Bank of Communications : ANNOUNCEMENT ON DISTRIBUTION OF DIVIDENDS FOR DOMESTIC PREFERENCE SHARES

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Bank of Communications Co., Ltd.

(A joint stock company incorporated in the People's Republic of China with limited liability)

(Stock Code: 03328)

ANNOUNCEMENT ON DISTRIBUTION OF

DIVIDENDS FOR DOMESTIC PREFERENCE SHARES

1. THE MEETING OF THE BOARD OF DIRECTORS CONSIDERING AND APPROVING DISTRIBUTION OF DIVIDENDS FOR DOMESTIC PREFERENCE SHARES
   Reference is made to the announcement of Bank of Communications Co., Ltd. (the "Bank") dated 13 September 2016. The Bank issued RMB45,000,000,000 Non-Cumulative Perpetual Domestic Preference Shares at dividend rate adjusted at different intervals (the "Domestic Preference Shares" or "BOCOM PREF1") on 13 September 2016. According to the terms and conditions of the Domestic Preference Shares, the Bank proposes to distribute dividends for the Domestic Preference Shares on 7 September 2020. The dividend distribution plan of Domestic Preference Shares was considered and approved at the meeting of the board of directors of the Bank held on 27 March 2020.

1. THE DIVIDEND DISTRIBUTION PLAN OF DOMESTIC PREFERENCE SHARES
2. 1. Amount to be paid: Cash dividend payable to each preference share shall be RMB3.90 (tax inclusive), calculated at a dividend coupon rate of 3.90% for BOCOM PREF1, and the Bank will distribute cash dividends of RMB1,755,000,000 in total (tax inclusive).
   2. Recipients: All holders of BOCOM PREF1 whose names appear on the register of members of the Bank, as maintained by China Securities Depository and Clearing Corporation Limited, Shanghai Branch, after the close of trading hours of the Shanghai Stock Exchange on 4 September 2020.
   3. Tax withholding: The Bank will pay a cash dividend of RMB3.90 (before tax) per preference share. Subject to the relevant PRC tax law and regulations:

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1. 1. holders of BOCOM PREF1 who are domestic resident enterprises (including institutional investors) as stipulated in the Enterprise Income Tax Law of the People's Republic of China shall file their respective tax return in respect of dividend income and pay dividend income tax (if applicable) by themselves, and the Bank will pay a cash dividend of RMB3.90 per preference share to these holders.
   2. other holders of BOCOM PREF1 shall pay dividend income tax in accordance with relevant regulations.
2. DATES FOR THE IMPLEMENTATION
3. 1. Last trading date: 3 September 2020 (Thursday)
   2. Share record date: 4 September 2020 (Friday)
   3. Ex-dividenddate: 4 September 2020 (Friday)
   4. Dividend payment date: 7 September 2020 (Monday)

IV. MEASURES FOR THE IMPLEMENTATION

The Bank will distribute cash dividends to holders of BOCOM PREF1 of the Bank by itself directly.

1. CONTACT INFORMATION
   Contact department: Board Office of the Bank
   Tel: [phone]
   Fax: [phone]
   Email: [e-mail]

By order of the Board of

Bank of Communications Co., Ltd.

Gu Sheng

Company Secretary

Shanghai, the PRC

28 August 2020

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As at the date of this announcement, the directors of the Bank are Mr. Ren Deqi, Mr. Liu Jun, Mr. He Zhaobin*, Mr. Song Guobin*, Mr. Li Longcheng*, Mr. Chan Siu Chung*, Mr. Song Hongjun*, Mr. Chen Junkui*, Mr. Liu Haoyang*, Mr. Liu Li#, Mr. Yeung Chi Wai, Jason#, Mr. Woo Chin Wan, Raymond#, Mr. Cai Haoyi#, Mr. Shi Lei# and Mr. Zhang Xiangdong#.

• Non-executivedirectors

• Independent non-executive directors

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