10:03 <04950>, <04951>, <04952>, <04953> & <04954> - Ann. (1) This announcement appears for information purposes only and does not constitute an invitation or offer to acquire, purchase or subscribe for the Warrants (as defined below). The Stock Exchange of Hong Kong Limited takes no responsibility for the contents of this announcement, makes no representation as to its accuracy or completeness and expressly disclaims any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement. 150,000,000 European Style Call Warrants (Cash Settled) 2005 relating to existing issued ordinary shares of HK$2.00 each of Henderson Land Development Company Limited ("1st Series Warrants") and 150,000,000 European Style Call Warrants (Cash Settled) 2005 relating to existing issued ordinary shares of HK$0.10 each of China Unicom Limited ("2nd Series Warrants") and 200,000,000 European Style Call Warrants (Cash Settled) 2005 relating to existing issued ordinary shares of HK$0.25 each of PCCW Limited ("3rd Series Warrants") and 88,000,000 European Style Call Warrants (Cash Settled) 2005-2006 relating to existing issued ordinary shares of HK$0.10 each of Esprit Holdings Limited ("4th Series Warrants") and 200,000,000 European Style Call Warrants (Cash Settled) 2005-2006 relating to existing issued ordinary H shares of RMB1.00 each of China Life Insurance Company Limited ("5th Series Warrants") (together the "Warrants") All Issued by Macquarie Bank Limited (ABN 46 008 583 542) (incorporated under the laws of Australia) Sponsor Macquarie Equities (Asia) Limited Macquarie Bank Limited (ABN 46 008 583 542) (the "Issuer") announces that it intends to issue each of the series of the Warrants detailed below. In respect of each series, the Warrants relate to the existing issued ordinary shares of the relevant company specified below (the "Shares"). Each series of Warrants may only be exercised on the relevant expiry date (the "Expiry Date"), at the relevant exercise price (the "Exercise Price") and in the relevant board lot (the "Board Lot") or integral multiples thereof, all of which are specified below. Warrants Board Lot Issue Price per Warrant Number of Warrants per Entitlement Entitlement Shares Expiry Date Exercise Price 1st Series Warrants 10,000 HK$0.250 Ten One Share existing issued ordinary shares of HK$2.00 each of Henderson Land Development Company Limited 30 December 2005 HK$37.00 2nd Series Warrants 2,000 HK$0.535 One One Share existing issued ordinary shares of HK$0.10 each of China Unicom Limited 30 December 2005 HK$6.88 3rd Series Warrants 1,000 HK$0.293 One One Share existing issued ordinary shares of HK$0.25 each of PCCW Limited 30 December 2005 HK$5.00 4th Series Warrants 5,000 HK$0.564 Ten One Share existing issued ordinary shares of HK$0.10 each of Esprit Holdings Limited 8 May 2006 HK$63.88 5th Series Warrants 1,000 HK$0.471 One One Share existing issued ordinary H shares of RMB1.00 each of China Life Insurance Company Limited 28 February 2006 HK$5.55 Every Board Lot will entitle the holder on exercise thereof to receive from the Issuer a cash amount (if positive) (the "Cash Settlement Amount "): Cash Settlement Amount per Board Lot = Entitlement x (Average Price - Exercise Price) x one Board Lot ------------------------------------------------- Number of Warrants per Entitlement "Average Price" shall be the arithmetic mean of the closing prices of one Share (as derived from the Daily Quotation Sheet of The Stock Exchange of Hong Kong Limited (the "Stock Exchange"), subject to any adjustments (as determined by the Issuer in accordance with the Conditions) to such closing prices as may be necessary to reflect any capitalisation, rights issue, distribution or the like) for each of the 5 Valuation Dates prior to expiry. The Warrants will be automatically exercised on the Expiry Date (without any notice being given to the holders of the Warrants) if the Cash Settlement Amount on the Expiry Date is greater than zero and the Issuer will pay to the holders of the Warrants an amount less exercise expenses calculated in accordance with the Conditions of the Warrants. If the Cash Settlement Amount is less than or equal to zero, all Warrants shall be deemed to expire on the Expiry Date without value. The Warrants constitute general unsecured contractual obligations of the Issuer and of no other person. If you purchase the Warrants you are relying upon the creditworthiness of the Issuer.