The year 2007 was a bumper year for SZITIC. Owing to the rapid growth of the Chinese economy, the vigorous Chinese capital market and the hard work of our staff, SZITIC realized a net profit after tax of RMB 2.36 billion and an average profit per capita over RMB 30 million. Moreover, our main financial targets were not only reached but also exceeded. Our core businesses developed considerably and our comparable financial indexes kept the leading position within Chinese trust industry.

2007 is also the first financial year after our company introduced China Resources Co., Ltd. as our controlling shareholder. China Resources greatly increased our company's capital, optimized the shareholding structure, improved our ability to exploit business and cemented our management structure. All these factors laid a solid foundation for our company to defend financial risks, improve managing efficiency and be able to meet the fierce competition within the financial markets and capital markets.

In 2007, under the new administration measures issued by China Banking Regulatory Committee (CBRC), Chinese trust companies strived to adjust their business model and exert their advantages. According to the new administration measures and China Resources' complete strategy, our company established a comprehensive three-year strategy. We clearly positioned ourselves and the direction of our business, continued to adjust our business structure, did our best to develop the trust business, and paved the way for China Resources' financial platform.

We are proud that our company has reached a strategic plateau. We are confident in our company's future. At the same time, we also clearly realize the external challenges and our shortages. It is our target in the next few years that we strive to be one of the best and most competitive asset management and wealth management companies with a leading position within the Chinese trust industry through continued production innovation and service enhancement.

SZITIC's development depends greatly on the support of all social circles. I would like to take this opportunity to express our thanks to Shenzhen Municipal government, China Banking Regulatory Committee and Shenzhen Branch, friends within the finance industry and partners on behalf of the company. We look forward to further co-operation and support from all social circles.

                                                                                          Chairman: Song Lin