3 June 2000

The Chief Executive
All authorized institutions

Dear Sir/Madam,

Revocation of DCR as a Recognized Credit Rating Agency

This is to advise that following the recent acquisition of Duff & Phelps Credit Rating Co ("DCR") by Fitch IBCA Inc. ("Fitch IBCA") and the full integration of the two agencies' operations on 1 June, the Hong Kong Monetary Authority ("HKMA") has revoked with immediate effect the recognition of DCR's ratings for the purposes of the liquidity regime, the market risk capital adequacy framework, and the lender of last resort arrangement. The status of Fitch IBCA as a recognized credit rating agency has remained unchanged.

According to Fitch IBCA, all ratings issued by DCR and Fitch IBCA have been merged into a single set of ratings. These combined ratings will be maintained by Fitch IBCA operating under the business name of Fitch as from 1 June. Please refer to Fitch IBCA's rating announcements for more details.

Should you have any queries concerning this letter, please feel free to contact Ms Rita Yeung at 2878 1388 or Mr Gary Leung at 2878 1879.

Yours faithfully,

D T R Carse
Deputy Chief Executive