12:31     HKR INT'L<00480> - Announcement & Resumption of Trading (7)         

    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.                                             
                                                                              
    The Company is an investment company. Its subsidiaries are                
    principally engaged in the development, management and provision of       
    essential and recreational services for residential housing and           
    leisure projects in Discovery Bay, Lantau Island, other property          
    development, property investment, hotel operation, manufacturing and      
    other investment. The Lead Manager is a member of J.P. Morgan Chase &     
    Co. and its businesses include securities underwriting.                   
                                                                              
    To the best of the Directors' knowledge, information and belief, the      
    Lead Manager and the ultimate beneficial owner of the Lead Manager        
    are third parties independent of the Company and are not connected        
    persons (as defined in the Listing Rules) of the Company.                 
                                                                              
    On 16 August 2004, the Company granted a general mandate to the           
    Directors at its annual general meeting to allot and issue up to 20%      
    of the aggregate nominal amount of the issued share capital of the        
    Company as at the date of the annual general meeting. To date, there      
    has been no issue of shares under the general mandate granted.            
                                                                              
    Trading in the Shares on the Stock Exchange was suspended at the          
    request of the Company with effect from 9:30 a.m. on 30 March 2005        
    pending the release of this announcement. The Company has applied for     
    the resumption of trading in its Shares with effect from 9:30 a.m. on     
    31 March 2005.                                                            
                                                                              
    TERMS USED IN THIS ANNOUNCEMENT                                           
    Alternative Stock Exchange     at any time, in the case of                
                                   the Shares, if they are not                
                                   at that time listed and                    
                                   traded on the Stock Exchange,              
                                   the principal stock exchange               
                                   or securities market on which              
                                   the Shares are then listed or              
                                   quoted or dealt in                         
    Board                          the board of directors of the              
                                   Company                                    
    Bondholder(s)                  holder(s) of the Bonds from                
                                   time to time                               
    Bonds                          the Firm Bonds and the                     
                                   Optional Bonds                             
    Bonds Issue                    the subscription and issue of              
                                   the Firm Bonds with an                     
                                   initial aggregate principal                
                                   amount of HK$1,100,000,000                 
                                   and the Optional Bonds with                
                                   an aggregate principal amount              
                                   of HK$310,000,000 under the                
                                   Subscription Agreement                     
    Change of Control              occurs when,  (i) other than,              
                                   directly or indirectly, or as              
                                   the beneficiary of a trust,                
                                   acting individually or                     
                                   together LBJ Regents Limited,              
                                   CDW Holdings Limited and                   
                                   Novantenor Limited or any of               
                                   their affiliates, executors,               
                                   administrators or successors;              
                                   any person or persons acting               
                                   together acquires Control of               
                                   the Company; or  (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, unless the                         
                                   consolidation, merger, sale                
                                   or transfer will not result                
                                   in the other person or                     
                                   persons acquiring Control                  
                                   over the Company or the                    
                                   successor entity                           
    Closing Date                   the date (expected to be on                
                                   or before 26 April 2005 or                 
                                   such other date as the                     
                                   Company and the Lead Manager               
                                   may agree) on which the Firm               
                                   Bonds are issued                           
    Company                        HKR International Limited, a               
                                   company incorporated in the                
                                   Cayman Islands with limited                
                                   liability, the shares of                   
                                   which are listed on the Stock              
                                   Exchange                                   
    Control                        the acquisition or control of              
                                   more than 50% of the voting                
                                   rights of the issued share                 
                                   capital of the Company or the              
                                   right to appoint and/or                    
                                   remove all or the majority of