Appendix Iv Property Valuation

APPENDIX IV PROPERTY VALUATION

The following is the text of a letter and valuation certificates, prepared for the purposes of incorporation in this prospectus received from Vigers Appraisal and Consulting Limited, an independent value, in connection with its valuation as at 31 August 2007 of the captioned property interests held by Ming Fai International Holdings Limited in Hong Kong, the PRC and Singapore.

Vigers Appraisal and Consulting Limited International Property Consultants 10/F The Grande Building 398 Kwun Tong Road Kowloon Hong Kong

22 October 2007

The Directors Ming Fai International Holdings Limited 3/F Mai Kei Industrial Building No. 5 San Hop Lane Tuen Mun, New Territories Hong Kong

Dear Sirs,

In accordance with your instructions for us to value the property interests held by Ming Fai International Holdings Limited (referred hereinafter to as the “Company”) together with its subsidiaries (referred hereinafter collectively as the “Group”) in Hong Kong Special Administrative Region (“Hong Kong”), the People’s Republic of China (the “PRC”) and Singapore, we confirm that we have carried out inspections, made relevant enquiries and obtained such further information as we consider necessary for the purpose of providing you with our opinion of market value of such property interests as at 31 August 2007 (the “Date of Valuation”) for incorporation into this prospectus.

Our valuation is our opinion of market value of the property interests which we would define as intended to mean “the estimated amount for which a property should exchange on the date of valuation between a willing buyer and a willing seller in an arm’s-length transaction after proper marketing wherein the parties had each acted knowledgeably, prudently and without compulsion”.

– IV-1 – APPENDIX IV PROPERTY VALUATION

In valuing Property No. 1 in Group I and Property Nos. 4 to 6 in Group II, we have valued each of these property interests by Direct Comparison Approach assuming sale of each of these properties which are currently owner occupied with the benefit of immediate vacant possession and by making reference to comparable sales transactions as available in the relevant markets.

In valuing the property interests in Group II except for those mentioned in the above paragraph, which are held and occupied by the Group in the PRC, we have adopted a combination of the market and depreciated replacement cost approach in assessing the land portion of the property and the buildings and structures standing on the land respectively. Hence, the sum of the two results represents the market value of the property interests as a whole. In the valuation of the land portion, reference has been made to the standard land prices in Shenzhen and Luoding City in Guangdong Province and sales evidences as available to us in the locality. As the nature of the buildings and structures cannot be valued on the basis of market value, they have therefore been valued on the basis of their depreciated replacement costs. The depreciated replacement cost approach considers the current cost of replacement (reproduction) of the buildings and improvements less deductions for physical deterioration and all relevant forms of obsolescence and optimization. The approach is subject to adequate potential profitability of the business. Our opinion of value for each individual property does not necessarily represent the amount that might be realised in the market from the disposal of that particular property. However, the depreciated replacement cost approach generally furnished the most reliable indication of value for property in the absence of a known market based on comparable sales. This approach is subject to adequate potential profitability of the business.

For property interests in Group III and IV which are rented by the Group in the PRC and Singapore, we have assigned no commercial value to them mainly due to the prohibition against assignment, the lack of substantial profit rents or the short term nature of such interests.

Our valuation has been made on the assumption that the owners sell the property interests in the market without the benefit of a deferred terms contract, leaseback, joint venture, management agreement or any other similar arrangement which could serve to increase the values of the property interest. Furthermore, no account has been taken of any option or right of pre-emption concerning or affecting the sale of the property interests and no forced sale situation in any manner is assumed in our valuation.

In valuing the property in Hong Kong, the Government Leases of which expire before 30 June 1997, we have taken account of the provisions contained in Annex III of the Joint Declaration of the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of the People’s Republic of China on the question of Hong Kong and the New Territories Leases (Extension) Ordinance 1988 that such leases will be extended without premium until 30 June 2047 and that an annual rent of three per cent. of the rateable value will be charged from the date of extension.

– IV-2 – APPENDIX IV PROPERTY VALUATION

In the course of our valuation, we have assumed that the owners have free and uninterrupted rights to use, occupy or assign the property interests for the whole of the unexpired term of the respective land use rights. Furthermore, we have also assumed that all consents, approvals and licences from relevant PRC government authorities for development of the property interests were granted without any onerous conditions or undue delay.

Except for the Hong Kong property mentioned in Group I of the report, we have not caused title searches to be made for the property interests at the relevant government bureau in the PRC. However, we have been provided with extracts of title documents relating to the property interest. We have not searched the original documents to verify the ownership, encumbrances or the existence of any subsequent amendments which do not appear on the copies handed to us. All documents have been used for reference only. All dimensions, measurements and areas included in the valuation certificate are based on information contained in the documents provided to us by the Group and therefore are only approximations.

In undertaking our valuation of the property interests, we have relied on the legal opinion provided by the Group’s legal adviser, Zhong Lun Law Firm (the “PRC Legal Opinion”). Based on the Legal Opinion, details of the current status of titles, grant of major approvals, licenses and documents of the property interests are set out in the valuation certificates.

We have relied to a considerable extent on information provided by the Group and have accepted advice given to us on such matters as planning approvals or statutory notices, easements, tenure, occupation, lettings, site and floor areas and other relevant matters. We have no reason to doubt the truth and accuracy of the information provided to us by the Group. We have also advised by the Group that no material factors have been concealed or omitted from the information supplied, and have no reason to suspect that any material information has been withheld. We consider that we have been provided with sufficient information to reach an informed view.

We have inspected the exterior and, where possible, the interior of the premises. However, no structural survey has been made and we are therefore unable to report whether the property interests are free from rot, infestation or any other structural defects, though in the course of our inspections we did not note any serious defects. No tests were carried out on any of the services.

In valuing the property interests, we have complied with all the requirements set out in Chapter Five, Practice Notes 12 and 16 to the Rules Governing the Listing of Securities issued by The Stock Exchange of Hong Kong Limited. In addition, our valuations are prepared in accordance with the HKIS Valuation Standards on Properties (First Edition 2005) published by the Hong Kong Institute of Surveyors (“HKIS”).

No allowance has been made in our valuation for any charge, mortgage or amount owing on the property interest nor for any expenses or taxation which may be incurred in effecting a sale. Unless otherwise stated, it is assumed that the property interests are free from encumbrances, restrictions and outgoings of an onerous nature which could affect their values.

– IV-3 – APPENDIX IV PROPERTY VALUATION

Unless otherwise stated, all monetary amounts stated are in Hong Kong Dollars. The exchange rate used in valuing the property interests in the PRC as at 31 August 2007 was HK$1.00=RMB0.9698. There has been no significant fluctuation in the exchange rates for RMB against Hong Kong Dollars between that date and the date of this letter.

We enclosed herewith our summary of valuation and valuation certificates.

Yours faithfully, For and on behalf of Vigers Appraisal & Consulting Limited Raymond Ho Kai Kwong Registered Professional Surveyor MRICS MHKIS MSc(e-com) Executive Director Note: Raymond K. K. Ho, Chartered Surveyor, MRICS, MHKIS, MSc (e-com) has 20 years experience in undertaking valuation of properties in Hong Kong and has over 13 years’ experience in the valuation of properties in the PRC. He also has extensive valuation experience of over 10 years in the valuation of leased properties in Singapore.

– IV-4 – APPENDIX IV PROPERTY VALUATION

SUMMARY OF VALUATION

Group I – Property interest held and occupied by the Group in Hong Kong

Capital Value Interest attributable to the Market Value as at Attributable Group as at 31 August 2007 to the Group 31 August 2007

1. Units A to F on 3rd Floor, Units HK$10,380,000 100% HK$10,380,000 A to F on 4th Floor and Units C, E and F on 6th Floor and Car Parking Space Nos. 19, 21 to 23 on Ground Floor of Mai Kei Industrial Building, No. 5 San Hop Lane, Tuen Mun, New Territories, Hong Kong

Sub-total: HK$10,380,000 HK$10,380,000

– IV-5 – APPENDIX IV PROPERTY VALUATION

Capital Value Interest attributable to the Market Value as at Attributable Group as at 31 August 2007 to the Group 31 August 2007

Group II – Property interests held and occupied by the Group in the PRC

2. An industrial complex located at RMB56,500,000 100% RMB56,500,000 Hediling, Bainikeng Village, (equivalent to (equivalent to Pinghu Town, Longgang District, approximately approximately Shenzhen City, Guangdong HK$58,260,000) HK$58,260,000) Province, the PRC

3. A parcel of land located at No commercial 100% Nil Shuangdong Town, Luoding City, value Guangdong Province, the PRC

4. Levels 1-4 of No.36 of Lane 2 RMB14,000,000 100% RMB14,000,000 Suide Road, Putuo District, (equivalent to (equivalent to Shanghai, the PRC approximately approximately HK$14,440,000) HK$14,440,000)

5. Room 101, Block 6, Spring RMB5,040,000 100% RMB5,040,000 Garden, Lane 999 Loushanguan (equivalent to (equivalent to Road, Changning District, approximately approximately Shanghai, the PRC HK$5,200,000) HK$5,200,000)

6. Units 115 and 116, No. 97 East RMB2,450,000 100% RMB2,450,000 Street, Jinjiang District, Chengdu (equivalent to (equivalent to City, Sichuan Province, the PRC approximately approximately HK$2,530,000) HK$2,530,000)

Sub-total: RMB77,990,000 RMB77,990,000 (equivalent to (equivalent to approximately approximately HK$80,430,000) HK$80,430,000)

– IV-6 – APPENDIX IV PROPERTY VALUATION

Capital Value Interest attributable to the Market Value as at Attributable Group as at 31 August 2007 to the Group 31 August 2007

Group III – Property interests leased and occupied by the Group in the PRC

7. No. 1 Gongye Road, No commercial 100% Nil Luochengzhen, Luoding City, value Guangdong Province, the PRC

8. Levels 2 to 5 (formerly known as No commercial 100% Nil Fei Ma Shopping Arcade) and value level 1 of the ancillary building together with the land parcel between the two buildings located at No. 10 Fenghua Road, Luocheng Town, Luoding City, Guangdong Province, the PRC

9. An industrial complex located at No commercial 100% Nil Nijiukeng, Hediling, Bainikeng value Village, Pinghu Town, Longgang District, Shenzhen, Guangdong Province, the PRC

10. Unit A2 on Level 10 of Block 5, No commercial 100% Nil Section 1101 of Block A of value Huapu Garden, Dongsishi, Dongcheng District, Beijing, the PRC

11. Unit 302, Yi Men 16 You, Xin No commercial 100% Nil Zhong Xi Street, Dongcheng value District, Beijing, the PRC

12. Unit 901 on Level 9 of Shengshi No commercial 100% Nil Building located at No. 35 Luxun value Road, Zhongshan District, Dalian City, Liaoning Province, the PRC

13. Unit 1 on Level 3 of Block Dong No commercial 100% Nil San located at No. 25 Yihe Street, value Zhongshan District, Dalian City, Liaoning Province, the PRC

Sub-total: Nil Nil

– IV-7 – APPENDIX IV PROPERTY VALUATION

Capital Value Interest attributable to the Market Value as at Attributable Group as at 31 August 2007 to the Group 31 August 2007

Group IV – Property interest leased and occupied by the Group in Singapore

14. An office and a warehouse unit No commercial 100% Nil located at Block 151 Pasir value Panjang Road, #03-18 Pasir Panjang Distripark, Singapore

Sub-total: Nil Nil

GRAND TOTAL: HK$90,810,000 HK$90,810,000

– IV-8 – APPENDIX IV PROPERTY VALUATION

VALUATION CERTIFICATE

Group I – Property interest held and occupied by the Group in Hong Kong

Particulars of Market value as at No. Property Description and Tenure occupancy 31 August 2007

1. Units A to F on 3rd The property comprises 15 The Property is HK$10,380,000 Floor, Units A to F on industrial units on the 3rd, 4th currently occupied by (100% interest 4th Floor and Units C, E and 6th Floor and 4 car the Group for storage attributable to the and F on 6th Floor and parking spaces on the Ground and ancillary office Group) Car Parking Space Nos. Floor of a 24-storey industrial use. 19, 21 to 23 on Ground building completed in 1979. Capital Value Floor of Mai Kei attributable to the Industrial Building, The property has a total gross Group as at No. 5 San Hop Lane, floor area of approximately 31 August 2007 Tuen Mun, New 20,395 sq.ft. Territories, Hong Kong HK$10,380,000 The property is held under 104 / 1,237th parts or New Grant No. 1720 for a shares of and in Castle term commencing from 1 July Peak Town Lot No. 44. 1898. By virtue of the New Territories (Extension) Ordinance, the said term has been extended without premium until 30 June 2047 at a new rent payable of HK$268 per annum.

Notes: According to the record in the Land Registry as at the latest practicable date, details of ownerships and encumbrances of the property are furnished as follows:

1. The registered owner of the property is Ming Fai Asia Pacific Company Limited (formerly known as Ming Fai Group Holdings Limited).

2. The property is subject to a Letter of Compliance vide Memorial No. TM187601 dated 4 August 1997.

3. The property is subject to a Mutual Covenant in favour of Anchor Ye Co. Ltd. vide Memorial No. TM194292 dated 23 August 1979.

– IV-9 – APPENDIX IV PROPERTY VALUATION

VALUATION CERTIFICATE

Group II – Property interests held and occupied by the Group in the PRC

Particulars of Market value as at No. Property Description and Tenure occupancy 31 August 2007

2. An industrial complex The property comprises two The property at RMB56,500,000 located at Hediling, parcels of lands together with present is occupied by (100% interest Bainikeng Village, 18 buildings and structures the Group for attributable to Pinghu Town, Longgang completed in 2003 erected industrial, storage, the Group) District, Shenzhen City, thereon. office, dormitory and Guangdong Province, ancillary uses. Capital Value the PRC The property has a total site attributable to the area and total gross floor area Group as at of approximately 53,242.8 31 August 2007 sq.m. and 58,438.99 sq.m. respectively. RMB56,500,000

One parcel of land with a site area of approximately 25,871.8 sq.m. (“Pinghu Land I”) has been granted to Ming Fai Shenzhen with land use rights for a term of 50 years expiring on 29 June 2050 for industrial use.

The remaining parcel of land with a site area of approximately 27,371 sq.m. (“Pinghu Land II”) has been leased to Ming Fai Shenzhen for a term of 50 years expiring on 31 December 2051 for industrial use.

Notes:

1. Pursuant to five Real Estate Ownership Certificates (Document Nos.: Shen Fang Di Zi No. 6000163689, 6000163690, 6000163691, 6000163692 and 6000163693), the land use rights of Pinghu Land I, the owned land with a Lot No. G05602-110 and having a site area of approximately 25,871.8 sq.m., has been granted to Ming Fai Enterprise (Shenzhen) Company Limited (“Ming Fai Shenzhen”) for a term of 50 years commencing from 30 June 2000 to 29 June 2050 for industrial use.

Furthermore, the ownerships to the following five buildings of the property having a total gross floor area of approximately 38,229.44 sq.m. are vested in Ming Fai Shenzhen. The particulars to those five buildings are as follows:

Gross No. of Real Estate Ownership Building Name Floor Area storey Certificate Remark (sq.m.) (Document No.)

Workshop No. 1 11,858.17 5 Shen Fang Di Zi No. 6000163689 Erected on Pinghu Land I Workshop No. 2 11,858.17 5 Shen Fang Di Zi No. 6000163690 Erected on Pinghu Land I Administrative Building 4,629.68 5 Shen Fang Di Zi No. 6000163691 Erected on Pinghu Land I Dormitory No. 2 4,941.71 5 Shen Fang Di Zi No. 6000163692 Erected on Pinghu Land I Dormitory No. 1 4,941.71 5 Shen Fang Di Zi No. 6000163693 Erected on Pinghu Land I

Sub-total: 38,229.44

– IV-10 – APPENDIX IV PROPERTY VALUATION

2. Other than those 5 buildings mentioned above, there are 6 other buildings having a total gross floor area of approximately 1,322.74 sq.m. erected on Pinghu Land I. As confirmed by the Ming Fai Shenzhen, these 6 buildings have not been awarded with relevant Real Estate Ownership Certificates. The particulars of those 6 buildings are as follows:

Gross No. of Real Estate Ownership Building Name Floor Area storey Certificate Remark (sq.m.) (Document No.)

Office Building and 485.22 2 N/A Erected on Pinghu Land I Electricity Transformer Room Paper Warehouse 601.30 1 N/A Erected on Pinghu Land I Dangerous Goods 168.24 1 N/A Erected on Pinghu Land I Warehouse Security Room 45.78 1 N/A Erected on Pinghu Land I Sentry Box 17.40 1 N/A Erected on Pinghu Land I Sentry Box 4.80 1 N/A Erected on Pinghu Land I

Sub-total: 1,322.74

We have ascribed no commercial value to these 6 buildings with a total gross floor area of approximately 1,322.74 sq.m.. As these buildings have not been awarded with relevant Real Estate Ownership Certificates and are forbidden to be transferred in the market. However, for indicative purpose, the depreciated replacement cost of these buildings as at the Date of Valuation is circa RMB800,000 assuming that they have obtained effective Real Estate Ownership Certificates and are entitled to freely transfer in the market.

3. Pursuant to a lease agreement entered into between Committee of Bainikeng Village, Pinghu Town, Longgang District, Shenzhen (Party C) and Ming Fai Shenzhen dated 26 September 2002, the remaining land parcel of the property (referred hereinafter as “Pinghu Land II”) with a site area of approximately 27,371 sq.m. has been leased from Party C to Ming Fai Shenzhen for a term of 50 years commencing from 1 January 2002 and expiring on 31 December 2051 at a total rent of RMB2,737,100 for industrial use.

4. There are another 7 buildings having a total gross floor area of approximately 18,886.81 sq.m. erected on Pinghu Land II and these buildings are without Real Estate Ownership Certificates. These buildings were built by Ming Fai Shenzhen. The particulars of those 7 buildings are as follows:

Gross No. of Real Estate Ownership Building Name Floor Area storey Certificate Remark (sq.m.) (Document No.)

Dormitory for Hong Kong 2,363.00 4 N/A Erected on Pinghu Land II Staff (portion 5-storey) Store 636.78 1 N/A Erected on Pinghu Land II Canteen & Kitchen 1,576.28 2 N/A Erected on Pinghu Land II Bathroom 1,220.20 1 N/A Erected on Pinghu Land II Big Warehouse 13,061.25 1 N/A Erected on Pinghu Land II Sentry Box 17.30 1 N/A Erected on Pinghu Land II Sentry Box 12.00 1 N/A Erected on Pinghu Land II

Sub-total: 18,886.81

We have ascribed no commercial value to the buildings with a total gross floor area of approximately 18,886.81 sq.m.. As these buildings were built by Ming Fai Shenzhen on the leased land. Hence, they will not be able to obtain Real Estate Ownership Certificates as the land portion to these buildings is not vested in Ming Fai Shenzhen. As a result, they are forbidden to be transferred in the market.

– IV-11 – APPENDIX IV PROPERTY VALUATION

However, for indicative purpose, the depreciated replacement cost of these buildings as at the Date of Valuation is circa RMB 14,800,000 assuming that they have obtained effective Real Estate Ownership Certificates and are entitled to freely transfer in the market.

5. According to the information provided by Ming Fai Shenzhen, a building with a gross floor area of approximately 250 sq. m. and falls within Pinghu Land I was under construction as at the Date of Valuation. The construction works is scheduled to be completed in end of 2007. The estimated total construction cost is approximately RMB306,381 and the construction cost incurred as at the Date of Valuation is RMB257,740.96. In the course of our valuation, we have not taken into account the said incurred construction costs.

6. According to the confirmation by Ming Fai Shenzhen, Party C (as the Lessor) of Pinghu Land II is an independent third party, which is not connected with and is independent of, any of the directors, or any of their respective associates of the Group.

7. Pinghu Land I and those 5 buildings erected thereon are subject to a mortgage vide Memorial Number (2005 Di 0155) in favour of Bank of China Shenzhen Branch for a term of 3 years commencing from 2 September 2005 and expiring on 2 September 2008.

8. We have been provided with a legal opinion on the property prepared by the Group’s PRC legal adviser, Zhong Lun Law Firm, which contains, inter alia, the following information:

(a) Ming Fai Shenzhen has legally obtained ownership to Pinghu Land I of the property and is entitled to transfer, mortgage, let and deal with Pinghu Land I of the property by other legal means. After completing relevant registration procedure and payment of relevant handling fee, Ming Fai Shenzhen does not require to pay any additional land premium or obtain any approval from government authority upon disposal of Pinghu Land I of the property. As confirmed by Ming Fai Shenzhen, Pinghu Land I of the property is not subject to requisition notice by the government or relevant bureau. The buildings erected on Pinghu Land II were self-constructed by Ming Fai Enterprise (Shenzhen) Company Limited. In accordance with Certain Regulations, Ming Fai Shenzhen shall pay the fine pursuant to the standard rate of RMB30/ sq.m. Pursuant to the confirmation issued by Ming Fai Shenzhen, the gross floor area of the buildings totaled 18,886.81sq.m. The total amount Ming Fai Shenzhen should pay was RMB566,604.30;

(b) The existing use of the property complies with the permitted use granted by law. It does not exist any dispute or potential entanglement or any restriction or possible restriction for Ming Fai Shenzhen to use the property;

(c) Ming Fai Shenzhen has completed necessary legal procedure to mortgage the property. The mortgage is effective and legal; and

(d) For Pinghu Land II currently leased to Ming Fai Shenzhen and 7 buildings erected thereon constructed by Ming Fai Shenzhen, Ming Fai Shenzhen can apply for the Real Estate Ownership Certificate according to “Certain Regulations for Dealing with Historical Illegal Buildings Structures of Manufacturing Operations of Shenzhen ( )” after payment of penalty and completing necessary land requisition and land grant procedures. Party C has titles over Pinghu Land II and has rights to lease to Ming Fai Shenzhen upon completion of the procedures for approval of conversion into construction land. Up to the date hereof, Party C has not yet completed the relevant approval procedures and our PRC legal advisers are unable to confirm the legality of the lease agreement of Pinghu Land II. Once Ming Fai Shenzhen obtained the real estate certificates for its building structures on Pinghu Land II, the lease by Party C can be legally confirmed.

9. According to the information provided, Ming Fai Shenzhen is a limited liability company incorporated in the PRC on 7 September 1992 and an indirect wholly-owned subsidiary of the Company.

– IV-12 – APPENDIX IV PROPERTY VALUATION

VALUATION CERTIFICATE

Particulars of Market value as at No. Property Description and Tenure occupancy 31 August 2007

3. A parcel of land located The property comprises a The property at No commercial value at Shuangdong Town, parcel of level land having a present is a piece of (100% interest Luoding City, Guangdong site area of approximately raw land. attributable to the Province, the PRC 100,000 sq.m. Group)

The property is a collective Capital Value land. The property will be attributable to the granted with land use rights Group as at for a term of 50 years 31 August 2007 commencing from the handover date for industrial Nil use.

Notes:

1. According to a Land Use Rights Transfer Agreement entered into between the Municipal Government of Shuangdong Town, Luoding City, Guangdong Province (Party A) and Pacific Harvest International Limited (Pacific Harvest) dated 30 May 2006, the property having a site area of not less than 150 Mu (equivalent to approximately 100,000 sq.m.) has been transferred from Party A to Pacific Harvest for a term of 50 years commencing from the handover date for industrial use at a consideration of RMB64,826 per Mu for land inside the red line drawing plan and RMB30,000 per Mu for land outside the red line drawing plan but inside the blue line drawing plan.

2. We have ascribed no commercial value to the property due to the nature of the property is a collective land which is not freely transferable in the market unless its nature has been converted into construction land. However, for indicative purpose, the market value of the property is circa RMB21,000,000 assuming the property is a State-owned construction land and has obtained the State-owned Land Use Right Certificate in Grant Nature, hence which can be freely transferred in the market.

3. We have been provided with a legal opinion on the property prepared by the Group’s PRC legal adviser, Zhong Lun Law Firm, which contains, inter alia, the following information:

(a) The Land Use Rights Transfer Agreement is legally binding on both parties, Pacific Harvest is entitled to occupy the property subject to the Land Use Rights Transfer Agreement;

(b) The property will be occupied by the Luoding Quality Amenities Company Limited (referred hereinafter as “Luoding Quality Amenities”). According to the information provided, Luoding Quality Amenities is a wholly-owned subsidiary company of Pacific Harvest, thus it is entitled to occupy the property subject to the Land Use Rights Transfer Agreement;

(c) The property has been applied to convert the nature of land from Agriculture Land to Construction Land. Luoding Quality Amenities is entitled to hold the land use right of the property upon the completion of the land resumption and land grant procedures. There is no foreseeable legal impediments for Luoding Qualities Amenities to complete such procedures; and

(d) It does not exist any dispute or potential entanglement or any restriction or possible restriction for Luoding Quality Amenities to use the property.

4. According to the information provided, Pacific Harvest is a limited liability company incorporated in Hong Kong on 23 March 2006 and an indirect wholly-owned subsidiary of the Company.

– IV-13 – APPENDIX IV PROPERTY VALUATION

VALUATION CERTIFICATE

Particulars of Market value as at No. Property Description and Tenure occupancy 31 August 2007

4. Levels 1-4, The property comprises a Levels 1 and 2 are RMB14,000,000 No.36 of Lane 2 Suide four-storey industrial building under internal (100% interest Road, completed in 2004. decoration and will be attributable to the Putuo District, ready for occupation Group) Shanghai, The property has a total gross in the 3rd Quarter of the PRC floor area of approximately 2007 as industrial Capital Value 3,199.23 sq.m. workshop, ancillary attributable to the office and storage Group as at The property has been granted uses. Levels 3 and 4 31 August 2007 with land use rights for a term are currently vacant. expiring on 9 November 2053 RMB14,000,000 for industrial and storage uses.

Notes:

1. According to four Shanghai Certificates of Real Estate Ownership (Document Nos.: Hu Fang Di Pu Zi (2006) Nos. 031628 & 031629 and Hu Fang Di Pu Zi (2007) Nos. 005348 & 005350), the property is erected amid a parcel of land with a Lot No. (Putuo District Zhenru Zhen 428 Jiefang 2/1 Qiu) and having a total site area of approximately 88,744 sq. m. for industrial and warehouse uses. The land use rights together with the building ownership to the property with a total gross floor area of approximately 3,199.23 sq.m. is vested in Ming Fai Enterprise (Shenzhen) Company Limited (referred hereinafter as “Ming Fai Shenzhen”) for a term of 50 years commencing from 10 November 2003 and expiring on 9 November 2053 for industrial and storage uses. Details of the above-mentioned certificates are summarised as follows:

Gross Floor Level Shanghai Certificate of Real Estate Ownership Area (Document Nos.) (sq. m.)

1 Hu Fang Di Pu Zi (2006) No. 031629 787.68 2 Hu Fang Di Pu Zi (2006) No. 031628 803.85 3 Hu Fang Di Pu Zi (2007) No. 005350 803.85 4 Hu Fang Di Pu Zi (2007) No. 005348 803.85

Total: 3,199.23

2. According to four Sale and Purchase Agreements dated 10 August 2006 and 23 January 2007 entered into between , (Shanghai Yahua Property Development Company Limited and Shanghai Jiandao Property Company Limited, collectively as the Vendor) and Ming Fai Shenzhen, Ming Fai Shenzhen agreed to purchase from the Vendor the property at a total consideration of RMB12,994,655. As confirmed by the Group, the Vendor is an Independent Third Party to the Group.

3. We have been provided with a legal opinion on the property prepared by the Group’s PRC legal adviser, Zhong Lun Law Firm, which contains, inter alia, the following information:

(a) Ming Fai Shenzhen has legally obtained ownership to the property and is entitled to transfer, mortgage, let and deal with the property by other legal means. After completing relevant registration procedure and payment of relevant handling fee, Ming Fai Shenzhen does not have to pay any additional land premium or obtain any approval from government authority upon disposal of the property. As confirmed by Ming Fai Shenzhen, the property is not subject to requisition notice by the government or relevant bureau; and

– IV-14 – APPENDIX IV PROPERTY VALUATION

4. According to the information provided, Ming Fai Shenzhen is a limited liability company incorporated in the PRC on 7 September 1992 and an indirect wholly-owned subsidiary of the Company.

– IV-15 – APPENDIX IV PROPERTY VALUATION

VALUATION CERTIFICATE

Particulars of Market value as at No. Property Description and Tenure occupancy 31 August 2007

5. Room 101, Block 6, The property comprises a The property is RMB5,040,000 Spring Garden, residential unit on the second occupied by the (100% interest Lane 999 Loushanguan floor of a five-storey Group as office. attributable to the Road, (including a garage floor) Group) Changning District, residential building completed Shanghai, in 2003. Capital Value the PRC attributable to the The property has a gross floor Group as at area of approximately 201.41 31 August 2007 sq.m. RMB5,040,000 The property has been granted with land use rights for a term expiring on 7 March 2071 for residential use.

Notes:

1. According to a Shanghai Certificate of Real Estate Ownership (Document No.: Hu Fang Di Chang Zi (2003) No. 030178), the property is erected amid a parcel of land with a Lot No. (Changning District Zhoujiaqiao Jiedao 94 Jietang 1/4 Qiu) and having a total site area of approximately 65,296 sq. m. for residential use. The land use rights together with the building ownership to the property with a gross floor area of approximately 201.41 sq.m. is vested in Ming Fai Enterprise (Shenzhen) Company Limited (referred hereinafter as “Ming Fai Shenzhen”) for a term of 70 years commencing from 8 March 2001 and expiring on 7 March 2071 for residential use.

2. According to a Sale and Purchase Agreement dated 7 November 2003 entered into between (as the Vendor) and Ming Fai Shenzhen, Ming Fai Shenzhen agreed to purchase from the Vendor the property at a consideration of RMB2,210,000. As confirmed by the Group, the Vendor is an Independent Third Party to the Group.

3. We have been provided with a legal opinion on the property prepared by the Group’s PRC legal adviser, Zhong Lun Law Firm, which contains, inter alia, the following information:

(a) Ming Fai Shenzhen has legally obtained ownership to the property and is entitled to transfer, mortgage, let and deal with the property by other legal means. After completing relevant registration procedure and payment of relevant handling fee, Ming Fai Shenzhen does not require to pay any additional land premium or obtain any approval from government authority upon disposal of the property. As confirmed by Ming Fai Shenzhen, the property is not subject to requisition notice by the government or relevant bureau; and

4. According to the information provided, Ming Fai Shenzhen is a limited liability company incorporated in the PRC on 7 September 1992 and an indirect wholly-owned subsidiary of the Company.

– IV-16 – APPENDIX IV PROPERTY VALUATION

VALUATION CERTIFICATE

Particulars of Market value as at No. Property Description and Tenure occupancy 31 August 2007

6. Units 115 and 116, The property comprises two The property is under RMB 2,450,000 No.97 East Street, commercial units on the internal decoration (100% interest Jinjiang District, Ground Floor of a and will be ready for attributable to the Chengdu City, twenty-storey composite occupation in 3rd Group) Sichuan Province, building completed in 2005. Quarter of 2007 as the PRC retail shop. Capital Value The property has a total gross attributable to the floor area of approximately Group as at 118.72 sq.m. 31 August 2007

The property has been granted RMB2,450,000 with land use rights for a term expiring on 20 March 2044 for commercial use.

Notes:

1. According to a State-owned Land Use Right Certificate (Document No.: Cheng Guo Yong (2007) No. 101) vested in (Sichuan Langnang Hejun Enterprise Company Limited) (as the Developer), the property is erected amid a parcel of land having a total site area of approximately 11,874.92 sq. m. for commercial and other commercial services (office) uses. The land use rights to the property has been granted for a term of 40 years expiring on 20 March 2044. As confirmed by the Developer, the individual State-owned Land Use Right Certificate vested in Ming Fai Enterprise (Shenzhen) Company Limited (referred hereinafter as “Ming Fai Shenzhen”) will be awarded in the end of 2007.

2. According to two Building Ownership Certificates (Document Nos.: Cheng Fang Quan Zheng Jian Zheng Zi Nos. 1415430 and 1415431), the building ownership to the property with a total gross floor area of approximately 118.72 sq.m. is vested in Ming Fai Shenzhen for commercial use. Details of the above-mentioned certificates are summarized as follows:

Gross Floor Unit Building Ownership Certificate Area (Document Nos.) (sq.m.)

115 Cheng Fang Quan Zheng Jian Zheng Zi No.1415431 59.29 116 Cheng Fang Quan Zheng Jian Zheng Zi No. 1415430 59.43

Total: 118.72

3. According to two Sale and Purchase Agreements dated 29 April 2005 entered into between (Sichuan Langnang Hejun Enterprise Company Limited) (as the Vendor) and Ming Fai Shenzhen, Ming Fai Shenzhen agreed to purchase from the Vendor the property at a consideration of RMB2,380,000. As confirmed by the Group, the Vendor is an Independent Third Party to the Group.

4. We have been provided with a legal opinion on the property prepared by the Group’s PRC legal adviser, Zhong Lun Law Firm, which contains, inter alia, the following information:

– IV-17 – APPENDIX IV PROPERTY VALUATION

(a) Pursuant to the documents provided by the Company, the property was acquired by Ming Fai Shenzhen from the Developer. The Developer has obtained the State-owned Land Use Right Certificate and the issuance of individual State -owned Land Use Right Certificate vested in Ming Fai Shenzhen is in the process. In practice, the owner of the property has to obtain the Building Ownership Certificate before the State -owned Land Use Right Certificate;

(b) Pursuant to the People’s Republic of China City Real Estate Administration Regulation, the purchaser of a property once has obtained the Building Ownership Certificate and is entitled to freely transfer, mortgage, let and deal with property by other legal means;

(c) Ming Fai Shenzhen has obtained the Building Ownership Certificates and legally obtained ownership to the property and is entitled to freely transfer, mortgage, let and deal with the property by other legal means. Ming Fai Shenzhen has not obtained the State-owned Land Use Right Certificate of the property. It does not affect its legal rights to deal with the property;

(d) After completing relevant registration procedure and payment of relevant handling fee, Ming Fai Shenzhen does not have to pay any additional land premium or obtain any approval from government authority upon disposal of the property. As confirmed by Ming Fai Shenzhen, the property is not subject to requisition notice by the government or relevant bureau; and

(e) The existing use of the property complies with the permitted use granted by law. It does not exist any dispute or potential entanglement or any restriction or possible restriction for Ming Fai Shenzhen to use the property.

5. According to the information provided, Ming Fai Shenzhen is a limited liability company incorporated in the PRC on 7 September 1992 and an indirect wholly-owned subsidiary of the Company.

– IV-18 – APPENDIX IV PROPERTY VALUATION

VALUATION CERTIFICATE

Group III – Property interests leased and occupied by the Group in the PRC

Particulars of Market value as at No. Property Description occupancy 31 August 2007

7. No. 1 Gongye Road, The property comprises the en The property is leased No commercial value Luochengzhen, bloc of a 11-storey building to the Group from an Luoding City, Guangdong completed in 1989. Independent Third Province, the PRC Party for a term of According to the building three years ownership certificate granted commencing from 1 to the property and mentioned September 2006 to 30 in Note 1, the property has a September 2009 at a total gross floor area of monthly rent of RMB approximately 12,401.3 sq.m. 25,000 for the first year and RMB 30,000 for the second and third years.

The property at present is occupied by the Group for industrial, storage and office uses.

Notes:

1. According to a Building Ownership Certificate (Document No.: Yue Fang Zi No. 1153248), the building ownership to the property with a total gross floor area of approximately 12,401.3 sq.m. is vested in (Luoding Merchants Building).

2. According to a tenancy agreement entered into between (Bureau of External Economic Development of Luoding City) (the “Lessor”) and Luoding Quality Amenities Company Limited (the “Lessee”), the Lessee has leased the property from the Lessor – an Independent Third Party, which is not connected with and is independent of, any of the directors, or any of their respective associates of the Group.

3. We have been provided with a legal opinion on the property prepared by the Group’s PRC legal adviser, Zhong Lun Law Firm, which contains, inter alia, the following information:

(a) The property was constructed by the predecessor of the Lessor in the name of Management Team of Merchants Building of Luoding External Economic Committee ( ) in 1987. Due to mistaken registration, the relevant building owner certificate issued to the property was registered in the name of Luoding Merchants Building. However, Luoding Merchants Building had not made any business registration as an operating entity and in the premises the real title owner of the property should be the Lessor.

(b) The Lessor has real and beneficial ownership of the property and the relevant tenancy agreement is legal and valid. The Lessor can let the property;

(d) It does not exist any dispute or potential entanglement or any restriction or possible restriction for the Lessee to use the property.

4. According to the information provided, the Lessee is a limited liability company incorporated in the PRC on 1 August 2006 and an indirect wholly-owned subsidiary of the Company.

– IV-19 – APPENDIX IV PROPERTY VALUATION

VALUATION CERTIFICATE

Particulars of Market value as at No. Property Description occupancy 31 August 2007

8. Levels 2 to 5 (formerly The property comprises levels The property is leased No commercial value known as Fei Ma 2 to 5 of a 5-storey building to the Group from an Shopping Arcade) and and level 1 of another 5-storey Independent Third level 1 of the ancillary building both completed in Party for a term of building together with the 1985 together with a parcel of three years land parcel between the land between these two commencing from 1 two buildings located at buildings. September 2006 to 31 No. 10 Fenghua Road, August 2009 at a Luocheng Town, Luoding The property has a total monthly rent of City, Guangdong lettable area and site area of RMB6,500. The Province, the PRC approximately 1,280 sq.m. and property is subject to 80 sq.m. respectively. a decoration period commencing from 5 August 2006 and expiring on 31 August 2006.

The property at present is occupied by the Group as dormitory and canteen.

Notes:

1. According to a State-owned Land Use Right Certificate (Document No.: Luo Fu Guo Yong (94) Zi No. 1410) and a Building Ownership Certificate (Document No.: Yue Fang Zi No. 3115606), the building ownership to the property with a total gross floor area of approximately 1,791.97 sq.m. is vested in (State-operated Fei Ma Lin Chang), which later change its name to (Yunfu City State-owned Feima Linchang).

2. According to a tenancy agreement entered into between (Yunfu City State-owned Feima Linchang) (the “Lessor”) and Luoding Quality Amenities Company Limited (as the “Lessee”), the Lessee has leased the property from the Lessor – an Independent Third Party, which is not connected with and is independent of, any of the directors, or any of their respective associates of the Group.

3. We have been provided with a legal opinion on the property prepared by the Group’s PRC legal adviser, Zhong Lun Law Firm, which contains, inter alia, the following information:

(a) The tenancy agreement is valid and legally binding on both parties and the Lessor can let the property;

(b) The tenancy agreement has been duly registered in the relevant government organisation; and

(c) It does not exist any dispute or potential entanglement or any restriction or possible restriction for the Lessee to use the property.

4. According to the information provided, the Lessee is a limited liability company incorporated in the PRC on 1 August 2006 and an indirect wholly-owned subsidiary of the Company.

– IV-20 – APPENDIX IV PROPERTY VALUATION

VALUATION CERTIFICATE

Particulars of Market value as at No. Property Description occupancy 31 August 2007

9. An industrial complex The property comprises a The land parcel and No commercial value located at Nijiukeng, parcel of land together with 5 three of the buildings Hediling, Bainikeng buildings erected thereon. having a site area and Village, total gross floor area Pinghu Town, Longgang The property has a site area of approximately District, Shenzhen, and total gross floor area of 4,400 sq.m. and 2,376 Guangdong Province, approximately 4,400 sq.m. and sq.m. respectively is the PRC 11,062.2 sq.m. respectively. leased from an independent third party to

(Ming Fai Plastic Industrial Co.) (a related party to the Group, referred hereinafter as the “Head-lessee”) and then sub-leased to Ming Fai Enterprise (Shenzhen) Company Limited (the “Sub-lessee”). (Detail of the tenancy, please refer to Note 2).

The other two buildings with a total gross floor area of 8,686.2 sq. m. were sub-leased from the Head-lessee to the Sub-lessee for a term of 2 years expiring on 31 December 2008. Detail of the tenancy, please refer to Note 5.

The property at present is occupied by the Group for production, warehouse, dormitory and ancillary uses.

– IV-21 – APPENDIX IV PROPERTY VALUATION

Notes:

1. Pursuant to a tenancy agreement entered into between the Village Committee of Bainikeng Pinghu Town, Baoan County (an independent third party, referred hereinafter as the “Lessor”) and (Ming Fai Plastic Industrial Co. which is a related party to the Group, referred hereinafter as the “Head-lessee”), the land parcel together with three buildings of the property having a site area and total gross floor area of approximately 4,400 sq.m. and 2,376 sq.m. respectively were leased from the Lessor to the Head-lessee for a term of 50 years commencing from 10 January 1993 to 9 January 2042 at a total rent of RMB 2,234,320. Detail particulars of the buildings are as follows:

Gross Floor Year of No. of Building Name Area completion storey Remark (sq.m.)

Electricity Transformer 99 1993 1 Sub-leased to the Group Room Ancillary Office 1993 3 Sub-leased to the Group Workshop No. 1 2,277 1993 3 Sub-leased to the Group

Total 2,376

2. Pursuant to a sub-lease agreement entered into between the Head-lessee and Ming Fai Enterprise (Shenzhen) Company Limited (referred hereinafter as the “Sub-lessee”), the land parcel and three buildings mentioned in Note 1 above having a site area and total gross floor area of approximately 4,400 sq.m. and 2,376 sq.m. respectively is sub-leased from the Head-lessee to the Sub-lessee for a term of 20 years commencing from 10 January 1993 to 9 January 2013 at a total rent of RMB 2,234,320.

3. According to the information provided by the Group, there are other two buildings having a total gross floor area of approximately 8,686.2 sq.m. erected on the site. These buildings were built by the Head-lessee in 1996 and 2001. The particulars are as follows:

Gross Floor Year of No. of Building Name Area completion storey Remark (sq.m.)

Workshop No. 2 8,484.2 1996 5 Built by the Head-lessee Workshop No. 3 202 2001 1 Built by the Head-lessee

Total 8,686.2

For indicative purpose, the depreciated replacement costs of these two buildings as at the Date of Valuation is circa RMB5,380,000 assuming these two buildings have obtained the relevant title certificates and are freely transferable in the market.

4. Pursuant to another sub-lease agreement entered into between the Head-lessee and Sub-lessee, the Sub-lessee has leased Workshop No. 2 and Workshop No. 3 mentioned in Note 3 above from the Head-lessee for a term of two years commencing from 1 January 2007 and expiring on 31 December 2008 at a monthly rent of RMB60,803.

5. We have been provided with a legal opinion on the property prepared by the Group’s PRC legal adviser, Zhong Lun Law Firm, which contains, inter alia, the following information:

(a) Pursuant to the lease agreement mentioned in Note 1 above, the Lessor agreed to lease the property to the Head-lessee and in return obtained the management fee and other consideration. The Lessor agreed the Sub-lessee has the right to use the property;

– IV-22 – APPENDIX IV PROPERTY VALUATION

(b) The Lessor can apply for the Real Estate Ownership Certificate according to “Certain Regulations for Dealing with Historical Illegal Buildings Structures of Manufacturing Operations of Shenzhen ( )” after payment of penalty and completing necessary land requisition and land grant procedure; and

(c) It does not exist any dispute or any restriction or possible restriction that will affect the Sub-lessee to use the property.

(d) a total gross floor area of approximately 2,376 sq.m. (including workshops, office, electricity transformer room) were constructed by the Lessor. The amount of fines payable by the Lessor in respect of the illegal buildings on collective agricultural land is RMB10 per sq.m. of gross floor area. Ming Fai Shenzhen is not responsible for the fines. A total gross floor area of approximately 8686.2 sq.m. of industrial workshops were constructed by Ming Fai Plastic Industrial Co, the original shareholder of Ming Fai Shenzhen, which shall be responsible for the fines of RMB30 per sq.m. of gross floor area in the total sum of approximately RMB260,586.

6. According to the information provided, Ming Fai Shenzhen is a limited liability company incorporated in the PRC on 7 September 1992 and an indirect wholly-owned subsidiary of the Company.

– IV-23 – APPENDIX IV PROPERTY VALUATION

VALUATION CERTIFICATE

Particulars of Market value as at No. Property Description occupancy 31 August 2007

10. Unit A2 on Level 10 of The property comprises an The property is leased No commercial value Block 5, Section 1101 of unit located at Level 11 of a to the Group from a Block A of Huapu 23-storey buildings completed connected party for a Garden, Dongsishi, in 2003. term of 2 years Dongcheng District, commencing from 1 Beijing, the PRC The property has a gross floor January 2007 to 31 area of approximately 199.94 December 2008 at a sq.m. monthly rent of RMB11,000.

The property at present is occupied by the Group as office.

Notes:

1. According to a Sale and Purchase Agreement (Document No.: 011453), (Liu Zigang) agreed to purchase the building ownership to the property with a total gross floor area of approximately 199.94 sq. m. from the vendor (Beijing Zhongdi Real Estate Development Company Limited).

2. According to a tenancy agreement entered into between Liu Zigang (the “Lessor”) and Ming Fai Enterprise (Shenzhen) Company Limited (referred hereinafter as the “Lessee”), the Lessee has leased the property from the Lessor – a connected party, which is one of the directors of the Group.

3. We have been provided with a legal opinion on the property prepared by the Group’s PRC legal adviser, Zhong Lun Law Firm, which contains, inter alia, the following information:

(a) Pursuant to the Sale and Purchase Agreement, the property was purchased by the Lessor. The Lessor has not obtained Building Ownership Certificate or any building works commencement permit, hence the Lessor does not has the right to let the property to the Lessee.

(b) The property is subject to a mortgage in favour of the Industrial and Commercial Bank of China Beijing Wangfujing Branch for a term expiring on 13 September 2018. The Lessor has registered the mortgage in the relevant government organization.

(d) It does not exist any dispute for Liu Zigang to purchase and Ming Fai Shenzhen to use the property. Furthermore, other than the mortgage mentioned above, the property is not subject to any restriction or possible restriction that will affect Ming Fai Shenzhen to use the property.

(e) The Lessor has obtained the necessary legal procedure to mortgage the property. The mortgage is effective and legal.

(f) Under the PRC Administrative Laws on Urban Property, the Urban Property Law and the Measures for Administration of Leases of Buildings in Urban Areas promulgated by the Ministry of Construction (Order 42 of 1995) and the other laws and regulations in respect of leases of buildings, the leases of urban buildings (including residential housing) for business operations are not prohibited, and the legal liability arising from the discrepancy between the uses of leases and the original uses of the property is not provided. In fact, a large number of urban buildings are leased for establishing companies for business operations. Accordingly, the lease of the property by the Beijing Branch of Ming Fai Shenzhen as an office does not breach the prohibitive requirement of the laws and regulations of the PRC.

4. According to the information provided, Ming Fai Shenzhen is a limited liability company incorporated in the PRC on 7 September 1992 and an indirect wholly-owned subsidiary of the Company.

– IV-24 – APPENDIX IV PROPERTY VALUATION

VALUATION CERTIFICATE

Particulars of Market value as at No. Property Description occupancy 31 August 2007

11. Unit 302, Yi Men 16 The property comprises a unit The property is leased No commercial value You, Xin Zhong Xi on Level 3 of a 7-storey to the Group from an Street, Dongcheng residential building completed independent third District, Beijing, the PRC in 2000. party for a term of one year commencing The property has a total gross from 1 March 2007 to floor area of approximately 28 February 2008 at a 58.61 sq.m. monthly rent of RMB1,800.

The property at present is occupied by the Group as staff quarters.

Notes:

1. According to a Building Ownership Certificate (Document No.: Jing Fang Quan Zheng Dong Si Cheng Zi No. 08368), the building ownership to the property with a total gross floor area of approximately 58.61 sq. m. is vested in (Zhang Rui Chun) for residential use. The property is erected amid a parcel of land with a Lot No. I-2-2-14(2).

2. According to a tenancy agreement entered into between Zhang Rui Chun (the “Lessor”) and (Ming Fai Company Limited Beijing Office, referred hereinafter as the “Lessee”), the Lessee has leased the property from the Lessor – an independent third party, which is not connected with and is independent of, any of the directors, or any of their respective associates of the Group.

3. We have been provided with a legal opinion on the property prepared by the Group’s PRC legal adviser, Zhong Lun Law Firm, which contains, inter alia, the following information:

(a) The Lessor has obtained Building Ownership Certificate to the property. The tenancy agreement is valid and legally binding on both parties and the Lessor can let the property;

(b) The tenancy agreement has not been duly registered in the relevant government organization; and

(c) It does not exist any dispute or potential entanglement or any restriction or possible restriction for the Lessee to use the property.

4. According to the information provided, the Lessee is a limited liability company incorporated in the PRC on 1 Feb 1999 and an indirect wholly-owned subsidiary of the Company.

– IV-25 – APPENDIX IV PROPERTY VALUATION

VALUATION CERTIFICATE

Particulars of Market value as at No. Property Description occupancy 31 August 2007

12. Unit 901 on Level 9 of The property comprises an The property is leased No commercial value Shengshi Building unit on Level 9 of a 24-storey to the Group from an located at No. 35 Luxun residential building completed independent third Road, Zhongshan in 2002. party for a term of District, Dalian City, one year commencing Liaoning Province, the The property has a total gross from 10 August 2006 PRC floor area of approximately to 9 August 2007 at 161.86 sq.m. for residential an annual rent of use. RMB65,000 inclusive of management fee, real estate tax and personal income tax.

The property at present is occupied by the Group as office.

Notes:

1. According to a Building Ownership Certificate (Document No.: Da Fang Quan Zheng Zhong Si Zi No. 2005107674), the building ownership to the property with a total gross floor area of approximately 161.86 sq. m. is vested in (Xie Hong Lian) for residential use. The property is erected amid a parcel of land with a Lot No. 7-43-3.

2. According to a tenancy agreement entered into between Xie Hong Lian (the “Lessor”) and (Ming Fai Enterprise (Shenzhen) Company Limited Dalian Office, referred hereinafter as the “Lessee”), the Lessee has leased the property from the Lessor – an independent third party, which is not connected with and is independent of, any of the directors, or any of their respective associates of the Group.

3. We have been provided with a legal opinion on the property prepared by the Group’s PRC legal adviser, Zhong Lun Law Firm, which contains, inter alia, the following information:

(a) The Lessor has obtained Building Ownership Certificate to the property. The tenancy agreement is valid and legally binding on both parties and the Lessor can let the property;

(b) The property is subject to a mortgage in favor of Bank of China Dalian City Zhongshan Plaza Branch for a term expiring on 8 March 2033. The Lessor has registered the mortgage in the relevant government organization;

(d) It does not exist any dispute or potential entanglement or any restriction or possible restriction for Ming Fai Shenzhen to use the property; and

(e) The Lessor has completed necessary legal procedures to mortgage the property. The mortgage is effective and legal.

– IV-26 – APPENDIX IV PROPERTY VALUATION

urban buildings are leased for establishing companies for business operations. Accordingly, the lease of the property by the Dalian Branch of Ming Fai Shenzhen as an office does not breach the prohibitive requirement of the laws and regulations of the PRC.

4. According to the information provided, the Lessee is a limited liability company incorporated in the PRC on 1 August 2006 and an indirect wholly-owned subsidiary of the Company.

– IV-27 – APPENDIX IV PROPERTY VALUATION

VALUATION CERTIFICATE

Particulars of Market value as at No. Property Description occupancy 31 August 2007

13. Unit 1 on Level 3 of The property comprises a unit The property is leased No commercial value Block Dong San located on Level 3 of a 7-storey to the Group from an at No. 25 Yihe Street, residential building completed independent third Zhongshan District, in 1998. party for a term of Dalian City, Liaoning one year commencing Province, the PRC The property has a total gross from 15 April 2007 to floor area of approximately 14 April 2008 at a 110 sq.m. monthly rent of RMB1,400 inclusive of management fee, heat charges and building maintenance charges.

The property at present is occupied by the Group as staff quarters.

Notes:

1. According to a Building Ownership Certificate (Document No.: Da Fang Quan Zheng Zhong Si Zi No. 2006101223) the building ownership to the property with a total gross floor area of approximately 110 sq. m. is vested in (Liu Yin Yan) for residential use. The property is erected amid a parcel of land with a Lot No. 24-23-9.

2. According to a tenancy agreement entered into between Liu Yin Yan (the “Lessor”) and (Ming Fai Enterprise (Shenzhen) Company Limited Dalian Office, referred hereinafter as the “Lessee”), the Lessee has leased the property from the Lessor – an independent third party, which is not connected with and is independent of, any of the directors, or any of their respective associates of the Group.

3. We have been provided with a legal opinion on the property prepared by the Group’s PRC legal adviser, Zhong Lun Law Firm, which contains, inter alia, the following information:

(a) The Lessor has obtained Building Ownership Certificate to the property. The tenancy agreement is valid and legally binding on both parties and the Lessor can let the property;

(b) The tenancy agreement has not been duly registered in the relevant government organization; and

(c) It does not exist any dispute or potential entanglement or any restriction or possible restriction for Ming Fai Shenzhen to use the property.

4. According to the information provided, the Lessee is a limited liability company incorporated in the PRC on 1 August 2006 and an indirect wholly-owned subsidiary of the Company.

– IV-28 – APPENDIX IV PROPERTY VALUATION

VALUATION CERTIFICATE

Group IV – Property interest leased by the Group in Singapore

Particulars of Market Value as at No. Property Description occupancy 31 August 2007

14. An office and a The property comprises of an The property is leased No commercial value. warehouse unit located at office and a warehouse unit to the Group from an Block 151 Pasir Panjang located on the third storey of independent third Road, #03-18 Pasir Block 151 completed in 2000 party for a term of 2 Panjang Distripark, within Pasir Panjang years commencing Singapore Distripark, Singapore. from 1 August 2006 to 31 July 2008 at a The development is located at monthly rental of the southern side of the island. S$7,500 inclusive of It is about 6 kilometres away monthly service from the city centre at Collyer charge. Quay. The property is The office unit generally currently occupied by accommodates a reception the Group as an office area, general office area and 2 and storage area. partitioned offices; whilst the warehouse unit accommodates a general storage area and a partitioned room.

Details of the two units’ floor areas are as follows:

Floor area (sq.m.)

Office 430 sq. m. Warehouse 130 sq. m.

Total 560 sq. m.

Notes:

1. As confirmed by the Company, the current registered Owner and Lessor of the property is Bougainvillea Realty Pte Ltd and the registered Lessee is Quality Amenities Supply Pte. Ltd.

2. According to a tenancy agreement entered into between Bougainvillea Realty Pte Ltd (the “Lessor”) and Quality Amenities Supply Pte. Ltd. (as the “Lessee”), the Lessee has leased the property from the Lessor - an independent third party, which is not connected with and is independent of, any of the directors, or any of their respective associates of the Group.

3. We have been provided with a legal opinion on the property prepared by the Group’s Singapore legal adviser, which states that the tenancy agreement constitutes the legal, valid, binding obligations of the parties thereto and is in proper form for the enforcement in the courts of Singapore.

4. According to the information provided, the Lessee is a limited liability company incorporated in Singapore on 9 February 2004 and an indirect wholly-owned subsidiary of the Company.

– IV-29 –