10:33     HUALING<00382> - Announcement & Resumption (15)                     

    issued by the Company pursuant to the Rights Issue, on the                
    assumption that no outstanding share options granted by the               
    Company are exercised on or before the Record Date                        
                                                                              
    "Share(s)"      the ordinary shares which have a par value of             
    HK$0.10 each in the capital of the Company                                
                                                                              
    "Shareholder(s)"        shareholder(s) of the Company                     
                                                                              
    "Stock Exchange"        The Stock Exchange of Hong Kong Limited           
                                                                              
    "Subscription Price"    subscription price of HK$0.10 per Rights          
    Share                                                                     
                                                                              
    "Subscription Monies"   the subscription monies payable by Midea          
    International to the Company in respect of the Rights Shares              
    underwritten by Midea International                                       
                                                                              
    "Takeovers Code"        The Hong Kong Code on Takeovers and Mergers       
    and Share Repurchases                                                     
                                                                              
    "Underwriting Agreement"        the underwriting agreement entered        
    into between the Company and Midea International in relation              
    to the Rights Issue                                                       
                                                                              
    "Whitewash Waiver"      a waiver from the obligation of Midea             
    International and parties acting in concert with it to make a             
    mandatory offer under Rule 26 of the Takeovers Code as a result           
    of the allotment and issue of Rights Shares                               
                                                                              
    "1993 Share Option Scheme"      the share option scheme adopted by        
    the Company on 26 November 1993 and terminated on 27 June 2003            
                                                                              
    "2003 Share Option Scheme"      the share option scheme adopted by        
    the Company on 27 June 2003                                               
                                                                              
    "%"     per cent.                                                         
                                                                              
    By order of the board                                                     
    Hualing Holdings Limited                                                  
    Fang Hongbo                                                               
    Chairman                                                                  
                                                                              
                                                                              
    Hong Kong, 19 May 2005                                                    
                                                                              
    As at the date of this announcement, the executive Directors              
    are Mr. Fang Hongbo, Mr. Liu Liang and Mr. Zhang Quan; the                
    non-executive Directors are Mr. Li Jianwei, Ms. Yuan Liqun, Mr.           
    Zhang Xin Hua and Mr. Chen Yu Hang; the independent non-executive         
    Directors are Mr. Chan Wai Dune, Mr. Lam Ming Yung and Ms. Chen           
    Chunhua.                                                                  
                                                                              
    The directors of Midea International jointly and severally                
    accept full responsibility for the accuracy of the information            
    contained in this announcement (other than those in relation              
    to the Group and confirm, having made all reasonable enquiries,           
    that to the best of their knowledge, opinions expressed in this           
    announcement have been arrived at after due and careful                   
    consideration and there are no other facts not contained in this          
    announcement (other than those in relation to the Group) the              
    omission of which would make any statement in this announcement           
    misleading.                                                               
                                                                              
    The directors of the Company jointly and severally accept full            
    responsibility for the accuracy of the information contained              
    in this announcement (other than that in relation to Midea                
    International) and confirm, having made all reasonable enquiries,         
    that to the best of their knowledge, opinions expressed in this           
    announcement have been arrived at after due and careful                   
    consideration and there are no other facts not contained in this