The company was notified by its controlling shareholder Zhejiang International Trade Group Co., Ltd. (ZITG) that on 29 Oct and 30 Oct 2008, ZITG respectively acquired 146,180 shares and 437,448 shares in the company, totaling 583,628 shares in the company, equal to a 0.115% stake, at an average price of RMB 2.83 per share via the trading system of the Shanghai Stock Exchange (SSE).

Following the transaction, ZITG increased its shareholdings from 224,623,054 shares, equal to a 44.44% stake, to 225,206,682 shares, equal to a 44.555% stake.

As of the date of this announcement, depending on the market quotation, ZITG plans to buy up to 2% of the company's total shares outstanding via the trading system of the SSE, including the aforementioned acquisition, within the next 12 months, and has pledged not to sell shares in the company during this period.

Board of Directors
31 Oct 2008


Source: Shanghai Stock Exchange

Date: 31 Oct 2008

CN01/TW2/SW/JE/KM