Laporan Tahunan 2010 annuaL reporT - Takaful Malaysia...Laporan Tahunan 2010 Annual Report • Syarikat Takaful Malaysia Berhad (131646-K) 007 6. To re-appoint Messrs KPMG Desa Megat

01Laporan Tahunan 2010 Annual Report • Syarikat Takaful Malaysia Berhad (131646-K)

Laporan Tahunan 2010 annuaL reporT

Syarikat Takaful Malaysia Berhad (131646-K) • Laporan Tahunan 2010 Annual Report02

Boasting an extensive nationwide branch network, Takaful Malaysia serves the needs of all Malaysians by offering insurance and financial solutions to secure every stage of life. From providing protection to growing your investment and savings, our dedicated personnel are ever ready to help you secure your future and provide you peace of mind.

Dengan jaringan meluas di setiap pelusuk negara, Takaful Malaysia menyediakan keperluan kepada seluruh rakyat Malaysia melalui perlindungan insurans dan bertindak sebagai penyelesai kewangan untuk melindungi setiap fasa kehidupan anda. Bermula daripada menyediakan perlindungan sehinggalah membantu anda mencambahkan pelaburan dan simpanan, kami dengan penuh dedikasi dan sentiasa bersedia untuk memberi bantuan dan khidmat nasihat demi melindungi masa depan serta ketenangan fikiran anda.


The defining pillars of the Takaful Malaysia brand are the values that we continuously strive to manifest through our work.

• Inspiring

• Integrity

• Teamwork

• Humanitarian

• Professional

Values


003 Visi & Misi Vision & Mission

006 notis Mesyuarat agung Tahunan ke 25 notice of 25th annual General Meeting

009 notis Mesyuarat agung Tahunan ke 26 notice of 26th annual General Meeting

012 penyata Mengiringi notis Mesyuarat agung Tahunan Kedua puluh Lima Statement accompanying notice of Twenty Fifth annual General Meeting

013 penyata Mengiringi notis Mesyuarat agung Tahunan Kedua puluh enam Statement accompanying notice of Twenty Sixth annual General Meeting

016 ringkasan Kewangan Lima Tahun Five Years Financial highlights

018 Struktur Korporat Corporate Structure

019 Maklumat Korporat Corporate Information

024 ProfilLembagaPengarah BoardofDirectors’Profile

031 ProfilBadanPenasihatSyariah ShariahAdvisoryBody’sProfile

035 Jawatankuasa pengurusan Management Committee

040 Laporan Jawatankuasa audit audit Committee report

050 PenyataUrusTadbir Korporat Corporate Governance Statement

060 Maklumat pematuhan Tambahan additional Compliance Information

064 penyata Kawalan Dalaman Statement on Internal Control

Isi Kandungan Contents

070 penyata pengerusi Chairman’s Statement

087 penyata Kewangan Financial Statements

183 Maklumat hartanah particulars of properties

191 Statistik pegangan Saham Shareholdings Statistics

195 rangkaian Cawangan Branch network

Borang proksi (notis Mesyuarat agung Tahunan ke 25) proxy Form (25th annual General Meeting)

Borang proksi (notis Mesyuarat agung Tahunan ke 26) proxy Form (26th annual General Meeting)


“Kami ingin menjadi pilihan utama insurans”

Matlamat kami adalah untuk melangkaui jangkaan pelanggan melalui:• Kecemerlangan Operasi• Kebolehan Dalam Daya Saing Teknologi• Inovasi Produk• Budaya Kerja Berorientasikan PrestasiDalam usaha meningkatkan nilai pemegang-pemegang saham

“We want to be the preferred choice for insurance”

We aim to exceed customers’ expectations through:• Operational Excellence• Technology Driven Capabilities• Product Innovation• Performance Oriented CultureWhilst delivering superior shareholders’ value

Visi & MisiVision & Mission



our perseverance to our continued development of ourindustry,bringingittothenextlevel.

Inspiring



Notis Mesyuarat Agung Tahunan ke 25Notice of 25th Annual General Meeting

NOTICE IS HEREBY GIVEN that the TWENTY FIFTH

ANNUAL GENERAL MEETING of SYARIKAT TAKAFUL

MALAYSIA BERHAD will be held at Dewan Ahmad

Mohamed Ibrahim, 5th Floor, Annexe Block, Dataran

Kewangan Darul Takaful, No. 4, Jalan Sultan Sulaiman,

50000KualaLumpuronThursday,5May2011,at9:30a.m.

for the following purposes:

AS ORDINARY BUSINESS

1. ToreceivetheAuditedFinancialStatementsforeighteen

(18) months financial period ended 31 December 2010,

together with the reports of the Directors and auditors

thereon.

(resolution 1)

2. Toapproveafinaldividendof7%less25%taxinrespect

of the eighteen (18) months financial period ended 31

December2010.

(resolution 2)

3. Tore-electthefollowingDirectors,eachofwhomretires

pursuant to the Company’s articles of association:

article 62

3.1 EncikMahadzirAzizan (Resolution3)

3.2 Y.Bhg.Dato’SulaimanMohdYusof (Resolution4)

article 66a

3.3 Y.Bhg.Dato’PadukaIsmeeIsmail (Resolution5)

3.4 EncikZakariaIsmail (Resolution6)

4. To approve the payment of the Directors’ fees of

RM721,000 for eighteen (18) months financial period

ended31December2010.

(Resolution7)

5. To approve the payment of Shariah Advisory Body

Members’ fees of RM153,000 for eighteen (18) months

financialperiodended31December2010.

(resolution 8)

DENGAN INI DIMAKLUMKANbahawaMESYUARAT AGUNG

TAHUNAN SYARIKAT TAKAFUL MALAYSIA BERHAD YANG

KEDUA PULUH LIMA akan diadakan di Dewan ahmad

MohamedIbrahim,Tingkat5,BlokAnnex,DataranKewangan

Darul Takaful, No. 4, Jalan Sultan Sulaiman, 50000 Kuala

Lumpur pada hari Khamis, 5 Mei 2011, jam 9:30 pagi bagi

tujuan-tujuanberikut:

SEBAGAI URUSAN BIASA

1. Untuk menerima Penyata-penyata Kewangan Beraudit

bagilapanbelas(18)bulantempohkewanganberakhir31

Disember2010,bersertalaporanPengarahdanJuruaudit

berkaitandengannya.

(resolusi 1)

2. Untuk meluluskan dividen akhir sebanyak 7% ditolak

25%cukaibagilapanbelas(18)bulantempohkewangan

berakhir31Disember2010.

(resolusi 2)

3. UntukmelantiksemulaPengarah-pengarahberikutyang

bersaramenurutTataurusanPersatuanSyarikat:

artikel 62

3.1 EncikMahadzirAzizan (Resolusi3)

3.2 Y.Bhg.Dato’SulaimanMohdYusof (Resolusi4)

artikel 66a

3.3 Y.Bhg.Dato’PadukaIsmeeIsmail (Resolusi5)

3.4 EncikZakariaIsmail (Resolusi6)

4. Untuk meluluskan bayaran yuran Pengarah-pengarah

sebanyakRM721,000bagilapanbelas(18)bulantempoh

kewanganberakhir31Disember2010.

(Resolusi7)

5. UntukmeluluskanbayaranyuranAhli-ahliBadanPenasihat

SyariahsebanyakRM153,000bagilapanbelas(18)bulan

tempohkewanganberakhir31Disember2010.

(resolusi 8)


6. To re-appoint Messrs KPMG Desa Megat & Co. as the

auditors of the Company and to authorise the Directors

tofixtheirremuneration.

(resolution 9)

7. Totransactanyotherbusinessforwhichduenoticehas

beengiven.

NOTICE OF DIVIDEND ENTITLEMENT AND PAYMENT

NOTICE IS ALSO HEREBY GIVEN THAT a final dividend

of 7% less 25% tax in respect of the eighteen (18)

months financial period ended 31December 2010will

bepaidon27May2011toDepositorsregisteredinthe

RecordofDepositorsatthecloseofbusinesson9May

2011.

FURTHER NOTICE IS HEREBY GIVEN THAT a Depositor

shall qualify for entitlement to the dividend only in respect

of:

(a) Shares transferred into the Depositor’s Securities account

before 4:00p.m. on 9May 2011 in respect of transfers;

and

(b) SharesboughtontheBursaMalaysiaSecuritiesBerhadon

acumentitlementbasisaccordingtotheRulesofBursa

MalaysiaSecuritiesBerhad.

By order of the Board

MOHAMAD ASRI HAJI YUSOFF(MIA14171)

Company Secretary

Kuala Lumpur

13 april 2011

6. Untuk melantik semula Tetuan KPMG Desa Megat &

Co. sebagai Juruaudit Syarikat dan memberi kuasa

kepada Pengarah-pengarah untuk menetapkan bayaran

Juruaudit.

(resolusi 9)

7. Untuk melaksanakan sebarang urusan yang mana notis

sewajarnyatelahdiberi.

NOTIS PENERIMAAN DAN PEMBAYARAN DIVIDEN

NOTIS DENGAN INI JUGA DIBERI BAHAWA dividen akhir

sebanyak 7% ditolak 25% cukai bagi lapan belas (18) bulan

tempohkewanganberakhir 31Disember 2010, akandibayar

pada27Mei2011kepadaparaPendeposityangberdaftardi

dalam rekod pendeposit pada penutupan perniagaan pada 9

Mei2011.

NOTIS SETERUSNYA DENGAN INI JUGA DIBERI BAHAWA

seorang pendeposit adalah layak untuk menerima dividen

hanya dalam keadaan:

(a) Saham yang telah dipindahkan ke dalam akaun Sekuriti

Pendeposit sebelum 4:00 petang pada 9 Mei 2011

berhubungpindahan;dan

(b) Saham yang dibeli di Bursa Malaysia Securities Berhad

dengan asas kelayakan menurut peraturan Bursa Malaysia

SecuritiesBerhad.

AtasArahanLembagaPengarah

MOHAMAD ASRI HAJI YUSOFF (MIA14171)

Setiausaha Syarikat

Kuala Lumpur

13 april 2011

Notis Mesyuarat Agung Tahunan ke 25

Notice of 25th Annual General Meeting




Nota:

(i) Syarikat telah menukar akhir tahun kewangan dari 30 Jun kepada 31 Disember dan pengumuman telah dibuat ke Bursa Malaysia Securities Berhad pada 29 Oktober 2009 berkaitan dengan penukaran akhir tahun kewangan. Seksyen 143 (1) Akta Syarikat, 1965 menyatakan bahawa Mesyuarat Agung Tahunan mesti diadakan sekali dalam setiap tahun kalendar. Suruhanjaya Syarikat Malaysia telah memberi kelulusan lanjutan masa sehingga 31 Mei 2011 untuk Syarikat mengadakan Mesyuarat Agung Tahunannya bagi tahun kalendar 2010. Syarikat tidak mengadakan apa-apa Mesyuarat Agung Tahunan dalam tahun kalendar 2010. Sehubungan dengan itu, Mesyuarat Agung Tahunan ke 25 akan datang akan diadakan untuk membentangkan Penyata Kewangan Beraudit 18 bulan yang bermula dari 1 Julai 2009 sehingga 31 Disember 2010 serta urusan-urusan biasa lain, dan Mesyuarat Agung Tahunan ini akan dianggap diadakan untuk tahun kalendar 2010.

(ii) Seorangahliyangberhakhadiruntukmengundidalammesyuaratitulayakuntukmelantikseorangataubeberapaorangproksiuntukhadir dan mengundi bagi pihaknya dan haruslah menyatakanbahagiansahamnyayangdiwakiliolehsetiapproksidanproksiitutidaksemestinyaseorangahliSyarikat.

(iii) Suratcarapelantikanproksibagiindividuhendaklahditandatanganioleh pelantik atau peguamnya dan dalam hal perbadanan, iamestilah dimeterai atau ditandatangani oleh seorang pegawai ataupeguamnyayangtelahdiberikuasasewajarnya.

(iv) SuratcarapelantikanseorangproksimestilahdihantarkePejabatBerdaftar Syarikat di Tingkat 26, Blok annex, Dataran Kewangan DarulTakaful,No.4,JalanSultanSulaiman,50000KualaLumpur,tidak lewat dari empat puluh lapan (48) jam sebelum waktuyang ditetapkan bagi mengadakan mesyuarat atau sebarangpenangguhannya.

Notes:

(i) The Company has changed its financial year end from 30 June to 31 December and an announcement has been made to Bursa Malaysia Securities Berhad on 29 October 2009 on the change of financial year end. Section 143 (1) of the Companies Act, 1965 states that an Annual General Meeting (“AGM”) must be held once in every calendar year. The Companies Commission of Malaysia had granted its approval for an extension of time until 31 May 2011 for the Company to hold its AGM in respect of the calendar year 2010. The Company did not hold any AGM in the calendar year 2010. Hence, the forthcoming 25th AGM will be held to table the 18 months Audited Financial Statements made up from 1 July 2009 to 31 December 2010 as well as other ordinary businesses, and this AGM shall be deemed to be held for the calendar year 2010.

(ii) Amemberentitledtoattendandvoteatthemeetingisentitledtoappoint a proxy or proxies to attend and to vote instead of him and shallspecifytheproportionsofhisholdingstoberepresentedbyeachproxyandaproxyneednotbeamemberoftheCompany.

(iii) The instrument appointing a proxy in the case of an individual shallbesignedbytheappointerorhisattorneyandinthecaseofacorporation,mustbeundersealorunderthehandofanofficerorattorneydulyauthorised.

(iv) The instrument appointing a proxy must be deposited at theRegistered Office of the Company at Tingkat 26, Blok Annex,DataranKewanganDarul Takaful,No. 4, Jalan Sultan Sulaiman,50000KualaLumpurnotlessthanforty-eight(48)hoursbeforethetimeforholdingthemeetingoranyadjournmentthereof.


Notis Mesyuarat Agung Tahunan ke 26Notice of 26th Annual General Meeting

NOTICE IS HEREBY GIVEN that the TWENTY SIXTH

ANNUAL GENERAL MEETING of SYARIKAT TAKAFUL

MALAYSIA BERHAD will be held at Dewan Ahmad

Mohamed Ibrahim, 5th Floor, Annexe Block, Dataran

Kewangan Darul Takaful, No. 4, Jalan Sultan Sulaiman,

50000 Kuala Lumpur on Thursday, 5 May 2011, immediately

following the conclusion or adjournment (as the case may

be)ofthe25thAnnualGeneralMeetingwhichwillbeheld

at9:30a.m.onthesamedayandatthesamevenue,for

thefollowingpurposes:-

AS ORDINARY BUSINESS

1. To re-elect the followingDirectors, eachofwhom retires

pursuant to article 62 of the Company’s articles of

association:

1.1 EncikJohanAbdullah (Resolution1)

1.2 Y.Bhg.Dato’MohamedHassanMdKamil

(resolution 2)

2. To re-appoint Messrs KPMG Desa Megat & Co. as the

auditors of the Company and to authorise the Directors to

fixtheirremuneration.

(resolution 3)

AS SPECIAL BUSINESS

3. Ordinary Resolution – Proposed Shareholders’ Mandate

for recurrent related party Transactions of a revenue

or Trading nature with BIMB holdings Berhad and its

Subsidiaries(“BHBGroup”).

“THAT,subjecttocompliancewiththeListingRequirements

of Bursa Malaysia Securities Berhad, Companies act 1965,

Memorandum and articles of association of the Company

and all other applicable laws, rules, regulations and

guidelines,approvalbeandisherebygiventotheCompany

anditssubsidiaries(“TakafulMalaysiaGroup”)toenterinto

the recurrent related party Transactions of a revenue or

trading nature with the BhB Group which are necessary for

the day to day operations of the Takaful Malaysia Group as

setoutinSection2.3oftheCirculartoShareholdersdated

13April2011(“Circular”),providedthat:

(a)thetransactionsareintheordinarycourseofbusiness

andareontermswhicharenotmorefavourabletothe

related parties than those generally available to the

publicandontermsnottothedetrimentoftheminority

shareholdersoftheCompany;

DENGAN INI DIMAKLUMKAN bahawaMESYUARAT AGUNG

TAHUNAN SYARIKAT TAKAFUL MALAYSIA BERHAD YANG

KEDUA PULUH ENAM akan diadakan di Dewan ahmad

MohamedIbrahim,Tingkat5,BlokAnnex,DataranKewangan

Darul Takaful, No. 4, Jalan Sultan Sulaiman, 50000 Kuala

Lumpur pada hari Khamis, 5 Mei 2011, dengan serta merta

selepasberakhirnyaataupenangguhan(mengikutyangmana

berkaitan)MesyuaratAgungTahunanke25yangakandiadakan

padajam9:30pagipadaharidanpadatempatyangsama,bagi

tujuan-tujuanberikut:-

SEBAGAI URUSAN BIASA

1. Untuk melantik semula Pengarah-pengarah berikut yang

bersaramenurutArtikel62TataurusanPersatuanSyarikat:

1.1EncikJohanAbdullah (Resolusi1)

1.2 Y.Bhg.Dato’MohamedHassanMdKamil

(resolusi 2)

2. Untuk melantik semula Tetuan KPMG Desa Megat & Co.

sebagai Juruaudit Syarikat dan memberi kuasa kepada

Pengarah-pengarahuntukmenetapkanbayaranJuruaudit.

(resolusi 3)

SEBAGAI URUSAN KHAS

3. ResolusiBiasa–CadanganMandatPemegangSahambagi

UrusniagaPihakBerkaitanyangBerulangBerbentukHasil

atau perdagangan dengan BIMB holdings Berhad dan

subsidiari-subsidiarinya(‘KumpulanBHB”).

“BAHAWA,tertaklukkepadapematuhandenganKeperluan

penyenaraian Bursa Malaysia Securities Berhad, akta

Syarikat 1965, Tataurusan persatuan Syarikat dan semua

undang-undang, peraturan dan garis panduan yang

berkaitan, kelulusandengan ini diberikan kepadaSyarikat

dansubsidiari-subsidiarinya(“KumpulanTakafulMalaysia”)

untuk memeterai urusniaga pihak Berkaitan yang Berulang

berbentukhasilatauperdagangandenganKumpulanBHB

yangperlubagioperasiharianKumpulanTakafulMalaysia

sepertiyangdinyatakandalamSeksyen2.3Pekelilingkepada

ParaPemegangSahambertarikh13April2011(“Pekeliling”),

dengansyaratbahawa:

(a)urusniaga tersebut adalah dalam urusan biasa

perniagaan dan mengikut terma yang tidak lebih

memihak kepada pihak berkaitan berbanding yang

secara umumnya tersedia kepada orang ramai dan

mengikut terma yang tidak menjejaskan para pemegang

sahamminoritiSyarikat;




(b) thetransactionsaremadeatarm’slengthandonnormal

commercialterms;and

(c) thedisclosurewillbemadeintheannualreportwiththe

breakdownoftheaggregatevalueofthetransactions

conductedpursuanttothemandateduringthefinancial

year.

anD ThaT such authority shall commence immediately

uponthepassingofthisresolutionandshallcontinuetobe

in force until:

(a) the conclusion of the next annual general meeting of

theCompany,atwhich time itwill lapse,unlessbya

resolution passed at the meeting, the authority is

renewed;

(b) theexpirationoftheperiodwithinwhichthenextannual

generalmeetingafterthedatethatitisrequiredtobe

heldpursuanttoSection143(1)oftheCompaniesAct,

1965(“CA”)(butshallnotextendtosuchextensionas

maybeallowedpursuanttoSection143(2)ofCA);or

(c) revoked or varied by resolution passed by the

shareholders in a general meeting,

whicheveristheearlier”.

(Resolution4)

4. To transact any other business forwhich due notice has

beengiven.

By order of the Board


Company Secretary

Kuala Lumpur

13 april 2011

(b)urusniaga dilaksanakan secara tulus dan mengikut

termakomersialbiasa;dan

(c)penzahiranakandibuatdalamlaporantahunandengan

pecahan nilai agregat urus niaga yang dijalankan

menurutmandatpadatahunkewangan.

DANBAHAWAkelulusantersebutakanbermulaserta-merta

setelahresolusiinidiluluskandanakanterusberkuatkuasa

sehingga:

(a) tamat mesyuarat agung tahunan Syarikat yang akan

datang,dimanamandattersebutakanluput,melainkan

kuasatersebutdiperbaharuimelaluisaturesolusiyang

diluluskandalammesyuarattersebut;

(b)tamat tempoh di mana mesyuarat agung tahunan

berikutnyaselepastarikhiadikehendakiuntukdiadakan

menurut Seksyen 143(1) Akta Syarikat, 1965 (“AS”)

(tetapi tidak melebihi penangguhan seperti yang

dibenarkanmenurutSeksyen143(2)AS);atau

(c)dibatalkanataudipindamelaluiresolusiyangdiluluskan

oleh pemegang saham dalam mesyuarat agung,

yangmanalebihawal”.

(Resolusi4)

4. Untuk melaksanakan sebarang urusan yang mana notis

sewajarnyatelahdiberi.

AtasArahanLembagaPengarah


Setiausaha Syarikat

Kuala Lumpur

13 april 2011


Nota:

1. Seksyen 143(1) Akta Syarikat, 1965 menyatakan bahawa Mesyuarat Agung Tahunan mesti diadakan sekali dalam setiap tahun kalendar. Oleh itu, Mesyuarat Agung Tahunan ke 26 akan datang akan diadakan bagi tahun kalendar 2011. Tiada Penyata Kewangan Beraudit akan dibentangkan pada Mesyuarat Agung Tahunan kali ini. Penyata Kewangan Beraudit 18 bulan untuk tempoh kewangan berakhir 31 Disember 2010 akan dibentangkan pada Mesyuarat Agung Tahunan ke 25.

2. Seorangahliyangberhakhadiruntukmengundidalammesyuaratitulayakuntukmelantikseorangataubeberapaorangproksiuntukhadir dan mengundi bagi pihaknya dan haruslah menyatakanbahagiansahamnyayangdiwakiliolehsetiapproksidanproksiitutidaksemestinyaseorangahliSyarikat.

3. Suratcarapelantikanproksibagiindividuhendaklahditandatanganioleh pelantik atau peguamnya dan dalam hal perbadanan, iamestilah dimeterai atau ditandatangani oleh seorang pegawai atau peguamnyayangtelahdiberikuasasewajarnya.

4. Suratcarapelantikan seorangproksimestilahdihantar kePejabatBerdaftar Syarikat di Tingkat 26, Blok annex, Dataran Kewangan DarulTakaful,No.4,JalanSultanSulaiman,50000KualaLumpur,tidak lewat dari empat puluh lapan (48) jam sebelum waktuyang ditetapkan bagi mengadakan mesyuarat atau sebarangpenangguhannya.

NOTA PENERANGAN KEPADA URUSNIAGA KHAS

(1) Cadangan Mandat Pemegang Saham bagi Urusniaga Pihak Berkaitan yang Berulang Berbentuk Hasil atau Perdagangan

Cadangan Resolusi No. 4, jika diluluskan, akan memberi kuasakepada Syarikat untuk melaksanakan urusniaga pihak berkaitanyangberulangberbentukhasilatauperdaganganyangperlubagioperasi harian Kumpulan Takaful Malaysia dan akan menghapuskan keperluan untukmenjalankanmesyuarat agung yang berasingandari masa ke semasa untuk mendapatkan kelulusan para pemegang saham.Butirancadanganmandatpemegangsahambagiurusniagapihakberkaitanyangberulangberbentukhasilatauperdaganganada dinyatakan di dalam pekeliling kepada pemegang Saham bertarikh13April2011.

Notes:

1. Section 143(1) of the Companies Act, 1965 states that an Annual General Meeting (“AGM”) must be held once in every calendar year. Therefore, the forthcoming 26th AGM of the Company will be held in respect of the calendar year 2011. There will be no Audited Financial Statements tabled at this AGM. The 18 months Audited Financial Statements for the financial period ended 31 December 2010 will be tabled at the 25th AGM.

2. Amemberentitledtoattendandvoteatthemeetingisentitledtoappoint a proxy or proxies to attend and to vote instead of him and shallspecifytheproportionsofhisholdingstoberepresentedbyeachproxyandaproxyneednotbeamemberoftheCompany.

3. Theinstrumentappointingaproxyinthecaseofanindividualshallbe signedby the appointer or his attorney and in the case of acorporation,mustbeundersealorunderthehandofanofficerorattorneydulyauthorised.

4. The instrument appointing a proxy must be deposited at theRegistered Office of the Company at Tingkat 26, Blok Annex,Dataran Kewangan Darul Takaful, No. 4, Jalan Sultan Sulaiman,50000KualaLumpurnot less than forty-eight (48)hoursbeforethetimeforholdingthemeetingoranyadjournmentthereof.

EXPLANATORY NOTE ON SPECIAL BUSINESS

(1) Proposed Shareholders’ Mandate for Recurrent Related Party Transaction of a Revenue or Trading Nature

TheproposedResolutionNo.4,ifpassed,willempowertheCompany

to conduct recurrent related party transactions of a revenue or trading in nature which are necessary for Takaful Malaysia Group’s day to day operations and will eliminate the need to convene separate general meetings from time to time to seek shareholder’ approval.Thedetailson theproposedshareholders’mandate forrecurrent related party transactions of a revenue or trading nature aresetoutintheCirculartoShareholdersdated13April2011.




Statement Accompanying NoticeOf Twenty Fifth Annual General Meeting

TiadaindividuyangdilantiksebagaiPengarah(selaindaripadapengarahyangbersediauntukdilantiksemulaiaituEncikMahadzir

Azizan,Y.Bhg.Dato’SulaimanMohdYusof,Y.Bhg.Dato’PadukaIsmeeIsmaildanEncikZakariaIsmail)dalamMesyuaratAgung

TahunanSyarikatTakafulMalaysiaBerhadyangKeduaPuluhLimaakandatang.

ThereisnoindividualstandingforelectionasDirector(otherthandirectorsstandingforre-electioni.e.EncikMahadzirAzizan,Y.

Bhg.Dato’SulaimanMohdYusof,Y.Bhg.Dato’PadukaIsmeeIsmailandEncikZakariaIsmail)atthisforthcomingTwentyFifth

AnnualGeneralMeetingofSyarikatTakafulMalaysiaBerhad.

mengikut Perenggan 8.27 (2) Keperluan Penyenaraian Pasaran Utama Bursa Malaysia Securities Berhad

pursuant to Paragraph 8.27 (2) of the Main Market Listing Requirements of Bursa Malaysia Securities Berhad

Penyata Mengiringi Notis MesyuaratAgung Tahunan Kedua Puluh Lima


Statement Accompanying NoticeOf Twenty Sixth Annual General Meeting

Tiada individuyangdilantiksebagaiPengarah(selaindaripadapengarahyangbersediauntukdilantiksemula iaituEncikJohan

AbdullahdanY.Bhg.Dato’MohamedHassanMdKamil)dalamMesyuaratAgungTahunanSyarikatTakafulMalaysiaBerhadyang

KeduaPuluhEnamakandatang.

ThereisnoindividualstandingforelectionasDirector(otherthandirectorsstandingforre-electioni.e.EncikJohanAbdullahand

Y.Bhg.Dato’MohamedHassanMdKamil)atthisforthcomingTwentySixthAnnualGeneralMeetingofSyarikatTakafulMalaysia

Berhad.

mengikut Perenggan 8.27 (2) Keperluan Penyenaraian Pasaran Utama Bursa Malaysia Securities Berhad

pursuant to Paragraph 8.27 (2) of the Main Market Listing Requirements of Bursa Malaysia Securities Berhad

Penyata Mengiringi Notis Mesyuarat Agung Tahunan Kedua Puluh Enam


our commitment in values of personal integrityandtobuildtrust.

Integrity



Takaful Keluarga/Family Takaful

Takaful Am/General Takaful

Syarikat/Company

Syarikat/Company

Syarikat/Company

Kumpulan/Group

Kumpulan/Group

Kumpulan/Group

Ringkasan Kewangan Lima Tahun Five Years Financial Highlights

2009

2009 2009

2009 2009

2009524,867

4,372,235 4,118,880

352,851 276,294

433,007

2010

2010 2010

2010 2010

2010839,909

4,944,451 4,619,679

606,354 499,491

679,831

2006

2006 2006

2006 2006

2006451,810

3,164,690 2,983,340

395,410 341,870

375,070

2007

2007 2007

2007 2007

2007558,570

3,481,540 3,291,290

346,370 306,720

470,210

2008

2008 2008

2008 2008

2008647,030

4,047,300 3,796,260

254,440 193,370

529,690

JUMLAH KASAR SUMBANGAN TAKAFUL (RM ’000)/ TOTAL GROSS TAKAFUL CONTRIBUTIONS (RM ’000)

Jumlah Aset (RM ’000)/Total Assets (RM ’000)


Syarikat/CompanyKumpulan/Group

Ringkasan Kewangan Lima Tahun

Five Years Financial Highlights

2009 200948,853 45,325

2010 201097,370 92,664

2006 200641,010 32,590

2007 200722,560 14,360

2008 200833,860 42,660

2009 200912.0 8,853

2010 201010.2 17,096

2006 200612.6 9,348

2007 20077.5

2008 200810.3 8,437

Keuntungan Sebelum Cukai Selepas Zakat (RM ’000)/Profit Before Taxation After Zakat (RM ’000)

Pulangan atas Ekuiti (%)/Return on Equity (%)

Dividen yang dibayar/dicadangkan (Ditolak Cukai) (RM ’000)/Dividend Paid/Proposed (Net of Taxation) (RM ’000)


Syarikat-SyarikatSubsidiari/

SubsidiaryCompanies

47.08%

56.00%

63.09%

57.24%

52.67%

P.T. SYARIKAT

42.73%

Struktur KorporatCorporate Structure


LEMBAGA PENGARAH/BOARD OF DIRECTORS

Pengerusi/Chairman

Y.Bhg.Dato’PadukaIsmeeIsmail

PengarahBukanEksekutifBukanBebas/

Non-IndependentNon-ExecutiveDirector

(Dilantikpada16Disember2009/Appointedon16December2009)

Ahli-ahli/Members

Y.Bhg.Dato’MohamedHassanMd.Kamil

pengarah urusan Kumpulan/Group Managing Director

Y.A.M.TengkuAzmanIbniAlmarhumSultanAbuBakar,

SSap, SIMp, DSap

PengarahBukanEksekutifBebas/

IndependentNon-ExecutiveDirector

(Bersarapada14Mei2010/Retiredon14May2010)

PuanRozaidaOmar



EncikMahadzirAzizan



Y.Bhg.Dato’SulaimanMohdYusof



EncikJohanAbdullah



EncikZakariaIsmail



(Dilantik pada 15 Mei 2010/appointed on 15 May 2010)

SETIAUSAHA/SECRETARY

EncikMohamadAsriHj.Yusoff(MIA14171)

BADAN PENASIHAT SYARIAH/SHARIAH ADVISORY BODY

Pengerusi/Chairman

Y.Bhg.Dr.AhmadShahbari@SobriSalamon

Ahli-ahli/Members

Y.Bhg.UstazMohd.BakirHj.Mansor

Y.Bhg.DatukAbdulHamidSaid

(Bersara pada 1 april 2011/retired on 1 april 2011)

Y.Bhg.Dr.AidaOthman

Y.Bhg.AssociateProfessorDrMuhamadRahimiOsman

(Dilantik pada 12 Januari 2010/appointed on 12 January 2010)

Setiausaha/Secretary

EncikMohamadAsriHj.Yusoff

JAWATANKUASA AUDIT/AUDIT COMMITTEE

EncikMahadzirAzizan

pengerusi/Chairman

Y.A.M.TengkuAzmanIbniAlmarhumSultanAbuBakar,

SSap, SIMp, DSap


PuanRozaidaOmar


EncikZakariaIsmail

(Dilantik pada 15 Mei 2010/appointed on 15 May 2010)

Maklumat Korporat Corporate Information


Maklumat Korporat

Corporate Information

JAWATANKUASA PEMILIHAN/NOMINATION COMMITTEE

EncikZakariaIsmail

pengerusi/Chairman


PuanRozaidaOmar


EncikJohanAbdullah

JAWATANKUASA GANJARAN/REMUNERATION COMMITTEE

EncikMahadzirAzizan

pengerusi/Chairman


EncikJohanAbdullah

EncikZakariaIsmail

JAWATANKUASA PENGURUSAN RISIKO/

RISK MANAGEMENT COMMITTEE

EncikZakariaIsmail

pengerusi/Chairman

EncikMahadzirAzizan


EncikJohanAbdullah


PENGURUSAN/MANAGEMENT


pengarah urusan Kumpulan/Group Managing Director

EncikLeeKokWah

Ketua pegawai Kewangan/ChiefFinancialOfficer

PuanAzianKassim

KetuaPegawaiPelaburan/ChiefInvestmentOfficer

EncikNazrulHishamAbdulHamid

Ketua pegawai audit Dalaman/Chief Internal auditor

EncikLeemWhyChong

pengurus Besar, aktuari & aktuari Dilantik/

General Manager, actuarial & appointed actuary

encik Mohd Suhaimi ahmad

pengurus Besar, agensi runcit/

General Manager, retail agency

PuanShuhaibahtulaslamiahHurmuzan

PengurusBesar,SumberManusia/

General Manager, human resource

EncikPatrickWongChangYang

Ketua pegawai Informasi/ChiefInformationOfficer

encik Mark anthony nathan

pengurus Besar, perancangan Korporat & Bancatakaful/

General Manager, Corporate planning & Bancatakaful


Maklumat Korporat

Corporate Information

KETUA PEGAWAI EKSEKUTIF BAGI SYARIKAT SUBSIDIARI/

CHIEF EXECUTIVE OFFICER OF SUBSIDIARY COMPANIES

EncikIzzuddinTajudin

Ketua pegawai eksekutif, asean retakaful International (L) Ltd/

ChiefExecutiveOfficer,AseanRetakafulInternational(L)Ltd

JURUAUDIT/AUDITORS

KPMGDesaMegat&Co.(AF0759)

Chartered accountants

Level 10, KpMG Tower

8, First avenue

Bandar utama

47800PetalingJaya

Selangor Darul ehsan

Tel : 603-77213388

Fax : 603-77213399

PEJABAT BERDAFTAR/REGISTERED OFFICE

Tingkat 26, Blok annex

Dataran Kewangan Darul Takaful

No.4,JalanSultanSulaiman

50000 Kuala Lumpur

Tel : 603-22681984

Fax : 603-22742864

Email : [email protected]

Website: takaful-malaysia.com.my

PENDAFTAR/REGISTRAR

SymphonyShareRegistrarsSdnBhd(378993-D)

Level 6, Symphony house

pusat Dagangan Dana 1

JalanPJU1A/46

47301PetalingJaya

Selangor

Tel : +603-78418000

Fax : +603-78418151/52

Website: www.symphony.com.my

TEMPAT DITUBUHKAN DAN DOMISIL/

PLACE OF INCORPORATION AND DOMICILE

Malaysia

PENYENARAIAN BURSA/BURSA LISTING

pasaran utama/Main Market

Bursa Malaysia Securities Berhad


our dedication to teamwork is a testament of ourunityandourtrusttowardseachother.

Teamwork



Y.Bhg.Dato’PadukaIsmeeIsmail,berusia46tahunadalahwarganegaraMalaysiadan telahdilantik sebagai PengerusiBukan Eksekutif Bukan Bebas Takaful Malaysia pada 16Disember2009.

Beliau adalah ahli fellow Chartered Institute of Management accountants (CIMa) dan ahli Institut akauntan Malaysia (MIA).

Beliau kini merupakan pengarah urusan Kumpulan dan Ketua Pegawai Eksekutif Lembaga Tabung Haji. Sebelumitu, beliau merupakan Ketua Pegawai Eksekutif ECM LibraSecuritiesSdnBhddanPengarahECMLibraCapitalSdnBhd.Beliaujugapernahberkhidmatdenganbeberapaorganisasidalam pelbagai kapasiti antaranya selaku Pengurus BesarKanan Kewangan, Lembaga Tabung Haji; Ketua AkauntandiPengurusanDanahartaNasionalBerhad;PengurusBesarPembangunan Perniagaan di Arab Malaysian DevelopmentBerhaddanbeberapa jawatanberkaitankewangandiShellMalaysiaTradingSdnBhd.BeliaujugaadalahPengarahBIMBholdings Berhad, Bank Islam Malaysia Berhad, Th plantations Berhad, KFC Holdings (Malaysia) Berhad dan beberapasyarikatlain.

Beliautidakmempunyaiperhubungankekeluargaandenganmana-mana pengarah/pemegang saham utama TakafulMalaysia dan tidak mempunyai percanggahan kepentingan dengan Takaful Malaysia. Beliau tidak pernah disabitkandengan apa-apa kesalahan dalam tempoh sepuluh (10)tahun yang lalu dan telah menghadiri sepuluh (10) mesyuarat Lembaga Pengarah yang telah diadakan sepanjang lapanbelas (18) bulan tempoh kewangan berakhir 31 Disember2010.

Y. Bhg. Dato’ Paduka Ismee IsmailPengerusi/

Chairman

Profil Lembaga PengarahBoard of Directors’ Profile

Y.Bhg.Dato’Paduka Ismee Ismail, aged46, isaMalaysiancitizen and was appointed to the Board on 16 December2009 as a Non-Independent Non-Executive Chairman ofTakafulMalaysia.

HeisafellowmemberofCharteredInstituteofManagementAccountants(CIMA)andamemberoftheMalaysianInstituteofAccountants(MIA).

he is currently the Group Managing Director and Chief ExecutiveOfficerofLembagaTabungHaji.Priortothat,hewastheChiefExecutiveOfficerofECMLibraSecuritiesSdnBhdandaDirectorofECMLibraCapitalSdnBhd.Hehasalsoserved several organisations in various capacities including thatofSeniorGeneralManagerofFinance,LembagaTabungHaji; Chief Accountant at Pengurusan Danaharta NasionalBerhad;GeneralManagerofBusinessDevelopmentatArabMalaysianDevelopmentBerhadandhasheldseveralfinance-related positions at Shell Malaysia Trading Sdn Bhd. He isalso a Director of BIMB holdings Berhad, Bank Islam Malaysia Berhad, Th plantations Berhad, KFC holdings (Malaysia) Berhadandseveralothercompanies.

he has no family relationship with any other directors/major shareholdersofTakafulMalaysia andhasnoconflictof interestwith TakafulMalaysia. He has no conviction foroffences within the past ten (10) years and has attended ten (10) Board of Director’s meetings held during the eighteen (18)monthsfinancialperiodended31December2010.


Y. Bhg. Dato’ Mohamed Hassan Md. Kamil, aged 48, is aMalaysiancitizenandwasappointedtotheBoardofTakafulMalaysia on 1 September 2006 as a Non-Independent Non-ExecutiveDirector.HeiscurrentlytheGroupManagingDirectorofTakafulMalaysiasince1April2007.Heisamemberof the remuneration Committee, nomination Committee and RiskManagementCommittee.HeisalsotheChairmanoftheBoard of Commissioners of P.T. Syarikat Takaful IndonesiaandP.T.AsuransiTakafulKeluarga.

he graduated with a Bachelor of Science degree in actuarial Science and Master in Business administration from the University of Iowa, USA. He is a Fellow of the Society ofActuaries, USA, a member of the American Academy ofActuariesandaCharteredLifeUnderwriter.

He worked in the United States as an Actuary from 1987to 1994 prior to returning to Malaysia as Deputy GeneralManager atMalaysiaNational Insurance. In 1996, he joinedInG Insurance Berhad (previously known as aetna universal Insurance) as Senior Vice President and Chief Actuary. In2004,hebecametheDeputyGeneralManagerforP.T.AIAIndonesia. Hewas an ExecutiveDirector of BIMBHoldingsBerhadfromApril2006untilMarch2007.

he has no family relationship with any other directors/major shareholdersofTakafulMalaysiaandhasnoconflictofinterestwithTakafulMalaysia.Hehasnoconvictionforoffenceswithinthe past ten (10) years and has attended sixteen (16) Board of Directors’ meeting held during the eighteen (18) months financialperiodended31December2010.

Y.Bhg.Dato’MohamedHassanMd.Kamil,berusia48tahun,adalah warganegara Malaysia dan dilantik ke LembagaPengarahTakafulMalaysiapada1September2006sebagaiPengarah Bukan Eksekutif Bukan Bebas. Beliau kini adalahPengarahUrusanKumpulanbagiTakafulMalaysiasejak1April2007. Beliau juga merupakan ahli Jawatankuasa Ganjaran,Jawatankuasa pemilihan dan Jawatankuasa pengurusan Risiko.BeliaujugamerupakanPengerusiLembagaKomisarisP.T. Syarikat Takaful Indonesia dan P.T. Asuransi Takafulkeluarga.

Beliau merupakan graduan Sarjana Muda Sains dalam bidang Sains Aktuari dan Sarjana Pentadbiran Perniagaandari University of Iowa, USA. Beliau juga adalah Fellow ofthe Society of actuaries, uSa, ahli american academy of ActuariesdanCharteredLifeUnderwriter.

BeliautelahbekerjadiAmerikaSyarikatsebagaiAktuaridaritahun1987hingga1994sebelumpulangkeMalaysiasebagaiTimbalanPengurusBesardiMalaysiaNationalInsurance.Padatahun1996,beliaumenyertaiINGInsuranceBerhad(sebeluminidikenalisebagaiAetnaUniversalInsurance)sebagaiNaibPresidenKanandanKetuaAktuari.Padatahun2004,beliaumenjadi Timbalan Pengurus Besar bagi P.T. AIA Indonesia.Beliau merupakan pengarah eksekutif BIMB holdings Berhad mulaiApril2006hinggaMac2007.

Beliautidakmempunyaiperhubungankekeluargaandenganmana-mana pengarah/pemegang saham utama TakafulMalaysia dan tidak mempunyai percanggahan kepentingan dengan Takaful Malaysia. Beliau tidak pernah disabitkandenganapa-apakesalahandalamtempohsepuluh(10)tahunyang laludan telahmenghadiri enambelas (16)mesyuaratLembaga Pengarah yang telah diadakan sepanjang lapanbelas (18) bulan tempoh kewangan berakhir 31 Disember2010.

Profil Lembaga Pengarah

Board of Directors’ Profile

Y. Bhg. Dato’ Mohamed Hassan Md. KamilPengarah Urusan Kumpulan/Group Managing Director


Puan Rozaida Omar, aged 48, is a Malaysian citizen andis a Non-Independent Non-Executive Director of TakafulMalaysiaandwasappointedto theBoardon 15May2007.SheisalsoamemberoftheAuditCommitteeandNominationCommittee.

She is a Chartered Accountant (M) and a member of theAssociation of Chartered Certified Accountants (ACCA)UnitedKingdomsince1986.

She started her career as a Financial accountant at FeLDa in 1986. In 1990, shebecameaCreditManager atCitibankBerhaduntil1991.ShethenjoinedGuthrieTradingSdnBhdin1992asaFinanceManageruntil1993.Afterthat,shebecamea Finance Director of Glaxo SmithKline Consumer healthcare SdnBhd from 1994 until 2003. She is currently theGroupChiefFinancialOfficerofLembagaTabungHajisince2004.She is also a Director of pelikan International Corporation BerhadandBIMBHoldingsBerhad.

She has no family relationship with any other directors/major shareholdersofTakafulMalaysiaandhasnoconflictofinterestwith Takaful Malaysia. She has no conviction for offenceswithin the past ten (10) years and has attended seventeen (17)BoardofDirectors’meetingheldduringtheeighteen(18)monthsfinancialperiodended31December2010.

PuanRozaidaOmar,berusia48tahun,adalahwarganegaraMalaysiadantelahdilantiksebagaiPengarahBukanEksekutifBukan Bebas Takaful Malaysia pada 15 Mei 2007. Beliaujuga merupakan ahli Jawatankuasa audit dan Jawatankuasa Pemilihan.

Beliau adalah akauntan Bertauliah (M) dan merupakan ahli Association of Chartered Certified Accountants (ACCA)UnitedKingdomsejaktahun1986.

Beliaumemulakankerjayanya sebagaiAkauntanKewangandiFELDApadatahun1986.Padatahun1990,beliaumenjadiPengurus Kredit di Citibank Berhad sehingga tahun 1991.Beliau kemudiannya menyertai Guthrie Trading Sdn Bhd pada tahun 1992 sebagai Pengurus Kewangan sehinggatahun1993.Selepasitu,beliaumenjadiPengarahKewangandi Glaxo SmithKline Consumer healthcare Sdn Bhd dari tahun 1994sehinggatahun2003.KinibeliauadalahKetuaPegawaiKewangan Kumpulan di Lembaga TabungHaji sejak tahun2004.BeliaujugamerupakanPengarahPelikanInternationalCorporationBerhaddanBIMBHoldingsBerhad.

Beliautidakmempunyaiperhubungankekeluargaandenganmana-mana pengarah/pemegang saham utama TakafulMalaysia dan tidak mempunyai percanggahan kepentingan dengan Takaful Malaysia. Beliau tidak pernah disabitkandenganapa-apakesalahandalamtempohsepuluh(10)tahunyang lalu dan telahmenghadiri tujuh belas (17)mesyuaratLembaga Pengarah yang telah diadakan sepanjang lapanbelas (18) bulan tempoh kewangan berakhir 31 Disember2010.

Puan Rozaida OmarPengarah Bukan Eksekutif Bukan Bebas/

Non-Independent Non-Executive Director




EncikMahadzirAzizan,berusia62tahun,adalahwarganegaraMalaysiadantelahdilantiksebagaiPengarahBukanEksekutifBebasTakafulMalaysiapada1September2007.Beliaujugamerupakan pengerusi Jawatankuasa audit dan Jawatankuasa Ganjaran dan ahli Jawatankuasa Pengurusan Risiko. Beliaujuga merupakan ahli Lembaga Komisaris P. T. AsuransiTakafulKeluarga.

BeliaumemperolehikelulusanBarrister-At-LawdariLincoln’sInn, London, united Kingdom dan diterima masuk ke english Barpadatahun1978.

Beliau telahmemegangpelbagai jawatanpentingdidalamsektor awam dan swasta. Selepas tamat pengajian, beliautelah menyertai perkhidmatan perundangan dan Kehakiman KerajaanMalaysiasebagaiTimbalanPendakwarayaAwamdanPenasihat Undang-Undang. Beliau kemudiannya menyertaisektor swasta dan berkhidmat di Malaysian InternationalShipping Corporation (“MISC”) dan Island & PeninsularBerhad, syarikat hartanah permodalan nasional Berhad (“PNB” ) selama24 tahun.Semasadi sektor swasta,beliaujugatelahberkhidmatsebagaiAhliMajlisMARA,PengarahTHPropertiesSdnBhddan jugasebagaiPengarahdipelbagaisyarikatberkaitanKerajaan.Kini,beliaumerupakanPengarahECM Libra Financial Group Berhad, ECM Libra InvestmentBankBerhad,Avenue InvestBerhaddanbeberapasyarikatlain.

Beliautidakmempunyaiperhubungankekeluargaandenganmana-mana pengarah/pemegang saham utama TakafulMalaysia dan tidak mempunyai percanggahan kepentingan dengan Takaful Malaysia. Beliau tidak pernah disabitkandenganapa-apakesalahandalamtempohsepuluh(10)tahunyang laludan telahmenghadiri enambelas (16)mesyuaratLembaga Pengarah yang telah diadakan sepanjang lapanbelas (18) bulan tempoh kewangan berakhir 31 Disember2010.

EncikMahadzirAzizan,aged62,isaMalaysiancitizenandisanIndependentNon-ExecutiveDirectorofTakafulMalaysiaandwasappointedtotheBoardon1September2007.Heisalso the Chairman of the audit Committee and remuneration CommitteeandamemberofRiskManagementCommittee.HeisalsoamemberoftheBoardofCommissionersofP.T.AsuransiTakafulKeluarga.

He isaBarrister-At-LawfromLincoln’s Inn,London,UnitedKingdomandwascalledtotheEnglishBarin1978.

Hehasheldkeypositionsbothinprivateandpublicsector.after graduation, he joined the Judicial and Legal Service of the Malaysian Government as a Deputy Public Prosecutorand Federal Counsel and subsequently ventured into theprivate sector and served Malaysian International Shipping Corporation (“MISC”) and Island & Peninsular Berhad, theproperty arm of Permodalan Nasional Berhad (“PNB”) for24years.Whilstintheprivatesector,healsoservedasAhliMajlis Mara, Director of Th properties Sdn Bhd as well as variousotherdirectorshipsingovernmentlinkedcompanies.Currently,heisalsoaDirectorofECMLibraFinancialGroupBerhad,ECMLibra InvestmentBankBerhad,Avenue InvestBerhadandseveralothercompanies.

he has no family relationship with any other directors/major shareholdersofTakafulMalaysiaandhasnoconflictofinterestwithTakafulMalaysia.Hehasnoconvictionforoffenceswithinthe past ten (10) years and has attended sixteen (16) Board of Directors’ meeting held during the eighteen (18) months financialperiodended31December2010.

Encik Mahadzir AzizanPengarah Bukan Eksekutif Bebas/Independent Non-Executive Director




Y.Bhg.Dato’SulaimanMohdYusof,aged60,isaMalaysiancitizen and is an Independent Non-Executive Director ofTakaful Malaysia and was appointed to the Board on 1 January 2008.HeisamemberoftheAuditCommittee,NominationCommitteeandRiskManagementCommittee.HeisalsotheChairmanofAseanRetakafulInternational(L)Ltd.

he graduated with a Bachelor of Law (LLB) degree from the UniversityofBuckingham,UnitedKingdomin1984andwascalledtotheMalaysianBarin1986.

he started his career as a Cadet reporter Trainee with BernamaNewsAgency in 1969.Later in the sameyear,hejoinedRoyalMalaysiaPolice.Heassumedvariouspositionsat the royal Malaysia police such as Deputy Superintendent of Personnel, Secretary responsible for the IGP, TunHaniffOmar, Police Officer for District of Sentul, Alor Setar andSungai petani and assistant Commissioner with research andPlanningatBukitAman.In2002,hebecametheDeputyDirector Management (Discipline), in 2003 as Deputy Director Narkotics Department, in 2004 as the Chief Police OfficerNegeri Sembilan, in 2005 as Deputy Director CommercialCrime Investigation Department and in 2006 as Chief police OfficerofKualaLumpuruntilhisretirement.InApril2007,hestartedhisownlegalfirm,Sulaiman&Saif.HeisalsoaDirectorofAWCBerhadandotherprivatelimitedcompanies.

he has no family relationship with any other directors/major shareholdersofTakafulMalaysiaandhasnoconflictofinterestwithTakafulMalaysia.Hehasnoconvictionforoffenceswithinthe past ten (10) years and has attended sixteen (16) Board of Director’s meeting held during the eighteen (18) months financialperiodended31December2010.

Y.Bhg.Dato’SulaimanMohdYusof,berusia60tahun,adalahwarganegaraMalaysia dan telah dilantik sebagai PengarahBukanEksekutifBebasTakafulMalaysiapada1Januari2008.Beliau merupakan ahli Jawatankuasa audit, Jawatankuasa PemilihandanJawatankuasaPengurusanRisiko.BeliaujugamerupakanPengerusiAseanRetakafulInternational(L)Ltd.

Beliau memperolehi Ijazah Sarjana Muda Undang-undang(LLB) dari university of Buckingham, united Kingdom pada tahun1984danditerimamasukkeMalaysianBarpadatahun1986.

Beliau memulakan kerjayanya sebagai Pelatih WartawanKadet dengan Agensi Berita Bernama pada tahun 1969.Seterusnyapadatahunyangsama,beliaumenyertaiPolisDiRajaMalaysia.BeliaumenjawatpelbagaijawatandalamPolisDi Raja Malaysia seperti Timbalan Superitendan Personel,Setiausaha yang bertanggungjawab kepada Ketua Polisnegara,Tun haniff omar, pegawai polis Daerah Sentul, alor Setar dan Sungai petani dan penolong pesuruhjaya Penyelidikan dan Perancangan di Bukit Aman. Pada tahun2002, beliau menjadi Timbalan Pengarah Pengurusan(Disiplin),TimbalanPengarahJabatanNarkotikpada tahun2003, Ketua Polis Negeri Sembilan pada tahun 2004,Timbalan Pengarah, Jabatan Siasatan Jenayah Komersialpada tahun 2005 dan sebagai Ketua Polis Kuala Lumpurpadatahun2006sehinggapersaraanbeliau.PadabulanApril2007,beliaumembukasyarikatguamannyasendiri,Sulaiman& Saif. Beliau jugamerupakan PengarahAWCBerhad danbeberapasyarikatsendirianberhadyanglain.

Beliautidakmempunyaiperhubungankekeluargaandenganmana-mana pengarah/pemegang saham utama TakafulMalaysia dan tidak mempunyai percanggahan kepentingan dengan Takaful Malaysia. Beliau tidak pernah disabitkandenganapa-apakesalahandalamtempohsepuluhtahun(10)yang laludan telahmenghadiri enambelas (16)mesyuaratLembaga Pengarah yang telah diadakan sepanjang lapanbelas (18) bulan tempoh kewangan berakhir 31 Disember2010.

Y. Bhg. Dato ’ Sulaiman Mohd YusofPengarah Bukan Eksekutif Bebas /

Independent Non-Executive Director




EncikJohanAbdullah,berusia54tahun,adalahwarganegaraMalaysia dan merupakan pengarah Bukan eksekutif Bukan Bebas Takaful Malaysia dan telah dilantik pada 15 Ogos2008.Beliau jugamerupakan ahli JawatankuasaPemilihan,Jawatankuasa pengurusan risiko dan Jawatankuasa Ganjaran.

Beliau memperolehi Diploma Perbankan dari UniversitiTeknologiMARA,ShahAlampadatahun1983,IjazahSarjanaMuda Pentadbiran Perniagaan (Kewangan) dari EasternMichigan university, Michigan, uSa pada tahun 1985 dan Ijazah Sarjana Pentadbiran Perniagaan (Kewangan) dariMoreheadStateUniversity,Kentucky,USApadatahun1986.

Beliaumemulakan kerjaya profesionalnya pada tahun 1987di Kuala Lumpur Stock exchange (sekarang ini dikenali sebagaiBursaMalaysiaSecuritiesBerhad)sebagaiPegawaiPenyenaraian. Pada tahun 1989, beliaumenyertai bahagianKewangan Korporat di Bumiputra Merchant Bankers Berhad danmeletakjawatanpadaawaltahun1995sebagaiPengurusKanan. Beliau kemudiannya menyertai Damansara RealtyBerhad sebagai Pengurus Besar, Perancangan Korporat.Seterusnyapadatahun1999,beliaumenyertaisemulaBursaMalaysia Securities Berhad dan telah memegang pelbagaijawatan kanan termasuk Deputy Chief Regulatory Officer,Group Regulation. Pada bulan Mei 2008, beliau menyertaiBIMB Holdings Berhad (“BHB”) sebagai Pengarah UrusanKumpulan/KetuaPegawaiEksekutif.BeliaujugamerupakanPengarahBankIslamMalaysiaBerhaddananak-anaksyarikatdidalamkumpulanBHB.

Beliautidakmempunyaiperhubungankekeluargaandenganmana-mana pengarah/pemegang saham utama TakafulMalaysia dan tidak mempunyai percanggahan kepentingan dengan Takaful Malaysia. Beliau tidak pernah disabitkandenganapa-apakesalahandalamtempohsepuluhtahun(10)yang laludan telahmenghadiri enambelas (16)mesyuaratLembaga Pengarah yang telah diadakan sepanjang lapanbelas (18) bulan tempoh kewangan berakhir 31 Disember2010.

EncikJohanAbdullah,aged54,isaMalaysiancitizenandisaNon-IndependentNon-ExecutiveDirectorofTakafulMalaysiaandwasappointedtotheBoardon15August2008.HeisalsoamemberoftheNominationCommittee,RiskManagementCommitteeandRemunerationCommittee.

He obtained a Diploma in Banking from UniversityTechnology Mara, Shah alam in 1983, a Bachelor of Business administration (Finance) from eastern Michigan university, Michigan, uSa in 1985 and a Master in Business administration (Finance) from Morehead State university, Kentucky, uSa in 1986.

Hestartedhisprofessionalcareerin1987withKualaLumpurStock exchange (currently known as Bursa Malaysia Securities Berhad) as Listing Officer. In 1989, he joined CorporateFinance division of Bumiputra Merchant Bankers Berhad and leftthebankinearly1995asSeniorManager.LaterhejoinedDamansara realty Berhad as General Manager, Corporate Planning.Subsequently intheyear1999,here-joinedBursaMalaysia Securities Berhad and took up various senior positionsincludingthatofDeputyChiefRegulatoryOfficer,Group Regulation. In May 2008, he joined BIMB HoldingsBerhad(“BHB”)asGroupManagingDirector/ChiefExecutiveOfficer.HeisalsoadirectorofBankIslamMalaysiaBerhadandothersubsidiarieswithinBHBGroup.

he has no family relationship with any other directors/major shareholdersofTakafulMalaysiaandhasnoconflictofinterestwithTakafulMalaysia.Hehasnoconvictionforoffenceswithinthe past ten (10) years and has attended sixteen (16) Board of Director’s meeting held during the eighteen (18) months financialperiodended31December2010.

Encik Johan AbdulahPengarah Bukan Eksekutif Bukan Bebas /Non-Independent Non-Executive Director






Encik Zakaria Ismail, aged 59, is a Malaysian citizen andis an Independent Non-Executive Director of TakafulMalaysia andwasappointed to theBoardon 15May2010.he is the Chairman of the nomination Committee and risk ManagementCommitteeandamemberofAuditCommitteeandRemunerationCommittee.

He obtained his Bachelor of Economics (Honours) fromthe University of Malaya in 1974, and Master in Businessadministration and Master of arts in economics from Boston University,USA in 1981and 1983respectively.He isalsoanassociateofTheInstituteofBankers,London.

he started his career with Bank negara Malaysia (BnM) in 1974andassumedvariouspositionssuchasSeniorExecutive,BankingSupervision;PrivateSecretary,OfficeoftheGovernor;Senior Executive, Economics; Assistant to the ExecutiveDirector,SouthEastAsiaGroupIMF,inWashington,D.C.USA;Manager,Economics;Manager,BankingSupervision;DeputyDirector, Investment;DeputyDirector,BankingSupervision;Director,BankingSupervision;Director,InsuranceSupervisionandDirector,InsuranceRegulation.HewassecondedtotheEntrepreneursRehabilitationFundas itsManagingDirectorin 2002 until 2004 and then was seconded to The Southeast asian Central Banks research and Training Centre as itsDirectorofTrainingandAdministration from2004untilhisretirementin2007.HewasalsoaBoardmemberoftheMalaysianInsuranceInstitute(MII)andmemberoftheEXCOofMII from 2000 until 2002. Currently, he is also aBoardmemberofExport-ImportBankofMalaysiaBerhad.

he has no family relationship with any other directors/major shareholdersofTakafulMalaysia andhasnoconflictof interestwith TakafulMalaysia. He has no conviction foroffences within the past ten (10) years and has attended six (6) Board of Director’s meeting held during the eighteen (18) monthsfinancialperiodended31December2010.

Encik Zakaria Ismail, berusia 59 tahun, adalah warganegaraMalaysia dan merupakan Pengarah Bukan Eksekutif BebasTakaful Malaysia dan telah dilantik pada 15 Mei 2010.Beliau merupakan pengerusi Jawatankuasa pemilihan dan Jawatankuasa pengurusan risiko dan ahli Jawatankuasa audit danJawatankuasaGanjaran.

BeliaumemperolehiIjazahSarjanaMudaEkonomi(Kepujian)dariUniversitiMalayapadatahun1974danSarjanaPentadbiranperniagaan dan Sarjana Sastera dalam ekonomi dari universiti Boston,AmerikaSyarikat,masing-masingpadatahun1981dan1983. Beliau jugamerupakan ahli bersekutu The Institute ofBankers,London.

Beliau memulakan kerjayanya di Bank negara Malaysia pada tahun1974danmemegangpelbagaijawatansepertiEksekutifKanan, Penyeliaan Perbankan; Setiausaha Sulit, PejabatGabenor,EksekutifKanan,Ekonomi;PenolongkepadaPengarahEksekutif, South East Asia Group IMF, di Washington, D.CAmerika Syarikat; Pengurus, Ekonomi; Pengurus, PenyeliaanPerbankan,TimbalanPengarah,Pelaburan;TimbalanPengarah,Penyeliaan Perbankan; Pengarah, Penyeliaan Perbankan;pengarah, penyeliaan Insurans dan pengarah, pengawalan Insurans.BeliaumerupakanPengarahUrusandiEntrepreneursRehabilitation Fund pada tahun 2002 sehingga 2004 danmerupakanPengarahLatihandanPentadbirandiTheSoutheast asian Central Banks research and Training Centre pada tahun 2004 sehingga persaraan beliau pada tahun 2007.Beliau jugamerupakanahliLembagaPengarahdiMalaysianInsurance Institute (MII)danahliEXCOMIIdari tahun2000sehingga2002.Kini,beliaumerupakanahlilembagaPengarahExport-ImportBankofMalaysiaBerhad.

Beliau tidakmempunyai perhubungan kekeluargaandenganmana-mana pengarah/pemegang saham utama TakafulMalaysia dan tidak mempunyai percanggahan kepentingan dengan Takaful Malaysia. Beliau tidak pernah disabitkandenganapa-apakesalahandalamtempohsepuluhtahun(10)yanglaludantelahmenghadirienam(6)mesyuaratLembagaPengarah yang telah diadakan sepanjang lapan belas (18)bulantempohkewanganberakhir31Disember2010.

Encik Zakaria IsmailPengarah Bukan Eksekutif Bebas /

Independent Non-Executive Director


Profil Badan Penasihat SyariahShariah Advisory Body’s Profile

Y. Bhg. Dr. Ahmad Shahbari @ Sobri Salamon

Y.Bhg.Dr.AhmadShahbari@SobriSalamonberusia68tahun,adalah warganegara Malaysia dan merupakan pengerusi Badan penasihat Syariah (BpS) Takaful Malaysia yang telah dilantik pada1Julai1985.

Beliau memperolehi Ijazah Sarjana Muda Sastera dalamSyariah, dari Universiti Al–Azhar, Mesir pada tahun 1970,SarjanaSasteradalamPengajianAntarabangsadariUniversitiFairleigh Dickenson, Amerika Syarikat pada tahun 1973 dankemudianmelanjutkan pengajian di peringkat Ijazah DoktorFalsafah dalam Sejarah di universiti newYork, amerika Syarikat padatahun1979.

Beliau memulakan kerjayanya pada tahun 1978 sebagaiPensyarah di Jabatan Syariah, Fakulti Pengajian Islam,Universiti KebangsaanMalaysia (UKM) sebelumdipinjamkanke Universiti Islam Antarabangsa (UIAM) dari tahun 1983hingga 1984. Semasa di UKM, beliau telah dilantik sebagaiPenyelarasbagiPendidikanUmumdaritahun1981hingga1982.Padatahun1982,beliauberkhidmatsebagaiPemangkuKetuaJabatanSyariah.BeliaujugamerupakanPenyelarasProgramDiplomadanSijilPengajian IslamUKMsehinggatahun 1983.Beliau kembali keUKMpada tahun 1984 sebagaiPensyarahdi Jabatan Syariah sehingga tahun 1985. Kemudian beliaumenjadi pengarah eksekutif pusat rawatan Islam (MaIS) dari tahun 1996 hingga 1999. Kini, beliau merupakan PengerusiPusrawiCorporationSdnBhd.

Beliau telahmenghasilkan tulisan dalam bidang pendidikan,ekonomi,perbankanIslamdanperundanganIslamsebanyak12buahbuku,7jilidterjemahan,300skriptvdan40kertaskerja.Beliau juga dianugerahkan sebagai ‘Tokoh Ulamak BestariNegeriSelangor’padatahun2000,‘TokohMa’alHijrahNegeriSelangor’ pada tahun 2001 dan ahli Majlis agama Islam negeri Selangorselama21tahun.

Y.Bhg.Dr.AhmadShahbari@SobriSalamon,aged68, isaMalaysiancitizenandistheChairmanoftheShariahAdvisoryBody (SaB) of Takaful Malaysia who was appointed on 1 July 1985.

he graduated with a Bachelor of arts degree in Shariah from theUniversityofAl-Azhar,Egyptin1970,aMasterofArtsinInternational Studies from Fairleigh Dickenson university, uSa in1973andaDoctorofPhilosophyinHistoryfromNewYorkUniversity,USAin1979.

He started his career in 1978 as a Lecturer at the ShariahDepartment,FacultyofIslamicStudies,UniversitiKebangsaanMalaysia (uKM) prior to his secondment to the International IslamicUniversityMalaysia (IIUM) from 1983 to 1984.Whilstwith uKM, he was appointed as the Coordinator for the General Teachingsfrom1981to1982.In1982,heservedastheActingHeadoftheShariahDepartment.HewasalsotheProgrammeCoordinatorforDiplomaandCertificateinIslamicStudiesofUKMuntil1983.HereturnedtoUKMin1984asaLecturerintheShariahDepartmentuntil1985.HethenbecameanExecutiveDirectorofPusatRawatanIslam(MAIS)from1996to1999.Atpresent,heistheChairmanofPusrawiCorporationSdnBhd.

he has produced writings in educational, economy, Islamic banking and Islamic law, a total of 12 books, 7 translationbindery, 300 tv scripts and 40 paper works. He was alsoawarded ‘Tokoh Ulamak Bestari Negeri Selangor’ in 2000,‘TokohMa’alHijrahNegeriSelangor’in2001andamemberofReligiousCouncilofSelangorStatefor21years.


Profil Badan Penasihat Syariah

Shariah Advisory Body’s Profile

Y. Bhg. Ustaz Mohd Bakir Hj. Mansor

Y.Bhg.UstazMohdBakirHj.Mansor,aged74,isaMalaysiancitizenandisamemberoftheShariahAdvisoryBody(SAB)ofTakafulMalaysiawhowasappointedon1July2002.

He obtained the Shahadah Ulya (Highest Certificate) fromKolejIslamMalayain1967.

he started his career as a temporary teacher at Madrasah MashhoorIslamiyah,PulauPinangfrom1967to1970.Hethenserved as a temporary Information Officer at the NationalCouncilforIslamicReligiousAffairsMalaysiafrom1971to1973;asanIslamicAffairsOfficerattheIslamicAffairsDivision,thePrimeMinister’sDepartmentfrom1973to1977;astheReligiousEducation Planning Officer at Development CommunityDepartment, Ministry of Agriculture from 1978 to 1980; asan assistant Documentation Director at the Islamic affairs Division, the prime Minister’s Department from 1980 to 1981 and as a Chief assistant Director of Islamic research Centre from 1981 to 1984.He thenservedatBank IslamMalaysiaBerhadas Shariah Coordinator cum Secretary to the Bank’s Shariah Supervisory Council from 1984 to 2001. He was previouslyan Internal research Fellow for Centre of Fiqh Muamalat at Islamic Banking and Finance Institute Malaysia (IBFIM) from 2 January2001until30June2009.

he is currently a Distinguished Shariah advisor for Centre of Fiqh Muamalat effective from 1 July 2009. He is also amember of the Shariah Supervisory Council of Bank IslamMalaysiaBerhad,amemberoftheShariahPanelofAmanahIkhtiar Malaysia, the Chairman of Shariah advisory Committee of BIMB Securities Sdn Bhd, the Chairman of the Shariah advisory Committee of the association of Islamic Banking Institutions Malaysia and the Chairman of the Shariah advisory Committee of the Employees Provident Fund. Before beingappointedasamemberofSABofTakafulMalaysiaon1July2002, he was the Secretary of SaB of Takaful Malaysia since its inceptionin1985toDecember2001.

Y.Bhg.UstazMohdBakirHj.Mansor,berusia74tahun,adalahwarganegara Malaysia dan merupakan ahli Badan penasihat Syariah (BpS) Takaful Malaysia yang telah dilantik pada 1 Julai 2002.

Beliau memperolehi Shahadah ulya (Sijil Tertinggi) dari Kolej IslamMalayapadatahun1967.

Beliau telahmemulakan kerjayanya sebagai guru sementaradi Madrasah Mashhoor Islamiyah, pulau pinang dari tahun 1967 hingga 1970. Beliau kemudiannya berkhidmat sebagaiPegawai Penerangan sementara di Majlis Kebangsaan HalEhwal Agama IslamMalaysiamulai tahun 1971 hingga 1973;sebagaiPegawaiHalEhwalIslamdiBahagianHalEhwalIslam,JabatanPerdanaMenteridaritahun1973hingga1977;sebagaiPegawaiPerancanganPendidikanUgamadiJabatanKemajuanMasyarakat, Kementerian Pertanian dari tahun 1978 hingga1980; sebagaiPenolongPengarahDokumentasi diBahagianHalEhwal Islam, JabatanPerdanaMenterimulai tahun 1980hingga 1981 dan sebagai seorangKetuaPenolongPengarahPusatPenyelidikan Islamdari tahun1981hingga1984.BeliaukemudiannyaberkhidmatdenganBankIslamMalaysiaBerhadsebagai Koordinator Syariah merangkap Setiausaha MajlisPengawasanSyariahuntukBank-bankdaritahun1984hingga2001. Beliau pernah berkhidmat sebagai Internal ResearchFellowforCentreofFiqhMuamalatdiInstitutPerbankandanKewangan Islam Malaysia (IBFIM) dari 2 Januari 2001 hingga 30Jun2009.

Beliau kini merupakan Distinguished Shariah advisor for Centre of Fiqh Muamalat berkuatkuasa dari 1 Julai 2009.Beliau juga adalah ahli Majlis pengawasan Syariah Bank Islam Malaysia Berhad, ahli Jawatankuasa panel Syariah amanah Ikhtiar Malaysia, pengerusi Jawatankuasa penasihat Syariah BIMB Securities Sdn Bhd, pengerusi Jawatankuasa penasihat Syariah Persatuan Institusi Perbankan Islam Malaysia danPengerusi JawatankuasaPenasihatSyariahKumpulanWangSimpananPekerja.SebelumdilantiksebagaiahliBPSTakafulMalaysia pada 1 Julai 2002, beliau adalah Setiausaha BPSTakafulMalaysiasejakiaditubuhkanpadatahun1985hinggaDisember2001.




Y. Bhg. Dr. Aida Othman

Y.Bhg.Dr.AidaOthmanaged41, isaMalaysiancitizenandisamemberoftheShariahAdvisoryBody(SAB)ofTakafulMalaysiawhowasappointedon6March2008.

She graduated from the International Islamic university MalaysiawithaBachelorofLaw(LL.B)degreein1992andaBachelorofLaw(LL.BShariah)degree in 1993. In 1995, sheobtainedMasterinLaw(LL.M)fromtheCambridgeUniversity,Englandandin2005,sheobtainedaDoctorofPhilosophyfromtheHarvardUniversity,USA.ShealsoobtainedPostDoctorateFellowshipfromtheHarvardUniversityin2006.

She started her career with Messrs. Zain & Co. in 1993 asAssistantLegalOfficer.In1995,shejoinedInternationalIslamicUniversityMalaysia as a Lecturer. After that, she became aResearcheratUnitedNations from 1998until 1999. In2002,she joined the harvard university as Teaching Fellow until 2003 and postDoctorate Fellow and Teaching assistant from 2005until2006.

CurrentlysheisaPartneratthelawfirm,ZaidIbrahim&Co.aswellasaDirectoratZIShariahAdvisorySdnBhd.

Y.Bhg.Dr.AidaOthmanberusia41tahun,adalahwarganegaraMalaysia dan merupakan ahli Badan penasihat Syariah (BpS) TakafulMalaysiayangtelahdilantikpada6Mac2008.

Beliau memperolehi Ijazah Sarjana Muda Undang-undang(LL.B) dari Universiti Islam Antarabangsa pada tahun 1992danIjazahSarjanaMudaUndang-undang(LL.BSyariah)padatahun 1993. Pada tahun 1995, beliau memperolehi SarjanaUndang-undang (LL.M) dari Universiti Cambridge, Englanddanpadatahun2005beliaumemperolehiDoktorFalsafahdariUniversitiHarvard,AmerikaSyarikat.BeliaujugamemperolehipostDoctorate Fellowship dari universiti harvard pada tahun 2006.

BeliaumemulakankerjayanyadenganTetuanZain&Co.padatahun1993sebagaiPenolongPegawaiUndangUndang.Padatahun 1995, beliau menyertai Universiti Islam Antarabangsasebagai Pensyarah. Kemudian beliau menjadi Penyelidik diUnitedNationsdaritahun1998hingga1999.Padatahun2002,beliau berkhidmat di Universiti Harvard sebagai TeachingFellow sehingga tahun 2003 dan postDoctorate Fellow dan TeachingAssistantdaritahun2005hingga2006.

Beliau kini merupakan Rakan kongsi di firma guaman ZaidIbrahim&Co.danjugasebagaiPengarahdiZIShariahAdvisorySdnBhd.


Y. Bhg. Prof Madya Dr. Muhamad Rahimi Osman

Y.Bhg.ProfMadyaDrMuhamadRahimiOsman,berusia49tahun, adalah warga negara Malaysia dan merupakan ahli Badan penasihat Syariah (BpS) Takaful Malaysia yang telah dilantikpada12Januari2010.

BerkelulusanIjazahSarjanaMudaShari’ah(Hons)dariUniversitiMalayapadatahun1987,IjazahSarjanadalamEkonomiIslamdari Yarmouk university, Jordan dan Doktor Falsafah (phD) dalam Perbankan Islam dari Universiti Islam AntarabangsaMalaysia masing-masing pada tahun 1996 dan 2007. Padamasa ini memegang jawatan pengarah, pusat pemikiran dan Kefahaman Islam (CITu), universiti Teknologi Mara (uiTM), ShahAlam.

Beliau memulakan kerjayanya sebagai pensyarah di Pusatpendidikan Islam, universiti Teknologi Mara (uiTM), Shah alam pada tahun 1988. Beliau telah dilantikmemegang beberapajawatan pentadbiran seperti Koordinator Sains Sosial Islam,Ketua Unit Zakat, Timbalan Pengarah, Pusat Pemikiran danKefahaman Islam(CITU)danPengarah, InstitutKajianZakatMalaysia(IKaZ),UniversitiTeknologiMARA.

Beliau juga adalah ahli Jawatankuasa penasihat Syariah, hong Leong Islamic Bank Malaysia, ahli jawatankuasa penyelaras Kurikulum program Muamalat, Takaful, Kewangan dan PerbankanIslam,KementerianPengajianTinggiMalaysia,AhliSenat universiti dan ahli Majlis Dekan pengajian Islam, Institusi PengajianTinggiAwamMalaysiadanbeberapajawatankuasalaindidalamdanluaruniversiti.

Beliaujugatelahmenulisdanmembentangkankertaskerjadiperingkatnasionaldanantarabangsadanterlibatmenjalankanpenyelidikandalambidangekonomi,perbankandankewanganIslam. Artikel beliau juga telah diterbitkan dalam jurnaltempatandanantarabangsa.

Y.Bhg.AssocProfDrMuhamadRahimiOsman,aged49,isaMalaysiancitizenandisamemberofSyariahAdvisoryBody(SaB) of Takaful Malaysia who was appointed on 12 January 2010.

He graduated from University of Malaya in 1987, holdingBachelorofShariah(Hons).HeobtainedhisMasterinIslamiceconomics from university of Yarmouk, Jordan and Doctor of philosophy (phD) in Islamic Banking from International Islamic University Malaysia in 1996 and 2007 respectively.Currently he is Director of the Centre for Islamic Thought and Understanding(CITU),UniversitiTeknologiMARA(UiTM).

he joined universiti Teknologi Mara (uiTM) in 1988 as an academic staff at the Centre for Islamic Education. Hewasappointed to several administration posts such as Coordinator ofIslamicSocialScience,HeadofZakatUnit,DeputyDirector,Centre for Islamic Thought and understanding (CITu), and Director of the Zakat Research Institute ofMalaysia (IKaZ),UniversitiTeknologiMARA.

HealsoservesasamemberofShariahCommitteeofHongLeong Islamic Bank Malaysia, member of the Curriculumreview Committee for Muamalat, Takaful, Islamic Banking and FinanceoftheMinistryofHigherEducationMalaysia,memberoftheSenateUniversity,andmemberoftheDeanCouncilofIslamic Studies, higher Learning Institutions of Malaysia and severalothercommitteesinsideandoutsideoftheuniversity.

he has written and presented papers at national and international seminar related to Islamic economics, Islamic bankingandfinance.Hisarticleshavealsobeenpublishedinlocalandinternationaljournals.




Jawatankuasa PengurusanManagement Committee

Y. Bhg. Dato’ Mohamed Hassan Md. KamilPengarah Urusan Kumpulan/Group Managing Director

Puan Azian KassimKetua Pegawai Pelaburan/Chief Investment Officer

Encik Lee Kok WahKetua Pegawai Kewangan/Chief Financial Officer

Encik Nazrul Hisham Abdul HamidKetua Pegawai Audit Dalaman/Chief Internal Auditor

Encik Leem Why ChongPengurus Besar, Aktuari & Aktuari Dilantik/ General Manager, Actuarial & Appointed Actuary


Jawatankuasa Pengurusan

Management Committee

Encik Patrick Wong Chang YangKetua Pegawai Informasi/Chief Information Officer

Puan Shuhaibahtulaslamiah HurmuzanPengurus Besar, Sumber Manusia/General Manager, Human Resource

Encik Mark Anthony NathanPengurus Besar, Perancangan Korporat & Bankatakaful/ General Manager, Corporate Planning & Bancatakaful

Encik Mohd Suhaimi AhmadPengurus Besar, Agensi Runcit/General Manager, Retail Agency

Encik Mohamad Asri Hj. YusoffSetiausaha Syarikat/Pengurus Besar, Hal Ehwal Korporat/Company Secretary/General Manager, Corporate Affairs


Puan Noraini YusofPenolong Pengurus Besar, Korporat Langsung/Perbendaharaan/Jualan Cawangan/Assistant General Manager, Direct Corporate/Treasury/Branch Sales

Cik Leong Chee WanPenolong Pengurus Besar, Operasi - Takaful Keluarga/Bankatakaful/Logistik/Assistant General Manager, Operations - Family Takaful/Bancatakaful/Logistics

Jawatankuasa Pengurusan

Management Committee

Puan Roszy NonPenolong Pengurus Besar, Perkhidmatan Pelanggan/Operasi Cawangan/Assistant General Manager, Customer Service/Branch Operations

Puan Zarina Mohd SahimPenolong Pengurus Besar, Operasi - Takaful Am/Retakaful/Assistant General Manager, Operations - General Takaful/Retakaful

Encik Alex Tan Cheng LeongKetua Pegawai Pemasaran/Chief Marketing Officer


our promise to the community is the pledge ofourcompassionandcare.

Humanitarian



The Board of Directors of Syarikat Takaful Malaysia Berhad

(“Takaful Malaysia”) is pleased to present the Audit

CommitteeReport for thefinancial yearunder review.The

AuditCommittee(“Committee”)wasestablishedon6March

1990 to appraise Takaful Malaysia’s financial structure,

internal control system, strategic planning, implementation

of audit function and to propose applicable decisions in

ensuringahighstandardofcorporateresponsibility,integrity

andaccountabilitytoshareholdersinlinewiththecorporate

governance and disclosure standards expected from that of

apubliclistedcompanyinMalaysia.

MEMBERSHIP AND MEETINGS

TheCommitteecurrentlycomprisesfour(4)members,three

(3)ofwhomareIndependentNon-ExecutiveDirectors.The

detailsofmembersandmeetingsheldduring theeighteen

(18)monthsfinancialperiodended31December2010areas

follows:

NameofAudit No.ofMeetings

CommitteeMembers Held Attended

EncikMahadzirAzizan(Chairman) 9 9

(IndependentNon-ExecutiveDirector)

Y.A.M.TengkuAzmanIbni 5* 5*

AlmarhumSultanAbuBakar


(Retiredon14May2010)

PuanRozaidaOmar 9 9

(Non-IndependentNon-ExecutiveDirector)

Y.Bhg.Dato’SulaimanMohdYusof 9 8


EncikZakariaIsmail 4* 4*


(appointed on 15 May 2010)

Note: * Reflects the number of meetings held and attended

during the time the Director held office as Audit Committee

member.

PuanRozaidaOmar isamemberof theMalaysian Institute

of Accountants (“MIA”). Thus, Takaful Malaysia complies

with Paragraph 15.09 (1)(c)(i) of the Main Market Listing

Requirements (“Listing Requirements”) of Bursa Malaysia

SecuritiesBerhad(“BursaMalaysia”)whichstipulatethatat

leastone(1)memberoftheCommitteemustbeamember

oftheMIA.

Laporan Jawatankuasa Audit Audit Committee Report

LembagaPengarahSyarikatTakafulMalaysiaBerhad(“Takaful

Malaysia”) dengan berbesar hati membentangkan Laporan

Jawatankuasa Audit bagi tahun kewangan yang dikaji.

JawatankuasaAudit(“Jawatankuasa”)telahditubuhkanpada

6 Mac 1990 untuk menilai struktur kewangan, sistem kawalan

dalaman, perancangan strategik, pelaksanaan fungsi audit

Takaful Malaysia dan untuk mencadangkan keputusan yang

bolehdilaksanakanbagimemastikanpiawaiantanggungjawab

korporat, kewibawaan dan kebertanggungjawaban kepada

para pemegang saham yang tinggi, selaras dengan piawaian

urus tadbir dan pendedahan yang dikehendaki daripada

sebuahsyarikatsenaraiawamdiMalaysia.

KEAHLIAN DAN MESYUARAT

Jawatankuasaterdiridaripadaempat(4)orangahli,tiga(3)

daripada mereka adalah Pengarah Bukan Eksekutif Bebas.

Maklumat terperinci mengenai ahli dan mesyuarat yang

diadakansepanjanglapanbelas(18)bulantempohkewangan

berakhir31Disember2010adalahsepertiberikut:

NamaAhli Bil.Mesyuarat

Jawatankuasa audit Diadakan Dihadiri

EncikMahadzirAzizan(Pengerusi) 9 9

(PengarahBukanEksekutifBebas)

Y.A.M.TengkuAzmanIbni 5* 5*

AlmarhumSultanAbuBakar


(Bersarapada14Mei2010)

PuanRozaidaOmar 9 9

(PengarahBukanEksekutifBukanBebas)

Y.Bhg.Dato’SulaimanMohdYusof 9 8


EncikZakariaIsmail 4* 4*


(Dilantik pada 15 Mei 2010)

Nota: * Menunjukkan bilangan mesyuarat yang diadakan dan dihadiri sepanjang tempoh Pengarah memegang jawatan sebagai Ahli Jawatankuasa Audit.

Puan RozaidaOmar adalah ahli Institut AkauntanMalaysia

(“MIA”).Olehitu,TakafulMalaysiatelahmematuhiPerenggan

15.09(1)(c)(i) Keperluan Penyenaraian Pasaran Utama

(“KeperluanPenyenaraian”)BursaMalaysiaSecuritiesBerhad

(“Bursa Malaysia”) yang menggariskan bahawa sekurang-

kurangnya seorang (1) ahli Jawatankuasa mestilah merupakan

ahliMIA.


Laporan Jawatankuasa Audit

Audit Committee Report

The Committee met nine (9) times during the eighteen (18) months financial period. The meetings were appropriatelystructured and conducted through the use of agenda which weredistributedtomemberswithsufficientnotification.

The Group Managing Director, the Chief Financial OfficerandtheChiefInternalAuditornormallyattendthemeetings.During the eighteen (18)months financial period ended 31December 2010, the Group Managing Director, the ChiefFinancialOfficerandtheChiefInternalAuditorattendedallthemeetingsheld.

TERM OF REFERENCE

CompositionThemembersof theCommittee shall be appointedby theBoard from amongst their numbers and shall comprise atleastthree(3)members,allofwhommustbeNon-ExecutiveDirectors with majority of them shall be IndependentDirectors.An IndependentNon-ExecutiveDirector shall betheonewhofulfilstherequirementsasprovidedintheBursaMalaysia Listing requirements and the guidelines of Bank NegaraMalaysia(“BNM”).

Atleastone(1)memberoftheCommittee:1) mustbeamemberoftheMIA;or2) ifheisnotamemberoftheMIA,hemusthaveatleast

three(3)years’workingexperienceand:- (a) hemust havepassed the examinations specified in

part I of the 1st Schedule of the accountants act 1967;or

(b) hemustbeamemberofoneoftheassociationsofaccountantsspecifiedinPartIIofthe1stScheduleoftheAccountantsAct1967;or

3) fulfilssuchotherrequirementsasprescribedorapprovedbyBursaMalaysia.

ThemembersoftheCommitteeshallelectaChairmanfromamongst their numberswho shall be an IndependentNon-ExecutiveDirector. If amemberof theCommittee resigns,diesorforanyreasonceasestobeamemberwiththeresultthat thenumberofmembersare reducedbelow three (3),the Board shall within three (3) months of that event, appoint suchnumberofnewmembersasmayberequiredtomakeuptheminimumnumberofthree(3)members.NoalternateDirectorcanbeappointedasamemberoftheCommittee.

TheBoardshallreviewthetermofofficeandperformanceoftheCommitteeandeachofitsmembersatleastonceeverythree(3)yearstoensuretheCommitteeandmembershavecarried out their duties in accordance with their terms of reference.

Jawatankuasa telah bermesyuarat sebanyak sembilan (9)kalisepanjanglapanbelas(18)bulantempohkewanganini.Mesyuarat tersebut telah disusun dan dijalankan dengansewajarnya melalui penggunaan agenda yang diedarkan kepadaahliterlebihdahuludengannotisyangmencukupi.

pengarah urusan Kumpulan, Ketua pegawai Kewangan dan Ketua audit Dalaman selalunya menghadiri mesyuarat tersebut.Sepanjanglapanbelas(18)bulantempohkewanganberakhir31Disember2010,PengarahUrusanKumpulan,Ketuapegawai Kewangan dan Ketua audit Dalaman menghadiri kesemuamesyuaratyangdiadakan.

TERMA RUJUKAN

KomposisiAhliJawatankuasahendaklahdilantikolehLembagaPengarahdaripada kalangan mereka dan hendaklah terdiri daripada sekurang-kurangnyatiga(3)orangahli,dimanakesemuanyahendaklah terdiri dari pengarah Bukan eksekutif dengan majoritinyaadalahPengarahBebas.SeorangPengarahBukanEksekutifBebashendaklahmerupakanahliyangmemenuhikeperluan seperti yang diperuntukkan dalam Keperluan penyenaraian Bursa Malaysia dan garis panduan Bank negara Malaysia(“BNM”).

Sekurang-kurangnyaseorang(1)ahliJawatankuasa:1) mestilahmerupakanahliMIA;atau2) jika beliau bukan ahli MIA, beliau mestilah mempunyai

pengalaman bekerja sekurang-kurangnya selama tiga(3) tahun dan:

(a) beliau mestilah lulus peperiksaan yang dinyatakandalam Bahagian I Jadual pertama akta akauntan 1967;atau

(b) beliau mestilah merupakan ahli salah sebuahpersatuan akauntan yang dinyatakan dalam Bahagian IIJadualPertamaAktaAkauntan1967;atau

3) memenuhikeperluan-keperluanlainyangdigariskanataudiluluskanolehBursaMalaysia.

ahli Jawatankuasa hendaklah melantik pengerusi daripada kalangan mereka yang merupakan seorang pengarah Bukan Eksekutif Bebas. Sekiranya seorang ahli Jawatankuasameletakjawatan,meninggalduniaatauatassebarangsebabtidaklagimenjadiahlisehinggamenyebabkanbilanganahlikurang daripada tiga (3) orang, maka Lembaga Pengarahhendaklahmelantikahlibarudalambilanganyangdiperlukanuntuk mencukupkan bilangan minimum ahli kepada tiga(3) orang dalam tempoh tiga (3) bulan dari peristiwatersebut.PengarahgantiantidakbolehdilantiksebagaiahliJawatankuasa.

Lembaga Pengarah hendaklah mengkaji semula tempohperkhidmatan dan prestasi Jawatankuasa audit dan setiap ahlinyasekurang-kurangnyasetiaptiga(3)tahunsekalibagimemastikan Jawatankuasa dan ahlinya telah menjalankan tugas-tugasmerekaberdasarkantermarujukan.




Quorum and Committee’s Procedures

Meetingsshallbeconductedatleastfour(4)timesannually

ormorefrequentlyascircumstancesdictate.

In order to form a quorum for the meeting, the majority of

members present must be Independent Non-Executive

Directors. In the absence of the Chairman, the members

present shall elect a Chairman for the meeting from amongst

thememberspresent.

The Company Secretary shall be the Secretary of the

Committee.TheSecretary,inconcurrencewiththeChairman,

shalldrawupanagenda,whichshallbecirculatedtogether

with relevant support papers within reasonable time prior

to each meeting to the members of the Committee. The

Secretary shall circulate the minutes of meetings to all

membersoftheCommittee.

The Committee may, as and when deemed necessary, invite

otherBoardmembersand/orSeniorManagementmembers

toattendtheCommitteemeetings.

The Committee shall, at least twice (2) a year, meet with the

external auditors to discuss any matter with the Committee

withoutthepresenceofanyexecutivemembersoftheBoard

and Senior Management. The Chairman of the Committee

shall convene a meeting of the Committee to consider any

matterwhichtheexternalauditorsbelieveshouldbebrought

totheattentionoftheDirectorsorshareholders.

The Committee shall regulate the manner of proceedings of

its meetings, having regard to normal conventions on such

matter.

Authority

The Committee is authorised by the Board to investigate

anymatterwithin its termsof reference. It isauthorisedto

seek any information it requires from any employee and all

employees are required to cooperate with any request made

bytheCommittee.

The Committee shall have full and unrestricted access to any

information pertaining to the Group. The Committee shall

havetheresourcesthatarerequiredtoperformitsduties.The

Committee canobtain, at the expenseof TakafulMalaysia,

external legal or other independent professional advice it

considersnecessary.

The Committee shall have direct communication channels

with the internal and external auditors, the risk management

personnel and with Senior Management of the Group and

Korum dan Prosedur JawatankuasaMesyuarat hendaklah diadakan sekurang-kurangnya empat(4)kalisetahunataudenganlebihkerap,mengikutkeperluan.

Bagimembentukkorummesyuarat,majoritiahliyanghadirmestilah merupakan Pengarah Bukan Eksekutif Bebas.SekiranyaPengerusitidakhadir,ahli-ahliyanghadirhendaklahmelantikseorangPengerusibagimesyuarattersebutdaripadakalanganahli-ahliyanghadir.

SetiausahaSyarikathendaklahbertindaksebagaiSetiausahaJawatankuasa. Atas persetujuan Pengerusi, Setiausahahendaklah merangka agenda yang akan diedarkan kepada ahli Jawatankuasa bersama-sama dengan kertas sokonganyang berkaitan dalam tempoh yang berpatutan sebelumsetiapmesyuarat.SetiausahahendaklahmengedarkanminitmesyuaratkepadasemuaahliJawatankuasa.

Jawatankuasa boleh, apabila dianggap perlu, menjemputahliLembagaPengarahlaindan/atauahliPengurusanKananuntukmenghadirimesyuaratJawatankuasa.

Jawatankuasainihendaklahbermesyuaratdenganjuruauditluar sekurang-kurangnya dua (2) kali setahun, untukmembincangkan sebarang perkara dengan Jawatankuasatanpa kehadiran mana-mana ahli eksekutif LembagaPengarah dan Pengurusan Kanan. Pengerusi Jawatankuasaakan mengadakan mesyuarat untuk mempertimbangkansebarang perkara yang pihak juruaudit luar percaya perludi bawa kepada perhatian para Pengarah atau pemegangsaham.

Jawatankuasa hendaklah mengatur prosiding mesyuaratnya, denganmengambilkirakonvensyenbiasaberhubungperkaratersebut.

KuasaJawatankuasa diberi kuasa oleh Lembaga Pengarah untukmenyiasat sebarang perkara dalam terma rujukannya.Jawatankuasa juga diberi kuasa untuk mendapatkansebarang maklumat yang diperlukan daripada mana-manakakitangan dan semua kakitangan dikehendaki memberikerjasama terhadapsebarangpermintaanyangdibuatolehJawatankuasa.

Jawatankuasa hendaklah mempunyai akses penuh dan tanpahadkepadasebarangmaklumatberkaitanKumpulandan hendaklah mempunyai sumber yang diperlukan untukmelaksanakan tugasnya. Jawatankuasabolehmendapatkannasihat perundangan atau profesional bebas luar lain yangdianggap perlu, dengan perbelanjaan ditanggung olehTakafulMalaysia.

Jawatankuasa hendaklah mempunyai saluran komunikasi secara langsung dengan juruaudit dalaman dan juruaudit luar, kakitangan pengurusan risiko dan dengan pengurusan KananKumpulandanbolehmengadakanmesyuaratdenganjuruaudit luar, juruaudit dalamanatau kedua-duanya sekali,




shallbeabletoconvenemeetingswiththeexternalauditors,

the internal auditors or both, excluding the attendance of

other directors and employees of the Company, whenever

deemednecessary.

WheretheCommitteeisoftheviewthatamatterreportedby

ittotheBoardhasnotbeensatisfactorilyresolvedresulting

in a breach of Bursa Malaysia Listing Requirements, the

Committee shall promptly report such matter to the Bursa

Malaysia.

Duties and Responsibilities

The primary function of the Committee is to assist the Board

to assess the Group’s processes relating to its risks and

controlenvironment,overseefinancialreportingandevaluate

theinternalandexternalauditprocesses.

Therefore, thedutiesand responsibilitiesof theCommittee

are as follows:

• to review with the external auditor and report to the

Board, the audit scope and plan, including any changes

to the planned scope of the audit plan and evaluation of

thesystemofinternalcontrol.

• toreviewtheadequacyofthe internalauditscopeand

plan, functions, competency and resources of the internal

audit functions and that it has the necessary authority to

carryoutitswork.

• to reviewthe internalauditprogramme,processes, the

results of the internal audit programme, processes or

investigation undertaken and whether or not appropriate

action is taken on the recommendations of the internal

auditor.

• to review the external and internal audit reports to

ensure that appropriate and prompt remedial action is

takenbyManagementonmajordeficiencies incontrols

or procedures that are identified and reported to the

Board.

• to review the major audit findings and Management’s

response during the year with Management, external

auditors and internal auditors, including the status of

previousauditrecommendations.

• toreviewtheassistancegivenbytheGroup’semployees

to the auditors, andanydifficulties encountered in the

course of the audit work, including any restrictions on the

scopeofactivitiesoraccesstorequiredinformation.

tanpa dihadiri oleh para pengarah dan kakitangan Syarikat, bila-biladianggapperlu.

Sekiranya Jawatankuasa berpendapat bahawa sebarang

perkarayangdilaporkanolehnyakepadaLembagaPengarah

masih belum diselesaikan dengan memuaskan sehingga

menyebabkan pelanggaran Keperluan Penyenaraian Bursa

Malaysia, Jawatankuasa hendaklah melaporkan dengan

segeraperkaratersebutkepadaBursaMalaysia.

Tugas dan TanggungjawabFungsi utama Jawatankuasa adalah untuk membantu

LembagaPengarahdalammenilaiprosesKumpulanberkaitan

dengan risiko dan persekitaran kawalannya, mengawasi

laporan kewangan dan menilai proses audit dalaman dan

luar.

Olehyangdemikian,tugasdantanggungjawabJawatankuasa

adalahsepertiberikut:

• mengkajidenganjuruauditluardanmelaporkankepada

Lembaga Pengarah, skop dan pelan audit, termasuk

sebarangperubahankepadaskopyangdirancangbagi

pelanauditdanpenilaianbagisistemkawalandalaman.

• mengkaji kecukupan skop dan pelan audit dalaman,

fungsi-fungsi,dayasaingdansumberfungsiauditdalaman

dan sama ada ianya mempunyai kuasa diperlukan untuk

menjalankantugas.

• mengkajiprogramdanprosesauditdalaman,keputusan

program, proses atau penyiasatan audit dalaman yang

dilaksanakan dan sama ada tindakan yang sewajarnya

telahdiambilberdasarkan syor-syoryangdikemukakan

olehjuruauditdalaman.

• mengkajilaporanauditdalamandanluarbagimemastikan

supaya tindakan segera dan sewajarnya diambil oleh

pihak pengurusan terhadap kekurangan utama dalam

kawalan atau prosedur yang telah dikenal pasti dan

dilaporkankepadaLembagaPengarah.

• mengkajipenemuanauditutamadantindakanPengurusan

sepanjang tahun dengan pihak pengurusan, juruaudit luar

dan juruaudit dalaman termasuk status syor-syor audit

yangterdahulu.

• mengkaji kerjasama yang diberi oleh kakitangan

Kumpulan kepada juruaudit dan sebarang masalah

yang dihadapi dalam menjalankan kerja audit, termasuk

sebarang sekatan dalam skop aktiviti atau akses untuk

mendapatkanmaklumatyangdiperlukan.




• toreviewtheindependenceandobjectivityoftheexternal

auditorsandtheirservices, includingnon-auditservices

andtheprofessionalfees,soastoensureaproperbalance

betweenobjectivityandvalueformoney.

• toreviewtheappointment,performance,auditfeesand

any question regarding the resignation or dismissal of

externalauditorsbeforemakingrecommendationstothe

Board.

• toreviewthequarterlyandyearendfinancialstatements,

beforetheapprovalbytheBoard, focusingparticularly

on:

- changes in or implementation ofmajor accounting

policyandpractice;

- significant adjustments and unusual event arising

fromtheaudit;

- thegoingconcernassumption;and

- compliance with accounting standards, Bursa

Malaysiaandotherlegalrequirements.

• to discuss problems and reservations arising from the

interimandfinalaudits,andanymattertheauditormay

wish to discuss (in the absenceofManagementwhere

necessary);

• to review whether there is a reason (supported by

grounds)tobelievethattheCompany’sexternalauditors

isnotsuitableforthere-appointment.

• toreviewtheInternalAuditCharter,budgetandstaffing

oftheInternalAuditDivision.

• toreviewanyappraisalorassessmentoftheperformance

ofmembersoftheinternalauditfunction.

• to approve any appointment or termination of senior

staffmembersoftheinternalauditfunction.

• totakecognizanceofresignationsofinternalauditstaff

members and provide the resigning staff member an

opportunitytosubmithisreasonsforresigning.

• toreviewtheadequacyandintegrityofinternalcontrols,

the internal audit findings, and recommend action to

be taken by Management. The reports of the internal

auditorsandtheCommitteeshouldnotbesubjecttothe

clearanceoftheChiefExecutiveOfficer/GroupManaging

DirectorandExecutiveDirectors.

• mengkaji kebebasan dan objektif juruaudit luar dan

khidmatmereka,termasukkhidmatbukanauditdanyuran

profesional,bagimemastikankeseimbanganobjektifdan

nilaiwang.

• mengkajipelantikan,prestasi,yuranauditdansebarang

persoalanberhubungpeletakanjawatanataupemecatan

juruaudit luar sebelum memberi cadangan kepada

LembagaPengarah.

• mengkajikeputusansukutahunandanpenyatakewangan

akhir tahun, sebelum kelulusan Lembaga Pengarah

dengan menumpu terutamanya kepada:

- perubahan atau pelaksanaan dasar dan praktis

perakaunanutama;

- pelarasanketaradanperistiwapentingdanluarbiasa

timbuldariaudit;

- andaianperniagaanberterusan;dan

- pematuhan kepada standard kewangan, Bursa

Malaysiadankeperluanundang-undang.

• membincangkan masalah dan persoalan yang wujud

dariaudit interimdanakhirdansebarangperkarayang

ingindibincangkanolehjuruaudit(tanpakehadiranpihak

Pengurusanjikaperlu);

• mengkaji sama ada terdapat sebarang alasan (dengan

disokongolehsebab-sebabtertentu)untukmempercayai

bahawajuruauditluarSyarikattidaksesuaiuntukdilantik

semula.

• mengkaji Piagam Audit Dalaman, belanjawan dan

komposisikakitanganBahagianAuditDalaman.

• mengkaji sebarang pencapaian dan penilaian terhadap

prestasiahlifungsiauditdalaman.

• meluluskan sebarang pelantikan atau pemecatan

kakitangankananahliauditdalaman.

• menyedaripeletakanjawatankakitanganauditdalaman

danmemberipeluangkepadamerekamenyatakansebab

peletakanjawatannya.

• mengkajikecukupandankewibawaankawalandalaman,

penemuan audit dalaman dan mencadangkan tindakan

yangperlu diambil olehPengurusan. Laporan juruaudit

dalaman dan Jawatankuasa tidak harus tertakluk kepada

kebenaran dari Ketua Pegawai Eksekutif/Pengarah

UrusanKumpulandanPengarahEksekutif.




• to direct and where appropriate supervise any special

projects or investigation considered necessary, and

review investigation report on any major defalcation,

fraudsandthefts.

• toensurethattheaccountsarepreparedinatimelyand

accurate manner with frequent reviews of the adequacy

ofprovisionsagainstcontingencies,andbadanddoubtful

debts.

• to ensure prompt publication of annual financial

statements/report.

• to review any related party transaction and conflict of

interest situation that may arise within the Company

or the Group, including any transaction, procedure or

course of conduct that raises questions of management

integrity.

• toperformanyotherfunctionsasmaybeagreedbythe

Board.

SUMMARY OF ACTIVITIES OF THE COMMITTEE

The activities undertaken by the Committee during the

financialyearunderreviewincludethefollowing:

• Reviewed and monitored with the external auditors,

the results and progress of the audit for the financial

year ended 30 June 2009, the audit report and the

Management letter, including Management’s response

thereto.

• ManagedtheLimitedReviewexerciseperformedbythe

externalauditors.

• Discussedthere-appointmentofexternalauditorsforthe

eighteen(18)monthsfinancialperiodended31December

2010.

• Reviewedtheexternalauditors’scopeofworkandaudit

plansfortheeighteen(18)monthsfinancialperiodended

31 December 2010. Prior to the audit, representatives

from the external auditors presented their audit strategy

andplan.

• Discussed the audit fees payable to the external

auditors.

• Discussed with external auditors any matters that

warrant the Board and Shareholders’ attention without

thepresenceofthememberoftheExecutiveDirectors

andManagement.

• mengarahdansekiranyawajar,menyeliasebarangprojek

atau siasatan khas jika perlu, dan mengkaji laporan

siasatanberkenaansebarangpenyalahgunaan,penipuan

dankecurianyangbesar.

• memastikanakaundisediakantepatpadamasanyadan

dengan cara yang tepat dengan kajian secara kerap

terhadap kecukupan peruntukan bagi luar jangka, dan

hutanglapukdanhutangragu.

• memastikan penerbitan penyata/laporan kewangan

tahunanyangmenepatimasa.

• mengkajisebarangurusniagapihakberkaitandansituasi

konflikkepentinganyangmungkintimbuldalamSyarikat

atauKumpulan,termasuksebarangurusniaga,prosedur

atau tatacara yang menimbulkan persoalan terhadap

kewibawaanpihakPengurusan.

• melaksanakan sebarang fungsi lain yang mungkin

dipersetujuiolehLembagaPengarah.

RINGKASAN AKTIVITI JAWATANKUASA

Aktiviti-aktiviti yang telah dijalankan oleh Jawatankuasa

sepanjang tahun kewangan yang dikaji termasuk:

• Mengkajidanmemantaudenganjuruauditluar,keputusan

danperkembanganauditbagitahunkewanganberakhir

30 Jun 2009, laporan audit dan surat pengurusan,

termasuktindakanPengurusanberkaitannya.

• MenguruskanpelaksanaanLimitedReviewyangdilakukan

olehjuruauditluar.

• Berbincang mengenai pelantikan semula juruaudit luar

bagilapanbelas(18)bulantempohkewanganberakhir31

Disember2010.

• Mengkaji skopkerjadan rancanganaudit juruaudit luar

bagi lapanbelas (18)bulan tempohkewanganberakhir

31 Disember 2010. Sebelum audit dijalankan, wakil-

wakil juruaudit luar telahmembentangkan strategi dan

rancanganaudit.

• Berbincang mengenai yuran audit yang perlu dibayar

kepadajuruauditluar.

• Berbincang dengan juruaudit luar berhubung sebarang

perkarayangmemerlukanperhatianLembagaPengarah

dan Pemegang Saham tanpa kehadiran ahli Lembaga

PengarahEksekutifdanpihakPengurusan.




• Reviewed the Internal Audit Division’s audit plan,

programmesandresourcesrequirementsforthefinancial

years2011and2012.

• Reviewed the internal audit reports and special audit

reports for TakafulMalaysia and its subsidiaries,which

highlighted the audit issues, recommendations and

Management’s response thereto. Discussed with

Managementonactionstakenortobetakentoimprove

the system of internal control based on improvement

opportunitiesidentifiedintheinternalauditreports.

• Reviewed follow-up reports by the internal auditors

on the status of actions taken by theManagement on

recommendationssuggestedintheauditreports.

• Reviewed follow-up reportsby the internalauditorson

BNM’sexaminationfindingsandstatusofactionstaken

bytheManagementonissuesraisedbyBNM.

• Reviewed follow-up reportsby the internalauditorson

externalauditors’findingsassetoutintheManagement

letterandstatusofactionstakenbytheManagementon

issuesraisedbytheexternalauditors.

• MonitoredtheprogressoftheInternalAuditDivisionin

completingitsauditwithinthestipulatedtimeframe.

• Examinedtheadequacyoftheskills,knowledgeandcore

competenciesoftheinternalauditors.

• Reviewed the audited financial statements of the

Company prior to submission to the Board for their

consideration and approval. The reviewwas to ensure

that theauditedfinancialstatementsweredrawnup in

accordance with the provisions of the Companies act

1965andtheapplicableapprovedaccountingstandards.

• Reviewed the Company’s compliance in particular the

quarterly and the year end financial statements with

Bursa Malaysia Listing requirements, Capital Markets

and Services Act 2007, BNM Guidelines, applicable

approved accounting standards and other relevant legal

andregulatoryrequirements.

• Reviewed the Compliance reports on the level of

compliance with regulators’ requirements, laws and

Acts.

• Mengkaji pelan audit, program dan keperluan sumberBahagianAuditDalamanbagitahunkewangan2011dan2012.

• Mengkaji laporan audit dalaman dan audit khas untukTakafulMalaysiadansubsidiarinyayangmenekankanisu-isuaudit,cadangandanmaklumbalaspihakPengurusanyang berkaitan. Berbincang dengan Pengurusanmengenai tindakan yang telah dan akan diambil untukmempertingkatkansistemkawalandalamanberdasarkanpeluang-peluang penambahbaikan yang telah dikenalpastidalamlaporanauditdalaman.

• Mengkaji laporan susulan oleh juruaudit dalamanmengenai status tindakan yang diambil oleh pihakPengurusan terhadap cadangan yang diberikan dalamlaporanaudit.

• Mengkaji laporan susulan oleh juruaudit dalamanberhubung isu-isu yang dibangkitkan berdasarkanpenemuan daripada pemeriksaan oleh BnM dan status tindakanyangdiambilolehpihakPengurusanmengenaiisuyangdibangkitkanolehBNM.

• Mengkaji laporan susulan oleh juruaudit dalamanberhubungisuyangdibangkitkandalamsuratPengurusanolehjuruauditluardanstatustindakanyangdiambilolehpihakPengurusanmengenaiisutersebut.

• Memantau perkembangan Bahagian Audit Dalamandalam menyelesaikan auditnya dalam tempoh yang telah ditetapkan.

• Memeriksakecukupankemahiran,pengetahuandandayasaingterasjuruauditdalaman.

• MengkajipenyatakewanganSyarikatyangtelahdiauditsebelum diserahkan kepada Lembaga Pengarah bagipertimbangan dan kelulusan mereka. Kajian ini adalahuntuk memastikan supaya penyata kewangan yang telah diaudit disediakan mengikut peruntukan akta Syarikat 1965danpiawaianperakaunanberkaitanyangdiluluskan.

• Mengkaji pematuhan Syarikat terhadap Keperluanpenyenaraian Bursa Malaysia, akta pasaran dan PerkhidmatanModal2007,GarisPanduanBNM,piawaianperakaunan berkaitan yang diluluskan dan keperluan-keperluan perundangan dan penguatkuasaan lain, terutamanyabagipenyatakewangansukutahunandanakhirtahun.

• MengkajilaporanPematuhanmengenaitahappematuhandengankeperluanPihakPenguatkuasa,undang-undangdanAkta.




• Discussed the implementationofnewrequirementsset

forthbytheRegulatorssuchasFRS139andFRS4.

• Reviewed the quarterly unaudited financial results

announcements before recommending them for the

Board’sapproval.

• ReviewedrelatedpartytransactionswithintheGroup.

• ReviewedthedisclosurestatementsintheAnnualReport

such as Corporate Governance Statement, Statement

on Internal Control and audit Committee report in

compliance with Bursa Malaysia Listing requirements

andSecuritiesCommission.

• Advisedandguidedtheconductofinvestigationintoany

activityormatterwithinitstermsofreference.

INTERNAL AUDIT FUNCTION AND ACTIVITIES

The Internal audit Division is independent of the activities

or operations of other operating units and reports directly

totheAuditCommittee.Theprincipalroleofthedivisionis

to undertake independent regular and systematic reviews of

thesystemsofinternalcontrolssoastoprovidereasonable

assurance that such systems continue to operate satisfactorily

and effectively. The internal audit practices a risk-based

approachinitsauditplanandexamination.

ItistheresponsibilityoftheInternalAuditDivisiontoprovide

theCommitteewith independent and objective reports on

the state of internal control of the various operating units

within the Group and the extent of compliance of the units

withtheGroup’sestablishedpoliciesandproceduresaswell

asrelevantstatutoryrequirements.

ThefollowingactivitieswereundertakenbytheInternalAudit

Divisionduringthefinancialyearunderreview:

• Developed two-year audit plan (FYE 2011 and 2012)

premised on risk based audit approach taking into

consideration input from the risk profiles established

by management, discussion with Senior Management

on critical processes and in cognizance with Takaful

Malaysia’s vision and mission in the context of its evolving

businessenvironmentforCommittee’sconsideration.

• Membincangkan pelaksanaan keperluan-keperluan baru

yang digariskan oleh pihak penguatkuasaan seperti FrS

139danFRS4.

• Mengkaji pengumuman keputusan kewangan suku

tahunanyangbelumdiauditsebelumdisyorkankepada

LembagaPengarahuntukkelulusan.

• Mengkaji urusniaga pihak yang berkaitan dalam

Kumpulan.

• MengkajipenyatapendedahandalamLaporanTahunan

sepertiPenyataUrusTadbirKorporat,PenyataKawalan

Dalaman dan Laporan Jawatankuasa audit dalam

mematuhi Keperluan penyenaraian Bursa Malaysia dan

SuruhanjayaSekuriti.

• Menasihat dan membimbing perjalanan penyiasatan

di dalam sebarang aktiviti atau perkara dalam bidang

rujukannya.

FUNGSI DAN AKTIVITI AUDIT DALAMAN

Bahagian Audit Dalaman adalah bebas daripada aktiviti

atauoperasiunit-unitoperasilaindanmelaporteruskepada

Jawatankuasa Audit. Peranan utama bahagian ini adalah

untuk menjalankan kajian sistem kawalan dalaman secara

bebas,kerapdansistematiksupayadapatmemberijaminan

yang sewajarnya bahawa sistem tersebut mampu terus

beroperasisecaraberkesandanmemuaskan.Auditdalaman

mengamalkanpendekatanberasaskanrisikodalamrancangan

auditdanpemeriksaannya.

Adalah menjadi tanggungjawab Bahagian Audit Dalaman

untuk menyediakan laporan bebas dan objektif kepada

Jawatankuasa tentang status kawalan dalaman di pelbagai

unit operasi dalamKumpulan serta tahap pematuhan unit-

unit tersebut terhadapdasardanprosedurKumpulanserta

terhadapkeperluanberkanunyangberkaitan.

Aktiviti-aktivitiberikuttelahdijalankanolehBahagianAudit

Dalaman dalam tahun kewangan yang dikaji:

• Membangunkanpelanauditduatahun(tahunkewangan

2011dan2012)berdasarkanpendekatanauditberasaskan

risikoyangdiambilmenjadiinputpertimbangandariprofil

risiko yang dibentuk oleh Pengurusan, perbincangan

denganPengurusanKananterhadapproses-prosesyang

kritikal dan dalam pengetahuan dengan wawasan dan misi

TakafulMalaysiadalamkontekspenglibatanpersekitaran

perniagaanuntukpertimbanganJawatankuasa.


• Executed independent assurance role by performing

scheduled reviews on the effectiveness, efficiency and

economical of control mechanism to address risks and

concernsintheareasofoperations,financial,information

technology, human capital development, business

development and strategic functions on a risk based

auditapproachassetoutintheAuditPlan.

• Provided reasonable assurance on the extent of

compliancewithestablishedpoliciesandproceduresas

well as BnM statutory requirements and other regulatory

bodies.

• RenderedadvisoryservicestomanagementofCompany

anditssubsidiaries.

• Recommendedimprovementstothebusinessprocesses

and enhancement to the existing system of internal

controls.

• Conducted follow-up audit on status of actions taken

bytheManagementonrecommendationssuggested in

audit reports of internal auditors, external auditors, BnM

examiners,etc.

• Carried out special reviews and investigations as

requestedbyseniormanagementandendorsementfrom

theAuditCommitteeChairman.

• Reviewed the adequacy and appropriateness of the

internal controls and risk exposures in the new product

packages based on the revised Product Development

Framework(PDF).

• Provided guidance and advices to the Project

Implementation Committee for new and revised products

beforelaunching.

• Conducted reviews on IT system set-ups, tests and

deploymentsbeforeembarkingintoproduction.

• Conducted special reviews on Data Cleansing and

MigrationexerciseforthenewITcoresystem.

• Conducted audit computer hardware, operating

and application systems as well as the information

communication technology (ICT) network of Takaful

Malaysia.



• Melaksanakanperananjaminanbebasdenganmembuat

ulasankajianberjadualkeataskeberkesanan,kecekapan

dan mekanisma kawalan ekonomi untuk mengutarakan

risikodankeutamaandalambidangoperasi,kewangan,

teknologi maklumat, pembangunan modal insan,

pembangunan perniagaan dan fungsi-fungsi strategik

yangmenggunapakaipendekatanauditberasaskanrisiko

sepertiyangdinyatakandalamPelanAudit.

• Menyediakan jaminan yang munasabah ke atas tahap

pematuhan polisi dan prosedur yang telah disediakan

di samping keperluan statutori BNM dan badan-badan

perundanganlain.

• Memberi khidmat nasihat kepada Pengurusan dan

subsidiariSyarikat.

• Mencadangkan peningkatan ke atas proses perniagaan

danpenambahbaikanbagisistemkawalandalamanyang

sediaada.

• Menjalankan audit susulan berhubung status tindakan

yang diambil oleh Pengurusan berdasarkan cadangan

yang dibuat dalampenemuan audit juruaudit dalaman,

juruauditluar,pegawaipemeriksaBNMdanlain-lain.

• Menjalankan semakan khas dan penyiasatan seperti

yang diminta oleh pengurusan Kanan dan pengesahan

daripadaPengerusiJawatankuasaAudit.

• Mengkaji semula kecukupan dan kesesuaian kawalan

dalaman dan pendedahan risiko di dalam pakej produk

baru berdasarkan semakan semula Rangka Kerja

PembangunanProduk.

• MenyediakanbimbingandannasihatkepadaJawatankuasa

Pelaksanaan Projek sebelum pelancaran produk baru dan

lama.

• Menjalankan semakan ke atas penyediaan sistem

teknologi maklumat, ujian dan penggunaan sebelum

ianyadilaksanakan.

• Menjalankan semakan khas terhadap pelaksanaan

pembersihan and perpindahan data untuk sistem teras

teknologimaklumatyangbaru.

• Menjalankanauditkeatasperkakasankomputer,sistem

operasi dan aplikasi serta rangkaian teknologi komunikasi

maklumat(ICT)TakafulMalaysia.


• Participated in tender and selection process in the

capacityofanobserver.

• Reviewed and provided guidance on the Business

ContinuityManagementexerciseconducted.

• ReviewedandcompiledtheupdatesontheSupervisory

ConcernspriortosubmissiontoBankNegaraMalaysia.

• ReviewedtheoutsourcingactivitiesfortheCompany.

• Guidedmanagement inpreparingtheAuditCommittee

report and Statement of Internal Control for disclosure

intheannualreport.

reports from the audit assignments are forwarded to the

Management for attention and necessary corrective actions

as recommended. The Management is responsible for

ensuring that corrective actions on reported weaknesses are

takenwithintherequiredtimeframe.Thecosts incurred in

maintainingtheInternalAuditfunctionwhichisperformedin-

houseforthefinancialyearunderreviewwasapproximately

RM3.0 million comprising mainly salaries, travelling and

accommodation expenses and subsistence allowance for

auditassignments.



• Menjadi pemerhati dalam tender dan proses

pemilihannya.

• Menyemak dan menyediakan bimbingan terhadap

latihan Pengurusan Kesinambungan Perniagaan yang

dijalankan.

• Menyemakdanmengumpuldata-dataterkiniSupervisory

Concern sebelum diserahkan kepada Bank Negara

Malaysia.

• MengkajisemulaaktivitikhidmatluarterhadapSyarikat.

• Membimbing Pengurusan dalammenyediakan Laporan

Jawatankuasa audit dan penyata Kawalan Dalaman

untukdizahirkandalamlaporantahunan.

Laporan daripada tugasan audit dikemukakan kepada pihak

Pengurusan untuk perhatian dan tindakan pembetulan

yang perlu seperti yang dicadangkan. Pihak Pengurusan

bertanggungjawab memastikan tindakan pembetulan

terhadap kelemahan yang dilapor dilaksanakan dalam

jangka masa yang ditetapkan. Jumlah kos yang terbabit

bagi mengekalkan fungsi Audit Dalaman yang dilakukan

secara dalaman bagi tahun kewangan yang dikaji adalah

lebih kurang sebanyakRM3.0 jutamerangkumi sebahagian

besarnyaadalahgaji,elaunperjalanandanpenginapandan

elaunsarahidupbagimenjalankantugasanaudit.


Penyata Urus Tadbir KorporatCorporate Governance Statement

The Board of Directors (“the Board”) of Syarikat Takaful

MalaysiaBerhad (“TakafulMalaysia”) continues to subscribe

and fully support the Malaysian Code of Corporate

Governance (“theCode”) and is committed to ensure that

the principles of Corporate Governance and Best practices

are observed and practised throughout the Group so that

the affairs of the Group are conducted with professionalism,

accountabilityandintegritywiththeobjectiveofsafeguarding

andenhancingshareholders’valueandfinancialperformance

oftheGroup.

The Board is pleased to report on the application of the

principles of the Code and the extent of compliance with the

Best practices of the Code as required under the Main Market

Listing requirements of Bursa Malaysia Securities Berhad

(“BursaMalaysiaListingRequirements”)duringthefinancial

yearunderreview.

DIRECTORS

The Board of Directors

TheBoardisresponsiblefortheoverallcorporategovernance

oftheGroupandisalsoentrustedwiththeresponsibilityof

exercisingreasonablecareoftheCompanyaswellasGroup’s

resources in the best interests of its shareholders and in

ensuringtheproperconductofbusiness.

Board Meetings

Boardmeetingsarescheduled inadvanceatthebeginning

of a calendar year with additional meetings convened when

necessary.Seventeen(17)Boardmeetingswereheldduring

theeighteen(18)monthsfinancialperiodunderreviewwith

details of meetings’ attendance of each Director as follows:

Lembaga Pengarah Syarikat Takaful Malaysia Berhad(“Takaful Malaysia”) terus mematuhi dan menyokongsepenuhnyaKodUrusTadbirKorporatMalaysia(“Kod”)dansentiasa komited dalammemastikan supaya Prinsip-prinsipdan Amalan Terbaik Urus Tadbir Korporat dipatuhi dandiamalkan oleh keseluruhan Kumpulan bagi membolehkanurusseliahal-ehwalKumpulandikendalikansecaraprofesional,bertanggungjawab dan berwibawa dengan objektif untukmelindungidanmempertingkatkannilaipelaburanpemegangsahamdanprestasikewanganKumpulan.

Lembaga Pengarah dengan ini berbesar hati melaporkanpelaksanaanpenggunaanPrinsip-prinsipKoddansejauhmanaKumpulantelahmematuhiKodAmalanTerbaiksebagaimanayang ditetapkan menurut Keperluan penyenaraian pasaran Utama Bursa Malaysia Securities Berhad (“KeperluanPenyenaraian Bursa Malaysia”) sepanjang tahun kewanganyangdikaji.

PENGARAH

Lembaga PengarahLembagaPengarahbertanggungjawabterhadapkeseluruhanaspekurustadbirkorporatKumpulandanjugadiamanahkandengantanggungjawabdalammelaksanakanpenjagaanyangsewajarnyakeatasSyarikatsertasumber-sumberKumpulanbagi memelihara kepentingan para pemegang saham danmemastikanpengurusanperniagaanyangsewajarnya.

Mesyuarat Lembaga PengarahMesyuarat Lembaga Pengarah dijadualkan terlebih dahulupadapermulaantahunkalendardenganmesyuarattambahandiadakan bila perlu. Tujuh belas (17) mesyuarat LembagaPengarah telah diadakan sepanjang lapan belas (18) bulantempoh kewangan yang dikaji dengan butiran kehadiransetiapPengarahsepertiberikut:

Nama/Name Kehadiran/ Peratus (%)/

Attendance Percentage (%)

Y.Bhg.TanSriDr.HadenanA.Jalil 1/1 100

(PengarahBukanEksekutifBukanBebas/Non-IndependentNon-ExecutiveDirector)

(Meletak jawatan pada 16 Julai 2009/resigned on 16 July 2009)

Y.Bhg.Dato’PadukaIsmeeIsmail 10/10 100

(PengarahBukanEksekutifBukanBebas/Non-IndependentNon-ExecutiveDirector)

(Dilantikpada16Disember2009/Appointedon16December2009)

Y.Bhg.Dato’MohamedHassanMdKamil 16/17 94

(PengarahEksekutifBukanBebas/Non-IndependentExecutiveDirector)

Y.A.M.TengkuAzmanIbniAlmarhumSultanAbuBakar 8/10 80

(PengarahBukanEksekutifBebas/IndependentNon-ExecutiveDirector


PuanRozaidaOmar

(PengarahBukanEksekutifBukanBebas/Non-IndependentNon-ExecutiveDirector) 17/17 100


Penyata Urus Tadbir Korporat

Corporate Governance Statement

SemuaPengarahmemiliki latarbelakangpengalamankerja

yangluasdalampelbagaibidang,dandenganinimembolehkan

mereka membuat pertimbangan yang sewajarnya dalam

melaksanakantugasmereka.

Keseimbangan Lembaga PengarahSepanjangtahunkewanganyangdikaji,LembagaPengarah

terdiri daripada:

AllDirectorshavethebackingofextensiveworkexperience

invariousfieldsandthereforeabletoexerciseindependent

judgementinordertodischargetheirduties.

Board Balance

Duringthefinancialyearunderreview,theBoardcomprises

the following:



EncikMahadzirAzizan

(PengarahBukanEksekutifBebas/IndependentNon-ExecutiveDirector) 16/17 94


(PengarahBukanEksekutifBebas/IndependentNon-ExecutiveDirector) 16/17 94

EncikJohanAbdullah

(PengarahBukanEksekutifBukanBebas/Non-IndependentNon-ExecutiveDirector) 16/17 94

EncikZakariaIsmail

(PengarahBukanEksekutifBebas/IndependentNon-ExecutiveDirector)

(Dilantik pada 15 Mei 2010/appointed on 15 May 2010) 6/7 86

Nama/Name Komposisi/ Peratus(%)/

Composition Percentage (%)

PengarahEksekutifBukanBebas/Non-IndependentExecutiveDirector 1/7 14

PengarahBukanEksekutifBukanBebas/Non-IndependentNon-ExecutiveDirectors 3/7 43

PengarahBukanEksekutifBebas/IndependentNon-ExecutiveDirectors 3/7 43

* Komposisi di atas adalah selepas peletakan jawatan oleh Y. Bhg. Tan Sri Dr Hadenan A. Jalil pada 16 Julai 2010, persaraan Y. A. M. Tengku Azman Ibni Almarhum Sultan Abu Bakar pada 14 Mei 2010 dan pelantikan Y. Bhg. Dato‘ Paduka Ismee Ismail dan Encik Zakaria Ismail masing-masing pada 16 Disember 2009 dan 15 Mei 2010.

Komposisi di atas mematuhi Keperluan penyenaraian Bursa

Malaysiayangmewajibkansatupertiga(1/3)daripadapara

PengarahTakafulMalaysiaterdiridaripadaPengarahBebas.

LembagaPengarahyangmempunyaipelbagailatarbelakang

dankepakarankhusus,secarakolektifnyamembawabersama

merekapengalamandankepakaranyangluasdalambidang-

bidang seperti kewangan, insurans, aktuari, perakaunan,

kesetiausahaan syarikat, perundangan, pengurusan dan

perbankan.ProfilahliLembagaPengarahadadibentangkan

di muka surat 24 hingga 30 dalam Laporan Tahunan ini.

Terdapat pembahagian yang jelas antara tanggungjawab

PengerusidanPengarahUrusanKumpulanbagimemastikan

keseimbangankuasadanautoriti.

* The above composition is after the resignation of

Y. Bhg. Tan Sri Dr Hadenan A. Jalil on 16 July 2010, retirement

of Y. A. M. Tengku Azman Ibni Almarhum Sultan Abu Bakar

on 14 May 2010 and appointments of Y. Bhg. Dato‘ Paduka

Ismee Ismail and Encik Zakaria Ismail on 16 December 2009

and 15 May 2010 respectively.

TheabovecompositionisincompliancewithBursaMalaysia

Listing requirements which require that one third (1/3) of

DirectorsofTakafulMalaysiatobeIndependentDirectors.

The Board with their different backgrounds and

specializations,collectivelybringwiththemawiderangeof

experienceandexpertiseinareassuchasfinance,insurance,

actuary, accounting, company secretarial, legal, management

andbanking.Theprofilesof theDirectors areprovidedon

pages24to30oftheAnnualReport.Thereisacleardivision

of responsibilities between the Chairman and the Group

ManagingDirectortoensurethatthereisabalanceofpower

andauthority.




The roles of the Chairman and Group Managing Director

are clearly defined with the Chairman being responsible

for running the Board and lead the discussion at the Board

level whilst the Group Managing Director is responsible

for managing the Company and the Group as well as the

implementationoftheBoard’spoliciesanddecisions.

The Code recommends the appointment of a senior

independent non-executive Director to whom concerns

maybeconveyedbyotherBoardmembers.However,given

thehighcaliberandstandingof the individualmembersof

the Board and the separation of the roles of the Chairman

and Group Managing Director, the Board currently does

not consider it necessary to nominate a designated Senior

IndependentNon-ExecutiveDirector.

Board Committees

To enable the Board to discharge its duties effectively

whilst enhancing business and operational efficacy, the

Board delegates certain responsibilities to four (4) Board

Committees, namely:

• AuditCommittee

• NominationCommittee

• RemunerationCommittee;and

•RiskManagementCommittee

all Committees have clear written terms of reference and the

Boardreceivesreportsoftheirproceedingsanddeliberations.

The Chairman of the various Committees will report to the

Board the outcome of their meetings and such reports are

incorporatedintheminutesoftheBoardMeeting.

TheCommittees’membershiparebasedonDirectors’skills

and experience aswell as their ability to add value to the

Committees.

Shariah Advisory Body

The Shariah Advisory Body is entrusted by the Board to

ensure that the Group’s operations and products offered are

inaccordancewithShariahrequirements.Allmatterswhich

require the Shariah advisory Body’s opinion and decision

aredeliberatedatShariahAdvisoryBodymeetingswiththe

attendance of the Management and representatives from the

ShariahDepartment.Thereon,thesaidmattersarebroughtto

theattentionoftheBoardforaninformeddecisionmaking.

peranan pengerusi dan pengarah urusan Kumpulan ditakrif

denganjelasdimanaPengerusibertanggungjawabterhadap

pengendalianLembagaPengarahdanmenerajuiperbincangan

diperingkatLembagaPengarahsementaraPengarahUrusan

KumpulanbertanggungjawabterhadappengurusanSyarikat

dan Kumpulan serta pelaksanaan dasar dan keputusan yang

telahdiputuskanolehLembagaPengarah.

Kod ada mengesyorkan pelantikan pengarah Bukan eksekutif

Bebas Kanan di mana sebarang kemusykilan boleh dirujuk

olehahliLembagaPengarahyanglain.Walaubagaimanapun,

memandangkan setiap ahli Lembaga Pengarah adalah

berkalibertinggidanperananyangberbezaantaraPengerusi

dan Pengarah Urusan Kumpulan, buat masa ini Lembaga

pengarah menganggap adalah tidak perlu untuk melantik

PengarahBukanEksekutifBebasKananyangkhusus.

Jawatankuasa Lembaga PengarahDalammemastikanLembagaPengarahmelaksanakantugas

mereka dengan lebih berkesan di samping meningkatkan

perniagaan dan kecekapan operasi, Lembaga Pengarah

mengagihkan tanggungjawab tertentu kepada empat (4)

JawatankuasaLembagaPengarah,iaitu:

• JawatankuasaAudit

• JawatankuasaPemilihan

•JawatankuasaGanjaran;dan

• JawatankuasaPengurusanRisiko

Setiap Jawatankuasa mempunyai terma rujukan bertulis

yang jelasdanLembagaPengarah menerima laporanbagi

setiappersidangandanpertimbanganJawatankuasatersebut.

PengerusibagisetiapJawatankuasaakanmelaporkankepada

Lembaga Pengarah setiap keputusan dari mesyuarat yang

dijalankandan laporantersebutakandimasukkankedalam

minitMesyuaratLembagaPengarah.

KeahlianJawatankuasaadalahbergantungkepadakemahiran

danpengalamanseseorangPengarahsertakebolehanmereka

memberinilaitambahkepadaJawatankuasa.

Badan Penasihat SyariahBadan Penasihat Syariah telah diberi kepercayaan oleh

LembagaPengarahbagimemastikanoperasidanprodukyang

ditawarkan oleh Kumpulan adalah berlandaskan keperluan

Syariah. Kesemua perkara yang memerlukan pandangan

dankeputusanBadanPenasihatSyariahakandibentangkan

di dalam mesyuarat Badan penasihat Syariah di mana ianya

jugadihadiriolehpihakPengurusandanwakildariJabatan

Syariah. Kemudian, perkara tersebut akan dibawa kepada

Lembaga Pengarah untuk memaklumkan keputusan yang

telahdibuat.




TheShariahAdvisoryBodyconsistsoffive(5)members,all

of whom have the necessary experiences and expertise in

theirrespectivefields.ThecurrentChairmanoftheShariah

Advisory Body is Y. Bhg. Dr. Ahmad Shahbari @ Sobri

Salamon. The Shariah Advisory Body meets six (6) times

during the eighteen (18) months financial period under

reviewwithdetailsofmeetings’attendanceofeachmember

as follows:

Badan penasihat Syariah terdiri daripada lima (5) orang ahli

di mana kesemuanya mempunyai pengalaman dan kepakaran

yangdiperlukandidalambidangmasing-masing.Y.Bhg.Dr.

Ahmad Shahbari @ Sobri Salamon merupakan Pengerusi

Badan Penasihat Syariah sekarang. Enam (6) mesyuarat

Badan penasihat Syariah telah diadakan sepanjang lapan

belas(18)bulantempohkewanganyangdikajidenganbutiran

kehadiransetiapahlisepertiberikut:

Sumber Maklumat kepada Lembaga PengarahLembagaPengarahmempunyaiaksespenuhdansecukupnyakepada maklumat berkenaan kertas Lembaga Pengarahyang diedarkan sebelum mesyuarat agar Pengarahbolehmendapatkan penjelasan lanjut, apabila diperlukanbagi mendapatkan penerangan yang sewajarnya sebelummesyuarat. Kertas Lembaga Pengarah merangkumi minitmesyuarat Lembaga Pengarah yang lalu, minit mesyuaratsemua Jawatankuasa Lembaga Pengarah dan laporanyang berkaitan isu-isumesyuarat yangmeliputi kewangan,pelaburan,teknologimaklumat,operasi,sumbermanusiadanperkara berkaitan dengan pematuhan peraturan. PengarahUrusan Kumpulan akan memaklumkan kepada LembagaPengarah tepat pada masanya, berhubung semua isupenting yang bolehmempengaruhi prestasi Kumpulan danpembangunanutamayangberlakudalamKumpulan.

SemuaahliLembagaPengarahmempunyaiaksesyangtidakterhad kepada maklumat yang tepat dan pada masa yang ditetapkan serta khidmat nasihat Setiausaha Syarikat yang bertanggungjawab untuk memastikan supaya prosedurmesyuarat Lembaga Pengarah dituruti dan semua syaratsertaperaturanyangditerimapakaidipatuhi.ParaPengarahjuga boleh mendapatkan nasihat badan profesional bebasdalam menjalankan tugas mereka, di bawah tanggunganTakafulMalaysia.

Pelantikan sebagai ahli Lembaga PengarahPelantikanahliLembagaPengarahyangbarudipertimbangdan dinilai oleh Jawatankuasa pemilihan dan Jawatankuasa tersebut akan mengesyorkan pelantikan tersebut kepadaLembaga Pengarah untuk diluluskan. Selaras dengan AktaTakaful,1984dankeperluanBankNegaraMalaysia(“BNM”),



Y.Bhg.Dr.AhmadShahbari@SobriSalamon 6/6 100

Y.Bhg.UstazMohdBakirHj.Mansor 6/6 100

Y.Bhg.Dr.AidaOthman 6/6 100

Y.Bhg.AssociateProfessorDr.MuhamadRahimiOsman

(Dilantik pada 12 Januari 2010/appointed on 12 January 2010) 2/3 67

Y.Bhg.DatukAbdulHamidSaid 6/6 100

(Bersara pada 1 april 2011/retired on 1 april 2011)

Supply of Information to the Board

The Board has full and timely access to information with

Boardpapersdistributedinadvanceofmeetingstoenable

theDirectorstoobtainfurtherexplanation,wherenecessary,

in order to be properly briefed before the meetings. The

Board papers include the minutes of previous Board meeting,

minutes of meetings of all Committees of the Board and

reports relevant to the issues of the meetings covering

areassuchasfinancial, investment, informationtechnology,

operational, human resource and regulatory compliance

matters. The Group Managing Director keeps the Board

informed, on timely basis, of all material matters affecting

the Group’s performance and major developments within the

Group.

All theBoardmembers have unrestricted access to timely

and accurate information and access to the advice and

services of theCompany Secretary,who is responsible for

ensuring that Board meeting’s procedures are followed and

that all applicable rules and regulations are compliedwith.

The Directors can also seek independent professional advice

infurtheranceoftheirduties,atTakafulMalaysia’sexpense.

Appointments to the Board

TheappointmentofnewBoardmembersareconsideredand

evaluatedbytheNominationCommitteeandtheCommittee

wouldrecommendtheappointmenttotheBoardforapproval.

In linewithTakafulAct, 1984and the requirementofBank

Negara Malaysia (“BNM”), the appointment of Directors is

subjecttotheapprovalfromBNM.TheCompanySecretary


pelantikan pengarah adalah tertakluk kepada kelulusan

BNM. Setiausaha Syarikat akan memastikan supaya semua

pelantikandilakukandengancarayangbetuldimanasemua

maklumat yang diperlukan diperoleh serta semua syarat

perundangandanperaturandipenuhi.

Jawatankuasa PemilihanJawatankuasa Pemilihan kini terdiri daripada empat (4)

pengarah Bukan eksekutif [di mana dua (2) daripada mereka

adalahPengarahBebas]danseorang(1)PengarahEksekutif.

Pengerusi Jawatankuasa kini ialah Encik Zakaria Ismail,

seorang Pengarah Bukan Eksekutif Bebas. Jawatankuasa

Pemilihan telah bermesyuarat sebanyak lapan (8) kali

sepanjang lapan belas (18) bulan tempoh kewangan yang

dikajidenganbutirankehadiransetiapahlisepertiberikut:



will ensure that all the appointments are properly made, all

necessary informationareobtained,aswellasall legaland

regulatoryrequirementsaremet.

Nomination Committee

The Nomination Committee currently consist of four (4)

Non-ExecutiveDirectors[two(2)ofwhomareIndependent]

andone(1)ExecutiveDirector.ThecurrentChairmanofthe

Committee is Encik Zakaria Ismail, an Independent Non-

ExecutiveDirector.TheNominationCommitteemeteight(8)

timesduringtheeighteen(18)monthsfinancialperiodunder

reviewwithdetailsofmeetings’attendanceofeachmember

as follows:

Jawatankuasa Pemilihan telah diberikan mandat oleh

Lembaga Pengarah dan terma rujukannya untuk

membentang kepada Pengarah cadangan pemilihan ahli

Lembaga Pengarah, Pengarah Urusan Kumpulan/Ketua

pegawai eksekutif dan pengurus Besar, dan sentiasa

mengkaji syarat-syarat pelantikan Pengarah, Pengarah

urusan Kumpulan/Ketua pegawai eksekutif dan pengurus

Besar. Jawatankuasa Pemilihan juga diberi mandat untuk

menilaikeberkesananLembagaPengarah,Jawatankuasanya

dan sumbangan setiap Pengarah. Jawatankuasa Pemilihan

juga merangka pelan peralihan jawatan bagi Pengurusan

Kanan Takaful Malaysia. Penilaian keberkesanan Lembaga

pengarah dan Jawatankuasanya iaitu Jawatankuasa

pemilihan, Jawatankuasa Ganjaran, Jawatankuasa audit dan

Jawatankuasa Pengurusan Risiko di samping sumbangan

setiapPengarahtelahdijalankanpadatahunini.

TheNominationCommitteeisempoweredbytheBoardandits

termsofreferencearetobringtotheBoardrecommendations

as to the appointment of new Directors, Group Managing

Director/ChiefExecutiveOfficerandGeneralManagers,and

keeps under review the terms of appointment of Directors,

GroupManagingDirector/ChiefExecutiveOfficerandGeneral

Managers.TheNominationCommitteeisalsoempoweredto

assess the effectiveness of the Board, its Committees and

thecontributionofeachindividualDirector.TheNomination

Committee also discussed the succession plan of the Senior

Management of Takaful Malaysia. An assessment of the

effectiveness of the Board as a whole and its Committees

i.e.NominationCommittee,RemunerationCommittee,Audit

Committee and risk Management Committee as well as

thecontributionofeach individualdirectorwascarriedout

duringtheyear.



EncikZakariaIsmail(Dilantikpada15Mei2010/appointed on 15 May 2010) 3/3 100

EncikJohanAbdullah 7/8 88

PuanRozaidaOmar 8/8 100


Y.Bhg.Dato’SulaimanMohdYusof 6/8 75

Y.A.M.TengkuAzmanIbniAlmarhumSultanAbuBakar

(PengarahBukanEksekutifBebas/IndependentNon-ExecutiveDirector)

(Bersarapada14Mei2010/Retiredon14May2010) 4/5 80


Latihan PengarahSemua ahli Lembaga Pengarah telah menghadiri ProgramLatihan Akreditasi Mandatori (“MAP”). Mereka akan terusmenghadiri lain-lain program latihan, kursus dan seminaryang relevan untuk mempertingkatkan kemahiran dan pengetahuan mereka dalam menjalankan tugas mereka sebagaiPengarah.

Sepanjang tahun ini, para pengarah telah menghadiri pelbagai kursus latihan yang berkaitan dengan CorporateGovernance Guide-Towards Boardroom Excellence, Banknegara Malaysia Financial Industry Conference, Financial InstitutionsDirectors’Education(FIDE)Programme,SC-BursaMalaysia Lecture Series, MInDa Tea Talk, MInDa Flagship programme: Building high performance Directors 2010, MICG updates on the regulatory Framework and Directors Duties 2010, Financial Industry Conference 2010 dan Launch ofSustainabilityProgrammeforCorporateMalaysia.TakafulMalaysia juga terus menyediakan pekeliling BnM, Keperluan PenyenaraianBursaMalaysiayangdikemaskinidanperaturan-peraturanbaru lainuntukmembantuparaPengarahdalammendapatkanmaklumatmengenaiperkembanganterkini.

Pemilihan SemulaTataurusan persatuan Syarikat memperuntukkan agar semua pengarah termasuk pengarah urusan Kumpulan/Ketua pegawai eksekutif untuk menawarkan diri mereka bagi pemilihan semula sekurang-kurangnya setiap tiga (3)tahun sekali selaras dengan Keperluan penyenaraian Bursa Malaysia.

Bagimembantuparapemegangsahammembuatkeputusan,maklumatyangmencukupisepertiprofilperibadi,kehadiranmesyuaratdanpegangansahamdalamSyarikatbagisetiapPengarahyangbersediauntukpemilihansemuladisediakandalamLaporanTahunan.

GANJARAN PENGARAH

Peringkat dan Kandungan GanjaranJawatankuasa Ganjaran bertanggungjawabmengesyorkanrangka kerja ganjaranbagi paraPengarah termasuk pakejganjaranbagiPengarahEksekutifdanPengurusBesarkepadaLembaga Pengarah bagi memastikan Takaful Malaysiamampumenarikminat,memberimotivasidanmengekalkanahliLembagaPengarahdanPengurusKananyangdiperlukanuntuk mentadbir dengan jayanya. Ganjaran para Pengarahadalah sejajar dengan amalan keseluruhan Kumpulan mengenai ganjaran dan imbuhan. Pengarah Eksekutif tidakterlibatdalamapajugacaradalammenentukanganjarannyasendiri. Lembaga Pengarah secara keseluruhannyamenentukanganjaranbagiPengarahBukanEksekutif.



Directors’ Training

all Directors have attended the Mandatory accreditation

Programme (“MAP”). TheDirectorswill continue to attend

other relevant training programmes, courses and seminars to

enhance their skills and knowledge in discharging their duties

asDirectors.

During the year, the Directors attended training courses

relatedtoCorporateGovernanceGuide-TowardsBoardroom

excellence, Financial Industry Conference, Bank negara

Malaysia Financial Institutions Directors’ education (FIDe)

Programme, SC-BursaMalaysia Lecture Series,MINDA Tea

Talk, MInDa Flagship programme: Building high performance

Directors 2010, MICG updates on the regulatory Framework

and Directors Duties 2010, Financial Industry Conference

2010andLaunchofSustainabilityProgrammeforCorporate

Malaysia.TakafulMalaysiaalsocontinuedtoprovideBNM’s

Circulars, updated Bursa Malaysia Listing requirements and

new regulations to assist the Directors in keeping abreast

withthelatestdevelopment.

Re-election

The articles of association provide for all Directors including

the Group Managing Director/Chief Executive Officer to

submitthemselvesforre-electionatleasteverythree(3)years

incompliancewithBursaMalaysiaListingRequirements.

Toassistshareholdersintheirdecision,sufficientinformation,

such as personal profile, meetings attendance and

shareholding in the Company of each director standing for

re-electionarefurnishedintheAnnualReport.

DIRECTORS’ REMUNERATION

Level and Make-up of Remuneration

TheRemunerationCommitteeisresponsibleinrecommending

the remuneration framework for the Directors as well as the

remuneration package of executive Director and General

Managers to the Board so as to ensure that Takaful Malaysia

attracts, motivates and retains the Directors and Senior

Managementneededtorunitsuccessfully.Theremuneration

of Directors is in line with the Group’s overall practice on

compensation and benefits. The Executive Director does

not participate in any way in determining his individual

remuneration. The Board as a whole determines the

remunerationofNon-ExecutiveDirectors.




Yuran para pengarah diluluskan oleh para pemegang saham diMesyuaratAgungTahunan.

Jawatankuasa Ganjaran Jawatankuasa Ganjaran kini terdiri daripada tiga (3) orang pengarah Bukan eksekutif, [di mana dua (2) daripada mereka adalah Pengarah Bebas] dan juga seorang (1)Pengarah Eksekutif. Pengerusi Jawatankuasa kini ialahEncik Mahadzir Azizan, seorang Pengarah Bukan EksekutifBebas.JawatankuasaGanjarantelahbermesyuaratsebanyak

sembilan (9) kali sepanjang lapanbelas (18) bulan tempoh kewanganyangdikaji denganbutiran kehadiran setiap ahlisepertiberikut:

Directors’ fees are approved by the shareholders at the

AnnualGeneralMeeting.

Remuneration Committee

The remuneration Committee currently consist of three (3)

Non-ExecutiveDirectors,[two(2)ofwhomareIndependent]

andone(1)ExecutiveDirector.ThecurrentChairmanofthe

Committee isEncikMahadzirAzizan, an IndependentNon-

ExecutiveDirector.TheRemunerationCommitteemetnine

(9) times during the eighteen (18)months financial period

under review with details of meetings’ attendance of each

memberasfollows:

Pengarah Eksekutif/ Pengarah Bukan Eksekutif/ Jumlah/ Executive Director Non Executive Directors Total (RM’000) (RM’000) (RM’000)

Yuran/Fees 0 721 721

Gajidanlain-lainemolumen/ 5,165 0 5,165Salaries and other emoluments

Manfaat seumpamanya/ 10 3 13Benefits-in-kind

Jumlah/Total 5,175 724 5,899

Nama/Name Kehadiran/ Peratus (%)/ Attendance Percentage (%)

EncikMahadzirAzizan 9/9 100

EncikJohanAbdullah(DilantiksebagaiAhlipada15Mei2010/AppointedasMemberon15May2010) 3/4 75


EncikZakariaIsmail(Dilantik pada 15 Mei 2010/appointed on 15 May 2010) 3/4 75

Y.A.M.TengkuAzmanIbniAlmarhumSultanAbuBakar(PengarahBukanEksekutifBebas/IndependentNon-ExecutiveDirector(Bersarapada14Mei2010/Retiredon14May2010) 4/5 80

Y.Bhg.Dato’SulaimanMohdYusof(ahli sehingga 15 Mei 2010/Memberupto15May2010) 3/5 60

Pendedahanringkasan maklumat mengenai ganjaran para pengarah

sepanjang lapanbelas(18)bulantempohkewanganberakhir

31Disember2010adalahsepertiberikut:

Disclosure

The details of the remuneration for the Directors for the

eighteen (18) months financial period ended 31 December

2010 are as follows:




PEMEGANG SAHAM

Dialog antara Syarikat dan para Pelabur

Takaful Malaysia sedar akan kepentingan untuk sentiasa

memaklumkan kepada para pemegang saham berkenaan

semua perkembangan utama TakafulMalaysia dari semasa

ke semasa. Pengerusi dan Pengarah Urusan Kumpulan

mengadakan perbincangan dengan pemegang saham

sekurang-kurangnya sekali (1) setahun semasa Mesyuarat

Agung Tahunan. Selain itu, pelbagai pendedahan dan

pengumuman dibuat kepada Bursa Malaysia termasuk

keputusan suku tahunan, laporan setengah tahunan dan

keputusantahunanbagimemudahkanmenyebaranmaklumat

kepada pemegang saham. Tambahan lagi, maklumat-

maklumatlainmengenaiSyarikatbolehdiperolehidilaman

webTakafulMalaysia,iaituwww.takaful-malaysia.com.my.

Mesyuarat Agung Tahunan

Mesyuarat Agung Tahunan adalah forum utama bagi

dialog dengan pemegang saham. Selain dari agenda biasa

untukMesyuaratAgungTahunan,LembagaPengarahakan

membentangkanlaporanprestasidanpencapaianperniagaan

sepertiyangdinyatakandalamLaporanTahunandanmemberi

peluang kepada pemegang saham untuk mengemukakan

soalanmengenaiaktivitiperniagaanKumpulan.

Bagi pemilihan semula para Pengarah, Lembaga Pengarah

akan memastikan maklumat sepenuhnya dimaklumkan

menerusi notis mesyuarat berhubung para Pengarah yang

akan bersara danmana-mana Pengarah yangmenawarkan

diriuntukberkhidmatsekiranyadilantiksemula.

Setiap perkara urusan khas yang terkandung dalam notis

mesyuaratakandisertakandenganpenyatapeneranganbagi

resolusi yang dicadangkan untuk memudahkan pemahaman

sepenuhnyadanpenilaianterhadapisuberkaitan.

SHAREHOLDERS

Dialogue between the Company and Investors

Takaful Malaysia recognizes the importance to keep the

shareholderswell-informedofallmajordevelopmentsof

TakafulMalaysiaonatimelybasis.TheChairmanandGroup

Managing Director hold discussions with shareholders at

least once (1) a year during the Annual General Meeting.

additionally, various disclosures and announcements made

to Bursa Malaysia including quarterly, semi-annual returns

and annual results facilitate the dissemination of information

to the shareholders. In addition, other information about

the Company is available on Takaful Malaysia’s website,

www.takaful-malaysia.com.my.

The Annual General Meeting

The annual General Meeting is the principal forum for

dialogueswithshareholders.Besidesthenormalagendafor

the annual General Meeting, the Board presents the progress

andperformanceofthebusinessascontainedintheAnnual

report and provides opportunities for shareholders to raise

questionspertainingtothebusinessactivitiesoftheGroup.

For re-election ofDirectors, theBoardwill ensure that full

information is disclosed through the notice of meeting

regarding directors who are retiring and who are willing to

serveifre-elected.

Each itemof specialbusiness included in thenoticeof the

meetingwillbeaccompaniedbyanexplanatory statement

for the proposed resolution to facilitate full understanding

andevaluationofissuesinvolved.

Ganjaran Pengarah/ Jumlah Pengarah/Directors’ Remuneration Number of Directors

Pengarah Eksekutif/ Pengarah Bukan Eksekutif/ Executive Director Non Executive Directors

Dibawah/Below than rM50,000 - 1

RM50,001–RM100,000 - 4

RM100,001–RM150,000 - 3

RM150,001–RM200,000 - -

Melebihi/More than rM200,001 1 -

Jumlah/Total 1 8




ACCOUNTABILITY AND AUDIT

Financial Reporting

TheBoardensuresthattheannualfinancialstatementsand

quarterly announcements to shareholders are prepared in

accordance with approved accounting standards and present

a balance and understandable assessment of the Group’s

position and prospects. The Audit Committee assists the

Boardinensuringaccuracyandadequacyofinformationby

reviewing and recommending for adoption information for

disclosure.

Statement of Directors’ Responsibilities in Relation to

Financial Statements

The Directors are required under the Companies act, 1965

topreparefinancialstatementsforeachfinancialyearwhich

give a true and fair view of the state of affairs of the Company

andtheGroupasattheendofthefinancialyearandofthe

incomestatementandcashflowsfortheCompanyandthe

Groupforthefinancialyear.

The Directors consider that, in preparing the financial

statementsfortheyearended31December2010,theGroup

has used appropriate accounting policies, consistently

appliedandsupportedbyreasonableandprudentjudgements

and estimates. The Directors have also considered that all

applicable accounting standards have been followed and

confirmthatthefinancialstatementshavebeenpreparedon

thegoingconcernbasis.

TheDirectorsareresponsibleforensuringthattheCompany

maintains adequate accounting records which disclose with

reasonableaccuracythefinancialpositionoftheCompanyto

enablethemtoensurethatthefinancialstatementscomply

withtherequirementsoftheCompaniesAct,1965.

The Directors generally have the duty to take such steps as

arereasonablyavailabletothemtosafeguardtheassetsof

the Company and the Group, and to prevent and detect fraud

andotherirregularities.

AKAUNTABILITI DAN AUDIT

Laporan Kewangan

Lembaga Pengarah perlu memastikan yang penyata

kewangan tahunan dan pengumuman suku tahunan kepada

pemegang saham disediakan selaras dengan piawaian

perakaunanyangdiluluskandanmembentangkanpenilaian

yang seimbang dan boleh difahami mengenai kedudukan

dan prospek Kumpulan. Jawatankuasa Audit membantu

LembagaPengarahmemastikanketepatandankelengkapan

maklumat dengan mengkaji dan mencadangkan mengguna

pakaimaklumatbagitujuanpendedahan.

Penyata Tanggungjawab Para Pengarah Berkenaan Penyata

Kewangan

Menurut Akta Syarikat, 1965, Lembaga Pengarah perlu

menyediakanpenyatakewanganbagisetiaptahunkewangan

yangmemberigambaranyangbenardansaksamamengenai

keadaanurusanhal-ehwalSyarikatdanKumpulansehingga

akhir tahun kewangan serta penyata hasil dan aliran tunai

SyarikatdanKumpulanuntuktahunkewangan.

Para Pengarah memberi pertimbangan bahawa, dalam

menyediakan penyata kewangan bagi tahun berakhir

31 Disember 2010, Kumpulan telah menggunakan dasar

perakaunan yang sesuai, digunakan secara konsisten dan

disokongolehpertimbangandananggaranyangwajardan

berhemat. Para Pengarah juga telah mempertimbangkan

bahawa kesemua piawaian perakaunan yang berkaitan

dipatuhi dan mengesahkan bahawa penyata kewangan

disediakanmengikutdasarperniagaanberterusan.

Para Pengarah bertanggungjawab memastikan supaya

Syarikat menyediakan rekod perakaunan yang secukupnya

yang menunjukkan ketepatan yang munasabah mengenai

kedudukan kewangan Syarikat bagi membolehkan mereka

memastikan agar penyata kewangan tersebut mematuhi

keperluan Akta Syarikat, 1965. Para Pengarah mempunyai

tanggungjawab secara am untukmengambil langkah yang

munasabah dalam memastikan perlindungan aset Syarikat

dan Kumpulan terpelihara dan mengelakkan serta mengesan

sebarangbentukpenipuandankesalahanundang-undang.




Kawalan Dalaman dan Pengurusan Risiko

Lembaga Pengarah mengiktiraf tanggungjawabnya dan

komited untuk mengekalkan pelaksanaan sistem kawalan

dalaman dan amalan pengurusan risiko yang berwibawa.

Walau bagaimanapun, sistem tersebut hanya dapat

memberikan jaminan berpatutan dan bukannya mutlak

daripadasebarangsalahnyataataukerugianketara.

Penyata Kawalan Dalaman yang dibentangkan di muka

surat64hingga67dalamLaporanTahunaninimemberikan

tinjauan menyeluruh mengenai kedudukan kawalan dalaman

Kumpulan.

Hubungan dengan Juruauditperanan Jawatankuasa audit dinyatakan di muka surat 40hingga49.MelaluiJawatankuasaAuditLembagaPengarah,SyarikattelahmewujudkanhubunganyangtelusdansesuaidenganjuruauditSyarikat,samaadadalamanmahupunluar.Jika perlu, juruaudit luar akan dijemput untuk menghadiri mesyuaratJawatankuasa.

PenyatainidibuatselarasdenganresolusiLembagaPengarahbertarikh18Februari2011.

Internal Control and Risk Management

TheBoardacknowledgesitsresponsibilityandiscommitted

in maintaining a sound system of internal control and risk

management practice. However, such system can only

provide reasonable but not absolute assurance against

materialmisstatementsorlosses.

The Statement on Internal Control furnished on pages

64to67 intheAnnualReportprovidesanoverviewofthe

stateofinternalcontrolwithintheGroup.

Relationships with the Auditors

TheroleoftheAuditCommitteeisasstatedonpages40to

49.ThroughtheAuditCommitteeoftheBoard,theCompany

has established transparent and appropriate relationship

with theCompany’s auditors, both internal and external. If

required, the external auditors are invited to attend meetings

oftheCommittee.

This statement is made in accordance with the resolution of

theBoardofDirectorsdated18February2011.


Maklumat Pematuhan TambahanAdditional Compliance Information

1. UTILISATION OF PROCEEDS

The bonus issue, rights issue and private placement

exercises were completed on 16 September 2003, 27

October2003and25March2005respectivelywhilstthe

ESOSwasimplementedon3November2003.

Total proceeds from the private placement exercise of

RM10,878,000hadbeenfullyutilisedduringthefinancial

year ended 30 June 2005 whilst the rights issue proceeds

ofRM77,000,000werefullyutilisedduringthefinancial

yearended30June2009.

2. SHARE BUYBACKS

During theeighteen (18)monthsfinancialperiod, there

werenosharebuybacksbyTakafulMalaysia.

3. OPTIONS, WARRANTS OR CONVERTIBLE SECURITIES

Nooptions,warrantsorconvertiblesecuritieswereissued

by Takaful Malaysia during the eighteen (18) months

financialperiod.

4. AMERICAN DEPOSITORY RECEIPT (ADR) OR GLOBAL

DEPOSITORY RECEIPT (GDR) PROGRAMME

Duringtheeighteen(18)monthsfinancialperiod,Takaful

MalaysiadidnotsponsoranyADRorGDRprogramme.

5. IMPOSITIONS OF SANCTIONS/PENALTIES

There were no sanctions and/or penalties imposed

on Takaful Malaysia and its subsidiaries, Directors or

Management by relevant regulatory bodies during the

eighteen(18)monthsfinancialperiod.

6. NON-AUDIT FEES

TherewereRM308,000non-auditfeespaidtoexternal

auditors during the eighteen (18) months financial

period.

1. PENGGUNAAN DANA

Terbitan bonus, terbitan hak dan pelaksanaan tawaran

persendirian masing-masing telah diselesaikan pada 16

September 2003, 27 Oktober 2003 dan 25 Mac 2005

sementara ESOS telah dilaksanakan pada 3 November

2003.

Jumlah dana dari pelaksanaan tawaran persendirian yang

berjumlah RM10,878,000 telah digunakan sepenuhnya

dalamtahunkewanganberakhir30Jun2005sementara

dana dari terbitan hak sebanyak RM77,000,000 telah

digunakansepenuhnyadalamtahunkewanganberakhir

pada30Jun2009.

2. PEMBELIAN BALIK SAHAM

Sepanjang lapan belas (18) bulan tempoh kewangan,

tiada sebarang pembelian balik saham dilakukan oleh

TakafulMalaysia.

3. OPSYEN, WARAN ATAU SEKURITI BOLEH TUKAR

Tiadasebarangopsyen,waranatausekuritibolehtukar

yangditerbitkanolehTakafulMalaysiasepanjang lapan

belas(18)bulantempohkewangan.

4. PROGRAM AMERICAN DEPOSITORY RECEIPT (ADR)

ATAU GLOBAL DEPOSITORY RECEIPT (GDR)


Takaful Malaysia tidak menaja sebarang program ADR

atauGDR.

5. PENGENAAN SEKATAN/PENALTI

Tiada sekatan dan/atau penalti yang dikenakan ke atas

Takaful Malaysia dan subsidiari, para Pengarah atau

Pengurusannyaolehpihakberkuasaberkaitansepanjang

lapanbelas(18)bulantempohkewangan.

6. YURAN BUKAN AUDIT

Yuran bukan audit yang dibayar kepada juruaudit luar

sepanjang lapan belas (18) bulan tempoh kewangan

berjumlahRM308,000.


Maklumat Pematuhan Tambahan

Additional Compliance Information

7. VARIATION IN RESULTS

Thereisnosignificantvariationbetweentheresultsforthe

eighteen(18)monthsfinancialperiodandtheunaudited

results previously announced. Takaful Malaysia did not

release any profit estimate, forecast or projections for

thefinancialyear.

8. PROFIT GUARANTEE

During theeighteen (18)monthsfinancialperiod, there

wasnoprofitguaranteegivenbyTakafulMalaysia.

9. MATERIAL CONTRACTS

Therearenoothermaterialcontracts,notbeingcontract

enteredintointheordinarycourseofbusiness,whichhas

beenentered intobyTakafulMalaysiaor its subsidiary

companies within the last two (2) years preceding the

date of this annual report other than as disclosed

below:

i. Jointventureagreementdated18May2009between

Takaful Malaysia, pT Syarikat Takaful Indonesia and

Koperasi Karyawan Takaful setting out the terms

and conditions that will govern their respective

shareholdings in pT asuransi Takaful Keluarga arising

from the new shareholding structure of pT asuransi

TakafulKeluargaasaresultofthecapitalinjectionby

Takaful Malaysia into pT asuransi Takaful Keluarga

amountingtoRM21,825,000on5May2009.

10. CONTRACTS RELATING TO LOAN

There were no contracts relating to a loan by Takaful

Malaysia during the eighteen (18) months financial

period.

11. REVALUATION OF LANDED PROPERTIES

WiththeadoptionofFRS140,theGrouphasclassified

some of its properties to investment properties which

were previously classified under property, plant and

equipment (“PPE”) under the cost model. Investment

properties are now stated at fair value, representing

open-market value based on the valuation performed

byindependentqualifiedvaluers.Gainsorlossesarising

from changes in fair values of investment properties are

recognised intheprofitand loss intheperiod inwhich

theyarise.

7. VARIASI KEPUTUSAN

Tiadavariasiketaraantarakeputusanuntuklapanbelas

(18)bulantempohkewangandankeputusantidakdiaudit

yang diumumkan sebelumnya. Takaful Malaysia tidak

mengeluarkansebaranganggaran,ramalanatauunjuran

keuntunganbagitahunkewangan.

8. JAMINAN KEUNTUNGAN


tiadajaminankeuntungandiberiolehTakafulMalaysia.

9. KONTRAK PENTING

Tidakadakontrakpenting lain,yangbukanmerupakan

kontrak yang dimeterai dalam perjalanan biasa

perniagaan, yang telah dimeterai oleh Takaful Malaysia

atausyarikatsubsidiarinyadalamtempohdua(2)tahun

sebelumtarikhLaporanTahunanmelainkansepertiyang

dinyatakandibawah:

i. Perjanjianusahasamabertarikh18Mei2009diantara

Takaful Malaysia, pT Syarikat Takaful Indonesia dan

Koperasi Karyawan Takaful yang menetapkan terma

dansyaratuntukmenguruspegangansahammasing-

masingdidalamPTAsuransiTakafulKeluargaakibat

daripadastrukturpegangansahamyangbarudiPT

AsuransiTakafulKeluargadisebabkanolehsuntikan

modal daripada Takaful Malaysia ke dalam pT asuransi

TakafulKeluargayangberjumlahRM21,825,000pada

5Mei2009.

10. KONTRAK BERKAITAN DENGAN PINJAMAN

Tiada kontrak berkaitan dengan pinjaman oleh Takaful

Malaysia sepanjang lapan belas (18) bulan tempoh

kewangan.

11. PENILAIAN SEMULA HARTANAH

Berikutan penggunaan FRS 140, Kumpulan telah

mengklasifikasikan beberapa hartanahnya kepada

hartanah pelaburan yang sebelum ini diklasifikasikan

dibawahhartanah, lojidanperalatan(“PPE”)dibawah

model kos. Hartanah pelaburan kini dinyatakan pada

nilaisaksama,mewakilinilaipasaranterbukaberasaskan

penilaian yang dibuat oleh penilai bertauliah yang

bebas.Keuntunganataukerugianyangtimbuldaripada

perubahan nilai saksama hartanah pelaburan diiktiraf

dalamakaununtungdanrugibagitempohiaterhasil.




12. URUSNIAGA PIHAK BERKAITAN YANG BERULANG / RECURRENT RELATED PARTY TRANSACTIONS

Bentuk

Urusniaga/

Nature of

Transactions

pajakan mesinpenyalin

Lease of copiermachine

Pihak

Berkaitan yang

Berurusniaga/

Related Parties

Transacted with

SyarikatAl-IjarahSdn Bhd(SyarikatAl-Ijarah)

Pihak Berkaitan, kepentingan mereka

dan bentuk hubungan dengan

Kumpulan Takaful Malaysia/

Related Parties, their interests and

nature of relationships with the

Takaful Malaysia Group

Syarikat Al-Ijarah adalah subsidiari milik penuh BHB.BhB adalah pemegang saham utama Takaful Malaysia yangmemegang kepentingan ekuiti Syarikat sebanyak 65.22%pada31Disember2010.

Dato’ Paduka Ismee Ismail dan Encik Johan Abdullahadalah pengarah BhB dan BIMB dan juga pengarah TakafulMalaysia,yangdilantikolehBHB.Dato’PadukaIsmeeIsmaildanEncikJohanAbdullahtidakmempunyaisebarang kepentingan langsung atau tidak langsungdalamBHB,BIMBdanTakafulMalaysia.

Puan Rozaida Omar adalah Pengarah BHB dan jugaPengarahTakafulMalaysia,yangdilantikolehBHB.Dato’MohamedHassanMd. Kamil adalah Pengarah TakafulMalaysia, yangdilantikolehBHB. PuanRozaidaOmardanDato’MohamedHassanMd.Kamiltidakmempunyaisebarang kepentingan langsung atau tidak langsungdalamBHBdanTakafulMalaysia.

SyarikatAl-Ijarah isawhollyownedsubsidiaryofBHB.BhB is a major shareholder of Takaful Malaysia holding an equity interest of 65.22% in the Company as at 31December2010.

Dato’ Paduka Ismee Ismail and Encik Johan Abdullahare Directors in BhB and BIMB and are also Directors in TakafulMalaysia,nominatedbyBHB.Dato’PadukaIsmeeIsmailandEncikJohanAbdullahdonothaveanydirectorindirectinterestinBHB,BIMBandTakafulMalaysia.

PuanRozaidaOmar is a director inBHBand is also adirector in Takaful Malaysia, nominated by BHB. Dato’Mohamed Hassan Md. Kamil is a director in TakafulMalaysia, nominated byBHB. PuanRozaidaOmar andDato’MohamedHassanMd.KamildonothaveanydirectorindirectinterestinBHBandTakafulMalaysia.

Nilai Urusniaga

Sebenar dari 1 Julai 2009

hingga 31 Disember 2010/

Actual Transaction

Value from 1 July 2009

to 31 December 2010

(RM’000)

591




12. URUSNIAGA PIHAK BERKAITAN YANG BERULANG / RECURRENT RELATED PARTY TRANSACTIONS

Bentuk

Urusniaga/

Nature of

Transactions

Sewabangunan

pejabatyang

dibayarkepada

Takaful Malaysia

oleh Bank Islam

Malaysia Berhad

(BIMB)

Rentalofoffice

premisespayable

to Takaful

MalaysiabyBank

Islam Malaysia

Berhad (BIMB)

Pihak

Berkaitan yang

Berurusniaga/

Related Parties

Transacted with

BIMB

Pihak Berkaitan, kepentingan mereka

dan bentuk hubungan dengan

Kumpulan Takaful Malaysia/

Related Parties, their interests and

nature of relationships with the

Takaful Malaysia Group

BIMB adalah subsidiari 51% milik BHB. BHB adalah

pemegang saham utama Takaful Malaysia yang

memegangkepentinganekuiti sebanyak65.22%dalam

Syarikatpada31Disember2010.

Dato’ Paduka Ismee Ismail dan Encik Johan Abdullah

adalah pengarah BhB dan BIMB dan juga pengarah

TakafulMalaysia,yangdilantikolehBHB.Dato’Paduka

IsmeeIsmaildanEncikJohanAbdullahtidakmempunyai

sebarang kepentingan langsung atau tidak langsung

dalamBHB,BIMBdanTakafulMalaysia.

Puan Rozaida Omar adalah Pengarah BHB dan juga

PengarahTakafulMalaysia,yangdilantikolehBHB.Dato’

MohamedHassanMd. Kamil adalah Pengarah Takaful

Malaysia, yang dilantik oleh BHB. Puan Rozaida Omar

danDato’MohamedHassanMd.Kamiltidakmempunyai

sebarang kepentingan langsung atau tidak langsung

dalamBHBdanTakafulMalaysia.

BIMBisa51%ownedsubsidiaryofBHB.BHBisamajor

shareholder of Takaful Malaysia holding an equity interest

of65.22%intheCompanyasat31December2010.

Dato’ Paduka Ismee Ismail and Encik Johan Abdullah

are Directors in BhB and BIMB and are also Directors in

TakafulMalaysia,nominatedbyBHB.Dato’PadukaIsmee

IsmailandEncikJohanAbdullahdonothaveanydirect

orindirectinterestinBHB,BIMBandTakafulMalaysia.

PuanRozaidaOmar is a director inBHBand is also a

director in Takaful Malaysia, nominated by BHB. Dato’

Mohamed Hassan Md. Kamil is a director in Takaful

Malaysia, nominated byBHB. PuanRozaidaOmar and

Dato’MohamedHassanMd.Kamildonothaveanydirect

orindirectinterestinBHBandTakafulMalaysia.

Nilai Urusniaga

Sebenar dari 1 Julai 2009

hingga 31 Disember 2010/

Actual Transaction

Value from 1 July 2009

to 31 December 2010

(RM’000)

4,414


penyata ini disediakan menurut Keperluan penyenaraian PasaranUtamaBursaMalaysia Securities Berhad berkaitandengan pematuhan Kumpulan terhadap prinsip dan peruntukan-peruntukan Amalan Terbaik yang berkaitandengan kawalan dalaman seperti yang digariskan di dalam KodUrusTadbirKorporatMalaysia(“Kod”).

TANGUNGJAWAB LEMBAGA PENGARAH

Lembaga Pengarah mengiktiraf bahawa merekabertanggungjawab sepenuhnya terhadap persekitarankawalan dalaman dan keberkesanannya dalam menjagakepentingan-kepentinganpemegang-pemegangsahamdanaset-asetKumpulan.

Sistem kawalan dalaman turut memenuhi keperluan untuk operasi-operasi perniagaan yang berkesan dan cekap,laporankewanganyangbaikdanprosedur-prosedurkawalan,serta pematuhan terhadap undang-undang dan peraturan-peraturanyangberkaitan.LembagaPengarahturutmengakuibahawa penyemakan terhadap sistem kawalan dalamanKumpulan adalahusahayang jitudanberterusan, dirangkauntuk mengurus dan menghalang risiko kegagalan untuk mencapai objektif-objektif perniagaan. Sewajarnya, sistemkawalandalamanKumpulanturutmemberikanjaminanyangmunasabahkeatassalahnyataataukerugianyangketara.

PROSES-PROSES KAWALAN DALAMAN UTAMA

Proses-proseskawalandalamanutamayangtelahditubuhkanolehLembagaPengarahdalammenyemakkecukupansertaintegriti sistem kawalan dalaman termasuk pematuhan kepadaundang-undang,peraturan-peraturan,syarat-syarat,arahan-arahan dan garis panduan-garis panduan adalahsepertiberikut:

RANGKA KERJA PENGURUSAN RISIKO

Lembaga Pengarahmengakui bahawamengenal pasti danmengurus risiko utama memainkan peranan penting dan merupakanasasdalammencapaiobjektif-objektifperniagaanKumpulansertadalammenguruskanoperasihariannya.

Bagimencapaiobjektif-objektiftersebut,LembagaPengarahtelah menyediakan rangka Kerja pengurusan risiko Seluruh Perniagaan(“ERM”)dalamKumpulanbagimemastikansupayawujudprosesyangberterusanbagimengenalpasti,menilai,memantau dan mengurus pendedahan risiko utama yang sememangnyalazimdalamoperasiperniagaannya.Kumpulantelah menubuhkan struktur proses pengurusan risiko yangmanaperanansertatanggungjawabLembagaJawatankuasaPengurusanRisiko(“RISCO”)danJawatankuasaPengurusanRisiko(“MRC”)adalahdinyatakansecarajelas.

This statement is made pursuant to the Main Market Listing requirements of Bursa Malaysia Securities Berhad with regard to the Group’s compliance with the principles and Best practices provisions relating to internal controls as stipulated in the Malaysian Code on Corporate Governance (“theCode”).

BOARD RESPONSIBILITY

The Board acknowledges its overall responsibility forthe internal control environment and its effectiveness in safeguardingshareholders’interestsandGroup’sassets.

The system of internal control addresses the need for an effectiveandefficientbusinessoperations,soundfinancialreporting and control procedures, and compliance with relevant laws and regulations. The Board also recognisesthat reviewing the Group’s system of internal control is a concerted and continuing process, design to manage and appropriately mitigate the risk of failure in achieving business objectives. Accordingly, the Group’s system ofinternal control provides reasonable assurance againstmaterialmisstatementorloss.

KEY INTERNAL CONTROL PROCESSES

The key internal control processes that the Board has established in reviewing the adequacy and integrity ofthe system of internal control, including compliance with applicablelaws,regulations,rules,directivesandguidelines,are as follows:

RISK MANAGEMENT FRAMEWORK

The Board acknowledges the identification and themanagement of principal risks play an important and integral part in achieving theGroup’s business objectives and themanagementofitsdailyoperations.

In pursuing these objectives, the Board has put in placean EnterpriseWide RiskManagement (“ERM”) frameworkwithin the Group to ensure there is an on-going processof identifying, evaluating, monitoring and managing the significant risk exposures inherent in its businessoperations. The Group has established a structured riskmanagementprocessofwhichtherolesandresponsibilityofRiskManagementCommitteeoftheBoard(“RISCO”)andManagementRiskCommittee(“MRC”)areclearlyspeltout.

Penyata Kawalan DalamanStatement on Internal Control


Penyata Kawalan Dalaman

Statement on Internal Control

Thecorporate level risks identified in theERM frameworkinclude strategic risk, insurance risk, financial risk andoperational risk. The complete updated risk profiles werereviewed/approvedbytheRISCOandMRCinAugust2010andsubsequentupdatesarereviewedonaquarterlybasis.GiventhatBusinessContinuityManagement(“BCM”)isthekey component of the overall risk management framework, the Company has established a Business ContinuityManagementFrameworkinAugust2010.TheCompanyhasalso conducted two IT disaster recovery testings on the productionmainserver.Duringthefinancialperiod,severalfull scalecrisissimulationexercisesonbusinesscontinuitywerecarriedoutthatinvolvedthemobilisationofoperationfrom Dataran Kewangan Darul Takaful (Head Office) andselected branches to the respective designated recoverysites.

INTERNAL AUDIT FUNCTION

The Internal Audit Division (“IAD”) assists the Board andAuditCommittee in thedischargeof their responsibilities.The internal audit function provides assurance on the efficiencyandeffectivenessoftheinternalcontrolsystemsimplemented by management. An annual audit plan isdeveloped based on an assessment of risk priorities,exposures, andbusiness strategiesof theGroup. IADalsoinvestigates incidents of fraud, malpractices and makes necessary recommendation to the audit Committee to impede recurrence. The implementation of managementaction plans to address the control lapses noted during the financialperiodaremonitoredthroughfollow-upreviews.

The Committee reviews and approves the annual audit plan, reportsandfindingsincludingthefollow-upsoftheInternalAuditors. They also review the actions taken on internalcontrol issues identified in reports prepared by Externalauditors and regulatory Bodies during their meetings and consider the impact on the effectiveness and adequacy of theGroup’sinternalcontrolsystem.

KEY ELEMENTS OF INTERNAL CONTROL

The key elements of internal control that the Board has established which provide effective internal controlsincludingcompliancewithapplicablelaws,regulationsandguidelines are as follows:

• Organisational Structure TheGrouphasestablishedawell-definedorganisational

structurewithlinesofresponsibilityandaccountabilitywithadefineddelegationofauthorityofCommitteesoftheBoardandManagement.

risiko peringkat korporat yang telah dikenalpasti dalam rangka Kerja erM termasuklah risiko strategik, risiko insuran, risikokewangandanrisikooperasi.Profilrisikoterkiniyanglengkap telah dikaji/diluluskan oleh rISCo dan MrC pada bulan Ogos 2010 dan seterusnya dikaji pada setiap sukutahun.MenyedaribahawaPengurusanPenerusanPerniagaan(“BCM”) adalah komponen penting dalam Rangka Kerjapengurusan risiko secara keseluruhan, Syarikat telah menubuhkanRangkakerjaPengurusanPenerusanPerniagaanpadabulanOgos2010.Syarikatjugatelahmenjalankanduaujian pemulihan bencana ke atas kerangka utama sistemteknologimaklumat.Sepanjangtempohkewangan,beberapaujian simulasi krisis berskala penuh telah dijalankan yangmelibatkanpergerakanoperasidariDataranKewanganDarulTakaful (ibupejabat)danbeberapacawanganyang lainketapakpemulihanterpilih.

FUNGSI AUDIT DALAMAN

Bahagian Audit Dalaman (“IAD”) membantu Lembagapengarah dan Jawatankuasa audit menjalankan tanggungjawab mereka. Audit Dalaman berfungsi untukmemberikan jaminan ke atas keberkesanan dan kelancaransistem kawalan dalaman yang dilaksana oleh pihak pengurusan.PelanAuditTahunandibangunkandaripenilaianterhadap kepentingan risiko, pendedahan dan strategi Kumpulan.IADjugamenyiasatkejadianpenipuan,pemalsuansertamemberikancadangan-cadangankepadaJawatankuasaAudituntukmenghalangpengulangansemula.Perlaksanaanpelan tindakan pengurusan yang dirangka untuk menghalang kelemahan kawalan yang telah diperakui sepanjang tempoh kewangandipantaumelaluikajiansusulan.

Jawatankuasa juga mengkaji dan meluluskan pelan audit Tahunan, laporan-laporan serta temuan-temuan termasuksusulanolehAuditDalaman.Merekajugamengkajitindakanyangdiambilkeatastemuan-temuankawalandalamanyangdikenalpastididalamlaporan-laporanyangdisediakanolehjuruaudit luar dan badan-badan penguatkuasaan semasamesyuarat-mesyuarat mereka serta menilai kesan ke ataskeberkesanan dan kecukupan sistem kawalan dalamanKumpulan.

UNSUR-UNSUR KAWALAN DALAMAN UTAMA

Unsur-unsurutamakawalandalamanyangdiwujudkanolehLembagaPengarahbagimenyediakankawalandalamanyangberkesan termasuk pematuhan terhadap undang-undang,peraturan-peraturandangarispanduan-garispanduanadalahsepertiberikut:

• Struktur Organisasi Kumpulan telahmembentuk sebuah strukturorganisasi

yang tersusun dengan had-had tanggungjawab danakauntabiliti yang jelas serta pengagihan kuasa yangbertakrif kepada Jawatankuasa-jawatankuasa LembagaPengarahdanPengurusan.




• Limit of Authorities Aclearlydefinedlimitofauthoritieshasbeenapproved

by the Board and implemented in the areas ofunderwriting, Claims approval, Investments and other businessprocess.

• Standard Operating Procedures The Standard operating procedures that govern the key

business processes such as finance, human resources,claims, investments,withintheorganisationhavebeenrevised during the financial period to accommodatechanges to the business environment, regulatoryrequirementsandstrategicdirectionoftheCompany.

• New Product Development Framework A new Product Development Framework has been

establishedinApril2010toensurethattheinterestsofall stakeholders are protected when new products are introduced.

• Compliance Function The Board has approved the Compliance Charter and

Framework setting out the compliance governance and methodology in August 2010. All compliancesrequirements, matrixes, Sops and guidelines are posted in theCorporate Portal –ComplianceDivision.A self-assessmentcertificationexercise involving thevariousdivisions of the Company has been carried out inDecember2010.

• Business/Marketing Plan and Budget process TheGroup’sannualbusiness/marketingplanandbudget

aresubmittedtotheBoardforapproval.

• Financial Reporting Managementaccounts/reportsaretabledtotheBoard

forreviewanddiscussion.ThepublicreleaseofquarterlyreportsismadeafterreviewedbytheAuditCommitteeandapprovedbytheBoard.On-goingeffortsareinplacetoaddressfinancialcontrolissuesorrisks,whichincludestrengthening the financial closing and reconciliationprocess.

• Had Kuasa had kuasa yang ditakrif dengan jelas telah diluluskan

oleh Lembaga Pengarah dan telah dilaksanakan dalambidang Pengunderaitan, kelulusan Tuntutan, Pelaburandanprosesperniagaanyanglain.

• Prosedur Operasi Piawai prosedur operasi piawai yang mengawal seluruh

proses perniagaan seperti kewangan, sumbermanusia,tuntutandanpelaburandalamorganisasitelahdisemaksemula sepanjang tempoh kewangan yang dikaji bagimenyesuaikanperubahanyangberlakupadapersekitaranperniagaan, kehendak penguatkuasaan dan halatuju strategiksyarikat.

• Rangka Kerja Pembangunan Produk Baru Satu Rangka Kerja Pembangunan Produk Baru telah

disediakan dalam bulan April 2010 untuk memastikanbahawakepentingan-kepentinganpemiliksahamadalahdilindungiapabilaproduk-produkbarudiperkenalkan.

• Fungsi Pematuhan Lembaga Pengarah telah meluluskan Piagam dan

rangka Kerja pematuhan yang menggariskan pematuhan urus tadbir dan kaedahpadabulanOgos 2010. Semuakehendak pematuhan, matriks, prosedur operasi piawai dan garis panduan telah dimuatkan dalam portal Korporat –BahagianPematuhan.Latihanpengesahanpengkajian-sendiriyangberkaitandenganbahagian-bahagiandalamSyarikattelahdijalankanpadabulanDisember2010.

• Pelan Perniagaan/Pemasaran dan proses Belanjawan Pelanperniagaan/pemasaran sertabelanjawan tahunan

Kumpulan dibentangkan kepada Lembaga Pengarahuntukkelulusan.

• Laporan Kewangan Akaun pengurusan/laporan dibentangkan kepada

Lembaga Pengarah untuk dikaji dan dibincangkan.Penyebaran laporan suku tahunankepadaorangawamdilakukan selepas ia dikaji oleh Jawatankuasa audit dan diluluskan oleh Lembaga Pengarah. Usaha berterusanturut dijalankan untuk menangani isu-isu kawalankewangan atau risiko-risiko termasuk pengukuhanterhadapprosespenutupankewangandanpelarasan.




• Information Technology System

IT Steering CommitteeITSteeringCommitteehasbeenestablishedtooverseethe development of Information Technology (IT) that provides management an oversight of the IT function within theCompany. ITSteeringcommittee is chairedby the Group Managing Director. The committee isresponsibleforauthorisingmajorITexpenditureswithinthe approved limits, monitoring approved IT projects, formulatingITpoliciesandITstrategicplans.

Data Governance FrameworkAsprescribedbyBNMguidelines,thedatagovernanceframework was established in November 2009. Theframework covers processes and related controls over datasecurityandintegrity.

IT project Steering CommitteeIT Project Steering Committee is chaired by theGroup Managing Director. The Committee consists ofrepresentatives from IT and business users, overseesthe progress and development of business related ITprojectduringthefinancialperiod.

CONCLUSION

Althoughcontrollapseswereidentifiedforcertainbusinessprocesses within the Group, there were no significantcontrol failures or weaknesses that has resulted in material loss that requires disclosure in the Group’s annual report for thefinancialperiodunderreview.

This statement is made in accordance with the Board of Directorsresolutiondated28March2011.

REVIEW OF THE STATEMENT BY EXTERNAL AUDITORS

As required by para 15.23 of Bursa Malaysia SecuritiesBerhad Main Market Listing requirements, the external AuditorshavereviewedthisInternalControlStatement.Thereview was performed in accordance with recommended PracticeGuide(“RPG”)5 issuedbytheMalaysianInstituteofAccountants.Basedontheirreview,theExternalAuditorshave reported to the Board that nothing has come to their attention that causes them tobelieve that this Statementis inconsistent with their understanding of the process the Board has adopted in the review of the adequacy and integrityof internalcontrolof theGroup.RPG5doesnotrequire the external auditors to and they did not consider whether this Statement covers all risks and controls, or to form an opinion on the effectiveness of the Group’s risk and controlprocedures.

• Sistem Teknologi Maklumat

Jawatankuasa pemandu IT Jawatankuasa Pemandu IT telah ditubuhkan untuk

mengawasi pembangunan IT yang menyediakan pihakpengurusan pengawalan ke atas fungsi IT di dalam Syarikat. Jawatankuasa Pemandu IT dipengerusikanoleh Pengarah Urusan Kumpulan. Jawatankuasa inibertanggungjawab untuk meluluskan perbelanjaanberkaitan IT yang besar mengikut had yang telahditetapkan dan memantau kemajuan projek yang telah diluluskan,merumuskanpolisiandpelanstrategikIT.

rangka Kerja pengurusan Data Seperti yang ditentukan oleh Garis panduan BnM, rangka

KerjaPengurusanDatatelahditubuhkanpadaNovember2009.RangkaKerjainimerangkumiproses-prosessertakawalan-kawalan yang berkaitan dengan sekuriti danintegritidata.

Jawatankuasa pemandu projek IT Jawatankuasa pemandu projek IT dipengerusikan oleh

PengarahUrusanKumpulan. Jawatankuasayang terdiridari wakil-wakil daripada IT dan pengguna peniagaan,mengawasi prestasi dan pembangunan projek IT yangberkaitan dengan perniagaan sepanjang tempohkewangan.

KESIMPULAN

Walaupun terdapat kelemahan kawalan yang dikenal pastidalamproses-prosesperniagaan tertentudalamKumpulan,namun tiada sebarang kegagalan kawalan atau kelemahanketarayangmenyebabkankerugianbesaryangmemerlukanpendedahandalamlaporantahunanKumpulanbagitempohkewanganyangdikaji.

Penyata ini disediakan selaras dengan resolusi LembagaPengarahbertarikh28Mac2011.

PENYEMAKAN PENYATA OLEH JURUAUDIT LUAR

Seperti yang dikehendaki oleh para 15.23 Keperluanpenyenaraian pasaran utama Bursa Malaysia Securities Berhad, Juruaudit luar telah menyemak penyata Kawalan Dalaman ini. Semakan ini telah dilakukan selaras denganRecommended Practice Guide (“RPG”) 5 yang telahdikeluarkan oleh Institut Akauntan Malaysia. Berdasarkansemakan mereka, Juruaudit luar telah melaporkan kepada Lembaga Pengarah bahawa tiada sebarang perkara yangsampai ke perhatian mereka yang boleh menyebabkanmereka menganggap bahawa penyata ini tidak konsistendengan kefahaman mereka mengenai proses yang diguna pakai oleh Lembaga Pengarah dalam mengkaji semulakecukupandanintegritikawalandalamanKumpulan.RPG5tidakmemerlukanpertimbanganJuruauditluarsertamerekajuga tidak perlu menilai samada penyata ini merangkumi segalarisiko-risikodankawalan-kawalan,ataumemberikanpendapat tentang keberkesanan prosedur-prosedur risikodankawalan-kawalanKumpulan.


Oursacrificetoachievethestandardsandpromisesthatwedelivertoourcustomers.

Professional



Dengan nama Allah, yang Maha Pengasih, lagi Maha Penyayang,Assalamualaikum Warahmatullahi Wabarakatuh.SayadengansukacitanyamembentangkanLaporan Tahunan dan penyata Kewangan yangtelahdiauditbagitahunkewangan ke-25yangberakhirpada31Disember2010.

In the Name of Allah, the Most Compassionate, the Most Merciful,Assalamualaikum Warahmatullahi Wabarakatuh.ItisagreathonourtobringyoutheAnnualreport and audited Financial Statements for thetwenty-fifth(25th)financialyearended31December2010.

Y. Bhg. Dato’ Paduka Ismee Ismail

Penyata PengerusiChairman’s Statement


Dear Shareholders,

This is our first Report to you since we launched our

rebranding exercise in conjunction with the 25th

anniversaryofTakafulMalaysiainNovember2009.The

Company investedRM15milliononawell-plannedand

smoothlyexecutedcampaignandrefurbishmentofour

brancheswhichsuccessfullypositionedTakafulMalaysia

asaShariah-compliantCompanythatisYoung, Modern

and Energetic. Theobjectiveof thecampaign strategy

was to ensure that the Company’s value and brand

remainelevatedintheyearstocome.Theimplementation

included:-

• Thelaunchofanewcorporateidentitythateffectively

communicated the dynamism of Takaful Malaysia.

Thisnewidentity isnowreflectedinall 13Platinum

Branches as well as all other branches throughout

thecountry.Ourcustomerscannowwalkintoanyof

TakafulMalaysia’sbranchofficeandimmediatelyfeel

thewarmthandvibrancyofourcorporateculture.

• Proactive measures to ensure visibility of the new

identityfromoutdoorbillboardstosignagesinallour

branches. Various media and on-ground activities

suchascarstickers,flag linesandadvertisingwere

alsoemployed.

• Attractive corporate attires were introduced to

motivate the staff, allowing them to live and wear

thenewbrand.Theattiresincludejackets,lapelpins,

lanyards,headscarvesandties.

• Introduction of Brand Leaders -- exemplary staff

memberswhocan leadandinspiretheircolleagues

to “live the new brand”. These brand leaders have

been trained with the necessary skills and new

brand communication kits to facilitate effective

disseminationofthebrand’scorevalues.

• Introduction of the Brand Manual to ensure that

the passion for and knowledge about the brand

are passed down effectively to all employees. This

manual details the ideal staff behaviour desiredby

theCompanyinordertoachieveitsgoalofbecoming

the Preferred Choice of Insurance.

Para Pemegang Saham yang dihormati sekalian,

Ini adalah Laporan pertama selepas penjenamaan semula

sempena ulang tahun ke-25 Takaful Malaysia pada

November2009.SyarikattelahmelabursebanyakRM15

juta bagi kempen yang telah dirancang dan dilaksana

dengan lancar. Pengubahsuaian pejabat-pejabat

cawangankamitelahberjayameletakkanTakafulMalaysia

sebagai Syarikat yang Cergas, Moden dan Bertenaga

berlandaskan prinsip Syariah. Objektif kempen adalah

untuk memastikan nilai dan jenama Syarikat kekal tinggi

pada tahun-tahun yang akan datang. Pelaksanaannya

termasuklah:-

• Pelancaran identiti korporat Takaful Malaysia yang

baru telah dikomunikasikan dengan efektif. Identiti

baruinidipamerkandi13CawanganPlatinumsertadi

semuacawangandiseluruhnegara.Pelanggankami

kini boleh pergi ke mana-mana cawangan Takaful

Malaysia bagi merasai budaya korporat kami yang

mesradanlebihbertenaga.

• Langkah-langkahproaktifdalammemastikanidentiti

barukamilebihmenyerlahjugatelahdiambildengan

menukar papan tanda iklan dan papan tanda di semua

cawangankami.Pelbagaiaktivititelahdilaksanakan,

antaranya pelekat kereta, pengiklanan dan aktiviti

yangmelibatkanpihakmedia.

• Pakaiankorporatbarujugatelahdiperkenalkanbagi

menaikkansemangatkakitangandanmembolehkan

merekamenjiwai jenama tersebut.Antaranya jaket,

pinkolar,lanyard,skafdantalileher.

• Memperkenalkan Pelopor Jenama dan kakitangan

contoh yang dapat membimbing dan memberi

inspirasikepadarakan-rakanmerekauntuk“menjiwai

jenamabaru”.Pelopor-peloporjenamainidilatihdan

dilengkapi dengan kit latihan untuk memudahkan

penyebarannilaiterasjenamadenganefektif.

• Memperkenalkan Manual Jenama bagi memastikan

semangat dan pengetahuan tentang jenama

disebarkandenganefektifkepadasemuakakitangan.

Manual ini menggariskan sikap kakitangan ideal yang

diinginkan oleh Syarikat untuk menjadi Pilihan Utama

Insurans.

Penyata Pengerusi

Chairman’s Statement


Penyata Pengerusi


Iamverypleasedtoreportthattherebrandingexercise

has had a profound positive effect, as we achieved

greater visibility and brand awareness in the industry

andthemarket.Publicconfidence intheCompanyhas

increasedsignificantly.Inaddition,wehavebeenableto

establishmanycross-marketingpartnershipswithother

companiesfromotherindustries.TakafulMalaysiaisnow

afamiliarbrandto1Malaysiawithanincreasednumberof

non-Muslimstaff,customersandagents.We leveraged

on our higher brand profile to make changes to our

marketing approach, which includes the introduction of

“1Malaysia”productstargetedatourmulti-racialsociety.

These initiatives are an indication of the Company’s

seriousness in supporting the Government’s 1Malaysia

concept.

our dynamic new corporate identity has also infused the

staff and agents of Takaful Malaysia with even greater

pride and dedication to their duties. We have always

recognised our staff as our greatest asset and it is very

rewardingtoseehowtheyhaveembracedtherevitalised

brand.

Throughouttherebrandingcampaign,ourcommitments

remainedconstant,evenstrengthened.TakafulMalaysia

will continue to satisfy all Malaysians’ insurance needs

while becoming the employer of choice. Furthermore,

Takaful Malaysia will keep on safeguarding shareholders’

valueand investment in themostprofitablemanneras

possible.

Saya juga berbesar hati ingin melaporkan bahawa

langkah penjenamaan semula ini telah menghasilkan

impakyangpositif,dimanaSyarikatkinilebihmenonjol

danmencapaikesedaranjenamayanglebihtinggidalam

industri dan pasaran. Keyakinan orang ramai terhadap

Syarikat jugameningkat dengan ketara. Selain itu, kita

telahberjayamembentukramairakanniagapemasaran

silang dengan syarikat-syarikat daripada industri yang

berbeza. Takaful Malaysia kini merupakan jenama

yang dikenali oleh 1Malaysia serta mempunyai lebih

ramaikakitangan,pelanggandanejenyangjugabukan

beragama Islam. Kami menggunakan kelebihan profil

jenama kami yang tinggi untuk membuat perubahan

kepada kaedah pemasaran, termasuk memperkenalkan

produk“1Malaysia”yangdisasarkankepadamasyarakat

berbilangkaum.Inisiatif-inisiatifinimerupakanpetunjuk

tahap keseriusan Syarikat dalam menyokong konsep

1MalaysiayangdiperkenalkanolehKerajaan.

Identiti baru korporat kami yang dinamik ini juga

menyemai rasa bangga dan bersemangat terhadap

tugasan di kalangan kakitangan dan ejen Takaful

Malaysia. Kami sentiasa mengiktiraf kakitangan kami

sebagai aset terbaikdan ianyaamatbermaknaapabila

merekamenjiwaijenamadengansemangatbaruini.

Sepanjang kempen penjenamaan semula ini, komitmen

kamitetapkekalmalahsemakinkukuh.TakafulMalaysia

akan terus memenuhi keperluan insurans semua rakyat

Malaysia serta inginmenjadimajikanpilihan. Selain itu,

Takaful Malaysia akan sentiasa menjaga kepentingan

danpelaburanparapemegangsahamdalamcarayang

palingmenguntungkan.


Penyata Pengerusi


AN AWARD-WINNING YEAR

Within seven months of launching the new brand

campaign, Takaful Malaysia has won numerous brand

awards.Theseincluded:-

• Global Award (DiamondWinner Category) for the

2nd Global Awards 2009 in January 2010. At this

ceremony,Y.Bhg.Dato’MohamedHassanKamil,the

Group Managing Director was also named as the

recipientofthe“SmartEntrepreneur”Award.

• BrandLaureate Award in the Corporate Branding

Category for Best Brands in Financial Services-

TakafulInsuranceinMarch2010.

• Most Advanced Implementer of Q-Radar’ Award

2010,heldinconjunctionwiththeprestigiousTricor-

RootsConsulting’sTrailblazerAlumniConferencein

July2010.Thisawardrecognizesoursoundcapability

in implementing a comprehensive risk management

programme.

• TakafulMalaysiawas awarded themembership for

The Edge Billion Ringgit Club. The Billion Ringgit

Clubandaccompanyingawards are establishedby

The Edge,Malaysia’sleadingbusinessandinvestment

weekly.InordertoqualifyforthemembershipofThe

EdgeBillionRinggitClub,theCompanyneedstobe

listedonBursaMalaysiawithamarketcapitalization

orturnoverofatleastRM1billion.

• On22December2010,TakafulMalaysiaalsoclinched

the Financial Institution National Language Prize

2010organisedbyDewanBahasadanPustaka(DBP)

incollaborationwithBankNegaraMalaysia(BNM).

These accolades serve to underline the Company’s

leading brand recognition, outstanding business

performanceandnobleCSRinitiatives.Theseremarkable

results were attributed to our staff’s hard work and

unwavering support even during the tumultuous times, an

acknowledgementoftheircommitmentandcontribution

towardsachievingourvisiontobe“thepreferredchoice

forinsurance.”

PENGANUGERAHAN

Dalammasa tujuhbulankempenpenjenamaan,Takaful

Malaysia telah dicalonkan dan berjaya memenangi

beberapa anugerah jenama. Antara anugerah yang

dimenangiialah:-

• Anugerah Global (Kategori Pemenang Intan), bagi

Anugerah Global 2009 ke-2 pada bulan Januari

2010.Y.Bhg.Dato’MohamedHassanKamil,Pengarah

Urusan Kumpulan, telah dipilih sebagai penerima

AnugerahUsahawanBestari.

• Anugerah BrandLaureate dalam Kategori

PenjenamaanKorporat bagi JenamaTerbaik dalam

Perkhidmatan Kewangan - Insurans Takaful pada

bulanMac2010.

• Anugerah ‘Pelaksana Termaju Q-Radar’ 2010, yang

diadakan bersempena Persidangan Alumni Tricor-

RootsConsulting’s Trailblazer yangberprestij pada

bulanJulai2010.Anugerahinimengiktirafkeupayaan

kami dalam melaksanakan program pengurusan risiko

yangkomprehensif.

• Takaful Malaysia dianugerahkan keahlian Kelab

Bilion Ringgit The Edge. Kelab Bilion Ringgit serta

anugerah tersebutdiberikanoleh The Edge, akhbar

perniagaan dan pelaburan mingguan unggul di

Malaysia. Untuk layak menjadi ahli Kelab Bilion

ringgit The edge, Syarikat hendaklah disenaraikan

di Bursa Malaysia dengan permodalan pasaran atau

perolehansekurang-kurangnyaRM1bilion.

• Pada 22 Disember 2010, Takaful Malaysia juga

merangkul Hadiah Bahasa Kebangsaan Institusi

Kewangan 2010 yang dianjurkan oleh Dewan Bahasa

dan pustaka (DBp) dengan kerjasama Bank negara

Malaysia(BNM).

Anugerah-anugerah ini menandakan pengiktirafan

terhadap jenama unggul Syarikat, prestasi perniagaan

yang membanggakan dan inisiatif-inisiatif CSR yang

mulia.Pencapaianyanghebat ini adalahhasildaripada

usahakerassertasokonganyangtidakberbelahbahagi

daripada kakitangan, walaupun ketika melalui waktu-

waktusukar.Inimenandakankomitmendansumbangan

mereka ke arah mencapai visi kami untuk menjadi Pilihan

Utama Insurans.


THE YEAR IN REVIEW

as with the conventional insurance industry, the Takaful

industryremainsarecessionproofbusinessdespitethe

economic meltdown. In good and bad times, people

around the world tend to save more for that rainy

day;while protecting themselveswith the bestwealth

protection solutions available. As a result, Takaful

Malaysia’s current asset size stands atRM4.9billion at

grouplevelfromRM4.4billionasatJune2009.

However, we are faced with increasing number of

competitors.InearlySeptember2010,inviewofthevast

potential to further enhance takaful/insurance penetration

in Malaysia, Bank negara Malaysia issued four new family

takafullicences.ThesefourlatestTakafuljointventures

involved large international insurance players and they

have strong value propositions to further drive the

developmentof the family takaful industry inMalaysia.

These competitive elements injected into the industry

will surely accelerate the pace of industry development

and reinforce Malaysia’s position as an international

Islamicfinancialhub.

Despite the influx of competition, Takaful Malaysia’s

foresightinintroducingitsnewretailagencydistribution

channel and investment-linked products; Takaful

myGraduan and Takaful myInvest has allowed the

company to stand firm, in the top 5 position within

the Family Takaful market -- amongst all 12 Takaful

operatorsforbothtotal contributions and assets under

management. The proactive foray of initiatives and

innovations implemented were in parallel to the overall

market demands.With the newly injected contenders,

heightened marketing incentives, product innovations

and loyalty programmes were also offered to partnering

Bancatakaful partners to ensure that our business

partnershipandultimately,marketshareremainsstable.

In 2010, the total life insurance premiums in Malaysia

grew by 11.9% to RM8.42 billion from RM7.53 billion

duetotheinvestment-linkedpolicies,whichrecordeda

26.6%growth. Inparticular, thegrowthof investment-

linkedbusinesscamefromannualpremiumbusinesses,

signifyingtheswitchinstrategybyinsurerstofocuson

lesscapital-intensiveproducts.

Penyata Pengerusi


TAHUN TINJAUANSeperti industri insurans konvensional, industri Takaful kekalkukuhdimanaperniagaannyatidaktergugatakibatkemerosotan ekonomi. Sama ada waktu senang ataususah,orangramaidiseluruhduniaakanberjimatuntukhari sukar, di samping melindungi diri mereka dengan penyelesaian perlindungan yang terbaik. Aset semasaTakaful Malaysia meningkat kepada RM4.9 bilion diperingkatkumpulan,dariRM4.4bilionpadaJun2009.

Walaubagaimanapun,kamiberhadapandenganpesaingyang semakin bertambah. Pada awal September 2010,Bank negara Malaysia telah meluluskan empat lagi lesen takaful keluarga baru kerana terdapat potensi besaruntuk terus meningkatkan pasaran takaful/insurans di Malaysia. Empat syarikat Takaful usaha sama tersebutmelibatkan syarikat insurans antarabangsa yang besardan mereka mempunyai nilai perancangan yang kukuh untuk terus memacu pembangunan industri takafulkeluarga diMalaysia. Elemen persaingan yang disuntikboleh mempercepatkan lagi pembangunan industri inidanmemperkukuhkankedudukanMalaysiasebagaihabkewanganIslamantarabangsa.

Walaupun terdapat pertambahan dalam persaingan,Takaful Malaysia terus berpandangan jauh danmemperkenalkansaluranpemasaranagensi runcitbarusertaprodukberkaitanpelaburan.Produk-produksepertiTakaful myGraduan dan Takaful myInvestmembolehkansyarikat berdiri teguh di antara 5 pemain teratasdalam pasaran Takaful Keluarga daripada kesemua 12 pengendali Takaful untuk jumlah sumbangan keseluruhan danpengurusanaset. Inisiatifdaninovasiproaktifyangdilaksanakan adalah sejajar dengan keseluruhan produk berkaitanpelaburandanpermintaansertatrendpasaransaluran pemasaran yang diperlukan. Dengan adanyapesaing-pesaing baru, insentif-insentif pasaran dapatdipertingkatkan, inovasi produk dan program kesetiaan ditawarkan untuk bekerjasama dengan rakan niagaBancatakaful; bagi memastikan perniagaan dan syerpasarankamikekalstabil.

pada 2010, jumlah premium insurans hayat di Malaysia meningkat 11.9% kepada RM8.42 bilion dari RM7.53bilionhasilpolisiberkaitanpelaburanyangmerekodkanpertumbuhan sebanyak 26.6%. Peningkatan dalamperniagaan berkaitan pelaburan datangnya daripadaperniagaan premium tahunan, yang menunjukkan perubahan dalam strategi oleh syarikat insurans untukfokus terhadap produk yang tidak memerlukan modal yangbesar.


For individual annual premium business, annualised

premium for investment-linked policies outpaced

traditional policies by growing at a strong 37.8%

comparedtoagrowthof3.3%fortraditional.

Althoughwiththeincreasingnumberofconsumerswho

are aware of the importance of life insurance, the current

grossdomesticproductforlifeinsurancestandsat2.8%,

which is relatively low as compared with other countries

likeSingapore(6.1%)andJapan(7.5%).TheGovernment

intendstoincreasethisfigureto4%(75%ofpopulation)

by 2020 with the various initiatives based from the

EconomicTransformationProgramme(ETP).

Despite challenges, Takaful Malaysia sees it as an

opportunity to grow the family and general Takaful

businesses.With thevarious initiatives linedupby the

Government for the year, we are fairly optimistic that

the industrywillachievea12%to15%growthwhilefor

Takaful Malaysia, a growth rate beyond the industry

via deployment of our pipelined strategies and niche

products. This is evidently possible, since the nation

currently sees a conventional insurance penetration rate

of43%whileforTakafulatonly11%.

On the flip side, the general insurance sector was

bullishin2010andagain,expectedtoacceleratein2011

and beyond. The Medical and Health Insurance (MHI)

sector remains strong in terms of growth driven by

growing consumer awareness and an increasing need

for protection against escalating costs of medical and

health care services. The recently-announced medical

insurance plan for foreign workers would add impetus to

theMHIsector.

Penyata Pengerusi


Bagi perniagaan premium tahunan individu, premium tahunan untuk polisi berkaitan pelaburan melebihipolisi tradisionaldenganpertumbuhansebanyak37.8%berbandingpertumbuhansebanyak3.3%untukinsuranstradisional.

Walaupun jumlah pelanggan yang menyedarikepentingan insurans hayat kini semakin meningkat, jumlahkeluarannegarakasarbagiinsuranshayatadalah2.8%, iaitu peratusan yang agak rendah berbandingSingapura (6.1%)danJepun (7.5%).Kerajaanberhasratuntukmeningkatkanangkainikepada4%(75%daripadapopulasi) menjelang 2020 dengan memperkenalkan pelbagaiinisiatifmelaluiProgramTransformasiEkonomi(ETP).

Meskipunberhadapandenganpelbagaicabaran,TakafulMalaysiamemandangianyasebagaisatupeluanguntukmengembangkan perniagaan Takaful keluarga dan am.Dengan pelbagai inisiatif yang telah dirancang olehKerajaan semasa tahun yang ditinjau, kami optimis bahawa industri ini akan mencapai pertumbuhan 12%hingga 15%, manakala kadar pertumbuhan TakafulMalaysia dijangkakan melebihi kadar pertumbuhanindustri melalui pelaksanaan strategi kami dan pemasaran produkyangtelahdiaturdengantepat.Inimungkindapatdicapai memandangkan kadar penembusan insuranskonvensional adalah sebanyak 43% berbanding hanya11%sahajauntukTakaful.

Sektor insuransampulaberkembangmajupada tahun2010 dan dijangka akan tumbuh dengan pesat padatahun 2011 dan seterusnya. Sektor insurans PerubatandanKesihatan(MHI)kekalkukuhdarisegipertumbuhanyangdipacuolehkesedaranpenggunayangbertambahdan keperluan perlindungan yang tinggi daripada kos perubatandanperkhidmatanpenjagaankesihatanyangsemakin meningkat. Pelan insurans perubatan untukpekerjaasingjugaakanmendorongpertumbuhansektorMHIini.


The general insurance industry recorded RM11.52

billion ingrossdirectpremium in2009, representinga

growth of 5.7% over 2008. Up to the third quarter of

2010, gross direct premium estimatedwere at RM9.67

billion,representingagrowthof9%overthesamenine-

month period the previous year. Currently positioned

atthenumbertwointheGeneralTakafularena,Takaful

Malaysiawillcontinuouslyworkhardtogainthenumber

onespot.

Whileitisanexternalfactor,thequagmireprevailingin

theestablishedeconomiesoftheUnitedStates,Japan,

europe and the reaction of the local share market

towards such sentiments may have an indirect impact

on the industry. It can cause a slowdown on external

demandthatwilleventuallyinfluenceconsumersinterms

ofdecision-making,thusmakingsalesmoredifficult.

Nonetheless,consumers’confidenceinMalaysiawason

the uptrend coupled with low interest rate environment

that would provide a fresh impetus for consumers to

seek high-yielding products like insurance. Consumers’

confidence rose 4 points to 107 points in the fourth

quarter of 2010 to reach its highest level since the third

quarter of 2006 according to the latest findings of

Nielsen Global Consumer Confidence Index early this

year. Favourably, the acceptance of Takaful Malaysia

productsby1Malaysiawasalsoontheuptrendwithan

endresultofhigherturnover.In2006,theGovernment

launched the Malaysia International Islamic Finance

Centre (MIFC) to aggressively promote Malaysia as

a major hub for international Islamic finance. Takaful

seems to have become a fundamental part of the

insurance landscape and is growing from strength to

strength.With the liberalisation of the financial sector

announced lastyearby thePrimeMinister, theTakaful

Penyata Pengerusi


Industri insurans ammerekodkan RM11.52 bilion dalam

premium kasar langsung pada 2009, menandakan

pertumbuhansebanyak5.7%berbanding2008.Sehingga

suku tahun ketiga 2010, premium kasar langsung

dianggarkan berjumlah RM9.67 bilion, menunjukkan

pertumbuhan sebanyak 9% berbanding tempoh

sembilan bulan yang sama pada tahun sebelumnya.

Takaful Malaysia menduduki tempat kedua dalam arena

TakafulAmdankamiakanterusberusahauntukmerebut

kedudukannomborsatu.

Walaupunkancahyangberlakudi negara-negara yang

mempunyai kedudukan ekonomi kukuh seperti amerika

Syarikat, Jepun dan eropah merupakan faktor luaran, reaksi

pasaran saham tempatan ke arah sentimen sedemikian

mungkin mempunyai impak tidak langsung terhadap

industri.Situasiinibolehmenjejaskanpermintaanluaran

yangakhirnyamempengaruhipenggunadalammembuat

keputusandanmenyukarkanprosesjualan.

Walaubagaimanapun,keyakinanpenggunadiMalaysia

berada dalam kedudukan yang lebih tinggi disertai

dengan persekitaran kadar faedah rendah yang akan

memberikan dorongan baru bagi pengguna untuk

mencari produk bermutu tinggi seperti insurans.

Keyakinan pengguna meningkat 4 mata kepada 107

mata pada suku keempat 2010, merupakan tahap

tertinggi sejak suku ketiga 2006, menurut penemuan

terkinioleh IndeksKeyakinanPenggunaGlobalNielsen

pada awal tahun ini. Penerimaan baik produk Takaful

Malaysiaoleh1Malaysiajugabertambahdanmemberikan

perolehanyanglebihtinggi.Padatahun2006,Kerajaan

telahmelancarkanPusatKewanganIslamAntarabangsa

Malaysia (MIFC) untuk mempromosikan Malaysia

sebagai hab utama kewangan Islam Antarabangsa

denganlebihagresif.Takafulmenjadibahagianpenting


market is expected to experience rapid growth. This

growth isbeyondourprojectionof20-25%perannum

becausethereisatpresent,anascentmarketwhichisin

theprocessofbuildingup.

Inthismorecompetitiveandvibrantenvironment,Takaful

Malaysia is committed to continue product innovation

and service excellence to serve the public with the

best range and quality of products. Therefore, Takaful

Malaysia has strengthened its product development

framework to provide a more structured, disciplined and

robustapproach.Themorerobustframeworkwillenable

the company to introduce innovative products focusing

onconsumerneedsanddeliverbettervaluepropositions

forthecustomers.

at the same time, we are ensuring that the company

remainsfinanciallystrongand incorporatingbetter risk

management practices into the product development

process.Thisenhancedframeworkisalsosupportedby

our investment in IT and human capital development.

Ongoingimplementationoftheproductanddistribution

channel strategies under the framework will enable

the company to perform well in this competitive

environment.

Overthelast18months,wehavesignificantlyimproved

Takaful Malaysia’s operating environment. Several

initiatives have taken place to improve the operating

environment which basically involved the refresh of

obsolete equipments and solutions that have been in

placeoverthelastdecade.

Last year, we proceeded to implement an IT strategy that

would extract the most value out of our IT investments

and remains effective in the coming years. We have

embarkedona seriesofnew initiatives toaddress the

currentshortfallsinordertomeetourobjectivesinthe

comingyears.

on top of that, we have also implemented initiatives to

improvetheoperatingenvironmentwhichincluded:-

• ReplacingtheCorporateWebPortalwiththelatest

Microsoft Sharepoint which was accomplished

inhouse;

Penyata Pengerusi


dalam landskap insurans dan kedudukannya terus mengukuh.Melaluilangkahliberalisasisektorkewanganyang diumumkan oleh perdana Menteri pada tahun lalu, pasaranTakafuldijangkaakanmengalamipertumbuhanpesat. Pertumbuhan sebanyak 20-25% setahun inimelebihi jangkaan kami kerana pada masa sekarangianyamerupakanpasaranbaruyangmasihmelaluiprosespengukuhan.

Dalam persekitaran yang lebih berdaya saing, TakafulMalaysia komited untuk meneruskan inovasi produk dan keunggulanperkhidmatandalammemberikhidmatyanglebihbaikkepadamasyarakatmelaluirangkaianterbaikdan produk berkualiti. Maka, Takaful Malaysia telahmengukuhkan rangka kerja pembangunan produknyauntukmenyediakankaedahyanglebihteratur,berdisiplindan bersemangat. Rangka kerja yang lebih agresifakan membolehkan syarikat memperkenalkan produkinovatif yang memfokuskan kepada keperluan pengguna dan memberi kedudukan nilai yang lebih baik kepadapelanggan.

pada masa yang sama, kami memastikan kedudukan kewangan syarikat akan kekal mantap dan menyepadukan amalanpengurusanrisikoyanglebihbaik.Rangkakerjayang dipertingkatkan ini juga disokong oleh pelaburankami dalam pembinaan IT dan pembangunan modalinsan. Pelaksanaan yang sedang berjalan bagi produkdanstrategisaluranpemasarandibawahrangkakerjainiakanmembolehkansyarikatmenunjukkanprestasiyangbaikdalampersekitaranyangkompetitifini.

Sejak 18 bulan yang lalu, kami telah meningkatkanpersekitaran operasi Takaful Malaysia dengan nyata.Beberapa inisiatif telah diambil untuk memperbaikipersekitaran operasi yang secara asasnya melibatkanpenambahbaikandanpenyelesaianperalatanyangtidakdigunakandantelahwujudsejaksedekadlalu.

Tahunlalu,kamimelaksanakanstrategiITyangmemberinilai pelaburan IT dan kekal efektif untuk tahun-tahunyangakandatang.Kamitelahmemulakansatusiriinisiatifbaru untuk menangani kekurangan semasa memenuhiobjektifkamiuntuktahun-tahunakandatang.

Selain itu, kami juga melaksanakan inisiatif untuk memperbaikisistemoperasitermasuklah:-

• MenggantikanPortalWebKorporatdenganMicrosoftSharepoint yang terkini dan disempurnakan di peringkatdalaman;


• Developing the IntranetPortal as a communication

platform for all our internal staff throughout the

TakafulMalaysia’snetwork.Thissolutionisalsoriding

onMicrosoftSharePoint;

• VirtualisationofITservicesinordertocopewithour

growingbusinessdemandsandneeds.Virtualservers

canbequicklycreatedanddeployedasrequired;

• Equipping ITstaffwith training inorder tosupport

business growth and provide better service. All

managers and above are required to attend IT

certification as well as leadership training courses

withinafixedtimeframe;

• Providing appropriate staff members with relevant

technical training e.g. Microsoft certification, Java

programmingandOracleprogramming.

To further enhance operational effectiveness and

efficiency, Takaful Malaysia will implement Document

Scanning and automated workflow processing for all

operationalprocessesinyear2011.

We have also acted to strengthen compliance and

corporate governance by putting the following in

place:-

• AComplianceCharterandFrameworkofprocesses

and procedures to ensure all existing and future

processes comply with statutory and regulatory

requirements;

• AComplianceMatrixtoensurethatallBankNegara

Malaysia’sguidelinesaredulyassignedandownedby

the relevant divisions and departments to facilitate

due compliance and declaration of confirmation of

duecompliance;

• Sign off and declaration of No-Non Compliance

Confirmationbyalldivisionsanddepartmentsofdue

complianceeachquartertotheBoardofDirectors;

• Updating and revising of the Standard Operating

procedures (Sops) of all divisions and departments

to ensure that changes in organisational structures

and job roles, newsystems implemented, authority

limits and new products and processes are captured

andupdated;

Penyata Pengerusi


• Membangunkan Portal Intranet sebagai platformkomunikasi kepada semua kakitangan di seluruh rangkaian Takaful Malaysia. Penyelesaian ini jugamenggunakanMicrosoftSharePoint;

• Virtualisation perkhidmatan IT untuk memenuhi permintaan dan keperluan perniagaan yang semakin bertambah.Pelayarmayadapatdirekadandigunakandengancepatapabiladiperlukan;

• Melengkapi kakitangan IT dengan latihan untukmenyokong perkembangan perniagaan danmenyediakanperkhidmatanyang lebihbaik.Semuajawatanpengurusdanyanglebihtinggidikehendakimenghadiri kursus pensijilan IT serta latihan kepimpinandalamjangkamasayangditetapkan;

• Menyediakan latihan teknikal yang berkaitanuntuk kakitangan seperti pensijilan Microsoft, pengaturcaraanJavadanpengaturcaraanOracle.

Untuk terus meningkatkan keberkesanan dankecekapan operasi, Takaful Malaysia akan melaksanakan Pengimbasan Dokumen dan pemprosesan aliran kerjaautomatikuntuksemuaprosesoperasipadatahun2011. Kami juga telah bertindak untuk mengukuhkanpematuhan dan tata urus korporat dengan pelaksanaan sepertiberikut:-

• Piagam Pematuhan dan Rangka Kerja proses danprosedurbagimemastikansemuaprosessediaadadan yang akan datang mematuhi keperluan dan pengawalanberkanun;

• Matriks Pematuhan bagi memastikan semua garispanduan Bank negara Malaysia dikendalikan dan dimiliki oleh bahagian dan jabatan yang berkenaanuntuk memudahkan pematuhan dan pengisytiharan pengesahanpematuhan;

• Merakam keluar dan mengisytiharkan “PengesahanKetakpatuhan” oleh semua bahagian dan jabatanyangbertanggungjawab terhadappematuhanpadasetiapsukutahunkepadaparaPengarah;

• Mengemas kini dan menyemak semula ProsedurOperasi Standard (SOP) di semua bahagian danjabatanbagimemastikanperubahandalamstrukturorganisasi dan peranan kerja, pelaksanaan sistem baru, had pihak berkuasa dan produk serta prosesbarudiambilkiradandikemaskini;


• A Compliance Portal detailing all compliance

requirementswhichisaccessiblebyallstaff.

on the human resource front, Takaful Malaysia had

engagedPricewaterhouseCooperstoimplementtheRe-

energizingRewardsprojectinApril2010.Theobjective

of this project is to enhance our efforts to attract, retain

and motivate the staff, especially key talents within the

Companyinlinewiththebrandpromise;Young, Modern

and Energeticaswellasthefeedbackconsolidatedfrom

theYear2009EmployeeEngagementSurvey(EES).The

projectwascompleted inSeptember2010, resulting in

anewjobgradingandsalarystructure,staffpromotion,

salary adjustment and introduction of a retention Bonus

Scheme.

MEETING OUR TARGETS

Takaful Malaysia set a target of increasing the market

sharebasedonassetsizeduringthefinancialyearunder

review.Inordertoachievethis,wehaveputinplacea

numberofstrategies:-

agency provident Fund

In March 2010, Takaful Malaysia launched the agency

Provident Fund (APF) in addition to the three-tier

agency model as well as three new Takaful products

namely; Takaful myGemilang, Takaful myInvest and

TakafulmyGraduan.

The apF is a form of retirement scheme created

for company’s agents to contribute into a special

retirement account,whichwill enable them toprepare

foracomfortable retirement lifestyle.The introduction

of the apF marked the start of the Company’s plan to

aggressivelyenhanceitsagencyforcein2010,initsbid

tocapturethegrowingTakafulmarket.TheAPFoffers

Penyata Pengerusi


• Portal Pematuhan yang menggariskan semuakeperluanpematuhanyangbolehdiaksesolehsemuakakitangan.

Bagi Sumber Manusia pula, Takaful Malaysia telahmelantik pricewaterhouseCoopers untuk melaksanakan projek Ganjaran Penjanaan Semula pada April 2010.Objektif projek ini adalah untuk meningkatkan usahakami untuk menarik, mengekal dan memberi motivasikepadakakitangan,terutamanyayangberpotensidalamSyarikat,sejajardenganjanji jenama;Muda,ModendanBertenagasertadaripadamaklumbalasyangdikumpulkandaripadaKajiSelidikPenglibatanKakitanganTahun2009(EES). Projek ini berjaya diselesaikan pada September2010 dan menghasilkan penggredan kerja dan struktur penggajianyangbaru,kenaikanpangkat,pelarasangajidanpengenalankepadaSkimPengekalanBonus.

MENCAPAI SASARANTakaful Malaysia menetapkan sasaran untuk meningkatkan bahagian pasaran berdasarkan saiz aset semasa tahunkewangan dalam tahun yang ditinjau. Untukmencapaisasaranini,kamitelahmelancarkanbeberapastrategi:-

Dana Simpanan agensi pada Mac 2010, Takaful Malaysia telah melancarkan Dana Simpanan agensi (apF) selain daripada model agensitigatingkatsertatigaprodukTakafulyangbaruiaitu Takaful myGemilang, Takaful myInvest dan Takaful myGraduan.

APFadalahskimpersaraanyangdibentukuntuksemuaejen syarikat supaya mencarum ke dalam akaun persaraan khas yang membolehkan mereka untuk bersedia kearas gaya hidup persaraan yang selesa. PengenalanapF ini menandakan permulaan pelan Syarikat untuk meningkatkan tenaga agensinya secara agresif pada 2010 dalam usahanya untuk merebut pasaran Takaful


Takaful Malaysia’s agents an added benefit as well as

enhances a “two-way” sense of loyalty between the

Companyanditsagents.

Furthermore,thelaunchoftheAPFprovedtobequite

timely, following the recent government announcement

of the 1Malaysia retirement Scheme for 2 million

entrepreneurs.

recognising the importance of agents in the Takaful

business, the Company is very mindful of the stiff

competition in the agency recruitment market,

particularly in light of rulings issued by the Malaysia

Takaful Association beginning 1 January 2009. These

rulings require potential recruits to pass the Takaful Basic

examination (TBe) and allow each agent to sign up with

twoGeneralPrincipalsandoneFamilyPrincipal.

Finally, Takaful Malaysia was also aware that talent

poaching from the newly injected operators into the

fraternity would soon serve as possible threats; if its

current talents are not constantly nurtured and enhanced

withtheproperskillsandknowledge.Therefore,byQ4

of 2011, the company will officially launch its agency

based learningcentretodeploy itscoachingandmost

importantly, retention modules alongside the existing

APFscheme.

Besides the tactical initiatives to impel loyalty amongst

the Takaful Malaysia’s retail agency force, many sales and

marketing driven incentives were deployed throughout

2010. Nonetheless, the recruitment efforts were

aggressivein2010andwillpersistin2011andbeyond.

Penyata Pengerusi


yang sedang berkembang. APF ini menawarkan ejen

TakafulMalaysiamanfaattambahansertameningkatkan

kesetiaanduahaladenganSyarikat.

Tambahan pula, pelancaran APF terbukti tepat pada

masanya berikutan pengumuman kerajaan baru-baru

ini mengenai Skim Persaraan 1Malaysia bagi 2 juta

usahawan.

Syarikat mengiktiraf betapa pentingnya ejen dalam

perniagaan Takaful kerana Syarikat sedar wujudnya

persaingan pasaran yang sengit dalam merekrut ejen-

ejen terutamanya selepas persatuan Takaful Malaysia

mengeluarkan peraturan yang berkuat kuasa 1 Januari

2009. Menurut peraturan tersebut, bakal ejen perlu

lulusPeperiksaanAsasTakaful(TBE)danmembenarkan

setiap ejen menandatangani dua prinsipal am dan satu

PrinsipalKeluarga.

Akhir sekali, Takaful Malaysia juga sedar bahawa ejen

yang berpengalaman mungkin akan diambil oleh

syarikat-syarikatyangbarusahajamenyertaiindustridan

ianya bakal menjadi ancaman sekiranya ejen tersebut

tidak dilatih dan dibekalkan dengan kemahiran dan

pengetahuanyangbetul.Olehitu,menjelangsukutahun

keempat2011,syarikatakanmembuatpelancaranrasmi

pusatpembelajaranberasaskanagensibagimelatihdan

yang penting sekali, melaksanakan modul serta skim apF

yangsediaada.

Selain daripada inisiatif taktikal untuk menggalakkan

kesetiaan di kalangan agensi runcit Takaful Malaysia,

banyakusahajualandanpemasaranberteraskaninsentif

jugadilaksanakansepanjangtahun2010.Namunbegitu,

usahamerekrutejen-ejenyangdijalankansecaraagresif

pada2010akanditeruskanpada2011danseterusnya.


Takaful myCare Centres and Takaful myDesks

Inordertoserveourcustomersbetter,TakafulMalaysia’s

strategy also included restructuring its overall operations

into31branches,7TakafulmyCare Centres, 1 retail Centre

and 5 Takaful myDesksacrossthecountry.TheCompany

leveraged on the Tabung Haji group infrastructure to

provide kiosks, namely the Takaful myDesk channel to

market our products and provide customer services thus

enablingourCompanytobetterstreamlinethebusiness

operationsandbemorecustomer-centric.

Ourproductswillnowbe furtheraccessible toamuch

wider audience with both Bank Islam and Tabung

Haji offering an expanded range of products. Most

importantly,ourcustomerswillbenefitfromtheincreased

accessibilityofTakafulMalaysia’sproducts.

partnership with Telco

Takaful Malaysia joined forces with one of Malaysia’s

leadingtelcocompaniestoarmouragentswithmobile

solutions for greater efficiency. Under this scheme,

bundled mobile voice and broadband solutions are

providedtostaff,distributorsandbusinesspartners to

createbettercostandbusinessefficiencywhileenriching

customerexperience.

With the upcoming launch of the mobile or e-point

sales capability, these implemented solutions served

as a good foundation to further assist our distributors

acrossallchannelsinexpeditingtheircertificateholders’

contributions and certificate submissions. Takaful

Malaysia aims to empower all its distributors with the

capability to check their customers’ certificate status

remotely,byend2011.

This fruitful partnership will allow Takaful Malaysia to

fullyutilisetheBroadbandandEDGEhigh-speedinternet

services as a foundation sales point system to recruit at

least2,000newagents.

Withgreaterefficiencyinjectedintoeveryaspectofthe

business,theCompanyisconfidentthatitcanreachout

toMalaysiansnationwideaboutthebenefitsofTakaful.

Penyata Pengerusi


pusat Takaful myCare dan Takaful myDesksUntuk memberi perkhidmatan yang lebih baik kepadapara pelanggan, strategi Takaful Malaysia juga merangkumi penyusunan semula operasi keseluruhan yang mempunyai 31 buah cawangan, 7 Pusat TakafulmyCare, 1 pusat runcit dan 5 Takaful myDesks di seluruh negara. Syarikat juga bergantung kepada infrastrukturkumpulan Tabung Haji untuk menyediakan kios, iaitusaluran Takaful myDesks bagi memasarkan produkdan menyediakan kaunter perkhidmatan pelanggan, sekaligusmembolehkanSyarikatmengemaskinioperasiperniagaan dan lebih fokus terhadap perkhidmatanpelanggan.

Produk kami akan lebih mudah didapati oleh orangramai pelanggan melalui pelbagai rangkaian produkyang ditawarkan oleh Bank Islam dan Tabung Haji.Yang penting, pelanggan kami akan mendapat manfaat daripadapertambahanpencapaianyangdipertingkatkanuntukprodukTakafulMalaysia.

perkongsian dengan syarikat telekomunikasiTakaful Malaysia berpadu tenaga dengan salahsebuah syarikat telekomunikasi utama Malaysia bagimelengkapkan ejen-ejen kami dengan penyelesaianmudahalihkearahkecekapanyanglebihbaik.Melaluiskimini,penyelesaiankomunikasidanpenyelesaianjalurlebardigabungkandandisediakanuntukkakitangan,pengedardan rakan kongsi perniagaan bagi mendapatkan kosdan kecekapanperniagaan yang lebih baik di sampingmemperkayakanpengalamanpelanggan.

Sempena pelancaran keupayaan jualan secara mudah alih atau e-point, penyelesaian yang diguna pakai inimenjadiasasyangbaikuntukterusmembantupengedarkami di semua saluran dalam mempercepatkan premium pemegangpolisidanpenghantaransijil.TakafulMalaysiaberhasrat untuk memudahkan semua pengedarnyadengan keupayaan memeriksa status polisi pelanggan darijauhmenjelangakhirtahun2011.

Usaha sama yang berguna ini membolehkan TakafulMalaysia menggunakan jalur lebar dan perkhidmataninternet berkelajuan tinggi sepenuhnya sebagai asassistem jualan untuk mendapatkan sekurang-kurangnya2,000ejenbaru.

Dengan kecekapan yang lebih tinggi kini disuntikdalamsemuaaspekperniagaan,Syarikatyakin iabolehmenceritakan tentang faedah Takaful kepada semua rakyatMalaysiadiseluruhnegara.


FINANCIAL OVERVIEW

GROUP PERFORMANCE

For the 18 months period ended 31 December 2010,

TakafulMalaysiarecordeda97%improvementinitsprofit

beforezakatandtaxfromRM49.7millionrecordedinthe

lastfinancialyeartoRM97.9million.Operatingrevenue

recordedanincreaseof65%fromRM1,049.1millioninthe

lastfinancialyeartoRM1,728.6milliononimprovedgross

contribution and investment income. These favourable

results,albeitthe18monthfinancialperiod,weremainly

attributed to the commitment and hard work of our

team, the capabilities of our newly added distribution

channel and also our edge over other Takaful operators

viatheeverpopularMudharabahmodel.Iampleasedto

saythat,tothisend,TakafulMalaysiahasbeensteadily

payingout15%Mudharabahtoallofourparticipantsin

the General Takaful and selected Family Takaful products

shouldnoclaimsincurredwithinthecoverageperiod.

Thefavorableprofitwasachievedonthebackofhigher

wakalah fees earned and higher surplus transfer mainly

fromtheFamilyTakafulbusiness.Thesurplusfromboth

FamilyTakafulandGeneralTakafulbusinesseswasaided

byhighergainsfrominvestments.

COMPANY PERFORMANCE

Takaful Malaysia achieved profit before zakat and tax

ofRM93.0millionforthe18monthsended31December

2010,anincreaseof103%overthelastfinancialyearof

RM45.8million.Theimprovedprofitwasachieved,albeit

the 18 month financial period, on the back of higher

wakalah fees earned and higher surplus transfer from

boththeFamilyTakafulandGeneralTakafulbusinesses.

Highergainsfrominvestmentscontributedtothehigher

surplusfrombothTakafulbusinesses.

operating revenue of the Company recorded an

increase of 65% from RM871.1 million during the last

financial year to RM1,440.7 million. Gross contribution

grewtoRM1,179.3millionfromRM709.3millioninthelast

financialyear.TheGeneralTakafulcontributionposteda

stronggrowthat81%,growingfromRM276.3millionto

RM499.5million.OntheFamilyTakafulbusiness,gross

contributiongrew57%fromRM433.0milliontoRM679.8

million on the back of the Mortgage Takaful business

growth.

Penyata Pengerusi


TINJAUAN KEWANGAN

PRESTASI KUMPULANUntuktempoh18bulanberakhir31Disember2010,TakafulMalaysiamencatatkankenaikan97%dalamkeuntungankeseluruhannya,dariRM49.7jutayangdirekodkanpadatahun kewangan lalu kepada RM97.9 juta. Pendapatanoperasi menunjukkan peningkatan 65% dari RM1,049.1juta pada tahun kewangan lalu kepada RM1,728.6 juta,hasil daripada sumbangan kasar dan pendapatanpelaburan yang lebih tinggi. Hasil yang lebih baik ini,walaupun dalam tempoh kewangan selama 18 bulan,adalahsumbanganusahakerasdankomitmenpasukankami, keupayaan saluran pengedaran tambahan yangbarusertakelebihankamiberbandingpengendaliTakafulyanglainmelaluimodelMudharabah.Sayaberbesarhatimenyatakan bahawa sehingga kini, Takaful MalaysiamasihterusmembayarMudhrabahsebanyak15%kepadasemua peserta produk Takaful am dan Takaful Keluarga yang terpilih, sekiranya tiada tuntutan dilakukan semasa tempohperlindungan.

Keuntungan yang baik ini berjaya dicapai hasil yuranwakalahyanglebihtinggiyangdiperolehidanpindahanlebihanyanglebihtinggidaripadakedua-duaperniagaanTakaful Keluarga dan Takaful Am. Lebihan yang lebihtinggidaripadakedua-diaperniagaantersebutdisokongolehlabayanglebihtinggidaripadapelaburan. PRESTASI SYARIKATKeuntungan TakafulMalaysia sebelum zakat dan cukaisebanyak RM93.0 juta bagi tempoh 18 bulan yangberakhir 31 Disember 2010, iaitu peningkatan 103%berbanding tahun kewangan lalu, yang berjumlahRM45.8juta.Keuntunganyangmeningkatini,walaupundalamtempohkewanganselama18bulan,dicapaihasildaripada yuran wakalah yang tinggi dan pindahan lebihanyanglebihtinggidaripadakedua-duaperniagaanTakafulKeluargadanTakafulAm.Labayanglebihtinggidaripadapelaburanmenyumbangkepada lebihanyanglebihbanyakdaripadakedua-duaperniagaanTakaful.

pendapatan operasi Syarikat merekodkan peningkatan 65%dariRM871.1jutasemasatahunkewanganlalukepadaRM1,440.7 juta. Sumbangan kasar meningkat kepadaRM1,179.3 jutadariRM709.3 jutapadatahunkewangansebelumnya. Perniagaan Takaful Am merekodkanprestasi kukuh, berkembang 81% dari RM276.3 jutakepadaRM499.5juta.BagiperniagaanTakafulKeluarga,sumbangankasarberkembang57%dariRM433.0jutakeRM679.8 jutamelalui pertumbuhan perniagaan Takafulgadaijanji.


Penyata Pengerusi


In addition, the Company’s higher profit was also

attributed to the improved income from investment

activities,which recordeda90.5% increase toRM361.3

millionfromRM189.7millioninthelastfinancialyear.

The significant improvement of Takaful Malaysia’s

investment income was due to more aggressive

strategic asset allocation and active management to

takeadvantageof rapidphaseofglobal anddomestic

economicrecoveryafterthefinancialcrisisexperienced

in2008.Thefasterthananticipatedeconomicrecovery

was among others supported by the unprecedented

monetary policy and fiscal stimulus implemented by

thevariousgovernmentsincludingMalaysia.Asaresult,

domesticGDPgrewby7.2%in2010afterthedecrease

of1.7%experiencedin2009.

Themain contributionof investment incomewas from

equity and Sukuk (corporate and government) which

constituted67.3%oftheCompany’s investmentassets.

It was indeed an interesting year for Sukuk mainly as

a result of the accommodative monetary policy and

credit spread tightening as the domestic economy

recovered. Supported by active management, Sukuk

portfoliorecordedanoverallincomeofRM218.9million,

anincreaseof83.0%fromRM119.6millionintheprevious

financialyear.

In line with the aggressive strategic asset allocation in

anticipation of bullish equity market ahead, the total

exposure inequitywas increasedby94.1%toRM359.8

million from RM185.4 million in the previous financial

year.Coupledwitheffectivestockselectionsandactive

trading to lock in profit, equity portfolio recorded

remarkable performance where it had recorded an

incomeofRM73.3million,amajorreversalfromalossof

Selain itu, keuntungan Syarikat yang lebih tinggi jugaadalahhasilpendapatanyanglebihbaikdaripadaaktivitipelaburanyangmerekodkanpertambahan90.5%kepadaRM361.3 juta dari RM189.7 juta pada tahun kewangansebelumnya.

Pengukuhan ketara pendapatan pelaburan TakafulMalaysia adalah kerana peruntukan aset strategik yang lebih agresif dan pengurusan aktif untuk mengambilpeluangpemulihanekonomiglobaldantempatanyangpesat selepas krisis kewangan pada 2008. Pemulihanekonomiyanglebihpantasdaripadayangdijangkaadalahantaranya hasil daripada polisi monetari dan ransangan fiskalyangdilaksanakanolehpelbagaikerajaan,termasukMalaysia. Dengan itu, KDNK domestik meningkat 7.2%pada 2010 selepas penurunan 1.7% yang dialami pada2009.

Sumbangan utama pendapatan pelaburan adalahdaripada ekuiti dan Sukuk (korporat dan kerajaan) yangmerangkumi67.3%asetpelaburanSyarikat.Tahunkewangan yang ditinjau ini merupakan tahun yang menarikbagiSukuk,hasildaripadapolisimonetariyangbersesuaian dan sebaran kredit yang semakin kecilsejajar dengan pemulihan ekonomi. Dengan sokonganpengurusan aktif, portfolio Sukuk mencatatkan pendapatan keseluruhan sebanyak RM218.9 juta, iaitupertambahan sebanyak 83.0% dari RM119.6 juta padatahunkewangansebelumnya.

Sejajar dengan peruntukan aset strategik yang agresif dalammenjangkakanpasaranekuitiyangbaikpadamasaakandatang,jumlahpendedahanbagiekuitimeningkat94.1% kepada RM359.8 juta dari RM185.4 juta padatahun kewangan sebelumnya. Dengan pilihan sahamyang berkesan dan dagangan aktif untuk mengambilkeuntungan, portfolio ekuiti merekodkan prestasi yang membanggakandenganpendapatanberjumlahRM73.3


RM6.3millioninthepreviousfinancialyear.Inaddition,

TakafulMalaysiahadalsoembarkedonseveralinitiatives

to increase the property yield, thus further improving the

Company’sprofitabilitymovingforward.Theseincluded

disposal of non-performing properties to unlock their

values and cost saving initiative through upgrading of

mechanical and electrical system for Dataran Kewangan

Darul Takaful to improve the energy consumption

efficiency,henceimprovingitspropertyyield.

REVIEW OF SUBSIDIARY

Syarikat Takaful Indonesia (STI) Group

For the 18 months period ended 31 December 2010,

STIGrouprecordedanOperatingRevenueofRM263.8

million compared with RM152.1 million during the last

financial year. Profit after zakat and taxation for the

current period under review was RM10.7 million, an

increaseoverthelastfinancialyearofRM1.4million.The

improved result is partly from the change in accounting

policy in compliance to Indonesia accounting standard

requiring thatparticipants’ lossesbe recognized in the

Family Takaful fund has given rise to a recovery of losses

in the Shareholders’ fund of RM5.5million. Before this

change,theparticipants’ losseswererecognized inthe

Shareholders’fund.

The sales performance in STI is reflected by way of

collective sales results at both P.T. Asuransi Takaful

Keluarga(ATK)andP.T.AsuransiTakafulUmum(ATU).

ThiswasledbythesalesperformanceatATKthatgrew

74%fromthelastfinancialyear.Themarkedimprovement

was largely as a result of greater focus within the

bancatakafulsegmentand improvedstrategicalliance/

partnerships vis-à-vis affinity programs. Bancatakaful’s

success is underscored by the accelerated Shariah

bankingwindowgrowthandATK’sabilitytogather“first

mover” advantage being the most established takaful

operatorinIndonesia.Strategicalliancebusinesseswere

fortifiedthroughthedeepeningofrelationshipswithkey

partners i.e., PT. POS Indonesia and Telkom Indonesia

whereaffinityprogramgrewrapidly.

Insupportingthebusinessgrowth,anewmanagement

team at aTK emerged with the successful recruitment

of key positions at leadership level that included the

President Director, Operations Directors and Actuary.

Penyata Pengerusi


juta, jauh berbeza dengan kerugian RM6.3 juta padatahunkewangansebelumini.Selainitu,TakafulMalaysiajugatelahmemulakanbeberapainisiatifuntukmenaikkankadar hasil daripada hartanah untuk meningkatkan keuntungan Syarikat dimasa hadapan. Ini termasuklahpenjualan hartanah yang tidak berpotensi untukmendapatkan nilai daripadanya serta inisiatif penjimatan kosdenganmenambahbaiksistemmekanikaldanelektrikbagiDataranKewanganDarulTakafulsupayakecekapanpenggunaan tenaga dipertingkatkan dan seterusnya menaikkankadarhasilhartanahtersebut.

ULASAN SUBSIDIARI

Kumpulan Syarikat Takaful Indonesia (STI)Untuk tempoh 18 bulan berakhir 31 Disember 2010,KumpulanSTImerekodkanPendapatanOperasiberjumlahRM263.8 juta berbanding RM152.1 juta pada tahunkewanganyanglalu.KeuntunganselepaszakatdancukaiuntuktempohsemasadalamtinjauanberjumlahRM10.7juta,melonjakdariRM1.4jutayangdiperolehipadatahunkewangan sebelum ini. Prestasi yang bertambah baikini adalah hasil daripada perubahan polisi perakaunanbagimematuhistandardperakaunanIndonesia,dimanakerugianpesertadiiktirafdibawahdanaTakafulKeluarga,sekaligus meningkatkan pemulihan kerugian dalam dana pemegang saham sebanyak RM5.5 juta. Sebelumperubahanini,kerugianpesertadiiktirafdibawahdanapemegangsaham.

prestasi jualan STI ditunjukkan melalui hasil jualan kolektif darikedua-duaP.T.AsuransiTakafulKeluarga(ATK)danP.T.AsuransiTakafulUmum(ATU).

Prestasi jualan ATK berkembang 74% berbandingtempoh yang sama tahun lalu. Peningkatan ketara iniadalah hasil fokus dalam segmen Bancatakaful dan kerjasama strategik melalui program afiniti yang lebihbaik.KejayaanBancatakafuldisebabkanperkembanganpesat perbankan Syariah dan keupayaan ATK untukmerebutkedudukannyasebagaipengendalitakafulyangpalingutuhdiIndonesia.Perniagaankerjasamastrategikdikukuhkan lagimelalui hubungan akrab dengan rakankongsi utama seperti PT. POS Indonesia dan TelkomIndonesia,dimanaprogramafinitiberkembangdenganpantas.

Dalam menyokong pertumbuhan perniagaan, pasukanpengurusanbarudiATKberjayamenggajipekerjabagijawatan utama di peringkat atasan termasuklah pengarah Presiden, Pengarah Operasi dan Aktuari. Pengambilan


These hiring are in tandem with the transformation

process of converting aTK into a more forceful and

dominanttakafuloperator.

Onthesamebreadth,ATU’sbusinessalsoshowedgrowth,

albeit lower at 60% largely due to a general industry

that had slower growth in 2010. ATU had re-assessed

its business strategy with greater focus in growing

the retailbusiness.This involvedcreationofdedicated

Bancatakaful sales force within greater Jakarta that

accountedformorethan30%oftheIndonesianbusiness.

This focus allowed greater harvest of the Bancatakaful

segmentwithinthegrowingShariahBankingwindows.

asean retakaful (arIL)

ARILrecordedanOperatingRevenueofRM24.1millionfor

the18monthsperiodended31December2010compared

with RM27.2million recorded in the last financial year

following the cessation of underwriting new business

during the current financial period. The shareholders

of arIL have agreed to commence commutation of the

risks in the portfolio of ARIL and are expected to be

completedbyDecember2011.

CORPORATE SOCIAL RESPONSIBLITY

Asagovernment-linkedcompany(GLC),TakafulMalaysia

iscommittedtothecorporatesocialresponsibility(CSR)

objectivesoutlined in theSilverBookwhich isasetof

principles and guidelines to be implemented by GLCs

sotheycanproactivelycontributetothesocietywhile

stillcreatingvaluefortheirshareholders.Inlinewiththe

SilverBook,weendeavourtocontributetothesociety

in themost efficient and effectivemanner in linewith

industrynormsandbestpracticesaswellastherelevant

regulatoryframework.

Weconductedthreesub-programmesundertheTakaful

myJalinanCSRumbrella:-

• TakafulmyJalinanKasihprovidesmonetaryassistance

to the needy including orphans, single mothers and

othergroupsofunderprivileged;

• Takaful myJalinan Ilmu complements the work of

school teachers by helping students excel in their

studies with special emphasis on improving their

proficiencyinEnglish;

Penyata Pengerusi


pekerja ini adalah selaras dengan proses transformasi untukmengubahATKmenjadipengendali takafulyanglebihagresifdandominan.

pada masa yang sama, perniagaan aTu juga menunjukkan peningkatanwalaupunperatusannya lebihrendah, iaitusebanyak60%,keranapertumbuhanindustriamadalahlebih perlahan pada tahun 2010. ATU telah mengkajisemula strategi perniagaannya dengan fokus yang lebih dalammengembangkanperniagaan runcitnya. Inimelibatkan pembentukan pasukan jualan Bancatakafulyang berdedikasi di Jakarta, dan mempunyai lebihdaripada 30% perniagaan di Indonesia. Fokus inimemungkinkan kadar hasil yang lebih tinggi daripadasegmenBancatakafuldidalamPerbankanSyariahyangsedangberkembang.

asean retakaful (arIL)ARIL merekodkan Pendapatan Operasi sebanyakRM24.1jutauntuktempoh18bulanberakhir31Disember2010 berbanding RM27.2 juta yang dicatatkan padatahun kewangan sebelumnya berikutan pengunderitanperniagaan baru dibekukan pada tahun kewangansemasa. Para pemegang saham ARIL telah bersetujuuntuk memulakan peringanan risiko dalam portfolio arIL dandijangkaakanselesaimenjelangDisember2011.

TANGGUNGJAWAB SOSIAL KORPORATSebagaisebuahsyarikatberkaitankerajaan(GLC),TakafulMalaysiajugakomitedterhadapobjektifTanggungjawabSosial Korporat (CSr) seperti yang digariskan di dalam Silver Book, iaitu satu set prinsip dan garis panduan yang perlu dilaksanakan oleh GLC untuk membolehkannyamenyumbangsecaraproaktifkepadamasyarakatsambilmerangsang nilai kepada para pemegang sahamnya.Sejajar dengan Silver Book tersebut, kami berusahamenghulurkan sumbangan kepada masyarakat dengancara yang paling cekap dan berkesan selaras dengankelazimandanamalanterbaikindustrisertarangkakerjaperaturanyangberkaitan.

DalamprogramCSRkamidibawahTakafulmyJalinan,tigaprogramtelahdilaksanakaniaitu:-

• TakafulmyJalinanKasihyangmenyediakanbantuankewangan kepada golongan yang memerlukan termasukanak-anakyatim,ibutunggaldankumpulankurangbernasibbaikyanglain;

• Takaful myJalinan Ilmu yang melengkapi tugas para pendidik denganmembantu pelajarmencapaikecemerlangan dalam bidang pelajaran denganpenekanankhususdiberikepadausahamemperbaikipenguasaandalamBahasaInggeris;


Penyata Pengerusi


• Takaful myJalinan Alam aims to preserve the

environmentthroughvariousenvironmental-friendly

activities while educating 1Malaysia on the importance

ofsafeguardingourenvironment.

So far, Takaful Malaysia has contributed close to RM4

million to various underprivileged groups across Malaysia

since the inception of this unique CSr programme in

January2009.

CONCLUSION

In conclusion, I would like to reiterate the Company’s

commitment to all our stakeholders. In the faceof the

intense competition in the Takaful fraternity, Takaful

Malaysia will remain focused on upholding our brand

promisewhilemaximisingtheprofitsandinvestmentsof

ourvaluedstakeholders.Wewilltakevariousnecessary

measures, both at strategic and operational levels, to

achieveamoresolidfinancialperformance.

Our strategic objective for the next Financial Year

is to maintain our double digit growth trend via the

development of niche and salable products that will

addressthegrowingsophisticationof1Malaysiademands.

These superior offerings must then be complimented

with exceptional service quality – most importantly,

easilyandwidelyaccessibleby1Malaysians.

Finally, I would like to thank the Board of Directors for

their unreserved commitment and efforts throughout

the year; our valued shareholders and customers for

theirstaunchsupport;theManagementCommitteeand

Staff for their diligence, commitment and exemplary

professionalism; and to our Business Partners for their

confidenceandsupport.Ilookforwardtofurtheringour

various associations and strengthening our ties in the

upcomingyear.

Dato’ Paduka Ismee Ismail

Chairman

• Takaful myJalinan Alam yang bermatlamat untuk

memelihara alam sekitar melalui pelbagai aktiviti

mesra alam sekitar sambilmendidik seluruh rakyat

1Malaysia tentang kepentingan untuk melindungi

alamsekitarkita.

Sehingga kini, Takaful Malaysia telah menyumbang

hampir RM4 juta kepada pelbagai kumpulan yang

membelagolonganyangkurangbernasibbaikdiseluruh

MalaysiasejakprogramCSRinidiperkenalkanpadabulan

Januari2009.

KESIMPULAN

Saya ingin mengulangi komitmen Syarikat kepada

kesemua pemegang saham kami. Dalam menghadapi

persaingan sengit industri Takaful, Takaful Malaysia

akan kekal fokus mendukung janji jenama kami dan

akan memaksimakan keuntungan dan pelaburan

para pemegang saham yang kami hargai. Kami akan

mengambil langkah-langkah yang perlu, sama ada di

peringkat strategik mahupun operasi, untuk mencapai

prestasikewanganyanglebihmantap.

Objektif strategik kami bagi Tahun Kewangan akan

datang adalah untukmengekalkan trend pertumbuhan

duadigitmelaluipembangunanprodukhebatdanboleh

dijual yang akan memenuhi keperluan 1Malaysia yang

semakin sofistikated. Tawaran produk hebat ini harus

disertai dengan kualiti perkhidmatan yang lebih hebat

daripadabiasa-danyangpentingsekali,mudahdiakses

oleh1Malaysia.

akhir sekali, saya ingin merakamkan penghargaan kami

kepada Lembaga Pengarah atas komitmen yang tidak

berbelah bahagi dan usaha mereka sepanjang tahun;

kepada para pemegang saham dan pelanggan yang

kamihargaiatassokonganpadumereka;Jawatankuasa

pengurusan dan Kakitangan atas ketekunan, komitmen

dansikapprofesionalmereka;dankepadaRakanNiaga

kami atas keyakinan dan sokongan mereka. Semoga

kita akan terus mengukuhkan perhubungan kita di

masa-masayangakandatang.

Dato’ Paduka Ismee Ismail

Pengerusi


Financial StatementsDirectors’ Report

Statement by Directors

Statutory Declaration

Report of the Auditors

Report of the Shariah Advisory Body

Balance Sheets

Income Statements

Statements of Changes In Equity

Family Takaful Balance Sheet

Family Takaful Revenue Accounts

General Takaful Balance Sheet

General Takaful Revenue Accounts

Cash Flow Statements

Notes to the Financial Statements

088

093

094

095

097

098

099

100

102

103

105

106

108

111

088 Syarikat Takaful Malaysia Berhad (131646-K) • Laporan Tahunan 2010 Annual Report

The Directors have pleasure in submitting their report and the audited financial statements of the Group and of the Company for the financial period ended 31 December 2010.

Principal Activities

The principal activities of the Company consist of managing family and general takaful businesses, whilst the principal activities of the subsidiaries are as stated in Note 6 to the financial statements. There has been no significant change in the nature of these activities during the financial period.

Change of Financial Year End

The financial year end of the Company and its subsidiary was changed from 30 June to 31 December. Accordingly, the financial statements of the Group and of the Company for the financial period ended 31 December 2010 cover an 18-month period compared to the 12-month year ended of 30 June 2009 and therefore the comparative amounts are not comparable.

Results Group Company RM’000 RM’000

Net profit for the financial period 57,749 49,856

Reserves and Provisions

There were no material transfers to or from reserves and provisions during the financial period under review.

Dividends

The dividends paid by the Company since 30 June 2009 were as follows: RM’000In respect of the financial year ended 30 June 2009 as reported in the directors’ report of that year:Final dividend of 7.25% less 25% taxation, paid on 11 December 2009 8,853

In respect of the financial period ended 31 December 2010:Interim dividend of 7% less 25% taxation, paid on 8 October 2010 8,548

17,401

The final dividend recommended by the Directors in respect of the financial period ended 31 December 2010 is 7% less tax totalling RM8,547,893.

Directors’ Reportfor the Financial Period Ended 31 December 2010



Directors of the Company

Directors who served since the date of the last report are:-

Y. Bhg. Dato’ Paduka Ismee Ismail (Appointed on 16 December 2009)Y.A.M. Tengku Azman Ibni Almarhum Sultan Abu Bakar (Retired on 14 May 2010)Y. Bhg. Dato’ Mohamed Hassan Md. KamilPuan Rozaida Omar Encik Mahadzir Azizan Y. Bhg. Dato’ Sulaiman Mohd Yusof Encik Johan Abdullah Encik Zakaria Ismail (Appointed on 15 May 2010)

In accordance with Article 62 of the Company’s Articles of Association, Encik Mahadzir Azizan and Y.Bhg.Dato’ Sulaiman Mohd Yusof will retire at the forthcoming Annual General Meeting and, being eligible, offer themselves for re-election.

In accordance with Article 66A of the Company’s Articles of Association, Y. Bhg. Dato’ Paduka Ismee Ismail and Encik Zakaria Ismail will retire at the forthcoming Annual General Meeting and, being eligible, offer themselves for re-election.

Directors’ Interests

According to the register of directors’ shareholding, none of the directors in office at the end of the financial period held any interest in the shares and options over shares of the Company or its related corporations during the financial period ended 31 December 2010.

Directors’ Benefits

Since the end of the previous financial year, no Director of the Company has received nor become entitled to receive any benefit (other than a benefit included in the aggregate amount of emoluments received or due and receivable by Directors as shown in the financial statements) by reason of a contract made by the Company or a related company with the Director or with a firm of which the Director is a member, or with a company in which the Director has a substantial financial interest.

There were no arrangements during and at the end of the financial period which had the object of enabling Directors of the Company to acquire by means of the acquisition of shares in or debentures of the Company or any other corporate body.

Statement on corporate governance and internal controls

(a) Board Responsibilities

The Board of Directors (“the Board”) is ultimately responsible for the proper stewardship of the Company’s resources, the achievement of corporate objectives and good corporate citizenship and discharges this responsibility through compliance with the Takaful (Amendment) Act, 1984 and BNM Guidelines on Duties and Responsibilities of Directors and Chief Executives of Insurers (JPIT/GPT 1) and other directives, in addition to adopting other best practices on corporate governance.


Statement on corporate governance and internal controls (continued)

(a) Board Responsibilities (continued)

The Board comprises six non-executive directors and one executive director to enable a balanced and objective consideration of issues, hence facilitating optimal decision making. The executive director adds value to the decision making process by providing a management and operational perspective to issues placed before the Board.

(b) Management Accountability

The Company has an organisational structure showing all reporting lines as well as clearly documented job descriptions for all management and executive employees.

Authority limits, as approved by the Board, are clearly established and made available to all employees.

(c) Corporate Independence

The Company has complied with BNM’s Guidelines on Related Party Transactions (JPIT/GPT 7) (Consolidated). Necessary disclosures have been made to the Board and when required, prior Board’s approval has been obtained. All material related party transactions have been disclosed in Note 34 to the financial statements.

(d) Internal Controls and Operational Risk Management

The responsibility for establishing an effective risk management and internal control system rests with the Board.

The Board has put in place an Enterprise Wide Risk Management (“ERM”) framework within the Group to ensure that there is an on-going process of identifying, evaluating, monitoring and managing the significant risk exposures inherent in its business operations. The Group has established a structured risk management process of which the roles and responsibility of Risk Management Committee of the Board (RISCO) and Management Risk Committee (MRC) are clearly spelt out. Given that Business Continuity Management (BCM) is the key component of the overall risk management framework, the Company also has established a Business Continuity Management Framework.

The Group has established adequate internal control system to address the need for an effective and efficient business operations, sound financial reporting and control procedures and compliance with relevant laws and regulations.

(e) Public Accountability

As custodian of public funds, the Company’s dealings with the public are always conducted fairly, honestly and professionally.

(f) Financial Reporting

The Company has maintained proper accounting records and the Company’s financial statements are prepared in accordance with Financial Reporting Standards (“FRS”) issued by the Malaysian Accounting Standards Board (“MASB”), the provisions of the Companies Act, 1965, the Takaful (Amendment) Act, 1984 and Takaful Guidelines/Circular issued by Bank Negara Malaysia (“BNM”) and Principles of Shariah.



Other Statutory Information

Before the financial statements of the Group and of the Company were made out, the Directors took reasonable steps to ascertain that:

i) all known bad debts have been written off and adequate provision made for doubtful debts;

ii) all current assets have been stated at the lower of cost and net realisable value; and

iii) there was adequate provision for incurred claims, including Incurred But Not Reported (“IBNR”) claims.

At the date of this report, the Directors are not aware of any circumstances:

i) that would render the amount written off for bad debts, or the amount of the provision for doubtful debts and provision for incurred claims including IBNR claims in the Group and in the Company inadequate to any substantial extent, or

ii) that would render the value attributed to the current assets in the Group and in the Company financial statements misleading, or

iii) which have arisen which render adherence to the existing method of valuation of assets or liabilities of the Group and of the Company misleading or inappropriate, or

iv) not otherwise dealt with in this report or the financial statements, that would render any amount stated in the financial statements of the Group and of the Company misleading.

The contingent liabilities of the Group and the Company are disclosed in Note 40 to the financial statements. As at the date of this report, there does not exist:

i) any charge on the assets of the Group or of the Company that has arisen since the end of the financial period and which secures the liabilities of any other person, or

ii) any contingent liability in respect of the Group or of the Company that has arisen since the end of the financial period.

No other contingent liability or other liability of any company in the Group has become enforceable, or is likely to become enforceable within the period of twelve months after the end of the financial period which, in the opinion of the Directors, will or may substantially affect the ability of the Group and of the Company to meet their obligations as and when they fall due.

For the purpose of this paragraph, contingent and other liabilities do not include liabilities arising from contracts of takaful underwritten in the ordinary course of business of the Group and the Company.



Other Statutory Information (continued)

In the opinion of the Directors, the results of the operations of the Group and of the Company for the financial period ended 31 December 2010 have not been substantially affected by any item, transaction or event of a material and unusual nature nor has any such item, transaction or event occurred in the interval between the end of the financial period and the date of this report.

Auditors

The auditors, Messrs KPMG Desa Megat & Co., have indicated their willingness to accept re-appointment.

Signed on behalf of the Board of Directors in accordance with a resolution of the Directors:

………………………………………………………… Dato’ Paduka Ismee Ismail

…………………………………………………………Dato’ Mohamed Hassan Md. Kamil

Kuala Lumpur,

Date: 28 March 2011



In the opinion of the Directors, the financial statements set out on pages 98 to 181 are drawn up in accordance with the provisions of the Companies Act, 1965 and Financial Reporting Standards issued by the Malaysian Accounting Standards Board and comply with the Principles of Shariah so as to give a true and fair view of the state of affairs of the Group and of the Company at 31 December 2010 and of the results of their operations and cash flows for the period ended on that date.

In the opinion of the Directors, the information set out in Note 42 to the financial statements has been compiled in accordance with the Guidance on Special Matter No.1, Determination of Realised and Unrealised Profits or Losses in the Context of Disclosures Pursuant to Bursa Malaysia Securities Berhad Listing Requirements, issued by the Malaysian Institute of Accountants, and presented based on the format prescribed by Bursa Malaysia Securities Berhad.

Signed in accordance with a resolution of the Directors:

………….................................................................Dato’ Paduka Ismee Ismail

………….................................................................Dato’ Mohamed Hassan Md. Kamil

Kuala Lumpur,

Date: 28 March 2011

Statement by DirectorsPursuant to Section 169(15) of the Companies Act, 1965


Statutory DeclarationPursuant to Section 169(16) of the Companies Act, 1965

I, Lee Kok Wah, the officer primarily responsible for the financial management of Syarikat Takaful Malaysia Berhad, do solemnly and sincerely declare that the financial statements set out on pages 98 to 182 are, to the best of my knowledge and belief, correct and I make this solemn declaration conscientiously believing the same to be true, and by virtue of the provisions of the Statutory Declarations Act, 1960.

Subscribed and solemnly declared by the above named in Kuala Lumpur on 28 March 2011.

………….................................................................Lee Kok Wah

Before me:


Report of the Auditorsto the Members of Syarikat Takaful Malaysia Berhad

Report on the Financial Statements

We have audited the financial statements of Syarikat Takaful Malaysia Berhad, which comprise the balance sheets as at 31 December 2010 of the Group and of the Company, and the income statements, revenue accounts, statements of changes in equity and cash flow statements of the Group and of the Company for the year then ended, and a summary of significant accounting policies and other explanatory notes, as set out on pages 98 to 181.

Directors’ Responsibility for the Financial Statements

The directors of the Company are responsible for the preparation of financial statements that give a true and fair view in accordance with Financial Reporting Standards and the Companies Act, 1965 in Malaysia, and for such internal control as the directors determine are necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

Auditors’ Responsibility

Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with approved standards on auditing in Malaysia. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on our judgment, including the assessment of risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, we consider internal control relevant to the Company’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by the Directors, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion

In our opinion, the financial statements have been properly drawn up in accordance with Financial Reporting Standards and the Companies Act, 1965 in Malaysia so as to give a true and fair view of the financial position of the Group and of the Company as of 31 December 2010 and of their financial performance and cash flows for the period then ended.

Report on Other Legal and Regulatory Requirements

In accordance with the requirements of the Companies Act, 1965 in Malaysia, we also report the following:

a) In our opinion, the accounting and other records and the registers required by the Act to be kept by the Company and its subsidiaries of which we have acted as auditors have been properly kept in accordance with the provisions of the Act.

(Company No. 131646-K)(Incorporated in Malaysia)


Report of the Auditorsto the Members of Syarikat Takaful Malaysia Berhad (Company No. 131646-K)(Incorporated in Malaysia)

Report on Other Legal and Regulatory Requirements (continued)

b) We have considered the accounts and the auditors’ reports of all the subsidiaries of which we have not acted as auditors, which are indicated in Note 6 to the financial statements.

c) We are satisfied that the accounts of the subsidiaries that have been consolidated with the Company’s financial statements are in form and content appropriate and proper for the purposes of the preparation of the financial statements of the Group and we have received satisfactory information and explanations required by us for those purposes.

d) The audit reports on the accounts of the subsidiaries did not contain any qualification or any adverse comment made under Section 174(3) of the Act.

Other Reporting Responsibilities

Our audit was made for the purpose of forming an opinion on the financial statements taken as a whole. The information set out in Note 42 to the financial statements has been compiled by the Company as required by the Bursa Malaysia Securities Berhad Listing Requirements and is not required by the Financial Reporting Standards. We have extended our audit procedures to report on the process of compilation of such information. In our opinion, the information has been properly compiled, in all material respects, in accordance with the Guidance on Special Matter No.1, Determination of Realised and Unrealised Profits or Losses in the Context of Disclosures Pursuant to Bursa Malaysia Securities Berhad Listing Requirements, issued by the Malaysian Institute of Accountants and presented based on the format prescribed by Bursa Malaysia Securities Berhad.

Other Matters

This report is made solely to the members of the Company, as a body, in accordance with Section 174 of the Companies Act, 1965 in Malaysia and for no other purpose. We do not assume responsibility to any other person for the content of this report.

........................................................ ........................................................KPMG Desa Megat & Co Khaw Hock HoeFirm Number: AF: 0759 Approval Number: 2229/04/12 (J)Chartered Accountants Chartered Accountant

Date: 28 March 2011


Report of the Shariah Advisory Body

We have reviewed the principles and the contracts relating to the transactions and applications introduced by Syarikat Takaful Malaysia Berhad (Takaful Malaysia) during the financial period ended 31 December 2010. We have also conducted our review to form an opinion as to whether Takaful Malaysia has complied with the Shariah principles and with the Shariah rulings issued by the Shariah Advisory Council of Bank Negara Malaysia.

The management of Takaful Malaysia is responsible for ensuring that Takaful Malaysia conducts its business in accordance with Shariah principles. It is our responsibility to form an independent opinion, based on our review of the operations of Takaful Malaysia.

We have assessed the work carried out during Shariah review which included examining, on a test basis, each type of transaction, the relevant documentation and procedures adopted by Takaful Malaysia.

We planned and performed our review so as to obtain all the information and explanations which we considered necessary in order to provide us with sufficient evidence to give reasonable assurance that Takaful Malaysia has not violated the Shariah principles.

In carrying out our roles and responsibilities, we hereby submit the following report for the financial period ended 31 December 2010:-

1. The Shariah Advisory Body (SAB) held six (6) meetings to review various products, transactions and processes in line with the Shariah requirements and we have also approved four (4) new products and eight (8) riders.

2. In addition, in the said meetings, we have also approved the profit rate declaration for Family and General takaful products.

3. We also discussed and approved proposals/issues related to takaful products.4. The Company during the financial period under review has tracked the non-halal income and disposed to charity upon

obtaining approval from the SAB.

In our opinion:-

1. The contracts, transactions and dealings entered into by Takaful Malaysia during the financial period ended 31 December 2010 are in compliance with the Shariah principles;

2. The allocation of profit and charging of losses relating to investment accounts conform to the basis that had been approved by us in accordance with Shariah principles;

3. All earnings that have been realised from sources or by means prohibited by the Shariah principles have been considered for disposal to charitable causes; and

4. The calculation of zakat is in compliance with Shariah principles.

We, the members of the Shariah Advisory Body of Takaful Malaysia, do hereby confirm that the operations of Takaful Malaysia for the financial period ended 31 December 2010 have been conducted in conformity with the Shariah principles.

We bear witness only to what we know, and we could not well guard against the unseen! (surah Yusuf, verse: 81)

Chairman of the SAB : ………………………………Dr. Ahmad Shahbari @ Sobri Salamon

Member of the SAB : ………………………………Ustaz Mohd. Bakir Hj. Mansor

Kuala Lumpur,

Date: 28 March 2011


Balance Sheetsas at 31 December 2010

Group Company Note 31.12.2010 30.6.2009 31.12.2010 30.6.2009 RM’000 RM’000 RM’000 RM’000

ASSETSShareholders’ assetsProperty and equipment 3 27,006 32,456 21,446 26,868 Prepaid lease payments 4 2,891 3,291 1,196 1,241 Investment properties 5 11,958 11,156 11,665 10,865 Investment in subsidiaries 6 - - 70,747 72,247 Investment in associates 7 - - - - Investments 8 362,084 267,984 293,262 202,353 Financing receivables 9 14,438 14,018 10,283 13,411 Deferred tax assets 16 12,979 8,185 5,985 4,295 Qardh - Receivables 10 1,357 31,722 - 28,274 Receivables 11 50,298 46,741 36,161 29,202 Assets held for sale 12 - 1,471 - 1,471 Cash and bank balances 13 2,691 7,596 2,321 6,473

Total Shareholders’ assets 485,702 424,620 453,066 396,700 Total Family takaful assets (page 102) 3,745,467 3,364,426 3,489,871 3,167,422 Total General takaful assets (page 105) 758,728 640,607 715,311 596,592 Less : Interfund balances (45,446) (57,418) (38,569) (41,834)

TOTAL ASSETS 4,944,451 4,372,235 4,619,679 4,118,880

LIABILITIESShareholders’ liabilitiesPayables 14 47,811 46,476 32,721 33,077 Provision for taxation 24,847 699 24,662 395

Total Shareholders’ liabilities 72,658 47,175 57,383 33,472 Total Family takaful liabilities (page 102) 221,520 249,052 203,163 222,371 Total General takaful liabilities (page 105) 328,116 303,640 294,111 270,135 Less : Interfund balances (45,446) (57,418) (38,569) (41,834)

576,848 542,449 516,088 484,144 Family takaful fund 18 3,523,947 3,115,374 3,286,708 2,945,051 General takaful fund 19 430,612 336,967 421,200 326,457

TOTAL LIABILITIES 4,531,407 3,994,790 4,223,996 3,755,652

SHAREHOLDERS’ EQUITYShare Capital 21 162,817 162,817 162,817 162,817 Reserves 222,975 186,677 232,866 200,411

Total equity attributable to shareholders of the Company 385,792 349,494 395,683 363,228 Minority interest 17 27,252 27,951 - -

Total Equity 413,044 377,445 395,683 363,228

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY 4,944,451 4,372,235 4,619,679 4,118,880

The accompanying notes to the financial statements form an integral part of,and should be read in conjunction with, these financial statements.


Income Statements for the Period Ended 31 December 2010

Group Company 1.7.2009 1.7.2008 1.7.2009 1.7.2008 to to to to Note 31.12.2010 30.6.2009 31.12.2010 30.6.2009 RM’000 RM’000 RM’000 RM’000

Operating revenue 23 1,728,588 1,049,134 1,440,735 871,077

Transfer from revenue accounts Family takaful 102,924 66,149 101,349 56,979 General takaful 118,908 81,583 118,679 78,961 Wakalah fee income 141,962 38,718 66,944 9,427 Investment income 24 17,086 9,289 12,352 6,678 Other operating income 25 26,324 17,850 15,672 11,287 Management expenses 26 (241,281) (148,420) (192,211) (112,886)Other operating expenses 27 (68,037) (15,454) (29,763) (4,615)

Profit from operations 97,886 49,715 93,022 45,831 Finance costs - - - -

Profit before zakat and taxation 97,886 49,715 93,022 45,831 Zakat (516) (862) (358) (506)Taxation 30 (39,621) (8,399) (42,808) (8,143)

Profit for the period/year 57,749 40,454 49,856 37,182

Attributable to:Shareholders of the Company 56,346 39,394 49,856 37,182 Minority interest 1,403 1,060 - -

Profit for the period/year 57,749 40,454 49,856 37,182

Earnings per share Basic earnings per share (sen) 31 34.6 24.2



Statements of Changes in Equityfor the Period Ended 31 December 2010


Group ----------Non – distributable---------- Distributable Share Share Translation Retained Minority Total capital premium reserve profits Total interest Equity RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

At 1 July 2008 161,576 3,849 (5,684) 144,624 304,365 31,670 336,035

Exchange differences - - 2,042 - 2,042 1,698 3,740

Net gain not recognised in the income statement - - 2,042 - 2,042 1,698 3,740 Issue of shares - Cash 1,241 249 - - 1,490 - 1,490 Acquisition of additional interest in a subsidiary - - - 6,477 6,477 (6,477) - Net profit for the year - - - 39,394 39,394 1,060 40,454 Final dividend for the financial year 2008 (Note 22) - - - (4,274) (4,274) - (4,274)

At 30 June 2009 162,817 4,098 (3,642) 186,221 349,494 27,951 377,445

At 1 July 2009 162,817 4,098 (3,642) 186,221 349,494 27,951 377,445

Exchange differences - - (2,647) - (2,647) (2,102) (4,749)

Net loss not recognised in the income statement - - (2,647) - (2,647) (2,102) (4,749)Net profit for the period - - - 56,346 56,346 1,403 57,749 Final dividend for the financial year 2009 (Note 22) - - - (8,853) (8,853) - (8,853)Interim dividend for the financial period 2010 (Note 22) - - - (8,548) (8,548) - (8,548)

At 31 December 2010 162,817 4,098 (6,289) 225,166 385,792 27,252 413,044


Company ----Non – distributable---- Distributable Share Share Retained capital premium profits Total RM’000 RM’000 RM’000 RM’000

At 1 July 2008 161,576 3,849 163,405 328,830 Issue of shares 1,241 249 - 1,490 Net profit for the year - - 37,182 37,182 Final dividend for the financial year 2008 (Note 22) - - (4,274) (4,274)

At 30 June 2009/1 July 2009 162,817 4,098 196,313 363,228

Issue of shares - - - - Net profit for the period - - 49,856 49,856Final dividend for the financial year 2009 (Note 22) - - (8,853) (8,853)Interim dividend for the financial period 2010 (Note 22) - - (8,548) (8,548)

At 31 December 2010 162,817 4,098 228,768 395,683

(Note 39)


Statements of Changes in Equityfor the Period Ended 31 December 2010


Family Takaful Balance Sheet as at 31 December 2010



AssetsInvestment properties 5 206,980 204,983 198,172 196,097 Investments 8 3,164,455 2,785,629 2,998,193 2,666,468 Financing receivables 9 72,376 9,382 72,376 5,662 Receivables 11 91,301 116,768 82,820 108,936 Assets held for sale 12 - 800 - 800 Cash and bank balances 13 9,304 53,258 4,368 47,982 Investment-linked Takaful assets 33 201,051 193,606 133,942 141,477

Total family takaful assets 3,745,467 3,364,426 3,489,871 3,167,422

LiabilitiesPayables 14 173,730 186,322 156,453 167,091 Provision for outstanding claims 15 44,016 48,130 42,936 40,680 Investment-linked Takaful liabilities 33 3,774 14,600 3,774 14,600

Total family takaful liabilities 221,520 249,052 203,163 222,371

Participants’ fundFamily takaful fund 18 3,523,947 3,115,374 3,286,708 2,945,051

Total family takaful liabilities and participants’ fund 3,745,467 3,364,426 3,489,871 3,167,422


Family Takaful Revenue Accountsfor the Period Ended 31 December 2010



Gross contributions 23 839,909 524,867 679,831 433,007 Retakaful (30,824) (12,030) (6,150) (1,779)Decrease/(Increase) in actuarial reserves 18 18,302 (8,270) 19,242 (9,742)

Net contributions 827,387 504,567 692,923 421,486

Benefits paid and payableDeath/disability (164,534) (116,368) (142,533) (108,859)Maturities (65,678) (29,931) (50,063) (22,177)Surrenders (230,941) (121,744) (194,367) (111,744)Medical (75,466) (18,196) (61,681) (9,330)Others 9,212 7,599 (8,597) 3,726

(527,407) (278,640) (457,241) (248,384)

Wakalah fee (106,036) (22,429) (66,944) (9,427)Net administration fee (4,199) (15,207) (4,199) (15,207)

189,745 188,291 164,539 148,468

Underwriting profit - Individual Family 150,835 103,289 130,026 82,451 Underwriting profit - Group Family and others 36,714 84,689 32,317 65,704 Underwriting profit - Group Family ILB 2,196 313 2,196 313 189,745 188,291 164,539 148,468 Less: Underwriting profit - Individual Family (150,835) (103,289) (130,026) (82,451)

Underwriting profit - Group Family and others & Group Family ILB 38,910 85,002 34,513 66,017 Investment income 24 228,693 138,850 213,420 132,607 Other operating income 25 144,359 21,408 112,785 34,084 Other operating expenses 27 (2,074) (41,540) (2,074) (36,053)

Total profit for the period/year after excluding underwriting profit for Individual Family 409,888 203,720 358,644 196,655



Family Takaful Revenue Accountsfor the period ended 31 December 2010


Total profit for the period/year after excluding underwriting profit for Individual Family 409,888 203,720 358,644 196,655 Less: Allocation of special reserves (7,413) (3,625) (7,413) (3,625)

Profit attributable to the Company and participants for the period/year after excluding underwriting profit for Individual Family 402,475 200,095 351,231 193,030 Profit attributable to the Company transferred to income statement (102,924) (66,149) (101,349) (56,979)

299,551 133,946 249,882 136,051 Profit payable to participants (1,148) (2,909) (1,148) (2,909)

Profit attributable to participants for the period/year: 298,403 131,037 248,734 133,142

Family takaful funds at the beginning of the period/year 3,115,374 2,911,266 2,945,051 2,749,912 Underwriting profit - Individual Family 150,835 103,289 130,026 82,451 Profit attributable to participants for the period/year 298,403 131,037 248,734 133,142 Movement for the period/year: - Actuarial reserves (18,302) 8,270 (19,242) 9,742 - Qardh (29,170) (55,840) (28,274) (52,587) - Seed capital 3,000 18,766 3,000 18,766 Special reserve 7,413 3,625 7,413 3,625 Translation reserves (3,606) (5,039) - -

Family takaful fund at the end of the period/year 3,523,947 3,115,374 3,286,708 2,945,051



AssetsInvestment properties 5 29,234 28,954 29,234 28,954 Investments 8 630,589 525,028 610,474 502,427 Financing receivables 9 6,320 3,478 6,320 3,478 Receivables 11 80,744 74,221 59,131 56,047 Cash and bank balances 13 11,841 8,926 10,152 5,686

Total general takaful assets 758,728 640,607 715,311 596,592

LiabilitiesPayables 14 101,471 132,235 93,620 124,931 Provision for outstanding claims 15 226,645 171,405 200,491 145,204

Total general takaful liabilities 328,116 303,640 294,111 270,135

Participants’ fundGeneral takaful fund 19 430,612 336,967 421,200 326,457

Total general takaful liabilities and participants’ fund 758,728 640,607 715,311 596,592

General Takaful Balance Sheetas at 31 December 2010



General Takaful Revenue Accountsfor the Period Ended 31 December 2010


Marine

Fire Motor Aviation & Transit Miscellaneous Total

Note 1.7.2009 1.7.2008 1.7.2009 1.7.2008 1.7.2009 1.7.2008 1.7.2009 1.7.2008 1.7.2009 1.7.2008

to to to to to to to to to to

31.12.2010 30.6.2009 31.12.2010 30.6.2009 31.12.2010 30.6.2009 31.12.2010 30.6.2009 31.12.2010 30.6.2009

RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Group

Gross contributions 23 201,450 118,222 259,908 126,943 21,045 12,504 123,951 95,182 606,354 352,851

Retakaful (106,355) (62,023) (5,547) (2,787) (11,155) (6,640) (44,367) (41,865) (167,424) (113,315)

Net contributions 95,095 56,199 254,361 124,156 9,890 5,864 79,584 53,317 438,930 239,536

(Increase)/Decrease

in unearned

contribution reserves 20 (16,739) (4,711) (19,453) (24,830) (414) 202 2,898 (6,462) (33,708) (35,801)

Earned contributions 78,356 51,488 234,908 99,326 9,476 6,066 82,482 46,855 405,222 203,735

Net claims incurred 32 (19,434) 1,804 (158,840) (59,183) (10,979) (3,222) (38,620) (16,207) (227,873) (76,808)

Wakalah fee (9,784) (3,683) (14,089) (7,136) (2,849) (1,033) (9,203) (4,437) (35,925) (16,289)

Net administration fee 8,522 2,851 (16,672) (6,033) (1,018) (1,148) (5,005) (5,302) (14,173) (9,632)

Underwriting surplus/(deficit) 57,660 52,460 45,307 26,974 (5,370) 663 29,654 20,909 127,251 101,006

Investment income 24 36,546 23,277

Other operating income 25 29,222 10,568

Other operating expenses 27 (448) (8,763)

Total profit for the period/year 192,571 126,088

Transfer to income statement (118,908) (81,583)

Participants’ share of profit 73,663 44,505

Profit payable to participants (16,740) (23,494)

Profit attributable to

participants for the period/year 56,923 21,011


participants at beginning of the period/year 61,650 40,639


particiants at the end

of the period/year 118,573 61,650

Unearned contribution

reserves (Note 20) 263,829 230,121

Special reserves 23,061 23,061

Statutory liabilities

- Qardh 19,074 19,245

Translation reserves 6,075 2,890

General Takaful fund at

end of the period/year 430,612 336,967


General Takaful Revenue Accountsfor the Period Ended 31 December 2010

Marine

Fire Motor Aviation & Transit Miscellaneous Total

Note 1.7.2009 1.7.2008 1.7.2009 1.7.2008 1.7.2009 1.7.2008 1.7.2009 1.7.2008 1.7.2009 1.7.2008

to to to to to to to to to to

31.12.2010 30.6.2009 31.12.2010 30.6.2009 31.12.2010 30.6.2009 31.12.2010 30.6.2009 31.12.2010 30.6.2009

RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Company

Gross contributions 23 160,708 82,817 227,585 109,741 12,953 8,242 98,245 75,494 499,491 276,294

Retakaful (84,410) (41,019) (3,109) (916) (9,375) (5,340) (36,478) (33,451) (133,372) (80,726)

Net contributions 76,298 41,798 224,476 108,825 3,578 2,902 61,767 42,043 366,119 195,568

(Increase)/Decrease

in unearned

contribution reserves 20 (16,987) (5,741) (19,777) (24,198) (424) 222 5,332 1,279 (31,856) (28,438)

Earned contributions 59,311 36,057 204,699 84,627 3,154 3,124 67,099 43,322 334,263 167,130

Net claims incurred 32 (13,578) 4,576 (139,252) (49,175) (6,731) (2,552) (31,504) (12,370) (191,065) (59,521)

Net administration fee 10,387 5,296 (16,669) (5,927) (527) (522) (4,095) (3,793) (10,904) (4,946)

Underwriting surplus/(deficit) 56,120 45,929 48,778 29,525 (4,104) 50 31,500 27,159 132,294 102,663

Investment income 24 35,641 22,491

Other operating income 25 30,311 10,566

Other operating expenses 27 (448) (4,117)

Total profit for the period/year 197,798 131,603

Transfer to income statement (118,679) (78,961)

Participants’ share of profit 79,119 52,642

Profit payable to participants (16,232) (23,239)


participants for the period/year 62,887 29,403


participants at beginning



participants at end


Unearned contribution

reserves (Note 20) 242,456 210,600

Special reserves 23,061 23,061

General takaful fund at

end of the period/year 421,200 326,457




Group Company 1.7.2009 1.7.2008 1.7.2009 1.7.2008 to to to to 31.12.2010 30.6.2009 31.12.2010 30.6.2009 RM’000 RM’000 RM’000 RM’000

Cash flows from operating activities Profit before zakat and taxation 97,886 49,715 93,022 45,831 Adjustments for: Depreciation and amortisation: - Shareholders’ Fund 13,707 10,817 11,988 9,163 - Family Takaful Fund - 261 - 261 - General Takaful Fund - 6 - 6 Fair value change of investment properties (1,870) (18,021) (1,684) (17,276) Income from financing receivables (2,994) (1,615) (2,379) (1,253) Income from Islamic Debt Securities, Investment Accounts and Islamic Accepted Bills (190,813) (123,067) (171,361) (114,470) Dividend income from Shariah approved shares (25,422) (12,989) (25,384) (12,912) Gain on disposal of quoted shares and unit trusts (82,908) (2,039) (45,895) (14,980) Gain on disposal of property and equipment (100) (61) (50) (26) Gain on disposal of investment properties - (1,506) - (1,506) (Gain)/loss on foreign exchange (932) 4,219 - - Write off of investments and equipment 27 2,997 27 2,997 Accretion of discounts (7,863) (5,195) (7,863) (5,195) (Reversal of)/allowance for diminution in value of investments - Shareholders’ Fund (2,163) 2,192 (1,497) 1,666 - Family Takaful Fund (47,595) 9,649 (41,862) 9,785 - General Takaful Fund (1,839) 1,661 (1,416) 1,343 - Investment-linked Fund - 13,891 - 9,520 Impairment loss of investment in a subsidiary - - 1,500 - Profit from Malaysian Government Investment Certificates (38,285) (19,109) (38,285) (18,116) Reversal of non-performing financing: - Shareholders’ Fund - (2,045) - (2,045) - Family Takaful Fund - (3,203) - (3,276) - General Takaful Fund - (1,950) - (1,950)

Operating loss before working capital changes (291,164) (95,392) (231,139) (112,433)

Cash Flow Statementsfor the Period Ended 31 December 2010



Operating loss before working capital changes (291,164) (95,392) (231,139) (112,433)

Increase in Family Takaful Fund 408,573 204,108 341,656 195,139 Increase in General Takaful Fund 93,645 59,790 94,743 57,841 Increase in investments (448,712) (554,308) (429,232) (476,383) Income from Islamic Debt Securities, Investment Accounts, Islamic Accepted Bills and profit from Malaysian Government Investment Certificates 190,813 123,067 171,361 106,661 Dividend income from Shariah approved shares 25,422 12,989 25,384 12,912 Increase in payables (including claim admitted but not paid) 3,822 23,822 5,386 39,419 Decrease in other receivables 10,764 86,224 17,279 70,357

(6,837) (139,700) (4,562) (106,487) Zakat paid (2,775) (3,226) (3,104) (3,414) Income taxes paid (16,952) (1,370) (16,814) (1,276)

Net cash used in operating activities (26,564) (144,296) (24,480) (111,177)

Cash flows from investing activities Purchase of property and equipment (7,948) (4,845) (6,561) (4,152) Purchase of shares in subsidiary - - - (21,825) Proceeds from sale of investment properties 1,006 61,506 - 61,506 Proceeds from sale of property and equipment 156 156 863 76

Net cash (used in)/generated from investing activities (6,786) 56,817 (5,698) 35,605





Cash flows from financing activities Proceeds from issuance of shares - 1,490 - 1,490 Dividends paid to shareholders of the Company (17,401) (4,274) (17,401) (4,274)

Net cash used in financing activities (17,401) (2,784) (17,401) (2,784)

Net decrease in cash and cash equivalents (50,751) (90,263) (47,579) (78,356)Cash and cash equivalents at the beginning of financial period/year 77,058 167,321 66,498 144,854

Cash and cash equivalents at the end of financial period/year 26,307 77,058 18,919 66,498

Cash and cash equivalents comprise: Cash and bank balances - Shareholders’ fund (Note 13) 2,691 7,596 2,321 6,473 - Family Takaful fund (Note 13) 9,304 53,258 4,368 47,982 - Investment-Linked Business (Note 33) 2,471 7,278 2,078 6,357 - General Takaful fund (Note 13) 11,841 8,926 10,152 5,686

26,307 77,058 18,919 66,498




Syarikat Takaful Malaysia Berhad is a public limited liability company, incorporated and domiciled in Malaysia and is listed on the Main Market of the Bursa Malaysia Securities Berhad. The address of its registered office and principal place of business of the Company is located at:

26th Floor, Annex BlockDataran Kewangan Darul TakafulNo. 4, Jalan Sultan Sulaiman50000 Kuala Lumpur

The consolidated financial statements of the Company as at and for the period ended 31 December 2010 comprise the Company and its subsidiaries (together referred to as the Group). The financial statements of the Company as at and for the period ended 31 December 2010 do not include other entities.

The Company is principally engaged in managing family and general takaful businesses, whilst the principal activities of the subsidiaries, are as stated in Note 6 to the financial statements. There has been no significant change in the nature of these activities during the financial period.

The immediate holding company is BIMB Holdings Berhad, a company incorporated in Malaysia and listed on the Main Market of the Bursa Malaysia Securities Berhad. The ultimate holding corporation of the Company is Lembaga Tabung Haji, a statutory body established under the Tabung Haji Act 1995 (Act 535).

The financial statements were approved by the Board of Directors on 28 March 2011.

The financial year end of the Company and its subsidiary was changed from 30 June to 31 December. Accordingly, the financial statements of the Group and of the Company for the financial period ended 31 December 2010 cover an 18-month period compared to the 12-month year ended 30 June 2009 and therefore the comparative amounts are not comparable.

1. Basis of preparation

(a) Statement of compliance

The financial statements of the Group and of the Company have been prepared in accordance with Financial Reporting Standards (FRS) issued by the Malaysian Accounting Standards Board (MASB), accounting principles generally accepted in Malaysia and the provisions of the Companies Act, 1965, the Takaful (Amendment) Act, 1984 and Takaful Guidelines/Circulars issued by Bank Negara Malaysia. These financial statements also comply with the applicable disclosure provisions of the Main Market Listing Requirements of the Bursa Malaysia Securities Berhad.




1. Basis of preparation (continued)

(a) Statement of compliance (continued)

The Group and the Company have not applied the following accounting standards, amendments and interpretations that have been issued by the Malaysian Accounting Standards Board (MASB) which are not yet effective to the Group and the Company:

FRSs/Interpretations Effective dateAmendments to FRS 1, First-time Adoption of Financial Reporting Standards and FRS 127, 1 January 2010 Consolidated and Separate Financial Statements: Cost of an Investment in a Subsidiary, Jointly Controlled Entity or AssociateAmendments to FRS 2, Share-based Payment: Vesting Conditions and Cancellations 1 January 2010Amendments to FRS 132, Financial Instruments: Presentation-Separation of Compound Instruments 1 January 2010 and FRS 101, Presentation of Financial Statements-Puttable Financial Instruments and Obligations Arising on LiquidationFRS 7, Financial Instruments: Disclosures and IC Interpretation 9, Reassessment of Embedded Derivatives 1 January 2010Amendments to FRS 139, Financial Instruments: Recognition and Measurement 1 January 2010 -ReclassificationofFinancialAssets - Collective Assessment of Impairment for Banking InstitutionsImprovements to FRSs (2009) 1 January 2010FRS 4, Insurance Contracts 1 January 2010Amendments to FRS 7, Financial Instruments: Disclosures 1 January 2010FRS 101, Presentation of Financial Statements (revised) 1 January 2010FRS 123, Borrowing Costs (revised) 1 January 2010FRS 139, Financial Instruments: Recognition and Measurement 1 January 2010IC Interpretation 10, Interim Financial Reporting and Impairment 1 January 2010IC Interpretation 11, FRS 2 - Group and Treasury Share Transactions 1 January 2010IC Interpretation 13, Customer Loyalty Programmes# 1 January 2010IC Interpretation 14, FRS 119 - TheLimitonaDefinedBenefitAsset,Minimum 1 January 2010 Funding Requirements and Their Interaction#

SOP i-1:Financial Reporting from an Islamic Perspective 1 January 2010Amendments to FRS 132, FinancialInstruments:Presentation-ClassificationofRightsIssues 1 March 2010Amendments to FRS 1, First-time Adoption of Financial Reporting Standards (revised) 1 July 2010FRS 3, Business Combinations (revised) 1 July 2010FRS 127, Consolidated and Separate Financial Statements (revised) 1 July 2010Amendments to FRS 2, Share-based Payment 1 July 2010Amendments to FRS 5, Non-current Assets Held for Sale and Discontinued Operations 1 July 2010FRS 127, Consolidation and Separate Financial Statements: Cost of an Investment in a Subsidiary, 1 July 2010 Jointly controlled Entity or Associate (revised)Amendments to FRS 138, Intangible Assets 1 July 2010IC Interpretation 12, Service Concession Agreements# 1 July 2010IC Interpretation 16, Hedges of a Net Investment in a Foreign Operation 1 July 2010IC Interpretation 17, Distribution of Non-cash Assets to Owners 1 July 2010Amendments to IC Interpretation 9, Reassessment of Embedded Derivatives 1 July 2010



(a) Statement of compliance (continued)

FRSs/Interpretations Effective dateAmendments to FRS 1, First-time Adoption of Financial Reporting Standards- Limited Exemptions from comparative FRS 7, Disclosures for First-time Adopters 1 January 2011Amendments to FRS 1, Additional Exemptions for First-time Adopters 1 January 2011Amendments to FRS 2, Group Cash-settled Share-based Payment Transactions 1 January 2011Amendments to FRS 7, Financial Instruments: Disclosures- Improving Disclosures 1 January 2011 about Financial InstrumentsIC Interpretation 4, Determining Whether an Arrangement contains a Lease 1 January 2011IC Interpretation 18, Transfer of Assets from Customers 1 January 2011Improvements to FRSs (2010) 1 January 2011IC Interpretation 19, Extinguishing Financial Liabilities with Equity Instruments 1 July 2011Amendments to IC Interpretation 14, Prepayments of a Minimum Funding Requirement# 1 July 2011FRS 124, Related Party Disclosures (revised) 1 January 2012IC Interpretation 15, Agreements for Construction of Real Estate# 1 January 2012

# Not applicable to the Group and the Company

The Group and the Company plan to adopt the aforesaid applicable standards, amendments and interpretations as follows:

a) On 1 January 2011 for those with effective dates of 1 January 2010, 1 March 2010, 1 July 2010 and 1 January 2011.

b) On 1 January 2012 for those with effective date of 1 July 2011 and 1 January 2012.

The impact of applying FRS 4, FRS 7 and FRS 139 on the financial statements upon first adoption as required by paragraph 30(b) of FRS 108, Accounting Policies, Changes in Accounting Estimates and Errors is not disclosed by virtue of the exemption given in these respective FRSs. The initial application of the other aforesaid applicable standards, amendments and interpretations is not expected to have any material impact on the financial statements.

(b) Basis of measurement

The financial statements of the Group and of the Company have been prepared on the historical cost basis except as disclosed in the notes to the financial statements.

(c) Functional and presentation currency

These financial statements are presented in Ringgit Malaysia (RM), which is the Company’s functional currency. All financial information presented in RM has been rounded to the nearest thousand, unless otherwise stated.




(d) Use of estimates and judgements

The preparation of financial statements requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amount of assets, liabilities, income and expenses. Actual result may differ from these estimates.

Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised and in any future periods affected.

In particular, information about significant areas of estimation uncertainty and critical judgements in applying accounting policies that have the most significant effect on the amounts recognised in the financial statements are described in the following notes:

Notes 2 (o), 2 (p) & Note 18 - Provision for outstanding claims including IBNR claims, Family takaful funds and actuarial reserves.

Note 5 - Investment properties

2. Summary of significant accounting policies

The accounting policies set out below have been applied consistently to periods presented in these financial statements, and have been applied consistently by Group entities, unless otherwise stated.

(a) Basis of consolidation

(i) Subsidiaries

Subsidiaries are entities, including unincorporated entities, controlled by the Group. Control exists when the Group has the ability to exercise its power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. In assessing control, potential voting rights that presently are exercisable are taken into account. Subsidiaries are consolidated using the purchase method of accounting.

Under the purchase method of accounting, the financial statements of subsidiaries are included in the consolidated financial statements from the date that control commences until the date that control ceases.

For business combinations where the Group’s equity interest in a subsidiary company is increased by virtue of a subscription to a higher proportion of the subsidiary company’s new issue of shares as compared to its existing equity interest and where the share issue price is above or below the subsidiary company’s net asset value, the resultant dilution or accretion of its share of net assets in the subsidiary company is recognised in equity.

Investments in subsidiaries are stated in the Company’s balance sheet at cost less any impairment losses, unless the investment is classified as assets held for sale (or included in a disposal group that is classified as held for sale).



2. Summary of significant accounting policies (continued)

(a) Basis of consolidation (continued)

(ii) Associates

Associates are entities, including unincorporated entities, in which the Group has significant influence, but not control, over the financial and operating policies.

Associates are accounted for in the consolidated financial statements using the equity method unless it is classified as held for sale (or included in a disposal group that is classified as held for sale). The consolidated financial statements include the Group’s share of the income and expenses of the equity accounted associates, after adjustments to align the accounting policies with those of the Group, from the date that significant influence commences until the date that significant influence ceases.

When the Group’s share of losses exceeds its interest in an equity accounted associate, the carrying amount of that interest (including any long-term investments) is reduced to nil and the recognition of further losses is discontinued except to the extent that the Group has an obligation or has made payments on behalf of the investee.

(iii) Transactions eliminated on consolidation

Intra-group balances and transactions, and any unrealised income and expenses arising from intra-group transactions, are eliminated in preparing the consolidated financial statements.

Unrealised gains arising from transactions with equity accounted investees are eliminated against the investment to the extent of the Group’s interest in the investee.

Unrealised losses are eliminated in the same way as unrealised gains, but only to the extent that there is no evidence of impairment.

(iv) Minority interest

Minority interest at the balance sheet date, being the portion of the net identifiable assets of subsidiaries attributable to equity interests that are not owned by the Company, whether directly or indirectly through subsidiaries, are presented in the consolidated balance sheet and statement of changes in equity within equity, separately from equity attributable to the equity holders of the Company. Minority interest in the results of the Group are presented on the face of the consolidated income statement as an allocation of the total profit or loss for the period/year between minority interest and the equity holders of the Company.

Where losses applicable to the minority exceed the minority’s interest in the equity of a subsidiary, the excess, and any further losses applicable to the minority, are charged against the Group’s interest except to the extent that the minority has a binding obligation to, and is able to, make additional investment to cover the losses. If the subsidiary subsequently reports profits, the Group’s interest is allocated with all such profits until the minority’s share of losses previously absorbed by the Group has been recovered.




(b) Foreign currency

(i) Foreign currency transactions

Transactions in foreign currencies are translated to the respective functional currencies of the Group entities at exchange rates at the dates of the transactions.

Monetary assets and liabilities denominated in foreign currencies at the balance sheet date are retranslated to the functional currency at the exchange rate at that date. Non-monetary assets and liabilities denominated in foreign currencies are translated at exchange rates at the dates of the transactions except for those that are measured at fair value, which are retranslated to the functional currency at the exchange rate at the date that the fair value was determined. Foreign currency differences arising on retranslation are recognised in the income statements.

(ii) Operations denominated in functional currencies other than Ringgit Malaysia

The assets and liabilities of operations in functional currencies other than RM, including goodwill and fair value adjustments arising from business combinations, are translated to RM at exchange rates at the balance sheet date, except for goodwill and fair value adjustments arising from business combinations before 1 January 2006 which are reported using the exchange rates at the dates of the acquisitions. The income and expenses of operations in functional currencies other than RM, are translated to RM at exchange rates at the dates of the transactions.

Foreign currency differences are recognised in translation reserve. On disposal of such operations, the accumulated translation differences are recognised in the consolidated income statement as part of the gain or loss on sale.

(iii) Net investment in foreign operations

Exchange differences arising from monetary items that in substance form part of the Company’s net investment in foreign operations, are recognised in the Company’s income statement. Such exchange differences are reclassified to equity in the consolidated financial statements. Deferred exchange differences are recognised in the consolidated income statement upon disposal of the investment.

(c) Property and equipment

(i) Recognition and measurement

Freehold land is stated at cost. All other property and equipment are stated at cost less accumulated depreciation and accumulated impairment losses, if any.

Cost includes expenditures that are directly attributable to the acquisition of the asset and any other costs directly attributable to bringing the assets to working condition for its intended use and the costs of dismantling and removing the items and restoring the site on which they are located. Purchased software that is integral to the functionality of the related equipment is capitalised as part of that equipment.




(c) Property and equipment (continued)

(i) Recognition and measurement (continued)

When significant parts of an item of property and equipment have different useful lives, they are accounted for as separate items (major components) of property and equipment.

Gains and losses on disposal of an item of property and equipment are determined by comparing the proceeds from disposal with carrying amount of property and equipment and are recognised at net within “other operating income” or “other operating expenses” respectively in the income statements.

(ii) Subsequent costs

The cost of replacing part of an item of property and equipment is recognised in the carrying amount of the item if it is probable that the future economic benefits embodied within the part will flow to the Group and the Company and its cost can be measured reliably. The carrying amount of those parts that are replaced is derecognised. The costs of the day-to-day servicing of property and equipment are recognised in the income statements as incurred.

(iii) Depreciation

Depreciation is recognised in the income statements on a straight-line basis over the estimated useful lives of each part of an item of property, plant and equipment. Leased assets are depreciated over the shorter of the lease term and their useful lives unless it is reasonably certain that the Group will obtain ownership by the end of the lease term. Freehold land is not depreciated. Property, plant and equipment under construction are not depreciated until the assets are ready for their intended use.

The estimated annual depreciation rates for the current and comparative periods are as follows:

Buildings 2% Renovation 16.70% Furniture, fixtures and fittings 16.7% - 20% Motor vehicles 20% Computer and equipment 16.7% - 33.3%

The depreciable amount is determined after deducting the residual value.

Depreciation methods, residual values and useful lives are reassessed at the balance sheet date.

(d) Leased assets

(i) Finance lease

Leases in terms of which the Group or the Company assume substantially all the risks and rewards of ownership are classified as finance leases. Upon initial recognition, the leased asset is measured at an amount equal to the lower of its fair value and the present value of the minimum lease payments. Subsequent to initial recognition, the asset is accounted for in accordance with the accounting policy applicable to that asset.




(d) Leased assets (continued)

(i) Finance lease (continued)

Minimum lease payments made under finance leases are apportioned between the finance expense and the reduction of the outstanding liability. The finance expense is allocated to each period during the lease term so as to produce a constant periodic rate of interest on the remaining balance of the liability. Contingent lease payments are accounted for by revising the minimum lease payments over the remaining term of the lease when the lease adjustment is confirmed.

(ii) Operating lease

Leases, where the Group or the Company does not assume substantially all the risks and rewards of the ownership are classified as operating leases and, except for property interest held under operating lease, the leased assets are not recognised on the Group or the Company’s balance sheet. Property interest held under an operating lease, which is held to earn rental income or for capital appreciation or both, is classified as investment property. Leasehold land that normally has an indefinite economic life and title is not expected to pass to the lessee by the end of the lease term is treated as an operating lease. The payment made on entering into or acquiring a leasehold land is accounted for as prepaid lease payments, except for leasehold land classified as investment property. Payments made under operating leases are recognised in the income statements on a straight-line basis over the term of the lease. Lease incentives received are recognised as an integral part of the total lease expense, over the term of the lease.

(e) Investments

Investments are recognised initially at purchase price plus attributable transaction costs.

Subsequent to initial recognition:

• Investments in Government Islamic Papers (Government Investment Issues and other Islamic instruments issued by the Government or Bank Negara Malaysia (“BNM”), Malaysian Government Securities, Islamic debt securities and other investments as specified by BNM and held to maturity are stated at cost adjusted for amortisation of premiums or accretion of discounts, calculated on a constant yield basis, from the date of purchase to maturity date. The amortisation of premiums and accretion of discounts are recognised in the revenue accounts/income statements.

• Quoted investments are stated at the lower of cost and market value determined on an aggregate portfolio basis by category of investments except that if diminution in value of a particular investment is not regarded as temporary, provision is made against the value of that quoted investment.

• All other unquoted investments are stated at the lower of cost and net realisable value.




(e) Investments (continued)

Subsequent to initial recognition: (continued)

• Investments in quoted shares, unit trusts, and debt securities of investment-linked businesses are stated at the closing market prices.

• Unquoted Islamic debts securities and investment in commodity, equity and fixed income closed end fund of the investment-linked funds are stated at the prevailing prices quoted by independent financial institutions. Any increase or decrease in value of these investments is taken into the investment-linked business revenue accounts.

Allowance for diminution in value of investments are charged directly to the revenue accounts of the takaful funds and to the income statements. Subsequent increase in market value of the quoted investment is treated as a write back of the previous allowance for diminution in value of investments to the extent of the carrying amount of the quoted investments that would have been determined had no diminution in value had been recognised.

On disposal of an investment, the difference between net disposal proceeds and its carrying amount is recognised in the revenue accounts/income statements.

All investments in debt and equity securities are accounted for using settlement date accounting. Settlement date accounting refers to:

a) the recognition of an asset on the day it is received by the entity, and b) the derecognition on an asset and recognition of any gain or loss on disposal on the date it is delivered.

(f) Investment properties

Investment properties are properties which are owned or held under a leasehold interest to earn rental income or for capital appreciation or for both. These include land held for a currently undetermined future use.

Investment properties are initially stated at costs, including related and incidental expenditure incurred and are measured subsequently at fair value with any change therein recognised in the income statements/revenue accounts.

External independent valuation companies, having the appropriate recognised professional qualifications, value the Group’s investment properties on an annual basis. The fair values are based on market value, being the estimated amount for which a property could be exchanged between a willing buyer and a willing seller in an arm’s length transaction.

Investment properties are not depreciated. On disposal of investment properties, the difference between the net proceeds and the carrying amounts are recognised in the income statements/revenue accounts as appropriate.




(g) Financing receivables

Financing receivables are initially recognised at their cost when the contractual right to receive cash or another financial asset from another entity is established. Financing receivables are not held for the purpose of trading.

Subsequent to initial recognition, receivables are stated at cost less allowance for doubtful debts.

Known bad debts are written off and specific provisions is made for any financing, which remains outstanding for more than six months from the date on which they became payable, and for all debts which are considered doubtful.

(h) Receivables

Receivables are initially recognised at their cost when the contractual right to receive cash or another financial asset from another entity is established. Receivables are not held for the purpose of trading.

Subsequent to initial recognition, receivables are stated at cost less allowance for doubtful debts.

Known bad debts are written off and specific allowance for doubtful debts is made as follows:

a) Motor contributions which remain outstanding for more than 30 days.

b) Non-motor contributions including agents and reinsurance balances, which remain outstanding for more than six months.

(i) Non-current assets held for sale

Non-current assets (or disposal groups comprising assets and liabilities) that are expected to be recovered primarily through sale rather than through continuing use are classified as held for sale. Immediately before classification as held for sale, the assets (or components of a disposal group) are remeasured in accordance with the Group’s accounting policies. Thereafter, generally the assets (or disposal group) are measured at the lower of their carrying amount and fair value less cost to sell. Any impairment loss on a disposal group is first allocated to goodwill, and then to the remaining assets and liabilities on a pro rata basis, except that no loss is allocated to financial assets, deferred tax assets and investment property, which continue to be measured in accordance with the Group’s accounting policies. Impairment losses on initial classification as held for sale and subsequent gains or losses on remeasurement are recognised in the income statements/revenue accounts. Gains are not recognised in excess of any cumulative impairment loss.

(j) Cash and cash equivalents

Cash and cash equivalents consist of cash on hand, balances and deposits with banks and highly liquid investments which have an insignificant risk of changes in value.




(k) Impairment of assets

The carrying amounts of assets, except for financial assets (other than investments in subsidiaries and associate) and deferred tax assets, are reviewed at each reporting date to determine whether there is any indication of impairment. If any such indication exists, then the asset’s recoverable amount is estimated.

An impairment loss is recognised if the carrying amount of an asset or its cash-generating unit exceeds its recoverable amount. Impairment losses are recognised in the income statements/revenue accounts. Impairment losses recognised in respect of cash-generating units are allocated first to reduce the carrying amount of any goodwill allocated to the units and then to reduce the carrying amount of the other assets in the unit (group of units) on a pro rata basis.

The recoverable amount of an asset or cash-generating unit is the greater of its value in use and its fair value less costs to sell. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. For the purpose of impairment testing, assets are grouped together into the smallest group of assets that generates cash inflows from continuing use that largely independent of the cash inflows of other assets or group of assets (the “cash generating unit”).

An impairment loss in respect of goodwill is not reversed. In respect of other assets, impairment losses recognised in prior periods are assessed at each reporting date for any indications that the loss has decreased or no longer exists. An impairment loss is reversed if there has been a change in the estimates used to determine the recoverable amount. An impairment loss is reversed only to the extent that the asset’s carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or amortisation, if no impairment loss had been recognised. Reversal of impairment loss is credited to the income statements/revenue accounts in the year in which the reversal is recognised.

(l) Employee benefits

Shorttermemployeebenefits Short-term employee benefit obligations in respect of salaries, annual bonuses, paid annual leave and sick leave are

measured on an undiscounted basis and are expensed as the related service is provided.

A provision is recognised for the amount expected to be paid under short-term cash bonus or profit-sharing plans if the Group has a present legal or constructive obligation to pay this amount as a result of past service provided by the employee and the obligation can be estimated reliably.

The Group’s contribution to the statutory pension fund is charged to the income statement in the year to which they relate. Once the contributions have been paid, the Group has no further payment obligations.




(m) Provisions

A provision is recognised if, as a result of a past event, the Group and the Company has a present legal or constructive obligation that can be estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the obligation. Provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability.

Where it is not probable that an outflow of economic benefits will be required, or the amount cannot be estimated reliably, the obligation is disclosed as a contingent liability, unless the probability of outflow of economic benefits is remote. Possible obligations, whose existence will only be confirmed by the occurrence or non-occurrence of one or more future events are also disclosed as contingent liabilities unless the probability of outflow of economic benefits is remote. Contingent liabilities do not include liabilities arising from contracts of takaful underwritten in the ordinary course of business of the Group and the Company.

(n) Payables

Payables are measured initially and subsequently at cost. Payables are recognised when there is a contractual obligation to deliver cash or another financial asset to another entity.

(o) General takaful fund

The general takaful fund is maintained in accordance with the Takaful Act, 1984 (amendment). Included in general takaful fund is fund arising from:

• General takaful; and • General retakaful funds.

The general takaful underwriting results are determined for each class of takaful business after taking into account retakaful, unearned contributions, claims incurred and management expenses.

Contribution income

Contributions are recognised in a financial period in respect of risks assumed during that particular financial period based on the inception date. Inward treaty retakaful contributions are recognised on the basis of periodic advices received from ceding takaful operators.

Unearned contribution reserves

The Unearned Contribution Reserves (“UCR”) represent the portion of the net contributions of takaful certificates written that relate to the unexpired periods of the certificates at the end of the financial period/year.




(o) General takaful fund (continued)

Unearned contribution reserves (continued)

In determining the UCR at balance sheet date, the method that most accurately reflects the actual unearned contributions is used, as follows:

(a) 1/365th method for all General Takaful business within Malaysia. (b) 1/8th method for all classes of General Treaty Inward Retakaful business.

Provision for outstanding claims

A liability for outstanding claims is recognised in respect of direct takaful business. The amount of outstanding claims is the best estimate of the expenditure required together with related expenses less recoveries, if any, to settle the present obligation at the balance sheet date. Any difference between the current estimated cost and subsequent settlement is dealt with in the takaful revenue accounts for the Group and the Company in the year in which the settlement takes place.

Provision is also made for the cost of claims, together with related expenses, incurred but not reported (“IBNR”) at balance sheet date, using a mathematical method of estimation by a qualified external actuary where historical claims experience are used to project future claims. As with all projections, there are elements of uncertainty and the projected claim may be different from actual. These uncertainties arise from changes in underlying risk, changes in spread of risks, claims settlement pattern as well as uncertainties in the projection model and underlying assumptions.

(p) Family takaful fund

Included in family takaful fund is fund arising from:-

• Family takaful; • Group family takaful; and • Family retakaful funds.

The family takaful fund is maintained in accordance with the requirements of the Takaful (Amendment) Act, 1984 and includes the amounts attributable to participants which represents the participants’ share of the underwriting surplus and return on the investments, where applicable and are distributable in accordance with the terms and conditions prescribed by the Group and the Company.

The surplus transfer from the family takaful fund to the income statements is based on the predetermined profit sharing ratio of the underwriting surplus and return on investments.

Contribution income

Contribution is recognised as soon as the amount of the contribution can be reliably measured. Initial contribution is recognized from inception date and subsequent contribution is recognised when it is due. For individual family takaful contribution, recognition is up to the extent of one due amount.




(p) Family takaful fund (continued)

Contribution income (continued)

At the end of each financial period, all due contributions are accounted for to the extent that they can be reliably measured.

Investment-linked business

Investments of investment-linked business are stated at closing market prices. Any increase or decrease in value of these investments is taken into the investment-linked business revenue accounts.

Actuarial reserves

Actuarial reserves comprise the unearned contribution reserves and the reserve computed under the net contribution valuation as explained below :

(i) Unearned contribution reserve

The Unearned Contribution Reserve (“UCR”) of group family fund (except for Mortgage Reducing Term Takaful (“MRTT”) as detailed below) and family retakaful fund represents the portion of the net contributions of takaful certificates written that relate to the unexpired periods of the certificates at the end of the financial period/ year.

In determining the UCR at balance sheet date, the method that most accurately reflects the actual unearned contributions is used, as follows:

(a) 1/365th method for all group family takaful business within Malaysia. (b) A pro-rata basis based on a time apportionment method for family retakaful business.

(ii) Net contribution valuation

The actuarial liabilities for MRTT products managed under group family fund and Ordinary Participants’ Special Account (“PSA”) are calculated using the net contribution method of valuation (“NCV”). The liability is ascertained by deducting the present value of future net contribution from the present value of the future amount-at-risk. As with all projections, there are elements of uncertainty and the projected liability may be different from actual.

These uncertainties arise from changes in underlying risk, changes in spread of risks, claims settlement pattern as well as uncertainties in the projection model and underlying assumptions.




(p) Family takaful fund (continued)

Provision for wakalah fee reserves

(i) Investment Linked products

Provision is made to record future expected losses to the shareholders’ fund, if any, arising from servicing of individual certificate contracts with participants.

Provision is estimated based on the methodology stated in the Guidelines on Investment Linked Insurance/Takaful Business (BNM/RH/GL 010-15) issued by Bank Negara Malaysia where best estimated cash flows are discounted to ensure that there are no negative net cash flows arising in the future in the Shareholders’ Fund. The best estimate assumptions used are consistent with that used in the valuation of the Investment Linked Risk Fund.

(ii) Single Contribution Wakalah Plans (Mortgage and Group Credit Wakalah)

Provision is estimated based on actuarial present value of future maintenance expense. The assumptions used in calculating the provision are best estimate assumptions.

Provision for outstanding claims

Claims and provisions for claims arising on family and group family takaful certificates, including settlement costs, are accounted for using the case basis method and for this purpose, the benefits payable under a family takaful certificate are recognised as follows:

(a) maturity or other policy benefit payments due on specified dates are accounted for as claims payable on the due dates.

(b) death, surrender and other benefits without due dates are treated as claims payable on the date of receipts of intimation of death of the participant or occurrence of contingency covered.

(c) for group health business, provision is made for the cost of claims, together with related expenses, incurred but not reported (“IBNR”) at balance sheet date, using a mathematical method of estimation by a qualified internal actuary where historical claims experience are used to project future claims. As with all projections, there are elements of uncertainty and the projected claim may be different from actual.

These uncertainties arise from changes in underlying risk, changes in spread of risks, claim settlement pattern as well as uncertainties in the projection model and underlying assumptions.

(q) Other revenue recognition

Income from financing are recognised on an accrual basis, except where financing is considered non-performing, i.e. where repayments are in arrears for more than six months, in which case recognition of such income is suspended. Subsequent to suspension, income is recognised on the receipt basis until all arrears have been paid.




(q) Other revenue recognition (continued)

Income is recognised on a time proportion basis that takes into account the effective yield of the asset.

Wakalah fees are recognised as income or expenses by the respective funds based on a predetermined percentage of gross contributions upon inception of certificates. Wakalah surplus/(deficit) is arrived at after deducting commission and management expenses against the Wakalah fees charged.

Rental is recognised on an accrual basis except where default in payment of rent has already occurred and rent dues remain outstanding for over six months, in which case recognition of rental income is suspended. Subsequent to suspension, income is recognised on the receipt basis until all arrears have been paid.

Dividend is recognised when the right to receive payment is established.

(r) Zakat

This represents tithes payable by the Company to comply with the Principles of Shariah and as approved by the Shariah Advisory Body.

(s) Tax expense

Tax expense comprises current and deferred tax. Tax expense is recognised in the income statement except to the extent that it relates to items recognised directly in equity, in which case it is recognised in equity.

Current tax is the expected tax payable on the taxable income for the period/year, using tax rates enacted or substantially enacted at the balance sheet date, and any adjustment to tax payable in respect of previous years.

Deferred tax is recognised using the balance sheet method, providing for temporary differences between the carrying amounts of assets and liabilities for reporting purposes and the amounts used for taxation purposes. Deferred tax is not recognised for temporary differences in relation to the initial recognition of goodwill, the initial recognition of assets or liabilities in a transaction that is not a business combination and that affects neither accounting nor taxable profit/loss. Deferred tax is measured at the tax rates that are expected to be applied to the temporary differences when they reverse, based on the laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax liability is recognised for all taxable temporary differences.

A deferred tax asset is recognised to the extent that it is probable that future taxable profits will be available against which temporary difference can be utilised. Deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer probable that the related tax benefit will be realised.

Additional taxes that arise from the distribution of dividends are recognised at the same time as the liability to pay the related dividend is recognised.

(t) Operating lease payments

The Group recognises its Ijarah financing obligations as operating leases. Lease payments under the operating lease are recognised as an expense in the income statements on a straight-line basis over the lease term.




(u) Earnings per share

The Group presents basic and diluted earnings per shares (“EPS”) data for its ordinary shares. Basic EPS is calculated by dividing the profit or loss attributable to ordinary shareholders of the Company by the weighted average number of ordinary shares outstanding during the period.

Diluted EPS, where applicable, is determined by adjusting the profit or loss attributable to ordinary shareholders and the weighted average number of ordinary shares outstanding for the effects of all dilutive potential ordinary shares, which comprise share options granted to employees.

(v) Segment reporting

A segment is a distinguishable component of the Group that is engaged either in providing products or services (business segment), or in providing products or services within a particular economic environment (geographical segment), which is subject to risks and rewards that are different from those of other segments.

3 Property and equipment

(a) Shareholders’ Fund

Office equipment, Renovation furniture, Group Freehold and building Motor fixtures and Land Buildings in progress vehicles fittings Total Cost RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

As at 1 July 2009 1,660 7,895 - 1,388 91,275 102,218 Additions - 35 222 385 7,306 7,948 Disposals - - - (111) (865) (976)Write offs - - - - (2,739) (2,739)Translation difference - (27) - (17) (302) (346)

At 31 December 2010 1,660 7,903 222 1,645 94,675 106,105

Accumulated depreciation

As at 1 July 2009 - 1,488 - 915 67,359 69,762 Charge for the period - 357 - 271 12,679 13,307 Disposals - - - (111) (856) (967)Write offs - - - - (2,704) (2,704)Translation difference - (12) - (13) (274) (299)

At 31 December 2010 - 1,833 - 1,062 76,204 79,099

Net book valueAt 31 December 2010 1,660 6,070 222 583 18,471 27,006



3 Property and equipment (continued)

(a) Shareholders’ Fund (continued)

Office equipment, Renovation furniture, Group Freehold and building Motor fixtures and Land Buildings in progress vehicles fittings Total Cost RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

At 1 July 2008 1,841 9,327 10,895 1,729 85,261 109,053 Additions - 165 - - 4,680 4,845 Disposals - - - (208) (216) (424)Write offs - - - (165) (10,702) (10,867)Reclassified from assets held for sale (Note 12) - - - 59 1,595 1,654 Reclassified as assets held for sale (Note 12) (181) (762) - - - (943)Reclassification - (699) (10,895) 3 10,762 (829)Translation difference - (136) - (30) (105) (271)

At 30 June 2009 1,660 7,895 - 1,388 91,275 102,218


At 1 July 2008 - 2,065 - 943 63,808 66,816 Charge for the year - 311 - 301 9,955 10,567 Disposals - - - (168) (161) (329)Write offs - - - (171) (7,699) (7,870)Reclassified from assets held for sale (Note 12) - - - 58 1,386 1,444 Reclassified as assets held for sale (Note 12) - (362) - - - (362)Reclassification - (488) - (40) 104 (424)Translation difference - (38) - (8) (34) (80)

At 30 June 2009 - 1,488 - 915 67,359 69,762

Net book valueAt 30 June 2009 1,660 6,407 - 473 23,916 32,456



3 Property and equipment (continued)


Office equipment, Renovation furniture, Company Freehold and building Motor fixtures and Land Buildings in progress vehicles fittings Total Cost RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

At 1 July 2009 1,660 3,417 - 447 80,909 86,433 Additions - - 222 170 6,169 6,561 Disposals - - - - (865) (865)Write offs - - - - (2,739) (2,739)

At 31 December 2010 1,660 3,417 222 617 83,474 89,390


At 1 July 2009 - 871 - 268 58,426 59,565 Charge for the period - 102 - 121 11,720 11,943 Disposals - - - - (856) (856)Write offs - - - - (2,708) (2,708)

At 31 December 2010 - 973 - 389 66,582 67,944

Net book valueAt 31 December 2010 1,660 2,444 222 228 16,892 21,446

At 1 July 2008 1,841 4,179 10,895 716 76,703 94,334 Additions - - - - 4,152 4,152 Disposals - - - (104) (139) (243)Write offs - - - (165) (10,702) (10,867)Reclassified as assets held for sale (Note 12) (181) (762) - - - (943)Reclassification - - (10,895) - 10,895 -

At 30 June 2009 1,660 3,417 - 447 80,909 86,433


At 1 July 2008 - 1,150 - 413 57,294 58,857 Charge for the year - 83 - 100 8,950 9,133 Disposals - - - (74) (119) (193)Write offs - - - (171) (7,699) (7,870)Reclassified as assets held for sale (Note 12) - (362) - - - (362)

At 30 June 2009 - 871 - 268 58,426 59,565

Net book valueAt 30 June 2009 1,660 2,546 - 179 22,483 26,868




4 Prepaid lease payments

Shareholder’s Fund

Group Company

Unexpired Unexpired Unexpired Unexpired period period period period less than more than less than more than 50 years 50 years Total 50 years 50 years Total RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Cost At 1 July 2008 2,604 1,616 4,220 - 1,616 1,616 Translation difference (112) - (112) - - -

At 30 June 2009/1 July 2009 2,492 1,616 4,108 - 1,616 1,616 Translation difference (14) - (14) - - -

At 31 December 2010 2,478 1,616 4,094 - 1,616 1,616

Amortisation At 1 July 2008 257 345 602 - 345 345 Amortisation for the year 220 30 250 - 30 30 Translation difference (35) - (35) - - -

At 30 June 2009/1 July 2009 442 375 817 - 375 375 Amortisation for the period 355 45 400 - 45 45 Translation difference (14) - (14) - - -

At 31 December 2010 783 420 1,203 - 420 420

Carrying amounts

At 1 July 2008 2,347 1,271 3,618 - 1,271 1,271

At 30 June 2009/1 July 2009 2,050 1,241 3,291 - 1,241 1,241

At 31 December 2010 1,695 1,196 2,891 - 1,196 1,196



5 Investment properties

Shareholders’ Fund Family Takaful General Takaful

Group 31.12.2010 30.6.2009 31.12.2010 30.6.2009 31.12.2010 30.6.2009 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

At 1 July 2009/2008 11,156 26,369 204,983 219,552 28,954 43,052 - Additions - - - - - - - Disposal - (14,190) (206) (30,012) - (15,798) - Reclassified from/(to) assets held for sale (Note 12) 1,471 (890) - (800) - - - Transfer to Family Takaful Fund - (228) - 228 - - - Fair value (loss)/gain for the period/year - net (668) 121 2,254 16,200 280 1,700 - Translation difference (1) (26) (51) (185) - -

At 31 December 2010/ 30 June 2009 11,958 11,156 206,980 204,983 29,234 28,954

Comprising of: Freehold land and building 5,305 4,214 165,981 165,553 17,354 17,354 Leasehold land and building more than 50 years 6,515 6,805 32,475 31,030 5,280 5,000 Leasehold land and building less than 50 years 138 137 8,524 8,400 6,600 6,600

11,958 11,156 206,980 204,983 29,234 28,954

The following are amounts arising from investment properties that have been recognised in the income statements/revenue accounts during the financial period/year.

Rental income 649 2,063 16,312 9,217 1,747 1,759



5 Investment properties (continued)

Shareholders’ Fund Family Takaful General Takaful

Company 31.12.2010 30.6.2009 31.12.2010 30.6.2009 31.12.2010 30.6.2009 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

At 1 July 2009/2008 10,865 25,825 196,097 211,453 28,954 43,052 - Additions - - - - - - - Disposal - (14,190) - (30,012) - (15,798) - Reclassified from/(to) assets held for sale (Note 12) 1,471 (890) - (800) - - - Fair value (loss)/gain for the period/year - net (671) 120 2,075 15,456 280 1,700

At 31 December 2010/ 30 June 2009 11,665 10,865 198,172 196,097 29,234 28,954

Comprising of: Freehold land and building 5,150 4,060 161,647 161,167 17,354 17,354 Leasehold land and building more than 50 years 6,515 6,805 32,475 31,030 5,280 5,000 Leasehold land and building less than 50 years - - 4,050 3,900 6,600 6,600

11,665 10,865 198,172 196,097 29,234 28,954

The following are amounts arising from investment properties that have been recognised in the income statements/revenue accounts during the financial period/year.

Rental income 643 2,058 15,511 8,618 1,747 1,759

The Group’s properties were valued by independent firms of professional valuer, using the comparison, cost and investment methods of valuations, where applicable.

In the comparison method approach, the sales and listings of comparable properties of within nearby locations are compiled. From the compiled data, adjustments are made by the valuer between the subject property and those similar properties.

The adjustments made are in relation to location, size and shape of the lot, physical features, legal and legislative constraints, building design and condition, time element, planning provision, improvements and renovation works made, if any, surrounding developments, facilities and amenities available and other factors that may affect the value of the subject property. These adjustments are therefore subject to uncertainties such as property market outlook, potential increases in rental rates and general economic conditions.

In the cost method approach, the indication of values consists of the sum of the present worth of the improvement value.


5 Investment properties (continued)

For the valuation of the improvements, the valuers have considered the following:-

i. Cost of replacement of the building in accordance with current trend of market prices for materials, labour, contractor’s overhead, profit and fees;

ii. Accrued depreciation as evidenced by the observed condition and present and prospective serviceability in comparison with new units of like kind; and;

iii. Extent, character and utility of the property.

The Investment method is the capitalisation of net rent from a property. Net rent is the residue of gross annual rent less annual expenses (outgoings) required to sustain the rent with allowance for void and management fees. The range of yield applied to the net annual rentals to determine fair value of the property is between 6% to 7% per annum.

The external valuer has considered the results of all these three methods in their valuation and applied professional judgement in the selection of the fair value of these investment properties.

6 Investment in subsidiaries

Company Shareholders’ Fund 31.12.2010 30.6.2009 Unquoted shares, at cost RM’000 RM’000

Opening balance 72,247 27,550 Increase in investment cost of existing subsidiary - 21,825 Impairment loss (1,500) - Reclassified from/(to) asset held for sale (Note 12) - 22,872

Closing balance 70,747 72,247

The principal activities of the subsidiaries, their country of incorporation and the effective interest of Syarikat Takaful Malaysia Berhad are as follows:

Country of Effective Name of companies Principal activities incorporation interests 31.12.2010 30.6.2009 % %

Asean Retakaful International Family and general Malaysia 63.09 63.09(L) Ltd. (“ARIL”)** retakaful business

P.T. Syarikat Takaful Indonesia*and its subsidiaries Investment holding Indonesia 56.00 56.00

P.T. Asuransi Takaful Umum* General takaful business Indonesia 64.70 64.70

P.T. Asuransi Takaful Keluarga* Family takaful business Indonesia 74.80 74.80

* Not audited by KPMG Desa Megat & Co ** Audited by a firm affiliated with KPMG Desa Megat & Co

During the previous financial year, the investment in ARIL has been reclassified from assets held for sale (see note12) as it no longer met the criteria.



7 Investment in associate

Investment in associate company amounting RM2,473,000 (2009: RM2,473,000) was fully written down during the financial year ended 30 June 2007.

8 Investments

(a) Shareholders’ Fund 31.12.2010 30.6.2009

Market Market Cost/ Value/ Cost/ Value/Group Valuation Fair Value Valuation Fair Value RM’000 RM’000 RM’000 RM’000

Quoted:Shares- In Malaysia 34,876 23,964 - Outside Malaysia - 44 Allowance for diminution - (1,502)

34,876 39,017 22,506 22,506

Unit trusts- In Malaysia 42,695 30,445 - Outside Malaysia 5,814 3,043 Allowance for diminution - (969)

48,509 49,823 32,519 32,445

Unquoted:Shares- In Malaysia 380 380 - Outside Malaysia 46 47

426 427

Islamic debt securities - In Malaysia 42,856 61,920 - Outside Malaysia 2,916 8,798 Amortisation of premiums (347) (179)

45,425 46,223 70,539 70,214

Investment in investment-linked funds 32,954 36,860 29,954 30,246

Deposits and money market placement with:Licensed banks - Local 167,591 93,499 - Foreign 32,303 18,540

199,894 112,039

Total investments 362,084 267,984

Investments maturing more than twelve months 45,253 49,283




8 Investments (continued)


31.12.2010 30.6.2009 Market Market Cost/ Value/ Cost/ Value/Company Valuation Fair Value Valuation Fair Value RM’000 RM’000 RM’000 RM’000

Quoted:Shares- In Malaysia 34,876 23,964 Allowance for diminution - (1,497)

34,876 39,017 22,467 22,467

Unit Trust 42,695 43,813 30,445 30,371

Unquoted:Shares- In Malaysia 380 380

Islamic debt securities 42,856 40,809 Amortisation of premiums (347) (179)

42,509 43,307 40,630 40,305

Investment in investment-linked funds 32,954 36,860 29,954 30,246

Deposits and money market placement with:Licensed banks 139,848 78,477





(b) Family Takaful Fund

31.12.2010 30.6.2009 Market Market Cost/ Value/ Cost/ Value/Group Valuation Fair Value Valuation Fair Value RM’000 RM’000 RM’000 RM’000

Quoted:Shares- In Malaysia 272,814 148,792 - Outside Malaysia 74 1 Allowance for diminution - (23,808)

272,888 292,582 124,985 125,468

Unit trusts- In Malaysia 163,048 130,979 - Outside Malaysia 26,835 33,650 Allowance for diminution (1,037) (6,645)

188,846 189,916 157,984 157,990

Unquoted:Malaysian Government Islamic papers 571,670 511,875 (Amortisation of premiums)/accretion of discounts (528) 8,347 Allowance for diminution - (226)

571,142 578,828 519,996 518,220

Shares- In Malaysia 135 34

Islamic debt securities- In Malaysia 1,493,870 1,364,790 - Outside Malaysia 56,319 35,332 Accretion of discounts 12,378 6,939 Allowance for diminution - (393)

1,562,567 1,646,815 1,406,668 1,431,878


568,877 575,962

Total investments 3,164,455 2,785,629

Investments maturing more than twelve months 2,117,472 1,963,654





(b) Family Takaful Fund (continued)



272,814 292,478 124,984 125,467

Unit trusts 163,048 130,979 Allowance for diminution - (88)

163,048 164,118 130,891 130,897

Unquoted:Malaysian Government Islamic papers 571,670 511,875 (Amortisation of premiums)/accretion of discounts (528) 8,347 Allowance for diminution - (226)

571,142 578,828 519,996 518,220

Shares- In Malaysia 135 34

Islamic debt securities 1,493,870 1,364,790 Accretion of discounts 12,411 6,939 Allowance for diminution - (393)

1,506,281 1,588,889 1,371,336 1,396,546


Total investments 2,998,193 2,666,468

Investments maturing more than twelve months 2,067,089 1,930,879



(c) Investment-linked Fund


Quoted:Shares- In Malaysia 23,262 15,302 - Outside Malaysia - - Unrealised gain/(loss) 3,222 (1,117)

26,484 26,484 14,185 14,185

Unit Trust- Outside Malaysia 45,535 44,140 Unrealised gain/(loss) 11,333 (4,372)

56,868 56,868 39,768 39,768

Unquoted:Islamic debt securities- In Malaysia 13,744 6,588 - Outside Malaysia 7,545 7,627 Unrealised gain 282 -

21,571 21,571 14,215 14,215

Investment in commodity, equity and fixed income closed end fund 75,210 95,534 Unrealised gain/(loss) 4,439 (8,588)

79,649 79,649 86,946 86,946


9,289 26,154






(c) Investment-linked Fund (continued)


Quoted:Shares in Malaysia 23,262 15,302Unrealised gain/(loss) 3,222 (1,117)

26,484 26,484 14,185 14,185

Unquoted:Islamic debt securities 13,744 6,588 Unrealised gain 294 -

14,038 14,038 6,588 6,588

Investment in commodity, equity and fixed income closed end fund 75,210 95,534 Unrealised gain/(loss) 4,439 (8,588)

79,649 79,649 86,946 86,946






(d) General Takaful Fund



52,152 59,232 37,998 37,998

Unit trusts - In Malaysia 33,156 31,985- Outside Malaysia 909 2,568 Allowance for diminution - (827)

34,065 34,887 33,726 33,726


Malaysian Government Islamic papers 120,045 94,659 (Amortisation of premiums)/accretion of discounts (278) 3,365

119,767 121,301 98,024 98,102

Islamic debt securities - In Malaysia 245,452 228,307 - Outside Malaysia 1,715 -Accretion of discounts 2,310 235

249,477 258,832 228,542 229,490


175,039 126,649






(d) General Takaful Fund (continued)



52,152 59,232 37,998 37,998

Unit trusts 33,156 31,985 Allowance for diminution - (404)

33,156 33,882 31,581 31,581


Malaysian Government Islamic papers 120,045 94,659 (Amortisation of premiums)/accretion of discounts (278) 3,365

119,767 121,301 98,024 98,102

Islamic debt securities 245,452 228,307 Accretion of discounts 2,310 235

247,762 257,117 228,542 229,490






9 Financing receivables

Shareholders’ Family GeneralGroup Fund Takaful Takaful31.12.2010 RM’000 RM’000 RM’000

Secured financing 2,653 75,362 4,386 Staff financing 14,708 - - Unsecured financing - - 5,000 Allowance for doubtful financing (2,923) (2,986) (3,066)

Total financing 14,438 72,376 6,320

Amount receivable after twelve months 14,412 72,376 6,320

30.6.2009

Secured financing 3,068 5,772 4,668 Staff financing 11,840 3,793 - Unsecured financing - 3,000 2,000 Allowance for doubtful financing (890) (3,183) (3,190)



Company31.12.2010

Secured financing 2,310 75,362 4,386 Staff financing 10,617 - - Unsecured financing - - 5,000 Allowance for doubtful financing (2,644) (2,986) (3,066)



30.6.2009

Secured financing 2,483 5,772 4,668 Staff financing 11,818 - - Unsecured financing - 3,000 2,000 Allowance for doubtful financing (890) (3,110) (3,190)





10 Qardh receivables

Shareholders’ Fund Group Company

31.12.2010 30.6.2009 31.12.2010 30.6.2009 RM’000 RM’000 RM’000 RM’000

Opening balance 31,722 80,861 28,274 80,861 Decrease during the period/year (26,826) (50,810) (28,274) (52,587)

4,896 30,051 - 28,274 Qardh written off (Note 27) (2,995) - - - Transfer from/(to) Assets held for sale (Note 12) - 1,671 - - Translation difference (544) - - -

Closing balance 1,357 31,722 - 28,274

The balance outstanding at 30 June 2009 of RM1.671 million transferred from assets held for sale was shown net of provision for impairment loss of RM20.308 million.

11 Receivables

Shareholders’ Family General Group Fund Takaful Takaful 31.12.2010 RM’000 RM’000 RM’000

Trade Receivables

Due contributions - 44,744 67,580 Due from retakaful companies - 8,347 22,704

- 53,091 90,284 Allowance for bad and doubtful debts - (9,434) (26,719)

- 43,657 63,565

Other Receivables

Investment receivable 1,748 47,254 7,529 Deposits 495 179 - Due from Shareholders’ Fund (Note 14) - - 463 Due from Family Takaful Fund (Note 14) 24,273 - 6,692 Due from General Takaful Fund (Note 14) 12,329 - - Due from ILB (Note 33) 68 - - Sundry receivables 11,385 211 2,495

50,298 47,644 17,179

Total receivables 50,298 91,301 80,744


11 Receivables (continued)


Trade Receivables



- 68,830 55,308

Other Receivables

Investment receivable 1,896 34,534 5,614 Deposits 631 273 - Due from Shareholders’ Fund (Note 14) - 7,217 4,182 Due from Family Takaful Fund (Note 14) 11,395 - 7,191 Due from General Takaful Fund (Note 14) 19,148 - - Due from ILB (Note 33) 3,908 4,377 - Sundry receivables 9,763 1,537 1,926

46,741 47,938 18,913


Company 31.12.2010

Trade Receivables



- 35,292 42,415



11 Receivables (Continued)

Shareholders’ Family General Fund Takaful Takaful RM’000 RM’000 RM’000

Other Receivables

Investment receivable 1,748 47,254 7,529 Deposits 495 179 - Due from Shareholders’ Fund (Note 14) - - - Due from Family Takaful Fund (Note 14) 17,859 - 6,692 Due from General Takaful Fund (Note 14) 12,329 - - Due from ILB (Note 33) 68 - - Sundry receivables 3,662 95 2,495

36,161 47,528 16,716


Company 30.6.2009

Trade Receivables



- 61,048 41,340

Other Receivables

Investment receivable 1,896 34,534 5,614 Deposits 526 273 - Due from Shareholders’ Fund (Note 14) - 7,217 - Due from Family Takaful Fund (Note 14) - - 7,191 Due from General Takaful Fund (Note 14) 19,148 - - Due from ILB (Note 33) 3,908 4,377 - Sundry receivables 3,724 1,487 1,902

29,202 47,888 14,707


During the period/year, the Group and the Company wrote off Due Contributions against the brought forward allowance for bad and doubtful debts as follows:

Group Company Family General Family General Takaful Takaful Takaful Takaful RM’000 RM’000 RM’000 RM’000

Bad debts written-off - 31.12.2010 5,060 11,051 5,060 11,051 Bad debts written-off - 30.6.2009 16,999 10,239 17,836 9,075




12 Assets held for sale

As at 31 December 2010, the assets and liabilities held for sale are as follows:

Group and Company

Assets classified as held for sale Shareholders’ Fund Family Takaful 31.12.2010 30.6.2009 31.12.2010 30.6.2009 RM’000 RM’000 RM’000 RM’000

Property and equipment (Note i) - 581 - - Reclassified from investment properties (Note 5) - 890 - 800

- 1,471 - 800

i) Property and equipment held for sale comprise the following:

Shareholders’ Fund 31.12.2010 30.6.2009 RM’000 RM’000

Plant and equipment: Cost - 943 Accumulated depreciation - (362)

- 581

Group and Company Shareholders’ Fund Family Takaful 31.12.2010 30.6.2009 31.12.2010 30.6.2009 RM’000 RM’000 RM’000 RM’000

At 1 July 2009/2008 1,471 22,872 800 - Reclassified to cost of investment in subsidiary - ARIL (Note 6) - (22,872) - - Reclassified (to)/from investment properties (Note 5) (1,471) 890 - 800 Reclassified from property and equipment (Note 3) - 581 - - Settlement for Asset held for sale - - (800) -

At 31 December 2010/30 June 2009 - 1,471 - 800

The proposed sale of investment properties was aborted during the financial period as the potential buyer had withdrawn from the transaction. Accordingly, the properties has been reclassified to Investment Properties.



13 Cash and bank balances

Group CompanyShareholders’ Fund 31.12.2010 30.6.2009 31.12.2010 30.6.2009 RM’000 RM’000 RM’000 RM’000

Current account with a related company (Islamic financial institution) 167 1,933 348 1,690 Other current accounts 2,524 5,663 1,973 4,783

2,691 7,596 2,321 6,473

Family Takaful

Current account with a related company (Islamic financial institution) 1,019 25,104 1,516 23,970 Other current accounts 8,285 28,154 2,852 24,012

9,304 53,258 4,368 47,982

General Takaful

Current account with a related company (Islamic financial institution) 23 1,250 - 40 Other current accounts 11,818 7,676 10,152 5,646

11,841 8,926 10,152 5,686

14 Payables


Due to retakaful companies - 4,912 29,013 Advanced takaful contribution - 15,624 7,150 Profit payable to participants - - 4,348 Deposit payable 278 2,423 - Zakat payable 1,231 - - Unclaimed monies - - 3,160 Due to Shareholders’ Fund (Note 11) - 24,273 12,329 Due to General Takaful Fund (Note 11) 463 6,692 - Due to ILB (Note 33) - 1,621 - Wakalah fee reserves 12,502 - - Other payables and accruals 33,337 118,185 45,471

Total payables 47,811 173,730 101,471



14 Payables (continued)


Due to retakaful companies - 8,832 29,105 Advanced takaful contribution - 20,320 11,866 Profit payable to participants - 7,391 9,292 Deposit payable 648 2,258 - Zakat payable 1,221 - - Unclaimed monies 2,188 1,597 11,758 Due to Shareholders’ Fund (Note 11) - 11,395 19,148 Due to General Takaful Fund (Note 11) 4,182 7,191 - Due to Family Takaful Fund (Note 11) 7,217 - - Due to ILB (Note 33) - - 7 Other payables and accruals 31,020 127,338 51,059

Total payables 46,476 186,322 132,235

Company 31.12.2010

Due to retakaful companies - 1,928 24,872 Advanced takaful contribution - 15,624 7,150 Profit payable to participants - - 4,253 Deposit payable 278 1,908 - Zakat payable 154 - - Unclaimed monies - - 3,160 Due to Shareholders’ Fund (Note 11) - 17,859 12,329 Due to General Takaful Fund (Note 11) - 6,692 - Due to ILB (Note 33) - 1,621 -

Wakalah fee reserves 9,800 - -Other payables and accruals 22,489 110,821 41,856

Total payables 32,721 156,453 93,620



14 Payables (continued)

Shareholders’ Family General Company Fund Takaful Takaful 30.6.2009 RM’000 RM’000 RM’000

Due to retakaful companies - 1,271 22,370 Advanced takaful contribution - 20,320 11,866 Profit payable to participants - 7,391 9,211 Deposit payable 648 2,119 - Zakat payable 379 - - Unclaimed monies 2,188 1,597 11,757 Due to Shareholders’ Fund (Note 11) - - 19,148 Due to General Takaful Fund (Note 11) - 7,191 - Due to Family Takaful Fund (Note 11) 7,217 - - Due to ILB (Note 33) - - 7 Other payables and accruals 22,645 127,202 50,572

Total payables 33,077 167,091 124,931

15 Provision for outstanding claims

31.12.2010 30.6.2009 Family General Family General Group Takaful Takaful Takaful Takaful RM’000 RM’000 RM’000 RM’000

Provision for outstanding claims 44,282 381,527 51,546 315,848 Retakaful recoveries (266) (154,882) (3,416) (144,443)

Net outstanding claims 44,016 226,645 48,130 171,405

Company

Provision for outstanding claims 43,202 355,373 44,096 289,647 Retakaful recoveries (266) (154,882) (3,416) (144,443)

Net outstanding claims 42,936 200,491 40,680 145,204



16 Deferred taxation

Shareholders’ Fund

Deferred tax assets and liabilities are attributable to the following:-

Assets Liabilities Net Group 31.12.2010 30.6.2009 31.12.2010 30.6.2009 31.12.2010 30.6.2009 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Property and equipment (32) - - 1,951 (32) 1,951 Qardh receivables - - - 7,069 - 7,069 Investments - (2,303) 259 - 259 (2,303) Financing receivables (1,345) (1,084) - - (1,345) (1,084) Receivables (1,933) (2,931) - - (1,933) (2,931) Unearned contribution reserves - - - 16 - 16 Payables (3,931) (5,124) - - (3,931) (5,124) Investment properties (121) - - 280 (121) 280 Wakalah fee reserves (3,124) - - - (3,124) - Unabsorbed capital allowances - (5,617) - - - (5,617) Unabsorbed tax losses (2,752) (442) - - (2,752) (442)

Tax (assets)/liabilities (13,238) (17,501) 259 9,316 (12,979) (8,185) Set off of tax 259 9,316 (259) (9,316) - -

Net tax (assets)/liabilities (12,979) (8,185) - - (12,979) (8,185)

Assets Liabilities Net Company 31.12.2010 30.6.2009 31.12.2010 30.6.2009 31.12.2010 30.6.2009 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Property and equipment - - - 1,951 - 1,951 Qardh receivables - - - 7,069 - 7,069 Investments - (974) 1,588 - 1,588 (974) Financing receivables (1,345) (1,066) - - (1,345) (1,066) Receivables (1,577) (2,209) - - (1,577) (2,209) Unearned contribution reserves - - - 16 - 16 Payables (2,081) (3,491) - - (2,081) (3,491) Investment properties (121) - - 26 (121) 26 Wakalah fee reserves (2,449) - - - (2,449) - Unabsorbed capital allowances - (5,617) - - - (5,617)

Tax (assets)/liabilities (7,573) (13,357) 1,588 9,062 (5,985) (4,295) Set off of tax 1,588 9,062 (1,588) (9,062) - -

Net tax (assets)/liabilities (5,985) (4,295) - - (5,985) (4,295)



16 Deferred taxation (continued)

Shareholdes’ Fund (continued)

Movement in temporary differences during the year/period:-

Recognised As at Recognised As at in income Exchange As at 31 1 July in income Exchange 30 June statement Differences/ December Group 2008 statement Differences 2009 (Note 30) Adjustment 2010 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Property and equipment 3,595 (1,825) 181 1,951 (1,985) 2 (32) Qardh receivables 21,024 (13,955) - 7,069 (7,069) - - Investments (906) (68) (1,329) (2,303) 2,562 - 259 Financing receivables (2,091) 1,008 (1) (1,084) (260) (1) (1,345) Receivables (3,468) 387 150 (2,931) 1,006 (8) (1,933) Investment properties - 269 11 280 (409) 8 (121) Unearned contribution reserves - 16 - 16 (16) - - Payables (6,177) (65) 1,118 (5,124) 1,176 17 (3,931) Wakalah fee reserves - - - - (3,124) - (3,124) Unabsorbed capital allowances (9,022) 3,405 - (5,617) 5,617 - - Unabsorbed tax losses (19,595) 19,190 (37) (442) (2,392) 82 (2,752)

Tax (assets)/ liabilities (16,640) 8,362 93 (8,185) (4,894) 100 (12,979)

Recognised As at Recognised As at in income As at 31 1 July in income 30 June statement December Company 2008 statement 2009 (Note 30) 2010 RM’000 RM’000 RM’000 RM’000 RM’000

Property and equipment 3,778 (1,827) 1,951 (1,951) - Qardh receivables 21,024 (13,955) 7,069 (7,069) - Investments (906) (68) (974) 2,562 1,588 Financing receivables (2,091) 1,025 (1,066) (279) (1,345) Receivables (2,595) 386 (2,209) 632 (1,577) Investment properties - 26 26 (147) (121) Unearned contribution reserves - 16 16 (16) - Payables (3,031) (460) (3,491) 1,410 (2,081) Wakalah fee reserves - - - (2,449) (2,449) Unabsorbed capital allowances (9,022) 3,405 (5,617) 5,617 - Unabsorbed tax losses (19,595) 19,595 - - -

Tax (assets)/liabilities (12,438) 8,143 (4,295) (1,690) (5,985)



17 Minority shareholders’ interests

This consists of the minority shareholder’s proportion of share capital and reserves of subsidiaries.

18 Family Takaful Fund

Group Company 31.12.2010 30.6.2009 31.12.2010 30.6.2009 RM’000 RM’000 RM’000 RM’000

Participants’ Account (PA)

At beginning of the period/year 2,063,080 1,930,073 1,895,140 1,775,038 Increase in PA 23,152 57,321 3,484 37,875 Profit attributable to participants 196,830 57,366 157,757 59,836 Special reserve 7,413 3,625 7,413 3,625 Translation reserve (2,146) (4,071) - - Seed capital 3,000 18,766 3,000 18,766

At end of the period/year 2,291,329 2,063,080 2,066,794 1,895,140

Participants’ Special Account (PSA)

At beginning of the period/year 678,815 606,290 677,642 606,484

Increase in PSA 127,683 45,968 126,542 44,576 Profit attributable to participants 63,043 26,870 53,149 26,582 Movement in actuarial reserves 428 - 428 - Translation reserve (1,173) (313) - -

At end of the period/year 868,796 678,815 857,761 677,642

Group Family Takaful Account (GFTA)

At beginning of the period/year 373,479 374,903 372,269 368,390

Profit attributable to participants 38,530 46,801 37,828 46,724 Movement in Qardh (29,170) (55,840) (28,274) (52,587)Movement in actuarial reserves (18,730) 8,270 (19,670) 9,742 Translation reserves (287) (655) - -

At end of the period/year 363,822 373,479 362,153 372,269

Family Takaful fund at end of the period/year 3,523,947 3,115,374 3,286,708 2,945,051



18 Family Takaful Fund (continued)

In the valuation of the Ordinary Participants’ Special Account (PSA) and Mortgage Reducing Term Takaful (MRTT) of the Ordinary Group Family Takaful Account (GFTA) of the Company carried out by a qualified internal actuary, the net contribution method of valuation (with negative reserves eliminated) was used, based on certain underlying assumptions, including interest rates, mortality rates and disability rates. As with all projections, the projected future liability payable may be different from the actual amount payable due to inherent uncertainty involved in the assumptions used. For other products of GFTA, the unearned contribution reserves (UCR) were calculated by the Company, using the 1/365 method.

In respect of the PSA and the Annuity Waqaf Account, the statutory valuation of the Company’s Family Takaful Fund was made for the period ended 31 December 2010 and the results (before shareholders’ transfer) showed a surplus of RM304,810,000 (2009: RM222,168,000) for the Company when compared the fund balance against the actuarial projected liabilities.

In respect of the GFTA, the statutory valuation of the Company’s Group Family Takaful Fund was made for the period ended 31 December 2010. During the year ended 30 June 2008, a Qardh was made in the GFTA of RM80,861,000 to make good the deficit in the fund for MRTT business. The deficit for the MRTT business has reduced to RM23,430,000 as at 31 December 2010 and Qardh was fully repaid during the financial period. No further injection of Qardh is required as there is sufficient other surplus from the GFTA other products valuation to mitigate the shortfall. GFTA for other products showed a reserving surplus (before shareholders’ transfer) of RM161,829,000 (2009: RM126,874,000) for the Company.

The valuation of the Participants’ Special Account (PSA) and Group Family Takaful Account (GFTA) of the Indonesian subsidiary was carried out by a qualified internal actuary. The method used for PSA is based on prospective method (net level premium) on a policy-by-policy basis for inforce policies. As for the GFTA funds, the unearned contribution reserves were calculated by using the 1/365 method.

The statutory valuation of the subsidiary’s PSA and GFTA made for the period ended 31 December 2010, showed a deficit of RM1,078,000.

19 General Takaful Fund

Group Company 31.12.2010 30.6.2009 31.12.2010 30.6.2009 RM’000 RM’000 RM’000 RM’000

Revenue account accumulated surplus 118,573 61,650 155,683 92,796 Unearned contribution reserves (Note 20) 263,829 230,121 242,456 210,600 Special reserves 23,061 23,061 23,061 23,061 Statutory liabilities - Qardh 19,074 19,245 - -

Translation reserves 6,075 2,890 - -

430,612 336,967 421,200 326,457

Revenue account accumulated surplus As at 1 July 61,650 40,639 92,796 63,393 Net surplus attributable to participants for the financial period/year 73,663 44,505 79,119 52,642 Profits payable to participants for the

financial period/year (16,740) (23,494) (16,232) (23,239)

Balance as at 31 December 118,573 61,650 155,683 92,796



20 Unearned Contribution Reserves Marine Aviation Group Fire Motor & Transit Miscellaneous Total 31.12.2010 RM’000 RM’000 RM’000 RM’000 RM’000

At beginning of the period 133,026 67,335 2,825 26,935 230,121 Increase/(Decrease) in unearned contribution reserves 16,739 19,453 414 (2,898) 33,708

At end of the period 149,765 86,788 3,239 24,037 263,829

30.6.2009

At beginning of the year 128,315 42,505 3,027 20,473 194,320 Incease/(Decrease) in unearned contribution reserves 4,711 24,830 (202) 6,462 35,801

At end of the year 133,026 67,335 2,825 26,935 230,121

Marine Aviation Company Fire Motor & Transit Miscellaneous Total 31.12.2010 RM’000 RM’000 RM’000 RM’000 RM’000

At beginning of the period 131,386 61,005 307 17,902 210,600 Increase/(Decrease) in unearned contribution reserves 16,987 19,777 424 (5,332) 31,856

At end of the period 148,373 80,782 731 12,570 242,456

30.6.2009

At beginning of the year 125,645 36,807 529 19,181 182,162 Increase/(Decrease) in unearned contribution reserves 5,741 24,198 (222) (1,279) 28,438

At end of the year 131,386 61,005 307 17,902 210,600



21 Share capital and reserves

Group and Company 31.12.2010 30.6.2009 RM’000 RM’000

Authorised Ordinary shares of RM1.00 each 500,000 500,000

Issued and fully paid Ordinary shares of RM1.00 each at 1 July 2009/2008 162,817 161,576 Issue of shares under the employee share option scheme - 1,241

On issue at 31 December 2010/30 June 2009 162,817 162,817

The holders of ordinary shares are entitled to receive dividends as declared from time to time and are entitled to one vote per share at meetings of the Company.

22 Dividends

Sen per share Total Date of 1.7.2009 to 31.12.2010 (net of tax) amount payment RM’000

Ordinary dividend paid, final for financial year 2009 5.44 8,853 11/12/2009

Ordinary dividend paid, interim for financial period 2010 5.25 8,548 8/10/2010

1.7.2008 to 30.6.2009

Ordinary dividend paid, final for financial year 2008 2.63 4,274 9/1/2009

* After the balance sheet date, the following dividends were proposed by the Directors. These dividends will be recognised in subsequent financial reports upon approval by the shareholders.

Sen per share Total (net of tax) amount RM’000

Finalproposedforfinancialperiod2010-ordinary 5.25 8,548



23 Operating Revenue

Shareholders’ Family General Group Fund Takaful Takaful Total

1.7.2009 to 31.12.2010 RM’000 RM’000 RM’000 RM’000

Gross contributions - 839,909 606,354 1,446,263 Investment income (Note 24) 17,086 228,693 36,546 282,325

17,086 1,068,602 642,900 1,728,588

1.7.2008 to 30.6.2009

Gross contributions - 524,867 352,851 877,718 Investment income (Note 24) 9,289 138,850 23,277 171,416

9,289 663,717 376,128 1,049,134

Company 1.7.2009 to 31.12.2010

Gross contributions - 679,831 499,491 1,179,322Investment income (Note 24) 12,352 213,420 35,641 261,413

12,352 893,251 535,132 1,440,735

1.7.2008 to 30.6.2009

Gross contributions - 433,007 276,294 709,301 Investment income (Note 24) 6,678 132,607 22,491 161,776

6,678 565,614 298,785 871,077



24 Investment income

Shareholders’ Family General Group Fund Takaful Takaful 1.7.2009 to 31.12.2010 RM’000 RM’000 RM’000

Islamic debt securities 4,115 124,716 16,836 Deposit/money market placements 7,742 26,491 6,310 Financing - Staff 1,088 - - - Corporate 311 1,010 585 Other income from investments 2,514 136 1,953 Gross dividend from Shariah approved shares - Quoted in Malaysia 1,499 21,586 2,337 Malaysian Government Islamic papers - 32,396 5,889 Rental of investment properties 649 16,312 1,747 (Amortisation of premiums)/accretion of discounts (329) 7,124 1,068 Investment expenses (503) (1,078) (179)

Total investment income 17,086 228,693 36,546

1.7.2008 to 30.6.2009

Islamic debt securities 1,107 74,999 8,584 Deposit/money market placements 4,044 28,028 5,913 Financing - Staff 392 - - - Corporate 239 995 381 Other income from investments 433 - 800 Gross dividend from Shariah approved shares - Quoted in Malaysia 1,305 8,274 2,177 Malaysian Government Islamic papers - 15,939 3,170 Rental of investment properties 2,063 9,217 1,759 (Amortisation of premiums)/accretion of discounts (64) 4,460 799 Investment expenses (230) (3,062) (306)




24 Investment income (continued)

Shareholders’ Family General Company Fund Takaful Takaful 1.7.2009 to 31.12.2010 RM’000 RM’000 RM’000

Islamic debt securities 2,721 115,889 16,582 Deposit/money market placements 5,287 20,846 5,659 Financing - Staff 473 - - - Corporate 311 1,010 585 Other income from investments 2,288 136 1,953 Gross dividend from Shariah approved shares - Quoted in Malaysia 1,461 21,586 2,337 Malaysian Government Islamic papers - 32,396 5,889 Rental of investment properties 643 15,511 1,747 (Amortisation of premiums)/accretion of discounts (329) 7,124 1,068 Investment expenses (503) (1,078) (179)


1.7.2008 to 30.6.2009

Islamic debt securities 608 72,082 8,584 Deposit/money market placements 2,014 25,663 5,127 Financing - Staff 392 - - - Corporate 239 633 381 Other income from investments 356 - 800 Gross dividend from Shariah approved shares - Quoted in Malaysia 1,305 8,274 2,177 Malaysian Government Islamic papers - 15,939 3,170 Rental of investment properties 2,058 8,618 1,759 (Amortisation of premiums)/accretion of discounts (64) 4,460 799 Investment expenses (230) (3,062) (306)




25 Other operating income


Income from ILB, service charge and management fees 10,363 - - Increase in value of investments - 30,592 - Miscellaneous income 5,305 9,498 827 Fair value gain arising from investment properties - 2,254 280 Writeback of allowance for bad and doubtful debts 2,264 7,887 12,260 Writeback of allowance for doubtful financing - 125 124 Writeback of allowance for diminution in value of investments 2,163 31,066 1,839 Gain on disposal of investments 6,125 62,891 13,892 Gain on disposal of property and equipment 104 46 -

26,324 144,359 29,222

1.7.2008 to 30.6.2009

Income from ILB, service charge and management fees 7,363 - - Miscellaneous income 7,860 213 (13) Fair value gain arising from investment properties 121 16,200 1,700 Writeback of allowance for bad and doubtful debts - - 5,578 Writeback of allowance for doubtful financing 2,045 3,203 1,950 Gain on disposal of investments 44 1,038 957 Gain on disposal of investment property 356 754 396 Gain on disposal of property and equipment 61 - -

17,850 21,408 10,568



25 Other operating income (continued)

Shareholders’ Family General Company Fund Takaful Takaful 1.7.2009 to 31.12.2010 RM’000 RM’000 RM’000

Income from ILB, service charge and management fees 7,996 - - Increase in value of investments - 16,529 - Miscellaneous income - 15,061 2,819 Fair value gain arising from investment properties - 2,075 280 Writeback of allowance for bad and doubtful debts - - 11,780 Writeback of allowance for doubtful financing - 125 124 Writeback of allowance for diminution in value of investments 1,497 25,333 1,416 Gain on disposal of investments 6,125 53,662 13,892 Gain on disposal of property and equipment 54 - -

15,672 112,785 30,311

1.7.2008 to 30.6.2009

Income from ILB, service charge and management fees 6,491 - - Miscellaneous income 2,218 591 - Fair value gain arising from investment properties 120 15,456 1,700 Writeback of allowance for bad and doubtful debts - - 5,578 Writeback of allowance for doubtful financing 2,045 3,276 1,950 Gain on disposal of investments 31 14,007 942 Gain on disposal of investment properties 356 754 396 Gain on disposal of property and equipment 26 - -

11,287 34,084 10,566



26 Management expenses

Group Company 1.7.2009 1.7.2008 1.7.2009 1.7.2008 to to to to 31.12.2010 30.6.2009 31.12.2010 30.6.2009Shareholders’ Fund RM’000 RM’000 RM’000 RM’000

Staff costs 121,480 76,277 103,368 61,559 Directors’ remuneration - Salaries and other emoluments 5,574 2,726 5,165 2,140 - Fees 983 766 721 350 Shariah Committee remuneration - Emoluments 207 9 71 9 - Fees 155 148 153 90

128,399 79,926 109,478 64,148

Depreciation 13,307 10,567 11,943 9,133 Amortisation of prepaid lease payments 400 250 45 30 Audit fees - Company auditors 374 300 340 280 - Other auditors 89 61 - - Licence fees 616 371 522 371 Legal fees 323 374 145 97 Professional fees 11,058 8,928 10,640 8,752 Rental of properties 11,701 8,261 8,948 6,401 Rental of equipments 4,061 5,067 4,047 5,059 Repair and maintenance - property and equipment 10,325 5,759 9,553 5,290 Travelling expenses 4,968 3,266 4,223 2,557 Utilities 4,107 2,292 3,244 2,073 Communication costs 9,901 6,113 7,363 4,472 Advertising 5,228 2,539 3,721 1,524 Wakalah fee reserves 12,502 - 9,800 - Other expenses 23,922 14,346 8,199 2,699

112,882 68,494 82,733 48,738

Total management expenses 241,281 148,420 192,211 112,886

All management expenses are incurred at the Shareholders’ fund level. The estimated monetary value of benefits-in-kind received by the directors, are RM13,000 (2009: RM154,000) and RM13,000 (2009: RM93,000) at Group and Company level respectively.



27 Other operating expenses


Allowance for bad and doubtful debts 214 469 - Allowance for doubtful financing 1,754 - - Write off of equipment and other assets 532 - - Fair value loss arising from investment properties 668 - - Qardh written off 2,995 - -

Commissions 59,097 - - Miscellaneous expenses 1,446 - - Administrative and general expenses 1,331 1,605 448

68,037 2,074 448

1.7.2008 to 30.6.2009

Allowance for diminution in value of investments 2,192 5,470 1,661 Decrease in value of investments - 13,699 - Allowance for bad and doubtful debts 1,196 20,963 2,082 Write off of equipment 1,582 - - Commissions 9,583 - - Administrative and general expenses 901 1,408 5,020

15,454 41,540 8,763

Company 1.7.2009 to 31.12.2010

Allowance for diminution in value of investment in subsidiary 1,500 - - Allowance for bad and doubtful debts - 469 - Allowance for doubtful financing 1,754 - - Write off of equipment and other assets 532 - - Fair value loss arising from investment properties 671 - - Commissions 23,860 - - Miscellaneous expenses 1,446 - - Administrative and general expenses - 1,605 448

29,763 2,074 448

1.7.2008 to 30.6.2009

Allowance for diminution in value of investments 1,666 9,785 1,343 Decrease in value of investments - 9,520 - Allowance for bad and doubtful debts - 15,340 - Write off of equipment 1,582 - - Commissions 1,367 - - Administrative and general expenses - 1,408 2,774

4,615 36,053 4,117



28 Key Management Personnel Compensation


Directors Executive: Salaries and other emoluments 5,309 2,472 5,165 2,140 Benefits-in-kind 10 121 10 61

5,319 2,593 5,175 2,201

Non-Executive: Other emoluments 265 254 - - Fees 983 766 721 350 Benefits-in-kind 3 33 3 32

1,251 1,053 724 382

Other key management personnel: Short-term employment benefits 5,451 3,515 4,417 2,248 Benefits-in-kind 180 114 - 10

5,631 3,629 4,417 2,258

Total 12,201 7,275 10,316 4,841

29 Employee information


Staff costs 121,480 76,277 103,368 61,559

The number of employees of the Group and of the Company at the end of the period were 1,449 (2009: 1,488) and 925(2009: 945) respectively.

Staff costs of the Group and of the Company includes contributions to the Employees Provident Fund of RM13,564,512 (2009: RM8,046,947) and RM13,277,867 (2009 : RM7,843,780) respectively.



30 Tax expense


Current tax expense Malaysian - current 36,579 - 36,579 - Overseas - current 17 37 - - Under provision in prior years 7,919 - 7,919 -

44,515 37 44,498 -

Deferred tax (benefits)/expense Origination and reversal of temporary differences (4,894) 10,008 (1,690) 9,789 Over provision in prior years - (1,646) - (1,646)

(4,894) 8,362 (1,690) 8,143

39,621 8,399 42,808 8,143


Reconciliation of effective tax expense

Profit before zakat and taxation 97,886 49,715 93,022 45,831

Income tax using Malaysian tax rate 24,472 12,429 23,256 11,458 Items not subject to tax (14,104) (5,263) (7,618) (4,843) Non deductible expenses 21,334 2,879 19,251 3,174

31,702 10,045 34,889 9,789 Under/(over) provision of tax in prior years 7,919 (1,646) 7,919 (1,646)

Tax expense 39,621 8,399 42,808 8,143



31 Earnings per share - Group

(a) Basic earnings per share

The calculation of basic earnings per share is based on the net profit attributable to ordinary shareholders of RM56,346,000 (2009 - RM39,394,000) and the weighted average number of ordinary shares issued during the period of 162,817,000 (2009 - 162,716,000).

Weighted average number of ordinary shares 31.12.2010 30.6.2009 ’000 (units) ’000 (units)

Issued ordinary shares at beginning of the period/year 162,817 161,576 Effect of new shares issued - 1,140

Weighted average number of ordinary shares 162,817 162,716

32 Net Claims Incurred

Marine, Aviation Fire Motor & Transit Miscellaneous Total RM’000 RM’000 RM’000 RM’000 RM’000

Group 1.7.2009 to 31.12.2010

Gross claims paid less salvage 54,964 103,742 59,690 83,710 302,106 Retakaful recoveries (33,900) (4,864) (52,954) (37,755) (129,473)

Net claims paid 21,064 98,878 6,736 45,955 172,633

Net outstanding claims: At end of the period 25,193 136,471 14,886 50,095 226,645 At beginning of the period (26,823) (76,509) (10,643) (57,430) (171,405)

Net claims incurred 19,434 158,840 10,979 38,620 227,873

1.7.2008 to 30.6.2009


Net claims paid 15,892 45,261 5,483 24,365 91,001

Net outstanding claims: At end of the year 26,823 76,509 10,643 57,430 171,405 At beginning of the year (44,519) (62,587) (12,904) (65,588) (185,598)

Net claims incurred (1,804) 59,183 3,222 16,207 76,808



32 Net Claims Incurred (continued)

Marine, Aviation Fire Motor & Transit Miscellaneous Total RM’000 RM’000 RM’000 RM’000 RM’000

Company 1.7.2009 to 31.12.2010


Net claims paid 14,361 80,332 2,283 38,802 135,778

Net outstanding claims: At end of the period 20,267 129,010 10,586 40,628 200,491 At beginning of the period (21,050) (70,090) (6,138) (47,926) (145,204)

Net claims incurred 13,578 139,252 6,731 31,504 191,065

1.7.2008 to 30.6.2009


Net claims paid 9,039 37,046 3,479 19,186 68,750

Net outstanding claims: At end of the year 21,050 70,090 6,138 47,926 145,204 At beginning of the year (34,665) (57,961) (7,065) (54,742) (154,433)

Net claims incurred (4,576) 49,175 2,552 12,370 59,521



33 Investment-linked business (ILB)

Balance Sheet as at 31 December 2010 Group Company 31.12.2010 30.6.2009 31.12.2010 30.6.2009Assets RM’000 RM’000 RM’000 RM’000

Investments (Note 8) 193,861 181,268 127,145 130,061 Receivables 3,098 5,053 3,098 5,052 Due from Family Takaful Fund (Note 14) 1,621 - 1,621 - Due from General Takaful Fund (Note 14) - 7 - 7 Cash and bank balances 2,471 7,278 2,078 6,357

Total ILB assets 201,051 193,606 133,942 141,477

Liabilities

Provision for outstanding claims 453 3,073 453 3,073 Payables 3,253 3,242 3,253 3,242 Due to Shareholders’ Fund (Note 11) 68 3,908 68 3,908 Due to Family Takaful Fund (Note 11) - 4,377 - 4,377

Total ILB liabilities 3,774 14,600 3,774 14,600

Net asset value of funds 197,277 179,006 130,168 126,877

Revenue account for the period ended 31 Dcember 2010

Gross contributions 26,149 33,052 7,531 3,032 Retakaful (75) (132) (75) (132)

26,074 32,920 7,456 2,900 (Increase)/Decrease in unearned contribution reserves (589) 9 (589) 9

Net contributions 25,485 32,929 6,867 2,909

Benefits paid and payable Death/disability (345) (120) (345) (120) Surrenders (48,187) (12,702) (25,908) (3,858) Others (135) (3) (135) (3) Maturities (233) - (233) -

(48,900) (12,825) (26,621) (3,981)

Wakalah fee (880) - (880) - Net administration fee (11) (131) (11) (131)

Underwriting (loss)/profit (24,306) 19,973 (20,645) (1,203)



33 Investment-linked business (ILB) (continued)

Group CompanyComprises: 1.7.2009 1.7.2008 1.7.2009 1.7.2008 to to to to 31.12.2010 30.6.2009 31.12.2010 30.6.2009 RM’000 RM’000 RM’000 RM’000

Underwriting (loss)/profit - Individual Family ILB (26,502) 19,660 (22,841) (1,516) Underwriting profit - Group Family ILB 2,196 313 2,196 313

(24,306) 19,973 (20,645) (1,203) Less: Underwriting (loss)/profit - Individual Family ILB 26,502 (19,660) 22,841 1,516

Underwriting profit - Group Family ILB 2,196 313 2,196 313 Investment income 2,409 (12,312) 2,409 1,254 Other operating income 39,793 115 20,850 115 Other operating expenses (1,782) (16,671) (1,782) (12,300)

Profit/(loss) attributable to the Company and participants after excluding underwriting profit Individual Family ILB 42,616 (28,555) 23,673 (10,618) Profit attributable to the Company transferred to Income Statement (1,130) (177) (1,130) (177)

Profit/(loss) attributable to participants for the period/year 41,486 (28,732) 22,543 (10,795)

Family ILB Fund at beginning of the period/year 179,006 165,050 126,877 120,431 Underwriting (loss)/profit - Individual Family ILB (26,502) 19,660 (22,841) (1,516) Profit/(loss) attributable to participants for the period/year 41,486 (28,732) 22,543 (10,795) Unearned contribution reserves 589 (9) 589 (9) Seed capital 3,000 18,766 3,000 18,766 Translation reserves (302) 4,271 - -

Family ILB Fund at end of the period/year 197,277 179,006 130,168 126,877

34 Related parties

For the purposes of these financial statements, parties are considered to be related to the Group or the Company if the Group or the Company has the ability, directly or indirectly, to control the party or exercise significant influence over the party in making financial and operating decisions, or vice versa, or where the Group or the Company and the party are subject to common control or common significant influence. Related parties may be individuals or other entities.



34 Related parties (continued)

Key management personnel are defined as those persons having authority and responsibility for planning, directing and controlling the activities of the Group either directly or indirectly. The key management personnel includes all the Directors of the Group, and certain members of senior management of the Group. Compensation paid to key management personnel have been disclosed in Note 28.

Significant transactions with related parties during the period/year are as follows. Balances outstanding in respect of these transactions are disclosed in Notes 11 and 14.


Ultimate holding corporation Contribution income for family takaful 866 3,011 866 3,011 Contribution income for general takaful 1,891 2,459 1,891 2,459

Subsidiary company (Note 6) Contribution for facultative and treaty outward - - 49 1,021

Related companies Rental income 4,414 7,368 4,414 7,368 Contribution for family takaful 1,326 - 1,326 - Contribution for general takaful 3,023 2,020 3,023 2,020 Investment income 933 927 933 927 Lease rental expense 591 394 591 394 Bank commissions 928 234 928 234

35 Operating leases

Total future minimum lease payments under non-cancellable operating leases are as follows:


Non-related parties: Less than one year 1,195 495 Between one and five years 1,585 4,487 Related party: Less than one year 38 38 Between one and five years 493 1,084

Lease commitments are wholly payable from the Shareholders’ fund.

The Group and the Company lease a number of computers and equipment under operating leases. The leases typically run an initial period of five years, with an option to renew the lease after that date.



36 Capital commitments


Authorised by the Directors and contracted for 23,623 1,841

37 Segmental information

Segment information is presented in respect of the Group’s geographical segments. This is based on the Group’s management and internal reporting structure. Inter-segment pricing if any, is determined based on negotiated terms. The Group does not present information by business segment as it is principally engaged as an operator of Family and General takaful/retakaful business. The financial position and performance of the Family and General takaful businesses managed have been disclosed separately within these financial statements.

Segment results, assets and liabilities include items directly attributable to a segment as well as those that can be allocated on a reasonable basis. Unallocated items comprise expenses, which are all incurred by Shareholders Funds’ for the management of Takaful funds.

Segment capital expenditure is the total cost incurred during the year to acquire segment assets that are expected to be used for more than one year.

Geographical segments

In presenting information on the basis of geographical segments, segment revenue is based on the geographical location of customers. Segment assets are also based on the geographical location of assets.

Geographical segments Malaysia Indonesia Eliminations Consolidated RM’000 RM’000 RM’000 RM’000

1.7.2009 to 31.12.2010

Total external revenue 1,464,794 263,794 - 1,728,588 Inter-segment revenue - - - -

Total segment revenue 1,464,794 263,794 - 1,728,588

Segment result 89,559 8,327 - 97,886

Finance costs -

Profit before zakat and taxation 97,886 Zakat (516) Tax expense (39,621)

Profit for the period 57,749



37 Segmental information (continued)

Geographical segments Malaysia Indonesia Eliminations Consolidated RM’000 RM’000 RM’000 RM’000

Segment assets by location of assets 4,610,122 334,329 - 4,944,451

Segment liabilities by location of liabilties 4,249,571 281,836 - 4,531,407

Capital expenditure by location of assets 6,618 1,330 - 7,948

Depreciation and amortisation 11,988 1,719 - 13,707

Non cash expenses other than depreciation and amortisation 27 1,184 - 1,211

1.7.2008 to 30.6.2009

Total external revenue 896,982 152,152 - 1,049,134 Inter-segment revenue - - - -

Total segment revenue 896,982 152,152 - 1,049,134

Segment result 48,512 1,203 - 49,715

Finance costs -

Profit before zakat and taxation 49,715 Zakat (862) Tax expense (8,399)

Profit for the year 40,454

Segment assets by location of assets 4,114,287 257,948 - 4,372,235

Segment liabilities by location of liabilties 3,788,199 206,591 - 3,994,790

Capital expenditure by location of assets 4,152 693 - 4,845

Depreciation and amortisation 9,163 1,654 - 10,817

Non cash expenses other than depreciation and amortisation 23,192 - - 23,192




Segmental Information on Cash Flow

Shareholders’ Family General Group Fund Takaful Takaful Total 1.7.2009 to 31.12.2010 RM’000 RM’000 RM’000 RM’000

Cash flows from: Operating activities 20,288 (49,767) 2,915 (26,564) Investing activities (7,792) 1,006 - (6,786) Financing activities (17,401) - - (17,401)

(4,905) (48,761) 2,915 (50,751)

Net (decrease)/increase in cash and cash equivalents (4,905) (48,761) 2,915 (50,751) Cash and cash equivalents: At beginning of the period 7,596 60,536 8,926 77,058

At end of the period 2,691 11,775 11,841 26,307

1.7.2008 to 30.6.2009

Cash flows from: Operating activities (9,900) (86,851) (47,545) (144,296) Investing activities 10,085 30,538 16,194 56,817 Financing activities (2,784) - - (2,784)

(2,599) (56,313) (31,351) (90,263)

Net decrease in cash and cash equivalents (2,599) (56,313) (31,351) (90,263) Cash and cash equivalents: At beginning of the year 10,195 116,849 40,277 167,321

At end of the year 7,596 60,536 8,926 77,058




Segmental Information on Cash Flow (continued)

Shareholders’ Family General Company Fund Takaful Takaful Total 1.7.2009 to 31.12.2010 RM’000 RM’000 RM’000 RM’000

Cash flows from: Operating activities 19,748 (48,694) 4,466 (24,480) Investing activities (6,498) 800 - (5,698) Financing activities (17,401) - - (17,401)

(4,151) (47,894) 4,466 (47,579)

Net (decrease)/increase in cash and cash equivalents (4,151) (47,894) 4,466 (47,579) Cash and cash equivalents: At beginning of the period 6,473 54,339 5,686 66,498

At end of the period 2,322 6,445 10,152 18,919

1.7.2008 to 30.6.2009

Cash flows from: Operating activities 12,315 (78,120) (45,372) (111,177) Investing activities (11,355) 30,766 16,194 35,605 Financing activities (2,784) - - (2,784)

(1,824) (47,354) (29,178) (78,356)

Net decrease in cash and cash equivalents (1,824) (47,354) (29,178) (78,356) Cash and cash equivalents: At beginning of the year 8,297 101,693 34,864 144,854

At end of the year 6,473 54,339 5,686 66,498



38 Financial Risks

Financial risk management objectives and policies

Exposure to underwriting, credit, currency and liquidity risks arises in the normal course of the Group and the Company’s operations. The Group and the Company are guided by risk management policies and guidelines that set out their overall business strategies and general risk management philosophy. The Group and the Company have established processes to monitor the risk on an ongoing basis.

Underwriting risk

Underwriting risk includes the risk of incurring higher claims costs than expected owing to the random nature of claims and their frequency and severity and the risk of change in legal or economic conditions or behavioural patterns affecting takaful pricing and conditions of takaful or retakaful cover. This may result in the situation of having either received too little contribution for the risks it has agreed to underwrite and hence has not enough funds to invest and pay claim, or claims are in excess of those expected.

The Group and the Company seek to minimise underwriting risks with a balanced mix and spread of business between classes of business and by observing underwriting guidelines and limits, conservative estimation of the claims provisions and high standards applied to security for retakaful.

Credit risk

Credit risk represents the loss that would be recognised if counter parties to takaful, retakaful and investment transactions failed to perform as contracted. Exposure to credit risk is monitored on an ongoing basis.

At balance sheet date, approximately 5.2% of the Group and the Company’s fixed deposits are placed with a related company. The maximum exposure to credit risk for the Group and the Company is represented by the carrying amount of each financial asset.

Foreign currency risk

The Group and the Company incur foreign currency risk on transactions that are denominated in a currency other than Ringgit Malaysia and also the translation of the financial statements of the subsidiaries to Ringgit Malaysia. The Group and the Company do not hedge their foreign currency risks and therefore exposures to foreign currency risk are monitored on an ongoing basis.

Liquidity risk

The Group monitors and maintains a level of cash and cash equivalents deemed adequate by management to finance the Group’s operations and to mitigate the effects of fluctuations in cash flows.



38 Financial Risks (continued)

Financial instruments

Effectiveprofitratesandrepricinganalysis

In respect of profit-earning financial assets, the following table indicates their effective profit rates at the balance sheet date and the periods in which they reprice or mature, whichever is earlier.


Effective Less More Group Profit than 1-2 2 -3 3-4 4-5 than 31.12.2010 Rate Total 1 year years years years years 5 years % RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Financial assets

Islamic debt securities 5.92 45,425 172 5,583 25,829 - 3,929 9,912 Secured financing 9.05 1,647 8 17 1,609 13 - - Deposit and money market placement 3.19 199,894 199,894 - - - - - Staff financing 3.74 12,791 18 78 151 408 1,665 10,471

Total 259,757 200,092 5,678 27,589 421 5,594 20,383

Group 30.6.2009

Financial assets

Islamic debt securities 4.29 70,539 21,456 863 1,380 690 12,281 33,869 Secured financing 10.57 2,364 1,757 22 191 262 132 - Deposit and money market placement 2.40 112,039 111,839 200 - - - - Staff financing 3.55 11,654 2,061 24 147 161 771 8,490

Total 196,596 137,113 1,109 1,718 1,113 13,184 42,359




Family Takaful Fund


Financial assets

Islamic debt securities 5.34 1,562,567 41,290 37,909 133,822 83,337 170,141 1,096,068 Malaysian Government Islamic papers 4.02 571,142 4,895 10,011 29,964 5,111 88,730 432,431 Secured and unsecured financing 4.72 72,376 - - 2,376 - - 70,000 Deposit and money market placement 3.23 568,877 538,929 21,948 - - 3,000 5,000

Total 2,774,962 585,114 69,868 166,162 88,448 261,871 1,603,499

Group 30.6.2009

Financial assets

Islamic debt securities 5.47 1,406,668 32,601 36,022 99,483 89,073 79,350 1,070,139 Malaysian Government Islamic papers 3.50 519,996 - - 73,580 20,018 5,160 421,238 Secured and unsecured financing 11.27 9,382 2,986 - - 3,382 3,000 14 Deposit and money market placement 2.85 575,962 506,371 26,030 38,561 - - 5,000

Total 2,512,008 541,958 62,052 211,624 112,473 87,510 1,496,391




General Takaful Fund


Financial assets

Islamic debt securities 4.83 249,477 13,843 10,685 31,529 39,377 20,610 133,433 Malaysian Government Islamic papers 4.18 119,767 - - - 20,377 21,390 78,000 Secured and unsecured financing 5.50 6,320 - - 1,320 - - 5,000 Deposit and money market placement 3.28 175,039 171,564 1,475 - - 2,000 -

Total 550,603 185,407 12,160 32,849 59,754 44,000 216,433

Group 30.6.2009

Financial assets

Islamic debt securities 4.85 228,542 - 10,021 32,880 13,905 21,222 150,514 Malaysian Government Islamic papers 3.35 98,024 - - 18,615 - 15,337 64,072 Secured and unsecured financing 9.42 3,478 1,478 - - - 2,000 - Deposit and money market placement 3.01 126,649 113,334 9,440 3,875 - - -

Total 456,693 114,812 19,461 55,370 13,905 38,559 214,586





Effective Less More Company Profit than 1-2 2 -3 3-4 4-5 than 31.12.2010 Rate Total 1 year years years years years 5 years % RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000

Financial assets

Islamic debt securities 5.49 42,509 - 3,525 25,829 - 3,586 9,569 Secured financing 9.00 1,584 - - 1,584 - - - Deposit and money market placement 3.21 139,848 139,848 - - - - - Staff financing 3.55 8,699 15 58 115 313 1,059 7,139

Total 192,640 139,863 3,583 27,528 313 4,645 16,708

Company 30.6.2009

Financial assets

Islamic debt securities 6.17 40,630 - - - - 10,901 29,729 Secured financing 10.00 1,757 1,757 - - - - - Deposit and money market placement 2.36 78,477 78,277 200 - - - - Staff financing 3.55 11,654 2,061 24 147 161 771 8,490

Total 132,518 82,095 224 147 161 11,672 38,219

Family Takaful Fund

Company 31.12.2010

Financial assets

Islamic debt securities 5.53 1,506,281 35,387 30,097 124,172 64,760 166,557 1,085,308 Malaysian Government Islamic papers 4.02 571,142 4,895 10,011 29,964 5,111 88,730 432,431 Secured and unsecured financing 4.72 72,376 - - 2,376 - - 70,000 Deposit and money

market placement 2.92 484,773 454,825 21,948 - - 3,000 5,000

Total 2,634,572 495,107 62,056 156,512 69,871 258,287 1,592,739




Family Takaful Fund (continued)


Financial assets

Islamic debt securities 5.50 1,371,336 30,044 29,122 89,133 82,173 70,725 1,070,139 Malaysian Government Islamic papers 3.50 519,996 - - 73,580 20,018 5,160 421,238 Secured and unsecured financing 9.47 5,662 2,662 - - - 3,000 - Deposit and money market placement 3.04 519,227 449,636 26,030 38,561 - - 5,000

Total 2,416,221 482,342 55,152 201,274 102,191 78,885 1,496,377


Company 31.12.2010

Financial assets

Islamic debt securities 4.78 247,762 13,843 9,999 31,529 38,691 20,267 133,433 Malaysian Government Islamic papers 4.18 119,767 - - - 20,377 21,390 78,000 Secured and unsecured financing 5.50 6,320 - - 1,320 - - 5,000 Deposit and money market placement 3.11 157,548 154,073 1,475 - - 2,000 -

Total 531,397 167,916 11,474 32,849 59,068 43,657 216,433






Financial assets

Islamic debt securities 4.85 228,542 - 10,021 32,880 13,905 21,222 150,514 Malaysian Government Islamic papers 3.35 98,024 - - 18,615 - 15,337 64,072 Secured and unsecured financing 9.42 3,478 1,478 - - - 2,000 - Deposit and money market placement 2.90 106,193 92,878 9,440 3,875 - - -

Total 436,237 94,356 19,461 55,370 13,905 38,559 214,586

39 Retained Profits Subject to agreement by the Inland Revenue Board, the Company has sufficient Section 108 tax credit to frank

approximately RM19.8 million of its retained profits at 31 December 2010 if paid out as taxable dividends.

The Malaysian Budget 2008 introduced a single tier company income tax system with effect from year of assessment 2008. As such, the section 108 tax credit balance as at 31 December 2007 will be available to the Company until such time the credit is fully utilised or upon expiry of the six year transitional period on 31 December 2013, whichever is earlier.

40 Contingent liability

Prior to the amendments of Section 60AA of the Income Tax Act 1967 (Section 60AA), capital allowances had been claimed by way of deduction from tax adjusted income in both General and Family Takaful Funds whilst the Shareholders Fund is not entitled to claim capital allowances. The amended Section 60AA stipulates that the tax adjusted income of the Shareholders’ Fund shall be ascertained by taking into account the amount of income distributed or credited from Family and General Takaful Funds and as a result both General and Family Takaful Funds would no longer have taxable income. As such, capital allowances of the said Funds claimable for the years of assessment from 1997 to 2008 would be carried forward indefinitely as the operator’s share of profits from the Family and General Fund will be taxed in the Shareholders Fund.

The Company has presented the issue on non-deductibility of capital allowances to the Ministry of Finance (MOF) on 30 March 2009. The MOF has agreed via letter dated 2 April 2009 to review the tax issue and thereafter, will advise the Company accordingly. Whilst, the Company will continue to pursue the appeal with the MOF, no credit for deferred tax asset has been taken in relation to unabsorbed capital allowances for year of assessment 2008 onwards.


40 Contingent liability (continued)

During the financial period, the Inland Revenue Board has issued Forms JA (additional assessments) for years of assessment 1997, 1999 and 2000 CYB to 2004 amounting to RM16.3 million based on the amended Section 60AA. The Company has appealed against the said Forms JA with reference to the Ministry of Finance (MoF)’s letter dated 30 January 2008 issued to the Malaysian Takaful Association. The MOF letter states that the Minister of Finance agrees to allow an exemption from income tax on the additional income arising from the application of the different tax treatment prior and subsequent to the Budget 2008 announcement beginning from the year of assessment 1997 under Section 127 (3A) of the Income Tax Act 1967 for companies in the takaful industry.

Based on the opinion of the Company’s tax agent and by virtue of the MOF’s letter and provision of Section 127 (3A), the Board of Directors is of the view that the Company has a justification that these additional assessments will be exempted.

41 Subsequent Event

On 4 March 2011, the Company was served with a Writ of Summons by Lembaga Kemajuan Tanah Persekutuan (FELDA) whereby FELDA is claiming for among others death benefits of RM13,156,000 and personal accident benefits of RM290,000 under a Group Family Takaful contract. The Court has fixed the matter for further Case Management on 30 March 2011.

Out of the total claims, the Company has provided for RM5,490,000 and as for the remaining claims, the Board of Directors is of the view that there is a sustainable defence based on the legal opinion provided by the Company’s solicitor.



42 Supplementary information on the breakdown of realised and unrealised profits or losses

On 25 March 2010, Bursa Malaysia Securities Berhad (“Bursa Malaysia”) issued a directive to all listed issuers pursuant to Paragraphs 2.06 and 2.23 of Bursa Malaysia Main Market Listing Requirements. The directive requires all listed issuers to disclose the breakdown of the unappropriated profits or accumulated losses as at the end of the reporting period, into realised and unrealised profits or losses.

On 20 December 2010, Bursa Malaysia further issued another directive on the disclosure and the prescribed format of presentation.

The breakdown of the retained profits of the Group and of the Company as at 31 December 2010, into realised and unrealised profits, pursuant to the directive, is as follows:

2010

Group Company RM’000 RM’000

Total retained profits of the Company and its subsidiaries:- Realised 205,370 240,945 - Unrealised (2,164) (12,177)

203,206 228,768 Total share of retained profits of associates:- Realised - - - Unrealised - -

Add: Consolidation adjustments 21,960 -

Total retained profits 225,166 228,768

The determination of realised and unrealised profits is based on the Guidance of Special Matter No.1, Determination ofRealised andUnrealised Profits or Losses in theContext ofDisclosure Pursuant toBursaMalaysia Securities Berhad ListingRequirements, issued by Malaysian Institute of Accountants on 20 December 2010.



Maklumat HartanahParticulars of Properties

1 Lot 557 & 559 Dua unit Rumah kedai/ Pegangan Bebas 27 3,485/ 1,490,000 31.12.2010

Plaza Melaka Pejabat 4 1/2 tingkat Freehold 14,434

Jalan Hang Tuah Two units of 4 1/2 storey

75300 Melaka Shophouse/Office

2 No. 325A & 325B Tiga unit Kompleks Pajakan bandar 999 19 4,025/ 2,235,000 31.12.2010

Blok 41, Kompleks Perniagaan/ tahun berakhir 6,037

Perniagaan Fajar Pejabat 4 tingkat pada 31.12.2895

91000 Tawau Three units of 4 storey 999 years town

Sabah Commercial Complex/ lease expiring

Office on 31.12.2895

3 No. 64 & 65 Dua unit Rumah kedai/ Pegangan Bebas 24 3,095/ 690,000 31.12.2010

Kompleks Jitra Pejabat 2 tingkat Freehold 6,935

Jalan Sungai Korok Two units of 2 storey

06000 Jitra Shophouse/Office

Kedah Darul Aman

4 No. 23 Satu unit Rumah kedai/ Pajakan 99 tahun 15 1,539/ 480,000 31.12.2010

Medan Istana 3 Pejabat 3 tingkat berakhir pada 4,255

Bandar Ipoh Raya One unit of 3 storey 30.03.2081

30450 Ipoh Shophouse/Office 99 years lease expiring

Perak Darul Ridzuan on 30.03.2081

5 No. 84 Satu unit Rumah kedai/ Pegangan Bebas 24 1,883/ 890,000 31.12.2010

Batu 3 1/4 Pejabat 5 tingkat Freehold 8,700

Jalan Gombak One unit of 5 storey

53000 Kuala Lumpur Shophouse/Office

6 Lot 6966, Blok 59 Satu unit Rumah kedai/ Pajakan 60 tahun 15 1,312/ 575,000 31.12.2010

Muara Tuang Pejabat 3 tingkat berakhir pada 3,750

Jalan Datok Mohd Musa One unit of 3 storey 31.12.2053

94300 Kota Samarahan Shophouse/Office 60 years lease expiring

Sarawak on 31.12.2053

7 Lot 54 & 55 Dua unit Rumah kedai/ Pajakan bandar 15 2,400/ 1,277,277 31.12.2010

Bandar Wilayah Jasa Pejabat 3 tingkat 99 tahun berakhir 7,200

Jalan Bunga Raya Two units of 3 storey pada 31.12.2090

91100 Lahad Datu Shophouse/Office 99 years town lease

Sabah expiring on 31.12.2090

No. Lokasi/ Penerangan Hakmilik/ Usia Keluasan Nilai Buku Tarikh

Location Kegunaan/ Tenure Bangunan/ Tanah, Bersih Penilaian

Description of Age of Kawasan Bina/ pada/ Semula/

Existing Use Building Land, Net Book Date of

(tahun/years) Built-up Area Value as at Revaluation

(kaki persegi/ 31.12.2010

square feet) (RM)


Maklumat Hartanah

Particulars of Properties







square feet) (RM)

8 No. 24 Satu unit Rumah kedai/ Pegangan Bebas 16 3,200/ 3,439,617 31.12.2010

Jalan USJ 10/1B Pejabat 3 tingkat Freehold 9,600

47620 UEP Subang Jaya One unit of 3 storey

Selangor Darul Ehsan Shophouse/Office

9 No. 15 & 17 Dua unit Rumah kedai/ Pegangan Bebas 17 1,440/ 550,000 31.12.2010

Jalan Kelibang Pejabat 2 tingkat Freehold 7,720

Langkawi Mall Two units of 2 storey

07000 Kuah, Langkawi Shophouse/Office

Kedah Darul Aman

10 No. 26 & 28 Dua unit Rumah kedai/ Pegangan bebas 12 3,293/ 1,000,000 31.12.2010

Jalan Perda Barat Pejabat 3 tingkat Freehold 8,840

Bukit Mertajam Two units of 3 storey

Seberang Prai Shophouse/Office

14000 Penang

11 No. 433, 434 & 435 Tiga unit Rumah kedai/ Pegangan Bebas 15 4,817/ 4,324,436 31.12.2010

Jalan Kulas Pejabat 4 tingkat Freehold 18,892

93400 Kuching Three units of 4 storey

Sarawak Shophouse/Office

12 No. 312 Satu unit Rumah kedai/ Pegangan Bebas 16 1,920/ 1,280,000 31.12.2010

Jalan Bandar 13 Pejabat 4 tingkat Freehold 7,070

Taman Melawati One unit of 4 storey

53100 Kuala Lumpur Shophouse/Office

13 No. 20, Fasa 1A Satu unit Rumah kedai/ Pajakan 99 tahun 14 2,658/ 1,750,000 31.12.2010

Jalan Haji Manan Pejabat 4 tingkat 99 years lease 9,930

86000 Kluang One unit of 4 storey

Johor Darul Ta’zim Shophouse/Office

14 No. 64 - D Satu unit bangunan Pegangan Bebas 33 3,972/ 4,000,000 25.06.2010

Leboh Bishop Pejabat 6 tingkat (9 level) Freehold 19,630

10200 Pulau Pinang One unit of 6 storey

Officebuilding(9level)


Maklumat Hartanah








square feet) (RM)

15 Lot 13 & 14 Dua unit bangunan Pajakan 999 tahun 16 2,504/ 1,658,318 31.12.2010

Lazenda Commercial Pejabat 3 tingkat berakhir pada 7,200

Centre Two units of 3 storey 30.06.2902

Jalan Okk Abdullah Officebuilding 999 years lease

87007 Wilayah expiring on

Persekutuan Labuan 30.06.2902

16 Lot 6967, Blok 59 Satu unit Rumah kedai/ Pajakan 60 tahun 15 1,312/ 575,000 31.12.2010

Muara Tuang Pejabat 3 tingkat berakhir pada 3,750

Jalan Datok Mohd Musa One unit of 3 storey 31.12.2053

94300 Kota Samarahan Shophouse/Office 60 years lease

Sarawak expiring on

31.12.2053

17 Lot 28, 30 & 32 Tiga unit Rumah kedai/ Pajakan 99 tahun 23 4,447/ 2,250,000 31.12.2010

Jalan 2/3A, Pasar Borong Pejabat 4 tingkat berakhir pada 16,800

68100 Selayang Three units of 4 storey 11.03.2086

Selangor Darul Ehsan Shophouse/Office 99 years lease

expiring on

11.03.2086

18 Lot 12680 Dua tingkat bangunan Pajakan 99 tahun 12 8,354* 2,540,000 31.12.2010

Level 1 & Mezzanine Pejabat 13 tingkat berakhir pada

Jalan Bukit Timbalan Twofloorsof13storey 26.07.2080

80000 Johor Bharu Officebuilding 99 years lease

Johor Darul Ta’zim expiring on

26.07.2080

19 Lot 12680 Satu tingkat bangunan Pajakan 99 tahun 12 6,594* 1,480,000 31.12.2010

Level 3 Pejabat 13 tingkat berakhir pada

Jalan Bukit Timbalan Onefloorof13storey 26.07.2080


Johor Darul Ta’zim expiring on

26.07.2080

20 Lot 14(S1) & 15(S1) Dua unit Rumah kedai/ Pajakan 99 tahun 11 3,300/ 800,000 31.12.2010

Indah Point, Section 12 Pejabat 4 tingkat (kosong) berakhir pada 10,560

Pulau Indah Industrial Park Two units of 4 storey 24.02.2097

42000 Klang Shophouse/Office 99 years lease

West Port (vacant) expiring on

Selangor Darul Ehsan 24.02.2097


Maklumat Hartanah


21 No. 1 & 2 Dua unit Rumah kedai/ Pajakan 99 tahun 23 3,956/ 700,000 31.12.2010

Jalan Kelicap Pejabat 2 tingkat berakhir pada 7,044

Taman Pekan Baru Two units of 2 storey 05.09.2078

34200 Parit Buntar Shophouse/Office 99 years lease

Perak Darul Ridzuan expiring on

05.09.2078

22 No. 46 & 47, Dua unit Rumah kedai/ Pegangan Bebas 21 3,220/ 1,460,000 31.12.2010

Darul Takaful Pejabat 4 tingkat Freehold 12,092

Jalan Rahmat Two units of 4 Storey

83000 Batu Pahat Shophouse/Office

Johor Darul Ta’zim

23 No. 180 & 181 Dua unit Rumah kedai/ Pegangan Bebas 20 3,200/ 1,500,000 31.12.2010

Jalan Tuan Hitam Pejabat 4 tingkat Freehold 12,250

22000 Jerteh Two units of 4 storey

Terengganu Darul Iman Shophouse/Office

24 Lot 82, 84 & 86 Tiga unit Rumah kedai/ Pajakan 99 tahun 11 6,339/ 2,300,000 31.12.2010

Jalan Rugbi 13/30 Pejabat 2 tingkat berakhir pada 11,309

Seksyen 13 Three units of 2 storey 22.01.2102

40100 Shah Alam Shophouse/Office 99 years lease

Selangor Darul Ehsan expiring on 22.01.2102

25 No. 229, Jalan Shahab 2 Satu unit Rumah kedai/ Pegangan Bebas 14 1,400/ 400,000 31.12.2010

Shahab Perdana Pejabat 2 1/2 tingkat Freehold 3,570

Jalan Sultanah Sambungan One unit of 2 1/2 storey

05350 Alor Star Shophouse/Office

Kedah Darul Aman

26 Lot No. 3803 Satu unit Rumah kedai/ Pajakan 99 tahun 11 2,001/ 400,000 31.12.2010

Jalan Dato’ Ulu Muar Pejabat 3 tingkat berakhir pada 3,120

72000 Kuala Pilah One unit of 3 storey 06.10.2079

Negeri Sembilan Shophouse/Office 99 years lease

Darul Khusus expiring on 06.10.2079

27 No. 45 Satu unit Rumah kedai/ Pajakan 99 tahun 10 3,200/ 2,000,000 31.12.2010

Jalan Teluk Sisek Pejabat 4 tingkat berakhir pada 8,019

25000 Kuantan One unit of 4 storey 18.09.2068

Pahang Darul Makmur Shophouse/Office 99 years lease

expiring on 18.09.2068







square feet) (RM)


28 No. 27, 29 & 31 Tiga unit Rumah kedai/ Pajakan 99 tahun 10 4,195/ 1,590,000 31.12.2010

Pusat Komersil Temerloh Pejabat 2 1/2 tingkat berakhir pada 15,050

28000 Temerloh Three units of 2 1/2 storey 01.04.2095

Pahang Darul Makmur Shophouse/Office 99 years lease

expiring on

01.04.2095

29 No. 2 & 4 Dua unit Rumah kedai/ Pajakan 99 tahun 23 6,383/ 1,500,000 31.12.2010

Jalan 6C/7 Pejabat 2 tingkat berakhir pada 8,032

43650 Bandar Baru Bangi Two units of 2 storey 08.07.2086

Selangor Darul Ehsan Shophouse/Office 99 years lease

expiring on

08.07.2086

30 Lot 14 Satu unit Rumah kedai/ Pajakan 99 tahun 14 1,500/ 3,375,000 31.12.2010

Arab Malaysian Pejabat 6 tingkat berakhir pada 14,589

Business Centre One unit of 6 storey 07.04.2082

Jalan Pasar Shophouse/Office 99 years lease

70000 Seremban expiring on

Negeri Sembilan 07.04.2082

Darul Khusus

31 Tingkat Bawah & Mezzanine Dua tingkat bangunan Pegangan Bebas 13 7,925* 3,700,000 31.12.2010

Wisma Abrar International Pejabat 8 1/2 tingkat Freehold

Lot 54, Seksyen 8 Twofloorsof81/2storey

15350 Kota Bharu Officebuilding

Kelantan Darul Naim

32 No. 29, Jalan Delima Satu unit Rumah kedai/ Pajakan 99 tahun 9 3,899/ 1,350,000 31.12.2010

Pusat Perdagangan Pontian Pejabat 3 tingkat berakhir pada 10,248

82000 Pontian One unit of 3 storey 25.09.2097

Johor Darul Ta’zim Shophouse/Office 99 years lease

expiring on

26.09.2097

33 Lot 11 & 12 Dua unit Rumah kedai/ Pajakan 99 tahun 25 2,800/ 1,335,000 31.12.2010

Kompleks Seri Temin Pejabat 4 tingkat berakhir pada 11,020

Jalan Ibrahim Two units of 4 storey 03.10.2080

08000 Sungai Petani Shophouse/Office 99 years lease

Kedah Darul Aman expiring on

03.10.2080







square feet) (RM)

Maklumat Hartanah



Maklumat Hartanah


34 Lot 1129 & 1130 Satu unit bangunan Pajakan kecil 8 3,600/ 6,600,000 31.12.2010

Bangunan Darul Takaful Pejabat 12 tingkat 35 tahun 23,637

Jalan Sultan Ismail One unit of 12 storey berakhir pada

20100 Kuala Officebuilding 27.02.2037

Terengganu 35 years sub lease

Terengganu Darul Iman expiring on 27.02.2037

35 No. 616 & 617 Dua unit bangunan Pajakan 99 tahun 18 4,498/ 950,000 31.12.2010

Jalan Besar Pejabat 2 tingkat berakhir pada 8,685

73000 Tampin Two units of 2 storey 05.10.2088

Negeri Sembilan Officebuilding 99 year lease

Darul Khusus expiring on

05.10.2088

36 No. 6, Jalan 6C/7 Satu unit Rumah kedai/ Pajakan 99 tahun 23 1,905/ 650,000 31.12.2010

43650 Bandar Baru Bangi Pejabat 2 tingkat berakhir pada 3,508

Selangor Darul Ehsan One unit of 2 storey 08.07.2086

Shophouse/Office 99 year lease

expiring on

08.07.2086

37 Suite 3B/G Satu tingkat bangunan Pegangan bebas 9 6,409* 7,050,000 31.12.2010

Blok 3B, Plaza Sentral Pejabat 22 tingkat Freehold

Jalan Stesen Sentral 5 Onefloorof22storey

50470 Kuala Lumpur Officebuilding

38 No. 26 & 27 Dua unit bangunan Pajakan 66 tahun 29 1,600/ 560,000 31.12.2010

Jalan Tanjung Pasar Baru Pejabat 2 tingkat berakhir pada 4,000

18500 Machang Two units of 2 storey 18.02.2069

Kelantan Darul Naim Officebuilding 66 years lease

expiring on

18.02.2069

39 No. 330 & 331 Dua unit bangunan Pajakan 99 tahun 28 3,200/ 1,700,000 31.12.2010

Jalan Sultan Yahya Petra Pejabat 4 1/2 tingkat berakhir pada 15,200

15720 Kota Bharu Two units of 4 1/2 storey 09.12.2069


expiring on

09.12.2069







square feet) (RM)


40 Dataran Kewangan Dua unit bangunan Pegangan Bebas Blok Utama/ 90,427/ 158,000,291 31.12.2010

Darul Takaful Pejabat Freehold Main Block 393,508

Jalan Sultan Sulaiman Blok Utama - 26 tingkat - 37

50000 Kuala Lumpur Blok Annex - 29 tingkat Blok Annex/

Two units of Annexe Block

Officebuilding - 30

Main Block - 26 storey

Annexe Block - 29 storey

41 No. 2408 Satu unit Rumah kedai/ Pajakan 99 tahun 14 2,800/ 780,000 31.12.2010

Taman Samudera Pejabat 2 tingkat berakhir pada 5,300

32040 Sri Manjung One unit of 2 storey 19.05.2091

Perak Darul Ridzuan Shophouse/Office 99 years lease

expiring on

19.05.2091

42 No. 76A & 76 Dua unit bangunan Pegangan Bebas 7 3,134/ 1,529,990 31.12.2010

Pusat Perniagaan Pejabat 3 tingkat Freehold 18,304

Jalan Tupai Two units of 3 storey

34000 Taiping Officebuilding

Perak Darul Ridzuan


Jalan Sultan Yahya Petra Pejabat 3 tingkat berakhir pada 9,120

15200 Kota Bharu Two units of 3 storey 08.09.2037


expiring on

08.09.2037

44 No. 4197 Satu unit bangunan Pegangan Bebas 8 8,716/ 3,600,000 31.12.2010

Jalan Teluk Wanjah Pejabat 4 tingkat Freehold 18,440

05200 Alor Star One unit of 4 storey

Kedah Darul Aman Officebuilding


Jalan Padi Emas 5/2 Pejabat 3 tingkat berakhir pada 8,024

Bandar Baru UDA Two units of 3 storey 16.02.2099


Johor Darul Ta’zim expiring on 16.02.2099







square feet) (RM)

Maklumat Hartanah



Maklumat Hartanah


46 No. 4, Satu unit bangunan Pajakan 99 tahun 25 1,400/ 665,000 31.12.2010

Kompleks Seri Temin Pejabat 4 tingkat berakhir pada 5,510

Jalan Ibrahim One unit of 4 storey 03.10.2080

08000 Sungai Petani Officebuilding 99 years lease

Kedah Darul Aman expiring on 03.10.2080

47 No. 16, Jalan Cenderawasih Satu unit bangunan Pegangan Bebas 11 1,600/ 400,000 31.12.2010

Jalan Kilang Lama Pejabat 3 tingkat Freehold 4,172

09000 Kulim One unit of 3 storey

Kedah Darul Aman Officebuilding

48 Lot 1340, Miri Waterfront Satu unit bangunan Pajakan 60 tahun 6 1,400/ 1,100,000 31.12.2010

Commercial Centre Pejabat 4 tingkat berakhir 30.09.2052 5,500

98000 Miri One unit of 4 60 years expiring

Sarawak storeyOfficebuilding on30.09.2052

49 No. 6, Jalan Padi Emas Satu unit bangunan Pajakan 99 tahun 5 1,540/ 680,000 31.12.2010

5/2, Bandar Baru UDA Pejabat 3 tingkat berakhir pada 4,012

81200 Johor Bharu One unit of 3 storey 16.02.2099

Johor Darul Ta’zim Officebuilding 99 years lease expiring

on 16.02.2099

50 No. 148, Kompleks Satu unit bangunan Pajakan 99 tahun 17 1,470/ 750,000 31.12.2010

Munshi Abdullah Pejabat 4 ½ tingkat berakhir pada 6,117

75200 Melaka One unit of 4 ½ storey 23.04.2102

Officebuilding 99 years lease expiring

on 23.04.2102


Pusat Perniagaan Pejabat 3 tingkat berakhir pada 9,280

Inderapura Two units of 3 storey 29.06.2092

Jalan Tras Raub Officebuilding 99 years lease expiring

Pahang Darul Makmur on 29.06.2092

Jumlah/Total 244,369.929

* Kawasan Bina/Build up Area







square feet) (RM)


Statistik Pegangan SahamShareholdings Statistics

Modal Saham/Share Capital

Modal Dibenarkan : 500,000,000 saham biasa bernilai RM1.00 sesahamAuthorised capital 500,000,000 ordinary shares of RM1.00 each

Modal yang diterbitkan dan dibayar sepenuhnya pada 4 Mac 2011 : 162,817,000 saham biasa bernilai RM1.00 sesahamIssued and fully paid-up capital as at 4 March 2011 162,817,000 ordinary shares of RM1.00 each

Jumlah pemegang saham pada 4 Mac 2011 : 2,166 No. of shareholders as at 4 March 2011

Kelas saham : Saham biasa bernilai RM1.00 sesahamClass of shares Ordinary shares of RM1.00 each

Hak mengundi : 1 undi bagi setiap saham biasaVoting right 1 vote per ordinary share

Pemegang-Pemegang Saham Utama (5% Dan Lebih)Substantial Shareholders’ Shareholdings (5% And Above)

Nama Pemegang Saham Jumlah Saham Peratus (%)Name of Shareholders Number of Shares Percentage (%)

BIMB Holdings Berhad 106,183,675 65.22

Jumlah/Total 106,183,675 65.22

Pegangan Saham Para Pengarah Pada 4 Mac 2011Directors’ Shareholdings as at 4 March 2011

Nama Pengarah Jumlah Saham Peratus (%)Name of Directors Number of Shares Percentage (%)

Y. Bhg. Dato’ Paduka Ismee Ismail - -

Y. Bhg. Dato’ Mohamed Hassan Md. Kamil - -

Puan Rozaida Omar - -

Encik Mahadzir Azizan - -

Y. Bhg. Dato’ Sulaiman Mohd Yusof - -

Encik Johan Abdullah - -

Encik Zakaria Ismail - -


Statistik Pegangan Saham

Shareholdings Statistics

Analisa Pegangan Saham Mengikut Saiz Pada 4 Mac 2011Analysis By Size Of Shareholdings as at 4 March 2011

Saiz Pegangan Saham Bilangan Peratus (%) Jumlah Peratus (%)Size of Shareholdings Pemegang Saham Percentage (%) Pegangan Saham Percentage (%) Number of Number of Shareholders Shareholdings

Kurang dari 100 150 6.93 2,720 0.00Less than 100

100 - 1,000 328 15.14 211,581 0.13

1,001 - 10,000 1,328 61.31 4,978,199 3.06

10,001 - 100,000 304 14.04 9,385,100 5.76

100,001 sehingga kurang daripada 55 2.53 42,055,725 25.835% saham diterbitkan100,001 to less than 5% of issued shares

5% dan lebih saham diterbitkan 1 0.05 106,183,675 65.225% and above of issued shares

Jumlah/Total 2,166 100.00 162,817,000 100.00

Tiga Puluh (30) Pemegang Saham Terbesar Pada 4 Mac 2011Thirty (30) Largest Shareholders as at 4 March 2011


BIMB Holdings Berhad 106,183,675 65.22

Bimsec Nominees (Asing) Sdn Bhd 7,000,000 4.30(Islamic Development Bank)

Affin Nominees (Tempatan) Sdn Bhd 4,602,000 2.83(AffinFundManagementSdnBhdforMajlisUgama Islam Dan Adat Resam Melayu Pahang)

RHB Nominees (Asing) Sdn Bhd 4,061,500 2.49(RUSD Investment Bank Inc.)

Lembaga Kemajuan Tanah Persekutuan (FELDA) 2,961,400 1.82






Majlis Agama Islam Negeri Sembilan 2,070,900 1.27

Cimsec Nominees (Tempatan) Sdn Bhd 1,623,100 1.00(Exempt An for Kenanga Investors Berhad (KUTN(T) S/B))

Kenanga Nominees (Tempatan) Sdn Bhd 1,554,600 0.95(PledgedSecuritiesAccountforMajlisAgamaIslamDan Adat Melayu Terengganu (STC))

Sai Yee @ Sia Say Yee 1,149,000 0.71

Citigroup Nominees (Tempatan) Sdn Bhd 1,144,220 0.70Employees Provident Fund Board

Saleem Abdullatif Mustafa 1,000,000 0.61

Majlis Agama Islam Melaka 998,250 0.61

Cheah See Han 962,200 0.59

Bank Kerjasama Rakyat Malaysia Berhad 687,000 0.42

Mayban Nominees (Tempatan) Sdn Bhd 676,900 0.42(Pledged Securities Account for Liew Kon Sing @ Liew Kong)

Mah Yu Lan 600,000 0.37

Lim Khuan Eng 572,100 0.35

Public Nominees (Tempatan) Sdn Bhd 547,000 0.34(Pledged Securities Account for Lee Kin Kheong (E-IMO))

Universiti Sains Malaysia 500,000 0.31

Citigroup Nominees (Tempatan) Sdn Bhd 500,000 0.31(Pledged Securities Account for Cheah See Han (471145))

Meng Hin Holdings Sdn Bhd 475,300 0.29

Philip A/L K.O Kunjappy 467,000 0.29






Chua Seng Sam 457,555 0.28

TA Nominees (Tempatan) Sdn Bhd 451,900 0.28(Pledged Securities Account for Vanitha A/P Kaneson)

Majlis Agama Islam Dan Adat Melayu Perak Darul Ridzuan 400,000 0.25

Amin Baitulmal Johor 400,000 0.25

Quah Lake Jen 378,500 0.23

T.O. Lim Holdings Sdn Bhd 350,000 0.21

Miss Wipaporn Limprana 350,000 0.21

TA Nominees (Tempatan) Sdn Bhd 343,000 0.21(Pledged Securities Account for Sellammah A/P Palanisamy)

Jumlah/Total 143,467,100 88.12


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SYARIKAT TAKAFUL MALAYSIA BERHAD (131646-K)26th Floor, Annexe BlockDataran Kewangan Darul TakafulNo. 4, Jalan Sultan Sulaiman50000 Kuala LumpurP.O. Box 11483, 50746 Kuala LumpurTel : 03-2268 1984Faks : 03-2274 0237Toll Free : 1-300-8-8252385Web : http://www.takaful-malaysia.com.my

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DATARAN KEWANGAN DARUL TAKAFULTingkat Bawah, Blok UtamaDataran Kewangan Darul TakafulNo. 4, Jalan Sultan Sulaiman50000 Kuala Lumpur

SHAH ALAMTingkat Bawah, Darul TakafulLot. No 82, 84, 86Jalan Rugbi 13/30, Seksyen 1340100 Shah AlamSelangor Darul Ehsan

PETALING JAYANo. 10-2 & 12-2, Tingkat 1Jalan 14/22, The Right Angle46100 Petaling JayaSelangor Darul Ehsan

KUANTANNo. 45, Tingkat Bawah, Darul TakafulJalan Teluk Sisek25000 KuantanPahang Darul Makmur

BANDAR PERDANo. 28 Jalan Perda Barat 1Bandar Baru Perda14000 Bukit MertajamPulau Pinang

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TAKAFUL RETAIL CENTRE*

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TAKAFUL myDESKS*

TABUNG HAJI CAWANGAN BAGAN SERAIBangunan Tabung HajiNo. 110, Jalan Besar34300 Bagan Serai, PerakTel : 05-721 0320 : 012-505 2009Fax : 05-721 0323

TABUNG HAJI CAWANGAN KOTA TINGGIBangunan Tabung HajiNo. 24, Jalan Niaga 181900 Kota Tinggi, JohorTel : 07-883 2880 : 012-774 7553Fax : 05-882 2790

TABUNG HAJI CAWANGAN JALAN TUN RAZAK2nd Floor, Menara Lembaga Tabung Haji201, Jalan Tun Razak50732 Kuala LumpurTel : 012-285 2523 : 012-646 3586 Fax : 03-2164 7446

TABUNG HAJI CAWANGAN BUTTERWORTHBangunan TH, No. 2828-G-1Jalan Bagan Luar12000 Butterworth, PenangTel : 04-323 2892

TABUNG HAJI CAWANGAN TANAH MERAHTingkat 1, Bangunan THLot 211, Jalan Hospital17500 Tanah Merah, KelantanTel : 09-955 7411 Fax : 09-955 7413

TABUNG HAJI CAWANGAN KUALA PILAHBangunan Tabung HajiLot No 234Jalan Dato’ Undang Johol72000 Kuala PilahNegeri SembilanTel : 06-4810971Fax : 06-4810972


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ALOR STARDarul Takaful, No. 229, Jalan Shahab 2Shahab PerdanaJalan Sultanah Sambungan05150 Alor Setar, Kedah Darul AmanTel : 04-733 4722 : 04-730 7472 : 04-731 9933Fax : 04-730 2414

SUNGAI PETANIDarul TakafulNo. 4, Kompleks Seri Temin, Jalan Ibrahim08000 Sungai Petani, Kedah Darul AmanTel : 04-421 4510 : 04-425 6588Fax : 04-425 7588

KULIMDarul TakafulNo. 16, Taman CenderawasihJalan Tuanku Putra09000 Kulim, Kedah Darul AmanTel : 04-490 6306 : 04-495 0615Fax : 04-491 1241

LANGKAWINo. 15, Tingkat 1, Darul TakafulJalan Kelibang, Langkawi Mall07000 Kuah, Kedah Darul AmanTel : 04-966 6242 : 04-966 0052Fax : 04-966 6394

KELANTAN DARUL NAIM

KOTA BHARULot. 331 & 332Tingkat Bawah, Darul TakafulJalan Sultan Yahya Petra, Wakaf Siku15200 Kota Bharu, Kelantan Darul NaimTel : 09-744 7277 : 09-744 1408 : 09-747 8700 : 09-743 9362Fax : 09-748 6864

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WILAYAH PERSEKUTUAN

PUTRAJAYATingkat 1, Blok E 16Parcel E, Precint 1 Anjung62000 Putrajaya, Wilayah PersekutuanTel : 03-8889 5261Fax : 03-8889 5262

SELANGOR DARUL EHSAN

KAJANGNo. 5A, Plaza KajangJalan Dato’ P.Algendra 143000 Kajang, Selangor Darul EhsanTel : 03-8734 6479 : 03-8737 6591Fax : 03-8734 6480

JOHOR DARUL TAKZIM

JOHOR BAHRUNo. 8, Aras 3Menara Presind, Jalan Bukit Timbalan80000 Johor Bahru, Johor Darul TakzimTel : 07-224 0369 : 07-224 5426 : 07-226 4645Fax : 07-224 2089

MUARNo. 5-4, Tingkat Bawah, Jalan Ibrahim84000 Muar, Johor Darul TakzimTel : 06-952 8808 : 06-952 2102 : 06-955 6206Fax : 06-953 1609

BATU PAHATTingkat 2, No. 46 & 47Darul Takaful, Jalan Rahmat83000 Batu Pahat, Johor Darul TakzimTel : 07-434 8560 : 07-432 5673Fax : 07-433 2729

KLUANG20, Tingkat 2, Darul TakafulJalan Haji Manan86000 KluangJohor Darul TakzimTel : 07-774 1053 : 07-772 1757Fax : 07-776 8285


MACHANGLot. 27, Tingkat 1Jalan Tanjung18500 Machang, Kelantan Darul NaimTel : 09-975 1789 : 09-975 8553Fax : 09-975 7626

MELAKA

MELAKA148 Kompleks Munshi AbdullahJalan Munshi Abdullah75100, MelakaTel : 06-288 3054 : 06-281 4985 : 06-284 9633Fax : 06-288 1341

MASJID TANAHSU 953, Jalan Bandar Baru 6Taman Bandar Baru78300 Masjid Tanah, MelakaTel : 06-384 7233Fax : 06-384 8533

PAHANG DARUL MAKMUR

TEMERLOHNo. 27, Jalan Dato’ Bahaman 3Darul Takaful, Pusat Dagangan Temerloh28000 Temerloh, Pahang Darul MakmurTel : 09-296 5560 : 09-296 2595Fax : 09-296 5417

PERAK DARUL RIDZUAN

IPOHNo. 23A, Medan Istana 3Bandar Ipoh Raya30000 Ipoh, Perak Darul RidzuanTel : 05-255 3888 : 05-242 1824 : 04-243 5201Fax : 05-255 1462

BANDAR BARU SRI MANJUNGNo. 2406, Taman Samudera32040 Sri Manjung, Perak Darul RidzuanTel : 05-688 1186 : 05-688 6211Fax : 05-688 7211

TAIPINGNo. 76, Tingkat 1 & 2Darul Takaful, Pusat Perniagaan TaipingJalan Tupai, 34000 TaipingPerak Darul RidzuanTel : 05-807 9876 : 05-807 6588 : 05-804 1782Fax : 05-808 7588

TELOK INTANLot. 51-1, Jalan Intan 2, Bandar Baru36000 Telok Intan, Perak Darul RidzuanTel : 05-622 7790 : 05-622 6202Fax : 05-622 9311

PULAU PINANG

KEPALA BATASNo. 2148,Tingkat Bawah & 1, Jalan Bertam13200 Kepala Batas, Seberang Perai UtaraPulau PinangTel : 04-574 1594 : 04-575 9278Fax : 04-574 1596

GELUGORNo. 2480, Tingkat BawahJalan Sultan Azlan Shah11700 Gelugor, Pulau PinangTel : 04-658 8240Fax : 04-658 8243

TERENGGANU DARUL IMAN

KUALA TERENGGANULot 1129 & 1130, Tingkat 2 & 3Darul Takaful, Jalan Sultan IsmailOff Jalan Banggol20100 Kuala TerengganuTerengganu Darul ImanTel : 09-623 3211 : 09-624 9486 : 09-622 3211Fax : 09-623 9098

KEMAMANLot. 2.07 & 2.08, Tingkat 2Wisma Serangkai, Jalan Sulaimani, Chukai24000 Kemaman, Terengganu Darul ImanTel : 09-859 4796 : 09-858 6878Fax : 09-858 3455

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SABAH

KOTA KINABALULot A 202 & 203, Tingkat 2, Blok AWisma Muis, Jalan Tengku Abdul RahmanPeti Surat 16402,88850 Kota Kinabalu, SabahTel : 088-240 212 : 088-240 312Fax : 088-240 313

TAWAULot 268, Blok 28, Tingkat 2Jalan Mahkamah, Fajar Kompleks91000 Tawau, SabahTel : 089-776 510 : 088-770 960Fax : 089-756 697

SARAWAK

KUCHINGLot. 435, Tingkat 1 & 2Darul Takaful, Bangunan Tuanku HajiMohammad Al-Edrus, Jalan Kulas93400 Kuching, SarawakTel : 082-242 725 : 082-235 121 : 082-247 904 : 082-252 045Fax : 082-234 191

MIRIDarul Takaful, Lot. 1340,Tingkat Bawah & 1Miri Waterfront Commercial CentreJalan Waterfront, 98000 Miri, SarawakTel : 085-425 961 : 085-420 651Fax : 085-411 724

SIBUNo. 10H, Lot. 1735Tingkat 1, Bangunan Koperasi SeduanJalan Kampong Datuk96000 Sibu, SarawakTel : 084-348 346Fax : 084-325 276

* For further details, please contact our: Toll-free number 1300-8-TAKAFUL (825 2385) or Email at [email protected]

SYARIKAT-SYARIKAT SUBSIDIARI

ASEAN RETAKAFUL INTERNATIONAL (L) LTD. (LL01129)Level 14, Blok 4Financial Park ComplexJalan Merdeka87000 Wilayah Persekutuan LabuanTel : 087-451 301 : 087-451 302 : 087-451 303Fax : 087-451 300

PT SYARIKAT TAKAFUL INDONESIAGraha A, Graha Takaful IndonesiaJalan Mampang Prapatan RayaNo. 100, Jakarta12790 IndonesiaTel : 6221-799 1234 : 6221-799 2345Fax : 6221-7919 8877

PT ASURANSI TAKAFUL KELUARGAGraha B, Graha Takaful IndonesiaJalan Mampang Prapatan RayaNo. 100, Jakarta12790 IndonesiaTel : 6221-799 1234 : 6221-799 2345Fax : 6221-790 1435

PT ASURANSI TAKAFUL UMUMGraha A, Graha Takaful IndonesiaJalan Mampang Prapatan RayaNo. 100, Jakarta12790 IndonesiaTel : 6221-799 1234 : 6221-799 2345Fax : 6221-790 1944

JUMLAH SAHAMNO. OF SHARES

Pada / Dated this …..… haribulan / day of …... 2011

Tandatangan/ Cop Mohor Pemegang SahamSignature/ Common Seal of Shareholders

Borang Proksi/Proxy Form25th Annual General Meeting

Saya / Kami / I / We .................................................................................................................................................................................................................................................. sebagai Ahli / Ahli - Ahli Syarikat yang dinyatakan di atas dengan ini melantik being a Member / Members of the abovenamed Company, hereby appoint

………………………………………..……………………………………………………………….…………...................................................................…..............……................ dari / of …..................…..........…………………………….………………………………………………………..………………………………......................................................

atau / Pengerusi Mesyuarat jika beliau tidak dapat hadir / or the Chairman of the Meeting failing him .……………….........................……...................………………

dari / of …..................…..........…………………………….………………………………………………………..………………………………...................................................... sebagai proksi saya / kami untuk mengundi bagi pihak saya / kami di MESYUARAT AGUNG TAHUNAN SYARIKAT TAKAFUL MALAYSIA BERHAD yang KEDUA PULUH LIMA yang akan diadakan pada hari Khamis, 5 Mei 2011 jam 9:30 pagi dan pada sebarang penangguhannya. as my / our proxy to vote for me / us on my / our behalf at the TWENTY FIFTH ANNUAL GENERAL MEETING OF SYARIKAT TAKAFUL MALAYSIA BERHAD, to be held on Thursday, 5 May 2011 at 9:30 a.m. and at any adjournment thereof.

Sila tandakan “X” di dalam ruang yang disediakan di bawah bagaimana anda ingin mengundi untuk resolusi-resolusi berikut. Sekiranya tiada arahan-arahan tertentu, proksi anda akan mengundi atau tidak mengundi sepertimana yang dia anggap patut. Jika anda melantik dua proksi, sila nyatakan bahagian pegangan untuk diwakilkan kepada setiap proksi.Please indicate an “X” in the space provided below, how you wish your vote to be cast in respect of the following resolutions. In the absence of specific directions, your proxy may vote or abstain at his/her discretion. If you appoint two proxies, please specify the proportions of holdings to be represented by each proxy.

Wakil saya / kami akan mengundi seperti berikut / My / Our proxy is to vote as indicated hereunder:

NO. RESOLUSI / RESOLUTION MENYOKONG/ MENENTANG/ FOR AGAINST

1 Menerima Penyata-Penyata Kewangan yang telah diaudit bagi lapan belas (18) bulan tempoh kewangan berakhir 31 Disember 2010, beserta laporan Pengarah dan Juruaudit berkaitan dengannya.

ToreceivetheAuditedFinancialStatementsforeighteen(18)monthsfinancialperiodended31December2010,together with the reports of the Directors and Auditors thereon.

2 Untuk meluluskan dividen akhir sebanyak 7% ditolak 25% cukai bagi lapan belas (18) bulan tempoh kewangan berakhir 31 Disember 2010.

Toapproveafinaldividendof7%less25%taxinrespectoftheeighteen(18)monthsfinancialperiodended 31 December 2010.

Melantik semula Pengarah-pengarah berikut yang bersara menurut Tataurusan Persatuan Syarikat:- To re-elect the following Directors, each of whom retires pursuant to the Company’s Articles of Association:

Artikel 62/Article 62 3 Encik Mahadzir Azizan

4 Y. Bhg. Dato’ Sulaiman Mohd Yusof

Artikel 66A/Article 66A 5 Y. Bhg. Dato’ Paduka Ismee Ismail

6 Encik Zakaria Ismail

7 Untuk meluluskan bayaran yuran Pengarah-pengarah sebanyak RM721,000 bagi lapan belas (18) bulan tempoh kewangan berakhir 31 Disember 2010.

ToapprovethepaymentoftheDirectors’feesofRM721,000foreighteen(18)monthsfinancialperiodended 31 December 2010.

8 Untuk meluluskan bayaran yuran Ahli-Ahli Badan Penasihat Syariah sebanyak RM153,000 bagi lapan belas (18) bulan tempoh kewangan berakhir 31 Disember 2010.

To approve the payment of Shariah Advisory Body Members’ fees of RM153,000 for eighteen (18) months} financialperiodended31December2010.

9 Untuk melantik semula Tetuan KPMG Desa Megat & Co. sebagai Juruaudit Syarikat dan memberi kuasa kepada Pengarah-Pengarah untuk menetapkan bayaran Juruaudit.

To re-appoint Messrs KPMG Desa Megat & Co. as the Auditors of the Company and to authorise the Directors tofixtheirremuneration.

Nota-Nota:(i) Seorang ahli Syarikat yang berhak hadir dan mengundi dalam mesyuarat, berhak melantik seorang atau beberapa orang proksi untuk hadir dan

mengundi bagi pihaknya dan haruslah menyatakan bahagian pegangan sahamnya yang diwakili oleh setiap proksi dan seorang proksi tidak semestinya ahli Syarikat.

(ii) Suratcara pelantikan proksi mestilah dibuat secara bertulis dan ditandatangani oleh pihak yang melantik atau wakilnya yang diberi kuasa secara bertulis atau jika pihak yang melantik itu sebuah perbadanan, ianya hendaklah dibuat samada di bawah meteri atau ditandatangani oleh pegawai atau wakil yang diberi kuasa.

(iii) Semua borang proksi hendaklah dihantar kepada Pejabat Berdaftar Syarikat, di Tingkat 26, Blok Annex, Dataran Kewangan Darul Takaful, No.4 Jalan Sultan Sulaiman, 50000 Kuala Lumpur tidak lewat dari empat puluh lapan (48) jam sebelum waktu yang ditetapkan bagi mengadakan mesyuarat atau sebarang penangguhannya.

(iv) Kecuali arahan mengundi dinyatakan dalam ruang yang disediakan di atas, seorang proksi boleh mengundi sebagaimana yang ia fikirkan sesuai.

Notes:(i) A member of the Company entitled to attend and vote at the meeting may appoint a proxy or proxies to attend and vote instead of him and shall specify the

proportions of his holdings to be represented by each proxy and a proxy need not be a member of the Company.(ii) The instrument appointing a proxy shall be in writing under the hand of the appointer or his attorney duly authorised in writing or if the appointer is a

corporation,eitherundersealorunderthehandofanofficerorattorneydulyauthorised.(iii)AllproxyformsshouldbedepositedattheRegisteredOfficeoftheCompanyatTingkat26,BlokAnnex,DataranKewanganDarulTakaful,No.4,Jalan

SultanSulaiman,50000KualaLumpurnotlessthanforty-eight(48)hoursbeforethetimeforholdingthemeetingoranyadjournmentthereof.(iv)Unlessvotinginstructionsareindicatedinthespacesprovidedabove,theproxymayvoteashe/shethinks.

Setiausaha Syarikat / The Company Secretary SYARIKAT TAKAFUL MALAYSIA BERHAD Tingkat 26, Blok Annex Dataran Kewangan Darul Takaful No. 4, Jalan Sultan Sulaiman 50000 Kuala Lumpur

JUMLAH SAHAMNO. OF SHARES

Pada / Dated this …..… haribulan / day of …... 2011

Tandatangan/ Cop Mohor Pemegang SahamSignature/ Common Seal of Shareholders

Borang Proksi/Proxy Form26th Annual General Meeting

Saya / Kami / I / We .................................................................................................................................................................................................................................................. sebagai Ahli / Ahli - Ahli Syarikat yang dinyatakan di atas dengan ini melantik being a Member / Members of the abovenamed Company, hereby appoint

………………………………………..……………………………………………………………….…………...................................................................…..............……................ dari / of …..................…..........…………………………….………………………………………………………..………………………………......................................................

atau / Pengerusi Mesyuarat jika beliau tidak dapat hadir / or the Chairman of the Meeting failing him .……………….........................……...................………………

dari / of …..................…..........…………………………….………………………………………………………..………………………………...................................................... sebagai proksi saya / kami untuk mengundi bagi pihak saya / kami di MESYUARAT AGUNG TAHUNAN SYARIKAT TAKAFUL MALAYSIA BERHAD yang KEDUA PULUH ENAM yang akan diadakan pada hari Khamis, 5 Mei 2011 dengan serta merta selepas berakhirnya atau penangguhan (mengikut yang mana berkaitan) Mesyuarat Agung Tahunan ke 25 yang akan diadakan pada jam 9:30 pagi pada hari dan pada tempat yang sama.as my / our proxy to vote for me / us on my / our behalf at the TWENTY SIXTH ANNUAL GENERAL MEETING OF SYARIKAT TAKAFUL MALAYSIA BERHAD, to be held on Thursday, 5 May 2011 immediately following the conclusion or adjournment (as the case may be) of the 25th Annual General Meeting which will be held at 9:30 a.m. on the same day and at the same venue.

Sila tandakan “X” di dalam ruang yang disediakan di bawah bagaimana anda ingin mengundi untuk resolusi-resolusi berikut. Sekiranya tiada arahan-arahan tertentu, proksi anda akan mengundi atau tidak mengundi sepertimana yang dia anggap patut. Jika anda melantik dua proksi, sila nyatakan bahagian pegangan untuk diwakilkan kepada setiap proksi.Please indicate an “X” in the space provided below, how you wish your vote to be cast in respect of the following resolutions. In the absence of specific directions, your proxy may vote or abstain at his/her discretion. If you appoint two proxies, please specify the proportions of holdings to be represented by each proxy.

Wakil saya / kami akan mengundi seperti berikut / My / Our proxy is to vote as indicated hereunder:

NO. RESOLUSI / RESOLUTION MENYOKONG/ MENENTANG/ FOR AGAINST

Untuk melantik semula Pengarah-pengarah berikut yang bersara menurut Artikel 62 Tataurusan Persatuan Syarikat:To re-elect the following Directors, each of whom retires pursuant to Article 62 of the Company’s Articles ofAssociation:

1 Encik Johan Abdullah

2 Y. Bhg. Dato’ Mohamed Hassan Md Kamil

3 Untuk melantik semula Tetuan KPMG Desa Megat & Co. sebagai Juruaudit Syarikat dan memberi kuasa kepada Pengarah-pengarah untuk menetapkan bayaran Juruaudit. To re-appoint Messrs KPMG Desa Megat & Co. as the Auditors of the Company and to authorise the Directorstofixtheirremuneration.

4 Cadangan Mandat Pemegang Saham bagi Urusniaga Berulang Pihak Berkaitan. Proposed Shareholders’ Mandate for Recurrent Related Party Transactions.

Nota-Nota:(i) Seorang ahli Syarikat yang berhak hadir dan mengundi dalam mesyuarat, berhak melantik seorang atau beberapa orang proksi untuk hadir dan

mengundi bagi pihaknya dan haruslah menyatakan bahagian pegangan sahamnya yang diwakili oleh setiap proksi dan seorang proksi tidak semestinya ahli Syarikat.

(ii) Suratcara pelantikan proksi mestilah dibuat secara bertulis dan ditandatangani oleh pihak yang melantik atau wakilnya yang diberi kuasa secara bertulis atau jika pihak yang melantik itu sebuah perbadanan, ianya hendaklah dibuat samada di bawah meteri atau ditandatangani oleh pegawai atau wakil yang diberi kuasa.

(iii) Semua borang proksi hendaklah dihantar kepada Pejabat Berdaftar Syarikat, di Tingkat 26, Blok Annex, Dataran Kewangan Darul Takaful, No.4 Jalan Sultan Sulaiman, 50000 Kuala Lumpur tidak lewat dari empat puluh lapan (48) jam sebelum waktu yang ditetapkan bagi mengadakan mesyuarat atau sebarang penangguhannya.

(iv) Kecuali arahan mengundi dinyatakan dalam ruang yang disediakan di atas, seorang proksi boleh mengundi sebagaimana yang ia fikirkan sesuai.

Notes:(i) A member of the Company entitled to attend and vote at the meeting may appoint a proxy or proxies to attend and vote instead of him and shall specify the

proportions of his holdings to be represented by each proxy and a proxy need not be a member of the Company.(ii) The instrument appointing a proxy shall be in writing under the hand of the appointer or his attorney duly authorised in writing or if the appointer is a

corporation,eitherundersealorunderthehandofanofficerorattorneydulyauthorised.(iii)AllproxyformsshouldbedepositedattheRegisteredOfficeoftheCompanyatTingkat26,BlokAnnex,DataranKewanganDarulTakaful,No.4,Jalan

SultanSulaiman,50000KualaLumpurnotlessthanforty-eight(48)hoursbeforethetimeforholdingthemeetingoranyadjournmentthereof.(iv)Unlessvotinginstructionsareindicatedinthespacesprovidedabove,theproxymayvoteashe/shethinks.

Setiausaha Syarikat / The Company Secretary SYARIKAT TAKAFUL MALAYSIA BERHAD Tingkat 26, Blok Annex Dataran Kewangan Darul Takaful No. 4, Jalan Sultan Sulaiman 50000 Kuala Lumpur

SYARIKAT TAKAFUL MALAYSIA BERHAD (131646-K)Tingkat 26, Blok AnnexDataran Kewangan Darul TakafulNo. 4, Jalan Sultan Sulaiman50000 Kuala LumpurTel : 1300-8-TAKAFUL (8252385)Faks : 603-2274 0237

www.takaful-malaysia.com.my

Documents

Laporan Tahunan 2010 annuaL reporT - Takaful Malaysia...Laporan Tahunan 2010 Annual Report • Syarikat Takaful Malaysia Berhad (131646-K) 007 6. To re-appoint Messrs KPMG Desa Megat