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(Hong Kong, 27th April, 2000) -- Singamas Container Holdings Limited ("Singamas"), one of the leading container manufacturers in the world and one of the major operators of container depots and mid-stream services in the Asia-Pacific region, today announced its annual results for the year ended 31st December, 1999.

The Group recorded a consolidated turnover of US$138,056,000, 6.5% lower than in 1998. However, total consolidated net profit increased substantially to US$3,424,000, 40% higher than the previous year's figure of US$2,445,000.

Earnings per share were US0.75 cent as compared with US0.54 cent of last year.

The improved results were mainly due to the better performance achieved by the Group's container depot operations, especially in the People's Republic of China (the "PRC").

Mr. Y. C. Chang, Chairman of Singamas said, "The Group's well-established container depot network in the PRC not only enhances our competitiveness and market position in the region, it also enables us to achieve satisfactory performances in 1999 and provide long-term profitability for the Group."

With sales recorded at US$109,812,000 in 1999, container manufacturing is the Group's core business contributing to approximately 79.5% of the Group's turnover. Performance of container manufacturing was affected by the severe imbalance of trade flow and the increase in raw material costs in the first half of 1999. Although the overall business environment in the second half of the year improved, the average selling price for dry freight containers declined from 1998's US$1,600 per twenty-foot equivalent units ("TEUs") to US$1,475 in 1999.

"To capture a larger market share and achieve economy of scale, Shanghai Pacific International Container Co., Ltd. restarted its second production shift in 1999, which was previously suspended in the second half of 1996. This together with the good performance achieved by Xiamen Pacific Container Manufacturing Co., Ltd. increased the Group's overall production by 23.8% to 100,833 TEUs in 1999, " Mr. Chang said.

The Group took over the operation and management of a new factory in Shunde, Shun An Da Container Manufacturing Co., Ltd. ("Shun An Da") in July 1999. Shun An Da has two production lines with an annual capacity of 120,000 TEUs. The inclusion of Shun An Da strengthened the Group's business growth and competitiveness by establishing a wider manufacturing network in the PRC.

During the year under review, container depot operations achieved a turnover of US$20,261,000 as compared with 1998's US$19,238,000. The improvement was primarily due to the Group's five container depots located in the PRC, which experienced robust growth in 1999.

The Group also invested in and took over the management and operations of Dalian Singamas International Container Co., Ltd. ("DSIC") on April 1, 2000. The addition of DSIC to the Group's operations, enables Singamas to complete its depot network stretching from the north to the south along the coastal cities in Dalian, Tianjin, Qingdao, Shanghai, Ningbo and Xiamen of the PRC.

Mr. Chang said, "The depot network provides customers more quality services and at the same time enhances the Group's market share. We will continue to identify strategic locations to extend this network, thus further increasing our market penetration."

The overall performance of the Hong Kong depot operations also improved from 1998. The slow-down in cargo throughput and higher idle leased container inventory in Hong Kong increased the Group's Hong Kong depots' empty container storage business. However, the growth in cargo throughput during the second half of the year affected the Hong Kong depot operations and business began to slow down in the fourth quarter of 1999.

With the improvement in efficiency and increase in the container repositioning business, the mid-stream operation managed to achieve sales of US$7,983,000 in 1999 with profit before taxation and minority interests of US$1,167,000.

Mr. Chang concluded, "1999 has been a year of business recovery for the Group after the Asian economic slump in 1997. Recent published statistics indicate that the shipping industry is recovering and with the rising trade volume in the region, we expect container demand will increase. As one of the leading container manufacturers in the world, we are well positioned to benefit from this buoyant market. There will be more business opportunities for the Group's container manufacturing and depot business, especially in the PRC. We are confident that this upward business trend will continue in 2000."

Note: The full text of the Company's final results announcement can be accessed through the Internet at :
          http://www.irasia.com/listco/hk/singamas

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