Guangzhou Friendship Group Co., Ltd. is principally engaged in the operation of department stores. The Company primarily operates its department store business in Guangzhou, Guangdong Province and Nanning, Guangxi Province, China. The Company has five stores: Guangzhou Friendship Huanshi East Store, Guangzhou Friendship Times Square Store, Guangzhou Friendship Grandview Store, Guangzhou Friendship Nanning Store and Guangzhou Friendship International Finance Center Store. As of December 31, 2010, the Company had three major subsidiaries and associates, engaged in the leasing of commercial places, the wholesaling and retailing, transit trading and commercial trading, real estate operation, as well as property management, among others.