Wheelock and Company Limited (Holdings) Limited

2010 Annual Results 23 March 2011

Established 1886

1 Financial Highlights of 2010 Final Results

FY2010 % FY2010 % (HK$M) Change (HK$M) Change Turnover 24,186 +28% 19,380 +10% Operating Profit 11,384 +20% 9,372 +10% Finance costs (1,089) -176% (996) -195% Taxation* (1,472) +9% (1,200) +21% Profit before net IP surplus 4,974 +13% 7,905 +1%

IP revaluation surplus (net of Tax & NCI) 15,220 +152% 27,845 +143% Profit attributable to shareholders 20,194 +93% 35,750 +86% EPS HK$9.94 +93% HK$12.98 +86% DPS HK$0.125 +0% HK$1.00 +0%

*deferred tax on IP revaluation surplus excluded 2 2010 Annual Results privatization sharpens the focus on Property Developments

2010 Annual Results 3 Wheelock – Results Highlights

 Wheelock Properties Ltd (“WPL”), privatized in 7/2010 for HK$6.9B, will spearhead the Group’s HK property development, building from its current attributable land bank of 1.7M s.f.

 Wheelock Properties (Singapore) Ltd (“WPSL”) contributed HK$1.3B in operating profit on completion of Ardmore II and Orchard View in 2010. In early 2011, WPSL acquired a residential site in Hangzhou, , for RMB1.4B, or an AV of RMB4,000 psm

 Wharf’s attributable property portfolio was 15.1M s.f. in HK and 12M s.m. (129M s.f.) in China. Its investment properties were stated at HK$148 billion at year end

 Excluding non wholly-owned subsidiaries, Group’s own debts were HK$10B at year end

 Wharf raised HK$10B through a rights issue in March 2011. The Company supported it with a HK$5B contribution 4 2010 Annual Results Wheelock Assets and Profit Split

Attributable Business Assets (net of NCI) Attributable Profit before net IP surplus as at 31 December 2010 as at 31 December 31 2010

17% 22%

83% 78%

Wheelock (Ex Wharf) HK$132.0B HK$5.0B Wharf

5 2010 Annual Results Wheelock Assets and Profit Split (Ex Wharf)

Attributable Business Assets (net of NCI) Attributable Profit before net IP surplus as at 31 December 2010 as at 31 December 2010

24%

41% 51% 2% 74%

8% Hong Kong

China HK$21.9B HK$1.1B Singapore

6 2010 Annual Results WPL - HK Developments

1. MTR Austin Station

 50/50 residential development with New World Development

 Total site area: 295,000 s.f.; attributable GFA: 641,000 s.f.; AV@ HK$9,130 psf

 Master layout plan and general building plan submitted for approval, piling work underway

2. One Island South, Aberdeen (Redevelopment at 2 Heung Yip Road)

 Commercial development of 812,800 s.f. GFA

 417,600 s.f. sold in early 2011, ASP: over HK$6,300 psf; another 275,200 s.f. pre-sold in prior years

 Retail podium (91,000 s.f.) will be held for investment

7 2010 Annual Results WPL - HK Developments

3. Other residential developments

- Residential development of 89,000 s.f. GFA 46 Belcher’s Street, Western District - AV @ HK$3,800 psf - Foundation work underway

211-215C - Residential development of 91,700 s.f. GFA Prince Edward Rd West, - Lease modification premium agreed; AV@ HK$8,800 psf Ho Man Tin - Superstructure work on schedule

4. Sales Update

The Babington, 90% of 47 luxury apartments sold for Mid-Levels HK$616M; ASP @HK$13,000 psf

8 2010 Annual Results WPL - China Developments

 All projects are in Foshan, Guangdong, and through 50:50 JV with China Merchants

Project Project Attributable AV Completion Nature GFA (s.m.) (RMB psm)

Evian Town Residential 229,000 ~2,000 2013

Evian Uptown Residential 133,000 ~5,600 2014

New Acquisition

Shishan Town Residential 155,000 ~2,200 2015 (1/2010) First Ring Rd, Nanhai Residential 112,000 ~4,900 2015 (7/2010) Total: 629,000 9 2010 Annual Results WPL - China Developments

Sales Updates

Average Project Launched Sold Sales proceeds in 2010 up to 31.12.2010 (RMB’M) Price (RMB psm) 6 high-rise Evian Town 93% 585 13,000 towers (541 units)

5 high-rise Evian Uptown 99% 225 9,200 towers (556 units)

Launched in early 2011

Townhouse (37 Evian Town 57% 164 59,000 units)

Note: All units launched prior to 2010 were fully sold 10 2010 Annual Results WPSL - Singapore Developments

Sales Update Project No. of Units Sold / Pre- ASP Completion sold (SGD psf) Ardmore II (Residential) 118 100% ~2,300+ 6/2010

Orchard View (Residential) 30 30% ~3,200+ 5/2010

Scotts Square (Residential & Retail) 338 70% ~4,000 2011 (residential only)

Property Development

Ardmore Three  An international-standard luxury residential development in the prestigious Ardmore Park, next to Ardmore II  Design has been finalised, construction to commence in 2011  A show-flat will be built on site for completion in late 2011

11 2010 Annual Results WPSL - PRC Development

 In early 2011, WPSL acquired a prime project comprising 5 sites in Fuyang District (富陽市), Hangzhou, PRC for RMB1.4B, AV @ RMB4,000 psm

 The project is 22 km from the Hangzhou city centre, with a nice mountain view

 GFA: 358,000 s.m. for high-end residential development

 This diversifies and broadens the asset and earning base of WPSL

12 2010 Annual Results Property Investment

Hong Kong

 GFA: 191,400 s.f.; valuation: HK$3.5B Crawford  99% (office) & 95% (retail) leased at satisfactory rental rates House  H&M, the anchor retail tenant, performed solidly

Wheelock  GFA: 198,300 s.f.; valuation: HK$3.3B House  99% leased at satisfactory rental rates

Singapore

 GFA:464,900 s.f.; valuation: SGD850M Wheelock  A commercial development at Orchard Road Place  100% leased

13 2010 Annual Results “Building for Tomorrow” accelerates in the Mainland as Wharf celebrates its 125th anniversary with a record financial performance.

14 2010 Annual Results Wharf - Result Highlights

Group Performance

 Record net profit at HK$ 35.8 B, +86% vs. 2009; EPS: HK$12.98

 Book NAV + 27% to HK$59.22 per share, with primarily only the revaluation on IPs and listed investments

 Gearing at 19.2% as at 31.12.2010. Excluding non-wholly owned subsidiaries, own debts were HK$23.4B

 Wharf raised HK$10 billion through a rights issue in March 2011, which was 671% over-subscribed

15 2010 Annual Results Wharf - Result Highlights

Hong Kong Properties

 Property investment (18.1 million square feet GFA) accounted for 70% of Group operating profit.  HC (excluding hotels) valued at HK$80B and TS at HK$30B, represented 51% of the Group’s business assets and 58% of operating profit  HC and TS accounted for 8.5% share of HK retails sales for FY2010, with sales growth beating the market by over 12% points and 2% points respectively:

40% Outperformed market by 12% Outperformed 30% points market by 2% 30% 20% points 20% 18% 10%

0% Harbour City Times Square HK Retail Market 16 2010 Annual Results Wharf - Result Highlights China Properties

 34% of the Group’s business assets was in the Mainland as at 31.12.10, on course for the medium term target of 50%

 Mainland land bank increased to 12.0M s.m. in early 2011 at a cost of RMB61B, including RMB15B not yet due for payment

Wheelock Square was completed in 2010 with a value of HK$6.2B. Property investment portfolio will multiply when the 5 IFCs in Chengdu, Chongqing, Wuxi, Suzhou and Changsha (total attributable GFA: 2.0M s.m. and investment cost of RMB39B) roll out between 2013-2016

 Mainland property sales in 2010 totalled RMB8.8B (0.54M s.m.), 91% over 2009. Opening net order book for 2011: RMB8.2B

 Budgeted sales for 2011: RMB14B (0.9M s.m.). Attributable turnover in 2010: RMB3.3B (0.27M s.m.) 17 2010 Annual Results Wharf Asset and Profit Split

% of Group Total Business Assets % of Group Operating Profit

4% 1% 9% 19%

28% 59% 16% 64%

HK Properties (excl. Hotels) China Properties HK$220.2B HK$9.4B Logistics CME & Others

* China assets (Properties + Logistics): 34% as at 31.12.2010 18 2010 Annual Results Wharf

Analysis of Operating Profit

FY2010 FY2009 YoY (HK$’M) (HK$’M) Growth Property Investment 6,545 6,191 +6% Property Development 1,235 1,012 +22% Logistics 1,792 1,418 +26% CME (62) 163 N/A Investment & Others 188 90 +109% Corporate Expenses (326) (320) -2% Total Operating Profit 9,372 8,554 +10%

19 2010 Annual Results Wharf – Hong Kong Properties

20 2010 Annual Results Harbour City

Segment Performance Revenue Property Value (excl. Hotels) at Attributable GFA FY2010 FY2009 % 31.12.2010: HK$80B (s.f.) (HK$M) (HK$M) Change Retail 1,948,000 2,928 2,550 +15% Office 4,435,000 1,553 1,662 -7% Serviced Apartments 670,000 275 255 +8% Hotel and Club 1,364,000 1,056 889 +19% Total: 8,417,000 5,812 5,356 +9%

21 2010 Annual Results Harbour City Retail

 Largest retail complex in town, representing 75% of retail area of Canton Road

 Retail Sales +30% to $20.3B, growth rate outperformed market by 12% points. Average sales psf in 12/2010: ~$3,000, a record high  Accounts for close to 6.3% of total HK retail sales – unmatched by any other mall

 Turnover: +15%; Operating profit: +17%

 Success factors – premier location, diversified trade-mix, captivating ‘shoppertainment’ ambiance & powerful marketing campaigns

22 2010 Annual Results Harbour City

Office

 Turnover dropped by 7% reflecting the softness in the market since 2H08, which has started to firm again

 Occupancy at 94%

 Demand for office space driven by business expansion, corporation upgrades and decentralization

 Lease renewal retention rate: 68%

Serviced Apartments

 Occupancy at 92%

23 2010 Annual Results Times Square

Segment Performance Revenue Property Value at Attributable GFA FY2010 FY2009 % 31.12.2010: HK$30B (s.f.) (HK$M) (HK$M) Change Retail 936,000 1,076 956 +13% Office 1,033,000 457 470 -3% Total: 1,969,000 1,533 1,426 +8%

24 2010 Annual Results Times Square

Retail  The most successful vertical mall in town with over HK$1B of retail turnover p.a.  Retail sales +20% in 2010, outperforming the market by over 2% points  Turnover: +13%; Operating profit: +15%

 Success factors: Unique 16-level design, comprehensive and diverse trade-mix and direct link to CWB MTR  New sky escalators in the atrium have significantly improved vertical circulation Office  Turnover dropped by 3% to reflect the earlier softness in the market  Occupancy at 96%; lease renewal retention rate: 74%

25 2010 Annual Results Hong Kong Property Developments

 Mount Nicholson (Attributable GFA: 162,000 s.f.)  Mount Nicholson is itself a ‘location brand name’, with the ultimate top social status and recognition  Private half-mile access road offers ultimate privacy  Each ultra-deluxe villa will boast its own private swimming pool or lift access  50:50 JV with Nan Fung, construction will commence in 2011

 Cable TV Tower South (GFA: 585,000 s.f.)  Being redeveloped into a high-rise industrial / loft building  Superstructure work underway

 Kowloon Godown (GFA: 829,000 s.f.)  Approval obtained for a residential and commercial development  Lease modification application underway 26 2010 Annual Results Wharf – China Properties Building for Tomorrow

27 2010 Annual Results China Properties Building for Tomorrow

 Strategy to increase China assets to 50% of Group is progressing smoothly

 Acquired 10 projects in 2010 with attributable GFA of 1.5M s.m. for RMB14.6B

 Further acquired 4 projects in early 2011 with attributable GFA of 1.4M s.m. for RMB10B

 Landbank increased to 12.0M s.m. at a cost of RMB61B, on course to reach next milestone of 15M s.m.

 PRC assets represented 34% of Group business assets at 31.12.10

28 2010 Annual Results China Landbank

Area - 12M s.m. Cost - RMB61B

Suzhou Suzhou Wuxi Chengdu 16% 13% 7% Chengdu 23% 21% Wuxi Chongqing 15% 11% Others* Others* 5% 7% Chongqing Shanghai Shanghai 14% Hangzhou 5% 14% 13% Changzhou Changzhou Changsha 4% 9% 10% Changsha 6% Hangzhou 7% Retail Office 8% 16% GFA By Usage

Hotel 3%

* Others include Tianjin, Wuhan, Ningbo and Dalian Residential 73% 29 2010 Annual Results China Landbank

Region Attributable GFA (s.m.) Eastern China 6.4M Western China 4.4M Others 1.2M

Others: Total: 12.0M Dalian Tianjin Wuhan Changsha Eastern China: Changzhou Wuxi Suzhou Shanghai Hangzhou Ningbo Western China:

Chengdu Chongqing Next Milestone 15M s.m. 30 2010 Annual Results China Property Investment

Future Recurrent Income Base

 Property investment portfolio will multiply when the 5 IFCs in Chengdu, Chongqing, Wuxi, Suzhou and Changsha (total attributable GFA: 2.0M s.m.) roll out between 2013-2016 at an investment cost of RMB39B

 Shanghai Wheelock Square was completed in 2010, with value of HK$6.2B, compared with original cost of HK$2.9B

 The investment properties were valued at HK$18.1B as at 31.12.2010

 Revenue for China property investment dropped by 21% in 2010, as a result of sale of BCTS in 2009 and renovation work at CTS during the year

31 2010 Annual Results China Investment Property Portfolio

000's.m. 2500 2,300

2000

1500 1,100 1000 665

500 379 379 379

0 2010 2011 2012 2013 2014 ~ 2016 Future Recurrent Income Base

2010 Annual Results 32 China Property Investment

Shanghai Wheelock Square

 Brand new landmark office tower with GFA of 114,000 s.m.

 The tallest building in Puxi (270-metre) overlooking Jing’an Park

 Over 60% committed; latest monthly rental rates at over RMB340psm

 High floors to be released will command ever higher rates

 Tenants include multinationals and major corporations

33 2010 Annual Results China Property Investment

Chengdu IFC

 The next Group’s flagship with GFA of 439,000 s.m. in the busiest pedestrian shopping area of Chengdu  Comprises mega retail complex, Grade A offices, 5-star hotel and luxury residences  Phase 1 (retail & one office tower) will be completed in 2013

Chongqing IFC

 The new landmark of Chongqing with its iconic 300- metre tower and up-market retail mall

 Comprises up-market retail, Grade A office, 5-star hotel and serviced apartments

 50:50 JV with COLI, attributable GFA of 223,00 s.m.  Full completion in 2015 34 2010 Annual Results China Property Investment

Wuxi IFC

 Located in Taihu Plaza in Nanchang, Wuxi’s new CBD  Comprises Grade A office, 5-star hotel and luxury residences; GFA: 280,000 s.m.  The 340-metre tower will be tallest in Wuxi

 Target completion in 2015

Suzhou IFC

 A 450-metre skyscraper development overlooking Jinji Lake; tallest in Suzhou  Attributable GFA: 351,000 s.m.

 Comprises Grade A offices, 5-star hotel and luxury apartments

 Target completion in 2016 35 2010 Annual Results

China Property Investment

Changsha IFC

 Acquired in early 2011, located in the heart of Changsha city centre

 Two 300-metre+ towers and another tower atop a 250k s.m. retail podium

 Comprises upscale retail, Grade A offices, 5-star hotel and luxury apartments; GFA: 700,000 s.m.

 The retail complex will be one of the largest in Changsha

 Target completion in 2016 36 2010 Annual Results China Property Developments New Growth Engine

 Turnover +18% to HK$3.6B, OP +22% to HK$1.2B

 Contract sales +91% to RMB8.8B in 2010

 2011 opening net order book: RMB8.2B

 Sales target for 2011: RMB14B

 Keys to Success: management commitment, local execution know-how and adjustability

37 2010 Annual Results Contracted Sales in 2010

RMB8.8B Sales 540,000 s.m. Sales

Wuxi Wuxi 21% Shanghai 14% 27%

Shanghai 9% Chengdu 33% Chengdu Others 23% Others 9% 12% Changzhou 10% Suzhou Changzhou Suzhou 7% 17% 18%

Contract Sales +91% over 2009

38 2010 Annual Results China Property Development

Key Property Sales in 2010

Sold / Pre- sold GFA Sold Sales Average Launched in FY2010 (as at (s.m.) Proceeds Price 31.12.2010) (RMB’M) (RMB psm)

Medium-rise(264 Shanghai Xiyuan units) 97% 50,400 2,300 45,500 Ambassador Villa (Suzhou) Villa (111 units) 91% 36,000 1,500 41,300 Times Palace 96 villas (Changzhou) High-rise (808 units) 98% 99,000 889 9,000

Crystal Park High-rise (1,046 (Chengdu) units) 87% 119,000 1,049 8,800

Times Residences High-rise (158 units) (Chengdu) Office (200 units) 71% 57,000 967 16,600 Times City (Wuxi) High-rise (930 units) 75% 85,000 920 10,900

39 2010 Annual Results China Property Development

Completion Schedule ^ 000's.m. 2500

2,000* 2000

1,500* 1500

1000

475 500 281

0 2010 2011 2012 2013 ^ exclude property investments, include assoc / JCE projects *provisional data Sales to be recognized in 2011, +50% over 2010 New Growth Engine 40 2010 Annual Results Wharf – Non Property Businesses

41 2010 Annual Results Non Property Businesses

MTL

 Revenue +15% to HK$3.3B; OP +31% to HK$1.7B

 HK throughput +6% to 5.4M TEUs

 China throughput: Taicang +44% to 1.3M TEUs; DCB +189% to 671K TEUs

Marco Polo Hotels

 Revenue +20% to HK$1.1B

 Occupancy at 85% for the 3 HK hotels; average room rate: +26% over. 2009

 Recently awarded "Best International Hotel Management Group of China" by China Hotel Starlight Awards  A pipeline of nine new hotels will nearly double Marco Polo's scale by 2015

42 2010 Annual Results Non Property Businesses i-CABLE

 Revenue +14% to HK$2.0B; Net loss at HK$267M due to significant non- recurrent costs, Net cash: HK$447M

 Subscriber base increased to over 1.1M

 Exclusive premier programming & the sharpest high definition (HD) service in the market

Wharf T&T

 Revenue at HK$1.7B, OP at HK$201M

 A record-high net gain in business broadband installed base, with respectable progress made in network rollout, corporate branding, and product competitiveness

43 2010 Annual Results Wharf Financial Position

FY2010 FY2009 Net Debt /(cash) (HK$M) (HK$M) Wharf (excluding below subsidiaries) 23,376 9,392 MTL 9,932 10,742 HCDL (172) 1,829 i-Cable (447) (531) Total: 32,689 21,432

Gearing (net debt to total equity) 19.2% 15.8%

Wharf raised HK$10B equity through a rights issue in 3/2011

Healthy Financial Base

44 2010 Annual Results End of Presentation

Wheelock and Company Limited [HKEx Stock Code: 0020.HK] The Wharf (Holdings) Limited [HKEx Stock Code: 0004.HK]

Disclaimer All information and data are provided for information purposes only. All opinions included herein constitute Wharf’s judgment as of the date hereof and are subject to change without notice. The Group, its subsidiaries and affiliates hereby disclaim (i) all express, implied, and statutory warranties of any kind to user and/or any third party including warranties as to accuracy, timeliness, completeness, or fitness for any particular purpose; and (ii) any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the information and data contained herein.

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