Medlive Technology Co., Ltd. — Board/Management Information 2001

May 11, 2001

廣 東 科 龍 電 器 股 份 有 限 公 司

Guangdong Kelon Electrical Holdings Company Limited

(a joint stock limited company incorporated in the People's Republic of China with limited liability)

The following is the English version of the annoucement in Chinese version of which has been published by the Company in the People's Republic of China on 30th April, 2001:

Announcement on the Resolutions of the Fifth Meeting of the Second Panel of Directors of

Guangdong Kelon Electrical Holdings Company Limited

The fifth meeting (the "Meeting") of the second panel board of directors (the "Board") of Guangdong Kelon Electrical Holdings Company Limited (the "Company") was held on 27th April, 2001 at the Company's board room. The Meeting was attended by eight of the nine directors and all the supervisors and was in accordance with the "Company Law of the People's Republic of China" and the Articles of Association of the Company. The Meeting was chaired by chairman of the Board, Mr. Wang Guoduan, and the following resolutions were considered and approved:

1. That the results announcement of Guangdong Kelon Electrical Holdings Company Limited for the year 2000 be adopted, and the chairman of the Board, Mr. Wang Guoduan, be authorized to sign the announcement;

2. That the budget, the profit and loss statement and other financial statements of Guangdong Kelon Electrical Holdings Company Limited for the year 2000 be adopted;

3. That the profit distribution proposed of Guangdong Kelon Electrical Holdings Company Limited for the year 2000 be adopted. According to the audit of Arthur Anderson & Co, the Company recorded a loss for the year 2000, and the Board has proposed not to distribute any dividend for the year 2000 nor capitalisction any provident fund;

4. That the resignation of Mr. Wang Guoduan, Mr. Chen DingBang and Mr. Liang Yuanying as executive directors of the Company, the nomination of Mr. Xu Tiefeng, Mr. Li Zhenhua, Mr. Qu Yunbo and Ms. Yu Chor Woon, Carol to be the executive directors of the Company and Mr. Zhang Xusheng to be the non-executive director of the Company (please see the attached note for the biography) be considered and approved and also be proposed at the Company, 2000 annual general meeting for approval;

5. That the profit distribution policy for the year 2001 be considered and approved: In accordance with the spirit of "關於上市公司二零零零年度報告披露工作有關問題的通知" (The Notice On The Relevant Issues Regarding Disclosures in Annual Reports Of Listed Companies For The Year 2000) of the China Securities Regulatory Commission and having considered the actual situation of the Company, the Board proposed the Company to carry out profit distribution at least once in the year 2001. The portion of the net profit of the Company to be applied for distribution in the year 2001 will be around 30%-50% and will be distributed principally by way of cash dividend. The above distribution policy shall be implemented after being approved at the general meeting of the company where the board has proposed such policy, and the Board will retain the right to make any adjustment to the policy in line with any future development and profit status of the Company.

6. That it be proposed at the Company's annual general meeting to grant that the general mandates to the Board to exercise all the right (if appropriate and necessary) to allot and issue new shares, issue convertible bonds and repurchase shares of the Company in accordance with the applicable PRC laws and regulations (including but not limited to the Company Law, the Articles of Association of the Company and the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited) and subject to the condition that the permission of the China Securities Regulatory Commission has been granted.

7. That the date for the 2000 Annual General Meeting of the Company, the agenda of which to be determined later, be fixed on 18th June, 2001.

By order of the Board

Guangdong Kelong Electrical Holdings Company Limited

Yu Chor Woon, Carol

Secretary to the Board

27th April, 2001

Note:

1. Biography of Mr. XU Tiefeng

Mr. Xu, aged 46, is President of the Company. Mr. Xu was the former Chairman of Guangdong Kelon (Rongsheng) Company Limited and Party Secretary of Rongqi rural town. He was promoted to Governor of Ronggui, "the rural town of the PRC with the strongest economy*. Since 1984, Mr. Xu was responsible for supervising the economic development of Rongqi, during which he helped to develop various corporate brand names including "Kelon", "Rongsheng", "Guan Hua Feed factory", "Guangdong Medi-world Otsuka Pharmaceutical" and "Song Ben Industrial". He was a major driving force behind the listing of Kelon on the Hong Kong Stock Exchange and the Shenzhen Stock Exchange in 1996 and 1999 respectively. He joined the Company in June 2000 as President.

1. Biography of Mr. Li Zhenhua

Mr. Li, aged 49, tertiary educated. Mr. Li was the General Manager of Guangdong Macro Co., Ltd., Chairman of Macro Holding Co., Ltd., General Manger of Shunde Cheng Xin Investment Company. Other posts held by Mr. Li include Deputy Standing Chairman of Rongqi Economic Development Council, Deputy Town Master of Rongqi, Deputy Standing Chairman of Ronggui Public Assets Management Council and Deputy Town Master of Ronggui.

1. Biography of Mr. QU Yunbo

Mr. Qu, aged 38, is a Master of Engineering Management. Mr. Qu is now Vice-President of the Kelon Sales Department. He was the founder of Pilot Marketing Company Limited. He has published around 100 titles about sales and management, receiving high appraisal from the PRC market. Apart from overseeing the training of thousands of sales personnel in the PRC, he has also organized marketing consultancy and training projects for over 30 well-known enterprises in the PRC, including domestic appliances corporations like Kelon, Midea, Little Swan, TCL and Panda. Mr. Qu joined the Company in March 2000 and is responsible for sales and marketing management.

1. Biography of Ms. YU Chorwoon, Carol

Ms. Yu, aged 39, is Vice-President of the Finance Department and the Company Secretary. Ms Yu was previously a partner at Arthur Anderson & Co. Certified Public Accountants, one of the Big Five international audit firms. She was then promoted to general manager of an audit firm established by the Chinese Financial Department and Arthur Andersen & Co. While stationed in Beijing, she participated in various audit projects of H Share-listed companies. In 1995, she was appointed Regional Executive Director of Donaldson, Lufkin & Jenrette Securities, one of the largest investment bank in the US, and supervised the corporate finance and share issuance businesses in the PRC. Ms Yu joined Kelon in December 2000 and is responsible for the overall financial management of the Group.

1. Biography of Mr. Zhang Xusheng

Born in 1956, Mr. Zhang graduated from Anhui University with a Bachelor Degree in Laws. Later in 1986, he obtained a Master Degree in Laws from the Laws Department of Beijing University. Mr. Zhang held various posts in the Laws Department of Anhui University, Civil Aviation Administration of China and Haight, Gardner, Poor & Havens Law Firm. In 1992, he became one of the partners of Jingtian Associates of Beijing. Mr. Zhang is currently a partner and head of Jingtian & Gongcheng Attorneys at Law.

In 1994, Mr. Zhang was granted practicing qualification from the Ministry of Justice and the China Securities Regulatory Commission in respect of securities related legal matters. He participated in various listing projects in the PRC, Hong Kong and New York Stock Exchanges for a number of PRC companies and foreign companies mainly investing in the PRC.

Please also refer to the published version of this announcement in the i-Mail.