREHOLDERS

Dialogue between the Company and InvestorsTakaful Malaysia recognises the importance to keep the shareholders well-informed of all major developments of Takaful Malaysia on a timely basis. The Chairman and Group Managing Director hold discussions with analysts and shareholders at least once (�) a year immediately after the Annual General Meeting. Additionally, various disclosures and announcements made to Bursa Malaysia including quarterly, semi-annual returns and annual results facilitate the dissemination of information to the shareholders. In addition, other information about the Company is available on Takaful Malaysia’s website, www.takaful-malaysia.com. Queries pertaining to business operations are answered by the Customer Services Unit.

The Annual General MeetingThe Annual General Meeting is the principal forum for dialogues with private shareholders. Besides the normal agenda for the Annual General Meeting, the Board presents the progress and performance of the business as contained in the Annual Report and provides opportunities for shareholders to raise questions pertaining to the business activities of the Group.

For re-election of Directors, the Board will ensure that full information is disclosed through the notice of meeting regarding directors who are retiring and who are willing to serve if re-elected.

Each item of special business included in the notice of the meeting will be accompanied by an explanatory statement for the proposed resolution to facilitate full understanding and evaluation of issues involved.


PEMEGANG SAHAM

Dialog antara Syarikat dan para PelaburTakaful Malaysia sedar akan kepentingan untuk sentiasa memaklumkan kepada para pemegang saham berkenaan semua perkembangan utama Takaful Malaysia dari semasa ke semasa. Pengerusi dan Pengarah Urusan Kumpulan mengadakan perbincangan dengan penganalisis dan pemegang saham sekurang-kurangnya sekali (�) setahun sejurus selepas Mesyuarat Agung Tahunan. Selain itu, pelbagai pendedahan dan pengumuman dibuat kepada Bursa Malaysia termasuk keputusan suku tahunan, pulangan setengah tahunan dan keputusan tahunan bagi memudahkan sebaran maklumat kepada pemegang saham. Tambahan lagi, maklumat-maklumat lain mengenai Syarikat boleh diperolehi di laman web Takaful Malaysia, iaitu www.takaful-malaysia.com. Pertanyaan mengenai operasi perniagaan dijawab oleh Unit Khidmat Pelanggan.

Mesyuarat Agung TahunanMesyuarat Agung Tahunan adalah forum utama bagi dialog dengan pemegang saham individu. Selain dari agenda biasa untuk Mesyuarat Agung Tahunan, Lembaga Pengarah akan membentangkan laporan prestasi dan pencapaian perniagaan seperti yang dinyatakan dalam Laporan Tahunan dan memberi peluang kepada pemegang saham untuk mengemukakan soalan mengenai aktiviti perniagaan Kumpulan.

Bagi pemilihan semula para Pengarah, Lembaga Pengarah akan memastikan maklumat sepenuhnya dimaklumkan menerusi notis mesyuarat berhubung para Pengarah yang akan bersara dan mana-mana Pengarah yang menawarkan diri untuk berkhidmat sekiranya dilantik semula.

Setiap perkara urusan khas yang terkandung dalam notis mesyuarat akan disertakan dengan penyata penerangan bagi resolusi yang dicadangkan untuk memudahkan pemahaman sepenuhnya dan penilaian terhadap isu berkaitan.


ACCOUNTABILITY AND AUDIT

Financial ReportingThe Board ensures that the annual financial statements and quarterly announcements to shareholders are prepared in accordance with approved accounting standards and present a balance and understandable assessment of the Group’s position and prospects. The Audit Committee assists the Board in ensuring accuracy and adequacy of information by reviewing and recommending for adoption information for disclosure.

Statement of Directors’ Responsibilities in Relation To Financial Statements The Directors are required under the Companies Act, �965 to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Company and the Group as at the end of the financial year and of the income statement and cash flows for the Company and the Group for the financial year.

The Directors consider that, in preparing the financial statements for the year ended 30 June 2008, the Group has used appropriate accounting policies, consistently applied and supported by reasonable and prudent judgements and estimates. The Directors have also considered that all applicable accounting standards has been followed and confirm that the financial statements have been prepared on the going concern basis.

The Directors are responsible for ensuring that the Company maintains adequate accounting records which disclose with reasonable accuracy the financial position of the Company to enable them to ensure that the financial statements comply with the requirements of the Companies Act, �965.

The Directors generally have the duty to take such steps as are reasonably available to them to safeguard the assets of the Company and the Group, and to prevent and detect fraud and other irregularities.


AKAUNTABILITI DAN AUDIT

Laporan KewanganLembaga Pengarah perlu memastikan yang penyata kewangan tahunan dan pengumuman suku tahunan kepada pemegang saham disediakan selaras dengan piawaian perakaunan yang diluluskan dan membentangkan penilaian yang seimbang dan boleh difahami mengenai kedudukan dan prospek Kumpulan. Jawatankuasa Audit membantu Lembaga Pengarah memastikan ketepatan dan kelengkapan maklumat dengan mengkaji dan mencadangkan mengguna pakai maklumat bagi tujuan pendedahan.

Penyata Tanggungjawab Para Pengarah Berkenaan Penyata Kewangan Menurut Akta Syarikat, �965, Lembaga Pengarah perlu menyediakan penyata kewangan bagi setiap tahun kewangan yang memberi gambaran yang benar dan saksama mengenai keadaan urusan hal-ehwal Syarikat dan Kumpulan sehingga akhir tahun kewangan serta penyata hasil dan aliran tunai Syarikat dan Kumpulan untuk tahun kewangan.

Para Pengarah memberi pertimbangan bahawa, dalam menyediakan penyata kewangan bagi tahun berakhir 30 Jun 2008, Kumpulan telah menggunakan dasar perakaunan yang sesuai, digunakan secara konsisten dan disokong oleh pertimbangan dan anggaran yang wajar dan berhemat. Para Pengarah juga telah mempertimbangkan bahawa kesemua piawaian perakaunan yang berkaitan dipatuhi dan mengesahkan bahawa penyata kewangan disediakan mengikut dasar perniagaan berterusan.

Para Pengarah bertanggungjawab memastikan supaya Syarikat menyediakan rekod perakaunan yang secukupnya yang menunjukkan ketepatan yang munasabah mengenai kedudukan kewangan Syarikat bagi membolehkan mereka memastikan agar penyata kewangan tersebut mematuhi keperluan Akta Syarikat, �965.

Para Pengarah mempunyai tanggungjawab secara am untuk mengambil langkah yang munasabah dalam memastikan perlindungan aset Syarikat dan Kumpulan terpelihara dan mengelakkan serta mengesan sebarang bentuk penipuan dan kesalahan undang-undang.


Kawalan Dalaman dan Pengurusan RisikoLembaga Pengarah mengiktiraf tanggungjawabnya dan komited untuk mengekalkan pelaksanaan sistem kawalan dalaman dan amalan pengurusan risiko yang berwibawa. Walau bagaimanapun, sistem tersebut hanya dapat memberikan jaminan berpatutan dan bukannya mutlak daripada sebarang salah nyata atau kerugian ketara.

Penyata Kawalan Dalaman yang dibentangkan di muka surat 53 hingga 56 dalam Laporan Tahunan ini memberikan tinjauan menyeluruh mengenai kedudukan kawalan dalaman Kumpulan.

Hubungan dengan JuruauditPeranan Jawatankuasa Audit dinyatakan di muka surat 30 hingga 38. Melalui Jawatankuasa Audit Lembaga Pengarah, Syarikat telah mewujudkan hubungan yang telus dan sesuai dengan juruaudit Syarikat, sama ada dalaman mahupun luar. Jika perlu, juruaudit luar akan dijemput untuk menghadiri mesyuarat Jawatankuasa.

Penyata ini dibuat selaras dengan resolusi Lembaga Pengarah bertarikh 20 Oktober 2008.

Internal Control and Risk ManagementThe Board acknowledges its responsibility and is committed in maintaining a sound system of internal control and risk management practice. However, such system can only provide reasonable but not absolute assurance against material misstatements or losses.

The Statement on Internal Control furnished on pages 53 to 56 in the Annual Report provides an overview of the state of internal control within the Group.

Relationships with the AuditorsThe role of the Audit Committee is as stated on pages 30 to 38. Through the Audit Committee of the Board, the Company has established transparent and appropriate relationship with the Company’s auditors, both internal and external. If required, the external auditors are invited to attend meetings of the Committee.

This statement is made in accordance with the resolution of the Board of Directors dated 20 October 2008.



Penggunaan Dana Terbitan Hak Utilisation of Rights Issue Proceeds

Pelaburan Menaiktaraf Modal Pembiayaan Jumlah Tambahan Sistem Teknologi Kerja Perbelanjaan Dana Dalam Maklumat Working Berkaitan Total Syarikat Upgrading Capital Terbitan Bonus, Proceeds Subsidiari of IT Systems Terbitan Hak, Additional Penempatan Investment Persendirian dan in Subsidiaries Pelaksanaan ESOS Defray Expenses Relating to Bonus Issue, Rights Issue, Private Placement and ESOS Exercises

(RM’000) (RM’000) (RM’000) (RM’000) (RM’000)

Cadangan penggunaan dana terbitan hak/ 30,53� 30,000 �4,969 �,500 77,000Proposed utilisation of rights issue proceeds

Peruntukan semula dana terbitan hak*/ �3,73� - (�3,73�) - -Reallocation of rights issue proceeds*

Jumlah kecil/Sub-total 44,262 30,000 �,238 �,500 77,000

Tolak : Jumlah penggunaan setakat 30.06.2008/ (23,039) (30,000) (�,238) (898) (55,�75)Less : Amount utilised as at 30.06.2008

Baki dana terbitan hak/ 21,223 - - 602 21,825Remaining rights issue proceeds

Maklumat Pematuhan TambahanAdditional Compliance Information

1. UTILISATION OF PROCEEDS

The bonus issue, rights issue and private placement exercises were completed on �6 September 2003, 27 October 2003 and 25 March 2005 respectively whilst the ESOS was implemented on 3 November 2003.

Total proceeds from the private placement exercise of RM�0,878,000 had been fully utilised for working capital during the financial year ended 30 June 2005 whilst the utilisation of rights issue proceeds as at 30 June 2008 are as follows:

* The Board of Directors had earlier approved the reallocation of the rights issue proceeds amounting to RM13,731,000 for additional investment in subsidiary companies for their working capital purposes.

1. PENGGUNAAN DANA

Terbitan bonus, terbitan hak dan pelaksanaan penempatan persendirian masing-masing telah diselesaikan pada �6 September 2003, 27 Oktober 2003 dan 25 Mac 2005 sementara ESOS telah dilaksanakan pada 3 November 2003.

Dana daripada pelaksanaan penempatan persendirian yang berjumlah RM�0,878,000 telah digunakan sepenuhnya untuk modal kerja dalam tahun kewangan berakhir 30 Jun 2005 sementara penggunaan dana terbitan hak pada 30 Jun 2008 adalah seperti berikut:

* Lembaga Pengarah sebelum ini telah meluluskan peruntukan semula dana terbitan hak berjumlah RM13,731,000 bagi pelaburan tambahan dalam syarikat-syarikat subsidiari sebagai modal kerja.


2. SHARE BUYBACKS During the financial year, there were no share buybacks by Takaful Malaysia.

3. OPTIONS, WARRANTS OR CONVERTIBLE SECURITIES

No options, warrants or convertible securities were issued by Takaful Malaysia during the financial year.

4. AMERICAN DEPOSITORY RECEIPT (ADR) OR GLOBAL DEPOSITORY RECEIPT (GDR) PROGRAMME

During the financial year, Takaful Malaysia did not sponsor any ADR or GDR programme.

5. IMPOSITIONS OF SANCTIONS/ PENALTIES

There were no sanctions and/or penalties imposed on Takaful Malaysia and its subsidiaries, Directors or Management by relevant regulatory bodies during the financial year.

6. NON-AUDIT FEES

There were no non-audit fees paid to external auditors during the financial year.

7. VARIATION IN RESULTS

There was a positive variation of �8.�6% between the audited results for the financial year ended 30 June 2008 and the unaudited results previously announced mainly due to audit adjustments for service tax and incurred but not reported (IBNR) claim reserve for Family and General Takaful. The reconciliation of the variation is as follows:


2. PEMBELIAN BALIK SAHAM

Dalam tahun kewangan, tiada sebarang pembelian balik saham dilakukan oleh Takaful Malaysia.

3. OPSYEN, WARAN ATAU SEKURITI BOLEH TUKAR

Tidak ada opsyen, waran atau sekuriti boleh tukar yang diterbitkan oleh Takaful Malaysia sepanjang tahun kewangan.

4. PROGRAM AMERICAN DEPOSITORY RECEIPT (ADR) ATAU GLOBAL DEPOSITORY RECEIPT (GDR)

Dalam tahun kewangan, Takaful Malaysia tidak menaja sebarang program ADR atau GDR.

5. PENGENAAN SEKATAN / PENALTI

Tiada sekatan dan/atau penalti yang dikenakan ke atas Takaful Malaysia dan subsidiari, para Pengarah atau Pengurusannya oleh pihak berkuasa berkaitan sepanjang tahun kewangan.

6. YURAN BUKAN AUDIT

Tiada yuran bukan audit yang dibayar kepada juruaudit luar pada tahun kewangan.

7. VARIASI KEPUTUSAN

Terdapat variasi positif sebanyak �8.�6% di antara keputusan yang telah diaudit bagi tahun kewangan berakhir 30 Jun 2008 dan keputusan belum diaudit yang diumumkan sebelum ini disebabkan oleh pelarasan audit bagi cukai perkhidmatan dan rizab tuntutan bagi kes-kes yang belum dilaporkan (IBNR) bagi Takaful Keluarga dan Am. Penyesuaian variasi adalah seperti berikut:

Maklumat/Details RM’000 RM’000Keuntungan sebelum diaudit bagi tahun semasa selepas cukai dan kepentingan pihak minoriti/ 25,�40Unaudited profit for the year after tax and minority interestPelarasan audit bagi/Audit adjustments for:Lebihan peruntukan cukai perkhidmatan untuk Takaful Keluarga dan Am/ 8,2�2Overprovision of service tax for Family and General TakafulPenambahan rizab IBNR bagi Takaful Keluarga dan Am/ (2,705)Additional IBNR reserve for Family and General TakafulPelarasan-pelarasan lain/Other adjustments (942) 4,565Keuntungan setelah diaudit selepas cukai dan kepentingan pihak minoriti/ 29,705 Audited profit for the year after tax and minority interest

Takaful Malaysia tidak mengeluarkan sebarang anggaran, ramalan atau unjuran keuntungan bagi tahun kewangan.

Takaful Malaysia did not release any profit estimate, forecast or projections for the financial year.



8. PROFIT GUARANTEE

During the financial year, there was no profit guarantee given by Takaful Malaysia.

9. MATERIAL CONTRACTS

There are no other material contracts, not being contract entered into in the ordinary course of business, which have been entered into by Takaful Malaysia or its subsidiary companies within the last two (2) years preceding the date of this Annual Report save as disclosed below:

i. a licence, supply, delivery, installation, customization, acceptance, maintenance and professional services agreement dated 29 June 2007 between Takaful Malaysia and 3i Infotech Sdn Bhd in respect of the implementation of the integrated insurance management system and support services for a total contract sum of RM�5,�76,080.

ii. IT infrastructure operations management services agreement dated � July 2008 between Takaful Malaysia and Hewlett-Packard (M) Sdn Bhd to manage Takaful Malaysia’s IT infrastructure operations for a total contract sum of RM��,840,�42.

10. CONTRACTS RELATING TO LOAN

There were no contracts relating to a loan by Takaful Malaysia during the financial year.

11. REVALUATION OF LANDED PROPERTIES

With the adoption of FRS �40, the Group has classified some of its properties to investment properties which were previously classified under property, plant and equipment (“PPE”) under the cost model. Investment properties are now stated at fair value, representing open-market value based on the valuation performed by independent qualified valuers. Gains or losses arising from changes in fair values of investment properties are recognised in the profit and loss account in the period in which they arise.

8. JAMINAN KEUNTUNGAN

Dalam tahun kewangan, tiada jaminan keuntungan diberi oleh Takaful Malaysia.

9. KONTRAK PENTING

Tidak ada kontrak penting lain, yang bukan merupakan kontrak yang dimeterai dalam perjalanan biasa perniagaan, yang telah dimeterai oleh Takaful Malaysia atau syarikat subsidiarinya dalam tempoh dua (2) tahun sebelum tarikh Laporan Tahunan melainkan seperti yang dinyatakan di bawah:

i. Perjanjian lesen, bekalan, penghantaran, pemasangan, pembuatan mengikut tempahan, penerimaan, penyelenggaraan dan perkhidmatan profesional bertarikh 29 Jun 2007 di antara Takaful Malaysia dan 3i Infotech Sdn Bhd bagi pelaksanaan sistem pengurusan insurans bersepadu dan perkhidmatan sokongan bagi kontrak berjumlah RM�5,�76,080.

ii. Perjanjian perkhidmatan pengurusan operasi infrastruktur IT bertarikh � Julai 2008 diantara Takaful Malaysia dan Hewlett-Packard (M) Sdn Bhd untuk menguruskan operasi infrastruktur IT Takaful Malaysia bagi kontrak berjumlah RM��,840,�42.

10. KONTRAK BERKAITAN DENGAN PINJAMAN

Tiada kontrak berkaitan dengan pinjaman oleh Takaful Malaysia dalam tahun kewangan.

11. PENILAIAN SEMULA HARTANAH

Berikutan penggunaan FRS �40, Kumpulan telah mengklasifikasikan beberapa hartanahnya kepada hartanah pelaburan yang sebelum ini diklasifikasikan di bawah hartanah, loji dan peralatan (“PPE”) di bawah model kos. Hartanah pelaburan kini dinyatakan pada nilai saksama, mewakili nilai pasaran terbuka berasaskan penilaian yang dibuat oleh penilai bertauliah yang bebas. Keuntungan atau kerugian yang timbul daripada perubahan nilai saksama hartanah pelaburan diiktiraf dalam akaun untung dan rugi bagi tempoh ia terhasil.



Bentuk Urusniaga Pihak Pihak Berkaitan, kepentingan mereka dan Nilai Nature of Transactions Berkaitan bentuk hubungan dengan Urusniaga yang Kumpulan Takaful Malaysia Sebenar dari berurusniaga Related Parties, their interests and 1 Julai 2007 Related nature of relationships with the hingga 30 Parties Takaful Malaysia Group Jun 2008 transacted Actual with Transaction Value from 1 July 2007 to 30 June 2008 (RM’000)

Pajakan mesin penyalinLease of copier machine

Syarikat Al-IjarahSdn Bhd

(Syarikat Al-Ijarah)

Syarikat Al-Ijarah adalah subsidiari milik penuh BHB. BHB adalah pemegang saham utama Takaful Malaysia yang memegang kepentingan ekuiti Syarikat sebanyak 65.72 % pada 30 Jun 2008.

Encik Johan b. Abdullah adalah Pengarah BIMB dan BHB dan juga Pengarah Takaful Malaysia, yang dilantik oleh BHB. Encik Johan b. Abdullah tidak mempunyai sebarang kepentingan langsung atau tidak langsung dalam BHB dan Takaful Malaysia.

Tan Sri Dr. Hadenan b. A. Jalil, Dato’ Mohamed Hassan b. Md. Kamil dan Puan Rozaida bt. Omar adalah Pengarah Takaful Malaysia, yang dilantik oleh BHB. Tan Sri Dr. Hadenan b. A. Jalil, Dato’ Mohamed Hassan b. Md. Kamil dan Puan Rozaida bt. Omar tidak mempunyai sebarang kepentingan langsung atau tidak langsung dalam BHB dan Takaful Malaysia.

Syarikat Al-Ijarah is a wholly owned subsidiary of BHB. BHB is a major shareholder of Takaful Malaysia holding an equity interest of 65.72 % in the Company as at 30 June 2008.

Encik Johan b. Abdullah is a Director in BIMB and BHB and is also a Director in Takaful Malaysia, nominated by BHB. Encik Johan b. Abdullah does not have any direct or indirect interest in BHB and Takaful Malaysia.

Tan Sri Dr. Hadenan b. A. Jalil, Dato’ Mohamed Hassan b. Md. Kamil and Puan Rozaida bt. Omar are Directors in Takaful Malaysia, nominated by BHB. Tan Sri Dr. Hadenan b. A. Jalil, Dato’ Mohamed Hassan b. Md. Kamil and Puan Rozaida bt. Omar do not have any direct or indirect interest in BHB and Takaful Malaysia.

394

12. URUSNIAGA PIHAK BERKAITAN YANG BERULANG / RECURRENT RELATED PARTY TRANSACTIONS


Bentuk Urusniaga Pihak Pihak Berkaitan, kepentingan mereka dan Nilai Nature of Transactions Berkaitan bentuk hubungan dengan Urusniaga yang Kumpulan Takaful Malaysia Sebenar dari berusniaga Related Parties, their interests and 1 Julai 2007 Related nature of relationships with the hingga 30 Parties Takaful Malaysia Group Jun 2008 transacted Actual with Transaction Value from 1 July 2007 to 30 June 2008 (RM’000)

Sewa bangunan pejabat yang dibayar kepada Takaful Malaysia oleh Bank Islam Malaysia Berhad (BIMB)

Rental of office premises payable to Takaful Malaysia by Bank Islam Malaysia Berhad (BIMB)

BIMB BIMB adalah subsidiari 5�% milik BHB. BHB adalah pemegang saham utama Takaful Malaysia yang memegang kepentingan ekuiti sebanyak 65.72 % dalam Syarikat pada 30 Jun 2008.

Encik Johan b. Abdullah adalah Pengarah BIMB dan BHB dan juga Pengarah Takaful Malaysia, yang dilantik oleh BHB. Encik Johan b. Abdullah tidak mempunyai sebarang kepentingan langsung atau tidak langsung dalam BHB dan Takaful Malaysia.

Tan Sri Dr. Hadenan b. A. Jalil, Dato’ Mohamed Hassan b. Md. Kamil dan Puan Rozaida bt. Omar adalah Pengarah Takaful Malaysia, yang dilantik oleh BHB. Tan Sri Dr. Hadenan b. A. Jalil, Dato’ Mohamed Hassan b. Md. Kamil dan Puan Rozaida bt. Omar tidak mempunyai sebarang kepentingan langsung atau tidak langsung dalam BHB dan Takaful Malaysia.

BIMB is a 5�% owned subsidiary of BHB. BHB is a major shareholder of Takaful Malaysia holding an equity interest of 65.72 % in the Company as at 30 June 2008.

Encik Johan b. Abdullah is a Director in BIMB and BHB and is also a Director in Takaful Malaysia, nominated by BHB. Encik Johan b. Abdullah does not have any direct or indirect interest in BHB and Takaful Malaysia.

Tan Sri Dr. Hadenan b. A. Jalil, Dato’ Mohamed Hassan b. Md. Kamil and Puan Rozaida bt. Omar are Directors of Takaful Malaysia, nominated by BHB. Tan Sri Dr. Hadenan b. A. Jalil, Dato’ Mohamed Hassan b. Md. Kamil and Puan Rozaida bt. Omar do not have any direct or indirect interest in BHB and Takaful Malaysia.

7,258


12. URUSNIAGA PIHAK BERKAITAN YANG BERULANG / RECURRENT RELATED PARTY TRANSACTIONS


Penyata Kawalan DalamanStatement on Internal Control

Penyata ini disediakan menurut Keperluan Penyenaraian Bursa Malaysia Securities Berhad berkaitan dengan Pematuhan Kumpulan terhadap Prinsip dan peruntukan Amalan Terbaik yang berkaitan dengan kawalan dalaman seperti yang digariskan di dalam Kod Urus Tadbir Korporat Malaysia (“Kod”).

TANGGUNGJAWAB LEMBAGA PENGARAH

Lembaga Pengarah mengiktiraf bahawa mereka bertanggungjawab ke atas sistem kawalan dalaman Kumpulan yang mana termasuk memastikan kecukupan dan kewibawaannya pada setiap masa, serta keselarasannya dengan matlamat perniagaan. Sistem kawalan dalaman tersebut menangani keperluan operasi perniagaan agar sentiasa berkesan dan cekap, laporan kewangan dan prosedur kawalan yang tersusun serta pematuhan dengan undang-undang dan peraturan yang berkaitan. Walau bagaimanapun, perlu diingatkan bahawa sistem ini dirumus untuk mengurus dan bukannya menghapuskan risiko kegagalan mencapai objektif perniagaan tetapi hanya boleh memberi jaminan yang munasabah ke atas salah nyata atau kerugian yang ketara.

Lembaga Pengarah komited untuk mengekalkan satu sistem kawalan dalam yang berwibawa, justeru, dengan sukacitanya membentangkan penyata berhubung kawalan dalaman Kumpulan sepanjang tempoh yang dikaji.

RANGKA KERJA PENGURUSAN RISIKO

Lembaga Pengarah mengakui bahawa mengenal pasti dan mengurus risiko utama memainkan peranan penting dan merupakan asas dalam mencapai objektif perniagaan Kumpulan serta dalam menguruskan operasi hariannya.

Bagi mencapai objektif tersebut, Lembaga Pengarah telah menyediakan rangka kerja Pengurusan Risiko Seluruh Perniagaan (“ERM”) dalam Kumpulan bagi memastikan supaya wujud proses yang berterusan bagi mengenal pasti, menilai, memantau dan mengurus pendedahan risiko utama yang sememangnya lazim dalam operasi perniagaannya. Pada bulan Januari 2008, Ketua Pengurusan Risiko baru telah dilantik bagi menggalas tanggungjawab utama untuk membantu Jawatankuasa Pengurusan Risiko Lembaga Pengarah (“RISCO”) memantau dan menilai keberkesanan fungsi pengurusan risiko bagi Kumpulan sebagaimana yang telah dipertanggungjawabkan oleh Lembaga Pengarah.

This statement is made pursuant to the Listing Requirements of Bursa Malaysia Securities Berhad with regard to the Group’s compliance with the Principles and Best Practices provisions relating to internal controls as stipulated in the Malaysian Code on Corporate Governance (“the Code”).

BOARD RESPONSIBILITY

The Board acknowledges its ultimate responsibility for the Group’s system of internal control that includes the assurance of its adequacy and integrity at all times and, its alignment with the business objectives. The system of internal control addresses the need for effective and efficient business operations, sound financial reporting and control procedures, and compliance with relevant laws and regulations. However, it should be noted that this system is designed to manage rather than to eliminate risks of failure to achieve business objectives and as such, could only provide reasonable assurance against material misstatement or loss.

The Board is committed in maintaining a sound system of internal control and is therefore pleased to provide the following statement on internal control of the Group during the period under review.

RISK MANAGEMENT FRAMEWORK

The Board acknowledges that the identification and the management of principal risks play an important and integral part in achieving the Group’s business objectives and the management of its daily operations.

In pursuing these objectives, the Board has put in place an Enterprise Wide Risk Management (“ERM”) framework within the Group to ensure there is an on-going process of identifying, evaluating, monitoring and managing the significant risk exposures inherent in its business operations. In January 2008, a new Head of Risk Management was appointed with the primary responsibility of assisting the Board Risk Management Committee (“RISCO”) to monitor and evaluate the effectiveness of the risk management function for the Group as entrusted by the Board.



Inisiatif-inisiatif berikut telah dilaksanakan untuk mempertingkatkan lagi ERM dalam Kumpulan:

• Mempertingkatkan urus tadbir dan rangka kerja ERM dalam bulan Jun 2008;

• Melancarkan Program Kesedaran Pengurusan Risiko dalam bulan Januari 2008;

• Melaksanakan sistem dan laporan ERM dalam bulan Julai 2008; dan

• Melancarkan Pelan Pengurusan Kesinambungan Perniagaan dalam bulan Januari 2008.

FUNGSI AUDIT DALAMAN

Fungsi audit dalaman menggunapakai pendekatan berasaskan risiko dalam kajiannya terhadap kawalan dalaman Kumpulan. Ia melapor kepada Jawatankuasa Audit berhubung tahap pematuhan terhadap keperluan penguatkuasaan dan syor-syor bagi peningkatan turut dikemukan berkaitan penemuan yang timbul daripada kajian tersebut. Pelaksanaan pelan tindakan pengurusan yang berusaha untuk mengurangkan kelemahan tersebut dipantau melalui kajian susulan.

Jawatankuasa Audit turut membincangkan penemuan dan syor-syor yang dicadangkan oleh juruaudit dalaman dan luar serta fungsi pematuhan. Jawatankuasa tersebut turut mengawasi sumber dan skop kerja audit dalaman melalui pelan audit tahunannya.

UNSUR-UNSUR KAWALAN DALAMAN UTAMA

Unsur-unsur utama kawalan dalaman yang diwujudkan oleh Lembaga Pengarah bagi menyediakan kawalan dalaman yang berkesan termasuk pematuhan terhadap undang-undang, peraturan dan garis panduan adalah seperti berikut:

• Struktur OrganisasiKumpulan telah membentuk sebuah struktur organisasi yang tersusun dengan had-had tanggungjawab dan akauntabiliti yang jelas serta pengagihan kuasa yang bertakrif kepada Jawatankuasa-jawatankuasa Lembaga Pengarah dan Pengurusan.

To further enhance ERM within the Group, the following initiatives have been undertaken:

• Enhancement of the governance and ERM framework in June 2008;

• Initiation of Risk Management Awareness Programmes in January 2008;

• Implementation of ERM system and reporting in July 2008; and

• Initiation of Business Continuity Management Plan in January 2008.

INTERNAL AUDIT FUNCTION

The internal audit function adopts a risk-based approach in its review of the Group’s internal controls. It reports to the Audit Committee on the extent of compliance with the relevant regulatory requirements and recommendations for improvement are also provided on the findings arising from the review. The implementation of management action plans which seek to mitigate the weaknesses are monitored through follow up reviews.

The Audit Committee deliberates on findings and recommendations proposed by the internal and external auditors as well as the compliance function. The Committee also provide oversight on the internal audit’s resources and scope of work via its annual audit plan.

KEY ELEMENTS OF INTERNAL CONTROL

The key elements of internal control that the Board has established which provide effective internal controls including compliance with applicable laws, regulations and guidelines are as follows:

• Organisational StructureThe Group has established a well-defined organisational structure with clear lines of responsibility and accountability with a defined delegation of authority to Committees of the Board and Management.



• Pemantauan dan Laporan PrestasiPasukan Pengurusan Kumpulan memantau dan mengkaji keputusan kewangan dan operasi berdasarkan kepada Petunjuk Prestasi Penting (“KPI”) atau Bidang Keputusan Pentingan (“KRA”) yang dirumus sebelum setiap tahun kewangan baru. Bagi syarikat subsidiari pula, Kumpulan mempunyai sekurang-kurangnya seorang (�) wakil dalam Lembaga Pengarah di setiap syarikat tersebut.

• Had KuasaHad kuasa yang ditakrif dengan jelas telah diluluskan oleh Lembaga Pengarah dan telah dilaksanakan dalam bidang Pengunderaitan, kelulusan Tuntutan, Pelaburan dan proses-proses perniagaan yang lain.

• Prosedur Operasi PiawaiKumpulan kini sedang mengkaji Prosedur Operasi Piawainya bagi memenuhi keperluan persekitaran perniagaan yang berubah dan lebih berasaskan pelanggan. Satu pasukan khusus telah dibentuk untuk mengawasi pelaksanaan inisiatif tersebut di seluruh Kumpulan.

• Fungsi pematuhanPengurus Pematuhan memantau pengeluaran keperluan dan arahan penguatkuasaan. Semua keperluan/garis panduan baru disampaikan kepada setiap pasukan Pengurusan Kanan, Jawatankuasa Audit dan Lembaga Pengarah.

• Pelan Perniagaan / Pemasaran dan proses BelanjawanPelan perniagaan dan pemasaran tahunan Kumpulan dibentangkan kepada Lembaga Pengarah untuk kelulusan.

• Laporan KewanganAkaun/laporan pengurusan dibentangkan kepada Lembaga Pengarah untuk dikaji dan dibincangkan. Penyebaran laporan suku tahunan kepada orang ramai dilakukan selepas ia dikaji oleh Jawatankuasa Audit dan diluluskan oleh Lembaga Pengarah. Usaha berterusan turut disediakan untuk menangani isu-isu kawalan kewangan atau risiko yang meliputi pengukuhan penutupan kewangan dan proses penyelarasan.

• Performance Monitoring and ReportingThe Group’s management team monitors and reviews financial and operational results based on the Key Performance Indicators (“KPI”) or Key Results Areas (“KRA”) that is established prior to each new financial year. As for the subsidiary companies, the Group has representation of at least one (�) member on the Board of respective companies.

• Limit of AuthoritiesA clearly defined limit of authorities has been approved by the Board and implemented in the areas of Underwriting, Claims approval, Investments and other business processes.

• Standard Operating ProceduresThe Group is currently reviewing its Standard Operating Procedures towards meeting the needs of a changing business environment which is more customer-oriented. A dedicated team has been set-up to oversee the implementation initiatives across the Group.

• Compliance functionThe Compliance Manager monitors issuance of regulatory requirements and directives. All new requirements/guidelines are communicated to all Senior Management team, Audit Committee and Board.

• Business / Marketing Plan and Budgeting processThe Group’s annual business /marketing plan and budget are submitted to the Board for approval.

• Financial ReportingManagement accounts/reports are tabled to the Board for review and discussion. The public release of quarterly reports is made after being reviewed by the Audit Committee and approved by the Board. On-going efforts are in place to address financial control issues or risks, which include strengthening the financial closing and reconciliation process.


• Sistem Teknologi MaklumatKumpulan mengakui bahawa IT adalah amat penting terhadap perniagaan dan ia telah memutuskan untuk menggantikan sistem sedia ada untuk memenuhi keperluan perniagaan semasa dan masa depan. Pelaksanaan sistem tersebut dijalankan secara berfasa. Satu Jawatankuasa Pemandu Projek telah ditugaskan untuk mengawasi pelaksanaan dengan bantuan seorang perunding.

KESIMPULAN

Walaupun terdapat kelemahan kawalan yang dikenal pasti dalam proses-proses perniagaan tertentu dalam Kumpulan, namun tiada sebarang kegagalan kawalan atau kelemahan ketara yang menyebabkan kerugian besar yang memerlukan pendedahan dalam laporan tahunan Kumpulan bagi tahun kewangan yang dikaji.

Penyata ini disediakan selaras dengan resolusi Lembaga Pengarah bertarikh 20 Oktober 2008.

• Information Technology SystemThe Group recognizes that IT is key to the business and it has decided to replace the existing systems to accommodate current and future business requirements. The system implementation is carried out on phase to phase basis. A Project Steering Committee is tasked to oversee the implementation with the assistance of a consultant.

CONCLUSION

Despite control weaknesses identified at certain business processes within the Group, there was no significant control failure or weakness that has resulted in material loss that requires disclosure in the Group’s annual report for the financial year under review.

This statement is made in accordance with the Board of Directors resolution dated 20 October 2008.



Balanced progress

Syarikat Takaful Malaysia Berhad l Laporan Tahunan 2008 Annual Report58 Syarikat Takaful Malaysia Berhad l Laporan Tahunan 2008 Annual Report58

Dengan Nama Allah Yang Maha Pemurah dan Maha Penyayang,Assalamualaikum Warahmatullahi Wabarakatuh dan Salam Sejahtera kepada ParaPemegang Saham,

Masa berlalu dengan begitu pantas dan tiba masanya sekali lagi untuk saya membentangkan Laporan Tahunan danPenyata Kewangan yang telah diaudit bagi tahun kewangan ke 23 yang berakhir pada 30 Jun 2008.

In the Name of Allah, the Most Compassionate, the Most Merciful,Assalamualaikum Warahmatullahi Wabarakatuh and Dear Shareholders,

The year passed fairly quickly and it is that time again for me to present the Annual Report and Audited FinancialStatements for the 23rd financial year ended 30 June 2008.


Penyata PengerusiChairman’s Statement

Dear Shareholders,

Once again, I come before you to present the Annual Report and Audited Financial Statements for the 23rd financial year ended 30 June 2008.

It has been a busy year full of challenges and rewards for Syarikat Takaful Malaysia Berhad, as the entire organization focused its efforts on laying the foundations for a modernized, leaner and more efficient company.

I am very pleased to report that we have achieved our objectives laid out in our previous annual report.

The most pressing issue was our infrastructural weaknesses that led to a number of operational inefficiencies. I am delighted to announce that we now have the situation well in hand so that such issues as the reconciliation of balances in the accounts are under control, enabling the company to move forward with confidence.

Furthermore, we are in the final stages of implementing the new Information Technology (IT) system, PREMIA, that had been announced last year. This new system will not only facilitate the management and marketing of our growing range of products, but will also enable faster and more efficient product development which will give us a competitive edge. We are confident that PREMIA is sophisticated and versatile to meet the demands of a rapidly evolving Islamic financial services industry.

Finally, I am pleased to report that Takaful Malaysia has the full complement of key staff members. The lack of key personnel had been an issue plaguing the Company in the past but now, with all hands on deck, we are well-poised to build on the foundations we have painstakingly laid this past year.

Now, we look forward to nurturing this progress to ensure that Takaful Malaysia’s transformation remains on track while overcoming the inevitable challenges of the coming year. At the same time, we will continue to strengthen our commitment to growing the Islamic financial industry.

Para Pemegang Saham Sekalian,

Sekali lagi, saya ingin membentangkan kepada anda sekalian Laporan Tahunan dan Penyata Kewangan Beraudit bagi tahun kewangan kedua puluh tiga berakhir pada 30 Jun 2008.

Tahun ini merupakan tahun yang mencabar dan menguntungkan bagi Syarikat Takaful Malaysia Berhad, kerana seluruh organisasi memfokuskan usahanya untuk membina asas ke arah melahirkan sebuah syarikat yang lebih moden, teguh dan cekap.

Saya dengan sukacita ingin melaporkan bahawa kita telah mencapai objektif yang ditetapkan di dalam laporan tahunan yang lepas.

Isu paling mendesak ialah kelemahan infrastruktur kita yang telah mendorong kepada beberapa kelemahan dari segi operasi. Saya amat berbesar hati ingin mengumumkan bahawa kita telah berjaya memperbaiki keadaan tersebut untuk membolehkan isu-isu seperti penyesuaian baki di dalam akaun boleh dikawal, untuk membolehkan syarikat terus bergerak maju dengan penuh yakin.

Selain itu, kita juga berada dalam peringkat akhir pelaksanaan sistem Teknologi Maklumat (IT) baru iaitu PREMIA, yang diumumkan pada tahun lepas. Sistem baru ini bukan sahaja akan memudahkan pihak pengurusan dan pemasaran produk kita yang semakin berkembang, malah ia juga akan membolehkan pembangunan produk dilakukan dengan lebih pantas dan cekap, yang seterusnya memberi kita kelebihan daya saing. Kami yakin bahawa PREMIA merupakan sistem yang canggih dan serba boleh bagi memenuhi permintaan terhadap industri perkhidmatan kewangan Islam yang berkembang dengan pantas.

Akhir sekali, saya dengan sukacita melaporkan bahawa Takaful Malaysia mempunyai kakitangan utama yang berwibawa. Kekurangan kakitangan utama merupakan satu isu yang membelenggu Syarikat ini pada masa lalu, tetapi kini kami benar-benar bersedia untuk mengukuhkan Syarikat di atas asas yang kami bina pada tahun lepas.

Kini, kami memandang ke hadapan untuk memupuk kemajuan ini bagi memastikan transformasi Takaful Malaysia kekal di atas landasan yang tepat dan pada masa yang sama mengatasi setiap cabaran pada tahun-tahun akan datang. Pada masa yang sama, kami akan terus mengukuhkan komitmen kami memajukan industri kewangan Islam.


TINJAUAN PRESTASI TAHUN INI

Tahun lepas menyaksikan ekonomi global mengalami keadaan yang tidak menentu. Krisis yang dicetuskan oleh pinjaman pajakan sub-prima di Amerika Syarikat (AS) telah mengejutkan negara di seluruh dunia. Krisis sub-prima ini mendedahkan kelemahan institusi kewangan AS yang disusuli oleh seluruh sektor kewangan negara-negara membangun. Akibatnya, ekonomi AS mengalami kemelesetan yang memberi kesan serius terhadap ekonomi dunia, khususnya Eropah dan negara-negara membangun. Tabung Kewangan Antarabangsa meramalkan ekonomi dunia tumbuh pada kadar 3.7% bagi tahun 2008, turun daripada 4.9% pada tahun 2007.

Pada masa yang sama, peningkatan permintaan daripada negara-negara membangun, khususnya China dan India, telah melonjakkan harga komoditi. Seperti juga negara-negara lain, Malaysia tidak terlepas daripada tekanan inflasi terhadap ekonomi berikutan lonjakan tinggi harga bahan api dan makanan.

Faktor ini mengurangkan volum perdagangan dunia, yang seterusnya menjejaskan industri insurans secara keseluruhan.

Ekonomi Malaysia pula telah berhadapan – dan terus berhadapan – dengan tempoh ujian selepas Pilihan Raya Umum pada 8 Mac 2008, berikutan perubahan persekitaran politik. Pada masa yang sama, pertumbuhan ekonomi merosot secara beransur-ansur disebabkan oleh peningkatan harga petroleum yang mendorong inflasi. Oleh kerana perniagaan dan individu turut terjejas oleh kemerosotan ini, kuasa membeli mereka juga menjadi amat terhad mengakibatkan ramai yang tinggal hanya dengan pendapatan saraan sahaja dan tiada lebihan untuk pelaburan. Sekali lagi, keadaan ini akan mengecilkan saiz pasaran industri insurans dalam negara, khususnya untuk produk-produk baru di samping kemungkinan tuntutan yang lebih tinggi.

Walaupun berhadapan dengan halangan di peringkat antarabangsa dan di dalam negara, industri kewangan Islam terus berkembang dan Malaysia berada pada landasan untuk menjadi pusat kewangan Islam. Sehingga kini, industri ini menjana aset berjumlah RM9.7 bilion dan kadar penembusan 7.2% , pertumbuhan tahunan purata aset dan sumbangan masing-masing pada kadar 27% dan �9% dari tahun 2003 hingga 2007. Industri ini mempunyai lapan syarikat takaful dan tiga pengendali takaful semula, dengan penyertaan luar negeri dari UK, Jerman, Belgium, Jepun dan Emiriah Arab Bersatu (UAE).

THE YEAR IN REVIEW

This past year has seen the global economy entering a period of great uncertainty. The crisis triggered by sub-prime mortgage lending in the United States (US) jolted economies around the world. The sub-prime crisis revealed profound weaknesses in the US financial institutions that have reverberated throughout the financial sectors of the developed world. As a result, the US economy has entered a recession, seriously affecting the global economy, in particular, Europe and the emerging economies. The International Monetary Fund forecasted a global growth of just 3.7% for 2008, down from 4.9% in 2007.

At the same time, increasing demand from emerging economies, in particular, China and India, have driven the prices of commodities sky high. Record-breaking fuel and food prices have placed incredible inflationary pressures on economies throughout the world, not just Malaysia.

These factors have had the effect of decreasing world trade volume, which in turn has had a detrimental impact on the insurance industry as a whole.

Within Malaysia, the economy faced – and continues to face – a period of testing after the General Elections on 8 March 2008, when the political landscape changed. At the same time, economic development gradually stalled due to the increase in petroleum prices which caused unprecedented inflation. As businesses and individuals were equally affected by the downturn, their spending power was severely curtailed leaving many with a subsistence income and nothing to spare for investment. Once again, this will leave the local insurance industry with a significantly smaller market, especially for new products, and greater potential for claims.

However, despite these international and domestic hurdles, the Islamic financial industry continues to flourish and Malaysia is on track towards becoming the centre of Islamic finance. To date, the industry boasts total assets worth RM9.7 billion and penetration rate of 7.2%, with an average annual growth rate in assets and net contributions of 27% and �9% respectively, from 2003 to 2007. The industry boasts eight takaful operators and three retakaful operators, with foreign participants from the UK, Germany, Belgium, Japan and United Arab Emirates (UAE).



While these developments bode well for the health of the industry, especially in these uncertain times, they present Takaful Malaysia with increased competition in addition to the competition posed by conventional insurers. However, despite the rapid growth and the huge untapped market, the takaful industry is still small relative to the conventional insurance industry. In order to be of greater significance and enjoy wider market acceptance, the industry will have to make more effort to educate the public and increase their awareness of takaful and its benefits.

Takaful Malaysia is in the process of girding itself to face this competition squarely by strengthening management, boosting staff commitment, and taking proactive and innovative steps in terms of product development and service quality.

NURTURING PROGRESS

The previous year saw Takaful Malaysia laying the foundations for future growth. This year, we focused on nurturing this growth.

Our strategy has always been to offer products that have wide appeal. As I mentioned earlier, our new comprehensive IT system has strengthened our management, marketing and product development capabilities. We have also infused the Company with new blood, talent and vision in all the key positions. These complementary strategic initiatives are critical to our continued growth as our priority is to innovate, developing new, relevant products and services that address the increasingly varied and sophisticated demands of the market.

Our growth strategy also requires us to face risk squarely either by managing it or seizing the opportunities it presents. To this end, we have strengthened our risk management capabilities by implementing Enterprise Risk Management (ERM). This is a timely move as many complex organizations are turning to ERM to understand and manage the broad spectrum of risks. ERM integrates concepts of strategic planning, operations management and internal control.


Walaupun ini merupakan perkembangan sihat kepada industri, khususnya dalam tempoh yang tidak menentu ini, ia menampilkan persaingan yang semakin hebat untuk Takaful Malaysia selain persaingan daripada syarikat insurans konvensional. Sungguhpun memperlihatkan pertumbuhan pesat dan mempunyai pasaran belum ditembusi yang sangat luas, namun industri takaful masih kecil berbanding dengan insurans konvensional. Untuk mencapai tahap kepentingan yang lebih ketara dan menikmati penerimaan pasaran yang lebih meluas, industri ini perlu berusaha dengan lebih gigih untuk mendidik orang ramai dan mempertingkatkan kesedaran mereka tentang takaful dan manfaatnya.

Takaful Malaysia sedang memperlengkapkan dirinya untuk menghadapi persaingan ini dengan memperkukuhkan pengurusan, mempertingkatkan komitmen kakitangan serta mengambil pelbagai langkah proaktif dan inovatif dari segi pembangunan produk dan juga kualiti perkhidmatan.

MEMUPUK KEMAJUAN

Pada tahun sebelumnya, Takaful Malaysia telah meletakkan asasnya untuk mencapai pertumbuhan masa depan. Pada tahun ini, kami memfokus untuk memupuk pertumbuhan.

Strategi kami sentiasa memberi penekanan untuk menawarkan produk yang menyediakan daya tarikan yang luas. Sepertimana yang saya sebut sebelum ini, sistem IT baru kami yang menyeluruh telah mengukuhkan keupayaan pengurusan, pemasaran dan pembangunan produk kami. Kami juga telah menyalurkan ke dalam Syarikat tenaga, bakat dan wawasan baru ke dalam semua jawatan penting. Inisiatif strategik saling melengkapi ini penting untuk memastikan pertumbuhan berterusan kami kerana kami mengutamakan penciptaan inovasi, pembangunan produk dan perkhidmatan baru yang relevan bagi memenuhi permintaan pasaran yang semakin pelbagai dan canggih.

Strategi pertumbuhan kami juga memerlukan kami menghadapi risiko secara berani sama ada dengan menanganinya atau merebut peluang yang tersedia. Sehubungan itu, kami telah mengukuhkan keupayaan pengurusan risiko kami dengan melaksanakan pengurusan risiko perniagaan (ERM). Ini merupakan satu langkah tepat kerana banyak organisasi kompleks beralih kepada ERM untuk memahami dan menangani spektrum risiko yang luas. ERM menyatukan konsep perancangan strategik, pengurusan operasi dan kawalan dalaman.


This year also saw Takaful Malaysia embarking on an exercise to right-size our operations. This exercise has enabled us to rationalize our branch network from �22 branches to 87 as at 30 September 2008. In doing so, we considered the ability of each branch to be self-financing. In future, more stringent criteria will be imposed to ensure that new branches are profit centres as well as effective ambassadors of the Takaful Malaysia brand.

The second part of the right-sizing strategy is to leverage on the BIMB Holdings’ group infrastructure to provide outlets for our products and services. To this end, we will be establishing Takaful counters in Bank Islam and Tabung Haji branches throughout Malaysia. It is a win-win situation for all parties concerned as our products will be accessible to a much wider audience, while both Bank Islam and Tabung Haji will be able to offer an expanded range of products. Most important of all, our customers will benefit from the increased accessibility of Takaful Malaysia products from more than 200 outlets throughout Malaysia.

We have also set in motion initiatives to inculcate a culture of accountability in the Company. We have initiated a revision of our Standard Operating Procedures (SOP) used in managing operations and risks. The SOP will not only provide operational guidelines for the entire organization but also a framework of conduct to boost staff motivation and professional commitment.

Our Human Resource Department has been extremely proactive over the past year. We have risen to the perennial challenges of retaining staff talent while attracting new talent to the Company.

This past year has also seen a review of the remuneration for branch managers. We have also embarked on an industry-wide salary structure survey, which is a benchmark study on the application of KPI to salary schemes. We hope this will lead to a work environment that encourages and rewards performance as well as self-improvement.

Overall, these initiatives have had a positive impact on morale and we have seen greater commitment at all levels.


Pada tahun ini juga Takaful Malaysia melancarkan langkah menepati saiz operasi kami. Langkah ini membolehkan kami merasionalisasi rangkaian cawangan kami daripada �22 cawangan kepada 87 cawangan pada 30 September 2008. Dengan berbuat demikian, kami turut menimbang kemampuan setiap cawangan untuk berdikari dari segi kewangan. Pada masa depan, kriteria yang lebih ketat akan dikenakan bagi memastikan cawangan baru menjadi pusat keuntungan serta duta berkesan jenama Takaful Malaysia.

Bahagian kedua strategi penentuan saiz tepat kami adalah untuk memanfaatkan infrastruktur kumpulan BIMB Holdings bagi menyediakan saluran kepada produk dan perkhidmatan kami. Bagi memenuhi matlamat ini, kami akan mewujudkan kaunter Takaful di cawangan Bank Islam dan Tabung Haji di seluruh Malaysia. Ia merupakan satu pendekatan yang memanfaatkan semua pihak terlibat kerana produk kami akan boleh diakses kepada lebih ramai audiens, sementara Bank Islam dan Tabung Haji pula akan mampu menawarkan pelbagai jenis produk. Pelanggan kami, khususnya akan mendapat manfaat daripada peningkatan akses produk Takaful Malaysia daripada lebih 200 saluran di seluruh Malaysia.

Kami juga telah menggerakkan inisiatif untuk memupuk budaya akauntabiliti dalam Syarikat. Kami telah memulakan penyemakan Prosedur Operasi Piawai (SOP) kami yang digunakan untuk mengendali operasi dan risiko. SOP bukan hanya akan menyediakan garis panduan operasi, malah rangka kerja perlakuan untuk mempertingkatkan motivasi kakitangan dan komitmen profesional.

Jabatan Sumber Manusia kami amat proaktif sepanjang tahun lepas. Kami telah mencapai puncak cabaran untuk mengekalkan bakat kakitangan serta pada masa yang sama menarik bakat baru ke dalam Syarikat.

Pada tahun lepas, ganjaran pengurus cawangan telah disemak semula. Kami juga telah melancarkan kaji selidik struktur gaji seluruh industri yang merupakan kajian ukur rujuk mengenai aplikasi KPI kepada skim gaji. Kami berharap ia akan merintis pengwujudan persekitaran kerja yang menggalakkan serta memberi ganjaran berdasarkan prestasi serta kemajuan diri.

Secara keseluruhan, semua inisiatif ini memberi kesan positif kepada semangat dan hasilnya kami mendapati komitmen di semua peringkat telah meningkat lebih tinggi.


GROUP FINANCIAL OVERVIEWGROUP PERFORMANCE

The Group continued to register favourable growth in performance for the financial year ended 30 June 2008. Total assets of the Group increased by �6% to RM4.0 billion as at the end of the financial year, compared to RM3.5 billion the previous year. Return on Shareholders’ Equity (Net ROE) slightly dropped to 7.3% financial year from 7.6% last year.

The growth emanated from the 6.�% increase in operating revenue to RM�,�2�.7 million, compared to RM�,057.0 million achieved in the last financial year. Increase in investment income of �8.�%, largely from Takaful Malaysia, has contributed to overall better profit performance this year. The improvement in gross contribution resulted from the realignment of strategy on non-profitable classes of Family Takaful by Takaful Malaysia, while on the other hand its Indonesian subsidiary, Syarikat Takaful Indonesia (Takaful Indonesia), experienced a two-fold increase in gross contribution.

Arising from the above, Profit Before Taxation (PBT) for the financial year ended 30 June 2008, significantly increased to RM33.8 million compared to RM2�.6 million in the previous financial year. This was achieved in spite of a RM20.3 million provision for impairment of asset held for sale made in respect of the subsidiary to be disposed, which had been accounted for in the group results. Excluding this provision, PBT would have been RM54.� million, doubling the achievement of the previous financial year.

The favourable performance was achieved on the back of higher transfer from General Takaful business and higher other operating income from wakalah fees earned largely by Takaful Indonesia. This helped to cushion the impact of higher other operating expenses of 45% (excluding provision for impairment of asset mentioned earlier). The management expenses however, reduced slightly by 2.2%.

Discontinued operation from Asean Retakaful International (L) Ltd (ARIL) which was in the process of disposal, incurred a loss after tax of RM0.94 million. This was a reduction in performance from profit after tax of RM5.84 million for the last financial year.


TINJAUAN KEWANGAN KUMPULANPRESTASI KUMPULAN

Kumpulan terus mencatatkan pertumbuhan prestasi yang menggalakkan pada tahun kewangan berakhir 30 Jun 2008. Jumlah aset Kumpulan meningkat sebanyak �6% kepada RM4.0 bilion pada akhir tahun kewangan ini berbanding RM3.5 bilion pada tahun sebelumnya. Pulangan atas Ekuiti Pemegang Saham (PEPS) bersih berkurangan sedikit kepada 7.3% pada tahun kewangan ini berbanding 7.6% pada tahun lepas.

Pertumbuhan terbit daripada peningkatan hasil operasi sebanyak 6.�% kepada RM�,�2�.7 juta, berbanding RM�,057.0 juta yang dicapai pada tahun kewangan sebelumnya. Peningkatan pendapatan pelaburan sebanyak �8.�%, sebahagian besarnya daripada Takaful Malaysia, mendorong peningkatan prestasi keseluruhan pada tahun ini. Peningkatan dalam sumbangan kasar yang disebabkan oleh penyusunan semula strategi pada kelas perniagaan Takaful Keluarga yang tidak menguntungkan oleh Takaful Malaysia, sementara syarikat subsidiarinya di Indonesia, Syarikat Takaful Indonesia (Takaful Indonesia), mencatatkan peningkatan dua kali ganda dalam sumbangan kasar.

Berdasarkan perkara di atas, Keuntungan Sebelum Cukai (KSC) bagi tahun kewangan berakhir 30 Jun 2008, meningkat dengan ketara kepada RM33.8 juta berbanding RM2�.6 juta pada tahun kewangan sebelumnya. Ia dicapai walaupun peruntukan sebanyak RM20.3 juta disediakan bagi kemerosotan nilai aset yang dipegang untuk jualan berkaitan syarikat subsidiari yang hendak dijual itu yang telah diambilkira dalam keputusan kumpulan. Jika tidak dimasukkan peruntukan ini, KSC yang dicapai mungkin berjumlah RM54.� juta, dua kali ganda daripada pencapaian pada tahun kewangan sebelumnya.

Prestasi menggalakkan yang dicapai melalui pindahan lebih tinggi daripada perniagaan Takaful Am dan pendapatan operasi lain yang lebih tinggi daripada yuran wakalah yang diperoleh sebahagian besar oleh Takaful Indonesia. Ini membantu membendung kesan perbelanjaan operasi lain yang lebih tinggi sebanyak 45% (tidak termasuk peruntukan bagi kemerosotan nilai aset yang disebut terdahulu). Namun, perbelanjaan pengurusan telah dikurangkan sebanyak 2.2%.

Pemberhentian operasi daripada Asean Retakaful International (L) Ltd (ARIL) yang sedang dalam proses penjualan menanggung kerugian selepas cukai sebanyak RM0.94 juta. Ini merupakan pengurangan prestasi daripada keuntungan selepas cukai sebanyak RM5.84 juta pada tahun kewangan sebelumnya.


COMPANY PERFORMANCE

For the financial year ended 30 June 2008, Takaful Malaysia recorded an Operating Revenue of RM927.7million, a slight improvement of �.6% compared to the previous financial year. This mainly resulted from the realignment of strategy on non-profitable classes of General Takaful business, resulting in gross contribution from the General Takaful business declining by 36.9% amidst a more intense competition from both takaful and conventional insurance players.

On the other hand, the Family Takaful business recorded a growth of �2.6%, mainly attributed to the newly launched Investment-Linked Product (ILP), Takaful myAl-Afdhal which accounted for RM90.2 million in contribution income. As Takaful Malaysia’s first ILP, the fund provided the cheer in an overall subdued top-line performance in gross contribution, as more focus was put on consolidating and strengthening our longer term position with respect to reviewing our product mix, infrastructure building and business process re-engineering.

The investment activities of Takaful Malaysia have shown significant improvement as compared to the last financial year. As a result of improved strategic and tactical asset allocation adopted during the year, total investment income for Shareholders’ Fund grew by ��7.0% to RM�3.5 million. Overall net investment yield increased by �23 points compared to the previous year.

This helped to mitigate the overall shortfall in operating revenue. Across all funds, i.e. Family, General and Shareholders’ Fund, the significant improvement in investment income can be seen from three major asset classes, i.e. equity, Islamic bonds and property. The equity portfolio recorded a marked improvement, registering an increase in net investment income of 86% to RM38.9 million from RM20.9 million year-on-year, where the realized return rose �9.6% compared to �0.3% in the previous year. Similarly, net income from Islamic bonds rose 23% to RM74.3 million, registering an investment yield of 6.8%, an improvement by 38 basis points as compared to the last financial year. Income from property doubled from the previous financial year, driven by an encouraging property market, enabling the increase in market value to be recognized as income under fair value accounting. This translated into an increase in overall return on investment properties to ��.0% from 4.8% year-on-year.


PRESTASI SYARIKAT

Pada tahun kewangan berakhir 30 Jun 2008, Takaful Malaysia mencatatkan Hasil Operasi sebanyak RM927.7 juta, meningkat sedikit �.6% berbanding pencapaian pada tahun sebelumnya. Ini disebabkan terutamanya oleh penjajaran semula strategi kelas perniagaan bukan Takaful Am yang tidak menguntungkan, menyebabkan sumbangan kasar perniagaan Takaful Am susut sebanyak 36.9% kerana persaingan yang bertambah hebat daripada para pesaing takaful dan insurans konvensional.

Sementara itu, Takaful Keluarga mencatatkan pertumbuhan sebanyak �2.6%, disebabkan terutamanya produk berkaitan pelaburan (ILP) yang baru dilancarkan, Takaful myAl-Afdhal yang menyumbang RM90.2 juta pendapatan. Sebagai ILP pertama Takaful Malaysia, dana ini memberikan keceriaan kepada sumbangan kasar produk berprestasi tinggi yang lembab kerana tumpuan lebih luas akan diberikan untuk menyatu dan mengukuh kedudukan jangka panjang kami yang melibatkan penyemakan semula campuran produk kami, pembinaan infrastruktur dan penyusunan semula proses perniagaan.

Aktiviti pelaburan Takaful Malaysia menunjukkan peningkatan ketara berbanding pada tahun kewangan sebelumnya. Berikutan peruntukan aset strategik dan taktikal bertambah baik yang diamalkan pada tahun ini, jumlah pendapatan pelaburan Kumpulan Wang Pemegang Saham melonjak ��7.0% kepada RM�3.5 juta. Secara keseluruhan, hasil pelaburan bersih tumbuh sebanyak �23 mata berbanding pada tahun sebelumnya.

Ini membantu mengurangkan keseluruhan kekurangan hasil operasi yang dialami. Di antara kumpulan wang seperti Keluarga, Am dan Pemegang Saham, peningkatan ketara dalam pendapatan pelaburan boleh dilihat daripada tiga kelas aset utama, iaitu ekuiti, bon Islam dan hartanah. Portfolio ekuiti mencatatkan peningkatan ketara, merekodkan pertambahan pendapatan pelaburan bersih sebanyak 86% kepada RM38.9 juta, daripada RM20.9 juta mengikut perbandingan dari tahun ke tahun, di mana pulangan direalisasi meningkat �9.6% berbanding dengan �0.3% pada tahun sebelumnya. Pada masa yang sama, pendapatan bersih daripada bon Islam meningkat 23% kepada RM74.3 juta, mencatatkan hasil pelaburan 6.8%. Ia merupakan peningkatan sebanyak 38 mata asas berbanding pada tahun kewangan sebelumnya. Pendapatan daripada hartanah meningkat sekali ganda berbanding pada tahun kewangan sebelumnya, disebabkan oleh pasaran hartanah yang menggalakkan, membolehkan pertambahan sekali ganda nilai pasaran yang diiktiraf sebagai pendapatan di bawah perakaunan saksama. Ini menggambarkan pertambahan pulangan keseluruhan ke atas hartanah pelaburan kepada ��.0% berbanding 4.8% mengikut perbandingan dari tahun ke tahun.


Profit Before Taxation (PBT) of Takaful Malaysia surged to RM42.6 million, registering a significant growth of �97% or RM28.2 million against RM�4.4 million achieved in the previous financial year. The increase in PBT was mainly attributed to investment income from Shareholders’ Fund which is more than �00% increase than that of last year, higher transfer from the General Takaful Fund as well as new wakalah fees from the Family Fund. On the expense side, management expenses were contained at the previous year’s level. The other operating expenses increased by 23.6% as a result of the diminution in value of investment in ARIL of RM8.5 million. Excluding this provision, PBT from normal operations would have recorded RM5�.� million, the highest ever in the history of Takaful Malaysia.

In tandem with the realignment strategy to move out of non-profitable classes, the General Takaful business performed favourably during the financial year. Furthermore, measures taken to improve productivity and operational efficiency had resulted in lower net claims incurred and bad debt expense by 40.�% and 70.6% respectively. In addition, a 45.4% higher net investment income contributed to the higher transfer to Shareholders’ Funds by 56% to RM59.9 million from RM38.4 million last year.

General Takaful participants’ share of profit for the year also reported a significant increase, registering RM35.8 million from a loss of RM�6.2 million last year. This turnaround had enabled Takaful Malaysia to pay mudharabah to eligible participants, beginning April 2007.

The Family Takaful business was maintained at about the same level as the previous year, recording a decrease of 5.0% in transfers to Shareholders’ Fund.

OPERATIONAL HIGHLIGHTS

The successful launch of our first Investment-Linked Product, Takaful myAl-Afdhal had contributed RM90.2 million to the top-line growth of Takaful Malaysia, within just 45 days. This encouraging response indicated the level of confidence and trust shown by the investing public towards Takaful Malaysia’s capital protected investment product that offers upside potential, with embedded Takaful protection.

We achieved another major milestone in our core system implementation with the successful launch of the new PREMIA


Keuntungan Sebelum Cukai (KSC) Takaful Malaysia melonjak kepada RM42.6 juta, mencatatkan pertumbuhan ketara �97% atau RM28.2 juta berbanding RM�4.4 juta yang dicapai pada tahun kewangan sebelumnya. Pertambahan KSC adalah disebabkan terutamanya oleh pendapatan pelaburan daripada Dana Pemegang Saham yang meningkat lebih �00% daripada pencapaian tahun lepas, pindahan lebih tinggi daripada Dana Takaful Am serta yuran wakalah baru daipada Dana Keluarga. Bagi perbelanjaan pula, lain-lain perbelanjaan operasi telah meningkat 23.6% berikutan penurunan nilai pelaburan ARIL berjumlah RM8.5 juta. Jika tidak dimasukkan peruntukan ini, KSC daripada operasi biasa yang dicatatkan adalah berjumlah RM5�.� juta, paling tinggi pernah dicatat dalam sejarah Takaful Malaysia.

Selaras dengan penjajaran semula strategi untuk memindahkan kelas tidak menguntungkan, perniagaan Takaful Am mencatatkan prestasi menggalakkan pada tahun kewangan ini. Di samping itu, beberapa langkah yang diambil untuk mempertingkatkan tahap produktiviti dan kecekapan operasi telah mengakibatkan pengurangan 40.�% dalam perbelanjaan tuntutan bersih yang ditanggung dan 70.6% bagi perbelanjaan hutang lapuk. Selain itu, peningkatan 45.4% pendapatan pelaburan bersih menyumbangkan pertambahan dalam pindahan kepada Dana Pemegang Saham sebanyak 56% kepada RM59.9 juta berbanding RM38.4 juta pada tahun lepas.

Bahagian keuntungan peserta Takaful Am pada tahun ini juga melaporkan pertambahan ketara dengan mencatatkan keuntungan berjumlah RM35.8 juta berbanding kerugian RM�6.2 juta pada tahun lepas. Pemulihan ini membolehkan Takaful Malaysia membayar mudharabah kepada para peserta layak, mulai bulan April 2007.

Perniagaan Takaful Keluarga mampu dikekalkan pada paras yang hampir sama pada tahun sebelumnya, dengan mencatatkan pengurangan kecil sebanyak 5.0% dalam pindahan kepada Dana Pemegang Saham.

MAKLUMAT OPERASI

Kejayaan pelancaran produk berkaitan pelaburan pertama kami, Takaful myAl-Afdhal menyumbang sebanyak RM90.2 juta kepada pertumbuhan top-line Takaful Malaysia, dalam tempoh hanya 45 hari sahaja. Sambutan menggalakkan ini menunjukkan pelabur awam yakin dan percaya terhadap produk pelaburan lindung modal Takaful Malaysia yang menawarkan potensi lebih tinggi nilainya di mana ia disertakan dengan perlindungan Takaful.

Kami mencatat satu lagi pencapaian penting dalam pelaksanaan sistem teras kami berikutan kejayaan pelancaran Sistem Takaful


Takaful System for General Takaful business in December 2007. For Family Takaful, PREMIA was ready at the onset of Takaful myAl-Afdhal’s launch. It also caters for the new MRTA scheme for government servants, the enhanced Group Family Takaful Plan and the revised Group Takaful Ma’asyi.

In addition to the branch consolidation exercise which includes leveraging on the BIMB Group synergy, our marketing efforts included the enhancement of Bancatakaful model with Bank Islam and the refinement of our sales and distribution channels for both corporate agency network and retail. We also improved customer service delivery and implemented customer enrichment programs. These strategies complemented the structured marketing strategy as well as the re-activation of mudharabah payment, in line with better profitability. Among the enhancement of operational processes that contributed to improved service delivery were centralization of underwriting and certificates issuance as well as outsourcing of certificates printing for General Takaful.

Syarikat Takaful Malaysia Group is undergoing a restructuring, with the proposed divestment of its equity participation in Asean Retakaful International (L) Ltd (ARIL). The divestment of ARIL is in line with the reorientation of Takaful Malaysia’s positioning to focus on direct Takaful business and the fact that involvement in Retakaful business via a subsidiary is not strategically effective. The proposal is currently at negotiation stage with potential buyers, and the timeline for completion is subject to ARIL’s shareholders’ and regulatory approvals. The appropriate announcement to Bursa Malaysia will be made in due course upon signing of the sale and purchase agreement.

REVIEW OF SUBSIDIARY – SYARIKAT TAKAFUL INDONESIA GROUP

Despite some turbulence in the Indonesian market last year, the economy remained buoyant for the whole of 2007. The economic growth was recorded at 6.30% and although the inflation rate soared to 6.59%, the exchange rate of Rupiah remained steady at the end of 2007 at IDR9,4�9 against US$�.

However, the first half of 2008 saw some dramatic shifts in the economy when the government decided to increase the oil price in line with the global price hike. The Indonesian economic growth subsequently declined by 0.4% while the inflation rate increased to 7.4%.


PREMIA yang baru untuk perniagaan Takaful Am pada bulan Disember 2007. Bagi Takaful Keluarga pula, PREMIA telah bersedia sejak pelancaran Takaful myAl-Afdhal lagi. Ia turut menyediakan MRTA baru untuk kakitangan kerajaan, iaitu Pelan Takaful Keluarga Kumpulan yang dipertingkatkan serta Takaful Ma’asyi Kumpulan yang disemak semula.

Di samping langkah penyatuan cawangan yang memanfaatkan sinergi Kumpulan BIMB, usaha pemasaran kami termasuk peningkatan model Bancatakaful dengan Bank Islam serta penambahbaikan saluran jualan dan pengedaran kami untuk rangkaian agensi korporat dan runcit. Kami juga telah menambahbaik penyampaian perkhidmatan pelanggan serta melaksanakan pelbagai program pengukuhan nilai pelanggan. Semua strategi ini melengkapi strategi pemasaran berstruktur serta mengaktifkan semula pembayaran mudharabah, selaras dengan tahap keuntungan yang lebih baik. Antara peningkatan proses operasi yang telah menyumbang kepada penyampaian perkhidmatan yang bertambah baik adalah pemusatan pengunderaitan dan pengeluaran sijil serta pencarian sumber luar percetakan sijil untuk Takaful Am.

Kumpulan Syarikat Takaful Malaysia sedang menjalani penyusunan semula berikutan cadangan penjualan pelaburan penyertaan ekuiti dalam Asean Retakaful International (L) Ltd (ARIL). Penjualan pelaburan ARIL ini adalah selaras dengan orientasi semula penampilan imej Takaful Malaysia untuk memfokus kepada perniagaan Takaful secara langsung dan penglibatan ke dalam perniagaan Retakaful melalui sebuah syarikat subsidiari secara strategik sebenarnya adalah tidak berkesan. Kini, cadangan tersebut adalah dalam peringkat rundingan dengan para pembeli potensi dan jangka waktu penyelesaiannya adalah tertakluk kepada kelulusan para pemegang saham ARIL dan pihak berkuasa. Pengumuman sewajarnya kepada Bursa Malaysia akan dilakukan selepas menandatangani perjanjian jual beli.

TINJAUAN SYARIKAT SUBSIDIARI – KUMPULAN SYARIKATTAKAFUL INDONESIA

Walaupun dilanda pergolakan di pasaran Indonesia pada tahun lepas, namun ekonomi kekal cergas bagi keseluruhan tahun 2007. Pertumbuhan ekonomi 6.30% berjaya dicapai dan walaupun kadar inflasi melambung kepada 6.59%, namun kadar pertukaran Rupiah kekal mantap pada akhir tahun 2007 iaitu pada kadar IDR9,4�9 berbanding US$�.

Walau bagaimanapun, peralihan ketara pergerakan ekonomi berlaku pada tempoh setengah tahun pertama 2008 apabila kerajaan memutuskan untuk menaikkan harga minyak selaras dengan kenaikan harga minyak global. Ini menyebabkan pertumbuhan ekonomi Indonesia susut sebanyak 0.4% selepas itu, sementara kadar inflasi meningkat kepada 7.4%.


Despite the economic uncertainty, the Shariah insurance industry continued to remain competitive. Takaful Indonesia, being the biggest Shariah insurance group, also remained resilient in the face of an ever-challenging market. At the end of June 2008, Takaful Indonesia was able to record an impressive revenue of IDR459.87 billion, an increase of 46.7% from IDR3�3.4� billion in revenue recorded the previous year.

The growth of Takaful Indonesia is also attributed to the strong performances of its two subsidiary companies, PT Asuransi Takaful Keluarga (ATK), which is involved in Family Takaful, and PT Asuransi Takaful Umum (ATU), which is involved in General Takaful business. ATK’s gross contribution increased significantly by 54.3% this year, recording IDR3�2.65 billion in revenue as compared to IDR202.63 billion last year. Meanwhile, ATU recorded an increase of 38.8% in revenue, from IDR8�.�3 billion in 2007 to IDR��2.60 billion in 2008. Investment income decreased by 2.4% to IDR�.04 billion compared to IDR�.07 billion previously.

These achievements are attributable to several measures taken by Takaful Indonesia, namely the internal strategies which complemented the development of the Shariah market. Takaful Indonesia continuously engages in product innovation and ceaselessly provides excellent services to meet the increased complexity of customer demands. In its effort to capture increased market share, the company remains creative in offering products that are both Shariah-compliant and attractive. These include revitalizing its existing star products such as Takaful Baituna, Takaful Abror, Takafulink and other well-received products.

In addition, Takaful Indonesia also ventured into alternative distribution channels to cater to the wider market and customer reach. It continued to expand market network by increasing the number of agents while simultaneously developing collaboration with other business partners through product co-branding such as banks, religious bodies, state-owned postal service, telecommunication companies, etc.

Recognizing the importance of human capital as the biggest and most important asset of the company, Takaful Indonesia undertakes a series of integrated and intensive training to further develop its human capital professionalism. A special marketing team, the MDRT (Million Dollar Round Table) has been trained on ways to handle potential customers and, as a result, in 2008 ATK registered two more new agents as members of the


Sungguhpun dilanda keadaan ekonomi tidak menentu, industri insurans Syariah terus kekal berdaya saing. Takaful Indonesia, yang merupakan kumpulan insurans Syariah terbesar juga kekal mantap walaupun berhadapan dengan keadaan pasaran yang sentiasa mencabar. Pada akhir Jun 2008, Takaful Indonesia mampu merekodkan hasil mengkagumkan sebanyak IDR459.87 bilion, peningkatan sebanyak 46.7% berbanding IDR3�3.4� bilion yang dicapai pada tahun sebelumnya.

PertumbuhanTakaful Indonesia juga disebabkan oleh keteguhan prestasi dua syarikat subsidiarinya, PT Asuransi Takaful Keluarga (ATK), yang terlibat dalam perniagaan Takaful Keluarga dan PT Asuransi Takaful Umum (ATU), yang terlibat dalam perniagaan Takaful Am. Sumbangan kasar ATK meningkat dengan ketara iaitu 54.3% pada tahun ini, mencatatkan hasil sebanyak IDR3�2.65 bilion pada tahun ini berbanding IDR202.63 bilion pada tahun lepas. Sementara itu, ATU mencatatkan peningkatan hasil sebanyak 38.8%, daripada IDR8�.�3 bilion pada tahun 2007 kepada IDR��2.60 bilion pada tahun 2008. Pendapatan pelaburan juga menurun sebanyak 2.4% kepada IDR35.68 bilion berbanding IDR�.07 bilion sebelumnya.

Pencapaian ini berjaya dicatatkan hasil beberapa langkah yang diambil oleh Takaful Indonesia, iaitu strategi yang saling melengkapi pembangunan pasaran Syariah. Takaful Indonesia menjalankan usaha berterusan dalam inovasi produk dan sentiasa menyediakan perkhidmatan yang cemerlang bagi memenuhi permintaan pelanggan yang semakin kompleks. Dalam usahanya untuk meluaskan lagi bahagian pasaran, syarikat kekal kreatif menawarkan pelbagai produk yang mematuhi hukum Syariah dan menarik. Ini termasuk memberi nafas baru kepada produknya yang bertaraf bintang seperti Takaful Baituna, Takaful Abror, Takafulink dan pelbagai produk lain yang mendapat sambutan baik.

Selain itu, Takaful Indonesia juga telah memasuki beberapa saluran pengedaran alternatif untuk mencapai tahap liputan pasaran dan pelanggan yang lebih luas. Ia meneruskan usaha meluaskan rangkaian pasarannya dengan meningkatkan bilangan ejen sementara pada masa yang sama, membangunkan permuafakatan dengan beberapa rakan perniagaan lain melalui penjenamaan bersama seperti bank, badan agama, perkhidmatan pos milik negara, syarikat telekomunikasi dan lain-lain.

Menyedari tentang kepentingan modal insan sebagai aset syarikat yang terbesar dan paling penting,Takaful Indonesia menjalankan latihan bersepadu dan intensif untuk mempertingkatkan lagi tahap profesionalisma modal insannya. Pasukan pemasaran khasnya, MDRT (Million Dollar Round Table) telah dilatih mengenai cara-cara untuk mengendali pelanggan potensi dan ini membolehkan ATK 2008 mencatatkan


MDRT Club, an internationally recognized body, based on their outstanding achievement in gross contributions.

Takaful Indonesia’s contributions to the development of the Shariah insurance and to the growth of the overall Indonesian insurance industry as a whole, has certainly not gone unnoticed. Its excellent performance was aptly recognized by the industry, reflected by the many awards Takaful Indonesia received in 2008. Among the awards are “The Best Shariah Insurance” with asset of 50-�00 billion, for ATK from Infobank Magazine, two awards from Karim Business Consulting, “Top of Mind Islamic Life Insurance” for ATK and “Top of Mind Islamic General Insurance” for ATU. Insurance Media also awarded ATK the 3rd Best Life Insurance and ATU as the 2nd Best General Insurance.

Moving forward, Takaful Indonesia has planned strategic initiatives to further boost the synergy between family and general takaful in order to aggressively penetrate the market. The IT systems will be standardized and enhanced by developing a new core system, which will be in line with Takaful Indonesia’s future business expansion. Business organization will be simplified so as to support the company’s Enterprise Cost Reduction (ECR) program. We are confident that this will bring us to greater heights as we continue to lead the way in the Shariah insurance industry in Indonesia.

SHARIAH ACTIVITIES

The year witnessed a dramatic change in product development with a new product launch, myAl-Afdhal and numerous enhancements on existing products. Our Shariah team played a crucial and active role in support of our product development activities, in reviewing various contracts, agreements/Aqads and provided Shariah advisory and consultation. As custodians of our Zakat funds, Corporate Social Responsibility (CSR) remains a primary function for our Shariah team.

CORPORATE SOCIAL RESPONSIBILITY (CSR)

As a government-linked company (GLC), Takaful Malaysia is committed to the Corporate Social Responsibility (CSR) objectives outlined in the Silver Book, which is a set of principles and guidelines to be implemented by GLCs so they can proactively contribute to society while still creating value for their shareholders. In line with the Silver Book, we endeavour to contribute to society in the most efficient and


dua lagi ejen baru sebagai ahli Kelab MDRT, sebuah badan yang diiktiraf di peringkat antarabangsa, berasaskan kepada pencapaian luarbiasa dalam sumbangan kasar.

Sumbangan Takaful Indonesia kepada pembangunan insurans Syariah serta pertumbuhan keseluruhan industri insurans Indonesia, telah mendapat perhatian. Prestasi cemerlangnya mendapat pengiktirafan industri seperti yang digambarkan melalui pelbagai anugerah Takaful Indonesia yang diterima pada tahun 2008. Antara anugerah tersebut termasuk “Insurans Syariah Terbaik” dengan aset berjumlah 50-�00 bilion, bagi ATK daripada Infobank Magazine, dua anugerah daripada Karim Business Consulting, “Insurans Hayat Islam Paling Utama Dalam Ingatan” bagi ATK dan “Insurans Am Islam Paling Utama Dalam Ingatan” bagi ATU. Insurance Media turut memberikan kami anugerah Insurans Hayat Ketiga Terbaik ATK dan Insurans Am Kedua Terbaik ATU.

Sebagai langkah menuju ke hadapan, Takaful Indonesia telah merancang beberapa inisiatif strategik untuk mempertingkatkan lagi sinergi antara takaful keluarga dan am untuk menembusi pasaran secara agresif. Sistem IT akan diseragamkan dan dipertingkatkan dengan membangunkan sebuah sistem teras baru yang akan selaras dengan peluasan perniagaan masa depan Takaful Indonesia. Organisasi perniagaan akan dipermudah supaya dapat menyokong program Pengurangan Kos Perniagaan (ECR) syarikat. Kami yakin bahawa ini akan melonjakkan kedudukan kami dalam usaha berterusan kami mempelopori industri insurans Syariah di Indonesia.

AKTIVITI Syariah

Tahun ini menampilkan perubahan ketara dalam pembangunan produk yang melibatkan pelancaran produk baru, myAl- Afdhal dan beberapa peningkatan ke atas produk sedia ada. Pasukan kerja Syariah kami memainkan peranan penting dan aktif bagi menyokong pelbagai aktiviti pembangunan produk untuk menyemak pelbagai kontrak, perjanjian/Aqad serta menyediakan khidmat nasihat dan rundingan. Sebagai penjaga tabung Zakat, Tanggungjawab Sosial Korporat (CSR) kekal sebagai fungsi utama pasukan Syariah kami.

TANGGUNGJAWAB SOSIAL KORPORAT (CSR)

Sebagai sebuah syarikat berkaitan kerajaan (GLC), Takaful Malaysia komited terhadap objektif tanggungjawab sosial korporat (CSR) sepertimana yang digariskan dalam Buku Perak, iaitu prinsip dan garis panduan yang akan dilaksanakan oleh GLC supaya mereka boleh menyumbang secara proaktif kepada masyarakat dan pada masa yang sama, menerbitkan nilai untuk para pemegang saham mereka. Selaras dengan keperluan Buku Perak, kami bertekad untuk menyumbang kepada masyarakat


effective manner, in line with industry norms and best practices as well as the relevant regulatory framework.

Takaful Malaysia is an active participant in the PINTAR primary school adoption programme driven by Khazanah Malaysia, involving GLCs. Under the PINTAR pilot programme, we adopted Sekolah Rendah Permatang Binjai in Kepala Batas, Pulau Pinang in 2007, undertaking to provide financial and other forms of assistance to upgrade the school’s academic performance. To date, Takaful Malaysia has sponsored the purchase of exercise books for Year 4, 5, and 6 students. We have also organized a motivational programme for the students, focusing on those who are sitting for the UPSR examinations. Overall, the PINTAR programme involving primary schools in Penang has yielded some outstanding results. We hope to be able to build on this educational foundation to benefit the pupils of the school in the long term.

As a takaful operator, we contributed to charitable organizations and causes from the zakat funds. In 2008, we contributed to selected orphanages in Wilayah Persekutuan Kuala Lumpur, Perak, Selangor and Terengganu as well as underprivileged students at specific schools. In June 2008, Takaful Malaysia contributed a total of RM�9,000 to 38 “asnaf”, under the patronage of Mini Baitulmal, Hulu Langat, Selangor during a zakat payment ceremony.

We also provided assistance to flood victims in Johor and Pahang. Families of the affected villages in Johor received RM500 each from the company’s zakat funds. In Pahang, Takaful Malaysia donated 600 boxes full of basic necessities that include sugar, rice, canned food and others.

FUTURE OUTLOOK

Takaful Malaysia intends to recapture the leadership position in the Islamic insurance market in the next financial year. Over the next three to four months, we plan to revamp our product portfolio by introducing new takaful products including new medical and critical illness plans, a new educational plan and a reducing term takaful plan. In addition, having obtained Bank Negara Malaysia’s approval for the establishment of an International Currency Business Unit (ICBU), the Company will be exploring opportunities to introduce relevant products in relation to ICBU.


dengan cara yang paling cekap dan berkesan, sejajar dengan norma industri dan amalan terbaik serta rangka kerja pihak berkuasa berkaitan.

Takaful Malaysia adalah peserta aktif dalam program sekolah rendah angkat PINTAR yang diterajui oleh Khazanah Malaysia, melibatkan beberapa GLC. Di bawah program perintis PINTAR, kami mengambil Sekolah Rendah Permatang Binjai di Kepala Batas, Pulau Pinang sebagai sekolah angkat pada tahun 2007, bagi menjalankan tanggungjawab menyediakan bantuan kewangan dan pelbagai bantuan lain untuk mempertingkatkan tahap prestasi akademik sekolah tersebut. Sehingga kini, Takaful Malaysia telah menaja pembelian buku latihan untuk pelajar Tahun 4, 5 dan 6. Kami turut menganjur sebuah program motivasi untuk para pelajar tersebut dengan memfokus kepada para pelajar yang menduduki peperiksaan UPSR. Secara keseluruhan, program PINTAR yang melibatkan beberapa sekolah rendah di Pulau Pinang telah menampilkan hasil yang luarbiasa. Kami berharap akan dapat membina asas daripada program pendidikan ini yang akan memanfaatkan pelajar tersebut dalam jangkamasa panjang.

Sebagai sebuah syarikat pengendali takaful, kami menyumbang kepada pelbagai organisasi kebajikan dan untuk pelbagai amalan kebajikan daripada tabung zakat kami. Pada tahun 2008, kami menyumbang kepada beberapa rumah anak-anak yatim terpilih di Wilayah Persekutuan Kuala Lumpur, Perak, Selangor dan Terengganu serta menyumbang kepada pelajar yang kurang bernasib baik di beberapa sekolah khusus. Pada bulan Jun 2008,Takaful Malaysia menyumbang sejumlah RM�9, 000 kepada 38 asnaf, di bawah naungan Mini Baitulmal, Hulu Langat, Selangor di satu majlis pembayaran zakat.

Kami turut menghulurkan bantuan kepada mangsa banjir di Johor dan Pahang. Keluarga di beberapa kampung yang terjejas di Johor menerima RM500 setiap keluarga melalui tabung zakat syarikat. Di Pahang, Takaful Malaysia menderma 600 kotak yang berisi pelbagai keperluan asas, termasuk gula, beras, makanan dalam tin dan lain-lain.

SUASANA MASA DEPAN

Takaful Malaysia bertekad untuk mendapatkan semula kedudukan sebagai peneraju di pasaran insurans Islam pada tahun kewangan akan datang. Sepanjang tempoh tiga hingga empat bulan, kami merancang untuk mengubahsuai portfolio produk kami dengan memperkenalkan beberapa produk takaful baru termasuk pelan perubatan dan penyakit kritikal baru, pelan pendidikan baru serta pelan takaful terma semakin berkurangan. Di samping itu, selepas berjaya mendapatkan kelulusan Bank Negara Malaysia bagi penubuhan Unit Perniagaan Matawang Antarabangsa (ICBU), Syarikat akan


Our commitment to increasing the quality of our service delivery will play a major role in expanding our market share. In this regard, the on-going PREMIA Takaful System implementation will be completed in the next financial year, culminating with the migration of Family Takaful portfolio from the existing system. The move to outsource the IT infrastructure as well as implement quality IT solutions will further improve efficiency and will go a long way towards enhancing our responsiveness to all our customers’ needs.

We are also embarking on a re-branding exercise to reposition Takaful Malaysia as an aggressive and competitive yet customer-centric takaful operator within the financial services industry. This new positioning will be reflective of our refreshed, revitalized culture and will be communicated via a new, vibrant brand identity.

In conclusion, I would like to reiterate our commitments. Takaful Malaysia will continue to explore ways to nurture its growth and progress for the benefit of its shareholders, customers and employees. Key to this will be the strengthening of the Company’s capital base in order to stay competitive domestically while extending our operations internationally.

We are also focused on creating an environment that nurtures win-win situations with related companies. By identifying potentially symbiotic relations within the BIMB Holdings Group, we hope to embark on “joint ventures” that will benefit both parties.

Takaful Malaysia is exploring the potential of forming strategic alliances with international operators in order to reap the benefits of their expertise and experience. We are very excited about the possibilities of linkages with other Shariah-based financial organizations.

Finally, we will continue to be mindful of our responsibilities as one of Malaysia’s leading Takaful operators. We are committed to establishing Kuala Lumpur as the centre for Islamic financing and insurance.

DIVIDEND

I am pleased to report that as approved by Bank Negara Malaysia, the Directors declared an interim dividend of 3.5% less tax totaling RM4,�63,399 in respect of the financial year


meneroka pelbagai peluang untuk memperkenalkan beberapa produk berkaitan dengan ICBU.

Komitmen kami untuk meningkatkan taraf kualiti penyampaian perkhidmatan kami akan memainkan peranan utama untuk meluaskan pasaran kami. Sehubungan itu, pelaksanaan Sistem Takaful PREMIA akan disiapkan pada tahun kewangan akan datang yang akan menyaksikan perpindahan portfolio Takaful Keluarga daripada sistem sedia ada. Langkah mencari sumber infrastruktur IT di luar serta melaksana penyelesaian IT berkualiti akan menambahbaik lagi tahap kecekapan dan adalah selaras dengan matlamat kami ke arah mempertingkatkan lagi daya tindak balas kami kepada semua keperluan pelanggan kami.

Kami juga sedang melancarkan langkah penjenamaan semula untuk menampil semula Takaful Malaysia sebagai sebuah pengendali takaful yang agresif dan berdaya saing dalam industri perkhidmatan kewangan, namun tertumpu kepada keperluan pelanggan. Penampilan semula baru ini akan menggambarkan budaya kami yang lebih segar, bernafas baru dan akan disebarkan melalui pengenalan sebuah identity jenama baru yang lebih cergas.

Sebagai kesimpulan, saya ingin menegaskan sekali lagi tentang komitmen kami. Takaful Malaysia akan terus meneroka pelbagai cara untuk memupuk pertumbuhan dan kemajuannya untuk manfaat para pemegang saham, pelanggan dan kakitangan. Perkara penting yang harus dilaksanakan untuk mencapai matlamat tersebut adalah dengan mengukuhkan asas modal syarikat supaya kami dapat menjadi lebih berdaya saing di peringkat domestik sambil pada masa yang sama, meluaskan operasi kami di peringkat antarabangsa.

Kami turut memberikan tumpuan untuk mewujudkan sebuah persekitaran yang memupuk situasi menang-menang dengan syarikat-syarikat berkaitan. Dengan mengenalpasti hubungan simbiotik yang berpotensi dalam Kumpulan BIMB Holdings, kami berharap untuk melancarkan beberapa “usahasama” yang akan memanfaatkan kedua-dua pihak.

Takaful Malaysia sedang meneroka potensi untuk menubuhkan permuafakatan strategik dengan beberapa pengendali antarabangsa supaya kami dapat menikmati manfaat kepakaran dan pengalaman yang mereka miliki. Kami amat teruja dengan pelbagai kemungkinan untuk mewujudkan rantaian dengan pelbagai organisasi kewangan berasaskan Syariah yang lain.

Akhir sekali, kami akan terus memberi perhatian terhadap tanggungjawab kami sebagai salah sebuah pengendali Takaful terkemuka di Malaysia. Justeru, kami komited untuk menjadikan Kuala Lumpur sebagai pusat bagi pembiayaan dan insurans Islam.


DIVIDEN

Saya berasa sukacita untuk melaporkan bahawa seperti yang diluluskan oleh Bank Negara Malaysia, para Pengarah mengisytiharkan dividen interim sebanyak 3.5% ditolak cukai berjumlah RM4,�84,8�8 berhubung tahun kewangan berakhir 30 Jun 2008 yang dibayar pada 27 Jun 2008. Seterusnya, pada 20 Oktober 2008 Lembaga Pengarah telah meluluskan cadangan dividen akhir ditolak cukai berjumlah RM4,�84,8�8 yang tertakluk kepada kelulusan para pemegang saham. Tiada dividen diisytihar dan dibayar pada tahun kewangan sebelumnya berakhir 30 Jun 2007.

PENGHARGAAN

Saya bagi pihak Lembaga Pengarah, ingin merakamkan ucapan penghargaan kepada Y.Bhg. Dato’ Noorazman b. A. Aziz yang meletakkan jawatan daripada Lembaga Pengarah, dan kepada dua orang pengarah yang bersara pada tahun kewangan ini iaitu Y.DH Dato’ Sri Wan Abdul Wahid b. Wan Hassan dan Y.Bhg. Dato’ Alwi b. Muhamad. Pada masa yang sama, saya ingin mengalu-alukan kedatangan Y.Bhg. Dato’ Sulaiman b. Mohd Yusof yang dilantik ke dalam Lembaga Pengarah pada � Januari 2008 dan Encik Johan b. Abdullah yang dilantik pada �5 Ogos 2008.

Saya juga ingin menyampaikan ucapan penghargaan dan terima kasih kepada Kerajaan Persekutuan dan Kerajaan Negeri, pelbagai Kementerian dan Jabatan, Jabatan Hal Ehwal Agama, Kementerian Kewangan, Pejabat Ketua Pengarah Takaful, Bank Negara Malaysia, Lembaga Perkhidmatan Kewangan Luar Pesisir Labuan (LOFSA), badan-badan berkanun, Bank Islam Malaysia Berhad, Lembaga Tabung Haji, Kumpulan Wang Simpanan Pekerja, Bank Pembangunan Islam dan Kementerian Kewangan Indonesia atas nasihat berguna serta kerjasama yang diberikan sepanjang tempoh yang ditinjau. Ucapan terima kasih ini juga ditujukan kepada para pemegang saham, peserta, pengurusan dan kakitangan kerana kegigihan anda sekalian memberikan sokongan dan komitmen yang tidak berbelah bahagi. Kami berharap semoga hubungan erat yang kita jalin akan bertambah kukuh lagi pada masa depan.

ended 30 June 2008 which was paid on 27 June 2008. The Board has subsequently on 20 October 2008 approved a further 3.5% proprosed final dividend less tax totalling RM4,�84,8�8. which is subject to shareholders’ approval. No dividend was declared and paid for the previous financial year ended 30 June 2007. ACKNOWLEDGEMENTS

On behalf of the Board of Directors, I would like to record my appreciation to Y.Bhg. Dato’ Noorazman b. A. Aziz who resigned from the Board, and to the two directors who retired during the financial year, namely Y.DH Dato’ Sri Wan Abdul Wahid b. Wan Hassan and Y.Bhg. Dato’ Alwi b. Muhamad. I would like to welcome Y.Bhg. Dato’ Sulaiman b. Mohd Yusof and Encik Johan b. Abdullah who were appointed to the Board on � January 2008 and �5 August 2008 respectively.

I would also like to express our appreciation and gratitude to the Federal and State Governments, the various Ministries and Departments, the Department of Religious Affairs, the Ministry of Finance, the Office of the Director General of Takaful, Bank Negara Malaysia, Labuan Offshore Financial Services Authority (LOFSA), the various Statutory bodies, Bank Islam Malaysia Berhad, Lembaga Tabung Haji, Employees Provident Fund, Islamic Development Bank and the Indonesian Ministry of Finance for their invaluable advise and cooperation rendered throughout the period under review. To the shareholders, participants, management and staff, thank you for your unwavering support and commitment. We look forward to further strengthening our relationships in the future.

TAN SRI DR. HADENAN B. A. JALILPENGERUSI/CHAIRMAN

Kuala LumpurTarikh: 20 Oktober 2008Dated : 20 October 2008



Ensuring fruits of one’s labour

74Directors’ Report

85Income Statements

93Cash Flow Statements

79Statement by Directors

80Statutory Declaration

81Independent Auditor’s Report

83Report of the Shariah Advisory Body

84Balance Sheets

86Statements of Changes In Equity

87Family Takaful Balance Sheet

88Family Takaful Revenue Accounts

90General Takaful Balance Sheet

91General Takaful Revenue Accounts

95Notes to the Financial Statements

Financial Statements


The Directors have pleasure in submitting their report and the audited financial statements of the Group and of the Company for the financial year ended 30 June 2008. Principal Activities

The principal activities of the Company consist of managing family and general takaful businesses, whilst the principal activities of the subsidiaries are as stated in Note 6 to the financial statements. There has been no significant change in the nature of these activities during the financial year.

Results Group Company RM’000 RM’000

Net profit for the financial year 24,638 31,041

Reserves and Provisions

There were no material transfers to or from reserves and provisions during the financial year under review.

Dividends

Since the end of the previous financial year, the Company paid an interim dividend of 3.5% less tax totalling RM 4,163,399 on 27 June 2008 in respect of the financial year ended 30 June 2008. The final dividend recommended by the Directors in respect of the financial year ended 30 June 2008 is 3.5% less tax totalling RM4,184,818.

Directors of the Company Directors who served since the date of the last report are:- Y. Bhg. Tan Sri Dr. Hadenan b. A. JalilY. A. M. Tengku Azman Ibni Almarhum Sultan Abu BakarY. Bhg. Dato’ Mohamed Hassan b. Md. KamilPuan Rozaida bt. OmarEncik Mahadzir b. AzizanY. Bhg. Dato’ Sulaiman b. Mohd Yusof (Appointed on 1 January 2008)Encik Johan b. Abdullah (Appointed on 15 August 2008)Y. Bhg. Dato’ Noorazman b. A. Aziz (Resigned on 1 January 2008)Y. DH. Dato’ Sri Wan Abdul Wahid b. Wan Hassan (Retired on 25 November 2007)Y. Bhg. Dato’ Alwi b. Muhamad (Retired on 30 November 2007) In accordance with Section 62 of the Company’s Articles of Association, Y. Bhg. Tan Sri Dr. Hadenan b. A. Jalil and Y. Bhg. Dato’ Mohamed Hassan b. Md. Kamil will retire at the forthcoming Annual General Meeting and, being eligible, offer themselves for re-election. In accordance with Section 66A of the Company’s Articles of Association, Y. Bhg. Dato’ Sulaiman b. Mohd Yusof and Encik Johan b. Abdullah retire at the forthcoming Annual General Meeting and, being eligible, offer themselves for re-election.

Directors’ Report for the financial year ended 30 June 2008


Directors’ Interests

According to the register of directors’ shareholding, none of the directors in office at the end of the financial year held any interest in the shares and options over shares of the Company or its related corporations during the financial year ended 30 June 2008.

Directors’ Benefits

Since the end of the previous financial year, no Director of the Company has received nor become entitled to receive any benefit (other than a benefit included in the aggregate amount of emoluments received or due and receivable by Directors as shown in the financial statements) by reason of a contract made by the Company or a related company with the Director or with a firm of which the Director is a member, or with a company in which the Director has a substantial financial interest. There were no arrangements during and at the end of the financial year which had the object 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, apart from the Company’s and holding company’s Employees’ Share Option Scheme (“ESOS”). Issue of Shares

During the financial year, the Company issued 5,274,000 ordinary shares of RM1 each for cash arising from the exercise of employees’ shares options at a weighted average exercise price of RM1.20 per ordinary share. The newly issued shares rank pari passu in all respects with the existing shares of the Company. There were no other changes in the issued and paid-up capital of the Company during the financial year. Options Granted Over Unissued shares

No options were granted to any person to take up unissued shares of the Company during the year. At an extraordinary general meeting held on 28 June 2003, the Company’s shareholders approved the establishment of an employees’ share option scheme of not more than 10% of the issued share capital of the Company to eligible Directors and employees of the Group, save for employees of companies which are dormant and which are not incorporated in Malaysia. The options offered to take up unissued ordinary shares of RM1.00 each and the option prices are as follows: Number of Options over Ordinary Shares of RM1 each Option Balance at Balance atDate of Offer Price 1.7.2007 Granted Exercised Lapsed 30.6.2008

31.10.2003 RM1.20 8,156,000 - (5,274,000) (967,000) 1,915,000

The salient features of the scheme are as follows: (i) Eligible employees are those who have been confirmed in writing as employees of the Group (save for any subsidiaries which

are dormant and which are not incorporated in Malaysia) for at least one year prior to the date of the offer.

(ii) The option is personal to the grantee and is non-assignable.

(iii) The option price shall be determined by the average of the middle market quotation of the Company’s ordinary shares as shown in the daily official list issued by Bursa Malaysia Securities Berhad (“Bursa Malaysia”) for the five trading days preceding the respective dates of the offer in writing to the grantee or at the par value of the ordinary shares of the Company, whichever is higher.



Options Granted Over Unissued shares (Continued)

(iv) The options granted may be exercised at any time within a period of five years from the date of offer of the option or such shorter period as may be specifically stated in the offer upon giving notice in writing.

(v) The options granted may be exercised in full or in lesser number of ordinary shares provided that the number shall not be less than 1,000 new shares and not more than ten per cent (10%) of the issued and paid up share capital of the Company at the point in time when an offer is made.

(vi) The option scheme shall be in force for five years until 31 October 2008.

Statement on corporate governance and internal controls

(a) Board Responsibilities

The Board of Directors (“the Board”) is ultimately responsible for the proper stewardship of the Company’s resources, the achievement of corporate objectives and good corporate citizenship and discharges this responsibility through compliance with the Takaful (Amendment) Act, 1984 and BNM Guidelines on Duties and Responsibilities of Directors and Chief Executives of Insurers (JPIT/GPT 1) and other directives, in addition to adopting other best practices on corporate governance.

The Board comprises seven non-executive directors and one executive director to enable a balanced and objective consideration of issues, hence facilitating optimal decision making. The executive director adds value to the decision making process by providing a management and operational perspective to issues placed before the Board.

(b) Management Accountability

The Company has an organisational structure showing all reporting lines as well as clearly documented job descriptions for all management and executive employees.

Authority limits, as approved by the Board are clearly established and made available to all employees.

(c) Corporate Independence

The Company has complied with BNM’s Guidelines on Related Party Transactions (JPIT/GPT 7) (Consolidated). Necessary disclosures have been made to the Board and when required, prior Board’s approval has been obtained. All material related party transactions have been disclosed in Note 35 to the financial statements.

(d) Internal Controls and Operational Risk Management

The responsibility for establishing an effective risk management and internal control system rests with the Board. The Board has put in place an enterprise-wide risk management framework within the Company to ensure that there is an

on-going process of identifying, evaluating, monitoring and managing the significant risks faced by the Company through designated management functions. Currently, there are efforts to improve its risk management process in the areas of operations, financial and other critical areas.

The group is currently undergoing an operational transformation process which involves changes in the Senior Management,

Information Technology systems, business process, etc. Therefore, appropriate actions are currently being undertaken to improve on the policies, processes and organisational structures that forms key elements of internal controls.



Statement on corporate governance and internal controls (Continued)

(e) Public Accountability As custodian of public funds, the Company’s dealings with the public are always conducted fairly, honestly and

professionally.

(f) Financial Reporting

The Company has maintained proper accounting records and the Company’s financial statements are prepared in accordance with Financial Reporting Standards (“FRS”) issued by the Malaysian Accounting Standards Board (“MASB”), the provisions of the Companies Act, 1965, the Takaful (Amendment) Act, 1984 and Takaful Guidelines/Circular issued by Bank Negara Malaysia (“BNM”) and Principles of Shariah.

Other Statutory Information

Before the financial statements of the Group and of the Company were made out, the Directors took reasonable steps to ascertain that: i) all known bad debts have been written off and adequate provision made for doubtful debts;

ii) all current assets have been stated at the lower of cost and net realisable value; and

iii) there was adequate provision for incurred claims, including Incurred But Not Reported (“IBNR”) claims.

At the date of this report, the Directors are not aware of any circumstances:

i) that would render the amount written off for bad debts, or the amount of the provision for doubtful debts, in the Group and in the Company inadequate to any substantial extent, or

ii) that would render the value attributed to the current assets in the Group and in the Company financial statements misleading, or

iii) 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, or

iv) not otherwise dealt with in this report or the financial statements, that would render any amount stated in the financial statements of the Group and of the Company misleading.

At the date of this report, there does not exist:

i) any charge on the assets of the Group or of the Company that has arisen since the end of the financial year and which secures the liabilities of any other person, or

ii) any contingent liability in respect of the Group or of the Company that has arisen since the end of the financial year.



Other Statutory Information (Continued)

No contingent liability or other liability of any company in the Group 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 substantially affect the ability of the Group and of the Company to meet their obligations as and when they fall due.

For the purpose of this paragraph, contingent and other liabilities do not include liabilities arising from contracts of takaful underwritten in the ordinary course of business of the Group and Company.

In the opinion of the Directors, the results of the operations of the Group and of the Company for the financial year ended 30 June 2008 have not been substantially affected by any item, transaction or event of a material and unusual nature nor has any such item, transaction or event occurred in the interval between the end of the financial year and the date of this report.

Auditors

The auditors, Messrs KPMG Desa Megat & Co., have indicated their willingness to accept re-appointment.

Signed on behalf of the Board of Directors in accordance with a resolution of the Directors:

…………………………………………………………Tan Sri Dr. Hadenan A. Jalil

…………………………………………………………Dato’ Mohamed Hassan Md. Kamil

Kuala Lumpur,

Date: 20 October 2008



In the opinion of the Directors, the financial statements set out on pages 84 to 159 are drawn up in accordance with the provisions of the Companies Act, 1965 and Financial Reporting Standards issued by the Malaysian Accounting Standards Board and comply with the Principles of Shariah so as to give a true and fair view of the state of affairs of the Group and of the Company at 30 June 2008 and of the results of their operations and cash flows for the year ended on that date.

Signed in accordance with a resolution of the Directors:

…………………………………………………………Tan Sri Dr. Hadenan A. Jalil

…………………………………………………………Dato’ Mohamed Hassan Md. Kamil

Kuala Lumpur,


Statement by Directorspursuant to Section 169(15) of the Companies Act, 1965


I, Fauziah Md Hasan, the officer primarily responsible for the financial management of Syarikat Takaful Malaysia Berhad, do solemnly and sincerely declare that the financial statements set out on pages 84 to 159 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.

Subscribed and solemnly declared by the above named in Kuala Lumpur on 20 October 2008.

………………………..…………...........Fauziah Md Hasan

Before me:

Statutory Declarationpursuant to Section 169(16) of the Companies Act, 1965


Report on the Financial Statements

We have audited the financial statements of Syarikat Takaful Malaysia Berhad, which comprise the balance sheets as at 30 June 2008 of the Group and of the Company, and the income statements, statements of changes in equity and cash flow statements of the Group and of the Company for the year then ended, and a summary of significant accounting policies and other explanatory notes, as set out on pages 84 to 159.

Directors’ Responsibility for the Financial Statements

The Directors of the Company are responsible for the preparation and fair presentation of these financial statements in accordance with Financial Reporting Standards and the Companies Act, 1965 in Malaysia. This responsibility includes: designing, implementing and maintaining internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error; selecting and applying appropriate accounting policies; and making accounting estimates that are reasonable in the circumstances.

Auditors’ 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 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 Company’s preparation and fair presentation of the financial statements 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 Company’s 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 have been properly drawn up in accordance with Financial Reporting Standards and the Companies Act, 1965 in Malaysia so as to give a true and fair view of the financial position of the Group and of the Company as of 30 June 2008 and of their financial performance and cash flows for the year then ended.

Independent Auditors’ Reportto the members of Syarikat Takaful Malaysia Berhad

(Company No. 131646-K)(Incorporated 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 of which we have acted as auditors have been properly kept in accordance with the provisions of the Act.

b) We have considered the accounts and the auditors’ reports of all the subsidiaries of which we have not acted as auditors, which are indicated in note 6 to the financial statements.

c) We are satisfied that the accounts of the subsidiaries that have been consolidated with the Company’s 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.

d) The audit reports on the accounts of the subsidiaries did not contain any qualification or any adverse comment made under Section 174(3) of the Act.

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.

............................................................. ....................................................................KPMG Desa Megat & Co Khaw Hock Hoe Firm Number: AF 0759 Approval Number: 2229/04/10 (J) Chartered Accountants Chartered Accountant Petaling Jaya, Selangor


Independent Auditors’ Reportto the members of Syarikat Takaful Malaysia Berhad(Company No. 131646-K)(Incorporated in Malaysia)


We, Datuk Abdul Hamid b. Said and Mohd Bakir Haji Mansor, being two of the members of Shariah Advisory Body of Syarikat Takaful Malaysia Berhad, do hereby confirm on behalf of the Body, that in our opinion, the operations of the Company for the year ended 30 June 2008 have been conducted in conformity with Shariah requirements.

On behalf of the Shariah Advisory Body :

………….................................................................Datuk Abdul Hamid b. Said

………….................................................................Mohd Bakir Haji Mansor

Kuala Lumpur,


Report of the Shariah Advisory Body


The notes set out on pages 95 to 159 form an intergral part of, and should be read in conjunction with, these financial statements.

Group Company Note 2008 2007 2008 2007 (Restated) (Restated) RM’000 RM’000 RM’000 RM’000ASSETSShareholders’ assetsProperty and equipment 3 42,237 49,328 35,477 41,778 Prepaid lease payments 4 3,618 3,825 1,271 1,302Investment properties 5 26,369 26,507 25,825 23,667 Investment in subsidiaries 6 - - 27,550 27,002 Investment in associates 7 - - - - Investments 8 137,305 229,399 113,050 148,290 Financing receivables 9 12,702 15,474 12,003 14,748 Deferred tax assets 16 16,640 15,147 12,438 13,193 Qardh Hasan-receivables 10 80,861 - 80,861 - Receivables 11 16,945 61,162 13,833 47,528 Assets held for sale 12 39,364 - 22,872 - Cash and bank balances 13 9,743 15,896 8,297 13,000

Total Shareholders’ assets 385,784 416,738 353,477 330,508 Total Family takaful assets (page 19) 3,100,760 2,581,396 2,917,475 2,475,727 Total General takaful assets (page 22) 592,282 552,864 544,801 527,900 Less : Interfund balances (31,527) (69,456) (19,493) (42,850)

TOTAL ASSETS 4,047,299 3,481,542 3,796,260 3,291,285 LIABILITIESShareholders’ liabilitiesLiabilities held for sale 12 3,233 - - - Payables 14 44,391 104,189 22,976 34,884 Provision for taxation 2,125 650 1,671 -

Total Shareholders’ liabilities 49,749 104,839 24,647 34,884 Total Family takaful liabilities (page 19) 189,494 206,552 167,563 184,217 Total General takaful liabilities (page 22) 315,105 292,496 276,185 260,930 Less : Interfund balances (31,527) (69,456) (19,493) (42,850)

522,821 534,431 448,902 437,181 Family takaful fund 18 2,911,266 2,374,844 2,749,912 2,291,510 General takaful fund 19 277,177 260,368 268,616 266,970

TOTAL LIABILITIES 3,711,264 3,169,643 3,467,430 2,995,661

SHAREHOLDERS’ EQUITY Share Capital 21 161,576 156,302 161,576 156,302 Reserves 142,789 117,893 167,254 139,322

Total equity attributable to shareholders of the company 304,365 274,195 328,830 295,624 Minority interest 17 31,670 37,704 - -

Total Equity 336,035 311,899 328,830 295,624

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY 4,047,299 3,481,542 3,796,260 3,291,285

Balance Sheetsas at 30 June 2008



Group Company Note 2008 2007 2008 2007 (Restated) RM’000 RM’000 RM’000 RM’000

Operating revenue 23 1,121,650 1,056,950 927,694 913,022

Transfer from revenue accounts Family takaful 108,162 120,109 90,416 95,189 General takaful 61,451 49,815 59,932 38,404 Investment income 24 17,472 14,791 13,510 6,226 Other operating income 25 53,687 7,813 15,022 4,591 Management expenses 26 (124,080) (126,874) (103,320) (103,103)Other operating expenses 27 (78,782) (40,210) (29,441) (23,819)

Profit from operations 37,910 25,444 46,119 17,488 Finance costs - - - -

Profit before zakat and taxation 37,910 25,444 46,119 17,488 Zakat (4,050) (3,818) (3,460) (3,127)Taxation 31 (9,222) 2,246 (11,618) 1,457

Profit for the year 24,638 23,872 31,041 15,818

Attributable to: Shareholders of the Company 29,705 20,675 31,041 15,818 Minority interest (5,067) 3,197 - -

Profit for the year 24,638 23,872 31,041 15,818

Earnings per share Basic earnings per share (sen) 18.7 13.5 Diluted earnings per share (sen) 32 18.7 13.4Dividend per ordinary share (sen) - (net interim) 22 2.61 - Dividend per ordinary share (sen) - (net proposed final) 22 2.59 -

Income Statementsfor the year ended 30 June 2008



Group Non–distributable Distributable Note Share Share Translation Retained Minority capital premium reserve profits interest Total RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

At 1 July 2006 as previously stated 152,643 2,063 957 130,255 36,947 322,865Prior year adjustment 40 - - - (22,500) - (22,500)

At 1 July 2006 as restated 152,643 2,063 957 107,755 36,947 300,365

Exchange differences - - (4,941) - (1,506) (6,447) Net loss not recognised in the income statements - - (4,941) - (1,506) (6,447) Issue of shares - Cash 3,659 732 - - - 4,391 Net profit for the year (restated) - - - 20,675 3,197 23,872 Dividends 2006 – Final 22 - - - (9,348) (934) (10,282)

At 30 June 2007 156,302 2,795 (3,984) 119,082 37,704 311,899

At 1 July 2007As previously stated 156,302 2,795 (3,984) 142,515 37,704 335,332

Prior year adjustments 40 - - - (23,433) - (23,433)

As restated 156,302 2,795 (3,984) 119,082 37,704 311,899

Exchange differences - - (1,700) - (967) (2,667)Net loss not recognised in the income statements - - (1,700) - (967) (2,667) Issue of shares - Cash 5,274 1,054 - - - 6,328 Net profit for the year - - - 29,705 (5,067) 24,638Dividends 2008 – Interim 22 - - - (4,163) - (4,163)

At 30 June 2008 161,576 3,849 (5,684) 144,624 31,670 336,035

Company Non-distributable Distributable Share Share Retained capital premium profits Total RM’000 RM’000 RM’000 RM’000

At 1 July 2006 152,643 2,063 130,057 284,763 Issue of shares 3,659 732 - 4,391 Net profit for the year - - 15,818 15,818 Dividends 2006 - Final 22 - - (9,348) (9,348)

At 30 June 2007/1 July 2007 156,302 2,795 136,527 295,624

Issue of shares 5,274 1,054 - 6,328 Net profit for the year - - 31,041 31,041 Dividends 2008 - Interim 22 - - (4,163) (4,163)

At 30 June 2008 161,576 3,849 163,405 328,830

Statements of Changes in Equityfor the Year Ended 30 June 2008


Group Company Note 2008 2007 2008 2007 (Restated) RM’000 RM’000 RM’000 RM’000

AssetsProperty and equipment 3 261 7,977 261 1,645 Investment properties 5 219,552 200,053 211,453 199,446 Investment in subsidiaries 6 - - - 29,963 Investment in associates 7 - - - - Investment-linked Takaful assets 34 175,459 37,682 130,840 37,682 Investments 8 2,466,908 2,155,266 2,388,516 2,078,458 Financing receivables 9 19,695 6,053 3,073 3,789 Receivables 11 111,969 120,488 87,927 82,001 Cash and bank balances 13 106,916 53,877 95,405 42,743

Total family takaful assets 3,100,760 2,581,396 2,917,475 2,475,727

Liabilities Payables 14 129,538 116,793 114,441 110,668 Provision for outstanding claims 15 49,547 85,190 42,713 68,980 Investment-linked Takaful liabilities 34 10,409 4,569 10,409 4,569

Total family takaful liabilities 189,494 206,552 167,563 184,217

Participants’ fund Family takaful fund 18 2,911,266 2,374,844 2,749,912 2,291,510

Total family takaful liabilities and participants’ fund 3,100,760 2,581,396 2,917,475 2,475,727


Family Takaful Balance Sheetas at 30 June 2008



Group Company Note 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000

Gross contributions 23 647,033 558,574 529,689 470,205 Retakaful (16,324) (10,933) (4,612) (3,223)Increase in actuarial reserves 18 (53,458) (114,604) (52,385) (113,535)

Net contributions 577,251 433,037 472,692 353,447 Benefits paid and payable Death/disability (124,906) (141,586) (119,069) (120,716) Maturities (19,099) (29,872) (10,863) (21,517) Surrenders (105,419) (104,216) (91,618) (94,331) Part withdrawal (14,254) (12,812) (14,254) (12,812) Medical (11,898) (6,008) (196) (144) Others 13,157 (9,687) 7,240 (9,687)

(262,419) (304,181) (228,760) (259,207)

314,832 128,856 243,932 94,240

Underwriting profit - Individual Family 210,550 102,926 174,533 89,558 - Group Family and others 103,506 25,652 68,623 4,404 - Group Family ILB 776 278 776 278 314,832 128,856 243,932 94,240 Less: Underwriting profit - Individual Family (210,550) (102,926) (174,533) (89,558)

Underwriting profit - Group Family and others & Group Family ILB 104,282 25,930 69,399 4,682 Investment income 24 172,466 116,050 161,875 109,859 Other operating income 25 13,912 16,179 13,112 16,260 Other operating expenses 27 (19,364) (21,703) 1,197 (14,541)

Total profit for the year after excluding underwriting profit for Individual Family 271,296 136,456 245,583 116,260

Family Takaful Revenue Accountsfor the year ended 30 June 2008


Group Company Note 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000

Total profit for the year after excluding underwriting profit for Individual Family 271,296 136,456 245,583 116,260 Less: Allocation of special reserves (5,116) (4,250) (5,116) (4,250)

Profit attributable to the Company and participants for the year after excluding underwriting profit for Individual Family 266,180 132,206 240,467 112,010 Profit attributable to education plan transferred to payables (53) (55) (53) (55)Profit attributable to the Company transferred to income statement (108,162) (120,109) (90,416) (95,189)

157,965 12,042 149,998 16,766 Profit payable to participants - (10,556) - (10,556)

Profit attributable to the participants for the year: 157,965 1,486 149,998 6,210

Family takaful funds at the beginning of the year (As previously reported) 2,351,411 2,121,092 2,291,510 2,070,549 Prior year adjustments 40 23,433 22,500 - -

As restated 2,374,844 2,143,592 2,291,510 2,070,549 Underwriting profit – individual family 210,550 102,926 174,533 89,558 Profit attributable to participants for the year 157,965 1,486 149,998 6,210 Movement for the year: - Actuarial reserves 53,458 114,604 52,385 113,535 - Interfund 29,963 - - - - Unrealised gain/(loss) in value of investment (4,491) 7,383 (4,491) 7,383 - Qardh Hasan 94,280 (431) 80,861 - Special reserve 5,116 4,275 5,116 4,275 Translation reserves (10,419) 1,009 - -

Family takaful fund at year end 2,911,266 2,374,844 2,749,912 2,291,510


Family Takaful Revenue Accountsfor the year ended 30 June 2008



Group Company Note 2008 2007 2008 2007 (Restated) (Restated) RM’000 RM’000 RM’000 RM’000

AssetsProperty and equipment 3 6 7 6 7 Investment properties 5 43,052 40,376 43,052 40,149 Investment in subsidiaries 6 - - - 1,970 Investments 8 425,104 414,809 400,956 396,999 Financing receivables 9 2,024 2,700 2,024 2,700 Receivables 11 81,819 70,234 63,900 63,492 Cash and bank balances 13 40,277 24,738 34,863 22,583

Total general takaful assets 592,282 552,864 544,801 527,900

Liabilities Payables 14 129,507 128,202 121,752 123,257 Provision for outstanding claims 15 185,598 164,294 154,433 137,673

Total general takaful liabilities 315,105 292,496 276,185 260,930

Participants’ fund General takaful fund 19 277,177 260,368 268,616 266,970

Total general takaful liabilities and participants’ fund 592,282 552,864 544,801 527,900

General Takaful Balance Sheetas at 30 June 2008


Marine Fire Motor Aviation & Transit Miscellaneous Total Note 2008 2007 2008 2007 2008 2007 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000Group Gross contributions 23 73,238 124,938 82,548 107,604 11,004 31,384 87,645 82,444 254,435 346,370 Retakaful (19,827) (57,458) (3,044) (1,225) (7,804) (16,570) (35,715) (12,331) (66,390) (87,584)

Net contributions 53,411 67,480 79,504 106,379 3,200 14,814 51,930 70,113 188,045 258,786 Decrease/(Increase) in unearned contribution reserves 20 2,997 (9,058) 1,915 (7,567) 1,491 180 6,114 (3,109) 12,517 (19,554)

Earned contributions 56,408 58,422 81,419 98,812 4,691 14,994 58,044 67,004 200,562 239,232 Net claims incurred 33 (14,794) (40,858) (62,830) (54,012) (2,124) (15,864) (25,245) (56,534) (104,993) (167,268)

Underwriting surplus 41,614 17,564 18,589 44,800 2,567 (870) 32,799 10,470 95,569 71,964

Investment income 24 30,244 21,165 Other operating income 25 14,792 9,664 Other operating expenses 27 (46,283) (79,880) Total profit for the year 94,322 22,913 Transfer to income statement (61,451) (49,815)

Participants’ share of profit/(loss) 32,871 (26,902)Profit payable to participants (19,754) (18,609)Profit/(Loss) attributable to participants for the year 13,117 (45,511)

Profit attributable to participants at beginning of the year 27,522 73,033

Profit attributable to participants at the end of the year 40,639 27,522Unearned contribution reserves 20 194,320 206,837Special reserves 23,061 23,061Statutory liabilities - Qardh Hasan 16,893 2,920Translation differences 2,264 -Interfund balance - 28

General Takaful fund at end of the year 277,177 260,368


General Takaful Revenue Accountsfor the year ended 30 June 2008



Marine Fire Motor Aviation & Transit Miscellaneous Total Note 2008 2007 2008 2007 2008 2007 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Company Gross contributions 23 57,130 102,457 63,521 94,424 5,096 27,267 67,625 82,472 193,372 306,620 Retakaful (13,783) (41,819) (2,359) (852) (6,511) (15,367) (29,871) (22,968) (52,524) (81,006)

Net contributions 43,347 60,638 61,162 93,572 (1,415) 11,900 37,754 59,504 140,848 225,614 Decrease/(Increase) in unearned contribution reserves 20 3,135 (7,093) 2,835 (7,962) 1,455 1,677 7,362 (3,161) 14,787 (16,539)

Earned contributions 46,482 53,545 63,997 85,610 40 13,577 45,116 56,343 155,635 209,075 Net claims incurred 33 (10,564) (28,772) (51,688) (44,158) 2,197 (11,128) (19,016) (47,984) (79,071) (132,042)

Underwriting surplus 35,918 24,773 12,309 41,452 2,237 2,449 26,100 8,359 76,564 77,033

Investment income 24 29,248 20,112 Other operating income 25 13,106 4,186 Other operating expenses 27 (23,102) (79,139) Total profit for the year 95,816 22,192 Transfer to income statement (59,932) (38,404)

Participants’ share of profit/(loss) 35,884 (16,212)Profit payable to participants (19,451) (17,739)Profit/(Loss) attributable to participants for the year 16,433 (33,951)Profit attributable to participants at beginning of the year 46,960 80,911Profit attributable to participants at end of the year 63,393 46,960 Unearned contribution reserves 20 182,162 196,949 Special reserves 23,061 23,061 General takaful fund at end of the year 268,616 266,970

General Takaful Revenue Accountsfor the year ended 30 June 2008


Group Company 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000

Cash flows from operating activities Profit before zakat and taxation 37,910 25,444 46,119 17,488 Adjustments for: Depreciation and amortisation of prepaid lease payment: - Shareholders’ Fund 17,602 18,005 16,188 15,756 - Family Takaful Fund 54 486 55 73 - General Takaful Fund 1 2,110 1 2 Fair value change of investment properties (15,689) (8,159) (15,685) (8,566) Income from financing receivables (864) (2,216) (479) (1,740) Income from Investment Accounts, Islamic Accepted Bills and Bonds (41,271) (41,745) (36,269) (36,862) Dividend income from quoted shares and Islamic Debt Securities (94,944) (81,653) (93,520) (74,754) Gain on disposal of quoted shares and unit trusts (57,675) (4,356) (51,323) (2,163) Gain on disposal of property and equipment and investment properties (111) - (26) - Gain on foreign exchange (2,045) (5,719) - - Prior year adjustments - 4,216 - 4,216 Write off of investment and equipment 4,617 4,166 4,614 6,639 (Accretion)/Amortization (2,416) (13,085) (2,416) (13,085) Unrealised loss/(gain) of investment 4,491 (7,383) 4,491 (7,383) (Reversal of)/allowance for diminution in value of investments - Shareholders’ Fund (3,272) (2,474) (3,189) (2,474) - Family Takaful Fund (1,798) (5,474) (1,799) (5,474) - General Takaful Fund (2,110) (1,368) (2,110) (1,368) Impairment loss of investment in a subsidiary 20,308 - 8,513 - Profit from Malaysian Government Investment Certificates (206) - (206) - Allowance for non-performing financing: - Shareholders’ Fund (248) (760) (248) (760) - Family Takaful Fund (982) 74 (982) 74 - General Takaful Fund (822) 450 (822) 450

Operating loss before working capital changes (139,470) (119,441) (129,093) (109,931)


Cash Flow Statementsfor the year ended 30 June 2008



Group Company 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000

Increase in Family Takaful Fund 536,422 199,581 458,402 189,290 Increase/(Decrease) in General Takaful Fund 16,809 (27,995) 1,646 (15,290) Increase in investments (337,222) (212,200) (314,357) (183,039) Income from Investment Accounts, Islamic Accepted Bills and Bonds 41,477 41,745 36,475 36,862 Dividend income 94,944 81,653 93,520 74,754 (Decrease)/Increase in payables (including claim admitted but not paid) (71,764) 119,134 (13,947) 106,634 (Increase)/Decrease in other receivables (51,767) 22,344 (50,316) 3,757

89,429 104,821 82,330 103,037 Zakat paid (3,361) (3,509) (2,820) (2,547) Income taxes paid (2,796) (6,771) (2,500) (6,256)

Net cash generated from operating activities 83,272 94,541 77,010 94,234

Cash flows from investing activities Purchase of property and equipment (15,652) (17,027) (14,635) (15,341) Purchase of investment properties (247) (4,289) (34) (3,155) Proceeds from sale of investment properties 1,244 2,472 - - Proceeds from sale of property and equipment 177 - 171 12

Net cash used in investing activities (14,478) (18,844) (14,498) (18,484)

Cash flows from financing activities Proceeds from issuance of shares 6,328 4,391 6,328 4,391 Dividends paid to shareholders of the Company (4,163) (9,348) (4,163) (9,348) Dividend paid to minority shareholders - (934) - -

Net cash generated from/(used in) financing activities 2,165 (5,891) 2,165 (4,957)

Net increase in cash and cash equivalents 70,959 69,806 64,677 70,793 Cash and cash equivalents at the beginning of financial year 96,362 26,556 80,177 9,384

Cash and cash equivalents at the end of financial year 167,321 96,362 144,854 80,177

Cash and cash equivalents comprise: Cash and bank balances - Shareholders’ fund (Note 13) 9,743 15,896 8,297 13,000 - Family Takaful fund (Note 13) 106,916 53,877 95,405 42,743 - Investment - Linked Business (Note 34) 9,933 1,851 6,289 1,851 - General Takaful fund (Note 13) 40,277 24,738 34,863 22,583 - Assets held for sale (Note 12) 452 - - -

167,321 96,362 144,854 80,177

Cash Flow Statementsfor the year ended 30 June 2008


Syarikat Takaful Malaysia Berhad is a public limited liability company, incorporated and domiciled in Malaysia and is listed on the Main Board of the Bursa Malaysia Securities Berhad. The address of its registered office and principal place of business of the Company is located at:

26th Floor, Annexe BlockDataran Kewangan Darul TakafulNo. 4, Jalan Sultan Sulaiman50000 Kuala Lumpur

The consolidated financial statements of the Company as at and for the year ended 30 June 2008 comprise the Company and its subsidiaries (together referred to as the Group). The financial statements of the Company as at and for the year ended 30 June 2008 do not include other entities.

The Company is principally engaged in managing family and general takaful businesses, whilst the principal activities of the subsidiaries, are as stated in Note 6 to the financial statements. There has been no significant change in the nature of these activities during the financial year.

The immediate and ultimate holding company is BIMB Holdings Berhad, a company incorporated in Malaysia and listed on the Bursa Malaysia Securities Berhad.

The financial statements were approved by the Board of Directors on 20 October 2008.

1. Basis of preparation (a) Statement of compliance The financial statements of the Group and of the Company have been prepared in accordance with the Financial Reporting

Standards (FRS) issued by the Malaysian Accounting Standards Board (MASB), accounting principles generally accepted in Malaysia and the provisions of the Companies Act, 1965, the Takaful (Amendment) Act, 1984 and Takaful Guidelines/ Circulars issued by Bank Negara Malaysia. The adoption of the new and revised FRSs in the current year does not have any financial impact on the financial statements of the Group and of the Company other than reclassification of leasehold land as prepaid lease payment pursuant to FRS 117. The effect of adopting FRS 117 is set out on Note 4. These financial statements also comply with the applicable disclosure provisions of the Listing Requirements of the Bursa Malaysia Securities Berhad.

The MASB announced that FRS 139, Financial Instruments: Recognition and Measurement will be effective for annual periods beginning on or after 1 January 2010, hence the Group and the Company plan to adopt FRS 139 for the financial year ending 30 June 2011. The impact of applying FRS 139 on the financial statements upon first adoption as required by paragraph 30(b) of FRS 108, Accounting Policies, Changes in Accounting Estimates and Errors is not disclosed by virtue of the exemption given in FRS 139.103AB.

The following revised FRS which are effective for the financial years beginning on or after 1 July 2007, have been adopted

by the Group in the 2008 financial statements: FRS 107 Cash Flow Statements FRS 112 Income Taxes FRS 118 Revenue FRS 121 The Effect of Changes in Foreign Exchange Rates FRS 134 Interim Financial Reporting FRS 137 Provisions, Contingent Liabilities and Contingent Assets

Notes to the Financial Statements



1. Basis of preparation (Continued)

(b) Basis of measurement The financial statements of the Group and of the Company have been prepared on the historical cost basis except as

disclosed in the notes to the financial statements. (c) Functional and presentation currency These financial statements are presented in Ringgit Malaysia (RM), which is the Company’s functional currency. All

financial information presented in RM has been rounded to the nearest thousand, unless otherwise stated. (d) Use of estimates and judgements

The preparation of financial statements requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amount of assets, liabilities, income and expenses. Actual result may differ from these estimates.

Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised

in the period in which the estimate is revised and in any future periods affected.

In particular, information about significant areas of estimation uncertainty and critical judgments in applying accounting policies that have the most significant effect on the amounts recognised in the financial statements are described in the following notes:

• Notes 2 (n) & 2 (o) & Note 18 – Provision for outstanding claims, Family takaful funds and actuarial reserves. • Note 5 – Investment properties

2. Summary of significant accounting policies

The accounting policies set out below have been applied consistently to periods presented in these financial statements, and have been applied consistently by Group entities, unless otherwise stated.

(a) Basis of consolidation (i) Subsidiaries Subsidiaries are entities, including unincorporated entities, controlled by the Group. Control exists when the Group

has the ability to exercise its power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. In assessing control, potential voting rights that presently are exercisable are taken into account. Subsidiaries are consolidated using the purchase method of accounting.

Under the purchase method of accounting, the financial statements of subsidiaries are included in the consolidated financial statements from the date that control commences until the date that control ceases.

Investments in subsidiaries are stated in the Company’s balance sheet at cost less any impairment losses, unless the investment is classified as assets held for sale (or included in a disposal group that is classified as held for sale).



2. Summary of significant accounting policies (Continued)

(a) Basis of consolidation (continued)

(ii) Associates Associates are entities, including unincorporated entities, in which the Group has significant influence, but not

control, over the financial and operating policies.

Associates are accounted for in the consolidated financial statements using the equity method unless it is classified as held for sale (or included in a disposal group that is classified as held for sale). The consolidated financial statements include the Group’s share of the income and expenses of the equity accounted associates, after adjustments to align the accounting policies with those of the Group, from the date that significant influence commences until the date that significant influence ceases.

When the Group’s share of losses exceeds its interest in an equity accounted associate, the carrying amount of that interest (including any long-term investments) is reduced to nil and the recognition of further losses is discontinued except to the extent that the Group has an obligation or has made payments on behalf of the investee.

(iii)Transactionseliminatedonconsolidation Intra-group balances and transactions, and any unrealised income and expenses arising from intra-group transactions,

are eliminated in preparing the consolidated financial statements.

Unrealised gains arising from transactions with equity accounted investees are eliminated against the investment to the extent of the Group’s interest in the investee.

Unrealised losses are eliminated in the same way as unrealised gains, but only to the extent that there is no evidence of impairment.

(b) Foreign currency (i) Foreigncurrencytransactions Transactions in foreign currencies are translated to the respective functional currencies of Group entities at exchange

rates at the dates of the transactions. Monetary assets and liabilities denominated in foreign currencies at the balance sheet date are retranslated to the

functional currency of each Group entity at the exchange rate at that date. Non-monetary assets and liabilities denominated in foreign currencies that are measured in terms of historical cost in a foreign currency are retranslated to the functional currency at the exchange rate at the date of the transactions. Foreign currency differences arising on retranslation are recognised in the income statement / revenue account.

(ii) OperationsdenominatedinfunctionalcurrenciesotherthanRinggitMalaysia The assets and liabilities of operations in functional currencies other than RM, including goodwill and fair value

adjustments arising on acquisition, are translated to RM at exchange rates at the balance sheet date, except for goodwill and fair value adjustments arising from business combinations before 1 January 2006 which are reported using the exchange rates at the dates of the acquisitions. The income and expenses of foreign operations are translated to RM at exchange rates at the dates of the transactions. Foreign exchange differences arising on translation are recognised directly in equity.

On disposal, accumulated translation differences are recognised in the consolidated income statement as part of the gain or loss on sale.



2. Summary of significant accounting policies (Continued) (c) Property and equipment (i)Recognitionandmeasurement

Freehold land is stated at cost. All other property and equipment are stated at cost less accumulated depreciation and accumulated impairment losses, if any.

Cost includes expenditures that are directly attributable to the acquisition of the asset and any other costs directly

attributable to bringing the assets to working condition for its intended use and the costs of dismantling and removing the items and restoring the site on which they are located. Purchased software that is integral to the functionality of the related equipment is capitalised as part of that equipment.

When significant parts of an item of property and equipment have different useful lives, they are accounted for as

separate items (major components) of property and equipment. Gains and losses on disposal of an item of property and equipment are determined by comparing the proceeds from

disposal with carrying amount of property and equipment and are recognised net within “other income” or “other operating expenses” respectively in the income statement/revenue account.

(ii) Subsequentcosts The cost of replacing part of an item of property and equipment is recognised in the carrying amount of the item if

it is probable that the future economic benefits embodied within the part will flow to the Group and the Company and its cost can be measured reliably. The carrying amount of those parts that are replaced is derecognised. The costs of the day-to-day servicing of property and equipment are recognised in the revenue account / income statement as incurred.

(iii) Depreciation Depreciation is recognised in the revenue account / income statement on a straight-line basis over the estimated

useful lives of each part of an item of property and equipment. Freehold land is not depreciated. Leasehold land is depreciated in equal installments over the period of the respective leases which range from sixty to ninety-nine year while building are depreciated on a straight line basis over the shorter of 50 years or the lease period. Property and equipment under construction are not depreciated until the assets are ready for their intended use.

The estimated annual depreciation rates for the current and comparative periods are as follows: Buildings 2% Renovation 16.70% Furniture, fixtures and fittings 16.7% - 20% Motor vehicles 20% Computer and equipment 16.7% - 33.3%

The depreciable amount is determined after deducting the residual value. Depreciation methods, residual values and useful lives are reassessed at the balance sheet date.



2. Summary of significant accounting policies (Continued) (c) Property and equipment (continued) (iv) LeasedAssets Financelease Leases in terms of which the Group assumes substantially all the risks and rewards of ownership are classified as

finance leases. Upon initial recognition, the leased asset is measured at an amount equal to the lower of its fair value and the present value of the minimum lease payments. Subsequent to initial recognition, the asset is accounted for in accordance with the accounting policy applicable to that asset.

Minimum lease payments made under finance leases are apportioned between the finance expense and the reduction of the outstanding liability. The finance expense is allocated to each period during the lease term so as to produce a constant periodic rate of interest on the remaining balance of the liability. Contingent lease payments are accounted for by revising the minimum lease payments over the remaining term of the lease when the lease adjustment is confirmed.

Operatinglease

Other leases are operating leases and, except for property interest held under operating lease, the leased assets are not recognised on the Group’s balance sheet. Property interest held under an operating lease, which is held to earn rental income or for capital appreciation or both, is classified as investment property.

Leasehold land that normally has an indefinite economic life and title is not expected to pass to the lessee by the end of the lease term is treated as an operating lease. The payment made on entering into or acquiring a leasehold land is accounted for as prepaid lease payments, except for leasehold land classified as investment property.

Payments made under operating leases are recognised in the income statements on a straight-line basis over the term of the lease. Lease incentives received are recognised as an integral part of the total lease expense, over the term of the lease.

(d) Investments Investments are recognised initially at purchase price plus attributable transaction costs.

Subsequent to initial recognition:

• Investments in Government Islamic Papers (Government Investment Issues and other Islamic instruments issued by the Government or Bank Negara Malaysia (“BNM”)), Malaysian Government Securities and other investments as specified by BNM and held to maturity are stated at cost adjusted for amortisation of premiums or accretion of discounts, calculated on a constant yield basis, from the date of purchase to maturity date. The amortisation of premiums and accretion of discounts are recognised in the revenue account/income statement.

• Quoted investments are stated at the lower of cost and market value determined on an aggregate portfolio basis by category of investments except that if diminution in value of a particular investment is not regarded as temporary, provision is made against the value of that quoted investment.




(d) Investments (continued)

• All other unquoted investments are stated at the lower of cost or net realisable value.

• Investments in quoted shares and securities of investment-linked businesses are stated at the closing market prices.

• Unquoted loan stocks / bonds of the investment-linked funds are stated at the prevailing prices quoted by independent merchant banks. Any increase or decrease in value of these investments is taken into the investment-linked business revenue account.

Allowance for diminution in value of investments are charged directly to the revenue account of the takaful funds and

to the income statement. Subsequent increase in market value of the quoted investment is treated as a write back of the previous allowance for diminution in value of investment to the extent of the carrying amount of the quoted investment that would have been determined had no diminution in value had been recognised.

On disposal of an investment, the difference between net disposal proceeds and its carrying amount is recognised in the revenue account / income statement.

(e) Investment properties

Investment properties are properties which are owned or held under a leasehold interest to earn rental income or for capital appreciation or for both. These include land held for a currently undetermined future use.

Investment properties are initially stated at costs, including related and incidental expenditure incurred and are measured subsequently at fair value with any change therein recognised in the income statement / revenue accounts.

An external independent valuation company, having the appropriate recognised professional qualifications, values the Group’s investment properties on an annual basis. The fair values are based on market value, being the estimated amount for which a property could be exchanged between a willing buyer and a willing seller in an arm’s length transaction.

Investment properties are not depreciated. On disposal of investment properties, the difference between the net proceeds and the carrying amounts are recognised in the income statement / revenue accounts as appropriate.

(f) Financing receivables

Known bad debts are written off and specific provisions is made for any financing, which remains outstanding for more than six months from the date on which they became payable, and for all debts which are considered doubtful.

(g) Receivables

Receivables are initially recognised at their cost when the contractual right to receive cash or another financial asset from another entity is established. Receivables are not held for the purpose of trading.

Subsequent to initial recognition, receivables are stated at cost less allowance for doubtful debts.

Known bad debts are written off and specific allowance for doubtful debts is made as follows: a) Motor contributions which remain outstanding for more than 30 days. b) Non-motor contributions including agents and reinsurance balances, which remain outstanding for more than six months.




(h) Non-current assets held for sale Non-current assets (or disposal groups comprising assets and liabilities) that are expected to be recovered primarily

through sale rather than through continuing use are classified as held for sale. Immediately before classification as held for sale, the assets (or components of a disposal group) are remeasured in accordance with the Group’s accounting policies. Thereafter, generally the assets (or disposal group) are measured at the lower of their carrying amount and fair value less cost to sell. Any impairment loss on a disposal group is first allocated to goodwill, and then to the remaining assets and liabilities on a pro rata basis, except that no loss is allocated to financial assets, deferred tax assets and investment property, which continue to be measured in accordance with the Group’s accounting policies. Impairment losses on initial classification as held for sale and subsequent gains or losses on remeasurement are recognised in the income statements. Gains are not recognised in excess of any cumulative impairment loss.

(i) Cash and cash equivalents Cash and cash equivalents consist of cash on hand, balances and deposits with banks and highly liquid investments which

have an insignificant risk of changes in value. (j) Impairment of assets

The carrying amounts of assets, except for financial assets (other than investments in subsidiaries and associate) and deferred tax assets are reviewed at each reporting date to determine whether there is any indication of impairment. If any such indication exists, then the asset’s recoverable amount is estimated.

An impairment loss is recognised if the carrying amount of an asset or its cash-generating unit exceeds its recoverable

amount. Impairment losses are recognised in the income statement / revenue account. Impairment losses recognised in respect of cash-generating units are allocated first to reduce the carrying amount of any goodwill allocated to the units and then to reduce the carrying amount of the other assets in the unit (group of units) on a pro rata basis.

The recoverable amount of an asset or cash-generating unit is the greater of its value in use and its fair value less costs

to sell. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. For the purpose of impairment testing, assets are grouped together into the smallest group of assets that generates cash inflows from continuing use that largely independent of the cash inflows of other assets or group of assets (the “cash generating unit”).

An impairment loss in respect of goodwill is not reversed. In respect of other assets, impairment losses recognised in

prior periods are assessed at each reporting date for any indications that the loss has decreased or no longer exists. An impairment loss is reversed if there has been a change in the estimates used to determine the recoverable amount. An impairment loss is reversed only to the extent that the asset’s carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or amortisation, if no impairment loss had been recognised. Reversal of impairment loss is credited to the income statement / revenue account in the year in which the reversal is recognised.




(k) Employee benefits Shorttermemployeebenefits

Short-term employee benefit obligations in respect of salaries, annual bonuses, paid annual leave and sick leave are measured on an undiscounted basis and are expensed as the related service is provided.

A provision is recognised for the amount expected to be paid under short-term cash bonus or profit-sharing plans if

the Group has a present legal or constructive obligation to pay this amount as a result of past service provided by the employee and the obligation can be estimated reliably.

The Group’s contribution to the statutory pension fund is charged to the income statement in the year to which they relate.

Once the contributions have been paid, the Group has no further payment obligations.

(l) Provisions

A provision is recognised if, as a result of a past event, the Group and the Company has a present legal or constructive obligation that can be estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the obligation. Provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability.

Where it is not probable that an outflow of economic benefits will be required, or the amount cannot be estimated reliably, the obligation is disclosed as a contingent liability, unless the probability of outflow of economic benefits is remote. Possible obligations, whose existence will only be confirmed by the occurrence or no-occurrence of one or more future events are also disclosed as contingent liabilities unless the probability of outflow of economic benefits is remote. Contingent liabilities do not include liabilities arising from contracts of takaful underwritten in the ordinary course of business of the Group.

(m) Payables

Payables are measured initially and subsequently at cost. Payables are recognised when there is a contractual obligation to deliver cash or another financial asset to another entity.

(n) General takaful fund

The general takaful fund is maintained in accordance with the Takaful (Amendment) Act, 1984. Included in general takaful fund is fund arising from:

• General takaful; • Asean Takaful Group (ATG) retakaful pool; and • General retakaful funds.

The general takaful underwriting results are determined for each class of takaful business after taking into account retakaful, unearned contributions, claims incurred and management expenses.




(n) General takaful fund (continued)

Contribution income

Contributions are recognised in a financial period in respect of risks assumed during that particular financial period based on the inception date. Inward treaty retakaful contributions are recognised on the basis of periodic advices received from ceding takaful operators.

Unearned contribution reserves

The Unearned Contribution Reserves (UCR) represent the portion of the net contributions of takaful certificates written that relate to the unexpired periods of the certificates at the end of the financial year.

In determining the UCR at balance sheet date, the method that most accurately reflects the actual unearned contributions

is used, as follows: (a) 1/365th method for all General Takaful business within Malaysia. (b) 1/8th method for all classes of General Treaty Inward Retakaful business.

Provision for outstanding claims A liability for outstanding claims is recognised in respect of direct takaful business. The amount of outstanding claims is

the best estimate of the expenditure required together with related expenses less recoveries, if any, to settle the present obligation at the balance sheet date. Any difference between the current estimated cost and subsequent settlement is dealt with in the takaful revenue account for the Group and Company in the year in which the settlement takes place.

Provision is also made for the cost of claims, together with related expenses, incurred but not reported (“IBNR”) at balance sheet date, using a mathematical method of estimation by a qualified external actuary where historical claims experience are used to project future claims. As with all projections, there are elements of uncertainty and the projected claim may be different from actual. These uncertainties arise from changes in underlying risk, changes in spread of risks, claims settlement pattern as well as uncertainties in the projection model and underlying assumptions.

(o) Family takaful fund Included in family takaful fund is fund arising from:- • Family takaful; • Group family takaful; and • Family retakaful funds. The family takaful fund is maintained in accordance with the requirements of the Takaful (Amendment) Act, 1984 and

includes the amounts attributable to participants which represents the participants’ share of the return on the investments and are distributable in accordance with the terms and conditions prescribed by the Group.

The surplus transferable from the family takaful fund to the income statement is based on the surplus determined by an annual actuarial valuation of the long term liabilities to the participants.




(o) Family takaful fund (continued)

Contribution income Contribution is recognised as soon as the amount of the contribution can be reliably measured. Initial contribution is

recognised from inception date and subsequent contribution is recognised when it is due. For Individual family takaful contribution, recognition is up to the extent of one due amount.

At the end of each financial period, all due contributions are accounted for to the extent that they can be reliably

measured. Investment-linked business Investments of investment-linked business are stated at closing market prices. Any increase or decrease in value of these

investments is taken into the investment-linked business revenue account. Actuarial reserves Actuarial reserves comprise the unearned contribution reserves and the reserve computed under the net contribution

valuation as explained below : (i) Unearnedcontributionreserve The Unearned Contributions Reserve (UCR) of group family fund (except for Mortgage Reducing Term Takaful

(“MRTT” as detailed below) products) and family retakaful fund represents the portion of the net contributions of takaful certificates written that relate to the unexpired periods of the certificates at the end of the financial year.

In determining the UCR at balance sheet date, the method that most accurately reflects the actual unearned contributions is used, as follows:

(a) 1/365th method for all group family takaful business within Malaysia. (b) A pro-rata basis based on a time apportionment method for family retakaful business. (ii) Netcontributionvaluation The actuarial liabilities for MRTT products managed under group family fund and Participants’ Special Account (PSA)

are calculated using the net contribution method of valuation (“NCV”). The liability is ascertained by deducting the present value of future net contribution from the present value of the future amount-at-risk.As with all projections, there are elements of uncertainty and the projected liability may be different from actual.

These uncertainties arise from changes in underlying risk, changes in spread of risks, claims settlement pattern as well as uncertainties in the projection model and underlying assumptions.




(o) Family takaful fund (continued)

Provision for outstanding claims Claims and settlement costs that are incurred during the financial year are recognised when a claimable event occurs

and/or the Group or the Company is notified.

Claims and provisions for claims arising on family and group family takaful certificates, including settlement costs, are accounted for using the case basis method and for this purpose, the benefits payable under a family takaful certificate are recognised as follows:

(a) maturity or other policy benefit payments due on specified dates are accounted for as claims payable on the due dates.

(b) death, surrender and other benefits without due dates are treated as claims payable on the date of receipts of intimation of death of the participant or occurrence of contingency covered.

(c) for group health business, provision is made for the cost of claims, together with related expenses, incurred but not reported (“IBNR”) at balance sheet date, using a mathematical method of estimation by a qualified actuary where historical claims experience are used to project future claims. As with all projections, there are elements of uncertainty and the projected claim may be different from actual.

These uncertainties arise from changes in underlying risk, changes in spread of risks, claim settlement pattern as well as uncertainties in the projection model and underlying assumptions.

(p) Other revenue recognition

Income from financing are recognised on an accrual basis, except where financing is considered non-performing, i.e. where repayments are in arrears for more than six months, in which case recognition of such income is suspended. Subsequent to suspension, income is recognised on the receipt basis until all arrears have been paid.

Income is recognised on a time proportion basis that takes into account the effective yield of the asset.

Wakalah fees are recognised as income or expenses by respective funds based on a predetermined percentage of gross contributions upon inception of certificates. Wakalah surplus/(deficit) is arrived at after deducting commission and management expenses against the Wakalah fees charged.

Rental is recognised on an accrual basis except where default in payment of rent has already occurred and rent dues remains outstanding for over six months, in which case recognition of rental income is suspended. Subsequent to suspension, income is recognised on the receipt basis until all arrears have been paid.

Dividend is recognised when the right to receive payment is established. (q) Zakat This represents tithes payable by the Company to comply with the Principles of Shariah and as approved by the Shariah

Advisory Body.

(r) Management expenses Management expenses are charged to shareholders’ fund.




(s) Tax expense Tax expense comprises current and deferred tax. Tax expense is recognised in the income statement except to the extent

that it relates to items recognised directly in equity, in which case it is recognised in equity. Current tax 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 recognised using the balance sheet method, providing for temporary differences between the carrying amounts of assets and liabilities for reporting purposes and the amounts used for taxation purposes. Deferred tax is not recognised for the temporary differences in relation to the initial recognition of goodwill, the initial recognition of assets or liabilities in a transaction that is not a business combination and that affects neither accounting nor taxable profit / loss. Deferred tax is measured at the tax rates that are expected to be applied to the temporary differences when they reverse, based on the laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax liability is recognised for all taxable temporary differences. A deferred tax asset is recognised to the extent that it is probable that future taxable profits will be available against which

temporary difference can be utilised. Deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer probable that the related tax benefit will be realised.

Additional taxes that arise from the distribution of dividends are recognised at the same time as the liability to pay the

related dividend is recognised.

(t) Operating lease payments The Group recognises its Ijarah financing obligations as operating leases. Lease payments under the operating lease are

recognised as an expense in the income statement on a straight-line basis over the lease term.

(u) Earnings per share The Group presents basic and diluted earnings per shares (“EPS”) data for its ordinary shares. Basic EPS is calculated

by dividing the profit or loss attributable to ordinary shareholders of the Company by the weighted average number of ordinary shares outstanding during the period.

Diluted EPS is determined by adjusting the profit or loss attributable to ordinary shareholders and the weighted average number of ordinary shares outstanding for the effects of all dilutive potential ordinary shares, which comprise share options granted to employees.

(v) Segment reporting A segment is a distinguishable component of the Group that is engaged either in providing products or services (business

segment), or in providing products or services within a particular economic environment (geographical segment), which is subject to risks and rewards that are different from those of other segments.



3 Property and equipment

(a) Shareholders’ Fund Office equipment, Renovation furniture, Group Freehold and building Motor fixtures and Land Buildings in progress vehicles fittings Total Cost RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

As restated at 1 July 2007 1,841 9,176 11,342 2,539 77,655 102,553 Additions - 266 217 10 15,071 15,564 Disposals - - - (682) - (682) Write off of assets - - - - (5,999) (5,999) Assets held for sale - - (664) (62) (992) (1,718) Reclassification/adjustment - (244) - - 107 (137) Translation difference - 129 - (76) (581) (528)

At 30 June 2008 1,841 9,327 10,895 1,729 85,261 109,053

Accumulated depreciation

As restated at 1 July 2007 - 1,689 436 1,394 49,706 53,225 Charge for the year - 420 - 242 16,909 17,571 Disposals - - - (531) - (531) Write-off of assets - - - - (1,451) (1,451) Assets held for sale - - (436) (62) (880) (1,378) Reclassification/adjustment - - - (63) (55) (118) Translation difference - (44) - (37) (421) (502)

At 30 June 2008 - 2,065 - 943 63,808 66,816

Net book value At 30 June 2008 1,841 7,262 10,895 786 21,453 42,237



3 Property and equipment (Continued)

(a) Shareholders’ Fund (continued) Office equipment, Renovation furniture, Group Freehold Leasehold and building Motor fixtures and Land Buildings Land Buildings in progress vehicles fittings Total Cost RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 At 1 July 2006 5,183 8,972 223 1,393 3,818 2,196 75,679 97,464 Effect on adoption of FRS 117 (Note 4) (2,758) (42) (223) (1,393) - - - (4,416)

As restated - at 1 July 2006 2,425 8,930 - - 3,818 2,196 75,679 93,048 Additions - 454 - - 6,178 652 8,152 15,436 Disposals - (49) - - - (271) (94) (414) Write off of assets - - - - - - (4,511) (4,511) Reclassification - - - - 1,390 - (1,390) - Translation difference (584) (159) - - (44) (38) (181) (1,006) As restated - at 30 June 2007 1,841 9,176 - - 11,342 2,539 77,655 102,553


At 1 July 2006 - 1,435 31 374 371 1,152 33,697 37,060 Effect on adoption of

FRS 117 (Note 4) - - (31) (374) - - - (405)

As restated - at 1 July 2006 - 1,435 - - 371 1,152 33,697 36,655 Charge for the year - 719 - - 89 501 16,787 18,096 Disposals - (152) - - - (257) (5) (414) Reclassification - (277) - 277 - - - - Effect on adoption of

FRS 117 (Note 4) - - - (277) - - - (277) Translation difference - (36) - - (24) (2) (428) (490) Write-off of assets - - - - - - (345) (345)

At 30 June 2007 - 1,689 - - 436 1,394 49,706 53,225

Net book value As restated

- at 30 June 2007 1,841 7,487 - - 10,906 1,145 27,949 49,328




(a) Shareholders’ Fund (continued) Office equipment, Renovation furniture, Company Freehold Leasehold and building Motor fixtures and Land Buildings Land Buildings in progress vehicles fittings Total Cost RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

As at 1 July 2007 1,841 4,179 - - 10,678 1,386 68,370 86,454 Additions - - - - 217 - 14,332 14,549 Disposals - - - - - (670) - (670) Write off of assets - - - - - - (5,999) (5,999) Reclassification - - - - - - - -

At 30 June 2008 1,841 4,179 - - 10,895 716 76,703 94,334


As at 1 July 2007 - 1,066 - - - 800 42,810 44,676 Charge for the year - 84 - - - 138 15,935 16,157 Disposals - - - - - (525) - (525) Write-off of assets - - - - - - (1,451) (1,451)

At 30 June 2008 - 1,150 - - - 413 57,294 58,857

Net book value At 30 June 2008 1,841 3,029 - - 10,895 303 19,409 35,477

Cost

At 1 July 2006 1,841 4,179 223 1,393 3,123 1,289 67,049 79,097 Effect on adoption of FRS 117 (Note 4) - - (223) (1,393) - - - (1,616)

As restated 1,841 4,179 - - 3,123 1,289 67,049 77,481 Additions - - - - 6,165 366 7,222 13,753 Disposals - - - - - (269) - (269) Write off of assets - - - - - - (4,511) (4,511) Reclassification - - - - 1,390 - (1,390) -

As restated - at 30 June 2007 1,841 4,179 - - 10,678 1,386 68,370 86,454


At 1 July 2006 - 860 31 374 - 853 27,718 29,836 Effect on adoption of FRS 117 (Note 4) - - (31) (374) - - - (405)

As restated - 860 - - - 853 27,718 29,431 Charge for the year - 206 - - - 204 15,437 15,847 Disposals - - - - - (257) - (257) Write-off of assets - - - - - - (345) (345)

At 30 June 2007 - 1,066 - - - 800 42,810 44,676

Net book value As restated - at 30 June 2007 1,841 3,113 - - 10,678 586 25,560 41,778




(b) Family Takaful Fund Office equipment, Renovation furniture, Group Freehold Leasehold and building fixtures and Land Buildings Land Buildings in progress fittings Total Cost RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 At 1 July 2007 2,243 4,478 - - 1,418 1,496 9,635 Transfer to investment properties (Note 5) (2,243) (4,478) - - - - (6,721)

As restated - - - - 1,418 1,496 2,914 Additions - - - - - 88 88 Transfer to investment properties (Note 5) - - - - (1,349) - (1,349) Write off of assets - - - - (69) - (69)

At 30 June 2008 - - - - - 1,584 1,584


At 1 July 2007 - 389 - - - 1,269 1,658 Transfer to Investment properties (Note 5) - (389) - - - - (389)

As restated - - - - - 1,269 1,269 Charge for the year - - - - - 54 54

At 30 June 2008 - - - - - 1,323 1,323

Net book value At 30 June 2008 - - - - - 261 261




(b) Family Takaful Fund (continued) Office equipment, Renovation furniture, Group Freehold Leasehold and building fixtures and Land Buildings Land Buildings in progress fittings Total Cost RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 At 1 July 2006 - - - - 2 1,321 1,323 Additions - - - - 1,416 175 1,591 Transfer from investment (Note 8) 2,321 4,638 - - - - 6,959 Translation difference (78) (160) - - - - (238)

At 30 June 2007 2,243 4,478 - - 1,418 1,496 9,635


At 1 July 2006 - - - - - 1,197 1,197 Charge for the year - 414 - - - 72 486 Translation difference - (25) - - - - (25)

At 30 June 2007 - 389 - - - 1,269 1,658

Net book value At 30 June 2007 2,243 4,089 - - 1,418 227 7,977

Company

Cost

At 1 July 2007 - - - - 1,415 1,496 2,911 Additions - - - - - 86 86 Transfer to investment properties (Note 5) - - - - (1,349) - (1,349) Write off of assets - - - - (66) - (66)

At 30 June 2008 - - - - - 1,582 1,582


At 1 July 2007 - - - - - 1,266 1,266 Charge for the year - - - - - 55 55

At 30 June 2008 - - - - - 1,321 1,321





(b) Family Takaful Fund (continued) Office equipment, Renovation furniture, Company Freehold Leasehold and building fixtures and Land Buildings Land Buildings in progress fittings Total Cost RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

At 1 July 2006 - - - - 2 1,321 1,323 Additions - - - - 1,413 175 1,588

At 30 June 2007 - - - - 1,415 1,496 2,911


At 1 July 2006 - - - - - 1,193 1,193 Charge for the year - - - - - 73 73

At 30 June 2007 - - - - - 1,266 1,266

Net book value At 30 June 2007 - - - - 1,415 230 1,645



3 Property and equipment (Continued) (c) General Takaful Fund

Office equipment, Renovation furniture, Group Freehold Leasehold and building fixtures and Land Buildings Land Buildings in progress fittings Total Cost RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 At 1 July 2007 - - - - 582 4,908 5,490 Write off of assets - - - - (582) (4,351) (4,933)

At 30 June 2008 - - - - - 557 557


At 1 July 2007 - - - - 582 4,901 5,483 Charge for the year - - - - - 1 1 Write off of assets - - - - (582) (4,351) (4,933)

At 30 June 2008 - - - - - 551 551


Cost At 1 July 2006/ At 30 June 2007 - - - - 582 4,908 5,490


At 1 July 2006/ At 30 June 2007 - - - - 146 3,227 3,373 Charge for the year - - - - 436 1,674 2,110

At 30 June 2007 - - - - 582 4,901 5,483





(c) General Takaful Fund (continued)

Office equipment, furniture, Company Freehold Leasehold fixtures and Land Buildings Land Buildings fittings Total Cost RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

At 1 July 2007/ At 30 June 2008 - - - - 557 557

Accumulated depreciation At 1 July 2007 - - - - 550 550 Charge for the year - - - - 1 1

At 30 June 2008 - - - - 551 551

Net book value At 30 June 2008 - - - - 6 6

Cost At 1 July 2006/ At 30 June 2007 - - - - 557 557

Accumulated depreciation At 1 July 2006 - - - - 548 548 Charge for the year - - - - 2 2

At 30 June 2007 - - - - 550 550

Net book value At 30 June 2007 - - - - 7 7



4 Prepaid lease payments

Shareholder’s Fund

Group Company

Unexpired Unexpired Unexpired Unexpired period period period period

less than more than less than more than 50 years 50 years Total 50 years 50 years Total RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Cost

At 1 July 2006 - - - - - - Effect of adopting FRS 117 (Note 3) 2,800 1,616 4,416 - 1,616 1,616

At 1 July 2006, as restated 2,800 1,616 4,416 - 1,616 1,616 Additions - - - - - -

At 30 June 2007/ 1 July 2007 2,800 1,616 4,416 - 1,616 1,616 Translation difference (196) - (196) - - -

At 30 June 2008 2,604 1,616 4,220 - 1,616 1,616

Amortisation At 1 July 2006 - - - - - - Effect of adopting FRS 117 (Note 3) - 405 405 - 405 405

At 1 July 2006, as restated - 405 405 - 405 405 Amortisation for the year - (91) (91) - (91) (91)Effect of adopting FRS 117 (Note 3) 277 - 277 - - -

At 30 June 2007/1 July 2007 277 314 591 - 314 314 Amortisation for the year - 31 31 - 31 31 Translation difference (20) - (20) - - -

At 30 June 2008 257 345 602 - 345 345

Carrying amounts At 1 July 2006 2,800 1,211 4,011 - 1,211 1,211

At 30 June 2007/ 1 July 2007 2,523 1,302 3,825 - 1,302 1,302

At 30 June 2008 2,347 1,271 3,618 - 1,271 1,271



5 Investment properties

Group Shareholders’ Fund Family Takaful General Takaful 2008 2007 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

At 1 July 2007/2006 26,507 25,030 200,053 200,173 40,376 40,847 Transfer from property and equipment (Note 3) - - 6,330 - - - Transfer to Family Takaful Fund (1,933) - - - - - Transfer from Shareholders Fund - - 1,933 - - -

As restated, 1 July 24,574 25,030 208,316 200,173 40,376 40,847 Additions 213 1,134 - 2,896 34 259 Disposal (518) - (424) (2,472) (216) - Fair value gain/(loss) for the year - net 2,162 343 10,658 (544) 2,869 (730) Transfer from property and equipment ( Note 3) - - 1,349 - - - Translation difference (62) - (347) - (11) -

At 30 June 2008/2007 26,369 26,507 219,552 200,053 43,052 40,376

Comprising of: Freehold land 9,452 8,523 65,539 62,010 10,767 9,584 Freehold building 10,232 11,252 124,124 114,861 21,045 19,094 Leasehold land more than 50 years 1,150 1,114 8,829 7,780 2,134 2,204 Leasehold building more than 50 years 5,535 5,618 12,981 10,562 3,106 3,494 Leasehold land less than 50 years - - 3,663 1,692 1,540 1,540 Leasehold building less than 50 years - - 4,416 3,148 4,460 4,460

26,369 26,507 219,552 200,053 43,052 40,376

The following are amounts arising from investment properties that have been recognised in the income statement / revenue accounts during the financial year.

Rental income 2,263 2,710 16,454 15,689 2,941 3,119



5 Investment properties (Continued) Company Shareholders’ Fund Family Takaful General Takaful 2008 2007 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

At 1 July 2007/2006 23,667 23,737 199,446 197,079 40,149 39,815 Additions - - - 2,896 34 259 Fair value gain/(loss) for the year - net 2,158 (70) 10,658 (529) 2,869 75 Transfer from property and equipment (Note 3) - - 1,349 - - -

At 30 June 2008/2007 25,825 23,667 211,453 199,446 43,052 40,149

Comprising of: Freehold land 9,452 8,523 65,539 62,010 10,767 9,584 Freehold building 9,688 8,412 121,303 114,311 21,045 19,095 Leasehold land more than 50 years 1,150 1,114 8,829 7,780 2,134 2,204 Leasehold building more than 50 years 5,535 5,618 12,981 12,562 3,106 3,426 Leasehold land less than 50 years - - 1,692 1,692 1,540 1,540 Leasehold building less than 50 years - - 1,109 1,091 4,460 4,300

25,825 23,667 211,453 199,446 43,052 40,149

The following are amounts arising from investment properties that have been recognised in the income statement/revenue accounts during the financial year.

Rental income 2,244 2,365 15,775 15,211 2,941 3,102

The Group’s properties were valued by independent firms of professional valuer, using the comparison, cost and investment methods of valuation.

In the comparison method approach, the sales and listings of comparable properties recorded within nearby locations are

compiled. From the compiled data, adjustments are made between the subject property and those similar properties. The adjustments made are in relation to location, size and shape of the lot, physical features, legal and legislative constraints,

building design and condition, time element, planning provision, improvements and renovation works made, if any, surrounding developments, facilities and amenities available and other factors that may affect the value of the subject property. These adjustments are therefore subject to uncertainties such as property market outlook, potential increases in rental rates and general economic conditions.

In the cost method approach, the indication of values consists of the sum of the present worth of the improvement value.



5 Investment properties (Continued)

For the valuation of the improvements, the valuers have considered the following:- i. Cost of replacement of the building in accordance with current trend of market prices for materials, labour, contractor’s

overhead, profit and fees; ii. Accrued depreciation as evidenced by the observed condition and present and prospective serviceability in comparison

with new units of like kind; and; iii. Extent, character and utility of the property. The Investment method is the capitalisation of net rent from a property. Net rent is the residue of gross annual rent less annual

expenses (outgoings) required to sustain the rent with allowance for void and management fees. The range of yield applied to the net annual rentals to determine fair value of the property is between 6% to 7%.

The external valuer has considered the results of all these three methods in their valuation and applied professional judgement

in the selection of the fair value of these investment properties.

6 Investment in subsidiaries Shareholders’ Family General Company Fund Takaful Takaful RM’000 RM’000 RM’000 2008 Unquoted shares, at cost 27,002 29,963 1,970 Transfer to Shareholders’ Fund (Interfund) 31,933 (29,963) (1,970) Reclassified as asset held for sale (Note 12) (31,385) - -

27,550 - -

2007 Unquoted shares, at cost 27,002 29,963 1,970

The principal activities of the subsidiaries, their country of incorporation and the interest of Syarikat Takaful Malaysia Berhad are as follows:

Country of Effective Name of companies Principal activities incorporation interests 2008 2007 % % Asean Retakaful International Family and general (L) Ltd. (“ARIL”)** retakaful business Malaysia 63.09 63.09 P.T. Syarikat Takaful Indonesia* and its subsidiaries Investment holding Indonesia 56 56 P.T. Asuransi Takaful Umum* General takaful business Indonesia 56 56 P.T. Asuransi Takaful Keluarga* Family takaful business Indonesia 56 56 * Not audited by KPMG Desa Megat & Co ** Audited by a firm affiliated with KPMG Desa Megat & Co

During the year, the investment in ARIL has been classified as asset held for sale (see Note 12).



7 Investment in associate Investment in associate company was fully written down during financial year ended 30 June 2007.

8 Investments

(a) Shareholders’ Fund 2008 2007 Market Market Cost/ Value/ Cost/ Value/ Group Valuation Fair Value Valuation Fair Value RM’000 RM’000 RM’000 RM’000 Quoted: Shares - In Malaysia 24,355 15,838 - Outside Malaysia 2,001 111 Allowance for diminution - (1,370)

26,356 27,156 14,579 22,093

Unit trusts 3,248 7,462 Allowance for diminution - (1,902)

3,248 3,375 5,560 5,560

Unquoted: Shares - In Malaysia 380 878 - Outside Malaysia - 52

380 930

Islamic debt securities 8,597 8,347 30,840 31,306

Investment in investments - linked funds 18,212 13,086 Transfer to investment properties (Note 5) - (1,293)

18,212 20,824 11,793 13,395

Deposits and money market placement with: Licensed banks - Local 64,538 146,283 - Foreign 15,974 19,414

80,512 165,697

Total investments 137,305 229,399

Investments maturing more than twelve months 13,841 66,522



8 Investments (Continued)

(a) Shareholders’ Fund (continued) 2008 2007 Market Market Cost/ Value/ Cost/ Value/ Company Valuation Fair Value Valuation Fair Value RM’000 RM’000 RM’000 RM’000 Quoted: Shares - In Malaysia 24,355 15,755 Allowance for diminution - (1,287)

24,355 25,155 14,468 21,689

Unit trusts - 3,526 Allowance for diminution - (1,902)

- - 1,624 1,624

Unquoted: Shares - In Malaysia 380 878

Islamic debt securities 5,613 5,363 5,653 6,120

Investment in investments-linked funds 18,164 20,776 11,398 13,000

Deposits and money market placement with: Licensed banks 64,538 114,269

64,538 114,269





8 Investments (Continued) (b) Family Takaful Fund 2008 2007 Market Market Cost/ Value/ Cost/ Value/ Group Valuation Fair Value Valuation Fair Value RM’000 RM’000 RM’000 RM’000 Quoted: Shares - In Malaysia 114,910 78,459 - Outside Malaysia 3 1,467 Allowance for diminution (12,510) (1,443)

102,403 102,403 78,483 107,913

Unit trusts 68,646 12,457 Allowance for diminution (533) (2,737)

68,113 70,571 9,720 9,837

Unquoted: Malaysian Government Islamic papers 411,607 371,061 Amortisation of premiums - (345)

411,607 394,998 370,716 378,972

Shares - In Malaysia - 181 - Outside Malaysia - 7,571

- 7,752

Islamic debt securities 1,149,136 906,520 Allowance for diminution (1,725) (12,386)

1,147,411 1,092,502 894,134 973,137

Unit trusts - 16,493

Other investments - 9,981 Transfer to investment properties (Note 5) - (3,022) Transfer to property and equipment (Note 3) - (6,959)

- -

Investment-linked funds - 12,905

Deposits and money market placement with: Licensed banks - Local 695,023 685,542 - Foreign 42,351 34,766 Licensed finance companies - 44,755

737,374 765,063

Total investments 2,466,908 2,155,266

Investments maturing more than twelve months 1,567,315 1,478,449




(b) Family Takaful Fund (continued) 2008 2007 Market Market Cost/ Value/ Cost/ Value/ Company Valuation Fair Value Valuation Fair Value RM’000 RM’000 RM’000 RM’000 Quoted: Shares - In Malaysia 114,910 78,459 Allowance for diminution (12,510) (1,443)

102,400 102,400 77,016 106,445


48,217 48,420 4,215 4,328

Unquoted: Malaysian Government Islamic papers 411,607 371,061 Amortisation of premiums - (345)

411,607 394,998 370,716 378,972

Shares - In Malaysia - 181

Islamic debt securities 1,132,995 897,788 Allowance for diminution (1,725) (12,386)

1,131,270 1,076,361 885,402 964,405

Unit trusts - 16,493

Deposits and money market placement with: Licensed banks 695,022 679,680 Licensed finance companies - 44,755

695,022 724,435

Total investments 2,388,516 2,078,458

Investments maturing more than twelve months 1,552,859 1,443,665




(c) Investment-linked Fund 2008 2007 Market Market Cost/ Value/ Cost/ Value/ Group Valuation Fair Value Valuation Fair Value RM’000 RM’000 RM’000 RM’000 Quoted: Shares in Malaysia 13,967 13,601 Shares outside Malaysia 23,680 - Unrealised gains/(losses) 1,790 5,869

39,437 39,437 19,470 19,470

Unit Trust 9,483 9,483 - -

Unquoted: Islamic debt securities 14,234 12,136 Unrealised losses (452) (40)

13,782 13,782 12,096 12,096



Company

Quoted: Shares in Malaysia 13,967 13,601 Unrealised gains/(losses) 1,790 5,869

15,757 15,757 19,470 19,470

Unquoted: Islamic debt securities 14,234 12,136 Unrealised losses (452) (40)

13,782 13,782 12,096 12,096






(d) General Takaful Fund 2008 2007 Market Market Cost/ Value/ Cost/ Value/ Group Valuation Fair Value Valuation Fair Value RM’000 RM’000 RM’000 RM’000 Quoted: Shares - In Malaysia 38,307 25,617 Allowance for diminution - (294)

38,307 40,545 25,323 35,550


5,468 5,554 1,617 1,617

Unquoted: Malaysian Government Islamic papers 92,151 96,073 Amortisation of premiums - (2,071)

92,151 89,042 94,002 95,778

Islamic debt securities - In Malaysia 147,131 94,189 Allowance for diminution (2,074) (2,074)

145,057 132,212 92,115 94,466

Deposits and money market placement with: Licensed banks - Local 142,099 194,972 - Foreign 2,022 6,780

144,121 201,752



Company

Quoted: Shares - In Malaysia 38,307 25,618 Allowance for diminution - (294)

38,307 40,545 25,324 35,550


2,826 2,911 1,617 1,617

Unquoted: Malaysian Government Islamic papers 92,151 96,073 Amortisation of premiums - (2,071)

92,151 89,042 94,002 95,778




(d) General Takaful Fund (continued) 2008 2007 Market Market Cost/ Value/ Cost/ Value/ Company (continued) Valuation Fair Value Valuation Fair Value RM’000 RM’000 RM’000 RM’000

Islamic debt securities 147,131 94,189 Allowance for diminution (2,074) (2,074)

145,057 132,212 92,115 99,466




9 Financing receivables Shareholders’ Family General Group Fund Takaful Takaful 2008 RM’000 RM’000 RM’000

Secured financing 3,470 23,081 5,164 Staff financing 12,167 - - Allowance for doubtful financing (2,935) (6,386) (5,140) Unsecured financing - 3,000 2,000

Total financing 12,702 19,695 2,024

Amount receivable after twelve months 13,433 3,540 -

2007

Secured financing 4,067 10,421 6,662 Staff financing 14,590 - - Allowance for doubtful financing (3,183) (7,368) (5,962) Unsecured financing - 3,000 2,000


Amount receivable after twelve months 14,358 - -

Company 2008 Secured financing 2,771 6,459 5,164 Staff financing 12,167 - - Allowance for doubtful financing (2,935) (6,386) (5,140) Unsecured financing - 3,000 2,000





9 Financing receivables (Continued) Shareholders’ Family General Company (continued) Fund Takaful Takaful 2007 RM’000 RM’000 RM’000 Secured financing 3,341 8,157 6,662 Staff financing 14,590 - - Allowance for doubtful financing (3,183) (7,368) (5,962) Unsecured financing - 3,000 2,000



10 Qardh Hasan receivables Shareholders’ Fund Group Company 2008 2008 RM’000 RM’000

Opening balance 4,444 - Increase during the year 108,130 80,861

112,574 80,861 Qardh Hasan written off (Note 27) (9,734) - Reclassified to Assets held for sale (Note 12) (21,979) -

Closing balance 80,861 80,861

11 Receivables Shareholders’ Family General Group Fund Takaful Takaful 2008 RM’000 RM’000 RM’000

Trade Receivables Due contributions - 60,091 77,063 Due from retakaful companies - 4,023 57,476

- 64,114 134,539 Allowance for bad and doubtful debts - (18,706) (60,729)

- 45,408 73,810

Other Receivables Investment receivable 659 40,460 4,598

Deposits 1,055 - - Due from Shareholders’ Fund (Note 14) - 12,034 - Due from Family Takaful Fund (Note 14) 296 - - Due from General Takaful Fund (Note 14) 7,928 5,563 - Due from ILB (Note 34) 1,127 4,209 370 Sundry receivables 5,880 4,295 3,041

16,945 66,561 8,009

Total receivables 16,945 111,969 81,819



11 Receivables (Continued) Shareholders’ Family General Group (continued) Fund Takaful Takaful 2007 RM’000 RM’000 RM’000

Trade Receivables Due contributions - 79,199 58,231 Due from retakaful companies - 15,362 22,905


- 62,010 54,864

Other Receivables Investment receivable 1,355 17,871 3,772 Tax recoverable 8,781 - - Deposits 1,029 - - Due from Shareholders’ Fund (Note 40) - 23,433 - Due from Family Takaful Fund (Note 14) 29,506 - 8,480 Due from General Takaful Fund (Note 14) 6,905 - -

Due from ILB (Note 34) 470 661 - Sundry receivables 13,116 16,513 3,118

61,162 58,478 15,370


Company 2008 Trade Receivables Due contributions - 48,649 70,073 Due from retakaful companies - 1,599 47,857


- 36,535 58,461

Other Receivables Investment receivable 659 40,460 4,598 Deposits 1,055 - - Due from Family Takaful Fund (Note 14) 296 - - Due from General Takaful Fund (Note 14) 7,928 5,563 - Due from ILB (Note 34) 1,127 4,209 370 Sundry receivables 2,768 1,160 471

13,833 51,392 5,439




11 Receivables (Continued) Shareholders’ Family General Company (continued) Fund Takaful Takaful 2007 RM’000 RM’000 RM’000 Trade Receivables Due contributions - 71,127 55,744 Due from retakaful companies - 9,942 18,649


- 48,518 48,121

Other Receivables Amount due from subsidiaries 144 - - Investment receivable 1,355 17,871 3,772 Tax recoverable 8,781 - - Deposits 1,029 - - Due from Family Takaful Fund (Note 14) 27,149 - 8,480 Due from General Takaful Fund (Note 14) 6,089 - - Due from ILB (Note 34) 470 661 - Sundry receivables 2,511 14,951 3,119

47,528 33,483 15,371


During the year, the Group and the Company wrote off General Takaful Due Contributions of RM nil (2007: RM67,721,000) against the allowance for bad and doubtful debts.

Amounts due from subsidiaries and associated company are non-trade, unsecured, interest free and repayable on demand.

12 Assets held for sale

As at 30 June 2008, the assets and liabilities held for sale are as follows:

Group Assets classified as held for sale Shareholders’ Fund 2008 2007 RM’000 RM’000 Property and equipment 210 - Investments 30,925 - Qardh Hasan - Receivables 1,671 - Receivables 6,106 - Cash and bank balances 452 -

39,364 -



12 Assets held for sale (Continued)

i) Property and equipment held for sale comprise the following:

Shareholders’ Fund 2008 2007 RM’000 RM’000 Plant and equipment: Cost 1,654 1,718

Accumulated depreciation (1,444) (1,378)

210 340

ii) The Qardh Hasan amount of Assets Held for Sale after deducting impairment loss for the year of RM20,308,000 is as

follows:-

RM’000 Qardh Hasan receivable 21,979

Impairment loss (Note 27) (20,308)

Balance outstanding 1,671

Liabilities classified as held for sale Shareholders’ Fund 2008 2007 RM’000 RM’000

Payables 3,233 -

3,233 -

Company Shareholders’ Fund 2008 2007 Reclassification of cost of investment in subsidiary - ARIL (Note 6) 31,385 - Provision for diminution in value (Note 27) (8,513) -

22,872 -

13 Cash and bank balances Group Company 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000 Shareholders’ Fund Current account with a related company (Islamic financial institution) 9,237 15,843 8,036 12,952 Other current accounts 506 53 261 48

9,743 15,896 8,297 13,000

Family Takaful Current account with a related company (Islamic financial institution) 100,538 53,877 95,043 42,743 Other current accounts 6,378 - 362 -

106,916 53,877 95,405 42,743

General Takaful Current account with a related company (Islamic financial institution) 12,152 22,583 11,987 22,583 Other current accounts 28,125 2,155 22,876 -

40,277 24,738 34,863 22,583



14 Payables Shareholders’ Family General Group Fund Takaful Takaful 2008 RM’000 RM’000 RM’000

Due to retakaful companies - 3,195 36,846 Advanced takaful contribution - 13,643 11,091 Profit payable to participants - 7,355 9,356 Zakat payable 3,585 - - Deposit payable 648 - - Unclaimed monies - - 7,219 Due to Shareholders’ Fund (Note 11) - 296 7,928 Due to Family Takaful Fund (Note 11) 12,034 - 5,563 Other payables and accruals 28,124 105,049 51,504

Total payables 44,391 129,538 129,507

Group 2007

Due to retakaful companies - 10,604 61,605 Advanced takaful contribution - 11,995 15,970 Profit payable to participants - 7,310 116 Zakat payable 3,451 - - Deposit payable 652 - - Unclaimed monies - - 232 Due to Shareholders’ Fund (Note 11) - 29,506 6,905 Due to General Takaful Fund (Note 11) - 8,480 - Due to Family Takaful Fund (Note 40) 23,433 - - Due to ILB (Note 34) - - 1 Other payables and accruals 76,653 48,898 43,373

Total payables 104,189 116,793 128,202



14 Payables (Continued) Shareholders’ Family General Company Fund Takaful Takaful 2008 RM’000 RM’000 RM’000

Due to retakaful companies - 2,652 35,112 Advanced takaful contribution - 13,643 11,091 Profit payable to participants - 7,355 9,356 Deposit payable 647 - - Zakat payable 3,287 - - Unclaimed monies - - 7,219 Due to Shareholders’ Fund (Note 11) - 296 7,928 Due to Family Takaful Fund (Note 11) - - 5,563 Other payables and accruals 19,042 90,495 45,483

Total payables 22,976 114,441 121,752

Company 2007

Due to retakaful companies - 7,488 61,829 Advanced takaful contribution - 11,957 15,941 Profit payable to participants - 7,310 - Deposit payable 652 - - Zakat payable 2,647 - - Unclaimed monies - - 232 Due to Shareholders’ Fund (Note 11) - 27,149 6,089 Due to General Takaful Fund (Note 11) - 8,480 - Due to ILB (Note 34) - - 1 Other payables and accruals 31,585 48,284 39,165

Total payables 34,884 110,668 123,257

15 Provision for outstanding claims 2008 2007 Family General Family General Group Takaful Takaful Takaful Takaful RM’000 RM’000 RM’000 RM’000

Provision for outstanding claims 56,254 459,279 87,247 311,884 Retakaful recoveries (6,707) (273,681) (2,057) (147,590)

Net outstanding claims 49,547 185,598 85,190 164,294

Company

Provision for outstanding claims 49,420 409,384 71,037 285,263 Retakaful recoveries (6,707) (254,951) (2,057) (147,590)

Net outstanding claims 42,713 154,433 68,980 137,673



16 Deferred taxation

Shareholders’ Fund

Deferred tax assets and liabilities are attributable to the following:-

Assets Liabilities Net 2008 2007 2008 2007 2008 2007 Group RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Property and equipment (5,427) (4,619) - - (5,427) (4,619) Qardh Hasan receivables - - 21,024 - 21,024 - Investments (906) (3,365) - - (906) (3,365) Financing receivables (2,091) (1,939) - - (2,091) (1,939) Receivables (3,468) (1,520) - - (3,468) (1,520) Unearned contribution reserves - - - 266 - 266 Payables (6,177) (3,970) - - (6,177) (3,970) Unabsorbed tax losses (19,595) - - - (19,595) -

Tax (assets)/liabilities (37,664) (15,413) 21,024 266 (16,640) (15,147)

Set off of tax 21,024 266 (21,024) (266) - -

Net tax (assets)/liabilities (16,640) (15,147) - - (16,640) (15,147)

Assets Liabilities Net 2008 2007 2008 2007 2008 2007 Company RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Property and equipment (5,244) (4,619) - - (5,244) (4,619) Qardh Hasan receivables - - 21,024 - 21,024 - Investments (906) (1,411) - - (906) (1,411) Financing receivables (2,091) (1,939) - - (2,091) (1,939) Receivables (2,595) (1,520) - - (2,595) (1,520) Unearned contribution reserves - - - 266 - 266 Payables (3,031) (3,970) - - (3,031) (3,970) Unabsorbed tax losses (19,595) - - - (19,595) -

Tax (assets)/liabilities (33,462) (13,459) 21,024 266 (12,438) (13,193)

Set off of tax 21,024 266 (21,024) (266) - -

Net tax (assets)/liabilities (12,438) (13,193) - - (12,438) (13,193)



16 Deferred taxation (Continued)

Shareholders’ Fund (continued)

Movement in temporary differences during the year:- Recognised As at Recognised As at in income Exchange As at 1 July in income Exchange 30 June statement Differences/ 30 June 2006 statement Differences 2007 (Note 31) Adjustment 2008 Group RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Property and equipment 4,850 (9,469) - (4,619) (816) 8 (5,427) Qardh Hasan receivables - - - - 21,024 - 21,024 Investments (11,269) 8,622 (718) (3,365) 2,459 - (906) Financing receivables (3,231) 1,292 - (1,939) (152) - (2,091) Receivables - (1,520) - (1,520) (1,948) - (3,468) Unearned contribution reserves - 266 - 266 (266) - - Payables - (3,970) - (3,970) (2,300) 93 (6,177) Unabsorbed tax losses - - - - (19,595) - (19,595)

Tax (assets)/liabilities (9,650) (4,779) (718) (15,147) (1,594) 101 (16,640)

Movement in temporary differences during the year:- Recognised As at Recognised As at in income As at 1 July in income 30 June statement 30 June 2006 statement 2007 (Note 31) 2008 Company RM’000 RM’000 RM’000 RM’000 RM’000

Property and equipment 4,850 (9,469) (4,619) (625) (5,244) Qardh Hasan receivables - - - 21,024 21,024 Investments (11,269) 9,858 (1,411) 505 (906) Financing receivables (3,231) 1,292 (1,939) (152) (2,091) Receivables - (1,520) (1,520) (1,075) (2,595) Unearned contribution reserves - 266 266 (266) - Payables - (3,970) (3,970) 939 (3,031) Unabsorbed tax losses - - - (19,595) (19,595)

Tax (assets)/liabilities (9,650) (3,543) (13,193) 755 (12,438)

17 Minority shareholders’ interests

This consists of the minority shareholder’s proportion of share capital and reserves of subsidiaries.



18 Family Takaful Fund Group Company 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000 Participants’ Account (PA)

At beginning of the year As previously reported 1,602,121 1,444,679 1,528,677 1,390,840 Prior year adjustment (Note 40) 23,433 22,500 - -

As restated 1,625,554 1,467,179 1,528,677 1,390,840 Add: Increase in PA 207,190 82,929 171,712 70,016

1,832,744 1,550,108 1,700,389 1,460,856 Profit attributable to participants 78,100 65,558 74,024 56,163

1,910,844 1,615,666 1,774,413 1,517,019

Movement in unrealised gain in investment and other reserves: - At beginning of the year (20,773) (13,390) (20,773) (13,390) - At end of the year 16,282 20,773 16,282 20,773

(4,491) 7,383 (4,491) 7,383

Special reserve 5,116 4,275 5,116 4,275 Interfund 29,963 - - - Translation reserve (11,359) (1,770) - -

At end of the year 1,930,073 1,625,554 1,775,038 1,528,677

Participants’ Special Account (PSA)

At beginning of the year 568,479 524,693 569,227 527,142 Add: Increase in PSA 3,360 19,997 2,821 19,542

571,839 544,690 572,048 546,684 Profit attributable to participants 34,586 22,477 34,436 22,543

606,425 567,167 606,484 569,227

Movement in special reserves: - At beginning of the year (6,583) (6,583) (6,583) (6,583) - At end of the year 6,583 6,583 6,583 6,583

- - - -

Translation reserve (135) 1,312 - -

At end of the year 606,290 568,479 606,484 569,227



18 Family Takaful Fund (Continued) Group Company 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000 Group Family Takaful Fund (GFTA)

At beginning of the year 180,811 151,720 193,606 152,567 Profit /(Loss) attributable to participants 45,279 (86,549) 41,538 (72,496) Movement in Qardh Hasan 94,280 (431) 80,861 -

320,370 64,740 316,005 80,071

Movement in actuarial reserves: - At beginning of the year (197,012) (82,408) (193,740) (80,205) - At end of the year 250,470 197,012 246,125 193,740

53,458 114,604 52,385 113,535

Movement in special reserves: - At beginning of the year (9,145) (9,145) (9,145) (9,145) - At end of the year 9,145 9,145 9,145 9,145

- - - -

Translation reserves 1,075 1,467 - -

At end of the year 374,903 180,811 368,390 193,606

Family Takaful fund at end of the year 2,911,266 2,374,844 2,749,912 2,291,510

In the valuation of the Participants’ Special Account (PSA) and Mortgage Reducing Term Takaful (MRTT) of Group Family Takaful Fund (GFTA) funds carried out by a qualified actuary, the net contribution method of valuation (with negative reserves eliminated) was used, based on certain underlying assumptions, including interest rates, mortality rates and disability rates. As with all projections, the projected future liability payable may be different from the actual amount payable due to inherent uncertainty involved in the assumptions used. For other products of GFTA, the unearned contribution reserves (UCR) were calculated by the Company, using 1/365 method.

In respect of the Ordinary Family PSA & Annuity Waqaf, the statutory valuation of the Company’s Family Takaful Fund was made for the year ended 30 June 2008 and the results (before shareholders’ transfer) showed a surplus of RM138,142,000 (2007: RM91,129,000) for the Company.

In respect of the Ordinary Family GFTA, the statutory valuation of the Company’s Group Family Takaful Fund was made for the year ended 30 June 2008. In the previous year, the GFTA for MRTT certificates showed a deficit of RM86,941,000. As a result of this, a Qardh Hasan was made during the current financial year to make good deficit in the fund for MRTT business. The Qardh Hasan outstanding as at June 2008 is RM80,861,000. GFTA for other products showed a surplus (before shareholders’ transfer) of RM167,768,000 (2007: RM160,194,000) for the Company.

The Indonesian subsidiary involved in family takaful business conducts statutory valuation based on its statutory year end on 31 December 2007 which resulted into a prior year adjustment due to deficit in the reserves as disclosed in Note 40.



19 General Takaful Fund Group Company 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000

Revenue account accumulated surplus 40,639 27,522 63,393 46,960 Unearned contribution reserves (Note 20) 194,320 206,837 182,162 196,949 Special reserves 23,061 23,061 23,061 23,061 Statutory liabilities - Qardh Hasan 16,893 2,920 - - Interfund balances - 28 - - Translation reserves 2,264 - - -

277,177 260,368 268,616 266,970

Revenue account accumulated surplus As at 1 July 27,522 73,033 46,960 80,911

Net surplus/(deficit) attributable to participants for the financial year 32,871 (26,902) 35,884 (16,212) Profits payable to participants for the financial year (19,754) (18,609) (19,451) (17,739)

Balance as at 30 June 40,639 27,522 63,393 46,960

20 Unearned Contribution Reserves Marine, Aviation Group Fire Motor & Transit Miscellaneous Total 2008 RM’000 RM’000 RM’000 RM’000 RM’000

At beginning of the year 131,312 44,420 4,518 26,587 206,837 Decrease in unearned contribution reserves (2,997) (1,915) (1,491) (6,114) (12,517)

At end of the year 128,315 42,505 3,027 20,473 194,320

2007

At beginning of the year 122,254 36,853 4,698 23,478 187,283 Increase/(decrease) in unearned contribution reserves 9,058 7,567 (180) 3,109 19,554

At end of the year 131,312 44,420 4,518 26,587 206,837



20 Unearned Contribution Reserves (Continued) Marine, Aviation Company Fire Motor & Transit Miscellaneous Total 2008 RM’000 RM’000 RM’000 RM’000 RM’000 At beginning of the year 128,780 39,642 1,984 26,543 196,949 Decrease in unearned contribution reserves (3,135) (2,835) (1,455) (7,362) (14,787)

At end of the year 125,645 36,807 529 19,181 182,162

2007

At beginning of the year 121,687 31,680 3,661 23,382 180,410 Increase/(decrease) in unearned contribution reserves 7,093 7,962 (1,677) 3,161 16,539

At end of the year 128,780 39,642 1,984 26,543 196,949

21 Share capital and reserves Group and Company 2008 2007 RM’000 RM’000 Authorised : Ordinary shares of RM1.00 each 500,000 500,000

Issued and fully paid Ordinary shares of RM1.00 each at 1 July 156,302 152,643 Issue of shares under the employee share option scheme 5,274 3,659

On issue at 30 June 161,576 156,302

The holders of ordinary shares are entitled to receive dividends as declared from time to time and are entitled to one vote per share at meetings of the Company.

22 Dividends Sen per share Total Date of (net of tax) amount payment 2008 RM’000

Interim 2008 ordinary 2.61 4,163 27/6/08 Final (proposed) 2008 ordinary 2.59 4,185 *

Final 2007 ordinary 2.59 -

2007

Final 2006 ordinary 6.12 9,348 28/12/06



22 Dividends (Continued)

* After the balance sheet date, the following dividends were proposed by the Directors. These dividends will be recognised in subsequent financial reports upon approval by the shareholders.

Sen per share Total (net of tax) amount RM’000

Final 2008 ordinary 2.59 4,185

23 Operating Revenue Shareholders’ Family General Group Fund Takaful Takaful Total 2008 RM’000 RM’000 RM’000 RM’000

Gross contributions - 647,033 254,435 901,468 Investment income (Note 24) 17,472 172,466 30,244 220,182

17,472 819,499 284,679 1,121,650

2007


14,791 674,624 367,535 1,056,950

Company 2008


13,510 691,564 222,620 927,694

2007


6,226 580,064 326,732 913,022



24 Investment income Shareholders’ Family General Group Fund Takaful Takaful 2008 RM’000 RM’000 RM’000

Islamic debt securities 664 62,876 6,486 Deposit/money market placements 4,494 28,001 8,776 Financing - Secured 71 314 - - Staff 479 - - Profit on disposal of investment 6,812 44,406 6,457 Other income from investments 1,747 1,167 856 Gross dividend from Shariah approved shares - Quoted in Malaysia 942 4,364 1,552 - Unquoted in Malaysia - 14,884 3,176 Rental of investment properties 2,263 16,454 2,941

Total investment income 17,472 172,466 30,244

2007

Islamic debt securities 2,105 56,800 5,566 Deposit/money market placements 6,263 27,540 7,942 Financing - Secured 428 949 298 - Staff 541 - - Other income from investments 371 147 - (Loss)/Profit on disposal of investments (823) 3,740 1,439 Gross dividend from Shariah approved shares - Quoted in Malaysia 944 3,308 1,319 Other dividend income 2,252 7,877 1,482 Rental of investment properties 2,710 15,689 3,119


Company 2008

Islamic debt securities 413 61,703 6,486 Deposit/money market placements 2,666 25,822 7,781 Financing - Staff 479 - - Profit from disposal of investments 6,362 38,504 6,457 Other income from investments 404 823 855 Gross dividend from Shariah approved shares - Quoted in Malaysia 942 4,364 1,552 - Unquoted in Malaysia - 14,884 3,176 Rental of investment properties 2,244 15,775 2,941




24 Investment income (Continued) Shareholders’ Family General Company (continued) Fund Takaful Takaful 2007 RM’000 RM’000 RM’000

Islamic debt securities 407 56,800 5,147 Deposit/money market placements 3,437 25,898 7,527 Financing - Secured 240 661 298 - Staff 541 - - (Loss)/Profit from disposal of investment (1,740) 2,464 1,439 Gross dividend from Shariah approved shares - Quoted in Malaysia 944 3,308 1,319 Other dividend income 32 5,517 1,280 Rental of investment properties 2,365 15,211 3,102


25 Other operating income Shareholders’ Family General Group Fund Takaful Takaful 2008 RM’000 RM’000 RM’000

Income from ILB, service charge and management fees 16,927 217 - Miscellaneous income 1,551 2,675 9,784 Fair value gain arising from investment properties 2,162 10,658 2,869 Accretion of discounts - 345 2,071 Gain on disposal of property and equipment and investment property 26 17 68 Wakalah fee 33,021 - -

53,687 13,912 14,792

2007

Income from ILB, service charge and management fees 610 - - Miscellaneous income 6,860 5,123 7,635 Fair value gain arising from investment properties 343 - - Accretion of discounts - 11,056 2,029

7,813 16,179 9,664

Company 2008

Income from ILB, service charge and management fees 12,864 - - Miscellaneous income (26) 2,109 8,166 Fair value gain arising from investment properties 2,158 10,658 2,869 Accretion of discounts - 345 2,071 Gain on disposal of property and equipment 26 - -

15,022 13,112 13,106



25 Other operating income (Continued) Shareholders’ Family General Company (continued) Fund Takaful Takaful 2007 RM’000 RM’000 RM’000

Income from ILB, service charge and management fees 610 - - Miscellaneous income 3,981 5,204 2,082 Fair value gain arising from investment properties - - 75 Accretion of discounts - 11,056 2,029

4,591 16,260 4,186

26 Management expenses Group Company 2008 2007 2008 2007 (Restated) (Restated) Shareholders’ Fund RM’000 RM’000 RM’000 RM’000

Staff costs 76,698 76,669 60,389 60,539 Directors’ remuneration - Salaries and other emoluments 2,293 1,525 1,531 1,273 - Fees 360 312 333 132 Shariah Committee remuneration - Emoluments - 243 - 114 - Fees 173 110 105 86

79,524 78,859 62,358 62,144

Depreciation 17,716 20,692 16,157 15,922 Amortisation of prepaid lease payment 31 (91) 31 (91) Audit fees - Company auditors 271 267 248 242 - Other auditors 77 175 - - Licence fees 546 263 546 132 Legal fees 105 865 8 17 Professional fees 11,535 7,240 11,413 6,662 Rental of properties 9,042 7,999 7,353 7,999 Rental of equipment 3,734 9,864 3,729 9,864 Other expenses 1,499 741 1,477 212

44,556 48,015 40,962 40,959

Total management expenses 124,080 126,874 103,320 103,103

All management expenses are incurred at the Shareholders’ fund level. The estimated monetary value of benefits in kind received by the directors, are RM243,000 (2007: RM124,000) and RM177,000 (2007: RM62,000) at Group and Company level respectively.



27 Other operating expenses Shareholders’ Family General Group Fund Takaful Takaful 2008 RM’000 RM’000 RM’000

Investment expenses 1,173 10,966 1,944 Writeback of allowance for diminution in value of investments (3,272) (1,798) (2,110) Impairment loss on asset held for sale 20,308 - - (Writeback of)/Allowance for bad and doubtful debts (210) (14,095) 20,659 Writeback of allowance for doubtful financing (248) (982) (822) Write off of equipment 4,548 69 - Qardh Hasan written off 9,734 - - Administrative and general expenses 46,749 9,759 8,874 Wakalah fees - 15,312 17,709 Audit fees - 133 29

78,782 19,364 46,283

2007

Investment expenses 7,049 6,696 1,151 Writeback of allowance for diminution in value of investments (2,474) (5,474) (1,368) Allowance for bad and doubtful debts 853 11,302 72,384 Allowance for doubtful financing (760) 74 450 Write off of equipment 4,166 - - Fair value loss arising from investment properties - 544 730 Administrative and general expenses 31,376 8,431 6,505 Audit fees - 130 28

40,210 21,703 79,880

Company 2008

Investment expenses 1,173 10,966 1,944 Writeback of allowance for diminution in value of investments (3,189) (1,799) (2,110) Allowance for diminution in value of investments in subsidiary 8,513 - - (Writeback of)/Allowance for bad and doubtful debts (210) (16,908) 21,228 Writeback of allowance for doubtful financing (248) (982) (822) Write off of equipment 4,548 66 - Administrative and general expenses 18,854 7,327 2,833 Audit fees - 133 29

29,441 (1,197) 23,102



27 Other operating expenses (Continued) Shareholders’ Family General Company (continued) Fund Takaful Takaful 2007 RM’000 RM’000 RM’000

Investment expenses 2,467 6,696 410 Writeback of allowance for diminution in value of investments (2,474) (5,474) (1,368) Allowance for bad and doubtful debts 853 11,302 72,384 Allowance for doubtful financing (760) 74 450 Write off of equipment 4,166 - - Fair value loss arising from investment properties 70 529 - Administrative and general expenses 19,497 1,284 7,235 Audit fees - 130 28

23,819 14,541 79,139

28 Key Management Personnel Compensation Group Company 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000 Directors Executive: Salaries and other emoluments 2,293 1,235 1,531 987 Benefits-in-kind 95 97 29 35

2,388 1,332 1,560 1,022

Non-Executive: Other emoluments 333 290 333 286 Fees 27 312 - 132 Benefits-in-kind 148 27 148 27

508 629 481 445

Other key management personnel: Short-term employment benefits 3,711 1,835 2,571 436 Benefits-in-kind 72 - 72 -

3,783 1,835 2,643 436

Total 6,679 3,796 4,684 1,903

29 Employee information Group Company 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000

Staff costs 76,698 76,669 60,389 60,539

The number of employees of the Group and of the Company (including Executive Director) at the end of the year were 1,920 (2007: 2,319) and 1,342 (2007: 1,714) respectively.

Staff costs of the Group and of the Company includes contributions to the Employees Provident Fund of RM7,378,006 (2007: RM6,958,802) and RM7,196,088 (2007 : RM6,715,613) respectively.



30 Employee benefits

Equity compensation benefits

Shareoptionplan

On 28 June 2003, the Company’s shareholders approved the establishment of an employees’ share option scheme of not more than 10% of the issued share capital of the Company to eligible Directors and employees of the Group. The salient features of the scheme are as follows:

i) Eligible employees are those who have been confirmed in writing as employees of the Group (save for any subsidiaries which are dormant and which are not incorporated in Malaysia) for at least one year prior to the date of the offer.

ii) The option is personal to the grantee and is non-assignable.

iii) The option price shall be determined by the average of the middle market quotation of the Company’s ordinary shares as shown in the daily official list issued by Bursa Malaysia Securities Berhad (“Bursa Malaysia”) for the five trading days preceding the respective dates of the offer in writing to the grantee or at the par value of the ordinary shares of the Company, whichever is higher.

iv) The options granted may be exercised at any time within a period of five years from the date of offer of the option or such shorter period as may be specifically stated in the offer upon giving notice in writing.

v) The options granted may be exercised in full or in lesser number of ordinary shares provided that the number shall not be less than 1,000 new shares and not more than ten per cent (10%) of the issued and paid up share capital of the company at the point in time when an offer is made.

vi) The option scheme shall be in force for five years until 31 October 2008.

Movements in the number of shares options held by employees are as follows: 2008 2007 ’000 (units) ’000 (units)

As at 1 July 8,156 12,629 Exercised during the financial year (5,274) (3,659) Lapsed during the financial year (967) (814)

As at 30 June 1,915 8,156

The options outstanding as at 30 June 2008 have an exercise price of RM1.20 per ordinary share and a remaining contractual life of 16 months.

During the current year, 5,274,000 share options were exercised (2007: 3,659,000). The weighted average share price for the year was RM1.58 (2007: RM1.35). The weighted average share price was determined based on the total market value (at daily closing price) over the total number of options on the days of exercise.



31 Tax expense Group Company 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000

Current tax expense Malaysian - under provision for prior year 10,715 2,086 10,863 2,086 Overseas - current year - 447 - -

10,715 2,533 10,863 2,086

Deferred tax (assets)/liabilities Origination and reversal of temporary differences (Note 16) (1,493) (4,779) 755 (3,543)

9,222 (2,246) 11,618 (1,457)

Group Company 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000 Reconciliationofeffectivetaxrate

Profit before zakat and taxation 37,910 25,444 46,119 17,488

Income tax using Malaysian tax rate 9,857 6,870 11,991 4,722 Effect of different tax rates in local jurisdiction 1,225 (1,629) 1,225 (1,629) Item not subject to tax (12,575) (21,853) (12,461) (18,917) Effect of deductible temporary differences not recognised in prior year - (1,720) - (1,000) Effect of prior year tax loss not recognised - 14,000 - 13,281

(1,493) (4,332) 755 (3,543) Under provision of tax in prior year 1997 - 2007 10,715 2,086 10,863 2,086

Tax expense/(credit) 9,222 (2,246) 11,618 (1,457)



32 Earnings per share - Group

(a) Basicearningspershare

The calculation of basic earnings per share is based on the net profit attributable to ordinary shareholders of RM29,705,000 (2007 as restated: RM20,675,000) and the weighted average number of ordinary shares issued during the year of 158,635,000 (2007: 153,266,000).

Weightedaveragenumberofordinaryshares 2008 2007 ’000 (units) ’000 (units)

Issued ordinary shares at beginning of the year 156,302 152,643 Effect of new shares issued 2,333 623

Weighted average number of ordinary shares 158,635 153,266

(b) Dilutedearningspershare

Diluted earnings per share is calculated by dividing the net profit attributable to shareholders by the weighted average number of shares in issue adjusted for potential dilutive ordinary shares arising from share options granted to employees.

2008 2007 (Restated) RM’000 RM’000

Net profit attributable to shareholders 29,705 20,675

Weighted average number of ordinary share in issue 158,635 153,266 Adjustment for share options 464 852

Total 159,099 154,118

Diluted earnings per share (sen) 18.7 13.4

33 Net Claims Incurred Marine, Aviation Group Fire Motor & Transit Miscellaneous Total 2008 RM’000 RM’000 RM’000 RM’000 RM’000

Gross claims paid less salvage 34,295 47,400 16,736 35,509 133,940 Retakaful recoveries (25,507) (3,115) (10,039) (11,590) (50,251)

Net claims paid 8,788 44,285 6,697 23,919 83,689

Net outstanding claims: At end of the year 44,519 62,587 12,904 65,588 185,598 At beginning of the year (38,513) (44,042) (17,477) (64,262) (164,294)

Net claims incurred 14,794 62,830 2,124 25,245 104,993



33 Net Claims Incurred (Continued) Marine, Aviation Group (continued) Fire Motor & Transit Miscellaneous Total 2007 RM’000 RM’000 RM’000 RM’000 RM’000

Gross claims paid less salvage 61,045 45,425 10,223 38,078 154,771 Retakaful recoveries (43,255) 1,463 (4,077) (7,347) (53,216)

Net claims paid 17,790 46,888 6,146 30,731 101,555



Company 2008

Gross claims paid less salvage 28,092 37,422 12,244 31,076 108,834 Retakaful recoveries (24,022) (2,615) (9,059) (10,827) (46,523)

Net claims paid 4,070 34,807 3,185 20,249 62,311


Net claims incurred 10,564 51,688 (2,197) 19,016 79,071

2007

Gross claims paid less salvage 44,249 35,046 6,315 32,456 118,066 Retakaful recoveries (33,954) 2,071 (1,594) (5,043) (38,520)

Net claims paid 10,295 37,117 4,721 27,413 79,546





34 Investment-linked business (ILB)

Balance Sheet as at 30 June Group Company 2008 2007 2008 2007 Assets RM’000 RM’000 RM’000 RM’000

Investments (Note 8) 165,518 32,615 124,543 32,615 Receivables 8 3,215 8 3,215 Due from General Takaful Fund (Note 14) - 1 - 1 Cash and bank balances 9,933 1,851 6,289 1,851

Total ILB assets 175,459 37,682 130,840 37,682

Liabilities

Provision for outstanding claims 341 1,239 341 1,239 Payables 4,362 2,199 4,362 2,199 Due to Shareholders’ Fund (Note 11) 1,127 470 1,127 470 Due to Family Takaful Fund (Note 11) 4,209 661 4,209 661 Due to General Takaful Fund (Note 11) 370 - 370 -

Total ILB liabilities 10,409 4,569 10,409 4,569

Net asset value of funds 165,050 33,113 120,431 33,113

Revenue account for the year ended 30 June

Gross contributions 134,267 6,069 94,663 6,069 Retakaful (109) (42) (109) (42)

Net contributions 134,158 6,027 94,554 6,027 Decrease/(Increase) in unearned contribution reserves 26 (18) 26 (18)

Net retained contribution 134,184 6,009 94,580 6,009

Benefit paid and payable

Death (5,596) (220) 59 (220) Surrender (4,803) (4,141) (4,804) (4,141) Redemption of units for Tabarru’ (259) (383) (259) (383) Part withdrawal (183) (267) (183) (267) Service charge (4,034) (214) (146) (214) Other expenses (87) (205) (87) (205) Matured (42) - (42) - Academic Achievement - (56) - (56)

(15,004) (5,486) (5,462) (5,486)

119,180 523 89,118 523



34 Investment-linked business (ILB) (Continued) Group Company 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000 Comprises: Underwriting profit – Individual Family ILB 118,404 245 88,342 245 Underwriting profit – Group Family ILB 776 278 776 278

119,180 523 89,118 523 Less: Underwriting profit – Individual Family ILB (118,404) (245) (88,342) (245)

Underwriting profit – Group Family ILB 776 278 776 278 Investment income 6,271 888 3,150 888 Other operating income 79 - 78 - Other operating expenses - (39) - (39)

Profit attributable to the Company and participants after excluding underwriting profit – Individual Family ILB 7,126 1,127 4,004 1,127 Profit attributable to the Company transferred to Income Statement (513) (259) (513) (259) Profit payable to participants - (65) - (65)

Profit attributable to participants for the year 6,613 803 3,491 803

Family ILB Fund at beginning of the year 44,717 24,664 33,113 24,664 Underwriting profit – Family ILB 118,404 245 88,342 245 Profit attributable to participants for the year 6,613 803 3,491 803 Unearned contribution reserves (25) 18 (24) 18 Unrealised (loss) / gain in value of investments (4,491) 7,383 (4,491) 7,383 Translation reserves (168) - - -

Family ILB Fund at end of the year 165,050 33,113 120,431 33,113

35 Related parties

For the purposes of these financial statements, parties are considered to be related to the Group or the Company if the Group or the Company 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 or the Company and the party are subject to common control or common significant influence. Related parties may be individuals or other entities.

Key management personnel are defined as those persons having authority and responsibility for planning, directing and controlling the activities of the Group either directly or indirectly. The key management personnel includes all the Directors of the Group, and certain members of senior management of the Group. Compensation paid to key management personnel have been disclosed in Note 28.

Transactions with related parties during the year are as follows. Balances outstanding in respect of these transactions are disclosed in Notes 11 and 14.



35 Related parties (Continued) Group Company 2008 2007 2008 2007 RM’000 RM’000 RM’000 RM’000

Holdingcompany BIMB Holdings Berhad Contribution for general takaful 33 - 33 -

Subsidiarycompany(Note6) Asean Retakaful International (L) Ltd. Contribution for facultative and treaty outward - - 3,790 29,825

Relatedcompanies Bank Islam Malaysia Berhad Rental income 7,258 8,139 7,258 8,139 Contribution for group family takaful 192 1,146 192 1,146 Contribution for general takaful 2,420 1,878 2,420 1,878 Provision of IT Services - 333 - 333 BIMSec Asset Management Sdn. Bhd. Management portfolio fee paid 31 550 31 550 Syarikat Ijarah Sdn. Bhd. Lease rental 394 99 394 99 Lembaga Tabung Haji Contribution for group family takaful 4,991 682 4,991 682 Contribution for general takaful 769 2,710 769 2,710 BIMB Unit Trust Management Berhad Takaful contribution - 120 - 120

36 Operating leases

Total future minimum lease payments under non-cancellable operating leases are as follows:

Group and Company 2008 2007 RM’000 RM’000

Non-related parties: Less than one year 2,713 1,526 Between one and five years 2,658 779 Related party: Less than one year 407 1,807 Between one and five years 1,084 2,130

Lease commitments are wholly payable from the Shareholders’ fund.

The Group and the Company leases a number of computer and equipments under operating leases. The leases typically run an initial period of five years, with an option to renew the lease after that date.



37 Capital commitments Group and Company 2008 2007 RM’000 RM’000

Authorised by the Directors and contracted for 12,723 15,176

38 Segmental information

Segment information is presented in respect of the Group’s geographical segments. This is based on the Group’s management and internal reporting structure. Inter-segment pricing is determined based on negotiated terms. The Group does not present information by business segment as it is principally engaged as an operator of Family and General takaful/retakaful business. The financial position and performance of the Family and General takaful businesses managed are disclosed separately within this financial statements.

Segment results, assets and liabilities include items directly attributable to a segment as well as those that can be allocated on a reasonable basis. Unallocated items comprise expenses, which are all incurred by shareholders for the management of Takaful funds.

Segment capital expenditure is the total cost incurred during the year to acquire segment assets that are expected to be used for more than one year.

Geographicalsegments

In presenting information on the basis of geographical segments, segment revenue is based on the geographical location of customers. Segment assets are also based on the geographical location of assets.

Geographical segments Malaysia Indonesia Eliminations Consolidated 2008 RM’000 RM’000 RM’000 RM’000

Total external revenue 957,522 164,128 - 1,121,650 Inter-segment revenue - - - -

Total segment revenue 957,522 164,128 - 1,121,650

Segment result 33,844 4,066 - 37,910

Finance costs -

Profit before zakat & taxation 37,910 Zakat (4,050) Tax expense (9,222)

Profit for the year 24,638

Segment assets by location of assets 3,855,907 218,942 (27,550) 4,047,299

Segment liabilities by location of liabilties 3,506,723 204,541 - 3,711,264

Capital expenditure by location of assets 14,637 1,015 - 15,652

Depreciation and amortisation 16,333 1,414 17,747

Non cash expenses other than depreciation and amortisation 9,647 - 9,647



38 Segmental information (Continued)

Geographical segments (continued) Malaysia Indonesia Eliminations Consolidated 2007 RM’000 RM’000 RM’000 RM’000

Total external revenue 934,311 122,639 - 1,056,950 Inter-segment revenue - - - -

Total segment revenue 934,311 122,639 - 1,056,950

Segment result 24,726 718 - 25,444

Finance costs -

Profit before zakat & taxation 25,444 Zakat (3,818) Tax expense 2,246

Profit for the year 23,872

Segment assets by location of assets 3,333,381 175,711 (27,550) 3,481,542

Segment liabilities by location of liabilties 3,020,599 149,044 - 3,169,643

Capital expenditure by location of assets 15,381 1,646 - 17,027

Depreciation and amortisation 16,010 4,591 - 20,601

Non cash expenses other than depreciation and amortisation 21,451 - - 21,451

SegmentInformationonCashFlow

Shareholders’ Family General Group Fund Takaful Takaful Total 2008 RM’000 RM’000 RM’000 RM’000

Cash flows from: Operating activities 7,204 60,782 15,286 83,272 Investing activities (15,070) 339 253 (14,478) Financing activities 2,165 - - 2,165

(5,701) 61,121 15,539 70,959

Net (decrease)/increase in cash and cash equivalents (5,701) 61,121 15,539 70,959 Cash and cash equivalents: At beginning of the year 15,896 55,728 24,738 96,362

At end of the year 10,195 116,849 40,277 167,321

2007

Cash flows from: Operating activities 26,327 49,952 18,262 94,541 Investing activities (16,570) (2,015) (259) (18,844) Financing activities (5,891) - - (5,891)

3,866 47,937 18,003 69,806



38 Segmental information (Continued)

SegmentInformationonCashFlow(continued) Shareholders’ Family General Group (continued) Fund Takaful Takaful Total 2007 RM’000 RM’000 RM’000 RM’000

Net increase in cash and cash equivalents 3,866 47,937 18,003 69,806 Cash and cash equivalents: At beginning of the year 12,030 7,791 6,735 26,556

At end of the year 15,896 55,728 24,738 96,362

Company 2008

Cash flows from: Operating activities 7,510 57,186 12,314 77,010 Investing activities (14,378) (86) (34) (14,498) Financing activities 2,165 - - 2,165

(4,703) 57,100 12,280 64,677

Net (decrease)/increase in cash and cash equivalents (4,703) 57,100 12,280 64,677 Cash and cash equivalents: At beginning of the year 13,000 44,594 22,583 80,177

At end of the year 8,297 101,694 34,863 144,854

2007

Cash flows from: Operating activities 25,967 47,955 20,312 94,234 Investing activities (13,741) (4,484) (259) (18,484) Financing activities (4,957) - - (4,957)

7,269 43,471 20,053 70,793

Net increase in cash and cash equivalents 7,269 43,471 20,053 70,793 Cash and cash equivalents: At beginning of the year 5,731 1,123 2,530 9,384

At end of the year 13,000 44,594 22,583 80,177



39 Financial Risks

Financial risk management objectives and policies

Exposure to underwriting, credit, currency and liquidity risks arises in the normal course of the Group and the Company’s business. The Group and the Company are guided by risk management policies and guidelines that set out their overall business strategies and general risk management philosophy. The Group and the Company have established processes to monitor the risk on an ongoing basis.

Underwriting risk

Underwriting risk includes the risk of incurring higher claims costs than expected owing to the random nature of claims and their frequency and severity and the risk of change in legal or economic conditions or behavioural patterns affecting takaful pricing and conditions of takaful or retakaful cover. This may result in the situation of having either received too little contribution for the risks it has agreed to underwrite and hence has not enough funds to invest and pay claim, or claims are in excess of those expected.

The Group and the Company seek to minimise underwriting risks with a balanced mix and spread of business between classes of business and by observing underwriting guidelines and limits, conservative estimation of the claims provisions and high standards applied to security for retakaful.

Credit risk

Credit risk represents the loss that would be recognised if counter parties to takaful, retakaful and investment transactions failed to perform as contracted. Exposure to credit risk is monitored on an ongoing basis.

At balance sheet date, approximately 16.4% of the Group and Company’s fixed deposits are placed with a related company. The maximum exposure to credit risk for the Group and the Company is represented by the carrying amount of each financial asset.

Foreign currency risk

The Group and the Company incur foreign currency risk on transactions that are denominated in a currency other than Ringgit Malaysia and also the translation of the financial statements of the subsidiaries to Ringgit Malaysia. The Group and the Company do not hedge their foreign currency risks and therefore exposures to foreign currency risk are monitored on an ongoing basis.

Liquidity risk

The Group monitors and maintains a level of cash and cash equivalents deemed adequate by management to finance the Group’s operations and to mitigate the effects of fluctuations in cash flows.



39 Financial Risks (Continued)

Financial instruments

Effectiveprofitratesandrepricinganalysis

In respect of profit-earning financial assets, the following table indicates their effective profit rates at the balance sheet date and the periods in which they reprice or mature, whichever is earlier.

Shareholders’ Fund Effective Profit Less than 1-2 2 -3 3-4 4-5 More than Group Rate Total 1 year years years years years 5 years 2008 % RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 Financial assets Islamic debt securities 4.44 8,597 44 31 230 156 104 8,032 Secured financing 11.17 699 - 197 133 3 3 363 Deposit and money market placement 3.53 80,512 75,255 5,058 199 - - - Staff financing 3.55 12,003 12 47 59 289 351 11,245

Total 101,811 75,311 5,333 621 448 458 19,640

Group 2007

Financial assets Islamic debt securities 6.24 30,840 1,031 331 22,067 412 191 6,808 Secured financing 12.28 1,116 493 9 19 32 81 482 Deposit and money market placement 4.08 165,697 95,579 69,918 - 200 - - Staff financing 4.00 14,358 221 42 133 94 279 13,589

Total 212,011 97,324 70,300 22,219 738 551 20,879

Family Takaful Fund

Group 2008

Financial assets Islamic debt securities 6.24 1,147,411 26,377 16,144 26,783 85,398 112,695 880,014 Malaysian Government Islamic papers 4.02 411,607 - - 19,523 70,517 14,985 306,582 Secured and unsecured financing 7.32 19,695 16,155 63 183 98 105 3,091 Deposit and money market placement 3.47 737,374 669,370 21,575 25,980 20,349 100 -

Total 2,316,087 711,902 37,782 72,469 176,362 127,885 1,189,687

Group 2007 Financial assets Islamic debt securities 6.71 894,134 17,003 3,780 12,932 21,535 66,865 772,019 Malaysian Government Islamic papers 3.95 370,716 41,350 - - 19,529 68,127 241,710 Secured and unsecured financing 11.17 6,053 3,793 31 70 115 295 1,749 Deposit and money market placement 3.72 765,063 386,721 291,340 21,575 28,580 20,450 16,397

Total 2,035,966 448,867 295,151 34,577 69,759 155,737 1,031,875




General Takaful Fund Effective Profit Less than 1-2 2 -3 3-4 4-5 More than Group Rate Total 1 year years years years years 5 years 2008 % RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Financial assets Islamic debt securities 5.48 145,057 9,989 - 10,064 15,454 10,000 99,550 Malaysian Government Islamic papers 4.04 92,151 - - 5,005 28,036 - 59,110 Secured and unsecured financing 9.72 2,024 2,024 - - - - - Deposit and money market placement 3.58 144,121 124,955 5,850 9,440 3,876 - -

Total 383,353 136,968 5,850 24,509 47,366 10,000 158,660

Group 2007 Financial assets Islamic debt securities 5.84 92,115 1,999 - - - 5,500 84,616 Malaysian Government Islamic papers 3.85 94,002 2,446 - - 5,007 27,398 59,151 Secured and unsecured financing 9.79 2,700 2,700 - - - - - Deposit and money market placement 3.75 201,752 102,186 80,400 5,850 9,490 3,826 -

Total 390,569 109,331 80,400 5,850 14,497 36,724 143,767

Shareholders’ Fund Company 2008

Financial assets Islamic debt securities 6.50 5,613 - - - - - 5,613 Deposit and money market placement 3.47 64,538 64,338 - 200 - - - Staff financing 3.55 12,003 12 47 59 289 351 11,245

Total 82,154 64,350 47 259 289 351 16,858

Company 2007

Financial assets Islamic debt securities 6.50 5,653 - - - - - 5,653 Secured financing 10.00 390 390 - - - - - Deposit and money market placement 3.50 114,269 61,569 52,500 - 200 - - Staff financing 4.00 14,358 221 42 133 94 279 13,589

Total 134,670 62,180 52,542 133 294 279 19,242




Family Takaful Fund Effective Profit Less than 1-2 2 -3 3-4 4-5 More than Company Rate Total 1 year years years years years 5 years 2008 % RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Financial assets Islamic debt securities 6.24 1,131,270 24,910 15,130 25,060 80,228 109,247 876,695 Malaysian Government Islamic papers 4.02 411,607 - - 19,523 70,517 14,985 306,582 Secured and unsecured financing 9.72 3,073 3,073 - - - - - Deposit and money market placement 3.46 695,022 627,019 21,575 25,980 20,349 99 -

Total 2,240,972 655,002 36,705 70,563 171,094 124,331 1,183,277

Company 2007

Financial assets Islamic debt securities 6.67 885,402 13,990 - 10,176 20,038 66,334 774,864 Malaysian Government Islamic papers 3.95 370,716 41,350 - - 19,529 68,127 241,710 Secured and unsecured financing 9.78 3,789 3,789 - - - - - Deposit and money market placement 3.60 724,435 346,093 291,340 21,575 28,580 20,450 16,397

Total 1,984,342 405,222 291,340 31,751 68,147 154,911 1,032,971

General Takaful Fund

Company 2008

Financial assets Islamic debt securities 5.48 145,057 9,989 - 10,064 15,454 10,000 99,550 Malaysian Government Islamic papers 4.04 92,151 - - 5,005 28,036 - 59,110 Secured and unsecured financing 9.72 2,024 2,024 - - - - - Deposit and money market placement 3.68 122,615 103,449 5,850 9,440 3,876 - -

Total 361,847 115,462 5,850 24,509 47,366 10,000 158,660

Company 2007

Financial assets Islamic debt securities 5.84 92,115 1,999 - - - 5,500 84,616 Malaysian Government Islamic papers 3.85 94,002 2,446 - - 5,007 27,399 59,150 Secured and unsecured financing 9.79 2,700 2,700 - - - - - Deposit and money market placement 3.56 183,941 84,376 80,400 5,850 9,490 3,825 -

Total 372,758 91,521 80,400 5,850 14,497 36,724 143,766



40 Prior year adjustments and changes in accounting policies

a) Prioryearadjustments

During the current financial year, there was an adjustment relating to Family Takaful Fund of the Group due to revision of reserves for future policies benefits for a subsidiary in Indonesia. The revision in reserves of approximately RM20.437 million was adjusted against the retained profit of Shareholders’ Fund and accumulated surplus brought forward of Family Fund as at 1 July 2006 and 1 July 2007.

b) Changesinaccountingpolicies

In the current financial year, the Company and the Group have adopted FRS 117 Leases (effective for accounting periods beginning on or after 1 October 2006), the standard requires the classification of leasehold land as prepaid lease payments. Appropriate disclosures were shown in Notes 3 and 4 respectively.

Accordingly, this change in accounting policy has been accounted for retrospectively and the comparatives as at 30 June 2007 were restated. Adoption of FRS 117 did not result in the retained profit to be restated.

c) Effectoftheprioryearadjustmentsandchangesinaccountingpolicies

The financial effect of the prior year adjustments and the changes in accounting policies to the opening retained profits of the Shareholders’ Fund and the respective Takaful funds as at 1 July 2006 and 2007 are as follows:

Shareholders Family Fund Takaful Group RM’000 RM’000

Statement of Changes in Equity/Family Takaful Fund Retained profit/Accumulated Fund as at 1 July 2006 As previously reported 130,255 2,121,092 Effect of prior year adjustments for revision of policy reserves (22,500) 22,500

As restated 107,755 2,143,592

Statement of Changes in Equity/Family Takaful Fund

Retained profit/Accumulated Fund as at 1 July 2007

As previously reported 142,515 2,351,411Effect of prior year adjustments for revision of policy reserves (23,433) 23,433

As restated 119,082 2,374,844

Income Statement

Profit for the year

As previously reported 24,805 - Effect of prior year adjustments for revision of policy reserves (933) -

As restated 23,872 -

Family Takaful Revenue Account Profit attributable to participants As previously reported - 553 Effect of prior year adjustments for revision of policy reserves - 933

As restated - 1,486



40 Prior year adjustments and changes in accounting policies (Continued)

c) Effectoftheprioryearadjustmentsandchangesinaccountingpolicies(continued)

The following comparative figures have been reclassified as a result of changes in accounting policies:

Group Company Shareholders’ Fund As restated As previously As restated As previously stated stated RM’000 RM’000 RM’000 RM’000 Balance sheets

Property and equipment 49,328 53,153 41,778 43,080 Prepaid lease payments 3,825 - 1,302 -

53,153 53,153 43,080 43,080

Income Statements

Management Expense Depreciation 20,692 20,601 15,922 15,831 Amortisation of prepaid lease payments (91) - (91) -

20,601 20,601 15,831 15,831

41 Reserves

Subject to agreement by the Inland Revenue Board, the Company has sufficient Section 108 tax credit to frank approximately RM47.4 million of its retained profits at 30 June 2008 if paid out as taxable dividends.

The Malaysian Budget 2008 introduced a single tier company income tax system with effect from year of assessment 2008. As such, the Section 108 tax credit as at 31 December 2007 will be available to the Company until such time the credit is fully utilised or upon expiry of the six year transitional period on 31 December 2013, whichever is earlier.

42 Contingent liability

Prior to the amendments of Section 60AA of the Income Tax Act 1967 (Section 60AA), capital allowances had been claimed by way of deduction from tax adjusted income in both General and Family Takaful Funds. The amended Section 60AA stipulates that the tax adjusted income of the Shareholders’ Fund shall be ascertained by taking into account the amount of income distributed or credited from Family and General Takaful Funds and as a result both General and Family Takaful Funds would have no adjusted income for tax purposes. As such, capital allowances claimable for the years of assessment from 1997 to 2008 would be lost permanently.

The Malaysian Takaful Association and the Company are in discussion with the Ministry of Finance (MOF) and Inland Revenue Board for the capital allowances to be deducted from tax adjusted income in Shareholders’ Fund. No provision has been made by the Company for the potential tax liabilities of the previous and current years pending the outcome of the said discussion and future appeals. The potential tax exposure to the Company assuming that the deduction of capital allowances in Shareholders’ Fund is rejected by the MOF is approximately RM11.4 million. In addition, the Company would have to reverse its current balance of deferred tax asset which is in relation to unabsorbed capital allowances brought forward by approximately RM9.0 million.


Maklumat HartanahParticulars of Properties

No. Lokasi/ Location

1 Lot 11 & 12 Plaza Melaka Jalan Hang Tuah 75300 Melaka

2 Lot 1 & 2 Kompleks Perniagaan Fajar 91000 Tawau Sabah

3 No. 64 & 65 Kompleks Jitra Jalan Sungai Korok 06000 Jitra Kedah Darul Aman

4 No. 23 Medan Istana 3 Bandar Ipoh Raya 30450 Ipoh Perak Darul Ridzuan

5 No. 84 Batu 3 1/4 Jalan Gombak 53000 Kuala Lumpur

6 Lot 6966, Blok 59 Muara Tuang Jalan Datok Mohd Musa 94300 Kota Samarahan Sarawak

7 Lot 54 & 55 Bandar Wilayah Jasa Jalan Bunga Raya 91112 Lahad Datu Sabah

8 No. 24 Jalan USJ 10/1B 47500 Subang Jaya Selangor Darul Ehsan

PeneranganKegunaan/

DescriptionofExistingUse

Dua unit Rumah kedai/Pejabat 4½ tingkatTwounitsof4½storeyShophouse/Office

Tiga unit Kompleks Perniagaan/Pejabat 4 tingkat Threeunitsof4storeyCommercialComplex/Office

Dua unit Rumah kedai/Pejabat 2 tingkat Twounitsof2storeyShophouse/Office

Satu unit Rumah kedai/Pejabat 3 tingkatOneunitof3storeyShophouse/Office



Dua unit Rumah kedai/Pejabat 3 tingkatTwounitsof3storeyShophouse/Office


Hakmilik/Tenure

Pegangan BebasFreehold

Pajakan bandar 999tahun berakhir pada 31.12.2895999yearstownleaseexpiringon31.12.2895


Pajakan 99 tahunberakhir pada30.03.208199yearsleaseexpiringon30.03.2081



Pajakan bandar 99 tahun berakhir pada31.12.2090 99yearstownleaseexpiringon31.12.2090


KeluasanTanah,

Kawasan Bina/Land,

Built-upArea(kakipersegi/squarefeet)

Nilai BukuBersih pada/

NetBookValueasat30.06.2008

(RM)

TarikhPenilaianSemula/Dateof

Revaluation

UsiaBangunan/

AgeofBuilding

(tahun/years)

25

17

22

13

22

13

13

14

3,485/14,434

4,025/6,037

3,095/6,935

1,539/4,255

1,883/8,700

1,312/3,750

2,400/7,200

3,200/9,600

1,486,314.00

2,115,000.00

545,000.00

450,000.00

870,000.00

650,000.00

1,312,300.00

3,564,616.00

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008


9 No. 15 & 17 Jalan Kelibang Langkawi Mall 07000 Kuah, Langkawi Kedah Darul Aman

10 No. 26 & 28 Jalan Perda Barat Bukit Mertajam Seberang Prai 14000 Penang

11 Lot 2, 3 & 4 Jalan Kulas 93400 Kuching Sarawak

12 No. 14 & 16 Jalan Ibrahim 81900 Kota Tinggi Johor Darul Ta’zim

13 No. 312 Jalan Bandar 13 Taman Melawati 53100 Kuala Lumpur

14 Lot 9046, Fasa 1A Jalan Haji Manan 86000 Kluang Johor Darul Ta’zim

15 No. 64 - D Leboh Bishop 10200 Pulau Pinang

16 Darul Takaful Jalan Sultan Ismail 50250 Kuala Lumpur

PeneranganKegunaan/


Hakmilik/Tenure

UsiaBangunan/

AgeofBuilding

(tahun/years)



Tiga unit Rumah kedai/Pejabat 3 tingkatThreeunitsof3storeyShophouse/Office




Satu unit bangunanPejabat 6 tingkat (9 level)Oneunitof6storeyOfficebuilding(9level)

Satu unit bangunanPejabat 20 tingkatOneunitof20storeyOfficebuilding





Pajakan 99 tahunLot 14 berakhir pada08.05.2082Lot 16 berakhir pada04.12.207899yearsleaseLot14expiringon08.05.2082Lot16expiringon04.12.2078


Pajakan 99 tahun99yearslease



15

10

13

22

14

12

31

20

KeluasanTanah,

Kawasan Bina/Land,




(RM)


Revaluation

1,440/7,720

3,293/8,840

4,817/18,892

3,360/8,544

1,920/7,070

2,658/9,930

3,972/19,630

35,192/98,485

490,000.00

1,100,000.00

4,770,259.00

800,000.00

1,245,000.00

1,850,000.00

4,950,000.00

60,000,000.00

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008



17 Lot 13 & 14 Lazenda Commercial Centre Jalan Okk Abdullah 87007 Labuan

18 Lot 6967, Blok 59 Muara Tuang Jalan Datok Mohd Musa 94300 Kota Samarahan Sarawak

19 Lot 28, 30 & 32 Jalan 2/3A, Pasar Borong 68100 Selayang Selangor Darul Ehsan

20 Lot 12680 Level 1 & Mezzanine Jalan Bukit Timbalan 80000 Johor Bharu Johor Darul Ta’zim

21 Lot 12680 Level 3, Jalan Bukit Timbalan 80000 Johor Bharu Johor Darul Ta’zim

22 Lot 14(S1) & 15(S1) Indah Point, Section 12 Pulau Indah Industrial Park 42000 Klang, West Port Selangor Darul Ehsan

23 No. 1 & 2 Jalan Kelicap Taman Pekan Baru 34200 Parit Buntar Perak Darul Ridzuan

PeneranganKegunaan/


Hakmilik/Tenure


Dua unit bangunanPejabat 3 tingkatTwounitsof3storeyOfficebuilding


Tiga unit Rumah kedai/Pejabat 4 tingkatThreeunitsof4storeyShophouse/Office

Dua tingkat bangunanPejabat 13 tingkatTwofloorsof13storeyOfficebuilding

Satu tingkat bangunanPejabat 13 tingkatOnefloorof13storeyOfficebuilding

Dua unit Rumah kedai/Pejabat 4 tingkat (kosong)Twounitsof4storeyShophouse/Office(vacant)









14

13

21

10

10

9

21

2,504/7,200

1,312/3,750

4,447/16,800

9,432/8,354

9,432/6,594

3,300/10,560

3,956/7,044

1,709,788.00

650,000.00

2,040,000.00

2,820,000.00

1,650,000.00

900,000.00

700,000.00

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

KeluasanTanah,

Kawasan Bina/Land,




(RM)

UsiaBangunan/

AgeofBuilding

(tahun/years)


Revaluation




PeneranganKegunaan/


Hakmilik/Tenure

24 No. 46 & 47, Darul Takaful Jalan Rahmat 83000 Batu Pahat Johor Darul Ta’zim

25 No. 180 & 181 Jalan Tuan Hitam 22000 Jerteh Terengganu Darul Iman

26 Lot 82, 84 & 86 Jalan Rugbi 13/30 Seksyen 13 40100 Shah Alam Selangor Darul Ehsan

27 No. 229, Jalan Shahab 2 Shahab Perdana Jalan Sultanah Sambungan 05350 Alor Star Kedah Darul Aman

28 Lot No. 3803 Jalan Dato’ Ulu Muar 72000 Kuala Pilah Negeri Sembilan Darul Khusus

29 No. 45 Jalan Teluk Sisek 25000 Kuantan Pahang Darul Makmur

30 Lot 21, 22, & 23 Pusat Komersil Temerloh 28000 Temerloh Pahang Darul Makmur

Dua unit Rumah kedai/Pejabat 4 tingkatTwounitsof4StoreyShophouse/Office

Dua unit Rumah kedai/Pejabat 4 tingkatTwounitsof4storeyShophouse/Office Tiga unit Rumah kedai/Pejabat 2 tingkatThreeunitsof2storeyShophouse/Office

Satu unit Rumah kedai/Pejabat 2 1/2 tingkatOneunitof21/2storeyShophouse/Office



Tiga unit Rumah kedai/Pejabat 2 1/2 tingkatThreeunitsof21/2storeyShophouse/Office








19

18

9

12

9

8

8

3,220/12,092

3,200/12,250

6,339/11,309

1,400/3,570

2,001/3,120

3,200/8,019

4,195/15,050

1,540,000.00

1,430,000.00

2,240,000.00

260,000.00

450,000.00

2,000,000.00

1,320,000.00

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

UsiaBangunan/

AgeofBuilding

(tahun/years)

KeluasanTanah,

Kawasan Bina/Land,




(RM)


Revaluation



Hakmilik/Tenure


31 No. 2 & 4 Jalan 6C/7 43650 Bandar Baru Bangi Selangor Darul Ehsan

32 Lot 14 Arab Malaysian Business Centre Jalan Pasar 70000 Seremban Negeri Sembilan Darul Khusus

33 Tingkat Bawah & Mezzanine Wisma Abrar International Lot 54, Seksyen 8 15350 Kota Bharu Kelantan Darul Naim

34 No. 29, Jalan Delima Pusat Perdagangan Pontian 80000 Pontian Johor Darul Ta’zim

35 Lot 11 & 12 Kompleks Seri Temin Jalan Ibrahim 08000 Sungai Petani Kedah Darul Aman

36 Lot 1129 & 1130 Bangunan Darul Takaful Jalan Sultan Ismail 20100 Kuala Terengganu Terengganu Darul Iman

37 No. 616 & 617 Jalan Besar Bandar Tampin 73000 Negeri Sembilan Darul

Khusus

PeneranganKegunaan/




Satu tingkat bangunanPejabat 81/2 tingkatOnefloorof81/2storeyOfficebuilding

Satu unit Rumah kedai/Pejabat 3 TingkatOneunitof3storeyShophouse/Office









Pajakan kecil 45 tahunberakhir pada28.02.204745yearssubleaseexpiringon28.02.2047

Pajakan 99 tahunberakhir pada05.10.208899yearleaseexpiringon05.10.2088

21

12

11

7

23

6

16

6,383/8,032

1,500/14,589

7,925 *

3,899/10,248

2,800/11,020

3,600/23,637

4,498/8,685

1,500,000.00

3,375,000.00

3,700,000.00

1,400,000.00

1,300,000.00

6,000,000.00

950,000.00

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

KeluasanTanah,

Kawasan Bina/Land,


UsiaBangunan/

AgeofBuilding

(tahun/years)



(RM)


Revaluation




Hakmilik/Tenure

38 No. 6, Jalan 6C/7 43650 Bandar Baru Bangi Selangor Darul Ehsan

39 Unit 3B/G Tingkat Bawah Blok 3B, Plaza Sentral Jalan Stesen Sentral 5 50470 Kuala Lumpur

40 No. 26 & 27 Jalan Tanjung Pasar Baru 18500 Machang Kelantan Darul Naim

41 No. 330 & 331 Jalan Sultan Yahya Petra 15720 Kota Bharu Kelantan Darul Naim

42 Dataran Kewangan Darul Takaful Jalan Sultan Sulaiman 50000 Kuala Lumpur

43 No. 2408 Taman Samudera 32040 Sri Manjung Perak Darul Ridzuan

44 No. 76A & 76 Pusat Perniagaan Jalan Tupai 34000 Taiping Perak Darul Ridzuan

PeneranganKegunaan/



Satu tingkat bangunanPejabat 22 tingkatOnefloorof22storeyOfficebuilding


Dua unit bangunanPejabat 4 1/2 tingkatTwounitsof41/2storeyOfficebuilding

Dua unit bangunanPejabatBlok Utama - 26 tingkatBlok Annex - 29 tingkatTwounitsofOfficebuildingMainBlock-26storeyAnnexBlock-29storey



Pajakan 99 tahunberakhir pada08.07.208699yearleaseexpiringon08.07.2086

Pegangan bebasFreehold






21

7

27

26

Blok Utama/Main Block

- 35Blok Annex/

Annexe Block- 28

12

5

1,905/3,508

6,409*

1,600/4,000

3,200/15,200

90,427/393,508

2,800/5,300

3,134/18,304

650,000.00

5,500,000.00

560,000.00

1,700,000.00

140,000,000.00

840,000.00

1,530,000.00

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

UsiaBangunan/

AgeofBuilding

(tahun/years)

KeluasanTanah,

Kawasan Bina/Land,




(RM)


Revaluation




45 No. 10 & 11 Jalan Sultan Yahya Petra 15200 Kota Bharu Kelantan Darul Naim

46 No. 4197 Jalan Teluk Wanjah 05200 Alor Star Kedah Darul Aman

47 No. 10 & 8, Jalan Padi Emas 5/2, Bandar Baru UDA 81200

Johor Bharu, Johor Darul Ta’zim

48 No. 4, Kompleks Seri Temin Jalan Ibrahim 08000 Sungai Petani,

Kedah Darul Aman

49 No. 16, Jalan Cenderawasih Jalan Kilang Lama 09000

Kulim, Kedah Darul Aman

50 Lot 1340, Miri Waterfront Commercial Centre,

98000 Miri Sarawak

51 No. 6, Jalan Padi Emas 5/2, Bandar Baru UDA 81200 Johor Bharu, Johor Darul Ta’zim

52 No. 148, Kompleks Munshi Abdullah 75200 Melaka

53 No. 16474 & 16475, Pusat Perniagaan Inderapura, Jalan Tras Raub, Pahang Darul Makmur

PeneranganKegunaan/




Dua unit bangunan Pejabat 3 tingkatTwounitof3storeyOfficebuilding

Satu unit bangunan Pejabat 4 tingkatOneunitof4storeyOfficebuilding




Satu unit bangunan Pejabat 4 ½ tingkatOneunitof4½storeyOfficebuilding

Dua unit bangunan Pejabat 3 tingkatTwounitof3storeyOfficebuilding

Hakmilik/Tenure



Pajakan 99 tahun berakhir pada16.02.209999yearsleaseexpiringon16.02.2099



Pajakan 60 tahun berakhir 30.09.205260yearsleaseexpiringon30.09.2052




6

6

3

23

9

4

3

15

9

3,852/9,120

8,716/18,440

3,080/ 8,024

1,400/5,510

1,600/4,172

1,400/ 5,500

1,540/4,012

1,470/6,117

3,218/9,280

1,800,000.00

3,700,000.00

1,300,000.00

650,000.00

370,000.00

1,000,000.00

650,000.00

790,000.00

1,300,000.00

286,473,277.00

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

30.06.2008

KeluasanTanah,

Kawasan Bina/Land,


UsiaBangunan/

AgeofBuilding

(tahun/years)

JUMLAH/TOTAL

* Kawasan Bina/BuildupArea



(RM)


Revaluation



Modal Saham/ShareCapital

Modal Dibenarkan : 500,000,000 saham biasa bernilai RM1.00 sesahamAuthorisedcapital 500,000,000ordinarysharesofRM1.00each

Modal yang diterbitkan dan dibayar sepenuhnya pada 10 Oktober 2008 : 162,817,000 saham biasa bernilai RM1.00 sesahamIssuedandfullypaid-upcapitalasat10October2008 162,817,000ordinarysharesofRM1.00each

Jumlah pemegang saham pada 10 Oktober 2008 : 1,670No.ofshareholdersasat10October2008

Kelas saham : Saham biasa bernilai RM1.00 sesahamClassofshares OrdinarysharesofRM1.00each

Hak mengundi : 1 undi bagi setiap saham biasaVotingright 1voteperordinaryshare

Pemegang-Pemegang Saham Utama (5% Dan Lebih)SubstantialShareholders’Shareholdings(5%AndAbove)

Nama Pemegang Saham Jumlah Saham Peratus (%)NameofShareholders NumberofShares Percentage(%)

BIMB Holdings Berhad 106,183,675 65.22

Jumlah/Total 106,183,675 65.22

Pegangan Saham Para Pengarah Pada 10 Oktober 2008Directors’Shareholdingsasat10October2008

Nama Pengarah Jumlah Saham Peratus (%)NameofDirectors NumberofShares Percentage(%) Y. Bhg. Tan Sri Dr. Hadenan b. A. Jalil - -

Y. Bhg. Dato’ Mohamed Hassan b. Md. Kamil - -

Y. A. M. Tengku Dato’ Sri Azman Ibni Almarhum Sultan Abu Bakar - -

Puan Rozaida bt. Omar - -

Encik Mahadzir b. Azizan - -

Y. Bhg. Dato’ Sulaiman b. Mohd Yusof - -

Encik Johan b. Abdullah - -

Statistik Pegangan SahamShareholdings Statistics



Analisa Pegangan Saham Mengikut Saiz Pada 10 Oktober 2008AnalysisBySizeOfShareholdingsasat10October2008

Saiz Pegangan Saham Bilangan Peratus (%) Jumlah Peratus (%)SizeofShareholdings Pemegang Saham Percentage(%) Pegangan Saham Percentage(%) Numberof Numberof Shareholders Shareholdings Kurang dari 100 54 3.23 1,400 0.00Lessthan100

100 - 1,000 234 14.01 161,605 0.09

1,001 - 10,000 1,138 68.14 3,646,450 2.24

10,001 - 100,000 191 11.45 6,214,700 3.82

100,001 sehingga kurang daripada 5% 52 3.11 46,609,170 28.63saham diterbitkan100,001tolessthan5%ofissuedshares

5% dan lebih saham diterbitkan 1 0.06 106,183,675 65.225%andaboveofissuedshares

Jumlah/Total 1,670 100.00 162,817,000 100.00

Tiga Puluh (30) Pemegang Saham Terbesar Pada 10 Oktober 2008Thirty(30)LargestShareholdersasat10October2008

Nama Pemegang Saham Jumlah Saham Peratus (%)NamesofShareholders NumberofShares Percentage(%)

BIMB Holdings Berhad 106,183,675 65.22

Bimsec Nominees (Asing) Sdn Bhd 7,000,000 4.30(Islamic Development Bank)

Employees Provident Fund Board 6,233,020 3.83

Affin Nominees (Tempatan) Sdn Bhd 4,602,000 2.83(Affin Fund Management Sdn Bhd for Majlis Ugama Islam Dan Adat Resam Melayu Pahang)

RHB Nominees (Asing) Sdn Bhd 4,109,900 2.52(RUSD Investment Bank Inc.)

Lembaga Kemajuan Tanah Persekutuan (FELDA) 2,961,400 1.82

Majlis Agama Islam Negeri Sembilan 2,070,900 1.27



HSBC Nominees (Asing) Sdn Bhd 1,883,200 1.16(Exempt An for Credit Suisse (SG BR-TST-Asing) )

Cimsec Nominees (Tempatan) Sdn Bhd 1,623,100 1.00(Exempt An for CMS Trust Management Bhd)

Kenanga Nominees (Tempatan) Sdn Bhd 1,554,600 0.95(Pledged Securities Account for Majlis Agama Islam Dan Adat Melayu Terengganu (STC))

Saleem Abdullatif Mustafa 1,283,000 0.79

Cheah Ah Heng @ Cheah Saw Choo 1,000,000 0.61

Majlis Agama Islam Melaka 998,250 0.61

Citigroup Nominees (Tempatan) Sdn Bhd 830,700 0.51(Pledged Securities Account for Cheah See Han (471145) )

Kumpulan Wang Simpanan Pekerja 500,000 0.31

Universiti Sains Malaysia 500,000 0.31

Mah Yu Lan 500,000 0.31

Mah Yu Lan 500,000 0.31

Citigroup Nominees (Tempatan) Sdn Bhd 468,300 0.29(Exempt An for Prudential Fund Management Berhad)

Mayban Nominees (Tempatan) Sdn Bhd 448,000 0.28(Pledged Securities Account for Yeoh Ah Tu)

A.A. Anthony Nominees (Tempatan) Sdn Bhd 430,000 0.26(Pledged Securities Account for Vimala Sgulboonrasi)

HDM Nominees (Asing) Sdn Bhd 413,000 0.25(DBS Vickers Secs (S) Pte Ltd for Mcneill Michael Mbamali)

Majlis Agama Islam Dan Adat Melayu Perak Darul Ridzuan 400,000 0.25

Amin Baitulmal Johor 400,000 0.25

Khoo Eng @ Khoo Bee Wah 400,000 0.25

Cartaban Nominees (Asing) Sdn Bhd 364,400 0.22(Exempt An for Credit Industrial ET Commercial (AC Client) )




BHLB Trustee Berhad 359,000 0.22Prusmall-Cap Fund

Miss Wipaporn Limprana 350,000 0.21

Rommel Josef 330,000 0.20

PKNS Infra Berhad 320,000 0.20

Jumlah/Total 149,016,445 91.54



WILAYAH PERSEKUTUAN

1. W01 Ibu PejabatTingkat 26, Blok AnnexDataran Kewangan Darul TakafulNo.4 Jalan Sultan Sulaiman50000 Kuala LumpurTel : 03–22681984 Faks : 03–22740237Toll Free : 1–300–8–8252385Web : http://www.takaful-malaysia.com

2. W03 Cawangan Jalan Tun RazakLot 1, Tingkat 17Bangunan Ibu Pejabat Tabung Haji201 Jalan Tun Razak50400 Kuala LumpurTel : 03–2162 1307 Fax : 03–2164 7446

3. W04 Cawangan KL SentralLot CS / 3B / G, Tingkat BawahPlaza Sentral, Jalan Stesen Sentral 550470 Kuala LumpurTel : 03–2273 7691 Fax : 03–2274 1907

4. W05 Cawangan Taman MelawatiNo. 312C, Tingkat 2, Darul TakafulJalan Bandar 13, Taman Melawati53100 Kuala LumpurTel : 03–4106 5854 : 03–4106 3718Fax : 03–4106 5869

5. W09 Cawangan PutrajayaTingkat 1, Blok E 16Parcel E, Precinct 1 Anjung62000 PutrajayaWilayah PersekutuanTel : 03–8889 5261 Fax : 03–8889 5262

6. KL01 Cawangan Kuala LumpurTingkat Bawah, Blok AnnexMenara Tun Razak, Jalan Raja Laut50350 Kuala LumpurTel : 03–2698 7039 : 03–2698 7034 Fax : 03–2691 7511

7. Z33 Treasury Business CentreAras 1, Blok Selatan Perbendaharaan 2Kompleks Kementerian Kewangan No. 7, Persiaran PerdanaPresint 2, Pusat Pentadbiran Kerajaan Persekutuan62592 PutrajayaWilayah PersekutuanTel : 03–8890 3588 Fax : 03–8890 3599

SELANGOR DARUL EHSAN

8. B01 Cawangan KlangLot 17, Tingkat 1, Jalan Taman41400 KlangSelangor Darul EhsanTel : 03–3341 8204 : 03–3344 8713 : 03–3344 6055Fax : 03–3344 5724

9. B04 Cawangan Shah Alam S13Tingkat Bawah, Darul TakafulLot No. 82, 84, 86Jalan Rugbi 13/30, Seksyen 1340100 Shah AlamSelangor Darul EhsanTel : 03–5511 7943 : 03–5511 7944 : 03–5511 7945 : 03–5510 7668Fax : 03–5511 7946

10. B06 Cawangan Petaling JayaNo.10-2 & 12-2, Tingkat 1Jalan 14/22, The Right Angle46100 Petaling JayaSelangor Darul EhsanTel : 03–7955 2723 : 03–7957 9533 : 03–7958 3533Fax : 03–7958 3533

11. B08 Cawangan KajangNo. 5A, Plaza KajangJalan Dato’ P. Algendra 143000 KajangSelangor Darul EhsanTel : 03–8734 6479 : 03–8737 6591Fax : 03–8734 6480

Rangkaian CawanganBranch Network


12. B09 Cawangan Subang JayaNo. 24, Tingkat 2, Darul TakafulJalan USJ 10/1B47500 Subang JayaSelangor Darul EhsanTel : 03–5637 9387 Fax : 03–5637 9391

13. B10 Cawangan Tanjong KarangNo. 732 A, Tingkat AtasRumah Kedai Mara45500 Tanjong KarangSelangor Darul EhsanTel : 03–3269 3197 : 03–3269 8011Fax : 03–3269 3712

14. B12 Cawangan Shah Alam S9No. 15, Tingkat 1Jalan Tengku Ampuan Zabedah 9/BSeksyen 940000 Shah AlamSelangor Darul EhsanTel : 03–5519 6141 : 03–5510 5248 : 03–5510 2162Fax : 03–5510 6249

15. B14 Pusat Perkhidmatan Pelanggan CarrefourLot F2.03, Tingkat F2, Carrefour Subang JayaNo. 3 Jalan SS 16/147500 Subang JayaSelangor Darul EhsanTel : 03–5636 3221 Fax : 03–5637 3635

16. B15 Cawangan RawangNo. 33A, Tingkat 1, Jalan Bandar Rawang 2Pusat Bandar Rawang48000 RawangSelangor Darul EhsanTel : 03–6092 6702 Fax : 03–6092 7372

KEDAH DARUL AMAN

17. K01 Cawangan Alor SetarNo. 229, Jalan Shahab 2, Shahab PerdanaJalan Sultanah Sambungan05150 Alor SetarKedah Darul AmanTel : 04–733 4722 : 04–730 7472 : 04–731 9933Fax : 04–730 2414

18. K02 Cawangan Sungai PetaniNo. 4, Kompleks Seri TeminJalan Ibrahim08000 Sungai PetaniKedah Darul AmanTel : 04–421 4510 : 04–425 6588 : 04–423 0716Fax : 04–425 7588

19. K03 Cawangan KulimNo. 16, Taman CenderawasihJalan Tuanku Putra09000 KulimKedah Darul AmanTel : 04–490 6306 : 04–495 0615Fax : 04–491 1241

20. K04 Cawangan JitraNo. 70, Tingkat 1, Kompleks JitraJalan Sungai Korok06000 JitraKedah Darul AmanTel : 04–917 4090 : 04–917 3976Fax : 04–916 2437

21. K05 Cawangan BalingLot 3, Tingkat 2, Bangunan Tabung HajiJalan Bandar Baru Baling09100 BalingKedah Darul AmanTel : 04–470 4481 : 04–470 7980Fax : 04–470 6711



22. K06 Cawangan LangkawiNo. 15, Tingkat 1, Darul TakafulJalan Kelibang, Langkawi Mall07000 KuahKedah Darul AmanTel : 04–966 6242 : 04–966 0052Fax : 04–966 6394

PERLIS INDERA KAYANGAN

23. R01 Cawangan KangarNo. 55, Tingkat 1, Lorong SerulingJalan Bukit Lagi01000 KangarPerlis Indera KayanganTel : 04–976 2901 : 04–977 7804 : 04–977 1889Fax : 04–977 7805

PULAU PINANG

24. P01 Cawangan Bandar PerdaNo. 28, Jalan Perda Barat 1Bandar Baru Perda14000 Bukit MertajamPulau PinangTel :04–537 8573 :04–538 8479Fax :04–537 8650

25. P02 Cawangan Bukit Jambul8C-1, Jalan Tun Dr. AwangSungai Nibong Kecil, Bukit Jambul11900 Bayan LepasPulau PinangTel : 04–641 2414 : 04–642 8211Fax : 04–646 0255

26. P03 Cawangan GeorgetownNo. 64-D, Aras 8, Darul TakafulLeboh Bishop10200 GeorgetownPulau PinangTel : 04–263 7719 : 04–263 8376Fax : 04–263 8400

27. P05 Cawangan Kepala BatasNo. 2148, Tingkat Bawah & 1Jalan Bertam13200 Kepala BatasSeberang Perai Utara, Pulau PinangTel : 04–574 1594 : 04–575 9278Fax : 04–574 1596

28. P09 Cawangan GelugorNo. 2480, Tingkat BawahJalan Sultan Azlan Shah11700 GelugorPulau PinangTel : 04–658 8240 Fax : 04–658 8243

PERAK DARUL RIDZUAN

29. A01 Cawangan IpohNo. 23A, Medan Istana 3Bandar Ipoh Raya30000 IpohPerak Darul RidzuanTel : 05–255 3888 : 05–242 1824 : 05–243 5201Fax : 05–255 1462

30. A02 Cawangan Bandar Baru Sri ManjungNo. 2406, Taman Samudera32040 Sri ManjungPerak Darul RidzuanTel : 05–688 1186 : 05–688 6211Fax : 05–688 7211

31. A03 Cawangan TaipingNo 76, Tingkat 1 & 2, Darul TakafulPusat Perniagaan TaipingJalan Tupai34000 TaipingPerak Darul RidzuanTel : 05–807 9876 : 05–807 6588 : 05–804 1782Fax : 05–808 7588



32. A04 Cawangan Parit BuntarNo. 2, Tingkat 1Jalan Kelichap, Pekan Baru34200 Parit BuntarPerak Darul RidzuanTel : 05–716 1003 : 05–717 2653Fax : 05–717 2733

33. A06 Cawangan Telok IntanLot. 51-1, Jalan Intan 2, Bandar Baru36000 Telok IntanPerak Darul RidzuanTel : 05–622 7790 : 05–622 6202Fax : 05–622 9311

34. A07 Cawangan Kuala KangsarLot. 556, Tingkat 2, Bangunan Tabung HajiJalan Daeng Selili33000 Kuala KangsarPerak Darul RidzuanTel : 05–777 3528 : 05–777 5842Fax : 05–777 3529

35. A09 Cawangan TapahLot 5990A, Tingkat 1Jalan Raja35000 TapahPerak Darul RidzuanTel : 05–401 7576 : 05–401 5706Fax : 05–401 6588

36. A10 Cawangan Tanjong MalimLot 427, No 35-1 Jalan Bunga AnggerikTaman Bunga Raya35900 Tanjung MalimPerak Darul RidzuanTel : 05–458 2115 : 05–459 6896Fax : 05–458 2116

37. A12 Cawangan Bandar Seri IskandarNo. 8A, Jalan UtamaSeri Iskandar Utama32600 BotaPerak Darul RidzuanTel : 05–371 1178 Fax : 05–371 1179

NEGERI SEMBILAN DARUL KHUSUS

38. N01 Cawangan SerembanDarul Takaful, Suite 14-4Arab Malaysia Business CentreJalan Pasar70000 SerembanNegeri Sembilan Darul KhususTel : 06–763 4604 : 06–763 0369 : 06–767 5306Fax : 06–764 9528

39. N03 Cawangan Port DicksonNo. 320, Tingkat 1, Jalan Bandar71000 Port DicksonNegeri Sembilan Darul KhususTel : 06–647 1227 : 06–647 0568Fax : 06–647 1211

40. N04 Cawangan TampinLot. 40 & 41, Tingkat 1Jalan Besar Pulau Sebang73000 TampinNegeri Sembilan Darul KhususTel : 06–441 2363 : 06–441 9722Fax : 06–441 9121

41. N07 Cawangan BahauNo. 19, Tingkat 1, Jalan Mahligai72100 BahauNegeri Sembilan Darul KhususTel : 06–454 0796 Fax : 06–454 0681

MELAKA BANDARAYA BERSEJARAH

42. M01 Cawangan MelakaNo. 95 G/7, Tingkat BawahJalan Melaka Raya24, Taman Melaka Raya75000 MelakaTel : 06–284 9633 : 06–288 3054Fax : 06–288 1341



43. M02 Cawangan Masjid TanahSU 953, Jalan Bandar Baru 6Taman Bandar Baru Masjid Tanah78300 Masjid TanahMelakaTel : 06–384 7233 Fax : 06–384 8533

44. M03 Cawangan JasinJA 6127, Tingkat BawahTaman Maju77000 JasinMelakaTel : 06–529 1067 Fax : 06–529 8418

JOHOR DARUL TA’ZIM

45. J01 Cawangan Johor BahruNo. 8, Aras 3, Menara PerisindJalan Bukit Timbalan80000 Johor BahruJohor Darul Ta’zimTel : 07–224 0369 : 07–224 5426 : 07–226 4645Fax : 07–224 2089

46. J02 Cawangan PontianNo. 52, Lot PTB 12821, Jalan DelimaPusat Perdagangan Pontian82000 PontianJohor Darul Ta’zimTel : 07–687 0727 : 07–687 1359Fax : 07–687 1381

47. J03 Cawangan MuarNo. 5-4, Tingkat BawahJalan Ibrahim84000 MuarJohor Darul Ta’zimTel : 06–952 8808 : 06–955 6206 : 06–952 2102Fax : 06–953 1609

48. J04 Cawangan Batu PahatTingkat 2, No. 46 & 47, Darul TakafulJalan Rahmat83000 Batu PahatJohor Darul Ta’zimTel : 07–434 8560 : 07–432 5673Fax : 07–433 2729

49. J05 Cawangan MersingNo. 39, Tingkat 1, Jalan Wawasan 1Taman Wawasan86800 MersingJohor Darul Ta’zimTel : 07–799 1898 : 07–799 7901Fax : 07–799 5152

50. J06 Cawangan Kluang20, Tingkat 2, Darul TakafulJalan Haji Manan86000 KluangJohor Darul Ta’zimTel : 07–774 1053 : 07–772 1757Fax : 07–776 8285

51. J08 Cawangan SegamatNo. 28A, Tingkat 1Jalan Buluh Kasap85000 SegamatJohor Darul Ta’zimTel : 07–932 2217 Fax : 07–933 3046

52. J09 Cawangan Pasir GudangNo. 24, Tingkat BawahPusat Perdagangan Pasir GudangJalan Bandar81700 Pasir GudangJohor Darul Ta’zimTel : 07–252 0910 : 07–252 1679Fax : 07–252 0919



PAHANG DARUL MAKMUR

53. C01 Cawangan KuantanDarul Takaful, No. 45, Tingkat 3Jalan Teluk Sisek25000 KuantanPahang Darul MakmurTel : 09–514 1799 : 09–513 8980 : 09–513 0155Fax : 09–513 1902

54. C02 Cawangan TemerlohNo. 27, Jalan Dato’ Bahaman 3Darul TakafulPusat Dagangan Temerloh28000 TemerlohPahang Darul MakmurTel : 09–296 5560 : 09–296 2595Fax : 09–296 5417

55. C03 Cawangan RaubNo. 41, Tingkat 1Jalan Datuk Abdullah27650 RaubPahang Darul MakmurTel : 09–355 5277 Fax : 09–355 8699

56. C08 Cawangan PekanTingkat 1, No. 44, Mezzanine FloorJalan Tengku Ariff Bendahara26600 PekanPahang Darul MakmurTel : 09–422 8896 Fax : 09–422 6952

TERENGGANU DARUL IMAN

57. T01 Cawangan Kuala TerengganuLot 1129 & 1130, Tingkat 2 & 3Darul TakafulJalan Sultan Ismail, Off Jalan Banggol20100 Kuala TerengganuTerengganu Darul ImanTel : 09–623 3211 : 09–624 9486 : 09–622 3211Fax : 09–623 9098

58. T02 Cawangan KemamanLot 2.07 & 2.08, Tingkat 2Wisma SerangkaiJalan Sulaimani, Cukai24000 KemamanTerengganu Darul ImanTel : 09–859 4796 : 09–858 6878Fax : 09–858 3455

59. T03 Cawangan JertehLot 318, Tingkat 1Jalan Tangki AirTaman Jerteh22000 Jerteh, BesutTerengganu Darul ImanTel : 09–697 1989 : 09–690 4571Fax : 09–690 4529

60. T04 Cawangan DungunK-17, Tingkat BawahJalan Baru Pak Sabah23000 DungunTerengganu Darul ImanTel : 09–848 3022 : 09–845 6871Fax : 09–845 8550

61. T06 Cawangan KertehLot 7155, Tingkat 1, Jalan Guntong 2Bandar Seri Kerteh24300 KertehTerengganu Darul ImanTel : 09–826 6926 Fax : 09–826 6980

KELANTAN DARUL NAIM

62. D01 Cawangan Kota BharuLot 331 & 332, Tingkat BawahDarul TakafulJalan Sultan Yahya Petra, Wakaf Siku15200 Kota BharuKelantan Darul NaimTel : 09–744 7277 : 09–747 8700 : 09–744 1408 : 09–743 9362Fax : 09–748 6864



63. D02 Cawangan MachangLot 27, Tingkat 1Jalan Tanjung18500 MachangKelantan Darul NaimTel : 09–975 1789 : 09–975 8553Fax : 09–975 7626

64. D03 Cawangan Pasir MasLot 215, Tingkat 1Jalan Pasir Mas- Kota Bharu17000 Pasir MasKelantan Darul NaimTel : 09–790 2126 Fax : 09–791 3541

65. D05 Cawangan Gua MusangLot 4 & 5, Tingkat 1Bangunan Tabung Haji Gua Musang18300 Gua MusangKelantan Darul NaimTel : 09–912 4631 Fax : 09–912 5861

SARAWAK

66. Q01 Cawangan KuchingLot 435, Tingkat 1 & 2, Darul TakafulBangunan Tuanku Haji Mohammad Al-EdrusJalan Kulas93400 KuchingSarawakTel : 082–242 725 : 082–235 121 : 082–247 904 : 082–252 045Fax : 082–234 191

67. Q03 Cawangan MiriDarul TakafulLot 1340, Tingkat Bawah & 1Miri Waterfront Commercial CentreJalan Waterfront98000 MiriSarawakTel : 085–425 961 : 085–420 651Fax : 085–411 724

68. Q04 Cawangan SibuNo. 10H, Lot. 1735, Tingkat 1Bangunan Koperasi SeduanJalan Kampong Datuk96000 SibuSarawakTel : 084–348 346 Fax : 084–325 276

69. Q05 Cawangan MukahLot 508-8, Tingkat 1Mukah NewtownshipJalan Orang Kaya Setiaraja96400 MukahSarawakTel : 084–873 734 Fax : 084–873 761

70. Q07 Cawangan Kota SamarahanLot 6967, Darul TakafulJalan Dato’ Mohd Musa94300 Kota SamarahanSarawakTel : 082–672 545 Fax : 082–672 560

SABAH

71. S01 Cawangan Kota KinabaluLot A 202 & 203, Tingkat 2, Blok AWisma Muis, Jalan Tengku Abdul RahmanPeti Surat 16402, 88850 Kota KinabaluSabahTel : 088–240 212 : 088–240 312Fax : 088–240 313

72. S02 Cawangan TawauTB 268, Tingkat 1Jalan Mahkamah Kompleks Fajar 91000 TawauSabahTel : 089–776 510 : 089–770 960Fax : 089–756 697



73. S03 Cawangan LabuanLot 14, Tingkat 2, Darul TakafulLazenda Commercial CentreJalan Okk Abdullah87007 Wilayah Persekutuan LabuanTel : 087–424 860 Fax : 087–418 418

74. S04 Cawangan Lahad DatuNo. 55, Tingkat 2, Darul TakafulBandar Wilayah91112 Lahad DatuSabahTel : 089–889 130 Fax : 089–889 490

75. S05 Cawangan SandakanLot 1, Blok 12, Tingkat 1Bandar Indah Sandakan88850 SandakanSabahTel : 089–227 916 : 089–224 846Fax : 089–227 792

76. S07 Cawangan KeningauLot 10, Tingkat 1Padasa Commercial KomplexP.O. Box 70989008 KeningauSabahTel : 087–336 980 : 087–338 805Fax : 087–337 053

SYARIKAT-SYARIKAT SUBSIDIARI 1. Asean Retakaful International (L) Ltd. (LL01129)

Level 14, Blok 4Financial Park ComplexJalan Merdeka87000 Wilayah PersekutuanLabuanTel : 087–451 301 : 087–451 302 : 087–451 303Fax : 087–451 300

2. P.T. Syarikat Takaful IndonesiaGraha A, Graha Takaful IndonesiaJalan Mampang Prapatan RayaNo. 100, Jakarta12790 IndonesiaTel : 6221–799 1234 : 6221–799 2345 Fax : 6221–790 1435 : 6221–790 1944

3. P.T. Asuransi Takaful Keluarga Graha B, Graha Takaful IndonesiaJalan Mampang Prapatan RayaNo. 100, Jakarta12790 IndonesiaTel : 6221–799 1234 : 6221–799 2345 Fax : 6221–790 1435 : 6221–790 1944

4. P.T. Asuransi Takaful UmumGraha A, Graha Takaful IndonesiaJalan Mampang Prapatan RayaNo. 100, Jakarta12790 IndonesiaTel : 6221–799 1234 : 6221–799 2345 Fax : 6221–790 1435 : 6221–790 1944


Saya / Kami / I / We ……………………………………………………………………………………………………………………….........................………………sebagai Ahli / Ahli – Ahli Syarikat yang dinyatakan di atas dengan ini melantik being a Member / Members of the abovenamed Company, hereby appoint………………………………………..……………………………………………………………….…………......................................................………................dari / of ………………………………………..……………………………………………………………….…………......................................................………...atau / Pengerusi Mesyuarat jika beliau tidak dapat hadir / or the Chairman of the Meeting failing him.………………..............………………………..………dari / of ………………………………….………………………………………………………..……………………………….........................................................sebagai proksi saya / kami untuk mengundi bagi pihak saya / kami di MESYUARAT AGUNG TAHUNAN SYARIKAT TAKAFUL MALAYSIA BERHAD yang KEDUA PULUH TIGA yang akan diadakan pada hari Rabu, 10 Disember 2008 jam 9:30 pagi dan pada sebarang penangguhannya. as my / our proxy to vote for me / us on my / our behalf at the TWENTY THIRD ANNUAL GENERAL MEETING OF SYARIKAT TAKAFUL MALAYSIA BERHAD, to be held on Wednesday, 10 December 2008 at 9:30 a.m. and at any adjournment thereof.

Sila tandakan “X” di dalam ruang yang disediakan di bawah bagaimana anda ingin mengundi untuk resolusi-resolusi berikut. Sekiranya tiada arahan-arahan tertentu, proksi anda akan mengundi atau tidak mengundi sepertimana yang dia anggap patut. Jika anda melantik dua proksi, sila nyatakan bahagian pegangan untuk diwakilkan kepada setiap proksi.Please indicate an “X” in the space provided below, how you wish your vote to be cast in respect of the following resolutions. In the absence of specific directions, your proxy may vote or abstain at his/her discretion. If you appoint two proxies, please specify the proportions of holdings to be represented by each proxy.

Wakil saya / kami akan mengundi seperti berikut / My / Our proxy is to vote as indicated hereunder:

NO. RESOLUSI / RESOLUTION MENYOKONG/ MENENTANG/ FOR AGAINST

1 Menerima dan menimbang Penyata-Penyata Kewangan yang telah diaudit bagi tahun kewangan berakhir 30 Jun 2008, beserta laporan Pengarah dan Juruaudit berkaitan dengannya. To receive and adopt the Audited Financial Statements for the financial year ended 30 June 2008, together with the reports of the Directors and Auditors thereon.

2 Untuk meluluskan dividen akhir bagi tahun kewangan berakhir 30 Jun 2008. To approve the final dividend in respect of the financial year ended 30 June 2008.

Melantik semula Pengarah-Pengarah berikut:- To re-elect the following Directors:-

3 Y. Bhg. Dato’ Mohamed Hassan b. Md. Kamil

4 Y. Bhg. Tan Sri Dr. Hadenan b. A. Jalil

5 Y. Bhg. Dato’ Sulaiman b. Mohd Yusof

6 Encik Johan b. Abdullah

7 Untuk meluluskan bayaran yuran Pengarah-Pengarah. To approve the payment of the Directors’ fees.

8 Untuk meluluskan bayaran yuran Ahli-Ahli Badan Penasihat Syariah. To approve the payment of the Shariah Advisory Body Members’ fees.

9 Untuk melantik semula Juruaudit dan memberi kuasa kepada Pengarah-Pengarah untuk menetapkan bayaran Juruaudit. To re-appoint Auditors and authorise the Directors to fix their remuneration.

10 Meluluskan urusan khas menurut Seksyen 132D, Akta Syarikat 1965. To pass the special business pursuant to Section 132D, Companies Act 1965.

11 Cadangan Pembaharuan Mandat Pemegang Saham bagi Urusniaga Berulang Pihak Berkaitan. Proposed Renewal of Shareholders’ Mandate for Recurrent Related Party Transactions.

JUMLAH SAHAMNO. OF SHARES

Pada / Dated this …… haribulan / day of …. 2008

Tandatangan/ Cop Mohor Pemegang SahamSignature/ Common Seal of Shareholders

Borang Proksi/Proxy Form

Nota-Nota:(i) Seorang ahli Syarikat yang berhak hadir dan mengundi dalam mesyuarat, berhak melantik seorang atau beberapa orang proksi untuk hadir dan

mengundi bagi pihaknya dan haruslah menyatakan bahagian pegangan sahamnya yang diwakili oleh setiap proksi dan seorang proksi tidak semestinya ahli Syarikat.

(ii) Suratcara pelantikan proksi mestilah dibuat secara bertulis dan ditandatangani oleh pihak yang melantik atau wakilnya yang diberi kuasa secara bertulis atau jika pihak yang melantik itu sebuah perbadanan, ianya hendaklah dibuat samada di bawah meteri atau ditandatangani oleh pegawai atau wakil yang diberi kuasa.

(iii) Semua borang proksi hendaklah dihantar kepada Pejabat Berdaftar Syarikat, di Tingkat 26, Blok Annex, Dataran Kewangan Darul Takaful, No. 4, Jalan Sultan Sulaiman, 50000 Kuala Lumpur tidak lewat dari empat puluh lapan (48) jam sebelum waktu yang ditetapkan bagi mengadakan mesyuarat atau sebarang penangguhannya.

(iv) Kecuali arahan mengundi dinyatakan dalam ruang yang disediakan di atas, seorang proksi boleh mengundi sebagaimana yang ia fikirkan sesuai.

Notes: (i) A member of the Company entitled to attend and vote at the meeting may appoint a proxy or proxies to attend and vote instead of him and shall

specify the proportions of his holdings to be represented by each proxy and a proxy need not be a member of the Company.(ii) The instrument appointing a proxy shall be in writing under the hand of the appointer or his attorney duly authorised in writing or if the appointer is

a corporation, either under seal or under the hand of an officer or attorney duly authorised.(iii) All proxy forms should be deposited at the Registered Office of the Company at 26th Floor, Annexe Block, Dataran Kewangan Darul Takaful, No. 4,

Jalan Sultan Sulaiman, 50000 Kuala Lumpur not less than forty-eight (48) hours before the time for holding the meeting or any adjournment thereof.(iv) Unless voting instructions are indicated in the spaces provided above, the proxy may vote as he/she thinks.

Setiausaha Syarikat / The Company Secretary SYARIKAT TAKAFUL MALAYSIA BERHAD Tingkat 26, Blok Annex Dataran Kewangan Darul Takaful No. 4, Jalan Sultan Sulaiman 50000 Kuala Lumpur

www.takaful-malaysia.com

Syarikat Takaful Malaysia Berhad (131646-K)

Tingkat 26, Blok Annex, Dataran Kewangan Darul Takaful, No. 4, Jalan Sultan Sulaiman, 50000 Kuala LumpurTel : 603-2268 1984 Fax : 603-2274 2864

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