China Distance Education Holdings Limited ("CDEL" or "the Company"), China's largest online education services provider listed on the NYSE reports that on September 22, 2008, a Beijing-based newspaper published an article titled "Claimant Reports Leak of CPA Exam Questions." The article was based on the claims of an unidentified reader, alleging that CDEL had prior knowledge of this year's CPA exam questions and leaked such knowledge through "chinaacc.com", the accounting business unit of CDEL. The Company vehemently denies these allegations. While certain of Chinaacc.com's pre-exam guidance to its students bore similarity to the actual CPA exams, such a coincidence was enabled by the superior quality of our knowledgeable lecturers and rich exam-preparation content accumulated over the past eight years rather than the illegal procurement of actual inside knowledge of the exams.

As a specialized online professional education company approved by the Ministry of Education, CDEL has always provided superior courses and course-related services while strictly adhering to relevant laws and regulations. CDEL's success has been achieved through the professionalism of its highly knowledgeable teachers and the high-standard support of its tutoring staff. Over the past eight years, CDEL has maintained its "student first" philosophy, providing high quality courses and superior course-related services to students by retaining top-notch teachers and adopting cutting-edge technology platforms.

CDEL's in-depth knowledge and extensive experience in the accounting field enable the Company to better prepare its students for professional exams by focusing on the most relevant areas of the curriculum. The Company's deep understanding of the exam syllabus, significant experience with the CPA exams by its lecturers, who are industry experts or renowned professors, supported by rich exam-preparation content accumulated over the past eight years, all contribute to the success of the accounting program. In addition, all CDEL units work hard to continuously improve teaching quality, which in turn helps students further sharpen their skills. As a result, CDEL's students consistently achieve higher passing rates.

Social responsibility remains a top priority at CDEL, and the Company remains committed to providing high quality professional training courses and services to help cultivate skilled professionals that will continue to play a vital role in China's economic development.