11:26     MORNING STAR<00542> - Announcement & Resumption of Trading-2        

    in the Company's balance sheet. At Group level, the                       
    Company has equity accounted for its 49% share of                         
    POHP's profit after tax in its consolidated profit                        
    and loss account.                                                         
                                                                              
    Consideration                                                             
    The consideration for the Sale Shares is GBP11,270,000                    
    (approximately HK$165,894,400) will be payable in                         
    cash on Completion.                                                       
                                                                              
    The Consideration was determined after arm's length                       
    negotiation between the parties to the Sale and                           
    Purchase Agreement after taking into consideration                        
    the following:                                                            
                                                                              
    (i)     the unaudited consolidated net asset value of                     
    POHP for the year ended 31 December 2004 of GBP29.07                      
    million (approximately HK$427.91 million);                                
                                                                              
    (ii)    the fact that the Company does not have a                         
    controlling stake in POHP; and                                            
                                                                              
    (iii)   the recent performance of the Sterling Pound                      
    against the Hong Kong Dollar.                                             
                                                                              
    The Directors consider that the terms of the Sale and                     
    Purchase Agreement are fair and reasonable and are                        
    in the best interest of the Company and Shareholders.                     
                                                                              
    Conditions precedent to the Disposal                                      
    Completion of the Disposal is conditional upon:                           
                                                                              
    (i)     the Company having produced a written statement                   
    issued by the board of directors of POHP confirming                       
    that the net asset book value of POHP as at the date                      
    of completion shall not be less than GBP23 million                        
    (approximately HK$ 338.56 million); and                                   
                                                                              
    (ii)    the Company having complied with its reporting                    
    obligations and its obligations to obtain                                 
    shareholders' approval pursuant to the requirements                       
    contained in the Listing Rules.                                           
                                                                              
    If the above conditions shall not have been fulfilled                     
    (or waived in writing by the Purchaser and served on                      
    the Company) within 6 months from the date of the Sale                    
    and Purchase Agreement or such later date as the                          
    Company and the Purchaser may from time to time agree                     
    in writing, the Sale and Purchase Agreement shall                         
    terminate.                                                                
                                                                              
    Completion of the Sale and Purchase Agreement                             
    Completion of the Sale and Purchase Agreement will                        
    take place on the 2nd Business Day following                              
    satisfaction or waiver of the Condition(s).                               
                                                                              
    INFORMATION ON POHP                                                       
    POHP is engaged in the operation of hotel, restaurants                    
    and the provision of conference and related leisure                       
    activities.                                                               
                                                                              
    The consolidated net profit of POHP is as follows:                        
                                                                              
    For the year ended                                                        
    31 December                                                               
    2003 (audited)          2004 (unaudited)                                  
    '000            '000                                                      
                                                                              
    Net (loss)/profit before        GBP579          GBP455                    
    taxation and extraordinary items        HK$8,525                          
            HK$6,701                                                          
                                                                              
    Net (loss)/profit after GBP101          GBP727