6. KINGHERO AG FINANCIAL STATEMENTS FOR THE SHORT FINANCIAL YEAR FROM 16 APRIL TO 31 DECEMBER Balance Sheet as at 31 December 2009

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2 6. KINGHERO AG FINANCIAL STATEMENTS FOR THE SHORT FINANCIAL YEAR FROM 16 APRIL TO 31 DECEMBER Balance Sheet as at 31 December 2009

3 6.2 Income Statement for the short financial year from 16 April to 31 December EUR 1. Other operating expenses -63,805,34 2. Operating results -63,805,34 3. Loss for the period -63,805,34 4. Reserves brought forward Loss carried forward -63,805,34

4 6.3 Notes to the financial statement for the short financial year from 16 April to 31 December GENERAL The company was incorporated on 16 April The short financial year began on 16 April 2009 and ends on 31 December As this is the first financial year of the company, the income statement has no comparatives. The opening balance sheet of 16 April 2009 is used as the comparison for the year end balance sheet. The company is classified as a small entity in accordance with section 267 paragraph 1 of the German Commercial Code (HGB) as at December 31, The company has partially taken advantage of exemptions accorded by sections 274a, 288 HGB. The format and disclosure of balance sheet items are in accordance with the regulations for capital entities (section 266 HGB). The income statement is prepared in accordance with the total cost method pursuant section 275 paragraph 2 HGB. 2. ACCOUNTING AND VALUATION METHODS In valuing the assets and liabilities of the company, it has been assumed that the company is a going concern. Assets and liabilities are valued individually. Other assets are disclosed at nominal value. Bank balances are disclosed at nominal value. The share capital equates to the share capital of the company as stated in its Articles and as registered in the trade registry and is fully paid up. Other accruals are stated at the amount necessary according to reasonable commercial assessment in order to cover all imminent losses and uncertain liabilities. Liabilities are stated at repayment value.

5 3. NOTES TO THE BALANCE SHEET The share capital amounts to EUR ,00 and is divided into non-par value bearer shares. To strengthen equity and finance initial costs the shareholder contributed EUR ,00 into the capital reserve. 4. OTHER NOTES Directors and members of the supervisory board are as follows: Directors: from 16 April until 13 August 2009: Mrs. Steffi Brettschneider, attorney, Bad Honnef from 13 August 2009: Mr. Yu Zhang, business man, Xiamen City, Peoples Republic of China (Chairman) Mr. Oliver Kuan, business man, Shanghai, Peoples Republic of China (Vice Chairman) Mrs. Xiuming He, business woman, Xiamen City, Peoples Republic of China Supervisory Board: from 16 April until 13 August 2009: Mrs. Marion Geldmeier, attorney, Bonn; (Chairman) Mr. Rolf Völker, attorney, Bonn; (Vice Chairman) Mr. Andreas Koglin, attorney, Bonn;

6 from 14 August 2009: Mr. Marcus Wenzel, business man, Bonn; (Chairman) Dr. Christoph Dylla, attorney, Gudow; (Vice Chairman) Mr. Tao Ling, attorney, Xiamen City, Peoples Republic of China, (until 10 February 2010) Mr. Chen Xiaofeng, attorney, Xiamen City, Peoples Republic of China, (from 10 February 2010) Concluding statement from report on transactions with controlling entity and related parties The directors of KINGHERO AG have provided the supervisory board with a report on transactions with controlling entity and related parties in accordance with section 312 paragraph 1 of the German Stock Corporation Act, which concludes with the following statement: Our company received adequate consideration for each transaction reported on. No measures were taken or were not taken by or in the interest of the controlling entity to the disadvantage of the company. Loss carried forward The directors propose to carry forward the loss of the short financial period. Munich, 19 February 2010 KINGHERO AG, Munich - Directors - Yu Zhang Oliver Kuan Xiuming He

7 6.4 Audit Opinion To KINGHERO AG, Munich We have audited the annual financial statements, comprising the balance sheet, the income statement and the notes to the financial statements, together with the bookkeeping system of the KINGHERO AG, Munich, for the short financial year from April 16 to December 31, The maintenance of the books and records and the preparation of the annual financial statements in accordance with German commercial law and supplementary provisions of the articles of incorporation are the responsibility of the Company's management. Our responsibility is to express an opinion on the annual financial statements, together with the bookkeeping system, based on our audit. We conducted our audit of the annual financial statements in accordance with 317 HGB (Handelsgesetzbuch - German Commercial Code) and German generally accepted standards for the audit of financial statements promulgated by the Institut der Wirtschaftsprüfer [Institute of Public Auditors in Germany] (IDW). Those standards require that we plan and perform the audit such that misstatements materially affecting the presentation of the net assets, financial position and results of operations in the annual financial statements in accordance with [German] principles of proper accounting are detected with reasonable assurance. Knowledge of the business activities and the economic and legal environment of the Company and expectations as to possible misstatements are taken into account in the determination of audit procedures. The effectiveness of the accounting-related internal control system and the evidence supporting the disclosures in the books and records, the annual financial statements are examined primarily on a test basis within the framework of the audit. The audit includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the annual financial statements. We believe that our audit provides a reasonable basis for our opinion. Our audit has not led to any reservations. In our opinion, based on the findings of our audit, the annual financial statements comply with the legal requirements and supplementary provisions of the articles of incorporation and give a true and fair view of the net assets, financial position and results of operations of the Company in accordance with [German] principles of proper accounting. Hamburg, February 24, 2010 Grant Thornton GmbH Wirtschaftsprüfungsgesellschaft (German certified audit firm) Graf von Kanitz Wirtschaftsprüfer (German certified auditor) Robinson Wirtschaftsprüfer (German certified auditor)

8 6.5 Statement of Changes in Equity for the short financial year from 16 April to 31 December 2009 Share Capital Result Equity capital reserve EUR EUR EUR EUR As at , , Payment into capital reserve 30, , Loss for the period -63, , As at , , , ,194.66

9 6.6 Statement of Cash Flows for the short financial year from 16 April to 31 December KEUR Result for the period Increase in accruals 62 Increase in other assets -80 Increase in accounts payable and other liabilities 40 Cash flow from operating activities Cash flow from investing activities 0 Payments from the shareholder 30 Cash flow from financing activities 30 Movement in net funds -12 Net funds at the beginning of the period 50 Net funds at the end of the financial year 38 Composition of net funds at the end of the period Cash and bank balances 38

10 6.7 Auditor s Report on Statement of Changes in Equity and Statement of Cash Flows To KINGHERO AG, Munich We have audited the statement of changes in equity and the statement of cash flows for the short financial year from 16 April to 31 December 2009 derived by the company from the financial statements for the short financial year from 16 April to 31 December 2009 and the underlying accounting records. The statement of changes in equity and the statement of cash flows are supplementary to the financial statements of the company for the short financial year from 16 April to 31 December 2009, which have been prepared in accordance with the German Commercial Code ( Handelsgesetzbuch ). The preparation of the statement of changes in equity and the statement of cash flows for the short financial year from 16 April to 31 December 2009 in accordance with the German Commercial Code is the responsibility of the Company's management. Our responsibility is to issue an opinion on the basis of the audit performed by us as to whether the statement of changes in equity and the statement of cash flows for the short financial year from 16 April to 31 December 2009 have been properly derived from the financial statements for the short financial year from 16 April to 31 December 2009 and the underlying accounting records, in accordance with the German Commercial Code. The audit of the underlying financial statements and accounting records does not form part of our engagement. We planned and performed our audit under consideration of the IDW Audit Guideline: The audit of additional components of financial statements (IDW PH ) such that material errors in the derivation of the statement of changes in equity and the statement of cash flows from the financial statements and the underlying accounting records are detected with adequate certainty. In our opinion, on the basis of the knowledge gained in the performance of our audit, the statement of changes in equity and the statement of cash flows for the short financial year from 16 April to 31 December 2009 have been properly derived from the financial statements for the short financial year from 16 April to 31 December 2009 and the underlying accounting records in accordance with the requirements of the German Commercial Code. Hamburg, 18 June 2010 Grant Thornton GmbH Wirtschaftsprüfungsgesellschaft Friedrich Graf von Kanitz Wirtschaftsprüfer Timothy Robinson Wirtschaftsprüfer