CHINA BAK BATTERY INC
EXHIBIT 10.8
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<TYPE>EX-10.8
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<DESCRIPTION>EXHIBIT 10.8
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<font size="2" face="Times New Roman">Exhibit 10.8</font></p>
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<font size="2" face="Times New Roman"><b>Guaranty Contract (1)</b></font></p>
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<font size="2" face="Times New Roman"><b>Guaranty Contract of Maximum Amount Entered Between BAK International Limited and<br> China CITIC Bank on February 9, 2006</b></font></p>
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<font size="2" face="Times New Roman"><b>Main contents</b></font></p>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Contract   number: No. 2006 Shenyin sun&#146;ebaozi 003</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">As   guarantor, BAK International Limited undertakes to assume joint and several   liabilities for the Company&#146;s indebtedness towards China CITIC Bank under   Comprehensive Agreement  from February 17<sup>th</sup>, 2006 to   February 17<sup>th</sup>, 2007 and maximum amount secured is RMB 50million   and US$10million.</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Secured   items include the loan principal, interest, penalty interest, breach of   contract compensation, damage compensation, and all the expenses incurred for   China CITIC Bank to realize its creditor&#146;s right under Comprehensive   Agreement ;</font></p>  </td>
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  <p><font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Guaranty   period:</font></p>  </td>
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<font size="1" face="Times New Roman">&nbsp;</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Two years   from the expiry date that the Company should fulfill its obligations in   accordance with Comprehensive Agreement ;</font></p>  </td>
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<font size="1" face="Times New Roman">&nbsp;</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">If due to   the provisions of relevant PRC law or regulations or any agreement reached   under Comprehensive Agreement , any loan becomes mature ahead of its   term, guaranty period shall be two years starting from the advance mature   date.</font></p>  </td>
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<font size="1" face="Times New Roman">&nbsp;</font></p>  </td>
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<font size="1" face="Times New Roman">&nbsp;</font></p>  </td>
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<font size="1" face="Times New Roman">&nbsp;</font></p>  </td>
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<font size="2" face="Times New Roman"><b>Headlines of the articles omitted:</b></font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Definition</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Indebtedness   to be secured and maximum amount</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Method of   guaranty</font></p>  </td>
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<font size="2" face="Times New Roman">Guaranty   period</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Scope of   guaranty</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Representations   and undertakings of the Company</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Rights and   obligations of the Company</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Rights and   obligations of the Creditor</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Breach of   Contract</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Accumulation   of rights and obligations</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Continuity   of obligations</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Notarization   and willing to accept enforcement</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Force   Majeure</font></p>  </td>
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  <p><font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Miscellaneous</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Applicable   laws</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Dispute   settlement</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Validity</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Effectiveness,   amendment and cancellation</font></p>  </td>
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<font size="2" face="Times New Roman">&#149;</font></p>  </td>
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<font size="2" face="Times New Roman">Others</font></p>  </td>
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