deed of novation of franchise agreement with c

3 November 2011
To All Concerned
DEED OF NOVATION OF FRANCHISE AGREEMENT WITH CHERIE HEARTS CHILD DEVELOPMENT PTE LTD
1. We refer to the above matter and our letter of 13 July 2011.
2. As earlier mentioned, our parent company, Cherie Hearts Group International Pte Ltd (“CHGI”), and
the founders of the Cherie Hearts Group have commenced legal proceedings in the Singapore High
Court against G8 Education (“G8”) in relation to certain disputes, which include the sale and
purchase of the businesses owned by the Cherie Hearts Group (the “Suit”).
3. We are pleased to inform you that the first tranche of the Suit, which will determine Cherie Hearts
Group’s claims against G8, recently concluded on 21 October 2011. Parties are currently in the
midst of exchanging written submissions and we are advised that judgment on the same will be
released in early 2012.
4. In the meanwhile, please be assured that pending the release of the above-mentioned judgment,
the Cherie Hearts Group will not be taking any action that would affect the operations of each of
the franchise child care centres. Hence, please be assured that the operations of each of the
franchise child care centres will remain unaffected.
5. We will write to you again to keep you informed of the outcome of the legal proceedings.