09:44     CHIA TAI ENT<00121> - Announcement (4)                              

    (4)   Zhengzhou Lotus Chicken and Processed Meat                          
    Purchase Agreement                                                        
    Date   :   15th February, 2005                                            
                                                                              
    Parties   :   (i)   Zhengzhou Lotus as purchaser (a                       
    CTEI Supermarket Subsidiary)                                              
                                                                              
    (ii)   Qingdao Chia Tai as supplier (a CPP Subsidiary)                    
                                                                              
    Subject   :   Chicken and processed meat                                  
                                                                              
    Term   :   With effect from 1st January, 2005 to 31st                     
    December, 2007                                                            
                                                                              
    Price   :   To be determined by reference to the                          
    prevailing market price of chicken and processed meat                     
    in the PRC, the prevailing market demand and the                          
    quotations obtained from various potential suppliers,                     
    and no less favourable to this CTEI Supermarket                           
    Subsidiary than those available from independent                          
    suppliers.                                                                
                                                                              
    Payment terms   :   Credit terms of up to 60 days.                        
    Payment for the purchases shall be made by telegraphic                    
    transfer, bank-issued bills payable within three                          
    months or other payment methods acceptable in the PRC.                    
                                                                              
    The annual value of the purchases of chicken and                          
    processed meat by Zhengzhou Lotus from Qingdao Chia                       
    Tai for the financial years ending 31st December, 2005,                   
    31st December, 2006 and 31st December, 2007 will not                      
    exceed HK$3,000,000, HK$3,300,000 and HK$3,630,000                        
    respectively. The caps have been determined by                            
    reference to (i) the possible price increases in line                     
    with consumer prices in the PRC generally; (ii) the                       
    projected growth of business of Zhengzhou Lotus; and                      
    (iii) the possibility of the revaluation of RMB in the                    
    coming years.                                                             
                                                                              
    (5)   Jinan Lotus Chicken and Processed Meat Purchase                     
    Agreement                                                                 
    Date   :   15th February, 2005                                            
                                                                              
    Parties   :   (i)   Jinan Lotus as purchaser (a CTEI                      
    Supermarket Subsidiary)                                                   
                                                                              
    (ii)   Qingdao Chia Tai as supplier (a CPP Subsidiary)                    
                                                                              
    Subject   :   Chicken and processed meat                                  
                                                                              
    Term   :   With effect from 20th January, 2005 to 31st                    
    December, 2007                                                            
                                                                              
    Price   :   To be determined by reference to the                          
    prevailing market price of chicken and processed meat                     
    in the PRC, the prevailing market demand and the                          
    quotations obtained from various potential suppliers,                     
    and no less favourable to this CTEI Supermarket                           
    Subsidiary than those available from independent                          
    suppliers.                                                                
                                                                              
    Payment terms   :   Credit terms of up to 60 days.                        
    Payment for the purchases shall be made by telegraphic                    
    transfer, bank-issued bills payable within three                          
    months or other payment methods acceptable in the PRC.                    
                                                                              
    The annual value of the purchases of chicken and                          
    processed meat by Jinan Lotus from Qingdao Chia Tai                       
    for the financial years ending 31st December, 2005,                       
    31st December, 2006 and 31st December, 2007 will not                      
    exceed HK$3,000,000, HK$3,300,000 and HK$3,630,000                        
    respectively. The caps have been determined by                            
    reference to (i) possible price increases in line with                    
    consumer prices in the PRC generally; (ii) the                            
    projected growth of business of Jinan Lotus; and (iii)                    
    the possibility of the revaluation of RMB in the coming                   
    years.