The board of directors of Baofeng Modern International Holdings Company Limited announced the changes in the Board: Mr. Zheng Liuhe has retired from his offices as chairman and executive director of the company; Mr. Chen Qingwei has resigned from his offices as chief executive officer, executive director and authorized representative of the Company, and has been re-designated as a consultant of the Company; and Mr. Zheng Jingdong has been appointed as the new chairman, chief executive officer and authorized representative of the company. The changes have been effect from May 10, 2013.

Baofeng Modern International Holdings Company Limited reported audited consolidated cash flows for the year ended December 31, 2012. For the period, the company’s net cash flows from operating activities were CNY 227,151,000 against CNY 135,309,000 a year ago. Purchases of items of property, plant and equipment was CNY 19,127,000 against CNY 46,624,000 a year ago.

The board of directors of Baofeng Modern International Holdings Company Limited does not recommend the payment of a final dividend for the year ended December 31, 2012. The company paid final dividend of 3.0 Hong Kong cents per ordinary share for 2011.