09:42     KWONG SANG HONG<00189>-Announcement&Resumption of Trading(3)        

    2. The Scheme will become effective when it is sanctioned                 
    (with or without modification) by the Supreme Court and an                
    office copy of the Supreme Court order is delivered to the                
    Registrar of Companies in Bermuda for registration and is                 
    registered.  Registration is expected to take place in the                
    morning on Friday, 21st January, 2005 (Bermuda time) (which               
    will be the evening on Friday, 21st January, 2005 (Hong Kong              
    time)).  However, in the event that not all of the                        
    Conditions have been fulfilled (or, as applicable, waived)                
    by Friday, 14th January, 2005, being the proposed date of                 
    the Supreme Court hearing of the petition to sanction the                 
    Scheme, the timetable of events thereafter will be subject                
    to change.  KSH Independent Shareholders should note the                  
    Conditions to the Proposal set out in the Scheme Document.                
                                                                              
    APPLICATION FOR WITHDRAWAL OF LISTING                                     
                                                                              
    An application for the withdrawal of the listing of the KSH               
    Shares has been made to the Stock Exchange.  Subject to the               
    approval of the Stock Exchange, it is expected that the last              
    day of dealing in the KSH Shares on the Stock Exchange will               
    be on Monday, 17th January, 2005 and the listing of the KSH               
    Shares on the Stock Exchange will be withdrawn with effect                
    from 9:30 a.m. on Monday, 24th January, 2005.                             
                                                                              
    REGISTRATION AND PAYMENT                                                  
                                                                              
    Scheme Shareholders should ensure that their KSH Shares are               
    lodged for registration in their names or in the names of                 
    their nominees with the Hong Kong branch share registrars                 
    of KSH, Computershare Hong Kong Investor Services Limited,                
    at Shops 1712-1716, 17th Floor, Hopewell Centre, 183                      
    Queen's Road East, Wanchai, Hong Kong not later than 4:00                 
    p.m. on Thursday, 20th January, 2005 in order to qualify                  
    for their entitlements under the Proposal.  Cheques for                   
    cash entitlements to the Cancellation Price are expected                  
    to be despatched to the Scheme Shareholders and/or their                  
    respective successors on or before Monday, 31st January,                  
    2005.                                                                     
                                                                              
    SUSPENSION AND RESUMPTION OF TRADING IN SHARES                            
                                                                              
    At the request of KSH, trading in the KSH Shares on the Stock             
    Exchange was suspended with effect from 9:30 a.m. on                      
    Wednesday, 5th January, 2005 pending the release of this                  
    announcement.  An application has been submitted to the                   
    Stock Exchange for the resumption of trading in the KSH                   
    Shares with effect from 9:30 a.m. on Thursday, 6th January,               
    2005.                                                                     
                                                                              
    By Order of the board of                                                  
    Power Jade Limited                                                        
    Thomas Lau, Luen-hung                                                     
    Director                                                                  
                                                                              
    By Order of the board of                                                  
    The Kwong Sang Hong International Limited                                 
    Thomas Lau, Luen-hung                                                     
    Chairman                                                                  
                                                                              
    5th January, 2005                                                         
                                                                              
    As at the date of this announcement, the KSH Board comprises              
    Mr. Thomas Lau, Luen-hung, Mr. Joseph Lau, Luen-hung, Mr.                 
    Simon Lo, Lin-shing and Mr. Wilson Cheng, Kam-biu as                      
    executive directors; Mr. Gerald To, Hin-tsun and Ms.                      
    Loretta Lau, Suk-han as non-executive directors; and Mr.                  
    Alan Lam, Man-bun, Ms. Phillis Loh, Lai-ping, Mr. Matthew                 
    Hui, Chuen-fan and Mr. William Tsui, Hing-chuen as                        
    independent non-executive directors.                                      
                                                                              
    The KSH Directors jointly and severally accept full                       
    responsibility for the accuracy of the information                        
    contained in this announcement (other than those relating                 
    to Power Jade) and confirm, having made all reasonable                    
    enquiries, that to the best of their knowledge, opinions                  
    expressed in this announcement (other than those relating                 
    to Power Jade) have been arrived at after due and careful                 
    consideration and there are no other facts not contained                  
    in this announcement (other than those relating to Power                  
    Jade), the omission of which would make any statements in                 
    this announcement (other than those relating to Power Jade)               
    misleading.