China National Tourism Administration Refunds Temporarily Part of Quality Bond tthe to of travel quality bond agencies refund and

In order to support travel agencies to deal with the difficulties in operation caused by such significant factors home and abroad as international financial crisis, China National Tourism Administration (CNTA) issued the Urgent Notice on Refunding Temporarily Part of the Quality Bond to Support Travel Agencies to Tide over Financial Crisis (hereinafter referred to as the %26quot;Notice%26quot;) a few days ago in accordance with the unified deployment by the CPC Central Committee and the State Council. Pursuant to the Notice, part of the quality bond of travel agencies (hereinafter referred to as %26quot;quality bond%26quot;) will be refunded for the moment to travel agencies.

It is indicated in the Notice that the scope of refund this time covers all the travel agencies which have paid the full amount of quality bond and obtained the business license of travel agency. Those whose quality bond has already decreased temporarily to the limit of refund this time due to Wenchuan Earthquake will not be reconsidered, and those whose quality bond has been frozen will not be included this time. Due to discrepancy among different regions and different travel agencies, the refund proportion for the quality bond ranges from 50% to 70%, and the actual local refund proportion shall be determined by relevant tourism administrative departments at province level. The refund proportion for the quality bond of travel agencies handled by CNTA is 70%.

It is required in the Notice that the term of the amount of quality bond refunded temporarily to the travel agencies for active turnover is two years (i.e. expires on December 31, 2010). The refund work will be completed by the end of January 2009.