Minutes of News Conference of Evergrande Real Estate Group on the Sales Performance of November 2010

Time: December 8, 2010
Place: 5/F, Phase I, Tai Koo Hui Plaza, Hong Kong

Host: Good afternoon, dear friends from the press circle. First of all, welcome to attend the news conference of Evergrande Real Estate Group on the sales performance of November 2010. Now let me introduce to you the representatives of the Company s management:
Mr. Xia Haijun, Vice Chairman of the Board of Directors and President
Mr. Xie Huihua, Executive Director and Chief Financial Officer (CFO)
Mr. Lai Lixin, Executive Director and Vice President

Lai Lixin: Thank you everybody. Now let me briefly introduce the property sales in November 2010 of Evergrande Real Estate Group Co., Ltd.
In November 2010, the Group achieved the contracted sales amount of 6.56 billion yuan, with an increase of 145.9% compared with 2.67 billion yuan, the amount of the same period in 2009, refreshing again the highest sales amount in a single month since this year;
Although the government unceasingly regulates and controls the market this year, we still have the ability to regulate and control risks to successively hit new highs of the sales amount of the Company this year, thus winning ideal return for shareholders.
Till the end of November, the number of projects on sale of the Company had reached 56, which are distributed in 27 cities in China. In November, we newly launched four projects to the market. The total sales amount of projects newly launched to the market in the whole month was 1.1 billion yuan, which is an excellent market performance, indicating that we have effectively developed the market in second- and third-tier cities and avoided the risk of macroscopic regulation and control in China, so that we can be in a status of stable growth in the macroscopic regulation and control of the country.
From January to November 2010, the Group had accumulatively achieved the contracted sales amount of 47.72 billion yuan, with an increase of 81.7% compared with 26.27 billion yuan of the same period in 2009 and the contracted sales area of 7.563 million square meters, with an increase of 51.8% compared with 4.983 million square meters of the same period in 2009.

Host: Thank you, President Lai. Next, it is the Q&A time.
Southern Metropolis Daily: Evergrande has achieved 119.3% of the sales target this year. Will Evergrande suspend launching new projects to the market in December?
Xia Haijun: As you have known in the previous news conferences on the Group s performance, the Company has regarded third-tier cities as the new profit growth points and strategic cities in 2010. Some new projects have contributed to the sales amount of the Company this year. I believe that there will still be a large number of new projects in the future to be successively launched to the market in third-tier cities this year and next year. I believe that the strategic policy of development in third-tier cities is an important measure for the Company to keep the high-speed growth and bring rich return to shareholders. The performance produced by this strategic policy will also be seen in the coming two to three years.

HKCR: There is a plot of commercial land which becomes the new prime lot in Beijing. Do you think it will exert influence on the real estate market? Do you worry that the central government will continue to introduce new policies on microscopic regulation and control?
Xia Haijun: The media have been paying close attention to this question. What is the actual result of the country s policies on microscopic regulation and control since this year? According to our judgment on the market, the result of the policies is good. The trend of increasing prices of real estate at the beginning of the year has been effectively controlled all year round. At present, the market is stable and balanced. This is the first phenomenon indicating that the policies on regulation and control do work.
Secondly, the policies further strengthen the concentration ratio of the market. That is to say, the concentration ration of large enterprises in the market will be further strengthened, but small enterprises may face difficulties. This is the development status of the real estate industry in China. On the whole, the microscopic regulation and control of the country has functioned to some extent.

Guangzhou Daily: According to the latest news, the sales amount of Vanke has exceeded 100 billion yuan. It is hopeful that Evergrande s year-round sales amount could exceed 50 billion yuan. When the annual sales amount of Evergrande can catch up with and surpass that of Vanke?
Xia Haijun: First of all, I d like to congratulate Vanke on becoming the first enterprise of which the annual sales amount exceeds 100 billion yuan in China. It is after all a historical event in the real estate industry of China. Vanke has a history of several decades. Established in 1996, Evergrande has a history of only 14 years. I think that there will be no suspense that Evergrande s sales amount this year can reach 50 billion yuan. The difference is only 2 billion yuan. There is no problem for Evergrande s sales amount to exceed 50 billion yuan. It can be regarded as a historical increase. Evergrande was listed in Hong Kong in 2009. The platform of international capital market and the country s policy on microscopic regulation and control in these two years has brought unprecedented historic opportunity to Evergrande.

www.guandian.cn: The number of projects to be launched to the market next year by Evergrande is not small. Funding is needed for numerous projects. How does Evergrande consider about the finance next year?
Xia Haijun: The quantities of construction work to be started next year will increase and the sales amount will also increase. Everybody may see that the sales amount this year will reach 50 billion yuan. In case the sales amount next year continues to substantially increase, along with the increase of the sales amount, the Company s financial status may be better and the cash balance may be larger. When the annual report is announced at the end of this year, everybody can see the smart financial report. Besides the area of land reserve and the number of projects of which the construction is started, the cash balance will increase to a large extent.

Ming Pao: My first question is: The number of projects on sale in this year is 56. What s the number of projects under construction?
Xia Haijun: The number of projects under construction is 73.
Ming Pao: Next year, the central government will launch the indemnificatory housing. Will Evergrande consider participating in the construction of the indemnificatory housing to maintain the high-speed development?
Xia Haijun: We have not had any plan yet to participate in the construction of indemnificatory housing at present, which is the measure for solving the housing problem of people of the medium and low hierarchy by the central government. Nevertheless, if the local government requires, Evergrande will be willing to participate in the construction of indemnificatory housing so as to make contribution for solving the housing problem of the common people in China.