(January 21, 2003, Taipei) The Board of Directors of SinoPac Holdings (2890) yesterday (Jan. 20) approved the acquisition of its future corporate headquarters located in Taipei City at the Zhong Luen Bus Depot Complex. The purchase includes 4,925 pings (16,250 square meters) of office space from Levels 3 to 13 of the building as well as 78 parking spaces.

The land is owned by a former provincial government subsidiary that is now a private company – Taiwan Bus Company – and is used as one of its downtown bus depots for north and eastbound traffic. The land occupancy right was awarded to the successful bidder – Ruentex Construction – on February 11,1999 for 50 years throughout February 11, 2049. Ruentex began development on the land before transferring the Zhong Luen Bus Depot Complex Project to its subsidiary, Li-Seng Develop Company, on December 24, 2002. SinoPac Holdings had previously invested a 5% holding of this development company's equity.

The new headquarters will replace SinoPac's current rented premises as its permanent operating headquarters. According to the Company, this is an ideal timing to pursue the project since the agreed-upon financial terms, construction costs, and quality-control terms are all advantageous to SinoPac. As part of the purchase agreement, SinoPac retains both the naming and design rights of the building's outside appearance.

The project will commence as soon as the government approval is granted, and is expected to be completed in 2005 for 44 years usage. When the right expires, the existing rights owner at that time will have first option to continue; however, the building will be returned to the land's owner at no cost.