Price Adjustment Letter

Dear Customer,

For the past 6 years, XRD Graphite has worded hard to bring you very reasonable prices on graphite products. As you may know, due to shortage of raw material, the continued upward trend of operational costs and non-routine environmental inspection impact, we have suffered a significant increase in our costs.

We realize that in today’s world its hard to make ends meet. Our company has no choice but to adjust the prices in order to alleviate rising cost pressures. Effective Aug. 17 2017, the price of our graphite raw material will rise 15000RMB/MT.

As you know well, we have never compromised the quality of our products even in the hardest of times. We tried to avoid this hike in price, but it seems inescapable to us. It’s a tough decision for us and hope that you understand our situation.

Thank you for your support and hope to continue being in business with you in more years to come.

Sincerely

The XRD Graphite Team