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DECLARATION - SICHUAN HEJIANG HAM SAUSAGE INCIDENT

(19 September 2012, Hong Kong) China Yurun Food Group Limited ("Yurun Food" or "the Company", together with its subsidiaries collectively as the "Group") (SEHK: 1068), a leading renowned vertically-integrated meat-product processor and supplier in China, would like to reiterate that the Group has been implementing stringent internal control procedures over its raw materials selection, procurement and production processes so as to ensure product quality and food safety.

The Group has recently noticed some reports published by local and online media regarding several students of Foyin County Central Primary School in Sichuan Hejiang, who felt slight discomfort after consuming certain ham sausage products distributed by the school. Some of the students were admitted to hospital for examination and were all subsequently discharged in the evening on the same day.

The Group, after its knowledge of the incident, has promptly attended the scene to visit the students. The Group has conducted an internal investigation and has been in active cooperation with the relevant local authorities. The Group will actively follow up the incident and further announcement will be made by the Group as appropriate.

The Group has always adhered to the motto of "You trust because we care"to provide products of international standards to consumers. Yurun Food will remain committed to its pledge to consumers in food quality and safety and improve its product quality control procedures.

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