Net Profit Increased 111% Year on Year

(Hong Kong, 25 August 2011) Fosun International Limited (“Fosun” or the “Company”, together with subsidiaries, the “Group”,HKEx stock code: 00656) today announces its interim results for the six months ended 30 June 2011 (the “Reporting Period”). During the Reporting Period, the Group’s revenue grew 23.6% year on year to RMB25.55 billion while profit attributable to owners of the parent surged 110.9% year on year to RMB3.40 billion.

As at 30 June 2011, net portfolio value of the Group reached RMB44.3 billion (equivalent to HK$53.3 billion). The Company’s market capitalization, at HK$38.1 billion on the same day, was therefore at a discount of approximately 29% to the net portfolio value. As selected premium investment projects of the Group gradually seek public listings or equity disposals, the Group’s net portfolio value is expected to experience continuous growth in the future.

In 2011, the Group proactively grasped global investment opportunities under the economic transition and actively explored its unique investment model－"connecting China’s growth momentum to global resources”. Subsequent to the establisheddual growth engines model of the Group, namely earnings from the industrial profits and investmentincome, its third value growth engine - asset management business has taken shape and is being actively promoted by the Group. It is expected that the asset management business will not only create steadily growing streams of asset management profits, but also limit the risks while expanding the Group’s operating scale.

With its strong backing in industrial investments, Fosun is capable of assisting enterprises to optimize their development strategies to better capitalize on the “China’s growth momentum” and rapidly expand the shares of its invested and co-operated enterprises in their respective markets, thereby taking them to the next level. As regards the global resources, Fosun has jointly established investment funds with world-class financial institutions, including Fosun–Prudential and Fosun-Carlyle. The Group also explored the investment opportunities in selected world leading enterprises and brands successfully, as it became the major shareholder of the leisure resort hotel chain Club Méditerranée SA (“Club Med”) of France and renowned fashion retail group FolliFollie. Take Club Med as an example, following Fosun’s investment in June last year, Club Med saw strong growth in its business in China, up 56% year on year in the first half of 2011, driving Club Med’s global net profit in the first half of 2011 to surge 233% year on year.

In the future, Fosun will actively pursue investments in international brands through its China platform so as to exploit benefits from China’s high-speed growth and facilitate its invested international brands to achieve rapid development driven by the China’s growth momentum. Fosun’s capabilities in connecting China and global resources, which being identified as a replicable and high growth model, afford a unique and competitive edge over other domestic and international investment groups.

Fosters Fosun’s Sustainable Profit Growth - Growth Engine 1: Industrial Profits Growth

Fosun’s industrial investments are predominantly in a controlling shareholder capacity to enhance efficiency through optimizing management, lowering costs and encourage enterprises that it invests in to actively participate in industry consolidations and to groom themselves into leading players in their respective industries.

Despite the impact from the austerity measures and cyclical fluctuations in the economy on its companies from the four various industries, the Group’s industrial profits achieved a stable and strong compound annual growth of 28% for the past 5 years attributable its appropriate asset allocations and optimized operations.

In the first half of 2011, the strength of the Group’s industrial investments continued to enhance. In the mining and resources segment, gross profit margin of Hainan Mining reached 76%, with nearly 100% of its output sold. In consumption and consumption upgrade segment, Fosun Pharma actively participated in industry chain integration and intensified its acquisition and merger efforts as it developed its pharmaceutical research & development and pharmaceutical manufacturing businesses. It proactively expanded into the high-end medical services industry and invested in pharmaceuticals with high entry barriers. For the properties segment, Fosun has established one holding company to implement its strategies of thematic property development and deepen penetration into selected regions. In the area of upgrading manufacturing operations, as a cost control leader in the industry, Nanjing Iron & Steel has successfully secured and completed its first order of 9% Ni Steel and another order for special pipelines for deep subsea usage.

Currently, the Group is actively pursuing H-share issuance by Fosun Pharma and A-share issue by Hainan Mining. It is expected that the industrial investments will continue to be a highlight of the Group’s businesses and the industrial profits will remain their stable and robust growth in the future.

Fosters Fosun’s Sustainable Profit Growth - Growth Engine 2: Investment Profits (including Strategic Investments and PE Investments)

During the first half of 2011, the Group has been paying close attention to China’s growth momentum and value investments, while focusing on investing those enterprises that are related to consumption upgrade, financial services, resources and energy, as well as manufacturing upgrade industries. During the Reporting Period, the Group has invested in 49 projects that value RMB13.47 billion in aggregate. Meanwhile, through successful exits, the Group also realized an investment cash inflow of RMB972 million.

During the Reporting Period, the Group newly invested in 12 pre-IPO projects that value RMB1.04 billion in aggregate. As at 30 June 2011, the Group owns 27 unlisted pre-IPO projects at investment costs aggregating RMB2.74 billion.The Group achieved an outstanding performance in pursing listings of its investments. From the beginning of the year until July, Fosun accomplished successful listings of 6 pre-IPO projects and secured a listing approval for 1 project. Compare to investment cost, average value of these projects jumped 5.14 times. In the future, Fosun will continue to capitalize on the rapid development trend in the capital market in China while actively pursuing listings of enterprises it invested in to bring sustainable and stable investment earnings to the Group.

Fosters Fosun’s Sustainable Profit Growth - Growth Engine 3: Profit from Asset Management under Establishing

With the rapid growth of China’s economy, the middle-class and high-net-worth population is growing rapidly while the asset management industry is exhibiting rapid growth and an increasing emphasis on branding and diversification. In the long term, Fosun is optimistic about this blue sea with huge potential and will proactively expand its asset management business.

During the first half of 2011, Fosun established a private equity fund with the renowned global financial group Prudential Financial Inc (“PFI”). According to the agreement, PFI, as a limited partner (LP) invested US$500 million in the fund, while Fosun, as a general partner (GP) invested no less than US$100 million. At present, a professional team for Fosun-Prudential Fund has been established and has completed their first investment transaction. Meanwhile, Fosun-Carlyle Fund has been put on the list of the first of batch candidates for QFLP (Qualified Foreign Limited Partner).

As far as the domestic asset management platform was concerned, the funds newly established by Fosun Capital and Star Capital completed their first round fundraising for RMB5.205 billion; of which Fosun Capital completed its investments in 3 projects during the Reporting Period.

In a nutshell, during the first half of 2011, Fosun achieved approximately RMB10 billion in value of assets under management, up significantly from that of last year via a number of its asset management platforms. Through the asset management business, Fosun is able to create steadily growing streams of asset management profits.

Social Responsibilities

Fosun actively pursues fulfillment of its social responsibilities as it benefits from the growth in the economy. For instance, In March this year, the Group donated RMB5 million through Red Cross China to the frontline rescue workers at the nuclear-crisis-stricken area in Fukushima and their family members.

Meanwhile, Fosun has been committed to establish a healthy business ecosystem and promote cultural exchange and development. During the first half of 2011, Fosun received a number of awards, which illustrated recognitions from all walks of the society. The Group was ranked fifth on the “China’s Private Enterprise Wealth List” in the “2010 China Corporate Social Responsibility Award” organized by “Southern Weekend”, as well as the fifth on the sub-list of “2010 China (Mainland) Private Enterprise Economic Responsibility”.

Mr. Guo Guangchang, Chairman of Fosun, said: “Looking ahead, Fosun will continue to develop its three core competences, grasp domestic and international investment opportunities which are benefiting from China’s growth momentum, as well as assist its major industrial subsidiaries and optimize their operations. Through ongoing efforts in building its multi-channel fundraising system and portfolio allocation optimization, Fosun strives to accelerate development of its asset management business under the guidance of our entrepreneur team, thus to create greater value for our shareholders.”