7, Company No.: 800165-P BUSINESS OF OUR GROUP (Cont'd) 78 PLANTATIONS BUSINESS In Malaysia, we cultivate and harvest FFB on 343,521 hectares of oil palm plantation estates on the FELDA-Leased and Managed Land. These oil palm plantation estates comprise 335,241 hectares of FELDA-leased Land and 8,280 hectares in Sarawak which we manage under the Sarawak Land Management Agreement. In addition to oil palms, in our rubber plantation operations, we cultivate and harvest cup lumps on 10,308 hectares of rubber plantations on the FELDA-Leased and Managed Land, all of which we sell to F Rubber Industries, a subsidiary of FHB, as raw materials for its production of rubber products. Timber is also grown on approximately 2,035 hectares of the FELDA-Leased and Managed Land Outside of Malaysia, we operate in the plantations business in Indonesia, We have a joint venture, Trurich, which owns oil palm plantation land in East and Central Kalimantan, Indonesia, and we have acquired a 95% equity interest in PT Citra Niaga, which owns land to be developed into oil palm plantations in West Kalimantan, Indonesia. FHB, our 49%-owned associate, is the largest producer of CPO in the world based on production volume, having produced 3.3 millon MT of CPO in 2011. F Palm Industries, which is a subsidiary of FHB, purchases from us substantially all of the FFB produced on the oil palm plantation estates on the FELDA-Leased and Managed Land pursuant to contractual arrangements between F Palm Industries and us. F Palm Industries produces CPO and PK using the FFB it acquires from us, as well as the FFB it acquires from FELDA Settlers, third parties and F Agricultural, a subsidiary of FHB. F Palm Industries sells to us substantially all of the total GPO that it produces, other than the CPO used by its subsidiary DOP. We resell all of this CPO to third-party customers, such as refiners and traders in Malaysia and abroad, to our joint ventures and to FHB's various subsidiaries and its associate, MEO, for their production of palm oil-based products. For a summary of the terms of the contractual arrangements between F Palm industries and us, refer to Section 7.22 of this Prospectus, and for more information on FHB's palm oil mills and PK crushing piants, refer to Section 7.11.1.1 of this Prospectus, In addition, FHB processes raw rubber, including the cup lumps that we produce on our rubber plantations on the FELDA-Leased and Managed Land, into rubber products in its processing facilities. For more information on FHB's rubber processing facilties, refer to Section 7.11.3.1 of this Prospectus. 7.6.4 Plantation products We produced 5,363,849 MT, 4,856,078 MT and 5,197,344 MT of FFB in 2009, 2010 and 2011, respectively, and 1,018,978 MT and 1,145,557 MT of FFB in the three months ended 31 March 2011 and 2012, respectively. We sell substantially all of our FFB to F Palm Industries. Sales of FFB accounted for RM2,219.2 million, RM2,596.5 millign and RM3,183.8 million of our total pro forma revenue for 2008, 2010 and 2011, respectively, and RM752.2 million and RM460.8 million of our total revenue for the three months ended 31 March 2011 and 2012, respectively. Effective from 1 March 2012, when we entered into contractual arrangements with F Palm Industries, we will no longer recognise revenue from our FFB sales to F Palm industries. In addition to oil palm plantation products, we also produce rubber piantation products, We produced 8,135 MT, 5,895 MT and 7,269 MT of cup lumps in 2009, 2010 and 2011, respectively, and 1,541 MT and 1,498 MT of cup lumps in the three months ended 31 March 2011 and 2012, respectively. We sell all of our cup lumps to F Rubber Industries, a subsidiary of FHB, as raw materials for its production of rubber products. Sales of cup lumps accounted for RM45.6 million, RMS8.5 milion and RM89.9 million of our total pro forma revenue for 2009, 2010 and 2011, respectively, and RM23.2 million and RM14.9 milion of our total revenue for the three months ended 31 March 2011 and 2012, respectively. 1617, ‘Company No.: 800165-P BUSINESS OF OUR GROUP (Cont'd) 7.6.2 Plantation production facilities The production faciities of our plantations business primarily consist of oll palm plantations, with @ small portion of rubber plantations. The following maps show the locations of the oil palm plantations on the FELDA-Leased and Managed Land (indicated as shaded areas) in Peninsular Malaysia, Sabah and Sarawak (The rest of this page has been intentionally eft biank) 152Company No.: 8001 BUSINESS OF OUR GROUP (Cont'd) ur Plantation Estates in Peninsular Malaysia cepa ‘ i. i)