Maoyan Entertainment — Earnings Release 2016

Oct 18, 2016

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

==> picture [135 x 74] intentionally omitted <==

CHINA UNICOM (HONG KONG) LIMITED 中國聯合網絡通信 ( 香港 ) 股份有限公司 (Incorporated in Hong Kong with limited liability) (Stock Code: 0762)

Profit Warning

This announcement is made by China Unicom (Hong Kong) Limited (the "Company", together with its subsidiaries, the "Group") pursuant to Rule 13.09 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited and the Inside Information Provisions under Part XIVA of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong).

In the first three quarters of 2016, the Group strived to mitigate its underlying shortcomings, with positive business momentum emerging. Our mobile business has achieved initial success in overcoming operational challenges and mobile billing subscribers is expected to reach approximately 262 million, registering a net addition of approximately 9.76 million during the period and successfully turning around the downward trend in mobile subscribers for consecutive months last year. Within that, the number of 4G subscribers is expected to reach approximately 88.90 million, representing a net addition of approximately 44.75 million. For September alone, the net addition of 4G subscribers is expected to reach approximately 6.05 million. The profit attributable to the equity shareholders of the Company is expected to be approximately RMB 1,588 million, down by about 80.6% as compared to the same period of last year mainly because selling and marketing expenses increased substantially year-on-year, and the addition of tower usage fee, higher energy charges and property rentals, etc. led to a substantial increase year-on-year in network, operation and support expenses. However, it showed significant improvement from the loss attributable to the equity shareholders of the Company (excluding the gain on disposal of tower assets) of approximately RMB 3,363 million in the second half of last year. Going forward, the Group will capitalize on the firm execution of “Focus Strategies”, innovation and cooperation development to drive gradual business turnaround with full strength.

Caution Statement

The Board wishes to remind shareholders of the Company and investors that the above expected financial and business data are based on the preliminary assessment made by the management of the Company with reference to the information currently available and the unaudited management accounts of the Group, and have not been reviewed or audited by the auditors. Information to be disclosed in the announcement of the Company’s key financial and performance indicators for the first three quarters of 2016 on 21 October 2016 shall prevail. The Company’s shareholders and investors are cautioned not to unduly rely on the above data. In the meantime, the Company’s

1

shareholders and investors are advised to exercise caution in dealing in the securities of the Company.

By order of the Board China Unicom (Hong Kong) Limited Yung Shun Loy Jacky Company Secretary

Hong Kong, 18 October 2016

Certain statements contained in this announcement may be viewed as “forward-looking statements” within the meaning of Section 27A of the U.S. Securities Act of 1933 (as amended) and Section 21E of the U.S. Securities Exchange Act of 1934 (as amended). Such forward-looking statements are subject to known and unknown risks, uncertainties and other factors, which may cause the actual performance, financial condition or results of operations of the Company to be materially different from any future performance, financial condition or results of operations implied by such forward looking statements. In addition, we do not intend to update these forward-looking statements. Further information regarding these risks, uncertainties and other factors is included in the Company’s most recent Annual Report on Form 20-F filed with the U.S. Securities and Exchange Commission (the “SEC”) and in the Company’s other filings with the SEC.

As at the date of this announcement, the board of directors of the Company comprises:

Executive directors:	Wang Xiaochu, Lu Yimin, Li Fushen and Zhang Junan
Non-executive director:	Cesareo Alierta Izuel
Independent non-executive directors:	Cheung Wing Lam Linus, Wong Wai Ming,
	Chung Shui Ming Timpson, and Law Fan Chiu Fun Fanny

2