Telekom Malaysia - Investor Relations

Type	Announcement
Subject	Award made by the Arbitrator in respect of the Arbitration Proceeding by Inmiss Communication Sdn Bhd against Mobikom Sdn Bhd, a wholly owned subsidiary of Telekom Malaysia Berhad

We refer to Telekom Malaysia Berhad’s (“TM”) announcement dated 12 September 2003 in respect of the above arbitration proceedings instituted by Inmiss Sdn Bhd (“Inmiss”) against Mobikom Sdn Bhd (“Mobikom”), a wholly owned subsidiary of TM, Inmiss has commenced the arbitration proceeding against Mobikom in 2001 for the alleged outstanding payment on its share of message tariff revenue including interest charges and other losses amounting to RM 29 million.

Following the receipt of the Award from Mobikom’s counsel after the close of business on 1 April 2005, we wish to announce that the Arbitrator has on 31 March 2005 published the Award in favour of Inmiss, the amount of which is to be calculated by Inmiss, less RM1,507,094.00 being Mobikom’s claim for cloned calls with interest at the usual rate for debit. The Arbitrator has also allowed a reduction of 1% of the total amount of the said Award due failure by Inmiss to mitigate the loss immediately.

Based on legal advice, TM is of the view that Mobikom has good grounds to set aside the Award and will be filing Notice of Application to the High Court and for stay of execution pending the hearing of the said appeal. We wish to reiterate that the Award does not have any material financial and operational impact on TM.

TM will make further announcement of any material development on the above matter.

Announcement Info

Company Name	TELEKOM MALAYSIA BERHAD
Stock Name	TELEKOM
Date Announced	4 Apr 2005
Category	General Announcement
Reference No	TM-050404-69588

Award Made By The Arbitrator In Respect Of The Arbitration Proceeding By Inmiss Communication Sdn Bhd Against Mobikom Sdn Bhd, A Wholly Owned Subsidiary Of Telekom Malaysia Berhad

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Announcement Info