Laws of the People's Republic of China

All the member entities:

The Transaction Standards of Shenzhen Stock Exchange upon approval of China Securities Regulatory Commission (CSRC) are herby promulgated, and the related matters concerning the implementation thereof are notified as follows:

I.

The Transaction Standards of Shenzhen Stock Exchange shall go into effect as of July 1, 2006, and the Transaction Standards of Shenzhen and Shanghai Stock Exchanges promulgated on August 31, 2001 shall be abolished at the same time.

II.

This Exchange will, temporarily, not accept the declaration by the conclusion of transactions at the best five prices and in real time and the cancellation of remaining orders, the declaration by the conclusion of transactions in real time and the cancellation of orders, and the declaration by the conclusion of transactions in full amount or the cancellation of orders mentioned in Article 3 .4.4 of the Transaction Standards of Shenzhen Stock Exchange at present, and this Exchange shall give further notice about the time for accepting the aforesaid three market orders.

Shenzhen Stock Exchange

May 15, 2006

Transaction Standards of Shenzhen Stock Exchange Chapter I General Provisions

1.1

In order to regulate the transactions in the securities market, maintain the order of the securities market, and protect the lawful rights and interests of investors, these Rules are instituted in accordance with the Securities Law of the People¡¯s Republic of China and other laws, administrative regulations, ministerial rules and the Articles of Association of Shenzhen Stock Exchange.

1.2

The transactions concerning the listed securities and their derivatives (hereinafter referred to as securities) of Shenzhen Stock Exchange (hereinafter referred to as this Exchange) shall comply with these Rules.

Any matter that has not been prescribed in these Rules shall comply with other related provisions of this Exchange.

1.3

The securities transactions shall follow the principles of openness, fairness and equity.

1.4

The transactions of investors shall comply with the laws, administrative regulations, ministerial rules and the related business operational rules of this Exchange, and the principles of free will, compensation and good faith.

1.5

The securities transactions shall employ the paperless centralized transactions and other methods upon approval of the China Securities Regulatory Commission(referred to as the CSRC herein after).

Chapter II Trading Market

Section 1 Trading Places

2.1.1

This Exchange will provide trading places and facilities for the securities transactions. The trading places and facilities consist of the exchange server, trading hall, trading seats, offering system and related communications systems, etc.

2.1.2

Approved by this Exchange, any member may declare by the traders assigned to the trading hall by it.

Without the special approval of this Exchange, those allowed to enter into the trading hall shall be limited to the persons as follows:

(1)

The registered traders; and

(2)

The personnel for supervision of the hall.

2.1.3

This Exchange will manage the trading competence of the members, and the concrete measures therefor shall be respectively prescribed and go into effect after being reported to and approved by the CSRC.

Section 2 Trading Varieties

2.2.1

The securities as follows may be listed in this Exchange:

(1)

Stocks;

(2)

Funds;

(3)

Bonds;

(4)

Treasury bonds repurchase (T-bond repurchase) ;

(5)

Warrants; and

(6)

Other trading varieties upon approval of the CSRC.

Section 3 Trading Hours

3.1

The trading days of this Exchange are every week except Saturday and Sunday.

On State statutory holidays and the rest days announced by this Exchange, this Exchange will rest.

3.2

The securities are traded by means of competitive bidding, 9¡Ã5 to 9¡Ã25 every trading day shall be the time for the aggregate auction of opening quotation; 9¡Ã30 to 11¡Ã30 and 13¡Ã00 to 14¡Ã57 shall be the time for continuous auction; and 14¡Ã57 to 15¡Ã00 shall be the time for the aggregate auction of closing quotation.

As approved by the CSRC, this Exchange may modulate the trading hours.

3.3

If the trading is suspended because of some reasons within the trading hours, the trading hours will not be put off.

Chapter III Purchase and Sales of Securities

Section 1 General Provisions

3.1.1

After accepting the entrustment of purchase and sales from an investor, any member shall make declaration to this Exchange in accordance with the entrustment, and be responsible for the related liabilities of trading and delivery.

If any member accepts the entrustment of purchase and sales from an investor and the transaction is completed, the investor shall deliver the member with the securities it/he entrusts the member to sell out or the money by which it/he entrusts the member to buy securities, and the member shall deliver the investor with the money gotten from the sales of securities or the securities as purchased.

3.1.2

A member shall send out declaration orders about purchase or sales to the exchange server of this Exchange by means of the offering system, and complete the transaction in accordance with these Rules, and the trading records shall be sent to the member by this Exchange.

3.1.3

The entrustment and declaration records shall be properly kept by a member in accordance with the related provisions.

3.1.4

Any investor shall not sell the securities purchased before the delivery thereof, except that a turnaround transaction is effected.

The "securities turnaround transaction" refers to that the securities purchased by an investor will be totally or partly sold out before the delivery after the confirmation of the transaction.

3.1.5

Same-day turnaround transactions will be carried out for the bonds and T-bond repurchase, and the next-trading-day turnaround transactions will be carried out for B-shares.

3.1.6

This Exchange may carry out the system of primary dealers in accordance with the demands of the market, and the concrete measures therefor shall be respectively prescribed by this Exchange and shall go into effect after being reported to and approved by the CSRC.

Section 2 Entrustment

3.2.1

When an investor buys or sells the securities, a securities account and a capital account shall be opened, and an entrustment agreement on securities transactions shall be signed with a member. After the agreement goes into effect, the investor will become the client of brokerage business of this member.

The opening of securities accounts by investors shall be conducted in accordance with the provisions of the registration and clearing institutions designated by this Exchange.

3.2.2

A client may entrust a member to buy or sell the securities by means of the self-help entrustment methods such as letters, phone calls, self-help terminals, and internet.

The entrustment by phone calls, self-help terminals, Internet and other self-help methods shall be conducted in accordance with the related provisions.

3.2.3

For a client taking part in the purchase or sales of securities by any self-help entrustment method, the member shall sign a self-help entrustment agreement with the client.

3.2.4

Except otherwise herein provided for by this Exchange, an entrustment instruction of any client shall consist of:

(1)

The number of the securities account;

(2)

The code of the securities;

(3)

The direction of the deal;

(4)

The entrusted quantity;

(5)

The entrusted price; and

(6)

Other contents required by this Exchange and the member.

3.2.5

A client may entrust a member to buy or sell the securities by means of limit order or market order.

The "limit order" means that a member is entrusted by the client to buy or sell the securities at the prescribed price, and the member shall give declaration for purchasing the securities at the prescribed price or at a lower price and give declaration for selling the securities at the prescribed price or at a higher price.

The "market order" means that a member is entrusted by the client to buy or sell the securities at the market price.

3.2.6

The uncompleted transaction as entrusted may be cancelled by a client.

3.2.7

As to the entrustment cancelled or invalidated, after making confirmation, the related capital or securities shall be returned timely to the client by a member.

3.2.8

A member who provides the securities financing services through the securities sales for its clients shall be in accordance with the related provisions.

Section 3 Declaration

3.3.1

This Exchange will accept the declarations of competitive bidding by the members at 9¡Ã15 to 11¡Ã30 and 13¡Ã00 to 15¡Ã00every trading day.

At 9¡Ã20 to 9¡Ã25 and 14¡Ã57 to 15¡Ã00 every trading day, the exchange server of this Exchange will not accept the declarations for the cancellation of competitive bidding, and the uncompleted transactions can be declared for cancellation at any other time for accepting declarations. And a declaration for cancellation will not become valid without confirmation of the exchange server in this Exchange.

At 9¡Ã25 to 9¡Ã30 every trading day, the exchange server only accepts the declarations, but will not deal with the sales declarations or declarations for cancellation.

This Exchange can make modulation on the time for accepting the declarations of the members.

3.3.2

A member shall make declarations to this Exchange in time in accordance with the chronological order by which it accepts the entrustments of its clients.

3.3.3

This Exchange will accept the declaration of the limit orders and market orders of the members.

3.3.4

In accordance with the demands of the market, this Exchange may accept the market orders of the types as follows:

(1)

The declaration through the best price of the counterpart;

(2)

The declaration through the best price of this side;

(3)

The declaration through the conclusion of transactions at the best five prices and in real time and the cancellation of remaining orders;

(4)

The declaration through the conclusion of transactions in real time and the cancellation of remaining orders;

(5)

The declaration through the conclusion of transactions in full amount or the cancellation of orders; and

(6)

Other types formulated by this Exchange.

As to a declaration through the best price of the counterpart, the best price of the counterpart listed in the book of centralized orders when the declaration enters into the exchange server shall be the price for declaration.

A declaration through the best price of this side means that the best price of this side listed in the book of centralized orders as the declaration entering into the exchange server shall be the price for declaration.

As to a declaration through the conclusion of transactions at the best five prices and in real time and the cancellation of remaining orders, the price of the counterpart shall be the transaction price, the transactions shall be completed in turn in accordance with the declaration queue of the best five prices of the counterpart in the book of centralized orders as the declaration entering into the exchange server, as well as the part of uncompleted transactions shall be automatically cancelled.

As to a declaration through the conclusion of transactions in real time and the cancellation of orders, the price of the counterpart shall be the transaction price, the transactions shall be completed in turn in accordance with the queue of all the declarations of the counterpart in the book of centralized orders as the declaration entering into the exchange server, as well as the part of uncompleted transactions shall be automatically cancelled.

As to a declaration through the conclusion of transactions in full amount or the cancellation of orders, the price of the counterpart shall be the transaction price, if the transactions can be completed in turn in accordance with the queue of all the declarations of the counterpart in the book of centralized orders as the declaration entering into the exchange server, the transactions shall be completed in turn, or all the declarations shall be automatically cancelled.

3.3.5

The market orders shall only apply to the transactions of the securities with the price limit during the course of continuous auction. During other trading hours, the exchange server will not accept the market orders.

3.3.6

When a declaration by the best price of this side entering into the exchange server, if there is no declaration of this side in the book of centralized orders, the aforesaid declaration shall be automatically cancelled.

Where any other declaration by the market order entering into the exchange server, if there is no declaration of the counterpart in the book of centralized orders, the aforesaid declaration shall be automatically cancelled.

3.3.7

A limit order shall consist of the number of the securities account, the code of the securities, the code of the seat, the direction of the deal, as well as the quantity and price, etc.

A market order shall consist of the type of the declaration, the number of the securities account, the code of the securities, the code of the seat, the direction of the deal as well as the quantity, etc.

A declaration order shall be transferred in the form prescribed by this Exchange.

3.3.8

As to the purchase of stocks or funds by means of competitive bidding, the declared quantity shall be 100 shares (units) or the integral number of times of 100 shares (units).

If selling the stocks or funds, the sales of the part less than 100 shares (units) shall be declared once and for all.

3.3.9

The purchase of bonds by means of competitive bidding shall be declared by 10 sheets or the integral number of times of 10 sheets. And the purchase or sales of pledge-type repurchase of bonds shall be made declaration by 10 sheets or the integral number of times of 10 sheets.

If selling the bonds, the sales of the part less than 10 sheets shall be made declaration once and for all.

The 100 Yuan of par value of bonds shall be one sheet, and the 100 Yuan of standard coupons of pledge-type repurchase of bonds shall be one sheet.

3.3.10

The largest amount in a single declaration of competitive stock (fund) transactions shall less than one million shares (units), and the largest amount in a single declaration of competitive transactions of bonds or pledge-type repurchase of bonds shall less than 100,000 sheets.

3.3.11

Different units of account shall be employed for the trading of different securities: the "price per share" for the stocks, the "price per unit of funds" for the funds, the "price per 100 Yuan of par value of bonds" for the bonds, and the "due annual proceeds per 100 Yuan of capital" for the pledge-type repurchase of bonds.

3.3.12

The minimum price variance unit for the transaction of A-shares, bonds or pledge-type repurchase of bonds shall be 0.01 Yuan, and 0.001 Yuan for the transactions of funds, 0.01 HK Dollars for the transactions of B-shares.

3.3.13

In accordance with the demands of the market, this Exchange may modulate the minimum price variance unit of the declared quantity and price of a single declaration of securities transaction.

3.3.14

This Exchange carries out the price limit to the transactions of stocks and funds, and the fluctuating proportion shall be 10%, and the fluctuating proportion of ST or *ST shares shall be 5%.

The formula used for the fluctuating price shall be as follows: Fluctuating Price = Previous Closing Price ¡Á (1¡ÀFluctuating Proportion).

The calculation result shall be the minimum price variance unit in accordance with the principle of rounding (to the nearest whole number).

If it meets any of the following circumstances, the price limit shall not be carried out on the first listing day of stocks:

(1)

The initial public offering;

(2)

The listed issuance of additional shares;

(3)

The resumption of trading after the suspending of trading; or

(4)

Other circumstances recognized by this Exchange or the CSRC.

As approved by the CSRC, this Exchange may modulate the fluctuating proportion of the securities.

3.3.15

When buying or selling the securities under the price limit, the declaration under the price limit shall be valid, otherwise, it shall be declared to be invalid.

When buying or selling the shares of middle and small enterprise board (SME Board) under the price limit, the valid declarations beyond the scope of valid auction during the period of continuous auction can not take part in the auction in real time and shall be temporarily deposited in the exchange server; and when the transaction price is fluctuated into the scope of valid auction, the exchange server will automatically take out the declarations for auction.

3.3.16

When buying or selling the securities without the price limit, the declarations beyond the scope of valid auction can not take part in the auction in real time and shall be temporarily deposited in the exchange server; and when the transaction price is fluctuated into the scope of valid auction, the exchange server will automatically take out the declarations for auction.

3.3.17

A declaration shall be valid on the current day. If each competitive transaction declared can not be completed once and for all, the uncompleted part may continuously take part in the auction on the current day, other than the market orders prescribed in Item (3), (4) and (5) of Article 3 .3.4.

Section 4 Auctions

3.4.1

The ways of aggregate auction and continuous auction shall be employed for the competitive securities transactions.

The "aggregate auction" refers to such a competitive method that the sales declarations accepted during a certain period shall be collectively matched once and for all.

The "continuous auction" refers to such a competitive method that the sales declarations shall be continuously matched item by item.

3.4.2

The sales declarations that are not completed during the period for the aggregate auction of opening quotation shall automatically enter into the continuous auction.

The sales declarations that are not completed during the period of continuous auction shall automatically enter into the aggregate auction of closing quotation.

3.4.3

The scope of valid auction of the securities under the price limit during the period of aggregate auction shall be in line with the scope of price limit.

The scope of valid auction of the stocks in the SME Board during the period of continuous auction shall be up and down 3% of the latest transaction price. If the stocks are not transacted during the period for the aggregate auction of opening quotation, the scope of valid auction shall be modulated to up and down 3% of the previous closing price when the continuous auction begins. The scope of valid auction of other securities under the price limit during the period of continuous auction shall be in line with the scope of price limit.

The calculation result for the scope of valid auction shall be the minimum price variance unit in accordance with the principle of rounding (to the nearest whole number).

3.4.4

The scope of valid auction for the transactions of the securities without the price limit shall be made determination in accordance with the methods as follows:

(1)

The scope of valid auction for the aggregate auction of opening quotation on the first listing day of stocks shall be less than 900% of the offering price, and the scope of valid auction for the continuous auction and the aggregate auction of closing quotation shall be up and down 10% of the latest transaction price;

(2)

The scope of valid auction for the aggregate auction of opening quotation on the first listing day of bonds shall be 30% or so of the offering price, and the scope of valid auction for the continuous auction and the aggregate auction of closing quotation shall be 10% or so of the last transaction price; and the scope of valid auction for the aggregate auction of opening quotation on the non-first listing day of bonds shall be 10% or so of the previous closing price, and the scope of valid auction for the continuous auction and the aggregate auction of closing quotation shall be 10% or so of the last transaction price; and

(3)

The scope of valid auction for the aggregate auction of opening quotation on the non-first listing day of the pledge-type repurchase of bonds shall be 100% or so of the previous closing price, and the scope of valid auction for the continuous auction and the aggregate auction of closing quotation shall be 100% or so of the latest transaction price.

3.4.5

If the securities without the price limit are not transacted during the period of aggregate auction of opening quotation, the scope of valid auction thereof may be modulated in accordance with the methods as follows when the continuous auction starts:

(1)

If the highest buying price declared under the scope of valid auction is higher than the offering price or the previous closing price, the scope of valid auction shall be modulated by taking the highest buying price declared as the benchmark; and

(2)

If the lowest selling price declared under the scope of valid auction is lower than the offering price or the previous closing price, the scope of valid auction shall be modulated by taking the lowest selling price declared as the benchmark.

3.4.6

This Exchange may modulate the scope of valid auction of the securities in accordance with the demands of the market.

Section 5 Conclusion of Transactions

3.5.1

The securities competitive bidding shall be matched by complying with the principle of price and time priority.

The principle of price priority at the time of transaction conclusion shall be: the declaration for the purchase at a higher price shall take precedence over the declaration for the purchase at a lower price, and the declaration for the sales at a lower price shall take precedence over the declaration for the sales at a higher price.

The principle of time priority at the time of transaction conclusion shall be: the former declarer shall have priority to the later declarer if the direction of the deal and the price are the same. The sequence of declarations shall follow the time when the exchange server accepts the declarations.

3.5.2

As to aggregate auction, the principle for determination of the transaction price shall be as follows:

(1)

The price at which the maximum trading volume can be realized;

(2)

The declarations for the purchase at the price higher than the aforesaid price and the declarations for the sales at the price lower than the aforesaid price shall all be transacted; and

(3)

All the transactions of either the buyer or the seller with the price in line with the aforesaid one shall be completed.

In case there are two or more aforesaid prices meeting the conditions mentioned above, the transaction price shall be the price closest to the previous closing price.

All the transactions under aggregate auction shall be completed at the same price.

3.5.3

As to continuous auction, the principle for determination of the transaction price shall be as follows:

(1)

If the highest price upon declaration for the purchase is the same as the lowest price upon declaration for the sales, the aforesaid price shall be the transaction price;

(2)

If the price upon declaration for the purchase is higher than the lowest price upon declaration for the sales in the book of centralized auctions, the lowest price upon declaration for the sales in the book of centralized auctions shall be the transaction price; and

(3)

If the price upon declaration for the sales is lower than the highest price upon declaration for the purchase in the book of centralized auctions, the highest price upon declaration for the purchase in the book of centralized auctions shall be the transaction price.

3.5.4

After the sales declarations are matched by the exchange server, the transactions are completed. A transaction goes into effect when the transaction is completed in accordance with the provisions in these Rules, and both parties to the transaction shall accept the trading result and undertake the obligation of liquidation and delivery.

In case a transaction is seriously influenced by the force majeure, accident or illegal invasion into the trading system, this Exchange may employ proper measures or make sure the transaction as invalid.

As confirmed by this Exchange, proper measures may be employed for the clearly unfair transactions.

For the transactions that are against these Rules and will seriously destroy the normal operation of the securities market, this Exchange has the right to make announcement on the cancellation of the transactions. And the losses that happened therefrom shall be undertaken by the traders in violation of the rules.

3.5.5

For the transactions completed in accordance with these Rules, the trading results shall be determined based on the trading data recorded in the exchange server of this Exchange.

3.5.6

The liquidation and delivery between the members shall be dealt with by the registration and clearing institution designated by this Exchange.

Section 6 Block Trades

3.6.1

The method of block trades may be employed for the securities sales implemented in this Exchange and satisfying the conditions as follows:

(1)

The quantity of A-shares in a single transaction thereof is more than 500,000 shares, or the trading amount is more than 3 million Yuan;

(2)

The quantity of B-shares in a single transaction thereof is more than 50,000 shares, or the trading amount is more than 300,000 HK Dollars;

(3)

The quantity of funds in a single transaction thereof is more than 3 million shares, or the trading amount is more than 3 million Yuan;

(4)

The quantity of bonds in a single transaction thereof is more than 10,000 sheets (100 Yuan of par value for one sheet), or the trading amount is more than 1 million Yuan;

(5)

The quantity of bonds in a single transaction of pledge-type repurchase of bonds is more than 10,000 sheets (100 Yuan of par value for one sheet), or the trading amount is more than 1 million Yuan;

(6)

The trading amount in the aggregate one-way purchase or sales of several A-shares is more than 5 million Yuan, and of which the trading amount of each single A-share is more than 200,000 shares;

(7)

The trading amount in the aggregate one-way purchase or sales of several funds is more than 5 million Yuan, and of which the trading amount of each single fund is more than 1million shares; and

(8)

The trading amount in the aggregate one-way purchase or sales of several bonds is more than 5 million Yuan, and of which the trading amount of eah single bond is more than 15,000 sheets.

In accordance with the demands in the market, this Exchange may modulate the minimum quota of block trades.

3.6.2

This Exchange will make acceptance of the declarations for block trades at 9¡Ã15 to 11¡Ã30 and 13¡Ã00 to 15:30 every trading day.

3.6.3

The declarations for block trades shall consist of the declarations of intent and the declarations of transaction that has been completed.

A declaration of intent for block trades shall consist of the number of the securities account, the code of the securities, the direction of the deal, the number of seat of this side as well as other contents. Whether the price and quantity of the transaction are to be made sure in the declaration of intent shall be determined by the declarer.

A declaration of transaction that has been completed shall consist of the number of the securities account, the code of the securities, the direction of the deal, the price and quantity of the transaction, the seat number of the counterpart as well as other contents.

3.6.4

The transaction price of the block trade of securities under the price limit shall be made determination by both parties to the transaction under the scope of price limit on the current day.

The transaction price of the block trade of securities without the price limit shall be made determination through the consultation of both parties to the transaction based on 30% or so of the previous closing price or between the highest and lowest prices of completed transactions on the current day.

3.6.5

Both parties to the transaction shall, after signing an agreement, make declarations of transaction that has been completed to the exchange server of this Exchange, and the transaction price of the declaration of transaction that has been completed shall agree with the transaction quantity.

3.6.6

The exchange server will implement the transaction confirmation concerning the declarations of transactions that have been completed made by both parties to the transactions from 15¡Ã00to 15¡Ã30 every trading day.

A declaration of transaction that has been completed shall not be changed or cancelled once it is made sure by this Exchange, and both parties to the transaction shall accept the transaction result.

3.6.7

A member shall make sure that the participants in block trades actually own the securities or capital related to the declaration of intent or the declaration of transaction that has been completed.

3.6.8

A block trade shall not be calculated into the calculation of real-time market information and indices of this Exchange, as well as the trading volume shall be calculated into the current total securities trading volume after the block trade is closed.

3.6.9

As block trades is completed every trading day, this Exchange will promulgate the names of the securities, the trading volume, the transaction price of block trades, and the name of the business department or seat of the member where both the buyer and the seller make their transaction.

Section 7 Transactions of T-bond Repurchase

3.7.1

The method of pledge-type repurchase and other methods may be employed for the transactions of T-bond repurchase.

3.7.2

The "pledge-type repurchase of bonds" refers to such a kind of transaction in which both parties to the transaction stipulate to return the capital and remove the pledge after the expiration of the repurchasing period when the holder of bonds pledges the bonds and gets the pledge financing from the trading counterpart by taking the quantity of standard coupons calculated at the rate of conversion of standard coupons as the financial quota.

3.7.3

The term for the transaction of T-bond repurchase shall be calculated in accordance with the Calendar time. If the expiry date is a non-trading day, the settlement shall be put off to the next trading day.

Chapter IV Other Trading Matters

Section 1 Custody Transfer

4.1.1

An investor may buy the securities at several securities business departments by a same securities account.

4.1.2

The securities purchased by an investor may be sold out by the original seat by which the securities are purchased, or may be sold out by the seat into which the securities will be transferred after the instruction of custody transfer is sent out to the original seat by which the securities are purchased and the custody is transferred.

The concrete rules for the transfer of custody shall be instituted by the registration and clearing institution designated by this Exchange.

Section 2 Opening Price and Closing Price

4.2.1

The opening price of the securities shall be the first transaction price of the aforesaid securities on the current day.

4.2.2

The opening price of the securities shall be formed by means of aggregate auction, if not it shall be formed by means of continuous auction.

4.2.3

The closing price of the securities shall be formed by means of aggregate auction, otherwise, the weighted average price of the trading volume of all the transactions (including the last transaction) at one minute before the last transaction of the aforesaid securities on the current day shall be the closing price.

If there is no transaction completed on the current day, the previous closing price shall be the closing price of the current day.

Section 3 Listing, Delisting, Suspension and Resumption of Trading

4.3.1

This Exchange will carry out the listing of the listed securities.

4.3.2

For the securities whose listing period has expired or that do not satisfy the conditions for listing, the listing will be terminated thereof by this Exchange, and de-listed.

4.3.3

If the stocks or close-end funds are abnormally fluctuating prescribed by Article 5 .4.3, this Exchange will suspend them and will engage in the trading thereof until 10:30 on the day when the related party undertaking the obligation of reveal makes an announcement; and the trading thereof will be engaged in on the first trading day after the announcement if the date of announcement is a non-trading day.

4.3.4

If any securities transaction is abnormal prescribed in Article 6 .1, this Exchange may suspend the trading of the related securities in accordance with the concrete conditions, release an announcement, and release the related statistical information about transactions and shares in accordance with the requirements. The party undertaking the obligation of reveal shall make an announcement in time in accordance with the requirements of this Exchange.

The time of suspension and resumption of trading shall be determined by this Exchange.

4.3.5

If the trading of the securities is suspended, the market information released by this Exchange shall include the information on the aforesaid securities; but after the securities are de-listed, the market information will not include the information on the aforesaid securities.

4.3.6

If the trading of the securities is suspended during the period of opening, the declarations before the suspension of trading shall be brought into the transactions after the resumption of trading of the aforesaid securities; the declarations may be continuously made or cancelled during the course of the suspension of trading; the accepted declarations at the time of resumption of trading shall be subject to aggregate auction, but the reference price of aggregate auction, the matching amount and the non-matching amount by means of aggregate auction will not be revealed. After the opening price is produced by means of aggregate auction, the trading on the current day will be continued by means of continuous auction.

4.3.7

This Exchange will promulgate the listing, delisting, suspension and resumption of trading of the securities.

4.3.8

The other matters on the listing, delisting, suspension and resumption of trading of the securities shall comply with the listing rules and other related provisions of this Exchange.

Section 4 Ex-right and Ex-dividend

4.4.1

For the equity distribution, the conversion of public reserves into share capital or the allotment of shares of the listed securities, this Exchange shall implement the ex-right and ex-dividend for the aforesaid securities on the trading day following the date of equity registration (the last trading day for the B-shares), except otherwise herein provide for d by this Exchange.

4.4.2

The formula used for calculating the ex-right (ex-dividend) reference price shall be as follows:

Ex-right (Ex-dividend) Reference Price = [ (Previous Closing Price - Cash Bonus) + Price of Allotment of Shares (Price of New Shares) ¡Á Proportion of Change of Floatable Shares] ¡Â (1 + Proportion of Change of Floatable Shares)

If a securities issuer considers that it is necessary to modulate the aforesaid formula, it may apply for adjustment with this Exchange and interpret the reasons. This Exchange may modulate the formula used for calculating the ex-right (ex-dividend) reference price in accordance with the application and promulgate it.

The previous closing price of the aforesaid securities showed in the real-time market information on the day of ex-right (ex-dividend) shall be the ex-right (ex-dividend) reference price.

4.4.3

If the securities are purchased or sold on the day of ex-right (ex-dividend), the scope for appreciation and depreciation shall be made calculation by taking the ex-right (ex-dividend) reference price as the benchmark, except otherwise herein provided for by this Exchange.

Chapter V Trading Information

Section 1 General Provisions

5.1.1

This Exchange will promulgate the real-time market information, securities indices, public information of securities transactions as well as other trading information every trading day.

5.1.2

This Exchange will formulate various daily reports, weekly reports, monthly reports and annual reports in time that can reflect the market information, and promulgate them on the website of this Exchange or any other mass media.

5.1.3

This Exchange will own the trading information generated from this Exchange, and any institution or individual shall not use or spread it without approval.

Any institution or individual allowed by this Exchange to use the trading information shall only provide the aforesaid trading information to any other institution or individual for use or spread upon approval.

The measures for the management of the securities trading information shall be respectively instituted by this Exchange.

Section 2 Real-time Market Information

5.2.1

During the course of aggregate auction, the real-time market information shall consist of the codes of the securities, shortened names of the securities, the reference price of aggregate auction, the matching amount and the non-matching amount, etc.

5.2.2

During the course of continuous auction, the real-time market information shall consist of the codes of the securities, shortened names of the securities, the previous closing price, the latest transaction price, the highest price and lowest price on the current day, the accumulative transaction amount on the current day, the accumulative transaction value on the current day, the declared price and quantity for the purchase in real time and at the five highest prices, the declared price and quantity for the sales in real time and at the five lowest prices and etc.

5.2.3

As to initial public offering of stocks or bonds, the previous closing price showed in the real-time market information thereof shall be the issuing price thereof, and as to the initial public offering of funds, the net value of the funds on the previous day shall be the issuing price thereof, which shall be rounded off to 0.001 Yuan).

5.2.4

The real-time market information will be transferred by the communications system allowed by this Exchange, and the members may use it under the scope permitted by this Exchange.

5.2.5

This Exchange may modulate the methods and contents of releasing the real-time market information in accordance with the demands of the market.

Section 3 Securities Indices

5.3.1

This Exchange will institute composite indices, component indices, classification indices and other securities indices in order to reflect the alteration and tendency of the overall price of securities transactions or the price of some kind of securities, and release them together with the real-time market information.

5.3.2

The measures for the set-up and formulation of securities indices shall be respectively instituted by this Exchange.

Section 4 Public Information of the Securities Transaction

5.4.1

If the stocks or close-end funds under the price limit meet any of the following circumstances, this Exchange will respectively release the names of the business departments or seats of the five members with the largest buying or selling amount of the related securities on the current day and their separate buying or selling amount:

(1)

The first three securities whose variance of the daily closing price is up to + 7%, and the first three securities whose variance of the daily closing price is up to -7%;

The formula used for calculating the variance of the closing price shall be as follows:

Variance of Closing Price = Price Variance of a Single Securities - Price Variance of Related Classification Index

(2)

The first three securities whose daily price variance is up to 15%; and

The formula used for calculating the price variance shall be as follows:

Price Variance = (Highest Price on the Current Day - Lowest Price on the Current Day) / Lowest Price on the Current Day¡Á100%

(3)

The first three securities whose daily turnover rate is up to 20%;

The formula used for calculating the daily turnover rate shall be as follows:

Turnover Rate = Quantity of Completed Shares / Quantity of Floatable Shares¡Á100%

If the variance of the closing price, the price variance and the turnover rate are the same, they shall be chosen in turn in accordance with the transaction amount and the trading value.

The classification indices related to the A-shares (other than the shares of SME Board), the shares of SME Board, B-shares and close-end funds shall be Shenzhen A-share index, SME Board Index, Shenzhen B-share index and Shenzhen Fund Index formulated by this Exchange.

5.4.2

As to the stocks without price limit prescribed in Article 3 .3.14, this Exchange will release the names of the business departments or seats of the five members with the largest buying or selling amount on the current day and their separate buying or selling amount.

5.4.3

If the stocks or close-end funds meet any of the following circumstances, it belongs to the abnormal fluctuation, this Exchange will respectively release the names of the business departments or seats of the five members with the accumulative largest buying or selling amount during the course of abnormal fluctuation and their separate buying or selling amount:

(1)

The variance of the closing price within three consecutive trading days is up to¡À20%;

(2)

The variance of the closing price for the ST and *ST stocks within three consecutive trading days accumulatively is up to ¡À15%;

(3)

The ratio of daily average turnover rate within three consecutive trading days to that within the previous five trading days is up to 30 times, and the accumulative turnover rate of the aforesaid securities within three consecutive trading days is up to ¡À20%; or

(4)

Other circumstances considered to be the abnormal fluctuation by this Exchange or the CSRC.

As of the day of resumption of trading, the index of abnormal fluctuation shall be recalculated.

The stocks without price limit prescribed in Article 3 .3.14 shall not be brought into the calculation of the index of abnormal fluctuation.

5.4.4

In case the public information on the securities trading involving the special seat of an institution, the name to be promulgated shall be the "exclusive for the institution".

Chapter VI Supervision over Transactions

6.1

This Exchange will focus its surveillance and control on the abnormal transactions as follows that may cause affect on the price or quantity of securities transactions:

(1)

Buying or selling a large amount of related securities before the information that may significantly cause affect on the price of securities transactions is revealed;

(2)

Implementing large or frequent transactions between the securities accounts opened by using the same identity card, business license or other effective certificate, in which one party is the counterpart of the other party;

(3)

Implementing large or frequent transactions between the securities accounts by entrusting or authorizing the same institution or individual for implementing the transactions, in which one party is the counterpart of the other party;

(4)

Implementing large or frequent transactions between two or more securities accounts that are fixed or suspected of being related with each other, in which one party is the counterpart of the other party;

(5)

Making block declarations, continuous declarations or frequent declarations in order to cause affect on the price of securities transactions;

(6)

Making frequent declarations or declarations for cancellation in order to cause affect on the price of securities transactions or the investment decisions of other investors;

(7)

Making huge declarations, and the declaration price is clearly away from the transaction price at the time of declaration;

(8)

Implementing lots of continuous transactions under a certain period;

(9)

Implementing many or frequent roundabout transactions at the same price or at the closing price;

(10)

Implementing many or frequent transactions by employing the strategy of "high buy low sell";

(11)

Implementing the securities transactions opposite to the investment analysis, forecasting or suggestion released by itself;

(12)

Making declarations that are false or will disturb the market order in the block trades; and

(13)

Other abnormal trading acts for which this Exchange thinks that the key surveillance and control is in requirement.

6.2

In case any member finds any abnormal securities transaction between investors prescribed in Article 6 .1 and that will cause serious affect on the order of securities transactions, it shall report it to this Exchange in a timely manner.

6.3

If there is any abnormal transaction prescribed in Article 6 .1 that will cause affect on the price or quantity of securities transactions, this Exchange may employ the measures of off-site investigations and on-site investigations, and require the related member and its business department to provide the account opening materials of the investor, the power of attorney, vouchers on depositing and withdrawing the capital, explanations about the capital accounts, explanations about the related transactions and other materials, and this Exchange may also require the related investors to provide the materials.

6.4

A member and its business department and the investor shall have cooperation with this Exchange in the related surveys, and provide the related documents and materials in a timely, truthful, accurate and complete manner.

6.5

As to the abnormal transactions with serious circumstances, this Exchange can employ the measures as follows in accordance with the actual situations:

(1)

Giving warnings in oral or written form;

(2)

Making appointments for conversations;

(3)

Requiring the related persons to hand in promises in written form;

(4)

Limiting the transactions between the related securities accounts;

(5)

Reporting to the CSRC for freezing the related securities accounts or capital accounts; and

(6)

Reporting to the CSRC for investigating and handling.

If anyone objects the measure prescribed in Item (4), he may hand in an application to this Exchange for the review within 15 days upon receipt of the notice concerning carrying out the related measures. The implementation of the aforesaid measure will not be suspended during the course of review.

Chapter VII Handling of Abnormal Situations in Trading

7.1

If any of the following abnormal situations in trading happens and which results in the failure of some or total transactions, this Exchange may determine a technical suspension of trading or a temporary speed bump:

(1)

The force majeure;

(2)

A fortuitous event;

(3)

A technical obstacle; or

(4)

Any other abnormal situation recognized by this Exchange.

7.2

If the number of seats that can not declare or the number of business departments whose market transmission is terminated are more than 10% of the total amount of the seats or business departments that have been set up by this Exchange, this Exchange may carry out a temporary speed bump.

7.3

If this Exchange thinks that any abnormal situation in trading prescribed in Article 7 .1 or 7.2 may happen and the normal operation of the trading will thus be seriously influenced, it may determine a technical suspension of trading or a temporary speed bump.

7.4

This Exchange shall make announcement of the determinations on technical suspension of trading or temporary speed bump.

7.5

After eliminating the cause for technical suspension of trading or temporary speed bump, this Exchange may determine to resume the trading.

7.6

Other than the special situations recognized by this Exchange, the declarations that the exchange server has accepted before the technical suspension of trading or temporary speed bump shall be valid on the current day. Where the exchange server continuously accepts the declarations during the course of technical suspension of trading or temporary speed bump, it will carry out the aggregate auction for the accepted declarations after the trading is resumed.

7.7

This Exchange will not be responsible for the liabilities for the losses due to the abnormal situations in trading or the measures of technical suspension of trading or temporary speed bump employed by this Exchange.

Chapter VIII Trading Disputes

8.1

In the event of any trading dispute between the members or between the member and its clients, the related member shall record down the related conditions for this Exchange to consult. If the trading dispute causes affect on the normal trading, the member shall report it to this Exchange in time.

8.2

In the event of any trading dispute between the members or between the member and its clients, this Exchange may provide necessary trading data in accordance with the related provisions.

8.3

If an investor has any doubt on the transactions, the member shall employ coordination in handling them.

Chapter IX Charges for Transactions

9.1

If a securities transaction is completed, an investor shall pay the commission to the member in accordance with the provisions.

9.2

In accordance with the provisions, a member shall pay the fees for the seat and the member qualification, the transaction handling fees as well as other fees to this Exchange.

9.3

The charging items and rates for the securities transactions and the administrative measures therefor shall be carried out in accordance with the related provisions.

Chapter X Disciplinary Sanctions

10.1

In case a member in violation of these Rules, this Exchange shall order it to make corrections and shall make single or concurrent punishment on it in accordance with the severity of the circumstances:

(1)

circulation of a notice of criticism;

(2)

public reprimand;

(3)

suspension or limitation of transactions;

(4)

revocation of the trading qualification; and

(5)

revocation of the qualification of members.

10.2

In case a member objecting any of the sanctions mentioned in Items (2) through (5) of the preceding Article, it may hand in an application for review to this Exchange within 15 days as of the day when the notice on the sanctions is received. The enforcement of related sanctions shall not be suspended during the course of review.

Chapter XI Supplementary Provisions

11.1

Such provisions shall prevail if there are other provisions in the related rules of this Exchange on the transactions of exchange traded funds, T-bond repurchase, warrants and other varieties,.

11.2

The time mentioned in these Rules shall be the time in the exchange server of this Exchange.

11.3

The following terms shall have the definitions as follows when used in these Rules:

(1)

The "market" refers to the stock exchange set up by this Exchange.

(2)

The "seats" refers to the special facilities provided by this Exchange to its members for their participation in the securities transactions of this Exchange, and which shall be gotten by the applications of the members.

(3)

The "entrustment" refers to such an act that an investor specifically entrust the member for the securities sales.

(4)

The "declaration" refers to such an act that a member sends out orders concerning securities sales to the exchange server of this Exchange.

(5)

The "standard coupons" refers to that formed through the conversion of different varieties of bonds at the related conversion rates and used to determine the financing quota by using the pledge-type repurchase transactions.

(6)

The "book of centralized orders" refers to the queue of all the declarations that have not been completed arranged in the exchange server at some point of time in accordance with the direction of the deal and the order of price and time priority under the scope of valid auction.

The best price of the counterpart (this side) listed refers to the highest price of the buyer or the lowest price of the seller in the book of centralized orders.

(7)

The "reference price of aggregate auction" refers to the invented opening price formed based on all the declarations up to the time of disclosure in the book of centralized orders and in accordance with the rules for aggregate auction.

(8)

The "matching amount" refers to the invented trading volume formed based on all the declarations up to the time of disclosure in the book of centralized orders and in accordance with the rules for aggregate auction.

(9)

The "non-matching amount" refers to the remaining declared amount of the buyer or seller in the book of centralized orders up to the time of disclosure, which is on the reference price of aggregate auction and can not be fictitiously transacted according to the reference price of aggregate auction.

11.4

The definitions of the terms not defined in these Rules shall be determined in accordance with the laws, administrative regulations, ministerial rules and the related business operational rules of this Exchange.

11.5

The "exceeding" "less than" and "falling short of" mentioned in these Rules shall not be with an inclusion of the figure itself, and the "reach" shall be with an inclusion of the figure itself.

11.6

These Rules shall go into effect after being adopted by the council of this Exchange and being reported to the CSRC for approval, and it will be the same for the revision of these Rules.

11.7

This Exchange shall take charge in interpreting these Measures.

11.8

These Rules shall go into effect as of July 1, 2006.