Perfect World Lowers Q3 Revenue Guidance to RMB702-741M vs RMB756-803M Prior

Perfect World Co., Ltd.

today announced that it has updated its revenue guidance for the third quarter of 2011. In order to further enhance the content of the Company's portfolio and lengthen the life cycle of its existing games, the Company decided to slow down in-game promotional activities for some of its existing games in the third quarter. The Company now adjusts its revenue guidance for the quarter to be between RMB702 million and RMB741 million, as compared to the previously announced revenue guidance of RMB756 million and RMB803 million. This represents a moderate decline in revenue on a sequential basis, but still an increase of 21% to 28% on a year-over-year basis for the Company's core online game business. The Company believes that such fluctuation is only temporary and is a part of the normal product cycle. So far during the third quarter, the Company has released a series of expansion packs for its existing games and plans to roll out a few more, including a major expansion pack for its flagship game Zhu Xian by the end of the quarter. With continued additions and enhancement to its portfolio, the Company expects its performance to accelerate again in the following quarters. This repeated cycle of enhancing game content followed by in-game promotions helps lengthen the life cycle of the Company's games and proves to be beneficial to its growth in the long term. The Company has great confidence in its future sustainable growth.