[Valuation of our investment properties
[我们本公司投资物业的估值

Our investment properties are office properties that we hold for rental income. We state our investment properties at their fair value as non-current assets on our balance sheet on the basis of valuations by a qualified independent professional valuer.

We supply the independent professional valuer with various information including the leases existing on our investment properties and our estimate as to when and whether the lease terms may be extended, for the valuer to use as a basis of its valuation. Property valuation involves the exercise of professional judgment and requires the use of certain bases and assumptions with respect to factors including:

本公司我们的投资物业是为获取租金收入持有的为持以用作收租的写字楼物业。我们的投资物业根据合资格独立专业估值师的估值，在资产负债表上按公允价值公平值作为非流动资产入账。本公司向独立专业为使估值师估值时有所依据，我们向独立专业估值师提供各种资料，包括我们投资物业的现有租约和本公司及我们对有关租约何时续期及能否是否会续期的估计，作为估值师的估值依据。在截至二零零五年及二零零六年十二月三十一日止两个年度，我们投资物业公平值的收益分别为228.0百万元人民币及282.2百万元人民币，而在截至二零零七年三月三十一日止三个月则为314.0百万元人民币。物业估值需要运用涉及专业判断，也会用到与亦需基于有关下列因素有关的若干基准及假设，包括：

1) current prices in an active market for properties of different nature, condition or location (or subject to different lease or other contracts), adjusted to reflect those differences;

2) 在一个活跃的市场中，不同性质、状况或地点（或受不同租约或其他合约约束规限）的物业在活跃市场的现时价格，须加以再作出调整以反映这些差异以上差别；

3) recent prices of similar properties in less active markets, with adjustments to reflect any changes in economic conditions since the date of the transactions that occurred at those prices; and

4) 在相对不活跃的市场中，类似上同类物业的最近价格，须加以再作出调整以反映按这些以该价格发生进行交易的日期以来后的经济状况的任何变化转变；及

discounted cash flow projections based on reliable estimates of future cash flows, derived from the terms of any existing lease and other contracts, and (where possible) from external evidence such as current market rents for similar properties in the same location and condition, and using discount rates that reflect current market assessments of the uncertainty in the amount and timing of the cash flows.

根据未来现金流量的可靠估计所作的折现现金流量预测，主要参考根据现有的租约或其他合约的条款，以及（可能的话）外部证据，如计算的可靠未来现金流量估算作出现金流折现预测，亦考虑相同地点及状况的类似同类物业的当前现时市场租金。所用的折现率须能反映目前市场对现金流量的金额和时间的不确定性的评价水平等外界证据（如有），并且采用可反映当时市场估计现金流量数额及时间不确定因素的折现率。