Stock Dividend Scheme to be Implemented

Pursuant to approval from the Ministry of Commerce of the PRC received on 14 Aug 2008, the company will implement its stock dividend distribution scheme according to which it will allot five shares from its capital reserve of RMB 5,979,000,000 for every 10 shares held, based on 4,374,178,000 total shares outstanding as of 31 Dec 2007. Following the distribution, total shares outstanding of the company will increase to 6,561,267,000 shares.

Board of Directors
19 Aug 2008


Source: Shanghai Stock Exchange

Date: 19 Aug 2008

CN01/VW/DM/BT/KM