AGREEMENT OF BOOK TRADING

　　Party A: International Book Trading Corporation Party B:

　　Legal Representative:

　　Address: Postcode: Tel:

　　Party B: International Book Trading Corporation Party B:

　　Legal Representative:

　　Address: Postcode: Tel:

　　This agreement is made by and between International Book Trading Corporation (hereinafter called A) and (hereinafter called B), whereby according to the principle of mutual benefit the two sides agrees on the terms and conditions stated as below:

　　1. A agrees to sell to B through consignment foreign language books published by presses affiliated to China International Press Group, including Foreign Languages Press, China Pictorial Publishing House, Sinolingua, New World Press, Dolphin Books, New Star Press and Blossom Press(Morning Glory Publishers); A agrees to sell to B through bought deal other books besides the books mentioned above.

　　2. Handling and Returning of Orders

　　B should provide written orders to A if B wants to purchase books and orders placed by B are regarded as formal ones. (1) For the books sold through consignment, A should write to B a receipt of the books haven been sold out; the books have not been sold out should be checked up per year and the two sides should discuss separately the returning of those books. (2) Once the orders of books sold through bought deal are executed, returning of orders and books should not be conducted. When the books are damaged or cannot be sold out for the reason of bad printing, binding or packing, B should inform A of the situation in 30 days after receiving the books. After negotiation, A should re-send the books or conduct the returning of books according to the circumstances.

　　3. Catalogue

　　A should provide B with a catalogue of all kinds of free books at regular intervals.

　　4. Discount of Books

　　(1) Discount of books sold through consignment: A gives to B a discount of 50 percent in the original price.

　　(2) Discounts of books sold through bought deal: A gives to B a discount of 70 percent in the original price.

　　5. Ways and Cost of Transportation

　　(1) B should mark out the preferred way of transportation in the orders.

　　(2) A should send off goods according to the way of transportation, time of sending off and address appointed by B and the resulting cost of transportation and other relative costs should be paid by B. If B has special requirements for the packing, B should pay the cost of packing in full.

　　6. Accounts of Settling

　　(1) US dollar is used for settling the accounts of goods expenses and transportation costs.

　　(2) For the goods ordered by B, A should write a receipt according to the middle exchange rate announced by China Bank on the 1st day of the month at which the receipt is written. B should pay the expenses of goods and transportation to A in 90 days after the receipt is written. As to the expenses of goods and transportation of the first batch, B should pay 50 percent once it receives the goods, and the balance should be paid in 90 days after the receipt is written.

　　(3) B should pay the expenses at due time. If not, A is entitled to stop the supply of goods and to pursue legal actions against B.

　　(4) Mode of Payment:

　?、?B can send the dollar bill of exchange through registered mail to A:

　?、?B can remit money to A’s account:

　　(5) B should inform A of the receipt number after paying the due expenses so that the running accounts between each other remain clear.

　　7. The two sides can sign supplemental agreements if they are needed, but cannot revise the major terms stated in this agreement.

　　8. This agreement has two identical copies, with each party holding one. The agreement becomes effective upon signing from both parties. The period of validity of this agreement is one year, from May 1st, 2012 to April 31st, 2012. If both the two sides have no dissent 2 months prior to the expiration date, then the validity of this agreement will be prolonged by one year automatically. If any side has dissent, it should inform the other side in written form.

　　Party A: China International Book Trading Corporation

　　Party B: Representative: Representative:

　　Date: Date: