Explanation of Responses
------------------------
Name: Citadel Equity Fund Ltd.
Address: c/o Citadel Investment Group, L.L.C.
000 X. Xxxxxxxx Xxxxxx, 00xx Xxxxx
Xxxxxxx, Xxxxxxxx 00000
Issuer and Ticker Symbol: Harbin Electric, Inc. HRBN
Date of Event 8/30/2006
Requiring Statement:
Explanation of Responses:
Citadel Equity Fund Ltd. entered into a purchase agreement, dated August 29,
2006 (the "Purchase Agreement") with the Issuer, Advanced Electric Motors, Inc.,
a wholly owned subsidiary of the Issuer, and Xxxxxxx Xxxxx International,
pursuant to which Citadel Equity Fund Ltd. purchased, among other things, (i)
six-year warrants to purchase an aggregate of 2,192,308 shares of common stock
of Issuer and (ii) six-year warrants to purchase an aggregate of 525,830 shares
of common stock of Issuer. Citadel Limited Partnership is the trading manager of
Citadel Equity Fund Ltd. and consequently has voting control and investment
discretion over securities held by Citadel Equity Fund Ltd., and may be deemed
to indirectly control Citadel Equity Fund Ltd. Citadel Investment Group (Hong
Kong) Limited provides investment advisory services to Citadel Limited
Partnership with respect to Hong Kong-based investment activities. Each of the
other persons jointly filing this Form 3 may be deemed to indirectly control
Citadel Equity Fund Ltd.
JOINT FILER INFORMATION
-----------------------
Name: Citadel Investment Group, L.L.C.
Address: 000 X. Xxxxxxxx Xxxxxx, 00xx Xxxxx
Xxxxxxx, Xxxxxxxx 00000
Designated Filer: Citadel Equity Fund Ltd.
Issuer and Ticker Symbol: Harbin Electric, Inc. HRBN
Date of Event 8/30/2006
Requiring Statement:
CITADEL INVESTMENT GROUP, L.L.C.
By: /s/ Xxxxxxx X. Xxxxxxxxx
-----------------------------------------
Xxxxxxx X. Xxxxxxxxx,
Managing Director and General Counsel
JOINT FILER INFORMATION
-----------------------
Name: Citadel Limited Partnership
Address: c/o Citadel Investment Group, L.L.C.
000 X. Xxxxxxxx Xxxxxx, 00xx Xxxxx
Xxxxxxx, Xxxxxxxx 00000
Designated Filer: Citadel Equity Fund Ltd.
Issuer and Ticker Symbol: Harbin Electric, Inc. HRBN
Date of Event 8/30/2006
Requiring Statement:
CITADEL LIMITED PARTNERSHIP
By: Citadel Investment Group, L.L.C.,
its General Partner
By: /s/ Xxxxxxx X. Xxxxxxxxx
-----------------------------------------
Xxxxxxx X. Xxxxxxxxx,
Managing Director and General Counsel
JOINT FILER INFORMATION
-----------------------
Name: Citadel Investment Group (Hong Kong) Limited
Address: c/o Citadel Investment Group, L.L.C.
000 X. Xxxxxxxx Xxxxxx, 00xx Xxxxx
Xxxxxxx, Xxxxxxxx 00000
Designated Filer: Citadel Equity Fund Ltd.
Issuer and Ticker Symbol: Harbin Electric, Inc. HRBN
Date of Event 8/30/2006
Requiring Statement:
CITADEL INVESTMENT GROUP (HONG KONG) LIMITED
By: Citadel Investment Group, L.L.C.,
its Sole Shareholder
By: /s/ Xxxxxxx X. Xxxxxxxxx
-----------------------------------------
Xxxxxxx X. Xxxxxxxxx,
Managing Director and General Counsel
JOINT FILER INFORMATION
-----------------------
Name: Xxxxxxx Xxxxxxx
Address: c/o Citadel Investment Group, L.L.C.
000 X. Xxxxxxxx Xxxxxx, 00xx Xxxxx
Xxxxxxx, Xxxxxxxx 00000
Designated Filer: Citadel Equity Fund Ltd.
Issuer and Ticker Symbol: Harbin Electric, Inc. HRBN
Date of Event 8/30/2006
Requiring Statement:
By: /s/ Xxxxxxx X. Xxxxxxxxx
-----------------------------------------
Xxxxxxx X. Xxxxxxxxx, attorney-in-fact**
** Xxxxxxx X. Xxxxxxxxx is signing on behalf of Xxxxxxx Xxxxxxx as
attorney-in-fact pursuant to a power of attorney previously filed with the
Securities and Exchange Commission on February 4, 2005, and hereby incorporated
by reference herein. The power of attorney was filed as an attachment to a
filing by Citadel Limited Partnership on Schedule 13G/A for Komag, Incorporated.
JOINT FILER INFORMATION
-----------------------
Name: Citadel Wellington LLC
Address: c/o Citadel Investment Group, L.L.C.
000 X. Xxxxxxxx Xxxxxx, 00xx Xxxxx
Xxxxxxx, Xxxxxxxx 00000
Designated Filer: Citadel Equity Fund Ltd.
Issuer and Ticker Symbol: Harbin Electric, Inc. HRBN
Date of Event 8/30/2006
Requiring Statement:
CITADEL WELLINGTON LLC
By: Citadel Limited Partnership,
its Managing Member
By: Citadel Investment Group, L.L.C.,
its General Partner
By: /s/ Xxxxxxx X. Xxxxxxxxx
-----------------------------------------
Xxxxxxx X. Xxxxxxxxx,
Managing Director and General Counsel
JOINT FILER INFORMATION
-----------------------
Name: Citadel Kensington Global Strategies Fund Ltd.
Address: c/o Citadel Investment Group, L.L.C.
000 X. Xxxxxxxx Xxxxxx, 00xx Xxxxx
Xxxxxxx, Xxxxxxxx 00000
Designated Filer: Citadel Equity Fund Ltd.
Issuer and Ticker Symbol: Harbin Electric, Inc. HRBN
Date of Event 8/30/2006
Requiring Statement:
CITADEL KENSINGTON GLOBAL STRATEGIES FUND LTD.
By: Citadel Limited Partnership,
its Portfolio Manager
By: Citadel Investment Group, L.L.C.,
its General Partner
By: /s/ Xxxxxxx X. Xxxxxxxxx
-----------------------------------------
Xxxxxxx X. Xxxxxxxxx,
Managing Director and General Counsel
