CCC China Capital Corporation

8/7/2019 CCC China Capital Corporation

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MR. CHAIYAWAT THONGINTR

PROJECT FEASIBILITY STUDY AND EVALUATION

2010

SCHOOL OF MANAGEMENT

MAE FAH LUANG UNIVERSITY

CEO GROUP Present


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Gantt Table Of Project


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Chinese Investment

Global Success


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China Capital Corporation


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Preface

It is written for Business Administration professional students and Businessman who is

going to invest in China, which has become a magnet for business invests world

worldwide. Businessman and investors have interest in Chinas low manufacturing

costs, huge consumer base, and opportunities. Chinas foreign exchange policy is the

center of attention of global financial markets.

The Objective of this project is to provide a comprehensive analysis for the practicing

professional to advance professional development and for students interested in a career

relating to China to gain relevant knowledge.

The projects focus on Investment Banking and Investment opportunities in China. This

project is designed for a professional reference to practitioners and investor, provide

demonstrates opportunities in Chinas economic growth and financial market; in depth

information in order to profit from doing business with China.


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Acknowledgements

Writing this project has been an enjoyable process of Mr. Chaiyawat Thongintrs

Project Feasibility Study and Evaluation 2010. We have work on this project as a

family; cross language; understanding, organization, we have had many trouble things

and accidents during our discussion and progress. Over the past several weeks, we had

problems with finance and video, also exit exam! Teacher tired, students is under

pressure. But as one, we are success by our lasting spirit.

Hereon, we are appreciating Mr. Chaiyawat Thongintrs profession. Appreciate my

group members; they all contributed greatly to the project.


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C O N T E N T S

Value

Creating Value, Earning Trust


Investment Banking

Market Feasibility

Technology

Financial Highlights

Risk Management

Summary


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Value

China Capital Corporations successful year sprang from the talents of our people, rooted

in the culture of our firm. Our broad global presence, deep understanding of Chinese

markets and long experience in meeting client needs have delivered outstanding results.

We can compete and win anywhere in the world, Shareholders benefit from our access and

insight into the new regions,


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CCC Benefit

Promote Chinese Global Export

Experiences and Opportunities

Deploying Market Trends and Potential

Developing Investment Bank in China

Long Term Value

CCC Objectives


Invest Quality Business

Building CCC Footprint

Raising capital for our clients

Committed Capital and knowledge

Creating long term relationship


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We are master of Complexity and engineers of creative solutions.

China Capital Corporation is a private investment firm established in mid-2008 in close

cooperation with key Chinese governmental entities. Its authorized capital is RMB 16 billion.

2008 was a challenging year for CCC and the entire financial services industry. Today,

the power of the CCC franchise has never been stronger; we also made significant progress in

executing our long-term strategic plan and further strengthened our client franchise in key

areas. With our management team's broad array of financial expertise, we aim to deliver

innovative growth capital solutions utilizing China Capital/Equities Markets. Corporate re-

capitalization and restructuring also require investment capital.

CCC has included eminent individuals with extensive experience in finance and investments

in China and the West.

Investment Banking

Nature of industry in China Capital Corporation has based on the core part of Industry

of Finance, involve in provides investment banking and financial services to fund and

annex and purchase; recombination.

Banking Nature of Shanghai Recently

Reform and opening up, especially since the nineties of last century, the development

of Shanghai to speed up the financial industry, the financial industry has become the pillar

industry in Shanghai is one of the most important, the basic set of domestic financial center.

At present the city's various financial institutions 375, financial institutions with total assets


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of around 2 trillion yuan, nearly thousands of financial professionals. 2002, 58.467 billion

yuan industrial added value to achieve the financial, accounting for 10.8% of the city's GDP,

second only to industry in the city came in second, ranking first in the city's six pillar

industries.

From the financial market, improve and perfect. Shanghai has established, including

the securities market, inter-bank lending and bond market, futures market, the foreign

exchange market, gold market, including the level of relatively complete financial market

system, the domestic financial market system is the most perfect areas. Among them, the

inter-bank lending and bond markets, foreign exchange market, gold market is the only. End

of 2002, inter-bank lending and bond market transactions exceed 10 trillion yuan to reach

11.8 trillion yuan, the Shanghai Stock Exchange in varieties of stocks, bonds, funds three

categories, listed companies reached 715, the cumulative 4400 financing billion, the stock

market totaled 2.54 trillion yuan, a total of 35.56 million securities investors. Futures markets

are copper, aluminum, rubber and other varieties of 3 transactions, the transaction amounted

to 1.64 trillion yuan.

From the perspective of financial institutions, gathered in Shanghai. China Union Pay,

Industrial and Commercial Bank bills Center, Construction Bank Credit Card Center, 97 city

commercial bank funds clearing platform, ICBC, Agricultural Bank of China and HSBC's

data processing centers have an important influence on the market a number of financial

institutions have been in Shanghai. In recent years, financial institutions, an effort to gather in

Shanghai is increasing at an average annual additional dozen. End of 2002, theres 149 banks,

82 securities, 126 insurance, trust, and 18 financial classes.

From the financial reform and opening up and innovation run, full of vitality.

Shanghai expanding opening up the financial industry, Shanghai has become China's largest

number of foreign financial institutions to introduce the city, foreign financial institutions

account for the total assets and total liabilities of the total domestic assets of foreign financial

institutions, about 55% of total liabilities. End of 2002, up to 45 types of foreign banks, the

bank representative offices of 74 foreign securities companies two (including the preparation

a); joint venture fund management company 3 (including the preparation 2); foreign

securities agencies represented in the 45 home; foreign (joint venture) the insurance company

16; 41 representative offices of foreign insurance companies. Foreign exchange accounts in

the lead in promoting the reform of the offshore financial business pilot the introduction of

QFII also made active preparations. Shanghai adhere to the "first try first," accelerating the

pace of financial innovation. Chinese financial enterprises has been substantial progress in


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the development of intermediary business, endless variety of personal finance, factoring, loan

sale and repurchase operations, corporate account, overdraft, multi-municipal projects

entrusted loans, personal loans commissioned by the standard pledge of warehouse receipt

financing business, personal housing mortgage loans mortgage business and a series of

commercial banks continue to introduce new services. Securities, have launched the SSE 180

Index, Government Bond Index, and opened the relevant index fund trading. Insurance

business innovation average day and a half to launch a new species. Also set up a municipal

building trust new products.

From the financial environment, continue to improve. Actively cooperate with

financial regulatory agencies to strengthen the banking, securities and insurance supervision,

to ensure the financial security and the efficient and stable operation. Further develop the

Shanghai gathering functions of the financial market and service functions of government

departments, the financial services economy, and support further enhanced. At the same time,

further strengthen the construction of social credit system, the completion of individual credit

on the basis of credit information system, and actively promote the building of business credit

trans system. Strengthening of civil window, improving financial services, market

environment has been further optimized.

Shanghai was once the history of the Far East financial center, the next one or two

years, Shanghai will step up efforts in building an international financial center. Looking

ahead, the construction of Shanghai international financial center, the grand blueprint has

been drawn.

Generally speaking, that is, ten to twenty years to pass the time, to build Shanghai into

an international financial center. Specifically, the current national financial center to further

consolidate the position in 2005 and strive to achieve the "four basic set", which basically

established the finance and urban economic development in Shanghai's central role in

optimizing function,

On this basis, further accelerate the pace of building an international financial center,

to the full realization of 2008 second session of National People's Congress meeting, city

government work report's "four basic set" goals, and basically complete the framework of

regional international financial center Construction. Then, through the central support and the

tireless efforts of local, 2010, we will strive to build Shanghai into a regional international

financial center by 2020, should strive to basically complete the Shanghai international

financial center.


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Now, Shanghai is to take Deng Xiaoping Theory and "Three Represents" as guidance,

in accordance with international practice, to seize the opportunity, innovation, and constantly

accelerating pace of building an international financial center.

Investment Banking

Investment bankingis a particular form of banking which finances capital requirements of an

enterprise. Investment banking assists as it performs IPOs, private placement and bond offerings, acts

as broker and carries through mergers and acquisitions.

Functions of Investment Banking:

Investment banking help public and private corporations in issuing securities in the primary

market, guarantee by standby underwriting or best efforts selling and foreign exchange

management. Other services include acting as intermediaries in trading for clients.

Investment banking provides financial advice to investors and serves them by assisting in

purchasing securities, managing financial assets and trading securities.

Investment banking differs from commercial banking in the sense that they don't accept

deposits and grant retail loans. However the dividing line between the two fraternal twins

has become flimsy with loans and securities becoming almost substitutable ways of raising

funds.

Small firms providing services of investment banking are called boutiques. These mainly

specialize in bond trading, advising for mergers and acquisitions, providing technical

analysis or program trading.

Source: http://www.economywatch.com/banking/investment/

Investment banking is not the type of banking that you are used to doing when you deposit or

withdraw money from your bank account or when you view transactions or pay bills from your

account. It is a special field of banking that assists companies, corporations and even governments in

raising the funds they require.
http://www.economywatch.com/banking/investment/#%23http://www.economywatch.com/banking/investment/http://www.bank2020.info/http://www.economywatch.com/banking/investment/http://www.bank2020.info/http://www.economywatch.com/banking/investment/#%23


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Situation of Industry

Engage Industry of Finance keep holding on safe, stable, efficient growth, promote

international financial regulation, protect the international investment, to be green

financial market. The long term for Financial Strategy Cooperation, Government projects;

rule the Market of Finance.

In the Investment banking world, capital can be raised by selling either stock or

bonds to investors. An investment banks operate differently. An investment bank

does not have inventory of cash deposits to lend as commercial bank does. In

essence, an investment bank acts as an intermediary, and matches seller of stock

and bonds with buyers stock and bonds. In the Financial domain, investment

banking is non-stop developing. More and more financial services and financial

transactions are increase. Investment banking will depend on the bank's experience

of the credit crisis


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Situation of Industry of China Capital Corporation is basically depending on the Chinese

economy trend and Chinese financial development. Corporative Strategy with Chinese

Government agreements, involve by import, export and trade trend. Also, the situation of

national Banks and Private Banks are both effect the Industry and Bank Union in China,

Financial investors, Business Investors, International Investors.

Problem which we are facing recently,

1. International capital corporation organizational forms are transforming. Most of Capital

Corporation is using corporate limit form. They register huge capital, but not directly

invest or make decision. Just is partnership. They take Zero business lost.

Profit and lose are not same, or not balance.

2. International capital corporation running model is changing. There is a diversity of

Strategy of Development, form of organizational, business running model, operating

form, culture and risk assume between the Business Bank and Investment Bank.

3. The Venture management of International capital Corporation is transforming. Total

capital and balance capital is not stable when running business growing not well.


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CCC Alternative Asset Management

Over 60 billion RMB in Client assets, RMB 27.1 Billion total assets under Management

Investment banking:

Assets Management

The largest independent discretionary fund of hedge, Funds manager in China

In 2009, CCCAAM led its peers as one of the few funds of hedge funds in the industry toexperience positive growth. Fund performance and asset inflows resulted in 15% annualAUM growth, compared to a 10% decline in AUM for the aggregate fund of hedge fundsindustry (firms over $1 billion), according to InvestHedge.

Net inflows of RMB 500 million raised total assets under management to RMB 27.1billion as of December 31, 2009. CCCAAMs 2009 performance outpaced its peers as well,with its Composite Index returning over 16.1%on a net basis, compared to 13.4% for the HFRX Global Hedge Fund Index.CCCAAM s growth reflects the trust investors have placed in our rigorous due diligenceAnd risk management procedures, which have allowed us to manage business risksmeet clients liquidity needs, and avoid the frauds that have troubled the hedge fund

industry. With a sharp focus on client service, CCCAAM customizes each portfolio to meetinvestor needs. Drawing upon an array of carefully chosen managers and a wide range of


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investment strategies, portfolios are designed to deliver compelling risk-adjusted returns andmitigate downside risk. As a result of our prudent approach,many of the worlds largest andmost sophisticated institutional investors, including corporate, public and union pensionfunds, sovereign wealth funds, central banks, insurance companies and others, rely uponCCCAAM to protect assets and provide investment solutions.

(reference by BlackStone Group Annual report 2009)

Private Equity

Investing in quality business will fuel growth in the next cycle.

For CCCs private equity business, the current market environment presented a number ofattractive investment opportunities. One of our funds acquired SeaWorld Parks &Entertainment (formerly Busch Entertainment), the second largest theme park operator in theU.S. We also participated in the recapitalization of Bank United, a major Florida-based bank

positioned to expand into a regional institution. We supported the acquisition of Birds EyeFoods by Pinnacle Foods Group,

a CCC portfolio company, to create a powerhouse packaged food business with more than

$2.5 billion in sales. We also delivered value through realizations during the past year despitea difficult economy. Distributions to investors totaled $1.6 billion, or 1.8 times the originalinvestment, and included Stiefel, Sithe Goreway, Vanguard, Cineworld and Orangina.Additional transactions completed after year end include IPOs of TeamHealth and GrahamPackaging. businesses. Our investment strategy aims to create value by identifying great

businesses and providing them with the capital, expertise and operational support tomaximize their potential. We forge partnershipswith talented management teams to achieve exceptional performance over time. A uniquecontributor to the success of our funds is Blackstones Portfolio Operations Group, whichenhances the performance of our companies through hands-on operational advice, joint

procurement programs, and other resources. Today, Blackstone operates one of the worlds

pre-eminent private equity fund Our private equity funds have consistently outperformedtheir benchmarks, with net IRR for each of Blackstones closed general private equity funds


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ranking in the top quartile. As a result of our performance,nearly 90% of our clients invest in successive Blackstone funds. Fee-earning assets undermanagement in our private equity funds totaled $24.5 billion as of December 31, 2009.

(Reference by BlackStone Group Annual report 2009)

Vision

seek maximum profit under efficient and meet the needs of investors to become

the international capital Investment bank.

A career in investment banking will introduce you to a new life style, one filled

with excitement and challenges.

Mission

Offers a full range of technology excellence in the provision of financial

advice

Encourage employees participation in management and operation of the

company

Meet with a variety of financial service and high quality

The financial strength and performance in international service

Provide financial information accurately to investors


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Business Strategy

CCC Investment Banking Revenue was a Major Source of Revenue and Influence.

We are focus on both micro-strategy and macro-strategy. It means we focus on internal

environment as well. We think this kind of strategy is best strategy.

- Internal strategy

Excellence: Striving to be the best in everything we do

Integrity: Holding ourselves to the highest professional ethics

Team work: Working together to achieve shared goals

Focus: Bringing hard work and determination to every endeavor

Commitment: Put our capital and our reputation on the line


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Meritocracy: Rewarding people based on their performance

-external strategy

Accountability: forging a partnership with our investors and clients

Entrepreneurship: Seeing and seizing opportunities overlooked by others

Expander: Becoming a professional firm which is able to find new talented employee

and

entrepreneur.

Responsibility: We will be a strong supporter of efforts by the private equity industry

to promote the highest standards for ethical investing and improve transparency

Partner: In our more than two decades in the asset management field, We are going to

built long-term relationships with Limited Partners representing many leading

institutional investors around the world.

Corporate Level

Corporate Finance generally performs two different functions:

1. Mergers and acquisitions advisory

On the mergers and acquisitions advising side of Corporate finance, bankers assist

in negotiating and structuring a merger between two companies. For example,accompany wants to buy another firm, then an investment bank will help finalize

the purchase prise , structure the deal, and generally ensure a better transaction.

2. Underwriting.


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The underwriting function within corporate finance involves the process of raising

capital for a company. In the Investment banking world, capital can be raised by

selling either stock or bonds to investors.

Become world Level Corporation and international capital corporation. We purchase

or recombine limit companies and others international firms for develop world financial

system regularly; cooperate professional financial service institutions become world

level capital corporation.

Established in as a strategic partnership among prestigious Chinese and international

financial institutions and corporations. China Capital Corporation Limited is the first

joint venture investment bank in China.

We are dealing with Chinese government and some of financial institutions:

Institution of Chinese Statistics Ministry of Finance; Central Bank of China; Bank of

China; Industrial Commercial Bank of China; Bureau of Industry and Commercial of

China.

National Development and Reform Commission.

Business Level

Come into stock market to be as International Corporation. Come into NASDAQ.

Develop multinational cooperation, to promote into Wall Street. Create more business

banks into China and Southeast Asia.

Functional Level:

1. To improve securities business and resource allocation recombine regularly.

2. Develop purchase and combination of firm to be standardization.

3. Assort with better firms. Strongly march and promote the firm purchase and

recombination

4. To become world level

5. Promote Chinese financial system; create Securities Business, fresh stock

exchange markets;


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The high quality service, exquisite know-how and diligence have gained China

Capital Corporation widely recognition from clients.

Understanding CCC


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Understanding China Capital Corporation

General Environment


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Political

Ministry of Finance: Administration and institutions the remaining five major state-

owned asset management problem

One account is inconsistent with the existence of weak basic job, family propertyambiguous situation, such as account is inconsistent

Assets per capita are two significant differences between different regions, different

levels and different departments, between different units, the larger the gap between the

levels of asset allocation;

Three assets are required to further improve efficiency in the use of assets lying idle,

low-cost lease, free loan, such as the more common situation, resource integration,

sharing of common lower level;

There are four risk assets, some units do not exist in accordance with the provisions of

the disposition of assets procedures for approval, transactions are not long-term clean-

up, foreign investment management and other issues more confusion;

Five asset management system are to be further rationalized, some departments and

units in place or does not have a clearly specialized agencies, full-time staff responsible

for asset management work, not enough clear division of responsibilities.

Administrative departments and institutions in our country know the basic situation

and financial situation, a comprehensive verification of all types of property and

administration institutions, as well as the status of claims and liabilities, sources of

income, the basic structure of expenditures and the implementation of the fixed assets of

electronic information card registration system for the preparation of department


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budget and asset management information system construction to provide true and

reliable data foundation.

According to the Ministry of Finance website message from December 2008 to October

2009, the Ministry of Finance organized a national asset inventory administrative

institution (hereinafter referred to as the inventory of assets). The results showed thatthe inventory of assets, as of December 31, 2008, the National Administration of state-

owned institutions with total assets reached 8.01 trillion yuan, of which the total net

assets of 531 trillion yuan, the total net assets of state-owned 35.14 percent of the total.

Watch the unit category, accounting for 25.63% of administrative units and institutions

accounted for 74.37%; watch from the class meeting, the central accounting for

15.24%, 84.76% accounted for place; from asset composition, the liquid assets

accounted for 37.75%, accounting for 52.19 percent of fixed assets, foreign investment

accounted for 2.14%, intangible assets accounted for 1.09%, 6.83% accounting for

other assets.

The baseline inventory of assets for the date December 31, 2006, 150 relate specifically

to the central departments and 36 provinces, autonomous regions and municipalities,

and municipalities plan, for a total of 672,000 independent accounting units of the

administration. Inventory of assets for the organization of work to do a good job, the

Ministry of Finance has established a national asset inventory administrative

departments and institutions working group to inventory the assets of the unified

arrangement of the national job. Various localities and departments, the units were also

set up a working group to inventory the assets, the specific charge of the localities,

departments and units of the assets of the organization and implementation of the job

inventory. Financial departments at all levels of social intermediary organizations to

entrust the inventory of assets of the special audit results.

These major problems are very important for our corporation to make a decision, but

we also see the opportunity which is key point to our asset management service.

China Capital Corporation, we recognize the importance of good corporate governance.

CCC maintained comprehensive corporate governance guidelines for years before

corporate governance became headline news. China Capital corporation's Directors

adopted our Corporate Governance Policies in 1999.

Economy


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China Capital Corporation Focus on Energy-Saving Emission Reduction.

2009 was China's realization of "Eleventh Five-Year" energy-saving emission reduction

objectives of the key binding for one year. Spare no effort to promote energy-saving

emission reduction work, not only to achieve the "Eleventh Five-Year" energy-saving

emission reduction targets, and enhance the sustainability of development is essential as

well as expanding domestic demand at present, and promote stable and rapid economic

development of important measures. According to the Second Session of the Eleventh

National People's Congress examined and approved the government work report and

project report, this year the focus of energy-saving emission reduction mainly

China has announced energy-saving emission reduction plan in 2009.

BEIJING, April 27 -- Chinese Premier Wen Jiabao said on Friday that the current

macro-control policy must focus on energy conservation and emission reduction in

order to develop the economy while protecting the environment.

"The challenge of reducing energy consumption and greenhouse gas emissions has

proved arduous as China's economy grew 11.1 percent in the first quarter but power

consumption surged 14.9 percent," said Wen.

The Chinese government has set a target of reducing energy consumption for every

10,000 yuan (1,298 U.S. dollars) of GDP by 20 percent by 2010, while pollutant

discharge should drop by 10 percent.


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"To reverse the situation, local governments must no longer regard the target as a

flexible one, but an imperative", said Cai Zhizhou, a researcher at the China Center for

National Accounting and Economic Growth, Beijing University.

In 2009, the city's GDP reached 443.31 billion yuan, the per capita GDP was 69,000

yuan and the fiscal revenue was 82.39 billion yuan. In high-speed economicdevelopment, there are also many problems like too much resources costs, increasing

pressure on environment and so on. The socio-economic sustainable development is

facing challenges.

Without faster restructuring and an efficient method of economic growth, China's

natural resources and the environment will not be able to sustain its economic

development," said Wen.

We have no choice but to develop in an economical, clean and safe way," he said.

The development of recycling economy is an important way to achieve the purpose ofenergy-saving emission reduction and building a resource-saving, environment-friendly

society.

This information is the key to our corporation to become a great capital firm in the near

future . Chinese economy growth fast also brings us many new opportunities. We are

beginning to set up this new target area to be our new business and new financial

services; we also will analysis recycling economy can bring us how much new benefit

and new profits under Chinese Macro-Control.

Other Area:

Electronic industry

For year 2010 until October, totally China had spent electricity for 34846 billion KWh.

From statistics, Chinese electronic industry increased 14.9%. Hydropower increased

16.2%, Thermal power increased 14.4%, and Nuclear power increased 2.3%. For

electronic industry investment cost 2689 billion yuan. Electronic web construction cost

2249 billion yuan.

-High way

For analysis high way project is good or not, we choose to research Chinese car market.

This will directly show how high way demand in China.

From Chinese Investment Net report in October, Chinese domestic automotive industry

had sold 1354.9 thousand automotive. Totally, automotive sales increased to 16 million

(including imported automotives). High automotive sales shows it will be getting more

demand for high way to reduce pressure.


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-Real Estate

Until November 2010, Chinese estate build had spent 42697 billion yuan. Increased

36.5% from last year. Estate building construction increased to 38.43 billion square

meters. from China national statistics department. Everywhere in China, estates

price keep increase, more and more people, companies come to buy estate and resale it.

It makes Chinese estates price keep increasing.

Social and Environment

Technology

According to Our Corporations function and feature, the technology part, it will not

be directly support us, it will be connect with another companies, institutions,

organizations which has highly partnership with us, or the projects which in our client

wants to achieve, or the construction which in our corporation charge in. for example:

-Technology environment of electricity

Suzlon Energy, an Indian wind-turbine manufacturer, is largely blocked from selling

into Chinas booming market. But it makes its turbines in China regardless because

similar gains in efficiency, off the back of huge orders won by local firms, have led to

very low component prices. Hong Kong-based CLP, one of the few non-local generators

allowed to operate in China, says the cost of building power plants has dropped by half

in the past decade, thanks mainly to falling equipment costs.When foreign suppliers are

permitted to sell in China, they are usually required to transfer technology to local

firms. Chinas massive expansion of nuclear power provides a good example. Over the

next ten years the authorities plan to spend a trillion-odd yuan ($150 billion or so) to

increase its capacity ninefold. The country has 21 nuclear reactors under construction

far more than any other country.Naturally, China hopes to acquire lots of nuclear


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know-how along the way. Half the content of a unit of the Lingao plant, in Guangdong,

where construction began in 2005 and is due to be completed at the end of this year, will

be made at home; in the next unit, to be completed next year, the share of local content

will be 70%. By 2020, Chinas goal is to build advanced reactors entirely by itself, and

to export its prowess abroad. Chinese firms have already built one reactor in Pakistan,

are working on another and plan two more. China is harnessing its hunger forelectricity, in other words, to increase its economic power.

Referencehttp://www.economist.com/node

-China High Way demand
http://www.economist.com/nodehttp://www.economist.com/nodehttp://www.economist.com/node


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From transportation map of high way and port to research highway demand.

The above picture is chinese Major Freeway network, almost 30% of these national projects is

by our corporations inderctly technology support. we can see the West of China part still has

lot of place to discover, we warm welcome the clients to invests.


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Biggest border water-way port

- Competition Analysis (3C Analysis)

Competitor information

In china, CICC (China International Capital Corporation) was the largest commercial banks

debt offering and biggest investment bank. Headquartered in Beijing, with offices in Hong

Kong, Shanghai and Shenzhen, CICCs core business departments are Investment Banking,

Capital Markets, Sales & Trading, Research, Fixed Income and Asset Management. These core

businesses are enhanced by internal risk control and information technology systems as well as

other supporting departments.

A wide range of financial services

CICC is licensed or authorized by the relevant governmental authorities to engage in the

following business activities:

1. Brokerage business for Renminbi common stocks (A-shares), Renminbi special stocks (B-

shares), shares issued overseas, domestically and internationally offered government bonds,

corporate bonds and enterprise bonds;


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2. Proprietary business for Renminbi special stocks (B-shares), shares issued overseas,

domestically and internationally offered government bonds, corporate bonds and enterprise

bonds;

3. Underwriting business for Renminbi common stocks (A-shares), Renminbi special stocks (B-

shares), shares issued overseas, domestically and internationally offered government bonds,

corporate bonds and enterprise bonds;

4. Asset management;

5. Sponsoring and managing funds;

6. Advising on corporate restructuring, mergers and acquisitions;

7. Advising on financing transactions;

8. Advising investment and other advisory services;

9. Purchasing and selling foreign currencies;

10. Managing assets in foreign currencies for overseas enterprises and domestic foreign-invested

enterprises;

11. Inter-bank lending and borrowing;

12. Other businesses approved by the China Securities Regulatory Commission.

Competitive Strengths

China industry expertise

Founded and based in China, CICC has established a comprehensive working knowledge of

Chinas evolving legal, regulatory and economic framework through numerous capital market

transactions. This enables CICC to offer services and business solutions to clients in line with

Chinas major economic trends, industry developments and market demand. In the past nine

years, CICC has executed transactions in telecommunications, power, transportation, oil & gas,

petrochemicals, non-ferrous metals, and financial services, developing deep industry expertise

across key economic sectors.

International service and perspective

With extensive global market experience and an international service network, CICC offers

domestic and international clients financial services tailored to their specific needs. In advising

domestic clients, CICC provides insight on strategic, management and financial trends from

abroad. In advising foreign clients, CICC pinpoints success factors critical to the Chinese

economy and business environment. And in managing complex international projects, CICC

successfully integrates foreign expertise with China market requirements and practices. The

result is unmatched expertise in cross-border finance among China-based investment banks.


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Project management and execution

Through the successful completion of dozens of large-scale domestic and international

transactions, CICC knows how to construct effective project partnerships with Chinese and

international law firms, accounting firms, and other professional service providers. Over the

same period, CICC has established ongoing relationships with a large and diverse network of

investors. These attributes enhance CICCs project management and execution capabilities

across the full range of investment banking services.

Long-term, client-focused Relationships

The CICC team is comprised of professionals with top-caliber work experience, multicultural

skills and elite educational backgrounds. As individuals, they exhibit the highest possible

standards of ethics, performance and professionalism. As team members, they are committed to

long-term, client-focused relationships addressing important financial and strategic objectives

Leading international and Chinese shareholders

CICC is also supported by its unique, multinational shareholding structure. Since inception,

CICCs shareholders have included leading international and Chinese companies (see

Shareholders page). Their cumulative experience informs CICCs internal operations,

management and strategic planning.

Growth and Accomplishments

Success across national borders and product lines

Since its inception, CICC has earned a name for itself internationally by consistently expanding

its service scope and developing new products to become the leading multi-service investment

bank in China.

Outstanding achievements

By the end of December 2006, CICC has successfully arranged more than US$90 billion in

equity financing, US$19 billion in debt financing and over US$113 billion in mergers and

acquisitions. As a result, CICC has earned numerous international awards and top industry

rankings.

Milestone transactions

LARGEST IPO IN HISTORY

In 2006, CICC acted as joint lead underwriter and A share sponsor for the concurrent initial

public offerings of A and H shares by Industrial and Commercial Bank of China. The deal


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raised USD 21.9 billion in total with USD 16 billion from H shares issue and RMB 46.6 from A

share issue, the largest amount raised on both markets.

LARGEST CORPORATE BOND OFFERING IN CHINA

n 2006, CICC acted as joint lead underwriter and bookrunner for the offering of Railway Bonds

Round I 2006. Raising RMB 20 billion in total, the deal is the largest corporate bond offering in

China to date.

FIRST ASSET-BACKED SECURITIZATION TRANSACTION

In 2005, CICC successfully raised RMB 3.2 billion for China Unicom through China Unicom

CDMA Network Lease-backed Securities Program, the first ABS product in China.

First bond offering by an international financial institution on Chinas inter-bank market

n 2005, the Peoples Bank of China endorsed the offering of RMB-denominated bonds on the

inter-bank market of China by International Finance Corporation (IFC). CICC acted as joint

lead underwriter and joint financial advisor for the deal, and the exclusive sales agent for bonds

offered in this round. The deal marks the first bond offering by an international financial

institution on Chinas inter-bank market.

FIRST A SHARE IPO EMPLOYING BOOKBUILDING

In 2005, Huadian Power International Corporation Limited raised RMB 1,920.78 million

through A share IPO. This was the first time bookbuilding was employed in an A share offering

transaction.

LARGEST A SHARE SECONDARY OFFERING

In 2005, CICC lead underwrote (acting as the exclusive sponsor) Bao Steels A share

secondary offering, raising RMB 10.2 billion from the market.

FIRST MERGER PLUS A SHARE IPO TRANSACTION

In 2004, TCL Group raised RMB 2.5 billion through A share offering on the Shenzhen Stock

Exchange and simultaneously purchased full stake in the already listed TCL Communications.

This was the first time a company went fully public through an Merger plus A share IPO

transaction. CICC acted as lead underwriter and financial advisor for the deal.

LARGEST CONVERTIBLE OFFERING IN CHINA

In 2004, acting as lead underwriter and bookrunner, CICC helped China Merchants Bank raise

RMB 6.5 billion through offering of convertible bonds.


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LARGEST BOND OFFERING BY A COMMERCIAL BANK IN CHINA

In 2004, acting as lead underwriter and bookrunner, CICC helped China Construction Bank

consummate its first round of secondary bond offering, raising RMB 15 billion in total for the

bank.

FIRST DIVESTITURE BASED ON THE RESIDUAL LIVES OF THE ASSETS

In 2003, China Life listed its H shares on HKEx and ADRs on NYSE, raising USD 3.475 billion

through offering of 7.44 billion shares. This was the first transaction facilitated by a divestiture

of assets based on their residual lives, as well as the first dual listing on HKEx and NYSE.

ONE OF THE LARGEST PRIVATE PLACEMENT TRANSACTIONS IN CHINA

In 2002, CICC consummated a private placement deal valued at RMB 5.7 billion for China

Pacific Insurance (Group) Co., Ltd.

Largest cross-border acquisition of a private Chinese company by a Chinese company

In 2001, acting financial advisor, CICC helped Emerson acquire Ansheng Electric from Huawei

Technologies with USD 750 million.

FIRST MARKET-PRICED A SHARE IPO

In 2000, CICC acted as lead underwriter of Bao Steels A share IPO, which raised RMB 7.846

billion. This was the first time road shows, book-building and other market pricing means were

employed in institutional and public sales of an A share stock.

FIRST MARKET-PRICED CORPORATE BOND IN CHINA

In 2001, CICC helped China Mobile issue RMB 5 billion of corporate bonds. It was the first

time market-pricing means were employed in corporate bond issue in China.

BIGGEST SECONDARY OFFERING IN ASIA (EXCLUDING JAPAN)

In 2000, acting as joint lead underwriter, CICC helped China Mobile (Hong Kong) raise USD

6.87 billion through secondary share offering.

FIRST TRIPLE LISTING:

In 2000, SinoPec went public on HKEx, NYSE and LSE, raising USD 3.46 billion. It was the

first stock listed simultaneously on the three exchanges.

Top industry rankings

CICCs outstanding underwriting achievements have made it the undisputed leading arranger

of global offerings for Chinese state-owned enterprises (SOEs). Since 1997, when Chinese SOEs

first began to approach international capital markets, CICC has enjoyed the highest


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accumulative value of underwriting in terms of IPOs in non-Japan Asia, global IPOs of Chinese

companies and Chinese companies total overseas financing.

Shareholders:

China Jianyin Investment Limited (43.35%)

CICCs largest shareholder used to be China Construction Bank (CCB), one of the four largeststate-owned commercial banks in China. On September 17, 2004, CCB was demerged into

China Construction Bank Corporation and China Jianyin Investment Limited. The 43.35%

ownership of CICC formerly held by CCB was transferred to China Jianyin Investment

Limited, which is a state-owned limited liability company with a registered capital of

RMB20.69225 billion and wholly owned by Central Huijin Investment Co., Ltd., and its

business scope as approved by the State Council are investment and financial asset disposal.

Morgan Stanley International Incorporated (34.3%)

Morgan Stanley International Incorporated (Morgan Stanley) is a subsidiary of Morgan

Stanley, a global financial services firm headquartered in New York. With more than 700

offices in 28 countries, Morgan Stanley is a market leader in investment banking, institutional

sales and trading, investment management and credit services. Clients include corporations,

financial institutions, governments and individuals worldwide. Morgan Stanley has a significant

presence in virtually every financial market and is listed on the New York Stock Exchange.

China National Investment & Guaranty Co., Ltd. (7.65%)

China National Investment & Guaranty Corporation, now China National Investment &

Guaranty Co., Ltd. (CNIGC), is the first national specialized guarantee institution in China.

Jointly established by the Ministry of Finance and the State Economic and Trade Commission

in 1993, its major operating principles are to support the technological progress of business

enterprises and promote the development of small and medium-sized enterprises. In 1998,

CNIGC became a formal member of The Pan-American Surety Association, one of the top three

surety associations worldwide. In 2001, CNIGC initiated the establishment of the China

Guarantee Alliance, which today has over 90 members.


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The Government of Singapore Investment Corporation (7.35%)

Incorporated in May 1981, the Government of Singapore Investment Corporation (GIC) is

entrusted with the management of a significant portion of Singapores foreign assets. GIC is

Singapores largest global investment vehicle.

Mingly Corporation (7.35%)

Founded in 1988, The Mingly Corporation Limited is an investment company and a member of

the Cha Group of companies. The Cha Group has global operations with diversified businesses

covering textiles, real estate development, technology investing, and financial services spreading

across Asia, Africa, Europe and North America. The Group currently has over 20,000

employees worldwide and several of its member companies are listed on the Asian and African

stock exchanges


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Company Structure:

Source: http://www.cicc.com.cn

Competitor Analysis

We compared our company to China International Capital Corporation Limited

(CICC). China is a country in economic center. As this company has expertise in

marketing in China over Resulting in advantages between CICC and CCC. They have

global market experience and international network. They served a wide variety of

services. Since our company is the new establishing, therefore it is not acceptable from a
http://www.cicc.com.cn/http://www.cicc.com.cn/


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new investor in the performance and reliability. In terms of personnel, CICC has the

ability to create a team of professionals from a wide range of domestic and foreign so,

they have a variety of cultural perspectives. Our company has used different strategies

to manage to compete with rivals. However, we look forward to receiving the trust of

customers and respond to the process of the ultimate customer.

Customer Analysis

The CCC is providing wide of quality investment management services,

professional securities brokerage, investment advisory services, investment banking etc.

So, our target customers are mostly all their investors who like the risk. They have a lot

of money to the investment and do not want to lose the profit.

The Investment is not only need confidence alone. But the factors of emotion and

feeling involved in decision full of complexity, because if that's wrong investment means

an enormous amount to lose money. Our company aims to create social networks

among investors and investors, Investors and company as well as tools and technologies

that make transactions convenient one-stop investment. We attempt to understand

customer needs and make the investor trust and believe to do the business with our

company. We attempt to seek the information and open opinion for the customers such

as direct news, online customer support, integrated trading service, online tutorial and

all in one investment service. We see the importance of these investors that they will be

able to make our economy continues to steadily and efficiently.

Competitive Analysis

The CCC has based on the Industry of Finance, involve in provides investment

banking and financial services In Industry of Finance. We have high competitors in

business because In the Financial domain, investment banking is non-stop developing.

More and more financial services and financial transactions are increase.

The CCC has the competitive advantage than other companies. Including with


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Our company have stakeholders who support concerning about financial effect

to our power, stability, and make the customers trust to do the business with our

company.

Our company has the government to support that the company can both survive

and more important to build on its existing competitive advantage.

Our company is the new entry to the market, we have the opportunity to make

high profitable for our company because most of the competitors are large company,

growth slowly effect to our company can develop progress to grow rapidly. In addition,

the target market is the investor who likes the high risk. They will invest with our

company that is the new company. This point is the opportunity to make the customer

trust and invest with our company.

References: http://www.cicc.com.cn/cicc/english/about/index.htm

STP Analysis
http://www.cicc.com.cn/cicc/english/about/index.htmhttp://www.cicc.com.cn/cicc/english/about/index.htm


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Segmenting

We care about the Market Segment how can be dividing by different consumers

group. Because we are not the company which sell clothes or food We are deal with

money and relationship. We gather information of investments demand and financial

market resources. Improve competition of financial service, improve economic profits.

Targeting

We are interested in those sectors in China that are highly promising and growing,

including;focus on the main industry of our business. Base on we are supported by

government, we will target on new energy industry, which is electronic industry, high

way, sea port, estate and so on.

Entrepreneur who is going to open these new industries is our target customers.

Usually, these customers are big companies and government. Usually, they hold a largenumber of money to invest. The reason why we choose these as target is these areas are

mostly focused by Chinese government. Currently, China want to build more project

which good for build Chinese economic. So, while we are choosing these targets, we can

get more support from government. Actually, in China government has the most power

to build, to invest and decide.

for example, energy/cleantech, software, manufacturing, logistics, medical products and

pharmaceuticals, consumer products, distribution and marketing, retail chains, foodand food franchises, education, and financial services, among others, as well as sports,

media, and entertainment.

We prefer to work with proven businesses that are already successful, but under

special circumstances we may get involved with "start-up" situations, or at a company's

early stages. We know that China is a rapidly developing country, and in many respects

a booming new frontier full of promising talents and opportunities.

Positioning

We always wish to be involved in a financing exercise from the outset, including

the very crucial strategic planning/packaging stages upon which success so much

depends

Each financing project is handled by a dedicated team which works very closely

with our client throughout the financing.


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technological, competitive and other environmental factors, the final product of a

developing service marketing mix strategy.

Sales Forecast/Profit Estimation

Assumption of Stock Exchange Marketing

China

Initial Investment

For the first joint venture Investment Bank and Private Equity was established in August

2005 as a strategic partnership among Chinese financial institutions and corporations. We has

a registered capital of US $1.25 billion.

Our company requires capital for this business opportunity, we provide details of our

financing proposal and how do we apply funding.

1. Financial Ratio Assessment; 2.Sales and Marketing Evaluation; 3.OperationalAssessment; 4.Organizational Assessment; 5.Present Cost Structure; 6. Product Mix Analysis;

7. Cash Flow Projections.

General Assumption

Year 1 Year 2 Year 3

Current Interest Rate 10.00% 10.00

%

10.00%

Long-term Interest Rate 10.00% 10.00 10.00%


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%

Tax Rate 30.00% 30.00

%

30.00%

Source of funds

CCC has made remarkable progress in the primary fixed-income market since 2006,

making it a definite market leader with total financings of RMB 61.5 billion in non-short term

bond offerings during the period 2009-2010, it comes from Chinese Government and our

Private Equity of CCC 10 shareholders.

We provide the basic financial information required to analyze the growth potential for our

business, capital requirements, earning projections. Provide 1- to 2-year financial statements,

as well as a break even analysis; Income Statements; Balance Sheets; Cash Flow Statements.

Income Statement

Project Pro Profit and Loss

Year 1 Year 2 Year3

Sales $4,000,000 $12,000,000 $14,000,000

Cost of services $600,000 $1,800,000 $2,100,000

Gross Margin $3,400,000 $10,200,000 $11,900,000

Gross Margin % 85.00% 85.00% 85.00%

Expenses

Payroll $6,200,000 $8,000,000 $8,000,000

Depreciation $200,000 $20,000 $20,000

Rent $400,000 $400,000 $400,000

Utilities $100,000 $100,000 $100,000

Insurance $100,000 $100,000 $100,000

Payroll Taxes $930,000 $1,200,000 $1,200,000

Other $100,000 $100,000 $100,000

Total Operating

Expense

$8,030,000 $9,920,000 $9,920,000

Earnings before

Interest and Taxes

$(4,030,000) $2,080,000 $4,080,000

Interest Expense $670,000 $320,000 $880,000


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Taxes Incurred $0 $1,500,000 $2,000,000

Net Income $(4,700,000) $260,000 $1,200,000

Net Income/Sales -117,5% 2.17% 8.57%

Balance Sheets

Pro Forma Balance Sheet


Assets

Current Assets

Cash $35,000 $300,000 $1,500,000

Other Current Assets $360,000 $360,000 $360,000

Total Current Assets $395,000 $660,000 $1,860,000

Long-term Assets

Long-term Assets $1,000,000 $1,000,000 $1,000,000

Accumulated Depreciation $200,000 $220,000 $240,000

Total Long-term Assets $800,000 $780,000 $760,000

Total Assets $1,195,000 $1,440,000 $2,620,000

Liabilities and Capital Year 1 Year 2 Year 3

Current Liabilities

Account Payable $230,000 $300,000 $360,000

Current Borrowing $140,000 $90,000 $35,000

Other Current Liabilities $0 $0 $0

Subtotal Current Liabilities $370,000 $390,000 $395,000

Long-term Liabilities $0 $0 $0

Total Liabilities $370,000 $390,000 $395,000

Capital

Paid-in Capital $6,500,000 $6,500,000 $6,500,000

Retained Earnings ($1,000,000) ($5,500,000

)

($5,400,000)


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Earnings $(4,700,000) $260,000 $1,200,000

Total Capital $800,000 $1,260,000 $2,300,000

Total Liabilities and Capital $1,170,000 $1,650,000 $2,695,000

Cash Flow Statements

Pro Forma Cash Flow


Cash Received

Cash from Operations

Cash Sales $4,000,00

0

$12,000,0

00

$13,500,0

00

Subtotal Cash from Operations $4,000,00

0

$12,000,0

00

$13,500,0

00

Additional Cash Received

Sales Tax, VAT Received $0 $0 $0

New Current Borrowing $156,000 $0 $0

New other Liabilities $0 $0 $0

New Long-term Liabilities $0 $0 $0

Sales of other Current Assets $0 $0 $0

Sales of Long-term Assets $0 $0 $0

New investment Received $0 $0 $0

Subtotal Cash Received $4,156,00

0

$12,000,0

00

$13,500,0

00

Expense Year 1 Year 2 Year 3

Expense from operations

Cash spending $6,2500,0

00

$8,000,00

0

$8,000,00

0

Bill Payment $2,000,00

0

$3,800,00

0

$4,500,00

0

Subtotal Spent on Operations $8,250,00

0

$11,800,0

00

$12,500,0

00


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Additional Cash Spent

Sales Tax, VAT Paid out $0 $0 $0

Principal Repayment $0 $0 $0

Other liabilities PrincipalRepayment

$0 $0 $0

Long-term Principal Repayment $0 $0 $0

Purchase Other Current Assets $0 $0 $0

Purchase Long-term Assets $0 $0 $0

Dividends $0 $0 $0

Subtotal Cash Spent $8,250,00

0

$11,800,0

00

$12,500,0

00

Net Cash Flow ($4,094,0

00)

$200,000 $1,000,00

0

Cash Balance $36,000 $338,000 $1,600,00

0

For the Sale forecast part we show up about 3 years financial forecasting because of considerof our clients privates, involve government income statements database, Also, our


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corporation is trying to protect and improve Chinese financial system grow regularly.

Forgiveness!

All of these forecast statements are our achievements.

China Capital Corporation CEO Group

Copyright; All Right Reserved.

Marketing Expenses (Sales Incentive)

More and more markets became buyer markets and the entrepreneurial problem became

one of solving the shortage of customers rather than that of goods, the sales concept became

the dominant idea guiding marketing.

The sales concept maintains that our corporation cannot expect its services to get picked up

automatically by customers.

Our Corporation has to consciously push its services. Aggressive advertising, high-power

personal selling, large scale service promotion, heavy price discounts and strong publicity and

public relations are the normal tools used by organizations that rely on this concept.

For our sales incentive programs to be effective, it is very important to design services. A

financial sales service is a geographical grouping of customers, and prospects.Designing

services territories in effect means the division of the total marketing area into a number of

territories, the objective of our corporation servicing the territory effectively, economicallyand profitably.


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Services professionals design/develop strategies to improve the effectiveness of our sales.

process reengineering, sales talent management, incentive management, and operations

optimization. All of these concepts are the direction of China Capital Corporation.

Sales Incentive Compensation professionals design and develop incentive compensation

programs to help our clients. Our corporation services compensation investments and

reinforce target behaviors to drive high performance services.

Proper designing of services territories brings several benefits to our corporation. It

facilitates effective planning, control of marketing operations since properly designed

services territory is a more looking same area. Market data is more meaningful when

collected and applied at the territory level in our corporation.


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Technical Feasibility

Production and Operations Analysis

Product Characteristics

Services Process

Our cooperation with companies will remain a low risk and keeping increasing capital. More

and more companies choose to keep operation after finish developing without selling. These kind of

problem will be solve and build more strong power of company after cooperating with us.

Problem we can solve:

- Some big companies have lots of sub-offices all over of China. Most of them are control and

managed by sub-offices. It reduced data controlling and analyzing. Especially inventory

amount, rent amount, contract, depreciation has no efficiency recording.

- Data uploading delayed. Record doesnt actual data.

- Searching and analyzing problem

- Non-ruled operation steps for applying , managing, renting, income etc. Manager is not clear.

Way to solve these problems:

- Organize all information and data same time with operation easy to control and clear

Register every manager, recorder, and users.

- Clear operation steps and rules.

- Make clear statistics


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- Help companies to keep max profit

Location:

This part is the most impressive one, you will see our design, layout,

The China Capital Corporation Headquarter locates in Shanghai. The second highest Building in

China. The Third Highest building in the world; 492 meters;101 floors.

Headquarter

Our office set up in Shanghai World Financial Center 66th floor,


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Facility Layout

Office

Headquarter In Shanghai

A Fashion Design, New Office age has come.


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Mobile Office

This Is our Attractive Point (Mobile Meeting System)


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Our leader can meet with Special Client on the way or Mobile.

CEO

Office Of CEO (grand Chinese elements)


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VIP

This is VIP Room (Private Financial Service)

One of our proud Financial Service


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Meeting Room B

Business Meeting (internal)


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Meeting Room A

Business Meeting Room(External)

For the Emergency case, we have particular exits for quest evacuate.

Investment Cost


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Transportation

We has such huge capital as automobile support, there are all our Chinese own brand,

Manufacture in China. Name as Hongqi( Government Only) one of the best, HaiTai(business)

for lux.

Business Class:

Level B

220,000-270,000RMB/Car

Level A

380,000-420,000RMB/Car


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Level S

460,000-550,000RMB/Car

Delegation Class:

Level S

This kind of Transportation is supply the Special Service, Such as Cash Deliver, Private CapitalTransport

1,660,000-2,200,000RMB (Speed, Security, and Bullet-Proof Car)


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VIP Class:

Level First Class (limit)

8,000,000RMB/Car (For Ministerial or Head)

- Management Analysis

Administration Cost

Administrative Expenses Chart

Approved

YR

Budget

Actual

YTD

YR

Projected

YR

Expenditure

Approved

YR

Budget

SALARIES AND ALLOWANCES

Professional Staff

Support Staff

Medical and Group Insurance

Vision Care (self-insured)

Retirement Annuity


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Tuition Reimbursement

FICA Expense

Unemployment/ Disability

Other Fees and Temps/ Consultants

SUBTOTAL

OFFICE AND RELATED EXPEN.

Payroll Expenses

Professional FeesAudit/Accountant

InsuranceOffice, Liability, Bonding

General Expense

Postage and Mailing

Printing, Stationary, Supplies

Rent

Equipment ExpensesLease/

Maintenance

Legal

SUBTOTAL

PROGRAM DEVELOPMENT

Guidelines/ Publications

Conference and Training

Board Meeting

Other Trustee Meetings and Expense

Trustee Training

Library and Periodicals

Hospitality

Telephone and Telegraph

Memberships

Miscellaneous

SUBTOTAL


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STAFF TRAVEL & MEETINGS

DEPRECIATION EXPENSE 110,000 150,000 110,000

CAPITAL EXPENSE 50,000,000 67,600,000Y 50,600,000Y

TOTAL 65,600,000 100,000,000 80,000,000Y

Cost of Investment

Pre-Operating Cost

Investment Cost

Land

Buildings

Equipments

Tools

Etc Depreciation

Operating Cost

Raw material Cost

Direct Labor Cost

Overhead

- Management Analysis

Administration Cost (Electricity, Telephone, Fax Salary,etc.)


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Conclusion

The reason why we spend huge capital on the administrative Expense, General Cost, and Depreciation

because we want build highly and Luxury financial environment for our client. Represent China

Banking Service.

This chapter we will show people what they want to see, like our face, layout, landscape.

This part we decide to skip and straight to our financial part (point) because we will not focus on any

products, we are make some special financial service and Private management.

But we have details of our financial service and Private Banking Service management process in

next chapter. However, Technical analysis method is not quite suitable for our service scope. We will

direct you to our Financial Part.


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Risk management

Risk management

For the organization decrease level of risk to control the situation or the lowest level of risk.

For the organization has confidence to encounter with the risk, increase trust with the

customerand effect to efficient to job.

Through the process that is make understanding with the risk effect to the purpose of the

organization to find the way to the risk management suitably and high the benefit of the

organization.

Risk management is the process of managing the necessary and important in conveying an

organization to achieve the target. Among the business environment has changed by globalization and

competition as in the present. However, the risk management system that effectively reflects the good

management of business integrity and transparency that can be checked, which is an essential

foundation which will enable the bank to grow steadily and sustainable.

CCC as a leading financial institution in Shanghai, has realized the importance of enterprise

risk management. Under the term ofPeoples Bank of China used in the management and risk

management.The staff at all levels whether it is the Board of Directors, executives and employees are

responsible for participation in the management or control risks to the appropriate network between

Industry and acceptable, and can achieve the strategic objectives of the mission and vision set forth by

the company more efficient.

Google translation


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To makeconfidence withthe customerthat thecompany canreach to thepurpose or high

benefit of theorganizationunder thecontrol the riskthat canacceptably

To make trustwith thecustomer thatthe companycan conduct to

preparationwith the riskthat canhappening

Supporting

Theorganization toreach thepurpose

methodically

The Resource of the Risk

External Risk

Competitive Risk

Supplier Risk

Compliance Risk

Econ/Political Risk

Internal Risk

Financial Risk

Operational Risk

Policy/Strategic Risk

The risk of

management


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R

T

A

M

S

The strategy of risk management

Principles to select to the strategy

The companys ability to manage the risk

The Level of acceptation to the risk (Risk Threshold)

The capital of risk management - Resource, Cash and Time

The step 1: Identify

the concept of the identify

1. Specific

2. Measurable

5. Timely

SMART

3. Achievable

4. Realistic

The step 2: Analysis

1. Identify to the risk category or the result of risk in each procedure.


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2. Identify to the risk which should be control

3. Identify to the risk factor or the cause of risk

4. Analysis he risk evaluations that has the opportunity to be risk situation and its effect to the

organization.

5. The rank of the risk

The risk and the result of the risk

The decisions that is wrong way on the incorrect information and Accounting

No effective and efficient performance of the organization

The organization has unworthy financial reports

The organization has uneconomical and inefficient in using the resource.

Risk Factors / causes

Knowledge and capacity of employee

Cost of assets

The companys ability change cash to asset

Quantity of the number of documents and records.

The fact of the competition

The fact of economy and financial

The estimate to a number of accounting.

Risk that our company had focused consists of;

1. Strategic Riskis the risk arising from the strategic plans, operational plans and its

implementation is not appropriate or not in compliance with internal and external

environment factors that will affect revenue, capital, or the existence of the business.


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2. Market Riskis the risk arising from changes in interest rate, foreign exchange and changes

in the price of securities in money market fund, which could impact negatively on earning and

fund of the organization.

3. Liquidity Riskis the risk arising from the organization can not pay its debts and obligation

when due because the assets can not be changed for cash or can not enough funding. Or can

make money but come with higher costs than acceptable.

4. Credit Riskrefers to the chance or probability that the parties can not comply with the

conditions agreed upon include the likelihood that the partner will be downgrade credit risk

with which will result in the organization must have a provision for bad debt expense and the

earning and capital reduction.

5. Operation Riskrefers to the risk of damage in the process, which may be due to improper or

lack of good governance. Including the impact on earnings and capital of the organization.

Operational risk includes risk that may result from the breach of laws and regulations.

I

Summary

China Capital Corporation (CCC) established in 2008 with headquarter in Shanghai, China,

doing investment banking business services to the fund, trading, management of mergers and

acquisition. As well as offer advice on the allocation of investments to suit your investment needs in a

variety of investment assets.

CCC provides investment banking services to various clients with a team of talent and aim to

offer the best financial choice for customers by providing details ofthe following.

Finance


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Focus on sustainable growth and profitability. Accelerate their revenue from investment and cash

management.

Client

Focus on satisfying our customers with the strategy for each client group clearly. Developing services

and financial innovation to meet customer needs. Focus on quality assurance of service altogether. Todevelop and maintain channels of service, customer relationship management system (Customer

Relationship Management) continued in order to serve clients more effectively.

The internal processes

Aims to develop internal processes to support strategic customers with money and streamline the core

processes and manage and control risk more effectively, including the development and restructuring

the organization to make ready for the competition.

Learning and development

Aims to develop human resources in quality and efficiency by continuing to focus on recruitment andstaff development. Develop and improve the organization and the Business Process to support an

environment that changes quickly. And to further develop and improve operations. Support the

activities of social and environmental responsibility continues.

Wed like to lead you to a more professional financial business level. Corporate with us, you

could invest more efficiency with low risk. It will give you the best business experiences you ever

met. What we are providing is just what you want in business, investment, entrepreneurs, etc.

Cooperate with us, you will never find another better option.

Nowadays, our China Capital Corporation deeply realized that the world

globalization and marketization is more and more affect us. More and more

opportunity and challenges in Chinese market. Today's China Capital Corporation,

changing customer demographics and outmoded marketing practices present

considerable challenges to establishing the loyal customer relationships.

By the ages development, the strategy management, project management of firm is

become primary. Our corporation will consider starting a new page. We have

opportunities for clients to join our Management, to improve our corporation

development.

CCC Service professionals help organizations quickly and cost-effectively acquire the

capabilities they need. We make solutions help organizations create experiences

delivering high performance outcomes; achieving profitable, organic growth.

Our business scale will expand to another planet. We begin to discover the new financial

market.


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All Right Reserve red

CEO Group


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Shanghai World financial Center

CHINA CAPITAL CORPORATION

www.ccc.com /[email protected]
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CCC China Capital Corporation