Relevant departments of the Party Central Committee, all ministries and commissions of the State Council and their directly affiliated institutions, the General Office of the Standing Committee of the National People's Congress, the General Office of the National Committee of the Chinese People's Political Consultative Conference, the General Logistics Department of the People's Liberation Army, the Headquarters of the Armed Police Force, the finance departments (bureaus) of all provinces, autonomous regions, municipalities directly under the central government, and cities under separate planning, the Finance Bureau of the Xinjiang Production and Construction Corps, and all centrally-administered enterprises:

Since the issuance of the “Notice of the Ministry of Finance on Strengthening Financial Management of Corporate Donations to Foreign Entities” (Cai Qi [2003] No. 95), positive effects have been achieved in standardizing the overseas donation activities of domestic enterprises, safeguarding the rights and interests of owners, and promoting the development of social public welfare undertakings. With the continuous improvement of China’s capital market and the growing awareness of social public welfare, new trends have emerged in corporate overseas donations. To further advance the development of social public welfare and guide enterprises to carry out charitable donations in a standardized manner, we hereby issue the following notice regarding financial matters related to corporate charitable donations made using equity holdings (including enterprise ownership and company shares; the same applies hereinafter):

1. Enterprises in which natural persons, non-state-owned legal entities, and other economic organizations hold controlling interests may, after undergoing the internal decision-making procedures required by law and being reviewed and approved by the investors, use their equity holdings for public-interest donations.

II. When an enterprise makes a charitable donation using equity holdings, such donation shall be made on the premise that it does not impair the enterprise’s ability to repay its debts. The recipient of the donation must be a publicly beneficial social organization or a non-profit public institution established in accordance with the law. After making the donation, the enterprise must complete the necessary procedures for changing the equity ownership, cease exercising shareholder rights over the donated equity, and may not demand any financial compensation from the recipient entity.

3. In the case of public-interest donations involving equity interests in listed companies, both the donor and the recipient shall comply with the Securities Law and other relevant regulations on securities supervision, and fulfill their corresponding commitments and information disclosure obligations.

4. This notice shall take effect from the date of its issuance. In case of any inconsistency between the original financial regulations issued by the Ministry of Finance and this notice, the provisions of this notice shall prevail.

Ministry of Finance

October 20, 2009