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ANNOUNCEMENT OF INTERIM RESULTS FOR  THE SIX MONTHS ENDED 30 JUNE 2014

FINANCIAL HIGHLIGHTS

• Revenue increased significantly by 96% to RMB17,840 million.
• Operating profit (excluding fair value gains on investment properties) increased by  55% to RMB3,066 million.
• Profit attributable to owners of the Company amounted to RMB2,239 million,  representing an increase of 58%. Core profits increased significantly by 115% to  RMB1,944 million.
• Basic earnings per share increased by 59% to RMB0.291.
• Contracted sales was RMB13,228 million.
• Total cash resources amounted to RMB16,791 million. The net gearing ratio was 60%.
• Total assets increased to RMB141,427 million and equity attributable to owners of the  Company (including capital securities) amounted to RMB41,753 million.
• The Board proposed an interim dividend of HKD0.075 per share, an increase of 7%;  with a scrip dividend option.

The Board of Directors (the "Board") of Sino-Ocean Land Holdings Limited (the "Company")  is pleased to announce the unaudited consolidated results of the Company and its subsidiaries  ("our Group" or "we") for the six months ended 30 June 2014.

REVIEW OF THE INTERIM RESULTS

For the six months ended 30 June 2014, our Group recorded revenue of RMB17,840 million  and gross profit of RMB3,518 million, representing a year-on-year ("YoY") increase of about  96% and 61%, respectively. Profit attributable to owners of the Company and core profit  reached RMB2,239 million and RMB1,944 million respectively, representing a 58% and 115%  rise YoY respectively, and earning per share was RMB0.291. Based on the profit attributable  to owners of the Company in the period, the Board is pleased to propose an interim dividend  of HKD0.075 per share for the six months ended 30 June 2014. The Board also recommends  offering shareholders the option to receive the 2014 interim dividend wholly or partly in the  form of new shares allotted and credited as fully paid up in lieu of cash, subject to approval by  the Listing Committee of The Stock Exchange of Hong Kong Limited (the "Stock Exchange")  of the listing of, and permission to deal in, the new shares to be issued.

MARKET REVIEW AND OUTLOOK

In the first half of 2014, the PRC property market went through a period of adjustment as  commodity housing throughout the country recorded a negative growth. The data from the  National Bureau of Statistics of China showed that aggregate GFA sold and sales revenue in  China from January to June were 484 million sq.m. and RMB3,110 billion, dropping by 6%  and 6.7% YoY, respectively. This round of industry adjustment was mainly due to the result  of a structural imbalance in supply and demand. The large volume of land transactions two  years ago and the subsequent development gave rise to an increase in the supply of properties.  On the other hand, potential buyers were deterred by the combination of a slowing down  economy, tightening credits and changing market outlook. Statistics showed that stock in hand  in most cities in China continued to exceed previous levels and turnover took longer. Stock  level will remain a challenge in the latter half of the year.

Market differentiation is accentuated during the adjustment period of the industry. There is  higher concentration in terms of sales. Some branded developers take advantage of their  capabilities in responding to the market, a sensible product mix and flexible strategies to push  forward their leading position in a declining market. Those who lack the ability to respond and  adjust on time will face even tougher challenges. The ratio of investors is lower and buyers  are getting younger. Buyers for self-use and upgrading are the major driving force. Our Group  believes that home buyers and first-time upgraders of small to medium-sized properties,  especially those offering fine quality and comprehensive life-style facilities, will be the  mainstream market.

As for macro policies, the Central Government will continue the principle of regional  directives, allowing market forces to regulate the market itself without 'suppression or  stimulation' from the government. Coupled with appropriate autonomy granted to local  authorities, the market-oriented long-term mechanisms will keep the industry healthy and  stable. In the next half of the year, it is expected that varied and specific policies will be rolled out. These include adjusting or even rescinding purchase restrictions, encouraging commercial  banks to promote mortgage business and lowering mortgage interest, thus releasing some of  the purchase power.
Our Group believes that the PRC property market will continue its adjustment in the second  half of 2014. It will, however, stabilize and supply and demand will become more balanced.  As housing demand will remain strong due to vigorous urbanization, upgrading needs,  population mobility, reform of the household registration system and relaxation of the onechild  policy, there will not be a hard landing in the overall PRC property market. Even under  the present stringent restrictions on purchase and loans, aggregate sales from commodity  housing in the first half of 2014 dropped only 6.7% compared to the corresponding period in  2013 but was 34% up compared to the corresponding period in 2012 (sales in first half of  2012 were RMB2,331.4 billion). Total sales of commodity housing in 2014 are expected to  reach or even exceed 2012 to become the second highest in history.

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