Shanshan clothes

Ningbo Shanshan Niu Clothing Co., Ltd. is indeed a holding subsidiary of Ningbo Shanshan Enterprise Co., Ltd.

Announcement on the resolution of the 5th meeting of the 6th Board of Directors of Ningbo Shanshan Co., Ltd.:

The fifth meeting of the sixth board of directors of Ningbo Shanshan Co., Ltd. was held on August, 2008 15 by means of communication voting. The meeting should vote on 9 directors and actually vote on 9 directors. The convening of the meeting complies with the provisions of the Company Law and the Articles of Association, and is legal and valid. The meeting adopted the following resolutions by voting:

1. The Proposal on Providing Guarantee for Ningbo Shanshan Garment Co., Ltd., a holding subsidiary, to apply for a one-year short-term loan of 25 million yuan from Ningbo Zhongxing Sub-branch of Shanghai Pudong Development Bank was reviewed and approved;

(9 votes in favor, 0 votes against and 0 abstentions)

2. The proposal of providing guarantee for Ningbo Shanshan Garment Co., Ltd., a holding subsidiary, to apply for a one-year short-term loan of 20 million yuan from Bank of China Yinzhou Sub-branch was reviewed and approved;

(9 votes in favor, 0 votes against and 0 abstentions)

3. The proposal of providing guarantee for Ningbo Xinmingda Knitting Co., Ltd., a holding subsidiary, to apply for a 1 year short-term loan of 30 million yuan to Beilun Sub-branch of Ningbo Agricultural Development Bank was reviewed and approved;

(9 votes in favor, 0 votes against and 0 abstentions)

Four. The proposal on providing guarantee for the subsidiary Hunan Shanshan New Materials Co., Ltd. to apply for a one-year comprehensive credit of 20 million yuan from Changsha Hexi Sub-branch of Shanghai Pudong Development Bank (to be established) was reviewed and approved.

(9 votes in favor, 0 votes against and 0 abstentions)

It is hereby announced.

Board of Directors of Ningbo Shanshan Co., Ltd.