EXHIBIT 2

GRADE A OFFICE RENTAL AND CAPITAL VALUE INDICES

Indices
1989=100
Year
Qtr
Price
Rental
1986
1
26
36
2
26
38
3
30
39
4
30
45
1987
1
38
48
2
39
48
3
44
57
4
42
61
1988
1
44
58
2
51
56
3
66
63
4
77
70
1989
1
91
89
2
107
102
3
100
104
4
102
106
1990
1
107
105
2
87
102
3
86
100
4
101
99
1991
1
85
96
2
84
91
3
95
90
4
101
93
1992
1
109
93
2
123
96
3
132
97
4
138
100
1993
1
146
102
2
149
105
3
155
111
4
169
114
1994
1
208
123
2
232
134
3
228
141
4
226
145
1995
1
206
144
2
193
136
3
176
133
4
171
124
1996
1
184
114
2
182
111
3
174
111
4
202
111
1997
1
220
113
2
223
115

3
204
117
4
191
118
1998
1
161
115
2
146
108
3
104
97
4
99
87
1999
1
98.4
108.2
2
100.2
99.1
3
102
96.4
4
99.3
96.3
2000
1
97.8
96.9
2
94.5
100.5
3
88
101.6
4
88.4
104
2001
1
88
109.1
2
85.5
107.9
3
79.1
104.5
Note: 1. Between Qtr 3 and 4 for the year 1999, the index construction changed.
2. The indices are transaction-based.
Source: Hong Kong Government Rating and Valuation Department Quarterly Index

Citic Tower II: The Real option

EXHIBIT 3
RISK-FREE RATES IN HONG KONG

Jan-98
Feb-98
Mar-98
Apr-98
May-98
Jun-98
Jul-98
Aug-98
Sep-98
Oct-98
Nov-98
Dec-98
Jan-99
Feb-99
Mar-99
Apr-99
May-99
Jun-99
Jul-99
Aug-99
Sep-99
Oct-99
Nov-99
Dec-99
Jan-00
Feb-00
Mar-00
Apr-00
May-00
Jun-00
Jul-00
Aug-00
Sep-00
Oct-00
Nov-00
Dec-00
1-Jan
1-Feb
1-Mar
1-Apr
1-May
1-Jun

Exchange Fund Bills

Bills: Yield: 1 Month
Bills: Yield: 3 Months
APR
APR
6.91
8.78
5.24
5.84
5.21
6.03
5.71
5.92
7.19
7.3
8.74
9.26
7.56
7.87
14.03
12.24
6.64
7.51
6.06
6.21
4.94
5.42
4.87
5.04
5.55
6.01
5.47
5.58
5.19
5.39
4.48
4.69
4.77
4.94
5.35
5.36
5.56
5.58
5.83
5.88
5.15
5.43
5.41
5.5
4.81
4.91
3.38
4.94
5.32
5.46
5.47
5.67
5.61
5.72
6.25
6.31
6.37
6.64
5.96
6.21
5.6
5.94
6.15
6.02
5.9
6.01
5.6
5.79
5.55
5.65
5.94
5.69
5.1
4.92
4.85
4.76
4.68
4.64
4
4.03
3.62
3.58
3.46
3.45

Bills: Yield: 12 Months

APR
10.58
7.23
7.36
7.27
8.31
10.25
9.16
11.7
8.45
6.94
6.25
5.72
6.88
6.69
6.25
5.49
5.91
5.88
5.85
6.02
5.92
5.98
5.75
5.82
6.04
6.09
6.1
6.44
6.89
6.53
6.27
6.23
6.15
6.03
5.85
5.38
4.7
4.63
4.63
4.25
3.83
3.7

1-Jul
1-Aug
1-Sep
1-Oct

3.51
3.19
2.3
1.89

Source: CEIC DRI Asia Database

3.44
3.16
2.2
1.89

3.54
3.29
2.29
2.1

0.133

0.56096

-0.267

0.307957

S
X
v
r
d1
N(d1)
d2
N(d2)
OP

1.463
1.6
21.5%
6.27%
-0.009255018
0.496341691
-0.224255
0.42732968
$

83,444,056

Black Schole Model

Stock Price minus 5% for the seller
Strike Price
Medium volatile
Jul-00

standard normal cumulative distribution function