East Asia Securities Company Limited

Since the introduction of scripless trading system, East Asia Securities no longer provide custody service for physical shares deposited by clients. All securities deposited by clients or securities purchased by clients through us will be deposited with Central Clearing and Settlement System ("CCASS") Depository by us on their behalf under the name of Hong Kong Securities Clearing Company Nominees Limited. We are a broker participant of Hong Kong Securities Clearing Company Limited ("HKSCC") and our Participant Number is B01118.

In fact, we provide a full range of custodian and nominee services to clients in respect of clients' securities held with us under CCASS. These services include :

Cash Dividend Collection

Bonus Shares / Warrants Issue

Rights Issue

Warrants Conversion

Open / Preferential Offer

Cash Offer

Share Consolidation / Subdivision

Settlement of Equity Linked Instruments, Bonds and EFN, etc

HKSCC will inform us the corporate actions announced by respective listed companies and then a notification letter will be sent by us to individual clients concerned to obtain their instructions in respect of such corporate actions. Entitlements of benefits by individual clients are determined according to their respective stock holding held with us as at the book-close date.

We will collect the cash dividend on clients' behalf on the payable date. After deducting the scrip fee, dividend collection fee and our handling fee, the net dividend amount will be credited to clients' designated account maintained with The Bank of East Asia, Limited on the payable date (except Saturday). The relevant credit entry will be shown on the Daily Consolidated Statement to be sent to clients by mail for information.

B. Bonus Shares / Warrants Issue

We will collect the bonus shares / warrants on clients' behalf on the payable date. After deducting the scrip fee and our handling fee, the bonus shares / warrants will be deposited into clients' securities account on the payable date. A Daily Consolidated Statement showing the relevant debit entry, the stock movement and the latest stock balance will be sent to clients by mail for information.

C. Rights Issue, Warrants Conversion, Open / Preferential Offer and Cash Offer

Regarding the captioned corporate actions, we will notify clients by sending them an Instruction Letter. The Instruction Letter will describe the details of the corporate action and the deadline for reply. If clients want to accept the corporate action, clients must sign and return the Instruction Letter to us on or before our stated deadline. If clients' Instruction Letter fails to reach us by our stated deadline, we shall not take any action on clients' behalf.

D. Share Consolidation / Subdivision

Upon receipt of the Corporate Events Schedule of Stock Conversion issued by HKSCC, we will notify clients by letter immediately. As a result of the events of share consolidation / subdivision, the quantity of stock concerned held by clients shall be changed and also a temporary stock code shall be used during the stock conversion. Clients should make sure that the correct quantity of stock and stock code will be used for trading during different stages of the stock conversion cycle. If necessary, clients should contact our dealer for confirmation prior to trading of such shares.

N.B. In regard to all the charges relating to Nominee Services, please refer to our Fees and Charges Disclosure Sheet for Hong Kong Securities Transactions under our web site.

For more information regarding the Nominee Services, please call our Nominee Service Hotline at Tel. (852) 3608 5575 or email us at nominees@easecurities.com.hk.