FOOD

SM BROILERS SDN. BHD.

The Group's food division is led by SM Broilers Sdn Bhd ("SMB"). SMB was incorporated on 23 October 1996 as Sinmah Food Services Sdn Bhd. It changed its name to SM Feed Technologies Sdn Bhd on 16 September 2003 and then to its present name on 15 June 2005.

SMB handles the live broiler trading and contract farming activities. Live broiler trading entails the buying of live broilers from the open market and selling of live broilers to wholesalers. Contract farming activities involves the supply of day-old chicks (DOCs), feed and biologicals at contracted prices to contract farmers who are responsible to grow the DOCs into fully-grown broilers to be sold back to SMB at contracted prices. These fully-grown broilers are then sold to wholesalers at market prices.

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