(6 February, 2006 – HONG KONG) – Sa Sa International Holdings Limited ("Sa Sa" or the "Group", stock code: 0178), Asia's leading cosmetics retailer and beauty services group, announced its overall retail sales performance in Hong Kong and Macau. During the first week of the Chinese New Year (from 29 January to 4 February 2006), Hong Kong retail sales achieved a year-on-year sales growth of 20%, as compared with the corresponding period the previous year (from 9 February to 15 February 2005).

For the first week of Chinese New Year 2006 (from 29 January to 4 February 2006), the average amount spent per transaction increased by about 10% to approximately HK$300 in Hong Kong and Macau market, and the total number of transactions recorded during the period also rose by over 5% on a year-on-year basis.

Commenting on the performance, Mr. Simon Kwok, Sa Sa's Chairman and Chief Executive Officer said, "The retail business performance in Hong Kong & Macau during the festive holiday period was better than expected. The growth was mainly attributable to an influx of tourists, in particular those from Mainland China."

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Group Background Sa Sa is a leading cosmetic retailing and beauty services group in Asia. Its over 80 retail stores in Asia sell more than 400 brands of skin care, fragrance, make-up and hair care products including private labels and other exclusive international brands. Over 700 well-trained beauty consultants are employed to provide professional services to its customers. Sa Sa prospers on its successful and proven "one-stop cosmetics specialty store" concept which aims to provide its customers with the widest range of quality products. Its e-commerce arm, Sasa.com, provides online shopping service to customers as well as a strong marketing tool for the Group. The Group operates nine health and beauty clubs in Asia through Phillip Wain and two beauty centres in Hong Kong through Sasa Beauty+, providing comprehensive beauty services to customers. Sa Sa, established in 1978, was listed on The Stock Exchange of Hong Kong in June 1997, and had an annual turnover of approximately HK$2.3 billion for the year ended 31 March 2005.