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个股公告正文

晨 鸣B:2018年半年度报告(英文版)

日期:2018-08-28附件下载

    Shandong Chenming Paper Holdings Limited
    
    2018 Interim Report
    
    August 2018
    
    I Important Notice, Table of Contents and Definitions
    
    “SupTerhveisobroyarCdomofmdititreeec”t)orasnd(ththee “dBiroeacrtdo”rs), (tthhee “sDupireercvtoisrosr”y), cthome msuiptteerevis(tohres
    
    (tthheeC“oSmuppearnvyishoerrse”b)yawndartrhaentsetnhieotrrumtahnfualgneemsse,natcc(tuhreac“ySeannidorcoMmapnleatgeenmesesnot”f)thoef
    
    creopnrteensetns toaftitohnes,inmteirsliemadrienpgorstta(ttehme e“nRtsepoorrtm”)a, tgeuriaarlaonmteiesstihoantsthcoenretaainreednoinfatlhsee
    
    Rwietphotrht,e aRnedpoarrte. jointly and severally responsible for the liabilities associated
    
    accouCnhteinng,HaonndggZuho,anhgeaBdo,ofhetahde oCfotmhepaancyc,ouHnutinJgindbeapoa, rhtmeaedntin(Acchcaorugnetinogf
    
    Oofftfhiceerfi)n, adneccilaalrestathteamt tehnetys iwnatrhreainnttethriemtrruetphofrutl.ness, accuracy and completeness
    
    this RAelpl oDritr.ectors were present at the Board meeting to consider and approve
    
    fluctuTahteioCn,oamdpjuasntymiesnetxopfossteadtetpoovliacryioaunsdrcisokmfpaecttiotirosnsiuncthheasinmduasctrroy-.ecInonveosmtoicr
    
    sehxpouosldurbees aawndarteheofmineavseustrmesentot briesktas.keFnortofuardtdhreersds etthaeimls, apslesaesteoruetfeinr Dtoistchuessriioskn
    
    and Analysis of Operations.
    
    shareTsh, aenCdotmhepraenwyildl obeesnnooitncprreoapseosoef sdhisatrreibcuatpiiotnal ofrfocmasrhesderivviedse.nds or bonus
    
    Table of Contents
    
    2018 Interim Report............................................................................................错误!未定义书签。
    
    I Important Notice, Table of Contents and Definitions ...................................错误!未定义书签。
    
    II Company Profile and Key Financial Indicators ..........................................错误!未定义书签。
    
    III Business Overview.........................................................................................错误!未定义书签。
    
    IV Discussion and Analysis of Operations ........................................................错误!未定义书签。
    
    V Material Matters ..........................................................................................................................41
    
    VI Changes in Share Capital and Shareholders ..............................................错误!未定义书签。
    
    VII Preference Shares.........................................................................................错误!未定义书签。
    
    VIII Directors, Supervisors and Senior Management .....................................错误!未定义书签。
    
    IX Corporate Bonds............................................................................................错误!未定义书签。
    
    X Financial Report..............................................................................................错误!未定义书签。
    
    XI Documents Available for Inspection.............................................................错误!未定义书签。
    
    Definitions
    
                   Item               means                      Definition
    Company, Group,ChenmingGroupor       means ShandongChenmingPaperHoldingsLimitedanditssubsidiaries
    Chenming Paper
    Parent CompanyorShouguangHeadquarters   means ShandongChenmingPaperHoldingsLimited
    Chenming Holdings                   means ChenmingHoldingsCompanyLimited
    Shenzhen StockExchange               means ShenzhenStockExchange
    Stock Exchange                      means TheStockExchangeofHongKong
    CSRC                             means ChinaSecuritiesRegulatoryCommission
    Shandong CSRC                     means ShandongbranchofChinaSecuritiesRegulatoryCommission
    Zhanjiang Chenming                   means ZhanjiangChenmingPulp&PaperCo.,Ltd.
    Jiangxi Chenming                     means JiangxiChenmingPaperCo.,Ltd.
    Huanggang Chenming                  means HuanggangChenmingPulp&PaperCo.,Ltd.
    Wuhan Chenming                     means WuhanChenmingHanyangPaperHoldingsCo.,Ltd.
    Chenming (HK)                      means Chenming(HK)Limited
    Haiming Mining                      means HaichengHaimingMiningCompanyLimited
    Jilin Chenming                      means JilinChenmingPaperCo.,Ltd.
    Shouguang Meilun                    means ShouguangMeilunPaperCo.,Ltd.
    Chenming SalesCompany               means ShandongChenmingPaperSalesCompanyLimited
    Finance Company                     means ShandongChenmingGroupFinanceCo.,Ltd.
    Financial LeasingCompany              means ShandongChenmingFinancialLeasingCo.,Ltd.
    Shanghai Chenming                   means ShanghaiChenmingIndustryCo.,Ltd.
    the reportingperiod                    means Theperiodfrom1January2018to30June2018
    the beginningoftheyearortheperiod       means 1January2018
    the endoftheinterimperiodortheperiod     means 30June2018
    
    
    II Company Profile and Key Financial Indicators
    
    I. Company profile
    
    Stock abbreviation          晨鳴紙業, 晨鳴B                  Stock code               000488、200488
    Stock abbreviation          晨鳴優01,  晨鳴優02 and 晨鳴優03  Stock code               140003、140004、140005
    sShtoarcekseaxrcehlaisntgeedsonwhichthe ShenzhenStockExchange
    Stock abbreviation        ChenmingPaper                Stockcode            01812
    sShtoarcekseaxrcehlaisntgeedsonwhichthe TheStockExchangeofHongKongLimited
    LCeogmaplannaymeinChineseofthe  山東晨鳴紙業集團股份有限公司
    LofegthaelsChoomrtpnaanmye(iifnaCnyh)inese晨鳴紙業
    CLeogmaplannaym(eifinanEyn)glishofthe  SHANDONGCHENMINGPAPERHOLDINGSLIMITED
    LtheegCalosmhopratnnya(mifeainnyE)nglishof SCPH
    LCeogmaplarenpyresentativeofthe   ChenHongguo
    
    
    II. Contact persons and contact methods
    
                     Secretary totheBoard        SecuritiesAffairsRepresentative    HongKongCompanySecretary
    Name        YuanXikun                  ZhaoXiaotong                PoonShiuCheong
    ACodrdrreesspsondenceNShoo.u2g1u9a9nEgaCsittNy,oSnhgasnhdeonnggRPoraodv,inceNShoo.u2g1u9a9nEgaCsittNy,oSnhgasnhdeonnggRPoraodv,ince2C2enndtraFll,oHoro,nWgoKrlodnWgideHouse,
    Telephone     (86)-0536-2158008             (86)-0536-2158008             (852)25010088
    Facsimile      (86)-0536-2158977             (86)-0536-2158977             (852)25010028
    Emailaddress   chenmmingpaper@163.com       chenmmingpaper@163.com       Kentpoon_1009@yahoo.com.hk
    
    
    III. Other information
    
    1. Contact methods of the Company
    
    Whether the registered address, office address, postal code, website, email of the Company changed during the reporting period
    
    □Applicable √ Not applicable
    
    pTehreiored.wPalseansoe crehfaenrgteo o2f01th7eArnenguisatlerReedpaodrtdrfeosrsd,eotfafiilcse. address, postal code, website and email of the Company during the reporting
    
    2. Information disclosure and places for inspection
    
    Whether the information disclosure and places for inspection changed during the reporting period
    
    □Applicable √ Not applicable
    
    Tpuhbelriecawtioasn noof tchheanIngteeriomf tRheepnoertwasspaappeprrsovdeedsigbnyatCedSRbCy athned Cploamcepsanfoyr fionrspiencftoiormnaotifonthediCscolmospuarne,y’dseIsnigtenraimtedRwepeobrstitdesurifnogr tthhee
    
    reporting period. Please refer to 2017 Annual Report for details.
    
    IV. Major accounting data and financial indicators
    
    Retrospective adjustment to or restatement of the accounting data for prior years by the Company
    
    □ Yes √ No
    
                                                                      Increase/decrease forthereporting
                                        Thereportingperiod     Thecorresponding     periodascomparedtotheperiodoftheprioryear  correspondingperiodoftheprior
                                                                               year
    Revenue (RMB)                             15,551,334,039.89     13,749,235,007.24                 13.11%
    (NReMtpBro)fitattributabletoshareholdersoftheCompany        1,784,631,025.31     1,745,514,838.23                  2.24%
    NtoesthparroefhitoladfeterrseoxfttrhaeorCdoinmarpyangyai(nRsMorBl)ossesattributable       1,537,896,765.44     1,623,294,558.21                 -5.26%
    Net cashflowsfromoperatingactivities(RMB)            4,745,037,920.91     -4,112,941,768.39                215.37%
    Basic earningspershare(RMBpershare)                       0.36             0.50                -28.00%
    Diluted earningspershare(RMBpershare)                      0.36             0.50                -28.00%
    Rate ofreturnonnetassetsonweightedaveragebasis               5.77%            7.24%                 -1.47%
                                        ArseaptotrhtienegnpdeorifotdheAsattheeynedaorftheprior thInecrreeptahoserete/idnnegdcproeefartishoeedapasrsaioctrothymeepaearnrdedofto
    Total assets(RMB)                           107,076,479,252.92    105,625,096,076.92                  1.37%
    N(ReMtaBss)etsattributabletoshareholdersoftheCompany       27,677,164,106.02     27,778,529,074.90                 -0.36%
    
    
    Explanation:
    
    divide①ndsNoeft pprreoffeirteantcteribshuatarbesleptaoidshanardehdoecldlaerresdotfotbhee pCaoidm.pWanhyendoceaslcnuolattienxgclfuindaentchiaeleinffdeicctatoofrsinstuecrehstasoefaprenripnegtsupalerbsohnadrse aanndd tthhee
    
    rRaMteBo1f7r2e,t1u4r3n,3o9n7.n2e6t aasnsdetsthoendwiveidigehntdedonaveprraegfeerebnacseis,shthaereisntpeariedstafnodr pdeercplaertuedal tboonbdespfariodmin1 2Ja0n1u8aroyf 2R0M18Bt5o623,081J6u,n0e062.08108aoref
    
    deducted.
    
    total o②rdiPnaurrysusahnatretoctahpeitparlooffit1d,9is3t6ri,b4u0t5io,4n6p7lashnaorefsthaes Catotmhepaennyd foofr22001177, aapcparsohvdeidviadtetnhde o2f01R7MaBnn6u(atlaxgeinnecrlualsimvee)eptienrg1, 0bassheadreosnwthaes
    
    dshisatrreibsuftoerdevtoeroyrd1i0nashryarsehsahreelhdo.lTdehressahnadreacacpaiptaitlaolifsathtieonCoismsupeantyo ionrcdrienaasreyd sbhyar9e6h8o,2ld0e2r,s73w3asshmaraedse. Coourtreosfpothnedicnagpiatdajlursetsmeervnetss woefr5e
    
    also made to the earnings per share for the same period last year.
    
    V. Differences in accounting data under domestic and overseas accounting standards
    
    1. Differences between the net profit and net assets disclosed in accordance with international accounting
    
    standards and China accounting standards in the financial report
    
    □Applicable √ Not applicable
    
    TChheinrea wacacsonuontdinifgfesrteanncdearbdestwineethnethfienannect iparlorfeipt oarntddnueritnagsstehtesrdeipsoclrotisnegdpineraiocdc.ordance with international accounting standards and
    
    2. Differences between the net profit and net assets disclosed in accordance with overseas accounting
    
    standards and China accounting standards in the financial report
    
    □Applicable √ Not applicable
    
    Tachceoruenwtiansgnsotadnidffaerrdesnicnetbheetwfineaennctihael rneeptoprrtodfuitrianngdtnheetraespsoerttsindgispcleorsioedd.in accordance with overseas accounting standards and China
    
    VI. Items and amounts of extraordinary gains or losses
    
    √Applicable □ Not applicable
    
    Unit: RMB
    
                               Item                                Amount         Explanation
    Profit orlossfromdisposalofnon-currentassets(includingwrite-offofasset             11,507,523.25
    impairment provision)
    Government grants(exceptforthegovernmentgrantscloselyrelatedtothenormal
    operation ofthecompanyandgrantedconstantlyatafixedamountorquantityin          239,364,403.83
    accordance withacertainstandardbasedonstatepolicies)accountedforinprofitor
    loss forthecurrentperiod
    Except foreffectivehedgingbusinessconductedintheordinarycourseofbusinessof
    the Company,gainorlossarisingfromthechangeinfairvalueoffinancialassets
    held fortradingandfinancialliabilitiesheldfortrading,aswellasinvestmentgains         61,750,000.00
    from disposaloffinancialassetsheldfortradingandfinancialliabilitiesheldfor
    trading andavailable-for-salefinancialassets
    Non-operating gainsandlossesotherthantheaboveitems                          6,630,471.21
    Gain orlossfromchangesinfairvalueofconsumablebiologicalassetssubsequently       -23,973,841.55
    measured atfairvalue
    Less: Effectofincometax                                              48,149,545.22
        Effectofminorityinterests(aftertax)                                      394,751.65
    Total                                                            246,734,259.87      --
    
    
    Notes for the Company‘s extraordinary gain or loss items as defined in the Explanatory Announcement on Information Disclosure for
    
    Companies Offering Their Securities to the Public No.1 - Extraordinary Gains or Losses and the extraordinary gain or loss items as
    
    illustrated in the Explanatory Announcement on Information Disclosure for Companies Offering Their Securities to the Public No.1 -
    
    Extraordinary Gains or Losses defined as its recurring gain or loss items
    
    □Applicable √ Not applicable
    
    No extraordinary gain or loss items as defined or illustrated in the Explanatory Announcement on Information Disclosure for
    
    Companies Offering Their Securities to the Public No.1 - Extraordinary Gains or Losses were defined by the Company as its
    
    recurring gain or loss items during the reporting period.
    
    III Business Overview
    
    I. Principal operations of the Company during the Reporting Period
    
    Whether the Company needs to comply with the disclosure requirements of specific industries
    
    No
    
    (I) Principal operations of the Company during the reporting Period
    
    foresTthrye, Cmoimnipnagnayndis laogliasrtgices.coTnhgeloCmoemraptaenypriisncthipeaollnylyenligsategdedcoinmppualnpypwroitdhuActisohna,rpesa,pBer smhaarkeisn,gH, fsinhaanrecseaannddpfriebfreerewnhcieleshaalsreosdienvieslsoupeinign
    
    tthoep P1R00Cl,isthteedficrosmt ipnadnuisetsrioalf athned PfiRnCan,chinavgincogmmpaainnytaiinnetdheailnedaudsintrgyphoasviitniognaafminoanngceitcsoinmdpuasntryyapnederasffionranocviearl 2le0ascionngseccoumtipvaenyyeaanrsdianmteornmgsthoef
    
    mitsacmhainine-imndaidceatpoarpseorfbcuosripnoesrastaenedcofinnoamnciicaleflefiacsiienngcyb.uTsihneesms aacrehitnhee-mmaadinespoauprecresbuosfirneevsesniusethaendprpirnocfiiptaolfbthuesinCeosms poafntyh.eDCuorminpgatnhye wrehpiolertitnhge
    
    period, there was no significant change in the principal operations of the Company.
    
    corpTorhaeteCmomisspiaonnyoifs“a rleevaidtainligzinpglatyheer ninatitohnealppapapererm-maakkiningginindduusstrtryy”in aCnhdintah.eScionrcpeoriatsteevsitsaibolnishomf beunitl,dtihneg "CaoRmMpaBn1y0h0absilalbioidnecdombypatnhye
    
    Swhitahndaonhgis,tGoruyanogfd1o0n0g, yHeuabrse"i., JDiaenegpxeinainngd Jinilinitswpitrhinacnipnaulalbpuuslipneasnsdopfappearpeprromduacktiinogn, ctahpeacCitoymopfaonvyerha1s0 emstiallbiolinshteodnnperso. dItuchtaiosnthbealsaersgeisnt
    
    iinntteegrnraatteiodnfaolraedstvrayn,cpeudlpstaannddapradpse. rTphreojpercotdwucitthmthixe omfotshteaCdvoamnpceadnytehcahsngorloadguyailnlythdeivwerosrilfdieadnidntdoozeeignhstomf apjuolrpparnoddupcatpseerrpiersodwuhcitciohnfolicnuessoonf
    
    heliegchtraonsdtamticidcdolpeyenpdapperro,dtuhcetrsm, ianlcpluadpienrgahnidghg-leanssdinoeffpseatpepra,pweri,thcoeaatcehd mpaapjeorr, pwrhoidtuecptarpaenrkbinogaradm, loignhgttwheeibgehsttcionatteedrmpsapoefr,mhaorukseethsohladrep.aTpehre,
    
    mCoamrkpeatncyomhapsettihtievemnoessts,dbivaergrsaiifnieindgapnodwceormapndletreiskserteosifsptarnocdeucctapoaffceitryin. g among the paper-making companies of the PRC, with considerable
    
    wellTahsesCtaotemcpearntiyfiehdasCsNciAenStipfuiclpreasnedarpcahpienrstteitsutitniogncseinntcrleuadnindghtahseonbattaiionneadl oevneterr1p5ri0senateticohnnaollpoagtyenctesnitnrec,luthdeinpgo1s2tdpoactteonratsl fwoor riknivnegntsitoanti,owniaths
    
    7Tepcrhondouloctgsy sPerleocgtreedssaAs wnaatridosnaalbonveewthperopdruocvtisncainald le3v5elpraondducutnsdefirltlaiknegnthfieveganpatiionnaClhsicniae.ncTeheanCdotmecphannoylohgaysporobjteacintsedan2d12S6cpiernocveinacniadl
    
    tceecrhtinfioclaotgioicnaal nidnnFoSvCa-tCioOnCpcroejreticftisc.atTiohne, lCeaodminpganaymohnags iotsbitnadinuesdtrythpeeeIrSs.O9001 quality certification, ISO14001 environmental protection
    
    integRrealtyioinngaonnd sotruotsntgancdaipnigtalrisstkrecnognthtroolf cthaepaCboilmitypawnyhialendgilveivnegrafguinllgpiltasyextocetlhleentadbvuasinnteasgsesproofjeicnttedrensaigtinonaabliisliattyi,onstraonndg mabairlkiteyt-ionricernetdeidt
    
    soeprevriantgionthse, Cuhpepnemr-ianngdLleoawsienrg-shtraesambeeonf stheeekpinagpetrhemoarkgianngicincdoumstbriyn,aaticotnivbeelytwpereonviidnedsusftirniaanlccianpgitaanl danvdalfuinea-andcdiaeldcasperitvailceansdo,luotniotnhse tboasliasrgoef
    
    sstcahtoe-oolswanneddheonstpeirtparlsis,etsh,usligstreedatlcyopmrpoamnoietisn,ggtohveehrneamltehnyt afnindarnacpiindgdepvlaetlfooprmmesn, tqoufatlhiteyreparliveactoenoenmteyr.prises, new and high-tech enterprises,
    
    (II) General information of the industries where the Company operated in during the reporting period
    
    deveTlohpempeanpte.rImn arkeicnegntinydeuasrtsr,ythise asnupipmlypoarntadntdbemasaicndraowf mthaetepraiaplesr inmdauksitnryg winhdiucshtriys gcrloewselyat raelastteedadtyo pthaecen, actrioeantailngecaonroemlaytivaenlyd sstoacbialel
    
    production and marketing environment. According to the 2017 Annual Report of the Paper Making Industry of China (《中國造紙業2017年
    
    年nat度ion報w告id》e p),aipner20a1n7d, tphaepreerwbeorearadppprrooxdiumcatitoenly v2o,8lu0m0 ecoomfpa1n1i1e,s30e0n,g0a0g0edtoinnntehse, prreopdruecsetinotninagnda pyaepaerr-oann-dyepaarpeirncbroeaarsdeinofth2e.5P3R%C;, wanitdh aa
    
    consumption volume of 108,970,000 tonnes, representing a year-on-year increase of 4.59%.
    
    requSirienmceenthtse iwmitphlemeleevnatatetidongoofvethrnem“enTthifrotceuens thonFi“vecYleeaarr wPlaatner”a,ntdhegpreaepner hmilalsk”ing. Tinhdeusstruyccheasssibveeenimspulbejmecetnttoatisotrnictoefr eennvviirroonnmmeennttaall
    
    wpriolltebceticoonmiensapepcrtoiloonnsg,eldicetrnesnindginsytshteemindfourstpryo.llCutearntatidnispcrhoavrigneceasnadnodthceitrisesrepflreocmteudlgtahtaetd,maomreonstgriontgheenrts,enaivrirpoonlmluetinotnalpprreovteencttiioonn pmroeagsruamress
    
    panadpemr majoakr ipnogllcuotamnptaenmieiss.siDonrivreendubcytiothnepsruopgpralym-ssi,dseigrneafollrimngaenndhaunncdeedr sthuepeorvveisriloanppoinfgloecfafel cgtoovfersntrmicetnetrseonvveirrotnhmeepnot llpurtoiotenctdioisnchpaorlgiceieosf,
    
    mtooerexistetvheeremliamrkiet to, nthiemrepboyrt fquurothtaeroifnwcraesatseinpgaptehreainndducslotrsyercionnscpeencttriaotnio, ncorsattipor.esOsunrethwe ilolthfoerrcheacnedr,talienadsminaglleanntedrpmreisdeisu,mw-sitihzeodbevnitoeursprcisoesst
    
    laadrvgaentlaegaedsinagndenhtiegrhprcisoesst thraanvsinfegracboilmityp,rewheilnlseivnejoyenfvuirrtohnemr iennctraelasfaeciinlitpiersofiwtaibthilitsyigannifdicganratduecaol ngoromwieths ionf mscaarkleetwshilal reb.ecInompaerttihcuelaarc,tuthael
    
    beneficiaries under these environmental protection policies.
    
    self-Ssuinfcfieciiennitciyatirnagtethienfothreestdryo,mpeusltpicanpdappearpemraiknitneggraintidounstsrtyra. teOgnic olanyeouhtansidn,cese2lf0-0p1ro, dthueceCdompuplapnyenhjaosysensjiogyneidficraenlatticvoeslyt hadigvhanwtaogoed pouvlepr
    
    opunrcthheasoetdhewrohoadndp,utlhpe, wprhiiccehoefnwaboloesd tchheipgsr,osthseprroawfitmofattehreiaCl ofomrppaunlyp’msapkainpge,r ipsroredluactitvsetloy csotanbsliest,etnhtelyrerfaonrek, athmeopnrgotchueretmopenotf athdevainntdaugsetroyf;
    
    bmualtkersiaulpapnlidesfinainsdhetdhepraopdpulcictsa,ticoonnsoidfearnabcillylairnycrleoagsiisntgictsheseCrvoimcepsanhya’vessciogsntifaidcvaanntltyagreedauncdeqduathlietylostgaibsitilcitsy.and transportation costs of raw
    
    II. Material Changes of Major Assets
    
    1. Material Changes of Major Assets
    
       Majorassets                                    Description
    Equity         DShuarningghathieHroenpgotratiinfgropmerimodin,othrietyCsohmarpeahnoyldaecrqsu,iarnedd1d4is.p2o7s4e2d%oefqeuqiutyityintienrveessttmineWntuohfan50C%heinnmGinuganagnddo3n0g%Deeqjuunityanidnte3r0e%stiinn
                 XDuucrihnagngthCehreepnomritningg.period,thephaseIofHaimingminingprojectofasubsidiarywasreclassifiedasassetssofixedassets
    Fixed assets      winacsreeaxsceldudbeydRfrMomB5s8c2opmeiollfiocno.nAsoslitdhaetisohna,raenhdolfdiixnegdianssXeutschdaencgreCasheednamcicnogrddiencgrleya.sedfrom60%to30%,XuchangChenming
    Intangible assets   Duringthereportingperiod,astheshareholdinginXuchangChenmingdecreasedfrom60%to30%,XuchangChenmingwasexcludedfromscopeofconsolidation,andintangibleassetsdecreasedaccordingly.
    Construction in    pDruorginregssthdeercerpeoarsteindgbpyerRioMd,Bt5h8e2phmaisleliIono.fHCoainmtiinnugedmiinnivnegstpmroenjetctwoafsamsuabdseidiniartyhewHasuraencglagsasnigfieidntaesgraastseedtsfsoorecsotnrys,trpuucltpionanind
    progress        ppraopjeercpt.roject,theMeilunnewculturalpaperprojectandthenewsprintmachinery-to-culturalpapermachinerytransformation
    
    
    2. Major Assets Overseas
    
    □Applicable √ Not applicable
    
    wIIiIt.hAthneallyisstiisngofrulilqeus iodfittyh,efHinoanngciKalonrgesSotuorcckesEaxnchdancagpeital structure disclosed in accordance
    
    accouAnstsarte3ce0ivJaubnlee 2tu0r1n8o,vtehreraGtiroouwpa’ss 4c6u1rr.4en4t%ra(tAioccwoausnt8s6r.e7c0e%iv.abTlheetuqruniocvkerrartaiotiow=astu7r5n.o8v8e%r/.wTeihgehtgeedaraivnegrargaetioacwcoausn7ts2.r9e5c%eiv. aTbhlee
    
    aanvderangeet bneiltlsi*n1v0en0t%or)y. *T1h0e0%in)v.entory turnover ratio was 413.94% (Inventory turnover ratio = cost of sales of the products/weighted
    
    TThheereGwroauspn’os ssiogunricfiecsanotfsecaaspoitnaall ptrreinmdafriolrycacpamitael rferqoumirecmasehntgseonfetrhaeteGdrofruopm. operating activities, borrowings from financialainnsdtistuhtoiortn-tse,rompecnomissmuearncciealopfacpoerrpionrathteebinotnedrbsainnkthmeacrakpeitt.al market, as well as issuance of privately placed bonds, medium-term notesfinanAcisalamt 3an0aJguenmeen2t01o8f, ththee GtorotaulpbawnekreboRrMroBw4in6g,3s5, 1comrpilolrioatne, bRoMndBs2, ,0sh9o7rtm-teilrlmionc,oRmMmBer1c0ia,1l 6p1apmerillaionnd amneddiRuMm-Bte1r,m920nomteislliaonnd,rceosmpemcetirvceialyl (pAapseart othfetheendGorfouthpe wpreiroer RyeMarB: 4th6e,36to8talmbilalinokn,boRrrMowBi2n,1g9s,6comrpiloliroante, bRoMndBs2,5f0inamncililaiol nmaannadgeRmMenBt1a0n,7d97shomrti-ltleiormn,rReMspBec1t4iv,4e4ly3).mAillsioant) 3in0toJtuanle(F2o0r1t8h,e tbhreeaGkdroouwpn hoafdmmonoentaertayryfunfudns,dpsleoafseRrMefBer1t8o,2“2S1ecmtioilnlioXn. V(AIIs. 1atNtohtee eonndMoofnethtaerypFriuonrdys”eairn:this rTepoorstt)r.engthen our financial management, the Group established and optimised its strict internal control system on cash and
    
    1ca5p,0it0a9l memanpalogyeemeesn. tT.hTehteotlaiqlusitdaiftfyreamndunreepraatyiomnenfotratbhielitfyirsotfhthalefGofro2u0p18waemreoiunnategdotoodRcMonBd6it3io6n.7.9A6s2 amt i3ll0ioJnun(Teh2e01G8r,otuhpehGardo1u3p,5h7a9d
    
    emploMyaejeosrinin2v0e1st7m. eTnhteptorotajelcsttsafoffretmheunCeoramtipoannfyord2u0ri1n7g atmheousnetceodntdo hRaMlfBo1f,122091.815w52illmiinlclilound)e. Huanggang Chenming’s integrated
    
    pforroejsetcrty,,Sphuolupguaanndgp’sap5e1r0,p0r0o0jetcotn, nSehhoiugghu-eanndg cCuilttyu’rse p4a0p0e,0r0p0rotjoencnt eancdhoemthiecrapl rpoujelpctsp.roject, Haicheng Haiming’s magnesite mining
    
    technOoluorgyexreissteinargchbaanndk ddeevpeolospitms ewntesr.e primarily used for production and operation, construction projects and investment in
    
    assetsFowritdhetraeisltsriocftetdheoawsnseetrsshwipithorrerisgtrhitctoefduoswe”nienrsthhiips roefptohret.Group as at 30 June 2018, please refer to “Section X. VII. 62. Details of
    
    As at 30 June 2018, no contingent event was required to be disclosed by the Group.IV. Analysis of Core Competitiveness
    
    Whether the Company needs to comply with the disclosure requirements of specific industries
    
    No
    
    The Company is a leading player in the paper making industry of China. After innovation and development for more than half a
    
    bceunstiunreys,seist whahsiledeavlseoloipnevdolivnetod ian lfaorrgeestrcyo,nlgolgoimsteicrast,ecopnrisntrcuipcatilolyn menagtaegrieadls,inanpdapoethremrsa. kIitnigs, aflisnoanthcee,opnulylpliasntedd fcibormepaanndy wmiitnhinAg
    
    fsihnaarnecse, BcosmhapraensyaannddHa sfihnaarnecsiaanl dleapsrienfegrecnocmepsahnayreisntiengrisasteude winitChhiitnsainadnudsttrhiaelfaircsttivciotimespainnyCihnintah.eCpoampepramreadkwinigthinodthuesrtreynhtearvpirnisgeas
    
    i1n. Sthcealiendaudsvtaryn,tatgheesCompany has the following advantages:
    
    Aanfdterpaypeearrsporofdduecvtieolonpcmapenact,ittyheofCoovmepra1n0y,mbielilniognatolenandeisnganpdlaiysecraipnatbhlee ptoapceormmpaekteinwgiitnhdiunstterrynaintioCnhailnpaa, phears macahkiienvgedenatnenrpurailsepsuilnp
    
    sCcoamlep. aTnhyeallasroghe-asscsatlreoncegnmtraalrikseetdinpfrloudeunccteioonvearnrdawopmeraatteiorinalmporodceul rheamsepnrto, vpirdoedductht eprCicoinmgpaanndy iwndituhstorybvpiooluiscyemcoankoinmgi.c benefits. The
    
    W2. hPirloedtuhcet apdrovdaunctatigoens scale of the Company is expanding rapidly, its product mix also continues to optimise. In recent years, the
    
    wCohmitepapnaypehrabsobaurdil.t Tprhoedpurcotidounctlimneisx foofr tchueltCuroaml ppaanpyerhsauschgraasduhailglhy-ednivdercsoiafiteedd ipnatpoeer,ighhitghm-eanjodr fporooddupcatcskeargieinsgwphaipcehrfaoncdushoignh-heignhd
    
    apnadpemr, iedldelcetroenstdatpicrocdoupcytsp,aipnecrl,utdhienrgmhailgpha-peenrdaonfdfsgeltaspsainpeerp, acpoeart.eTdhpuasp, ethr,ewChoimtepapnaypehrabsobaercdo,mlieghthteweenitgehrpt rcisoeattehdatpoafpfeerr,s hthoeusweihdoelsdt
    
    pthreodCuocmt rpaanngye’sinabCilhiitnyat’oswpaitphesrtamndakminagrkientdruisstkrsy,.bDuitvaelrssoifeicnaatbiolendatnhde Cgeonmtrpifaincyatitoonmoafinthtaeinpraordeulcattimveilxyhhaigshnoptroofnitlaybgilrietya.tly enhanced
    
    C3.uArrdevnatlnyt,agthees Cinotmecphanniycahlaesqtuhiepmlaerngtest integrated forestry, pulp and paper project with the most advanced technology in the world
    
    arenadchdeodzetnhseofadpvualpncaendd ipnateprenraptiroondaulctlieovnell.inTesheofminatjeorrnaptiroondaulcatidovnanecqeudipsmtaenndtarhdass. TbheeenCoimmppoanrtye’ds ofrvoemrallintteecrhnnaitcioanl aelqlyuiprmeneonwt nheads
    
    mThaenutefcahctnuircearlse, qinuciplumdeinngt uVsaeldmbeyt athnedCMoemtspoaonfyFgiennlaenradl,lyVroeiftlhecotfsGtheermchaanryacatnedrisTtBicCs ooffbtheienUg nteitcehdnSoltoatgeys-.intensive and the integration
    
    oinftemlleigcehnatnsichaeletanladteeralelcctorinctarlolintecthhenoplaopgeyr, cmoaaktiinngg pinredpuasrtarytionnotwecahdnayolso. gTyh, efredee-gjeatsscionagtitnegchtencohlongoylo,gwy,etmeunltdi-ncihpempriecsaslutreecbhanloalnocgeyd,
    
    icnatleernndaetriotneaclhandovloagnyceadnldevtheel. technical processes independently developed by the Company of the pulp systems have all reached the
    
    4T.hAe dCvoamntpaagneys iins arehsiegahrcahnadnndeiwnn-toevcahtnioonloagnydennetewrpprrisoeduacntddgeivveelsopfumllepnltay to its strong research capability. Supported by the national
    
    penrotepreprrtiysesytsetcehmnoalongdypucet nmtroereanadndthme oproeset-fdfoorcttsorianl twecohrnkiicnagl isntantoiovna,tiothneanCdomscpiaennytifihcasreessetaarbclhishanedd daevcoelmoppmreehnetnstiovedeivnetelollpecntueawl
    
    opfrodthuectsCowmitphahniyghhtaeschancotilvoeglyy ceonngteangtesdanind hteigchhnaidcadledcovoaplueeraatsiownewll iaths psrcohporoielsta, ryretseecahrcnholoingsietist.uMtioenasnwanhdilei,nttheerntaetcihonnaolloagdyvcaenncterde
    
    nenatteiorpnarilsense.wTphreodCuocmtspaanndy 3h5asproobdtuacintsedfilolivnegr t1h5e0ganpatiinonCahl ipnaat.eTnhtse iCnoclmudpianngy 1p2arptiactiepnattsedfoinr itnhveefnotrimonu,lawtiiothn o7fp4rondauticotnsasleslteacntdedardass
    
    aanndd uwpagsraadwinagrdiendthheonpoaupresr imncalkuidnignignd“uCshtrinyaanPdatleenatdSinhganthdeondgireScttaiornEonftetrhperilsaete”s, tbaencdommionsgt athdeva“ngcreedenteecnhgnionleo”gyofinththeetrpaanpsefor rmmaaktiinogn
    
    5in.dFuusntrdyining Cadhvinana.tages
    
    Tinhdeusptarype. rTmheakCinogmipnadnuystrhyasishaigchappirtoalf-iitnabteinlistyiveanidndcursetdryit, satnadtufsu,nadnidnghiassomneaionftatihneedmolosnt gim-tepromrtasntatbflaectcoorsopinertahteivdeerveellaotpiomnesnwt iotfhtihtes
    
    bgoanokderosp,ewrahtiicnhg prreosvuildtse athnedCaosmopuanndycworipthoraanteungoobvsetrrnuacntecde isntdruircetcutrefi.nIatnhciansgccoanpdauccittye.dSsienvceeraitls fliinstainncgi,ntgheaCctoivmitpieasnyinhadsommeasintitcainanedd
    
    faobrieliitgienscianpditiarelcmt fairnkaentcs.inAgsinththeefucanpdistaolbmtaairnkeedt.have been applied effectively with good market image, the Company has stronger
    
    6T.hTeekaemy amdavnaangtaegmeesnt members and the core personnel of the Company remain stable. In the process of innovation and development
    
    coofntshoeliCdaotmesptahney,maannaingteemrneanlt ceoxrppeorriaetnececuslptuecreifidcetvoeltohpeeidndbuysttrhye, tshtuabslreescuolrteinsgtaifnf atetaemamfaavdovuarnatbalgeetbolethnedegdrowwitthh mofanthaegeCmoemntpaannyd
    
    bcuacltkugrero. uMndesatnhwrohuilgeh, ittsheadvCaonmcepdanmyanhaagsematetnratcptheidloseoxppheyrieanncdeadmpprleofreososmionfaolrsdewvietlhopfmineanntc. iTalh,e lheiggahl qaunadlityfiannadncpiraolfemssaionnagalemteeanmt
    
    7se.cAudrevsanthtaegseusstianinenabvlierodnemveelnotpalmgeonvteorfnathneceCcoampapcaintyy with a solid supply of talents.
    
    Isnysrteecme,nmt yidedalres,wthateerCtoremaptmaneyntasnydsteitms ,surebcsliadiimareideswhaatvere rceocnosvterruyctseydsttehme apnodllubtliaocnk tlrieqautomrecnotmfpacreilhiteinessivineculutidliisnagtiothnesyalskteamli .rReceolyvienrgy
    
    orencysccliienngt.ifAict athned staemchenotilmoge,ictahleptrigohgtreenssinagnodf innantoiovnaatiloenn,vtihroenCmoemntpaalnpyroctoecmtipornehpeonlsicivieeslyanpdrosmupopteldy-scildeeanstpruroctduurcatliorenfoarnmds,reassouwreclel
    
    ainsdnueswtryanwdhioleldthkeinreetipcleennieshrgmyecnotnavnedrsrieopnlaacnedmuepngt roafdiandgvapnocliecdiepsrwodilulcctiloeanrctahpeaocibtsytawcliells bfroirngthenedwevbellooopdmaenndt omf othmeenptaupmer imntaokitnhge
    
    paper making industry, favouring industry concentration to establish a sound industry cycle.
    
    IV Discussion and Analysis of Operations
    
    I. Overview
    
    “achiDevuirnignggrtohwe trhepaomritdinsgtapbeirliiotyd”, athned Ccoommmpainttyedeisttsaebllfistohe“dteaanmd bimuipldleinmge,nmteadnangeewmmenatneangheamnecnemt ceonnt,ceoputtsbtayndadinhgerbinugsintoestshpeemrfaoirnmtahnecmeeanodf
    
    egxopoodsureressulatsn”d. fIotrmhauslactionmg pfalevtoeudravbalreiopuoslicwieosrkfosroenmpmloaiyneteasin. ing stable operation, promoting growth, adjusting structure, preventing risk
    
    millioInn ttohnenfeirsstanhdalfacohfie2v0e1d8,rethveenCuoemopfaRnMy cBo1m5,p5l5et1edmtihlleiopnr,oaduycetaior-nono-fymeaarcihnincree-amsaedoefp1a3p.e1r1%of.2T.4h0e5C1ommipllaionny troenconredsewdiothpesraaletisngofc2o.s2ts73o8f
    
    RRMMBB12,02,12760mmilliilolinona,nda RyMeaBr-1o,n7-8y5eamr ililnicornearesespoefcti1v1e.l8y7,%up. bTyot6a.l65p%rofaitndan2d.24n%et fprroomfitthaettprirbiourtaybelaer.toTheequCiotymphaonldye’rsstootfalthaseseCtsomampaonuyntewdetroe
    
    wRMereBs1h0o7w,0n76inmthiellifoonll.oTwhiengCaosmpepcatns:y experienced stable development across businesses with ever improving management systems, which
    
    F(Ia)cSinaglesthme acnoamgpelmexenatnd ever-changing market conditions, the sales system persistently executed the decision and planning made by theemvaanluaagteimone”nt aonfdthberoCkoemnpeawnyg,roaubniddesdinbytertmhes woforpkriincge ethleevmaetioonf, “masrokleidt cfoonusntdruatcitoionn, naenwd ntaelwenptsr,odguucatradneteveedlopimmpelnetm. Tenhtraotuiognh ainncdresatrsiecdtbmuasrikneets-sbaksnedowpleerdsgoennteral inininteggraantidono, utthwearCdombopuanndy ternaihnainncge,doptetaimmizbautiioldninagndanaddjeulsetvmaetendt ttoeamthecoahpepsriaviesanlesasndandincsetrnetnivgeth.scBheymwesayanodfednevhealnocpeidngmdairrekcett-sacloensctursutcotmioenr.s,TpheerfeCctoimngpathney cehnahnannecl ebduilmdianngagaenmd ehnotldoinvgeranancucaoluncutsstormeceerivsaigbnlei,ngheciognhfteerneendcesp,rethpeayCmoemnpt anoypesrtaetaiodnilsy,standar(dIIi)sePdroitdsuccutsmtoamnaegrecmreednitt management and improved its prevention against market risks.
    
    identiTfyhiengCopmotpenantiyalphluazgagredds uapndmealnevagateimngenptrolocoepsshoslaefsetbyycoimntprrool;vianngdtehnesusarefedtyupm-taon-asgtaenmdeanrdt seymsitsesmio,nenbhyaonpcitnimgiszainfegtyopeedruactiaotinontectrhaniniqinuge,,
    
    etanrhgaentscianngdtshteaniddaerndtsif.iTcahteiomnaocfhipnoetsenwteiarle eunnvdierronstmabelnetaalnhdaezfafricdise,nrteoapl-etirmateionsudpuerrivnigsiothne oyfeaprotlhlurotaungthesmtriesnsgiothneannedd mclaanriafgyeinmgenotn, cthoentcroolnatrnodl
    
    athpeprdaeivsaell.oTpmheenCtoomf pparnoyduacltssowcoitnhdhuicgthedefpfriocideuncctyio, nopctaipmaicsietdy teenchhannicqeumesenant dinpirtosmowotnedputhlpe appropdliuccattiioonn,oafdnjueswtedtecphrondoulocgt isetsruacntdurrea,wfomcuasteedriaolns
    
    to imp(IrIoIv) eFienfafinccieenacnyd. capital management
    
    risk cTonhteroCl.oTmhpeanCyomcopnasntyruecntesduraedfienfafincciieanltbliuqsuinideistsy soyfsttheemCwomithpaanym’orsecraepaistoalnathbrloeusgthruecntuhraencthinrogutghhe palcatnivneedbumsainneasgsemexepnatnosfiornevaennduestarnicdt
    
    einxspterunmdietunrtes, washiwchelbloaossteddisbpaantckhifninganacnidngcaonmdpliolewderaendailnytseirsesotncotshte; mcaapinittaailn; eidncnroeramseadl otpheeraatpiopnlicoafttihoen Coofmnpeawnytybpyews aoyfodf,iraemctonfignoanthceinrsg,
    
    othfefshimorpelefimnaennctaintigonagoafinpstredfoemreenstitaicl gpuoalircainetse;e aanndd bstiellpopfedexucphaenfgfeorttos cionndcuocotpfeoraretiiognn ewxicthhanbganekfsinabnycienngteurnindgerilnotwo dinetveerelospt mraeten;t pfrionmanoctieadl
    
    cGouoapnegrdatoinogn Naagnryeeume eBnatnkw, iothbtatihneingCahdindaitioDneavleclroepdmitefnatcilBitaienskofanodveraRbManBk4-0e.n0tebripllriiosen. strategic cooperation framework agreement with
    
    (TIhVe) pPhroajseectI coofntshtreucmtiaognnesite mining project of Haiming Mining commenced operation in January 2018, principally engaged in thepcoromdmucetniocnedoof pheirgahti-opnu,riwtyhimchagcnoensisais. teWntelyifalnogweSrismteheDalorbgyistiWcsesatndPotrrtanasnpdortthaetionnewcolystscoonfstrrauwctedmapteorritalisn aHnduanfigngisahnegd hparvoeduocftfsi.ciTalhlyep40u0lp,0p0r0o-jteocntnoef cHhueamnigcgaalnpgulCphpernomjeicntgapnrdog5r1e0s,s0e0d0smtoonontehlhyigahc-ceonrddicnuglttuorethpeaspcehrepdruoleje,cwt hoifchShisouscghueadnugleMdetiolucnomanmdetnhcee3o0p0e,r0a0ti0ontobnenfeorweotohdenenasdceonft2s0t1a8g.esV. iTschoesecofimbrmeeanncdemaennctilloarfyoppreordauticotnionanfdaciimlitpielesmperonjteactitonof oHf utahneggaabnogveChperonjmecintsg wanildl tphleaycoagevneerryatiiomnpporrotajnect t raorlee sitnillthineptrraonmsfootrimngatsiuosntaainndabulepgdreavdeinlogpdmuernintganthdeacsthriuecvtiunrgalthaedjsutrsatmteegnict oobf jtehcetiCveosmopfatnhye iCnoemlepvaantyin.g the vertical extension capacity of the Company,
    
    T(Vh)eCCoorpmopraanteymaacntiavgeelymecnatrried out process and information construction, enhanced working efficiency and promoted managementrthefeomrmanaangdesmyesntetmsyusptegmradaen.dThhieerCaorcmhpicaanlymcaonnasgisetmenetnlyt satnrednfgutrhtehneerdstiatsndsuaprdeirzveidsioinntearnndalinmspaencatgioenmaesntw. eMllualstispylestesemssiimonpsroovfemspeencti,ael nthraainncinedgwmeardee oarcgtaivneizeefdfotrotsletoarinmnperwovecointsceppetrsfoarnmdannceewamppertahiosdasl,, reelmevuantienrgatitohne imncaennatgiveme aenndt qthuealpitryomanodtiobnussiynsetsesmssk,ililnstroofduthceedstoaufft.stTanhdeinCgomtapleanntysand inspired the enthusiasm and creativeness of the staff.
    
    II. Analysis of principal operations
    
    Please see “I. Overview” under “Discussion and Analysis of Operations” for relevant information.
    
    Year-on-year changes in major financial information
    
    Unit: RMB
    
                            DuringptehreioredportingDpuerriinogdtohfetchoerrpersiopronydeianrgIdneccrreeaassee/Reasonforthechange
                                                                   Mainly duetotheyear-on-year
    Revenue                    15,551,334,039.89      13,749,235,007.24 13.11%increaseinthepricesofmachine-madepaperofthe
    Operating costs                10,259,884,918.86       9,171,066,988.49 11.87%Company.
    ASedlmliningisatnrdatidviestreixbpuetinosnesexpenses967025,,845663,,532225..6751865461,,345948,,929795..13751-53..6620%%
    Finance expenses               1,498,828,444.69       1,055,396,506.36 42.02% Mincarienalysediunethtoetfhineaynecairn-gonc-oysetasrof
                                                                   MtheaiCnloymdpuaentyo.theyear-on-year
    Income taxexpenses              434,202,112.50        331,253,327.08 31.08% iinnccoremaseetainxtehxeppernosveissiaosnsofomre
                                                                   cloosmsepsatnoiepsrotufritnse.daroundfrom
    Idnevveeslotmpmenetnstinresearchand          478,014,854.10        446,835,957.44  6.98%
    Nacetitvciatisehsflowsfromoperating       4,745,037,920.91      -4,112,941,768.39 215.37% CfMinoaaminnpclyaiandlyul.eeatsointghebunseitnreestsuronfsthoefthe
    aNcetitvciatisehsflowsfrominvesting        -470,806,697.24       -363,428,930.29 -29.55% Micnocanrisentarlyusecdtiuinoenintoivnethpsetrmoygeernaetrs-ison.n-year
    Net cashflowsfromfinancing      -3,577,622,905.43       5,025,392,453.07 -171.19 Mainlyduetotheincreaseinactivities% restrictedbankdeposits.
    eNqeutiivnaclreenatsseincashandcash         726,576,915.27        441,630,376.91 64.52%
    
    
    Significant change in structure or source of profit of the Company during the reporting period
    
    □Applicable √ Not applicable
    
    There was no significant change in structure or source of profit of the Company during the reporting period.
    
    Components of principal operations
    
    Unit: RMB
    
                                                      Incorferaesvee/dneucereaasseoInfcorpeearsaet/idnegcrceoasstesInocfrmegarasoresg/sdinepcraorsefaitse
                    Revenue     Operatingcosts   Grossprofit   comparedtothe  ascomparedtomargincorresponding  thecorresponding comparedtothe
                                                        peprriioodryoefathre    peprriioodryoefathre    cpoeprrrrieioosdproyonefdatihrneg
    MByacinhdinues-tmryade
    Fpainpaenrcialleasing  113,,126701,,379132,,092024..72649,410465,,197317,,624495..44268288..5523%%  192..2773%%   -298..0009%%    60..1591%%
    BDyupplreoxdpurcetsss
    pCaopaetredpaper     23,,532744,,584642,,078066..843212,,378045,,858683,,629277..06843300..6658%%  2-03..5438%%   1-26..9515%%   41..1720%%
    Wbohairtdepaper      3,486,996,727.76 2,841,735,861.42      18.50%       18.94%       42.93%       -13.68%
    Epalepcetrrostatic  1,209,736,132.82   701,453,812.07      42.02%       13.78%        -1.99%        9.32%
    pAanptei-rstickingraw    681,182,446.30   403,184,572.06      40.81%       16.10%        2.92%        7.58%
    BFiynagnecoigarlalpehaiscinalgsegm1e,2n7t1,712,904.26145,937,245.46      88.52%       12.73%       -28.09%        6.51%
    OMtahienrlacnodunCtrhiiensa14,019,216,475.40 8,922,766,389.48      36.35%       16.95%       14.43%        1.40%
    and regions      1,531,781,930.08 1,353,506,642.35      11.64%        -2.77%        -1.45%        -1.18%
    
    
    III. Analysis of non-principal operations
    
    □Applicable √ Not applicable
    
    IV. Assets and liabilities
    
    1. Material changes of asset items
    
    Unit: RMB
    
                As attheenpdeorifotdhereporting  correAsspoatnpdtrhiionergeynpedearoriofdthoefthe
                               Asa                  Asa   PercentagechangeDescriptionofmajorchanges
                   Amount    peorfcetonttaalgeAmount    peorfcetonttaalge
                              assets                 assets          Mainlyduetotheincreaseindeposits
    Monetary funds 18,221,475,254.64   17.02% 12,541,497,475.48   13.67%    3.35%cforerdthite,aisnsduabnocrreoowfibniglsls.andlettersof
    Areccceoivuanbtsle3,771,972,562.50    3.52% 3,767,714,992.67    4.11%   -0.58%
    Inventories     6,429,315,741.47   6.00% 6,057,467,324.08    6.60%   -0.60%
    Ipnrovpesetrmtieesnt4,750,494,168.51    4.44%                0.00%    4.44%eMthqeauiiCntyloymindptueaernetyso.ttihneSahcaqnugihsiatiioHnoonfg7ta5i%by
    Leqounigty-term   401,425,440.97   0.37%   169,207,699.57   0.18%    0.19%eMqauiintylyindtueeretsottihneNininvgebstomKeanitcihnetnheby
    investments                                                     theCompany.
    Fixed assets    27,822,887,081.68   25.98% 28,536,783,322.01   31.10%   -5.12%Mainlyduetothereclassificationasaresultofthenewsprintplantupgrade.
                                                                 iMnvaeinstlymdenutemtoadtheeincotnhteinMueedilun
    Construction in  9,622,048,648.75    8.99% 5,054,138,263.16    5.51%    3.48%chemicalpulpproject,the510,000progresstonneculturalpaperprojectandthe
                                                                 Hanudanpgapgearngprionjteecgtr.atedforestry,pulp
    bSohrorrotw-teinrmgs34,822,972,619.60   32.52% 31,686,575,360.39   34.53%   -2.01%MtchaepaiiCntalolymrdepuqaeunityro.edthfeorintchreeapsreodinucwtioornkionfg
    bLoornrgo-wteinrmgs7,206,918,851.77    6.73% 7,786,639,310.56    8.49%   -1.76%
    rLeocnegiv-taebrlmes9,561,944,402.25    8.93% 9,573,697,226.65   10.43%   -1.50%
    
    
    2. Assets and liabilities measured at fair value
    
    √Applicable □ Not applicable
    
    Unit: RMB
    
                           frPormoficthoarnlgoessinCumulativefair  Impairment
        Item    Openingbalance  dfaupirreinrvigaoldtuheechvaarglueedctohaenqgueitydpuprroeivnriigoddtehdedPuuprreicnrhigoasdtheesdDupriesinprigoosdtahleClosingbalance
    aFsisneatnscial
    bCioonlosguimcaalble1,756,375,954.07 -23,973,841.55   75,500,956.76           76,793,558.03 293,219,430.75 1,515,976,239.80
    aTsosteatls    1,756,375,954.07 -23,973,841.55   75,500,956.76           76,793,558.03 293,219,430.75 1,515,976,239.80
    Fliianbailnictiieasl       0.00                                                               0.00
    
    
    Whether there were any material changes on the measurement attributes of major assets of the Company during the reporting period
    
    □ Yes √ No
    
    3. Restriction on asset rights as at the end of the reporting period
    
    Unit: RMB
    
    Item                 CofatrhryeinpgeraiomdountasattheendReasonsforsuchrestriction
    Monetary funds                 14,690,489,964.91As depositsforbankacceptancebills,lettersofcreditandbankborrowings,anddepositreserves
    Bills receivable                  1,902,685,841.26As collateralforshort-termborrowings,lettersofguaranteeandlettersofcredit
    Fixed assets                     7,882,378,100.81As collateralforbankborrowings
    Intangible assets                   631,997,196.06As collateralforbankborrowingsandlong-termpayables
    Investment property               4,750,494,168.51As collateralforbankborrowingsandlong-termpayables
    Total                        29,858,045,271.55
    
    
    V. Analysis of Investments
    
    1. Overview
    
    √Applicable □ Not applicable
    
     Investmentsduringthereporting    Investmentsduringthe
           period(RMB)       correspondingperiodofprior                    Change
                                 year (RMB)
               8,232,854,389.46         6,933,152,584.60                                      18.75%
    
    
    2. Material equity investments during the reporting period
    
    √Applicable □ Not applicable
    
    Unit: RMB
    
     Nameof  Principal  Formof   Investment  Shareholding Sourceof  Partner(s)  Periodof  Product  PartotghreedssataesEstimated Proffirtoomrloss  Lawsuitis  Dateof  Disclosure
     investees  activities  investment   amount           fund         investment   type   ofsbhaelaentce  return  invtheestpmeerniotdforinvonlvoetdor di(sifclaonsyu)reindanexy)(if
    CBFiehnieajninnmcgiianlgFleiansainncgiaalndNewly   1,000,000,000.00   100.00%Self-owned wAholly-owne21071M8atoy16 Financial  Not                       30January http://www.
    LCeoa.,siLntgd.olepaesriantgionestablished                funds    dsubsidiary May2048  leasing   completed              No     2018    ccnninfo.com.
    Shanghai  Rdeevaelleosptmateent                       Shanghai  31January
    HReoanlgEtasitateaonpderationAcquisition 1,171,957,789.46   75.00%Sfuenlfd-sownedRXeinahluEasntagtpeu1Ja9n9u4atroy30 Realestate Completed       -82,830,427.25 No     32001J8anuaryhcnttipn:f/o/w.cwomw..
    Co., Ltd.  manadnpagroepmeertnyt                      Co.,Ltd.   2044                                         cn
    SChhaenngmhianigiInnvdeussttmriaelnt,Capital                  Self-owned A      1S5eptemberEnterprise Not                       17April  http://www.
    CInod.u,sLtrtdy. ccoomnsmuletarctiioanlincrease   4,000,000,000.00   100.00%funds    dwhsuobllsyi-doiawrnyeS20ep1t7emtob1e4reintcv.estmentcompleted       -16,195,308.47 No     2018    ccnninfo.com.
          manadnpagroepmeertnyt                             2037
          Bpeursminiettsesdabsy
          tBhaenCkihnigna
    SChhaenndmoinnggCRoegmumlaitsosriyon
    GCFiorno.a,unLpcted.alrpaeduwlmressviu,ananinstttrtaotiiCnacpreitaasle2,000,000,000.00   100.00%Sfuenlfd-sowneddAwhsuobllsyi-doiawrnyeLong-term CbfiunosaripnnocerisaaslteNcoomtpleted        102,249,269.78No     22071A8prilchcnnttipn:f/o/w.cwomw..
          rveegulations
          raengduolathtieorns
                                           IAnbdeursdtreieanl
                                           LHiomnigteKd,ong
                                           DHounixgifnang
    Wuhan   aPnroddsuacletisoonf                        HLiomlditiendg,s
    CHhanenymanigngdmeapchapineer,-ma                  Self-owned HXiunbheuia 29June   Madaecphainpee-rm                      24May   http://www.
    PHaopledringspanadpeprabpoearrdAcquisition  60,896,600.00   65.21%funds    IPnrdinutsitnrgyPark 2N200o40v84emtob1e8rmanadkpinagperCompleted       12,815,547.34 No     2018    ccnninfo.com.
    Co., Ltd.  mmaackhiningery                         HCCohu.ab,neLgitjdia.,ng machinery
                                           PMuebdliiashGinrgou&p
                                           CHou.b,eLitZdh.iaynidn
                                           PLrtdin.tingCo.,
    Total       -      -   8,232,854,389.46   -      -      -      -      -      -     -   16,039,081.49   -      -      -
    
    
    3. Material non-equity investments during the reporting period
    
    √Applicable □ Not applicable
    
    Unit: RMB
    
                                                                         Reasons
                                          Accumul                    Accum   for
                              IndustryInvestme  ated                     ulated  failure
                        Fixed  inwhich   nt    actual                    realised   in   Dateof Disclos
                Formof   assets    the   amount  amount  Source  Progres Estimat  return meeting disclosu  ure
     Projectname  investme investme investme during  invested offund    s     ed    asof  schedul  re(if   index
                  nt   ntornot   nt     the   asofthe              return  theend   ed    any)  (ifany)
                              project reporting endof                     ofthe  progres
                              operates period reporting                   reportin  sand
                                           period                    gperiod estimate
                                                                          dreturn
                                                                The
                                                              expecte
    Forestry paper                                                    d
    integration                  Pulp    751,8         Self-rais       average      Notyet 2     http://w
    project of    Self-cons Yes     producti  20,35  3,234,80 edand     92%   total     0 complet August ww.cni
    Huanggang   tructed          on      6.99  2,612.44 borrowin        profit      ed    2013   nfo.com
    Chenming                                      gs              per                  .cn
                                                              annum
                                                               of the
                                                              project
                                                                will
                                                              amount
                                                                  to
                                                              RMB35
                                                                  0
                                                              million.
                                                               Upon
                                                                 the
                                                              complet
                                                               ionof
                                                              constru
                                                                ction
                                                                and
                                                              comme
    510,000 tonne                                                ncemen
    high-end                                       Self-rais          tof                  http://w
    cultural paper  Self-cons        Paper   700,746, 1,397,95 edand        producti      Notyet 18    ww.cni
    project of    tructed   Yes     making   887.09 7,131.33 borrowin 37.17%   onof     0 complet Februar nfo.com
    Shouguang                                     gs               the      ed    y2017 .cn
    Meilun                                                     project,
                                                                 the
                                                              expecte
                                                              dprofit
                                                                will
                                                              amount
                                                                  to
                                                              RMB30
                                                                  8
                                                              million.
                                                               Upon
                                                                 the
                                                              complet
                                                               ionof
                                                              constru
    400,000 tonne                                   Self-rais         ction                  http://w
    chemical pulp Self-cons        Pulp    533,04  2,335,01 edand           and      Notyet 21    ww.cni
    project of    tructed   Yes     producti 4,387.0  5,663.33 borrowin 53.35% comme     0 complet March  nfo.com
    Shouguang                  on         1        gs           ncemen      ed    2014   .cn
    Meilun                                                        tof
                                                             producti
                                                               on of
                                                                 the
                                                              project,
                                                                 the
                                                              expecte
                                                               dtotal
                                                               profit
                                                                will
                                                              amount
                                                                  to
                                                              RMB41
                                                                  0
                                                              million.
    Newsprint
    paper
    machinery-to-c               Paper
    ultural paper                 making               Self-rais                   Notyet       Not
    machinery    Self-cons Yes     andpulp 1,131,23 1,131,23 edand     99%            complet       applica
    transformation tructed          producti 2,128.35 2,128.35 borrowin                  ed          ble
    and ancillary                on                  gs
    pulp
    production line
    transformation
    Total          --      --      --   3,116,84 8,099,00   --     --                 --     --     --
                                    3,759.44 7,535.45
    
    
    4. Financial asset investment
    
    (1) Security investments
    
    □Applicable √ Not applicable
    
    The Company did not have any security investments during the reporting period.
    
    (2) Derivatives investments
    
    □Applicable √ Not applicable
    
    The Company did not have any derivative investments during the reporting period.
    
    VI. Disposal of material assets and equity interest
    
    1. Disposal of material assets
    
    □Applicable √ Not applicable
    
    The Company did not dispose of any material asset during the reporting period.
    
    2. Disposal of material equity interest
    
    √Applicable □ Not applicable
    
                              coNnettripbruotfiiotn    Ratioofnet
                               CotomtphaenyEffectof  conptrriobfuittion           RelawtiiotnhshipRelevant  oCnarsrciheeddouulet
     Counterpart  Equity   Disposal  Transaction  fromthe         tothe  Pricingbasis  Related  counterparty equitytitle  ornot,if
      y(ies)   disposedof   date   (cRonMsiBd’e0r,a0t0io0n)tbheegpinenriiondguopfdisptohsealon Cdoismppoasanlyooffooffdeisqpuoitsyaltranpsaarctytion(ieosf)r(eilnatceadsetranfsuflelyrredreansootn,sthaendDisdcalotesureDisincdloesxure
                              disptoostahledateCompany  eqtoutiatylnoevter       ornot  tranpsaarcttyion)ornot  tamkeenasbuyretshe
                              (RMB)’0,000       profit(%)                           Company
                                    cTahnedisposal
                                    einffcercetaisveeltyhe
                                    Ccaosmhpflaonwy,'s
                                    ewnhaibclhesthe
    SZhhaonngghnaeingGuangdong                     Ccoonmcepnatnryatteo
    DEnetveerlporpismeenIDnevjeusntment12061A8pril  263,404.14    6,175 oabdentvtcaeanrptiatgaels,    2.94% Fairvalue  No     NpaorttyrelatedYes     Dcoimsppolseateld  12071A8pril chnttipn:f/o/w.cwomw..
    tC(oG.,roLutdp.)Co.,Ltd.                      dsuepvpeloorptmtheent                                           cn
                                    coofmpetitive
                                    banudsinfuerstsheesr
                                    ebnuhsiannecses
                                    .performance
    
    
    VII. Analysis of major subsidiaries and investees
    
    √Applicable □ Not applicable
    
    Major subsidiary and investees accounting for over 10% of the net profit of the Company
    
    Unit: RMB
    
      Nameof     Typeof     Principal   Registered  Totalassets  Netassets   Revenue   Operating   Netprofit
      company    company    activities    capital                                 profit
                         Production
    Zhanjiang              andsaleof
    Chenming   Subsidiary    pulp,duplex 5,550,000,00 22,116,965,5 8,509,589,25 4,916,442,92 967,797,04 835,494,862.20
    Pulp &Paper            presspaper,  0              12.62       0.94       7.85     3.54
    Co., Ltd.               electrostatic
                         paper
                         Production
    Shouguang             andsaleof
    Meilun Paper Subsidiary    coatedpaper 3,000,000,00 13,434,044,2 4,648,850,05 2,419,640,79 56,923,629 52,638,122.17
    Co., Ltd.               and       0              46.36       5.13       1.26      .15
                         household
                         paper
    Shandong
    Chenming              Financial   7,700,000,00 34,737,883,6 9,786,973,96 1,372,947,13 599,082,56
    Financial    Subsidiary    leasing     0              85.37       8.68       6.35     9.68 467,623,153.33
    Leasing Co.,
    Ltd.
    Jiangxi     Subsidiary    Production  2,038,116,00 6,200,304,56 2,450,235,15 1,612,275,82 69,833,747 59,566,481.48
    Chenming              andsaleof  0               6.80       6.02       2.43      .64
    Paper Co.,              lightweight
    Ltd.                  paperand
                         whitepaper
                         board
    
    
    Acquisition and disposal of subsidiaries during the reporting period
    
    √Applicable □ Not applicable
    
              Nameofcompanies             Methodstoacquireanddisposeof     Impactonoverallproductionand
                                      subsidiaries duringthereportingperiod        operationandresults
    Beijing ChenmingFinancialLeasingCo.,Ltd.  Newlyestablished                  Noeffect
    Shanghai HongtaiRealEstateCo.,Ltd.      Acquisitionofequityinterestheldby     Noeffect
                                    minority shareholders
    Xuchang ChenmingPaperCo.Ltd.         Equitytransfer                    NetprofitincreasedbyRMB11.66
                                                                  million.
    Wuhan ChenmingHanyangPaperHoldings   Acquisitionofequityinterestheldby     Noeffect
    Co., Ltd.                          minorityshareholders
    
    
    VIII. Structured entities controlled by the Company
    
    □Applicable √ Not applicable
    
    IX. Estimate of the operating results from January to September 2018
    
    Warning of cumulative net profit for the period between the beginning of the year to the end of the next reporting period being
    
    projected to be at a loss or expected to have material changes as compared to the corresponding period of prior year and its
    
    explanation
    
    □Applicable √ Not applicable
    
    X. Risk exposures of the Company and the measures to be taken
    
    1. Risk on paper making industry
    
    Policy risk
    
    The paper making industry is a basic raw materials industry and its growth has been faster than the average growth of thenational economy in recent years. However, the paper making industry’s profitability is closely correlated to the economic cycle, andthe industry is therefore a cyclical industry fluctuating with the national macroeconomic performance, which will further affect theprofitability of the Company.
    
    Hence, following the principles of scientific development and quality and efficiency enhancement, the Company willcomprehensively improve its industrial structure and regional layout through the integration between its production and manufacturesegment and financial services segment, and incorporation of smart technology into its industrial activities. The Company willemphasise on the development of leading businesses including paper making, finance and forestry so as to construct an efficientindustrial system with synergies.
    
    Market fluctuation risk
    
    With the rapid growth of the national economy, economic globalisation and China’s accession to the WTO, China’s papermaking industry has been facing increasingly fierce competition. Leveraging the strength and capital accumulated over the years,domestic enterprises have further expanded their sizes and improved their technological levels and product quality. Well-knownpaper making enterprises overseas have also directly set up production bases in China through sole proprietorship or joint ventures soas to participate in the domestic market competition by virtue of their advantages in size and technology. Besides, tariff reduction onChina after accession to the WTO has also further intensified the impact on the international market.
    
    Hence, the Company will strive to enhance the quality of paper products and achieve the target of establishing a layout forhigh-end paper industry so as to increase the proportion of high-end paper. In recent years, the Company has been expanding itsbusiness size and optimising its product mix and has set up a few production lines for high-end paper. A diversified and high-endproduct mix enables the Company to spread market risk and strengthen the resistance towards market volatility. Besides, as high-endproducts have better profit margins, the Company can increase the proportion of high-end products through consistent improvementin product mix, thereby enhancing its profitability and comprehensive competitiveness.
    
    Risk of overcapacity and slowdown in demand
    
    Overcapacity is a prominent problem in the paper making and paper product industry in China such that there has been fiercecompetition among enterprises. Since 2013, affected by slowdown in the macroeconomic growth, the demand in paper makingindustry has been weak. At the same time, as China has encouraged energy conservation and emission reduction, the backwardproduction capacity will be phased out, and the new projects will significantly realise economies of scale. By virtue of the economiesof scale in the paper making industry, the production capacity of individual paper making projects under construction and planningfor construction in China is large, which affects the demand and supply relationship in the whole paper making industry.
    
    Hence, the Company will upgrade its equipment and its technological level, expand its product mix, improve its product qualityand focus on the research and development of high-end products so as to improve its competitiveness.
    
    Risk of price fluctuation of raw materials
    
    The major raw materials used by the Company are wood pulp and waste paper. The market prices of wood pulp and waste paperfluctuate significantly. The market price fluctuation of raw material has significantly affected the production costs of the Company.In addition to intensified market competition resulting from surging capacity in the industry in recent years, the increases in prices ofa number of paper products were not in line with the increases in prices of raw materials. The market price fluctuation of rawmaterials will have an impact on the performance of the Company.
    
    Hence, the Company will remain steadfast in the “forestry-pulp-paper integration” development path and focus on theconstruction of the Zhanjiang Chenming pulp project, the Huanggang Chenming pulp project and the Shouguang chemical pulpproject, thereby eliminating the limitations of upstream resources on the Company’s development and enhancing the Company’ssustainable development.
    
    Risk of change in environmental protection policies
    
    China has been raising the standards for environmental protection in recent years. The new Environmental Protection Law tookeffect on 1 January 2015. More stringent environmental protection policies have been implemented in the paper making industry. Amulti-pronged approach has been adopted to promote industrial restructuring, and the paper making industry has entered into animportant transitional period of development. A higher emission standard is bound to increase the Company’s environmentalprotection costs and a high entry standard may result in the slowdown of scale expansion.
    
    The Company always strives to achieve harmonious development with energy conservation and emission reduction. TheCompany will endeavour to develop the recycling economy through waste exchange and recycling and strive to maximise itsresource utilisation. Meanwhile, the Company will make greater efforts to construct environment friendly projects and strive toachieve its waste emission target.
    
    2. Risk on financial leasing business
    
    Policy risk
    
    Recently, the financial leasing business is regulated by the commerce departments at different levels instead of being directlyregulated by the People‘s Bank of China or China Banking Regulatory Commission. The financial leasing industry in China is still atthe exploration stage with incomplete laws and regulations. If there is any material adjustment or change in national or local policiesfor the financial leasing industry, the Company’s financial leasing business may be adversely affected, in turn harming theCompany’s profitability.
    
    In September 2015, the General Office of the State Council promulgated the Guiding Opinions on Accelerating the Developmentof Financial Leasing Industry, which formulated comprehensive systematic planning on accelerating the development of the financialleasing industry. The financial leasing industry embraced a rare opportunity for leap-forward development. In February 2016, theGeneral Office of People’s Government of Shandong Province promulgated the Opinions of the General Office of People’sGovernment of Shandong Province on Accelerating the Development of Financial Leasing Industry by Implementing Document GuoBan Fa [2015] No. 68, formulating specific measures to refine policy measures and ensure the measures being carries out properly,which provided actual policy support for the development of the financial leasing industry in Shandong Province.
    
    Liquidity risk
    
    In a market economy, the macroeconomic operation tends to be in cycles and the Company is inevitably affected by thosecycles. At the same time, there is fierce competition in the financial industry and the interest margin is a main source of income forthe financial leasing business. The market interest rate is affected by the benchmark interest rate of the People’s Bank of China, themacroeconomic environment, market demand and supply and other factors, bringing uncertainties to the fluctuation of the marketinterest rate, which in turn causes uncertainties in revenue from the financial leasing business.
    
    Hence, following the principles of scientific development and quality and efficiency enhancement, the Company willcomprehensively improve its industrial structure and regional layout through the integration between its production and manufacturesegment and financial services segment, and incorporation of smart technology into its industrial activities. The Company willemphasise on the development of leading businesses including paper making, finance and forestry so as to construct an efficientindustrial system with synergies.
    
    Credit risk
    
    The Company may suffer from loss if the lessees of its financial leasing business cannot make full rental payment on time due toany reason and there are abuses on equipment or any other short-term behaviour. Although the risk of such rental beingunrecoverable is minimal, the Company will also make bad debt provision as required under its accounting policy. If such amountscannot be recovered on time, the Company may be exposed to risk of bad debts.
    
    The stringent risk management measures of Chenming Leasing provide comprehensive risk prevention and management for theCompany’s projects. Besides, the Company usually cooperates with state-owned enterprises and local governments, so it has strongrisk resistance and low risk of default. Chenming Leasing will strengthen risk management so as to enhance risk resistance andmaintain high quality services.
    
    Operation risk
    
    Recently, there is still a gap between the practitioners working in the financial leasing industry and those working in traditionalfinancial institutions such as banks in terms of their expertise and experience in financial profession in China. There is also a largegap in terms of investment in infrastructure. If internal control procedures are not implemented properly and involve operation risk asa result of operation errors, violations or non-standard execution, the Company may suffer from loss.
    
    Learning from the risk management experience of outstanding financial leasing companies at home and abroad, the leasingcompany has formulated and optimised the internal management system of the leasing business and established an effective systemfor risk assessment, risk control and risk tracking. The Company has also exercised proper control on business risk by regulating thekey business procedures including quotation, guarantee review, contract signing, leased assets management and archivesmanagement.
    
    V Material Matters
    
    IP.eArinondual general meeting and extraordinary general meeting convened during the reporting
    
    1. General meetings during the reporting period
    
                                         Attendanc
              Meeting         Typeofmeeting  erateof  Conveningdate  Disclosuredate     Disclosureindex
                                         investors
    2018 firstextraordinarygeneral    Extraordinary     33.09%13February2018 14February2018 http://www.cninfo.com.cn
    meeting                   generalmeeting
    2018 secondextraordinarygeneral  Extraordinary     33.18%1June2018     2June2018     http://www.cninfo.com.cn
    meeting                   generalmeeting
    2018 firstdomesticlistedshare    Extraordinary     27.93%1June2018     2June2018     http://www.cninfo.com.cn
    class meeting                generalmeeting
    2018 firstoverseaslistedshareclass Extraordinary      7.43%1June2018     2June2018     http://www.cninfo.com.cn
    meeting                   generalmeeting
    2017 annualgeneralmeeting      Annualgeneral    33.10%13June2018    14June2018    http://www.cninfo.com.cn
                             meeting
    2018 seconddomesticlistedshare  Extraordinary     25.65%13June2018    14June2018    http://www.cninfo.com.cn
    class meeting                generalmeeting
    2018 secondoverseaslistedshare  Extraordinary      7.46%13June2018    14June2018    http://www.cninfo.com.cn
    class meeting                generalmeeting
    
    
    2. Extraordinary general meeting requested by holders of the preference shares with voting rights restored
    
    □Applicable √ Not applicable
    
    IdIu.rPinrgopthoissarlsepoonrtipnrgopfietridoidstribution and conversion of capital reserves into share capital
    
    □Applicable √ Not applicable
    
    The Company does not intend to distribute cash dividend and bonus share, and conduct conversion of capital reserves into share
    
    capital for the interim period.
    
    IbIeIn. efUicnidalerctoanktirnoglslerms,adshearbeyhopldaerrtise,sreinlavtoeldvepdaritniesu, nbdiedrdtearksinagnsd inthceludCionmg ptahney Cdoumrinpgantyh’es
    
    reporting period or prior periods but subsisting to the end of the reporting period
    
    □Applicable √ Not applicable
    
    During the reporting period, there was no undertaking made by parties involved in undertakings including the Company’s beneficial
    
    controllers, shareholders, related parties, bidders and the Company during the reporting period or prior periods but subsisting to the
    
    end of the reporting period.
    
    IV. Engagement or dismissal of accounting firms
    
    Has the interim financial report been audited?
    
    □ Yes √ No
    
    The interim financial report is unaudited.
    
    Vre.pOorpti”nifoonrsthoef rthepeoBrtoianrgdpaenridodthiessSuuedpebryvitshoeryacCcooumnmtaintttese regarding the “modified auditor’s
    
    □Applicable √ Not applicable
    
    VI. Opinions of the Board regarding the “modified auditor’s report” for the prior year
    
    □Applicable √ Not applicable
    
    VII. Matters related to bankruptcy and reorganisation
    
    □Applicable √ Not applicable
    
    There was no matter related to bankruptcy and reorganisation during the reporting period.
    
    VIII. Litigation
    
    Material litigation and arbitration
    
    □Applicable √ Not applicable
    
    The Company was not involved in any material litigation and arbitration during the reporting period.
    
    Other litigations
    
    √Applicable □ Not applicable
    
    Basic information  Amount    Will                      Judgmentresultof   Judgment
     about litigation  (RMB’0,000 liability    Progressoflitigation      thelitigation    executionof Disclosure Disclosur
      (arbitration)       )       be        (arbitration)      (arbitration)andits  thelitigation    date    eindex
                          incurred                         effect      (arbitration)
    Statutory demand RMB167.86        TheCompanyhasappealed Attheconclusionof           15May   http://ww
    and Winding-up  millionand  Yes    againsttheorderofJustice  thehearing,the    Notapplicable 2018    w.cninfo.
    Petition        theinterest         Harrisdated14June2017  courtindicatedthat                    com.cn
                 thereon,          on12July2017.The     adatewillbesetto
                 USB3.5489        hearingwascompletedat   handdownthe
                 millionand        theCourtofAppealofthe  judgment.
                 theinterest         HighCourtoftheHKSAR
                 thereon,          on11May2018.Atthe
                 HK$3.3039        conclusionofthehearing,
                 millionand        thecourtindicatedthata
                 theinterest         datewillbesettohand
                 thereon           downthejudgment.
    
    
    IX. Punishment and rectification
    
    √Applicable □ Not applicable
    
        Name         Type        Reason    Investigationand  Conclusion,ifpunishmenttype      any      Disclosuredate  Disclosureindex
                                                      2O0n178,AJuiagnugsxti
                                                      rCehceenivmeidntghe
                                                      “GHaoonZgiH[2u0a1n8F]a
                                                      (NHoe.a2r4inAg)dNvaontcicee
                             On 8June2018,              PofenAadltmy”infirsotrmative
                             ethnefolarcwement            ENnavnicrhoannmgental
                             Nofafinccehrasnogf            iPnroretelacttiioonntBouareau
                             PErnovtiercotniomneBntuarleau    padrompionsiesdtrative
    Jiangxi                    csaomndpulicntegdoofnth-seite    pJieannaglxtyion
    CChoe.,nLmtdin.gPaper     Others    doovseirnflgowdevoifcteheofOthers    tCrehaetnmmeinntg.Asthe  Notapplicable   Notapplicable
                             tshyestdeemodoofrJiisaantigoxni   pfaoclilluittieedsbwyerenot
                             Cexhceensmsivinegp,hwwhearse          wimapterropaesraurseesuolft
                             oidveenrtfilfoiwedoafttthhee             oofpeimraptiroonpedrueto
                             ofadcoilrittireesa.tment          ehquumipanmeernrtobr,eoinrg
                                                      othuetroefwoarsdearand
                                                      Jreiacntigfixciationon
                                                      iCnhiteinatmivien,ga’sown
                                                      lReMnieBn3t0p0e,n0a0l0tywoafs
                                                      imposed.
    
    
    Rectification
    
    √Applicable □ Not applicable
    
    When the issue was identified, Jiangxi Chenming replaced the automatic valve immediately, inspected the equipment and facilities
    
    more frequently and enhanced the regular maintenance and repair of the key equipment. The blowdown pipes were repaired to ensure
    
    the alkaline cleaning water in the alkaline cleaning tanks still had access to the wastewater treatment system for effective treatment
    
    through the pipes when the automatic valve did not function. The wastewater was treated and discharged up to standard through the
    
    central wastewater outfall in the plant area. The wastewater outfall was monitor online in real time throughout 24 hours to completely
    
    remove the problem of leakage possibly caused by the alkaline cleaning system. The rectification was completed on 12 June.
    
    X. Credibility of the Company, its controlling shareholders and beneficial controllers
    
    □Applicable √ Not applicable
    
    XemI.plIomyepeleimnceennttaitvieonmeoafsutrheeofeqthueitCy oimncpeanntyive plan, employee shareholding plan or other
    
    □Applicable √ Not applicable
    
    There was no implementation of the equity incentive plan, employee shareholding plan or other employee incentive measure of the
    
    Company during the reporting period.
    
    XII. Significant related party transactions
    
    1. Related party transactions associated with day-to-day operation
    
    √Applicable □ Not applicable
    
                  Types  Subject Pricing        Amount Percenta Amount
                  of the  matter  basisof Priceof   of   geasthe   of   Whether Settleme Market
            Related  relate  ofthe   the   related  related  amount transacti exceedi  ntof  priceof       Disclo
     Related  party    d   related  related  party   party    of    ons    ng   related availabl Disclosu  sure
     party  relationshi party  party   party  transacti transacti similar approve approve  party  esimilar redate  index
              p    transa transacti transacti  ons    ons  transacti   d    dcap  transacti transacti
                  ctions   ons    ons         (RMB’0 ons(%) (RMB’0         ons    on
                                           ,000)         ,000)
           Pursuant
           tothe
    Jiangxi  requireme
    Chenmi ntunder                                                   Bank
    ng     Paragraph      Natural                                       acceptan             http://
    Natural  (2)of    Procur gasand Market  Market  17,014.7                   ceand  Not    23June www.c
    Gas Co., Article   ement heavy  price   price        4  1.66%  35,000 No    telegrap applicab 2018   ninfo.c
    Ltd. and 10.1.6of       oiletc.                                        hic    le           om.cn
    its     theRules                                                   transfer
    subsidia Governing
    ries    theListing
           ofStocks
           on
           Shenzhen
           Stock
           Exchange
    Particulars onrefundofbulksale   Notapplicable
    
    
    2. Related party transaction in connection with purchase or sale of assets or equity interest
    
    √Applicable □ Not applicable
    
                                       Carrying
     Related   Related  thTeypreelsatoefdmSautbtejercotfbaPsirsicoinfgthe amothuentof  vaAlusseeossfetdhe
      party   relaptiaorntyshiptranpsaarcttyionsthepraerltaytedreplaartteydtranassfseertredtranassfseertredT(RraMnsBfe’0r,p0r0i0ce)Srteeraltatnlteseamdcetpinaotrntosyfp(RrTorMfaintBsa’an0cd,t0ilo0on0s)sDisdcalotesureDisincdloesxure
                         transactions transactions (RMB0)’0,00(RM(ifBa’n0,y0)00)
           tPhuersuantto        Receiptof
           urenqdueirrement     i3n0t%ereesqtuinity
           Paragraph         Hongtai
    DGeujaunngdong(A3r)tiocfle Equity   hReeladlbEystateValuation
    CInov.e,sLtmtde.ntGR10uo.lv1ee.s3rnoifngtheacquisition DGGeuujaaunnnggddanoodnnggreport     21,085.86  123,977.96    127,500Wiretransfer         - 32001J8anuaryhnitntpf:o/./cwowmw.c.cn
           tohfeSLtoisctkinsgon   dDeebjutnto’s
           SShtoecnkzhen      HReoanlgEtasitate
           Exchange
    
    
    3. Related party transaction connected to joint external investment
    
    □Applicable √ Not applicable
    
    There was no related party transaction of the Company connected to joint external investment during the reporting period.
    
    4. Related creditors’ rights and debts transactions
    
    √Applicable □ Not applicable
    
    Was there any non-operating related creditors’ rights and debts transaction?
    
    □ Yes √ No
    
    There were no non-operating related creditors’ rights and debts transactions of the Company during the reporting period.
    
    5. Other significant related party transactions
    
    □Applicable √ Not applicable
    
    There was no other significant related party transaction of the Company during the reporting period.
    
    pXaIrIIti.eAs fpoprrnoponri-aotpioenraotifnfgupnudrspoofseths e Company by the controlling shareholder and its related
    
    □Applicable √ Not applicable
    
    There was no appropriation of funds of the Company by the controlling shareholder and its related parties for non-operating purposes
    
    during the reporting period.
    
    XIV. Material contracts and implementation
    
    1. Custody, contracting and leasing
    
    (1) Custody
    
    □Applicable √ Not applicable
    
    There was no custody of the Company during the reporting period.
    
    (2) Contracting
    
    □Applicable √ Not applicable
    
    There was no contracting of the Company during the reporting period.
    
    (3) Leasing
    
    □Applicable √ Not applicable
    
    There was no leasing of the Company during the reporting period.
    
    2. Significant guarantees
    
    √Applicable □ Not applicable
    
    (1) Guarantees
    
    Unit: RMB’0,000
    
                       ExternalguaranteesoftheCompany(excludingguaranteestosubsidiaries)
                  Dateofthe
                   related                                                             Guarante
                  announcem                                                             eto
     Name ofobligee    ent    Amountof  Guaranteedate   Guarantee     Typeof     Term    Fulfilled  related
                  disclosing  guarantee (agreementdate)   provided    guarantee             ornot  partiesor
                     the                                                               not
                  guarantee
                   amount
    Weifang Sime    24July               20December            General
    Darby WestPort  2017         17,500        2017       13,500 guarantee   10years    No     No
    Co., Ltd.
    Total externalguarantees                          Totalactualexternal
    approved duringthereporting                     0 guaranteesduringthe                           8,500
    period (A1)                                  reportingperiod(A2)
    Total externalguarantees                          Balanceoftotalactual
    approved attheendofthe                    17,500 guaranteesattheendofthe                      13,500
    reporting period(A3)                            reportingperiod(A4)
                              GuaranteesbetweentheCompanyanditssubsidiaries
                  Dateofthe
                   related                                                             Guarante
                  announcem                                                             eto
     Name ofobligee    ent    Amountof  Guaranteedate   Guarantee     Typeof     Term    Fulfilled  related
                  disclosing  guarantee (agreementdate)   provided    guarantee             ornot  partiesor
                     the                                                               not
                  guarantee
                   amount
    Zhanjiang       30March                                  General
    Chenming Pulp& 2016        150,000                       guarantee   3years     No     No
    Paper Co.,Ltd.
    Zhanjiang       17                                      General
    Chenming Pulp& February     650,000 18October2017    498,883.84 guarantee   3years     No     No
    Paper Co.,Ltd.   2017
    Zhanjiang       14June                                   General
    Chenming Pulp& 2018        200,000                       guarantee   3years     No     No
    Paper Co.,Ltd.
    Shandong
    Chenming       26March     500,000   17December    202,354.67 General    7years     No     No
    Financial Leasing  2015                      2015            guarantee
    Co., Ltd.
    Shandong
    Chenming       30March     300,000                       General    7years     No     No
    Financial Leasing  2016                                     guarantee
    Co., Ltd.
    Shandong       14
    Chenming       February     150,000                       General    3years     No     No
    Financial Leasing  2018                                     guarantee
    Co., Ltd.
    Shanghai        14
    Chenming       February     400,000                       General    3years     No     No
    Financial Leasing  2018                                     guarantee
    Co., Ltd.
    Qingdao        14
    Chenming       February     250,000                       General    3years     No     No
    Nonghai Financial 2018                                     guarantee
    Leasing Co.,Ltd.
    Guangzhou      14
    Chenming       February     200,000                       General    3years     No     No
    Financial Leasing  2018                                     guarantee
    Co., Ltd.
    Shandong       14
    Chenming       February     200,000                       General    3years     No     No
    Commercial      2018                                     guarantee
    Factoring Co.,Ltd.
    Huanggang
    Chenming       17                                      General
    Arboriculture     February       5,000                       guarantee   3years     No     No
    Development Co., 2017
    Ltd.
    Huanggang      26March             23September            General
    Chenming Pulp& 2015        400,000        2016    104,563.46 guarantee   7years     No     No
    Paper Co.,Ltd.
    Huanggang      30March                                  General
    Chenming Pulp& 2016        550,000                       guarantee   7years     No     No
    Paper Co.,Ltd.
    Jiangxi Chenming 30March     150,000   12June2017     85,842.20 General    3years     No     No
    Paper Co.,Ltd.   2016                                     guarantee
    Jiangxi Chenming 17                                      General
    Paper Co.,Ltd.   February     200,000                       guarantee   3years     No     No
                  2017
    Jiangxi Chenming 14June       50,000                       General    3years     No     No
    Paper Co.,Ltd.   2018                                     guarantee
    Shouguang Meilun 16                                      General
    Paper Co.,Ltd.   December    600,000 17January2018     95,875.68 guarantee   10years    No     No
                  2010
    Shouguang Meilun 17                                      General
    Paper Co.,Ltd.   February     100,000                       guarantee   3years     No     No
                  2017
    Shandong
    Chenming Paper  30March     200,000                       General    3years     No     No
    Sales Company   2016                                     guarantee
    Limited
    Shandong       17
    Chenming Paper  February     400,000   19July2017    368,056.98 General    3years     No     No
    Sales Company   2017                                     guarantee
    Limited
    Chenming (HK)   30March     100,000                       General    3years     No     No
    Limited        2016                                     guarantee
    Chenming (HK)   17                                      General
    Limited        February     500,000   14July2017    444,434.94 guarantee   3years     No     No
                  2017
    Chenming (HK)   14June      250,000                       General    3years     No     No
    Limited        2018                                     guarantee
    Shouguang      17
    Chenming Import  February      50,000   30September     18,000.00 General    3years     No     No
    and ExportTrade  2017                      2017            guarantee
    Co., Ltd.
    Jilin Chenming   17                   16February            General
    Paper Co.,Ltd.   February     150,000        2018      4,000.00 guarantee   3years     No     No
                  2017
    Shandong       17                                      General
    Chenming Group  February     500,000                       guarantee   3years     No     No
    Finance Co.,Ltd.  2017
    Zhanjiang
    Chenming       17                                      General
    Arboriculture     February       5,000                       guarantee   3years     No     No
    Development Co., 2017
    Ltd.
    Nanchang
    Chenming       15August                                 General
    Arboriculture     2017         10,000                       guarantee   3years     No     No
    Development Co.,
    Ltd.
    Shandong       14June                                   General
    Chenming Panels  2018         3,000                       guarantee   3years     No     No
    Co., Ltd.
    Total amountofguaranteeprovidedforsubsidiaries 1,703,000 Totalamountofguaranteeprovidedforsubsidiaries   953,478.84
    approved duringthereportingperiod(B1)              duringthereportingperiod(B2)
    Total amountofguaranteeprovidedforsubsidiaries 7,223,000 Totalbalanceofguaranteeprovidedforsubsidiaries  1,822,011.78
    approved asattheendofthereportingperiod(B3)         asattheendofthereportingperiod(B4)
                                     Guaranteesbetweensubsidiaries
                      Date oftherelated         Guarantee                                  Guarante
                        announcement  Amountof   date    Guarantee                    Fulfill   eto
        Nameofobligee     disclosingthe   guarantee  (agreement  provided Typeofguarantee  Term  edor  related
                       guaranteeamount           date)                               not  partiesor
                                                                                      not
    Chenming (HK)Limited  30March2016     100,000          36,627.51 Generalguarantee 3years  No   No
    Chenming (HK)Limited  30March2016     100,000                 Generalguarantee 3years  No   No
    Chenming (HK)Limited  30March2016     100,000                 Generalguarantee 3years  No   No
    Total amountofguaranteeprovidedforsubsidiariesapproved            Totalamountofguarantee
    during thereportingperiod(C1)                              0 providedforsubsidiariesduring      19,876.27
                                                         the reportingperiod(C2)
    Total amountofguaranteeprovidedforsubsidiariesapproved            Totalbalanceofguarantee
    as attheendofthereportingperiod(C3)                    300,000 providedforsubsidiariessatthe      36,627.51
                                                         end ofthereportingperiod(C4)
    Total amountofguaranteeprovided(i.e.sumoftheabovethreeguaranteeamount)
    Total amountofguaranteeapprovedduringthe           1,703,000 Totalamountofguaranteeduringthe      981,855.11
    reporting period(A1+B1+C1)                             reportingperiod(A2+B2+C2)
    Total amountofguaranteeapprovedasatthe            7,540,500 Totalbalanceofguaranteeasattheendof 1,872,139.29
    end ofthereportingperiod(A3+B3+C3)                      thereportingperiod(A4+B4+C4)
    The percentageoftotalamountofguaranteeprovided(i.e.                                           67.64%
    A4+B4+C4) tothenetassetsoftheCompany
    Of which:
    Balance ofguaranteeprovidedforshareholders,beneficialcontrollersanditsrelatedparties(D)                       0
    Balance ofguaranteedirectlyorindirectlyprovidedforobligorswithgearingratioover70%(E)               1,137,410.05
    Total amountofguaranteeprovidedinexcessof50%ofnetassets(F)                                 488,281.08
    Sum oftheabovethreeamountofguarantee(D+E+F)                                          1,625,691.13
    
    
    (2) External guarantees against the rules and regulations
    
    □Applicable √ Not applicable
    
    There was no external guarantee provided by the Company which was against the rules and regulations during the reporting period.
    
    3. Other material contracts
    
    □Applicable √ Not applicable
    
    The Company did not have any other material contract during the reporting period.
    
    XV. Fulfilment of social responsibility
    
    1. Major environmental protection matters
    
      coNmapmaenyoforNmamajeorofWemaiyssoiofn   eNmuiomsfsbioenrDofisetmribisustiioonnEmission    PemolilsustiaonntTotal   Approved  Excessive
     subsidiary apnodlslupteacnitfsic    outlets    outlets   concentration imsptalnemdaerndtsedemissions  emtiostsaiolns  emissions
              pollutants
                                     Within
             COD     Organised  3      ChenmingemissionIndustrial    200mg/L    300mg/L    1851.10t  7666.64t   No
                                     Park
             AnimtromgoenniaeOmrgisasniiosned3      ICWnhdietuhnsimtnriianlg2mg/L     30mg/L    35.15t    766.66t    No
                                     Park
                                     Within     Powerplant  PowerplantShandongSulphur    Organised        Chenming   4.50mg/m3;  35mg/m3;Chenmingdioxide    emission  3      Industrial    Alkali      Alkali      3.15t    247.16t    NoPaperrecovered   recovered
    HLiomlditiendgs                     Park       2.13mg/m3   200mg/m3
             Nitrogen   Organised        CWhiethnimning   P37omwegr/mpl3a;nt1P0o0wmergp/lman3;t
             oxide     emission  3      PInadrukstrial A1re4lc2komavliegr/emd33Are0lc0komavliegr/emd377.39t    1059.41t   No
                      SmokeOemrgisasniiosned3      IWCnhdietuhnsimtnriianlgAP0.ol7kw7amelrigp/lman3;t1AP0olkwmaelgri/pmla3;nt0.50t    70.62t     No
                                     Park      recovered   recovered10.40mg/m320mg/m3
             Sulphur   Organised        CWhiethnimning
             dioxide    emission  2      IPnadrukstrial 6.88mg/m3   35mg/m3    34.50t    348.10t    No
    SMheoiulugnuangNitrogen   Organised        CWhiethnimning
    PLatdp.erCo.,  oxide     emission  2      IPnadrukstrial 49mg/m3    100mg/m3  240.60t   709.32t    No
                                     Within
             Smoke    Organised        Chenmingemission2      Industrial    0.63mg/m3   5mg/m3     2.9070t   73.62t     No
                                     Park
    Wuhan    COD     Organised  1      EastoftheChenmingemission         factoryarea  26mg/l     80mg/L    14.4t    184.30t    No
    PHaapneyrangAmmonia  Organised        Eastofthe
    HCoo.l,dLintgds.nitrogen   emission  1      factoryarea  1.4mg/l     8mg/L     0.7t     17.30t     No
                                     Within
             SdiuolxpihduereOmrgisasniiosned2      QEPolieawcntenrriecfnagctory781.3560T4Tmfufgrun/rmnaca3e;ce50mg/m3    4.236t    102.58t    No
                                              1.27mg/m3area
    WQChiuaehnnanmneinnggNitrogen   Organised        WQiiatnhnineng1383.07T6mfugrn/mac3e;
    PEolewcetrricCo.,oxide     emission  2      EPolewcterricfactory3567.95mTgfu/mrn3ace100mg/m3  21.68t    205.16t    No
    Ltd.                              Wareitahin
             Smoke    Organised        Qianneng   130Tfurna3ce
                      emission  2      EaProleewacterricfactory457..516T8mmfgug/rmn/ma3ce;20mg/m3    2.755t    41.03t     No
    CJihanengmxiingCOD     eOmrgisasniiosned1      bAotutnhdearyof  34.97mg/L  90mg/L    148.61t   1260t     No
    LPatdp.erCo.,  Ammonia  Organised  1      fAatcttohreyarea  2.04mg/L   8mg/L     9.77t    112t      No
             nitrogen   emission         fbaocutnodryarayreoaf
             SdiuolxpihduereOmrgisasniiosned2      fWacitthoirnyarea  48.78mg/m3  200mg/m3   104.57t   806t      No
             oNxiitdroegenOemrgisasniiosned2      fWacitthoirnyarea  113.53mg/m3 200mg/m3  254.53t   806t      No
             Smoke    Organised  2      Withinemissionfactoryarea  11.63mg/m3  30mg/m3    25.2t    135t      No
                      Organised        AttheCODemission  1      boundaryof  62.5mg/L   90mg/L    144.1t    357t      Nofactoryarea
    Jilin      AnimtromgoenniaOemrgisasniiosned1      Abotutnhdearyof  1.61mg/L   8mg/L     3.72t    34t       No
    CPahpeenrmCinog.,Sulphur    Organised        Wfacitthoirnyarea
    Ltd.      dioxide    emission  1      factoryarea  3.64mg/m3   100mg/m3   3.06t    97t       No
             oNxiitdroegenOemrgisasniiosned1      fWacitthoirnyarea  38.24mg/m3  100mg/m3   32.15t    213t      No
             Smoke    Organised        Withinemission1      factoryarea  14.05mg/m3  30mg/m3    11.81t    51.66t     No
                                     Within
             COD     Organised  1      ZhanjiangemissionChenming   35.57mg/L  90mg/L    425.09t   1943t     No
                                     factoryarea
             AnimtromgoenniaOemrgisasniiosned1      WZChhiaethnnijmniainngg1.01mg/L   8mg/L     12.42t    43.90t     No
                                     factoryarea
                                              L0.i2m6emkgi/lmn:3
                                              rAelckoavliered:L40im0megk/imln3:
                                              2P6o.w41ermpgl/amnt3A2re0lc0komavliegr/emd3:
             Sulphur   Organised        ZWhiathnijniang41.#6:6mg/m31ci#r、cul2a#ti、ng3#
             dioxide    emission  6      Chenming   P2#o:werplant  fluidisedbed 201.85t   620t      No
    CZhhaennjmiainngg                   factoryarea  2P.o9w3mergp/mlan3t  1b0o0ilmerg:/m3
    PPauplper&Co.,                                53.#7:7mg/m34fl#uicdiirsceudlabtiendg
    Ltd.                                        Powerplant  boiler:
                                              416#.:60mg/m335mg/m3
                                              L23im1.e46kmilng:/m3Limekiln:
                                              rAelckoavliered:A30l0kmalig/m3
                                              P19o8w.6er5mplga/nmt3 2re0c0omvegr/emd3:
             oNxiitdroegeneOmrgisasniiosned6      CWZhhiaethnnijmniainnggo211#w.:e5r5mplgan/mt3P 1cfli#ur、ciduil2sa#eti、dnbg3e#d909.17t   2169.70t   No
                                     factoryarea  220#.:09mg/m3P1b0o0ilmerg:/m3
                                              o3#w”erplant   4fl#uicdiirsceudlabtiendg
                                              1o7w.e7r5mplgan/mt3P 5b0omilegr/:m3
                                              4#”
                                              28.35mg/m3
                                              SLmimoekekiln:
                                              1A4l.k2a1limg/m3Limekiln:
                                              1re5c.o3v0emregd/m:3P l8i0rmecgo/vme3rAedlk,a
                                     Within     o1#w:erplant   c1i#r、cul2a#ti、ng3#
             Smoke    Organised  6      Zhanjiang   14.12mg/m3P fluidisedbedemissionChenming   owerplant   boiler:     90.56t    196t      No
                                     factoryarea  24.#4:1mg/m3c3i0rmcugl/amtin3g4#
                                              3P#o:werplant  fblouiildeirs:edbed
                                              P7.o5w2mergp/mlan3t  10mg/m3
                                              49.#7:5mg/m3
    
    
    Construction and operation of facilities for pollution prevention and control
    
    (1) The Company and its subsidiaries strictly comply with laws, regulations and relevant rules regarding environmental protection of
    
    the central and local government. The construction of projects strictly adheres to the “three simultaneities” on environmental
    
    protection. In order to ensure pollutants are discharged strictly in accordance with the requirements under laws and regulations and
    
    disposed properly, production and operation strictly comply with the national Law on the Prevention and Control of Environmental
    
    Pollution, Law on the Prevention and Control of Water Pollution, Law on the Prevention and Control of Air Pollution, Action Plan
    
    for Prevention and Control of Water Pollution and Law on the Prevention and Control of Environmental Pollution by Solid Waste
    
    and other laws.
    
    (2) Both the Company and its subsidiaries are equipped with comprehensive environmental protection treatment facilities. The
    
    pre-treatment-aerobic-anaerobic-in-depth treatment technology is the major technology for water treatment, which can achieve
    
    standardised discharge of waste water. Moreover, subsidiaries are equipped with recycling system for process effluent, and reuse
    
    treated waste water to the greatest extent in order to minimise pollution. The Company has constructed a total of 8 water treatment
    
    plants, with daily treatment capacity of 350,000 m3. A total of ten online water monitoring facilities were installed in subsidiaries,
    
    which are all operated by entrusted enterprises qualified for running such facilities. In addition, governmental authority will regularly
    
    visit the Company to conduct comparison of online monitoring data every quarter. All data meets the standards.
    
    (3) Each subsidiary’s organized emission outlets are equipped with an online monitoring system for real-time monitoring. All
    
    subsidiaries have their own power plants. Each self-owned plant has its own environmental protection facilities for de-dusting,
    
    desulphurisation and denitrification. Denitrification is conducted through SNCR, while desulphurisation is primarily conducted
    
    through gypsum desulphurisation (ammonia desulphurisation is adopted in the self-owned plant of Jiangxi Chenming). Substantially
    
    all of the emissions indicators are below 50% of the execution standards. Other supporting facilities such as alkali recovery boilers
    
    and lime kilns are also in compliance with the emission standards.
    
    Environmental impact assessment of construction projects and other environmental protection administrative licensing
    
    The Company has strictly complied with the environmental laws and regulations all along to carry out environmental impact
    
    assessment of construction projects. The construction projects are all subject to environmental impact assessment. During the
    
    construction process, a reasonable environmental protection project construction plan is formulated and strictly implemented. The
    
    environmental protection facilities and the main project are designed, constructed and put into operation at the same time. At present,
    
    all construction projects put into production have obtained environmental impact assessment approvals and acceptance approvals.
    
    In June 2017, the Company and its subsidiaries completed the formalities for new discharge permits in accordance with the Measures
    
    for the Administration of Pollutant Discharge Permits of the Ministry of Environmental Protection, and the discharge permits of the
    
    new projects were renewed according to the environmental protection requirements in a timely manner.
    
    Emergency plan for emergency environmental incidents
    
    The Company has strictly implemented emergency regulations for emergency environmental incidents, and formulated various
    
    emergency plans for emergency environmental incidents according to the technical requirements in the “Technical Guidelines for
    
    Emergency Environmental Pollution Accidents”. The plans are reviewed by and filed with the Environmental Protection Bureau, and
    
    regular emergency training and emergency drills are conducted. Emergency measures in relation to dangerous chemicals are
    
    formulated in accordance with the environmental protection requirements. At the same time, necessary emergency supplies are
    
    provided with regular inspections and updates.
    
    Environmental self-monitoring programme
    
    The Company has strictly complied with self-monitoring laws and regulations, and conducted self-monitoring in accordance with the
    
    environmental protection requirements to establish and perfect the corporate environmental management ledgers and materials. At
    
    present, self-monitoring is a combination of manual monitoring and automatic monitoring. At the same time, qualified units are
    
    engaged to conduct regular monitoring. Automatic monitored items include: total wastewater discharge (COD, ammonia nitrogen,
    
    flow rate, total phosphorus, total nitrogen and PH); power plant, alkali recovery boilers and lime kiln exhaust emissions (sulphur
    
    dioxide, nitrogen oxide and smoke). Manually monitored items include: daily monitoring of COD, ammonia nitrogen, SS, chroma,
    
    PH, total phosphorus and total nitrogen indicators. Sewage and other monitoring items, unorganised exhaust emission, solid waste,
    
    and noise at the plant boundary, are monitored on a monthly or quarterly basis by qualified units engaged in accordance with the
    
    local environmental protection requirements in relation to each subsidiary.
    
    The self-monitoring data and environmental monitoring programmes for pollutants discharge of various subsidiaries are published on
    
    the national key pollution source information disclosure website and the provincial key pollution source information disclosure
    
    websites.
    
    Other environmental information to be disclosed
    
    The relevant environmental protection information of the pollutant discharge permit information and the pollutant discharge permit
    
    requirements is announced on the national sewage discharge permit management information platform.
    
    Other environmental protection related information
    
    Other environmental protection related information is announced on the Company’s website.
    
    XVI. Other matters of significance
    
    √Applicable □ Not applicable
    
    1. Distribution of fixed dividend of Chenming You 01
    
    The dividend was accrued from 17 March 2017 on the basis of the 22.5 million preference shares issued with a nominal value ofRMB100 per share. As calculated according to the dividend rate of 4.36%, a dividend of RMB4.36 (tax inclusive) per preferenceshare was distributed. The Company distributed dividend amounting to RMB98.10 million in total (tax inclusive).
    
    For details, please refer to relevant announcement (announcement no.: 2018-016) of the Company published on CNINFO on 10March 2018.
    
    2. Issue of medium-term notes with an amount of RMB1,000 million
    
    The public issue of the 2018 first tranche of medium-term notes in the national inter-bank bond market was launched by theCompany on 16 March 2018. The amount of the issue was RMB1,000 million with a nominal value of RMB100 each at the interestrate of 7.50%.
    
    For details, please refer to relevant announcement (announcement no.: 2018-017) of the Company published on CNINFO on 22March 2018.
    
    3. Public issuance of “18 Chenming Bond 01”
    
    On 13 March 2017, the Company was approved by the CSRC for the public issuance of corporate bonds with a nominal value ofnot more than RMB4 billion according to the Zheng Jian Xu Ke [2017] No. 342. The bonds were issued in tranches. From 29 March2018 to 2 April 2018, the Company issued corporate bonds (first tranche) to institutional investors. The original basic offlineissuance size of the bonds was RMB500 million, subject to over-allotment of not more than RMB2.3 billion. The actual offlineissuance size was RMB900 million with a nominal value of RMB100. The bonds were issued at par value with a coupon rate of7.28%.
    
    For details, please refer to relevant announcements (announcement no.: 2018-019, 2018-026, 2018-030 and 2018-068) of theCompany published on CNINFO on 27 March 2018, 28 March 2018, 2 April 2018 and 31 May 2018 respectively.
    
    4. Entering into the Developmental Financial Cooperation Agreement with China Development Bank
    
    On 29 March 2018, the Company and China Development Bank entered into the Developmental Financial CooperationAgreement to establish a new strategic partnership for the all-rounded and in-depth cooperation between an industrial group and afinancial group. Adhering to the principle of “planning first”, both parties will make full use of their respective advantages to carryout in-depth cooperation in areas such as medium and long-term project cooperation, loans for working capital, intermediary businessand cross-border financing through project cooperation at the early stage and cooperation on financial products.
    
    For details, please refer to relevant announcement (announcement no.: 2018-028) of the Company published on CNINFO on 1April 2018.
    
    5. 2017 profit distribution plan for ordinary shares
    
    On 13 June 2018, the Company convened the 2017 annual general meeting, at which, the 2017 profit distribution plan wasconsidered and approved: based on the number of the shares as at the dividend distribution registration date of 1,936,405,467 shares, acash dividend of RMB6.00 (tax inclusive) was to be paid to all shareholders for every 10 shares held, and a capitalisation issue madeout of the capital reserves of 5 shares for every 10 shares held will be distributed to ordinary shareholders. The total cash dividenddistributed to the holders of ordinary shares amounted to RMB1,161,843,280.20 (tax inclusive) in 2017.
    
    For details, please refer to relevant announcement (announcement no.: 2018-079) of the Company published on CNINFO on 14June 2018.
    
    6. Information disclosure index for the first half of 2018
    
    Announce                    Subjectmatter                       Dateof     Publicationwebsiteand
     mentNo.                                                   publication          index
    2018-001 AnnouncementonResultoftheIssueof2018FirstTrancheofSuper&9 January2018  http://www.cninfo.com.cn
            Short-termCommercialPaper
    2018-002 AnnouncementonResignationofSecretarytotheBoard           19January2018 http://www.cninfo.com.cn
    2018-003 AnnouncementonEstimatedAnnualResultsfor2017            19January2018 http://www.cninfo.com.cn
    2018-004 AnnouncementonResultoftheIssueof2018SecondTrancheofSuper19 January2018 http://www.cninfo.com.cn
            &Short-termCommercialPaper
    2018-005 Second Supplementary Notice of the 2018 First Extraordinary General26 January2018 http://www.cninfo.com.cn
            Meeting
    2018-006 AnnouncementinrespectofResolutionsoftheTwentiethExtraordinary30 January2018 http://www.cninfo.com.cn
            MeetingoftheEighthSessionoftheBoardofDirectors
    2018-007 Announcement on the Receipt of 30% equity interest in Hongtai Real30 January2018 http://www.cninfo.com.cn
            Estate held by Guangdong Dejun and Guangdong Dejun’s Debt to
            HongtaiRealEstateandRelatedPartyTransaction
    2018-008 AnnouncementonExternalInvestment                      30January2018 http://www.cninfo.com.cn
    2018-009 Announcement in respect of Guarantee in Favour of Related30 January2018 http://www.cninfo.com.cn
            SubsidiariesfortheirCreditFacilitiesApplications
    2018-010 Announcement on Additional Resolutions Proposed at the 2018 First30 January2018 http://www.cninfo.com.cn
            ExtraordinaryGeneralMeeting
    2018-011 SupplementaryNoticeof2018FirstExtraordinaryGeneralMeeting   30January2018 http://www.cninfo.com.cn
    2018-012 AnnouncementonResultoftheIssueof2018ThirdTrancheofSuper&8 February2018 http://www.cninfo.com.cn
            Short-termCommercialPaper
    2018-013 Poll Results Announcement of the 2018 First Extraordinary General14    February http://www.cninfo.com.cn
            Meeting                                          2018
    2018-014 IndicativeAnnouncement                               1March2018   http://www.cninfo.com.cn
    2018-015 Announcement  in  respect  of  Resolutions  of  the  Twenty-first10 March2018  http://www.cninfo.com.cn
            ExtraordinaryMeetingoftheEighthSessionoftheBoardofDirectors
    2018-016 AnnouncementontheDistributionofDividendforPreferenceShare   14March2018  http://www.cninfo.com.cn
    2018-017 Announcement on Result of the Issue of 2018 First Tranche of22 March2018  http://www.cninfo.com.cn
            Medium-termNotes
    2018-018 AnnouncementonPledgeofSharesheldbyShareholders          22March2018  http://www.cninfo.com.cn
    2018-019 Announcement on 2018 Public Issue of Corporate Bonds to Qualified27 March2018  http://www.cninfo.com.cn
            Investors(FirstTranche)
    2018-020 Announcement in respect of Resolutions of the Eighth Meeting of the28 March2018  http://www.cninfo.com.cn
            EighthSessionoftheBoardofDirectors
    2018-021 2017AnnualReportSummary                            28March2018  http://www.cninfo.com.cn
    2018-022 Announcement on Provision of Guarantee for General Credit Lines of28 March2018  http://www.cninfo.com.cn
            RelevantSubsidiaries
    2018-023 Announcement in respect of Resolutions of the Ninth Meeting of the28 March2018  http://www.cninfo.com.cn
            EighthSessionoftheSupervisoryCommittee
    2018-024 Noticeof2017AnnualGeneralMeeting                     28March2018  http://www.cninfo.com.cn
    2018-025 AnnouncementontheAppointmentoftheauditorsfor2018        28March2018  http://www.cninfo.com.cn
    2018-026 Announcement on the Coupon Rate of 2018 Public Issue of Corporate28 March2018  http://www.cninfo.com.cn
            BondstoQualifiedInvestors(FirstTranche)
    2018-027 Announcementon Result of the Issue of 2018 Fourth Trancheof Super30 March2018  http://www.cninfo.com.cn
            &Short-termCommercialPaper
    2018-028 Announcement  on  Entering  into  the  Developmental  Financial2 April2018    http://www.cninfo.com.cn
            CooperationagreementwithChinaDevelopmentBank
    2018-029 AnnouncementontheReceiptofanArbitralAwardbyaSubsidiary   2April2018    http://www.cninfo.com.cn
    2018-030 AnnouncementontheResultof2018PublicIssueofCorporateBondsto2 April2018    http://www.cninfo.com.cn
            QualifiedInvestors(FirstTranche)
    2018-031 AnnouncementonPledgeofSharesheldbyShareholders          12April2018   http://www.cninfo.com.cn
    2018-032 Announcement in Respect of Resolutions of the Twenty-Second17 April2018   http://www.cninfo.com.cn
            ExtraordinaryMeetingoftheEighthSessionoftheBoardofDirectors
    2018-033 Announcement on the Extension of the Validity Period of the17 April2018   http://www.cninfo.com.cn
            resolutions in Respect of the Non-public Issue of Shares of the
            Company at the General Meeting and the Validity Period of the
            AuthorisationGrantedtotheBoardtoDealwithRelatedMatters
    2018-034 Noticeof2018SecondExtraordinaryGeneralMeeting            17April2018   http://www.cninfo.com.cn
    2018-035 Noticeofthe2018FirstDomesticListedShareClassMeetingand201817 April2018   http://www.cninfo.com.cn
            FirstOverseasListedShareClassMeeting
    2018-036 Announcement in respect of Resolutions of the Ninth Extraordinary17 April2018   http://www.cninfo.com.cn
            MeetingoftheEighthSessionoftheSupervisoryCommittee
    2018-037 AnnouncementonExternalInvestment                      17April2018   http://www.cninfo.com.cn
    2018-038 AnnouncementontheSaleofAvailable-for-saleFinancialAssets     17April2018   http://www.cninfo.com.cn
    2018-039 Announcement in respect of Resolutions of the Ninth Meeting of the27 April2018   http://www.cninfo.com.cn
            EighthSessionoftheBoardofDirectors
    2018-040 2017FirstQuarterlyReport                              27April2018   http://www.cninfo.com.cn
    2018-041 AnnouncementonExternalInvestment(I)                    27April2018   http://www.cninfo.com.cn
    2018-042 AnnouncementonExternalInvestment(II)                    27April2018   http://www.cninfo.com.cn
    2018-043 AnnouncementonResultoftheIssueof2018FifthTrancheofSuper&27 April2018   http://www.cninfo.com.cn
            Short-termCommercialPaper
    2018-044 Announcement on the Cancellation of the General Meeting and27 April2018   http://www.cninfo.com.cn
            Postponementofthe2017AnnualGeneralMeeting
    2018-045 NoticeontheCancellationoftheGeneralMeetingandPostponementof27 April2018   http://www.cninfo.com.cn
            the2017AnnualGeneralMeeting
    2018-046 Notice of the 2018 Second Domestic Listed Share Class Meeting and27 April2018   http://www.cninfo.com.cn
            2018SecondOverseasListedShareClassMeeting
    2018-047 Announcement in respect of Resolutions of the Tenth Meeting of the27 April2018   http://www.cninfo.com.cn
            EighthSessionoftheSupervisoryCommittee
    2018-048 Announcement on the Change of the Name of the Controlling3 May2018    http://www.cninfo.com.cn
            Shareholder
    2018-049 Announcement in Respect of Resolutions of the Twenty-Third5 May2018    http://www.cninfo.com.cn
            ExtraordinaryMeetingoftheEighthSessionoftheBoardofDirectors
    2018-050 AnnouncementonExternalInvestment                      5May2018    http://www.cninfo.com.cn
    2018-051 AnnouncementonResignationoftheViceChairman             9May2018    http://www.cninfo.com.cn
    2018-052 AnnouncementonResultoftheIssueof2018SixthTrancheofSuper&11 May2018    http://www.cninfo.com.cn
            Short-termCommercialPaper
    2018-053 AnnouncementonEnteringintotheFrameworkAgreementforStrategic15 May2018    http://www.cninfo.com.cn
            Cooperationbetween Banks and Enterprises with Guangdong Nanyue
            Bank
    2018-054 IndicativeAnnouncement                               15May2018    http://www.cninfo.com.cn
    2018-055 Announcement in respect of Resolutions of the Twenty-fourth16 May2018    http://www.cninfo.com.cn
            ExtraordinaryMeetingoftheEighthSessionoftheBoardofDirectors
    2018-056 Announcement on Appointment of the Secretary of the Board and16 May2018    http://www.cninfo.com.cn
            SecuritiesAffairsRepresentative
    2018-057 Second Supplementary Notice of the 2018 Second Extraordinary16 May2018    http://www.cninfo.com.cn
            GeneralMeeting
    2018-058 Second Supplementary Notice of the 2018 First Domestic Listed Share16 May2018    http://www.cninfo.com.cn
            ClassMeetingand2018FirstOverseasListedShareClassMeeting
    2018-059 AnnouncementonReceiptofGovernmentSubsidy              18May2018    http://www.cninfo.com.cn
    2018-060 AnnouncementonAcquisitionofMinorityInterestinSubsidiaries    24May2018    http://www.cninfo.com.cn
    2018-061 Announcement on Pledge of Shares held by Shareholders and the29 May2018    http://www.cninfo.com.cn
            ReleaseofPledgeofPartoftheShares
    2018-062 AnnouncementontheProgressofExternalInvestment            29May2018    http://www.cninfo.com.cn
    2018-063 Announcementon AdditionalResolutionsProposedatthe 2017Annual30 May2018    http://www.cninfo.com.cn
            GeneralMeeting
    2018-064 SupplementaryNoticeof2017AnnualGeneralMeeting           30May2018    http://www.cninfo.com.cn
    2018-065 Second Supplementary Notice of the 2018 Second Domestic Listed30 May2018    http://www.cninfo.com.cn
            ShareClass Meeting and 2018 Second Overseas Listed Share Class
            Meeting
    2018-066 AnnouncementonResultoftheIssueof2018SeventhTrancheofSuper30 May2018    http://www.cninfo.com.cn
            &Short-termCommercialPaper
    2018-067 AnnouncementonPledgeofSharesheldbyShareholders          31May2018    http://www.cninfo.com.cn
    2018-068 AnnouncementontheListingof2018PublicIssueofCorporateBondsto31 May2018    http://www.cninfo.com.cn
            QualifiedInvestors(FirstTranche)
    2018-069 AnnouncementinRespectofResolutionsof2018SecondExtraordinary2 June2018    http://www.cninfo.com.cn
            GeneralMeeting, 2018 First Class Meeting For Domestic Shareholders
            and2018FirstClassMeetingForOverseasShareholders
    2018-070 Shandong ChenmingPaper HoldingsLimitedAnnouncementinrespect5 June2018    http://www.cninfo.com.cn
            ofResolutions of the 25th Extraordinary Meetingof theEighthSession
            oftheBoardofDirectors
    2018-071 Announcement in respect of Resolutions of the Tenth Extraordinary5 June2018    http://www.cninfo.com.cn
            MeetingoftheEighthSessionoftheSupervisoryCommittee
    2018-072 Announcement on Dilution of Current Returns and Remedial Measures5 June2018    http://www.cninfo.com.cn
            uponNon-publicOffering(FifthRevision)
    2018-073 Announcement on Adjustment to the Price Determination Date for the5 June2018    http://www.cninfo.com.cn
            Non-publicIssueofAShares
    2018-074 AnnouncementonEnteringintoConditionalSharePurchaseAgreement5 June2018    http://www.cninfo.com.cn
            andConnected Transactions under the Non-public Offering of A Share
            (ThirdRevision)
    2018-075 Noticeof2018ThirdExtraordinaryGeneralMeeting             5June2018    http://www.cninfo.com.cn
    2018-076 Notice of the 2018 Third Domestic Listed Share Class Meeting and5 June2018    http://www.cninfo.com.cn
            2018ThirdOverseasListedShareClassMeeting
    2018-077 AnnouncementonReleaseofPledgeofSharesheldbyShareholders   5June2018    http://www.cninfo.com.cn
    2018-078 AnnouncementonFifthRevisionofNon-publicOfferingfor2016    5June2018    http://www.cninfo.com.cn
    2018-079 Announcement in Respect of Resolutions of 2017 Annual General14 June2018   http://www.cninfo.com.cn
            Meeting,2018 Second Class Meeting For Domestic Shareholders and
            2018SecondClassMeetingForOverseasShareholders
    2018-080 Shandong ChenmingPaper HoldingsLimitedAnnouncementinrespect23 June2018   http://www.cninfo.com.cn
            ofResolutions of the 26th Extraordinary Meetingof theEighthSession
            oftheBoardofDirectors
    2018-081 AnnouncementonNewOrdinaryConnectedTransactionsin2018    23June2018   http://www.cninfo.com.cn
    2018-082 AnnouncementontheDisposalofthe40%EquityInterestinWanXing23 June2018   http://www.cninfo.com.cn
            RealEstatebyWuhanChenming
    2018-083 AnnouncementonSupplementalPledgeofSharesheldbyShareholders 26June2018   http://www.cninfo.com.cn
    
    
    XVII. Matters of significant of subsidiaries of the Company
    
    √Applicable □ Not applicable
    
    1. Disposal of 30% equity interest in Xuchang Chenming
    
    At the eighteenth extraordinary meeting of the eighth session of the Board of the Company held on 27 November 2017, the
    
    Resolution on the disposal of 30% equity interest in Xuchang Chenming was considered and approved, pursuant to which the
    
    Company proposed to dispose of 30% equity interest in its controlling subsidiary Xuchang Chenming Paper Co., Ltd. (“Xuchang
    
    Chenming”) through public tender. For details, please refer to the Announcement on the Disposal of Equity Interest in Xuchang
    
    Chenming published by the Company on 28 November 2017 (announcement no.: 2017-147).
    
    Based on the appraised value, the Company held public tender though the Shandong Weifang Property Right Exchange Center on 8
    
    December 2017, and entered into an equity exchange agreement with Xuchang Chenzhuo Trading Co., Ltd. (許昌市晨卓貿易有限
    
    公司) (“Chenzhuo Trading”), pursuant to which the Company conditionally transferred the 30% equity interest in Xuchang
    
    Chenming at the consideration of RMB30 million. On 19 January 2018, the Company received the Equity Transaction Certificate
    
    issued by the Shandong Weifang Property Right Exchange Center.
    
    2. Receipt of Shanghai Chenming of 30% equity interest in Shanghai Hongtai Real Estate held by Guangdong Dejun
    
    Shanghai Chenming Industry Co., Ltd. and Guangdong Dejun Investment Co., Ltd. entered into the Equity Acquisition Agreement.
    
    Based on the appraised value of the total shareholders’ equity of Shanghai Hongtai Real Estate Co., Ltd. of RMB3,908.397 million,
    
    Shanghai Chenming proposed to acquire 30% equity interest in and the loan due from Hongtai Real Estate held by Guangdong Dejun
    
    at a consideration of RMB1,275,000,000, in which the equity interest amounted to RMB1,171,960,000 and loan amounted to
    
    RMB103,040,000.
    
    For details, please refer to the relevant announcement (announcement no.: 2018-007) of the Company published on CNINFO on 30
    
    January 2018.
    
    3. Transfer of the entire company woodland of Huanggang Arboriculture
    
    In January 2008, the Company established the Huanggang Chenming Arboriculture Development Co., Ltd. (“Huanggang
    
    Arboriculture”) for investment and construction for the raw material forest projects. In aggregate, it constructed woodland of 854,100
    
    mu and incurred expense of RMB368,456,600, including principal and interest. In December 2015, The Notice about Strict
    
    Protection of Natural Forest was issued by the State Forestry Bureau; in October 2016, the Notice about Accelerating in Ceasing the
    
    Commercial Logging of Natural Forest (《關於加快推進停止天然林商業性採伐工作的通知》) was issued by the Department of
    
    Forestry of Hubei; and in January 2017, the Decision on the Vigorous Promotion of Ecological Protection and Green Development in
    
    the Yangtze River Economic Zone (《關於大力推進長江經濟帶生態保護和綠色發展的決定》 was issued by the Hubei Provincial
    
    People’s Congress, under which the majority of woodland of Huanggang Arboriculture was classified as within the National Natural
    
    Forest Reserve. After arm’s length negotiation with the Huanggang government, Huanggang Arboriculture will return all purchased
    
    proprietary woodland and woodland warrants and will go through all legal processes according to the law. In the future, the
    
    Huanggang pulp and paper project will actively explore overseas resource markets and meet production needs through imported
    
    wood chips. As at 31 March 2018, the accumulated woodland investment costs of Huanggang Arboriculture was RMB371,367,500.
    
    After returning all woodland of Huanggang Arboriculture, the loss is expected to amount to RMB1,710,200 and the loss on changes
    
    in fair value is RMB16,723,700, specific financial data being subject to auditing. Investors should be aware of the investment risks.
    
    For details, please refer to the relevant announcement (announcement no.: 2018-029) of the Company published on CNINFO on 2
    
    April 2018.
    
    4. Disposal of 50% equity interest in Guangdong Dejun
    
    Pursuant to the decision approved at the twenty-second extraordinary meeting of the eighth session of the Board of the Company held
    
    on 16 April 2018, the Company and Shanghai Zhongneng Enterprise Development (Group) Co., Ltd. (“Shanghai Zhongneng”)
    
    entered into the Equity Repurchase Agreement, under which the 50% equity interest in Guangdong Dejun, being the
    
    available-for-sale financial asset, to Shanghai Zhongneng, with the aggregate of premium repurchase and investment income
    
    amounting to RMB2,634,041,400. The Company received the sum on 28 April 2018. Subsequent to the transfer, the Company no
    
    longer held any equity interests in Guangdong Dejun.
    
    For details, please refer to the relevant announcement (announcement no.: 2018-038) of the Company published on CNINFO on 17
    
    April 2018.
    
    5. Acquisition of 14.2742% equity interest held by a minority shareholder of Wuhan Chenming
    
    To better advance the strategic development positioning of the Company, optimize the management structure, streamline business
    
    layout and further elevate the Company’s profitability, the Company intends to acquire 14.2742% equity interest in Wuhan
    
    Chenming, a controlling subsidiary of the Company, held by Hubei Hanyang Paper Mill (“Hanyang Paper Mill”), a minority
    
    shareholder of Wuhan Chenming, by way of transfer through agreement. In accordance with the result of public tender, the Company
    
    received the abovementioned equity interest held by Hanyang Paper Mill at the consideration of RMB60,896,600. Subsequent to the
    
    completion of the equity transfer, the Company will hold 65.205% of the equity interest in Wuhan Chenming.
    
    For details, please refer to the relevant announcement (announcement no.: 2018-060) of the Company published on CNINFO on 24
    
    May 2018.
    
    6. Disposal of 40% equity interest in Wan Xing Real Estate by Wuhan Chenming
    
    To further integrate the Company’s resources, focus its advantages on the principal business and enhance quality and efficiency,
    
    Wuhan Chenming Hanyang Paper Holdings Co., Ltd. intends to dispose of 40% equity interest in Wuhan Chenming Wan Xing Real
    
    Estate Co., Ltd., an investee, through public tender. The transferee will be determined by way of bidding, and the final price will be
    
    determined comprehensively according to the tender and auctioning with reference to the appraisal value.
    
    For details, please refer to the relevant announcement (announcement no.: 2018-082) of the Company published on CNINFO on 23
    
    June 2018.
    
    VI Changes in Share Capital and Shareholders
    
    I. Changes in shares
    
    1. Changes in shares
    
    Unit: share
    
                         Openingbalance        Changeduringthereportingperiod(+/-)        Closingbalance
                                Percenta         Bonus   Shares                           Percenta
                        Amounts     ge   Newissue issue  converted   Others  Subtotal   Amounts     ge
                                                    fromreserve
    I. Restrictedshares        7,935,101  0.41%                        634,738 634,738    8,569,839  0.44%
    1. Sharesheldbyother      7,935,101  0.41%                        634,738 634,738    8,569,839  0.44%
    domestic investors
    Of which:Sharesheldby    7,935,101  0.41%                        634,738 634,738    8,569,839  0.44%
    domestic naturalpersons
    II. Non-restrictedshares  1,928,470,366 99.59%                        -634,738 -634,738 1,927,835,628 99.56%
    1. RMBordinaryshares  1,105,389,555 57.08%                        -619,338 -619,338 1,104,770,217 57.05%
    2. Domesticlistedforeign  470,877,311 24.32%                         -15,400 -15,400  470,861,911 24.32%
    share
    3. Overseaslistedforeign   352,203,500 18.19%                                      352,203,500 18.19%
    shares
    III. Totalnumberof     1,936,405,467 100.00%                                     1,936,405,467 100.00%
    shares
    
    
    The reasons for such changes
    
    √Applicable □ Not applicable
    
    Before and after the change, the number of restricted shares held by domestic natural persons increased by 634,738 from 7,935,101 to
    
    8,569,839, due to the fact that: according to the Practice Guidance for the Company’s Shares Held by the Directors, Supervisors and
    
    Senior Management of the Listed Companies of Shenzhen Stock Exchange, 25% (634,738 shares) of the non-restricted RMB
    
    ordinary shares (A shares) held by directors who have been resigned for less than half a year, senior management and new directors
    
    were converted into restricted shares.
    
    Approval of changes in shareholding
    
    □Applicable √ Not applicable
    
    Transfer of shares arising from changes in shareholding
    
    □Applicable √ Not applicable
    
    The effects of changes in shareholding on financial indicators such as basic earnings per share, diluted earnings per share and net
    
    assets per share attributable to shareholders of ordinary shares of the Company for the latest year and the latest period
    
    □Applicable √ Not applicable
    
    Other information considered necessary by the Company or required by the securities regulatory authorities to be disclosed
    
    □Applicable √ Not applicable
    
    2. Changes in restricted shares
    
    □Applicable √ Not applicable
    
    II. Issuance and listing of securities
    
    □Applicable √ Not applicable
    
    III. Total number of shareholders and shareholdings
    
    Unit: share
    
    Total numberofshareholders 111,039,ofwhich91,323wereholders  Totalnumberofshareholdersofpreferenceshares
    of ordinarysharesasatthe   ofAshares,19,346wereholdersofB  withrestoredvotingrightasattheendofthe         0
    end ofthereportingperiod   sharesand370wereholdersofHshares reportingperiod(ifany)(pleaserefertonote8)
     Shareholdings ofshareholdersofordinarysharesinterestedinmorethan5%ofthesharesoftheCompanyortoptenshareholders
                                          ofordinaryshares
                                             Numberof  Changes  Number            Sharepledgedor
                                      Percenta  ordinary   (increase   of   Numberof     locked-up
                             Nature of    geof  sharesheld    or    restricte non-restricte
        Name ofshareholders     shareholders sharehol attheendof decrease)    d    dordinary
                                       ding  thereporting duringthe ordinary sharesheld Statusof  Number
                                              period    reporting  shares           shares
                                                       period   held
    CHENMING HOLDINGS      State-owned   15.13% 293,003,657       0      0 293,003,657 Pledged 225,717,161
    COMPANYLIMITED         legalperson
    HKSCC NOMINEESLIMITED  Overseaslegal  12.84% 248,678,750  -188,500      0 248,678,750
                           person
    CHENMING HOLDINGS      Overseaslegal  12.54% 242,754,375       0      0 242,754,375
    (HONG KONG)LIMITED     person
    CENTRAL HUIJINASSET     State-owned    2.07%  40,137,900       0      0  40,137,900
    MANAGEMENT LTD.        legalperson
    CHINA UNIVERSALFUND-
    CHINA CONSTRUCTION
    BANK -CHINALIFE
    INSURANCE -CHINALIFE    Others        0.47%  9,134,240 7,985,840      0  9,134,240
    INSURANCE’S EQUITY
    PORTFOLIO ENTRUSTEDTO
    CHINA UNIVERSALFUND
    VANGUARDEMERGING     Overseaslegal  0.44%  8,608,238       0      0  8,608,238
    MARKETS STOCKINDEX    person
    FUND
    JIN Xing                 Domestic      0.44%   8,510,117 2,720,917      0   8,510,117
                           nature person
    AGRICULTURALBANKOF
    CHINA LIMITED–ESSENCE
    COMPARATIVEADVANTAGE Others        0.39%  7,646,407 7,646,407      0  8,280,589
    FLEXIBLE ALLOCATIONOF
    HYBRID SECURITIES
    INVESTMENT FUND
    INDUSTRIAL AND
    COMMERCIAL BANKOF     Others        0.39%  7,500,009 7,500,009      0  7,500,009
    CHINA -CHINAUNIVERSAL
    FOCUSED GROWTHFUND
    CHINA CONSTRUCTION
    BANK CORPORATION-
    CHINA UNIVERSAL        Others        0.36%  7,000,026 1,499,929      0  7,000,026
    ENVIRONMENT PROTECTION
    INDUSTRY FUND
                                  Ashareholder,ChenmingHoldings(HongKong)Limited,whichisanoverseaslegal
                                  person,isawholly-ownedsubsidiaryofashareholder,ShouguangChenmingHoldings
    Connected relationshiporconnectedparty  CompanyLimited,whichisastate-ownedlegalperson.Hence,theyarepersonsacting
    relationship amongtheaboveshareholders inconcertunderAdministrationofDisclosureofInformationontheChangeof
                                  ShareholdingsinListedCompaniesProcedures.Savefortheabove,itisnotawarethat
                                  anyothershareholdersoftradablesharesarepersonsactinginconcertandisalsonot
                                  awarethatanyothershareholdersoftradablesharesareconnectedwitheachother.
                    Shareholdings ofthetoptenshareholdersofordinarysharesofnon-restrictedshares
                                           Numberof                 Classofshares
                                          non-restricted
               Nameofshareholders            ordinaryshares
                                          held asatthe            Classofshares            Number
                                           end ofthe
                                         reporting period
    CHENMING HOLDINGSCOMPANYLIMITED       293,003,657        RMBordinaryshares        293,003,657
    HKSCC NOMINEESLIMITED                   248,678,750     Overseaslistedforeignshares     248,678,750
    CHENMING HOLDINGS(HONGKONG)           242,754,375    Domesticallylistedforeignshares    140,478,375
    LIMITED                                              Domesticallylistedforeignshares    102,276,000
    CENTRAL HUIJINASSETMANAGEMENTLTD.      40,137,900        RMBordinaryshares         40,137,900
    CHINA UNIVERSALFUND-CHINA
    CONSTRUCTION BANK-CHINALIFE              9,134,240        RMBordinaryshares          9,134,240
    INSURANCE -CHINALIFEINSURANCE’S
    EQUITY PORTFOLIOENTRUSTEDTOCHINA
    UNIVERSAL FUND
    VANGUARDEMERGINGMARKETSSTOCK          8,608,238    Domesticallylistedforeignshares      8,608,238
    INDEX FUND
    JIN Xing                                    8,510,117    Domesticallylistedforeignshares      8,510,117
    AGRICULTURALBANKOFCHINALIMITED–
    ESSENCE COMPARATIVEADVANTAGE            7,646,407        RMBordinaryshares          7,646,407
    FLEXIBLE ALLOCATIONOFHYBRID
    SECURITIES INVESTMENTFUND
    INDUSTRIAL ANDCOMMERCIALBANKOF
    CHINA -CHINAUNIVERSALFOCUSED             7,500,009        RMBordinaryshares          7,500,009
    GROWTH FUND
    CHINA CONSTRUCTIONBANKCORPORATION
    - CHINAUNIVERSALENVIRONMENT              7,000,026        RMBordinaryshares          7,000,026
    PROTECTION INDUSTRYFUND
    Connected relationshiporconnectedparty  Ashareholder,ChenmingHoldings(HongKong)Limited,whichisanoverseaslegal
    relationship amongthetoptenshareholders person,isawholly-ownedsubsidiaryofashareholder,ShouguangChenmingHoldings
    of ordinarysharesofnon-restrictedshares, CompanyLimited,whichisastate-ownedlegalperson.Hencetheyarepersonsacting
    and betweenthetoptenshareholdersof   inconcertunderAdministrationofDisclosureofInformationontheChangeof
    ordinary sharesofnon-restrictedsharesand ShareholdingsinListedCompaniesProcedures.Savefortheabove,itisnotawarethat
    the toptenshareholdersofordinaryshares  anyothershareholdersoftradablesharesarepersonsactinginconcertandisalsonot
                                  awarethatanyothershareholdersoftradablesharesareconnectedwitheachother.
    
    
    Whether an agreed repurchase transaction was entered into during the reporting period by the top 10 shareholders of ordinary shares
    
    and top 10 shareholders of non-restricted shares of the Company
    
    □ Yes √ No
    
    The top 10 shareholders of ordinary shares and top 10 shareholders of non-restricted shares of the Company did not enter any agreed
    
    repurchase transaction during the reporting period.
    
    IV. Change of controlling shareholders or beneficial controllers
    
    The change of controlling shareholders during the reporting period
    
    □Applicable √ Not applicable
    
    There was no change of controlling shareholders of the Company during the reporting period.
    
    Change of beneficial owner during the reporting period
    
    □Applicable √ Not applicable
    
    There was no change of beneficial owner of the Company during the reporting period.
    
    VII Preference Shares
    
    √Applicable □ Not applicable
    
    I. Issue and listing of preference shares during the reporting period
    
    □Applicable √ Not applicable
    
    There was no issue and listing of preference shares during the reporting period.
    
    II. Holders of preference shares and their shareholdings
    
    Unit: share
    
    Total numberofshareholdersofpreferencesharesasattheendofthereportingperiod                             7
           Holdersholdingsmorethan5%ofthepreferencesharesoftheCompanyortoptenholdersofpreferenceshares
                                                        Numberof    Changes     Sharepledgedor
                                                Preferen  preference   (increaseor      locked-up
            Name ofshareholders            Natureof      ce   sharesheldat   decrease)
                                     shareholders   sharehol theendofthe  duringthe   Statusof
                                                  ding    reporting    reporting           Numbershares
                                                         period      period
    BEIJING YIBENZHONGXING            Domestic
    INVESTMENT MANAGEMENTCO.,LTD.  non-state-owned  27.78%   12,500,000         0 Pledged  12,500,000
                                     legal person
    BANK OFCOMMUNICATIONS
    INTERNATIONALTRUSTCO.,LTD.-        Others     22.44%   10,100,000         0
    HUILI NO.167SINGLECAPITALTRUST
    BANK OFCOMMUNICATIONS
    INTERNATIONALTRUSTCO.,LTD.-        Others     14.22%    6,400,000         0
    HUILI NO.136SINGLECAPITALTRUST
    QILU BANKCO.,LTD.-QILUBANK
    QUANXIN WEALTHMANAGEMENT        Others     13.33%    6,000,000         0
    PRODUCT SERIES
                                      Domestic
    HENGFENG BANKCO.,LTD.          non-state-owned  11.11%    5,000,000         0
                                     legal person
    SHANGHAI STATE-OWNEDASSETS     State-ownedlegal   6.67%    3,000,000         0
    OPERATIONCO.,LTD.                  person
    NCF -MINSHENGBANK-CHINA          Others      4.44%    2,000,000         0
    FORTUNE INTERNATIONALTRUST–
    CHINA FORTUNETRUSTMINXINNO.
    11 SINGLECAPITALTRUST
                                   The aforesaidholdersofpreferenceshares,“BANKOFCOMMUNICATIONS
    Connected relationshiporconnectedparty   INTERNATIONALTRUSTCO.,LTD.-HUILINO.167SINGLECAPITAL
    relationship amongthetoptenholdersof    TRUST”and“BANKOFCOMMUNICATIONSINTERNATIONALTRUSTCO.,
    preference shares,andbetweenthetopten   LTD.-HUILINO.136SINGLECAPITALTRUST”,arepersonsactinginconcert.
    holders ofpreferencesharesandthetopten  Savefortheabove,itisnotawarethatwhetherthereisanyconnectedrelationship
    holders ofordinaryshares              orconnectedpartyrelationshipamongtheremainingholdersofpreferenceshares,
                                   and betweenthetoptenholdersofpreferencesharesandthetoptenholdersof
                                   ordinary shares.
    
    
    III. Repurchase or conversion
    
    □Applicable √ Not applicable
    
    There was no repurchase or conversion during the reporting period.
    
    IV. Resumption and exercise of voting rights
    
    □Applicable √ Not applicable
    
    There was no resumption and exercise of voting rights conferred by preference shares during the reporting period.
    
    V. Accounting policy and reasons thereof
    
    √Applicable □ Not applicable
    
    Pursuant to requirements of Accounting Standard for Business Enterprises No. 22 – Recognition and Measurement of FinancialInstruments, Accounting Standard for Business Enterprises No. 37 – Presentation of Financial Instruments and Provisions forDifferentiation between Financial Instruments and Equity Instruments and Relevant Accounting Treatment, the preference shareswere accounted for as equity instruments as their terms satisfied requirements for such treatments.
    
    VIII Directors, Supervisors and Senior Management
    
    I. Changes in shareholdings of Directors, Supervisors and Senior Management
    
    □Applicable √ Not applicable
    
    There was no change in shareholdings of Directors, Supervisors and senior management of the Company during the reporting period.
    
    Please see the annual report for 2017 for details.
    
    II. Changes of Directors, Supervisors and Senior Management of the Company
    
    √Applicable □ Not applicable
    
       Name         Position         Type        Date                     Reason
    Hu Changqing ViceChairmanand    Elected     13June2018   ElectedastheViceChairmanoftheeighthsessionofthe
               deputygeneralmanager                       Board.
    Chen Gang   Director           Elected     13June2018   ElectedasadirectoroftheeighthsessionoftheBoard.
    Xiao Peng   SecretarytotheBoard  Dismissed   19January2018 DismissedasthesecretarytotheBoardduetopersonal
                                                     work change.
    YuanXikun  SecretarytotheBoard  Appointment  16May2018   AppointedbytheBoardastheSecretarytotheBoard.
    
    
    IX Corporate Bonds
    
    Are there any corporate bonds offered to the public and listed on stock exchanges which do not become due as at the date of approval
    
    of interim report or overdue but not fully settled?
    
    Yes
    
    I. Basic information on corporate bonds
    
                     Bond      Bond               Maturity    Outstanding    Interest     Payment
      Name ofbond   abbreviation   code     Issuedate     date   amountofthebonds  rate       method
                                                          (RMB’0,000)
    The publicissuance                                                           Interestispaid
    of thecorporate                                                              annually.The
    bonds ofShandong 17Chenming                     21August                      principalamount
    Chenming Paper   Bond01     112570   21August2017 2022             120,000  6.50% andthelastinterest
    Holdings Limitedto                                                           paymentwillbe
    qualified investors                                                            paidonthematurity
    in 2017(trancheI)                                                            date.
    The publicissuance                                                           Interestispaid
    of thecorporate                                                              annually.The
    bonds ofShandong 18Chenming                     29March                      principalamount
    Chenming Paper   Bond01     112641   29March2018  2023              90,000  7.28% andthelastinterest
    Holdings Limitedto                                                           paymentwillbe
    qualified investors                                                            paidonthematurity
    in 2018(trancheI)                                                            date.
    Stock exchangeonwhichcorporatebondsarelistedortransferred ShenzhenStockExchange
    Investor eligibilityarrangement           Offlinesubscription:InstitutionalinvestorswithAsharesecurityaccountopened
                                    under ChinaSecuritiesDepositoryandClearingCo.,Ltd.
    Interest paymentofcorporatebondsduringthe Therewasnointerestpaymentduringthereportingperiod.
    reporting period
                           Both 17 Chenming Bond 01 and 18 Chenming Bond 01 attach with options for the issuer to
    Performance ofrelevantterms   adjust the coupon rate and for investors to resell. The issuer has the right to determine the
    during thereportingperiod,for  adjustment to the coupon rate for the following 3 years at the end of the second year and the
    special termssuchasissueror   adjustmenttothecouponrateforthefollowingyearastheendofthefourthyear.Afterissuing
    investor optionand          theannouncementonwhetherthecouponrateoftherelevanttrancheofbondswillbeadjusted
    interchangeable forcorporate    and the range of adjustment, the investors have the right to register for reselling during the
    bonds (ifany)              periodasannouncedtoresellallorpartoftherelevanttrancheofbondsheldtotheissueratpar
                           value.
    
    
    II. Information on bond custodian and credit rating agency
    
    Bond custodian:
    Name  GFSecuritiesCo., Office  38thFloor,MetroPlaza,No.183  Contactperson  Xu    Telephoneof  020-87555888
         Ltd.           address  TianheNorthRoad,Guangzhou              Duwei  contactperson
    Credit ratingagency(ies)whichconductedratingoncorporatebondsduringthereportingperiod:
    Name           ChinaChengxinSecuritiesValuation     Officeaddress 21/F,AnjiBuilding,760XizangSouthRoad,
                  Company Limited                            HuangpuDistrict,Shanghai
    Reason ofchange,procedurestobeperformedandimpactsoninterestsof
    investors, etc.incasethebondtrusteeandcreditratingagencyengagedbythe   Nochangeduringthereportingperiod.
    Company duringthereportingperiodhavechanged(ifapplicable)
    
    
    III. Use of proceeds from corporate bonds
    
    Use ofproceedsfromcorporatebondsand Theuseofproceedsfromissuanceofcorporatebondshasstrictlycompletedrelevant
    its implementation                 applicationandapprovalprocedures.Asattheendofthereportingperiod,theproceeds
                                 from 17ChenmingBond01and18ChenmingBond01werefullyused.
    Balance asattheendoftheperiod                                                               0
    (RMB’0,000)
    Operation ofspecialaccountforproceeds  Specialaccountforproceedsisusedforthedepositofspecialcapitalfrombonds.
    Is theuseofproceedsconsistentwiththe
    use ofproceedsguaranteedunderthe     Yes
    prospectus, proposeduseofproceedsand
    other agreement?
    
    
    IV. Credit rating of corporate bonds
    
    The credit rating of 18 Chenming Bond 01 as granted by China Chengxin Securities Valuation Company Limited remained at AA+,
    
    and the credit rating for the Company was AA+ (stable outlook). The 2018 public issuance of the corporate bonds (tranche I) updated
    
    rating report (2018) was published on CNINFO on 14 June 2018.
    
    The credit rating of 17 Chenming Bond 01 as granted by China Chengxin Securities Valuation Company Limited remained at AA+,
    
    and the credit rating for the Company was AA+ (stable outlook). The 2017 public issuance of the corporate bonds (tranche I) updated
    
    rating report (2018) was published on CNINFO on 14 June 2018.
    
    Vm.eaCsurreedsitforenchorapnocreamteenbtonmdsechanism, repayment plan and other repayment guarantee
    
    There was no change in credit enhancement mechanism, repayment plan and other repayment guarantee measures, which were
    
    consistent with relevant commitments as set out in the prospectuses, during the reporting period.
    
    VI. Convening of meeting for bondholders during the reporting period
    
    Not applicable.
    
    VII. Performance of bond custodian during the reporting period
    
    The bond custodian performed its duties in accordance with the agreement during the reporting period.
    
    VreIpIoI.rtMinagjopreraiocdcoaunndtinlagstdyaetaara(nodr ffoinratnhceiarlepinodrticinagtopresroiofdthaendCtohmepcaonryreaspsoantdtinhge penerdioodf ltahset
    
    year)
    
                                                                      Increase/decreaseasattheend
             Item           Asattheendofthereporting  Asattheendoftheprioryear    ofthereportingperiodas
                                   period                              comparedtotheendoftheprior
                                                                               year
    Current ratio                              86.70%                 86.32%                  0.38%
    Gearing ratio                             72.95%                 71.34%                  1.61%
    Quick ratio                               75.88%                 75.80%                  0.08%
                                                                        Increase/decrease ofthe
                              Thereportingperiod    Thecorrespondingperiodofthe reportingperiodascomparedto
                                                       prior year         correspondingperiodofthe
                                                                             prioryear
    EBITDA interestcoverageratio                   2.98                   4.04                -26.24%
    Loans paymentratio                        100.00%                100.00%                  0.00%
    Interest paymentratio                       100.00%                100.00%                  0.00%
    
    
    Major reason for more than 30% in year-on-year change for the above accounting data and financial indicators
    
    □Applicable √ Not applicable
    
    IX. Overdue liabilities
    
    □Applicable √ Not applicable
    
    The Company did not have any liabilities overdue.
    
    Xpe.rIiondterest payment on other bonds, debt and financing instruments during the reporting
    
    Unit: RMB
    
                      Item                                 Amountofinterestpayment
    Corporate bonds                                                                 1,064,800,000.00
    Super &short-termcommercialpapers                                                   7,786,624,109.43
                      Total                                                       8,851,424,109.43
    
    
    XI. Bank credit obtained, its use and repayment of bank loans during the reporting period
    
    During the reporting period, the Company obtained bank credit of RMB79,659 million, of which RMB47,806 million was utilised
    
    with RMB31,853 million outstanding. The Company repaid bank loans of RMB26,303 million.
    
    XboInI.dPsedruforirnmgatnhceeroepf orretleinvganpteraigordeements or commitments under the prospectus of corporate
    
    Nil
    
    XIII. Matters of significance during the reporting period
    
    Nil
    
    XIV. Is there any guarantor for corporate bonds?
    
    □ Yes √ No
    
    X Financial Report
    
    I. Auditors’ Report
    
    Is the interim report audited
    
    □ Yes √ No
    
    The interim financial report is unaudited.
    
    II. Financial Statements
    
    The unit in the financial statements of the financial report is: RMB
    
    1. Consolidated Balance Sheet
    
    Prepared by: Shandong Chenming Paper Holdings Limited
    
    30 June 2018
    
    Unit: RMB
    
                Item                      Closingbalance                   Openingbalance
    CURRENT ASSETS:
        Monetaryfunds                               18,221,475,254.64                  14,443,492,461.43
    valueFtihnraonucgiahlparsosfeittsomrleoasssuredatfair                             0.00                     94,000,000.00
        Billsreceivable                               3,414,858,233.25                   4,220,231,853.56
        Accountsreceivable                            3,771,972,562.50                   3,665,865,577.03
        Prepayments                                 2,052,209,098.34                   1,962,151,473.35
        Otherreceivables                               594,045,363.59                    538,734,656.55
        Inventories                                  6,429,315,741.47                   6,022,805,491.17
    year Non-currentassetsduewithinone                   5,648,853,164.63                   6,901,695,875.94
        Othercurrentassets                            11,391,587,771.93                  11,568,757,330.26
    Total currentassets                                51,524,317,190.35                  49,417,734,719.29
    NON-CURRENT ASSETS:
        Available-for-salefinancialassets                     103,000,000.00                   2,453,000,000.00
        Long-termreceivables                           9,561,944,402.25                   9,400,862,089.18
        Long-termequityinvestments                       401,425,440.97                    391,868,827.45
        Investmentproperties                            4,750,494,168.51                   4,809,535,109.82
        Fixedassets                                 27,822,887,081.68                  28,227,509,503.05
        Constructioninprogress                          9,622,048,648.75                   7,668,669,413.87
        Constructionmaterials                             10,036,240.51                     15,275,630.45
        Intangibleassets                               1,927,411,734.38                  2,059,221,379.09
        Goodwill                                     20,283,787.17                     20,283,787.17
        Long-termprepaidexpenses                        134,407,595.23                    139,122,569.45
        Deferredincometaxassets                         518,667,202.23                    522,288,850.40
        Othernon-currentassets                           679,555,760.89                    499,724,197.70
    Total non-currentassets                             55,552,162,062.57                  56,207,361,357.63
    Total assets                                    107,076,479,252.92                 105,625,096,076.92
    CURRENT LIABILITIES:
        Short-termborrowings                          34,822,972,619.60                  35,096,574,873.03
        Billspayable                                 1,577,635,335.58                   1,278,395,090.71
        Accountspayable                              3,781,065,811.13                  4,013,936,527.74
        Advancereceipts                                359,821,898.06                    243,182,891.22
        Staffremunerationpayables                         144,080,274.09                    185,130,892.10
        Taxespayable                                  392,925,658.39                    496,626,014.68
        Interestpayable                                 119,390,579.91                     85,480,380.32
        Dividendpayable                              1,626,559,287.00
        Otherpayables                                2,124,709,050.72                   1,426,629,545.41
    one yNeaorn-currentliabilitiesduewithin                    4,321,258,031.95                   3,625,430,347.40
        Othercurrentliabilities                          10,160,767,686.35                  10,797,248,631.76
    Total currentliabilities                             59,431,186,232.78                  57,248,635,194.37
    NON-CURRENT LIABILITIES:
        Long-termborrowings                           7,206,918,851.77                   7,646,122,995.91
        Bondspayable                                2,097,247,500.00                   2,196,261,279.57
        Long-termpayables                             5,001,525,052.49                   5,550,881,435.64
        Specialpayables                                706,039,716.66                    681,039,716.66
        Provisions                                    325,259,082.28                    325,259,082.28
        Deferredincome                               1,420,873,007.36                   1,452,717,833.55
        Othernon-currentliabilities                       1,919,538,128.76                    250,000,000.00
    Total non-currentliabilities                          18,677,401,339.32                  18,102,282,343.61
    TOTALLIABILITIES                             78,108,587,572.10                  75,350,917,537.98
    OWNERS’ EQUITY:
        Sharecapital                                 2,904,608,200.00                   1,936,405,467.00
        Otherequityinstruments                         10,048,300,000.00                  10,048,300,000.00
         Including: Preferenceshares                     4,477,500,000.00                   4,477,500,000.00
              Perpetualbonds                         5,570,800,000.00                   5,570,800,000.00
        Capitalreserves                               5,122,952,455.09                   6,149,257,784.90
        Othercomprehensiveincome                       -457,399,238.18                   -354,165,127.80
        Surplusreserves                               1,132,116,106.40                   1,132,116,106.40
        Retainedprofit                                8,926,586,582.71                   8,866,614,844.40
    Thooltdaleresqoufittyhaetctroibmuptaabnlyetoequity                      27,677,164,106.02                  27,778,529,074.90
        Minorityinterest                               1,290,727,574.80                   2,495,649,464.04
    Total owners’equity                               28,967,891,680.82                  30,274,178,538.94
    OTOWTNAELRLSI’AEBQILUIITTIYESAND                         107,076,479,252.92                 105,625,096,076.92
    
    
    LCehgeanlHRoenpgregsueontative: FHiunaJnincbiaalocontroller: HZheaandgoBf tohe financial department:
    
    2. Balance sheet of the Company
    
    Unit: RMB
    
                Item                      Closingbalance                   Openingbalance
    CURRENT ASSETS:
        Monetaryfunds                               10,332,176,520.63                   9,580,548,200.88
    valueFtihnraonucgiahlparsosfeittsomrleoasssuredatfair                                                     94,000,000.00
        Billsreceivable                               1,169,806,535.40                    787,095,075.51
        Accountsreceivable                            2,203,752,838.45                     8,188,750.45
        Prepayments                                 1,645,981,455.73                    742,107,273.09
        Otherreceivables                             23,381,030,317.17                  22,351,203,484.83
        Inventories                                   893,831,632.06                    751,426,520.51
        Othercurrentassets                                2,898,684.56                     2,488,977.72
    Total currentassets                                39,629,477,984.00                  34,317,058,282.99
    NON-CURRENT ASSETS:
        Available-for-salefinancialassets                     103,000,000.00                   2,453,000,000.00
        Long-termreceivables                            456,925,607.06                    456,925,607.06
        Long-termequityinvestments                     20,069,848,988.72                  18,674,034,243.49
        Fixedassets                                  2,152,865,137.61                   2,364,990,246.94
        Constructioninprogress                          1,457,558,768.95                    973,375,557.42
        Intangibleassets                                464,333,715.78                    470,379,203.58
        Deferredincometaxassets                         160,364,942.47                    186,935,887.68
        Othernon-currentassets                            54,800,000.00                     54,800,000.00
    Total non-currentassets                             24,919,697,160.59                  25,634,440,746.17
    TOTALASSETS                                 64,549,175,144.59                  59,951,499,029.16
    CURRENT LIABILITIES:
        Short-termborrowings                           7,747,708,213.63                   7,522,637,247.14
        Billspayable                                 9,393,590,000.00                   6,375,070,000.00
        Accountspayable                               471,669,534.55                    570,706,495.21
        Advancereceipts                              1,561,190,481.36                    956,040,917.07
        Staffremunerationpayables                         45,432,514.57                     47,546,116.66
        Taxespayable                                  55,603,091.43                    116,173,781.96
        Interestpayable                                 105,256,333.34                     28,428,028.58
        Dividendpayable                              1,626,559,287.00
        Otherpayables                                2,446,918,910.84                   2,162,553,106.46
    one yNeaorn-currentliabilitiesduewithin                    1,224,548,708.44                   1,318,429,260.12
        Othercurrentliabilities                          10,160,767,686.35                  10,797,248,631.76
    Total currentliabilities                             34,839,244,761.51                  29,894,833,584.96
    NON-CURRENT LIABILITIES:
        Long-termborrowings                            667,124,084.70                    908,182,122.65
        Bondspayable                                2,097,247,500.00                   1,198,305,304.75
        Long-termpayables                             4,143,834,948.98                   4,605,691,332.13
        Provisions                                    325,259,082.28                    325,259,082.28
        Deferredincome                                 48,582,602.30                     50,753,189.60
        Othernon-currentliabilities                       1,244,666,668.00                    250,000,000.00
    Total non-currentliabilities                           8,526,714,886.26                   7,338,191,031.41
    Total liabilities                                  43,365,959,647.77                  37,233,024,616.37
    OWNERS’ EQUITY:
        Sharecapital                                 2,904,608,200.00                   1,936,405,467.00
        Otherequityinstruments                         10,048,300,000.00                  10,048,300,000.00
         Including: Preferenceshares                     4,477,500,000.00                   4,477,500,000.00
              Perpetualbonds                         5,570,800,000.00                   5,570,800,000.00
        Capitalreserves                               4,970,757,435.19                   5,938,960,168.19
        Surplusreserves                               1,119,926,524.49                   1,119,926,524.49
        Retainedprofit                                2,139,623,337.14                   3,674,882,253.11
    TOTALOWNERS’EQUITY                         21,183,215,496.82                  22,718,474,412.79
    OTOWTNAELRLSI’AEBQILUIITTIYESAND                         64,549,175,144.59                  59,951,499,029.16
    
    
    3. Consolidated Income Statement
    
    Unit: RMB
    
                Item                 Amountforthereportingperiod          Amountforthepriorperiod
    I. Totalrevenue                                  15,551,334,039.89                  13,749,235,007.24
        Including:Revenue                            15,551,334,039.89                  13,749,235,007.24
    II. Totaloperatingcosts                             13,616,998,093.86                  11,880,087,434.81
        Including:Operatingcosts                        10,259,884,918.86                  9,171,066,988.49
            Taxes andsurcharges                        129,509,211.98                    105,960,012.36
    expenses   Salesanddistribution                        605,463,325.71                    641,498,275.35
    expenses   Generalandadministrative                     972,856,522.65                    856,354,999.17
            Finance expenses                          1,498,828,444.69                  1,055,396,506.36
            Loss onimpairmentofassets                   150,455,669.97                    49,810,653.08
    Pdelunso:teGsalionsos)nchangeinfairvalue(“-”                     -117,973,841.55                    -11,009,851.10
    loss)    Investmentincome(“-”denotes                   152,314,068.88                    65,864,672.36
    from assocIniactleusdainngd:jIoninvetsvtemnetunrteisncome               -17,153,503.00                     -4,154,293.30
    denotes loGssa)inondisposalofassets(“-”                     -2,210,048.63                      344,802.99
           Otherincome                                59,672,276.88
    III. Operatingprofit(“-”denotesloss)                    2,026,138,401.61                  1,924,347,196.68
        Plus:Non-operatingincome                         191,632,557.35                    156,696,370.73
        Less:Non-operatingexpenses                          446,221.32                     2,072,581.46
    IV.Totalprofit(“-”denotestotalloss)                    2,217,324,737.64                  2,078,970,985.95
        Less:Incometaxexpenses                          434,202,112.50                    331,253,327.08
    V.Netprofit(“-”denotesnetloss)                       1,783,122,625.14                  1,747,717,658.87
    opera(tIi)oNnset(“p-r”odfietnforotemsnceotnltoinsus)ing                  1,783,122,625.14                  1,747,717,658.87
    opera(tIiIo)nNse(t“-p”rodfeintofrtoesmndeitslcoosnst)inued
    shareNhoeltdperrosfoitfatthteribCuotmabpleantyo             1,784,631,025.31                  1,745,514,838.23
        Profitorlossofminorityinterest                       -1,508,400.17                     2,202,820.64
    aVfIt.erNteatxothercomprehensiveincome                      -103,234,110.38                    170,697,419.90
    taxNaetttroibthuetarbcloemtoprsehhaernehsiovledeinrscoomfteheafter                  -103,234,110.38                    170,697,419.90
    Company
    will n(oI)tObethreerclcaosmsipfireedhetonspirvoefiitnacnodmleotshsat
    in subsequentperiods
    that w(IiIl)lbOethreecrlcaosmsifpireedhteonspirvoefiitnacnodmleoss      -103,234,110.38                    170,697,419.90
    in subsequentperiods
    translation of5.foErxecighnanogpeerdaitfifoenresnceson                    -103,234,110.38                    170,697,419.90
    attOribthuetarbcloemtoprmehineonrsiitvyeinintecroemste,netoftax
    VII. Totalcomprehensiveincome                       1,679,888,514.76                  1,918,415,078.77
    attribTuotatabllecotomsphraerheehnoslidveersinocfotmhee       1,681,396,914.93                  1,916,212,258.13
    Company
    attribTuotatabllecotommprienhoerintsyivineteinrecsotme          -1,508,400.17                     2,202,820.64
    VIII. Earningspershare:
        (I)Basicearningspershare                                 0.36                           0.50
        (II)Dilutedearningspershare                               0.36                           0.50
    
    
    LCehgeanlHRoenpgregsueontative: FHiunaJnincbiaalocontroller: HZheaandgoBf tohe financial department:
    
    4. Income statement of the Company
    
    Unit: RMB
    
                Item                Amountforthereportingperiod          Amountforthepriorperiod
    I. Revenue                                      2,816,294,485.82                   3,682,570,308.92
        Less:Operatingcosts                            1,974,361,613.08                   2,560,699,253.09
           Taxesandsurcharges                           44,570,024.17                     38,197,149.42
    expenses Sellinganddistribution                         90,052,325.82                    131,699,019.76
    expenses Generalandadministrative                      253,378,119.62                    306,624,272.42
           Financeexpenses                            450,292,646.56                    302,220,430.04
           Lossonimpairmentofassets                      -3,263,078.84                     13,038,951.61
    (“-” dPelnuos:teGsaloinsso)nchangeinfairvalue                     -94,000,000.00
    denotes loIsnsv)estmentincome(“-”                        151,671,872.91                     69,489,948.67
    from assocIniactleusdainngd:jIoninvetsvtemnetunrteisncome                -4,078,127.09                       -30,620.30
    (“-” denotGesalionsos)ndisposalofassets                        -1,404,490.25                       285,572.22
           Otherincome                                2,170,587.30
    II. Operatingprofit(“-”denotesloss)                       65,340,805.37                    399,866,753.47
        Plus:Non-operatingincome                         159,134,238.55                     12,782,322.74
        Less:Non-operatingexpenses
    III. Totalprofit(“-”denotestotalloss)                     224,475,043.92                    412,649,076.21
        Less:Incometaxexpenses                          26,570,945.21                     20,154,500.40
    IV.Netprofit(“-”denotesnetloss)                       197,904,098.71                    392,494,575.81
    opera(tIi)oNnset(“p-r”odfietnforotemsnceotnltoinsus)ing                   197,904,098.71                    392,494,575.81
    opera(tIiIo)nNse(t“-p”rodfeintofrtoesmndeitslcoosnst)inued
    aVf.teNrettaoxthercomprehensiveincome
    VI. Totalcomprehensiveincome                         197,904,098.71                    392,494,575.81
    
    
    5. Consolidated cash flow statement
    
    Unit: RMB
    
                Item                Amountforthereportingperiod          Amountforthepriorperiod
    I. Cashflowsfromoperatingactivities:
    and rCenadsehrirnegceoivfesderfvriocmessalesofgoods                  14,209,807,106.29                  12,367,242,687.49
        Taxrebatesreceived                               4,906,195.67                     2,575,753.81
    operaCtiansgharcetciveiivtieedsrelatingtoother                      2,560,132,218.85                    230,498,726.61
    aScutbivtoittiaelsofcashinflowsfromoperating                  16,774,845,520.81                  12,600,317,167.91
        Cashpaidforgoodsandservices                    9,303,280,725.88                   8,387,824,464.47
        Cashpaidtoandforemployees                      578,298,920.80                    544,347,530.25
        Paymentsoftaxesandsurcharges                     876,814,512.36                    793,983,398.34
    operaCtiansghapcatiivdirtieelsatingtoother                        1,271,413,440.86                   6,987,103,543.24
    Sopuebrtaottianlgoafcctaivshitioeustflowsfrom                        12,029,807,599.90                  16,713,258,936.30
    Net cashflowsfromoperatingactivities                   4,745,037,920.91                  -4,112,941,768.39
    II. Cashflowsfrominvestingactivities:
        Cashreceivedfrominvestments                     2,350,000,000.00
    incomCeashreceivedfrominvestment                       171,500,000.00                     16,861,112.27
    fixedNaesstectass,hinrteacnegiivbeldefarsosmetsdaisnpdoosathleorf              150,077.55                       395,843.67
    long-term assets
    subsiNdieatriceassahnrdecoetihveerdbfursoimnedssisupnoistaslof                     19,610,260.70
    invesCtiansgharcetciveiitvieesdrelatingtoother                        11,194,100.00                    972,391,073.00
    aScutbivtoittiaelsofcashinflowsfrominvesting                   2,552,454,438.25                    989,648,028.94
    assetsC,aisnhtapnagiidblfeoraspsuertcshaansdeootfhfeirxed                  1,609,046,327.99                    746,966,959.23
    long-term assets
        Cashpaidoninvestments                         1,311,172,596.96                    606,110,000.00
    invesCtiansghapcatiivditrieelsatingtoother                          103,042,210.54
    Sinuvbetsottianlgoafcctiavsihtioesutflowsfrom                         3,023,261,135.49                   1,353,076,959.23
    Net cashflowsfrominvestingactivities                    -470,806,697.24                   -363,428,930.29
    IaIcIt.ivCiatisehs:flowsfromfinancing
        Cashreceivedfrominvestments                                                     40,000,000.00
    subsiIdniacrluiedsinfrgo:mCamshinroerciteyiviendvefsrotmmebnyt                                 40,000,000.00
        Cashreceivedfromborrowings                    23,960,924,414.55                  23,101,617,576.90
    bondsCashreceivedfromissuanceof
    finanCciansgharcetciveiivtieedsrelatingtoother                      8,940,587,508.90                   7,720,000,594.49
    aScutbivtoittiaelsofcashinflowsfromfinancing                  32,901,511,923.45                  30,861,618,171.39
    borroCwaesdhrepaymentsofamounts                      19,647,186,258.44                  13,156,774,323.31
    distriCbuatsihonpaoirdinfoterrdeisvtipdaeynmdeanntdprofit                    1,331,735,531.11                  2,483,897,208.01
    paid bInycsluudbisnidgi:aDriievsidtoenmdinanodritpyrofit
    shareholders
    finanCciansghapcatiivdirtieelsatingtoother                        15,500,213,039.33                  10,195,554,187.00
    Sfiunbantoctianlgoafcctaivshitioeustflowsfrom                        36,479,134,828.88                  25,836,225,718.32
    Net cashflowsfromfinancingactivities                  -3,577,622,905.43                   5,025,392,453.07
    IcVh.anEgffeescotnofcafoshreaignndecxacshhaenqgueivraatleents              29,968,597.03                   -107,391,377.48
    eVq.uNiveatliennctrseaseincashandcash                         726,576,915.27                    441,630,376.91
    equivPalluesn:tsBaaslaantcteheofbceagsinhnainndgcoafsthhe                  2,804,408,374.46                   1,979,861,045.62
    period
    VeqIu.iBvaalleanntcseaosfactatshheaennddcoafsthheperiod                    3,530,985,289.73                   2,421,491,422.53
    
    
    6. Cash flow statement of the Company
    
    Unit: RMB
    
                Item                Amountforthereportingperiod          Amountforthepriorperiod
    I. Cashflowsfromoperatingactivities:
    and rCenadsehrirnegceoivfesderfvriocmessalesofgoods                   2,262,576,453.26                   2,947,603,434.58
        Taxrebatesreceived
    operaCtiansgharcetciveiivtieedsrelatingtoother                       997,388,740.42                    697,159,595.97
    Sacutbivtoittiaelsofcashinflowsfromoperating                   3,259,965,193.68                   3,644,763,030.55
        Cashpaidforgoodsandservices                    1,005,422,983.37                   1,907,092,137.24
        Cashpaidtoandforemployees                      203,769,186.38                    227,658,831.17
        Paymentsoftaxesandsurcharges                     298,790,554.29                    226,985,971.66
    operaCtiansghapcatiivdirtieelsatingtoother                          778,975,073.31                    610,188,242.33
    oSpuebrtaottianlgoafcctaivshitioeustflowsfrom                         2,286,957,797.35                   2,971,925,182.40
    Net cashflowsfromoperatingactivities                    973,007,396.33                    672,837,848.15
    II. Cashflowsfrominvestingactivities:
        Cashreceivedfrominvestments                     2,380,000,000.00
    incomCeashreceivedfrominvestment                       171,500,000.00                     16,861,111.11
        Netcashreceivedfromdisposalof                                                      17,628.00
    floixnegd-taesrsmetas,ssinettsangibleassetsandother
    subsiNdieatriceassahnrdecoetihveerdbfursoimnedssisupnoistaslof
    invesCtiansgharcetciveiitvieesdrelatingtoother                                                     900,000,000.00
    aScutbivtoittiaelsofcashinflowsfrominvesting                   2,551,500,000.00                    916,878,739.11
    assetsC,aisnhtapnagiidblfeoraspsuertcshaansdeootfhfeirxed                    26,375,996.36                     54,575,321.80
    long-term assets
        Cashpaidoninvestments                         1,361,714,807.50                   2,665,511,220.00
    Sinuvbetsottianlgoafcctiavsihtioesutflowsfrom                         1,388,090,803.86                   2,720,086,541.80
    Net cashflowsfrominvestingactivities                   1,163,409,196.14                  -1,803,207,802.69
    IaIcIt.ivCiatisehs:flowsfromfinancing
        Cashreceivedfrominvestments
        Cashreceivedfromborrowings                     7,562,143,316.17                  14,360,451,015.03
    bondsCashreceivedfromissuanceof
    finanCciansgharcetciveiivtieedsrelatingtoother                      8,204,965,097.95                   7,190,741,096.00
    aScutbivtoittiaelsofcashinflowsfromfinancing                  15,767,108,414.12                  21,551,192,111.03
    borroCwaesdhrepaymentsofamounts                       6,735,658,936.22                  10,665,502,742.60
    distriCbuatsihonpaoirdinfoterrdeisvtipdaeynmdeanntdprofit                     716,590,206.19                   2,240,461,564.72
    finanCciansghapcatiivdirtieelsatingtoother                        10,373,957,627.23                   7,751,076,273.64
    Sfiunbantoctianlgoafcctaivshitioeustflowsfrom                        17,826,206,769.64                  20,657,040,580.96
    Net cashflowsfromfinancingactivities                  -2,059,098,355.52                    894,151,530.07
    cIVh.anEgffeescotnofcafoshreaignndecxacshhaenqgueivraatleents               6,160,731.67                     -5,297,986.97
    eVq.uNiveatliennctrseaseincashandcash                          83,478,968.62                   -241,516,411.44
    equivPalluesn:tsBaaslaantcteheofbceagsinhnainndgcoafsthhe                  1,020,262,069.85                    582,578,426.62
    period
    eVqIu.iBvaalleanntcseaosfactatshheaennddcoafsthheperiod                    1,103,741,038.47                    341,062,015.18
    
    
    7. Consolidated statement of changes in owners’ equity
    
    Amount for the reporting period
    
    Unit: RMB
    
                                                 Forthereportingperiod
        Item                               EquityattributabletoownersoftheCompany
                Sharecapital      Otherequityinstruments     Capitalreserves  Lesss:htarreeassurycompOrethheernsiveSpecialreserves Surplusreserves  Generalrisk        Minorityinterest  Totalowner’s
                     Preferenceshares  Perpetualbonds  Others               income                provisions  Retainedprofit         equity
    Ip.rBioarlyaneacreasattheendofthe   1,936,405,467.00 4,477,500,000.00  5,570,800,000.00    6,149,257,784.90       -354,165,127.80       1,132,116,106.40       8,866,614,844.40 2,495,649,464.04 30,274,178,538.94
    policAiedsd:changesinaccounting
    errors Correctionsofprevious
    undercomMmeorngecrosnotrfoclompanies
       Others
    IthI.eByaelaarnceasatthebeginningof  1,936,405,467.00 4,477,500,000.00  5,570,800,000.00    6,149,257,784.90       -354,165,127.80       1,132,116,106.40       8,866,614,844.40 2,495,649,464.04 30,274,178,538.94
    IdIeIn.oCtheasndgeecsreinasteh)eperiod(“-”   968,202,733.00                 -1,026,305,329.81       -103,234,110.38                    59,971,738.31 -1,204,921,889.24 -1,306,286,858.12
    (I)Totalcomprehensiveincome                                    -103,234,110.38                   1,784,631,025.31  -1,508,400.17 1,679,888,514.76
    (bIyI)oCwanpeirtsalpaidinandreduced                         -58,102,596.81                                     -1,203,413,489.07 -1,261,516,085.88
    1sh.aOrerdhionladreyrssharespaidby                          -58,102,596.81                                     -1,203,413,489.07 -1,261,516,085.88
    2ot.hCearpeiqtaulitpyaiindsbtryumhoelndtesrsof
    p3.aAymmeonutnstreocfosghnairsee-dbainseodwners’
    equity
    4.Others
    (III)Profitdistribution                                                               -1,724,659,287.00       -1,724,659,287.00
    1.Transfertosurplusreserves
    p2.roTvriasniosfnertogeneralrisk
    3sh.aDreishtorilbduetriso)ntoowners(or                                                             -1,724,659,287.00       -1,724,659,287.00
    4.Others
    (IV)Transferofowners’equity   968,202,733.00                 -968,202,733.00
    c1r.eCataepditoaln(coarpsihtaalrerecsaeprviteal)968,202,733.00                 -968,202,733.00
    2cr.eCataepditoaln(sourrsphluasrerecsaeprivtael)
    3lo.sSseusrplusreservemakingup
    4.Others
    (V)Specialreserve
    1.Withdrawal
    2.Used
    (VI)Others
    IpVe.riBodalanceasattheendofthe  2,904,608,200.00 4,477,500,000.00  5,570,800,000.00    5,122,952,455.09       -457,399,238.18       1,132,116,106.40       8,926,586,582.71 1,290,727,574.80 28,967,891,680.82
    
    
    Amounts for the prior period
    
    Unit: RMB
    
                                                  Forthepriorperiod
        Item                               EquityattributabletoownersoftheCompany
                Sharecapital      Otherequityinstruments     Capitalreserves  Less:treasury   Other                           Minorityinterest Totalowner’s
                     Preferenceshares  Perpetualbonds  Others         shares   comipnrceohmenesiveSpecialreserves Surplusreserves  GpernoevriasilornisskRetainedprofit         equity
    Ip.rBioarlyaneacreasattheendofthe   1,936,405,467.00 4,477,500,000.00  2,582,800,000.00    6,149,257,784.90       -805,245,771.89       1,132,116,106.40       6,745,974,781.02 346,050,847.76 22,564,859,215.19
    policAiedsd:changesinaccounting
    errors Correctionsofprevious
    undercomMmeorngecrosnotrfoclompanies
       Others
    IthI.eByaelaarnceasatthebeginningof  1,936,405,467.00 4,477,500,000.00  2,582,800,000.00    6,149,257,784.90       -805,245,771.89       1,132,116,106.40       6,745,974,781.02 346,050,847.76 22,564,859,215.19
    dIIeIn.oCtheasndgeecsreinasteh)eperiod(“-”                                     170,697,419.90                    366,294,450.68  42,202,820.64 579,194,691.22
    (I)Totalcomprehensiveincome                                    170,697,419.90                   1,745,514,838.23  2,202,820.64 1,918,415,078.77
    (bIyI)oCwanpeirtsalpaidinandreduced                                                                   40,000,000.00  40,000,000.00
    s1h.aOrerdhionladreyrssharespaidby                                                                     40,000,000.00  40,000,000.00
    2ot.hCearpeiqtaulitpyaiindsbtryumhoelndtesrsof
    p3.aAymmeonutnstreocfosghnairsee-dbainseodwners’
    equity
    4.Others
    (III)Profitdistribution                                                               -1,379,220,387.55       -1,379,220,387.55
    1.Transfertosurplusreserves
    p2.roTvriasniosfnertogeneralrisk
    3sh.aDreishtorilbduetriso)ntoowners(or                                                             -1,379,220,387.55       -1,379,220,387.55
    4.Others
    (IV)Transferofowners’equity
    c1r.eCataepditoaln(coarpsihtaalrerecsaeprviteal)
    2cr.eCataepditoaln(sourrsphluasrerecsaeprivtael)
    3lo.sSseusrplusreservemakingup
    4.Others
    (V)Specialreserve
    1.Withdrawal
    2.Used
    (VI)Others
    IpVe.riBodalanceasattheendofthe  1,936,405,467.00 4,477,500,000.00  2,582,800,000.00    6,149,257,784.90       -634,548,351.99       1,132,116,106.40       7,112,269,231.70 388,253,668.40 23,144,053,906.41
    
    
    8. Statement of changes in owners’ equity of the Company
    
    Amounts for the period
    
    Unit: RMB
    
                                                   Forthereportingperiod
          Item       Sharecapital       Otherequityinstruments       Capitalreserves  Less:treasuryshares   Other    Specialreserves  Surplusreserves  Retainedprofit    Total
                        Preferenceshares Perpetualbonds   Others                 comprehensiveincome                      owners’equity
    I.Balanceasattheendoftheprioryear  1,936,405,467.00 4,477,500,000.00 5,570,800,000.00        5,938,960,168.19                        1,119,926,524.49 3,674,882,253.11  22,718,474,412.79
      Add:changesinaccountingpolicies                                                               -8,503,727.68   -8,503,727.68
       Correctionsofpreviouserrors
       Others
    II.Balanceasatthebeginningoftheyear  1,936,405,467.00 4,477,500,000.00 5,570,800,000.00        5,938,960,168.19                        1,119,926,524.49 3,666,378,525.43  22,709,970,685.11
    IdIeIc.rCehasaen)gesintheperiod(“-”denotes   968,202,733.00                     -968,202,733.00                              -1,526,755,188.29  -1,526,755,188.29
    (I)Totalcomprehensiveincome                                                                  197,904,098.71   197,904,098.71
    (II)Capitalpaidinandreducedbyowners
    1.Ordinarysharespaidbyshareholders
    2in.sCtraupmiteanltpsaidbyholdersofotherequity
    3re.cAomgnoiusendtoinfsohwanree-rbs’aseeqduiptyayments
    4.Others
    (III)Profitdistribution                                                                   -1,724,659,287.00  -1,724,659,287.00
    1.Transfertosurplusreserves
    2.Distributiontoowners(orshareholders)                                                              -1,724,659,287.00  -1,724,659,287.00
    3.Others
    (IV)Transferofowners’equity     968,202,733.00                     -968,202,733.00
    1ca.pCitaaplitraelse(orvresharecapital)createdon   968,202,733.00                     -968,202,733.00
    s2u.rCpalupsitraels(eorrvseharecapital)createdon
    3.Surplusreservemakinguplosses
    4.Others
    (V)Specialreserve
    1.Withdrawal
    2.Used
    (VI)Others
    IV.Balanceasattheendoftheperiod   2,904,608,200.00 4,477,500,000.00 5,570,800,000.00        4,970,757,435.19                        1,119,926,524.49 2,139,623,337.14  21,183,215,496.82
    
    
    Amounts for the prior period
    
    Unit: RMB
    
                                                   Forthepriorperiod
          Item       Sharecapital       Otherequityinstruments       Capitalreserves  Less:treasuryshares   Other    Specialreserves  Surplusreserves  Retainedprofit    Total
                        Preferenceshares Perpetualbonds   Others                 comprehensiveincome                      owners’equity
    I.Balanceasattheendoftheprioryear  1,936,405,467.00 4,477,500,000.00 2,582,800,000.00        5,938,960,168.19                        1,119,926,524.49 4,791,486,988.38  20,847,079,148.06
      Add:changesinaccountingpolicies
       Correctionsofpreviouserrors
       Others
    II.Balanceasatthebeginningoftheyear  1,936,405,467.00 4,477,500,000.00 2,582,800,000.00        5,938,960,168.19                        1,119,926,524.49 4,791,486,988.38  20,847,079,148.06
    IdIeIc.rCehasaen)gesintheperiod(“-”denotes                                                               -986,725,811.74  -986,725,811.74
    (I)Totalcomprehensiveincome                                                                  392,494,575.81   392,494,575.81
    (II)Capitalpaidinandreducedbyowners
    1.Ordinarysharespaidbyshareholders
    2in.sCtraupmiteanltpsaidbyholdersofotherequity
    3re.cAomgnoiusendtoinfsohwanree-rbs’aseeqduiptyayments
    4.Others
    (III)Profitdistribution                                                                   -1,379,220,387.55  -1,379,220,387.55
    1.Transfertosurplusreserves
    2.Distributiontoowners(orshareholders)                                                              -1,379,220,387.55  -1,379,220,387.55
    3.Others
    (IV)Transferofowners’equity
    1ca.pCitaaplitraelse(orvresharecapital)createdon
    s2u.rCpalupsitraels(eorrvseharecapital)createdon
    3.Surplusreservemakinguplosses
    4.Others
    (V)Specialreserve
    1.Withdrawal
    2.Used
    (VI)Others
    IV.Balanceasattheendoftheperiod   1,936,405,467.00 4,477,500,000.00 2,582,800,000.00        5,938,960,168.19                        1,119,926,524.49 3,804,761,176.64  19,860,353,336.32
    
    
    III. General Information of the Company
    
    ShouSghuaanngdoCnigtyC, ShhenanmdionnggPParpoevrinHceo,ldwinitghsitLsihmeiatdeqdu(ahreterresinaatfNteor.r2e1fe9r9reNdotnogsahsenthgeR“oCaodmEpaasnt,yS”h) owugasuainngcoCrpitoyr,aStehdanidnoMngaPyro1v9i9n3cei.n
    
    paperThanedCpoamppearnbyoaanrdd),itpsaspuebrsimdiaakriinesg arraewprminactiepraialllys eanngdamgeadchininperryo;cegsesninegraatinodn saanled osfalpeapoefrepleroctdruicctspo(winecrluadnindgthmearmchailnep-omwaedre;
    
    afonrdesstaryle, soafpllianmgsingarteodwibnoga,rpdrsocaensdsifnogrtaifnidedsawleooodfetnimfbloeor;rbmoaanrdusf,acmtuarriinnge, penrogcineesseirningganpdrosjaelcet oinfvwesotomdepnrto, dhuocttesl; saenrdvimcea,neuqfauciptumrienngt
    
    finanTcihael afinndanocpiearlastitnatgemleeansitnsgw, eertce.considered and approved by the Board of the Company on 27 August 2018.
    
    to thiSsuNbositdeiIaXrie“sEoqfutihtye iCnoomthpearneynitnitcielusd”.edThine tshceopsceoopfecoofncsoolnisdoaltiidoantioofnthfoerCthoemfpirasntyhadlufroinfg2t0h1e8yteoatarlhleadd6o2n.eFcoormdpeataniyls,inpclleuadseedreafnedr
    
    one company excluded compared to the prior year. For details, please refer to this Note VIII “Changes in the scope of consolidation”.
    
    IV. Basis of Preparation of the Financial Statements
    
    1. Basis of preparation
    
    with TthheeACcocmoupnatniyn’gsSfitnaanndcairadlssftoatreBmuesnitnseasrseEpnrteepraprreisdeos-nBaasgiociSngtacnodnarcdesrnparonmd ublagsaetdedonbyactthuealMtriannisstarcytioofnFs iannadnceeve(nOtrsd, einr oafccMoridnaisntcrye
    
    oamf FenindaendceoNn oa.n3d3,aafstearm1e5ndFeedbbruyarOyrd2e0r0o6f, MthienisatpryploicfaFtiionnangcueidNeoli.n7e6s) oafndth4e2 AspceccoifuinctiancgcoSutnatnindgarsdtsanfdoarrdBs uassinpersosmEulngtaetrepdrisaensd,
    
    tinhteerdpirsectlaotsiuornes raenqduiortehmerenretslaotefdthruele“sRoefguthlaetiAocncoonuntthinegPSretapnadraatridosnfoofr BInufsoirnmesastioEnntDeripsrcilsoessu(rheesroeifnCafotmerpraenfeierrseIdsstouiansg“PAuSbBliEc sS”h),aarensd,
    
    No. 1T5h:eGCenoemraplaRnye’qsufirinemanecniatsl fsotartFemineanntcsiahlaRveepboeretsn”p(rreepvaisreedd ionn2a0n14a)ccorfuCalhibnaasiSseicnuarictcieosrdRaengcuelawtoitrhy tChoemAmSBisEsiso.nE. xcept for certain
    
    tfhineanecvieanltintshtarut mdeepnrtsecainadtiocnonosfumasasbeltes boioclcougrisc,aal apsrsoevtsi,sitohne ffionranicmiaplasirtamteemntenistsmaraedpereapcacroerddiunngdlyeritnheachcisotrodraicnaclecowsitthcotnhveenrteiloenv.aInnt
    
    regulTathioenCs.ompany has been implementing the ASBEs since 1 January 2007.
    
    H-shaInreadlidsitteidonctoomppraenpya,rinaglsoanhdaissstuoinpgrofivniadnecifainl asntactieaml esntattseimneanctcsofrodrantcheewpiuthbltihceinnewaccaocrcdoaunncteingwsitthantdhaerdHs,otnhge CKoomngpaFniyn,aansciaanl
    
    IRnetperoprrtientagtioSntaNndoa.r1d”s,. wPiuthrsureasnptectot tothteheretrleavnasancttiroenqsuiorremmeantttesrsuwndheicrhRduoleno1t hoafve“AancycoduinffteinregncSetainndtaerrdmssfoofr sBtaunsdianredsss bEetnwteerepnritshees
    
    nacecworadcacnocuenwtinitghsRtaunledsar5dstoan1d9 othfe“AHcocnoguKntoinngg SFtiannadnacridasl RfoerpBorutsiningeSsstaEnndtaerrdpsr,istehseNCoo.m3p8a–nyFisrhsat-ltlimmeakIemrpeltermosepnetcattiivoen aodfjAusctcmoeunnttsining
    
    rSettarnodsapredcstivfeoradBjuusstmineenssts Etonttherepfriinseasn”cia(l“SsttaatnedmaerdntsNfoo.r t3h8e”c)omanpdaraobtlheeryeraerlsevinanret spreeqcut iorfemtheenctsh.anTghees iCn oamccpoaunnytinsghaplolliacliseos dmueaktoe
    
    SthteanidmaprdlemNeon. t3a8tiownitohf rneefwereanccceoutonttihneg rsetalenvdaanrtdsavfaoirlatbhlee tirnafnosramctaiotinosn abnadsemdaottnertsheotfhienranthciaanl tshtaotseemaetntrtisbuptraebplaeretdo bRyultehse5Ctoom1p9anoyf
    
    according to the Hong Kong Financial Reporting Standards.
    
    2. Going concern
    
    end oNf othfearcetspoorrticnigrcpuemrisotadn.ces comprise a material uncertainty about the Company’s going concern basis within 12 months since the
    
    V. Significant Accounting Policies and Accounting Estimates
    
    Specific accounting policies and accounting estimates are indicated as follows:paperTahnedCpoampepranbyoaarndd), iptsapseurbsmidaikairniegsraarwe mpraintecriipaalsllyanedngmaagcehdinineryp.roTcheessCinogmapnadnysaalendofitpsaspuebrsipdrioadriuecstsfo(rinmcululadtiendgcmeratcahininsepemcaifdiecapcrocoduuncttiionng apnodliocpieesraatniodnacchcaoruacntteinrigstiecsstipmuartseusanftortoththeetrreaqnusiarcetmioennstsaunnddmeratthteersresleuvcahntasacrceovuenntuinegrsetcaongdnairtdiosnfobrabsuesdinoensstheneitrerapcritsueasl.pFloeradseetraeifles,r ptoleNasoetereVfe.r3t0o“thCirsitNicoatleaVcc.o2u5nt“iRngevjuendugem”e.nFtosratnhdeecsrtiitmicaatleasc”c.ounting judgments and estimates made by the management,1. Statement of compliance with the Accounting Standards for Business Enterprises
    
    finanTcihael pfionsainticoinalosftathteemCeonmtsphaanvyeabseaetn3p1reDpeacreemd bbeyr t2h0e1C7oamndparnelyevinanctoinnffoorrmmiatytiownitshucthheasAtShBeEosp,ewrahtiincgh rterusulyltsanadndfuclalyshreflfolewcst tfhoer
    
    t2h0e17“R. Iengualdadtiiotinono,nthtehefiPnarenpcaiaral tsitoanteomfeInntfsoormf tahtieoCn oDmispcalnoysuarlessoocfoCmopmlypwaniitehs, iInssaulilnmg aPteurbilailcrSeshpaercetss,,Nthoe. d1i5s:clGoesunreerarleqRueiqreumireemntesnotsf
    
    for Financial Reports” revised by the China Securities Regulatory Commission in 2014 and the notes thereto.
    
    2. Accounting period
    
    perioTdshethaactcaoruensthinogrtperertihoadns aoffutlhleaCccoomunptainnyg ayreeard.ivTihdeedacicnotounatninnguaylepaerroiofdtsheanCdoimntpearnimy ipsefrrioomds.1IJnatenruiamrypteori3o1dsDreecfeermtboerreopforetaincgh
    
    calendar year.
    
    3. Operating cycle
    
    realisOatridoinnairny coapsehraotrincgaschycelqeurievfaelresnttso. Tthhee poepreioradtinfrgomcycalcequoifsitthioenCoofmapsasneyts luasstesd ffoorr1p2romceosnstihnsg, abnydthaectsCoasmpananiynduincatitlorthfeoirr
    
    classiOfiucratisounbsoifdilaiqriueisd,itiyncolfuadsisnegtsZahnadnljiiaabniglitCiehse. nming Arboriculture Development Co., Ltd., Yangjiang Chenming Arboriculture
    
    DDeevveellooppmmeenntt CCoo.,.,LtLd.tda.n, dNCahnecnhmaningg CAhrbenomricinuglturAerCboor.,icLutldtu.,reweDreeveenlgoapgmedenitn aCrob.o,ricLutldt.u,reHcuualtnigvgatainngg, pClhanentamtiionnganAdrbsaolreic. uTlhtuerier
    
    ordinary operating cycle lasts for over 1 year.
    
    4. Functional currency
    
    envirTonhme eCnotminpawnhyicahndthietys doopmereasteti.cTshuebsfiudnicatriioensarleccougrrneinsceyRoMf BtheasCtohmeiprafnuyncatnidoniatsl cduormreensctiyc ascucbosriddiianrgietsoisthRe epnrmiminabryi (e“cRoMnoBm”i)c.
    
    KOvoerersaenasWsounbsi(d“iKarRieWs ”o)f athsethCeoirmrpeasnpyecrteivceogfnuinsectiUo.nSa.l dcoulrlarern(c“yUSacDc”orodrin“gUSto$”t)h,eJagpeanneerasel eyceonn(o“mJPicY”e)n,vEiruornom(e“nEtUiRn”w) haincdh Stohuesthe
    
    subsidiaries operate. The Company prepares its financial statements in RMB.
    
    5. Accounting treatment of business combinations under common control and not under common control
    
    entityB. uBsuinseinsesscsocmombibniantiaotinosnrseaferer tdoivthideetdrainnstoacbtuiosninseosrs ecvoemnbtsiniantiwohniscuhntdweor coormmmoroensceopnatrraotel aenndtenrportiusensdemrecrogmedmaosnacsoinntgrloel.reporting
    
    A(1)bBusuisniensessscocommbbininataitoionnisnuvnodlveirncgoemnmteorpnricsoenstruonlder common control is a business combination in which all of the combiningeTnhteerpparristyesthaarte, uolntitmhaetecloymcboinntartoiollneddabtye,thoebtsaainmsecpoanrttryoloorfpaanrtoitehsebreefnotreerparnidseapftaerrtitchipeactoinmgbiinnathtieonc,omanbdintahtaitoncoinsttrhoel iasbnsoortbtirnagnspitaorrtyy.,awbhsiolerbtihnagt poathrteyr eefnfteecrtpivriesleypoabrttaicinipsactoinngtroinl othfethceompabritnyabtieoinngisabaspoarrbteydb. eing absorbed. The combination date is the date on which theby thAe spsaerttsyabnedinligabmileitrigeesdo.bTtahieneddifbfyerethneceabbseotrwbeinegn pthaertycaarrreyimngeaasmuroeudnattotfhetihrecnarertyainssgeatsmoobutnatinaetdthaendcotmhebicnaartriyoinngdaatemaosunretcoofrdthederceosnesrivdeer(asthioarnepcaaipditfaolrptrheemciuomm)b.inIfattihoen c(aoprittahleraegsegrrveega(tsehanroemcianpailtavlaplureemoifusmh)ariessniostsuseudffiacsiecnotntsoidaebrsaotirobnt)hies dcihfafergreendceto, athney ceaxpcietsaslshallCbeosatdijnucsuterdreadgbayintshtereatbasinoerbdineagrnpianrgtys.that is directly attributable to the business combination shall be charged to profit or loss in
    
    the pe(2ri)oBduinsinwehsiscchotmhebyinaarteioinncnuortreudn.der common control
    
    combAinibnugsiennetsesrpcriosmesbianraetinoont unlottiminatveolylvicnogntreonltleerdprbisyestheunsdaemr ecpoamrtmyoonr cpoanrttireosl biesfoarebuansidneasfstercothmebcinoamtiboinnaitnionw.hFicohr aalbl uosfinethses
    
    econmterbpinriasteiopnarntioctipiantvinoglviinngtheenctoemrpbriisneastiounndiserthceomacmquoinrerc,ownthriolle, tthhaet optahretyr etnhtaetr,porinsethpearaticcqipuaistiintigonindtahtee,coombtbaiinnasticoonnitsrotlheofacaqnuoitrheeer.
    
    The aFcoqruibsuitsiionnesdsatceoimsbthineadtiaotne oinnvwolhviicnhgthenetaitcieqsuinreort eufnfdecetrivceolmy mobotnaincosnctoronlt,rothl eofctohset aocfqauibreues.iness combination is the aggregate of
    
    tahcequfiarierr vtoalbueesp,aoidn bthyethdeataecqoufiraecrq, uiniseitxiochn,anogfeafsosretcsongtirvoelno, flitahbeilaictiqeusiriencpulurrsedagoerncayssfueme esudc, hanads aeuqduiitt,yleignasltrsuemrveinctesainsdsueevdalbuyatitohne
    
    ecoqnusituyltoartiodnebatnsdecoutrhietiresmiasnsaugeedmbeyntthfeeeascqcuhiarregreads tcoonthseidperroatfiiot norisloinssclfuodredtheinptehreioidniwtiahlecnoisntsc.uCrroendt.inTgraennstaccotinosnidceorasttioanttriinbvuotalvbeled tios
    
    cisharergqeudiretod tahseacoremsbuilnt aotfionnewcosotraatdidtsitifoaniravl aelvuiedeonncethienarceqluatiisoitniotno dcairtceu, minstthaneceevseenxt itshtaetdaodnjutshtemaecnqt uoinsittihoencdoantteinegmenetrgceosnswiditehriantio12n
    
    mthoenidthesnftirfoimablteheneatcqasusiesittsioancqduaitree,dthfreocmomthbeincaotmiobningaotoiodnwailrlesmhaelalsaulrseodbaet athdejuirstfeadir. Tvahleuecsomonbitnhaetiaocnquciossittiionncudrarteed. Wbyhtehree athcequciorestr oafnda
    
    bthuesidnieffsesrceonmcebiisnareticoongnexisceededass tghoeodacwqiulli.reWr’hseirnetethreestcoinstthoef afabirusvianleuses ocfomthbeinacaqtiuoinreies’lseisdsetnhtainfiathbeleanceqtuairsesre’tss ionntetrheestaicnqtuhiesiftaioirnvdaaltuee,
    
    of the acquiree’s identifiable net assets, the acquirer shall first reassess the measurement of the fair value of the acquiree’s
    
    icdoesnt toiffiacbolme basinseattsio, nliaisbisltiitlilesleasnsdthcaonnttihnegeanctquliiarbeirl’istieinstearnedstthine mtheeafsauirrevmaelunet ooff tthhee caocsqtuoirfeceo’smibdiennattiifoianb. lIef nafettearsssuecths, rtehaessdeisffsemreennctethies
    
    chargIendrteolaptiroonfittoorthloesdsefdour cthtieblpeerteiomdp. orary difference acquired from the acquiree, which was not recognised as deferred tax assets
    
    mduoenttohsnaofnt-efrutlhfielmaceqnut iosfititohne rdeactoeginnidtiicoantecsritthearitaraetlattheeddcaotnedoitfiothnes aactqthueisiatcioqnu,isiiftinoenwdoatrefualrrtehaedryinefxoirsmteadt,ioanndthtahtaitstohbetiaminpeldemweitnhtiantio1n2
    
    aosfstehtes sehcaolnlobme ircecboegnneifsietsdbarnodugghotodbwy itlhleshdaeldl ubcetidbeledutcetmedp.oWrarhyenditfhfeeraemncoeunotf othfegoaocqduwiirleleiscalenssbetheaxnptehcetedde,fethrreedretlaexvaanstsedtesftehraretdshtaalxl
    
    baseseretscoingnreisleadti,otnhetodbifufseirneenscsecsohmalblinbaetiroencoagrneirseecdoignnitsheedpirnofthiteoprrloofsitsoorfltohses poefrtihoed.pEerxiocedp. t for the above circumstances, deferred tax
    
    judgeFdowr hceotmhebrinthateiyonbeolfonbgustoin“etsrsannsoatctuionndserincoambamsoknet”coinntarcocloarcdhainecveedwibthy tsheevjeurdalgetmraennsatcsttiaonndsa,rdthseosen “setrvaenrsaalcttiroannssaicntiaonbsaswkeiltl” baes
    
    sKeutaoiut[2in01t2h]e NNoot.ic1e9o)f athnedMRiunliestroyfof51Fintoanc“eAocncoIusnsutiinngg AStcacnoduanrtdingfoSr taBnudsairndesssforEnBtuesrpinreissessENntoe.rp3ri3ses–InCteornpsroeltiadtaiotendNFoi.n5an(cCiaali
    
    aSstasteemt oeunttsi”n(stehee NproetveiVou.s5p(a2r)a)g. rIafpthhseyofbethloisngsetcoti“otnranansadctNioontes iVn.a1b4as“kLeotn”,gt-hteerymareequacitcyouinnvteedstmfoernwtsi”th, arnedferifenthceeytodtohenodtesbcerliopntigontos
    
    “transInactsieopnasraintea fbiansaknecti”a,l thsteayteamreenactsc,outhnetedinfiotiralinesqeupiatyratienvfiensatmnceinatl sctoatsetmisentthseanadggcorengsaotleidaotfedthfeinacnarcriyailnrgepaomrtso:unt of the equity
    
    oinfveasntymeontthienr thceomacpqrueihreeneshiveeld ipnrcioormteo tahtetraibcuqtuaibslietiotnodathtee aenqdutihtye ininvteesrtemstenitncothstenaecwqluyiraededepdriaosrattothethaecqauciqsiutiiosintiodnated. aItne,resoptheecrt
    
    caocqmupirreeeheantsitvhee itnimcoemoef idsisapcocsoauln(tie.de. ftoor boen ttrhaenssfaemrreedactocoiunnvteisntgmternetatimnceonmt easfodrirethcet dpiesrpioosda,leoxfcerpetlefvoarntthaesscehtaonrgelsiabairliistiyngbyfrothme
    
    re-meIansucorinnsgolniedtaatesdseftisnoarncnieatllisatabtielimtieesntosf, dtheefineeqduibtyenienftietrpeslatninustihnegatchqeueiqreueityhemldetphroiodrattotritbhuetaabclqeutiositthioenacdqauteireise)r.emeasured at fair
    
    fvoarluteheascuatrrtehnetapceqruioisdi.tiIonnrdeastpee,catnodfthaneydioftfheerernccoembpertewheeennsitvhee ifnacirovmaeluaettarnibdutthaeblceatrorytihneg eaqmuoituyntinitserreecsot ginnitsheed aacsqiunivreesetmheelndt pinricoormtoe
    
    tahseseatcoqruilsiaitbioilnitydabtye,thoethaecrqcuoimrepere(ih.ee.nstoivbeeintrcaonmsfeerirseadctcoouinnvteedstmfoernotnintchoemseamate tahcecoacuqnutiinsgititorneadtmateen, texascedpitrefcotr dthisepocshaalnogfesrealreivsianngt
    
    tfrraonmsferrer-emdetaosuinrvinegstmneetntaisnsceotsmoerinnethtelipaebriiloitdieosf othfedaecfqinueisditiboenndefaitte.plan using the equity method attributable to the acquiree) is
    
    6. Preparation of consolidated financial statements
    
    T(1h)eBsacsoispefoorfpcrionncsioplliedoatfiodneteorfmthineincgonthseolsidcoatpeedoffincaonncsioallidsatatetedmfiennatnsciisaldsettaetremmiennetds on the basis of control. The term “control”irnevfeerssteteo atnhde tfhaectabthialittythteo Cusoemitpsapnyowhearsopvoewr ethreoivnevresthteeeitnoveasffteeectatnhde aismeonutnittleodf tthoovsearriaebtulernrse. tTurhnessfcroopme oitfscionnvsoolvliedmateionnt winictlhudtheesthe CTohmepaCnoymapnadnayllwoifllitcsosnudbuscidt iraeraiesss.eAssmsuebnstidiniartyheiseavnenetnttihtyerceoanrterocllheadnbgyesthine Cacotmuaplancoyn. dition and situation causing changes in
    
    releva(2n)t Belaesmisefnotsr pinrvepoalvraetdioinn tohfethdeefcionnitsioonlidoaftecdonftirnoalnacbiaolvset.atements
    
    makiSngubosfidpiraorideusctairoencaonndsoolpidearatetidonfraonmd athree ddeacteonosnoliwdhatiecdh ftrhoemCtohme pdaantey thoabttasiuncshnceotnatsrosel tcseaanseds.thFeorefdfiescptoivsael coofnsturoblsiodfiadrieecsi,sitohne
    
    ostpaeteramtienngt raensdultcsonansodlicdaasthedflocawsshoffloswuchstastuebmsiednitasr;iefsorbedfiospreosthale odfatseubosfiddiisaprioessalduarreinpgrothpeerrleypionrctilnudgepdeirniotod,thneocaodnjsuosltimdaetnetdsihnaclolmbee
    
    umnaddeer tcoomthme oonpecnoinntgrobl,atlhaencoepeorfattihneg creosnuslotslidaantdedcabsahlaflnocwessahfeteetr. tFheoracthqousiseitsiuobnsdidaitaerhieasveacbqeueinrepdrothpreorluyghincbluusdiendesisn cthoemcboinnasotiloidnanteodt
    
    binaclaonmcee sstahteeemt eanntds atnhde ccoonmsoplairdaattievde ccaosnhsoflloidwatsetdatefmineanntcsi.alNostaatdejmusetnmtsenatms sohuanltl.bFeomr atdheosteo tshuebsoipdeianriinegs baaclqaunicreedofththroeucgohnsboulisdinateesds
    
    ccoomnsboilnidaatitoionns udnadteeracroemamlsoonpcroensetrnotle,dthien otpheeractionngsorleisdualttesdanindcocmaseh sfltoatwems efrnotmanthde tbheegicnonnisnogliodfattehde ccaosnhsoflliodwatiosntatpeemrieondtst.oTthhee
    
    compTahraetifvineaanmcioaulnsttsatpermeseenntsteodfitnhethseucbosnidsioalriideasteadrefiandajnucsitaeldsitnataecmceonrdtsanacree awlsitohatdhjeusatcecdouacnctionrgdipnoglliyc.ies and accounting period of the
    
    iCnocmonpsainstyenitnbtehtewpereenptahreatCioonmopfatnhyeacnodntshoelidsuabtesdidfiianraiensc.iFalorstaacteqmuiesnittiso,nwohfesruebtshideiaarciceosuanrtiisninggpforloimciems earngderthoef eancctiotiuenstninogt upnedrieordssamaree
    
    accoqnutriosilt,iothnedfaitnea.ncial statements of the subsidiaries will be adjusted according to the fair value of the identifiable net assets at the
    
    TAhlleinshtraar-echoomldpearnsy’ seiqguniitfyicaanndt bthaleanpcoersti,otnraonfsatchteiopnrsoafintdournlroesaslifsoerd tphreofpiterairoedeolifmtihneatseudbisnidtihaericeosntshoaltidaarteednofitnaatntrciibaul tsatbalteemtoenthtse.Cproomfipt aonfymairneoprirteyseinntteerdesutnrdeesrpsehcatirveehloyl.dTerhse’ peqourtiitoynaonfdnneettpprrooffiittoinr ltohsescoofnssuoblisdiadtieadrifeisnafonrcitahlesptaetreimodenattstraibsumtaibnloerittoyminitneoreristtys ianntderneesttitos pthreesemnitneodriitnythsheacroehnosoldliedrasteodf ianscuobmseidsitaartyemexecneteudnsdtehrethmein“oprriotfyitsohrarleohssolodfemrs’inpoorrittyioinntoefrethste”.oWpehneinngthbealaamncoeunotfoofwlonsesrsa’tteriqbuuittaybolefthe suFbosridthiaerylo, sthseoefxccoenstsroaml oovuenrt ashsaulbl sbiediaalrlyocdauteedtaogdaiisnpsot smalinoofriatypionrtteiroensto. f the equity investment or other reasons, the remaining
    
    equity is measured at fair value on the date when the control is lost. The difference arising from the sum of consideration received for
    
    cdaislcpuolsaatledofcoenqtuinituyouinstleyressint caendthethpeurfcahirasvealduaeteobfarseemdaoinninthge esqhuairteyhoinldteinregstpeorvceernttahgee sbheafroereofdinspeot saaslsaertse roefcothgenifsoerdmaesr insuvbessitdmiaernyt
    
    iancccoomuneteidn ftohreonpetrhioedsawmheeanccthoeunctionngtrtorleaitsmleonstt.asOdthireerctcodmispporeshalenosfivreeleivnacnotmaessreetloatreldiabtoilietyqubiytythienvaecsqtmuierenet aint ththeetismuebswidhieanrythies
    
    lcioanbtirliotlieiss olofstde(fi.ien.edto bbeenetfriatnspflearnredoftothienvseusbtmsideniatryincuosmineg, ethxeceepqtufiotyr tmheetchhoadn).geTshaerisreinmgaifnroinmg reeq-umiteyasuinrtienrgesntset aarsesemtseaosrurneedt
    
    sSutabnsedqaurdenftolyr BacucsoinrdesinsgEtnote“rAprcicseosunNtion.g2S2ta–ndRaercdogfonritBiounsiannedssMEenatseurprerimseesntNoof. F2in–anLcoinagl -ItnesrmtruEmqeunittsy”.InSveeestNmoetnetsV”. o1r4““ALcocnogu-ntteirnmg
    
    equityWihnevnestthmeeCntosm” opranNyotdeisVp.o1se0s“oFfineaqnuciitayl iinnsvterustmmeenntts”infoar dsuebtasiildsi.ary by a stage-up approach with several transactions until the
    
    acosnutrboslidoivaeryr tuhnetsilubthseidicaornytrioslloosvt,erit tshhealsludbestiedrimariyneiswlhoestthebreltohnesgetsoev“etrraanl straacntisoancstioinnsareblaastekdett”o. tUhesudailslpyo, stahleosef esqeuvietryalintvraenstsmacetniot nins
    
    arenldateedcotnootmheicdiimsppoascatlsooffetqhueistey sinevveersatml ternatnsinacatiosunbssmideiaertythaerefoalclcoowuinntgedonfoeroars mtraonresaccotinodnistioinnsa: b①asktehtewsehetrnanthsaectteiormnss,acreonednitteiorends
    
    rinestoulatst;th③e sathmeeotcimcuerroernacfeteorfcaotnrsaindsearcintigonthdeeirpeimndpsacotns aotnleeaascththoethoecr;cu②rrenthceesoeftarannostahcetriotrnasnasascatiwonh;ol④e caann rienadcihvidcoumalptlreatnesabcutsiionnesiss
    
    neaocthdeoefmwedhiacshecaorenoamccico,ubnutetdis fdoereminedacacsoercdoannocemiwciwthheanppcloincasibdleererdulwesithinot“hpearrttiraalnsdaicstpioonsasl. Ioffthleoynga-rteernmot etrqaunistayctiinovnessitnmaenbtasokfeta,
    
    stoubpsaidrtiiaarlydwisipthoosault loofsienqguictoynitnrovleostvmerenatsourbsoitdhiearryr”ea(sseoensN”o(tseeVe .th1e4 p(2re)c④edi)nsgeppaarraatgerlyap, ha)n.dW“thheencosenvtreorlalovtrearnasascutbiosnidsiarreylaitsedlostot dtuhee
    
    wdihspicohsails oafcceoquunittyedinfovresatsmdeinstpoinsaal osufbasisduibasriydiuanrytilwthiteh caotnratrnoslaoctvieorntuhnetislutbhseidcioanrytroisl olovsetrbaelsounbgsidtoiatrryanissalcotsito;nhsoiwneavebra,stkheet,deifafcehreonft
    
    bsheatwllebeen rtehceoagmnioseudntaosfodthiseprocsoaml pprrieohretnositvhee ilnocsosmofe cinonctoronlsoanliddattheed nfeintaanscsieatls sotaftaemsuebnstsidaianrdytarattnrisbfeurtraebdletotoptrhoefitdiosrpolossasl iantvtehsetmtimenet
    
    when the control is lost.
    
    7. Classification of joint arrangements and accounting treatment for joint ventures
    
    and oAbljiogiantitoanrsraunngdeemreantjorienfterasrrtaonagnemarernant,gtehmeeCnotmofptawnyo oclramssoifrieespajortiinetsahrarvanegjeominetnctosnitnrotol.: Ijnoianctcvoerndtaunrcees wanitdhjtohientCoopmerpaatnioyn’ss.rJigohintst
    
    Joopienrtavtieonntsurreesferreftoeratojoainjot ianrtraanrrgaenmgeemntednut rdiunrginwghwichhicthhethCeoCmopmapnayniys oennltyitliesdentotitrleeldevtoannteatsassestestsanodf tohbisligarartaionngsemofentht.is arrangement.
    
    policTiehseasCsoemt opuatnyintNreoattes Vin.v1e4st(m2)en②ts “ilnonjogi-ntetrmveneqtuurietys ibnyveusstimngentthsebyequusiitnygmeqeuthitoydmoefthaocdcooufnaticncgouinntiancgc”o.rdance with accounting
    
    assetsThheelCdoamndpaonbylisghaatilol,nassaassjuominetdvejonitnutrley, rbeycothgeniCseomthpeaansyseitns hapelpdroapnrdiaotibolnigtaotiothnes sahssauremoefdtshoeleClyombypathnye;Croecmopgannisye, arnevderneuceogfnroisme
    
    doipseproastiaolnosfinthaepsphraorperioaftijooninttoothpeersahtiaornesoof fthteheCComompapnayn.y; recognise fees solely occurred by Company and recognise fees from joint
    
    purchWasheeansstheetsCfroommpjaoniyn,t aospearajotiionntsv,etnhteuCreo, minpvaensytssohralsleollnslyasrseectosg(nthiseeatshseetpsadrtooesf pnrootfictoonrstliotusttefraombutshinisestrsa,ntshaectsiaomneatbtreilbouwta)btloe otor
    
    olotshseropf aarstsieest aosf sjoeitnotuotpienra“tAiocncsobuenftoinrge tShteasnedaarsdseftosraBreussoinldestsoEthnetetrhpirridsepsaNrtyo.. I8f –thAe soscectuIrmrepnaciermoefntth”e,steheasCseotms mpaeneyt tshhealilmrpecaoirgmneisnet
    
    tahcecofrudllinagmtooutnhteoCfotmhipsalnoys’ssisnhraerleatoifoncotmo mthietmCeonmt pinanreylaintivoensttos itnheoCr osemllpsaansyseptusrtcohajoseinatsoseptesrafrtioomnsj;otihnet oCpoemraptiaonnys.recognise the loss
    
    8. Standards for recognising cash and cash equivalents
    
    (normCaalslyh afanldl cdausehweqituhiivnaltehnrteseomf tohnethCsofmropmanythiencdlautdeeocfasahcqounishitainodn,) daenpdoshiitgshrleyadliilqyuiadvaiinlvabesletmfoerntpsayhmeledntthpeurCpoomsepaannyd swhhoirct-htearmre
    
    readily convertible into known amount of cash and which are subject to insignificant risk of value change.
    
    9. Foreign currency operations and translation of statements denominated in foreign currency
    
    T(1h)eBfaosriesigfonrcturarnresnlactyiotnraonfsfaocrteioignns coufrtrheencCyotmrapnasnacyt,iownhsen initially recognised, are translated into the functional currency at theCprheivnaailoinngthsaptodt aetxecihnanggeneerraatleaonndtthheedsaatme eofheerxecihnaanftgeer,, iw.eh.itlheethmeifdodrleeigpnriccuerorefnRcMy eBxcehxacnhganegoepreartaetipounbslaisnhdetdrabnysathcteioPnesoipnlec’osnBnaencktioonfwith (f2o)reBigansicsufrorrentrcaynselxactihoannogfe fsohraelilgbnecturarrnesnlcaytedmionntoetathrye fituenmctsioannadlfcourreriegnnccyuartrethnecyexncohna-nmgoenreattaeryacittuemallsy adopted.
    
    date.OAnllthdeiffbearleannccees sahreeetindcaluted,efdorienigtnhecuprrroefnitcyormloosnsetianrythietempesrisohda,llexbceetprtanfoslra:te①d atthtehedisfpfeortenexcecshaanrgiseinrgatefroomn tfhoerebiaglnanccuerrsehneceyt
    
    abcocrroorwdiinnggstorethlaetepdrintocipthlee oafcqcuapisiittailoinsatoior nc;oannsdtru②ctioenxcohfanfigxeeddifafsesreetnscethaartisairneg qfuroamlificehdanfogre cinapbitaallainsacteioonf wcairlrlybinegaacmcoouunnttedothfoerr
    
    than aEmxcohrtainsegde cdoifsfteorefnacveasilaarbisleinfgorfrsoamle cfohraeniggen imnoenxecthaaryngiteemrastewwilhlebree itnhcelupdreepdairnatoiothneor fcocomnpsroelhideantseidvefiinnacnocmiael. statements relates to
    
    finotroei“gonthoeprecraotmiopnrsehaenndsifvoereiingcnocmuer”re;ndciyspmosoanleotfarfyorieteigmnsompeartaetriioanllsyschoanllstbiteuitnecnluedt eindviensttompernotfiitns faonrdeilgonssoepseornatidoisnpsosshaallilnbtehereccuorrrdeendt
    
    perioTd.he foreign currency non-monetary items measured at historical cost shall still be measured by the functional currency
    
    ttrraannssllaatteedd aatt tthheessppootteexxcchhaannggeerartaeteononthtehedadteatoef othf edtertaenrmsaicntaiotino.nFoorfetihgen cfauirrrevnaclyuen.oTnh-me odniefftearreynicteembsetmweeaesnurtehde aatmfaoiurnvtsaluoef athree
    
    frautnecst)ioannadl rceucrorgennicsyedbeinfoprreofaintdoraflotesrs tfhoer tthraenpselartiioodnowr irlelcboegntriseeadteadsaosthcehracnogmesprinehfeanirsivvaeluineco(imncel.uding changes in foreign exchange
    
    (E3x)cBhaansigsefodriftfrearnesnlcaetisoanriosfinfogrferiogmn ccuhrarnengceyinfienxacnhcaianlgsetartaetme ewnhtsere the preparation of consolidated financial statements relates toifnotroeig“nothoeprercaotimonpsreahnednsfiovreeiignncocmurere”nucnydmeron“etrtaanryslaitteiomns rmesaetrevreia”l;lydicsopnosstaitlutoef nfeotreinigvnesotmpeernattiionnsfosrheiaglln boepeinractliuodnesdshinatlol bperorefictosradneddlosseTs hoen fdiinsapnocsiaallisntathteemceunrrtsendtepneormioidn.ated in foreign currency of a foreign operation are translated to RMB in compliance with the
    
    fsohleleotwdiantge;roeqwunierer’mseenqtus:ityasisteetms sanexdcleipabt ifloitrie“sreotaninthede pbraolafintc”earsehetreatnasrleatterdanastltahteedspaot ttheexcshpaontgeexrcahteansgaet trhaetedpatreesvaoinlinwghiacththsuecbhailtaenmces
    
    raertoasien;edincporomfeit abnrdouegxhptenfosrews airtedmasreinretphoertiendcoamt ethsetaptermioernyteaarre’strcalnossliantgedbaaltatnhcee;spthoet erxetcahiannegdeprraotfeitaat sthaet dthaeteeonfdtroafnsthaectiyoena.rTahree
    
    epqreusietynteitdemafstearretrarnescloagtendistehde apsro“ftirtaanpslpartoiopnriadtiioffnerietnemcess; adriifsfienrgenocens tbheetwtreaennslathtieonagogfrefgiantaencoifalasssteatteamndenltisabdielintyomitienmatsedanidnofworneeirgsn’
    
    cthuerrternacniselsa”tioinnootfhefrincaonmciparleshteantesmiveenitnscdoemneo.mOinnadteisdpionsafloorefigfonreciugrnreonpceierastiroenlasteadndtolotshseodfiscpoonstreodl,foexrecihganngoepedriaftfieornesncweshiacrhishinags fbreoemn
    
    iwnhcilcuhdetdheindioswponsearls’toeoqkuiptylacine.the balance sheet, shall be transferred to profit or loss in whole or in proportionate share in the period in
    
    EffecCtsaashrisfilnogwfdroommicnhaatendgeisnofof reexicghnacnugrerernacteyoofrcfaroshmsfhoarlel ibgenpsruebsseindtieadriesespsahraaltleblye itnratnhselactaesdhaftlothwe sstpaotetmexecnhtsa.nge rate when it incurs.
    
    OThnedoipsepnoisnagl boaflathneceeanntidrethoewpnrieorrs’yeeaqru’sityfigiunreas faorreepigrneseonpteerdataicocnorodfinthgetoCtohme tpraannysl,aoterduapmoonuantsloosfs thoef pcroinotrroyleaorv. er a foreignotrpaenrsaltaitoionndoufeftionadnicsipaolssatlatoefmceenrttsaionf ethqiusitfyorienivgenstompeernattioornoatthtreirburetaabsolensto, tohwe nCeorsm’ peaqnuyitytraonfspfaerresntthceoemxpcahnayngperedsiefnfeterednucnesdearrioswinngerosn’equityInincathsee boaf lpanarcteiaslhdeiestp, otosaplrooffiteqour iltoyssinivnetshtempeenrtioodr ionthwehrircehatshoendtihsaptorseaslutlotoiknprleadcuec. tion in shareholding in a foreign operation
    
    bweithaotturitbluotsaibnlgectoontmroinl oorvietyr iitn, ttehreesptrsopaonrdtiownialltensohtarreecoofgenxiscehdanignepdriofffeitreonrcelossasr.isFinogr fpraormtiatlhdeitsrpaonssalalstioonf oefqufiintyanicnitaelrsetsattseminenfotsrewigilnl
    
    foipnearnactiiaolnsstawtehmicehnatsreofasfsooreciigatnesopoerrjaotiionnt sveisnrtuecrelas,sstihfeiepdrtoopporrotifoint aotreloshssa.re of the exchange differences arising from the translation of
    
    10. Financial instruments
    
    instruFmineanntcciaolntarasscet.t Foirnafnincaianlcaiaslseltisabainlidtyfinwainllcibale liraebcioligtineisseadrewinhietnialtlhyereCcoogmnpisaendy abtefcaairmvealounee, eoxfcetphtefopraretqieusityunidnestrruamfeinntasntchiaatl
    
    aCroemnpoatnqyuodtoeeds innoatnhaavcetivceonmtraorlk,ejto, itnhtecfoanirtrvoal loure soifgnwifhiiccahntcainnfnloutenbcee,realniadbldyebmtefaisnuarnecdinagndinostvreurmreenletsvasnutbisnevqeusetneetlsy omf ewahsuicrhedthaet
    
    achmaonrgtiessedarceocstaruriseindgththroeuegfhfepcrtiovfeit ionrtelroessst,mreeltehvoadn.tFtorarnfsiancatniocnialcoasstssetasreanddirfeicntalyncrieacl olgianbiisleitdieisnmperoasfiutreodr alotsfsaifrorvatlhuee paenrdiowd.hFooser
    
    rfeincaongcniiasleads.sets and financial liabilities classified as other categories, relevant transaction costs are included in the amount initially
    
    (T1h)eDfeatierrvmailnuaetiroenfeorfs ftaoirthvealpureiscefotrhfaitnwaniclliableasresectesivaendd wfinhaenncsiaelllliinagbialintieassset or the price to be paid to transfer a liability in anovardlueerlyistrdaentsearcmtiionnedbebtawseedenomn atrhkeetqupoatretidcipparinctes ionn stuhcehdmataerkoeft.mAeansuarcetmiveentm. aFrikneatncreiafel risnsttoruwmheenrtes perxiicsitngin iasneaascitliyveanmdarrkeegtu. lFaraliyrmobatrakineet dtrfarnosmacteixocnhathnagtesta, kbersokpelrasc,eininduastrfiaailr odregaaln. iWsathiiolnesfiannadncpiraicl einfsixtriunmg esnetrsvidcoe onrogtaenxisiasttioinnsa,nreapcrteisveentminagrktehte, athcetufaalirprvicaeluoef iasrdeecteenrmt minaerdkeutsitnragnvsaaclutiaotniosnentetecrhendiqiunetos.bVyabluoathtiowniltleincghnpoalrotgieise,srienfcelruedneceretofeprernesceenttofabier vfaamluielisaor fwsiitmh islaitruoattihoenr afinndanpcriiaclesinrsetraucmheedntisn,cash (f2lo)wCldaisssciofiucnattiinogn,mreecthoogdniatinodnoapntdiomn eparsicuirnegmmenotdoeflsf.inancial assets
    
    classiCfioendvienntotiolonaanllsyantrdadaecdcofuinntasnrceiacleivasasbeltes, asvhaailllabblee-rfeocr-osganleisfeidnaanncdialdaesrseectosgannidseodthaetrsthfoer tirnaidtiianlgredcaotgen. itFioinna.ncial assets shall be
    
    ①TheLyoaarnesnaonnd-dreercieviavtaivbelefsinancial assets with fixed or determinable payments that are not quoted in an active market. Financiallaosasentss,anindcrluecdeinivgabbillelss breyctehievaCbolem, paacncoyu. nts receivable, interest receivable, dividends receivable and other receivables are classified as
    
    Loans and receivables are measured subsequently at the amortised cost by using the effective interest rate method. Gains orlosses incurred at the time of derecognition, impairment or amortisation are charged to profit or loss in the current period.
    
    A②vaAilvabalilea-bfoler--fsoarle-safilneafnincaianlciaaslseatsssertespresent equity instruments over relevant investees of which the Company does not havecontrAolv, ajoilianbtlceo-fnotrr-oslaoler sfiignnainfciciaalntaisnsfeltusenacree. subsequently measured at fair value. The gain or loss on change in fair value arefreincaongcniiasleadssaestsoathnedr acmoomrptirseehdencosisvtewihniccohmaere, eaxcccoeputntfeodr fiomrpthairromugenhtplroosfsitaonrdloesxscfhoarntghee dciufrfreernent cpeesrioardi.siTnhgeffrionmancfoiarleiagsnsemtsownieltlabryeterqaunistfyerirnevdesotumteonft tohfewfihniacnhctihael aCsosemtspaonnyddeoreecsongontithioavneacnodnatrcoclo,ujonitnedt cfoonrttrhorloourgshigpnriofficitaonrt ilnofslsuefonrceth, enoctuqrrueonttedpeirnioadn. aHcotiwveevmera,rkfoertand thInetefareirstvsarleuceeoivfewdhfircohmcaanvnaoiltabbleem-foera-ssuarleedfirnealinacbilayl,atshseeitrsfahierldvaalnudesthaerecsausbhsdeiqvuiednetnldysmdeeacsluarreedd batyctohset.investee are recognised as
    
    inves(t3m)eInmt pinacirommeen.t of financial assets
    
    thereTisheobCjeocmtipvaeneyvirdeevniecwe sthtahteficnaarnryciianlgaassmeotsuanrteoifmfpinaairnecdi.al assets on each balance sheet date and provides for impairment where
    
    assetFthoartaisfinnoant ciniadlivasidseutaltlhyatsiigsniinfdiciavnidt,utahlleyCsiogmnipfaicnaynat,sstheessCtohme apsasneyt iansdseivsisdeusatlhlye afossreitminpdaiivrmideunatlloyrfionrcliumdpeatihrme eansts.eFt oinr aa fgirnoaunpcioafl
    
    ofibnjaencctiivael aesvsiedtesnwceithofsiimmiplaairrmcreendtitexriisskts cfhoarraacnteirnisdtiivcsiduanaldlycoalslseecstsivedelyfinaasnsecsiasl thasesmet,fowrhiemthpearirtmheenfti.naIfnciitalisadsseetet rims inineddivtihdautalnloy
    
    saisgsnesifsiecdanftoor rimnopta,itrhmeefnitn.aFnicniaanl caisasleat sisseitnscflourdewdhiinchaagnroiumppaoifrmfineanntclioaslsaissseintsdiwviitdhuasilmlyilraercocgrendisitedrisakrechnaortaicntecrluisdtiecds ianndthceoclloelcleticvteivlye
    
    assessment for impairment.
    
    T①heImcapraryirimngenatmoofulonatnosfafnidnarneccieailvaabslseests measured as costs or amortised costs are subsequently reduced to the present valuefdoisrctohuenpteedriofdro.mAfittesrprerocjoegcnteitdiofnutoufrethceaismhpfaloirwm.eTnht elorsesdfurcoemd faimnaonucniatlisasrseectos,ginfistheedreasisimobpjaeicrtmiveentevloidsesnacnedshreocwoirndgedreacsopvreoryfitinorvalolusesorefcsougcnhisfeidnasnhcailallbaesrseevtserismedpatioretdheanexdtewnhtitchhatisthreelcaaterrdyitnogaanmyoeuvnetnot fotchceurfriinnagncaifatlerasssuecths urepcoongrneivtieornsa, lthweililmnpoatiermxceenetdlothses aomrigoirntiaslelydcost as at the reversal date assuming there is no provision for impairment.
    
    I②n thIme peaviernmtetnhtaot fdaevcaliinlaebilne-ffoairr-svaalelufeinoafncthiael aasvsaeitlsable-for-sale equity instrument or fair value of the interest in the investee’siidnednictaiftieasbltehantetthearseseitss iims preagiramrdeendt laosss“soefvtehree adveacillianbel”e-ofror“-nsaolne-teeqmupitoyrainrystrduemcleinnte.”Inonpathrteicbualasris, “osfevcoermepdreechleinnesi”vererfeelrastetod dfeaccltionres,oiftcoovnertin2u0o%usindesucrcehasfainirgvpaelruieo.d“iNs odne-tetermmpinoerdaroyndtehcelibnaes”isreofferthsetodrsoupchoffasiurcvhalfuaeirdveaclureeaasecdcucmonutliantuedouosvlyerf1o0r%m.ore than 12 months. ThearisinWg hfreonmthteheavdaeiclarebalese-foinr-fsaailrevfainluaencwiaalsatsrsaentssfeimrrepdaior,utthaenadccinucmluudlaetdedinlothses oprriogfiint aolrlyloisnsclfuodretdheinpethrieoodt.hTehr ecoamccpurmehuelnasteivdeloinscsotmhaetctruarnrsefnetrrfeadir ovualtuies athned tbhaelainmcpeaoirfmtehnetilnoistisaol raicgqinuaislliytioinnclcuodsetdoifnatshseetp, raofftietrodreldoussc.tion of the principal recovered, amortised amounts,impaAirefdteranrdecwoghnicithioins oreflathteed itmopaanirymeevnetnltoossc,cuifrritnhgereaftiesrosbujcehctirveecoegvniidteionnceinshsouwbsienqguerenctopveerriyodisn, tvhaeluiemopfaisrmucehntfilnoasnscoiarilgainssaelltyscreocmopgrneihseednssihvaellinbceomreev,earsnedd.thTehiemipmapiramiremnet nlot slsosrsevreervsearlsaolf othf ethaevaaivlaabillaeb-lfeo-rf-osra-lsealdeebetquinitsytruinmsternutmweniltl wbeillinbcelurdeecdoginnitsheed parsofoitthoerrloss fWorhtehne apnereioqdu.ity investment that is not quoted in an active market and the fair value of which cannot be measured reliably, or the
    
    iimnsptrauirmmeennt,t thloesns itowf iall dneortivbaetriveveefrisneadn.cial asset linked to the equity instrument that shall be settled by delivery of that equity
    
    F(4i)naRneccioalgnasitsieotnthanatdsmateisafsiuerdemaneyntooffthtreanfosflleorws oinfgficnraintecriiaal sahsasellt be derecognised: ① the contract right to receive the cash flowsoowf ntheershfiinpanocfiathl easfsinetanhcaiasl taesrmseitn, ahteads; b②eenthteranfisnfearnrceidaltoasstheet, tarlaonnsgferweeit;hansudbs③tantthiaellyfinaalnl ctihael arsissket ahnads rbeetuenrn traarnissifnegrrefdromto tthheetrriasknsafnedreree,taunrnd athriesitnrganfsrfoemrotrhheaoswgniveersnhuipp othfethceofnitnraonlcoinalsauscshetf.inancial asset, though it does not assign maintain substantially all thefinanWciahleansstehteaenndtidtyoedsoneost ngoivt eeiutphetrheascsoignntroolromn asiuncthainfinsaunbcsitaalnatisaslelyt, atoll ththeeexritsekntaonfditrsetcuornntianruisoiunsginfrvoomlvethmeenotwinnetrhsehifpinoafnctihaeleasxsteetn,ttthoewenhtiicthy trheecoegnntiitsyesexspuochsefsintoancchiaanl gaessseitnatnhde tvhaelureeloefvasnutchliafibnialintyciaaclcaosrsdeitns.gly. The extent of the continuous involvement is thefinanIcfiaalllascsreittsertiraanosfferrerceodgannitdiotnheofsutmranosffetrheofcofninsaidnecriaatlioanssreetsceaivreedsaftriosmfietdh,ethtreandsiffeferraenndcethbeetawcceeunmuthlaetecdarcrhyainnggeasminoufnatirovfaltuheeoriginIfalalypianrct loufdtehdeinfinoathnecriacloamssperteshiesnqsuivaeliifniecdomfoer sdhearlelcboegnreitcioognn, itsheedcianrrtyheinpgroamfitoournltoosfs tfhoer fthineapnecriiaolda.sset is allocated between the
    
    pdiafrftetrheantcecobnettiwnueeesnttohebeforlelocowginnigseadmaonudnttsheispraerctotghnaitsqeduailnifpiersoffiotrodrelroescsofgonrittihoen,pebraisoedd: othnetshuemfaoirf vthaeluceosnosfidtehreatrieosnperecctievievepdaratns.dTthhee
    
    carryFinogr afimnaonucnitaol fasthseetspatrhtatthaarteqsuoalldifoierstfroanr sdfeerrerceodgwniittihonreacnodurtsheeoarfoernedmoresnetmioennetd, tchaerrCyionmgpaamnoyunnet.eds to determine whether the risk
    
    and rewards of ownership of the financial asset have been substantially transferred. If the risk and rewards of ownership of the
    
    tfhineanficniaanl caisasletashsaevtehbaeveenbseuebnstraentatiianlelyd,trtahnesffeinrraendc,iathl easfsineatsncsihaallal snsoettsbsehadlelrbeecodgenriesceodg.nIifsethde. ICf othmepraisnkyanneditrheewr atrrdanssofferoswnnoerrsrheitpainosf
    
    sfiunbasntacniatliaalslysetalils trheetairnisekds, aanndd trheewfainrdasncoifaloawssneetrsshshipallofbethaeccfoinuannticniaglfaosrsaect,cothrdeinCgotmoptahneyabsohvalel paasrsaegsrsapwhhse.ther the control over the
    
    (F5in) aCnlcaisaslifliicaabtiiloitnieasnadremcelaassusrifeimedenatt oinfiftiinalanrecciaolglniaitbioilnit:iefsinancial liabilities recognised at fair value with changes carried throughtphreofciut rorrenlotspsearinodd,ortheleervfainntantrcainaslalciatiboinlitcieoss.tsFaorrefidniarencctilayl rleiacboiglintiiesesdmienapsurorefidt oart floaisrsvfaolrutehewpitehricohda.nTghees raemcoogunnitsiesdreincopgrnoifsiet dorinloitsiaslolyfraetlfeaviarnvtalturaenasnacdtitohne scuobsstseqaureenitncchluadnegdesinintfhaeiravmalouuenwt iilnlitbiealrlyecroegcnoigsendiseind parnodfitsuobr sleoqssuefnotrlythempeearsiuorde.dFaotr aomthoerrtifsiendanccoiaslt luiasbinilgititehse,effec(ti6v)eDinetreerceosgtnmiteiothnoodf, afinndanreclieavl alinatbgilaiitniesor loss arising from derecognition or amortisation are included in current profit or loss.
    
    agreeFmineanntciisalenlitaebreilditibeestwareeendetrheecoCgonmisepdaniyn (fduelbl toorr)inanpdarat corneldyitworheton rtehpelapcreestehnet oorbigliignaatliofninaisncdiiaslchliaarbgielidtieins wfuiltlhonreiwn fpianratn. cAianl
    
    lliiaabbiilliittiieess. with substantially different terms, derecognise the original financial liabilities as well as recognise the new financial
    
    liabilWitiehsendefriencaongcniaisleldiaabnildititehse caorensdideereractoigonnispeadidin(infculluldoinrgintrapnasrfte, rrthede ndoifnf-ecraesnhceasbseettws eoernnethwe fcinaarrnyciinagl liaambioluitnyt) oisf rtehceogfninisaendciianl
    
    profit(7o)rOlofsfsseftoor fthFeincaunrrceianlt Apesrsieotds.and Financial Liabilities
    
    enforIcfeathbeleCcoumrrepnatnlyy, oawndnsthteheColemgpitaimnyatpelarnigshttos roefaloisfefstehtteinfginathneciarel caosgsentisseodr ftoinacnlecairaloaffsstehtes fainnadncfiinalanlicaibailliltiiaebsiloitnieas,nwethaicmhouanret
    
    bfiansainscoiralsaimssuelttsananeodufsinlya,ntchiealfliinaabnicliitaiel sasasreetspraensdenftiendansceipaalrlaitaebliyliitnietshsehbaalllabneceresphoeretetdwiinthtohuet boaflfasnetcteinsgh.eet upon offsetting. Otherwise,
    
    (E8q)uEitqyuiintystirnusmtreunmtsenartse any contract that evidences a residual interest in the assets of an entity after deducting all of its liabilities.mThoeveimsseunatnicnee(qiunictlyu.dTinhge Creofminpananciyngd)o,esrenpoutrcrehcaosge,nissaeletheormcoavnecmelelnattioinnfaoifr veaqluuietyofinesqturuitmyeinntsstrubmy etnhtes. CToramnpsaacntyioinscaocsctsourenltaetdedfotorequityVatrraionusascdtiiostnrsibaurteiodnesdu(ecxtecdlufdrionmg deqivuiidtyen. ds) made by the Company to holders of equity instruments reduces owners’ equity. The
    
    Company does not recognise the movement in fair value of equity instruments.
    
    11. Accounts receivable
    
    (1) Making bad debt provision individually for individually significant accounts receivable
    
    Jaumdogumnetntbasisoramountstandardforindividuallysignificant  iAncdcivoiudnutaslrlyecseiigvnaibfilceaonftmacocroeutnhtasnreRcMeivBa1blmeibllyiotnheisCroemcopganniyse.das
                                                FCoormpaacncoyunatsssesresecseivsaubclheathccaotuinstsinrdeicveiidvuaabllleyisnidginviifdicuaanllty,tfhoer
                                                iimmppaaiirrmmeenntt.exIfististfiosrdaenteinrmdiivniedduatlhlyatasnsoessoebdjefcitniavnecieavliadsesnecte,thoef
    Mindeitvhiodduafollrymsiagkniinfgicbaandtadcecbotupnrtosvriescioeinvianbdleividuallyfor        sfiinmainlacrialcraesdsiettriisskincchlaurdaecdteriinstiacsgraonudpcoofllefcintiavnecliyalaasssesesstsedwfiothr
                                                iimndpiaviirdmuaelnlty.Arecccoogunnistsedreacreeivnaobtleinfoclruwdehdichinaangimropuapirmofenactcloosusntiss
                                                raescseeisvseadblfeowriimthpsaiimrmileanrtc.reditriskcharacteristicsandcollectively
    
    
    r(2is)kMchakarinagctberaidstdicesbt provision for accounts receivable collectively assessed for impairment based on credit
    
                    Name ofgroups                          Methodformakingbaddebtprovision
    Specific fundgroups                              Othermethods
    Ageing groups                                  Ageinganalysis
    
    
    Use of ageing analysis for making bad debt provision in the portfolio:
    
    √ Applicable □ Not applicable
    
                Ageing              Ratioofaccountsreceivableprovision     Ratioofotheraccountsreceivableprovision
    Within 1year(including1year)                                5.00%                         5.00%
    1-2 years                                              10.00%                        10.00%
    2-3 years                                              20.00%                        20.00%
    Over 3years                                           100.00%                       100.00%
    
    
    Using percentage of balance for making bad debt provision in the portfolio:
    
    □ Applicable √ Not applicable
    
    Using other methods for making bad debt provision in the portfolio:
    
    □ Applicable √ Not applicable
    
    (3) Accounts receivable individually insignificant but assessed individually for impairment
    
    12. Inventories
    
    Whether the Company needs to comply with the disclosure requirements for specific industries
    
    No
    
    I(n1v) eCnltaosrsiiefsicmatiaoinnlyofiinncvleundteorriaews materials, work in progress, goods in stock, developing products and consumable biologicalassets(2e)tcP.ricing of inventories received and dispatched
    
    and oItnhveernctoosrtise.sWarheenmueasesudraenddadt itshpeaitrchacetdu,ailnvcoensttowriheesnwoilbltbaienceadl.cuCloastetdofwaitnh iwnveiegnhtoterdy acvoenrsaigstesmoeftphuordc.hase costs, processing costs
    
    develTohpeingdepvreolodupcintsg ipnrcoludduectsproecfolnasntdrucdteivoenlocpomstes,ntexcpoemnpdaitnuireess ufonrdearuxthileiaCryomfapcailnityiesa,reexinpietniaslelsy omnecaosunrsetrducattiocnosatn. dTihnestcaollsattsioonf,
    
    dbeovrreolowpimngenct.oOstsncientchuerriendvebnetoforirees athree dceolimveprleedti,otnheoafcttuhael csousbtjsewctillprboejedcettearmndineodthuesrinrgelsapteedcifeicxpmeenasseusredmureinntgmtehtehocdosu. rse of the
    
    assetsCwonitshuomuatbalestobciokloagreicsatlataesdseattscoresfteart tionitbiaiollroegciocganl iatisosne,tsanhdelsdu-bfoser-qsuaelentlwyhmicehasiunrceluddaet fgariorwvianlugetwimhbeenr.thCeroensisuma astbolcekb. iCohloagnigceasl
    
    binioflaoigricvaalluaesssetsshailsl tbhee rneeccoegsnsaisreydexaspepnrsoefsitdoirreclotlsys aitntritbhuetacbulerretnotspuecrhioads.seTtsheprcioosrttoofcasenlofp-pylacnltoisnugr,e,seilnfc-cluudltiinvgatbinogrrocwoninsugmcaobsltes
    
    leolisgsibfoler tfhoer ccuaprrietanltispaetriioond..Subsequent expenses such as maintenance cost incurred after canopy closure shall be included in profit or
    
    the baTthceh caovsetraogfincgonmsuemthaobdl.e biological assets shall, at the time of harvest or disposal, be carried forward at carrying amount using
    
    N(3e)tRreeacloigsanbitlieonvaolfuenertefreeraslitsoabthleevaamluoeuonft ionfvtehnetoersytimanadtepdropvriicsieoonffoinrviennvteonrtioesryleimssptahiermesetnimt ated cost incurred upon completion,eosftdimefaitneidteseavleidseenxcpee,npsuerspaonsed otafxheosldainndgltehveieisnvinendtaoirliyesoapnedraetifofenc.tTohfearfetearl-ibsaablalencvea-lsuheeeotf-dinatveenevtoernietss. shall be determined on the basisinvenAtotrythiembpaaliarmnceentshiseemt addaetew, hiennvetnhteornieets raeraeliscaabllceulvaatelude aist ltohwe elrowthearn othf eccoostst.anPdronveistiorneaslifsoarbilme pvaailrumee. nUt soufailnlyv,enptroorvyissihoanllfboerimteamdes aocfcionrvdeinntgortioest,hepraomviosuionnt bmyawy hbiechmtahdeecboassteodf oansicnagtelegoitreiems oexfcienevdesntiotsrinese.t Freoarliistaebmles ovfaliunev.eFnotorrliaersgreelqautianngtittyo aanpdrolodwucvt alilnueepthraatctiiscapbrloeduvcaeludedansdepmaraartkeeltyedfroinmthoethsearmiteemgesoignrathpahticparlodaruecat alinnde,wpirtohvtihsieonsafmore doerclsiinmeilianrveanldueuosefsinovrepnutorprioessems,awyhbiechdectaenrnmoitnebdeon anAafgtegrremgaakteinbgastihse. provision for inventory impairment, in case the factors causing inventory impairment no longer exists, and the
    
    bneatckreaanlidsainblceorvpaoluraeteodf ianntointvheenptororyfitisorhilgohsserfothratnheitcsubrroeonkt-pvearluioed, .the original provision for inventory impairment shall be transferred
    
    ((54)) LWoewi-mvapllueemceonntspuemrmabalneesnatnindvpeanctkoarygisnygstmematearsiaolusrarinevaemntoorrtyisestdowckhteankiisnsguseydsftoemr u.se.13. Assets held-for-sale
    
    princTiphaellyCothmropuagnhy ashsaalllectlraasnssifayctiaonno(nin-cculurrdeinntg aassneotno-mr doinseptoasryalagsrsoeut pexacshahneglde foofrcsoamlemiefrcitisalcsaurrbysitnagncaem, tohuentsawmiell bbeelorwec)orvaethreedr
    
    tahsasentsthoror udgishpcoosanltignruoouupssuisne,aasnimd iwlahretnraanlslaocftitohne, faolnloown-icnugrrceonntdaistisoent sorardeismpeots:aalcgcroorudpinigs taovathileabplreacfotirceimomf deidsipaotesisnagleoifnthitiss ptyrpeseeonft
    
    acnodndtihteiosna;lethies Cproombapbalneytohabsemcoamdepalerteedsowluittihoinn ionnereysepaerc.tAofdaisdpiosspaolsgarlopulpanisaandgroobutpaionfedasaseftisrmtopbuercdhisapsoesceodmomf, ibtmy esanlteforormothaebrwuyiseer;,
    
    ttroagnestahcetrioans. Wa hgeroreupgoiondwa ilslinagclqeuitrreadnsinacatiobnu,siannedss lciaobmilbitiineastiodnirehcatslybeaesnsoaclilaotceadtewd ittoh ththeoasesseatssgertosupthoart gwroilul pbsetotrwanhsifcehrraeddisinpotshael
    
    sghroaullpinbcelluodnegsthiengaococdowrdiallncaellowciatthedthteoAitc.counting Standard for Business Enterprises No. 8 - Impairment of Assets, the disposal group
    
    balanWcehsehnetehtedCatoe,miptsancyarrmyeinagsuarmesoiunnittiaisllywroirttreenmdeoawsunretos tihtsefnaoirnv-caulurreenletsasssseeltlsinagndcodsitsspoifsaitlsgcraorurypinclgasasmifoieudntasishheilgdhfeorrthsaalne iotsnftahier
    
    vparoluveisiloenssmcaodsetsfotor thseelli.mTphaeirmreednutcoefdthaemhoeuldn-tfoisr-sreacleoganssiseetsd. Wasitahssreegt airmdptaoirtmheednitsploosssalagnrdoucph,atrhgeedastsoetcimurpreanirtmpernotfiltososrrleocsosg,nwisietdh
    
    nisono-fcfuserrtebnyt atshseetcsarinryitnhge admispoousnatl ogfrothuep gwohoidcwh ilalreinapthpelicdaibslpeostaol tghreoumpeafisrusrte, arnedqutihreemn ebnyts thuendcearrrtyhiengAcacmoouunntitngofSetaacnhdaordf tfhoer
    
    tBouassin“eHsseEldn-tFeorpr-rSisaelse NStoa.n4d2ar-d”N)opnrcourrraetna.t IAfsosnetsa HsuebldseFqourenStalbea,laDnicseposshaeleGt rdoautep,stahnednDetisacmonotuinntueodf tOhpeefraaitriovnaslu(eheorfeianahfeteldr-rfeofre-rsraelde
    
    dloisspsoresacloggnroisuepdloesnstihtes cnoosnt-sctuorrseenltl ainscseretawsehsi,chthies aamppoluicnatbrleedtuocethdepmreevaisouurselmy esnhtalrlebqeuirreecmoevnetrsedo,fathned Hreevledr-sFeodr-iSnatlheeSatsasnedtairmdpaafitremr ethnet
    
    neaocnh-cnuorrne-ncturarsesnett aisssceltas(ositfhieerdtahsanheglodofdowr islal)lew. hTihceh riesvaeprspelidcaabmleoutontthise cmreedaistuedremtoecnutrrreeqnut ipreromfietnotsr olofstsh,eanHdeltdh-eFcoar-rSryailnegSatamnoduanrdt oisf
    
    iwnhcircehasheadspbreoernatoaffascectonrodrintghetoasthseetpimerpceanirtmageentolfoesascrhecnoognn-icsuerdrebnetfaosrseetth’secnaornry-cinugrraemntoausnste.tNtoeiwthheirchthtehecamrreyainsugraemmoenutntreoqfugiroeomdewnitlsl
    
    of theNHoedlde-pFreocri-aStaiolenSotranadmaordrtiissaatpiopnlicisabplreoivsidcleadssfiofireda ansonh-ecldurfroerntsaalsesecat ninbethreevneorns-ecdu.rrent assets or disposal groups held for sale.
    
    IntereWsthaenndaonthoenr-ceuxrpreennsteassastettriobrutaabdliesptoostahleglrioaubpilidtioeessonfoatdmisepeotstahlegcroounpdihtieolnd tfoorbsealcelasshsaiflilecdonastinhueeldtofobresraelec,ogthneisCedo.mpany ceases
    
    (to1)ctlhasesicfayrriyt iansghaemldofuonrt sbaelfeoorer riet mwoavsecslathsseifnieodn-acsurhreelndt afossrestaflreo,madtjhuestdedispfoorsaalngyroduepprheeclidatifoonr s(aolre,amanodrtmiseaatisounr)esoritiamtpthaiermloewnetrthoaft:
    
    would have been recognised had it not been classified as held for sale, and (2) its recoverable amount.
    
    14. Long-term equity investments
    
    contrLolonogr-tseirgmniefiqcuaintyt iinnfvleusetnmceentosvuenrdtehrethiinsvseesctetieo.nLroefnegr-tteormlonegq-tueirtmy ienqvueistytminenvteswtmitehnotustincownhtricohl tohre jCoionmt pcaonnytrhoal socronsitgronli,fijcoainntt
    
    cinhfalunegnecien ofafirthvealCuoemchpaarngyedistoacpcrooufinttoedr lfoosrs.aDs eatvaailislaobnlei-tfsoar-cscaoluenftiinnagnpcioallicaysspeltesasoer rfeinfearntcoiaNl oatseseItVs.m9e“aFsiunraendcaiatlfianisrtrvuamlueentws”it.h any
    
    arranJgoeimntenctonmtruoslt ibsethdeecCidoemdpbaynyu’nsacnoimntoraucstluyalalgyreaegmreeendt sfhroamrinpgaortfiecsonwthrool sohvaerre acnonatrrroaln.gSeimgneinfti,cawnht iicnhflrueelnecveanits atchteivpitoiweserofofsutchhe
    
    Cfoormmpualantyiontoofpasurtcichippaotleiciinestthoegeftihnearncwiaitlhaontdheor ppearratiteinsg. policy decisions of an investee, but to fail to control or joint control the
    
    (F1o)rDaeltoernmg-itneartmioneqoufiitnyviensvtmesetmntecnotsatcquired through a business combination involving enterprises under common control, theeinqiutiiatyl inuvnedsetrmtehnet ccoosntsoolfidthaeteldonfgin-atenrcmialeqsutaittyeminevnetsstmofentht eshualltlimbeattehecaobnstroorlbliinngg ppaarrttyy’sosnhathree odfattheeocfarcroyminbginaamtioounn.tTohfethdeifofwerneenrc’esabmetowuenetnotfhteheindietibatlscboosrtnoefbtyhethleoanbgs-oterrbmingeqpuairttyy isnhvaellstomffesnett aangdainthstethcaeschappiatiadl,rensoenr-vcea.sIhf tahsesectasptirtaanl srfeesrerrevde aiss iwnseullffaicsiethnet tcoaorrfyfsinetg,tinhveersetmtaeinnetdcoesatronfintghse lsohnagll-tebremaedqjuusitteydi.nvIfestthmeencot nshsiadlel rbaetiothne oafbstohrebimngerpgaerrtyi’ss sshatairsefioedf thbey ciasrsruyeinogfaemqouuitnyt osfecthueritoiewsn, etrh’es eiqnuitiitayluthnedsehratrheescisosnuseodlidasatsehdarfeincaanpciitaall,sttahteemdieffnetrseonfcethbeetuwlteimenattehecoinnittrioalllicnogstpoafrttyheonlotnhge-tdearmte oeqfuciotymibnivneastitomne.nWt ainthdtthoetatloftaaclefavcaeluvealoufethoefsshhaarllesbeissaudejudsstehda.llFboer ubsuesdinteossofcfosmetbaingaatiinosnt trheesuclatepditainl raenseervnete.rIpfritshee ucnadpeitralcoremsmerovne icsoinntsroulffbicyieanctqtuoiroinffgseetq, uthitey roeftatihneedabesaornrbininggspshaartlyl buendtreeract oams m“toranncsaocnttiroonlsthinroaugbhasakestta”g. eI-futpheayppbreolaocnhgwtoith“trsaenvsearcatliotrnasnsiancatiobnass,ktehte”s, ethterasnestarcatniosancstiwonilsl bweiljlubdegeadccwohuenttheedrftohreyatinravnessatmctieonnt isnhoalbltabieninthgecoanbtsroorlb.iInfgthpeayrtdyo’snosht abreeloonfg tthoe“tcraarnrsyainctgioanms ionunatboasfktehte”, othwenienri’tsialeqinuviteystmunednetrcothset ocfotnhseolloidnagt-etdermfineaqnuciitaylsetqauteitmyeinntvseostfmtehnet ualntidmtahtee acgognrtreoglalitnegofpatrhtey coanrrtyhiengdaatmeooufntcoomf bthineatlioonng.-tTehrme deiqffueirtyenicnevebsettmweenetnbtehfeorienimtiaelrgcionsgt oanf dthtehelocnagr-rtyeirnmgraemseoruvnet. Ithfethaedcdaiptiiotanlarlecsoernvseidiesriantisounffipcaieidntftoor offufrstehte, rthsehraerteaianceqdueisairtnioinngosnshtahlel bdeataedjoufstceodm. Obitnhaetriocnomshparellheonfsfsiveet aingcaoinmset rtheceocganpisiteadlaasvaailraebsluel-tfoorf-sthaleepfrienvainocuiasllyashseeltds ewqiullitnyoitnbveesatcmcoeunnt taecdcofourn.ted for using equity method on the date of combination or recognised forthe inFiotirala ilnovnegs-ttmeremnt ecqousittyofintvheestlmonegn-ttearcmqueiqreuditythirnovuegshtmaebnutssihnaelsls bceomthbeincaotsiot nofincvoomlvbiinngateionnteropnritshees dnaotteuonfdearcqcuoimsimtioonn. cCoonsttroolf,cFoomr bbiunsaintieosns icnocmlubdiensatthioenagregsruelgteatde ifnaiarnvaelnuteeropfriassesentostpuaniddebryctohme macoqnuicreorn,tlrioalbiblyitieascqinuciruinrrgedeqouribtyoronfe tahnedaecqquuiitryeeseucnudrietriecsoimssmueodn.“ctornatnrsoalctthiornosugihn aa bstaasgkee-tu”p. Iafptphreoyacbhelwonitgh tsoev“etrraanlstarcatniosancstiionnsa, bthaeskseet”tr,atnhseascetiotrnasnswaciltliobnes jwuidlgl ebde wachceothuenrtetdhefyorsahatlrlanbseactrtieoant ainsaocbctaoiunnintegdcfoonrturosli.ngIfctohsetymdeothnoodt bshealollngbetoth“etraagngsraecgtiaotensofinthaebcaasrkryeti”n,gthame ionuintitalofinevqeusittmyeinntvecsotsmt eonfttphreevloionugs-tleyrmheledqubiytythienvaecsqtumireenetianncdomthee wadildl intiootnbael aincvceosutnmteedntfocro.sFt.orFoprrepvrieovuisolyushlyeldheelqduietqyuiintyveasctmcoeunnttceldasfsoirfieudsiansgaevqauiliatyblem-feothr-osda,lerefilneavnacnitalotahsesretc, othmepdriefhfeernesnivceecboetmwpereenheintssifvaeirinvcaolmuee asnhdallcbarerytrianngsfaemrroeudntto, parsofwiteollr alosstshfeoracthceumcuurlraetnetdpmeroiovde.ment in fair value previously included in the otherconsuAltgaetinotnfefeeess,inacnudrreodthbery rtehleateadbsaodrbminingisptraarttiyonorexapceqnusierserafroercthhaergaecdqutoisiptiroonfitsuocrhloasss aiundtiht,elecguarrlesnetrvpiecreio, danadt tvhaelutaimtioensaunchdexpenTshees ilnocnugr-rteedrm. equity investment acquired through means other than a business combination shall be initially measured at its
    
    ccoosstt.aSctuucahllycopsatiidsbdyeptheendCeodmuppaonny,ththeeafcaqiruivraelduemoefaenqsuoitfylosencgu-rteitrimes eisqsuuietyd binyvtehsetmCeonmtsp, awnhyi,cthheisagrereceodgnviasleude boafsiendveosntmtheentpcuorncthraascet
    
    torranasgfreerermedenotu, tthoef ftahier vCaolmuepaonryo, raignidnatlhecafraryirinvgalaumeooufntloonfgt-hteermnoneq-muiotyneitnavryesatmsseent texitcshelafn.gTehteracnossatcst,iotnaxweshiacnhdthoethaesrsentecweislslabrye
    
    Fexopreandsdeistitohnaatlaerequdiitryecintlvyeastttmriebnuttambaledetointhoeradceqrutiosiotibotnaionfstihgenilfoincagn-tteirnmflueqenuciteyoinrvceosmtmmeonntscaornetraolsloovinecrluindveedstienethweitihnovuetstrmeseunlttecdositn.
    
    caonndtraodld, itthioenraelleinvvanesttcmoesnt tfocrosltondge-teterrmmineeqduiatcycoinrvdeinsgtmteon“tAshcaclolubnetinthgeSatgagnrdeagradtefoorfBfauisrinveaslsueEonfteprprerivsieosusNlyo.h2e2ld–eqRueictyoginnivteiosntmaenndt
    
    meas(u2r)emSuebnsteoqfuFeinntamnceiaasluIrnesmtreunmt eanntds”m. ethod for profit or loss recognition
    
    invesLteoenagr-etearcmcoeuqnuteitdy fionrvuessitnmgeenqtsuiwtyitmh ejtohiondt. cIonnatdrodliti(oenx,clluodnign-gtertmhoseequcitoynsintivtuetsetmjoenintst wveitnhtucroens)troolrosnigtnhiefiicnavnetstieneflaureenaccecoounnttehde
    
    for using cost method and record in the Company’s financial statements.
    
    U①ndeLrothneg-cteorsmt meqeuthitoydi,navelostnmg-etnetrsmacecqouuintyteidnvfoerstumseinngt tihsemceoasstumreedthaotdits initial investment cost. The cost for long-term equityfinovretshtemiennvtesistmaednjutsoterdthiendtehcelaerveednbt uotfnaodtdyiteitondaisltrinibvuetsetdmceansthodriivnivdeesntdmseonrtprreocfoivtserwyh. iEchxciespitncrelucdeeivdining tthhee caocntusaidlecroantisoind,eirnavtieosntmpaeindtgains for the period is recognised as the cash dividends or profits declared by the investee.
    
    U②ndeLrotnheg-eteqrumityeqmuiettyhoindv,ewsthmeerenttshaecicnoiutinatleidnvfoerstumsienngt tchoesteqoufiatylomnegt-htoedrm equity investment exceeds the investor’s interest intWhehefareir tvhaeluieniotifatlhienvinevstemsteenet’sciodsetnitsiflieasbslethnaent atshseetisnvatesthtoer’ascqinutiesriteisotnindatthee, nfoaiardvjaulsutme eonfttshheailnl vbeesmteaed’se itdoetnhteifiinabitliealnientveasstsmetesnattctohset.aincvqeusitsmitieonnt sdhaatlel,btehaedjduisffteedreanccceorsdhianlgl lyb.e charged to profit or loss for the current period, and the cost of the long-term equityof theUnnedterprtohfeitesqouritlyosmseesthaondd, iontvheesrtcmoemnpt rgeahiennasnivdeoitnhceormcoemmpardeehebnysitvhee iinncvoemsteees,hraelslpbeectrievceolyg.nMiseedanbwasheidle,onthtehceaCrroyminpganamy’osusnhtaoreflCoonmg-ptearnmy’seqsuhiatryeionfvepsrtomfietnotrschaaslhl bdeivaiddejunsdteddi.stTrihbeutceadrrbyyintgheaminovuenstteeo.f Ilnonregs-pteercmt oefqtuhietyoitnhveersmtmoevnetmsehnatllobf enertedpurocfeidt obrasloedss,onoththeericnocmlupdreedheinnstihvee cinacpoitmalereasnedrvperso.fiTthdeisCtroibmuptiaonnyosfhianllverescteoeg,ntihsee citasrrsyhianrge aomf tohuenitnovfesloteneg’-stenremt perqoufiittsy oinrvloesstsmesenbtassehdalolnbethaedfjauisrtevdalaunedsothfetheeveinnvt eosfteien’csoinnfdoirvmidituyalbseetwpaereantetlhyeidaecnctoiufinatbinlegapsoselitcsieast tahnedtiamcceooufntaicnqgupiseirtiioond,s aofftetrhme ainkvinegsteaepparnodprtihaeteCaodmjupstamnye,nttshethfeirneatnoc. iIanlsIntavteesmtmenetnst ogfatihneainndveosttheeershcaolml pbreehaednjusisvteedinincocmonefoshrmaliltybewirtehcothgeniasecdcouacnctionrgdipnoglliyc.ieIsn arnedspaeccctooufntitnhge ptrearniosadcstioofnsthbeeCtwoemenpanthye.uCnormeaplaisneyd agnadinitosralsossoscaiartiesisnagnfdrojmoinint tveernnatulrtersanisnacwtihoinchs sthhaellasbseeteslidmisinpaotseeddboyf tohrespooldrtiaorne antotrtibculatasbsilfeietdo tahseoCpeormatpioanny, .thInevsehsatmreeonftginavinessteheallisbenorteceoligmniinseadteadcctoortdhiengelxyt.eHntowtheavt etrh,eanloyssunirseaimlispeadirmloessntarliossisngoffrtohme itnratenrsnfearlrterdanassascettiso.nIsnbtehtwe eeevnentht ethCaot mthpeanCyomanpdanayndinisvpeostsmedenotfbyanthaessinevt ecsltaosrsiwfiiethdoaust oobpteariantiinognctoontirtos l,jothinet invietniatul rinesveosrtmaesnsot ccioastet so,fwadhdicithiorneaslullotendg-itnermacqeuqiusiittyioinnvoefstlmonengt-tsehrmall ebqeutihtyeffauilrlyvailnuceluodfeddisipnosperdofoitpeorratlioosns. fTohretdhieffceurerrnecnetbpeetwrioeden. Iinnittihael ienvveensttmtheantt cthoestCanodmtphaencyarsroylidnganamaossuentt colfasdsiisfpieodseadsooppereartaitoionnwtioll ibtesainscsolucdiaetdesinoprrojofiitntorvleonstsurfeosr, ththeecudrirfefenrtepnecreiobde.tIwnetehne tehveenctatrhryatintgheaCmoomunptanoyf accoqnusiirdeedraatnioanssreetcweihviecdh afonrdmoepdearantioopnersahtiaolln bfreomfuliltysaEsnstoecrpiartiessesoNr ojo. i2n0t -vBenutsuinreess,s rceolmevbainntattiroann”s.acAtilol nproshfiatllorbleosascrceoluatnetdedtofothreitnraancscaocrtidoanncsheawllibthe a“cAccocuonutendtinfogr.Standards for BusinessequitTyhinevCesotmmpeanntyto’sgesthhaerrewoifthneatnylolsosnegs-otefrtmheinitnevreessttesethsahtailnl bsuebrsetcaongcenifsoerdmtopathrteoefxttheentintvheasttothre’scnaertryininvgesatmmoenutnitnotfhtehienvloensgte-etearrmecrehdaurgceedd ttoo zthereo.prIof ftiht eoCr olomsspaansyihnavsesttomaesnstumloessafdodrittihoenapl eorbiolidg.atWiohnesr,ethteheesitnimveastteede oisblmigaaktiionng apsrsoufmitsedinshsaulbl sbeequpernotvipdeerdiofdosr, atnhdeCompIfanthyesrhealilsredseubmitevraerciaotgionnisiinng rietslasthioanretoof tphreofliotsngaf-tteerrmsetetiqnugitoyffinavgeasintmstetnhtes sihnaraessoofcuiantreescoagnndisjeodinltosvseens.ture held prior to first
    
    aodriogpintiaolnreosfidthuealAtecrcmouunstiinngg tShteanstdraaridgshtf-olirnBe umseintheossd Eisnitnecrpluridseeds ibnyththeepCroofmitpoarnlyososnfo1r Jthaneupaerryio2d0.07, the amounts amortised over the
    
    U③poAnctqhueispitrieopnaroaftimoninoofrittyheinctoernessotlidated financial statements, capital reserve is adjusted based on the difference between thetaoddthiteioandadlitlioonngaltesrhmareehqoulidtyinignvfreosmtmtehnet dfraotemoafcaqcuqiusiistiiotinonof(omr idnaotreitoyficnotemrebsitnaatnidont)h.eInshthareecoafseneotf ainssseutfsfiocfietnhtecsaupbitsaildsiaurryplautstrtiobuotfafbsleetimpairment, retained earnings shall be adjusted.
    
    I④n thDeissepocsoanlsooflildoantegd-tefirnmanecqiuailtystiantevmesetmntes,ntfsor disposal of a portion of the long-term equity investments in a subsidiary withoutlsousbssiodfiacroynitsroclh,atrhgeedditfofetrheencoewbneetrws’eeeqnuditiys.pIofsadliscpoosstalanodf adipsoprotsioanl ooff ltohnegl-otnegrm-teermquietqyuiintyveinstvmesetnmtsenrteslaitnivaestuobsthideianreyt baysstehtes poafrethnetVco.m6p. a(2n)y“rPerseupltasraintioanloMssetihnocdonoftrtohle, iCt sohnaslollbideaatecdcoFuinntaendcifaolrSintaatecmcoerndtas”n.ce with the relevant accounting policies as described in NoteactuaOl cnodnissipdoersaatlioonf apaliodnigs-treercmogenqisueitdythinrvoeusgthmpernotfoitthoerrlwosissei,nththeedciuffrererenntcpeerbieotdw. een the carrying amount of the investment and thealso Ianccroeuspnetecdt ofof rlounsgin-tgeremqueiqtyuimtyeitnhvoeds,tmotehnetr accocmoupnretehdenfsoirveusiinncgomeqeuiptyremvieotuhsolyd wunitdherthoewrneemrsa’ineinqguiteyqusihtyallinbteereasctcoafutnetreddisfpoorsianlaticmceordoafndciespwoistahl.thTehseamowenaecrcso’uenqtuinitgytrreeactomgennistefdorfodrirtehcet dmisopvoesmalenotf orefleovtahnetr aoswsenteorsr’lieaqbuiliittyy (beyxcilnuvdeisntgeenoent pprroofirtatoarblaossiss, aotththeercompIrnehreesnpseivcet oinfcloomnge-taenrdmperqoufiittydiisntvriebsutmtioenntoafcicnovuenstteeed)fsohraullsbinegtrcaonsstfemrreethdotdo wpriothfitthoer rloemssafionrinthgeecquurirteynitnpteerreiostdaofnterprdoisrpaotasablaaslisso.astcacnoduanrtdedoffofrinuasnincgialcoinststmruemtheondt,s obtehfeorrceoombptareinhienngsicvoenitnrocol moveerrecthoegniinsveedstueseinsghaelqlubitey amcectohuondteodr fthoer irnecaocgcnoitridoanncaendwmitheatshueresmaemnetaocncporuontriantga btraesaitsm. Menotvfeomr deinrtecotfdoitshpeorsoawl onferres’leevqaunittyas(seextcolurdliianbgilniteyt pbryoifnitvoerstleoes,sa,nodthterrancsofmerpreredhteonpsirvoefiitnocrolmosesafnodr tphreofciut rdriesntrtibpeurtiioondpuenrdieordnoent parsosertatoafbiansviess. tee accounted for and recognised using equity method) shall be transferred to profit or loss for the currentfinanIcniatlhsetaetveemnetnotsf,ltohses roefmcaoinntirnogl eoqvueirtyinivnetsetreeestdwuehitcohpcaarntiaalppdliyspcoosmalmoofneqcuointytroinl voersitmmpeonstebsyigthneifiCcaonmtpinafnlyu,eninceproevpearritnhge sinevpeasrateteeeaqftueirtydimspeotshaoldshsianllcebeitaicscooubntateindedforanudsinadgjuesqtumiteyntmwetahsodm.aSduechacrceomrdaiinnginlyg. eFqourittyheinrteemreastinsihnagllebqeuittryeaintetdereasst awcchoicuhnticnagnnfootr aupsipnlygmcoemasmuorenmceonnttrsotal nodrairmdpoofsefinsiagnnciifailcainnsttirnufmlueenntcse. Tohveerdtihfefeirnevnecsetebeetawfteeerndiitsspofasairl,viatlsuheaallnbdecaacrrcyoiunngteadmfoournutsainsgatthteheredcaotgenoitfiolnosainndgcmoentthroodl sohratlhlebreecinocglnuidtieodniannpdrmofeitasourrleomssenftosrtathnedacrudrroefnftinpaenricoida.l iInnsrtreusmpeecnttsofbeoftohreer tchoemCpormehpeannsyivoebitnacinoemdecorenctoroglnoisveedr uthseinignveeqsuteitey,iattshthaell btiemaeccwouhnetnedthfoer cinonatcrcool rdoavnecreiwnvitehsttehee sisamloesat.ccMouonvteinmgetnret aotmf eontthfeorr odwirencetrsd’isepqousaitlyof(erexlcelvuadnintgassneettopr rloiafbitiliotyr bloysisn,voesthteeerctroamnspfreerhreednstiovperionfciot moreloasnsdfporrotfhiet dciusrtrreibnut tpioenrioudndaetrthneettiamsseewt ohfenintvheestceoenatrcocloouvnetredinfvoersatenedirselcoosgt.nOisfedwuhsicinhg, feoqrutihtye rmemetahiondin) gsheaqlul ibtyeoinnteprreostraafttaerbadsiissp.oFsaolr athcceoruenmteadinfionrguesqinugityeqinutietyremsteathftoedr,doitshpeorsaclomacpcroeuhnetnesdivfeorinucsoinmgetahnedreocthoegrniotwionnearsn’demqueiatysusrheamllenbtesttraanndsaferdrreodffinanIcniatlhiensetvruenmteonftsl,oossthoefr ccoommmproenhecnosnivtreolinocrosmigenaifnidcaontthienrfoluwennecres’oveqeruiitnyvsehsatellebdeufeutlolyptarratniaslfedrirsepdo.sal of equity investment by the
    
    fCinoamnpcaianly,intshterurmemenatisn.inTgheeqduiiftfyerienntecreesbteatwfteerendiistpsofsaailr svhaallul ebeanadcccoaurnrtyeidngfoarmuosuinngt tahseartecthoegnditaitoen oafndlomsineagsucroemmmenotnstcaonndtarordl oorf
    
    suingdneifripcarenvtiionufslueeqnucietyshinavllesbtemiennctluudsiendgienqpuriotyfimt oerthloodss, iftosrhtahllebceuarrcecnotupneteridodfo. rIninraecscpoercdtaonfceotwheitrhctohme psaremheenascicvoeuinntcinogmtereraetcmoegnntisfeodr
    
    doiwrencetrsd’isepqousiatyl o(efxrcelluedvianngt naestseptroofritlioarbliolistys, boythienrvceosmteperaethethnesivtiemiencwohmeenaenqduiptryomfitedthisotdribwuatisocneuanseddertonebteasusseetdo.fMinovveesmteeenatcocfouonthteedr
    
    wfoarsacnedasreedcotgonbiseeudseudsi.ng equity method) shall be transferred to profit or loss for the current period at the time when equity method
    
    over TthheesCubosmidpiaanryy idsislpoosts.eIsf itthseesqauiidtytriannvseascttmioennst bienlosnugbstiodi“atrryanbsyacatiostnasgein-uap baapspkreota”c, heawchithtrasnevsaecratilontrasnhsaalcl tbioenascuconutinl ttehdefcoornatsroal
    
    fsoinrgelaecthratnrasnacsaticotnioonfadnidsptohseincgareryqiunigtyaimnvoeusnttmoefntthoefcsourbresisdpioanrydianngdlolonsgs-toefrmcoenqtruoilt.yTinhveedsitfmfeernetnocef dbiestpwoeseend tehqeuditiyspinotsearlecsot nbseifdoerrealtoiosns
    
    ocofnctornotlrfoolrsthhaellciunrirteianltlyperreicoodgunpisoendlaosssotohfecrocnotmropl.rehensive income, and subsequently transferred to profit or loss arising from loss of
    
    15. Investment property
    
    Measurement of investment property
    
    Measured by using the cost method
    
    Depreciation or amortisation methods
    
    IInnvveessttmmeenntt pprrooppeerrttyy risefienristitaollryeamleeasstuatreedhealtdctooste.aSrnubrseenqtaulesnotrefxoprecnadpitiutarleasprperlaetceidattioona,noirnbvoetshtm. ent property shall be included inccoanstboefminevaessutrmedenrtelpiarobplye.rtAylol noltyhewr hexenpetnhdeiteucroensoomniicnvbeesntemfietns tapssroopceiartteydshwailtlhbteheinacslusedtedwiinll plirkoefliyt ofrlolowsstofotrhethCe ocmurpreanntypaenridoditswchoesntincurTrehde. Company adopts cost method for subsequent measurement of investment property, which is depreciated using the same
    
    policTyhaes tmhaetthfoordbfuoirldiimngpsa.ired test of investment property and measurement of impairment provision are detailed in Note V. 20
    
    “ImpIanirmtheenet voefnltonthga-ttearmn oawssneetsr”-o. ccupied property or inventories is converted to an investment property (or vice versa), upon the
    
    conveInrsitohne,etvheenptrtohpaetratyn sinhvaellsbtme esntattpedroaptetrhtye cisarcroyninvgeratemdotuonatnproiowrnteor-tohceccuopnievderpsiroonp.erty, such property shall become fixed assets or
    
    intangible assets since the date of its conversion. In the event that an owner-occupied property is converted to real estate held to earn
    
    rceonntvaelsrsoiornf.oIrncvaepsitmtalenatppprreocpiearttiyoni,s smucehasufirxeeddaatscsoetsst dour riinntganigtsibcloenavsesrestisons.haUllpobnectohme ecoannveinrsvieosnt,mtehnetpprrooppeerrttyysshianlclebtehestadtaetde aotftihtes
    
    carryIinf ganaminovuensttmperinotrptorotpheertcyonisvderisspioons.ed of or if it withdraws permanently from use and no economic benefit will be obtained from
    
    rtheteirdeidspoorsdaal,mthageerde,ctohgeniatmioonuonft oitfapsroacneeindvseosntmdeinspt opsraolpoefrttyheshparlolpbeerttyernmetinoaftethde. Wcahrreyninagnaimnvoeusntmt aenndt prerolapteerdtytaixs asnodlds,utrrcahnasfregrersedis,
    
    recognised in profit or loss for the current period.
    
    16. Fixed assets
    
    (1) Conditions for recognition
    
    adminFiisxteradtiavseseptusraproesteasn;gainbdlehaasvseetas uthseaftualrelifheeoldf mfoorruestehianntohneeparcocdouucntitoinngoyresaurp. pFliyxeodf agsosoedtss aorresreercvoicgensi,sefdorornelnytaifl tthoeoCthoemrsp, aonryfoisr
    
    vatercyosltikaenldy tthoereecffeeicvteoefcaonnyomexicpebcetnedefcitossftrsoomf athbeanadsosentinagndthietsacsosestt actanthbeeenmdeaosfuirtsedusree.liably. A fixed asset shall be initially measured
    
    (2) Depreciation method
    
            Category         Depreciationmethod   Usefullivesof   Estimatedresidualvalue Annualdepreciationratedepreciation(Year)        (%)               (%)
    Housing andbuildingstructure  Straight-linemethod      20-40             5-10             2.25-4.75
    Machinery andequipment     Straight-linemethod       8-20             5-10            4.50-11.88
    Transportation equipment      Straight-linemethod       5-8              5-10            11.25-19.00
    Electronic equipmentandothers Straight-linemethod        5              5-10            18.00-19.00
    
    
    the assEest,tiamftaetreddendeutcrteinsigduthael evsatliumeaotefda cfoixsetsdoafssdeistpisosthale, eifsttihmeaatsesdetamweoruenat ltrheaatdtyheofCtohme sptaangye wanodulidn cthuerrceonntldyitoiobntaeinxpfreocmteddaistptohseaelnodf
    
    of its useful life.
    
    (3) Recognition, accounting and depreciation method of fixed assets acquired under finance leases
    
    owneLrsehaispestoartehecllaessssiefieedanads tfiitnleasncteo ltehaeseassswethsenmeavyerotrhme ateyrmnostoefvtehnetulaelalsye btreantrsafnesrfesurrbesdt.anFtoiarllfyixaeldl tahsesertisskascqaunidrerdewuanrddesr offinaasnsceet
    
    dleeatseersm, itnheedbtahsaits tfhoer porwonveisrisohnipooffleaasleeadsaesdseatsssedtepwrielcl ibaetiotrnanissftehreresdamatetahse tehnadt ooffstehlef-loewasneedtefrimxe,ditaisssedtesp. rWechiaetnedit ocvaenrbteherepaesroinoadbolyf
    
    expected use; otherwise, the lease asset is depreciated over the shorter period of the lease term and the period of expected use.
    
    17. Construction in progress
    
    projeCctos,nsctarpuicttailoisneidnbporrorgorwesinsgiscroesctosgfnoirstehdebcaosnesdtrouncttihoenaicntuparol gcroenssstrbuecftoioren ictohsat,s irnecalcuhdeidngthaellwexoprkeinndgitcuorensdiitniocunrfroedr iftosrinctoennsdtreudcutisoen,
    
    raenadchoetdhetrherewlaotrekdinegxpcoennsdeitsiodnufroinrgitsthientecnodnestdruucstei.on period. A construction in progress is reclassified to fixed assets when it has
    
    “ImpTaihrme menetthoofdlofnogr-itmerpmaiaressdette”s. t of construction in progress and measurement of impairment provision are detailed in Note IV. 20
    
    18. Borrowing costs
    
    conneBcotiroronwwinitgh tchoestasrrianncgluedmeenint toefrebsot,rraomwoinrtgiss,atainodn eoxfchdaisncgoeundtisffeorrenpcreesmairuimsinsgrefrlaotmedfotoreibgonrrcouwrrienngcsy, banocrriollwariyngcso.sFtsorinbcourrrorewdinign
    
    caonsdtsbothrraotwariengdicroescttslyaraettbriebiuntgabinlecutorrethde, aacctqivuiitsiietisorne,lactoinngstrtuoctthioenacoqrupirsoitdiounc,ticoonnostfruacqtiuoanlifoyripnrgoadsuscetti,own hoefntheexpasesnedtittuhraetsarfeorntehceesassasreyt
    
    taossperte;paanrde cthaepiataslsiestatfioornitsshianlltednidsceodnutisneuoerwsahleenhtahveeqcuoamlifmyeinngceads,sesut cishrbeoardryowfoirngitscoinsttesnsdheadllubseecoarpsitaallei.seOdthaesrpbaortrroofwtihnegccoossttosfshthaallt
    
    be recWoghneriseefduansdsexapreenbseorirnowtheedpfeoriroad sinpewchifiicchptuhrepyoasree, itnhceuarmreodu. nt of interest to be capitalised shall be the actual interest expense
    
    binacnukrsreodr oannythiantvbeostrmroewnitnigncfoormteheonpetrhieodtelmespsoaranryybiannvkesitnmteernetstoefatrhnoesde ffruonmdsd. eWpohseitriengfutnhdesbaorrerobworerdowfuenddsfobregfoerneerbaelinpgurupsoesde,inthtoe
    
    Company shall determine the amount of interest to be capitalised on such borrowings by applying a capitalisation rate to the
    
    wboerirgohwteidngasv. eTrhaegecaopfittahleisaetxiocensrsataemsohuanlltsbeofthceuwmeuilgahtitvede aevxepreangdeitoufrethseoinnttehreesatsrsaetet soavpepr laicnadblaebtoovtehethgeenameroalu-nptusrpoofssepbeocrifriocw-pinugrpso. se
    
    capitaDliusreidn.gEthxechcaanpgitealdisifafteiorennpceersioredl,aetexdchtaonggeendeirfafle-rpeunrcpeosseonboarsrpoewciinfigcspduernpoomseinbaotrerdowininfgordeeignnomcuinrraetnedcyinshfoalrleibgenicnucrlruednecdyisnhpalrlobfiet
    
    or losQsufaolriftyhiencguarsresenttspaerreioads.sets (fixed assets, investment property, inventories, etc.) that necessarily take a substantial period of time
    
    for acCqaupisitiatiloisna,ticoonnsotfrubcotirornowoirnpgrocdousctstioshnatlol gbeetsruesapdeynfdoerdthdeuirriinngtepnedreioddusseinowr shailceh. the acquisition, construction or production of a
    
    qacuqauliifsyiitniogn,acsosentstirsucitniotenrrourppteroddaubctnioornmoaflltyh,e wquhaelnifytihneg ianstseertruisptrieosnumisedf.or a continuous period of more than 3 months, until the
    
    19. Intangible assets
    
    (1) Accounting method, useful life and impairment test
    
    AAnn iinnttaannggiibbllee aasssseett isshaanllidbeenitnifiitaiabllleynmoena-msuorendetaartycaossst.etTwheitheoxuptepnhdyitsuirceasl isnucbusrtraendceonowanneidntoarncgoibnlteroallsesdetbsyhathllebCeormecpoagnnyi.sed asccoosstt ooff tthheeaisnsteatncgaibnlebeasmseetasounrleydirfeiltiaibslyp.roObtahbelreetxhpaetnedciotunroems iocnbaenneitfeimts aassssoetcisahtaeldl bweitchhathrgeeadsstoetpwroilflitfolorwlostos wthheeCnoinmcpuarrneyd.and theuse rLigahntdaunsde trhigehbt uaiclqduinirgesdsshhaallll bneorsmeaplalryatbeelyreaccocgonuinseteddasfoarnaisntaanngiinbtlaenagsibselet. aSseslef-tcaonndstrfuixceteddabsuseiltd.inFgosr (beu.gil.dpinlagnstsa)n, drelsattreudctluarnedspthuerrcehiasseddif,fitchueltpyuirnchmasaekicnognasirdeearsaotinoanblsehaallllobceatiaollno,ctahteedcoanmsiodnegratthioenlsahnadllubsee rreigcohgt nainsdedthine fbuulilladsinfgixseodnasaseretsa.sonable basis. In caseimpaAirmn einnttalnogsisblperoavsisseitonwaitnhdaamfinoirtteiseudseufuslinlgifetheshsatlrlaibgehts-tlainteedmaet thcoodst olevsesr eitsstimusaetfeudl nliefet rweshiednuatlhevaalsuseetanisd aavnayilaabclceumfourlautseed.IntanTgihbeleCaosmseptsanwyitshhainlldreefvinieitwe ltihfee aurseefnuoltliafme oorftiisnetdan. gible asset with a finite useful life and the amortisation method applied at least
    
    aest teimacahtef.inFaonrciaanl yienatra-negnidb.leAacshsaent gweiitnh tahne uinsedfeuflinliitfee ourseafmulorltiifsea,titohne mCeotmhopdanuysedshsahllallrebveieawccothuentuedseffourl alsifea cohfanthgee ainssaectcoinunetaincgh
    
    alicfceooufntthinagt apsesreitoadn.dIfatphpelrye tihseevacidceonucnetiinngdipcoaltiicnigesthaactcothrediunsgelfyu.l life of that intangible asset is finite, an entity shall estimate the useful
    
    (2) Accounting policy for internal research and development expenditure
    
    expenRseesseianrccuhrraendddduerivneglothpemdeenvteeloxppmenednittuprheasoef. the Company was divided into expenses incurred during the research phase and
    
    EExxppeennsseess iinnccuurrrreedd dduurriinngg tthhee rdeesveealrocphmphenastepharaeseretchoagt nsiasteisdfyasthperoffoitlloorwlionsgs cinonthdeiticounrsreanrtepreercioogdn. ised as intangible assets, whilethose that do not satisfy the following conditions are accounted for in the profit or loss for the current period:① it is technically feasible that the intangible asset can be used or sold upon completion;
    
    ② there is intention to complete the intangible asset for use or sale;
    
    a③ssetthheaisnatamngairbkleetaosrsetht ecainntapnrgoidbulceeasesceotniotsmelifchbaesnaefmitsa,rkinect;luadnidngif tthheereinitsanegviibdleenacsesetht aist tfhoer ipnrtoedrnuacltsusper,otdhuecreedisuesivnigdetnhceeitnhtaatntghiberlee
    
    exists usage for the intangible asset;
    
    ④the itnhtearnegiisbsleufafsicseiet,nat nsudptphoerret iins tcearpmasbioliftytetcohunsoeloogrys,eflilntahneciinaltarnegsoibulreceasssaent;d other resources in order to complete the development of
    
    ⑤ thIef etxhpeenesxepseantsterisbuitnacbulreretod thdeurdienvgeltohpemreenstepahrcahsepohfatshee ianntdangthibeledaesvseeltocpamnebnet mpehaassuerecdanrenloiatblbye. distinguished separately, all
    
    development expenses incurred are accounted for in the profit or loss for the current period.
    
    20. Impairment of long-term asset
    
    non-fTinhaencCiaolmapsasentys wsuicllh jausdgfiexeidf athseserets,iscoannsytruinctdiiocnatiinonproofgriemssp,aiirnmtaenngtibalse aatsstehtse wbaitlhanacefinsihteeeut sdeafutel liinfe,reisnpveecsttmoefnnt opnro-cpuerrrteienst
    
    mindeaicsautriendg atht actoasnt, aasnsdetlmonagy-tbeermimepqauiirteyd,inrevceostvmereanbtlseianmsouubnsitdsiharailelsb,ejoeisnttimcoatnetdroflolerdimenptaiitriemseanntdteasst.soGcoiaotdews.ilIlf, itnhtearnegiisblaenaysseevtisdewnicthe
    
    awnheinthdeerfitnhietree uisseafnuyl ilnidfeicaatnidoninotfainmgpibaliermaesnset.ts beyond working conditions will be tested for impairment annually, regardless of
    
    proviIsfiotnhewiimllpbaeirmmaednet taecsctorredsiunlgt tsohothwesdtihffaetrethnecereacnodvereracbolgeniasmedouanstaonfimanpaaisrsmeet nist lloessss. tThhaen rietscocvaerrraybinlegaammoouunntt,ofthaen iamsspeatirims tehnet
    
    hasigsehte’rs ofafiirtsvafaluirevisaltuheelpersiscecoinstsa osaf ldeisapgoreseaml aenndt itnheanpraersmen’st vleanlugethotfrathnesafcuttiuorne. cIfasthhefrleowissneoxspaelceteadgrteoembeendterbiuvtedthferoamssetthiesatrsasdete.dAinn
    
    aansseatc,tifvaeir mvaalrukeets,hfaalilrbvealbuaesesdhaolnl btheedbeetestrmavinaeildabblaesiendfoornmtahteionb.idCporsitcseo. fIfditshpeoresailsanreeitehxepresnaslees aagttrreiebmuteanbtlentoor daicstpivoesaml oarfktehtefaosrseatn,
    
    sinaclelu. dTihneg plergeasel nfet ev,arleuleevoafntthteaxfuatnudresucarcshhafrlgoews,streaxnpsepcotertdattioonbefedeearnivdeddirferoctmexthpeenassessetinocvuerrretdhetocopurerspearoefthceonatsinseutedforusiets ainndtenfidneadl
    
    bdeispmoasdael iasnddetreercmoginneidseadsftohretahme oinudnitvdidisucaoluanstseedt.uIsfinitgiasnnaopt pproospsriibalteeltyoseeslteicmteadtedtihsecoruenctovraetrea.bPleroavmisoiounnst foofrtahseseintsdiivmidpuaiarlmaesnset ts,htahlel
    
    oCfoamsspeatnsycashpaalblledeotfergmenineeratthinegreccaosvhefrlaobwles ainmdoeupnetndoefnthtley.asset group to which the asset belongs. The asset group is the smallest group
    
    allocaFtoerdtthoe tphuerpaossseetogfroimuppsaiormr genrotutepstoifnga,ssthetescbaernryeifnitginagmforoumnt osyfngeorogdywoifllbpurseisneenstsedcosmepbairnaatteiloyni.nIfthtehefirneacnocviealrasbtaleteammeonutsntshisalllebses
    
    cthaarrnyitnhge caamrroyuinntgoafmaonuyngt,otohdewCilol malploacnaytesdhatoll trheecoagsnseistegaronuipmopraisremt eonftalsossest. gTrhoeupasm, oanudntthoefnimrepdauircme ethnet lcoasrsrysihnagllafmirostunretdoufcoeththeer
    
    assetsA(notihmeprathiramnegnotoldowssilrle)cwoigtnhiisnetdheonastsheet gafrooruepsaoirdsaestsoeftsasssheatllgrnooutpbse, prreoverrasteadoninthaesbuabssiesqoufetnhtepcearriorydining aremspoeucntt ooff tehaechreasstsoerta.ble
    
    value.
    
    21. Long-term prepaid expenses
    
    curreLntonpger-itoerdmanpdrespuabisdeqeuxepnetnpseesrioadres oefxpmeonrdeittuhraens oannedyoetahre.rLeoxnpge-ntesrems wprheipcahidheaxvpeeinnsceusrroefdthbeuCt othmapt asnhyalml abienlayminocrtliusdeed eoxvpeernsthees
    
    ounsinigmtphreovsetrmaiegnhtt-olifnefixmeedthaosds.ets and woodland rent. Long-term prepaid expenses are amortised over the estimated benefit period
    
    22. Employee benefits
    
    (1) Accounting treatment for short-term staff remuneration
    
    materSnhiotyrti-ntesrumranrecme upnreemraituiomn, mwaoirnkl-yreilnacteluddiensjusraylairniesus,rabnocneupseres,mailulomw, ahnocuesianngdpsruobvsiiddeenst, fsutanfdfs,wuenlfiaorne,ompeerdaitcioanl icnossutrsaanncde epmrepmloiuymee,
    
    Cedoumcaptaionyn’scostsatsff apnrodvindoend-mseorvniecteasryfowr ethlfearCeometpc.anSyhiosrtr-etceormgnirseemduanselriaatbioilnityinacnudrriendcludduerdinign pthreofiatcocroulonstsinfgorptehreiocdurrinentwpheircihodthoer
    
    related asset costs. Of which, non-monetary welfare is measured at fair value.
    
    (2) Accounting treatment for post-employment benefits
    
    benefPitosstm-eaminplyloyadmoepnttdbeefnineefidtscmonatirnilbyutiinocnlupdleanp.eRnseiloenvainnstucroanntcreibpurteiomniuammoaunndtuinseimncplluodyemdeinntrienlsauteradnacseseptrecmositusmo.rPporsotf-ietmoprllooysms efonrt
    
    the current period during the period in which the expenses incurred.
    
    (3) Accounting treatment for termination benefits
    
    proviWdehsecnomthpeeCnsoamtiopnanays taenrmoifnfeartetso tehnecoeumrpagloeyemmepnltoryeeleastiotonsahcicpepwtivtholeumntpalroyyreeedsubnedfaonrceyt,hteheenCdomofpathney eshmapllloryecmoegnntisceonemtrapcltosyeoer
    
    cCoommppeannsyatcioannnloiatbrielivtioekseaurinsiilnagtefrraolmly ccoommppeennssaattiioonn ffoorr sdtiasfmf idsissaml idssuael taondthiencclaundceedllaintiopnrooffit loarbolousrsrfeolarttihoenschuirprepnltanpseraiondd,ewmhpelnoytheee
    
    rreedsturnudctaunrtinpgr,owpohsicahlse;vearndis tehaerliCero.mHpoawnyevreerc, oifgnthisee ccoomstpeannsdatieoxnpfeonrsetsermreilnaatetidontoofpeamympleonytmoefntciosmnpoetnesaxtpioecntefdortodbisemfiuslslayl paanidd
    
    within 12 months from the reporting period, it shall be accounted for other long-term staff remuneration.
    
    (4) Accounting treatment for other long-term employee benefit
    
    The Company does not provide any other long-term employee benefit for its staff.23. Provisions
    
    obligOatbiolingaistiaoncsurpreenrttinoebnlitgattoionthbeorcnoentbinygtehnecCieosmwpahnicyh; (s2a)tiitsfiys litkheelyfothllaotwainngouctfolonwditoiofnescoanroemrieccboegnneisfietds waisllpbreovreissiuolntesd: f(r1o)mTthhee
    
    perfoArmt atnhcee boafltahneceobslhigeaettiodna;taen, dp(r3o)vitshieonams oshuanltlobfethemoebalsiugraetdionatcathnebeberesltiaebsltyimmaeteasuorfedth.e necessary expenses required for the
    
    performance of existing obligations, after taking into account relevant risks, uncertainties, time value of money and other factors
    
    pertinIfenatlltootrhesocmonetienxgpeenncsieess. incurred for settlement of provisions are expected to be borne by the third party, the compensation
    
    tahmeocuanrrtysihnaglla,monouanrteocfopvreorvabislieonbsa.sis, be recognised as asset separately, and compensation amount recognised shall not be more than
    
    24. Preference shares, perpetual bonds and other financial instruments
    
    (P1e)rpCeltausaslifbicoantdiosn, porfepfeerrepnectueaslhbaornesdsaannddopthreefrefriennacnecsiahlarinesstruments issued by the Company are classified as equity instrumentswhen all of the following conditions are satisfied:
    
    excha①ngeTfhienafninciaanlcaisasleitnssotrrufmineanntcsiahlalviaebinliotiecsonutnrdaecrtupaolteonbtliiaglaatidovnertsoe pcaoyndiintiocnaswhitohrooththeerrpafirntiaensc;ial assets to other parties nor to
    
    inclu②desIfntohecofinntarancctiuaallinosbtlriugmateionntswtiolldoerlimvearyabvearsieatbtlleedniunmthbeereonftiittys’oswown neqeuqiutyityinisntrsutrmumenetns;tso,ritaidsearinvoanti-vdeetrhivaattwiviellibnestsruetmtleendtotnhlayt
    
    by thOe tChoemr tphaannyfeinxacnhcainagliinngstarufmixeendtsamcloausnsitfioefdcaassheqour iotythienrsftirnuamnecniatlsaascsceotrfdoirnag ftioxethdenaubmobveercoofnidtsitoiownns,eoqtuhietyr fiinnsatrnucmiaelnitnss.truments
    
    issueTdhbeyftihneanCcoiamlpinanstyrusmhaelnl tbseiscsluasesdifbieydthase fCinoamncpiaanlyliawbhiliicthieas.re compound financial instruments are recognised as a liability based
    
    orencethiveefdaiirs vreacluoegnoifsetdheasli“aobtihlietyr ecqoumitpyoinnesntrt,umanednttsh”e. Tamraonusnact tnioent ocfosthtsethfaaitrrvealaluteetoofththeeislisaubeiloitfyaccoommppoonuenndt ffirnoamnctihael iancstturaulmaemnot uanret
    
    alloca(2te)dAtocctohuenltiianbgiltirteyaatmndenetquoiftypecropmetpuoanl ebnotnsdisnapnrdopporertfieornentocethsehaarleloscation of gross proceeds.
    
    costsFqouralfiifnyainncgiaflorincsatpruitmaleisnatstiocnla(spsilfeiaesde arseffeirnatoncthiails lNiaobtieliVtie.s18(su“cBhorarsowpeinrpgectuoasltsb”)o,nidtss raenladtepdreifnetreernecste, dshivairdeesn),des,xcgeapintsboorrrloowssiensg,
    
    and gFaoinrsfionralnocsisaelsianrsitsriunmgefnrotsmcrleadsseimfiepdtioans oerqureitfyiniannsctrinugmaernetscr(esduicthedatsopperropfeittuoarl lboossndfosratnhde cpurerfreenretnpceerisohda.res), its issue (including
    
    dreefdinuacntecdinfgro),mreepquurictyh.aTseh,esCaloemoprancya’nscdeilslatrtiibountiaornetotrheaotleddersbyoftehqeuiCtyominpstarnuymeanstscharaengtreesatiend aesquaitdyi,strwibituhtiorenlaotfepdrotrfaitnss.action costs
    
    Changes in the fair value of equity instruments are not recognised by the Company.25. Revenue
    
    Whether the Company needs to comply with the disclosure requirements for specific industries
    
    No
    
    (R1e)vRenevueeniuserfercoomgnsiasleeds owfhgeonotdhse Company has transferred to the buyer the significant risks and rewards of ownership of thetghoeodgso,ordestasionlsdn, ewitihllerreccoenivtienuthinegemcoannoamgeicriableninevfiotlsvaesmsoencitattoedthweidthegtrheeeturasnusaallcytioasns,oacniadtecdanwriethliaobwlynemrsehaispurneortheeffreeclteivvaenctoanmtrooul notvoerfgreovoednsuaereanddelcivoesrtes.dCtoonthfiermclaietinotns. tWimheilefoirnstaelremssreovfeonvueer:seIanstsearlmess, ocfondfoirmmeasttiiocnswalielsl,bceomnfaidrme aotniotnhewdiallybwehmenadgeooodns tahree dloaaydewdhoennboard(2a)nRdedveecnlaureedfr.om the rendering of services
    
    date,Wrehcoengntihsee othuetcroemveenuoef afrotrmantshaectrieonndeinrivnoglvoifngsetrhveicreesnedmerpinlogyoinfgsethrveipceesrcceanntabgee oreflicaobmlypleesttiiomnamteedt,hiotds.hTahlle, oconmthpelebtiaolnansccehesdhueleet
    
    oesftitmraantseadcttiootnalccoonsctse.rning the rendering of services shall be ascertained according to the proportion of service costs incurred to the
    
    The outcome of a transaction concerning the rendering of services can be reliably estimated, which shall concurrently satisfy:C①omTphaenyre; le③vanttheamcoomunptleotifonresvcehneudeulceanofbteheretrlaianbslayctmioenascuarnedb;e ②reliaitbliys apsrcoebratabilneedth;aatntdhe④ectornaonmsaicctiobnenceofsittss iwniclul rfrleodwanindtotothbeeincurWredhecnanthbee roeulticaobmlyemoefasaurterdan. saction involving the rendering of services cannot be reliably estimated, it shall recognise the
    
    trheveecnouset forfomrentdheerrienngdseerrinvgiceosf sinecrvuircreesd bsahsaeldl boen rtehceocgonsitseodf raesnadnereinxgpesnesrevifcoers tahlerecaudryreinnct uprerreidoda.ndIfetxhpeeccotesdt otof breencdoemrinpgensseartveidc,easnids
    
    expecWtehdennoat tcoobnetraccotmopreangsraeteedm,eint tshsaigllnbede rbeycothgeniCseodmapsaannyeixnpcelundsees. sales of goods and rendering of services, if sales of goods and
    
    rreennddeerriinngg ooffsseervrviciceesscacnannobt ebeddififfefreernentitaitaetdedaonrdcasenpnaortabteelysepmaeraasteulryedm, etahseuyrewd,iltlhebye wreicllobgenirseecdogrnesispeedctaisveslayl.esIfofsagloeosdosfingofuoldl.s and
    
    (R3e)vRenevueenfuroemfrormendreenridnegrionfgsoefrvsiecrevsiciessrecognised as income on the accrual basis in accordance with the underlying contracts oragree(m4)enIntste. rest income
    
    Interest income is calculated based on the time during which the Company’s monetary fund, and the effective interest rates.26. Government grants
    
    (1) Judgment basis and accounting treatment of government grants related to assets
    
    classiGfioevdearsnmreelanttegdrtaontasssoebttsa.iAnedgofvoerrancmqeunistigtiroanntorreclaotnesdtrtuocatinonasosfetloshnagl-ltebremreacsosgetnsisoerdoatshedreffeorrrmeds oinfcloomnge-,taenrmd eavsesnetlyfoarmmoarttiiosnedartoe
    
    profit or loss over the useful life of the asset.
    
    (2) Judgment basis and accounting treatment of government grants related to income
    
    comOptehnesratgioonvefronrmreelnattegdraenxtpsenasreescolraslsoisfsieeds taosbreeliantceudrrteod rienvseunbusee.quFeonrt apegroiovdesr,ntmheengtragnrtanstharlellabteedrectooginnicsoemd ea,s idfeftehreregdrainnctoims ea,
    
    aenxdpernesceosgonrisleodssiens parlorefaitdoyrinlocsusrroevde,rththeegrpaenrtiosdhsalilnbwe hreicchogtnhieseredlaimtemd ecdoisattselayreinrepcroogfintioserdl;osifs tfhoer tghreancturisreantcpoemripoedn.sation for related
    
    27. Deferred income tax assets/deferred income tax liabilities
    
    A(1t) tChuerrbeanlat nincceosmheeettaxdate, current income tax liabilities (or assets) for the current and prior periods shall be measured at thecamalcouulnattinexgptehcetecdurrtoenbt eincpoamide(toarx reexcpoevnesree,da)reacdceotredrminignetdo atfhteerraedqjuuisrteimngenthtse aocfctoauxntlianwgsp. rTofaixtsabbleefoprerotfaixts,fowr hthicehyeaarer inthaeccboarsdisanfcoerwith (r2el)eDvaenfet rrreeqduiinrecmomenetstaoxfatsasxeltaswans.d deferred income tax liabilities
    
    differTeenmcepobreatwryedenifftehreentacxesbaarsiesianngdfrthoemctahrerydinifgfearmenocuenbteotwf teheonsethietecmarsrythinatgaarme onuont treocfoagnniassesdetaosralsisaebtisliotyr alinadbiiltistietasxbbuat shea,vaenda ttahxe
    
    lbiaasbeilitthieast ucsainngbtehedebtaelramncineesdheaectcloiardbiinligtytmo ettahxodla. ws, shall be recognised as deferred income tax assets and deferred income tax
    
    and thDeefineritrieadl rineccoogmneittiaoxn loiafbainlitaisesseatroernlioatbrielictoyginnisaetdrafnosratcatxioanblwe hteimchpiosranreyitdhiefrfearebnucseinserseslactoemd btoin: athtieoninnitoiarlarfefceoctgsnaitcicoonuonftignogopdrwofiiltl;
    
    ionrctoamxaeblteaxprloiafibtil(iotyr dfeodrutcatxibablelelotsesm) paot rtahreytidmifefeorefntcheestraasnssoaccitaitoend. Iwnitahddinitvioenst,mtheentCs oinmpsaunbysidreiacroigesn,isaesssothceiacteosrreasnpdonjodiinntgvdeenfteurrreesd,
    
    edxifcfeepretnwche;enanbdoitthiosfptrhoebafobllleotwhiantgthceotnedmitpioonrasrayredisfafetirsefniecde:wthiell Cnootmrpevaneryseisinabtlheetfoocreosneteroalbltehefutitmurien.g of the reversal of the temporary
    
    liabDilietyfeirnread tirnacnosmacetitoanxwashsiecths iasreneniothterrecaobgunsisineedsfsocrodmedbuincatitbiolen tneomrpaoffreacrytsdaicffceoruenntciensgrperlaotfeitdotrottahxeabinlietiparlorfeicto(gonr idtieodnucotfibalne alosssest) oart
    
    ttheme ptiomraeryodf iftfheeretnrcaenssaacstsioocni.atIend awdidthitiionnv,esthtme eCntosminpasnuybsrideciaorgiensi,seassstohceiacteosrraensdpojnodinint gvednetufererrsedto itnhceoemxetentatxthaastsiettisfoprrodbeadbulecttihbalet
    
    ftaoxllaobwleinpgrcoofintsditwioilnls baereasvaatiislafibelde: aitgiasinnsott wprhoibchabltehethdaet dthuecttiebmlepotermarpyodraifrfyerdenifcfeerwenilclersevcearnsebien uthtielifsoerde,seeexacbelpet fuwthueren; abnodthitoifs nthoet
    
    probCahbelenmthiantgtaPxaapbelre rpercoofgitnsiwseisllabedeafvearirleadbliencinomthee tfauxtuarses,eatgfaoirnstthewhcaicrhrythfoertwemarpdoorafrdyeddiuffcetirbelnecelocsasnesbaenudtitlaisxedc.redits to subsequent
    
    pcaenriobdesu, ttiolistheed.extent that it is probable that future taxable profits will be available against which the deductible losses and tax credits
    
    expeActtetdhetobaaplapnlycetoshtheeetpderaitoed, dwehfeernrethdeianscsoemt ies traexalaissesdetosratnhde ldiaebfeilrirteydisinsceottmleed,taaxccloiardbiinligtietos tahree rmeqeuaisruermedenatst othfetatxaxlarwatse.s that are
    
    suffAictietnhtetbaxalaabnlceepsrhoefietts dwaitlel,nCoht ebnemaivnagilaPbalpeeirnsfhuatlulrreevpieerwiodthsetocaarlrlyoiwngthaemboeunnetfiotfoaf tdheefedrerefedrriendcoinmceomtaex taasxseats.sIeft ittoisbepruotbilaisbeled,tthhaet
    
    cparorrbyaibnlgeathmaotusnutffoicfitehnet dtaexfaebrrleedpirnocfiotms we itlalxbeasasveat islahballel .be reduced. Any such reduction in amount shall be reversed when it becomes
    
    (I3n)coInmceomtaex teaxxpeexnpseencsoemprises current income tax expense and deferred income tax expense.incluCdeudrrienntpirnocfiotmoer ltoaxssefxopretnhsee c(ucurrrernent tpienrcioodm, eextacxepitncfoorm: ere)caongdnidseefderarsedotihnecromcoemtparxeheexnpseinvseei(ndceofmerereodr icnucrormenet tianxcoimnceomtaex) aanrdedwehfiecrhreadreinrceocmogentiasxedredlairteecdtltyo itnranoswancetirosn’seoqruietvye, natnsdthdaetfearrreeddiriencctolymerectaoxgnairsiesdinginforothmeracobmuspinreehsesncsoivmebiinncaotimone,owr hoiwchneirss’adejquusitteyd,again(s4t)thOeffcsaertryoifnigncaommoeuntatxof goodwill.
    
    CompAafnteyr, agtrathnetesdamtheetilmegea,lrericgohrtdssothfenneet tsaemttloeumnetnatftaenrdofwfsietthtinthgeitisntceunrtrieonnt itnocoumseenteatx saeststeletsmaenndt courrroebnttaiinncaosmseetst,axrelpiaabyilditeiebst., the
    
    DeferTrehde iCncoommpeantayxwaasssetgsraanntdeddetfheerrleedgainlcroigmhetstaoxflinaebtilsietitetlseamreenrteloaftecdutroreinntcoinmceomtaex ttoaxbeaspsaeitds bayndthceusraremnet einnctiotymleiatbalxe tloiabpialyititeasx.
    
    ptoaythteaxsaims einttaexndceodlletoctaiopnplaynndemt saentatlgeemmeennttoafucthuorrreitnyt oinrcroemlaetetdaxtoasdsiefftesraenndt elniatbitiileistielisabolre, atot tphaeystaamx,ebtiumt eth,eobretaleinvaanstseetnst,itryepliaaybldeebtot
    
    whenever every deferred income tax assets and liabilities with importance would be reversed in the future, the Company records the
    
    net amount after offsetting its current income tax assets and current income tax liabilities.
    
    28. Lease
    
    (1) Accounting treatment for operating leases
    
    owneLrsehaispestoartehecllaessssiefeieadnadstiftilneasntcoethleeasaesssewtshmenaeyveorr tmheaytenrmotseovfenthtueallleyasbeettrraannssffeerrrseudb.sAtalnltioatlhlyerallelatshees rairseksclaansdsifrieewdaarsdsopoefraatsisnegt
    
    lease(s1. ) Operating lease business with the Company recorded as lessee
    
    straigLhet-alsienepamyemtheondt foovreorptehreatilnegaseleatesermis. Trehceoginniistieadl adsirerecltatceodstasissetdicreocsttlyorapccroofuintsteadndinlopsrsoefsitfoorr tlhoesscuforrrentht epecruiorrdenutsipnegriothde.
    
    Conti(n2g)eOnpt ereranttinisgrleecaosgenbisuesdinaessspwroiftiht othreloCsosmfopratnhye rceucrorrednetdpearsioledssuopron occurrence.
    
    direcRt ceonstat lwinhceoremteheisarmecoougnntisisedlairngeprroifsitcaopr iltoaslissefodrwthheencuirnrceunrtrpeedr,ioanddusaicncgouthnetesdtrfaoigrhats-lpinreofmiteothr olodsosvfeorr tthheelceuasrreetnetrmpe.rTiohdeoinnittihael
    
    tshaemeprboafsitisoarslroescsogfonrititohne opferrieondtawl ihnecnominecouvrreerdt.hCe oennttiirnegelenatserepnetariloids; athcecoinuinttieadl dfiorercatscopsrtowfitheorre ltohsesafmorouthnet ispefreiwoderiins iwnhcliuchdeidt iins
    
    incurred.
    
    (2) Accounting treatment for finance leases
    
    (O1n) Fthineabnecginingnlienagsedabtuesionfetshsewleitahseth, ethCeoemntpraynvyarleuceoordfeldeaassedlesasseseet shall be at the lower of the fair value of the leased asset andtlohnegp-rteesrmentavcaclouuenotsf mpainyiambulem, wleiatshe dpaifyfemreennct eat rtehceobgengisiendninags duantereocfogthneisleedasfei.nManicniinmgumexpleeansseesp.ayImn eandtdsihtiaolnl ,beintihteialendtriyrevctaluceosotsfavtatlruibeuotafblleeastoedleaassseedts.itTemhes binaclaunrrceedodfumriinngimthuemprleoacseesspoayfmleeansteanfetegrodtieadtiuocntianngdusnirgencionggnoisfeldeafisneaangcrienegmeexnptenshsaelsl sbhealilnbcleudacecdoiunnttehdefor loUngn-rteecromgnliiasebdilitfyinaanndcilnognge-xtepremnsleiasbsilhitaylldbuee wreicthoignnoisneedyaesarf.inancing expenses for the current period using effective interest
    
    meth(o2d)dFuirnianngctihneg lleeaassienbgupseinrieosds.wCiothnttihnegeCnotmrepnatnsyharellcboerdiendclausdleedssinorprofit or loss for the current period at the time it incurred.
    
    initiaOl dnirthecetbceogsitnsnaintgthdeatbeeogfintnhiengleadsaet,ethoef tehnetryleavsael.ueThoef luenasseecruerceedivbaabllaenscheasllhablel tbhee raegcgorredgeadt.e Tohfemaingigmreugmateleoasfemreinciemivuambleleaansde
    
    freincaenivcainbglei,nicnoitmiael.dTirheectbcaolasntsceanodf ulenasseecurreecdeibvaalbalnecaefatenrddtehdeudcitfifnegreunntrbeceotwgneeisnedthfeiinrapnrceisnegntinvcaolumees sshhaallll bbee raecccoogunnitseeddfaosr ulonnrega-ltiesremd
    
    debt aUnndrelocnogg-ntiesremd dfienbatndcuinegwiintchoinmoensehyaellarb.e recognised as financing income for the current period using effective interest method
    
    durin(g3)thTehleeadseibntgspaerirsioindg. Cfroonmtinthgeenfitnraennctisnhgallelabseeibnucsluindeesds iwnapsropfriotvoirdelodsfsofroirnththeecfuorlrleonwt ipnegrimodanantethrse: time it incurred.
    
    W①heInndaivsisdeussailnagsstehsesmperonbt aobfiilmitypaoirfmreenctovery of lease receivables from a customer, the ability and willingness to pay leaseapnayalmyseendts. ,Ifanthdertheearpeayemviednetncreescoinrddicoaftitnhge tchuasttothmeecr,usptroomfietarbiislituynaobflethteo lreeapsaey parnodjeicttss,wailnldinggnueasrsanttoeersepfaoyr ilseansoetdstarsosnegts, awnidll thbeenpreicnecsispaarlyalnedgainl tperroecstedaureresst,iltlhneorterceeciovvaebrlaebslaer,eosruobnjleyctatvoeirnydsivmidaullaploimrtipoanircmanenbtearsesceossvmereendt,, aafntdertthaekidnigffearllenpcoessbibetlwe emeenasthuerepsroesreanltlvpraoluveisioofntfhoer bfuatdurdeebctassahndflorewcsogenxipseedctiendptroofbiteordelorisvse. d from the receivables and the carrying amount shall be accounted for as
    
    ②At tCheolelnecdtiovfethasespesesrmioedn, teoacfhiminpdaiivrmideunatl bleaasseidngoncocnretrdaicttriisskclcahsasriaficetderbisatsicesd on the amount past due and recovery, and the major
    
    basis for classificCaatitoengoarnyd provision for impairment arBeaassisfofollrocwlas:ssification Proportion of provision (%)
    
                Normal            Notyetpastdue                                0.30
                                 90 dayspastdue                                5.00
                                 90 days-1yearpastdue(inclusive)                  10.00
                Pastdue            1-2yearspastdue(inclusive)                       30.00
                                 2- 3yearspastdue(inclusive)                      50.00
                                 Over 3yearspastdue                           100.00
    
    
    ③ No bad debt provision will be made for lease receivables from related parties unless there is objective evidence that the
    
    IfCtohmerpeanisyoisbjuencatibvlee etovirdeecnocveerththaet ltehaeseleraesceeirveacbelievsabfrleosmfrroelmaterdelpaaterdtiepsa. rties are recovered and can be linked objectively to an
    
    ecavrernytinogccaumrroinugntarfetevrertsheedwsrhiatell-dnoowt ne,xtcheeedimthpeairamsseunmt elodssaemsorretcisoegdnicsoesdtswoilnl btheerdevateersoedf raenvderascaclooufnttehde floearsien rpercoefiivtaobrlelsoshsa.dTnhoe
    
    impairment provision been made.
    
    29. Other significant accounting policies and accounting estimates
    
    (A1)dDisicsocnotnintiuneudedopoepreartaitoinoniss a separately identified component of the Group that either has been disposed of or is classified asohepledraftoiornssa;le②, anisd pmareteotsf aonseinogflethcoe-foorldlionwatiendg pcloanndtiotiodnissp:o①se orfeaprseespeanrtasteamseapjoarraltienemoafjbour sliinneessoforbguesiongersasphoircagleaorgeraapohfiocapleraarteioanosf;and ③Foristhaesaucbcsoiduinatriyngactqreuaitrmedenext colfusdiivsecloynwtinituhead voipeewrattoiorness,alpel.ease refer to the relevant descriptions in Note IV. 12 “Assets and
    
    dispo(s2a)l Rgreopuuprschhaesledofof rshsaalree”s.
    
    ChenSmhianrge Preappuerr’cshashsearceos,ntshideegraaitniosnopr aloidssaensdarterannostacreticoongnciossetds.to reduce the owner’s equity, repurchase, transfer or cancellation of
    
    shareIsnsrheaslplebcet oinfctlruadnesdfeirnocfatpreitaaslurreysesrhvaer.esW, thheendiinffseurfefniccieenbtettowedeilnutteh,ecaacptiutaall raemseoruvnet wreiclleibveedofafnsedttahgeacinasrrtytihnegsaumrpoluunstroesfetrrveeasaunrdy
    
    dreiftafeinreendcperboefittws.eTenretahseurbyooshkabreaslaanrceecaanndcetlhleednoatmpinaralvvaalulueeaonfd tbhye ttrheeasnuurmy bsehraroefssshhaarlelsbceaoncffesleletdagtoainresdt uthcee cthaepistahlarreescearpviet.alW. Thehne
    
    insufficient to dilute, capital reserve will be offset against the surplus reserve and retained profits.
    
    30. Changes in significant accounting policies and estimates
    
    (1) Changes in accounting policies
    
    □ Applicable √ Not applicable
    
    (2) Changes in significant accounting estimates
    
    □ Applicable √ Not applicable
    
    31. Others
    
    be acTcuhreatCeolymcpaalcnuylanteeedddsutroinmgatkhee jaupdpglimcaetniotsn, eosfttihmeaCteosmanpdanays’ssuamcpctoiuonntsinags ptooltihceiecsa. rSryuicnhgjuadmgomuennt tosf, esstatitmemateenstaintedmassswumhipchtiocnasnnaroet
    
    amfafedcet bthaeserdepoonrttehdeahmisotuonritcoafl reexvpeenruieen,ceexspoefnstehse, Casosmetpsaannyd’sliambailniatigeesmanendtdainscdlotasukrinegofinctoonaticncgoeunnttlioatbhielritireesleavtatnhtefbaacltaonrsc,ewshheiceht dmataey.
    
    Hwhoiwchevmera,ythceauosuetccorimticeaflraodmjusstumchenetsttoimthaetecuarnrcyeirntgaianmtieosunmtaoyf adsifsfeetrseonrt lfiraobmilittihees wcuhrircehntmeasytimbeataifofnecotefdthine tChoemfuptaunrey.’s management,
    
    revisiTohnetoCaocmcopuannytinrgegeusltaimrlyatersevisierwecsotghneisaefdorienstahied pjuerdigomd einntws,heicshtimthaeteesstaimndataesissurmevpitsioednsifoint otnhleybaafsfeisctosfthcaotnptienruioedd. oApreervatiisoionn. Ais
    
    recogAntistehdeibnatlhaencpeersihoedetodf athtee, rtehveisciroitnicaanldarfeuatsurwehpeerreioCdosmifpiatnayffencetesdbsottohmcuarkreenjutdagnmd efunttus,reespteimrioatdess. and assumptions as to the items
    
    amou(n1t)oCflfaisnsaifnicciaatliosntaotefmleeanstessare set out below:
    
    EnterTphrieseCsoNmop.a2n1y c-laLsesaifsieess”i.tsWlehaesnesclaasssoipfyeirnagtinlgealseeass,etahnedmfiannaangceimngenletanseeeidnsatcocoarndaalnycsee wanitdh j“uAdgcceowunhteitnhgerStaalnl draisrkdsfoarndBuresitnuernsss
    
    rreetluatrinnsgretolattihnegotowntheersohwipneorfshleipasoefdleoaustedasassestsetsh.ave transferred to the leasee, or whether the Company has obliged to all risks and
    
    T(2h)ePCroovmispioannyfoardboapdtsdtehbetsallowance method to account for bad debt loss under the accounting policies of accounts receivable.aImndpaeisrtmimenatteofreaqcucioreudntfsorrecimeipvaaibrlmeeisntboasfeadccoonutnhtes rreeccoevivearabbleil,ittyheofdaifsfseersesnecdeabcectowuenetns rtehceeiavcatbulael.oGuitvceonmteheanmdaonraiggeinmaelnets’stimjuadtgemweinlltareffveicsitotnhepecrairordy.ing amount of accounts receivable and provision and reversal of bad debts of accounts receivable during the estimate
    
    (U3n)dAelrlothweaanccceofuonrtiinngvepnotloirciieess of inventories and by measuring at the lower of cost and net realisable value, the Company makesallowance for inventories which have costs higher than net realisable value or become obsolete and slow-moving. Write-down oftihnevemntaonraiegsemtoetnhte’sirjundetgmreeanlitssabalnedveasltuimesaitsesbaresqeudiroendtfhoersianlveeanbtoilriytyimofptahiermeevnatluoantetdheinbvaesnistooryf daenfdintihteeirevniedternecael,ispaubrlpeovsaeluoefsh. oGldivinegnitnhveeinntvoernietosraiensdapnrdovoisthioenr faancdtorresv,etrhsealdoifffebraedndceebbtestowfeiennvethnetoarcietusaallloouwtcaonmceedaunrdinogrtihgeineasltiemstaimtearteevwisiilolnapffeerciot dth. e carrying amount of
    
    A(4)cFoanisruvmalaubeleofbcioolnosguimcaalbalessbeitoliosgmiceaal sausrseedts at fair value when there is a stock. A stock is judged to be formed when theconsuTmhaebflaeirbivoalolugeicaolfaassceot n-stuimmbaebrlesubrivoilvoegsicwaelllaassfteetr ias gdrioswcothunpteerdioudsianngd ethxepemcetercdhcaanstahbflelotwimabnedr eexsctiemedaste0d.8acnudbmicemaseutrreesd. usingincom(5e)aIpmpproaaircmhe. nt of available-for-sale financial assets
    
    signifIincarnestlpyecdteopfeinmdpsaoirnmethnet ojfudavgamileanbtlse-afonrd-saaslesufminpatnicoinasl aosfsetths,ewmhaenthaegreimmepnati.rmWehnitlelosmsaskhianlgl bjeudregcmoegnntisseadnidn ianscsoummeptsitoantesm, tehnet
    
    dCuormatpioann.y shall assess the excess of cost of the investee’s identifiable net assets attributable to the investment over fair value and the
    
    A(6t) tPhreobvaisliaonncefosrhiemetpdaiartme,etnhteoCf onmonp-afinnyanmcaiaklensoitns-cjuudrrgemnteanstsaeststo whether there is any evidence indicating potential impairmentoisfannoyn-incudricreantitoanssoeftsimopthaeirrmtheannt ifninaadndciitailoanstsoettsh.eInatnannugailbliemapsasiermtsewnitthtesintidnegf.inOitteheursenfounl-lciuferrsehnatlalsbseettsesottehderfothraimn fpianiarnmceianlt awshseetns tshhearlelbe tesWtehdefnorthime cpaarirryminengtaimf tohuenret iosfaannyaesvsiedteonrceasinsedticgartoinugpsthisathtihgehirercathrraynintgheamreocuonvtercaabnlneoatmbeourenct,obveeirnegd.the higher of its fair value
    
    lWeshsecreostthseoffaidrisvpaolusealoafnadntahseseptreosreannt vaasslueet gorfouthpedfouetusrneoctahsahvfeloinwvsolevxepdecatesdaletoabgeredemereivnetdanfrdoamn tahcetiavsesemt,arikt eint,dtihceatCesomimppaaniyrmshenaltl.
    
    engagTehaenneext paemrtotuondt eotfertmheinfeaiirtsvafaluirevlaelsusecionstasvoafludaistipoons.al is determined by making reference to the price in a sale agreement in an
    
    arm’sInlepnrgotjhectrtianngsatchteiopnreosretnhtevoabluseerovfabthlee mfuaturkreetcparsihceflloewsss,thceriitniccarlemjuedngtmalecnotsstsshdailrlebcetlymaatdtreibtouttahbeleoutotpsuutc,hsealslisnegtspdriiscpeoasnadl. relevant
    
    oampeoruatnitn,gthceosCtsomofpsauncyhmasasyetasd(ooprtaaslslerteglervoaunpts)maantedritahlesdiniscclouudnintgrattheeapprpoljieecdtiionncsaalcsutloattihnegotuhetpduits,csoeullnint.gInpreicsteimanadtinreglethveanret coopveeraratibnlge
    
    costsTbhaesetdesotnshreaallsobneapbelerfoanrmd esdupaptolretaivsteoanscsuemapyteioanr sa.s to whether there is any impairment. This requires an estimate for the present
    
    vvaalluuee ooff tthhee ffuuttuurree ccaasshhfflloowwss, tohfethCeomaspsaent ygrnoeuepdss otor esesttismoafteastsheet cgarsohupflsowtoswgehnicehragteododfrwoimll tihseaflluotcuareteads.sIent gesrotiumpastionrgsethtse opfreassesnett
    
    group(7s.)MDeeapnrewchiailteio,nthaenpdreasmeonrttvisaaltuioenof future cash flows is determined using an appropriately selected discount rate.
    
    usefuTl hlieveCsoamnpdaanfytesrhtaalkl ipnrgovinidtoe adcecporuecnitaotifotnhaenirdreasmidourtailsavtaiolune,foursiinngvessttrmaiegnhtt-plrinoepemrteieths,ofdi.xTedheasCseotms paanndyinsthaanlgl irbelgeualassrleytsreovvieerwthtehier
    
    udseetefurml ilniveedsbtyo tdheeteCromminpeantyheacacmoroduinntgdtoepirtescpiaretevdioaunsdexapmeroiretnisceedotnothbee saicmcioluarntaesdseftosranind eeastcihmaretepdortteicnhgnpicearlioindn. oTvhaetiouns.efIuf lthleifree iiss
    
    any m(8a)teDrieaflecrhreadnginecionmtheetapxreavsisoeutssly made estimate, the depreciation and amortisation will be adjusted over the future period.
    
    taxabIlteipsrporfoitbsaabgleainthsattwahllicuhntuhseeddetadxucliobslse wloislsl bisearveaciolagbnlies.edThaiss trheequdierfeesrtrheed Cinocmompaentya’xs masasnetasgetomtehnet etoxtaepnpt ltyhenruemweirlolubsejusdugffmiceienntst
    
    twoitehstriemfearteentchee ttoimtheeatnadx apmlaonunnintggesntreartaetgeyd. from the future taxable profits so as to determine the amount of deferred income tax assets
    
    (T9h)eIrnecaorme esotamxe uncertainties in tax treatment and calculation for some transactions of the Company during its ordinary course ofrbeucsoingensitsi.oTnhoeutacpopmroevoafl sfurcohmtatxhemtaatxtearsutahnodritthyeiisnirteiaqlulyireedstifmoratperde-atmaxouenxtpwenidllinexgeortfasnomefefecitteomns.thAencyurdreifnfteirnecnocme ebetatwxeaennd tdheefefrirneadlincome tax during their final recognition period.
    
    VI. Taxation
    
    1. Main tax types and tax rates
    
        Tax type                              Taxbase                               Taxrate
    Value addedtax    V17a%luef-oardgdeendetraaxl,i1s1c%omfoprutseadleosnotfhgeadsiaffnedrewnacteearfatnerdd6e%dufcotriotnheosfeirnvpiuctevinalduues-tardy.ded16%、11%、6%
                  tax.
    Uanrdbacnonmsatriunctetinoanntcaex7%ofactualpaymentofturnovertax.                                       7%
    tEanxterpriseincome  2p5le%aseofretafexrabtoleNinocteomVeI.;2fo(1r)t;htehecoomveprasneiaesscwohmicphanaireesssuhbajlelcptatyotparxeefseraetntthiaeltpaoxlricaitees,25%
                  pursuant totherequirementsofthecountriesorregionswherethecompaniesare
                  located.
    sEudrucchaatrigoensal3%ofactualpaymentofturnovertax.                                       3%
    Lsuorccahlaergdeuscational2%ofactualpaymentofturnovertax.                                       2%
    
    
    2. Tax incentives
    
    (O1n) E1n0teDrpecriesme bInecro2m01e5T,atxhe Company received a high and new technology enterprise certificate with a certification number ofGreRle2v0a1n5t 3p7o0li0c0ie6s1,1t.hPeuCrsoumapnat ntoy tihsesurebqjeucirtetmo eanctsorupnodreartethiencLoamweotafxthreatPeeoofpl1e5’%s RoefptuabxlaicbloefiCnchoinmae,onanEdnitserepnrtiisteleIdnctoomtheeTparexfearnednttihaeltreatmSehnotufgruoamng20M1e5iltuon2P0a1p7e. r Co., Ltd., a subsidiary of the Company, received a high and new technology enterprise certificate with
    
    aRecpeurtbilfiiccaotfioCnhninuamobnerEnotferGpRri2se01In5c3o7m00e0T2a2x8 aonnd 1th0eDreelceevmanbtepro2li0c1ie5s., PSuhrosuugaunatntgo Mtheeilruenquisirseumbejenctts tounadceor rtphoeraLteawincoofmtheetaPxeroapteleo’sf
    
    15% Zofhatanxjiaabnlge iCnchoemnme,inagndPiuslpen&titlPedaptoerthCeop.,reLfetdre.,natiaslutbresiadtmiareyntoffrotmhe2C01o5mtpoan2y0,17re. ceived a high and new technology enterprise
    
    ctheertiPfiecoaptele’wsitRheapucbelritcifoicfaCtiohninnauomnbEerntoefrpGriRse20I1n5co4m40e00T1a4x6aonnd 3th0eSreepletvemanbtepro2l0ic1i5es. ,PZuhrsaunajinatntgo Cthheenremqiunigreims esnutbsjeucntdteor athceoLrpaowraotef
    
    incomJielitnaxCrhaetnemoifn1g5P%apoefrtaCxoa.b,lLetidn.c,oamseu,basniddiaisryenotfittlheed Ctootmhepapnreyf,erreecnetiivaledtreaahtmigehntanfrdomne2w01te5chtono2l0o1g7y. enterprise certificate with a
    
    cReerptiufibclaictioonf Cnhuimnabeorn oEfntGerRp2ri0s1e6I2n2c0o0m0e03T9axoannd1 thNeorveelmevbaenrt p2o0l1i6ci.esP,uJrisluinanCthteonmthiengreisqusuirbejmecetnttos aucnodreprotrhaete Linacwomoef ttahxeraPteeoopfle1’5s%
    
    of taxJaiabnlegxinicCohmeen,mainndgiPs aepnetirtlCedo.t,oLtthde.,paresfuebrseindtiiaarlytroefattmheenCtofmropman2y0,1r5ectoeiv2e0d17a. high and new technology enterprise certificate with
    
    aRecpeurtbilfiiccaotifoCnhninuamobnerEonfteGrpRri2se01I6n3co6m00e0T01a8x aonnd1t5heNreolveevmanbtepro2l0ic1ie6s.,PJuiarnsugaxni tCthoenthmeinregqiusirseumbjeencttstounadceorrpthoeraLteawincoofmtehetaPxeroapteleo’sf
    
    15% Pouf rtsauxaanbtletointchoemreeq,uainrdemiseenntstiotlfedRutoleth2e7porfefLearewntoiaf lthtreeaPtemoepnlet’fsroRmep2u0b1l6ictoof2C01h8in.a on Enterprise Income Tax (《中華人民共和
    
    I國nc企om業e所T得ax稅(《法》中)華a人nd民R共ule和8國6 o企f業Re所gu得lat稅ion法s實for施th條e例Im》ple)m, esunbtastiidoinaroiefsLoafwCohfetnhme iPnegopPlaep’serR, enpaumbleilcy,ofZChahninjiaanogn CEhnetenrmpriinsge
    
    AArrbboorriiccuullttuurree DDeveveleoloppmmenent tCoC.,oL.,td.L, tHd.u,anYgagnagnjgiaCnhgenCmhienngmAinrbgoriAcurbltourriecuDlteuvreeloDpmeveenltoCpmo.e, nLttd.Caon.,d CLhtde.n,mNinagnAchrabnogricuClhtuernemCinog.,
    
    Ltd. aPrueresunagnatgetodtihnea“rRboerviecnuulteurBeicllu2lt0iv0a8t”inpgaassneddthbuysTehxeemLepgtifsrloamtivceoCrpoournacteil ionfcothmeeHtoaxn.g Kong Special Administrative Region on 26
    
    cJuonmem2e0n0c8in, gC2h0e0n8m,ianngd(tHheKa)pLpilmicaitbelde, taaxsurabtseidfoiarr2y0o1f6Cwhaesn1m6i.n5g%.Paper, has been subject to a corporate income tax rate of 16.5%
    
    (2) VEalxucee-patdfdoerdthTeaxab(o“vVeApTre”f)eirnecnetniatlivpeoslicies, other subsidiaries of the Company are subject to enterprise income tax rate of 25%.
    
    Use PofurRsueasnoturtocetshebyNothtieceMoinniIsstsryuinogf tFhienaVnacleuea-nadddtehde TSatxatePrAefdemreinntiisatlraCtiaotnaloogfueTaoxnatPiorondu(Cctasi aSnhduiSe[r2v0i1ce5s] ANpop. ly7i8n)g, ZInhtaengjriaatnegd
    
    CthheerenfmoriengsuNbejewc-tsttoylaepWreaflelreMnatitaelripaolslicCyo.o,fLatnd.i,mamsuebdsiaidteiaVryAoTf rtehfeunCdomofp7a0n%y, ipnro2d0u1c7e.s bricks and blocks using waste residues and is
    
    Use PofurRsueasnoturtocetshebyNothtieceMoinniIsstsryuinogf tFhienaVnacleuea-nadddtehde TSatxatePrAefdemreinntiisatlraCtiaotanloogfueTaoxnatPiorondu(Cctasi aSnhduSi e[r2v0ic1e5s] ANpop.ly7i8n)g, ISnhtaengdraotnedg
    
    sCuhbejnemctitnogaPparneefelsreCnoti.a,lLptodl.i,cay soufbasnidiimarmyeodfiattheeVCAoTmpreafnuyn,dporofd7u0c%es. products that apply integrated use of resources and is therefore
    
    VII. Notes to items of the consolidated financial statements
    
    1. Monetary funds
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    Treasury cash                                        2,104,950.30                    2,344,438.45
    Bank deposit                                     3,528,880,339.43                  2,802,063,936.01
    Other monetaryfunds                               14,690,489,964.91                 11,639,084,086.97
                 Total                             18,221,475,254.64                 14,443,492,461.43
      Ofwhich:Totaldepositsinoverseas                      639,719,297.65                   508,707,081.55
    banks
    
    
    Nfoortteh:e①appOlicthaetiromn foonrebtaarnykfaucncdespotafnRceMwBi6th,6t9h0e,4b3an4k,7s7b0y.8t2he(3G1roDuepc.ember 2017: RMB4,822,551,296.94) were the guarantee deposit
    
    for the②appOlitchaetriomnofnoertlaertytefruonfdcsreodfitRwMitBh2t,h5e1b0a,4n6k8s,3b2y3t.h2e1G(3ro1uDp.ecember 2017: RMB1,333,152,563.36) were the guarantee deposit
    
    for the③appOlitchaetriomnofnoertgauryarfaunntedessowf iRthMthBe3b,8a2n6k,s3b7y7,t1h1e9G.4r5ou(3p1. December 2017: RMB4,939,992,248.75) were the guarantee deposit
    
    the ④ Other monetary funds of RMB1,266,999,751.43 (31 December 2017: RMB90,037,977.92) were the guarantee deposit for
    
    application for loans with the banks by the Group.
    
    reserve⑤deOpothsietratmtohneebtaanryksf.unds of RMB396,210,000.00 (31 December 2017: RMB453,350,000.00) were the Group’s statutory
    
    2. Financial assets measured at fair value through profit or loss
    
    Unit: RMB
    
                          Item                           Closingbalance         Openingbalance
    Financial assetsdesignatedatfairvaluethroughprofitorloss                       0.00           94,000,000.00
                 Total                                      0.00                    94,000,000.00
    
    
    sOhtahreerhoelxdpelranoaftGiouna:nOgdnon1g6 DAepjurinl,InthveestCmoemnpt aCnoy., aLntdd.)SehnatnegrehdaiinZtohotnhgenGenuganEgdnotenrgprDiseejuDneIvnevleosptmmeenntt C(Go.r,oLuptd). CEqou.,itLytRd.ep(uanrcohthaseer
    
    aAmgoreuenmt efonrt,ppreumrsiuuamntrteopuwrhcihcahs,etahte4C%ompeprayneyari.s entitled to the fixed investment income from the equity investment and received an
    
    3. Bills receivable
    
    (1) Classification of bills receivable
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    Bank acceptancebills                                3,414,858,233.25                  4,120,231,853.56
    Commercial acceptancebills                                    0.00                   100,000,000.00
                 Total                              3,414,858,233.25                  4,220,231,853.56
    
    
    (2) Bills receivable of the Company pledged at the end of the period
    
    Unit: RMB
    
                        Item                             Pledgedamountattheendoftheperiod
    Bank acceptancebills                                                             1,901,430,321.76
    Commercial acceptancebills                                                                 0.00
                        Total                                                    1,901,430,321.76
    
    
    (3) Outstanding bills receivable endorsed or discounted by the Company as at the end of the period
    
    Unit: RMB
    
                 Item              Derecognisedamountasattheendofthe   Recognisedamountasattheendoftheperiodperiod
    Bank acceptancebills                                5,330,734,383.89                          0.00
    Commercial acceptancebills                                    0.00
                 Total                              5,330,734,383.89                          0.00
    
    
    (4) Other explanation
    
    pledgAeds aint 3e0xcJhuanneg2e0f1o8r, sbhilolrst-wteirtmh thbeorcroarwryininggs aomf oRuMntBo1f,5R6M9,3B812,6,51020,3.0809.,7A5s9.a1t33(031JuDneece2m01b8e,r b2i0ll1s7w: RithMtBh9e7c2a,3rr7y9i,n9g99a.m17o)unwteoref
    
    RRMMBB225975,,504000,,506020..6030 w(a3s1isDsueecdemthbeererfo2r.01A7s: atR3M0BJu4n4e3,2707128,3,9b0i.l7ls8)wiwthetrhee cpalerrdygiendg aamnodunat olfetRteMr Bo3f1,5g0u0a,r0a0n0te.0e0 a(3m1oDunetcinemg betor
    
    2017A: RsMatB36092Ju,0n0e72,403108.,76th)ewaecrceupmleudlgateeddabnadnaklaecttceerpotafnccreedbitilalsmiosusunetidngbytothReMGBr2o2u,p62to9,b48an4k.0s0awmaosuinstseudedtothReMrefBo2r.,991,700,361.67
    
    (22001187,:oRutMstaBn3d,i7n4g2d,6i7sc9o,9u9n4te.5d5b)i,llwsirtehcediivscaobulentamexopuenntseedstoinRcuMrrBed2,5o5f 4R,7M6B4,7807,29.1755,8(23001.975: R(2M01B72:,1R6M9,B10722,,467993.,2259)3..53). As at 30 June
    
    4. Accounts receivable
    
    (1) Disclosure of accounts receivable by category
    
    Unit: RMB
    
                                 Closing balance                              Openingbalance
          Category          Bookbalance        Baddebtsprovision              Bookbalance        Baddebtsprovision
                                         Provision   Carryingamount                              CarryingamountAmountPercentage   Amount   percentage          Amount   Percentage    Amount   Provisionpercentage
    iAncdcivoiudnutaslrlyecseiigvnaibfilceatnhtabtuatreassessed  40,852,895.55     0.99%  40,852,895.55    100.00%        37,864,672.83     0.94%  37,864,672.83     100.00%       0.00
    individuallyforimpairment
    cAoclcleocutnivtselryecaesisveasbseledtfhoartiamrepairment4,096,627,882.60    99.01% 324,655,320.10     7.92% 3,771,972,562.50 3,988,541,011.
    basedoncreditriskcharacteristics                                          28    99.01%  322,675,434.25      8.61%  3,665,865,577.03
    iRnescigenivifaibclaensttbhuattaasreseisnsdeidviidnudaivlliydually 0.00     0.00%     0.00     0.00%        1,994,466.60     0.05%   1,994,466.60     100.00%       0.00
    forimpairment
          Total       4,137,480,778.15    100.00% 365,508,215.65     8.83% 3,771,972,562.50 4,028,400,150.71   100.00%  362,534,573.68      9.00%  3,665,865,577.03
    
    
    Accounts receivable that are individually significant but assessed individually for impairment as at the end of the period:
    
    √ Applicable □ Not applicable
    
    Unit: RMB
    
                                                            Closing balance
               Receivable(byentity)             Accounts    Baddebt   Provision
                                          receivable    provision  percentage     Reasonforprovision
    FOSHAN SHUNDEXINGCHENPAPERCO.,LTD. 26,236,528.70 26,236,528.70 100.00%  Overdueforaprolongedperiodandunlikelytoberecovered
    BEIJING HUAXIACULTUREMEDIACO.,LTD.   8,207,950.42  8,207,950.42 100.00%  Overdueforaprolongedperiodandunlikelytoberecovered
    NANO.D1TMEICDHDNLEOLSOCGHIOCOALLODFEWVEULHOAPNMEECNOTNZOOMNIEC1,916,773.20  1,916,773.20 100.00%  Oavnedrduunelifkoerlayptorobleonrgeceodvpeerreidod
    JIANGXI LONGMINGENTERPRISECO.,LTD.    1,763,987.74  1,763,987.74 100.00%  Overdueforaprolongedperiodandunlikelytoberecovered
    NANCHANG XINGBOPAPERCO.,LTD.        1,656,205.97  1,656,205.97 100.00%  Overdueforaprolongedperiodandunlikelytoberecovered
    SHANGHAI KANGNUOFLOORING           1,071,449.52  1,071,449.52 100.00%  OverdueforaprolongedperiodMANUFACTURINGCO.,LTD.                                            andunlikelytoberecovered
                    Total                 40,852,895.55 40,852,895.55    --              --
    
    
    Use of ageing analysis for making bad debt provision in groups:
    
    √ Applicable □ Not applicable
    
    Unit: RMB
    
            Ageing                                    Closingbalance
                              Accountsreceivable         Baddebtprovision         Provisionpercentage
    Within 1year
    Of which:within3months              2,524,113,758.35            118,868,916.30                 4.71%
    4-6 months                         549,224,133.45            27,461,206.69                  5.00%
    7-12 months                         57,217,805.64             2,860,890.26                  5.00%
    Sub-total forwithin1year              3,130,555,697.44            149,191,013.25                  4.77%
    1-2 years                            68,951,648.77             6,895,164.88                 10.00%
    2-3 years                            86,974,725.73            17,394,945.15                 20.00%
    Over 3years                        151,174,196.83            151,174,196.83                100.00%
             Total                   3,437,656,268.77            324,655,320.10
    
    
    (2) Provision, recovery or reversal of bad debt provision for the period
    
    BduardindgebthtepcrouvrriesinotnpfeorirotdhewcausrrReMntBp1e,r5io8d9,a8m36o.u9n9t.ed to RMB4,563,478.96. The amount for bad debt provision recovered or reversed
    
    (3) Particulars of accounts receivable actually written off during the reporting period
    
    Unit: RMB
    
                        Item                                    Amountwrittenoff
    Accounts receivableactuallywritten-off                                                   1,907,616.23
    
    
    Significant accounts receivable written-off:
    
    Unit: RMB
    
        Name ofentity    NaturreeceoifvaacbcloeuntswArimtteonunotffReasonforwrittenoff      WpperroriftcoteerdnmuoerefdftraArnesrlaiasctietnidognpfaroorrtmynot
    HFAECBTEOIRPRYIONFTIPNEGOPLE'SPaymentforgoods   534,612.10 Overdueforaprolongedperiod Approvedbythe
    DAILY                                      andunlikelytoberecovered  generalmanager     No
    JILIN CHANGCHUN   Paymentforgoods  1,099,418.13 Overdueforaprolongedperiod ApprovedbytheCARDFACTORY                              andunlikelytoberecovered  generalmanager     No
    PJIRNIANNTIHNAGNCZOH.,ALNTGD.Paymentforgoods   273,586.00 OavnedrduunelifkoerlayptorobleonrgeceodvpeerreidodAgepnperroavlemdabnyagtheerNo
           Total              --       1,907,616.23           --                --           --
    
    
    (4) Top five accounts receivable based on closing balance of debtors
    
                      Nameofentity                    Nature    CbalolasnincgeAgeing   PoefrccleonstianggeClosing
                                                                             baltaontcaelof bbaaladndceebotf
                                                                             raeccceoivuanbtlseprovision
    LBAEINJIGNUGAGEPPAUPBELRICATCIOOMNPSANYFOR   FOREIGN Paygmooendtsfor133,5409.,9157Within1year    3.23% 6,677,4.5585
    YUNNAN PRINTINGMATERIALSCORPORATION    Paymentfor 83,711,747 Within1year         4,185,587
                                                    goods                        2.02%.25   .36
    GUIZHOU PRINTINGMATERIALSCORPORATION    Paymentfor 81,525,220 Within1year         4,076,261
                                                    goods                        1.97%.72   .04
    SICHAUN PRINTINGMATERIALSCORPORATION.    Paymentfor 69,428,539 Within1year         3,471,426
                                                    goods                        1.68%.67   .98
    SHANXI PRINTINGMATERIALSCORPORATION     Paymentfor 63,292,602 Within1year         7,461,197
                                                    goods          or1to2years    1.53%.60   .66
                         Total                         --    431,507,28     --       12.38% 28,2073,.9635
                                                               1.19
    
    
    5. Prepayments
    
    (1) Presentation of prepayments stated according to ageing analysis
    
    Unit: RMB
    
          Ageing                   Closingbalance                        Openingbalance
                           Amount            Percentage           Amount           Percentage
    Within 1year              1,939,522,004.84            94.51%      1,766,616,133.82            90.03%
    1-2 year                   112,687,093.50             5.49%       195,535,339.53             9.97%
           Total             2,052,209,098.34        --              1,962,151,473.35        --
    
    
    (2) Top five prepayments according to closing balance of prepaid parties
    
                  Name ofentity                 Amount   Percentage(%)   Term    Reasonforbeingunsettled
    JDIAEVNEGLXOIPPMROENVTINCCOE.,ZLHTODN.GLIANENERGY       191,215,583.36     9.32% Within1year  aPcrceopradyimngentotstfhoeraggoroededs
                                                                                contract
    ZHANJIANG MINGLITRADINGCO.,LTD.         91,584,634.70      4.46% Within1year  aPcrceopradyimngentotstfhoeraggoroededs
                                                                                contract
    GUANGDONG LEPENGTRADINGCO.,LTD.       68,352,514.04      3.33% Within1year  aPcrceopradyimngentotstfhoeraggoroededs
                                                                                contract
    PHAEPNEARNCXOI.N,LYTUDI.NTERNATIONALPULPAND      59,841,051.05      2.92% Within1year  aPcrceopradyimngentotstfhoeraggoroededs
                                                                                contract
    LSHTDA.NGHAIMUHAOINTERNATIONALTRADECO., 51,865,502.43      2.53% Within1year  aPcrceopradyimngentotstfhoeraggoroededs
                                                                                contract
                      Total                  462,859,285.58    22.55%
    
    
    6. Other receivables
    
    (1) Other receivables by category
    
    Unit: RMB
    
                                 Closing balance                              Openingbalance
          Category          Bookbalance        Baddebtprovision               Bookbalance        Baddebtprovision
                     Amount   Percentage   Amount   pPerrocveinstiaogneCarryingamount  Amount   Percentage    Amount   Provisionpercentage  Carryingamount
    sOigthneirfirceacnetibvaubtlaesssethsasetdariendinivdiidvuidaullaylly28,935,015.66     4.17%  28,935,015.66    100.00%        28,935,015.66     4.52%  28,935,015.66     100.00%       0.00
    forimpairment
    Ocarsteshedesirtserreidsckfeoicrvhaiambrlapecastietrhrmiasettinactrsebacsoeldlecotnively658,189,914.56    94.76%  64,144,550.97     9.75%  594,045,363.59 604,070,216.83    94.32%  65,335,559.83      10.82%   538,734,656.55
    iOntshigernirfeicceainvtabbuletsasthseastsaerdeiinnddiivviidduuaallllyy7,456,768.12     1.07%  7,456,768.12    100.00%        7,456,768.12     1.16%   7,456,768.12     100.00%       0.00
    forimpairment
          Total        694,581,698.34    100.00% 100,536,334.75    14.47%  594,045,363.59 640,462,000.16   100.00%  101,727,343.61      15.88%   538,734,656.55
    
    
    Other receivables that are individually significant but assessed individually for impairment as at the end of the period:
    
    √ Applicable □ Not applicable
    
    Unit: RMB
    
                                                                  Closingbalance
                  Other receivables(byentity)                  Other      Baddebt   Provision  Reasonsfor
                                                     receivables    provision  percentage   provision
    ANDRITZ AG                                       3,143,660.15  3,143,660.15  100.00% Unlikelytoberecovered
    VOITH GERMANY                                   2,615,790.98  2,615,790.98  100.00% Unlikelytoberecovered
    METSO PAPER(CHINA)CO.,LTD.                        4,725,039.89  4,725,039.89  100.00% Unlikelytoberecovered
    TYRIZAHDIJINIAGP(ASPHEARNMGAHKAIIN)GCOD.E,LHTYDD.RATIONEQUIPMENT        1,345,757.83  1,345,757.83  100.00% Unrleickoevlyerteodbe
    HONG KONGDANBELLCOMPANY                      1,699,390.16  1,699,390.16  100.00% Unlikelytoberecovered
    AHLSTROM FINLAND                                2,820,742.72  2,820,742.72  100.00% Unlikelytoberecovered
    GUANGDONG PETRO-TRADEDEVELOPMENTCORPORATION  1,396,048.80  1,396,048.80  100.00% Unlikelytoberecovered
    QINGDAO SECONDAUTOMOTIVEANDTRANSPORTATION    1,137,295.16  1,137,295.16  100.00% UnlikelytobeLOGISTICSBRANCHCOMPANY                                                      recovered
    CHUAN HUAPRECISIONCORPORATIONOFTAIWAN         2,253,993.04  2,253,993.04  100.00% Unlikelytoberecovered
    ZIBO KAIHONGENERGYCO.,LTD.                       1,130,000.00  1,130,000.00  100.00% Unlikelytoberecovered
    JIEERGU COMPANY                                  1,685,806.12  1,685,806.12  100.00% Unlikelytoberecovered
    ZHENGZHOU SHUNFACOALSALESCO.,LTD.              2,871,239.32  2,871,239.32  100.00% Unlikelytoberecovered
    SPECTRIS                                          2,110,251.49  2,110,251.49  100.00% Unlikelytoberecovered
                          Total                       28,935,015.66 28,935,015.66    --        --
    
    
    In the groups, other receivables with provision for bad debts based on ageing analysis:
    
    √ Applicable □ Not applicable
    
    Unit: RMB
    
            Ageing                                    Closingbalance
                               Otherreceivables          Baddebtprovision         Provisionpercentage
    Within 1year
    Sub-total forwithin1year               203,790,887.22            10,189,544.36                  5.00%
    1 to2years                          15,064,521.90             1,506,452.19                 10.00%
    2 to3years                          34,287,134.25             6,857,426.85                 20.00%
    Over 3years                         45,591,127.57            45,591,127.57                100.00%
             Total                     298,733,670.94            64,144,550.97
    
    
    (2) Provision, recovery or reversal of bad debt provision for the period
    
    BthaedpdeeribotdpwroavsisRioMnBfo1r4t,7h5e1p,e7r5i1o.d43am. ounted to RMB13,560,742.56. The amount for bad debt provision recovered or reversed during
    
    (3) Top five other receivables according to closing balance of debtors
    
    Unit: RMB
    
             Name ofentity            Nature   Closingbalance   Ageing   PbearlacnencetaogfetooftaclloosthinegrbalaCnlcoesionfgbad
                                                                     receivables    debtprovision
    CSHOA.,NLTDDO.NGSTEELGROUPFINANCE Loans       200,000,000.00 Within1year           28.79%
    SINOTRUK FINANCECO.,LTD.     Loans       100,000,000.00 Within1year           14.40%
    CWOE.I,FLATNDG.SIMEDARBYWESTPORT Opencredit    19,093,750.00 Within1year            2.75%    954,687.50
    CGOUNASNTGRDUOCNTGIOZNHCOON.G,LTTUDO     Opencredit    15,200,000.00 2-3years               2.19%  3,040,000.00
    VALMETCORPORATIONFINLAND  Opencredit     5,533,180.79 2-3years               0.80%  1,106,636.16
                 Total                 --      339,826,930.79     --               48.93%  5,101,323.66
    
    
    7. Inventories
    
    (1) Categories of inventories
    
    Unit: RMB
    
                              Closingbalance                           Openingbalance
         Item      Bookbalance    ImprpoaviirsmioenntCarryingamount  Bookbalance    Impairment
                                                                     provision    Carryingamount
    Raw materials   2,468,203,325.14    8,138,005.87 2,460,065,319.27 2,431,905,097.56    8,138,005.87 2,423,767,091.69
    pWroodrku-citns-process32,553,546.43    1,835,271.09   30,718,275.34  115,619,584.50    1,835,271.09  113,784,313.41
    Goods instock   2,112,668,532.20             2,112,668,532.20 1,419,054,457.14             1,419,054,457.14
    bCioonlosugmicaalbalessets1,515,976,239.80             1,515,976,239.80 1,756,375,954.07             1,756,375,954.07
    Dpreovdeulcotpsing 309,887,374.86               309,887,374.86  309,823,674.86               309,823,674.86
         Total     6,439,289,018.43    9,973,276.96 6,429,315,741.47 6,032,778,768.13    9,973,276.96 6,022,805,491.17
    
    
    (2) Impairment provision for inventories
    
    Unit: RMB
    
                                  Increasefortheperiod          Decreasefortheperiod
         Item     Openingbalance    Provision       Others       Retrvaenrssfaelror  Others     Closingbalance
    Raw materials      8,138,005.87                                                      8,138,005.87
    Work inprogress     1,835,271.09                                                      1,835,271.09
         Total        9,973,276.96                                                      9,973,276.96
    
    
    8. Non-current assets due within one year
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    Long-term receivablesduewithinoneyear                  5,648,853,164.63                  6,901,695,875.94
                 Total                              5,648,853,164.63                  6,901,695,875.94
    
    
    9. Other current assets
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    VATrecoverable                                   1,143,634,175.09                   946,555,831.51
    Prepaid tax                                         45,801,512.78                    3,703,141.50
    Rweitcheiinvaobnleesyeuanrderfinancialleasedue                     10,202,152,084.06                 10,618,498,357.25
                 Total                             11,391,587,771.93                 11,568,757,330.26
    
    
    10. Available-for-sale financial assets
    
    (1) Particulars of available-for-sale financial assets
    
    Unit: RMB
    
                                 Closing balance                        Openingbalance
            Item        Bookbalance  PirmopvaisiiromnefnotrCaamrroyuinntgBookbalance   Provisionfor
                                                                     impairment   Carryingamount
    iAnvsatriulambelen-tfso:r-saleequity  104,450,000.00  1,450,000.00 103,000,000.00 2,454,450,000.00   1,450,000.00 2,453,000,000.00
        Atcost          104,450,000.00  1,450,000.00 103,000,000.00 2,454,450,000.00   1,450,000.00 2,453,000,000.00
           Total        104,450,000.00  1,450,000.00 103,000,000.00 2,454,450,000.00   1,450,000.00 2,453,000,000.00
    
    
    (2) Available-for-sale financial assets measured at cost as at the end of the period
    
    Unit: RMB
    
                          Bookbalance                        Provisionforimpairment            Equityinterestin
       Investee    Openingbalance Increaseforthe  Decreaseforthe  Closingbalance  Openingbalance  Increaseforthe  Decreaseforthe         theinvesteeheldby Cashthdeivpiedreinoddsfor
                       period     period                     period      period    Closingbalance   theCompany
    QCHINEGNZMHIONUG
    ADMENYALTUUMRACTOI.O,NLTD.   900,000.00                   900,000.00    900,000.00                    900,000.00     30.00%
    MSHAAKNINDGON&GPAPER
    EPRNITNETRIPNRGISES  200,000.00                   200,000.00    200,000.00                    200,000.00      2.00%
    CORPORATION
    CJIONMANMSEHRACINAGLYOU350,000.00                   350,000.00    350,000.00                    350,000.00      5.00%
    COMPANYLIMITED
    ZGHUEAJNIAGNYGUIDALL    2,000,000.00                  2,000,000.00                                     9.96%
    PRINTCO.,LTD.
    SAONUHRUCIETIME   1,000,000.00                  1,000,000.00                                     10.00%
    CORPORATION
    SHHOANNGDQOIANOG
    CVOEN.,TLTUDR.ECAPITAL   50,000,000.00                  50,000,000.00                                     16.67%
    CLIOD.,ELTTEDC.HNOLOGY   36,000,000.00                  36,000,000.00                                     3.00%
    SHHEANNGGZHHEANIG
    VINEVNETSUTRMEENT  6,000,000.00  8,000,000.00           14,000,000.00                                     11.43%
    CPAERNTTNEERR(SLHIMIPI)TED
    DGUEJAUNNGDONG
    LINTVDE.STMENTCO.,  2,350,000,000.00        2,350,000,000.00      0.00                                     50.00%
        Total    2,446,450,000.00  8,000,000.00  2,350,000,000.00  104,450,000.00   1,450,000.00                   1,450,000.00    --
    
    
    (3) Changes in impairment of available-for-sale assets during the reporting period
    
    Unit: RMB
    
         Typeofavailable-for-saleassets      Available-for-saleequityinstruments   Available-for-saledebtinstrumentsTotal
    Opening balanceofprovisionforimpairment                   1,450,000.00                     1,450,000.00
    Provision madeduringthecurrentperiod                            0.00                           0.00
    Decrease forthecurrentperiod                                  0.00                           0.00
    Closing balanceofprovisionforimpairment                    1,450,000.00                     1,450,000.00
    
    
    11. Long-term receivables
    
    (1) Particulars of long-term receivables
    
    Unit: RMB
    
                                Closing balance                          Openingbalance
          Item        Bookbalance   PrboavdisdioenbtfsorCarryingamount   Bookbalance   Provisionfor
                                                                       baddebts   Carryingamount
    Fpainyamnecnetlseasing17,191,992,230.55 176,370,744.6017,015,621,485.95 17,824,233,394.52 109,695,662.35 17,714,537,732.17
    unreaIlnisceluddfiinnga:ncing1,804,823,919.07          - 1,804,823,919.07 1,411,979,767.05            1,411,979,767.05
    income
    aLsessest:sndoune-cwuirtrheinntone5,667,568,816.47 18,715,651.84 5,648,853,164.63 6,921,710,823.32 20,014,947.38 6,901,695,875.94
    year
          Total       9,719,599,495.01 157,655,092.76 9,561,944,402.25 9,490,542,804.15 89,680,714.97 9,400,862,089.18
    
    
    12. Long-term equity investments
    
    Unit: RMB
    
                                          Increase/decreasefortheperiod
      Investee   Openingbalance  Investment   Investment   Pirnovfeits/tlmosesnotfAdjuostthmeerntof  Changesinother Distributionof  Provisionfor         Closingbalance Closingbalance
                                                       cashdividendsor          Others           ofprovisionadditionreduction  recognisedunder comprehensive   equity
                                  equitymethod   income           profitdeclared   impairment
    I.Jointventures
    CSHHOEUNGMUINAGNG
    BHUUIILSDENINNGEW3,087,296.72                 -152,076.08                                       2,935,220.64
    CMOA.T,ELTRDIA.LS
    WDAERIFBAYNWGESSIMTE  104,784,922.41                 -1,007,659.69                                      103,777,262.72
    PORTCO.,LTD.
    Subtotal      107,872,219.13                 -1,159,735.77                                      106,712,483.36
    II.Associates
    JJIIAANNGGBXAIO
    MCOELDOIAUR   1,754,051.46                 -480,140.20                                       1,273,911.26
    PLTRDIN.TINGCO.,
    DZHEUCHHEANINEW
    TEQHUIRIDTYBOARD
    FINUVNEDSTMENT 51,918,433.41                  115,077.17                                      52,033,510.58
    C(LOIMMIPTAENDY
    PARTNERSHIP)
    NKAINIGCHBEON
    HEQUUAIMTYEI
    FINUVNEDSTMENT198,981,173.01                 1,282,985.50                                      200,264,158.51
    (PLAIRMTINTEERDSHIP
    PARTNERSHIP)
    CWHUEHNAMNING
    RWEAANLXEISNTGATE26,415,056.62                -11,958,315.95                                      14,456,740.67
    CO.,LTD.
    JCIHAENNGMXIING 4,927,893.82                 -1,117,059.96                                       3,810,833.86
    PORTCO.,LTD.
    CXHUECNHMANINGG       26,710,116.52         -3,836,313.79                                      22,873,802.73
    PAPERCO.LTD.
      Subtotal    283,996,608.32  26,710,116.52         -15,993,767.23                                      294,712,957.61
       Total    391,868,827.45  26,710,116.52         -17,153,503.00                                      401,425,440.97
    
    
    13. Investment properties
    
    (1) Investment properties under the cost method
    
    √ Applicable □ Not applicable
    
    Unit: RMB
    
                 Item              Housingandbuildingstructure  Landuseright  ConstructioninprogressTotal
    I. Originalcarryingamount
        1.Openingbalance                        4,847,572,022.07                        4,847,572,022.07
        2.Increasefortheperiod
        3.Decreasefortheperiod
        4.Closingbalance                        4,847,572,022.07                        4,847,572,022.07
    aIIc.cAucmcuulmatueldataemdodretpisraetcioiantionand
        1.Openingbalance                          38,036,912.25                          38,036,912.25
        2.Increasefortheperiod                      59,040,941.31                          59,040,941.31
        (1)Provisionoramortisation                   59,040,941.31                          59,040,941.31
        3.Decreasefortheperiod
        4.Closingbalance                          97,077,853.56                          97,077,853.56
    III. Provisionforimpairment
        1.Openingbalance
        2.Increasefortheperiod
        3.Decreasefortheperiod
        4.Closingbalance
    IV.Carryingamount
        1.Closingcarryingamount                  4,750,494,168.51                        4,750,494,168.51
        2.Openingcarryingamount                  4,809,535,109.82                        4,809,535,109.82
    
    
    14. Fixed assets
    
    (1) Particulars of fixed assets
    
    Unit: RMB
    
                         Housing andbuilding   Machineryand                ElectronicItemstructure         equipment       Vehicles    equipmentand      Totalothers
    I. Originalcarryingamount:
      1.Openingbalance          8,550,130,664.61  32,357,264,151.18 355,292,830.51 439,890,095.33 41,702,577,741.63
      2.Increasefortheperiod       209,041,937.75    431,582,063.33   7,052,516.03   7,923,816.06   655,600,333.17
        (1)Acquisition             17,007,522.89     35,982,160.04   5,283,650.18   5,543,114.39    63,816,447.50
    const(r2u)ctTiorannisnfeprrroedgrfersosm192,034,414.86    395,599,903.29   1,768,865.85   2,380,701.67   591,783,885.67
      3.Decreasefortheperiod        97,565,930.19    565,657,833.49   1,987,980.43  10,139,232.48   675,350,976.59
        (1)Disposalor             97,565,930.19     37,625,101.70   1,987,980.43  10,139,232.48   147,318,244.80
    retirement
    const(r2u)ctTiorannisnfeprrroedgrienstso             528,032,731.79
      4.Closingbalance          8,661,606,672.17  32,223,188,381.02 360,357,366.11 437,674,678.91 41,682,827,098.21
    II. Accumulateddepreciation
      1.Openingbalance          1,437,843,056.33  11,437,397,169.74 143,458,304.23 264,188,740.27 13,282,887,270.57
      2.Increasefortheperiod       116,767,347.28    643,219,732.27  16,793,032.49   7,580,024.77   784,360,136.81
        (1)Provision              116,598,720.88    643,219,732.27  16,793,032.49   7,580,024.77   784,191,510.41
        (2)Others                  168,626.40                                            168,626.40
      3.Decreasefortheperiod        1,199,415.72    390,851,613.58   1,359,587.62   5,135,703.97   398,546,320.89
    retire(m1)enDtisposalor              1,199,415.72     16,521,798.39   1,359,587.62   5,135,703.97    24,216,505.70
    const(r2u)ctTiorannisnfeprrroedgrienstso             374,329,815.19
      4.Closingbalance          1,553,410,987.88  11,689,765,288.43 158,891,749.10 266,633,061.07 13,668,701,086.48
    III. Provisionforimpairment
      1.Openingbalance            51,900,151.11    139,905,410.65     13,092.92    362,313.33   192,180,968.01
      2.Increasefortheperiod
        (1)Provision
      3.Decreasefortheperiod                        942,037.96                             942,037.96
    retire(m1)enDtisposalor                             942,037.96                             942,037.96
      4.Closingbalance            51,900,151.11    138,963,372.69     13,092.92    362,313.33   191,238,930.05
    IV.Carryingamount
    1. Closingcarryingamount      7,056,295,533.18  20,394,459,719.90 201,452,524.09 170,679,304.51 27,822,887,081.68
    2. Openingcarryingamount      7,060,387,457.17  20,779,961,570.79 211,821,433.36 175,339,041.73 28,227,509,503.05
    
    
    (2) Particulars of temporarily idle fixed assets
    
    Unit: RMB
    
              Item           Originalcarryingamount  Accumulated   Provisionfordepreciationimpairment   Carryingamount   Remark
    Housing andbuildingstructure          198,634,423.34  62,308,475.97  51,900,151.11   84,425,796.26
    Machinery andequipment             480,998,965.75 150,545,416.85 139,160,790.69   191,292,758.21
    Vehicles                           1,460,746.36   1,236,706.21     28,576.91      195,463.24
    Electronic equipmentandothers           4,233,072.56   3,845,349.03    120,784.43      266,939.10
              Total                 685,327,208.01 217,935,948.06 191,210,303.14   276,180,956.81
    
    
    (3) Particulars of fixed assets without obtaining property right certificates
    
    Unit: RMB
    
                          Item                       Carryingamount  Reasonfornotyetobtainingpropertyrightcertificates
    ZHANJIANG CHENMINGPULP&PAPERCO.,LTD.           1,228,040,417.40 Processingwithscheduledoperationcommencementnotimminent
    JILIN CHENMINGPAPERCO.,LTD.                        469,183,035.93 Processingwithscheduledoperationcommencementnotimminent
    SHOUGUANG MEILUNPAPERCO.,LTD.                    292,308,998.28 Processingwithscheduledoperationcommencementnotimminent
    HAICHENG HAIMINGMININGCO.,LTD.                    249,880,577.86 Processingwithscheduledoperation
                                                                 commencementnotimminent
    JIANGXI CHENMINGPAPERCO.,LTD.                     196,955,746.88 Processingwithscheduledoperationcommencementnotimminent
    SHANDONG CHENMINGPAPERHOLDINGSLIMITED           88,030,254.36 Processingwithscheduledoperationcommencementnotimminent
    WUHAN CHENMINGHANYANGPAPERHOLDINGSCO.,LTD.     76,400,732.81 Processingwithscheduledoperationcommencementnotimminent
    SHANDONG GRANDVIEWHOTELCO.,LTD.                 41,046,490.33 Processingwithscheduledoperationcommencementnotimminent
                          Total                       2,641,846,253.85
    
    
    15. Construction in progress
    
    (1) Particulars of construction in progress
    
    Unit: RMB
    
                                Closing balance                         Openingbalance
          Item        Bookbalance   PirmopvaisiiromnefnotrCarryingamount   Bookbalance   PirmopvaisiiromnefnotrCarryingamount
    p4u0l0pTp/droMjeeccthanical109,726,341.02             109,726,341.02   23,575,818.57             23,575,818.57
    (Headquarters)
    cNuelwtusrpalripnatpmerachineto
    pmualcphliinneeandrelated   1,131,232,128.35            1,131,232,128.35   902,644,220.48            902,644,220.48
    t(rHaenasdfoqrumaratteiorsn)
    C(Mheemiluicna)lpulpproject  2,335,015,663.33            2,335,015,663.33 1,801,971,276.32           1,801,971,276.32
    Hpaipgehr-e(nMdeciluulntu)ral1,397,957,131.33            1,397,957,131.33   697,210,244.24            697,210,244.24
    Hmaaigmniensgitemdineeinpg
    (pHroacimesisningg)project      572,496,001.86             572,496,001.86 1,047,440,597.94           1,047,440,597.94
    FHouraensgtgaanndgPCapheernming
    I(PntuelgpriantgioPnroPjreocjte)ct3,282,772,975.06            3,282,772,975.06 2,482,982,255.45           2,482,982,255.45
    C(Hhueannmgignagn)g
    Ipnrotejgecratt(eHdutaenrmgginaanlg247,339,310.45             247,339,310.45   191,050,346.34            191,050,346.34
    Chenming)
    1m0a0c,h0i0n0e-tcohnanpgaipnegr
    Cprhoejnecmti(nXgu)chang                                        170,475,982.49            170,475,982.49
    Others              560,273,323.58 14,764,226.23   545,509,097.35   366,082,898.27 14,764,226.23  351,318,672.04
          Total       9,636,812,874.98 14,764,226.23 9,622,048,648.75 7,683,433,640.10 14,764,226.23 7,668,669,413.87
    
    
    (2) Changes in material construction in progress projects for the period
    
    Unit: RMB
    
     Projectname   (RBMudBg’e0t0Openingbalance Increaseforthe TraasnssefetrfotortfhixeeddeduOcttihoenrsfor Closingbalance IAncvceustmmuelnattetdoConstructionin AccacpuimtaulilsaetdedcOafpiwtahliicsehd:CaraptietaolifsathtieonSourceoffund
             million)          period    period    theperiod          budget    progress    interest   infoterrtehsetapmeroioudntinfoterrtehsetapmeroioudnt
    4Mpr0oe0jcTehc/adtn(iPcaarlepnutlp1.30 23,575,818.57 86,083,169.49              109,658,988.06       84.35%     2,966,101.58  2,637,207.67    6.16% bSoelrfr-orwaiisnegdsor
    Company)
    Nmeawchsipnreintto
    cmualctuhrianlepaanpder
    rtrealnatsefdorpmualptiolinne 3.72 902,644,220.48 225,858,394.09              1,131,232,128.53       99.00%     15,006,123.28 12,782,733.72    6.16% bSoelrfr-orwaiisnegdsor
    (CPoamrepnatny)
    pCrhoejmecitc(aMlpeuillupn)   43.77 1,801,971,276.23 533,044,387.01              2,335,015,663.33       53.35%    116,436,399.16 45,659,790.67    6.27% bSoelrfr-orwaiisnegdsor
    Hcuilgthu-reanldpaper     37.61 697,210,244.24 700,746,887.09              1,397,957,131.33       37.17%     27,938,917.35 18,964,826.00    6.27% Self-raisedor
    (Meilun)                                                                             borrowings
    Hmaaigmniensgitemdineeinpg
    pprroojceecstsing     8.50 1,047,440,597.49 85,001,155.23 581,512,641.07        550,929,112.10       34.11%    119,255,543.03 21,635,622.31    4.35% Sboelrfr-orwaiisnegdsor
    (Haiming)
    CHhueannmggianngg
    FPInortorejegesrctatati(noPdnuPlpaipnegr34.85 2,482,982,255.54 751,820,356.99              3,234,802,612.44       92.00%     98,977,034.21 26,707,455.51    5.08% bSoelrfr-orwaiisnegdsor
    (PHroujaencgt)gang
    Chenming)
    tIenrtmegirnaatledproject
    (CHhueannmgignagn)g   3.51 191,050,346.34  56,288,964.11              247,339,310.45       98.00%                        Self-raised
    p1a0p0e,0r0m0a-tcohninnee
    (cXhauncghiannggproject  1.80 170,475,982.49              170,475,982.49                                         bSoelrfr-orwaiisnegdsor
    Chenming)
      Total       133.27 7,317,350,741.382,438,843,314.10 581,512,641.07 170,475,982.49 9,006,934,946.60   --      --    380,580,118.61 128,387,635.88          --
    
    
    16. Materials for project
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    Special materials                                     10,036,240.51                    11,285,247.52
    Special equipment                                                                  3,990,382.93
                 Total                                10,036,240.51                    15,275,630.45
    
    
    17. Intangible assets
    
    (1) Particulars of intangible assets
    
    Unit: RMB
    
               Item             Landuserights    Patents   Unpatentedtechnology   Software       Total
    I. Originalcarryingamount
        1.Openingbalance           2,385,510,515.67                           24,305,385.83 2,409,815,901.50
        2.Increasefortheperiod         13,747,888.15                              67,378.42   13,815,266.57
      (1)Acquisition                                                        67,378.42      67,378.42
    tra(n2s)fePrr-oinjectunderconstruction        13,747,888.15                                       13,747,888.15
      3.Decreasefortheperiod         122,239,326.66                                      122,239,326.66
      (1)Disposal                  122,239,326.66                                      122,239,326.66
      4.Closingbalance             2,277,019,077.16                           24,372,764.25 2,301,391,841.41
    II. Accumulatedamortisation
        1.Openingbalance            330,449,712.10                           20,144,810.31  350,594,522.41
        2.Increasefortheperiod         23,347,159.60                             712,284.69   24,059,444.29
         (1) Provision               23,347,159.60                             712,284.69   24,059,444.29
        3.Decreasefortheperiod           673,859.67                                         673,859.67
         (1) Disposal                  673,859.67                                         673,859.67
        4.Closingbalance             353,123,012.03                           20,857,095.00  373,980,107.03
    III. Impairmentprovision
    IV.Carryingamount
        1.Closingcarryingamount      1,923,896,065.13                           3,515,669.25 1,927,411,734.38
        2.Openingcarryingamount     2,055,060,803.57                           4,160,575.52 2,059,221,379.09
    
    
    18. Goodwill
    
    (1) Original carrying amount of goodwill
    
    Unit: RMB
    
      Name ofinvesteeoritemgeneratinggoodwill    Openingbalance  Increasefortheperiod Decreasefortheperiod   Closingbalance
    JILIN CHENMINGPAPERCO.,LTD.             14,314,160.60                             14,314,160.60
    SHANDONG CHENMINGPANELSCO.,LTD.        5,969,626.57                             5,969,626.57
                    Total                    20,283,787.17                             20,283,787.17
    
    
    (2) Provision for impairment of goodwill
    
    impaiDrmesecnrtipltoisosn: of the test process and parameters for goodwill impairment as well as the recognition method for goodwill
    
    in goOondwthiell,bainlanocredesrheteot ddaettee,rmthienme awnahgeethmeernttoofmthaekeGrporuopviasisosnessfeodr tihmepraeicromveenratblloesasmaocucnotrdoifncgalysh. gTehneerraetcinogveurnaibtlwe haimchourenstulotsf
    
    mcaasnha-ggeenmeerantti,nrgelyuinnigt ownasthdeeetxerpmecinteeddabnansueadl gornowththe reastteiminatGedNPcaasnhdftlhoewexinpetchteedfainnadncstieaaldbyuadngneut aflogrrothwethneraxtte fiinvetheyeianrdsusbtyrytbhye
    
    mduarriknegttphleayreeprsorttoincgalpceurliaotde.. Management of the Group expects no provision for impairment loss is necessary to be made for goodwill
    
    19. Long-term prepaid expenses
    
    Unit: RMB
    
          Item       Openingbalance    Increaseforthe   Amortisationfortheperiodperiod       Otherdeductions    Closingbalance
    Woodland expenses     131,260,068.14       416,539.45      3,230,815.55      1,548,290.82    126,897,501.22
    Others                7,862,501.31                      352,407.30                    7,510,094.01
          Total         139,122,569.45       416,539.45      3,583,222.85      1,548,290.82    134,407,595.23
    
    
    20. Deferred income tax assets/deferred income tax liabilities
    
    (1) Deferred income tax assets before offsetting
    
    Unit: RMB
    
                                            Closingbalance                 Openingbalance
                  Item              Deductibletemporary Deferredincome Deductibletemporary Deferredincome
                                       difference        taxassets        difference       taxassets
    Provision forimpairmentofassets             871,372,135.12   208,869,026.37     691,231,679.05  173,959,565.59
    Utrannresaaclitsieodnsprofitarisingfromintra-group        244,925,616.44    61,231,404.11     273,585,917.96   68,396,479.49
    Deductible loss                          821,869,359.29   142,173,437.80    1,006,688,665.35  173,250,557.91
    Outstanding payables                      438,539,008.93   67,560,516.66     512,378,679.91   77,803,599.22
    Deferred income                         224,517,483.96   38,832,817.29     157,069,341.95   28,878,648.19
                  Total                 2,601,223,603.74   518,667,202.23    2,640,954,284.22  522,288,850.40
    
    
    (2) The breakdown of unrecognised deferred income tax assets
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    Deductible temporarydifference                          145,364,286.32                   136,902,031.73
    Deductible loss                                     548,452,368.75                   521,429,433.24
                 Total                               693,816,655.07                   658,331,464.97
    
    
    (3) Expiry of deductible loss of unrecognised deferred income tax assets falls in the periods as follows
    
    Unit: RMB
    
             Year               Closingamount           Openingamount              Remark
    2018                                                    89,165,185.03
    2019                               88,145,632.65            58,161,318.09
    2020                               56,452,164.43            69,723,168.31
    2021                               68,465,205.68            161,307,173.38
    2022                              161,486,351.42            143,072,588.43
    2023                              173,903,014.57
             Total                     548,452,368.75            521,429,433.24           --
    
    
    21. Other non-current assets
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    Prepayments forproperties                              678,454,601.24                   451,277,549.54
    Prepayments forequipment                               1,101,159.65                    48,446,648.16
                 Total                               679,555,760.89                   499,724,197.70
    
    
    22. Short-term borrowings
    
    (1) Classification of short-term borrowings
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    Pledged borrowings                                 1,470,063,029.29                  2,956,876,168.82
    Secured borrowings                                                                50,000,000.00
    Guaranteed borrowings                              11,103,380,038.15                 12,100,224,483.51
    Credit borrowings                                  6,892,659,552.16                  5,823,854,220.70
    Discounted borrowings                              15,356,870,000.00                 14,165,620,000.00
                 Total                             34,822,972,619.60                 35,096,574,873.03
    
    
    23. Bills payable
    
    Unit: RMB
    
               Category                     Closingbalance                  Openingbalance
    Commercial acceptancebills                            102,000,000.00                   283,744,411.80
    Bank acceptancebills                                1,475,635,335.58                   994,650,678.91
                 Total                              1,577,635,335.58                  1,278,395,090.71
    
    
    24. Accounts payable
    
    (1) Particulars of accounts payable
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    Within 1year                                     3,283,404,831.68                  3,398,781,721.68
    1-2 years                                         250,774,705.89                   415,562,463.45
    2-3 years                                          51,463,080.44                    72,014,432.53
    Over 3years                                       195,423,193.12                   127,577,910.08
                 Total                              3,781,065,811.13                 4,013,936,527.74
    
    
    (2) Significant accounts payable for over 1 year
    
    Unit: RMB
    
                        Item                        Closingbalance     Reasonforoutstandingornotcarriedforward
    ANDRITZ AG                                          26,340,727.95Nottobecollectedyet
    LIAONING HUAYEGROUPDEVELOPMENTCO.,LTD.             9,048,000.00Nottobecollectedyet
    SHANGHAI CLEARSCIENCE&TECHNOLOGYCO.,LTD.           8,642,724.19Nottobecollectedyet
    ESHNAVNIRDOONNMGESNHTECNOH.U,LATSDH.ANDAENERGY&                    6,652,712.36Nottobecollectedyet
    FUJIAN WEIDONGINDUSTRIALCO.,LTD.                     5,363,200.00Nottobecollectedyet
                        Total                             56,047,364.50            --
    
    
    25. Advance receipts
    
    (1) Particulars of advance receipts
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    Within 1year                                      348,733,733.59                   233,656,725.36
    1-2 years                                          11,088,164.47                    9,526,165.86
                 Total                               359,821,898.06                   243,182,891.22
    
    
    (2) Significant advance receipts for over 1 year
    
    Unit: RMB
    
                     Item                   Closingbalance     Reasonforoutstandingornotcarriedforward
    HUAI’AN FENGHUANGPAPERCO.,LTD.            1,737,276.00Nodeliveryrequirementfromthecounterpartyyet
    YONG YIADHESIVE(ZHONGSHAN)CO.,LTD.        1,384,668.41Nodeliveryrequirementfromthecounterpartyyet
    JINHUA JIAYIPACKINGCO.,LTD.                  561,684.00 Nodeliveryrequirementfromthecounterpartyyet
                    Total                       3,683,628.41                 --
    
    
    26. Staff remuneration payables
    
    (1) Particulars of staff remuneration payables
    
    Unit: RMB
    
              Item             Openingbalance    Increasefortheperiod  Decreasefortheperiod  Closingbalance
    I. Short-termremuneration            184,868,925.11      636,796,162.27       677,686,673.09   143,978,414.29
    dIIe.fRineetdirecmonetnritbbuetnioenfitscphlaenm–e261,966.99       82,491,392.99       82,651,500.18      101,859.80
    III. Layoffwelfare                                    370,371.12         370,371.12
              Total                185,130,892.10       719,657,926.38       760,708,544.39   144,080,274.09
    
    
    (2) Particulars of short-term remuneration
    
    Unit: RMB
    
               Item             Openingbalance   Increasefortheperiod  Decreasefortheperiod  Closingbalance
    1su.bSsaildaireises,bonuses,allowanceand      133,765,532.39       529,897,988.19       576,352,752.65    87,310,767.93
    2. Staffwelfare                                     14,396,362.96       14,396,362.96
    3. Socialinsurancepremium            1,471,027.85       36,687,928.46       36,867,227.92     1,291,728.39
    premOiufmwhich:Medicalinsurance          508,362.57       30,282,697.15       30,468,984.55      322,075.17
    premWiumork-relatedinjuryinsurance            146.67        3,619,472.14        3,612,382.95        7,235.86
        Maternityinsurancepremium         962,518.61        2,785,759.17        2,785,860.42      962,417.36
    4. Housingprovidentfunds             7,126,858.97       43,389,178.83       42,716,654.72     7,799,383.08
    e5d.uUcnaitoionnfundsandworkers’           23,566,423.65       12,067,800.37        6,818,523.26    28,815,700.76
    6. Othershort-termremuneration        18,939,082.25         356,903.46         535,151.58    18,760,834.13
               Total               184,868,925.11      636,796,162.27       677,686,673.09   143,978,414.29
    
    
    (3) Defined contribution plan
    
    Unit: RMB
    
             Item          Openingbalance   Increasefortheperiod  Decreasefortheperiod     Closingbalance
    1. Basicpensioninsurance         176,970.81        79,538,165.89        79,715,136.70
    2. Unemploymentinsurance         84,996.18         2,953,227.10         2,936,363.48          101,859.80
             Total               261,966.99        82,491,392.99        82,651,500.18          101,859.80
    
    
    27. Taxes payable
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    Valueaddedtax                                      83,606,695.96                   128,785,997.13
    Enterprise incometax                                 260,063,782.98                   304,239,481.46
    Individual incometax                                   5,682,477.79                    5,296,935.04
    Urban maintenanceandconstructiontax                      3,827,212.43                    7,324,998.53
    Land usetax                                        14,103,299.10                    15,556,098.12
    Property tax                                        17,136,201.06                    25,352,235.76
    Educational surchargesandothers                           6,611,693.23                    5,702,856.39
    Stamp duty                                         1,894,295.84                    4,367,412.25
                 Total                               392,925,658.39                   496,626,014.68
    
    
    28. Interest payable
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    Interest oncorporatebonds                              83,798,000.01                    85,480,380.32
    Interest onmedium-termnotes                            35,592,579.90
                 Total                               119,390,579.91                    85,480,380.32
    
    
    29. Dividend payable
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    Ordinary dividend                                  1,161,843,280.20
    Dboinvdidsecnldasssoiffipedreafesreeqnucietyshinarsetrsu\pmeerpnetstual464,716,006.80
                 Total                              1,626,559,287.00
    
    
    30. Other payables
    
    (1) Other payables by nature
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    Within 1year                                     1,707,405,020.37                  1,146,432,000.75
    1-2 years                                         331,107,831.91                   222,321,364.69
    2-3 years                                          49,287,570.61                    33,093,992.06
    Over 3years                                        36,908,627.83                    24,782,187.91
                 Total                              2,124,709,050.72                  1,426,629,545.41
    
    
    (2) Significant other payables for over 1 year
    
    Unit: RMB
    
                             Item                         Closingbalance  Reasonforoutstandingornotcarriedforward
    LIAONING BEIHAIINDUSTRYGROUPLTD.                      42,905,085.89Debtinvestmentbyashareholderofasubsidiaryasagreed
    SHOUGUANG HENGTAIENTERPRISEINVESTMENTCO.,LTD.        42,189,702.27Debtinvestmentbyashareholderofasubsidiaryasagreed
    STATE-OWNEDSHOUGUANGQINGSHUIPOFARM                  8,800,000.00Deposit
    SHANDONG YINGLIINDUSTRIALCO.,LTD.(DEPOSIT)              6,000,000.00Deposit
    WENZHOU DONGDAMINECONSTRUCTIONENGINEERINGCO.,LTD.   5,450,000.00Deposit
                             Total                          105,344,788.16           --
    
    
    31. Non-current liabilities due within 1 year
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    Long-term borrowingsduewithin1year                   4,321,258,031.95                  3,625,430,347.40
                 Total                              4,321,258,031.95                  3,625,430,347.40
    
    
    32. Other current liabilities
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    Short-term bondspayable                            10,160,767,686.35                 10,797,248,631.76
                 Total                             10,160,767,686.35                 10,797,248,631.76
    
    
    33. Long-term borrowings
    
    (1) Types of long-term borrowings
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    Pledged borrowings                                                               275,000,000.00
    Secured borrowings                                 3,393,472,000.00                  3,592,342,000.00
    Guaranteed borrowings                               7,711,012,847.78                 6,530,519,307.37
    Credit borrowings                                   423,692,035.94                   873,692,035.94
    yLeeasrs:long-termborrowingsduewithin1                   4,321,258,031.95                  3,625,430,347.40
                 Total                              7,206,918,851.77                  7,646,122,995.91
    
    
    Including:
    
                      Item                         Closingbalance              Openingbalance
    Long-term borrowingsduewithin1year                         4,321,258,031.95             3,625,430,347.40
    Long-term borrowingsduewithin1-2years                       2,086,132,311.50             1,833,951,514.00
    Long-term borrowingsduewithin2-5years                       2,260,094,504.33             2,577,564,445.97
    Long-term borrowingsdueover5years                          2,860,692,035.94             3,234,607,035.94
                     Total                               11,528,176,883.72            11,271,553,343.31
    
    
    34. Bonds payable
    
    (1) Bonds payable
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    17 ChenmingBond01-ChenmingPaper                   1,198,530,000.00                  1,198,305,304.75
    1C7omChpeannmyingBond01-FinancialLeasing                                                 997,955,974.82
    18 ChenmingBond01                                898,717,500.00
                 Total                              2,097,247,500.00                  2,196,261,279.57
    
    
    (a2n)dIpnecrrpeaetsue/adlebcorneadsseclianssbiofineddsaspafiynaabnlceia(lexlicalbuidliitniegs)other financial instruments such as preference shares
    
    Unit: RMB
    
     Nameofbond   Parvalue   Dateofissue    Term     Amount   Openingbalance Issueduringthe  Interestatpar  Amortisationof  Redemption  Amortisationofperiodvalue   premium/discount duringtheperiod  issuancefees  Closingbalance
    B17onCdhe0n1m-ing   1,200,000,000.00 2017/8/22    5years     1,198,200,000.00 1,198,305,304.75         39,000,000.00                  224,695.25 1,198,530,000.00
    ChenmingPaper
    1B7onCdhe0n1m-ing
    CFionmanpcainaylLeasing 1,000,000,000.00 2017/3/21    3years      997,000,000.00  997,955,974.82                       1,000,000,000.00   2,044,025.18
    B18onCdhe0n1ming 900,000,000.00 2018/3/29    5years      898,650,000.00         898,650,000.00  16,414,666.68                  67,500.00  898,717,500.00
       Total      --       --       --    3,093,850,000.00 2,196,261,279.57  898,650,000.00  55,414,666.68        1,000,000,000.00   2,336,220.43 2,097,247,500.00
    
    
    35. Long-term payables
    
    (1) Long-term payables by nature
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    Ropeeteranttiioonnsforthefinancialleasing                         235,190,103.51                   245,190,103.51
    Specific capitalforChinaDevelopment                     622,500,000.00                   700,000,000.00
    Equipment leaseback                                4,143,834,948.98                  4,605,691,332.13
                 Total                              5,001,525,052.49                  5,550,881,435.64
    
    
    36. Special accounts payable
    
    Unit: RMB
    
          Item       Openingbalance    Increaseforthe    Decreasefortheperiodperiod       Closingbalance       Reason
    CHhueannmggiannggintegrated
    fpoarpeesrtrpyr,opjueclptand       681,039,716.66     25,000,000.00                   706,039,716.66
          Total         681,039,716.66     25,000,000.00                   706,039,716.66       --
    
    
    37. Provision
    
    Unit: RMB
    
             Item               Closingbalance           Openingbalance              Reason
    Pending litigation                     325,259,082.28            325,259,082.28LossesfromArjo’slawsuit
             Total                     325,259,082.28            325,259,082.28           --
    
    
    38. Deferred income
    
    Unit: RMB
    
          Item       Openingbalance    Increaseforthe    Decreasefortheperiodperiod       Closingbalance       Reason
    Government grants    1,452,717,833.55     11,194,100.00     43,038,926.19   1,420,873,007.36
          Total        1,452,717,833.55     11,194,100.00     43,038,926.19   1,420,873,007.36       --
    
    
    Items in respect of government grants:
    
    Unit: RMB
    
                                   Include in   Includeinother Amountcharged
    Liabilities item  Openingbalance  Netwhegprearnitosdforinnocno-mopeefroartitnhgeincomeforthe   againstcost   Otherchanges  Closingbalance Asosmet-er-erlealtaetde/dinc
                                    period       period      expenses
    Sfupnedcsiaflosrubsidy
    penrovtieroctnimonental816,090,223.99                      24,800,367.35                     791,289,856.64Asset-related
    Project fundfor    1,781,924.68                        82,350.00                      1,699,574.68Asset-related
    tNeacthinoonlaolgical
    support scheme
    aSnedwwagaetetrreatment
    creocnosnefrivgautiroantion6,131,402.52                       596,341.43                      5,535,061.09Asset-related
    project
    Ffoirnatencchianlogloragnictsal
    mproodjeifcitcation 192,900,814.51                      7,199,237.13                     185,701,577.38Asset-related
    Zinhteagnrjiaatnedg
    pfoarpeesrtrpyr,opjueclptand  271,889,991.56   8,615,100.00             7,281,506.19                     273,223,585.37Asset-related
    Interest subsidy   95,580,066.97                      2,729,749.09                      92,850,317.88Asset-related
    cRhaainlwgeayline     13,705,208.33                       184,375.00                      13,520,833.33Asset-related
    compensation
    pLroogjiesctticspark    53,626,701.00   2,579,000.00                                         56,205,701.00Asset-related
    Others         1,011,499.99                       165,000.00                       846,499.99Asset-related
        Total   1,452,717,833.55  11,194,100.00            43,038,926.19                    1,420,873,007.36     --
    
    
    39. Other non-current liabilities
    
    Unit: RMB
    
                 Item                      Closingbalance                  Openingbalance
    The firstphaseoffinancialmanagement                     250,000,000.00                   250,000,000.00
    Medium-term notes                                 1,680,000,000.00
    Unamortised issueexpenses                             -10,461,871.24
                 Total                              1,919,538,128.76                   250,000,000.00
    
    
    40. Share capital
    
    Unit: RMB
    
                                         Increase/decrease duringtheperiod(+/-)
               Opening balance   Newissue    Bonusissue  Sharesconverted                       Closingbalance
                                                 fromreserves     Others       Subtotal
    Tshoatarelsnumberof  1,936,405,467.00                        968,202,733.00             968,202,733.00 2,904,608,200.00
    
    
    Other explanation:
    
    June P2u0r1s8u,anbtastoedthoenptrhoefittodtaisltroirbduitniaornypslhaanreofctahpeitaCloomfp1a,n9y36f,o4r0250,41677asphparroevseadsaattththee2e0n1d7 oafnn2u0a1l7g, eanecraaslhmdeiveitdinegndcoonfvRenMedB6on(t1ax3
    
    tinhcelcuaspivitea)lpreesre1r0vesshoafre5s swhaasredsifsotrribeuvteerdy t1o0osrhdainreasryheslhda.reholders and a capitalisation issue to ordinary shareholders was made out of
    
    41. Other equity instruments
    
    (1) Preference shares, perpetual bonds and other financial instruments outstanding at the end of the period
    
             Item            Openingbalance    Increaseyedaurringthe  Decreasyeedaurringthe      Closingbalance
    Perpetual bonds                 5,570,800,000.00                                      5,570,800,000.00
    Preference shares                4,477,500,000.00                                      4,477,500,000.00
             Total              10,048,300,000.00                                     10,048,300,000.00
    
    
    2) Changes in perpetual bonds outstanding at the end of the period
    
    Unit: RMB
    
    Outstanding financialinstruments    Openingbalance    Increaseyedaurringthe Decreasyeedaurringthe     Closingbalance
    15LuChenmingMMTN001          1,291,900,000.00                                    1,291,900,000.00
    15LuChenmingMMTN001          1,290,900,000.00                                    1,290,900,000.00
    17LuChenmingMTN001            996,000,000.00                                     996,000,000.00
    17LuChenmingMTN002           1,992,000,000.00                                    1,992,000,000.00
              Total               5,570,800,000.00                                    5,570,800,000.00
    
    
    SepteNmobteer: 2①015Paatrtaiccuolaurpsonofraitsesoufe:6.T00h%e Canodm5p.a7n8y%.isTsuheedprmoceedeidusmn-etetromf isnsouteescoasmtsoaumntoiunngtetdo toRMRMB2B.26,5b8i2ll.i8o0nmoinllio6n.July and 8
    
    T②hePnaortteicsualarersdoefbttshewnitohtoeustaas dpeefripneetduaml batounrditsy date and will continue indefinitely until the exercise of the right of redemption bythe CTohmepCanoym. pany has the right to defer any payment of interest.
    
    not. The right of redemption of the notes is vested with the Company so that it is up to the Company to decide whether to redeem or
    
    assetsBatoseadnoynoththeearbeonvteit,yt,heornototesexdcohannogt ecoanntyainfiannaynctiearlmasgsievtinogr rfiisneatnocaianlylicaobnitlritayctuwailthobalnigyatoiothnertoednetiltiyveurncdaesrh poor toetnhteiarlfiandavnecrisael
    
    eciqruciutymisntasntrcuems.eCntosn. sequently, they were eligible to be recognised and accounted for as equity instruments and included under other
    
    (3) Changes in preference shares outstanding at the end of the period
    
       Outstandingfinancialinstruments     Openingbalance   IncrtehaeseyedaurringDecrtehaesyeedaurring Closingbalance
    ChenmingYou01                   2,238,750,000.00                                 2,238,750,000.00
    ChenmingYou02                    995,000,000.00                                   995,000,000.00
    ChenmingYou03                   1,243,750,000.00                                 1,243,750,000.00
                Total                4,477,500,000.00                                 4,477,500,000.00
    
    
    17 AuNgoutsetsa①nd 2P2arSteicputelamrsbeorf 2is0s1u6e.:TThheepCroocmepeadnsynentoonf-pisusbuleicclyositsssuaemdopurnetfeedretoncReMshBa4re,4s7a7m.5o0unmtiinllgiotno. RMB4.5 billion on 17 March,
    
    ②ShaPreahrotilcduelrasrsofofptrheefeprerenfceeresnhcaeresshapraerstiacsipeaqteuiitny pinrsotfriutmdiesntrtisbution in two portions, namely the fixed dividend distributed basedon a fAix.eDdisdtirvibiduetniodnroatfefiaxneddtdhievdidisetnridbution of retained earnings realised for the year.fixedAdcivcoidrednindgratotethifethAerrteicaleres doifstArisbsuotcaibalteiopnr,otfhites Cafotmerpmanaykisnhgalglodoidstlroibsusetes fainxdedthdeivciodnetnridbsuttioonhotloderersseorvf ethfeunpdreafcecreonrdciengshtaorelsawat.iTshsueaBncoearpdlains uanudtheorrtihseedfrabmy ethweorgkenaenrdalprmineceitpinlegs tcoondseicdlearreedaannddpaapypraolvleddivinidtehnedgseonnertahlempereetfienrgeninceresshpaercetsoifnthaeccporerdfearnecnecewsihthartehse.wThheengetnheeraglemneereatlinmgeoeftitnhge oCfomthpeaCnyomhapsanthyecroignhstidtoercsatnhceelcpanarcteollfatoironalloof fptahret coufrroernat ldlivoifdtehnedscuornretnhte dpirveifdeerenndcseosnhatrhees.pHreofwereevnecre,isnhaarcecso, rtdhaenCceomwpitahntyheshraelqluiinrfeomrmentthseofshthaererheolaldteedrsaoufthporreifteieres.nce shares at least 10 working days before the date of dividend payment
    
    BH.oPldaerrtisciopfatipornefienrethnecedissthriabruestiopnaortficrieptaaitneedineatrhneingdsisrtreiabluisteiodnfoorfthteheyearertained earnings through receipt of cash which isrneocne-icvuinmguflaixtievdedainvdidneonnd-sdaetfefrixraebdled.ivInidtehnedervaetentaosfamgraekeidn,ghoglodoedrsloosfspesreafenrdenthcee cshoanrterisbucatinonaltsoo rpeasretrivciepafutendinatchceorddiisntrgibtuotiloanw,ofafttheeraretttraiibnuetdabelaerntoingoswfnoerrsthoefytehaer ipnarpernotpocrotmiopna.nSypeocnifiac cteornmsosliadraeteads fboalsloiswus:pothne driesttariinbeudtioenarnoifngreslefvoarntthefiyxeeadr ianrcisoemsefrtoomhnoeldt eprrsofoiftfdiinsatrnicbiuatledintsotrhuomldeenrtss osfucphrefaesrethnecepsrheafereresnacnedsohradriensarwyhsihcahremhoalydebres.cHlaoslsdiefiresdofunpdreefrereeqnucietys.h5a0re%s sohfaltlhpearrteitcaiipnaetde ienarthneindgisstsrhibaulltiobneoeafrtnhiengrestbaiyneredceeaivrnininggcsasbhy dreivciedievnindgs coarsdhivdiidveinddensdosn, aonrddinthaeryosrdhianraersy. shareholders shall participate in the distribution of the retainedotherBfiansaendcoianl athseseatsbotovea,ntyheotphreerfeernetnitcye, oshr atoreesxdcohannogtecaonnytafiinnaanncyiatleramssegtivoirnfginraisnecitaol lainaybilciotyntwraicthtuaanl yoboltihgeartieonntittoy udneldievrerpoctaesnhtioarlaodthveerrseequciirtycuimnssttraunmceens.tsC-opnrseefqeureennctley,shthaeryesw. ere eligible to be recognised and accounted for as equity instruments and included under42. Capital reserves
    
    Unit: RMB
    
           Item           Openingbalance    Increasefortheperiod  Decreasefortheperiod     Closingbalance
    pCraepmitiaulmp)remium(share       5,478,935,277.69                       1,026,305,329.81      4,452,629,947.88
    Other capitalreserves          670,322,507.21                                          670,322,507.21
           Total             6,149,257,784.90                       1,026,305,329.81      5,122,952,455.09
    
    
    Other particulars, including changes (increase or decrease) during the period and reasons for such changes:
    
    held ①by GOuna3n0gdJoannguaDryej2u0n18an, dtheGuCaonmgdpoannyg iDsseujuedn’tsheDAebntntoounHcoenmgetanit RoneatlheEsRtaetceeiapntdofR3e0la%tedeqPuaitrytyinTtrearnesstacintioHnoinngtraeilaRtieoanl Etosttahtee
    
    aLctqdu.,iasittiaocnoonfsi3d0e%rateioqnuiotyf RinMteBre1s,t1i7n1S,9h6a0n,g0h0a0i.Hongtai Real Estate Co., Ltd., a subsidiary held by Guangdong Dejun Investment Co.,
    
    ③ toOtnhe23acMquaiysit2io0n18o,fth1e4.C27o4m2p%aneyquisistyueidnttehreesAt innnWouunhcaenmeCnhteonnmAincgq,uaissiutibosnidoiafrMy ionfotrhiteyCIontmerpeasntyi,nhSeuldbsbiydiHaruiebseiinHraenlaytainogn
    
    Paper Mill, a minority shareholder of Wuhan Chenming, at a consideration of RMB60,896,600.
    
    13 Ju③ne 2P0u1rs8u, abnatsetod tohne tphreoftiottadlisotrridbiuntairoynsphlaarne ocfapthitealCoofm1p,9a3n6y,4fo0r5,2406177sahpaprersovaesdatatththeeen2d01o7f a2n0n1u7a, lagceansehradlivmideeentidngofcoRnMveBn6ed(toaxn
    
    tinhcelcuaspivitea)lpreesre1r0vesshoafre5s swhaasredsifsotrribeuvteerdy t1o0osrhdainreasryheslhda.reholders and a capitalisation issue to ordinary shareholders was made out of
    
    43. Other comprehensive income
    
    Unit: RMB
    
                                                   Duringtheperiod
                                              TraLnsefsesr:red                  Attributa
           Item        Openingbalance inIcnocmureretdaxbfeoforrtehecofmropmrehoethnesriveLess:income  Attributableto  bleto  Closingbalance
                                    period     pinecrioomdsetionpprroiofirttaxexpenses pareanfttecrotmaxpanysmehraisnreaohfrtioetlyrd
                                             orthloespsedruioridng                  tax
    iInI.cOomtheertocobmerpercelhaesnsisfiiveedto
    ppreorifoitdosrlossinsubsequent   -354,165,127.80  -103,234,110.38                    -103,234,110.38        -457,399,238.18
    differenEcexschoanntgreanslation-354,165,127.80  -103,234,110.38                    -103,234,110.38        -457,399,238.18
    of foreignoperations
    iTnoctoamloethercomprehensive   -354,165,127.80  -103,234,110.38                    -103,234,110.38        -457,399,238.18
    
    
    44. Surplus reserve
    
    Unit: RMB
    
           Item           Openingbalance    Increasefortheperiod  Decreasefortheperiod     Closingbalance
    Statutory surplusreserve       1,132,116,106.40                                         1,132,116,106.40
           Total             1,132,116,106.40                                         1,132,116,106.40
    
    
    45. Retained profit
    
    Unit: RMB
    
                   Item                          Theperiod                  Thepriorperiod
    bReeftoarieneaddjpursotfmiteanstattheendofthepriorperiod                  8,866,614,844.40               6,745,974,781.02
    Retained profitasatthebeginningoftheperiod                 8,866,614,844.40               6,745,974,781.02
    after adjustment
    sPhluarse:hNoeldteprrsofoifttfhoerppearrieondtcaottmribpuatnaybleto                      1,784,631,025.31               1,745,514,838.23
        Ordinarydividendpayable                            1,161,843,280.20               1,161,843,280.20
    Preferred sharesdividendpayable                           562,816,006.80                217,377,107.35
    Retained profitasattheendoftheperiod                     8,926,586,582.71               7,112,269,231.70
    
    
    46. Revenue and operating costs
    
    Unit: RMB
    
           Item              Amountforthereportingperiod               Amountforthepriorperiod
                           Revenue          Operatingcosts         Revenue         Operatingcosts
    Principal activities          15,339,402,308.23     10,223,566,613.79     13,563,143,834.69      9,109,268,921.26
    Other activities              211,931,731.66        36,318,305.07       186,091,172.55        61,798,067.23
           Total            15,551,334,039.89     10,259,884,918.86     13,749,235,007.24      9,171,066,988.49
    
    
    47. Taxes and surcharges
    
    Unit: RMB
    
                 Item                 Amountforthereportingperiod         Amountforthepriorperiod
    Urban maintenanceandconstructiontax                      29,431,549.79                    22,398,860.35
    Education surcharges                                  21,947,084.97                    14,388,582.42
    Property tax                                        26,787,098.32                    26,916,701.19
    Land usetax                                        25,666,645.17                    24,234,332.85
    Vehicleandvesseltax                                    502,934.38                      34,306.91
    Stamp duty                                         11,344,290.23                    13,148,327.87
    Water engineeringfunds                                 1,937,359.03                    3,177,917.53
    Environmental tax                                     4,354,733.37
    Water resourcetax                                     6,163,044.01
    Others                                             1,374,472.71                    1,660,983.24
                 Total                               129,509,211.98                   105,960,012.36
    
    
    48. Selling and distribution expenses
    
    Unit: RMB
    
                 Item                 Amountforthereportingperiod         Amountforthepriorperiod
    Wages andsurcharges                                  66,498,765.40                    65,953,852.36
    Depreciation expenses                                  6,739,186.02                    6,409,390.78
    Office expenses                                      2,024,990.87                    1,835,605.09
    Transportation expenses                               438,096,633.12                   453,538,636.06
    Selling commissions                                   9,527,198.46                    6,775,566.23
    Cargo handlingcharges                                 6,447,682.56                    9,619,073.45
    Travel expenses                                      14,287,350.75                    10,999,160.71
    Business hospitalityexpenses                             27,355,797.58                    36,623,061.92
    Warehouse expenses                                   1,622,562.73                      714,169.93
    Rental expenses                                      4,783,613.45                    4,580,600.56
    Others                                            28,079,544.77                    44,449,158.26
                 Total                               605,463,325.71                   641,498,275.35
    
    
    49. General and administrative expenses
    
    Unit: RMB
    
                 Item                 Amountforthereportingperiod         Amountforthepriorperiod
    Wages andsurcharges                                 135,226,780.34                    91,040,324.67
    Welfare expenses                                     21,985,234.28                    20,103,576.01
    Labour insurancepremium                              22,172,367.80                    6,102,709.36
    Insurance premium                                   12,675,862.00                    9,518,602.13
    Depreciation expenses                                106,354,515.61                    33,612,163.11
    Waste disposalexpenses                                 5,684,105.91                    9,214,959.75
    Hospitality expenses                                  29,705,889.73                    23,024,208.87
    Amortisation ofintangibleassets                          16,360,689.72                    16,315,486.42
    Technological developmentexpenses                       478,014,854.10                   446,835,957.44
    Production interruptionloss                                372,715.95                    32,610,068.28
    Repair fees                                         13,562,056.75                    25,429,045.13
    Others                                           130,741,450.46                   142,547,898.00
                 Total                               972,856,522.65                   856,354,999.17
    
    
    50. Finance expenses
    
    Unit: RMB
    
                 Item                 Amountforthereportingperiod         Amountforthepriorperiod
    Interest expenses                                   1,720,741,207.21                  1,072,958,458.60
    Less: Interestincome                                 159,096,591.34                   117,395,792.54
    Capitalised interestamount                             162,960,177.00                    90,133,011.27
    Foreign exchangegainsandlosses                         -16,373,292.86                   107,381,433.91
    Bank charges                                      116,517,298.68                    82,585,417.66
                 Total                              1,498,828,444.69                  1,055,396,506.36
    
    
    51. Loss on impairment of assets
    
    Unit: RMB
    
                 Item                 Amountforthereportingperiod         Amountforthepriorperiod
    I. Lossonbaddebts                                  150,455,669.97                    50,382,322.12
    II. Lossoninventoryimpairment                                                         -571,669.04
                 Total                               150,455,669.97                    49,810,653.08
    
    
    52. Gain on change in fair value
    
    Unit: RMB
    
      Sourceofgainonchangeinfairvalue      Amountforthereportingperiod         Amountforthepriorperiod
    aGsasientsomnecahsaunrgeediantffaaiirrvvaalluueeothfrfoiunganhcpiarolfit                   -94,000,000.00
    or loss
    Cfaoirnvsuamluaeblebiologicalassetsmeasuredat                    -23,973,841.55                   -11,009,851.10
                 Total                               -117,973,841.55                   -11,009,851.10
    
    
    53. Investment income
    
    Unit: RMB
    
                  Item                  Amountforthereportingperiod        Amountforthepriorperiod
    Iancccoomunetefdrofmorlounsign-gtetrhmeeeqquuiittyyminevtehsotmdents                      -17,153,503.00                 -4,154,293.30
    Ienqvueitsytminevnetsgtmaiennotsndisposaloflong-term                        13,717,571.88                   480,189.88
    Imnevaessutmreednattgfaaiinrovnaludeispthorsoaulgfhinparnocfiiatloarslsoestss      114,233,300.00
    aInvvaeilsatbmlee-nftogr-asianleonfinhaonldciinalgaosfsets            41,516,700.00                 56,226,406.81
    Income onexternalentrustedloans                                                      13,312,368.97
                  Total                                 152,314,068.88                 65,864,672.36
    
    
    54. Asset disposal income
    
    Unit: RMB
    
        Sourceofassetdisposalincome        Amountforthereportingperiod         Amountforthepriorperiod
    aNsestetisncomefromdisposalofnon-current                      -2,210,048.63                      344,802.99
                 Total                                -2,210,048.63                      344,802.99
    
    
    55. Other income
    
    Unit: RMB
    
           Sourceofotherincome           Amountforthereportingperiod         Amountforthepriorperiod
    iGnocvoemrenminecnlutdgeradnitnsp-raomfiotrotirsleodssdeferred                  43,038,926.19
    pGroovfietronrmleonstsgrants-directlyincludedin                     16,633,350.69
                 Total                                59,672,276.88
    
    
    56. Non-operating income
    
    Unit: RMB
    
             Item          Amountforthereportingperiod  Amountforthepriorperiod   extraAormdionuanrtysginacinlusdaenddilnosses
                                                                            fortheperiod
    Government grants                    184,555,864.82            140,637,717.90            184,555,864.82
    Others                              7,076,692.53            16,058,652.83             7,076,692.53
             Total                     191,632,557.35            156,696,370.73            191,632,557.35
    
    
    57. Non-operating expenses
    
    Unit: RMB
    
             Item          Amountforthereportingperiod  Amountforthepriorperiod   extraAormdionuanrtysginacinlusdaenddilnosses
                                                                            fortheperiod
    Donation                               5,000.00              450,000.00                5,000.00
    Others                                441,221.32             1,622,581.46              441,221.32
             Total                       446,221.32             3,550,702.42              446,221.32
    
    
    58. Income tax expenses
    
    (1) Particulars of income tax expenses
    
    Unit: RMB
    
                 Item                 Amountforthereportingperiod         Amountforthepriorperiod
    Income taxexpensesfortheperiod                        443,275,831.48                   351,541,417.73
    Deferred incometaxexpenses                             -9,073,718.98                   -20,288,090.65
                 Total                               434,202,112.50                   331,253,327.08
    
    
    59. Other comprehensive income
    
    For details, please see Notes.
    
    60. Items on statements of cash flow
    
    (1) Cash received relating to other operating activities
    
    Unit: RMB
    
                 Item                 Amountforthereportingperiod         Amountforthepriorperiod
    Finance supportfund                                 196,283,019.84                    93,044,281.20
    Interest income                                     216,272,935.89                   117,395,792.54
    LExeatesrinnaglCseocmupriatynydepositoftheFinancial                     90,523,468.41                    4,000,000.00
    Opepneanltcyreadnidt,fainnedincomefromdefault                                                    16,058,652.87
    Ntoeftinreatnucrenloefasperibnucsipinaelsrseceivablesrelating                  2,057,052,794.71
                 Total                              2,560,132,218.85                   230,498,726.61
    
    
    (2) Cash paid relating to other operating activities
    
    Unit: RMB
    
                 Item                 Amountforthereportingperiod         Amountforthepriorperiod
    Expense andopencredit                              1,261,413,440.86                  1,541,645,097.56
    rNeelattiinncgretoasfeiniannpcreinlecaipsealbruescienievsasbles                                 5,445,458,445.68
    CExotmerpnaanlysecuritydepositoftheLeasing                      10,000,000.00
                 Total                              1,271,413,440.86                  6,987,103,543.24
    
    
    (3) Cash received relating to other investing activities
    
    Unit: RMB
    
                 Item                 Amountforthereportingperiod         Amountforthepriorperiod
    Asset-related governmentgrants                           11,194,100.00                    72,391,073.00
    Entrusted loans                                                                  900,000,000.00
                 Total                                11,194,100.00                   972,391,073.00
    
    
    (4) Cash paid relating to other financing activities
    
    Unit: RMB
    
                 Item                 Amountforthereportingperiod         Amountforthepriorperiod
    Investment compensationliability                         103,042,210.54
                 Total                               103,042,210.54
    
    
    (5) Cash received relating to other financing activities
    
    Unit: RMB
    
                 Item                 Amountforthereportingperiod         Amountforthepriorperiod
    eMtcT.Xandshort-termcommercialpaper,                    8,204,965,097.95                  6,990,741,096.00
    Equipment financing                                 500,000,000.00                   729,259,498.49
    Debt financingreceivable                              135,622,410.95
    Loan fromtheFinanceCompany                          100,000,000.00
                 Total                              8,940,587,508.90                  7,720,000,594.49
    
    
    (6) Cash paid relating to other financing activities
    
    Unit: RMB
    
                 Item                 Amountforthereportingperiod         Amountforthepriorperiod
    pRaeppearyamnednMtoTfNsh,oertct-.termcommercial                     7,911,542,642.29                 7,159,436,554.95
    Repayment ofmaturedbonds                            579,511,229.15
    Repayment ofequipmentleaseback                       1,086,203,289.95
    Ipnecriroedaseinrestrictedbankdepositsforthe                  5,922,955,877.94                  3,036,117,632.05
                 Total                             15,500,213,039.33                 10,195,554,187.00
    
    
    61. Supplementary information on cash flow statement
    
    (1) Supplementary information on cash flow statement
    
    Unit: RMB
    
          Supplementary information             Amountfortheperiod            Amountforthepriorperiod
    f1r.oRmecoopnecrailtiiantgioancotifvinteietsp:rofitascashflows               --                           --
    Net profit                                        1,783,122,625.14                 1,747,717,658.87
    Plus: Provisionforimpairmentofassets                     150,455,669.97                   199,810,653.08
    Doielparnedcigaatisoansoseftfsi,xdeedparessceiatsti,ocnonosfubmeaprteiornof                  784,191,510.41                   816,376,614.37
    biological assets
    Amortisation ofintangibleassets                           24,059,444.29                    25,214,975.98
    Amortisation oflong-termprepaidexpenses                   16,218,441.95                    10,052,618.57
    aLsossestsoannddisopthoesarlloonfgfi-xteerdmasassestest,si(n“t-a”ngible 2,210,048.63                     -344,802.99
    denotes gain)
    Lgaoisns)onchangesinfairvalue(“-”denotes                    117,973,841.55                    11,087,873.76
    Finance expenses(“-”denotesgain)                      1,584,988,775.97                 1,072,958,458.60
    Investment loss(“-”denotesgain)                        -152,438,125.48                   -65,864,672.36
    dDeencoreteasseinicnredaesfee)rredincometaxassets(“-”                     3,621,648.17                   -20,288,090.65
    Dineccrereaassee)ininventories(“-”denotes                       -385,938,273.77                 -1,194,720,554.52
    dDeencoreteasseinicnreoapseer)atingreceivables(“-”                     -3,833,188,190.12                 -3,414,834,472.92
    Idneccrreeaassee)inoperatingpayables(“-”denotes                  4,649,760,504.20                 -3,300,108,028.18
    Net cashflowsfromoperatingactivities                    4,745,037,920.91                 -4,112,941,768.39
    2no.tMinavjoorlvininvgesctainsghasentdtlefimnaennctsin:gactivities                --                           --
    3. Netchangeincashandcashequivalents:               --                           --
    Closing balanceofcash                              3,530,985,289.73                 2,421,491,422.53
    Less: Openingbalanceofcash                          2,804,408,374.46                 1,979,861,045.62
    Net increaseincashandcashequivalents                    726,576,915.27                   441,630,376.91
    
    
    (2) Cash and cash equivalents composition
    
    Unit: RMB
    
                  Item                      Closingbalance                  Openingbalance
    I. Cash                                         3,530,985,289.73                 2,804,408,374.46
    Of which:Cashonhand                                 2,104,950.30                    2,344,438.45
    paymenBtankdepositsreadilyavailablefor                  3,528,880,339.43                 2,802,063,936.01
    IeInId.Boaflpaenrcieodofcashandcashequivalentasat                 3,530,985,289.73                 2,804,408,374.46
    
    
    62. Assets with restricted ownerships or right to use
    
    Unit: RMB
    
                  Item                   Closingcarryingamount           Reasonforsuchrestrictions
    Monetary funds                                   14,690,489,964.91 bAisllsg,ulaertatenrteoefdcerepdoisti,tasnfdorbbaannkkbaocrcroepwtianngcse
                                                              deposits, anddepositreserves.
    Bills receivable                                    1,902,685,841.26 bAisllscoplalaytaebralel,floerttsehrsorot-ftegrumarabnotrereowanindgs,
                                                              letters ofcredit.
    Fixed assets                                      7,882,378,100.81 Ascollateralforbankborrowingsandlong-termpayables.
    Intangible assets                                    631,997,196.06Ascollateralforbankborrowingsandlong-termpayables.
    Investment properties                                4,750,494,168.51 Ascollateralforbankborrowings.
                 Total                             29,858,045,271.55              --
    
    
    63. Foreign currency items
    
    (1) Foreign currency items
    
    Unit: RMB
    
              Item            Closingforeigncurrencybalance   Exchangerate         ClosingbalanceinRMB
    Monetary funds
    Of which:USD                       56,889,559.23                 6.6166            376,415,457.62
         EUR                          1,309,235.94                 7.6515            10,017,618.78
         HKD                           100,012.70                 0.8431               84,320.71
         GBP                             7,121.62                 8.6551               61,638.34
         KRW                        480,926,937.11                0.005903             2,839,001.99
         JPY                           1,922,880.96                0.059914              115,207.49
    Accounts receivable
    Of which:USD                       49,762,699.96                 6.6166            329,259,880.55
         EUR                          4,823,704.06                 7.6515            36,908,571.62
         JPY                         146,931,581.93                0.059914             8,803,258.80
    Accounts payable
    Of which:USD                       86,705,165.98                 6.6166            573,693,401.25
         EUR                          22,322,987.38                 7.6515            170,804,337.97
    Short-term borrowings
    Of which:USD                       699,374,376.26                 6.6166          4,627,480,497.94
         EUR                         151,982,691.53                 7.6515          1,162,895,564.23
    Long-term borrowings
    Of which:USD                       297,425,200.00                 6.6166          1,967,943,578.32
         EUR                          57,799,998.62                 7.6515            442,256,689.46
    oNnoeny-ceuarrrentliabilitiesdue within
    Of which:USD                       161,500,000.00                 6.6166          1,068,580,900.00
    
    
    (d2i)scEloxspelatnhaetirionovoenrsoevaesrsperaisncoippaerlaptilnagceesntoiftiebsu(siinncelsusd, infugnmctiaojnoarlocvuerrsreeanscyopaenrdatibnagsiesn. tiRtieeas)s,onwshischhalslhablel
    
    disclosed if there is any change in the functional currency.
    
    √ Applicable □ Not applicable
    
         No.           Nameofsubsidiary          ProinfcbiupsailnpelsasceincPolrapcoeraotfion    Fcuunrcrteinocnyal
          1     ChenmingGmbH               Hamburg,Germany  Hamburg,Germany         EUR
          2     ChenmingPaperKoreaCo.,Ltd.        Seoul,Korea       Seoul,Korea           KRW
          3     Chenming(HK)Limited           HongKong,China   HongKong,China         USD
          4     ChenmingInternationalCo.,Ltd.      LosAngeles,USA   LosAngeles,USA         USD
       The5companieCshneunmmbinegrePda3pe-r5JaapraencComo.p,aLntide.sof the fourTthokleyvoe,lJ.aOpavnerseassubsiTdoiakryieos,JoafptahneCompany recogJnPiYseU.S. dollar
    
    
    a(“cUcoSrDdi”ngotro“thUeSg$e”n),erJaalpeacnoensoemyicenen(v“iJrPoYnm”)enEtuinrow(h“iEchUtRh”e)seasnudbsKidoiareriaens oWpeornate(“. KRW”) as their respective functional currency
    
    VIII. Change in scope of consolidation
    
    1. Others
    
    LeasiDngurCinog., tLhted..yFeaorr, dtehteailssc,oppleeaosef sceoenNsooltiedaVtiIoInI. 1in“cIlnutdeerdestainneswublysideisatraibesli”s.hed subsidiary, namely Beijing Chenming Financial
    
    LimitDeduriinngXtuhcehyaneagr,CthheensmcionpgePoafpceornCsool.idLattdi.ondeecxrecalusdededfr1omco6m0p%antyo: 3a0s%th,eXsuhcahreahnogldCihnegnomfinSghaPnadpoenrgCCoh. eLntmd.inwgasPacphearngHeodldtoinagns
    
    aassssoocciiaattees”o.f Shandong Chenming Paper Holdings Limited. For details, please see Note VIII. 2 “Interest in joint ventures or
    
    IX. Interest in other entities
    
    1. Interest in subsidiaries
    
    (1) Constitution of the Group
    
             Nameofsubsidiary         Princbiupsleinpelsasceof   incPolrapcoeraotfion Natureofbusiness     DireSchtareholdiInngdirect  Acquisition
    Zhanjiang ChenmingPulp&PaperCo.,Ltd.     Zhanjiang,China  Zhanjiang,China     Papermaking      100.00%         Establishment
    Shouguang MeilunPaperCo.,Ltd.         Shouguang,China  Shouguang,China     Papermaking      100.00%         Establishment
    Jilin ChenmingPaperCo.,Ltd.             Jilin,China     Jilin,China      Papermaking      100.00%         Mergerandacquisition
    Huanggang ChenmingPulp&PaperCo.,Ltd.    Huanggang,China Huanggang,China    Pulpproduction      100.00%         Establishment
    Shandong ChenmingPaperSalesCo.,Ltd.     Shouguang,China  Shouguang,China     Salesofpaper      100.00%         Establishment
    SChoo.,uLgtuda.ngChenmingImportandExportTrade   Shouguang,China  Shouguang,China  Importandexporttrade    100.00%         Establishment
    Chenming GmbH                    Hamburg,GermanyHamburg,Germany  Paperproducttrading    100.00%         Establishment
    LShtdo.uguangChenmingPapermakingMachineCo.,  Shouguang,China  Shouguang,China  Machinerymanufacturing   100.00%         Establishment
    SLhtdo.uguangHongxiangPrintingandPackagingCo., Shouguang,China  Shouguang,China  Printingandpackaging    100.00%         Maceqrugiesritaionnd
    Shouguang ChenmingModernLogisticCo.,Ltd.  Shouguang,China  Shouguang,China    Transportation      100.00%         Establishment
    Shouguang ChenmingIndustrialLogisticsCo.,Ltd. Shouguang,China  Shouguang,China      Logistics        100.00%         Establishment
    Jinan ChenmingInvestmentManagementCo.,Ltd.   Jinan,China     Jinan,China   Investmentmanagement    100.00%         Establishment
    HCou.a,nLgtgda.ngChenmingArboricultureDevelopment Huanggang,China Huanggang,China     Arboriculture       100.00%         Establishment
    ChenmingArboricultureCo.,Ltd.           Wuhan,China    Wuhan,China      Arboriculture       100.00%         Establishment
    Chenming PaperKoreaCo.,Ltd.            Seoul,Korea    Seoul,Korea      Salesofpaper      100.00%         Establishment
    SLhtda.ndongChenmingPowerSupplyHoldingsCo.,  Shouguang,China  Shouguang,China       Power        100.00%         Establishment
    Shouguang ShunDaCustomsDeclarationCo,Ltd. Shouguang,China  Shouguang,China   Customsdeclaration     100.00%         Establishment
    Shanghai ChenmingIndustrialCo.,Ltd.       Shanghai,China   Shanghai,China  Propertyinvestmentandmanagement100.00%         Establishment
    Wuxi SongLingPaperCo.,Ltd.            Wuxi,China    Wuxi,China      Papermaking      100.00%         Mergerandacquisition
    SChoa.,nLdotdn.gChenmingPaperGroup(Fuyu)Sales     Fuyu,China     Fuyu,China      Salesofpaper      100.00%         Establishment
    Shandong ChenmingGroupFinanceCo.,Ltd.     Jinan,China     Jinan,China        Finance         80.00%    20.00% Establishment
    Jiangxi ChenmingPaperCo.,Ltd.          Nanchang,China  Nanchang,China     Papermaking       51.00%    49.00% Establishment
    QLtidn.gdaoChenmingInternationalLogisticsCo.,    Qingdao,China   Qingdao,China       Logistics        30.00%    70.00% Establishment
    Shouguang ChenmingArtPaperCo.,Ltd.      Shouguang,China  Shouguang,China     Papermaking       75.00%         Establishment
    Hailaer ChenmingPaperCo.,Ltd.           Hailaer,China    Hailaer,China      Papermaking       75.00%         Establishment
    Shandong GrandViewHotelCo.,Ltd.        Shouguang,China  Shouguang,China      Catering        70.00%         Establishment
    Haicheng HaimingMiningCo.,Ltd.         Haicheng,China  Haicheng,China       Mining         60.00%         Establishment
    WLtudh.anChenmingHanyangPaperHoldingsCo.,   Wuhan,China    Wuhan,China      Papermaking       62.50%         Establishment
    CLthde.ngduChenmingCultureCommunicationCo.,   Chengdu,China   Chengdu,China      Marketing       100.00%         Establishment
    Shandong ChenmingFinancialLeasingCo.,Ltd.    Jinan,China     Jinan,China     Financialleasing             100.00% Establishment
    QLtidn.gdaoChenmingNonghaiFinancialLeasingCo., Qingdao,China   Qingdao,China     Financialleasing             100.00% Establishment
    Chenming (HK)Limited              HongKong,China HongKong,China   Paperproducttrading            100.00% Establishment
    Shouguang HongyiDecorativePackagingCo.,Ltd. Shouguang,China  Shouguang,China      Packaging               100.00% Mergerandacquisition
    Shouguang XinyuanCoalCo.,Ltd.         Shouguang,China  Shouguang,China       Coal                 100.00% Mergerandacquisition
    CShoo.,uLgtuda.ngCityRunShengWastedPaperRecycle Shouguang,China  Shouguang,China Purchaseandsaleofwaste           100.00% Maceqrugiesritaionnd
    Shouguang WeiYuanLogisticsCompanyLimited  Shouguang,China  Shouguang,China      Logistics               100.00% Mergerand
                                                                                    acquisition
    Shandong ChenmingPanelsCo.,Ltd.        Shouguang,China  Shouguang,China       Panels                100.00% Mergerandacquisition
    Shouguang ChenmingFloorBoardCo.,Ltd.     Shouguang,China  Shouguang,China     Floorboard               100.00% Mergerandacquisition
    Shouguang ChenmingCementCo.,Limited     Shouguang,China  Shouguang,China      Cement                100.00% Establishment
    WLtudh.anChenmingQiannengElectricPowerCo.,    Wuhan,China    Wuhan,China     Electricpower               51.00% Establishment
    Shandong ChenmingInvestmentLimited        Jinan,China     Jinan,China       Investment               100.00% Establishment
    Japan ChenmingPaperCo.,Ltd.            Tokyo,Japan    Tokyo,Japan    Paperproducttrading            100.00% Establishment
    Chenming InternationalCo.,Ltd.           LosAngeles,the  LosAngeles,theUnitedStates    UnitedStates    Paperproducttrading            100.00% Establishment
    ZChoa.,nLjitadn.gChenmingArboricultureDevelopment  Zhanjiang,China  Zhanjiang,China     Arboriculture              100.00% Establishment
    YCaon.,gLjitadn.gChenmingArboricultureDevelopment  Yangjiang,China  Yangjiang,China     Arboriculture              100.00% Establishment
    CNoan.,cLhtadn.gChenmingArboricultureDevelopment  Nanchang,China  Nanchang,China     Arboriculture              100.00% Establishment
    Guangdong HuiruiInvestmentCo.,Ltd.       Zhanjiang,China  Zhanjiang,China      Investment                51.00% Mergerandacquisition
    ZChoa.,nLjitadngChenmingNew-styleWallMaterials   Zhanjiang,China  Zhanjiang,China     Wallmaterials              100.00% Establishment
    Jilin ChenmingNew-styleWallMaterialsCo.,Ltd.   Jilin,China     Jilin,China      Wallmaterials              100.00% Establishment
    Jilin ChenmingLogisticsCo.,Ltd.           Jilin,China     Jilin,China        Logistics               100.00% Establishment
    Jiangxi ChenmingLogisticsCo.,Ltd.        Nanchang,China  Nanchang,China      Logistics               100.00% Establishment
    Fuyu ChenmingPaperCo.,Ltd.             Fuyu,China     Fuyu,China      Papermaking              100.00% Establishment
    Zhanjiang MeilunPulp&PaperCo.,Ltd.      Zhanjiang,China  Zhanjiang,China     Papermaking              100.00% Establishment
    Shanghai ChenmingFinancialleasingCo.,Ltd.    Shanghai,China   Shanghai,China    Financialleasing             100.00% Establishment
    Guangzhou ChenmingFinancialleasingCo.,Ltd.  Guangzhou,China Guangzhou,China    Financialleasing             100.00% Establishment
    Shanghai HongtaiRealEstateCo.,Ltd.        Shanghai,China   Shanghai,China      Realestate                75.00% Mergerandacquisition
    Shanghai HongtaiPropertyManagementCo.,Ltd.  Shanghai,China   Shanghai,China   PropertyManagement             75.00% Mergerandacquisition
    SLhtda.ndongChenmingCommercialFactoringCo.,    Jinan,China     Jinan,China     Businessfactoring             100.00% Establishment
    GLtuda.ngzhouChenmingCommercialFactoringCo., Guangzhou,China Guangzhou,China   Businessfactoring              51.00% Establishment
    QCoinmgmdaoodCityheSnpmoitnTgraPduilnpg&CePnatpeerrCEol.e,cLtrtodn.ic     Qingdao,China   Qingdao,China       Trading                100.00% Establishment
    BLtedij.ingChenmingCultureCommunicationCo.,    Beijing,China    Beijing,China       Marketing               100.00% Establishment
    Beijing ChenmingFinancialLeasingCo.,Ltd.     Beijing,China    Beijing,China     Financialleasing             100.00% Establishment
    
    
    (2) Major non-wholly owned subsidiaries
    
    Unit: RMB
    
      Name ofsubsidiary     Minorityinterests    GatoinmoirnloorsistyaitntrtiebruetsatbsleinDteirveisdtsenddectolamredindourirtiyngClosingbalanceof
                                          duringtheperiod        theperiod        minorityinterests
    HWaunhyaannCghPeanpmerinHgoldings        34.80%         4,201,695.95                         72,308,687.04
    Co., Ltd.
    QWiuahnannenCghEenlemctirnigcPower             49.00%        -3,701,067.99                         36,647,300.58
    Co., Ltd.
    AShrtouPgaupaenrgCCo.h,eLntmd.ing            25.00%        14,350,961.48                         65,965,253.05
    SHhoatneldConog.,GLrtdandView              30.00%        -3,154,708.98                         -40,635,798.66
    HMaiincihnegnCgoH.,aLimtdi.ng       40.00%        24,819,683.23                         118,584,728.38
    IGnuvaenstgmdoenntgCHou.,irLutid.     49.00%        -1,463,010.47                         110,879,094.98
    EShstaanteghCaoi.H,Lontdg.taiReal              25.00%       -36,223,139.89                         918,181,377.04
    SChoamnmdoenrcgiaClhFeancmtoirnigng  49.00%         -338,813.50                           -338,425.02
    Co., Ltd.
    CHoai.,laLetrdC.henmingPaper             25.00%                                            9,135,357.41
    Total                                       -1,508,400.17                       1,290,727,574.80
    
    
    (3) Key financial information of major non-wholly owned subsidiaries
    
    Unit: RMB
    
                            Closing balance                                   Openingbalance
    Name ofsubsidiary  Currentassets  Non-currentassets  Totalassets  Currentliabilities  Nloianb-ciluitrireesntTotalliabilities  Currentassets  Non-currentassets  Totalassets  Currentliabilities  Nloianb-ciluitrireesntTotalliabilities
    WHaunhyaannCghPeanpmering 653,704,473.75  1,091,751,428.47  1,745,455,902.22  1,479,238,400.31  51,551,946.89  1,530,790,347.20  489,799,209.30  1,241,278,595.22  1,731,077,804.52  1,438,701,718.23  53,182,469.27  1,491,884,187.50
    HoldingsCo.,Ltd.
    SChhoeungmuiannggArtPaper  645,529,959.77  638,664,460.17  1,284,194,419.94  1,020,333,407.76     0.00  1,020,333,407.76  371,585,385.81  662,367,808.01  1,033,953,193.82  827,496,027.57         827,496,027.57
    Co.,Ltd.
    VShieawndHonogteGlCraon.,dLtd  18,507,208.71  211,791,792.46  230,299,001.17  365,751,663.38     0.00  365,751,663.38  16,747,494.79  214,555,206.74  231,302,701.53  356,239,667.14         356,239,667.14
    MHainicihnegnCgoH.,aLimtdi.ng173,535,098.17  1,250,462,354.86  1,423,997,453.03  1,127,535,632.07     0.00  1,127,535,632.07  75,944,768.92  1,181,346,911.13  1,257,291,680.05  1,022,879,067.16        1,022,879,067.16
    GInuvaenstgmdoenntgCHou.,irLutid.309,979,131.51   305,452.41  310,284,583.92   6,020,716.64  77,980,000.00  84,000,716.64  310,035,149.57   356,083.09  310,391,232.66   3,141,629.72   77,980,000.00  81,121,629.72
    RSheaanlgEhsataitHeoCnog.t,aLitd. 71,353,496.24  2,589,307,292.35  2,660,660,788.59  735,624,861.84  1,620,000,000.00  2,355,624,861.84  13,682,144.58  2,621,645,742.81  2,635,327,887.39  595,911,653.75  1,670,000,000.00  2,265,911,653.75
    
    
    Unit: RMB
    
                        Amountforthereportingperiod                     Amountforthepriorperiod
      sNubasmideiaorfyRevenue    Netprofit  compTroehtaelnsivefroCmasohpfelorawtisngRevenue    Netprofit  compTroehtaelnsivefroCmasohpfelorawtisng
                                    income     activities                        income     activities
    CWhuehnamning
    HHoanldyiannggsPCaop.,er748,479,359.87 12,815,547.34 12,815,547.34  -1,234,776.51 600,890,033.83  6,940,887.35  6,940,887.35  -6,556,195.80
    Ltd.
    CShhoeungmuiannggArt469,197,828.15 57,403,845.93 57,403,845.93 16,911,656.33 315,445,237.82 20,062,006.83 20,062,006.84   857,026.40
    Paper Co.,Ltd.
    GShraannddoVnigew17,218,894.98 -10,515,696.60 -10,515,696.60  -5,150,398.08 16,349,994.57  -9,880,170.88  -9,880,170.88  -1,592,519.03
    Hotel Co.,Ltd
    HHaaiicmhienngg
    LMtidn.ingCo.,   194,803,343.16 62,049,208.07 62,049,208.07 -47,931,813.80           -4,206,980.88 20,062,006.84 -19,856,846.14
    HGuuiarnugidong
    CInov.e,sLtmtde.nt       0.00  -2,985,735.66  -2,985,735.66   -56,018.06            -811,026.55   -811,026.55   181,814.34
    SHhoannggtahiaiReal437,721.38 -82,830,427.25 -82,830,427.25 205,540,229.39
    Estate Co.,Ltd.
    
    
    2. Interest in joint arrangements or associates
    
    (1) Major joint ventures and associates
    
      NvaemnteuroefsjaonindtPrincipleplaceof    Placeof       Natureof           Shareholding          Accounting
       associates      business     incorporation     business        Direct        Indirect       method
    SChhoeungmuiannggHuisen
    CNoewns-tsrtuyclteionCShhoinuaguang, CShhoinuaguang, Cmoantesrtiraulcstion     50.00%             Equitymethod
    MLtadt.erialsCo.,
    CAhrjeonWmiinggginsShouguang,     Shouguang,
    SCpoe.,cLiatldty.Paper  China         China         Papermaking          30.00%             Equitymethod
    MJiaendgixaiCJoialonugrbaoNanchang,China Nanchang,China Printing              21.15%             Equitymethod
    Printing Co.Ltd.
    ZNheuwhaTihDiredcBheonard
    EInqvueistytmentFund Zhuhai,China   Zhuhai,China   Investment
    C(Loimmpitaendy                         management           50.00%             Equitymethod
    Partnership)
    WEWsautanhtaeXnCinCogh.,eRLnemtadli.ngWuhan,China   Wuhan,China   Rdeevaelleosptmateent    40.00%             Equitymethod
    JPioarntgCxoi.C,hLetdn.mingNanchang,China Nanchang,China gtHroaaonndsdpsloianrngtadatisnotdonroagfe       40.00%             Equitymethod
    NHiunagmbeoiKEaqiucihtyen
    IPnavretnsetmrsehniptFund Ningbo,China   Ningbo,China   Imnavneasgtmemenetnt    40.00%             Equitymethod
    (PLairmtnietresdhip)
    
    
    (2) Key financial information of major joint ventures
    
    Unit: RMB
    
                       Closingbalance/Amountforthereportingperiod    Openingbalance/Amountforthepriorperiod
                       ShHouugisueannNgeCwh-esntymleingWeifangSendaMeixi   ShHouugisueannNgeCwh-esntymleingWeifangSendaMeixi
                       ConstruCcoti.o,nLtMd.aterials   PortCo.,Ltd.     ConstruCcoti.o,nLtMd.aterials   PortCo.,Ltd.
    Current assets                48,110,251.53        76,446,763.09          873,137.05       104,769,683.99
    Oeqfuwivhailcehn:tsCashandcash           154,968.76        71,926,049.62          357,810.87        20,253,054.23
    Non-current assets             12,918,942.03       475,915,953.16        12,234,041.68       325,782,379.60
    Total assets                 61,029,193.56       552,362,716.25        13,107,178.73       430,552,063.59
    Current liabilities             58,648,287.69        14,610,058.20         6,932,585.26        32,781,806.73
    Non-current liabilities                           343,620,042.41                         201,622,321.84
    Total liabilities               58,648,287.69       358,230,100.61         6,932,585.26       234,404,128.57
    Eatqtruiibtuytainbtleeretost
    sphaarerenhtoclodmerpsaonfythe    2,380,905.87       194,132,615.64         6,174,593.47       196,147,935.02
    Sonhasrheaorefhnoeltdainsgsetsbased         1,190,452.94        97,066,307.82         3,087,296.74        98,073,967.51
    Cinavrersytimngenatminoujonitnotf  2,935,220.64       103,777,262.72         3,087,296.74       104,784,922.41
    ventures
    Revenue                   22,351,679.01                         10,319,610.53
    Finance expenses                 -4,791.68          -26,820.55           99,894.57         -308,457.69
    Income taxexpenses             226,431.31                           138,833.84
    Income taxexpenses             -304,152.16        -2,015,319.38         -502,366.61        -2,578,637.02
    Tinoctoamlceomprehensive            -304,152.16        -2,015,319.38         -502,366.61        -2,578,637.02
    
    
    (3) Key financial information of major associates
    
    Unit: RMB
    
                     Closingbalance/Amountforthereportingperiod               Openingbalance/Amountforthepriorperiod
               NHiunagmbeoiQEiqcuhietynNZehwuhTahiirDdeBchoeanrd              NingboQichen NZehwuhTahiirDdeBchoeanrd
              InvPeasrttmneernsthFipundInvesEtmquenittyFundXCihnegnWRmueihanlagnEWstaanteCheJnimaninggxiPortInHvueasmtmeeinEtqFuuitnydInvesEtmquenittyFundChenWmuihnagnWanJiangxi
                (Limited     Company     Co.,Ltd.     Co.,Ltd.    P(aLrtinmeirtsehdipCompany   XingCRo.e,aLltEd.stateCheCnom.,inLgtdP.ort
               Partnership)    Pa(rLtnimeristehdip)                  Partnership)   Pa(rLtnimeristehdip)
    Current assets    107,992,539.19  12,322,021.15 1,716,557,593.45  13,026,292.85  146,452,805.16  14,081,866.81 1,672,497,092.07  13,757,478.48
    aNsosent-scurrent   92,000,000.00  91,750,000.00  33,844,444.17  105,389,783.79  51,000,000.00  89,760,000.00  33,671,226.11  107,795,608.88
    Totalassets     199,992,539.19  104,072,021.15 1,750,402,037.62  118,416,076.64  197,452,805.16  103,841,866.81 1,706,168,318.18  121,553,087.36
    Current liabilities     16,169.83     5,000.00 1,662,041,605.80  108,888,991.99               5,000.00 1,588,523,379.45  109,241,036.37
    Totalliabilities      16,169.83     5,000.00 1,662,041,605.80  108,888,991.99               5,000.00 1,588,523,379.45  109,241,036.37
    Eatqtruibituytainbtleeretost
    sthhearpeahroelndtersof   199,976,369.36  104,067,021.15  88,360,431.82   9,527,084.65  197,452,805.16  103,836,866.81  117,644,938.73  12,312,050.99
    company
    aSshsaertesobfasneedton    79,990,547.74  52,028,307.22  35,344,172.73   3,810,833.86  78,977,173.01  51,918,433.41  47,057,975.49   4,924,820.40
    shareholding
    oCfairnryviensgtmaemnotuinnt200,264,158.51  52,033,510.58  14,456,740.67   3,810,833.86  198,981,173.01  51,918,433.41  47,057,975.49   4,927,893.82
    associates
    Revenue                           3,714,369.42   7,072,800.51
    Net profit       3,207,463.76    230,154.34  -29,895,789.87   -2,784,966.34   -2,547,194.84   1,266,311.79  56,434,545.15   -2,614,181.59
    cToomtaplrehensive    3,207,463.76    230,154.34  -29,895,789.87   -2,784,966.34   -2,547,194.84   1,266,311.79  56,434,545.15   -2,614,181.59
    income
    
    
    (4) Excess loss of joint ventures or associates
    
    Unit: RMB
    
             Name         Accumulatedunrecognisedloss Unrecognisedloss(orshareof  Unrecognisedloss(orshareofincurredforpriorperiods      netprofit)fortheperiod      netprofit)fortheperiod
    ASprejociWaltiyggPinapseCrhCeon.m,Lintdg.                7,308,869.16                                   7,308,869.16
    
    
    X. Fair value
    
    1. Fair value of assets and liabilities measured at fair value as at the end of the period
    
    Unit: RMB
    
            Item                              Fairvalueasattheendoftheperiod
                            Level1            Level2            Level3             Total
    mI.eCaosnutrienmuoenutsatfairvalue         --                --                --                --
    1as.sCetosnsumablebiological                                         1,067,432,724.07      1,067,432,724.07
    mToetaasluarsesdetastcfoanirtivnaulouuesly                             1,067,432,724.07      1,067,432,724.07
    mII.eNasounre-cmoenntitnautofuasirvalue         --                --                --                --
    
    
    q2.uaLnetvifeilca3tiocnonoftikneuyouinspuantsd non-continuous measurement, valuation techniques and qualification and
    
    BThioeloCgoicmapl aanssyetasdopts the income method in determining the fair value of its consumable biological assets. Under the incomempreetsheondt ,vtahleuevsalautaatnionapipsliacrarbivleedraattebwasheicdhoins tuhseuaalglgyreeqguatievaelxepnet ctotedyifeuldtuprerepvraoilfiint gesitnimthaetefsofrreosmtryfoinredsutstrreys.oKurecyesindpisuctooufnttheed mtoetthheoidrincluEdexspeexctpeedctaendnaunanl uparol fiintc=omexepaencdteddisacnonuunatl riantceo.me - expected total input
    
    EExxppeecctteedd aonuntpuuatl =inbcaosmede =onexnpoermctaeldoouuttppuuttoxf ethxepeCcotemdpsaanleys’splroicgeging
    
    EExxppeecctteedd tsoatlaelsipnrpiucet i=s bnaosremdaol nsatloetsalprhiicsetoorficthinepCuot mofpsaanpyliinng2s0g1r8owing of the Company up to logging.
    
    Discount rate is 10.21%, based on the yield prevailing in the industry.3u.noLbesveerlva3blceoinntpinuutsous measurement, adjustment between opening and closing value and sensitivity ofCOopnesnuinmgacbalerrbyiionlgogamicaoluanstsets 1,212,770,435.34
    
    Saplingincreaseduringtheyear
    Salesdecreaseduringtheyear                                                          121,363,869.72
    Changeinfairvaluethroughprofitorlossfortheyear                                          -23,973,841.55
    Closingcarryingamount                                                            1,067,432,724.07
    
    
    4. Fair value of financial assets and financial liabilities not measured at fair value
    
    (T1h)eFifninaanncciaial linasstsruetms eanntsdnfoint amnecaiasul rleidabaitliftaieirs vnaolut emeasured at fair value mainly consist of: accounts receivable, short-termborroTwhiengcsa,rraycicnoguanmtsopuanytaobflet,hleoanbgo-tveermfinbaonrcroiawl iansgsse,tsbaonnddsfipnaaynacbialel lainabdilloitniegs-tdeervmiapteasyafrbolems.the fair value by a small amount.
    
    (2) As at 30 June 2018, the Company had no financial instruments measured at fair value (30 June 2017: Nil).XI. Related parties and related party transactions
    
    1. Parent company of the Company
    
                                                                      Shareholding   Votingright
      NamcoemopfapnayrentincPolrapcoeraotfion    Businessnature           Recgaipsittearledocfotmhepapnayreinntocfotmhepapnayreinnt
                                                                      theCompany  theCompany
    HChoeldnimnginsgCo.,Ltd.  ShouguangCity Ienlevcetsrtimcietyn,tsitneamma,naurfbaocrtiucrueltoufrepaper,1,238,787,700.00       27.67%      27.67%
    
    
    Explanation on the parent company of the Company
    
    The ultimate controller of the Company is Shouguang State-owned Assets Supervision and Administration Office.
    
    2. Subsidiaries of the Company
    
    Please refer to Note IX. 1. Interest in subsidiaries for details.
    
    3. Joint ventures and associates of the Company
    
    Please refer to Note VIII. 2. Interest in joint ventures or associates for details.
    
    Bfoalllaonwcse: of related party transaction between the Company and its joint ventures or associates during the period or prior periods are as
    
              Nameofjointventuresorassociates                             Relation
    Wuhan ChenmingWanXingRealEstateCo.,Ltd.           AnassociateoftheCompany
    Jiangxi JiangbaoMediaColourPrintingCo.Ltd.           AnassociateoftheCompany
    Arjo WigginsChenmingSpecialtyPaperCo.,Ltd.           AnassociateoftheCompany
    Shouguang ChenmingHuisenNew-style                 AjointventureoftheCompany
    Construction MaterialsCo.,Ltd.
    
    
    4. Other related parties
    
                Name ofotherrelatedparties                               Relation
    GShroanudpongShouguangJinxinInvestmentDevelopmentHoldings ShareholderoftheCompany’slargestshareholder
    Shouguang HenglianEnterpriseInvestmentLimited         ShareholderoftheCompany’slargestshareholder
    Shouguang RuifengEnterpriseInvestmentLimited          ShareholderoftheCompany’slargestshareholder
    Chenming Holdings(HongKong)Limited               SubsidiaryoftheCompany’slargestshareholder
    Zhanjiang ChenmingRealEstateCo.,Ltd.                SubsidiaryoftheCompany’slargestshareholder
    Qingdao HongjiWeiyeInvestmentCo.,Ltd.              SubsidiaryoftheCompany’slargestshareholder
    Shouguang HengyingRealEstateCo.,Ltd.               SubsidiaryoftheCompany’slargestshareholder
    Shouguang HengtaiEnterpriseInvestmentCo.,Ltd.         AcompanyinvestedbytheDirectorsandseniormanagementoftheCompany
    Shouguang HuixinConstructionMaterialsCo.,Ltd.         AcompanyinvestedbytheDirectorsandseniormanagementoftheCompany
    SsuhbosuigduiaarniegsChenmingGuangyuanRealPropertyCo.,Ltd.anditsAthecoCmopmapnayniynvestedbytheDirectorsandseniormanagementof
    QsuibnsgiddaiaoriCeshenmingNonghaiInvestmentCo.,Ltd.andits      AthecoCmopmapnayniynvestedbytheDirectorsandseniormanagementof
    Nanchang ChenjianNew-styleWallMaterialsCo.,Ltd.       AcompanyinvestedbytheDirectorsandseniormanagementoftheCompany
    Shouguang HengdeEnterprisesInvestmentCo.,Ltd.         AcompanyinvestedbytheDirectorsandseniormanagementoftheCompany
    ZsuhbesjiidaniagriHesuamingInvestmentManagementCo.,Ltd.andits    DDiirreeccttoorrssandseniormanagementservedbytheCompany’s
    HanedbeitisCsuhbensimdiianrgieZshongjinRealEstateDevelopmentCo.,Ltd.   DSuirpeecrtvoirssoarsndseniormanagementservedbytheCompany’s
    WsubushiadniaCriheesnmingZhongjinRealEstateCo.,Ltd.andits      Directorsandseniormanagementservedby
    WLtdu.haanndRiotsngsushbesindgiaZriheosngjinDevelopmentandInvestmentCo.,  Directorsandseniormanagementservedby
    Qingzhou ChenmingDenaturationAmylumCo.,Ltd.        ShareparticipatingcompanyoftheCompany
    Zhejiang GuangyuIdallPrintCo.,Ltd                  ShareparticipatingcompanyoftheCompany
    Anhui TimeSourceCorporation                      ShareparticipatingcompanyoftheCompany
    Shandong HongqiaoVentureCapitalCo.,Ltd.             ShareparticipatingcompanyoftheCompany
    SPharatnngehrsahiiHp)engzhengVentureInvestmentCenter(Limited     ShareparticipatingcompanyoftheCompany
    Guangdong DejunInvestmentCo.,Ltd.                 ShareparticipatingcompanyoftheCompany
    Jiangxi ChenmingNaturalGasCo.,Ltd.anditssubsidiaries    DirectorsandseniormanagementservedbytheCompany’sDirectorinthepasttwelvemonths
    
    
    5. Related party transactions
    
    (1) Purchase and sales of goods and rendering and receiving services
    
    Table on purchase of goods/receiving of services
    
    Unit: RMB
    
         Related party       DpaerttayiltsraonfsraeclatitoendrAepmoortuinntgfpoerrtihoedfacTilriatynsaapcptiroonvedtransWaechxtiecotenheedfraectdhileityis  Apmroiournptefroirotdhe
    GJiaansgCxoi.C,Lhetdn.mingNatural  oPnairlot,ucerutacrle.gmaesnatnodfheavy170,147,411.87   350,000,000.00       No         84,339,429.95
    
    
    Table on sales of goods/providing of services
    
    Unit: RMB
    
           Relatedparty         Detailsofrelatedparty     Amountforthereportingtransactionperiod           Amountforthepriorperiod
    Anhui TimeSourceCorporation Salesofpaper                            0.00              122,403,067.72
    
    
    (2) Guarantee
    
    The Company as guarantor
    
    Unit: RMB
    
                                                                                   Whether
              Party beingguaranteed            Amountunder   Startingdateof    Expirydateof   performanceofguaranteeguarantee        guarantee     guaranteeis
                                                                                  completed
    Weifang SendameiWestPortCo.,Ltd.            135,000,000.00  20December2017  20December2027     No
    Shandong ChenmingPaperSalesCo.,Ltd.         420,000,000.00      19July2017      20July2018     No
    Shandong ChenmingPaperSalesCo.,Ltd.         450,000,000.00  13November2017  13November2018     No
    Shandong ChenmingPaperSalesCo.,Ltd.         160,721,218.99    4January2018       4July2018     No
    Shandong ChenmingPaperSalesCo.,Ltd.         350,000,000.00   24February2018   21February2019     No
    Shandong ChenmingPaperSalesCo.,Ltd.         254,085,821.34    15March2018 12September2018     No
    Shandong ChenmingPaperSalesCo.,Ltd.         250,000,000.00     10April2018     10April2019     No
    Shandong ChenmingPaperSalesCo.,Ltd.         420,045,058.10     10May2018  7November2018     No
    Shandong ChenmingPaperSalesCo.,Ltd.         575,717,671.60     10May2018  7November2018     No
    Shandong ChenmingPaperSalesCo.,Ltd.         300,000,000.00     10May2018  6November2018     No
    Shandong ChenmingPaperSalesCo.,Ltd.         500,000,000.00     29June2018     29June2019     No
    Jiangxi ChenmingPaperCo.,Ltd.               100,000,000.00   17October2017   16October2018     No
    Jiangxi ChenmingPaperCo.,Ltd.               45,000,000.00    27March2018 23September2018     No
    Jiangxi ChenmingPaperCo.,Ltd.               76,500,000.00     29May2018     24May2019     No
    Jiangxi ChenmingPaperCo.,Ltd.               22,500,000.00     20June2018     20June2019     No
    Jiangxi ChenmingPaperCo.,Ltd.               16,563,394.57    29March2018 25September2018     No
    Jiangxi ChenmingPaperCo.,Ltd.                6,539,190.65     20April2018   17October2018     No
    Jiangxi ChenmingPaperCo.,Ltd.               18,319,448.14     10May2018  6November2018     No
    Jiangxi ChenmingPaperCo.,Ltd.               200,000,000.00 30September2016 29September2018     No
    Jiangxi ChenmingPaperCo.,Ltd.               50,000,000.00    16March2017    16March2019     No
    Jiangxi ChenmingPaperCo.,Ltd.               100,000,000.00      1April2017    16March2019     No
    Jiangxi ChenmingPaperCo.,Ltd.               73,000,000.00     12June2017     12June2019     No
    Jiangxi ChenmingPaperCo.,Ltd.               150,000,000.00  29November2017  29November2019     No
    Shouguang MeilunPaperCo.,Ltd.               57,450,000.00   19January2018   18January2019     No
    Shouguang MeilunPaperCo.,Ltd.              100,000,000.00   17January2018      16July2018     No
    Shouguang MeilunPaperCo.,Ltd.              100,000,000.00   1February2018      25July2018     No
    Shouguang MeilunPaperCo.,Ltd.              100,000,000.00     23April2018   17October2018     No
    Shouguang MeilunPaperCo.,Ltd.              101,306,798.49     22June2018  18December2018     No
    Shouguang MeilunPaperCo.,Ltd.              500,000,000.00    30March2018      16July2018     No
    Jilin ChenmingPaperCo.,Ltd.                 40,000,000.00   1February2018  25December2018     No
    Chenming (HK)Limited                      91,573,744.00     1March2017    18March2019     No
    Chenming (HK)Limited                     218,347,800.00      14July2017      26July2018     No
    Chenming (HK)Limited                     158,798,400.00      26July2017    10August2018     No
    Chenming (HK)Limited                      83,435,326.00  8September2017     2August2018