09:58 POLY HK INV<00119> - Announcement (3) manufacturing and media. PPL is an investment holding company holding Poly Plaza as its major asset while China Poly is a state-owned enterprise and is an investment holding company company with its principal subsidiaries engaged in diversified businesses including but not limited to real estate development, property investment, cultural and trading. CONTINUING CONNECTED TRANSACTIONS China Poly and its associates are interested in approximately 60.29% of the issued share capital of the Company and accordingly is a substantial shareholder of the Company. In view of the on-going term of the tenancies, the entering into of the Lease Renewal Agreements constituted continuing connected transactions for the Company under Rule14A.14 of the Listing Rules. Given that the annual amount of rental falls within the de minimis threshold prescribed in Rule 14A.34 of the Listing Rules, the entering into of the Lease Renewal Agreements will be subject to reporting and announcement requirements only. Appropriate disclosure of the above transaction will be made in the next published annual report and accounts of the Company in accordance with Rules 14A.37, 14A.38, 14A.45 and 14A.46 of the Listing Rules. The independent non-executive Directors and the auditors of the Company will review the above continuing connected transactions annually in accordance with Rules 14A.37 and 14A.38 of the Listing Rules. In case that the cap amounts are exceeded or when there are material changes to the terms of the Lease Renewal Agreements, the Company will re-comply with Rules 14A.35(3) and (4) of the Listing Rules. DEFINITIONS "China Poly" China Poly Group Corporation, a state-owned enterprise established in the PRC and the ultimate controlling shareholder of the Company "Company" Poly (Hong Kong) Investments Limited, a company incorporated in Hong Kong with limited liability and whose shares are listed on the Stock Exchange "Directors" directors of the Company "Exhibition Halls" Exhibition Halls 1 and 2 together with an office area at Room 2101 on the second level of Poly Plaza "Exhibition Halls Lease Renewal Agreement" the agreement entered into between PPL and China Poly in respect of the renewal of leasing of the Exhibition Halls and 1 carparking space of Poly Plaza "HK$" Hong Kong dollars, the legal currency in Hong Kong "Lease Renewal Agreements" the Office Tower Lease Renewal Agreement and the Exhibition Halls Lease Renewal Agreement "Listing Rules" Rules Governing the Listing of Securities on the Stock Exchange "Office Area" portions of office tower, B1021 at the basement level and Rooms 305A, 305B and 324 of the annexed building, function room at level 19 of Poly Plaza "Office Tower Lease Renewal Agreement" the agreement entered into between PPL and China Poly in respect of the renewal of leasing of the Office Area and 16 carparking spaces of Poly Plaza "PPL" Poly Plaza Limited, a sino-foreign joint venture established in the PRC, which is indirectly owned as to 75% by the Company and as to 25% by China Poly "PRC" The People's Republic of China "RMB" Renminbi, the legal currency in the PRC "Stock Exchange" The Stock Exchange of Hong Kong Limited "Valuer" AA Property Services Ltd, an independent professional valuer By Order of the Board Poly (Hong Kong) Investments Limited LI Shi Liang Managing Director Hong Kong, 4th February, 2005. In this announcement, certain amounts quoted in RMB have been translated into Hong Kong dollars at the reference rate of HK$1.00 to