Flat Glass Group Co., Ltd. — AGM Information 2017

May 26, 2017

THIS CIRCULAR IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION

If you are in any doubt as to any aspect of this Second Supplemental Circular or as to the action to be taken, you should consult a stockbroker or other registered dealer in securities, bank manager, solicitor, professional accountant or other professional adviser.

If you have sold or transferred all your shares in the Company, you should at once hand this Second Supplemental Circular to the purchaser or the transferee, or to the bank, stockbroker or other agent through whom the sale or transfer was effected for transmission to the purchaser or transferee.

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this Second Supplemental Circular, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this Second Supplemental Circular.

福萊特玻璃集團股份有限公司 Flat Glass Group Co., Ltd.

(a joint stock company incorporated in the People’s Republic of China with limited liability) (stock code: 6865)

SECOND SUPPLEMENTAL CIRCULAR TO THE ANNUAL GENERAL MEETING TO BE HELD ON 13 JUNE 2017

This Second Supplemental Circular shall be read in conjunction with the Circular and the Supplemental Circular.

If you intend to attend the AGM by proxy, you are required to complete and return the Revised Proxy Form enclosed with the Supplemental Circular in accordance with the instructions printed thereon to the Company’s H shares registrar in Hong Kong, Tricor Investor Services Limited at Level 22, Hopewell Centre, 183 Queen’s Road East, Hong Kong (for holders of H Shares), or to the Company’s registered office in the PRC at 1999 Yunhe Road, Xiuzhou District, Jiaxing, Zhejiang Province, the People’s Republic of China (for holders of Domestic Shares) as soon as possible but in any event by not later than 24 hours before the time appointed for holding of the AGM or any adjournment thereof. Completion and return of the Revised Proxy Form shall not preclude you from attending and voting in person at the AGM or any adjourned meeting should you so wish.

26 May 2017

CONTENTS

		Page
DEFINITIONS	. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	1
LETTER FROM THE BOARD . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .		3
APPENDIX I – REPORT ON RELATED PARTIES TRANSACTIONS
	DURING THE PERIOD FROM 1 JANUARY 2014
	TO 31 DECEMBER 2016 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	6

– i –

DEFINITIONS

In this Second Supplemental Circular, the following expressions shall have the following meanings unless the context requires otherwise. Other capitalised expressions used in this Second Supplemental Circular but not defined below shall have the same meaning as those used in the Circular and the Supplemental Circular.

“A Share(s)” ordinary share(s) proposed to be issued by the Company pursuant to the Proposed A Share Offering and subscribed for in RMB

• “Articles of Association” the articles of association of the Company

• “AGM” the Annual General Meeting of the Company to be held at the Conference Room, 5th Floor, Flat Glass Group Co., Ltd., 1999 Yunhe Road, Xiuzhou district, Jiaxing, Zhejiang Province, the PRC, at 9:30 a.m. on 13 June 2017, or any adjournment thereof

• “Board” the board of Directors of the Company

• “Circular” the circular of the Company dated 28 April 2017

• “Company” Flat Glass Group Co., Ltd.*（福萊特玻璃集團股份有限公 司）, a joint stock company established in the PRC with limited liability on 29 December 2005, the H Shares of which are listed on the main board of the Stock Exchange (stock code: 6865)

• “Directors” the directors of the Company

• “Domestic Shares” ordinary share(s) in the capital of the Company with a nominal value of RMB0.25 each, which are subscribed for or credited as paid up in RMB by PRC nationals and/or PRC corporate entities

• “Hong Kong” the Hong Kong Special Administrative Region of the PRC

• “Listing Rules” the Rules Governing the Listing of Securities on the Stock Exchange

• “Original Proxy Form”

• the original form of proxy for use at the AGM enclosed with the Circular

• “PRC”

the People’s Republic of China, for the purpose of this circular, excluding Hong Kong, the Macau Special Administrative Region of the PRC and Taiwan

– 1 –

DEFINITIONS

“Proposed A Share Offering”	the Company’s proposed initial public offering of not	the Company’s proposed initial public offering of not
	more than 200,000,000 A Shares, which are	proposed
	to be listed on the Shanghai Stock Exchange
“Revised Proxy Form”	the revised proxy form for use at the AGM enclosed
	with the Supplemental Circular
“RMB”	Renminbi, the lawful currency of the PRC
“Second Supplemental Circular”	this second supplemental circular of the	Company
	dated 26 May 2017
“Share(s)”	the Domestic Share(s) and the H Share(s)
“Shareholder(s)”	the holder(s) of the Share(s) of the Company
“Stock Exchange”	The Stock Exchange of Hong Kong Limited
“Supplemental Circular”	the supplemental circular of the Company	dated 12
	May 2017
“US$”	United States dollars, the lawful currency of the United
	States of America
“%”	percent

In this Second Supplemental Circular, unless the context otherwise requires, the terms “connected person(s)”, “connected transaction(s)”, “controlling shareholder(s)” and “substantial shareholder(s)”, if used, shall have the meanings given to such terms in the Listing Rules, as modified by the Stock Exchange from time to time.

Certain amounts and percentage figures set out in this Second Supplemental Circular have been subject to rounding adjustments. Accordingly, figures shown as total in certain tables and the currency conversion or percentage equivalents may not be an arithmetic sum of such figures.

Reference to the singular number includes references to the plural and vice versa and references to one gender include every gender.

English names of Chinese entities marked with “*” are translations of their Chinese names and are included in this circular for identification purpose only, and should not be regarded as their official English translation. In the event of any inconsistency, the Chinese names prevails.

– 2 –

LETTER FROM THE BOARD

福萊特玻璃集團股份有限公司 Flat Glass Group Co., Ltd.

(a joint stock company incorporated in the People’s Republic of China with limited liability)

(stock code: 6865)

Executive Directors: Registered office, headquarters and Mr. Ruan Hongliang (Chairman) principal place of business in the PRC: Ms. Jiang Jinhua 1999 Yunhe Road Mr. Wei Yezhong Xiuzhou District Jiaxing Mr. Shen Qifu Zhejiang Province PRC

Independent non-executive Directors: Dr. Cui Xiaozhong Mr. Li Shilong Mr. Ng Ki Hung

Principal place of business in Hong Kong: 18/F Tesbury Centre 28 Queen’s Road East Wanchai Hong Kong 26 May 2017

To the Shareholders,

Dear Sir/Madam,

SECOND SUPPLEMENTAL CIRCULAR TO THE ANNUAL GENERAL MEETING TO BE HELD ON 13 JUNE 2017

I. INTRODUCTION

This Second Supplemental Circular should be read in conjunction with the Circular and the Supplemental Circular.

The purpose of this Second Supplemental Circular is to provide you with the updated report on related parties transactions during the period from 1 January 2014 to 31 December 2016.

II. THE UPDATED REPORT ON RELATED PARTIES TRANSACTIONS DURING THE PERIOD FROM 1 JANUARY 2014 TO 31 DECEMBER 2016

In accordance with the requirements of the Proposed A Share Offering, an ordinary resolution will be proposed at the AGM to consider and approve the report on the related parties transactions of the Company during the period from 1 January 2014 to 31 December 2016. A draft report has been set out in Appendix I to the Supplemental Circular.

– 3 –

LETTER FROM THE BOARD

Upon further checking, certain information in the said related parties transactions report as set out in Appendix I to the Supplemental Circular have to be updated. The updated report on the related parties transactions of the Company during the period from 1 January 2014 to 31 December 2016 is included in Appendix I to this circular for the Shareholders’ consideration.

Save as mentioned above, all other information and resolutions to be proposed at the AGM as set out in the notice of AGM of the Company and the Circular dated 28 April 2017, and the supplemental notice of AGM and the Supplemental Circular dated 12 May 2017 remain unchanged.

III. THE AGM

The AGM will be held at the Conference Room, 5th Floor, Flat Glass Group Co., Ltd. 1999 Yunhe Road, Xiuzhou District, Jiaxing, Zhejiang Province, the PRC, at 9:30 a.m. on 13 June 2017. Please refer to the notice of AGM of the Company and the Circular dated 28 April 2017, and the supplemental notice of AGM and the Supplemental Circular dated 12 May 2017 for details in respect of the resolutions to be considered and passed at the AGM, eligibility for attending the AGM, registration procedures, closure of register of members and other relevant matters.

Shareholders who intend to attend the AGM by Revised Proxy Form are required to complete and return the Revised Proxy Form enclosed with the Supplemental Circular, in accordance with the instructions printed thereon as soon as possible and in any event not later than 24 hours before the time appointed for the holding of such meeting or any adjournment thereof. Completion and return of the Revised Proxy Form will not preclude you from attending and voting in person at such meeting or any adjournment thereof should you so wish.

Shareholders should note that the Revised Proxy Form supersedes and replaces the Original Proxy Form and that the Original Proxy Form is void and invalid. SHAREHOLDERS WHO HAVE SIGNED AND RETURNED THE ORIGINAL PROXY FORM SHOULD COMPLETE AND RETURN THE REVISED PROXY FORM IN ACCORDANCE WITH THE INSTRUCTIONS PROVIDED THEREIN.

IV. VOTING BY POLL

Pursuant to Rule 13.39(4) of the Listing Rules, the resolutions to be proposed at the AGM as set out in the notice of the AGM in the Circular and the supplemental notice of the AGM enclosed in the Supplemental Circular must be taken by poll. The chairman of the AGM will therefore demand a poll for every such resolution put to the vote at the AGM. On a poll, every Shareholder present in person or by proxy or (being a corporation) by its duly authorised representative shall have one vote for each Share of the Company registered in his or her or its name in the register of Shareholders. A Shareholder entitled to more than one vote need not use all his or her votes or cast all the votes he or she or it uses in the same way.

– 4 –

LETTER FROM THE BOARD

No Shareholder is required to abstain from voting for the resolution in relation to the report on related parties transactions during the period from 1 January 2014 to 31 December 2016 to be proposed at the AGM.

V. RECOMMENDATION

The Directors consider that the updated report on related parties transactions during the period from 1 January 2014 to 31 December 2016 as set out in Appendix I to this Second Supplemental Circular is in the best interests of the Company and the Shareholders as a whole.

Accordingly, the Directors recommend all Shareholders to vote in favor of the relevant resolution to be proposed at the AGM.

VI. RESPONSIBILITY STATEMENT

This Second Supplemental Circular, for which the Directors collectively and individually accept full responsibility, includes particulars given in compliance with the Listing Rules for the purposes of giving information with regard to the Company. The Directors, having made all reasonable enquiries, confirm that to the best of their knowledge and belief the information contained in this document is accurate and complete in all material respects and not misleading or deceptive, and there are no other matters the omission of which would make any statement in this Second Supplemental Circular misleading.

Yours faithfully By order of the Board of Flat Glass Group Co., Ltd. Ruan Hongliang Chairman

– 5 –

REPORT ON RELATED PARTIES TRANSACTIONS DURING THE PERIOD FROM 1 JANUARY 2014 TO 31 DECEMBER 2016

APPENDIX I

The English version of this appendix is an unofficial translation of its Chinese version. In case of any discrepancies, the Chinese version shall prevail.

The related parties transactions entered into between 1 January 2014 and 31 December 2016 are reported as follows, for consideration by all Shareholders and their representatives:

A. Related Party Transactions

• (1) Purchase of Raw Materials

	Particulars of
	Related Party	**For **	the Year	For the Year	For the Year
Related Party	Transaction		2016	2015	2014
			(RMB)	(RMB)	(RMB)
Jiaxing Yucheng
Commerce and
Trading Co., Ltd.*
（嘉興市譽誠商貿	Purchase of raw
有限公司）	material		–	–	76,005,661.33
Receive Repair and Replacement Services
	Particulars of
	Related Party	**For **	the Year	For the Year	For the Year
Related Party	Transaction		2016	2015	2014
			(RMB)	(RMB)	(RMB)
Jiaxing Nanhu
Automobile Sales
Co., Ltd.*	Receiving repair
（嘉興市南湖汽車	and replacement
銷售有限公司）	services		–	24,262.78	242,179.55

• (2) Receive Repair and Replacement Services

• (3) Compensation of Key Management Personnel

		For the Year	For the Year	For the Year
Item		2016	2015	2014
		(RMB)	(RMB)	(RMB)
Compensation	of key
management	personnel	5,032,214.43	5,057,785.81	3,513,673.35

– 6 –

APPENDIX I

REPORT ON RELATED PARTIES TRANSACTIONS DURING THE PERIOD FROM 1 JANUARY 2014 TO 31 DECEMBER 2016

(4) Borrowings from Related Party

	Amount	Commencement		Year End
Related Party	Borrowed	Date	Expiry Date	Amount	Particulars
	(RMB)			(RMB)
For Year 2016
Nil
For Year 2015
Ruan Hongliang	32,900,000.00	2015-01-13	2015-01-29	0.00	Interest free with no
					fixed term of
					repayment
Ruan Hongliang	31,000,000.00	2015-01-30	2015-10-29	0.00	Entrusted loans
					bearing interest at
					5.88% per annum
For Year 2014
Ruan Hongliang	31,000,000.00	2014-01-26	2014-11-13	0.00	Entrusted loans
					bearing interest at
					6.30% per annum
Ruan Hongliang	31,000,000.00	2014-12-04	2014-12-24	0.00	Interest-free with no
					fixed term of
					repayment

(5) Borrowings to Related Parties

	Amount	Commencement		Year End
Related Party	Borrowed to	Date	Expiry Date	Amount	Particulars
	(RMB)			(RMB)
For the year 2016
Jiang Jinhua	188,365.11	2016-07-11	2016-07-21	0.00	Interest-free with no
					fixed term of
					repayment
For the year 2015
Jiaxing Yihe	7,800,000.00	2015-09-28	2015-10-16	0.00	Interest-free with no
Machine Co., Ltd.					fixed term of
					repayment
Jiaxing Yihe	100,000.00	2015-12-21	2015-12-31	0.00	Interest-free with no
Machine Co., Ltd.					fixed term of
					repayment
Jiang Jinhua	100,000.00	2015-03-03	2015-03-17	0.00	Interest-free with no
					fixed term of
					repayment
For the year 2014
Shen Qifu	600,000.00	16 August 2013	5 March 2014	0.00	Interest-free with no
					fixed term of
					repayment_(Note)_

– 7 –

APPENDIX I REPORT ON RELATED PARTIES TRANSACTIONS DURING THE PERIOD FROM 1 JANUARY 2014 TO 31 DECEMBER 2016

Note: Pursuant to the Supplementary Agreement, Shen Qifu is required to pay borrowing interest of RMB19,824.66 according to the then bank loan benchmark interest rate. On 17 April 2017, Shen Qifu has paid the above borrowing interest.

• (6) Amounts Receivable or Payable by Related Parties

Item Related Party Accounts Payables Jiaxing Yucheng Commerce and Trading Co., Ltd. （嘉興市譽誠商貿有限公司） Accounts Payables Jiaxing Nanhu Automobile Sales Co., Ltd. （嘉興市南湖汽車銷售有限公司） Total Other Non-current Assets Jiaxing Xiuzhou District Lianhui Venture Capital Co., Ltd.* (Note) （嘉興市秀洲區聯會創業投資 有限公司）	As at 31 December 2016 (RMB) – – – –	As at 31 December 2015 (RMB) – 1,767.50 1,767.50 6,200,000.00	As at 31 December 2014 (RMB) 856,918.62 82,036.30
			938,954.92
			6,200,000.00

• Note: The amount prepaid to Jiaxing Xiuzhou District Lianhui Venture Capital Co., Ltd. was the fund for the purchase of property. In 2014, a payment of RMB2,000 thousand for the fund for the purchase of property was newly added. In December 2016, such property was delivered to the Company and transferred to fixed assets.

• (7) Receiving Guarantees from Related Parties

Guarantor(s) 2016 Nil

Fulfilment of the Guarantee Guaranteed Amount Commencement Expiry as at 31 Party Guaranteed Date Date December 2016 (RMB)

– 8 –

APPENDIX I

REPORT ON RELATED PARTIES TRANSACTIONS DURING THE PERIOD FROM 1 JANUARY 2014 TO 31 DECEMBER 2016

					Fulfilment of
					the Guarantee
	Guaranteed	Amount	Commencement	Expiry	as at 31
Guarantor(s)	Party	Guaranteed	Date	Date	December 2016
		(RMB)
2015
Ruan Hongliang,	The Group	15,000,000.00	2014-03-25	2015-01-14	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2014-06-11	2015-03-23	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	15,000,000.00	2014-07-07	2015-03-16	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	15,000,000.00	2014-07-09	2015-03-06	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	14,736,744.86	2014-08-22	2015-01-26	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2014-09-19	2015-01-14	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2014-10-29	2015-03-23	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	35,000,000.00	2015-01-14	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	15,000,000.00	2015-03-06	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	15,000,000.00	2015-03-16	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	30,000,000.00	2015-03-23	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang	The Group	30,000,000.00	2015-05-28	2015-06-03	Yes
Ruan Hongliang,	The Group	40,000,000.00	2010-09-28	2015-08-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	30,000,000.00	2010-11-18	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2010-12-17	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2010-12-24	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	30,000,000.00	2013-03-22	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	40,000,000.00	2013-03-22	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2013-04-22	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2013-04-22	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	36,000,000.00	2014-12-17	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2014-12-18	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang	The Group	25,000,000.00	2012-06-11	2015-06-03	Yes
Ruan Hongliang,	The Group	40,000,000.00	2010-10-21	2015-06-03	Yes
Jiang Jinhua

– 9 –

APPENDIX I

REPORT ON RELATED PARTIES TRANSACTIONS DURING THE PERIOD FROM 1 JANUARY 2014 TO 31 DECEMBER 2016

					Fulfilment of
					the Guarantee
	Guaranteed	Amount	Commencement	Expiry	as at 31
Guarantor(s)	Party	Guaranteed	Date	Date	December 2016
		(RMB)
Ruan Hongliang,	The Group	10,000,000.00	2010-11-23	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2010-12-20	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang	The Group	25,000,000.00	2013-01-25	2015-06-03	Yes
Ruan Hongliang	The Group	40,000,000.00	2013-01-25	2015-06-03	Yes
Ruan Hongliang,	The Group	10,000,000.00	2015-03-04	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2015-03-04	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	4,000,000.00	2015-03-04	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2014-05-30	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2014-06-26	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2014-09-19	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	24,000,000.00	2014-10-21	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	15,000,000.00	2014-10-28	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	15,000,000.00	2014-10-29	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	35,000,000.00	2014-11-14	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2015-01-13	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2015-02-04	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	32,000,000.00	2015-02-09	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	30,000,000.00	2015-02-13	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	17,100,000.00	2015-05-08	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	15,000,000.00	2015-02-13	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2015-03-04	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	35,000,000.00	2015-03-17	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2015-03-27	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	5,000,000.00	2015-03-31	2015-06-03	Yes
Jiang Jinhua

– 10 –

APPENDIX I

REPORT ON RELATED PARTIES TRANSACTIONS DURING THE PERIOD FROM 1 JANUARY 2014 TO 31 DECEMBER 2016

					Fulfilment of
					the Guarantee
	Guaranteed	Amount	Commencement	Expiry	as at 31
Guarantor(s)	Party	Guaranteed	Date	Date	December 2016
		(RMB)
Ruan Hongliang,	The Group	8,000,000.00	2015-04-29	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,600,000.00	2015-04-30	2015-06-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	15,000,000.00	2015-05-06	2015-06-03	Yes
Jiang Jinhua
					Fulfilment of
					the Guarantee
	Guaranteed	Amount	Commencement	Expiry	as at 31
Guarantor(s)	Party	Guaranteed	Date	Date	December 2016
		(RMB)
2014
Ruan Hongliang,	The Group	20,000,000.00	2013-05-08	2014-01-31	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	36,000,000.00	2014-12-17	2016-12-02	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2014-12-18	2016-07-02	Yes
Jiang Jinhua
Ruan Hongliang	The Group	25,000,000.00	2012-06-11	2015-06-25	Yes
Ruan Hongliang	The Group	25,000,000.00	2013-01-25	2015-06-25	Yes
Ruan Hongliang	The Group	5,000,000.00	2011-11-25	2014-04-01	Yes
Ruan Hongliang	The Group	30,000,000.00	2011-11-25	2014-12-16	Yes
Ruan Hongliang	The Group	40,000,000.00	2013-01-25	2015-12-25	Yes
Ruan Hongliang,	The Group	24,000,000.00	2014-01-03	2014-10-15	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2014-05-30	2015-04-29	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2014-06-26	2015-04-19	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2014-09-19	2015-03-18	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	24,000,000.00	2014-10-21	2015-04-19	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	15,000,000.00	2014-10-28	2015-04-27	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	30,000,000.00	2013-12-06	2014-01-29	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	30,000,000.00	2013-12-18	2014-05-29	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	30,000,000.00	2013-12-23	2014-09-02	Yes
Jiang Jinhua

– 11 –

APPENDIX I

REPORT ON RELATED PARTIES TRANSACTIONS DURING THE PERIOD FROM 1 JANUARY 2014 TO 31 DECEMBER 2016

					Fulfilment of
					the Guarantee
	Guaranteed	Amount	Commencement	Expiry	as at 31
Guarantor(s)	Party	Guaranteed	Date	Date	December 2016
		(RMB)
Ruan Hongliang,	The Group	20,000,000.00	2014-02-24	2014-05-19	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2014-02-25	2014-07-10	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2014-03-11	2014-05-12	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	15,000,000.00	2014-05-19	2014-11-14	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	15,000,000.00	2014-06-25	2014-08-14	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	25,000,000.00	2014-06-27	2014-10-27	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2014-07-08	2014-09-05	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2014-07-01	2014-11-11	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	15,000,000.00	2014-10-29	2015-04-28	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	5,000,000.00	2014-10-29	2014-12-03	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	35,000,000.00	2014-11-14	2015-05-13	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	30,000,000.00	2013-08-21	2014-05-12	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	2,500,000.00	2013-12-19	2014-06-12	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	35,000,000.00	2013-12-24	2014-02-14	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	9,500,000.00	2013-12-24	2014-05-12	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2013-12-20	2014-06-09	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2013-12-27	2014-12-26	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	15,000,000.00	2014-03-25	2015-03-23	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2014-06-11	2015-05-04	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	15,000,000.00	2014-07-07	2015-04-25	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	15,000,000.00	2014-07-09	2015-04-20	Yes
Jiang Jinhua

– 12 –

APPENDIX I

REPORT ON RELATED PARTIES TRANSACTIONS DURING THE PERIOD FROM 1 JANUARY 2014 TO 31 DECEMBER 2016

					Fulfilment of
					the Guarantee
	Guaranteed	Amount	Commencement	Expiry	as at 31
Guarantor(s)	Party	Guaranteed	Date	Date	December 2016
		(RMB)
Ruan Hongliang,	The Group	5,399,016.84	2014-07-24	2014-12-24	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	15,343,497.23	2014-07-24	2014-12-29	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	14,736,744.86	2014-08-22	2015-01-26	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2014-09-19	2015-03-16	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2014-10-29	2015-04-28	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	1,363,960.00	2014-01-29	2014-04-10	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	340,000.00	2014-06-12	2014-08-28	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	340,000.00	2014-06-12	2014-08-28	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	340,000.00	2014-06-12	2014-08-28	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	40,000,000.00	2010-09-28	2016-08-20	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	40,000,000.00	2010-10-21	2016-08-20	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	30,000,000.00	2010-11-18	2015-11-20	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2010-11-23	2015-11-20	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2010-12-17	2015-11-20	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2010-12-20	2015-11-20	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2010-12-24	2015-11-20	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2011-05-10	2014-10-17	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	30,000,000.00	2011-05-11	2014-11-02	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	31,500,000.00	2011-04-29	2014-12-05	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	24,500,000.00	2011-05-18	2014-12-10	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	30,000,000.00	2013-03-22	2015-12-31	Yes
Jiang Jinhua

– 13 –

REPORT ON RELATED PARTIES TRANSACTIONS DURING THE PERIOD FROM 1 JANUARY 2014 TO 31 DECEMBER 2016

APPENDIX I

					Fulfilment of
					the Guarantee
	Guaranteed	Amount	Commencement	Expiry	as at 31
Guarantor(s)	Party	Guaranteed	Date	Date	December 2016
		(RMB)
Ruan Hongliang,	The Group	40,000,000.00	2013-03-22	2015-12-31	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	10,000,000.00	2013-04-22	2015-12-31	Yes
Jiang Jinhua
Ruan Hongliang,	The Group	20,000,000.00	2013-04-22	2015-06-30	Yes
Jiang Jinhua

B. Pricing Policy and Basis of the Related Parties Transactions

The related party transactions between the Company and the related party have been conducted based on fair and voluntary principle, except that some related parties and related natural persons, did not pay the interest for temporary and short-term borrowing funds from the Company, and Ruan Hongliang, the de facto controller of the Company provided short-term financial support to the Company for free, other related party transactions adopted a fair pricing approach, and performed necessary decision-making or confirmation processes. There are no situations that damaged the interests of the Company and other non-related party shareholders.

– 14 –