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LAPORAN TAHUNAN 2003 ANNUAL REPORT Kuala Lumpur’s Premier Residences SUNWAY CITY BERHAD (Co. No. 87564 - X) Positioned For The Future Contents Corporate Directory 2 - 3 Corporate Information 4 - 5 Profile of Directors 6 - 10 Five-Year Group Financial Summary 11 Chairman’s Statement / Penyata Pengerusi 12 - 23 Corporate Governance Statement 24 - 28 Audit Committee Report 29 - 34 Statement on Internal Control 35 - 36 Financial Statements 37 - 119 List of Properties 120 - 125 Additional Compliance Information 126 - 127 Recurrent Related Party Transactions 128 - 133 Directors’Interests in Shares and Options 134 Analysis of Shareholdings 135 - 136 Notice of 21st Annual General Meeting 137 - 141 Statement Accompanying Notice of Annual General Meeting 142 Form of Proxy SUNWAY CITY BERHAD 1 ( 8 7 5 6 4 - X ) Corporate Directory of Main Operating Companies PROPERTY DEVELOPMENT SUNWAYAUSTRALIA UNIT TRUST HARTFORD LANE PTY LTD SUNWAYCITY BERHAD SUNWAYDAMANSARASDN BHD WALLGROVE ROAD, EASTERN CREEK SUNWAYD’MONT KIARA SDN BHD NSW 2766, AUSTRALIA TEL : 00-6102-98309100 SUNWAYRAHMAN PUTRASDN BHD FAX : 00-6102-96752002 SUNWAYMONTEREZ SDN BHD SUNWAYKINRARA SDN BHD PENAENTERPRISE SDN BHD PROPERTY INVESTMENT SUNWAYTOWNHOUSE SDN BHD SUNWAYPYRAMID SDN BHD SYARIKAT SHOIB PROPERTIES SDN BHD SUNWAYSPK HOMES SDN BHD LL1.10, SUNWAY PYRAMID SHOPPING MALL (Formerly known as Alternative Entity Sdn Bhd) NO. 3, JALAN PJS 11/15, BANDAR SUNWAY 46150 PETALING JAYA, SELANGOR LEVEL 1-3 MENARA SUNWAY TEL : (03) 7492-6668 JALAN LAGOON TIMUR, BANDAR SUNWAY FAX : (03) 7492-6333 46150 PETALING JAYA, SELANGOR TEL : (03) 5635-8886 MANAGEMENT & LETTING OF PROPERTY FAX : (03) 5636-5688 STELLAR DESTINY SDN BHD MENARA SUNWAYSDN BHD SUNWAYTUNAS SDN BHD SUNWAYBUKIT GAMBIER SDN BHD LEVEL 1-3, MENARA SUNWAY (Formerly known as Casa Fareast Sdn Bhd) JALAN LAGOON TIMUR, BANDAR SUNWAY SUNWAYCITY (PENANG) SDN BHD 46150 PETALING JAYA, SELANGOR GRANDEALTRADING CO. SDN BHD TEL : (03) 5635-8886 ALLIANCE PARADE SDN BHD FAX : (03) 5636-5688 NO. 1-D 4TH FLOOR DESARAHMAT, JALAN RELAU LEISURE & ENTERTAINMENT 11900 BAYAN LEPAS, PENANG TEL : (04) 643-9898 SUNWAYLAGOON SDN BHD FAX : (04) 644-1313 SUNWAYMONORAIL SDN BHD 3 JALAN PJS 11/11, BANDAR SUNWAY SUNWAYCITY (IPOH) SDN BHD 46150 PETALING JAYA, SELANGOR TEL : (03) 5635-8000 NO. 2A, PERSIARAN SCI 2/1, SUNWAYCITY IPOH FAX : (03) 5635-5050 31150 IPOH, PERAK TEL : (05) 548-6668 FAX : (05) 548-6868 SUNWAYTRAVEL SDN BHD LOBBY LEVEL, MENARA SUNWAY SUNWAYSEMENYIH SDN BHD JALAN LAGOON TIMUR, BANDAR SUNWAY 46150 PETALING JAYA, SELANGOR NO. 103 JALAN 1/3, TEL : (03) 5632-5622 BANDAR TECHNOLOGY KAJANG FAX : (03) 5632-4781 43500 SEMENYIH, SELANGOR TEL : (03) 8723-3131 FAX : (03) 8723-3030 2 SUNWAY CITY BERHAD ( 8 7 5 6 4 - X ) Corporate Directory of Main Operating Companies (cont’d) SUNWAYLAGOON CLUB BERHAD SUNWAYHOTEL PHNOM PENH LTD 3 JALAN LAGOON TIMUR, BANDAR SUNWAY 1, STREET 92 46150 PETALING JAYA, SELANGOR SANGKAT WAT PHNOM TEL : (03) 5636-1188 P.O. BOX 633 FAX : (03) 5636-4889 PHNOM PENH 12202 KINGDOM OF CAMBODIA TEL : 00-855-23-430333 PYRAMID BOWLSDN BHD FAX : 00-855-23-430339 LOT F2.22, SUNWAYPYRAMID SHOPPING MALL NO. 3, JALAN PJS 11/15, BANDAR SUNWAY ALLSON INTERNATIONAL HOLDINGS LTD 46150 PETALING JAYA, SELANGOR ALLSON HOTELS & RESORTS MANAGEMENT TEL : (03) 7492-6307/8/9 SDN BHD (Formerly known as Silk Consolidated FAX : (03) 7492-6310 Sdn Bhd) ALLSON INTERNATIONAL HOTELS & HOTELS & HOSPITALITY RESORTS (B.V.I.) LIMITED ALLSON INTERNATIONAL MANAGEMENT SUNWAYRESORT HOTEL SDN BHD LIMITED PERSIARAN LAGOON, BANDAR SUNWAY LEVEL 15, SUNWAYLAGOON RESORT HOTEL 46150 PETALING JAYA, SELANGOR PERSIARAN LAGOON, BANDAR SUNWAY TEL : (03) 7492-8000 46150 PETALING JAYA, SELANGOR FAX : (03) 7492-8001 TEL : (03) 7492-5222 FAX : (03) 7492-0636 SUNWAYHOTEL (PENANG) SDN BHD HEALTHCARE 33 NEWLANE, GEORGETOWN 10400 PENANG SUNWAYMEDICAL CENTRE BERHAD TEL : (04) 229-9988 FAX : (04) 228-8899 NO. 5, JALAN LAGOON SELATAN BANDAR SUNWAY 46150 PETALING JAYA, SELANGOR SUNWAYHOTEL(SEBERANG JAYA) SDN BHD TEL : (03) 7491-9191 FAX : (03) 7491-8181 NO. 11, LEBUH TENGGIRI DUA PUSAT BANDAR BANDAR SEBERANG JAYA SEBERANG JAYA, 13700 PRAI TEL : (04) 370-7788 FAX : (04) 370-0555 SUNWAY CITY BERHAD 3 ( 8 7 5 6 4 - X ) Corporate Information BOARD OF DIRECTORS EXECUTIVE COMMITTEE OF THE BOARD Executive Chairman, Dato’ Wong Choon Kee (Chairman) Non-Independent Executive Director Yau Kok Seng Tan Sri Dato’Seri (Dr) Cheah Fook Ling Ngian Siew Siong Ngeow Voon Yean Deputy Executive Chairman, Ong Pang Yen Non-Independent Executive Director Lim Swe Guan Datuk Razman M Hashim Wang Yeong Khang (Alternate to Yau Kok Seng) Managing Director, Non-Independent Executive Director NOMINATION COMMITTEE Dato’ Wong Choon Kee Tan Sri Dato’Ir Talha Bin Haji Mohd Hashim Deputy Managing Directors, (Chairman) Non-Independent Executive Directors Teo Tong How Ngian Siew Siong - Property Development Tan Siak Tee Ngeow Voon Yean - Property Investment Non-Independent Non-Executive Directors REMUNERATION COMMITTEE Low Siew Moi (f) Lim Swe Guan Tan Sri Dato’Ir Talha Bin Haji Mohd Hashim (Chairman) Senior Independent Non-Executive Director Teo Tong How Tan Sri Dato’ Ir Talha Bin Haji Mohd Hashim Tan Sri Dato’Seri (Dr) Cheah Fook Ling Independent Non-Executive Directors Teo Tong How GROUPRISK MANAGEMENT COMMITTEE Tan Siak Tee Dato’ Wong Choon Kee (Chairman) Ngian Siew Siong AUDIT COMMITTEE Ngeow Voon Yean Yuen Kam Wah Tan Sri Dato’ Ir Talha Bin Haji Mohd Hashim Lee Weng Keng (Chairman) Wang Yeong Khang Teo Tong How Tan Siak Tee Ngian Siew Siong COMPANY SECRETARIES Puan Sri Datin Seri (Dr) Susan Cheah Seok Cheng EMPLOYEES’SHARE OPTION (MIA5601) SCHEME COMMITTEE Tan Kim Aun (MAICSA7002988) Tan Sri Dato’Seri (Dr) Cheah Fook Ling (Chairman) Datuk Razman M Hashim Dato’ Wong Choon Kee 4 SUNWAY CITY BERHAD ( 8 7 5 6 4 - X ) Corporate Information (cont’d) REGISTERED OFFICE SOLICITORS Level 16, Menara Sunway David Lingam & Co. Jalan Lagoon Timur Helen & Co. Bandar Sunway Sidek Teoh Wong & Dennis 46150 Petaling Jaya Selangor Darul Ehsan Malaysia PRINCIPALBANKERS Tel No: (03) 5635-8889 Fax No: (03) 5634-1349 HSBC Bank Malaysia Berhad Malayan Banking Berhad Public Bank Berhad SHARE REGISTRAR United Overseas Bank (Malaysia) Berhad Sunway Management Sdn Bhd (50661-X) Level 16, Menara Sunway STOCK EXCHANGE LISTING Jalan Lagoon Timur Bandar Sunway Main Board of Bursa Malaysia Securities Berhad 46150 Petaling Jaya (Formerly known as Malaysia Securities Exchange Selangor Darul Ehsan Berhad) Malaysia Tel No: (03) 5635-8889 Fax No: (03) 5634-1349 WEBSITE ADDRESS www.sunway.com.my AUDITORS Ernst & Young Chartered Accountants SUNWAY CITY BERHAD 5 ( 8 7 5 6 4 - X ) Profile Of Directors Tan Sri Dato' Seri (Dr) Cheah Fook Ling Executive Chairman, Non-Independent Executive Director Tan Sri Dato' Seri (Dr) Cheah Fook Ling, Malaysian, aged 58, is the Founder of the Sunway Group and Chairman of Sunway City Berhad (“SunCity”), Sunway Holdings Incorporated Berhad, Sunway Construction Berhad and Sunway Infrastructure Berhad which are a conglomerate of companies that are listed individually on the Main Board of Bursa Malaysia Securities Berhad (formerly known as Malaysia Securities Exchange Berhad). A Certified Public Accountant by profession, he was appointed a Board member of the Financial Reporting Foundation by the Minister of Finance in July 1997. He sits on the Board of The National Kidney Foundation and the Board of Trustees of the Malaysian Liver Foundation. In 1995, he was appointed a member of the Malaysian Business Council and in 1996, he was honored with the Chairmanship of Malaysian Industry- Government Group for High Technology (MIGHT) for Construction and Housing. He was appointed an EXCO member to the Malaysian Tourism Action Council by the Minister of Tourism Malaysia. In recognition of his outstanding contribution to education, the Minister of Education appointed him to the Higher Education Council in 1998. He was also conferred Honorary Doctorates by 8 leading universities worldwide and was voted the Property Man of the Year (Malaysia) 1993 as well as the CEO of the Year (Malaysia) 1996. He was appointed to the Board of SunCity on 1 July 1992 and also serves as Chairman of the Employees’Share Option Scheme Committee and a Member of the Remuneration Committee. His current directorships in other public companies include Federation of Public Listed Companies Berhad, Sunway Holdings Incorporated Berhad, Sunway Construction Berhad and Sunway Infrastructure Berhad. He attended 5 out of the 6 Board Meetings held in the financial year. Datuk Razman M Hashim Deputy Executive Chairman, Non-Independent Executive Director Datuk Razman M Hashim, Malaysian, aged 65, is a member of the Australian Institute of Bankers. He has more than 34 years of experience in the banking industry. He joined the Standard Chartered Bank Malaysia Berhad in 1964 and served in various capacities including secondments to the Bank’s branches in London, Europe, Hong Kong and Singapore. In 1994, he was appointed as Executive Director/Deputy Chief Executive of the Standard Chartered Bank Malaysia Berhad. He was appointed to the Board of SunCity on 28 March 1996 and also serves as a Member of the Employees’Share Option Scheme Committee. His current directorships in other public companies include Ranhill Berhad, Multi-Purpose Holdings Berhad, Sunway Infrastructure Berhad, Affin Bank Berhad and OYL Industries Berhad. He attended all of the 6 Board Meetings held in the financial year. 6 SUNWAY CITY BERHAD ( 8 7 5 6 4 - X ) Profile Of Directors (cont’d) Tan Sri Dato’Ir Talha