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 22 February 2000

Further to the joint announcement dated 14 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 
1 February 2000 in respect of the 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") by UDL Kenworth 
Engineering Limited ("Kenworth"), a wholly-owned subsidiary 
of KEL, the Judge has adjourned the proceedings to a further 
hearing to be held on 22 February 2000. It should be noted 
that terms of the Scheme have not yet been finalised and the 
Scheme may or may not proceed.

The boards of UDL and KEL further confirm that no material 
change have occurred since the last announcement dated 14 
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, 1 February 2000