Profile

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Profile
Address 13/F, Zhongda Square 989, Dongfang Rd.
Shanghai, 200122 Tel [phone] Fax
[phone] Web http//www.qfiibroker.com

• Donghai Securities Ltd is a top-tier full
  service securities house, with 34 branches all
  over China and 3000 employees. Donghai prides
  itself on being a leader in the field of
  worldwide investments, specializing in the China
  capital markets.
• Through our substantial expansion, we can offer
  institutional clients a wide range of services
  along with a comprehensive set of traditional and
  innovative financial products. Currently, Donghai
  is expanding its reach to Hong Kong, Vietnam,
  Singapore, Russia, Canada and the US. Donghai has
  recently established a QFII trading team under
  its international business department, allowing
  clients to invest in Shanghai and Shenzhen A
  shares.

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Background

• Established in 1992 in Changzhou, Jiangsu
  Province.
• The Securities Association Committee (SAC)
  awarded Donghai the exclusive status of
  Innovative Securities Company.
• Currently in China only 19 of the 130 securities
  companies have obtained Innovative Securities
  Company status.
• Appraised as a Class A securities company by
  China Securities Regulatory Commission (CSRC).
• AA Credit rating by Shanghai Fareast Credit and
  Capital the highest rating in the industry

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Services
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Key services

• Investment Banking
• Approved by China Securities Regulatory
  Commission (CSRC) as the key underwriter and one
  of the first qualified sponsors in early 2004,
  Donghai is active in the full scope of investment
  banking field to provide tailored and creative
  service to the clients.

• Brokerage (Domestic QFII)
• Domestically,Donghai provides financial services
  to over 500,000 clients through a network of 34
  branches throughout China. It has been
  successfully expanding its market share to over
  1?3 in 2006?In 2007 Donghai established its QFII
  trading desk, providing quality execution and
  advisory to global institutional investors.

• Asset Management
• Donghai launched its first collective investment
  plan with a total amount of RMB 2 billion after
  the approval of the asset management license in
  July 2005.
• Donghai is in the process of applying for QDII
  status.

• Research
• Donghai Research is an industry leader with Phd
  graduates comprising half the research division.
  Donghai research produces in depth analysis in
  both Chinese and English along with other major
  languages at clients request.

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Donghais Advantage

• Combining both Western and Eastern experience
• Leading positions in China and Hong Kong markets
• Leading issuer of derivatives products in China
• One of top three brokerages in futures markets
• Expertise on China joint venture policy regulation

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Management Team

• Dr. Zhu Kemin The Board of Chairman, President
• Ph.D degree in Finance from China Financial
  Research Center
• Comprehensive background in finance and
  securities, highlighted by a position in the
  CSRC.
• Dai Guojun Vice-president
• MBA degree from Tianjin University
• Formerly served as general manager of Donghai
  Securities. Mr. Guojun has also held a position
  in the Jiangsu province government.

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Management Team continued

• Zhang Wei Vice-president, Investment Banking
• MBA from University of Texas at Arlington,
  Bachelors degree from Tokyo Institute of
  Technology
• Senior System Analyst
• Yao Wenpin Vice-president, Derivatives, Fixed
  Income
• Master degree in Economics
• Leading strategist for international MA

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International Dept.
The International Department is mainly focused
on cooperating with overseas based companies,
providing assistance bridging the gap between
foreign countries and China by using the
following means

• Trade shares on China, Taiwan, Hong Kong markets
• Investment Banking
• On-line trading
• Trusts
• Mutual Funds
• Partnership
• Research
• Regulatory/Legal consultation

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International Dept. continued

• Antoine Guo (Taiwan)
• General Manager
• of International Department

Mr. Guo has over 15 years of experience in
institutional sales, predominantly MA along
with other international projects. He was
involved in building Asian operations for brokers
KGI and Core Pacific (Now Yuanta)
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International Dept. continued
Connie Chen (Taiwan) Head of Sales Trading
Weile Chen (Taiwan) Trader
veteran trader who has covered the US markets
along with most Asian markets. 8 years
experiences with top tier investment banks
covering tier-one institutional clients
4 years experiences with large investment banks
and dealing department. Such as Morgan Stanley,
Citi Group and Lehman Brother of Asia.
Yan Wang (China) Manager
Patrick Maloney (Canada) Associate
Like most humble Canadians, Patrick prefers not
to talk about himself, however, we are proud to
say that his combination of work experience in
Torontos equity markets and a solid
comprehension of Chinese language and culture
make him a valuable member of our team.
With over 5 years overseas education and two
years working experiences in D.H..
Yana Sin (Russia) Manager
Alberto Medina Almazan (Mexico) Associate
B.A. Economics degree from ITESM, Latin America,
Experienced in Market Intelligence, Market
Research, building econometric models and price
forecast for commodties, technical analysis for
commodities and equities market. Knowledge about
the Chinese economy and its industrial markets.
More than 7 years working experiences in oil and
gas. Primary focusing on regulatory and liaisons
areas.
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Financial Structure

• Table 1 Key Data of Donghai Required by CSRC

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Financial Structure (cont)

• Table 2 Key Data of Donghai Required by CSRC

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Table 2 The Performance of Brokerage Services
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Table 4 Innovations
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Chart 1 Collective Asset Management Dongfeng
No. 1
Total Return Fixed Income Rate Stock Market
Return Shanghai Exchange Index Return
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Reasons for Optimism

• The launch of Qfiibroker.com
• Opening of foreign branches
• Participation in global markets
• Chinese markets gradual opening
• Attracting new talent

Donghais current and soon to be open branches.
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7 reasons why China
Pudong area, which has the fastest grow, was an
agricultural area ten years ago,with just a few
sheds as only buildings
Pudong business area, 2007

• Fast development of infrastructure
• Steady growth of the domestic market for the last
  3 years

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7 reasons why China
Bank Of China Tower in Pudong area, Shanghai
3. Ability to track trends and take advantages of
the international market 4. Opportunity to meet
international investors 5. Bridge to major Asian
markets 6. New policies to facilitate overseas
expansion by foreign companies
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7 reasons why China

• 7. The fastest developing market in the world

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7 Reasons why D.H.

• D.H. is committed to developing Russian ties
• One of top three brokerages in futures markets
• Expertise on China joint venture policy
  regulation
• Strong Ties with Chinese government
• Comprehensive knowledge of the domestic market
• Fast development overseas
• One of the 1st companies out of few to provide
  access to Chinese market for Russian investors