Listed Companies' Announcement



The Directors of Federal International (2000) Ltd ("the Company") would like to announce that the Company has subscribed for an additional 12,000,000 ordinary shares of $1.00 each in the share capital of its wholly-owned subsidiary, Federal Hardware Engineering Co Pte Ltd ("FH") for a consideration of $12,000,000. The consideration was satisfied by the capitalisation of an amount due from FH to the Company.

Following the above subscription for shares, the Company now holds 20,000,000 shares of $1.00 each in the share capital of FH.

The above transaction is not expected to have any material impact on the earnings per share and net tangible asset per share of the Company for the current financial year.

None of the Directors or Controlling Shareholders of the Company has any interest, direct or indirect, in the above transaction.

By Order of the Board
Federal International (2000) Ltd

Submitted by Chng Geok, Company Secretary on 16/04/2003 to the SGX