Iceberg Cold & Heat Technology Co., Ltd.
Iceberg Cold & Heat Technology Co., Ltd.
Iceberg Cold & Heat Technology Co., Ltd.
Iceberg Cold & Heat Technology Co., Ltd.

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Document No. 2: 2007 Annual Work Report of the Company’s Supervisory Board

Annual Work Report of the Company’s Supervisory Board for 2007

Document No. 2 for the 2007 Annual General Meeting

Annual Work Report of the Company’s Supervisory Board for 2007

Dear Shareholders:

In 2007, the Company’s Supervisory Board held three meetings. The tenth meeting of the fourth session of the Supervisory Board was held on April 24, 2007, in the Company’s fifth-floor conference room. At this meeting, the Board reviewed and approved the Supervisory Board’s Work Report for 2006; the “Supervisory Board Report” included in the Company’s 2006 Annual Report; and the audit opinions on the 2006 Annual Report and the first-quarter report for 2007. The eleventh meeting of the fourth session of the Supervisory Board was held on August 17, 2007, in the Company’s fifth-floor conference room. At this meeting, the Board reviewed and approved the Company’s 2007 Semi-Annual Report and its summary, as well as the written audit opinion on the 2007 Semi-Annual Report. The twelfth meeting of the fourth session of the Supervisory Board was held on October 25, 2007, in the Company’s fifth-floor conference room. At this meeting, the Board reviewed and approved the Company’s 2007 Third-Quarter Quarterly Report and the written audit opinion on the 2007 Third-Quarter Quarterly Report.

The Supervisory Board hereby expresses the following independent opinion on the following matters:

1. Compliance with the law in the company’s operations. The company’s decision-making procedures are lawful, and a relatively comprehensive internal control system has been established. During the performance of their duties, the company’s directors and managers have not engaged in any conduct that violates laws, regulations, the company’s articles of association, or that harms the company’s interests.

2. Financial condition of the company: Dalian Hualian Certified Public Accountants LLP has issued an unqualified audit report. The financial statements faithfully reflect the company’s financial position and operating results.

3. During the reporting period, the Company did not raise any new capital, nor did it continue to utilize funds raised in prior years.

4. During the reporting period, the company’s related-party transactions primarily involved the purchase of goods from and additional investments in affiliated companies. Such related-party transactions were conducted on a fair basis and did not prejudice the company’s interests.

5. The company’s provision for asset impairment for the year 2007 was made in accordance with lawful resolution procedures and supported by sufficient supporting evidence.

The above report is submitted for your review.

May 20, 2008

 

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