We have a 32.5% equity stake in a Sino-foreign joint venture, Nanjing SR Puzhen Rail Transport Co., Ltd. (“NPRT”), which started commercial production in FY2007.

Through NPRT, we are able to further entrench our position in the PRC railway industry as NPRT is one of the four rolling stock companies in the PRC licensed to manufacture and sell metro trains on a nationwide basis. In addition, we are currently the only aluminium alloy extrusion product manufacturer that has a significant strategic investment in the limited few licensed train manufacturers in the PRC.

Many PRC cities have plans to build metro lines to facilitate urban transportation; we believe that NPRT will be a direct beneficiary of the high growth metro train industry in the PRC given the limited number of players in the market.

Since inception, NPRT, together with its consortium partners, has secured several high profile metro train projects in the PRC, namely:

• Nanjing Metro Line 2 Project
• Shanghai Metro Line 10 Project
• Nanjing Metro Line 1 Extension Project
• Shanghai Metro Line 2 Eastern Extension Project
• Shenzhen Metro Line 4 Phase 2 Project
• Hangzhou Metro Line 1 Project
• Pearl River Delta Inter-City Train Project (Dongguan-Shenzhen Section)
• Dongguan-Huizhou Inter-City Train Project
• Shanghai Metro Line 13 Project
• Nanjing Metro Line 3 Project
• Nanjing Metro Line 10 Project