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The Chief Executive, Mr Tung Chee Hwa, met former US President George Bush over breakfast at Government House this (Tuesday) morning and exchanged views with him on a number of issues.

Mr Tung updated Mr Bush on the political and economic developments in Hong Kong since the Handover --- the successful implementation of the "One Country, Two Systems" concept, how Hong Kong had tackled the financial turmoil and our efforts to create a more prosperous future for the SAR.

Expressing concern about Sino-US relations, Mr Tung said he believed that not just Hong Kong and the Region, but the world would stand to benefit from a harmonious relationship between the two nations.

On NATO's bombing of the Chinese Embassy in Yugoslavia, Mr Tung said that the strong reaction from Chinese people was only natural. He called on the US Government to complete its investigation report as soon as possible and give an account to the Chinese Government. This would be conducive towards improving Sino-US relations.

Turning to the Cox report, Mr Tung refuted allegations in the report that there were loopholes in Hong Kong's control system over strategic commodity trade.

Mr Bush is a long-time friend of Mr Tung, and is in Hong Kong on a private visit.

Photo: The Chief Executive, Mr Tung Chee Hwa, held a breakfast meeting with former US President George Bush at Government House. Mr Bush is in Hong Kong on a private visit.

End/Tuesday, June 1, 1999

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