At the 22nd Meeting of the 5th Board of Directors and the 9th Meeting of the 5th Board of Supervisors, both held on 6 Oct 2008, a five-year stock option incentive plan (draft) was examined and approved.

According to the plan, the company will grant 2.5 mln stock options to incentive recipients who may subscribe one share of the company at the price of RMB 13.45 for each stock option held. Consequently, 2.5 mln shares will be issued, accounting for 0.9921% of the 252 mln total shares outstanding as of the announcement date of the incentive plan.

The stock options cannot be exercised within the first two years of its issuance, for which its maturity will be three years.

A pertinent proposal must be submitted to a general meeting of shareholders for examination and consideration for approval.

Board of Directors and Board of Supervisors
7 Oct 2008


Source: Shanghai Stock Exchange

Date: 7 Oct 2008

CN01/CJ/JL/BT/KM