1. Name and nature of the subject matter (if preferred shares, the terms and conditions of issuance shall also be indicated, e.g. dividend yield):
Acquirement of 49.9% stockholding rights of Hwa Xu Heat Supply Co, YCIP
2. Date of occurrence of the event: 2014/08/26 ~ 2014/08/26
3. Volume, unit price, and total monetary amount of the transaction:
Volume: NA
Unit price: NA
Total monetary amount: RMB 84,800,000
4. Counterpart to the trade and its relationship to the Company (if the trading counterpart is a natural person and furthermore is not an actual related party of the Company, the name of the trading counterpart is not required to be disclosed):
Counterpart to the trade: Yangzhou Chemical Engineering Industry Development Co. w/ 4.9% stockholding rights Yangzhou Green Petrochemical Industry Investment Co. w/ 45% stockholding rights
5. Where the counterpart to the trade is an actual related party, a public announcement shall also be made of the reason for choosing the related party as trading counterpart and the identity of the previous owner (including its relationship with the company and the trading counterpart), price of transfer, and date of acquisition:
Counterpart to the trade: No actual related party
The identity of the previous owner (including its relationship with the company and the trading counterpart), price of transfer, and date of acquisition: NA
6. Where a person who owned the property within the past five years has been an actual related person of the company, a public announcement shall also include the dates and prices of acquisition and disposal by the related person and the person’s relationship to the company at those times: NA
7. Matters related to the creditor's rights currently being disposed of (including types of collateral of the disposed creditor's rights if the creditor's rights are creditor's rights toward a related person, the name of the related person and the book amount of the creditor's rights toward such related person currently being disposed of must also be announced): NA
8. Anticipated profit or loss from the disposal (not applicable in cases of acquisition of securities) (where originally deferred, the status or recognition shall be stated and explained): NA
9. Terms of delivery or payment (including payment period and monetary amount), restrictive covenants in the contract, and other important stipulations: Terms of delivery or payment: Cash payment
Restrictive covenants in the contract, and other important stipulations: Nil
10. The manner in which the current transaction was decided, the reference basis for the decision on price, and the decision-making department:
The manner in which the current transaction was decided, the reference basis for the decision on price: Via public bidding invited by the Management Committee of YCIP
The reference basis for the decision on price: Assessment report of China United Assets Appraisal Corp.
The decision-making department: The Board of Directors
11. Current cumulative volume, amount, and shareholding percentage of holdings of the security being traded (including the current trade) and status of any restriction of rights (e.g. pledges):
Current cumulative volume: NA
Amount: RMB 84,800,000
Shareholding percentage of holdings of the security being traded: 49.9%
Status of any restriction of rights (e.g. pledges): Nil
12. Current ratio of long or short term securities investment (including the current trade) to the total assets and shareholder's equity as shown in the most recent financial statement and the operating capital as shown in the most recent financial statement:
Current ratio of long or short term securities investment to the total assets: 13.4%
Current ratio of long or short term securities investment to the shareholder’s equity: 2.5%
The operating capital in the most recent financial statement:
RMB 185,466,000
13. Broker and broker's fee: N/A
14. Concrete purpose or use of the acquisition or disposition:
Pursuant to Yangzhou government’s request for the centralization of the heat supply, FUPY participates in the investment to lower the operational cost.
15. Do the directors have any objection to the present transaction?: Nil
16. Such transaction be identified as related party transaction?: No
17. Date of BOD’s resolution: NA
18. Date of Superviors’ approval : NA
19. Do Accountants hold any objection to the present transaction?: Nil
20. Any other matters that need to be specified: No