09:38 MB-HSI @EC0507<03806> - Announcement(2) Prospective purchasers of the Warrants should be aware that the price of the Warrants may fall in value as rapidly as they may rise and prospective purchasers should be prepared to sustain a total loss of the purchase price of their Warrants. In choosing to deal in the Warrants a prospective purchaser should consider carefully whether the Warrants are suitable for him/her in light of his/her experience, objectives, financial position and other relevant circumstances. The Issuer has appointed Macquarie Equities (Asia) Limited of 19th Floor, Citic Tower, 1 Tim Mei Avenue, Central, Hong Kong, (Broker ID Number 9557) as liquidity provider (the "Liquidity Provider") by responding to requests for bid and offer quotes for the purpose of making a market in the Warrants. A request for a quote may be obtained by calling the telephone number 2823 3788. Prospective purchasers of the Warrants should be aware that such appointment does not guarantee liquidity in the market in the Warrants, further, the Liquidity Provider may be the only market maker for the Warrants and the secondary market in the Warrants may therefore be limited. Based on the Issuer's own calculations and information, the implied volatility of the Warrants was 28.45%, effective gearing was 6.30x, gearing was 10.86x and premium was 5.89%. It should be noted that the above values should not be compared to similar information provided by other derivative warrant issuers as different issuers adopt different valuation models. The Issuer may enter into discount, commission or fee arrangements with brokers and/or any of its affiliates with respect to the primary and/or secondary market in the Warrants. In respect of the Warrants, the Issuer has entered into arrangements where it will agree to pay commission of up to 1.00% to certain brokers on behalf of clients of the relevant brokers. Such arrangements may result in a benefit to persons buying and selling the Warrants through nominated brokers by reducing the commission that would have been paid directly by such holders of the Warrants. The Issuer is regulated by the Australian Prudential Regulation Authority and is not regulated by any of the bodies referred to in Rules 15A.13(2) or (3) of the Listing Rules. The Issuer does not carry on banking business in Hong Kong. It is not an Authorised Institution under the Banking Ordinance (Chapter 155 of the Laws of Hong Kong) and therefore is not subject to the supervision of the Hong Kong Monetary Authority. The Index is published and compiled by HSI Services Limited (the "Index Compiler") pursuant to a licence from Hang Seng Data Services Limited ("Hang Seng Data Services"). The mark and name "Hang Seng Index" is proprietary to Hang Seng Data Services. The Index Compiler and Hang Sang Data Services have agreed to the use of, and reference to, the Index by the Issuer in connection with the Warrants but neither the Index Compiler nor Hang Seng Data Services warrants or represents or guarantees to any broker or holder of the Warrants or any other person the accuracy or completeness of the Index and its computation or any information related thereto and no warranty or representation or guarantee of any kind whatsoever relating to the Index is given or may be implied. The process and basis of computation and compilation of the Index and any of the related formula or formulae, constituent stocks and factors may at any time be changed or altered by the Index Compiler without notice. No responsibility or liability is accepted by the Index Compiler or Hang Seng Data Services in respect of the use of and/or reference to the Index by the Issuer in connection with the Warrants, or for any inaccuracies, omissions, mistakes or errors of the Index Compiler in the computation of the Index or for any economic or other loss which may be directly or indirectly sustained by any broker or holder of the Warrants or any other person dealing with the Warrants as a result thereof and no claims, actions or legal proceedings may be brought against the Index Compiler and/or Hang Seng Data Services in connection with the Warrants in any manner whatsoever by any broker, holder or other person dealing with the Warrants. Any broker, holder or other person dealing with the Warrants does so therefore in full knowledge of this disclaimer and can place no reliance whatsoever on the Index Compiler and/or Hang Seng Data Services. For the avoidance of doubt, this disclaimer does not create any contractual or quasi-contractual relationship between any broker, holder or other person and Index Compiler and/or Hang Seng Data Services and must not be construed to have created such relationship. 13 January 2005 Macquarie Bank Limited