1. 21 – 22 September 2006, Kuala Lumpur Savings Banks and Foundations, contribution for a sustainable society Laurel E Grossman, Chief Executive Officer, RepuTex Group of Companies, Australia “Savings banks: the retail gateway to a global market. Driving sustainable development”

2. REPUTEX IN ASIA

3. What is RepuTex? RepuTex is the brand of the RepuTex Group of companies; RepuTex is based in Melbourne, Australia and has subsidiary companies in Hong Kong and Shanghai; RepuTex is chaired by Mr Graeme Lee, former Managing Director of Standard & Poor’s Australia Pacific. RepuTex has a strong commitment to the delivery of ratings and research services on Asia to financial markets worldwide.

4. RepuTex has ratings for over 400 companies worldwide but the spread across Asia is currently very small. This is indicative of the slow take up of sincere engagement with CSR in Asia. RepuTex Ratings – Continent Distribution RepuTex Ratings – Country Coverage (Top 5)

5. The RepuTex Research Framework: China delivers the first universal framework for socially responsible business conduct in China. The framework is the result of a China-based research project conducted by RepuTex with assistance from Fudan University and the Chinese Academy of Social Sciences. THE REPUTEX RESEARCH FRAMEWORK 1

6. The objectives of the project were: To define CSR principles and practices as they apply to China’s current level of development; To provide an easily understood framework to guide CSR- related activities for business, media, government and community organisations in China; To support RepuTex delivery of CSR and corporate reputation research and rating services in China. THE RESEARCH PROJECT 2 The research process was conducted over a six-month period commencing June 2005.

7. RepuTex uses a series of key factors for the global conduct of its ratings. THE REPUTEX GLOBAL MODEL 5

8. An important feature of the RepuTex Framework: China is that it has been prepared in consultation with in excess of 150 major business, community, academic and government stakeholders in China. PARTICIPATION 3

9. THE REPUTEX RESEARCH FRAMEWORK 4

10. 1.Direct phone interviews in Chinese language; 2.Private appointments; 3.China consultation sessions, in collaboration with the IFC; 4.Teleconference sessions with a number of international organisations; 5.An input facility on the RepuTex website. Other Data Collection Fudan University also undertook an extensive search and provided input through analysis of government proclamations, media issues and other research databases on related topics. METHODOLOGY PHASES 7 Consultations To accommodate the Chinese setting, five options were designed for stakeholder participation and engagement:

11. Customers RepuTex sells its ratings and information to companies. It also sells the information obtained from its rating processes and other research projects to third parties. Its customer base includes: Investment and trade agencies Listed companies Private companies Multinational corporations Fund managers and institutional investors Supply chain managers Government business enterprises Government departments

12. Many companies are now recognising the link between social and financial risk Today, most reputation issues can be linked to a company’s corporate social responsibility (CSR) profile. Investors want to know how well a company is managing and controlling environmental, community, workplace and governance risks because these risks have a direct link to financial performance. Risksvs.Opportunities Business Benefits

13. The RepuTex Share Index

14. Over the course of 2006 RepuTex has undertaken research to develop systems to deliver risk exposure and performance information to financial markets. Called REXmetrics®, the new technology platform delivers real time company risk and exposure (REX) data. Information is delivered via AQUA financial software, a leading information manager and analytics tool currently used by financial houses. REXmetrics®

15. Investors cited four key challenges of investing in China today: The corporate ownership structure and resulting conflicts of interest between insiders and minority shareholders. Lack of independent directors. The lack of regulations and enforcement to prevent abuses and protect the rights of minority shareholders. The lack of transparency and disclosure. Source: Special Report: China, the next global hot spot of corporate governance? Institutional Shareholder Services, 2006 Market Research and Surveillance

16. Lack of transparency compounds the investment risks even further, as these comments made clear: “A public company’s internal operation is like a black box. We have no idea about it.” CHIEF INVESTMENT OFFICER OF A CHINESE MUTUAL FUND “Publicly disclosed information is so poor that we cannot make investment decisions based on that.” CHINESE MUTUAL FUND “I don’t like the financial information disclosure in the China A share market. We think there are quite a lot of improvements that need to be made. Public companies do not like to share information with institutional investors. Meanwhile, we have concerns about the quality of information. Hopefully, we can see better disclosure rules in next three years.” CHINESE SECURITIES FIRM Source: Special Report: China, the next global hot spot of corporate governance? Institutional Shareholder Services, 2006 Market Research and Surveillance

17. What do you consider to be the main factors preventing you from investing in Chinese equities? Source: Market Research - China RepuTex China, 2006 Market Research and Suverviallance

18. Many major international companies feature RepuTex seals on their websites and reports. The RepuTex Standard

19. www.reputexgroup.com