09:48     HK CHINESE LTD<00655> & HK BLDG & LOAN<00145>-Joint Ann. (6)        

    Securities and Lippo Futures.                                             
                                                                              
    ANNUAL CAPS                                                               
    Each of HCL and HKBLA anticipates that the aggregate                      
    commissions receivable by Lippo Securities and Lippo                      
    Futures under the Trading Accounts Agreements for                         
    each of the three financial years ending 31st December,                   
    2006 are not more than the respective amounts as                          
    follows (the "Annual Caps"):                                              
                                                                              
    For the financial               For the financial               For       
    the financial                                                             
    year ended              year ending             year ending               
    The relevant Trading Accounts   31st December,                            
            31st December,          31st December,                            
      Agreements    2004            2005            2006                      
    HK$             HK$             HK$                                       
                                                                              
    LC Trading Accounts Agreement   25,000          300,000                   
            300,000                                                           
    Lippo Trading Accounts Agreement        65,000                            
            350,000         350,000                                           
    LCR Trading Accounts Agreement  805,000                                   
            4,156,000               4,156,000                                 
    HKBLA Trading Accounts Agreement        803,000                           
            3,456,000               3,456,000                                 
                                                                              
    The Annual Caps have been determined based on 12 times                    
    the highest monthly commissions received from each                        
    of Lippo Cayman, Lippo, LCR and HKBLA and/or their                        
    respective subsidiaries by Lippo Securities and Lippo                     
    Futures during the financial year ended 31st December,                    
    2004 under the previous standard trading accounts                         
    agreements. There was not any buffer on top of the                        
    figures so calculated. To the best knowledge of the                       
    respective boards of directors of HCL and HKBLA, the                      
    trades carried out by each of Lippo Cayman, Lippo,                        
    LCR and HKBLA and/or their respective subsidiaries                        
    under the respective Trading Accounts Agreements are                      
    for their own accounts in respect of their short-term                     
    and long-term investments. In view of the current                         
    improving market conditions, the respective boards                        
    of directors of each of Lippo, LCR, HCL and HKBLA                         
    believe that more trades may take place in future                         
    years and thus, the trades carried on during the                          
    financial year ended 31st December, 2004 were not                         
    representative of future trades to be undertaken by                       
    the respective companies and the Annual Caps were set                     
    to cope with any potential increase in trading                            
    activities. However, the respective boards of                             
    directors of each of Lippo, LCR, HCL and HKBLA                            
    emphasize the Annual Caps do not represent forecasted                     
    figures for the actual commissions payable or                             
    receivable (as the case may be) for the financial                         
    years ending 31st December, 2005 and 31st December,                       
    2006.                                                                     
                                                                              
    The unaudited figures for the annual commissions                          
    received from each of Lippo Cayman, Lippo, LCR and                        
    HKBLA and/or their respective subsidiaries by Lippo                       
    Securities and Lippo Futures for the financial year                       
    ended 31st December, 2004 (which provided basis for                       
    determining the Annual Caps of each of the Trading                        
    Accounts Agreements as mentioned above) are as                            
    follows:                                                                  
                                                                              
    For the financial                                                         
    The relevant Trading Accounts           year ended                        
      Agreement     Companies       31st December, 2004                       
    HK$                                                                       
                                                                              
    LC Trading Accounts Agreement   Lippo Cayman and its                      
    subsidiaries (other than Lippo,                                           
      LCR, HCL, HKBLA and their respective subsidiaries)