Newly-developed nickel-hydrogen foldable electric bicycle, the first Chinese bicycle product passing TS certification in Japan, has a daily sales volume of more than 100 at JASCO Supermarket in Japan, which goes beyond Japan's Sanyo, Yamaha, and other well-known brands, and now has been supplied to such supermarkets as HEMA and VP in Europe……
       As a result, Xi Jinping, Zhejiang Provincial Party Secretary, Lv Zushan, Governor of Zhejiang Province, Qiao Chuanxiu, Vice Party Secretary and Bayinqolu, Vice Governor, have inspected and highly praised the Company successively. Bayinqolu, Vice Governor, also wrote an inscription for the Company: pursue excellence and create greater glories!
                                                    Good man persists always!
      "LIBAHUANG" has witnessed a legendary development process, while Mr. Yan Beizhan, the Company’s Board Chairman, is further a legend.
Mr. Yan Beizhan had an unfortunate childhood, his parents divorced when he was 9 years old, three brothers lived together with the father, and he dropped out of school due to family poverty. When he was 15 years old, he left the home quietly with 15 Yuan money to fend for himself and then experienced untold hardships. He ever engaged in motorcycle repair and then run a motorcycle repair shop. However, he suffered an unexpected "setback" and owed a debt of more than 10 families totaling RMB40,000 approximately. As a result, he had to sell his house for the debt, still owed a debt of more than RMB10,000, and feared to see those who called for debt repayments.
      However, Mr. Yan Beizhan was not depressed. When he was 18 years old, he found the market prospect of damageable manipulation cable of motorcycle and then came into the idea of producing it. He called together his friend Wu Zhiping, who ever engaged in motorcycle repair with him, and they bought such raw materials as wire ropes and casings and succeeded the idea after more than 100 tests in two months. The users reflected that the tension force was far above similar domestic products after the first batch of 2,000 cables was put on the market. From then on, he received a number of orders from bicycle manufacturers, and the production came into a snowball expansion.
      In 1992 Mr. Yan Beizhan took over 3-Mu land for use, invested RMB1 million to build a 4-storey plant, and developed 18 types of products, amongst which aviation industry steel hose manipulation cables possessed higher quality than imported products, while the price is only one-third of imported products. Consequently, the product’s competitiveness was greatly enhanced, and the product was favored by Shanghai MD and Chengdu Aircraft Industrial Company, which soon made the Company become one of three bicycle braking cable production bases in the country.
                                                    Create a famous brand and pursue high-level development
      One media evaluated Mr. Yan Beizhang as follows: because he has passion, he often comes into the feeling of superiority and continuous expansion of new business in the state of instinct; because he has a rational approach, he can take a prudent way to resolve the matters and can be fearless in face of difficulty and go his own way with confidence; because he has a strategic vision, he can do as intended under the complicated domestic and international competition.
      In 1993 Mr. Yan Beizhan began the implementation of a more ambitious plan – production of complete bicycle. On the same year, the output was 20,000 bicycles, the sales volume broken through RMB8 million, and the name "LIBAHUANG" came into being. In 1997 a garden plant area with RMB60 million investment and 128,000 square meters coverage was completed and put into operation, which made the Company become a backbone enterprise in bicycle industry of Zhejiang Province.
      Mr. Yan Beizhan took particular care of his own "LIBAHUANG" brand as done for a newborn. Just more than a year, two major series with 9 specifications and 30 varieties were developed on the basis of simplex mountain bicycles. Micro-adult bicycle successfully developed last year, also known as super-mini bicycle, received a large order as lunched in Tokyo bicycle show, also attracted bicycle industry's concerns around the world and then guided the world’s trend. Such design obtained 50 countries’ patents. In addition, a total of 37 practical patents concerning frame, handle and appearance were obtained. As a result, the Company was rated a patent model enterprise in Zhejiang Province.
      In order to improve the quality of products, more than RMB20 million was invested for technological transformation in 2002. The frame production line was transformed from carbon dioxide welding to DC pulse argon arc welding; four sets of Ransburg disk self-spraying machines were introduced from Japan, and a new coating production line was added as well; a wire locking machine and a assembly line were added, which, as a result, effectively enhanced the degree of automation, reduced the labor intensity, improved working environment, improved the quality and enhanced processing capacity of self-made pieces.
      At the beginning of this year, to meet the needs of modernized management, more than RMB1 million was invested for the construction of computer networks, which achieved more modern management means and contributed to first-class environment, first-class equipments, first-class quality, first-class management and first-class benefit of LIBAHUANG today.
                                                    Establish corporate image and compete the market
      In the middle and late 1990s, the domestic bicycle industry was very chaotic and was trapped in a low-quality malicious and disorderly competition, which resulted in the loss of many enterprises, and even collapse, and LIBAHUANG survived and came to the fore in the industry.
      Thanks to a strategic readjustment by Mr. Yan Beizhan, namely, development of high/medium-level products, withdrawal from low-level disorderly competition in the domestic market, focus on Japan and Southeast Asian markets, and gradual extension towards the United States and European markets. Based on the actual situations, the Company made full use of its favorable conditions and avoided unfavorable ones, and constantly developed new-style highly personalized products in a timely manner to satisfy the customers’ demands, worked together with professional institutes and universities to jointly develop new products, and then had achieved good results.
      Then, with the help of exhibition – the best platform for trade, cooperation and communications of contemporary industrial economy, the Company carried out the promotion of new corporate image with higher investments, scales and grades year after year, and even greater, higher and better effects as well. More than RMB3 million was invested on Canton Fair, Ningbo Fair, East China Fair, West China Fair, Shanghai Fair, Tokyo Fair, Milan Fair and Las Vegas Show on a yearly basis. The powerful exhibition activities revealed our strength, showed our style, got the customers impressed upon LIBAHUANG exhibition level, and enhanced the corporate image and popularity. As know to all, many customers would intend to visit a company after noticing its good image and products and eventually become partners. Both Japan market and the United States market witnessed a substantial growth of the Company’s export volume, an increase by 56% over the previous year was achieved in 2002, and a higher growth would be achieved this year.

      According to the statistics, in 2003 the Company’s output of bicycles and electric bicycles broken through 1 million, the sales revenues reached RMB350 million, and the profits and taxes added up to RMB27.6 million.
                                                    Focus on talents and maintain always capacity for later development
      After over 10 years’ tempering, Mr. Yan Beizhan turned out to be more mature and recognized that the key to always keep his enterprise in a positive position lies in the talents. The first thing for technological innovation and progress is the reserve of talents. As for the original in-house talents who had their skills, in addition to training and further study, he paid attention to full use of employees’ strength. As for the talents urgently needed for the development of the Company, he absorbed them with a variety of preferential measures. In the year before last, he introduced eight talents, including one senior engineer, four engineers and three assistant engineers. This year, he introduced seven professional technicians and management personnel, who all were college or secondary graduates. Moreover, the Company’s headquarter established a human resources database so as to enhance the talents’ training and management. Through long-term efforts, a team featured by knowledge, technology and management abilities was established, which contributed to product innovation, quality improvement, deepening of marketing means and implementation of brand strategy.
      Now the Company has already possessed industry production licenses, export products’ quality license and import/export self-operation rights; has passed ISO9001-2000 international quality management system certification, the United States BQR certification, Europe CE certification and Japan SG certification; LIBAHUANG bicycles are rated as the National export inspection-free products and brand products in Zhejiang Province; LIBAHUANG trademark is identified as Zhejiang famous trademark. The Company has been granted such titles as "Double-excellence Enterprise" by China Association of Foreign Investment Enterprises, Faithfulness Enterprise in Zhejiang Province, Patent Demonstration Enterprise in Zhejiang Province, Backbone Enterprise in Zhejiang Province, Top 100 Star Enterprises of Zhejiang Province, High-tech Enterprise in Jinhua City, Export Foreign Exchange Earning Enterprise in Jinhua City, Advanced Unit for Import/Export Verification in Jinhua City, Contract-honoring and Faith-keeping Enterprise in Jinhua City, etc.
      Mr. Yan Beizhan also actively participated in social welfare activities. For example, he conducted placement of surplus labor nearly 1,000 and donated more than RMB500,000 for charitable organizations and local masses and education cause in the past three years. Mr. Yan Beizhan very confidently told us: "next year, the market will have a new recognition of us, and LIBAHUANG will, through new concepts, give a full play of corporate and product images from aspects of design, manufacturing, sale, services, quantity, quality and credit". As an old saying goes, it never rains but it pours.
      LIBAHUANG is expected to make brilliant achievements again!