09:18     WING ON TRAVEL<01189> - Announcement (1)                            

    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.                   
                                                                              
                                                                              
    WING ON TRAVEL (HOLDINGS) LIMITED                                         
    (Incorporated in Bermuda with limited liability)                          
    (Stock Code: 1189)                                                        
                                                                              
    PROPOSED                                                                  
    CANCELLATION OF SHARE PREMIUM ACCOUNT                                     
    SET OFF OF ACCUMULATED LOSSES                                             
    AND                                                                       
    INCREASE IN AUTHORISED SHARE CAPITAL                                      
                                                                              
                                                                              
    The Company intends to put forward for approval by the Shareholders at    
    the SGM resolution(s) to approve the Cancellation and the Set Off         
    pursuant to which:                                                        
                                                                              
    (a)   the entire amount standing to the credit of the share premium       
    account of the Company will be cancelled; and                             
                                                                              
    (b)   the credit arising from the cancellation of the share premium       
    account will be transferred to the contributed surplus account of the     
    Company and such credit will be partially used to set off against the     
    accumulated losses of the Company.                                        
                                                                              
    According to the latest audited accounts of the Company for the year      
    ended 31 December 2004, the accumulated losses of the Company as at 31    
    December 2004 amounted to approximately HK$1,120,764,000.00. Based on     
    the latest management accounts of the Company as at 31 March 2005, the    
    share premium account of the Company amounted to approximately            
    HK$1,296,591,000.00.                                                      
                                                                              
    The Cancellation and the Set Off are conditional upon:                    
                                                                              
    (i)   the passing at the SGM of a special resolution approving the        
    Cancellation and the Set Off; and                                         
                                                                              
    (ii)   compliance by the Company with the requirements of Section 46(2)   
    of the Companies Act 1981 of Bermuda.                                     
                                                                              
    In addition, the Directors propose to increase the authorised share       
    capital of the Company from HK$500,000,000.00 divided into 500,000,000    
    Shares of HK$1.00 each to HK$1,500,000,000.00 divided into 1,500,000,000  
     Shares by creation of an additional 1,000,000,000 Shares. The increase   
    in the authorised share capital of the Company is conditional upon the    
    passing of an ordinary resolution by the Shareholders at the SGM.         
                                                                              
    Approval from the Shareholders will be required for the Cancellation,     
    the Set Off and the increase in the authorised share capital of the       
    Company. A circular containing details of the Cancellation, the Set Off,  
     the increase in the authorised share capital of the Company and the      
    notice of SGM will be despatched to the Shareholders as soon as           
    practicable.                                                              
                                                                              
    PROPOSED CANCELLATION AND THE SET OFF                                     
                                                                              
    The Company intends to put forward for approval by the Shareholders at    
    the SGM resolution(s) to approve, subject to the conditions set out       
    below, the Cancellation and the Set Off pursuant to which:                
                                                                              
    (a)   the entire amount standing to the credit of the share premium       
    account of the Company will be cancelled; and                             
                                                                              
    (b)   the credit arising from the cancellation of the share premium       
    account will be transferred to the contributed surplus account of the     
    Company and such credit will be partially used to set off against the     
    accumulated losses of the Company.                                        
                                                                              
    According to the latest audited accounts of the Company for the year      
    ended 31 December 2004, the accumulated losses of the Company as at 31    
    December 2004 amounted to approximately HK$1,120,764,000.00. Based on     
    the latest management accounts of the Company as at 31 March 2005, the    
    share premium account of the Company amounted to approximately            
    HK$1,296,591,000.00.                                                      
                                                                              
    Conditions of the Cancellation and the Set Off                            
                                                                              
    The Cancellation and the Set Off will be conditional upon:                
                                                                              
    (i)   the passing at the SGM of a special resolution approving the