Yongda Bulletin

* July 9. The Company started trial operation of the ISO9000 quality assurance management system. (7/10/2001)

* June 11-18. Led by General Manager SunYong, a delegation of the Company attended Heilongjiang—Guangdong Economic and Trade Fair in Harbin. At the Fair, our Hi-Super Brand “Fuel Saving King” diesel/heavy oil additive and Hi-Super Brand oil disparsal agent attracted extensive attention from attendants of all circles, who were eager to establish business relations with the Company for a joint development of the northeast market. (6/20/2001)

* June 7. Guangzhou Ocean Ocean Transportation Group invited the Company to attend its Chief Engineers Forum, 2nd Quarter, 2001. At the Forum, we presented to the attending chief engineers, maintenance directors and senior officers of the Group detailed introductions to the Company’s development and current status, directions to inspection test and use of Hi-Super Brand “Fuel Saving King” diesel/heavy oil additive, as well as information on use of the product in the Group. Mr. Dingnong, the Group’s General Manager, Maintenance, made new instructions and higher requirements on further use of Hi-Super Brand “Fuel Saving King” diesel/heavy oil additive. (6/9/2001)

* The Company will implement a new sales management system for the year 2001. (4/23/2001)

* Promoted and tested on board in China Shipping Container Transportation Corp., Hi-Super Brand “Fuel Saving King” diesel/heavy oil additive has produced satisfactory performance. Center of Monitoring Energy Utilization in Waterway Transportation Industry under the Ministry of Communications conducted a test on board “Xiangyue” showing that the product offers an oil saving rate of 4.69%. As reported by “Xianghu”, Xiang’an and other ships, the additive offered enhanced combustion, lowered discharge temperature and fundamental removal of carbon deposit on oil head, cylinder housing and other positions, and operating efficiency was therefore improved. (4/20/2001)

* The Company’s work on ISO9000 certification 2000 version has entered the essential stage. On April 13-16, Mr. Yan Changfu, Senior Engineer of Zhuhai Technical Supervision Bureau, came to the Company to offer a training course on ISO9000 certification. General Manager Sun Yong, Deputy General Manager Zhang Dong, Chief Engineer Mi Shuyuan and the whole staff attended the course. (4/19/2001)

* The Company organized job training for salesmen and provided customers and agents with free training on product application and related knowledge. (4/15/2001)

* Invited by Wuhan Changjiang Shipping Group, Executive Director Mr. Sun Yong travelled to Wuhan to meet senior officers of the Group for negotiation on a bilateral cooperation. (4/9/2001)

* The Company extended the purchase and sales contracts on Hi-Super Brand “Fuel Saving King” diesel/heavy oil additive for the year 2001 respectively with China Shipping Cargo Co. Ltd. and Guangzhou Taihua Oil Transportation Co. Ltd. The total transaction volume reached 17.5 million yuan. (4/4/2001)

* Hi-Super Brand “Fuel Saving King” diesel/heavy oil additive has passed the reexamination to be once again listed in the 3rd group of key in-use vehicular and marine energy saving products promoted during the 9th Five-Year Plan period. It is also the only diesel/heavy oil additive published by the Ministry of Communications. (4/1/2001)
* The Company invited famous economists in China to revise its long-range strategic development plan for the 21st century, laying the foundation for its future growth. (3/26/2001)
* To ensure its success in ISO9001 and ISO14001 certifications, the Company organized for the second time personnel from production, sales and other departments to attend the internal auditor training course offered by Zhuhai Technical Supervision Bureau. All these trainees have obtained the qualification of internal auditor. (3/23/2001)
* A report from Wuhan Changjiang Shipping Group Corporation indicates that Wuhan Waterway Transportation Monitoring Center conducted a contrast test of oil saving effects on Jianghan 62 using Hi-Super Brand “Fuel Saving King” diesel/heavy oil additive, which showed that the product produced an oil saving rate of 4.2%. The economic benefits analysis report prepared by Wuhan Passenger Transport Co. Ltd. under the Group shows that the additive is effective in saving fuel expenses and removing carbon deposit, which helps reduce abrasion of machine parts for extending the maintenance cycle improvement of operating efficiency and lowering of spare parts cost. It paves the way for the product’s overall entry into the inland water transport industry. (3/21/2001)

   Energy Saving and Environmental Protection

* The Ministry of Construction declared that resources economizing residence would become the mainstream of housing construction in China. (4/1/2001)

* According to the state authority, key points of conservation and utilization of resources in 2001 are: 1. Exert best efforts in industrial water economizing; 2. With emphasis on developing clean coal technology to save and substitute for petroleum, continue to drive energy conservation; 3. Aiming at improving resources utilization efficiency, advance the comprehensive utilization of resources; 4. Exert best efforts to develop environmental protection industry and new energy industry to nurture new points of economic growth; 5. Promote clean operation and guide enterprises to actively prevent and treat industrial pollution. (3/30/2001)