FTSE Xinhua Launches Sector Indices for A200 Benchmark

HONG KONG and BEIJING, May 16 /Xinhua-PRNewswire/ -- FTSE Xinhua Index (FXI), the leading China index provider, today announced the launch of FTSE Xinhua 200 Sector Indices on A shares, which include 38 sectors classified according to the Industry Classification Benchmark (ICB). The new indices will be distributed from today with the base date at June 18, 2001.

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The new indices have been designed to provide investors with a new benchmark tool for attribution analysis, and as a basis for index-linked investment products such as ETFs. Based upon the FTSE Xinhua 200 Index, the largest 200 A share companies listed on both Shanghai and Shenzhen market by market capitalisation, the new indices are calculated in accordance with ICB, a globally recognised classification standard developed by FTSE Group and Dow Jones Indexes. The total net market cap is RMB 2,787,942 million as of April 30, 2007.

Commenting on the creation of the new index, Mr. Norman Yen, Managing Director of FTSE Xinhua Index said: "The launch of the FTSE Xinhua 200 sector indices will allow Chinese and QFII investors an additional way to track the maturation and performance of the China equity market. The introduction of these indices reflect not only the increasing demand from our clients for a way to track the growing Chinese industries, but also FXI's continued commitment and leadership in responding to the changing market demand both internationally and domestically."

The indices are reviewed quarterly in January, April, July and October and are calculated in Renminbi (CNY) and HKD for end of day index values. Total Return Indices are published at the end of each trading day.

For details of the constituent list, index value and the Ground Rules, please visit: www.ftsexinhua.com .

Notes to Editors

About FTSE Xinhua Index

Established in late 2000, FTSE Xinhua Index (FXI), a joint venture between Xinhua Finance Limited and FTSE, came into being to facilitate the creation of real-time indices for the Chinese market. The indices can be used as a basis for the trading of derivatives, index-tracking funds, Exchange Traded Funds and as performance benchmarks. The combination of FTSE's expertise in international indexing with Xinhua Finance's strong presence and capabilities in China creates a level of expertise in the Chinese market that is unprecedented. Providing the combined coverage for the Shanghai and Shenzhen exchanges, all of the FTSE Xinhua indices are designed according to internationally proven index methodology to ensure products are transparent, clear and consistent. For daily data and further information, please visit www.ftsexinhua.com .

About FTSE Group

FTSE Group is a world-leader in the creation and management of indices. With offices in London, Frankfurt, Hong Kong, Madrid, Paris, New York, San Francisco, and Tokyo, FTSE Group services clients in 77 countries worldwide. It calculates and manages the FTSE Global Equity Index series, which includes world-recognised indices ranging from the FTSE All-World Index, the FTSE4Good series and the FTSEurofirst Index series, as well as domestic indices such as the prestigious FTSE 100. The company has collaborative arrangements with the Athens, AMEX, Cyprus, Euronext, Johannesburg London, Madrid, Malaysia, NASDAQ and Taiwan exchanges, as well as Nomura Securities, Hang Seng and Xinhua Finance of China, FTSE recently signed an agreement with Dow Jones Indexes to develop a single sector classification system for global investors.

FTSE indices are used extensively by investors world-wide for investment analysis, performance measurement, asset allocation, portfolio hedging and for creating a wide range of index tracking funds. Independent committees of senior fund managers, derivatives experts, actuaries and other experienced practitioners review all changes to the indices to ensure that they are made objectively and without bias. Real-time FTSE indices are calculated on systems managed by Reuters. Prices and FX rates used are supplied by Reuters.

About Xinhua Finance Limited

Xinhua Finance Limited is China's premier financial information and media service company and is listed on the Mothers Board of the Tokyo Stock Exchange (symbol: 9399) (OTC ADRs: XHFNY). Bridging China's financial markets and the world, Xinhua Finance serves financial institutions, corporations and re-distributors through five focused and complementary service lines: Indices, Ratings, Financial News, Investor Relations, and Distribution. Founded in November 1999, the Company is headquartered in Shanghai, with offices and news bureaus spanning 14 countries worldwide.

For more information, please contact:

Beijing

Jean LI, FTSE Xinhua Beijing office

Tel: +86-10-5864-5276

Email: jean.li@xinhuaftse.com

Shanghai

Joy Tsang, Xinhua Finance

Tel: +86-21-6113-5999

Email: joy.tsang@xinhuafinance.com

Hong Kong

Meredith Blakemore, FTSE Asia Pacific

Tel: +852-2230-5801

Email: meredith.blakemore@ftse.com

Tokyo

Stewart Ueno, FTSE Japan

Tel: +81-3-3581-3444

Emial: stewart.ueno@ftse.com

New York

Lynne Sims, FTSE Americas

Tel: +1-212-641-6168

Email: lynne.sims@ftse.com

London

Sandra Steel, FTSE Group

Tel: +44-20-7866-1821

Email: media@ftse.com