Moody's Upgrades Xinhua Finance's Ratings to B1

Moody's Upgrades Xinhua Finance's Ratings to B1

April 25, 2007

    SHANGHAI, China, April 25 /Xinhua-PRNewswire/ -- Xinhua
Finance Limited ("XFL"; TSE Mothers: 9399; OTC:
XHFNY), China's premier financial information and media
service provider, today announced that Moody's Investors
Service has upgraded its corporate family rating and senior
unsecured bond rating to B1 from B2.  The outlook for both
ratings is stable.

    (Logo: http://www.xprn.com.cn/xprn/sa/200611140926.gif
)

    Moody's said in its statement that the upgrade was
based upon the IPO of XFL's subsidiary, Xinhua Finance
Media's (XFMedia), as well as XFL's better-than-expected
financial results for the full year 2006. 

    Moody's commented that, "The proceeds raised from
the IPO of XFMedia had strengthened the group's liquidity. 
The automatic conversion of all of the outstanding
convertible preferred shares and convertible loans into
Class A common shares under XFM has also improved the
group's adjusted leverage."

    Xinhua Finance Media is China's leading diversified
financial and entertainment media company targeting high
net-worth individuals nationwide. The company reaches its
target audience via TV, radio, newspapers, magazines and
other distribution channels.  Through its five synergistic
business groups, Advertising, Broadcast, Print, Production
and Research, XFMedia offers a total solution empowering
clients at every stage of the media process.  It raised
$300 million at its IPO on NASDAQ and debuted on March 9,
2007 under the ticker XFML.  XFL owns 36.9% of the Company
following the IPO. 

    Moody's also acknowledged the ongoing positive
developments in XFL's operational performance with FY06
operating results slightly ahead of expectations. 

    In February, XFL reported, under International
Financial Reporting Standards ("IFRS"), 2006 full
year consolidated revenue of US$175.0 million and net income
of US$18.7 million, which represented gains of 59% and 82%
respectively over those of the last fiscal year and came in
ahead of forecasts of US$166.0 million and US$18.5 million,
respectively.
 
    Xinhua Finance CEO Fredy Bush said, "We're pleased
to have received this upgrade, which represents Moody's'
recognition of our strategy for long-term profitable growth
and the strides we've made across all of our service lines,
especially the milestone in our distribution business with
Xinhua Finance Media successfully listed on NASDAQ."

    "We're well positioned to deliver on our strategic
plans to maintain our market leadership in our content
service, and meanwhile profit from our unique distribution
platform targeting the increasing high-net-worth
demographics in China," she added.

    According to Moody's, the stable outlook reflects its
expectation that XFL would execute its business plan as
planned and maintain its competitiveness in the near to
medium term.

    Notes to Editors

    About Xinhua Finance Limited 

    Xinhua Finance Limited is China's premier financial
information and media service provider and is listed on the
Mothers board of the Tokyo Stock Exchange (symbol: 9399)
(OTC ADR: XHFNY).  Bridging China's financial markets and
the world, Xinhua Finance serves financial institutions,
corporations and re-distributors through four focused and
complementary service lines: Indices, Ratings, Financial
News and Investor Relations.  Founded in November 1999, the
Company is headquartered in Shanghai with 20 news bureaus
and offices in 19 locations across Asia, Australia, North
America and Europe.  

    For more information, please visit
http://www.xinhuafinance.com . 

    This is a press release to the public and should not be
relied on as information to make an investment decision by
any investor.  Investors should read the Company's
Securities Report filed to Tokyo Stock Exchange and
consider the risk factors together with other information
contained therein when making an investment decision.  This
press release contains some forward-looking statements that
involve a number of risks and uncertainties.  A number of
factors could cause actual results, performance,
achievements of the Company or industries in which it
operates to differ materially from any future results,
performance or achievements expressed or implied by these
forward-looking statements.


    For more information, please contact: 

    Xinhua Finance
     Hong Kong/Shanghai
     Ms. Joy Tsang
     Tel:   [phone],
[phone]        
     Email: [e-mail]
    
    Japan 
     Mr. Sun Jiong
     Tel:   [phone]
     Email: [e-mail]

    Taylor Rafferty (Media/IR Contact)
    Japan 
     Mr. James Hawrylak
     Tel:   [phone]
     Email: [e-mail]

    United States
     Mr. John Dudzinsky
     Tel:   [phone]
     Email: [e-mail] 

    Europe
     Faisal Kanth
     Tel:   [phone]
     Email: [e-mail]