Replies to post #400 on UNDERVALUED CHINESE STOCKS

[fcpgalltheway]

This is the explaination given for the approval of 200,000 shares intended for certain employees. We all know that where technology is involved this kind of employee reward retains staff members who otherwise might be looking elsewhere for a better deal. I guess the chairman wanted to explain why they are giving away these shares. I don't think First China has reached that point yet but you never can tell what Wang might do to retain the services of an expert or someone who has government connections! He made a deal with Zwick because he needed an expert in accounting! I will keep in an eye on this stock but I am not sure if this is the field I would go in if I had more money to invest. I am sure the competition in this field must be evaluated. Stock has been trading for at least 2 years beginning 8-7 dollar range; going down to the 6-4 range; then lower again in a more drastic way during the last year until now at .65. Good question to ask: is this the bottom and will the stock go up again to at least $1.50? If this is the bottom and you feel confident stay with it but from this point on be alert and ready to sell is you see further downtrends. Remember how we all got fooled when First China was at .65 and we thought it would recover and go up again!

"I would be remiss in not acknowledging the dissent of our shareholders, including major shareholders of our stock incentive plan considering our performance in 2011," began Weihe "Jack" Yu. "It is, nor was, our intention to reward any member of the sales and marketing team or management team shares not directly tied to the performance goals of the Company. As we work through our budget for 2012 and execute an aggressive sales strategy for the year, retaining our design, sales and marketing teams for Anytone® and KimFai solar are critical for our success and thus incentivizing our employees with stock compensation, we feel, is aligned with the goals of our organization and shareholders alike. Our Board of Directors and management team will formalize the targets and associated share-based compensation for approval by our Board and Compensation Committee before any shares are issued," concluded Chairman and CEO Jack Yu .