UTILIZING COMPREHENSIVE ADVANTAGES TO EXPAND PPP AND INFRASTRUCTURE FINANCING IN ASIA PACIFIC

GUIYANG,

12TH SEPT,2018 CITIC’S Unique Advantage in PPP Business Joint participation in One Belt One Road Clients Initiative Brand Channels • CITIC subsidiaries in both financial and non-financial sectors jointly announced their plan to provide investment and financing services worth 700 billion RMB for the One Products Government Belt One Road strategic initiative. and services Relations

• Provide integrated solution in infrastructure Share resources and platforms among and industrialization sector to host countries. Industrial all business sectors Overseas chain resources • Cover various fields including infrastructure, energy and resource, eco-environment protection, new energy, R&D Talents modern agriculture, cultural education etc.

CITIC Synergy paradigm Establish multi-tier CITIC PPP platforms Strategic cooperation with client-oriented, provide Cooperation with ministries and other Develop overseas industry leaders integrated solutions to third tier enterprises groups businesses jointly and local enhance client values governments Composed of 16 CITIC subsidiaries covering second tier the full life cycle of PPP projects, including PPP project consulting, planning, designing, Establish PPP Coordination based on construction and investment and financing Joint marketing consortium big projects etc.

first tier Composed of core PPP members in Sharing channels and consulting, investment and financing . Coordination Coordination clients; between financial along industrial Joint research and subsidiaries chain cross-selling

2 Case 1: National Stadium (Bird’s Nest)

 Land Area: 21 hectares  GFA: 258,000 sq.m.  Capacity: 91,000 people  Total Investment: 3.14 billion RMB  Construction Duration: 4.5 years  Regarded as the largest scale, the most complex structure, the highest technical difficulty and the most strict requirements for construction period and quality among similar stadiums in the world

 The main venue for the 29th Beijing Olympic Games in 2008  Regarded as the first official PPP project in China  The milestone development for CITIC Construction Case 1: (Bird’s Nest) OVERVIEW

65% Beijing Municipal Government CITIC Group BUCG 30%

Golden State Holding Group 5% Concession Agreement National Stadium Beijing Organizing Agreement Committee for the consortium agreement Olympic Games

CITIC Consortium 42% Joint Ventures Project Company Contract Beijing State-owned Assets management Co., Ltd (BSOAM) 58%

Project Management Strategic Operating Construction contract Design contract Agreement Agreement

Construction contractor Designer Project Management Operation Consultant Consultant Case 2: UK Asian Business Port Project at the Royal Albert Dock OVERVIEW

 The largest greenfield project independently developed by a Chinese developer in the UK  Total Investment: GBP 1.7 billion Project Period: 8~10 years  Land Area: 14 hectares Total Construction Area：430,000 sq. m.

Case 2: UK Asian Business Port Project at the Royal Albert Dock OVERVIEW ABP Industrial CITIC-AB Holding Co., Development（London） Ltd Co., Ltd 75% 25%

ABP（Longdon） GLA Municipal Government Investment Holding Co., Ltd Land Equity

ABP London Investment Co., Ltd (United Kingdom)

 GLA municipal government ( the land owner) signed the Development Agreement with ABP London ( Urban Regeneration Project Developer), and CITIC Construction as general contractor.  Based on the GLA’s envision and target, “GLA (land) + Developer (Equity)” cooperation model to develop the project and GLA share the profit of project development. CASE 3: Tianfu International Airport Ziyang Industrial New Town PPP Project

 Bidder: CITIC Construction Consortium  Land Area: 35 sq.km  Total Contract Value: 49 billion RMB  Duration: 20 years  PPP Model: DBFOT  Phase I Investment: 10.3 billion RMB CASE 3: Tianfu International Airport Ziyang Industrial New Town PPP Project

 Ranked No.2 among “Top 10 PPP Project in China in 2017“  The largest PPP project in Sichuan province, China ABOUT CITIC GROUP

• Founded in 1979, CITIC Group is the largest diversified transnational in China. • Business portfolio covering , resources & energy, manufacturing. Engineering contracting, real estate, infrastructure etc. • Ranked 149th among the in 2018.

Listed in Fortune 500 for 10 consecutive years

FINANCIAL SUMMARY (2017)  Total Asset: 6,335 billion RMB  Total Revenue: 414 billion RMB  Net Profit : 36 billion RMB ABOUT CITIC Group: GLOBAL MARKET

CITIC CITIC Construction* Resources* Developing businesses in Oil fields in Asia, Africa, Latin America Indonesia and Europe Kazakhstan

CITIC Heavy CITIC Securities Industries* Over 2,000 overseas over 30% revenue institutional clients across from overseas 17 regions

CITIC Dicastal* CITIC A world-wide International* manufacturing system, including 21 bases in China, Branches in Kong, U.S. and Europe US, Macao Singapore

CITIC Metal CITIC Pacific Investment in Special Steel Peru and Brazil Selling products to over 60 countries and regions such as North America, CITIC Telecom CITIC, the earliest large SOE to invest overseas, is Europe International* actively developing business in 30+ countries and Overseas business Developing business in regions along the “B&R”. , Macao, * Revenue from overseas Asia Pacific accounted for over 30%

About CITIC Construction • A wholly-owned subsidiary of CITIC Group，providing all-round integrated services from EPC turnkey to maintenance & operation. • Operation Strategy: Win over engineering contracts through investment, financing and pre- service and boost overall business growth through the contractorship. • The Company can help the clients to expand upstream and downstream industries to develop complete value chains.

Ranked 56th among the ENR Top International Contractors

Proven track records in delivering large-scale international projects

Strong abilities in technical management, R&D, planning and design

Providing comprehensive solution for large scale project from Investment, financing, D &B, O&M

About CITIC Construction: Global Market CITIC Construction has expanded its footprint into 10+ countries including the Chinese mainland, Hong Kong, Angola, Algeria, Venezuela, Argentina, Brazil, Belarus, Kazakhstan, Myanmar, United Kingdom etc. About CITIC Construction: Alliance Fleet

Supported by the financial strength and comprehensive capabilities of CITIC Group, CITIC Construction integrates the best specialized companies (“partners”) both domestically and internationally to form a benefit- sharing and risk-sharing "Alliance Fleet”.

On the Alliance Fleet consisting of 40 companies, CITIC Construction plays a flagship role to lead and control the key processes and resources, while the partners are responsible for the implementation of projects by taking advantage of their respective expertise. STRIVING TOGETHER SHARING BENEFITS CREATING NEW OPPORTUNITIES TOGETHER!

12th SEPT, 2018