09:30 LENOVO GROUP<00992> - Announcement & Resumption (2) date of this announcement and 47.3% of the issued Non-voting Shares as at the date of this announcement. Following the Share Repurchase IBM will not hold any Excess Shares. Consideration: approximately US$152,221,909 (approximately HK$1,187,330,888) representing HK$2.725 per Excess Share. Conditions: the Repurchase Agreement is conditional upon, amongst other things: (i) the closing of the Investment Agreement; (ii) the approval by the Executive of the Share Repurchase; and (iii) the approval of the Share Repurchase by at least three-fourths of the votes cast at the EGM on a poll by Independent Shareholders. The conditions cannot be waived. Completion: the Closing of the Share Repurchase shall take place on the first business day after the fulfilment of all the conditions of the Repurchase Agreement or any other day as may be agreed by the parties thereto (unless terminated earlier in accordance with the Repurchase Agreement). Costs: All costs and expenses incurred in connection with the Repurchase Agreement and the transactions contemplated therein shall be paid by the party incurring such costs and expenses, save that all stamp duty in respect of the Share Repurchase will be borne by the Company. SHARE REPURCHASE PRICE The Share Repurchase Price was determined after arm's length negotiations between the Company and IBM. The Share Repurchase Price represents: (i) a premium of 1.87% to the Issue Price of the Excess Shares of HK$2.675; (ii) a premium of 1.87% to the closing price of the Shares of HK$2.675 as quoted on the Stock Exchange on 3 December 20041 being the last day of trading in Shares on the Stock Exchange before release of the first announcement in relation to the IBM Acquisition; (iii) a premium of 12.37% to the closing price of the Shares of HK$2.425 as quoted on the Stock Exchange on 29 April 2005, being the last day of trading in Shares on the Stock Exchange before signing of the Repurchase Agreement; (iv) a premium of 12.37% to the closing price of the Shares of HK$2.425 as quoted on the Stock Exchange on 29 April 2005 being the last day of trading in Shares on the Stock Exchange before release of this announcement; (v) a premium of 12.93% to the 10-day average closing price of the Shares as quoted on the Stock Exchange up to and including 29 April 2005 of HK$2.413; and (vi) a premium of 12.79% to the 6-month daily average closing price of the Shares as quoted on the Stock Exchange since 1 November 2004 up to and including 29 April 2005 of HK$2.416. Based on the latest audited consolidated accounts of the Company as at 31 March 2004, the net book asset value was US$575.48 million (equivalent to approximately US$0.077 (HK$0.60) per Share based on 7,475,594,108 Shares in issue as at 31 March 2004). The Share Repurchase Price represents a premium of approximately 354.17% to the net book asset value per Share. Based on the unaudited consolidated accounts of the Company as at 31 December 2004, the net book asset value was US$646.69 million (equivalent to approximately US$0.086 (HK$0.67) per Share based on 7,474,152,108 Shares in issue as at 31 December 2004). The Share Repurchase Price represents a premium of approximately 306.72% to the net book asset value per Share. For the years ended 31 March 2003 and 31 March 2004, the audited consolidated profits of the Company before taxation and minority interests was approximately US$131.88 million (HK$1,028.65 million) (2003) and US$127.54 million (HK$994.85 million) (2004) respectively. For the same period, the audited consolidated profits of the Company after tax and minority interests was approximately US$130.40 million (HK$1,017.15 million) (2003) and US$134.99 million (HK$1,052.89 million) (2004), respectively. For the nine months ended 31 December 2004, the unaudited consolidated profits of the Company before taxation