270 million additional shares into local power grid assets

Tong Bao Energy (600780) to the controlling shareholder Shanxi International Power Group Co., Ltd. and its wholly-owned subsidiary Shanxi International Power Asset Management Co. According to the estimated 1.536 billion yuan of the assets as at June 30, 2010 and the price of the shares issued 5.63 yuan/share, the total number of shares issued is about 272.8242 million shares, of which: to Shanxi State Electricity, the state electricity assets issued shares of about 270.096 million shares, 2.7282 million shares.　　This major asset reorganization constitutes a related transaction, has been approved by the SASAC in Shanxi province. The announcement said that the transaction will be the quality of local power grid assets into the listed companies, not only expanded the main business of the Tong Bao Energy, but also greatly improved the profitability of tong Bao Energy and sustainable development capacity, to achieve the Shanxi State electric power distribution business overall listing. After the completion of the transaction, the company will be the original single thermal power business change for the firepower generation and distribution business of two main businesses.