Press Release

J.P. Morgan China joint venture gains government approval

Beijing / Hong Kong, January 7, 2011 — J.P. Morgan announced today that it has received approval from China Securities Regulatory Commission to establish its securities joint venture with First Capital Securities Co. Ltd.

The joint venture, J.P. Morgan First Capital Securities Co. Ltd., will be based in Beijing and will engage in the Chinese domestic securities underwriting business.

Mr Gaby Abdelnour, Chairman and CEO of J.P. Morgan Asia Pacific said the joint venture was an important milestone in the firm’s China expansion strategy and its 90 year history in the country. “Through this joint venture J.P. Morgan has dramatically expanded its access and growth potential in the world’s fastest growing capital markets, as part of its long term development strategy in China. We share First Capital Securities enthusiasm and confidence in the outlook of our partnership,” Mr Abdelnour said.

Commenting on the joint venture, Mr. Zili Shao, Chairman and CEO of J.P. Morgan China said this will create immediate growth opportunities for the existing businesses in China. “This joint venture also provides J.P. Morgan the potential to develop new businesses with our partner First Capital Securities Co. Ltd.,” Mr. Shao said.

Mr. Liu Xuemin, Chairman of First Capital said he was extremely pleased to have J.P. Morgan, one of world’s leading financial institutions, as the partner for this joint venture. “Our cooperation with J.P. Morgan will boost the growth of both our companies in China and will add value to our brands,” Mr. Liu said.

First Capital Securities Co. Ltd. will have a 67 per cent stake in the new entity with the remaining 33 per cent owned by J.P. Morgan.

The CSRC’s approval follows the preliminary agreement signed between the two parties in June, 2010.