To Our Shareholders,

In the past year, the Hong Kong economy gathered strong momentum. Lots of industries experienced plentiful harvest. GDP increased by 6.3%, marking a growth rate over and above the 10-year trend. The latest unemployment rate dropped to 3.4%, the lowest since the first quarter of 1998.

The continued economic growth was actually bolstered by the vibrant economy of the country and the great support of the Central Government. In 2008, a leading global event – the Games of the XXIX Olympiad will be held in Beijing. We have to seize the moment and the business opportunities created by the Olympic Games by further enhancing our economic integration with Mainland China, so as to reinforce our leading position as the finance, business and trading, services and tourism hub of the region.

In less than 200 days, the Beijing Olympic Games will bring in great pride for the Chinese people when the nation becomes the focus of the whole world. China is ready for the opening of the Games. In fact, the key to a successful Olympic Games which accomplishes worldwide harmony by narrowing down the gap between China and the rest of the world is to have the unity and unfailing support of its people who strive for excellence in every detail and bring our unity and hospitality into full play.

This makes perfect sense to New World Group which has established its presence in Hong Kong for more than 30 years. The Group’s long-term commitment to excellence and advancement has been reliant upon our staff members’ steadfast belief and positive attitude in working together and providing our customers with products and services of the highest quality. We value team spirit and hope to find in every one of them a sense of pride for being a member of the New World Group.

On the other hand, Beijing Olympic Games has another deeper social meaning to Hong Kong, a co-host city of the event. Apart from making the most of this valuable opportunity by instilling optimistic, hard-fought sportsmanship into our younger generation, we also have to further enhance their concerns about the motherland and understanding of its development so as to nurture them as the future pillars of society.

This corresponds to the philosophy of the New World Group as we are committed to social contribution and in particular care about the development of young people. Since the launch of “New World Young Leaders” last year, we have promoted the exchange between young people from Hong Kong and Mainland China as well as their development by supporting various teenage projects. This year, we will keep up with the spirit of this project by stepping up the promotion of young people development and national education as we share the glory brought to China and Hong Kong by the Beijing Olympic Games. This will serve to develop better understanding of themselves and their motherland, positive values, a sense of responsibilities and love and care for our society. In perpetual pursuit of it, we will be in a position to go global and build a better and more harmonious new world together with our motherland.

Dr Cheng Yu-Tung
Chairman
Hong Kong, 18 March 2008