IMPLEMENTATION OF SELF-SERVICE ATM SYSTEMS

During the financial year ended 31 March 2010, implementation of self-service ATM systems, banking and other related equipment (including the provision of technical consultancy and support services) remained the Group's core business and accounted for approximately 100.0 per cent. (2009: approximately 100.0 per cent.) of the Group's total revenue.

PROVISION OF TECHNICAL CONSULTANCY AND SUPPORT SERVICES

The provision of technical consultancy and support services, which were already included in the implementation of self-service ATM systems, contributed to a stable and recurrent source of income for the Group and accounted for approximately 33.3 per cent. (2009: approximately 43.8 per cent.) of the total revenue of the Group for the financial year ended 31 March 2010. Income derived from the provision of technical consultancy and support services during the financial year ended 31 March 2010 decreased by approximately 51.3 per cent., as compared with that of the previous financial year.

REVIEW OF OPERATION

As an authorised value-added reseller of self-service ATM systems of NCR (Beijing) Financial Equipment System Co., Ltd ("NCR") and related applications software for commercial banks in China, the Group has fully committed itself as a reliable and reputable vendor and a Total Solution Provider for self-service ATM systems. With China's entry into the World Trade Organisation, more banks and postal bureaus in the PRC will need to offer additional services and expand their branch networks to compete with international facilities in order to operate in the market. They have to gear up to improve their information technology infrastructure and operating efficiency, so as to consolidate and strengthen their respective market standing. The Group believes that demand for the implementation of self-service ATM systems will continue to grow in China, especially with China's steady economic growth.

By having ATM service centers established in major cities in China including Ningbo, Hainan, Taiyuan, Jinan, Shanghai, Beijing, Qingdao, Wenzhou, Nanjing, Xian, Yiwu, Chongqing, Wuxi, Tianjin, Yantai, Suzhou, Jinhua, Yingkou, Yancheng, Taizhou, Datong, Jiangdu, Xuzhou and Huaian, the Group has ATM service centres covering a total of 24 strategic cities and locations currently.