Semiconductor Manufacturing International Corporation

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(In $US thousands)

For the three months ended

December 31, 2013

September 30, 2013

(Unaudited)

(Unaudited)

Cash flow from operating activities

Profit for the period

15,685

42,940

Depreciation and amortization

138,721

136,725

Share of profits of associates

(504)

(551)

Changes in working capital and others

51,535

90,467

Net cash from operating activities

205,437

269,581

Cash flow from investing activities:

Payments for property, plant and equipment

(83,459)

(255,561)

Payments for intangible assets

(6,517)

(9,414)

Payments for land use right

(14,641)

-

Proceeds from disposal of property, plant and equipment and intangible

  assets

46,822

15,140

Changes in restricted cash relating to investing activities

30,961

7,305

Payments to acquire financial assets

(248,498)

(5,225)

Proceeds on sale of financial assets

13,546

5,518

Proceeds from disposal of subsidiaries

-

29,104

Changes in cash relating to deconsolidation of subsidiaries due to loss of

  control

(6,799)

-

Others

(562)

-

Net cash used in investing activities

(269,147)

(213,133)

Cash flow from financing activities:

Proceeds from borrowings

108,343

434,170

Repayment of borrowings

(236,959)

(388,671)

Proceeds from convertible bonds

195,800

-

Repayment of promissory notes

(15,000)

-

Proceeds from exercise of employee stock options

565

546

Proceeds from non-controlling interests

-

108,000

Net cash from financing activities

52,749

154,045

Effects of exchange rate changes on the balance of cash held in foreign

currencies

(63)

59

N et (decrease) increase in cash and bank balances

(11,024)

210,552

C ash and bank balances, beginning of period

473,507

262,955

C ash and bank balances, end of period

462,483

473,507