PART I INFORMATION REQUIRED FOR QUARTERLY (Q1, Q2 & Q3), HALF-YEAR AND FULL YEAR ANNOUNCEMENTS

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1 UNITED INDUSTRIAL CORPORATION LIMITED (REG. NO E) Second Quarter Financial Statement and Dividend Announcement for the Period Ended 30 June 2013 PART I INFORMATION REQUIRED FOR QUARTERLY (Q1, Q2 & Q3), HALF-YEAR AND FULL YEAR ANNOUNCEMENTS 1(a) An income statement and statement of comprehensive income, or a statement of comprehensive income, for the group, together with a comparative statement for the corresponding period of the immediately preceding financial year. Consolidated Income Statement 3 months ended 6 months ended Note /(-) /(-) $'000 $'000 % $'000 $'000 % Revenue 1 151, , , ,830 (19) Cost of sales 2 (85,729) (78,908) 9 (170,232) (232,185) (27) Gross profit 66,167 60, , ,645 (6) Investment income , Other gains/(losses) - net (69) 649 1,494 (57) Selling and distribution costs (7,349) (6,391) 15 (12,884) (11,089) 16 Administrative expenses (4,939) (4,482) 10 (9,821) (9,317) 5 Finance expenses (743) (849) (12) (1,445) (1,340) 8 Share of results of associated companies 37,635 9, ,036 16, Share of results of joint ventures 4,307 (1,809) n.m. 8,265 (3,114) n.m. Profit before fair valuation of investment properties 96,349 57, , , Fair value gain on investment properties 3 135,585 51, ,585 51, Profit before income tax 4 231, , , , Income tax expense/credit (10,711) (10,912) (2) (21,212) (23,642) (10) Net profit/(loss) 221,223 98, , , Attributable to: Equity holders of the Company 135,300 82, , , Non-controlling interests 85,923 16, ,596 36, ,223 98, , , The above net profit attributable to equity holders of the Company can be analysed as follows: Net profit from operations 38,762 32, ,606 77,021 2 Fair value gain on investment properties #DIV/0! #DIV/0! held by subsidiary and associated companies 96,538 49, ,538 49, Net attributable profit/(loss) 135,300 82, , , n.m. - not meaningful Page 1 of 9

2 Consolidated Statement of Comprehensive Income 3 months ended 6 months ended $'000 $'000 $'000 $'000 Net profit/(loss) 221,223 98, , ,840 Other comprehensive income/(expense) items: taken directly to equity: Net exchange differences on translation of financial statements of foreign entities 7,389 (2,490) 12,398 (10,002) Total comprehensive income 228,612 96, , ,838 Total comprehensive income attributable to: Equity holders of the Company 140,645 80, , ,420 Non-controlling interests 87,967 15, ,018 33, ,612 96, , ,838 The net exchange gain of $7.4 million for the 3 months ended 30 June 2013 (3 months ended 30 June 2012: $2.5 million net exchange loss) was attributable mainly to the Rmb financial statements of associated company, Shanghai Jin Peng Realty Co Ltd. Notes to the income statement 3 months ended 6 months ended $'000 $'000 $'000 $' Revenue Gross rental income 66,224 67, , ,510 Gross revenue from hotel operations 31,539 8,305 61,296 42,216 Sale of properties held for sale 32,814 41,434 62, ,633 Gross revenue from information technology operations 19,248 19,425 41,555 44,268 Car parking income and property services fees 2,071 2,607 4,044 5, , , , , Cost of sales Property operating expenses 17,377 16,277 34,751 33,256 Cost of sales from hotel operations 25,577 15,914 50,422 44,309 Cost of properties held for sale sold 25,194 29,272 47, ,604 Cost of sales from information technology operations 17,581 17,445 37,808 40,016 85,729 78, , , Fair value gain on investment properties This relates to the valuation by independent professional valuers of investment properties held by subsidiary companies as at 30 June. 4. Profit before income tax Profit before income tax is stated after charging: Depreciation 5,884 6,404 11,792 15,979 Page 2 of 9

3 1(b)(i) A statement of financial position (for the issuer and group), together with a comparative statement as at the end of the immediately preceding financial year. Group Company Note $'000 $'000 $'000 $'000 ASSETS Non-current assets Other receivables 164, ,059 1,111,647 1,167,912 Financial assets, available-for-sale 12,045 12,045 Investments in associated companies 474, ,038 Investments in joint ventures 8,765 - Investments in subsidiary companies 1,227,119 1,227,119 Investment properties 1 5,648,000 5,485,300 Property, plant and equipment 536, , ,843,766 6,619,327 2,339,387 2,395,711 Current assets Cash and cash equivalents 102, , Properties held for sale 2 1,057, ,298 Trade and other receivables 80,846 97,715 1,216 1,126 Inventories 2,443 1,967 1,243, ,453 1,651 2,038 Total assets 8,087,375 7,606,780 2,341,038 2,397,749 LIABILITIES Current liabilities Trade and other payables 152, ,678 2,140 3,173 Current income tax liabilities 73,454 77,303 Borrowings 685, , , , , , , ,043 Non-current liabilities Trade and other payables 53,398 49, , ,162 Borrowings 466, ,880 Deferred income tax liabilities 50,633 50, , , , ,162 Total liabilities 1,481,001 1,218, , ,205 NET ASSETS 6,606,374 6,388,643 1,756,874 1,799,544 EQUITY Capital and reserves attributable to equity holders of the Company Share capital 1,403,594 1,401,892 1,403,594 1,401,892 Reserves 3,431,585 3,282, , ,652 4,835,179 4,683,916 1,756,874 1,799,544 Non-controlling interests 1,771,195 1,704,727 TOTAL EQUITY 6,606,374 6,388,643 1,756,874 1,799,544 Notes to the statement of financial position 1. The increase in investment properties was due mainly to the $135.6 million fair value gain on the Group's investment properties [see Section 1(a) note 3]. 2. The increase in properties held for sale was due mainly to the final part payment for the land parcel at Alexandra View. Page 3 of 9

4 1(b)(ii) Aggregate amount of group's borrowings and debt securities. Amount repayable in one year or less, or on demand At At Secured Unsecured $'000 $'000 14, ,861 Secured $'000 7,521 Unsecured $' ,270 Amount repayable after one year At At Secured Unsecured $'000 $' ,000 - Details of any collateral Secured $' ,880 Unsecured $'000 - The $480.4 million loans are secured by way of mortgages over Pan Pacific Singapore hotel, Westin Tianjin hotel, certain property development projects and bank deposits pledged. 1(c) A statement of cash flows (for the group), together with a comparative statement for the corresponding period of the immediately preceding financial year. 3 months ended Note $'000 $'000 Cash flows from operating activities Profit before income tax 231, ,461 Adjustments to profit (170,682) (52,089) Working capital changes 49,160 47,865 Interest paid (3,714) (2,713) Income tax paid 1 (16,681) (20,032) Net cash provided by operating activities 90,017 82,492 Cash flows from investing activities Purchase of property, plant and equipment (991) (9,097) Upgrading of investment properties (17,046) (2,177) Redevelopment of an investment property (1,122) (151) Loans to joint ventures (7,250) (4,000) Dividends received from associated companies 4,490 3,245 Interest received Net cash used in investing activities (21,656) (12,061) Cash flows from financing activities (Repayment of)/proceeds from borrowings (13,328) 27,345 Bank deposits pledged as security for banker's guarantee (7,056) - Proceeds from issue of shares 1, Purchase of shares from non-controlling shareholders (7,622) - Dividends paid to shareholders (41,356) (41,342) Dividends paid to non-controlling shareholders (20,754) (22,006) Net cash used in financing activities (88,793) (35,892) Net (decrease)/increase in cash and cash equivalents (20,432) 34,539 Cash and cash equivalents at 1 April 110,331 86,588 Cash and cash equivalents at 30 June 89, ,127 (12,626) For the purposes of the Statement of Cash Flows, the cash and cash equivalents comprise the following: $'000 $'000 Cash and cash equivalents (per Statement of Financial Position) 102, ,127 Less: Bank deposits pledged as security (12,626) - Cash and cash equivalents (per Statement of Cash Flows) 89, ,127 Page 4 of 9

5 1(d)(i) A statement (for the issuer and group) showing either (i) all changes in equity or (ii) changes in equity other than those arising from capitalisation issues and distributions to shareholders, together with a comparative statement for the corresponding period of the immediately preceding financial year. Attributable to equity holders of the Company Asset Share capital Retained earnings revaluation reserve Other reserves $ 000 Noncontrolling interests Total Total equity Group $ 000 $ 000 $ 000 $ 000 $ 000 $ Balance at 1 April 2013, as restated 1,402,271 3,293,185 29,382 6,117 4,730,955 1,715,006 6,445,961 Total comprehensive income - 135,300-5, ,645 87, ,612 Employee share option scheme - value of employee services proceeds from shares issued 1,323-1,323-1,323 Effect of purchase of shares from non-controlling shareholders - 3,402 3,402 (11,024) (7,622) Dividends paid - (41,356) (41,356) (20,754) (62,110) Balance at 30 June ,403,594 3,390,531 29,382 11,672 4,835,179 1,771,195 6,606, Balance at 1 April 2012, as restated 1,401,732 2,909,159 29,382 7,447 4,347,720 1,689,701 6,037,421 Total comprehensive income/(expense) - 82,214 - (1,764) 80,450 15,609 96,059 Employee share option scheme - value of employee services proceeds from shares issued Dividends paid - (41,342) (41,342) (22,006) (63,348) Balance at 30 June ,401,843 2,950,031 29,382 5,892 4,387,148 1,683,304 6,070,452 Retained earnings Share option reserve Share capital Total equity Company $ 000 $ 000 $ 000 $ Balance at 1 April ,402, ,029 4,106 1,798,406 Total comprehensive expense - (1,709) - (1,709) Employee share option scheme - value of employee services proceeds from shares issued 1,323 1,323 Dividends paid - (41,356) - (41,356) Balance at 30 June ,403, ,964 4,316 1,756, Balance at 1 April ,401, ,612 3,352 1,796,696 Total comprehensive expense - (1,661) - (1,661) Employee share option scheme - value of employee services proceeds from shares issued Dividends paid - (41,342) - (41,342) Balance at 30 June ,401, ,609 3,561 1,754,013 Page 5 of 9

6 1(d)(ii) Details of any changes in the company's share capital arising from rights issue, bonus issue, share buy-backs, exercise of share options or warrants, conversion of other issues of equity securities, issue of shares for cash or as consideration for acquisition or for any other purpose since the end of the previous period reported on. State also the number of shares that may be issued on conversion of all the outstanding convertibles, as well as the number of shares held as treasury shares, if any, against the total number of issued shares excluding treasury shares of the issuer, as at the end of the current financial period reported on and as at the end of the corresponding period of the immediately preceding financial year. The changes in the Company's issued share capital for the 3 months ended 30 June 2013 were as follows: Issued share capital as at 1 April 2013 Issue of ordinary shares arising from the exercise of UIC share options Issued share capital as at 30 June 2013 Number of ordinary shares '000 1,378, ,378,849 As at 30 June 2013, there were 4,861,000 (30 June 2012: 4,990,000) ordinary shares which may be issued upon the exercise of the subscription rights in full by holders of options granted to executives of the Group under the UIC Share Option Scheme. 1(d)(iii) To show the total number of issued shares excluding treasury shares as at the end of the current financial period and as at the end of the immediately preceding year. Total number of issued shares '000 '000 1,378,849 1,378,115 1(d)(iv) A statement showing all sales, transfers, disposal, cancellation and/or use of treasury shares as at the end of the current financial period reported on. 2. Whether the figures have been audited or reviewed, and in accordance with which auditing standard or practice. The figures have not been audited or reviewed by the Company's auditors. 3. Where the figures have been audited or reviewed, the auditors' report (including any qualifications or emphasis of a matter). 4. Whether the same accounting policies and methods of computation as in the issuer's most recently audited annual financial statements have been applied. The same accounting policies and methods of computation as in the 2012 audited annual financial statements have been applied for the current reporting period. 5. If there are any changes in the accounting policies and methods of computation, including any required by an accounting standard, what has changed, as well as the reasons for, and the effect of, the change. Nil. Page 6 of 9

7 6. Earnings per ordinary share of the group for the current financial period reported on and the corresponding period of the immediately preceding financial year, after deducting any provision for preference dividends. Latest quarter Previous quarter Earnings per ordinary share (a) Based on the weighted average number of ordinary 5.7 cents shares on issue - excluding fair value gain on investment properties - including fair value gain on investment properties (b) On a fully diluted basis 9.8 cents 2.8 cents 9.8 cents 6.0 cents 2.4 cents 6.0 cents For the purposes of calculating diluted earnings per share, the weighted average number of shares in issue is adjusted to take into account the dilutive effect arising from the outstanding options granted to employees, where such shares would have been issued at a price lower than the average market price in the current quarter. As the impact of the dilution is insignificant, diluted earnings per share is the same as basic earnings per share. 7. Net asset value (for the issuer and group) per ordinary share based on the total number of issued shares excluding treasury shares of the issuer at the end of the :- (a) current financial period reported on; and (b) immediately preceding financial year. Net asset value per ordinary share Group Company $3.51 $ $3.40 $1.31 Page 7 of 9

8 8. A review of the performance of the group, to the extent necessary for a reasonable understanding of the group's business. It must include a discussion of the following :- (a) any significant factors that affected the turnover, costs, and earnings of the group for the current financial period reported on, including (where applicable) seasonal or cyclical factors; and (b) any material factors that affected the cash flow, working capital, assets or liabilities of the group during the current financial period reported on. Comparison of 2nd quarter 2013 results with 2012 The increase in revenue by $12.6 million (9%) to $151.9 million was attributable mainly to higher revenue from hotel operations, partially offset by lower sales of trading properties. Revenue from hotel operations increased by $23.2 million (280%) to $31.5 million following the reopening of Pan Pacific Singapore hotel after closure for renovation from April to August Sales of trading properties at $32.8 million was lower by $8.6 million (21%) due mainly to lower contribution from The Trizon residential project (completed in May 2012). Gross rental income from investment properties decreased by $1.3 million (2%) to $66.2 million due to redevelopment of the Marina Bayfront office and upgrading works at certain sections of the Marina Square retail mall. Share of results of associated companies totalling $37.6 million, an increase of $28.3 million (304%), included share of fair value gain on an investment property held by an associated company of $30.9 million (2Q 2012: $1.6 million). Higher contribution from the 50%-owned Archipelago residential property project with progressive recognition of development profits, on percentage of completion basis, resulted in share of joint ventures' profit of $4.3 million (2Q 2012: loss of $1.8 million). The increase in capital values of investment properties held by subsidiary companies resulted in a fair value gain of $135.6 million (2Q 2012: $52.0 million). Non-controlling interests totalling $85.9 million (2Q 2012: $16.3 million) included $69.9 million (2Q 2012: $4.1 million) share of fair value gain on investment properties. Excluding this amount, non-controlling interests on the operating profit increased by $3.8 million (31%), mainly as a result of higher contribution from the Pan Pacific Singapore hotel, which the Group has an effective 43% interest. In summary, net profit from operations increased by $6.0 million (18%) to $38.8 million. Adding the fair value gain, net of non-controlling interests, of $96.5 million (2Q 2012: $49.5 million), the overall net attributable profit was $135.3 million (2Q 2012: $82.2 million). Comparison of 6 months ended 30 June 2013 results with 2012 Revenue at $302.0 million was lower by $70.9 million (19%) with lower sales of trading properties and lower rental income, partially offset by higher revenue from hotel operations. Despite lower revenue, net profit from operations increased by $1.6 million (2%) to $78.6 million due mainly to higher contribution from joint ventures. The fair value gain, net of non-controlling interests, of $96.5 million (1H 2012: $49.5 million), resulted in an overall net attributable profit of $175.1 million (1H 2012: $126.5 million). 9. Where a forecast, or a prospect statement, has been previously disclosed to shareholders, any variance between it and the actual results. Page 8 of 9

9 10. A commentary at the date of the announcement of the significant trends and competitive conditions of the industry in which the group operates and any known factors or events that may affect the group in the next reporting period and the next 12 months. The office rental market is expected to stabilise with modest improvement. The retail leasing market will remain stable with positive demand from fast-fashion and new concept F&B sectors. However, new and revamped retail complexes in population and transport hubs will pose challenges to existing retail complexes in commercial centres. The hotel industry is facing challenges from slower visitor growth, sizeable new room supply and labour crunch. Although underlying demand for private condominiums remains firm, competition and strong supply coupled with the effects of government s cooling measures may slow investment demand. Growing of land bank remains challenging in the face of intensive competition for choice sites. 11. Dividend (a) Current Financial Period Reported On Any dividend recommended for the current financial period reported on? None. (b) Corresponding Period of the Immediately Preceding Financial Year Any dividend declared for the corresponding period of the immediately preceding financial year? None. (c) Date payable (d) Books closure date 12. If no dividend has been declared/recommended, a statement to that effect. No dividend has been declared/recommended for the quarter ended 30 June If the Group has obtained a general mandate from shareholders for Interested Person Transactions "IPTs", the aggregate value of such transactions as required under Rule 920(1)(a)(ii). If no IPT mandate has been obtained, a statement to that effect. No IPT mandate has been obtained. 14. Negative confirmation pursuant to Rule 705(5). The Board of Directors hereby confirms that, to the best of its knowledge, nothing has come to its attention which may render the unaudited financial results of the Group for the second quarter ended 30 June 2013 to be false or misleading in any material respect. i h h i i l i i i h C f i i i l b idi i BY ORDER OF THE BOARD Susie Koh Company Secretary 2 August 2013 Page 9 of 9