World Trade Centre names Ho's successor

WORLD Trade Centre Group chairman Tung Yu-jeh will be appointed chairman of the company's listed parent Tomson Pacific following Mr Stanley Ho Hung-sun's resignation.

Speaking after yesterday's special shareholders' meeting, World Trade Centre general manager David Lee said Mr Ho's leaving should not affect the group as he had not participated in the management for many years.

Mr Ho is to resign from the board of four listed companies to avoid being exposed to growing liability as a company director in Hongkong.

The meeting passed the $2.2 billion deal to sell the World Trade Centre building to SHK Properties.

The deal is expected to be completed this month. Mr Lee said the company would soon decide on possible uses for the surplus $1.5 billion cash.

''Some of the money may be invested in stocks, or investment properties for recurrent income,'' he said.

However, the greatest portion was likely to be assigned to a contingency fund for development projects in China, he said.

He said that so far the firm had committed about $900 million as land cost for the mainland projects, mainly in Shanghai and Guangzhou.

''It is a misconception that the company would become a cash shell following the property deal,'' Mr Lee said.

''Before the deal, the company held assets worth more than $5 billion. After the deal, it still has assets worth about $3 billion.'' Mr Lee did not discount the possibility of giving some of the cash to shareholders in the form of a bonus.