1. HKTDC HK Electronics Fair (Autumn Edition) HKTDC HK Int’l Lighting Fair (Autumn Edition) On-site Survey HKTDC HK Electronics Fair (Autumn Edition) HKTDC HK Int’l Lighting Fair (Autumn Edition) On-site Survey Actrium Solutions 07 Nov 2011

2. 2 Methodology Date of Fieldwork: a. Electronics Fair Oct 13 - 16, 2011 b. Lighting Fair Oct 27 - 29, 2011 Method: Face-to-face interview at the Exhibition Venue Sample Size: a. Electronics Fair302 exhibitors; 507 buyers b. Lighting Fair206 exhibitors; 305 buyers

3. 3 Key Findings Exhibitors Impact of Global Issues on Business Impact of Global Issues on Business

4. 4 European/US Debt Crisis Has Impact on Exhibitors’ Business

5. 5 European/US Debt Crisis Has Impact on Buyers’ Business

6. 6 US, Greece & Italy Are Among the Hardest-hit Markets by the Debt Crisis

7. 7 RMB Is Expected to Extend Uptrend Against USD

8. 8 Key Findings Exhibitors Market Outlook

9. 9 Market Outlook for 2012 Is Cautiously Optimistic

10. 10 Biggest Growth Regions Top 3 Biggest Growth Regions Electronics Chinese Mainland India South East Asia Lighting Chinese Mainland Western Europe US Other Potential Markets US Central & South American Western Europe Japan Central & South American India

11. 11 Key Findings Exhibitors Product Trend

12. 12 Product Category with Biggest Market Growth Potential in 2012 (Electronics) Best Sellers Computer & peripherals Telecommunications products Audio visual products Products With Great Potential Mobile devices and accessories Home appliances Solar generated products & cells In-vehicle electronics and navigation system Healthcare electronics Rising Stars Electronic accessories Personal electronics Security products Digital imaging Electronic gaming

13. 13 Change of Sourcing Patterns for Electronics Products (Buyers of Electronics Fair)

14. 14 Change of Product Price in 2011 (Buyers of Electronics Fair)

15. 15 Product Category with Biggest Market Growth Potential in 2012 (Lighting) Best Sellers LED Commercial Lighting Household Lighting Products With Great Potential Other Green Lighting Products Outdoor Lighting Lighting Accessories, Parts & Components

16. 16 Change of Sourcing Patterns for Lighting Products (Buyers of Lighting Fair)

17. 17 Change of Product Price in 2011 (Buyers of Lighting Fair)

18. 18 Key Findings Exhibitors Green Manufacturing (Exhibitors Only) Green Manufacturing (Exhibitors Only)

19. 19 Vast Majority of Respondents Indicate Increased Efforts on Green Manufacturing

20. 20 Customers’ Demands on Green Manufacturing

21. 21 Majority of Respondents Indicate Additional Investment in Green Manufacturing Remark: Key Investment Areas -R&D activities to improve green features of our products/services -Compliance with green manufacturing requirements -Install energy saving equipment for production facilities -Purchase energy saving equipment for office operations

22. 22 Conclusion

23. 23 Conclusion Impact of Global Issues ExhibitorsBuyers Key Areas of Impact of Debt Crisis Total sales value Payment risk from clients might increase Total sales value FOB price Sourcing volume Request for full payment before delivery by suppliers might increase Hardest-hit Markets by Debt Crisis US Italy Greece Trend of RMB Exchange Rate 75% of respondents expect the RMB exchange rate against USD will appreciate in the next 12 months

24. 24 Conclusion Market Outlook in 2012 ElectronicsLighting Positive Market Outlook 67% of respondents 75% of respondents Key Growth Regions Chinese Mainland India South East Asia Chinese Mainland Western Europe US Rise in Unit Price 57% of buyers 35% of buyers Drivers of Price Rise Increased raw material cost Increased labor cost Exchange rate factor (esp. RMB)

25. 25 Conclusion Product Trend in 2012 ElectronicsLighting Biggest Growth Product Categories Computer & Peripherals Telecommunications Products Audio Visual Products LED Commercial Lighting Household Lighting Product designs with technology and green concepts can make a splash in the market

26. 26 Conclusion Green Manufacturing ElectronicsLighting Increased Efforts in Green Manufacturing Around 90% of exhibitors indicate increased efforts on green manufacturing Customers’ Demand on Green Manufacturing Eco-certifications of any sort Environmental friendly manufacturing process Energy efficient products or services Additional Investment in Green Manufacturing Majority of exhibitors will invest more in green manufacturing Key Investment Areas include: R & D on products with green features Compliance with green manufacturing requirements Install energy saving equipment for production facilities Purchase energy saving equipment for office operations

27. 27 Key Findings Exhibitors End Thank You