09:02     HUA YI COPPER<00559> - Results Announcement (2)                     

    The business combination was accounted for as a reverse acquisition in    
    accordance with Hong Kong Financial Reporting Standard 3 "Business        
    Combinations" issued by HKICPA since the issuance of the New Shares       
    resulted in Solartech becoming the controlling shareholder of the Company.
     For accounting purposes, the Copper Group was treated as the acquirer    
    while the Company and its subsidiaries immediately before the issue of the
    New Shares (the "Former FT Group") were deemed to be acquired by the      
    Copper Group.  Accordingly, these condensed consolidated financial        
    statements have been prepared as a continuation of the Copper Group and   
    the comparative information presented was also that of the Copper Group.  
                                                                              
    In preparing these condensed consolidated financial statements, the Copper
    Group has applied the purchase method to account for acquisition of the   
    Former FT Group.  A discount arising on acquisition of approximately HK$  
    10,341,000 was recorded, being the excess of the Copper Group's interest  
    in the net fair value of the identifiable assets, liabilities and         
    contingent liabilities of the Former FT Group over the cost of acquisition
    at the date of acquisition.                                               
                                                                              
                                                                              
    For more details, please refer to the press announcement today.           
                                                                              
    3.      ADOPTION OF HONG KONG FINANCIAL REPORTING STANDARDS/CHANGES IN    
    ACCOUNTING POLICIES                                                       
                                                                              
    In 2004, HKICPA issued a number of new or revised Hong Kong Accounting    
    Standards ("HKASs") and Hong Kong Financial Reporting Standards ("HKFRSs")
    (herein collectively referred to as "new HKFRSs") which are effective for 
    accounting periods beginning on or after 1 January 2005.  The Group       
    resolved to early adopt the following new HKFRSs from 1 January 2004      
    onwards.                                                                  
                                                                              
            HKFRS 3         Business Combinations                             
            HKAS 36         Impairment of Assets                              
            HKAS 38         Intangible Assets                                 
                                                                              
    4.      CHANGE OF FINANCIAL YEAR END DATE                                 
                                                                              
    On 20 August 2004, the Board announced that the financial year end date of
    the Company has been changed from 31 December to 30 June.  Accordingly, a 
    second interim report covering the period from 1 January 2004 to 31       
    December 2004 and the annual report covering  the period from 1 January   
    2004 to 30 June 2005 will be prepared for this financial year.            
                                                                              
    5.      EARNINGS PER SHARE                                                
                                                                              
    The calculation of the basic earnings per share is based on the following 
    data:                                                                     
                                                                              
                                            2004            2003              
                                            HK$'000         HK$'000           
    Results for the year and results for                                      
    the purpose of basic earnings per                                         
    share                                   26,044           7,244            
                                          ============================        
                                                                              
                                                Number of shares              
    Weighted average number of ordinary                                       
    shares for the purpose of basic                                           
    earnings per share                   450,621,414     400,000,000          
                                          ============================        
                                                                              
    The 8,000,000,000 ordinary shares issued by the Company to acquire the    
    Copper Group as set out in note 2 were deemed to be in issue on 1 January 
    2003 for the purpose of computing earnings per share.                     
                                                                              
    The weighted average number of ordinary shares for the purpose of earnings
    per share has been adjusted for the consolidation of shares effective from
    30 December 2004.                                                         
                                                                              
    Diluted earnings per share is not presented as the share options          
    outstanding had an anti-dilutive effect on the basic earnings per share   
    for the period.