Pan Kai Development `USA', Inc. Acquires the Sky Tower Superstore for $50,625,000 USD

Business Wire, April 6, 1999

LOS ANGELES--(BUSINESS WIRE)--April 6, 1999--Pan Kai Development (USA), Inc. (OTC BB:PKDV) announces the acquisition of Sky Tower Superstore from Pan Chiao Development Enterprise Co., Ltd. for consideration of $50,625,000 USD.

Pan Kai Development (USA), Inc. is currently the largest single shareholder of Pan Chiao Development Enterprise Co., Ltd., holding 48% of the stock. Pan Chiao Development Enterprise Co., Ltd. is a public company in Taiwan. The value of the position held in Pan Chiao Development Enterprise Co., Ltd. has increased dramatically in the past six months.

The Sky Tower Superstore is located in the heart of Pan Chiao City, a suburb of Taipei. It occupies 180,000 square feet, on the basement, first and second floor of the 32 story Sky Tower. The Sky Tower, which was built between 1990 and 1994 by Pan Chiao Development Enterprise Co., Ltd., is the world's largest condominium project and has grossed 2.6 Billion US Dollars in sales after its completion.

The acquisition of the Sky Tower Superstore increases the net worth of Pan Kai Development (USA), Inc. tremendously. The Sky Tower Superstore consists of supermarket and department store, carrying over 15,000 items. Gross revenues of the Sky Tower Superstore were approximately 178 Million US Dollars per year.

The comments in this news release are made pursuant to safe harbor provisions of the Securities and Exchange Act of 1934. Such statements relating to numbers, corporate transactions and operating results are subject to risks and uncertainties, some of which are significant in scope and nature.