Anhui Anqing Huanxin Group Co., Ltd. FY2008

Business Highlights

Increasing ownership in Dalian Boxin Special Steel Co., Ltd. (DBX)
- In March 2008, the Company increased the ratio of its shareholding in Dalian Boxin Special Steel Co., Ltd. (DBX) to 58 percent by acquiring the additional 34.8 percent DBX share held by Teikoku Piston Ring Co., Ltd. (TPR). DBX was established in September 2006 through a joint investment by the Company, TPR, and Dalian Dingxin Special Steel Co., Ltd. (DDX). DBX manufactures special alloy materials for use in piston rings, stamped components, micromotor shafts, etc.

Investment Activities

Major investment projects (in millions of yuan)
Project Details Amount invested Planned amount of investment in 2008 Status
Constructing a new plant at Anqing Scherdel Automobile Parts Co., Ltd. - Building a new plant to manufacture piston ring springs
- Annual production capacity: 34 million units
60.0 10.0 Under construction
Constructing production facilities to manufacture high-quality piston rings - Annual production capacity: 100 million units 230.0 80.0 Under construction