Successfully acquired Hinge Global Resource Inc.
January 2 2007' the Group and HGR signed a $55 million US dollar shareholder agreement for the Group's complete purchase of HGR's equity interest. HGR's core business aptitude is software development and IT outsourcing services through its branches of Shanghai Hua Teng' US Double Bridge' and Tokyo Xin Hua. HGR's businesses serve such industries as financial services' postal' pharmaceutical' high-tech' and etc. Moreover' the purchase of HGR serves as a landmark for the Groups overall growth development. In addition' it signifies on of China's IT industries largest shareholder acquisitions. After the acquisition is settled' the overall Group will become China's supreme information science and technology enterprise' supporting a professional workforce which will exceed 3500 employees. Therefore allowing the Group to become one of the largest domestic science; technology service enterprises. The Groups' service domain will overlay into more industries' provided by HGR's branch companies of Hua Teng and US Double Bridge providing mature solutions for financial services' pharmaceutical and additional public industries. Furthermore' allowing the Group to become each industry's leading service provider.
At this time HGR's branch company Xin Hua possesses a professional Group of 600 professionals' dealing with software outsourcing aspects. Xin Hua already has constructed long-term cooperative relationships with Japanese clients' providing outsourcing services to Japan. Moreover' the acquisition increases service capabilities and bring forwards the whole Groups outsourcing service level. Thereby bringing about enterprise expansion and conformity and certainly upgrading the whole Groups' strength. The extension and expansion will increase core competitiveness' improve customer satisfaction' and bring forward greater returns for shareholders.

Successfully acquired Microsoft outsourcing business of Opportune Technology Co. Ltd.
The Group entered into an acquisition agreement with Opportune Technology Co. Ltd.
(here in after referred to as “Opportune Technology”) to acquire the latter's Microsoft
outsourcing operation.
Opportune Technology is a company engaged in IT servicing. Its outsourcing services
include localization' QA testing' specified software development' mobile platform development and embedded software development. The operation that Chinasoft International
acquired originates from Microsoft and involves mainly MED (Mobile and Embedded Division) business. Opportune Technology has a team of over 70 professionals'
being part of the acquisition. As one of the Group's major strategic clients' Microsoft's outsourcing business has always been an important area for development by the Group. With the acquisition of Opportune Technology' the Group is rapidly enlarging its market share in its Microsoft business.

Successfully acquired Hunan Powerise International Co. Ltd.
The Group as of May 8 2006 entered into an agreement with Powerise Information Technology Co.' Ltd. (hereinafter referred to as “Powerise”) to acquire all the businesses of Powerise International Software Co. Ltd.
The business of Powerise International is mainly NEC' Microsoft' Ozburn-Hessey Logistics NYU and the European Union. Services provided by Powerise International include design/encoding/test/documentation and other services' data entry' IT consultancy' staff training and deployment of technical personnel. It has more than one hundred employees.
The acquisition of Powerise International operation enhances our advantageous position
in Microsoft business and rapid expansion into the Japanese market. For Microsoft related
operation' Powerise International has many employees with experience in enterprise resource planning system' as well as more than one hundred employees experienced in the Japanese market.

Successfully Acquired 50% stake in Cyber Resource
The clients of Cyber Resource include IBM' MOTOROLA' PANASONIC' EPSON and HP; all of them are strategic clients that the Group plans to further serve. To further exploit the potential of Cyber Resource' to coordinate and plan for the Group's development in outsourcing business regarding strategic clients and to generate profit for the Group' the Group decided to increase its holding of Cyber Resource's equity interest to 76% by means of acquisition and entered into an agreement on 30 June' 2006 to acquire a further 50% equity interest in Cyber Resource. The acquisition carries strategic meanings to the Group's expansion in outsourcing business in addition to generating stable and long-term revenue.

Successfully Acquired 100% of the equity interest of Chinasoft Resources Information Technology Services Limited
Chinasoft Resource Information Technology Service Limited (here in after referred to as “Chinasoft Resource”) is a company incorporated in April 2004 in Beijing and involved in the business of contracting outsourcing business. Chinasoft Resource is the first strategic partner of Microsoft in China and is one of the 15 core service providers of IBM in China' having a long-term and stable client base including Microsoft' IBM' Oracle' Huawei Technologies' HP' Lucent and CA.
The acquisition made by the Group this time is mainly aimed at long-term development of the outsourcing sector within the country as IDC's information indicated that market demand for outsourcing in 2004 amounted to US$449'400'000 and will reach US$1'985'400'000 in 2008. The Group believes that Chinasoft Resource will bring in decent profits for the Company.