GLOBAL

We have secured exclusive distribution rights from INC Agency B.V. for certain INC products forthe PRC. In connection with such rights, we have appointed a sub-distributor to distribute INCproducts in the PRC. Our sub-distributor is in the process of obtaining registration for suchproducts in the PRC. If registration is obtained, they will distribute INC products through theircurrent distribution network.In addition, we have also secured exclusive distribution rights from several third partyinternational brands such as ``MuscleTech'', for the distribution of their products in the PRC,which is similarly subject to product registration being obtained in the PRC for such products.Asia-Paci®cWe will intensify our efforts in the wholesale distribution of our third party international brandsand our proprietary L.A.C. brand of nutraceutical products in countries such as Hong Kong,India, Indonesia, Japan, Korea, the Philippines, the PRC, Taiwan and Thailand. If we aresuccessful in penetrating these markets, we will endeavour to secure exclusive distributionrights as well as identify and appoint suitable partners to carry out our distribution plans inthese countries.. Strategic Alliance with Osim International LtdIn April 2003, Osim acquired 29.9% of the issued and paid-up share capital of our Companyfrom our controlling shareholder, Healthcare. We view such acquisition as bene®cial for ourGroup as we enter the next phase of our growth into the region, especially the PRC. We arecon®dent that this alliance will position us well to tap the growing demand in the healthylifestyle and personal enhancement market.. Increased Awareness of Health IssuesThe Severe Acute Respiratory Syndrome (``SARS'') outbreak in Singapore and the region hasresulted in an increase in awareness and knowledge of the population here and in the region,of the need to lead a healthy lifestyle and to include dietary supplements in their diet to supporttheir immunity system. With this increase in awareness, we will intensify our efforts to makeavailable more and a wider range of products to our customers.OUR FINANCIAL PERFORMANCEThe following table presents a summary of the ®nancial performance for our Group. They should beread in conjunction with, inter alia, the sections on ``Summary of Proforma Financial Information of ourGroup'' (pages 37 and 38 of this Prospectus), ``Management's Discussion and Analysis of Results ofOperations and Financial Positions'' (pages 39 to 50 of this Prospectus), ``Report on Examination ofthe Proforma Financial Statements of the Group'' (pages 130 and 131 of this Prospectus) and``Proforma Financial Statements of the Group'' (Appendix D of this Prospectus).($'000) 2001 2002 2003Sales 28,409 42,010 50,348Pro®t before taxation 2,623 3,918 5,306Taxation (663) (1,081) (1,206)Pro®t for the ®nancial year 1,960 2,837 4,100FY22