On 23 Dec 2008, the company's shareholder Sichuan Electric Power Corporation (SEPC) respectively signed the Supplementary Agreement of Corporate Legal Person's Share Transfer with the company's shareholders:

1. Liangshan Prefecture Investment Company (Liangshan Investment, holds 7.2 mln tradable shares, accounting for 1.97% of total issued shares);
2. Ningnan County Electric Power Company (Ningnan Power, holds 5,543,460 tradable shares, accounting for 1.52% of total issued shares); and
3. Puge County Electric Power Company (Puge Power, holds 3.6 million tradable shares, accounting for 1.00% of total issued shares)

under which they unanimously agreed to terminate the transfer according to the Agreement of Corporate Legal Person's Share Transfer that was signed on 24 May 2007, and continue to implement the transfer of target shares in a appropriate way.

On 24 Dec 2008, the company received a block trading notice from the above shareholders, stating that on 23 Dec 2008, Liangshan Investment, Ningnan Power and Puge Power respectively had lessened their tradable shares through the Shanghai Stock Exchange Trading System (trading system) by block trading; on the same day, SEPC (the company's 3rd largest shareholder, holding 37,129,000 shares before the trading, accounting for 10.18% of total issued shares) purchased 16,343,460 shares (accounting for 4.49% of total issued shares) through the trading system by block trading, at the trading price of RMB 3.96 per share with the total trading amount of RMB 64,720,100.

After the block trading, SEPC holds a total of 53,472,460 shares (included 34,571,835 tradable shares), accounting for 14.67% of total issued shares and became the company's 2nd largest shareholder.

Source: Shanghai Stock Exchange

Date: 25 Dec 2008

CN01/JW/VW/JW