In a series of events with company employees this past week, Tan
Holdings Corporation President Willie Tan reported the firm's Guam-based
facilities and extended year-end messages to all employees.

Tan visited Guam last week to survey damage from Supertyphoon Pongsona.
" We were badly hit in several businesses, including the Guam Dai-Ichi
Hotel, but I'm so proud of how our team pulled together to make sure all
350 guests at the time were very well cared for. Now the cleanup and
recovery efforts are underway."

The Guam calamity is the most recent obstacle that 2002 has brought
businesses of the Marianas, but there are also the lingering effects of
9/11, a truly damaging event in the history of America and the world,
noted Tan.

The CNMI is still struggling from the economic downturn, both the Asian
crisis and 9/11. Tourism, the major industry next to garment
manufacturing, is showing some signs of recovery, but it will take 2 or
3 years, at least, to get it into the shape it was in before Sept. 11,
2001.

For the past few years, Saipan's garment manufacturing industry has seen
export figures drop from over $1 billion to just $785 million.

"The global industry is getting more and more competitive. The profit
margin is getting narrower and that reflects in a lower sales figure,"
said Tan. There's also the quota elimination coming by January 2005.
Saipan has to be competitive in terms of efficiency, quality, and price
and meeting delivery schedule.

Tan thanked the company's employees for working together to win a Top
Employer Award for employee care by the Philippine Department of Labor
and Employment in November. He noted that the company's apparel group
has just finished the audit for Worldwide Responsible Apparel Production
Principles (WRAP), another highly recognized workplace and human right
standards for the global apparel industry.

He also congratulated Pacific Oriental, Inc., Century Hotel and Century
Insurance for receiving or being re-certified by ISO for quality
management practices.

A diverse holding company with businesses in 14 industries in the
Western Pacific, Tan Holdings Corporation is headquartered on Saipan and
is the largest private taxpayer in the Northern Mariana Islands.