Stock Code: 000055, 200055 Stock ID: Fangda Group, Fangda B Announcement No. 2013-13

                            China Fangda Group Co., Ltd.

 Announcement on Implementation of the 2012 Equity Distribution

                                               Plan
     The members of the Board and the Company acknowledge being responsible for the
truthfulness, accuracy, and completeness of the announcement. Not any false record, misleading
statement or significant omission carried in this announcement.
     The 2012 equity distribution plan of Fangda Group Co., Ltd. has been approved at the 2012
Shareholders’ Meeting convened on April 18, 2013. This announcement is released to disclose
details of the plan.
     1. Equity distribution plan
      The Company will distribute a cash dividend of RMB0.3 for each ten shares to
all shareholders on the basis of the 756,909,905 shares of the Company. The dividend
is pretax. After the tax is deducted, A-share QFII, RQFII, individuals and securities
investment funds holding non-tradable shares issued for share reform and IPO will
receive a dividend of RMB0.27 for each ten shares. Individuals and securities
investment funds holding other non-tradable shares and tradable shares need to pay
the tax differently according to the shareholding length. The dividend will be
RMB0.285 for each ten shares preliminarily. The tax will be paid after the date of
record according to actual shareholding of investors and shareholding length The
Company will not withhold the income tax for other non-resident enterprises other
than QFII and RQFII. Tax payers should pay the tax at places where the income is
generated. The dividend for B-share non-resident enterprises is RMB0.27 for each ten
shares. The dividend for domestic individual investors will be RMB0.285 for each ten
shares preliminarily. The tax will be paid after the date of record according to actual
shareholding of investors and shareholding length.
     [Note: According to the FIFO principle, the shareholding length is calculated based on each
investor’s securities account. A tax of RMB0.045 will be paid for each ten shares held for less
than 1 month (inclusive). A tax of RMB0.015 will be paid for each ten shares with a shareholding
length of between 1 month and 1 year (inclusive). No tax will be paid for shares held for over 1
year.]
     Special Note: As the Company is a Sino-foreign joint venture, foreign individual
shareholders are temporarily exempted from the dividend income tax.
     According to regulations, cash dividends for B-share holders will be converted into HK
dollar based on the middle exchange rate between Renminbi and HK dollar announced by the
People's Bank of China on April 19, 2013 (HK dollar : Renminbi = 1: 0.8037).
     2. Date of record and ex-dividend
  The A-share date of record and ex-dividend is June 7, 2013 and June 13, 2013 respectively.
   The last trading day for B-shares is June 7, 2013 and the date of record and ex-dividend is
June 17, 2013 and June 13, 2013 respectively.
     3. Equity distribution target
     Targets of the distribution include: all A-share holders of the Company registered by
Shenzhen branch of China Securities Depositary and Clearing Corporation Limited (hereinafter
“China Clearing Shenzhen Branch”) by the close of the afternoon trading at the Shenzhen Stock
Exchange on June 7, 2013; and all B-share holders of the Company registered by China Clearing
Shenzhen Branch by the close of the afternoon trading at the Shenzhen Stock Exchange on June
17, 2013.
     4. Equity distribution method
     The Company authorizes China Clearing Shenzhen Branch to distribute the cash dividend for
A-share holders. The dividend will be paid on June 13, 2013 through securities companies (or
other organizations) into shareholders’ accounts directly.
     Cash dividend for B-share holders will be paid on June 17, 2013 through securities
companies or banks into shareholders’ accounts directly. If a B-share holder changes the securities
company or bank on June 17, 2013, the cash dividend will be paid through the original securities
company or bank.
     5. Miscellaneous
     In case that a dividend income tax is levied on the dividend of a B-share holder who is not a
domestic individual shareholder nor non-resident enterprise, the B-share holder should contact
with the Company before June 30, 2013 (inclusive) and provide related materials. After
confirmation, the Company will refund the tax paid.
     6. Consultant
     Address: Fangda Town, Xili Longjing, Nanshan District, Shenzhen
     Contact: Zhou Zhigang and Guo Lingchen
     Tel.: (0755)26788571-6622
     Fax: (0755)26788353
     The above is for the attention of the shareholders.
China Fangda Group Co., Ltd.
      Board of Directors
       June 1, 2013