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(2) If Party A breaches its obligation hereunder and terminates this Agreement before the endof the lease, Party A shall pay Party B which amount is equal to 3 months’ rent ascompensation. If Party B breaches its obligation hereunder and terminates this Agreement beforethe end of the lease, Party B shall pay Party A which amount is equal to 3 months’ rent ascompensation.(3) After the term of the lease, Party A may take back the Leased Premises. If Party B wishesto extend the term of the lease, it shall notify Party A in writing 30 days before the term of thelease ends. After Party A agrees with such extension of lease terms, both parties shall execute anew lease agreement with respect to the extension.**Article V. Rent**(1) Standard rate of rent: the standard rate of rent for the Leased Premises is RMB 1,500,000per year. If both parties agree to continue the lease after the expiration of the lease, bothparties shall negotiate on the adjustment of the rent and may enter into new agreement in thisregard.(2) Time and method of rent payment: both parties shall reach additional agreement in thisregard. Party B shall transfer the rent into an account designate by Party A.**Article VI. Deposit of the Leased Premises**(1) At the delivery of the Leased Premises by Party A to Party B, Party B shall pay Party Athe lease deposit, the amount of which will be agreed to by the parties otherwise.(2) After the expiration of the lease or termination of this Agreement, Party A shall, afterdeducting the rents, fees and compensation payment obligations which arise out of breach of thisAgreement borne by Party B, return the remaining amount of the lease deposit to Party B.**Article VII Other Fees and Expenses**During the term of lease, the relevant fees and expenses in connection with the LeasedPremises shall be borne in accordance with the following:Party B shall pay the fees in connection with electricity, property management and aircondition for after hours use of the Leased Premises. Party B shall keep relevant receipts orinvoices for such fees and expenses and make them available for Party A’s inspection.**Article VIII Delivery and Return of the Leased Premises**(1) Delivery: Party A shall delivery the Leased Premises under the agreed conditions to PartyB before May 15, 2010. The delivery is deemed to occur after (a) both parties inspect the LeasedPremises, and (b) after Party A hands over the keys of the Leased Premises to Party B.
 
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(2) Return: After the expiration of the lease or termination of this Agreement, Party B shallreturn the Leased Premises with ancillary fixtures. After inspection of the Leased Premises, bothparties shall sign and affix their corporate seals on the List of Ancillary Fixtures and Equipmentof the Leased Premises. Both parties shall settle the relevant fees and expenses in connectionwith the Leased Premises.Any objects added by Party B may be removed and taken away by Party B. Any fixtures ordecoration added to the Leased Premises by Party B shall become the property of Party A without anycompensation to Party B.After the return of the Leased Premises, Party A has the right to dispose of the objects whichare left in the Leased Premises by Party B without Party B’s consent.**Article IX Maintenance of the Leased Premises and the Ancillary Fixtures**(1) During the term of lease, Party B shall be responsible for the maintenance and repairs ofand the security of the Leased Premises. Party B shall notify Party A of any major repairs thatParty A is responsible for. If Party A thinks fit, Party A shall carry out such major repairs intime.(2) Party A shall not be responsible for the repairs and maintenance of and the security ofrenovation, decoration and new objects added by Party B at the Leased Premises.(3) During the term of the lease, Party B shall be responsible for the fire and safety of theLeased Premises, keeping the area surrounding the Leased Premises clean, and other comprehensivesafety and security obligations as required by relevant laws and regulations. Party B shallcooperate with Party A for Party A’s inspection of the Leased Premises in this regard.(4) Party B shall use the Leased Premises reasonably. Party B shall be responsible for repairof the Leased Premises or compensate Party A for any damages or malfunctions (if applicable) of theLeased Premises due to the unreasonable and/or improper use of the Leased Premises by Party B. IfParty B refuses to repair or otherwise be responsible for such damages or malfunctions, Party A mayrepair the Leased Premises or purchase new objects instead, and Party B shall be responsible forany fees and expenses incurred in connection with it.(5)Party B shall not be responsible for any wear and tear due to the nature of or reasonableuse of the Leased Premises.(6) During the term of the lease, Party B shall not damage any equipment in the LeasedPremises. Party B shall seek Party A’s written consent before Party B changes the internalstructures, decoration or equipment of the Leased Premises and Party B shall bear the cost andexpenses for such changes. At the expiration of the lease, unless otherwise agreed, Party A shallbe entitled to ask Party B to restore the Leased Premises to the original condition or pay for theexpenses that Party A may incur if Party A restores the Leased Premises to the original conditionitself.
 
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**Article X. Sublets**Unless otherwise agreed by both parties, Party B shall seek Party A’s prior written consentbefore Party B sublets the lease in part or in whole to any third party.**Article XI. Termination**(1) If Party B wishes to terminate this Agreement, it shall provide Party A a 2-month advancenotice.(2) This Agreement shall be terminated and neither party is liable to the other for breach ofcontract under the following circumstances:(a) the Leased Premises becomes part of the demolishment plan of the government as required bythe development of the city in accordance with applicable laws and regulations;(b) the Leased Premises is damaged, destroyed or incurs other losses as a result of earthquake,fire or other force majeure events.(3)Party B shall have the right to terminate this Agreement unilaterally if:(a) Party A delays the delivery of the Leased Premises for more than 10 days.(b) the Leased Premises so delivered is not under the conditions as agreed hereunder, whichadversely affects Party B’s use of the Leased Premises.(c) the Leased Premises so delivered is dangerous to the safety or health of Party B.(d) other reasons______________________________.(4) Party A shall have the right to terminate this Agreement unilaterally if:(a) Party B fails to pay the rent after it is due and outstanding for more than 30 days or failsto pay the rent at all.(b) The amount owed by Party B to Party A exceeds RMB 5,000.(c) Party B changes the use of the Leased Premises without Party A’s consent.(d) Party B changes the major structure of or causes damages to the Leased Premises withoutParty A’s consent.(e) Party B sublets the Leased Premises to any third party without Party A’s consent.(f) Party B conducts illegal activities in the Leased Premises.(g) Other reasons_______________________.
 
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**Article XII Dispute Solution**Any disputes arising out of or in connection with this Agreement shall be resolved throughconsultation between the parties or by meditation. If consultation or meditation fails, thedisputes may be referred to arbitration at Nantong Arbitration Committee in accordance withapplicable laws and regulations.This Agreement shall become effective after signing and affixing the seals of both parties.This Agreement shall be executed in four (4) original copies, with each party holding two (2)original copies.   Lessor (Party A): Qidong HuahongElectronics Co., Ltd. (seal affixed) Lessee (Party B): Jiangsu LinyangSolarfun Co., Ltd., Shanghai Branch(seal affixed)   Agent of the Lessor: Agent of the Lessee: /s/ Ping Xie   Date: Date:
 
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