HKEx To Add 3 New Stock Option Classes For A Total Of 50, 54 Per Cent Mainland-Related

Hong Kong Exchanges and Clearing Limited (HKEx) will introduce China Railway, China Shenhua Energy and China Railway Construction stock options on Tuesday, 10 June this year.

Key contract details of the three new option classes are as follows:

Underlying Stock	Stock Code	Contract Size* (Shares)	Initial Expiry Months
China Railway Group Limited	390	1,000	June, July, August, September and December 2008
China Shenhua Energy Company Limited	1088	500
China Railway Construction Corporation Limited	1186	500

* One board lot of the underlying stock

Strike prices will be set with reference to the closing price of the underlying stock on 6 June. The strike price intervals will be as follows:

Strike Price	Strike Price Interval
$2 to $5	$0.20
$5 to $10	$0.50
$10 to $20	$1.00
$20 to $50	$2.00

HKEx has invited expressions of interest from potential market markers for the new stock option classes.

The underlying stocks for all three new option classes are H shares. From 10 June, HKEx's derivatives market will offer 50 stock option classes, including 20 with H shares as underlying stocks and seven with red chips as underlying stocks (see attached table for details). As a result, the stock options market's Mainland China-related option classes will exceed 50 per cent of all classes for the first time.

"The introduction of these new stock options classes will be a milestone for our stock options market as its China Dimension will be over 50 per cent for this first time in its history," said Calvin Tai, HKEx's Head of Derivatives Market. "The pending change reflects developments in our securities market, where about three-quarters of the turnover and nearly 60 per cent of market capitalisation comes from H shares and red chips."

The average daily stock options trading volume in first four months of this year was 212,562, up about 105 per cent from the same period a year ago, and open interest at the end of April was 5,997,317 contracts, compared with 3,098,809 contracts at the end of May last year, an increase of more than 93 per cent. Additional derivatives market statistics are on the HKEx website.

The latest information on the futures and options contracts traded on HKEx's derivatives market, including contract summaries, is available on the HKEx website.

Stock Option Classes Available for Trading from 10 June 2008

Stock Code	Underlying Stock	Contract Size (Shares)
1	Cheung Kong (Holdings) Limited	1,000
2	CLP Holdings Limited	500
3	The Hong Kong and China Gas Company Limited	1,000
4	The Wharf (Holdings) Limited	1,000
5	HSBC Holdings Plc.	400
6	Hongkong Electric Holdings Limited	500
8	PCCW Limited	1,000
11	Hang Seng Bank Limited	100
12	Henderson Land Development Company Limited	1,000
13	Hutchison Whampoa Limited	1,000
16	Sun Hung Kai Properties Limited	1,000
17	New World Development Company Limited	1,000
19	Swire Pacific Limited 'A'	500
23	The Bank of East Asia, Limited	200
66	MTR Corporation Limited	500
179	Johnson Electric Holdings Limited	500
203	Denway Motors Limited	2,000
267	CITIC Pacific Limited	1,000
293	Cathay Pacific Airways Limited	1,000
330	Esprit Holdings Limited	100
358	Jiangxi Copper Company Limited	1,000
386	China Petroleum & Chemical Corporation	2,000
388	Hong Kong Exchanges and Clearing Limited	100
390	China Railway Group Limited *	1000
494	Li & Fung Limited	2,000
728	China Telecom Corporation Limited	2,000
762	China Unicom Limited	2,000
857	PetroChina Company Limited	2,000
883	CNOOC Limited	1,000
902	Huaneng Power International, Inc.	2,000
906	China Netcom Group Corporation ( Hong Kong ) Limited	500
939	China Construction Bank Corporation	1,000
941	China Mobile Limited	500
998	China CITIC Bank Corporation Limited	1,000
1038	Cheung Kong Infrastructure Holdings Limited	1,000
1088	China Shenhua Energy Company Limited *	500
1186	China Railway Construction Corporation Limited *	500
1398	Industrial and Commercial Bank of China Limited	1,000
1800	China Communications Construction Company Limited	1,000
1898	China Coal Energy Company Limited	1,000
2038	Foxconn International Holdings Limited	1,000
2318	Ping An Insurance (Group) Company of China, Ltd.	500
2328	PICC Property and Casualty Company Limited	2,000
2388	BOC Hong Kong (Holdings) Limited	500
2600	Aluminum Corporation of China Limited	2,000
2628	China Life Insurance Company Limited	1,000
2800	Tracker Fund of Hong Kong	500
3328	Bank of Communications Co., Ltd.	1,000
3968	China Merchants Bank Co., Ltd.	500
3988	Bank of China Limited	1,000

Notes:

* To be introduced 10 June 2008 .

H shares are in bold.

Red chips are underlined.