Provisions for Asset Impairments

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility
for the contents of this announcement, make no representation as to its accuracy or completeness and expressly
disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any
part of the contents of this announcement. 
 
                               DATANG INTERNATIONAL POWER GENERATION CO., LTD.

         (a sino-foreign joint stock limited company incorporated in the People's Republic of China)
                                          (Stock Code: 00991)


                                    PROVISIONS FOR ASSET IMPAIRMENTS

This announcement is made by Datang International Power Generation Co., Ltd. (the "Company") pursuant to Part
XIVA of the Securities and Futures Ordinance (Chapter 571, Laws of Hong Kong) and Rules 13.09(2)(a) and 13.10B
of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited.

The following announcement is made by the board of directors (the "Board") of the Company in respect of provisions for impairments.

I.   PROVISIONS FOR ASSET IMPAIRMENT

     (1)   Provisions for impairment in relation to assets of the coal-to-chemical segment

           The subsidiaries of the Company, namely Datang Inner Mongolia Duolun Coal Chemical Company Limited
           ("Duolun Coal Chemical Company"), Inner Mongolia Datang International Xilinhaote Mining Company Ltd.
           ("Xilinhaote Mining Company") and Datang Hulunbeier Fertiliser Company Limited ("Hulunbeier
           Fertiliser Company"), incurred operating losses for 2014. These subsidiaries incurred continuing 
           increasing losses as compared to the corresponding period last year and indication of impairment was
           shown in relation to their long-term assets. Pursuant to the Accounting Standards for Business
           Enterprises, the Company made impairment assessments on these three subsidiaries as at 31 December
           2014, and the results showed that provisions for impairments of RMB1,498.88 million, RMB495.96
           million and RMB251.53 million are intended to be made in relation to the long-term asset groups 
           related to production of Duolun Coal Chemical Company, Xilinhaote Mining Company and Hulunbeier 
           Fertiliser Company respectively, which totaled RMB2,246.37 million.

     (2)   Provisions for impairment in relation to the fixed assets of Longtai Company 

           Given that the actual power generation of the small hydropower project of Chongqing Longtai Power 
           Company Limited ("Longtai Company"), a subsidiary controlled by the Company, is substantially lower
           than its designed power generation capacity and due to insufficiency of capital, Longtai Company
           continues to incur losses, and the Company anticipates that Longtai Company would continue to incur
           losses for a period of time in the future, and indication of impairment of its fixed assets are
           shown. As at 31 December 2014, impairment assessment was conducted for the fixed assets of Longtai
           Company, and the assessment result showed that a provision for impairment of RMB38.43 million on
           the assets is intended to be made.

     (3)   Provisions for impairment in relation to available-for-sale financial assets of H shares of Yitai
           as held by Hong Kong Company

           Datang International (Hong Kong) Limited ("Hong Kong Company") acquired 18,031,100 H shares of
           Inner Mongolia Yitai Coal Co., Ltd. ("Yitai") in July 2012 for an amount of RMB635.02 million,
           which is accounted as available-for-sale financial assets. In 2013, Yitai implemented a plan for
           all shareholders by issuing 10 stock dividends for every 10 shares. Hence, the number of H shares
           of Yitai held by Hong Kong Company changed to 36,062,200 shares.

           As the price of Yitai's H shares suffered a continuing significant decline, and the international
           and domestic coal prices consistently decreased in recent years, as of the end of 2014, the fair
           value of Yitai reaches "significant decline" and "non-temporary decline" level as it reached an
           over 20% cumulative decline and continuing decline for over 12 months, respectively. Based on the
           foregoing relevant factors, the Company considered that the fair value of investment of Yitai
           experienced significant and non-temporary decline, accordingly, the Company made an impairment 
           provision to the H shares of Yitai held by Hong Kong Company. Upon calculation, it was intended to
           make an impairment provision of RMB184.91 million for 2014.

      Based on the foregoing, it was intended to make an impairment provision for assets of RMB2,469.71 million
      in total for 2014.

II.   PROVISION FOR BAD DEBTS

      Pursuant to the Accounting Standards for Business Enterprises and accounting standards for the Company, 
      the Company wrote off and reconciled the account receivables of certain subsidiaries. Given the relevant
      debtors' deterioration of financial status, serious insufficiency of cash flow as well as insolvency,
      the receivables are exposed to losses. In consideration of the operation status of the debtors and the
      possibility of realising the receivables, the Company intends to, based on principles of prudency, make
      provision for bad debts of an aggregate of RMB669.16 million for receivables with recovery risk totaling
      RMB2,308.03 million from four controlled subsidiaries, including Beijing Datang Fuel Co., Ltd. ("Beijing
      Datang Fuel Company"), Hong Kong Company, Shenzhen Datang Baochang Gas Power Generation Company Limited
      and Datang Tongzhou Technology Company Limited.

III.  PROVISION FOR INVENTORY IMPAIRMENT

      Duolun Coal Chemical Company requires a relatively long construction and production period, including 
      various stages such as infrastructure construction, debugging and trial production. Affected by local 
      environment, some inventories have shown indication of aging, rusting and damage. As at the end of 2014, 
      upon inventory stock-take, it was found that certain inventories have shown clear indication of
      impairment, and inventories with an originally recognized value of RMB26.83 million met the criteria for 
      impairment. The impairment for such portion of inventories is assessed to be RMB15.15 million, and a 
      provision for inventory impairment of RMB15.15 million is intended to be made.

IV.   PROVISION FOR LONG-TERM INVESTMENT IMPAIRMENT

      (1)   Provision for long-term investment impairment for Beijing Datang Fuel Company

            Beijing Datang Fuel Company invested in Inner Mongolia Kwan Tak Logistics Co., Ltd. ("Kwan Tak
            Logistics") in 2010 with RMB54.00 million, representing 15% of its shares. The operation of Kwan
            Tak Logistics has worsened in recent years with gradually declining effectiveness over years,
            which shows indication of impairment for long-term investment. Pursuant to the requirements under
            the Accounting Standards for Business Enterprises, a provision for impairment losses on long-term 
            equity investment of RMB24.08 million shall be intended to be made.

      (2)   Provision for long-term investment impairment for Energy Chemical Company and its parent company 
            (i.e. the Company)

            As at 31 December 2014, Datang Energy and Chemical Company Limited ("Energy Chemical Company"), a 
            wholly-owned subsidiary of the Company, conducted impairment assessment on its long-term investment 
            in the chemical enterprise based on the production and operation of its coal chemical project. It
            was shown that the book value of certain long-term equity investment in the enterprise was less
            than the portion of book value attributable to the ownership of the investee, and the recoverable
            amount is already lower than the book value of long-term equity investment. Pursuant to the
            relevant requirements under the accounting standards, provision for long-term investment impairment
            should be made.

            The book value of the long-term equity investment in Duolun Coal Chemical Company by Energy 
            Chemical Company amounted to RMB2,430.00 million, and upon assessment, the recoverable amount was 
            RMB2,173.74 million and the intended provision for impairment was RMB256.26 million. The long-term 
            equity investment in Hulunbeier Fertiliser Company was RMB548.20 million, and upon assessment, the 
            recoverable amount was RMB303.95 million and the intended provision for impairment was RMB244.25 
            million.

            The parent company (i.e. the Company) conducted impairment assessment on its long-term investment 
            in Xilinhaote Mining Company and Energy Chemical Company based on their production and operation 
            equity. For the book value of the long-term equity investment in Energy Chemical Company of 
            RMB9,733.25 million, upon assessment, the recoverable amount was RMB8,235.87 million and the 
            intended provision for impairment was RMB1,497.38 million. For the long-term equity investment in 
            Xilinhaote Mining Company of RMB1,159.63 million, upon assessment, the recoverable amount was 
            RMB899.55 million and the intended provision for impairment was RMB260.08 million.

      (3)   Provision for long-term investment impairment for Dingtai Company 

            Chongqing Dingtai Power (Group) Company Limited ("Dingtai Company") is the parent company of 
            Longtai Company, and the book value of its long-term equity investment in Longtai Company was 
            RMB112.00 million. Since the net asset of Longtai Company is negative, and it would not generate 
            any profit for a period of time in the future, Longtai Company could not distribute any dividend to 
            Dingtai Company. Pursuant to the relevant requirements under the Accounting Standards for Business
            Enterprises, provision for impairment of RMB112.00 million was made to this long-term equity 
            investment with indication of impairment.
   
      Based on the foregoing, it was intended to make an impairment provision for long-term investment totaling 
      RMB2,394.05 million.

V.   IMPACT OF PROVISION FOR IMPAIRMENT ON FINANCIAL POSITION OF THE COMPANY

     Based on the foregoing, for 2014, the Company intended to make impairment provisions for assets of 
     RMB2469.71 million, bad debts of RMB669.16 million, inventory losses of RMB15.15 million and long-term 
     investment of RMB2,394.05 million, respectively. The foregoing provisions for impairments resulted in a 
     decrease in the Company's profit for 2014 by RMB3,139.67 million, a decrease in the Company's net profit 
     attributable to the parent company in the consolidated financial statements for 2014 by RMB1,929.19 
     million and a decrease in the Company's net profit by RMB1,757.46 million. 

VI.  PROCEDURES FOR CONSIDERATION AND APPROVAL OF PROVISIONS FOR IMPAIRMENT

     The Company convened the seventeenth meeting of the eighth session of the Board on 20 January 2015, which 
     considered and approved the "Resolution on Provisions for Impairments".

     The directors (including independent directors) are of the view that the provisions for impairment follow 
     and comply with the Accounting Standards for Business Enterprise and the relevant rules of the accounting 
     policy of the Company, which fairly reflects the asset value of the Company, ensures standard operation of 
     the Company, and does not prejudice the legal interests of the Company and its minority shareholders. The 
     foregoing issues are to be submitted to the general meeting of the Company for consideration and approval 
     according to the relevant rules. 

     Pursuant to the listing rules of the Shanghai Stock Exchange, the provisions for impairments are subject 
     to the consideration and approval of the general meeting of the Company.

VII. REMINDER

     The provision for impairments is unaudited and not yet approved by the accounting firm, the final figures 
     are subject to the audited annual reporting figures provided by accounting firm.
 

                                                                                  By Order of the Board
                                                                                        Zhou Gang
                                                                                  Secretary to the Board


Beijing, the PRC, 21 January 2015

As at the date of this announcement, the directors of the Company are: 

Chen Jinhang, Hu Shengmu, Wu Jing, Liang Yongpan, Zhou Gang, Cao Xin,
Cai Shuwen, Liu Haixia, Guan Tiangang, Yang Wenchun, 
Dong Heyi*, Ye Yansheng*, Zhao Jie*, Jiang Guohua*, Feng Genfu*

* Independent non-executive directors