ICBC has achieved incomes from intermediate business for RMB 28.3 billions in the first half of this year with a year-on-year growth of 17%. When we carefully review the income structure of ICBC's intermediate business, we can find that the major reasons why its intermediate business, especially emerging corporate business like investment banking, keeps growing are introduction of a number of innovative products and further expansion of service fields. Besides, the scale advantage of emerging business such as E-banking and bank card further shows and ensures there is a firm foundation for ICBC's incomes from intermediate business.

An expert of the industry pointed out, impacted by some factors such as narrowing difference of credit interests and sharpening market competition, a commercial bank can keep a steady income growth only if it constantly introduces products that more cater for the demands of clients and market and exploits new service fields. This year ICBC takes diversified balanced development of intermediate business as a key development direction and many of its emerging intermediate business have realized fast growth.

Take an example of investment banking business. The first half of this year, ICBC's incomes from investment banking business hit to RMB 7.143 billions, representing a year-on-year growth of 48.1%; the incomes in this field account for 25% of total incomes from intermediate business, representing a year-on-year growth of more than 5%. Investment banking business has become one of main income sources of ICBC's intermediate business. The total incomes from branded investment banking business such as investment and financing consultation, underwriting of short-term financing bonds and mid-term notes, arrangement and underwriting of syndicated loan，credit asset transfer, reorganization and M&A as well as market listing and bond issuance consultation reached RMB 5.51 billions in the period, accounting for 77% of all incomes from investment banking, increasing 7% in comparison with the same period of the last year. ICBC keeps enhancing its technological contents, service level and business value added of investment banking while it constantly optimizes its income structure. For instance, when offers M&A loans, ICBC also offers "financing + consultation" comprehensive M&A service solutions such as reorganization and M&A consultation for clients and all-round financial service supports for enterprises in trans-regional and trans-industrial merger and acquirement. As a result, it has obtained recognition in the market. In the selection of "Outstanding Investment Banking in China, 2009" held in the last April, ICBC won awards including "The Best Investment Banking" and "The Best Reorganization & Acquirement Banking". The project of "Bao Steel Group recognizes Guangdong Iron & Steel Industry" was selected as "The Best M&A Project" and ICBC was M&A advisor of the project.

ICBC also kept sound momentum of fast healthy development in enterprise annuity field. By the end of the last June, ICBC had owned more than 16 thousand enterprise annuity legal person clients and managed 5.99 million personal annuity accounts. ICBC is keeping the leading position in the industry in China in the scales of clients, annuity trust business and annuity trust fund business. As one of the first group of financial institutions authorized to carry out enterprise annuity business, together with ICBC Credit Suisse Asset Management Co. Ltd, an ICBC's subsidiary company, ICBC has been granted all business licenses of enterprise annuity legal personal trusteeship, account management, trusteeship and investment manager so that it can offer all-round enterprise annuity services for clients.

Besides, ICBC was also leading the way in the industry in many emerging intermediate business such as wealth management, bank card and E-banking in the first half of this year. During the period, the sales volume of ICBC's banking wealth management products rose to RMB 1084.1 billions, representing a year-on-year growth of 125.5%. In corporate wealth management business, the sales volume of ICBC's corporate wealth management products reached RMB 688.8 billions, representing a year-on-year growth of 144%; ICBC achieved incomes of corporate wealth management business of RMB 1.836 billions with a year-on-year growth of 25.9%. ICBC recently introduced smart express flexible extra short-term wealth management product, 28-day rolling corporate wealth management product and RMB structure deposit for mid and small-scale enterprises, and all these can fully satisfy the demands of corporate clients on wealth management with short-term idle funds. During the period, ICBC also issued nearly 30 million varied Peony Cards, so ICBC has issued 270 million bank cards accumulatively. The consumption amount of ICBC's Peony Cards has reached RMB 617.2 billions, representing a year-on-year increase of 62.3%. Of them, 45.7 million credit cards were issued, representing a growth of 17.0%, or 6.65 million cards compared with the early of this year. The transaction volume of credit card consumption has increased to RMB 199.5 billions, representing a year-on-year growth of 80.1%, or RMB 88.7 billions. The two core indicators including issuance volume and consumption amount of credit cards were close to one third of market shares respectively. In E-banking business, by the end of June, ICBC has owned 140 millions E-banking clients involving RMB 70 trillions. The business via E-banking channel has counted for 46.2% of all business volume of the bank with 6.7% of increase over the same period of the last year.