General Announcement Reference No O&-050511-62783

Submitting Merchant Bank	:	K & N KENANGA BHD
Company Name	:	ASIAEP BHD (MESDAQ Market)
Stock Name	:	ASIAEP
Date Announced	:	11/05/2005

Type	:	Announcement
Subject	:	ASIAEP BERHAD ("ASIAEP" OR THE "COMPANY") FOURTH QUATERLY REPORT FOR THE FINANCIAL YEAR ENDED 28 FEBRUARY 2005 ("Fourth Quarter Report")

Contents :

The Company wishes to announce that it had, on 9 May 2005, received a notice from Bursa Malaysia Securities Berhad ("Bursa Securities") that the Company has failed to submit the Fourth Quarter Report to Bursa Securities within the stipulated timeframe of not later than two (2) months from the end of asiaEP's last quarter i.e. 30 April 2005 ("Due Date") and that Bursa Securities shall impose a suspension on the trading of the Company's shares in the event that the Fourth Quarter Report is not submitted within three (3) months from the Due Date.

The Company wishes to clarify that the Fourth Quarter Report was not submitted before the Due Date as the Company was engaged in and continues to be engaged in on-going discussions with its auditors resulting in a delay in coming to an agreement with regards to the accounting treatment of certain items of the Company's financial accounts and the inability to come to a satisfactory conclusion as of to-date. In the interest of disseminating consistent financial results under the Fourth Quarter Report to that of the Company's audited annual report, the Company has taken the position to delay the announcement of the Fourth Quarter Report until such time the accounting treatments can be satisfactorily resolved with the Company's auditors. Nonetheless, the Company is expected to publicly release the Fourth Quarter Results before 15 June 2005.

This announcement is dated 11 May 2005.