From Dec. 17^th-18^th, 2008, Lonking Holdings Limited (“Lonking”) held the 3^rd Senior Management Conference in Longyan, Fujian Province to further put the General Manager Responsibility System into practice.

Senior leaders of Longking attended the conference, such as Li Xinyan as the President of Board of Director of Longking; Qiu Debo as the Executive Director, CEO & President; Luo Jianru, Doctor Mou Yanqun and Chenchao as Executive Director and Vice President, Ms. Fang Deqin, Deputy Director of Strategy & Development Commission Board of Director; Ms. Wan Yingqun, Human Resource Director; the Chairman of the Board, General Manager of the Branch Companies and the operators of affiliated departments. Meanwhile, the Director of Finance and Supply Departments of Longking’s branch companies in Longyan took part in the conference as well.

President Li Xinyan made important address at the very beginning, giving affirmation to the achievements of the management team in 2008 especially in these months strongly affected by global financial crisis. According to him, the Board of Directors were satisfied and assured about the works of the management team of Holdings Limited. Following that the Board of Directors entrusted all the responsibilities and rights of operating the whole Holdings Limited to the management team presided by Qiu Debo, the management team had then entrusted all the operational management responsibilities and rights to the General Managers and their teams in each branch company. Such kind of General Manager Responsibility System was really necessary due to the current economic situation and for the far-reaching development of Longking, which was as well as an innovative measure of Longking Holdings Limited to further deepen reforms and fully practice entrusted management system. In order to make the operation of General Manager Responsibility System to be more standard and effective, a completed suite of professional, rigorous, operational regulations and rules must be formulated and strictly practiced. Li Xinyan showed his hope to establish a sophisticated General Manager Responsibility System, making every effort to contribute more to the further development of Longking.

During the conference last for one and half a day, the leaders conducted detailed discussion on the aspects from responsibility authorization and annual examination indicator to safety production, equipment management, quality guarantee, investment and returns, capital value-added, technique and discipline, finance and supply right release, all of which were cycling around the theme to practice General Manager Responsibility System. The discussion made great moves in clearing the working responsibility, defining the scope of management and normalizing the operational process. This conference would definitely benefit a lot on enhancing the initiatives and effectiveness of perfecting General Manger Responsibility System.

Finally President Qiu Debo concluded the conference. He said that through this conference, Longking was expected to pursue deeper development even in struggling environment so as to create a new stage of Longking..

About Longking

Lonking Holdings Limited (“Lonking”) started its business in 1993. It has experienced a rapid growth rate (averagely 43%) for more than ten years and now become one of the largest manufacturers of construction machinery in China. Lonking has facilities located in Shanghai, Fujian, Jiangxi and Henan for developing and manufacturing of wheel loader, roller, excavator, forklift, motor grader, agricultural machinery and components. The main product – wheel loader has been awarded as “China Top Brand”. The company has ranked at the first place in the world in terms of sales quantity of wheel loader since 2006. In November 2005, the company got listed on the Main Board of the Stock Exchange of Hong Kong Limited. It is the first case of overseas listing in China’s construction machinery sector.