Results Highlights (For the year ended 31 December)
(RMB million)	2010	2009	Change
Sales	4,262	3,970	+7.3%
Gross profit	2,546	2,399	+6.1%
Operating profit	1,741	1,697	+2.6%
Profit attributable to equity holders	1,464	1,460	+0.3%
Gross profit margin (%)	59.7%	60.4%	-0.7 pt
Operating profit margin (%)	40.9%	42.7%	-1.8 pts
Net profit margin (%)	34.3%	36.8%	-2.5 pts
Basic earnings per share (RMB cents)	25.83	25.76	+0.3

Operational Highlights
High dividend payout ratio	Dividend payout ratio: 70%
New management on Board	Additions of professionals with international exposure Chief Executive Officer - Ms. Sandrine Zerbib Chief Financial Officer - Mr. Terence Hon
Tightening partnership with retailers	Leveraging the partnership with GX Retail Group, enhanced the brand experience at point of sale Increased emphasis on internet sales
Increasing marketing and advertising activities	Launched a series of Kappa brand image TV commercials on CCTV5 and other regional TV channels Launched a World Cup marketing campaign dubbed "Soccer Frenzy" during 2010 FIFA World Cup South Africa
Product innovation through design and development	Leveraged talents and resources from R&D center in Japan Transformed Taicang factory, Jiangsu into a technical center