Unusual Price Movement: Stock Rises 20%

The recent increase in the closing price of the company's stock over three consecutive trading sessions as of 8 Oct 2008 represents a 20% deviation, thus constituting an unusual price movement.

Following verification, the company confirms that it is operating normally and it plans to convene a meeting of the board of directors on 13 Oct 2008 to examine a proposal related to a share issuance. Other than the share issuance, there are no equity transfers, acquisitions, major debt restructuring, asset restructuring, asset striping or asset injections foreseeable within the next three months, nor is there any undisclosed information related to its major shareholders or effective controller.

In addition, the board of directors confirms that there are no significant undisclosed issues, negotiations, intentions or agreements outstanding, pursuant to relevant regulations, nor is there any remaining undisclosed information that would materially impact the company’s stock price.

The Shanghai Securities News, the China Securities Journal and the website of the Shanghai Stock Exchange (www.sse.com.cn) are the company's designated media for information disclosure. Investors are advised to exercise caution when dealing in its shares.

Board of Directors
10 Oct 2008


Source: Shanghai Stock Exchange

Date: 10 Oct 2008

CN01/DC/LZ/BT/KM