Dear Colleagues:

In the echo of the New Year’s bell, the year 2014 is approaching, with hopes and challenges. At this turning point, Board of the Group would like to express our sincere appreciation to all CR members. We would also extend my gratitude to all the leaders and friends from all walks of life for their support to CR. We wish all of you and your family a happy new year!

The year 2013 was a year full of changes, expectations, setbacks and surprises. It has seen many political and economic changes in world and the new reform efforts in China. The 3rd Plenary Session of the 18th CPC Central Committee outlined the plan for China in the future 10 years, with the courage for a new round of reform following the guideline of "comprehensively deepening the reform" enhancing our confidence and building our vision for a brighter tomorrow of China.

For CR members, it was a very unusual and unforgettable year. A public opinion event exposed CR to unprecedented challenges. We experienced a crisis and suffered indescribable pressure and challenges, but we never gave up, never got lost and never withdrew. We face adversities with our strong will and strength, believing that the truth holds true and that China Recourses with a 70-year history of glories and dreams will sustain us through all difficulties and hardships.

Rumors can not stop our progress and slanders make us even stronger. During 2013, centering on lean management and the coordination of multiple elements, we firmly transformed towards organic growth and significantly improved the quality of development and operational efficiency. CR’s ranking among the Top 500 rated by the Fortune was significantly promoted. We identified and took hold of favorable strategic opportunities for acquisitions and expansions, further enhancing the leading position of our major businesses; we boldly explored new business modes and fostered new business growing points; we further improved our talents developing system centering on the University of China Resources, with the 80’s class successfully organized after the 60’s and the 70’s classes; we established one after another Hope Town to fulfill our responsibilities and displayed our grand pursuit; we further promoted the corporate culture of China Resources, with our outstanding corporate culture reaching every part of our organizations. All those efforts laid a sound foundation for our comprehensively attaining the overall strategic goals of CR for the 12th Five-year Plan period.

In 2013, following the trend of rapid development of 12 running years, we attained the most remarkable achievements in the history of China Resources, with all business indexes seeing significant growth. We have also provided management services for private enterprises for the first time in the history of China Resources, marking CR's transformation from provision of products to contribution of ideas to the public. Our experience in 2013 again proved that we have made correct choices in terms of strategy establishment, organization reform and cultural pursuit. China Resources is a decent enterprise, CR members are loyal and respectable and CR culture is consolidated and sustainable. The corporate spirit and values we advocate fully displayed our strength. We would like to take this opportunity to thank all CR members. You are the most valuable assets of China Resources. We are proud of you, every China Resources member. We also want to express our appreciation to the general public for their care and encouragement. Their understanding, support, sincere trust has always been a huge drive for our success.

The year 2014, as a year for the implementation of the further comprehensive national reform and a critical year for China Resources to implement its 12th Five-year Plan, is full of challenges and hopes. We must always remain sober-minded; we must be equipped with an entrepreneurial spirit and an entrepreneurial passion as well as a strong sense of crisis and retrospection; we must constantly promote our understanding of the consistence between the strategy, organization and culture of China Resources; we must analyze our shortcomings, brave the difficulties and work enthusiastically.

In the coming new year, we will thoroughly implement the spirit of the 3rd Plenary Session of the 18th CPC Committee and the strategic initiatives we defined for the 12th Five-year Plan period; we will steadfastly realize organic growth and further enhance the quality of development; we will adhere to the market-oriented reform, comprehensively promote the SOE reform and study the mixed ownership and listing of the whole group with the view of stimulating the vitality of the whole group; we will continue to deepen the reform of our remuneration system and the HR system with the view of more accurately reflecting our performance-based culture, breaking the “big pot” system, rewarding those who create greater values and realizing our goal in performance-based employment and remuneration; we will quicken the development of international talents and talents reserve, getting prepared for our stepping-out strategy; we will continue to improve our “four styles”, carry out our guideline for mass education to the first line of our production and further implement our management notion of “being strict with the managers and amiable to the employees; we will further promote the organizational reform, promote the efficiency of our organization and build an organization of high efficiency; we will further stick to our notion of integrity, evaluate our managers in terms of morals, values, concept of performance and abilities; we will practically implement the CR culture, and make our culture the ultimate drive for the long-term existence and development of China Resources.

The ultimate truth is simple to understand but difficult to practice. Dear colleagues! The year 2014 will be a year in which we are to realize our grand missions and exert ourselves for excellence. Let’s stick to CR culture and values, remember our strength, cherish our spiritual pursuit, overcome all obstacles, put our knowledge into practice, exert ourselves out of gratitude and create new brilliances for the future of China Resources.

Lastly, I wish you all good health, success in your work and career and happiness!

Board of China Resources Group

New Year, 2014