The Group held a working meeting to ensure the completion of the annual operating targets.

On November 12, the group organized a special meeting on clearing debts in 2018, and made key arrangements and arrangements on how to complete the recovery of project funds in 2018 and ensure the return of funds. The meeting requested that all units of the group should further unify their thinking, raise awareness, and take practical measures to increase the recovery of project funds to ensure the completion of the 2018 operating targets. Group Vice Chairman Hu Xiang, General Manager Zhang Quan, Director Guo Fumin, Director and Chief Financial Officer Qi Chen, Deputy General Manager and Chief Economist Cui Xiaoli, Deputy Director Yang Xu of the Audit Committee of the Board of Directors and Project Manager attended.

The meeting first notified the completion of the project payment recovery as of November 5, the internal borrowing of the project, the credit rating of the project manager, and explained the risk of mortgage system and payment. Qi Chen, director and chief financial officer of the group, Zhang Quan, general manager, and Hu Xiang, vice chairman of the group, successively analyzed the severe situation and difficulties faced by the group's debt clearing work at the meeting, and put forward requirements and hopes for the next step of work.

The meeting pointed out that, first, it is necessary to strengthen the sense of responsibility, enhance the sense of urgency, and ensure the realization of the set goals. In view of the impact of the severe situation of upstream real estate enterprises on downstream construction enterprises this year, all units should attach great importance to it, focus on checking whether the construction site organization is strict, and grasp the production rhythm. At the same time, sort out the completion of various production indicators item by item, plan the funds before the festival in advance, and allocate the funds in strict accordance with the time node to ensure the smooth turnover of the group's funds before the Spring Festival. The second is to clarify the principle of "income and expenditure" to ensure the effective use of the Group's funds. All payments of each unit shall strictly implement the principle of "fixed expenditure by income", and the payment of funds shall be carried out strictly according to the plan, and shall not exceed the plan or the contract. For units that have no funds to pay and need to borrow from the company, a credit rating system is implemented, and the borrowing unit shall repay the loan on schedule to reduce the loss of the group's precipitated funds and ensure the effective turnover and utilization of funds. The third is to establish a sense of integrity and fulfill the spirit of contract. Each unit shall pay the risk deposit within the agreed period in accordance with the amount agreed upon at the time of signing the contract with the Group. Payment on schedule is a manifestation of the good faith performance of each unit. Each unit should strictly fulfill the commitments made in the contract and jointly maintain the healthy and stable development of the enterprise.

The meeting stressed that all units should strictly implement the spirit of the meeting, overcome difficulties, steadily promote the work of clearing debts with full work enthusiasm and good mental state, and successfully complete the annual business targets.

(Finance Department)