Pursuant to the Loan Agreement, Beijing Asian Union Culture Media Investment Co. Ltd. ("Beijing Asian Union") has agreed to grant a loan of RMB 700,000,000 (the "Loan") to Huayi Brothers Media Corporation ("Huayi Brothers") for a term of 5 years at the interest rate of the People's Bank of China 5-year lending base lending rate (such rate being 4.75% per annum as at the date of this announcement, subject to adjustment from time to time). The Loan will be used by Huayi Brothers as the working capital for carrying out its operations within its business scope. Huayi Brothers has agreed to provide various security (including pledge of equity interest in a subsidiary of Huayi Brothers, pledge of rights to receive investment return under a fund, as well as unlimited joint and several guarantees provided by two major shareholders (including their respective associates) of Huayi Brothers) to Beijing Asian Union.