Minsheng Financial Leasing

February 2014

Table of Content

1. MSFL Overview

2. Business Strategy

3. Financing Transaction Achievements

1. MSFL Overview

MSFL Overview

Corporate Profile

Founded in April of 2008, Minsheng Financial Leasing Co.,

Ltd. (MSFL) was one of the first five Chinese financial leasing

companies with a banking background to be approved by the

China Banking Regulatory Commission (CBRC)

MSFL is the top player in the industry in terms of scale and

profitability. As of December 2013, the total assets of MSFL

exceeded RMB111 billion (US$18.4 billion). 2013 net income

exceeded RMB1,648 million (US$271.9 million)

Currently MSFL owns more than 250 aircrafts, over 150 ships

and more than 5.8 million tonnages bulk carrier capacity, the

biggest business aircraft leasing company in Asia and the

biggest ship leasing company in China

MSFL is given the “AAA” corporate credit rating by the

domestic credit rating agency recognized by the People’s

Bank of China

Recent rewards include:

‒ “Best Financial Leasing Company of the Year”

‒ “Most Competitive Financial Services Award”

‒ “Financial Leasing Company of the Year”

Shareholding Structure

China Minsheng

Bank

Tianjin Wealth

CompanyOthers

MSFL

51.03% 11.78% 37.19%

Others include:

Beijing Dayi Xingye Real Estate Development Co., Ltd. 8.83%

Shanghai Guozhijie Investment Development Co., Ltd. 7.85%

Jiangsu Sunshine Group 5.89%

Shanghai Guozheng Investment Management Co., Ltd 5.89%

Guangzhou Ziquan Real Estate Development Co., Ltd. 3.925%

China Century Investment Co. Ltd. 3.925%

San Jin Da Investment Co. Ltd. 0.88%

1

MSFL: 69

41%

NonMSFL:

99

59%

By end of Oct 2013, business jet number totaled 320 in great China.

MSFL has 69 delivered business jets, accounting for 41% of domestic market share, leading the

business jet industry in China.

HK &

Macao &

TW: 152

47%MSFL: 69

22%

NonMSFL:

99

31%

Market Share & Fleet Size

Minsheng Fleet 2012 2013 Oct. 2013 Growth

Corporate Jet 97 112 15

Prop 2 2

Helicopter 8 11 3

Other General Aviation Aircraft 9 61 52

Simulator 2 2 0

Engine 4 4

Airports 3 3

Strategic Vision

By 2013

• Establish MSFL as

the best leasing

company in China

• Get listed in both

domestic and

international markets

• Become a leading

leasing company in

Asia

2014-2018

2019-2023

• Expand and become

industry leader

worldwide

Source: Company disclosures.

6

• By 2017, Aviation Leasing

reaches a total asset of 100

billion RMB, net profit of 1.5

billion.

• Fleet size of 400 general

aviation aircrafts and 100

commercial aviation aircrafts.

• Leading aviation leasing

company in Asia (Spin-off?)

2. Business Strategy

11.911.1 10.6 10.3 9.7 9.6 9.4 9.2

8.1 7.8 7.7 7.8 7.7 7.6

0

2

4

6

8

10

12

14

0

100000

200000

300000

400000

500000

600000

GDP

GDP（100Mil） GDP Quarterly Rate（%）

The main customers of Business

Jet in China are POEs. GDP downturn

made the negative impact for

business jet development in China.

12.4 13 13.4 12.8 13.2 13.6 13.9 13.514.8

14.1 13.9 13.8

15.915.2 15.7 16.1 15.8

14

2

7

12

17

Money Supply

M2 Monthly Rate（%） M1 Monthly Rate（%） M0 Monthly Rate（%） The growth rate for money supply is

going down and market liquidity was

tight in 2013. In Jun 2013, Shibor rate

dramatically climbing up gave a signal

of tight liquidity, which caused the

upward trend of funding cost.

Macro Economy in China

Minsheng Aviation Eco System

Minsheng International Jet

Capable to provide full

service in business jet

operation

Aim to provide premium

service and achieve jet value

preservation

Aspired to become the

largest business jet operator

in China

Sanhe General Aviation Airport

Approved by Hebei’s provincial

government approval, the airport

was jointly initiated by MS, Sanhe

municipal gov. and Hebei

Province Aviation Investment

Holding

Located in Hebei Province (near

Beijing), the airport will become

the first general aviation airport in

China. It’s now under process of

establishment procedure

8

MSFL

MSCA

Minsheng

Intl. Jet

Sanhe

General

Aviation

Airport

Minsheng Commercial Aviation (MSCA)

As a part of MSFL integrated aviation platform, MSCA is specialized in commercial aircraft field leasing aircraft to leading and

reputable airlines in China as well as globally.

MSCA is led by Johnny Lau, who has extensive working experience in aviation for over 25 years. Other team members are

specialized in technical, finance and business areas with cumulative industry experience over 100 years.

In Aug 2013, MSCA announced its first transaction with Air Berlin, Germany's second-largest airline by passenger volume for a

sales-and–lease-back deal of eleven-aircraft. In Dec 2013, MSCA signed the first portfolio transaction with SMBC Aviation Capital

for the acquisition of its 13 aircraft under operating lease agreements at a total amount of USD477mm and closed the first

transfer of aircraft before the Christmas Holiday in a timely 34 calendar days from Letter of Intent.

Minsheng Aviation Full Service Chain

Private jet Charter Aircraft Management

Ground handling

& maintenance

Purchase

consultations

Acquired

and

Renamed

Minsheng International Jet

>10B

5B – 10B

1B – 5B

<1 B

>400Hr

300-400Hr

100-300 Hr

<100 Hr

Whole Aircraft Leasing

Fractional Ownership

Annual Whole Aircraft Leasing

Annual Hourly Chartered (Package)

Aircraft Charter (Spontaneous)

Chinese Market Analysis

B. Fight Hour(Per Year)A. Customer Wealth (Net Asset)

3. Financing Transaction

Achievements

Export-Import

Bank of

US

8 Gulfstream

aircrafts

USD

300 MillionExport

Development

Canada

5 Bombadier

aircrafts

USD

210 Million

Financing Transaction Achievements

Total credit line of 1.5billion USD and 1 billion USD disbursements

• ECAs

• PDP Financing

• 300million USD Cross-Border Structured Finance

• Conventional Asset Backed Finance with Taiwanese and European Banks

• Cooperation with Major Chinese State-Owned Banks and

Policy Banks

Thank you！