Ann: September Quarterly Report & Appendix 4C, page-20

So essentially a low capital intensive retail operation predominantly in Sydney, with a retail strategy to target the daigou buyers for Australian made or at least Australian and New Zealand produced products.

In regards its milk powders, they come form a JV in New Zealand by the way.

The profits that Au8 make and can be either redeployed in to the business or distributed to shareholders will be interesting as the JV in New Zealand appears to have other plans and sees AU8 merely as an interim outlet to the Sydney based chinese community that wants to send product back home. This gives them a free kick for their brand in China before they launch their own direct strategy and will leave AU8 wanting in the future.

A tough call I know but reality can be hard at times.