10:10     LUKS IND(GROUP)<00366> - Announcement (4)                           

    "Letter of Undertaking" the letter of undertaking issued by               
    China National Aero-Technology's bank for guaranteeing the                
    refund to Best Deluxe Assets of the cash deposit for the sum              
    of US$3,212,700.00 (approximately HK$25,059,060.00) received              
    by China National Aero-Technology  if it fails to make delivery           
    to Best Deluxe Assets of the first batch of the Facilities within         
    6 months from the conditions precedent having been fully complied         
    with pursuant to the terms of the Agreement                               
                                                                              
    "Listing Rules" the Rules Governing the Listing of Securities             
    on the Stock Exchange                                                     
                                                                              
    "Luks Cement (Vietnam)" Luks Cement (Vietnam) Limited, a                  
    limited company incorporated and operating in accordance with             
    the laws of Vietnam, formerly known as Luks Thua Thien Hue Company        
    Limited, which was a 68.10% indirectly owned by the Company               
    before the acquisition, details of the said acquisition are set           
    out in the announcement made by the Company on 13th October 2004.         
    It is expected that after the completion of the acquisition,              
    the Company will own indirectly 90.27% of the company. The                
    principal business of Luks Cement (Vietnam) is  engaged in                
    manufacturing and sale of cement for use in the construction              
    industry in Vietnam                                                       
                                                                              
    "PRC"   the People's Republic of China, and for the purposes of           
    this announcement, excluding Hong Kong, the Macau Special                 
    Administrative Region and Taiwan                                          
                                                                              
    "Purchase"      the supply of Facilities and installation of a            
    1,750TPD linkers' production line at the plant of Luks Cement             
    (Vietnam) in Vietnam subject to the terms and conditions of the           
    Agreement as set out in the Agreement                                     
                                                                              
    "Second Letter of Credit"       the unconditional and irrevocable         
    Letter of Credit which Best Deluxe Assets will arrange with a             
    third party bank for the opening in favour of China National              
    Aero-Technology and which will be valid from the date of issue            
    to 30 September 2006 for the sum of US$3,748,150.00                       
    (approximately HK$29,235,570.00)                                          
                                                                              
    "Shareholder(s)"        holder(s) of the Shares of the Company            
                                                                              
    "Stock Exchange"        The Stock Exchange of Hong Kong Limited           
                                                                              
    "HK$"   Hong Kong dollars, the lawful currency of Hong Kong               
                                                                              
    "US$"   United States dollars, the lawful currency of the United          
    States                                                                    
                                                                              
    "Vietnam"       the Socialist Republic of Vietnam                         
                                                                              
    By Order of the Board                                                     
    Luks Industrial (Group) Limited                                           
    Luk King Tin                                                              
    Chairman                                                                  
                                                                              
    As at the date of this announcement, the Board composition is             
    set out below:                                                            
                                                                              
    Hong Kong, 24 March 2005                                                  
                                                                              
    Executive Directors:    Independent non-executive Directors:              
    Mr. Luk King Tin        Mr. Liu Li Yuan                                   
    Ms Cheng Cheung Mr. Liang Fang                                            
    Mr. Luk Yan     Mr. Chan Yuk Tong                                         
    Mr. Fan Chiu Tat, Martin                                                  
                                                                              
    For the purpose of this announcement, unless otherwise stated,            
    the exchange rate adopted is for Hong Kong dollar to US dollar            
    is US$1 to HK$7.8.