Unusual Price Movement

The recent increase in the closing price of the company’s stock in three consecutive trading sessions on 2, 3 and 4 Jul 2008 represents a deviation of 20%, which according to the Stock Listing Rules of the Shanghai Stock Exchange, constitutes an unusual price movement.

The board of directors confirms that the company is operating normally, the private placement of its shares is ongoing, and there are no significant undisclosed issues outstanding, pursuant to relevant regulations, nor is there any remaining undisclosed information that would materially impact the company’s stock price in the next three months.

The China Securities Journal, the Shanghai Securities News and the website of the Shanghai Stock Exchange (www.sse.com.cn ) are the company’s designated media for information disclosure. Investors are advised to exercise caution when dealing in shares of the company.

Board of Directors
4 Jul 2008


Source: Shanghai Stock Exchange
7 Jul 2008

CN01/CJ/LZ/BT/KM