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The Second EGM in 2007 Held in Molong Today
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    The EGM of Shandong Molong [the Company] was duly held on Thursday, 20 December 2007 at the conference room on the 5th floor, at No. 99 Beihai Road, Shouguang City, Shandong Province, PRC.
    Mr.Zhang Yunsan,the vice chairman presided the EGM, all domestic share holders and parts of H share holders attended the EGM. The agreements  were approved  unanimously as follows.
    1、Approve the Acquisition under the Equity Transfer Agreement  between  Shandong  Molong (the Transferee )and all holders of  Maolong  Machinery (the Transferor) with the consideration amounting  to RMB305,000,000.
    There was 564,499,280 affirmative votes , 100 percent  for  all of the votes attaching to Shares held by the present shareholders of the Company
    Mr. Zhang Enrong, Mr. Zhang Yunsan, Mr. Liu Yunlong, Mr. Lin Fulong, Mr. Xie Xincang and Mr. Cui Huanyou, have abstained from voting at the EGM.
    2、Approve the Related Party Transactions Administration Measures, as summarized in Appendix IV of the Circular dated  on 2 Nov.2007.
    There was 2,512,794,280 affirmative votes, and 100 percent  for  all of the votes attaching to Shares held by the present shareholders of the Company
    3、Approve the Proceeds Administration Measures as summarized in Appendix V of the Circular .
    There was 2,512,794,280 affirmative votes , and  100 percent  for  all of the votes attaching to Shares held by the present shareholders of the Company
    4、Approve the summary of the use of proceeds of the Company's previous secondary placing as set out in Appendix VI of the Circular.
    There was 2,512,794,280 affirmative votes , and  100 percent  for  all of the votes attaching to Shares held by the present shareholders of the Company.
    Upon completion about the acquisition,the integration of Maolong Group into Shandong Molong would improve the Company’s production chain  and ensure a stable supply of raw materials. The acquisition is expected to enhance the Company’s research and development ability for new products and profitability.

Publisher:Information manager   Date:2007-12-20

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