Monthly Report Feb 2012 Accounting, Finance, Investment

2 Contents Activities Market Watch Investment / Financial Results Plans

3 Accounting & Finance 2011 financial statement Working with E&Y auditor to release the final version from the year-end auditing financial statement Working with E&Y auditor to release the final version from the year-end auditing. Automatic booking of CS tasks Working with IT to launch the automatic accounting booking of CS functions. Automatic booking of CS tasks Working with IT to launch the automatic accounting booking of CS functions Budget performance: All departments have given the departmental commentaries prior to reporting to BOD Budget performance: All departments have given the departmental commentaries prior to reporting to BOD. Activities

4 Investment Enhance Investment Yield Moving money to the highest return assets Enhance Investment Yield Moving money to the highest return assets Send Mr. Phong to Parent Company Learning how to evaluate stocks, knowledge of real estate & risk management Send Mr. Phong to Parent Company Learning how to evaluate stocks, knowledge of real estate & risk management Train newcomer Developing ability of analyzing economic indicators. Train newcomer Developing ability of analyzing economic indicators. Activities

5 Market Watch NY S&P 500 YTD: 8.3%; MTD: 3.8% US labor market conditions improved but slowly. Fed will maintain exceptionally low rate through late Frankfurt DAX YTD: 17.3%; MTD: 7.0% Greece finally receives €130bln bailout from EU and prevents a default in March Shanghai SHX YTD: 8.3%; MTD: 3.9% PBoC cut reserve requirement rate 0.5% even though January’s CPI rose to 4.5%. Taipei TWSE YTD: 12.0%; MTD: 5.4% The ruling party won president election. Market rebounds as political uncertainty disappeared. HCMC HCM YTD: 16.9 %; MTD: 5.9% In Jan inflation slowed down to 17.27% and Vietnam surprisingly recorded $170 mln trade surplus (As of Feb. 21 th )

6 Interest Rate & Inflation Market Watch Interest Rate (As of Feb. 21 th ) Note: Rate for institutions. CPI YOY(%) Interest rates are still high and will decrease if inflation is successfully curbed. DD3M6 M12 M SOCB VND4.014 USD JSCB VND5.014 USD0.30.5

7 Exchange Rate Market Watch VND strengthens under official price 20,828 because demand on USD decreased. source: Bloomberg

8 Asset Allocation & Revenue Investment Result Gov. Bonds: Ave. yield 15.3%; Duration 4.7 Gov. Bonds: Ave. yield 15.3%; Duration 4.7 USD TD: Weighted rate 0.9%; Tenor: 0.1 USD TD: Weighted rate 0.9%; Tenor: 0.1 VND TD: Weighted rate 13.6%; Tenor: 5.2 VND TD: Weighted rate 13.6%; Tenor: 5.2 Cash/DD: Target amount of 1.5 billion Cash/DD: Target amount of 1.5 billion Gov. Bonds (64.3%) USD TD (7.1%) VND TD (28.3%) Cash / DD (0.3%) Note: As of Feb. 21 th. Bonds account for the highest proportion of our assets. Weighted average yield is around 13.7%. We achieve 11.1 billion VND Investment Return in January.

budget performance Financial Result Millions VNDActual Original budget Variance% Marketing149,639106,82642,813140% Human Resources 42,24541, % Training1,7211, % Legal % Investment % Finance & Accounting 1, % Total expenses had exceeded VND 37.9 billion or 16% the original budget.

budget performance Financial Result Millions VNDActual Original budget Variance% General Administration 53,71157,193-3,48294% Public Relation10,21311,821-1,60886% IT18,14519,159-1,01495% Policy Administration 9371, % Audit % Planning % GA, Public Relation & IT totally saved 6bn VND.

11 Accounting & Finance The 2011 tax finalization Working with Marketing & HR on the 2011 tax (PIT) as well as completing the CIT. The 2011 tax finalization Working with Marketing & HR on the 2011 tax (PIT) as well as completing the CIT. Information disclosure Publishing and announcing the 2011 results of Cathay Life Vietnam on newspapers Information disclosure Publishing and announcing the 2011 results of Cathay Life Vietnam on newspapers System improvement Working with IT on the automatic allocation of the pre-payment System improvement Working with IT on the automatic allocation of the pre-payment Plans

12 Investment Matured bonds reinvestment Planning to reinvest 30bn in 10yrs bonds to extend duration of assets. The yield is 11.2% now. Matured bonds reinvestment Planning to reinvest 30bn in 10yrs bonds to extend duration of assets. The yield is 11.2% now. Interest rate forecast Based on our view, deciding whether to sell 110bn bond that will mature in December. Interest rate forecast Based on our view, deciding whether to sell 110bn bond that will mature in December. Plans

Thank You