Ping An Life Completes Non-Public Share Subscription in SDB

Hong Kong, Shanghai, 2 July 2010 - Ping An Insurance (Group) Company of China, Ltd. (hereafter "Ping An" or "the Group", HKEX: 2318; SSE: 601318) announced today the completion of the private issuing of shares by Shenzhen Development Bank ("SDB") to Ping An Life Insurance Company of China, Ltd (Ping An Life). Ping An and Ping An Life jointly raised the Group's shareholding in SDB to around 1.045 billion shares, or 29.99% of SDB's total share capital.  The share transaction marks the completion of all the work related to Ping An's strategic investment in SDB. Ping An and its subsidiaries will form even closer strategic partnership with SDB to speed up growth in the Group's banking business, and enhance the development of its integrated financial services.

According to its announcement, Ping An Life subscribed 379,580,000 new SDB shares for a total of RMB6,931,130,800 on 28 June.  SDB completed the registration for the Private Issuing of shares on June 29, 2010 and received the Confirmation of Securities Registration issued by the Shenzhen Branch of the Registration Depository Division of China Securities Depository and Clearing Co., Ltd.

Prior to the completion of the Private Issuing,the Company and Ping An Life held in aggregate of 665,742,687 shares in SDB, or 21.44% of SDB's then total share capital of 3,105,433,762 shares before the Private Issuing. Subsequent to the completion of the Private Issuing, the Company and Ping An Life hold in aggregate of 1,045,322,687 shares of SDB, representing 29.99% of SDB's total share capital of 3,485,013,762 shares after the Private Issuing.

SDB said the completion of the non-public share subscription agreement with Ping An has effectively enhanced SDB's capital base and provided strong impetus to the fast and healthy development of its business. According to the announcement, and based on values of the core capital, net capital and net risk weighted assets at the end of the first quarter of 2010, the core capital adequacy ratio and the capital adequacy ratio of SDB will increase to 7% and 10% after the non-public issue of shares, which are in line with the latest capital adequacy requirements by the China Banking Regulatory Commission for  mid-sized joint-stock commercial banks. With the new capital base, SDB will be able to reinforce its competitiveness in trade financing, personal financing, credit cards and interbank businesses to further exploit the market potential of SME financing and consumer credit. It will also speed up SDB's asset management business and network expansion to capture more growth opportunities.

Ping An said the completion of the share transaction marks the successful accomplishment of all the tasks encompassed by the Group's strategic investment in SDB which was announced in June 2009. This helps speed up the development of Ping An Bank, and is a significant step towards achieving the Group's goal of ‘one customer, one account, multiple products and one-stop services', which helps facilitate the balanced development of its three pillar businesses: insurance, banking and investment. Going forward, Ping An and its subsidiaries will, in accordance with relevant laws and regulations and corporate governance principles, forge closer strategic partnership with SDB to explore cooperation opportunities in all aspects of their businesses, with a view to creating sustainable value for its shareholders, customers, employees and the society.