3rd Quarter 2008

Message from the CEO

Dear Shareholders,

To date 2007/2008 has been a good year for HELP International Corporation.

Financial Performance
Overall, our student numbers have increased significantly particularly in Business Studies, American Degree Transfer Program, Foundation Studies, A-Levels, and Law.

Our recruitment drive both overseas and locally is producing good results.

HELP University College is growing from strength to strength both in student numbers and financially. For the first 9 months, its revenue increased by 23% and profits increased by 33%.

HELP International College of Technology (HICT) (formerly SIT), which was acquired in November 2007 has yet to turn around, however, we are starting to see improvements from last year’s performance. Total revenue for the last 9 months increased by 30% from RM4.5 million in 2007 to RM5.8 million in 2008. Losses decreased from RM2.7 million to RM2.0 million respectively. Over the last 9 months, HICT has been active in its promotion using the tag line “HELP is here in Klang”. We are receiving very positive from the schools and the Education Department in Klang. 2009 should be a much better year for HICT. It should contribute positively to the HELP Group.

Academic  Programs
Currently we have 88 programs approved by the Ministry of Higher Education (MOHE) of which 60 are homegrown, and 28 are twinning programs with our partner universities.

Franchised Programs
Our program export is growing. By end October, total enrolment should exceed 1000.

Currently, in Vietnam we have approximately 400 undergraduate and 200 postgraduate students. For this coming October intake, we received 600 applications. ISVNU, our partner has proposed to raise the entry requirement and limit the intake to 400 students this year so that we are able to further raise the academic standards and quality.

By year end, we will be starting a centre in Cambodia.

Academic Performance
Academically, our students continue to perform well. This year, 8 of our students scored First Class Honours from our partner universities. One of our students who scored a first class in Business from the University of Queensland also received the University Medal for outstanding performance, and she is the only Asian student to receive it this year.

One of our A-Levels students was also awarded a scholarship by the Government Investment Corporation (GIC) Singapore.

Sports Achievement
Our students continue to excel in sports. HELP University College is the sports champion amongst private institutions, they won the Malaysian Association of Private Colleges and Universities (MAPCU) Sports Trophy for the sixth year in a row.

University Status
We will be submitting our application to the MOHE to apply for the University status and hopefully we should receive a positive reply now that we have definite plans for an integrated campus in Subang 2.

We have also been increasing our staff strength by employing more PhD holders and supporting existing staff to pursue their doctorate degrees.

Over the next 12 months we will be conducting a major exercise to move the twinning programs with our foreign partners from HELP University College to HELP Academy. The MOHE has advised us that when HUC becomes a University we should focus on developing our own homegrown programs and build up the University.

Next year, when the moratorium period is over, we will apply for HELP Academy to be renamed to HELP Institute, which is what we are still famously known as.

We continue to be upbeat about the HELP Group as we are going through a significant change in our history.

Our HELP shares have also been stable during the financial crisis as education shares are recession proof.

We want to thank our shareholders, students, parents, teachers and the public for believing in us, and who continue to hold on to our shares as they know that our fundamentals are sound.


Best regards

Datin Chan-Low Kam Yoke