09:18     JOYCE BOUTIQUE<00647> - Announcement (1)                            

    The Stock Exchange of Hong Kong Limited takes no responsibility           
    for the contents of this announcement, makes no representation            
    as to its accuracy or completeness and expressly disclaims any            
    liability whatsoever for any loss howsoever arising from or in            
    reliance upon the whole or any part of the contents of this               
    announcement.                                                             
                                                                              
    JOYCE BOUTIQUE HOLDINGS LIMITED                                           
    (Incorporated in Bermuda with limited liability)                          
    Stock Code: 647                                                           
                                                                              
    PROPOSED REDUCTION OF SHARE PREMIUM ACCOUNT                               
                                                                              
    The Board intends to put forward a proposal in relation to a              
    Share Premium Reduction to the shareholders of the Company for            
    approval. As at 31 March 2004, the amount standing to the credit          
    of the share premium account of the Company was approximately             
    HK$327,606,000 and the amount of accumulated losses was                   
    approximately HK$188,910,000. Under the Share Premium Reduction,          
    it is proposed that the entire amount standing to the credit              
    of the share premium account of the Company in the sum of                 
    approximately HK$327,606,000 as at 31 March 2004 be reduced,              
    with part of the credit arising therefrom being applied to offset         
    the accumulated losses of the Company in the sum of approximately         
    HK$188,910,000 as at 31 March 2004 in full and the remaining              
    balance of the credit in the sum of approximately HK$138,696,000          
    being credited to the contributed surplus account of the Company.         
    Upon the Share Premium Reduction becoming effective, the amount           
    standing to the credit of the contributed surplus account of              
    the Company will increase from approximately HK$20,679,000 to             
    approximately HK$159,375,000.                                             
                                                                              
    The Share Premium Reduction is subject to the conditions set              
    out in the paragraph headed "Conditions of the Share Premium              
    Reduction" below.                                                         
                                                                              
    A circular containing details of the Share Premium Reduction              
    together with a notice convening the SGM will be despatched to            
    the shareholders of the Company as soon as practicable.                   
                                                                              
    SHARE PREMIUM REDUCTION                                                   
                                                                              
    The Board intends to put forward a proposal in relation to the            
    Share Premium Reduction to the shareholders of the Company for            
    approval pursuant to Section 46 of the Companies Act and bye-law          
    53 of the Bye-laws of the Company. As at 31 March 2004, based             
    on the audited financial statements of the Company, the amount            
    standing to the credit of the share premium account of the Company        
    was approximately HK$327,606,000 and the amount of accumulated            
    losses was approximately HK$188,910,000. Under the Share Premium          
    Reduction, it is proposed that the entire amount standing to              
    the credit of the share premium account of the Company in the             
    sum of approximately HK$327,606,000 as at 31 March 2004 be                
    reduced, with part of the credit arising therefrom being applied          
    to offset the accumulated losses of the Company in the sum of             
    approximately HK$188,910,000 as at 31 March 2004 in full and              
    the remaining balance of the credit in the sum of approximately           
    HK$138,696,000 being credited to the contributed surplus account          
    of the Company. Upon the Share Premium Reduction becoming                 
    effective, the amount standing to the credit of the contributed           
    surplus account of the Company will increase from approximately           
    HK$20,679,000 to approximately HK$159,375,000.                            
                                                                              
    Effect of the Share Premium Reduction                                     
                                                                              
    Other than the expenses to be incurred in relation to the Share           
    Premium Reduction, the Board considers that the implementation            
    of the Share Premium Reduction will not,