Beijing Capital International Airport Company Limited announces that on 3 November 2023, the Company entered into the BACT Premises Leasing Agreement with BACT, pursuant to which the Company (as lessor) agreed to lease certain office and storage premises of Terminal 2 and Terminal 3 of Beijing Capital Airport to BACT (as lessee) for a term of two years, commencing from 1 January 2024 to 31 December 2025. Pursuant to the BACT Premises Leasing Agreement, the Company shall lease certain office and storage premises of Terminal 2 and Terminal 3 of Beijing Capital Airport to BACT, with the specific location, area and the scope of use of premises being set out in the BACT Premises Leasing Agreement. The Company shall, at the same time, provide the necessary appertaining passageways, stairs and facilities to BACT.

The BACT Premises Leasing Agreement is for a term of two years, commencing from 1 January 2024 to 31 December 2025. BACT shall pay leasing fee and energy usage fee to the Company in relation to the lease of terminal premises in accordance with the terms of the BACT Premises Leasing Agreement. The leasing fee comprises (i) the rental for premises and (ii) the comprehensive management fees.

The rental for premises includes, among other things, the land usage fee, the apportionment of depreciation of the premises, the regular maintenance fee of the premises and the maintenance fee of the public area. The unit prices of rental for the premises are set out in the BACT Premises Leasing Agreement, which are determined after arm's length negotiations in accordance with the finance management regulations of the Company and are not less favourable than the level of rental charged by the Company to independent third parties for similar premises. The comprehensive management fees refer to the fees for the provision of basic service and facilities to BACT, including fees relating to hygiene, environmental protection, greening, security, insurance and fire control, which includes fees for lavatories, handling of passageway waste, cleaning of public area, and interior security.

In line with the Company's arrangements with its tenants (including independent third parties of the Company) at the terminal premises of Beijing Capital Airport, energy usage fee for the consumption of electricity and other energy of the leased premises will be collected by the Company from BACT and remitted to the relevant energy supplier. The leasing fee of terminal premises shall be paid by BACT on a half-yearly basis by bank transfer to the Company, on or before 10 January and 10 July of each year. The energy usage fee shall be transferred on a monthly basis by cheque or remittance to the designated bank account of the Company.