09:20     <00017> & <00917> - Joint Announcement & <00917> Resume (2)         

    Suspension and resumption of trading in the Shares on the Stock           
    Exchange                                                                  
                                                                              
    Trading in the Shares on the Stock Exchange was suspended with            
    effect from 9:30 a.m. on Tuesday, 24 May 2005 at the request of           
    the Company pending the release of this announcement.                     
    Application has been made by the Company for the resumption of            
    trading in the Shares on the Stock Exchange with effect from 9:30         
    a.m. on Thursday, 26 May 2005.                                            
                                                                              
    As the placing of the Placing Shares may or may not be consummated,       
    investors are advised to exercise caution when dealing in the             
    Shares.                                                                   
                                                                              
    PLACING AGREEMENT                                                         
                                                                              
    1.   Parties to the Placing Agreement                                     
                                                                              
    (1)   Easywin, as vendor                                                  
                                                                              
    (2)   NWD                                                                 
                                                                              
    (3)   Tai Fook Securities Company Limited, as placing agent               
                                                                              
    2.   Principal terms of the Placing Agreement                             
                                                                              
    Placing Shares                                                            
    :                                                                         
    Up to a maximum of 262 million existing Shares will be placed             
    through the Placing Agent to Independent Third Parties on a best          
    effort basis.  Assuming all the 262 million existing Shares are           
    successfully placed, the Placing Shares will represent                    
    approximately 6.95% of the issued share capital of the Company as         
    at the date of this announcement.                                         
                                                                              
    Placing Price                                                             
    :                                                                         
    HK$2.90 per Share, representing:                                          
                                                                              
    (i)   a premium of approximately 6.42% over the closing price of          
    HK$2.725 per Share as quoted on the Stock Exchange as at 23 May           
    2005, being the last trading day of the Shares on the Stock Exchange      
    prior to the suspension of the trading in the Shares on the Stock         
    Exchange;                                                                 
                                                                              
    (ii)   a premium of approximately 2.47% over the 10-day average           
    closing price of HK$2.830 per Share for the last 10 consecutive           
    trading days up to and including 23 May 2005 as quoted on the Stock       
    Exchange; and                                                             
                                                                              
    (iii)   a premium of approximately 3.42% over the 30-day average          
    closing price of approximately HK$2.804 per Share for the last 30         
    consecutive trading days up to and including 23 May 2005 as quoted        
    on the Stock Exchange.                                                    
                                                                              
    The Placing Price was determined after arm's length negotiations          
    between Easywin, NWD and the Placing Agent which have taken into          
    account the intrinsic value of the Put Option to be granted by            
    Easywin to the Placees.                                                   
                                                                              
    Placees                                                                   
    :                                                                         
    All being Independent Third Parties.  Each of the Placees is not          
    financed directly or indirectly by a connected person of the              
    Company for the purchase of the Placing Shares.                           
                                                                              
    Completion                                                                
    :                                                                         
    The Placing Agreement is not subject to any conditions and is             
    expected to be completed on or before 3 June 2005.                        
                                                                              
    Ranking                                                                   
    :                                                                         
    The Placing Shares rank pari passu in all respects with the               
    existing issued Shares as at the date of the Placing Agreement.           
    The holders of the Placing Shares have the rights to (i) attend           
    and vote at general meetings of the Company; and (ii) receive             
    dividend declared by the Company by virtue of them being holders          
    of the Shares.                                                            
                                                                              
    Lock-up                                                                   
    :                                                                         
    There is no lock-up period imposed on the Placees in respect of           
    the Placing Shares pursuant to the Placing Agreement and the rights       
    of the Placees to exercise the Put Options will not be lost even          
    if the Placees have sold all of their Placing Shares.