09:54     COFCO INTL<00506> - Announcement (4)                                

    and due to business expansion of the Company and its subsidiaries,        
    the parties to the Tenancy Agreements had agreed to revise                
    certain terms of the Tenancy Agreements and entered into the              
    Supplemental Agreements respectively.                                     
                                                                              
    The terms of the Tenancy Agreements and the Supplemental                  
    Agreements and the rentals and managements fees payable to COFCO          
    Plaza Company are on normal commercial terms which were                   
    negotiated at arm's length. COFCO Plaza Company has ensured that          
    the rentals and management fees to be payable for the Premises            
    for the whole tenancy period are similar to those for other               
    tenants in the COFCO Plaza. The directors of the Company                  
    (including independent non-executive directors) consider the              
    rentals and management fees are fair and reasonable as far as             
    the Company and the shareholders are concerned and are in the             
    interests of the Company and its shareholders as a whole.                 
                                                                              
    INFORMATION ON THE COMPANY, COFCO INTERNATIONAL (BEIJING), COFCO          
    WINES COMPANY AND COFCO PLAZA COMPANY                                     
                                                                              
    The Company is an investment holding company. Through its                 
    subsidiaries and associated companies, it is principally engaged          
    in food processing and related businesses which include edible            
    oils, soyabean meal and related products; wineries;                       
    confectionery; trading and flour milling. COFCO International             
    (Beijing) is engaged in trading business while COFCO Wines                
    Company is engaged in providing management services in relation           
    to the wineries. COFCO Plaza Company is an investment holding             
    company holding COFCO Plaza as its major asset.                           
                                                                              
    CONTINUING CONNECTED TRANSACTIONS                                         
                                                                              
    As on the date hereof, COFCO (HK) and its associates own                  
    approximately 68.58% of the issued share capital of the Company           
    and is therefore a substantial shareholder of the Company. Since          
    COFCO Plaza Company is an associate of COFCO (HK) and is a                
    connected person of the Company under the Chapter 14A of the              
    Rules Governing the Listing of Securities on the Stock Exchange           
    (the "Listing Rules"), the executions of the Tenancy Agreements           
    and the Supplemental Agreements are regarded as continuing                
    connected transactions for the Company under the Listing Rules.           
    Since the applicable percentage ratios represented by these               
    continuing connected transactions on an annual basis are less             
    than 2.5% as provided in Rule 14A.34(1) of the Listing Rules,             
    these continuing connected transactions are subject to reporting          
    and announcement requirements under Rule 14A.34 of the Listing            
    Rules. Appropriate disclosure of these transactions will be               
    included in the next published annual report and accounts of              
    the Company in accordance with the Listing Rules.                         
                                                                              
    By Order of the Board                                                     
    COFCO International Limited                                               
    Yu Guangquan                                                              
    Managing Director                                                         
                                                                              
    Hong Kong, 21st January, 2005                                             
                                                                              
    Note :  In this announcement, RMB has been translated into Hong           
    Kong dollars at the rate of HK$1=RMB1.06 for reference purpose.           
                                                                              
    As on the date of this announcement, our Executive Directors              
    are Messrs. Zhou Mingchen, Liu Fuchun, Yu Guangquan, Xue Guoping,         
    Liu Yongfu, Ng Eng Leong and Qu Zhe; our Independent                      
    Non-Executive Directors are Messrs. Francis Yuen Tin Fan and              
    Liang Shangli.