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FTSE Xinhua Index Announces Annual Review Results - TCL Dropped From FTSE/Xinhua ChinaA50 Index, Replaced By Anhui Expressway

Date 12/07/2005

FTSE Xinhua Index (FXI), the independent China index provider, held its index committee meeting on July 5 to review and approve constituent changes. The modifications will become effective after the close of business on Friday, July 15 2005. (i.e. on Monday, July 18 2005.)

The review resulted in a few constituent changes in FTSE/Xinhua China A50, B35, 200, 400 and Small Cap indices, while no change was made to the constituent list of the FTSE/Xinhua China 25 Index. The investability weight of all FTSE Xinhua indices remains unchanged.

In the FTSE/Xinhua China A50 Index, multimedia consumer electronics giant TCL (000100) is deleted and accordingly Anhui Expressway (600012) is added to rebalance the index.

In the FTSE/ Xinhua 200 index, seven companies are deleted: Tangshan Jidong Cement (000401), Shenzhen SEG Electric (000058), Hunan Huayin Electric Power (600744), Henan Ancai Hi-Tech (600207), Taiyuan Coal Gasification (000968), Hunan Changfeng Motors (600991) and Guangdong Kelvon Electric Holdings (000921).

The new additions to the index are DongFeng Automobile (600006), Yunnan Baiyo Industry (000538), Xiandai Investment (000900), Jiangsu Wuzhong Industrial (600200), Dashang Group (600694), Wang Xiang Qianchao (000559) and Torch Automobile Group (000549).

An overview of changes is provided in the appendix. Full details of all additions and deletions can be found at http://www.ftse.com/indices_marketdata/xinhua/index_changes.jsp.

All the changes made at the annual review were approved by the independent FTSE Xinhua Index Committee and are based on sets of transparent Ground Rules (please see http://www.ftse.com/indices_marketdata/xinhua/rulebook.jsp for details). These principles for inserting and deleting companies at regular index reviews are designed to provide stability in constituent selection and ensure the continuous investability and liquidity of the indices.