The board of directors (the “Board" or “Directors") and Management of Pan Asian Holdings Limited (the “Company" and together with its subsidiaries, the “Group") are committed to maintaining a high standard of corporate governance to facilitate effective management and safeguard the interests of the Company's shareholders.

This Corporate Governance Report outlines the Company's corporate governance processes and activities that were in place for the financial year ended 31 December 2019 (“FY2019"), with specific reference to the principles and provisions of the Singapore Code of Corporate Governance 2018 (the “Code") and the disclosure guide (the “Guide") developed by the Singapore Exchange Securities Trading Limited (“SGX—ST").

The Company is generally in compliance with the principles and guidelines set out in the Code and the Guide. Where there are deviations from the Code and Guide. the Board has considered the alternative practices adopted are sufficient to meet the underlying objectives of the Code and Guide. Appropriate explanations have been provided in the relevant sections where there were deviations.