93 Mln Shares Pledged by Largest Shareholder

On 1 Aug 2008, the company learned from Phenix Optical Holding Co., Ltd., the largest shareholder of the company, holding 93,712,694 shares of the company, equal to a 39.46% stake, that as of 1 Aug 2008, the company's 9,920,000 restricted shares, held by Phenix Optical Holding, had been pledged to the Bank of China, Shangrao Phenix sub-branch, with a term from 31 Jul 2008 to 30 Jul 2009.

Relevant procedures related to the pledge were completed with the China Securities Depository and Clearing Corporation Limited, Shanghai branch. As of the date of this announcement, a total of 40,020,000 restricted shares of the company, equal to 16.85% of total shares outstanding, were pledged by Phenix Optical Holding.

Board of Directors
1 Aug 2008


Source: Shanghai Stock Exchange

Date: 4 Aug 2008

CN01/SS/LZ/BT/KM