Summary of Guaranty Contract of Pledge by and between Shenzhen BAK Battery Co., Ltd. and Longgang
Branch, Shenzhen Development Bank dated May 15, 2005
>> Contract number: Shenfa Longgang zhi zi NO.20050518002; >> As guarantor, the Company has pledged a
one-year term deposit of RMB50 million to Development Bank as collateral to secure its indebtedness under
Loan Agreement 5 which include the loan principal, interest, penalty interest, expenses for Development Bank to
realize its creditor's rights, and loan principal secured is RMB 47.5 million.
>> After the Company has pledged the term deposit as collateral, it should not transfer or permit any third party
to use such deposit without the prior written consent of Development Bank.
>> Guaranty Contract is irrevocable and independently effective.
Terms that have been omitted: disposal of the collateral by creditor; undertakings and representations of pledger;
independence of the contract; expenses and service charges; amendment and termination of the contract;
applicable law and dispute settlement; effectiveness and registration of the collateral; validity; and statement of