A-share Code: 601166 A-share Name: Industrial Bank No.: T 2015-27

Preferred Share Code: 360005, 360012 Preferred Share Name: IBPS1, IBPS2

Industrial Bank Co., Ltd.

Announcement on Settlement of Outstanding Issue Regarding the Equity of Mr. Ch'en Wen-Te, A Taiwanese Shareholder by Way of Litigation

The Company and all the members of the Board of Directors warrant the truthfulness, accuracy and completeness of the announcement and will bear the joint and several liabilities for any false record, misleading statement or major omission in the announcement.

Mr. Ch'en Wen-Te, a Taiwanese, purchased 550,000 ordinary shares of the Company in 1988. He is a natural person shareholder of the Company. As he lost contact with the Company and there was still no result after looking for him in every possible way, relevant shares were held by Fujian Xingyin Property Management Co., Ltd. on behalf of him for free under the entrustment of the Company. The matter was disclosed by the Company in detail in the Prospectus of Initial Public Offering of A-share in 2007. In the "Notice on the Announcement of Loss Published by Mr. Ch'en Wen-Te" published on the website of the Shanghai Stock Exchange (SSE) on April 14, 2014, the Company disclosed that a Taiwanese, Mr. Ch'en Wen-Te (Unified No. of Taiwan Resident Identity Card: F100996525) had contacted with the Company to claim his shareholder qualification. He provided some certification documents, but failed to provide the subscription payment certificate issued by the Company to him as a shareholder. Moreover, He had published an announcement on the loss of the certificate.

In order to protect the legitimate rights and benefits of the Taiwanese shareholder, in accordance with the relevant requirements of regulations and policies on stock exchange and transfer as well as taxation, the Company and Mr. Ch'en Wen-Te, a Taiwan resident, reached an agreement through consultation, both consenting to validate the identity as a shareholder and ownership of equity by way of litigation, so as to solve the outstanding issue properly.

The Company received materials including the Notice of Respondence to Action ((2015) Min Min Chu Zi No. 100) served by Fujian Provincial Higher People′s Court and the Civil Complaint lodged by Mr. Ch'en Wen-Te, a Taiwan resident, to the court, etc. on August 25, 2015. Now, the relevant information of the litigation is described as below:

I. Basic facts of the litigation

1. The time of receiving the Complaint: August 25, 2015

2. The court accepting the litigation: Fujian Provincial Higher People's Court

3. Place of litigation: Fuzhou, Fujian Province

4. Parties to the litigation

(1) Plaintiff: Mr. Ch'en Wen-Te

(2) Defendant 1: Fujian Xingyin Property Management Co., Ltd. (hereinafter referred to as "Xingyin Property")

(3) Defendant 2: Industrial Bank Co., Ltd.

II. Cause and requests of the litigation

1. Cause:

The plaintiff Mr. Ch'en Wen-Te, a Taiwanese, claimed that he had purchased 550,000 ordinary shares issued by the Company in 1988, then lost contact with the Company and lost the subscription payment certificate. After a number of changes including bonus issue and capitalization, the number of such shares has increased to 3.0888 million, which are now held by Xingyin Property on behalf of the plaintiff under the entrustment of the Company, and the dividends over those years are managed by the Company on behalf of the plaintiff. The plaintiff has hold consultation with the Company and Xingyin Property with regard to the confirmation of shares and matters to handle. However, because of restrictions including the rules on transfer of shares of a listed company, the plaintiff did not directly take back the aforesaid shares and dividends from the Company and Xingyin Property.

2. Requests:

(1) It is requested to confirm that the 3.0888 million shares held by Xingyin Property and the dividends managed by the Company on behalf of the plaintiff are owned by the plaintiff, and to rule that such shares and dividends should be returned to the plaintiff.

(2) The plaintiff assumes the court acceptance fees of the case voluntarily.

III. Possible influence of the litigation on the Company

By the date of announcement, the Company had no other litigation or arbitration issues that should be disclosed but not disclosed. This litigation is helpful to settle relevant outstanding equity issue in a proper manner, so it will have no impact on the profits of the Company in or after the current period. The Company will announce the progress on the issue in a timely manner.

It is hereby to announce as foregoing.

Board of Directors of Industrial Bank Co., Ltd.

August 26, 2015

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