Summary of Comprehensive Credit Facility Agreement between Shenzhen BAK Battery
Co., Ltd. and Shuibei Branch, Shenzhen Commercial Bank (“Commercial Bank”) dated
May 15, 2007.
 
Summary of the articles omitted:
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Contract number: Shen Shangyin (Shuibei) Shouxinzi (2007) A110020700007

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Maximum amount for credit facilities to be provided: RMB200 million;

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Term: a year starting from May 15, 2007;

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Interest rate of loan: to be determined by each loan agreement/contract to be
signed under this credit facility agreement;

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Adjustment of credit can be made by the Commercial Bank under the any of the
following:

 
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The Company suffers severe operational risk or its financial situation severely
deteriorates;

 
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The Guarantor’s payment ability is obviously weakened or value of pledged
collaterals decreases obviously;

 
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Occurrence of other instances which make the Commercial Bank think adjustment of
credit facility is necessary;

 
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Breach of contract penalty: adjustment of credit, cancellation of unused credit,
imposition of punitive interest, demand prepayment of loan and other measures;

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Special term:

 
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Credit facilities under the Comprehensive Agreement can only be used for
technical innovation, production equipments improvement and purchase of
equipments and raw materials.

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Types of line of credit

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The use of the line of credit

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Repayment of the loan under the line of credit

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Representation and warranty of the lender

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Miscellaneous

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Applicable law

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Validity