News

Singapore, 27 November 2002 - Ascendas-MGM Funds Management Limited ("AMFM"), the manager of the Ascendas Real Estate Investment Trust ("A-REIT"), announced today that the Ministry of Finance has confirmed in a letter dated 15 November 2002 that the income from REITS received by an individual within the Central Provident Fund Investment Scheme ("CPFIS") is tax exempt provided that such income is returned to the CPFIS. Accordingly, Central Provident Fund members will receive distributions in gross amount (without any tax deducted at source) if they have purchased the units in A-REIT within CPFIS and provided that such income is returned to the CPFIS.

This is further to CPF Board's announcement on 29 August 2002 that property funds (or real estate investment trusts) will be included under CPFIS Ordinary Account. Investors in Singapore may use up to 35% of the Investible Savings in their CPF Ordinary Account to purchase units in A-REIT as an investment.

Mr Goh Kok Huat, Chief Executive Officer of Ascendas-MGM, said, "This is encouraging news for individual retail investors who have used their CPF to purchase units in A-REIT as dividends will flow through to them without being taxed at source as such dividends will be exempted from tax. It will certainly enhance the attractiveness of A-REIT as an alternative investment tool for CPF members looking for steady returns and relatively high distribution streams. "

Visit the A-REIT website at www.a-reit.com.sg for more details.


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A-REIT has a diversified portfolio of eight properties comprising business park (including science park), light industrial and built-to-suit properties in Singapore, valued at approximately S$607.2 million (as at 1 August 2002). These properties house a tenant base of more than 300 international and local companies operating in a range of industries and activities, including research and development, life sciences, information technology, engineering and light manufacturing. Tenants include Bioprocessing Technology Centre, Federal Express, Honeywell, Institute of Microelectronics, Lilly Systems Biology, Teradyne and Venture Corporation, just to name a few. The rental income from the tenants contributes to the stable distributions to be delivered by A-REIT.

A-REIT is managed by Ascendas-MGM Funds Management Limited, a joint venture between Singapore-based Ascendas Investment Pte Ltd, a related company of Ascendas Land (Singapore) Pte Ltd, and Australian-based Macquarie Goodman Industrial Management Pty Limited.

For more information, please contact:

Media Contact

Singapore

Ho Mei Peng
Investor Relations, Ascendas-MGM Funds Management Limited
Tel: +65 6774 9152,
Mobile: +65 9668 8290,
Email: meipeng.ho@ascendas-mgm.com

Australia

Jayne Gerrie
Communications, Macquarie Goodman Management Limited
Tel: +612 9230 7400,
Mobile: +61 4090 77200,
Email: jgerrie@macquariegoodman.com.au

This website is qualified in its entirety by, and should be read in conjunction with, the full text of the Prospectus. Investing in A-REIT involves risks. Prospective investors should read the Prospectus in its entirety and, in particular, the section headed "Risk Factors". Words and expressions not defined herein have the same meaning as in the main body of the Prospectus, unless the context requires otherwise.

The information included on this website is not for publication or distribution, directly or indirectly, and does not constitute an offer to sell or the solicitation of an offer to buy Units in any jurisdiction where such activity is prohibited or to any person to whom it is unlawful to make such offer or solicitation. Without limiting the generality of the foregoing, neither the information herein nor any copy thereof may be published or distributed, directly or indirectly, in or into the United States and this information does not constitute an offer of Units for sale into the United States. The Units are being offered and sold outside the United States in reliance on Regulation S under the US Securities Act of 1933, as amended (the "Securities Act".) The Units mentioned herein have not been and will not be registered under the Securities Act and, subject to certain exceptions, may not be offered or sold within the United States. There will be no public offer of the Units mentioned herein in the United States. Any failure to comply with this restriction may constitute a violation of United States securities laws.