Editorial Summary

The Shanghai Composite Index was down 1.93 percent to close at 3,369.913 while the Shenzhen Composite Index fell 1.28 percent to close at 1,021.36 on Wednesday. Trading volume on the Shanghai and Shenzhen Stock Exchanges reached RMB 59.171 billion and RMB 27.914 billion, respectively. Companies affiliated with the restructuring telecom industry declined on Wednesday: shares of China Unicom (NYSE: CHU, 762.HK, 600050.SH), Bright Oceans Inter-Telecom (600289.SH), Eastern Communications (600776.SH) and Fiberhome Telecommunication (600498.SH) decreased 8.86 percent, 7.9 percent, 7.0 percent and 6.92 percent, respectively.

Bank of Shanghai announced on June 3 that the bank has started preparing for an A-shares listing, reports caijing.com.cn. Guotai Junan Securities, Shenyin & Wanguo Securities Co., Ltd and Citic Securities (600030.SH) have been named the bank's primary underwriters. Bank of Shanghai recorded gross profit of RMB 3.24 billion by 2007. Three city banks have listed on the A-shares market to date: Bank of Nanjing (601009.SH), Bank of Ningbo (002142.SH) and Bank of Beijing (601169.SH).