Chinese Capital Markets in 2006 Non-tradable Share Reform in Chinese Capital markets Important Changes of China Cl in 2006 Incentive structure 2900 o 50% of companies reformed o IPO resumed BOC IPO 2300 QFIl rules revision 2100 IPO rule revision Petro China joined the reform 1700 1500 o ICBC IPO(A+H) 1300 o Adopted international accounting standard ChinaLife ipo OR INTERNAL USE ONLY No portion of this communication may be reproduced or redistributed ② 中国证券监督管理委员会 CHINA SECUIRITIES E ATDRYCDFOR INTERNAL USE ONLY – No portion of this communication may be reproduced or redistributed. Non-tradable Share Reform in Chinese Capital markets Chinese Capital Markets in 2006 Chinese Capital Markets in 2006 Incentive structure 50% of companies reformed IPO resumed BOC IPO QFII rules revision IPO rule revision PetroChina joined the reform ICBC IPO (A+H) Adopted international accounting standard ChinaLife IPO