Shenzhen Expressway Company Limited provided earnings guidance for the year ended December 31, 2015. For the year, the company announced that based on the preliminary estimation by the finance department, it is estimated that the net profit attributable to owners of the company for the year of 2015 will decrease by approximately 20%-40% as compared to the same period of the previous year. Main reasons for the estimated decrease in results during the period: In early 2014, the Group and the Shenzhen Government reached an agreement on the toll adjustment and compensation regarding Meiguan Expressway, the Group disposed of the book value of the related assets in 2014 pursuant to the relevant requirements of the Accounting Standards for Business Enterprises of the PRC and recognised the net gains on disposal of assets after tax of approximately RMB 1.1 billion.

Such gains on disposal had a one-off significant positive effect on the 2014 annual results. The Group obtained the controlling interest in Shenzhen Qinglong Expressway Company Limited in 2015 and the accounts thereof have been consolidated into the financial statements of the Company. Pursuant to the relevant requirements of the Accounting Standards for Business Enterprises of the PRC, the 40% equity interests of Qinglong Company originally held by the Company prior to the date of consolidation will be remeasured at fair value on the date of purchase.

The difference between the fair value and the book value will be recognised as investment income for the current period. Such remeasurement will have a positive effect on the Group's net profit attributable to owners of the Company with an amount of approximately RMB 900 million. The operating performance of Qinglian Expressway was worse than expected due to various factors such as diversions of road network.

In addition, the Company adjusted and recognised the revenue from the entrusted management services in respect of both Coastal Phase I and Guilong Projects in 2014 based on the actual settlement of the work, the audit results of the relevant government departments and the progress of completion, resulting in a substantial decrease in the revenue from the entrusted construction management services for this period on a year-on-year basis.