Investor Presentaiton

BLUE STAR 蓝色之星 BlueStar's Business: Recent Developments Trading Update on 31 December 2008 " " Strong order book but delays in conversion to sales especially in banking sector Revenue expected to be 32% lower than previously forecast Net profit expected to be substantially lower than previously anticipated Cash position remained strong with approximately RMB 80 million / £8 million Success of expansion and diversification into new sectors reflected by contract wins Short term economic uncertainly but confident of long term prospects Well positioned and funded to capitalise when economic recovery begins 2 New contracts during Q3 2008 (1 October - 31 December 2008) Exclusive supplier of DVR products for China Agricultural Bank Shanghai Branch RMB 4.3 million contract with Bank of China Gansu Branch " ■ RMB 5.0 million contract with Tanggang Co., Ltd. (a large steel manufacturing company) RMB 7.8 million contract with Bank of China to provide specialized DVR systems RMB 2.5 million contract with China Agricultural Bank Inner Mongolia Branch Co-operation agreement with Kaiyuan Company 2 Significant Contracts during H1 2008 (1 April - 30 September 2008) RMB 13.7 million contract with Bank of China to provide specialized DVR systems across the country RMB 13.0 million software contract with An Heng Testing Appointed as exclusive supplier by Beijing Branch of China Construction Bank for DVR products 13

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