HAI-O TO RECRUIT UP TO 10,000 MEMBERS IN INDONESIA

KUALA LUMPUR, Oct 28 (Bernama) -– Hai-O Enterprise Bhd expects to recruit
5,000 to 10,000 members within 12 months for its direct selling business in the
Indonesian market.

Hai-O, with 75 per cent of its revenue from its direct selling business is
also preparing for a soft launch for its office in Indonesia, which started
operations in August this year.

“Expanding into Indonesia seemed like a natural progression for the company
given the similarity in culture between both countries,” said its managing
director, Tan Kai Hee, to reporters after meeting with stakeholders here.

Tan said within the Indonesia market, the company was aiming at the Java
region as its first market.

Without disclosing the amount of investment to Indonesia, Tan said the
company was expected to break-even in the next two years.

After two years, the company expects to record positive contributions from
the Indonesian market, he said.

On its dividend policy, Tan said the company was confident of maintaining a
50 per cent payout given the anticipated encouraging performance in the next two
years.

He also said the company was on track to achieve its projected 10 per cent
growth in sales despite the present slower economic environment.

Hai-O which has been listed in Forbes Asia's "200 Best Under A Billion in
2009", will be announcing its second quarter results in December.

The company posted a pre-tax profit of RM26.287 million (US$1=RM3.4) on the
back of RM148.572 million in revenue for the first quarter financial period
ended July
31.
-- BERNAMA