Oriental Explorer Holdings Limited — Earnings Release 2005

Dec 3, 2004

QPL International Holdings Limited

(Incorporated in Bermuda with limited liability)

(Stock code: 243)

ANNOUNCEMENT

ASAT released its unaudited results for the second quarter ended 31st October, 2004 on the NASDAQ National Market on 2nd December, 2004 of US time.

This announcement is being released by QPL International Holdings Limited (the “Company”) pursuant to rule 13.09 of the Listing Rules for information purpose only.

ASAT Holdings Limited (“ASAT”), a public company listed on the NASDAQ National Market and an approximately 42.5% owned associate company of QPL International Holdings Limited, released its unaudited results for the second quarter ended 31st October, 2004 on the NASDAQ National Market on 2nd December, 2004 of US time.

The results are prepared in accordance with accounting principles generally accepted in the United States of America and in United States dollars.

“ ASAT Holdings Limited

Consolidated Statements of Operations

(USD in thousands, except ADS and share data)

Quarter Ended October 31, 2004, July 31, 2004 and October 31, 2003 and for the Six Months Ended October 31, 2004 and 2003

Net Sales Cost of sales_(Note A)_ Gross profit	Quarter Ended	Quarter Ended	October 31, 2003 (Unaudited) 48,053 40,690 7,363	Six Months Ended	Six Months Ended
	October 31, 2004 (Unaudited) 47,527 45,237 2,290	July 31, 2004 (Unaudited) 55,549 48,785 6,764		October 31, 2004 (Unaudited) 103,076 94,022 9,054	October 31, 2003 (Unaudited)
					92,089 77,506
					14,583

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Operating expenses:
Selling, general and
administrative		6,646		6,719			5,698			13,365			11,506
Research and development		1,128		1,204			1,150			2,332			2,302
Reorganization expenses
(Note B)		713		–			–			713			–
Facilities charge		–		–			–			–			306
Total operating expenses		8,487		7,923			6,848			16,410			14,114
(Loss) Profit from operations		(6,197)		(1,159)			515			(7,356)			469
Other income, net		181		51			133			232			381
Interest expense:
– amortization of
deferred charges		(231)		(235)			(233)			(466)			(466)
– third parties		(3,468)		(3,469)			(3,294)			(6,937)			(6,588)
Loss before income taxes		(9,715)		(4,812)			(2,879)			(14,527)			(6,204)
Income tax expense		–		(5)			–			(5)			–
Net Loss		(9,715)		(4,817)			(2,879)			(14,532)			(6,204)
Net loss per ADS:
Basic and diluted:
Net loss	$	(0.072) $ (0.036)				$	(0.022)		$	(0.107)		$	(0.046)
Basic and diluted weighted
average number of
ADS outstanding		135,578,522		135,504,008		133,789,400			135,541,265			133,789,400
Net loss per ordinary share:
Basic and diluted:
Net loss	$	(0.014) $ (0.007)				$	(0.004)		$	(0.021)		$	(0.009)
Basic and diluted weighted
average number of ordinary
shares outstanding		677,892,610		677,520,040		668,947,000			677,706,325			668,947,000

• Note A: Includes $664, $678 and $220 of inventory write-down for the quarters ended October 31, 2004, July 31, 2004 and October 31, 2003, respectively.

• Note B: Includes a one-time charge associated with a headcount reduction of approximately 140 workers primarily in the Company’s Hong Kong operations.

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”

For further information, please contact: ASAT Holdings Limited Robert J. Gange, Chief Financial Officer Tel: 852-2439-8788

E-mail: bob-gange@asathk.com

As at the date of this announcement, the directors of the Company consist of Li Tung Lok (Chairman and Executive Director), Cheng Hoi Tao Henry (Executive Director), Robert Charles Nicholson (Independent Non-executive Director), Sze Tsai To Robert (Independent Non-executive Director) and Wong Chun Bong Alex (Independent Non-executive Director).

By Order of the Board QPL International Holdings Limited Li Tung Lok Chairman

Hong Kong, 3rd December, 2004

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

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