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| ARTICLE I DEFINITIONS      AND RULES OF      CONSTRUCTION                              | 2      |
|---------------------------------------------------------------------------------------------|--------|
|                                                                                        |   |
| ARTICLE      II      TRANSFER OF EQUITY INTERESTS                                           | 6      |
|                                                                                        |   |
| ARTICLE      III      REPRESENTATIONS AND WARRANTIES OF THE COMPANY AND      THE TRANSFEROR | 7      |
|                                                                                        |   |
| ARTICLE      IV      REPRESENTATIONS AND WARRANTIES OF THE TRANSFEREE                       | 20     |
|                                                                                        |   |
| ARTICLE      V      COVENANTS AND AGREEMENTS                                                | 21     |
|                                                                                        |   |
| ARTICLE      VI      CONDITIONS TO CLOSING                                                  | 27     |
|                                                                                        |   |
| ARTICLE      VII      TERMINATION                                                           | 28     |
|                                                                                        |   |
| ARTICLE      VIII      INDEMNIFICATION                                                      | 29     |
|                                                                                        |   |
| ARTICLE      IX      MISCELLANEOUS                                                          | 30     |
|                                                                                        |   |
| SCHEDULE  3.22      (a)                                                           | 36     |

| Execution      copy August 6, 2007 |   |   |
|------------------------------------|--------|--------|

----

|   | (1) | NXP      B.V., a company duly incorporated and validly existing under the laws of      the Netherlands and with its legal address at High Tech Campus 60, 5656 AG      Eindhoven, the Netherlands (the “Transferor”); |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Name:         | Ajit  Manocha                                          |
|--------|--------------------|--------------------------------------------------------|
|   | Position:     | Executive VP & GM      Chief Manufacturing Officer |
|   | Nationality:  | American                                               |

|   | (2) | NXP      Semiconductors Suzhou Ltd., a limited liability company duly incorporated      and validly existing under the laws of the People’s Republic of China (the      “PRC”), with its      legal address at No. 188, Suhong Xi Road, Suzhou Industry Park, Suzhou,      PRC (the “Company”); |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Name:         | Mike YEH               |
|--------|--------------------|------------------------|
|   | Position:     | Chairman of      Board |
|   | Nationality:  | Taiwan                 |

|   | (3) | J      & R Holding Limited., a company incorporated under the laws of Islands      of Bermuda, with its legal address at Canon's Court, 22 Victoria Street,      Hamilton HM12, Bermuda (the “Transferee”). |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Name:         | Tien Yue  Wu                           |
|--------|--------------------|----------------------------------------|
|   | Position:     | ASE Group Chief      Operating Officer |
|   | Nationality:  | America                                |

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| Party      | Amount      of Paid-up Registered Capital (USD) | Equity      Interest (%) |
|------------|-------------------------------------------------|--------------------------|
| Transferor | [19,468,943.86]                                 | 40%                      |
| Transferee | [29,203,415.78]                                 | 60%                      |
| Total      | [48,672,359.64]                                 | 100%                     |

----

----

| (a)         | The      entire registered capital of the Company as of the date hereof is stated      in its current and valid business licence and approval certificate of      which the Paid-up Registered Capital has been contributed by the      Transferor to the Company. |
|-----------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                  |                                                                                                                                                                                                                                                                                                                                                       |
|-----------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (b)         | Except      as set forth in Section 3.8(a), there are no equity interests in the      Company or any warrant or other right to purchase or subscribe to the      equity interests of the Company.  There are no outstanding      obligations of the Company to repurchase, redeem or otherwise acquire any      equity interests in the Company. |
|                  |                                                                                                                                                                                                                                                                                                                                                       |

| (c)         | There      are no declared or accrued but unpaid dividends or distributions with      respect to any of the equity interests in the Company.  Each      dividend or profit distribution of the Company was made in accordance with      Existing Articles of Association and Applicable Laws. |
|-----------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                  |                                                                                                                                                                                                                                                                                                    |

| (d)         | The      Company is not (or is not taken to be under Applicable Laws) insolvent or      unable to pay its debts and has not stopped or suspended the payment of      all or a class of its debts. There are no facts, matters or circumstances      which give any person the right to apply to liquidate or wind up the      Company and in all likelihood succeed in such exercise, and no receiver or      administrator has been |
|-----------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (a)           | On      the Signing Date and the Registration Date, the Company is not a party to      or not bound by: |
|-----------------------------------|---------------------------------------------------------------------------------------------------------|

|                              |                                                                                                                                                                                                                           |
|-----------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (i)           | any      agreement for the purchase or lease of materials (except wafer ),      supplies, goods, services, equipment or other assets that provides for      annual payments by the Company of US$1,000,000 or more      ; |
|                              |                                                                                                                                                                                                                           |

| (ii)           | any      sales, distribution or other similar agreement providing for the sale by      the Company of materials, supplies, goods, services, equipment or other      assets that provides for annual payments to the Company of      US$1,000,000 or more; |
|------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                |                                      |
|-------------------------------------|-------------------------------------------|
| (iii)           | any      collective bargaining agreement; |
|                                |                                      |

| (iv)           | any      partnership, joint venture or other similar  agreement; |
|------------------------------------|------------------------------------------------------------------|

|                              |                                                                                                                                                                                                                                                                                                                                |
|-----------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (v)           | any      contract relating to (x) the acquisition of any business or a substantial      portion of the assets of any business or (y) the disposition of all or a      substantial portion of the assets of the Company (whether by merger, sale      of equity interests, sale of capital stock, sale of assets or      otherwise); |
|                              |                                                                                                                                                                                                                                                                                                                                |
| (vi)          | any      agreement relating to indebtedness for borrowed money, including any      pledge, guarantee, security agreement, mortgage or similar      Encumbrance;                                                                                                                                                                     |
|                              |                                                                                                                                                                                                                                                                                                                                |
| (vii)              | any      material license, franchise or other similar agreement relating to      Intellectual Property (save and except for Technology Transfer and      Assistance Agreement entered into as of the Signing Date by the Transferor      and Company );                                                                             |

----

| (viii)             | any      material agency, dealer, sales representative, marketing or other similar      agreement;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|-----------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| (ix)               | any  material      agreement with any director, officer or key employees of the Company      except for labor contract; and                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
|                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| (x)           | any      material agreement between the Company, on the one hand, and the      Transferor or any Subsidiary or Affiliate of  the Transferor or      other Person in which any of the foregoing has a direct or indirect      interest, on the other hand (except the General Service Agreement between      the Company and the Transferor, which will be terminated before the      Registration Date and any agreement otherwise agreed in the Transaction      Documents, including but not limited to the Technology Transfer and      Assistance Agreement and the Packaging and Testing Services Agreement to      be entered by the Company and the Transferor, and any agreement otherwise      agreed in the Transaction Documents). |

|  | (a)  | The      Transferor and the Company have delivered to the Transferee prior to      the Signing Date the audited balance sheet of the Company as at      December 31, 2006 and the related audited statements of income, cash flows      and changes in shareholders equity for the fiscal years ended December 31,      2006 and have showed to the Transferee the reviewed and un-audited balance      sheet of the Company as at June 30, 2007 and the related reviewed and      un-audited statements of income, cash flows and changes in shareholders      equity for the six-month period ended June 30, 2007 (collectively, the      “Financial Statements”).  Except as      described in the notes thereto, the Financial Statements (x) were prepared      in accordance with PRC GAAP consistently applied; (y) present fairly, in      all material respects, the financial position, results of operation and      cash flows of the Company as of  the dates thereof; (z) are in      all material respects consistent with the books and records of the      Company.  All such books and records have in all material      respects been maintained accurately and in accordance with PRC GAAP and      Applicable Law. |
|--|-----------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (b)  | On      the Signing Date, the Company maintains a system of internal accounting      controls that provide reasonable assurance that (i) transactions are      executed in accordance with management’s general or specific      authorizations, (ii) transactions are recorded in reasonable detail,      accurately and fairly reflect the transactions and dispositions of assets      of the Company as necessary to permit preparation of financial statements      in conformity with PRC GAAP, (iii) access to and use of assets is      permitted only in accordance with management’s general or specific      authorization, (iv) the recorded accountability for assets is compared      with existing assets at reasonable intervals and appropriate actions are      taken with respect to any differences, and (v) the Company has made and      kept books, records and accounts which, in reasonable detail, accurately      and fairly reflect the transactions and dispositions of assets of the      Company and provide a sufficient basis for the preparation of financial      statements of the Company in accordance with PRC  GAAP. |
|--|-----------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (a)   | suffered      any Material Adverse Effect; |
|-----------------|--------------------------------------------|

|            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (b)   | incurred,      assumed, guaranteed or discharged any indebtedness, Encumbrance, claim,      commitment, obligation or liability, absolute, accrued, contingent or      otherwise, to any third party and Governmental Entity, including but not      limited to China-Singapore Suzhou Industrial Park Development Co.,      Ltd., whether due or to become due, except for (i) current      liabilities for trade or business obligations incurred in connection with      the purchase of goods or services in the ordinary course of business      consistent (in amount and kind) with past practice and (ii) the payment of      such current liabilities; |
|            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |

| (c)   | sold,      transferred, leased or licensed to others or otherwise disposed of, or      purchased or acquired any material assets, property, business or assets,      tangible or intangible, except for products sold or acquired in the      ordinary course of business consistent with past practice, or canceled or      compromised any debt, claim, commitment, obligation or liability or waived      or released any right of substantial value, other than in the ordinary      course of business consistent (in amount and kind) with past practice, and      not material in the aggregate; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|            |                                                                                                                 |
|-----------------|----------------------------------------------------------------------------------------------------------------------|
| (d)   | terminated,      cancelled, materially modified or received any notice of termination of      any Material Contract; |
|            |                                                                                                                 |

| (e)   | made      any material loans, advances or capital contributions to, or investments      in, any Person; |
|-----------------|---------------------------------------------------------------------------------------------------------|

|            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (f)   | suffered      any damage, destruction or loss (which is not covered by      insurance)  relating to the liabilities and obligations arisen      out of any products or services provided, manufactured or sold by Company      before the Registration Date such as warranty obligations and product      liabilities, due to (i) the Company’s performance of any agreement for the      purchase or lease of materials, supplies, goods, services, equipment or      other assets before the Registration Date, and (ii) the Company’s      performance of any sales, distribution or other similar agreement      providing for the sale by the Company of materials, supplies, goods,      services, equipment or other assets before the Registration Date, in any      case or in the aggregate in excess of  US$100,000; |

----

| (g)   | (i)      assigned, transferred or granted any rights under, or entered into any      agreement or settlement regarding the substantial breach,      misappropriation, infringement or violation of, any Intellectual Property,      or substantially modified any existing rights with respect thereto or      (ii) settled or compromised any claim, action, suit, litigation,      proceeding, arbitration, investigation, audit or controversy relating to      Intellectual Property, in any case or in the aggregate in excess of      US$200,000; |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (h)   | made      any increase in the rate of compensation, commission, bonus or other      direct or indirect remuneration payable, or paid or agreed or promised to      pay (in either case in writing or orally), conditionally or otherwise, any      bonus, incentive, retention or other compensation, retirement, welfare,      fringe or severance benefit or vacation pay, to or in respect of any      present or former director, officer, employee or consultant, of any of the      Company, except for any increase, payment or agreement or promise to pay      in the ordinary course of business consistent (in amount and kind) with      past practice; |
|            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |

| (i)   | made      any change in its accounting, auditing or tax methods, practices or      principles, except to the extent required by PRC GAAP or Applicable      Laws; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|            |                                                                                                                                                                                                                                      |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (j)   | committed,      suffered, permitted or incurred any transaction or event which would      substantially increase its liability relating to Taxes other than in the      ordinary course of business and consistent with past    practice; |
|            |                                                                                                                                                                                                                                      |

| (k)   | paid      or agreed to pay any substantial legal, accounting, brokerage, finder’s      fee, Taxes or other expenses in connection with, or incurred any severance      pay obligations by reason of the Transaction Documents or the transactions      contemplated thereby that have not been paid or will not be fully paid and      discharged at or prior to the Registration  Date; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|            |                                                                                                                                                                 |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (l)   | deferred      or agreed to defer payment of any payables or accelerated or agreed to      accelerate the collection of any receivables in excess of      US$100,000; |
|            |                                                                                                                                                                 |

| (m)   | made      any grant of credit to any customer or distributor on terms materially      more favorable than had been extended to that customer or distributor in      the past; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|            |                                                                                                                                                                                                                    |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (n)   | amended      its Organizational Documents or merged with or into or consolidated with      any other Person, subdivided, combined or changed or agreed to change      in any manner the character of its business; |
|            |                                                                                                                                                                                                                    |

| (o)   | declared,      promised or made any dividend or other distribution to the Transferor in      any materially different manner or made any substantial change whatsoever      in its capital structure other than that in the ordinary course of      business consistent (in amount and kind) with past    practice; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (p)   | (i)      loaned or advanced substantial money or other property to any present or      former director, officer, employee or consultant of the Company, (ii)      established, adopted, entered into, substantially amended or terminated      any Benefit Plan, collective labor agreement (other than as may be      required by the terms of an existing Benefit Plan or collective labor      agreement, or as may be required by Applicable Law), or (iii) granted |

----

| (q)   | taken      any action or omitted to take any action that would result in the      occurrence of any of the foregoing. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------|

|   (a)          | On      the Signing Date and the Registration Date, the Company has good and      marketable title to, or a valid and binding leasehold interest in, the      real property, personal property and assets used by the Company in their      business (collectively, the “Properties”), free and clear of all      Encumbrances, except for Permitted Encumbrance. Permitted Encumbrance      shall mean (i) any Encumbrances which, individually or in the aggregate,      would not reasonably be expected to have a Material Adverse Effect; (ii)      any Encumbrances for taxes, assessments and other governmental charges not      yet due and payable, or due but not delinquent, or due and being contested      in good faith by appropriate proceedings, during which collection or      enforcement is stayed so long as |
|-----------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   (b)          | On      the Signing Date, the Transferor and the Company have provided the      Transferee with a true and complete copy of each lease agreement in      respect of leased real property (a “Lease      Agreement”), including “CONTRACT FOR CUSTOMER-BUILT LEASE FACTORY”      dated on Mar 29, 2002, “CONTRACT FOR THE LEASE OF SUPPORTING      INFRASTRUCTURE” dated on Mar 29, 2002 and “ASSIGNMENT CONTRACT TO      CONSTRUCT SUPPORTING INFRASTRUCTURES’ dated on Mar 29, 2002. Each Lease      Agreement is the legal, valid, binding and enforceable obligation of the      respective parties thereto, and all rent and other material sums and      charges payable by the Company thereunder are current.  The      Company is not in default under, nor has received a notice of default with      respect to, any Lease Agreement under which it is the lessee of real      property.  The Company has not received any notice from the      other party to any Lease Agreement of the termination    thereof. |
|------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   (c)          | On      the Signing Date and the Registration Date, there is no pending or, to the      knowledge of any of the Transferor or the Company, threatened,      condemnation, expropriation, eminent domain or similar proceeding      affecting all or any part of the Properties, and the Company has not      received any written or oral notice of any of the  same. |
|------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   (d)          | On      the Signing Date and the Registration Date, the buildings and other      structures on the Properties have been regularly maintained and are fit      for the purposes for which they are presently used.  The Company      has rights of egress and ingress with respect to each of the Properties      that are sufficient for them to conduct their  business. |
|------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   (e)          | On      the Signing Date and the Registration Date, all of the personal property      and assets required for the conduct of the business of the Company are in      good maintenance, operating condition and repair, other than normal wear      and tear and any such property and assets which are to be scrapped and/or      replaced in due course in the ordinary course of the Company’s      business. |
|------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   (f)          | On      the Signing Date and the Registration Date, there shall not have      occurred any material payments or other disbursements to creditors of the      Company other than in the ordinary course of  business. |
|------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (a)            | The      Company owns all right, title and interest in and to, or possess a valid      and enforceable right to use, all material Intellectual Property used in      their respective business, including but not limited to Intellectual      Property as set |
|-----------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (b)            | The      Company has not taken any action or failed to take any action that could      reasonably be expected to result in the abandonment, cancellation,      forfeiture, relinquishment, invalidation or unenforceability of any of the      registered Intellectual Property material to their respective business      (including the failure to pay any filing, examination, issuance, post      registration and maintenance fees, annuities and the like and the      failure to disclose any known material prior art in connection with the      prosecution of patent applications).  The Company has taken all      reasonable steps in accordance with standard industry practices to protect      its rights in its Intellectual Property and at all times has maintained      the confidentiality of all information that constitutes or constituted a      trade secret of the Company. |
|-----------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |

| (c)            | (i)      The Company is not a party to any pending legal proceedings which involve      a claim of infringement, unauthorized use, or violation of any      intellectual property right by any Person against the Company or      challenging the ownership, use, validity or enforceability of, any      material Intellectual Property, used in their respective business,      owned by or exclusively or non-exclusively licensed to the Company,      including but not limited to Intellectual Property as set forth in the      Technology Transfer and Assistance Agreement, and (ii) the Company has not      received any notice or claim challenging its ownership of any material      Intellectual Property owned (in whole or in part), nor to the knowledge of      the Transferor or the Company is there a reasonable basis for any claim      that the Company does not so own any of such Intellectual      Property.  All of rights of any of the Company in and to      material Intellectual Property owned by the Company are valid and      enforceable. No material Intellectual Property, used in their      respective business, owned by or licensed to the Company, including but      not limited to Intellectual Property as set forth in the Technology      Transfer and Assistance Agreement, is subject to any outstanding      order, judgment or decree restricting the use or licensing thereof by the      Company. |
|-----------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (a)           | The      Company has not violated any Applicable Laws relating to labor or labor      practices.  The Company has at all times complied in every      material aspect with any Applicable Laws relating to social security      (including, without limitation, pension insurance, unemployment insurance,      medical insurance, workers’ compensation insurance, and birth insurance)      and housing welfare, including obtaining social security registration      certificates, timely payment of employer contributions and timely      withholding and payment, on behalf of employees, of employee      contributions. |
|-----------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| (b)           | Schedule      3.22(a) contains a true, complete and accurate list of all employees      of the Company, indicating their respective employee number, name,      positions, current salaries as of the Signing Date.                                                                                                                                                                                                                                                                                                                                                                                                                         |
|                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| (c)           | Except      for the benefits (“Benefit Plan”) provided in the employee handbook of the      Company, there is no other benefit plans established in the    Company.                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| (d)           | With      respect to any Benefit Plan and any other employment matter: (i) No      actions, suits, claims or any disputes between the Company, on one hand,      and any of their employees, on the other hand, are pending or, to the      knowledge of any of the Transferor or the Company, threatened; (ii) no      facts or circumstances exist that could give rise to any such actions,      suits or claims; and (iii) no administrative investigation, audit or other      administrative proceeding by Governmental Entities are pending, threatened      or in progress.                                                         |

|                              |                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|-----------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (e)           | The      execution of the Transaction Documents and the consummation of the      transactions contemplated thereby shall not result in the material      increase, acceleration or provision of any payments, benefits or other      rights, including, but not limited to, any severance pay or payment      contingent upon a change in control or ownership of the Company to any      current or former employee or contractor of theCompany. |
|                              |                                                                                                                                                                                                                                                                                                                                                                                                                                              |

| (f)      |  Since      the establishment of the Company, no death or serious bodily injury of any      person has occurred as a direct result of such person’s employment or      other relationship with the Company or as a result of any negligent action      or omission of the Company, its management, its directors or its      shareholder.  No current or former employee of the Company      suffered or is suffering from any occupational disease to the knowledge of      the Company and the Transferor. |
|-----------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   (a)    | the      Company is in compliance with all applicable Environmental Laws and has      not violated in any material respect any such laws, and possesses and      complies in all material respects with all Environmental Permits required      under such laws and has not violated in any material respect any such      permits; to the knowledge of the Transferor and the Company, there are no      circumstances, conditions or events that could reasonably be expected to      prevent any of the Company from (or materially increase the burden on the      Company) complying with applicable Environmental Laws or obtaining,      renewing, or complying with all Environmental Permits required under such      laws; |
|------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   (b)    | (A)      the Company has not received any Environmental Claim that has not been      fully and finally resolved; and (B) to the knowledge of the Transferor and      the  Company, there is not any threatened Environmental Claim, or any      circumstances, conditions or events that could reasonably be expected to      result in an Environmental Claim, against the  Company; |
|------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   (c)    | the      Company has not entered into any agreement or other arrangement with any      Governmental Entity under any Environmental Law, and the Company is not      subject to any outstanding judgment, ruling, order or similar requirement      relating to compliance with any Environmental Law or to Hazardous      Substances; |
|------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   (d)    | there      are and have been no Hazardous Substances, or other conditions, at any      property currently or formerly owned, leased, operated, or otherwise used      (including any location used for the storage, disposal, recycling or other      handling of any Hazardous Substances) by the Company that could reasonably      be expected to give rise to any material liability of any of the      Company under any Environmental Law or result in material costs to the      Company arising out of any Environmental Law;  and |
|------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   (e)    | (A)      the Company has not assumed or retained, by agreement, operation of law,      or otherwise, any obligation under any Environmental Law or concerning any      Hazardous Substance, that could reasonably be expected to be material to      the Company; and (B) each of the foregoing representations and warranties      also applies to any Person for which the Company has assumed or retained      responsibility, whether by contract, operation of law, or      otherwise. |
|------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   (f)    | The Company      has been at all times in compliance with all Applicable Laws      relating to the protection of health and safety in connection with the      ownership, lease, operation and condition of its business and      Properties.  No person has |
|------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   (a)    | The      Company has (i) timely filed or will timely file (taking into account all      applicable extensions of time for filing) all Tax Returns required to be      filed by or with respect to the Company prior to the Registration Date,      and all such Tax Returns are true, correct and complete in all material      respects and (ii) paid all Taxes due and payable with respect to any      taxable period or portion thereof ending on or before the Registration      Date. |
|-----------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   (b)    | There      is no Tax deficiency asserted against the Company, and there is no unpaid      assessment, proposal for additional Taxes, deficiency or delinquency in      the payment of any Taxes of the Company.  No audit or      investigation of any Tax Return is currently underway or pending, or to      the knowledge of any of the Transferor or the Company, threatened, with      respect to the Company. |
|------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   (c)    | No      Encumbrances for Taxes exist with respect to any of the assets or      properties of the Company. |
|------------------------------|-----------------------------------------------------------------------------------------------------------|

|   (d)    | The      Company has withheld or collected and timely paid over to the appropriate      Governmental Entities (or are properly holding for such payment) all Taxes      required by Applicable Law to be withheld or  collected. |
|------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   (e)    | The      Company has no liability for the Taxes of another Person (other than the      Company) as a transferee or successor, by contract or      otherwise. |
|------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   (f)    | The      Company has, in accordance with Applicable Laws, duly registered with the      relevant Governmental Entities, has obtained and maintained the validity      of all national and local tax registration certificates and has complied      with all requirements imposed by such Governmental      Entities.   The Company has made and kept up-to-date full      and accurate records, invoices and documents (i) appropriate or required      for the purposes of payment of any Taxes or (ii) as otherwise required by      any Government Entities. |
|------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
|  (g)     | The Company is not      subject to taxation in any jurisdiction other than the PRC, and nor      claim has been made in any jurisdiction other than the PRC with respect to      the foregoing.                                                                                                                                                                                                                                                                                                                                                                                 |

----

----

----

| (i)   | Substantially      amend its Organizational Documents; |
|-----------------|--------------------------------------------------------|

|             |                                                                                                                                                                                                                                                                           |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (ii)   | commence      a voluntary case or proceeding under any applicable bankruptcy law or      consent to the entry of judgment, ruling or decision against it in an      involuntary case or proceeding under any bankruptcy law, or take any      action to dissolve or liquidate; |
|             |                                                                                                                                                                                                                                                                           |

| (iii)   | make      any material change in any of itsbusiness; |
|-------------------|------------------------------------------------------|

|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (iv)   | sell,      transfer, lease, license or otherwise dispose of or encumber, purchase or      acquire any material, assets, property, business or assets, tangible or      intangible, other than in the ordinary course of business consistent with      past practice, or cancel or compromise any debt, claim, commitment,      obligation or liability or waive or release any right of substantial      value, other than in the ordinary course of business consistent (in amount      and kind) with past practice; |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |

| (v)   | enter      into, amend or modify in any material respect or terminate any Material      Contract or waive or assign any material right thereunder, in each case,      other than in the ordinary course ofbusiness; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|             |                                                                                                  |
|------------------|-------------------------------------------------------------------------------------------------------|
| (vi)   | create      any Subsidiary or enter into any joint venture or partnership with any      other Person; |
|             |                                                                                                  |

| (vii)   | merge      with or into, or consolidate with or convert into, another      Person; |
|-------------------|------------------------------------------------------------------------------------|

|               |                                                                                                                                                                                                                                                                                        |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (viii)   | terminate,      amend or modify in any material respect, any material Permit, other than      (x) as required by any applicable Governmental Entity, (y) in connection      with the transactions contemplated by the Transaction Documents or (z) in      the ordinary course of business; |
|               |                                                                                                                                                                                                                                                                                        |

| (ix)   | make      any capital expenditures or commitments that will create or result in      commitments on the Company to make      capital expenditures other than capital expenditures made in the ordinary      course of business consistent with past practice and otherwise      agreed by Transferee in writing; |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|            |                                                 |
|-----------------|------------------------------------------------------|
| (x)   | commence      or settle any litigation, arbitration; |
|            |                                                 |

| (xi)   | enter      into any transaction or series of transactions, including any loan,      advance or capital contribution to or investments in, with the      Transferor or any of its Subsidiaries or Affiliates (other than the      Company), other than in the ordinary course of business or other as      disclosed herein; |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|              |                                                                                                                                                                                                                                               |
|-------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (xii)   | make      any declaration of, or set aside or pay any dividend or other      distribution      in any manner with respect to the registered      capital of the Company, or make      any  change whatsoever in such registered capital; |
|              |                                                                                                                                                                                                                                               |

| (xiii)   | unless      in the ordinary course of business in accordance with its existing      policies or      Benefit Plan or as may be required by Applicable Law, (x) grant any      increases in wages, salaries, benefits      or      compensation of any of the employees, |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|              |                                                                                                                                                                                      |
|-------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (xiv)   | materially      change its policies, procedures, principles or methods of Tax or financial      accounting, other than as required by a change in PRC GAAP or other      Applicable Laws; |
|              |                                                                                                                                                                                      |

| (xv)   | make      any change in arrangements on bank accounts or any grant of any powers of      attorney thereof; |
|------------------|------------------------------------------------------------------------------------------------------------|

|              |                                                                                                                                                                                                                                                                                                    |
|-------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (xvi)   | fail to pay timely      and accurately any Taxes due and payable, or fail to file any      material Tax Return when due or fail to cause such Tax Returns when filed      to be complete and accurate in all material respects, in all the foregoing      cases resulting in a Material Adverse Effect; |
|              |                                                                                                                                                                                                                                                                                                    |

| (xvii)   | incur,      assume or guarantee any material indebtedness other than in the ordinary      course of business; |
|--------------------|---------------------------------------------------------------------------------------------------------------|

|                |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|---------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (xviii)   | transfer      to any Person ownership of or otherwise grant any Person any exclusive or      material license to any Intellectual Property which is necessary for the      conduct of the Company’s business or permit any material Intellectual      Property to lapse, expire or become abandoned, in each case other than in      the ordinary course in a manner consistent with past practice, or settle      or agree any legal action, dispute, claim, suit, investigation or other      proceeding relating to Intellectual Property;or |

|   |   |
|--------|--------|

| (xix)   | agree,      whether in writing or otherwise, to do any of the    foregoing. |
|-------------------|-----------------------------------------------------------------------------|

| (i)   | conduct      its operations in the ordinary course of business consistent with past      practice; |
|-----------------|----------------------------------------------------------------------------------------------------|

|             |                                                                                                                                                                                                     |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (ii)   | use      its best efforts to keep available the services of its present employees,      contract service providers and other suppliers, customers and others      having business relationships with it; |
|             |                                                                                                                                                                                                     |

| (iii)   | preserve      substantially intact the present business organization of the      Company;      and |
|-------------------|----------------------------------------------------------------------------------------------------|

|             |                                                                                                                                                                                             |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (iv)   | maintain      the operating assets and equipment of the Company, including Intellectual      Property owned or held under license by the Company, in normal operating      condition and repair. |

----

|  | (a)  |  From      the Signing Date until the Registration Date, the Company and the      Transferor shall afford to the Transferee reasonable access at all      reasonable times to any senior management personnel and any other      Company-designated employees and advisors of the Company, and to the books      and records, agreements, assets and properties of the Company, and shall      furnish the Transferee such financial, operating and other data and      information as the Transferee may reasonably request. No such review,      examination or investigation by the Transferee shall affect or in any way      diminish the representations, warranties or covenants of the Company and      the Transferor hereunder. |
|--|-----------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (b)  |  At      the reasonable request of the Transferee, the Company and the Transferor      shall furnish, or cause to be furnished, to the Transferee any relevant      information or copies of any document in their possession or      control. |
|--|-----------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (a)  | execute      or cause to be executed such further documents and take or cause to be      taken such further actions as may be reasonably necessary or proper to      carry out effectively the provisions of the Transaction Documents and the      transactions contemplated thereby; |
|--|-----------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (b)  | use      their best efforts to cause all conditions specified in Article VI to be      satisfied on or prior to the Registration      Date;   |
|--|-----------|---------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (c)  | obtain      and cooperate with each other party in good faith in obtaining any      consent, approval, authorization or order of, or making any registration,      filing or qualification with, any third party or Governmental Entity, all      as may be required in connection with the execution, delivery or      performance of the Transaction Documents and the consummation of the      transactions contemplatedthereby. |
|--|-----------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|  | (a)  |  As      soon as practicable after the execution of this Agreement, the Company      shall, and the Transferor shall cause the Company to, submit to the      Approval Authority the Transaction Documents and any other documents      necessary to obtain the New Approval      Certificates issued by such Approval Authority approving the Transaction      Documents and provide to the Transferee copies of all documents submitted      to the Approval Authority; provided that all documents submitted to the      Approval Authority shall first be reviewed by and agreed to in writing      and/or signed by the Transferee without undue delay, as the case may      be.  Upon receipt of such New Approval      Certificates, the Company shall, and the Transferor shall cause the      Company to, deliver a copy of each such New Approval      Certificate to the Transferee. |
|--|-----------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (b)  | Following receipt of      the New Approval      Certificates specified in the above clause (a), the      Company shall, and the Transferor shall cause the Company to, submit all      required documents to the Registration Authority for all the      necessary amendment registration in connection with the transactions      contemplated by the Transaction Documents and      the issuance      of the New Business License to      the Company, which shall include the proper registration of the      Transferee as the new shareholder of the Company and its specific equity      ownership percentage in the Company as prescribed in the Transaction      Documents.  Upon      receipt of the New Business License by      the Company and any other documents issued by the Registration      authority evidencing the completion of such amendment registration (“Registration      Documents”), the Company shall,      and the Transferor shall cause the Company to, deliver a copy of the      New Business License to      the Transferee. The New Business License shall indicate the New      Company Name. |
|--|-----------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

| (a)                 | Each      of the representations and warranties made by the Transferor and the      Company in the Transaction Documents to which it is a party (i) to the      extent qualified by materiality, shall be true and correct and (ii) to the      extent not so qualified, shall be true and correct in all material      respects, in each case on the Signing Date and/or the Registration      Date as such representations and warranties were made according to relevant clauses      in this Agreement. |
|-----------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                                  |                                                                                                                                                                                                                                                                                                                            |
|-----------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (b)                 | The      Transferor and the Company shall have performed and complied in all      material respects with each of the agreements, covenants, conditions and      obligations required by the Transaction Documents to which it is a party      to be performed or complied with by it on or prior to the Registration      Date. |
|                                                                  |                                                                                                                                                                                                                                                                                                                            |

| (c)                 | There      shall be no legal action, dispute, claim, suit, investigation or other      proceeding by or before any Governmental Entity or arbitration pending, no      restraining order, injunction, cease and desist order or other legal      restraint or prohibition (whether temporary, preliminary or permanent) of      any Governmental Entity in effect, and no statute, rule, regulation or      order promulgated or enacted by any Governmental Entity, that would      restrain, prohibit, materially modify or invalidate the transactions      contemplated by the TransactionDocuments. |
|-----------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                                  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|-----------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (d)                 | Each      consent, approval, authorization, order, registration, filing or      qualification of or with any third party or Governmental Entity required      in connection with the consummation of the transactions contemplated by      the Transaction Documents shall have been duly obtained or made, as      applicable, and shall be in full force and effect, including the following      (copies of which shall have been received by the    Transferee): |
|                                                                  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |

| (i)           | Each      of the Transaction Documents shall have been approved by the relevant      Approval Authority in its entirety without materially varying the terms      and conditions thereof or imposing any material additional or different      obligations on the Company or any Party thereto unacceptable to such      Party, which approval shall be evidenced by the issuance of the approval      reply and the New Approval Certificates issued by the Approval      Authority; |
|-----------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                       |                                                                                                                                                                             |
|------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (ii)          | The      Transferee shall have been registered as a shareholder of the Company      owning the equity interests representing 60 % of the ownership interest in      the Company; |

----

| (iii)         | All      the necessary amendment registration in connection with the transactions      contemplated by the Transaction Documents shall      have been duly conducted with the Registration  Authority; |
|-------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                  |                                                                                                                                                                                                        |

| (iv)         | The      Company shall have obtained the New Business License      without  materially varying      the terms and conditions of the New Articles of Association and stating on      the face of the New Business License with the New Company      Name. |
|------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                                  |                                                                                                                              |
|-----------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------|
| (e)                 | The Company      shall have conducted its business in the ordinary course from the Signing      Date up to the Registration Date. |

| (a)          | by      the mutual written consent of the Transferor and the      Transferee;                                                                                                                                                                                                                                                                                                                                                                                                     |
|-----------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| (b)          | by      either the Transferor or the      Transferee if the conditions set forth in Section 6.1(d) have      not been satisfied on or before the date that is six (6) months      after the submission of the Transaction Documents to the Approval      Authority; provided, however, that      no Party may request termination pursuant to this Section 7.1(b) if      such conditions have not been satisfied due to a breach of this Agreement      by such Party; |

|                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
|-----------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (c)          | by      the Transferee if there has been a material misrepresentation or material      breach on the part of the Transferor or the Company in the      representations, warranties, covenants or agreements set forth in this      Agreement that would result in a failure to satisfy the closing conditions      set forth in Sections 6.1, which is      not cured within thirty (30)      PRC Business Days after the Transferor has been notified in writing      by the Transferee of its intent to terminate this Agreement pursuant to      this Section 7.1(c);      or |
|                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |

| (d)          | by      either the Transferor or the Transferee if any statute, rule,      regulation,      decision or order by any Governmental Entity of competent      jurisdiction restraining, prohibiting or invalidating the consummation of      the transactions contemplated by the Transaction Documents has been promulgated      and become effective,      final and non-appealable. |
|-----------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (a)          | All      representations, warranties, agreements, covenants and obligations made or      undertaken by the Company and the Transferor in this Agreement or in any      document delivered by or on behalf of      the      Transferor and the Company in connection with      the consummation of the transactions contemplated by this Agreement      are material, have been relied upon by the Transferee, and shall not be      affected by any performance, event or matter whatsoever (including,      without limitation, any satisfaction and/or waiver of any condition set      out in Article VI), unless by a specific and duly authorized written      release by the Transferee onindemnification. |
|-----------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|-----------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (b)          | The      Transferor and the Company shall, jointly and severally, indemnify and      hold harmless the Transferee, and its successors and permitted assigns      from, against and in respect of all direct losses, liabilities, taxes,      damages, judgments, settlements and expenses, including reasonable fees      and expenses of counsel (collectively, “Losses”), incurred or paid by the      Transferee in connection with and directly resulting from (a) the breach      of any representation or warranty of the Transferor or the Company set      forth in this Agreement, and (b) the breach of any covenant or agreement      on the part of the Transferor or the Company to be performed set forth in      this Agreement. |
|                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |

| (c)          | Because      after the Registration Date, the Company shall be jointly owned by the      Transferee and the Transferor, the Parties agree that (i) any claim by the      Transferee under this Section 8.2 after the Registration Date will be      solely against the Transferor, who will have no right of reimbursement or      contribution against the Company, and (ii) any Losses suffered or incurred      by the Company against which the Transferee is indemnified as provided in      Section 8.2 (b) above shall be deemed suffered by the Transferee, which      shall, either independently or jointly with the Company, be entitled to      enforce such indemnity against the Transferor. |
|-----------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |

----

|   (d)         | Any      examination, inspection, review, or audit by the Transferee or its      appointed Big Four external auditors of the properties, financial      condition or other matters of the Company shall in no way limit, affect or      impair the ability of the Transferee to rely upon the representations,      warranties, agreements, covenants and obligations of the Company and the      Transferor made or undertaken in this Agreement or in any document      executed and delivered pursuant to this  Agreement. |
|------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (a)         | Whether      or not the transactions contemplated by this Agreement are consummated,      all costs and expenses (including fees and expenses of counsel and      financial advisors, if any) incurred in connection with this Agreement and      the transactions contemplated hereby shall be paid by the Party incurring      such costs and expenses. |
|-----------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                |                                                                                                                                                                                                                                                                                                                                       |
|-----------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (b)         | Any corporate income      / withholding tax levied on the gains from the equity transfer, if any,      shall be borne by Transferor. Each Party shall pay any stamp duty      required to be paid by such Party with respect to this Agreement. All      other taxes arising in connection with the transactions contemplated by      this |
|                                                |                                                                                                                                                                                                                                                                                                                                       |

----

| (c)              | Any      transfer registration fees with respect to the Equity Interests shall be      paid by the Company.  |
|-----------------------------------------------------|-------------------------------------------------------------------------------------------------------------------|

| (a)              | All      notices, demands, requests, consents, waivers and other communications      required or permitted hereunder shall be in writing (including wire,      telefax, email or similar writing) and shall be sent, delivered or mailed,      addressed or telefaxed: |
|-----------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (b)                  | Each      such notice, request or other communication shall be given (i) by mail      (postage prepaid, registered or certified mail, return receipt requested),      (ii) by hand delivery, (iii) by internationally recognized courier service      (iv) by telefax, receipt confirmed (with a confirmation copy to be sent by      first class mail; provided that the failure to send such confirmation copy      shall not prevent such telefax notice from being effective), or (v) by      email. |
|-----------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                                        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
|-----------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (c)             | Each      such notice, request or communication shall be effective (i) if mailed,      three days after mailing at the address specified in Section 9.2(a) (or in      accordance with the latest unrevoked written direction from such party),      (ii) if delivered by hand or by internationally recognized courier      service, when delivered at the address specified in Section 9.2(a) (or in      accordance with the latest unrevoked written direction from such party),      (iii) if given by telefax, when such telefax is transmitted to the telefax      number specified in Section 9.2(a) (or in      accordance with the latest unrevoked written direction from such party),      and the appropriate confirmation is received, and (iv) if by email, when      transmitted to the email address specified in Section 9.2(a). |

----

----

----

| NXP      B.V. |                      |
|---------------|---------------------------|
|          |                      |   |
| By:           | /s/ Mr. Ajit      Manocha |   |

| Name:         | Mr. Ajit      Manocha         |
|--------------------|-------------------------------|
| Title:   | Executive Vice      President |
| Nationality:  | American                      |

| NXP      Semiconductors Suzhou      Ltd. |        |
|------------------------------------------|-------------|
|                                     |        |   |
| By:                                      | /s/ MikeYeh |   |

| Name:         | Mike YEH               |
|--------------------|------------------------|
| Title:   | Chairman of      Board |
| Nationality:  | Taiwan                 |

| J      & R Holding Limited |                     |
|--------------------------------|--------------------------|
|                           |                     |   |
| By:                            | /s/ Mr. Tien Yue      Wu |   |

| Name:         | Mr.      Tien Yue Wu                   |
|--------------------|----------------------------------------|
| Title:   | ASE      Group Chief Operating Officer |
| Nationality:  | American                               |