Company Name	:	IRE-TEX CORPORATION BERHAD
Stock Name	:	IRETEX
Date Announced	:	27/02/2008

Type	:	Announcement
Subject	:	DISPOSAL BY IRE-TEX CORPORATION BERHAD OF THE ENTIRE 100% STAKE IN IRE-TEX PACKAGING MATERIAL (SUZHOU) CO LTD

Contents :

1. INTRODUCTION

The Board of Directors of Ire-Tex Corporation Berhad ("ITCB" or the "Company") wishes to announce that the Company had disposed of 100% equity interest in Ire-Tex Packaging Material (Suzhou) Co Ltd ("ITSZ") comprising United States Dollar ("USD") 650,000 value of registered shares ("the Shares") to Lim Bean Teong, Ooi Bee Bee and Chng Eng Chin ("the Purchasers") for a cash consideration of Chinese Renminbi One (RMB1.00) only ("the Disposal") on 27 February 2008.

2. DETAILS OF THE DISPOSAL

The Disposal was made for a cash consideration of RMB1.00, which was arrived at on a "willing-buyer willing-seller" basis after taking into account the audited net tangible assets ("NTA") of ITSZ of RMB 8,654 as at 31 December 2006 and the unaudited NTA of RMB 58,092 as at 31 December 2007. The original cost and date of investment were as follows : -

Date of Investment Value of Shares % held Cost of Investment

21 November 2003	USD 250,000	100	RM 1
10 December 2004	USD 400,000	100	RM 1,520,000
	-------------------------	-----	-------------------------
	USD 650,000	100	RM 1,520,001
	=============	=====	=============

2.1 Information on ITSZ

ITSZ was registered on 17 April 2001 in the People's Republic of China ("PRC"). The authorised share capital of ITSZ is USD 920,000 value of shares, of which USD 650,000 value of shares are issued and fully paid-up.

The principal activities of ITSZ were manufacture and sales of protective packaging materials for computers and electronic products. However ITSZ has ceased operations.

ITSZ does not have any subsidiary or associated companies.

3. RATIONALE FOR THE DISPOSAL

ITSZ is being disposed of as it has ceased operations and there are no plans to continue with its previous business.

4. EFFECTS OF THE DISPOSAL

The Disposal will not have any effect on the share capital and substantial shareholding structure of ITCB.

The Disposal will not have any material impact on the earnings and net assets of the Company for the financial year ending 31 December 2008 except for the estimated loss of RM27,019 arising from the Disposal.

5. CONTITIONS PRECEDENT TO THE DISPOSAL

The Disposal is not subject to the approval of the shareholders of the Company and the relevant government authorities.

6. DIRECTOS' AND MAJOR SHAREHOLDERS' INTERESTS

None of the Directors or major shareholders of the ITCB Group or any persons connected to the Directors and/or major shareholders of ITCB have any interest, direct or indirect, in the Disposal.

7. DIRECTORS' RECOMMENDATION

The Board of Directors of ITCB, having considered all aspects of the Disposal, is of the opinion that the Disposal is fair and reasonable and is in the best interest of the Company.

8. DEPARTURE FROM THE SECURITIES COMMISSION'S Policies and Guidelines on Issue/Offer of Securities ("SC GUIDELINES")

To the best of the knowledge and belief of the Directors of ITCB, the Disposal does not depart from the SC Guidelines issued by the Securities Commission.

This announcement is dated 27 February 2008.