Ann: Half Yearly Report and Accounts, page-13

Mr-Chow,

Any businesses will have their own strength andweakness. Just looking at eBay vs. Amazon, eBay is a pure platform and does notcarry stock by itself, Amazon, on one hand has its own retail business whichcarries stock and having to support its cash flow, of course, it also has themarketplace business too. If using your theory, eBay should have been a betterbusiness model, but the value of Amazon globally is far more than eBay. Lookingat another angle, if HT8 is to launch another “platform” business, it faces adaunting task of competing against the likes of eBay, Amazon, Kogan and Catch,even Mydeal, instead, it takes advantage of these platforms and strategicallypositioned to benefit from the marketing of these strong platforms, hence, havecreated a very strong growth story so far as indicated by recent a few quarterresults. It is certainly a “better” business model if you can use other people’s inventory, but this business model has been very much dominated already by the major e-commerce sites mentioned previously. Personally,I have missed investing in Amazon and eBay etc. already, but I am more than happy to be a shareholder with this small cap where it seems to have a proven strategy and a high leverage on the giant players. Despite of the maybe low margins, it is producing nice profitalready. In summary, one can invest into the likes of Mydeal as a platform business and competing against the major sites like eBay, Amazon or TPW. In my situation, I believe HT8 can keep growing its business on all the platforms. Its business model isalso fairly unique and until now, is less crowed. My opinion only.