Thanks to our established Taikoo Hui and Taikoo Li Our success story in the Chinese Mainland has rested in brands, our rate of growth in the Chinese Mainland has large part on the trust we have built up with our local been exciting, with six projects now in operation and government partners and the communities in which we our seventh mixed-use development, Taikoo Li Xi’an, operate. Swire Properties’ brand continues to grow in the announced earlier this year. We have allocated 50% of region, as we demonstrate a strong track record of our HK$100 billion investment fund to investment in the delivering exceptional projects and transforming places Chinese Mainland over the next 10 years. which are a source of local pride in their home cities. We are very excited to be bringing a Taikoo Li development to the ancient city of Xi’an. This marks Conclusion our first investment in the city, and the large-scale project is in a very rare location adjacent to a UNESCO Despite the continued challenges posed by COVID-19, World Heritage Site. Securing this investment speaks we are bullish about our outlook over the medium to volumes for the trust we have built up in the Chinese long-term. Inevitably COVID-19 will continue to affect Mainland in a very short time, and local respect for the our business, but this is a short-term issue which we are Swire Properties brand. well able to withstand, thanks to a healthy balance sheet and strong fundamentals. Looking at the broader region, a key focus for our future investment is the Greater Bay Area, given its As we look to the future, we will continue to use our rapid pace of growth and its strategic importance to HK$100 billion investment fund to reinforce our core Hong Kong. Last year, we announced our plans to assets and pursue new investment opportunities. It develop a potential commercial project in the Julong remains our goal to deliver mid-single-digit annual Bay Area of Guangzhou, in a stunning natural location dividend growth. on the riverfront. More recently, we announced a new, luxury (third party owned) hotel in Shenzhen Bay which This is an exciting time for our business, and I would like will be managed by Swire Hotels. This will be our fifth to thank our shareholders, tenants, business partners and House under the award-winning House Collective brand. the communities in which we operate for your ongoing support. Most of all, I wish to thank the team at Swire Last year, we formed a joint venture with Shanghai Properties for their passion and commitment to our long- Jing’an Real Estate group, the owner of Zhangyuan, term vision and growth. The Company’s five decades of to revitalise the historic shikumen compound in success are a testament to their creativity and hard work. Shanghai, which is close to HKRI Taikoo Hui. Despite the resurgence of COVID-19 in Shanghai, we have been actively pushing ahead with the project, and we target to launch the first phase of Zhangyuan in the fourth quarter of 2022. In Beijing, we are making headway on INDIGO Phase Two, which is part of our masterplan to transform INDIGO into one of the best Guy Bradley performing office locations in the capital. Chairman Hong Kong, 11th August 2022 11