13:45     CHINA INSURANCE<00966> - Results Announcement (2)                   

    3.       Segment reporting                                                
    Segment information is presented in respect of the Group's business and   
    geographic segments. Business segment information is chosen as the primary
    reporting format because this is more relevant to the Group's internal    
    financial reporting.                                                      
                                                                              
    (a)     By business activity:                                             
    For the year ended 31 December 2004                                       
                                                                              
                                    2004                                      
                                           Insurance                          
                    Life       Asset       intermediaries                     
    Reinsurance    insurance  management   Business       Unallocated   Total 
    $'000          $'000      $'000        $'000           $'000        $'000 
                                                                              
    Turnover                                                                  
    1,092,462    6,217,608   23,819       11,292          -          7,345,181
    Other revenue                                                             
    195,408      201,288     19,795       1,694           75,864      494,049 
    Operating expenses                                                        
    (1,075,260) (1,460,978)  (27,013)    (4,581)          (16,521) (2,584,353)
    Change in insurance reserves                                              
    (7,383)     (5,369,039)       -          -            -        (5,376,422)
    ------------------------------------------------------------------------- 
    Profit/(loss) from operations                                             
    205,227       (411,121)     16,601      8,405           59,343  (121,545) 
    ==========================================================================
    Share of profits/ (losses) of                                             
      associates                                                              
    -               -               -        825          (35,931)   (35,106) 
    ==========================================================================
    Finance costs                                                             
    -               (1,204)       (4,225)        -       (78,985)    (84,414) 
    ==========================================================================
    Profit/(loss) attributable to shareholders                                
    198,003        (176,786)     7,002        7,732     (58,886)    (22,935)  
    ==========================================================================
    Underwriting profit/ (loss)                                               
    25,829         (291,247)     -              -               -   (265,418) 
    ==========================================================================
                                                                              
    For the year ended 31 December 2003 (restated):                           
                                                                              
                                    2003 (Restated)                           
                                                                              
                                         Insurance                            
                 Life        Asset       intermediaries                       
    Reinsurance  Insurance  management   business        Unallocated     Total
    $'000        $'000      $'000        $'000           $'000           $'000
                                                                              
    Turnover                                                                  
    1,179,622   3,079,503   56,169      14,661          -            4,329,955
    Other revenue                                                             
    216,935    136,734       31,061      3,757          35,818        424,305 
    Operating expenses                                                        
    (1,192,874)  (673,907)   (25,882)   (4,454)         (25,207)   (1,922,324)
    Change in insurance reserves                                              
    41,235      (2,710,679)     -          -               -      (2,669,444) 
    ------------------------------------------------------------------------- 
    Profit/(loss) from operations                                             
    244,918     (168,349)      61,348   13,964          10,611      162,492   
    ==========================================================================
    Share of profits/ (losses) of associates                                  
    -              -            -         345         (60,719)      (60,374)  
    ==========================================================================
    Finance costs                                                             
    (3)        (4,693)      (3,926)         -          (11,216)     (19,838)  
    ==========================================================================
    Profit/(loss) attributable to  shareholders                               
    234,027    (91,250)     47,353          11,947    (61,324)       140,753  
    ==========================================================================
    Underwriting profit/ (loss)                                               
    43,635         (121,711)          -      -          -           (78,076)  
    ==========================================================================