Message from Chairman: The year of 2003 was historically significant for China Great Wall Securities. In the face of the challenging market and intensified competition, we managed to revitalize from the adversity, strived in unity and progressed with creativity. During the last year, our businesses proceeded smoothly in all aspects; the performance promoted steadily while market competitiveness was enhanced. The achievement came from an established scientific ideology by adhering to the strategic directives; from mobilized personnel抯 motivations based on the principle of 揚eople First? from improved corporate governance by consolidating the management teams; and from emphasized risk controls by reinforcing awareness.

The year of 2004 is to be a milestone for the development of China抯 securities market. 揟he Suggestions on Facilitating the Reform and Steady Growth of Capital Market?from the State Council marked a new era for the development of China抯 securities market. Therefore the securities industry will see a new healthy growth focused on value, effectiveness and discipline which provide us with unprecedented opportunities but requires even higher prerequisites.

Disciplined growth and focused expertise are the first two steps to take before we can leap further in the future. Disciplined growth means to operate with prudence and to sustain the growth in conformity with regulations; focused expertise means to be creative and studious in operations and management, and to establish our own brand and features by specialization. By achieving these two goals successfully, we will, in a foreseeable future, build a company with top-level management providing high-quality products and services. It can also be expected that Great Wall Securities will emerge as a modern financial institution stringent in risk control and safe in operation.

The trumpet is blaring for a new fight and time never waits. As challenges and opportunities are forthcoming, it is imperative for us to be energized and realistic, and we shall continue to excel and leap forward.

Message from President: In the year of 2003, under the correct guidance of the board of directors and great efforts of every employees, Great Wall Securities was able to reach the annual earning target and undergo a fast and remarkable expansion way in varied business.

Investment banking business was recording stable achievements, securities investments business was rewarding while the sales and trading business had consolidated its operation and risk control. The utilization of technology and clientele network was effective. Coordination among departments and internal management were intensified. Reforms in the recruitment system and compensation system were accomplished. Employees?professional qualification was promoted. A mobilized personnel抯 motivation and creativity were experienced than ever before.

Last year, we have succeeded in reforms and management of inner structure, workforce, resources utility, which set a firm ground for seeking future prosperity of China抯 stock market and the mid-long run corporate growth.

The year of 2004 is crucial for the strategic development of Great Wall Securities. Under the principle of 揇isciplined growth and focused expertise,?We are committed to hasten the business transition and innovation, intensify risk control, improving corporate management and human resource exploration and concentrate on staff抯 training and cultivation derived from the characteristic corporate culture. By such means, the company抯 operation is able to reform fundamentally and breakthroughs can be achieved in certain areas. The market position and compete strength could be excelled eventually.

Facing the challenges and opportunities in the securities market as well as the onerous assignments for the coming year, the staff of Great Wall Securities endeavor to excel while maintaining prudent and responsible. We are looking forward to new breakthroughs and preeminence.