Crypto Flow Technology Limited — Board/Management Information 2004

Sep 23, 2004

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.

WAFER SYSTEMS LIMITED

威 發 系 統 有 限 公 司*

(Incorporated in the Cayman Islands with limited liability)

(Stock Code : 8198)

APPOINTMENT OF INDEPENDENT NON-EXECUTIVE DIRECTOR

AND CHANGES IN COMPOSITION OF AUDIT COMMITTEE

The board (the “Board”) of directors (“Director(s)”) of Wafer Systems Limited (the “Company”) is pleased to announce that Mr. Yu Zhonghou (于忠厚) (“Mr. Yu”) has been appointed as an independent non-executive director and a member of the audit committee of the Company with effect from 23 September 2004.

Mr. Yu, aged 53, graduated in 1975 from the Tianjin University in the People’s Republic of China (the “PRC”) with a Bachelor’s degree in Equipment Automation Science. Mr. Yu is also a holder of a Master’s degree in Commercial Economics from the Faculty of Finance and Trade of China Academy of Social Sciences.

Mr. Yu has almost 30 years’ experience in the field of electronics. Starting his career in the PRC’s Ministry of Electronic Industries, he has held various positions in such Ministry, including deputy director for the Technology Imports Office and director of Shaanxi Color Picture Tubes Factory.

Mr. Yu is currently the chairman and general manager of Century Science and Technology Investments Co. Ltd. in Shenzhen, the PRC, which position he has held since October 2002. Save as disclosed above, Mr. Yu has not held any directorship in other listed companies in the last three years and does not hold any other major appointments and qualifications.

Mr. Yu has not previously held any position with the Company or any of its subsidiaries. As at the date of this announcement, Mr. Yu is not connected with any directors, the chief executive, any management shareholders or substantial shareholders of the Company, and he does not have any interests in the shares in the Company within the meaning of Part XV of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong).

Pursuant to the appointment letter entered into between Mr. Yu and the Company, Mr. Yu will receive a director’s fee of HK$72,000 per annum, which was determined having regard to his duties in the Company and the prevailing market rate. Mr. Yu will serve the Company for a term of two years, commencing on 23 September 2004, however he will be subject to retirement by rotation and re-election at annual general meetings of the Company in accordance with the articles of association of the Company.

The Board would like to take this opportunity to welcome Mr. Yu on the Board.

Apart from the appointment of Mr. Yu, the Board would also like to announce the resignation of Mr. Chan Sek Keung, Ringo (“Mr. Chan”), the chairman of the Company, from the audit committee of the Company, with effect from 23 September 2004. The Board would like to thank Mr. Chan for his services in the audit committee.

By order of the Board

Chan Sek Keung, Ringo

Chairman

Hong Kong, 23 September 2004

As at the date of this announcement, the Board consists of one executive Director, namely Mr. CHAN Sek Keung, Ringo, three non-executive Directors, namely Mr. Alasdair Gordon NAGLE, Ms. Clara HO and Mr. KWAN Kit Tong and three independent non-executive Directors, namely Mr. PANG Hing Chung, Alfred, Mr. TSOI Tai Wai, David and Mr. YU Zhonghou.

This announcement, for which the directors of the Company collectively and individually accept full responsibility, includes particulars given in compliance with the Rules governing the Listing of Securities on the Growth Enterprise Market of the Stock Exchange for the purpose of giving information with regard to the Company. The directors of the Company, having made all reasonable enquiries, confirm that, to the best of their knowledge and belief : (1) the information contained in this announcement is accurate and complete in all material respects and not misleading; (2) there are no other matters the omission of which would make any statement in their announcement misleading; and (3) all opinions expressed in this announcement have been arrived at after due and careful consideration and are founded on bases and assumptions that are fair and reasonable.

This announcement will remain on the “Latest Company Announcements” page of the GEM Website at www.hkgem.com for at least 7 days form the date of its publication.

* For identification purpose only