King Feida Clothing Limited By Share Ltd Acquired Wenshan Casey Mining Co., Ltd. Announcement

All members of the company and the board of directors guarantee that the contents of the information disclosure are true, accurate and complete, without false records, misleading statements or major omissions.

　　 I. summary of the basic situation

In December 25, 2011, the company signed a "share transfer agreement" with Beijing xingjiayin Business Investment Co., Ltd., which agreed that the company acquired 45% stake in Wenshan Kathy Mining Co., Ltd., Beijing, with its own capital of 110 million yuan.

　　 Wenshan Kathy Mining Co., Ltd. (hereinafter referred to as "Cassie mining") is located in Dehou Town, Wenshan City, Wenshan, Yunnan province. Its main business is manganese mining and mineral products sales. It has 3 prospecting rights and a mining right, and the total area of exploration rights is 39 square kilometers. The reserves of manganese ore have been proved to be 6 million 620 thousand tons, and the grade is not less than 19%. The mining license for annual output of manganese ore has reached 200 thousand tons.

In December 30, 2011, the second session of the tenth meeting of the board of directors approved the adoption of the motion on the acquisition of 45% equity of Wenshan Casey Mining Co., Ltd., and was approved by the company's first provisional shareholders' meeting in February 3, 2012.

For details, please see the January 5, 2012 announcement of the Wenshan Kathy Mining Company Limited.

　　 Two. Progress

1, the original mining license of Kaxi mining is 50 thousand tons per year. Kathy mining is expected to obtain a mining license of 200 thousand tons per year by May 31, 2012. In June 2, 2012, the company received the notice from Cassie mining that the mining license for annual production of 200 thousand tons of manganese ore was completed in May 30, 2012. The company disclosed three original prospecting warrants of Kaxi mining in January 5, 2012. The names of the mineral owners are Yandian Heng Dian industry and trade limited liability company. At present, the name of the mineral owner has been changed to Wenshan Casey Mining Co., Ltd.

2, the company acquired 110 million of the 45% stake in Kaxi mining company held by Beijing xingjiayin Business Investment Co., Ltd. with its own funds, which has been approved by the board of directors and shareholders' meeting respectively. The company is proceeding with the above transfer procedures, and there is no legal obstacle to the transfer of stock rights.

3, Kaxi mining has three prospecting warrants, and Kaxi mining is conducting a comprehensive resource exploration of the areas in which the prospecting rights belong. Up to now, no achievements have been made in determining the new reserves.

4, Kaxi mining and infrastructure construction and main transportation roadway projects have been completed. The development works are being carried out, and the output capacity of the 50 thousand tons of manganese ore has reached 200 thousand tons per year.

In 5 and January 5, 2012, the company disclosed that the Cassie mining had proved that the manganese ore reserves were 6 million 620 thousand tons, the estimated recoverable reserves were 5 million 435 thousand tons, and the average grade of manganese ore was about 19%. Up to now, the variety, reserves and grade of mineral resources have not changed.

6, Cassie mining has not been formally produced until now, and there have been no accidents such as safety production and environmental pollution in mineral resources exploration and development.

7. In May 30, 2012, the annual production capacity of 200 thousand tons of manganese ore mining license obtained by Kathy mining was 7 years, that is, from May 30, 2012 to May 30, 2019, the application period can be extended.

8, the company is in accordance with the Beijing Xingjia Ying Business Investment Limited signed the "equity transfer agreement" requirements gradually implemented.

9, regarding the company's investment in mining rights, the actual operating performance of Cassie mining and the impact of guaranteed earnings on the company's future performance, please refer to the company's January 5, 2012 announcement.

　　 Three. Reference documents

Kathy mining mining license and prospecting warrant.

　　 Jiangsu Jin Feida [9.20 2.56% shares bar Research Report] clothing Limited by Share Ltd board of directors

June 4th two one or two