Qinghai Huading Industrial Company Limited - Operations

Operations

The Company's main products include machine tools, food processing machines, elevator components and gearboxes. The Company operates its businesses mainly in the domestic market. During the year ended December 31, 2007, approximately 57% and 43% of the Company's total revenue were from Qinghai Province and Guangdong Province, China, respectively. As of December 31, 2007, the Company had six major subsidiaries and associates, engaged in mechanical product manufacture.

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