General Announcement

Reference No CC-071206-92326

Company Name

:

IRE-TEX CORPORATION BERHAD

Stock Name

:

IRETEX

Date Announced

:

06/12/2007

Type

:

Announcement

Subject

:

INCREASE IN CAPITAL OF SUZHOU STYROTEX PLASTIC COMPANY LIMITED BY STYROTEX (ASIA PACIFIC) SDN. BHD., A SUBSIDIARY COMPANY OF IRE-TEX CORPORATION BERHAD

Contents :

1. Increase in capital of Suzhou Styrotex Plastic Company Limited.

Further to the announcement dated 30 May 2007, the Board of Directors of Ire-Tex Corporation Berhad ("ITCB" or "the Company") wishes to announce that Styrotex (Asia Pacific) Sdn. Bhd. ("SAPSB"), a subsidiary company of ITCB has made payment to subscribe for additional capital amounting to United States Dollar ("USD") 149,980 in the registered capital of its wholly owned subsidiary company, Suzhou Styrotex Plastic Company Limited ("SSPC") in the People's Republic of China ("PRC") which has been verified on 28 November 2007. With the latest increase in capital the current total registered capital of SSPC is USD532,436.

2. Rationale for the increase in capital of SSPC.

The increase in capital of SSPC is to fund the capital expenditure and additional working capital requirements of SSPC.

3. Effects of the increase in capital of SSPC.

The increase in capital of SSPC is not expected to have any material impact on the earnings and net assets of the Company for the financial year ending 31 December 2007. The increase in capital of SSPC will not have any effect on the share capital and substantial shareholders' shareholding of ITCB as it was by cash.

4. Approvals Required.

The increase in capital of SSPC is not subject to the approval of any governmental authorities or the shareholders of the Company.

5. Directors' and Major Shareholders' Interests.

None of the Directors and/or major shareholders of ITCB and/or persons connected with them have any interests, direct or indirect, in the increase in capital of SSPC.

6. Directors' Statement.

The Board of Directors of ITCB is of the opinion that the increase in capital of SSPC is in the best interest of the Company.

7. Compliance with the Securities Commission's Policies and Guidelines on Issue/Offer of Securities ("SC Guidelines").

The Board of Directors of ITCB is of the opinion that the increase in capital of SSPC is in the best interest of the Company.