Hong Kong Exchanges and Clearing Limited (HKEx) and Standard & Poor's, a global leader in financial information and investment analysis, have signed a Statement of Intent for the creation of a new series of equity indices covering stocks listed on HKEx's stock exchange, the two firms announced today.

The new Main Board and GEM (Growth Enterprise Market) indices, to be co-branded as S&P/HKEx, will include the Main Board's large-cap, mid-cap and small-cap components. All shares listed on the exchange will be eligible for inclusion in the new index series, which will be based on Standard & Poor's index methodology and feature the index provider's Global Index Classification Standard (GICS). For more information on GICS, please visit the following webpage: www.spglobal.com.

Mr. Kwong Ki-chi, HKEx's Chief Executive said: "We are delighted to have this opportunity to work with Standard and Poor's for the joint development of a series of benchmark Hong Kong indices. Our goal is to provide market participants with more index choices."

Mr. Hendrik Kranenburg, Executive Vice President of Standard & Poor's Investment Services said: "Standard & Poor's is very pleased to have been chosen as an index provider by HKEx. Standard & Poor's is recognised by exchanges around the world for the importance we attach to traded index products that serve the needs of investors. We bring this same philosophy to Hong Kong, and together with HKEx, we aim to create indices and index products that will be useful for Hong Kong-based and global investors alike."

It is expected that the new S&P/HKEx index series will eventually replace HKEx's existing All Ordinaries Index (AOI) and Growth Enterprise Index (GEI). After the new indices have been marketed and gained acceptance by industry professionals, Standard & Poor's will seek to license financial products based on the indices and to promote them as benchmarks for asset managers.

Upon completion of legal agreements, Standard & Poor's will open an Index Services office in Hong Kong, complementing Standard & Poor's existing financial information and credit rating operations in Hong Kong. Standard & Poor's will market and license the S&P/HKEx indices through its global Index Services network. In the Asia-Pacific region, Standard & Poor's maintains Index Services offices in Tokyo and Sydney, which will lend support to the new Hong Kong venture.

HKEx is the publicly listed holding company of The Stock Exchange of Hong Kong Limited, Hong Kong Futures Exchange Limited and their related clearing houses. The company offers a wide variety of products and services. HKEx's stock exchange is the second largest in Asia and the tenth largest stock exchange in the world. For more information, please visit HKEx's website at www.hkex.com.hk.

Standard & Poor's, a division of The McGraw-Hill Companies (NYSE:MHP), provides independent financial information, analytical services and credit ratings to the world's financial markets. Among the company's many products are the S&P Global 1200 Index, the world's first real-time, investable global equity index, the S&P 500 Index, the premier U.S. portfolio index, and credit ratings on more than 220,000 securities and funds worldwide. With more than 5,400 employees located in 18 countries, Standard & Poor's is an integral part of the global financial infrastructure. For more information, please visit Standard & Poor's website at www.standardandpoors.com.