10:34     CROCODILE<00122> & LAI SUN INT'L<00191>-JA & Resumption (4)         

    In the case of LSG, its controlling shareholder is Wisdoman, which        
    directly holds approximately 33.73% of the entire issued share capital    
    of LSG. As its shareholding interest is less than 50%, an extraordinary   
    general meeting of LSG will be convened to consider and, if thought fit,  
    approve the Disposal. To the best of the knowledge, information and       
    belief of the LSG Directors the interests of all shareholders of LSG in   
    relation to the Disposal are the same in all material respects.           
                                                                              
    CGL and LSG will each send circulars to their respective shareholders as  
    soon as possible, in each case containing details of the Disposal,        
    including a valuation report on the Property, and in LSG's case, also     
    containing a notice of extraordinary general meeting.                     
                                                                              
    12.        Background information on CGL and LSG                          
                                                                              
    CGL is the holding company of the CGL Group which is principally engaged  
    in the manufacture and sale of garments and in property investment.       
    Aside from the Property, CGL holds three other investment properties      
    (further particulars of which are contained in its latest published       
    annual report). All three properties are situated in Hong Kong and are,   
    at present, leased to third parties under operating leases.               
                                                                              
    LSG is the holding company of the LSG Group which is principally engaged  
    in investment holding, the manufacture and sale of garments and in        
    property investment. LSG is the holding company of CGL, holding           
    approximately 54.93% of the issued share capital of CGL. In addition,     
    LSG has an interest of approximately 45.13% in Lai Fung Holdings          
    Limited, a company listed on the Stock Exchange with property interests   
    principally in the mainland of China; and has an interest of              
    approximately 12.42% in Lai Sun Development Company Limited, a company    
    listed on the Stock Exchange with property and media-related interests.   
                                                                              
    13.        Trading in the shares of CGL and LSG                           
                                                                              
    Trading in the shares of both CGL and LSG on the Stock Exchange was       
    suspended as from 9:30 a.m. on 26th January, 2005 at the request of CGL   
    and LSG pending the issue of this announcement. An application has been   
    made by each of CGL and LSG for the resumption of trading in their        
    respective shares from 9:30 a.m. on 31st January, 2005.                   
                                                                              
    Definitions                                                               
                                                                              
    In this announcement, the following terms have the following meanings:    
                                                                              
    "Agreement"        the agreement constituted by the acceptance of the     
    Tender by GNDL;                                                           
                                                                              
    "associate"        has the meaning ascribed to it in the Listing Rules;   
                                                                              
    "CGL"        Crocodile Garments Limited, a company incorporated in Hong   
    Kong the shares of which are listed on the Stock Exchange;                
                                                                              
    "CGL Directors"        the directors of CGL;                              
                                                                              
    "CGL Group"        CGL and its subsidiaries;                              
                                                                              
    "Completion"        completion of the Disposal pursuant to the Tender;    
                                                                              
    "Completion Date"        31st May, 2005;                                  
                                                                              
    "Disposal"        the disposal of the Property pursuant to the Tender;    
                                                                              
    "GNDL"        Gold Nation Development Limited, a company incorporated in  
    Hong Kong and a wholly-owned subsidiary of CGL;                           
                                                                              
    "HK$"        Hong Kong dollars, the lawful currency of Hong Kong;         
                                                                              
    "Hong Kong"        the Hong Kong Special Administrative Region of the     
    People's Republic of China;                                               
                                                                              
    "Listing Rules"        the Rules Governing the Listing of Securities on   
    the Stock Exchange;                                                       
                                                                              
    "LSG"        Lai Sun Garment (International) Limited, a company           
    incorporated in Hong Kong the shares of which are listed on the Stock     
    Exchange;                                                                 
                                                                              
    "LSG Directors"        the directors of LSG;                              
                                                                              
    "LSG Group"        LSG and its subsidiaries, including CGL;               
                                                                              
    "Property"        Units G-9/9A and G-10 on the Ground Floor and Utility   
    Rooms 213A on the 2nd Floor and 413A on the 4th Floor of Hankow Centre,   
    Kowloon, Hong Kong;