Gemdale : Announcement on theAccumulated New Borrowings in 2017

Stock Code: 600383 Stock Abbreviation: GEMDALE CORPORATION Announcement No.: 2017-029 Bond Code: 122488 Bond Abbreviation:15 Gemdale 01; Bond Code: 136325 Bond Abbreviation: 16 Gemdale 01

Bond Code: 136326 Bond Abbreviation: 16 Gemdale 02: Bond Code: 143175 Bond Abbreviation: 17 Gemdale 01

Bond Code: 143176 Bond Abbreviation: 17 Gemdale 02

GEMDALE CORPORATION THE SCIENCE OF

ANNOUNCEMENT ON THE ACCUMULATED NEW BORROWINGS IN 2017

The Board of Directors of the Company and all its directors hereby warrant that there are no false representations, misleading statements or material omission in this announcement, and they individually and collectively accept full responsibility for the truthfulness, accuracy and completeness of the contents contained herein.

Pursuant to the relevant requirements in the Administrative Measures for the Issuance and Trading of Corporate Bonds, the Rules of the Shanghai Stock Exchange on the Listing of Corporate Bonds (Revised in 2015) and the Guidelines for the Formats of Information Disclosure for Interim Reports on Corporate Bonds, Gemdale Corporation (the "Company") hereby discloses the accumulated new borrowings of the Company as follows:

I. Overview of Major Financials

As at 31 December 2016, the balance of borrowings of the Company amounted to RMB36,647 million. From January to July 2017, the Company had accumulated new borrowings of RMB12,134 million, representing 22.85% of the audited net assets of RMB53,104 million as at the end of 2016.

III. Classification Disclosure of New Borrowings

As at the end of July 2017, the movement of the balance of various borrowings of the Company as compared with that as at the end of 2016 and its proportion to the net assets of the Company as at the end of 2016 are as follows:

1. Bank Loans

   From January to July 2017, the Company had accumulated new bank loans of RMB5,794 million, representing 10.91% of the net assets as at the end of 2016.

2. Corporate Bonds, Medium-Term Notes and Offshore Bonds

From January to July 2017, the Company had accumulated new corporate bonds, medium-term notes and offshore USD denominated bonds totalling RMB6,340 million, representing 11.94% of the net assets as at the end of 2016.

III. Analysis of the Impacts of New Borrowings on Solvency

The increase in the above borrowings was mainly due to the increase in the

issuance of debt financial instruments and normal withdrawal of bank credit facilities, which were carried out in the ordinary course of business of the Company. As at the date of this announcement, operations of various business segments of the Company were normal. The above new borrowings had no material adverse effects on the solvency of the Company. Investors are reminded that the above financials (other than the net assets as at the end of 2016) are unaudited.

GEMDALE CORPORATION

5 August 2017