The company plans to issue a stock dividend of five shares for every 10 shares held for 2007.

Record date: 27 May 2008
Ex-right date: 28 May 2008
Listing date for additionally issued shares: 29 May 2008

Following the payment, the company's 2007 EPS will be diluted to RMB 0.024 based on the additional issuance of 721,419,960 shares.

Nanzhi Fujian Co. Ltd
22 May 2008

CN01/DM/BT/KM