09:55     CHINESE EST H<00127>-Announcement & Resumption of Trading-8         

    PRESS REPORTS OF 10 MARCH 2005                                            
                                                                              
    The Company has noted that there have been press reports                  
    on 10 March 2005 that part of the proceeds of the Bonds Issue             
    will be used by the Company for investing in Macau.  The                  
    Company wishes to clarify that there has been region-wide                 
    exploration of business opportunities.  Investment                        
    opportunities in Macau are part of the business                           
    opportunities that the Company has come across.  Currently                
    the Company has no definitive plan to pursue any definitive               
    investment opportunities in Macau.  In the absence of any                 
    definitive investment opportunities the Company has no plan               
    to use the proceeds of the Bonds Issue for Macau investment               
    purposes.                                                                 
                                                                              
    GENERAL                                                                   
                                                                              
    The Group is principally engaged in property investment and               
    development, property management, securities investment                   
    and money lending.                                                        
                                                                              
    The Company will promptly notify the Stock Exchange if it                 
    becomes aware of any dealings in the Bonds by any connected               
    person (as defined in the Listing Rules) of the Company.                  
                                                                              
    Completion of the Subscription Agreement is subject to the                
    satisfaction and/or waiver of the conditions precedent                    
    therein.  In addition, the Subscription Agreement may be                  
    terminated under certain circumstances.  Please refer to                  
    the paragraph headed "SUBSCRIPTION AGREEMENT" above for                   
    further information.                                                      
                                                                              
    As the Subscription Agreement may or may not complete,                    
    Shareholders and potential investors are advised to                       
    exercise caution when dealing in the Shares of the Company.               
                                                                              
    Trading in the Shares of the Stock Exchange was suspended                 
    at the request of the Company with effect from 9:30 am on                 
    10 March 2005 pending the release of this announcement.                   
    The Company has applied for a resumption of trading in its                
    Shares with effect from 9:30 am on 11 March 2005.                         
                                                                              
    TERMS USED IN THIS ANNOUNCEMENT                                           
                                                                              
    Board the board of directors of the Company                               
                                                                              
    Bonds the Firm Bonds and the Optional Bonds                               
                                                                              
    Bondholder(s) holder(s) of the Bonds from time to time                    
                                                                              
    Bonds Issue the subscription and issue of the Firm Bonds                  
    with an initial aggregate principal amount of                             
    HK$1,500,000,000 and the Optional Bonds with up to an                     
    aggregate principal amount of HK$500,000,000 under the                    
    Subscription Agreement                                                    
                                                                              
    Change of Control occurs when,                                            
                                                                              
    (i) any Person or Persons (as defined in the terms and                    
    conditions of the Bonds) acting together acquires Control                 
    of the Company if such Person or Persons (as defined in the               
    terms and conditions of the Bonds) does not or do not have,               
    and would not be deemed to have, Control of the Company on                
    the Closing Date;                                                         
                                                                              
    (ii) the Company consolidates with or merges into or sells                
    or transfers all or substantially all of the Company's                    
    assets to any other Person (as defined in the terms and                   
    conditions of the Bonds), unless the consolidation, merger,               
    sale or transfer will not result in the other Person or                   
    Persons (as defined in the terms and conditions of the Bonds)             
    acquiring Control over the Company or the successor entity;               
    or                                                                        
                                                                              
    (iii) one or more Persons (as defined in the terms and                    
    conditions of the Bonds) acquires the legal or beneficial                 
    ownership of all or substantially all of the Company's                    
    issued share capital                                                      
                                                                              
    Closing Date the date (expected to be on or before 20 April               
    2005 or such other date as the Company and Deutsche Bank                  
    may agree) on which the Firm Bonds are issued