Dalian Shide Investment Co. Ltd is the company’s largest shareholder with 120,800,000 restricted shares, equal to a 60.4% stake. According to a notice dated 26 Jun 2008, 13.95 mln of its shares, equal to a 6.98% stake, were released from their pledge to Agricultural Bank of China, Chengdu Economic & Technological Development Zone sub-branch, via the China Securities Depository and Clearing Corporation Limited, Shanghai branch.

On the same day, the above-mentioned shares were re-pledged to Agricultural Bank of China, Chengdu Economic & Technological Development Zone sub-branch, to guarantee a one-year RMB 39.9 mln operating capital loan taken out by Chengdu Shide Plastic Industry Co. Ltd.

Relevant procedures regarding the release and re-pledge have been completed. The term of the new pledge is from 26 Jun 2008 until the date of Dalian Shide's application for a release from the pledge.

Board of Directors
30 Jun 2008


Source: Shanghai Stock Exchange

Date: 30 Jun 2008

CN01/CJ/LZ/AR/MM