JC&C 2015 Half Year Financial Statements

To: Business Editor 31st July 2015

For immediate release

Jardine Cycle & Carriage Limited

2015 Half Year Financial Statements and Dividend Announcement

The following announcement was issued today by the Company's 74%-owned subsidiary, Jardine Cycle & Carriage Limited.

For further information, please contact:

Jardine Matheson Limited

Neil M McNamara (852) 2843 8227

Brunswick Group Limited

Karin Wong (852) 3512 5077

31st July 2015

JARDINE CYCLE & CARRIAGE LIMITED

2015 HALF YEAR FINANCIAL STATEMENTS AND DIVIDEND ANNOUNCEMENT

Highlights

· Underlying earnings per share down 12%

· Lower rupiah earnings in Astra further reduced on translation into US dollars

· Improved performance from Direct Motor Interests

· 24.9% interest acquired in Siam City Cement for US$615 million

· US$749 million rights issue fully subscribed

"Astra's earnings in the half year were lower in the face of reduced domestic consumption, intense competition in the car sector and lower commodity prices in Indonesia, and its contribution to the Group was reduced further by a weaker rupiah exchange rate. While the timing of a recovery is uncertain, our businesses are well-positioned once momentum is regained, and remain soundly underpinned by the strength of our balance sheets."

Ben Keswick, Chairman

31st July 2015

The exchange rate of US$1=S$1.35 (31st December 2014: US$1=S$1.32) was used for translating assets and liabilities at the balance sheet date and US$1=S$1.35 (30th June 2014: US$1=S$1.26) was used for translating the results for the period.The financial results for the six months ended 30th June 2015 have been prepared in accordance with the International Financial Reporting Standards. These results have not been audited or reviewed by the independent auditor.

(1) A reconciliation of profit attributable to shareholders and underlying profit is showin in Note 4 of this report.

(2) The earnings per share and net asset value per share have been adjusted to reflect the effect of the rights issue completed in July 2015.

(3) The S$ equivalent is an estimate as the actual amount of the interim dividend will be determined on Books Closure Date referred to in Note 11.

CHAIRMAN'S STATEMENT

Overview

The Group's underlying profit in the first six months of the year was lower due to the reduced contribution from Astra's businesses, particularly the automotive operations and agribusiness, partly compensated for by improved results in the Group's Direct Motor Interests and an initial contribution from Other Interests.

Performance

The Group's revenue for the first half declined by 13% to US$8.2 billion. Underlying profit and underlying earnings per share were both 12% lower at US$364 million and US¢99.34, respectively. Profit attributable to shareholders was US$362 million after accounting for a small non-trading loss, and was 16% lower than the previous year which had benefited from a net gain of US$20 million due largely to the recognition of negative goodwill arising on the acquisition of a 50% interest in Astra Aviva Life in 2014.

Astra's contribution to the Group's underlying profit was lower at US$294 million as a 13% decline in its rupiah results was translated into a 23% fall in US dollar terms, as the rupiah was on average 10% weaker than in the first half of 2014. The Group's Direct Motor Interests contributed an 88% increase in underlying profit at US$69 million, while the Group's Other Interests contributed US$12 million.

In April this year, the Company completed the purchase of a 24.9% interest in publicly-listed Siam City Cement Public Company Limited ("Siam City Cement"), the second largest cement manufacturer in Thailand, for US$615 million. Following this investment, the Company's net debt increased from US$47 million at the end of 2014 to US$659 million at the end of June, while the Group's consolidated net debt (excluding borrowings within Astra's financial services subsidiaries) rose from US$239 million to US$784 million. Net debt within Astra's financial services subsidiaries was US$3.5 billion at the end of June, compared to US$3.7 billion at the end of last year.

In July 2015, the Company completed a one for nine renounceable rights issue, which was fully subscribed, raising gross proceeds of approximately US$749 million. The proceeds of the rights issue were used primarily to repay borrowings taken on to fund the investment in Siam City Cement as well as for general corporate purposes.

The Board has declared an interim one-tier tax exempt dividend of US¢18 per share (2014: US¢18 per share).

Group Review

Astra International

Economic growth in Indonesia slowed, impacted by the soft global demand and weak commodity prices. Astra reported a net profit equivalent to US$619 million under Indonesian accounting standards, 18% down in its reporting currency with reduced contributions from all its businesses with the exception of heavy equipment and mining.

Automotive

Overall automotive demand weakened during the first half due to a general slow-down in the economy. In addition, discounting in the car market caused by manufacturing overcapacity continued to have a negative impact on earnings.

The wholesale market for cars fell by 18% to 525,000 units. Astra's car sales fell by 21% to 263,000 units, with its market share decreasing from 52% to 50% during the first half. The group launched nine new models and five revamped models during the period.

The wholesale market for motorcycles decreased by 24% to 3.2 million units. Astra Honda Motor's sales were reduced by 19% to 2.1 million units, with its market share increasing from 62% to 67%. Astra Honda Motor launched eight new models and three revamped models during the period.

Astra Otoparts, the group's 80%-owned component manufacturing business, saw net income fall by 67% to US$12 million, due to lower volumes and a weaker rupiah, alongside lower manufacturing margins.

Financial Services

Net income from the group's financial services businesses decreased by 16% to US$160 million. Excluding the one-time gain arising from the acquisition of the 50% stake in Astra Aviva Life in May 2014, net income from the group's financial services businesses rose by 2%. Earnings growth across most of the financial services portfolio, including Asuransi Astra Buana, Permata Bank and Federal International Finance, was offset by a decline in contribution from SAN Finance, Komatsu Astra Finance and Astra Sedaya Finance.

The consumer finance sector saw increased activity and Astra's automotive-focused operations increased their market shares, growing the amount financed by 2% to US$2.4 billion, including balances financed through joint bank financing without recourse. The car-focused Astra Sedaya Finance recorded net income 8% lower at US$39 million, while motorcycle-focused Federal International Finance's net income was up 8% at US$51 million. The amount financed through the heavy equipment-focused finance operations increased by 8% to US$164 million due to the sales mix.

Astra's 45%-held joint venture, Permata Bank, reported net income 4% higher at US$64 million, on modest loan growth and an improved funding environment.

Group insurance company, Asuransi Astra Buana, recorded higher earnings due to an increase in the contribution from investment earnings.

The group's new life insurance joint venture with Aviva plc, which markets its products and services as "Astra Life powered by Aviva", performed in line with expectations during the first half, gaining 8,700 customers and more than 98,000 new participants under the employee benefit and corporate business.

Heavy Equipment and Mining

United Tractors, which is 60%-owned, reported a 9% decrease in revenue, although net income rose 4% to US$262 million with the benefit of a weaker rupiah on its US dollar denominated income.

In the construction machinery business, revenue declined 14%, reflecting a 38% reduction in Komatsu heavy equipment sales to 1,375 units, which was partly offset by higher parts and services revenue.

The contract mining operations of subsidiary, Pamapersada Nusantara, reported a 9% decrease in revenue as contract coal production declined 8% to 52 million tonnes, with contract overburden removal down 8% at 372 million bank cubic metres on lower stripping ratios.

United Tractors' mining subsidiaries reported a decline in revenue of 18%, in line with the 18% lower coal sales at 2.8 million tonnes. United Tractors and its subsidiaries own interests in nine coal mines with combined reserves estimated at 403 million tonnes.

During the second quarter, United Tractors acquired a further 10.1% interest in listed construction group Acset Indonusa, raising its shareholding to 50.1%. Acset Indonusa is active in a range of construction activities including foundations, civil works and mechanical engineering services. The earnings contribution during the first half was negligible.

Agribusiness

Astra Agro Lestari, which is 80%-held, reported net income of US$34 million, down 68%. Average crude palm oil prices achieved were 12% lower compared with the same period last year, and crude palm oil sales were 18% lower at 551,000 tonnes, while olein sales increased by 109% to 194,000 tonnes.

Infrastructure, Logistics and Others

Net income from infrastructure, logistics and others fell by 60% to US$5 million, mainly due to initial losses arising on the commencement of operations of section 1 of the Kertosono-Mojokerto toll road.

The 72.5 km Tangerang-Merak toll road, operated by 79%-owned Marga Mandalasakti, reported an 8% increase in traffic volumes to 22 million vehicles. Construction continues at the wholly-owned greenfield 40.5 km Kertosono-Mojokerto toll road near Surabaya. Section 1, which is 14.7 km long, began operations in October 2014 and further stages are expected to become operational during 2016, subject to the timely completion of land acquisitions. Taken together with Astratel's 40% interest in the greenfield 11.2 km Kunciran-Serpong toll road on Jakarta's outer ring-road, the Group has an interest in 124.2 km of toll roads.

Serasi Autoraya's revenue declined due to a 9% decrease in the number of vehicles under contract at its TRAC car rental business to 27,000. Net income decreased by 63% to US$2 million.

Anandamaya Residences, the group's 60%-held luxury residential development project located in Jakarta's Central Business District, continues to achieve market leading pricing and strong buyer interest with close to 90% of the units sold.

Information Technology

Astra Graphia, 77%-owned, which is active in the area of document information and communication technology solutions and is the sole distributor of Fuji Xerox office equipment in Indonesia, reported net income of US$7 million, down 11%.

Direct Motor Interests

The profit from the Group's Direct Motor Interests rose 88% to US$69 million. There was a strong performance from Truong Hai Auto Corporation in Vietnam, which benefited from significantly higher unit sales alongside good margins. The contribution from the Singapore motor operations saw an improvement as unit sales were higher following an increase in the government vehicle quota. In Malaysia, Cycle & Carriage Bintang's earnings rose in response to strong sales and improved margins. In Indonesia, Tunas Ridean's profit declined due to lower motor car sales and lower contribution from its rental operations, partly offset by an improved contribution from its 49%-owned financing associate, which benefited from a larger loan portfolio.

Other Interests

The Group's Other Interests comprise two new associates, 24.9%-held Siam City Cement in Thailand and 22%-held Refrigeration Electrical Engineering Corporation ("REE") in Vietnam. They have been equity accounted from the second quarter and contributed US$12 million. Siam City Cement is the second largest cement manufacturer in Thailand, while REE is involved in mechanical and electrical engineering, real estate and strategic investment in power and water utility infrastructure.

Outlook

Astra's earnings in the first half were lower in the face of reduced domestic consumption, intense competition in the car sector and lower commodity prices in Indonesia, and its contribution to the Group was reduced further by a weaker rupiah exchange rate. While the timing of a recovery is uncertain, our businesses are well-positioned once momentum is regained, and remain soundly underpinned by the strength of our balance sheets.

Ben Keswick

Chairman

31st July 2015

Statement pursuant to Rule 705(5) of the Listing Manual

The directors confirm that, to the best of their knowledge, nothing has come to the attention of the Board of Directors which may render the accompanying unaudited interim financial results for the six months ended 30th June 2015 to be false or misleading in any material respect.

On behalf of the Directors

Ben Keswick

Director

Hassan Abas

Director

31st July 2015

nm - not meaningful

(1) The net asset value per share has been adjusted to reflect the effect of the rights issue completed in July 2015.

For the three months ended 30th June 2015

For the six months ended 30th June 2015