Statistical Unit in Construction refers to corporate enterprise engaged in the construction of buildings and structures and
in the installation of equipment. A corporate construction enterprise should have qualification certificates with independent
accounting system, and should meet the following 3 requirements: ① being set up in line with relevant legal basis, having its
full name, organization and location, and capable of taking civil liabilities; ② independently possessing and using its assets
and assuming its liabilities, and entitled to sign contracts with other institutions; and ③ making independent accounts of its
profits and losses, and capable of compiling its own balance sheet.

Gross Output Value of Construction refers to total of construction products and services, expressed in money terms,
produced or rendered by construction and installation enterprises during a given period of time. It includes:

(1) Output value of construction projects, that is the value of projects covered by the project budgets;

(2) Output value of installation projects, that is the value of the installation of equipment, (excluding the value of the
equipment to be installed);

(3) Output value of others, that is the output value of construction industry excluding that of construction projects and
installation projects. It includes: output value of repair of buildings and structures; output value of non-standard equipment
manufacturing; overhead expenses received by contracted enterprises to the sub-contracted enterprises and the completed
output value of construction activities that have no clear definition.

a. Output value of repair of buildings and structures, that is the value created through the repairs of buildings or structures,
but does not include the value of buildings or structures being repaired and the value of the repair of production equipment;

b. Output value of manufactured non-standard equipment, that is the value of non-standard production equipment including
raw materials and manufacturing cost made for the construction project (i.e., chemical plant; kettles or tanks used by
refineries; various fillers, triangle tanks, valves used by mines), and the output value of equipment manufactured by
subsidiary workshops.

Value-added of Construction refers to the final result of the activities of production and management of construction
industry in monetary terms in the reference period. At present, the value-added of construction is calculated with the income
approach, that is to say, it is the sum of income of various production factors in the production process. The formula is as
follows:

Value-added of Construction=depreciation of fixed assets in the year + wages payable + welfare expenses payable +
insurance premium and tax for waiting for employment in the administrative expenses + taxes and surcharges on project
settlement + profit.

Floor Space of Buildings Under Construction refers to floor space of buildings under construction during the reference
period, including newly started buildings, buildings started earlier and continued during the reference period, and buildings
suspended earlier but restarted during the reference period, buildings completed during the reference period, and buildings
under construction and then suspended during the reference period.

Floor Space of Buildings Completed refers to the floor space of buildings that are completed in the reference period in
accordance with the requirements of the design, up to the standard for putting them into use, and have been checked and
accepted by concerned departments as qualified ones.

Total Number of Machinery and Equipment Owned by the End of Year refers to the number of machines and
equipment owned by the enterprises, and listed as the fixed assets of the enterprises by the end of the year, including
machinery and equipment for construction, production and transportation and other equipment.

Total Power of Machinery and Equipment Owned by the End of Year refers to the total power of machinery and
equipment owned by the enterprises, and listed as the fixed assets of the enterprises by the end of the year, including
machinery and equipment for construction, production and transportation and other equipment. The power of the machinery is
calculated on basis of the designed or verified capacity, covering the power of the machinery/equipment and the separate
power equipment serving the machinery/equipment (such as electric motors), but excluding welders, transformers and boilers.
The unit used for the calculation of power is kilowatt, with horsepower converted to kilowatt by 1 horsepower=0.735 kilowatt.

Income from Settlement of Projects refers to the income received by the construction enterprise from the contracted
project through settlement procedures, and other charges to the contractee as operational costs in addition to the value of
the project, such as temporary facility fee, labour insurance premium, moving cost of construction equipment, as well as
various types of claims to the contractee.

Profit from Settlement of Projects refers to profit realized through settled projects. It is calculated with the following
formula:

Profit from Settlement of Projects=Income from Settlement of Projects - Settled Cost - Settled Taxes and Other Cost

Total Revenue of Enterprises refers to the sum of income from production and operation of enterprises, including income
from settlement of projects and other operational income, namely:

Total Revenue of Enterprises=Income from Settlement of Projects + Other Operational Income