Conformed Copy - L4677 - Hubei Xiaogan - Xiangfan Highway Project - Supplemental Letter 1

CONFORMED COPY Letter No. 2 PEOPLE’S REPUBLIC OF CHINA HUBEI PROVINCE December 17, 2002 International Bank for Reconstruction and Development 1818 H Street, N.W. Washington, D.C. 20433 Re: Loan No. 4677 CHA (Hubei Xiaogan-Xiangfan Highway Project) Performance Indicators Dear Sir/Madam: We refer to paragraph F(1) of Schedule 2 to the Project Agreement (Hubei Xiaogan- Xiangfan Highway Project) of even date herewith between International Bank for Reconstruction and Development (the Bank) and Hubei Province concerning Performance Indicators. We hereby agree that the Performance Indicators to monitor and evaluate the carrying out of the Project and the achievement of the objectives thereof are those set forth in the Annex to this letter. Please confirm the agreement on behalf of the Bank to the application of these Performance Indicators by signing the form of confirmation below. Sincerely yours, HUBEI PROVINCE By /s/ Zou Jiayi Authorized Representative AGREED: INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT By /s/ Yukon Huang Authorized Representative