On June 2, 2007, Fujian SBS Zipper Science & Technology Co., Ltd passed the proposal of setting up subsidiaries in Dongguan and Tianjin, that is, to establish Dongguan SBS Zipper Science & Technology Co., Ltd in Dongguan and to invest to build Tianjin SBS Zipper Science & Technology Co., Ltd in Tianjin together with Mr. Shi Mingqu.

The registered capital of Dongguan SBS is RMB50 million, with the total investment of RMB 116.2942 million. It plans to build up a production line with the annual capacity of 56.23 million pieces of metal zippers and 469.066 million pieces of nylon zippers. The annual newly-increased sales revenue will reach RMB 300 million (including tax) after this project completes. The registered capital of Tianjin SBS is RMB 200 million, of which Fujian SBS invests RMB199 million, occupying 99.5% shares of the total.