Welcome to Hysan Development 2007 Annual Results – Press Conference

1. Welcome to Hysan Development 2007 Annual Results – Press Conference 歡迎蒞臨 希慎興業2007年全年業績 - 新聞發布會

2. 2007 Annual Results Highlights 2007年全年業績摘要 • Recurring Underlying Profit up 25.8% 經常性基本溢利上升25.8% • Group turnover up 7.9 %; like-for-like turnover up 18.8 % 集團營業額上升7.9%；以相同基準計算之營業額增長18.8% • Strong growth in office rentals recorded寫字樓業務租金錄得強勁增幅 • Well-positioned to capitalise on Grade “A” office decentralisation 把握甲級寫字樓租戶自中央商業區外移之機遇 2

3. 2007 Annual Results Highlights (cont’d)2007年全年業績摘要 (續) 20072006Changes變動 HK$’M HK$’M HK$’M %百萬港元 百萬港元 百萬港元______ Recurring Underlying Profit 經常性基本溢利 950 755 195 25.8% Prior year tax provision往年度稅項撥備 (58) -- (58) -- 892 755 137 18.1% 255 170 85 50.0% 11 -- 11 -- -- 87 (87) -- Asset value changes資產值變動:- Net realised gain on disposal of listed securities 出售上市公司證券已確認之淨收益- Reversal of impairment loss of an associate 回撥一聯營公司之減值虧損- Recovery of a loan to an associate 收回一聯營公司貸款 Underlying Profit 基本溢利 1,158 1,012 146 14.4% - Unrealised fair value changes on investment properties net of deferred tax投資物業未變現的公平值變動減遞延稅項 2,791 2,087 704 33.7% Statutory Profit 法定溢利 3,949 3,099 850 27.4% 3

4. 2007 Annual Results Highlights (cont’d)2007年全年業績摘要 (續) 4

5. 2007 Performance: Revenue by Sector2007年表現: 按業務劃分之收入 Others 其他3% (HK$34M) Residential 住宅19% (HK$262M) Office 寫字樓41% (HK$567M) Retail 商舖37% (HK$505M) 5

6. 2007 Performance: Office Sector 2007年表現: 寫字樓業務 • Substantial rises in rental rates for lease renewals and new leases 續租租約及新租約的租金明顯上升 • Underlying trend reflected in 23.3% like-for-like office revenue growth (overall revenue increased by 11.4%） 以相同基準計算之寫字樓收入增長23.3%，反映租金走勢（整體收入增加 11.4%） • Occupancy at 97% 出租率達 97% 6

7. 2007 Performance: Retail Sector 2007年表現: 商舖業務 • Favourable employment conditions, and strong financial market performance led to more consumption and increase in retail sector rentals良好的就業情況及強勁的金融市場表現令消費暢旺，進一步刺激商舖租金上升 • Underlying trend reflected in 17.7% like-for-like retail revenue increase(overall revenue increased by 2.9%) 以相同基準計算之商舖收入增加17.7%，反映租金走勢 (整體收入增加2.9%) • Occupancy at 98%出租率達 98% 7

8. 2007 Performance: Residential Sector 2007年表現: 住宅業務 • Healthy increases in luxury residential property rentals on renewals 豪宅物業租約續租時，租金錄得穩健增幅 • Residential rental income increased by 12.9% 住宅租金收入上升12.9% • Occupancy at90% 出租率達 90% 8

9. Debt Maturity Profile 債務還款期限 ( As at 31 Dec 2007 ) (於2007年12月31日) Average maturity was 4.0 years (平均債務期限為4.0年) As at 31 Dec 06 (於2006年12月31日) As at 31 Dec 07 (於2007年12月31日) 1 - 2 Years一至二年 2 - 5 Years二至五年 > 5 Years五年後 9

10. Debt Levels and Average Borrowing Costs 借貸水平及平均借貸成本 HK$’M 百萬港元 10 As at 31 December截至12月31日

11. Strong Balance Sheet: Overall Position 鞏固的財政狀況: 整體狀況 • Ratio of fixed to floating debt 定息與浮息債務比率 39.9%: 60.1% (31 December 2006: 35.3%: 64.7%) • Net debt to equity 淨債務與股東權益比率6.8% (31 December 2006: 7.9%) • Net interest coverage 淨利息償付率 7.8 times (31 December 2006: 6.9 times) • Credit ratings remain unchanged 信貸評級維持不變- Moody’s (穆迪): Baa1 - Standard and Poor’s (標準普爾): BBB 11

12. 2008 Outlook 展望 • We are cautiously optimistic about the year ahead. 我們對來年的展望持審慎樂觀的態度。 • Hong Kong’s economic fundamentals remainsound, underpinned by solid domestic demand and employment conditions. 在穩健的本地需求及就業前景狀況帶動下，香港經濟的基調依然良好。 • Challenges, however, include the risk of further slowdown in the U.S. economy and in Europe. 然而，面臨的挑戰包括美國及歐洲經濟會有進一步放緩的危機。 • Significant price differential for Grade A offices between central business districts and other core areas, together with limited new supply in such districts, should continue to benefit our property investment portfolio situated in the prime Causeway Bay district.中央商業區相對其他核心地區的甲級寫字樓租金有明顯分別，而上述地區的新供應量有限，將繼續有利於我們位處最優越地區銅鑼灣的物業投資組合。 12