Stock Code: 000726, 200726 Stock Name: LTTC, LTTC-B Announcement No. 2020-073
LU THAI TEXTILE CO., LTD.THIRD QUARTERLY REPORT 2020 (SUMMARY)
Part I Important Notes
The Board of Directors (or the “Board”), the Supervisory Committee as well as the directors,supervisors and senior management of Lu Thai Textile Co., Ltd. (hereinafter referred to as the“Company”) hereby guarantee that the contents of this Report and its summary are true,accurate and complete and free of any misrepresentations, misleading statements or materialomissions, and collectively and individually accept legal responsibility for such contents.All the Company’s directors have attended the Board meeting for the review of this Reportand its summary.Liu Zibin, the Company’s legal representative, Zhang Hongmei, the Company’s ChiefAccountant, and Zhang Keming, the Company’s Financial Manager hereby guarantee thatthe financial statements carried in this Report are truthful, accurate and complete.This Report and its summary have been prepared in both Chinese and English. Should therebe any discrepancies or misunderstandings between the two versions, the Chinese versionsshall prevail.
Part II Key Corporate InformationI Key Financial Information
Indicate by tick mark whether there is any retrospectively restated datum in the table below.
□ Yes √ No
| 30 September 2020 | 31 December 2019 | Change (%) | |||
| Total assets (RMB) | 11,886,564,733.71 | 11,885,431,553.08 | 0.01% | ||
| Equity attributable to the listed company’s shareholders (RMB) | 7,743,047,836.86 | 7,697,135,324.92 | 0.60% | ||
| Q3 2020 | YoY change (%) | Q1-Q3 2020 | YoY change (%) | ||
| Operating revenue (RMB) | 1,083,514,157.78 | -33.37% | 3,370,258,238.57 | -29.96% | |
| Net profit attributable to the listed company’s shareholders (RMB) | -48,455,060.39 | -127.46% | 95,664,518.83 | -83.73% | |
| Net profit attributable to the listed company’s shareholders before exceptional gains and losses (RMB) | -59,285,564.88 | -134.38% | 48,820,028.29 | -91.11% | |
| Net cash generated from/used in operating activities (RMB) | 219,056,724.96 | -39.50% | 428,448,990.65 | -11.07% | |
| Basic earnings per share (RMB/share) | -0.06 | -130.00% | 0.11 | -83.82% | |
| Diluted earnings per share (RMB/share) | -0.04 | -120.00% | 0.12 | -82.35% | |
| Weighted average return on equity (%) | -0.61% | -3.05% | 1.24% | -6.90% | |
Exceptional gains and losses:
√ Applicable □ Not applicable
Unit: RMB
| Item | Q1-Q3 2020 | Note |
| Gain or loss on disposal of non-current assets (inclusive of impairment allowance write-offs) | -3,009,110.39 | |
| Government grants through profit or loss (exclusive of government grants given in the Company’s ordinary course of business at fixed quotas or amounts as per the government’s uniform standards) | 52,678,767.97 | |
| Gain or loss on fair-value changes on held-for-trading and derivative financial assets and liabilities & income from disposal of held-for-trading and derivative financial assets and liabilities and other debt investments (exclusive of the effective portion of hedges that arise in the Company’s ordinary course of business) | 10,824,073.85 | |
| Non-operating income and expense other than the above | 999,157.33 | |
| Less: Income tax effects | 10,785,310.28 |
| Non-controlling interests effects (net of tax) | 3,863,087.94 | |
| Total | 46,844,490.54 | -- |
Explanation of why the Company reclassifies as recurrent an exceptional gain/loss item defined or listed in the ExplanatoryAnnouncement No. 1 on Information Disclosure for Companies Offering Their Securities to the Public—Exceptional Gain/LossItems:
□ Applicable √ Not applicable
No such cases for the Reporting Period.II Total Number of Shareholders and Holdings of Top 10 of Them as at the End of theReporting Period
1. Numbers of Ordinary Shareholders and Preference Shareholders with Resumed Voting Rights as well asHoldings of Top 10 Shareholders
Unit: share
| Number of ordinary shareholders | 60,175 | Number of preference shareholders with resumed voting rights (if any) | 0 | |||||
| Top 10 shareholders | ||||||||
| Name of shareholder | Nature of shareholder | Shareholding percentage | Total shares held | Restricted shares held | Shares in pledge or frozen | |||
| Status | Shares | |||||||
| Zibo Lucheng Textile Investment Co., Ltd. | Domestic non-state-owned corporation | 16.36% | 140,353,583 | |||||
| Tailun (Thailand) Textile Co., Ltd. | Foreign corporation | 13.78% | 118,232,400 | 118,232,400 | ||||
| Central Huijin Assets Management Co., Ltd. | State-owned corporation | 2.00% | 20,315,300 | |||||
| China Securities Finance Corporation Limited | Domestic non-state-owned corporation | 2.00% | 18,313,391 | |||||
| Hong Kong Securities Clearing Co. Ltd | Foreign corporation | 1.00% | 10,492,136 | |||||
| National Social Security Fund Portfolio 413 | Domestic non-state-owned corporation | 1.00% | 9,360,051 | |||||
| T.ROWE PRICE INTL DISCOVERY FUND | Foreign corporation | 1.00% | 8,403,112 | |||||
| Zhang Ying | Domestic | 1.00% | 6,112,700 | |||||
| individual | ||||||||
| ASSICURAZIONI GENERALI-DIVIDEND 2 | Domestic non-state-owned corporation | 1.00% | 5,385,759 | |||||
| Fullgoal China Securities Dividend Index Strengthen Securities Investment Fund | Domestic non-state-owned corporation | 1.00% | 5,270,243 | |||||
| Top 10 unrestricted shareholders | ||||||||
| Name of shareholder | Unrestricted ordinary shares held | Shares by class | ||||||
| Class | Shares | |||||||
| Zibo Lucheng Textile Investment Co., Ltd. | 140,353,583 | RMB-denominated ordinary share | ||||||
| Central Huijin Assets Management Co., Ltd. | 20,315,300 | RMB-denominated ordinary share | ||||||
| China Securities Finance Corporation Limited | 18,313,391 | RMB-denominated ordinary share | ||||||
| Hong Kong Securities Clearing Co. Ltd | 10,492,136 | Domestically listed foreign share | ||||||
| National Social Security Fund Portfolio 413 | 9,360,051 | RMB-denominated ordinary share | ||||||
| T.ROWE PRICE INTL DISCOVERY FUND | 8,403,112 | Domestically listed foreign share | ||||||
| Zhang Ying | 6,112,700 | RMB-denominated ordinary share | ||||||
| ASSICURAZIONI GENERALI-DIVIDEND 2 | 5,385,759 | RMB-denominated ordinary share | ||||||
| Fullgoal China Securities Dividend Index Strengthen Securities Investment Fund | 5,270,243 | RMB-denominated ordinary share | ||||||
| Lombarda China China Securities Financial Assets Management Plan | 5,235,900 | RMB-denominated ordinary share | ||||||
| Related or acting-in-concert parties among the shareholders above | Zibo Lucheng Textile Investment Co., Ltd. is the largest shareholder and the actual controller of the Company. Tailun (Thailand) Textile Co., Ltd. is the shareholder holding restricted B-shares in the Company. All the other shareholders are holding tradable A-shares or B-shares. And it is unknown whether there is any related party or acting-in-concert party among them. | |||||||
| Top 10 shareholders engaged in securities margin trading (if | Naught | |||||||
Indicate by tick mark whether any of the top 10 ordinary shareholders or the top 10 unrestricted ordinary shareholders of theCompany conducted any promissory repo during the Reporting Period.
□ Yes √ No
No such cases in the Reporting Period.
2. Number of Preference Shareholders and Shareholdings of Top 10 of Them
□ Applicable √ Not applicable
Part III Significant Events
I Changes in Key Financial Statement Line Items and Explanation of why
√ Applicable □ Not applicable
| Item | Change | Reason for change |
| Monetary assets | 44.07% | Reception of funds from issuing convertible corporate bonds in the Reporting Period |
| Held-for-trading financial assets | 378.74% | Increase in structured deposits |
| Receivables financing | 121.17% | Increase in bank’s acceptance bills receivable at the end of the Reporting Period |
| Other receivables | 74.69% | Dividends receivable added in the Reporting Period |
| Other current assets | 31.64% | Increase in excess VAT paid at the end of the Reporting Period |
| Long-term equity investments | 35.32% | Increase in investment (Ningbo Haoying) in the Reporting Period |
| Other non-current financial assets | -50.20% | Decrease in other non-current financial assets due to the external transfer of shares in Remegen in the Reporting Period |
| Investment property | -51.00% | Decrease in investment property |
| Other non-current assets | -88.29% | Arrival of equipment in the Current Period prepaid at the beginning of the Reporting Period |
| Short-term borrowings | -52.01% | Repayment of short-term borrowings in the Reporting Period |
| Notes payable | -100.00% | Payment of beginning bank’s acceptance bills at maturity |
| Advances from customers | -100.00% | Adjustment of advances from customers into contract liabilities as required by the new accounting standards governing revenue |
| Taxes and levies payable | 39.87% | Increase in enterprise income tax payable |
| Other payables | -79.29% | Decrease in other payables |
| Contract liabilities | 100.00% | Adjustment of advances from customers into contract liabilities as required by the new accounting standards governing revenue |
| Current portion of non-current liabilities | -41.16% | Payment of current portion of long-term borrowings at maturity |
| Long-term borrowings | 571.01% | Increase in long-term borrowings |
| Bonds payable | 100.00% | Issue of convertible corporate bonds in the Reporting Period |
| Long-term employee benefits payable | -48.39% | Decrease in employee benefits payable over one year |
| Other non-current liabilities | -100.00% | Decrease in other non-current liabilities |
| Other equity instruments | 100.00% | Increase in equity recognized due to issuing convertible corporate bonds in the Reporting Period |
| Item | Change | Reason for change |
| Other income | 45.73% | Increase in government grants |
| Return on investment | 781.65% | Investment income from disposal of held-for-trading financial assets in the |
| Reporting Period | ||
| Gain on changes in fair value | -2640.00% | Recognizing the reversal of disposed held-for-trading financial assets as gain on changes in fair value in the Reporting Period |
| Credit impairment loss | -241.30% | Decrease in expected credit impairment loss due to the decline of the closing balance of accounts receivable |
| Asset impairment loss | 547.77% | Increase in inventory impairment loss in the Reporting Period |
| Asset disposal income | -336.79% | Decrease in income from disposal of fixed assets |
| Non-operating expense | -65.64% | Decrease of donation expense in the Reporting Period |
| Income tax expense | -72.85% | Decrease in income tax payable caused by decline of gross profit in the Reporting Period |
| Net cash generated from/used in financing activities | 172.13% | Increase in cash received from borrowings received due to issue of convertible corporate bonds in the Reporting Period |
| Net increase in cash and cash equivalents | 372.48% | Increase in cash and cash equivalents, end of the period, due to issue of convertible corporate bonds in the Reporting Period |
II Progress, Influence and Solutions with regard to Significant Events
√ Applicable □ Not applicable
On 13 August 2020, the Company signed the Transfer Agreement of Equity in Xinjiang Luthai Fengshou Cotton Industry Co., Ltd.with Mr. Li Jingquan to sell all equity in Xinjiang Luthai Fengshou Cotton Industry Co., Ltd. (hereinafter referred to as “XinjiangLuthai”) held by it. Upon the transfer, the Company will no longer hold the equity of Xinjiang Luthai. As of the end of August 2020,the acquiring party had paid the first and second transfer amount and completed the registration changing procedures. Thus, XinjiangLuthai will no longer be incorporated into the consolidated financial statements of the Company since September 2020.
| Overview of significant events | Disclosure date | Announcement index |
| On 13 August 2020, the Company signed the Transfer Agreement of Equity in Xinjiang Luthai Fengshou Cotton Industry Co., Ltd. with Mr. Li Jingquan to sell all equity in Xinjiang Luthai Fengshou Cotton Industry Co., Ltd. (hereinafter referred to as “Xinjiang Luthai”) held by it. Upon the transfer, the Company will no longer hold the equity of Xinjiang Luthai. The said issue has been reviewed and approved by the 16th Meeting of the 9th Board of Directors and related announcements have been disclosed. | 14 August 2020 | Announcement (No.: 2020-058) on www.cninfo.com.cn |
| 15 August 2020 | Announcement (No.: 2020-060) on www.cninfo.com.cn |
Progress of any share repurchase:
□ Applicable √ Not applicable
Progress of any reduction of the repurchased shares through centralized bidding:
□ Applicable √ Not applicable
III Commitments that the Company’s Actual Controller, Shareholders, Related Parties,Acquirers, the Company Itself or Other Relevant Parties, Failed to Fulfill on Time during theReporting Period
√ Applicable □ Not applicable
| Commitment | Promisor | Type of commitment | Details of commitment | Date of commitment making | Term of commitment | Fulfillment |
| Commitments made in share reform | ||||||
| Commitments made in acquisition documents or shareholding alteration documents | ||||||
| Commitments made in time of asset restructuring | ||||||
| Commitments made in time of IPO or refinancing | Controlling shareholder, actual controller | Dilution of at sight returns on public offering A-share convertible corporate bonds | 1. Not intervene the Company’s operation and management beyond the authority and not occupy the Company’s interests. 2. From the issuance date of this commitment to the completion of the implementation of the Company's public offering of A-share convertible corporate bonds, if the CSRC makes other new regulatory provisions on remedial measures for returns and the commitment, and the above commitment fails to meet the requirements of the CSRC, the company / I promise to issue supplementary commitment then in accordance with the latest regulations of CSRC. 3. Commitment is made to fulfill the Company's relevant remedial measures for returns and any commitment made herein by the company / me. If the company / I violate(s) such commitment and cause(s) losses to the Company or investors, the company / I will bear the compensation responsibility to the Company or investors in accordance with the law. | 23 May 2019 | From 23 May 2019 to 8 April 2026 | On-going |
| Directors and senior management of the Company | Dilution of at sight returns on public offering A-share convertible corporate bonds | 1. Commitment is made not to transfer benefits to other units or individuals free of charge or under unfair conditions, and no other ways damaging the interests of the Company will be taken. 2. I will strictly abide by the budget management of the Company, and accept the strict supervision and management of the Company to avoid waste or excessive consumption. Any position-related consumption behaviors of myself will occur within the scope necessary for the performance of my duties. 3. Commitment is made not to use the Company's assets to engage in investment and consumption activities unrelated to the performance of duties. 4. Commitment is made that the remuneration system developed by the Board of Directors or the Remuneration Committee is linked to the implementation of the Company's remedial measures for returns. 5. Commitment is made that the conditions for exercising the Equity Incentive Plan to be issued in the future will be linked to the implementation of the Company's remedial measures for returns. 6. From the issuance date of this commitment to the completion of the implementation of the Company's public offering of A-share convertible corporate bonds, if the CSRC makes other new regulatory provisions on remedial measures for returns and the commitment, and the above commitment fails to meet the requirements of the CSRC, I promise to issue supplementary commitment then in accordance with the latest regulations of CSRC. 7. Commitment is made to fulfill the Company's relevant remedial measures for returns and any commitment made herein by me. If I violate such commitment and causes losses to the | 23 May 2019 | From 23 May 2019 to 8 April 2026 | On-going |
| Company or investors, I will bear the compensation responsibility to the Company or investors in accordance with the law. | ||||||
| Equity incentive commitments | ||||||
| Other commitments made to minority interests | ||||||
| Executed on time or not | Yes | |||||
IV Financial Investments
1. Securities Investments
□ Applicable √ Not applicable
No such cases in the Reporting Period.
2. Investments in Derivative Financial Instruments
√ Applicable □ Not applicable
Unit: RMB’0,000
| Operator | Relationship with the Company | Related-party transaction | Type of derivative | Initial investment amount | Starting date | Ending date | Beginning investment amount | Purchased in the Reporting Period | Sold in the Reporting Period | Impairment provision (if any) | Ending investment amount | Proportion of ending investment amount in the Company’s ending net assets | Actual gain/loss in the Reporting Period |
| Commercial bank | Non-related | No | Forward exchange settlement | 39,398.69 | 21 January 2020 | 31 March 2020 | 0 | 39,398.69 | 39,398.69 | 0 | 0 | 228.05 | |
| Commerc | Non-rela | No | Foreign | 68,951.65 | 19 March 2020 | 25 December | 0 | 68,951.65 | 41,951.65 | 0 | 27,000 | 3.31% | 598.57 |
| ial bank | ted | exchange option | 2020 | ||||||||||
| Commercial bank | Non-related | No | Forward exchange transactions | 15,471.23 | 9 March 2020 | 17 September 2020 | 0 | 15,471.23 | 15,471.23 | 0 | 0 | -143.94 | |
| Total | 123,821.57 | -- | -- | 0 | 123,821.57 | 96,821.57 | 27,000 | 3.31% | 682.68 | ||||
| Funding source | Self-funded | ||||||||||||
| Legal matters involved (if applicable) | N/A | ||||||||||||
| Disclosure date of the announcement on the Board’s approval of investments in derivative financial instruments (if any) | 30 April 2019 | ||||||||||||
| 30 April 2020 | |||||||||||||
| Disclosure date of the announcement on the general meeting’s approval of investments in derivative financial instruments (if any) | |||||||||||||
| Risk analysis and control measures in respect of derivative investments held in the Reporting Period (including but not limited to market risk, liquidity risk, credit risk, operational risk, legal risk, etc.) | The Company conducted derivatives products transaction in order for hedging. And the forward settlement hedging was operated by installments, with the relevant amount not more than the planned derivatives products transactions. And all derivatives products transaction was zero-deposit. Meanwhile, the Company had a complete risk control system for sufficient analysis and prevention of possible risks such as market risk, liquidity risk and credit risk, operation risk and risk of laws and regulation. 1. Market risk: when the international and domestic economic situations change, the corresponding changes in exchange rates and interest rates may have an adverse impact on the financial derivatives transactions of the Company. Precautionary measures to be taken include: the Company chooses risk-controlled financial derivative tools with simple structure and good liquidity to carry out the hedging business, strictly controls the scale of financial derivatives trading by staged operations, and adjusts the strategy according to market changes in a timely manner. 2. Liquidity risk and credit risk: a credit risk arising from failure of the contractually due Company or counterparty in performing the contract due to liquidity or factors other than liquidity. Precautionary measures to be taken include: the Company determines the upper limit of derivatives transaction amounts according to production and operation scale as well as foreign exchange income, and conducts operations by stage according to the budget of future collections and disbursement. The derivative trades are free of guarantee deposit and can still be guaranteed in performance after the contract expires by means of | ||||||||||||
| extension and balance settlement etc. to prevent the Company from credit damages due to lack of liquidity. The Company selects financial institutions with strong capability and good reputation as a counterparty and signs standard derivative trading contracts to strictly control credit risk of the counterparty. 3. Operation risk: The derivatives had high specialty and complexity, so imperfect internal operation procedures, staffs and external events would make the Company to undertake risks during the transaction. Risk control measures: The Company promulgated strict authorization and approval system and perfect regulatory mechanism, fixed the operation procedures and approval procedures system to conduct derivative products transaction, implemented strict authorization and post checks and balances system, meanwhile, it improved the overall quality of relevant personnel through strengthening the professional ethics education and business training for them. Besides, it established the System of Reporting the Abnormal Situation Timely so as to ensure to lower the operation risks to the maximum. 4. Risk of laws and regulation: The Company conducted derivatives products transaction in strict accordance with relevant laws and rules. If there were no standard operation procedures and strict approval procedures, it was easy to cause compliant and regulatory risks existing in the validity and feasibility of contract, commitments and other legal documents signed. Risk control measures: The Company carefully studied and mastered laws, regulations and policies relevant to derivative products transaction, formulated internal control rules for the forward settlement hedging business, standardized the operation procedures. And strengthened the compliant examination on derivative products transaction business. The Company conducted derivative transaction business according to the relevant approval procedure, which was in line with relevant laws, regulations, the Company’s Articles of Association, the Management Rules for Derivative Transaction of Lu Thai Textile Co., Ltd., and the Proposal on the Plan of Lu Thai Textile Co., Ltd. for Derivative Transactions approved at the 26th Meeting of the 8th Board of Directors on 29 April 2019 and at the 13th Meeting of the 9th Supervisory Committee held on 28 April 2020, and performed relevant information disclosure responsibilities. | |
| Changes in market prices or fair value of derivative investments in the Reporting Period (fair value analysis should include measurement method and related assumptions and parameters) | 1. As of 30 September 2020, the Company held 6 undue financial derivatives contracts, totaling US$45 million, all of which were forward exchange option portfolio. 2. In January-September 2020, the amount of maturing financial derivatives of the Company amounted to US$139.6616 million which were executed as per the contracts in full and generated gains of RMB6.8268 million. Among which, the amount of delivered settlements of forward exchange was US$56.5 million, which generated gains of RMB2.2805; the amount of delivered foreign exchange options was US$61 million, which generated gains of RMB5.9857 million; the amount of delivered foreign exchange transactions was US$22.1616 million, which generated gains of RMB-1.4394 million. |
| Significant changes in accounting policies and specific accounting principles adopted for derivative investments in the Reporting Period compared to the last | No significant changes |
| reporting period | |
| Opinion of independent directors on derivative investments and risk control | The Company’s independent directors Zhou Zhiji, Bi Xiuli, Pan Ailing, Wang Xinyu and Qu Dongmei concerning conducting derivatives business, have issued the following professional advice: We are of the opinion that it will strengthen the Company’s competitiveness to use derivative transactions with focus on forward settlement and purchase as an effective tool to avoid foreign exchange risks, to strengthen the relevant internal control and to carry out the loss and risk prevention measures so as to improve the operation and management. In conducting derivative transactions with focus on forward settlement and purchase, the Company follows a legal approval procedure, has sound relevant institutions and keeps the risks relatively controllable. No harm has been done to the interests of the Company’s shareholders. |
V Progress of Projects Financed with Raised Funds
√ Applicable □ Not applicable
Approved by the CSRC in the Reply on Approving the Public Issue of Convertible Corporate Bonds by LuThai Textile Co., Ltd. (ZJXK[2020]No.299), the Company publicly offered the convertible corporate bondswith the total par value of RMB1.4 billion on 9 April 2020. The net amount of funds raised through thispublic offering after deducting related issue expenses is RMB1,385,460,000. As for projects financed withthe raised funds, apart from the project of supplementing the current capital, both the project of FunctionalFabric Intelligent Ecological Park (I) and the project of High-grade Printing and Dyeing Fabric ProductionLine are carried out as planned.VI 2020 Annual Operating Performance Forecast
Warning of a forecast loss on or a forecast significant year-on-year change in the 2020 annual net profit, as well as explanation ofwhy:
√ Applicable □ Not applicable
Performance forecast: Decrease in net profitType of forecast data: Interval data
| January-December 2020 | January-December 2019 | Change (%) | ||||||
| Predicted annual net profit (RMB’0,000) | 3,500 | -- | 5,000 | 98,932.67 | Down | 96.46% | -- | 94.95% |
| Basic earnings per share (RMB /share) | 0.04 | -- | 0.06 | 1.11 | Down | 96.40% | -- | 96.59% |
| Note | During the Reporting Period, influenced by the COVID-19 epidemic in and outside China, orders of the Company decreased and the sales volume of the Company’s products declined, which caused a remarkable YoY decline in the net profit of the Company for 2020. | |||||||
VII Significant Contracts Arising from the Company’s Ordinary Course of Business
□ Applicable √ Not applicable
VIII Cash Entrusted for Wealth Management
√ Applicable □ Not applicable
Unit: RMB’0,000
| Type | Funding source | Amount | Undue amount | Unrecovered overdue amount |
| Trust financial products | Self-funded | 5,000 | 0 | 0 |
| Bank’s wealth management product | Idle raised funds | 30,000 | 30,000 | 0 |
| Bank’s wealth management product | Idle raised funds | 8,000 | 8,000 | 0 |
| Total | 43,000 | 38,000 | 0 | |
High-risk wealth management transactions with a significant single amount, or with low security, low liquidity or no principalprotection:
√ Applicable □ Not applicable
Unit: RMB’0,000
| Trustee | Type of trustee | Type of wealth management product | Principal | Funding source | Start date | End date | Investment with principal | Way of payback | Reference annualized rate of return | Expected return (if any) | Actual gain/loss in the Reporting Period | Recovery of the gain/loss in the Reporting Period | Impairment allowance (if any) | Through prescribed procedures or not | Any plan for further transactions | Summary and index to more information (if any) |
| Avic Trust Co., Ltd. | Trust company | Fixed-income | 5,000 | Self-funded | 7 March 2019 | 9 March 2020 | No fixed destination | Payback of principal with annual interest | 8.00% | 400 | 402.19 | Recovery on schedule | 0 | Yes | No | Announcement No. 2020-059 dated 14 August 2020 on www.cninfo.com.cn |
| Agricultural Bank of China | Bank | Principal-protected | 10,000 | Raised fund | 1 July 2020 | 25 September 2020 | Bank financing | Payback of principal with interest upon maturi | 3.50% | 81.51 | 81.51 | Recovery on schedule | 0 | Yes | No | Announcement No. 2020-051 dated 23 May 2020 on www.cninfo.com.cn |
| ty | ||||||||||||||||
| Agricultural Bank of China | Bank | Principal-protected | 10,000 | Raised fund | 1 July 2020 | 8 January 2021 | Bank financing | Payback of principal with interest upon maturity | 3.50% | 183.15 | - | 0 | Yes | No | Announcement No. 2020-051 dated 23 May 2020 on www.cninfo.com.cn | |
| China Construction Bank | Bank | Principal-protected | 5,000 | Raised fund | 3 July 2020 | 11 October 2020 | Bank financing | Payback of principal with interest upon maturity | 2.05% | 28.09 | - | 0 | Yes | No | Announcement No. 2020-051 dated 23 May 2020 on www.cninfo.com.cn | |
| Qishang Bank | Bank | Principal-protected | 5,000 | Raised fund | 13 August 2020 | 12 November 2020 | Bank financing | Payback of principal with interest upon maturity | 3.50% | 43.63 | - | 0 | Yes | No | Announcement No. 2020-051 dated 23 May 2020 on www.cninfo.com.cn | |
| Agricultural Bank of China | Bank | Principal-protected | 10,000 | Raised fund | 28 September 2020 | 25 December 2020 | Bank financing | Payback of principal with interest upon maturity | 3.50% | 83.42 | - | 0 | Yes | No | Announcement No. 2020-051 dated 23 May 2020 on www.cninfo.com.cn | |
| Qishang Bank | Bank | Principal-protected | 4,000 | Self-funded | 2 September 2020 | 2 December 2020 | Bank financing | Payback of principal with interes | 3.50% | 34.9 | - | 0 | Yes | No | Announcement No. 2020-059 dated 14 August 2020 on |
| t upon maturity | www.cninfo.com.cn | |||||||||||||||
| Qishang Bank | Bank | Principal-protected | 1,000 | Self-funded | 2 September 2020 | 2 December 2020 | Bank financing | Payback of principal with interest upon maturity | 3.50% | 8.73 | - | 0 | Yes | No | Announcement No. 2020-059 dated 14 August 2020 on www.cninfo.com.cn | |
| Qishang Bank | Bank | Principal-protected | 3,000 | Self-funded | 2 September 2020 | 2 December 2020 | Bank financing | Payback of principal with interest upon maturity | 3.50% | 26.18 | - | 0 | Yes | No | Announcement No. 2020-059 dated 14 August 2020 on www.cninfo.com.cn | |
| Total | 53,000 | -- | -- | -- | -- | -- | -- | 889.61 | 483.7 | -- | 0 | -- | -- | -- | ||
Wealth management transactions with possible impairments including an expectedly unrecoverable principal:
□ Applicable √ Not applicable
IX Irregularities in the Provision of Guarantees
□ Applicable √ Not applicable
No such cases in the Reporting Period.X Occupation of the Company’s Capital by the Controlling Shareholder or any of Its RelatedParties for Non-Operating Purposes
□ Applicable √ Not applicable
No such cases in the Reporting Period.XI Communications with the Investment Community such as Researches, Inquiries andInterviews Received during the Reporting Period
√ Applicable □ Not applicable
| Date | Place | Way of communi | Type of communic | Communication party | Major discussion content and information | Index to main information communicated |
| cation | ation party | provided | ||||
| 8 July 2020 | Meeting room of the Company | By phone | Institution | Institutional investors | Basic information of the Company | Refer to Announcement on Record of Investor Relations Activities on 8 July 2020 dated 8 July 2020 on www.cninfo.com.cn |
| 31 August 2020 | Meeting room of the Company | By phone | Institution | Institutional investors | Basic information of the Company | Refer to Announcement on Record of Investor Relations Activities on 31 August 2020 (I) dated 8 July 2020 on www.cninfo.com.cn |
| 31 August 2020 | Meeting room of the Company | By phone | Institution | Institutional investors | Basic information of the Company | Refer to Announcement on Record of Investor Relations Activities on 31 August 2020 (II) dated 8 July 2020 on www.cninfo.com.cn |
Signature of the Chairman of the Board: Liu ZibinLu Thai Textile Co., Ltd.
31 October 2020