The company has announced on 10 July 2008 that it has been granted RMB 116.32 mln in special funds for the reconstruction after the snowstorms, which occurred at the beginning of the year. The funds will be accounted for as capital surplus.

The announcement also claims that the Guangdong Province Higher Court convicted the first instance in favour of the company. However, the judgement is not final as the appeal period has not expired yet.

In 2007, Dingsheng International Travel Agency Co. Ltd and CS Holiday Travel Co. Ltd, its two tickets sales agencies in Taiwan, filed a case against the company for violating cooperation agreements between the company and them and claimed compensation for HKD 107 mln.

Source: Shanghai Securities News

Date: 10 Jul 2008

CN01/NW/MZ/AR/WH