10:09     LIPPO<00226> & LIPPO CHINA RES<00156> - Joint Ann. (8)              

                            powder, etc.                                      
                                                                              
    3.      Chunex  ACY     Chunex may buy from ACY from time to              
    time,   General foodstuff                                                 
                    usually when Chunex is facing stock-out and               
    needs                                                                     
                    to replenish stock from ACY or when Chunex                
                    does not carry certain products customers                 
    require                                                                   
                                                                              
    4.      ACY     Chunex  ACY buys from Chunex from time to                 
    time usually    General foodstuff                                         
                    when ACY is out of stock and needs to replenish           
                    stock from Chunex                                         
                                                                              
    Caps for the Trading Arrangements:                                        
    The transactions entered into under the Trading                           
    Arrangements between the Completion Date to 30th                          
    March, 2004 amounted to approximately HK$1,894,000                        
    whilst those between the Completion Date and the                          
    Changed Shareholding Date amounted to approximately                       
    HK$4,748,000 and for the period from 1st January, 2004                    
    to the Changed Shareholding Date as included in the                       
    financial year ended 31st December, 2004 amounted to                      
    approximately HK$3,922,000. The percentage ratios                         
    (as defined under the Listing Rules) for each of the                      
    three financial years ending 31st December, 2006 as                       
    regards the Trading Arrangements are as follows:                          
                                                                              
    For the year ended      For the year ending     For the year              
    ending                                                                    
    Percentage ratios       31st December, 2004     31st                      
    December, 2005  31st December, 2006                                       
    Lippo   LCR     Lippo   LCR     Lippo   LCR                               
                                                                              
    Assets ratio    0.05%   0.05%   N/A     N/A     N/A     N/A               
    Revenue ratio   0.22%   0.22%   N/A     N/A     N/A     N/A               
    Consideration ratio     0.48%   0.24%   N/A     N/A     N/A               
            N/A                                                               
                                                                              
    The values set out in this announcement as regards                        
    the Trading Arrangements represent the combined                           
    values of the transactions entered into under such                        
    arrangements which were entered into by each of the                       
    entities detailed above in their respective local                         
    currencies of RM and S$.                                                  
                                                                              
    Particulars of the Distribution Agreement:                                
    The Distribution Agreement was entered into on 17th                       
    January, 2005 between APM as the principal and ACY                        
    as the distributor and relates to the appointment of                      
    ACY as a distributor of APM for the resale of certain                     
    of its food products in Malaysia, for a term of three                     
    years with effect from the Completion Date unless                         
    terminated by APM. Upon the expiry of such agreement,                     
    the parties may extend the Distribution Agreement for                     
    such period and on such terms as the parties may                          
    mutually agree in writing provided that ACY has not                       
    committed any material breach of such agreement. Each                     
    purchase order from ACY will be made with the price                       
    determined by APM's price list in respect of the                          
    relevant products from time to time on normal                             
    commercial terms. There is no other fee payable to                        
    ACY as regard its appointment as APM's distributor.                       
    The terms of the Distribution Agreement have been                         
    arrived at between parties after arms length                              
    negotiations and the transactions contemplated                            
    therein (including terms as regards the payment                           
    method and credit periods for the relevant products)                      
    have been, and will be, conducted on normal commercial                    
    terms.                                                                    
                                                                              
    Caps for the Distribution Agreement:                                      
    ACY's purchases under the Distribution Agreement