■ Heart to Heart Donation President Sarah Yao Becomes the Highest Bidder for a Painted Fiat 500 in a Charity Auction
On June 7th, 2008, the Embassy of Italy in China and the Asia Pacific Les Amis d’Escoffier Society jointly held the 7th Annual Convention of Asia Pacific Les Amis d’Escoffier Society & the Charity Banquet in Support of Sichuan Quake Area, with the theme of “Rome Legend—Rebuild Your Homes”. As a key part of the Sino-Italy Culture Exchange Initiative—2008 Summer Italy, the Banquet showcased Italian sensational recipes and classic artworks, and specially organized a charity auction for the Sichuan disaster area. In the auction, Sarah Yao bid RMB 400,000 for the most compelling auction item—a Fiat 500 worth RMB 150,000 provided by Fiat Group Automobiles.

■ In September 2005, we signed the exclusive agency agreement with ACuPowder International，LLC.

ACuPowder is one of the largest manufacturers of non-ferrous metal powder in the United State. Their main products are Atomized copper powder, Premixed bronze powder, Prealloyed bronze powder, Infiltrant copper powder and so on. These products are widely used for Bronze bearing, Infiltrated iron products, diamond tools, Friction Materials, Shielding Materials, Conductive Materials and so on. To expand the market, ACuPowder Company signed the exclusive agency agreement with our company in 2005. We are very glad that the high-end customers in China now have the opportunity to use American high-quality non ferrous metal materials.

■ In October 2005, we signed the exclusive agency agreement with Abbott Furnace Company.

ABBOTT Furnace Company is the largest and the most technologically advanced Continuous Belt Industrial Furnace manufacturers in the World. Its products enjoy a good reputation worldwide by the stability of quality and services. We are happy to be their exclusive agent and have this opportunity to introduce their high quality furnaces to domestic customers.

■ In December 2005, our company signed exclusive agency agreement with Apex Advanced Technologies, LLC.

Apex Advanced Technologies, LLC is an emerging professional powder metallurgy lubricant manufacturer in the United States. Its product, Apex Superlube is mainly used in the production of high-density parts. Its techniques greatly reduced the cost than double sinter/double press and warm compaction; therefore, it receives the general welcome from US Powder Metallurgy industry. For strengthen communication with Chinese powder metallurgy industry, Apex Company signed the exclusive agency agreement with our Company to promote and sell Superlube products in China market.

■ In March 2006, our staff was invited to ACuPowder for technical training.

During the one-week training program, our technology and sales staff learned the copper powder production, packaging and transportation and other various links flow by the instruction of Bill Hurley, It strengthened our company staffs' confidence for ACuPowder products' quality and sales in the China market.

■ In July 2006, Mr. Daver, the president of ACuPowder was invited for his first trip to China.

Under our company's accompaniment, Mr. Daver and sales manager who were coming from ACuPowder have visited the customers and made a market survey successfully. We have achieved a good progress in visiting Shanghai and its surrounding areas, including Suzhou, Wuxi and Nanjing, one of the key areas of Powder metallurgy industry in China. Through this visiting, Mr. Daver has felt confidence to the market prospects for powder metallurgy industry in China, and expressed that they would like to work more closely with our company to intensify the pace to enter into the Chinese market.

■ In April 2007, we have participated PM2007 Powder Metallurgy Exhibition in Shanghai together with ABBOTT Company.

We accompanied Mr. Gelsick, Sales Manager of ABBOTT company, participated in 2007 PM Asia in Shanghai. During this Exhibition, we have met some domestic factories and discussed our concerns.

■ In September 2007, we accompanied the America customer to participate in '2007 China Powder Metallurgy Academe and Application Technology Conference' and '2007 Cross-Straits Powder Metallurgy Technology Research and Discussion Conference'.

We accompanied the American customer to participate in this conference, helped the customer to know the newest domestic technology situation and trend of development. We also introduced the domestic materials and powder metallurgy producers to America customer. It is strengthened the communication between America and domestic powder metallurgy industry.

■ In December 2007, the Head of International Trade Department of our company visited ABBOTT Company.

Ms. Chen, Head of International Trade Department of our company, was invited by Mr. Gelsick to visit the ABBOTT Company. She discussed with ABBOTT Company's management team about 2008 sales strategy. Through this fruitful meeting, it improved the American customer's confidence and expectations of China market prospects.

■ In December 2007, the Head of International Trade Department of our company visited ACuPowder Company.

Ms. Chen, Head of International Trade Department of my company, was invited by Mr. Daver to visit the ACuPowder Company. Ms. Chen has discussed with Mr. Daver, the president of ACuPowder Company, about 2008 sales and marketing promotions. In the Meantime, Ms. Chen also invited Mr. Daver to participate in 2008 PM Conference and to visit customers with Clear Sea as this will facilitate domestic customers to have a better understanding of ACuPowder Company and its products.

■ In December 2007, the Head of International Trade Department of our company visited ASM Company.

ASM Company is a large powder metallurgy manufacturer in America. Since the cooperation of our company for purchasing powder metallurgy parts in China in 2002, they have increased their importation from the initial $100,000 to $3,000,000 dollars in 2007. ASM was very inspired by the development of the Chinese powder metallurgy factories in just a few years. They hope that they could have further co-operations with Chinese factories in 2008.