ZXC1 Warrant Price and Ratio Adjusted

On 9 Jul 2008 the company carried out its 2007 Profit Distribution Scheme, including the distribution of stock dividends from its capital reserve. For every 10 shares held, the company paid a cash dividend of RMB 2.50 (taxes included) from available profits to shareholders and distributed a stock dividend of 4 shares from its capital reserve, based upon 959,521,650 total shares outstanding.

On 10 Jul 2008, the ex-right and ex-dividend date for the company's 2007 profit distribution, the exercise price of the ZXC1 warrants was adjusted from RMB 78.13 to RMB 55.582 and the exercise ratio was adjusted from 1:0.5 to 1:0.703. The adjustment was made in compliance with relevant formulas.

Board of Directors

Date: 10 Jul 2008


Source: Securities Times

Date: 10 Jul 2008

CN01/VW/MZ/BT/MM