6 — OTHER CURRENT ASSETS

Loans receivable and other current assets at March 31, 2012 and December 31, 2011 are summarized as follows:

Loans to third parties as of December 31, 2011 and March 31, 2012 consisted primarily of $2.67 million and $3.48 million of payment to China Telecom Jinan Branch for the purchase of MPS hardware and software for the roll-out of MPS systems and application in Jinan City, Shandong Province. According to the agreement with China Telecom, Trunkbow will share monthly function fees based on 3% of total principal with China Telecom on the MPS systems and application for consecutive twelve months from January 2012 to December 2012. The principal will be repaid in December 2012. The revenue and interest income recognized during the three months ended March 31, 2012 was $137,353 and $52,857.

Advance for cloud APP agreement represents a contribution per two cooperative agreements the Company entered into with a marketing company to start a music applet development project in December 2011 and January 2012. The contracts, in the amount of $2,000,000 and $801,656, respectively, call for 50% revenue sharing with a minimum guarantee of a 5% and 10% return, respectively. The terms of the agreements are nine and six months starting on January 1, 2012, respectively. In addition, the Company is guaranteed to receive its initial contribution of $2,801,656 at the end of the contract term.