Stock Code: 000055,200055 Stock ID: Fangda Group, Fangda B Announcement No. 2010-43

    China Fangda Group Co., Ltd.

    Announcement

    The members of the Board and the Company acknowledge being responsible for the truthfulness, accuracy, and completeness of the announcement. Not any false record, misleading statement or significant omission carried in this announcement.

    I. Entering of contracts and winning of bidding competitions recently

    (I) Shenzhen Fangda Automatic System Co., Ltd. (joint entity: Shenzhen Decoration Engineering Co., Ltd.) – the fully-owned subsidiary received the notification of winning the bidding for the overall contract of Section I of PSD system of Dalian Metro. The contract is amounted to RMB63,668,800.

    (II) Fangda New Material (Jiangxi) Co., Ltd. – one of the fully-owned subsidiaries of the Company, has entered the single aluminum sheet supplying contract to Prince Norah University Town with Gulf Company UAE. The contract is amounted to USD8,488,381.48.

    (III) Shenzhen Fangda Decoration Engineering Co., Ltd. – one of the fully-owned subsidiaries of the Company, won the bidding competition for the subcontract of curtain wall of Fanshi Yifang Building developed by Cixi Fanshi Property Co., Ltd. The contract is amounted to RMB24,724,737.53.

    II. Influence of the projects on the Company

    1. The above contracts are totaled to RMB144.9261 million, account for 15.87% of the turnover of 2009. Executing of these contracts will contribute to increasing of profit in 2010 and succeeding years. However it is dependent on the actual practice of the contracts regarding prepayment, engineering process, receiving, and clearance, etc. Thus the their influence on the Company’s business performance of 2010 and succeeding years shall be dependent on the actual results.

    2. There are no associated relationships between the Company and the above employers.

    3. The above projects make no influences on the independency of the Company’s business operation, and will not make the Company dependent on these projects.

    III. Risks of the projects

    Both of the parties are capable to implement the project. Unpredictable or force majeure factors in the process of the project may make influence though.IV. Documents for reference

    Contracts and Notification for Winner of Bidding

    The above is for the attention of the shareholders.

    China Fangda Group Co., Ltd.

    The Board of Directors

    December 15, 2010