China International Development Corporation Limited announced that in order to diversify its products and broaden its source of revenue, the board of directors announced that the Group intends to develop the businesses of industrial hemp planting and hemp fabric product productions. Hemp fabric is made of fibres from industrial hemp, and is a type of textile which is antibacterial, strong and versatile, and fill in as a characteristic environment-adjusting framework that makes it desirable for both summer and winter. Given the above unique characteristics of hemp fabric and the continuing increase in the worldwide environmental awareness, the Board is of the view that the popularity of environment friendly hemp fabric and relevant products would benefit from it and it is a good opportunity for the Group to develop such market. To execute the plan, the Group would begin with the production of raw material through industrial hemp planting. The Group has engaged an independent third-party consultant to advise on technical issues of industrial hemp planting such as seeds cultivation, irrigation and harvesting methods. In addition, the Group has obtained the relevant permit to plant industrial hemp and rented a parcel of land in Yunnan for the trial cultivation of industrial hemp. The Board considers that the business plan, if materialized, could diversify the Group's product portfolio and income streams, thereby improving the profitability in the long term. Based on the current business plan, the Board does not expect substantial capital expenditures to be incurred for the proposed development at the initial stage, and the business plan will be funded by the Group's internal resources. Accordingly, the Board is of the view that the commencement of the business plan will be in the interest of the Company and the Shareholders as a whole.