RMB 150 Mln to Establish Subsidiary

At the 9th Meeting of the 5th Board of Directors, held on 16 Oct 2008, the following proposals were examined and approved:

1. the 3Q 2008 Report and its Abstract
2. to expand the company's business scope and revise the Articles of Association
3. to invest RMB 150 mln in the establishment of a wholly-owned property development company in Heyuan City
4. to convene the 2nd 2008 Extraordinary General Meeting of Shareholders on 3 Nov 2008, at which proposal 2 will be examined and considered for approval.

Board of Directors
17 Oct 2008


Source: Shanghai Stock Exchange

Date: 20 Oct 2008

CN01/SC/RL/JE/KM