ORGANIZATION (Tables)

12 Months Ended

Dec. 31, 2014

Entity	Date of establishment	Place of establishment	Percentage of ownership by the Company			Principal activities

Subsidiaries
Fine Brand Limited (“BVI”)	February 9, 2011	British Virgin Islands		100	%	Investment Holding
500wan HK Limited (“500wan HK”)	March 8, 2011	Hong Kong		100	%	Investment Holding
500.com USA Corporation (“500.com USA”)	July 21, 2014	USA		100	%	Investment Holding
E-Sun Sky Computer (Shenzhen) Co., Ltd. (“E-Sun Sky Computer”)	June 18, 2007	PRC		100	%	Software Service

VIEs
Shenzhen E-Sun Network Co., Ltd. (“E-Sun Network”)	December 7, 1999	PRC		-		Online Lottery Service
Shenzhen Youlanguang Science and Technology Co., Ltd. (“Youlanguang Technology”)	December 16, 2008	PRC		-		Online Lottery Service
Shenzhen Guangtiandi Science and Technology Co., Ltd. (“Guangtiandi Technology”)	December 16, 2008	PRC		-		Online Lottery Service
Shenzhen E-Sun Sky Network Technology Co., Ltd. (“E-Sun Sky Network”)*	May 22, 2006	PRC		-		Online Lottery Service
Shenzhen Wubai Zhifu Co.,Ltd (“500Fu”)**	April 23, 2014	PRC		-		Third party payment service
Lhasa Yicai Network Technology Co., Ltd. (“Lhasa Yicai”)**	October 17, 2014	PRC		-		Online Lottery Service
Beijing Baifengrun Science and Technology Co., Ltd. (“Baifengrun Technology”)***	June 13, 2014	PRC		-		Development, operation of mobile phone games

Variable Interest Entity, Primary Beneficiary [Member]

Carrying Amounts of Assets and Liabilities, Results of Operations and Cash Flows of VIEs

	As of December 31,2013		As of December 31,2014		As of December 31,2014
	RMB		RMB		US$

ASSETS
Current assets:
Cash and cash equivalents		27,831		330,690		53,298
Restricted cash		15,090		12,667		2,042
Short-term investments		-		70,182		11,311
Accounts receivable		50,778		48,550		7,825
Amounts due from intergroup companies		105,169		10,484		1,690
Prepayments and other current assets		92,395		149,256		24,055
Deferred tax assets, current portion		15,287		39,068		6,297

Total current assets		306,550		660,897		106,518

Non-current assets:
Property and equipment, net		28,703		35,283		5,687
Intangible assets, net		1,130		1,535		247
Deposits		5,771		9,903		1,596
Long-term investments		-		5,114		824
Deferred tax assets, non-current		157		343		55
Other non-current assets		2,738		1,794		289

Total non-current assets		38,499		53,972		8,698

TOTAL ASSETS		345,049		714,869		115,216

LIABILITIES
Current liabilities:
Short-term loans		12,802		-		-
Amounts due to intergroup companies		3,470		140,856		22,702
Accrued payroll and welfare payable		8,336		24,828		4,002
Accrued expenses and other current liabilities		72,857		100,367		16,176
Income tax payable		1,863		4,680		754

Total current liabilities		99,328		270,731		43,634

Non-current liabilities:
Long-term payables		29,328		42,540		6,856

Total non-current liabilities		29,328		42,540		6,856

TOTAL LIABILITIES		128,656		313,271		50,490

	For the years ended December 31,
	2012			2013			2014			2014
	RMB			RMB			RMB			US$

Net revenues		113,566			182,255			447,898			72,188
Net income		3,720			19,759			185,205			29,850

	For the years ended December 31,
		2012			2013			2014			2014
		RMB			RMB			RMB			US$
Net cash generated from (used in) operating activities		(22,690	)		(157,646	)		422,702			68,127
Net cash generated from (used in) investing activities		1,587			156,033			(107,041	)		(17,252	)
Net cash generated from (used in) financing activities		(966	)		13,052			(12,802	)		(2,063	)

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

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