We are incorporated in the Cayman Islands and substantially all of our assets are located outside of the United States. We conduct substantially all of our operations in China through our wholly-owned subsidiaries in China. The majority of our officers and directors reside outside of the United States and a substantial portion of the assets of those persons are located outside of the United States. As a result, it may be difficult for our shareholders to bring actions against us or these individuals in the Cayman Islands or in China in the event that shareholders believe their rights have been infringed under the securities laws or otherwise. Even if shareholders are successful in bringing an action of this kind, the laws of the Cayman Islands and of China may make it difficult or impossible for such shareholders to enforce judgments against our assets or the assets of our directors and officers. In addition there is uncertainty as to whether the courts of the Cayman Islands or [China] would recognize or enforce judgments of U.S. courts against us or such persons predicated upon the civil liability provisions of the securities laws of the United States or ay state, and it is uncertain whether such Cayman Islands or [China] courts would be competent to hear original actions brought in the Cayman Islands or [China] against us of such persons predicated upon the securities laws of the United States or any state.