[YEAR 2010 / 3 rd QUARTER The following discussion of our financial condition and results of operations should be read in conjunction with the accompanying financial statements. Overview We are a leading business-to-business (B2B) media company and a primary facilitator of two-way trade with Greater China. The core business is facilitating trade from Greater China to the world, using a] [GLOBAL SOURCES LTD. AND SUBSIDIARIES At At September 30 December 31 2010 2009 (Unaudited) ASSETS Current Assets: Cash and cash equivalents $ 85,292 $ 91,553 Term deposits with banks 1,467 60,357 Available-for-sale securities 6,763 6,423 Accounts receivable, net 4,646 3,438 Receivables from sales representatives 6,511 5,607 Inventory 425 600]

[YEAR 2010 / 2 nd QUARTER The following discussion of our financial condition and results of operations should be read in conjunction with the accompanying financial statements. Overview We are a leading business-to-business (B2B) media company and a primary facilitator of two-way trade with Greater China. The core business is facilitating trade from Greater China to the world, using a] [GLOBAL SOURCES LTD. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (In U.S. Dollars Thousands, Except Number of Shares and Per Share Data) At At June 30 December 31 2010 2009 (Unaudited) ASSETS Current Assets: Cash and cash equivalents $ 173,666 $ 91,553 Term deposits with banks 1,519 60,357 Available-for-sale securities 6,476 6,423 Accounts receivable, net 4,054 3,438 Receivables from sales representatives 5,795]