Hong Kong, 14 October 2003 - Cheung Kong (Holdings) Limited ("Cheung Kong") today announced the setting up of a HK$10 billion Retail Note Issuance Programme (the "Programme"), the first of its kind in Asia.

This Programme allows Cheung Kong to more effectively issue a variety of capital market products to retail investors. The Programme prospectus is pre-cleared with the relevant regulatory authorities, thus reducing the associated costs of debt issuance and shortening issuance time. Details of individual issues will be outlined in the relevant supplementary issue documents. A variety of instruments are permitted, including fixed and floating rate notes as well as discount notes, and they can be issued in a variety of currencies and with varying maturities. The Programme enables great flexibility in the structure and method of issuance for each individual issue.

The Hongkong and Shanghai Banking Corporation Limited ("HSBC") is the arranger and Standard Chartered Bank the co-arranger of the Programme.

Mr Edmond Ip, Executive Director of Cheung Kong (Holdings) Ltd, said, “This highly efficient Programme allows Cheung Kong to tap the retail bond market as required and on an ongoing basis. It considerably reduces the time and cost of issuance and places Cheung Kong in an advantageous position to promptly leverage favourable market conditions, giving the Group a new source of liquidity.”

The launch of the first issue of retail notes was also announced today. They consist of five-year Hong Kong dollar Notes and three-year Australian dollar Notes (collectively “the Notes”).

The Hong Kong dollar Notes will be issued with a one-time call from the issuer after two years and carry a coupon rate of 3% p.a. for the first two years and 4% p.a. thereafter. These notes will be issued at par value and mature on 30 October 2008. Interest payments will be made annually.

The Australian dollar Notes will carry a coupon rate of 4.75% p.a. until maturity. These notes will be issued at par value and mature on 31 October 2006. Interest payments will be made annually.

Commenting on the retail bond launch, Mr Ip expressed, “The government has made the process of issuing bonds to retail investors possible in the past year, and we are delighted to be able to take advantage of this through a rolling issuance programme.”

The notes will be issued to retail investors in bearer form through Cheung Kong Bond Finance Limited, a wholly owned subsidiary company of Cheung Kong, and will be guaranteed by Cheung Kong.

HSBC is the sole underwriter of the Notes.

Ms Anita Fung, Treasurer and Co-Head of Global Markets, Asia Pacific, HSBC said, “Cheung Kong is known for its pioneering and innovative approach to financing. The note issuance is not only favourable for Cheung Kong, it is also a financial product that has substantial demand under present low interest rate environment. It is expected that this retail bond will be well received. ”