- Liaoning Wellspring Industrial Development Co., Ltd.

1. Basics

The time of establishment: Jul 16, 2002

Address: 95Renmin Rd, Zhongshan District, Dalian, P.R.China

Corporate type: state-owned / corporation limited

The industry affiliated: commercial circle

The scope of operation: ex&import of native and livestock products, leather products, soft nap products, medical and health care products, construction materials and clothes. Famous brand: “Jin Zhou Hei” marten apparel, “ peacock plume” feather and fine hair clothes, “ Xiang Yang” health care products, all of which enjoy high reputation and considerable market share domestically and internationally

Intangible assets: no

Staff: 798, all the staff is not free from state-owned status.

2.  Corporate representative: Wei Wei

3.  Capitalization: 3,000,000,100% stockholder: State-owned Assets Supervision and Administration Commission of Liaoning Province.

6 subsidiary companies:

4. Operation state:

in 2004, sales revenue: 330,000,000 profit:990,000.

First half year in 2005, sales revenue: 94,260,000 Profit: -2,260,000

5.  Financial state:

In 2004, total assets: 124,860,000, total debts: 94,350,000, ownership interests: 30,500,000 account receivables: 32,300,000, account payables: 50,310,000, accumulative depreciation: 2,200,000.

6.  Developing State: no construction in process.

7.  Stock ownership transfer:  expand the stock volume and no limitation to the proportion of state-owned stocks to be transferred

8.  Requests to buyers: well established with strong capital support and feasible direction and solution to the company’s future growth; properly solve the left problems on Huaxi Group Co., Ltd.

8.  Contact to us:

a. Enterprise: Hang Qi

Tel: +86 411 82802757

Fax:+86 411 82639753

Address: 95Renmin Rd, Zhongshan District, Dalian, P.R.China

Post code: 116001

b. State-owned Assets Supervision and Administration Commission of Liaoning Province:

Qiong Wu, Renhe Zhao

Tel: +86 024 86903276

Fax: +86 024 86903276

Address: 45-22 Beiling Str., Huanggu District, Shenyang, P.R.China

Post code: 110032

E-mail: zcjyc@163.com

10.Declaration: all the data in this specification are shown in the account books in RMB. The net assets value of transferring stock ownership must be actual number after evaluation. This actual number will be the main basis of bottom price of market trade.