Cheung Kong, Hutchison, HSBC and Hang Seng Bank Form
Internet Business Joint Venture - iBusinessCorporation.com

23 January 2000

Hong Kong - The Hongkong and Shanghai Banking Corporation Limited, Hang Seng Bank, Cheung Kong (Holdings) Ltd, and Hutchison Whampoa Ltd announced today the formation of a joint venture to facilitate e-commerce businesses on the Internet.

Named iBusinessCorporation.com, the new Internet joint venture intends to be the dominant service provider and business facilitator by capitalizing on the resources, network, and customer base of Cheung Kong, Hutchison, HSBC and Hang Seng. Work is being carried out for the launch of Internet businesses and portals in the coming months.

Cheung Kong and Hutchison hold approximately 75% of iBusinessCorporation.com while HSBC and Hang Seng hold approximately 25% of the joint venture. Minority shares have been reserved for senior executives. The shareholders have already committed up to HK$3 billion for the joint venture, and may decide to increase this amount at a later stage.

"We are very excited about partnering with HSBC and Hang Seng in the formation of iBusinessCorporation.com. Leveraging on the four partners' customer reach and synergistic marketing capabilities, Internet service offerings that the joint venture can provide encompass an extremely wide range of areas. In addition, this joint venture will explore new business ventures with appropriate promising partners. We are confident that iBusinessCorporation.com will be a major player in the Internet arena," said Mr Victor Li, Managing Director and Deputy Chairman of Cheung Kong (Holdings) Ltd, and Deputy Chairman of Hutchison Whampoa Ltd.

"This is an exciting opportunity for HSBC. The joint venture, we believe, is in the interests of our shareholders and the services it will offer should be of benefit to many of our customers and Hong Kong as a whole. I am confident the venture will place Hong Kong at the forefront of the Internet and e-commerce revolution in Asia," said Mr Aman Mehta, Chief Executive Officer of The Hongkong and Shanghai Banking Corporation.

The Hongkong and Shanghai Banking Corporation Limited is the principal and founding member of the HSBC Group which, with over 5,000 offices in 82 countries and territories and assets of HK$3,852 billion (US$497 billion) at 30 June 1999, is one of the world’s largest banking and financial services organisations.

Founded in 1933, Hang Seng Bank, a principal member of the HSBC Group, is the second-largest locally-incorporated bank in Hong Kong and employs a staff of about 7,500 in its 156 local branches; its Guangzhou, Shanghai and Shenzhen branches; and its representative offices in Beijing and Xiamen. With consolidated assets of HK$435.5 billion at the end of June 1999, the Bank reported a profit attributable to shareholders of HK$4.26 billion for the first half of 1999, and HK$6.79 billion for the full year of 1998.

Cheung Kong (Holdings) Ltd is the flagship company of the Cheung Kong Group which consists of Cheung Kong (Holdings) Ltd, Hutchison Whampoa Ltd, Cheung Kong Infrastructure Holdings Ltd and Hongkong Electric Holdings Ltd. All members of the Cheung Kong Group are constituent stocks of Hang Seng Index, and the combined market capitalization of the four companies in the Group is about HK$700 billion. The Cheung Kong Group is one of Hong Kong's most diverse conglomerates with businesses ranging from property development, infrastructure, and port operations to energy, retailing, hotels, and telecommunications. With about 90,000 employees worldwide, Cheung Kong Group operates in 26 countries.

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For further enquiries, please refer to the company's website www.ibusinesscorporation.com or contact :