- PDF Free Download

600320 900947 2004 OO

2004... 1... 3... 6... 10... 17... 19... 27... 28... 33... 33 1

2004 1

2004 1 Shanghai Zhenhua Port Machinery Co.,Ltd. ZPMC 2 3 3470 8621-38810381 8621-58399555 E-mailzpmc@public.sta.net.cn 4 3470 3470 200125 http://www.zpmc.com zpmc@public.sta.net.cn 5 http://www.sse.com.cn 6 AB A A 600320 B B B 900947 7 1992 2 14 3470 023817 310042607206953 202 11 202 11 2

2004 : : 466,058,804 456,907,889 450,539,576 872,229,294 12,464,803 463,905,045 1,500,391 0 653,368 149,272,177 1,234,276,179 : : 456,908 277,693 2,128,729 3,465,997-29,482 0 0-29,482 427,426 277,693 2,128,729 3,436,515 : : 0 0 0 2,240,000 0 0 0 0 0 653,368 0 4,138,632 0 0-663,687 6,368,313 3

2004 : : 2003 2002 2004 (% 7,109,664,330 4,628,172,800 4,628,172,800 53.62 3,074,237,616 3,074,237,616 466,058,804 309,976,046 309,976,046 50.35 155,364,118 155,364,118 456,907,889 277,692,747 277,692,747 64.54 137,004,461 137,004,461 450,539,576 275,079,295 275,079,295 63.79 135,473,436 135,473,436 2003 2002 2004 (% 11,955,452,259 7,281,864,087 7,271,169,675 64.18 5,436,505,632 5,205,288,896 3,465,996,854 2,128,729,091 2,128,729,091 62.82 1,942,336,344 1,851,036,344 149,272,177-123,823,269-123,823,269-220.55-151,315,439-151,315,439 2003 2002 2004 (% 0.44 0.61 0.61-27.87 0.30 0.30 13.18 % 13.05 13.05 1.00 7.05 7.40 13.00 12.92 12.92 0.62 6.97 7.32 % 0.15-0.27-0.27-155.56-0.33-0.33 0.56 0.61 0.61-8.20 0.30 0.30 0.44 0.60 0.60-26.67 0.30 0.30 0.55 0.60 0.60-8.33 0.30 0.30 19.85 % 13.64 13.64 45.53 7.22 7.31 19.57 13.51 13.51 44.86 7.14 7.23 % 2003 2002 2004 (% 3.37 4.66 4.66-27.68 4.25 4.05 3.37 4.66 4.66-27.68 4.25 4.05 2003 2004 A 45650 102728 2004 102728 20032002 45650 4

2004 9 : : % 25.17 37.89 0.85 1.07 13.38 20.15 0.45 0.57 13.18 19.85 0.44 0.56 13.00 19.57 0.44 0.55 : : 456,500,000 1,116,492,961 279,067,821 96,398,949 276,668,309 2,128,729,091 570,780,000 862,079,936 297,712,631 45,801,943 456,907,889 2,187,480,456 0-278,600,062 0 0-571,612,631-850,212,693 1,027,280,000 1,699,972,835 576,780,452 142,200,892 161,963,567 3,465,996,854 1 2003 2003 456,500,000 10 4 2003 2003 2003 456,500,000 10 6 1 456,500,000 456,500,000 (2004 214 2 2004 12 24 (2004165 ( 2004 12 23 114,280,000 966,903,026 1 114,280,000 852,623,026 (2004253 5

2004 1 : 1 258,500,000 103,400,000 155,100,000 0 517,000,000 0 0 0 0 0 160,556,000 64,222,400 96,333,600 0 321,112,000 97,944,000 39,177,600 58,766,400 0 195,888,000 0 0 0 0 0 2 0 0 0 0 0 3 0 0 0 0 0 4 0 0 0 0 0 258,500,000 103,400,000 155,100,000 0 517,000,000 1 88,000,000 35,200,000 52,800,000 114,280,000 290,280,000 2 110,000,000 44,000,000 66,000,000 0 220,000,000 3 0 0 0 0 0 4 0 0 0 0 0 198,000,000 79,200,000 118,800,000 114,280,000 510,280,000 456,500,000 182,600,000 273,900,000 114,280,000 1,027,280,000 2 62,614,673 17,478,708 3 (1 : : A 2004-12-23 8.75 114,280,000 2004-12-31 34,186,619 A 2004-12-23 8.75 114,280,000 2005-01-31 13,392,300 A 2004-12-23 8.75 114,280,000 2005-03-31 66,701,081 (2 2003 2003 456,500,000 10 4 2003 2003 6

2004 2003 456,500,000 10 6 1 456,500,000 456,500,000 (2004 214 2004 12 24 (2004165 ( 2004 12 23 114,280,000 966,903,026 1 114,280,000 852,623,026 (2004253 (3 1 48,395 3 A 32,934 B 15,458 2 : ( (% 160,556,000 321,112,000 31.26 96,112,500 192,225,000 18.71 TOYO SECURITIES ASIA LTD. A/CCLIENT 15,199,443 18,503,713 1.80 11,785,794 11,785,794 1.15 HKSBCSB S/A-BANQUE INT.A LUXEM BOURG S/A HSBC GLOBAL INV. FUNDS CHINESE EQUITY NIKKOCITI TRUST AND BANKING CO RPORATION S/A RE: JF CHINA MOTHER FUND SCBHK A/C BONY S/A MATTHEWS INTL FUNDS - MATTHEWS DRAGON CENTURY CHINA FUND 5,268,078 10,536,156 1.03 8,205,000 9,205,000 0.90 5,587,183 8,729,682 0.85 7,842,242 7,842,242 0.76 7,100,000 7,100,000 0.69 NAITO SECURITIES CO., LTD. 5,123,208 6,835,355 0.67 7

2004 1 104 106 ( 104 106 A 114,280,000 A 34,186,590 2004 12 31 80,093,381 13,392,300 66,701,081 2005 1 31 3 31 2 2,352,250 3 2005 3 31 3,178,855 3 2005 3 31 765,374 3 2005 3 31 3 1 ( 234,549 1980 1 16 321,112,000 31.26% 2004 2 3 8

2004 4 3,500 1996 C 192,225,000 18.71% 2003 5 ABH TOYO SECURITIES ASIA LTD. A/CCLIENT 18,503,713 B 11,785,794 A HKSBCSB S/A-BANQUE INT.A LUXEM BOURG S/A HSBC GLOBAL INV. FUNDS CHINESE EQUITY 10,536,156 B NIKKOCITI TRUST AND BANKING CO RPORATION S/A RE: JF CHINA MOTHER FUND 9,205,000 B SCBHK A/C BONY S/A MATTHEWS INTL FUNDS - MATTHEWS DRAGON CENTURY CHINA FUND 8,729,682 B 7,842,242 A 7,100,000 A NAITO SECURITIES CO., LTD. 6,835,355 B JPMCB / FF GREATER CHINA FUND 6,550,000 B 6,167,601 A ( 9

2004 1 : 62 2004-03-18 2007-03-18 0 0 0 44 2004-03-18 2007-03-18 0 0 0 72 2004-03-18 2007-03-18 0 0 0 41 2004-03-18 2007-03-18 0 0 0 46 2004-03-18 2007-03-18 0 0 0 48 2004-03-18 2007-03-18 0 0 0 33 2004-03-18 2007-03-18 0 0 0 49 2004-03-18 2007-03-18 0 0 0 57 2004-03-18 2007-03-18 0 0 0 51 2004-03-18 2007-03-18 0 0 0 46 2004-03-18 2007-03-18 0 0 0 56 2004-03-18 2007-03-18 0 0 0 45 2004-03-18 2007-03-18 0 0 0 51 2004-03-18 2007-03-18 0 0 0 42 2004-03-18 2007-03-18 0 0 0 58 2004-03-18 2007-03-18 0 0 0 49 2004-03-18 2007-03-18 0 0 0 59 2004-03-18 2007-03-18 0 0 0 30 2005-01-27 2007-03-18 0 0 0 66 2004-03-18 2007-03-18 0 0 0 58 2004-03-18 2007-03-18 0 0 0 64 2004-03-18 2007-03-18 0 0 0 (1 2001 (2 2001 (3 1992 2 (4 MBA 1992 12 (5 2003 10

2004 (6 MBA 1996 12 (7 MBA 2001 (8 2002 (9 1984 1985 1989 1991 1995 1996 1999 2001 MBA WTO (10 1983 1997 1986 1999 1993 1997 2000 2000 2001 (11 1986 1997 1997 1999 1999 (12 (13 (14 1997 (15 MBA 2004 3 11

2004 (16 MBA 2003 (17 2003 (18 1997 (19 MBA, (20 1996 2003 (21 1995 1997 (22 1997 2 1998-10 2005-3 1998-10 2002-03 1 2 : : 2,619,202 674,837 769,887 3.6 / 3 5-19 4 20-30 9 12

2004 1 2004 2 15 ( 2004 2 17 2004 2 25 2004 3 18 2004 3 20 2004 3 18 2004 3 20 (1 (2 (3 2 2004 2 15 2004 3 18 2004 3 20 2004 3 18 2004 3 20 1,083 36 1 575 94 272 17 125 2 148 380 301 103 151 13

2004, 14

2004 1 5 5 0 0 5 4 1 0 5 4 1 0 5 5 0 0 5 3 1 1 2 1 2 3 15

2004 4 5 16

2004 2003 2004 2 17 2003 2004 3 18 205, 55, 275629537, 60.3788%, A 31, 7198517 A 8.18%B 21, 9931020 B 9.0282% 52 17129537 A 2480 1 2003 2 2003 3 2003 4 2003 5 2003 6 A 7 2004 A 8 A 9 A 10 A 11 A 12 13 2004 14 15 17

2004 2003 2004 3 20 2004 3 18 2003 1 2 18

2004 1 (1 710,966.43 76% 24% 46,605.88 50.35 45,690.79 64.54 (2 : : (% (% 6,496,970,073 91 841,787,881 96 612,694,257 9 30,933,362 4 0 0 0 0 0 0 0 0 : 0 0 0 0 7,109,664,330 / 872,721,243 / 0 / / 7,109,664,330 100 872,721,243 100 (3 : : (% (% ( 1,835,683,501 25.82 202,551,635 23.21 1,697,364,596 23.87 225,347,642 25.82 ( 1,675,798,551 23.57 171,566,081 19.66 1,379,520,690 19.40 206,751,449 23.69 19

2004 502,086,691 7.06 62,621,211 7.18 19,014,216 0.27 3,855,772 0.44 196,085 0.01 27,453 0 : 0 0 0 0 7,109,664,330 / 872,721,243 / 0 / / 7,109,664,330 100 872,721,243 100 2004 2003 ( (4 50 (5 10% : : (% 6,496,970,073 5,655,182,192 12.96 2 (1 : : 5,000,000 93,303,282.94 105,316.78 5,000,000 29,796,899.14 71,673.14 5,000,000 6,013,759.70 269,562.60 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 10,000 1,533,547,661 126,636 ZPMC(MSDN.BHD 2 2 3 : : 245,097 38% 224,128 32% 4 20

2004 1. 2 3 1 2004 96,690 82,180 2004 12 23 2 : : 19,474 20,988 19,069 13,321 19,975 14,968 4 2,869 2,458 19,980 20,360 2,980 2,378 2,980 21

2004 2 3000 2,960 1,304 6,403 6,403 96,690 82,180 / / 1 2 2005 3 2004 12 31 1,151 91 1,699 : : 11,955,452,259 7,281,864,087 4,673,588,172 64.18 872,229,294 507,513,918 364,715,376 71.86 456,907,889 277,692,747 179,215,142 64.54 1,234,276,179 198,558,146 1,035,718,033 521.62 3,465,996,854 2,128,729,091 1,337,267,763 62.82 4,331,157,960 2,152,615,748 2,178,542,212 101.20 192,205,325 97,162,593 95,042,732 97.82 211,418,297 105,397,292 106,021,005 100.59 (1 2004 (2 (3 2004 A (4 (A 22

2004 (5 (6 (7 1 1 2004 2 15 2003 2003 2003 2003 2003 A 2004 A A A A A 2004 2003 2 2004 3 18 23

2004 3 2004 4 7 2004 4 2004 8 5 2004 5 2004 10 18 2004 2 2003 2004 3 18 2003 200,000,000 A A 2004 12 13 [2004]165 2004 12 23 114,280,000 A 8.75 999,950,000 966,903,026 2003 2004 3 18 2003 2003 2004 4 27 2004 5 18 2004 456,907,889 458,019,435 427,425,415 428,536,961 2004 458,019,435 10 45,801,943 10 45,801,943 45 206,108,745 159,198,258 2,768,309 161,963,567 24

2004 2004 2004 12 31 102,728 10 1.20 123,273,600 38,689,967 10 5 2005 2005 ( 2004 12 31 2004 2005 4 7 (2005515 ( [2003]56 2004 12 31 ( 2004 2003 : ( 8,713,932 44,808,006 236,137,103 2005 4 7 25

2004 2004 236,137,103 2002 2002 7 2007 6 200356 26

2004 1 2004 2 15 2003 2003 2 2004 3 18 2003 2004 2004 2004 A 64.54 2005 1 28 50% 27

2004 1 2002 (1999473 2002 2001 1 2000 7 ZP219 2003 6 10,379,100 2004 8 19 2004 19 3,110,000 2004 9 2 2000 11 ZP232 2003 6 15,618,322 2004 8 19 2004 4,690,000 2004 9 3 1999 7 ZP150 2002 11 11,203,549 2004 7 4 2001 1 ZP239 2002 12 10,044,512 2003 12 3,515,579 2004 8 28

2004 5 2000 8 ZP221 2003 7 14,563,382 2004 5 7,281,691 6 2000 8 ZP222 2003 7 1,913,642 2004 5 956,821 7 2001 8 ZP243 2003 7 15,430,285 2004 5 7,715,142 8 2000 12 ZP234 2002 12 7,654,570 2004 3 1 : : ( 236,137,103 2 : : ( 8,713,932 1 236,137,103 29

2004 40% 2 8,713,932 3 1 273,975 2 1,247,272,000 505,000,000 3 44,808,006 1,772,762 1 2 3 4 5 6 9,330 2005 2007 4,470 2004 AP MOLLER ( 2004 2 17 2007 2 16 19,960 165,207 10,800 9,160 2005 12,000 58,000 2005 30

2004 6,500 54,000 2005 10 2004 1 3 2 18 3 31 5 27 6 10 4500 2000 4000 1500 5500 1000 2400 2500 850 25750 2004 6 2005 3 2004 3 31 5% 5% 11 11 165 2004 45 120 1 2000049 2003 3430 2004 2 9,000 12,000 3,000 31

2004 3600 40 6,600 55 2005 1 29 20050081 89,051,700 3 5100 51 32

2004 2005 4 9 33

2004 1 2-3 4 5 6-7 8-63

200021 202 11 (21 6123 8888 (21 6123 8800 (2005515 ( ( 2004 12 31 2004 2004 12 31 2004 2005 4 7

20041231 (, 20041231 20031231 20041231 20031231 (1 1,527,021,328 283,252,722 1,466,876,565 228,030,975 3,000,000-3,000,000 - (2, (1 2,733,627,726 1,953,822,331 2,784,620,764 2,026,665,402 (3, (2 49,872,258 96,874,390 127,566,389 155,324,707 (4 392,678,271 130,228,641 392,336,420 130,090,790 (5 4,331,157,960 2,152,615,748 4,280,314,325 2,131,771,806 9,037,357,543 4,616,793,832 9,054,714,463 4,671,883,680 6, ( (3 82,620,337 82,271,915 95,200,824 94,885,527 3,245,485,411 2,313,098,147 3,220,759,752 2,288,372,488 (707,337,786 (529,534,602 (699,506,059 (522,789,857 7 ( 2,538,147,625 1,783,563,545 2,521,253,693 1,765,582,631 8 ( 54,014,222 422,110,930 54,014,222 422,110,930 2,592,161,847 2,205,674,475 2,575,267,915 2,187,693,561 9 ( 35,007,234 37,655,817 13,713,077 15,409,047 0 (1 178,174,851 328,773,636 150,343,518 282,578,846 213,182,085 366,429,453 164,056,595 297,987,893 1 (1 30,130,447 10,694,412 30,130,447 10,694,412 11,955,452,259 7,281,864,087 11,919,370,244 7,263,145,073-2 -

20031231 ( (, 20041231 20031231 20041231 20031231 2 (1 2,996,775,000 1,655,526,870 2,996,775,000 1,655,526,870 (13-599,237,553-599,237,553 (14 576,575,581 401,190,538 564,275,370 386,515,374 (14 2,353,796,228 791,564,219 2,336,010,857 779,424,581 319,059 - - - 7,731,737 14,871,541 4,808,822 13,433,189 /( (15 - - - - (16 15,479,405 (258,093,469 14,940,887 (257,158,811 (14 367,154,803 25,739,291 357,239,361 32,889,641 (17 179,073,290 120,746,791 184,229,812 120,746,791 (19 905,817,300 919,531,660 905,817,300 919,531,660 8 (1 85,650,515 18,520,354 85,650,515 18,520,354 7,488,372,918 4,288,835,348 7,449,747,924 4,268,667,202 20 ( 999,637,000 862,871,860 999,637,000 862,871,860 8,488,009,918 5,151,707,208 8,449,384,924 5,131,539,062 1,445,487 1,427,788 - - 1 (2 1,027,280,000 456,500,000 1,027,280,000 456,500,000 2 (2 1,699,972,835 1,116,492,961 1,699,972,835 1,116,492,961 3 (2 576,780,452 279,067,821 576,780,452 279,067,821 142,200,892 96,398,949 142,200,892 96,398,949 (24 161,963,567 276,668,309 165,952,033 279,545,229 3,465,996,854 2,128,729,091 3,469,985,320 2,131,606,011 11,955,452,259 7,281,864,087 11,919,370,244 7,263,145,073-3 -

2004 (, 2004 2003 2004 2003 (25, (4 7,109,664,330 4,628,172,800 7,099,927,106 4,628,172,800 25, ( 5 ( (6,236,943,087 (4,117,785,022 (6,254,609,529 (4,133,457,104 (491,949 (2,873,860 (331,815 (2,786,835 872,229,294 507,513,918 844,985,762 491,928,861 (26 12,464,803 10,392,992 12,464,803 10,377,205 (17,165,430 (13,407,845 (17,165,430 (13,407,845 (192,205,325 (97,162,593 (165,321,453 (78,724,759 - (27 (211,418,297 (105,397,292 (208,507,110 (105,229,942 463,905,045 301,939,180 466,456,572 304,943,520 (28, ( 6 1,500,391 10,759,748 1,467,266 10,729,828 4,665,188 996,637 2,910,697 518,581 (4,011,820 (3,719,519 (3,743,503 (3,421,899 466,058,804 309,976,046 467,091,032 312,770,030 (29 (9,133,216 (32,271,459 (9,071,597 (32,200,363 (17,699 (11,840 - - 456,907,889 277,692,747 458,019,435 280,569,667 1. - - - - 2. - - - - 3. ( - - - - 4. ( - - - - 5. - - - - 6. - - - - - 4 -

2004 (, 2004 2003 2004 2003 456,907,889 277,692,747 458,019,435 280,569,667 276,668,309 174,446,463 279,545,229 174,446,463 733,576,198 452,139,210 737,564,664 455,016,130 (45,801,943 (28,056,967 (45,801,943 (28,056,967 (45,801,943 (28,056,967 (45,801,943 (28,056,967 (206,108,745 (28,056,967 (206,108,745 (28,056,967 435,863,567 367,968,309 439,852,033 370,845,229 (182,600,000 - (182,600,000 - (91,300,000 (91,300,000 (91,300,000 (91,300,000 161,963,567 276,668,309 165,952,033 279,545,229-5 -

2004 (, 8,431,302,437 8,328,581,937 638,443,632 638,443,632 335,323,071 333,168,924 9,405,069,140 9,300,194,493 (8,893,474,514 (8,844,490,248 (224,978,377 (193,830,542 (50,771,152 (40,223,590 (86,572,920 (77,203,135 (9,255,796,963 (9,155,747,515 149,272,177 144,446,978 1,151,969 1,151,969 579,530 579,530 3,201,451 3,103,634 4,932,950 4,835,133 (513,726,315 (513,726,315 (9,492,427 (9,492,427 (523,218,742 (523,218,742 (518,285,792 (518,383,609 971,659,874 971,659,874 4,715,450,530 4,715,450,530 731,133,113 731,133,113 6,418,243,517 6,418,243,517 (4,581,522,286 (4,581,522,286 (233,431,437 (233,431,437 (4,814,953,723 (4,814,953,723 1,603,289,794 1,603,289,794 - - 1,234,276,179 1,229,353,163-6 -

2004 ( (, 1. 456,907,889 458,019,435 17,699-31,958,497 31,958,497 177,803,184 176,716,202 2,648,583 1,695,970 52,628,006 57,784,528 (579,530 (579,530 128,433,114 128,530,931 (1,500,391 (1,467,266 (19,436,035 (19,436,035 (2,175,419,195 (2,145,419,502 (620,285,992 (636,043,230 2,116,096,348 2,092,686,978 149,272,177 144,446,978 2. - - 3. 1,517,528,901 1,457,384,138 (283,252,722 (228,030,975 1,234,276,179 1,229,353,163-7 -

20041231 01 1 200411 20041231 19,814,343 19,814,343 39,220,146 39,220,146-4,138,632-4,138,632 54,895,857 54,895,857 18,035,996 18,035,996 29,262,068 29,262,068 (4,138,632 (4,138,632 43,159,432 43,159,432 1,778,347 1,778,347 9,958,078 9,958,078 - - 11,736,425 11,736,425 - - - - - - - - - - - - - - - - - - - - - - - - 22,804,029 22,804,029 4,704,843 4,704,843 (7,827,860 (7,827,860 19,681,012 19,681,012 7,827,860 7,827,860 3,848,387 3,848,387 (7,827,860 (7,827,860 3,848,387 3,848,387 14,976,169 14,976,169 856,456 856,456 - - 15,832,625 15,832,625 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

2004 ( ( ( 1997 9 8 ( 2004 12 14 (2004165 2004 12 23 114,280,000 (A (1 (2 1 1 12 31 (3 (4-8 -

2004 ( ( (5 (6 (7 (1 (2-9 -

2004 ( ( (8 (9 (10-10 -

2004 ( ( (10 ( 0% - 30% 0% - 100% 50% - 100% 100% (11-11 -

2004 ( ( (12 20%20% 20% 20% 20%20% 10 (13 2001 1 1-12 -

2004 ( ( (13 ( - 20 10% 4.5% - 50 10 60% 10% 5 10% 18% 5 10% 18% 5 10% 18% / 2% 9% - 13 -

2004 ( ( (14 (15 30 10 11 5 2001 1 1 2001 1 1-14 -

2004 ( ( (16 (17 (18 (19-15 -

2004 ( ( (20 (21 (199511 2004 12 31 50 10% 10% - 16 -

2004 ( (i 17% 17% 17% (ii 3% (iii (1 15% 70% 10% 2004 70% 10% (2003 10% (2 (1991166 (970134 15% (2003 15% (3 33% (2003 33% (4 ( 17.5% (2003 17.5% - 17 -

2004 ( 5,000,000 4,500,000 90% - 5,500,000 4,950,000 90% - 5,000,000 3,500,000 70% - 1,000,000 900,000 90% 9% 1,000,000 900,000 90% - 1,000,000 900,000 90% - ( 10,000-99.99% - ZPMC(MSDN.BHD. 100,000 2 100% - 2004 12 31 ZPMC (M SDN. BHD. 10% - 18 -

2004 ( 1 2004 12 31 2003 12 31 147,323 98,158 1,514,424,328 262,975,633 12,449,677 20,178,931 1,527,021,328 283,252,722 2004 12 31 37,971,706 8.2765 314,272,825 465,045 11.2627 5,237,662 515,614 6.8739 3,544,279 7,532 5.0550 38,074 1,265 1.0637 1,346 20 15.9310 319 323,094,505 2004 12 31 1,527,021,328 (9,492,427 2004 12 31 1,517,528,901 2003 12 31 (283,252,722 1,234,276,179-19 -

2004 ( - 20 -

2004 ( ( 2 2004 12 31 2003 12 31 2,776,787,158 1,971,858,327 (43,159,432 (18,035,996 2,733,627,726 1,953,822,331 (a 2004 12 31 2003 12 31 % % 2,364,696,231 85-1,827,408,739 93 - - 351,233,576 13-90,255,112 4-30,028,350 1 (14,924,286 50,541,623 3 (14,383,143 27,176,236 1 (24,582,381 - - - 3,652,765 - (3,652,765 3,652,853 - (3,652,853 2,776,787,158 100 (43,159,432 1,971,858,327 100 (18,035,996-21 -

2004 ( ( 2 ( (a ( (1 APPA 3,652,765 (2 22,455,719 10,244,511 12,211,208 PECEM 2,126,662 (3 29,498,654 14,924,286-22 -

2004 ( ( 2 ( (a ( (4 256,139,520 (5 2003 RTT 16,387,866 4,138,632 10,442,028 (b (c 5%(5% 1,101,541,070 40% - 23 -

2004 ( ( 3 2004 12 31 2003 12 31 61,608,683 98,652,737 (11,736,425 (1,778,347 49,872,258 96,874,390 (a 2004 12 31 2003 12 31 % % 46,831,012 76-53,335,577 54-2,155,062 3-43,664,240 44 (1,778,347 11,977,213 20 (11,736,425 1,001,430 1-645,396 1-651,490 1-61,608,683 100 (11,736,425 98,652,737 100 (1,778,347 11,736,425 (2003 32,158,119 2002 (1999473 2002 2001 34,158,834 2002-24 -

2004 ( ( 3 ( (a ( 7,874,881 2003 2,000,715 9,875,596 12,546,813 1,778,347 9,958,078 (b (c 5%(5% 47,621,160 77% 4 2004 12 31 2003 12 31 392,678,271 130,228,641 (a (b 5%(5% - 25 -

2004 ( ( 5 2004 12 31 2003 12 31 873,702,576 483,229,948 3,477,136,396 1,692,189,829 4,350,838,972 2,175,419,777 : (19,681,012 (22,804,029 4,331,157,960 2,152,615,748 2004 2004 1 1 12 31 14,976,169 856,456-15,832,625 7,827,860 3,848,387 (7,827,860 3,848,387 22,804,029 4,704,843 (7,827,860 19,681,012-26 -

2004 ( ( 6 2004 2004 11 12 31 (1 6,377,681-188,694 - - 6,566,375 (2 67,973,745-1,871,048 - (1,711,320 68,133,473 (3 7,920,489 - - - - 7,920,489 82,271,915-2,059,742 - (1,711,320 82,620,337-27 -

2004 ( ( 6 ( (1 2004 2004 ( 11 12 31 2001-2011 70% 3,500,000 291,278 3,602,584-188,694 3,791,278 2001-2021 100% 1,000,000-1,000,000 - - 1,000,000 2001-2021 90% 900,000-900,000 - - 900,000 2001-2021 90% 900,000-900,000 - - 900,000 ZPMC (M SDN. BHD. 2002-100% 4 (24,907 (24,903 - - (24,903 6,300,004 266,371 6,377,681-188,694 6,566,375 (21-28 -

2004 ( ( 6 ( (2 2004 2004 ( 11 12 31 1996-2011 40% 67,040,000 1,093,473 67,973,745 1,871,048 (1,711,320 68,133,473 2004 2000 17,113,263 2001-2010 11,979,303 (1,711,320 (6,845,280 10,267,983-29 -

2004 ( ( 6 ( (3 2001-6,120,489 2.13% 2002-2017 300,000 10% 2002-2007 500,000 10% 2002-2012 1,000,000 10% 7,920,489-30 -

2004 ( ( 7 2003 12 31 1,279,527,513 753,117,507 59,371,185 210,154,958 10,926,984 2,313,098,147 569,891,225 125,789,775 2,858,700 27,585,064 6,703,149 732,827,913 11,096,257 133,452,343 4,076,064 49,770,937 1,163,750 199,559,351 2004 12 31 1,860,514,995 1,012,359,625 66,305,949 287,510,959 18,793,883 3,245,485,411 2003 12 31 172,312,242 221,587,178 27,970,073 101,857,446 5,807,663 529,534,602 59,354,875 74,462,503 7,475,877 35,277,357 1,232,572 177,803,184 2004 12 31 231,667,117 296,049,681 35,445,950 137,134,803 7,040,235 707,337,786 2004 12 31 1,628,847,878 716,309,944 30,859,999 150,376,156 11,753,648 2,538,147,625 2003 12 31 1,107,215,271 531,530,329 31,401,112 108,297,512 5,119,321 1,783,563,545-31 -

2004 ( ( 8 2003 2004 12 31 12 31 850,000,000 42,303,887 53,071,784 (95,375,671-450,000,000 313,495,178 57,800,621 (371,295,799-450,000,000 35,970,661 183,916,932 (166,008,371 53,879,222 49% 40,000,000 18,653,935 1,566,438 (20,220,373-17,000,000 6,854,140 4,595,308 (11,449,448-15,700,000 2,955,761 11,513,330 (14,334,091 135,000 91% 19,000,000 1,877,368 16,986,864 (18,864,232-3,500,000-2,546,701 (2,546,701-7,000,000-7,055,725 (7,055,725-3 2,500,000-2,572,981 (2,572,981-4 5 5,800,000-5,843,213 (5,843,213-4 13,774,200-13,782,064 (13,782,064-10 3,400,000-3,479,244 (3,479,244-422,110,930 364,731,205 (732,827,913 54,014,222 17,531,865 16,195,365 (33,727,230-5.588%(2003 5.739% -32-

2004 ( ( 9 2003 2004 12 31 12 31 / 50,224,331 (16,434,256 35,326,219 - (1,536,144 33,790,075 22 3,621,805 (3,621,805 205,663 - (205,663 - - 7,310,344 (6,267,245 1,706,305 - (663,206 1,043,099 1.5 1,264,850 (1,090,790 417,630 - (243,570 174,060 1 62,421,330 (27,414,096 37,655,817 - (2,648,583 35,007,234 1997-33-

2004 ( ( 10 2004 12 31 2003 12 31 178,174,851 328,773,636 2006 2008 1 3 102,662,681 (2003 143,071,730 11 2004 12 31 2003 12 31 30,130,447 10,694,412-34-

2004 ( ( 12 2004 12 31 2003 12 31 ( ((6(d - 41,383,500 2,996,775,000 1,614,143,370 2,996,775,000 1,655,526,870 350,000,000 (2003 176,100,000 2.12%4.70% (2003 1.64%5.31% 13 2004 12 31 2003 12 31-599,237,553 2004 12 31 3.12%4.08% (2003 2.27%3.52% 10,409,205 (2003 13,679,580-35-

2004 ( ( 14 (1 5%(5% (2 5%(5% (3 2004 12 31 2003 12 31 298,023,369 - ( ((6(e 44,808,006 6,499,406 9,058,899 3,759,331 3,515,722 2,141,148 1,834,920 1,359,923 ( ((6(e 1,772,762 2,168,083 8,141,125 9,811,400 367,154,803 25,739,291-36-

2004 ( 5%(5% -37-

2004 ( ( 15 2003 2004 12 31 12 31 ( - 32,111,200 (32,111,200 - - 19,222,500 (19,222,500 - - 366,300 (366,300 - B - 22,000,000 (22,000,000 - A - 17,600,000 (17,600,000 - - 91,300,000 (91,300,000-2003 2004 3 18 2004 24 16 /( 2004 12 31 2003 12 31 (43,674,165 (285,620,349 57,395,183 26,297,491 1,758,387 1,229,389 15,479,405 (258,093,469 17 2004 12 31 2003 12 31 138,052,020 104,203,653 21,000,000 6,000,000 18,171,941 10,543,138 1,849,329-179,073,290 120,746,791-38-

2004 ( ( 18 2004 12 31 2004 12 31 2003 12 31 ( 27 85,650,515 18,520,354 2004 12 31 2004.12.31 10,000,000 (EUR/USD 1.3555 1.2289 2005 1 10 10,000,000 (EUR/USD 1.3555 1.2355 2005 1 12 8,000,000 (EUR/USD 1.3555 1.2300 2005 1 13 10,000,000 (EUR/USD 1.3557 1.2400 2005 1 20 10,000,000 (EUR/USD 1.3557 1.2400 2005 1 21 8,500,000 (USD/RMB 8.2444 8.2331 2005 2 03 257,500,000 (USD/RMB 8.2329 8.2268 2005 3 03 10,000,000 (EUR/USD 1.3655 1.2848 2006 1 03 15,000,000 (EUR/USD 1.3655 1.2853 2006 2 03 5,000,000 (EUR/USD 1.3580 1.2950 2005 5 16 15,000,000 (EUR/USD 1.3630 1.2816 2005 10 27 10,000,000 (EUR/USD 1.3635 1.2818 2005 11 15 19 2004 12 31 2003 12 31 ( ((6(d 505,000,000 35,000,000 160,000,000 686,000,000 240,817,300 198,531,660 905,817,300 919,531,660 1.86%6.03%(2002 1.94%6.03% 160,000,000 (2003 456,000,000 230,000,000 28,200,000 (2003 9,800,000-39-

2004 ( ( 20 2004 12 31 2003 12 31 999,637,000 862,871,860 2004 12 31 RMB 36,000,000 2007 2 5.47% RMB 138,600,000 2007 8 5.49% USD 82,765,000 2006 1 LIBOR+0.8% RMB 20,000,000 2006 5 6.03% RMB 30,000,000 2006 8 6.03% RMB 45,000,000 2006 12 6.03% RMB 250,000,000 2006 1 3.51% USD 397,272,000 2008 1 1.86% 999,637,000 2004 12 31 742,272,000 (2003 595,000,000 ( ((6(d -40-

2004 ( ( 21 1 2003 2004 12 31 12 31-160,556,000 160,556,000-321,112,000-97,944,000 97,944,000-195,888,000 258,500,000 258,500,000-517,000,000-88,000,000 88,000,000 114,280,000 290,280,000-110,000,000 110,000,000-220,000,000 456,500,000 456,500,000 114,280,000 1,027,280,000 2003 2003 2003 456,500,000 2003 10 4 2003 10 6 456,500,000 1 456,500,000 (2004214 2004 12 24 (2004165 2004 12 23 114,280,000 966,903,026 114,280,000 1 114,280,000 852,623,026 (2004253-41-

2004 ( ( 22 2003 2004 12 31 12 31 992,130,940 852,623,026 (273,900,000 1,570,853,966-40,910,290 - (4,700,062 36,210,228-83,451,731 4,700,062-88,151,793 - - 4,756,848-4,756,848 1,116,492,961 862,079,936 (278,600,062 1,699,972,835 114,280,000 2005 4 7 2004 1,027,280,000 10 5 513,640,000 2005 23 2003 12 31 96,398,949 96,398,949 86,269,923 279,067,821 45,801,943 45,801,943 206,108,745 297,712,631 2004 12 31 142,200,892 142,200,892 292,378,668 576,780,452 (1 10% 50% (2 5%10% (3 2005 4 7 2005 2004 45% -42-

2004 ( ( 24 2004 2003 276,668,309 174,446,463 456,907,889 277,692,747 ( (23 (45,801,943 (28,056,967 ( (23 (45,801,943 (28,056,967 ( (23 (206,108,745 (28,056,967 (182,600,000 - - (91,300,000 (91,300,000 161,963,567 276,668,309 2005 4 7 2004 1,027,280,000 10 1.2 123,273,600 2005 25 (a 2004 2003 6,496,970,073 4,415,132,553 612,694,257 125,628,906-81,800,658-5,610,683 7,109,664,330 4,628,172,800 2004 2003 5,655,182,192 3,952,670,244 581,760,895 118,535,140-42,835,616-3,744,022 6,236,943,087 4,117,785,022-43-

2004 ( ( 25 ( (b 2004 2003 ( (i 1,835,683,501 1,633,131,866 1,911,139,125 1,687,797,764 1,697,364,596 1,472,016,954 597,629,221 534,268,610 ( 1,675,798,551 1,504,232,470 849,735,553 709,863,175 1,379,520,690 1,172,769,241 718,359,967 687,494,268 502,086,691 439,465,480 551,004,212 498,163,190 19,014,216 15,158,444 261,338 169,824 196,085 168,632 43,384 28,191 7,109,664,330 6,236,943,087 4,628,172,800 4,117,785,022 (i 2004 2003 (c 2,241,276,186 32% -44-

2004 ( ( 26 2004 2003 6,148,584 5,784,161 4,815,468 3,724,514 1,500,751 884,317 12,464,803 10,392,992 27 2004 2003 131,634,565 105,517,833 (10,742,978 (26,255,815 52,642,082 54,445,483 (53,231,706 (48,657,510 ( 18 85,650,515 18,520,354 5,465,819 1,826,947 211,418,297 105,397,292-45-

2004 ( ( 28 2004 2003 ( 6 2,059,742 11,232,070 (1 1,151,969 1,238,998 ( 6 (1,711,320 (1,711,320 1,500,391 10,759,748 1 ( 2003 1,000,000 4,129 100,000 47,840 29 2004 2003 62,878,200 42,965,871 (34,308,949 - ( 11 (19,436,035 (10,694,412 9,133,216 32,271,459 (200049 34,308,949-46-

2004 ( ( 30 31 32-47-

2004 ( 1 2004 12 31 2003 12 31 2,827,780,196 2,044,701,398 (43,159,432 (18,035,996 2,784,620,764 2,026,665,402 (a 2004 12 31 2003 12 31 % % 2,377,534,404 84-1,900,251,810 93 - - 389,918,137 14-90,255,112 5-29,498,654 1 (14,924,286 50,541,623 2(14,383,143 27,176,236 1 (24,582,381 - - - 3,652,765 - (3,652,765 3,652,853 - (3,652,853 2,827,780,196 100 (43,159,432 2,044,701,398 100(18,035,996-48-

2004 ( ( 1 ( (a ( (1 APPA 3,652,765 (2 22,455,719 10,244,511 12,211,208 PECEM 2,126,662 (3 29,498,654 14,924,286-49-

2004 ( ( 1 ( (a ( (4 295,832,670 (5 2003 RTT 16,387,866 4,138,632 10,442,028 (b (c 5%(5% 1,539,507,375 54% -50-

2004 ( ( 2 2004 12 31 2003 12 31 139,302,814 157,103,054 (11,736,425 (1,778,347 127,566,389 155,324,707 (a 2004 12 31 2003 12 31 % % 124,710,026 89-113,017,922 72-2,155,051 2-42,432,212 27 (1,778,347 11,977,213 9 (11,736,425 1,001,430 1-460,524 - - 651,490 - - 139,302,814 100 (11,736,425 157,103,054 100 (1,778,347 (b (c 5%(5% 120,701,181 87% -51-

2004 ( ( 3 2004 2004 11 12 31 (1 18,991,293-155,569 - - 19,146,862 (2 67,973,745-1,871,048 - (1,711,320 68,133,473 (3 7,920,489 - - - - 7,920,489 94,885,527-2,026,617 - (1,711,320 95,200,824-52-

2004 ( ( 3 ( (1 2004 2004 ( 11 (12 31 1996-2016 90% 4,500,000 3,396,885 7,802,100-94,785 7,896,885 2001-2011 90% 4,950,000 162,502 5,047,997-64,505 5,112,502 2001-2011 70% 3,500,000 291,278 3,602,584-188,694 3,791,278 2001-2021 90% 900,000-900,000 - - 900,000 2001-2021 90% 900,000-900,000 - - 900,000 2001-2021 90% 900,000-900,000 - - 900,000 ( 2002-99.99% - (328,900 (136,485 - (192,415 (328,900 ZPMC (M SDN. BHD. 2002-100% 4 (24,907 (24,903 - - (24,903 15,650,004 3,496,858 18,991,293-155,569 19,146,862-53-

2004 ( ( 3 ( (2 2004 2004 ( 11 12 31 1996-2011 40% 67,040,000 1,093,473 67,973,745 1,871,048 (1,711,320 68,133,473 2004 2000 17,113,263 2001-2010 (1,711,320 (6,845,280 10,267,983-54-

2004 ( ( 3 ( (3 2001-6,120,489 2.13% 2002-2017 300,000 10% 2002-2007 500,000 10% 2002-2012 1,000,000 10% 7,920,489-55-

2004 ( ( 4 2004 2003 6,493,825,003 4,415,132,553 606,102,103 125,628,906-81,800,658-5,610,683 7,099,927,106 4,628,172,800 5 2004 2003 5,674,273,059 3,967,718,786 580,336,470 118,989,447-43,000,517-3,748,354 6,254,609,529 4,133,457,104 6 2004 2003 ( 3 2,026,617 11,202,150 (1 1,151,969 1,238,998 ( 3 (1,711,320 (1,711,320 1,467,266 10,729,828 1 ( ( 2003 1,000,000 4,129 100,000 47,840-56-

2004 ( (1 ( 9 3470 77 301 1628 3470 701 3470 1201 3470 1101 ( 19F CHINA - HARBOUR BLDG 370-374 KINGS RD NORTH POINT,HK ZPMC(MSDN. Suite 1701 - BHD. 17th Floor Wisma Hamzah-Kong Hing No.1 Leboh Ampang 50100 Kuala Lumpur -57-

2004 ( ( (2 2004 1 1 2004 12 31 2,345,490,000 - - 2,345,490,000 ( 5,000,000 - - 5,000,000 5,500,000 - - 5,500,000 5,000,000 - - 5,000,000 1,000,000 - - 1,000,000 1,000,000 - - 1,000,000 1,000,000 - - 1,000,000 ( 10,000 - - 10,000 ZPMC(MSDN. BHD. 100,000 - - 100,000-58-

2004 ( ( (3 2004 1 1 2004 12 31 % % % % 160,556,000 35.17 160,556,000 35.17 - - 321,112,000 31.26 ( 2004 12 31 ( ( 50.33% (4 2004 1 1 2004 12 31 % % % % 4,500,000 90% - - - - 4,500,000 90% 4,950,000 90% - - - - 4,950,000 90% 3,500,000 70% - - - - 3,500,000 70% 900,000 90% - - - - 900,000 90% 900,000 90% - - - - 900,000 90% 900,000 90% - - - - 900,000 90% 10,000 99.99% - - - 10,00099.99% ( ZPMC (M SDN.BHD. 100,000 100% - - - - 100,000 100% -59-

2004 ( ( (5 18.71% 0.36% (6 (a 2004 2003 236,137,103 177,423,480 (b 2004 2003 8,713,932 6,669,018-60-

2004 ( ( (6 ( (c 2004 2003-3,789,318 ( 273,975 443,625 273,975 4,232,943 (d 2004 12 31 ( - 505,000,000 742,272,000 (e 2004 12 31 2003 12 31 44,808,006 6,499,406 1,772,762 2,168,083 46,580,768 8,667,489-61-

2004 ( ( (6 ( (f ( 2004 12 31 2003 12 31-10,000,000 2004 2004 12 31 2003 12 31 (1 943,941,893 529,690,057 2004 12 31 2003 12 31 (2 2004 12 31 28,943,808 45,331,700 2004 12 31 2003 12 31 (3 233,613,234 166,472,578-62-

2004 ( - 2004 12 31 2003 12 31 14,037,667 8,316,000 11,562,613 8,549,280 11,416,222 8,276,222 144,030,636 135,181,107 181,047,138 160,322,609-2004 12 31 2003 12 31 34,240,374 154,540,000-2004 12 31 887,315,115 (2003 740,067,733-63-

2004 ( 2005 1 27 2004 12 31 1.5 30,000,000 1 2005 3 25 89,051,700 55% ( 1 51,000,000 51% ( 49,000,000 49% (1 West Basin United Terminal Leasing LLC 2,664,300 5,448,390 (2 2003 12 31 2005 2 16 (2005 000118-64-

2004 ( ( 2004 12 31 2004 2004 12 31 2004 2004 12 31 456,908 3,465,997 (29,482 (29,482 427,426 3,436,515-65-

2004

2004 ( (1 (% (/ 872,229 25.17% 37.89% 0.85 1.07 463,905 13.38% 20.15% 0.45 0.57 456,908 13.18% 19.85% 0.44 0.56 450,540 13.00% 19.57% 0.44 0.55 (2 2004 12 31 01 1 2004 1 1 2004 12 31 19,814 19,814 39,220 39,220 (4,139 (4,139 54,895 54,895 18,036 18,036 29,262 29,262 (4,139 (4,139 43,159 43,159 1,778 1,778 9,958 9,958 - - 11,736 11,736 - - - - - - - - - - - - - - - - - - - - - - - - 22,804 22,804 4,705 4,705 (7,828 (7,828 19,681 19,681 7,828 7,828 3,848 3,848 (7,828 (7,828 3,848 3,848 14,976 14,976 857 857 - - 15,833 15,833 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

2004 ( 30%(30% 5%(5% 10%(10% (1 439% (A (2 40% (3 101% (4 40% (5 81% (6 197% (7 125% (A (8 52% (A (9 54% (10 51% (11 98% (12 101%

: :L: AWZ : :2004.2.8 ( 2004 A 1.CALLOVER Initials Sentto 1st 2nd Final Calledoverby to to to Additionscheckedby Crossreferencedby Cross-checktoEnglishversionby Proofreadby(Manager 2.REVIEWEDANDAPPROVEDFORPRINTINGBY Manager Partner 3.TOPRINTINGROOM Accounts Letterhead Auditorscopy PWDH Taxcopy PWASIA AGMcopy Other Additional TechDeptcopy Total No.of pages TypeofBinding Staple Plastic Requiredby Date Time *****This page is generated by the word processing***** centre and is not part of the report

2004

2004 1 2-3 4 5 6-7 8-63

200021 202 11 (21 6123 8888 (21 6123 8800 (2005515 ( ( 2004 12 31 2004 2004 12 31 2004 2005 4 7

2004 ( ( ( 1997 9 8 ( 2004 12 14 (2004165 2004 12 23 114,280,000 (A (1 (2 1 1 12 31 (3 (4-8 -

2004 ( ( (5 (6 (7 (1 (2-9 -

2004 ( ( (8 (9 (10-10 -

2004 ( ( (10 ( 0% - 30% 0% - 100% 50% - 100% 100% (11-11 -

2004 ( ( (12 20%20% 20% 20% 20%20% 10 (13 2001 1 1-12 -

2004 ( ( (13 ( - 20 10% 4.5% - 50 10 60% 10% 5 10% 18% 5 10% 18% 5 10% 18% / 2% 9% - 13 -

2004 ( ( (14 (15 30 10 11 5 2001 1 1 2001 1 1-14 -

2004 ( ( (16 (17 (18 (19-15 -

2004 ( ( (20 (21 (199511 2004 12 31 50 10% 10% - 16 -

2004 ( (i 17% 17% 17% (ii 3% (iii (1 15% 70% 10% 2004 70% 10% (2003 10% (2 (1991166 (970134 15% (2003 15% (3 33% (2003 33% (4 ( 17.5% (2003 17.5% - 17 -

2004 ( - 20 -

2004 ( ( 2 ( (a ( (1 APPA 3,652,765 (2 22,455,719 10,244,511 12,211,208 PECEM 2,126,662 (3 29,498,654 14,924,286-22 -

2004 ( ( 2 ( (a ( (4 256,139,520 (5 2003 RTT 16,387,866 4,138,632 10,442,028 (b (c 5%(5% 1,101,541,070 40% - 23 -

2004 ( ( 3 ( (a ( 7,874,881 2003 2,000,715 9,875,596 12,546,813 1,778,347 9,958,078 (b (c 5%(5% 47,621,160 77% 4 2004 12 31 2003 12 31 392,678,271 130,228,641 (a (b 5%(5% - 25 -

2004 ( ( 6 2004 2004 11 12 31 (1 6,377,681-188,694 - - 6,566,375 (2 67,973,745-1,871,048 - (1,711,320 68,133,473 (3 7,920,489 - - - - 7,920,489 82,271,915-2,059,742 - (1,711,320 82,620,337-27 -

2004 ( ( 6 ( (2 2004 2004 ( 11 12 31 1996-2011 40% 67,040,000 1,093,473 67,973,745 1,871,048 (1,711,320 68,133,473 2004 2000 17,113,263 2001-2010 11,979,303 (1,711,320 (6,845,280 10,267,983-29 -

2004 ( ( 6 ( (3 2001-6,120,489 2.13% 2002-2017 300,000 10% 2002-2007 500,000 10% 2002-2012 1,000,000 10% 7,920,489-30 -

2004 ( ( 10 2004 12 31 2003 12 31 178,174,851 328,773,636 2006 2008 1 3 102,662,681 (2003 143,071,730 11 2004 12 31 2003 12 31 30,130,447 10,694,412-34-

2004 ( 5%(5% -37-

2004 ( ( 30 31 32-47-

2004 ( ( 1 ( (a ( (1 APPA 3,652,765 (2 22,455,719 10,244,511 12,211,208 PECEM 2,126,662 (3 29,498,654 14,924,286-49-

2004 ( ( 1 ( (a ( (4 295,832,670 (5 2003 RTT 16,387,866 4,138,632 10,442,028 (b (c 5%(5% 1,539,507,375 54% -50-

2004 ( ( 3 2004 2004 11 12 31 (1 18,991,293-155,569 - - 19,146,862 (2 67,973,745-1,871,048 - (1,711,320 68,133,473 (3 7,920,489 - - - - 7,920,489 94,885,527-2,026,617 - (1,711,320 95,200,824-52-

2004 ( ( 3 ( (2 2004 2004 ( 11 12 31 1996-2011 40% 67,040,000 1,093,473 67,973,745 1,871,048 (1,711,320 68,133,473 2004 2000 17,113,263 2001-2010 (1,711,320 (6,845,280 10,267,983-54-

2004 ( ( 3 ( (3 2001-6,120,489 2.13% 2002-2017 300,000 10% 2002-2007 500,000 10% 2002-2012 1,000,000 10% 7,920,489-55-

2004 ( ( (5 18.71% 0.36% (6 (a 2004 2003 236,137,103 177,423,480 (b 2004 2003 8,713,932 6,669,018-60-

2004 ( ( 2004 12 31 2004 2004 12 31 2004 2004 12 31 456,908 3,465,997 (29,482 (29,482 427,426 3,436,515-65-

2004

2004 ( 30%(30% 5%(5% 10%(10% (1 439% (A (2 40% (3 101% (4 40% (5 81% (6 197% (7 125% (A (8 52% (A (9 54% (10 51% (11 98% (12 101%

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. (Incorporated in the People s Republic of China with limited liability CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004

Mailing Address: 11F PricewaterhouseCoopers Center 202 Hu Bin Road Shanghai 200021 People s Republic of China Telephone: +86 (21 6123 8888 Facsimile: +86 (21 6123 8800 REPORT OF THE AUDITORS TO THE SHAREHOLDERS OF SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. (Incorporated in the People s Republic of China with limited liability We have audited the accompanying consolidated balance sheet of Shanghai Zhenhua Port Machinery Co., Ltd. ( the Company and its subsidiaries ( the Group as of 31 December 2004 and the related consolidated statements of income, cash flows and changes in shareholders equity for the year then ended. These consolidated financial statements set out on pages 2 to 27 are the responsibility of the Company s management. Our responsibility is to express an opinion on these consolidated financial statements based on our audit. We conducted our audit in accordance with International Standards on Auditing. Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the consolidated financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the consolidated financial statements present fairly, in all material respects, the consolidated financial position of the Group as of 31 December 2004 and the results of its consolidated operations and its consolidated cash flows for the year then ended in accordance with International Financial Reporting Standards. PricewaterhouseCoopers China Limited 7 April 2005 Business is undertaken in the registered name of PricewaterhouseCoopers China Limited, incorporated in Bermuda with limited liability. Registered address is Clarendon House, 2 Church Street, Hamilton, Bermuda.

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. CONSOLIDATED INCOME STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated Notes 2004 2003 Sales 3 7,109,664 4,628,173 Cost of sales (6,237,435 (4,120,659 Gross profit 872,229 507,514 Other operating profit 5 13,118 7,670 Distribution expenses (17,165 (13,408 Administrative expenses (192,207 (97,162 Profit from operations 4 675,975 404,614 Finance costs - net 6 (210,266 (104,158 Profit before tax 465,709 300,456 Share of net profit of unconsolidated subsidiaries 15 189 84 Share of net profit of an associate 16 160 9,436 Profit before tax 466,058 309,976 Income tax expense 8 (38,615 (32,271 Profit before minority interests 427,443 277,705 Minority interests 9 (17 (12 Net profit 427,426 277,693 Earnings per share 10 RMB 0.47 RMB 0.30 The accompanying notes form an integral part of these consolidated financial statements. - 2 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. CONSOLIDATED BALANCE SHEET AT 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated ASSETS Notes 31 December 2004 31 December 2003 Non-current assets Property, plant and equipment 11 2,405,031 1,784,688 Construction in progress 12 54,014 422,111 Land use rights 13 168,124 36,327 Intangible assets 14-206 Investments in unconsolidated subsidiaries 15 6,566 6,377 Investment in an associate 16 68,133 67,973 Available-for-sale investments 17 7,921 7,921 Long-term receivables 18 178,175 328,773 Deferred income tax assets 19 30,131 10,694 2,918,095 2,665,070 Current assets Stocks and contract costs incurred 20 4,331,158 2,152,616 Receivables and prepayments 21 3,180,951 2,180,925 Cash and cash equivalents 22 1,527,021 283,253 9,039,130 4,616,794 Total assets 11,957,225 7,281,864 EQUITY AND LIABILITIES Capital and reserves Share capital 26 1,027,280 456,500 Reserves 27 2,276,754 1,395,561 Retained earnings 132,481 276,668 3,436,515 2,128,729 Minority interests 9 1,445 1,428 Non-current liabilities Borrowings 25 999,637 862,872 Current liabilities Trade and other payables 23 3,603,315 1,373,862 Income tax payable 57,395 26,297 Value added tax recoverable (43,674 (285,620 Dividends payable 24 - - Borrowings 25 3,902,592 3,174,296 7,519,628 4,288,835 Total liabilities 8,519,265 5,151,707 Total equity and liabilities 11,957,225 7,281,864 On 7 April 2005, the Board of Directors of Shanghai Zhenhua Port Machinery Co., Ltd. authorised these financial statements for issue. The accompanying notes form an integral part of these consolidated financial statements. - 3 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS EQUITY FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated Share Retained capital Reserves earnings Total (Note 27 Balance at 31 December 2002 456,500 1,311,390 174,446 1,942,336 Net profit for 2003 - - 277,693 277,693 Appropriation to reserves - 84,171 (84,171 - Dividend relating to 2002 - - (91,300 (91,300 Balance at 31 December 2003 456,500 1,395,561 276,668 2,128,729 A share public offering 114,280 857,380-971,660 Appropriation to share capital 456,500 (273,900 (182,600 - Net profit for 2004 - - 427,426 427,426 Appropriation to reserves - 297,713 (297,713 - Dividend relating to 2003 - - (91,300 (91,300 Balance at 31 December 2004 1,027,280 2,276,754 132,481 3,436,515 The accompanying notes form an integral part of these consolidated financial statements. - 4 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated CASH FLOWS FROM OPERATING ACTIVITIES 2004 2003 Profit before tax 466,058 309,976 Adjustments for: Depreciation on property, plant and equipment 178,710 139,624 Amortization of intangible assets 206 205 Amortization of land use rights 1,536 1,516 Impairment charge for bad and doubtful debts 35,081 2,999 (Reversal of/provision for stock obsolescence (3,123 6,625 (Gains/losses on disposal of property, plant and equipment (580 210 Fair value losses on foreign forward contracts 85,651 18,520 Interest income (3,201 (26,256 Interest expense 131,634 105,518 Dividend income (1,152 (1,239 Share of net profit of unconsolidated subsidiaries (189 (84 Share of net profit of an associate (160 (9,436 Changes in working capital: Increase in restricted cash (9,492 - Increase in receivables and prepayments (884,509 (82,737 Increase in stocks and contract costs incurred (2,175,419 (1,272,448 Increase in trade and other payables, income tax payable and value added tax recoverable 2,330,120 677,008 Cash generated from/(used in operations 151,171 (129,999 Interest paid (142,131 (115,361 Income tax paid (11,393 (21,749 Net cash used in operating activities (2,353 (267,109 The accompanying notes form an integral part of these consolidated financial statements. - 5 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. CONSOLIDATED CASH FLOW STATEMENT (CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated CASH FLOWS FROM INVESTING ACTIVITIES 2004 2003 Purchase of property, plant and equipment and land use rights and payments on construction in progress (513,725 (422,889 Proceeds from sales of property, plant and equipment 580 2,318 Interest received 3,201 27,926 Dividends received 1,152 1,239 Net cash used in investing activities (508,792 (419,332 CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from issuance of domestic listed Renminbi ordinary shares 971,660 - Proceeds from borrowings 5,491,677 4,327,604 Repayments of borrowings (4,626,616 (3,383,969 Dividends paid to shareholders (91,300 (86,562 Net cash generated from financing activities 1,745,421 857,073 Increase in cash and cash equivalents 1,234,276 198,558 Cash and cash equivalents at beginning of year 283,253 84,695 Cash and cash equivalents at end of year 1,517,529 283,253 The accompanying notes form an integral part of these consolidated financial statements. - 6 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 1 GENERAL INFORMATION Shanghai Zhenhua Port Machinery Co., Ltd. ( the Company was established in Shanghai, the People s Republic of China (the PRC, on 8 September 1997 as part of an exercise to reorganise its predecessor, Shanghai Zhenhua Port Machinery Company Limited ( Zhenhua, a Sino-foreign equity joint venture enterprise, into a joint stock limited company. The Company s domestically listed foreign shares ( B shares and Renminbi ordinary shares ( A shares are listed on the Shanghai Stock Exchange. The Company, together with its consolidated subsidiaries, are hereinafter collectively referred to as the Group. The principal activities of the Company consist of the design, manufacture, sale, and installation of port machinery, project vessels, steel structure and related spare parts and accessories; lease of self-manufactured container cranes; provide marine forwarding services with specific vessels for container cranes and engage in steel structure construction project. As approved in CSRC (2004 No.165 Approval on Additional Public Offering of Shanghai Zhenhua Port Machinery Co., Ltd. issued by China Securities Regulatory Commission on 14 December 2004, the Company issued 114,280 thousand domestic listed Renminbi ordinary shares (A shares on 23 December 2004. The Company has not obtained the revised Business License and the Certificate of Approval for Establishment of Enterprises with Foreign Investment in the People s Republic of China. 2 ACCOUNTING POLICIES (a Basis of preparation The Group maintains its books and prepares its statutory financial statements in accordance with relevant accounting regulations in the PRC. These accounting regulations differ in certain respects from International Financial Reporting Standards( IFRS. These consolidated financial statements incorporate adjustments made to the statutory financial statements in order to conform with International Financial Reporting Standards. The preparation of financial statements in conformity with generally accepted accounting principles requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Although these estimates are based on management s best knowledge of current events and actions, actual results ultimately may differ from those estimates. (b Consolidation Subsidiaries, which are those entities in which the Group, directly or indirectly, has an interest of more than one half of the voting rights or otherwise has power to govern the financial and operating policies, are consolidated. Subsidiaries are consolidated from the date on which effective control is transferred to the Group and are no longer consolidated from the date that control ceases. All material intercompany transactions, balance and unrealised profit on transactions between group companies are eliminated. Where necessary, accounting policies for subsidiaries have been changed to ensure consistency with the policies adopted by the Group. Separate disclosure is made of minority interest. Certain subsidiaries that are insignificant to the Group are not consolidated. Investments in these unconsolidated subsidiaries are accounted for using the equity method of accounting. A listing of the Group s consolidated and unconsolidated subsidiaries is set out in Note 31 (a and (b. - 7 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 2 ACCOUNTING POLICIES (CONTINUED (c Foreign currency translations Transactions denominated in foreign currencies are translated into Renminbi at the exchange rates stipulated by the People s Bank of China prevailing on the first day of the month in which the transactions took place. Monetary assets and liabilities denominated in foreign currencies at the balance sheet date are translated into Renminbi at the exchange rates stipulated by the People s Bank of China. Exchange differences arising from these translations are taken to the income statement. Income statements of foreign entities are translated into Renminbi at average exchange rates for the year and their balance sheets and cash flow statements are translated at the exchange rates ruling on balance sheet day. Exchange differences arising from the translations of the net investment in foreign entities are taken to shareholder s equity. When a foreign entity is sold, such exchange differences are recognized in the income statement as part of the gain or loss on sale. (d Property, plant and equipment All property, plant and equipment is stated at historical cost less depreciation. Depreciation is calculated on the straight line basis to write off the cost of each asset, after taking into account their residual values, over their estimated useful lives as follows: years Buildings 20 Plant and machinery 10 Motor vehicles 5 Office and other equipment 5 Gains and losses on disposals are determined by comparing proceeds with carrying amounts and are included in profit from operations. Repairs and maintenance are charged to the income statement during the period in which they are incurred. The cost of major renovations is included in the carrying amount of the asset when it is probable that future economic benefits in excess of the originally assessed standard of performance of the existing asset will flow to the Group. Major renovations are depreciated over the remaining useful life of the related asset. (e Construction in progress Construction in progress represents capital assets under construction or being installed and is stated at cost. Cost comprises original cost of plant and equipment, installation, construction and other direct costs including borrowing costs on loans borrowed to finance the capital assets incurred prior to the date of reaching their expected usable condition. Construction in progress is transferred to the fixed assets account when it has been substantially completed or has reached its expected usable condition. - 8 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 2 ACCOUNTING POLICIES (CONTINUED (f Land use rights Land use rights are stated at cost less accumulated amortisation. Amortisation is calculated on the straight-line basis over the approved useful period. (g Intangible assets Intangible assets, comprising proprietary technology relating to technical design and drawings, are stated at cost. They are amortised on the straight-line basis over 10 years. (h Impairment of long-lived assets Property, plant and equipment, construction in progress, land use right and intangible assets are reviewed for impairment losses whether events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognized for the amount by which the carrying amount of the assets exceeds its recoverable amount which is the higher of an asset s net selling price and value in use. (i Investments in associates Investments in associates are accounted for by the equity method of accounting. Associates are entities over which the Group generally has between 20% and 50% of the voting rights, or over which the Group exercises significant influence, but which it does not control. Equity accounting involves recognizing in the income statement the Group s share of the profit or loss of the associates for the year. The Group s interest in the associates is carried in the balance sheet at an amount that reflects its share of the net assets of the associates. Goodwill on acquisition of associates is included in investments in associates. Goodwill represents the excess of the cost of acquisition over the fair value of the Group s share of the net assets of the acquired associates at the date of acquisition. Goodwill is amortised using the straight-line method over 10 years. The details of the Group s associate are set out in Note 31 (c. (j Available-for-sale investments Investments other than investments in subsidiaries and associates are intended to be held for an indefinite period of time, which may be sold in response to needs for liquidity or changes in interest rates, are classified as available for sale, and are included in non-current assets unless management has the express intention of holding the investment for less than 12 months from the balance sheet date or unless they will need to be sold to raise operating capital, in which case they are included in current assets. (k Stocks and contract costs incurred Stock, comprising raw materials, purchased parts and contracts in progress are presented at the lower of cost or net realizable value. Cost of raw materials and purchased parts are calculated on the weighted average basis. Cost of contracts in progress comprises raw materials, direct labor and related production overheads (based on normal operating capacity but excluded borrowing costs. Estimated net realizable value is determined on the basis of the contract value less costs of completion and estimated shipping and other related expenses. - 9 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 2 ACCOUNTING POLICIES (CONTINUED (l Trade receivables Trade receivables are carried at original invoice amount less provision made for impairment of these receivables. A provision for impairment of trade receivable is established when there is an objective evidence that the Group will not be able to collect all amounts due according to the original terms of receivables. The amount of the provision is the difference between the carrying amount and the recoverable amount. (m Cash and cash equivalents For the purposes of the cash flow statement, cash and cash equivalents comprise cash on hand and deposits held at call with banks, other short-term highly liquid investments with original maturities of three months or less. (n Revenue recognition Revenue is recognized when the contract work has progressed to the stage where assembly of the cranes have been completed and the cranes are ready for delivery. All production costs incurred and all costs which are expected to be incurred after assembly, including shipment, installation and estimated after-sale costs are accrued at the point of revenue recognition. Interest income earned by the Group is recognised on the accrual basis unless its collectibility is in doubt. (o Dividends Dividends are recorded in the Group s financial statements in the period in which they are approved by the Group s shareholders. (p Operating leases Leases where a significant portion of the rewards and risks of ownership of assets remain with the lessor are accounted for as operating leases. Rental applicable to such operating lease is charged to the income statement on the straight-line basis over the lease term. Assets leased out under operating leases are included in property, plant and equipment in the balance sheet. They are depreciated over their expected useful lives on a basis consistent with similar owned property, plant and equipment. Rental income is recognised on the straight-line basis over the lease term. (q Deferred income taxes Deferred income tax is provided, using the liability method, for all temporary differences arising between the tax bases of assets and liabilities and their carrying amount in the financial statements. Currently enacted tax rates are used to determine deferred income tax. Deferred income tax assets are recognised to the extent that it is probable that future taxable profit will be available against which the temporary differences can be utilised. - 10 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 2 ACCOUNTING POLICIES (CONTINUED (r Retirement benefits The Group participates in a government defined contribution pension scheme whereby it is required to contribute to the scheme at 22.5% from January to September 2004 and 22% since September 2004 (2003: 22.5% of the wages of existing permanent employees. In addition, the Group also provides additional 20% of the wages of existing permanent employees for defined contribution pension purpose which may be converted into or merged with the above pension scheme in future. The scheme and the additional provision are intended to cover the retirement benefits obligations. Both of the above amounts are charged to the income statement in the period in which they are incurred. (s Financial instruments Financial instruments carried on the balance sheet include cash and cash equivalents, investments, receivables, payables and borrowings. The particular recognition methods adopted are disclosed in the individual policy statements associated with each item. (1 Financial risks The Group s activities expose it to a variety of financial risks, including the effects of changes in debt and equity market prices, foreign currency exchange rates and interest rates. The Group uses derivative financial instruments such as foreign exchange contracts to hedge certain exposures. (a Interest rate risk The Group s income and operating cash flows are primarily independent of changes in market interest rates. The interest rates and terms of repayment of borrowings are disclosed in Note 25. Other financial assets and liabilities do not have material interest rate risk. (b Credit risk Trade receivables are spread among a number of customers, mainly outside the PRC, and cash is deposited with reputable banks registered in the PRC. The Group has policies in place to ensure that sales of products are made to customers with appropriate guaranteed letters from the registered banks of the customers home countries. The directors are of the opinion that the Group has no significant concentrations of credit risk. The carrying amounts of the financial assets after deducting the impairment charge represent their maximum credit risk. (c Foreign exchange risk The Group sells to customers around the world and is exposed to foreign exchange risk arising from various currency exposures primarily with respect to US dollars and Euro. The Group uses foreign forward contracts transacted with domestic and overseas registered banks, to hedge its exposure to foreign currency risk in connection with Renminbi. - 11 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 2 ACCOUNTING POLICIES (CONTINUED (s Financial instruments (continued (d Fair value The carrying values of financial assets and liabilities with a maturity of less than one year approximate their fair values. The fair values of non-current financial assets and liabilities for disclosure purposes are estimated by discounting the future cash flows at the current market interest rates available to the Group for similar financial instruments. (2 Accounting for derivative financial instruments and hedging activities Derivative financial instruments are initially recognized in the balance sheet at cost and are subsequently remeasured at their fair value. The method of recognizing the resulting gain or loss is dependent on whether the derivative financial instrument is designated as a hedging instrument, and if so, the nature of the item being hedged. Certain derivative financial instruments are designated as either (1 hedges of the fair value of recognized assets or liabilities or a firm commitment (fair value hedge or (2 hedges of highly probable forecasted transactions (cash flow hedge. Changes in the fair value of derivatives that are designated and qualify as fair value hedges and that are highly effective, are recorded in the income statement, along with any changes in the fair value of the hedged assets or liabilities that are attributable to the hedged risk. Changes in the fair value of derivatives that are designated and qualify as cash flow hedges and that are highly effective, are recognized in equity. Where the forecasted transaction results in the recognition of an asset or of a liability, the gains and losses previously deferred in equity are transferred from equity and included in the initial measurement of the cost of the asset or liability. Otherwise, amounts deferred in equity are transferred to the income statement and classified as revenue or expense in the same period during which the hedged forecasted transaction affects the income statement. Certain derivative financial instruments do not qualify for hedge accounting. Changes in the fair value of derivative financial instruments that do not qualify for hedge accounting are recognized immediately in the income statement. (t Comparatives Where necessary, comparative figures have been reclassified to conform with changes in presentation in the current year. - 12 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 3 SEGMENT INFORMATION Sales to geographic segments based on the countries where the customers are located are as follows. 2004 2003 PRC mainland (exports 1,835,684 1,911,139 PRC mainland 1,697,364 597,630 Asia (Excluding PRC mainland 1,675,798 849,736 America 1,379,521 718,360 Europe 502,087 551,004 Africa 19,014 261 Oceania 196 43 7,109,664 4,628,173 Sales shown in PRC mainland (exports represents those sales first export from the Company to Zhenhua Port Machinery (Hongkong Co., Ltd., the subsidiary of the Company, and then sold by this subsidiary to the respective customers domiciled in PRC mainland. 4 PROFIT FROM OPERATIONS The following items have been charged in arriving at profit from operations: 2004 2003 Depreciation on property, plant and equipment (Note 11 178,710 139,624 Amortisation of land use rights (Note 13 1,536 1,516 Staff costs (Note 7 214,015 152,413 Impairment charge for bad and doubtful debts (Note 21 35,081 2,999 (Reversal of/provision for stock obsolescence (Note 20 (3,123 6,625 Amortisation of intangible assets (Note 14 206 205 Operating lease rental 23,166 10,782 (Gains/losses on disposal of property, plant and equipment (580 210-13 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 5 OTHER OPERATING PROFIT 2004 2003 Rental income 6,149 5,784 Others 6,969 1,886 13,118 7,670 Rental income represents the leasing of floating cranes to customers for the installation of equipment and steel structure. 6 FINANCE COSTS - NET 2004 2003 Interest income - bank deposits (5,068 (999 - long-term receivables (5,675 (25,257 Interest expense - bank borrowings 131,361 101,285 - loan from a related company (Note 32 (c 274 4,233 Net foreign exchange (gain/loss (590 5,788 Fair value losses on derivative financial instruments - foreign forward contracts(note 28 85,651 18,520 Bank charges 5,465 1,827 Dividend income (1,152 (1,239 210,266 104,158 7 STAFF COSTS 2004 2003 Wages and salaries 133,084 91,121 Pension costs 35,891 31,668 Staff welfare and benefits 45,040 29,624 214,015 152,413 Monthly average number of persons employed by the Group during the year - full time 1,932 1,871 - temporary 484 433-14 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 8 INCOME TAX EXPENSES 2004 2003 Current tax charge 58,052 42,965 Deferred tax (Note 19 (19,437 (10,694 38,615 32,271 Income tax is provided in accordance with the prevailing income tax regulations in the PRC at a preferential rate of 10% of taxable profit. The tax on the Group s profit before tax differs from the theoretical amount that would arise using the tax rate of the Company as follows: 2004 2003 Profit before tax 466,058 309,976 Tax calculated at a tax rate of 10% (2003: 10% 46,606 30,998 Income not subject to tax (147 (1,073 Expenses not deductible for tax purposes 16,420 13,040 Tax charge 62,879 42,965 Investment tax credit amortisation (4,827-58,052 42,965 According to Cai Shui Zi (2000 No.49, foreign investment enterprise and foreign companies can claim enterprise income tax credit on 40% of the cost of certain qualified equipment manufactured in the PRC. As approved by National Tax Bureau of Shanghai Municipal in year 2004, 34,309 thousand tax credit was received and recorded in deferred income, and 4,827 thousand was amortised into income tax expenses to match against depreciation over the life of the related equipment. 9 MINORITY INTERESTS 2004 2003 At beginning of year 1,428 1,416 Share of net profit of subsidiaries 17 12 At end of year 1,445 1,428-15 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 10 EARNINGS PER SHARE The calculation of earnings per share is based on the net profit for the year of 427,426 thousand (2003: 277,693 thousand and the weighted average number of ordinary shares in issue of 915,505 thousand (2003: 913,000 thousand. 2004 2003 Net profit for the year 427,426 277,693 Weighted average number of shares in issue for the year (in thousands 915,505 913,000 Earnings per share Rmb 0.47 Rmb 0.30 11 PROPERTY, PLANT AND EQUIPMENT Cost Office Plant and Motor and other Buildings machinery vehicles equipment Total At 01 January 2003 1,165,905 557,199 166,792 49,041 1,938,937 Additions 118,428 200,027 43,870 22,688 385,013 Disposals - (4,106 (507 (167 (4,780 At 31 December 2003 1,284,333 753,120 210,155 71,562 2,319,170 Additions 447,654 259,240 77,356 14,803 799,053 At 31 December 2004 1,731,987 1,012,360 287,511 86,365 3,118,223 Accumulated depreciation At 01 January 2003 123,157 167,109 78,498 28,346 397,110 Charge for the year 53,254 56,344 23,583 6,443 139,624 Disposals - (1,866 (224 (162 (2,252 At 31 December 2003 176,411 221,587 101,857 34,627 534,482 Charge for the year 60,020 74,463 35,277 8,950 178,710 At 31 December 2004 236,431 296,050 137,134 43,577 713,192 Net book value At 31 December 2004 1,495,556 716,310 150,377 42,788 2,405,031 At 31 December 2003 1,107,922 531,533 108,298 36,935 1,784,688-16 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 12 CONSTRUCTION IN PROGRESS 31 December 2004 31 December 2003 At beginning of year 422,111 340,286 Additions during the year 231,397 340,239 Transfer to property, plant and equipment (599,494 (258,414 At end of year 54,014 422,111 Interest capitalised in construction in progress amounted to 16,195 thousand (2003: 17,053 thousand and is calculated based on the Company s average cost of borrowings for the year of 5.59% (2003: 5.74% per annum. 13 LAND USE RIGHTS Cost 31 December 2004 31 December 2003 At beginning of year 47,132 47,132 Additions 133,333 - At end of year 180,465 47,132 Accumulated amortisation At beginning of year 10,805 9,289 Charge for the year 1,536 1,516 At end of year 12,341 10,805 Net book value at end of year 168,124 36,327 The average remaining use period for the land use rights is approximately 46.5 years. - 17 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 14 INTANGIBLE ASSETS Year ended 31 December 31 December 2004 31 December 2003 Net book value at beginning of year 206 411 Amortization charge (206 (205 Net book value at end of year - 206 At 31 December Cost 4,022 4,022 Accumulated amortization (4,022 (3,816 Net book value at end of year - 206 15 INVESTMENTS IN UNCONSOLIDATED SUBSIDIARIES 31 December 2004 31 December 2003 At beginning of year 6,377 6,293 Share of net profit of unconsolidated subsidiaries 189 84 At end of year 6,566 6,377 The Company has subsidiaries that are insignificant to the Group and are not consolidated. Details of the unconsolidated subsidiaries are shown in Note 31 (b. 16 INVESTMENT IN AN ASSOCIATE 31 December 2004 31 December 2003 At beginning of year 67,973 58,537 Share of net profit of an associate 160 9,436 At end of year 68,133 67,973 The share of net profit of an associate includes amortisation of goodwill of 1,711 thousand (2003: 1,711 thousand relating to the acquisition of the associate, Shanghai Zhenhua Shipping Co., Ltd. in 2000. Investment in an associate at 31 December 2004 includes goodwill of 10,269 thousand, net of accumulated amortisation of 6,844 thousand (2003: 11,980 thousand, net of accumulated amortisation of 5,133 thousand. Details of the associate are shown in Note 31 (c. - 18 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 17 AVAILABLE-FOR-SALE INVESTMENTS Available-for-sale investments are stated at cost and not subsequent fair valued because they do not have quoted market prices in active markets and whose fair values can not be reliably measured. These investments are subject to review for impairment. 18 LONG-TERM RECEIVABLES The balance represents trade receivables which will become due for payment in installments after 31 December 2005 from certain customers under the terms of the sales agreements. All long-term receivables are due within 4 years from the balance sheet date. The outstanding amounts bear interest at rates ranging from 4.28% to 7.50% (2003: 3.1925% to 8.5% per annum. Included in long-term receivables are amounts totaling 102,663 thousand (2003: 143,072 thousand which are retained by customers prior to completion of the warranty period of the installed cranes. 19 DEFERRED INCOME TAX ASSETS 31 December 2004 31 December 2003 At beginning of year 10,694 - Income statement charge (Note 8 19,437 10,694 At ending of year 30,131 10,694 Deferred income tax assets at year end mainly resulted from temporary differences arising from provision for impairment of receivables, provision for stock obsolescence, accrued after sales cost, and fair value losses on foreign forward contracts 20 STOCKS AND CONTRACT COSTS INCURRED 31 December 2004 31 December 2003 Raw materials and purchased parts 873,703 483,230 Contracts in progress 3,477,136 1,692,190 4,350,839 2,175,420 Less: Provision for stock obsolescence (19,681 (22,804 4,331,158 2,152,616-19 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 21 RECEIVABLES AND PREPAYMENTS 31 December 2004 31 December 2003 Trade receivables 2,779,787 1,971,858 Prepayments and other receivables 456,059 228,881 3,235,846 2,200,739 Less : Provision for Impairment of receivables (54,895 (19,814 3,180,951 2,180,925 Concentrations of credit risk with respect to trade receivables are limited due to the Group s large numbers of customers, who are mostly internationally dispersed, together with various payment guarantees provided by the customers banks. The Group s experience normally falls within the recorded provision for impairment. Due to these factors, management believes that no additional credit risk beyond amounts provided for collection losses is inherent in the Group s trade receivables. 22 CASH AND CASH EQUIVALENTS 31 December 2004 31 December 2003 Cash and cash equivalents 1,517,529 283,253 Restricted cash 9,492-1,527,021 283,253 23 TRADE AND OTHER PAYABLES 31 December 2004 31 December 2003 Advances from customers 2,353,796 791,565 Trade payables 576,576 401,191 Deposit for trade receivables in US dollar 298,023 - Accrued after-sale cost 138,052 104,204 Forward foreign contracts (Note 28 85,651 18,520 Amounts due to related companies (Note 32 (d 46,581 8,667 Deferred income (Note 8 29,482 - Accrued payroll 21,319 6,000 Accrued interest expense 18,172 10,543 Welfare payable 7,732 14,871 Other current liabilities 27,931 18,301 3,603,315 1,373,862 Deposit for trade receivables in US dollar represents Rmb cash collected from the customers that are temporarily unable to pay for the trade receivables dominated in US$ upon due. Those deposit will be remit back upon receipt of US dollar for those trade receivables. - 20 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 24 DIVIDENDS PAYABLE 31 December 2004 31 December 2003 At beginning of year - - Dividends declared for 2003/2002 91,300 91,300 Amounts paid during the year (91,300 (91,300 At end of year - - 25 BORROWINGS 31 December 2004 31 December 2003 Current Bank borrowings 3,902,592 3,164,296 Loan from a related company (Note 32 (e - 10,000 3,902,592 3,174,296 Non-current Bank borrowings 999,637 862,872 4,902,229 4,037,168 All the borrowings are unsecured. (i The weighted average effective interest rates are as follows: 31 December 2004 31 December 2003 Bank borrowings 3.11% 3.35% Loan from a related party 3.51% 3.51% (ii Maturity of non-current borrowings: 31 December 2004 31 December 2003 Between 1 and 2 years 427,765 751,872 Between 2 and 5 years 571,872 111,000 999,637 862,872-21 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 26 SHARE CAPITAL At 31 Issuance Issuance At 31 December of bonus of additional December 2003 shares A shares 2004 Unlisted shares of Rmb 1 each: Promoters shares 258,500 258,500-517,000 Listed shares of Rmb 1 each: Domestically listed foreign shares (B Shares 110,000 110,000-220,000 Domestically listed Renminbi ordinary shares (A Shares 88,000 88,000 114,280 290,280 456,500 456,500 114,280 1,027,280 All promoters shares, A shares and B shares are registered ordinary shares and carry equal rights. According to the resolution of the Company s Annual General Meeting held on 15 February 2004, bonus shares were appropriated from capital accumulation fund (273,900 thousand and retained earning (182,600 thousand at six and four respectively for every ten issued shares as at 31 December 2003. After the issuance of bonus shares, and the share capital increased 456,500 thousand. The increased share capital were verified by PricewaterhouseCoopers Zhong Tian CPAs Ltd. Co. with a capital verification report of PwC ZT Yan Zi (2004 No.214. As approved in CSRC (2004 No.165 Approval on Additional Public Offering of Shanghai Zhenhua Port Machinery Co., Ltd. issued by China Securities Regulatory Commission on 14 December 2004, the Company issued additional A shares of 114,280 thousand on 23 December 2004 with a proceeds of Rmb 971,660 thousand, of which, Rmb 114,280 thousand was credit to share capital and the rest Rmb 857,380 thousand was credit to capital accumulation fund. The increased share capital were verified by PricewaterhouseCoopers Zhong Tian CPAs Ltd. Co. with a capital verification report of PwC ZT Yan Zi (2004 No.253. 27 RESERVES Capital Statutory Discretionary Statutory accumulation accumulation accumulation welfare fund fund fund fund Total At 1 January 2004 1,116,493 96,399 86,270 96,399 1,395,561 Share Premium from issuance of additional A shares 857,380 - - - 857,380 Appropriation to share capital (273,900 - - - (273,900 Appropriation to reserves - 45,802 206,109 45,802 297,713 At 31 December 2004 1,699,973 142,201 292,379 142,201 2,276,754 At 1 January 2003 1,116,493 68,342 58,213 68,342 1,311,390 Appropriation to reserves - 28,057 28,057 28,057 84,171 At 31 December 2003 1,116,493 96,399 86,270 96,399 1,395,561-22 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 27 RESERVES (CONTINUED (a Capital accumulation fund Transactions of the following nature are recorded in the capital accumulation fund: (i share premium arising from issue of shares at a price in excess of their par value; (ii excess of the value of the contributed net assets over the par value of the issued shares; (iii any other items required by the PRC regulations to be so treated. According to the PRC accounting regulations, except for unrealized portion, amounts in the capital accumulation fund can be utilized to offset prior years losses or for the issuance of bonus shares. According to the board resolution dated 7 April 2005, a bonus share, to be appropriated from capital accumulation fund at five for every ten issued shares as at 31 December 2004, are to be proposed for shareholders approval at the Company s Annual General Meeting to be held in 2005. (b Statutory accumulation fund and statutory welfare fund PRC Company Law requires the Company to appropriate ten percent of its net profit for the year computed in accordance with the PRC accounting regulations (after offsetting prior years losses to the statutory accumulation fund. When the balance of such fund reaches 50 percent of the Company s registered share capital, any further appropriation is optional. The statutory accumulation fund can be utilised to offset prior years losses or for the issuance of bonus shares. However, the fund shall be maintained at a minimum balance equivalent to 25 percent of the registered share capital after any such issue. PRC Company Law also requires a company to appropriate between five percent to ten percent of its net profit for the year computed in accordance with the PRC accounting regulations (after offsetting prior years losses to the statutory welfare fund. The fund should be utilised for the collective benefits of the workforce, including provision of staff quarters or housing. No other distribution shall be made from the fund other than upon liquidation of the Company. In 2004, an amount of 45,802 thousand (2003: 28,057 thousand has been appropriated to each of these funds. (c Discretionary accumulation fund According to the board resolution dated 7 April 2005, in respect of 2004, an amount of 206,109 thousand (2003: 28,057 thousand has been appropriated to discretionary accumulation fund. This proposal is subject to shareholders approval in the Company s Annual General Meeting to be held in 2005. - 23 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 28 FINANCIAL INSTRUMENTS Foreign forward contracts are entered into by the Group to manage exposure to fluctuations in foreign currency exchange rates on specific transactions. In general the Group s policy is to enter into foreign forward contracts based on the anticipated net monthly foreign currency receipts over the following year. The losses on fair value of unfulfilled foreign forward contracts as at 31 December are: 31 December 2004 31 December 2003 Losses on fair value of foreign forward contracts (Note 23 85,651 18,520 29 CONTINGENCIES (a (b The Company entered into certain sales contracts which include provision for various penalties should the Company fail to fulfill its contractual obligations. In some instances, the penalty for failure to deliver the cranes on schedule is equal to the whole contract price. As a result, unforeseen production delays can significantly affect the profitability of certain contracts. The Company entered into certain bid bonds issued by different banks. Should the Company fail to fulfill its contractual obligations, the maximum penalty the Company will be required to pay amounted to 28,944 thousand (2003: 45,332 thousand. 30 COMMITMENTS (a Operating lease commitments The future aggregate minimum lease payments under non-cancelable operating leases are as follows: 31 December 2004 31 December 2003 Not later than 1 year 14,038 8,316 Later than 1 year and not later than 5 years 46,069 33,466 Later than 5 years 120,940 118,541 181,047 160,323 (b Letters of credit The Company issued several letters of credit for the import of parts. As at 31 December 2004, 887,315 thousand (2003: 740,068 thousand remained unpaid under these letters of credit. (c Capital commitments Capital expenditures contracted for as at the balance sheet date but not recognised in the financial statements amounted to 34,240 thousand as at 31 December 2004 (2003: 154,540 thousand. - 24 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 31 SUBSIDIARIES, ASSOCIATES AND RELATED PARTIES (a Consolidated subsidiaries At 31 December 2004, the Company s consolidated subsidiaries are set out below: Attributable Country/year Registered equity Principal Name of incorporation capital interest activities Shanghai Zhenhua Port PRC/1996 5,000 thousand 90% Manufacture and Machinery Pudong Co., Ltd. sale of cranes and bearings for cranes Shanghai Zhenhua Port PRC/2001 5,500 thousand 90% Manufacture and Machinery Changxin Spare sale of steel Parts Manufacture Co., Ltd. structures and spare parts for cranes Zhenhua Port Machinery PRC/2002 HKD 10 thousand 99.99% Design, manufacture (Hongkong Co., Ltd. and sale of steel structures and spare parts for cranes The above subsidiaries have been consolidated into the Company s financial statements. (b Unconsolidated subsidiaries Attributable Country/year Registered equity Principal Name of incorporation capital interest activities Shanghai Zhenhua Changxin PRC/2001 5,000 thousand 70% Precision forge, Precision Forge Co., Ltd. metal incision and processing Shanghai Zhenhua Port PRC/2001 1,000 thousand 90% Design and sale Machinery Machine Design of port and Co., Ltd. other machinery Shanghai Zhenhua Port PRC/2001 1,000 thousand 90% Develop products Machinery New Products relating to port Development Co., Ltd. and other machinery Shanghai Zhenhua Port PRC/2001 1,000 thousand 99% Sale, installation Machinery Electronic Device and design of Co., Ltd. electrical devices ZPMC (M SDN. BHD. Malaysia/2002 MYR 100 thousand 100% Dormant (c Associate Percentage Country/year Amount of equity Principal Name of incorporation invested interest activities Shanghai Zhenhua PRC/1996 67,040 thousand 40% Delivery of products Shipping Co., Ltd. manufactured by the Company - 25 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 31 SUBSIDIARIES, ASSOCIATES AND RELATED PARTIES (CONTINUED (d Related parties Name China Harbour Engineering (Group Company Hong Kong Zhenhua Engineering Co. Macau Zhenhua Engineering Co. Shanghai Port Machinery Factory Relationship with the Group Ultimate holding company which holds 31.26% of the Company s shares Subsidiary of the ultimate holding company which holds 18.71% of the Company s shares Subsidiary of the ultimate holding company which holds 0.36% of the Company s shares Subsidiary of the ultimate holding company and the Company s associate 32 RELATED PARTY TRANSACTIONS (a Freight paid to the associate 2004 2003 - Shanghai Zhenhua Shipping Co., Ltd. 236,137 177,423 (b Materials sold to the associate 2004 2003 - Shanghai Zhenhua Shipping Co., Ltd. 8,714 6,669 (c Interest paid to a related companies 2004 2003 - Shanghai Zhenhua Shipping Co., Ltd. - 3,789 - China Harbour Engineering (Group Company 274 444 274 4,233-26 -

SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2004 (All amounts are stated in Renminbi thousand Yuan unless otherwise stated 32 RELATED PARTY TRANSACTIONS (CONTINUED (d Amounts due to related companies 31 December 2004 31 December 2003 - Shanghai Zhenhua Shipping Co., Ltd. 44,808 6,499 - Shanghai Zhenhua Changxin Precision Forge Co., Ltd. 1,773 2,168 46,581 8,667 (e Loan from a related company 31 December 2004 31 December 2003 - China Harbour Engineering (Group Company - 10,000 The loan was unsecured and repaid in 2004. 33 POST BALANCE SHEET EVENT According to the Board Resolution dated 27 January 2005, the Company will acquire 15% share of Shanghai Zhenhua shipping Co. Ltd. with a cash consideration of no more than 100 million. The Company has completed the acquisition with a consideration of 89.1 million as at 25 March 2005. After the acquisition, this associate becomes a consolidated subsidiary of the Company. According to the same Board Resolution, the Company will form with the Union Committee of Shanghai Zhenhua Port Machinery Co. Ltd. an joint venture engaged in manufacturing and leasing floating cranes. The Company will inject to this joint venture 51,000 thousand cash and hold 51% of its registered capital. As at the date of the authorization of these financial statements for issue, the Company has completed the cash injection and establishment of aforementioned Subsidiary. 34 RECONCILIATION OF NET ASSETS AT 31 DECEMBER 2004 AND NET PROFIT FOR THE YEAR THEN ENDED BETWEEN PRC REPORTING AND REPORTING UNDER INTERNATIOANL FINANICAL REPORTING STANDARDS ( IFRS The Company s net assets at 31 December 2004 and net profit for the year then ended under IFRS reporting are reconciled to those PRC reporting as below: Net profit for the year ended Net assets as of 31 December 2004 31 December 2004 Per PRC Reporting 456,908 3,465,997 Adjustment on amortisation of investment tax credit (29,482 (29,482 Per IFRS Reporting 427,426 3,436,515-27 -

DOCUMENT CONTROL FORM Doc. Name : Doc. Locat : Operator : Input Date : Audit Group : Correction Checked Correction Checked Date by Date by Document type SHANGHAI ZHENHUA PORT MACHINERY CO., LTD. CONSOLIDATED FINANCIAL STATEMENTS 31 DECEMBER 2003 (B SHARE 1. CALL OVER Initials Sent to AWZ 1st 2nd Final Called over by to to to Additions checked by Cross referenced by Cross-checked to Chinese version by Proofread by (Manager 2. REVIEWED AND APPROVED FOR PRINTING BY Manager Partner 3. TO PRINTING ROOM Accounts Letterhead Auditors copy PWDH Tax copy PWASIA AGM copy Other Additional copy Total No. of pages Type of Binding Staple Plastic Required by: Date Time ***** This page is generated by the word processing ***** centre and is not part of the report. - 28 -