No Significant Impact Likely from Lehman Issues

As of the date of this announcement, the company and its subsidiaries hold a total of USD 191.4 mln worth of bonds issued by Lehman Brothers Holdings Inc., including USD 141.4 mln worth of senior bonds and USD 50 mln worth of subordinated bonds. Bonds of Lehman Inc. held by the company account for 0.019% of the total assets of the company and 0.29% of the net assets of the company, both as of 30 Jun 2008.

The company will carefully assess possible losses and make thorough provisions for write-downs. It is estimated that issues related to Lehman Brothers will not materially impact the company's financial status.

Board of Directors
19 Sept 2008


Source: Shanghai Stock Exchange

Date: 22 Sept 2008

CN01/SC/LZ/BT/KM