In the Sept. 9, 2002, issue of BusinessWeek, Asian Edition, we published an article titled "Stirring up Singapore Inc." In that article, certain passages appeared which could be understood to make defamatory allegations concerning the development bank of Singapore Ltd. ("DBS Bank"). These allegations are as follows:
-- That in order to enable Temasek Holdings (Pte) Ltd. ("Temasek Holdings"), a significant shareholder of DBS Bank's parent company DBS Group Holdings Ltd., to get a noncore asset NatSteel Ltd. off its back, DBS Bank was prepared to fund a planned management buyout of NatSteel with an inexpensive loan.
-- That in so acting, DBS Bank improperly favored Temasek Holdings.
-- That DBS Bank had therefore failed to act in the interests of shareholders of DBS Group Holdings.
We never intended to make any such allegations and have no basis to do so. We apologize to DBS Bank and its chairman and board of directors for any misunderstanding.
The article was also incorrect in stating:
-- That DBS Bank had overpaid for a consumer bank in Korea. In fact, DBS Bank did not buy any consumer bank in Korea. BusinessWeek had previously corrected this (Nov. 25, 2002, issue, Asian edition).
The article further stated that DBS Bank's merger with POSBank preserved the two competing networks of retail branches and ATMs. We recognize that DBS's position is that the two networks are complementary rather than competing.