English Translation of Equity Transfer Contract dated as of March 15, 2007



 Exhibit 10.9 
 English Translation 
 Equity Transfer Contract 
 Regarding Beijing Innovation Technology Co., Ltd. 
 Between 
 Worksoft Creative Software Technology Ltd. 
 AND 
 Yu Hao and Wei Wei 







 Contents 
  

			
	 Article 1 Definitions
	  	5
		
	 Article 2 Equity Transfer
	  	6
		
	 Article 3 Consideration of Equity Transfer and Payment
	  	7
		
	 Article 4 Representations and Warranties
	  	8
		
	 Article 5 Closing
	  	8
		
	 Article 6 Further Undertakings
	  	10
		
	 Article 7 Rights of both Parties
	  	11
		
	 Article 8 Confidentiality
	  	12
		
	 Article 9 Notice
	  	12
		
	 Article 10 Defaulting Liabilities
	  	13
		
	 Article 11 Expenses and Taxes
	  	13
		
	 Article 12 Dispute Resolution
	  	14
		
	 Article 13 Applicable Law
	  	14
		
	 Article 14 Language
	  	14
		
	 Article 15 Entire Contract
	  	14
		
	 Article 16 Effectiveness
	  	14
		
	 Annex 1 Company Information
	  	15
		
	 Annex 2 Conditions Precedent for the Closing
	  	17
		
	 Annex 3 Representations and Warranties
	  	19
		
	 Annex 4 Labor Contract and Non-competition Agreement
	  	27








 THIS EQUITY TRANSFER CONTRACT (“this Contract”) is entered into by and between the following parties as of
March 15, 2007: 
  

	(1)	Worksoft Creative Software Technology Ltd., a limited liability company incorporated under the laws of the People’s Republic of China, whose registered address is 3F, No.8
Building, Zhongguancun Software Park, 8 Dongbeiwang West Road, Haidian District, Beijing (hereinafter referred to as “Party A”); and 

  

	(2)	Yu Hao, a citizen of the People’s Republic of China, whose address is Jiaogonger, No. 10 Xitucheng Road, Haidian District, Beijing; Wei Wei, a citizen of the People’s
Republic of China, whose address is 177, 7F, No. A6 Wohuqiao, Haidian District, Beijing (hereinafter collectively referred to as “Party B”). 

 WHEREAS, 
  

	(A)	Party B holds 100% equity interest of Beijing Innovation Technology Co., Ltd. (hereafter “the Company”) (the details of the Company as of the execution date of this
Contract are set forth in Part A of Annex 1 attached hereto); 

  

	(B)	Subject to the terms and conditions of this Contract, Party B agrees to transfer to Party A 100% equity interest of the Company (“Equity Transfer”), and Party A agrees to
purchase from Party B 100% equity interest held by Party B in the Company at a price of RMB 8 million; 

  

	(C)	Party A and the third party designated by Party A have completed due diligence on the Company. 

 NOW, THEREFORE, Party A and Party B, through friendly negotiations, hereby agree as follows: 
 Article 1
Definitions 
  

	1.1	Whenever used in this Contract, the following terms shall have the following meanings, unless otherwise specifically specified herein or the context otherwise requires:


 “Equity” means the 100% capital contributions made by Party B to the Company (totaling RMB 1 million), along with
the represented title, rights and interests (including any retaining earnings of the Company), i.e. the target equity of the Equity Transfer. 
 “Subsidiary” means the Company’s subsidiary, i.e. Hangzhou Inno-Tech Technology Ltd. (the details of the Subsidiary on the execution date of this Contract are set forth in Part B of Annex 1 attached hereto). 
 “Closing” means that for the purpose of the Equity Transfer under this Contract, Party B transfers equity to Party A and completes related
registration procedures concerning shareholder change. 
 “Closing Date” means the date when all the equity transfer conditions as
set forth in Annex 2 are fulfilled and shareholder change is completed, or another date as otherwise agreed upon by both parties. 







 “Security Interest” means any mortgage, claim, equity interest, lien, option, pledge, security
interest, right of priority, right of acquisition, right of detention, retention of title, right of setoff, counter claim, trust arrangement or other types of similar encumbrances (including those relating to use, voting, transfer, obtaining of
income or exercising of other owner’s equity). 
 “Due Diligence” means the comprehensive due diligence performed by Party A
and the third party designated by Party A with respect to the Company. 
 “Confidential Information” means any and all oral and
written information relating to or associated with the business operation, business strategy, business plan, investment plan, sales, customers, marketing, technology, research and development, financial or other issues of both parties, including,
but not limited to, all the reports and records containing such information and all copies (including electronic ones), duplicates, reproductions and translations thereof. For the purpose of this Contract, Confidential Information shall also include
this Contract and the Closing under this Contract. Neither party shall disclose related information to any third party other than both parties and the companies delegated by them. 
 “Conditions” means the conditions precedent for the Closing as listed in Annex 2. 
 “Workday” or “Business Day” means the date except Saturday or Sunday or public holidays in China. 
 “Equity Transfer Price” means the payment price totaling RMB 8 million. 
 “Renminbi” or “RMB” means the lawful currency of China. 
 “Articles of Association” means the Articles of Association of the Company as amended and supplemented from time to time. 
 “Registration Authorities” means the administration for industry and commerce with which the Company is registered. 
  

	1.2	Unless otherwise specifically specified herein or the context otherwise requires: 

  

	1.2.1	The contract, agreement or document as mentioned herein shall mean this Contract, agreement or document as may be amended, supplemented or replaced from time to tome;


  

	1.2.2	Any person mentioned in this Contract or other contract, agreement or document shall include the successor and permitted assignee of such person; 

  

	1.2.3	The provisions or annexes as mentioned herein shall mean the provisions of or annexes to this Contract; and 

  

	1.2.4	“Party” shall mean a party to this Contract and “both parties” shall mean Party A and Party B. 

 Article 2 Equity Transfer 
  

	2.1	Subject to the conditions of Annex 2 attached hereto, Party B agrees to transfer to Party A, and Party A agrees to accept from Party B, the equity interest of the Company. Such
equity shall be free and clear of any security interest. 









	2.2	Prior to the Equity Transfer, the equity structure of the Company is as follows: 

  

					
	 Shareholder’s name
	  	 Capital contribution
	  	 Percentage

	 Yu Hao
	  	RMB 500,000	  	50%
			
	 Wei Wei
	  	RMB 500,000	  	50%
			
	 Total
	  	RMB 1,000,000	  	100%

  

	2.3	After the Equity Transfer, the equity structure of the Company is as follows: 

  

					
	 Shareholder’s name
	  	 Capital contribution
	  	 Percentage

	 Party A
	  	RMB 1,000,000	  	100%
			
	 Total
	  	RMB 1,000,000	  	100%

 Article 3 Consideration of Equity Transfer and Payment 
  

	3.1	Both parties agree that the Equity Transfer Price under this Contract is denominated in RMB. The Equity Transfer Price to be paid by Party A is RMB 8 million.


  

	3.2	Both parties agree that Party B is not entitled to any bonus or dividends of the Company after December 31, 2006. 

  

	3.3	Subject to the fulfillment of the Closing, Party A shall, within 7 workdays after the Closing Date, pay RMB 2 million in the Equity Transfer Price to the account designated by
Party B. 

  

	3.4	Both parties hereby acknowledge that as of the execution date of this Contract, Party B owes RMB 6 million debts to Party A. Both parties agree that subject to the fulfillment
of the Closing, such debts will be offset by RMB 6 million in the Equity Transfer Price payable by Party A, so Party A is not required to pay to Party B RMB 6 million in the Equity Transfer Price. Within 7 workdays after the Closing Date,
Party A and Party B shall sign a written instrument by which to confirm the RMB 6 million debts owed by Party B to Party A are offset by RMB 6 million in the Equity Transfer Price. 








 Article 4 Representations and Warranties 
  

	4.1	Each party hereby represents and warrants to the other party that: 

  

	4.1.1	With respect to Party A, it is a company duly incorporated and existing under Chinese laws and regulations, complies with the conditions/requirements of Chinese laws and regulations
and has performed related approval/registration procedures; 

  

	4.1.2	It has the right, authority and power to execute and perform this Contract; and 

  

	4.1.3	The execution and performance of this Contract have been duly authorized by corporate action on its part. Once executed, this Contract constitutes a legal, valid and binding
obligation enforceable against such party in accordance with its provisions. 

  

	4.2	Party B further makes the representations and warranties as listed in Annex 3 below to Party A. 

  

	4.3	Except as otherwise expressly provided herein, each party warrants that each of its representations and warranties is true, accurate and complete as of the execution date of this
Contract and the Closing Date and is not misleading to the other party. 

  

	4.4	Where any representation or warranty made by either party under this Contract is false or erroneous, or such representation or warranty is not performed in an appropriate and timely
manner, such party shall be deemed to violate such representation or warranty. Besides the other obligations under this Contract, such party shall also indemnify the non-defaulting party from and against any and all losses, damages, expenses
(including, but not limited to, reasonable attorney’s fee) and liabilities caused by or arising out of such default, unless the defaulting party can prove that it is not made aware of the situation as of the execution date of this Contract and
has no intentional act or gross negligence. 

  

	4.5	Before the Closing is completed: 

  

	4.5.1	If either party knows that any of its representations and warranties under this Contract is untrue, inaccurate and incomplete or is misleading to the other party, it shall forthwith
inform the other party in writing; 

  

	4.5.2	The party violating any of its representations and warranties shall promptly take measures to cure such violation. Where such violation is not cured within 30 days of giving the
written notice as stated in Article 4.5.1 hereof, both parties shall negotiate in good faith to seek a mutually acceptable resolution; and 

  

	4.5.3	In the event that the violation hereof is still not cured within 30 days after the good faith negotiation as stated in Article 4.5.2 hereof begins, and both parties fail to reach a
resolution, the non-violating party may continue the Closing or terminate this Contract at its own discretion. If the Closing continues, the violating party shall not be exempt from the defaulting liabilities as specified in Article 4.4 above. Any
such termination shall not affect the rights and obligations under this Contract already possibly accrued up to the date of termination. 








 Article 5 Closing 
  


	5.1	Closing is subject to the fulfillment of the conditions as listed in Annex 2. 

  

	5.2	Both parties shall make all reasonable efforts to cause all the conditions for the Closing to be fulfilled. In case any condition is still not fulfilled within one month after the
execution date of this Contract, both parties shall immediately negotiate to seek a mutually acceptable resolution. If no resolution is reached within three months after the execution date of this Contract: 

  

	5.2.1	This Contract shall be terminated upon expiry of such three-month period, unless otherwise agreed upon by both parties in writing. Such termination shall not affect the rights and
obligations of both parties under this Contract already possibly accrued up to the date of termination; and 

  

	5.2.2	Each party shall take all necessary or appropriate actions to reposition it as before the execution of this Contract, including, without limitation, applying to related Chinese
authorities for cancellation of any registration as may have been made in relation to the transactions contemplated by this Contract or any other registration for the same purpose. 

  

	5.3	Each party shall be entitled to give a written notice to the other party to, in whole or in part, waive any or all conditions precedent that need to be fulfilled by the other party.


  

	5.4	The Closing of the Equity Transfer shall be made in Beijing as of the Closing Date. At Closing, Party B shall deliver to Party A the copies of the documents affixed with official
seal and proving that the registration of alteration of the Company have been handled with the Registration Authorities, and shall also present originals. 

  


	5.5	Should any of the following cases occur, the defaulting party shall indemnify the non-defaulting party from and against any and all claims, expenses, costs, losses and liabilities,
directly or indirectly, caused by or arising from such default: 

  

	5.5.1	Party B does not perform or fails to timely perform its obligations under Article 5.1 above and as a result, the Closing of the Equity Transfer cannot be completed;


  

	5.5.2	Party A fails to pay the Equity Transfer Price to Party B in full at the time as specified in Article 3. 

  

	5.6	Except the situation as set forth in Article 5.2, where the Closing fails to begin within 5 workdays after the execution date of this Contract for any reason not attributable to
both parties, both parties shall forthwith negotiate to seek a mutually acceptable resolution. If no resolution is reached within 15 workdays after the execution date of this Contract: 

  

	5.6.1	This Contract shall be terminated upon expiry of such 15-workday period, unless otherwise agreed upon by both parties in writing. Such termination shall not affect the rights and
obligations of both parties under this Contract already possibly accrued up to the date of termination; and 

  

	5.6.2	Each party shall take all necessary or appropriate actions to reposition it as before the execution of this Contract, including, without limitation, applying to related Chinese
authorities for cancellation of any registration as may have been made in relation to the transactions contemplated by this Contract or any other registration for the same purpose. 








 Article 6 Further Undertakings 
  

	6.1	Each party shall further execute such documents and do such acts as may be reasonably requisite for the full implementation of this Contract. 

  

	6.2	As the shareholder of the Company before the Closing Date, Party B shall not do or permit the Company to do any thing that is likely to have a material adverse impact on equity
and/or the Company during the period from the execution date of this Contract to the Closing Date. Party B undertakes that except with Party A’s prior written consent: 

  

	6.2.1	The Company will be engaged in its normal and customary business activities. Except the payments for its normal and customary businesses, the Company will not make (or agree to
make) any other unnecessary payment. Notwithstanding the foregoing provision, the Company shall not make any single cash payment exceeding RMB 100,000 or cash payments cumulatively exceeding RMB 300,000, regardless of normal and customary
businesses; 

  

	6.2.2	The Company will take all reasonable procedures to maintain and protect its assets and try its best to retain existing management and core technicians and to maintain its
relationship with customers, suppliers and other third parties so that its goodwill and prospect of continued operations are not damaged; 

  

	6.2.3	By giving a prior written notice during normal working hours, Party A’s representative is entitled to obtain and copy the Company’s financial statements;


  

	6.2.4	Party B has no actions or inactions that constitute or result in the violation of its representations and warranties; 

  

	6.2.5	In the event that the fact serving as the basis for its representations and warranties under this Contract changes and has a material adverse impact on the Closing under this
Contract, it will keep Party A informed of such fact as early as possible; 

  

	6.2.6	The Company will not declare to distribute, pay or prepare payment of dividends or other profits; 

  

	6.2.7	The capital of the Company will not be increased or the Company will not agree to such capital increase; 

  

	6.2.8	Except the loans disclosed by the Company to Party A before the execution date of this Contract, the Company will not accept any loan or provide any borrowing;


  

	6.2.9	Except as otherwise specified in laws, regulations and rules, the Company will not change the employment terms with its employees (including management personnel) in a manner that
the total staff costs of the Company for the current year will increase; 

  

	6.2.10	The Company will not make any warranty to Party B; 

  

	6.2.11	Party B will not do any act that is inconsistent with the provisions of this Contract or the result of the transactions contemplated by this Contract; 

  

	6.2.12	Party B and/or the Company will, as practicable as possible, inform Party A in writing of all the events or acts unrelated to the daily operations of the Company, including, but not
limited to (supplements, if needed, are to be agreed upon by both parties in writing): 









	 	1)	Equity restructuring of the Company, amendment of the articles of association of the Company or other change of industrial and commercial registrations of the Company. Party B shall
disclose the transaction terms relating to the equity restructuring of the Company to Party A; 

  

	 	2)	The Company signs an agreement relating to intellectual property rights with any third party, regardless of whether the ownership of its intellectual property rights is changed
(including, but not limited to, transfer, donation, etc), others are licensed to use its proprietary intellectual property rights or the Company uses the intellectual property rights of others. 

  

	6.3	Party A undertakes to pay the Equity Transfer Price on time and in full. 

  

	6.4	Party A further undertakes that if the Equity Transfer under this Contract cannot be completed due to its own incompetence, Party B shall not be held responsible therefor. Any legal
risk or loss arising therefrom shall be borne by Party A. 

  

	6.5	Party B further undertakes that within 7 days after the Closing, it shall sign the Labor Contract and Non-competition Agreement with the Company in the same form and contents as set
forth in Annex 4. 

 Article 7 Rights of both Parties 
  

	7.1	If any of the following facts, matters or events is known to Party A at any time before the Closing, Party A may inform Party B and/or the Company in writing before the Closing and
terminate this Contract without undertaking any liability; the defaulting party shall also undertake the defaulting liabilities as set forth in Article 10 below: 

  

	7.1.1	The act of Party B and/or the Company materially violates this Contract and as a result, Party A cannot fulfill equity purchase; 

  

	7.1.2	There exists or occurs any matter violating any representation or warranty and such violation has a material adverse impact on the Company and the Closing under this Contract;


  

	7.1.3	There occurs anything that has or is likely to have a material adverse impact on the business, financial position or prospect of the Company. 

  

	7.2	If any of the following facts, matters or events is known to Party B at any time before the Closing, Party B may inform Party A in writing before the Closing and terminate this
Contract without undertaking any liability; the defaulting party shall also undertake the defaulting liabilities as set forth in Article 10 below: 

  

	7.2.1	Party A’s act materially violates this Contract and as a result, Party B cannot obtain the Equity Transfer Price; 

  

	7.2.2	There occurs anything that has or is likely to have a material adverse impact on the business, financial position or prospect of Party A; 

  

	7.2.3	During the duration from the execution date of this Contract to the Closing Date, there occurs any matter that has or is likely to have a material adverse impact on the present
transaction owing to Party A’s intentional act or gross negligence. 








 Article 8 Confidentiality 
  

	8.1	Each party (“Receiving Party”) shall keep in confidence the confidential information obtained from the other party and shall not use such information for any other purpose
than as specified herein or disclose such information to any third party. Notwithstanding the foregoing provision, such confidentiality obligation shall not apply to the information which: 

  

	8.1.1	is or becomes public knowledge through no fault of the Receiving Party or its representative, agent, supplier or subcontractor; 

  

	8.1.2	is lawfully received by the Receiving Party from a third party without a duty of confidentiality or any use limitation; or 

  

	8.1.3	is already possessed by the Receiving Party in writing without any use or disclosure limitation, and is not obtained from the other party for the purpose of this Contract.


  

	8.2	Notwithstanding the provisions in Article 8.1, the Receiving Party may disclose confidential information to its or Company’s employees, directors and consultants to the extent
being reasonably necessary for the purpose of this Contract. The Receiving Party shall ensure that such employees, directors and consultants know and comply with the confidentiality obligations in this Article. Subject to the requirement of law or
court of competent jurisdiction or supervisory department, the Receiving Party may disclose confidential information, provided, however, that the Receiving Party shall, to the extent being permitted by relevant laws and regulations, take all
permitted measures to cause such confidential information to be treated in confidence. 

  

	8.3	The Receiving Party shall not make copies of any received confidential information in any way. 

 Article 9 Notice 
  

	9.1	Any notice required to be made pursuant to this Contract shall be in writing and sent to the fax number or address designated by the addressee by fax or registered mail. The notice
so given shall be deemed to be received: 

  

	 9.1.1
	 If by fax, at the twelfth (12th) hour after sending; and 


  

	 9.1.2
	 If by registered mail, on the third (3rd) day after posting. 


  

	9.2	Any written notice required to be made by Party A pursuant to the provisions of Article 9.1 above shall be sent to the following fax number or address of Party B:


  

			
	Yu Hao:	  	Fax number: 010-65064875
		
		  	Address: Rm.609, Heng An Building, 17 Dongsanhuan North Road, Chaoyang District, Beijing 100027
		
	Wei Wei:	  	Fax number: 010-65064875
		
		  	Address: Rm.609, Heng An Building, 17 Dongsanhuan North Road, Chaoyang District, Beijing 100027









	9.3	Any written notice required to be made by Party B pursuant to the provisions of Article 9.1 above shall be sent to the following fax number or address of Party A:


 Fax Number: 010-8282-5058 
 Address: 3F, No.8 Building, Zhongguancun Software Park, Haidian District, Beijing 
 Attn.: Zhou Ying

 Article 10 Defaulting Liabilities 
  

	10.1	In the event that either party defaults under any provision of this Contract, it shall indemnify the non-defaulting party from and against any and all claims, expenses, costs,
losses and liabilities, directly or indirectly, caused by or arising from such default. Where defaulting party is a party in Party B and/or the Company, Party B shall undertake the joint and several responsibility for such indemnification.


  

	10.2	Without prejudice to any other provision in this Article 10, where either party fails to perform any of its obligations under this Contract, besides any other right and remedy under
this Contract, the other party shall be entitled to request the defaulting party to perform such obligation. Both parties expressly waive the defense regarding the sufficiency of liquidated damages. 

  

	10.3	Without prejudice to any other provision in this Article 10, where Party A fails to pay the Equity Transfer Price in full to Party B pursuant to the provisions of Article 3.3
hereof, Party B shall be entitled to request Party A in writing to pay such Equity Transfers Price. Should Party A fail to make full payment within 7 workdays of receiving the said written notice from Party B, Party B shall be entitled to
unilaterally terminate this Contract based on such material default and request Party A to compensate the losses, damages and costs (including, but not limited to, reasonable attorney’s fee) relating to Equity Transfer caused to Party B by such
termination. 

  

	10.4	Without prejudice to any other provision in this Article 10, where either party in Party B fails to transfer the equity to Party A in full conformity with the terms and conditions
of this Contract, Party A shall be entitled to request Party B in writing to transfer the equity to Party A pursuant to the terms and conditions of this Contract. If Party B still fails to handle the industrial and commercial alteration registration
of equity transfer within 7 workdays of receiving the said written notice from Party A, Party A shall be entitled to unilaterally terminate this Contract based on such material default and request Party B to compensate the losses, damages and costs
(including, but not limited to, reasonable attorney’s fee) relating to Equity Transfer caused to Party A prior to such termination. 

 Article 11 Expenses and Taxes 
  

	11.1	Each party shall itself bear all its negotiation and implementation expenses in connection with this Contract (including its annexes) and other final agreements as well as purchase,
such as, without limitation, legal, accounting, financial, consulting and other related expenses. 









	11.2	Each party shall itself bear any tax as may be levied on it in connection with the Equity Transfer under this Contract. Each party shall itself pay the stamp tax with respect to the
original of this Contract held by it. 

 Article 12 Dispute Resolution 
 Any dispute arising from or in connection with this Contract, including any question regarding the validity or existence of this Contract, shall be resolved by both
parties in good faith through negotiations. In case no resolution can be reached within 30 days after a party gives a written notice requesting a resolution through negotiations, either party may refer such dispute to Beijing Arbitration Commission
for arbitration in Beijing in accordance with its arbitration rules then in effect. Arbitral award shall be final and binding upon both parties. 
 Article 13 Applicable Law 
 This Contract shall be governed by and construed in accordance with the laws of the People’s Republic of
China. 
 Article 14 Language 
 This
Contract is executed in six originals in Chinese, with one original to be held by Party A, two originals to be held by Party B and the remaining originals to be used to handle all necessary alteration registrations with related Registration
Authorities. 
 Article 15 Entire Contract 
 This Contract, including its schedules, annexes and appendixes attached hereto, constitutes the entire contract between both parties with respect to the subject matter hereof and substitutes and replaces any and all prior contracts, whether
written or oral, between both parties with respect to the subject matter hereof. 
 Article 16 Effectiveness 
 This Contract shall come into force after it is executed and sealed by both parties or their duly authorized representatives. 
 IN WITNESS WHEREOF, both parties hereto have executed this Contract as of the date first above written. 







 Annex 1 Company Information 
  

			
	A. The Company	  	
	1. Company name	  	Beijing Innovation Technology Co., Ltd.
	2. Legal address	  	Rm.903, Block A, Xueyan Building, Tsinghua University, Haidian District, Beijing
	3. Date of incorporation	  	June 9, 2004
	4. Place of incorporation	  	Haidian District, Beijing, China
	5. Business	  	Software outsourcing business
	6. Legal representative	  	Yu Hao
	7. Director	  	Yu Hao
	8. Registered capital	  	RMB 1,000,000
	9. Shareholders	  	 (1) Yu Hao: a capital contribution of RMB 500,000, accounting for 50% of registered capital;
 (2) Wei Wei: a capital contribution of RMB 500,000, accounting for 50% of registered capital

	10. Auditor	  	No
	11. Ending date of fiscal year	  	December 31
	12. Duration	  	20 years (from June 9, 2004 to June 8, 2024)









			
	B. Hangzhou Inno-Tech Technology Ltd.	  	
	1. Company name	  	Hangzhou Inno-Tech Technology Ltd.
	2. Legal address	  	Rm.A217, 2F, A Workshop, Block D, 66 Dongxin Road, Hangzhou
	3. Date of incorporation	  	May 26, 2005
	4. Place of incorporation	  	Binjiang District, Hanghzou, China
	5. Business	  	Software test outsourcing
	6. Legal representative	  	Yu Hao
	7. Director	  	Yu Hao
	8. Registered capital	  	RMB 500,000
	9. Shareholder	  	Beijing Innovation Technology Co., Ltd.: a capital contribution of RMB 500,000, accounting for 100% of registered capital
	10. Auditor	  	No
	11. Ending date of fiscal year	  	December 31
	12. Duration	  	20 years (May 26, 2005 to May 25, 2025)








 Annex 2 Conditions Precedent for the Closing 
  

	1.	The Closing of the Equity Transfer is subject to the fulfillment of all the following conditions or a written waiver of them by relevant party: 

  

	1.1	Party A shall: 

  

	(1)	Have obtained the resolution adopted by Party A’s board of directors on approving the Equity Transfer; 

  

	(2)	Have executed the articles of association of the Company in the format as stated in Schedule of Annex 2 as well as any and all legal documents as necessary for the completion of the
Equity Transfer. 

  

	1.2	Party B and the Company shall ensure that: 

  

	(1)	The shareholders’ meeting of the Company has adopted a resolution on approving the Equity Transfer and amendment of articles of association; 

  

	(2)	The other legal documents required under this Contract or necessary for the completion of the Equity Transfer have been duly executed; 

  

	(3)	The industrial and commercial alteration registrations of the equity and other changes of the Company have been handled with the competent administration for industry and commerce;


  

	(4)	The directors and legal representative formerly appointed by Party B have resigned from the Company and confirmed in writing to waive any claim on separation pay and other related
issues against the Company; 

  

	(5)	The related registration or filing procedures of the directors and legal representative appointed by Party A have been handled with the competent administration for industry and
commerce. 

  

	1.3	Party A and the third party designated by Party A have completed due diligence on the Company. Party A is satisfied with the result of due diligence or the problems identified
during due diligence have been resolved in compliance with Chinese laws and regulations. 








 Annex 2 Schedule - Articles of Association 







 Annex 3 Representations and Warranties 
 Unless the context otherwise requires, the representations and warranties included herein with respect to the Company shall be deemed as a restatement for its
subsidiary. 
 The terms as defined in the main body of this Contract shall have the same meanings in this Annex 3. The following terms shall have the
following meanings: 
 “Accounts” means the audited accounts of the Company ended on the Reference Date (including one balance sheet and one profit
statement), notes to accounting statements, description, report and other documents signed by auditor. 
 “Intellectual Property Rights” means:

  

	(a)	Any and all the Internet domain names, email addresses (except those containing the names of the internal personnel of the Company), trade names, trademarks or service marks as well
as any other related applications and registrations that have been or are being used by the Company with respect to its commodities or services (hereinafter collectively referred to as “Marks”); 

  

	(b)	Any and all patents and patent applications made by the employees of the Company by performing their duties in accordance with employment contracts or mainly using Company’s
monies, equipment, parts, materials or technical data not made publicly available, including, but not limited to, invention, utility model and industrial design (hereinafter collectively referred to as “Patents”); 


 

	(c)	The copyrights of any and all published and unpublished works jointly or individually created by the employees of the Company or the personnel engaged by the Company within the
scope of employment or engagement (hereinafter collectively referred to as “Copyrights”); 

  

	(d)	The rights of any and all molding works jointly or individually developed, designed, manufactured or conceived by the employees of the Company or the personnel engaged by the
Company within the scope of employment or engagement (hereinafter collectively referred to as “Molding Work Rights”); 

  

	(e)	Any and all technical and/or business information jointly or individually developed, designed, manufactured, conceived or made practicable by the employees of the Company or the
personnel engaged by the Company within the scope of employment or engagement or is obtained by the Company through other means, which is not made available to the public, can bring economic benefits to the Company and is kept confidential by the
Company, including confidential or proprietary information, know-how, process, method, study, technical information, data, improvement, idea, invention, discovery, skill, development, plan, graph, drawing, flow chart, print, specifications, software
program, original and execution codes, development and marketing plan, strategy, forecast, customer information, name list of customer or similar information, whether it is commercial, experimental or patentable information (hereinafter collectively
referred to as “Trade Secrets”). 

 “Reference Date” means December 31, 2006. 
 “Management Accounts” means the unaudited profit statement of the Company from the date following the Reference Date to the Closing Date as well as the
unaudited balance sheet of the Company as of the Closing Date. 







 “Taxes” means any form of tax levied by Chinese central and local financial, taxation, customs and other
authorities. 
 Article 1 Ability and Authority 
  

	1.1	Party B and the Company have the right, power and authority to execute and perform this Contract and each document to be executed on or before the Closing Date (as the case may be)
and to exercise its rights and obligations under this Contract and each such document. 

  

	1.2	The Company has the right, power and authority to be engaged in the businesses it is engaged in as of the execution date of this Contract and the Closing Date.


 Article 2 Materials 
  

	2.1	All the materials provided by Party B, the Company or their representatives to Party A or its consultant or representative before or during the negotiations made for the execution
of this Contract are true, complete and accurate. 

 Article 3 Equity 
  

	3.1	Party B is the legal owner of the equity of the Company, owns the equity-related rights and shall undertake the corresponding obligations. 

 Article 4 Accounts 
  

	4.1	General Terms 

  

	4.1.1	Accounts are prepared in accordance with Chinese laws and applicable accounting standards and practices. 

  

	4.1.2	Accounts truly and impartially present Company’s operations (assets, liabilities, etc), profits and losses as of the Reference Date. 

  

	4.2	Debts and liabilities 

 Accounts adequately and truly present the bad
debts, doubtful debts and liabilities as of the Reference Date. 
  

	4.3	Preparation for tax 

 Necessary preparation for all related taxes have
been made in the Accounts. 
  

	4.4	Accounting records 

 Accounting records are prepared in a complete and
accurate way in accordance with Chinese laws and universal applicable rules and principles. 
  

	4.5	Management accounts 

 Management Accounts are appropriate prepared on the
basis of the same standards for the Accounts and fairly present the assets, liabilities, profits and losses of the Company as of the Closing Date. 







 Article 5 Changes since the Reference Date 
  

	5.1	General Terms 

 Since the Reference Date: 
  

	5.1.1	The businesses of the Company have continued as a going concern; 

  

	5.1.2	There have been no substantial adverse changes in the financial or trade situation of the Company; and 

  

	5.1.3	The assets and liabilities shown in the Accounts are true and there have been no substantial changes; based on the method of valuation adopted in the Accounts, there have been no
significant reduction in the net value of Company’s tangible assets. 

  

	5.2	Special Terms 

 Since the Reference Date: 
  

	5.2.1	Except in the normal course of business, without Party A’s consent, the Company has not: 

  

	 	(a)	Obtained or disposed of or agreed to obtain or dispose of any substantial properties; and 

  

	 	(b)	Undertaken or incurred or agreed to undertake or incur any significant obligations or expenses. 

  

	5.2.2	Except as presented in the Accounts, since the Reference Date, the Company has not declared, paid or distributed any dividends, funds and bonus. 

 Article 6 Taxes 
  

	6.1	General Terms 

  

	6.1.1	The Company has paid or made provisions for all its payable taxes and since the Reference Date, has not paid any fine, penalty or interest regarding any tax levied by the competent
taxation authorities. 

  

	6.1.2	Since the Reference Date, the Company has not been involved in any tax-related dispute and has been free of any tax evasion act that may cause competent taxation authorities and
judicial institution to ascertain its legal responsibility. 

  

	6.1.3	The preferential tax treatments enjoyed by the Company are granted by related authorities in a legal and effective manner and the Company will continue to enjoy such preferential
tax treatments in accordance with the related regulations of the said authorities. 

  

	6.1.4	There are no outstanding issues or disputes relating to taxes between Party B and the Company. 

 Article 7 Assets 
  

	7.1	Since the Reference Date, all the assets detailed in the Accounts are free and clear of any security interest and are legally owned or used by the Company. 









 Article 8 Intellectual property rights 
  

	8.1	The Company is the legitimate owner or user of the Intellectual Property Rights as set forth in Schedule 1 to this Annex. 

 Article 9 Debtors 
  

	9.1	The Company has the right to claim the creditor’s rights (including accounts receivable) listed in the Accounts or accounting records. 

 Article 10 Impact of equity transfer 
 The Closing of the Equity Transfer
under this Contract will not: 
  

	10.1	Bereave the Company of its assets, licenses and preferences as of the execution date of this Contract, including, but not limited to, any right in any proprietary intellectual
property rights; or 

  

	10.2	Conflict with any agreement or arrangement to which the Company is a party or any legal or administrative requirement binding upon the Company or constitute a default.


 Article 11 Agreement 
  

	11.1	Except the material contracts already disclosed to Party A before the execution date of this Contract, there are no contracts whose value accounts for more than 5% of the annual
total income or net profits of the Company. 

  

	11.2	The Company or Party B does not know that any contract, agreement, arrangement or obligation to which the Company is a party is invalid or exists any reason for its termination or
cancellation. 

  

	11.3	Any party with which the Company enters into a contract, agreement or arrangement does not materially default under such contract, agreement or arrangement. To the knowledge of the
Company, there exists no such default. 

  

	11.4	Except with Party A’s consent, the Company is not a party to an abnormal contract, agreement, arrangement or undertaking, nor undertakes any obligation in it. These abnormal
contracts, agreements, arrangements or undertakings include, but not limited to: 

  

	11.4.1	The contracts, agreements, arrangements or undertakings not signed in the normal course of business; 

  

	11.4.2	The contracts, agreements, arrangements or undertakings not signed through normal fair transactions; 

  

	11.4.3	The contracts, agreements, arrangements or undertakings limiting Company’s freedom in all or part of its business operations or in the use of any of its properties at its own
discretion; or 

  

	11.4.4	The contracts, agreements, arrangements or undertakings the Company cannot perform on time or has to perform by spending excessive or abnormal monies or efforts.


 Article 12 Creditors 
 The Company has made
payments to its creditors within the time as agreed upon with them. To the knowledge of the Company, its customers or suppliers have not: 








	12.1	Stopped the transactions with the Company or stopped supply to the Company; 

  

	12.2	Substantially reduced the transactions with the Company or substantially reduced supply to the Company; or 

  

	12.3	Substantially changed the terms of its proposed transactions with the Company or its proposed supply to the Company. 

 Article 13 Licenses and compliance with laws 
  

	13.1	The Company has obtained all licenses, permits, approvals and other authorizations necessary for the Company to own, operate and use all its assets, be engaged in its current
businesses and sell and provide its current products and services. All such licenses, permits, approvals and authorizations remain in full effect. 

  

	13.2	The Company has been engaged in its businesses and corporate affairs in accordance with all applicable Chinese laws and not violated any Chinese law applicable to the businesses of
the Company. Such violation may have a material adverse impact on Company’s assets and businesses. 

 Article 14 Employees 
  

	14.1	Except the management personnel and core technical personnel as listed in Schedule 2, the Company has no other employees whose resignation will have a material adverse impact on the
normal production and operations of the Company. 

  

	14.2	The Company has not received any resignation notice from any of the management personnel or core technical personnel as listed in Schedule 2. 

  

	14.3	As far as all the employees of the Company are concerned, the Company: 

  

	14.3.1	Has no outstanding labor dispute; 

  

	14.3.2	Has no liability for any payable but unpaid economic compensation relating to the termination of employment relationship or other similar compensation or indemnity in connection
with employment relationship. 

 Article 15 Liabilities 
  

	15.1	Debts 

 Since the Reference Date, Party B or the Company has no
outstanding loan, borrowing or debts of a borrowing nature and has not agreed to incur or create any loan, borrowing or debts of a borrowing nature, except the debts already disclosed to Party A before the execution date of this Contract.

  

	15.2	Third-party guarantees 

 Since the Reference Date, Party B or the Company
has not become a party to mortgage, pledge, guarantee, compensation or other agreements by providing guarantees for the obligations of others or creating financial or other obligations. 







 Article 16 Bankruptcy 
  

	16.1	The Company has no bankruptcy or insolvency situation. 

 Article 17
Lawsuits and compliance with laws 
  

	17.1	Lawsuits 

 Party B and the Company are not involved in any civil,
criminal, arbitration, administrative or other proceedings or disputes. To the knowledge of Party B and the Company, there are currently no civil, criminal, arbitration, administrative or other proceedings or disputes pending or threatened against
Party B and the Company. 
  

	17.2	Compliance with laws 

 Party B and the Company have complied with all
applicable Chinese laws and regulations in all material respects. 
 Article 18 Documents and reports 
  

	18.1	The Company has operated its businesses in accordance with its articles of association and business license in all respects. 

  

	18.2	All the reports, materials, resolutions and other documents regarding the Company required to be filed with or submitted to industrial and commercial administration department or
any other department have been appropriately filed or submitted. 

 Article 19 Foreign exchange 
  

	19.1	There are no violations of Chinese regulations governing foreign exchange that may result in any fine, penalty or other injunction (including revoke of Company’s business
license) to Party B or the Company. 

 Article 20 Other institutions 
  

	20.1	The Company does not have any other branch or office nor holds any equity or other long-term investment in any other company or any other enterprise, except those as listed in Part
B of Annex 1. 








 Annex 3 
 Schedule 1 Intellectual Property Rights 
 A. The intellectual property rights over which the Company has ownership

 No. 
 B. The intellectual property rights over which the
Company has use right 







 Annex 3 
 Schedule 2 Name List of Management Personnel and Core Technical Personnel 







 Annex 4 Labor Contract and Non-competition Agreement 
 A. Labor Contract 
 B. Non-competition Agreement 







 Signature Page 
  

			
	For and on behalf of
	
	Worksoft Creative Software Technology Ltd.
		
	Signature:	 	 /s/ Chen Shuning

	Name:	 	
	Title:	 	
	Date:	 	March 15, 2007
	
	Yu Hao
		
	Signature:	 	 /s/ Yu Hao

	Date:	 	March 15, 2007
	
	Wei Wei
		
	Signature:	 	 /s/ Wei Wei

	Date:	 	March 15, 2007