Amount Due From/(to) Related Companies

3 Months Ended

Aug. 31, 2012

Amount Due From/(to) Related Companies:

Amount Due From/(to) Related Companies

NOTE 9 – AMOUNT DUE FROM/(TO) RELATED COMPANIES

Redtone Technology Sdn. Bhd. was previously the holding company of Redtone Telecommunications (China) Ltd. Pursuant to the reverse acquisition by Redtone Asia, Inc., Redtone Technology Sdn. Bhd. is now a related company of Redtone Asia, both of which are subsidiaries of penultimate holding company by the name of Redtone International Berhad.

Amount due from a related company as of the balance sheet dates are summarized as follows:

	August 31, 2012		May 31, 2012
Fellow subsidiary:
REDtone Technology Sdn. Bhd.	$	3,338,275	$	3,261,155
	$	3,338,275	$	3,261,155

The amount represents advances to the related company. As of the balance sheet dates, the amount is unsecured, non-interest bearing and is expected to be repaid within three to five years.

Amount due to a related company as of the balance sheet dates are summarized as follows:

	August 31, 2012		May 31, 2012
Fellow subsidiary:
Redtone Telecommunications Sdn Bhd	$	77,181	$	77,128
	$	77,181	$	77,128

The amount due to the related company is unsecured, non-interest bearing and has no fixed repayment date.