Note 5 - Acquisition of A Subsidiary

6 Months Ended

Nov. 30, 2014

Notes

Note 5 - Acquisition of A Subsidiary

NOTE 5 – ACQUISITION OF A SUBSIDIARY

On January 22, 2014, the Company acquired 56% equity interest in Xin Chang. Consideration of $245,655 was paid upon signing of the Acquisition Agreement; while another $489,900 to be paid to Xin Chang as an operating fund in batches based on Xin Chang’s financial needs as determined by the Company.

The results of Xin Chang for the six months ended November 30, 2014 are as follows:

Revenue	$904,809
Other income	2,870
Cost of services	(835,168)
Personnel cost	(47,373)
Depreciation expense	(9,397)
Amortization expense	(10,888)
Administrative and other expenses	(64,706)
Net income for the period	(59,853)