COSCO SHIPPING Development Co., Ltd. — Board/Management Information 2006

Jun 29, 2006

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(a joint stock limited company incorporated in the People’s Republic of China with limited liability)

(Stock Code: 2866)

Announcement Resignation of Existing Chairman and Appointment of New Chairman and a Vice Chairman

The board of directors (the “Board”) of China Shipping Container Lines Company Limited (the “Company”) announces that Mr. Li Kelin has resigned from his position as the Chairman of the Board, Mr. Li Shaode has been appointed as the Chairman of the Board and Mr. Zhang Guofa (“Mr. Zhang”) has been appointed as a Vice Chairman of the Board, all with effect from 28 June 2006.

The Board announces that:

(1) Resignation of Existing Chairman

Mr. Li Kelin, due to his age, has tendered his resignation from his position as the Chairman of the Board on 28 June 2006. Mr. Li Kelin’s request has been approved at and became effective upon the conclusion of the meeting of the Board held on 28 June 2006 (the “Board Meeting”). Mr. Li Kelin has also been re-designated as a non-executive director and such re-designation became effective on the same date.

(2) Appointment of New Chairman and a Vice Chairman

The Board has appointed Mr. Li Shaode as the new Chairman of the Board and Mr. Zhang as a Vice Chairman of the Board at the Board Meeting. Mr. Li Shaode has also been re-designated as an executive director. The appointment of Mr. Li Shaode and Mr. Zhang and the re-designation of Mr. Li Shaode became effective on 28 June 2006.

Background of Mr. Li Shaode

Mr. Li Shaode, aged 55, joined the Company in October 1997 and has been a non-executive director and the Vice Chairman of the Company since 3 March 2004. Mr. Li had over 35 years of experience in the shipping industry. He graduated in 1983 from the Shanghai Maritime University, majoring in the Sea Transportation Management. In 1997, he obtained a Master’s Degree in engineering in Shanghai Maritime University. He was elected as the Vice Chairman of China Ship-owners’ Society in 2001.

During the last three years, Mr. Li has also been the party secretary and a Vice President of China Shipping (Group) Company (“China Shipping”), the controlling shareholder of the Company, and in early June 2006 he was appointed as the President of China Shipping. In addition, Mr. Li was a Vice Chairman and subsequently the Chairman of China Shipping Development Co., Ltd, a listed public company whose H shares and A shares are listed on the Stock Exchange and Shanghai Stock Exchange respectively and a subsidiary of China Shipping. Saved as disclosed above, Mr. Li has not held any directorship in listed public companies in the last three years, has no other major appointments and qualifications, and is not connected with any directors, senior management or substantial or controlling shareholders of the Company.

Mr. Li was granted 680,000 units of share appreciation rights (the “Rights”) in accordance with the share appreciation rights scheme adopted by the Company’s shareholders on 12 October 2005. Saved as disclosed above, Mr. Li does not have any other interests in the shares of the Company within the meaning of Part XV of the Securities and Futures Ordinance as at the date of this announcement. There is no information which requires to be disclosed by Mr. Li under Rules 13.51(2)(h) to (v) of the Listing Rules and there is no other matter that needs to be brought to the attention of holders of securities of the Company pursuant to Rule 13.51(2)(w) of the Listing Rules.

Mr. Li has a service contract with the Company for a term of 3 years. The amount of emoluments of Mr. Li for his position as Chairman will be RMB880,000 (equivalent to approximately HK$852,000) per year as determined by the Board with regard to his duties, responsibilities and time spent on the affairs of the Company.

Background of Mr. Zhang

Mr. Zhang Guofa, aged 49, joined the Company in February 2005 and is a non-executive director of the Company. Mr. Zhang began his career in the shipping industry in 1980 and has extensive management experience. He graduated from Wuhan University in 1988, obtained a Master degree in 1991 and a Doctorate degree in 1997. Between November 2001 and November 2004, he was the deputy director of the water transport department of the Ministry of Communications. From November 2004 till now, he became a Vice President and party member of China Shipping. Mr. Zhang has not held any directorship in listed public companies in the last three years, has no other major appointments and qualifications, and is not connected with any directors, senior management or substantial or controlling shareholders of the Company.

Mr. Zhang was granted 300,000 Rights in accordance with the share appreciation rights scheme adopted by the Company’s shareholders on 12 October 2005. Saved as disclosed above, Mr. Zhang does not have any other interests in the shares of the Company within the meaning of Part XV of the Securities and Futures Ordinance as at the date of this announcement. There is no information which requires to be disclosed by Mr. Zhang under Rules 13.51(2)(h) to (v) of the Listing Rules and there is no other matter that needs to be brought to the attention of holders of securities of the Company pursuant to Rule 13.51(2)(w) of the Listing Rules.

Mr. Zhang has a service contract with the Company for a term commencing from the conclusion of the first special general meeting of the Company in year 2005 held on 18 February 2005 until the conclusion of the annual general meeting of the Company for the year 2006, i.e. on or around June 2007. The amount of emoluments of Mr. Zhang for his position as a Vice Chairman will be RMB88,000 (equivalent to approximately HK$85,200) per year as determined by the Board with regard to his duties, responsibilities and time spent on the affairs of the Company.

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The Board would like to take this opportunity to thank Mr. Li Kelin for his valuable contribution to the Company during his tenure of service and the Board would also like to express its congratulation to Mr. Li Shaode and Mr. Zhang on their appointments.

By order of the Board of China Shipping Container Lines Company Limited Li Shaode

Chairman

Shanghai, the People’s Republic of China

28 June 2006

The Board as at the date of this announcement comprises of Mr. Li Shaode, Mr. Jia Hongxiang, Mr. Huang Xiaowen and Mr. Zhao Hongzhou, being executive directors, Mr. Li Kelin, Mr. Zhang Jianhua, Mr. Wang Daxiong, Mr. Zhang Guofa and Mr. Xu Hui, being non-executive directors, and Mr. Hu Hanxiang, Mr. Gu Nianzu, Mr. Wang Zongxi and Mr. Lam Siu Wai, Steven, being independent nonexecutive directors.

The exchange rate adopted in this announcement for illustration purposes only is HK$1.00=RMB1.033

* The Company is registered as an oversea company under Part XI of the Companies Ordinance (Chapter 32 of the Laws of Hong Kong) under its Chinese name and under the English name “China Shipping Container Lines Company Limited”.

“Please also refer to the published version of this announcement in South China Morning Post.”

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