Design Capital Limited — M&A Activity 2005

Jun 6, 2005

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.

This announcement appears for information purposes only and does not constitute an invitation or offer to acquire, purchase or subscribe for securities of Swank International Manufacturing Company Limited.

CHINA TIME INVESTMENT HOLDINGS LIMITED

(incorporated in the British Virgin Islands with limited liability)

DESPATCH OF THE OFFER DOCUMENT IN RELATION TO UNCONDITIONAL MANDATORY CASH OFFER BY

ON BEHALF OF CHINA TIME INVESTMENT HOLDINGS LIMITED TO ACQUIRE ALL THE ISSUED SHARES OF HK$0.01 EACH IN THE SHARE CAPITAL OF SWANK INTERNATIONAL MANUFACTURING COMPANY LIMITED (stock code: 663) (OTHER THAN THOSE SHARES ALREADY OWNED BY THE OFFEROR AND PARTIES ACTING IN CONCERT WITH IT)

Financial adviser to the Offeror

The Offer Document containing, amongst other things, the terms of the Offer, together with the Form of Acceptance has been despatched to the shareholders of Swank on 6 June 2005. The latest time for acceptance of the Offer is 4:00 p.m. on Monday, 4 July 2005. The Offer, which is unconditional, will close on Monday, 4 July 2005 unless the Offeror revises or extends the Offer in accordance with the Takeovers Code.

Swank is required to despatch the Response Document in relation to the Offer to its Shareholders within 14 days of the posting of the Offer Document. Shareholders are strongly advised to read the Response Document, in particular, the recommendation of the independent board committee of Swank and the advice of the independent financial adviser to such independent board committee, before deciding whether or not to accept the Offer.

Reference is made to the joint announcement dated 18 April 2005 made jointly by, among others, Swank and the Offeror regarding the Offer. Unless otherwise stated, capitalised terms used in this announcement shall have the same meanings as those defined in the offer document (the “Offer Document”) despatched to the Shareholders on 6 June 2005.

DESPATCH OF THE OFFER DOCUMENT

The Offeror wishes to announce that the Offer Document containing terms and details of the Offer, together with the Form of Acceptance, has been despatched to the shareholders of Swank (the “Shareholders”) on 6 June 2005.

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The latest time for acceptance of the Offer is 4:00 p.m. on Monday, 4 July 2005. The Offer, which is unconditional, will close on Monday, 4 July 2005 unless the Offeror revises or extends the Offer in accordance with the Takeovers Code. An announcement on the result of the Offer will be posted on the website of the Stock Exchange at www.hkex.com.hk by 7:00 p.m. on Monday, 4 July 2005. Such announcement will be published in the newspapers on Tuesday, 5 July 2005.

Pursuant to the Takeovers Code, Swank is required to despatch to the Shareholders the response document (the “Response Document”) in respect of the Offer within 14 days after posting of the Offer Document. Shareholders are strongly advised to read the Response Document, in particular, the recommendation of the independent board committee of Swank and the advice of the independent financial adviser, Barits Securities (Hong Kong) Limited, to such independent board committee, before deciding whether or not to accept the Offer.

The Offeror intends to maintain the listing of the Shares on the Stock Exchange. The Offeror will undertake to the Stock Exchange to take appropriate steps as soon as possible following the close of the Offer to ensure that not less than 25% of the Shares will be held by the public.

By Order of the Board China Time Investment Holdings Limited Wang An Kang Chairman

Hong Kong, 6 June 2005

The directors of the Offeror jointly and severally accept full responsibility for the accuracy of the information contained in this announcement 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, the omission of which would make any statement in this announcement misleading.

Please also refer to the published version of this announcement in The Standard.

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