Hong Kong, April 11, 2005 - APT Satellite Holdings Limited (together with its subsidiaries known as "the Group") (Stock Code: 1045 or ATS), a transponder, telecommunications and broadcasting service provider in Asia Pacific, today announced its audited annual results for the year ended 31 December 2004.

Within the year, the continued supply over demand of the transponders in the Asia Pacific region and intense market competition in the transponder market forcing the transponder pricing down , and a further drop in revenues. For the financial year ended 31 December 2004, the Group's turnover and consolidated loss attributable to shareholders amounted to HK$277,260,000 and HK$57,757,000 respectively. The loss attributable to shareholders has decreased significantly as compared to the same period in 2003, mainly as a result of decrease of the impairment losses recogni s ed in respect of property, plant and equipment. Basic loss per share was HK13.98 cents. In view of the loss recorded for the year 2004 and the needs of future business development, the Board has resolved not to declare any final dividend for the financial year ended 31 December 2004.

Mr. Chen Zhaobin, Executive Director and President of the Group said, "Year 2004 was full of challenges. Though the global economy especially the economy of the Asia Pacific had been improving, the transponder markets in Asia Pacific region including the Mainland China remained highly competitive. There was no significant improvement in trading environment in transponder markets. Besides, the transitional stages of APSTAR I and APSTAR IA had further worsen the utilisation rates of the satellites. As of 31 December 2004, the utilisation rates of APSTAR IA , V, and IIR were at 59.5%, 50.3% and 100% respectively, and their corresponding telemetry, tracking and control systems, have been operating under normal condition. In addition, the other new high power satellite of the Group, APSTAR VI is expected to be launched immediately, which will help further strengthen the competitive advantages of the Group".

APSTAR V, which is the fourth in-orbit satellite of the Group, was launched on board of a Sea Launch Zenit-3SL launch vehicle on 29 June 2004 ( Hong Kong time). The satellite had successfully completed all in-orbit testing and commenced commercial operation on 13 August 2004 at its geostationary orbital slot at 138 degree east. The customer migration process that moved customers from APSTAR I to APSTAR V was completed in customer satisfaction. Apart from the original APSTAR I customers, APSTAR V has attracted new customers or usages such as CableTV. The transaction of six C-band transponders between the Group and Singapore Telecommunications Limited had successfully been completed in September 2004 .

"The commencement of APSTAR V would enhance the competitiveness of the Group in transponder services market by providing the most superior satellite communication and broadcasting services and global connectivity to customers for years to come. Subsequent to the commencement of APSTAR V, APSTAR I was re-located to other orbital slot where it has been operating in inclined orbital mode for the provision of the transponders services to National Astronomical Observatories of the Chinese Academy of Sciences with its remaining life. The utilisation fees and annual management fees will contribute to the profits of the Group," said Mr. Chen.

The construction of APSTAR VI, a high power satellite constructed by Alcatel Space, has been completed. The Interface Review between the satellite and launch vehicle and the Launch Site Review were completed in November 2004. As an important part of the preparation, the installation of Telemetry, Tracking & Control System has been completed with rehearsal conducted in December 2004. Furthermore, On 28 February 2005, APSTAR VI completed the Shipment Readiness Review following which, the satellite has been