10:21     LIPPO<00226> & LIPPO CHINA RES<00156> - Joint Ann. (21)             

    and LCR for the Aggregate Connected Transactions are                      
    subject to the conditions that the requirements as                        
    regards annual review of the Aggregate Connected                          
    Transactions under Rules 14A.37 to 14A.40 of the                          
    Listing Rules will be complied with by Lippo and LCR;                     
    and that details of the Aggregate Connected                               
    Transactions, together with statements of opinion                         
    from the independent non-executive Directors will be                      
    disclosed in the annual report of each of LCR and Lippo                   
    for each of the three financial years ending 31st                         
    December, 2006 (including the details required under                      
    Rules 14A.45 and 14A.46 of the Listing Rules).                            
                                                                              
    As a result of having obtained the requisite approvals                    
    from a majority of the shareholders of Lippo and LCR                      
    for the Aggregate Connected Transactions on 25th                          
    January, 2005 (i) no extraordinary general meetings                       
    of Lippo and LCR is proposed to be held to approve                        
    the Aggregate Connected Transactions (as the case may                     
    be) and (ii) members of the Auric Group may from time                     
    to time during the three financial years ending 31st                      
    December, 2006 enter into the individual transactions                     
    contemplated under the Continuing Transactions                            
    pursuant to the terms of the relevant agreements                          
    subject to compliance with the terms of such                              
    approvals.                                                                
                                                                              
    PARTICULARS OF THE BACK TO BACK ARRANGEMENTS                              
    In addition to the Aggregate Connected Transactions,                      
    under clauses 6A of each of the Malaysian Agreement                       
    and the Singaporean Agreement, the parties thereto                        
    had agreed that should administrative procedures not                      
    be completed to transfer the relevant trading                             
    accounts from certain independent third parties to                        
    ACY, APFP and Chunex by the Completion Date as a result                   
    of the Acquisitions, the Auric Group will sell and/or                     
    purchase its products to, and from, (as applicable)                       
    the Malaysian Vendors and CTC, as appropriate, which                      
    will in turn fulfil any sales and/or purchase orders                      
    received from such customers and/or suppliers and all                     
    related matters for the benefit of the Auric Group                        
    with monies received from such customers and/or                           
    payable to such suppliers.                                                
                                                                              
    In addition, during the six months period after the                       
    Completion Date, the Auric Group assisted the                             
    Malaysian Vendors and CTC (at no cost) in collecting,                     
    on behalf of each of CTC and the Malaysian Vendors,                       
    their outstanding normal trade accounts receivables                       
    (as at the Completion Date) and deposit the amounts                       
    received into such bank account of Malaysian Vendors                      
    and CTC shall specify.                                                    
                                                                              
    No fee or profit was generated in respect of such                         
    transactions. The Back to Back Arrangements were                          
    entered into to facilitate a smooth transition of,                        
    and reduce any disruption to, the Auric Group's                           
    businesses as a result of the Acquisitions. As (i)                        
    the value of transactions carried out under the Back                      
    to Back Arrangements decreased with time, (ii) such                       
    arrangements expired after 1st June, 2004, being the                      
    six months period after the Completion Date and (iii)                     
    no payment was actually received or paid by or to the                     
    Auric Group, such Back to Back Arrangements do not                        
    constitute part of the Aggregate Connected                                
    Transactions and therefore should not be aggregated                       
    with or treated as part of the Aggregate Connected                        
    Transactions. Details of the Back to Back                                 
    Arrangements are set out herein for information                           
    purposes only.                                                            
                                                                              
    GENERAL                                                                   
    A circular will be sent to each of Lippo and LCR's