Fort Group Investment Ltd. has signed a new Memorandum of Intent with the Beihai Municipal Government. After having signed a Letter of Understanding in June 2007 and after further negotiations this Memorandum of Intent further defines the goals of the partnership. It specifically mentions:

1. The development of a class III and grade-A hospital and health care base with over 800 beds with a long term planned land covergage of about 133 hectar.

2. A university of Traditional Chinese Medicine and Western Medicine Exchange located in the eastern part of Beihai Silver Beach with a planned land coverage of about 66 hectar.

3. Traditional Chinese Medicine manufacturing and Traditional Chinese Medicine Green Plantation base. Sites are further to be negotiated.

4. Planned total investment for the above mentioned projects amounts to US$ 2 billion.

5. The first project to be kicked off by June 2008.

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