BOE TECHNOLOGY GROUP CO., LTD — Interim / Quarterly Report 2004

Aug 31, 2004

BOE TECHNOLOGY GROUP CO., LTD. SUMMARY OF INTERIM REPORT 2004

§1. Important Notice

1.1 The Board of Directors and its members of BOE Technology Group Co., Ltd. (hereinafter referred to as the Company) and its directors individually and collectively accept responsibility for the correctness, accuracy and completeness of the contents of this report and confirm that there are no material omissions nor errors which would render any statement misleading.

The summary of interim report 2004 is abstracted from the interim report, and full text of the interim report is published on the Internet website http://www.cninfo.com.cn in the mean time. The investors are suggested to read the full text of interim report to understand more details.

This report was prepared in both Chinese and English. Should be there any difference in interpretation between the two versions, the Chinese version shall prevail.

1.2 No director stated that he could not ensure the correctness, accuracy and completeness of the contents of the Interim Report or had objection for this report.

1.3 Director Mr. Chen Yanshun didn't attend the Board meeting for business.

1.4 The 2004 interim financial report of the Company has not been audited.

1.5 Chairman of the Board and concurrently CEO Mr. Wang Dongsheng, President and concurrently COO Mr. Liang Xinqing, Chief Financial Officer Mr. Wang Yanjun, and Secretary of Plan & Financial Dept. Ms. Sun Yun hereby confirm that the financial report enclosed in the interim report is true and complete.

§2. Company Profile

2.1 Basic information

Short form of the stock	BOE-A, BOE-B
Stock code	000725, 200725
Listed stock exchange	Shenzhen Stock Exchange
	Secretary of the Board	Securities Affairs Representative
Name	Wang Yanjun	Zhong Huifeng
Contact address	No.10,JiuxianqiaoRoad,	No.10,JiuxianqiaoRoad,
	Chaoyang District, Beijing	Chaoyang District, Beijing
Telephone	(86)10 – 64366264	(86)10 – 64366264
Fax	(86)10 – 64366264	(86)10 – 64366264
E-mail	wangyanjun@boe.com.cn	hfzhong@boe.com.cn

2.2 Major financial data and indexes

2.2.1 Major accounting data and financial indexes

Unit: RMB'000

Items	At the end ofthis reportperiod	At the end ofthe sameperiod oflast year	Increase/decrease at theend of this report periodcompared with the sameperiod of last year
Net profit	520,519	164,570	216.29%
Earning per share	0.36	0.25	44.00%
Return on Equity	9.98%	7.09%	40.76%
Net cash flow arising from	264,588	724,467	-63.48%
operating activities

Unit: RMB'000

			Increase/dec
			rease at the
			end of this
	At the end of this	At the end of the	report
Items	report period	last year	period
			compared
			with last
			year-begin
Current Assets	7,232,986	5,548,182	30.37%
Current Liabilites	5,822,132	6,715,094	-13.30%
Total Assets	13,869,543	12,040,450	15.19%
Shareholder'	5,217,640	2,569,080	103.09%
equity(excludingminority
interests)
Net Assets per share	3.56	3.90	-8.72%

• 2.2.2 Item of non-recurring gains and losses Applicable Inapplicable
• 2.2.3 Differences between CAS and IAS: Applicable Inapplicable

Unit: RMB'000

	CAS	IAS
Net profit	521,186	520,519
Explanation on difference	Differences in net profit calculated under CAS and IAS respectively
	is because discrepancy in term of amortization of goodwill.

§3. Changes in Share Capital and Particulars about Shareholders

3.1 Statement of change in shares Applicable Inapplicable

	Before the	Increase/decrease of this time (+, - )	After the
Items		Capitalization of	Additional
	change	public reserve	issuance	Subtotal	change
I. Unlisted Shares
1. Sponsor's shares	393,634,800	196,817,400	0	196,817,400	590,452,200
Including: State-owned share	393,634,800	196,817,400		196,817,400	590,452,200
Domestic legal person's shares				0	0
Foreign legal person's shares				0	0
Others				0	0
2. Raised legal person's shares	4,290,000	2,145,000		2,145,000	6,435,000
3. Inner employees' shares	10,140,000	0		0	0
4. Preference shares or others				0	0
Total unlisted shares	408,064,800	198,962,400	0	198,962,400	596,887,200
II. Listed Shares
1. RMB ordinary shares	72,000,000	41,070,000		41,070,000	123,210,000
2. Domestically listed foreign shares	179,400,000	247,900,000	316,400,000	564,300,000	743,700,000
3. Overseas listed foreign shares				0	0
4. Others				0	0
Total listed shares	251,400,000	288,970,000	316,400,000	605,370,000	866,910,000
III. Total shares	659,464,800	487,932,400	316,400,000	804,332,400	1,463,797,200

3.2 Particulars about shares held by the top ten shareholders

Total shareholders at the end of report period		46,382
Particulars about shares held by the top ten shareholders
Full name of shareholders	Increase /decrease inthis reportperiod	Shares heldat the end ofthe reportperiod	Proportion(%)	Type of shares(circulating ornon-circulating)	Numberof sharepledgedor frozen	Nature ofshareholders(state-ownedshareholder orforeign shareholder)
BEIJINGBOEINVESTMENT&DEVELOPMENT CO., LTD.	175,235,400	525,706,200	35.91	Non-circulating	0	State-owned share
FIELDS PACIFIC LIMITED	Unknown	90,000,000	6.15	Circulating	Unknown	B-share
GUOTAIJUNANSECURITIESHONGKONG LIMITED	Unknown	64,288,077	4.39	Circulating	Unknown	B-share
BEIJINGDONGDIANINDUSTRIALDEVELOPMENT COMPANY	20,022,000	60,066,000	4.10	Non-circulating	0	State-owned share
SHANGHAI (HONG KONG) WANGUOSECURITIES	Unknown	44,473,293	3.04	Circulating	Unknown	B-share
BANK OF CHINA GROUP SECURITIESLIMITED	Unknown	21,356,145	1.46	Circulating	Unknown	B-share
ZHONGXIN CAPITAL SECURITIES CO.,LTD.	Unknown	15,227,715	1.04	Circulating	Unknown	B-share

Unit: share

TOP RESPECT GROUP LIMITED	Unknown	13,500,000	0.92	Circulating	Unknown	B-share
SUNHUNGKAIINVESTMENTSERVICES LTD-CUSTOMERS A/C	Unknown	12,405,872	0.85	Circulating	Unknown	B-share
KGI ASIA LIMITED	Unknown	10,329,775	0.71	Circulating	Unknown	B-share
Particulars about shares held by the top ten shareholders of circulation share
Full name of Shareholders			Number of circulation shares held at the			Type (A-share, B-share, H-share and
		period-end			other)
FIELDS PACIFIC LIMITED		90,000,000			B
GUOTAIJUNANSECURITIESHONG		64,288,077			B
KONG LIMITED
SHANGHAI (HONG KONG) WANGUO		44,473,293			B
SECURITIES
BANK OF CHINA GROUP SECURITIES		21,356,145			B
LIMITED
ZHONGXIN CAPITAL SECURITIES CO.,		15,277,715			B
LTD.
TOP RESPECT GROUP LIMITED		13,500,000			B
SUNHUNGKAIINVESTMENT	12,405,872				B
SERVICES LTD-USTOMERS A/C
KGI ASIA LIMITED		10,329,775			B
MERRILL LYNCH INTERNATIONAL		9,167,914			B
HUAZHI CO., LTD.		7,606,000			B
Explanation on associated relationship	The Company has no idea on whether there exists associated relationship among the
among the top ten shareholders		aforesaid shareholders.
Explanation on the appointed period of		Shareholders' name			Appointed period of holding share
holding shares which strategic investor		FIELDS PACIFIC LIMITED			Three month
or general legal person participates in			GUOTAI JUNAN SECURITIES HONG KONG		Three month
the allotment of new shares	LIMITED
	SHANGHAI(HONGKONG)WANGUO				Three month
	SECURITIES
		TOP RESPECT GROUP LIMITED			Three month
			SUN HUNG KAI INVESTMENT SERVICES		Three month
	LTD-USTOMERS A/C
	HUAZHI CO., LTD.				Three month

Note: The above shareholding of B share-Placing has been listed on Shenzhen Stock Exchange on April 16,2004.

3.3 Particulars about change in controlling shareholder and actual controller of the Company

Applicable Inapplicable

§4. Particulars about Directors, Supervisors and Senior Executives

4.1 Particulars about changes in shares held by directors, supervisors and senior executives

Applicable Inapplicable

				Unit: share
		Amount at the	Amount at the	Reason for change
Name	Office title	period-begin	period-end
	Chairman of the Board, Chairman of			Transferringcapital
Wang Dongsheng	Executive Committee, CEO	7,800	11,700	reserve into share capital
				Transferringcapital
Jiang Yukun	Vice Chairman of the Board	4,680	7,020	reserve into share capital
				Transferringcapital
Liang Xinqing	Executive Director, President, COO	3,120	4,680	reserve into share capital
Cui Bingdou	Executive Director,	0	0
	Executive Vice-president
Xuan Jiansheng	Executive Director,	0	0
	Executive Vice-president
Chen Yanshun	Executive Director,	0	0
	Executive Vice-president
Zhao Caiyong	Director	7,800		Transferringcapital
			11,700	reserve into share capital
Tai Zhonghe	Independent Director	0	0
Xie Zhihua	Independent Director	0	0
Zhang Baizhe	Independent Director	0	0
Li Zhaojie	Independent Director	0	0
Xia Zhenzhi	Convener of the Supervisory Committee	500	750	Transferringcapital
				reserve into share capital
Mu Chengyuan	Supervisor	780	1,170	Transferringcapital
				reserve into share capital
Yang Anle	Supervisor	0	0
Xu Yan	Employee Supervisor	4,680	7,020	Transferringcapital
				reserve into share capital
Cao Hong	Employee Supervisor	1,560	2,340	Transferringcapital
				reserve into share capital
Wang Yanjun	CFO, Secretary of the Board	3,120	4,680	Transferringcapital
				reserve into share capital
Song Ying	Vice-president	7,800	11,700	Transferringcapital
				reserve into share capital
Ren Jianchang	Vice-president	0	0
Han Guojian	Vice-president	3,120	4,680	Transferringcapital
				reserve into share capital
Liu Xiaodong	Vice-president	0	0
Wang Jiaheng	Vice-president	0	0

§5. Discussion and Analysis of the Management

5.1 Statement of main operations classified according to industries

Unit: RMB'0000

Industries	Income	Cost of	Gross	Increase/decrease	Increase/decrease	Increase/decrease

	from main	main	profit	in income from	in cost of main	in gross profit ratio
	operations	operations	ratio	main operations	operations over the	over the same
			(%)	over the same	same period of last	period of last year
				period of last year	year (%)	(%)
				(%)
Manufacture of
electronic	623,421.2	516,751.5	17.11	32.70	31.53	4.46
appliances
Including:
related	103,129.75	85,432.22	17.16	1,919.78	1,479.15	388.40
transactions

Products	Incomefrom mainoperations	Cost ofmainoperations	Grossprofitratio(%)	Increase/decreasein income frommain operationsover the sameperiod of last year(%)	Increase/decreasein cost of mainoperations over thesame period of lastyear (%)	Increase/decreasein gross profit ratioover the sameperiod of last year(%)
Businessofmonitorterminalproducts	198,219.2	187,639.56	5.34	81.55	86.16	-30.48
BusinessofTFT-LCD	262,544.7	188,833.59	28.08	7.13	-2.97	37.93
Businessofsmall-sizeddisplay devices	132,675.3	117,283.4	11.60	39.38	30.71	-20.71
Otherbusinesses	29,982.07	4,545.12	84.84	47.21	-70.65	254.09
Including:relatedtransactions	103,129.75	85,432.22	17.16	1,919.78	1,479.15	388.40
Pricingrulesforrelatedtransactions	Prices of products sold by the Group to the related parties are based on market prices and the pricesstipulated by the controlling company are near to the market prices.

Including: total amount of related transactions that the listed company sold products to its controlling shareholder and subsidiaries was RMB 0.00 in the report period.

5.2 Particulars about main operations classified according to areas

Unit: RMB'0000

Areas	Income from main operations	Increase/decrease in income
		from main operations over the
		same period of last year (%)
China	2620120	35.13

Other countries in Asia	2,213,013	13.08
Europe	864,681	2926.01
America	536,398	-30.64

5.3 Other operations affecting material influence on net profit Applicable Inapplicable

5.4 Operation of share-holding companies (applicable to the situation where investment earnings takes over 10% of its net profit) Applicable Inapplicable

Unit: RMB'0000

Name of shareholding company		Top Victory Technology Co., Ltd.
Investment earnings contributed in theperiod		13,216.18
Proportion in net profit of the listedcompany		25.36%
Shareholding	Business scope	Mainly engaged in manufacture, design and sales of
company		various kinds of computer monitors. Main products
		are CRT monitor, LCD, PDP monitor. It is the
		second largest supplier of monitor all over the
		world.
	Net profit	51,781.28

5.5 Explanation on reasons of material changes in main operations and its structure Applicable Inapplicable

5.6 Explanation on reasons of material changes in profitability capability of main operations (gross profit ratio) than that in the last year

Applicable Inapplicable

(1) Decrease in gross profit ratio of monitor terminal product business was due to increase in production cost caused from increase in price of TFT-LCD.

(2) Increase in gross profit ratio of TFT-LCD business was due to increase in price of TFT-LCD influenced by relationships between demand and supply.

(3) Decrease in gross profit ratio of small-sized display devices was due to increase in inventories of Mono-color STN-LCD due to substituting CSTN-LCD for Mono-color STN-LCD.

5.7 Analysis to reasons of material changes in profit structure compared with the previous year

Applicable Inapplicable

The company accomplished the share-purchase of TPV in Dec. 2003. Increase in profit from investment was due to business scale-up of TPV.

5.8 Application of the raised proceeds

5.8.1 Use of the raised proceeds

Applicable Inapplicable

Unit: RMB'0000

Total amount of raised	204,816.00	Total	204,816.00	Totalamountof	204,816.00
proceeds		amountof		raisedproceeds
		raised		used
		proceeds		accumulatively
		used in the
		report year
Committed projects	Planned	Change	Actual	Accrued amount of	Compliance with
	amount of	projects or	amount of	earnings	planned progress
	input	not	input		and estimated
					earnings or not
RefundingbankloanamountingtoUSD90millioncausedbypurchaseofTFT-LCD	74,430.00	No	74,430.00	0.00	Yes
business from HYDIS
InvestingUSD22.35million in TFT Colored	18,483.00	No	18,483.00	0.00	Yes
Crystal Display Module
project
Refundingbankloan	70,295.00	No	70,295.00	0.00	Yes
amountingtoUSD85
million from purchase of
partialequityofTop
Victory Technology Co.,
Ltd.
Refundingbankloan	41,608.00	No	41,608.00	0.00	Yes
amountingtoRMB
416.08 million
Total	204,816.00	-	204,816.00	0.00	-
Explanationonnot	Inapplicable
reaching planned progress
and earnings (In detailed
projects)
Explanationonreasons	Inapplicable
and procedures of change
(In detailed projects)

5.8.2 Particulars about the changed projects Applicable Inapplicable

5.9 Plan of the Board on amending the business plan in the second half of the year Applicable Inapplicable

5.10 Estimation on accumulative net profit from the beginning of the year to the end of next report period to be loss probably or the warning of its material change compared with the corresponding period of the last year and explanation on reason

Applicable Inapplicable

5.11 Explanation of the Management on "Qualified Opinion" from the Certified Public Accountants in the report period

Applicable Inapplicable

5.12 Explanation of the Management on changes and disposal of the issues involved in "Qualified Opinion" from the Certified Public Accountants in the last year Applicable Inapplicable

§6. Significant Events

6.1 Acquisition and sales of assets and assets restructure

6.1.1 Assets acquired Applicable Inapplicable

6.1.2 Assets sold

Applicable Inapplicable

Unit: RMB'0000

The other party of	Date of sales	Transaction	Net profit of	Gains/losses	Related transactions
the transaction and		price	the sold assets	arising from	or not (if yes,
assets sold			contributed to	the sales	explaining the
			the listed		pricing rules)
			company from
			year-beginning
			to the date of
			sales
Equity of Beijing	Jan. 9, 2004	6,240.00	0.00	3,030.44	Thetransaction
Matsushita					price is confirmed
Lighting Co., Ltd.					basedonassets
					valueafter
					evaluated.

6.1.3 Progress of these events and its influence on the operating results and financial status in the report period after the report on assets restructure or public notice on acquisition and sales of assets being published

Applicable Inapplicable The registration procedures of changes that the Company transferred 30% equity of Beijing Matsushita Lighting Co., Ltd. to Japan Matsushita Electric Appliances Industrial Co., Ltd. have been accomplished which impact little importance on the company.

6.2 Guarantees

Applicable	Inapplicable

					Unit: RMB'0000
Name of objects	Date of	Amount of	Type of	Term of	Finish	Guarantee
guaranteed	happening	guarantee	guarantee	guarantee	implementation	for related
	(date of				or not	parties or
	agreement					not (yes or
	signing)					no)
Shaoxing TongliTool Co., Ltd.	May 17,2004	200.00	Guaranteeof joint andseveral	May 17, 2004 –Oct. 16, 2004	No	No
			liability
BeijingMunicipalCommunication"All-in-oneCard" Co., Ltd.	Jan. 29,2003	450.00	Guaranteeof joint andseveralliability	Jan. 29, 2003 –Apr. 22, 2006	No	No
Total amount of guarantees						650.00
	Including: total balance of related guarantees		450
Total illegal guarantees		0.00
Proportion of total guarantees in net assets of					11.90
the Company
Total guarantees provided by the listedcompany to its controlling subsidiaries						62,139.61

6.3 Current related credits and liabilities Applicable Inapplicable

					Unit: RMB'0000
			Funds provided to related	Funds provided by related
	Related		parties	parties to the Company
Related parties	relationship	Balance atDebitperiod-end			Balance at
				Credit	period-end
Top Victory Technology	Others	98,733.31	98,733.31	8,523.70	8,523.70
Co., Ltd.
Beijing Matsushita Color	Others	4,396.44	4,396.44	0.00	0.00
CRT Co., Ltd.
BeijingNittan	Others	0.00	0.00	103.67	103.67
Electronics Co., Ltd.
BeijingOrientMosler	Others	0.00	0.00	20.00	20.00
IntelligenceTechnology
Co., Ltd.
Total		103,129.75	103,129.75	8,647.37	8,647.37

Including: amount and balance of capital provided by the listed company to the controlling shareholder and its subsidiaries was RMB 1,778,900 and RMB 3,223,900 respectively in the report period.

6.4 Material lawsuits and arbitrations

Applicable Inapplicable

Controlling subsidiary of the Company, BOE-Hydis Technology Co., Ltd. received the notification from TFT-LCD related industry, which announced some of their patent were pirated and they asked for using expenses of privileges which were disclosed in Annual Report 2003. The Board believed that the investigation of the matter was still in progress. Presently it's hard to evaluate the potential result of lawsuit. Therefore, in the consolidated statements, the Company didn't withdraw any reserve for the contingent liabilities resulted from it.

6.5 Other significant events and explanation on analysis to their influences and solutions

Applicable Inapplicable

(I) Change in share equity structure of Beijing BOE Investment Development Co., Ltd. (hereinafter referred to as BOE Investment), the first largest shareholder of the Company. BOE Investment was the debt to equity company based on assets reorganization of former Beijing Telecommunication Apparatus Factory, invested and set up by Beijing Electronics Holding Company and China Huarong Assets Management Corporation in Dec., 2000 with holding proportion respectively 56.25% and 43.75%. China Huarong Assets Management Corporation retreated from BOE Investment through selling share equity of Beijing BOE Investment Development Co., Ltd. according to debt to equity policies. According to the need of the Company on propelling state-owned enterprise reform policies and enterprise development, BOE Investment implemented assets restructure according to market principles. Now China Huarong Asset Management Corporation has sold 43.75% equity of BOE Investment and Beijing Intelligent Science and Technology Development Co., Ltd. has held this equity.

To establish encouragement mechanism platform with competitive edge, partial key management technology members working for BOE Group, embodying all key management technology members, invested and set up Beijing Intelligence Kechuang Technology Development Co., Ltd., which was assigned 43.75% share equity of Beijing BOE Investment Development Co., Ltd. sold by China Huarong Assets Management Corporation.

After changes in shareholders' structure, Beijing Electronics Holding Company still holds 56.25% equity of BOE Investment, keeping the controlling position to BOE Investment while Beijing Intelligent Science and Technology Development Co., Ltd. holds 43.75% equity of BOE Investment, becoming the second largest shareholder of BOE Investment.

(II) On Dec. 31, 2003, the Company accomplished purchase of 26.36% share equity of Top Victory Technology Co., Ltd.(totaled 356,033,783 shares), and became the first principal shareholder of Top Victory Technology Co., Ltd.. In the report period, Top Victory Technology Co., Ltd. implemented the purchasing share equity plan. Because the person holding purchasing right exercised purchasing right and purchased shares totaled 44,164,000 shares. The total share capital of Top Victory Technology Co., Ltd. increased from 1,350,773,264 shares in the period beginning to 1, 394,937,264 shares in the period end. Therefore, the number of shares of Top Victory Technology Co., Ltd. held by the Company remained the same, but the proportion of holding shares decreased from 26.36% to 25.52%. The Company stilled kept the first principal shareholder.

(III) According to Notification of JFG [2004] No. 1314 Document promulgated by Beijing Municipal Commission of Development and Reform on Jul. 7, 2004, the 5th Thin Film Transistor-Liquid Crystal Display Project, which the Company invested and constructed, was approved by the State Council and National Development and Reform Commission (FGGJ[2004] No. 1258 Document). The total investment of the project was USD 1249 million, which the subsidiary of the Company, Beijing BOE Photoelectron Technology Co., Ltd. invested and constructed. As approved by Ministry of Commerce of the People's Republic of China (approval document)SZP[2004] No. 1107 Document) Ministry of Commerce's Reply on Approving Beijing BOE Photoelectron Technology Co., Ltd. Increasing Investment and Changing Operating Scope, the Company obtained SWWZZSZ[2004] No. 0189 Approving Certificate of PRC Foreign Enterprise Investing Enterprise and QHJZZ No. 018476 Enterprise Legal Person Operating License, and the registered capital of Beijing BOE Photoelectron Technology Co., Ltd. increased from USD 2,980 to USD 500 million. Up to now, the investment and construction of the project was implemented as formerly scheduled, and The registered capital of Beijing BOE Photoelectron Technology Co., Ltd. was available and bank group loan was in the submission to be replied in line with the procedures; The construction of the 5th generation TFT-LCD assembly line factory structure and clean workshop has been accomplished. Now the Company planned to install production equipment in the beginning of September, 2004; the progress of the 5th generation TFT-LCD assembly line putting into production on the 1st quarter of 2005 would not change.

( ) According to preceding contract, Beijing Ecnomics Technology development zone entrusted the BoeOT, which is the subsidiary of Boe, to structure the workshop for Beijing 5G TFT-LCD Fab. But now the parties relieve from the contract and the Beijing Electronics Holding Ltd guarantees that the Boe and Boeot will repay the fund invested by Beijing Ecnomics Technology development Zone.,which is about RMB350million.

§7. Financial Report

7.1 Auditing opinion

Financial Report	Unaudited		Audited
Auditing opinion	Unqualified	Qualified	Unaudited
	Full text of auditing opinion

7.2 Income statement of comparative consolidation and parent company

Income Statement (Domestic)

Prepared by BOE Technology Group Co., Ltd.

Unit: RMB000

BOE TECHNOLOGY GROUP CO., LTD.
CONSOLIDATED INCOME STATEMENT FOR SIX MONTH ENDED 30 JUNE 2004
(all amounts in RMB thousands)		ENDED 30 JUNE
	2004	2003
Sales	6,234,212	4,697,949
Cost of sales	(5,167,515)	(3,928,514)
Gross profit	1,066,697	769,435
Other operating income	24,215	20,404
Distribution costs	(128,362)	(131,500)
Administrative expenses	(517,911)	(305,056)
Other operating expenses	(22,706)	(1,850)
Profit from operations	421,933	351,433
Finance costs - net	(36,317)	(154,475)
Group profit before tax	385,616	196,958
Available-for-sale investments	7,021	-
Share of result of associates before tax	244,136	6,452
Profit before tax	636,773	203,410

7.3 Notes to financial report

7.3.1 Compared with the latest annual report period, there was no change in accounting policies and accounting estimates and correction in accounting errors in the report period.

7.3.2 Compared with the latest annual report, explanation on material changes in consolidated scope in the report period

Beijing BOE YAMATO Photoelectron Co., Ltd. was pending for clearing and assets of Beijing BOE Digital Technology Co., Ltd. has been sold, therefore, they were not listed in the consolidated scope of accounting statements in the report period.

7.3.3 List notes related to the involved issues if the Company is issued a qualified opinion

□Applicable √Inapplicable

Board of Directors of BOE Technology Group Co., Ltd. Aug. 27, 2004