UTILIZING COMPREHENSIVE ADVANTAGES TO EXPAND PPP AND INFRASTRUCTURE FINANCING

IN ASIA PACIFIC

GUIYANG, CHINA

12TH SEPT,2018

CITIC’S Unique Advantage in PPP Business

client-oriented, provide integrated solutions to enhance client values

Clients

Channels

Government Relations

Overseas resources

Talents R&D

Industrial chain

Brand

Products and services

Strategic cooperation with industry leaders and local governments

Joint marketing

Coordination between financial subsidiaries

Coordination along industrial chain

Develop overseas businesses jointly

Establish PPP consortium

Sharing channels and clients; Joint research and cross-selling

Coordination based on big projects

Share resources and platforms among all business sectors

CITIC Synergy paradigm

Cooperation with ministries and other enterprises groups

Composed of 16 CITIC subsidiaries covering the full life cycle of PPP projects, including PPP project consulting, planning, designing, construction and investment and financing etc.

Composed of core PPP members in consulting, investment and financing .

• 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 Belt One Road strategic initiative.

• Provide integrated solution in infrastructure construction and industrialization sector to host countries.

• Cover various fields including infrastructure, energy and resource, eco-environment protection, new energy, modern agriculture, cultural education etc.

Joint participation in One Belt One Road Initiative

Establish multi-tier CITIC PPP platforms

2

third tier

second tier

first tier

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

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

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

Case 1: Beijing National Stadium (Bird’s Nest) OVERVIEW

Project Company

Beijing Municipal Government

Concession Agreement

Operation Consultant Project Management

Consultant

Designer Construction contractor

Strategic Operating

Agreement

Project Management

Agreement Design contract Construction contract

Beijing State-owned Assets

management Co., Ltd (BSOAM)

CITIC Consortium

Joint Ventures

Contract

58%

42%

Beijing Organizing

Committee for the

Olympic Games consortium agreement

CITIC Group

BUCG

Golden State Holding Group

National Stadium

Agreement

65%

30%

5%

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

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.

GLA Municipal Government

ABP（Longdon）Investment Holding Co.,

Ltd

ABP Industrial

Development（London）Co., Ltd

CITIC-AB Holding Co.,

Ltd

ABP London Investment Co., Ltd

(United Kingdom)

25%

Land Equity

75%

Case 2: UK Asian Business Port Project at the Royal Albert Dock OVERVIEW

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

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

CASE 3: Tianfu International Airport Ziyang Industrial New Town PPP Project

• Founded in 1979, CITIC Group is the largest diversified transnational conglomerate in China. • Business portfolio covering financial services, resources & energy, manufacturing. Engineering

contracting, real estate, infrastructure etc. • Ranked 149th among the Fortune Global 500 in 2018.

ABOUT CITIC GROUP

FINANCIAL SUMMARY (2017)

Total Asset: 6,335 billion RMB

Total Revenue: 414 billion RMB

Net Profit : 36 billion RMB

Listed in Fortune 500 for 10 consecutive years

ABOUT CITIC Group: GLOBAL MARKET

CITIC, the earliest large SOE to invest overseas, is

actively developing business in 30+ countries and

regions along the “B&R”.

Overseas business

CITIC Construction*

Developing businesses in Asia, Africa, Latin America

and Europe

CITIC Resources*

Oil fields in Indonesia

Kazakhstan

CITIC Metal

Investment in Peru and Brazil

CITIC Dicastal*

A world-wide manufacturing system,

including 21 bases in China, U.S. and Europe

CITIC Bank International*

Branches in Hong Kong, US, Macao Singapore

CITIC Heavy Industries*

over 30% revenue from overseas

CITIC Securities

Over 2,000 overseas institutional clients across

17 regions

CITIC Pacific Special Steel

Selling products to over 60 countries and regions

such as North America, Europe

* Revenue from overseas accounted for over 30%

CITIC Telecom International*

Developing business in Hong Kong, Macao,

Asia Pacific

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

• 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.

About CITIC Construction

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: Global Market

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.

12th SEPT, 2018

STRIVING TOGETHER SHARING BENEFITS

CREATING NEW OPPORTUNITIES TOGETHER!