Greater China, based on proposed business activities, is a "blank check" company. The U.S. Securities and Exchange Commission, or SEC, defines those companies as "any development stage company that is issuing a penny stock, within the meaning of Section 3 (a)(51) of the Exchange Act, and that has no specific business plan or purpose, or has indicated that its business plan is to merge with an unidentified company or companies."

Many states have enacted statutes, rules and regulations limiting the sale of securities of "blank check" companies in their respective jurisdictions. Therefore, Greater China does not intend to undertake any efforts to cause a market to develop in its securities, either debt or equity, until it has successfully concluded a business combination.

However, Greater China intends to comply with the periodic reporting requirements of the Exchange Act for so long as it its subject to those requirements.

Greater China was organized as a vehicle to investigate and, if such investigation warrants, acquire a target company or business seeking the perceived advantages of being a publicly held corporation. Greater China's principal business objective for the next 12 months and beyond such time will be to achieve long-term growth potential through a combination with a business rather than immediate, short-term earnings.

Greater China will restrict its potential candidate target companies to any businesses located directly or indirectly in China.

The analysis of new business opportunities will be undertaken by or under the supervision of the officers and directors of Greater China.

Greater China's management has unrestricted flexibility in seeking, analyzing and participating in potential business opportunities. In its efforts to analyze potential merger or acquisition targets, Greater China will consider the following kinds of factors:

• Potential for growth, indicated by new technology, anticipated market expansion or new products;
• Competitive position as compared to other firms of similar size and experience within the industry segment as well as within the industry as a whole;
• Strength and diversity of management, either in place or scheduled for recruitment;
• Capital requirements and anticipated availability of required funds, to be provided by Greater China or from operations, through the sale of additional securities, through joint ventures or similar arrangements or from other sources;
• The cost of participation by Greater China as compared to the perceived tangible and intangible values and potentials;
• The extent to which the business opportunity can be advanced;
• The accessibility of required management expertise, personnel, raw materials, services, professional assistance and other required items; and
• Other relevant factors.