QUARTERLY CONSTRUCTION COST REVIEW

HONG KONG First Quarter 2011

Davis Langdon & Seahs Reputation Recognised as one of the worlds leading multidisciplinary construction and property consultancies, we focus on clients needs when investing in property and construction.

Content
1. Focus on The New Competition Bill in Hong Kong 2. Approximate Building Costs in Hong Kong 3. General Trend of Building Works Tender Prices in Hong Kong 4. Labour Index & Average Daily Wage of Workers Engaged in Public Sector Construction Projects 5. Materials Indices & Average Material Prices 6. Usable Floor Areas Completed / With Consent to Commence 7. Gross Value of Construction Work Performed 8. Approximate Building Costs for Major Cities in Asia

Statistical data are compiled from sources deemed reliable but accuracy is not guaranteed. All rights reserved. Reproduction of this data, in whole or in part, is permitted providing the source is quoted.

1 Focus on The New Competition Bill in Hong Kong

In July 2010, the first reading of the controversial Competition Bill took place in Legco. Competition laws, similar to minimum wage laws, reflect the maturity of a society and few will dispute its intention of ensuring fair competition and protection of consumers. However, the Competition Bill, as it presently stands, does raise a number of concerns which cannot be simply brushed aside to be handled after enactment. Following UKs experience (the UK Competition Act was enacted in 1998), the construction industry was one of the first to be affected after the Law came into force. This makes prior clarification of details even more important to us in the Hong Kong construction industry. To ensure compliance, a Competition Commission is to be established to investigate potential infringements of the two rules. Furthermore, a Competition Tribunal will be set up to review decisions made by the Commission and to impose financial penalties for any breach.

It is said that the devil is in the detail. If the details are not properly sorted out in the first place, the best of intentions can also cause considerable harm to those it is supposed to protect. Given the numerous problems raised by the Minimum Wages Law that was implemented on 1st May 2011, it is essential that this time, the Government should not try to push through a Bill in such a broad-brush manner again. Grey areas in the proposed Competition Bill must be reviewed and clarified before becoming law.

Obvious ambiguities pending clarification include the following :1) Anti-competition law is an entirely new area of law in Hong Kong and many will not be familiar with what actions would be considered as an infringement. The Bill is vague on what actions would contravene the First Conduct Rule. For example, would discussion of the perceived risks in a tender during a social lunch with industry counterparts be considered anti-competitive? Would proclaiming that one does not intend to submit a tender be viewed as a breach? One of the duties of the Commission is to issue guidelines to explain how the rules will be interpreted. As guidelines cannot cover all situations, we would suggest the Commission also has a duty to give advice on specific situations when requested.
QUARTERLY CONSTRUCTION COST REVIEW FIRST QUARTER 2011

The Bill lists two main rules regarding anti-competition : 1) The First Conduct Rule prohibits an agreement, decision or concerted practice that has the object of preventing, restricting or disturbing competition; The Second Conduct Rule controls abuse of market share by companies and enterprises that hold a dominant market position in any industry or sector.

2)

1 Focus on The New Competition Bill in Hong Kong

2) It is not clear whether trade associations (e.g. the HKCA, ACQS, AAP or ACE etc.), professional institutions (e.g. the HKIS, HKIA, HKIE etc.) or even labour unions are governed or exempted. For example, is the annual review of recommended minimum wages by the Steel Fixers Union a contravention? The discussion between trade associations and various Government Departments on terms of appointment or payment would such collective representations be considered anti-competitive actions? The enforcement bodies have extremely wide powers. The Commission may require payment of up to $10m for alleged infringement. Refusal to pay may prompt proceedings being brought by the Commission to the Competition Tribunal. The Tribunal may impose pecuniary penalties higher than $10m - up to 10% of the annual turnover of the contravener. Section 91(4) defines turnover as the gross revenues of an undertaking whether obtained in Hong Kong or outside Hong Kong. Such high penalties would be fatal even to the largest consultancy companies. Many consultancy practices have overseas subsidiary practices or overseas parent companies. Is the turnover limited to the defaulting company only, or does it apply to the whole Group? 4) The draftsman adopted a broad territorial approach for the Bill. Section 8 provides that the Bills territorial application covers agreements or decisions made or to be given effect outside Hong Kong. The legislation will also apply where any party to the agreement is outside Hong Kong. Does this mean that the jurisdiction of Hong Kong will be extended to cases that are outside Hong Kong, involving parties that are not Hong Kong companies?

3)

The Competition Bills main objective is to help small consumers block large companies from teaming together to create an oligopoly. However, any legislation can be a double-edged sword. The Bill, as currently drafted, could potentially be used by large companies to block small companies (such as consultancy practices) teaming together to protect themselves from unreasonable employment terms. The draftsman should look at the Bill from different angles and build in the necessary precautions to prevent the Bill being misused after enactment, and not leave it to the Commission to sort out problems later when it is likely too late.

QUARTERLY CONSTRUCTION COST REVIEW FIRST QUARTER 2011

2 Approximate Building Costs in Hong Kong

Building Type DOMESTIC Public rental housing estates, high rise
Private housing estates, high rise Private luxury apartments, high rise Terraced houses Detached houses

HK$/m2 CFA

Outline Specification 1. Public rental housing based on Hong Kong Housing Authority Non-standard Cruciform Block design 2. Private housing estates with 2 or more towers, 30-50 storeys high, with average unit size not greater than 100m2. Single glazed windows. Tiled or plastered finishes - in general. Average quality built-in furniture and fittings. 3. Private luxury apartments with unit average size greater than 100m2. Provisions generally of high quality. Premium grade stone finishes/fittings. 4. Private housing, apartments and houses equipped with air-conditioning, kitchen cabinets and home appliances, but excluding decorations and loose furniture.

6,780 - 7,790 15,500 - 17,000 18,000 up 20,000 - 22,000 28,000 up

OFFICE / SHOPPING CENTRE

Average standard offices, high rise Prestige offices, high rise Average standard shopping centres Prestige shopping centres

15,000 17,500 20,000 up 15,500 - 19,000 20,000 up

1. Offices based on buildings 20 - 30 storeys high with floor plans minimum 1,000m2 per level. 2. Shopping centres and average standard offices exclude finishes, A/C ducting & light fittings to tenant areas. 3. Prestige offices are fitted with raised floor, suspended ceiling, A/C ducting and light fittings to tenant areas.

INDUSTRIAL Light duty flatted factories, high rise, 7.5kpa (150 lb.) loading
Heavy duty flatted factories &

8,150 - 9,080 8,800 - 10,100

warehouses, high rise, 15kpa (300lb.) loading

1. Flatted factories and industrial-office buildings exclude manufacturing equipment, special services provisions, air-conditioning and electrical distribution system to tenant areas.

Industrial - Office buildings

10,800 - 13,450

HOTEL
3-Star hotels, inclusive of F.F.&E 5-Star hotels, inclusive of F.F.&E

18,800 - 20,850 25,200 up

1. F.F.&E. includes interior decoration and loose furniture etc. but excludes preopening expenses and hotel operation system & equipment costs (e.g. cutlery, crockery, linen, uniform, etc.). 2. Buildings include 1 level of basement.

OTHERS
Carparks, above ground Primary and secondary schools International schools

7,000 - 8,000 10,500 - 11,500 13,150 - 14,700

1. Carparks to be multi-storey, open sided. 2. Primary and secondary schools are allowed with standard government provisions. 3. Schools include external works but exclude F.F.&E.

Notes:

1. 2. 3.

The costs for the respective categories given above are averages based on fixed price competitive tenders. It must be understood that the actual cost of a building will depend upon the design and many other factors and may vary from the figures shown. The costs per square metre are based on Construction Floor Areas (CFA) measured to the outside face of the external walls / external perimeter including lift shafts, stairwells, balconies, plant rooms, water tanks and the like. All buildings are assumed to have no basements (except otherwise stated) and are built on flat ground, with normal soil and site condition. The cost excludes site formation works, external works, land cost, professional fees, finance and legal expenses.

QUARTERLY CONSTRUCTION COST REVIEW FIRST QUARTER 2011

3 General Trend of Building Works Tender Prices in

Hong Kong
(including labour, materials, plant, overheads & profit)

Index 1,600
ASD BWTPI ASD BWTPI (as at the 4th Quarter) DLS TPI DLS TPI (as at the 4th Quarter)

1,400

1,200

1,000

800

600

400

200

0 '70 '74 Year '78 '82 '86 '90 '94 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12

Year Quarter Index

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

ASD TPI (Base = 100, at Year 1970) 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter
Source: Notes:

862 842 807 721 990 960 945 935

687 742 692 733 915 890 875 840

720 723 722 681 855 878 895 895

685 712 704 701 940 952 933 930

711 716 718 697 945 955 963 970

714 730 751 789 970 980 985 990

821 859 906 998 1,020 1,074 1,175 1,150

1,118 1,305 1,401 1,262 1,239 1,360 1,355 1,281

1,074 983 1,111 1,107 1,245 1,242 1,253 1,273

1,134 1,161 1,249 1,266 1,297 1,315 1,342 1,367 1,385

DLS TPI (Base = 100, at Year 1970)

Competitive tenders received by Davis Langdon & Seah Hong Kong and the ASD Building Works Tender Price Index (BWTPI). 1. 2. The index measures the trend of general builders works only. Special works and Mechanical and Electrical Services would have to be considered separately. All indices were published quarterly. For reference purpose, only indices from 1st quarter of 1998 and onwards are given in detail on the above graph, whereas indices for the years 1970 - 1997 are shown with their 4th Quarter figures.

QUARTERLY CONSTRUCTION COST REVIEW FIRST QUARTER 2011

4 Labour Index & Average Daily Wage of Workers

Engaged in Public Sector Construction Projects

Index 160 140 120 100 80

'96 Year

'97

'98

'99

'00

'01

'02

'03

'04

'05

'06

'07

'08

'09

'10

'11

'12

Year Quarter 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Index

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

(Base = 100, at June 1995)

Figures below are quarterly average of the monthly indices

152 152 152 151

150 150 149 148

147 146 146 143

143 140 140 138

137 136 133 132

131 133 134 136

137 135 131 130

129 128 128 129

129 128 129 130

131 131 131 132

Selected Trade General Workers Concretor Bar Bender and Fixer Carpenter (formwork) Plumber Plasterer Painter and Decorator Electrical Fitter (incl. Electrician) Bricklayer Drainlayer Metal Worker Joiner Construction Plant Mechanic Glazier Bamboo Scaffolder Structural Steel Erector Asphalter (road construction) Mechanical Fitter
Source : Note : Census & Statistics Department

Average Daily Wage (HK$) Aug 10 585 934 1,149 983 883 881 830 697 879 853 797 916 765 830 1,089 1,034 672 635 Sep 10 588 926 1,144 983 892 887 830 697 875 862 816 925 769 871 1,079 1,009 695 627 Oct 10 591 927 1,155 986 892 886 814 695 850 864 806 925 771 890 1,109 1,016 693 612 Nov 10 598 935 1,161 994 889 888 830 686 865 872 826 914 792 956 1,090 1,028 706 614 Dec 10 599 926 1,167 997 886 891 813 697 861 876 829 916 797 908 1,072 1,017 705 623 Jan 11 602 929 1,175 1,007 882 890 792 694 865 887 841 909 793 894 1,094 1,029 695 609

The labour indices cover public sector construction projects only and reflect the change in wage cost borne by main contractors of public sector construction projects. Owing to the special arrangements widely adopted in the construction industry, the wage cost data probably also includes elements like service charges and administration overheads borne to ensure that tasks are handled by the workers/ companies with the appropriate skills. Hence, the labour indices may not reflect the wage received by workers in the construction industry.

QUARTERLY CONSTRUCTION COST REVIEW FIRST QUARTER 2011

5 Material Indices & Average Material Prices

Index 400
Portland cement (ordinary) Steel reinforcement GMS pipes Sand Timber formw ork

300

200

100

0 '96 Year
Average Material Price (HK$) Aug 10 6,116 5,877 619
3 2 2

'97

'98

'99

'00

'01

'02

'03

'04

'05

'06

'07

'08

'09

'10

'11

'12

Selected Material Mild Steel Round Bars (6mm-20mm) High Tensile Steel Bars (10mm-40mm) Portland Cement Hardwood Plywood (19mm thick) Concrete Blocks (100mm thick) Aggregates (All grades) Sand Galvanised Mild Steel Angles Homogeneous non-slip floor tiles (200 x 200mm) UPVC Pipes (32mm x 4m long) Clear Sheet Glass (5mm) Emulsion Paint
Source : Census & Statistics Department

Unit t t t m m m t t t m2 No. m
2

Sep 10 6,258 6,030 619 3,760 66 61 46 72 11,159 146 46 132 39

Oct 10 6,134 5,858 619 3,763 66 61 49 72 11,173 146 46 132 39

Nov10 6,195 5,906 621 3,763 66 61 53 72 11,471 146 47 134 39

Dec 10 6,408 6,003 621 3,992 66 62 50 72 12,099 146 47 136 39

Jan 11 6,868 6,277 640 4,107 66 65 54 72 12,109 146 47 137 39

3,760 66 61 47 72 11,133 146 46 132 39

litre

QUARTERLY CONSTRUCTION COST REVIEW FIRST QUARTER 2011

Usable Floor Areas Completed / With Consent to Commence

'000m2 1,200

1,000

800

600

400

200

0 '96 '97 Year '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11

Area completed Area w ith consent to commence - First submission

Area w ith consent to commence Area w ith consent to commence - Major revision

Period Quarter Usable Floor Area 1st Quarter (Q1) 2nd Quarter (Q2) 3rd Quarter (Q3) 4th Quarter (Q4) First submission Major revision First submission Major revision First submission Major revision First submission Major revision

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

Total usable floor area completed (000m2) 275 351 312 417 318 378 678 586 253 425 454 455 291 194 142 201 376 72 338 69 324 451# 590 356 431 69 187 81 136* 58* 100 53 292 388 259 288 195 88 255 141 165 86 290 257 232 322 333 502 52 168 120 129 317 173 249 191 225 271 126 407 130 129 355 107 301 218 205 94 183 162 370 382 275 124 258 78 144 3 78 38 215 149 250 201 148 92 198 21 263 43 253 58 496 141 299 204 243 48 232 38 288 183 109 58

Total usable floor area with consent to commence (000m2) Q1 Q2 Q3 Q4 493 355 170 370 229 418 368 356

Source : Census and Statistics Department and Buildings Department Notes: 1. 2. 3. As from January, 2003 onwards, statistics by Buildings Department on "Consent to Commence" are published with 2 sub-divisions viz "First Submission" and "Major Revision". The 2 sub-divisions are added together to compare with past data. Figures marked with " * " have been revised as per Hong Kong Monthly Digest of Statistics, June Edition. Figures marked with " # " includes units of the Hunghom Peninsula, which were converted from Private Sector Participation Scheme to private buildings (Total 81,900m2), as per Hong Kong Monthly Digest of Statistics, June Edition.

QUARTERLY

CONSTRUCTION COST REVIEW FIRST QUARTER 2011

7 Gross Value of Construction Work Performed

(HK$Million)
40,000 Private sector sites 35,000 Public sector sites Location other than sites

30,000

25,000

20,000

15,000

10,000

5,000

'91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 Year
Quarter Value Performed (HK$ Million) 2001
8,898 9,572 9,836 12,191 40,497 11,619 10,347 9,394 10,433 41,793 8,132 7,798 7,850 7,917 31,697 113,987

2002
9,900 11,143 10,769 10,480 42,292 9,007 8,464 7,191 7,408 32,070 7,981 7,809 7,780 8,068 31,638 106,000

2003
9,259 9,065 8,766 8,097 35,187 7,662 9,061 8,090 7,564 32,377 7,854 7,555 7,970 8,088 31,467 99,031

2004
6,892 6,911 6,840 7,377 28,020 7,569 7,256 6,890 6,818 28,533 8,607 8,744 9,432 9,835 36,618 93,171

2005
6,725 6,421 6,524 6,685 26,355 6,924 5,895 4,951 4,565 22,335 9,579 10,027 11,137 11,417 42,160 90,850

2006
6,051 6,161 6,016 6,627 24,855 4,693 3,998 3,918 4,526 17,135 11,229 12,305 12,368 12,338 48,240 90,230

2007
6,959 7,429 6,582 8,004 28,974 4,293 3,575 3,105 3,530 14,503 10,995 11,979 13,057 13,358 49,389 92,866

2008
8,382 8,122 7,688 9,303 33,495 3,819 3,762 3,653 4,105 15,339 11,883 13,213 12,818 12,851 50,765 99,599

2009
8,600 9,055 8,408 7,543 33,606 3,967 4,652 4,428 5,605 18,652 11,750 12,415 11,969 12,552 48,686 100,944

2010
6,349 9,276 7,360 7,211* 30,196* 6,511 6,937 8,651 8,680* 30,779* 11,926 12,109 12,620 13,310* 49,965* 110,940

A. Private sector sites

1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Year Total : 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Year Total : 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Year Total : Total :
* Provisional Source : Census and Statistics Department

B. Public sector sites

C. Locations other than sites

Annual gross value performed (A + B + C)

QUARTERLY CONSTRUCTION COST REVIEW FIRST QUARTER 2011

8 Approximate Building Costs for Major Cities in Asia

Region Building Type DOMESTIC
Average standard apartments,

USD/m2 CFA

Hong Kong 2,085 2,310 2,690 3,590

Macau

Shanghai

Beijing

Guangzhou/ Shenzhen

Seoul

Tokyo

high rise

1,315 1,877 N/A N/A

630 945 788 1,050

499 705 470 710

487 564 415 579

1,313 1,641 1,641 1,970

2,150 3,000 N/A 2,630

Luxury apartments, high rise Terraced houses Luxury houses

OFFICE / SHOPPING CENTRE

Average standard offices, high rise Prestige offices, high rise Average standard shopping centres Prestige shopping centres

2,085 2,565 2,210 2,565

N/A N/A 1,600 2,500

945 1,260 998 1,310

787 1,120 970 1,140

701 975 747 1,080

1,170 1,334 1,494 2,069

2,590 3,090 2,110 2,220

INDUSTRIAL

Light duty flatted factories, high rise, 7.5kpa (150 lb.) loading Heavy duty flatted factories & warehouses, high rise, 15kpa (300lb.) loading Single storey conventional factory with structural steel roof

1,105

1,185

N/A

N/A

N/A

N/A

1,500

1,210

N/A

N/A

N/A

N/A

N/A

1,980

N/A

N/A

525

529

488

703

1,720

HOTEL

Resort hotels, inclusive of F.F.&E 3-Star hotels, inclusive of F.F.&E 5-Star hotels, inclusive of F.F.&E

N/A 2,540 3,230

N/A 2,540 3,300

1,310 1,050 2,100

N/A 1,039 1,709

N/A 930 1,410

1,574 1,738 2,317

3,380 3,360 4,910

OTHERS

Carparks, above ground Exchange Rate Used: US$1 =

960 HK$7.8

627 MOP7.99

378 RMB6.56

406 RMB6.56

335 RMB6.56

569 KRW1,119

1,630 JPY81.40

Notes:

1. 2. 3. 4. 5.

The costs for the respective categories given above are averages based on fixed price competitive tenders. It must be understood that the actual cost of a building will depend upon the design and many other factors and may vary from the figures shown. The costs per square metre are based on Construction Floor Areas (CFA) measured to the outside face of the external walls / external perimeter including lift shafts, stairwells, balconies, plant rooms, water tanks and the like. All buildings are assumed to have no basements (except otherwise stated) and are built on flat ground, with normal soil and site condition. The cost excludes site formation works, external works, land cost, professional fees, finance and legal expenses. The standard for each category of building vary from country to country and do not necessarily follow those of Hong Kong. Fluctuation in exchange rates may lead to changes in construction costs expressed in U.S. dollars.

QUARTERLY CONSTRUCTION COST REVIEW FIRST QUARTER 2011

8 Approximate Building Costs for Major Cities in Asia

Region Building Type DOMESTIC

USD/m2 CFA

Singapore

Kuala Lumpur 470 1,090 324 978

Bangkok

Jakarta

Brunei

Manila

Average standard apartments, high rise Luxury apartments, high rise Terraced houses Luxury houses

1,645 2,695 1,995 2,345

827 1,159 582 965

575 775 N/A 460

835 1,030 505 720

830 1,045 585 1,145

OFFICE / SHOPPING CENTRE

Average standard offices, high rise Prestige offices, high rise Average standard shopping centres Prestige shopping centres

2,035 2,270 2,190 2,425

766 1,124 766 933

748 981 798 931

560 825 480 525

835 1,145 815 1,055

815 1,070 740 955

INDUSTRIAL

Light duty flatted factories, high rise, 7.5kpa (150 lb.) loading Heavy duty flatted factories & warehouses, high rise, 15kpa (300lb.) loading Single storey conventional factory with structural steel roof Resort hotels, inclusive of F.F.&E 3-Star hotels, inclusive of F.F.&E 5-Star hotels, inclusive of F.F.&E

1,095

447

599

N/A

465

422

1,330

531

N/A

N/A

N/A

470

940

442

599

250

425

405

HOTEL

2,425 2,500 3,360

1,358 1,565 2,281

2,262 1,364 1,929

1,150 950 1,350

1,370 1,500 2,075

1,270 1,220 1,580

OTHERS

Carparks, above ground Exchange Rate Used: US$1 =

745 S$1.28

291 RM3.05

349 BHT30.06

250 IDR8,825

475 B$1.28

435 PHP43.77

Notes:

1. 2. 3. 4. 5.

The costs for the respective categories given above are averages based on fixed price competitive tenders. It must be understood that the actual cost of a building will depend upon the design and many other factors and may vary from the figures shown. The costs per square metre are based on Construction Floor Areas (CFA) measured to the outside face of the external walls / external perimeter including lift shafts, stairwells, balconies, plant rooms, water tanks and the like. All buildings are assumed to have no basements (except otherwise stated) and are built on flat ground, with normal soil and site condition. The cost excludes site formation works, external works, land cost, professional fees, finance and legal expenses. The standard for each category of building vary from country to country and do not necessarily follow those of Hong Kong. Fluctuation in exchange rates may lead to changes in construction costs expressed in U.S. dollars.

QUARTERLY CONSTRUCTION COST REVIEW FIRST QUARTER 2011

10

Davis Langdon & Seah Offices in China

HONG KONG 38/F, Two Landmark East 100 How Ming Street, Kwun Tong Kowloon, Hong Kong T: (852) 2830 3500 F: (852) 2576 0416 E: dlshk@dlshk.com BEIJING Suite 1225 - 1238 Junefield Plaza Central Tower South 10 Xuan Wu Men Wai Street Beijing 100052, China T: (86 10) 6310 1136 F: (86 10) 6310 1143 E: dlsbj@dlsbj.com CHENGDU Room 807 Block A Times Plaza 2 Zong Fu Road Chengdu 610016 China T: (86 28) 8671 8373 F: (86 28) 8671 8535 E: dlscd@dlscd.com CHONGQING Room 3408 International Trade Centre 38 Qing Nian Road Central District Chongqing 400010, China T: (86 23) 8655 1333 F: (86 23) 8655 1616 E: dlscq@dlscq.com DALIAN Unit 07, 32F, Xiwang Tower No. 136 Zhongshan Road, Zhongshan District, Dalian, Liaoning Province, 116001, China T: (86 411) 8800 8018 F: (86 411) 8800 8823 E: dlsdl@dlsdl.com FOSHAN Unit 1803 Room 2 18/F Hua Hui Mansion 46 Zu Miao Road Foshan 528000, China T: (86 757) 8203 0028 F: (86 757) 8203 0029 E: dlsgz@dlsgz.com GUANGZHOU Unit 2711 - 2713 & 2718 Bank of America Plaza 555 Ren Min Zhong Road Guangzhou 510145, China T: (86 20) 8130 3813 F: (86 20) 8130 3812 E: dlsgz@dlsgz.com HANGZHOU Room 2305 WinNing International No.100 Min Xin Road Hangzhou Zhejiang Province 310016, China T: (86 571) 2829 7766 F: (86 571) 2829 7622 MACAU 14 Andar B Edifacio Commercial Rodrigues 599 Avenida da Praia Grande Macau T: (853) 2833 1710 F: (853) 2833 1532 E: dlsmacau@dlsmacau.com SANYA 1206 Skyline Tower 119 Yingbin Road Sanya Hainan 572000, China T: (86 898) 3828 0878 F: (86 898) 3828 0678 SHANGHAI Room 1582, Tower B City Centre of Shanghai 100 Zun Yi Road Shanghai 200051 China T: (86 21) 6091 2800 F: (86 21) 6091 2999 E: dlssh@dlssh.com SHENYANG Room 8-9, 11/F E Tower of Fortune Plaza 59 Bei Zhan Road, Shen He District Shenyang 110013, China T: (86 24) 3128 6678 F: (86 24) 3128 6983 E: dlssy@dlssy.com SHENZHEN Room E & F, 42/F World Finance Centre, Block A 4003 East Shen Nan Road Shenzhen 518001 China T: (86 755) 8269 0642 F: (86 755) 8269 0641 E: dlssz@dlssz.com SUZHOU Room 1606 Century Financial Tower 1 Suhua Road, Industrial Park Suzhou Jiangsu Province 215021, China T: (86 512) 8777 5599 F: (86 512) 8777 5600 E: dlssu@dlssu.com TIANJIN Suite 1-1-2103, Tianjin Harbour Centre 240 Zhang Zi Zhong Road He Ping District Tianjin 300041, China T: (86 22) 8331 1618 F: (86 22) 2319 3186 E: dlstj@dlstj.com WUHAN Room B, 5th Floor 2-1 Building, Wuhan Tiandi 68 Lu Gou Qiao Road Wuhan 430010, Hubei China T: (86 27) 5920 9299 F: (86 27) 5920 9298 E: dlswh@dlswh.com

DAVIS LANGDON & SEAH INTERNATIONAL OFFICES

1.

2. 3.

4.

United States of America: Boston, Chicago, Denver, Honolulu, Los Angeles, New York, Philadelphia, Sacramento, San Francisco, Seattle, Washington DC Mexico: Mexico City England: London, Birmingham, Bristol, Cambridge, Heathrow, Leeds, Liverpool, Maidstone, Manchester, Norwich, Oxford, Peterborough, Plymouth, Southampton Scotland: Edinburgh, Glasgow Wales: Cardiff Northern Ireland: Belfast Republic of Ireland: Cork, Dublin, Galway, Limerick

5. 6. 7. 8. 9. 10. 11. 12. 13. 14.

Netherlands: Amsterdam Germany: Munich France: Paris Spain: Madrid Italy: Milan Turkey: Istanbul Libya: Tripoli Egypt: Cairo Nigeria: Lagos South Africa: Bloemfontein, Cape Town, Durban, George, Johannesburg, Klerksdorp, Nelspruit, Pietermaritzburg, Port Elizabeth, Port Shepstone, Pretoria, Richards Bay, Stellenbosch, Vanderbijlpark 15. Botswana: Gaborone

16. 17. 18. 19. 20. 21. 22. 23.

Mozambique: Maputo Lebanon: Beirut Saudi Arabia: Riyadh Bahrain: Manama Qatar: Doha UAE: Abu Dhabi, Dubai Pakistan: Karachi India: Bangalore, Chennai, Delhi, Hyderabad, Mumbai 24. Thailand: Bangkok 25. China: Hong Kong, Beijing, Chengdu, Chongqing, Dalian, Foshan, Guangzhou, Hangzhou, Macau, Sanya, Shanghai, Shenyang, Shenzhen, Suzhou, Tianjin, Wuhan 26. Korea: Seoul

27. Japan: Tokyo 28. Malaysia: Selangor, Johor, Penang, Sabah, Sarawak 29. Vietnam: Hanoi, Ho Chi Minh City 30. Philippines: Manila 31. Singapore 32. Indonesia: Bali, Jakarta, Surabaya 33. Brunei: Bandar Seri Begawan, Kuala Belait 34. Australia: Adelaide, Brisbane, Caims, Canberra, Darwin, Hobart, Melbourne, Perth, Sydney, Townsville 35. New Zealand: Auckland, Christchurch, Wellington

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