MILITARY BOOT UNIT RESULTS OF OPERATIONS, FISCAL 2007 COMPARED TO FISCAL 2006

    Our military boot unit manufactures and distributes military combat boots primarily to the Government, foreign governments, and selected commercial surplus outlets.

    Net revenues for the military boot unit totaled $16.4 million for fiscal 2007, down from $19.8 million for fiscal 2006, primarily the result of the expiration of two major military boot contracts and the delay in awarding a new contract by the Government until May 2007. The contract (”Contract”) awarded in May provides for a base year and four one-year options specifying a minimum and maximum number of direct molded sole military boots to be purchased by the Government. This Contract is worth approximately $106.8 million if the Government purchases the maximum quantity of military boots for each of the one-year periods. The amount ultimately purchased by the Government depends solely on its military boot requirements.

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Our company is a professional footwear supplier as a branch of Million China Group.Our main products cover military, Police, Work, safety ,outdoor footwear. In past years ,We devoted our energies on offering the best quality at reasonable price and providing perfect custom-made service. we have 36 factories,just 4 of them can assure of a capacity of more than 3,500,000 pairs exproting worldwide each year. On account of our consummate technique and advanced equipments ,We build up a good reputation with our customers .Currently , our customers spread all around the world ,America, south America ,south east Asia, Middle -east Area ,Africa Etc… We sincerely hope our perfect quality and thoughtful service can establish a long-term and mutual benefit relation with you.