09:05     DAHE MEDIA<08243> - Announcement                                    

                                                                              
    The Stock Exchange of Hong Kong Limited (the `Stock Exchange') takes      
    no responsibility for the contents of this announcement, makes no         
    representation as to its accuracy or completeness and expressly           
    disclaims any liability whatsoever for any loss howsoever arising         
    from or in reliance upon the whole or any part of the contents of         
    this announcement.                                                        
                                                                              
                                                                              
    NANJING DAHE OUTDOOR MEDIA CO., LTD.*                                     
    (a joint stock limited company incorporated in the People's Republic      
    of China)                                                                 
    (the `Company')                                                           
    (Stock Code: 8243)                                                        
                                                                              
    CONNECTED TRANSACTION                                                     
    PROVISION OF FINANCIAL ASSISTANCE TO SUBSIDIARY                           
                                                                              
                                                                              
    This announcement is made pursuant to Rule 20.66 of the GEM               
    Listing Rules in connection with the provision of financial               
    assistance by the Company to the JV Company, a 60% directly owned         
    subsidiary of the Company. The Company, JV Company and Jia Hua  have      
    entered into the Loan Agreement on 29th December 2004. Pursuant to        
    the Loan Agreement, the Company has agreed to provide loan facilities     
    of a principal amount of RMB10,000,000 to the JV Company and Jia Hua      
    will be guarantor to the loan.                                            
                                                                              
    The JV Company is a non wholly-owned subsidiary of the Company.           
    Chongqing Basu, holds 40% interests of the JV Company, is a               
    substantial shareholder of the JV Company. Jia Hua  is a director of      
    the JV Company and holding 80% ultimate beneficial interest of            
    Chongqing Basu. Accordingly, the JV Company is a connected person of      
    the Company as defined under the GEM Listing Rules. The Company's         
    provision of financial assistance to the JV Company pursuant to the       
    Loan Agreement thus constitutes a connected transaction for the           
    Company under Rule 20.13(2) of the GEM Listing Rules.                     
                                                                              
    Each of the percentage ratios (other than the profits ratio) of the       
    aggregate value of financial assistance provided by the Company under     
    the Loan Agreement is less than 25% and the total value of the            
    financial assistance plus any preferential benefit to the connected       
    person or the relevant company is less than HKD10,000,000, and the        
    Loan Agreement is on normal commercial terms, the provision of the        
    financial assistance thereunder is exempt from the approval of the        
    independent shareholders of the Company but subject to the disclosure     
    requirements under Rule 20.66 of the GEM Listing Rules.                   
                                                                              
                                                                              
    By Order of the Board                                                     
    Nanjing Dahe Outdoor Media Co., Ltd.                                      
                                                                              
    He Chaobing                                                               
    Chairman and Executive Director                                           
                                                                              
    Nanjing, the PRC,                                                         
    5 January 2005                                                            
    The above announcement is a summary only. For the full version of         
    this announcement, please refer to the `Latest Company Announcements'     
    page on the GEM website at www.hkgem.com.                                 
                                                                              
     * For identification purpose only