Keppel Philippines Group Ventures into Automation

March 5, 1998 PSE CIRCULAR FOR BROKERS NO. 290-98 Keppel Philippines Group Ventures into Automation The Keppel Philippines Group, through its publicly-listed shiprepair and shipbuilding unit, Kepphil Shipyard Inc, has entered into a joint venture with Keppel Automation to provide a comprehensive range of automation and instrumentation services for the marine, industrial, building, and transportation sectors in the country. The joint venture, named KP Automation Inc. will specialize in the design, installation, testing, and commissioning of automated systems using the latest technology in wireless transmissions, network and information systems, and electronic engineering. It also offers maintenance and repair services of navigational and communication equipment. KP Automation Inc. has an authorized capital stock of 10 million pesos, with ten million shares at a par value of one peso (P1) per share. Its shareholding structure is 51% Kepphil Shipyard and 49% Keppel Automation. KP Automations taps on the strength and expertise of its parent company Keppel Automation, a subsidiary of Keppel Integrated Engineering of Singapore, which has built a track record as a total systems integrator serving the marine, industrial, building, and transportation technologies in Singapore. Some of Keppel Automation's projects include the installation and commissioning of communication systems on Floating Production Storage and Offloading facilities (FPSO), the highly sophisticated signaling control systems for the Singapore Mass Rapid Transit System, the integrated security system at a distripark and shopping mall, and an automatic car park ticketing system. As a pioneer in the field of marine automation, it offers a full range of services for equipment such as marine internal communication system, Gyro and magnetic compasses, oil change and alarm monitoring system, and cargo, boiler, and ballast control management systems. KP Automation will benefit from the Keppel Philippines Group's vast network in the marine industry as it gains access into the growing automation requirements. Said Mr. Hoe Eng Hock, Chairman of KP Automation, "With the technical expertise of Keppel Automation and marketing support of Keppel Philippines Group, KP Automation is well positioned to gain a strong foothold in the industry, as more companies move towards automating their production processes and business operations to increase productivity."