According to the Company Law of the People’s Republic China, under any of the following conditions, any shareholder, who casts a negative vote against such resolution of the shareholders meeting, may require the company to purchase his stock ownership at a reasonable price:

(1) Where the company fails to distribute profits to its shareholders for continuous five years, while the company has been continuously profitable for such five years and meets the conditions on distribution of profits as stipulated in this law;

(2) Where the company merges, divides or transfers its substantial assets; or

(3) Where the term of operation of the company expires as stipulated in the articles of association or other events occur for dissolution as stipulated in the articles of association, while the shareholders meeting adopts a resolution on revision of the articles of association to make the company continue to exist.

If, within 60 days upon the date of adoption of the resolution of the shareholders meeting, the shareholders and the company cannot reach an agreement upon purchase of the stock ownership, the shareholders may bring a lawsuit in the people's court within 90 days upon the date of adoption of the resolution of the shareholders meeting.