At the 6th Meeting of the 7th Board of Directors, held on 26 Sept 2008, a proposal was examined and approved to provide a joint liability guarantee on a RMB 100 mln fixed loan with Hong Kong Nanyang Commercial Bank (China) Co., Ltd., Shenzhen sub-branch., for Luyuan Dongyang Photo-electricity Chemical Factory, in which the company's holds a 75% stake.

As of the date of this announcement, the company had provided RMB 1,462,500,000 in external guarantees and there were no guaranteed loans in arrears.

The board of directors has decided to convene the 5th 2008 Extraordinary General Meeting of Shareholders on 13 Oct 2008, at which the above-mentioned issue will be examined and considered for approval.

Board of Directors
6 Oct 2008


Source: Shanghai Stock Exchange

Date: 6 Oct 2008

CN01/CJ/JL/BT/KM