Report报告

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　　Director’s Report

　　December 7,2007

　　Dear Sir or Madam,

　　During the year,although there were many difficulties in selling and marketing due to the unexpected economic decline and depreciation of U.S.dollar,it was suggested that the steady increase in our profits were still maintained.The following is the account for the year under review:Net Profit $ 8,300,000

　　Amount brought forward from last year $ 45,000

　　Total Profit $ 8,345,000

　　Interim Dividend $ 100,000

　　Balance $ 8,245,000

　　The Directors retiring by rotation are Mr.Liu Chaochun and Ms.Jiang Xiaobo,both of whom take part in re-election.

　　The auditors of the Company,Michael Boll and Carlos Cohen want to serve us in the coming year and the resolutions to their remuneration will be made at the meeting.

　　The Board of Directors