10:39     MOULIN<00389> - Announcement (2)                                    

    DELAY IN PUBLICATION OF ANNUAL RESULTS                                    
                                                                              
    During the first quarter of 2005, the Company and its finance             
    department had been heavily engaged in the completion of the              
    acquisition of Eye Care Centers of America, Inc. as a result of which     
    manpower available for the audit work had been reduced. As a result,      
    the preparation of relevant supporting information for the purposes of    
    the audit work has been behind schedule. DTT commenced audit work in      
    the week of February 21, 2005. None of the 16 overseas operating          
    subsidiaries of the Company are audited by the Company's auditors or      
    their affiliated firms, and therefore the Company's auditors required     
    more time to coordinate the audits of such subsidiaries. In addition,     
    as explained in "Change of Auditors" below, DTT resigned as the           
    auditors of the Company with effect from April 18, 2005 and CCIF will     
    be proposed by the Board to be appointed as the new auditors of the       
    Company.                                                                  
                                                                              
    For the reasons set out above and after discussions with CCIF as to       
    the status of the supporting documentation for the audit work, the        
    outstanding issues raised by DTT as mentioned below and CCIF's            
    estimated time frame for completing the audit, the Board currently        
    anticipates that the publication of the 2004 annual results will be       
    delayed until the latter half of May, 2005. The Company has confirmed     
    with CCIF that, as at the date of this announcement, the audit work is    
    on schedule.                                                              
                                                                              
    The delay in publication of the 2004 annual results constitutes a         
    breach of Rules 13.46(2)(a) and 13.49(1) of the Listing Rules. The        
    Stock Exchange reserves the right to take appropriate action against      
    the Company and/or the Directors in respect of such breach. However,      
    such delay will not constitute a breach of the Bye-laws of the Company    
    or the applicable laws of Bermuda.                                        
                                                                              
    The delay in publication of the 2004 annual results and the suspension    
    of dealings in the Shares on the Stock Exchange as a result of such       
    delay may affect certain of the banking facilities entered into by the    
    Group in the aggregate amount of approximately HK$1.7 billion and         
    hence may have a material effect on the business or financial             
    condition of the Company. However, the Company had discussed with its     
    principal bankers who did not indicate that their respective credit       
    facilities extended to the Company will be affected.                      
                                                                              
    The Directors confirm that they have not dealt in the securities of       
    the Company since March 30, 2005 and they will not deal in the            
    securities of the Company until the 2004 annual results are announced.    
                                                                              
    Trading in the Shares on the Stock Exchange has been suspended at the     
    Company's request from 9:30 a.m. on April 18, 2005 and will continue      
    to be suspended until the publication of the Company's 2004 annual        
    results and the concerns of the Stock Exchange arising from the delay     
    in the publication of annual results have been satisfactorily             
    addressed.                                                                
                                                                              
    CHANGE OF AUDITORS                                                        
                                                                              
    DTT resigned as auditors of the Company with effect from April 18,        
    2005. The Board will propose to the Shareholders at the SGM the           
    appointment of CCIF as the new auditors of the Company to fill the        
    vacancy arising from DTT's resignation until the conclusion of the        
    next annual general meeting of the Company.                               
                                                                              
    As DTT indicated that they would be unable to commit to any reporting     
    deadline until their concerns as mentioned below had been resolved and    
    in view of the extent of the additional costs which DTT indicated were    
    to be incurred to complete the audit, the Board resolved to propose to    
    the Shareholders the appointment of CCIF as the new auditors of the       
    Company.                                                                  
                                                                              
    Prior to DTT's resignation, DTT had raised concerns to the Company        
    with regards to the sufficiency of, and access to, audit evidence,        
    errors in accounting treatment for certain intangible and fixed           
    assets, and also whether the Group has proper internal controls to        
    ensure that transactions are properly documented and proper books and     
    records maintained. The Company has confirmed with CCIF that CCIF will    
    consider alternative procedures to deal with the insufficiency of         
    audit evidence. The Company understands that the alternative              
    procedures will include obtaining third party confirmations and           
    establishing an audit trail of documents from order placement to raw      
    material procurement, production, invoicing and settlement of             
    invoices. The Company believes that the concern regarding access to       
    audit evidence was due to the reduction in manpower for the audit work    
    as a result of the completion of the acquisition of Eye Care Centers      
    of America, Inc., and the fact that the information systems of the