Under the terms of the contract, Longtop will implement and customize its E@able OPRisk operational risk management solution, based on the customer's current business process and risk management practices, practices recommended by Basel II accord, as well as the guidelines and requirements set by the Chinese banking regulatory authorities. The objective of the system is to effectively identify, measure, and manage the bank's operational risk, to improve its overall operational risk management capabilities, and to comply with regulatory requirements.

Commenting on the contract win Weizhou Lian, Chief Executive Officer of Longtop, said, "As our banking customers and regulatory authorities put increasing emphasis on risk management, we see growing interest for our risk management solutions. We believe Longtop is a most valuable partner in this area given our strength in business intelligence and data integration, which are the foundation for risk management applications. In addition, we see our year-long cooperation with Peking University in research and development of financial risk models paying off."

According to independent research firm IDC, risk management is the second fastest growing segment of the IT solutions market within China's banking industry, surpassed only by Internet banking. IDC forecasts that by 2013, the risk management system solutions market revenue will amount to US$120.9 million to account for 5.8% of the total, posting a 2009-2013 CAGR of 24.1%.