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公司公告

大东海B:2014年半年度报告(英文版)2014-08-28  

						Short Form of the Stock: ST Donghai-A, ST Donghai-B   Stock Code: 000613, 200613




        海南大东海旅游中心股份有限公司
      Hainan Dadonghai           Tourism Centre (Holdings) Co., Ltd.




                  Semi-Annual Report 2014
                        (Full Text)




                      Disclosure Date: 28 August 2014
      司公限有份股心中游旅海东大南海                                                                        2014   文全告报度年半年

                Section I. Important Notice, Contents and Paraphrase



             Important Notice:
      Board of Directors, Supervisory Committee, all directors, supervisors and senior executives of
      Hainan Dadonghai Tourism Centre (Holdings) Co., Ltd. (hereinafter referred to as the
      Company) hereby confirm that there are no any fictitious statements, misleading statements, or
      important omissions carried in this report, and shall take all responsibilities, individual and/or
      joint, for the reality, accuracy and completion of the whole contents.


      All directors are attended the Board Meeting for report deliberation.


      The Company has no plans of cash dividend distributed, no bonus shares and has no share
      converted from capital reserve either.


      Li Yuanbin, principal of the Company, Chen Liurong, person in charger of accounting works
      and Liu Xianghai, person in charge of accounting organ (accounting principal) hereby confirm
      that the Financial Report of Semi-Annual Report 2014 is authentic, accurate and complete.


      Concerning the forward-looking statements with future planning involved in the Semi-Report,
      they do not constitute a substantial commitment for investors. Investors are advised to exercise
      caution of investment risks.


                                                                Content

Semi-Annual Report 2014 ...................................................................................................................1

Section I Important Notice, Contents and Paraphrase .........................................................................2

Section II Company Profile..................................................................................................................5

Section III Accounting data and summary of finnaical indexes ..........................................................7

Section IV Report of the Board of Directors .......................................................................................9

Section V Important Events ...............................................................................................................15

                                                                     2
      司公限有份股心中游旅海东大南海                                                                       2014   文全告报度年半年
Section VI Changes in shares and particular about shareholders ......................................................20

Section VII Preferred Stock…………………………………………………………………… …..24

Section VIII Directors, Supervisors and Senior Executives .............................................................25

Section IX Financial Report...............................................................................................................26

Section X Documents Available for Reference ................................................................................91




                                                                     3
      司公限有份股心中游旅海东大南海                                               2014   文全告报度年半年
                                           Paraphrase
                 Items                 Refers to                          Definition
CSRC                                   Refers to China Securities Regulation Commission
SSE                                    Refers to Shenzhen Stock Exchange

Company Law                            Refers to Company Law of The People’s Republic of China
Securities Law                         Refers to Securities Law of The People’s Republic of China
Company/the Company                    Refers to Hainan Dadonghai Tourism Centre (Holdings) Co., Ltd.
                                                   Article of Association of Hainan Dadonghai Tourism
Article of Association                 Refers to
                                                   Centre (Holdings) Co., Ltd.
                                                   Shareholders’ General Meeting of Hainan Dadonghai
Shareholders’ General Meeting         Refers to
                                                   Tourism Centre (Holdings) Co., Ltd.
                                                   Board of Directors of Hainan Dadonghai Tourism Centre
Board of Directors                     Refers to
                                                   (Holdings) Co., Ltd.
                                                   Supervisory Committee of Hainan Dadonghai Tourism
Supervisory Committee                  Refers to
                                                   Centre (Holdings) Co., Ltd.

Yuan                                   Refers to RMB/CNY



                                           Risk Warning

Securities Times, Hong Kong Commercial Daily and Juchao Website (www.cninfo.com.cn) are the
media for information disclosure appointed by the Company for year of 2014, all information under
the name of the Company disclosed on the above said media shall prevail


The report is prepared in bilingual versions of Chinese and English respectively, in the event of any
discrepancy in understanding the two aforementioned versions, the Chinese version shall prevail.


Investors are advised to exercise caution of investment risks.




                                                     4
       司公限有份股心中游旅海东大南海                                                                2014   文全告报度年半年
                                        Section II Company profile

I. Company Profile
Short form for share           ST Donghai-A , ST Donghai-B              Code for share               000613, 200613
Short form for share after
                           N/A
the change
Listing stock exchange         Shenzhen Stock Exchange
Chinese name of the
Company
                               司公限有份股心中游旅海东大南海
Abbr. of Chinese name of
the Company
                               海东大
English name of the
                               Hainan Dadonghai Tourism Centre (Holdings) Co., Ltd.
Company
Abbr. of English name of
                         DADONGHAI
the Company
Legal Representative           Li Yuanbin


II. Contact person and ways

                                                    Secretary of the Board                     Rep. of securities affairs
Name                                        Wang Hongjuan
Contact adds.                               Dadonghai Sanya
Tel.                                        0898-88219921
Fax.                                        0898-88214998
E-mail                                      hnddhhn@21cn.com


III. Others

1. Way of contact

Whether registrations address, offices address and codes as well as website and email of the Company changed in reporting period or
not
□ Applicable   √ Not applicable

Registrations address, offices address and codes as well as website and email of the Company has no change in reporting period,
found more details in Annual Report 2013.




                                                                 5
      司公限有份股心中游旅海东大南海                                                                    2014   文全告报度年半年
2. Information disclosure and preparation place

Whether information disclosure and preparation place changed in reporting period or not
□ Applicable   √ Not applicable

The newspaper appointed for information disclosure, website for semi-annual report publish appointed by CSRC and preparation
place for semi-annual report have no change in reporting period, found more details in Annual Report 2013.


3. Registration changes of the Company

Whether registration has changed in reporting period or not
□ Applicable   √ Not applicable
Date/place for registration of the Company, registration number for enterprise legal license, number of taxation registration and
organization code have no change in reporting period, found more details in Annual Report 2013.




                                                                   6
      司公限有份股心中游旅海东大南海                                                                           2014   文全告报度年半年

       Section III. Accounting data and summary of financial indexes

I. Main accounting data and financial indexes

Whether it has retroactive adjustment or re-statement on previous accounting data for accounting policy changed
and accounting error correction or not
□Yes √ No
                                                                                           Same period of      Increase/decrease in this report
                                                                    Current period
                                                                                              last year                     y-o-y

Operating revenue (RMB)                                                  11,686,452.00        14,778,787.50                            -20.92%

Net profit attributable to shareholders of the listed
                                                                           -848,458.96          -481,971.51                            76.04%
company(RMB)

Net profit attributable to shareholders of the listed company
                                                                           -907,687.13          -556,917.86                            62.98%
after deducting non-recurring gains and losses(RMB)

Net cash flow arising from operating activities(RMB)                        14,916.68          2,947,494.11                            -99.49%

Basic earnings per share (RMB/Share)                                           -0.0023              -0.0013                            76.92%

Diluted earnings per share (RMB/Share)                                         -0.0023              -0.0013                            76.92%

Weighted average ROE (%)                                                       -1.04%                -0.57%                            82.46%

                                                                                                                  Increase/decrease in this
                                                                    End of current
                                                                                          End of last period     report-end over that of last
                                                                          period
                                                                                                                          period-end

Total assets (RMB)                                                   111,010,305.89          113,960,862.69                              -2.59%

Net assets attributable to shareholder of listed
                                                                         81,063,388.90        81,911,847.86                              -1.04%
company(RMB)


II. Difference of the accounting data under accounting rules in and out of China

1. Difference of the net profit and net assets disclosed in financial report, under both IAS (International
Accounting Standards) and Chinese GAAP (Generally Accepted Accounting Principles)

√Applicable     □Not applicable
                                                                                                                                       In RMB

                                    Net profit attributable to shareholders of listed      Net assets attributable to shareholders of listed
                                                        company                                                company

                                                                                                                           Amount at
                                  Amount in this period      Amount in last period         Amount at period-end
                                                                                                                          period-begin

Chinese GAAP                                 -848,458.96                    -481,971.51             81,063,388.90             81,911,847.86



                                                                     7
        司公限有份股心中游旅海东大南海                                                                    2014   文全告报度年半年
Items and amount adjusted by IAS
By IAS                                       -848,458.96                  -481,971.51           81,063,388.90               81,911,847.86


2. Difference of the net profit and net assets disclosed in financial report, under both foreign accounting
rules and Chinese GAAP (Generally Accepted Accounting Principles)

√Applicable     □Not applicable
                                                                                                                                   In RMB

                                    Net profit attributable to shareholders of listed   Net assets attributable to shareholders of listed
                                                       company                                             company

                                                                                                                       Amount at
                                   Amount in this period     Amount in last period      Amount at period-end
                                                                                                                      period-begin

Chinese GAAP                                 -848,458.96                  -481,971.51           81,063,388.90               81,911,847.86

Items and amount adjusted by foreign accounting rules

By foreign accounting rules                  -848,458.96                  -481,971.51           81,063,388.90               81,911,847.86


3. Reasons for the differences of accounting data under accounting rules in and out of China

No differences.

III. Items and amounts of extraordinary profit (gains)/loss

√Applicable     □Not applicable
                                                                                                                                   In RMB

                                  Item                                            Amount                             Note

Gains/losses from the disposal of non-current asset (including the
                                                                                           -1,339.59                   --
write-off that accrued for impairment of assets)

Other gains/losses satisfied definition of extraordinary profit
                                                                                           60,567.76                   --
(gains)/loss

Total                                                                                      59,228.17                   --

Concerning the extraordinary profit (gain)/loss defined by Q&A Announcement No.1 on Information Disclosure for Companies
Offering Their Securities to the Public --- Extraordinary Profit/loss, and the items defined as recurring profit (gain)/loss according to
the lists of extraordinary profit (gain)/loss in Q&A Announcement No.1 on Information Disclosure for Companies Offering Their
Securities to the Public --- Extraordinary Profit/loss, explain reasons
□ Applicable √ Not applicable
In reporting period, the Company has no particular about items defined as recurring profit (gain)/loss according to the lists of
extraordinary profit (gain)/loss in Q&A Announcement No.1 on Information Disclosure for Companies Offering Their Securities to
the Public --- Extraordinary Profit/loss




                                                                     8
        司公限有份股心中游旅海东大南海                                                                      2014   文全告报度年半年

                          Section IV. Report of the Board of Directors

I. Introduction

In reporting period, due to the slowing down domestic economy growth and deepening and lasting macro adjustment, Sanya had
been still fatigue in tourism market. Especially the number of Russian tourists decreased obviously. Facing this severe situation,
operational team of the Company positively responded, tried to be market-oriented, be in principle of reducing costs and increasing
efficiency and fully adjusted operational strategy. We changed our focus on from overseas market to domestic market, from
sightseeing to vacation tourism, from group to individual self-driving. Our operation has begun to focus on massification. At the
same time, we largely implemented fine and detailed management, specialized operation and fully made use of various online
platforms to promote online marketing. Hence, we overcame various unfavorable factors in order to keep stable development of the
Company.




II. Main business analysis

Y-o-y changes of main financial data
                                                                                                                                  In RMB

                                                                         Y-o-y
                                                   Same period of
                                  Current period                      increase/dec                    Reasons for changes
                                                      last year
                                                                         rease

                                                                                     The increasingly horizontal competition is the result of
Operation revenue                  11,686,452.00 14,778,787.50        -20.92%
                                                                                     declined in revenue

Operation cost                          5,336.51 5,091.20             4.82%          The rising prices led to the slightly growth in cost

Sales    expenses                   5,924,967.97 5,866,274.92         1.00%          Increased slightly normality

                                                                                     Entertainment expenses declined due to the strictly
Administrative expenses             5,961,388.09 8,568,614.42         -30.43%        management and practice strict economy; withdrawal
                                                                                     for the bonus on over-quota of the hotel decreased

                                                                                     The revenue declined, and settlement handling charge
Financial cost                         48,005.23 68,112.72            -29.52%
                                                                                     expenses decreased

Net cash flow arising from                                                           The revenue decreased due to the market depressed,
                                       14,916.68 2,947,494.11         -99.49%
operation activities                                                                 and the soaring cost

Net cash flow arising from
                                     -159,200.00 -573,234.00          -72.23%        The investment in fixed assets decreased
investment activities

                                                                                     Together affected by the y-o-y growth of net cash flow
Net increase of cash and cash                                                        arising from operation activities and the y-o-y
                                     -144,283.32 2,374,260.11         -106.08%
equivalent                                                                           decrease of net cash flow arising from investment
                                                                                     activities.

Major changes on profit composition or profit resources in reporting period

                                                                  9
      司公限有份股心中游旅海东大南海                                                                2014   文全告报度年半年
□ Applicable      √ Not applicable
No major changes on profit composition or profit resources occurred in reporting period
The future development and planning extended to reporting period that published in disclosure documents as
prospectus, private placing memorandum and recapitalize statement
□ Applicable      √ Not applicable
No future development and planning extended to reporting period that published in disclosure documents as
prospectus, private placing memorandum and recapitalize statement


Review on the previous business plan and its progress during reporting period
During the report period, under the leadership of the board of directors, the Company conforms to the national
regulation situation, actively responds to the complex and changeable market circumstances, persists in taking the
market demands as the guidance and the economic benefit as the core, positively adjusts the operating strategy,
not only consolidates the regular customers and stabilizes the existing markets, but also strengthens the
development efforts for new markets, the Company effectively overcomes the downturn in the tourism market and
other unfavorable factors, and basically completes the business objectives established at the beginning of the year.

III. Constitution of main business

                                                                                                                          In RMB
                                                                                Increase or      Increase or      Increase or
                                                                                decrease of     decrease of    decrease of gross
                        Operating
                                        Operating cost    Gross profit ratio operating revenue operating cost   profit ratio over
                         revenue
                                                                             over same period over same period same period of
                                                                                of last year     of last year      last year
According to industries
Tourism &
                        11,686,452.00          5,336.51            99.95%           -20.92%              4.82%            -0.01%
catering
According to products

Guest room              11,686,452.00          5,336.51            99.95%           -20.92%              4.82%            -0.01%

According to region

Hainan Province         11,686,452.00          5,336.51            99.95%           -20.92%              4.82%            -0.01%


IV. Core competitive-ness analysis

In the reporting period, the Company’s core competitive-ness had no major changes, and more details can be
found in Annual Report 2013.

V. Investment analysis

1. Equity investment outside

(1) Investment outside

□ Applicable √ Not applicable



                                                                 10
        司公限有份股心中游旅海东大南海                                                                      2014   文全告报度年半年
The Company has no investment outside in the Period


 (2) Holding the equity of financial enterprise

√Applicable       □Not applicable

                                                       Proportion
                                           Shares                     Shares     Proportion                   Gains/loss
                              Initial                  of shares                              Book value at
                                           held at                    held at    of shares                    es in report Accounti Resour
    Name         Type       investment                  held at                                period-end
                                          period-beg                period-end    held at                          period     ng items      ces
                          capital (RMB)                period-beg                                (RMB)
                                          in (Share)                 (Share)     period-end                    (RMB)
                                                           in

Haikou
                                                                                                                              Long-ter
Luoniusha
                                                                                                                              m equity Purcha
n              Other      10,000,000.00 10,000,000         9.09% 10,000,000          9.09% 10,000,000.00               0.00
                                                                                                                              investme se
Petty-Loan
                                                                                                                              nt
Co., Ltd
Total                     10,000,000.00 10,000,000         --       10,000,000       --       10,000,000.00            0.00        --       --


(3) Securities investment

□ Applicable √ Not applicable
The Company has no securities investment in the Period


2. Trust financing, investment of derivatives and entrustment loan

(1) Trust financing

□ Applicable √ Not applicable
The Company has no trust financing in the Period


(2) Investment of derivatives
□ Applicable √ Not applicable
The Company has no derivatives investment in the Period


(3) Entrustment loan
□ Applicable √ Not applicable
The Company has no entrustment loan in the Period


3. Application of raised proceeds

(1)Overall application of raised proceeds

□ Applicable √ Not applicable




                                                                     11
      司公限有份股心中游旅海东大南海                                                                      2014   文全告报度年半年
(2) Situation of committed project of raised proceeds

□ Applicable √ Not applicable


(3)The changed project of raised proceeds

□ Applicable √ Not applicable
The Company has no project of raised proceeds changed in the Period


(4) Project of raised proceeds

In reporting period, the Company has no raised proceeds or utilization of raised proceeds in previous that carry over into the Period


4. Main subsidiaries and joint-stock companies analysis

□ Applicable √ Not applicable
No main subsidiaries or joint-stock companies in Period.


5. Major project invested by non-raised funds

□ Applicable √ Not applicable
No major project invested by non-raised funds in Period.


VI. Prediction of business performance from January – September 2014

Estimation on accumulative net profit from the beginning of the year to the end of next report period to be loss probably or the
warning of its material change compared with the corresponding period of the last year and explanation on reason
□ Applicable √ Not applicable



VII. Explanation from the Board and Supervisory Committee for “Qualified Opinion” from
the CPA of this year’s
□ Applicable √ Not applicable


VIII. Explanation on “Qualified Opinion” of previous year from the Board

□ Applicable √ Not applicable


IX. Implementation of profit distribution in reporting period

Implementation or adjustment of profit distribution plan in reporting period, cash dividend plan and shares converted from capital
reserve in particular
□ Applicable √ Not applicable
Previous year’s profit distribution plan was no profit distribution and shares converted from capital reserve either



                                                                   12
      司公限有份股心中游旅海东大南海                                                                 2014   文全告报度年半年
X. Profit distribution and capitalization of capital reserves in the Period

□ Applicable √ Not applicable
The Company has no plans of cash dividend distributed, no bonus shares and has no share converted from capital reserve either for
the semi-annual year


XI. In the report period, reception of research, communication and interview

√Applicable     □Not applicable
       Time                Place          Way        Type            Reception        Contents discussed and material provided

                       Company      Telephone                    Investor in
                                                                                   Operation situation of the Company, no
2014-01-08             headquarter communicat Individual         Shanghai
                                                                                   material provided
                       s            ion                          (Surname Chen)
                       Company      Telephone                    Investor in
                                                                                   Restriction lifted of share reforming, no
2014-01-16             headquarter communicat Individual         Beijing
                                                                                   material provided
                       s            ion                          (Surname Wang)
                       Company      Telephone
                                                                 Investor in Hefei Operation situation of the Company, no
2014-02-10             headquarter communicat Individual
                                                                 (Surname Lv)      material provided
                       s            ion
                       Company      Telephone
                                                                 Investor in Hebei Operation situation of the Company, no
2014-02-18             headquarter communicat Individual
                                                                 (Surname Liu)     material provided
                       s            ion
                       Company      Telephone                    Investor in
                                                                                   Operation situation of the hotels, no material
2014-03-19             headquarter communicat Individual         Hangzhou
                                                                                   provided
                       s            ion                          (Surname Zhang)
                       Company      Telephone                    Investor in
                                                                                   Operation situation of the Company in the
2014-03-25             headquarter communicat Individual         Beijing
                                                                                   year, no material provided
                       s            ion                          (Surname Chen)
                       Company      Telephone                    Investor in
                                                                                   Development of the Company, no material
2014-04-10             headquarter communicat Individual         Shenzhen
                                                                                   provided
                       s            ion                          (Surname Zheng)
                       Company      Telephone                    Investor in
                                                                                   Disclosure date of Annual Report 2013 of the
2014-04-18             headquarter communicat Individual         Wuhan
                                                                                   Company, no material provided
                       s            ion                          (Surname Cheng)
                       Company      Telephone                    Investor in
                                                                                   Operation situation of the Company in 2013,
2014-04-25             headquarter communicat Individual         Shenzhen
                                                                                   no material provided
                       s            ion                          (Surname Yang)
                       Company      Telephone                    Investor in
                                                                                   Commitment of the largest shareholders of the
2014-05-21             headquarter communicat Individual         Beijing
                                                                                   Company, no material provided
                       s            ion                          (Surname Huang)
                       Company      Telephone                    Investor in       Development of the Company, no material
2014-05-30                                      Individual
                       headquarter communicat                    Zhengzhou         provided



                                                                13
     司公限有份股心中游旅海东大南海                                                    2014   文全告报度年半年
                s          ion                      (Surname Jiang)
                Company    Telephone                Investor in
                                                                      Commitment of the largest shareholders of the
2014-06-12      headquarter communicat Individual   Haikou
                                                                      Company, no material provided
                s          ion                      (Surname Lin)
                Company    Telephone                Investor in
                                                                      Operation situation of the Company in the half
2014-06-27      headquarter communicat Individual   Shanghai
                                                                      year of 2014, no material provided
                s          ion                      (Surname Zhou)




                                                    14
      司公限有份股心中游旅海东大南海                                                  2014   文全告报度年半年
                                      Section V. Important Events

I. Corporate governance

During the report period, the Company strictly follows the requirements of “Corporation Law”, "Securities Law",
"Listing Rules of Shenzhen Stock Exchange Stock ", and other relevant laws and regulations, establishes and
improves the corporate governance system, improves the corporate governance structure, and promotes the
company’s standard operation, there is no difference between the actual state of corporate governance and the
requirements of relevant provisions of China Securities Regulatory Commission.


In reporting period, the Board of Directors and Board of Supervisors started the personnel change. In accordance
with relevant rules of the Guidance to Supervise Listed Companies, No. 3- Cash Dividend of Listed Companies,
issued by China Securities Supervision Committee, and combining the actual situation, the Company revised part
of terms about profit distribution policy referred in the Article of Association. Shareholders’ General Meeting,
Board of Directors and Board of Supervisors respectively reinforced their decision rights, execution rights and
supervision rights. Rights and responsibilities were divided clearly, restrained mutually, operated normally and
effectively. Meeting procedures were totally in accordance with relevant rules. The Board of Directors strictly
followed requirements of the Rules of Listed Companies, being honest and diligent, being loyal to shareholders
and the Company, protecting medium and small shareholders’ rights and interests. The Board of Supervisors
effectively inspected and checked the personnel and finance of directors and senior administrative staff.


The Company will continue to improve the corporate governance, seriously fulfill the obligation of information
disclosure, strengthen the management to information disclosure, maintain the principle of fairness about the
information disclosure, strengthen the investor relations management, and protect the legitimate rights and
interests of all investors.

II. Significant lawsuits and arbitrations of the Company

□Applicable √Not applicable
The Company has no significant lawsuits and arbitrations in reporting period

III. Question from media

□ Applicable     √ Not applicable
No universal questioned by media in reporting period

IV. Bankruptcy reorganization

□ Applicable √ Not applicable
In reporting period, the Company has no bankruptcy reorganization occurred.




                                                       15
        司公限有份股心中游旅海东大南海                                                                    2014   文全告报度年半年
V. Transaction in assets

1. Assets acquisition

□ Applicable √ Not applicable
The Company did not purchased assets in the Period


2. Sales of assets

□ Applicable √ Not applicable
The Company did not sell assets in the Period


3. Business combination

□ Applicable √ Not applicable
The Company has no business combined in the Period



VI. Implementation of the company’s equity incentive and the effects
□ Applicable √ Not applicable
No equity incentive in reporting period


VII. Insignificant related transactions

1. Related transaction with daily operation concerned

√Applicable     □Not applicable

                                                                                   Proportio                     Available
                                                                       Amount                   Settlemen
                                                   Pricing                            n to                        market
                            Type of Content                  Price of of related                t method
                                                 principles                        amount of                     prices of Disclosur Index of
                Related      related of related               related transactio
Related party                                    of related                        transactio   of related
              relationship transactio transactio            transactio n (10                                      similar     e date   disclosure
                                                 transactio                         n or the    transactio
                                n         n                      n    thousand
                                                      n                            same type                     transactio
                                                                        Yuan)                         n
                                                                                      (%)                           ns

                                                                                                Same as
                                           Accomm                                               the
               First
Luoniushan                        Consumpt odations   Market     Market                         transactio
               majority                                                     5.19      0.44%                          --         --         --
Co., Ltd.                         ion      and        price      price                          n with
               shareholder
                                           catering                                             non-relate
                                                                                                d party
Total                                                       --       --     5.19       --             --             --         --         --

Details of returned large sales                       N/A

Predict on total amount of daily related trade on
the way in this period according to classification,   N/A
as well as actual implementation in reporting



                                                                   16
         司公限有份股心中游旅海东大南海                                                                     2014   文全告报度年半年
period

Reason of the greater difference between trade
                                                         N/A
price and market reference price

2. Related transaction incurred by purchase or sales of assets
□ Applicable √ Not applicable
No related transaction incurred by purchase or sales of assets in Period
3. Related transaction from jointly investment outside
□ Applicable √ Not applicable
No related transaction from jointly investment outside occurred in Period
4. Credits and liability of related party
√Applicable       □Not applicable
Whether exist non-operating contact of related credit and debt or not
√Yes     □No

                                                                                                 Balance of      Amount of the
                                                                               Whether exist                                          Balance at
                                                                                               period-begin          period
                              Related      Type of credit and     Resulted     non-operation                                         period-end (in
        Related party                                                                              (in 10        occurrence (in
                            relationship          debt             reason        al capital                                           10 thousand
                                                                                                 thousand          10 thousand
                                                                                occupying                                               Yuan)
                                                                                                   Yuan)             Yuan)

                           First
                                           Debt payable to      Correspondin
Luoniushan Co., Ltd        majority                                            Yes                          80                   0              80
                                           related party        g payment
                           shareholder

Influence on operation result and
financial statue of the Company from No influence
related credit and debts


5. Other significant related transactions

□ Applicable √ Not applicable
The Company had no other significant related transactions in the reporting period


VIII. Non-business capital occupying by controlling shareholders and its related parties

□ Applicable √ Not applicable
No non-business capital occupied by controlling shareholders and its related parties in Period


IX. Major contract and implantation

1. Trusteeship, contract and leasing

(1) Trusteeship

□ Applicable √ Not applicable


                                                                    17
      司公限有份股心中游旅海东大南海                                                             2014   文全告报度年半年
The Company had no trusteeship in the reporting period.


 (2) Contract

□ Applicable √ Not applicable
The Company had no contract in the reporting period.


(3) Leasing

□ Applicable √ Not applicable
The Company had no leasing in the reporting period.


2. Guarantee

□ Applicable √ Not applicable
The Company had no guarantee in the reporting period.


(1) Guarantee outside against the regulation

□ Applicable √ Not applicable
No guarantee outside against the regulation in Period



3. Other material contracts
□ Applicable √ Not applicable
The Company had no other material contracts in the reporting period.




4. Other material transactions

□ Applicable √ Not applicable
The Company had no other material transactions in the reporting period.


X. Commitments made by the Company or shareholders holding above 5% shares of the
Company in reporting period or occurred in the previous reporting period but continued to
reporting period
√Applicable     □Not applicable

                                                                                   Commitment    Commitment
                 Commitments                       Accepter            Contents                                 Implementation
                                                                                       time          period

                                                                 Seeking
                                                                                                                No appropriate
                                                                 restructuring
Commitments for                                Luoniushan Co.,                                                  restructuring
                                                                 side actively for 2014-06-27   In 3 years
Share Merger Reform                            Ltd.                                                             side has been
                                                                 assets
                                                                                                                found so far.
                                                                 reorganization


                                                                 18
      司公限有份股心中游旅海东大南海                                                  2014   文全告报度年半年
Commitments in report of      acquisition or
equity change

Commitments in assets reorganization

Commitments make in Initial public offering
or re-financing

Other commitments for minority shareholders

Implemented commitments on time(Y/N)           N
Detail reasons for un-complement and further
                                             N/A
plan


XI. Engagement and non-reappointment of CPA
Whether the semi-annual report was audited or not
□ Yes     √ No


XII. Penalty and rectification

□ Applicable √ Not applicable
The Company had no penalty or rectification in the reporting period.




XIII. Risk disclosure of delisting with laws and rules violated

□ Applicable √ Not applicable
The Company has no delisting risks with laws and rules violated in Period


XIV. Explanation on other significant events

□ Applicable √ Not applicable
The Company had no explanation on other significant events in the reporting period.




                                                                 19
      司公限有份股心中游旅海东大南海                                                                       2014   文全告报度年半年
     Section VI. Changes in Shares and Particulars about Shareholders

I. Changes in shares

                                                                                                                                  In share

                                   Before change           Increase/decrease in this time (+ , - )                 After change

                                                                         Capitali
                                                                         zation
                                                        New     Bonus
                                 Amount       Ratio                        of       Other       Subtotal     Amount          Ratio
                                                        issue    share
                                                                         public
                                                                         reserve

I. Restricted shares             16,529,200    4.54%                                -994,000 -994,000        15,535,200           4.27%

1.   State-owned shares

2. State-owned corporate
                                  3,953,400    1.09%                                -924,000 -924,000         3,029,400           0.83%
shares

                                 12,575,800    3.45%                                 -70,000     -70,000     12,505,800           3.43%
3. Other domestic shares
Including: Domestic legal
                                 12,373,800    3.40%                                        0          0     12,373,800           3.40%
person shares

Domestic natural person
                                   202,000     0.06%                                 -70,000     -70,000          132,000         0.04%
shares

II. Unrestricted shares         347,570,800   95.46%                                994,000 994,000 348,564,800               95.73%

                                259,570,800   71.29%                                994,000 994,000 260,564,800               71.56%
1. RMB common shares

2.Domestically         listed
                                 88,000,000   24.17%                                                         88,000,000       24.17%
foreign shares
III. Total shares               364,100,000   100.00%                                                       364,100,000      100.00%

Reasons for share changed
√Applicable □Not applicable
In the process of subsequent work of share-trading reform of the Company, according to relevant regulations the
release procedures were in process and part of the shareholders handling the payment of account paid in advance.
Thus, the share structure changes in the report period but retained the same in total share capital.


Approval of share changed
□ Applicable √ Not applicable


Ownership transfer of share changed
□ Applicable √ Not applicable



                                                                20
       司公限有份股心中游旅海东大南海                                                                     2014    文全告报度年半年
Influence on the basic EPS and diluted EPS as well as other financial indexes of net assets per share attributable to
common shareholders of Company in latest year and period
□ Applicable √ Not applicable


Other information necessary to disclose for the Company or need to disclosed under requirement from security
regulators
□ Applicable √ Not applicable


Explanation on changes in aspect of total shares, shareholders structures as well as structure of assets and liability
of the Company
□ Applicable      √ Not applicable

II. Number of shares and shares held

                                                                                                                                   In share
                                                                              Total preference shareholders with voting
Total common shareholders at period-end                              26,075                                                                            0
                                                                              rights recovered at end of reporting period

                              Particulars about shares held above 5% by shareholders or top ten shareholders

                                                                                                                                      Number of
                                                                                                                                           share
                                                                         Number of Changes                                           pledged/froz
                                                                                                     Amount of       Amount of
                                         Nature of      Proportion of    shares held          in                                             en
           Shareholders                                                                              restricted     unrestricted
                                        shareholder      shares held            at      reporting                                    State
                                                                                                     shares held    shares held
                                                                         period-end         period                                    of     Amou
                                                                                                                                     shar         nt
                                                                                                                                      e

                                     Domestic
Luoniushan Co., Ltd.                 non-state-owned           16.81% 61,190,270 0                            0       61,190,270
                                     legal person
                                     Domestic nature
Pan Guoping                                                     8.07% 29,396,791 -3632792                     0       29,396,791
                                     person
China Everbright Securities (HK)     Overseas
                                                                6.63% 24,135,012 5927328                      0       24,135,012
Limited                              legal person

Yangpu Tongrong Investment           Domestic
Management Consultation Co.,         non-state-owned            2.79% 10,150,082 0                    4,420,800         5,729,282
Ltd.                                 legal person

                                     Domestic
Sanya Yongli Investment Co., ltd.    non-state-owned            1.77%         6,446,000 -484000               0         6,446,000
                                     legal person
                                     Domestic
Construction    Investment   CITIC
                                     non-state-owned            1.27%         4,620,000 0                     0         4,620,000
Assets Management Co., Ltd.
                                     legal person



                                                                21
       司公限有份股心中游旅海东大南海                                                                        2014   文全告报度年半年
                                       Overseas
CITRINE CAPITAL LIMITED                                             0.90%     3,265,200 0                       0        3,265,200
                                       legal person

                                       Domestic
Sanya    Zhongxing     Development
                                       non-state-owned              0.70%     2,541,000 0             2,541,000                  0
Co., Ltd.
                                       legal person
                                       Domestic
Sanya Rural Credit Cooperative         non-state-owned              0.63%     2,310,000 0                       0        2,310,000
                                       legal person

Haikou Jinmao Branch of
                                       State-owned
Agricultural Bank of China Co.,                                     0.63%     2,310,000 0                       0        2,310,000
                                       corporation
Ltd.

Strategy investors or general corporate becomes top
                                                          N/A
10 shareholders due to rights issued

                                                          The Company is unknown whether there exists associated relationship or belongs
Explanation on associated relationship among the to the consistent actor regulated by the Management Measure of Information
aforesaid shareholders                                    Disclosure on Change of Shareholding for Listed Company among the other
                                                          shareholders.

                                        Particular about top ten shareholders with un-restrict shares held

                                                                   Amount of unrestricted shares held at                 Type of shares
                         Shareholders
                                                                                 period-end                             Type            Amount

Luoniushan Co., Ltd.                                                                            61,190,270 RMB common share 61,190,270

                                                                                                               Domestically listed
Pan Guoping                                                                                     29,396,791                             29,396,791
                                                                                                               foreign share

                                                                                                               Domestically listed
China Everbright Securities (HK) Limited                                                        24,135,012                             24,135,012
                                                                                                               foreign share

Sanya Yongli Investment Co., ltd.                                                                 6,446,000 RMB common share            6,446,000

Yangpu Tongrong Investment Management Consultation
                                                                                                  5,729,282 RMB common share            5,729,282
Co., Ltd.

Construction Investment CITIC Assets Management Co.,
                                                                                                  4,620,000 RMB common share            4,620,000
Ltd.

                                                                                                               Domestically listed
CITRINE CAPITAL LIMITED                                                                           3,265,200                             3,265,200
                                                                                                               foreign share

Sanya Rural Credit Cooperative                                                                    2,310,000 RMB common share            2,310,000

Haikou Jinmao Branch of Agricultural Bank of China Co.,
                                                                                                  2,310,000 RMB common share            2,310,000
Ltd.

Cao Huili                                                                                         2,303,939 RMB common share            2,303,939

Expiation on associated relationship or consistent actors       The Company is unknown whether there exists associated relationship or
within the top 10 un-restrict shareholders and between top      belongs to the consistent actor regulated by the Management Measure of
10 un-restrict shareholders and top 10 shareholders             Information Disclosure on Change of Shareholding for Listed Company


                                                                    22
      司公限有份股心中游旅海东大南海                                                               2014   文全告报度年半年
                                                              among the other shareholders.
Explanation on top ten shareholders involving margin
                                                              N/A
business

Whether has a buy-back agreement dealing in reporting period
□Yes √No
The shareholders o f the Company had no buy-back agreement dealing in reporting period.


III. Changes of controlling shareholders or actual controller

Changes of controlling shareholders in reporting period
□ Applicable √ Not applicable
Changes of controlling shareholders had no change in reporting period.
Changes of actual controller in reporting period
□ Applicable √ Not applicable
Changes of actual controller in reporting period had no change in reporting period.

IV. Share holding increasing plan proposed or implemented in reporting period from
shareholder of the Company and its concerted action person

□ Applicable   √Not applicable
As far as the Company know, there are no share holding increasing plan proposed or implemented in Period from shareholder of the
Company and its concerted action person




                                                                 23
      司公限有份股心中游旅海东大南海                                     2014   文全告报度年半年

                                  Section VII. Preferred Stock

I. Issuance and listing of preferred stock in Period

□ Applicable √ Not applicable


II. Number of shareholders with preferred stock held and shareholdings

□ Applicable √ Not applicable


III. Repurchase and conversion of preferred stock

1. Preferred stock repurchased

□ Applicable √ Not applicable


2. Preferred stock converted

□ Applicable √ Not applicable


IV. Preferred stock with voting rights recovered and executed

□ Applicable √ Not applicable


V. Accounting policy taken for preferred stock and reasons

□ Applicable √ Not applicable




                                               24
         司公限有份股心中游旅海东大南海                                                              2014    文全告报度年半年
                 Section VIII. Directors, Supervisors and Senior Executives

I. Changes of shares held by directors, supervisors and senior executives

□ Applicable    √ Not applicable
Shares held by directors, supervisors and senior executives have no changes in reporting period, found more details in Annual Report
2013.


II. Resignation and dismissal of directors, supervisors and senior executives

√Applicable     □Not applicable

     Name                 Title                 Type                        Date                               Reason

                                        Leave the post while
Chen Rijin       Independent director                          2014-05-21                       Terms of office expired
                                        office terms expired

                                        Leave the post while
Feng Daan        Independent director                          2014-05-21                       Terms of office expired
                                        office terms expired

                                        Leave the post while
Li Guangzhong Independent director                             2014-05-21                       Terms of office expired
                                        office terms expired

Zhao Man         Independent director Be elected               2014-05-22                       Be elected

Tang Guoping     Independent director Be elected               2014-05-22                       Be elected

Leng Mingquan Independent director Be elected                  2014-05-22                       Be elected

                                        Leave the post while
Li Zhi           Employee supervisor                           2014-05-21                       Terms of office expired
                                        office terms expired

Liu Xianghai     Employee supervisor Be elected                2014-05-22                       Be elected




                                                                 25
         司公限有份股心中游旅海东大南海                                              2014   文全告报度年半年

                                         Section IX. Financial Report

I. Audit reports

Whether the semi-annual report was audited or not
□ Yes √ No
The financial report of this semi-annual report was unaudited



II. Financial statements

Units in Notes of Financial Statements is RMB

1. Balance sheet

Prepared by: Hainan Dadonghai Tourism Centre (Holdings) Co., Ltd.
                                                                                                           In RMB

                     Item                           Closing balance                   Opening balance

Current assets:

     Monetary funds                                                   6,691,402.14                      6,835,685.46

     Settlement funds

     Lending funds

     Tradable financial assets

     Notes receivable

     Accounts receivable                                              3,479,148.05                      3,509,377.76

     Prepayments                                                       134,694.62                        201,053.21
     Premium receivable

     Reinsurance accounts receivable
     Reinsurance contract reserve
receivable
     Interest receivable

     Dividend receivable

     Other account receivable                                         3,097,020.35                      3,299,051.36

     Buying back the sale of financial
assets

     Inventory                                                         314,781.58                        317,334.23

     Non-current assets due within one year



                                                         26
      司公限有份股心中游旅海东大南海                              2014   文全告报度年半年
     Other current assets

Total current assets                             13,717,046.74                    14,162,502.02

Non-current assets:

     Issuance of loans and advances

     Financial assets available for Sale

     Held-to-maturity investment

     Long-term receivables

     Long term equity investment                 10,000,000.00                    10,000,000.00

     Investment real estate

     Fixed asset                                 58,768,538.51                    60,628,905.47

     Project in progress

     Project materials

     Liquidation of fixed asset

     Productive biological asset

     Oil and gas asset

     Intangible asset                            28,139,437.91                    28,586,908.43

     Development expenditure

     Goodwill

     Long-term deferred expenditure                 385,282.73                       582,546.77

     Deferred income tax asset

     Other non-current asset

Total non-current asset                          97,293,259.15                    99,798,360.67

Total Assets                                     111,010,305.89                  113,960,862.69

Current Liabilities:

     Short-term borrowing

  Borrowing from the central bank

  Deposits and interbank deposit

     Borrowed capital

     Transaction financial liabilities

     Notes payable

     Accounts payable                              2,209,188.28                    2,171,955.96

     Account received in advance                   1,216,013.54                    1,599,994.81

     Financial assets sold for repurchase

     Fees and commissions payable



                                            27
        司公限有份股心中游旅海东大南海                                 2014   文全告报度年半年
       Salary payable                                  3,043,725.36                     3,549,851.04

       Taxes payable                                   -1,209,571.11                   -1,164,999.99

       Interest payable

    Dividend payable

       Other payables                                 24,687,560.92                    25,892,213.01

       Reinsurance payables

       Reserves for insurance contracts

       Agency securities trading

       Agency securities underwriting

       Non-current liabilities due within one
year

       Other current liabilities

Total current liabilities                             29,946,916.99                    32,049,014.83
Non-current liabilities

       Long-term loans

       Bonds payable

       Long-term payables

       Special payables

       Accrued liabilities

       Deferred income tax liability

       Other non-current liability

Total non-current liability

Total liability                                       29,946,916.99                    32,049,014.83

Owners’ equity (or Shareholder’s equity):

       Paid-in capital(share capital)                364,100,000.00                   364,100,000.00

       Capital surplus                                54,142,850.01                    54,142,850.01

       Less: treasury stock

       Special reserve

       Surplus reserve

       Reserve for general risks

         Retained profit                             -337,179,461.11                 -336,331,002.15

       Converted difference in foreign
currency Statements

Total owner’s equity attributable to parent
                                                      81,063,388.90                    81,911,847.86
company



                                                28
       司公限有份股心中游旅海东大南海                                                         2014   文全告报度年半年
          Interest of minority shareholders

Total owners’ equity (or shareholders
                                                                    81,063,388.90                             81,911,847.86
equity)

Total liabilities and owners’ equity (or
                                                                   111,010,305.89                            113,960,862.69
shareholders equity)


Legal Representative: Li Yuanbin                        Person in Charge of Accounting: Chen Liurong
Person in Charge of Accounting Department: Liu Xianghai

2. Income Statements

Prepared by: Hainan Dadonghai Tourism Centre (Holdings) Co., Ltd.
                                                                                                                   In RMB

                                Item                          Current Amount               Amount of the Previous Period

I. Total operation revenue                                              11,686,452.00                         14,778,787.50

      Including: Operating revenue                                      11,686,452.00                         14,778,787.50

               Interest income

               Earned premium

               Fee and commission income

II Total Operating cost                                                 12,594,139.13                         15,335,705.36

      Including: Operating costs                                                5,336.51                           5,091.20

               Interest costs

               Fee and commission costs

               Cash surrender

               Net compensation expenses

               Net extraction reserves for insurance
contracts

               Policy dividend payout

               Reinsurance expense

               Business tax and surcharge                                  654,441.33                            827,612.10

            Sales expenses                                               5,924,967.97                          5,866,274.92

               Administrative expenses                                   5,961,388.09                          8,568,614.42

               Financial expenses                                              48,005.23                          68,112.72

               Asset impairment losses

               Add: gains from changes of fair value (Loss
is listed with “-”)

               Investment gain (Loss is listed with “-”)


                                                             29
      司公限有份股心中游旅海东大南海                                                           2014   文全告报度年半年
            Including: Investment gains on affiliated
Company and joint venture

              Exchange gains      (Loss is listed with “-”)

III. Operating profits (Loss is listed with “-”)                        -907,687.13                            -556,917.86

     Add: Non-operating income                                              60,567.76                              76,146.35

     Less: Non-operating expenditure                                         1,339.59                               1,200.00

     Including: Disposal loss on non-current liability                       1,339.59                                200.00

IV Total profits (Total loss is listed with “-”)                        -848,458.96                            -481,971.51

     Less: Income tax expenses

V. Net profit (Net loss is listed with “-”)                             -848,458.96                            -481,971.51

     Including: Net profit generated by combined party
before merged

     Net profit attribute to owners of parent company                     -848,458.96                            -481,971.51

     Minority interest

VI. Earnings per share(EPS)                                          --                                   --

     (i) Basic Earnings per share(EPS)                                        -0.0023                                -0.0013

     (ii) Diluted Earnings per share(EPS)                                     -0.0023                                -0.0013

VII. Other consolidated income

VIII. Total consolidated income                                           -848,458.96                            -481,971.51

  Total consolidated income attributable to owners of
                                                                          -848,458.96                            -481,971.51
parent company

     Total consolidated income attributable to minority
shareholders


Legal Representative: Li Yuanbin                        Person in Charge of Accounting: Chen Liurong
Person in Charge of Accounting Department: Liu Xianghai

3. Cash Flow Statement

Prepared by: Hainan Dadonghai Tourism Centre (Holdings) Co., Ltd.
                                                                                                                   In RMB

                                  Items                               Current Amount           Amount of the Previous Period

I. Cash flows arising from operating activities:

     Cash received from selling commodities and providing labor
                                                                               12,145,114.03                   13,820,522.00
services

     Net increase of customer deposit and interbank deposit

     Net increase of loan from central bank


                                                                30
         司公限有份股心中游旅海东大南海                                                  2014   文全告报度年半年
        Net increase of capital borrowed from other financial
institution

        Cash received from original insurance contract fee

        Net cash received from reinsurance business

        Net increase of insured savings and investment

        Net increase of disposal of transaction financial asset

        Cash received from interest, commission charge and
commission

        Net increase of capital borrowed

        Net increase of returned business capital

        Write-back of tax received

        Other cash received concerning operating activities                147,264.33                     2,401,962.57

Subtotal of cash inflow arising from operating activities                12,292,378.36                   16,222,484.57

        Cash paid for purchasing commodities and receiving labor
                                                                          2,563,586.97                    3,921,328.49
service

        Net increase of customer loans and advances

        Net increase of deposits in central bank and interbank

        Cash paid for original insurance contract compensation

        Cash paid for interest, commission charge and commission

        Cash paid for bonus of guarantee slip

        Cash paid to/for staff and workers                                5,246,096.51                    5,028,559.08

        Taxes paid                                                        1,465,661.88                    1,610,258.17

        Other cash paid concerning operating activities                   3,002,116.32                    2,714,844.72

Subtotal of cash outflow arising from operating activities               12,277,461.68                   13,274,990.46

Net cash flows arising from operating activities                            14,916.68                     2,947,494.11

II. Cash flows arising from investing activities:

        Cash received from recovering investment

        Cash received from investment income

        Net cash received from disposal of fixed, intangible and
                                                                              4,200.00                         200.00
other long-term assets

        Net cash received from disposal of subsidiaries and other
units

        Other cash received concerning investing activities

Subtotal of cash inflow from investing activities                             4,200.00                         200.00

        Cash paid for purchasing fixed, intangible and other               163,400.00                       573,434.00



                                                                    31
      司公限有份股心中游旅海东大南海                                                   2014   文全告报度年半年
long-term assets

     Cash paid for investment

     Net increase of mortgaged loans

     Net cash paid for obtaining subsidiaries and other units

     Other cash paid concerning investing activities

Subtotal of cash outflow from investing activities                       163,400.00                       573,434.00

Net cash flows arising from investing activities                        -159,200.00                      -573,234.00

III. Cash flows arising from financing activities

     Cash received from absorbing investment

     Including: Cash received from absorbing minority
shareholders’ investment by subsidiaries

     Cash received from loans

     Cash received from issuing bonds

     Other cash received concerning financing activities

Subtotal of cash inflow from financing activities

     Cash paid for settling debts

     Cash paid for dividend and profit distributing or interest
paying

     Including: Dividend and profit of minority shareholder paid
by subsidiaries

     Other cash paid concerning financing activities

Subtotal of cash outflow from financing activities

Net cash flows arising from financing activities

IV. Influence on cash and cash equivalents due to fluctuation in
exchange rate

V. Net increase of cash and cash equivalents                            -144,283.32                     2,374,260.11

     Add: Balance of cash and cash equivalents at the period
                                                                        6,835,685.46                   15,194,668.69
-begin

VI. Balance of cash and cash equivalents at the period -end             6,691,402.14                   17,568,928.80


Legal Representative: Li Yuanbin                        Person in Charge of Accounting: Chen Liurong
Person in Charge of Accounting Department: Liu Xianghai

4. Statement on Changes of Owners' Equity

Prepared by: Hainan Dadonghai Tourism Centre (Holdings) Co., Ltd.
Current Amount


                                                                   32
      司公限有份股心中游旅海东大南海                                                                        2014   文全告报度年半年
                                                                                                                                       In RMB

                                                                                  Current Amount

                                                     Owners' equity attributable to the parent company                       Inter
                                                                                                                              est
                                                                                                                              of
                 Item                                                   Less: Spec Surpl Reserv                         O
                                        Paid-in                                                                              mino Total owners’
                                                                        treasur ial    us    e for                      t
                                     capital(share    Capital surplus                                 Retained profit        rity       equity
                                                                          y     reser reser general                     h
                                        capital)                                                                             shar
                                                                        stock    ve    ve    risks                      er
                                                                                                                             ehol
                                                                                                                             ders

I. Balance at the end of last year 364,100,000.00 54,142,850.01                                       -336,331,002.15                81,911,847.86

     Add: Changes of
accounting policy

     Error correction of
previous period

            Others

II. Balance at the beginning of
                                     364,100,000.00 54,142,850.01                                     -336,331,002.15                81,911,847.86
this year

III. Increase/ Decrease in this
                                                                                                         -848,458.96                  -848,458.96
year (Decrease is listed with'"-")

(i) Net profit                                                                                           -848,458.96                  -848,458.96

(ii) Other consolidated income

Subtotal of (i)and (ii)                                                                                  -848,458.96                  -848,458.96

 (III) Owners' devoted and
decreased capital

1. Owners' devoted capital

2. Amount calculated into
owners' equity paid in shares

3. Others

 (IV)Profit distribution

1. Withdrawal of surplus
reserves

2. Withdrawal of general risk
provisions

3. Distribution for owners
(shareholders)

4. Others

 (V) Carrying forward internal


                                                                    33
      司公限有份股心中游旅海东大南海                                                                              2014   文全告报度年半年
owners' equity

1. Capital reserves conversed to
capital (share capital)

2. Surplus reserves conversed to
capital (share capital)

3. Remedying loss with
surplus reserve

4. Others

(VI) Special reserve

1. Withdrawal in this period

2. Usage in this period

(VII) Other

IV. Balance at the end of the
                                        364,100,000.00 54,142,850.01                                        -337,179,461.11             81,063,388.90
report period
Amount in last year
                                                                                                                                           In RMB
                                                                                      Amount in last year
                                                         Owners’ equity attributable to the parent company                     Inter
                                                                                                                                 est
                                                                                                                              O of
                                                                              Less: Spec Surp Reserv
                Items                      Paid-in                                                                            t mino Total owners’
                                                                             treasu ial     lus    e for
                                         capital(share     Capital surplus                                  Retained profit h rity         equity
                                                                               ry     reser reser general
                                           capital)                                                                         e share
                                                                              stock    ve    ve    risks
                                                                                                                              r hold
                                                                                                                                 ers

I. Balance at the end of last year 364,100,000.00 54,142,850.01                                             -334,131,682.19             84,111,167.82

     Add: retroactive adjustment
arising from enterprise
consolidation under the same
control

     Add: Changes of
accounting policy

            Error correction of
previous period

            Other

II. Balance at the beginning of
                                        364,100,000.00 54,142,850.01                                        -334,131,682.19             84,111,167.82
this year

III. Increase/ Decrease in this
                                                                                                              -2,199,319.96             -2,199,319.96
year (Decrease is listed with’”-”)



                                                                         34
      司公限有份股心中游旅海东大南海                                         2014   文全告报度年半年
(i) Net profit                                                           -2,199,319.96        -2,199,319.96

(II) Other consolidated income

Subtotal of (i)and (ii)                                                  -2,199,319.96        -2,199,319.96

(III) Owners’ devoted and
decreased capital

1. Owners’ devoted capital

2. Amount calculated into
owners’ equity paid in shares

3. Others

(IV)Profit distribution

1. Withdrawal of surplus
reserves

2. Withdrawal of general risk
provisions

3. Distribution for owners
(shareholders)

4. Others

(V) Carrying forward internal
owners’ equity

1. Capital reserves conversed to
capital (share capital)

2. Surplus reserves conversed to
capital (share capital)

3. Remedying loss with
surplus reserve

4. Others

( VI) Special reserve

 1. Withdrawal in this period

2. Usage in this period

(VII) Other

IV. Balance at the end of the
                                   364,100,000.00 54,142,850.01        -336,331,002.15        81,911,847.86
report period


Legal Representative: Li Yuanbin                        Person in Charge of Accounting: Chen Liurong
Person in Charge of Accounting Department: Liu Xianghai




                                                              35
     司公限有份股心中游旅海东大南海                                                       2014   文全告报度年半年
III. Company profile

Hainan Dadonghai Tourism Center (Holdings) Co., Ltd. (hereinafter referred to as “Company” or “the Company”),
was founded as a standardized LLC on April 26, 1993, reorganized and incorporated on the basis of the former
Hainan Sanya Dadonghai Tourism Center Development Ltd and approved by the Hainan Provincial Stock System
Experimentation Leading Team Office with a document of Qiong Gu Ban Zi [1993] No. 11. On May 6, 1996, the
Company underwent a restructuring and a corresponding division under the approval of the Hainan Provincial
Securities Administration Office with a document of Qiong Zheng Ban [1996] No. 58. On October 8, 1996 and
January 28, 1997, the Company, with duly approval, went public by issuing 80 million shares of B stock and 14
million shares of A stock respectively on Shenzhen Security Exchange. On June 20, 2007, the Company
experienced a reform of non-tradable shares, through which non-tradable share holders of the Company got
circulating right of their shares by paying shares to tradable share holders, and tradable share holders got paid
three shares for every ten of their shares. After the above consideration of stock ration were implemented, the
Company maintained an unchanged total shares with a corresponding equity structural change.
As of June 30, 2014, the Company’s total capital stock is 364,100,000 shares, in which the restricted tradable
stock is 15,535,200 shares, accounting for 4.72% of the total, and the unrestricted tradable stock is 348,564,800
shares, accounting for 95.73 % of the total. The Company’s registered capital is RMB 364.1 million. The legal
representative is Li Yuanbin. The registeration number of its Business License for Enterprise Legal Person (Copy)
is 4600001003983. And the legal registerred residence is Dadonghai, Hedong District, Sanya.
The Company belongs to the industry of tourism and catering services. Its scope of business includes:
accomodation and catering industry (limited to those operated by branches); photography; operation of
ornamental plant bonsai, knitwear and textiles, general merchandise, hardware and electrical equipment, chemical
products (excluding those require specialized licenses), daily necessities, industrial means of production
(excluding those require specialized licenses), metal materials and machinery equipment; commission sale of
plane, bus, train and ship tickets (items in require of administrative permission shall be operated under license).
IV. Principal accounting policies, estimates and errors of previous period
1. Basis of preparation for financial statements
Based on going concern, according to actually occurred transactions and events, the Company prepares its
financial statements in accordance with the Accounting Standards for Business Enterprises – Basic Standards and
38 concrete accounting standards issued on February 15, 2006 by the Finance Ministry, the subsequently issued
Accounting Standards for Business Enterprises – Application Guidelines, and the Accounting Standards for
Business Enterprises – Interpretations and other relevant provisions (collectively known as “Accounting Standards
for Business Enterprises”), as well as the disclosure requirements of Regulation on the Preparation of Information
Disclosure of Companies Issuing Public Shares No.15 - General Requirements for Financial Reports (as revised in
2010) by the China Securities Regulatory Commission.
2. Statement on compliance with Accounting Standards for Business Enterprises
The financial statements prepared by the Company meet the requirements of the Accounting Standards for
Business Enterprises and truly and completely reflect the Company’s financial position, operating results and cash


                                                          36
      司公限有份股心中游旅海东大南海                                                 2014   文全告报度年半年
flows, etc. for the reporting period.


3. Accounting period
The accounting year is from January 1 to December 31 in calendar year.


4. Functional currency
RMB is adopted as the functional currency.
5. Accounting treatment for business combinations under the same control and those not under the same
control
(1)Business combination under the same control
Nil
(2)Business combination not under the same control
Nil
6. Relevant specific accounting policy for equity disposal on step-by-step basis to lose control
(1) A principle of judgment of “Package Deal”
Nil
(2) Accounting method for “Package Deal”
Nil
(3) Accounting method for Non “Package Deal”
Nil
7. Methods for preparation of consolidated financial statements
(1) Methods for preparation of consolidated financial statements
Nil
(2) Accounting treatment method that should be disclosed for the equity of same subsidiary, which sold
after sales or sales after sold in two accounting period in a row
Nil
8. Recognition criteria of cash and cash equivalents
For the purpose of preparing the statement of cash flows, the term “cash” refers to the cash on hand and the
unrestricted deposit. And the term “cash equivalents” refers to short-term (maturing within three months from
acquisition) and highly liquid investments that are readily convertible to known amounts of cash and which are
subject to an insignificant risk of change in value.
9. Foreign business and foreign currency statement translation
(1) Foreign currency transactions
Foreign currency transactions are converted into RMB for recording purpose at the spot exchange rate on the date
when the transaction occurs.
(2) Foreign currency statement translation
Balances of foreign currency monetary items are measured at the spot exchange rate on the balance sheet date.
The exchange difference arising wherefrom shall be included in the current profit and loss, except that those



                                                       37
     司公限有份股心中游旅海东大南海                                                          2014   文全告报度年半年
exchange differences arising from the special borrowings of foreign currency related to the acquired and
constructed assets qualified for capitalization shall be dealt with according to the principle of borrowing cost
capitalization. Foreign currency non-monetary items measured at historical costs shall still be converted at the
spot exchange rates on the date when the transactions occur, and the amount in functional currency shall remain
unchanged. Foreign currency non-monetary items measured at fair value shall be translated at the spot exchange
rates on the date when the fair value is determined. The exchange difference arising wherefrom shall be included
in the current profit and loss or capital reserves.
10. Financial instruments
Financial instruments include financial assets, financial liabilities and equity instruments.
(1) Classification of financial instruments
Financial assets and liabilities are classified into the following categories according to the purpose of acquisition:
financial assets or financial liabilities measured at fair value through current profit and loss, including financial
assets or financial liabilities held for trading (and financial assets or financial liabilities directly designated to be
measured at fair value through current profit and loss), accounts receivable, and other financial liabilities, etc.
(2) Recognition basis and measurement method of financial instruments
(1) Financial assets (financial liabilities) measured at fair value through current profit and loss
Financial assets (financial liabilities) are initially recorded at fair values when acquired (deducting cash dividends
that have been declared but not distributed and bond interests that have matured but not been drawn). Relevant
transaction expenses are included in the current profit and loss.
The interests or cash dividends to be received during the holding period are recognized as investment income.
Change in fair values is included in the current profit and loss at the end of the period.
Difference between the fair value and initial book-entry value is recognized as investment income upon disposal;
meanwhile, adjustment is made to gains or losses from changes in fair values.
(2) Accounts receivable
For creditor’s rights receivable arising from external sales of goods or rendering of service by the Company and
other creditor's rights of other enterprises (excluding liability instruments quoted in an active market) held by the
Company, including accounts receivable, other receivables, notes receivable and prepayments, etc., the initial
recognition amount shall be the contract price or agreement price receivable from purchasing party. Accounts
receivable with financing nature are initially recognized at their present values. The difference between the
amount received and the book value of the accounts receivable is included in the current profit and loss upon
recovery or disposal.
(3) Other financial liabilities
Other financial liabilities are initially recognized at the sum of fair value and transaction expenses and
subsequently measured at amortized costs.


(3) Recognition basis and measurement method of transfer of financial assets
When transfer of financial assets occurs, if nearly all of the risks and rewards of ownership of the financial assets
have been transferred to the transferee, the Company derecognizes the financial assets; if nearly all of the risks


                                                           38
     司公限有份股心中游旅海东大南海                                                            2014   文全告报度年半年
and rewards of ownership of the financial assets are retained, the Company shall not derecognize the financial
assets.


The principle of substance over form is adopted to determine whether the transfer of a financial asset satisfies the
criteria as described above for derecognition of a financial asset. The Company shall classify the transfer of a
financial asset into the entire transfer and the partial transfer of financial asset. If the entire transfer of financial
asset satisfies the criteria for derecognition, the difference between the amounts of the following two items shall
be included in the current profit and loss:
(1) The book value of the transferred financial asset;
(2) The sum of the consideration received from the transfer and the accumulated amount of the changes in fair
value originally and directly included in owners’ equity (the situation where the financial asset transferred is an
available-for-sale financial asset is involved in).


If the partial transfer of financial asset satisfies the criteria for derecognition, the entire book value of the
transferred financial asset shall be split into the derecognized and recognized part according to their respective fair
value and the difference between the amounts of the following two items shall be included in the current profit
and loss:
(1) The book value of derecognized part;
(2) The sum of the consideration for the derecognized part and the portion of derecognition corresponding to the
accumulated amount of the changes in fair value originally and directly included in owners’ equity (the situation
where the financial asset transferred is an available-for-sale financial asset is involved in).


If the transfer of financial assets does not meet the derecognition criteria, the financial assets shall continue to be
recognized, and the consideration received will be recognized as a financial liability.
(4) Derecognition criteria of financial liabilities
A financial liability shall be totally or partly derecognized if its present obligations are totally or partly dissolved.
Where the Company enters into an agreement with a creditor so as to substitute the existing financial liabilities
with any new financial liability, and the new financial liability is substantially different from the contractual
stipulations regarding the existing financial liability, it shall derecognize the existing financial liability, and shall at
the same time recognize new financial liability.


Where substantial revisions are made to some or all of the contractual stipulations of the existing financial liability,
the Company shall derecognize the existing financial liability totally or partly, and at the same time recognize the
financial liability with revised contractual stipulations as a new financial liability.


Upon total or partial derecognition of financial liabilities, the difference between the book value of the financial
liabilities derecognized and the consideration paid (including non-cash assets surrendered or new financial
liabilities assumed) shall be included in the current profit and loss.


                                                            39
      司公限有份股心中游旅海东大南海                                                                    2014   文全告报度年半年
Where the Company redeems part of its financial liabilities, it shall, on the redemption date, allocate the entire
book value of whole financial liabilities according to the comparative fair value of the part that continues to be
recognized and the de-recognized part. The difference between the book value allocated to the derecognized part
and the considerations paid (including non-cash assets surrendered and the new financial liabilities assumed) shall
be included in the current profit and loss.
(5) Method of determining the fair value of financial assets and financial liabilities
For financial assets and financial liabilities measured at fair value by the Company, their fair values are
determined with direct reference to the quoted prices in the active market.
(6) Method of impairment testing and impairment provision for financial assets (account receivables
excluded)
Nil
Judging standards for vary impairment of financial assets available for sale


Nil
(7) For the financial assets available for sales which was re-classified from held-to-maturity investment
undue, explain changes of holding purpose or ability basis
Nil
11. Standards of recognition and accrual method for bad debt provision of receivables
(1) Provision for bad debts of accounts receivable those are individually significant:

Assessment basis or standard of amount Top five accounts receivable and other receivables in terms of individual amount at the
individually significant                     end of the year.
                                       After separate impairment test, provision for bad debts shall be made at the difference of
                                       present value of estimated future cash flows in short of their book values, and shall be
Accrual method for amount individually
                                       include in current profit and loss. For accounts receivable with no impairment found
significant and withdrawal bad debt    after separate tests, they shall be included in corresponding portfolios for provisions for
                                       bad debts. For accounts receivable with confirmed impairment losses after separate tests,
provision single
                                       they shall not be included in portfolios of accounts receivable with similar credit risk
                                       features for impairment tests.


(2) Provision for bad debts of accounts receivable made on the basis of portfolio


                           Method of making provision for bad debts
      Portfolio                                                       Basis of determining portfolio
                                   on the basis of portfolio

Aging portfolio        Aging analysis method                          Length of the aging

Proportions of provision for bad debts on the basis of aging analysis in portfolios are as follows
√Applicable      □Not applicable

                                         Proportion of provision for account
               Aging                                                                Proportion of provision for other receivables
                                                     receivable
1 to 2 years                                                            5.00%                                                  5.00%

2 to 3 years                                                            15.00%                                                15.00%



                                                                   40
       司公限有份股心中游旅海东大南海                                                                      2014   文全告报度年半年
3 to 4 years                                                              25.00%                                                 25.00%

4 to 5 years                                                              50.00%                                                 50.00%

Over 5 years                                                           100.00%                                                  100.00%

In portfolio, adopting balance percentage method for bad debt provision
□ Applicable √Not applicable
In portfolio, adopting other method for bad debt provision
□ Applicable √Not applicable


(3) Accounts receivable that are individually insignificant but with bad debt provision provided on an
individual basis

                                 For account receivable with an individual balance lower than the top five at the end of the year and
Reason for bad debt
                                 with objective evidence showing it may be impaired, and for uncollectible accounts receivable
provision provided on an
                                 arising from repeal and liquidation of debtor after taking legal clearance procedures, their provision
individual basis
                                 for bad debts shall be provided on an individual basis.
                                 For accounts receivable with objective evidence showing they may be impaired, they shall be
Method of provision for bad separate from relevant portfolios and separately tested for impairment to recognize the impairment
debt                             losses. Other remarks: provision for impairment of accounts receivable, excluding debts receivable
                                 and other receivables, shall be made at the specific identification method
12. Inventories
(1) Classification of inventories
Inventories are classified into raw materials, stock commodities, low-cost consumables, food materials, fuels,
etc.
(2) Measurement method of dispatched inventories
Measurement method: other
Measurement method: stock commodities are measured at selling price and their purchase and sale price
differential are amortized over every month at the method of comprehensive differential. The purchasing and
storage of stock materials are measured at actual cost, and at the first-in first-out method when fetched for use.
Low-cost consumables are amortized in full when fetched for use.


(3) Determination basis of net realizable values of inventories and provision method of inventory
depreciation reserve
After the comprehensive inventory count at the end of the period, provisions for inventory depreciation
reserve are made or adjusted at the lower of their costs or net realizable values.


In normal operation process, for merchandise inventories for direct sale, including stock commodities and
materials for sale, their net realizable values are determined at the estimated selling prices minus the
estimated selling expenses and relevant taxes and surcharges; for inventories held to execute sales contract or
service contract, their net realizable values are calculated on the basis of contract price. If the quantities of


                                                                     41
      司公限有份股心中游旅海东大南海                                                   2014   文全告报度年半年
inventories specified in sales contracts are less than the quantities held by the Company, the net realizable
value of the excess portion of inventories shall be based on general selling prices.


At the end of the period, provisions for inventory depreciation reserve are made on an individual basis. For
inventories with large quantity and low unit price, the provisions for inventory depreciation reserve are made
on a category basis. For inventories related to the product portfolios manufactured and sold in the same area,
and of which the final usage or purpose is identical or similar thereto, and which is difficult to separate from
other items for measurement purposes, the provisions for inventory depreciation reserve shall be made on a
portfolio basis.


If any factor rendering write-downs of the inventories has been eliminated, the amounts written down are
recovered and reversed from the inventory depreciation reserve, which has been provided for. The reversed
amounts are included into the current profit and loss.
(4) Inventory system
Inventory system: Perpetual inventory system
Inventory system: Perpetual inventory system

(5) Amortization method of low-cost consumables and packaging materials
Low-cost consumables
Amortization method: one-off method
Low-cost consumables are amortized at one-off amortization method.
Packaging materials
Amortization method: one-off method
Packaging materials are amortized at one-off amortization method.
13. Long-term equity investment
(1) Determination of investment cost
(1) Long-term equity investment acquired from business combination
For business combination under common control: if the Company makes payment in cash, transfer non-cash
assets or bear debts and issues equity securities as the consideration for the business combination, the book
value of the owners’ equity of the combinee obtained is recognized as the initial cost of the long-term equity
investment on the combination date. The stock premium in the capital reserve is adjusted according to the
difference between the initial cost of long-term equity investment and the consideration for the combination
paid; if there is no sufficient premium in the capital reserve for write-downs, the retained earnings are
adjusted. Relevant direct costs arising from the business combination, including audit fee, appraisal fee and
legal service fee paid for the business combination, are included in the current profit and loss when incurred.
For business combination not under common control, the Company recognizes the combination cost
determined on the combination date as the initial cost of long-term equity investment. The combination cost
is the fair value of assets paid, liabilities incurred or born and the equity securities issued to obtain the


                                                         42
     司公限有份股心中游旅海东大南海                                                    2014   文全告报度年半年
control of the acquiree. Intermediary costs such as audit fee, legal service fee, appraisal and consultancy fee
paid for the business combination by the acquirer and other relevant administrative expenses are included in
the current profit and loss when incurred; the transaction costs for the acquirer’s issuance of equity securities
or the debt securities as the consideration for the business combination are included in the initially
recognition amounts of the equity or debt securities. For business combination not under common control
through multiple transactions and by stage, the total of the book values of equity investment held by the
acquirer before the combination date and the newly increased investment on the combination date are
recognized as the initial cost of such investment. The Company regards the contingent consideration agreed
in the combination agreement as part of the consideration transferred for the combination, and includes it in
the combination cost at its fair value on the combination date.
(2) Long-term equity investment acquired by other means
For long-term equity investments acquired from making payments in cash, the initial cost is the actually paid
purchase cost. For long-term equity investments acquired from issuance of equity securities, the initial cost is
the fair value of the issued equity securities. For long-term equity investments of investors, the initial cost is
the value stipulated in the investment contract or agreement (deducting the cash dividend or profit that has
been declared but not distributed) unless the value stipulated in the contract or agreement is unfair. If the
exchange of non-monetary assets has commercial substance, and the fair values of assets traded out and
traded in can be measured reliably, the initial cost of long-term equity investment traded in with
non-monetary assets are determined based on the fair values of the assets traded out unless there is any
conclusive evidence that the fair values of the assets traded in are more reliable. If the exchange of
non-monetary assets does not meet the above criteria, the book value of the assets traded out and relevant
taxes and surcharges payable are recognized as the initial cost of long-term equity investment traded in. For
long-term equity investment acquired from debt restructuring, the initial cost is determined based on the fair
value.
(2) Subsequent measurement and recognition of profit or loss
(1) Long-term equity investments of the Company in its subsidiaries are accounted for at cost method and
adjusted at equity method when preparing the consolidated financial statements. For long-term equity
investment which has no joint control or significant influence over the investee and no quotation available on
the active market and whose fair value cannot be reliably measured, the cost method is adopted for
accounting. For long-term equity investment which has joint control or significant influence over the
investee, the equity method is adopted for accounting. If the cost of initial investment is in excess of the
proportion of the fair value of the net identifiable assets in the investee when the investment is made, the
difference will not be adjusted to the initial cost of long-term equity investment; if the cost of initial
investment is in short of the proportion of the fair value of the net identifiable assets in the investee when the
investment is made, the difference will be included in the current profit and loss. Treatment for other changes
in owners' equity other than the net profit or loss of the investee: for other changes in owners' equity other


                                                       43
     司公限有份股心中游旅海东大南海                                                     2014   文全告报度年半年
than the net profit or loss of the investee accounted for at equity method, when the shareholding ratio is
unchanged, the Company calculates the proportion it shall enjoy or undertake according to such ratio, adjusts
the book value of long-term equity investment and increases or decreases capital reserves (other capital
reserves) at the same time. (2) Under the cost method, except for the actual price paid for acquisition of
investment or the cash dividends or profits contained in the consideration which have been declared but not yet
distributed, the Company recognizes the proportion it shall enjoy in the cash dividends or profits declared by
the investee as its investment income. Under the equity method, based on the net book profit of investee, the
Company shall consider: when the accounting policy and period adopted by the investee and the Company
are not the same, the financial statements of the investee shall be adjusted in accordance with the accounting
policy and period of the Company; the influence of the depreciation amount, amortization amount and
relevant asset impairment provision accrued based on the fair value of fixed assets and intangible assets of
the investee on acquisition of investment on the net profit of the investee; after making proper adjustments,
including the cancellation of unrealized internal transitions between the Company and the associates or joint
ventures, the Company shall recognize its shared or undertaken net profit or loss in the investee. When the
Company confirms that it should share losses of the investee, treatment shall be done in following sequence:
firstly, the book value of the long-term equity investment shall be reduced; secondly, where the book value is
insufficient to cover the share of losses, investment losses are recognized to the extent of book value of
long-term equity (note: mainly limited to those long-term equity with no clear recovery plan and that are not
prepared to be collected in the foreseeable future period) which form net investment in the investee in
substance and the book value of long-term equity shall be reduced; finally, after all the above treatments, if
the Company is still responsible for any additional liabilities in accordance with the provisions stipulated in
the investment contracts or agreements, accrued liabilities         are recognized and included into current
investment loss according to the obligations estimated to undertake. If the investee achieves profit in
subsequent periods, the treatment is in the reversed sequence described above, i.e. after deduct any
unrecognized investment losses, reduce book value of accrued liabilities recognized, restore book values of
other long-term equity which form net investment in the investee in substance, and of long-term equity
investment, and recognize investment income at the same time. When holding the investment, if the investee
is capable of providing consolidated financial statements, the profit or loss shall be measured based on the
net profit and other changes in equity recorded in the consolidated financial statements.
(3) Determination basis of joint control or significant influence over the investee
Joint control is the contractually agreed sharing of control over an economic activity, and exists only when
the strategic financial and operating decisions relating to the activity require the unanimous consent of the
parties sharing control. Where an investing enterprise and other parties do joint control over an investee, the
investee shall be their joint venture. Significant influence is the power to participate in the financial and
operating policy decisions of the investee but is not control or joint control over those polices. Where an
investing enterprise is able to have significant influences on an investee, the investee shall be its associate.


                                                        44
      司公限有份股心中游旅海东大南海                                                                  2014   文全告报度年半年
(4) Testing and provision method of impairment
For long-term equity investment measured at cost, with no quoted price in active market and whose fair
value can be reliably measured, its impairment loss is determined at the difference between its book value
and its present value.        For long-term equity investment which is measured at cost and has no quoted price in
the active market, and whose fair value cannot be reliably measured, the difference between its book value
and the present value of the future cash flows discounted at the prevailing market rate of return for a similar
financial asset is recognized as impairment loss. For long-term equity investment measured at cost other than
that mentioned above, if its book value is higher than the net assets it shares in the investee, the Company
shall consider the impairment in value. And the provision for such impairment shall be made at the difference
of the recoverable amount in short of the book value of the long-term equity investment. For other long-term
equity investments, if the measurement result shows that the recoverable amount of the long-term equity
investment is lower than its book value; such difference shall be recognized as impairment loss. Once
recognized, the impairment loss of long-term equity investment shall not be reversed.
14. Investment real estate
Nil
15. Fixed assets
(1) Recognition criteria of fixed assets
Fixed assets refer to the tangible assets held for the purpose of producing commodities, rendering services,
renting or business management with useful lives exceeding one year. Fixed assets will only be recognized
when all the following criteria are satisfied: (1) It is probable that the economic benefits relating to the fixed
assets will flow into the Company; and (2) The costs of the fixed assets can be measured reliably.
(2) Recognition criteria and valuation method for fixed assets under financing lease
Nil
(3) Method of provision for impairment of fixed assets
The fixed assets are depreciated at straight-line-method, and the depreciation rates are determined as follows
based on the category, estimated economic useful lives and estimated residual values (5% of original values):
            Category               Estimated useful life (Year)    Estimated residual rate           Annual depreciation rate
Buildings and constructions        20-40                                               5.00% 4.75-2.37

Machinery equipment                8-20                                                5.00% 11.87-4.75

Electronic equipment               5-16                                                5.00% 19-5.93

Transportation equipment           7-12                                                5.00% 13.57-7.91

Other equipment                    8                                                   5.00% 11.87

Improvement                        5                                                         19
(4) Testing and provision methods of impairment of fixed assets
The Company assesses whether there is any indication that fixed assets may be impaired at the end of each
period.



                                                                  45
      司公限有份股心中游旅海东大南海                                                   2014   文全告报度年半年
If there is any indication that fixed assets may be impaired, the Company estimates the recoverable amounts
of the assets. The recoverable amounts of fixed assets are the higher of their fair values less costs to disposal
and the present values of the estimated future cash flows of the assets.


If the recoverable amounts of fixed assets are lower than their book values, the book values of the assets are
written down to their recoverable amounts. The write-downs are recognized as impairment losses and
included to the current profit and loss. Provisions for impairment of the assets are made accordingly.


After impairment losses are recognized, the depreciation charges for the impaired fixed assets are adjusted in
future periods to amortize their revised book values (less their estimated net residual values) over their
remaining useful lives on a systematic basis.


The impairment loss on fixed assets will not be reversed in subsequent accounting period once it is
recognized.


If any indication suggests that a fixed asset may be impaired, the Company estimates the recoverable amount
of the individual asset. If it is difficult to estimate the recoverable amount of the individual asset, the
Company estimates the recoverable amount of the asset group that the individual asset belongs to.
(5) Other explanation
Nil


16. Construction in progress
(1) Category of construction in progress
Construction in progress is measured on an individual basis.
(2) Criteria and timing for conversion of construction in progress into fixed assets
The initial book values of the fixed assets are stated at total expenditures incurred before construction in
progress reaching the working condition for their intended use. For construction in progress that has reached
working conditions for its intended use but for which the completion of settlement has not been handled, it
shall be transferred into fixed assets at the estimated value according to the project budget, construction price
or actual cost, etc. from the date when it reaches the working conditions for its intended use. And the fixed
assets shall be depreciated in accordance with the Company’s policy on fixed asset depreciation. Adjustment
shall be made to the originally and provisionally estimated value based on the actual cost after the
completion of settlement is handled, but depreciation already provided will not be adjusted.
(3) Testing and provision methods of impairment of construction in progress
The Company assesses whether there is any indication that construction in progress may be impaired at the
end of each period.



                                                       46
     司公限有份股心中游旅海东大南海                                                     2014   文全告报度年半年
If there is any indication that construction in progress may be impaired, the Company estimates its
recoverable amounts. If any indication suggests that one construction in progress may be impaired, the
Company estimates the recoverable amount of the individual construction in progress. If it is difficult to
estimate the recoverable amount of the individual construction in progress, the Company estimates the
recoverable amount of the asset group that the individual construction in progress belongs to.


The recoverable amount of construction in progress is the higher of its fair value less costs to disposal and
the present value of the estimated future cash flows of the construction in progress.


If the recoverable amount of construction in progress is lower than its book values, the book value of the
construction in progress is written down to its recoverable amount. The write-down is recognized as
impairment loss and included in current profit and loss. Provision for impairment of the construction in
progress is made accordingly.


The impairment loss on construction in progress will not be reversed in subsequent accounting period once it
is recognized.
17. Borrowing costs
(1) Recognition principles of capitalization of borrowing costs
Borrowing costs include the interest of borrowings, the amortization of discount or premium, auxiliary
expenses, exchange differences incurred by foreign currency borrowings, etc.


The borrowing costs incurred to the Company and directly attributable to the acquisition and construction or
production of assets eligible for capitalization should be capitalized and recorded into asset costs; other
borrowing costs should be recognized as costs according to the amount incurred and be included into current
profit and loss.


Assets eligible for capitalization refer to fixed assets, investment property, inventories and other assets which
may reach their intended use or sale status only after long-time acquisition and construction or production
activities.


Borrowing costs may be capitalized only when all the following conditions are met at the same time:
(1) Asset disbursements, which include those incurred by cash payment, the transfer of non-cash assets or
the undertaking of interest-bearing debts for acquiring and constructing or producing assets eligible for
capitalization, have already been incurred;
(2) Borrowing costs have already been incurred;
(3) The acquisition and construction or production activities which are necessary to prepare the assets for
their intended use or sale have already been started.

                                                        47
     司公限有份股心中游旅海东大南海                                                    2014   文全告报度年半年
(2) Capitalization period of borrowing costs
Capitalization period refers to the period from the beginning of capitalization to the cease of capitalization,
excluding the period of capitalization suspension of borrowing costs.


Capitalization of borrowing costs should be ceased when the acquired and constructed or produced assets
eligible for capitalization have reached their intended use or sale condition.


When some projects among the acquired and constructed or produced assets eligible for capitalization are
completed and can be used separately, the capitalization of borrowing costs of such projects should be
ceased.


If all parts of the acquired and constructed or produced assets are completed but the assets cannot be used or
sold externally until overall completion, the capitalization of borrowing costs should be ceased at the time of
overall completion of the said assets.
(3) Period of capitalization suspension
If the acquisition and construction or production activities of assets eligible for capitalization are interrupted
abnormally and this condition lasts for more than three months, the capitalization of borrowing costs should
be suspended; if the interruption is necessary for the acquisition and construction or production to prepare
the assets for their intended use or sale, the capitalization of borrowing costs should continue. The borrowing
costs incurred during interruption are recognized in the current profit and loss, and the capitalization of
borrowing costs continues after the restart of the acquisition and construction or production activities of the
assets.
(4) Calculation method of capitalization amount of borrowing costs
As for special borrowings borrowed for acquiring and constructing or producing assets eligible for
capitalization, borrowing costs of special borrowing actually incurred in the current period less the interest
income of the loans unused and deposited in bank or return on temporary investment should be recognized as
the capitalization amount of borrowing costs.


As for general borrowings used for acquiring and constructing or producing assets eligible for capitalization,
the interest of general borrowings to be capitalized should be calculated by multiplying the weighted average
of asset disbursements of the part of accumulated asset disbursements exceeding special borrowings at the
end of every month by the capitalization rate of used general borrowings. The capitalization rate is calculated
by weighted average interest rate of general loans.


As for borrowings with discount or premium, the to-be-amortized discount or premium in each accounting
period should be recognized by effective interest rate method, and the interest for each period should be
adjusted.

                                                       48
      司公限有份股心中游旅海东大南海                                                  2014   文全告报度年半年
18. Biological assets
Nil
19. Oil-and-gas assets
Nil
20. Intangible assets
(1) Measurement method of intangible assets
1)    The Company initially measures intangible assets at cost on acquisition;
The cost of an externally acquired intangible asset comprises its purchase price, related taxes and surcharges
and any other directly attributable expenditure of preparing the asset for its intended use. If the deferred
payment of purchase price of intangible assets exceeding normal credit terms is substantially of financial
nature, the cost of intangible assets should be recognized at the present value of the purchase price.


The intangible assets which the debtor uses to pay back the debt in debt restructuring should be recognized at
the fair value of the intangible assets. The difference between the book value of restructured debts and the
fair value of intangible assets used to pay back the debt should be recorded into the current profit and loss;


On the premise that non-monetary assets trade is of commercial nature and the fair value of the assets traded
in or out can be measured reliably, the intangible assets traded in by the trade of non-monetary assets should
be recognized at the fair value of the assets traded out, unless any unambiguous evidence indicates that the
fair value of the assets traded in is more reliable; as to the non-monetary assets trade not meeting the
aforesaid premise, the book value of the assets traded out and related taxes payable should be recognized as
the cost of the intangible assets traded in, with gains or losses not recognized.


The intangible assets obtained by the absorption and merger of an enterprise under common control are
recognized at the book value of the merged enterprise; the intangible assets obtained by the absorption and
merger of an enterprise not under common control are recognized at the fair value.


Costs of intangible assets developed internally and independently include: the costs of materials and labor
services used to develop the intangible assets, the registration fee, the amortization of other patents and
franchise used in the process of development, the interest of capitalization, and other direct expenses for
preparing the intangible assets for their intended use.
2)    Subsequent measurement
The useful life of intangible asset is analyzed on acquisition.


As for intangible assets with limited useful lives, straight-line amortization method is adopted in the period
when the intangible assets generate economic benefit for enterprise; if the period when the intangible assets
generate economic benefit for enterprise cannot be forecasted, the intangible assets should be deemed as


                                                          49
      司公限有份股心中游旅海东大南海                                                             2014   文全告报度年半年
those with indefinite useful lives and should not be amortized.
(2) Estimation of useful life of intangible assets with limited useful life
The useful lives and amortization method of intangible assets with limited useful lives are reviewed at the end of
each period.
Upon review, the useful lives and amortization method of the intangible assets as at the end of the year are not
different from those estimated before.
            Item                Estimated useful life                                    Basis
Land use right              50 years                    Validity term of land use certificate
(3) Determination basis of intangible assets with indefinite useful lives
As at the balance sheet date, the Company has no intangible assets with indefinite useful lives.
(4) Provision for impairment of intangible assets
If the intangible asset with definite useful life has any obvious impairment sign, impairment test should be
conducted at the end of the period.


As to the intangible asset with indefinite useful life, impairment test should be conducted at the end of each
period.


Impairment test is conducted for intangible assets to estimate their recoverable amounts. If any indication suggests
that an intangible asset may be impaired, the Company estimates the recoverable amount of such individual asset.
If it is difficult to estimate the recoverable amount of the individual asset, the Company estimates the recoverable
amount of the asset group that the individual asset belongs to.


The recoverable amounts of intangible assets are the higher of their fair values less costs to disposal and the
present values of the estimated future cash flows of the intangible assets.


If the recoverable amounts of intangible assets are lower than their book values, the book values of the assets are
written down to their recoverable amounts. The write-downs are recognized as impairment losses and included in
the current profit and loss. Provisions for impairment of the intangible assets are made accordingly.


After impairment losses are recognized, the depletion or amortization charges for the intangible assets are adjusted
in future periods to depreciate their revised book values (less their estimated net residual values) over their
remaining useful lives on a systematic basis.


The impairment loss on intangible assets will not be reversed in subsequent accounting period once it is
recognized.
(5) Detail criteria on classification of research stage and development stage for internal R&D projects of the
Company
Nil



                                                           50
      司公限有份股心中游旅海东大南海                                                  2014   文全告报度年半年
(6) Calculation of expenditure for internal R&D projects
Nil
21. Long-term deferred expenses
Long-term deferred expenses are various expenses already incurred, which shall be amortized over current and
subsequent periods with the amortization period exceeding one year.
1. Amortization method
Long-term deferred expenses are evenly amortized over the beneficial period.
2. Amortization period
                         Item                               Amortization period
Roof waterproofing                                                3 years
Exterior wall coatings                                            4 years
22. Assets transfer with buy-back conditions attached
Nil
22. Accrued liabilities
When the Company is involved in proceedings, debt guarantees, onerous contracts and reorganization events,
if such events may require delivery of assets or rendering of services in the future and the amounts of such
events can be reliably measured, accrued liabilities are recognized.
(1) Recognition criteria of accrued liabilities
The Company recognizes the accrued liabilities when obligations related to contingencies satisfy all the
following conditions:
(1) This obligation is a present obligation of the Company;
(2) The performance of such obligation is likely to result in outflow of economic benefits from the
Company; and
(3) The amount of the obligation can be measured reliably.
(2) Measurement method of accrued liabilities
The accrued liabilities of the Company are initially measured as the best estimate of expenses required for
the performance of relevant present obligations.


The Company, when determining the best estimate, has had a comprehensive consideration of risks with
respect to contingencies, uncertainties and the time value of money. If the time value of money is significant,
the best estimate shall be determined after discounting the relevant future outflow of cash.


The best estimate shall be accounted as follows in different circumstance:


If there is continuous range (or interval) for the necessary expenses, and probabilities of occurrence of all the
outcomes within this range are equal, the best estimate shall be determined at the average amount of upper
and lower limits within the range.


                                                       51
       司公限有份股心中游旅海东大南海                                                   2014   文全告报度年半年
If there is no continuous range (or interval) for the necessary expenses, or probabilities of occurrence of all
the outcomes within this range are unequal despite such a range exists, the outcomes within this range are
unequally likely to occur, in case that the contingency involves a single item, the best estimate shall be
determined at the most likely outcome; if the contingency involves two or more items, the best estimate
should be determined according to all the possible outcomes with their relevant probabilities.


When all or part of the expenses necessary for the settlement of an estimated liability of the Company is
expected to be compensated by a third party, the compensation should be separately recognized as an asset
only when it is virtually certain that the compensation will be received. The amount recognized for the
compensation should not exceed the book value of the estimated liability.
24. Share-based payment and equity instruments
(1) Type of share-based payment
Nil


(2) Recognition method for fair-value of equity instrument
Nil


(3) Basis of best estimation for vesting equity instrument
Nil


(4) Relevant accounting treatment for implementation, amendment and termination of shares payment
plan
Nil
25. Shares of the Company buy-back
Nil
26. Revenue
(1) Detail recognition criteria for sales of goods
(1) Overall recognition and measurement principles of revenue from sales of goods: when the Company has
transferred significant risks and rewards of ownership of the goods to the buyer; the Company retains neither
continuous management rights associated with ownership of the goods sold nor effective control over the goods
sold; the relevant amount of revenue can be measured reliably; it is highly likely that the economic benefits
associated with the transaction will flow into the enterprise; and the relevant amount of cost incurred or to be
incurred can be measured reliably, revenue from sales of goods shall be recognized. (2) Detail recognition criteria
for the Company after the customer order is received and the manger of sales department confirms and verifies the
terms of payment, the manager places advanced orders and records them in the Qianliama Sales Management
System; most customers will pay advance payment or the sales department provides guarantees; the receptionists,
according to the advanced orders of the sales department, review relevant data recorded in the computer system,


                                                        52
      司公限有份股心中游旅海东大南海                                                     2014   文全告报度年半年
and handle check-in formalities after the customers arrive, collect deposit and record relevant information into the
computer system. Each consumption department, after checking with the receptionists, deals with the
consumption sign bills and make pre-settlements in the reception desk. The evening reviewer of reception desk
reviews the consumption bills every night and makes verifications in the computer system, and prepares daily
business report containing each items of income and detailed report of accounts receivable, and submits the
reports to the finance department, which recognizes the revenue after examining the daily reports.
(2) Recognition basis of revenue from transferring the use right of assets
The economic benefits related to the transaction may flow into entities and the amount of revenue can be reliably
measured. The amount of revenue from transferring use right of assets is recognized as follows in different
circumstances:
(1) The amount of interest income is determined by the time and effective interest rate for others to use the
monetary funds of the Company.
(2) The amount of revenue from usage is determined according to the charging time and method as agreed in
relevant contract or agreement.
(3) Specific recognition criteria of revenue from rendering of service
When the outcome of a service transaction can be estimated reliably on the balance sheet date, revenue from
rendering of service shall be recognized at the percentage-of-completion method. The percentage of completion of
rendering of service is determined based on the proportion of services that is already rendered in the total amount
of service that is supposed to be rendered.


The total amount of revenue from rendering of service is determined at the contract or agreement price received or
receivable, unless such price received or receivable is unfair. The revenue from rendering of service for the current
period shall be recognized at the total amount of revenue from rendering of service, multiplying the progress of
completion and deducting the revenue from rendering of service accumulated and recognized in the previous
accounting period. Meanwhile, the costs of rendering of service for the current period shall be carried forward at
the total estimated costs of rendering of service, multiplying the progress of completion and deducting the costs of
rendering of service accumulated and recognized in the previous accounting period.


When the outcome of a service transaction cannot be estimated reliably on the balance sheet date, revenue shall be
treated as follows:
(1) If the service costs incurred are expected to be fully compensated, revenues from rendering of service are
recognized at the service costs incurred, and the service costs should be carried forward by the same amount.
(2) If the service costs incurred are not expected to be compensated, revenues from rendering of service are not
recognized and the service costs incurred are included in the current profit and loss.
(4) While income from labor service provided and income of construction contract recognized by
percentage-of-completion method, basis and methods for recognize the completion progress of contract
Nil




                                                         53
     司公限有份股心中游旅海东大南海                                                      2014    文全告报度年半年
27. Government subsidies
 (1) Types
Government subsidies are monetary assets and non-monetary assets acquired free of charge by the Company
from the government. Government subsidies are classified into government subsidies related to assets and
government subsidies related to income.
(2) Accounting policy
Government subsidies related to acquisition and construction of fixed assets, intangible assets and other
long-term assets are recognized as deferred income, and included in non-operating income by stages within
the useful life of the assets acquired and constructed;


If government subsidies related to income are used to compensate the enterprise’s relevant expenses or losses
in future periods, such government subsidies should be recognized as deferred income on acquisition and be
included into the current non-operating income in the period of recognizing relevant expenses; if government
subsidies related to income are used to compensate the enterprise’s relevant expenses or losses incurred, such
government subsidies are directly included into the current non-operating income on acquisition.
28. Deferred income tax assets and deferred income tax liabilities
 (1) Basis of recognition of deferred income tax assets
Deductible temporary differences are recognized as deferred income tax assets to the extent that it shall not exceed
future taxable income possibly available to be against the deductible temporary difference. Deductible temporary
differences are recognized as deferred income tax liabilities except in special circumstances.
(2) Basis of recognition of deferred income tax liability
Special circumstances in which deferred income tax assets or deferred income tax liabilities shall not be
recognized include: the initial recognition of goodwill; other transactions or matters excluding business
combinations, which affect neither accounting profits nor the taxable income (or deductible losses) when
occurred. If the Company has the legal right of netting and intends to settle in net amount or to obtain assets
and discharge liabilities simultaneously, the income tax assets and income tax liabilities of the Company for
the current period shall be presented based on the net amount after offset. When the Company has the legal
rights to balance income tax assets and income tax liabilities in current period with net settlement, and
deferred income tax assets and deferred income tax liabilities are related to the income tax which imposed on
the same taxpaying subject by the same tax collection authority or to different tax paying subjects, but, in
each important future period in connection with the reverse of deferred income tax assets and liabilities, the
involved tax paying subject intends to balance income tax assets and liabilities in current period with net
settlement at the time of obtaining assets and discharging liabilities, deferred income tax assets and deferred
income tax liabilities of the Company shall be presented based on the net amount after offset.




                                                          54
      司公限有份股心中游旅海东大南海                                                  2014   文全告报度年半年
29. Operating lease, financing lease
 (1) Accounting of operating lease
Accounting of leased assets: Lease fees paid by the Company for leased asset shall be amortized at
straight-line method over the whole lease period (including rent-free period) and shall be included in the
current expenses. Initial direct costs related to lease transactions paid by the Company shall be included in
the current expenses.
If the expense related to the lease which shall be paid by the Company is assumed by the lessor of the asset,
such expenses shall be deducted from total lease fees, and residual lease fees shall be amortized over the
lease period and included in the current expenses.
Accounting of leasing assets: Lease fees received by the Company from leasing assets shall be amortized at
straight-line method over the whole lease period (including rent-free period), and shall be recognized as lease
income. Initial direct costs related to lease transactions paid by the Company shall be included in the current
expenses; if the amount is large, it shall be capitalized, and shall be included in the current income by stages
within the whole lease period on same basis for recognition of lease income.
If the expenses related to the lease which shall be paid by the lessee are borne by the Company, such
expenses shall be deducted from total lease income by the Company, and residual lease fees shall be
amortized over the lease period.
(2) Accounting of financing lease
Nil
(3) Accounting of leaseback
Nil


30. Assets held for sales
(1) Recognition of assets held for sales
Nil


(2) Accounting treatment of assets held for sales
Nil
31. Assets securitization
Nil
32. Hedge accounting
Nil
33. Adjustments for changes in principal accounting policies and estimates
Whether the principal accounting policies and estimates have changed in reporting period or not
□ Yes √ No
Nil
(1) Adjustments for changes in accounting policies
Whether have changes in accounting policies or not


                                                       55
      司公限有份股心中游旅海东大南海                                                                      2014   文全告报度年半年
□ Yes √ No
Nil
(2) Adjustments for changes in accounting estimates
Whether have changes in accounting estimates or not
□ Yes √ No
Nil
33. Correction of accounting errors in previous period
Whether correction of accounting errors in previous period occurred in reporting period or not
□ Yes √ No
Nil
(1) Retrospective restatement method
Whether has accounting errors of previous period with retrospective restatement method in reporting period or not
□ Yes √ No
Nil
(2) Prospective application method
Whether has accounting errors of previous period with prospective application method in reporting period or not
□ Yes √ No
Nil
35. Other principal accounting policies and estimates as well as formulation method of financial statement
Nil

V. Taxation
1. Major tax types and tax rates applicable to the Company
               Taxation                             Basis of tax assessment                                      Tax rate

Value added tax (VAT)                   Revenue from sale of goods                        3%

Business tax                            Operating income                                  5%

Urban maintenance and construction tax Turnover tax                                       7%

Education surcharge                     Turnover tax                                      3%

Local education surcharge               Turnover tax                                      2%

                                        Remaining value after deducting 30% of the
Property tax                                                                              1.2%
                                        original value of houses (including land price)

Land use tax                            Land area                                         18 Yuan/   ㎡
Enterprise income tax                   Income tax payable                                25%

Income tax rates implemented by vary companies and branch plants
Nil


2. Tax preference and approvals

Nil




                                                               56
      司公限有份股心中游旅海东大南海                                                   2014   文全告报度年半年
3. Other explanation

Nil


VI. Business combination and consolidated financial statements

1. Subsidiary

Nil


2. Operational entity with controlling rights form through entrust operation or accepting leases from
special purpose entity

Nil


3. Explanation on changes of consolidation scope

Explanation on changes of consolidation scope

Nil
□ Applicable √ Not applicable


4. Subject newly in consolidation scope and subject excluding the consolidation scope in reporting period

Nil


5. Enterprise consolidation under the same control in reporting period

Nil


6. Enterprise consolidation not under the same control in reporting period

Nil


7. Subsidiary reduced due to the equity with control losses sold in reporting period

Nil


8. Counter purchase occurred in reporting period

Nil


9. Consolidation by merger in reporting period

Nil


                                                     57
        司公限有份股心中游旅海东大南海                                                                 2014   文全告报度年半年
10. Discount rate on main statement items of overseas operational entity

Nil

VII. Notes to the main items of financial statements

1. Monetary funds

                                                                                                                              In RMB

                                              Closing amount                                      Opening amount
            Item             Foreign currency Conversion                          Foreign currency Conversion
                                                               RMB amount                                           RMB amount
                                 amount            rate                               amount           rate

Cash                                --              --              542,076.87          --               --               613,560.04

RMB                                 --              --              542,076.87          --               --               613,560.04

Bank deposit                        --              --             6,149,325.27         --               --             6,209,144.39

RMB                                 --              --             6,149,325.27         --               --             6,209,144.39

Other monetary funds                --              --                                  --               --                12,981.03

RMB                                 --              --                                  --               --                12,981.03

Total                               --              --             6,691,402.14         --               --             6,835,685.46

Explanation separately on accounts with use restriction, account save overseas and accounts has potential collected risk that due to
pledge, mortgage or frozen
Nil

2. Transactional financial assets
Nil


3. Notes receivables

Nil

4. Dividend receivables
Nil

5. Interests receivables
Nil


6. Accounts receivable

 (1) Accounts receivable by type

                                                                                                                              In RMB

            Type                                Closing amount                                        Opening amount

                                    Book balance               Bad debt reserve           Book balance              Bad debt reserve


                                                                  58
        司公限有份股心中游旅海东大南海                                                                            2014      文全告报度年半年
                                                                               Proportio
                                    Amount      Proportion        Amount                     Amount         Proportion         Amount         Proportion
                                                                                  n
Accounts receivable with
large single amount and
                               1,339,625.51        24.28% 1,339,625.51 100.00% 1,339,625.51                      24.14% 1,339,625.51            100.00%
accrued for provision of bad
debt on a single basis

Accounts receivable accrued for provision of bad debt by portfolio

Accounts receivable accrued
for provision of bad debt by 4,178,579.57          75.72%        699,431.52     16.74% 4,208,809.28              75.86%        699,431.52        16.52%
portfolio

Portfolio subtotal             4,178,579.57        75.72%        699,431.52     16.74% 4,208,809.28              75.86%        699,431.52        16.52%

Accounts receivable with
insignificant single amount
                                                                                                     0.00         0.00%              0.00           0.00%
but accrued for provision of
bad debt on a single basis

Total                          5,518,205.08            --       2,039,057.03       --      5,548,434.79           --         2,039,057.03         --

Explanation on type of account receivable
Nil

Accounts receivable with large single amount and accrued for provision of bad debt on a single basis at
period-end
√Applicable      □Not applicable
                                                                                                                                              In RMB

             Accounts receivable                 Book balance             Bad debt reserve      Accrual proportion             Reason for accrual

                                                                                                                             Unable to recover for
Sanya Power Supply Company                                  773,409.98             773,409.98                    100.00%
                                                                                                                             the long aging

Hainan Hong Kong & Macao                                                                                                     Unable to recover for
                                                            464,563.21             464,563.21                    100.00%
International Tourism Ltd.                                                                                                   the long aging

                                                                                                                             Unable to recover for
Reception of Sanya Municipal                                101,652.32             101,652.32                    100.00%
                                                                                                                             the long aging

Total                                                   1,339,625.51            1,339,625.51                --                         --

Accounts receivable accrued for provision of bad debt by aging analysis method in portfolio
√Applicable      □Not applicable
                                                                                                                                              In RMB

                                             Closing amount                                                 Opening amount
         Age                   Book balance                                                     Book balance
                                                                Bad debt reserve                                                 Bad debt reserve
                             Amount           Proportion                                     Amount              Proportion
Within 1 year

Including:                     --                 --                     --                     --                     --               --



                                                                         59
        司公限有份股心中游旅海东大南海                                                                 2014   文全告报度年半年
1 month to 12
                            2,530,143.08      60.55%                                  2,560,372.79       60.83%
months

Subtotal of within
                            2,530,143.08      60.55%                                  2,560,372.79       60.83%
1 year

1-2 years                     857,441.57      20.52%                   42,872.08       857,441.57        20.37%            42,872.08

2-3 years                      22,659.00       0.54%                    3,398.85        22,659.00         0.54%               3,398.85

Over 3 years                  768,335.92      18.39%                653,160.59         768,335.92        18.26%          653,160.59

3-4 years                     108,094.91       2.59%                   27,023.73       108,094.91         2.57%            27,023.73

4-5 years                      68,208.29       1.63%                   34,104.14        68,208.29         1.62%            34,104.14

Over 5 years                  592,032.72      14.17%                592,032.72         592,032.72        14.07%          592,032.72

Total                       4,178,579.57       --                   699,431.52        4,208,809.28       --              699,431.52

Account receivables accrued for provision of bad debt by balance percentage method in portfolio

□ Applicable √ Not applicable
Account receivables accrued for provision of bad debt by other method in portfolio
□ Applicable √ Not applicable
Accounts receivable with insignificant single amount but accrued for provision of bad debt on a single basis at
period-end
□ Applicable √ Not applicable

(2) Accounts receivable switch-back or collected in reporting period

Nil


(3) Accounts receivable actually verified in reporting period
Nil


(4) Amount due from shareholder holding more than 5% (inclusive) voting shares of the Company among
ending balances

                                                                                                                               In RMB

                                                     Closing amount                                  Opening amount
            Company name                                        Provision for bad                                Provision for bad
                                         Book balance                                   Book balance
                                                                       debts                                          debts

Luoniushan Co., Ltd.                                16,615.70                  0.00               19,977.00                       0.00

Total                                               16,615.70                  0.00               19,977.00                       0.00


 (5) Top five accounts receivable

                                                                                                                               In RMB



                                                                  60
        司公限有份股心中游旅海东大南海                                                                 2014     文全告报度年半年
                                               Relationship with                                                 Proportion in total
               Company name                                             Amount             Term
                                                 the Company                                                  accounts receivable (%)

Sanya Haiyuan Hotel Management Ltd.            Non-related party        2,986,487.99 Within 1 year                             54.12%

Sanya Power Supply Company                     Non-related party          775,304.98 Within 5 years                            14.05%

Hainan Hong Kong & Macao International
                                               Non-related party          464,563.21 Within 5 years                              8.42%
Tourism Ltd.

Hainan Haiyuan Aoda Travel Agency Co.,
                                               Non-related party          150,065.00 Within 1 year                               2.72%
Ltd. Chengdu Branch

Hainan Chenda International Tourism Ltd.       Non-related party          107,640.00 Within 1 year                               1.95%

Total                                                  --               4,484,061.18            --                             81.26%


(6) Account receivable from related parties

                                                                                                                                In RMB

                                                                                                      Proportion in total accounts
         Company name           Relationship with the Company                Amount
                                                                                                                  receivable

Luoniushan Co., Ltd.           First majority shareholder                              16,615.70                                0.30%

Total                                           --                                     16,615.70                                0.30%


(7) De-recognition of account receivable

Nil


(8) Securitization with object of account receivables, listed the amount of assets and liability that continues
to involved

Nil


7. Other receivables

 (1) Other receivables by type

                                                                                                                                In RMB

                                                 Closing amount                                       Opening amount

            Type                   Book balance               Bad debt reserve          Book balance                 Bad debt reserve

                                               Proportio                 Proportio                   Proporti                    Proportio
                                 Amount                      Amount                    Amount                       Amount
                                                  n                         n                          on                           n
Other receivables with large
single amount and accrued      77,363,143.31     95.16% 77,363,143.31 100.00% 77,363,143.31 94.93% 77,363,143.31 100.00%
for provision of bad debt on



                                                                   61
        司公限有份股心中游旅海东大南海                                                                        2014   文全告报度年半年
a single basis

Other receivables accrued for provision of bad debt by portfolio

Other receivables accrued
for provision of bad debt by     3,932,648.27         4.84%        835,627.92    21.25% 4,134,679.28          5.07%       835,627.92      20.21%
portfolio

Portfolio subtotal               3,932,648.27         4.84%        835,627.92    21.25% 4,134,679.28          5.07%       835,627.92      20.21%

Total                           81,295,791.58         --      78,198,771.23        --    81,497,822.59         --       78,198,771.23      --

Explanation on type of other receivables

Nil
Other receivables with large single amount and accrued for provision of bad debt on a single basis at period-end
√Applicable       □Not applicable
                                                                                                                                        In RMB

        Other receivables                Book balance                Bad debt amount           Accrual proportion               Reasons

Hainan Dadonghai Tourism
                                               54,767,945.15               54,767,945.15                      100.00% Unable to recover
Co., Ltd.

Cash dividends distributed in
                                               16,899,000.00               16,899,000.00                      100.00% Unable to recover
1994-1996

Hainan Hong Kong & Macao
                                                4,145,704.16                4,145,704.16                      100.00% Unable to recover
International Tourism Ltd.

Guangdong Jinma Tourism
                                                1,200,494.00                1,200,494.00                      100.00% Unable to recover
Ltd.

Shareholder custody fee                           350,000.00                    350,000.00                    100.00% Unable to recover

Total                                          77,363,143.31               77,363,143.31               --                          --

Other receivables accrued for provision of bad debt by aging analysis method in portfolio
√Applicable       □Not applicable
                                                                                                                                        In RMB

                                               Closing amount                                               Opening amount

             Age                       Book balance                                           Book balance
                                                                   Bad debt reserve                                        Bad debt reserve
                                                        Proporti                                             Proporti
                                      Amount                                                 Amount
                                                          on                                                   on
Within 1 year

Including:

1-12 months                             1,094,245.61 27.82%                                  1,296,276.62 31.35%

Subtotal of within 1 year               1,094,245.61 27.82%                                  1,296,276.62 31.35%

1-2 years                               2,107,235.61 53.58%                                  2,107,235.61 50.96%                    105,361.77

2-3 years                                      288.70      0.01%                                  288.70      0.01%                        43.31

Over 3 years                             730,878.35 18.58%                                    730,878.35 17.68%


                                                                      62
        司公限有份股心中游旅海东大南海                                                                 2014    文全告报度年半年
3-4 years                                  707.36    0.02%               176.85               707.36    0.02%                       176.85

4-5 years                                  250.00    0.01%               125.00               250.00    0.01%                       125.00

Over 5 years                           729,920.99 18.56%              729,920.99           729,920.99 17.65%                   729,920.99

Total                                3,932,648.27     --                              4,134,679.28       --                    835,627.92

Other account receivables accrued for provision of bad debt by balance percentage method in portfolio

□ Applicable √ Not applicable
Other account receivables accrued for provision of bad debt by other method in portfolio

□ Applicable √ Not applicable
Other receivables with insignificant single amount but accrued for provision of bad debt on a single basis at
period-end
□ Applicable √ Not applicable


(2) Other accounts receivable switch-back or collected in reporting period

Nil


(3) Other accounts receivable actually verified in reporting period

Nil


(4) Amount due from shareholders holding more than 5% (inclusive) voting shares of the Company among
other receivables as at December 31, 2012.

Nil


(5) Nature or content of other receivables with significant amount

Nil


(6) Top five other receivables

                                                                                                                                  In RMB

                                      Relationship with                                                       Proportion in total other
            Company name                                        Amount                     Term
                                        the Company                                                                 receivables

Hainan Dadonghai Tourism Co.,
                                     Non-related party          54,767,945.15 Over 5 years                                        67.37%
Ltd.

Cash dividends distributed in
                                     Non-related party          16,899,000.00 Over 5 years                                        20.79%
1994-1996

Hainan Hong Kong & Macao
                                     Non-related party           4,145,704.16 Over 5 years                                         5.10%
International Tourism Ltd.

Sanya Haiyuan Hotel Management Non-related party                 2,808,368.63 Over 1 year                                          3.45%


                                                                 63
        司公限有份股心中游旅海东大南海                                                                 2014   文全告报度年半年
Ltd.

Guangdong Jinma Tourism Ltd.     Non-related party              1,200,494.00 Over 5 years                                         1.48%

                Total                    --                    79,821,511.94             --                                       98.19%


(7) Other account receivable from related parties

Nil


(8) De-recognition other account receivable

Nil


(9) Securitization with object of other account receivables, listed the amount of assets and liability that
continues to involved

Nil


(10) Government subsidy recognized based on account receivable at period-end

Nil


8. Prepayments

(1) Prepayments by aging

                                                                                                                              In RMB

                                 Closing amount                                                 Opening amount
        Age
                               Amount                        Proportion                       Amount                     Proportion

Within 1 year                                 134,694.62        100.00%                                  201,053.21         100.00%

Total                                         134,694.62         --                                      201,053.21          --

Explanation on prepayment

Nil

(2) Top five prepayments

                                                                                                                              In RMB

                                              Relationship
                Company name                    with the              Amount                  Time            Reason for unsettlement
                                               Company

                                                                                                              Without render an
Sanya Yangfan Hardware Firms              Non-related                     48,597.00 1-2 years
                                                                                                              account



                                                               64
        司公限有份股心中游旅海东大南海                                                                   2014   文全告报度年半年
Haina Branch of Sunshine Property &                                                                             Without render an
                                               Non-related                24,602.62 Within 1 year
Casualty Insurance Company                                                                                      account

                                                                                                                Without render an
Sanya Zhiyuan Furnishings Store                Non-related                14,250.00 1-2 years
                                                                                                                account

Hainan Jian Automatic Fire Engineering Co.,                                                                     Without render an
                                               Non-related                12,000.00 Within 1 year
Ltd.                                                                                                            account

                                                                                                                Without render an
Sanya Morning Post                             Non-related                10,800.00 Within 1 year
                                                                                                                account

Total                                                  --             110,249.62                --                         --

Explanation for major unit prepayment
Nil


(3) Amount due from shareholder holding more than 5% (inclusive) voting shares of the Company among
ending balances of prepayment from related parties

Nil


(4) Explanation on prepayment

Nil


9. Inventories

 (1) Classification of inventories

                                                                                                                                  In RMB

                                          Closing amount                                         Opening amount
          Item                              Provision for                                            Provision for
                        Book balance                         Book value        Book balance                               Book value
                                            depreciation                                             depreciation

Raw materials              1,019,413.50        747,043.57       272,369.93       1,028,333.60            748,096.33         280,237.27

Stock commodities             22,771.38         11,102.41        11,668.97           22,771.38            11,102.41             11,668.97

Food and drinks               15,142.68                          15,142.68           11,486.19                                  11,486.19

Fuel                          15,600.00                          15,600.00           13,941.80                                  13,941.80

Total                      1,072,927.56        758,145.98       314,781.58       1,076,532.97            759,198.74         317,334.23


(2) Inventory depreciation reserve

                                                                                                                                  In RMB

        Category of      Book balance at                                    Decreased in the Period                  Book balance at
                                              Accrual in the Period
        inventories        period-begin                                   Reversal            Write-off                period-end


                                                                65
        司公限有份股心中游旅海东大南海                                                                      2014    文全告报度年半年
Raw materials                       748,096.33                                                           1,052.76              747,043.57

Stock commodities                    11,102.41                                                                                     11,102.41

Total                               759,198.74                                                           1,052.76              758,145.98


3) Particular about inventory depreciation reserve

Nil


10. Other current assets

Nil
11. Financial assets available for sale
Nil
12. Held-to-maturity investment
Nil
13. Long-term account receivable
Nil
14. Investment for affiliated enterprise and joint ventures
Nil


15. Long-term equity investment

(1) Details of long-term equity investment

                                                                                                                                     In RMB

                                                                                                        Explanation
                                                                                              Proport                                Impai
                                                            Inc                                           on the
                                                                                              ion of                                 rment
                                                            rea                                         incongruity
                                                                                 Proportio voting                                    provi Cash
                                                            se/                                          in share
                    Calculati                                                    n of share rights                                    sion bonu
                                Investment    Balance at    de     Balance at                             holding     Impairment
Invested company       on                                                        holding in     in                                    of     s this
                                   cost      period-begin cre period-end                                proportion     provision
                    method                                                       invested investe                                    accrui perio
                                                            ase                                         and voting
                                                                                 company        d                                     ng       d
                                                            (+,                                         proportion
                                                                                              compan                                  this
                                                            -)                                          in invested
                                                                                                y                                    year
                                                                                                         company

Shenzhen Difu
Investment &        Cost        5,000,000.00 5,000,000.00         5,000,000.00     14.28%                             5,000,000.00
Development Ltd.

Hubei Jingsha
Dadonghai Club      Cost        4,566,207.42 4,566,207.42         4,566,207.42     91.00%                             4,566,207.42
Ltd.

Sanya Shun’an
                    Cost        5,150,166.84 5,150,166.84         5,150,166.84     70.00%                             5,150,166.84
Casino


                                                                    66
        司公限有份股心中游旅海东大南海                                                                    2014   文全告报度年半年
Haikou
Luoniushan                      10,000,000.0 10,000,000.0        10,000,000.0
                       Cost                                                            9.09%
Petty-Loan Co.,                           0              0                   0
Ltd

                                24,716,374.2 24,716,374.2        24,716,374.2                                       14,716,374.2
Total                     --                                                           --       --        --
                                          6              6                   6                                                6


(2) Relevant particular about restriction of the ability of capital transfer to investment enterprises

Nil


16. Investment real estate

Nil
17. Fixed assets
(1) Particular about fixed assets
                                                                                                                                   In RMB

                                 Book balance at                                                 Decreased in the      Book balance at
               Item                                          Increase in this period
                                  period-begin                                                       Period              period-end

I. Total original book value:      187,432,381.94                                 559,488.00             69,480.00       187,922,389.94

Including: Buildings and
                                   156,679,569.41                                                                        156,679,569.41
constructions

           Machinery
                                    13,858,617.00                                                                         13,858,617.00
equipment

            Transportation
                                     1,635,734.77                                 455,588.00             65,280.00         2,091,322.77
facility

Electronic equipment                 2,895,261.78                                 103,900.00              4,200.00         2,933,881.78

Other equipment                      2,248,275.09                                                                          2,244,075.09

Improvement                         10,114,923.89                                                                         10,114,923.89

                                 Book balance at    Increase during       Accrual in this        Decreased in the        Balance at
                --
                                  period-begin        this period             period                 Period              period-end

II.   Total accumulated
                                    91,604,335.78                                2,414,315.37            63,940.41        93,954,710.74
depreciation:

Including: Buildings and
                                    68,907,346.70                                1,815,399.63                             70,722,746.33
constructions

           Machinery
                                     8,832,534.14                                 178,082.46                               9,010,616.60
equipment

            Transportation
                                       762,866.36                                  77,824.58                                 840,690.94
facility

Electronic equipment                 1,979,777.20                                 172,677.51             60,947.91         2,091,506.80


                                                                    67
         司公限有份股心中游旅海东大南海                                                             2014   文全告报度年半年
Other equipment                    1,361,038.06                               96,898.81              2,992.50        1,454,944.37

Improvement                        9,760,773.32                               73,432.38                              9,834,205.70

                               Book balance at                                                                     Balance at
                --                                                            --
                                period-begin                                                                       period-end

III. Total net book value of
                                  95,828,046.16                               --                                   93,967,679.20
fixed assets

Including: Buildings and
                                  87,772,222.71                               --                                   85,956,823.08
constructions

           Machinery
                                   5,026,082.86                               --                                     4,848,000.40
equipment

            Transportation
                                     872,868.41                               --                                     1,250,631.83
facility

Electronic equipment                 915,484.58                               --                                      842,374.98

Other equipment                      887,237.03                               --                                      789,130.72

Improvement                          354,150.57                               --                                      280,718.19

IV. Total provision for
                                  35,199,140.69                               --                                   35,199,140.69
impairment

Including: Buildings and
                                  32,449,653.81                               --                                   32,449,653.81
constructions

           Machinery
                                   2,527,851.26                               --                                     2,527,851.26
equipment

Electronic equipment                  21,643.05                               --                                        21,643.05

Other equipment                      199,992.57                               --                                      199,992.57

Improvement                                                                   --

V. Total book value of fixed
                                  60,628,905.47                               --                                   58,768,538.51
assets

Including: Buildings and
                                  55,322,568.90                               --                                   53,507,169.27
constructions

           Machinery
                                   2,498,231.60                               --                                     2,320,149.14
equipment

            Transportation
                                     872,868.41                               --                                     1,250,631.83
facility

Electronic equipment                 893,841.53                               --                                      820,731.93

Other equipment                      687,244.46                               --                                      589,138.15

Improvement                          354,150.57                               --                                      280,718.19

RMB 2,414,315.37 depreciated in this period; original price transfer as fixed assets from construction in process was RMB0.00




                                                                68
      司公限有份股心中游旅海东大南海                                                                    2014   文全告报度年半年
(2) Temporary idle fixed assets
                                                                                                                                 In RMB

                                               Accumulative
        Item            Original book value                          Impairment reserves      Net book value            Note
                                                depreciation

Other equipment                 230,710.58               20,306.92            199,992.57              10,411.09
(3) Fixed assets leasing-in by financing lease
Nil


(4) Fixed assets leasing-out by operational lease
Nil


(5) Fixed assets held for sale in period-end
Nil


(6) Fixed assets without property certificates
Nil
18. Construction in process
Nil
19. Construction materials
Nil


20. Disposal of fixed assets

Nil
21. Productive biological assets
Nil


23. Intangible assets

(1) Particular about intangible assets

                                                                                                                                 In RMB

                                   Book balance at                                                                Book balance at
             Item                                         Increase in this period    Decreased in the Period
                                    period-begin                                                                    period-end

I. Total original book value             87,833,001.74                                                                 87,833,001.74

Land use right                           87,833,001.74                                                                 87,833,001.74

II. Total accumulated
                                         29,902,202.33                 447,470.52                                      30,349,672.85
amortization

Land use right                           29,902,202.33                 447,470.52                                      30,349,672.85

III. Total net book value of
                                         57,930,799.41                 -447,470.52                                     57,483,328.89
intangible assets

Land use right                           57,930,799.41                 -447,470.52                                     57,483,328.89



                                                                  69
        司公限有份股心中游旅海东大南海                                                                         2014    文全告报度年半年
IV. Total impairment
                                              29,343,890.98                                                                      29,343,890.98
provisions

Land use right                                29,343,890.98                                                                      29,343,890.98

Total book value       of
                                              28,586,908.43                 -447,470.52                                          28,139,437.91
intangible asset

Land use right                                28,586,908.43                 -447,470.52                                          28,139,437.91
The amount amortized in this period accounting as 447,470.52 Yuan
(2) Expenditure of project development
Nil

24. Goodwill
Nil


25. Long-term deferred expense

                                                                                                                                        In RMB

                                               Increase in this      Amortization                                                Reasons for other
          Item              Opening amount                                                Other decrease    Closing amount
                                                   period         during this period                                                 decrease

Painting of Hotel’s
                                 490,880.02                                147,264.06                               343,615.96
external wall

Roof waterproof                   91,666.75                                 49,999.98                                41,666.77

Total                            582,546.77                                197,264.04                               385,282.73           --

Explanation on long-term deferred expenses
Nil


26. Deferred income tax assets and deferred income tax liabilities
Nil


27. Provision for assets impairment

                                                                                                                                        In RMB

                                    Book balance at         Increase in this              Decreased in the Period           Book balance at
                Item
                                      period-begin                period                Reversal           Write-off             period-end

I. Bad debt reserve                     80,237,828.26                                                                            80,237,828.26

II. Inventory depreciation
                                             759,198.74                                                        1,052.76             758,145.98
reserve

V. Long-term equity
investment impairment                   14,716,374.26                                                                            14,716,374.26
provision

VII. Provision for impairment
                                        35,199,140.69                                                                            35,199,140.69
of fixed assets


                                                                       70
        司公限有份股心中游旅海东大南海                                                2014   文全告报度年半年
IX. Provision for construction
                                                 0.00           0.00                                         0.00
in progress

XII. Provision for impairment
                                    29,343,890.98                                                   29,343,890.98
of intangible assets

XIII. Provision for
                                                                                                             0.00
impairment of goodwill

Total                              160,256,432.93                                     1,052.76     160,255,380.17

Explanation on provision for assets impairment
Nil


28. Other non-current assets

Nil


29. Short-term loans
Nil
30. Transactional financial liabilities
Nil


31. Note payable

Nil


32. Accounts payable

(1) Accounts payable

                                                                                                          In RMB

                       Item                             Closing amount                Opening amount

Within 1 year(including 1 year)                                        1,180,001.27                  1,142,768.95

1-2 years (including 2 years)                                            145,272.00                    145,272.00

2-3 years (including 3 years)                                            376,032.08                    376,032.08

Over 3 years                                                             507,882.93                    507,882.93

Total                                                                  2,209,188.28                  2,171,955.96


(2) Amount payable from shareholders holding more than 5% (inclusive) voting shares of the Company
among ending balances.

Nil




                                                           71
        司公限有份股心中游旅海东大南海                                                                2014   文全告报度年半年
(3) Accounts payable with large amount and aging of over one year

Nil


33. Accounts received in advance

(1) Accounts received in advance

                                                                                                                              In RMB

                         Item                                   Closing amount                           Opening amount

Within 1 year (including 1 year)                                                626,190.89                             1,010,172.16

1-2 years (including 2 years)                                                   185,737.68                                185,737.68

2-3 years (including 3 years)                                                   232,497.38                                232,497.38

Over 3 years                                                                    171,587.59                                171,587.59

Total                                                                          1,216,013.54                            1,599,994.81


 (2) Amount received in advance from shareholders holding more than 5% (inclusive) voting shares of the
Company among ending balances

Nil


(3) Accounts received in advance with large amount and aging of over one year


                        Company name                         Closing balance Reasons for not                    Note
                                                                                carry forward

Hainan Sea-view Paradise International Co., Ltd, Sanya            104,170.40       Account
Wuzhizhou Island Resort                                                           unsettled


34. Wages payable

                                                                                                                              In RMB

                           Book balance at                                                                     Book balance at
          Item                                    Increase in this period      Decreased in the Period
                            period-begin                                                                         period-end

I. Salary, bonus,
allowance and                      2,852,036.47              3,459,459.37                     4,021,747.43             2,289,748.41
subsidy

II. Employee welfare                                           551,792.17                       551,792.17

III. Social insurance
                                                               546,548.68                       546,548.68
expense
Including : medical
                                                               155,108.34                       155,108.34
insurance expenses


                                                                 72
        司公限有份股心中游旅海东大南海                                                                2014   文全告报度年半年
       Basic
endowment                                                     350,723.20                     350,723.20
insurance expenses

         Annuity


Unemployment                                                   19,389.85                         19,389.85
insurance expenses
       Work injury
                                                                9,692.31                          9,692.31
insurance expenses
Maternity insurance
                                                               11,634.98                         11,634.98
expenses

IV. Housing
                                                               54,303.80                         54,303.80
provident funds
VI. Others                         697,814.57                 116,980.21                         60,817.83             753,976.95

Total                            3,549,851.04               4,729,084.23                    5,235,209.91             3,043,725.36

Default amount in employee compensation payable was 0.00
Labor union expenditure and employee education funds was 0.00 Yuan, non-monetary welfare was 0.00 Yuan and compensation for
labor service terminated was 0.00 Yuan
Arrangement of pay date and amount for employee compensation payable
Nil


35. Tax payable

                                                                                                                           In RMB

                         Item                                       Closing amount                       Opening amount

Value added tax                                                                   135,982.62                           135,982.62

Business tax                                                                         38,903.08                         111,018.40

Enterprise income tax                                                          -1,702,702.80                         -1,702,702.80

Urban maintenance and construction tax                                                2,723.22                            7,771.29

Educational surtax                                                                    1,945.15                            5,550.92

Property tax                                                                      204,986.70                           204,986.58

Land use tax                                                                      108,590.92                            72,393.00

Total                                                                          -1,209,571.11                         -1,164,999.99

For the mutual adjustment on taxable amount between vary companies and plants, authorized by local taxation bureau, explain the
taxation procedures
Nil


36. Interest payable

Nil



                                                               73
        司公限有份股心中游旅海东大南海                                                     2014   文全告报度年半年
37. Dividend payable

Nil


38. Other payables

(1) Other payables

                                                                                                                  In RMB

                        Item                        Closing amount                           Opening amount

Within 1 year (including 1 year)                                   1,253,398.43                           2,458,050.52

1-2 years (including 2 years)                                         308,551.68                               308,551.68

2-3 years (including 3 years)                                         122,605.47                               122,605.47

Over 3 years                                                      23,003,005.34                          23,003,005.34

Total                                                             24,687,560.92                          25,892,213.01


(2) Amount due to shareholders holding more than 5% (inclusive) voting shares of the Company among
ending balances

                                                                                                                  In RMB

                 Company name                       Closing amount                           Opening amount

Luoniushan Co., Ltd.                                                  800,000.00                               800,000.00

Total                                                                 800,000.00                               800,000.00


 (3) Other payables with large amount and aging of over one year


                Company name               Closing balance        Reasons of un-repay                   Note

China Securities Regulatory Commission           19,810,000.00    Financial difficulty

Sun Hongjie                                        1,000,000.00    Guarantee deposit

Luoniushan Co., Ltd.                                800,000.00        Related debt

Hong Kong Deloitte Touche Tohmatsu                  285,003.21         Audit fees

                       Total                     21,895,003.21


 (4) Other payables with large amount


                Company name               Closing balance             Nature or content                  Note

China Securities Regulatory Commission           19,810,000.00 Fine      for        rule-breaking
                                                              operation on the stock of the



                                                    74
       司公限有份股心中游旅海东大南海                                                           2014   文全告报度年半年
                                                                       Company

Sun Hongjie                                             1,000,000.00 Guarantee deposit

Luoniushan Co., Ltd.                                      800,000.00 Corresponding payment

                                                          593,372.66
Sanya Dadonghai Donghai Dragon Palace Food                             Consumption       and   deposit

City                                                                   collected

                                                          285,003.21
Hong Kong Deloitte Touche Tohmatsu                                     Auditing charge

                                                      22,488,375.87




39. Accrual liability

Nil


40. Non-current liability due within one year
Nil


41. Other current liability

Nil
42. Long-term loan
Nil


43. Bond payable

Nil
44. Long-term account payable
Nil


45. Specific payable

Nil


46. Other non-current liability

Nil


47. Share capital

                                                                                                                    In RMB

                                                       Increased /decreased(+,-)
                   Opening                                                                                      Closing
                    amount     New shares                       Share capital                                   amount
                                             Shares granted                        Others       Sub-total
                                 issued                        converted from


                                                              75
        司公限有份股心中游旅海东大南海                                                                 2014   文全告报度年半年
                                                                       reserve fund
Total shares     364,100,000.00                                                                                     364,100,000.00

Explanation on changes of share capital: For the capital increased/decreased in reporting period, disclosed accounting firms that
exercise verification and document serial of Verification Report; for company limited by shares established less in three years,
explain the net assets of the year before established; for company limited by shares changed from limited liability company, explain
the verification condition while established
Nil


48. Treasury stock

Explanation on treasury stock
Nil


49. Reasonable reserves

Explanation on reasonable reserves
Nil


50. Capital reserves

                                                                                                                            In RMB

                                                                                         Decreased in the
               Item                    Opening amount          Increase in this period                            Closing amount
                                                                                              Period

Capital (share capital) premium                33,336,215.58                                                         33,336,215.58

Other capital reserves                         20,806,634.43                                                         20,806,634.43

Total                                          54,142,850.01                                                         54,142,850.01

Explanation on capital reserves
Nil


51. Surplus reserves

Nil


52. General risk reserves

Explanation on general risk reserves
Nil


53. Retained profits

                                                                                                                            In RMB

                         Item                                              Amount                       Proportion of appropriation


                                                                  76
        司公限有份股心中游旅海东大南海                                                                   2014   文全告报度年半年
                                                                                                                  or distribution
Retained profit of year-end of last year before
                                                                                         -336,331,002.15                --
adjustment

Retained profit of year-begin after adjustment                                           -336,331,002.15                --

Plus: net profit attributable to owner of parent
                                                                                              -848,458.96               --
company in the period

Retained profits as at period-end                                                        -337,179,461.11                --

Adjustment of undistributed profit at year-begin:
1) For the retroactive adjustment based on Accounting Standards for Business Enterprises and other relevant regulations, affected
undistributed profit at year-begin of RMB
2) For changes of accounting policies, affected undistributed profit at year-begin of RMB
3) For correction on major accounting errors, affected undistributed profit at year-begin of RMB
4) For changes of consolidation scope from same controlling, affected undistributed profit at year-begin of RMB
5) Other adjustment totally affected undistributed profit at year-begin of RMB
Explanation on undistributed profit
For company initially public offering securities, well explained that if the accumulated profit before offering, being decided by
shareholders’ general meeting, shares by old and new shareholders; for the accumulated profit before offering, being decided by
shareholders’ general meeting, distribute before offering and shares by old shareholders, well disclosed the audited profit shares by
old shareholders in dividend payable
Nil


54. Operating income and operating costs

(1) Operating income and operating costs

                                                                                                                                    In RMB

                     Item                                 Amount of this period                       Amount of last period

Income from primary business                                                11,686,452.00                                14,778,787.50

Operating costs                                                                    5,336.51                                    5,091.20


(2) Primary business (by industry)

                                                                                                                                    In RMB

                                                    Amount of this period                           Amount of last period
             Industry
                                       Operating income           Operating cost          Operating income          Operating cost
Tourism, catering and service
                                             11,686,452.00                   5,336.51           14,778,787.50                  5,091.20
industry

Total                                        11,686,452.00                   5,336.51           14,778,787.50                  5,091.20




                                                                   77
        司公限有份股心中游旅海东大南海                                                            2014   文全告报度年半年
(3) Primary business (by products)

                                                                                                                        In RMB

                                             Amount of this period                           Amount of last period
               Product
                                 Operating income           Operating cost          Operating income         Operating cost
Guest room                               11,686,452.00                   5,336.51         14,778,787.50               5,091.20

Total                                    11,686,452.00                   5,336.51         14,778,787.50               5,091.20


(4) Primary business (by region)

                                                                                                                        In RMB

                                             Amount of this period                           Amount of last period
               Region
                                 Operating income           Operating cost          Operating income         Operating cost
Hainan region                            11,686,452.00                   5,336.51         14,778,787.50               5,091.20

Total                                    11,686,452.00                   5,336.51         14,778,787.50               5,091.20


(5) Business income from top five customers

                                                                                                                        In RMB

         Name of customer                Total business income             Proportion in total business income of the Company
PEGAS       Zheng Qingbo                                 1,930,158.00                                                  16.52%

Ji Jinjun                                                   443,180.00                                                  3.79%

Li Fei                                                      384,304.00                                                  3.29%

Shanghai Ctrip International
                                                            310,235.42                                                  2.65%
Travel Co., Ltd.

Sanya Baishun International
                                                            214,996.00                                                  1.84%
Tourism Ltd.

Total                                                    3,282,873.42                                                  28.09%

Explanation on business income
Nil


55. Income from contract projects

Nil


56. Business tax and surcharges

                                                                                                                        In RMB

                   Item             Amount of this period         Amount of last period              Taxation basis




                                                             78
        司公限有份股心中游旅海东大南海                                                   2014   文全告报度年半年
Business tax                                 584,322.61                738,939.38 5%

Urban maintenance and construction
                                              40,902.59                 51,725.75 7%
tax
Educational surtax                            17,529.67                 22,168.18 3%

Local educational surtax                      11,686.46                 14,778.79 2%

Total                                        654,441.33                827,612.10                 --

Explanation on business tax and surcharges
Nil


57. Sale expenses

                                                                                                                 In RMB

                     Item                    Amount of this period                     Amount of last period

Sale expenses                                                  5,924,967.97                              5,866,274.92

Total                                                          5,924,967.97                              5,866,274.92


58. Administrative expenses

                                                                                                                 In RMB

                     Item                    Amount of this period                     Amount of last period

Administrative expenses                                        5,961,388.09                              8,568,614.42

Total                                                          5,961,388.09                              8,568,614.42


59. Financial expenses

                                                                                                                 In RMB

                     Item                    Amount of this period                     Amount of last period

Less: interest income                                            -22,530.32                                -40,154.79

Other                                                                70,535.55                             108,267.51

Total                                                                48,005.23                                 68,112.72


60. Gains from changes of fair value

Nil


61. Gains on investment

Nil




                                                      79
        司公限有份股心中游旅海东大南海                                                                    2014    文全告报度年半年
62. Losses on assets impairment

Nil


63. Non-operating income

(1) Non-operating income

                                                                                                                                   In RMB

                                                                                                           Amount included in current
                    Item                         Amount of this period         Amount of last period            non-recurring profits or
                                                                                                                        losses

Total gains on disposal of non-current assets                                                   200.00                              110.00

Including: gain on disposal of fixed assets                                                     200.00                              110.00

Income from compensation                                     456,027.00                      57,991.70                           45,917.00

Other                                                         14,540.76                      17,954.65                           14,540.76

Total                                                         60,567.76                      76,146.35


Explanation on non-operating income


Nil


(2) Government subsidy reckoned into current gains/losses

Nil


64. Non-operating expenses

                                                                                                                                   In RMB

                                                                                                                   Amount included in
                       Item                            Amount of this period        Amount of last period         current non-recurring
                                                                                                                     profits or losses

Total losses on disposal of non-current assets                           1,339.59                      200.00                     1,339.59

Including: loss on disposal of fixed assets                              1,339.59                                                 1,339.59

Penalty                                                                                           1,200.00

Total                                                                    1,339.59                 1,200.00                        1,339.59

Explanation on non-operating expenses
Nil




                                                                 80
     司公限有份股心中游旅海东大南海                                                      2014   文全告报度年半年
65. Income tax expenses

                                                                                                              In RMB

                          Item                               Amount of this period         Amount of last period
66. Calculation of basic earnings per share and diluted earnings per share

1. Basic earnings per share
Basic earnings per share=P0÷S


S= S0+S1+Si×Mi÷M0–Sj×Mj÷M0–Sk


Of which, P0 represents net profit attributable to ordinary shareholders of the Company or net profits attributable
to ordinary shareholders after deducting non-recurring profits or losses; S represents the weighted average number
of outstanding ordinary shares; S0 represents total number of shares at the beginning of the period; S1 represents
shares increased from conversion of reserve fund into share capital or share dividend distribution in the reporting
period; Si represents shares increased from issue of new shares or conversion of debt into equity in the reporting
period; Sj represents the shares reduced from repurchase during the reporting period; Sk represents the number of
reduced shares during the reporting period; M0 represents number of months in the reporting period; Mi
represents the number of months from the month immediately following the increase of shares to the end of the
reporting period; Mj represents the number of months from the month immediately following the decrease of
shares to the end of the reporting period .


2. Diluted earnings per share
Diluted earnings per share = P1/(S0+S1+Si×Mi÷M0–Sj×Mj÷M0–Sk+ weighted average number of ordinary
shares increased from warrants, share options and convertible bonds).


Of which, P1 represents net profits attributable to ordinary shareholders of the Company or net profits attributable
to ordinary shareholders of the Company after deducting non-recurring profits or losses, and has been adjusted in
accordance with Accounting Standards for Business Enterprises and the relevant regulations after taking the effect
of dilutive potential ordinary shares into consideration. When calculating the diluted earnings per share, the
Company shall take into account all the effect of dilutive potential ordinary shares on net profits attributable to
ordinary shareholders of the Company or net profits attributable to ordinary shareholders of the Company after
deducting non-recurring profits or losses and the weighted average number of shares, and include in diluted
earnings per share according to the magnitude of dilution in an ascending order until the dilutive earnings per
share is reduced to the lowest level.


(1) Basic earnings per share
Basic earnings per share is calculated by dividing combined net profits attributable to ordinary shareholders of the
Company by weighted average number of outstanding ordinary shares of the Company:

                                                        81
      司公限有份股心中游旅海东大南海                                                                  2014   文全告报度年半年
                                Item                                      Amount of this period           Amount of last period

Combined net profits attributable to ordinary shareholders of the                      -848,458.96                    -481,971.51
Company
Weighted average number of outstanding ordinary shares of the                      364,100,000.00                  364,100,000.00
Company

Basic earnings per share (RMB per share)                                                   -0.0023                         -0.0013
Calculation of weighted average number of ordinary shares:
                               Item                                       Amount of this period           Amount of last period

Number of ordinary shares issued as at January 1, 2012                             364,100,000.00                  364,100,000.00

Plus: weighted number of ordinary shares issued in 2012

Less: weighted number of ordinary shares repurchased in 2012

Weighted number of ordinary shares outstanding as at December                      364,100,000.00                  364,100,000.00
31, 2012
(2) Diluted earnings per share
Diluted earnings per share is calculated by dividing combined net profits attributable to ordinary shareholders of
the Company after adjustment by weighted average number of outstanding ordinary shares of the Company after
adjustment:

                                       Item                                       Amount of this period       Amount of last period

Combined net profits attributable to ordinary shareholders of the Company                     -848,458.96             -481,971.51
(diluted)
Weighted average number of outstanding ordinary shares of the Company                     364,100,000.00           364,100,000.00
(diluted)

Diluted earnings per share (RMB per share)                                                        -0.0023                  -0.0013


67. Other comprehensive income

Nil


68. Notes to statement of cash flows

(1) Other cash receipts related to operating activities

                                                                                                                            In RMB

                                       Item                                                          Amount

Interest income                                                                                                          22,530.32

Individual amounts                                                                                                       78,817.01

Compensation for articles in the guest rooms                                                                             45,917.00

                                       Total                                                                            147,264.33

Explanation on other cash receipts related to operating activities



                                                                     82
        司公限有份股心中游旅海东大南海                                                         2014   文全告报度年半年
Nil


(2) Cash paid for other operating activities

                                                                                                                       In RMB

                                     Item                                                     Amount

Sale and administrative expenses                                                                               1,793,810.07

Financial expenses                                                                                               68,881.15

Other                                                                                                          1,139,425.10

                                     Total                                                                     3,002,116.32

Explanation on cash paid for other operating activities
Nil


(3) Cash received with other investment activities concerned

Nil


(4) Cash paid for other investment activities

Nil


(5) Cash received with other financing activities concerned

Nil


(6) Cash paid for other financing activities

Nil
69. Supplementary information of statement of cash flows

(1) Supplementary information of statement of cash flows

                                                                                                                       In RMB

                            Item                                 Amount of this period         Amount of last period

1. Net profit adjusted to cash flow from operating activities             --                              --

Net profit                                                                      -848,458.96                    -481,971.51

Depreciation of fixed assets, depletion of oil and gas assets
                                                                               2,414,315.37                    2,554,558.10
and depreciation of productive biological assets

Amortization of intangible assets                                                447,470.52                     434,363.58

Amortization of long-term deferred expenses                                      197,264.04                     197,264.04

Loss on disposals of fixed assets, intangible assets and                           1,339.59                        -200.00



                                                                83
       司公限有份股心中游旅海东大南海                                                             2014   文全告报度年半年
other long-term assets("-" for gains)

Decrease in inventories ("-" for increases)                                            2,552.65                      -12,556.11

Decrease in operating receivables ("-" for increases)                             -164,666.53                     -8,329,538.41

Increase in operating payables ("-" for decreases)                               -2,034,900.00                     8,585,574.42

Net cash flow from operating activities                                             14,916.68                      2,947,494.11

2. Significant investing and financing activities not
                                                                            --                               --
involving cash inflow and outflow

3. Net changes in cash and cash equivalents                                 --                               --

Ending balance of cash                                                           6,691,402.14                     17,568,928.80

Less: beginning balance of cash                                                  6,835,685.46                     15,194,668.69

Net increase in cash and cash equivalents                                         -144,283.32                      2,374,260.11


(2) Subsidiary or other operation units obtained or disposed in reporting period

                                                                                                                          In RMB

                             Item                               Amount of this period             Amount of last period

I. Subsidiary or other operation units obtained:                            --                               --

II. Subsidiary or other operation units disposed:                           --                               --


(3) Composition of cash and cash equivalents

                                                                                                                          In RMB

                             Item                                     Closing amount                Opening amount

I. Cash                                                                          6,691,402.14                      6,835,685.46

Including: cash on hand                                                            542,076.87                       613,560.04

       Bank deposit available for payment at any time                            6,149,325.27                      6,209,144.39

       Other monetary funds available for payment at any
                                                                                                                     12,981.03
time

III. Ending balance of cash and cash equivalents                                 6,691,402.14                      6,835,685.46

Explanation on supplementary information of statement of cash flows
Nil


70. Notes on items of changes of owner’s equity

Nil


VIII. Accounting treatment of assets securitization

Nil


                                                               84
      司公限有份股心中游旅海东大南海                                                                2014   文全告报度年半年
IX. Related Parties and Transactions
1. Parent company of the Company
Nil


2. Subsidiary of the Company
Nil


3. Details of joint-venture and affiliated enterprise of the Company

Nil


4. Particulars about other related parties


                Other related parties              Relationship with the Company                      Organization code

                Luoniushan Co., Ltd.                  First majority shareholder       28408974-7

Explanation on other related parties:
As of 30 June 2014, Luoniushan Co., Ltd. holds 61.0903 million shares of the Company with 16.81 percent
occupied in total share capital of the Company, and it is the first majority shareholder of the Company.
5. Related transaction
(1) Statement of commodity purchased and labor service received
                                                                                                                          In RMB

                                                                   Amount of this period             Amount of last period
                                              Pricing way and
                                                                                    Ratio in
      Related party             Content       decision making                                                    Ratio in similar
                                                                   Amount            similar        Amount
                                                procedures                                                        transactions
                                                                                   transactions

                         Accommodation and
Luoniushan Co., Ltd.                         Market price           51,935.70            0.44%      196,416.66            1.32%
                         catering

Goods sold and labor service offering
Nil


(2) Related entrust/contract

Nil


(3) Related leasing

Nil


(4) Related guarantee

Nil




                                                             85
      司公限有份股心中游旅海东大南海                                                                   2014   文全告报度年半年
(5) Borrowed funds of related party

Nil


(6) Related party’s assets transfer and debt reorganization

Nil


(7) Other related transactions

Nil


6. Receivables and payables of related parties

Receivables from related parties by listed company
                                                                                                                             In RMB

                                                                period-end                              period-begin
          Item                Related party
                                                     Book balance      Bad debt reserve      Book balance        Bad debt reserve

Accounts receivable      Luoniushan Co., Ltd.              16,615.70                               19,977.00

Payables to related parties by listed company
                                                                                                                             In RMB

                 Item                           Related party           Amount as at period-end        Amount as at period-begin

Other payables                         Luoniushan Co., Ltd.                               800,000.00                     800,000.00


X. Share-based payment

Nil


XI. Contingency

Nil
XII. Commitments

1. Material commitments
Nil

2. Commitments made previously
Luoniushan Co., Ltd. made commitments on 30 May 2007 in “Instruction of Split-Share Reform”(Revised) and
“Instruction of Split-Share Reform” (summary revised) as: given consequent years of loss, Dadonghai is facing to
be delisted. To reverse this operation dilemma, improve profitability and restore continuing operation, controlling
shareholder, Luoniushan Co., Ltd is seeking acquisition partners and appropriate time to take asset restructuring
on Dadonghai.
On 7 June 2014, the Company received the Letter of Changing the Commitment for DADONGHAI from


                                                                86
      司公限有份股心中游旅海东大南海                                                2014   文全告报度年半年
Luoniushan Co., Ltd. from majority shareholder of the Company Luoniushan Co., Ltd. Luoniushan Co., Ltd.
decided to changed relevant commitments in line with the above said document. The original commitment
changed as: Luoniushan Co., Ltd. will look actively for the restructuring side for reorganization of DADONGHAI
in three years since the above said commitment changed has deliberated and approved by General Meeting of
DADONGHAI. And the matter has been deliberated and approved by Board of the Company, Supervisory of the
Committee and second extraordinary general meeting of 2014 held on 27 June 2014.

XIII. Event after balance sheet date

Nil


XIV. Other significant events

1. Non-monetary assets exchange

Nil


2. Debt reorganization

Nil


3. Enterprise combination

Nil


4. Leasing

Nil


5. Financial instrument issued and convertible to shares at period-end

Nil


6. Assets and liability measure by fair value

Nil


7. Foreign currency financial assets and foreign financial liability

Nil


8. Pension plan and major changes

Nil




                                                       87
        司公限有份股心中游旅海东大南海                                                                    2014   文全告报度年半年
9. Other

The Liabilities Statement on Objectives Operation and Management of South China Grand Hotel concluded by
and between the Company and Mr. Sun Hongjie has a term of five years, i.e., from May 1, 2011 to April 30, 2016.
According to stipulations in such Liabilities Statement on Objectives Operation and Management, during the
objectives operation and management period, the base profit index of internal assessment shall be RMB 1.1
million, and 60% of the excess over such base index shall be rewarded to Mr. Sun Hongjie and his management
team.

XV. Supplementary information

1. Current non-recurring gains/losses

                                                                                                                                  In RMB

                                  Item                                            Amount                             Note

Gains/losses from the disposal of non-current asset (including the
                                                                                           -1,339.59
write-off that accrued for impairment of assets)

Other gains/losses satisfied definition of extraordinary profit
                                                                                           60,567.76
(gains)/loss

Total                                                                                      59,228.17                   --

Explain recognition reasons item-by-item if the government subsidy reckoned into current gains/losses was the recurring gains/losses
□ Applicable √ Not applicable


2. Difference of the accounting data under accounting rules in and out of China

(1) Difference of the net profit and net assets disclosed in financial report, under both IAS (International
Accounting Standards) and Chinese GAAP (Generally Accepted Accounting Principles)

                                                                                                                                  In RMB

                                    Net profit attributable to shareholders of listed   Net assets attributable to shareholders of listed
                                                       company                                             company

                                   Amount in this period     Amount in last period         Closing amount           Opening amount

Chinese GAAP                                 -848,458.96                  -481,971.51           81,063,388.90               81,911,847.86

Items and amount adjusted by IAS

By IAS                                       -848,458.96                  -481,971.51           81,063,388.90               81,911,847.86


(2) Difference of the net profit and net assets disclosed in financial report, under both foreign accounting
rules and Chinese GAAP (Generally Accepted Accounting Principles)

                                                                                                                                  In RMB


                                    Net profit attributable to shareholders of listed   Net assets attributable to shareholders of listed

                                                                    88
      司公限有份股心中游旅海东大南海                                                                           2014   文全告报度年半年
                                                     company                                                   company

                                 Amount in this period       Amount in last period           Closing amount              Opening amount

Chinese GAAP                                 -848,458.96                   -481,971.51             81,063,388.90              81,911,847.86

Items and amount adjusted by foreign accounting rules

Foreign accounting rules                     -848,458.96                   -481,971.51             81,063,388.90              81,911,847.86


No difference.

(3) Reasons for the differences of accounting data under accounting rules in and out of China

Nil


3. ROE and EPS

                                                                                                                                     In RMB

                                                                  Weighted average                             EPS
                     Profit in the Period
                                                                          ROE                Basic EPS                 Diluted EPS

Net profit attributable to common shareholders of the
                                                                                -1.04%              -0.0023                      -0.0023
Company

Net profit attributable to common shareholders of the
                                                                                -1.11%              -0.0025                      -0.0025
Company after deducting non-recurring gains/losses


4. Abnormalities and reasons of the accounting statement items of the Company


                               Closing balance    Opening balance
                                                                          Changes
              Item            (or amount of this (or amount of last                                            Reasons
                                                                          (+,-) (%)
                                   period)              period)

  Account paid in advance            134,694.62            201,053.21       -33.01% The carry-over amount on prepayment for good
                                                                                      purchased increased

  Long-term deferred                 385,282.73            582,546.77       -33.86% Amortized in the Period
  expenses

  Account received in              1,216,013.54         1,599,994.81        -24.00% The sales amount carried forward
  advance

  Operation revenue               11,686,452.00      14,778,787.50          -20.92% The increasingly horizontal competition is the result
                                                                                      of declined in revenue

  Business tax and                   654,441.33            827,612.10       -20.92% The revenue declined
  surcharge

  Administrative expenses          5,961,388.09      8,568,614.42           -30.43% Entertainment expenses declined due to the strictly
                                                                                      management and practice strict economy; withdrawal


                                                                     89
   司公限有份股心中游旅海东大南海                                                                 2014   文全告报度年半年
                                                                           for the bonus on over-quota of the hotel decreased

Financial expenses             48,005.23     68,112.72           -29.52% The revenue declined, and settlement handling charge
                                                                           expenses declined

Operation profit              -907,687.13    -556,917.86         62.98%    The revenue declined, and cost expenses increased

Non-operation revenue           60,567.76     76,146.35           -20.46% Indemnity income and other revenue decreased

Ne profit                     -848,458.96     -481,971.51        76.04%    The revenue declined, and cost expenses increased

Net cash flow arising        14,916.68       2,947,494.11 -99.49%          The revenue decreased due to the market depressed,
from operation activities                                                  and the soaring cost

Net cash flow arising         -159,200.00   -573,234.00           -72.23% The investment in fixed assets decreased
from investment activities

Closing balance of cash       6691402.14    17,568,928.80        -61.91% Jointly affected by the y-o-y decrease of net cash flow
and cash equivalent                                                        arising from operation activities and the y-o-y
                                                                           decrease of net cash flow arising from investment
                                                                           activities




                                                            90
     司公限有份股心中游旅海东大南海                                                     2014   文全告报度年半年

                     Section X. Documents available for reference


I. Text of Semi-annual report 2014 with the signature of corporate of the Company.

II. Financial statement with signature and seal of legal person, person in charge of accounting works and person in

charge of accounting organ;

III. Text of the file and draft of the announcement under the name of the Company that released on website

appointed by CSRC in reporting period.

IV. Other relevant files

The above said documents are prepared in the security department of the Company



                                    Hainan Dadonghai Tourism Centre (Holdings) Co., Ltd.
                                                   Chairman: Li Yuanbin

                                                   26 August 2014




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