Man Sang Holdings, Inc. 10K Release and Shareholder Letter

Business Wire, June 28, 2007

NEW YORK -- MAN SANG HOLDINGS, INC. (AMEX: MHJ) announced today it's 10K Release and Shareholder Letter for Man Sang's Annual Report.

Dear Shareholders:

I am pleased to present to you the Man Sang Holdings, Inc. 2007 annual
report.

Sales Revenue Increased 5.3%

Our net sales for this fiscal year increased 5.3% to US$51.1 million
as compared to fiscal 2006. The increase in sales was mainly due to an
increase in sales of assembled pearl and jewelry products, which was
partly offset by a decrease in sales of South Sea pearls and
freshwater pearls.

Gross profit increased 6.4% to US$14.4 million when compared to
US$13.6 million last year, while gross profit margin increased to
28.3% from 28.0% last year. Net income increased by 58.8% to US$3.6
million, when compared to the net income of US$2.3 million in fiscal
2006.

Sales of Pearls, Assembled Pearls and Jewelry Products

Based on our observation at the Hong Kong Jewelry and Watch Fair, the
Baselworld Jewelry and Watch Fair and the JCK Las Vegas Show,
international buyers appear to have a healthy demand for pearls,
assembled pearls and jewelry products.

In addition, our subsidiary, Arcadia Jewellery Ltd., has been
successful marketing and selling our jewelry products in Europe. Some
of our customers in Europe are among the largest jewelry industry
players in their respective markets.

In view of the above, we remain optimistic about our upcoming sales of
pearls, assembled pearls and jewelry products.

Pearls and jewelry products remain our core business. We expect to
maintain our strong position in the South Sea pearls (including white
and gold South Sea pearls and Tahitian Black pearls) market. At the
same time, our sales of assembled pearl and jewelry products suggest
that we have the potential to further expand on this forward
integrated business.

Zhuji Project - Tapping China's Potential

We are delighted to increase our stake and speed up the development of
a project investment located in Zhuji, Zhejiang, PRC (the "Zhuji
Project") as a major trading platform for pearls and jewelry. The
Zhuji Project has positioned itself as a "one-stop" trading platform
for both domestic and foreign pearls and jewelry companies in China.

The first phase is expected to be completed by the end of calendar
year 2007. There will be a pre-sale and lease of the Zhuji Project in
the coming quarters. We expect that the development of the Zhuji
Project would help bring advantages to the Man Sang Group's core
business, including enlarging our customer base and reinforcement of
our status as one of the market leaders in the pearl industry. With
the continued expansion of the Zhuji Project, we expect that we will
remain solidly rooted in our core business, pearls and jewelry.

Dividend

The Board of Directors has declared a cash dividend of 25 cents per
share of Common Stock to stockholders of record on July 24, 2007.
Final details are being approved in Hong Kong and a separate cash
dividend press release will be announced once such details have been
determined.

Looking ahead

What has long set us apart is a deep commitment to innovation and our
ability to tap into the needs of our customers.

Finally, we would like to take this opportunity to thank all
stockholders for your continued support. We will continue to work hard
to increase the value of our shares on an on-going basis.

Sincerely,

Ricky Cheng
Chairman of the Board and Chief Executive Officer
Man Sang Holdings, Inc.
June 28, 2007
(SEC 10K Filing - http://www.sec.gov)

About Man Sang Holdings, Inc.

Man Sang Holdings, Inc. and its subsidiaries (together the "Man Sang Group") are one of the world's largest purchasers and processors of Chinese cultured and freshwater pearls. The Man Sang Group is principally engaged in the purchasing, processing, assembling, merchandising and wholesale distribution of pearls, pearl jewelry and other jewelry products. In addition, the Man Sang Group owns and operates the Man Sang Industrial City, an industrial complex, located in Gong Ming Zhen, Shenzhen Special Economic Zone, PRC.

This letter contains forward-looking statements that are, by their nature, subject to risks and uncertainties. These forward-looking statements include, without limitation, statements relating to (a) future supplies, demands, and purchase and sale prices of pearl and pearl jewelry in the international pearl and jewelry markets, and real estate in Hong Kong and the PRC; (b) sales and profitability of the Company's product and its future product mix; (c) the amount and nature of, and potential for, future developments and competitions; (d) expansion, consolidation and other trends in the pearl and jewelry industry; (e) the Company's business strategy; (f) the Company's estimated financial information regarding its business; (g) tax exemptions and tax rates; and (h) exchange rates. These forward-looking statements are based on assumptions and analyses made by the Company in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors the Company believes to be appropriate in particular circumstances. However, whether actual results and developments will meet the Company's expectations and predictions depend on a number of known and unknown risks, uncertainties and other factors, any of all of which could cause actual results, performance or achievements to differ materially from the Company's expectations, whether expressed or implied by such forward-looking statements (which may relate to, among other things, the Company's sales, costs and expenses, income inventory performance and receivables). Primarily engaged in the processing and trading of pearls and pearl jewelry products, and in real estate investment, the Company's ability to achieve its objective and expectations are derived at least in part from assumptions regarding economic conditions, consumer tastes, and developments in its competitive environment. The following assumptions, among others, could materially affect the likelihood that the Company will achieve its objectives and expectations communicated through these forward-looking statements: (i) that low or negative growth in the economies or the financial markets of our customers particularly in the United States and in Europe, will not occur and reduce discretionary spending on goods that might be perceived as "luxuries"; (ii) that the Hong Kong dollar will remain pegged to the US dollar at US$1 to HK$7.8; (iii) that customer's choice of pearls vis-a-vis other precious stones and metals will not change adversely; (iv) that the Company will continue to obtain a stable supply of pearls in the quantities, of the quality, and on terms required by the Company; (v) that there will not be a substantial adverse change in the exchange rate relationship between RMB and the Hong Kong or US dollar; (vi) that there will not be substantial increase in tax burden of subsidiaries of the Company operating in the PRC; (vii) that there will not be substantial change in climate and environmental conditions at the source regions of pearls that could have material effect on the supply and pricing of pearls; and (viii) that there will not be substantial adverse change in the real estate market conditions in the PRC and in Hong Kong.