Corporate Governance Statement

OTHER AREAS

1. Conflicts of Interest

The Company has a dual status as a business oriented listed entity and as a market regulator. COI may arise, therefore, between Bursa Malaysia's commercial interests and the proper performance of its statutory duties as an exchange holding company. Bursa Malaysia is bound by law to act in the public interest, having regard to the need for investor protection and, where Bursa Malaysia's own or any other interests conflict with the public interest, the latter prevails. The Board has put into place appropriate controls and arrangements to ensure the systematic identification of potential COI and procedures to manage such COI that may arise. In addition, the Company's commercial functions are separate and distinct from the regulatory functions to ensure that these functions operate independently.

In 2008, Bursa Malaysia did not identify any actual COI arising between its commercial interests and the proper performance of its regulatory duties.

2. Related Party Transactions

An internal compliance framework exists to ensure that the Company meets its obligations under the LR including obligations in connection with related party transactions. The Board, through the AC, reviews all related party transactions. A Director who has an interest in a transaction must abstain from deliberation and voting on the relevant resolution in respect of such transaction at the Board meeting. A list of the significant related party disclosures between the Company and its subsidiaries, and between the Group and other related parties including relevant senior management for FY2008 is set out on pages 134 to 136 of the Annual Report.

3. Code of Ethics

The Company's Codes of Ethics for Directors and employees continues to govern the standards of ethics and good conduct expected from Directors and employees, respectively. The Code of Ethics for Directors, for example, includes principles relating to the Directors' duties, COI and dealings in securities. For employees, the Code of Ethics covers all aspects of the business operations of the Company such as confidentiality of information, dealings in securities, COI, gifts, gratuities or bribes, dishonest conduct, sexual harassment and the Company's whistle-blowing procedures.