LJ International Announces Amendments to Memorandum and Articles of Association

LJ International Inc.

today announced that on July 4, 2012, the Company filed an Amended and Restated Memorandum and Articles of Association with the Registry of Corporate Affairs of the BVI Financial Services Commission effective as of the date of filing. Among other things, the following changes were made: (1) adopting advance notice procedures before a member intends to make a proposal at a members' meeting, (2) adopting advance notice procedures before a member intends to nominate a director at a members' meeting, (3) eliminating actions by members through written consent, (4) limiting the ability of members to call special meetings of members, (5) amending the size of the Board of Directors of the Company to no less than three and no more than seven directors, and (6) adopting a staggered board of directors, classified into three classes. The Amended and Restated Memorandum and Articles of Association were approved by the Company's Board of Directors on June 28, 2012. Upon the Amended and Restated Articles of Association of the Company taking effect, Mr. Yu Chuan Yih and Mr. Xiang Xiong Deng were appointed as Class I directors; Ms. Ka Man Au and Ms. Jieyun Yu were appointed as Class II directors; and Mr. Hon Tak Ringo Ng, Mr. Andrew N. Bernstein and Mr. Jin Wang were appointed as Class III directors.