Speech of Mr. Choi Kin Chung

Chairman Emeritus Mr. Fong Sou Lam, Chairman He, Members of the senior management, Distinguished Guests, Ladies and Gentlemen, Good evening.

It is my great honour to have the opportunity to share with all of you, my joy over celebrating Fong’s Industries Group’s 50th Anniversary banquet tonight. I cannot help but recall the close bond that I have formed with Fong’s over the past forty years. Having started our business in Hong Kong and expanded into Mainland China, together, we have worked through thick and thin; this is a prime example of a resolute business relationship.

In 1965, my friend and I took over a so-called dyeing factory for nine thousand Hong Kong dollars. The factory was not more than 400 square feet in size, and the equipment includedjust a 24-inch centrifugal hydro-excretor and two stainless steel pots, which were heated by kerosene and could only dye a 15-Kg piece of knitted fabric per pot. This was a typical example of a small, rudimentary factory. In any case, this was how I entered the knitting industry and gained knowledge of the industry.

At that time, the dyeing vats manufactured by Fong’s were considered reputable. However, I did not have the chance to meet Mr. Fong until 1969 when I asked Fong’s for a quotation as I considered buying new equipment for my newly established factory. In the end, I was not able to purchase the equipment from Fong’s due to financial constraints. By 1971, my factory was planning to expand into high temperature dyeing and needed high pressure vats. Fong’s was the only local manufacturer that could produce this type of machine and it could do so for a more reasonable cost than those manufactured in Taiwan, Japan, Europe or America. Fong’s also provided direct after-sale services and that is how we established our close ties some forty years ago.

During the 70s, Europe, Japan and Taiwan led development in the knitting industry, followed by Hong Kong and South Korea. Due to our internal development needs, I had chosen equipment manufactured by foreign companies but the after-sale services were largely unsatisfactory. Fortunately, Fong’s had talent and comprehensive equipment; they were also generous and always willing to lend a hand in helping to solve our problems. Oftentimes, Mr. Fong reviewed and discussed problems personally with our people, himself gaining experience and insight that would prove valuable for designing and producing new products. We had achieved a win-win situation.

After the economic reform and the opening up of China, and due to various preferential conditions offered by the PRC government, both Fong’s and our Company moved production to Mainland China. These moves enabled us to develop on a larger scale and offered more opportunities for cooperation. We made our respective contributions to the improvement, innovation and development of the knitting industry. In this sense, Mr. Fong and I are the best of partners.

In November 2010, I was awarded the “China Knitting Industry Lifetime Achievement Award” by the China Knitting Industry Association. I am, of course, very honored to receive such an award. However, I am also grateful to Mr. Fong and the staff of both companies for their efforts and contributions to the knitting industry. In short, the results achieved are the fruits of the team’s cooperation.

Today, Fong’s Industries Group has become a member of the China Hi-Tech Group Corporation. Taking advantage of China’s development coupled with the solid foundation the Company has built over the past 50 years, Fong’s looks set to be more powerful and have brighter prospects in the future. I would like to take this opportunity to wish Fong’s Industries Group another 50 glorious years under the leadership of China Hi-Tech Group Corporation.

Thank you very much!

Choi Kin Chung

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