Incident: East China CNC sales improved, and East China Heavy Industries construction progressed as scheduled. Question 1: According to the progress of high-speed rail construction, 2009 was the peak of demand for Borg board machine tools. If demand for this business falls in the future, will the company's Longmen machine orders be guaranteed? The company's Longmen Machine Tool achieved sales revenue of 367 million yuan in 2009, of which 300 million yuan was Bogle board machine tools. The company currently has orders of more than 400 million yuan for mobile phones, including more than 300 million yuan for Longmen machine tools (about 30 million yuan for Bogboard machine tools). The current sales situation of the company's Longmen Machine Tool is very good, and it is expected to grow by more than 25% throughout the year. The company's gantry machine tools are general-purpose equipment. The main areas of demand are machinery, military industry, ships, etc. The high-speed rail Borg plate grinder is only one type of gantry machine tool. The company squeezed orders for other gantry machine tools in 2009 because it took orders for high-speed rail, so the company's future development does not depend on high-speed rail. Question 2: Compared with Beiyi Longmen Milling, what are the advantages of the company's gantry milling products? The company's technology was improved step by step, from first learning from Taiwan and Korea to later learning from Japan and Germany. The company's gantry milling and Beiyi Machine have different technical sources. Huadong CNC mainly uses Heath technology, and Beiyi Machine has Coburg technology; both have advantages. Question 3: What is the extent of order recovery for the company's ordinary machine tools? The company's sales of ordinary machine tools exceeded expectations, and inventory was out of stock. The company used to work 8 hours a day, 6 days a week, but now it has been extended to 10 hours a day. Question 4: What is the extent of the impact of the increase in raw material prices on the company's gross margin? The main raw materials that account for the largest share of the company's product costs are castings, and casting costs account for an average of 18.99% of the company's main business costs. Due to large fluctuations in casting prices, the average purchase price of castings in 2008 and 2009 fluctuated 22.00% and -4.18%, respectively, compared to the previous year. Fluctuations in casting prices have less impact on CNC machine tool products and more on ordinary machine tool products. If the price of raw materials rises faster, the company will consider increasing the price. Question 5: Why was the first quarter's performance not as good as the fourth quarter? Mainly because there were few deliveries before March, machine tool sales have been active since the 2nd and 3rd quarters. Question 6: Can the company achieve the target of 30% performance growth in 2010, which is planned in the company's annual report? The company's business goals are based on a comprehensive judgment of the market, production capacity, and capital. The current sales situation is good, and the plan is likely to be realized. If there are no large orders for gantry machines, it is less likely to exceed expectations upwards.