| PwC | | | | The Audit Committee received the Auditor’s Letter from PwC, setting out its Concerns on the commercial rationale, the counterparties and any possible related party transactions of the Group’s asphalt trading transactions conducted in FY 2025. Notwithstanding the Company’s proactive approach in liaising and follow up with PwC since 25 March 2026, up to the date of this announcement, PwC has yet to provide a clear and specific response to the Company regarding (1) the expected timetable for completion of the audit of the 2025 Annual Results and (2) the estimated fee for the additional audit work arising from the independent Investigation. In order to expedite the audit process and fulfill the Resumption Guidance, the Company has consulted other qualified accounting firms and has obtained an estimate timetable for completing the audit. Against this background, on 25 June 2026, the Company communicated its intention to remove PwC as auditor. PwC replied that despite repeated communications and although the Cheng Cheng team plans to
commence on-site work shortly, the Company and the Independent Investigation Committee have yet to provide the various audit materials PwC requested above. In the absence of these materials, PwC is unable to make a reasonable assessment of the timetable for completing the Audit. Given that the Company and the Independent Investigation Committee have yet to provide the aforementioned key details in relation to the planning stage of the investigation for PwC’s pre-assessment, PwC is unable to provide an accurate quotation for additional fees. |
