Unusual Price Movement

The company's stock price hit its minimum intraday limit for three consecutive trading sessions on 27, 28 and 29 Oct 2008, thus constituting an unusual price movement.

On 29 Oct 2008, the company received a letter from Sichuan Xiangfeng Co., Ltd., the company's largest controlling shareholder, confirming that Sichuan Xiangfeng and its controlling shareholder have no significant undisclosed issues currently outstanding, including but not limit to equity transfer, private placements, debt restructuring, business reorganization, assets stripping or capital injections, nor are any such issues planned for the next two weeks.

The company's board of directors confirms that there are no significant undisclosed negotiations, plans, intents or agreements outstanding, pursuant to relevant regulations, nor is there any remaining undisclosed information that would materially impact the price of the company's stock or the prices of its derivatives.

The Shanghai Securities News 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 the company's shares.

Board of Directors
31 Oct 2008


Source: Shanghai Stock Exchange

Date: 31 Oct 2008

CN01/TW2/SW/NK/KM