Business Overview Financial Summary

China Shipping (Hong Kong) Shipping Leasing is the first shipyard leasing company in Greater China. It mainly provides ship leasing services, as well as ship brokerage and loan services (including pre-delivery loans, insured loans and factoring services). As of December 31, 2018, the Group had a total of 65 ships, including 43 vessels under loan lease arrangements and 22 ships under operating lease arrangements. The average age of the vessels was about 2 years. As of December 31, 2018, the group's fleet included 25 bulk carriers, 14 liquid carriers, 10 container carriers, 9 special ships and 7 marine LNG/LPG carriers. The group's clients usually include ship operators, shipyards, and trading companies.

Competitive advantage

Group is a shipyard leasing company with unique advantages

Strong expertise and rich experience in the offshore business are helpful

Capturing business opportunities in the marine business market

A comprehensive risk management system maintains the quality of group assets

stable

Risk Factors

The value of the rental property and other collateral and guarantees may not be sufficient to cover the loss

Fluctuations in interest rates will affect the Group's loan and leasing business

Any mispayment by the customer may result in operating results

Use of proceeds

Approximately 60% is used to purchase ships

Approximately 30% will be used to purchase two SRUs (LNG re-gasification equipment)

Approximately 10% is used as general working capital