We refer to the Company's announcements dated 9 September 2022, 11 October 2022, 13 October 2022 and 28 October 2022 in relation to the announcements made to The Stock Exchange of Hong Kong Limited ("The HKEx") by Parkson Retail Group Limited ("PRGL"), a 54.97% owned subsidiary of the Company listed on The HKEx, in respect of a very substantial disposal in relation to the disposal of properties in Qingdao City, the People's Republic of China ("PRC") ("Properties") ("Disposal") and the updates in relation thereto ("Earlier Announcements").

Unless otherwise stated, the terms used throughout this announcement shall have the same meaning as defined in the Earlier Announcements.

On 15 February 2023, PRGL had announced that the Vendor and the Purchaser had on even date, entered into a supplemental agreement to the SPA in relation to the payment of taxes for the Disposal ("Supplemental Agreement") ("PRGL Announcement"). A copy of the PRGL Announcement is attached herewith.

Pursuant to the SPA, the Vendor and the Purchaser had agreed that they shall each bear their own tax expenses payable under the laws of the PRC. However, an additional tax amount imposed on the Vendor ("Additional Tax Amount") in relation to the Disposal has been derived during the process of registration of title transfer for the Properties.

In view thereof, the Vendor and the Purchaser had negotiated and agreed through the Supplemental Agreement that the Purchaser shall bear the Additional Tax Amount.

Save as disclosed in the PRGL Announcement, all other terms and conditions of the SPA remain unchanged and in full force and effect. The Board of PRGL does not consider there to be a material variation to the terms of the SPA as a result of the Supplemental Agreement.