Xinyuan Real Estate Announces Preliminary Sales Figures for First Quarter 2008

Company to Report First Quarter 2008 Financial Results on June 3, 2008

ZHENGZHOU, China, April 2, 2008 /Xinhua-PRNewswire/ -- Xinyuan Real Estate
Co., Ltd. ("Xinyuan") (NYSE: XIN), a fast-growing residential real estate
developer with a focus on strategically selected Tier II cities in China,
today announced selected preliminary sales figures for the first quarter of
2008. The announcement was made in advance of the company's worldwide non-deal
road show expected to take place April 3-11, 2008.
Xinyuan also announced that it plans to report its financial results for
the first quarter of 2008 before the US market opens on Tuesday, June 3, 2008.
Preliminary First Quarter 2008 Sales Figures
For the first quarter of 2008, Xinyuan expects contracted sales to be
approximately RMB1,064 million, compared to approximately RMB135 million in
the first quarter of 2007, representing 688% first quarter year-over-year
growth. Xinyuan sold 2,144 residential units with a total gross floor area
("GFA") of 183,618 square meters in the first quarter of 2008, compared to 297
residential units with a total GFA of 29,827 square meters sold in the same
period of the previous year. Since Xinyuan recognizes revenue under the
percentage of completion method, revenue from contracted sales does not
represent revenue recognized in its statement of operations nor is it
necessarily indicative of future sales results. Xinyuan's preliminary first
quarter 2008 sales figures have not been reviewed and remain subject to the
finalization of the company's first quarter closing, review and reporting
process, as well as its year-end audit procedures.
"We are very pleased to announce strong preliminary contracted sales
figures for the first quarter of 2008 with significant year-over-year growth
as compared to the first quarter of 2007," said Mr. Yong Zhang, Xinyuan's
chairman and chief executive officer. "Our scalable business model continues
to deliver successful results as we replicate it in new markets. In the first
quarter of 2008 we had contracted sales in five cities as compared to only two
cities in the same period of 2007. We believe that with our continued
expansion in selected Tier II cities, Xinyuan is ideally positioned to benefit
from rapidly growing residential housing demand in these markets."
Scheduled Announcement of First Quarter 2008 Earnings
Xinyuan plans to report its financial results for the first quarter of
2008 before the US market opens on Tuesday, June 3, 2008. Dial-in and other
details will be circulated at a later date.
About Xinyuan Real Estate Co., Ltd.
Xinyuan is a fast-growing developer of large scale, quality residential
real estate projects aimed at providing middle-income consumers with a
comfortable and convenient community life. Xinyuan focuses on China's Tier II
cities, characterized as larger, more developed urban areas with above average
GDP and population growth rates. Ranked #1 among all property developers in
Zhengzhou in terms of contracted sales of residential units for the years
2004, 2005 and 2006, Xinyuan has expanded its network to cover a total
population of over 34.5 million people in 6 strategically selected Tier II
cities, including Chengdu, Hefei, Jinan, Kunshan, Suzhou and Zhengzhou.
Xinyuan has completed 14 projects with a total GFA of over 1.0 million square
meters within the past 10 years and as of December 31, 2007, Xinyuan had 8
projects under construction with a total GFA of 1.1 million square meters and
6 additional projects under planning with total GFA of 1.4 million square
meters. With a focus on high asset turnover, efficient working capital
management and strict cost control, Xinyuan is dedicated to bringing high
quality, affordable homes to China's middle income buyers. For more
information, please visit www.xyre.com .
Non-GAAP Measures
This release contains non-GAAP financial measures, as such term is defined
by the Securities and Exchange Commission. These non-GAAP financial measures,
which are used as measures of the company's performance, should be considered
in addition to, not in isolation or as a substitute for, measures of the
company's financial performance prepared in accordance with United States
Generally Accepted Accounting Principles ("GAAP"). The company's non-GAAP
financial measures may be defined differently than similar terms used by other
companies. Accordingly, care should be exercised in understanding how the
company defines its non-GAAP financial measures.
The company's management uses non-GAAP financial measures to gain an
understanding of the company's comparative operating performance (when
comparing such results with previous periods or forecasts) and future
prospects. Since Xinyuan recognizes revenue under the percentage of
completion method, revenue from contracted sales does not represent revenue
recognized in its statement of operations. Under the percentage of completion
method, Xinyuan recognizes revenue by determining the ratio of incurred costs
to total budgeted costs for any particular project and applying that ratio to
the total contracted sales of the units sold. Non-GAAP financial measures are
used by the company's management in their financial and operating decision-
making, because management believes they reflect the company's ongoing
business in a manner that allows meaningful period-to-period comparisons. The
company computes its non-GAAP financial measures using the same consistent
methods from quarter to quarter. The company's management believes that these
non-GAAP financial measures provide useful information to investors and others
in understanding and evaluating the company's current operating performance
and future prospects in the same manner as management does, if they so choose.
Safe Harbor Statement
This announcement may contain forward-looking statements. These statements
are made under the ''safe harbor'' provisions of the U.S. Private Securities
Litigation Reform Act of 1995. These forward-looking statements can be
identified by terminology such as "will," "expects," "anticipates," "future,"
"intends," "plans," "believes," "estimates," "confident" and similar
statements. Statements that are not historical facts, including statements
concerning Xinyuan's beliefs, forecasts, estimates and expectations, are
forward-looking statements. Forward-looking statements involve inherent risks
and uncertainties that could cause actual results to differ materially from
those projected or anticipated, including risks related to: the risk that our
actual sales figures may differ materially from the anticipated sales figures
announced herein after the company conducts its quarterly closing and review
process or conducts its formal year-end audit procedures; the risk that sales
results may not necessarily be indicative of future sales results; the risk
that we may be unable to complete our property developments on time or at all;
the risk that our results of operations may fluctuate from period to period;
the risk that the PRC government may adopt further measures to curtail the
overheating property sector; the risk that we face intense competition from
other real estate developers; the risk that PRC economic, political and social
conditions as well as government policies can affect our business and other
risks outlined in our public filings with the Securities and Exchange
Commission, including our registration statement on Form F-1, as amended. All
information provided in this press release is as of April 2, 2008. Except as
required by law, Xinyuan undertakes no duty to update or revise publicly any
forward-looking statements, whether as a result of new information, future
events or otherwise, after the date on which the statements are made or to
reflect the occurrence of unanticipated events.
For more information, please contact:

In China:
Ms. Lisa Wang
Director of Investor Relations
Tel: +86-1350-100-4871
Email: lisa.wang@xyre.com

Mr. Derek Mitchell
Ogilvy Public Relations Worldwide (Beijing)
Tel: +86-10-8520-6284
Email: derek.mitchell@ogilvy.com

In the United States:
Mr. Jeremy Bridgman
Ogilvy Public Relations Worldwide (New York)
Tel: +1-212-880-5363
Email: jeremy.bridgman@ogilvypr.com

SOURCE Xinyuan Real Estate Co., Ltd.

Ms. Lisa Wang, Director of Investor Relations of Xinyuan Real Estate Co.,
Ltd., +86-1350-100-4871, or lisa.wang@xyre.com; Mr. Derek Mitchell, Beijing,
+86-10-8520-6284, or derek.mitchell@ogilvy.com, or Mr. Jeremy Bridgman, New
York, +1-212-880-5363, or jeremy.bridgman@ogilvypr.com, both of Ogilvy Public
Relations Worldwide for Xinyuan Real Estate Co., Ltd.