10:08     LIPPO<00226> & LIPPO CHINA RES<00156> - Joint Ann. (7)              

    Arrangements:                                                             
    After Completion, the Chunex Arrangements                                 
    constituted connected transactions under Rule                             
    14.23(1)(a) of the Previous Rules by virtue of:                           
                                                                              
    (i)     Chunex being an indirect non wholly-owned                         
    subsidiary of Lippo and LCR as Mr. Wong Senior                            
    continues to hold, after Completion and through SWIPL                     
    (a company of which Mr. Sean Wong, his son, is the                        
    trustee and a wholly-owned subsidiary of SFSB), the                       
    remaining 25 per cent. of the total issued and paid                       
    up capital of Chunex not acquired by the Auric Group                      
    under the Singaporean Agreement;                                          
                                                                              
    (ii)    Mr. Wong Senior is the controlling shareholder                    
    of the Malaysian Vendors which after Completion until                     
    the Changed Shareholding Date, held the remaining 30                      
    per cent. of the total issued and paid up capital of                      
    ACY and APFP not acquired by the Auric Group under                        
    the Malaysian Agreement. Shareholders of Lippo and                        
    LCR should however note that after the Changed                            
    Shareholding Date, the Malaysian Vendors'                                 
    shareholding interests in each of ACY and APFP has                        
    been reduced to 25 per cent. of their respective total                    
    issued share capital which resulted in ACY and APFP                       
    ceasing to be an associate of a connected person of                       
    Lippo and LCR (as such terms are defined in the Listing                   
    Rules) and therefore ceased to constitute a connected                     
    person; and                                                               
                                                                              
    (iii)   the directorships in ACY, APFP and Chunex held                    
    by Mr. Sean Wong.                                                         
                                                                              
    Accordingly, such Chunex Arrangements were subject                        
    to the disclosure requirements of the Previous Rules                      
    as part of the Aggregate Connected Transactions,                          
    further details of which are set out below. The Chunex                    
    Arrangements however ceased to constitute connected                       
    transactions on 31st March, 2004, being the date on                       
    which the Previous Rules ceased to be effective and                       
    Rule 14A.11(5) of the Listing Rules came into effect                      
    resulting in Chunex no longer constituting a                              
    connected person of Lippo and LCR as a non                                
    wholly-owned subsidiary of Lippo and LCR as only 25                       
    per cent. of the total issued and paid up capital of                      
    Chunex not acquired by the Auric Group under the                          
    Singaporean Agreement is held by Mr. Wong Senior                          
    through his associate, SWIPL.                                             
                                                                              
    CONNECTED TRANSACTIONS ONLY BETWEEN THE COMPLETION                        
    DATE AND THE CHANGED SHAREHOLDING DATE                                    
    Particulars of the Trading Arrangements:                                  
    After Completion, ACY and APFP were parties to a                          
    number of trading arrangements with each other and                        
    Chunex. The Trading Arrangements were entered into                        
    on normal commercial terms from time to time as                           
    follows (including terms as regards the payment                           
    method and credit periods for the relevant products)                      
    and such terms were on substantially similar terms                        
    to those detailed in the paragraph of this                                
    announcement below headed "Particulars of the Ongoing                     
    Arrangements":                                                            
                                                                              
    Parties                                                                   
    Nos.    Buyer   Seller  Description of Transactions                       
            Products                                                          
                                                                              
    1.      ACY     APFP    APFP sells to ACY       Margarine and             
    butter products                                                           
                                                                              
    2.      APFP    ACY     ACY sells to APFP products      ACY               
    imports raw ingredients                                                   
                            and sells to APFP including                       
                            anhydrous milk fat, milk