Subsidiary disposal of financial products

Subject: Subsidiary, HONGFUJIN PRECISION ELECTRONICS (ZHENGZHOU)

CO., LTD.,announces disposal of financial products

Date of events: 2014/07/31

Contents:

1.Name and nature of the subject matter (if preferred shares, the terms and conditions of issuance shall also be indicated, e.g.dividend yield):

YieldPlus wealth transfers on the 1st of financial products

2.Volume, unit price, and total monetary amount of the transaction:

RMB700,000,000

3.Counterpart to the trade and its relationship to the Company (if the trading counterpart is a natural person and furthermore is not an actual related party of the Company, the name of the trading counterpart is not required to be disclosed):

Shanghai Pudong Development Bank Co.,Ltd.Zhengzhou Branch;None

4.Anticipated profit or loss from the disposal (not applicable in cases of acquisition of securities) (where originally deferred, the status or recognition shall be stated and explained): RMB2,589,041.10

5. Current cumulative volume, amount, and shareholding percentage of holdings of the security being traded(including the current trade) and status of any restriction of rights (e.g. pledges): RMB300,000,000