Company Name	:	IRE-TEX CORPORATION BERHAD
Stock Name	:	IRETEX
Date Announced	:	02/03/2011

Type	:	Announcement
Subject	:	TRANSACTIONS (CHAPTER 10 OF LISTING REQUIREMENTS) RELATED PARTY TRANSACTIONS
Description	:	IRE-TEX CORPORATION BERHAD Subject: Acquisition of 5% interest in Ire-Tex Corporation, a company incorporated in Oregon, United States of America

Announcement Details :

1.Introduction

The Board of Directors of Ire-Tex Corporation Berhad ("ITCB" or "the Company") wishes to announce that the Company has on 2 March 2011 acquired Two Hundred And Thirty Eight (238) shares of common stock with no par value ("the Shares") representing 5% interest in Ire-Tex Corporation ("ITC"), a company incorporated in Oregon, United States of America, ("Acquisition") from the following sellers for a total cash consideration of USD110,115.46 only (equivalent to RM336,953.31)("the Purchase Consideration") : -

Name of Seller	No. of shares disposed	Consideration
Jacqueline Louise Chapin	55	USD25,446.85
Norman David Porter	183	USD84,668.61
Total	238	USD110,115.46

The date of such investment and the original cost of investment to the sellers are as follows : -

Name of Seller	Original cost of investment	Date of investment
Jacqueline Louise Chapin	USD 43.00 per share	1996
Norman David Porter	USD 43.00 per share	1996

There were no other transactions with the same parties during the preceding 12 months.

2. Information on ITC

ITC was incorporated in Oregon, United States of America on 17 September 1991. The currentpaid in capital of ITC is USD455,492 consisting of 4,755 shares of common stock with no par value.

The principal activity of ITC is design and manufacturing of packaging materials.

Based on the audited financial statements of ITC as at 31 December 2009 its net assets amounted to USD271,496 and its net loss for the year ended 2009 amounted to USD 72,937.

3.Rationale for the Acquisition

The Acquisition is a strategic move to establish and strengthen the relationship within Ire-Tex network of companies globally. The relationship will allow ITC to refer its customers in the United States who set up operations in the South East Asian region to ITCB for supply of their packaging needs.

4.The Purchase Consideration

The Purchase Consideration is arrived at on willing buyer and willing seller basis after taking into consideration the strategic nature of the investment which ITCB hopes will allow it to have future access to ITC's customers setting up operations in the South East Asian region. The Purchase Consideration will be satisfied in cash from internally generated funds of ITCB Group.

ITCB will not be assuming any liability, including contingent liabilities and guarantees, pursuant to the Acquisition.

5.Effects of the Acquistion

The Acquisition is not expected to have any material impact on the earnings of the Company for the financial year ending 31 December 2011.

The Acquisition will not have any effect on the net assets of ITCB Group as it was by way of cash.

The Acquisition will not have any effect on the share capital and substantial shareholders' shareholding of ITCB.

6.Risk Factors

Save for the normal business risk associated with investment in a company, the Board of Directors of ITCB is unaware of any risk arising from the Acquisition which could materially or adversely affect the financial and operation conditions of ITCB Group.

7.Percentage Ratios under paragraph 10.02(g) of the Bursa Malaysia Securities Berhad's Main Market Listing Requirements

In respect of the Acquisition and based on ITCB's audited financial statements for the financial year ended 31 December 2009, the highest percentage ratio under Paragraph 10.02(g) of Chapter 10 of the Bursa Malaysia Securities Berhad's Main Market Listing Requirements is 0.78%.

8.Approvals Required

The Acquisition is not subject to the approval of any governmental authorities or the shareholders of the Company.

9.Directors' and Major Shareholders' Interests

Other than Mr Timothy Ian O'Hearn, a Director and major shareholder of ITCB, who owns a 5% direct interest in ITC, none of the Directors and major shareholders or persons connected with them have any interests, direct or indirect, in the Acquisition.

10.Statement of Audit Committee