The results of the preliminary price inquiry of Zhejiang Guangbo Group Stock Co., Ltd (issuer in short) initial public offering no more than 48 million common stock (this issuance in short) has finished on December 20, 2006. According to the results, the quantity of this issuance is 48 million share and the issuing price is 6.60 yuan per share.

Xingye securities, as the sponsor of this issuance, will network rationing at from 9:00 to 17:00 on December 22, 2006 and at from 9:00 to 15:00 on December 25, 2006, with network issuing at from 9:30 to 11:30, 13:00 to 15:00 on December 25, 2006. The aboving relevant matters will show in “network issuing announcement”, which issues in the “China Securities Newspaper”, “Shanghai Securities Newspaper” and “Securities Times”.

The rationing and issuing of this issuance will carry out at the same time. The time of under network rationing is from 9:00 to 17:00 on December 22, 2006, and from 9:00 to 15:00 on December 25, 2006. The time of above network issuing is from 9:30 to 11:30, from 13:00 to 15:00 on December 25, 2006.

The announcement of the preliminary inquiry results of this issuance is as following:

1. The organizing of the preliminary price inquiry

During the preliminary price inquiry of this issuance, Xingye securities and the issuer hold promotion conference successively in Shanghai, Shenzhen and Beijing. At the deadline of 17:00, on December 20, 2006, Xingye securities receives the quotation from 91 inquiry objects all together, which give their quotations in limited time. Besides, the scope of quoted price accords with related regulations, all of which is valid quotation. According to the statistics, the total scope of quoted price of aboving inquiry objects is 5.30 yuan per share to 9.25 yuan per share.

2. Issuing scale, issuing price and its determination basis

According to the quotation, issuer and Xingye securities consider the basic situation of the issuer, the evaluation level of the counterpart, the capital need for investment and the production and management state of the issuer, finally decide the quality of this issuance, that is 48 million share. Including 9,600,000 share of the network rationing, accunt for 20% of this issuing. 34,800,000 share of the fixed price issuing, accunt for 80% of the total issuing. Finally decide the issuing price of rationing and issuing, that is, 6.60 yuan per share. Its corresponding payoff rate is as following: 22.76 times and 30.41 times.

3. Under network rationing

Xingye securities as the the sponsor of this issuance accepts the pricing purchase from the rationing objects from 9:00 to 17:00 on December 22, 2006 and from 9:00 to 15:00 on December 25, 2006. The price of this under network rationing is 6.60 yuan per share. The participants should hand in the acquisition fee in full. Every rationing object must ensure the acquisition capital from appointed bank account before 16:00 on December 25, 2006. The one that is not following the aboving mentioned regulations is unvalid purchase. Only those who participate the preliminary price inquiry can engage in the under network rationing. You can see the namelist from the “network issuing announcement”of “China Securities Newspaper”, “Shanghai Securities Newspaper” and “Securities Times” on December 22, 2006.

In order to have enough time to purchase, rationing objects should transfer the purchasing items as soon as possible. Investers should pay attention to the duration of the capital transferring process.

4. Online issuing

This issuance is implemented according to the “