Press Statement by Bank Islam Malaysia Berhad (Bank Islam)

In April 2009, Bank Islam had made an offer to its existing shareholders, i.e. BIMB Holdings Berhad (“BIMB Holdings”), Lembaga Tabung Haji (“LTH”) and Dubai Financial Group LLC, a Dubai Group Company (“Dubai Financial”) to subscribe to up to RM 540.0 million of Islamic Convertible Redeemable Non-Cumulative Preference Shares (“Islamic CRNCPS”) on a pro-rata basis. The preference shares issued pursuant to the offer would qualify as Tier 1 Capital to further strengthen the capital base of Bank Islam and allow for the further expansion of business.

BIMB Holdings and LTH had accepted their entitlement amounting to RM 275.4 million and RM 48.6 million Islamic CRNCPS respectively in July 2009, thereby raising Bank Islam’s total Tier 1 Capital by RM 324.0 million.

Dubai Financial has not taken up the offer to subscribe to its portion of the Islamic CRNCPS by 30 September 2009 amounting to RM 216.0 million. Pursuant to the terms of the Islamic CRNCPS, Bank Islam will now offer the said portion to BIMB Holdings and LTH on a pro-rata basis. Both shareholders would have seven (7) calendar days from the date of the offer to revert with their decision.