DBS refines first-come, first-served ATM share application

* * *

Start time for applying shares is now 3pm; each applicant limited to no more than 3,000 shares

* * *

UTAC IPO is first offering under refined system

SINGAPORE, JANUARY 28, 2004 - DBS Bank today announced refinements to its popular "first-come, first-served" (FCFS) ATM Share Application System to enable more customers to participate in the FCFS retail tranche of IPOs and to promote a smoother banking experience at its island-wide ATM network.

From today, the start time of the application for applying the FCFS tranche is changed to the non-peak-banking-hour of 3.00pm from 12noon.

The change is to minimise any inconvenience for DBS/POSB customers who wish to conduct other ATM banking transactions during the lunch hour.

In addition, the maximum number of FCFS shares that a customer can apply for has been reduced from 5,000 to 3,000 shares.

Lastly, application for the normal public offer tranche through ATMs and internet banking will open a day after the FCFS tranche application starts. The change is to help customers distinguish clearly their applications for the two tranches.

The first IPO offered under the refined FCFS share application system is that for United Test and Assembly Centre Ltd (UTAC) which is launched today. Application for 15 million shares in the FCFS tranche opens from 3pm on January 29, 2004 at all DBS and POSB ATMs while application for 15 million balloting tranche via ATMs and internet banking services of participating banks opens from 9am on January 30, 2004. The issue will close at 12noon on February 5, 2004.

Explaining the rationale for the refinements, Kan Shik Lum, managing director of DBS' Equity Capital Markets, said:" We have received overwhelming public responses for the FCFS tranche in our last two IPO issues. These shares were snapped up in minutes, reflecting strong customer demand for the FCFS share application service, particularly during the year-end IPO boom. We consistently seek to improve our services and have been studying customer reactions and reviewing various ways to refine the FCFS system to make banking more convenient, and investing more accessible to our customers."

Mr Kan urged customers not to have other people apply for FCFS shares on their behalf as this would involve them handing over their personal ATM cards and confidential PINs. He said that this was unsafe and customers are taking risks with their bank accounts when they share their confidential PINs.

DBS Bank introduced the FCFS tranche for IPOs in December 2003 in response to retail investors' demand for more certainty of allotment of IPO shares. Shares under the FCFS tranche, made available through the Bank's 800 ATMs, are taken from the private placement tranche and are over and above the public offer tranche which is normally set aside for balloting. The FCFS system does not do away with the balloting system for share applications, but effectively boosts the total number of IPO shares available to retail investors.

The first IPO to launch a FCFS tranche was Creative Master Bermuda Ltd's IPO, followed by Speedy-Tech's IPO. Both FCFS tranches were very well received by the public.

About DBS

Headquartered in Singapore, DBS is one of the largest financial services groups in Asia. The largest bank in Singapore and one of the top five in Hong Kong as measured by assets, DBS has dominant positions in consumer banking, treasury and markets, securities brokerage, equity and debt fund raising. Beyond the anchor markets of Singapore and Hong Kong, DBS serves corporate, institutional and retail customers through its operations in Thailand, The Philippines, and Indonesia. In China, the bank has branches and representative offices in Shanghai, Beijing, Shenzhen, Fuzhou and Tianjin. The Bank's credit ratings are among the highest in the Asia-Pacific region. More information about DBS Group Holdings and DBS Bank can be obtained from our website www.dbs.com.