10:14     CNAC<01110> - Announcement (2)                                      

    was approximately HK$312 million and the Company's                        
    estimated share of the guarantee was approximately                        
    HK$78 million. However, in the event of default of                        
    all other consortium partners, the Company's maximum                      
    amount of the contingent liabilities assumed would                        
    have been approximately HK$312 million.                                   
                                                                              
    4.      Each of the above companies is treated as an                      
    associated company of the Group, and hence, the                           
    financial results and positions in respect of each                        
    of the companies are equity accounted for in the                          
    consolidated accounts of the Company.                                     
                                                                              
    The total amount of financial assistance given to,                        
    and guarantees given for facilities granted to, the                       
    affiliated companies by the Group as at 31 December                       
    2004 together in aggregate represented approximately                      
    10.82% of the Group's total assets as at 31 December                      
    2004. No further material financial assistance or                         
    guarantees have been provided to the affiliated                           
    companies up to 31 December 2004. The Company will                        
    ensure compliance with Rule 13.16 of the Listing Rules                    
    if the Group provides any other financial assistance                      
    or guarantees to the affiliated companies that will                       
    trigger the disclosure obligation under Rule 13.16                        
    of the Listing Rules.                                                     
                                                                              
    The Company will fulfill the continuing disclosure                        
    obligation under rule 13.22 of the Listing Rules in                       
    subsequent interim and annual reports.                                    
                                                                              
    By Order of the Board                                                     
    Kong Dong                                                                 
    Chairman                                                                  
    Hong Kong, 25 April 2005                                                  
                                                                              
    As at the date of this announcement, the executive                        
    Directors are Messrs. Kong Dong, Chuang Shih Ping,                        
    Zhang Xianlin, Tsang Hing Kwong, Thomas, Gu Tiefei                        
    and Zhao Xiaohang and the independent non-executive                       
    Directors are Messrs. Lok Kung Nam, Hu Hung Lick,                         
    Henry, Ho Tsu Kwok, Charles, Li Kwok Heem, John and                       
    Chan Ching Har, Eliza.