ACCEPTANCE OF THE LETTER OF AWARD FOR THE PROVISION OF THE REPLACEMENT AND MAINTENANCE SERVICES FOR COMPUTER SOFTWARES FOR THE MAINFRAME COMPUTER SYSTEM AT THE MAIN AND SECONDARY DATA CENTER FOR LEMBAGA HASIL DALAM NEGERI (LHDN) (“INLAND REVENUE BOARD OF MALAYSIA”)

1. Introduction

HeiTech Padu Berhad (“HeiTech” or “the Company”) is pleased to announce that the Company on 18 May 2012 has accepted a Letter of Award for the Provision of the Replacement and Maintenance Services for Computer Softwares for the Mainframe Computer System at the Main and Secondary Data Center for Lembaga Hasil Dalam Negeri (LHDN) (“Inland Revenue Board of Malaysia”).

2. The Contract Value

The Contract Value of the project is RM34,488,888.00 (Ringgit Malaysia Thirty Four Million Four Hundred Eighty Eight Thousand Eight Hundred Eighty Eight only.)

3. Duration of the Project

The Contract is for a period of three (3) years, any further renewal or extension of the duration is at the discretion of the LHDN.

4. The effect on net assets of the Group

The Proposed Transaction will not have any material effect on HeiTech Group's Net Asset for the financial year ending 31 December 2012, and is expected to contribute positively to the future earnings of HeiTech Group.

5. The risks in relation to the contract.

The risks are the normal risks encountered by other Companies undertaking a similar endeavor and the Group has taken the necessary steps to protect itself and to mitigate the risks when and as it occurs.

6. Directors' and Substantial Shareholders' Interest

None of the Directors or substantial shareholders or any person connected to the Directors or substantial shareholders of HeiTech has any interest, either direct or indirect in the above Contract.

7. Statement of the Directors

The Board of Directors of the Company is of the opinion that the above Contract is in the ordinary course of business and is in the best interest of the Company.

8. Financial effects

The Letter of Award will have a positive effect on the earnings per share. Nevertheless, the Contract will have no material effect to the dividend policy, gearing, share capital and the substantial shareholders’ shareholdings of the Company for the financial year ending 31st December 2012.

This announcement is dated 21 May 2012.