RIGHTS Announcement; 1:4

http://info.sgx.com/webcoranncatth.nsf/VwAttachments/Att_83A64723DE1D507C482573150040541F/

PARTICULARS OF THE RIGHTS ISSUE

Basis of the Rights Issue

The Rights Shares will be offered at an issue price of S$0.01 (the ?

Revenue

The Group?s revenue in financial period ended 31 March 2007 has increased to $20,786,000 from $13,397,000 in financial year ended 31 December 2005. This increase in revenue is attributed to the following reasons: -

1. In Singapore and others region, there were major projects undertaken for customers such as United Test and Assembly Center Ltd, ST  Microelectronics Pte Ltd and Tech Semiconductor Pte Ltd;

2. Contributions from REI Technologies Pte Ltd (?REI?), a newly incorporated subsidiary in Singapore, whereby its principal business is the provision of repair, maintenance and technical services (?Technical Services?);

3. There was an increase in revenue in PRC region, attributed mainly to the Infovision Optoelectronics (Kunshan) Co., Ltd project in Kunshan and the warehouse management service contract in PRC.

4. Increase in revenue in Malaysia region was attributed to the Infineon project in Kulim.

Relocation services will continue to be the Group?s primary source of revenue. Revenue from packing services as well as warehousing and related services will continue to be derived mainly from Singapore. In addition, the Group has established a new business segment (Technical Services) as part of its plan to extend the scope of the Group?s services to include businesses with regular income streams.

Cost of Sales

Cost of sales increased by about $6.0 million or approximately 95.6% as compared to the period ended 31 December 2005. Hence gross profit increased marginally by about $1.4 million or approximately 19.4%.

Gross profit margin however was reduced from 53.1% in December 2005 to 40.8% in March 2007 due mainly to additional direct expenses of about $3.5 million arising from expenses incurred in REI and the operations in Malaysia. Additional depreciation charges due to acquisition of new fixed assets and increase transportation vehicle rental charges especially in PRC for the Kunshan project contributed to the increase in direct expenses.

REI profit margin of about 17.5% also contributed to lower the Group?s gross profit margin.

Expenses

Selling and distribution expenses increased by $1.0 million or approximately 112.7% as compared to the year ended 31 December 2005. The increase was attributable mainly to higher payroll as well as travel and related expenses as a result of expanded regional operations. An amount of about $0.2 million was attributed to the new operations in Malaysia and REI.

Cash Flow and Fixed Assets