Hong Kong Futures Exchange
(A wholly-owned subsidiary of Hong Kong Exchanges and Clearing Limited)

Hong Kong Futures Exchange Limited (HKFE), a wholly-owned subsidiary of Hong Kong Exchanges and Clearing Limited (HKEx), announced today that with effect from the commencement of trading on Monday, 1 March 2004, the minimum margins to be collected by an Exchange Participant from its clients in respect of their dealings in the following futures contracts will be as outlined in the table below. The adjustments are based on the clearing company's normal procedures and standard margining methodology.

For the current margins, please refer to the HKEx website (http://www.hkex.com.hk) and see Trading Information - Futures & Options in the Derivatives Market section.

Futures Contract	Margin Rate	Initial Margin (HK$)		Maintenance Margin (HK$)
Hang Seng Index	Full Rate Spread Rate	43,250	per lot	34,600	per lot
		3,750	/lot/side	3,000	/lot/side
Mini-Hang Seng Index	Full Rate Spread Rate	8,650	per lot	6,920	per lot
		750	/lot/side	600	/lot/side
MSCI China Free Index	Full Rate Spread Rate	21,200	per lot	16,960	per lot
		3,180	/lot/side	2,544	/lot/side
Three-Month HIBOR	Full Rate Spread Rate	2,750	per lot	2,200	per lot
		Please refer to		the attached table
One-Month HIBOR	Full Rate Spread Rate	1,875	per lot	1,500	per lot
		Please refer to		the attached table
Three-Year EFN	Full Rate Spread Rate	11,500	per lot	9,200	per lot
		1,725	/lot/side	1,380	/lot/side
Dow Jones Industrial Average Index	Full Rate Spread Rate	6,670	per lot	5,336	per lot
		1,001	/lot/side	800.8	/lot/side
H-Shares Index	Full Rate Spread Rate	29,450	per lot	23,560	per lot
		4,418	/lot/side	3,534.4	/lot/side
HSBC Holdings Plc	Full Rate Spread Rate	3,160	per lot	2,528	per lot
		475	/lot/side	380	/lot/side
PCCW Ltd	Full Rate Spread Rate	670	per lot	536	per lot
		101	/lot/side	80.8	/lot/side
Cheung Kong (Holdings) Ltd	Full Rate Spread Rate	6,090	per lot	4,872	per lot
		914	/lot/side	731.2	/lot/side
Swire Pacific Ltd. 'A' Shares	Full Rate Spread Rate	1,960	per lot	1,568	per lot
		294	/lot/side	235.2	/lot/side
CITIC Pacific Ltd	Full Rate Spread Rate	2,110	per lot	1,688	per lot
		317	/lot/side	253.6	/lot/side
China Resources Enterprise Ltd	Full Rate Spread Rate	1,940	per lot	1,552	per lot
		291	/lot/side	232.8	/lot/side
Shanghai Industrial Holdings Ltd	Full Rate Spread Rate	1,990	per lot	1,592	per lot
		299	/lot/side	239.2	/lot/side
Hongkong Electric Holdings Ltd	Full Rate Spread Rate	1,020	per lot	816	per lot
		155	/lot/side	124	/lot/side
Hang Seng Bank Ltd	Full Rate Spread Rate	680	per lot	544	per lot
		102	/lot/side	81.6	/lot/side
Henderson Land Development Co Ltd	Full Rate Spread Rate	3,940	per lot	3,152	per lot
		591	/lot/side	472.8	/lot/side
Hutchison Whampoa Ltd	Full Rate Spread Rate	4,620	per lot	3,696	per lot
		693	/lot/side	554.4	/lot/side
Sun Hung Kai Properties Ltd	Full Rate Spread Rate	6,960	per lot	5,568	per lot
		1,044	/lot/side	835.2	/lot/side
CLP Holdings Ltd	Full Rate Spread Rate	1,215	per lot	972	per lot
		184	/lot/side	147.2	/lot/side
The Wharf (Holdings) Ltd	Full Rate Spread Rate	2,540	per lot	2,032	per lot
		381	/lot/side	304.8	/lot/side
New World Development Co Ltd	Full Rate Spread Rate	1,410	per lot	1,128	per lot
		212	/lot/side	169.6	/lot/side
Legend Group Ltd	Full Rate Spread Rate	800	per lot	640	per lot
		120	/lot/side	96	/lot/side
China Mobile (HK) Ltd	Full Rate Spread Rate	1,155	per lot	924	per lot
		174	/lot/side	139.2	/lot/side
The Bank of East Asia Ltd	Full Rate Spread Rate	366	per lot	292.8	per lot
		55	/lot/side	44	/lot/side
Hong Kong and China Gas Co Ltd	Full Rate Spread Rate	830	per lot	664	per lot
		125	/lot/side	100	/lot/side
MTR Corporation Ltd	Full Rate Spread Rate	515	per lot	412	per lot
		78	/lot/side	62.4	/lot/side
China Merchants Holdings (International) Co Ltd	Full Rate Spread Rate	1,720	per lot	1,376	per lot
		258	/lot/side	206.4	/lot/side
Johnson Electric Holdings Ltd	Full Rate Spread Rate	320	per lot	256	per lot
		50	/lot/side	40	/lot/side
Cathay Pacific Airways Ltd	Full Rate Spread Rate	1,120	per lot	896	per lot
		168	/lot/side	134.4	/lot/side
Hong Kong Exchanges and Clearing Ltd	Full Rate Spread Rate	4,020	per lot	3,216	per lot
		603	/lot/side	482.4	/lot/side
Li & Fung Ltd	Full Rate Spread Rate	2,720	per lot	2,176	per lot
		408	/lot/side	326.4	/lot/side
China Unicom Ltd	Full Rate Spread Rate	2,580	per lot	2,064	per lot
		387	/lot/side	309.6	/lot/side
PetroChina Co Ltd	Full Rate Spread Rate	980	per lot	784	per lot
		147	/lot/side	117.6	/lot/side
Cheung Kong Infrastructure Holdings Ltd	Full Rate Spread Rate	1,480	per lot	1,184	per lot
		222	/lot/side	177.6	/lot/side
Cosco Pacific Ltd	Full Rate Spread Rate	2,440	per lot	1,952	per lot
		366	/lot/side	292.8	/lot/side
CNOOC Ltd	Full Rate Spread Rate	790	per lot	632	per lot
		120	/lot/side	96	/lot/side
Huaneng Power International Inc	Full Rate Spread Rate	2,920	per lot	2,336	per lot
		438	/lot/side	350.4	/lot/side
BOC Hong Kong (Holdings) Ltd	Full Rate Spread Rate	550	per lot	440	per lot
		83	/lot/side	66.4	/lot/side

HKFE emphasised that the above are minimum rates and Exchange Participants should set their margin requirements according to their clients' individual circumstances.

Spread Margin Rates
for One-Month HIBOR Futures 

Spread Margin Rates
for Three-Month HIBOR Futures