Document:

Union
      Bank of Taiwan Loan Application Approval Notice

     

    

    Approved
      on: 9 Nov 2007

    Approval
      No: 631035

     

    

    

    Whereas
      your company (family)brings forward the credit limit application to this bank,
      the approval content of the bank is as follows, please use the credit limit
      as
      soon as possible (3 months at latest).

     

    Credit
      limit category: Middle-term guaranteed loan

    Credit
      limit: NTD50 million

    Expired
      on: 9 May 2008

    Credit
      limit use term: Acyclic use, 2 years

    NTD
      interest rate: The mean interest type index interest rate of the bank (2.35%
      at
      current)+ 1.45%, floating

     

    Terms
      of guarantee:

     

    The
      mortgage right of NTD60 million is set preferentially on the 2 real estates
      of
      8F and 8F-1 and 3 plane parking places of underground 4F (No.3, 4 and 6) (the
      section land No. 373; building No:1653, 1667 and 1700) located at 98 Minchuan
      Road. Hsintien City, Taipei County to this bank to compensate the
      above-mentioned loan instead, and the balance shall be used after the
      preferential mortgage right is written-off.

     

    Other
      conditions:

     

    The
      principal of NTD500000 shall be returned each month, 24 promissory notes shall
      be provided, and the balance shall be taken back upon the expiry of
      loan.

     

    Suang-Yi
      Pai and Min-Tan Yang shall provide the joint guarantor.

     

    To:
      Kid
      Castle International Technology Co., Ltd

     

    

    Union
      Bank of Taiwan Hsintien Branch

    Date:
      12
      Nov 2007

     

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Receipt
      for Loan

    

     

    1.
      Loan
      amount: NTD50 million

     

    2.
      Loan
      term:           
       2007
      to
                                  
      

     

    3.
      Repayment method: The principal and interest is agreed to be repaid on schedule
      according to method of following item 6):

     

    1
      ) the
      interest shall be paid month by month, and the principal shall be repaid on
      the
      expiry;

     

    2
      ) the
      interest shall be paid month by month, and the principal shall be repaid by
                     
       periods
      (   
       months
      per period) averagely from            
       (the
      date for the first repayment of principal);

     

    3
      ) the
      interest shall be paid month by month, while the principal and interest shall
      be
      repaid by        
       periods
      ( 
      months
      per period) averagely from                       
      ;

     

    4
      ) the
      interest shall be paid month by month, while the principal and interest of
      NTD
      _________ shall
      be
      repaid per month; if the interest rate is adjusted, the principal and interest
      amount will be adjusted correspondingly; the loan balance and interest payable
      shall be paid in the last period;

     

    5
      ) the
      principal and interest shall be repaid averagely per month;

     

    6
      ) the
      interest shall be repaid per month, and the principal of NTD500000 shall be
      repaid per month, and the balance shall be repaid on the expiry.

     

    4.
      The
      interest under this agreement shall be calculated according to the following
      item 6):

     

    1
      ) the
      interest shall be calculated according to the bank basic interest rate of
      _________ plus
      the
      annual rate of             
       (the
      current annual rate is        
       ),
      and the loan interest is to be calculated according to the fixed interest rate
      method;

     

    2
      ) the
      interest shall be calculated according to the bank basic interest rate of
            
       plus
      the annual rate of _________ (the
      current annual rate is         
       ),
      and the loan interest rate is to be adjusted with the change of bank basic
      interest rate;

     

    3
      ) the
      interest shall be calculated according to the interest rate of _________
of
      _________ years’
      fixed term deposit of postal saving bureau plus the annual rate of             
       (the
      current annual rate is               
       ),
      and the loan interest rate is to be adjusted with the change of interest rate
      of
           
       of
                    
       years’
      fixed term deposit of postal saving bureau;

     

    4
      ) the
      interest shall be calculated according to the middle and long-term capital
      interest rate of _________ of
      the
      Council for Economic Planning & Development, Executive Yuan plus the annual
      rate of                 
       (the
      current annual rate is                ),
      and the loan interest rate is to be adjusted with the change of middle and
      long-term capital interest rate of               
       of
      the Council for Economic Planning & Development, Executive Yuan; if the
      credit limit is used up, the bank basic interest rate of               
       plus
      the annual rate of                    
       (the
      current annual rate is 
      _________
      ) will
      be applicable, and the loan interest rate is to be adjusted with the change
      of
      bank basic interest rate;

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    5
      ) the
      interest shall be calculated according to the fixed interest rate of
                        
      ;

     

    6 )
      the interest shall be calculated according to the bank mean interest type index
      interest rate of 2.35%
      plus the
      annual rate of 1.25%
      (the
      total annual rate is 3.60%), and the loan interest rate is to be adjusted with
      the change of the bank mean interest type index interest rate.

     

    5.
      Interest for delayed repayment and penalty: If the principal and interest is
      not
      repaid on schedule or the principal is not paid off according to the agreement,
      the interest for delayed repayment shall be calculated according to the agreed
      interest rate, and the penalty equal to 10% of above-mentioned interest shall
      be
      paid if the repayment is made within 6 months after the expiry, while the
      penalty equal to 20% of above-mentioned interest shall be paid for the period
      of
      exceeding 6 months if the repayment is made out of 6 months.

     

    6.
      Special terms and conditions:

     

    1)
      The
      borrower agrees to transfer all the loan to the current deposit account
      10-8000551 of your bank (the account name: Kid Castle International Technology
      Co., Ltd) on the appropriating date.

     

    2)
      The
      borrower agrees that the principal and interest payable for the loan can be
      deducted from the deposit account                   
       under
      the name of borrower and repaid by the mode of transfer directly each period
      without the payment vouchers such as the borrower’s deposit book, withdrawal
      slip, or the check/promissory note issued by the borrower; the bank will be
      unrelated with the dispute with the third party, and the borrower would like
      to
      undertake all the liabilities; if the deposit is inadequate to repay the amount
      payable in the period, the borrower promises to repay and undertake the agreed
      interest for delayed payment or penalty.

     

    3)
      If the
      borrower does not repay the principal or interest on schedule during the loan
      term, the borrower and guarantor shall acknowledge the repayment of loan and
      lose the interest of term; they shall pay off the loan immediately upon the
      request of your bank or permit the bank to dispose the mortgage to repay the
      loan.

     

    4)
      The
      borrower and joint guarantor would like to abide by the articles of other
      agreement signed with your bank, and that agreement shall be a part of this
      receipt for loan.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    Borrower:
      Kid Castle International Technology Co., Ltd (Signature and Seal)

    Suang-Yi
      Pai
      (Signature and Seal)

     

    Address:
      1F, 148
      ChienKuo Road, Hsintien City, Taipei
      County

     

    Joint
      guarantor: Suang-Yi
      Pai
      (Signature and Seal)

     

    Address:
      3F, 1 Lane
      80,
      Guanyin Alley, Baisha Village, Huatan Town, Changhua County

     

    Joint
      guarantor: Min-Tan
      Yang
      (Signature and Seal)

     

    Address:
      L377, Hebian North Street, Sanchong City, Taipei County

     

    Joint
      guarantor:                                        
       (Signature
      and Seal)

     

    Address:
                                                                                                              
      

    

    Union
      Bank of Taiwan

    26
      Nov
      2006

    

    Subject:
      Middle-term Guaranteed Loan

    Account
      Number: ###-##-####

    Credit
      Application Approval No: 63103504

    Tel:

    Approved
      by:                              

    Handled
      by:                                  
      

    

     

    The
      borrower (including the joint guarantors) have read and agreed the above
      articles in the reasonable time and confirms its content; the borrower shall
      hold one duplicate of this receipt and hereby seal on it. (Seal of Kid Castle
      International Technology Co., Ltd, Suang-Yi
      Pai and Min-Tan Yang).

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    Promissory
      Note

    

    The
      payment will be made on the sight of the note on                         
      .

    Union
      Bank of Taiwan or the person specified by it

     

    NTD50
      Million

    

    The
      interest of this note shall be calculated according to the following item
      6):

     

    1)
      the
      interest shall be calculated according to the bank basic interest rate of
      _________ plus
      the
      annual rate of _________ (the
      current annual rate is              
      )
      upon
      the issuance date of note and paid by month □fixedly or □floatingly, and the
      loan interest rate is to be adjusted with the change of bank basic interest
      rate;

     

    2)
      the
      interest shall be calculated according to □the mean interest type index interest
      rate of                 published
      by the bank plus the annual rate of              
       (the
      current annual rate is
      _________) by
      month □fixedly or □floatingly or □the fixed interest rate of _________
from
      _________ to
      _________,
      and the
      loan interest rate is to be adjusted with the change of bank basic interest
      rate; the interest shall be calculated according to □the mean interest type
      index interest rate of _________ published
      by the bank plus the annual rate of _________ (the
      current annual rate is
      _________)by
      month
□fixedly or □floatingly or □the fixed interest rate of       
       from
            
      to
               
      ;
      and the
      interest shall be calculated according to □the mean interest type index interest
      rate of          
       published
      by the bank plus the annual rate of       
       (the
      current annual rate is           
       )
      by month □fixedly or □floatingly; the loan interest rate is to be adjusted with
      the change of the mean interest type index interest rate published by the
      bank;

     

    3)
      the
      interest shall be calculated according to the annual rate of _________
and
      paid
      by month upon the issuance date of note;

     

    4)
      the
      interest shall be calculated according to the interest rate of _________
of
      _________ years’
      fixed term deposit of Chunghwa Post Co., Ltd plus the annual rate of
      
       (the
      current annual rate is        
       )
      and paid by month upon the issuance date of note, and the loan interest rate
      is
      to be adjusted with the change of interest rate of       
       of
              
       years’
      fixed term deposit of Chunghwa Post Co., Ltd;

     

    5)
      the
      interest shall be calculated according to the middle and long-term capital
      interest rate of _________ of
      the
      Council for Economic Planning & Development, Executive Yuan plus the annual
      rate of       
       (the
      current annual rate is             
      )
      and
      paid by month upon the issuance date of note; the loan interest rate is to
      be
      adjusted with the change of middle and long-term capital interest rate of
      
       of
      the Council for Economic Planning & Development, Executive
      Yuan;

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    6)
      the
      interest shall be calculated according to the bank mean interest type index
      interest rate of 2.35%
      plus the
      annual rate of 1.25%
      (the
      total annual rate is 3.60%)□floatingly and paid by month, and the loan interest
      rate is to be adjusted with the change of the bank mean interest type index
      interest rate; if your bank agrees to calculated the interest according to
      the
      lower preferential interest rate, your bank is entitled to terminate or decrease
      the preferential interest rate and recover to the above-mentioned interest
      rate.

     

    2.
      If the
      interest is paid overdue or the loan is unpaid upon the expiry, the interest
      for
      delayed repayment shall be calculated according to the bank mean interest type
      index interest rate plus the annual rate of 1.25%□floatingly,
      and the penalty equal to 10% of above-mentioned interest shall be paid if the
      repayment is made within 6 months after the expiry, while the penalty equal
      to
      20% of above-mentioned interest shall be paid for the period of exceeding 6
      months if the repayment is made out of 6 months.

     

    3.
      This
      note is exempted to be act as the refusal certificate.

     

    4.
      The
      address for payment: 100 Minchuan Road. Hsintien City

    

    Note
      issuer: Kid Castle International Technology Co., Ltd (Signature and
      Seal)

    Suang-Yi
      Pai
      (Signature and Seal)

     

    Address:
      1F, 148
      ChienKuo Road, Hsintien City, Taipei
      County

     

    Joint
      issuer: Suang-Yi Pai
      (Signature and Seal)

     

    Address:
      3F, 1 Lane
      80,
      Guanyin Alley, Baisha Village, Huatan Town, Changhua County

     

    Joint
      issuer:
      Min-Tan
      Yang
      (Signature and Seal)

     

    Address:
      L377, Hebian North Street, Sanchong City, Taipei County

     

    Joint
      issuer:                                          
       (Signature
      and Seal)

     

    Address:
                                                                                                   
      

     

    26
      Nov
      2006

    

    Subject:
      Middle-term Guaranteed Loan

    Account
      Number: ###-##-####

    Credit
      Application Approval No: 63103504

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Tel:

    Approved
      by:                                              
      

     

    Handled
      by:                                                 
      

     

     

    

     

    

     

    

     

    

     

    

     

    The
      note
      issuer (including the joint issuers) have read and agreed the above articles
      in
      the reasonable time and confirms its content; the issuer shall hold one
      duplicate of this receipt and hereby seal on it. (Seal of Kid Castle
      International Technology Co., Ltd, Suang-Yi
      Pai and Min-Tan Yang).

     

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Joint
      Guarantee Letter

     

    

    

    The
      joint
      guarantor Suang-Yi
      Pai and Min-Tan Yang (hereinafter the “joint guarantor”) guarantees to Union
      Bank of Taiwan Co., Ltd (hereinafter “your bank”) for the current (including the
      existing loan to be repaid) and coming loans, receipts for loan, advance
      payments, guarantees, damage compensations and all other liabilities of
Kid
      Castle International Technology Co., Ltd (hereinafter the “debtor”). The joint
      guarantor would like to undertake the joint liabilities together with the debtor
      and abide by the following articles within the principal of NTD50 million and
      its interest, interest for delayed payment, penalty and other burdens subject
      to
      the primary debt:

     

    1.
      If the
      debtor does not implement the above-mentioned debt according to the agreement
      or
      the account payable is not paid on expiry, the guarantor will repay instead
      without any buck-passing upon the notice of your bank within the guaranteed
      amount, interested for delayed repayment, penalty, damage compensation, expense
      and advanced payment, no matter whether the mortgage is provided for the loan
      or
      debt or whether the provided mortgage is adequate to repay the loan or
      debt.

     

    2.
      The
      guarantor shall not retreat from the guarantee before the debtor pays off the
      debt.

     

    3.
      If the
      debtor can not pay off the debt and your bank can not claim compensation
      adequately from the debtor, your bank need not accept the compensation from
      the
      mortgage and can claim compensation from the guarantor directly, and the
      guarantor would like to give up the right of discussion.

     

    4.
      For
      the implementation of the debt guaranteed by this guarantee letter, the
      guarantor agrees that the operating site of _________ branch
      of
      your bank is the implementation place.

     

    5.
      For
      this guarantee letter and guaranteed debt, the guarantor agrees that _________
      district
      court or Taipei district court is the first trial court if there is any
      dispute.

     

    6.
      The
      guarantee letter will become effective upon the date of signature.

     

    7.
      The
      term of this guarantee letter is not defined, and the guarantor can terminate
      this guarantee letter at any moment, while they must notify your bank in written
      1 month in advance. If the guarantor does not notify the bank in advance and
      lead to the damage of your bank due to the termination of guarantee agreement,
      the guarantor agrees to compensate the damage of your bank.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    8.
      The
      guarantor shall also undertake the joint guarantee liability for the debt of
      debtor before the termination of guarantee agreement after terminating the
      guarantee agreement.

     

     

    Union
      Bank of Taiwan

     

    

    Signature
      and Seal Column of Joint Guarantor

    Joint
      guarantor: Suang-Yi
      Pai
      (Signature and Seal)

    Signature
      Date: 14 Nov 2007

    Witness
      Column

     

    Signature
      and Seal Column of Joint Guarantor

    Joint
      guarantor: Min-Tan
      Yang
      (Signature and Seal)

    Signature
      Date: 26 Nov 2007

    Witness
      Column

    

    

    

    

    

    

    

    

    

    

    

    

    Approved
      by:                
      

    Handled
      by:                    
      

    Account
      Number: ###-##-####

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Letter
      of Authorization

     

    It
      is
      hereby authorize your bank to fill in the expiry date directly on the promissory
      note of NTD50 million that the expiry date is blank delivered by the issuer
      without notice to the authorizer and joint issuer on the agreed claim date,
      and
      the authorizer and joint issuer shall not have any demurral.

     

    

     

    Union
      Bank of Taiwan

     

    

    Authorizer
      (Issuer): Kid Castle International Technology Co., Ltd (Signature and
      Seal)

    Suang-Yi
      Pai
      (Signature and Seal)

     

    Joint
      Issuer: Suang-Yi
      Pai
      (Signature and Seal)

     

    Joint
      Issuer: Min-Tan
      Yang
      (Signature and Seal)

     

    Joint
      Issuer:                                   
      

     

    

     

    Date:
      26
      Nov 2007

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    

    Agreement
      Signer: Min-Tan
      Yang
      (Signature and Seal)

     

    Address:
      L377, Hebian North Street, Sanchong City, Taipei County

     

    Unique
      code for profitable enterprise:

     

    Unique
      code of ID card: F120715848

     

    Instauration
      date:

     

    Birthday:
      27 Nov 1965

     

    Vocation:

     

    

    

    Agreement
      Signer

     

    Signature:
      Min-Tan
      Yang

     

    Seal:
      Min-Tan Yang

     

    Witness:

     

    Approved
      by:

     

    Witness
      date: 26 Nov 2007

     

    Witness
      address: 8F, 100 Minchuan
      Road. Hsintien City, Taipei

    

     

    Date:
      26 Nov
      2007

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    Agreement
      Signer: Suang-Yi
      Pai
      (Signature and Seal)

     

    Address:
      1-3 Lane
      80,
      Guanyin Alley, Baisha Village, Huatan Town, Changhua County

     

    Unique
      code for profitable enterprise:

     

    Unique
      code of ID card: N120214084

     

    Instauration
      date:

     

    Birthday:
      29 July 1960

     

    Vocation:

     

    

    

    Agreement
      Signer

     

    Signature:
      Suang-Yi
      Pai

     

    Seal:
      Suang-Yi Pai

     

    Witness:

     

    Approved
      by:

     

    Witness
      date: 14 Nov 2007

     

    Witness
      address: 8F, 98 Minchuan
      Road, Hsintien City, Taipei

     

    

     

    

     

    

     

    

     

    Date:
                                                       
      

     

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    

    Agreement
      Signer: Kid Castle International Technology Co., Ltd (Signature and
      Seal)

    Suang-Yi
      Pai
      (Signature and Seal)

     

    Address:
      1F, 148
      ChienKuo Road, Hsintien City, Taipei
      County

     

    Unique
      code for profitable enterprise: 70676630

     

    Unique
      code of ID card: N120214084

     

    Instauration
      date: 22 Dec 1999

     

    Birthday:
      29 July 1960

     

    Vocation:

     

    

    

    Agreement
      Signer

     

    Signature:
      Principal of Kid Castle International Technology Co., Ltd
      Suang-Yi
      Pai

     

    Seal:
      Kid
      Castle International Technology Co., Ltd
      Suang-Yi
      Pai

     

    Witness:

     

    Approved
      by:

     

    Witness
      date: 14 Nov 2007

     

    Witness
      address: 8F, 98 Minchuan
      Road, Hsintien City, Taipei

     

    

    

    

    

    Date:Equity
      Transfer Agreement

     

    Party
      A:
      Sichuan Province Education Institutional Service Center (hereinafter “Party A”
in this agreement)

     

    Party
      B:
Shanghai
      Kid Castle Educational Info Constitution Company Limited
      (hereinafter “Party B” in this agreement)

     

    Party
      A
      and Party B conclude the agreement as follows based on the friendly
      negotiation:

     

    1.
      Party
      A would like to transfer 10% equity of Sichuan Lanbeisi Kid Castle Education
      Development Co., Ltd (with a contribution of RMB80000) to Party B; the payment
      manner is: Party B shall pay off all the equity transfer fee of RMB80000 within
      5 days after all equity alteration registration/reference is completed and
      the
      corresponding license and certificate is issued.

     

    2.
      Party
      B will enjoy the right granted by the Company Law of Peoples’ Republic of China
      and shall undertake the relevant obligation without extracting the contribution
      after the equity transfer. If there is any breaching, the shareholder itself
      shall undertake the economic and legal liabilities.

     

    3.
      The
      alteration registration shall be transacted at the industrial and commercial
      administration in time after the equity transfer. This agreement is triplicate
      and becomes effective with the seals of both parties; each of both parties
      holds
      one, and one is submitted to the industrial and commercial administration for
      reference.

     

    Party
      A
      (Seal): Sichuan Province Education Institutional Service Center

    Party
      B
      (Seal): Shanghai
      Kid Castle Educational Info Constitution Company Limited

     

    Signature
      Date: 30 June 2007

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00139-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00139-of-00352.parquet"}]]