09:26     CHEUNG KONG<00001>&HUTCHISON<00013>-Joint Announcement(3)           

    Any contribution to the registered capital of, and any                    
    shareholders' loans to, JVCos is expected to be made equally              
    by indirect subsidiaries of CKH and HWL in proportion to their            
    respective equity interests in these companies and to be provided         
    by CKH and HWL using their respective internal resources. It              
    is expected that any profit of each JVCo is to be for the sole            
    account of Chellic and to be ultimately shared equally by                 
    indirect subsidiaries of CKH and HWL in proportion to their               
    respective indirect equity interests in such JVCo.                        
                                                                              
    Reasons for the transaction                                               
                                                                              
    The addition of the Jiang Han District, North Property and Jiang          
    Han District, South Property to the landbank for development              
    into commercial and residential properties is consistent with             
    one of the core business strategies for both CKH and HWL.                 
                                                                              
    The respective Boards of CKH and HWL, including the respective            
    Independent Non-executive Directors of CKH and HWL, consider              
    the terms for the purchase of the Jiang Han District, North               
    Property and Jiang Han District, South Property respectively              
    and for the establishment of JVCos for the purpose of the                 
    Acquisition and Development to be in the interests of CKH and             
    HWL and their respective shareholders, on normal commercial               
    terms and fair and reasonable so far as CKH and HWL and their             
    respective shareholders are concerned.                                    
                                                                              
    Connected transactions                                                    
                                                                              
    HWL is a substantial shareholder of certain subsidiaries of CKH           
    and hence is a connected person of CKH within the meaning of              
    the Listing Rules. CKH is a substantial shareholder of HWL and            
    hence is a connected person of HWL within the meaning of the              
    Listing Rules.                                                            
                                                                              
    The joint venture arrangements for the purpose of effecting the           
    Acquisition and Development constitute connected transactions             
    for CKH and HWL under Listing Rule 14A.13(6). The Stock Exchange          
    rules that (i) the amount of total capital commitment of each             
    of CKH and HWL in connection with the establishment of each JVCo          
    is equal to 50% of the proposed total investment of such JVCo             
    for the purpose of Listing Rule 14.15(2); and (ii) having regard          
    to the circumstances of this case, the capital commitment of              
    each of CKH and HWL in connection with both JVCos has to be               
    aggregated in determining the relevant percentage ratios for              
    Listing Rules purposes. As the relevant percentage ratios                 
    represented by such aggregated "commitment" amount for each of            
    CKH and HWL are more than 0.1% but less than 2.5%, such                   
    establishment of JVCos is according to Listing Rule 14A.32 exempt         
    from the independent shareholders' approval requirements and              
    is subject to the reporting and announcement requirements set             
    out in Listing Rules 14A.45 to 14A.47.                                    
                                                                              
    General                                                                   
                                                                              
    The principal activities of the CKH Group are investment holding,         
    property development and investment, hotel and serviced suite             
    operation, property and project management and investments in             
    securities.                                                               
                                                                              
    The HWL Group operates and invests in five core businesses: ports         
    and related services; property and hotels; retail and                     
    manufacturing; energy, infrastructure, finance and investments;           
    and telecommunications.                                                   
                                                                              
    The directors (Note) of CKH as at the date of this announcement           
    are Mr. LI Ka-shing (Chairman),                                           
    Mr. LI Tzar Kuoi, Victor (Managing Director and Deputy Chairman),         
    Mr. George Colin MAGNUS (Deputy Chairman), Mr.