09:39     HANISON<00896> - Announcement (2)                                   

                                                                              
    Hanison - Hip Hing Joint Venture        50%                8,000          
    7,095                15,095                                               
                                            (note 1)                          
                                                                              
    Hip Hing - Hanison Joint Venture        50%                20,000         
    26,393                46,393                                              
                            (note 2)                (note 2)                  
                                                                              
    Crown Cosmos Investments Limited        50%                8,565          
    -                 8,565                                                   
                                                                              
    Berville Investment Limited        50%                12,229              
    -                 12,229                                                  
                                                                              
    Fairwide Limited        50%                15,261                -        
    15,261                                                                    
                                                                              
    Total                                                        97,543       
                                                                              
    The above financial assistance to affiliated companies are interest       
    free, unsecured and have no fixed repayment dates. They were funded by    
    internal resources of the Group and will be repaid as and when            
    appropriate.                                                              
                                                                              
    Notes:                                                                    
                                                                              
    1.        The guarantee was given to secure 50% of the banking            
    facilities of HK$14,190,000 granted by a bank to Hanison - Hip Hing       
    Joint Venture before Rule 13.16 of the Listing Rules came into force.     
    As at 4 March 2005, HK$12,900,000 of the banking facilities was           
    utilised for the issuance of a performance bond for a construction        
    project awarded to Hanison - Hip Hing Joint Venture.                      
                                                                              
    2.        The Company has committed to advance HK$20,000,000 in total     
    to Hip Hing - Hanison Joint Venture, of which HK$15,000,000 has on 4      
    March 2005 been advanced.                                                 
                                                                              
    The guarantee was given to secure 50% of the banking facilities of        
    HK$52,786,000 to be granted by a bank to Hip Hing - Hanison Joint         
    Venture on                                                                
    4 March 2005. As at 4 March 2005, the Joint Venture has applied to the    
    bank for a banking facilities of HK$47,987,000 to be utilised for         
    issuing a performance bond for a construction project awarded to Hip      
    Hing - Hanison Joint Venture on 24 December 2004.                         
                                                                              
    As at 4 March 2005, there were 354,588,856 shares of the Company in       
    issue. Based on the average closing price of the Company's shares of      
    HK$0.71 as stated in the Stock Exchange's daily quotation sheets for      
    the five business days from 25 February to 3 March 2005, the total        
    market capitalisation of the Company was HK$251,758,088 as at 4 March     
    2005.                                                                     
                                                                              
    Save as disclosed above, the Group has no capital injection commitment    
    in its affiliated companies and the Company does not have other           
    disclosure obligations under Rules 13.13, 13.15 and 13.16 of the          
    Listing Rules.                                                            
                                                                              
    The Company will make continuing disclosure pursuant to Rules 13.20       
    and 13.22 in subsequent interim and annual reports.                       
                                                                              
            By order of the Board                                             
            Lo Kai Cheong                                                     
            Company Secretary                                                 
                                                                              
    Hong Kong, 4 March 2005                                                   
                                                                              
    As at the date of this announcement, the executive directors of the       
    Company are Mr. Wong Sue Toa, Stewart, Mr. Tai Sai Ho, Dr. Lam Chat Yu    
    and Mr. Shen Tai Hing; the non-executive directors of the Company are     
    Mr. Cha Mou Sing, Payson, Mr. Cha Mou Daid, Johnson and                   
    Mr. Cha Yiu Chung, Benjamin; and the independent non-executive            
    directors of the Company are Mr. Chan Pak Joe, Dr. Sun Tai Lun and Dr.    
    Lau Tze Yiu Peter.