In approving the listing of the Company on the Second Board of Bursa Malaysia Securities Berhad, the Securities Commission (“SC”) had, vide its approval letter dated 25 April 2005, imposed a condition requiring KFB to obtain the Certificate of Fitness ("CF") or relevant building approvals for the extension to the factory buildings situated at H.S. (D) 98527, for No. P.T. Tapak Perusahaan Shah Alam, Bandar Shah Alam, Daerah Petaling, Negeri Selangor bearing address at Lot 20, Jalan Pengapit 15/19, 40200 Shah Alam, Selangor Darul Ehsan (“Lot 20”)(“Condition”).

The SC has, vide its letter dated 30 April 2007, approved a further extension of three (3) months to 25 July 2007 for KFB to comply with the Condition.

Further to the announcement dated 21 May 2007, the Board of Directors of KFB wishes to announce that Majlis Bandaraya Shah Alam has on 23 May 2007 issued the CF in respect of Lot 20 (which was received by the Company on 30 May 2007).

Accordingly, the Company has complied with the Condition.

This announcement is dated 31 May 2007.