09:41     CHINA HAIDIAN<00256> - Announcement (2)                             

    announcement will be made on or before 31 December                        
    2004 as the Company required additional time to                           
    provide information to the Stock Exchange for                             
    relaxation of the requirements to include an                              
    accountants' report on the company being acquired to                      
    be incorporated in the Circular under Rule                                
    14.67(4)(a)(i) of the Listing Rules. Further, the                         
    Company announced in its announcement dated 31                            
    December 2004 that the despatch of the Circular will                      
    be further delayed to on or before 21 January 2005                        
    as the Company required additional time to provide                        
    further information to the Stock Exchange for                             
    relaxation of the requirements under Rule                                 
    14.67(4)(a)(i) of the Listing Rules.                                      
                                                                              
    Based on the information provided to the Stock                            
    Exchange, the Stock Exchange has indicated to the                         
    Company that it would not relax the requirements to                       
    include an accountants' report on the company being                       
    acquired in the Circular under Rule 14.67(4)(a)(i)                        
    of the Listing Rules.                                                     
                                                                              
    In view of the above, the Purchasers require                              
    additional time to discuss with the management and                        
    the existing shareholders of Beijing Haidian to                           
    explore the possibility to commence audit work of the                     
    Beijing Haidian Group for the three years ended 31                        
    December 2004 in order to comply with Rule                                
    14.67(4)(a)(i) of the Listing Rules and discuss with                      
    the Vendors to extend the completion date of the                          
    Acquisition. As the Purchasers will only be                               
    interested in 21% of Beijing Haidian, the Purchasers                      
    may or may not be able to convince the management and                     
    the existing shareholders of Beijing Haidian for the                      
    permission to commence audit work of the Beijing                          
    Haidian Group for the three years ended 31 December                       
    2004, therefore further announcement will be made by                      
    the Company to inform the Shareholders in this regard                     
    as soon as practicable.                                                   
                                                                              
    The Company has applied to the Stock Exchange for a                       
    waiver from strict compliance with Rules 14.38 and                        
    14.40 of the Listing Rules so that the despatch of                        
    the Circular will be postponed.                                           
                                                                              
    As at the date of this announcement, the executive                        
    Directors are Mr. Hon Kwok Lung, Mr. Wang Shaolan,                        
    Mr. Shang Jian Guang, Mr. Shi Tao and Mr. Lam Toi Man;                    
    the non-executive Director is Ms. Sit Lai Hei; and                        
    the independent non-executive Directors are Mr. Fung                      
    Tze Wa, Dr. Kwong Chun Wai, Michael and Mr. Li Qiang.                     
                                                                              
    By Order of the Board                                                     
    China Haidian Holdings Limited                                            
    Hon Kwok Lung                                                             
    Chairman                                                                  
                                                                              
    Hong Kong, 21 January 2005