PG.1

November 2014

Bumrungrad Hospital Public Company Limited

Investor Presentation

PG.2

Disclaimer • The information contained in this presentation is for information purposes only and does not constitute an offer or invitation to sell or

the solicitation of an offer or invitation to purchase or subscribe for any securities of Bumrungrad Hospital Public Company Limited (the

"Company") in any jurisdiction nor should it or any part of it form the basis of, or be relied upon in connection with, any contract or

commitment whatsoever.

• This presentation is being communicated only to persons who have professional experience in matters relating to investments and/or

to persons to whom it is lawful to communicate it under the laws of applicable jurisdictions. Other persons should not rely or act upon

this presentation or any of its contents.

• Certain information and statements made in this presentation contain the Company's forward-looking statements. All forward-looking

statements are the Company's current expectation of future events and are subject to a number of factors that could cause actual

results to differ materially from those described in the forward-looking statements. Prospective investors should take care with respect

to such statements and should not place undue reliance on any such forward-looking statements.

• This presentation has been prepared by the Company solely for the use at this presentation. The information in this presentation has

not been independently verified. No representation, warranty, express or implied, is made as to, and no reliance should be placed on,

the fairness, accuracy, completeness or correctness of the information and opinions in this presentation. None of the Company, any of

its affiliates or any of their respective agents, advisors or representatives, shall have any liability (in negligence or otherwise) for any

loss or damage howsoever arising from any use of this presentation or its contents or otherwise arising in connection with this

presentation. The information presented or contained in this presentation is current as of the date hereof and is subject to change

without notice and its accuracy is not guaranteed. None of the Company, any of its affiliates or any of their respective agents, advisors

or representatives, makes any undertaking to update any such information subsequent to the date hereof.

• This presentation should not be construed as legal, tax, investment or other advice. No part of this presentation shall be relied upon

directly or indirectly for any investment decision-making or for any other purposes. Prospective investors should undertake their own

assessment with regard to any investment and should obtain independent advice on any such investment’s suitability, inherent risks

and merits and any tax, legal and accounting implications which it may have for them.

• Certain data in this presentation were obtained from various external data sources, and none of the Company, any of its affiliates or

any of their respective agents, advisors or representatives have verified such data with independent sources. Accordingly, the Company

makes no representation as to the accuracy or completeness of those data, and such data involve risks and uncertainties and are

subject to change based on various factors.

PG.3

Agenda

Overview

Strategy

Operational Update

Financial Performance

Associated Companies

PG.4

Fact Sheet

Established in 1980; listed on SET in 1989

Bumrungrad International Hospital o Facilities

• One of the largest and most sophisticated private hospitals in South-East Asia

• 580 licensed inpatient beds and 5,500 outpatient visit capacity per day

• Thailand’s leading tertiary medical center • Red Cross rated “Class A” tertiary care center; a

regional referral center o Accreditation

• 1st hospital in Asia to receive US JCI Accreditation, in 2002. Re-accredited by the JCI in 2005, 2008, 2011 and 2014. JCI‘ Disease-Specific’ Certification, heart and stroke programs (since 2006); Chronic Kidney Disease and Diabetes Mellitus (since 2010)

• 1st private hospital in Thailand with Thai Hospital Accreditation (1999)

o Patients • Over 1.1 million patient episodes annually • Over 520,000 international patient episodes

annually from over 190 countries o Services

• 55 Sub-Specialties

BHPCL, an early mover in medical tourism, is an international leader in combining clinical quality with customer service oriented patient care

As of 30 September 2014

Bangkok Bank

Pcl., 0 . % Sinsuptawee A M,

8 .66% Bangkok

Insurance Pcl.,

14 .62%

T hai NVDR,

. %

Bangkok Dusit

Medical Services

Pcl., 23 .95%

UOB Kay Hian

(HK) - Client

A ccount, 8 .3 %

Others, 40.50%

Shareholding Structure Including preferred stocks

PG.5

Value & Profitability Comparison

Source: IBES/Bloomberg, SET

Note: Thai hospital’s EBITDA margins are unadjusted for doctor revenue

EV/bed (MB/bed) Y2013

BGH

BH

BCH

IHHH

KPJH

RAFG

APLH

FOHE M-CHAI

SKR

CMR

NTV

RAM

VIBHA

TNH

0

20

40

60

80

100

120

140

0 2 4 6 8 10 12 14 16 18 20 22 24 26 28 30 32 34

EV/b

ed (

MB

/bed

) Y

20

13

Y2013 EBITDA Margin

PG.6

ROE & P/B Comparison

Source: IBES/Bloomberg, SET

BGH

BH

BCH

IHHH

KPJH

RAFG

APLH

FOHE

M-CHAI

SKR

CMR NTV RAM

VIBHA

TNH

-5

0

5

10

15

20

25

30

35

0 1 2 3 4 5 6 7 8

Y2013 ROE

Price to Book

PG.7

TOP 10 REGION’S HEALTH CARE PROVIDERS BY MARKET VALUE

Source: Forbes

COMPANY/COUNTRY

IHH HEALTHCARE/MALAYSIA 2,440 12.6

RAMSAY HEALTHCARE/AUSTRALIA 4,490 1 9.3

BANGKOK DUSIT MEDICAL SERVICES/THAILAND 1,760 8.8

BUMRUNGRAD HOSPITAL/THAILAND 490 3.0

APOLLO HOSPITALS/INDIA 860 2 2.6

PRIMARY HEALTH CARE/AUSTRALIA 1,400 1 2.2

RAFFLES MEDICAL GROUP/SINGAPORE 300 1.8

SILOAM INTERNATIONAL HOSPITALS/INDONESIA 290 1.5

KPJ HEATLHCARE/MALAYSIA 820 1.1

FORTIS HEALTHCARE/INDIA 740 2 0.9

ANNUAL SALES

($MIL)

MARKET VALUE

($BIL)

Sales are estimates for year ending Dec. 31; Market value as of Aug 18. 1Sales for year ended Jun 30 are estimated for Ramsay, final for primary. 2Final sales for year ended Mar 31.

PG.8

Bumrungrad’s International Volumes 2000 to 2013

-

100,000

200,000

300,000

400,000

500,000

600,000

1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

112,609

143,294 167,488

225,206

273,651

303,876

365,386

391,559

431,954 426,398 415,810 406,543

423,793

466,225

522,414

Pat

ien

t V

olu

me

s, V

isit

s +

Ad

mis

sio

ns

-

100,000

200,000

300,000

400,000

500,000

600,000

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

167,488

225,206

273,651

303,876

365,386

391,559

431,954 426,398 415,810

406,543 423,793

466,225

522,414 526,394

Pa

tie

nt

Vo

lum

es,

Vis

its +

Ad

mis

sio

ns

PG.9

Why Bumrungrad?

Located in Thailand

Invested the Time

Invested into the Brand

Invested into Training

Invested into Technology

Invested into Facilities

Invested into Processes

PG.10

Thailand’s unique advantages

Good doctors

Lower cost labor

Service culture

Image as value destination with good tourism infrastructure

Consumer-driven healthcare

Self pay, walk in environment

PG.11

Doctors & Nurses

• 55 Sub-Specialties

• Over 2,000 nurses and professional staff

• Over 1,300 physicians and dentists

• International experience staff and overseas board certification (over 320 are US, UK or Australian Board certified)

PG.12

International reputation

China Daily

“Affordable and high quality medical care is helping to

entice visitors to the ASEAN region”

International Herald Tribune

“It’s better than anything I’ve seen; it’s a five star hospital.”

Reader’s Digest

“This hospital is really a five star medical hotel. I was

gobsmacked by the treatment I received there.”

CBS 60 Minutes

“It’s the number one international hospital in the world.”

The Financial Times

“They (Bumrungrad) said, ‘you can have (surgery) done

tomorrow if you want.’ Tomorrow! I have never heard that

word in England in all my life.”

Newsweek

“Bumrungrad International Hospital in Bangkok is a magnet

for medical tourists.”

PG.13

PACS

Swisslog pharmacy robot

Invested in Technology – Integrated Services

Single patient record, unified HIS

Hospital-wide Wi-Fi, record access in every room

1-stop checkup center; cashier, pharmacy on every OPD floor

Laboratory Automation System: Abbott ACCELERATOR a3600

PG.14

Invested in Technology - Website

Visual experience on web: pick your doctor or your room

Information about medical procedures or specialty centers

Cost estimates

PG.15

Premium Inpatient Facilities

Customer-oriented patient service culture supported by hotel-like ambience in a warm and restful environment

PG.16

Expansive Outpatient Facilities

Ground Floor Lobby

Sky Lobby

Large scale outpatient facilities allow extensive variety of services with privacy, comfort and efficiency

Welcome Center New Clinics

PG.17

Processes - International Referral Offices

Australia

Bahrain

Bangladesh

Cambodia (3)

China

Ethiopia

Hong Kong

Indonesia (4)

Kazakhstan

Lao PDR

Mongolia

Myanmar

Oman

Russia (2)

UAE (Dubai)

Vietnam

22 offices in 16 countries outside Thailand

that arrange appointments and travel for BI

patients

PG.18

Processes - Health Screening Center

Managed using Constraint Theory

Entry portal for medical travelers

One-stop floor for a complete

check-up

Average 200 per day, 7 days a week

50% walk–in

Only screening services – No acute

services

No variation in screening services,

based on medical evidence

PG.19

Overview

Strategy

Operational Update

Financial Performance

Associated Companies

Agenda

PG.20

Strategy

• Campus expansion

• Doctor recruitment in subspecialties

• Advanced technology

• Skilled work force

Bumrungrad International

Hospital

• Development of the Bumrungrad Network • Expand into a new market segment – 2nd

Brand Thailand

• Evolve UB Songdo into a regional referral hospital

• Review of selective opportunities in existing referral markets

International

PG.21

Strategy (Detail)

• Opened 5 floors in Bumrungrad International Clinic on 23 May 2013

• Expand clinics in Bumrungrad International Hospital Clinics

• Added 18 ICU beds and 58 ward beds in Bumrungrad International Hospital building

• Expand ancillary services Inpatient

• Bought 8,200 sq. meters of land on Petchburi Road.

• Applying for a bonus FAR of 19.2% 2nd Campus

• Bought 6,178 sq. meters of land on Sukhumvit Soi 1 to initially develop a parking structure

• Renovation of Bumrungrad Tower for employee houses and back office functions

Acquire Additional Capacity

• Acquired controlling interest in UB Songdo hospital International

Estimated Capital Investment (Million THB)

Y14 Y15 Y16 Y17 Y18 Total

410 1,807 2,191 4,597 446 9,451

PG.22

Master Plan Changes

Under the new city planning

regulation, a maximum bonus

increase in the FAR of 20% can be

obtained by adding capacity to

the rain water retention capacity

Build the maximum FAR of

78,727m2 or a total construction

of 88,683m2 for the Petchburi

Campus

Sukhumvit

Soi 1

Petchaburi Road

Sukhumvit Soi 3

Nana Station

Sukhumvit Road

Expressway PhloenChit

Station

Land bank Soi 1 with phase 1 development of a parking structure

PG.23

Campus Expansion – BI Hospital Building

• An additional 58 IPD beds on 12th Fl. completed

• An additional 18 ICU beds completed in March 2014

PG.24

Campus Expansion – Electrophysiology lab

• Thailand’s first dedicated Cardiac Electrophysiology lab (EP Lab) has been officially opened on July 31, 2014.

• The most advanced facility of its kind in SE Asia important advances in the diagnosis and treatment of irregular heartbeats (arrhythmia).

PG.25

Technology – IBM Watson Oncology

• A cognitive computing system developed collaboratively by IBM and Memorial Sloan Kettering, one of the world’s leading cancer center

• Analyzes information for the medical literature international treatment guidelines and recognized world experts

• Integrates patient information into the analysis and makes individualized treatment recommendation to provide state of the art care with the best outcome for Bumrungrad patients with cancer.

For more information on IBM Watson, visit

www.ibmwatson.com

IBM Watson Oncology Built with Memorial Sloan Kettering

PG.26

Skilled Workforce

• A unique ‘Simulation Training Center’. Bumrungrad is Thailand’s first private hospital to use such an innovative training facility to improve patient care.

• currently equipped with the latest version full body manikin and infant manikin which can simulate more than 60 key situations including pulse, heart rate, pulmonary sound, sweating, tearing, and purple nails.

• The simulation center can accommodate registered nurses up to eight sessions per day.

PG.27

Skilled Workforce

• BH entered into the Donation for Educational Support Agreement with St. Louis College to donate 69 MB for expansion of nurse training program and facilities of St. Louis College which will provide an addition 60 nurse students per year

• BH will offer scholarships and employment program for those 60 nurse students

• This cooperation will secure nursing staffs for BH

• Jan 6, 2014: Established a new subsidiary for education and training in clinical and healthcare service

• Focused on improving and expanding the group of companies training capabilities

• Provide training services to outside parties

Bumrungrad Personnel Development Center Co., Ltd.

PG.28

Current Status – Petchburi Project

• Clarification is being sought on the criteria for calculating the bonus FAR.

• Without any additional bonus FAR, the total land area 8,200 sq.m. will allow a total FAR of construction area of 65,606 sq.m. and a total construction of 73,903 sq.m.

• Re-Design and resubmission of EIA is in progress

• Construction expected to start in September 2015

PG.29

Current Status – Soi 1 Parking Lot Project

Land bank Soi 1 with phase 1 development of a parking structure

PG.30

Bumrungrad Tower

• Bumrungrad Tower on Rama IV road

• 23-storey building in good condition

• Land area 3,368 sq.m.

• Total building area of 40,650 sq.m. will accommodate

- 300-400 back office employees

- Dorm rooms for over 1,000 employee

• Renovation cost approx. 220 MB

• Offices in rental building will start moving to BH Tower in October 2014 and will be completed by December 2014

PG.31

Overview

Strategy

Operational Update

Financial Performance

Associated Companies

Agenda

PG.32

3,085 3,004 3,038

2,958 3,069 3,022

3,038 3,038 2,820

3,348 3,423

3,070

0

1,000

2,000

3,000

4,000

3Q 4Q 1Q 2Q(inc. HHE)

3Q(inc. HHE)

3Q(exc.HHE)

2012 2013 2014

Overall Volume Trend

Visits

Average Visits per Day

8.1% 1.5%

89 84

89 83 86 80

89 89 84 91

101

90

0

20

40

60

80

100

120

3Q 4Q 1Q 2Q(inc.HHE)

3Q(inc.HHE)

3Q(exc.HHE)

2012 2013 2014

Admissions

Average Admissions per Day

1.0% 2.0% ADC

Average Daily Census

389 378 374 368

381

356

374 374 374

406

438

378

300

320

340

360

380

400

420

440

460

3Q 4Q 1Q 2Q(inc.HHE)

3Q(inc.HHE)

3Q(exc.HHE)

2012 2013 2014

2.7% 3.9% 1.9% 1.9%

10.8%

13.1% 14.1%

1.5% 12.7% 1.1%

13.7% 1.2% 17.4% 1.3%

Outpatient and inpatient volumes advanced 12.7% and 13.7%, respectively, in 3Q14 compared with 3Q13, with most of the increase due to volumes contributed by the UBSD acquisition. Excluding UBSD, outpatient and inpatient volumes grew 1.1% and 1.2%, respectively.

PG.33

6,550 6,693

7,459 7,652 7,192

7,411 7,459

7,459 7,531 6,982 7,254

7,933

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

3Q 4Q 1Q 2Q 3Q(inc.HHE)

3Q(exc.HHE)

2012 2013 2014

212,437 218,808

234,988 251,356

233,385 246,372 234,988 234,988

263,996

238,899 231,289

257,194

0

50,000

100,000

150,000

200,000

250,000

300,000

3Q 4Q 1Q 2Q 3Q(inc.HHE)

3Q(exc.HHE)2012 2013 2014

Revenue per episode reflects an increase from the 1st Jan 2014 and 15th May 2013 price adjustment. Revenue intensity : 3rd Quarter Including HHE Consolidated FS OPD revenue intensity -8.5% IPD revenue intensity per admission -7.2% Excluding HHE Consolidated FS OPD revenue intensity flat IPD revenue intensity per admission 4.2%

Revenue Intensity

Bt

Revenue per Visit

Bt

Revenue per Admission

14.1%

10.6% 14.9%

14.3% 4.7%

13.1% 3.0%

2.8% 6.4%

1.6% 9.5%

5.8%

PG.34

Volume Contribution by Nationality

Revenue Contribution by Nationality

International Breakdown

• For 3Q14: Revenues by market segment international patients

accounted for 60.1% of the total in 3Q14, with the remaining

39.9% from Thai patients, reflecting a small increase in the

39.8% from Thai patients in 3Q13.

• YTD Sep14 Top 5 revenue contribution by Non-Thai Nationalities

Myanmar 8%

UAE 7%

Oman 7%

USA 5%

Cambodia 3%

60% 61% 59% 62% 60%

40% 39% 41% 38% 40%

0%

20%

40%

60%

80%

100%

3Q13 4Q13 1Q14 2Q14 3Q14

International Thai

46% 47% 44% 52% 52%

54% 53% 56% 48% 48%

0%

20%

40%

60%

80%

100%

3Q13 4Q13 1Q14 2Q14 3Q14

International Thai

PG.35

Revenue Breakdown

Inpatient vs. Outpatient (% of revenue) Method of Payment (% of revenue)

YTD Sep14

• 3Q14 Revenue growth:

Outpatient revenue increased by 9.6% y-o-y

Inpatient revenue increased by 11.9% y-o-y

• Self-pay remains the primary method of payment

48% 48% 51% 48% 48%

52% 52% 49% 52% 52%

0%

20%

40%

60%

80%

100%

3Q13 4Q13 1Q14 2Q14 3Q14

Inpatient Outpatient

Corporate Contracts - Domestic

9%

Corporate Contracts -

Intl 8%

Self-pay 69%

Insurance 14%

PG.36

Agenda

Overview

Strategy

Operational Update

Financial Performance

Associated Companies

PG.37

Operating Performance 2009-2013 Total Revenues

Profit

EBITDA

2,2592,450

2,819

3,326

4,016

0

1,000

2,000

3,000

4,000

5,000

2009 2010 2011 2012 2013

EB

ITD

A (

TH

B m

m)

15% CAGR

790

14,651

13,25211,30610,056

9,338

0

3,000

6,000

9,000

12,000

15,000

18,000

2009 2010 2011 2012* 2013

To

tal R

even

ues (

TH

B m

m)

12% CAGR

63

33

548

1,258

1,2461,555

2,010

2,521

0

500

1,000

1,500

2,000

2,500

3,000

2009 2010* 2011** 2012*** 2013

Pro

fit

(TH

B m

m)

19% CAGR

DILUTED EPS

1.44

1.451.79

2.32

2.91

0.070.04

0.63

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

2009 2010 2011 2012 2013

Dilu

ted

EP

S (

TH

B)

19% CAGR

* One-time loss of THB 63 million in 2010 was loss on the translation adjustment from the sale of Asia

Renal Care (ARC) Group

** One-time profit of THB 33 million in 2011 was tax loss on sale of BMC THB 106 million offset with loss

on sale of AHI THB 24 million and loss on share repurchase THB 50 million

*** One-time profit of THB 548 million in 2012 was gain on sale of investment (KH), net of tax THB 567

million offset with capital gain tax and tax advisory services on AHI sale THB 14 million and certain wind

down and operation costs of BIL THB 5 million.

1,321

2.95

1.83

1,588

2,558

1.52

Remark: The calculation of CAGR is excluding the extraordinary items. Remark: The calculation of CAGR is excluding the extraordinary items.

Remark: The calculation of CAGR is excluding the extraordinary items.

14,042

* One-time revenue of THB 790 million in 2012 was gain on sale of investment in subsidiary.

PG.38

Margins & Trend

Margins have been growing over the last 3 years

Net Profit Margin Trend

15.1%17.2%

13.7%13.1%13.3%

0%

10%

20%

30%

2009 2010* 2011* 2012* 2013

EBITDA Margin Trend

27.7%

25.3%25.0%24.2% 24.4%

15%

20%

25%

30%

35%

2009 2010 2011 2012 2013*Excluding extraordinary items

PG.39

9M14 Update

3,005

3,334

27.8% 28.8%

0%

10%

20%

30%

40%

2,800

2,900

3,000

3,100

3,200

3,300

3,400

9M13 9M14

EBITDA EBITDA Margin

Total Revenues EBITDA

Net Profit

THB million THB million 11.0%

THB million

• Cost of hospital operations (including Depreciation and amortization) of Baht 6,921 million for 9M14, or 5.1% more year-over-year from Baht 6,583 million in 9M13, compared to the 7.5% growth in Revenues from hospital operations. In addition, the percentage of Cost of hospital operations to Revenues from hospital operations improved from 62.0% in 9M13 to 60.7% in 9M14. Administrative expenses (including Depreciation and amortization) were Baht 2,049 million in 9M14, increasing 14.1% from Baht 1,796 million in 9M13. This change included Baht 75 million more in Depreciation and amortization associated with the campus expansion and revised estimated useful lives of certain assets, Baht 69 million in donations to support nurse recruitment, and Baht 51 million in repair and maintenance expenses. EBITDA grew 11.0% year-over-year from Baht 3,005 million in 9M13 to Baht 3,334 million in 9M14, with the EBITDA margin advancing to 28.8% in 9M14 compared with 27.8% in 9M13.

• Net profit advanced 7.8% to Baht 2,042 million in 9M14 from Baht 1,894

million in 9M13, with Net profit margin at 17.5% in 9M14 compared to 17.3% in 9M13. Diluted EPS increased at the same rate as Net profit to Baht 2.35 from Baht 2.18 in 9M13.

10,915

11,660

9,000

10,000

11,000

12,000

6.8%

9M13 9M14

1,894

2,042

17.3%

17.5%

0%

10%

20%

30%

40%

1,800

1,850

1,900

1,950

2,000

2,050

2,100

9M13 9M14

Net Profit Net Profit Margin7.8%

PG.40

Leverage

x Interest Coverage

x

Net Debt to EBITDA

x

Net Debt to Equity

x

** *

0.2

0.6

(0.1) (0.1)

(0.1) (0.25)

0.00

0.25

0.50

0.75

2010 20112012 2013 YTD

Sep14

0.4

1.3

(0.3) (0.2) (0.1)

(0.50)

0.00

0.50

1.00

1.50

2010 2011

2012 2013YTD

Sep14

35.9

14.9 13.8 16.4

18.5

0

10

20

30

40

2010 2011 2012 2013 YTD Sep14

*Interest expense related to the purchase of common shares of Bangkok Chain Hospital PCL (doing business as "Kasemrad Hospital Group") to calculate interest coverage ratio was Baht 111 million based on remaining days after the transaction settled. Assuming this interest expense was incurred for the full year, interest expense from this transaction would be Baht 140 million and interest coverage ratio will be 12.9x **After adding back the YTD Sep14 capitalized interest expense related to the campus expansion.

• The total debt as at 30 September 2014 remained significantly lower than the Cash and cash equivalents balance, leading to a net cash balance after considering outstanding debt.

• After adding back the YTD Sep14 capitalized interest expense related to the campus expansion of Baht 41 million, the Company’s Interest coverage ratio improved to 18.5x in YTD Sep14.

PG.41

Dividend Payment

0.40 0.40 0.40 0.45 0.60

0.70

0.40 0.45 0.50 0.65 1.20

1.20

0.00

0.20

0.40

0.60

0.80

1.00

1.20

1.40

1.60

1.80

2.00

2008 2009 2010 2011 2012 2013

Final

Interim

1.90 Bt per share

49.8%49.0%

52.0% 50.6% 49.3%

55.0%

0%

20%

40%

60%

80%

2008 2009 2010 2011 2012 2013

The dividend payout ratio has recently increased.

0.80 0.90 0.85

1.10

Dividend Payment

Payout Ratio

1.80

PG.42

Agenda

Overview

Strategy

Operational Update

Financial Performance

Associated Companies

PG.43

Investment in Mongolia On 28 March 2014, Health Horizons Enterprises Pte. Ltd. (“HHE”), an overseas

subsidiary 80% owned by the Company, acquired 100% of the common shares of Bumrungrad Mongolia LLC (“BML”), which holds 51% of the common shares of Seoul Seniors Tower LLC (“SST”), for approximately USD 12 million in cash. Additionally, HHE provided a loan of USD 3.3 million to SST, which owns and operates Ulaanbaatar Songdo Hospital (“UBSD”) in Mongolia.

The seller of shares of SST is entitled to receive additional contingent consideration in

the form of earn-out payments, provided certain cumulative net profit targets are achieved through December 31, 2016, at the maximum of MNT 10,965.9 million, which has not yet been recorded.

HHE’s consolidated assets and liabilities, which include SST and BML as of the

acquisition date, are included in the Company’s consolidated financial statements for 1Q14. HHE has recorded the net tangible assets of SST and BML acquired at their fair values as of the acquisition date. The remaining excess of the purchase price over the net value of the tangible assets acquired was allocated as goodwill. The preliminary amount of goodwill, which excludes any impact from additional contingent consideration, is approximately USD 3.5 million.

PG.44

Ulaanbaatar Songdo Hospital (UBSD)

Corporate Structure

• BML acquired 51% of common shares of Seoul Seniors Tower LLC “SST”, who owns and operates UB Songdo on 28 March 2014

• UB Songdo currently has 98 beds, diagnostic imaging, and 60 doctors in major medical specialties both inpatient and outpatient care

• One of 4 hospitals and only private hospital in Mongolia with a nationwide general hospital license