ITMAX System Berhad announced that Southmax Sdn Bhd had on 18 March 2024 accepted the letter of award ("LOA") dated 17 March 2024 awarded by Majlis Perbandaran Kulai (hereinafter referred to as "MPKu") in relation to the provision of video surveillance and traffic light system services which includes a smart command centre, a closed circuit camera system with artificial intelligence features and traffic light system on a monthly subscription ("Services") in MPKu area for a period of 15 years commencing from 26 March 2024 to 25 March 2039 ("Contract Period"), for a contract sum of Ringgit Malaysia Seventy Seven Million and Eighty Five Thousand only (MYR 77,085,000.00). Under the salient terms of the LOA, SSB is required to provide the following to MPKu: (i) a non-cancellable performance bond of Ringgit Malaysia Two Hundred Fifty Six Thousand Nine Hundred and Fifty only (MYR 256,950.00) commencing 26 March 2024 up to 12 months after the completion of the contract or the date of the last obligation, whichever is later; (ii) a non-cancellable Insurance policy covering the Contract Period amounting to Ringgit Malaysia Seventy Seven Million and Eighty Five Thousand only (MYR 77,085,000.00); (iii) a Public Liability Insurance Policy covering the Contract Period, defect liability period and 6 months, amounting not less than Ringgit Malaysia Two Hundred Thousand only (MYR 200,000.00); (iv) a Workmen Compensation Insurance Policy covering the Contract Period amounting to Ringgit Malaysia Seventy Seven Million and Eighty Five Thousand only (MYR 77,085,000.00).