Good day and welcome to the China Recycling Energy Corporation Second Quarter 2014 Earnings Conference Call. All participants will be in listen-only mode. (Operator Instructions) After today’s presentation there will be an opportunity to ask questions. (Operator Instructions) Please note this event is being recorded. I’d now like to turn the conference over to Jacky [indiscernible]. Please go ahead.

Thank you. Thank you for joining us on today’s call. Before we start, I would like to remind you that management’s prepared remarks contain forward-looking statements that are subject to risks and uncertainties and management may make additional forward-looking statements in response to your questions. Therefore the company claims the protection of the Safe Harbor for forward-looking statements that is contained in the Private Securities Litigation Reform Act of 1995. Actual results may differ from those discussed today due to such risks but not limited to fluctuation in customer demand, management of rapid growth, intensity of competition, general economical conditions, geopolitical events and the regulatory changes, and other information detailed from time-to-time in the company’s filings and future filings with the United States Securities and Exchange Commission. Accordingly, although the company believes that the expectations reflected in such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. In addition, any projections as to the company’s future performance represents management’s estimate as of today August 15, 2014. The company undertakes no obligations to correct or update any forward-looking statements provided as a result of new information, future events, or other change in our expectations. Joining us on today are Mr. Ku, CEO of the company; and Mr. Chong, our Chief Financial Officer. Because there will be some translations during the call, we ask for your patience at that time. Mr. Ku, the CEO of the China Recycling Energy Corporation will now deliver the opening remarks and our translator then thereafter. Mr. Ku, please go ahead.

Good morning and for those in China, good evening. We’re very pleased to report that during the quarter we’ve achieved a strong growth in our top and bottom lines. Our two main revenues is sales of systems and the interest income on sales-type business increased by 39% and 29% respectively. And our net income rose 76% a year over year period. We continue to benefit from the rising marketing demand in energy saving and recycling industry in China and as government supportive policies. China continues to face challenges in energy conservation and emission reduction. According to a mid-term assessment in 2013 the nation fell behind in some of its pollution target over the past three years. So the government data stating efforts over the last two years to ensure China energy and environment growth for 2015 within reach on May 26, 2014. 2014-2015 energy saving and the low carbon development action plan was issued by the State Counsel General Officer. The action plan sets a target for the reduction of the carbon emission of at least 4% in 2014 and a 3.5% in 2015. In addition, a Chinese Government official announced that in the next five year plan starting in 2016 where for the first time included a control on carbon emission by authorized tests. Therefore local officials, who have faced greater accountability for this performance in saving energy and cutting emission to ensure realizing the emission targets and a more supportive policies, carbon pricing tax financing, will be launched to facilitate all these efforts. Therefore we continue to see more opportunities to apply our energy saving kind of recycling system, to energy intensive industries. During the quarter we have entered into an Asset Transfer Agreement and a lease agreement for coke oven gas powered generation with [indiscernible] subsidy (poluida)…

Okay. Thank you Mr. Ku. And before we start I’d like to state that all our numbers are presented in U.S. dollars and that all comparisons are between Q2 2014 and Q2 2013, except for balance sheet items. In the second quarter ended June 30, 2014 total sales including sales of systems and contingent rental income were $19.16 million compared with $13.91 million. Sales of systems were $18.95 increased by 39.1% compared with $13.62 million. For the three months ended June 30, 2014 the Yida project 15 megawatt waste gas power generation system was sold. In comparison in the same period of 2013 the Shanxi Datong Phase I project two units of 3 megawatt BPRT power generation systems was completed and sold. Contingent rental income was $0.21 million compared to $0.29 million. This represents income from the sale of electricity in excess of the minimum leased payments. For sales type leases, sales and cost of sales are recognized at the time of sale on inception of the lease. In addition to sales revenue, CREG's other major source of revenues is interest income from sales-type leases. Cost of sales was $14.59 million increased by 39% compared to $10.5 million. This increase was mainly due to the larger sale of the Yida project compared to last year same period. Gross profit was $4.56 million an increase of 33.8% compared with $3.41 million. A blended gross margin slightly decreased from 25% to 24%. The decreased profit margin was mainly attributable to the lower contingent rental income received in the quarter. Interest income on sales-type leases was $6.12 million up 29.3% from $4.73 million. This increase was primarily due to the greater number of sales-type leases during the quarter. Interest income was derived from 15 sales-type leases including TRT system to Zhangzhi (13 year…

Thank you. We will now begin the question-and-answer session. (Operator Instructions) The conference has now concluded. Thank you for attending today’s presentation. You may now disconnect.

Thank you Andrew.

Thank you Andrew, thank you Jacky.

I will ask one more time. (Operator Instructions) Thank you. The call has concluded. You may disconnect your line at this time.

Thanks Andrew.