ZHEJIANG EXPRESSWAY CO LD: 2013 Interim Report

ZHEJIANG EXPRESSWAY CO., LTD. 
2013 Interim Report 
Seizing Opportunities and March Forward 
In the first half of 2013, China's economy remained stable, the economy of 
Zhejiang Province and foreign trade 
continued to pick up, and the trading volume in the Shanghai and Shenzhen stock 
markets recovered. Against this 
background, Zhejiang Expressway seized opportunities to drive business growth 
and boost business income as well 
as profits. During the Period, the Group completed the acquisition of a 76.55% 
equity interest in the Jinhua 
Section of the Ningbo-Jinhua Expressway, which has already contributed toll 
income to the Group. In addition, the 
IPO application for the listing of Zheshang Securities in the A share market 
has been accepted by the China 
Securities Regulatory Commission, and is on the waiting list for IPOs. 
Looking forward to the second half of the year, we will continue to initiate 
actions to promote healthy business 
development, reduce costs and enhance efficiency. We will also generate 
strategic synergies with our parent 
company by seeking suitable investment projects, nurturing management 
capabilities in our diversified businesses 
and utilizing our advantage in financial resources to expand the space for 
future development and to improve 
profitability. 
Contents 
2013 Interim Results 
Business Review 
Financial Analysis
Outlook 
Disclosure of Interests and Other Matters
Condensed Consolidated Statement of Profit or Loss and Other Comprehensive 
Income
Condensed Consolidated Statement of Financial Position 
Condensed Consolidated Statement of Changes in Equity 
Condensed Consolidated Statement of Cash Flows  
Notes to Condensed Consolidated Financial Statements 
Appendices 
Corporate Information
Corporate Structure of the Group
Financial Highlights 
Location Map of Expressways in Zhejiang Province 

2013 Interim Results 
The directors (the "Directors") of Zhejiang Expressway Co., Ltd. (the 
"Company") announce the unaudited 
consolidated operating results of the Company and its subsidiaries 
(collectively the "Group") for the six months 
ended June 30, 2013 (the "Period"), with the basis of preparation as stated in 
note 1 to the condensed 
consolidated financial statements set out below. 
During the Period, revenue for the Group was Rmb3,647.27 million, representing 
an increase of 6.1% over the same 
period in 2012. Profit for the Period attributable to owners of the Company was 
Rmb930.39 million, representing 
an increase of 6.9% year-on-year. Earnings per share for the Period was 
Rmb21.42 cents (same period in 2012 
(restated): Rmb20.03 cents). 
The Directors have recommended to pay an interim dividend of Rmb6 cents per 
share, subject to shareholder approval 
at the extraordinary general meeting of the Company expected to be held on 
October 17, 2013. 
The interim report has not been audited or reviewed by the auditors but has 
been reviewed by the audit committee 
of the Company. 
Business Review 
The rate of growth in the Chinese economy has slowed down in 2013 as a result 
of the slow recovery of the global 
economy and the domestic policy to maintain steady growth and undergo 
structural adjustment. In the first half of 
the year, China's GDP grew 7.6% year-on-year, while economic growth was down 
0.1 percentage point from the first 
quarter of 2013. Zhejiang Province, which saw its economy begin to stabilize 
and pick up in the second half of 
2012, continued to grow steadily in the first half of the year. The province's 
GDP grew 8.3% year- on-year during 
the Period, an increase the same as that of the first quarter of the year. 
Benefiting from steady growth in the economy of Zhejiang Province as well as 
the recovery in foreign trade in the 
province, the Group's income increased by 6.3% comparing with the same period 
last year, amounting to a total of 
Rmb3,759.66 million. Of this income, Rmb1,987.14 million was generated from the 
three major expressways owned and 
operated by the Group, representing an increase of 4.2% when compared with the 
same period in 2012 and accounting 
for 52.9% of total income. Rmb1,016.65 million was generated from the Group's 
toll road- related businesses, 
representing a slight decline of 2.0% when compared with the same period in 
2012 and accounting for 27.0% of total 
income. The securities business contributed an income of Rmb755.88 million to 
the Group, representing an increase 
of 27.4% when compared with the same period in 2012 and accounting for 20.1% of 
total income. 
A breakdown of the Group's income for the Period is set out below: 
                                              For the six months ended June 
30, 
                                                       2013               
2012    
                                                    Rmb'000            
Rmb'000        % Change 
                                                 (Unaudited)    (Unaudited 
and    
                                                                      
restated)   
--------------------------------------------------------------------------------
-------------------
Toll income
  Shanghai-Hangzhou-Ningbo Expressway                 1,502,446          
1,456,618            3.1%
  Shangsan Expressway                                   359,199            
338,830            6.0%
  Jinhua section, Ningbo-Jinhua Expressway              125,490            
112,198           11.8%
Other income 
  Service areas (mainly sales of goods)                 962,830            
987,188           -2.5%
  Advertising                                            53,815             
49,796            8.1%
Securities business income
  Commission                                            579,077            
450,200           28.6%
  Bank interest                                         176,800            
143,301           23.4%
--------------------------------------------------------------------------------
-------------------
Subtotal                                              3,759,657          
3,538,131            6.3%
Less: Revenue taxes                                    (112,389)           
(98,935)          13.6%
--------------------------------------------------------------------------------
-------------------
Revenue                                               3,647,268          
3,439,196            6.1%
--------------------------------------------------------------------------------
------------------- 
Toll Road Operations 
A higher level of organic growth was maintained in the traffic volume of the 
Group's Shanghai-Hangzhou-Ningbo 
Expressway and Shangsan Expressway during the Period as a result of apparent 
signs of stable growth in Zhejiang's 
economy in the first half of the year. Although the organic growth in the 
traffic volume in the second quarter was 
lower compared to the first quarter, it remained higher than in the fourth 
quarter last year. 
The impact of the toll free policy on small passenger vehicles for the long 
holidays of Chinese New Year, Qingming 
Festival and Labour Day during the Period led to a loss of approximately Rmb73 
million in the Group's toll income. 
Coupled with the impact of a number of negative factors such as the phasing out 
of the "Unified Toll Card" policy 
early last year, the adjustment to the rounding off of the last figures for 
passenger vehicle tolls in mid-May and 
the launch of the policy to adjust the classification of passenger vehicles in 
early August in the same year, the 
Group's toll income suffered a loss of approximately Rmb169 million during the 
Period. 
Meanwhile, following the implementation of the tolling policy based on actual 
travel routes in Zhejiang Province 
on May 15, 2012, the Company has managed to increase its toll income by 
approximately Rmb69 million through the 
implementation of a number of initiatives such as the marketing campaign on the 
tolling policy based on actual 
travel routes, the fine-tuning of the toll-by-weight mechanism and the 
modification of weighing equipment. In 
particular, the tolling policy based on actual travel routes had a larger 
positive impact on Shangsan Expressway, 
and accordingly, the increase in toll income from Shangsan Expressway was 
higher than that from 
Shanghai-Hangzhou-Ningbo Expressway during the Period. 
Near the end of the Period, the Group completed the acquisition of a 76.55% 
equity interest in Zhejiang Jinhua 
Yongjin Expressway Co., Ltd. ("Jinhua Co", which owns and operates the 69.7km 
Jinhua Section of the Ningbo-Jinhua 
Expressway). During the Period, construction work on some bridges on S211 
Provincial Road, which runs parallel to 
the Ningbo-Jinhua Expressway, led to an increase in the number of vehicles 
rerouted to some parts of the Jinhua 
Section of the Ningbo-Jinhua Expressway, while the continued traffic congestion 
on the roads in some areas of 
Yiwu prompted a large number of local short-distance vehicles to switch to the 
nearby Jinhua Section of the 
Ningbo-Jinhua Expressway. Moreover, benefiting from the rapid growth in import 
and export trade in Jinhua, the 
traffic volume of large trucks and container trucks increased significantly on 
a year-on-year basis during the 
Period. 
Average daily traffic volume in full-trip equivalents along the Group's 
Shanghai-Hangzhou-Ningbo Expressway was 
43,273 during the Period, representing an increase of 3.4% year-on-year. In 
particular, average daily traffic 
volume in full-trip equivalents along the Shanghai-Hangzhou Section of the 
Shanghai-Hangzhou-Ningbo Expressway 
was 43,636, representing an increase of 2.4% year-on-year, and that along the 
Hangzhou-Ningbo Section was 43,005, 
representing an increase of 4.2% year-on-year. Average daily traffic volume in 
full-trip equivalents along the 
Shangsan Expressway was 17,397 during the Period, representing an increase of 
2.3% year-on-year. Average daily 
traffic volume in full-trip equivalents along the Jinhua Section of the Ningbo-Jinhua Expressway was 12,993 
during the Period, representing an increase of 10.4% year-on-year. 
Total toll income from the 248km Shanghai-Hangzhou-Ningbo Expressway, the 142km 
Shangsan Expressway and the 70km 
Jinhua Section of the Ningbo-Jinhua Expressway amounted to Rmb1,987.14 million 
during the Period, representing an 
increase of 4.2% year-on-year. Toll income from the Shanghai-Hangzhou-Ningbo 
Expressway amounted to Rmb1,502.45 
million, representing an increase of 3.1% year-on-year; toll income from the 
Shangsan Expressway amounted to 
Rmb359.20 million, representing an increase of 6.0% year-on-year; while toll 
income from the Jinhua Section of 
the Ningbo-Jinhua Expressway amounted to Rmb125.49 million, representing an 
increase of 11.8% year-on-year. 
Toll Road-Related Business Operations 
The Company operates certain toll road-related businesses along its expressways 
through its subsidiaries and 
associated companies, including gas stations, restaurants and shops in service 
areas, as well as a roadside 
advertising business. 
During the Period, there was a decline in operating income due to the closure 
of the Yuyao Service Area from June 
last year for an expansion project, which commenced service only in March this 
year, and for which the gas station 
resumed full operations only from May 30 this year. This also had an impact on 
sales of refined oil products in 
the service area, resulting in a year-on-year decline in overall income. During 
the Period, income from toll 
road-related operations amounted to Rmb1,016.65 million, representing a 
decrease of 2.0% year-on-year. 
Securities Business 
During the Period, the aggregate trading volume of the Shanghai and Shenzhen 
stock exchanges rose by 22.8% 
year-on-year as a result of the recovery in the Chinese stock market. Despite 
the year-on-year decline in the 
market share of Zheshang Securities Co., Ltd. ("Zheshang Securities", a 70.83% 
owned subsidiary of Zhejiang 
Shangsan Expressway Co., Ltd. ("Shangsan Co", a subsidiary of the Company)), a 
sizable year-on-year increase was 
registered in commission income during the Period. Benefitting from an increase 
in trading volume in the stock 
market and a slight rebound in the commission rate, there were year-on-year 
increases in income to varying 
degrees across Zheshang Securities' securities brokerage business, investment 
banking and asset management 
businesses during the Period. 
To cope with uncertainties during the current recovery in the stock market, 
Zheshang Securities is taking measures 
to gradually adjust its current business pattern dominated by the brokerage 
business, and vigorously improving 
its income and profit structures to boost the comprehensive development of its 
various businesses by stepping up 
the innovation of its businesses. Meanwhile, in order to speed up the process 
of its listing on the Shanghai 
Stock Exchange, Zheshang Securities has submitted an IPO application which was 
accepted by the China Securities 
Regulatory Commission on May 2, 2013 and is officially admitted into the 
waiting list for IPOs. 
During the Period, Zheshang Securities realized income of Rmb755.88 million, an 
increase of 27.4% year-on- year. 
Of this income, brokerage commission income amounted to Rmb579.08 million, a 
year-on-year increase of 28.6%, and 
interest income from the securities business amounted to Rmb176.80 million, a 
year-on-year increase of 23.4%. 
Moreover, securities investment gains from Zheshang Securities accounted for in 
the condensed consolidated 
statement of profit or loss and other comprehensive income amounted to Rmb73.49 
million during the Period. 
Long-Term Investments 
Zhejiang Expressway Petroleum Development Co., Ltd. (a 50% owned associate 
company of the Company) benefited from 
a growth in the sales of refined oil products during the Period, the associate 
company realized an income of 
Rmb3,085.49 million, representing an increase of 6.1% year-on-year. During the 
Period, net profit amounted to 
Rmb11.34 million (same period in 2012: net profit of Rmb10.18 million). 
JoinHands Technology Co., Ltd. ("JoinHands Technology", a 27.582%-owned 
associate company of the Company) 
generated its income primarily from its property leasing activities, and the 
associate company did not make any 
significant improvements to its operations during the Period. The Company has 
instituted legal proceedings with 
regard to the transfer of the equity interest in the associated company and 
separately lodged an appeal against 
the subsequent judgement thereon. On April 28, 2013, the Hangzhou Intermediate 
People's Court ruled in favour of 
the Company in its final judgement which is to be executed after the court 
conducts an evaluation of the assets 
of the associated company. 
Shengxin Expressway Co., Ltd. ("Shengxin Co", a 50% owned joint venture of the 
Company) operates the 73.4km 
Shaoxing section of the Ningbo-Jinhua Expressway. During the Period, the 
improving provincial economy led the 
traffic volume on that section to pick up. The average daily traffic volume in 
full-trip equivalents along that 
section was 12,318 vehicles, representing an increase of 2.26% year-on-year and 
generating a toll income of 
Rmb141.22 million. Due to its heavy financial burden, a loss of Rmb27.88 
million was recorded in the current 
Period. 
On March 30, 2013, the Company entered into a capital increase agreement with 
Zhejiang Communications Investment 
Group Finance Co., Ltd. ("Zhejiang Communications Finance") and its existing 
shareholders, pursuant to which the 
Company has conditionally agreed to make a capital contribution of Rmb280 
million in cash to the equity capital 
of Zhejiang Communications Finance, thereby enabling the Company to own a 35% 
equity interest in Zhejiang 
Communications Finance. Earnings from the associated company were accounted for 
as share of gain of associates of 
the Company from May 1, 2013, and Zhejiang Communications Finance realised 
profit of Rmb26.05 million from May 1, 
2013 to the end of the Period. 
Human Resources 
During the Period, the Company actively revamped its human resource management, 
improved its remuneration and 
performance policy, and promoted the pegging of overall remuneration increase 
with the productivity of employees, 
thereby paving the way for increasing employees' remuneration. There was no 
significant change in other staff 
matters and assignment compared with the details disclosed in the Company's 
most recent annual report. 
Financial Analysis 
The Group adopts a prudent financial policy with an aim to provide shareholders 
of the Company with sound returns 
over the long term. 
During the Period, profit attributable to owners of the Company was 
approximately Rmb930.39 million, representing 
an increase of 6.9% year-on-year, return on owners' equity was 6.1%, 
representing an increase of 8.9% 
year-on-year, while earnings per share for the Company was Rmb21.42 cents. 
Liquidity and financial resources 
As at June 30, 2013, current assets of the Group amounted to Rmb16,364.59 
million in aggregate (December 31, 2012 
(restated): Rmb15,707.99 million), of which bank balances and cash accounted 
for 22.3% (December 31, 2012 
(restated): 31.0%), bank balances held on behalf of customers accounted for 
47.4% (December 31, 2012 (restated): 
47.7%), and held for trading investments accounted for 5.7% (December 31, 2012 
(restated): 9.5%). Current ratio 
(current assets over current liabilities) of the Group as at June 30, 2013 was 
1.3 (December 31, 2012 (restated): 
1.4). Excluding the effect of the customer deposits arising from the securities 
business, the resultant current 
ratio of the Group (current assets less bank balances held on behalf of 
customers over current liabilities less 
balance of accounts payable to customers arising from securities business) was 
1.9 (December 31, 2012 (restated): 
2.4). 


                                                                                
     As at               As at


                                                                             
June 30,        December 31, 


                                                                                
      2013                2012


                                                                             
Rmb'000             Rmb'000 
                                                                             
                 (Restated)
--------------------------------------------------------------------------------
--------------------------------
Cash and cash equivalents
  Rmb                                                                           
 2,738,150           3,382,797
  US$ in Rmb equivalent                                                          
28,879               4,024
  HK$ in Rmb equivalent                                                          
 5,808               5,232
Time deposits
  Rmb                                                                            
869,433           1,459,433
  US$ in Rmb equivalent                                                          
    --              23,975
Held for trading investments -- Rmb                                              
929,104           1,486,772
Available-for-sale investments -- Rmb                                            
200,567             134,899
Total      
  Rmb                                                                           
 4,737,254           6,463,901
  US$ in Rmb equivalent                                                          
28,879              27,999
  HK$ in Rmb equivalent                                                          
 5,808               5,232
--------------------------------------------------------------------------------
-------------------------------- 
The amount of held for trading investments of the Group as at June 30, 2013 was 
Rmb929.10 million (December 31, 
2012: Rmb1,486.77 million), of which 97.1% was invested in bonds, 2.4% was 
invested in stocks, and the rest was 
invested in open-end equity funds. 
During the Period, net cash inflow generated from the Group's operating 
activities amounted to Rmb1,050.33 
million. 
The Directors do not expect the Company to experience any problems with 
liquidity and financial resources in the 
foreseeable future. 
Borrowings and solvency 
As at June 30, 2013, total liabilities of the Group amounted to Rmb12,948.91 
million (December 31, 2012 
(restated): Rmb11,863.63 million), of which 10.8% was loans and 59.3% was 
accounts payable to customers arising 
from securities business. 
Total interest-bearing borrowings of the Group as at June 30, 2013 amounted to 
Rmb1,400.00 million, representing 
a decrease of 40.2% compared to that as at December 31, 2012. The borrowings 
comprised outstanding balances of 
domestic commercial bank loans of Rmb970.00 million, loans from a domestic non- 
bank financial institution of 
Rmb90.00 million and entrusted loans from an enterprise of Rmb340.00 million. 
Of the interest-bearing borrowings, 
35.7% was not payable within one year. The details of the relevant outstanding 
amounts are as follows: 
                                                          Maturity Profiles 
                                                                          
>1 year -- 5 years        Beyond 


                                                Gross Amount   Within 1 year    
       inclusive       5 years
                                                     Rmb'000         Rmb'000    


     Rmb'000       Rmb'000
--------------------------------------------------------------------------------
--------------------------------
Floating rates
  Domestic commercial bank loans                     970,000         470,000     
     500,000            --
  Domestic other loans                               340,000         340,000     
          --            --
Fix rates                                                 --              --     
 Domestic other loans                                90,000          90,000     
          --            --
--------------------------------------------------------------------------------
--------------------------------
Total as at June 30, 2013                          1,400,000         900,000     
     500,000            --
--------------------------------------------------------------------------------
--------------------------------
Total as at December 31, 2012 (Restated)           2,340,000       1,660,000     
     680,000            --
--------------------------------------------------------------------------------
-------------------------------- 
As at June 30, 2013, the Group's loans from domestic commercial banks include 
short-term loans and medium-term 
loans, with floating interest rate ranging from 5.895% to 6.12% per annum; 
loans from an enterprise were 
short-term loans, with floating interest rate of 5.24% per annum; loans from a 
domestic non-bank financial 
institution were short-term loans, with the interest rate fixed at 5.40% per 
annum; while the annual interest 
rate for accounts payable to customers arising from the securities business was 
fixed at 0.35%. 
Total interest expenses for the Period amounted to Rmb43.08 million, while 
profit before interest and tax 
amounted to Rmb1,480.42 million. The interest cover ratio (profit before 
interest and tax over interest expenses) 
stood at 34.4 times (corresponding period of 2012 (restated): 18.3). 
As at June 30, 2013, the asset-liability ratio (total liabilities over total 
assets) was 40.8% (December 31, 2012 
(restated): 37.7%). Excluding the effect of customer deposits arising from the 
securities business, the resultant 
asset-liability ratio (total liabilities less balance of accounts payable to 
customers arising from securities 
business over total assets less bank balances held on behalf of customers) of 
the Group was 22.0% (December 31, 
2012 (restated): 18.3%). 
Capital structure 
As at June 30, 2013, the Group had Rmb18,775.83 million in total equity, 
Rmb8,398.38 million in fixed-rate 
liabilities, Rmb1,310.00 million in floating-rate liabilities, Rmb3,240.53 
million in interest-free liabilities, 
representing 59.2%, 26.5%, 4.1% and 10.2% of the Group's total capital, 
respectively. The gearing ratio, which is 
computed by dividing the total liabilities less accounts payable to customers 
arising from securities business by 
total equity, was 28.0% as at June 30, 2013 (December 31, 2012 (restated): 
22.3%). 
Capital expenditure commitments and utilization 
During the Period, capital expenditure of the Group totaled Rmb1,140.03 
million, while capital expenditure of the 
Company totaled Rmb1,059.01 million. Amongst the total expenditure of the 
Group, Rmb756.86 million was incurred 
for acquiring 76.55% equity interest in Jinhua Co, Rmb280.00 million was 
incurred for 35% equity investment in 
Zhejiang Communications Finance, Rmb61.12 million was incurred for acquisition 
and construction of properties, 
Rmb19.98 million was incurred for purchase of equipments and Rmb22.07 million 
was incurred for service area 
renovation and expansion. 
As at June 30, 2013, the remaining capital expenditure committed by the Group 
and the Company totaled Rmb1,703.24 
million and Rmb1,155.72 million, respectively. Amongst the remaining balance of 
capital expenditure committed by 
the Group, Rmb1,000.00 million will be used for capital injection to Jinhua Co, 
Rmb435.93 million will be used for 
acquisition and construction of properties, Rmb218.53 million for acquisition 
and construction of equipments and 
facilities and Rmb48.78 million for service area renovation and expansion 
The Group will finance the above-mentioned capital expenditure commitments with 
internally generated cash flow 
first and then will consider using debt financing to meet any shortfalls in 
priority to using other methods. 
Contingent liabilities and pledge of assets 
As at June 30, 2013, Zhejiang Yuhang Expressway Co., Ltd. (a 51% owned 
subsidiary of the Company) provided a 
property under construction as a mortgaged asset for its domestic commercial 
bank loan of Rmb100.00 million. The 
carrying amount of the mortgaged asset was Rmb306.51 million. Besides, Jinhua 
Co provided the operating right of 
its expressway as pledged asset for its domestic commercial bank loans of 
Rmb870.00 million. The carrying amount 
of the pledged asset was Rmb1,933.30 million. 
Except for the above, as at June 30, 2013, the Group did not have any other 
contingent liabilities, pledge of 
assets or guarantees. 
Foreign exchange exposure 
Save for dividend payments to the holders of H shares in Hong Kong dollars, the 
Group's principal operations were 
transacted and booked in Renminbi. Therefore, the Group's exposure to exchange 
fluctuation is limited. During the 
Period, the Group has not used any financial instruments for hedging purpose. 
Although the Directors do not foresee any material foreign exchange risks for 
the Group, there is no assurance 
that foreign exchange risks will not affect the operating results of the Group 
in the future. 
Outlook 
The overall performance of the Group's toll road operations is influenced by 
the macroeconomic and regional 
economic development. Existing statistical figures suggest that although the 
economy of Zhejiang Province is 
maintaining steady growth, it is subject to downward pressure and the growth 
rate is likely to decline in the 
second half of the year. As a result, organic growth in the traffic volume of 
the Group's expressways is expected 
to slow down in the second half. 
Meanwhile, the Jiaxing-Shaoxing Expressway, which opened to traffic on July 19, 
2013, is expected to have a slight 
diversion impact on the Group's Shanghai-Hangzhou-Ningbo Expressway. Since the 
Jiaxing-Shaoxing Expressway is 
currently not yet open to trucks, the positive, favourable effect has not yet 
been fully reflected on the Group's 
Shangsan Expressway. The opening of the Jiaxing-Shaoxing Expressway will cause 
a slight fall in the Group's 
overall toll income for the whole year. 
The Company's management is undertaking various measures to further increase 
income from its principal business. 
By increasing income and plugging loopholes, the Company aims to step up 
marketing initiatives for newly opened 
expressways such as Jiaxing-Shaoxing Expressway to attract more vehicles to use 
sections of expressways operated 
by the Group. Meanwhile, the Group will cut the loss of toll income by taking 
special measures against a small 
number of toll-evading trucks. 
Moreover, both the uncertainty over the recovery of the Chinese stock market 
and the need for China to make 
appropriate modifications to its monetary policy have presented new challenges 
and opportunities for Zheshang 
Securities, prompting Zheshang Securities to accelerate the development of 
innovative businesses and to further 
push forward the A-share listing process whilst strengthening cost control and 
risk control for facilitating the 
sustainable development of its businesses. 
In addition to continuing to strengthen its principal toll road operations, the 
Group is also actively engaging 
in the development of toll road-related businesses with the acquisition of the 
franchise to operate two pairs of 
service areas of expressways in Ningbo area in early August this year. In 
addition to the improvement of the 
Group's securities and financial business, the Group's management will also 
seek to generate strategic synergies 
with its parent company by seeking suitable investment projects, nurturing 
management capabilities in its 
diversified businesses and utilizing its financial resources advantage to 
expand the space for future development 
and improving profitability. 
Disclosure of Interests and Other Matters 
Purchase, Sale and Redemption of the Company's Shares 
Neither the Company nor any of its subsidiaries had purchased, sold, redeemed 
or cancelled any of the Company's 
shares during the Period. 
Disclosure of Directors', Supervisors' and Chief Executive's Interests and 
Short Positions in the Shares, 
Underlying Shares and Debentures 
As at June 30, 2013, none of the Directors, Supervisors and chief executives 
had registered an interest or short 
position in the shares, underlying shares or debentures of the Company or any 
of its associated corporations that 
was required to be recorded pursuant to Section 352 of the Securities and 
Futures Ordinance (Cap 571 of the Laws 
of Hong Kong) (the "SFO"), or as otherwise notified to the Company and the 
Stock Exchange of Hong Kong Limited 
(the "Stock Exchange") pursuant to the Model Code for Securities Transactions 
by Directors of Listed Issuers. 
Other Interests Discloseable under the SFO 
As at June 30, 2013, the following shareholders held 5% or more of the issued 
share capital of the Company 
according to the register of interests in shares required to be kept by the 
Company pursuant to Section 336 of 
the SFO: 
--------------------------------------------------------------------------------
-------------------------------- 
                                                                Total 
interests          Percentage of the 
                                                                   in 
number of       issued share capital 
                                                                ordinary 
shares             of the Company
Substantial shareholders                Capacity                     of the 
Company           (domestic shares)
--------------------------------------------------------------------------------
--------------------------------
Zhejiang Communications Investment
 Group Co. Ltd.                         Beneficial owner              
2,909,260,000                       100%
--------------------------------------------------------------------------------
-------------------------------- 
--------------------------------------------------------------------------------
-------------------------------- 


                                                                                
                 Percentage of


                                                                Total 
interests                 the issued 
                                                                   in 
number of              share capital 
                                                                ordinary 
shares             of the Company
Substantial shareholders                Capacity                     of the 
Company                  (H Shares)
--------------------------------------------------------------------------------
--------------------------------
JP Morgan Chase & Co.                   Beneficial owner,            
172,403,570 (L)                    12.02% 
                                    investment manager and       
101,881,024 (P)                     7.11% 
                                    custodian corporation/ 
                                    approved lending agent    
BlackRock, Inc.                         Interest of controlled       
130,733,579 (L)                     9.11% 
                                    corporations  
Deutsche Bank Aktiengesellschaft        Investment manager            
86,121,242 (L)                     6.01% 
                                                                   
5,479,399 (S)                     0.38%
--------------------------------------------------------------------------------
--------------------------------  
The letter "L" denotes a long position. The Letter "S" denotes a short 
position. The Letter "P" denotes interest 
in a lending pool. 
Save as disclosed above, as at June 30, 2013, no person had registered an 
interest or short position in the shares 
or underlying shares of the Company that was required to be recorded pursuant 
to Section 336 of the SFO. 
Compliance with the Corporate Governance Code and the Model Code 
During the Period, the Company had complied with all code provisions in the 
Corporate Governance Code and 
Corporate Governance Report (the "Code") set out in Appendix 14 to the Listing 
Rules, and had adopted the 
recommended best practices in the Code as and when applicable. 
The Company has adopted a code of conduct regarding directors' securities 
transactions on terms no less exacting 
than the required standard set out in the Model Code for Securities 
Transactions by Directors of Listed Issuers 
(the "Model Code") in Appendix 10 to the Listing Rules. The Directors have 
confirmed their full compliance with 
the required standard set out in the Model Code and its code of conduct 
regarding directors' securities 
transactions during the Period. 
Responsibility Statement of the Directors in Respect of the Interim Report and 
Accounts 
Each of the Directors of the Company, whose name and function is listed in the 
section headed "Corporate 
Information" of this report, confirms that, to the best of his/her knowledge: 
-  the condensed consolidated financial statements prepared in accordance 
with Hong Kong Financial Reporting  
   Standards issued by the Hong Kong Institute of Certified Public 
Accountants give a true and fair view of  
   the assets, liabilities, financial position and profit of the Group and 
the undertakings included in the 
   consolidation taken as a whole; 
-  the management discussion and analysis included in the interim report 
includes a fair review of the  
   development and performance of the business and the position of the 
Group and the undertakings included  
   in the consolidation taken as a whole during the period, together with a 
description of the principal  
   risks and uncertainties that the Group faces for the remaining six 
months of the financial year; and 
-  the interim report include a fair review of the material related party 
transactions that have taken place  
   during the Period and any material changes in the related party 
transactions described in the Company's 


       annual report for the year ended 31 December 2012.


The electronic version of this report is published on the website of The Stock 
Exchange of Hong Kong Limited 
(http://www.hkex.com.hk) and on the Company's website (www.zjec.com.cn).
                                                                                
        By order of the Board
                                                                                
    Zhejiang Expressway Co., Ltd.
                                                                                
           ZHAN Xiaozhang
                                                                                
              Chairman

Hangzhou, the PRC, August 28, 2013


Condensed Consolidated Statement of Profit or Loss and Other Comprehensive 
Income 
                                                                         
For the six months ended June 30, 


                                                                                
      2013               2012


                                                               Notes         
Rmb'000            Rmb'000 
                                                                            
(Unaudited)    (Unaudited and 
                                                                             
                 restated)
--------------------------------------------------------------------------------
--------------------------------
Revenue                                                              4          
 3,647,268          3,439,196
Operating costs                                                                 
(2,283,848)        (2,176,784)
--------------------------------------------------------------------------------
--------------------------------
Gross profit                                                                    
 1,363,420          1,262,412
Securities investment gains                                                      
79,786             61,211
Other income                                                         5           
103,890            123,420
Administrative expenses                                                          
(36,126)           (35,994)
Other expenses                                                                   
(21,401)           (16,755)
Share of gain (loss) of associates                                               
 4,791             (8,201)
Share of loss of a joint venture                                                 
(13,938)                --
Finance costs                                                        6           
(43,079)           (75,664)
--------------------------------------------------------------------------------
--------------------------------
Profit before tax                                                    7          
 1,437,343          1,310,429
Income tax expense                                                   8          
  (374,175)          (322,128)
--------------------------------------------------------------------------------
--------------------------------
Profit for the Period                                                           
 1,063,168            988,301
--------------------------------------------------------------------------------
--------------------------------
Other comprehensive income 
Items that may be reclassified subsequently to profit or loss         
 when specific conditions are met:
Available-for-sale financial assets
-- Fair value (loss) gain during the Period                                      
(3,681)             5,436
-- Reclassification adjustments for cumulative gain included  
in profit or loss upon disposal                                               
(1,381)                --
Income tax relating to components of other comprehensive income                  
 1,266             (1,359)
--------------------------------------------------------------------------------
--------------------------------
Other comprehensive (loss) income for the Period (net of tax)                    
(3,796)             4,077
--------------------------------------------------------------------------------
--------------------------------
Total comprehensive income for the Period                                       
 1,059,372            992,378
--------------------------------------------------------------------------------
--------------------------------
Profit for the Period attributable to:
  Owners of the Company                                                          
930,385            869,973
  Non-controlling interests                                                      
132,783            118,328
--------------------------------------------------------------------------------
-------------------------------- 
                                                                            
 1,063,168            988,301
--------------------------------------------------------------------------------
--------------------------------
Total comprehensive income for the Period attributable to:
  Owners of the Company                                                          
928,429            872,099
  Non-controlling interests                                                      
130,943            120,279
--------------------------------------------------------------------------------
-------------------------------- 
                                                                            
 1,059,372            992,378
--------------------------------------------------------------------------------
--------------------------------
Earnings per share -- Basic and diluted                              10        
21.42 cents        20.03 cents
--------------------------------------------------------------------------------
-------------------------------- 
Condensed Consolidated Statement of Financial Position 


                                                                                
     As at              As at


                                                                             
June 30,       December 31, 
                                                                             
  2013               2012
Notes                                                                            
Rmb'000            Rmb'000 
                                                                            
(Unaudited)    (Unaudited and  
                                                                             
                 restated)
--------------------------------------------------------------------------------
--------------------------------
NON-CURRENT ASSETS
  Property, plant and equipment                                                 
 1,638,818          1,634,299
  Prepaid lease payments                                                         
69,234             70,321
  Expressway operating rights                                                   
12,318,555         12,722,158
  Goodwill                                                                       
86,867             86,867
  Other intangible assets                                                        
149,602            155,633
  Interests in associates                                                        
567,997            280,057
  Interest in a joint venture                                                    
356,016            369,954
  Available-for-sale investments                                                 
173,065            133,000
  Other receivables                                                  13          
    --            325,035
--------------------------------------------------------------------------------
-------------------------------- 
                                                                            
15,360,154         15,777,324
--------------------------------------------------------------------------------
--------------------------------
CURRENT ASSETS         
  Inventories                                                                    
27,927             27,418
  Trade receivables                                                  11          
64,166             64,447
  Loans to customers arising from margin financing business          12         
 2,301,208            724,123
  Other receivables and prepayments                                  13          
579,078            621,023
  Prepaid lease payments                                                         
 2,154              2,154
  Available-for-sale investments                                                 
200,567            134,899
  Held for trading investments                                                   
929,104          1,486,772
  Financial assets held under resale agreements                      14          
864,777            280,066
  Bank balances held on behalf of customers                                     
 7,753,335          7,491,625
  Bank balances and cash          
-- Time deposits with original maturity over three months                    
869,433          1,483,408 
-- Cash and cash equivalents                                                
 2,772,837          3,392,053
--------------------------------------------------------------------------------
-------------------------------- 
                                                                            
16,364,586         15,707,988
--------------------------------------------------------------------------------
--------------------------------
CURRENT LIABILITIES         
  Accounts payable to customers arising from securities business                
 7,682,376          7,481,819
  Trade payables                                                     15          
420,485            408,612
  Tax liabilities                                                                
211,982            223,592
  Other taxes payable                                                            
32,250             54,226
  Other payables and accruals                                        16         
 1,089,978            991,260
  Dividends payable                                                             
 1,232,271             94,998
  Other loans                                                                    
430,000            200,000
  Financial assets sold under repurchase agreements                  17          
316,000                 --
  Placements from non-bank financial institutions                                
310,000                 --
  Long-term bonds due in one-year                                                
    --          1,000,000
  Long-term loans due in one-year                                                
470,000            460,000
--------------------------------------------------------------------------------
-------------------------------- 
                                                                            
12,195,342         10,914,507
--------------------------------------------------------------------------------
-------------------------------- 
Condensed Consolidated Statement of Financial Position 


                                                                                
     As at              As at


                                                                             
June 30,       December 31, 


                                                                                
      2013               2012


                                                                             
Rmb'000            Rmb'000 
                                                                            
(Unaudited)    (Unaudited and 
                                                                             
                 restated)
--------------------------------------------------------------------------------
--------------------------------
Net current assets                                                              
 4,169,244          4,793,481
--------------------------------------------------------------------------------
--------------------------------
Total assets less current liabilities                                           
19,529,398         20,570,805
--------------------------------------------------------------------------------
--------------------------------
Non-current liabilities
  Bank loans                                                                     
500,000            680,000
  Deferred tax liabilities                                                       
253,568            269,124
--------------------------------------------------------------------------------
-------------------------------- 
                                                                             
753,568            949,124
--------------------------------------------------------------------------------
-------------------------------- 
                                                                            
18,775,830         19,621,681
--------------------------------------------------------------------------------
--------------------------------
CAPITAL AND RESERVES
  Share capital                                                                 
 4,343,115          4,343,115
  Reserves                                                                      
10,909,422         11,701,345
--------------------------------------------------------------------------------
--------------------------------
Equity attributable to owners of the Company                                    
15,252,537         16,044,460
Non-controlling interests                                                       
 3,523,293          3,577,221
--------------------------------------------------------------------------------
-------------------------------- 
                                                                            
18,775,830         19,621,681
--------------------------------------------------------------------------------
-------------------------------- 
Condensed Consolidated Statement of Changes in Equity 
                                            Attributable to owners of the 
Company    
                                                            Investment 
                   Share      Share  Statutory   Capital  revaluation    
Special   Dividend   Retained 
                 capital    premium   reserves   reserve      reserve    
reserve    reserve    profits       Total 
                 Rmb'000    Rmb'000    Rmb'000   Rmb'000      Rmb'000    
Rmb'000    Rmb'000    Rmb'000     Rmb'000
--------------------------------------------------------------------------------
---------------------------------------
At January 1, 2012
 (Audited and
 originally
 stated)           4,343,115  3,645,726  2,968,634     1,712       (1,555)    
18,666  1,085,779  3,116,462  15,178,539
Merger accounting
 restatement
 (Note 2)                 --         --         --        --           --    
797,471         --   (236,477)    560,994
--------------------------------------------------------------------------------
---------------------------------------
At January 1, 2012
  (Unaudited and
  restated)        4,343,115  3,645,726  2,968,634     1,712       (1,555)   
816,137  1,085,779  2,879,985  15,739,533
Profit for the
 Period                   --         --         --        --           --       
  --         --    869,973     869,973
Other
 comprehensive
 income for the
 Period                   --         --         --        --        2,126       
  --         --         --       2,126
--------------------------------------------------------------------------------
---------------------------------------
Total 
 comprehensive
 income for the
 Period                   --         --         --        --        2,126       
  --         --    869,973     872,099
Dividend paid
 to
 non-controlling
 interests                --         --         --        --           --       
  --         --         --          --
Final dividend            --         --         --        --           --       
  -- (1,085,779)        --  (1,085,779)
Proposed interim
 dividend                 --         --         --        --           --       
  --    260,587   (260,587)         --
--------------------------------------------------------------------------------
---------------------------------------
At June 30, 2012
 (Unaudited)       4,343,115  3,645,726  2,968,634     1,712          571    
816,137    260,587  3,489,371  15,525,853
--------------------------------------------------------------------------------
--------------------------------------- 


                        Non-controlling
                              interests      Total


                           Rmb'000     Rmb'000
----------------------------------------------------
At January 1, 2012
 (Audited and
 originally
 stated)                     3,420,561  18,599,100
Merger accounting
 restatement
 (Note 2)                       86,874     647,868
----------------------------------------------------
At January 1, 2012
  (Unaudited and
  restated)                  3,507,435  19,246,968
Profit for the
 Period                        118,328     988,301
Other
 comprehensive
 income for the
 Period                          1,951       4,077
----------------------------------------------------
Total 
 comprehensive
 income for the
 Period                        120,279     992,378
Dividend paid
 to
 non-controlling
 interests                    (106,008)   (106,008)
Final dividend                      --  (1,085,779)
Proposed interim 
 dividend                           --          --
----------------------------------------------------
At June 30, 2012  
 (Unaudited)                 3,521,706  19,047,559
---------------------------------------------------- 
                                            Attributable to owners of the 
Company    
                                                            Investment 
                   Share      Share  Statutory   Capital  revaluation    
Special   Dividend   Retained 
                 capital    premium   reserves   reserve      reserve    
reserve    reserve    profits       Total 
                 Rmb'000    Rmb'000    Rmb'000   Rmb'000      Rmb'000    
Rmb'000    Rmb'000    Rmb'000     Rmb'000
--------------------------------------------------------------------------------
---------------------------------------
At January 1, 2013
 (Audited and
 originally
 stated)          4,343,115   3,645,726  3,227,511     1,712          254     
18,666  1,042,347  3,240,921  15,520,252
Merger accounting
 restatement
 (Note 2)                --          --         --        --           --    
797,471         --   (273,263)    524,208   
--------------------------------------------------------------------------------
---------------------------------------
At January 1, 2013
 (Unaudited and 
 restated)        4,343,115   3,645,726  3,227,511     1,712          254    
816,137  1,042,347  2,967,658  16,044,460
Profit for the
 Period                  --          --         --        --           --       
  --         --    930,385     930,385
Other
 comprehensive
 income for the
 Period                  --          --         --        --       (1,956)      
  --         --         --      (1,956)
--------------------------------------------------------------------------------
---------------------------------------
Total
 comprehensive
 income for the
 Period                  --          --         --        --       (1,956)      
  --         --    930,385     928,429
Consideration
 paid for
 acquisition
 of a subsidiary
 under common
 control                 --          --         --        --           --   
(678,005)        --         --    (678,005)   
Dividend paid to
 non-controlling
 interest                --          --         --        --           --       
  --         --         --          --    
Final dividend           --          --         --        --           --       
  -- (1,042,347)        --  (1,042,347)   
Proposed interim
 dividend                --          --         --        --           --       
  --    260,587   (260,587)         --
--------------------------------------------------------------------------------
---------------------------------------
At June 30, 2013
 (Unaudited)      4,343,115   3,645,726  3,227,511     1,712       (1,702)   
138,132    260,587  3,637,456  15,252,537  
--------------------------------------------------------------------------------
--------------------------------------- 


                        Non-controlling
                              interests      Total


                           Rmb'000     Rmb'000
----------------------------------------------------
At January 1, 2013
 (Audited and
 originally
 stated)                     3,496,023  19,016,275
Merger accounting
 restatement
 (Note 2)                       81,198     605,406
----------------------------------------------------
At January 1, 2013
 (Unaudited and 
 restated)                   3,577,221  19,621,681
Profit for the
 Period                        132,783   1,063,168
Other
 comprehensive
 income for the
 Period                         (1,840)     (3,796)
----------------------------------------------------
Total
 comprehensive
 income for the
 Period                        130,943   1,059,372
Consideration
 paid for
 acquisition
 of a subsidiary
 under common
 control                       (78,863)   (756,868)            
Dividend paid to
 non-controlling
 interest                     (106,008)   (106,008)
Final dividend                      --  (1,042,347)
Proposed interim
 dividend                           --          -- 
----------------------------------------------------
At June 30, 2013
 (Unaudited)                 3,523,293  18,775,830
---------------------------------------------------- 
Condensed Consolidated Statement of Cash Flows 
                                                                         
For the six months ended June 30, 


                                                                                   
       2013               2012
                                                                                
    Rmb'000            Rmb'000


                                                                            
 (Unaudited)    (Unaudited and  
                                                                             
                  restated)
--------------------------------------------------------------------------------
--------------------------------
Net cash from operating activities                                              
  1,050,327            601,880
Net cash (used in) from investing activities                                     
(709,921)           140,521
Net cash used in financing activities                                            
(959,622)          (490,168)
--------------------------------------------------------------------------------
--------------------------------
Net (decrease) increase in cash and cash equivalents                             
(619,216)           252,233
Cash and cash equivalents at beginning of the Period                            
  3,392,053          3,139,820
--------------------------------------------------------------------------------
--------------------------------
Cash and cash equivalents at end of the Period                                  
  2,772,837          3,392,053
--------------------------------------------------------------------------------
-------------------------------- 
Notes to Condensed Consolidated Financial Statements 
1.   Basis of Preparation 
 The condensed consolidated financial statements have been prepared in 
accordance with the applicable disclosure  
 requirements set out in Appendix 16 to the Rules Governing the Listing of 
Securities on The Stock Exchange of  
 Hong Kong Limited (the "Listing Rules") and with Hong Kong Accounting 
Standard 34 ("HKAS 34") "Interim Financial  
 Reporting". 
2.   Merger Accounting Restatement 
 During the Period, the Group has acquired the remaining 76.55% equity 
interest in Zhejiang Jinhua Yongjin  
 Expressway Co., Ltd. ("Jinhua Co"), of which 66.283% equity interest was 
acquired from Zhejiang Communications  
 Investment Group Co., Ltd ("Communications Group"). Since Communications 
Group is the parent company of the  
 Company, this transaction was regarded as business combination involving 
entities under common control and was  
 accounted for using merger accounting method, in accordance with the 
guidance set out in Accounting Guideline 5  
 "Merger Accounting for Common Control Combinations" issued by the Hong 
Kong Institute of Certified Public  
 Accountants (the "HKICPA"). As a result, the comparative condensed 
consolidated statement of profit or loss and 
 other comprehensive income and condensed consolidated statement of cash 
flows for the period ended June 30, 2012  
 and the consolidated statement of financial position as at December 31, 
2012 have therefore been restated, in  
 order to include the losses, assets and liabilities of the combining 
entities since the date on which they first  
 come under common control. 
 The adopting of merger accounting method has resulted in a decrease in 
total comprehensive income attributable to 
 owners of the Company and a decrease in profit attributable to owners of 
the Company for the period ended June 30, 
 2012 by Rmb21,618,000 and Rmb21,618,000, respectively. 
   The effect of the merger accounting restatement described above on the 
condensed consolidated statement of profit 
 or loss and other comprehensive income for the six months ended June 30, 
2012 by line items is as follows:    
                                                                       For 
the                            For the 
                                                                    six 
months          Merger         six months 
                                                                 ended June 
30,     accounting      ended June 30, 
                                                                          
2012     restatement               2012 
                                                                       
Rmb'000         Rmb'000            Rmb'000 
                                                                (Unaudited 
and                         (Unaudited 
                                                             originally 
stated)                      and restated) 
 ---------------------------------------------------------------------------
--------------------------------------- 
  Revenue                                                            
3,329,181         110,015          3,439,196 
  Operating costs                                                   
(2,076,791)        (99,993)        (2,176,784) 
 ---------------------------------------------------------------------------
--------------------------------------- 
  Gross profit                                                       
1,252,390          10,022          1,262,412 
  Securities investment gains                                           
61,211              --             61,211 
  Other income                                                         
124,881          (1,461)           123,420 
  Administrative expenses                                              
(33,410)         (2,584)           (35,994) 
  Other expenses                                                       
(16,508)           (247)           (16,755) 
  Share of loss of associates                                          
(15,849)          7,648             (8,201) 
  Finance costs                                                        
(31,223)        (44,441)           (75,664) 
 ---------------------------------------------------------------------------
--------------------------------------- 
  Profit before tax                                                  
1,341,492         (31,063)         1,310,429 
  Income tax expense                                                  
(328,225)          6,097           (322,128) 
 ---------------------------------------------------------------------------
--------------------------------------- 
  Profit for the Period                                              
1,013,267         (24,966)           988,301 
 ---------------------------------------------------------------------------
--------------------------------------- 


      Other comprehensive income         
      Items that may be reclassified subsequently to         
       profit or loss when specific conditions are met: 
      Available-for-sale financial assets         


    -- Fair value gain during the Period                                 
5,436              --              5,436 
  Income tax relating to components of other 
   comprehensive income                                                 
(1,359)             --             (1,359) 
 ---------------------------------------------------------------------------
--------------------------------------- 
  Other comprehensive income for the Period (net of tax)                 
4,077              --              4,077 
 ---------------------------------------------------------------------------
--------------------------------------- 
  Total comprehensive income for the Period                          
1,017,344         (24,966)           992,378 
 ---------------------------------------------------------------------------
--------------------------------------- 
  Profit for the Period attributable to:          
    Owners of the Company                                              
891,591         (21,618)           869,973 
    Non-controlling interests                                          
121,676          (3,348)           118,328 
 ---------------------------------------------------------------------------
--------------------------------------- 
                                                                     
1,013,267         (24,966)           988,301 
 ---------------------------------------------------------------------------
--------------------------------------- 
  Total comprehensive income attributable to:          
    Owners of the Company                                              
893,717         (21,618)           872,099 
    Non-controlling interests                                          
123,627          (3,348)           120,279 
 ---------------------------------------------------------------------------
--------------------------------------- 
                                                                     
1,017,344         (24,966)           922,378 
 ---------------------------------------------------------------------------
--------------------------------------- 
  Earnings per share -- Basic and diluted                          20.53 
cents     (0.50) cents       20.03 cents 
 ---------------------------------------------------------------------------
--------------------------------------- 
 The effect of the merger accounting restatement described above on the 
consolidated statement of financial  


     position as at December 31, 2012 by line items is as follows:
                                                                      As at     
      Merger                As at


                                                            December 31,    
  accounting          December 31, 
                                                                   2012     
 restatement                 2012 


                                                                    Rmb'000     
     Rmb'000              Rmb'000
                                                               (Audited and     
                   (Unaudited and
                                                          originally stated)    
                         restated)


 ---------------------------------------------------------------------------
------------------------------------ 


      NON-CURRENT ASSETS
        Property, plant and equipment                             1,357,844     
     276,455            1,634,299
        Prepaid lease payments                                       66,931     
       3,390               70,321


    Expressway operating rights                              10,732,058      
1,990,100           12,722,158 


        Goodwill                                                     86,867     
          --               86,867
        Other intangible assets                                     155,633     
          --              155,633
        Interests in associates                                     465,513     
    (185,456)             280,057
        Interest in a joint venture                                 369,954     
          --              369,954
        Available-for-sale investments                              133,000     
          --              133,000
        Other receivables                                           325,035     
          --              325,035


 ---------------------------------------------------------------------------
------------------------------------ 
                                                             13,692,835      
2,084,489           15,777,324 
 ---------------------------------------------------------------------------
------------------------------------ 


      CURRENT ASSETS
        Inventories                                                  27,418     
          --               27,418
        Trade receivables                                            57,847     
       6,600               64,447
        Loans to customers arising from margin
         financing business                                         724,123     
          --              724,123
        Other receivables and prepayments                           701,627     
     (80,604)             621,023
        Prepaid lease payments                                        2,052     
         102                2,154
        Available-for-sale investments                              134,899     
          --              134,899
        Held for trading investments                              1,486,772     
          --            1,486,772
        Financial assets held under resale agreement                280,066     
          --              280,066
        Bank balances held on behalf of customers Bank
         balances and cash                                        7,491,625     
          --            7,491,625
           -- Time deposits with originally maturity over
              three months                                        1,483,408     
          --            1,483,408
           -- Cash and cash equivalents                           3,362,709     
      29,344            3,392,053


 ---------------------------------------------------------------------------
------------------------------------ 


                                                                 15,752,546     
     (44,558)          15,707,988


 ---------------------------------------------------------------------------
------------------------------------ 


      CURRENT LIABILITIES
        Accounts payable to customers arising from
         securities business                                      7,481,819     
          --            7,481,819
        Trade payables                                              378,364     
      30,248              408,612
        Tax liabilities                                             223,592     
          --              223,592
        Other taxes payable                                          53,082     
       1,144               54,226
        Other payables and accruals                                 973,031     
      18,229              991,260
        Dividends payable                                            94,998     
          --               94,998
        Other loans                                                      --     
     200,000              200,000
        Long-term bonds due in one-year                           1,000,000     
          --            1,000,000
        Long-term loans due in one-year                                  --     
     460,000              460,000


 ---------------------------------------------------------------------------
------------------------------------ 


                                                                 10,204,886     
     709,621           10,914,507


 ---------------------------------------------------------------------------
------------------------------------ 


      NET CURRENT ASSETS                                          5,547,660     
    (754,179)           4,793,481


 ---------------------------------------------------------------------------
------------------------------------ 
  TOTAL ASSETS LESS CURRENT LIABILITIES                      19,240,495      
1,330,310           20,570,805 
 ---------------------------------------------------------------------------
------------------------------------ 


      NON-CURRENT LIABILITIES
        Bank loans                                                       --     
     680,000              680,000
        Deferred tax liabilities                                    224,220     
      44,904              269,124


 ---------------------------------------------------------------------------
------------------------------------ 


                                                                    224,220     
     724,904              949,124


 ---------------------------------------------------------------------------
------------------------------------ 


                                                                 19,016,275     
     605,406           19,621,681


 ---------------------------------------------------------------------------
------------------------------------ 


      CAPITAL AND RESERVES
        Share capital                                             4,343,115     
          --            4,343,115
        Reserves                                                 11,177,137     
     524,208           11,701,345


 ---------------------------------------------------------------------------
------------------------------------ 


      Equity attributable to owners of the Company               15,520,252     
     524,208           16,044,460
      Non-controlling interests                                   3,496,023     
      81,198            3,577,221


 ---------------------------------------------------------------------------
------------------------------------ 


                                                                 19,016,275     
     605,406           19,621,681


 ---------------------------------------------------------------------------
------------------------------------ 
 The effect of merger accounting restatement described above on the Group's 
equity as at January 1, 2013 and  
 January 1, 2012 is as follows: 
                                       As at        Merger       As at       
As at        Merger      As at 
                                   January 1,   accounting   January 1,    
January 1,   accounting  January 1, 


                                            2012   restatement        2012      
    2013   restatement       2013


                                     Rmb'000       Rmb'000     Rmb'000      
 Rmb'000       Rmb'000    Rmb'000 
                                (Audited and                (Unaudited  
(Audited and                (Unaudited 
                                  originally                       and    
originally                       and 
                                      stated)                 restated)     
  stated)                 restated) 
 ---------------------------------------------------------------------------
------------------------------------ 
  Share capital                    4,343,115            --   4,343,115     
4,343,115            --   4,343,115 
  Share premium                    3,645,726            --   3,645,726     
3,645,726            --   3,645,726 
  Statutory reserves               2,968,634            --   2,968,634     
3,227,511            --   3,227,511 
  Capital reserve                      1,712            --       1,712       
1,712            --       1,712 


      Investment revaluation reserve      (1,555)           --      (1,555)     
     254            --         254


  Special reserve                     18,666       797,471     816,137      
  18,666       797,471     816,137 
  Dividend reserve                 1,085,779            --   1,085,779     
1,042,347            --   1,042,347 
  Retained profits                 3,116,462      (236,477)  2,879,985     
3,240,921      (273,263)  2,967,658 
 ---------------------------------------------------------------------------
------------------------------------ 
  Equity attributable to owners                   
   of the Company                 15,178,539       560,994  15,739,533    
15,520,252       524,208  16,044,460 
  Non-controlling interests        3,420,561        86,874   3,507,435     
3,496,023        81,198   3,577,221 
 ---------------------------------------------------------------------------
------------------------------------ 
  Total                           18,599,100       647,868  19,246,968    
19,016,275       605,406  19,621,681 
 ---------------------------------------------------------------------------
------------------------------------ 
3.   Principal Accounting Policy 
 The condensed consolidated financial statements have been prepared on the 
historical cost basis except for certain 
 financial instruments that are measured at fair value, as appropriate. 
 Except as described below, the accounting policies applied in the 
condensed consolidated financial statements for  
 the Period are consistent with those in the preparation of the Group's 
annual financial statements for the year  
 ended December 31, 2012. 
 Merger accounting for business combination involving entities under common 
control 
 The condensed consolidated financial statements incorporate the financial 
statements items of the combining  
 entities or businesses in which the common control combination occurs as 
if they had been combined from the date 
 when the combining entities or businesses first came under the control of 
the controlling party. 
 The net assets of the combining entities or businesses are consolidated 
using the existing book values from the 
 controlling party's perspective. No amount is recognised in respect of 
goodwill or excess of acquirer's interest  
 in the net fair value of acquiree's identifiable assets, liabilities and 
contingent liabilities over cost at the 
 time of common control combination, to the extent of the continuation of 
the controlling party's interest. 
 The condensed consolidated statement of profit or loss and other 
comprehensive income includes the results of  
 each of the combining entities or businesses from the earliest date 
presented or since the date when the  
 combining entities or businesses first came under the common control, 
where this is a shorter period, regardless 
 of the date of the common control combination. 
 The comparative amounts in the condensed consolidated financial statements 
are presented as if the entities or  
 businesses had been combined at the end of the previous reporting period 
or when they first came under common  
 control, whichever is shorter. 
 During the Period, the Group has applied, for the first time, the 
following new and revised Hong Kong Financial 
 Reporting Standards ("HKFRSs") issued by HKICPA, which are effective for 
the Period. Except for the following, 
 the application of the other new and revised HKFRSs in the current interim 
period had no material impact on the 
 condensed consolidated financial statements and (or) relevant disclosures 
set out in these condensed consolidated 


     financial statements.
       Impact of the application of HKFRS 11


 HKFRS 11 replaces HKAS 31 Interests in Joint Ventures, and the guidance 
contained in a related interpretation,  
 HK(SIC) -- Int 13 Jointly Controlled Entities -- Non-Monetary 
Contributions by Venturers, has been incorporated  
 in HKAS 28 (as revised in 2011). HKFRS 11 deals with how a joint 
arrangement of which two or more parties have  
 joint control should be classified and accounted for. Under HKFRS 11, 
there are only two types of joint  
 arrangements -- joint operations and joint ventures. The classification of 
joint arrangements under HKFRS 11 is  
 determined based on the rights and obligations of parties to the joint 
arrangements by considering the structure, 
 the legal form of the arrangements, the contractual terms agreed by the 
parties to the arrangement, and, when  
 relevant, other facts and circumstances. A joint operation is a joint 
arrangement whereby the parties that have  
 joint control of the arrangement (i.e. joint operators) have rights to the 
assets, and obligations for the  
 liabilities, relating to the arrangement. A joint venture is a joint 
arrangement whereby the parties that have  
 joint control of the arrangement (i.e. joint venturers) have rights to the 
net assets of the arrangement.  
 Previously, HKAS 31 had three types of joint arrangements -- jointly 
controlled entities, jointly controlled  
 operations and jointly controlled assets. The classification of joint 
arrangements under HKAS 31 was primarily  
 determined based on the legal form of the arrangement (i.e. a joint 
arrangement that was established through a  
 separate entity was classified as a jointly controlled entity). 
 The initial and subsequent accounting of joint ventures and joint 
operations are different. Investments in joint  
 ventures are accounted for using the equity method (proportionate 
consolidation is no longer allowed).  
 Investments in joint operations are accounted for such that each joint 
operator recognises its assets (including 
 its share of any assets jointly held), its liabilities (including its 
share of any liabilities incurred jointly), 
 its revenue (including its share of revenue from the sale of the output by 
the joint operation) and its expenses  
 (including its share of any expenses incurred jointly). Each joint 
operator accounts for the assets and  
 liabilities, as well as revenues and expenses, relating to its interest in 
the joint operation in accordance with 
 the applicable standards. The directors of the Company reviewed and 
assessed the classification of the Group's  
 investment in joint arrangement in accordance with the requirements of 
HKFRS 11. The directors concluded that the 
 Group's interest in a jointly controlled entity under HKAS 31 should be 
classified as a joint venture under HKFRS  
 11. The application of HKFRS 11 has not had any material impact on the 
amount recognised in the Group's condensed 


     consolidated financial statements.
     Amendments to HKAS 1 Presentation of Items of Other Comprehensive Income


 The amendments to HKAS 1 introduce new terminology for statement of 
comprehensive income and income statement.  
 Under the amendments to HKAS 1, a statement of comprehensive income is 
renamed as a statement of profit or loss  
 and other comprehensive income and an income statement is renamed as a 
statement of profit or loss. The  
 amendments to HKAS 1 retain the option to present profit or loss and other 
comprehensive income in either a  
 single statement or in two separate but consecutive statements. However, 
the amendments to HKAS 1 require  
 additional disclosures to be made in other comprehensive section such that 
items of other comprehensive income  
 are grouped into two categories: (a) items that will not be reclassified 
subsequently to profit or loss; and  
 (b) items that may be reclassified subsequently to profit or loss when 
specific conditions are met. Income tax on 
 items of other comprehensive income is required to be allocated on the 
same basis -- the amendments do not change  
 the existing option to present items of other comprehensive income either 
before tax or net of tax. The  
 amendments have been applied retrospectively, and hence the presentation 
of items of other comprehensive income 


     has been modified to reflect the changes.
     HKFRS 13 Fair value measurement


 The Group has applied HKFRS 13 for the first time in the current interim 
period. HKFRS 13 establishes a single  
 source of guidance for and disclosures about, fair value measurement, and 
replaces those requirements previously  
 included in various HKFRSs. Consequential amendments have been made to 
HKAS 34 to require certain disclosures to  
 be made in the interim condensed consolidated financial statements. 
 The scope of the HKFRS 13 is broad, and applies to both financial 
instrument items and non-financial instrument  
 items for which other HKFRSs require or permit fair value measurements and 
disclosures about fair value  
 measurements, subject to a few exceptions. HKFRS 13 contains a new 
definition of "fair value" and defines fair  
 value as the price that would be received to sell an asset or paid to 
transfer a liability in an orderly  
 transaction in principal (or most advantageous) market at the measurement 
date under current market conditions.  
 Fair value under HKFRS 13 is an exit price regardless of whether that 
price is directly observable or estimated  
 using another valuation technique. Also, HKFRS 13 includes extensive 
disclosure requirements. 
 In accordance with the transitional provisions of HKFRS 13, the Group has 
applied the fair value measurement and 
 disclosure requirements prospectively. The Group has provided these 
disclosures in accordance with the  
 consequential amendments of HKAS 34 in note 20. Other than the additional 
disclosures, the application of HKFRS 
 13 has not had any material impact on the amount recognised in the Group's 
condensed consolidated financial  
 statements. 
4.   Revenue and Segment Information 
 Comparing to the same period last year, there were no changes in the 
reportable and operating segments of the  


     Group during the Period.
     Segment revenue and results


 The following is an analysis of the Group's revenue and results by 
reportable and operating segments: 
                                                               For the six 
months ended June 30, 2013 
                                                                      
Service 
                                                                     area 
and  
                                                         Toll     
advertising      Securities  
                                                    operation      
businesses       operation           Total    
                                                      Rmb'000         
Rmb'000         Rmb'000         Rmb'000 
                                                   (Unaudited)     
(Unaudited)     (Unaudited)     (Unaudited) 
 ---------------------------------------------------------------------------
------------------------------------ 
  Segment revenue from external customers           1,921,545       
1,010,644         715,079       3,647,268 
 ---------------------------------------------------------------------------
------------------------------------ 
  Segment profit                                      868,464          
27,839         166,865       1,063,168 
 ---------------------------------------------------------------------------
------------------------------------ 
                                                           For the six 
months ended June 30, 2012 


                                                                                
          Service
                                                                                
         area and 


                                                         Toll     
advertising      Securities            
                                                    operation      
businesses       operation             Total 
                                                      Rmb'000         
Rmb'000         Rmb'000           Rmb'000 
                                                   (Unaudited      
(Unaudited                        (Unaudited  
                                                 and restated)   and 
restated)     (Unaudited)     and restated) 
 ---------------------------------------------------------------------------
------------------------------------ 
  Segment revenue from external customers           1,844,153       
1,028,811         566,232         3,439,196 
 ---------------------------------------------------------------------------
------------------------------------ 
  Segment profit                                      824,047          
23,565         140,689           988,301 
 ---------------------------------------------------------------------------
------------------------------------ 
 Segment profit represents the profit after tax of each operating segment. 
This is the measure reported to the  
 chief operating decision maker -- the Company's General Manager, for the 
purpose of resource allocation and  


     performance assessment.
        Revenue from major services


 An analysis of the Group's revenue, net of discounts and taxes, for the 
Period is as followed: 
                                                                            
For the six months ended June 30, 


                                                                                
          2013               2012
                                                                                
       Rmb'000            Rmb'000
                                                                                
    (Unaudited)    (Unaudited and
                                                                                
                         restated)


 ---------------------------------------------------------------------------
------------------------------------ 


      Toll operation revenue                                                    
     1,921,545          1,844,153
      Service area businesses revenue (mainly sales of goods)                   
       958,740            983,282
      Advertising business rental revenue                                       
        51,904             45,529
      Commission income from securities operation                               
       538,279            422,931
      Interest income from securities operation                                 
       176,800            143,301


 ---------------------------------------------------------------------------
------------------------------------ 


      Total revenue                                                             
     3,647,268          3,439,196


 ---------------------------------------------------------------------------
------------------------------------ 
5.   Other Income 
                                                                            
For the six months ended June 30, 


                                                                                
          2013               2012
                                                                                
       Rmb'000            Rmb'000
                                                                                
    (Unaudited)    (Unaudited and
                                                                                
                         restated)


 ---------------------------------------------------------------------------
------------------------------------ 


      Interest income on bank balances, entrusted loan receivables
       and financial products investment                                        
        45,746             72,158 
      Rental income                                                             
        32,652             34,020
      Handling fee income                                                       
         2,193              3,396
      Towing income                                                             
         4,883              5,557
      Exchange gain (loss), net                                                 
            14             (3,552)
      Others                                                                    
        18,402             11,841


 ---------------------------------------------------------------------------
------------------------------------ 


      Total                                                                     
       103,890            123,420


 ---------------------------------------------------------------------------
------------------------------------ 
6.   Finance Costs 
                                                                            
For the six months ended June 30, 


                                                                                
          2013               2012
                                                                                
       Rmb'000            Rmb'000
                                                                                
    (Unaudited)    (Unaudited and
                                                                                
                         restated)


 ---------------------------------------------------------------------------
------------------------------------ 


      Interest expenses wholly repayable within 5 years:
        Bank loans                                                              
        28,139             48,979
        Long-term bonds                                                         
         2,700             21,450
        Other loans                                                             
        10,415              5,235
        Others                                                                  
         1,825                 --


 ---------------------------------------------------------------------------
------------------------------------ 


                                                                                
        43,079             75,664


 ---------------------------------------------------------------------------
------------------------------------ 
7.   Profit before Tax 
 The Group's profit before tax has been arrived at after charging:       
                                                                            
For the six months ended June 30, 


                                                                                
          2013               2012
                                                                                
       Rmb'000            Rmb'000
                                                                                
    (Unaudited)    (Unaudited and
                                                                                
                         restated)


 ---------------------------------------------------------------------------
------------------------------------ 


      Depreciation of property, plant and equipment                             
        95,632             85,734
      Amortisation of prepaid lease payments                                    
         1,087              1,077
      Amortisation of expressway operating rights      
       (included in operating costs)                                            
       403,604            402,005
      Amortisation of other intangible assets                                   
         8,978              9,324
      Cost of inventories recognised as an expense                              
       871,039            908,265


 ---------------------------------------------------------------------------
------------------------------------ 
8.   Income Tax Expense 
                                                                            
For the six months ended June 30, 


                                                                                
          2013               2012
                                                                                
       Rmb'000            Rmb'000
                                                                                
    (Unaudited)    (Unaudited and
                                                                                
                         restated)


 ---------------------------------------------------------------------------
------------------------------------ 


      Current tax:
        PRC enterprise income tax                                               
       388,811            326,801
        Deferred tax                                                            
       (14,636)            (4,673)


 ---------------------------------------------------------------------------
------------------------------------ 


                                                                                
        374,175           322,128


 ---------------------------------------------------------------------------
------------------------------------ 
 Under the Law of the PRC on Enterprise Income Tax (the "EIT Law") and 
Implementation Regulation of the EIT Law,  
 the tax rate of the Group is 25%. 
 No Hong Kong Profits Tax has been provided as the Group's income neither 
arises in, nor is derived from Hong Kong 
 during the Period. 
9.   Dividends 
 The Directors have recommended the payment of an interim dividend of Rmb6 
cents per share (corresponding period  
 of 2012: Rmb6 cents per share), subject to shareholders' approval at the 
extraordinary general meeting of the   
 Company expected to be held on October 17, 2013. 
10.  Earnings per Share 
 The calculation of the basic earnings per share is based on profit for the 
Period attributable to owners of the 
 Company of Rmb930,385,000 (corresponding period of 2012 (restated): 
Rmb869,973,000) and the 4,343,114,500 (2012: 
 4,343,114,500) ordinary shares in issue during the Period. 
 Diluted earnings per share presented is the same as basic earnings per 
share since there was no potential  
 ordinary shares outstanding during the both periods. 
11.  Trade Receivables 
 The Group has no credit period granted to its trade customers of toll 
operation and service area businesses. The  
 following is an aged analysis of trade receivables presented based on the 
invoice date, which approximated the  


     respective revenue recognition dates, at the end of the reporting period:
                                                                                
         As at              As at
                                                                                
       June 30,       December 31,
                                                                                
          2013               2012
                                                                                
       Rmb'000            Rmb'000
                                                                                
    (Unaudited)    (Unaudited and
                                                                                
                         restated)


 ---------------------------------------------------------------------------
------------------------------------ 


      Within 3 months                                                           
        62,497             64,138
      3 months to 1 year                                                        
         1,500                 -- 
      1 to 2 years                                                              
            --                146
      Over 2 years                                                              
           169                163


 ---------------------------------------------------------------------------
------------------------------------ 


      Total                                                                     
        64,166             64,447


 ---------------------------------------------------------------------------
------------------------------------ 
 Included in the Group's trade receivable balance aged within 3 months were 
toll receivables from the Expressway 
 Fee Settlement Center of the Highway Administration Bureau of Zhejiang 
Province amounting to Rmb59,829,000  
 (December 31, 2012: Rmb58,173,000) which has been settled subsequent to 
the end of the reporting period. The  
 directors consider the credit risk of the balance to be minimal. 
12.  Loans to Customers Arising from Margin Financing Business 
 The Group has provided customers with margin financing and securities 
lending for securities transactions since  
 June 2012, the credit facility limits to margin clients are determined by 
the discounted market value of the  
 collateral securities accepted by the Group. 
 All of the loans to margin clients which are secured by the underlying 
pledged securities are interest bearing 
 at a fixed rate of 8.6% (December 31, 2012: 8.6%) per annum. The Group 
maintains a list of approved stocks for  
 margin lending at a specified loan to collateral ratio. Any excess in the 
lending ratio will trigger a margin  
 call which the customers have to make good of the shortfall. The Group has 
the right to process forced  
 liquidation if the customer fails to make good of the shortfall within a 
short period of time. 
 As at June 30, 2013, loans to customers under the margin financing and 
securities lending activities carried out  
 in the PRC were secured by the customers' stock securities and cash 
collaterals. The undiscounted market value of 
 the stock security collaterals amounted to Rmb5,867,036,000 (December 31, 
2012: Rmb2,745,885,000). Cash  
 collateral of Rmb170,807,000 (December 31, 2012: Rmb75,976,000) received 
from clients has been included in  
 accounts payable to customers arising from securities business. 
 No aged analysis is disclosed as in the opinion of the directors, the aged 
analysis does not give additional  
 value in view of the nature of business of securities margining financing. 
13.  Other Receivables and Prepayments 


                                                                                
         As at              As at
                                                                                
       June 30,       December 31,
                                                                                
          2013               2012
                                                                                
       Rmb'000            Rmb'000
                                                                                
    (Unaudited)    (Unaudited and
                                                                                
                         restated)


 ---------------------------------------------------------------------------
------------------------------------ 


      Current:
        Entrusted loans receivables from related parties (Note 18(ii) (a))      
       393,691            314,616
        Interest receivables                                                    
        52,319             73,440
        Prepayments                                                             
        22,392             31,543
        Financial products investment receivables (Note a)                      
         2,000            103,432
        Others*                                                                 
       108,676             97,992


 ---------------------------------------------------------------------------
------------------------------------ 


                                                                                
       579,078            621,023


 ---------------------------------------------------------------------------
------------------------------------ 


      Non-current:
        Entrusted loans receivables from related parties (Note 18(ii) (a))      
            --            325,035


 ---------------------------------------------------------------------------
------------------------------------ 


                                                                                
       579,078            946,058


 ---------------------------------------------------------------------------
------------------------------------ 


     *   The amounts were unsecured, interest-free and repayable on demand. 
     Note:


 (a)   Short-term fixed-yield and principal protected bank financial 
products. 
14.  Financial Assets held under Resale Agreement 
 As at June 30, 2013, the amount represented equity securities acquired by 
the Group which would be resold at a 
 predetermined price under resale agreements with individual customers in 
the PRC in 2013. The cash advance by the  
 Group carried interest at fixed rates ranging from 7.0% to 8.6% (December 
31, 2012: 2.16% to 5.77%) per annum. 
 The Group conducted resale agreement under usual and customary terms of 
placements and held collaterals for these 
 transactions. 
 As at June 30, 2013, the collaterals are equity securities listed in the 
PRC, the fair value of equity securities  
 as collaterals was Rmb1,277,640,000 (December 31, 2012: Rmb299,918,000). 
In addition, as at December 31, 2012 the 
 collaterals also included debt securities listed in the PRC of which fair 
value was Rmb119,900,000. 
15.  Trade Payables 
 Trade payables mainly represent the construction payables for the 
improvement projects of toll expressways. The 
 following is an aged analysis of the trade payables presented based on the 
invoice date at the end of the 


     reporting period:
                                                                                
         As at              As at
                                                                                
       June 30,       December 31,
                                                                                
          2013               2012
                                                                                
       Rmb'000            Rmb'000
                                                                                
    (Unaudited)    (Unaudited and
                                                                                
                         restated)


 ---------------------------------------------------------------------------
------------------------------------ 


      Within 3 months                                                           
       163,062            236,246
      3 months to 1 year                                                        
       128,131             37,328
      1 to 2 years                                                              
        26,051             29,117
      2 to 3 years                                                              
         8,694             49,122
      Over 3 years                                                              
        94,547             56,799


 ---------------------------------------------------------------------------
------------------------------------ 


      Total                                                                     
       420,485            408,612


 ---------------------------------------------------------------------------
------------------------------------ 
16.  Other Payables and Accruals 


                                                                                
         As at              As at
                                                                                
       June 30,       December 31,
                                                                                
          2013               2012
                                                                                
       Rmb'000            Rmb'000
                                                                                
    (Unaudited)    (Unaudited and
                                                                                
                         restated)


 ---------------------------------------------------------------------------
------------------------------------ 


      Other liabilities:
        Accrued payroll and welfare                                             
       444,069            408,689
        Advance from customers                                                  
        57,743             74,453
        Toll collected on behalf of other toll roads                            
         7,890              7,114
        Consideration payable for acquisition of equity interest
         in Shengxin Expressway Co., Ltd.                                       
       191,155            189,331
      Consideration payable for non-controlling interest for
       acquisition of additional interest in Jinhua Co under common control     
       101,512                 --
      Retention payable                                                         
       107,485             85,613
      Others                                                                    
       176,545            183,720


 ---------------------------------------------------------------------------
------------------------------------ 


                                                                                
     1,086,399            948,920
      Other accruals                                                            
         3,579             42,340


 ---------------------------------------------------------------------------
------------------------------------ 


      Total                                                                     
     1,089,978            991,260


 ---------------------------------------------------------------------------
------------------------------------ 
17.  Financial Assets sold under Repurchase Agreements 
 Sales and repurchase agreements are transactions in which the Group sells 
a security and simultaneously agrees to  
 repurchase it (or an asset that is substantially the same) at a fixed 
price on a future date. Since the  
 repurchase prices are fixed, the Group are still exposed to substantially 
all the credit risks and market risks 
 and rewards of those securities sold. These securities are not 
derecognised but regarded as "collateral" for the 
 secured lending from these counterparties because the Group retains 
substantially all the risks and rewards of  
 these securities. In addition, the cash received is recognised as 
financial liability. 
 As at 30 June 2013, the Group entered into repurchase agreements with 
certain counterparties. The proceeds from 
 selling such securities are presented as financial assets sold under 
repurchase agreements. The cash advanced to  
 the Group carried interest at fixed rates ranging from 5.5% to 8.085% per 
annum. Because the Group sells the  
 contractual rights to the cash flows of the securities, it does not have 
the ability to use the transferred  
 securities during the term of the arrangement. 
 There was no financial assets sold under repurchase agreements for the 
year ended December 31, 2012. 
18.  Related Party Transactions and Balances 
 The following is a summary of the related party transactions during the 
Period occured in the Group's operating activities: 
 (i)   Transactions and balances with government related parties 
       The Group operates in an economic environment currently predominated 
by entities directly or indirectly 
       owned or controlled by the PRC government ("government-related 
entities"). In addition, the Group itself is 
       part of a larger group of companies under the Communications Group 
which is controlled by the PRC 
       government. However, due to the business nature, in respect of the 
Group's toll road business, the  
       directors are of the opinion that it is impracticable to ascertain 
the identity of counterparties and 
       accordingly whether the transactions are with other government-related entities in the PRC. Details of  
       other significant transactions with government related parties are 
summarised below: 
       (a)   Transactions with Communications Group 
             (1)   On March 20, 2013, the Company entered into an agreement 
with Communications Group pursuant to 
                   which the Company conditionally agreed to purchase from 
Communications Group a 66.283% equity  
                   interest in the Jinhua Co held by Communications Group 
at a cash consideration of  
                   Rmb655,356,000. As at the date of this report, the 
acquisition has been completed. 
             (2)   On March 30, 2013, the Company entered into the capital 
contribution agreement with Zhejiang  
                   Communications Investment Group Finance Co., Ltd. 
("Zhejiang Communications Finance") and its 
                   existing shareholders (all of who are subsidiaries of 
Communications Group). Pursuant to the  
                   agreement, the Company conditionally agreed to 
contribute an amount of Rmb280,000,000 in the 
                   capital of Zhejiang Communications Finance, by way of 
cash. Upon completion, the Company owned 
                   35% equity interest in Zhejiang Communications Finance. 
As at the date of this report, the 
                   contribution has been completed. 
             (3)   Pursuant to the entrusted loan contracts entered into 
between Jinhua Co and Communications 
                   Group on February 28, 2013, Communications Group agreed 
to provide Jinhua Co with entrusted  
                   loans amounted to Rmb340,000,000 at a floating interest 
rate of 5.24% per annum, with maturity 
                   date of August 10, 2015. Such loans were early repaid in 
August, 2013. 
             (4)   Pursuant to loan contracts entered into between Jinhua 
Co and Zhejiang Communications Finance 
                   on March 8, 2013 and April 8, 2013, respectively, 
Zhejiang Communications Finance provided  
                   Jinhua Co with loans amounted to Rmb90,000,000 at a 
fixed interest rate of 5.4% per annum, with  
                   maturity date of March 8, 2014 and April 8, 2014. Part 
of the loans of Rmb30,000,000 was early  


                       repaid in August, 2013.
           (b)   Transactions with other government related parties


             (1)   Pursuant to the operation management agreement entered 
into between Zhejiang Expressway  
                   Investment Development Co., Ltd. ("Development 
Company"), a wholly owned subsidiary of the 
                   Company, and Zhejiang Expressway Petroleum Development 
Co., Ltd. ("Petroleum Company") in  
                   respect of the petrol stations in the service areas 
along Shanghai-Hangzhou-Ningbo and  
                   Shangsan Expressways. Petroleum Company will have its 
expertise to assist Development Company  
                   in running their petrol stations in service areas along 
Shanghai-Hangzhou-Ningbo and Shangsan  
                   Expressways. During the Period, purchase of petroleum 
products from Petroleum Company totaled 
                   Rmb811,976,000 (corresponding period of 2012: 
Rmb844,686,000). 
                   Petroleum Company is a government related party and also 
an associate of the Group. 
            (2)   The Group has entered into various significant 
transactions, including deposit placements,  
                  borrowings and other general banking facilities, with 
certain banks and financial institutions  
                  which are government-related entities in its ordinary 
course of business. In view of the nature 
                  of those banking transactions, the directors are of the 
opinion that separate disclosure would  
                  not be meaningful. 
    (ii)  Transactions and balances with associates and other non-government 
related parties 
       (a)   Transactions and balances with associates and its subsidiaries 
             (1)   Pursuant to the board resolutions of the Company as at 
August 28, 2010 and the entrusted loan  
                   contracts, the Company provided short-term entrusted 
loans during 2011 totalling Rmb390,000,000 
                   with maturity date from November 4, 2011 to August 7, 
2012 and long- term entrusted loan 
                   totalling Rmb100,000,000 with maturity date on May 17, 
2013 to Zhejiang Canal Concord Property 
                   Co., Ltd. ("Zhejiang Canal Concord "), a subsidiary of 
Hangzhou Concord Construction and  
                   Management Co., Ltd.,("Hangzhou Concord Company", which 
is also a subsidiary of the Group's  
                   associate), at a fixed interest rate of 12% per annum. 
Such entrusted loans are guaranteed by  
                   World Trade Center Zhejiang Real Estate Development Co., 
Ltd. ("World Trade Ltd"), a related 
                   party of Hangzhou Concord Company, in full. Part of the 
short-term entrusted loans of  
                   Rmb200,000,000 was early settled during 2011. The 
remaining balance of Rmb190,000,000 of the 
                   short-term entrusted loans and part of the long-term 
entrusted loan of Rmb17,953,000 were  
                   settled in 2012. The remaining balance of the long-term 
entrusted loan of Rmb82,047,000 was  
                   settled in January, 2013. 
             (2)   Pursuant to the board resolutions of the Company on 
August 28, 2010 and the entrusted loan  
                   contract, the Company provided long-term entrusted loan 
during 2011 totalling Rmb200,000,000  
                   with maturity date of April 25, 2013, to Hangzhou Canal 
Concord Property Co., Ltd., a  
                   subsidiary of Hangzhou Concord Company, at a fixed 
interest rate of 12% per annum. Such  
                   entrusted loan is guaranteed by World Trade Ltd in full. 
During the Period, such entrusted 
                   loan was settled in full. 
             (3)   Pursuant to the board resolutions of the Company on June 
11, 2012, and the entrusted loan  
                   contract, the Company provided long-term entrusted loan 
during 2012 totalling Rmb120,000,000  
                   with maturity date of January 17, 2014 to Zhejiang Canal 
Concord at a fixed interest rate of 
                   12% per annum. Such entrusted loan is guaranteed by 
World Trade Ltd in full. 
             (4)   Pursuant to the board resolution of the Company on 
August 28, 2010, and entrusted loan  
                   contract, the Company provided long-term entrusted loan 
during 2012 totalling Rmb190,000,000  
                   with maturity date of February 7, 2014 to Zhejiang Canal 
Concord at a fixed interest 
                   rate of 12% annually. Such entrusted loan is guaranteed 
by World Trade Ltd in full. 
             (5)   Pursuant to the board resolutions of Development Company 
on April 22, 2013, and the entrusted 
                   loan contract, Development Company provided entrusted 
loan on April 27, 2013 totalling  
                   Rmb50,000,000 with maturity date of April 27, 2014 to 
Zhejiang Canal Concord, at a fixed  
                   interest rate of 12% per annum. Such entrusted loan is 
guaranteed by World Trade Ltd in full. 
             For the six months ended June 30, 2013, interest income 
recognised on the above entrusted loan  
             transactions with associates and its subsidiaries were 
Rmb23,548,000 (corresponding period of 2012: 
             Rmb33,762,000). 
             As at June 30, 2013, interest receivables on the above 
entrusted loan transactions with associates and 
             its subsidiaries were Rmb33,691,000 (December 31, 2012: 
Rmb47,604,000). The amount will be repaid at 
             maturity. 
19.  Contingent Liabilities and Pledge of Assets 
 As at June 30, 2013, Zhejiang Yuhang Expressway Co., Ltd. ("Yuhang Co.," a 
51% owned subsidiary of the Company) provided a  
 property under construction as a mortgaged asset for its domestic 
commercial bank loan of Rmb100,000,000. The  
 carrying amount of the mortgaged asset was Rmb306,508,000. Besides, Jinhua 
Co provided the operating right of its 
 expressway as pledged asset for its domestic commercial bank loans of 
Rmb870,000,000. The carrying amount of the  
 pledged asset was Rmb1,933,302,000. 
 Except for the above, as at June 30, 2013, the Group did not have any 
other contingent liabilities, pledge of 
 assets or guarantees. 
20.  Fair Value Measurements of Financial Instruments 
 Fair value of the Group's financial assets that are measured at fair value 
on a recurring basis 
 Some of the Group's financial assets are measured at fair value at the end 
of each reporting period. The  
 following table gives information about how the fair values of these 
financial assets are determined (in  
 particular, the valuation technique(s) and inputs used), as well as the 
level of the fair value hierarchy into 
 which the fair value measurements are categorised (levels 1 to 3) based on 
the degree to which the inputs to the  
 fair value measurements is observable. 
 -   Level 1 fair value measurements are those derived from quoted prices 
(unadjusted) in active market for 
     identical assets; 
 -   Level 2 fair value measurements are those derived from inputs other 
than quoted prices included within Level  
     1 that are observable for the asset, either directly (i.e. as prices) 
or indirectly (i.e. derived from  
     prices); and 
 -   Level 3 fair value measurements are those derived from valuation 
techniques that include inputs for the asset 


         that are not based on observable market data (unobservable inputs).
    


                                                               Basis of 
fair value                  Relationship of 
                                                               
measurement/valuation  Significant   unobservable  
                                 Fair value as at  Fair value  technique(s) 
and key   unobservable  inputs to fair
Financial assets  Classified as      June 30, 2013     hierarchy   input(s)      
      input(s)      value   


                                     In Rmb'000            

1) Equity         Held for           Assets -22,098    Level 1     Quoted bid 
prices in   N/A           N/A
   securities     trading                                          an active 
market.
   listed in      investments
   exchange   
--------------------------------------------------------------------------------
---------------------------------------
2) Fund listed    Held for           Assets -4,606     Level 1     Quoted bid 
prices in   N/A           N/A
   in exchange    trading                                          an active 
market.
                  investments


                  Available-for-sale Assets -59,275    Level 1     Quoted bid 
prices in   N/A           N/A 
              investments                                      an active 
market.
--------------------------------------------------------------------------------
---------------------------------------
3) Debt           Held for           Assets -902,400   Level 1     Quoted bid 
prices in   N/A           N/A  
investments    trading                                          an active 
market. 
listed in      investments 
exchange     
              Available-for-sale Assets -122,000   Level 1     Quoted bid 
prices in   N/A           N/A 
              investments                                      an active 
market.     
--------------------------------------------------------------------------------
---------------------------------------
4) Investments    Available-for-sale Assets -99,468    Level 2     Shares of 
the net      N/A           N/A 
in structured  investments                                      assets of 
the  
products                                                        products, 
determined 
                                                               with 
reference to 
                                                               the net 
asset value 
                                                               of the 
products,  
                                                               calculated 
by  
                                                               observable 
(quoted) 
                                                               prices of 
underlying  
                                                               investment 
portfolio  
                                                               and 
adjustments of 
                                                               related 
expenses.    
                                 Assets -40,065   Level 3      Discounted 
cash flow.  Actual yield  The higher     
                                                               Future cash 
flows are  of the        the actual 
                                                               estimated 
based on     underlying    yield, the 
                                                               applicable 
yield of    investment    higher the 
                                                               the 
underlying         portfolio     fair value 
                                                               investment 
portfolio 
                                                               and 
adjustments of 
                                                               related 
expenses,  
                                                               discounted 
at a rate  
                                                               that 
reflects the  
                                                               credit risk 
of  
                                                               various 
counterparties 
--------------------------------------------------------------------------------
---------------------------------------
5) Investments   Available-for-sale  Assets -41,824   Level 3      Discounted 
cash flow.  Actual yield  The higher   
in trust      investments                                       Future cash 
flows are  of the        the actual 
products                                                        estimated 
based on     underlying    yield, the 
                                                               applicable 
yield of    investments   higher the  
                                                               the 
underlying                       fair value 
                                                               investment 
and 
                                                               adjustments 
of  
                                                               related 
expenses,  
                                                               discounted 
at  
                                                               a rate that  
                                                               reflects the 
credit 
                                                               risk of 
various  
                                                               
counterparties.           
--------------------------------------------------------------------------------
--------------------------------------- 
As at 30 June 2013 (unaudited) 


                                                     Level 1            Level 2 
           Level 3              Total 
                                                     Rmb'000            Rmb'000 


       Rmb'000            Rmb'000
--------------------------------------------------------------------------------
---------------------------------------
Held for trading investments            
  -- Equity securities             


       Manufacturing                                  20,639                 -- 
                --             20,639
       Wholesaling                                     1,459                 -- 


            --              1,459 
-- Fund                                             4,606                 --  
            --              4,606 
-- Debt investments             


        Corporate bonds                              702,400                 -- 
                --            702,400
        Others                                       200,000                 -- 


            --            200,000
--------------------------------------------------------------------------------
--------------------------------------- 
    Sub-total                                    929,104                 --  
            --            929,104
--------------------------------------------------------------------------------
---------------------------------------
Available-for-sale investments            
  -- Fund                                             59,275                 --  
            --             59,275
  -- Corporate bonds                                 122,000                 --  
            --            122,000
  -- Structured products                                  --             99,468  
        40,065            139,533
  -- Trust products                                       --                 --  
        41,824             41,824
--------------------------------------------------------------------------------
---------------------------------------
Sub-total                                            181,275             99,468  
        81,889            362,632
--------------------------------------------------------------------------------
---------------------------------------
Total                                              1,110,379             99,468  
        81,889          1,291,736
--------------------------------------------------------------------------------
--------------------------------------- 
There were no transfers between instruments in Level 1 and Level 2 during the 
six months ended 30 June 2013. 
The following table represents the changes in Level 3 available-for-sale 
investments for the six months ended 30 June 
2013. 


                                                                     Structured 
             Trust
                                                                       products 
          products              Total
                                                                        Rmb'000 


       Rmb'000            Rmb'000
--------------------------------------------------------------------------------
---------------------------------------
At beginning of this period                                                  --  
            --                 --
Addition                                                                 40,000  
        41,000             81,000
Total gains in other comprehensive income                                    65  
           824                889
--------------------------------------------------------------------------------
---------------------------------------
At end of the period                                                     40,065  
        41,824             81,889
--------------------------------------------------------------------------------
--------------------------------------- 
21.  Summary of Financial Information of the Company 


                                                                                
         As at              As at
                                                                                
       June 30,       December 31,
                                                                                
          2013               2012
                                                                                
       Rmb'000            Rmb'000
                                                                                
    (Unaudited)    (Unaudited and
                                                                                
                         restated)


 ---------------------------------------------------------------------------
------------------------------------ 


      Investment in subsidiaries                                                
     5,463,800          4,853,153
      Amounts due from subsidiaries                                             
       655,348            522,694
      Other assets                                                              
     7,652,227          8,454,104


 ---------------------------------------------------------------------------
------------------------------------ 


                                                                                
    13,771,375         13,829,951


 ---------------------------------------------------------------------------
------------------------------------ 


      Total liabilities                                                         
     2,342,393          1,940,568


 ---------------------------------------------------------------------------
------------------------------------ 


      Capital and reserves 
        Share capital                                                           
     4,343,115          4,343,115
        reserves                                                                
     7,085,867          7,546,268


 ---------------------------------------------------------------------------
------------------------------------ 


                                                                                
    11,428,982         11,889,383


 ---------------------------------------------------------------------------
------------------------------------ 
22.  Events after the Reporting Period 
 Pursuant to the board resolutions of the Company on March 19, 2013 and the 
acquisition agreement 
 in respect of the Company's acquisition of 66.283% equity interest in 
Jinhua Co entered into between the Company 
 and Communications Group on March 20, 2013, as at the date of this report, 
the Company has completed its capital 
 injection in Jinhua Co of Rmb1,000,000,000. As a result, the registered 
capital of Jinhua Co was increased from 
 Rmb900,000,000 to Rmb1,900,000,000. Simultaneously, Jinhua Co early repaid 
its entrusted loans from  
 Communications Group of Rmb340,000,000, part of its loans from Zhejiang 
Communications Finance of Rmb30,000,000  
 and part of its bank loans of Rmb570,000,000. 
23.  Approval of Condensed Consolidated Financial Statements 
 The condensed consolidated financial statements were approved and 
authorised for issue by the board of directors 
 on August 28, 2013. 
Corporate Information 
Executive Directors                        Authorized Representatives 
ZHAN Xiaozhang (Chairman)                  ZHAN Xiaozhang 
LUO Jianhu (General Manager)               ZHANG Jingzhong
DING Huikang 
                                       Statutory Address
Non-Executive Directors  
                                       12/F, Block A, Dragon Century Plaza
LI Zongsheng                               1 Hangda Road
WANG Weili                                 Hangzhou City, Zhejiang Province
WANG Dongjie                               PRC 310007 
                                       Tel: 86-571-8798 5588
Independent                                Fax: 86-571-8798 5599
Non-Executive Directors 
                                       Legal Advisers
ZHANG Junsheng  
ZHOU Jun                                   As to Hong Kong and US law:
PEI Ker-Wei                                Herbert Smith Freehills 
                                       23rd Floor, Gloucester Tower
Supervisors                                15 Queen's Road Central 
                                       Hong Kong
FU Zhexiang 
WU Yongmin                                 As to English law:
LIU Haisheng                               Herbert Smith Freehills LLP
ZHANG Guohua                               Exchange House
ZHANG Xiahua                               Primrose Street 
                                       London EC2A 2HS 
Company Secretary                          United Kingdom 
Tony Zheng                                 As to PRC law: 


                                           T & C Law Firm
                                           11/F, Block A, Dragon Century Plaza
                                           1 Hangda Road
                                           Hangzhou City, Zhejiang Province
                                           PRC 310007 

Auditors                                   H Shares Listing Information
 
Deloitte Touche Tohmatsu                   The Stock Exchange of Hong Kong 
Limited 
35/F, One Pacific Place                    Code: 0576
88 Queensway
Hong Kong                                  London Stock Exchange Plc

Investor Relations Consultant              Code: ZHEH

Hill & Knowlton Strategies                 ADRs Information
36th Floor, PCCW Tower, Taikoo Place 
979 King's Road, Quarry Bay                US Exchange: OTC  
Hong Kong                                  Symbol: ZHEXY
Tel : 852-2894 6321                        CUSIP: 98951A100
Fax: 852-2576 1990                         ADR: H Shares 1:10

Principal Bankers                          Representative Office in Hong Kong

Industrial and Commercial Bank of China,   Suite 2910
 Zhejiang Branch                           29/F, Bank of America Tower 
China Construction Bank, Zhejiang Branch   12 Harcourt Road
Shanghai Pudong Development Bank,          Hong Kong
 Hangzhou Branch                           Tel: 852-2537 4295


                                       Fax: 852-2537 4293
H Share Registrar and Transfer Office 
                                       Website
Hong Kong Registrars Limited             
Room 1712-1716, 17/F, Hopewell Centre      www.zjec.com.cn
183 Queen's Road East
Hong Kong 
For Corporate Structure of the Group, please visit:
http://www.prnasia.com/sa/attachment/2013/08/20130830232758481010.pdf 
For Financial Highlights, please visit:
http://www.prnasia.com/sa/attachment/2013/08/20130830232759631664.pdf 
For Location Map of Expressways in Zhejiang Province, please visit: 
http://www.prnasia.com/sa/attachment/2013/08/20130830232759792121.pdf 
--------------------------------------------------------------------------------
-------------------
NOTE : To view the full set of the Company's 2013 Interim Report. Please visit 
www.zjec.com.cn
--------------------------------------------------------------------------------
------------------- 
END 
-0- Aug/30/2013 17:04 GMT
 
 
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