10:22     SHIMAO CHINA<00649> - Announcement & Resumption (18)                

    in Hong Kong in the last three years.                                     
                                                                              
    The service contracts entered into by the Company with                    
    Mr. Chan and Mr. Tung do not provide for a fixed term                     
    of tenure and may be terminated in accordance with                        
    the terms thereof. Both Mr. Chan and Mr. Tung will                        
    be subject to retirement by rotation of directors                         
    pursuant to the Company's Bye-Laws. The emoluments                        
    payable to Mr. Chan and Mr. Tung include a fixed basic                    
    salary of HK$665,000 and HK$1,012,000 respectively                        
    per annum plus a discretionary bonus. The Board                           
    determines the above emoluments by taking into                            
    consideration their duties and responsibilities                           
    within the Group, the prevailing market rates, the                        
    Group's performance and remuneration policy.                              
                                                                              
    Both Mr. Chan and Mr. Tung are not connected with any                     
    Directors, senior management, substantial or                              
    controlling shareholders of the Company and do not                        
    have any interests in the shares of the Company within                    
    the meaning of Part XV of the Securities and Futures                      
    Ordinance. The Board is not aware of any other matters                    
    which need to be brought to the attention to the                          
    shareholders of the Company in respect of the above                       
    appointments.                                                             
                                                                              
    The Company takes this opportunity to express its warm                    
    welcome to Mr. Chan and Mr. Tung in joining the Board.                    
                                                                              
    Resignation of Directors                                                  
    The Board announces that Mr. Ip Wai Shing, Mr. Tang                       
    Ping Fai and Madam Yao Li, executive Directors, and                       
    Mr. Yu Hon To, David and Mr. Lu Hong Bing, independent                    
    non-executive Directors, resigned as Directors on 19                      
    February 2005. It is expected that Messrs Chung Shui                      
    Ming, Timpson and Hui Sai Tan, Jason, executive                           
    Directors, will resign as executive Directors. The                        
    foregoing Directors have resigned or intend to resign                     
    in order to serve as directors or senior management                       
    of SPHL with effect from the date on which SPHL issues                    
    its listing document. Mr. Chung has been the chief                        
    executive officer of the Company since he joined the                      
    Company in May 2004 and is responsible for corporate                      
    policies and overseeing the Group's operations. His                       
    role will be taken over by Ms. Carol Hui. During his                      
    time with the Company, Mr. Jason Hui oversaw the sales                    
    and marketing function, including Shimao Lakeside                         
    Garden. His role will be taken over by Ms. Carol Hui.                     
    During his time with the Company, Mr. Ip oversaw the                      
    project management function, including Shimao                             
    Lakeside Garden. His role will be taken over by Mr.                       
    Tung, During his time with the Company, Mr. Tang                          
    oversaw the construction budgeting, cost control and                      
    contract administration functions, including Shimao                       
    Lakeside Garden. His role will be taken over by Mr.                       
    Tung. During her time with the Company, Ms. Yao                           
    oversaw the human resources, administration,                              
    property management and customer services functions,                      
    including Shimao Lakeside Garden. Her role will be                        
    taken over by Ms. Carol Hui and Mr. Chan. The Board                       
    takes this opportunity to express its thanks to Messrs                    
    Ip, Tang, Yu and Lu and Madam Yao for their services                      
    and contribution to the Group. Such resigning                             
    Directors confirmed that there are no matters that                        
    need to be brought to the attention of the                                
    Shareholders.                                                             
                                                                              
    Redesignation of Director                                                 
    Mr. Hui, Chairman of the Company and executive                            
    Director, has been redesignated as non-executive                          
    Director but will continue to provide the strategic