SIA ENGINEERING COMPANY LIMITED

(Incorporated in the Republic of Singapore)

Invitation in respect of 113,100,000 Vendor Shares comprising:-

(i) 81,629,000 Placement Shares at S$2.05 each by way of placement; and

(ii) 31,471,000 Offer Shares (including Reserved Shares) comprising:-

(a) 9,471,000 Reserved Shares at S$2.05 each for directors, employees, business associates and others who have contributed to our success and the success of our subsidiaries and associated companies; and

(b) 22,000,000 Offer Shares at S$2.05 each by way of public offer,

payable in full on application

The Board of Directors of Singapore Airlines Limited (the "Vendor") is pleased to announce that, at the close of the Application List at 8.00 a.m on 10 May 2000, there were 57,719 applications for the 22,000,000 Offer Shares available to the public for subscription. In total, these subscribers applied for 205,195,000 Offer Shares, with application moneys received amounting to approximately $420.65 million.

Based on the 22,000,000 Offer Shares, the offer to the public is approximately 9.3 times subscribed.

To ensure a reasonable spread of shareholders of SIA Engineering Company Limited ("SIAEC"), the Board of Directors of the Vendor has decided on the following basis of allotment:-

Of the 81,629,000 Placement Shares, 81,478,000 Placement Shares have been successfully subscribed for. The balance of 151,000 Placement Shares were not successfully subscribed as a result of invalid applications. Of such unsubscribed shares, 148,000 Placement Shares were subsequently included in the Offer Shares for subscription by the public. The other unsubscribed 3,000 Placement Shares were underwritten by the joint lead managers. The spread of placees is as follows:-

Of the 9,471,000 Reserved Shares, 7,328,000 Reserved Shares have been successfully subscribed for by the directors, employees, business associates and others who have contributed to the success of SIAEC and the success of its subsidiaries and associated companies. Accordingly, the balance of 2,143,000 Reserved Shares were included as Offer Shares for subscription by the public. The spread of the Reserved Shares is as follows:-

SIAEC's Shares will commence trading on a "ready" basis on 12 May 2000. There will be NO trading on a "when-issued" basis.

The return of unsuccessful applications using printed Application Forms by ordinary post at the risk of the unsuccessful applicants, together with the full amount of the application moneys (without interest or any share of revenue or other benefit arising therefrom), will commence today and is expected to be completed by 16 May 2000. For unsuccessful Electronic Applications, it is expected that the full amount of the application moneys (without interest or any share of revenue or other benefit arising therefrom) will be credited to the applicants' accounts with their Participating Banks (as defined in the Prospectus dated 4 May 2000) within three market days after the close of the Application List.

In respect of partially successful applications, the balance of the application moneys is expected to be refunded (without any interest or any share of revenue or other benefit arising therefrom) to the applicants, by ordinary post at their own risk (in the case of applications made using printed Application Forms) or through the crediting of the relevant amount to the applicants' accounts with their Participating Banks (in the case of Electronic Applications) within 14 days after the close of the Application List.

The Board of Directors of SIAEC is pleased to advise that CPF members may, with effect from the date on which the SIAEC's Shares are traded as indicated above, use their CPF savings (subject to the 50 per cent. sub-limit) to purchase the SIAEC's Shares under and subject to the requirements of the CPF Investment Scheme.

The Vendor and SIAEC wishes to thank the public who have applied for the Offer Shares and the Placement Shares, the relevant authorities and all who have helped in one way or another in the SIAEC's public offering, for their support and assistance.

DBS Bank and POSBank customers who APPLY USING CASH ONLY, may call the DBS IPO Results Enquiry Service at 327 4767 to check the provisional results of their IPO applications. Customers will be required to enter their CDP Securities Account Number when utilising the automated service.

DBS Bank and POSBank customers who APPLY USING CPF or CASH AND CPF, may call the DBS Autophone 1800-222 2222 to check the provisional results of their IPO applications. Customers must have an Autophone Account to utilise the automated service.

Issued by
The Development Bank of Singapore Ltd
MERRILL LYNCH (SINGAPORE) PTE. LTD.

For and on behalf of
SIA Engineering Company Limited and Singapore Airlines Limited