RoboSense Technology Co., Ltd — Interim / Quarterly Report 2014

Oct 28, 2014

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, 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 announcement.

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THIRD QUARTERLY REPORT 2014

1. IMPORTANT NOTICE

• 1.1 The board of directors (the “Board”), the supervisory committee, the directors (the “Directors”), supervisors and senior management members of the Company shall warrant that the information contained in this quarterly report is true, accurate, and complete without any false and misleading statements or material omissions, and severally and jointly accept legal responsibility for the above.

• 1.2 All Directors attended the Board meeting to consider the quarterly report.

• 1.3 Ma Liyun, Chairman of the Company, Sun Lei, the Financial Controller, and Chen Jing, the Manager of Finance Centre, warrant that the financial statements in this quarterly report are true, accurate and complete.

• 1.4 The third quarterly report of the Company is unaudited.

— 1 —

2. MAJOR FINANCIAL DATA AND CHANGES IN SHAREHOLDERS OF THE COMPANY

2.1 Major Financial Data

Unit: RMB

			Increase/ decrease
			at the end of the
			reporting period as
	At the end of the	At the end of the	compared with the end
	reporting period	previous year	of the previous year
			(%)
Total assets	1,136,606,488.34	1,226,528,319.88	–7.33
Net assets attributable to shareholders
of the Company	40,645,697.76	33,306,058.69	22.04
		From beginning of the
	From beginning of	previous year to the
	the year to the end	end of the reporting
	of the reporting	period of the previous
	period (January –	year (January –	Year-on-year increase/
	September)	September)	decrease
			(%)
Net cash flows from operating activities	–28,655,885.17	37,293,978.17	–176.84

— 2 —

			From beginning of the
			previous year to the
	From beginning of		end of the reporting
	the year to the end of		period of the previous
	the	reporting period	year (January –	Year-on-year increase/
	(July – September)		September)	decrease
				(%)
Operating income		432,785,559.45	219,854,060.74	96.85
Net profit attributable to shareholders
of the listed company		7,250,484.21	–61,585,936.52	111.77
Net profit attributable to shareholders of
the listed company after deducting
extraordinary profit or loss		–85,320,886.22	–70,803,820.47	N/A
Weighted average return on net assets_(%)_		19.63	–60.78	Increased by 80.41
				percentage points
Basic earnings per share_(RMB/share)_		0.0145	–0.1232	111.77
Diluted earnings per share_(RMB/share)_		0.0145	–0.1232	111.77

— 3 —

Extraordinary Items and Amounts:

Unit: RMB

Extraordinary Items 1. Profit/loss from disposal of non-current assets 2. Government grants credited to current profit or loss (except for those which are closely related to the Company’s ordinary business, in accordance with national policies and continuously received in certain standard amounts and quantities) 3. Gain from debt restructuring 4. Fee and commission incomes arising from trusted customer asset management business 5. Other non-operating income and expenses excluding the aforesaid items 6. Effect of income tax 7. Effect of minority interests (after tax) Total

Amount for the reporting period (July – September) Amounts for the period from beginning of the year to the end of the reporting period (January – September) Explanations 241,358.48 94,153,153.96 387,263.04 1,161,789.12 25,000.00 212,500.00 –2,289,123.70 –2,594,183.71 68,854.88 55,099.13 –400.59 –416,988.07 –1,567,047.89 92,571,370.43

— 4 —

2.2 Total number of shareholders, top 10 shareholders and top 10 holders of tradable shares not subject to trading moratorium at the end of the reporting period

Unit: Share

Total number of shareholders as at the end of the reporting period

17,831 including 17,774 holders of A Shares and 57 holders of H Shares.

Shareholdings of the top 10 shareholders

		Total number		Number of
	Increase/	of shares held		shares subject
	decrease in	as at the end		to trading	Pledged or frozen
Name of shareholders	the reporting	of the reporting	Shareholding	moratorium	Status of		Nature of
(full name)	period	period	Percentage	held	shares	Number	shareholder
			(%)
							Overseas
HKSCC Nominees Limited	12,000	247,860,998	49.57	0	Unknown		legal person
China Luoyang Float Glass							State-owned
(Group) Company Limited	0	159,018,242	31.8	0	Pledged	159,018,242	legal person
							Domestic
Zhang Lixin	0	2,760,000	0.55	0	Unknown		natural person
							Domestic
Mao Jianghui	0	2,092,599	0.42	0	Unknown		natural person
							Domestic
Ji Haibin	0	1,266,454	0.25	0	Unknown		natural person
							Domestic
Liu Yujun	0	1,022,613	0.20	0	Unknown		natural person
Beijing Daiwei Debang
Investment Consultation							Domestic
Co., Ltd. (北京代維德邦							non-state-owed
投資諮詢有限公司)	0	1,021,853	0.20	0	Unknown		legal person
							Domestic
Zhang Ruiying	0	1,000,000	0.20	0	Unknown		natural person
China Everbright Bank
— Penghua assets Longqi
Chitu assets quantitative
hedging management plan
(光大銀行—鵬華資產
龍旗赤兔量化對沖資產
管理計劃)	0	850,100	0.17	0	Unknown		Other
							Domestic
Zhang Wenming	0	590,000	0.12	0	Unknown		natural person

— 5 —

Particulars of the top 10 holders of circulating shares not subject to trading Moratorium

	Number of
	circulating shares
	not subject
	to trading
	moratorium as
Name of shareholders	at the end of the	Class and number of shares
(full name)	reporting period	Class	Number
		Overseas listed
HKSCC Nominees Limited	247,860,998	foreign shares	247,860,998
China Luoyang Float Glass		Ordinary shares
(Group) Company Limited	159,018,242	denominated in RMB	159,018,242
		Ordinary shares
Zhang Lixin	2,760,000	denominated in RMB	2,760,000
		Ordinary shares
Mao Jianghui	2,092,599	denominated in RMB	2,092,599
		Ordinary shares
Ji Haibin	1,266,454	denominated in RMB	1,266,454
		Ordinary shares
Liu Yujun	1,022,613	denominated in RMB	1,022,613
Beijing Daiwei Debang Investment
Consultation Co., Ltd. (北京		Ordinary shares
代維德邦投資諮詢有限公司)	1,021,853	denominated in RMB	1,021,853
		Ordinary shares
Zhang Ruiying	1,000,000	denominated in RMB	1,000,000
China Everbright Bank — Penghua
assets Longqi Chitu assets
quantitative hedging management
plan (光大銀行—鵬華資產龍		Ordinary shares
旗赤兔量化對沖資產管理計劃)	850,100	denominated in RMB	850,100
		Ordinary shares
Zhang Wenming	590,000	denominated in RMB	590,000

— 6 —

Explanation on connected relationship or action acting in concert among the aforesaid shareholders:

There are no connected parties or persons acting in concert as defined by Regulations for Disclosure of Changes in Shareholding of Listed Companies (《上市公司股東持股變動信息披露管 理辦法》) issued by CSRC among the top ten shareholders of the Company, including China Luoyang Float Glass (Group) Company Limited and other shareholders of circulating shares. The Company is not aware of any parties acting in concert or any connected relationship among other shareholders of circulating shares.

Explanations on preference None shareholders with voting rights restored and the number of shares held

— 7 —

3 SIGNIFICANT EVENTS

3.1 Substantial changes in major items of financial statements and financial indicators and the reasons thereof

	3	Applicable		Not Applicable	Not Applicable
			30 September		31 December	Increase/
Item				2014	2013	(decrease)	Reasons for changes
						(%)
Notes receivable			1,332,935.00		39,799,612.49	-96.65	Mainly due to decrease in notes
							received
Accounts receivable			17,889,012.13		29,651,547.60	-39.67	Mainly due to recovery of loans
Prepayments			29,500,213.10		13,806,820.85	113.66	Mainly due to prepayments for bulk
							raw materials
Other receivables			34,234,935.05		81,916,322.40	-58.21	Mainly due to receipt of balance
							of payments in respect of land
							acquisition for reserve of previous
							years
Long-term receivables			47,909,392.19			100	Mainly due to that the receivables
							due from the disposal of equity
							interest in Luoyang Glass
							Industrial Co., Ltd. have not been
							received
Short-term loans			10,000,000.00		50,696,833.33	-80.27	Mainly due to repayment of loans
Payments received			83,014,634.88		41,704,096.40	99.06	Mainly due to the increase in
in advance							payments received in advance
							from goods sold or/and services
							provided
Staff remuneration			37,590,738.28		59,538,138.48	-36.86	Mainly due to payment of social
payables							insurance premium for previous
							years
Other payables			78,935,097.45		126,044,622.62	-37.38	Mainly due to the transfer of initial
							payment collected at the earlier
							stage as a result of the completion
							of the disposal of equity interest
							in the Luoyang Glass Industrial
							Co., Ltd. in the period

— 8 —

	January to	January to
	September	September	Increase/
Item	2014	2013	(decrease)
			(%)
Operating income	432,785,559.45	219,854,060.74	96.85	Mainly due to increase in both
				production capacity and sales
				volume
Operating cost	411,223,424.85	183,358,706.24	124.27	Mainly due to increase in both
				production capacity and sales
				volume
Financial expenses	3,762,203.85	8,160,395.35	-53.90	Mainly due to the year-on-year
				decrease in notes discount charge
				and year-on-year increase in
				interest income in the period
Impairment losses	5,085,670.60	3,435,910.70	48.02	Mainly due to the increase in
on assets				inventory impairment provided
				for in the period
Investment income	94,619,131.73	2,410,572.50	3825.17	Mainly due to the gains from
				disposal of the equity interest in
				Luobo Industrial Co., Ltd. in the
				period
Non-operating income	3,212,895.23	10,286,981.47	–68.77	Mainly due to decrease in subsidies
				from the government
	January to	January to
	September	September	Increase/
Item	2014	2013	(decrease)
			(%)
Net cash flow from	–28,655,885.17	37,293,978.17	–176.84	Mainly due to payment of social
operating activities				insurance premium for the
				previous period with cash in the
				period
Net cash flow from	35,101,404.33	–33,048,824.89	206.21	Mainly due to receipt of balance
investment activities				of payments in respect of land
				acquisition for reserve of previous
				years in the period
Net cash outflow from	–25,273,531.17	–50,773,594.54	N/A	Mainly due to the decrease in net
financing activities				expense on bills due for payment
				and relevant deposit thereof in
				the reporting period as compared
				to the same period last year

— 9 —

3.2 Analysis and explanation of progress and impact of significant events and

their solutions

3 Applicable Not Applicable

As the Company is planning material assets reorganisation, through application, the shares of the Company were continuously suspended since 14 July 2014. At present, the Company and relevant parties are proactively proceeding with the due diligence, law, audit, valuation, etc. involved in the material assets reorganisation and further studying, demonstrating and refining the material assets reorganisation. For details and progress, please refer to the announcements published on the Shanghai Stock Exchange and the Hong Kong Stock Exchange.

3.3 Performance of undertakings of the Company and shareholders holding 5% or more of the Company’s shares

3 Applicable Not Applicable

Undertaker	Contents of undertaking	Performance	Remarks
China National Building Materials Group Corporation	During transfer of relevant equity interests, China National Building Materials Group Corporation (“CNBMG”), the de facto controller of the Company, undertook on 11 September 2007 that: CNBMG (including its controlled enterprises by now) would not directly or indirectly involve in any businesses which constitute competition with the Company. In the event that the business opportunities obtained would compete with the operations of the Company, it would notify the Company of such business opportunities. Save as a financial investor, CNBMG would not invest in any businesses which may constitute competition with the operations of the Company, and would take measures to prevent the possibility of substantial competition when continuing to acquire other businesses which have horizontal competition with the Company directly or indirectly under appropriate conditions. In case of violation of the above undertakings, CNBMG would fully indemnify the Company for any loss so caused.	CNBMG honored its undertaking

— 10 —

CBM Glass	During transfer of relevant equity interests, CBM Glass, the controller of the Company, undertook on 9 December 2010 that: CBM Glass and its controlled enterprises will not directly or indirectly involve in any businesses or activities in competition with the principal operations of the Company, by any means (including but not limited to the independent business, joint venture or having shares or interest in another company or enterprise). In the event that the business opportunities obtained by CBM Glass or its controlled enterprises will compete with the principal operations of the Company, it will notify the Company of those matters as soon as possible and pass such business opportunities to the Company to ensure that there is no prejudice to the interests of the shareholders of the Company as a whole.	CBM Glass honored its undertaking
CNBMG and CBM Glass	In transferring relevant equity interests, CNBMG, the de facto controllers of the Company, and CBM Glass, undertook on 9 December 2010 that: they would come up with a comprehensive solution to the problem of horizontal competition between the Company and Longxin Company, Fangxing Science & Technology and Zhonglian Glass by way of consolidation in the form of a series of business and asset restructuring with the Company as a platform in the coming three years.	Relevant undertakings have not been fulfilled according to schedule due to the effect of some factors like macro-economic situation and industry policies, and so on.	On 27 June 2014, CNBMG undertook that it will assist the Company to strip the ordinary float glass business away before 30 June 2015 through feasible methods of business and asset reorganisation and others. The material assets reorganisation is under progress.
CNBMG	In order to avoid or reduce the potential related party transaction in the future, the de facto controller of the Company, CNBMG, undertook on 11 September 2007 when conducting allocation of relevant equity that: “the Company (including the controlled enterprises at present) will try its best to avoid and reduce the connected transactions with Luoyang Glass. For the connected transactions inevitable or due to reasonable reasons, the Company undertakes to comply with principles of market impartiality, fairness and openness, and enter into agreements according to laws, perform legal procedures, perform information disclosure obligation and conduct relevant reporting and approving procedures in accordance with relevant requirements, and warrants not to prejudice the legal interests of Luoyang Glass and other shareholders through connected transactions.”	CNBMG honored its undertaking

— 11 —

3.4 Warning and explanation in the forecast of any possible loss in accumulated net profit from the beginning of the year to the end of the next reporting period or any material changes compared to the corresponding period of last year

Applicable 3 Not Applicable

3.5 Effects of executing new accounting standards on the consolidated financial statement

For execution of new accounting standards by the Company, only the revised Accounting Standards for Business Enterprises No.2 — Long-term Equity Investments will affect the items and amounts of available-for sale financial assets and long-term equity investment and will not affect the operating results and cash flows for 2013 and the period, and it is not required to make retrospective adjustments.

• 3.5.1 Effects of the changes in standards for long-term equity investment on the consolidated financial statement (I)

Unit: RMB

		1 January
		2013	31 December 2013
		Equity			Equity
		attributable			attributable
		to the			to the
		shareholders	Long-	Available-for	shareholders
		of the parent	term equity	sale financial	of the parent
Investee	Basic information on transaction	company	investment	assets	company
		(+/-)	(+/-)	(+/-)	(+/-)
CLFG Jingwei Glass	Luoyang Glass Company Limited,	0	0	0	0
Fibre Co., Ltd.	parent of the company, holds 35.9%
	equity interests in the company, but
	there is no material impact.

— 12 —

CLFG Luoyang Jingjiu Glass Products Company Limited Luoyang Glass Company Limited, parent of the company, holds 31.08% equity interests in the company, but there is no material impact. 0 CLFG New Lighting Company Limited Luoyang Glass Company Limited, parent of the company, holds 29.45% equity interests in the company, but there is no material impact. 0 Luoyang Jingxin Ceramic Co. Ltd. Luoyang Glass Company Limited, parent of the company, holds 49% equity interests in the company. 0 Bank of Sanmenxia Co., Ltd. CLFG Longfei Glass Co. Ltd., a subsidiary of the company, holds 2.92% equity interests in the company. 0 Total — 0	0 0 0 –7,000,000.00 –7,000,000.00	0 0 0 7,000,000.00 7,000,000.00	0 0 0 0
			0

Explanations:

In accordance with the new accounting standards, the Company changed the way of accounting for the above investees. The long-term equity investment was accounted for as available-for sale financial assets, and retrospective adjustments were made to the opening balance:

• I. The costs of long-term equity investment in CLFG Jingwei Glass Fibre Co., Ltd., CLFG Luoyang Jingjiu Glass Products Company Limited and CLFG New Lighting Company Limited by the Company amounted to RMB7,791,217.53 which was removed from “long-term equity investment” and included in “available-for sale financial assets”. The impairment provision for long-term equity investment that had been made amounted to RMB7,791,217.53 which was removed from “provision for impairment of long-term equity investment” and included in “provision for impairment of available-for sale financial assets”;

— 13 —

• II. The long-term equity investment in Bank of Sanmenxia Co., Ltd. by the Company amounted to RMB7,000,000.00 which was removed from “long-term equity investment” and included in “available-for sale financial assets”.

• III. Luoyang Jingxin Ceramic Co. Ltd. is currently in the stage of bankrupcy liquidation. The Company has no material impact on it. The accounting with equity method for long-term equity investment was changed to accounting for available-for sale financial assets measured at costs and its fair value amounted to RMB0.

Luoyang Glass Company Limited Legal representative: Ma Liyun 28 October 2014

— 14 —

IV. APPENDIX

4.1 Financial Statement

Consolidated Balance Sheet

30 September 2014

Prepared by: Luoyang Glass Company Limited

Item Current assets: Bank balance and cash Balances with clearing companies Placements with banks and other financial institutions Held-for-trading financial assets Notes receivable Accounts receivable Prepayments Premiums receivable Reinsurance accounts receivable Reinsurance contract reserves receivable Interest receivable Dividends receivable Other receivables Financial assets purchased under resale agreements Inventory Non-current assets due within one year Other current assets Total current assets

Unit: RMB Type of audit: unaudited Balance as at the end of the period Balance as at the beginning of the year 109,509,179.57 128,509,961.33 1,332,935.00 39,799,612.49 17,889,012.13 29,651,547.60 29,500,213.10 13,806,820.85 34,234,935.05 81,916,322.40 237,398,362.60 200,349,541.58 429,864,637.45 494,033,806.25

— 15 —

Non-current assets: Entrusted loans and advances granted Available-for-sale financial assets Held-to-maturity investments Long-term receivables Long-term equity investments Investment properties Fixed assets Construction in progress Construction materials Disposal of fixed assets Biological assets for production Fuel assets Intangible assets Development expenses Goodwill Long-term deferred expenses Deferred income tax assets Other non-current assets Total non-current assets Total assets	7,000,000.00 — 47,909,392.19 — — 591,105,320.82 2,720,759.98 544,484.59 52,398,940.91 513,000.00 2,437,064.61 2,112,887.79 706,741,850.89 1,136,606,488.34	7,000,000.00 — — — — 644,340,372.61 2,139,957.20 506,186.30 73,958,045.12 — 2,437,064.61 2,112,887.79
		732,494,513.63
		1,226,528,319.88

— 16 —

Current liabilities: Short-term loans Loans from central bank Deposit taking and deposit in inter-bank market Placements from banks and other financial institutions Held-for-trading financial liabilities Notes payable Accounts payable Payments received in advance Disposal of repurchased financial assets Handling charges and commissions payable Staff remuneration payables Taxes payable Interest payable Dividends payable Other payables Reinsurance accounts payable Reserve for insurance contracts Customer deposits for trading in securities Customer deposits for underwriting Non-current liabilities due within one year Other current liabilities Total current liabilities	10,000,000.00 150,000,000.00 294,500,724.42 83,014,634.88 37,590,738.28 –5,840,986.04 78,935,097.45 47,616,446.91 — 695,816,655.90	50,696,833.33 150,000,000.00 282,538,381.85 41,704,096.40 59,538,138.48 –7,987,198.97 126,044,622.62 47,612,486.96 —
		750,147,360.67

— 17 —

Non-current liabilities:
Long-term loans		471,092,952.68		506,104,010.11
Debentures payable
Long-term payables
Specific payables
Accrued liabilities
Deferred income tax liabilities
Other non-current liabilities		9,017,256.63		10,179,045.75
Total non-current liabilities		480,110,209.31		516,283,055.86
Total liabilities		1,175,926,865.21		1,266,430,416.53
Owners’ equity
(or Shareholder’s equity):
Paid-in-capital (or Share capital)		500,018,242.00		500,018,242.00
Capital reserve		857,450,406.90		857,450,406.90
Less: Treasury stock
Special reserve		457,049.38		367,894.52
Surplus reserve		51,365,509.04		51,365,509.04
General risk provision
Retained earnings	–1,368,645,509.56		–1,375,895,993.77
Currency translation differences
Total equity attributable to the equity
holders of the Company		40,645,697.76		33,306,058.69
Minority interests		–79,966,074.63		–73,208,155.34
Total owners’ equity		–39,320,376.87		–39,902,096.65
Total liabilities and owners’	equities	1,136,606,488.34		1,226,528,319.88
		Person in charge of
Legal representative:	Chief accountant: accounting department:
Ma Liyun	Sun Lei		Chen Jing

— 18 —

Balance Sheet of the Company 30 September 2014

Prepared by: Luoyang Glass Company Limited

Item Current assets: Bank balance and cash Held-for-trading financial assets Notes receivable Accounts receivable Prepayments Interest receivable Dividends receivable Other receivables Inventory Non-current assets due within one year Other current assets Total current assets	Unit: RMB Type of audit: unaudited Balance as at the end of the period Balance as at the beginning of the year 101,831,298.11 100,484,846.41 122,935.00 37,380,000.00 604,849,267.36 536,576,422.25 18,795,480.01 1,099,223.51 262,580,249.72 291,258,468.88 9,937.74 5,787,785.18 988,189,167.94 972,586,746.23

— 19 —

Non-current assets: Available-for-sale financial assets Held-to-maturity investments Long-term receivables Long-term equity investments Investment properties Fixed assets Construction in progress Construction materials Disposal of fixed assets Biological assets for production Fuel assets Intangible assets Development expenses Goodwill Long-term deferred expenses Deferred income tax assets Other non-current assets Total non-current assets Total assets	135,089,000.00 47,909,392.19 52,597,961.54 0.00 3,753,085.21 428,213.56 6,912,367.33 0.00 0.00 513,000.00 0.00 0.00 247,203,019.83 1,235,392,187.77	139,969,000.00 0.00 92,519,028.76 0.00 5,035,983.24 443,778.51 7,080,505.96 0.00 0.00 0.00 0.00 0.00
		245,048,296.47
		1,217,635,042.70

— 20 —

Current liabilities: Short-term loans Held-for-trading financial liabilities Notes payable Accounts payable Payments received in advance Staff remuneration payables Taxes payable Interest payable Dividends payable Other payables Non-current liabilities due within one year Other current liabilities Total current liabilities Non-current liabilities: Long-term loans Debentures payable Long-term payables Specific payables Accrued liabilities Deferred income tax liabilities Other non-current liabilities Total non-current liabilities Total liabilities	10,000,000.00 150,000,000.00 71,348,821.56 77,929,572.26 9,155,730.19 4,964,421.17 56,520,115.89 43,467,526.35 0.00 423,386,187.42 441,652,952.68 441,652,952.68 865,039,140.10	50,696,833.33 150,000,000.00 105,199,176.11 39,196,282.16 35,821,245.04 678,566.99 205,350,299.14 43,463,566.40 0.00
		630,405,969.17
		474,504,010.11
		474,504,010.11
		1,104,909,979.28

— 21 —

Owners’ equity (or shareholders’ equity):	Owners’ equity (or shareholders’ equity):
Paid-in-capital (or share capital)		500,018,242.00			500,018,242.00
Capital reserve		891,129,782.23			891,129,782.23
Less: Treasury stock
Special reserve
Surplus reserve		51,365,509.04			51,365,509.04
General risk provision
Retained earnings	–1,072,160,485.60			–1,329,788,469.85
Total owners’ equity
(or shareholders’ equity)		370,353,047.67			112,725,063.42
Total liabilities and owners’	equities
(or shareholders’ equity)		1,235,392,187.77			1,217,635,042.70
			Person in charge of
Legal representative:	Chief accountant:		accounting department:
Ma Liyun	Sun Lei			Chen Jing

— 22 —

Consolidated Income Statement

Prepared by: Luoyang Glass Company Limited

Unit: RMB Type of audit: unaudited

					Amounts for the	Amounts for the
					period from the	period from the
					beginning of the	beginning of the
					year to the end	year to the end of
				Corresponding	of the reporting	the reporting period
			Reporting period	period last year	period (January –	last year (January –
Item			(July – September)	(July – September)	September)	September)
I.	Total operating revenue		167,151,705.53	86,536,382.51	432,785,559.45	219,854,060.74
	Including:	Operating revenue	167,151,705.53	86,536,382.51	432,785,559.45	219,854,060.74
		Interest income
		Premiums earned
		Handling charges and
		commission income
II.	Total operating costs		188,623,938.08	110,378,250.32	518,293,111.27	297,628,706.23
	Including:	Operating costs	160,922,325.50	73,280,171.49	411,223,424.85	183,358,706.24
		Interest expenses
		Handling charges and
		commission expenses
		Surrender payment
		Net expenditure for
		compensation payments
		Net provision for
		insurance contracts
		Policyholder dividend expenses
		Reinsurance costs
		Business taxes and surcharges	1,154,789.55	1,129,157.17	5,427,597.46	3,450,501.87
		Selling expenses	6,008,779.63	4,953,445.57	18,637,852.99	17,081,061.75
		Administration expenses	22,468,529.51	24,711,980.77	74,156,361.52	82,142,130.32
		Finance expenses	–1,923,486.11	2,867,584.62	3,762,203.85	8,160,395.35
		Impairment loss on assets	–7,000.00	3,435,910.70	5,085,670.60	3,435,910.70
	Add:	Gains from changes in fair value
		(losses are represented by “–”)	—	—	—	—
		Investment income (losses are
		represented by “–”)	1,224,570.83	—	94,619,131.73	2,410,572.50
		Including: Gains from
		investment
		in associates
		and joint ventures
		Gains from currency exchange
		(losses are
		represented by “–”)

— 23 —

III.	Operating profit (loss is represented
	by “–”)	-20,247,661.72	–23,841,867.81	9,111,579.91	–75,364,072.99
	Add: Non-operating income	983,952.57	7,389,773.13	3,212,895.23	10,286,981.47
	Including: Gain from disposal
	of non-current
	assets	540,151.02	1,905.73	1,057,385.60	214,711.83
	Less: Non-operating expenses	2,619,454.75	10,681.93	3,674,196.76	883,031.92
	Including: Loss from
	disposal of
	non-current assets	298,792.54		298,792.54	327,425.21
IV.	Total profit (total loss is represented
	by “–”)	–21,883,163.90	–16,462,776.61	8,650,278.38	–65,960,123.44
	Less: Income tax expenses	4,736,389.06	794,761.96	8,240,010.25	3,608,078.47
V.	Net profit (net loss is represented by “–”)	–26,619,552.96	–17,257,538.57	410,268.13	–69,568,201.91
	Net profit attributable to the owners
	of the Company	–25,017,325.29	–14,273,971.53	7,250,484.21	–61,585,936.52
	Minority interests	–1,602,227.67	–2,983,567.04	–6,840,216.08	–7,982,265.39
VI.	Earnings per share:
	(I) Basic earnings per share_(RMB/share)_	–0.05	–0.03	0.01	–0.12
	(II) Diluted earnings per share_(RMB/share)_	–0.05	–0.03	0.01	–0.12
VII.	Other comprehensive income
VIII.	Total comprehensive income	–26,619,552.96	–17,257,538.57	410,268.13	–69,568,201.91
	Including: Total comprehensive income
	attributable to owners of the
	Company	–25,017,325.29	–14,273,971.53	7,250,484.21	–61,585,936.52
	Total comprehensive income
	attributable to minority
	interests	–1,602,227.67	–2,983,567.04	–6,840,216.08	–7,982,265.39

For business combination under common control during the reporting period, the profit realised by the acquiree before combination was RMB nil.

Person in charge of Legal representative: Chief accountant: accounting department: Ma Liyun Sun Lei Chen Jing

— 24 —

Income Statement of the Company

Prepared by: Luoyang Glass Company Limited

Unit: RMB Type of audit: unaudited

				Amounts for the	Amounts for the
				period from the	period from the
				beginning of the	beginning of the
				year to the end	year to the end of
			Corresponding	of the reporting	the reporting period
		Reporting period	period last year	period (January –	last year (January –
Item		(July – September)	(July – September)	September)	September)
I.	Operating revenue	211,439,637.51	114,523,883.83	505,828,036.49	221,445,781.72
	Less: Operating costs	207,034,791.76	112,513,823.92	496,464,161.87	217,017,964.80
	Business taxes and surcharges	288,640.30	17,060.57	2,400,606.23	693,435.76
	Selling expenses	646,272.51	893,098.02	1,918,004.80	1,850,135.11
	Administration expenses	5,848,373.11	2,519,582.96	16,556,677.04	18,567,793.81
	Finance expenses	–2,439,990.92	–693,658.97	–5,752,163.93	–255,593.85
	Impairment loss on assets	–7,000.00	–1,804.40	–7,000.00	–1,804.40
	Add: Gains from changes in fair value
	(losses are represented by “ -”)	—	—	—
	Investment income
	(losses are represented by “ -”)	181,901,359.96	6,380,859.96	265,204,291.23	17,265,103.86
	Including: Gains from investment
	in associates and joint
	ventures
II.	Operating Profit (losses are
	represented by “ -”)	181,969,910.71	5,656,641.69	259,452,041.71	838,954.35
	Add: Non-operating income	575,151.02	300.00	854,054.87	402,843.95
	Including: Gains from disposal
	of non-current assets	540,151.02		621,554.87	189,674.52
	Less: Non-operating expenses	1,658,116.97	—	2,678,112.33	437,425.21
	Including: Loss from disposal
	of non-current assets	298,792.54		298,792.54	327,425.21

— 25 —

III. Total profit (total loss is represented by “–”) 180,886,944.76 5,656,941.69 257,627,984.25 804,373.09 — — — Less: Income tax expenses IV. Net profit (net loss is represented by “–”) 180,886,944.76 5,656,941.69 257,627,984.25 804,373.09 V. Earnings per share (I) Basic earnings per share (RMB/share) (II) Diluted earnings per share (RMB/share) VI. Other comprehensive income VII. Total comprehensive income 180,886,944.76 5,656,941.69 257,627,984.25 804,373.09 Person in charge of Legal representative: Chief accountant: accounting department: Ma Liyun Sun Lei Chen Jing

— 26 —

Consolidated Cash Flow Statement January —September 2014

Prepared by: Luoyang Glass Company Limited

Item I. Cash flows from operating activities: Cash received from sale of goods or rendering of services Net increase in customer and interbank deposits Net increase in loans from central bank Net increase in loans from other financial institutions Cash received from premiums under original insurance contract Net cash received from reinsurance business Net increase in deposits of policy holders and investment Net increase in disposal of held-for-trading financial assets Cash received from interest, handling charges and commissions Net increase in loans Net increase in income from repurchase business Tax rebates Other cash received from activities related to operation Sub-total of cash inflow from operating activities

Unit: RMB Type of audit: unaudited Amounts for the period from the beginning of the year to the end of the reporting period (January – September) Amounts for the period from the beginning of the year to the end of the reporting period last year (January – September) 230,616,637.84 148,852,592.18 13,355,727.13 17,683,067.25 243,972,364.97 166,535,659.43

— 27 —

Cash paid for goods purchased and services rendered Net increase in loans and advances from customers Net increase in deposits with central bank and interbank deposits Cash paid for compensation payments under original insurance contracts Cash paid for interest, handling charges and commissions Cash paid for insurance policy dividend Cash paid to and on behalf of employees Tax payments Other cash paid for activities related to operation Sub-total of cash outflow from operating activities Net cash flow from operating activities	142,240,803.73 84,668,903.82 31,063,172.79 14,655,369.80 272,628,250.14 –28,655,885.17	48,255,967.33 42,253,334.74 24,538,057.85 14,194,321.34
		129,241,681.26
		37,293,978.17

— 28 —

II. Cash flow from investment activities: Cash received from disposal of investment Cash received from return of investments Net cash received from disposal of fixed assets, intangible assets and other long term assets Net cash received from disposal of subsidiaries and other operating entities Other cash received from activities related to investment Sub-total of cash inflow from investment activities Cash paid for purchase and construction of fixed assets, intangible assets and other long-term assets Cash paid for investment Net increase in pledged loans Net cash paid for acquisition of subsidiaries and other operating entities Other cash paid for activities related to investment Sub-total of cash outflow from investment activities Net cash flow from investment activities	1,224,570.83 38,524,655.62 4,000,000.00 43,749,226.45 3,647,822.12 5,000,000.00 8,647,822.12 35,101,404.33	2,410,572.50 2,107,211.54 —
		4,517,784.04
		37,566,608.93 —
		37,566,608.93
		–33,048,824.89

— 29 —

III.	Cash flow from financing activities:
	Cash received from investments
	Including: Proceeds received by
	subsidiaries from minority
	shareholders’ investment
	Proceeds from loans		10,000,000.00	75,000,000.00
	Cash received from issuing bonds
	Other cash received from financing-related
	activities	310,622,187.01		522,116,177.26
	Sub-total of cash inflow from financing
	activities	320,622,187.01		597,116,177.26
	Cash paid for repayment of loans		34,644,918.18	84,901,531.25
	Cash paid for dividends, profit, or interest
	payments		—	918,240.55
	Including: Dividend and profit paid by
	subsidiaries to minority
	shareholders
	Other cash paid for financing-related activities	311,250,800.00		562,070,000.00
	Sub-total of cash outflow from financing
	activities	345,895,718.18		647,889,771.80
	Net cash flow from financing activities	–25,273,531.17		–50,773,594.54
IV.	Effects of changes in exchange rate on
	cash and cash equivalents		1,081.48	–3,215.46
V.	Net increase in cash and cash equivalents	–18,826,930.53		–46,531,656.72
	Add: Opening balance of cash and cash
	equivalents		28,316,110.10	55,805,556.06
VI.	Closing balance of cash and cash equivalents		9,489,179.57	9,273,899.34
			Person in charge of
	Legal representative: Chief accountant:		accounting department:
	Ma Liyun Sun Lei			Chen Jing

— 30 —

Cash Flow Statement of the Company January —September 2014

Prepared by: Luoyang Glass Company Limited

Unit: RMB Type of audit: unaudited

Item I. Cash flow from operating activities: Cash received from sale of goods and provision of services Tax rebates Other cash received from activities related to operation Sub-total of cash inflow from operating activities Cash paid for goods purchased and service rendered Cash paid to and on behalf of employees Tax payments Other cash paid for activities related to operation Sub-total of cash outflow from operating activities Net cash flow from operating activities	Amounts for the period from the beginning of the year to the end of the reporting period (January – September) 208,609,622.19 0.00 279,605,742.32 488,215,364.51 17,669,710.06 48,038,357.56 3,009,945.17 193,105,864.08 261,823,876.87 226,391,487.64	Amounts for the period from the beginning of the year to the end of the reporting period last year (January – September) 103,921,825.55 0.00 412,444,152.72 516,365,978.27 57,529,074.18 15,679,522.52 1,859,368.82 150,416,305.04 225,484,270.56 290,881,707.71

— 31 —

II. Cash flow from investment activities: Cash received from disposal of investments Cash received from return of investments Net cash received from disposal of fixed assets, intangible assets and other long-term assets Net cash received from disposal of subsidiaries and other operating entities Other cash received from activities related to investment Sub-total of cash inflow from investment activities Cash paid for purchase and construction of fixed assets, intangible assets and other long-term assets Cash paid for investment Net cash paid for acquisition of subsidiaries and other operating entities Other cash paid for activities related to investment Sub-total of cash outflow from investment activities Net cash flow from investment activities III. Cash flow from financing activities: Cash received from investments Proceeds from loans Cash received from issuing bonds Other cash received from activities related to financing Sub-total of cash inflow from financing activities	0.00 38,524,655.62 4,000,000.00 0.00 42,524,655.62 0.00 0.00 5,000,000.00 5,000,000.00 37,524,655.62 10,000,000.00 11,500,000.00 21,500,000.00	2,946,866.81 784,000.00 0.00 0.00
		3,730,866.81
		0.00 5,000,000.00 0.00
		5,000,000.00
		–1,269,133.19
		75,000,000.00 126,533,901.82
		201,533,901.82

— 32 —

	Cash paid for repayment of loans				32,484,918.18		62,741,531.25
	Cash paid for dividends, profit,
	or interest payment				0.00		397,129.44
	Other cash paid for financing-related
	activities			251,500,000.00			427,570,000.00
	Sub-total of cash outflow from financing
	activities			283,984,918.18			490,708,660.69
	Net cash flow from financing activities			–262,484,918.18			–289,174,758.87
IV.	Effects of changes in exchange rate		on
	cash and cash equivalents				1,081.48		–3,215.46
V.	Net increase in cash and cash equivalents				1,432,306.56		434,600.19
	Add: Opening balance of cash	and
	cash equivalents				398,991.55		205,919.60
VI.	Closing balance of cash and
	cash equivalents				1,831,298.11		640,519.79
					Person in charge of
	Legal representative:	Chief accountant:			accounting department:
	Ma Liyun		Sun Lei			Chen Jing
				By order of the Board
			Luoyang Glass Company Limited*
					Ma Liyun
					Chairman

Luoyang, the PRC 28 October 2014

As at the date of this announcement, the Board comprises four executive Directors: Mr. Ma Liyun, Mr. Ni Zhisen, Ms. Sun Lei and Mr. Xie Jun; two non-executive Directors: Mr. Zhang Chengong and Mr. Zhang Chong; and four independent non-executive Directors: Mr. Huang Ping, Mr. Dong Jiachun, Mr. Liu Tianni and Mr. Jin Zhanping.

* for identification purposes only

— 33 —