Singapore

Temasek Holdings is pleased that 98 Holdings has raised its offer price for NatSteel from S$2.03 to S$2.05.

2. As a shareholder of NatSteel, Temasek notes that the market value of the company has increased from about S$600.4 million at S$1.62 a share to about S$752.4 million at S$2.05 a share over the last 6 months. This increase of about S$150 million in market value resulted from the various developments to-date, including the initial management buyout offer in June 02.
3. Since June 02, Temasek has consistently and clearly informed the market that it remains open to considering any bids for NatSteel, including from management, which would realize fair value for all shareholders. Therefore, although Temasek had given the undertaking to accept the offer by 98 Holdings, Temasek had also reserved the right to accept any higher competing bid that may arise. This position remains unchanged.
4. Temasek's intention is to realise value for itself and its fellow shareholders in an open, transparent and informed fair-market process of price discovery. Temasek is pleased that this objective has largely been achieved.
5. Temasek believes that shareholders have by and large benefited from the various developments to-date, and would be in a good position to make informed decisions in the days ahead. Temasek wishes to take this opportunity to thank the NatSteel management and staff for the value which they have created for all shareholders which is being unlocked. Temasek also wishes the NatSteel management and staff continued success in working with shareholders to build on the company's solid foundations.