Asia Pacific Breweries Limited - Update on Investigations

On 4 September 2003, Asia Pacific Breweries Limited ("the Company") announced that an employee of the Company had been charged in Court for opening and operating bank accounts in the name of Asia Pacific Breweries (Singapore) Pte Ltd, ("APBS") without authority. The Company also announced that it had appointed PricewaterhouseCoopers ("PwC") and Drew & Napier to assist the Company in its investigation.

PwC have completed their review of significant cash transactions for a 4-year period commencing in 1999.

The scope of PwC's work included reviewing APBS' accounting records, checking all material cash receipts and payments for the relevant period. Their work has revealed that unauthorised payments have been made from APBS' bank accounts. The aggregate of all such unauthorised payments match the aggregate of payments into APBS' bank accounts from the unauthorised accounts. All material cash balances of APBS have been accounted for.

Claims against APBS have been asserted by banks with respect to the unauthorised transactions. The Company has sought legal advice on these claims and has been advised that legal defences are available to APBS. APBS intends, and has instructed its lawyers, Drew & Napier, to contest these claims vigorously.

Submitted by Anthony Cheong Fook Seng, Company Secretary on 24/9/2003 to the SGX