Common use of CONTINUING CONNECTED TRANSACTION Clause in Contracts

CONTINUING CONNECTED TRANSACTION. The Board announces that on 26th September, 2018, the New Licence Agreement was entered into between HNHKL, an indirect wholly-owned subsidiary company of the Company, as grantor and PWCL as licensee regarding the renewal of the licensing of a sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store by the Group to PWCL. As PWCL is an associate of ▇▇▇ ▇▇▇▇▇▇▇ ▇▇▇▇, a Director and substantial shareholder of the Company, PWCL is therefore a connected person of the Company for the purpose of the Listing Rules. Accordingly, the New Licence Agreement constitutes a Continuing Connected Transaction of the Company under Chapter 14A of the Listing Rules. Given that the maximum annual cap receivable by the Group under the New Licence Agreement is more than 0.1 per cent. but less than 5 per cent. of each of the applicable percentage ratios of the Company, the New Licence Agreement is subject to announcement, annual reporting and annual review requirements under Rule 14A.35, Rule 14A.49 and Rules 14A.55 to 14A.59 of the Listing Rules respectively and is exempt from the circular and Independent Shareholders’ approval requirements under the Listing Rules. The Board announces that on 26th September, 2018, the New Licence Agreement was entered into between HNHKL, an indirect wholly-owned subsidiary company of the Company, as grantor and PWCL as licensee regarding the renewal of the licensing of a sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store by the Group to PWCL for a further period of one year commencing from 7th October, 2018 and expiring on 6th October, 2019 (both days inclusive) which will supersede the existing licence agreement dated 25th September, 2017 (“the Existing Licence Agreement”) upon its expiry on 6th October, 2018 as detailed below :- Grantor: HNHKL Licensee: PWCL Premises: A sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store Lettable Area: About 4,095 sq. ft. Period: One year commencing from 7th October, 2018 and expiring on 6th October, 2019 (both days inclusive) Licence Fee: Monthly licence fee payment of HK$1,375,000, to be paid in cash within 20 days from the end of each month in arrears. This licence fee was derived in accordance with the prevailing market rental within the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store, the size and location of the sales corner within the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store, the prestige of the relevant brand and its products and the prevailing as well as the expected market conditions PWCL has been the licensee of the above premises since 7th October, 2011. The details of the Existing Licence Agreement were disclosed in the announcement of the Company dated 25th September, 2017 (“the Sept 2017 Announcement”). The maximum annual caps received / receivable by the Group for the licensing of the sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store by the Group to PWCL under the Existing Licence Agreement for the financial years ended / ending 31st March, 2018 and 31st March, 2019, based on the monthly licence fee of HK$1,375,000, as disclosed in the Sept 2017 Announcement, are HK$7,984,000 (five months and twenty-five days) and HK$8,517,000 (six months and six days) respectively. The licence fee received by the Group from PWCL in respect of the licensing of the sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store by the Group to PWCL under the Existing Licence Agreement for the financial year ended 31st March, 2018 was HK$7,984,000 (five months and twenty-five days) which was the same as the maximum annual cap. The maximum annual caps receivable by the Group for the licensing of the sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store by the Group to PWCL under the New Licence Agreement for the financial years ending 31st March, 2019 and 31st March, 2020, based on the monthly licence fee of HK$1,375,000, will be HK$7,984,000 (five months and twenty-five days) and HK$8,517,000 (six months and six days) respectively which is more than 0.1 per cent. but less than 5 per cent. of each of the applicable percentage ratios of the Company. The said monthly licence fee was derived in accordance with the prevailing market rental within the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store, the size and location of the sales corner within the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store, the prestige of the relevant brand and its products and the prevailing as well as the expected market conditions.

CONTINUING CONNECTED TRANSACTION. The Board announces that on 26th 25th September, 20182017, the New Licence Agreement was entered into between HNHKL, an indirect wholly-owned subsidiary company of the Company, as grantor and PWCL as licensee regarding the renewal of the licensing of a sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store by the Group to PWCL. As PWCL is an associate of ▇▇▇ ▇▇▇▇▇▇▇ ▇▇▇▇, a Director and substantial shareholder of the Company, PWCL is therefore a connected person of the Company for the purpose of the Listing Rules. Accordingly, the New Licence Agreement constitutes a Continuing Connected Transaction of the Company under Chapter 14A of the Listing Rules. Given that the maximum annual cap receivable by the Group under the New Licence Agreement is more than 0.1 per cent. but less than 5 per cent. of each of the applicable percentage ratios of the Company, the New Licence Agreement is subject to announcement, annual reporting and annual review requirements under Rule 14A.35, Rule 14A.49 and Rules 14A.55 to 14A.59 of the Listing Rules respectively and is exempt from the circular and Independent Shareholders’ approval requirements under the Listing Rules. The Board announces that on 26th 25th September, 20182017, the New Licence Agreement was entered into between HNHKL, an indirect wholly-owned subsidiary company of the Company, as grantor and PWCL as licensee regarding the renewal of the licensing of a sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store by the Group to PWCL for a further period of one year commencing from 7th October, 2018 2017 and expiring on 6th October, 2019 2018 (both days inclusive) which will supersede the existing licence agreement dated 25th 26th September, 2017 2016 (“the Existing Licence Agreement”) upon its expiry on 6th October, 2018 2017 as detailed below :- Grantor: HNHKL Licensee: PWCL Premises: A sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store Lettable Area: About 4,095 sq. ft. Period: One year commencing from 7th October, 2018 and expiring on 6th October, 2019 (both days inclusive) Licence Fee: Monthly licence fee payment of HK$1,375,000, to be paid in cash within 20 days from the end of each month in arrears. This licence fee was derived in accordance with the prevailing market rental within the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store, the size and location of the sales corner within the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store, the prestige of the relevant brand and its products and the prevailing as well as the expected market conditions PWCL has been the licensee of the above premises since 7th October, 2011. The details of the Existing Licence Agreement were disclosed in the announcement of the Company dated 25th September, 2017 (“the Sept 2017 Announcement”). The maximum annual caps received / receivable by the Group for the licensing of the sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store by the Group to PWCL under the Existing Licence Agreement for the financial years ended / ending 31st March, 2018 and 31st March, 2019, based on the monthly licence fee of HK$1,375,000, as disclosed in the Sept 2017 Announcement, are HK$7,984,000 (five months and twenty-five days) and HK$8,517,000 (six months and six days) respectively. The licence fee received by the Group from PWCL in respect of the licensing of the sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store by the Group to PWCL under the Existing Licence Agreement for the financial year ended 31st March, 2018 was HK$7,984,000 (five months and twenty-five days) which was the same as the maximum annual cap. The maximum annual caps receivable by the Group for the licensing of the sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store by the Group to PWCL under the New Licence Agreement for the financial years ending 31st March, 2019 and 31st March, 2020, based on the monthly licence fee of HK$1,375,000, will be HK$7,984,000 (five months and twenty-five days) and HK$8,517,000 (six months and six days) respectively which is more than 0.1 per cent. but less than 5 per cent. of each of the applicable percentage ratios of the Company. The said monthly licence fee was derived in accordance with the prevailing market rental within the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store, the size and location of the sales corner within the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store, the prestige of the relevant brand and its products and the prevailing as well as the expected market conditions.HNHKL

CONTINUING CONNECTED TRANSACTION. The Board announces that on 26th September, 20182016, the New Licence Agreement was entered into between HNHKL, an indirect wholly-owned subsidiary company of the Company, as grantor and PWCL as licensee regarding the renewal of the licensing of a sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store by the Group to PWCL. As PWCL is an associate of ▇▇▇ ▇▇▇▇▇▇▇ ▇▇▇▇, a Director and substantial shareholder of the Company, PWCL is therefore a connected person of the Company for the purpose of the Listing Rules. Accordingly, the New Licence Agreement constitutes a Continuing Connected Transaction of the Company under Chapter 14A of the Listing Rules. Given that the maximum annual cap receivable by the Group under the New Licence Agreement is more than 0.1 per cent. but less than 5 per cent. of each of the applicable percentage ratios of the Company, the New Licence Agreement is subject to announcement, annual reporting and annual review requirements under Rule 14A.35, Rule 14A.49 and Rules 14A.55 to 14A.59 of the Listing Rules respectively and is exempt from the circular and Independent Shareholders’ approval requirements under the Listing Rules. The Board announces that on 26th September, 20182016, the New Licence Agreement was entered into between HNHKL, an indirect wholly-owned subsidiary company of the Company, as grantor and PWCL as licensee regarding the renewal of the licensing of a sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store by the Group to PWCL for a further period of one year commencing from 7th October, 2018 2016 and expiring on 6th October, 2019 2017 (both days inclusive) which will supersede the existing licence agreement dated 25th 24th September, 2017 2013 (“the Existing Licence Agreement”) upon its expiry on 6th October, 2018 2016 as detailed below :- Grantor: HNHKL Licensee: PWCL Premises: A sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store Lettable Area: About 4,095 sq. ft. Period: One year commencing from 7th October, 2018 and expiring on 6th October, 2019 (both days inclusive) Licence Fee: Monthly licence fee payment of HK$1,375,000, to be paid in cash within 20 days from the end of each month in arrears. This licence fee was derived in accordance with the prevailing market rental within the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store, the size and location of the sales corner within the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store, the prestige of the relevant brand and its products and the prevailing as well as the expected market conditions PWCL has been the licensee of the above premises since 7th October, 2011. The details of the Existing Licence Agreement were disclosed in the announcement of the Company dated 25th 24th September, 2017 2013 (“the Sept 2017 2013 Announcement”). The maximum annual caps received / received/receivable by the Group for the licensing of the sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store by the Group to PWCL under the Existing Licence Agreement for the financial years ended / ended/ending 31st March, 2018 2016 and 31st March, 20192017, based on the monthly licence fee of HK$1,375,000, HK$1,375,000 as disclosed in the Sept 2017 2013 Announcement, are HK$7,984,000 (five months and twenty-five days) HK$16,500,000 and HK$8,517,000 (six months and six days) respectively. The licence fee received by the Group from PWCL in respect of the licensing of the sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store by the Group to PWCL under the Existing Licence Agreement for the financial year ended 31st March, 2018 2016 was HK$7,984,000 (five months and twenty-five days) HK$16,500,000 which was the same as the maximum annual cap. The maximum annual caps receivable by the Group for the licensing of the sales corner in the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store by the Group to PWCL under the New Licence Agreement for the financial years ending 31st March, 2019 2017 and 31st March, 20202018, based on the monthly licence fee of HK$1,375,000, will be HK$7,984,000 (five months and twenty-five days) and HK$8,517,000 (six months and six days) respectively which is more than 0.1 per cent. but less than 5 per cent. of each of the applicable percentage ratios of the Company. The said monthly licence fee was derived in accordance with the prevailing market rental within the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store, the size and location of the sales corner within the PP ▇▇▇▇▇▇ ▇▇▇▇▇▇▇ Store, the prestige of the relevant brand and its products and the prevailing as well as the expected market conditions.