Stock Code: 000055,200055       Stock ID: Fangda Group, Fangda B       Announcement No.
                                          2012-17

                         China Fangda Group Co., Ltd.

   Announcement on the Progress of Application for the Urban

                              Reconstruction Program
The members of the Board and the Company acknowledge being responsible,
individually and jointly, for the truthfulness, accuracy, and completeness of the
announcement. There isn’t any false record, misleading statement or significant
omission carried in this announcement.


According to “The First Batch of Municipal Reconstruction Plans 2012 of Shenzhen (Draft)” (“the
Plan”) announced by Shenzhen Bureau of Municipal Planning and Land Resource Commission on
the 2nd day of February 2012 on its official website (www.szpl.gov.cn), Fangda Town, Longjing,
Xili, Nanshan, Shenzhen, where the Company is located, is included in the range of reconstruction
as described by the Plan. The Company has announced about this issue on the 3rd day of February
2012.
Shenzhen Bureau of Municipal Planning and Land Resource Commission released the
“Announcement about the first batch of municipal reconstruction plans of 2012” on its official
website dated April 10, 2012. The reconstruction project of Fangda Town has been approved by
the Government of Shenzhen.

The reconstruction unit will be implemented only upon approval of the reconstruction
plan by the authorities.
The fact of supplementary payment for land using rights and the project itself are with
certain uncertainty. Investors are requested to be aware of the risks attached to this
issue. The Company will perform information disclosure duly according to the
regulations.
The above is for the attention of the shareholders.


                                                  China Fangda Group Co., Ltd.
                                                       The Board of Directors
                                                            April 11, 2012