Joint Venture with Associated Company Fung Choi Printing and Packaging Group Limited

Pursuant to Rule 703(4) and paragraph 8(a) of Appendix 7.1 of the Listing Manual, Fraser and Neave, Limited announces that Times Publishing Limited, a wholly-owned subsidiary of the Company, has through its subsidiary Times Publishing (Hong Kong) Limited ("TPHK") entered into a joint venture (the "Joint Venture") with the Company's associated company, Fung Choi Printing and Packaging Group Limited ("Fung Choi") through Fung Choi's subsidiary, Fung Choi Media International Limited ("FMIL"). Under the Joint Venture, a Hong Kong company known as Marshall Cavendish (North Asia) Limited (the "JV Co") will be established to carry out publishing activities in Hong Kong and the provision of publishing-related services in the PRC.

Under the terms of the Joint Venture, TPHK and FMIL will hold 70% and 30% shareholding interest in the JV Co respectively. Upon incorporation, the initial paid-up share capital for the JV Co will be HK$3 million.

The transaction is not expected to have any material effect on the net tangible assets per share or earnings per share of the Company for the current financial year.

None of the directors or substantial shareholders of the Company has any interest, directly or indirectly, in the transaction.

Submitted by Anthony Cheong, Group Company Secretary on 26 August 2005.