Rego Interactive Co., Ltd — Earnings Release 1999

Dec 23, 1999

Listed Company Information

TIANJIN BOHAI<1065> - Announcement 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. TIANJIN BOHAI CHEMICAL INDUSTRY (GROUP) COMPANY LIMITED (A joint stock limited company incorporated in the People's Republic of China with limited liability) Profit Warning The board of directors (the "Board") of Tianjin Bohai Chemical Industry (Group) Company Limited (the "Company") announces that the finial results of the Company and its subsidiary companies (the "Group") for the year ending 31st December 1999 is expected to have significant loss for the reasons set out below. This statement is made in accordance with the regulations of the China Securities Regulatory Commission. In the announcement on interim results published on 26th August 1999, the Board of the Company has mentioned that there were no fundamental changes in the conditions of sluggish demand in the chemical market and low product price. As shown by the unaudited consolidated profit and loss account prepared under generally accepted accounting principles in Hong Kong, the Group's loss attributable to shareholders for the six months ended 30th June 1999 amounted to Rmb210,644,000. During the second half of the year, the selling prices for certain products of the Group remained at a lower level. Although the Board of the Company has adopted a series of proactive measures such as reducing the production costs by way of reducing the number of staff, the Group's final results for the year ending 31st December 1999 is expected to have significant loss. Despite the anticipated significant loss, in the opinion of the directors, the Group still has sufficient working capital for the operation. The Group will carry out, directly or indirectly, a sufficient level of operations or have tangible assets of sufficient value and intangible assets for which a sufficient potential value can be demonstrated to warrant the continued listing of the Company's shares. Shareholders and investors of the Company are advised to exercise caution when dealing in the shares of the Company By Order of the Board Chen Yuanzhen Ip Pui Sum Company Secretaries Tianjin, 22nd December 1999