Subsidiary disposal of financial products

Subject: Subsidiary, Hon Xun Electrical Industry (Hangzhou) CO.,LTD., announces disposal of financial products

Date of occurrence of the event: 2014/08/25~2014/08/26

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):

Shanghai Pudong Development Bank "Li Duo Duo" company RMB Financial Products (Guarantee income- Wealth bus No.3)

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

RMB 84,000,000

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 wulin 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): RMB 1,063,315

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):RMB16,000,000