Integrate its high-voltage equipment companies to accelerate the launch of GIS switch products: In 2009, the company vigorously integrated its high-voltage projects, taking the holding subsidiary Tianjin Baili Switch Equipment Co., Ltd. (hereinafter referred to as Baili Switch) as the main body to absorb and merge Tianjin Baili High Voltage Electric Co., Ltd. and Tianjin Baili Transmission Equipment Co., Ltd. to develop high-value-added transmission and distribution products. Bailey Switch has developed a 126kV GIS switch and is about to pass certification by the State Grid Corporation. On December 30, 2009, the board of directors of Bailey Electric decided that the company and Tianjin Taikang Industrial Development Co., Ltd., the other shareholder of Bailey Switch, would increase the capital of Bailey Switch by a total of 68 million yuan for GIS project production and construction. The company invested 47.89 million yuan in this capital increase. Complete the integration of Ganzhou tungsten and molybdenum processing business: The 8th meeting of the fourth board of directors of the company deliberated and approved the acquisition of 48.324% shares of Ganzhou Tejing from natural person shareholders of Ganzhou Tejing Tungsten & Molybdenum Co., Ltd. (hereinafter referred to as Ganzhou Tejing), a holding subsidiary of the company, and was approved by the company's 2nd Extraordinary General Meeting of Shareholders in 2009. After the acquisition was completed, the company held 100% of the shares in Ganzhou Special Precision Co., Ltd. On December 30, 2009, the board of directors decided to invest 20 million yuan to establish Ganzhou Bailey (Tianjin) Tungsten & Molybdenum Co., Ltd. in Ganzhou, Jiangxi to expand production by Ganzhou Special Precision Company. After the new company is built, the old company will be absorbed and merged, and the old company will go through cancellation procedures in accordance with relevant regulations. Up to now, all equity acquisition procedures for Ganzhou Special Precision Company have been completed, and the site selection work for the new company has been initially completed. We expect that in order to increase profitability in the future, the company must develop upstream tungsten ore mining or tungsten and molybdenum metal deep processing industries. Investment rating: We expect the company's earnings per share from 2010 to 2012 to be 0.16, 0.25 and 0.30 yuan. We will not give a target price yet, and maintain the “Prudent Recommendation - B” investment rating.