Notes to Financial Statements

Middle East Development Singapore Ltd.Annual Report 2008 65Notes to Financial Statements30 June 200818 SHARE CAPITALGroup and Company2008 2007 2008 2007Number of ordinary shares $ $Issued and paid up:At beginning of the year 397,677,500 108,600,000 18,296,125 4,311,012Issuance of ordinary shares for cash – 285,087,500 – 14,254,375Share issue expense – – – (659,418)Issue of shares on exercise of share options 300,000 3,990,000 24,000 319,200Transfer from share option reserves – – 5,335 70,956At end of the year 397,977,500 397,677,500 18,325,460 18,296,125Fully paid ordinary shares, which have no par value, carry one vote per share and carry a right to dividends.19 SHARE–BASED PAYMENTSHitchins Employees’ Share Option SchemeThe Hitchins Employees’ Share Option Scheme (the “Scheme”) of the Company was approved and adopted by itsmembers at an Extraordinary General Meeting held on 13 December 2002.The Scheme is administered by the Remuneration Committee comprising:• Tee Tua Ba (Chairman and Independent Director)• Hoon Tai Meng (Member and Independent Director)• Tan Song Koon (Member and Independent Director)The reserved size of the Scheme is 15% of the issued share capital of the Company on the relevant date of grant ofoptions.The following persons are eligible to participate in the Scheme:(i)(ii)(iii)Confi rmed full–time employees of the Company and/or subsidiaries who have attained the age of 21 yearsand above and/or before the relevant date of offer of an option;Executive Directors of the Company; andPerson who qualify under (i) and (ii) and who are controlling shareholders of the Company and theirassociates and whose participation and actual number of shares granted under the Scheme and terms ofany option granted to them have been approved by independent shareholders in general meeting.Non–Executive Directors are not eligible to participate in the Scheme.Under the rules of the Scheme, options will be granted at the prevailing market price of the shares based on theaverage of the last dealt price per share as indicated in the daily offi cial list or any other publication published by theSGX–ST for the 5 consecutive days immediately preceding the date of grant (the “Market Price”). Options will notbe granted at a discount to the Market Price.