Document:

Exhibit 4.15

Exhibit 4.15

SHARE PURCHASE AGREEMENT

This SHARE PURCHASE AGREEMENT (the “Agreement”) is made on the 4th day of January,
2010, by and among ACTIVE CENTURY HOLDINGS LIMITED, a company limited by shares duly incorporated
and validly existing under the Laws of British Virgin Islands (the “Seller”), the purchaser listed
on Schedule 1 attached to this Agreement (the “Purchaser”), CITYLEAD LIMITED, a company
limited by shares duly incorporated and validly existing under the Laws of the British Virgin
Islands (the “Company”), the Persons listed on Schedule 2 attached to this Agreement (each
a “Founder” and collectively the “Founders”, and together with the Seller, the “Key Holders” and
each a “Key Holder”), QIJI&BODEE Technology Limited, a company organized and existing under the
Laws of Hong Kong (the “HK Co”), QIGI&BODEE Technology (Beijing) Co., Ltd., a domestic company duly
incorporated and validly existing under the Laws of the PRC (the “Domestic Company”). Each of the
Seller, the Purchaser, the Company, the HK Co, the Key Holders, the WFOE and the Domestic Company
shall be referred to individually as a “Party” and collectively as the “Parties”. Capitalized terms
used herein shall have the meaning set forth in Schedule 3 attached hereto.

RECITALS

WHEREAS, the Parties entered into a Share Purchase Agreement on January 1, 2010 (the “First
Share Purchase Agreement”), pursuant to which the Company issued and sold to the Purchaser 4 Class
B Ordinary Shares for an aggregate purchase price of US$500,000 so that the Purchaser is a
shareholder of the Company holding 4% of the outstanding shares (“First Share Purchase
Transaction”);

WHEREAS, prior to the closing of the transactions contemplated under the First Share Purchase
Agreement and pursuant to the Plan of Restructuring, the HK Co shall form a wholly owned foreign
enterprise organized and existing under the Laws of the PRC (the “WFOE”), which shall become a
party to the First Share Purchase Agreement and this Agreement by executing and delivering a
counterpart signature page to each of the aforementioned two agreements;

WHEREAS, this Agreement shall be effective as to all parties except for the WFOE as of the
date hereof, and effective all parties and the WFOE as of the date of its execution and delivery of
its counterpart signature page;

WHEREAS, the Purchaser desires to purchase from the Seller the Shares (as defined in
Section 1.1) and the Seller desires to sell the Shares (as defined in Section 1.1)
to the Purchaser pursuant to the terms and subject to the conditions of this Agreement.

NOW, THEREFORE, THE PARTIES HEREBY AGREE AS FOLLOWS:

	1.	 	PURCHASE AND SALE OF SHARES.

	1.1	 	Sale of Share and Consideration.

Subject to the terms and conditions of this Agreement, the Purchaser agrees to purchase at
the Closing (as defined below) and the Seller agrees to sell to the Purchaser at the Closing
that number of Ordinary Shares of the Company set forth opposite the Purchaser’s name on
Schedule 1. As the consideration, the
Purchaser shall issue 65,934,066 ordinary shares to the Seller (the “Consideration”). The
Ordinary Shares of the Company sold to the Purchaser by the Seller pursuant to this
Agreement shall be referred to in this Agreement as the “Shares”; the ordinary shares of the
Purchaser issued to the Seller as the consideration for the Shares pursuant to this
Agreement shall be referred to in this Agreement as the “Consideration Shares”.

 

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	1.2	 	Closing; Delivery.

	 	(a)	 	The purchase and sale of the Shares shall take place remotely via the exchange
of documents and signatures, on a date specified by the Parties, or at such other time
and place as the Seller and the Purchaser mutually agree upon, which date shall be no
later than. five (5) Business Days after the satisfaction or waiver of each condition
to the Closing set forth in Section 2 and Section 3 (other than
conditions that by their nature are to be satisfied at the Closing, but subject to the
satisfaction or waiver of such conditions) (which time and place are designated as the
“Closing”).

	 	(b)	 	At the Closing, the Company shall cause its register of members to be updated
to reflect the Shares purchased by the Purchaser and deliver a copy of such updated
share register certified by the Company’s registered agent to the Purchaser.

	 	(c)	 	At the Closing, the Purchaser shall deliver a certified true copy of the draft
register of members of Purchaser as at the date of the Closing and giving effect to the
issuance of 65,934,066 Consideration Shares of Purchaser, par value US$0.00002 per
share, certified by a director of the Purchaser to be true and complete copies thereof
(to be followed by the delivery of certified true copies of the final, original
register of members within five (5) Business Days from the date of the Closing).

	 	(d)	 	Within three (3) Business Days after the Closing, the Company shall deliver to
the Purchaser one or more certificates representing the Shares being purchased by the
Purchaser hereunder at the Closing as set forth on Schedule 1.

	1.3	 	Consequence of the Sale of Shares.

At the Closing, the Company becomes a 100% subsidiary of the Purchaser.

At the Closing, the memorandum and articles of association of the Company shall be amended
as set forth in the form attached hereto as Exhibit A (the “Restated Articles”).
Such Restated Articles have been duly adopted by all necessary actions of the Board of
Directors and/or the members of the Company, and shall be duly filed with the Registrar of
Companies of the British Virgin Islands.

 

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	1.4	 	Termination of Agreement.

This Agreement may be terminated before the Closing as follows:

	 	(a)	 	at the election of the Purchaser on or after April 30, 2010, if the Closing
shall not have occurred on or before such date unless such date is extended by the
mutual written consent of the Seller and the Purchaser, provided that: (i) the
Purchaser is not in material default of any of their obligations hereunder, and (ii)
the right to terminate this Agreement pursuant to this Section 1.4(a) shall
not be available to the Purchaser if its breach of any provision of this Agreement
has been the cause of, or resulted, directly or indirectly, in, the failure of the
Closing to be consummated by April 30, 2010;

	 	(b)	 	by mutual written consent of Seller and the Purchaser as evidenced in writing
signed by each of the Seller and the Purchaser;

	 	(c)	 	by the Purchaser in the event of any breach or violation of any representation
or warranty, covenant or agreement contained herein or in any of the other Transaction
Documents by any Warrantor that is not cured or curable within ten (10) Business Days
of written notice;

	 	(d)	 	by the Purchaser if any event, circumstance or change shall have occurred that,
individually or in the aggregate with one or more other events, circumstances or
changes, have had or reasonably could be expected to have a Material Adverse Effect on
the Company or any other Group Company; or

	 	(e)	 	by the Seller in the event of any breach or violation of any representation or
warranty, covenant or agreement contained herein or in any of the other Transaction
Documents by the Purchaser with respect to such Purchaser that is not cured or curable
within ten (10) Business Days of written notice.

The date of termination of this Agreement pursuant to this Section 1.4 hereof shall
be referred to as “Termination Date”. In the event of termination by the Seller and/or the
Purchaser pursuant to this Section 1.4 hereof, written notice thereof shall
forthwith be given to the other Party and this Agreement shall terminate, and the purchase
of the Shares hereunder shall be abandoned and rescinded, without further action by the
Parties hereto.

	1.5	 	Effect of Termination.

In the event that this Agreement is validly terminated pursuant to Section 1.4, then
each of the Parties shall be relieved of their duties and obligations arising under this
Agreement after the date of such termination and such termination shall be without liability
to the Seller or the Purchaser; provided that no such termination shall relieve any
Party hereto from liability for any breach of this Agreement. The provisions of this
Section 1.5, Section 7, Section 8.1, Section 8.2,
Section 8.9, and Section 8.15, hereof shall survive any termination of this
Agreement.

	1.6	 	Earning Adjustment to the Consideration Shares.

	 	(a)	 	If the Domestic Company’s audited Net Profit for the finance year 2010 is less
than US$9,000,000, then following delivery of the Audited Financial Statements for the
finance year 2010 to the Domestic Company and the Purchaser, the Seller shall deliver
to the Purchasers the number of ordinary shares of the Purchaser as computed using the
following formula (the “2010 Reduced Consideration Shares”):

 

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	 	(b)	 	If the Domestic Company’s audited Net Profit for the finance year 2010 is less
than US$9,000,000, and the Domestic Company’s audited Net Profit for the finance year
2011 is less than US$11,000,000, then following delivery of the Audited Financial
Statements for the finance year 2011 to the Domestic Company and the Purchaser, the
Seller shall deliver to the Purchasers the number of ordinary shares of the Purchaser
as computed using the following formula:

	 	(c)	 	If the Domestic Company’s audited Net Profit for the finance year 2010 is not
less than US$9,000,000, but the Domestic Company’s audited Net Profit for the finance
year 2011 is less than US$11,000,000, then following delivery of the Audited Financial
Statements for the finance year 2011 to the Domestic Company and the Purchaser, the
Seller shall deliver to the Purchasers the number of ordinary shares of the Purchaser
as computed using the following formula:

For purposes of this Section 1.6, “Audited Financial Statements” means auditor’s reports on
the audited consolidated income statements of the Domestic Company for the finance year 2010
and 2011 audited by an auditor accepted by the Purchaser and prepared in accordance with
U.S. GAAP; “Net Profit” means the Domestic Company’s consolidated net income after tax as
reflected in the Audited Financial Statements, but excluding any income or loss outside of
the ordinary course of business.

The Domestic Company shall provide to the Purchaser the Audited Financial Statements no
later than four (4) months after the conclusion of each relevant finance year.

	2.	 	CONDITIONS TO THE OBLIGATIONS OF THE PURCHASER AT CLOSING.

The obligations of the Purchaser to purchase the Shares at the Closing are subject to the
fulfillment, on or before the Closing, of each of the following conditions, unless otherwise
waived in writing by the Purchaser:

	2.1	 	Completion of Due Diligence.

The Purchaser shall have satisfactorily completed its business, legal and financial due
diligence review, including but not limited to the receipt by the Purchaser of the Financial
Statements with respect to each Group Company hereof at the Company’s expense.

 

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	2.2	 	Material Adverse Effect.

Since the closing of the First Share Purchase Transaction, no event, circumstance or change
shall have occurred that, individually or in the aggregate with one or more other events,
circumstances or changes, have had or reasonably could be expected to have a Material
Adverse Effect on the Company or any other Group Company.

	2.3	 	Proceedings and Documents.

All corporate and other proceedings in connection with the transactions contemplated at the
Closing and all documents incident thereto shall be reasonably satisfactory in form and.
substance to the Purchaser, and the Purchaser (or its legal counsel) shall have received
all, such counterpart original and certified or other copies of such documents as reasonably
requested. The Group Companies shall have performed and complied with all covenants,
agreements, obligations and conditions contained in this Agreement that are required to be
performed or complied with by such Group Companies on or before the Closing.

	2.4	 	Authorizations.

The Warrantors shall have obtained all authorizations, approvals, waivers or permits of any
Person or any Governmental Authority necessary for the consummation of all of the
transactions contemplated by this Agreement and other Transaction Documents, including
without limitation any authorizations, approvals, waivers or permits that are required in
connection with the lawful sale of the Shares and all such authorizations, approvals,
waivers and permits shall be effective as of the Closing. The Company shall have fully
satisfied (including with respect to rights of timely notification) or obtained enforceable
waivers in respect of any preemptive or similar rights directly or indirectly affecting any
of its shares or securities, as applicable.

	2.5	 	Business Plan.

The Company shall have submitted the Business Plan for the fiscal, year of 2010 and 2011 to
the satisfaction of the Purchaser.

	2.6	 	Representations and Warranties.

The representations and warranties of the Warrantors contained in Schedule 4 shall
be true, complete and correct as of the Closing, except for those representations and
warranties that address matters only as of a particular date, which representations will
have been true and correct as of such particular date.

	2.7	 	Shareholders’ Agreement.

The Shareholders’ Agreement by and among the Company, the Key Holders, the Domestic Company,
the WFOE and the HK Co as being executed and delivered pursuant to the First Share Purchase
Agreement dated January 1, 2010, is in full force immediately before the Closing and there
is no current or pending violation of provisions, breach of duties or obligations or
disputes among the parties in relation to the Shareholders’ Agreement.

 

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	2.8	 	Letters of Commitment and Non-Compete.

The Letter of Commitment and Non-compete in the form and substance pursuant to the First
Share Purchase Agreement dated January 1, 2010, is in full force and there is no current or
pending violation or breach of duties or obligations in relation to such Letter of
Commitment and Non-compete.

	2.9	 	Board of Directors.

As of the Closing, the authorized size of the Board of Directors of the Company, HK Co. and
WFOE shall be respectively three (3), and the Board of Directors of the Company, HK Co. and
WFOE shall be comprised of the following members: DONG Defu, DONG Deyou and XU Enhai as set
forth in the register of directors, a copy of which shall be certified by the registered
agent and shall be delivered to the Purchaser; As of the Closing, the authorized size of the
Board of Directors of the Domestic Company shall be three (3), and the Board of Directors of
the Domestic Company shall be comprised of the following members: DONG Defu, DONG Deyou and
XU Enhai as registered with the relevant company registration authority in Beijing, PRC.

	2.10	 	Employment Agreements.

The employment agreements that each Key Employee entered into with the WFOE pursuant to the
First Share Purchase Agreement are in full force and there is no current or pending
violation of provisions, breach of duties or obligations or disputes among the relevant
parties in relation to such Employment Agreements.

The employment agreement that each employee of the WFOE or the Domestic Company other than
the Key Employees entered into with the WFOE or the Domestic Company (where applicable)
pursuant to the First Share Purchase Agreement are in full force and there is no current or
pending violation of provisions, breach of duties or obligations or disputes among the
relevant parties in relation to such Employment Agreements.

	2.11	 	Proprietary Information and Inventions Assignment Agreements.

The confidentiality and proprietary information agreement each employee (including the Key
Employees) and each consultant of each Group Company entered into in the form and substance
satisfactory and acceptable to the Purchaser pursuant to the First Share Purchase Agreement
are in full force and there is no current or pending violation of provisions, breach of
duties or obligations or disputes among the relevant parties in relation to such
confidentiality and proprietary information agreements.

	2.12	 	Compliance Certificates.

The Purchaser shall have received (a) a certificate executed and delivered by a director of
the Seller. in the form attached hereto as Exhibit B-1, and (b) a
certificate executed and delivered by each Founder in the form attached as Exhibit
B-2.

	2.13	 	Indemnification Agreement.

The Company shall have executed and delivered to the Purchaser the Indemnification Agreement
in the form and substance attached hereto as Exhibit C.

 

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	2.14	 	WFOE; Documentation for the Restructuring.

The WFOE shall have been lawfully incorporated under the laws of the PRC. The Control
Documents that the Company, the Key Holders, the Domestic Company and the WFOE have executed
and delivered in connection with the transactions contemplated under the plan of
restructuring (the “Plan of Restructuring”) pursuant to the First Share Purchase Agreement
are in full force and there is no current or pending violation of provisions, breach of
duties or obligations or disputes among the relevant parties in relation to such Control
Documents.

	3.	 	CONDITIONS OF THE OBLIGATIONS OF THE SELLER AT CLOSING.

The obligations of the Seller to sell Shares to the Purchaser at the Closing are subject to
the fulfillment by such Purchaser, on or before the Closing, of each of the following
conditions, unless otherwise waived by writing:

	3.1	 	Representations and Warranties.

The representations and warranties of the Purchaser contained in Schedule 6 shall be
true, complete and correct in all material respects as of the Closing.

	3.2	 	Performance.

The Purchaser shall have performed and complied with all covenants, agreements, obligations
and conditions contained in this Agreement that are required to be performed or complied
with by it on or before the Closing.

	3.1	 	Qualifications.

All authorizations, approvals or permits, if any, of any Governmental Authority that are
required in connection with the lawful issuance and sale of the Share pursuant to this
Agreement shall be obtained and effective as of the Closing.

	4.	 	REPRESENTATIONS AND WARRANTIES OF THE WARRANTORS.

The Company, the Group Companies and the Key Holders (collectively the “Warrantors”),
jointly and severally, represent and warrant to the Purchaser that the statements contained
in Schedule 4 attached hereto are true, correct and complete with respect to each
Warrantor on and as of the Execution Date, with the same effect as if made on and as of the
date of the Closing, except as set forth on the Disclosure Schedule attached hereto
as Schedule 5 (the “Disclosure Schedule”), which exceptions shall be deemed to be
representations and warranties as if made hereunder. The Disclosure Schedule shall be
arranged in sections corresponding to the numbered and lettered sections and subsections
contained in Schedule 4, and the disclosures in any section or subsection of the
Disclosure Schedule shall qualify other sections and subsections in Schedule 4 only
to the extent it is readily apparent from a reading of the disclosure that such disclosure
is applicable to such other sections and subsections.

 

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	5.	 	REPRESENTATIONS AND WARRANTIES OF THE PURCHASER.

The Purchaser represents and warrants to the Seller that the statements contained in
Schedule 6 attached hereto are true, correct and complete with respect to such
Purchaser as of the Closing.

	6.	 	UNDERTAKINGS.

	6.1	 	Ordinary Course of Business.

From the Execution Date until the earlier of the Termination Date or the Closing, the Key
Holders shall cause each of the Group Companies to be conducted in the ordinary course of
business and shall use its commercially reasonable efforts to maintain the present character
and quality of the business, including without limitation, its present operations, physical
facilities, working conditions, goodwill and relationships with lessors, licensors,
suppliers, customers, employees and independent contractors. Commencing with the execution
and delivery of this Agreement and continuing until the earlier of the Termination Date or
the Closing, no Group Company may take any of the actions specified in Section 6.1
of the Shareholders Agreement without satisfying the conditions as provided therein.

	6.2	 	Exclusivity.

From the Execution Date until the earlier of the Termination Date or the Closing, the Key
Holders agree not to (i) discuss the sale of any equity securities or any other instruments
convertible into the equity securities of any Group Company with any third party, or (ii) to
provide any information with respect to any Group Company to a third party in connection
with a potential investment by such third party in any equity securities or any other
instruments convertible into the equity securities of such Group Company, or (iii) to close
any financing transaction of any equity securities or any other instruments convertible into
the equity securities of any Group Company with any third party (the “Exclusivity Period”).
This Section 6.2 shall terminate and be of no further force and effect immediately
following the Closing.

	7.	 	CURE OF BREACHES; INDEMNITY.

	7.1	 	In the event of (a) any breach or violation of, or inaccuracy or misrepresentation in, any
representation or warranty made by the Warrantors contained herein or any of the other
Transaction Documents or (b) any breach or violation of any covenant or agreement contained
herein or any of the other Transaction Documents (each of (a) or (b), a “Breach”, the Key
Holders shall, jointly and severally, or cause the other Warrantors to, cure such Breach (to
the extent that such Breach is curable) to the satisfaction of the Purchaser (it being
understood that any cure shall be without recourse to cash or assets of any Group Companies).
Notwithstanding the foregoing, the Key Holders shall also, jointly and severally, indemnify
the Purchaser and its respective Affiliates, limited partners, members, stockholders,
employees, agents and representatives (each, an “lndemnitee”) for any and all losses,
liabilities, damages, liens, claims, obligations, penalties, settlements, deficiencies, costs
and expenses, including without limitation reasonable advisor’s fees and other reasonable
expenses of investigation, defense and resolution of any Breach paid, suffered, sustained or
incurred
by the Indemnitees (each, an “Indemnifiable Loss”), resulting from, or arising out of, or
due to, directly or indirectly, any Breach.

 

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	7.2	 	Notwithstanding the foregoing, the Key Holders shall, jointly and severally, indemnify and
keep indemnified the Indemnitees at all times and hold them harmless against any and all
Indemnifiable Losses resulting from, or arising out of, or due to, directly or indirectly, any
claim for tax which has been made or may hereafter be made against any Group Company wholly or
partly in respect of or in consequence of any event occurring or any income, profits or gains
earned, accrued or received by such Group Company on or before the Closing and any reasonable
costs, fees or expenses incurred and other liabilities which such Group Company may properly
incur in connection with the investigation, assessment or the contesting of any claim, the
settlement of any claim for tax, any legal proceedings in which any Group Company claims for
tax and in which an arbitration award or judgment is given for such Group Company and the
enforcement of any such arbitration award or judgment whether or not such tax is chargeable
against or attributable to any other person, provided, however, that the Key Holders
shall be under no liability in respect of taxation:

	 	(a)	 	that is promptly cured without recourse to cash or other assets of any Group
Company;

	 	(b)	 	to the extent that provision, reserve or allowance has been made for such tax in the
audited consolidated financial statement of the Company;

	 	(c)	 	if it has arisen in and relates to the ordinary course of business of the Group
Companies;

	 	(d)	 	to the extent that the liability arises as a result only of a provision or
reserve in respect of the liability made in the Financial Statement being insufficient
by reason of any increase in rates of tax announced after the Closing with
retrospective effect; and

	 	(e)	 	to the extent. that the liability arises as a result of legislation
which comes into force after the Closing and which is retrospective in effect.

The survival. period for any indemnity obligation relating to claims for tax matters arising
under this Section 7.2 shall be the applicable statue of limitations for tax claims.

	7.3	 	In the event that an Indemnitee suffers an Indemnifiable Loss as provided in Section
7.1 or 7.2, and the Key Holders are either unwilling or unable to fulfill their
obligations under Section 7.1 or 7.2 to indemnify the Indemnitees for the full
amount of such Indemnifiable Loss within, sixty (60) days of receipt of written notice thereof
from the Purchaser, then the Company (or any other Warrantor selected by a majority in
interest of the Indemnitees). shall indemnify the Indemnitees such that the
Indemnitees shall receive the full amount of such Indemnifiable Loss. Any indemnification
provided by the Warrantors other than the Key Holders pursuant to this Section 7.3
shall not prejudice or otherwise affect the right of the Indemnitees to seek indemnification
from the Key Holders pursuant to Section 7.1 or 7.2; provided, however, that
to the extent the Indemnitees are able to recover any Indemnifiable Loss
from the Key Holders, the Warrantors other than the Key Holders shall not be obligated to
indemnify the Indemnitees with respect to such amount.

 

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	7.4	 	If the Purchaser or other Indemnitee believes that it has a claim that may give rise to an
obligation of any Warrantor pursuant to this Section 7, it shall give prompt notice
thereof to the Warrantors stating specifically the basis on which such claim is being made,
the material facts related thereto, and the amount of the claim asserted. In the event of a
third party claim against an Indemnitee for which such Indemnitee seeks indemnification from
the Warrantors pursuant to this Section 7, no settlement shall be deemed conclusive
with respect to whether. there was an Indemnifiable Loss or the amount of such Indemnifiable
Loss unless such settlement is consented to by one Key Holder acting on behalf of the other
Key Holders, which shall not be unreasonably withheld. Any dispute related to this Section
7 shall be resolved pursuant to Section 8.15.

	7.5	 	This Section 7 shall not be deemed to preclude or otherwise limit the Purchaser in
any way the exercise of any other rights or pursuit of other remedies for any breach of this
Agreement or any other Transaction Documents.

	8.	 	MISCELLANEOUS.

	8.1	 	Survival of Warranties.

Unless otherwise set forth in this Agreement, the representations and warranties of the
Warrantors .contained in or made pursuant to this Agreement shall survive the
execution and delivery of this Agreement and the Closing and shall in no way be affected by
any investigation or knowledge of the subject matter thereof made by or on behalf of the
Purchaser or the Company.

	8.2	 	Confidentiality.

	 	(a)	 	Disclosure of Terms. The terms and conditions of this Agreement, any
term sheet or memorandum of understanding entered into pursuant to the transactions
contemplated hereby, all exhibits and schedules attached hereto and thereto, and the
transactions contemplated hereby and thereby (collectively, the “Transaction Terms”),
including their existence, shall be considered confidential information and shall not
be disclosed by any Party hereto to any third party except as permitted in accordance
with the provisions set forth below.

	 	(b)	 	Permitted Disclosures. Notwithstanding the foregoing, the Seller may
disclose the transaction terms to its current shareholders, employees, bankers,
lenders, accountants and legal counsels, in each case only where such persons or
entities are under appropriate nondisclosure obligations substantially similar to those
set forth in this Section 8.2, or to any person or entity to which disclosure
is approved in writing by the Purchaser, which such approval is not to be unreasonably
withheld. The Purchaser may disclose (x) the existence of the investment and the
Transaction Terms to any Affiliate, partner, limited partner, former partner, potential
partner or potential limited partner of the Purchaser or other third parties and (y)
the fact of the investment to the public, in each case as it deems appropriate in its
sole discretion. Any Party
hereto may also provide disclosure in order to comply with applicable Laws, as set
forth in Section 8.2(c) below.

 

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	 	(c)	 	Legally Compelled Disclosure. In the event that any Party is requested
or becomes legally compelled (including without limitation, pursuant to any applicable
tax, securities, or other Laws and regulations of any jurisdiction) to disclose the
existence of this Agreement or content of any of the Transaction Terms, such Party (the
“Disclosing Party”) shall provide the other Parties with prompt written notice of that
fact and shall consult with the other Parties regarding such disclosure. At the request
of another Party, the Disclosing Party shall, to the extent reasonably possible and
with the cooperation and reasonable efforts of the other Parties, seek a protective
order, confidential treatment or other appropriate remedy. In any event, the Disclosing
Party shall furnish only that portion of the information that is legally required and
shall exercise reasonable efforts to obtain reliable assurance that confidential
treatment will be accorded such information.

	 	(d)	 	Other Exceptions. Notwithstanding any other provision of this
Section 8.2, the confidentiality obligations of the Parties shall not apply to:
(i) information which a restricted Party learns from a third party having the right to
make the disclosure, provided the restricted Party complies with any restrictions
imposed by the third party; (ii) information which is rightfully in the restricted
Party’s possession prior to the time of disclosure by the protected Party and not
acquired by the restricted Party under a confidentiality obligation; or (iii)
information which enters the public domain without breach of confidentiality by the
restricted Party.

	 	(e)	 	Press Releases, Etc. No announcements regarding the Purchaser’s
purchase of the Shares may be made by any Party hereto in any press conference,
professional or trade publication, marketing materials or otherwise to the public
without the prior written consent of the Purchaser.

	 	(f)	 	Other Information. The provisions of this Section 8.2 shall
terminate and supersede the provisions of any separate nondisclosure agreement executed
by any of the Parties with respect to the transactions contemplated hereby.

	8.3	 	Transfer; Successors and Assigns.

The terms and conditions of this Agreement shall inure to the benefit of and be binding upon
the respective successors and assigns of the Parties. Save as expressly provided in this
Agreement, nothing in this Agreement, express or implied, is intended to confer upon any
party other than the Parties hereto or their respective successors and assigns any rights,
remedies, obligations, or liabilities under or by reason of this Agreement.

	8.4	 	Governing Law.

This Agreement shall be governed by and construed in accordance with the Law of Hong Kong as
to matters within the scope hereof, without regard to its principles of conflicts of laws.

 

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	8.5	 	Counterparts; Facsimile.

This Agreement may be executed and delivered by facsimile or other electronic signature and
in two or more counterparts, each of which shall be deemed an original, but all of which
together shall constitute one and the same instrument.

	8.6	 	Titles and Subtitles.

The titles and subtitles used in this Agreement are used for convenience only and are not to
be considered in construing or interpreting this Agreement.

	8.7	 	Notices.

All notices and other communications given or made pursuant to this Agreement shall be in
writing and shall be deemed effectively given: (a) upon personal delivery to the Party to be
notified, (b) when sent by confirmed electronic mail or facsimile if sent during normal
business hours of the recipient, and if not so confirmed, then on the next business day, (c)
five (5) days after having been delivered by registered or certified mail, return receipt
requested, postage prepaid, or (d) one (1) day after delivery by an internationally
recognized overnight courier, specifying next day delivery, with written verification of
receipt. All communications shall be sent to the respective Parties at their address as set
forth on the signature pages, Schedule 1 or Schedule 2, as the case may be,
or to such e-mail address, facsimile number or address as subsequently modified by written
notice given in accordance with this Section 8.7.

	8.8	 	No Finder’s Fees.

Each Party represents that it neither is nor will be obligated for any finder’s fee or
commission in connection with this transaction. The Purchaser agrees to indemnify and to
hold harmless the Seller from any liability for any commission or compensation in the nature
of a finder’s or broker’s fee arising out of this transaction (and the costs and expenses of
defending against such liability or asserted liability) for which the Purchaser or any of
its officers, employees, or representatives is responsible. The Seller agrees to indemnify
and hold harmless the Purchaser from any liability for any commission or compensation in the
nature of a finder’s or broker’s fee arising out of this transaction (and the costs and
expenses of defending against such liability or asserted liability) for which the Seller or
any of its officers, employees or representatives is responsible.

	8.9	 	Fees and Expenses.

	 	(a)	 	The Seller shall pay all of its own costs and expenses incurred in connection
with the negotiation, execution, delivery and performance of this Agreement and other
Transaction Documents and the transactions contemplated hereby and thereby.

	 	(b)	 	The Seller shall pay the legal costs and expenses incurred or to be incurred by
the Purchaser, up to US$50,000 plus taxes and disbursements, including all reasonable
costs and expenses in conducting legal due diligence investigations on the Group
Companies and in preparing, negotiating and executing all documentation by the outside
legal counsel of the Purchaser, which may be
deducted at the Purchaser election at Closing from the cash consideration payable by
the Purchaser.

	 	(c)	 	In the event that the Closing does not proceed as a result of a termination by
the Purchaser in accordance with Section 1.4(a), (c) or, (d),
the Seller shall bear all the legal costs and expenses incurred by or on behalf of the
Purchaser in the preparation of the agreements(s) and all other documents.

 

12

 

	8.10	 	Attorney’s Fees.

If any action at law or in equity (including arbitration) is necessary to enforce or
interpret the terms of any of the Transaction Documents, the prevailing Party shall be
entitled to reasonable attorney’s fees, costs and necessary disbursements in addition to any
other relief to which such Party may be entitled.

	8.11	 	Amendments and Waivers.

Any term of this Agreement may be amended, terminated or waived only with the written
consent of the Company and the Purchaser. Any amendment or waiver effected in accordance
with this Section 8.11 shall be binding upon the Company, the Key Holders, the
Purchaser, and each transferee of the Shares and each future holder of all such securities.

	8.12	 	Severability.

The invalidity or unenforceability of any provision hereof shall in no way affect the
validity or enforceability of any other provision.

	8.13	 	Delays or Omissions.

No delay or omission to exercise any right, power or remedy accruing to any Party under this
Agreement, upon any breach or default of any other Party under this Agreement, shall impair
any such right, power or remedy of such non-breaching or non-defaulting Party nor shall it
be construed to be a waiver of any such breach or default, or an acquiescence therein, or of
or in any similar breach or default thereafter occurring; nor shall any waiver of any single
breach or default be deemed a waiver of any other breach or default theretofore or
thereafter occurring. Any waiver, permit, consent or approval of any kind or character on
the part of any Party of any breach or default under this Agreement, or any waiver on the
part of any Party of any provisions or conditions of this Agreement, must be in writing and
shall be effective only to the extent specifically set forth in such writing. All remedies,
either under this Agreement or by law or otherwise afforded to any Party, shall be
cumulative and not alternative.

	8.14	 	Entire Agreement.

This Agreement (including the Schedules and Exhibits hereto); the Restated
Articles and the other Transaction Documents constitute the full and entire understanding
and agreement between the Parties with respect to the subject matter hereof, and any other
written or oral agreement relating to the subject matter hereof existing between the Parties
are expressly canceled.

 

13

 

	8.15	 	Dispute Resolution.

	 	(a)	 	Any dispute, controversy or claim arising out of or relating to this Agreement,
or the interpretation, breach, termination or validity hereof, shall first be subject
to resolution through consultation of the parties to such dispute, controversy or
claim. Such consultation shall begin within seven (7) days after one Party hereto has
delivered to the other. Parties involved a written request for such consultation. If
within thirty (30) days following the commencement of such consultation the dispute
cannot be resolved, the dispute shall be submitted to arbitration upon the request of
any Party with notice to the other Parties.

	 	(b)	 	The arbitration shall be conducted in Hong Kong under the auspices of the Hong
Kong International Arbitration Centre (the “HKIAC”). There shall be three arbitrators.
The complainant and the respondent to such dispute shall each select one arbitrator
within thirty (30) days after giving or receiving the demand for arbitration. Such
arbitrators shall be freely selected, and the Parties shall not be limited in their
selection to any prescribed list. The Chairman of the HKIAC shall select the third
arbitrator, who shall be qualified to practice Law in Hong Kong. If either party to the
arbitration does not appoint an arbitrator who has consented to participate within
thirty (30) days after selection of the first arbitrator, the relevant appointment
shall be made by the Chairman of the HKIAC.

	 	(c)	 	The arbitration proceedings shall be conducted in English. The arbitration
tribunal shall apply the Arbitration Rules of the HKIAC in effect at the time of the
arbitration. However, if such rules are in conflict with the provisions of this
Section 8.15, including the provisions concerning the appointment of
arbitrators, the provisions of this Section 8.15 shall prevail.

	 	(d)	 	The arbitrator shall decide any dispute submitted by the parties to the
arbitration strictly in accordance with the substantive Law of Hong Kong and shall not
apply any other substantive law.

	 	(e)	 	Each Party hereto shall cooperate with any party to the dispute in making full
disclosure of and providing complete access to all information and documents requested
by such party in connection with such arbitration proceedings, subject only to any
confidentiality obligations binding on the Party receiving the request.

	 	(f)	 	The award of the arbitration tribunal shall be final and binding upon the
disputing parties, and any party to the dispute may apply to a court of competent
jurisdiction for enforcement of such award.

	 	(g)	 	Any party to the dispute shall be entitled to seek preliminary injunctive
relief, if possible, from any court of competent jurisdiction pending the constitution
of the arbitral tribunal.

 

14

 

	8.16	 	No Commitment for Additional Financing.

The Company acknowledges and agrees that no Purchaser has made any representation,
undertaking, commitment or agreement to provide or assist the Company in obtaining any
financing, investment or other assistance, other than the purchase of the Shares as set
forth herein and subject to the conditions set forth herein. In addition, the Company
acknowledges and agrees that (i) no oral statements made by the Purchaser or its
representatives on or after the date of this Agreement shall create an obligation,
commitment or agreement to provide or assist the Company in obtaining any financing or
investment, (ii) the Company shall not rely on any such statement by the Purchaser or its
representatives and (iii) an obligation, commitment or agreement to provide or assist the
Company in obtaining any financing or investment may only be created by a written agreement,
signed by such Purchaser and the Company, setting forth the terms and conditions of such
financing or investment and stating that the Parties intend for such writing to be a binding
obligation or agreement. The Purchaser shall have the right, in it sole and absolute
discretion, to refuse or decline to participate in any other financing of or investment in
the Company, and shall have no obligation to assist or cooperate with the Company in
obtaining any financing, investment or other assistance.

	8.17	 	Rights Cumulative.

Each and all of the various rights, powers and remedies of a Party will be considered to be
cumulative with and in addition to any other rights, powers and remedies which such Party
may have at law or in equity in the event of the breach of any of the terms of this
Agreement. The exercise or partial exercise of any right, power or remedy will neither
constitute the exclusive election thereof nor the waiver of any other right, power or remedy
available to such Party.

	8.18	 	No Waiver.

Failure, to insist upon strict compliance with any of the terms, covenants, or conditions
hereof will not be deemed a waiver of such term, covenant, or condition, nor will any waiver
or relinquishment of, or failure to insist upon strict compliance with, any right, power or
remedy power hereunder at any one or more times be deemed a waiver or relinquishment of such
right, power or remedy at any other time or times.

	8.19	 	No Presumption.

The Parties acknowledge that any applicable law that would require interpretation of any
claimed ambiguities in this Agreement against the Party that drafted it has no application
and is expressly waived. If any claim is made by a Party relating to any conflict, omission
or ambiguity in the provisions of this Agreement, no presumption or burden of proof or
persuasion will be implied because this Agreement was prepared by or at the request of any
Party or its counsel.

	8.20	 	Third Party Beneficiaries.

Each of the Indemnitees shall be a third party beneficiary of this Agreement with the full
ability to enforce Section 7 of this Agreement as if it were a Party hereto.

[Remainder of Page Intentionally Left Blank]

 

15

 

Exhibit
4.15 

IN WITNESS WHEREOF, the Parties have executed this Share Purchase Agreement as of the date
first written above.

	 	 	 	 	 	 	 
	COMPANY	 	CITYLEAD LIMITED	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ XU Enhai 

Name: XU Enhai
	 	 
	 

	 	 	 	Capacity: Director	 	 
	 
	 	 	 	 	 	 
	HK CO	 	QIJI&BODEE TECHNOLOGY LIMITED	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ XU Enhai 

Name: XU Enhai
	 	 
	 

	 	 	 	Capacity: Director	 	 

SIGNATURE PAGE TO SHARE PURCHASE AGREEMENT

 

16

 

IN WITNESS WHEREOF, the Parties have executed this Share Purchase Agreement as of the date
first written above.

	 	 	 	 	 	 	 
	DOMESTIC COMPANY	 	QIGI&BODEE TECHNOLOGY (BEIJING) CO., LTD.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ XU Enhai

Name: XU Enhai
	 	 
	 

	 	 	 	Capacity: Board Chairman	 	 

SIGNATURE PAGE TO SHARE PURCHASE AGREEMENT

 

 

 

IN WITNESS WHEREOF, the Parties have executed this Share Purchase Agreement as of the date
first written above.

	 	 	 	 	 	 	 
	WFOE	 	QIGI&BODEE INTERNATIONAL 
TECHNOLOGY (BEIJING) CO., LTD.	 	 
	 
	 	 	 	 	 	 
	 

	 	By: 	 	/s/ XU Enhai 

Name: XU Enhai
	 	 
	 

	 	 	 	Capacity: Board Chairman	 	 

 

 

 

IN WITNESS WHEREOF, the Parties have executed this Share Purchase Agreement as of the date
first written above.

	 	 	 	 	 	 	 
	KEY HOLDERS	 	SELLER:	 	 
	 
	 	 
	 	 	ACTIVE CENTURY HOLDINGS LIMITED	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ XU Enhai 

Name: XU Enhai
	 	 
	 

	 	 	 	Capacity: Director	 	 
	 
	 	 	 	 	 	 
	 	 	FOUNDERS:	 	 
	 
	 	 	 	 	 	 
	 	 	XU ENHAI	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ XU Enhai 

	 	 
	 
	 	 	 	 	 	 
	 	 	HAN DELING	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ HAN Deling 
	 	 

 

 

 

IN WITNESS WHEREOF, the Parties have executed this Share Purchase Agreement as of the date
first written above.

	 	 	 	 	 	 	 
	PURCHASER:	 	CHINA TECHFAITH WIRELESS COMMUNICATION TECHNOLOGY LIMITED	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/  DONG Defu
 

Name: DONG Defu
	 	 
	 

	 	 	 	Capacity: Director	 	 

 

 

 

SCHEDULE AND EXHIBITS

	 	 	 
	Schedules	 	 
	 
	 	 
	Schedule 1
	 	Schedule of Purchaser
	 
	 	 
	Schedule 2
	 	Schedule of Key Holders
	 
	 	 
	Schedule 3
	 	Definitions
	 
	 	 
	Schedule 4
	 	Representations and Warranties of the Warrantors
	 
	 	 
	Schedule 5
	 	Disclosure Schedule
	 
	 	 
	Schedule 6
	 	Representations and Warranties of the Purchaser
	 
	 	 
	Schedule 7
	 	Capitalization Table

	 	 	 
	Exhibits	 	 
	 
	 	 
	Exhibit A
	 	Form of Restated Articles
	 
	 	 
	Exhibit B-1
	 	Form of Director Compliance Certificate
	 
	 	 
	Exhibit B-2
	 	Form of Founders Compliance Certificate
	 
	 	 
	Exhibit C
	 	Form of Indemnification Agreement

SCHEDULE AND EXHIBITS

 

 

 

SCHEDULE 1

SCHEDULE OF PURCHASER

	 	 	 	 	 
	 	 	 	 	Number of
	 	 	 	 	Purchased Shares
	Purchaser	 	Consideration	 	of the Company
	 
	 	 	 	 
	CHINA TECHFAITH WIRELESS 

COMMUNICATION TECHNOLOGY 

LIMITED

	 	65,934,066 ordinary
shares of the
Purchaser
	 	96 Ordinary Shares
	 
	 	 	 	 
	Address for Notices: 
	 	 	 	 
	P.O. Box 309GT, Ugland House, South 

Church Street, George Town, 

Grand Cayman, Cayman Islands
	 	 	 	 

 

 

 

SCHEDULE 2

SCHEDULE OF KEY HOLDERS

	 	 	 
	Name	 	Addresses and Fax No. for Notice
	 
	 	 
	ACTIVE CENTURY HOLDINGS LIMITED

	 	Address: P.O. Box 957, Offshore
Incorporations Centre, Road Town, Tortola,
British Virgin Islands
	 
	 	 
	 

	 	Facsimile: (8610) 6263-8372
	 
	 	 
	XU, ENHAI

	 	Address: No. 2399 Liaoning Road, Chaoyang
District, Changchun City, Jilin Province,
PRC
	 
	 	 
	 

	 	Facsimile: (8610) 6263-8372
	 
	 	 
	HAN, DELING

	 	Address: 402 Hu, Unit 4, No. 2 Building,
No. 49 Dunhua Road, Shibei District,
Qingdao City, Shandong Province, PRC
	 
	 	 
	 

	 	Facsimile: (8610) 6263-8372

 

 

 

SCHEDULE 3 

DEFINITIONS

“Affiliate” means, with respect to any specified Person, any other Person who or which, directly or
indirectly, controls, is controlled by, or is under common control with such specified Person,
including, without limitation, any partner, officer, director, member or employee of such Person
and any venture capital fund now or hereafter existing that is controlled by or under common
control with one or more general partners or managing members of, or shares the same management
company with, such Person.

“Agreement” has the meaning ascribed to it in Preamble to this Agreement.

“Breach” has the meaning set forth in Section 7.1.

“Business Day” means any day, other than a Saturday, Sunday or other day on which the commercial
banks in Hong Kong or Beijing are authorized or required to be closed for the conduct of regular
banking business.

“Business Plan” has the meaning set forth in Section 25 of Schedule 4.

“Closing” has the meaning ascribed to it in Section 1.2(a).

“Company” has the meaning ascribed to it in the Preamble to this Agreement.

“Company Intellectual Property” means all patents, patent applications, trademarks, trademark
applications, service marks, trade names, copyrights, trade secrets, licenses, domain names, mask
works, information and proprietary rights and processes as are necessary to the conduct of the
Company’s business as now conducted and as presently proposed to be conducted.

“Confidential Information Agreements” has the meaning ascribed to it in Section 19 of
Schedule 4.

“Contract” means a legally binding contract, agreement, understanding, indenture, note, bond, loan,
instrument, lease, mortgage, franchise or license.

“Control” of a given Person means the power or authority, whether exercised or not, to direct the
business, management and policies of such Person, directly or indirectly, whether through the
ownership of voting securities, by contract or otherwise, which power or authority shall
conclusively be presumed to exist upon possession of beneficial ownership or power to direct the
vote of more than fifty percent (50%) of the votes entitled to be cast at a meeting of the members
or shareholders of such Person or power to control the composition of a majority of the board of
directors of such Person; the terms “Controlling” and “Controlled” have meanings correlative to the
foregoing.

“Control Documents” means the following set of contracts in form and substance attached as Exhibit
A-2 of the First Share Purchase Agreement: the Framework Agreement, the Exclusive Business
Cooperation Agreement, the Exclusive Option Agreement, the Proxy and the Equity Pledge Agreement.

 

 

 

“Convertible Securities” means, with respect to any specified Person, Securities convertible or
exchangeable into any shares of any class of such specified Person, however described and whether
voting or non-voting.

“Directors” means the members of the Board of Directors.

“Disclosing Party” has the meaning ascribed to it in Section 8.2(c).

“Disclosure Schedule” has the meaning ascribed to it in Section 4.

“Domestic Company” has the meaning ascribed to it in Preamble to this Agreement.

“Employment Agreements” has the meaning ascribed to it in Section 2.10.

“Exclusivity Period” has the meaning ascribed to it in Section 6.2.

“Execution Date” shall mean the date of this Agreement.

“Financial Statements” shall mean the consolidated balance sheet, income statement and statement of
cash flows, prepared in accordance with the P.RC generally accepted accounting principles (“PRC
GAAP”) and applied on a consistent basis throughout the periods indicated.

“First Share Purchase Agreement” has the meaning ascribed to it in Preamble to this Agreement.

“Founder” or “Founders” shall mean each of XU, ENHAI and HAN, DELING as listed in Schedule
2.

“Governmental Authority” means the government of any nation, province, state, city, locality or
other political subdivision of any thereof, any entity exercising executive, legislative, judicial,
regulatory or administrative functions of or pertaining to government, regulation or compliance,
and any corporation or other entity owned or controlled, through share or capital ownership or
otherwise, by any of the foregoing.

“Group Companies” means the Company, the HK Co, the WFOE, the Domestic Company and any other direct
or indirect Subsidiary of any Group Company, whether in existence now or .in the future,
collectively, and “Group Company” means any one of them.

“GC Product or Service” has the meaning ascribed to it in Section 8.7 of Schedule
4.

“HKIAC” has the meaning ascribed to it in Section 8.15(b).

“Hong Kong” means the Hong Kong Special Administrative Region of the PRC.

“Indemnifiable Loss” has the meaning set forth in Section 7.1.

“Indemnitee” has the meaning set forth in Section 7.1.

“Intellectual Property” means all patents, patent applications, trademarks, service marks, trade
names, copyrights, trade secrets, processes, compositions of matter, formulas, designs, inventions,
proprietary rights, know-how and any other confidential or proprietary information owned or
otherwise used by the Company Group.

 

 

 

“Key Employee” means each of the Persons listed in Schedule 4 of the First Share Purchase
Agreement.

“Knowledge” including the phrase “to the Warrantors’ knowledge” shall mean the actual knowledge
after reasonable investigation of the Founders.

“Law” means any constitutional provision, statute or other law, rule, regulation, official policy
or interpretation of any Governmental Authority and any injunction, judgment, order, ruling,
assessment or writ issued by any Governmental Authority.

“Lien” means any mortgage, pledge, claim, security interest, encumbrance, title defect, lien,
charge or other restriction or limitation.

“Material Adverse Effect” means a material adverse effect on the business, assets (including
intangible assets), liabilities, financial condition, property, prospects or results of operations
of the Group Companies, taken as a whole.

“Material Agreements” has the meaning ascribed to such term in Section 10.1 of Schedule
4.

“Order” means any order, injunction, judgment, decree, ruling, writ, assessment or arbitration
award of a Governmental Authority.

“Ordinary Share” has the meaning ascribed to in the Recitals to this Agreement, being an Ordinary
Share of par value US$1 in the capital of the Company.

“Party” or “Parties” has the meaning set forth in the Preamble hereof.

“Person” means any individual, corporation, partnership, limited partnership, proprietorship,
association, limited liability company, firm, trust, estate or other enterprise or entity.

“Plan of Restructuring” has the meaning ascribed to it in Section 2.14.

“PRC” or “China” means the Peoples’ Republic of China, excluding Hong Kong, the Macau Special
Administrative Region and Taiwan.

“Projections” has the meaning ascribed to such term in Section 24 of Schedule 4.

“Public Official” means an employee of a Governmental Authority, a member of a political party, a
political candidate, an officer of a public international organization, or an officer or employee
of a state-owned enterprise, including a PRC state-owned enterprise.

“Public Software” has the meaning ascribed to it in Section 8.7 of Schedule 4. “Purchaser” has the
meaning ascribed to such term in Preamble hereof.

“Related Party Transaction” means any transaction between any Group Company on the one hand, and
any Founder, or any Affiliate of any Founder on the other hand, other than transactions arising in
the ordinary course of an employer/employee relationship.

“Reserve” or “Reservation” has the meaning ascribed to such term in Section 4 of
Schedule 4.

“Restated Articles” has the meaning ascribed to such term in Section 1.3.

 

 

 

“RMB” means the Renminbi, the lawful currency of the PRC.

“Securities Act” means the United States Securities Act of 1933, as amended, and the rules and
regulations promulgated thereunder (or comparable Laws in jurisdictions other than the United
States).

“Shareholders’ Agreement” means the agreement proposed to be entered into among the Company, the
Key Holders, the Purchaser and certain other parties thereto, in the form of Exhibit C attached to
the First Share Purchase Agreement.

“Shares” has the meaning ascribed to it in Section 1.1.

“Subsidiary” or “subsidiary” means, as of the relevant data of determinations, with respect to any
Person (the “subject entity”), (i) any Person (x) more than 50% of whose shares or other interests
entitled to vote in the election of directors or (y) more than a 50% interest in the profits or
capital of such Person are owned or controlled directly or indirectly by the subject entity or
through one (1) or more Subsidiaries of the subject entity, (ii) any Person whose assets, or
portions thereof, are consolidated with the net earnings of the subject entity and are recorded on
the books of the subject entity for financial reporting purposes in accordance with International
Financial Reporting Standards or U.S. GAAP, or (iii) any Person with respect to which the subject
entity has the power to otherwise direct the business and policies of that entity directly or
indirectly through another subsidiary. For the avoidance of doubt, the Subsidiaries of the Company
shall include the Group Companies.

“Transaction Documents” means this Agreement, the First Share Purchase Agreement, and the
Shareholders’ Agreement, the Control Documents and any other agreements, instruments or documents
entered into in connection with the First Share Purchase Agreement.

“Transaction Terms” has the meaning ascribed to such term in Section 8.2(a).

“US$” means the United States dollar, the lawful currency of the United States of America.

“Warrantors” has the meaning ascribed to such term in Section 4.

“WFOE” has the meaning ascribed to it in Recitals to this Agreement.

 

 

 

SCHEDULE 4

REPRESENTATIONS AND WARRANTIES OF

THE WARRANTORS

	1.	 	Organization, Good Standing, Corporate Power and Qualification.

Each Group Company is a corporation duly organized, validly existing and in good standing
under the laws of their jurisdiction of incorporation and has all requisite corporate power
and authority to carry on its business as presently conducted and as proposed to be
conducted. Each Group Company is duly qualified to transact business and is in good standing
in each jurisdiction in which the failure to so qualify would have a Material Adverse
Effect.

	2.	 	Capitalization of the Company.

The authorized capital of the Company consists, immediately prior to the Closing, of:

	2.1	 	49,000 Ordinary Shares, of which 96 are issued and outstanding, and 1,000 Class B Ordinary
Shares, of which 4 are issued and outstanding, immediately prior to the Closing. All of the
outstanding Ordinary Shares have been duly authorized, are fully paid and nonassessable and
were issued in compliance with all applicable securities laws. The Company holds no treasury
 shares.

	2.2	 	Schedule 7 sets forth the capitalization of the Company immediately following the
Closing including the number of shares of the following: (i) issued and outstanding Ordinary
Shares and Class B Ordinary Shares; and (v) warrants or stock purchase rights, if any. Except
for the rights provided in the Shareholders’ Agreement, there are no outstanding options,
warrants, rights (including conversion or preemptive rights and rights of first refusal or
similar rights) or agreements, orally or in writing, to purchase or acquire from the Company
any Ordinary Share or any securities convertible into or exchangeable for Ordinary Share.

	2.3	 	The Company is the sole legal and beneficial owner of one hundred percent (100%) of the
equity interest of the HK Co. The HK Co is the sole legal and beneficial owner of one hundred
percent (100%) of the equity interest of the WFOE.

	2.4	 	The Founders and the Seller are the sole legal and beneficial owners of the Ordinary Shares
of the Company.

	3.	 	Subsidiaries.

Except as set forth in Section 3 of the Disclosure Schedule, the Company and
each Group Company do not currently own or control, directly or indirectly, any interest in
any other company, corporation, partnership, trust, joint venture, association, or other
business entity. Neither the Company nor any Group Company is a participant in any joint
venture, partnership or similar arrangement.

 

 

 

	4.	 	Authorization.

All corporate action required to be taken by each Group Company’s board of directors and
shareholders in order to authorize each respective Group Company to enter into the
Transaction Documents to which each such Group Company is a party, and to issue the Shares
at the Closing, has been taken or will be taken prior to the Closing. All action on the part
of the officers of each Group Company necessary for the execution and delivery of the
Transaction Documents, the performance of all obligations of such Group Company under the
Transaction Documents to be performed as of the Closing, and the issuance and delivery of
the Shares has been taken or will be taken prior to the Closing. All action on the part of
the officers of each Group Company necessary for the performance of all obligations of such
Group Company under the Transaction Documents to be performed as of the Closing has been
taken or will be taken prior to the Closing. The Transaction Documents, when executed and
delivered by each Group Company, shall constitute valid and legally binding obligations of
each Group Company, enforceable against each Group Company in accordance with their
respective terms except (i) as limited by applicable bankruptcy, insolvency, reorganization,
moratorium, fraudulent conveyance, or other laws of general application relating to or
affecting the enforcement of creditors’ rights generally, (ii) as limited by laws relating
to the availability of specific performance, injunctive relief, or other equitable remedies,
or (iii) to the extent the indemnification provisions contained in the Shareholders’
Agreement and the Indemnification Agreement may be limited by applicable securities laws.
The issuance of any Shares is not subject to any preemptive rights or rights of first
refusal, or if any such preemptive rights or rights of first refusal exist, waiver of such
rights has been obtained from the holders thereof. For the purpose only of this Agreement,
“reserve,” “reservation” or similar words with respect to a specified number of Ordinary
Shares of the Company shall mean that the Company shall, and the Board of Directors shall
procure that the Company shall, refrain from issuing such number of shares so that such
number of shares will remain in the authorized but unissued share capital of the Company
until the conversion rights of the holders of any Convertible Securities exercisable for
such shares are exercised in accordance with the Restated Articles or otherwise.

	5.	 	Valid Issuance of Shares.

	5.1	 	The Shares, when issued, sold and delivered in accordance with the terms and for the
consideration set forth in this Agreement, will be validly issued, fully paid and
nonassessable and free of restrictions on transfer other than restrictions on transfer under
the this agreement, the Shareholders’ Agreement, applicable securities laws and liens or
encumbrances created by or imposed by the Purchaser. Subject in part to the accuracy of the
representations of the Purchaser in Schedule 6 of this Agreement, the Shares will be
issued in compliance with all applicable securities laws. Immediately following the Closing,
the Purchaser will be the sole legal and beneficial owner of, and will have good and
marketable title to the Shares.

	5.2	 	All presently outstanding Ordinary Shares of the Company were duly and validly issued, fully
paid and non-assessable, and are free and clear of any liens and free of restrictions on
transfer (except for any restrictions on transfer under applicable securities laws) and have
been issued in compliance in all material respects with the
requirements of all applicable securities laws and regulations, including, to the extent
applicable, the Securities Act.

 

 

 

	6.	 	Governmental Consents and Filings.

No consent, approval, order or authorization of or registration, qualification, designation,
declaration or filing with, any Governmental Authority is required on the part of the
Company is required in connection with the valid execution, delivery and consummation of the
transactions contemplated by this Agreement, Shareholder’s Agreement or the offer, sale,
issuance or reservation for issuance of the Shares.

	7.	 	Litigation.

There is no claim, action, suit, proceeding, arbitration, complaint, charge or investigation
pending or to the Warrantors’ knowledge, currently threatened (i) against any Group Company
or any officer, director or Employee of any Group Company that would either individually or
in aggregate, reasonably be expected to have a Material Adverse Effect; or (ii) to the
Warrantors’ knowledge, that questions the validity of the Transaction Documents or the right
of any Group Company to enter into them, or to consummate the transactions contemplated by
the Transaction Documents. None of the Group Companies, its officers or directors, is a
party or is named as subject to the provisions of any order, writ, injunction, judgment or
decree of any court or government agency or instrumentality which would either individually
or in the aggregate, reasonably be expected to have a Material Adverse Effect. There is no
action, suit, proceeding or investigation by any Group Company pending or which any Group
Company intends to initiate. The foregoing includes, without limitation, actions, suits,
proceedings or investigations pending or threatened in writing (or any basis therefor known
to the Warrantors’) involving the prior employment of any of the Group Company’s employees,
their services provided in. connection with Group Company’s business, or any information or
techniques allegedly proprietary to any of their former employers, or their obligations
under any agreements with prior employers.

	8.	 	Intellectual Property.

	8.1	 	Each Group Company owns or possesses sufficient legal rights to (i) all trademarks, service
marks, trade names, copyrights, trade secrets, licenses, information and proprietary rights
and processes and (ii) to the Warrantors’ knowledge, all patents and patent rights, as are
necessary to the conduct of such Group Company’s business as now conducted and as presently
proposed to be conducted, without any known conflict with, or infringement of, the rights of
others. Section 8.1 of the Disclosure Schedule contains a complete and
accurate list of all Intellectual Property owned, licensed to or used by each Group Company,
whether registered or not, and a complete and accurate list of all licenses granted by such
Group Company to any third party with respect to any Intellectual Property. No product or
service marketed or sold (or proposed to be marketed or sold) by any Group Company violates or
will violate any license or infringe any intellectual property rights of any other party.

 

 

 

	8.2	 	No Group Company has received any communications alleging that any Group Company has violated
or, by conducting its business, would violate any of the patents, trademarks, service marks,
trade names, copyrights, trade secrets or other proprietary
rights or processes of any other person or entity. Except as set forth in Section
8.2 of the Disclosure Schedule, each Group Company has obtained and possesses
valid licenses to use all of the software programs present on the computers and other
software-enabled electronic devices that it owns or leases or that it has otherwise provided
to its employees for their use in connection with such Group Company’s business. To the
Warrantors’ knowledge, it will not be necessary to use any inventions of any of its
employees (or persons it currently intends to hire) made prior to their employment by a
Group Company. Each Employee has assigned to the Group Companies all intellectual property
rights he or she owns that are related to the Group Companies’ business as now conducted.

	8.3	 	Other than with respect to commercially available software products under standard end-user
object code license agreements, there are no outstanding options, licenses, agreements,
claims, encumbrances or shared ownership interests of any kind relating to the foregoing, nor
is any Group Company bound by or a party to any options, licenses or agreements of any kind
with respect to the patents, trademarks, service marks, trade names, copyrights, trade
secrets, licenses, information, proprietary rights and processes of any other person or
entity.

	8.4	 	No proceedings or claims in which any Group Company alleges that any person is infringing
upon, or otherwise violating, its intellectual Property rights are pending, and none has been
served, instituted or asserted by any Group Company.

	8.5	 	None of the employees of any Group Company or the Founders is obligated under any Contract
(including a Contract of employment), or subject to any judgment, decree or order of any court
or administrative agency, that would interfere with the use of his or her best efforts to
promote the interests of the Company Group, or that would conflict with the business of any
Group Company as presently conducted. To the knowledge of the Warrantors, it will not be
necessary to utilize in the course of the any Group Company’s business operations any
inventions of any of the employees of any Group Company made prior to their employment by the
such Group Company, except for inventions that have been validly and properly assigned or
licensed to such Group Company as of the date hereof.

	8.6	 	Each Group Company has taken all security measures that in the judgment of such Person are
commercially prudent in order to protect the secrecy, confidentiality, and value of its
material Intellectual Property.

	8.7	 	No Public Software (as defined below) forms part of the any product or service provided by
any the Group Company (“GC Product or Service”) and no Public Software was or is used in
connection with the development of any GC Product or Service or is incorporated into, in whole
or in part, or has been distributed with, in whole or in part, any GC Product or Service. As
used in this Section 8.7, “Public Software” means any software that contains, or is derived in
any manner (in whole or in part) from, any software that is distributed as free software (as
defined by the Free Software Foundation), open source software (e.g., Linux or software
distributed under any license approved by the Open Source Initiative as set forth
www.opensource.org) or similar licensing or distribution models which require the distribution
or making available of source code as well as object code of the software to licensees without
charge (except for the cost of the medium) and (b) the right of the licensee to modify the
software and redistribute both the modified and unmodified versions of the
software, including software licensed or distributed under any of the following licenses:
(i) GNU’s General Public License (GPL) or Lesser/Library GPL (LGPL); (ii) the Artistic
License (e.g., PERL); (iii) the Mozilla Public License; (iv) the Netscape Public License;
(v) the SSD License; or (vi) the Apache License.

 

 

 

	9.	 	Compliance with Other Instruments.

The Group Companies and the Key Holders are not in violation or default (i) of any
provisions of its Memorandum of Association (if any), Articles of Association or any other
applicable constitutional document, (ii) of any instrument, judgment, order, writ or decree,
(iii) under any note, indenture or mortgage, or (iv) under any lease, agreement, contract or
purchase order to which it is a party or by which it is bound that is required to be listed
on the Disclosure Schedule, or, of any provision of statute, rule or regulation applicable
to such Group Company, the violation of which would either individually or in the aggregate,
reasonably be expected to have a Material Adverse Effect. The execution, delivery and
performance of the Transaction Documents and the consummation of the transactions
contemplated by the Transaction Documents will not result in any such violation or be in
conflict with or constitute, with or without the passage of time and giving of notice,
either (i) a default under any such provision, instrument, judgment, order, writ, decree,
contract or agreement or (ii) an event which results in the creation of any lien, charge or
encumbrance upon any assets of any Group Company or the suspension, revocation, forfeiture,
or nonrenewal of any material permit or license applicable to any Group Company, which would
either individually or in the aggregate, reasonably be expected to have a Material Adverse
Effect.

	10.	 	Agreements; Actions.

	10.1	 	Save for the agreements set out in Section 10.1 of the Disclosure Schedule
(the “Material Agreements”) and the Transaction Documents, there are no other agreements,
understandings, instruments, contracts or proposed transactions entered into during the period
from January 1, 2009, and September 30, 2009, to which any Group Company is a party or by
which it is bound that involve (i) obligations (contingent or otherwise) of, or payments to,
any Group Company in excess of US$10,000 per annum or in excess of US$25,000 in the aggregate,
(ii) the transfer or license of any patent, copyright, trade secret or other proprietary right
to or from any Group Company, other than from or to another Group Company or from a Key Holder
to a Group Company, (iii) the grant of rights to manufacture, produce, assemble, license,
market, or sell its products to any other person or affect any Group Company’s exclusive right
to develop, manufacture, assemble, distribute, market or sell its products, or (iv)
indemnification by any Group Company with respect to infringements of proprietary rights. All
the Material Agreements are valid, binding and enforceable obligations of the parties thereto
and the terms thereof have been complied with by the relevant Group Company, and to the
knowledge of the Warrantors’, by all the other parties thereto. There are to the knowledge of
the Warrantors’, no circumstances likely to give rise to any material breach of such terms, no
grounds for rescission, avoidance or repudiation of any of the Material Agreements which would
have a Material Adverse Effect and no notice of termination or of intention to terminate has
been received in respect of any Material Agreement.

 

 

 

	10.2	 	Save as set out in Section 10.2 of the Disclosure Schedule, the Company has
not declared or paid any dividends, or authorized or made any distribution upon or with
respect to any class of its share capital, and no Group Company has (i) incurred any
indebtedness for money borrowed or incurred any other liabilities individually in excess of
US$10,000 or in excess of US$25,000 in the aggregate, (ii) made any loans or advances to any
person, other than ordinary advances for travel expenses and trade receivables in the ordinary
course of business, or (iii) sold, exchanged or otherwise disposed of any of its assets or
rights, other than the sale of its inventory in the ordinary course of business or otherwise
envisaged in this Agreement. For the purposes of Sections 10.1 and 10.2 of
this Schedule 4 all indebtedness, liabilities, agreements, understandings,
instruments, contracts and proposed transactions involving the same person or entity shall be
aggregated for the purpose of meeting the individual minimum dollar amounts of such
subsection.

	10.3	 	No Group Company is a guarantor or indemnitor of any indebtedness of any other person, firm
or corporation that is not a Group Company.

	10.4	 	Save as set out in Section 10.4 of the Disclosure Schedule or in connection
with this Agreement and the other Transaction Documents, no Group Company has engaged in the
past three (3) months in any discussion with any representative of any corporation,
partnership, trust, joint venture, limited liability company, association or other entity, or
any individual, regarding (i) a sale of all or substantially all of such Group Company’s
assets, or (ii) any merger, consolidation or other business combination transaction of such
Group Company with or into another corporation, entity or person.

	11.	 	Conflict of Interest.

	11.1	 	Other than (i) standard employee benefits generally made available to all employees, (ii)
standard director and officer indemnification agreements approved by the Board of Directors,
and (iii) the purchase of the Company’s share capital in accordance with applicable law, in
each instance, disclosed in Section 11.1 of the Disclosure Schedule, there are
no agreements, understandings or proposed transactions between any Group Company and any of
its officers, directors, consultants or Employees, or any Affiliate thereof, respectively.

	11.2	 	No Group Company is indebted, directly or indirectly, to any of its directors, officers or
employees or to their respective spouses or children or to any Affiliate of any of the
foregoing, other than in connection with expenses or advances of expenses incurred in the
ordinary course of business or employee relocation expenses. None of the Group Companies’
directors, officers or employees, or any members of their immediate families, or any Affiliate
of the foregoing (i) are, directly or indirectly, indebted to any Group Company or, (ii) to
the Warrantors’ knowledge, have any direct or indirect ownership interest in any firm or
corporation with which the Company is affiliated or with which any Group Company has a
business relationship, or any firm or corporation which competes with any Group Company except
that directors, officers or employees or shareholders of the Company may own shares in (but
not exceeding one percent (1%) of the outstanding shares of) publicly traded companies that
may compete with any Group Company. To the Warrantors’ knowledge, none of the Group Companies’
employees or directors or any members of their immediate families or any Affiliate of any of
the foregoing are, directly or indirectly, interested in any contract with any Group Company.
None of the directors or officers, or any
members of their immediate families, has any material commercial, industrial, banking,
consulting, legal, accounting, charitable or familial relationship with any of the Group
Companies’ five (5) largest business relationship partners, service providers, joint venture
partners, licensees and competitors.

 

 

 

	11.3	 	Except for the Group Companies and the entities set forth in Section 11.3 of the
Disclosure Schedule, there are no corporations, partnerships, trusts, joint ventures,
limited liability companies or other business entities in which any Key Holder owns or
controls, directly or indirectly, 10% or more of the outstanding voting interests.

	12.	 	Rights of Registration and Voting Rights.

Except as provided in the Shareholders’ Agreement, no Group Company is under any obligation
to register under the Securities Act or any other applicable securities laws, any of its
currently outstanding securities or any securities issuable upon exercise or conversion of
its currently outstanding securities. To the Warrantors’ knowledge, except as contemplated
in the Shareholders’ Agreement, no shareholder of any Group Company has entered into any
agreements with respect to the voting of, shares in the capital of the Company. Except as
contemplated by or disclosed in the Transaction Documents, no Founder is a party to or has
any knowledge of any agreements, written or oral, relating to the acquisition, disposition,
registration under the Securities Act, or voting of the shares or securities of any Group
Company.

	13.	 	Absence of Liens.

Except as provided in Section 13 of the Disclosure Schedule, the property
and assets owned by the Group Companies are free and clear of all mortgages, deeds of trust,
liens, loans and encumbrances, except for statutory liens for the payment of current taxes
that are not yet delinquent and encumbrances and liens that arise in the ordinary course of
business and do not materially impair the Group Companies’ ownership or use of such property
or assets. With respect to the property and assets it leases, each Group Company is in
compliance with such, leases and, to the Warrantors’ knowledge, holds a valid leasehold
interest free of any liens, claims or encumbrances other than those of the lessors of such
property or assets.

	14.	 	Financial Statements.

The Domestic Company has delivered to the Purchaser its audited Financial Statements for the
fiscal year ended December 31, 2007, and December 31, 2008, and for the 9 month period ended
September 30, 2009. The Financial Statements fairly present in all material respects the
financial condition and operating results of the Domestic Company as of the dates, and for
the periods, indicated therein. Except as set forth in the Financial Statements, the
Domestic Company has no material liabilities or obligations, contingent or otherwise, as of
December 31, 2008, other than (i) liabilities incurred in the ordinary course of business
subsequent to December 31, 2008; (ii) obligations under contracts and commitments incurred
in the ordinary course of business and (iii) liabilities and obligations of a type or nature
not required under the PRC GAAP to be reflected in the Financial Statements, which, in all
such cases, individually and in the aggregate would not have a Material Adverse Effect.
However, the Domestic Company commits to maintain a standard system of accounting
established and administered in accordance with U.S. GAAP.

 

 

 

	15.	 	Changes.

Since December 31, 2008, except as set forth in Section 15 of the Disclosure
Schedule or as contemplated by this Agreement or the Transaction Documents, there has
not been:

	 	(a)	 	any change in the assets, liabilities, financial condition or operating results
of any Group Company from that reflected in the Financial Statements, except changes in
the ordinary course of business that have not caused, in the aggregate, a Material
Adverse Effect on a Group Company;

	 	(b)	 	any damage, destruction or loss, whether or not covered by insurance, that
would have a Material Adverse Effect on a Group Company;

	 	(c)	 	any waiver or compromise by any Group Company of a valuable right or of a
material debt owed to it;

	 	(d)	 	any satisfaction or discharge of any lien, claim, or encumbrance or payment of
any obligation by any Group Company, except in the ordinary course of business and the
satisfaction or discharge of which would not have a Material Adverse Effect;

	 	(e)	 	any material change to a material contract or agreement by which any Group
Company or any of its assets is bound or subject;

	 	(f)	 	any material change in any compensation arrangement or agreement with any
employee, officer, director or shareholder;

	 	(g)	 	any resignation or termination of employment of any officer or Employee of any
Group Company;

	 	(h)	 	any mortgage, pledge, transfer of a security interest in, or lien, created by
any Group Company, with respect to any of its material properties or assets, except
liens for taxes not yet due or payable and liens that arise in the ordinary course of
business and do not materially impair such Company’s ownership or use of such property
or assets;

	 	(i)	 	any dividend, loans or guarantees made by any Group Company to or for the
benefit of its employees, officers or directors, or any members of their immediate
families, other than travel advances and other advances made in the ordinary course of
its business;

	 	(j)	 	any declaration, setting aside or payment or other distribution in respect of
any Group Company’s share capital, or any direct or indirect redemption, purchase, or
other acquisition of any of such shares by any Group Company;

	 	(k)	 	any sale, assignment or transfer of any Group Company Intellectual Property
that could reasonably be expected to result in a Material Adverse Effect;

	 	(l)	 	receipt of notice that there has been a loss of, or material order cancellation
by, any major customer of any Group Company;

	 	(m)	 	to the Warrantors’ knowledge, any other event or condition of any character,
other than events affecting the economy or the Company’s industry generally, that could
reasonably be expected to result in a Material Adverse Effect; or

	 	(n)	 	any arrangement or commitment by the Company to do any of the things described
in this Section 15.

 

 

 

	16.	 	Employee Matters.

	16.1	 	Section 16.1 of the Disclosure Schedule sets forth a detailed description of
all compensation, including salary, bonus, severance obligations and deferred compensation
payable for each officer, employee, consultant and independent contractor of any Group Company
who is anticipated to receive compensation in excess of US$50,000 for the fiscal year ending
December 31, 2009.

	16.2	 	To the Warrantors’ knowledge, no employee of any Group Company is obligated under any
contract (including licenses, covenants or commitments of any nature) or other agreement, or
subject to any judgment, decree or order of any court or administrative agency, that would
materially interfere with such employee’s ability to promote the interest of the Group
Companies or that would conflict with the Group Companies’ business. Neither the execution or
delivery of the Transaction Documents, nor the carrying on of the Company’s business by the
employees of the Group Companies, nor the conduct of the business as now conducted and as
presently proposed to be conducted, will, to the Warrantors’ knowledge, conflict with or
result in a breach of the terms, conditions, or provisions of, or constitute a default under,
any contract, covenant or instrument under which any such employee is now obligated.

	16.3	 	No Group Company is delinquent in payments to any of its employees, consultants, or
independent contractors for any wages, salaries, commissions, bonuses, or other direct
compensation for any service performed for it to the date hereof or amounts required to be
reimbursed to such employees, consultants, or independent contractors. Each Group Company has
complied in all material respects with all applicable laws related to employment, including
those related to wages, hours, worker classification, and collective bargaining, and the
payment and withholding of taxes and other sums as required by law except where noncompliance
with any applicable law would not result in a Material Adverse Effect. Each Group Company has
withheld and paid to the appropriate governmental entity or is holding for payment not yet due
to such governmental entity all amounts required to be withheld from employees of such Group
Company and is not liable for any arrears of wages, taxes, penalties, or other sums for
failure to comply with any of the foregoing.

	16.4	 	To the Warrantors’ knowledge, no employee intends to terminate employment with any Group
Company or is otherwise likely to become unavailable to continue as an employee, nor does any
Group Company have a present intention to terminate the employment of any of the foregoing.
The employment of each employee of the Company is terminable at the will of the Company.
Except as set forth in Section 16.4 of the Disclosure Schedule or as required
by law, upon termination of the employment of any such employees, no severance or other
payments will become due. Except as set forth in Section 16.4 of the Disclosure
Schedule, the Company has no policy, practice, plan, or program of paying severance pay or
any form of severance compensation in connection with the termination of employment services.

 

 

 

	16.5	 	The Company has not made any representations regarding equity incentives to any officer,
employees, director or consultant that are inconsistent with the share amounts and terms set
forth in the Company’s board minutes.

	16.6	 	Each former employee whose employment was terminated by the Company has entered into an
agreement with the Company providing for the full release of any claims against the Company or
any related party arising out of such employment.

	16.7	 	Section 16.7 of the Disclosure Schedule sets forth each and every employee
benefit plan maintained, established or sponsored by any Group Company, or in which any Group
Company participates in or contributes to in any jurisdiction, including without limitation,
the PRC (the “Employee Benefit Plans”). Save as set out in Section 16.7 of the
Disclosure Schedule, there is no other pension, retirement, profit-sharing, deferred
compensation, bonus, incentive or other employee benefit program, arrangement, agreement or
understanding to which any Group Company contributes, is bound, or under which any employees
or former employees (or their beneficiaries) are eligible to participate or derive a benefit.
Each Group Company has made all required contributions under all the Employee Benefit Plans
including without limitation all contributions required to be made under the PRC social
insurance and housing schemes, and has complied in all material respects with all applicable
laws of any jurisdiction, in relation to the Employee Benefit Plans.

	16.8	 	No Group Company is bound by or subject to (and none of its assets or properties is bound by
or subject to) any written or oral, express or implied, contract, commitment or arrangement
with any labor union, and no labor union has requested or, to the Warrantors’ knowledge, has
sought to represent any of the employees, representatives or agents of any Group Company.
There is no strike or other labor dispute involving any Group Company pending, or to the
Warrantors’ knowledge, threatened, which could have a Material Adverse. Effect, nor is the
Company aware of any labor organization activity involving its employees.

	16.9	 	To the Warrantors’ knowledge, none of the employees or directors of any Group Company during
the previous three (3) years, has been (a) subject to voluntary or involuntary petition under
any applicable bankruptcy laws or any state insolvency laws or the appointment of manager, a
receiver or similar officer by a court for his business or property; (b) convicted in a
criminal proceeding or named as a subject of a pending criminal proceeding (excluding traffic
violations and other minor offenses); (c) subject to any order, judgment, or decree (not
subsequently reversed, suspended, or vacated) of any court of competent jurisdiction
permanently or temporarily enjoining him from engaging, or otherwise imposing limits or
conditions on his engagement in any securities, investment advisory, banking, insurance, or
other type of business or acting as an officer or director of a public company; or (d) found
by a court of competent jurisdiction in a civil action or by any relevant regulatory
organization to have violated any applicable securities,.. commodities, or unfair trade
practices law, which such judgment or finding has not been subsequently reversed, suspended,
or vacated.

 

 

 

	17.	 	Tax Matters.

	17.1	 	The provisions for taxes as shown on the balance sheet included in the Financial Statements
are, sufficient in all material respects for the payment of all accrued and
unpaid applicable taxes of the Group Companies as of the date of each such balance sheet,
whether or not assessed or disputed as of the date of each such balance sheet. Except as set
forth in Section 17 of the Disclosure Schedule, there have been no
extraordinary examinations or audits of any tax returns or reports by any applicable
Governmental Authority. Except as set forth in Section 17 of the Disclosure Schedule, each
Group Company has filed or caused to be filed on a timely basis all tax returns that are or
were required to be filed (to the extent applicable), all such returns are correct and
complete, and each Group Company has paid all taxes that have become due, or have reflected
such taxes in accordance with IFRS as a reserve for taxes on the Financial Statements. There
are in effect no waivers of applicable statutes of limitations with respect to taxes for any
year.

	17.2	 	No member of the Company Group is, nor expects to become, a passive foreign investment
company (“PFIC”) as described in Section 1297 of the United States Internal Revenue Code of
1986, as amended (the “Code”).

	17.3	 	No shareholder of any member of a Group Company, solely by virtue of its status as
shareholder of such Group Company, have personal liability under local law for the debts and
claims of such Group Company. There has been no communication from any tax authority relating
to or affecting the tax classification of any member of the Company Group.

	18.	 	Insurance.

Section 18 of the Disclosure Schedule provides a complete list of each Group
Company’s insurance policies currently in effect. No Group Company has done or omitted to do
or suffered anything to be done or not to be done other than any acts in the ordinary course
of business which has or would render any policies of insurance taken out by it or by any
other person in relation to any of such Group Company’s assets void or voidable or which
would result in an increase in the rate of premiums on the said policies and there are no
claims outstanding and no circumstances which would give rise to any claim under any of such
policies of insurance.

	19.	 	Confidential Information and Invention Assignment Agreements.

Each current and former employee, consultant and officer of the Company or any Group Company
has executed an agreement with the Company of Group Company regarding confidentiality and
proprietary information substantially in the form or forms delivered to the counsel for the
Purchaser (the “Confidential Information Agreements”), No current or former employee has
excluded works or inventions from his or her assignment of inventions pursuant to such
employee’s Confidential Information Agreement. The Company and any Group Company are not
aware that any of their Key Employees is in violation thereof.

	20.	 	Governmental and Other Permits.

Each Group Company has all franchises, governmental permits, licenses and any similar
authority necessary for the conduct of its business. No Group Company is in default in any
material respect under any of such franchises, Governmental permits, licenses or other
similar authority.

 

 

 

	21.	 	Corporate Documents.

	22.	 	The memorandum of association, articles of association, and all other constitutional
documents (or analogous constitutional documents) of each Group Company are in the form
provided to the Purchaser. The copy of the minute books of the Company provided to the
Purchaser contains minutes of all meetings of directors and shareholders and all actions by
written consent without a meeting by the directors and shareholders since the date of
incorporation and accurately reflects in all material respects all actions by the directors
(and any committee of directors) and shareholders with respect to all transactions
referred to in such minutes.

	23.	 	Liabilities.

Except as set forth in Section 22 of the Disclosure Schedule or arising
under the instruments set forth in Section 10 of the Disclosure Schedule,
the Company has no liabilities of any nature, whether accrued, absolute, contingent or
otherwise, and whether due or to become due, except for (i) liabilities set forth in the
Financial Statements, (ii) trade or business liabilities incurred in the ordinary course of
business, and (iii) other liabilities that do not exceed US$5,000 in the aggregate.

	24.	 	Compliance with Laws.

	24.1	 	Except as set forth in Section 23.1 of the Disclosure Schedule, each Group
Company is in material compliance with all applicable Laws applicable to it or to the conduct
or operation of its business or the ownership or use of any of its assets or properties.

	24.2	 	Except as set forth in Section 23.2 of the Disclosure Schedule, no event has
occurred and no circumstance exists that to the Warrantors’ knowledge (i) may constitute or
result in a violation by any Group Company, or a failure on the part of any Group Company to
comply with any Law, or (ii) may give rise to any obligation on the part of any Group Company
to undertake, or to bear all or any portion of the cost of, any remedial action of any nature,
except for such violations or failures by a Group Company that, individually or in the
aggregate, would not result in any Material Adverse Effect.

	24.3	 	No Group Company has received any written notice from any Governmental Authority regarding
(i) any actual, alleged or likely material violation of, or material failure to comply with,
any Law, or (ii) any actual, alleged or likely material obligation on the part of any Group
Company to undertake, or to bear all or any portion of the cost of, any remedial action of any
nature.

	24.4	 	No Group Company, nor any director, agent, employee or any other person acting for or on
behalf of any Group Company, has directly or indirectly (i) made any contribution, gift,
bribe, payoff, influence payment, kickback, or any other fraudulent payment in any form,
whether in money, property, or services to any public official or otherwise (A) to obtain
favorable treatment in securing business for a Group Company, (B) to pay for favorable
treatment for business secured, or (C) to obtain special concessions or for special
concessions already obtained, for or in respect of any Group Company, in each case which would
have been in violation of any applicable Law or (ii) established or maintained any fund or
assets in which any
Group Company shall have proprietary rights that have not been recorded in the books and
records of a Group Company.

 

 

 

	24.5	 	During the previous five (5) years, no Founder has been (i) subject to voluntary or
involuntary petition under any applicable bankruptcy laws or any applicable insolvency law or
the appointment of a manager, receiver, or similar officer by a court for his business or
property; (ii) convicted in a criminal proceeding or named as a subject of a pending criminal
proceeding (excluding traffic violations and other minor offences); (iii) subject to any
order, judgment, or decree (not subsequently reversed, suspended, or vacated) of any court of
competent jurisdiction permanently or temporarily enjoining him from engaging, or otherwise
imposing limits or conditions on his engagement in any securities, investment advisory,
banking, insurance, or other type of business or acting as an officer or director of a public
company; or (iv) found by a court of competent jurisdiction in a civil action or by any
regulatory organization to have violated any applicable securities, commodities or unfair
trade practices law whatsoever, which such judgment or finding has not been subsequently
reversed, suspended, or vacated.

	25.	 	Disclosure; Projections.

The Company has made available to the Purchaser all the information reasonably available to
the Company that the Purchaser has requested for deciding whether to acquire the Shares,
including certain of the Company’s financial projections (the “Projections”), each of which
were prepared in good faith. To the Warrantors’ knowledge, no representation or warranty of
any Warrantor contained in this Agreement, as qualified by the Disclosure Schedule, and no
certificate furnished or to be furnished to the Purchaser at the Closing contains any untrue
statement of a material fact or omits to state a material fact necessary in order to make
the statements contained herein or therein not misleading in light of the circumstances
under which they were made.

	26.	 	Use of Proceeds Plan and Budget.

The Company has delivered to the Purchaser on or before the Closing an interim use of
proceeds plan and operation budget (the “Business Plan”) in accordance with Section
2.5. Such Business. Plan was prepared in good faith based upon assumptions and
projections which the Founders believe are reasonable and not materially misleading.

	27.	 	Entire Business.

There are no material facilities, services, assets or properties shared with any entity
other than the Group Company which are used in connection with the business of the Domestic
Company.

 

 

 

SCHEDULE 5

DISCLOSURE SCHEDULE

			
	Section 1	 	Introduction 

	1.1	 	This Disclosure-Schedule forms an inseparable part of the Share Purchase Agreement (the
“Agreement”) relating to the purchase by CHINA TECHFAITH WIRELESS COMMUNICATION TECHNOLOGY
LIMITED from ACTIVE CENTURY HOLDINGS LIMITED of 96 Ordinary Shares of CITYLEAD Limited, a
company limited by shares duly incorporated and validly existing under the Laws of the British
Virgin Islands (the “Company”). Unless the context otherwise specifies, all capitalized terms
used herein shall have the meanings given to such terms in the Agreement.

	1.2	 	The purpose of this Disclosure Schedule is to disclose matters which may be relevant to
and/or to qualify the representations and warranties made by certain parties contained in
Schedule 4 of the Agreement (collectively, the “Warranties” and each, a “Warranty”).

	1.3	 	In the event that, any inconsistency is revealed between any provision of the Agreement and
any part of this Disclosure Schedule, this Disclosure Schedule shall prevail and shall be.
deemed to be the relevant disclosure.

	1.4	 	The matters disclosed, in this Disclosure Schedule shall be deemed to be representations and
warranties under Schedule 4 of the Agreement.

	1.5	 	Inclusion of any item in this Disclosure Schedule (i) does not represent a determination that
such item is material or. establish a standard of materiality; (ii) does not represent a
determination that such item did not arise in the ordinary course of business; (iii) except as
specifically set forth herein, does not represent a determination that the transactions
contemplated in the Agreement require the consent of third parties.

	1.6	 	The section numbers below correspond to the section numbers of the Warranties in the Schedule
4 of this Agreement; provided however, that any information disclosed herein under any section
number shall be deemed-disclosed and incorporated into any other sections of this Disclosure
Schedule to which there is an express cross-reference.

 

 

 

			
	Section 2	 	Disclosure Schedule

	 	 	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 
	Section 3

	 	nil	 	 	 	 	 	 
	Section 8.1	 	•	 	Trademark in the process of application:
	 

	 	 	 	 	1.	 	 	“QiGi” (Application date: 1-10-2008; Application number: 6501874; Category: 09)
	 

	 	 	 	 	2.	 	 	“QIGI (picture)” (Application date: 3-11-2009; Application number: 7247382; Category: 09)
	 

	 	 	 	 	3.	 	 	“i-mate” (Application date: 9-27-2007; Application number: 6299651; Category: 09)
	 	 	•	 	Domain names:
	 

	 	 	 	 	1.	 	 	qigi.cc;
	 

	 	 	 	 	2.	 	 	bodee.cc

	 	 	 	 	 	 	 
	Section 8.2

	 	nil
	 	 
	Section 10.1

	 	 	1.	 	 	Sales Contract dated January 5, 2009, between the Domestic Company (hereinafter referred to as “QiGI” in this section of the Disclosure Schedule) and Henan Jielong Tongxing Technology Co., Ltd.;
	 

	 	 	2.	 	 	Sales Contract dated January 5, 2009, between QiGi and Taiyuan Tianfuweiye Tongxun Machinery Co., Ltd.;
	 

	 	 	3.	 	 	Sales Contract dated January 5, 2009, between QiGi and Tianjin Meiritong Shangmao Co., Ltd.;
	 

	 	 	4.	 	 	Sales Contract dated January 7, 2009, between QiGi and Changde Yongxiang Maoyi Co., Ltd.;
	 

	 	 	5.	 	 	Sales Contract dated January 8, 2009, between QiGi and Foshan Nanhaitianjun Electronics Co., Ltd.;
	 

	 	 	6.	 	 	Sales Contract dated January 9, 2009, between QiGi and Chongqing Shiji Tongxun Technology Development Co., Ltd.;

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	7.	 	 	Sales Contract dated January 9, 2009, between QiGi and Chongqing Taindisheyuan Shangmao Co., Ltd.;
	 

	 	 	8.	 	 	Sales Contract dated January 12, 2009, between QiGi and Chengdu Huadao Shangmao Co., Ltd.:
	 

	 	 	9.	 	 	Sales Contract dated January 12, 2009, between QiGi and Guangzhou Xiangjin Digital Technology Co., Ltd.;
	 

	 	 	10.	 	 	Sales Contract dated January 13, 2009, between QiGi and Dongguang Lianyu Electronics Co., Ltd.;
	 

	 	 	11.	 	 	Sales Contract dated January 15, 2009, between QiGi and Guangzhou Chuangwei Electronics  Technology Co., Ltd.;
	 

	 	 	12.	 	 	Sales Contract dated January 15, 2009, between QiGi and Hangzhou Quanyong Maoyi Co., Ltd.;
	 

	 	 	13.	 	 	Sales Contract dated January 15, 2009, between QiGi and Kunming Wuyao Tongxun Equipment Co., Ltd.;
	 

	 	 	14.	 	 	Sales Contract dated January 15, 2009, between QiGi and Quanzhou Huachen Dianxun Maoyi Co., Ltd.;
	 

	 	 	15.	 	 	Sales Contract dated January 15, 2009, between QiGi and Shanghai Kunqian Shiye Co., Ltd.;
	 

	 	 	16.	 	 	Sales Contract dated January 15, 2009, between QiGi and Chengdu Gonglin Shenan Information Systems Co., Ltd.;
	 

	 	 	17.	 	 	Sales Contract dated January 16, 2009, between QiGi and Kunming Jingzheng Technology Electronics Co., Ltd.;
	 

	 	 	18.	 	 	Sales Contract date January 16, 2009, between QiGi and Shanghai Boxuan Tongxun Technology Co., Ltd.;
	 

	 	 	19.	 	 	Sales Contract dated January 16, 2009, between QiGi and Xiamen Huidesheng Maoyi Co., Ltd.;
	 

	 	 	20.	 	 	Sales Contract dated January 19, 2009, between QiGi and Shenzhen Lindawei Electronics Technology Shiye Co., Ltd.;
	 

	 	 	21.	 	 	Sales Contract dated January 20, 2009, between QiGi and Wuhan Jiayuan Digital Technology Co., Ltd.;
	 

	 	 	22.	 	 	Sales Contract dated January 20, 2009 between QiGi and Beijing Hanminxintong Technology Co., Ltd.;

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	23.	 	 	Sales Contract dated January 21, 2009, between QiGi and Guizhou Nanming District Huamei Tongxun Machinery Co., Ltd.;
	 

	 	 	24.	 	 	Sales Contract dated January 21, 2009, between QiGi and Jinan Depu Tongxing Equipment Co., Ltd.;
	 

	 	 	25.	 	 	Sales Contract dated January 21, 2009, between QiGi and Shanghai Shoushang Intelligence Tongxun Equipment Company;
	 

	 	 	26.	 	 	Sales Contract dated January 21, 2009, between QiGi and Shanghai Situman Dianxing Technology Co., Ltd.;
	 

	 	 	27.	 	 	Sales Contract dated January 23, 209, between QiGi and Shanxi Fanggeng Technology Development Co., Ltd.;
	 

	 	 	28.	 	 	Sales Contract dated February 1, 2009, between QiGi and Hanzhou Renxing Digital Technology Co., Ltd.;
	 

	 	 	29.	 	 	Machinery Purchase Contract dated February 1, 2009, between QiGi and Guangdong Hexing Technology Co., Ltd.;
	 

	 	 	30.	 	 	Sales Contract dated February 3, 2009, between QiGi and Shenzhen Quanqi Digital Co., Ltd.;
	 

	 	 	31.	 	 	Sales Contract dated February 3, 2009, between QiGi and Shenzhen JingyushikongTongxun Equipment Co., Ltd.;
	 

	 	 	32.	 	 	Sales Contract dated February 3, 2009, between QiGi and Suzhou Jingpai Mobile Phone Internet Co., Ltd.;
	 

	 	 	33.	 	 	Sales Contract dated February 3, 2009, between QiGi and Zhuhai Sankeng Electronics Technology Co., Ltd.;
	 

	 	 	34.	 	 	Sales Contract dated February 3, 2009 between QiGi and Chengdu Hanbo Shangmao Co., Ltd.;
	 

	 	 	35.	 	 	Sales Contract dated February 3, 2009, between QiGi and Chongqing Bada Electronics Construction Co., Ltd.;
	 

	 	 	36.	 	 	Sales Contract dated February 3, 2009, between QiGi and Jinan Depu Tongxing Equipment Co., Ltd.;
	 

	 	 	37.	 	 	Sales Contract dated February 3, 2009 between QiGi and Yunnan Geling Digital Technology Co., Ltd.;
	 

	 	 	38.	 	 	Order Form dated February 3, 2009, between QiGi and Dexing Intelligence Mobile Phone Technology (HK) Co., Ltd.;

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	39.	 	 	Order Form dated February 4, 2009, between QiGi and Dexing Intelligence Mobile Phone Technology (HK) Co., Ltd.;
	 

	 	 	40.	 	 	Sales Contract dated February 4, 2009, between QiGi and Changsha Jianfengchaoliu Tongxun Equipment Company;
	 

	 	 	41.	 	 	Sales Contract dated February 4, 2009, between QiGi and Shenzhen LindaweiElectronics Technology Shiye Co., Ltd.;
	 

	 	 	42.	 	 	Sales Contract dated February 5, 2009, between QiGi and Shanghai E-te Digital Co., Ltd.;
	 

	 	 	43.	 	 	Sales Contract dated February 5, 2009, between QiGi and Beijing Gongrenweiye Shangmao Co., Ltd.;
	 

	 	 	44.	 	 	Machinery Purchase Contract dated February 5, 2009, between QiGi and Guangzhou Technology Tongxing Technology Co., Ltd.;
	 

	 	 	45.	 	 	Sales Contract dated February 7, 2009, between QiGi and Taiyuan Tianfuweiye Tongxun Machinery Co., Ltd.;
	 

	 	 	46.	 	 	Sales Contract dated February 7, 2009, between QiGi and Tianjing Meiritong Shangmao Co., Ltd.;
	 

	 	 	47.	 	 	Sales Contract dated February 7, 2009, between QiGi and Hefi Jiada Tongxun Technology Co., Ltd.;
	 

	 	 	48.	 	 	Sales Contract dated February 7, 2009, between QiGi and Shijiazhuang Tianwen Tongxun Machinery Co., Ltd.;
	 

	 	 	49.	 	 	Machinery Purchase Contract dated February 7, 2009, between QiGi and Guangdong Hexing Technology Co., Ltd.;
	 

	 	 	50.	 	 	Sales Contract dated February 8, 2009, between QiGi and Wuhan Zhongyu Electronics Co., Ltd.;
	 

	 	 	51.	 	 	Sales Contract dated February 10, 2009, between QiGi and Beijing Zehengteng Technology Development Co., Ltd.;
	 

	 	 	52.	 	 	Sales Contract dated February 13, 2009, between QiGi and Nanjing Lanbiao Digital Technology Co., Ltd.;
	 

	 	 	53.	 	 	Sales Contract dated February 13, 2009, between QiGi and Henan Jielong Tongxun 7 Technology Co., Ltd.;
	 

	 	 	54.	 	 	Sales Contract dated February 13, 2009, between QiGi and Beijing Mobile Xingzhi Tongxun Technology Co., Ltd.;

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	55.	 	 	Sales Contract dated February 13, 2009, between QiGi and Taiyuan Huiling Tongxing Information Technology Co., Ltd.;
	 

	 	 	56.	 	 	Sales Contract dated February 14, 2009, between QiGi and Qingdao Jingweitiandi Electronics Co., Ltd.;
	 

	 	 	57.	 	 	Sales Contract dated February 14, 2009, between QiGi and Huizhou Yicheng Technology Co., Ltd.;
	 

	 	 	58.	 	 	Sales Contract dated February 14, 2009, between QiGi and Wuhan JiayuanDigital Technology Co., Ltd.;
	 

	 	 	59.	 	 	Sales Contract dated February 14, 2009, between QiGi and Nanjing Runchang Electronics Co., Ltd.;
	 

	 	 	60.	 	 	Sales Contract dated February 18, 2009, between QiGi and Guangzhou Yuanchang Maoyi Co., Ltd.;
	 

	 	 	61.	 	 	Order Form dated February 24, 2009, between QiGi and Dexing Intelligence Mobile Phone Technology (HK);
	 

	 	 	62.	 	 	Order Form dated February 24, 2009, between QiGi and Dexing Wireless Tongxun Technology ( Beijing ) Co., Ltd.;
	 

	 	 	63.	 	 	Order Form dated February 26, 2009, between QiGi and Dexing Intelligence Mobile Phone Technology ( Beijing ) Co., Ltd.;
	 

	 	 	64.	 	 	Sales Contract dated March 2, 2009, between QiGi and Nanning Hengrongchang Shangmao Co., Ltd.;
	 

	 	 	65.	 	 	Sales Contract dated March 26, 2009, between QiGi and Wuhan Bohong Information Technology Co., Ltd.;
	 

	 	 	66.	 	 	Sales Contract dated March 2, 2009, between QiGi and Tianjing Chiwuxian Tongxun Technology Co., Ltd.;
	 

	 	 	67.	 	 	Sales Contract dated March 3, 2009, between QiGi and Shishi Fanhua Dianxun Maoyi Co., Ltd.;
	 

	 	 	68.	 	 	Sales Contract dated March 3, 2009, between QiGi and Shenzhen Jingbaolong Digital Technology Co., Ltd.;
	 

	 	 	69.	 	 	Sales Contract dated March, 2009, between QiGi and Shenzhen Chuangfeier Electronics Technology Co., Ltd.;
	 

	 	 	70.	 	 	Sales Contract dated March, 2009, between QiGi and Shanghai Yitianxia Technology Co., Ltd.;
	 

	 	 	71.	 	 	Sales Contract dated March, 2009, between QiGi and Shanghai Longding Shangwu Co., Ltd.

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	72.	 	 	Sales Contract dated March, 2009, between QiGi and Shanghai Kunqian Shiye Co., Ltd.;
	 

	 	 	73.	 	 	Sales Contract dated March, 2009, between QiGi and Rizhao Taitong Electronics Co., Ltd.;
	 

	 	 	74.	 	 	Sales Contract dated March, 2009, between QiGi and Nanjing Puhan Gongmao Shiye Co., Ltd.;
	 

	 	 	75.	 	 	Sales Contract dated March, 2009, between QiGi and Hunan Bopu Technology Co., Ltd.;
	 

	 	 	76.	 	 	Sales Contract dated March, 2009, between QiGi and Changzhou Yuntuo Shangmao Co., Ltd.;
	 

	 	 	77.	 	 	Machinery Purchase Contract dated March 5, 2009, between QiGi and Guangzhou Technology Tongxing Technology Co., Ltd.;
	 

	 	 	78.	 	 	Sales Contract dated March 6, 2009, between QiGi and Kunming Bangsheng Technology Co., Ltd.;
	 

	 	 	79.	 	 	Sales Contract dated March 7, 2009, between QiGi and Henan Zhongzheng Tongxun Co., Ltd.;
	 

	 	 	80.	 	 	Sales Contract dated March 7, 2009, between QiGi and Guangzhou Yuanchang Maoyi Co., Ltd.;
	 

	 	 	81.	 	 	Sales Contract dated March 7, 2009, between QiGi and Fujian Huaqiao Shiye Group Company;
	 

	 	 	82.	 	 	Sales Contract dated March 8, 2009, between QiGi and Hangzhou Jingpusheng Technology Co., Ltd.;
	 

	 	 	83.	 	 	Sales Contract dated March 8, 2009, between QiGi and Guangzhou Hengmi Maoyi Co., Ltd.;
	 

	 	 	84.	 	 	Sales Contract dated March 8, 2009, between QiGi and Dongguang Shilong Jingyingtong Electronics Co., Ltd.;
	 

	 	 	85.	 	 	Sales Contract dated March 8, 2009, between QiGi and Dingming Yali Tongxun Technology Co., Ltd.;
	 

	 	 	86.	 	 	Machinery Purchase Contract dated March 9, 2009, between QiGi and Guangdong Hexing Technology Co., Ltd.;
	 

	 	 	87.	 	 	Machinery Purchase Contract dated March 10, 2009, between QiGi and Hangzhou Guangyuan Technology Co., Ltd.;

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	88.	 	 	Sales Contract dated March 12, 2009, between QiGi and Changsha Zhongtian Tongxun Technology Co., Ltd.;
	 

	 	 	89.	 	 	Sales Contract dated March 16, 2009, between QiGi and Kunming Wuyao Tongxun Equipment Co., Ltd.;
	 

	 	 	90.	 	 	Sales Contract dated March 16, 2009, between QiGi and Beijing Hanming Tongxing Technology Co., Ltd.;
	 

	 	 	91.	 	 	Sales Contract dated March 16, 2009, between QiGi and Nanjing Yingxshui Tongxun Co., Ltd.;
	 

	 	 	92.	 	 	Sales Contract dated March 16, 2009, between QiGi and Hunan Yinyuan Zhongxing Information Technology Co., Ltd.;
	 

	 	 	93.	 	 	Sales Contract dated March 16, 2009, between QiGi and Kunming Xingkangcheng Information Technology Co., Ltd.;
	 

	 	 	94.	 	 	Order Form dated March 25, 2009, between QiGi and Dexing Wireless Tongxun Technology ( Beijing ) Co., Ltd.;
	 

	 	 	95.	 	 	Sales Contract dated March 27, 2009, between QiGi and Yiwu Daoye Internet Technology Co., Ltd.;
	 

	 	 	96.	 	 	Sales Contract dated April 1, 2009, between QiGi and Yancheng Tinghu District Qiandao Tongxun Machinery Co., Ltd.;
	 

	 	 	97.	 	 	Sales Contract dated April 2, 2009, between QiGi and Xuzhou Sanjiu Intelligence Tongxun Co., Ltd.;
	 

	 	 	98.	 	 	Sales Contract dated April 2, 2009, between QiGi and Xiamen Huidesheng Maoyi Co., Ltd.;
	 

	 	 	99.	 	 	Sales Contract dated April 2, 2009, between QiGi and Wuhan Feiyang Technology Co., Ltd.;
	 

	 	 	100.	 	 	Sales Contract dated April 3, 2009, between QiGi and Tianjing Meiritong Shangmao Co., Ltd. ;
	 

	 	 	101.	 	 	Sales Contract dated April 3, 2009, between QiGi and Suzhou Jingpai Mobile Phone Internet Co., Ltd.;
	 

	 	 	102.	 	 	Sales Contract dated April 3, 2009, between QiGi and Shenzhen Guoxing Tongxun Technology Co., Ltd.;
	 

	 	 	103.	 	 	Sales Contract dated April 13, 2009, between QiGi and Shanghai Shoushang Intelligence Tongxun Equipment Company;

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	104.	 	 	Machinery Purchase Contract dated April 3, 2009, between QiGi and Shenzhen Zhongke Tianbo Technology Co., Ltd.;
	 

	 	 	105.	 	 	Sales Contract dated April, 2009, between QiGi and Shenzhen Quanqi Digital Co., Ltd.;
	 

	 	 	106.	 	 	Sales Contract dated April, 2009, between QiGi and Hefei Jiada Tongxun Technology Co., Ltd.;
	 

	 	 	107.	 	 	Sales Contract dated April 4, 2009, between QiGi and Shanghai Liangzeng Gongmao Co., Ltd.;
	 

	 	 	108.	 	 	Sales Contract dated April 4, 2009, between QiGi and Qingdao Jingweitiandi Electronics Co., Ltd.;
	 

	 	 	109.	 	 	Sales Contract dated April 4, 2009, between QiGi and Nanjing Lanbiao Digital Technology Co., Ltd.;
	 

	 	 	110.	 	 	Sales Contract dated April 4, 2009, between QiGi and Nanjing Chaoyue Tongxun Equipment Co., Ltd.;
	 

	 	 	111.	 	 	Sales Contract dated April 4, 2009, between QiGi and Kunming Hengshen Tongxun Co., Ltd.;
	 

	 	 	112.	 	 	Sales Contract dated April 6, 2009, between QiGi and Jinan Depu Tongxing Equipment Co., Ltd.;
	 

	 	 	113.	 	 	Sales Contract dated April 6, 2009, between QiGi and Huizhou Yicheng Technology Co., Ltd.;
	 

	 	 	114.	 	 	Sales Contract dated April 7, 2009, between QiGi and Henan Ruite Tongxun Equipment Co., Ltd.;
	 

	 	 	115.	 	 	Sales Contract dated April 8, 2009, between QiGi and Hangzhou Yongquan Maoyi Co., Ltd.;
	 

	 	 	116.	 	 	Sales Contract dated April 8, 2009, between QiGi and Guangzhou Chuangwei Electronics  Technology Co., Ltd.;
	 

	 	 	117.	 	 	Sales Contract dated April 8, 2009, between QiGi and Hanzhou Renxing Digital Technology Co., Ltd.;
	 

	 	 	118.	 	 	Sales Contract dated April 8, 2009, between QiGi and Foshan Nanhaitianjun Electronics Co., Ltd.;
	 

	 	 	119.	 	 	Sales Contract dated April 8, 2009, between QiGi and Dongguang Lianyu Electronics Co., Ltd.;
	 

	 	 	120.	 	 	Sales Contract dated April 8, 2009, between QiGi and Dalian Sanheweiye Digital Technology Co., Ltd.;

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	121.	 	 	Sales Contract dated April 8, 2009, between QiGi and; Beijing Bode Technology Service Co., Ltd.
	 

	 	 	122.	 	 	Sales Contract dated April, 2009, between QiGi and Chengdu Huadao Shangmao Co., Ltd.;
	 

	 	 	123.	 	 	Sales Contract dated April, 2009, between QiGi and Changde Yongxiang Maoyi Co., Ltd.;
	 

	 	 	124.	 	 	Sales Contract dated April, 2009, between QiGi and Wuhan Zhongguang Tongxing Company;
	 

	 	 	125.	 	 	Sales Contract dated April, 2009, between QiGi and Shandong Zhonglu Tongxing Technology Co., Ltd.;
	 

	 	 	126.	 	 	Sales Contract dated April, 2009, between QiGi and Zhengzhou Ridianhua Information Technology Co., Ltd.;
	 

	 	 	127.	 	 	Sales Contract dated April, 2009, between QiGi and Yunan Dianxing Co., Ltd. Information Technology  Company;
	 

	 	 	128.	 	 	Machinery Purchase Contract dated April 15, 2009, between QiGi and Zhejiang Rongxing Technology Development Co., Ltd.;
	 

	 	 	129.	 	 	Sales Contract dated April 16, 2009, between QiGi and Guangzhou Technology Tongxing Technology Co., Ltd.;
	 

	 	 	130.	 	 	Machinery Purchase Contract dated April 16, 2009, between QiGi and Hangzhou Guangyuan Technology Co., Ltd.;
	 

	 	 	131.	 	 	Machinery Purchase Contract dated April 18, 2009, between QiGi and Guangdong Hexing Technology Co., Ltd.;
	 

	 	 	132.	 	 	Sales Contract dated May 4, 2009, between QiGi and Tianjing Meiritong Shangmao Co., Ltd.;
	 

	 	 	133.	 	 	Sales Contract dated May 5, 2009, between QiGi and Changsha Jianfengchaoliu Tongxun Equipment Company;
	 

	 	 	134.	 	 	Sales Contract dated May 6, 2009, between QiGi and Shenzhen Lindawei Electronics Technology Shiye Co., Ltd. ;
	 

	 	 	135.	 	 	Sales Contract dated May 6, 2009, between QiGi and Chongming Yali Tongxun Technology Co., Ltd.;
	 

	 	 	136.	 	 	Sales Contract dated May 7, 2009, between QiGi and Jinan Depu Tongxing Equipment Co., Ltd.;

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	137.	 	 	Sales Contract dated May 7, 2009, between QiGi and Guangzhou Yuanchang Maoyi Co., Ltd.;
	 

	 	 	138.	 	 	Sales Contract dated May 7, 2009, between QiGi and Chengdu Hanbo Shangmao Co., Ltd.
	 

	 	 	139.	 	 	Sales Contract dated May 8, 2009, between QiGi and Chongqing Bada Electronics Constructino Co., Ltd.;
	 

	 	 	140.	 	 	Sales Contract dated May 8, 2009, between QiGi and Taiyuan Tianfuweiye Tongxun Machinery Co., Ltd.;
	 

	 	 	141.	 	 	Machinery Purchase Contract dated May 10, 2009, between QiGi and Shenzhen Zhongke Tianbo Technology Co., Ltd.;
	 

	 	 	142.	 	 	Machinery Purchase Contract dated May 11, 2009, between QiGi and Zhejiang Rongxing Technology Development Co., Ltd.;
	 

	 	 	143.	 	 	Sales Contract dated May 11, 2009, between QiGi and Shenzhen Jingyushikong Tongxun Equipment Co., Ltd.;
	 

	 	 	144.	 	 	Sales Contract dated May 12, 2009, between QiGi and Shenzhen Quanqi Digital Co., Ltd.;
	 

	 	 	145.	 	 	Machinery Purchase Contract dated May 12, 2009, between QiGi and Guangzhou Technology Tongxing Technology Co., Ltd.;
	 

	 	 	146.	 	 	Machinery Purchase Contract dated May 12, 2009, between QiGi and Hangzhou Guangyuan Technology Co., Ltd.;
	 

	 	 	147.	 	 	Sales Contract dated May 12, 2009, between QiGi and Wuhan Zhongyu Electronics Co., Ltd.;
	 

	 	 	148.	 	 	Sales Contract dated May 12, 2009, between QiGi and Shanghai E-te Digital Co., Ltd.;
	 

	 	 	149.	 	 	Sales Contract dated May 13, 2009, between QiGi and Yunan Geling Digital Technology Co., Ltd.;
	 

	 	 	150.	 	 	Sales Contract dated May 13, 2009, between QiGi and Beijing Yihengteng Technology Development Co., Ltd.;
	 

	 	 	151.	 	 	Sales Contract dated May 14, 2009, between QiGi and Huizhou Yicheng Technology Co., Ltd.;
	 

	 	 	152.	 	 	Sales Contract dated May 14, 2009, between QiGi and Shijiazhuang Tianwen Tongxun Machinery Co., Ltd.;
	 

	 	 	153.	 	 	Sales Contract dated May 15, 2009, between QiGi and Nanjing Runlv Electronics Co., Ltd.;

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	154.	 	 	Sales Contract dated May 15, 2009, between QiGi and Wuhan Jiayuan Digital Technology Co., Ltd.;
	 

	 	 	155.	 	 	Sales Contract dated May 18, 2009, between QiGi and Nanjing Lanbiao Digital Technology Co., Ltd.;
	 

	 	 	156.	 	 	Sales Contract dated May 18, 2009, between QiGi and Hangzhou Yongquan Maoyi Co., Ltd.;
	 

	 	 	157.	 	 	Sales Contract dated May i9, 2009, between QiGi and Guangzhou Chuangwei Electronics  Technology Co., Ltd.;
	 

	 	 	158.	 	 	Sales Contract dated May 20, 2009, between QiGi and Foshan Nanhai Tianjun Electronics Co., Ltd.;
	 

	 	 	159.	 	 	Sales Contract dated May 22, 2009, between QiGi and Henan Jielong Tongxing Technology Co., Ltd.;
	 

	 	 	160.	 	 	Order Form dated May 22, 2009, between QiGi and Dexing Intelligence Mobile Phone Technology ( Beijing ) Co., Ltd.;
	 

	 	 	161.	 	 	Sales Contract dated May 25, 2009, between QiGi and Guangzhou Xiangjin Digital Technology Co., Ltd.;
	 

	 	 	162.	 	 	Sales Contract dated May 28, 2009, between QiGi and Changde Yongxiang Maoyi Co., Ltd.;
	 

	 	 	163.	 	 	Sales Contract dated May 28, 2009, between QiGi and Langfang Langbo Tongxun Electronics Technology Co., Ltd.;
	 

	 	 	164.	 	 	Sales Contract dated May 29, 2009, between QiGi and Chengdu Jiashi Shiye Jingchukou Maoyi Co., Ltd.;
	 

	 	 	165.	 	 	Sales Contract ated May 29, 2009, between QiGi and Xingqianggongzhong Information Chanye Co., Ltd.;
	 

	 	 	166.	 	 	Sales Contract dated June 1, 2009, between QiGi and Henan Zhongzheng Tongxun Co., Ltd.;
	 

	 	 	167.	 	 	Sales Contract dated June 1, 2009, between QiGi and Hangzhou Jingpusheng Technology Co., Ltd.;
	 

	 	 	168.	 	 	Sales Contract dated June 2, 2009, between QiGi and Kunming Bangsheng Technology Co., Ltd.
	 

	 	 	169.	 	 	Machinery Purchase Contract dated June 3, 2009, between QiGi and Zhejiang Rongxing Technology Development Co., Ltd.;

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	170.	 	 	Order Form dated June 4, 2009, between QiGi and Dexing Intelligence Mobile Phone Technology (HK) Co., Ltd.;
	 

	 	 	171.	 	 	Sales Contract dated June 5, 2009, between QiGi and Kunming Wuyao Tongxun Equipment Co., Ltd.;
	 

	 	 	172.	 	 	Machinery Purchase Contract dated June 7, 2009, between QiGi and Shenzhen Zhongketianbo Technology Co., Ltd.;
	 

	 	 	173.	 	 	Sales Contract dated June 8, 2009, between QiGi and Nanning Hengrongchang Shangmao Co., Ltd.;
	 

	 	 	174.	 	 	Sales Contract dated June 8, 2009, between QiGi and Rizhao Taitong Electronics Co., Ltd.;
	 

	 	 	175.	 	 	Machinery Purchase Contract dated June 8, 2009, between QiGi and Hangzhou Guangyuan Technology Co., Ltd.;
	 

	 	 	176.	 	 	Machinery Purchase Contract dated June 9, 2009, between QiGi and Guangzhou Technology Tongxing Technology Co., Ltd.;
	 

	 	 	177.	 	 	Sales Contract dated June 9, 2009, between QiGi and Zhuhai Sankeng Electronics Technology Co., Ltd.;
	 

	 	 	178.	 	 	Sales Contract dated June 10, 2009, between QiGi and Zhuhai Shunlian Electronics Co., Ltd.;
	 

	 	 	179.	 	 	Sales Contract dated June 10, 2009, between QiGi and Chongqing Kemei Tongxun Equipment Co., Ltd.;
	 

	 	 	180.	 	 	Sales Contract dated June 11, 2009, between QiGi and Zhenzhou Yuguang Shangmao Company;
	 

	 	 	181.	 	 	Sales Contract dated June 11, 2009, between QiGi and Shijiazhuang Tianwen Tongxun Machinery Co., Ltd.;
	 

	 	 	182.	 	 	Sales Contract dated June 12, 2009, between QiGi and Beijing Yihengteng Technology Development Co., Ltd.;
	 

	 	 	183.	 	 	Sales Contract dated June 15, 2009, between QiGi and Qingdao Jingweitiandi Electronics Co., Ltd.;
	 

	 	 	184.	 	 	Sales Contract dated June 15, 2009, between QiGi and Shanghai Situman Dianxing Technology Co., Ltd.;
	 

	 	 	185.	 	 	Sales Contract dated June, 2009, between QiGi and Quanzhou Huachen Dianxun Maoyi Co., Ltd.;
	 

	 	 	186.	 	 	Sales Contract dated June 18, 2009, between QiGi and Guangzhou Hengyoumi Maoyi Co., Ltd.

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	187.	 	 	Sales Contract dated June 19, 2009, between QiGi and Guangzhou Yuanchang Maoyi Co., Ltd.;
	 

	 	 	188.	 	 	Sales Contract dated June, 2009, between QiGi and Fujian Huaqiao Shiye Group Company;
	 

	 	 	189.	 	 	Sales Contract dated June, 2009, between QiGi and Changzhou Yuntuo Shangmao Co., Ltd.;
	 

	 	 	190.	 	 	Sales Contract dated June 22, 2009, between QiGi and Changsha Zhongtiantong Technology Co., Ltd.;
	 

	 	 	191.	 	 	Sales Contract dated June 22, 2009, between QiGi and Nanjing Yingshui Tongxun Co., Ltd.;
	 

	 	 	192.	 	 	Sales Contract dated June 23, 2009, between QiGi and Shanghai Yitianxia Technology Co., Ltd.;
	 

	 	 	193.	 	 	Sales Contract dated June, 2009, between QiGi and Shenzhen Chuangfeier Electronics Technology Co., Ltd.;
	 

	 	 	194.	 	 	Sales Contract dated June, 2009, between QiGi and Shanghai Longding Shangwu Co., Ltd.;
	 

	 	 	195.	 	 	Sales Contract dated June 26, 2009, between QiGi and Shenzhen Jingbaolong Digital Technology Co., Ltd.;
	 

	 	 	196.	 	 	Sales Contract dated June 26, 2009, between QiGi and Shishi Fanhua Dianxun Maoyi Co., Ltd.;
	 

	 	 	197.	 	 	Sales Contract dated June 26, 2009, between QiGi and Tianjing Chiwu Tongxun Technology Co., Ltd.;
	 

	 	 	198.	 	 	Sales Contract dated June 29, 2009, between QiGi and Wuhan Bohong Information Technology Co., Ltd.;
	 

	 	 	199.	 	 	Sales Contract dated June 29, 2009, between QiGi and Shanxi Fanggeng Technology Development Co., Ltd.;
	 

	 	 	200.	 	 	Sales Contract dated June 30, 2009, between QiGi and Tianjin Tiandiweiye Technology Co., Ltd.;
	 

	 	 	201.	 	 	Sales Contract dated June, 2009, between QiGi and Shandong Yiwei Information Technology Co., Ltd.;
	 

	 	 	202.	 	 	Sales Contract dated June, 2009, between QiGi and Beijing Taihang Jiye Technology Development Co., Ltd.;
	 

	 	 	203.	 	 	Sales Contract dated July 1, 2009, between QiGi and Chongqing Zhangshangqiankun Digital Technology Co., Ltd.;

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	204.	 	 	Sales Contract dated July 1, 2009, between QiGi and Dalian Sanheweiye Digital Technology Co., Ltd.;
	 

	 	 	205.	 	 	Sales Contract dated July 2, 2009, between QiGi and Beijing Bode Technology Service Co., Ltd. ;
	 

	 	 	206.	 	 	Machinery Purchase Contract dated July 2, 2009, between QiGi and Hangzhou Guanyuan Technology Co., Ltd.;
	 

	 	 	207.	 	 	Machinery Purchase Contract dated July 3, 2009, between QiGi and Hangzhou Guanyuan Technology Co., Ltd.;
	 

	 	 	208.	 	 	Sales Contract ated July 3, 2009, between QiGi and Dongguang Lianyu Electronics Co., Ltd.;
	 

	 	 	209.	 	 	Sales Contract dated July, 2009, between QiGi and Guangzhou Chuangwei Electronics  Technology Co., Ltd.;
	 

	 	 	210.	 	 	Sales Contract dated July, 2009, between QiGi and Hangzhou Yongquan Maoyi Co., Ltd.;
	 

	 	 	211.	 	 	Sales Contract dated July, 2009, between QiGi and Nanjing Chaoyue Tongxun Equipment Co., Ltd.;
	 

	 	 	212.	 	 	Sales Contract dated July, 2009, between QiGi and Wuhan Feiyang Technology Co., Ltd.;
	 

	 	 	213.	 	 	Sales Contract dated July, 2009, between QiGi and Chengdu Gongling Shengan Information Systems Co., Ltd.;
	 

	 	 	214.	 	 	Sales Contract dated July 6, 2009, between QiGi and Hanzhou Renxingshu Technology Co., Ltd. ;
	 

	 	 	215.	 	 	Sales Contract dated July 6, 2009, between QiGi and Hefei Jiada Tongxun Technology Co., Ltd. ;
	 

	 	 	216.	 	 	Sales Contract dated July 7, 2009, between QiGi and Huizhou Yicheng Technology Co., Ltd.;
	 

	 	 	217.	 	 	Machinery Purchase Contract dated July 7, 2009, between QiGi and Zhejiang Rongxing Technology Development Co., Ltd.;
	 

	 	 	218.	 	 	Sales Contract dated July 8, 2009, between QiGi and Henan Ruite Tongxun Equipment Co., Ltd.;
	 

	 	 	219.	 	 	Sales Contract dated July 8, 2009, between QiGi and Henan Depu Tongxing Equipment Co., Ltd. ;

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	220.	 	 	Sales Contract dated July 9, 2009, between QiGi and Kunming Hengsheng Tongxun Co., Ltd.;
	 

	 	 	221.	 	 	Sales Contract dated July 9, 2009, between QiGi and Nanjing Lanbiao Digital Technology Co., Ltd.;
	 

	 	 	222.	 	 	Sales Contract dated July 10, 2009, between QiGi and Shanghai Liangzenggongmao Co., Ltd.;
	 

	 	 	223.	 	 	Sales Contract dated July 10, 2009, between QiGi and Qingdao Jingweitiandi Electronics Co., Ltd.;
	 

	 	 	224.	 	 	Sales Contract dated July 13, 2009, between QiGi and Shenzhen Quangqi Digital Co., Ltd.;
	 

	 	 	225.	 	 	Machinery Purchase Contract dated July 13, 2009, between QiGi and Guangzhou Technology Tongxing Technology Co., Ltd.
	 

	 	 	226.	 	 	Sales Contract dated July 13, 2009, between QiGi and Shanghai Shoushang Intelligence Tongxun Equipment Company;
	 

	 	 	227.	 	 	Sales Contract dated July 15, 2009, between QiGi and Shenzhen Guoxing Tongxun Technology Co., Ltd.;
	 

	 	 	228.	 	 	Sales Contract dated July 15, 2009, between QiGi and Suzhou Jingpai Mobile Phone Internet Co., Ltd.;
	 

	 	 	229.	 	 	Sales Contract dated July 16, 2009, between. QiGi and Xiamen Huidesheng Maoyi Co., Ltd.;
	 

	 	 	230.	 	 	Sales Contract dated July 16, 2009, between QiGi and Xuzhou Sanjiu Intelligence Tongxun Co., Ltd.;
	 

	 	 	231.	 	 	Sales Contract dated July 18, 2009, between QiGi and Yanhu Tinghu District Qiandao Tongxun Machinery Co., Ltd.;
	 

	 	 	232.	 	 	Sales Contract dated July 20, 2009, between QiGi and Yiwu Daoye Internet Technology Co., Ltd.;
	 

	 	 	233.	 	 	Sales Contract dated July 20, 2009, between QiGi and Kunming Xingkangcheng Information Technology Co., Ltd.;
	 

	 	 	234.	 	 	Sales Contract dated July 21, 2009, between QiGi and Beijing Mobile Xingzhi Tongxun Technology Co., Ltd.;
	 

	 	 	235.	 	 	Sales Contract dated July 21, 2009, between QiGi and Taiyuan Huilin Tongxing Information Technology Co., Ltd.;

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	236.	 	 	Machinery Purchase Contract dated August 2, 2009, between QiGi and Shenzhen Zhongke Tianbo Technology Co., Ltd.;
	 

	 	 	237.	 	 	Machinery Purchase Contract dated August 3, 2009, between QiGi and Zhejiang Rongxing Technology Development Co., Ltd.;
	 

	 	 	238.	 	 	Sales Contract dated August 4, 2009, between QiGi and Chengdu Huadao Shangmao Co., Ltd.;
	 

	 	 	239.	 	 	Sales Contract dated August 4, 2009, between QiGi and Guangzhou Zhongxian Electronics Technology Co., Ltd. ;
	 

	 	 	240.	 	 	Sales Contract dated August 4, 2009, between QiGi and Wuxi Intelligence Mobile Phone Technology Service Company;
	 

	 	 	241.	 	 	Machinery Purchase Contract dated August 5, 2009, between QiGi and Guangzhou  Technology Tongxing Technology Co., Ltd.;
	 

	 	 	242.	 	 	Sales Contract dated August, 2009, between QiGi and Xuzhou Yitong Intelligence Tongxun Co., Ltd.;
	 

	 	 	243.	 	 	Sales Contract dated August, 2009, between QiGi and Chongqing Feihong Mobile Tongxun Machinery Co., Ltd.;
	 

	 	 	244.	 	 	Sales Contract dated August, 2009, between QiGi and Taiyuan Tianfuweiye Tongxun Machinery Co., Ltd.;
	 

	 	 	245.	 	 	Sales Contract dated August, 2009, between QiGi and Shanghai E-te Digital Co., Ltd.;
	 

	 	 	246.	 	 	Sales Contract dated August, 2009, between QiGi and Wuhan Jiayuan Digital Technology Co., Ltd.;
	 

	 	 	247.	 	 	Sales Contract dated August, 2009, between QiGi and Nanjing Lanbiao Digital Technology Co., Ltd.;
	 

	 	 	248.	 	 	Sales Contract dated August, 2009, between QiGi and Foshan Nanhaitianjun Electronics Co., Ltd.;
	 

	 	 	249.	 	 	Sales Contract dated August, 2009, between QiGi and Zhenzhou Ridianhua Information Technology Co., Ltd.;
	 

	 	 	250.	 	 	Sales Contract dated August, 2009, between QiGi and Yunnan Dianxing Co., Ltd. Information Technology  Company;

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	251.	 	 	Sales Contract dated August 7, 2 009, between QiGi and Jinan Depu Tongxing Equipment Co., Ltd.;
	 

	 	 	252.	 	 	Sales Contract dated August 7, 2009, between QiGi and Dingmingyali Tongxun Technology Co., Ltd.;
	 

	 	 	253.	 	 	Sales Contract dated August 10, 2009, between QiGi and Shenzhen Lindawei Electronics Technology Shiye Co., Ltd. ;
	 

	 	 	254.	 	 	Sales Contract dated August 10, 2009, between QiGi and Changshajianchaoliu Tongxun Equipment Company;
	 

	 	 	255.	 	 	Sales Contract dated August 13, 2009, between QiGi and Dianjin Meiritong Shangmao Co., Ltd.;
	 

	 	 	256.	 	 	Sales Contract dated August 17, 2009, between QiGi and Shenzhen Jinyushikong Tongxun Equipment Co., Ltd.;
	 

	 	 	257.	 	 	Sales Contract dated August 19, 2009, between QiGi and Shenzhen Quanqi Digital Co., Ltd.;
	 

	 	 	258.	 	 	Sales Contract dated August 19, 2009, between QiGi and Wuhan Zhongyu Electronics Co., Ltd.;
	 

	 	 	259.	 	 	Sales Contract dated August 21, 2009, between QiGi and Yunnan Gelin Digital Technology Co., Ltd.;
	 

	 	 	260.	 	 	Sales Contract dated August 21, 2009, between QiGi and Beijing Yihengteng Technology Development Co., Ltd.;
	 

	 	 	261.	 	 	Sales Contract dated August 24, 2009, between QiGi and Huizhou Yicheng Technology Co., Ltd.;
	 

	 	 	262.	 	 	Sales Contract dated August 27, 2009, between QiGi and Guangzhou Chuangwei Electronics  Technology Co., Ltd.;
	 

	 	 	263.	 	 	Sales Contract dated August 28, 2009, between QiGi and Henan Jielong Tongxing Technology Co., Ltd.;
	 

	 	 	264.	 	 	Sales Contract dated August 28, 2009, between QiGi and Guangzhou Xiangjing Digital Technology Co., Ltd.;
	 

	 	 	265.	 	 	Sales Contract dated August 31, 2009, between QiGi and Changde Yongxiang Maoyi Co., Ltd.;
	 

	 	 	266.	 	 	Sales Contract dated August 31, 2009, between QiGi and Hunan Yingyuan Zhongxing Information Technology Co., Ltd.;

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	267.	 	 	Sales Contract dated September 1, 2009, between QiGi and Yunan Dianxing Co., Ltd.;
	 

	 	 	268.	 	 	Sales Contract dated September 1, 2009, between QiGi and Shanghai Yitianxia Technology Co., Ltd.;
	 

	 	 	269.	 	 	Sales Contract dated September 2, 2009, between QiGi and Shenzhen Jingbaolong Digital Technology Co., Ltd.;
	 

	 	 	270.	 	 	Machinery Purchase Contract dated September 2, 2009, between QiGi and Zhejiang Rongxing Technology Development Co., Ltd.;
	 

	 	 	271.	 	 	Machinery Purchase Contract dated September 2, 2009, between QiGi and Shenzhen Zhongketianbo Technology Co., Ltd.;
	 

	 	 	272.	 	 	Machinery Purchase Contract dated September 3, 2009, between QiGi and Shenzhen Zhongketianbo Technology Co., Ltd.;
	 

	 	 	273.	 	 	Sales Contract dated September, 2009, between QiGi and Shenzhen Chuangfeier Electronics Technology Co., Ltd.;
	 

	 	 	274.	 	 	Sales Contract dated September, 2009, between QiGi and Nanjing Yingshui Tongxun Co., Ltd.;
	 

	 	 	275.	 	 	Sales Contract dated September, 2009, between QiGi and Guangzhou HengmiMaoyi Co., Ltd.;
	 

	 	 	276.	 	 	Sales Contract dated September, 2009, between QiGi and Beijing Hanmingtongxing Technology Co., Ltd.;
	 

	 	 	277.	 	 	Sales Contract dated September, 2009, between QiGi and Kunming Zhaosheng Technology Co., Ltd.;
	 

	 	 	278.	 	 	Sales Contract dated September, 2009, between QiGi and Kunming Wuyao Tongxun Equipment Co., Ltd. ;
	 

	 	 	279.	 	 	Sales Contract dated September, 2009, between QiGi and Dongguang Lianyu Electronics Co., Ltd.;
	 

	 	 	280.	 	 	Sales Contract dated September, 2009, between QiGi and Shijiazhuang Tianwen Tongxun Machinery Co., Ltd.
	 

	 	 	281.	 	 	Sales Contract dated September, 2009, between QiGi and Changzhou Yuntuo Shangmao Co., Ltd.;
	 

	 	 	282.	 	 	Sales Contract dated September, 2009, between QiGi and Chengdu Jiashi Shiye Jingchukou Maoyi Co., Ltd.;

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	283.	 	 	Sales Contract dated September, 2009, between QiGi and Zhengzhou Ridianhua Information Technology Co., Ltd.;
	 

	 	 	284.	 	 	Sales Contract dated September, 2009, between QiGi and Xingqianggongzhong Information Chanye Co., Ltd.;
	 

	 	 	285.	 	 	Sales Contract dated September, 2009, between QiGi and Langzhou Bolang Tongxun Electronics Technology Co., Ltd.;
	 

	 	 	286.	 	 	Sales Contract dated September 4, 2009, between QiGi and Shanghai Longdingshangwu Co., Ltd.;
	 

	 	 	287.	 	 	Sales Contract dated September 4, 2009, between QiGi and Changsha Zhongtian Tongxun Technology Co., Ltd.;
	 

	 	 	288.	 	 	Sales Contract dated September 4, 2009, between QiGi and Shanghai Longding Shangwu Co., Ltd.;
	 

	 	 	289.	 	 	Sales Contract dated September 7, 2009, between QiGi and Guangzhou Yuanchang Maoyi Co., Ltd.;
	 

	 	 	290.	 	 	Machinery Purchase Contract dated September 8, 2009, between QiGi and Guangzhou Technology Tongxing Technology Co., Ltd.;
	 

	 	 	291.	 	 	Advertising Information Distribution Contract dated September 8, 2009, between QiGi and Beijing Chaomeng Internet Xingkemao Co., Ltd.;
	 

	 	 	292.	 	 	Sales Contract dated September 9, 2009, between QiGi and Quanzhou Huachendianxun Maoyi Co., Ltd.;
	 

	 	 	293.	 	 	Sales Contract dated September 9, 2009, between QiGi and Qingdao Jingweitiandi Electronics Co., Ltd.;
	 

	 	 	294.	 	 	Machinery Purchase Contract dated. September 10, 2009, between QiGi and Zhejiang Rongxing Technology Development Co., Ltd.;
	 

	 	 	295.	 	 	Machinery Purchase Contract dated September 10, 2009, between QiGi and Shenzhen Zhongketianbo Technology Co., Ltd.;
	 

	 	 	296.	 	 	Sales Contract dated September 11, 2009, between QiGi and Hefei Jiada Tongxun Technology Co., Ltd.;
	 

	 	 	297.	 	 	Sales Contract dated September 11, 2009, between QiGi and Xiamen Shihuidesheng Maoyi Co., Ltd.;

 

 

 

	 	 	 	 	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 	 	 	 	 
	 

	 	 	298.	 	 	Sales Contract dated September 14, 2009, between QiGi and Chongqing Tiandisheyuan Shangmao Co., Ltd.;
	 

	 	 	299.	 	 	Sales Contract dated September 14, 2009, between QiGi and Henan Zhongzheng Tongxun Co., Ltd.;
	 

	 	 	300.	 	 	Sales Contract dated September 16, 2009, between QiGi and Hangzhou Jingpusheng Technology Co., Ltd.;
	 

	 	 	301.	 	 	Sales Contract dated September 17, 2009, between QiGi and Nanning Hengrongchang Shangmao Co., Ltd.;
	 

	 	 	302.	 	 	Sales Contract dated September 17, 2009, between QiGi and Rizhao Taitong Electronics Co., Ltd.;
	 

	 	 	303.	 	 	dated September 20, 2009, between QiGi and Zhejiang Rongxing Technology Development Co., Ltd.;
	 

	 	 	304.	 	 	Sales Contract dated September 21, 2009, between QiGi and Zhuhai Sankeng Electronics Technology Co., Ltd.;
	 

	 	 	305.	 	 	Sales Contract dated September 21, 2009, between QiGi and Chongqing Kemei Tongxun Equipment Co., Ltd.;
	 

	 	 	306.	 	 	Sales Contract dated September 23, 2009, between QiGi and Zhengzhou Yuguang Shangmao Company;
	 

	 	 	307.	 	 	Sales Contract dated September 25, 2009, between QiGi and Beijing Yihengteng Technology Development Co., Ltd.;
	 

	 	 	308.	 	 	Sales Contract dated September 28, 2009, between QiGi and Shanghai Situmandianxing Technology Co., Ltd.;
	 

	 	 	309.	 	 	Sales Contract dated September 28, 2009, between QiGi and Fujian Huaqiao Shiye Group Company;
	 

	 	 	310.	 	 	Sales Contract dated September 29, 2009, between QiGi and Shandongzhonglu Tongxing Technology Co., Ltd.;
	 

	 	 	311.	 	 	Sales Contract dated September 30, 2009, between QiGi and Tianjin Tiandiweiye Technology Co., Ltd.

 

 

 

	 	 	 
	Section Number	 	Specific Disclosure
	 
	 	 
	Section 10.2

	 	nil
	Section 10.4

	 	nil
	Section 11.1

	 	nil
	Section 11.3

	 	nil
	Section 13

	 	nil
	Section 15

	 	nil
	Section 16.1

	 	nil
	Section 16.4

	 	nil
	Section 16.7

	 	All the employees of the Domestic Company have participated in the mandatory social insurance scheme and the housing funds scheme.
	Section 17

	 	nil
	Section 18

	 	nil
	Section 22

	 	nil
	Section 23.1

	 	nil
	Section 23.2

	 	nil

 

 

 

SCHEDULE 6 

REPRESENTATIONS AND WARRANTIES OF

THE PURCHASER

The Purchaser represents and warrants to the Seller that the statements contained in this
Schedule 6 attached hereto are true, correct and complete with respect to such Purchaser as
of the Closing.

	1.	 	Authorization.

The Purchaser has full power, authority and legal capacity to enter into, deliver and
perform the Transaction Documents. The Transaction Documents to which the Purchaser is a
party, when executed and delivered by such Purchaser, will constitute valid and legally
binding obligations of the Purchaser, enforceable in accordance with their terms, except (i)
as limited by applicable bankruptcy, insolvency, reorganization, moratorium, fraudulent
conveyance, and any other laws of general application affecting enforcement of creditors’
rights generally, and as limited by laws relating to the availability of a specific
performance, injunctive relief, or other equitable remedies, or (ii) to the extent the
indemnification provisions contained in the Shareholders’ Agreement may be limited by
applicable securities laws.

	2.	 	Compliance with other Instruments.

The execution, delivery and performance by the Purchaser of the Transaction Documents does
not and will not contravene, breach or violate the terms of any agreement, document or
instrument to which such Purchaser is a party or by which any of such Purchaser ‘s assets or
properties are bound.

	3.	 	Disclosure of Information.

The Purchaser has had an opportunity to discuss the Group Companies’ business, management,
financial affairs and the terms and conditions of the offering of the Shares with the Group
Companies’ management and has had an opportunity to review the Group Companies’ facilities.
The foregoing, however, does not limit or modify the representations and warranties of the
Warrantor in Section 4 of this Agreement, or the right of the Purchaser to rely
thereon save as set forth in the Disclosure Schedule.

	4.	 	Purchase Entirely for Own Account.

This Agreement is made with the Purchaser in reliance upon the Purchaser’s representation to
the Seller, which by the Purchaser’s execution of this Agreement, the Purchaser hereby
confirms, that the Shares to be acquired by the Purchaser will be acquired for investment
for the Purchaser’s own account, not as a nominee or agent, and not with a view to the
resale or distribution of any part thereof, and that the Purchaser has no present intention
of selling, granting any participation in, or otherwise distributing the same. By executing
this Agreement, the Purchaser further represents that the Purchaser does not presently have
any contract, undertaking, agreement or arrangement with any Person to sell, transfer or
grant participations to
such Person or to any third Person, with respect to any of the Shares. The Purchaser has not been
formed for the specific purpose of acquiring the Shares.

 

 

 

SCHEDULE 7

CAPITALIZATION TABLE

	 	 	 	 	 	 	 	 	 	 	 
	 	 	Shareholders	 	 	 	 	 	 
	Shareholders	 	(Class B Ordinary	 	 	 	 	 	 
	(Ordinary Shares)	 	Shares)	 	Number	 	 	Percentage	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	96	 	 	 	96	%
	 
	 	 	 	 	 	 	 	 	 	 
	China Techfaith Wireless
Communication Technology
Limited
	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 
	 	China Techfaith Wireless Communication Technology Limited	 	 	4	 	 	 	4	%
	 
	 	 	 	 	 	 	 	 	 	 
	Total
	 	 	 	 	100	 	 	 	100	%

 

 

 

EXHIBIT A

RESTATED ARTICLES

(attached)Exhibit 4.16

Exhibit 4.16

Shareholders’ Agreement

among

Techfaith Wireless Communication Technology (Hangzhou) Ltd.

and

Techfaith Intelligent Handset Technology (Beijing) Ltd.

and

Beijing E-Town International Investment & Development Co., Ltd.

on

Incorporation of a Joint Venture Company

 

 

 

Shareholders’ Agreement

This Shareholders’ Agreement (the “Agreement”) is made and entered into this
day of April 22, 2011 in Beijing, the People’s Republic of China (excluding the Hong Kong Special
Administrative Region, the Macao Special Administrative Region, and Taiwan area for purpose of the
Agreement, hereinafter referred to as the “PRC”) by and among the following parties:

	1.	 	Techfaith Wireless Communication Technology (Hangzhou) Ltd., a limited liability company duly
incorporated and validly existing under the laws of the PRC, with its domicile at the podium
building of Building 1, No. 4028 South Ring Road, Binjiang District, Hangzhou, its
registration number of business license for enterprise legal person being 330100400006332, and
its legal representative being Wang Zhongbao (hereinafter referred to as “Party A”);

	2.	 	Techfaith Intelligent Handset Technology (Beijing) Ltd., a limited liability company duly
incorporated and validly existing under the laws of the PRC, with its domicile at Building 1,
No. 13 Yong Chang North Road, Beijing Economic-Technological Development Area (Yizhuang),
Beijing, its registration number of business license for enterprise legal person being
110000410270278, and its legal representative being Dong Deyou (hereinafter referred to as
“Party B”); and

	3.	 	Beijing E-Town International Investment & Development Co., Ltd., a limited liability company
duly incorporated and validly existing under the laws of the PRC, with its domicile at Room
405, No. 10 Hongda North Road, Beijing Economic-Technological Development Area, Beijing, its
registration number of business license for enterprise legal person being 10302011626480, and
its legal representative being Zhao Guangyi (hereinafter referred to as “Party C”).

Party A, Party B, and Party C are collectively referred to as “a Party” individually, and as “the
Parties” collectively, and a Party’s opposite parties are referred to as the “other Parties”.

WHEREAS,

For the purposes of actively responding to the call of the Action Plan for Stimulating the
Development of Southern Area of the City formulated by Beijing Municipal Government and building a
new area of modern manufacturing industry in the southern area, the Parties intend to start the
Techfaith High-end Manufacture Project in Daxing District, Beijing. The project will make full use
of the industrial and resource advantages of Beijing, Daxing and Beijing Economic-Technological
Development Area, combine excellent product designs with advanced production lines, and gather
manufacturers of accessories and parts so as to build Daxing District into the largest
manufacturing base of high-end smart mobile terminal products such as smart mobile phones and
tablet computers in China in three to five years and an advanced manufacturing center with an
output value of RMB tens of billions.

 

 

 

NOW THEREFORE, the Parties agree on the establishment of a joint venture company by joint
investment through friendly consultations as follows:

	1.	 	Representation and Warranties

Each Party represents and warrants that the following representations and warranties made by it
are true and accurate:

	1.1	 	It did not participate in any fraudulent activities that will cause significant adverse
effects on any matters under the Agreement or on the Other Parities;

	1.2	 	The Parties guarantee that their signing and performance of the Agreement does not violate
any existing applicable laws of the PRC, any existing provisions of any Chinese government
department, any existing judgment, ruling or decision of any court, arbitral tribunal or
administrative department, any of their corporate documents, or any agreement, license or any
other document binding upon them, made when or before the Agreement is executed; and

	1.3	 	The parties guarantee that they are not subjects of dissolution, liquidation, or bankruptcy,
did not and will not distribute their assets among their creditors and/or shareholders for the
purpose of cease of their operations; they have not received any administrative order on,
filed any application for, adopted any resolution on, or convened any meeting for dissolution,
liquidation, or bankruptcy; and no event that can or will cause the filing of an application
for any abovementioned dissolution, liquidation, or bankruptcy of them according to any
applicable laws, regulations, or policies has occurred.

	2.	 	Incorporation of the Joint Venture Company

	2.1	 	The Parties agree that they will incorporate a joint venture company in accordance with the
Company Law of the People’s Republic of China, other relevant laws and regulations and the
provisions in this Agreement as soon as possible after the execution of the Agreement.

	2.2	 	The joint venture company is a limited liability company to be incorporated in Daxing
District, Beijing under the laws of the PRC.

	3.	 	Business Scope and Term of the Joint Venture Company

	3.1	 	The business scope of the joint venture company covers the development and production of
mobile communication terminal equipment; manufacture of mobile phones, base stations, exchange
equipment, and digital-set system equipment of mobile communication systems (including GSM,
CDMA, DCS1800, DECT, and IMT2000); transfer of self-owned technology, technological
development, technical consultations; and sales of self-made products.

	3.2	 	The Parities shall make joint efforts to appropriately expand the business scope of the joint
venture company according to its business development needs in accordance with relevant laws
and regulations of the PRC through friendly consultations.

 

 

 

	3.3	 	The operating period of the joint venture company under the Agreement shall be thirty (30)
years.

	4.	 	Registered Capital of the Joint Venture Company

	4.1	 	Registered capital. The registered capital of the joint venture company under the Agreement
shall be RMB five hundred million (RMB 500,000,000).

	4.2	 	Capital contribution. The contribution to the registered capital shall be made in four
installments. In the first installment, Party A and Party C shall make contribution to the
registered capital in monetary form; in the second installment, Party B shall make
contribution to the registered capital with its land-use right the value of which is shalll
be the evaluated price accepted by the Parties, and the deficiency (if any) of the value of
the land-use right shall be made up by Party B in monetary form. The evaluation of the
land-use right shall be conducted by reference to the cost price paid by Party B for acquiring
the land-use right by a qualified assets evaluation company that is engaged by the joint
venture company and recognized by the Parties and the aforementioned cost price shall include
and be limited to the sum of the transaction price as well as relevant taxes and charges that
have been paid by Party B for acquiring the land-use right and can be verified by Party B by
presenting relevant transaction evidences such as the invoice; in the third installment, Party
C shall make contribution to the registered capital in monetary form; and in the fourth
installment, Party A and Party C shall make contribution to the registered capital in monetary
form.

	4.3	 	Proportion of equity. Party A shall hold 49%, Party B 11%, and Party C 40% of the shares of
the joint venture company.

	4.4	 	Amount (unit: RMB ten thousand), time and form of the capital contributions are as follows:

	 	 	 	 	 	 	 	 	 
	Name of Shareholder	 	Party A	 	Party B	 	Party C	 	Total
	Subscribed capital contribution
	 	24,500	 	5,500	 	20,000	 	50,000
	Ratio of contribution
	 	49%	 	11%	 	40%	 	100%
	The first installment
	 	 	 	 	 	 	 	 
	Amount of capital contribution
	 	9,000	 	 	 	6,000	 	15,000
	Form of capital contribution
	 	In monetary form	 	 	 	In monetary form	 	 
	Time of capital contribution
	 	Prior to April 30, 2011	 	 	 	Prior to April 30, 2011	 	 

 

 

 

	 	 	 	 	 	 	 	 	 
	Name of Shareholder	 	Party A	 	Party B	 	Party C	 	Total
	The second installment
	 	 	 	 	 	 	 	 
	Amount of capital contribution
	 	 	 	5,500	 	 	 	5,500
	Form of capital contribution
	 	 	 	Land-use right, the deficiency of which shall be made up in monetary form	 	 	 	 
	Time of capital contribution
	 	 	 	Prior to November 30, 2011	 	 	 	 
	The third installment
	 	 	 	 	 	 	 	 
	Amount of capital contribution
	 	 	 	 	 	3,667	 	3,667
	Form of capital contribution
	 	 	 	 	 	In monetary form	 	 
	Time of capital contribution
	 	 	 	 	 	Prior to December 30, 2011	 	 
	The fourth installment
	 	 	 	 	 	 	 	 
	Amount of capital contribution
	 	15,500	 	 	 	10,333	 	25,833
	Form of capital contribution
	 	In monetary form	 	 	 	In monetary form	 	 
	Time of capital contribution
	 	Prior to April 30, 2013	 	 	 	Prior to April 30, 2013	 	 

	5.	 	The Shareholders’ Meeting of the Joint Venture Company

	5.1	 	The shareholders’ meetings shall be composed of all the shareholders and is the authority of
the joint venture company. The shareholders’ meetings include regular meetings, which shall be
convened yearly by the board of directors and presided over by the chairman of the board of
directors, and temporary meetings, which shall be convened upon the decision by the
shareholder(s) holding no less than one tenth (1/10) of the voting power or the proposal by no
less than one third (1/3) of the directors or supervisors of the joint venture company.

	5.2	 	The shareholders’ meeting of the joint venture company has the powers and rights to:

1) determine operational guidelines and investment plans;

2) elect and replace the directors and supervisors who are not the employees’ representatives
and determine the matters relating to the remuneration of relevant directors and supervisors;

 

 

 

3) review and approve the reports of the board of directors;

4) review and approve the reports of the supervisors;

5) review and approve the annual financial budgetary plans and final accounting plans;

6) review and approve the profit distribution plans and loss make-up plans ;

7) make decisions on increasing or decreasing the registered capital;

8) make decisions on issuing corporate bonds;

9) make decisions on merger, separation, dissolution, liquidation or alteration of
organizational form of the joint venture company or on establishment of any branch or
subsidiary;

10) modify the articles of association;

11) determine the scope of authority of the chairman and the deputy chairman of the board of
directors; and

12) review and approve the equity incentive scheme for the senior management.

	5.3	 	The shareholders may exercise their voting rights in accordance with the proportions of their
capital contributions at shareholders’ meetings. The shareholders’ resolutions shall be
approved by shareholder(s) holding more than half of total voting rights, and the resolutions
on any of the matters set out in the items 6) to 12) of the section 5.2 hereof shall be
approved by shareholder(s) holding more than two thirds of total voting rights.

	5.4	 	Other matters relating to the shareholders’ meeting’s powers and rights, convening and
resolutions shall be specified separately in the articles of association of the joint venture
company.

	6.	 	The Board of Directors of the Joint Venture Company

	6.1	 	The joint venture company shall establish a board of directors which is the executive body of
the joint venture company. The board of directors shall be composed of five (5) directors, of
whom two (2) shall be nominated by Party A, one (1) shall be nominated by Party B, and two (2)
shall be nominated by Party C.

	6.2	 	The board of directors shall have one chairman to be nominated by Party A and one deputy
chairman to be nominated by Party C, and both the chairman and the deputy chairman shall be
elected by the board of directors.

	6.3	 	In the event of increase or decrease of the share capital of the joint venture company, the
number of director(s) to be nominated by each Party shall be determined according to each
Party’s shareholding in the joint venture company after such increase or decrease, and the
members of the board of directors shall be re-elected.

 

 

 

	6.4	 	The board of directors of the joint venture company has the powers and rights to:

1) convene shareholders’ meetings and report to them;

2) implement the shareholders’ resolutions;

3) make decisions on the matters relating to operational licensing, being licensed with,
transfer of, and acceptance as a transferee of any know-how, patent or trademark;

4) prepare operational plans and investment plans;

5) prepare annual financial budgetary plans and final accounting plans;

6) prepare the profit distribution plans and loss make-up plans;

7) prepare plans on increasing or decreasing the registered capital or issuing corporate bonds;

8) prepare plans on merger, separation, alteration of organizational form of the joint venture
company, or dissolution;

9) determine the establishment of internal managementarial organizations and the scope of
authority of the senior management;

10) establish basic management systems, including the systems of internal control, finance and
remuneration;

11) determine the appointment or dismissal of the general manager nominated by Party A, deputy
general manager nominated by Party B and the chief financial officer nominated by Party C and
their remuneration as well as the remuneration of the core technicians and business personnel;

12) make decisions on the joint venture company’s investment in, guarantee for, loan to or
assets disposal (including transfer, acceptance of assets as the
transferee and donation) to any entity, the amount of which shall be no more than RMB
4,000,000 within one year (365 days); and

13) make decisions on the joint venture company’s investment in, guarantee for, loan to or
assets disposal (including transfer, acceptance of assets as the transferee and donation) to
any entity, the amount of which shall be no more than RMB 4,000,000 within one year (365
days).

	6.5	 	The meetings of the board of directors of the joint venture company can be duly convened when
being attended by more than two thirds (2/3) of the directors.

	6.6	 	Any resolution of the meeting of the board of directors shall be approved by affirmative
votes of more than half (1/2) of the directors, and the resolutions on any of the matters
specified in item 13) of the section Article 6.4 hereof shall be approved by affirmative votes
of more than two thirds (2/3) of the directors. In the process of voting at any meeting of the
board of directors, the one-man-one-vote system shall apply.

 

 

 

	6.7	 	Other matters relating to the meeting of the board of directors’ powers and rights,
convening and resolutions shall be specified in the articles of association of the joint
venture company.

	7.	 	Supervisors of the Joint Venture Company

	7.1	 	The joint venture company does not establish any board of supervisors and shall have two (2)
supervisors, of whom one shall be nominated by Party A and the other shall be nominated by
Party C, and the supervisors shall be elected by shareholders’ meeting.

	7.2	 	The supervisors’ powers and rights shall be specified in the articles of association.

	8.	 	Senior Management of the Joint Venture Company

	8.1	 	The joint venture company shall have one (1) general manager who shall be nominated by Party
A. The appointment or dismissal of the general manager shall be determined by the board of
directors.

	8.2	 	The joint venture company shall have one (1) deputy general manager who shall be nominated by
Party B. The appointment or dismissal of the deputy general manager shall be determined by the
board of directors.

	8.3	 	The joint venture company shall have one (1) chief financial officer, who shall be nominated
by Party C. The appointment or dismissal of the chief financial officer shall be determined by
the board of directors.

	9.	 	Share Transfer

The transfer of the shares in the joint venture company held by Party C shall be subject to the
administrative measures on government equity investments formulated by the Financial Bureau of
Beijing Municipal People’s Government for the commercialization of scientific and technological
achievements and overall
planning of industrial projects.

	10.	 	Capital Increase

Upon the resolutions two thirds (2/3) of the shareholders, the joint venture company may
increase its registered capital from time to time. The Parties are entitled to contribute to
the additional capital preemptively according to their respective proportion of shareholding in
the joint venture company upon such increase.

	11.	 	Distribution of Profits in the Joint Venture Company

The Parties agree that the joint venture company shall distribute its distributable and lawful
profits of each fiscal year among the Parties in proportion to their respective shareholding
percentages of the shares of the joint venture company according to the profit distribution
plan adopted by the shareholders’ meeting.

 

 

 

	12.	 	Transfer of this Agreement

Without the prior written consent of the other Parities, any Party shall not transfer or assign
its rights or obligations hereunder. This Agreement shall be binding upon each Party and its
successors and assignees recognized by the other Parties.

	13.	 	Severability of this Agreement

In the event that any provision of this Agreement is determined to be invalid in whole or in
part, other provisions shall be performed by the Parties.

	14.	 	No Partnership, Cooperative Operation, Joint Operation, or Agency among the Parties

No provision of the Agreement may be deemed as establishment of any partnership, cooperative
operation or joint operation among the Parties for any purpose, nor shall any Party be treated
as the agent of the other Parties.

	15.	 	Taxes and Other Expenses

Unless otherwise provided or agreed in this Agreement or by the Parties in writing, each Party
shall bear its own taxes and other expenses incurred in the preparation, negotiation, execution
and performance of this Agreement.

	16.	 	Breach and Remedy

	16.1	 	A Party is in breach of this Agreement if:

i) it breaches its representations or warranties in this Agreement;

ii) it or its representative breaches any provision of this Agreement in the process of
exercising its voting power at shareholders’ meeting;

iii) the director(s) nominated by it breaches any provision of this Agreement in the process
of exercising its voting power at any meeting of the board of directors;

iv) any other breach occurs, including the breaches specified in sections 17.2.3 (ii) or
(iii) hereof; or

v) it breaches the articles of association and harms the interests of the joint venture
company or any other shareholder.

	16.2	 	In the event that a breaching Party fails to effectively remedy the breach within thirty (30)
days after receiving the other Parties’ notice, either of the other Parties is entitled to
take, at its sole discretion, one or more remedy measures set out below:

i) to suspend the performance of its obligations under this Agreement and resume such
performance after the abovementioned breach has been remedied (Notes: such suspended
performance does not constitute any failure of delay of performance of any obligations);

 

 

 

ii) to claim for compensation for the losses of the joint venture company or the
non-breaching parties according to relevant laws and regulations and the provisions of this
Agreement; to require, in its own name and on behalf of the joint venture company, the
breaching party to compensate for the losses of the joint venture company;

iii) to require the breaching party hereto to specifically perform its obligations under this
Agreement and to apply to the arbitral authority specified in section 23 hereof for making an
arbitration award requiring the specific performance of the breaching party’s obligations
under this Agreement; and

iv) to issue a written notice to the breaching party to terminate this Agreement promptly.

	16.3	 	The rights and remedies specified in this Agreement are accumulative without prejudice to a
Party’s rights to claim for other rights or remedies according to relevant laws.

	17.	 	Term, Modification and Termination of this Agreement

	17.1	 	The Agreement shall remain valid and effective unless and until terminated according to
relevant laws or by the Parties according to section 17.2 hereof.

	17.2	 	Modification and Termination of this Agreement

	17.2.1	 	Any modification or termination of this Agreement shall be made by written agreements among
the Parties, unless a Party terminates this Agreement unilaterally according to the provisions
of this Agreement.

	17.2.2	 	The modification or termination of this Agreement shall not affect each Party’s rights to
claim for damages under this Agreement. In the event that any modification or termination of
the Agreement causes losses to a Party, the breaching party shall liable to compensate for
such losses, unless it is exempted from such liabilities by law.

	17.2.3	 	A Party may issue a notice to terminate this Agreement (hereafter referred to as the “Notice
of Termination”) and this Agreement may be terminated unilaterally if:

i) either of the other Parties fails to make its contribution to the registered capital of the
joint venture company within six (6) months after the deadline for it to make such
contribution;

ii) either of the other Parties fails to perform any of its substantive obligations under this
Agreement and thus causes material and adverse impact on the joint venture company’s business
operations under this Agreement;

 

 

 

iii) either of the other Parties (a) is insolvent; (b) cannot repay its matured debts; (c)
causes a receiver, trustee, or executor of all or part of its property, income, or itself to be
appointed; (d) adopts a resolution on its dissolution; or (e) has filed an application to the
competent court for bankruptcy liquidation or will be or have been dissolved according to the
order of competent administrative authorities;

iv) the license or authorization that is necessary for the performance of this Agreement and
required by the laws or regulations of the PRC fails to be obtained, has been withdrawn or
modified, or fails to be renewed within the joint venture company’s operating term under this
Agreement;

v) major assets or property of either of the other Parties or the joint venture company in the
PRC has been confiscated or expropriated; or

vi) the party is affected by force majeure (as defined in section 18 hereof).

	18.	 	Force Majeure

	18.1	 	The force majeure means any unforeseeable, uncontrollable or unavoidable event that occurs
after this Agreement is executed, causes total or part failure to perform this Agreement and
leads to a failure to achieve the joint venture company’s purposes of operation under this
Agreement. The force majeure events include strike, fires not attributable to any Party,
flood, earthquake, typhoon and other natural disasters, diseases, war (whether declared or
not), turmoil, exercise of govermental power or declaration of such exercise, actions of
legislature, court or government, blockade, embargo and shortage or disruption of energy, raw
materials or transportation.

	18.2	 	In the event of force majeure, a Party or the Parities affected may suspend its/ their
performance of this Agreement within the scope and period affected by the force majeure, and
may postpone the performance of this Agreement to the length of period equal to that affected
by the force majeure provided that it will assume no liability for its postponement. A Party
that declares that it has been affected by the force majeure shall notify the other Parties
and the joint venture company of the same promptly in an appropriate manner and present
reasonably substantial evidences verifying the existence and the duration of the adverse
effect of the force majeure to the other Parties and the joint venture company
and shall try its best to reduce or eliminate the influence of the force majeure on its
performance of its obligations under this Agreement.

	18.3	 	In the event of the force majeure, the Parties shall cooperate with each other to reach an
appropriate resolution and make reasonable efforts to reduce the consequences of the force
majeure. In the event that the Parties fail to reach a resolution within six (6) months after
the force majeure occurs, a Party that is affected by the adverse consequences of the force
majeure is entitled to issue a Notice of Termination in accordance with section 17.2.3 (vi). A
meeting of the board of directors of the joint venture company shall be convened within twenty
(20) days after the other Parties receive the Notice of Termination.

 

 

 

	19.	 	Validity of this Agreement

	19.1	 	This Agreement constitutes a true and complete declaration of intention among the Parties to
establish the joint venture company and shall supersede any and all agreements (oral or
written), memorandums and arrangements on the incorporation of the joint venture company. No
party enters into the Agreement merely depending on any declaration, representation or
warranty not specified or mentioned herein.

	19.2	 	This Agreement and the articles of association of the joint venture company constitute a set
of legal documents. In the event of any discrepancy between this Agreement and the articles of
association of the joint venture company, the articles of association shall prevail.

	20.	 	Confidentiality

	20.1	 	Each Party shall keep confidential any information relating to the following (the
“Confidential Information”):

i) businesses or assets of the joint venture company, each Party or their associates;

ii) existence or contents of the Agreement; or

iii) all the information provided by a Party to the other Parties according to the provisions
of this Agreement.

Unless under the circumstances specified in section 20.2 hereof, without the prior written
consent of the other Parties, a Party shall not use or disclose any Confidential Information to
any third party for the purposes of, among others, its own business.

	20.2	 	The obligations of confidentiality specified in section 20.1 hereof shall not apply to any of
the following circumstances:

i) A Party discloses any information to its own associates or professional advisors for
fulfilling this Agreement;

ii) A Party discloses the information independently developed by itself, the information it
obtained third parties that are entitled to disclose the same, or the
information that is publicly known by the means not in violation of any provision of the above
section 20.1 hereof;

iii) A Party discloses any information in accordance with relevant laws, rules of the related
stock exchange or binding judgements, orders or requirements of any competent court, regulatory
authority, or any other government department, or the requirements of the procedures of any
regulatory authority or any other government department; or

iv) A Party discloses any information to any tax authority for the taxation matters of it or
its associates.

	20.3	 	The provisions of section 20.1 hereof shall survive during the two (2) years immediately
following the termination of this Agreement.

 

 

 

	21.	 	Notice

Any notice, claim, request, or requirement (collectively referred to as “Notice”) relating to
this Agreement or to the matters under this Agreement shall be made in Chinese and shall be
deemed to having been served upon the recipient after it is delivered to the following address:

In the event of a Notice to Party A:

Name: Techfaith Wireless Communication Technology (Hangzhou) Ltd.

Address: Techfaith Software Park, Wangshang Road, Binjiang District, Hangzhou

Fax: +86(571)-86698819

Attn: Zheng Guoliang

In the event of a Notice to Party B:

Name: Techfaith Intelligent Handset Technology (Beijing) Ltd.

Address: Building 1, No. 13, Yong Chang North Road, Beijing Economic-Technological

Development Area (Yi Zhuang), Beijing

Fax: +86(10)-58228606

Attn: Ge Ziyu

In the event of a Notice to Party C:

Name: Beijing E-Town International Investment & Development Co., Ltd.

Address: 6/F, Building 61, BDA International Enterprise Avenue, No.2 Jingyuan North Road,

Beijing Economic-Technological Development Area, Beijing

Fax: +86(10)-67862607

Attn: Yang Gang

The Notice may also be sent to any other address, email or fax number to be notified by a Party
according to section 21 hereof. A Notice may be sent by hand, by fax, bu email or overnight
express delivery. Without prejudice to the aforementioned provisions, a Notice shall be deemed
as having been served upon the recipient on the next working day if it is sent by fax, when it
is delivered to the
above address if sent by overnight express delivery, or when the successful sending of the
Notice is acknowledged by the sender’s email system if sent by Email.

	22.	 	Governing Law

This Agreement shall be governed by and construed in accordance with the laws of the PRC.

	23.	 	Dispute Resolution

Any disputes arising from or in connection with this Agreement (the “Disputes”) shall be
resolved first by the Parties through friendly negotiation. If the Disputes fail to be resolved
through friendly negotiation within thirty (30) days after a Party issues a written notice of
the Disputes to the other Parities, each Party is entitled to file a lawsuit to the competent
court to resolve the Disputes.

During the period of resolving the Disputes, each Party shall continue performing its
obligations under this Agreement.

 

 

 

	24.	 	Effect

This Agreement shall become effective as of the date when the Parties’ respective duly
authorized representatives sign and affix their respective official seals on this Agreement.

	25.	 	Language and Counterparts

The Agreement shall be made in Chinese in sextuplicate with equal legal force. Two (2) copies
of the Agreement shall be held by each Party.

[The Remainder of This Page Intentionally Left Blank]

 

 

 

[For Signatures Only]

The Agreement has been signed by the Parties on the date specified on the first page
of the Agreement.

Party A: Techfaith Wireless Communication Technology (Hangzhou) Ltd.

Signatory:
/s/ Wang Zhongbao

Name:
Wang Zhongbao

Title:

Party B: Techfaith Intelligent Handset Technology (Beijing) Ltd.

Signatory:
/s/ Dong Deyou

Name: Dong Deyou

Title:

Party C: Beijing E-Town International Investment & Development Co., Ltd.

Signatory:
/s/ Li Xiaoping

Name: Li Xiaoping

Title:

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