Press Release Hong Kong

For Immediate Release

Hong Kong | +852 2822 8143 / 129 | Rhonda Yung | rhonda.yung@sothebys.com | Winnie Tang | winnie.tang@sothebys.com New York | +1 212 606 7176 | Andrew Gully | andrew.gully@sothebys.com | Lauren Gioia | lauren.gioia@sothebys.com London | +44 (0)20 7293 6000 | Matthew Weigman | matthew.weigman@sothebys.com | Simon Warren | simon.warren@sothebys.com

SOTHEBYS EXPANDS IN CHINA

Sothebys Enters Joint Venture Agreement GeHua With Beijing GeHua Art Company Statea Beijing State-Owned Enterprise This Joint Venture Company Will Be the First International Fine Art Auction House in China Historic First Auction To Be Held on 27 September at the Beijing Be the World Art Museum, the China Millennium Monument Themed Exhibitions On Contemporary Chinese Art and enowned Key Achievements in Sothebys R enowned History Held To Be Held from 28 September to 7 October
2012 Hong Kong, 21 September 201 2 Sothebys has signed an equity joint venture agreement with Beijing GeHua Art Company, a Beijing State-Owned Enterprise that is part of GeHua Cultural and Development Group. Establishment of the joint venture, which is subject to approval from the Chinese government, would represent a major expansion of Sothebys presence in China and will enhance its services to its Mainland Chinese clients. Sothebys will be the first international fine art auction house in China and the controlling shareholder in this business, responsible for the day-today operation and management of the company that will be called Sothebys (Beijing) Auction Co., Ltd.

The joint venture will also allow Sothebys to take advantage of a planned free port project that GeHua is developing within the Tianzhu Free Trade Zone in Beijing, which will serve as a tax-advantaged storage location and provide a platform for various activities. Sothebys will focus on auctions and selling exhibitions of non-cultural relics, travelling exhibitions and other related activities.

To celebrate the establishment of this joint venture, an historic first auction will be held on Thursday, 27 September 2012 at The Millennium Hall of Beijing World Art Museum at the China Millennium Monument. A remarkable sculpture, Self and Self Shadow, by prominent Chinese artist Wang Huaiqing, will be the sole lot offered in this historic first auction to be conducted by an international auction house in China. Following this event, two themed exhibitions, to be held from 28 September to 7 October will be open for public view in the same venue: The first, jointly

organised by China Art Industry Expo and Beijing Gehua Cultural and Development Group and co-organised by Sothebys, will be a special contemporary Chinese art exhibition, Recoding 2012 Contemporary Chinese Art Exhibition, that will showcase innovative works by contemporary Chinese artists; the second will be an exhibition highlighting Sothebys international presence, world-class expertise and important events from Sothebys more than 260-year history.

Discussing this joint venture agreement with Beijing GeHua Art Company, Kevin Ching, CEO Sothebys Asia, commented: Sothebys has been committed to its Chinese clients for over 35 years. China and its growing class of collectors has been the single most attractive growth market for the company, and collectors from this region have become a significant force in our salerooms worldwide. The project the Beijing Gehua Art Company is developing is unique and ground-breaking in the Chinese marketplace. Sothebys is pleased to be at the forefront of this unprecedented initiative, and to be the first international fine art auction house entering a joint venture company with a prominent Chinese stateowned enterprise partner, Beijing GeHua Art Company. We look forward to the anticipated approval of our Joint Venture by the Chinese Authorities as it will enable us to bring our world class expertise, innovation and professional integrity to our clients in China. We are excited by the possibility of operating in China and our future plans for Beijing include presenting a major auction event in 2013 as well as staging exhibitions of some of the treasures from around the world that Sotheby's is entrusted to handle.

Commenting Commenting on this partnership, Mr. Wang Yudong, General Manager of GeHua Fine Art Company, said: Beijing GeHua Art Company is very pleased to partner with Sothebys on this ground-breaking initiative. They bring the prestige of their international brand name and years of art world experience to the benefit of the collecting community and this project.

Wang Huaiqings Self and Self Shadow The auction on the 27th September will comprise a single sculpture, Self and Self Shadow (20112012), by the internationally-acclaimed artist Wang

Huaiqing (pictured right), one of the leading figures in contemporary and modern Chinese art. Forged from aluminium alloy, Self and Self Shadow is a thought-provoking and engaging work which bears testament both to the artists comprehension of the style and language of western art and to his reverence for traditional Chinese culture. Born in Beijing in 1944, Wang Huaiqing is Director of the China Oil
Wang Huiaquing, Self an d Self Shadow and Shadow, Aluminium alloy, 2011-2012, 210 x 145 x 17 3/4 cm.

Painting Association and his works have been widely exhibited both in China and abroad in the USA, Australia and Germany. Self and Self Shadow comes to

auction with an estimated value of RMB 1 1.5 million / US$128,200 192,300. 192,300.

Editor: Notes to Editor Sothebys is a global company that engages in art auction, private sales and art-related financing activities. The Company operates in 40 countries, with principal salesrooms located in New York, London, Hong Kong and Paris. The Company also regularly conducts auctions in six other salesrooms around the world. Sotheby's is listed on the New York Stock Exchange under the symbol BID.

Beijing GeHua Art Company is an entity that is part of the GeHua Cultural and Development Group. The GeHua Group is a state-owned enterprise that has evolved to become one of Chinas largest media conglomerates. GeHua played a prominent part in major national events, including the 2008 Beijing Olympics Opening Ceremonies and Games, and the 50th and 60th Anniversary Celebrations of the founding of the Peoples Republic of China.

Sothebys in China - Sothebys was the first auction house in Hong Kong, opening an office in 1973 and holding its first auction that same year. In 1994 and 2007, Sothebys opened representative offices in Shanghai and Beijing respectively. In 1995, Sothebys began staging travelling exhibitions in China.

Event Calendar:

Event First Auction in Celebration of the Establishment of Sothebys (Beijing) Auction Co., Ltd. Recoding a themed contemporary Chinese art exhibition Themed exhibition on Sothebys

Date 27 September, 2012 (Thursday)

28 September 7 October 2012, 9am 5pm 28 September 7 October 2012, 9am 5pm

Venue: The Millennium Hall, Beijing World Art Museum, The China Millennium Monument