IOI PROPERTIES GROUP BERHAD • ANNUAL REPORT 2014 047 SENIOR MANAGEMENT TEAM Executive Chairman TAN SRI DATO’ LEE SHIN CHENG Chief Executive Officer LEE YEOW SENG CORPORATE PROPERTY HOTELS AND GOLF CLUB General Manager (Finance) Property Director General Managers BETTY LAU SUI HING TEH CHIN GUAN SIMON YONG BRANDON CHIN Chartered Secretary Senior General Managers TAN CHOONG KHIANG LEE YOKE HAR SIMON HENG TAN KENG SENG General Managers LIM BENG YEANG LOU FU LEONG HO KWOK WING IR CHOO KAY BOON LOH CHIN YEAN CHUNG NYUK KIONG General Manager, The Trilinq, Singapore LEE YEAN PIN (LI YANPING) General Manager, IOI Mall Puchong STEVEN FOO Assistant General Manager, Xiamen, PRC OOI WOOI YAW 048 IOI PROPERTIES GROUP BERHAD • ANNUAL REPORT 2014 REGIONAL PRESENCE ASIA People‘s Republic Malaysia Singapore of China 1 Penang 1 Cape Royale @ Sentosa Cove 1 IOI Park Bay @ Xiamen 2 Selangor 2 Cityscape @ Farrer Park 2 IOI Palm City @ Xiamen 3 Negeri Sembilan 3 Seascape @ Sentosa Cove 4 Melaka 4 South Beach @ Beach Road 5 Johor 5 The Trilinq @ Jalan Lempeng IOI PROPERTIES GROUP BERHAD • ANNUAL REPORT 2014 049 LOCATION OF OPERATIONS IN MALAYSIA Penang 1 Desaria, Sungai Ara 2 Teluk Kumbar, Barat Daya Selangor 3 Bandar Puchong Jaya & PENANG 1 Bandar Puteri Puchong 2 PERAK 4 16 Sierra, Puchong South Penang 5 IOI Resort City, Putrajaya International 6 Bandar Puteri Bangi Airport 7 Bandar Puteri Warisan, Sepang Negeri Sembilan 8 Bandar IOI, Bahau Melaka SELANGOR 9 IOI City, Ayer Keroh 3 4 5 6 Johor 7 NEGERI 10 Bandar Putra Segamat 8 SEMBILAN 11 Taman Lagenda Putra KLIA 12 Bandar Putra Kulai 9 10 13 Taman Kempas Utama MELAKA 14 The Platino JOHOR 11 12 Main Airport Senai 13 North-South Expressway International 14 East Coast Expressway Airport 050 IOI PROPERTIES GROUP BERHAD • ANNUAL REPORT 2014 CORPORATE CALENDAR 2013 6 September IOI Properties Berhad’s (“IOIP”) maiden project in Xiamen, PRC, IOI Park Bay was successfully launched. Within four hours, 70% of the highly anticipated project was snapped up by local buyers. 11 July IOI Palm City, a mega mixed development project in Xiamen, the People’s Republic of China (“PRC”) notched a step forward with its groundbreaking ceremony. The development will feature a shopping mall, a five-star hotel, boutique offices and luxury residences. 8 November Putrajaya Marriott Hotel & Spa won seven awards at the prestigious Malaysia International Gourmet Festival (“MIGF”) 2013. 2 August The 526-unit La Thea Residences condominium situated within the 16 Sierra township in Puchong was launched. 80% of the units were booked within the first week of launch. 8 November 88 Square, the first commercial development of Bandar IOI in Bahau, Negeri Sembilan was launched. IOI PROPERTIES GROUP BERHAD • ANNUAL REPORT 2014 051 18 January 2014 IOIPG held open houses at its Parc Ville and 16 Sierra show galleries to celebrate Chinese New Year with its residents and business associates. The guests were entertained by a lion dance, acrobatics, Chinese calligraphy and handicraft demonstrations, and various 8 January festive activities. Dato’ Lee Yeow Chor was appointed Chief Executive Officer (“CEO”) of IOI Corporation Berhad (“IOIC”) and Lee Yeow Seng as CEO of IOI Properties Group Berhad (“IOIPG”). Tan Sri Dato’ Lee Shin Cheng remains as the Executive Chairman of both companies. 15 January IOIPG listed successfully on the Main Market of Bursa Malaysia as one of the largest property companies in the country. 19 April The IOI Properties Showcase 2014 which was held at IOI Mall Puchong attracted many buyers who were drawn by the value-added benefits and incentives offered for IOIPG’s prime properties. 052 IOI PROPERTIES GROUP BERHAD • ANNUAL REPORT 2014 CORPORATE CALENDAR (Cont’d) 2014 13 June IOIPG won the British Construction Industry (“BCI”) Asia Top 10 Developers Award 2014 for the fourth consecutive year at the BCI Asia Awards 2014. The awards were presented to ten top property 9 May developers and architectural firms with the greatest aggregate Skyz Residence received the Highly Commended: Residential value of projects under construction in Southeast Asia. High-rise Development (Malaysia) award at the Asia Pacific Property Awards 2014-2015. 14 June Palm Garden Hotel was appointed as the Smart Partner for 12 June Putrajaya Royal Floria Festival 2014, an annual international flower IOIPG signed an agreement with Starwood Hotels & Resorts and garden show that ran from 14 to 22 June at Precinct 3. Worldwide, Inc. to operate two hotels, Four Points by Sheraton Besides hosting a media preview on the opening day, the hotel’s Puchong and Le Meridien Putrajaya, which are expected to open accomplished chefs held cooking demonstrations and served local end of 2014 and 2015 respectively. and international delicacies at its scenic IOI Heliconia Café. IOI PROPERTIES GROUP BERHAD • ANNUAL REPORT 2014 053 21 June 25 June Skyz Residence, set to be the tallest landmark in Bandar Puchong IOI City Mall signed a lease agreement with its anchor tenants Jaya with its highest floor situated 200 metres above sea level, – Tesco, HomePro Malaysia and Aeon Index Living Mall. was launched to overwhelming response from property buyers who were impressed with the resort-styled condominium. 054 IOI PROPERTIES GROUP BERHAD • ANNUAL REPORT 2014 AUDIT AND RISK MANAGEMENT COMMITTEE REPORT The Board of Directors of IOI Properties Group Berhad is pleased to (b) at least seven (7) years’ experience being a Chief present the report on the Audit and Risk Management Committee Financial Officer of a corporation or having the (the “Committee”) of the Board for the financial year ended function of being primarily responsible for the 30 June 2014. management of the financial affairs of a corporation. The Committee was established on 29 May 2013 in line with the The Committee shall elect a Chairman from among its Main Market Listing Requirements of Bursa Malaysia Securities members who is an Independent Non-Executive Director. Berhad. In the event that a member of the Committee resigns, dies or for any other reason ceases to be a member with A MEMBERS the result that the number of members is reduced below three (3), the Board of Directors shall, within three (3) Datuk Tan Kim Leong @ Tan Chong Min months of that event, appoint such number of new Chairman members as may be required to make up the minimum Independent Non-Executive Director of three (3) members. Tan Sri Ong Ka Ting The term of office and performance of the Committee Member and each of its members shall be reviewed by the Board Senior Independent Non-Executive Director at least once every three (3) years. (Resigned on 25 August 2014) 2 Objectives Datuk Lee Say Tshin Member The primary objectives of the Committee are to: Independent Non-Executive Director i Provide assistance to the Board in fulfilling its fiduciary Dr Tan Kim Heung responsibilities, particularly in the areas relating Member to the Company and its subsidiaries’ accounting Independent Non-Executive Director and management controls, financial reporting, risk (Appointed on 25 August 2014) management and business ethics policies. ii Provide greater emphasis on the audit function B COMPOSITION AND TERMS OF REFERENCE by serving as the focal point for communication 1 Membership between Non-Committee Directors, the external auditors, internal auditors and the management and The Committee shall be appointed by the Board of providing a forum for discussion that is independent Directors from amongst the Directors and shall consist of the management. It is to be the Board’s principal of no fewer than three (3) members. All the Committee agent in assuring the independence of the Company’s members must be Non-Executive Directors with a majority external auditors, the integrity of the management of them being Independent Non-Executive Directors. and the adequacy of disclosures to shareholders. All the Committee members should be financially literate iii Undertake such additional duties as may be with at least one (1) Director who is a member of the appropriate and necessary to assist the Board. Malaysian Institute of Accountants or alternatively a person who must have the following qualifications is also 3 Authority acceptable: The Committee is authorised by the Board to: (a) either one (1) of the following qualifications and at i Investigate any matter within its terms of reference least three (3) years’ post-qualification experience in and have full and unrestricted access to any accounting or finance: information pertaining to the Company and the (i) a degree/masters/doctorate in accounting or Group. finance; or ii Have direct communication channels with both the (ii) a member of any professional accountancy external auditors and internal auditors. organisation which has been admitted as a iii Full access to any employee or member of the full member of the International Federation of management. Accountants; or IOI PROPERTIES GROUP BERHAD • ANNUAL REPORT 2014 055 iv Be able to convene meetings with the external •฀ review฀ any฀ appraisal฀ or฀ assessment฀ of฀ the฀ auditors, the internal auditors or both, without performance of members of the internal audit the attendance of other Directors and employees, function. whenever deemed necessary. •฀ approve฀ any฀ appointment฀ or฀ termination฀ of฀ senior staff members of the internal audit The Committee is also authorised by the Board to have the function. necessary resources and to obtain outside legal or other independent professional advice it considers necessary •฀ take฀cognisance฀of฀resignations฀of฀internal฀audit฀ and reasonable for the performance of its duties. staff members and provide the resigning staff member an opportunity to submit his reasons 4 Duties and Responsibilities for resigning. In fulfilling its primary objectives, the Committee will need ix To review the Group and the Company’s quarterly to undertake the following duties and responsibilities financial statements and annual financial statements summarised below: before submission to the Board.