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Update On Expansion In The People's Republic Of China ("PRC")

BackSep 13, 2004

The Board of Directors of Tung Lok Restaurants (2000) Ltd ("Tung Lok" or the "Company") wishes to provide the following updates with regards to its expansion in the People's Republic of China ("PRC"):

1. Tung Lok (China) Holdings Pte Ltd ("TLC") has entered into a 50/50 joint-venture, named Beijing Tung Lok Elite (Restaurant) Company Ltd ("Tung Lok Elite"), with Beijing Xiang-E Qing Restaurant Company Ltd.

2. Tung Lok Elite, with a paid-up capital of RMB 5 million (approximately S$1.04 million), will open a new restaurant in Beijing, the Chinese capital. Tung Lok's portion of this investment (S$520,000/-) is financed by the net proceeds from the private placement of 20,000,000 ordinary shares as announced on 22 April 2004.

3. Participation in this joint-venture is not expected to have any material impact on the net tangible assets per share or earnings per share of the Company for the financial year ending 31 March 2005.

None of the directors and so far as the directors are aware, none of the controlling shareholders or substantial shareholders of the Company has any interest, direct or indirect, in the above transaction.