ANNAIK LIMITED

(Company Registration No. 197702066M)

(Incorporated in Singapore with limited liability)

WITHDRAWAL OF THE BONUS ISSUE

The Directors of ANNAIK LIMITED(the "Company") wish to announce that the company will not be proceeding with
the proposed 1 for 4 bonus issue ("Bonus Issue") which was announced on 19 February 2008 as it is unable to comply with Rule
838 of the Listing Manual of the Singapore Exchange Securities Trading Limited in respect of the market price of its shares
after adjusting for the Bonus Issue.This is because the market price of the Company's shares for the past one month has
been adversely affected by the weak sentiment in the Singapore securities market following the recent turmoil in the global
financial.

By Order of the Board

Ng Kim Keang
Director

Singapore, 28 March 2008