XN000022-1994-07-18 — Page 7

MONDAY, JULY 18, 1994

TENDER FOR THE FOURTH ISSUE OF YEAR EXCHANGE FUND NOTES TO BE HELD ON JULY 25

THE HONG KONG MONETARY AUTHORITY ANNOUNCES TODAY (MONDAY) THAT THE TENDER FOR THE FOURTH ISSUE OF THREE-YEAR EXCHANGE FUND NOTES WILL BE HELD NEXT MONDAY (JULY 25) FOR SETTLEMENT ON TUESDAY, JULY 26.

SIMILAR TO THE PREVIOUS ISSUE, AN AMOUNT OF $500 MILLION THREE- YEAR EXCHANGE FUND NOTES WILL BE ON OFFER. ANOTHER $100 MILLION FOR EACH ISSUE WILL BE HELD AS RESERVE BY THE HONG KONG MONETARY AUTHORITY FOR SUPPLY TO MARKET MAKERS IN THE SECONDARY MARKET.

IN

THE NOTES WILL MATURE ON JULY 28, 1997 AND WILL CARRY INTEREST AT THE RATE OF 6.95 PER CENT PER ANNUM PAYABLE SEMI-ANNUALLY ARREARS.

THIS WILL BE THE FIRST ISSUE OF EXCHANGE FUND PAPER WHICH MATURES AFTER JULY 1, 1997. THE CHINESE SIDE'S AGREEMENT HAS BEEN OBTAINED ON THE EXCHANGE FUND BILLS AND NOTES PROGRAMMES BEING RUN ON A CONTINUING BASIS EVEN IF THE MONEY BORROWED IS FOR REPAYMENT AFTER JULY 1, 1997.

MEMBERS OF THE PUBLIC WHO WISH TO TENDER FOR THE NOTES MAY DO SO THROUGH ANY OF THE MARKET MAKERS OR RECOGNISED DEALERS ON THE PUBLISHED LIST WHICH CAN BE OBTAINED FROM THE HONG KONG MONETARY AUTHORITY AT 30TH FLOOR, 3 GARDEN ROAD, HONG KONG (OR TELEPHONE 878 8150). EACH TENDER MUST BE AN AMOUNT OF $50,000 OR INTEGRAL MULTIPLES THEREOF.

TENDER INFORMATION FOR THE FOURTH ISSUE OF 3-YEAR EXCHANGE FUND NOTES:

ISSUE NUMBER

TENDER DATE AND TIME

: 3707

: MONDAY, JULY 25, 1994, 9.30 AM TO 10.30 AM

ISSUE AND SETTLEMENT DATE: TUESDAY, JULY 26, 1994

AMOUNT ON OFFER

MATURITY

MATURITY DATE

INTEREST RATE

: HK$500 MILLION PLUS AN

HK$100 MILLION AS RESERVE MONETARY AUTHORITY.

ADDITIONAL STOCK FOR THE

: THREE YEARS

: JULY 28, 1997

: 6.95 PER CENT PER ANNUM

ANNUALLY IN ARREARS

PAYABLE SEMI-

INTEREST PAYMENT DATES

: JANUARY 26, 1995, JULY 26, 1995 JANUARY 26, 1996, JULY 26, 1996 JANUARY 27, 1997, JULY 28, 1997

/TENDER AMOUNT: