Investor Overview

FASTEST GROWING CHINESE SPORTS MARKET

Basketball is the fastest growing sport in China, both in terms of players and content viewers[i]. It is second to only soccer in popularity...and it is gaining ground. More than 300 million Chinese people say they participate in the sport to some degree. The Chinese government is providing solid support for the development of basketball in China in anticipation of a strong media focus on basketball at the 2008 Olympic Games[ii].

As of October 2007, the CBA (Chinese Basketball Association) League was the most popular sports programming in China, with a viewing audience of 420 million[iii].

According to the NBA[iv]:

Of the 500 million people in China who are 25 years old or younger, 83% claim to be fans of the NBA on some level.
Last season, television viewership in China surpassed 1 billion for a second consecutive season.
Almost 400 million pieces of memorabilia and jerseys were sold in China last year.

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[i] Cody, E. (2006). The NBA Has Become A Leader in Export to China. [Electronic Version]. The Washington Post. Retrieved from: http://www.washingtonpost.com/wp-dyn/content/article/2006/02/14/AR2006021401827.html

[ii] Cody, E. (2006). The NBA Has Become A Leader in Export to China. [Electronic Version]. The Washington Post. Retrieved from: http://www.washingtonpost.com/wp-dyn/content/article/2006/02/14/AR2006021401827.html

[iii] Infront (2007). Tissot Agrees Partnership for Chinese Basketball. [Electronic Version]. Infront Sports & Media. Retrieved from: http://www.infrontsports.com/presscenter/newsdetail/article/176/tissot-agree.html

[iii] J. Denton (2007). NBA Building Fan Base in Basketball-Happy China. [Electronic Version]. USA Today/Florida Today. Retrieved from: http://www.usatoday.com/sports/basketball/nba/magic/2007-10-11-china-nba_N.htm