UDL HOLDINGS<0620> & KEL HOLDINGS<0681> - Joint Announcement

The Stock Exchange of Hong Kong Limited takes no 
responsibility for the contents of this announcement, makes 
no representation as to its accuracy or completeness and 
expressly disclaims any liability whatsoever for any loss 
howsoever arising from or in reliance upon the whole or any 
part of the contents of this announcement.

UDL Holdings Limited
(incorporated in Bermuda with limited liability)

KEL Holdings Limited
(incorporated in Bermuda with limited liability)

JOINT ANNOUNCEMENT

Adjournment of Court Hearing to 1 February 2000

Further to the joint announcement dated 6 December 1999, the 
respective boards of directors of UDL Holdings Limited 
("UDL") and KEL Holdings Limited ("KEL"), a 75% subsidiary 
of UDL, wish to announce that at the court hearing held on 
14 December 1999, the Judge has adjourned the cases to a 
further hearing to be held on 1 February 2000 in respect of 
(a) the filing by UDL Kenworth Engineering Limited 
("Kenworth"), a wholly-owned subsidiary of KEL, an 
originating summons to convene a creditors' meeting 
regarding a proposed creditors' scheme of arrangement with 
the High Court of the Hong Kong Special Administrative Region 
(the "Scheme") and (b) the winding-up petition presented by 
Ajax Pong Machinery Leasing Limited against Kenworth (the 
"Petition"). It should be noted that terms of the Scheme have 
not yet been finalised and the Scheme may or may not proceed.

As both UDL and KEL are preparing to undertake a scheme of 
arrangement with creditors, the respective boards of UDL and 
KEL are of the view that the Petition shall have no impact 
on UDL and KEL. The boards of UDL and KEL further confirm 
that no material change have occurred since the last 
announcement dated 6 December 1999.

Save as disclosed herein, the boards of UDL and KEL are not 
aware of any other matter discloseable under the general 
obligation imposed by paragraph 2 of the Listing Agreement, 
which is or may be of a price-sensitive nature.

Meanwhile shareholders of UDL and KEL should exercise 
caution when dealing in the shares of UDL and KEL. Further 
announcement will be made when there is any material 
development regarding the above matter.

By Order of the Board
UDL Holdings Limited
Leung Yat Tung
Chairman

By Order of the Board
KEL Holdings Limited
Leung Yat Tung
Chairman

Hong Kong, 14 December 1999