We value your

trustwww.pos.com.my

Pos Malaysia Berhad (229990-M)

POS M

ALAYSIA BERHAD annual report two thousand seven

Corporate Vision Statement

Your Trusted PartnerCorporate Mission Statement

Execute excellence in everything we do and generate best returns

Concept & Design by

Corporate Vision and Mission

This year, Pos Malaysia would like to take the opportunity to unveil itsrefined Corporate Vision and Mission to all its stakeholders.

2007 saw the continuation of Pos Malaysia’s transformation journey,with emphasis on strengthening trust between Pos Malaysia and all itsstakeholders. The metamorphosis towards a customer-focusedorganisation translates into the refined Corporate Vision, ‘Your TrustedPartner’, building on the core emotions of ‘trust’ and the affinity of ‘partnership’ to epitomise the long-standing relations andcommitments between Pos Malaysia and its stakeholders.

Pos Malaysia is committed to be your trusted partner in the delivery ofcommunication, goods and services. The drive towards institutionalisingthis commitment is encapsulated in the Corporate Mission ‘Executeexcellence in everything we do and generate best returns’.

The Board of Directors and Management wish to convey to thestakeholders that Pos Malaysia is dedicated to deliver our best. We inviteyou to be part of this transormation.

We value your Trust

2

group financial highlights

SenRM Million

647 69

3 786 82

0

03 04 05 06 07 03 04 05 06 07 03 04 05 06 07

03 04 05 06 07 03 04 05 06 07 03 04 05 06 07

859

32

63 70 70

108

13.1

3

31.1

3

20.1

6

(6.2

7)

(34)

78

108

148

148

145

65

109

108

101

RM Million RM Million RM Million

RM

revenue

profit after taxearnings

per share (basic)net tangible

assets per share

operating profit ebitda

For 2007, PAT and EPS include provision for impairment losses. Excluding impairment, PAT & EPS stood at RM107.2 mil & 19.97 sen repectively.

11.7

6

7.05

9.17

7.67

9.55

1.60

859.3 758.3

Operating Expenses Breakdown (RM Million)

Revenue Breakdown(RM Million)

65.9% mails

17.2% courier

13.0% retail

3.9% others

3

group financial highlights

Profitability For the year ended 2003 2004 2005 2006 2007

Profit before Tax RM ‘000 86,723 95,913 166,271 155,924 15,526Operating Margin % 4.93 9.33 13.87 13.16 11.76EBITDA Margin % 12.10 15.56 18.88 18.00 16.88Return on Assets (ROA) % 5.59 5.86 12.53 8.16 (2.70) a

Return on Equity (ROE) % 9.12 9.35 18.55 11.54 (3.92) a

Balance Sheet Total Assets RM ‘000 1,128,595 1,202,734 1,333,777 1,325,963 1,247,144Shareholders’ Fund RM ‘000 692,664 753,224 900,502 938,008 859,391Price/Earnings Ratio b times 9.00 14.00 14.00 16.00 N/ACurrent Ratio times 1.41 1.59 1.95 2.16 1.27

Staff informationNumber of Staff 14,533 14,688 15,063 15,425 15,777Staff Costs RM ‘000 387,374 407,812 425,070 427,660 456,362Revenue per Employee RM ‘000 44.52 47.21 52.18 53.16 54.47

NOTESaROA & ROE – negative due to allowance for impairment losses. Excluding impairment, ROA & ROE stood at 8.60% and 12.47% respectively.bP/E Ratio for 2003 – 2006 is based on Pos Malaysia & Services Holdings Berhad performance for the respective years. For 2007, P/E Ratio is not available due to negative earnings

registered, which was attributed to allowance for impairment losses. Excluding impairment, 2007 P/E Ratio stood at 12.22 times.

4

business highlights

couriermail retail logistics

�RevenueRM567.0 mil (up 4.1%)

�Volume:1.4 bil items (up 2.6%)

�Revenue contribution:65.9%

�Volume growth:Express mail (up 14.0%)Parcel (up 6.2%)Corporate mail (up 18.0%)

�Revenue per postmanRM66,600 (up 1.8%)

�Upgraded servers at 6 deliverybranches to support PosDaftar

� Track & Trace deployed to 323delivery branches to supportPosEkspres

�Updated addresses in database

�Deployed 825 newworkstations to deliverybranches

�Embarking on ISO 9001: 2000

�Grow direct mail segment

�RevenueRM147.6 mil (up 10.7%)

�Volume:9.8 mil items (up 14.1%)

�Revenue contribution:17.2%

�Revenue per courierRM148,400 (up 7.2%)

�Bulk of volume growth is fromcontract customers

�PITTIS went live in May 2007

�Equipped couriers with morethan 800 new handheldscanners

�Wilayah Persekutuan PosLajuCentre recorded 100% D+1delivery standard

�60% D+1 coverage forMalaysia

�Awarded Reader’s Digest GoldAward for Malaysia’s TrustedBrand for 3 consecutive years

�PSHE (AsiaXpress) registeredprofit in the 3rd year ofoperations

� Increase D+1 coverage to 70%by opening new PosLaju centres

� ISO certification at all PosLajubranches

�RevenueRM111.5 mil (up 10.0%)

�Volume:106.5 mil transactions (up 7.8%)

�Revenue contribution:13.0%

�Volume growth from all segmentsin particular PosOnlinetransactions (up 105.0%)

�Opened 12 new post offices and68 new mini post offices, of which18 outlets were opened in ruralareas in 2007

�Conducted Sales, Operations &Service training for 1,160 front liners

�Established partnership withCIMB to promote credit card andpersonal loan products

� Introduced online shopping(eShop)

�32.1% retail outlets are operatedby third parties

�Extended JPJ services to another92 outlets

�11 staff participated in PETERprogramme

�Pursue shared banking servicearrangements to enhancefinancial services to rural areas

�Deployment of self service kiosks

�RevenueRM7.1 mil (down 57.2%)

�Volume Air Cargo:5,749 tonnes outbound (up 22.0%)

�Volume Land Cargo:318,000 tonnes (up 28.7%)

� Load factor:Air outbound recorded 76.9%whilst land recorded 81.3%

� Service standard for line haulrecorded consistentperformance at 99.4%, whilstair recorded 38.5%

� Serve internal and externalcustomer via fleet of 32 linehaul vehicles to 34 destinations

�Market air cargo space anddistribution services to nicheindustries

� Focus on opportunities in SDCand SCORE

BusinessReview

MovingForward

KeyHighlights

5

share performance

DecNovOctSepAugJulJunMayAprMarFebJan

POS Volume POS Share Price

RM5.00as at 3 Jan 07

RM2.44as at 31 Dec 07

2007

Suspension of PSH share to facilitate capital repayment and transfer of listing- Capital Repayment exercise completed - Transfer of Listing from PSH to PMB

2007 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Total monthly 294,977 272,485 170,620 201,618 329,570 267,372 243,737 99,559 158,257 211,061 138,538 120,235Volume

Monthly High (RM) 5.05 4.94 4.86 4.92 4.80 4.42 4.82 4.78 3.08 3.06 2.75 2.65

Monthly Low (RM) 4.72 4.20 3.94 4.55 4.10 3.98 4.16 2.84 2.98 2.63 2.66 2.39

Month end closing 4.80 4.56 4.74 4.68 4.16 4.18 4.78 3.04 3.02 2.74 2.69 2.44price (RM)

PSH PMB

We value the trust you havebestowed upon us. Your trust has allowed us to continue nearly 200 years of legacy, and shaped us into what we are today.

We will do our utmost todelight you for years to come.

7

accolades and awards

PosLaju has been awarded the Reader’s Digest Trusted Brand Gold Medalaward for two consecutive years; 2006 and 2007 under courier/air freightcategory. History now repeats itself when the Malaysian consumers againvoted PosLaju as a Trusted Brand in 2008. This recognition proves thatPosLaju continues to be valued by Malaysians.

In addition to the above, PosLaju was also conferred the Universal PostalUnion Bronze level award for the EMS performance in 2005 andnominated for 2007 EMS Customer Care Award.

To some, this would be reason to celebrate, but to the hardworking peopleat PosLaju, strengthening the trust bestowed by Malaysians year afteryear is what matters.

8

continuing our legacy of trust

Over the years, as the nation grows and matures,Pos Malaysia has also beenevolving and expandingbeyond traditional postalservices, so as to remainrelevant and to adapt to thechanging global landscape.

The years have also remindedus of what we uphold most -the value of Trust.

The Business Today

Pos Malaysia has been entrusted as theprovider of postal services in Malaysia. Thereare four core business areas namely; mail,courier, retail and logistics services.

Leveraging on more than 15,700 staff and1,000 outlets which include retail and courierservice centres, Pos Malaysia handles morethan 1.4 billion items per year, provides door-to-door postal delivery to more than 6.3million addresses, serving more than 27.3million Malaysians. Through its outlets, PosMalaysia serves more than 5 millioncustomers per month.

The History

Pos Malaysia traces its roots back to the early1800s with the establishment of postalservices in the Straits Settlements (Penang,Malacca and Singapore). By early 20thcentury, the postal services had reachedevery corner of Malaya.

As postal services in other countries graduallyevolved, so did the postal services in Malaysia.The postal services began to venture intoparcel delivery, registered mail, insuranceservice, transaction of money (postal order andmoney order) and investment of funds (PostOffice Saving Bank).

Upon independence in 1957, Pos Malaysia,then known as Jabatan Perkhidmatan Pos,began its active participation in numerousinternational associations to stay abreast in the nation’s postal development. It was subsequently admitted as a memberof the Universal Postal Union (UPU) on 17 January 1958.

The vast experience gained from years ofoperation forms the strong backbone tosupport the massive restructuring whenJabatan Perkhidmatan Pos became acorporatised entity in 1992 as Pos MalaysiaBerhad. Through another corporate exercisein 2001, Pos Malaysia became part of alisted entity, Pos Malaysia & ServicesHoldings Berhad.

In 2007, the listing status of Pos Malaysia & Services Holdings Berhad was transferredto Pos Malaysia Berhad through arestructuring exercise.

The Future

Capitalising on existing strengths andopportunities, the key strategy employed byPos Malaysia is to defend and strengthen thefour core business areas by providinginnovative solutions, growing non-traditionalmail, entering into smart partnerships andexploring potentials in communicationtechnology.

The Commitments

Pos Malaysia makes every effort to providethe best in quality and to continuouslyimprove service levels for its customers.

Pos Malaysia is also committed towardsadding value and generating best returns forits investors and shareholders.

Pos Malaysia believes in human capitaldevelopment for its workforce. This is acrucial ingredient to support Pos Malaysia’smission to execute excellence in everythingit does and to generate best returns.

Pos Malaysia pledges its commitment topromote sustainable development ofUniversal Service Obligation (USO) for thebenefit of all Malaysians.

Pos Malaysia will continue to do its best tostrengthen the bond that is shared betweenPos Malaysia and its stakeholders.

Pos Malaysia values your Trust.

9

contents

16th

annual general meeting19 June 2008, 10.00 a.m

Grand Ballroom, First Floor,

Sime Darby Convention Centre,

1A, Jalan Bukit Kiara 1,

60000 Kuala Lumpur

Unique Marine LifeThe South China Sea contains lifeforms which are both fascinatingand mysterious. Among them arethe ancient fish-like creatures ofthe Ordovician period some 480million years ago.

Corporate Vision and Mission 1 Group Financial Highlights 2 Business Highlights 4 Share Performance 5 Accolades and Awards 7 Continuing our Legacy of Trust 8

Our Business & AccomplishmentsChairman’s Statement 12 Mail Business 17Courier Business 20Retail Business 23Logistics 27Transformation Initiatives 29Harness & Invest in Human Capital 31Enhancing Core ICT Capabilities 34Group Products & Services 36 Corporate Events 38 Financial Calendar 45

Our ProfileCorporate Information 48 Group Structure 50 Board of Directors’ Profile 51Senior Management 60

Our CommitmentsCorporate Responsibility 64Corporate Governance Statement 68Statement of Internal Control 79Directors’ Responsibility Statement 81 Additional Compliance Information 82 Audit Committee Report 83

Director’s Report & Financial StatementsTop 10 Properties Owned 158Analysis of Shareholdings 162Notice of 16th Annual 165General MeetingProxy Form 167

We view our partnership with youas an enduring commitment. Formany years, we have deliveredsuperior shareholder value. Weendeavour to outperform yourexpectations.

Trust us to deliver.

our business & accomplishments

12

chairman’s statement

Tan Sri Adam KadirChairman

In retrospect, the year 2007came with its own sets ofchallenges and rewards.

As Chairman, it is my pleasureand privilege to present youwith the inaugural AnnualReport and Audited FinancialStatements for Pos MalaysiaBerhad (Pos Malaysia) for the financial year ended 31 December 2007.

13

chairman’s statement

Restructuring Exercise

During the 3rd Quarter 2007, Pos Malaysia &Services Holdings Berhad (PSH) was restructured toallow the shareholders to have direct exposure tothe main operating entity, and provide greateroperational efficiency. This move entailed thetransfer of the listing status of PSH to Pos MalaysiaBerhad on the Main Board of Bursa MalaysiaSecurities Berhad. With the listing of Pos Malaysiaon 28 August 2007, PSH ceased to be a listedcompany and thereafter became a wholly-ownedsubsidiary of Pos Malaysia.

The listing of Pos Malaysia enables the company toimprove its fiscal standing in relation to cleareraccountability and transparency. This would allowfor a more focused business repositioning, thusgenerating better returns for its stakeholders and partners. The restructuring also saw theconsolidation of both the PSH and Pos MalaysiaBerhad Boards into a single Pos Malaysia BerhadBoard of Directors. Having one Board simplifies the strategic decision-making and acceleratesimplementation of transformation initiatives.

In tandem with the restructuring, PSH undertook acapital repayment exercise, whereby, cashamounting to RM805.1 million, or RM1.50 pershare was distributed to shareholders. This movewas designed to achieve a more efficient capitalmanagement, in line with the Purple Book authored by the Putrajaya Committee on GLC HighPerformance.

Financial Performance

In 2007, Pos Malaysia revenue grew 4.8% toRM859.3 million. This was achieved on the back ofincreased revenue generated from the mail business(by 4.1%), courier business (by 10.7%), and retailbusiness (by 10.0%). Earnings before interest, tax,depreciation and amortization (EBITDA) stood atRM145.0 million.

In contrast, Pos Malaysia’s profit before tax (PBT)declined to RM15.5 million and the companyrecorded a loss after tax of RM33.7 million. This wasmainly due to the allowance for the diminution ofthe value of our investments in Transmile and otherinvestments, amounting to RM140.9 million.

RM805.1mcapital repayment excercise

RM859.3mgroup revenue in 2007

Business Performance

The overall business and transaction volumes sawan increase across the board. The increase was theresult of conscious efforts to pursue business growthfrom existing and new customers, and a morefocused management of the existing clientele.

Mail business contributed RM567.0 million or65.9% to the group revenue. Despite stagnatingglobal volume trend, domestic mail volumecontinued to show increasing growth trend. Overallmail volume grew by 2.6% to 1.4 billion itemshandled. However, mail business is confronted withchallenges in the form of competition from otherservice providers, threat of substitutions andchanging customer behavioural patterns.

Courier business, which contributed RM147.6million or 17.2% to the group revenue, saw itsvolume increasing by 14.2% to 9.8 million itemshandled. The bulk of this increase was attributed tothe growth from the contract customer segment,which grew by 16.8%.

Retail business posted revenue of RM111.5 millionand accounted for 13.0% of group revenue. Itsbusiness transaction volume surpassed the 100million mark in 2007. The total volume, which stoodat 106.5 million transactions, was 7.8% above theperformance in 2006. Online transactions viaPosOnline recorded more than 400,000transactions, a strong growth of 105.0% in 2007.

Logistics business recorded revenue of RM7.1million. Cargo and logistics volume, for both landand air, also rose in 2007. Land cargo volumereached 318,000 tonnes from 247,000 tonnes in2006. Air cargo outbound volume increased to5,749 tonnes as a result of increased mail andparcel volumes.

Dividends and Share Performance

Pos Malaysia registered a commendable operatingprofit for the year 2007 at RM101.0 million with netcash generated from operating activities ofRM118.3 million. As such, Pos Malaysia declared adividend of 10 sen per share, of which 5 sen wasthe interim dividend and another 5 sen as specialdividend, paid out on 24 March 2008.

The Board of Directors has further recommended afinal dividend of 5 sen per share for financial yearended 31 December 2007, subject to shareholders’approval at the 16th Annual General Meeting of Pos Malaysia.

The payment translates into net dividend payout of55.6% of profit after tax, exceeding our dividendpayout policy to distribute at least 35% of profitafter tax.

Upon listing of Pos Malaysia Berhad, its share price closed at RM2.95 and ended at RM2.44 on 31 December 2007.

14

chairman’s statement

Transformation Initiatives

2007 saw Pos Malaysia striving further to be a morecustomer focused organisation. The projects that PosMalaysia embarks on will equip the company withcapabilities that will improve effectiveness andefficiency, as well as enhance total customerexperience. Here are some key projects initiated orcompleted by Pos Malaysia in the past year.

POS Integrated Track and Trace Information System (PITTIS)The flagship ICT project for PosLaju, PITTIS, went livein May 2007. An improvement over the earlier track& trace system of e-PosLaju, PITTIS allows data to becaptured for subsequent utilisation for track & trace,customer enquiry, billing, invoice generation andperformance analysis. Concurrently, more than 800mobile handheld scanners were deployed to PosLajupersonnel for their daily use.

Group-wide Integrated FinancialManagement Systems (GIFTS)GIFTS, the enhanced financial and managementinformation system built on SAP platform, aims tostreamline processes and enhance operationalefficiency. It was initiated in August 2007 and thefirst phase went live on 1 January 2008.

Central Region Transformation Project (CRTP)The Reconfiguration of Mail Operations and SystemStudy (REMOSS), which was completed in 2006,recommended for the use of advanced technologiesand machines to enhance efficiency of mail and parceloperations. The first component to be implementedunder REMOSS will be the CRTP. The signing of theSales and Purchase Agreement for the acquisition ofa 22-acre land in Shah Alam took place in February2007. Pos Malaysia took possession of the land inSeptember 2007. This marked the beginning of CRTP’simplementation. In November 2007, works ondetailed design of the mail processing centre andoperations flow commenced. The facility, which isexpected to begin operations in 2009, will furtherreduce processing time and improve delivery standardto 94% by 2010. This would also allow Pos Malaysiato achieve automation level of up to 70% from thecurrent 20%.

Human Capital DevelopmentPos Malaysia has introduced a new HumanResource Development Programme (HRDP) to fosterexcellence and integrity within the organisation. TheHRDP components include succession planning,medical coverage and benefits, career developmentplans and HRIS upgrade.

15

chairman’s statement

Corporate Responsibility

In the pursuit of becoming your trusted partner, PosMalaysia acknowledges the responsibilities of agood corporate citizen to ensure that our growth is sustainable in parallel with the nation’sdevelopment.

This year’s Annual Report will include for the first time, a Corporate Responsibility Statement,which outlines the effects of the operations,transformation efforts as well as Corporate SocialResponsibility Programmes (as prescribed by theSilver Book of the Government-Linked CompanyTransformation Manual) on the economic, social andenvironmental fronts.

Customer Satisfaction

Pos Malaysia has recorded an overall increase of 3%on the Customer Satisfaction Index (CSI) for 2007 at3.9 out of 5.0, which translates to 77% satisfiedcustomers. The study conducted by Synovate SdnBhd for the past three years, measures customersatisfaction on Pos Malaysia’s offerings and servicelevels. The survey results demonstrated improvedsatisfaction level for mail and logistics business atCSI of 3.9 and 3.7 respectively, whilst CSI results forboth courier and retail business are sustained at 3.9.

Acknowledgements

In closing, on behalf of the group, I would like topay tribute to all our stakeholders. To our regulators,we thank you for your continuing support. To our employees, thank you for your exemplaryperformances and contributions. To ourshareholders, partners and customers, thank you forputting your trust in us.

I would also like to offer my appreciation andgratitude to Dato’ Idrose Mohamed, formerManaging Director/Group Chief Executive Officer,who left Pos Malaysia Berhad, effective 2 May 2008. On behalf of the Board of Directorsand employees, I would like to wish him the verybest in his future endeavours.

Prospects

Pos Malaysia foresees the obstacles and challengesfaced in 2007 will continue to persist in 2008.However, as some of the transformation initiativescome to fruition within the next year, there is a firm belief in our ability and capability to deliver value to our shareholders, regulators,customers and employees.

As we continue to strive for excellence ineverything we do, we remain committed to asustainable growth path that would generate thebest returns for all.

We value your trust.

Your trusted partner,

Tan Sri Adam KadirChairman

16

chairman’s statement

17

notice of annual general meetingWho else can claim to have personallyvisited more than 6.3 million homes?

Whether you are living in the foothills of Gunung Kinabalu or ona little known island off the West Coast, as long as your address

is registered, we will make sure your mail arrives.

Our business is about connecting Malaysians and businesseswith the rest of the world.

Be it a letter to a loved one or catering to yourbusiness needs, we deliver.

mail

The mail business segment of the postalservices is addressed by Pos Malaysia’sstrategic business unit, PosMel.

Mail business posted strong performance for the year. Although the challenges oftechnologies are threatening traditional mailbusiness, PosMel successfully grew itsvolume by 2.6% to 1.4 billion items handled.Revenue increased by 4.1% to RM567.0million, representing 65.9% of Pos Malaysiarevenue in 2007.

Currently, our mail business networkencompasses 32 Mail Processing Centres(MPC), 396 delivery branches, 4,980 deliverybeats with a total of 4,870 posting boxes.

Key Highlights

To achieve its Mail2010 (Mail ModernisationPlan) objectives, PosMel emphasized on thefollowing key strategies in the year 2007:

• Sustainable revenue growth viastrengthened product offerings

• Improve operational efficiency

Sustainable revenue growth viastrengthened product offerings Despite numerous substitutes in the market,business mail continues to record a steadyincrease in volume of 4.8%. Express mail recorded double digit growth of 14.0%to 4.4 million items handled despitecompetition from courier companies.Similarly, for parcel service, the introductionof consignment note for parcel andavailability of Track and Trace system are the contributing factors for the volumegrowth of 6.2%. Pos Malaysia CorporateMailroom services also recorded an increaseof 18.0% for the year, in line with itsaspirations to be a leading player forcorporate mailroom solutions.

In 2007, PosMel introduced GovernmentMail Delivery Service (GMDS), specifically tomanage mails for government agencieswithin Putrajaya. The service ensures thatmail items are delivered within the agreedservice standard by setting up Pusat MelKerajaan Putrajaya at R23, KompleksPerbadanan Putrajaya.

The last tariff hike for Malaysia was in 1992

20gram Letter Tariff by Country (RM)

18

mail business

Finland

Denmark

Sweden

Germany

France

Belgium

Japan

UK

Netherland

Australia

USA

Spain

Korea (Rep)

New Zealand

Philippines

Hong Kong

Indonesia

Singapore

Malaysia

Thailand

3.24

2.80

2.74

2.55

2.50

2.41

2.40

2.30

2.04

1.38

1.37

1.34

1.15

1.10

0.65

0.63

0.57

0.57

0.30

0.291.4 billionmail items handled against target of 1.3 billion

Improve operational efficiencyPosMel has embarked on several initiativesto achieve greater operational efficiency, inline with its mail modernisation plan. Someof the efforts include updating its AddressManagement System database. This effortreduces error rates in last mile delivery. In thesame year, PosMel deployed 825 deliveryworkstations to some of its delivery branchesto further improve sorting time.

To support its business strategy to focus onhigh growth areas, PosMel upgraded serversat 6 main delivery branches to enhance theprocess and control of PosDaftar items. As at 31 December 2007, PosEkspres TrackOn System Module Delivery Office (PETSMDO) was deployed to 323 deliverybranches to monitor PosEkspres. The aboveefforts allowed PosMel to measureperformance level of PosEkspres andPosDaftar products.

In 2007, the overall mail delivery standardimproved to 90%, whilst mail productivityimproved to 158,600 items handled perpostman. Revenue per postman has alsoincreased from RM65,400 to RM66,600.

Moving forward into 2008

In the continuous pursuit to consistentlyprovide excellent and quality products andservices, PosMel is embarking on ISO 9001:2000 Quality Management Systemcertification in year 2008.

PosMel has adopted Lean Managementmethodology into its work culture, which isin the midst of being rolled out nationwide.

Direct mail marketing gives a new definitionto mail, which is no longer restricted to thetraditional rectangular- shaped envelopes andletters. This allows businesses to customisetheir promotional materials. This segment ofthe industry is expected to enhance PosMel’srevenue and volume growth.

19

mail business

Malaysia’s market leader in the domesticcourier industry gives you this promise:

“Rain or shine, your shipment will reach thedestination on time or your money back.”

We push the limits of our abilities to meet your expectations. Whatever your needs are, we deliver right to your doorstep. That is what you have come to expect from us.

Your Preferred On Time Service.

PosLaju - Winner of Reader’s Digest Trusted Brand for three consecutive years; 2006.2007.2008

courier

Pos Malaysia operates its courier businessthrough its strategic business unit PosLajuand subsidiary PSH Express Sdn Bhd, under the brand name AsiaXpress. Overallcourier business posted a revenue ofRM147.6 million, representing 17.2% ofgroup revenue.

PosLaju

PosLaju outperformed all its internal financialtargets in 2007. PosLaju remains as thesecond biggest contributor to Pos Malaysia’srevenue, contributing RM143.6 million or16.7% in group revenue. This represents anincrease of 9.7% against 2006. Similarly,volume of items handled increased by 14.1%to 9.8 million.

PosLaju also offers international courierservices via Expedited Mail Service (EMS) to numerous international destinationsincluding International Time Certain Serviceto Tokyo and Singapore.

Key Highlights

Key strategies employed by PosLaju for theyear include:

• Build capability and enhanceoperational efficiency

• Grow and strengthen market share• Enhance customer service

Build capability and enhanceoperational efficiency 2007 was indeed an eventful year forPosLaju as the courier flagship project“PITTIS” was completed in May. Under thePITTIS project, PosLaju re-engineered manyof its processes, equipped the couriers with more than 800 handheld scanners,integrated the existing track and trace systemwith other systems and invested in newcomputing hardware and software. All theseefforts were undertaken to further enhancePosLaju services to customers.

Some benefits of PITTIS have already beenrealised, such as reduction in bottlenecks,simplification of process flows and decreasein processing time.

Operationally, PosLaju delivery servicestandards were maintained at a high level,with key PosLaju centres such as WilayahPersekutuan registering a rate of 100% D+1(Next Day Service) delivery service standard.

Grow and strengthen market shareIn terms of customer segmentation, contractcustomers continue to be the majorcontributor to the total revenue of PosLaju.The on-demand or walk-in customers, on theother hand, was the major contributor to theoperating margin of PosLaju. In 2007,PosLaju acquired 489 new accounts.

PosLaju’s strength lies in, among others, its unrivalled coverage of the country. Morethan 60% of the populated areas in Malaysiais served by PosLaju D+1 (Next Day Service).At present, the service network comprises897 outlets, made up of 45 PosLaju centres,685 post offices, 159 Pos Mini, and 8 agentscountrywide.

RM Million

03

144

119

125

123

131

04 05 06 07

21

courier business

PosLaju Revenue

RM143.6mPosLaju revenue in 2007against target of RM135.8m

Enhance customer serviceTo better serve its customers, PosLajulaunched the Putrajaya Express. The serviceoffers delivery of documents from KlangValley to Putrajaya and Cyberjaya within thesame day, with full refund guaranteed in theevent of service failure.

With greater emphasis on operationalefficiency and brand building, PosLaju wasawarded the Reader’s Digest Gold Award forMalaysia’s Trusted Brand in the domesticexpress market in 2006 and 2007. This featwas repeated in 2008.

AsiaXpress

PSH Express, under the brand name ofAsiaXpress, demonstrated steady growth in 2007. PSH Express volume grew by 76.9% to 52,000 items. It contributedRM4.0 million in revenue in 2007, anincrease of 65.7% from 2006. Internationalshipment contributed to 97.0% of revenue.

Key highlights

In 2007, after 3 years of operations, PSHExpress marks a historical milestone when it recorded a profit before tax of RM45,353.This achievement is in line with thecompany’s 5-year corporate strategy.

AsiaXpress clientele comprises ministries andgovernment agencies, government-linkedcompanies (GLC), law firms, oil and gascompanies, engineering companies andcolleges. In an effort to increase its touchpoints with customers, AsiaXpress opened 4more counters at post offices in the Klang Valley in 2007.

AsiaXpress Worldwide Service Centres arenow available at Kuala Lumpur General PostOffice, as well as post offices in Subang Jaya,Kelana Jaya, Shah Alam and Bangsar Baru.The service centres provide walk-incustomers with more choices to cater to theirshipment needs and a chance to experienceAsiaXpress service offerings.

Moving forward into 2008

PosLaju intends to increase its Next DayService coverage from the present 60% to70%. The strategy to achieve this is via theopening of new PosLaju centres in 2008,namely in Banting, Sri Aman, Limbang,Bentong, Iskandar Malaysia and KualaSelangor. With this, these towns will alsoenjoy D+1 (Next Day Service).

The year 2008 will be a challenging year ofintense competition for courier and expressmarkets. The global economic slowdown,mainly due to the slowdown of the USeconomy, coupled with the volatile and highfuel costs, are expected to result in slowerexport growth. Slow to moderate growth isexpected from the express market, withcheaper alternatives and trusted deliveryexperience being the deciding factor forrepeat business.

22

courier business

We serve more than 5 millioncustomers monthly through our wide

network of retail outlets.

retail

Our reach and accessibility are unsurpassed. Even when we are not physically nearby, we can serve you, anytime, anywhere through our Internet transaction portal

www.posonline.com.my. PosOnline brings enjoyable shopping experience and bill paymentconvenience at your fingertips.

Your Preferred One Stop Service Centre.

Retail business is addressed by Pos Malaysia’sstrategic business unit, PosNiaga.

Similar to courier business, retail businessexceeded its internal financial targets. Itsrevenue grew by 10.0% to RM111.5 millionin 2007, representing 13.0% of the Group’srevenue, on the back of higher volumehandled of 106.5 million transactions.

Agency and retail services offered by PosMalaysia via its retail network are in line withits Universal Service Provider status. Asidefrom the conventional over the counterservices, PosNiaga also provides a virtualplatform for greater reach and accessibilityto the masses. Its online platform, PosOnline,hit a milestone of more than 400,000transactions in 2007.

Key Highlights

PosNiaga entered the second year ofimplementation of its 5-Year TransformationPlan (2006-2010).

Under the Transformation Plan, PosNiagastrives to achieve sustainable net incomegrowth by implementing 3 key strategies:

• Enhance revenue contribution from itsexisting business

• Generate new revenue sources• Undertake cost optimization measures

Enhance revenue contribution from itsexisting businessThrough more than 900 retail outlets,PosNiaga offers a wide range of postalproducts and services, bill payment services,local and international remittance, renewal ofroad tax and driving licence as well aspurchase of unit trust and insurance products.

In line with its aspiration to become the“Preferred One Stop Service Centre”,PosNiaga is the collection agent for morethan 140 agencies that subscribe for both itscounter and online services.

Through PosOnline, customers who haveaccounts with CIMB Bank, Hong LeongBank, Bank Rakyat, PosPay and RHB Bankcan have the convenience of paying their billsand making online purchases by debitingtheir accounts.

Retail Business Network Reach (as at 31 December 2007):

Post Offices 677Pos Mini 320Postal Agents 263Stamp Vendors 5,047Mobile Post Offices 2Post Offices that can handle renewal of road tax/ driving license 587Post Offices at shopping complex 38Post Offices with extended services until 10pm 23Post Offices which open on Sundays 19(excluding Kelantan, Terengganu and Kedah)

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retail business

RM111.5mPosNiaga revenue in 2007against target of RM107.6m

Through the online collection services,customers can now pay more than 90 typesof bills through PosOnline portal atwww.posonline.com.my.

During the year, 12 new post office outletsand 68 new Pos Mini outlets were opened.Out of 68 new Pos Mini outlets, 18 outletswere opened in rural areas under the 9thMalaysia Plan as part of the commitment tobring postal services to the rural community.

To date, a total of 320 or 32.1% of thecombined total of 997 retail outlets areoperated by third parties. These operators sellpostal products and offer selected billpayments to complement their existingbusiness.

Presently, PosNiaga also offers extendedbusiness hours at 28 selected outlets to caterfor those who prefer to perform theirtransactions after normal office hours.

Generate new revenue sourcesPosNiaga entered into a businessarrangement with CIMB Bank Berhad topromote its Credit Card and Xpress Cashpersonal loan products. Customers can nowsubmit their application forms for CIMBCredit Card and Xpress Cash at all PosMalaysia outlets.

PosNiaga introduced its online shoppingthrough its eShop portal. Customers can nowpurchase more than 600 different productsfrom 8 merchants, including fragrances,computer peripherals, books, officeautomation products, health supplementproducts, stamps and philatelic products.

During the year, Pos Malaysia has furtherextended its JPJ services to another 92 outletsbringing the total number to 587 outlets.

Undertake cost optimization measuresThere were 2 key initiatives undertaken tomanage costs. In October 2007, the Boardapproved the outsourcing of the One-ManPost Offices to ex-employees under aprogram called Promoting Employees toEntrepreneur Rationalization (PETER).

For the first phase, 11 staff accepted the offerby Pos Malaysia to participate in theprogram. Besides creating entrepreneurshipamongst ex-employees, PosNiaga will benefitfrom reduced operational expenses.

PosNiaga also continuously monitored 5 key cost elements for post offices, namely overtime, medical, telephone,electricity and water. During the year, 91outlets reduced their costs below the averagecost benchmark set by PosNiaga.

Other Key Highlights

For customer convenience, PosNiaga alsoaccepts credit cards for insurance paymentat 92 outlets in Kuala Lumpur and Selangor.The rollout to other outlets will beimplemented in stages to other states in thenear future.

PosPantasPosPantas would expedite the time taken toprocess transactions over the counter andenhance counter staff efficiency and productknowledge through new improved featuresembedded within this counter system.

PosPantas will be rolled out to all post officesby October 2008 and other outlets thereafter.

New “Look and Feel” for retail outletsPosNiaga embarked on the new “Look andFeel” project with the objective to improvethe physical appearance of our retail outlets.This move will provide a conduciveenvironment for customers to perform theirtransactions at the counter.

In 2007, 3 retail outlets adopted the new“Look and Feel” concept, namely MedanTuanku, Kampung Tunku and Sungai Buloh.As at April 2008, additional 25 outlets havebeen remodelled. By the end of 2008, therewill be up to 100 outlets adopting the samenew look and fresher ambience.

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retail business

Training on service improvementThe year was filled with activities focusing onstaff training in 3 key areas namely Sales,Operations and Service (“SOS”) for counterstaff. A total of 1,160 counter staffthroughout the country attended this training.The same training will be extended to theremaining 1,800 counter staff in 2008.

Moving forward into 2008

In November 2007, PosNiaga received theconfirmation from Bank Negara Malaysia toengage in “Shared Banking Services” withany 2 domestic commercial or Islamic banksin Malaysia.

Under the “Shared Banking Services”products and services offered are as follows:

• Opening of accounts• Cash deposits• Cash withdrawal• Cash advances• Funds transfer and remittance• Payment of retail borrowing • Marketing of retail financial products

The spirit of this arrangement is to enablecommunities in the rural areas to have accessto banking services.

The retail outlets complement the banks inareas where they are already present, and toalso serve areas where it is not feasible forthe banks to open a new branch.

Apart from that, PosNiaga will also embarkon pilot installation of Self Service Terminalsto be placed at selected areas to enablecustomers to perform simpler transactions,such as purchasing stamp labels andperforming bill payments. This will enablePosNiaga to focus on other over the counterfinancial and specialised services through ourretail outlets.

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retail business

logisticsWith our logistics services, customers are well connected physicallyanywhere in Malaysia by means of our fleet of vehicles and airtransportation network. Talk to us to customise your logistics solutions.

We take pride in delivering your needs.

Logistics business segment of the postalservices is addressed by Pos Malaysia’sstrategic business unit, PosLogistik.

PosLogistik posted an increase in air cargooutbound volume of 22.0% to 5,749 tonnesagainst 2006. The land volume handled was318,000 tonnes, an increase of 28.7% from2006. It has contributed RM3.9 million fromexternal customers for 2007. Includingrevenue contribution from internal services,PosLogistik posted revenue of RM7.1 million,a decrease of 57.2% from previous year.

Key Highlights

The year 2007 has been a challenging yearfor PosLogistik, due to the escalating airtransportation fuel surcharge and variouslogistical operational issues for delivery toEast Malaysia.

PosLogistik, a strategic business unitestablished in 2005, was incepted tocapitalize on the opportunity presented bymarket liberalization and growing regionaltrade. What started as a support unit to serveinternal customers such as PosLaju andPosMel, was later extended to externalparties. PosLogistik provided solutions forland and air transportation services withinPeninsular Malaysia, and from PeninsularMalaysia to selected destinations in EastMalaysia, and vice versa, through a thirdparty service provider.

Service standard for line haul recordedconsistent performance of 99.4%, whilst airregistered 38.5% on time performance. Forload factor, air outbound posted 76.9%utilisation whilst land recorded 81.3%.

As for land line haul, PosLogistik manages a fleet of 32 linehaul vehicles to serve its internal and external customers in 34destinations in Malaysia.

PosLogistik operates a hub at Pusat Mel &Kurier (PMK), Kuala Lumpur InternationalAirport (KLIA).

Pos Malaysia is assessing various options tofurther grow this business segment.

Moving forward into 2008

PosLogistik is optimistic in securing morecustomers in 2008 in line with theexpectation of growth in the logisticsoutsourcing business.

The strategy is to continue to market aircargo space and distribution services forniche industries such as automotive,cosmetics and electronics. The marketinginitiatives will also take into considerationthe opportunities in the newly launcheddevelopment corridors in Sabah and Sarawak(SDC and SCORE).

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logistics business

The journey ahead is demanding. As we chart our course to delivervalue, we are constantly evolvingto serve our stakeholders.

transformationinitiatives

Our transformation journey is about changing the mindset, upgradinginfrastructure, enhancing capabilities and improving operationalefficiency. All these efforts are aimed at exceeding your expectationsand enriching your total experience.

Transformation you can see and feel.

Transformation Management Office (TMO) isthe outfit to drive and provide governance toPos Malaysia’s overall transformationactivities, encompassing processimprovement and change management. Itwill ensure that these activities are alignedwith the company’s vision, mission andcorporate strategy.

TMO played an active role in therefurbishment of selected Pos Malaysia retailoutlets with a new “Look and Feel”. Threeoutlets were successfully transformed withinone month. These outlets are located in SungaiBuloh, Medan Tuanku and Kampung Tunku.

TMO also assists the implementation of the‘Coloured Books’ of the GLC Transformationinitiatives as recommended by the PutrajayaCommittee for GLC High Performance (PCG).

Yellow Book(A Framework for Continuous Improvement)Guided by the Yellow Book, the EmployeeSuggestion Scheme (ESS) which involvedstaff in the central region was re-launched inOctober 2007. The ESS allows employees tocommunicate their creative ideas onimproving and enhancing their existingoperation and work processes. By 1st Quarter2008, 313 suggestions were received, with 10 being implemented. Due to theencouraging response, a nationwide ESScampaign had commenced in April 2008.

A Lean Thinking programme was also kicked-off in August 2007. More than 250employees participated, in 11 trainingsessions. The purpose of the training was notonly to improve the work culture of theemployees, but also to prepare those who willundertake specific improvement initiativesunder the POS-Quality Improvement Team(POS-QIT) programme.

Green Book (Enhancing Board Effectiveness)The improvement plan derived under theGreen Book saw major improvements withregards to reducing the number of Boardmeetings, streamlining the Board committeesand agenda, monitoring and reviewinggroup performance and enhancing quality ofBoard papers.

Blue Book(Intensify performance managementpractices)The year 2007 saw the refinements to the Balanced Scorecards (BSC) of SeniorManagement and State Managers withbusiness performance review conducted duringthe mid year. The BSC provides the basis forlinking performance to reward schemes forsenior management.

Red Book (Procurement Guidelines and Best Practices)Several improvement initiatives under theRed Book are already underway, which areexpected to enhance procurement policiesand procedures. The development of avendor database management system hasbeen completed and the product catalogue iscurrently being developed.

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transformation initiatives

harness & invest inhuman capital

We recognise that realising our business growth goes handin hand with developing our people. Hence we will continue

to invest in attracting, nurturing and retaining the talents.

We realise our aspirations through people.

Realising that highperforming employees arekey ingredients for success in any organisation, talentattraction, development andretention were given primaryfocus in 2007. The highlightsfor 2007 include emphasison learning anddevelopment,commencement ofsuccession planninginitiative, strengthening theperformance based workculture and infusion of newtalents at management andexecutive levels.

Learning & Development

In 2007, learning and growth continues tobe a priority with focus on enhancingleadership qualities, customer service andoperational excellence. A total of 1,000postmen underwent a series of technicalcourses conducted at Institut Latihan Pos, our learning centre. These coursesencompass the fundamentals in postaloperations such as quality management,processing and delivery. Each postman spentat least 5 days on formal training.

For service quality, Sales, Operations andService (“SOS”) programme was conductedfor front liners. A total of 1,160 front linersthroughout the country attended this trainingwith the remaining 1,800 to attend in 2008.

Managers and executives also attendedappropriate training programmes to furtherhone their leadership and technical skills.

Soft-skill trainings were attended by morethan 1,500 employees. The syllabus includesamongst others, change management,process improvement topics, and LeanThinking programme. Other managementtraining programmes held externally wereattended by 130 executives and managers.

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harness & invest in human capital

Succession planning

One of the initiatives being undertaken under the Orange Book (StrengtheningLeadership Development) is theOrganisational Leadership CapabilitiesReview (OLCR). As part of its successionplanning, Pos Malaysia has identified 155future leaders with suitable attributes to befast-tracked in their career path. Theseleaders are expected to spearheadbreakthrough performance and results. Tocomplement this effort, employeedevelopment programme continued in 2007to ensure a pool of talent exists at variouslevels in the organization.

Employee Engagement

Employee Engagement Survey (EES) is aplatform which enabled employees toexpress their views on various employmentissues. In 2007, through EES, Pos Malaysiawas able to study workplace dynamics,establish opinions and values of employeesthroughout the organisation.

Remedial action plans arising from thefindings of EES, such as improvements inboth working environment and reward /remuneration programme, will beimplemented in 2008. Overall, a high scoreof 4.2 over a total score of 5.0 wasestablished as a baseline for futurecomparisons.

Communication

The CEO Quarterly Briefing, a platform toupdate employees on the quarterly goals andachievements was initiated in 2007. Thebriefing was not only attended by executivesincluding state managers, but representativesfrom unions and non-executives were alsopresent.

Union and employee relations

Pos Malaysia is also committed to maintaina harmonious relationship between unionsand Management. In 2007, several formaland informal meetings were held betweensenior management, the in-house unionsand key HR personnel to resolve issues andconcerns. Being sensitive to employees'wellbeing, Pos Malaysia once again provedto be a caring organisation when it carriedout its obligations by providing financialassistance to its employees who sufferedlosses due to the flood situation which hitthe country in December 2006.

Strengthening the performance based work culture

For non-executive group, technicalcompetencies for clerks and postmen wereestablished in 2007. Key results areas were defined for postmen to inculcate aperformance driven culture.

The technical competencies assessmentenables the development of competency-based career development plan. In addition,structured learning development programmes were also identified. Theimplementation of both programmes isslated to commence in 2008.

Also in the pipeline is the construction ofCompetency-Based Job Description (CBJD)for all levels of employees. A performancemanagement system using the BalancedScorecard will be another major project in2008 which will allow key performanceindicators to be cascaded from SeniorManagement to all executives.

In the past, the practice of bonus pay-outwas based on a uniform quantum. Beginning2006, performance based bonus paymentwas introduced to executives and non-executives. Further to that, in 2007, the meritbonus was given out to high performingemployees, apart from the performancebased bonus. This signifies Pos Malaysia’scommitment towards embracing highperformance work culture.

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harness & invest in human capital

enhancing core ICT capabilities

Supported by a strong risk management framework, Pos Malaysia will continueto make sound business decisions with a view to protect your interests.

Driving collaboration forward for business flexibility.

As we set forth in our voyage, we are putting in place core ICTcapabilities that will acceleratebusiness growth, achieve greateroperational efficiency andenhance service delivery.

Enhancing Core ICT Capabilities

2007 in reviewThe year 2007 saw the completion of POSIntegrated Track and Trace InformationSystem (PITTIS), a flagship project whichwent live in May 2007. This system equipsPos Malaysia to better cater for current andfuture requirements of the business, asscalability and high availability are built intothe design.

ICT was actively involved in another flagshipproject; POS Automated Network TransactionAcceptance System (PosPantas), whichkicked off in June 2007. The project willenable increased efficiency for over thecounter transactions at post offices, henceincreasing the turnaround time and reducingwaiting time for the customers to transact.

Apart from the flagship applicationinitiatives, ICT is also focusing its effort onthe service delivery channel improvements.For a good number of years, Pos Malaysiahas been constrained by the limited networkbandwidth at its various post offices. In2007, the Wide Area Network UpgradeProject was initiated in order to provide thepost offices with the Managed IP VPN andBroadband network. This will improve systemperformance and availability which is criticalfor Pos Malaysia in meeting the service levelstandards set by its customers, agencies andstatutory bodies.

Moving forward to 2008ICT will further improve Pos Malaysia’s corecapabilities in 2008. Major projects plannedare the Data Centre Upgrades, DisasterRecovery Centre, Desktop Management andSystem Security Enhancement. Continuousimprovement to the core capabilities toenable Pos Malaysia to achieve its businesstargets will be the main strategic thrust andtheme for ICT.

Enhancing Risk ManagementCapabilities

Pos Malaysia adopted its enterprise-wide riskmanagement framework from AS/NZ 4360,which details the approach and process ofsystematically identifying, assessing andmanaging risks. The framework providesrelevant guiding principles on the techniquesof applying various risk management stageprocess such as risk identification, analysis,evaluation, treatment and monitoring of risks.

This is applicable across different riskcategories with the focus of reducing thelikelihood and impact of all identified risksbeyond Pos Malaysia’s risk appetite. Controlmeasures will be put in place and monitoredusing management tools with a view toensure management action plans to minimizerisks are adhered to. In addition, controlmeasures are also subject to ongoing regularreviews to ascertain the efficacy levels andrevised accordingly to enhance effectiveness.

Pos Malaysia will continually improve themethodology of identifying, assessing andmanaging of risks by observing the evolutionof global leading risk management practicesand in consultation with subject matterexperts from time to time.

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enhancing core ICT capabilities

36

group products & services

General Mailing Solutions• Mail

> Standard> Non-Standard> International> Parcel> Aerogramme> Post Card

Post Office Service• P. O. Box• Poste Restante• Window Delivery• Locked Bag

Special Mailing Solutions• PosEkspres• PosDaftar• Insured Mail• Jemaah Haji Baggage

Hybrid Mail Solution• Data Processing

> Database Management• High Speed Printing• Mail Processing

> Address Labeling• Pick Up, Delivery &

Mailing Services

Business Mailing Solutions• PosDokumen• Periodical• Bulk Mailing• Franking• Envo-Ad• Corporate Mail

Management• Business Reply Service

> Domestic> International

• Direct Mail marketing> Ad mail

International Courier• Expedited Mail Service

(EMS)• Time Certain Service

> To Tokyo> To Singapore

• Economy Xpress• Priority Xpress • Diplomatic Xpress• Inbound Xpress

Domestic Courier• Next Day Delivery• Putrajaya Express• Same Day Delivery• Time Certain Service• Pick-up Service

Logistics Solutions• Inbound Services• Outbound Services• Transportation

Management• Custom Clearance• Break Bulk Distribution• Freight Forwarding

couriermail logistics

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group products & services

Pos Mini• Postal• Payment• Purchase

Protection Plan• Corporate Agent

Takaful & Insurance> Kurnia Insurans> Malaysia Assurance Aliance> Allianz General Insurance> Berjaya Sompo Insurance> AmAssurance> The Pacific Insurance> Commerce Assurance> Oriental Capital Assurance> eTiQa Insurance> eTiQa Takaful> Syarikat Takaful Malaysia> Takaful Ikhlas

PosOnline www.posonline.com.my• Online Payment

> 80 Agencies• Online Shopping

> E-Shop• Philately Online

> SODA Account Registration> SODA Account Top Up> SODA Account Update

Payment Services• Bill Payment> Utilities> Telephone/Mobile/Internet> Assessment> Quit Rent> Others• Ticketing & Booking• Zakat (Tithe) Payment• Others (Lembaga Tabung

Haji, Courts, Aeon)• Public Service Network

> Driving License Renewal> Road Tax Renewal> Business License Renewal> Voter Registration> SOCSO Payment

• Student Loan Repayment> MARA> JPA> PTPTN

Proxy Bank• Application Acceptance

for:> Credit Card> Personal Loan

Purchase• Remittance

> Money Order- International- Domestic

> Postal Order> Western Union

• Reloads> Maxis, Celcom, DiGi

• Unit Trust> Permodalan Nasional Berhad> Miniature Sheet

• Prepaid Cards> TM> Tune Money> Time Kontact

• Others> Revenue Stamps

• Stamps> Special issue> Commemorative> Personalised

• SODA Account> New Account Registration> Account Top Up

• Philatelic Products> First Day Cover> Miniature Sheet> Presentation Pack> Folder Set> Stamp Album> Maximum Card

retail philately

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corporate events

23 January 2007

Signing ceremony between Pos Malaysia and Bank RakyatPos Malaysia and Bank Kerjasama Rakyat Malaysia (Bank Rakyat) officially launched a strategicalliance to provide a convenient method for customers to pay bills and other transactions online.

The signing ceremony was witnessed by YB Datuk Khamsiyah Yeop, the Deputy Minister ofEntrepreneur and Co-operative Development.

31 January 2007

Signing Ceremony between Pos Malaysia and Setiausaha Kerajaan Negeri SelangorPos Malaysia and Selangor State Government officially launched a strategic partnership to provide aconvenience to the public to pay their quit rent bills at post offices in Selangor and Kuala Lumpur, aswell as through Pos Malaysia’s online service.

The signing ceremony was witnessed by YAB Dato’ Seri Dr Hj Mohamad Khir bin Toyo, the MenteriBesar of Selangor.

13 February 2007

Signing Ceremony between Pos Malaysia and MT Picture DisplayPos Malaysia officially signed the agreement to acquire a RM69 million property to locate its newNational Mail Processing Centre (MPC). The official signing ceremony between Pos MalaysiaProperties Sdn. Bhd. and MT Picture Display (M) Sdn Bhd was held in Shah Alam, Selangor.

1 March 2007

Launch of Corporate Personalised StampPos Malaysia officially launched Malaysia’s first ever Corporate Personalised Stamps that allowcorporate organisations to depict their products, services and corporate images on the stamps.MEASAT, the premium supplier of satellite communication services to Asia’s leading broadcasterand telecom providers, was given the honour to be the first company to issue the CorporatePersonalised Stamp. The stamp was officially launched by YB Dato’ Shaziman Abu Mansor, DeputyMinister of Energy, Water and Communications in Kuala Lumpur.

29 January 2007

Signing Ceremony Between Pos Malaysia and SankyuPos Malaysia and Sankyu (M) Sdn Bhd officially launched a strategic partnership for Sankyu’sdomestic distribution in Malaysia. This strategic partnership promises the Sankyu’s customersextra services including pick-up, export and import customs clearance, air freight, and deliveryconsignee.

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corporate events

9 March 2007

Signing Ceremony between Pos Malaysia and CIMB BankPos Malaysia and Malaysia’s second largest financial provider, CIMB Group signed an agreement for the distribution of selected bankingproducts through post offices nationwide.

19 March 2007

Launch of Visit Malaysia Year 2007 StampIn commemoration of the Visit Malaysia Year 2007, Pos Malaysia in collaboration with the Ministry of Tourism Malaysia issued a special setof stamps and First Day Cover on “Visit Malaysia Year 2007”. The stamps and First Day Cover which feature the unique cultural and naturalassets of the country was officially launched by YB Datuk Donald Lim Siang Chai, Deputy Minister of Ministry of Tourism at the KualaLumpur Tower.

3 April 2007

Extraordinary General Meeting (EGM)Pos Malaysia’s Extraordinary General Meeting was held at the Crowne Plaza Mutiara Hotel Kuala Lumpur. One of the highlights of the EGMwas to approve the proposed repayment of RM1.50 per share to the shareholders.

6 April 2007

Launching of Putrajaya ExpressPosLaju, one of the strategic business units of Pos Malaysia officially launched its new product,Putrajaya Express. It is an express delivery service that delivers documents from Klang Valley toPutrajaya or Cyberjaya within the same day, which guarantees a full refund of the delivery costsin the event of service failure. This fast and convenient door-to-door delivery service is availablefor all walk-in and contract customers.

The launching ceremony was graced by YB Dato’ Shaziman Abu Mansor, Deputy Minister of Energy,Water and Communications in Putrajaya.

19 April 2007

Signing Ceremony between Pos Malaysia, Pusat Pungutan Zakat Pahang and Kuantan Municipal CouncilPos Malaysia established a strategic partnership with Pusat Pungutan Zakat Pahang and Kuantan Municipal Council to provide convenienceto the customers of Pos Malaysia in Pahang to pay their zakat (tithe) and their assessments through Pos Malaysia’s 35 mini post offices acrossthe state as well as for the payment of parking compound and sale of parking coupons at post offices and mini post offices in Pahang.

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corporate events

6 June 2007

Launch of Clock Tower Series II StampPos Malaysia issued a set of special stamps and First Day Cover on “Clock Towers – Series II”.The special stamps and First Day Cover featured the images of historical clock towers in Malaysia.The stamp was officially launched by YAB Dato’ Seri Abdullah Haji Ahmad Badawi, the Prime

Minister of Malaysia at the Kuala Lumpur Convention Centre in conjunction with the SMIDEXExhibition.

6 – 9 June 2007

Pos Malaysia Participated in SMIDEX ExhibitionPos Malaysia participated in the annual Small and Medium Industry Exhibition (SMIDEX) 2007,organised by Small and Medium Industries Development Corporation (SMIDEC). The companyparticipated as the official postal and logistics service provider for the exhibition.

3 July 2007

Signing Ceremony between Pos Malaysia and Singer MalaysiaPos Malaysia and Singer (M) Sdn Bhd officially launched a strategic partnership to provide aconvenient method and venue for Singer customers to pay their installments at post offices all overthe country.

26 July 2007

Signing ceremony between Pos Malaysia and Pusat Pungutan Zakat Pulau PinangPos Malaysia and Pusat Pungutan Zakat Pulau Pinang signed an agreement to provide customersa convenient method to pay their zakat (tithe) and endowment through Pos Malaysia’s 38 postoffices across the state and through Pos Malaysia online payment portal, www.posonline.com.my.

20 – 28 April 2007

Minggu Saham Amanah Malaysia by Permodalan Nasional BerhadPos Malaysia participated in the annual Minggu Saham Amanah Malaysia, organised byPermodalan Nasional Berhad from 20 – 28 April 2007 in Kuantan. The exhibition involved theStrategic Business Units of Pos Malaysia and Asia Express (international courier service).

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corporate events

31 July 2007

Participated in Launching and Exhibition of Northern Corridor Economic Region(NCER)Pos Malaysia participated in the NCER exhibition, in conjunction with its official launch by thePrime Minister of Malaysia, YAB Dato’ Seri Abdullah Haji Ahmad Badawi at Sekolah MenengahSelinsing, Taiping, Perak.

2 August 2007

Launch of Negeri Sembilan Royal Heritage StampPos Malaysia issued a special collection of stamps called “Warisan DiRaja Negeri Sembilan” (RoyalHeritage Stamps of Negeri Sembilan) in conjunction with the 40th anniversary of the rule of HisRoyal Highness DYMM Tuanku Ja’afar ibni Al-Marhum Tuanku Abdul Rahman, Yang Di-PertuanBesar of Negeri Sembilan Darul Khusus. His Royal Highness graciously launched the stamps inSeremban.

28 June 2007

75th Annual General Meeting and Extraordinary General MeetingThe 75th Annual General Meeting for Pos Malaysia & Services Holdings Berhad was held atBerjaya Times Square Hotel and Convention Centre on 28th June 2007.

24 July 2007

Launch of 200th Anniversary of Royal Malaysian Police Force StampPos Malaysia issued stamps and First Day Cover to commemorate the 200th Anniversary of the Royal Malaysian Police Force (RMPF). Theevent was launched by the Inspector General of Police (IGP), YDH Tan Sri Musa Bin Dato’ Haji Hassan.

25 – 29 July 2007

Participated in “Karnival Hari Pengguna” in Shah AlamPos Malaysia participated at the “Karnival Hari Pengguna” organised by the Federation of Malaysian Consumers Associations (FOMCA) inShah Alam, Selangor. Pos Malaysia showcased and promoted the philately products such as the stamp collections and First Day Covers.

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corporate events

13 August 2007

Signing Ceremony between Pos Malaysia and Tune MoneyPos Malaysia tied up with online financial services provider Tune Money Sdn Bhd to provide customers of Tune Money with one of themost convenient and affordable offline channels in the country for collecting, paying for and topping up Tune Money products.

6 August 2007

“Sehari Bersama Pelanggan” with the Ministry of Energy Water andCommunications in IpohPos Malaysia participated in the “Sehari Bersama Pelanggan” programme organised by theMinistry of Energy, Water and Communications, in collaboration with the State Government ofPerak. The event was held in Ipoh, Perak.

7 August 2007

Opening Ceremony of Pusat PosLaju TemerlohIn line with Pos Malaysia’s initiatives in providing comfort and convenience to its customers inmanaging their courier and express delivery requirements, Pos Malaysia launched its 39th PosLajuCentre in Temerloh, Pahang. The new PosLaju Centre was launched by Y.A.B. Dato' Sri Adnan binHaji Yaakob, Menteri Besar of Pahang.

Participated in Bursa Malaysia-The Edge KL Rat Race 2007Pos Malaysia participated in the Bursa Malaysia-The Edge KL Rat Race 2007.

11 August 2007

“Sehari Bersama Pelanggan” with the Ministry of Energy Water andCommunications in BesutPos Malaysia participated in the “Sehari Bersama Pelanggan” programme organised by theMinistry of Energy, Water and Communications with the collaboration of the Terengganu StateGovernment. The event was held in Besut, Terengganu.

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corporate events

18 – 21 August 2007

Motivational Camp for adopted schoolsAs part of its Corporate Social Responsibility (CSR) initiatives, Pos Malaysia organised a motivational camp for students in Standard 5 andForm 5 from Sekolah Kebangsaan Kuala Perai, Bagan Dalam and Sekolah Menengah Kebangsaan Sungai Acheh, Nibong Tebal respectively,under the PINTAR programme. PINTAR or “Promoting Intelligence, Nurturing Talent, Advocating Responsibility” is part of the programme toimprove educational performance.

22 August 2007

Launch of Merdeka VanPos Malaysia unveiled its tribute to commemorate Malaysia’s golden jubilee anniversary of itsindependence by decorating 50 units of its vans with special Merdeka-themed design and colours.

23 August 2007

Launch of Golden Jubilee Celebration of Independence of Malaysia StampAs the nation celebrates its 50th anniversary of independence, Pos Malaysia issued a special collection of Merdeka stamps and First DayCover. The Stamps and First Day Cover were launched by YB Dato’ Wong Kam Hoong, Deputy Minister of Culture, Art and Heritage Malaysiain Kuala Lumpur. The special collection of Merdeka stamps and First Day Cover featured the images that evoke the nostalgia of Malaysia’sstruggle for independence, the notable leaders who helped shape the face of our country as well as patriotic images to inspire the senseof pride and appreciation of our nation’s accomplishments.

28 – 30 August 2007

Exhibition at 2nd Uni-Apro Regional ConferencePos Malaysia participated in the exhibition in conjunction with the 2nd Uni-Apro Regional Conference held in Kuala Lumpur. The conferencewas launched by YAB Dato’ Seri Abdullah Haji Ahmad Badawi, Prime Minister of Malaysia. At the exhibition, AsiaXpress, PosLaju andPhilately took the opportunity to promote their products and services to the local as well as foreign delegates.

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corporate events

10 – 12 December 2007

Academic Trip to Kuala Lumpur for adopted schools Pos Malaysia organised an academic trip to Kuala Lumpur for students from its adopted schoolsin Penang under the PINTAR Programme. Seventy two top students from Sekolah MenengahKebangsaan Sungai Acheh, Nibong Tebal and Sekolah Kebangsaan Kuala Perai, Bagan Dalamwere specially brought to Kuala Lumpur for a three day academic trip as a reward for their strongacademic and non-academic achievements.

25 – 26 October 2007

Aidilfitri Open House for Corporate Clients and MediaIn the spirit of Hari Raya Aidilfitri, Pos Malaysia had an Open House for its corporate clients, mediarepresentatives, Board of Directors and staff. The event took place at Dewan Sri Pos, Pos MalaysiaHeadquarters in Dayabumi Complex.

1 November 2007

Signing Ceremony between Pos Malaysia and Yayasan SabahPos Malaysia established a strategic partnership with Yayasan Sabah to allow students to paytheir Yayasan Sabah loans at 45 post offices in Sabah as well as through PosOnline - PosMalaysia’s online transaction portal. The partnership was sealed at the signing ceremony betweenPos Malaysia and Yayasan Sabah, held in Kota Kinabalu, Sabah.

2 October 2007

“Majlis Berbuka Puasa” with orphansPos Malaysia hosted the orphans from Rumah Anak Yatim Nur Hikmah, Kajang, Selangor Darul Ehsan at a “Majlis Berbuka Puasa” whichwas attended by Managing Director/ Group Chief Executive Officer, YBhg Dato’ Idrose Mohamed and his wife, YBhg Datin Noor Sofiah CheDin. The ceremony was held at the Surau Utama, Pos Malaysia Headquarters.

30 August 2007

Launch of Aga Khan StampIn conjunction with the Aga Khan Award for Architecture for 2007, Pos Malaysia issued a specialcommemorative stamp and First Day Cover. The commemorative stamp featured the image of thePetronas Twin Towers that has won the Aga Khan Award for Architecture in 2004 and was launchedby the Prime Minister of Malaysia, YAB Dato’ Seri Abdullah Haji Ahmad Badawi.

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financial calendar

Announcement of theunaudited consolidatedresults for 1st quarter ended31 March 2007 of PSH

75th Annual GeneralMeeting & ExtraordinaryGeneral Meeting of PSH

Announcement of theunaudited consolidatedresults for 2nd quarterended 30 June 2007 of PSH

Announcement of theunaudited consolidatedresults for 3rd quarter ended 30 September 2007of Pos Malaysia

15 May 28 June

23 August 27 August

28 August 23 November

Delisting of PSH

Listing of Pos Malaysia Berhad(“Pos Malaysia”)

year 2007

Entitlement date forCapital Repayment

13 August

Extraordinary GeneralMeeting of Pos Malaysia &Services Holdings Berhad(“PSH”) on CapitalRepayment Exercise

3 April