SHAREHOLDERSAGREEMENTTHISSHAREHOLDERSAGREEMENT(this4Agreement")ismadeasofthe_dayof2008,byandamongChinaHomedepotConstructionMaterialsInvestmentGroupLimited,acompanyincorporatedunderthelawsoftheBritishVirginIslands(the"Company”)，Mr.WANGCongwei(王丛威)，afpermanent]residentofHongKongSpecialAdministrativeRegionofthePeople'sRepublicofChina("Mr.Wang"),andARCHHouseholdLimited,acompanyincoiporatedunderthelawsoftheBritishVirginIslands(“ARCH").Theforegoingpartiesshallbehereinafterreferredtocollectivelyasthe"Parties"andindividuallyasa“Party''.RECITALSWHEREAS,theCompany,ARCH,Mr.WangandtheotherpartiestheretohaveenteredintoaSharePurchaseAgreementdatedasof,2008(the"SharePurchaseAgreement"),pursuanttowhichARCHwillacquirefromMr.Wang80%ofalltheoutstandingOrdinarySharesoftheCompanysubjecttothetermsandconditionsthereunder;andWHEREAS,itisaconditionprecedenttotheClosing(asdefinedbelow)undertheSharePurchaseAgreementthatthePartiesenterintothisAgreementtosetoutthetermsgoverningtherelationshipamongthePartiessubsequenttotheClosing;WITNESSETHNOW,THEREFORE,inconsiderationofthepremisessetforthabove,themutualpromisesandcovenantssetforthhereinandothergoodandvaluableconsideration,thePartiesheretoherebyagreeasfollows:SECTION1.INTERPRETATION・1.1Definitions.Thefollowingterms(wheneverusedincapitalizedinitials)arenotdefinedinthetextoftheAgreementandshallhavethemeaningsascribedtothembelow:"BusinessDay^meansanyweekdaythatthebanksinHongKongareopenforbusiness."Closin旷shallhavethemeaningascribedtheretoinSection2.3oftheSharePurchaseAgreement.“ClosingDate^shallhavethemeaningascribedtheretoinSection2.3oftheSharePurchaseAgreement.“control"means,whenusedwithrespecttoanyPerson,thepowertodirectthemanagementandpoliciesofsuchPerson,directlyorindirectly,whetherthroughtheownershipofvotingsecurities,bycontractorotherwise,andtheterms"controllingand"controlled^havemeaningscorrelativetotheforegoing.
"GovernmentalAuthorities^shallhavethemeaningascribedtheretoinSectionIJoftheSharePurchaseAgreement."Law"meansanyconstitutionalprovision,statuteorotherlaw,rule,regulation,officialpolicyorinterpretationofanyGovernmentalAuthorityandanyinjunction,judgment,order,ruling,assessmentorwritissuedbyanyGovernmentalAuthority.^OrdinaryShares"meanstheordinaryshares,parvalueUS$1.00pershare,oftheCompany."Person"meansanyindividual,corporation,partnership,limitedpartnership,proprietorship,association,limitedliabilitycompany,firm,trust,estateorotherenterpriseorentity.“PrincipalAgreements^shallhavethemeaningascribedtheretoinSection1.1oftheSharePurchaseAgreement."Subsidiary"means,withrespecttoagivenPerson,anyPersonthatisnotanaturalPersonandthatiscontrolledbysuchgivenPerson.1.1Interpretation.ForallpurposesofthisAgreement,exceptasotherwiseexpresslyprovided,(i)thetermsdefinedinthisSection1.1shallhavethemeaningsassignedtotheminthisSectionLIandincludethepluralaswellasthesingular,(ii)allreferencesinthisAgreementtodesignated“Sections"andothersubdivisionsaretothedesignatedSectionsandothersubdivisionsofthebodyofthisAgreement,(iii)pronounsofeithergenderorneutershallinclude,asappropriate,theotherpronounforms,(iv)thewords"herein,""hereof^and"hereunder^andotherwordsofsimilarimportrefertothisAgreementasawholeandnottoanyparticularSectionorothersubdivision,and(v)allreferencesinthisAgreementtodesignatedSchedules,ExhibitsandAnnexesaretotheSchedules,ExhibitsandAnnexesattachedtothisAgreementunlessexplicitlystatedotherwise.SECTION2・TRANSFERRESTRICTIONS・1.1RestrictionsonTransfersofOrdinarySharesbyMr.Wang.4.1Mr.WangagreesthatunlesswithpriorwrittenconsentofARCH,hewillnotdirectlyorindirectly:6.1sell,assign,transfer,pledge,hypothecateorotherwiseencumberordisposeofanyOrdinarySharesnoworhereafterownedorheldbyhim;or6.2enterintoanyswaporotherarrangementthattransfers,inwholeorinpart,anyoftheeconomicconsequencesofownershipofanyOrdinarySharesnoworhereafterownedorheldbyhim,whetheranysuchtransactiondescribedinclause(i)or(ii)aboveistobesettledbydeliveryoftheOrdinarySharesorotherequitysecurities,incashorotherwise(collectively,the“Transfers”).4.2AnyTransfersoftheOrdinarySharesnotmadeinconformancewiththeprovisions
inthisAgreementshallbenullandvoid,shallnotberecordedonthebooksoftheCompanyandshallnotberecognizedbytheCompany.1.1RightofFirstRefusal.7.1IntheeventthatMr.Wang(the"Transferor^)proposestoeffectaTransferofanyOrdinarySharestoaPerson(the“Transferee"),theTransferorshallgiveARCHawrittennoticeofhisintentiontomaketheTransfer(the"'TransferNotice"),whichTransferNoticeshallinclude(i)thenumberofOrdinarySharestobeTransferred(the“OfferedShares。，(ii)theidentityoftheprospectiveTransferee,(iii)theconsiderationtobepaidfortheOfferedShares(the"OfferedPrice^),and(iv)theothermaterialtermsandconditionsuponwhichtheproposedTransferistobemade.TheTransferNoticeshallcertifythattheTransferorhasreceivedabonafidefirmofferfromtheprospectiveTransfereeandingoodfaithbelievesabindingagreementfortheTransferisobtainableonthetermssetforthintheTransferNotice.TheTransferNoticeshallalsoincludeacopyofanywrittenproposal,termsheetorletterofintentorotheragreementrelatingtotheproposedTransfer.7.2Within30daysafterthereceiptoftheTransferNotice,ARCHmay,bynoticetotheTransferorinwritingwithin30daysafterthereceiptoftheTransferNotice,electtopurchasesuchnumberoftheOfferedSharesfromtheTransferoratthesamepriceandsubjecttothesamematerialtermsandconditionsasdescribedintheTransferNotice,asitmay,atitssolediscretion,determinetopurchase.SuchpurchaseshallbeconsummatedbyadeliverytotheTransferorbyARCHofapaymentbycheckorwiretransferagainstdeliverybytheTransferortoARCHof(i)thesharecertificaterepresentingthenumberoftheOfferedSharestobepurchasedbyARCH,and(ii)theappropriateinstrumentsoftransferdulyexecutedbytheTransferor,ataplaceagreeduponbythepartiesandatthetimeofthescheduledclosingtherefor,whichshallbenolaterthanforty-five(45)daysafterARCH’SreceiptoftheTransferNotice,unlessthevalueofthepurchasepricehasnotyetbeenestablishedpursuanttoSection2.4hereof,inwhichcase,suchclosingshallbeheldonorpriortothefifth(5th)BusinessDayaftersuchvaluationshallhavebeenmadepursuanttoSection2.4.7.3Totheextentthatthereareanyun-purchasedOfferedShareswithrespecttowhichARCHdoesnotexerciseitsrightoffirstrefusalhereunderandconsentstothetransferasdescribedintheTransferNoticepursuanttoSection2.1hereof,theTransferormaythen(subjecttoSection23)sellsuchun-purchasedOfferedSharestotheTransfereeatthesamepriceandsubjecttothesamematerialtermsandconditionsasdescribedintheTransferNoticeincompliancewithallapplicableLaws.1.2RightofCoSale.(a)IntheeventtheTransferorproposestotransferalloranyportionofanyOrdinarySharesnoworhereafterownedorheldbyhimtotheTransfereepursuanttoanunderstandingwiththeTransferee,totheextentARCHdoesnotexerciseitsrightoffirstrefusalastoanyoftheOfferedSharespursuanttoSection2.2hereof,ARCHshallhavetherighttoparticipateinsuchsaleoftheOrdinarySharesbytheTransferoronthesametermsandconditionsasspecifiedintheTransferNotice,bynoticetotheTransferorinwritingwithinthirty(30)daysafterreceiptoftheTransferNotice,whichnoticeshallindicatethenumberoftheOrdinarySharesARCHwishestosellunderitsrighttoparticipate.
(a)ARCHmayelecttoselluptosuchnumberoftheOrdinarySharesequaltotheproductof(i)theaggregatenumberofOfferedSharesproposedtobesoldtotheTransfereeassetforthintheTransferNoticemultipliedby(ii)afraction,thenumeratorofwhichisthenumberoftheOrdinarySharesownedbyARCHonthedateoftheTransferNoticeandthedenominatorofwhichisthetotalnumberoftheOrdinarySharesownedbyARCHandtheTransferoronthedateoftheTransferNotice.(b)ARCHshalleffectitsparticipationinthesalebypromptlydeliveringtotheTransferorfortransfertoprospectiveTransfereeoneormorecertificates,properlyendorsedfortransfer,representingthenumberoftheOrdinaryShareswhichARCHelectstosell,againstthepaymentthereforbytheTransfereetotheTransferorforremittancetoARCHbywiretransferofimmediatelyavailablefundspursuanttothetermsandconditionsspecifiedintheTransferNotice.(c)ThesharecertificateorcertificatesthatARCHdeliverstotheTransferorpursuanttoSection2.3(c)shallbetransferredtotheprospectiveTransfereeinconsummationofthesaleoftheOrdinaryShares,andtheTransferorshallconcurrentlytherewithremittoARCHthesaleproceedstherefrom.(d)TotheextentthatanyprospectiveTransfereeprohibitstheparticipationofARCHexercisingitsco-salerightshereunderinaproposedTransferorotherwiserefusestopurchasesharesfromARCH,theTransferorshallnotselltosuchprospectiveTransfereeanyOrdinarySharesunlessanduntil,simultaneouslywithsuchsale,theTransferorshallpurchasesuchnumberoftheOrdinarySharesfromARCHasitelectstosellforthesameconsiderationandonthesametermsandconditionsasdescribedintheTransferNotice,subjecttoSection2.4(a)below.1.1ValuationofProperty.(A)ShouldthepurchasepricespecifiedintheTransferNoticebepayableinpropertyotherthancashorevidencesofindebtedness,ARCHshallhavetherightto(i)paythepurchasepriceintheformofcashequalinamounttothevalueofsuchpropertyifitexercisesitsrightoffirstrefusal,or(ii)receivethepurchasepriceintheformofcashequalinamounttothevalueofsuchpropertyifitexercisesitsrightofco-sale.(B)IftheTransferorandARCHcannotagreeonsuchcashvaluewithinthirty(30)daysafterARCHESreceiptoftheTransferNotice,thevaluationshallbemadebyanappraiserofrecognizedstandingselectedbytheTransferorandARCHor,iftheycannotagreeonanappraiserwithinforty(40)daysafterARCHESreceiptoftheTransferNotice,eachshallselectanappraiserofrecognizedstandingandthetwo(2)appraisersshalldesignateathirdappraiserofrecognizedstandingwithinfifty(50)daysafterARCHESreceiptoftheTransferNotice,whoseappraisalshallbedeterminativeofsuchvalue.Theappraisalshallbecompletedwithinten(10)daysupontheappointmentoftheappraiserpursuanttothisclause.(C)ThecostofsuchappraisalshallbesharedequallybytheTransferorandARCH.1.2LimikitionstoRightsofFirstRefusal“ndCo-Sale.TheprovisionsofSections2丄2,2and2.3shallnotpertainorapplytoanytransferofOrdinarySharesbyMr.Wangtoanyspouseorothermemberofhisimmediatefamily,ortoacustodian,trustee,executororotherfiduciaryfortheaccountofhisspouseorothermemberofhisimmediatefamily,providedthateachsuch
transfereeorassignee,priortothecompletionofthetransfershallhaveexecuteddocumentsassumingtheobligationsofMr.WangunderthePrincipalAgreementswithrespecttothetransferredOrdinarySharesinaccordancewithSection8.3(c)hereof.1.1AvoidanceofTransferRestrictions.ThePartiesagreethattheTransferrestrictionsassetforthinthisSection2shallnotbecapableofbeingavoidedbytheholdingofOrdinarySharesindirectlythroughaPersonthatcanitselfbesoldinordertodisposeofaninterestinOrdinarySharesfreeofsuchrestrictions.AnyTransferorotherdisposalofanyshares(orotherinterest)resultinginanychangeinthecontrolofashareholderorofanycompany(orotherentity)havingcontroloverthatshareholdershallbetreatedasbeingaTransferoftheOrdinarySharesheldbythatshareholder,andtheprovisionsinSection2hereofshallthereuponapplyinrespectoftheOrdinarySharessoheld.SECTION3.DRAG-ALONGRIGHT.(a)Dnig・AlongRight.IntheeventARCHproposesaLiquidation(asdefinedbelow)oftheCompany,Mr.Wangshallconsenttoenterintoanyagreementinconnectionwith,andparticipatein,suchLiquidation;providedthatthetermsandconditions,includingwithoutlimitation,theconsiderationpayablewithrespecttoeachOrdinaryShareasaresultofsuchLiquidation,arethesame(exceptforcashpaymentsinlieuoffractionalshares).IntheeventsuchproposedLiquidationistobebroughttoavoteatashareholdermeeting,Mr.Wangagrees8.2tovote(inperson,byproxyorbyactionbywrittenconsent,asapplicable)allOrdinarySharesoftheCompanyastowhichheholdsorhasbeneficialownershipinfavorofsuchLiquidationandinoppositionofanyandallotherproposalsthatcouldreasonablybeexpectedtodelayorimpairtheabilityoftheCompanytoconsummatesuchLiquidation;8.3torefrainfromexercisinganydissenters9rightsorrightsofappraisalunderapplicableLawsatanytimewithrespecttosuchLiquidation;and8.4toexecuteanddeliverallrelateddocumentationandtakesuchotheractioninsupportoftheLiquidationasshallreasonablyberequestedbytheCompany.(b)Definitions.ForpurposesofthisAgreement,^Liquidation^oftheCompanymeansanyliquidation,dissolutionorwindingupoftheCompanyandanytransaction(treatinganyseriesofrelatedtransactionsasa"transaction^)involving(i)anysaleorconveyancebytheCompanyofallorsubstantiallyallofitsassets(includingthesaleorexclusivelicensingofallorsubstantiallyalltheintellectualpropertyassetsoftheCompany);(ii)anymergerorconsolidationoftheCompanywithorintoanyothercorporationorcorporationsorotherentityorentitiesoranyothercorporatereorganizationafterwhichtheholdersoftheCompany，svotingsecuritiespriortosuchtransactionownorcontrollessthanamajorityoftheoutstandingvotingsecuritiesofthesurvivingcorporationorotherentityonaccountofsharesheldbythempriortothetransaction;or(iii)asaleofamajorityoralloftheoutstandingvotingsecuritiesoftheCompany.(c)ExceptforthisAgreement,noneofthePartiesheretonoranyaffiliatesthereofshalldepositanysharesorsecuritiesoftheCompanybeneficiallyownedbysuchpartyoraffiliateinavotingtrustorsubjectanysuchsharesorsecuritiesoftheCompanytoanyarrangementoragreementwithrespecttothevotingofsuchsharesorsecuritiesoftheCompany.
SECTION4・CALLRIGHT・(a)Subjecttothetermsandconditionsherein,Mr.WangherebygrantstoARCHaright(the"CallRight")tobuyfromMr.WangandtorequireMr.WangtoselltoARCHallOrdinarySharesoftheCompanyownedorheldbyMr.Wang(collectively,the"Shares")atapriceassetforthinSection4.2below.(b)ARCHmayexercisetheCallRightfollowingthefirstanniversaryoftheClosingDatebydeliveringnoticethereof(the"CallExerciseNotice")inwritingtoMr.Wang.ThepersharepricetobepaidbyARCHfortheSharesshallbe25%ofthetotalofUS$60,753,736adjustedbytheadjustmentspursuanttoSection2.5oftheSharePurchaseAgreement,asdividedbythetotalnumberoftheOrdinarySharesownedorheldbyMr.Wangasofthedatehereof.(c)ThepurchaseoftheSharesbyARCHfromMr.WangshallbeconsummatedbyadeliverytoMr.WangbyARCHofapaymentofthepriceassetforthinSection4.2abovebywiretransferofimmediatelyavailableU.S.DollarfundstoabankaccountdesignatedbyMr.Wanginwriting(suchdesignationtobemadewithin5daysofthereceiptbyMr.WangoftheCallExerciseNotice)againstdeliverybyMr.WangtoARCHof(i)thesharecertificaterepresentingtheShares,and(ii)theappropriateinstrumentsoftransferdulyexecutedbyMr.Wang,ataplaceagreeduponbythepartiesandatthetimeofthescheduledclosingtherefor,whichshallbenolaterthantwenty(20)daysafterthereceiptbyMr.WangoftheCallExerciseNotice.(d)EachPartyshallpaysuchtaxesasrequiredthereofbyapplicableLawsinconnectionwiththesaleandtransferoftheSharespursuanttothisSection4.WherepursuanttotheprovisionsoftheapplicableLaws,ARCHshallwithholdincometaxandothertaxespayablebyMr.WanginconnectionwiththesaleandtransferoftheShares,theamountofthepaymenttobemadebyARCHunderSection4.2aboveshallbeadjustedtoreflectthedeductionandwithholdingofsaidtaxes.SECTION5.REPRESENTATIONSANDWARRANTIES・EachofthePartiesherebyrepresentsandwarrantstoeachoftheotherPartiesthat(i)suchPartyhasallrequisiteright,capacity,powerandauthoritytoenterinto,concludeandperformeachofitsobligationsunderthisAgreement;(ii)theexecutionofthisAgreement,andtheperformanceofeachofsuchParty'sobligationsunderthisAgreementbysuchPartydoesnotviolatetherightsofanyPersonpursuanttoanexistingagreementwhichsuchPartyisboundby,orrequiresanyapproval,authorization,permits,orwaiverfrom,orregistrations,qualification,declaration,orfilingstobeobtainedormadebysuchPartywithanyGovernmentalAuthorities;(iii)uponexecutionofthisAgreementbysuchParty,thisAgreementshallconstitutelegal,validandbindingobligationsofsuchParty,and(iv)suchPartywillnotclaimonanygroundthatthisAgreementisinvalid,illegalorunenforceable.SECTION6.CONTINUINGCOVENANTS.(a)Liens,PledgesandRestrictionsonOrdinaryShares.Mr.WangagreesthatnoneoftheOrdinarySharesoranyotherequitysecuritiesoftheCompanycurrentlyorhereafterownedorheldbyhimshallbesubjected,afterthedateofthisAgreement,toanymortgage,pledge,claim,securityinterest,encumbrance,titledefect,lien,chargeorotherrestrictionorlimitation,unlessapprovedinadvanceinwritingbyARCH.
(a)GrantofPowerofAttorney.Mr.WangherebygrantsanirrevocablepowerofattorneytotheCompanyorARCH,asthecasemaybe,tovoteallsharesownedorheldbyhim,toexecuteanddeliveralltherelateddocumentsortotakeanyotheractionstoimplementtheprovisionsofandtoachievethepurposesofthisAgreement,uponandonlyuponthefailureofhimtovotehisshares,executeanddelivertherelateddocuments,ortakeanyotheractionsasreasonablyrequestedbytheCompanyorARCH,toimplementtheprovisionsofandtoachievethepurposesofthisAgreement(includingwithoutlimitationthosesetforthinSections2今3and4)・(b)FurtherAssurance.EachPartyagreestoexecutesuchfurtherinstruments,documentsandotherwritings,andtotakesuchfurtheractionsasmaybereasonablynecessarytocarryoutthefullintentofthisAgreement.SECTION7.INDEMNIFICATION.SurvivalofRepresenUitionsandWarranties.TherepresentationsandwarrantiessetforthunderSection5shallsurvivetheClosing,andsuchwarrantiesandrepresentationsshallinnowaybeaffectedbyanyinvestigationofthesubjectmatterthereofmadebyoronbehalfofARCH.Indemnity.Mr.WangshallindemnifyARCHforanylosses,liabilities,damages,liens,penalties,costsandexpenses,includingreasonableadvisor^feesandotherreasonableexpensesofinvestigationanddefenseofanyoftheforegoing(butexcludinganyconsequential,speculativeorpunitivedamages)(collectively,the“Losses"),incurredbyARCHasaresultofanybreachorviolationofanyrepresentationorwarrantymadebyhimcontainedherein,oranybreachbyhimofanycovenantoragreementcontainedherein.IfARCHbelievesthatithasaclaimthatmaygiverisetoanindemnityobligationhereunder,itshallgivepromptnoticethereoftoMr.Wangstatingspecificallythebasisonwhichsuchclaimisbeingmade,thematerialfactsrelatedthereto,andtheamountoftheclaimasserted.ThisSection7shallnotbedeemedtoprecludeorotherwiselimitinanywaytheexerciseofanyotherrightsorpursuitofanyotherremediesbyARCHforthebreachoftherepresentations,warrantiesorcovenantsandagreementshereunder.SECTION8・MISCELLANEOUS.&1SupremacyofthisAgreement.IftheprovisionsofthisAgreementconflictwiththeMemorandumandArticlesofAssociationoftheCompany,theprovisionsofthisAgreementshallprevailasamongtheParties.Further,thePartiesshall:exerciseallvotingandotherrightsandpowersavailabletothemtogiveeffecttotheprovisionsofthisAgreement;and(ifnecessary)ensurethatanyrequiredamendmentismadetotheMemorandumandArticlesofAssociationoftheCompany.Legending.EachexistingorreplacementcertificateforOrdinarySharesnoworhereafterownedorheldbyMr.Wangshallbearthefollowinglegendonitsface:
“THESALE,PLEDGE,HYPOTHECATION,ASSIGNMENTORTRANSFEROFTHESECURITIESREPRESENTEDBYTHISCERTIFICATEARESUBJECTTOTHETERMSANDCONDITIONSOFACERTAINSHAREHOLDERSAGREEMENT,BYANDAMONGTHEHOLDERHEREOF,THECOMPANYANDTHEOTHERPARTIESTHERETO.COPIESOFSUCHAGREEMENTMAYBEOBTAINEDUPONWRITTENREQUESTTOTHESECRETARYOFTHECOMPANY.”Successors“ndAssigns;NoThirdPartyBeneficiariesThetermsandconditionsofthisAgreementshallinuretothebenefitofandbebindinguponthePartieshereto,theirsuccessorsandpermittedassignsandtheirlegalrepresentatives.NothinginthisAgreement,expressorimplied,isintendedtoconferuponanypartyotherthanthePartiesheretoandtheirrespectivesuccessorsandassignsanyrights,remedies,obligations,orliabilitiesunderorbyreasonofthisAgreement.Mr.WangmaynotassignortransferanyrightsorobligationssetforthinthisAgreementwithoutthepriorwrittenconsentofARCH.Withrespecttoallpermittedassignments,(A)Mr.Wangshall,priortotheeffectivenessofsuchtransfer,furnishtoARCHwrittennoticeofthenameandtheaddressofsuchtransfereeandifapplicable,theconstitutionaldocumentsofsuchtransferee,(B)anysuchtransfereeshallreceivethetransferredOrdinarySharessubjecttoallthetermsandconditionsofthisAgreement,executeanInstrumentofAccessionintheformattachedheretoasExhibitA.andjoininthisAgreementandotherapplicablePrincipalAgreementsasaparty,(C)Mr.WangremainsliabletoallofhisobligationsundereachofthePrincipalAgreementsfollowingthetransferifthetransfereebreachesanyprovisionhereinortherein;and(D)nopartialtransferofMr.Wang^equityownershipintheCompanyisallowed.GoverningLaw.ThisAgreementshallbegovernedbyandconstruedunderthelawsofHongKong,withoutregardtoprinciplesofconflictsoflawthereunder・Counterparts.ThisAgreementmaybeexecutedintwoormorecounterparts,eachofwhichshallbedeemedanoriginal,butallofwhichtogethershallconstituteoneandthesameinstrument.HeadingsandTitles.HeadingsandtitlesusedinthisAgreementareusedforconvenienceonlyandarenottobeconsideredinconstruingorinterpretingthisAgreement.Notices.AnynoticerequiredorpermittedpursuanttothisAgreementshallbegiveninwritingandshallbegiveneitherpersonallyorbysendingitbynext-dayorsecond-daycourierservice,fax,electronicmailorsimilarmeanstotheaddressasshownbelowthesignatureofsuchPartyonthesignaturepagehereto(oratsuchotheraddressassuchPartymaydesignatebyfifteen(15)days'advancewrittennoticetotheotherPartiesheretoinaccordancewiththisSection8<7)>Whereanoticeissentbynext-dayorsecond-daycourierservice,serviceofthenoticeshallbedeemedtobeeffectedbyproperlyaddressing,pre-payingandsendingbynext-dayorsecond-dayservicethroughaninternationally-recognizedcourieralettercontainingthenotice,withaconfirmationofdelivery,andtohavebeeneffectedattheexpirationoftwo(2)daysaftertheletter
containingthesameissentasaforesaid.Whereanoticeissentbyfaxorelectronicmail,serviceofthenoticeshallbedeemedtobeeffectedbyproperlyaddressing,andsendingsuchnoticethroughatransmittingorganization,withawrittenconfirmationofdelivery,andtohavebeeneffectedonthedaythesameissentasaforesaid.DisputeResolution.Anydispute,controversyorclaimarisingoutoforrelatingtothisAgreement,ortheinterpretation,breach,terminationorvalidityhereof,shallfirstbesubjecttoresolutionthroughconsultationofthePartiestosuchdispute,controversyorclaim.Suchconsultationshallbeginwithinseven(7)daysafteronePartyheretohasdeliveredtoanyotherParty(ies)heretoawrittenrequestforsuchconsultation・Ifwithinthirty(30)daysfollowingthecommencementofsuchconsultationthedisputecannotberesolved,thedisputeshallbesubmittedtoarbitrationupontherequestofeitherPartywithnoticetotheother.ThearbitrationshallbeconductedinHongKongundertheUNCITRALArbitrationRulesineffectatthetimeoftheinitiationofthearbitration.ThearbitrationshallbeadministeredbytheHongKongInternationalArbitrationCentre(the"Centre^or"HKIACJinaccordancewiththeHKIACProceduresfortheAdministrationofInternationalArbitrationineffectatthetimeoftheinitiationofthearbitration.Thereshallbethreearbitrators.Eachpartyinthedisputeshallselectonearbitratorwithinthirty(30)daysaftergivingorreceivingthedemandforarbitration.Sucharbitratorsshallbefreelyselected,andthePartiesshallnotbelimitedintheirselectiontoanyprescribedlist.TheSecretaryGeneraloftheCentreshallselectthethirdarbitrator,whoshallbequalifiedtopracticelawinHongKong.Tfeitherpartydoesnotappointanarbitratorwhohasconsentedtoparticipatewithinthirty(30)daysafterselectionofthefirstarbitrator,therelevantappointmentshallbemadebytheSecretaryGeneraloftheCentre.ThearbitrationproceedingsshallbeconductedinEnglish.TotheextenttheUNCITRALArbitrationRulesorHKIACProceduresareinconflictwiththeprovisionsofthisSection&&includingtheprovisionsconcerningtheappointmentofarbitrators,theprovisionsofthisSection8.8shallprevail.ThearbitratorsshalldecideanydisputesubmittedbythePartiestothearbitrationstrictlyinaccordancewiththesubstantiveLawsofHongKongandshallnotapplyanyothersubstantiveLaw.EachPartyheretoshallcooperatewiththeothersinmakingfulldisclosureofandprovidingcompleteaccesstoallinformationanddocumentsrequestedbytheothersinconnectionwithsucharbitrationproceedings,subjectonlytoanyconfidentialityobligationsbindingonsuchParty.TheawardofthearbitraltribunalshallbefinalandbindinguponthedisputingParties,andeitherPartymayapplytoacourtofcompetentjurisdictionforenforcementofsuchaward.EitherPartyshallbeentitledtoseekpreliminaryinjunctiverelief,ifpossible,fromanycourtofcompetentjurisdictionpendingtheconstitutionofthearbitraltribunal
Duringthecourseofthearbitraltribunafsadjudicationofthedispute,thisAgreementshallcontinuetobeperformedexceptwithrespecttothepartindisputeandunderadjudication.Expenses.IfanyactionatlaworinequityisnecessarytoenforceorinterpretthetermsofthisAgreement,theprevailingpartyshallbeentitiedtoreasonableattorneys'fees,costsandnecessarydisbursementsinadditiontoanyotherrelieftowhichsuchpartymaybeentitled.EntireAgreement:AmendmentsandWaivers.ThisAgreementtogetherwithallschedulesandexhibitsheretoandthereto,constitutetheentireagreementamongthePartieswithrespecttothesubjectmatterhereof.AnytermofthisAgreementmaybeamendedandtheobservanceofanytermofthisAgreementmaybewaived(eithergenerallyorinaparticularinstanceandeitherretroactivelyorprospectively)bythemutualconsentofthePartiesinwriting.Failuretoinsistuponstrictcompliancewithanyoftheterms,covenants,orconditionshereofwillnotbedeemedawaiverofsuchterm,covenant,orcondition,norwillanywaiverorrelinquishmentof,orfailuretoinsistuponstrictcompliancewith,anyright,powerorremedypowerhereunderatanyoneormoretimesbedeemedawaiverorrelinquishmentofsuchright,powerorremedyatanyothertimeortimes.Severability.IfoneormoreprovisionsofthisAgreementareheldtobeunenforceableunderapplicableLaw,suchprovisionshallbeexcludedfromthisAgreementandthebalanceoftheAgreementshallbeinterpretedasifsuchprovisionweresoexcludedandshallbeenforceableinaccordancewithitsterms.NoPresumption.ThePartiesacknowledgethatanyapplicableLawthatwouldrequireinterpretationofanyclaimedambiguitiesinthisAgreementagainstthedraftingpartyhasnoapplicationandisexpresslywaived.IfanyclaimismadebyaPartyrelatingtoanyconflict,omissionorambiguityintheprovisionsofthisAgreement,nopresumptionorburdenofprooforpersuasionwillbeimpliedbecausethisAgreementwaspreparedbyorattherequestofanyPartyoritscounsel.SpecificPerformance.EachofthepartiesheretorecognizesandacknowledgesthatabreachbyitofanycovenantsoragreementscontainedinthisAgreementwillcausetheotherpartytosustaindamageforwhichitwouldnothaveanadequateremedyatlawformoneydamages,andthereforeeachofthepartiesheretoagreesthatintheeventofanysuchbreachtheaggrievedpartyshallbeentitledtotheremedyofspecificperformanceofsuchcovenantsandagreementsandinjunctiveandotherequitablereliefinadditiontoanyotherremedytowhichitmaybeentitled,atlaworinequity.Termination.ThisAgreementshallterminateupontheconsummationofaninitialpublicofferingoftheOrdinarySharesoftheCompany;providedthattheprovisionsinSections5.7and8exceptforSection82shallsurvivethetermination.UseofEnglishLanguage.ThisAgreementhasbeenexecutedanddeliveredintheEnglishlanguage.AnytranslationofthisAgreementintoanotherlanguageshallhavenointerpretiveeffect.AlldocumentsornoticestobedeliveredpursuanttoorinconnectionwiththisAgreementshallbeintheEnglishlanguageor,ifanysuchdocumentornoticeisnotintheEnglishlanguage,accompaniedbyanEnglishtranslationthereof,andtheEnglishlanguageversionofanysuch
documentornoticeshallcontrolforpurposesthereof.[Theremainderofthispagehasbeenleftintentionallyblank]
INWITNESSWHEREOF,thePartieshaveexecutedthisAgreementasaDEEDasofthedatefirstabovewritten.COMPANY:TheCOMMONSEALof)CHINAHOMEDEPOTCONSTRUCTION)MATERIALSINVESTMENTGROUPLIMITED)wasaffixedtothisDeedby),))itsdirector)inthepresenceof:)Witness，signature:Witness，name:Witness，address:Witness'occupation:
SHAREHOLDERS:))))))))TheCOMMONSEALofARCHHOUSEHOLDLIMITEDwasaffixedtothisDeedbyRachelChiangitsDirectorinthepresenceof:Witness9signatureWitness'nameWitness^addressWitness'occupation
SHAREHOLDERS:SIGNED,SEALEDandDELIVERED)byMr.CongweiWANG(王丛威))inthepresenceof:)Witness9signature:Witness，name:Witness'address:Witness，occupation:
EXHIBITAFORMOFINSTRUMENTOFACCESSIONTHISINSTRUMENTOFACCESSION(thisInstrument)ismadeasof[InsertDate]by[InserttheNameoftheTransferee](the"Transferee^)・ReferenceismadetothatcertainShareholdersAgreement,datedasof,2008byandamongChinaHomedepotConstructionMaterialsInvestmentGroupLimited(the“Company")，ARCHHouseholdLimited(“ARCHJandMr.WANGCongwei(王丛威)("Mr.Wang'J,asamendedfromtimetotime,thatcertainSharePurchaseAgreement,datedasof、2008byandamongtheCompany,ARCH,Mr.Wangandtheotherpartiesthereto,asamendedfromtimetotime,andthatcertainCommitmentandNon-CompeteAgreement,datedasof,2008byandamongtheCompany,ARCH,Mr.Wangandtheotherpartiesthereto,asamendedfromtimetotime(collectively,the"TransactionAgreements").TheTransferee,asaconditionprecedenttobecomingtheownerorholderofrecordof[InsertNumberofShares]ofOrdinaryShares(the"TransferredSecurities^)oftheCompany,herebyagreestojoineachoftheTransactionAgreementsasapartytheretoandtobeboundbyandholdtheTransferredSecuritiessubjecttoalltheobligationsof[InserttheNameoftheTransferor]undereachoftheTransactionAgreementsasiftheTransfereewereanoriginalpartythereto.ThisInstrumentshallbegovernedbythelawsofHongKong・ThisInstrumentshalltakeeffectandshallbecomeanintegralpartofeachoftheTransactionAgreementsimmediatelyuponexecutionanddeliverytotheCompanyofthisInstrument.Bysigningbelow,theCompanyacknowledgesreceiptofwrittennoticeoftheassignmenttotheTransfereeoftheTransferredSecurities・INWITNESSWHEREOF,thisInstmmenthasbeendulyexecutedbytheTransfereeasaDEEDasofthedatefirstabovewritten.EXECUTEDASADEEDandDELIVERED)by[NAMEOFTRANSFEREE]))))andsignedby)inthepresenceof:)Address:[PleaseProvideAddressforNotices]ACCEPTED:CHINAHOMEDEPOTCONSTRUCTIONMATERIALSINVESTMENTGROUPLIMITEDby:Name:Title:Date:
TABLEOFCONTENTSPageSECTIONI.INTERPRETATION1SECTION2.TRANSFERRESTRICTIONS2SECTION3.DRAG-ALONGRIGHT5SECTION4.CALLRIGHT6SECTION5.REPRESENTATIONSANDWARRANTIES6SECTION6.CONTINUINGCOVENANTS7SECTION7.INDEMNIFICATION7SECTION&MISCELLANEOUS8
