08:51     SOUTH SEA HOLD<00680> - Results Announcement                        

    South Sea Holding Company Limited announced on 25/04/2005:                
    (stock code: 00680 )                                                      
    Year end date: 31/12/2004                                                 
    Currency: HKD                                                             
    Auditors' Report: Modified                                                
                                                                              
                                                            (Audited   )      
                                         (Audited   )       Last              
                                         Current            Corresponding     
                                         Period             Period            
                                         from 01/01/2004    from 01/04/2003   
                                         to 31/12/2004      to 31/12/2003     
                                   Note  ('000      )       ('000      )      
    Turnover                           : 1,215              11,708            
    Profit/(Loss) from Operations      : 6,363              52,280            
    Finance cost                       : (2,369)            (22,251)          
    Share of Profit/(Loss) of                                                 
      Associates                       : 1,244              (550)             
    Share of Profit/(Loss) of                                                 
      Jointly Controlled Entities      : N/A                N/A               
    Profit/(Loss) after Tax & MI       : 5,217              63,545            
    % Change over Last Period          : N/A       %                          
    EPS/(LPS)-Basic (in dollars)    b  : 0.000174           0.002123          
             -Diluted (in dollars)     : N/A                N/A               
    Extraordinary (ETD) Gain/(Loss)    : N/A                N/A               
    Profit/(Loss) after ETD Items      : 5,217              63,545            
    Final Dividend                     : NIl                NIL               
      per Share                                                               
    (Specify if with other             : N/A                N/A               
      options)                                                                
                                                                              
    B/C Dates for                                                             
      Final Dividend                   : N/A                                  
    Payable Date                       : N/A                                  
    B/C Dates for Annual                                                      
      General Meeting                  : 06/06/2005         to 10/06/2005 bdi.
    Other Distribution for             : N/A                                  
      Current Period                                                          
                                                                              
    B/C Dates for Other                                                       
      Distribution                     : N/A                                  
                                                                              
    Remarks:                                                                  
                                                                              
    Note a  :       The auditors of the Company have modified their report on 
    the Group's accounts for the period ended 31 December 2004 and their      
    report has included the following paragraph regarding the adoption of the 
    going concern basis for the preparation of the accounts :                 
                                                                              
    "Fundamental uncertainty relating to the going concern basis of           
    the financial statements                                                  
    In forming our opinion, we have considered the adequacy of the disclosures
    made in the financial statements concerning the adoption of the going     
    concern basis for the preparation of the financial statements. As set out 
    in note 2 to the financial statements, the financial statements have been 
    prepared on a going concern basis, the validity of which is dependent on  
    the following:                                                            
    -the successful outcome of the discussion with the Group's bankers for the
    granting of new credit facilities to the Group;                           
    -the financial support and undertakings from the ultimate holding company 
    and certain fellow subsidiaries; and                                      
    -the assumption that the Group will generate positive cash flows from its 
    property development business.                                            
                                                                              
    The financial statements do not include any adjustments that would result 
    from a failure of the Group to operate as a going concern.  Had the going 
    concern basis not been used, adjustments would have to be made to the     
    financial statements to reduce the value of the Group's assets to their   
    recoverable amounts, to provide for any further liabilities which might   
    arise, and to reclassify non-current assets and non-current liabilities as
    current assets and current liabilities respectively.  We consider that    
    appropriate disclosures relating to this fundamental uncertainty have been
    made and our opinion is not qualified in this respect."                   
                                                                              
    Note b  :       The calculation of basic earnings per share is based on   
    the Group's profit for the year/period attributable to shareholders of    
    HK$5,217,000 (period ended 31 December 2003: HK$63,545,000) and on 29,931 
    ,804,183 (period ended 31 December 2003: 29,931,804,183) ordinary shares  
    in issue during the year/period.                                          
                                                                              
    Diluted earnings per share for the year ended 31 December 2004 has not    
    been presented because the impact of the exercise of the convertible notes
    was anti-dilutive.                                                        
                                                                              
    Diluted earnings per share for the period ended 31 December 2003 has not  
    been presented as there were no dilutive potential ordinary shares.       
                                                                              
    For more details, please refer to the press announcement today.