Loans To/From Third Parties

6 Months Ended

Jun. 30, 2012

Note 8 – Loans To/From Third Parties

Loans to/from unrelated parties consist of the following at:

		June 30,		December 31,
		2012		2011
Loan to third parties
Nanchang Xinduo Trading Co., Ltd.	(a)	$	187,251	$	187,334
Total loan to unrelated parties		$	187,251	$	187,334

Loan from third parties
Shenzhen Qifeng Supply Chain Service Co., Ltd.	(b)	$	1,164,419	$	1,164,932
Yangguang Xingye Trading Co., Ltd.	(c)		208,966		209,058
Deke Mobile Technology Co., Ltd.	(d)		317,429		112,951
Yiyatong Supply Chain Co., Ltd.	(e)		-		472,270
Junhuiyuan Investment Inc.	(e)		-		902,035
Total loan from unrelated parties		$	1,690,814	$	2,861,246

(a)	In April 2011, the Company entered into a two-year loan agreement with this unrelated third-party. The amount is unsecured, non-interest bearing and due on demand.

(b)

This loan from unrelated party Shenzhen Qifeng Supply Chain Service Co., Ltd. originally had a six month term from December 9, 2011 to June 12, 2012, bearing no interest. The Company did not repay the loan when the loan term expired on June 12, 2012, but entered into an amended agreement with the third-party to extend the loan for another six months (from June 12, 2012 to December 11, 2012). The loan bears an annual interest rate of 7.8782%.

(c)

Loans from unrelated party Yangguang Xingye Trading Co., Ltd. was originally six months term from December 22, 2011 to June 21, 2012. The Company did not repay the loan when it expired on June 21, 2012 and entered into an amended agreement with the third-party to extend the loan for another six months (from June 21, 2012 to December 20, 2012). This loan is unsecured, payable on demand and bears no interest.

(d)	Loan from unrelated party Deke Mobile Technology Co. Ltd. is unsecured, payable on demand and bear no interest. The full balance will be repaid before June 2013.

(e)	Loans from these unrelated parties were repaid in March 2012.

SKY DIGITAL STORES CORP. 10-Q/A