summary of sudico company annual report 2010 song da urban & industrial zone investment and development joint stock company

SUMMARY OF SUDICO COMPANY ANNUAL REPORT 2010Name Song Da Urban & Industrial Zone Investment and Development Joint-Stock Company Abbreviation: SUDICO Address: Floor 1+2, CT1 Building- My

SUMMARY OF SUDICO COMPANY ANNUAL REPORT 2010

Name Song Da Urban & Industrial Zone Investment and Development Joint-Stock Company Abbreviation: SUDICO

Address: Floor 1+2, CT1 Building- My Đinh Urban Area- Me Tri, Tu Liem, Ha Noi

Tel: 04-37684505 Fax: 04-7684029

Email: info@sudicosd.com Website: http://www.sudicosd.com.vn

Certificate of Business registration: 0103002731 issued by Hanoi Authority of Planning and Investment Charter capital: 1.000.000.000.000 VNĐ (One billion dong)

Securities Code: SJS - Listed shares at the Stock Exchange Department of Ho Chi Minh City

OF THE CHAIRMAN OF THE BOARD

Sudico committed to effort and invest comprehensively of all resources

in physics and spirit to provide products such

as houses, urban area and industrial zones, tourist areas to ensure quality

and meet requirements use, in

accordance with requir ements

enhancing landscape of urban architect

and living environment,working environment for the community and society.

Ladies and Gentlemen!

On behalf of the chairman the

Board I send shareholders and your families

best wishes and healthy, happiness and success

In 2010, the economic situation is not

favorable evolutions Although many

areas have recovered in 2009,

they declined strongly in the end of

2010 Vietnam's economy is still facing

many difficulties and challenges Collective

of officials and employees of the

Company have made great efforts and

overcome difficulties to make business

planning delivered by the shareholders

In 2011, the goal of SUDICO: is focus

to develop investment and business of

projects which the company considered as an

investor to ensure the highest

efficiency Promoting the available

strength of finance, management

experience, exploitation trading of urban

projects for cooperating, making partnership,

associate with other

enterprises to accelerate, increasing profitability

through unique and different products of

company Promote and encourage highly all

resources to

enhance competitiveness Studying, taking part

in invest in areas that have high growth, to

generate stable revenue and

profit for the company

On behalf of Chairman the Board of SUDICO Company, I sincerely express our gratitude profound to the

shareholders, the concerned departments, the domestic partners and foreign partners, especially thank the efforts of Collective of officials and employees

of the Company for significant contributions in the development of SUDICO Company in recent years

SUDICO company hopes to get your trust, support, collaboration

to contribute that the Company will fulfill the criterias and plans as set out to

ensure sustainable growth, bringing the best performance for main shareholders, the Compa

ny, all officers and employees and the State Budget

"SUDICO is a belief and pride of shareholders'

In sincerely thank you!

ON BEHALF OF BOARD OF CHAIRMAN

Chairman

PHAN NGOC DIEP

SUMMARY OF SUDICO

Lịch sử hình thành và phát triển

ONE OF THE TOP REAL ESTATE BUSINESS OF VIETNAM

In 2010: - The company has received numerous awards, honors, participated in many social activities,

activities of charity

In 2009: - Has completed to raise charter capital from 400 billion dong to 1,000 billion dong in December

of 2009

- Got gold cup of “Vietnam typical Entrepreneur "and the Gold Cup for "excellent leadership "

- Got the Vietnam Gold Star Award for Top 100 best brands in Vietnam in 2009 and the award for

"Top 20 prestige securities brand in 2009"

- Got the "top brand of external economy in Vietnam" and "The typical external

economic activities personal" dedicated to Mr Phan Ngoc Diep -Chairman of the board

of the Company

In 2008: - Established An Khanh MTV Sudico Co, Ltd.

In 2007: - Completed two terms of increasing charter capital from 50 billion dong to 200 billion dong

in January of 2007 and continued to increase to 400 billion dong in August of 2007 -

Established: Tien Xuan MTV Sudico Company Limited

Sudico Services JSC

Sudico Consulting JSC

- Ministry of Science and Technology awarded ISO2007 Gold Cup

In 2006: - Listed successfully shares at the Stock Exchange Department in Ho Chi Minh

- Certificated to get standard quality management system ISO 9001:9002

- Ministry of Construction awarded the Excellent Emulation Flag

- Central Committee of the Vietnam Young Entrepreneurs Association handed Vietnam Gold Star Award

In 2005: - Ministry of Construction awarded the Excellent Emulation Flag

In 2004:

- Established: South Branch

Hoa Binh Project Management Board

- Ministry of Construction awarded the Excellent Emulation Flag

- Hanoi People's Committee commended and fixed the celebration construction plates for

50 years on Capital Liberation Day for Project No 62 Truong Chinh Road

- The Prime Minister presented certificates of merit to the Director General

In 2003: - Tranferred into Joint Stock Company

- Established: Projects Management Board of areas in Hanoi

Quang Ninh Projects Management Board

Ha Tay Projects Management Board of

- Ministry of Construction awarded the Excellent Emulation Flag

* In 9/2001: Established Song Da urban and industrial zones Investment and Development , a

member of Song Da Corporation

GENERAL FOR COMPANY

Song Da urban and industrial zones Investment and Development hereinafter referred to as "Company" was established under Decision No 946/QD-BXD dated July 08, 2003 of the Minister of Construction for transfering Song Da urban and industrial zones Investment and Development is a State enterprise belongs to the Song

Da Corporation and operated under the certificate of business registration of Joint Stock

Company No.0103002731 dated August 08, 2003

In the operation progress has changed six times the certificate of business registration of increasing charter capital, changed activities headquarter and legal representatives

Charter capital by the certificate of business registration change the 6th dated December 14,

2009 is 1,000,000,000,000 dong (one thousand billion dong)

Par value of shares: 10,000 VND / share

Direclty under units

Directly under units

Projects Management Board of urban areas in Hanoi

Quang Ninh Projects Management Committee

Hoa Binh Projects Management Board

Branch of Company in South

SUDICO Real estate trasaction floors

Products are unique, distinguish, strong ethnic identity, close to the natural

Mission

Maximize the benefit of the customers to create common shared value for the company andsociety

The main line of business

 Consulting, investing, developing and implementing of construction investment projects, trading houses, urban areas and industrial areas;

 Trading of Exploitation the services of housing, urban and industrial areas;

 Construction and installation of civil and industrial areas;

 Consulting engineering design, detailed planning of urban and industrial areas;

 Design consulting civil, industrial;

 Production and sales of construction materials, equipment andfurniture;

 Business real estate and other services;

 Import-export business equipment and machinery;

 Mining and mineral processing;

 Investment and production of commercial electricity business;

 Financial Investment;

Short term goals

Accelerated the investment projects, business develop

ment in schedule to ensure mining projects with the

highest efficiency,consistent with the common

development direction of the Company

Actively seek opportunities

for new investment projects and foreign investment to

expand the service of sustainable development goals

Capture good market, good management of

financial investments.Expand investment and

cooperation and contribute capital toenterprises, the

project has the potential and effectiveness in theareas

of Finance, Industry, Real Estate

Research, propose and

develop plans to raise capital optimizationservice proj

ects being implemented by the company

Complete the renovation business

to create stable conditions forproduction and

business operations for the parent

Company,subsidiaries and associated companies

Long term goals

Continued research investment real

estate business, investment and development of

urban and industrial areas,

financial - bankingservices and other

high flexibility and efficiency, diversification

ofproducts to ensure stable development in

revenue and profits inthe absence of market stability

Full event management, recruitment and training

of staff capacity and qualifications to meet

the business requirements of the Company

Raising financial resources, production capacity andcompetitiveness, expand the scale and scope as well asaccelerate thedevelopment of SUDICO businesses worth of

realestate, investment urbandevelopment and industrial zones of Vietnam'sleading

Promote higher levels of all resources to enhance competitiveness and constantly improve the material life and spiritual workers.Building a corporate culture of its own identity "SUDICO"

Organizational structure

REPRESENTATIVE OF CAPITAL

PART

Project management Boards

Linked companiesSubsidiaries

Departments of function

General Board of Shareholders

Board of chairman

general director

Board of controlling

Branches

Introduction to leaders

Members of board of directors:

1 Mr Phan Ngoc Diep – Chairman of the board

2 Mr Vi Viet Dung – Member of the board

3 Mr Vu Hong Su - Member of the board

4 Mr Nguyen Phu Cuong - Member of the board

5 Mr Dang Hong Quang - Member of the board

Member of General Directors Board

1 Mr Vi Viet Dung – General director

2 Mr Dang The Do – Deputy General director

3 Mr Vu Van Dung - Deputy General director

4 Mr Tran Dinh Tru - Deputy General director

5 Mr Ngo Vinh Khuong - Deputy General director

6 Mr Bui Khac Vien - Deputy General director

7 Mr Luu Ngoc Dung - Deputy General director

Members of the board of Control

1 Mrs Nguyen Thi Su – Chief of board of Control

2 Mr Vu Quoc Huy – Member of board of Control

3 Mr Truong Van Tuan - Member of board

of Control

In 2011, the Board of directors has implemented seriously and carefully the administrative

tasks to provide effectiveness and highest benefit for the Company and all shareholders

ECONOMIC INDICATORS IN 2010

Unit: billion dong

Indicators

Plan of decree of General board of shareholders in

ASSESSED RESULTS OF IMPLEMENTING BUSINESS PRODUCTION 2010

In 2010 the world economic situation and in the country there are not favorable Although many areas have recovered since 2009 but declined sharply in the second half of2010 Although Vietnam's

economy has achieved some positive results but still difficult,

challenging situation especially complicatedinflation, consumer price index, interest rates and

loan growth highcapital investment in real estate is limited In 2010, the collective staff of the

company has made great efforts and overcome difficulties and resolve to implement the business plan produced

by the General Meeting of Shareholders for adopted

ACTIVITIES OF DIRECTORS BOARD IN 2010

- In 2010, the Board has issued the resolutions and decisions in accordance with the rules and regulations ofthe State and the Charter of the Company to direct and supervise the timelymanagement andadministration activities of the Board of Directorrelating to all areas of production and business activities of theCompany

- In 2010, the Board has focused on re-direct the apparatus to consolidate the Board of

Directors, staff at the subsidiaries, to strengthen management and supervision for all activities of the

Company, Subsidiaries, associated companies Besides the extraordinary meeting, at

least periodically held meetings quarterly performance reviews of company business in public and

orientation in the following period

- Board regularly attend meetings and appointing members to the executive apparatus for timely direction andremoving the obstacles in the production business activities of the SUDICO Company and other units members

- For the SUDICO JSC contributed capital, the Board may appoint their own experience with relevantexpertise to participate in the Board, the Supervisory Board at this company At the same time, regularmonitoring, capture and the direction in time to contribute to improving the performance of the Company

- The Board has directed the company made some major work asfollows:

+ The production organization to make business plans of the Company in 2010

+ To concentrate investment preparation, preparation of business conditions in line with requirements of law to implement the initiative in 2011 and subsequent years

+ direct the design, planning, product quality, contracts

+ The search for and develop new projects: in 2010 has increased the company's land through the forms is about 145 ha.Direct the development of new projects such as urban project in Chau Giang - Ha Nam Project

on the central urban area of Thanh Hoa Project on Urban River Lake Dam - Quang Nam, Project

Phu Thai - Hai Duong plans direct the transfer of 12.4 hectares in Danang to recover

capital focused on implementing projects in the Nam An Khanh in 2011.

+ To concentrate on building, modifying and improving the management regulations, the

Company operated; regulation of the relationship between the management of the parent company and

subsidiaries, management regulations in capital Subsidiaries

+ Finance activities: Raising capital from credit institutions, customers always ensure capital

for production and business activities

+ Formulation of development strategy, strategic objectives and investment plans to build production

and business of the Company.Contribute capital to establish a new paradigm shift from activemanagement, branch, one member limited company into a joint stock company to radically decentralized management and accelerate investments in project, the key areas

Worldwide there are 14 combinations SUDICO Corporation branded activities in the areas of business and investment real estate, design consulting, construction and installation, material production, management of urban services with scope of activities by companies operating SUDICO to actively implement the project from design to operation management, to improve product quality and efficiency of

investment, brand SUDICO confirmed Some subsidiaries have developed major projects such

as SUDICO An Khanh Joint Stock Company urban area with two projects in Thanh Hoa central with

431 ha scale, Chau Giang Urban Area with 242 ha scale

DUTIES DIRECTION AND BUSINESS PRODUCTION IN 2011

To implement the objectives and business results in 2011, the Board respectfully request the General Assembly

of Shareholdersapproved mission and direction to direct business operations in 2011 with the main

contents as follows:

1 Directing the administration and organization of production:

- General to direct the construction and operation of the new management model: a focal point of

the subsidiary management,orientation, research and development of real estate projects to

deliver direct subsidiaries operating management and commercial exploitation Continue

to streamline and recruit personnel with high expertise to build compact company structure with the number of employees not exceeding 60 people for the management and operating subsidiaries

- Communications Research Board initiative, to invest in areas that have high growth, to

generate sustainable revenue and profitstability for the company and report the results of the General Assembly

of shareholders at the meeting The next closest

- Board of Directors continue to actively review and implement the new establishment, ownership changes, the percentage ofownership in its subsidiaries to attract capital, increase assets,creating profits for shareholders.-Strengthening of the mirror Established the Senior Advisory Council, composed of

experts with experience in many areas:investment, finance, legal Board to help direct the operation

andtimely decisions

- Radical decentralization and separation of executive function, implementing investment

projects for the company done to makethe maximum active while reducing management hubs

- Consistently handled in the form of dismissal, the dismissal from office or any staff member to affect the

interests of the Company,the occurrence of damage to the collective, to the Company, to the State or show signs of embezzlement, harassment, dependence,lazy workers, causing internal unity

2 Directing the work of investment:

- To study and formulate market strategy, product strategy for each project, regional, business period up to 2020

- Actively expand cooperation with domestic and foreign partnerswith experience to create models of modern, unique, different and very close to the natural environment, imbued with national identityin projects

- Focus on directing the design, construction and installation of

low-rise housing, condominiums in Nam An Khanh project, the project Van La - Van Khe business according to plan

- For Tien Xuan projects urges the planning review board set up BT and leveling Joined the people’s

Committee of city from the planning stage subdivision of this region to accelerate Implementation of

investment and association with several partners to develop and implement plans to investment and business to ensure effective project report

- Research by a number of projects are difficult to find businessesor working capital management to the

transfer or investment cooperation

- Joint ventures with local partners and foreign management experience and financial capability to

develop commercial projects, services and development for each field is highly specialized

3 Steering the business operation:

- Focus on the business direction of the new urban projects Nam An Khanh, project Van La - Van Khe to ensure high efficiency,make capital investment for this project and expand investmentprojects

and other business of the Company

- Develop plans for management and operation of the new urban, residential uniform, sciences in order to best serve the needs of our customers, contributing to raising the prestige of the

companyand facilitate the business of the Company projects to be effective

4 Directing the economy and plans:

- Based on business plan targets in the business production are adopted by General Board of Directors, the Board tasked the executive apparatus specific company goals The organization reviews quarterly

the implementation of business value delivered, add the completion of planned targets for the regime,the interests of the executive and staff

- To enhance the direction and supervision of representatives ofcapital in subsidiaries in the

implementation plan of business production has been approved

5 Seering the finance – accounting activities:

- Develop a financial plan, close to the actual needs for the projectto allocate capital rationally,

optimize capital efficiency

- Ensure adequate funding for investment projects of the parent company, subsidiary

company, not to slow progress of projects,especially in key projects due to lack of investment

capital.Working with a number of banks, financial institutions, financecompanies to arrange

for, financing for projects of the Company

- Restructuring the portfolio, the percentage of ownership in thecompany to contribute capital to preserve and promote efficientcapital investment

- Research time increase its chartered capital to create high performance for investors

For specific details, in the Board of Directors in 2011 will strengthen the direction

and supervision of company businessactivities Board will continue to closely supervise, solved anddetermined

to handle and overcome these problems exist in the regulations, internal regulations of the Company and

State laws.

Salary of Board of Directors and Board of Supervisors

Chairman of Board of directors 10.000.000

Members of Board of directors 8.000.000

Chief of Board of Supervisor 8.000.000

Member of Board of Supervisor 5.000.000