12:44     LUKS IND(GROUP)<00366>- Amendment to Res Ann (Advised by Co)        

    The Stock Exchange has received a message from Luks Industrial (Group)    
    Limited which is reproduced as follows:-                                  
                                                                              
    "We refer to our Results Announcement Form (the "Form") together with its 
    Notes sent to the Exchange on April 26, 2005. We regret to inform the     
    Exchange that due to mistakes made by staff of our auditors, Ernst &      
    Young, the figure of the diluted EPS for the current period should be "   
    HK$0.073" instead of "N.A.". In addition, some wordings on Notes 1 & 2 of 
    Notes to Results Announcement (summary) for the year ended 31 December    
    2004 ("Notes"), have been omitted.  The remarks (1) and (2) should read as
    follows:                                                                  
                                                                              
    "1. Earning per share                                                     
                                                                              
    The calculation of basic earnings per share is based on the net profit fro
                                                                              
    The calculation of diluted earnings per share is based on the net profit f
    11,504,587) ordinary shares assumed to have been issued at no             
    consideration on the deemed exercise of all warrants outstanding during   
    the year; and the weighted average of 733,130 (2003: 2,551,431) ordinary  
    shares assumed to have been issued at no consideration on the deemed      
    exercise of all share options outstanding during the year.                
                                                                              
    2. Summary of Auditors' Report                                            
                                                                              
    "Included in the consolidated balance sheet of the Group as at 31 December
    2004 is goodwill with a carrying amount of approximately HK$247 million.  
    The subsidiary to which this goodwill is related is engaged in the        
    manufacture and sale of health care products.  The directors are of the   
    opinion, based on a business valuation performed as at the balance sheet  
    date, that the recoverable amount of the goodwill exceeds its carrying    
    amount in the consolidated balance sheet and no provision for impairment  
    is necessary.  However, the forecast revenue for the year ended 31        
    December 2004 on which the business valuation performed in the prior year 
    was based was not met and furthermore, we have been unable to obtain      
    sufficient reliable evidence to satisfy ourselves as to the reasonableness
    of the bases and assumptions used by the directors in arriving at the     
    business valuation performed at the balance sheet date.  Accordingly, in  
    our view, a provision for impairment in respect of the goodwill should be 
    made.  However, in the absence of further information, we are unable to   
    quantify the amount of the provision required.  Any adjustment to the     
    goodwill would have a consequential impact on the Group's net assets as at
    31 December 2004 and results for the year then ended, on the amount of the
    interests in subsidiaries in the Company's balance sheet as at 31 December
    2004 and the loss of the Company for the year then ended, and the related 
    disclosures thereof in the financial statements.                          
                                                                              
    Except for the absence of a provision against the carrying amount of the  
    goodwill of the Group and the amounts of the Company's interests in       
    subsidiaries referred to above, in our opinion the financial statements   
    give a true and fair view of the state of affairs of the Company and of   
    the Group as at 31 December 2004 and of the profit and cash flows of the  
    Group for the year then ended and have been properly prepared in          
    accordance with the disclosure requirements of the Hong Kong Companies    
    Ordinance.""