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In 2006, we obtained an ISO9001 certification. Our OEM customers would from time to time station their quality assurance personnel at our production facilities to monitor our production of their products. In addition, our OEM customers also carry out two audits each year on various aspects of our business including our management, manufacturing and quality capabilities to ensure that we meet their requirement.

As we outsource a portion of production to our contract manufacturers, we also place great emphasis on the products produced by them. We regularly send our personnel to the manufacturing premises of our contract manufacturers to audit and to ensure that they have similar quality control procedures as ours. In addition, finished products that are sent to us are also inspected to ensure that they meet our quality requirements and are in accordance with our orders. Finished products that do not meet our quality requirements are rejected and returned.