Introduction of the Businesses of Shide Group in the Financial Sector

Shide Group began to enter the financial sector in 2000. It has become either a minority shareholder or a controlling shareholder of Sino Life Insurance Co. Ltd., China Pacific Insurance (Group) Co. Ltd., INVESCO Great Wall Fund Management Co., Ltd., Dalian City Commercial Bank and Pacific Finance Institute.

Sino Life Insurance Co., Ltd. was approved to be set up in 2000 as one of the specialized insurance companies in China. Shide is one of the founders and is one of the largest shareholders. Headquartered in Pudong of Shanghai, Sino Life is cooperating with Tokyo Marine Fire Insurance Co Ltd. of Japan for building up a nationwide sales network.

China Pacific Insurance (Group) Co. Ltd. is an insurance group originated from the China Pacific Insurance Company founded in April 1991. It was re-organized into a group of specialized operating companies according to the statutory requirements for separation of property insurance and life insurance businesses. Its subsidiaries include China Pacific Property Insurance Co. Ltd., China Pacific Life Insurance Co. Ltd., Pacific Aetna Life Insurance Co. Ltd., China Pacific (H.K.) Co., Ltd. and overseas organizations in London, New York and other places. The registered capital of the Group is RMBĘD4.3 billion. In 2003 Shide acquired 10% shares of China Pacific Insurance and became one of the largest shareholders.

INVESCO Great Wall Fund Management Company Limited is a Sino-foreign joint-venture by Shide Group, INVESCO Asset Management Co., Ltd., Great Wall Securities and Kailuan Group. Headquartered in Hong Kong and being a fully owned subsidiary of INVESCO Group, INVESCO Asset Management Co. Ltd. manages an asset portfolio of about USD15 billion. INVESCO Group is one of the largest independent asset management corporations in the world. The group is listed in London Stock Exchange, New York Stock Exchange, Paris Stock Exchange, Frankfurt Stock Exchange and Toronto Stock Exchange. By June 2002, the total assets managed by the group reached USD364 billion. INVESCO Group has become one of the largest fund management corporations in Asia in these years.

Dalian City Commercial Bank is a joint-stock bank. It has been developing fast in Dalian, with businesses of deposit and loan, credit cards and other general banking services. In 2001 and 2002, Shide Group made two separate acquisitions of the shares of the bank and became the largest single shareholder.

In early 2003, Shide Group, along with five companies including China Pacific Insurance, set up the Pacific Finance Institute aiming at training high-quality professionals for the finance, insurance, fund management and securities sectors in China.