10:11     EASYKNIT INT'L<01218> - Announcement                                

    The Stock Exchange of Hong Kong Limited takes no responsibility for       
    the contents of this announcement, makes no representation as to its      
    accuracy or completeness and expressly disclaims any liabilities          
    whatsoever for any loss howsoever arising from or in reliance upon        
    the whole or any part of the contents of this announcement.               
                                                                              
                                                                              
    EASYKNIT INTERNATIONAL HOLDINGS LIMITED                                   
    *                                                                         
    (incorporated in Bermuda with limited liability)                          
    Stock Code: 1218                                                          
    VERY SUBSTANTIAL DISPOSAL                                                 
    DELAY IN DESPATCH OF CIRCULAR                                             
                                                                              
                                                                              
    Reference is made to the announcement dated 22 February 2005              
    issued by the Company in connection with the Disposal. The Company        
    has applied to the Stock Exchange for a wavier and an extension of        
    time for the despatch of the Circular to a date falling on or before      
    6 April 2005.                                                             
                                                                              
                                                                              
    Reference is made to the announcement dated 22 February 2005 (the         
    `Announcement') issued by the Company in connection with the              
    Disposal, which constitutes a very substantial disposal for the           
    Company under the Listing Rules. Terms defined in the Announcement        
    shall have the same meaning when used herein unless the context           
    otherwise requires.                                                       
                                                                              
    Pursuant to Rules 14.38 and 14.48 of the Listing Rules, a circular        
    (the `Circular') in relation to the Disposal is required to be            
    despatched to the Shareholders by 16 March 2005. As additional time       
    is required to finalise the relevant pro forma financial information      
    of the Company for incorporation into the Circular, the Company has       
    applied to the Stock Exchange for a waiver and an extension of time       
    for the despatch of the Circular to a date falling on or before 6         
    April 2005.                                                               
                                                                              
    As at the date of this announcement, the Board comprises Mr. Koon         
    Wing Yee, Mr. Tsang Yiu Kai and Ms. Lui Yuk Chu as executive              
    directors and Mr. Wong Sui Wah, Michael, Mr. Tsui Chun Kong and Mr.       
    Jong Koon Sang as independent non-executive directors.                    
                                                                              
                                                                              
    By order of the Board                                                     
    Easyknit International Holdings Limited                                   
    Koon Wing Yee                                                             
    President and Chief Executive Officer                                     
                                                                              
    Hong Kong, 16 March 2005                                                  
                                                                              
    * for identification only