BELLE: Expected Sales Scale Will Protect Stability And Sustained Growth.

BELLE international performance showed that the 09 year net interest rate increased from 11.2% in 08 to 12.8%, while gross profit margin increased from 51.7% to 53.3% in 08 years, of which footwear business gross margin rose from 64.9% to 65.4%, and increased to 66.2% in the second half of the year.

By the end of December 09, BELLE had operated 9612 stores, including 6750 footwear and self agency stores, 2862 sportswear shops, and 681 stores throughout the year, with 10.9% growth in shops and an increase of 8% in the same store throughout the year.

BELLE believes that as the mainland's economic growth keeps rising at a relatively high speed, it will be more optimistic about the business development in 2010 and even in the next 2 to 3 years. It is expected that the sales scale will maintain stable and sustained growth, and will add the original core brand new shops to the second tier and three tier cities with low penetration. The company added that the high-end brands will mainly focus on the first tier and second tier cities in the future, while the middle and low level brands will be dominated by second tier and three tier cities.