Sinotrans Shipping : ANNOUNCEMENT OF THE INTERIM RESULTS FOR THE SIX MONTHS ENDED 30 JUNE 2016

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(Incorporated in Hong Kong with limited liability)

(Stock Code: 368) ANNOUNCEMENT OF THE INTERIM RESULTS FOR THE SIX MONTHS ENDED 30 JUNE 2016

The board of directors (the "Board") of Sinotrans Shipping Limited (the "Company") hereby announces the unaudited interim results of the Company and its subsidiaries (collectively the "Group") for the six months ended 30 June 2016 as follows:

FINANCIAL HIGHLIGHTS Six months ended 30 June 2016 2015

US$'000 US$'000

Results

Revenues 385,804 485,125

Loss attributable to owners of the Company (40,230) (18,277) Basic and diluted loss per share US(1.01) cents US(0.46) cents Dividend - -

As at 30 June 2016

As at 31 December

2015

US$'000 US$'000

Financial Position

Total assets 2,281,512 2,353,225

Total liabilities 273,815 296,231

Equity attributable to owners of the Company 1,990,564 2,035,380

Available fund(1) 581,755 655,003

Interest bearing liabilities 74,786 78,617

Interest bearing debt ratio(2) 3.3% 3.3%

(1) Include bank deposit, cash and bank balances and debt securities.

(2) Interest bearing liabilities divided by total assets.

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

FOR THE SIX MONTHS ENDED 30 JUNE 2016

Unaudited Six months ended 30 June

Note	2016 US$'000	2015 US$'000
Revenues	2	385,804	485,125
Cost of operations	(413,705)	(505,140)
Gross loss	(27,901)	(20,015)
Selling, administrative and general expenses	(16,164)	(16,081)
Other (losses)/gains, net	3	(2,314)	5,190
Operating loss	(46,379)	(30,906)
Finance income	5,090	10,144
Finance expenses	(3,156)	(3,317)
Share of profits of joint ventures	98	252
Loss before income tax	(44,347)	(23,827)
Income tax credit/(expense)	4	93	(199)
Loss for the period	(44,254)	(24,026)
Loss attributable to: - Owners of the Company	(40,230)	(18,277)
- Non-controlling interests	(4,024)	(5,749)
(44,254)	(24,026)

Other comprehensive loss for the period

Items that may be reclassified to profit or loss:

Currency translation differences (5,043) (65) Fair value changes of available-for-sale

financial assets	-	(4)
Total comprehensive loss for the period	(49,297)	(24,095)
Total comprehensive loss for the period attributable to:
- Owners of the Company	(44,816)	(18,374)
- Non-controlling interests	(4,481)	(5,721)
(49,297)	(24,095)
Loss per share attributable to
owners of the Company
- Basic and diluted	5	US(1.01) cents US(0.46) cents
Dividend	6	- -

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEET

AS AT 30 JUNE 2016

Note	Unaudited As at 30 June 2016 US$'000	Audited As at 31 December 2015 US$'000
ASSETS Non-current assets Property, plant and equipment	1,264,220	1,291,976
Intangible asset	1,983	1,349
Investments in joint ventures	77,105	60,769
Loans to joint ventures	4,667	5,333
Loans to related companies	7	15,550	16,069
Bank deposit	-	121,714
Available-for-sale financial assets	3,783	3,863
Deferred income tax assets	484	339
1,367,792	1,501,412
Current assets Inventories	14,601	16,240
Loans to joint ventures	1,333	1,333
Trade and other receivables	7	315,858	300,778
Available-for-sale financial assets Cash and bank balances - Cash and cash equivalents	15,711 209,621	25,074 154,978
- Short-term bank deposits	356,483	353,302
- Restricted cash	113	108
913,720	851,813
Total assets	2,281,512	2,353,225

UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEET (CONTINUED)

AS AT 30 JUNE 2016

Note	Unaudited As at 30 June 2016 US$'000	Audited As at 31 December 2015 US$'000
EQUITY Equity attributable to owners of the Company Share capital	1,878,209	1,878,209
Other reserves	112,355	157,171
1,990,564	2,035,380
Non-controlling interests	17,133	21,614
Total equity	2,007,697	2,056,994
LIABILITIES Non-current liability Borrowings	66,885	70,833
66,885	70,833
Current liabilities Trade and other payables	8	195,290	213,748
Provision for other liabilities	2,962	3,176
Taxation payable	777	690
Borrowings	7,901	7,784
206,930	225,398
Total liabilities	273,815	296,231
Total equity and liabilities	2,281,512	2,353,225