Analysts Release

CORPORATE UPDATES

APT Satellite Company, PICC Property,
Ming An Insurance and Top Glory Insurance
jointly hold the APSTAR-IIR
Launch Insurance Policy Signing and Delivering Ceremony

APT Satellite Company Limited (APT Satellite), The People's Insurance (Property) Company of China, Ltd. (PICC Property), The Ming An Insurance Company (HK) Ltd. (Ming An Insurance) and Top Glory Insurance Co. (Bermuda) Ltd. (Top Glory Insurance) jointly held a policy Signing and Delivering Ceremony for the launch of Satellite APSTAR-IIR in Hong Kong on September 12, 1997.

APT Satellite is a company specializing in providing satellite transponder services for telecommunications and broadcasting sectors in the Asia-Pacific Region, including China. APT Satellite has been providing services via two in-orbit satellites, APSTAR-I and APSTAR-IA. Over 90% of the channels have been leased out. APSTAR-IIR is the third satellite of APT Satellite and is scheduled for launch in early October, 1997. The total sum insured for the whole project is around US$220 million. APSTAR-IIR is a FS- 1300 model satellite of Space Systems/Loral Inc. Being equipped with 28 C-band and 16 Ku-band transponders, it is capable of covering more than 100 countries in the entire Asia Pacific Region and majority part of Europe, Africa and Australia with approximately four billion population, or 75% of the world’s total.

Given that satellite launch insurance business involves complex technological applications, high risk and huge capital, it is critically important for APT Satellite to work together with insurance companies which have strong background and financial standing. Top Glory is the introducing party of this launch insurance project to Ming An Insurance which co-insured the launch of APSTAR-IIR with PICC Property. Willis Corroon Inspace has acted as the insurance consultant whilst C.T. Bowring Space Projects Ltd. has been the reinsurance broker. PICC Property is a subsidiary of The People’s Insurance Company of China (Group) and has much experience in underwriting similar risks in the past. Ming An Insurance is one of the member companies of The China Insurance Hong Kong (Holdings) Co. Ltd. incorporated in Hong Kong for 48 years and is the first insurance company in Hong Kong underwriting satellite insurance.

The launch of APSTAR-IIR will be the first Hong Kong satellite to be launched since the return of sovereignty of Hong Kong to China.

Brian LO