Foshan Electrical and Lighting Co., Ltd.
Semi-Annual Report 2012
I. Important Notes
The Board of Directors, the Supervisory Committee as well as directors, supervisors and senior
executives of Foshan Electrical and Lighting Co., Ltd. (hereinafter referred to as the Company)
guarantee that there are no significant omissions, fictitious or misleading statements carried in the
Report and will take individual and joint responsibilities for the truthfulness, accuracy and
completeness of the Report.
All directors of the Company attended in person the board session for reviewing the semi-annual report.
The semi-annual financial report 2012 has not been audited by the accounting firm.
Mr. Zhong Xincai, person in charge of the Company and the accounting work, and Wang Shuqiong,
person in charge of the accounting department (manager of financial department), hereby confirm
that the financial report enclosed in this Semi-Annual Report is true and complete.
This report is prepared both in Chinese and English. Should there be any difference in interpretation
of the two versions, the Chinese version shall prevail.
II. Company Profile
（I）Basic information
A-share code 000541 B-share code 200541
A-share abbreviation Foshan Zhaoming B-share abbreviation Yue Zhaoming-B
Stock exchange listed with Shenzhen Stock Exchange
Legal Chinese name of the
佛山电器照明股份有限公司
Company
Abbr. of the legal Chinese
佛山照明
name of the Company
Legal English name of the
FOSHAN ELECTRICAL AND LIGHTING CO., LTD
Company
Abbr. of the legal English
FSL
name of the Company
Legal representative of the
Zhong Xincai
Company
Registered address No. 64, Fenjiang Road North, Chancheng District, Foshan City, Guangdong Province
Postal code for the registered
528000
address
Office address No. 64, Fenjiang Road North, Chancheng District, Foshan City, Guangdong Province
Postal code for the office
528000
address
Internet website of the
www.chinafsl.com
Company
Email address gzfsligh@pub.foshan.gd.cn
（II）For contact
Company Secretary Securities Affairs Representative
Name Zhou Xiangfeng
No. 64, Fenjiang Road North, Chancheng
Contact address
District, Foshan
1
Tel. （0757）82966062 /82810239
Fax （0757）82816276
E-mail fsldsh@126.com
（III）About information disclosure and where the semi-annual report is placed
Newspapers designated by the Company for
China Securities Journal, Securities Times, Hongkong Ta Kung Pao
information disclosure
Internet website designated by CSRC for
http://www.cninfo.com.cn
disclosing the semi-annual report
Secretariat Office of Board of Directors, Office Building of the Company located at
Where the semi-annual report is placed
No. 64, Fenjiang Road North, Chancheng District, Foshan City, Guangdong Province
III. Financial and Business Highlights
（I）Major accounting data and financial indexes
Any retrospective adjustment in previous financial statements?
√ Yes □ No
Major accounting data
Major accounting data Reporting period (Jan.-Jun.) Same period of last year Increase/decrease (%)
Gross operating revenues (RMB
Yuan)
1,064,337,124.25 1,095,319,303.24 -2.83%
Operating profit (RMB Yuan) 160,963,980.79 151,632,304.43 6.15%
Total profit (RMB Yuan) 159,366,447.84 147,367,757.98 8.14%
Net profit attributable to
shareholders of the Company (RMB 134,522,943.15 117,867,457.28 14.13%
Yuan)
Net profit attributable to
shareholders of the Company after
deducting non-recurring gains and
135,668,742.77 121,278,591.24 11.87%
losses (RMB Yuan)
Net cash flow from operating
activities (RMB Yuan)
234,485,514.83 74,468,557.85 214.88%
As at the end of this
As at the end of last year Increase/decrease (%)
reporting period
Total assets (RMB Yuan) 3,402,312,816.35 3,155,554,351.27 7.82%
Owners’ equity attributable to
shareholders of the Company (RMB 2,924,601,012.37 2,790,878,659.33 4.79%
Yuan)
Share capital (share) 978,563,745 978,563,745 0%
Major financial indexes
Major financial indexes Reporting period (Jan.-Jun.) Same period of last year Increase/decrease (%)
Basic EPS (RMB Yuan/share) 0.14 0.12 16.67%
Diluted EPS (RMB Yuan/share) 0.14 0.12 16.67%
Basic EPS after deducting
non-recurring gains and losses 0.14 0.12 16.67%
(RMB Yuan/share)
Fully diluted ROE（%） 4.71% 4.39% 0.32%
Weighted average ROE（%） 4.71% 4.39% 0.32%
Fully diluted ROE after deducting
non-recurring gains and losses（%）
4.75% 4.52% 0.23%
Weighted average ROE after
4.75% 4.52% 0.23%
deducting non-recurring gains and
2
losses（%）
Net cash flow per share from
operating activities (RMB 0.24 0.08 200%
Yuan/share)
As at the end of this
As at the end of last year Increase/decrease (%)
reporting period
Net assets per share attributable to
shareholders of the Company 2.99 2.85 4.84%
(RMB Yuan/share)
Liability/asset ratio（%） 12.67% 10.05% 2.62%
Notes to major accounting data and financial indexes before the end of this reporting period (please write an adjustment note if
there’s any retrospective adjustment)
Naught
（II）Accounting data differences under the domestic and overseas accounting standards
1. Net profit and net asset differences between financial reports disclosed according to the international and
Chinese accounting standards respectively
√ Applicable □ Inapplicable
Unit: RMB Yuan
Net profit attributable to shareholders of listed Owners’ equity attributable to shareholders of
company listed company
As at the end of this As at the beginning of
Reporting period Same period of last year
reporting period this reporting period
As per Chinese accounting
standards
134,522,943.15 117,867,457.28 2,924,601,012.37 2,790,878,659.33
Items and amounts adjusted in accordance with international accounting standards:
As per international
accounting standards
134,522,943.15 117,867,457.28 2,924,601,012.37 2,790,878,659.33
2. Net profit and net asset differences between financial reports disclosed according to the overseas and
Chinese accounting standards respectively
□ Applicable √Inapplicable
3. Specific items involving significant difference
□ Applicable √Inapplicable
4. Notes to accounting data differences under the domestic and overseas accounting standards
Naught
（III）Items of non-recurring gains and losses
√Applicable □Inapplicable
Items Amount (RMB Yuan) Notes
Gains and losses on disposal of non-current assets -119,256.76
Tax rebate, reduction or exemption due to un-authorized
approval or the lack of formal approval documents
Government grants recognized in the current year, except
for those acquired in the ordinary course of business or
382,000
granted at certain quotas or amounts according to the
country’s unified standards
Capital occupation fees received from non-financial
240,656.2
enterprises that are included in current gains and losses
Gains generated when the investment costs of the
Company’s acquiring subsidiaries, associates and joint
ventures are less than the fair value of identifiable net assets
in the investees attributable to the Company in the
3
acquisition of the investments
Exchange gains and losses of non-monetary assets
Gains and losses through entrusting others to invest or
manage assets
Various asset impairment provisions due to acts of God such
as natural disasters
Gains and losses on debt restructuring
Enterprise reorganization expenses, such as expenses on
employee settlement and integration
Gains and losses on the parts exceeding the fair value when
prices of transactions become unfair
Net current gains and losses from the period-begin to the
combination date of subsidiaries due to business
combinations under the same control
Gains and losses on contingent matters which are irrelevant
to the normal operation of the Company
Gains and losses on fair value changes of transactional
financial assets and liabilities, and investment gains on
disposal of transactional financial assets and liabilities and 14,936.03
available-for-sale financial assets, except for the effective
hedging business related to the Company’s normal operation
Reversal of impairment provisions for accounts receivable
which are separately tested for impairment signs
Gains and losses on entrustment loans from external parties
Gains and losses on fair value changes of investing
properties for which the fair value method is adopted for
subsequent measurement
Current gain and loss effect due to a just-for-once
adjustment to current gains and losses according to
requirements of taxation and accounting laws and
regulations
Custodian fee income from entrusted operations with the
Company
Other non-operating incomes and expenses besides the
-1,860,276.19
items above
Other gain and loss items that meet the definition of
-13.02
non-recurring gains and losses
Minority interests effects
Income tax effects 196,154.12
Total -1,145,799.62 --
Explanation given by the Company to “other gain and loss items that meet the definition of non-recurring gains and losses” and when
it recognizes a non-recurring gain and loss item as a recurring one according to the nature and features of its ordinary business
Amount involved (RMB
Item Notes
Yuan)
Minority interest 13.02
IV. Changes in Share Capital and Particulars about Shareholders
（I）Changes in share capital
1. Statement of changes of shares
√Applicable □Inapplicable
Before the change Increase/decrease (+, -) After the change
Proportion Issuance Bonus Capitalizat Proportio
Amount Others Subtotal Amount
(%) of new shares ion of n (%)
4
shares public
reserve
fund
I. Shares subject to trading 137,190,4 137,190,4
14.02% 14.02%
moratorium 40 40
1. State-owned shares 0 0% 0 0%
2. State-owned legal
0 0% 0 0%
person shares
3. Other domestic shares 4,286,189 0.44% 4,286,189 0.44%
Including: Shares held by
domestic non-state-owned 3,760,618 0.38% -27,025 -27,025 3,733,593 0.38%
legal persons
Shares held by
525,571 0.05% 27,025 27,025 552,596 0.06%
domestic individuals
4. Shares held by overseas 131,815,6 131,815,6
13.47% 13.47%
shareholders 85 85
Including: Shares held by 131,815,6 131,815,6
overseas legal persons 13.47% 13.47%
85 85
Shares held by
0 0% 0 0%
overseas individuals
5. Shares held by senior
1,088,566 0.11% 1,088,566 0.11%
management staff
II. Shares not subject to 841,373,3 841,373,3
85.98% 85.98%
trading moratorium 05 05
1. Ordinary shares 616,152,2 616,152,2
62.96% 62.96%
denominated in RMB 68 68
2. Domestically listed 225,221,0 225,221,0
23.02% 23.02%
foreign shares 37 37
3. Overseas listed foreign
shares
4. Others
978,563,7 978,563,7
III. Total shares 100% 100%
45 45
2. Changes of shares subject to trading moratorium
√ Applicable □ Inapplicable
Reason for
Name of Shares at the Shares released in Shares increased Shares at the
trading Date of release
shareholder year-begin current year in current year year-end
moratorium
Uncertain (as the
Foshan Bitang Equity splitting consideration of
3,405 3,377 0 28
Printing Factory reform equity splitting
reform unpaid)
Uncertain (as the
Foshan Agency Equity splitting consideration of
30,468 13,514 0 16,954
Printing Factory reform equity splitting
reform unpaid)
Uncertain (as the
Foshan Jin Ge Equity splitting consideration of
77,839 10,134 0 67,705
Mansion reform equity splitting
reform unpaid)
Uncertain (as the
Equity splitting consideration of
Yang Hongling 0 0 3,377 3,377
reform equity splitting
reform unpaid)
Chen Hanlei 0 0 13,514 13,514 Equity splitting Uncertain (as the
consideration of
5
reform equity splitting
reform unpaid)
Uncertain (as the
Equity splitting consideration of
Long Guangxian 0 0 10,134 10,134
reform equity splitting
reform unpaid)
Total 111,712 27,025 27,025 111,712 -- --
（II）Issuance and listing of securities
1. Securities issues in the previous three years
□Applicable √Inapplicable
2. Changes of the Company’s share number and structure, as well as the corresponding changes in its
asset-liability structure
□Applicable √Inapplicable
3. Existing employee shares
□Applicable √Inapplicable
（III）Shareholders and actual controller
1. Total number of shareholders at the end of the reporting period
The Company had 160,494 shareholders in total at the end of the reporting period.
2. Shareholding of the top ten shareholders
Particulars about shares held by the top ten shareholders
Number of Pledged or frozen shares
shares held
Name of shareholder (full Nature of Shareholding Total shares held
subject to Number of
name) shareholder percentage (%) at the period-end Status of shares
trading shares
moratorium
OSRAM HOLDING Foreign
13.47% 131,815,685 131,815,685 0
COMPANY LIMITED corporation
PROSPERITY LAMPS & Foreign
10.5% 102,751,648 0 0
COMPONENTS LIMITED corporation
DBS VICKERS (HONG
Foreign
KONG) LTD A/C 1.37% 13,415,143 0 0
corporation
CLIENTS
Taifook Securities Company Foreign
1.11% 10,906,212 0 0
Limited-Account Client corporation
EAST ASIA SECURITIES Foreign
0.97% 9,527,080 0 0
COMPANY LIMITED corporation
Foreign natural
ZHUANG JIANYI 0.86% 8,404,132 0 0
person
GUANGZHOU
Domestic
PROSPERITY LAMPS &
non-state-owne 0.57% 5,586,815 675,675 0
COMPONENTS TRADE
d corporation
CO., LTD.
NIHK-CUSTOMERS' Foreign
0.32% 3,126,799 0 0
SEGREGATED ACCOUNT corporation
Domestic
ZHAO XIYI 0.32% 3,100,000 0 0
natural person
Domestic
ZHANG YUAN 0.31% 3,000,000 0 0
natural person
Notes to particulars about shareholders
Particulars about shares held by the top ten shareholders holding shares not subject to trading moratorium
√Applicable □Inapplicable
Name of shareholder Number of shares held Type and number of shares
6
not subject to trading
moratorium at the Type Number
period-end
PROSPERITY LAMPS & COMPONENTS
102,751,648 A-share 102,751,648
LIMITED
DBS VICKERS (HONG KONG) LTD A/C
13,415,143 B-share 13,415,143
CLIENTS
Taifook Securities Company Limited-Account
10,906,212 B-share 10,906,212
Client
EAST ASIA SECURITIES COMPANY LIMITED 9,527,080 B-share 9,527,080
ZHUANG JIANYI 8,404,132 B-share 8,404,132
GUANGZHOU PROSPERITY LAMPS &
4,911,140 A-share 4,911,140
COMPONENTS TRADE CO., LTD.
NIHK-CUSTOMERS' SEGREGATED
3,126,799 B-share 3,126,799
ACCOUNT
ZHAO XIYI 3,100,000 A-share 3,100,000
ZHANG YUAN 3,000,000 A-share 3,000,000
QUAN BISHU 2,592,209 A-share 2,592,209
Explanation on associated relationship among the top ten shareholders or/and acting-in-concert
Among the top ten shareholders of the Company, Prosperity Lamps & Components Limited and Zhuang Jianyi exist related
relationship, and they are acting-in-concert. Apart from this, it’s unknown whether there is any associated relationship among other
shareholders of the top ten shareholders and the top ten shareholders holding shares not subject to trading moratorium, whether there
is any action-in-concert among them regarding to Administrative Measures on Acquisition of Listed Companies.
3. Controlling shareholder and actual controller
（1）Change of the controlling shareholder and actual controller
□Applicable √Inapplicable
（2）Particulars about the controlling shareholder and actual controller
Is there a new actual controller?
□ Yes √ No □ Inapplicable
Particulars:
There exists no so called controlling shareholder or actual controller.
（3）Illustration on the relationship between the Company and its actual controller
There exists no so called controlling shareholder or actual controller.
(1) The first principal shareholder of the Company is OSRAM Holding Company Limited, which was established in Hong Kong in
Jun. 2004 with registered capital of HKD 500,000, when it had no substantial operations; currently held 13.47% equity of the
Company.
(2) The second principal shareholder of the Company is Prosperity Lamps & Components Limited, which was established in Hong
Kong in 1978 with registered capital of HKD 2 million and Legal Representative being Zhuang Jianyi, main business scope covering
sales and exportation of lighting products, import and export trade; currently held 10.5% equity of the Company.
(3) Illustration on relationship between the Company and its first principal shareholder
Germany SIEMENS
100%
OSRAM Germany
100%
OSRAM Holding Company Limited
7
13.47%
Foshan Electrical and Lighting Co., Ltd
（4）The actual controller controls the Company via trust or other ways of asset management.
□Applicable √Inapplicable
4. Other corporate shareholders with a shareholding over 10%
√Applicable □Inapplicable
Registered
Legal Incorporated Main operating business or capital
(RMB ’0000 currency
Name of corporate shareholder
representative date management activities
)
MICHEL No substantial operating
OSRAM Holding Company Limited 30 Jun. 2004 50 HKD
Jean-Paul Henri business
Prosperity Lamps & Components Trading and manufacturing of
Zhuang Jianyi 28 Apr. 1978 200 HKD
Limited lamps and components
Notes
（IV）Convertible corporate bonds
□Applicable √Inapplicable
V. Directors, Supervisors and Senior Management
8
（I）Shareholding changes of directors, supervisors and senior management
Shareholding Shareholding Receives
Share
Shareholding increase decrease Shareholding Including: payment
Beginning Ending date options held
at the during this during this at the restricted Reasons for from
Name Position Gender Age date of office of office at the
period-begin reporting reporting period-end shares held change shareholder
term term period-end
(share) period period (share) (share) units or other
(share)
(share) (share) related units?
Zhong Chairman of
Male 69 27 May 2010 1 Jun. 2013 876,206 0 0 876,206 657,153 0 No
Xincai the Board
Vice
chairman of
Liu
the Board Male 50 27 May 2010 1 Jun. 2013 351,280 0 0 351,280 263,460 0 No
Xingming
& General
Manager
Mr. Joerg
Director Male 49 27 May 2010 23 Jul. 2012 0 0 0 0 0 0 Yes
Thaele
Mr. Francis
Michael Director Male 64 25 May 2010 12 Apr. 2012 0 0 0 0 0 0 Yes
Piscitelli
Wu Shengbo Director Male 46 23 May 2012 1 Jun. 2013 0 0 0 0 0 0 Yes
Ye Zaiyou Director Male 56 27 May 2010 1 Jun. 2013 0 0 0 0 0 0 No
Zhao Yong Director Male 46 27 May 2010 1 Jun. 2013 8,700 0 0 8,700 6,525 0 No
Liu Independent
Male 64 27 May 2010 1 Jun. 2013 0 0 0 0 0 0 No
Zhenping Director
Independent
Dou Linping Male 53 27 May 2010 1 Jun. 2013 0 0 0 0 0 0 No
Director
Zhang Independent
Female 39 27 May 2010 21 Aug. 2012 0 0 0 0 0 0 No
Haixia Director
Jiao Zhigang Supervisor Male 40 27 May 2010 1 Jun. 2013 22,880 0 0 22,880 17,160 0 No
Ye
Supervisor Male 39 27 May 2010 1 Jun. 2013 20,560 0 0 20,560 15,420 0 No
Zhenghong
9
Yang
Supervisor Male 47 27 May 2010 1 Jun. 2013 3,900 0 0 3,900 2,925 0 No
Xudong
Zhuang
Supervisor Male 55 27 May 2010 1 Jun. 2013 0 0 0 0 0 0 Yes
Rujia
Zhang
Supervisor Male 61 27 May 2010 1 Jun. 2013 0 0 0 0 0 0 Yes
Yingqi
Deputy
Xie Qing General Male 38 27 May 2010 12 Jun. 2012 12,950 0 0 12,950 9,150 0 No
Manager
Deputy
Wei Bin General Male 43 14 Dec. 2011 1 Jun. 2013 15,684 0 0 15,684 11,763 0 No
Manager
Deputy
General
Zhou
Manager and Male 51 5 Jan. 2011 1 Jun. 2013 0 0 0 0 0 0 No
Xiangfeng
Secretary to
the Board
Deputy
Zou Jianping General Male 57 14 Dec. 2011 1 Jun. 2013 0 0 0 0 0 0 No
Manager
Wang Financial
Female 50 27 May 2010 1 Jun. 2013 140,013 0 0 140,013 105,010 0 No
Shuqiong Manager
Total -- -- -- -- -- 1,452,173 1,452,173 1,088,566 -- --
Equity incentives granted to directors, supervisors and senior management during the reporting period
□Applicable √Inapplicable
10
（II）Post-holding particulars
Post-holding in shareholders units
√Applicable □Inapplicable
Name of the
Position in
person holding Receives payment
the Beginning date Ending date of
any post in any Name of the shareholder unit from the shareholder
shareholder of office term office term
shareholder unit?
unit
unit
Person in
charge of
Mr. Joerg General
OSRAM Holding Company Limited 1 Nov. 2011 Yes
Thaele Lighting
Manufacturin
g Department
Mr. Francis
Michael OSRAM Asia-Pacific Co., Ltd. President 1 Jan. 2006 31 Mar. 2012 Yes
Piscitelli
Zhuang Rujia Prosperity Lamps & Components Limited Director 28 Apr. 1989 Yes
Guangzhou Pearl River Asset Chairman of
Zhang Yingqi 1 Aug. 2010 31 Jul. 2012 Yes
Management Co., Ltd. the Board
Wu Shengbo OSRAM Asia-Pacific Co., Ltd. President 1 Apr. 2012 Yes
Notes to
post-holding in
shareholder
units
Post-holding in other units
√Applicable □Inapplicable
Name of the
person holding Position in Beginning date Ending date of Receives payment
Name of other unit
any post in other unit of office term office term from other unit?
other units
Liaoning Huize Certified Public General
Liu Zhenping 18 Jul 2004 Yes
Accountants Co., Ltd. Manager
Shenyang Zhongzhou shenghua financial General
Liu Zhenping 5 Aug 2011 Yes
management co., LTD Manager
Secretary-Ge
Dou Linping China Illuminating Engineering Society 5 Jun 2012 Yes
neral
Practicing
Zhang Haixia Shenzhen Xintong Law Firm 6 May 2004 Yes
Lawyer
Foshan Nanhai Wuzhuang Global Ceramic Chairman of
Ye Zaiyou 10 Aug 1993 Yes
Factory the Board
Notes to
post-holding in
other units
11
（III）Remuneration for directors, supervisors and senior management
Decision-making The Remuneration & Appraisal Committee under the Board of Directors decides the remuneration of
procedure for the directors, supervisors and senior management in accordance with the Plan for Implementing the Equity
remuneration of directors, Incentive Mechanism for Middle-and Top-Rank Management Personnel reviewed and approved on the
supervisors and senior 2001 Annual Shareholders’ General Meeting, and the particulars on completing current main financial
management indexes & operating goals, as well as the fulfillment of job responsibilities by them.
Basis for determining the
The remuneration of directors, supervisors and senior management who withdraw remuneration in the
remuneration of directors,
Company are all decided in accordance with the Company’s Plan for Implementing the Equity Incentive
supervisors and senior
Mechanism for Middle-and Top-Rank Management Personnel and relevant appraisal indexes.
management
Actual payment of the
remuneration of directors,
Parts of the remuneration are paid monthly, and the incentive funds are paid at period-end.
supervisors and senior
management
（IV）Change of directors, supervisors and senior management
Name Position Way of change Date of change Reason for change
Francis
Mr. Francis Michael Piscitelli resigned as a director of the
Michael Director Leaving office 12 Apr. 2012
Company due to personal reasons.
Piscitelli
Wu Take post of On 23 May 2012, the Company’s 2011 Annual
Director 23 May 2012
Shengbo director Shareholders’ General Meeting reviewed and approved
（V）Employees
Number of on-job employees 8,297
Number of retired employees for whom the Company shall bear
0
expenses
Function structure
Type of function Number of personnel
Production 7,602
Sale 193
Technical 427
Financial 31
Administration 44
Level of education
Level of education Number of personnel
High school and below 7,485
Junior college 625
12
University 184
Master degree 3
VI. Report of the Board of Directors
（I）Discussion and analysis by the management
During the reporting period, the deteriorating European debt crisis led to a grave situation in export.
The tight domestic macro-control policy in real estate continued, economic growth obviously
slowed down and market demand weakened. In face of the unfavorable economic environment, the
Company firmly carried out business targets and relevant measures set at the beginning of the year.
It paid close attention to market changes, developed LED and other new products, adjusted the
product structure and marketing strategy, and enhanced domestic marketing effort. At the same time,
based on its actual situation, the Company strengthened internal management, controlled operating
costs, worked hard on energy saving and consumption reduction, and tried to cushion the hit from
the global economic crisis to the Company’s operating situation. Meanwhile, in the reporting period,
the Company received greater investment incomes from the financial institutions it invested in. As a
result, despite a year-on-year drop in its main business profit, the Company still saw a growth of
business as a whole when compared to the same period of last year.
For the reporting period, the Company achieved operating revenue of RMB 1,064.33 million,
decrease -2.83% the same period of last year; total profit of RMB 159.3664 million, up 8.14% on a
year-on-year basis; and net profit attributable to owners of the Company of RMB 134.5229 million,
representing a year-on-year increase/decrease of 14.13%.
Is the Company’s actual business performance 20% lower or higher than any earning forecast or business plan for the report period
which has been publicly disclosed earlier?
□ Yes □ No √ Inapplicable
Analysis to the business and performances of the Company’s main subsidiaries and stock-participating companies:
Unit: RMB Ten thousand
Name of Registerred Shareholdin
Business nature Main products Total assets Net assets Net profit
subsidiary capital g ratio
Foshan
Ballasts,
Chansheng Producer of ballasts, electronic
electronic
Electronic transformers and electronic RMB100 75% 144.14
transformers and 1,181.25 498.40
Ballast Co., igniters
electronic igniters
Ltd.
Foshan Producer of lamps, electric Lamps, electric
RMB6000 70% 14,325.41 -213.59
Chanchang lighting products and related lighting products 8,403.56
13
Electric fittings, providing relevant and related fittings
Appliances installation and consulting
(Gaoming) services
Co., Ltd.
Foshan
R&D, production and sales of
Lighting
lamps, household appliances
Taimei Times Lamps RMB50 70% 12,094.24 310.40
and fittings, and other electric 2,359.09
Lamps Co.,
lighting products
Ltd.
Foshan
Mainly engaged in tourist
Gaoming
services, catering services,
Fuwan
sauna, feet bathing, games, Hotel services RMB480 100% -155.52
Landscape 4,726.41 -170.83
wine & drink retail, water
Resort Co.,
sports, chesses & cards
Ltd.
Foshan R&D and production of lamps
Lighting of electric light source and
Lamps RMB500 100%
Lamps Co., related electrical, metal and 806.58 807.98 1.60
Ltd. nonmetal fittings
Production and sale of
equipments and products of
FSL
electric light source; and sale of Products of
(Xinxiang)
components of electric light electric light RMB1000 100%
Lighting Co., 833.73 819.28 -43.11
source, related materials, source
Ltd.
electrical materials, automobile
components, lamps and fittings
Qinghai
Fozhao
Lithium Ion Lithium ion
Producing and selling lithium
Battery battery cathode RMB5000 51% -194.28
ion battery cathode materials 4,354.13 3,694.10
Cathode materials
Materials Co.,
Ltd.
Financial leasing service for
Guangdong
new-energy automobiles &
Fozhao
main components, Leasing service RMB20000 100% 20,495.87 20,456.69 235.36
Leasing Co.,
energy-saving lighting products
Ltd.
& projects
Guangdong Production and sale of LED
LED lighting
Fozhao New lighting products and LED RMB22200 54.95% -104.76
products 1,244.55 779.12
Light Sources lighting application products;
14
Technology lighting product installation
Co., Ltd.
Production of energy-saving
Nanjing
lighting products, lamps and
Fozhao
lighting equipments; lighting
Lighting
projects; energy-saving Lighting products RMB4168.32 100% 10,767.19
Components 7,992.77 93.25
technology development and
Manufacturin
production of relevant fittings;
g Co., Ltd.
sale of self-produced products
All risk factors that might have adverse impact on the Company’s effort to realize its future development strategy and business goals:
1. Influence from the macro-economy
Due to the deteriorating European debt crisis, global economic recovery is still very slow. Europe forms a large proportion in the
Company’s export, so the weak European economy affects the Company’s export. Domestic economy sees an obvious slowdown in
growth, with decreasing market demand in the industry.
2. Market risks
Currently, the Company is mainly engaged in light source and lamp products. Competition becomes fiercer in the domestic electric
light source industry. The fights over product prices and marketing channels will lead to rising operating expenses of electric light
source enterprises and the average profit in the industry becomes smaller.
1. Main business lines and their operating results
（1）Main business lines classified by industries and products
Unit: RMB Yuan
Increase/decrease Increase/decrease
Increase/decrease
of operating of gross profit
of operating cost
Industries/product Operating Gross profit rate revenue rate compared
Operating cost compared with
s revenue (%) compared with with the same
the same period
the same period period last year
last year (%)
last year (%) (%)
Industries
Lighting fixtures 1,043,293,038.0
781,366,213.55 25.49% -0.87% -2.07% 0.92%
and lamps 7
Hotel services 9,948,208.51 7,316,095.61 26.46% -3.44% 21.38% -14.98%
Products
Lighting fixtures 1,043,293,038.0
781,366,213.55 25.49% -0.87% -2.07% 0.92%
and lamps 7
Hotel services 9,948,208.51 7,316,095.61 26.46% -3.44% 21.38% -14.98%
Explanation to the main business performances classified by industries and products:
No significant change.
Explanation to the reasons for any significant year-on-year change of the gross profit rate:
No significant change.
15
（2）Main business lines classified by regions
Unit: RMB Yuan
Increase/decrease compared with the same
Region Operating revenue
period last year (%)
Lighting fixtures and lamps
Domestic 671,284,618.74 -1.29%
Overseas 372,008,419.33 -5.55%
Hotel industry
Domestic 9,948,208.51 -3.34%
（3）Reasons for significant changes in main business and its structure
□Applicable √Inapplicable
（4）Reasons for significant changes in profitability of main business (gross profit rate) compared with that
in the last year
□Applicable √Inapplicable
（5）Analysis on reasons of significant changes in profit breakdown compared with the last year
□Applicable √Inapplicable
(6) Net profit of more than 10% share company business nature, main products or services and
net profit, etc
□Applicable √Inapplicable
2. Internal control rules in relation to fair value measurement
√Applicable □Inapplicable
Items related to fair value measurement:
Unit: RMB Yuan
Gains/losses on fair Accumulative fair Impairment
Item Opening amount value changes in the value changes provisions for the Closing amount
reporting period recorded into equity reporting period
Financial assets
Including: 1.
Financial assets
measured at fair 4,097,366.22 64,722.78 4,162,089
value whose changes
are recorded into
16
current gains and
losses
Of which: derivative
financial assets
2. Available-for-sale
67,814,691.84 -941,870.72 66,872,821.12
financial assets
Subtotal of financial
assets
Financial liabilities
Investing property
Production
biological assets
Others
Total 71,912,058.06 64,722.78 -941,870.72 71,034,910.12
Where the value estimation technique was adopted to determine fair value for the same or similar items within the two years, is there
any significant difference between the value estimation results? If yes, please state in detail.
□Yes □ No √ Inapplicable
3. Foreign-currency financial assets and liabilities held
□Applicable √Inapplicable
（II）Investments
1. General utilization of the raised funds
□Applicable √Inapplicable
2. Projects promised to be invested with raised funds
□Applicable √Inapplicable
3. Change of projects invested with raised funds
□Applicable √Inapplicable
17
4. Significant projects invested with non-raised funds
□Applicable √ Inapplicable
（III）Revision of the Board of Directors’ business plan for the second half of the year
□Applicable √Inapplicable
（IV）Business performance estimate for Jan.-Sept. 2012
Warnings of estimated possible losses or major changes of the accumulative net profit achieved during the period from the beginning
of the year to the end of the next report period compared with the same period of last year, as well as the reasons
□Applicable √Inapplicable
（V）Explanation of the Board of Directors on “Non-standard Auditing Report” issued by the
CPA firm for the report period
□Applicable √Inapplicable
（VI）Explanation of the Board of Directors on changes and solutions of the issues involved in
the “Non-standard Auditing Report” issued by the CPA firm for last year
□Applicable √Inapplicable
（VII）State the discussion results of the Board of Directors on the reasons and influence of
the Company’s accounting policy and estimate alterations or significant accounting error
correction
□Applicable √Inapplicable
18
（VIII）Formulation and execution of the Company’s cash dividend policy
In the reporting period, according to the CSRC Notice on Further Implementing Matters Related to Cash Dividend
Distribution of Listed Companies (Zheng-Jian-Fa [2012] No. 37) and the Guangdong CSRC Notice on Further
Implementing Regulations Related to Dividend Distribution of Listed Companies (Guang-Dong-Zheng-Jian [2012] No. 91),
taking into account its actual situation, the Company formulated the Management Rules for Profit Distribution and the
Return for Shareholder Plan for the Coming Three Years (2012-2014), and amended the profit distribution articles in its
Articles of Association. The Company stipulated its cash dividend policy and the relevant decision-making and supervision
procedures. Meanwhile, it specified the suggestion and supervision power on its dividend distribution of all shareholders
(especially minority shareholders) and independent directors, as well as the relevant decision-making procedure and
supplementary rules. The profit accumulatively distributed in cash by the Company for the previous three years (2009-2011)
accounted for 91.79% of the net profit attributable to shareholders of the Company.
（IX）Pre-plan for profit distribution or turning capital reserve into share capital
□Applicable √Inapplicable
（X）The accumulative retained profit as at the end of 2011 is a positive number but the
Company has not put forward a cash dividend pre-plan.
□Applicable √Inapplicable
（XI）Other matters that need to be disclosed
Naught
（XII）The Company’s liabilities, credit changes and future cash arrangements for
debt-clearing (Only listed companies with convertible corporate bonds are required to
fill the table below.)
□Applicable √Inapplicable
19
VII. Significant Events
（I）Corporate governance
Since its listing, the Company has strictly followed relevant regulations and requirements of Company Law, Securities Law, Code of
Corporate Governance of Listed Companies and Guidelines on Articles of Association of Listed Companies, set up governance
structure of responsible shareholders’ general meeting, the Board of Directors, the Supervisory Committee and managers, who
performed right of decision-making, execution and supervision respectively according to their duties. The Company also formulated
Articles of Association, Rules for Procedure of Shareholders’ General Meeting, Rules for Procedure of the Board of Directors, Rules
for Procedure of the Supervisory Committee, Work System for Independent Directors, Specific Work Rules for General Manager, etc.
During the reporting period, in order to further improve its internal control system, according to requirements of the regulatory
authorities, the Company formulated the work plan and implementation plan for the internal control improvement. Currently, the
relevant work is proceeding as scheduled. In order to improve its corporate governance and information disclosure quality, the
Company formulated the Work Rules for Company Secretary according to the Opinion of Guangdong CSRC Bureau about
Enhancing Management of Company Secretaries of Listed Companies in Guangdong and the Notice of Guangdong CSRC Bureau
about Conducting Special Checks for Implementation of the Work Rules for Company Secretaries of Listed Companies. At the same
time, according to the notices issued by CSRC or Guangdong CSRC Bureau about cash dividend distribution of listed companies,
taking into account its actual situation, the Company amended the cash dividend articles in its Articles of Association and formulated
the Management Rules for Profit Distribution and the Return for Shareholder Plan for the Coming Three Years (2012-2014).
Currently, the actual situation of the Company’s governance meets requirements of applicable laws, regulations and regulatory
documents.
（II）Execution of the plans for profit distribution, turning capital reserve into share capital
or new share issuance which had been made in the previous period and were carried out in
the report period
√Applicable □Inapplicable
On 23 May 2012, the 2011 Annual Profit Distribution Plan was reviewed and approved at the Company’s 2011 Annual Shareholders’
General Meeting. According to the Plan, based on the total 978,563,745 shares as at the end of 2011, the Company distributed a cash
dividend of RMB 2.5 for every 10 A-shares or B-shares (tax included and dividends for B-share holders paid in HK dollars). For
A-shares, the date of record was 11 Jul. 2012 and the ex-dividend date was 12 Jul. 2012. And for B-share holders, the last trading
date was 11 Jul. 2012, the ex-dividend date was 12 Jul. 2012 and the date of record was 16 Jul. 2012. The Announcement on
Implementation of the 2011 Annual Profit Distribution Plan was disclosed on China Securities Journal, Securities Times, Ta Kung
Pao and http://www.cninfo.com.cn dated 4 Jul. 2012. The aforesaid dividend distribution has been executed according to the relevant
resolution of the 2011 Annual Shareholders’ General Meeting and the dividend distribution implementation announcement.
20
(III) Significant litigations and arbitrations
□Applicable √Inapplicable
The Company was not involved in any significant lawsuit or arbitration during the reporting period.
21
(IV) Bankruptcy or reorganization events
□Applicable √Inapplicable
(V) Holding equity of other listed companies and joint financial enterprises
1. Securities investment
√Applicable □Inapplicable
Proportion in
Initial Number of Closing the total Gain/loss in
Serial Variety of Code of Abbr. of investment shares held at carrying closing the reporting
No. securities securities securities amount the amount securities period (RMB
(RMB Yuan) period-end (RMB Yuan) investment Yuan)
amount (%)
1 Funds 5,000,000 4,162,089 100%
Other securities investments held at the period-end --
Gain/loss on selling securities in the reporting period -- -- -- --
Total -- 100%
Disclosure date of the board announcement of securities
25 Nov 2010
investment approval
Disclosure date of the general meeting announcement of
securities investment approval
2. Holding equity of other listed companies
√Applicable □Inapplicable
Change of
Proportion in
Initial Closing Gain/loss in owners’
the
investment carrying the reporting equity during Accounting
Stock code Stock abbr. company’s Stock source
amount amount period (RMB the reporting title
total equity
(RMB Yuan) (RMB Yuan) Yuan) period (RMB
(%)
Yuan)
Available-for
Everbright 66,872,821.1 -sale Additional
601818 30,828,816 0.06% 800,590.11
Bank 2 financial issue
assets
66,872,821.1
Total 30,828,816 -- 800,590.11 -- --
2
22
3. Holding equity of non-listed financial enterprises
√Applicable □Inapplicable
Change of
Proportion in
Name of the Initial Closing Gain/loss in owners’
the
non-listed investment Number of carrying the reporting equity during Accounting
company’s Stock source
financial amount shares held amount period (RMB the reporting title
total equity
enterprise (RMB Yuan) (RMB Yuan) Yuan) period (RMB
(%)
Yuan)
China Less Long-term
Additional
Guangfa 500,000.00 229,792 than 500,000.00 equity
issue
Bank 5% investment
Long-term
Additional
Xiamen Bank 208,574,217 85,714,200 7.99% 208,574,217 equity
issue
investment
Total 209,074,217 85,943,992 -- 209,074,217 -- --
4. Trading stocks of other listed companies
□Applicable √Inapplicable
(VI) Assets transaction events
23
1. Purchase of assets
□Applicable √Inapplicable
2. Sale of assets
□Applicable √Inapplicable
3. Exchange of assets
□Applicable √Inapplicable
24
4. Business combination
□Applicable √Inapplicable
5. Progress of these events after the publication of the assets reorganization report or public notices on the
purchases or sales of assets, as well as the influences of these events on the operation results and financial
status of the Company in this report period
□Applicable √Inapplicable
(VII) Explanation on shareholding increase scheme during the report period proposed or
implemented by the principal shareholders and act-in-concert persons
□Applicable √Inapplicable
(VIII) Implementation situation and influence of equity incentive plan of the Company
□Applicable √Inapplicable
(IX) Significant related-party transactions
25
1. Related-party transactions relevant to routine operation
√ Applicable □ Inapplicable
Reason for
significant
Pricing Proportion in Settlement
Type of the Content of the Transaction Transaction Influence on Market price difference
principle of the same kind of method of the
Related party Relationship related-party related-party price (RMB amount (RMB the profits of (RMB Ten between the
related-party transactions related-party
transaction transaction Ten thousand) Ten thousand) the Company thousand) transaction
transaction (%) transaction
price and the
market price
Shareholder
Prosperity Selling products
holding more
Lamps & and providing Electro-optical Insignificant
than 5% Market pricing 3,182.89 3,182.89 2.91% Remittance 3,182.89 No
Components labor services to source products influence
shares of the
Limited related parties
Company
Prosperity
Company Selling products
(Hangzhou)
controlled by and providing Electro-optical Insignificant
Lighting and Market pricing 20.05 20.05 0.02% Remittance 20.05 No
related natural labor services to source products influence
Electrical Co.,
persons related parties
Ltd.
Prosperity Company Selling products
Electrical controlled by and providing Electro-optical Insignificant
Market pricing 91.56 91.56 0.08% Remittance 91.56 No
(China) Co., related natural labor services to source products influence
Ltd. persons related parties
OSRAM Company Selling products
(China) affected by and providing Electro-optical Insignificant
Market pricing 806.11 806.11 0.74% Remittance 806.11 No
Lighting Co., related natural labor services to source products influence
Ltd. persons related parties
Swanki Company Selling products Electro-optical Market pricing 133.05 133.05 0.12% Check Insignificant 133.05 No
26
(Foshan) controlled by and providing source products influence
Electric related natural labor services to
Corporation persons related parties
Zlamp Company Selling products
(Foshan) controlled by and providing Electro-optical Insignificant
Market pricing 151.28 151.28 0.14% Check 151.28 No
Enterprise Co., related natural labor services to source products influence
Ltd. persons related parties
Foshan
Company Selling products
Hongbang
affected by and providing Electro-optical Insignificant
Electrical & Market pricing 532.62 532.62 0.49% Check 532.62 No
related natural labor services to source products influence
Lighting Co.,
persons related parties
Ltd.
Foshan Company Selling products
Feidelun affected by and providing Electro-optical Insignificant
Market pricing 612.32 612.32 0.56% Check 612.32 No
Electric Co., related natural labor services to source products influence
Ltd. persons related parties
Nanjing
Kaixiang Company Selling products
Electric affected by and providing Electro-optical Insignificant
Market pricing 215.51 215.51 0.2% Remittance 215.51 No
Lighting related natural labor services to source products influence
Source Co., persons related parties
Ltd.
Haolin
Lighting & Company Selling products
Electrical affected by and providing Electro-optical Insignificant
Market pricing 20.06 20.06 0.02% Check 20.06 No
Department of related natural labor services to source products influence
Foshan persons related parties
Chancheng
27
District
Foshan Company Selling products
Gaoming Shijia affected by and providing Electro-optical Insignificant
Market pricing 24.65 24.65 0.02% Check 24.65 No
Lighting Co., related natural labor services to source products influence
Ltd. persons related parties
Prosperity Purchasing
Company
(Xinxiang) products and
controlled by Electro-optical Insignificant
Lighting accepting labor Market pricing 7.35 7.35 0.01% Remittance 7.35 No
related natural source materials influence
Machinery Co., services from
persons
Ltd. related parties
Xiamen Purchasing
Company
Jiandawei products and
controlled by Electro-optical Insignificant
Optoelectronics accepting labor Market pricing 266.7 266.7 0.41% Remittance 266.7 No
related natural source materials influence
Technology services from
persons
Co., Ltd related parties
Foshan Nanhai Purchasing
Company
Guangming products and
controlled by Electro-optical Insignificant
Electric accepting labor Market pricing 160.47 160.47 0.24% Check 160.47 No
related natural source materials influence
Appliance Co., services from
persons
Ltd. related parties
Prosperity Purchasing
Company
(Xinxiang) products and
controlled by Electro-optical Insignificant
Electro-Optical accepting labor Market pricing 12.29 12.29 0.02% Remittance 12.29 No
related natural source materials influence
Machinery Co., services from
persons
Ltd related parties
Prosperity Shareholder Purchasing
Electro-optical Insignificant
Lamps & holding more products and Market pricing 353.87 353.87 0.54% Remittance 353.87 No
source materials influence
Components than 5% accepting labor
28
Limited shares of the services from
Company related parties
Purchasing
Prosperity Company
products and
Electrical controlled by Electro-optical Insignificant
accepting labor Market pricing 132.59 132.59 0.2% Remittance 132.59 No
(China) Co., related natural source materials influence
services from
Ltd. persons
related parties
Purchasing
Zlamp Company
products and
(Foshan) controlled by Electro-optical Insignificant
accepting labor Market pricing 4.27 4.27 0.01% Check 4.27 No
Enterprise Co., related natural source materials influence
services from
Ltd. persons
related parties
Purchasing
Foshan Company
products and
Feidelun affected by Electro-optical Insignificant
accepting labor Market pricing 1,148.58 1,148.58 1.75% Check 1,148.58 No
Electric Co., related natural source materials influence
services from
Ltd. persons
related parties
Nanjing
Purchasing
Kaixiang Company
products and
Electric affected by Electro-optical Insignificant
accepting labor Market pricing 304.26 304.26 0.46% Remittance 304.26 No
Lighting related natural source materials influence
services from
Source Co., persons
related parties
Ltd.
Total -- -- 8,180.48 -- -- -- --
Details of large amount of sales returns Naught
Necessity and continuity of related-party transaction as well as The above transactions on purchasing products and receiving labor service are the normal activities to meet the needs of the
reason of choosing the related party (but not other transaction Company’s routine operation, with the purchasing principles of market pricing and optimum selecting; while the transactions on
parties) to conduct the said transaction selling goods and providing labor services are the routine operating activities for the Company, with the principle of market pricing,
29
which are good for the Company to increase operating revenue and profits.
Impacts of related-party transaction on independency of the
Naught
Company
Dependant degree of the Company on related party and relevant
Naught
solutions for the dependence (if any)
As for the prediction on the total amount of routine related-party
transactions to be occurred in the report period by relevant types, During the reporting period, the Company’s related-party transactions are all routine business, which are carried out as schedule.
the actual performance in the report period
It’s the actual needs for the Company to carry related-party transactions on trading products and labor service with related parties,
and the said transactions are compliant, actual, objective with rational & fair prices and no significant changes in pricing policies,
Explanation on related-party transaction
which have no influence on its financial status and authenticity & reliability of operating results, without any harm to the interest of
the Company and its shareholders, existing no intra-industry competition.
Related-party transactions relevant to routine operation
Selling products and providing labor services to related parties Purchasing products and accepting labor services from related parties
Related party Transaction amount (RMB Ten Proportion in same kind of Transaction amount (RMB Ten Proportion in same kind of
thousand) transactions (%) thousand) transactions (%)
Prosperity Lamps & Components Limited 3,182.89 2.91% 353.87 0.54%
Prosperity (Hangzhou) Lighting and
20.05 0.02% 0 0
Electrical Co., Ltd.
Prosperity Electrical (China) Co., Ltd. 91.56 0.08% 132.59 0.2%
OSRAM (China) Lighting Co., Ltd. 806.11 0.74% 0 0
Swanki (Foshan) Electric Corporation 133.05 0.12% 0 0
Zlamp (Foshan) Enterprise Co., Ltd. 151.28 0.14% 4.27 0.01%
Foshan Hongbang Electrical & Lighting Co.,
532.62 0.49% 0 0
Ltd.
30
Foshan Feidelun Electric Co., Ltd. 612.32 0.56% 1,148.58 1.75%
Nanjing Kaixiang Electric Lighting Source
215.51 0.2% 304.26 0.46%
Co., Ltd.
Haolin Lighting & Electrical Department of
20.06 0.02% 0 0
Foshan Chancheng District
Foshan Gaoming Shijia Lighting Co., Ltd. 24.65 0.02% 0 0
Prosperity (Xinxiang) Lighting Machinery
0 7.35 0.01%
Co., Ltd.
Xiamen Jiandawei Optoelectronics
0 266.7 0.41%
Technology Co., Ltd
Foshan Nanhai Guangming Electric
0 160.47 0.24%
Appliance Co., Ltd.
Prosperity (Xinxiang) Electro-Optical
0 12.29 0.02%
Machinery Co., Ltd
Total 5,790.10 5.30% 2,390.38 3.64%
Of which, the amount arising from the related-party transactions regarding the Company selling products to or providing services for the first and second majority shareholders and their
acting-in-concert parties was RMB 41.0061 million for the reporting period.
2. Related-party transactions regarding purchase and sales of assets
□Applicable √Inapplicable
3. Significant related-party transitions with joint investments
□Applicable √Inapplicable
31
4. Significant credits and liabilities with related parties
□Applicable √Inapplicable
Capital occupation during the report period and debt-clearing progress
□Applicable √Inapplicable
The accountability plan put forward by the Board of Directors when the Company had not completed collecting the capital occupied for non-operating purposes by the end of the report period
□Applicable √Inapplicable
32
5. Other significant related-party transactions
No
(X) Significant contracts and execution
1. The trust, contract and lease whose profits reaching more than 10% (including 10%) of the total
profits of the Company in the report period
(1) Status of trust
□Applicable √Inapplicable
（2）Particulars about contracting
□Applicable √Inapplicable
（3）Particulars about leasing
□Applicable √Inapplicable
2. Guarantees provided by the Company
□Applicable √Inapplicable
33
3. Entrusted financial management
□Applicable √Inapplicable
34
4. Performance of significant contracts relevant to routine operation
□Applicable √Inapplicable
5. Other significant contracts
□Applicable √Inapplicable
(XI) Explanation on issuing corporate bonds
□Applicable √Inapplicable
(XII) Performance of commitments
1. Commitments made by the Company or shareholders holding over 5% of the Company’s shares in the
report period, or such commitments carried down into the report period
□Applicable √Inapplicable
2. The Company’s assets or projects exist profitable prediction and the report period is in such prediction
period, it states the profits from the assets or projects reaching original prediction and relevant reasons
□Applicable √Inapplicable
(XIII) Items of other comprehensive income
Unit: RMB Yuan
Items This report period Same period of last year
1. Profits/(losses) from available-for-sale financial assets -235,467.68 -14,747,828.48
Less: Effects on income tax generating from available-for-sale
-35,320.15 -2,212,174.27
financial assets
Net amount transferred into profit and loss in the current period that
recognized into other comprehensive income in prior period
Subtotal -200,147.53 -12,535,654.21
2. Interests in the investee entities’ other comprehensive income as per
equity method
Less: Effects on income tax generating from the interests in the
investee entities’ other comprehensive income as per equity method
Net amount transferred into profit and loss in the current period that
recognized into other comprehensive income in prior period
Subtotal
3. Profits/(losses) from cash flow hedging instrument
Less: Effects on income tax generating from cash flow hedging
instrument
Net amount transferred into profit and loss in the current period that
recognized into other comprehensive income in prior period
The adjustment value that is the converted initial recognition amount of
arbitrage project
35
Subtotal
4. Converted amount of foreign currency financial statements
Less: Net value of disposal of oversea operations that recognized into
current profit and loss
Subtotal
5. Other
Less: Effects on income tax generating from the others that included
into other comprehensive income
Net amount transferred into profit and loss in the current period that
recognized into other comprehensive income in prior period
Subtotal
Total -200,147.53 -12,535,654.21
(XIV) Particulars about researches, visits and interviews received in this report period
Main discussion and
Time of reception Place of reception Way of reception Visitor type Visitor materials provided by the
Company
Founder Operating particulars of
3 Feb. 2012 Company office Field research Institution
Securities the Company
Guosen Operating particulars of
23 May 2012 Company office Field research Institution
Securities the Company
(XV) Particulars about engagement and disengagement of CPAs firm
Has this semi-annual report been audited?
□ Yes √ No □ Inapplicable
Whether or not to hire accounting firms
□ Yes √ No □ Inapplicable
(XVI) Particulars about punishment and rectification order received by the Company, its
directors, supervisors, senior executives, shareholders, actual controller and acquirer
□Applicable √Inapplicable
(XVII) Explanation on other significant events
□Applicable √Inapplicable
36
(XVIII) Particulars about significant changes in the profitability, asset status and credit status
of the Company’s convertible bonds guarantor
□Applicable √Inapplicable
(XIX) Index for information disclosure
Internet website for disclosing
Newspapers for disclosing
Event Publishing date information and the searching
information and relevant page
approach
Announcement of the
Securities Times, China
Resolutions of the 13th Session 13 Jan. 2012 http://www.cninfo.com.cn
th
Securities Journal, Ta Kung Pao
of the 6 Board of Directors
Announcement of the
Securities Times, China
Resolutions of the 14th Session 27 Mar. 2012 http://www.cninfo.com.cn
th
Securities Journal, Ta Kung Pao
of the 6 Board of Directors
Announcement of the
Resolutions of the 15th Session
of the 6th Board of Directors,
Announcement on Increasing Securities Times, China
6 Apr. 2012 http://www.cninfo.com.cn
Capital to Wholly-funded Securities Journal, Ta Kung Pao
Subsidiary Foshan Gaoming
Fuwan Landscape Resort Co.,
Ltd.
Correction Announcement by Securities Times, China
7 Apr. 2012 http://www.cninfo.com.cn
the Board of Directors Securities Journal, Ta Kung Pao
Announcement on Director Securities Times, China
13 Apr. 2012 http://www.cninfo.com.cn
Resignation Securities Journal, Ta Kung Pao
Announcement on Senior Securities Times, China
23 Apr. 2012 http://www.cninfo.com.cn
Executive Resignation Securities Journal, Ta Kung Pao
Abstract of the 2011 Annual
Report, Announcement of the
Resolutions of the 16th Session
of the 6th Board of Directors,
Announcement of the
Resolutions of the 5th Session Securities Times, China
25 Apr. 2012 http://www.cninfo.com.cn
th
of the 5 Supervisory Securities Journal, Ta Kung Pao
Committee, Notice of the 2011
Annual Shareholders’ General
Meeting, Abstract of the First
Quarter Report for 2012,
Announcement on Routine
37
Related-party Transactions for
2012
Announcement of the
Securities Times, China
Resolutions of the 2011 Annual 24 May 2012 http://www.cninfo.com.cn
Securities Journal, Ta Kung Pao
Shareholders’ General Meeting
Announcement of the
Securities Times, China
Resolutions of the 17th Session 13 Jun. 2012 http://www.cninfo.com.cn
th
Securities Journal, Ta Kung Pao
of the 6 Board of Directors
Announcement on Investment
Project Progress on Qinghai Securities Times, China
20 Jun. 2012 http://www.cninfo.com.cn
Fozhao Lithium Energy Securities Journal, Ta Kung Pao
Exploitation Co., Ltd.
Announcement of the
Resolutions of the 18th Session
of the 6th Board of Directors,
Announcement on Transferring
Equity Interests of Shenzhen
Securities Times, China
Liangke Venture Capital Co., 29 Jun. 2012 http://www.cninfo.com.cn
Securities Journal, Ta Kung Pao
Ltd., Announcement on
Liquidating and Writing off
Controlled Subsidiary
Guangdong Fozhao New Light
Sources Technology Co., Ltd.
Announcement on
Implementation of the 2011
Annual Profit Distribution Plan, Securities Times, China
4 Jul. 2012 http://www.cninfo.com.cn
Announcement on Winning a Securities Journal, Ta Kung Pao
State High-efficient Lighting
Product Promotion Project
VIII. Financial Report
(I) Auditor’s report
Has this semi-annual report been audited?
□ Yes √ No □ Inapplicable
(II) Financial statements
Consolidated statements or not?
√Yes □No □ Inapplicable
The monetary unit in the financial statements of the financial report is RMB Yuan if not specified otherwise.
Monetary unit of notes to financial statements: RMB Yuan
38
1. Consolidated balance sheet
Prepared by Foshan Electrical and Lighting Co., Ltd.
Unit: RMB Yuan
Item Note Closing balance Opening balance
Current Assets:
Monetary funds 926,267,115.32 690,691,751.15
Settlement reserves 0.00 0.00
Intra-group lendings 0.00 0.00
Transactional financial assets 4,162,089.00 4,097,366.22
Notes receivable 118,432,741.89 120,417,089.71
Accounts receivable 343,673,880.56 300,223,854.32
Accounts paid in advance 47,098,715.61 41,032,860.94
Premiums receivable 0.00 0.00
Reinsurance premiums receivable 0.00 0.00
Receivable reinsurance contract
0.00 0.00
reserves
Interest receivable 604,931.51 506,347.11
Dividend receivable 0.00 0.00
Other accounts receivable 10,810,165.66 18,851,280.96
Financial assets purchased under
0.00 0.00
agreements to resell
Inventories 488,812,836.79 493,613,449.06
Non-current assets due within 1
0.00 0.00
year
Other current assets 0.00 0.00
Total current assets 1,939,862,476.34 1,669,433,999.47
Non-current assets:
Loans by mandate and advances
0.00 0.00
granted
Available-for-sale financial assets 66,872,821.12 67,814,691.84
Held-to-maturity investments 0.00 0.00
Long-term accounts receivable 0.00 0.00
Long-term equity investment 445,805,334.76 447,024,125.94
Investing property 0.00 0.00
Fixed assets 600,383,974.08 643,078,677.62
39
Construction in progress 112,038,149.68 88,017,369.74
Engineering materials 0.00 0.00
Disposal of fixed assets 0.00 0.00
Production biological assets 0.00 0.00
Oil-gas assets 0.00 0.00
Intangible assets 216,473,531.48 218,637,493.54
R&D expense 0.00 0.00
Goodwill 0.00 0.00
Long-term deferred expenses 0.00 0.00
Deferred income tax assets 20,876,528.89 21,547,993.12
Other non-current assets 0.00 0.00
Total of non-current assets 1,462,450,340.01 1,486,120,351.80
Total assets 3,402,312,816.35 3,155,554,351.27
Current liabilities:
Short-term borrowings 0.00 0.00
Borrowings from Central Bank 0.00 0.00
Customer bank deposits and due
to banks and other financial 0.00 0.00
institutions
Intra-group borrowings 0.00 0.00
Transactional financial liabilities 0.00 0.00
Notes payable 0.00 0.00
Accounts payable 325,681,686.57 196,871,864.30
Accounts received in advance 19,585,358.06 18,464,449.37
Financial assets sold for
0.00 0.00
repurchase
Handling charges and
0.00 0.00
commissions payable
Employee’s compensation
33,126,361.68 53,489,679.18
payable
Tax payable 23,432,323.52 -2,082,582.68
Interest payable 0.00 0.00
Dividend payable 107,123.26 0.00
Other accounts payable 4,176,433.31 27,119,424.60
Reinsurance premiums payable 0.00 0.00
40
Insurance contract reserves 0.00 0.00
Payables for acting trading of
0.00 0.00
securities
Payables for acting underwriting
0.00 0.00
of securities
Non-current liabilities due within
0.00 0.00
1 year
Other current liabilities 0.00 0.00
Total current liabilities 406,109,286.40 293,862,834.77
Non-current liabilities:
Long-term borrowings 0.00 0.00
Bonds payable 0.00 0.00
Long-term payables 0.00 0.00
Specific payables 0.00 0.00
Estimated liabilities 0.00 0.00
Deferred income tax liabilities 5,527,101.70 5,668,382.31
Other non-current liabilities 19,515,441.69 17,677,441.69
Total non-current liabilities 25,042,543.39 23,345,824.00
Total liabilities 431,151,829.79 317,208,658.77
Owners’ equity (or shareholders’
equity)
Paid-up capital (or share capital) 978,563,745.00 978,563,745.00
Capital reserves 621,392,658.98 622,193,249.09
Less: Treasury stock 0.00 0.00
Specific reserves 0.00 0.00
Surplus reserves 583,537,290.22 583,537,290.22
Provisions for general risks 0.00 0.00
Retained profits 741,107,318.17 606,584,375.02
Foreign exchange difference 0.00 0.00
Total equity attributable to owners
2,924,601,012.37 2,790,878,659.33
of the Company
Minority interests 46,559,974.19 47,467,033.17
Total owners’ (or shareholders’)
2,971,160,986.56 2,838,345,692.50
equity
Total liabilities and owners’ (or
3,402,312,816.35 3,155,554,351.27
shareholders’) equity
41
Legal representative: Zhong Xincai Person-in-charge of the accounting work: Zhong Xincai
Chief of the accounting division: Wang Shuqiong
2. Balance sheet of the Company
Unit: RMB Yuan
Item Note Closing balance Opening balance
Current Assets:
Monetary funds 621,184,567.42 412,626,723.50
Transactional financial assets 4,162,089.00 4,097,366.22
Notes receivable 117,402,741.89 117,057,089.71
Accounts receivable 351,726,253.77 321,717,684.58
Accounts paid in advance 54,379,899.18 19,337,394.94
Interest receivable 0.00 0.00
Dividend receivable 401,712.22 0.00
Other accounts receivable 59,794,073.94 61,235,503.93
Inventories 429,218,781.00 441,232,800.79
Non-current assets due within 1
0.00 0.00
year
Other current assets 0.00 0.00
Total current assets 1,638,270,118.42 1,377,304,563.67
Non-current assets:
Available-for-sale financial assets 66,872,821.12 67,814,691.84
Held-to-maturity investments 0.00 0.00
Long-term accounts receivable 0.00 0.00
Long-term equity investment 816,282,334.75 817,501,125.94
Investing property 0.00 0.00
Fixed assets 506,507,936.60 544,553,576.11
Construction in progress 51,889,367.90 41,158,543.29
Engineering materials 0.00 0.00
Disposal of fixed assets 0.00 0.00
Production biological assets 0.00 0.00
Oil-gas assets 0.00 0.00
Intangible assets 196,873,663.36 199,532,111.28
R&D expense 0.00 0.00
42
Goodwill 0.00 0.00
Long-term deferred expenses 0.00 0.00
Deferred income tax assets 20,753,770.52 21,386,906.12
Other non-current assets 0.00 0.00
Total of non-current assets 1,659,179,894.25 1,691,946,954.58
Total assets 3,297,450,012.67 3,069,251,518.25
Current liabilities:
Short-term borrowings 0.00 0.00
Transactional financial liabilities 0.00 0.00
Notes payable 0.00 0.00
Accounts payable 301,653,772.99 183,223,573.81
Accounts received in advance 19,153,550.96 19,276,919.50
Employee’s compensation
33,104,083.68 53,120,689.68
payable
Tax payable 21,302,608.34 1,005,639.26
Interest payable 0.00 0.00
Dividend payable 0.00 0.00
Other accounts payable 8,897,742.69 31,370,556.92
Non-current liabilities due within
0.00 0.00
1 year
Other current liabilities 0.00 0.00
Total current liabilities 384,111,758.66 287,997,379.17
Non-current liabilities:
Long-term borrowings 0.00 0.00
Bonds payable 0.00 0.00
Long-term payables 0.00 0.00
Specific payables 0.00 0.00
Estimated liabilities 0.00 0.00
Deferred income tax liabilities 5,527,101.70 5,668,382.31
Other non-current liabilities 10,302,941.71 10,387,441.69
Total non-current liabilities 15,830,043.41 16,055,824.00
Total liabilities 399,941,802.07 304,053,203.17
Owners’ equity (or shareholders’
equity)
Paid-up capital (or share capital) 978,563,745.00 978,563,745.00
43
Capital reserves 618,291,832.04 619,092,422.15
Less: Treasury stock 0.00 0.00
Specific reserves 0.00 0.00
Surplus reserves 583,537,290.22 583,537,290.22
Retained profits 0.00 0.00
Foreign exchange difference 717,115,343.34 584,004,857.71
Total owners’ (or shareholders’)
0.00 0.00
equity
Total liabilities and owners’ (or
2,897,508,210.60 2,765,198,315.08
shareholders’) equity
3,297,450,012.67 3,069,251,518.25
3. Consolidated income statement
Unit: RMB Yuan
Item Note Jan.-Jun. 2012 Jan.-Jun. 2011
I. Total operating revenues 1,064,337,124.25 1,095,319,303.24
Including: Sales income 1,064,337,124.25 1,095,319,303.24
Interest income 0.00 0.00
Premium income 0.00 0.00
Handling charge and
0.00 0.00
commission income
II. Total operating cost 919,922,209.19 944,575,593.83
Including: Cost of sales 792,978,460.81 821,116,200.01
Interest expenses 0.00 0.00
Handling charge and
0.00 0.00
commission expenses
Surrenders 0.00 0.00
Net claims paid 0.00 0.00
Net amount withdrawn for
0.00 0.00
the insurance contract reserve
Expenditure on policy
0.00 0.00
dividends
Reinsurance premium 0.00 0.00
Taxes and associate charges 10,426,957.03 11,860,578.51
Selling and distribution
46,953,881.19 52,110,105.61
expenses
44
Administrative expenses 75,564,365.47 59,191,173.51
Financial expenses -7,159,594.18 -1,053,651.60
Asset impairment loss 1,158,138.87 1,351,187.79
Add: Gain/(loss) from change in fair
64,722.78 -162,575.62
value (“-” means loss)
Gain/(loss) from investment
16,484,342.95 1,051,170.64
(“-” means loss)
Including: share of profits in
0.00 0.00
associates and joint ventures
Foreign exchange gains (“-” means
0.00 0.00
loss)
III. Business profit (“-” means loss) 160,963,980.79 151,632,304.43
Add: non-operating income 883,683.34 1,600,358.50
Less: non-operating expense 2,481,216.29 5,864,904.95
Including: loss from non-current
119,256.76 5,189,155.92
asset disposal
IV. Total profit (“-” means loss) 159,366,447.84 147,367,757.98
Less: Income tax expense 25,616,659.61 25,145,548.48
V. Net profit (“-” means loss) 133,749,788.23 122,222,209.50
Including: Net profit achieved
by combined parties before the 0.00 0.00
combinations
Attributable to owners of the
134,522,943.15 117,867,457.28
Company
Minority shareholders’ income -773,154.92 4,354,752.22
VI. Earnings per share -- --
(I) Basic earnings per share 0.14 0.12
(II) Diluted earnings per share 0.14 0.12
Ⅶ. Other comprehensive incomes -200,147.53 -12,535,654.21
Ⅷ. Total comprehensive incomes 133,549,640.70 109,686,555.29
Attributable to owners of the
134,322,795.62 105,331,803.07
Company
Attributable to minority
-773,154.92 4,354,752.22
shareholders
Where business mergers under the same control occurred in this report period, the net profit achieved by the merged parties before
the business mergers was RMB 0.00.
Legal representative: Zhong Xincai Person-in-charge of the accounting work: Zhong Xincai
45
Chief of the accounting division: Wang Shuqiong
4. Income statement of the Company
Unit: RMB Yuan
Item Note Jan.-Jun. 2012 Jan.-Jun. 2011
I. Total sales 1,052,015,761.72 1,082,909,469.69
Less: cost of sales 795,594,113.34 840,361,496.35
Business taxes and surcharges 9,134,465.77 10,164,480.35
Distribution expenses 45,486,876.29 49,745,840.51
Administrative expenses 62,956,801.15 52,403,223.14
Financial costs -3,130,496.10 -584,697.22
Impairment loss 902,614.65 801,749.11
Add: gain/(loss) from change in fair
64,722.78 -162,575.62
value (“-” means loss)
Gain/(loss) from investment (“-”
16,886,055.17 9,020,116.66
means loss)
Including: income form investment
0.00 0.00
on associates and joint ventures
II. Business profit (“-” means loss) 158,022,164.57 138,874,918.49
Add: non-business income 777,963.24 1,479,708.43
Less: non-business expense 2,426,866.10 5,080,111.93
Including: loss from non-current
0.00 0.00
asset disposal
III. Total profit (“-” means loss) 156,373,261.71 135,274,514.99
Less: income tax expense 23,262,776.08 22,102,197.49
IV. Net profit (“-” means loss) 133,110,485.63 113,172,317.50
V. Earnings per share -- --
(I) Basic earnings per share 0.00 0.00
(II) Diluted earnings per share 0.00 0.00
VI. Other comprehensive income 0.00 0.00
VII. Total comprehensive income 133,110,485.63 113,172,317.50
5. Consolidated cash flow statement
Unit: RMB Yuan
Item Jan.-Jun. 2012 Jan.-Jun. 2011
46
I. Cash flows from operating activities:
Cash received from sale of
1,088,693,196.26 1,167,237,804.52
commodities and rendering of service
Net increase of deposits from
0.00 0.00
customers and dues from banks
Net increase of loans from the central
0.00 0.00
bank
Net increase of funds borrowed from
0.00 0.00
other financial institutions
Cash received from premium of
0.00 0.00
original insurance contracts
Net cash received from reinsurance
0.00 0.00
business
Net increase of deposits of policy
0.00 0.00
holders and investment fund
Net increase of disposal of tradable
0.00 0.00
financial assets
Cash received from interest, handling
0.00 0.00
charges and commissions
Net increase of intra-group
0.00 0.00
borrowings
Net increase of funds in repurchase
0.00 0.00
business
Tax refunds received 31,631,469.58 42,005,225.14
Other cash received relating to
10,048,037.45 7,810,787.51
operating activities
Subtotal of cash inflows from operating
1,130,372,703.29 1,217,053,817.17
activities
Cash paid for goods and services 563,256,522.79 856,308,150.90
Net increase of customer lendings
0.00 0.00
and advances
Net increase of funds deposited in the
central bank and amount due from 0.00 0.00
banks
Cash for paying claims of the original
0.00 0.00
insurance contracts
Cash for paying interest, handling
0.00 0.00
charges and commissions
47
Cash for paying policy dividends 0.00 0.00
Cash paid to and for employees 166,066,086.16 142,691,769.52
Various taxes paid 103,675,839.11 81,501,927.12
Other cash payment relating to
62,888,740.40 62,083,411.78
operating activities
Subtotal of cash outflows from
895,887,188.46 1,142,585,259.32
operating activities
Net cash flows from operating activities 234,485,514.83 74,468,557.85
II. Cash flows from investing activities:
Cash received from withdrawal of
0.00 33,396,800.00
investments
Cash received from return on
17,703,134.14 2,411,455.42
investments
Net cash received from disposal of
fixed assets, intangible assets and other 0.00 100,000.00
long-term assets
Net cash received from disposal of
0.00 0.00
subsidiaries or other business units
Other cash received relating to
0.00 0.00
investing activities
Subtotal of cash inflows from
17,703,134.14 35,908,255.42
investing activities
Cash paid to acquire fixed assets,
intangible assets and other long-term 16,823,879.55 39,458,297.28
assets
Cash paid for investment 0.00 12,806,800.00
Net increase of pledged loans 0.00 0.00
Net cash paid to acquire subsidiaries
0.00 0.00
and other business units
Other cash payments relating to
0.00 0.00
investing activities
Subtotal of cash outflows from
16,823,879.55 52,265,097.28
investing activities
Net cash flows from investing activities 879,254.59 -16,356,841.86
III. Cash Flows from Financing
Activities:
Cash received from capital
0.00 0.00
contributions
48
Including: Cash received from
minority shareholder investments by 0.00 0.00
subsidiaries
Cash received from borrowings 0.00 0.00
Cash received from issuance of
0.00 0.00
bonds
Other cash received relating to
0.00 0.00
financing activities
Subtotal of cash inflows from financing
0.00 0.00
activities
Repayment of borrowings 0.00 0.00
Cash paid for interest expenses and
26,780.81 221,508,538.40
distribution of dividends or profit
Including: dividends or profit paid
0.00 0.00
by subsidiaries to minority shareholders
Other cash payments relating to
0.00 0.00
financing activities
Sub-total of cash outflows from
26,780.81 221,508,538.40
financing activities
Net cash flows from financing activities -26,780.81 -221,508,538.40
IV. Effect of foreign exchange rate
237,375.56 -428,597.63
changes on cash and cash equivalents
V. Net increase in cash and cash
235,575,364.17 -163,825,420.04
equivalents
Add: Opening balance of cash and
690,691,751.15 711,625,404.65
cash equivalents
VI. Closing balance of cash and cash
926,267,115.32 547,799,984.61
equivalents
6. Cash flow statement of the Company
Unit: RMB Yuan
Item Jan.-Jun. 2012 Jan.-Jun. 2011
I. Cash flows from operating activities:
Cash received from sale of
1,056,475,585.78 1,123,579,807.51
commodities and rendering of service
Tax refunds received 31,631,469.58 41,757,239.95
Other cash received relating to
7,305,933.03 8,668,462.54
operating activities
49
Subtotal of cash inflows from operating
1,095,412,988.39 1,174,005,510.00
activities
Cash paid for goods and services 570,370,649.60 852,185,589.05
Cash paid to and for employees 145,150,128.43 123,908,432.96
Various taxes paid 80,361,997.07 64,089,642.55
Other cash payment relating to
95,924,424.54 66,260,891.21
operating activities
Subtotal of cash outflows from
891,807,199.64 1,106,444,555.77
operating activities
Net cash flows from operating activities 203,605,788.75 67,560,954.23
II. Cash flows from investing activities:
Cash received from retraction of
0.00 206,800.00
investments
Cash received from return on
17,703,134.14 2,411,455.42
investments
Net cash received from disposal of
fixed assets, intangible assets and other 0.00 0.00
long-term assets
Net cash received from disposal of
0.00 0.00
subsidiaries or other business units
Other cash received relating to
0.00 0.00
investing activities
Subtotal of cash inflows from
17,703,134.14 2,618,255.42
investing activities
Cash paid to acquire fixed assets,
intangible assets and other long-term 12,988,432.60 16,092,517.78
assets
Cash paid for investment 0.00 222,806,800.00
Net cash paid to acquire subsidiaries
0.00 0.00
and other business units
Other cash payments relating to
0.00 0.00
investing activities
Subtotal of cash outflows from
12,988,432.60 238,899,317.78
investing activities
Net cash flows from investing activities 4,714,701.54 -236,281,062.36
III. Cash Flows from Financing
Activities:
Cash received from capital 0.00 0.00
50
contributions
Cash received from borrowings 0.00 0.00
Other cash received relating to
0.00 0.00
financing activities
Subtotal of cash inflows from financing
0.00 0.00
activities
Repayment of borrowings 0.00 0.00
Cash paid for interest expenses and
0.00 0.00
distribution of dividends or profit
Other cash payments relating to
0.00 221,508,538.40
financing activities
Sub-total of cash outflows from
0.00 0.00
financing activities
Net cash flows from financing activities 0.00 221,508,538.40
IV. Effect of foreign exchange rate
0.00 -221,508,538.40
changes on cash and cash equivalents
V. Net increase in cash and cash
237,353.63 -425,125.11
equivalents
Add: Opening balance of cash and
208,557,843.92 -390,653,771.64
cash equivalents
VI. Closing balance of cash and cash
412,626,723.50 681,198,634.58
equivalents
621,184,567.42 290,544,862.94
7. Consolidated statement of changes in owners’ equity
Reporting period
Unit: RMB Yuan
Reporting period
Equity attributable to owners of the Company
Paid-up
Total
Item Minority
capital Less: General
Capital Specific Surplus Retaine owners’
(or treasury risk Others interests
reserve reserve reserve d profit equity
share stock reserve
capital)
978,56 622,19 583,53 606,58
I. Balance at the end of the 47,467,0 2,838,345
3,745.0 3,249.0 7,290.2 4,375.0
previous year 33.17 ,692.50
0 9 2 2
Add: change of accounting
51
policy
Correction of errors in
previous periods
Other
978,56 622,19 583,53 606,58
II. Balance at the beginning of 47,467,0 2,838,345
3,745.0 3,249.0 7,290.2 4,375.0
the year 33.17 ,692.50
0 9 2 2
III. Increase/ decrease of 134,52
-800,59 -907,058 132,815,2
amount in the year (“-” means 2,943.1
0.11 .98 94.06
decrease) 5
134,52
-907,058 133,615,8
(I) Net profit 2,943.1
.98 84.17
5
(II) Other comprehensive -800,59 -800,590.
incomes 0.11 11
134,52
-800,59 -907,058 132,815,2
Subtotal of (I) and (II) 2,943.1
0.11 .98 94.06
5
(III) Capital paid in and
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
reduced by owners
1. Capital paid in by
owners
2. Amounts of share-based
payments recognized in
owners’ equity
3. Others
(IV) Profit distribution 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
1. Appropriations to
surplus reserves
2. Appropriations to
general risk provisions
3. Appropriations to
owners (or shareholders)
4. Other
(V) Internal carry-forward of
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
owners’ equity
1. New increase of capital
(or share capital) from capital
public reserves
52
2. New increase of capital
(or share capital) from surplus
reserves
3. Surplus reserves for
making up losses
4. Other
(Ⅵ) Specific reserve 0.00
1. Withdrawn for the
period
2. Used in the period
(Ⅶ) Other
978,56 621,39 583,53 741,10
46,559,9 2,971,160
IV. Closing balance 3,745.0 2,658.9 7,290.2 7,318.1
74.19 ,986.56
0 8 2 7
Last year
Unit: RMB Yuan
Last year
Equity attributable to owners of the Company
Paid-up
Total
Item capital Less: General Minority
Capital Specific Surplus Retaine owners’
(or treasury risk Others interests
reserve reserve reserve d profit equity
share stock reserve
capital)
978,56 645,24 555,43 587,66
I. Balance at the end of the 45,268,4 2,812,181
3,745.0 6,774.5 3,925.9 8,581.7
previous year 48.10 ,475.39
0 3 7 9
Add: retrospective
adjustments due to business
combinations under the same
control
Add: change of accounting
policy
Correction of errors in
previous periods
Other
978,56 645,24 555,43 587,66
II. Balance at the beginning of 45,268,4 2,812,181
3,745.0 6,774.5 3,925.9 8,581.7
the year 48.10 ,475.39
0 3 7 9
III. Increase/ decrease of -23,053 28,103, 18,915, 2,198,58 26,164,21
53
amount in the year (“-” means ,525.44 364.25 793.23 5.07 7.11
decrease)
291,66
5,613,84 297,273,9
(I) Net profit 0,093.7
7.65 41.38
3
(II) Other comprehensive -23,053 -23,053,5
incomes ,525.44 25.44
291,66
-23,053 5,613,84 274,220,4
Subtotal of (I) and (II) 0,093.7
,525.44 7.65 15.94
3
(III) Capital paid in and
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
reduced by owners
1. Capital paid in by
owners
2. Amounts of share-based
payments recognized in
owners’ equity
3. Others
-272,74
28,103, -3,415,2 -248,056,
(IV) Profit distribution 0.00 0.00 0.00 0.00 0.00 4,300.5 0.00
364.25 62.58 198.83
0
1. Appropriations to 28,103, -28,103
surplus reserves 364.25 ,364.25
2. Appropriations to
general risk provisions
-244,64
3. Appropriations to -3,415,2 -248,056,
0,936.2
owners (or shareholders) 62.58 198.83
5
4. Other
(V) Internal carry-forward of
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
owners’ equity
1. New increase of capital
(or share capital) from capital
public reserves
2. New increase of capital
(or share capital) from surplus
reserves
3. Surplus reserves for
making up losses
54
4. Other
(Ⅵ) Specific reserve
1. Withdrawn for the
period
2. Used in the period
(Ⅶ) Other
978,56 622,19 583,53 606,58
47,467,0 2,838,345
IV. Closing balance 3,745.0 3,249.0 7,290.2 4,375.0
33.17 ,692.50
0 9 2 2
8. Statement of changes in owners’ equity of the Company
Reporting period
Unit: RMB Yuan
Reporting period
Paid-up
Less: General Total
Item capital (or Capital Specific Surplus Retained
treasury risk owners’
share reserve reserve reserve profit
stock reserve equity
capital)
I. Balance at the end of the 978,563,7 619,092,4 583,537,2 584,004,8 2,765,198
previous year 45.00 22.15 90.22 57.71 ,315.08
Add: change of accounting
policy
Correction of errors in
previous periods
Other
II. Balance at the beginning of 978,563,7 619,092,4 583,537,2 584,004,8 2,765,198
the year 45.00 22.15 90.22 57.71 ,315.08
III. Increase/ decrease of amount -800,590. 133,110,4 132,309,8
in the year (“-” means decrease) 11 85.63 95.52
133,110,4 133,110,4
(I) Net profit
85.63 85.63
(II) Other comprehensive -800,590. -800,590.
incomes 11 11
-800,590. 133,110,4 132,309,8
Subtotal of (I) and (II)
11 85.63 95.52
(III) Capital paid in and
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
reduced by owners
1. Capital paid in by owners
55
2. Amounts of share-based
payments recognized in owners’
equity
3. Others
(IV) Profit distribution 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
1. Appropriations to surplus
reserves
2. Appropriations to general
risk provisions
3. Appropriations to owners
(or shareholders)
4. Other
(V) Internal carry-forward of
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
owners’ equity
1. New increase of capital
(or share capital) from capital
public reserves
2. New increase of capital
(or share capital) from surplus
reserves
3. Surplus reserves for
making up losses
4. Other
(Ⅵ) Specific reserve 0.00
1. Withdrawn for the period
2. Used in the period
(Ⅶ) Other
978,563,7 618,291,8 583,537,2 717,115,3 2,897,508
IV. Closing balance
45.00 32.04 90.22 43.34 ,210.60
Last year
Unit: RMB Yuan
Last year
Paid-up
Less: General Total
Item capital (or Capital Specific Surplus Retained
treasury risk owners’
share reserve reserve reserve profit
stock reserve equity
capital)
I. Balance at the end of the 978,563,7 642,145,9 555,433,9 575,715,5 2,751,859
previous year 45.00 47.59 25.97 15.70 ,134.26
56
Add: change of accounting
policy
Correction of errors in
previous periods
Other
II. Balance at the beginning of 978,563,7 642,145,9 555,433,9 575,715,5 2,751,859
the year 45.00 47.59 25.97 15.70 ,134.26
III. Increase/ decrease of amount -23,053,5 28,103,36 8,289,342 13,339,18
in the year (“-” means decrease) 25.44 4.25 .01 0.82
281,033,6 281,033,6
(I) Net profit
42.51 42.51
(II) Other comprehensive -23,053,5 -23,053,5
incomes 25.44 25.44
-23,053,5 281,033,6 257,980,1
Subtotal of (I) and (II)
25.44 42.51 17.07
(III) Capital paid in and
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
reduced by owners
1. Capital paid in by owners
2. Amounts of share-based
payments recognized in owners’
equity
3. Others
28,103,36 -272,744, -244,640,
(IV) Profit distribution 0.00 0.00 0.00 0.00 0.00
4.25 300.50 936.25
1. Appropriations to surplus 28,103,36 -28,103,3
reserves 4.25 64.25
2. Appropriations to general
risk provisions
3. Appropriations to owners -244,640, -244,640,
(or shareholders) 936.25 936.25
4. Other
(V) Internal carry-forward of
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
owners’ equity
1. New increase of capital
(or share capital) from capital
public reserves
2. New increase of capital
(or share capital) from surplus
57
reserves
3. Surplus reserves for
making up losses
4. Other
(Ⅵ) Specific reserve
1. Withdrawn for the period
2. Used in the period
(Ⅶ) Other
978,563,7 619,092,4 583,537,2 584,004,8 2,765,198
IV. Closing balance
45.00 22.15 90.22 57.71 ,315.08
(Ⅲ) Company Profile
Company history
Foshan Electrical & Lighting Co., Ltd. (hereinafter referred to as “the Company”), a joint-stock limited company
jointly founded by Foshan Electrical and Lighting Company, Nanhai Wuzhuang Color Glazed Brick Field, and
Foshan Poyang Printing Industrial Co. on Oct. 20, 1992 by raising funds under the approval of YGS (1992) No.
63 Document issued by the Joint Examination Group for Experimental Enterprises in Stock System of Guangdong
Province and the Economic System Reform Commission of Guangdong Province, is an enterprise with its shares
held by both the corporate and the natural persons. As approved by China Securities Regulatory Commission with
Document (1993) No. 33, the Company publicly issued 19.3 million shares of social public shares (A shares) to
the public in Oct., 1993, and was listed in Shenzhen Stock Exchange for trade on Nov. 23, 1993. The Company
was approved to issue 50,000,000 B shares on Jul. 23, 1995. And, as approved to change into a foreign-invested
stock limited company on Aug. 26, 1996 by (1996) WJMZEHZ No. 466 Document issued by the Ministry of
Foreign Trade and Economic Cooperation of the People’s Republic of China. On Dec. 11, 2000, as approved by
China Securities Regulatory Commission with ZJGS Zi [2000] No. 175 Document, the Company additionally
issued 55,000,000 A shares. At approved by the Shareholders’ General Meeting 2006, 2007 and 2008, the
Company implemented the plan of capitalization of capital reserve, after the transfer, the registered capital of the
Company has increased to RMB 978,563,745.00 Yuan. And the registration code for corporate business license is
QGYZZ No. 002889.
Legal representative: Mr. Zhong Xincai
Address: No. 64, Fenjiang North Road, Foshan, Guangdong Province
Business scope of the company
The company is mainly engaged in research, development and production of electric light source
products, electric light source equipment, electric light source mating components, electric light
source raw materials, lamps & fixtures, electrical materials, motor vehicle components, household
appliances, appliance switches, sockets, fire protection products, ventilating equipment, LED
products and lithium-ion batteries & materials, as well as sale of the aforesaid products in domestic
58
and overseas markets and relevant engineering consulting service. The main products of the
company are various kinds of electric light source products.
Basic organizational structure of the company
Shareholders’ General Meeting is the highest authority organ of the Company, Board of Directors is an executive
organ to carry out the provisions formulated by the Shareholders’ General Meeting, Board of supervisors is an
internal supervision organ of the Company, and the General Manager is responsible for routine operation and
management. Up till the end of the reporting period, the Company owns ten actually controlled subsidiaries, i.e.
Foshan Chanchang Electric Appliance (Gaoming) Co., Ltd., Foshan Chansheng Electronic Ballast Co., Ltd.,
Foshan Taimei Times Lamps and Lanterns Co., Foshan Gaoming Fuwan Landscape Resort Co., Ltd., Nanjing
Fozhao Lighting Components Co., Ltd., FSL (Xinxiang) Lighting Co., Ltd., Foshan Lighting Lamps and Lanterns
Co., Ltd., Qinghai Fozhao Lithium Ion Battery Cathode Materials Co., Ltd. Guangdong Fozhao New Light
Sources Technology Co., Ltd. and Guangdong Fozhao Leasing Co., Ltd..
( Ⅳ ) Main accounting policies, accounting estimates and corrections of prior
accounting errors
1. Basis for preparation of financial statements
With going-concern assumption as the basis, the Company prepares its financial statement in light of the actual
transactions and matters, as well as the accounting standard for business enterprise-basic standard promulgated by
the Ministry of Finance of PRC in 15 Feb. 2006, other specific accounting standards, and the relevant provisions
of application guide and interpretation, as well as the following primary accounting policies and accounting
estimates.
2. Statement of compliance with Corporate Accounting Standards
The financial statements prepared by the Company is in compliance with the requirements of Accounting Standard
for Business Enterprises, which gives a true and fair view of the state of affairs of the Company as for the
financial status and operating results & cash flows.
3. Accounting period
A fiscal year starts on 1 January and ends on 31 Dec. according to the Gregorian calendar.
4. Recording currency
Renminbi is the recording currency for the Company.
Recording currency of overseas subsidiaries:
Naught
59
5. Measurement method for the business combination under the same control and business combination not
under the same control
(1) Business combination under the same control
In a business combination under the same control, the assets and liabilities that the combining party obtains in a
business combination shall be measured on the basis of their carrying amount in the combined party on the
combining date. As for the balance between the carrying amount of the net assets obtained by the combining party
and the carrying amount of the consideration paid by it, the additional paid-in capital shall be adjusted. If the
additional paid-in capital is not sufficient to be offset, the retained earnings shall be adjusted.
(2) Business combination not under the same control
In a business combination not under the same control, the combination costs shall be the fair values, on the
acquisition date, of the assets paid, the liabilities incurred or assumed and the equity securities issued by the
acquirer in exchange for the control on the acquiree. The positive balance between the combination costs and the
fair value of the identifiable net assets it obtains from the acquiree shall be recognized as goodwill. The negative
balance between the combination costs and the fair value of the identifiable net assets it obtains from the acquiree
shall be recorded into the profits and losses of the current period after the reexamination.
6. Preparation methods for consolidated financial statements
(1) Preparation methods for consolidated financial statements
The scope of consolidation of consolidated financial statements shall include the Company and all its subsidiaries.
The operating outcomes and financial status of the subsidiaries shall be included in the consolidated financial
statements from start date of the control to end date of the control.
The subsidiaries that the Company obtains due to business combination under the same control shall be included
into the scope of consolidation when preparing the consolidated financial statements of the current period, and the
beginning balance in the consolidated financial statement and prior comparison sheet shall be adjusted
accordingly.
As for the subsidiaries that the Company obtains due to business combination not under the same control, their
financial statements shall be adjusted based on the fair value of each identifiable asset and liability determined on
the combining date when preparing the consolidated financial statements of the current period. Such combined
subsidiaries shall be included into the scope of consolidation from the combining date.
If the accounting period and accounting policies adopted by a subsidiary are different from those adopted by the
Company, when preparing the consolidated financial statement, necessary adjustments shall be made to the
financial statements of the subsidiary under the accounting period and accounting policies adopted by the
Company. Within the scope of consolidation, all significant transactions between the enterprises, balance and
unrealized profits and losses shall be offset when preparing the consolidated financial statement. As for the
unrealized losses occurred in the internal transaction, if there is an evidence shows that such loss is impairment
loss on relevant assets, it shall not be offset. The equity and profits & losses attributable to minority shareholders
60
of the subsidiary shall be particularly presented in the item of “shareholder’s equity” in the consolidated balance
sheets and in the item of “net profit” in the consolidated income statement respectively.
(2) Relevant accounting method shall be revealed for the equity of a same subsidiary purchased and sold in
successive two fiscal years
Naught
7. Recognition standards for cash and cash equivalents
The term “cash equivalents” refers to short-term ( within 3 months from the purchase date) 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.
8. Foreign currency and accounting method for foreign currency
(1) Foreign currency
Foreign currency shall be recognized by employing systematic and reasonable methods, and shall be translated
into the amount in the functional currency at the exchange rate which is approximate to the spot exchange rate of
the transaction date. On the balance sheet date, the foreign currency monetary items shall be translated at the spot
exchange rate. The balance of exchange arising from the difference between the spot exchange rate on the balance
sheet date and the spot exchange rate at the time of initial recognition or prior tot the balance sheet date shall be
recorded into the profits and losses at the current period except that the balance of exchange arising from foreign
currency borrowings for the purchase and construction or production of qualified assets shall be capitalized. The
foreign currency non-monetary items measured at the historical cost shall still be translated at the spot exchange
rate on the transaction date.
(2) Accounting method for foreign currency
Naught
9. Financial instruments
Financial instruments include financial assets, financial liabilities and equity instruments.
(1) Category of financial instruments
—Financial assets shall be classified into the following four categories when they are initially recognized:
Financial assets measured at fair value and of which variations are recorded in the profits and losses for the
current period, loans and the account receivables, financial assets available for sale and the investments which will
61
be held to their maturity. Financial assets, at their initial recognition, shall be measured at fair value. As for
financial assets measured at fair value and of which variations are recorded in the profits and losses for the current
period, the relevant trading expenses shall be directly recorded into the profits and losses of the current period; for
other categories of financial assets, the transaction expenses thereof shall be included into the initially recognized
amount.
——Financial assets measured at fair value and of which variations are recorded in the profits and losses for the
current period refer to financial assets held by the Company for the purpose of selling in the near future, including
trading financial assets, or financial assets designated by the management in the initial recognition to be measured
at fair value with variations recorded in the gains and losses for the current period. Financial assets measured at
fair value and of which variations are recorded in the profits and losses for the current period are subsequently
measured at their fair values. Interest or cash dividends arising from such assets during the holing period are
recognized as investment gains. Gains or losses arising from fair value changes are recorded in the gains and
losses for the current period at the end of the reporting period. When such assets are disposed, the difference
between their fair values and initially recognized amounts is recognized as investment gains and the gains and
losses arising from fair value changes are adjusted accordingly.
——Loan and accounts receivable: The non-derivative financial assets for which there is no quoted price in the
active market and of which the recoverable amount is fixed or determinable shall be classified as loan and
accounts receivable. The Company shall make subsequent measurement on its loan and accounts receivable on the
basis of the post-amortization costs by adopting the actual interest rate, from which gains and losses, when loan
and accounts receivable are terminated from recognizing, or are impaired or amortized, shall be recorded into the
profits and losses of the current period.
——Available-for-sale financial assets: the non-derivative financial assets which are designated as
available-for-sale financial assets when they are initially recognized as well as the non-derivative financial assets
other than loans and accounts receivables, investments held until their maturity; and transaction financial assets.
The Company shall make subsequent measurement on available-for-sale financial assets at fair value, and the
profits and losses arising from the change in the fair value shall be directly recorded into the owner’s equity, until
the said financial assets shall be transferred out when they are terminated from recognizing or are impaired, which
shall be recorded into the profits and losses of current period. Where the intention of holding or the ability to hold
changes, or the fair value can not be reliably measured any more, or the term of holding has exceeded "two
complete accounting years", which makes it no longer suitable to measure the available-for-sale financial assets at
its fair value, the Company concerned may measure the said financial assets on the basis of post-amortization cost.
And such post-amortization cost at the re-classification day shall be the carrying amount of the financial assets.
The gains or losses that are related to the said financial assets and that are directly included in the owner’s equity
shall be dealt with according to the following provisions: ① Where such financial asset has a fixed date of
maturity, it shall be amortized within the remaining period of the said financial asset by adopting the actual
interest rate method and be recorded into the profits and losses of the current period. The gap between the
post-amortization cost of the financial asset and the amount on the maturity date shall also be amortized within the
remaining period of the said financial asset by adopting the actual interest rate method and be recorded into the
profits and losses of the current period. If, during the subsequent accounting period, the financial asset is impaired,
the relevant profits and losses that were included in the owner’s equity shall be transferred out and be recorded
into the current profits and losses. ② Where such financial asset does not have a fixed date of maturity, it shall
remain in the owner’s equity. Where such financial asset is transferred out when it is impaired or determined from
recognizing during the remaining period of accounting that follows, and shall be recorded into the profits and
62
losses of the current period
——Held-to-maturity Investments: non-derivative financial asset with a fixed date of maturity, a fixed or
determinable recoverable amount and which the Company’s management holds for a definite purpose or the
Company’s management is able to hold until its maturity. The Company shall make subsequent measurement on
its Held-to-maturity Investments on the basis of the post-amortization costs by adopting the actual interest rate,
from which gains and losses, when loan and accounts receivable are terminated from recognizing, or are impaired
or amortized, shall be recorded into the profits and losses of the current period. Where part of the held-to-maturity
investment is sold or the re-classified amount thereof is considerably large, so that the remainder of the said
investment is no longer suitable to be classified as a held-to-maturity investment, the Company shall re-classify
the remainder of the said investment as an available-for-sale financial asset, and shall make subsequent
measurement on it according to its fair value on the re-classification day, and no longer re-classify the said
financial asset as held-to-maturity investment in the current fiscal year and the subsequent two complete
accounting years. The gap between the carrying amount of the said remnant part of the investment at the
re-classification day and the fair value shall be computed into the owner’s equity. And when the said
available-for-sale financial asset is terminated from recognition or transferred out when it is impaired, it shall be
recorded into the profits and losses of the current period.
(2) Recognition and Measurement of Financial Liabilities
—Financial liabilities shall be classified into the following two categories when they are initially recognized: (1)
the Trading financial liabilities; and (2) other financial liabilities. The financial liabilities initially recognized by
the Company shall be measured at their fair values. For the Trading financial liabilities, the transaction expenses
thereof shall be directly recorded into the profits and losses of the current period; for other categories of financial
liabilities, the transaction expenses thereof shall be included into the initially recognized amount.
——Trading financial liabilities: such financial liabilities held by the Company for the purpose for repurchasing
at the fair value in the near future, and financial liabilities formed a part of combination of financial instruments
which are managed by way of short-term profit making in the near future, and derivative financial liabilities (the
designated derivative instruments which are effective hedging instruments, or derivative instruments to financial
guarantee contracts, and the derivative instruments which are connected with the equity instrument investment for
which there is no quoted price in the active market, whose fair value cannot be reliably measured, and which shall
be settled by delivering the said equity instruments) shall be classified as trading financial liabilities. Subsequent
measurement of transaction financial liabilities shall be measured at fair value, and the profits and losses arising
from the change in the fair value shall be recorded into the profits and losses of the current period.
——Other financial liabilities: The Company shall make subsequent measurement on its other financial liabilities
on the basis of the post-amortization costs by adopting the actual interest rate, from which gains and losses, when
other financial liabilities are terminated from recognizing or amortized, shall be recorded into the profits and
losses of the current period.
Determination of the Fair Value of Financial Instruments
—As for the financial instruments for which there is an active market, the quoted prices in the active market shall
be used to determine the fair values thereof. Where there is no active market for a financial instrument, the
Company concerned shall adopt value appraisal techniques to determine its fair value. The value appraisal
techniques mainly include the prices adopted by the parties, who are familiar with the condition, in the latest
63
market transaction upon their own free will, the current fair value obtained by referring to other financial
instruments of the same essential nature, the cash flow capitalization method and the option pricing model, etc.
Impairment test of financial assets and withdrawal method of impairment provision
—The Company shall carry out an inspection, on the balance sheet day, on the carrying amount of the financial
assets other than those trading financial assets. Where there is any objective evidence proving that such financial
asset has been impaired, an impairment provision shall be made.
——Measurement for impairment of financial assets measured on the basis of the post-amortization costs
Where there is any objective evidence proving that a financial asset measured on the basis of post-amortization
costs is impaired, the carrying amount of the said financial asset shall be written down to the current value of the
predicted future cash flow (excluding the loss of future credits not yet occurred), and the amount as written down
shall be recognized as loss of the impairment of the asset and shall be recorded into the profits and losses of the
current period. An impairment test shall be made on the financial assets with significant single amounts. With
regard to the financial assets with insignificant single amounts, an impairment test may be carried out by
independent or combination. Where, upon independent test, the financial asset has not been impaired, it shall be
included in a combination of financial assets with similar risk features so as to conduct another impairment test.
The financial assets which have suffered from an impairment loss in any single amount shall not be included in
any combination of financial assets with similar risk features for any impairment test. During the follow-up period,
if there is any objective evidence proving that the value of the said financial asset has been restored, and it is
objectively related to the events that occur after such loss is recognized, the impairment-related losses as
originally recognized shall be reversed and be recorded into the profits and losses of the current period. However,
the reversed carrying amount shall not be any more than the post-amortization costs of the said financial asset on
the day of reverse under the assumption that no provision is made for the impairment. Where any financial asset
measured on the basis of post-amortization costs is recognized as having loss, the relevant impairment provision
withdrawn shall be written off
——Available-for-sale financial assets
Where there is any objective evidence proving that a available-for-sale financial asset is impaired, even if the
recognition of the financial asset has not been terminated, the accumulative losses arising from the decrease of the
fair value of the owner’s equity which was directly included shall be transferred out and recorded into the profits
and losses of the current period. The accumulative losses that are transferred out shall be the net amount obtained
from the initially obtained costs of the sold financial asset after deducting the principals as taken back, the current
fair value and the impairment-related losses as was recorded into the profits and losses of the current period.
(3) Recognition and Accounting Method for Transfer of Financial Assets
Where transfer of financial assets occurs in the Company, if the Company has transferred nearly all of risks and
rewards related to the ownership of the financial asset to the transferee, it shall stop recognizing the financial asset.
If it retained nearly all of the risks and rewards related to the ownership of the financial asset, it shall not stop
recognizing the financial asset. When the Company makes a judgment about whether the transfer of a financial
asset satisfies all the above conditions to stop the recognition, the Company adopts the code of “Rather substantial
than superficial”. The Company differentiate the transfer of financial asset into the entire transfer and the partial
transfer of financial assets. If the transfer of an entire financial asset satisfies the conditions for stopping
recognition, the difference between the amounts of the following 2 items shall be recorded in the profits and
64
losses of the current period: (1)The book value of the transferred financial asset; (2)The sum of consideration
received from the transfer, and the accumulative amount of the changes of the fair value originally recorded in the
owner's equities (in the event that the financial asset involved in the transfer is a financial asset available for sale).
If the transfer of partial financial asset satisfies the conditions to stop the recognition, the entire book value of the
transferred financial asset shall, between the portion whose recognition has been stopped and the portion whose
recognition has not been stopped (under such circumstance, the service asset retained shall be deemed as a portion
of financial asset whose recognition has not been stopped), be apportioned according to their respective relative
fair value, and the difference between the amounts of the following 2 items shall be included into the profits and
losses of the current period : (1) The book value of the portion whose recognition has been stopped; (2) The sum
of consideration of the portion whose recognition has been stopped, and the portion of the accumulative amount of
the changes in the fair value originally recorded in the owner's equities which is corresponding to the portion
whose recognition has been stopped (in the event that the financial asset involved in the transfer is a financial
asset available for sale). If the transfer of a financial asset doesn’t satisfy the conditions to stop the recognition,
the Company shall continue to recognize the financial asset and shall recognize the consideration it receives as a
financial liability.
(4) Recognition Conditions for Termination of Financial Liabilities
When the prevailing obligations of a financial liability are relieved in all or in part may the recognition of the
financial liability be terminated in all or partly. If the Company enters into an agreement with creditor so as to
substitute the existing financial liabilities by way of any new financial liability, and if the contractual stipulations
regarding the new financial liability is substantially different from that regarding the existing financial liability,
the Company shall terminate the recognition of the existing financial liability, and shall at the same time recognize
the new financial liability. Where the Company makes substantial revisions to some or all of the contractual
stipulations of the existing financial liability, it shall terminated the recognition of the existing financial liability or
part of it, and at the same time recognize the financial liability after revising the contractual stipulations as a new
financial liability. Where the recognition of a financial liability is totally or partially terminated, the Company
shall include into the profits and losses of the current period the gap between the carrying amount which has been
terminated from recognition and the considerations it has paid (including the non-cash assets it has transferred out
and the new financial liabilities it has assumed). If the Company buys back part of its financial liabilities, it shall
distribute, on the repo day, the carrying amount of the whole financial liabilities in light of the comparatively fair
value of the part that continues to be recognized and the part whose recognition has already been terminated and
carries out distribution of the overall book value of the financial liability. The gap between the carrying amount
which is distributed to the part whose recognition has terminated and the considerations it has paid (including the
non-cash assets it has transferred out and the new financial liabilities it has assumed) shall be recorded into the
profits and losses of the current period.
(5) Recognition of Financial Assets and Financial Liabilities
As for the financial assets and financial liabilities that the Company measured by fair value, they all refer to the
quoted prices in the active market.
65
(6) Withdrawal of Impairment Provision for Financial Assets (excluding Accounts Receivable)
Except for financial assets measured at fair value and of which the alterations charged to the profits and losses in
the current period, the Company conducts check on book value of financial assets at the Balance Sheet Date. If
there is any objective evidences proving that a specific financial asset is impaired, an impairment provision shall
be made. (1) Impairment provision for available-for-sale financial assets: as at the end of the reporting period, if
there is a relatively large reduce on fair value of available-for-sale financial assets, or it is estimated that the trend
of reduce is temporarily with a comprehensive consideration of various relevant ingredients, the available-for-sale
financial assets is recognized as impaired, the accumulative losses arising from the decrease of the fair value of
the owners’ equity which was directly included shall be transferred out and recognized as impairment. As for
available-for-sale debt instruments whose impairment-related losses have been recognized, if, within the
accounting period thereafter, the fair value has risen and are objectively related to the subsequent events that occur
after the originally impairment-related losses were recognized impairment-related losses shall be reversed and be
recorded into the profits and losses of the current period. The impairment-related losses incurred to an
available-for-sale equity instrument investment shall not be reversed through profit and losses. (2) As for
impairment provision of hold-to-maturity investment: the measurement of impairment on hold-to-maturity
investment shall be treated according to measurement of impairment on accounts receivable.
(7) Notes on Basis of Hold-to-Maturity Investment undue that reclassified into Available-for-Sales
Financial Assets
Naught
10. Recognition and Withdrawal Method for Bad-debt Provisions for Accounts Receivable
Accounts receivable of the Company mainly including accounts receivable and other receivables. The Company
conducts a check to the book value of accounts receivable at the Balance Sheet Date, if there is any objective
evidence proving that the accounts receivable is impaired, it shall be recorded into provision for bad debts.
(1) Provisions for Bad-debt Accounts Receivable with a significant single amount
Accounts receivable with a significant single amount refer to the
Definition or amount criteria for an account
top five accounts receivable with the largest balances or accounts
receivable with a significant single amount
accounting for over 10% of the total balance of receivables.
Where there is objective evidence proving that the Company is not
able to recover the full amount of an account receivable according
to the original terms in relation to the account, an independent
Making individual bad-debt provisions for
impairment test is carried out on the account receivable and the
accounts receivable with a significant single
bad-debt provision is made according to the difference between
amount
the present value of the account’s future cash flows and the
account’s carrying amount. If the independent impairment test
shows that the account receivable has not been impaired, the
66
balance of the account is put into the corresponding group and the
bad-debt provision is made using the balance percentage method.
(2) Accounts receivable for which bad-debt provisions are made on the group basis
Group name Withdraw method Basis for recognition of group
Accounts receivable arising from other common
Common transaction group Balance percentage method
transactions than internal transactions are classified
according to credit risk features.
Accounts receivable arising from internal transactions
Internal transaction group Other methods
within the scope of the consolidation statements are
classified according to credit risk features.
In the groups, those adopting aging analysis method to withdraw bad debt provision:
□Applicable √Inapplicable
In the groups, those adopting balance percentage method to withdraw bad debt provision:
□ Applicable √ Inapplicable
In the groups, those adopting other methods to withdraw bad debt provision:
□ Applicable √ Inapplicable
(3) Accounts receivable with an insignificant single amount but for which the bad debt provision is made
independently
Reason of individually withdrawing bad debt provision:
When there is conclusive evidence proving that obvious difference exists in the recoverability.
Method for making bad-debt provisions for the said accounts receivables:
The bad-debt provision is made according to the difference between the present value of the account’s future cash flows and the
account’s carrying amount.
As for other receivables (including notes receivable, prepayments, interest receivable, long-term receivables, etc.), bad-debt
provisions are made according to the differences between the present values of their future cash flows and their carrying amounts.
11. Inventory
(1) Category of Inventory
Category: raw materials, products in processing, materials for consigned processing, finished products,
semi-manufactured semi-finished products, and low-value consumption goods.
(2) Pricing method for distributed inventories
□First-in first-out method □Weighted average method □Specific identification method √Other
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Accounting of inventory: raw materials and finished products shall be measured at actual cost, while weighted
average method shall be adopted when receiving or outgoing.
(3) Recognition basis of net realizable value of inventories and withdrawal method for impairment
provision of inventories
Recognition of provision for falling price of inventory and withdrawal: The Company shall make provision for
falling price of inventory on the basis of each item of inventory at the balance that net realizable value is lower
than carrying cost. For finished goods, merchandise inventories, and available for sale materials which are applied
directly for sales of stock inventory, the amount after deducting the estimated sale expense and relevant taxes
from the estimated sell price of the inventory shall be recognized as the net realizable value. For material
inventories which need to be processed, the amount after deducting the estimated cost of completion, estimated
sale expense and relevant taxes from the estimated sale price of produced finished goods shall be recognized as
the net realizable value.
(4) Inventory system of inventories
√ Perpetual inventory system □ Periodic inventory system □ Other
(5) Amortization method of low-value consumption goods and packages
Low-value consumption goods
Amortization method: one time method
Packages
Amortization method: one time method
12. Long-term equity investment
(1) Recognition for initial cost
Pricing of long-term equity investment
— Long-term equity investment for the corporate combination
——For the merger of enterprises under the same control, it shall, on the date of merger, regard the share of the
book value of the owner's equity of the merged enterprise as the initial cost of the long-term equity investment,
and the direct relevant expenses occurred for the merger of enterprises shall be included into the profits and losses
of the current period.
——For the merger of enterprises not under the same control, The combination costs shall be the fair values, on
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the acquisition date, of the assets paid, the liabilities incurred or assumed and the equity securities issued by the
Company in exchange for the control on the acquiree, and all relevant direct costs incurred to the acquirer for the
business combination. Where any future event that is likely to affect the combination costs is stipulated in the
combination contract or agreement, if it is likely to occur and its effects on the combination costs can be measured
reliably, the Company shall record the said amount into the combination costs.
——The cost of a long-term equity investment obtained by making payment in cash shall be the purchase cost
which is actually paid. The cost consists of the expenses directly relevant to the obtainment of the long-term
equity investment, taxes and other necessary expenses.
——The cost of a long-term equity investment obtained on the basis of issuing equity securities shall be the fair
value of the equity securities issued.
——The cost of a long-term equity investment of an investor shall be the value stipulated in the investment
contract or agreement except the unfair value stipulated in the contract or agreement.
——The cost of a long-term investment obtained by the exchange of non-monetary assets (having commercial
nature) shall be recognized base on taking the fair value and relevant payable taxes as the cost of the assets
received.
——The cost of a long-term equity investment obtained by recombination of liabilities shall be recognized at the
fair value.
(2) Subsequent measurement and recognition of gains and losses
—The long-term equity investment of the Company that is able to control the invested enterprise and which of the
Company that does not do joint control or does not have significant influences on the invested entity, and has no
offer in the active market and its fair value cannot be reliably measured, it shall be measured by employing the
cost method. Except for the declared but not distributed cash dividends or profits included in the price or
consideration actually paid when an investment is obtained, the dividends or profits declared to distribute by the
invested entity shall be recognized as the current investment income.
(3) Recognition basis of jointly control and significant influence in invested units
—A long-term equity investment of the Company that does joint control or significant influences over the
invested entity shall be measured by employing the equity method. If the cost of a long-term equity investment is
more than the Company’s attributable share of the fair value of the invested entity's identifiable net assets for the
investment, the cost of the long-term equity investment may not be adjusted. If the cost of a long-term equity
investment is less than the Company’s attributable share of the fair value of the invested entity’s identifiable net
assets for the investment, the difference shall be included in the current profits and losses and the cost of the
long-term equity investment shall be adjusted simultaneously. The Company shall recognize the net losses of the
invested enterprise until the book value of the long-term equity investment and other long-term rights and
interests which substantially form the net investment made to the invested entity are reduced to zero, unless the
investing enterprise has the obligation to undertake extra losses. The Company shall, on the ground of the fair
value of all identifiable assets of the invested entity when it obtains the investment, recognize the attributable
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share of the net profits and losses of the invested entity after it adjusts the net profits of the invested entity.
(4) Impairment test method and withdrawal method for impairment provision
—The Company shall conduct inspection to long-term investment item by item at the end of reporting period. If
the market price of long-term investment falls into sustained decline or the invested enterprise’s operation status
grow worse, which will cause that the recoverable amount is lower than carrying value, moreover, such reduced
value will not be restored in predicted future period, then the negative balance between the recoverable amount
and carrying value of long-term investment shall be measured as provision for impairment of long-term
investment. The recoverable amount shall be determined in light of the higher one of the net amount of the fair
value of the long-term equity investment minus the disposal expenses and the current value of the expected future
cash flow of the long-term equity investment. Once any loss of impairment of the long-term investment is
recognized, it shall not be switched back in the future accounting periods.
13. Investment real estate
The Company doesn’t have investment real estate.
14. Fixed assets
(1) Recognition of fixed assets
Recognition of fixed assets: Fixed assets of the Company refers to the tangible assets that simultaneously possess
the features as follows: they are held for the sake of producing commodities, rendering labor service, renting or
business management; and their useful life is in excess of one fiscal year and unit price is higher.
Category of fixed assets: housing and building, machinery equipment, transportation vehicle and other.
(2) Recognition basis and pricing method for fixed assets acquired under finance lease
The "finance lease" shall refer to a lease that has transferred in substance all the risks and rewards related to the
ownership of an asset. The Company shall recognizes the lower one of the fair value of the leased asset and the
present value of the minimum lease payments on the lease beginning date as cost of fixed assets of finance lease.
In calculation of the depreciation of a leased fixed asset, the Company adopts a depreciation policy for leased
assets consistent with that for depreciable assets. If it is reasonable to be certain that the Company will obtain the
ownership of the leased asset when the lease term expires, the leased asset shall be fully depreciated over its
useful life. If it is not reasonable to be certain that the Company will obtain the ownership of the leased asset at
the expiry of the lease term, the leased asset shall be fully depreciated over the shorter one of the lease term or its
useful life.
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(3) Depreciation method of various fixed assets
Measurement of fixed assets and depreciation method: fixed assets shall be measured at actual cost. Depreciation
rate shall be recognized by employing the straight-line method and in accordance with appraisal economical
useful life and predicated net residuals
The categories Estimated useful life (years) Residual value (%) Annual depreciation rate (%)
Houses and buildings 3—25 5% 31.67%-4.75%
Machineries 2—8 5% 47.50%-11.88%
Electronic equipment 2—8 5% 47.50%-11.88%
Vehicles 5—10 5% 19%-9.50%
Other equipments 2—8 5% 47.50%-11.88%
Fixed assets acquired under
-- -- --
finance lease
Of which: houses and buildings
Machineries
Electronic equipment
Vehicles
Other equipments
(4) Impairment test method and withdrawal method for impairment provision of fixed assets
Provision for impairment of fixed assets: The Company shall carry out inspection to fixed assets item by item
every year. If the recoverable amount is lower than carrying value due to sustained decline of market price of
fixed assets or technological obsolescence, damage or long-term idle, then the provision for impairment of fixed
assets shall be withdrawn on the basis of the balance hereof. Once any loss of impairment of the fixed assets is
recognized, it shall not be switched back in the future accounting periods. The recoverable amount shall be
determined in light of the higher one of the net amount of the fair value of the fixed assets minus the disposal
expenses and the current value of the expected future cash flow of the fixed assets. The current value of future
cash flow of assets shall be recognized based on the amount after the predicated future cash flow occurred in the
process of continuous services and when the final disposal is discounted by adopting proper discount rate.
(5) Other explanation
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15. Construction in Progress
(1) Categories of construction in process
Categories of construction in process refer to the newly establishment, amendment or expansion of fixed assets
of the Company, or project expenses on unaccomplished project such as technology innovation, equipment
updating and major repair projects, etc.,
(2) Standards and time of transferring construction in process into fixed asset
Construction in progress shall be measured at actual cost. Constructions in progress shall be carried down to fixed
assets by adopting provisional estimate when bringing to the expected conditions for use. After completion and
settlement procedures, the Company shall adjust the carrying value of fixed assets at the actual cost. As for
interests on borrowings incurred to special-borrowing loans or general borrowing for the acquisition and
construction or production of assets eligible for capitalization and the ancillary expense incurred to
special-borrowing loans, those incurred before a qualified asset under acquisition, construction or production is
ready for the intended use or sale shall be capitalized into capitalized cost, while those incurred after a qualified
asset under acquisition and construction or production is ready for the intended use or sale shall be included into
the profits and losses of the current period.
(3) Impairment test method and withdrawal method for impairment provision of construction in process
Provision for impairment of construction in progress: the Company shall carry out overall inspection to the
construction in progress at the end of the reporting period. If the construction in progress has been stopped for a
long time and cannot be continued restarting in the coming three years, and such construction in progress has
already fallen behind, whatever in performance or in technology, resulting in an uncertainty to economic benefit
of the Company, and there is an obvious evidence shows that the construction in progress has been impaired, then
provision for impairment of the construction in progress shall be withdrawn based on the negative balance
between the recoverable amount of single construction in progress and carrying value. Once any loss of
impairment of the construction in progress is recognized, it shall not be switched back in the future accounting
periods.
16. Borrowing costs
(1) Recognition principles for capitalization of borrowing costs
The borrowing costs shall not be capitalized unless they simultaneously meet the following requirements: (1)
The asset disbursements have already incurred, which shall include the cash, transferred non-cash assets or
interest bearing debts paid for the acquisition and construction or production activities for preparing assets
eligible for capitalization; (2) The borrowing costs has already incurred; and (3) The acquisition and construction
or production activities which are necessary to prepare the asset for its intended use or sale have already started.
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(2) Capitalization period of borrowing costs
The borrowing costs shall not be capitalized unless they simultaneously meet the following requirements: (1)
The asset disbursements have already incurred; (2) The borrowing costs has already incurred and (3) The
acquisition and construction or production activities which are necessary to prepare the asset for its intended use
or sale have already started. And then it shall be recorded into assets costs that satisfied conditions of
capitalization. When the qualified asset under acquisition and construction or production is ready for the
intended use or sale, the capitalization of the borrowing costs shall be ceased; borrowing costs incurred thereafter
shall be recognized as expenses at the incurred amount when they are incurred.
(3) Period for suspending capitalization of borrowing costs
Suspension of capitalization: Where the acquisition and construction or production of a qualified asset is
interrupted abnormally and the interruption period lasts for more than 3 months, the capitalization of the
borrowing costs shall be suspended. The borrowing costs incurred during such period shall be recognized as
expenses, and shall be recorded into the profits and losses of the current period, till the acquisition and
construction or production of the asset restarts. If the interruption is a necessary step for making the qualified asset
under acquisition and construction or production ready for the intended use or sale, the capitalization of the
borrowing costs shall continue.
(4) Calculation method of capitalized amount of borrowing costs
To-be-capitalized amount of interests of borrowing: As for interests of borrowing occurred special-borrowing
loans or general borrowing for the acquisition and construction or production of assets eligible for capitalization,
those incurred before a qualified asset under acquisition, construction or production is ready for the intended use
or sale shall be capitalized based on the following methods:
—As for special-borrowing loans for the acquisition and construction or production of assets eligible for
capitalization, the to-be-capitalized amount of interests shall be determined in light of the actual cost incurred of
the specially borrowed loan at the present period minus the income of interests earned on the unused borrowing
loans as a deposit in the bank or as a temporary investment.
—Where a general borrowing is used for the acquisition and construction or production of assets eligible for
capitalization, the Company shall calculate and determine the to-be-capitalized amount of interests on the general
borrowing by multiplying the weighted average asset disbursement of the part of the accumulative asset
disbursements minus the general borrowing by the capitalization rate of the general borrowing used. The
capitalization rate shall be calculated and determined in light of the weighted average interest rate of the general
borrowing.
17. Biological assets
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18. Oil gas assets
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19. Intangible assets
(1) Pricing method of intangible assets
—The cost of outsourcing intangible assets shall be measured at actual expenditures occurred for reaching the
expected use purpose.
—The research expenditures for its internal research and development projects of the Company shall be recorded
into the profit or loss for the current period. The development expenditures for its internal research and
development projects of the Company may be confirmed as cost of intangible assets when they satisfy
capitalization conditions.
—The cost invested into intangible assets by investors shall be determined according to the conventional value in
the investment contract or agreement, except for those of unfair value in the contract or agreement.
—The intangible assets received by the Company through accepting debtor’s non-cash assets for compensation
for debts, or by receivables, shall be measured at the fair value of the intangible assets received.
—The cost invested into intangible assets by non-monetary transaction shall be determined according to the fair
value of non-monetary assets and relevant payable taxes.
(2) Estimated useful life of intangible assets with limited useful life
For intangible assets of limited useful life, the Company adopts straight-line method for amortization in useful life
term. The Company shall, at the end of each year, recheck the estimated useful life and amortization method and
makes suitable adjustment.
Item Estimated useful life Basis
Land use right 50 years Statutory use right
Patent 10 years Estimated term of making profit
(3) Judgment basis of intangible assets with uncertain useful life
The Company doesn’t have intangible assts with uncertain useful life.
(4) Withdrawal of impairment provision of intangible assets
Provision for impairment of intangible assets: the Company shall made overall inspection to the intangible asset
at the end of reporting period. If the intangible assets have already been replaced by other new technologies,
resulting in the Company’s ability to create economic benefits suffering materials adverse influence, or a
sustained decline of market price of intangible assets and impossible to be recover within the residual
amortization years, or certain intangible asset has exceeded the term protected by law but still part of useful
value is remained, or there is an obvious evidence shows that the intangible assets has been impaired, then
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provision for impairment of the intangible assets shall be withdrawn based on the balance between the
recoverable amount of single intangible assets and carrying value. Once any loss of impairment of the intangible
assets is recognized, it shall not be switched back in the future accounting periods.
(5) Criteria of dividing the research phase and development phase of internal R&D project
The expenditures for its internal research phase and development phase of the Company discriminate into research
expenditures and development expenditures. The term “research” refers to the creative and planned investigation
to acquire and understand new scientific or technological knowledge; the term “development” refers to the
application of research achievements and other knowledge to a certain plan or design, prior to the commercial
production or use, so as to produce any new material, device or product, or substantially improved material,
device and product.
(6) Calculation of the expenditures of internal R&D project
The expenditures for its internal research phase and development phase of the Company discriminate into research
expenditures and development expenditures:
1) The research expenditures for its internal research and development phases of the Company shall be recorded
into the profit or loss for the current period.
2) Where the expenses incurred in the development stage of an internal R&D project and at the
same time the following conditions are met, these expenses are recognized as intangible assets.
① It is feasible technically to finish intangible assets for use or sale;
② It is intended to finish and use or sell the intangible assets;
③ The usefulness of methods for intangible assets to generate economic benefits shall be proved, including being
able to prove that there is a potential market for the products manufactured by applying the intangible assets or
there is a potential market for the intangible assets itself or the intangible assets will be used internally;
④ It is able to finish the development of the intangible assets, and able to use or sell the intangible assets, with the
support of sufficient technologies, financial resources and other resources; and
⑤ The expenditures on development phase of the intangible assets can be reliably measured.
20. Amortization method of long-term deferred expenses
Long-term deferred expenses refer to general expenses with the apportioned period over one year (one year
excluded) that have occurred but attributable to the current and future periods. Long-term deferred expense shall
be recoded into book in the light of the actual expenditure, and amortized averagely within benefit period. In
case of no benefit in the future accounting period, the amortized value of such project that fails to be amortized
shall be transferred into the profits and losses of the current period.
21. Assets transfer with repurchasing conditions
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22. Estimated liabilities
(1) Criteria of estimated liabilities
Recognition of estimated debts: The obligation such as external guaranty, pending litigation or arbitration, product
quality assurance, layoff plan, loss contract, restructuring and disposal of fixed assets, pertinent to a contingencies
shall be recognized as an estimated debts when the following conditions are satisfied simultaneously: ① That
obligation is a current obligation of the enterprise; ② It is likely to cause any economic benefit to flow out of the
enterprise as a result of performance of the obligation; and ③ The amount of the obligation can be measured in a
reliable way.
(2) Measurement of estimated liabilities
Measurement of estimated debts: The estimated debts shall be initially measured in accordance with the best
estimate of the necessary expenses for the performance of the current obligation. To determine the best estimate,
the Company shall take into full consideration of the risks, uncertainty, time value of money, and other factors
pertinent to the Contingencies. If the time value of money is of great significance, the best estimate shall be
determined after discounting the relevant future outflow of cash. If there is a sequent range for the necessary
expenses and if all the outcomes within this range are equally likely to occur, the best estimate shall be
determined in accordance with the middle estimate within the range. In other cases, the best estimate shall be
conducted in accordance with the following situations, respectively: ① If the Contingencies concern a single
item, it shall be determined in the light of the most likely outcome. ② If the Contingencies concern two or more
items, the best estimate should be calculated and determined in accordance with all possible outcomes and the
relevant probabilities. ③ When all or some of the expenses necessary for the liquidation of an estimated debts of
an enterprise 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 reimbursement will be obtained. The Company shall check
the book value of the estimated debts on the balance sheet date. The Company shall, subject to change, make
adjustment to carrying value to reflect the current best estimate.
23. Share-based payment and equity instruments
The Company doesn’t have share-base payment and equity instruments.
(1) Categories of share-based payment
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(2) Recognition method of fair value of equity instruments
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(3) Recognition basis of the best estimate of the vested equity instruments
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(4) Accounting treatment relevant to implement, revise and terminate share-based payment plan
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24. Repurchase of shares of the Company
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25. Revenue
(1) Criteria for recognition time of revenue from sale of goods
No revenue shall be realized unless the following conditions are met simultaneously: a. The significant risks and
rewards of ownership of the goods or products have been transferred to the buyer by the enterprise; b. The
Company retains neither management right nor effective control over the sold goods or products; c. The relevant
revenue has been received or valid evidence has been obtained, d. relevant cost related to sales of goods and
products can be measured in a reliable way.
Revenue from providing services shall be recognized by adopting the percentage-of-completion method when
following conditions shall be met simultaneously: The amount of revenue can be measured in a reliable way; The
relevant economic benefits are likely to flow into the enterprise; The schedule of completion under the transaction
can be confirmed in a reliable way; and the costs incurred or to be incurred in the transaction can be measured in a
reliable way. If the Company can not measure the result of a transaction concerning the providing of labor
services in a reliable way, and the cost of labor services incurred is expected to be compensated, the revenue from
the providing of labor services shall be recognized in accordance with the amount of the cost of labor services
incurred. If the cost of labor services incurred is not expected to compensate in full, the revenue shall be
recognized in accordance with the amount of the cost of labor service can be compensated; if all cost of labor
services incurred is not expected to compensate and no revenue from the providing of labor services may be
recognized.
The revenue from abalienating of right to use the Company’s assets may be recognized when the following
conditions are met simultaneously: a. the relevant economic benefits are likely to flow to the Company; and b. the
amount of revenues can be measured in a reliable way. The user charge receivable should be measured and
confirmed as operating revenue in accordance with the period and method of charging as stipulated in the relevant
contract or agreement.
(2) Recognition basis of revenue from transferring use rights of assets
No revenue from abalienating of right to use assets may be recognized unless the following conditions are met
simultaneously: ① The relevant economic benefits are likely to flow into the Company; and ② The amount of
revenues can be measured in a reliable way.
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(3) Recognition basis and method for the schedule of contracted project when recognizing the revenue from
providing labour services and construction contract by percentage-of-completion method
The Company doesn’t have revenue from providing labour services and contruction contratct by percentage-of-completion method.
26. Government grants
(1) Types
No government subsidy may be recognized unless the following conditions are met simultaneously: (1) The
Company can meet the conditions for the government subsidies; and (2) The Company can obtain the government
subsidies.
(2) Accounting treatment method
If a government subsidy is a monetary asset, it shall be measured in the light of the received or receivable
amount. If a government subsidy is a non-monetary asset, it shall be measured at its fair value. If its fair value
cannot be obtained in a reliable way, it shall be measured at its nominal amount.
The government subsidies pertinent to assets shall be recognized as deferred income, equally distributed within
the useful lives of the relevant assets, and included in the current profits and losses. But the government
subsidies measured at their nominal amounts shall be directly included in the current profits and losses. The
government subsidies pertinent to incomes shall be treated respectively in accordance with the circumstances as
follows: (1) Those subsidies used for compensating the related future expenses or losses of the enterprise shall be
recognized as deferred income and shall included in the current profits and losses during the period when the
relevant expenses are recognized; or (2) Those subsidies used for compensating the related expenses or losses
incurred to the enterprise shall be directly included in the current profits and losses.
27. Deferred income tax assets and liabilities
(1) Recognition basis of deferred income tax assets
The Company shall record a dectible temporary difference into deferred income tax to the extent of the amount of
the taxable income which it is most likely to obtain in future period and which can be deducted from the
deductible temporary difference.
(2) Recognition basis of deferred income tax liabilities
As for taxable temporary differences, the Company shall record into deferred income liabilities except for special
conditions.
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28. Operating lease and finance lease
(1) Accounting treatments of operating lease
The rents from operating leases shall be recorded by the Company in the relevant asset costs or the profits and
losses of the current period by using the straight-line method over each period of the lease term.
(2) Accounting treatments of finance lease
On the lease beginning date, the Company shall record the lower one of the fair value of the leased asset and the
present value of the minimum lease payments on the lease beginning date as the entering value in an account,
recognize the amount of the minimum lease payments as the entering value in an account of long-term account
payable, and treat the balance between the recorded amount of the leased asset and the long-term account payable
as unrecognized financing charges.
29. Assets held for sale
(1) Recognition criteria of available-for-sale assets
The Company doesn’t have any available-for-sale assets.
(2) Accounting treatments of the assets held for sale
The Company doesn’t have any available-for-sale assets.
30. Capitalization of assets business
The Company doesn’t have any capitalization fo assets business.
31. Hedging accounting
The Company doesn’t have any hedging business.
32. Changes in main accounting policies and estimates
Were the main accounting policies or estimates changed during the reporting period?
□Yes √ No □ Inapplicable
(1) Change of accounting policies
Were the main accounting policies changed during the reporting period?
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□Yes √ No □ Inapplicable
(2) Change of accounting estimates
Were the main accounting estimates changed during the reporting period?
□Yes √ No □ Inapplicable
33. Correction of previous accounting errors
Was any accounting error made in previous periods discovered in the reporting period?
□Yes √ No □ Inapplicable
(1) Retrospective restatement method
Was any previous accounting errors adopting retrospective restatement method discovered in the reporting period?
□Yes √ No □ Inapplicable
(2) Prospective application method
Was any previous accounting errors adopting prospective application method discovered in the reporting period?
□Yes √ No □ Inapplicable
34. Other main accounting policies, accounting estimates as well as compilation method of financial
statements
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(Ⅴ) Taxation
1. Main taxes and tax rate
Category of taxes Tax basis Tax rate
VAT on sales is calculated based on 17%
of sales revenue. VAT is calculated and
paid based on the difference of VAT on
sales deducting deductible input VAT.
VAT Tax on exports managed by the 17％
Company, as approved by the taxation
departments, is paid by adopting the
policy of “tax exemption, tax deduction
and tax rebate” since 1 Jan. 2002
Consumption tax
Business tax Taxable service income 5%
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Urban maintenance and construction tax Taxable VAT and business tax 5%、7%
The Company was identified as a
high-tech enterprise in Dec. 2008, and
passed the re-examination for the First
Batch High-tech Enterprise in 2011 on
23 Aug. 2011, as well as won the
“Certificate of High-tech Enterprise”
with serial number GR201144000059
after approval by Department of Science
and Technology of Guangdong Province,
Department of Finance of Guangdong
Province, Guangdong Provincial Bureau
Enterprise income tax 15%
of State Taxation and Guangdong
Provincial Bureau of Local Taxation. In
accordance with relevant provisions in
Corporate Income Tax Law of the
People's Republic of China and the
Administration Measures for
Identification of High-tech Enterprises
promulgated in 2007, the Company paid
the corporate income tax based on a tax
rate of 15% within three years since 1
Jan. 2011.
Education expenses surcharge Current turnover tax in current 3%
Local education surcharge Current turnover tax in current 2%
The income tax rates adopted by each subsidiary and branch factory
The subsidiaries of the Company, including Foshan Taimei Times Lamps and Lanterns Co., Ltd., and Foshan
Chanchang Electric Appliance (Gaoming) Co., Ltd., are all productive foreign funded enterprises, so that the said
three companies enjoy a preferential CIT policy of “Two plus three” (Exemption of enterprise income tax for the
first two years of making profit, and 50% tax reduction for following three years). Of which, year 2007 and 2008
are the first profit-making year for enjoying the preferential CIT policy of “Two plus three”, therefore the said
companies should be allowed a 50% reduction of the enterprise income tax in 2011, as at the rate of 12.5%.
The subsidiaries of the Company, including Foshan Chansheng Electronic Ballast Co., Ltd., Foshan Gaoming
Fuwan Landscape Resort Co., Ltd., Nanjing Fozhao Lighting Components Manufacturing Co., Ltd., Foshan
Electrical & Lighting (Xinxiang) Co., Ltd., Foshan Lighting Lamps and Lanterns Co., Ltd., Qinghai Fozhao
Lithium Ion Battery Cathode Materials Co., Ltd., Guangdong Fozhao Leasing Co., Ltd. and Guangdong Fozhao
New Light Sources Technology Co., Ltd., whose enterprise income tax rate is 25%.
2. Tax preference and official documents
The Company has been certified as a high-tech enterprise in December 2008, and passed the re-examination for
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the First Batch High-tech Enterprise in 2011 on 16 January 2011, as well as won the “Certificate of High-tech
Enterprise” with serial number GR201144000059 after approval by Department of Science and Technology of
Guangdong Province, Department of Finance of Guangdong Province, Guangdong Provincial Bureau of State
Taxation and Guangdong Provincial Bureau of Local Taxation. In accordance with relevant provisions in
Corporate Income Tax Law of the People's Republic of China and the Administration Measures for Identification
of High-tech Enterprises promulgated in 2007, the Company paid the corporate income tax based on a tax rate of
15% within three years since 1 Jan. 2011.
3. Other explanation
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(Ⅵ) Business combination and consolidated financial statements
General instruction of business combination and consolidated financial statements:
1. Subsidiaries
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(1) Subsidiaries obtained by establishment and investment
—— Foshan Changsheng Electronic Ballast Co., Ltd., who is the Sino-foreign joint venture invested and established by the Company and Ma Henglai in August 2003. The
Company holds 75% equities of the said company, therefore the said subsidiary was included into the scope of the consolidated financial statements since date of foundation.
—Foshan Chanchang Electric Appliance (Gaoming) Co., Ltd., who is the Sino-foreign joint venture invested and established by the Company and Prosperity Lamps and
Components Ltd, had obtained license for business corporation on 23 Aug. 2005 through approval by Foreign Trade and Economic Cooperation Bureau of Gaoming District,
Foshan with document “MWJMY Zi [2005] No. 79”. The Company holds 70% equities of the said company, therefore the said subsidiary was included into the scope of the
consolidated financial statements since date of the foundation.
— Foshan Taimei Times Lamps and Lanterns Co., Ltd., who is the Sino-foreign joint ventures invested and established by the Company and Reback North America
Investment Limited, had obtained license for Business Corporation on 5 Dec. 2005 through approval by Foreign Trade and Economic Cooperation Bureau of Gaoming
District, Foshan with document “MWJMY Zi [2005] No. 97”. The Company holds 70% equities of the said company, therefore the said subsidiary was included into the
scope of the consolidated financial statements since date of foundation.
— Foshan Gaoming Fuwan Landscape Resort Co., Ltd. is limited liability company, which is invested and established by the Company, obtaining its license for Business
Corporation on 23 Nov. 2006. And the company holds 100% equities of this company. Therefore the said subsidiary was included into the scope of the consolidated financial
statements since date of foundation.
— Foshan Lighting Lamps and Lanterns Co., Ltd. is limited liability company, which is invested and established by the Company together with Foshan Haozhiyuan Trading
Co., Ltd., Shanghai Liangqi Electric Co., Ltd, Changzhou Sanfeng Electrical & Lighting Co., Ltd., Henan Xingchen Electrical & Lighting Co., Ltd., Foshan Hongbao
Electrical & Lighting Co., Ltd., Hebei Jinfen Trading Co., Ltd., obtaining its license for Business Corporation on 27 Mar. 2009. The Company holds 60% equities of this
company. Therefore the said subsidiary was included into the scope of the consolidated financial statements since date of the foundation. The said company had put into
production in May 2009. On 25 Sep. 2009, the equity transfer agreement was signed between the Company and Foshan Haozhiyuan Trading Co., Ltd., in which Foshan
Haozhiyuan Trading Co., Ltd. transferred 10% equities of Foshan Lighting Lamps and Lanterns Co., Ltd. to the Company. After transfer, the Company holds 70% equities of
Foshan Lighting Lamps and Lanterns Co., Ltd.. On 19 Dec. 2010, the Company signed Equity Transfer Contract with Shanghai Liangqi Electric Co., Ltd, Changzhou
Sanfeng Electrical & Lighting Co., Ltd., Henan Xingchen Electrical & Lighting Co., Ltd., Foshan Hongbao Electrical & Lighting Co., Ltd., and Taizhou Luqiao Hengyu
Lighting Equipment Trading Company. Since then, the above said minority shareholder respectively transferred 6% of their holding equities of Foshan Lighting Lamps and
Lanterns Co., Ltd. to the Company, the Company held 100% equities of Foshan Lighting Lamps and Lanterns Co., Ltd. after the transfer.
83
— Foshan Electrical & Lighting (Xinxiang) Co., Ltd. is limited liability company with the registered capital of RMB 10 million, which is invested and established by the
Company, obtaining its license for Business Corporation on 17 Apr. 2009. The holds 100% equities of the said company, therefore the said subsidiary was included into the
scope of the consolidated financial statements since date of foundation.
— Qinghai Fozhao Lithium Ion Battery Cathode Materials Co., Ltd. is limited liability company, which is invested and established by the Company together with Hefei
Lixin Energy Material Co., Ltd., Qinghai Power New Energy Material Co., Ltd., Lithium Energy Holdings, Ltd. and Jianagsu Guogang Communication Engineering Co.,
Ltd.. On 25 Oct. 2010, Qinghai Fozhao Lithium Energy Exploitation Co., Ltd. received Business License for Enterprise as a Legal Person, of which the Company holds 51%
equities of the company, and it was included into the scope of the consolidated financial statements since date of foundation.
— Guangdong Fozhao Leasing Co., Ltd. is limited liability company, which is invested and established by the Company, obtaining its license for Business Corporation on
31 May 2011. And the Company holds 100% equities of this company. Therefore the said subsidiary was included into the scope of the consolidated financial statements
since date of foundation.
— Guangdong Fozhao New Light Sources Technology Co., Ltd. , who is the Sino-foreign joint ventures invested and established by the Company and Bright Technology &
Venture Limited (registered in Hong Kong), had obtained license for Business Corporation on 7 Jun. 2011 through approval by Foshan Foreign Trade and Economic
Cooperation Bureau, with document “FWJMY Zi [2011] No. 39”. And the registered capital was RMB 222 million, and the Company has invested RMB 10 million into the
said company up to 31 Dec. 2011. Then the Company holds 54.95% equities of the said company, therefore the said subsidiary was included into the scope of the
consolidated financial statements since date of foundation. According to the announcement on liquidating and writing off the controlled subsidiary Guangdong Fozhao New
Light Source Technology Co., Ltd. disclosed by the 6th Board of Directors on 29 Jun. 2012, the subsidiary has now entered the liquidation procedure. Up to 30 Jun. 2012,
the writing-off work regarding this subsidiary has not been finished yet.
Unit: RMB Yuan
The Balance of parent
The
Actual propor Included company’s equity after
proportio
amount of tion of in Deductible deducting the
Registered Business Registered Business Other essential n of Minority
Subsidiaries Type investments holdin consolida minority difference that loss of
place nature capital scope investment voting interest
at the g ted interests minority interests
rights
period-end shares statement exceed equity obtained
（%）
（%） by minority
84
shareholders
Production
Foshan of ballast,
Chansheng electronic
Limited Manufactur
Electronic Foshan 1,000,000 transformers 750,000 75% 75% Yes 1,246,001.50
company e
Ballast Co., and
Ltd. electronic
igniters
Production
and
operation of
lamps,
Foshan electric light
Chanchang source
Electric Limited Manufactur products and
Foshan 72,780,000 50,940,000 70% 70% Yes 25,210,679.64
Appliance company e accessories,
(Gaoming) Co., installation
Ltd. of related
engineering
and
consulting
business
Research,
Foshan Taimei development,
Limited
Times Lamps Manufactur production
liability Foshan 500,000 350,000 70% 70% 7,077,265.63
and Lanterns e and sales of
company
Co., Ltd. lighting,
household
85
appliances
and
accessories
and other
lighting
products
Making
arrangement
(tourist
industry,
Foshan
catering
Gaoming Limited
Hotel service,
Fuwan liability Foshan 4,800,000 4,800,000 100% 100%
industry sauna,
Landscape company
foot-bathing,
Resort Co., Ltd.
games, retail
of beverages,
sports on the
water, chess)
R&D and
production of
electric light
Foshan source lamp
Limited
Lighting Lamps Manufactur products and
liability Foshan 5,000,000 5,070,000 100% 100%
and Lanterns e relevant
company
Co., Ltd. electric
engineering
materials,
metal
86
material and
non-metal
material
Production
and sales of
electric light
source
equipment
and electric
light source
products,
sales of
Foshan accessories
Electrical & Limited of electric
Manufactur
Lighting liability Xinxiang 10,000,000 light source, 10,000,000 100% 100%
e
(Xinxiang) Co., company electric light
Ltd. source
materials,
electric
engineering
materials,
accessories
for motor
vehicles,
lamps and
components
Qinghai Fozhao Limited Manufactur Manufacturin
Qinghai 5,000 25,500,000 51% 51% 14,021,112.25
Lithium Ion liability e g and selling
87
Battery company lithium ion
Cathode battery
Materials Co., cathode
Ltd. materials
Financing
lease of
Guangdong new-energy
Fozhao Limited mobile and
Financial liability Foshan Lease 200,000,000 main 200,000,000 100% 100%
Leasing Co., company components,
Ltd. lighting and
energy-savin
g products
Production
and sales of
LED light
Guangdong
source
Fozhao New Limited
Manufactur products, 54.95
Light Sources liability Foshan 222,000,000 10,000,000 54.95% -995,084.83
e LED lighting %
Technology company
appliance
Co., Ltd.
products and
installation
of lighting
88
(2) Subsidiaries obtained by business combination under same control
Naught
(3) Subsidiaries obtained by business combination not under same control
—In accordance with the equity transfer agreement signed between the Company and Prosperity Lamps and
Components Ltd on 27 Aug. 2008, Prosperity Lamps and Components Ltd. transferred 100% equities of Nanjing
Fozhao Lighting Components Manufacturing Co., Ltd.(used to known as “Prosperity (Nanjing) Lighting
Components Co., Ltd.”, and changed name to “Nanjing Fozhao Lighting Components Manufacturing Co., Ltd.”
on 15 Nov. 2010.) to the Company. Therefore, Prosperity (Nanjing) Lighting Components Co., Ltd. became the
wholly-owned subsidiary of the Company. The said subsidiary was included into the scope of the consolidated
financial statements since merger date.
Unit: Yuan
Balance of
The parent
pro company’s
Actual
port The Inclu equity after
amount
ion propo ded in deducting the
of Other Deducti
Regist Registe of rtion conso difference that
Subsidiari Busines Busines investm essential Minority ble
Type ered red hold of lidate loss of
es s nature s scope ents at investme interest minority
place capital ing voting d minority
the nt interests
shar rights state interests
period-
es （%） ment exceed equity
end
（ obtained by
%） minority
shareholders
Producti
on of
energy-s
Nanjing aving
Fozhao photoele
Lighting ctric
Compone Limited Nanjin Manufa 41,683, source 72,000, 100
100% Yes
nts Company g cture 200 products 000 %
Manufact , lamps
uring Co., and
Ltd. lanterns,
light
source
equipme
89
nts,
illumina
tion
engineer
ing;
technolo
gical
develop
ment of
energy-s
aving
and
producti
on of
relevant
compon
ents;
sales of
self-pro
duction
products
Other notes to subsidiaries obtained by business combination not under same control:
Naught
2. Special purpose entities or operating entities with control right formed by entrusted operation or lease
□ Applicable √ Inapplicable
Other explanation on special purpose entities or operating entities with control right formed by entrusted operation or lease:
Naught
3. Explanation on changes in consolidated scope
Explanation on changes in consolidated scope:
Naught
□ Applicable √ Inapplicable
4. Subsidiaries that newly combined into consolidation scope in the reporting period
Naught
5. Business combination under same control during the reporting period
Naught
90
6. Business combination not under same control during the reporting period
Naught
7. Subsidiaries reduced by selling equities without control right during the reporting period
Naught
8. The counter purchases in the reporting period
Naught
9. Mergers in the reporting period
Naught
10. Exchange rates of major items in financial statements for foreign entities
Naught
(Ⅶ) Notes on major items in consolidated financial statements of the Company
1. Monetary funds
Unit: RMB Yuan
Closing balance Opening balance
Item Amount in foreign Exchan Amount in Exchange
Amount in RMB Amount in RMB
currency ge rate foreign currency rate
Cash: -- -- 256,751 -- -- 102,890.33
RMB -- -- 256,751 -- -- 102,890.33
Bank deposit: -- -- 920,945,080.27 -- -- 688,662,470.16
RMB -- -- 914,414,239.55 -- -- 677,998,462.61
HKD 93.1 0.82 75.9 93.05 0.8107 75.44
USD 824,595.38 6.32 5,215,483.33 1,560,740.53 6.3009 9,834,070
EUR 167,104.75 7.87 1,315,281.49 101,667.64 8.1625 829,862.11
Other monetary funds: -- -- 5,065,284.05 -- -- 1,926,390.66
RMB -- -- 5,065,284.05 -- -- 1,926,390.66
Total -- -- 926,267,115.32 -- -- 690,691,751.15
91
2. Trading financial assets
(1) Trading financial assets
Unit: RMB Yuan
Item Closing fair value Opening fair value
Trading bonds investment
Trading equity instruments investment
The financial assets which are measured at their fair
values and the variation of which is recorded into the 4,162,089 4,097,366.22
profits and losses of the current period
Derivative financial assets
Hedging instruments
Others
Total 4,162,089 4,097,366.22
(2) Trading financial assets with realizable limit
Naught
(3) Hedging instruments and notes to relevant hedging transaction
Naught
3. Notes receivable
(1) Category of notes receivable
Unit: RMB Yuan
Category Closing balance Opening balance
Bank acceptance bill 118,432,741.89 120,417,089.71
Total 118,432,741.89 120,417,089.71
(2) Notes receivable pledged at period-end
Naught
(3) Notes transferred to accounts receivable because drawer of the notes fails to execute the contract or
agreement, and undue notes endorsed to other parties at the end of the period
Naught
92
Notes of bank acceptance bill that already discounted or pledged.
Naught
4. Dividends receivable
Naught
5. Interest receivable
(1) Interest receivable
Unit: RMB Yuan
Increase in current Decrease in current
Item Opening balance Closing balance
period period
Industrial Bank 506,347.11 98,584.4 604,931.51
Total 506,347.11 98,584.4 604,931.51
(2) Overdue interest
Naught
(3) Notes to interest receivable
Naught
6. Accounts receivable
(1) Accounts receivable listed by categories
Unit: RMB Yuan
Closing balance Opening balance
Book balance Bad debt provision Book balance Bad debt provision
Category
Proportion Proportion Proportion Proportion
Amount Amount Amount Amount
(%) (%) (%) (%)
Accounts receivable with
significant single amount
and individually 0.00 0.00 0.00 0.00
withdrawn bad debt
provision
Accounts receivable for which bad debt provisions are made on the group basis
Common business group 365,610,51 100% 21,936,630. 6% 319,387,0 99.66% 19,163,224.7 6%
93
1.23 67 79.08 6
365,610,51 21,936,630. 319,387,0 19,163,224.7
Subtotal of the groups 100% 6% 99.66% 6%
1.23 67 79.08 6
Accounts receivable with
insignificant single
1,102,004
amount and individually 0.34% 1,102,004.37 100%
.37
withdrawn bad debt
provision
365,610,51 21,936,630. 320,489,0 20,265,229.1
Total -- -- -- --
1.23 67 83.45 3
Notes to category of accounts receivable:
Loan
Accounts receivable with significant single amount and individually withdrawn bad debt provision
□Applicable √Inapplicable
In the groups, accounts receivable adopting aging analysis method to withdraw bad debt provision:
√ Applicable □ Inapplicable
Unit: RMB Yuan
Closing balance Opening balance
Aging Book balance Provision for bad Book balance Provision for bad
Amount Proportion debts Amount Proportion debts
Within 1 year
Including: -- -- -- -- -- --
Subtotal of within
357,406,232.59 97.76% 21,444,373.95 316,320,222.51 99.04% 18,979,213.35
1 year
Subtotal within a
357,406,232.59 97.76% 21,444,373.95 316,320,222.51 99.04% 18,979,213.35
year
1-2 years 7,230,487.35 1.98% 433,829.24 1,682,904.52 0.53% 100,974.27
2-3 years 469,898.35 0.13% 28,193.9 950,098.63 0.3% 57,005.92
Over 3 years 503,892.94 0.14% 30,233.58 433,853.42 0.13% 26,031.21
3 to 4 years
4 to 5 years
Over 5 years
Total 365,610,511.23 -- 21,936,630.67 319,387,079.08 -- 19,163,224.76
In the groups, accounts receivable adopting balance percentage method to withdraw bad debt provision
□Applicable√ Inapplicable
94
In the groups, accounts receivable adopting other methods to withdraw bad debt provision
□Applicable√ Inapplicable
Other closing individually insignificant but provisions for bad debts individually accounts receivable:
□Applicable√ Inapplicable
(2) Accounts receivable reversed or collected in the reporting period
Unit: RMB Yuan
Recognition basis of Reversed or collected
Content of accounts Reversed or collected Reversed or collected
original bad debt amount of the accrued
receivable reason amount
provision bad debt provision
Total -- -- --
The withdrawal of bad debt provision of accounts receivable with significant single amount or insignificant single amount but
individually made impairment test at the end of reporting period:
Withdrawing proportion
Content Book balance Bad debt amount Reason
（%）
Total -- --
Notes to accounts receivable with insignificant single amount but large risks of groups after grouping by credit risks characteristics:
Naught
(3) The write-off accounts receivable
Unit: RMB Yuan
Whether arising
Nature of accounts
Name of entity Write-off time Write-off amount Write-off reason from related party
receivable
transaction or not?
Guangzhou Yaotong Estimated to be
Lighting Appliances Loan 30 Jun. 2012 721,509.44 unrecoverable for No
Trading Co., Ltd. long age
Jilin Changchun
Estimated to be
Haitian Dongda
Loan 30 Jun. 2012 184,263 unrecoverable for No
Commerce & Trade
long age
Co., Ltd.
Estimated to be
Dongda Economic &
Loan 30 Jun. 2012 117,772.19 unrecoverable for No
Trade Co., Ltd.
long age
Shanghai Xianyi Estimated to be
Loan 30 Jun. 2012 50,000 No
Lighting Electrical unrecoverable for
95
Appliances Co., Ltd. long age
Estimated to be
Other small
Small balance 30 Jun. 2012 28,459.74 unrecoverable for No
customers
long age
Total -- -- 1,102,004.37 -- --
(4) Particulars about accounts receivable due to shareholders holding 5% (including 5%) voting rights of
the Company
√ Applicable □ Inapplicable
Unit: RMB Yuan
Closing balance Opening balance
Name of entity
Book balance Withdrawal amount Book balance Withdrawal amount
Prosperity Lamps & Components
11,262,480.45 675,748.83 12,222,599.77 733,355.99
Limited
Total 11,262,480.45 675,748.83 12,222,599.77 733,355.99
(5) Information of top 5 accounts receivable:
Unit: RMB Yuan
The relationship with the
Name of entity Amount Aging Proportion
Company
GE COMPANY Non-related relationship 30,219,566.37 Within 1 year 8.27%
Finance Bureau Non-related relationship 20,322,421.7 Within 1 year 5.56%
PROSPERITY LAMPS
Related relationship 11,262,480.45 Within 1 year 3.08%
& COMPONENTS
Changzhou Sanfeng
Electrical & Lighting Non-related relationship 10,833,121.42 Within 1 year 2.96%
Co., Ltd.
Foshan Feidelun Electric
Related relationship 6,846,224.30 Within 1 year 1.87%
Co., Ltd.
Total -- 79,483,814.24 -- 21.74%
(6) The amounts due from related parties
Unit: RMB Yuan
The relationship with the
Name of entity Amount Proportion
Company
Prosperity (Hangzhou) Company controlled by 1,475,382.50 0.1%
96
Lighting and Electrical Co., related-party natural person
Ltd.
Prosperity Electrical (China) Company controlled by
507,135.2 0.14%
Co., Ltd. related-party natural person
OSRAM (China) Lighting Company influenced by
2,475,195.67 0.68%
Co., Ltd. related-party natural person
Prosperity Lamps & Shareholder holding over 5% of
11,262,480.45 3.11%
Components Limited shares of the Company
Swanki (Foshan) Electric Company controlled by
910,902.43 0.25%
Corporation related-party natural person
Zlamp (Foshan) Enterprise Company controlled by
3,202,351.05 0.88%
Co., Ltd. related-party natural person
Shanghai Liangqi Electrical Company controlled by
406,328 0.11%
Appliance Co., Ltd. related-party natural person
Foshan Feidelun Electric Co., Company influenced by
6,846,224.30 1.87%
Ltd. related-party natural person
Nanjing Kaixiang Electric Company influenced by
931,150.63 0.25%
Lighting Source Co., Ltd. related-party natural person
Haolin Lighting & Electrical
Company influenced by
Department of Foshan 36,608 0.01%
related-party natural person
Chancheng District
Foshan Hongbang Electrical Company influenced by
5,932,780.75 1.62%
& Lighting Co., Ltd. related-party natural person
Foshan Gaoming Shijia Company influenced by
94,172.00 0.03%
Lighting Co., Ltd. related-party natural person
Total -- 34,080,710.98 9.32%
(7) Information of accounts receivable that terminated recognition
Naught
(8) If securitization is carried out on accounts receivable as the underlying assets, please list amount of
assets and liabilities arising from further involvement
Naught
7. Other accounts receivable
(1) Other accounts receivable disclosed by type:
Unit: RMB Yuan
97
Closing balance Opening balance
Provision for doubtful Provision for doubtful
Category Balance Balance
debts debts
Proportio Proportio Proportion Proportio
Amount Amount Amount Amount
n (%) n (%) (%) n (%)
Other accounts
receivable that is
individually significant 0.00 0.00 0.00 0.00
and provisions for bad
debts individually
Other accounts receivable that provisions for bad debts by group
11,500,176.2 20,054,554.2
Common business group 99.08% 690,010.57 6% 99.47% 1,203,273.25 6%
3 1
11,500,176.2 20,054,554.2
Subtotal of group 99.08% 690,010.57 6% 99.47% 1,203,273.25 6%
3 1
Other accounts
receivable that is
individually insignificant 106,552.5 0.92% 106,552.5 100% 106,552.5 0.53% 106,552.5 100%
but provisions for bad
debts individually
11,606,728.7 20,161,106.7
Total -- 796,563.07 -- -- 1,309,825.75 --
3 1
Other closing accounts receivable that is individually significant and provisions for bad debts individually.
□Applicable√ Inapplicable
In the group, other accounts receivable that provisions for bad debts by aging analysis:
√ Applicable □ Inapplicable
Unit: RMB Yuan
Period-end Period-begin
Book balance Book balance
Aging Provision for bad Provision for bad
Proporti Proporti
Amount debts Amount debts
on on
Within 1 year
Including:
Subtotal of within 1 year 11,058,067.41 96.16% 663,484.04 19,054,865.17 95.02% 1,143,291.91
1-2 years 54,408.82 0.47% 3,264.53 496,002.78 2.47% 29,760.17
2-3 years 39,387.08 0.2% 2,363.22
Over 3 years 387,700 3.37% 23,262 464,299.18 2.32% 27,857.95
98
3 to 4 years
4 to 5 years
Over 5 years
Total 11,500,176.23 -- 690,010.57 20,054,554.21 -- 1,203,273.25
In the group, other accounts receivable that provisions for bad debts by balance percentage:
□Applicable√ Inapplicable
In the group, other accounts receivable that provisions for bad debts by other methods:
□Applicable√ Inapplicable
Other closing individually insignificant but provisions for bad debts individually accounts receivable:
√ Applicable □ Inapplicable
Unit: RMB Yuan
Content Book balance Provision for bad debts Withdrawal proportion Reason
Fangcheng County Yuli Estimated to be
106,552.5 106,552.5 100%
Glass Tube Co., Ltd. unrecoverable
Total 106,552.5 106,552.5 100% --
(2) Information of other accounts receivable reversed or recovered in the reporting period
Unit: RMB Yuan
Reason for reversed or Basis for determination Accrued amount before Amount of reversed or
Other accounts receivable
recovered of bad debts provision reversal or recovery recovered
Total -- -- --
Withdrawal of closing individually significant or insignificant but provisions for bad debts individually accounts receivable:
Content Book balance Provision for bad debts Withdrawal percentage Reason
Total -- --
(3) Information of other accounts receivable written off in the reporting period
Naught
(4) Other accounts receivable is due from shareholders with more than 5% (including 5%) of the voting
shares of the Company
□Applicable √Inapplicable
99
(5) Nature or details of other significant accounts receivable
Naught
(6) Information of top five other accounts receivable
Unit: RMB Yuan
Relationship with the Proportion of the total
Name of entity Amount Aging
Company (%)
Export rebates Not related relationship 8,551,251.85 1 year 73.67%
Nanhai Huanan Electric
Lighting Source Fixture
Not related relationship 483,000 1 year 4.16%
City and Property Co.,
Ltd.
Foshan Gaoming District
Company influenced by
Ruibeike Electric
related-party natural 220,822.92 1 year 1.90%
Lighting Source
person
Materials Co., Ltd.
Guangdong Fozhao
Guoxuan Power Energy Associated enterprises 179,337.72 1 year 1.55%
Co., Ltd.
Shandong Dingyu
Electronic Glass Co., Not related relationship 175,590.96 1 year 1.51%
Ltd.
Total -- 9,610,003.45 -- 82.80%
(7) Information of the amounts due from related parties
Unit: RMB Yuan
Name of entity Relationship with the Company Amount Aging
Guangdong Fozhao Guoxuan
Associated enterprises 179,337.72 1.55%
Power Energy Co., Ltd.
Foshan Gaoming District
Company influenced by
Ruibeike Electric Lighting 220,822.92 1.9%
related-party natural person
Source Materials Co., Ltd.
Total -- 400,160.64 3.45%
(8) Information of other accounts receivable that terminated recognition
Naught
100
(9) If securitization is carried out on other accounts receivable as the underlying assets, please list amount
of assets and liabilities arising from further involvement
Naught
8. Prepayment
(1) List by aging analysis:
Unit: RMB Yuan
Closing balance Opening balance
Aging Proportion Proportion
Amount Amount
(%) (%)
Within 1 year 46,606,913.11 98.96% 39,163,913.07 95.45%
1 year to 2
335,250 1,327,501.87 3.24%
years
2 years to 3
0.71%
years
Over 3 years 156,552.5 541,446 1.31%
Total 47,098,715.61 -- 41,032,860.94 --
(2) Information of the top 5 prepayment
Unit: RMB Yuan
Relationship with the
Name of entity Amount Time Reason for unsettled
Company
Nanjing Weiyiming
Non-related-party Advance material
Electro-Optical 8,300,000 11 Dec 2011
supplier payment
Technology Co., Ltd.
Zhongshan Wanglai Non-related-party Advance material
4,270,000 29 May 2012
Industry Co., Ltd. supplier payment
IRICO Group Electronics Non-related-party Advance material
4,085,000 6 Jul 2011
Company Limited supplier payment
Yangzhou Fute Streel
Non-related-party Advance material
Masts & lighting 3,648,610 19 Dec 2011
supplier payment
facilities Co., Ltd.
Nantong Weiguang
Non-related-party Advance material
Electrical Appliance Co., 3,000,000 2 Jan 2012
supplier payment
Ltd.
Total -- 23,303,610 -- --
101
Notes of important companies of prepayment:
(3) Information about amount due from shareholders with more than 5% (including 5%) of the voting
shares of the Company in prepayment
□ Applicable √ Inapplicable
(4) Notes of prepayment
Naught
9. Inventory
(1) Category
Unit: RMB Yuan
Closing balance Opening balance
Item Impairment of Impairment of
Book balance Book value Book balance Book value
inventories inventories
Raw materials 162,472,993.63 162,472,993.63 162,792,136.75 162,792,136.75
Construction
6,442,424.54 6,442,424.54 9,753,974.52 9,753,974.52
contract assets
Inventory goods 214,456,328.33 214,456,328.33 228,698,848.07 228,698,848.07
Turnover material
Consumable
biological assets
Self-made
semi-finished 103,624,351.21 103,624,351.21 90,753,861.70 90,753,861.70
products
Low-value
1,816,739.08 1,816,739 1,614,628.02 1,614,628.02
consumption goods
Total 488,812,836.79 488,812,836.79 493,613,449.06 493,613,449.06
(2) Impairment of inventories
Unit: RMB Yuan
Decrease
Category Opening balance Increase Closing balance
Reversal Written off
Raw materials
Construction contract
assets
102
Inventory goods
Turnover material
Consumable biological
assets
Total 0.00 0.00 0.00 0.00 0.00
(3) Details of provision for falling price of inventories
Proportion of reversal of
Basis on provision for falling
Item Reasons for reversal provision for impairment of
price of inventories
inventories to closing balance
Raw materials
Inventory goods
Construction contract assets
Turnover material
Consumable biological assets
10. Other current assets
Unit: RMB Yuan
Item Closing balance Opening balance
Total
11. Available-for-sale financial assets
(1) Information of available-for-sale financial assets
Unit: RMB Yuan
Item Closing fair value Opening fair value
Available-for-sale bonds
Available-for-sale equity instruments
Others 66,872,821.12 67,814,691.84
Total 66,872,821.12 67,814,691.84
In the reporting period, the Company reclassified the held-to-maturity investment into available-for-sale financial assets, a total of
RMB0.00 was reclassified, which takes 0% of total matured investment before reclassification.
103
(2) Long-term liability investment of available-for-sale financial assets
Naught
12. Held-to-maturity investment
(1) Information
Unit: RMB Yuan
Item Closing book balance Opening book balance
0.00 0.00
Total 0.00 0.00
(2) Information of held-to-maturity investment sold in the reporting period but was not matured
Unit: RMB Yuan
Item Amount Percentage of the investment amount before sales
Total 0.00 --
13. Long-term accounts receivable
Unit: RMB Yuan
Category Closing balance Opening balance
Financing leases
Including: unrealized financing
gains
Installment sales
Installment offering service
Others
Total 0.00 0.00
14. Investment to joint ventures and associated enterprises
Unit: RMB Yuan
currenc Percent Voting Total Net
Nature Nature Total
Registra Legal Register y age of percent Total Net operatio profit of
of of closing
Name of investee tion represe ed holding age of closing closing n the
enterpri busines liabilitie
place ntative capital shares the assets assets revenue reportin
ses s s
of the Compa of the g
104
Compa ny in reportin period
ny investee g period
I. Joint ventures
II. Associated enterprises
Room
6407,
4/F,
Fuhua
Bldg.,
Integrat
No. 36,
ed
Jinqiao
develop
Road,
Qinghai FSL ment
Limited Xining
Lithium Energy Zhong and 100,000 88,024, 400,00 87,624, 327,46
compan Econom CNY 38% 38% 0.00
Exploitation Co., Xincai utilizati ,000 078.82 0.00 078.82 5.36
y ic &
Ltd. on of
Technol
salt lake
ogical
brine
Develop
resource
ment
Zone,
Qinghai
Provinc
e
Plant of
Industri
al Base R&D,
of FSL, producti
HeChen on and
g Street, sales of
Guangdong Fozhao Limited
Changji lithium 50,000, 45,372, 22,771, 22,600, 10,555. -2,686,
Guoxuan Power compan Li Zhen CNY 50% 50%
ang ion 000 305.07 669.07 636.00 56 456.05
Energy Co., Ltd. y
Industri battery
al Park, and its
Gaomin control
g system
District,
Foshan
15. Long-term equity investment
105
(1) List of long-term equity investment
Unit: RMB Yuan
Explanation for
indifferences
Withdrawn
between the
Share holding Voting impairment Cash bonus in
Accounting Initial Opening Increase/decrea share holding Impairment
Investee Closing balance percentage in percentage in provision in the the reporting
method investment cost balance se percentage and provision
investee investee reporting period
voting
period
percentage in
investee
Hefei Guoxuan
High-tech
Cost method 160,000,000 160,000,000 160,000,000 17.21% 17.21% In accord
Power Energy
Co., Ltd.
Shenzhen
Liangke
Venture Capital Cost method 13,718,882.66 13,718,882.66 13,718,882.66 18.5% 18.5% In accord
Company
Limited
Guangzhou
Zhujiang Asset
Management Cost method 10,000,000 10,000,000 10,000,000 15.38% 15.38% In accord 3,298,904.81
Company
Limited
Shenzhen
Zhonghao Cost method 5,850,000 5,850,000 5,850,000 Less than 5% Less than 5% In accord 5,850,000
(Group) Co.,
106
Ltd.
Chengdu
Hongbo
Cost method 6,000,000 6,000,000 6,000,000 6.94% 6.94% In accord
Industrial Co.,
Ltd.
Ximen Bank
Cost method 208,574,217 208,574,217 208,574,217 7.99% 7.99% In accord 14,571,414
Co., Ltd.
China Guangfa
Cost method 500,000 500,000 500,000 Less than 5% Less than 5% In accord
Bank Co., Ltd
Foshan Fochen
Road
Development Cost method 20,757,600 10,175,627.38 10,175,627.38 7.66% 7.66% In accord
Company
Limited
Qinghai FSL
Lithium Energy
Equity method 38,000,000 28,710,757.68 124,436.84 28,835,194.52 38% 38% In accord
Exploitation
Co., Ltd.
Guangdong
Fozhao
Guoxuan Equity method 12,600,000 12,643,546.03 -1,343,228.03 11,300,318 50% 50% In accord
Power Energy
Co., Ltd.
Total -- 476,000,699.66 456,173,030.75 -1,218,791.19 454,954,239.56 -- -- -- 9,148,904.81 0.00 14,571,414
107
(2) Information of the limitation on the capability to transfer capital to investee
Naught
16. Investment property
(1) Investment property calculated by cost
□ Applicable √ Inapplicable
(2) Investment property calculated by fair value
□ Applicable √ Inapplicable
17. Fixed assets
(1) Fixed assets details
Unit: RMB Yuan
Opening book Decrease in the Closing book
Item Increase in the reporting period
balance reporting period balance
I. Total original book value 1,755,879,055.62 4,865,929.25 2,581,963.78 1,758,163,021.09
Including: Property and
580,481,571.86 357,432 580,839,003.86
building
Machineries 1,135,214,202.34 3,803,921.77 1,916,298.13 1,137,101,825.98
Vehicles 18,396,542.28 239,338.46 18,635,880.74
Other equipment 21,786,739.14 465,237.02 665,665.65 21,586,310.51
Closing book
Opening book Increase in the Withdrawal in the Decrease in the
-- balance in
balance reporting period reporting period reporting period
currency period
II. Accumulated
1,112,534,628.08 0.00 47,683,848.31 2,705,179.30 1,157,513,297.09
depreciation
Including: Property and
283,741,107.65 0.00 17,651,476.47 492,113.36 300,900,470.76
building
Machineries 804,874,727.73 0.00 28,547,906.78 1,583,220.24 831,839,414.27
Vehicles 12,853,704.70 0.00 643,353.56 13,497,058.26
Other equipment 11,065,088.00 0.00 841,111.50 629,845.70 11,276,353.80
108
Opening book Closing balance in
-- --
balance current period
III. The net book value of
643,344,427.54 -- 600,649,724.00
fixed assets
Including: Property and
296,740,464.21 -- 279,938,533.10
building
Machineries 330,339,474.61 -- 305,262,411.71
Vehicles 5,542,837.58 -- 5,138,822.48
Other equipment 10,721,651.14 -- 10,309,956.71
265,749.92 -- 265,749.92
IV. Total impairment
--
provision
Including: Property and
265,749.92 -- 265,749.92
building
Machineries --
Vehicles 0.00 --
Other equipment 643,078,677.62 -- 600,383,974.08
296,740,464.21 -- 279,938,533.10
V. Total book value of fixed
330,073,724.69 -- 304,996,661.79
assets
Including: Property and
5,542,837.58 -- 5,138,822.48
building
Machineries 10,721,651.14 -- 10,309,956.71
Vehicles --
Other equipment --
Depreciation amount of this reporting period was RMB47,683,848.3, RMB1,782,409.14 was transferred into fixed assets from
construction project.
(2) Temporary idle fixed assets
Unit: RMB Yuan
Accrued Impairment
Item Original book value Net book value Note
depreciation provision
Property and
building
Machineries
109
Vehicles
(3) Fixed assets leased in from financing lease
□Applicable √ Inapplicable
(4) Fixed assets leased out from operation lease
□Applicable √ Inapplicable
(5) Information of hold-for-sale fixed assets at period-end
Unit: RMB Yuan
Item Book value Fair value Estimated disposal cost Estimated settle date
(6) Information of fixed assets failed to accomplish certification of property
Item Reason Estimated accomplish date
18. Construction in progress
(1)
Unit: RMB Yuan
Closing balance Opening balance
Item Impairment Impairment
Book balance Book value Book balance Book value
provision provision
Construction in progress 112,038,149.68 112,038,149.68 88,017,369.74 88,017,369.74
Total 112,038,149.68 112,038,149.68 88,017,369.74 88,017,369.74
110
(2) Significant changes in construction in progress
Unit: RMB Yuan
Including:
Project input Capitalization
Name of Opening Transferred to Other Project Capitalization capitalization Source of Closing
Budget Increase percentage of of interest rate
project balance fixed assets decrease process of interest of interest funding balance
budget (%)
this period
Fuwan
Lighting Self-owned
32,000,000 24,413,496.48 6,439,596.63 96% Project late 30,853,093.11
Industrial capital
Park
Self-owned
24,000,000 16,025,033.57 1,537,567.61 269,120.17 72% Project late 17,293,481.01
Furnace capital
Standard C Self-owned
11,000,000 10,565,870.61 96% Project late 10,565,870.61
Workshop capital
4#, 5#
factories in Self-owned
650,000 621,630.5 95% Project late 621,630.5
Xinxiang, capital
Henan
Production
lines of T8
Self-owned
and 4,700,000 1,045,345.49 2,371,398.01 476,700.82 2,005.13 62% Project late 2,938,037.55
capital
metal-halide
lamps
Rebuilding of 5,400,000 4,991,410.74 92% Project late Self-owned 4,991,410.74
111
liya line capital
Production
line of lithium Self-owned
26,000,000 21,769,179.1 2,975,972.04 209,401.71 94% Project late 24,535,749.43
iron capital
phosphate
Self-owned
Other 8,585,403.25 12,799,103.08 1,096,306.61 49,322.99 20,238,876.73
capital
Total 103,750,000 88,017,369.74 26,123,637.37 1,782,409.14 320,448.29 -- -- -- -- 112,038,149.6
112
(3) Impairment provision of construction in progress
Unit: RMB Yuan
Increase in the Decrease in the Reason for
Item Opening amount Closing balance
reporting period reporting period withdrawal
Total --
(4) Information of procedures of significant construction in progress
Item Project process Note
Fuwan Lighting Industrial Park Project late
Furnace Project late
Standard C Workshop Project late
Production lines of T8 and metal-halide
Project late
lamps
Rebuilding of liya line Project late
Production line of lithium iron phosphate Project late
19. Engineering materials
Unit: RMB Yuan
Increase in the Decrease in the
Item Opening balance Closing balance
reporting period reporting period
Total 0.00 0.00 0.00 0.00
20. Clearance of fixed assets
Unit: RMB Yuan
Reason for transferring to
Item Opening book value Closing book value
clearance
Total 0.00 0.00 --
113
21. Productive biological assets
□Applicable √ Inapplicable
(2) Calculated by fair value
□Applicable √ Inapplicable
22. Oil and gas assets
Unit: RMB Yuan
Item Opening book balance Increase Decrease Closing book balance
I. Total original book value 0.00 0.00 0.00 0.00
1. Property rights of proved
mining area
2. Property rights of
unproved mining area
3. Well and relevant
facilities
II. Total accumulated
0.00 0.00 0.00 0.00
depreciation
1. Property rights of proved
mining area
2. Well and relevant
facilities a
III. Total accumulated oil
0.00 0.00 0.00 0.00
and gas assets depreciation
1. Property rights of proved
mining area
2. Property rights of
unproved mining area
3. Well and relevant
facilities
IV. Total book value of oil
0.00 0.00 0.00 0.00
and gas assets
1. Property rights of proved
mining area
2. Property rights of
unproved mining area
3. Well and relevant
114
facilities
23. Intangible assets
(1) Information
Unit: RMB Yuan
Increase in the reporting Decrease in the reporting
Item Opening balance Closing balance
period period
I. Total original book
255,927,848.76 0.00 0.00 255,927,848.76
value
Land use right 255,727,848.76 255,727,848.76
Patent 200,000 200,000
II. Total accrued
37,290,355.22 2,163,962.06 0.00 39,454,317.28
amortization
Land use right 37,133,688.24 2,153,962.04 39,287,650.28
Patent 156,666.98 10,000.02 166,667
III. Total net book value of
218,637,493.54 0.00 0.00 216,473,531.48
intangible assets
Land use right 218,594,160.52 216,440,198.48
Patent 43,333.02 33,333
IV. Total impairment
0.00 0.00 0.00 0.00
provision
Land use right
Patent
Total book value of
218,637,493.54 0.00 0.00 216,473,531.48
intangible assets
Land use right 218,594,160.52 216,440,198.48
Patent 43,333.02 33,333
Amortization was of RMB 2,163,962.06 in the reporting period.
(2) Company development expense
Unit: RMB Yuan
Decrease
Item Opening balance Increase Recognized into Recognized as Closing balance
current gains/losses intangible assets
115
Total
(3) Information of intangible assets that failed to accomplish certification of property
Naught
24. Goodwill
Unit: RMB Yuan
Impairment
Name of investee or event that Increase in the Decrease in the
Opening balance Closing balance provision at
generated goodwill reporting period reporting period
period-end
Total 0.00 0.00 0.00 0.00 0.00
25. Long-term amortization expense
Unit: RMB Yuan
Amortization Reason for other
Item Opening balance Increase Other decrease Closing balance
balance decrease
Total 0.00 0.00 0.00 0.00 0.00 --
26. Deferred tax assets and liabilities
(1) Deferred tax assets and liabilities are not listed as the net value after offset
√ Applicable □ Inapplicable
Deferred tax assets and liabilities that already recognized
Unit: RMB Yuan
Item Closing balance Opening balance
Deferred income tax assets:
Provision for assets impairment 4,822,177.27 4,664,829.42
Formation expenses
Deductible losses
Depreciation of fixed assets 10,929,689.95 11,748,793.61
Payroll payable 4,998,975.02 4,998,975.02
Fair value changes on trading financial assets 125,686.65 135,395.07
Subtotal 20,753,770.52 21,547,993.12
116
Deferred income tax liabilities:
Estimated value of trading financial instruments,
derivative financial instruments
Fair value changes on available-for-sale financial
5,527,101.7 5,668,382.31
assets that recognized into capital reserves
Subtotal 5,527,101.7 5,668,382.31
List of unrecognized deferred income tax assets
Unit: RMB Yuan
Item Closing balance Opening balance
Deductible temporary
Deductible losses
Total
Deductible losses of unrecognized deferred income tax assets will due in the following years
Unit: RMB Yuan
Year Closing balance Opening balance Remark
Total --
List of taxable differences and deductible differences items
Unit: RMB Yuan
Temporary differences amount
Item
As at period-end As at period-begin
Taxable differences items
Fair value change on available-for-sale financial
36,847,344.67 37,789,215.4
assets
Subtotal 36,847,344.67 37,789,215.4
Deductible differences item
Assets impairment provision 32,147,848.48 30,989,709.61
Depreciation of fixed assets 72,864,599.67 78,145,883.78
Payroll payable 33,326,500.13 33,326,500.15
Fair value change on trading financial assets 837,911 902,633.78
Provision for assets impairments 32,147,848.48 30,989,709.61
Subtotal 139,176,859.28 143,364,727.32
117
(2) Deferred income tax assets and liabilities are listed as the net value after offset
□Applicable √ Inapplicable
27. List of provision for assets impairment
Unit: RMB Yuan
Opening book Decrease Closing book
Item Increase
balance Reversal Written off balance
I. Provision for bad debt 21,575,054.88 1,671,401.54 513,262.68 22,733,193.74
II. Provision for inventory
0.00 0.00 0.00 0.00 0.00
falling price
III. Impairment provision of
available-for-sale financial
assets
IV. Impairment provision of
held-to-maturity investment
V. Impairment provision of
9,148,904.81 0.00 9,148,904.81
long-term equity investment
VI. Impairment provision of
investment property
VII. Impairment provision of
265,749.92 265,749.92
fixed assets
VIII. Impairment provision of
engineering materials
IX. Impairment provision of
0.00 0.00 0.00
construction in progress
X. Impairment provision of
productive biological assets
Including: mature
productive biological assets
XI. Impairment provision of
0.00 0.00 0.00
oil gas assets
XII. Impairment provision of
0.00 0.00 0.00
intangible assets
XIII. Impairment provision of
goodwill
XIV. Others
Total 30,989,709.61 1,671,401.54 513,262.68 0.00 32,147,848.48
28. Other non-current assets
Unit: RMB Yuan
Item Closing balance Opening balance
Total 0.00 0.00
118
29. Short-term loan
(1)Category
Naught
(2)List of unsettled mature short-term loan
Naught
30. Trading financial liabilities
Naught
31. Notes payable
Naught
32. Accounts payable
(1)
Unit: RMB Yuan
Item Closing balance Opening balance
Accounts payable 325,681,686.57 196,871,864.3
Total 325,681,686.57 196,871,864.3
(2) The accounts payable to shareholders with more than 5% (including 5%) of the voting shares of the
Company
□Applicable √ Inapplicable
33. Advance from customers
(1)
Unit: RMB Yuan
Item Closing balance Opening balance
Advance from customers 19,585,358.06 18,464,449.37
Total 19,585,358.06 18,464,449.37
(2) Advanced from customers from shareholders with more than 5% (including 5%) of the voting shares of
the Company
□Applicable √ Inapplicable
34. Payroll payable
Unit: RMB Yuan
Item Opening book balance Increase Decrease Closing book balance
I. Salary, bonus,
422,989.5 124,448,538.42 124,775,665.92 95,862
allowance, subsidy
II. Employee welfare 4,436,144.64 4,436,144.64
III. Social insurance 16,943,116.15 16,943,116.15
Including: Medical
7,079,117.89 7,079,117.89
insurance premiums
Basic endowment
7,442,660.35 7,442,660.35
insurance
119
Unemployment
739,945.93 739,945.93
insurance
Work-related injury
1,203,912.49 1,203,912.49
insurance
Maternity insurance 477,479.49 477,479.49
IV. Housing fund
V. Redemption for
terminations of labor
contract
VI. Others 53,066,689.68 986,673.82 21,022,863.82 33,030,499.68
Equity incentive
53,066,689.68 443,364 20,479,554 33,030,499.68
funds
Labor union budget 246,975.82 246,975.82
Housing fund 296,334.00 296,334.00
Total 53,489,679.18 146,814,473.03 167,177,790.53 33,126,361.68
RMB 0.00is the amounts in arrears in the payroll payable.
The labor union budget and employee education budget is RMB 246,975.82, and the non-monetary benefits are RMB 0.00, as well as
the compensation for terminating the labor contract is RMB 0.00.
35. Taxes payable
Unit: RMB Yuan
Item Closing balance Opening balance
Value-added tax 4,987,205.73 -28,142,151.69
Consumption tax
Business tax
Corporate income tax 13,008,816.36 20,972,034.61
Personal income tax
Urban maintenance and construction tax
Other taxes and fares 5,436,301.43 5,087,534.4
Total 23,432,323.52 -2,082,582.68
36. Interest payable
Naught
37. Dividends payable
Unit: RMB Yuan
Reason for unsettlement over 1
Name of company Closing balance Opening balance
year
Ma Henglai 107,123.26 0.00
120
Total 107,123.26 0.00 --
Notes:
38. Other accounts payable
(1)
Unit: RMB Yuan
Item Closing balance Opening balance
Other accounts payable 4,176,433.31 27,119,424.6
Total 4,176,433.31 27,119,424.6
(2) Other accounts payable from shareholders with more than 5% (including 5%) of the voting shares of
the Company
□Applicable √ Inapplicable
(3)Notes of the other large amount accounts payable aging over 1 year.
Naught
(4)Notes of other accounts payable with significant amount
Naught
39. Estimated liabilities
Unit: RMB Yuan
Item Opening balance Increase Decrease Closing balance
External offering
guarantee
Unsettled lawsuit
Product quality guarantee
Responsibility of
reorganization
Dismissal welfare
Loss contract to be
executed
Other
Total 0.00 0.00 0.00 0.00
40. Non-current liabilities due within 1 year
(1)
Unit: RMB Yuan
Item Closing balance Opening balance
Long-term loan due within 1 year 0.00 0.00
Bonds payable due within 1 year
Long-term accounts payable due within 1 year
Total 0.00 0.00
121
(2)Long-term loan due within 1 year
Long-term loan due within 1 year
Unit: RMB Yuan
Item Closing balance Opening balance
Pledge loan
Mortgage loan
Guarantee loan
Credit loan
Total 0.00 0.00
Top five long-term loan due within 1 year
Unit: RMB Yuan
Closing balance Opening balance
Foreign Foreign
Creditor Starting date Ending date Currency Rate (%)
currency RMB balance currency RMB balance
balance balance
Total -- -- -- -- -- 0.00 -- 0.00
Mature loan of long-term loan due within 1 year:
Unit: RMB Yuan
Reason for Estimated settle
Creditor Amount of loan Overdue date Annual rate (%) Usage
unsettlement date
Total 0.00 -- -- -- -- --
(3)Bonds payable due within 1 year
Unit: RMB Yuan
Accrued Interest paid
Opening Closing
Issuance Issuing interest in in the Closing
Name Par value Term interest interest
date amount current reporting balance
payable payable
period period
(4)Long-term accounts payable due within 1 year
Unit: RMB Yuan
Creditor Term Initial amount Rate (%) Accrued interest Closing balance Conditions
41. Other current liabilities
Unit: RMB Yuan
Item Closing book balance Opening book balance
122
Total 0.00 0.00
42. Long-term loan
(1)Category of long-term loan
Naught
(2)The top five long-term loans
Naught
43. Bonds payable
Naught
44. Long-term payable
(1) The top five long-term payable
Unit: RMB Yuan
Conditions of
Company Term Initial amount Rate (%) Accrued interest Closing balance
loan
(2)List of the financing lease payable under the long-term loan
Naught
45. Specific payable
Unit: RMB Yuan
Item Opening balance Increase Decrease Closing balance Note
Total 0.00 0.00 0.00 0.00 --
46. Other non-current liabilities
Unit: RMB Yuan
Item Closing book balance Opening book balance
Other current liabilities 19,515,441.69 17,677,441.69
Total 19,515,441.69 17,677,441.69
Notes of other non-current liabilities, including this report period has all kinds of assets related, the government subsidies
pertinent to income and the final amount
Item Closing balance Opening balance Remark
Government grants
9,852,274.95 9,852,274.95 Fa-Gai-Tou-Zi (2008) 3174, “National
Development and Reform Commission
on 2009 Ten Major Energy Conservation
Projects, Circular Economy and
Including: The project of electronic energy-saving Industrial Pollution Treatment Projects in
lamp transformed from incandescence lamp Key Watersheds and Investment Plan of
123
New Add Central Budget 2008”
6,400,000.00 4,400,000.00 Notice on Issuing Discount Loans and
Investment Subsidy to the Second Batch
of “Double 100” Project and Adjustment
Project of lithium iron phosphate
of Industrial Structure of Qinghai
Province in 2011
(Ning-Kai-Nan-Guang-Cai[2011]No.62)
1,162,499.98 1,240,000.00 Government grant for pointed industry
Production line of 50 million energy-saving investment besides “4 plus 8” key
fluorescent lamp industries for Y2010 of Nanjing Finance
Bureau
Research project of key technology on 1,000,000.00 1,000,000.00 Notice on Issuing Plan of Science and
industrialization of production of 2000 ton Technology Project of 2011
LiFePO4/year (Qing-Ke-Fa-Ji-Zi[2011] No.136)
450,666.76 535,166.74 Special Subsidy on Desulfurization
Project of FGD fly ash removal of furnace system project from local council of Nanhai
(Nan-Fu-Fu[2009]No. 689)
500,000.00 500,000.00 Notice on Issusing Subsidy for
Development of Minor Enterprises on
Production project of 555a/t ferrous sulfate lithium Local Cultural Industry of Qinghai
Province of 2011
(Ning-Kai-Nan-Guang-Cai[2011]No.12)
150,000.00 150,000.00 Notice on Issuing Budget for R&D Item
of the First Batch of Appliance and
Research of production technology of LiFePO4
Industrial Technology
(Ning-Kai-Nan-Guang-Cai[2011]No.56)
Total 19,515,441.69 17,677,441.69
47. Share capital
Unit: RMB Yuan
Increase/Decrease (+/-)
Capitalization Closing
Opening Issuing new
balance Bonus shares of public Other Subtotal balance
shares
reserves
Total shares 978,563,745 0.00 978,563,745
48. Treasury stock
Naught
49. Special reserves
Naught
124
50. Capital reserves
Unit: RMB Yuan
Item Opening balance Increase Decrease Closing balance
Capital premium (share
582,653,147.29 582,653,147.29
capital premium)
Other capital reserves 39,535,587.37 800,590.11 38,734,997.26
Provision for equity investment 4,514.43 4,514.43
Total 622,193,249.09 0.00 800,590.11 621,392,658.98
51. Surplus reserves
Unit: RMB Yuan
Item Opening balance Increase Decrease Closing balance
Legal surplus reserves 446,650,721.86 446,650,721.86
Discretional surplus reserves 136,886,568.36 136,886,568.36
Reserve fund
Enterprise development funds
Other
Total 583,537,290.22 583,537,290.22
52. Provision for general risk
Notes of provision for general risk:
Naught
53. Retained profits
Unit: RMB Yuan
Withdrawal or distributed
Item Amount
proportion
Opening balance of retained profits before
606,584,375.02 --
adjustments
Adjustments of opening balance of retained
--
profits (“+” means add, “-” means reduce)
Opening balance of retained profits after
606,584,375.02 --
adjustments
Add: Net profit attributable to owners of the
134,522,943.15 --
Company
Less: Withdrawal of statutory surplus reserves
Withdrawal of discretional surplus reserves
Withdrawal of provision for general risk
Dividend of common stock payable
Dividend of common stock converted into
share capital
125
Closing retained profits 741,107,318.17 --
List of adjustment of opening retained profits:
1) RMB000 opening retained profits was affected by retrospective adjustment conducted according to the Accounting Standards for
Business Enterprises and relevant new regulations.
2) RMB000 opening retained profits was affected by changes on accounting policies.
3) RMB000 opening retained profits was affected by correction of significant accounting errors.
4) RMB000 opening retained profits was affected by changes in combination scope arising from same control.
5) RMB000 opening retained profits was affected totally by other adjustments.
Notes: as for IPO companies, if the accumulated profits were enjoyed by new and original shareholders according to the resolutions
made at the shareholders’ general meeting before public offering, the Company shall explain clearly; if the accumulated profits were
distributed before public offering and enjoyed by the original shareholders according to the resolutions made at the shareholders’
general meeting, the Company shall clearly disclose the audited profits of dividends payable enjoyed by the original shareholders.
54. Revenue and Cost of Sales
(1) Revenue, Cost of Sales
Unit: RMB Yuan
Item Reporting period Same period of last year
Sales of main business 1,053,241,246.58 1,084,190,077.75
Other operating income 11,095,877.67 11,129,225.49
Cost of sales 792,978,460.81 821,116,200.01
(2)Main business (Classified by industry)
√ Applicable □ Inapplicable
Unit: RMB Yuan
Reporting period Same period of last year
Industry
Revenue of sales Costs of sales Revenue of sales Costs of sales
Lighting components and lamps 1,043,293,038.07 781,366,213.55 1,073,898,556.06 808,297,835.81
Revenue of hotels 9,948,208.51 7,316,095.61 10,291,521.69 6,027,210.91
Total 1,053,241,246.58 788,682,309.16 1,084,190,077.75 814,325,046.72
(3)Main business (Classified by product)
√ Applicable □ Inapplicable
Unit: RMB Yuan
Reporting period Same period of last year
Product
Revenue of sales Costs of sales Revenue of sales Costs of sales
Lighting components and lamps 1,043,293,038.07 781,366,213.55 1,073,898,556.06 808,297,835.81
Revenue of hotels 9,948,208.51 7,316,095.61 10,291,521.69 6,027,210.91
Total 1,053,241,246.58 788,682,309.16 1,084,190,077.75 814,325,046.72
(4) Main business (Classified by area)
√ Applicable □ Inapplicable
126
Unit: RMB Yuan
Reporting period Same period of last year
Area
Revenue of sales Costs of sales Revenue of sales Costs of sales
Lighting components and lamps
Domestic 671,284,618.74 501,268,109.73 680,028,197.19 512,563,506.22
Overseas 372,008,419.33 280,098,103.82 393,870,358.87 295,734,329.59
Hotel industr
Domestic 9,948,208.51 7,316,095.61 10,291,521.69 6,027,210.91
Total 1,053,241,246.58 788,682,309.16 1,084,190,077.75 814,325,046.72
(5) The revenue of sales from the top five customers
Unit: RMB Yuan
Customer Main business revenue Proportion of total business revenue (%)
GE COMPANY 50,026,968.66 4.7%
FEIT ELECTRIC COMPANY 23,516,494.98 2.21%
PROSPERITY LAMPS &
21,612,301.77 2.03%
COMPONENTS LTD
Guangzhou Yonglian Trading Co.,
17,892,937.75 1.68%
Ltd.
PAK Corporation Co.,Ltd. 17,637,402.57 1.66%
Total 130,686,105.73 12.28%
55. Revenue from the construction contracts
□Applicable √ Inapplicable
56. Business tax and surcharges
Unit: RMB Yuan
Item Reporting period Same period of last year Calculation and payment standard
Consumption tax
Business tax 531,867.02 527,586.9 5% of taxable income
Urban maintenance and construction
5,748,365.4 6,588,334.69 7% of turnover tax
tax
Education surtax 4,111,763.41 4,704,861.13 3-5% of turnover tax
Resources tax
Other 34,961.2 39,795.79
Total 10,426,957.03 11,860,578.51 --
57. Gains and losses from changes in fair value
127
Unit: RMB Yuan
Source Reporting period Same period of last year
Trading financial assets 64,722.78 -162,575.62
Including: gains from the changes in fair value of
derivative financial instruments
Trading financial liabilities
Investment property calculated in fair value
Other 0.00 0.00
Total 64,722.78 -162,575.62
58. Investment income
(1)List of investment income
Unit: RMB Yuan
Item Reporting period Same period of last year
Long-term equity investment income accounted by
14,571,414 0.00
cost method
Long-term equity investment income accounted by
-1,218,791.19 -1,249,923.57
equity method
Investment income arising from disposal of
long-term equity investments
Investment income received from holding of trading
financial assets
Investment income received from holding of
held-to-maturity investments
Investment income received from holding of
available-for-sale financial assets
Investment income received from disposal of
13,971.96
trading financial assets
Investment income received from holding of
held-to-maturity investments
Investment income received from available-for-sale
3,131,720.14 2,287,122.25
financial assets
Other
Total 16,484,342.95 1,051,170.64
(2) Long-term equity investment income accounted by cost method
Unit: RMB Yuan
Same period of last
Name of investee Reporting period Reason for increase/decrease
year
Xiamen Bank Co., Ltd. 14,571,414 0.00 Dividends distributed
128
Total 14,571,414 0.00 --
(3) Long-term equity investment income accounted by equity method
Unit: RMB Yuan
Same period of last
Name of investee Reporting period Reason for increase/decrease
year
Qinghai FSL Lithium Energy
124,436.84 -1,249,923.57 Profits in the reporting period increased
Exploitation Co., Ltd.
Guangdong Fozhao Guoxuan Power
-1,343,228.03 Losses suffered in the reporting period
Energy Co., Ltd.
Total -1,218,791.19 -1,249,923.57 --
Notes of investment income: make notes if there is significant limitation for recovery of investment income. If there isn’t the said
limitation, notes too.
Naught
59. Impairment losses
Unit: RMB Yuan
Item Reporting period Same period of last year
I. Bad debts losses 1,158,138.87 1,351,187.79
II. Inventory falling price losses
III. Impairment losses of available-for-sale financial
assets
IV. Impairment losses of held-to-maturity of investment
V. Impairment losses of long-term equity investment
VI. Impairment losses of investment property
VII. Impairment losses of fixed assets
VIII. Impairment losses of engineering materials
IX. Impairment loss of construction in progress
X. Impairment losses of productive biological assets
XI. Impairment losses of oil and gas assets
XII. Impairment losses of intangible assets
XIII. Impairment losses of goodwill
XIV. Other
Total 1,158,138.87 1,351,187.79
60. Non-operating gains
(1)
Unit: RMB Yuan
Item Reporting period Same period of last year
Total gains from disposal of non-current assets 63,947
129
Including：Gains from disposal of fixed assets 63,947
Gains from disposal of intangible assets
Gains from debt reconstruction
Gains from non-monetary assets exchange
Acceptance of donations
Government grants 382,000 903,288.66
Other 501,683.34 633,122.84
Total 883,683.34 1,600,358.5
(2)List of government grants
Unit: RMB Yuan
Item Reporting period Same period of last year Note
Province energy-saving special
90,000
funds in 2011
Guangdong Province special funds
for exploiting international market 71,000
in 2010
Special funds for transformation
1,000
and upgrading of processing trade
Foshan special funds for promoting
the development of processing 30,000
trade in 2011
Special funds for transformation
and upgrading of processing trade
60,000
(Project on increasing domestic
demands)
Foshan special funds for exploiting
30,000
international market in 2011
Award for major taxpayer
100,000 100,000
The fourth batch financial subsidy
funds for trading-in old vehicles for 9,000
new ones
International market exploitation
126,000
funds for export enterprises
Incentive funds for processing trade
500,000
enterprises
Government grants for 84,499.98
130
desulfurization system
Relocation compensation 31,122
Environmental subsidies 52,666.68
Total 382,000 903,288.66 --
61. Non-operating expenses
Unit: RMB Yuan
Item Reporting period Same period of last year
Loss on disposal of non-current assets 119,256.76 5,189,155.92
Including: Loss on disposal of fixed assets 119,256.76 5,189,155.92
Loss on disposal of intangible assets
Loss on debt reconstruction
Loss on exchange of non-monetary assets
External donation 4,620
Other 2,361,959.54 671,129.03
Total 2,481,216.29 5,864,904.95
62. Income tax expense
Unit: RMB Yuan
Item Reporting period Same period of last year
Current income tax expense accounted by tax and relevant
25,994,129.93 25,610,018.6
regulations
Adjustment of income tax -377,470.32 -464,470.12
Total 25,616,659.61 25,145,548.48
63. Calculation procedure of basic earnings per share and diluted earnings per share
Basic EPS =P0÷S
S= S0＋S1＋Si×Mi÷M0– Sj×Mj÷M0-Sk（= total number of shares at the period-begin + the number of shares increased due to
transferring capital reserve into share capital + number of shares increased due to issuance of new shares * the next month for
increase of shares/the number of months during the report period）
Of which: P0 refers to net profit attributable to shareholders holding ordinary shares or net profit attributable to shareholders holding
ordinary shares after deducting non-recurring gains and losses; S weighted average number of ordinary shares issued out; S0 refers to
total number of shares at the period-begin; S1 refers to the number of shares increased due to transferring capital reserve into share
capital or dividend distribution of shares during the report period; Si refers to the number of shares increased due to issuance of new
shares or debt for equity swap during the report period; Sj refers to the number of shares decreased due to stock repurchase during the
report period; Sk refers to the number of split-share during the report period; M0 refers to the number of months during the report
period; Mi refers to the number of months from the next month to the end of the report period for increase of shares; Mj refers to the
number of months from the next month to the end of the report period for decrease of shares
131
Denominator of EPS for 2012 and 2011 being: S= 978,563,745 shares
(3) Diluted EPS =P1/（S0＋S1＋Si×Mi÷M0–Sj×Mj÷M0–Sk+ weighted average amount of ordinary shares increased due to
subscription warrant, stock options, convertible bonds, etc.）
Of which, P1 refers to net profit attributable to shareholders holding ordinary shares or net profit attributable to shareholders holding
ordinary shares after deducting non-recurring gains and losses. The Company considered all influence of dilutive potential ordinary
share against net profit and made adjustment according to the provisions of Accounting Standard for Business Enterprise. When the
Company calculated diluted EPS, it shall consider all influence of dilutive potential ordinary share against net profit attributable to
shareholders holding ordinary shares or net profit attributable to shareholders holding ordinary shares after deducting non-recurring
gains and losses, till to minimum diluted EPS.
64. Other comprehensive income
Unit: RMB Yuan
Item Reporting period Same period of last year
1. Profits/(losses) from available-for-sale financial assets -235,467.68 -14,747,828.48
Less: Effects on income tax generating from available-for-sale
-35,320.15 -2,212,174.27
financial assets
Net amount transferred into profit and loss in the current period
that recognized into other comprehensive income in prior
period
Subtotal -200,147.53 -12,535,654.21
2. Interests in the investee entities’ other comprehensive
income as per equity method
Less: Effects on income tax generating from the interests in the
investee entities’ other comprehensive income as per equity
method
Net amount transferred into profit and loss in the current period
that recognized into other comprehensive income in prior
period
Subtotal 0.00 0.00
3. Profits/(losses) from cash flow hedging instrument
Less: Effects on income tax generating from cash flow hedging
instrument
Net amount transferred into profit and loss in the current period
that recognized into other comprehensive income in prior
period
The adjustment value that is the converted initial recognition
amount of arbitrage project
Subtotal 0.00 0.00
4. Converted amount of foreign currency financial statements
Less: Net value of disposal of oversea operations that
132
recognized into current profit and loss
Subtotal
5. Other
Less: Effects on income tax generating from the others that
included into other comprehensive income
Net amount transferred into profit and loss in the current period
that recognized into other comprehensive income in prior
period
Subtotal 0.00 0.00
Total -200,147.53 -12,535,654.21
65. Notes of Cash Flow Statement
(1)Other cash received relevant to operating activities
Unit: RMB Yuan
Item Amount
Interest on deposits 6,953,693.08
Subsidies income 2,382,000
Property and equipment rental income 249,033.5
Other 463,310.87
Total 10,048,037.45
(2) Other cash paid relevant to operating activities
Unit: RMB Yuan
Item Amount
Transportation fees 18,760,327.53
Advertising fees 7,185,103.93
Product promotion fees 4,232,621.11
Office expenses 1,189,795.01
Land rent and management fees 2,381,314.8
Travel expenses 1,852,579.78
Commission 1,299,774.5
Other 25,987,223.74
Total 62,888,740.4
(3) Other cash received relevant to investment activities
Naught
133
(4) Other cash paid relevant to investment activities
Naught
(5) Other cash received relevant to financing activities
Naught
(6) Other cash paid relevant to financing activities
Naught
66. Supplemental information for Cash Flow Statement
(1) Supplemental information for Cash Flow Statement
Unit: RMB Yuan
Supplemental information Reporting period Same period of last year
1. Reconciliation of net profit to net cash flows generated
-- --
from operations：
Net profit 133,749,788.23 122,222,209.50
Add: Provision for assets impairments 1,158,138.87 1,351,187.79
Depreciation of fixed assets, oil-gas assets and productive
47,683,848.31 54,967,779.50
biological assets
Amortization of intangible assets 2,163,962.06 3,831,453.39
Amortization of long-term deferred expense
Losses/gains on disposal of property, intangible asset and
119,256.76 5,125,208.92
other long-term assets (gains: negative)
Losses/gains on scrapped of fixed assets (gains:
negative)
Losses/gains from variation of fair value (gains: negative) -64,722.78 175,663.92
Financial cost (income: negative) 237,375.56 428,597.63
Investment loss (gains: negative) -16,484,342.95 -1,051,170.64
Decrease in deferred tax assets (increase: negative) 671,464,.23 -464,470.12
Increase in deferred tax liabilities (decrease: negative)
Decrease in inventory (increase: negative) 4,800,612.27 -99,381,798.85
Decrease in accounts receivable from operating activities
-13,839,413.51 -43,069,256.45
(increase: negative)
Increase in accounts payable from operating activities
74,879,584.16 30,333,153.26
(decrease: negative)
Others
Net cash flows generated from operating activities 234,485,514.83 74,468,557.85
2. Significant investing and financing activities without
-- --
involvement of cash receipts and payments
Debt converted into capital
134
Convertible company bonds due within 1 year
Financing leased fixed assets
3. Change of cash and cash equivalent: -- --
Closing balance of Cash 926,267,115.32 547,799,984.61
Less: opening balance of cash 690,691,751.15 711,625,404.65
Plus: closing balance of cash equivalent
Less: opening balance of cash equivalents
The net increase in cash and cash equivalents 235,575,364.17 -163,825,420.04
(2)Relevant information of acquisition or disposal of subsidiaries and other operation entities in the
reporting period
Unit: RMB Yuan
Supplemental information Reporting period Same period of last year
I. Relevant information on acquisition of subsidiaries and
-- --
other operation entities:
1. Price of acquisition of subsidiaries and other operation
entities
2. Cash and cash equivalents paid for acquisition of
subsidiaries and other operation entities
Less: Cash and cash equivalents held by subsidiaries
and other operation entities
3. Net cash acquired from subsidiaries and other operation
0.00 0.00
entities
4. Net assets acquired from subsidiaries 0.00 0.00
Current assets
Non-current assets
Current liabilities
Non-current liabilities
II. Relevant information on disposal of subsidiaries and
-- --
other operation entities
1. Price of disposal of subsidiaries and other operation
entities
2. Cash and cash equivalents received for disposal of
subsidiaries and other operation entities
Less: Cash and cash equivalents held by subsidiaries
and other operation entities
3. Net cash received from disposal of subsidiaries and other
0.00 0.00
operation entities
4. Net assets on disposal of subsidiaries 0.00 0.00
Current assets
Non-current assets
Current liabilities
135
Non-current liabilities
(3)Composition of cash and cash equivalents
Unit: RMB Yuan
Item Reporting period Same period of last year
I. Cash 926,267,115.32 690,691,751.15
Including: Cash on hand 256,751.00 102,890.33
Bank deposit on demand 920,945,080.27 688,662,470.16
Other monetary funds on demand 5,065,284.05 1,926,390.66
Central Bank deposit on demand
Due from banks
Call loan to banks
II. Cash equivalents
Including: bond investments due in three months
III. Closing balance of cash and cash equivalents 926,267,115.32 690,691,751.15
67. Notes to statement of changes in owners’ equity
Notes on the items under “Other” for adjusting the opening balance and the relevant adjusted amounts as well as retrospective
adjustment arising from business combination under the same control, etc.:
Naught
(VIII) Accounting treatment of assets securitization business
1. Notes of main trade arrangement and its accounting treatment of assets securitization business as well as
articles of bankruptcy remote
Naught
2. Main information about the special purpose entities in which the Company has no control right but bears
relevant risks:
Naught
(IX) Related Parties and Related-party Transactions
1. Information of the parent company of the Company
Unit: RMB Yuan
The
The parent The parent ultimate
Legal
Parent Relationsh Business Registered Business Registered company's company's controlling Organizati
Representa
company ip Type place nature Capital shareholdi voting party of on Code
tive
ng (%) right (%) the
Company
136
2. Information of subsidiaries of the Company
Unit: RMB Yuan
Percentage
Legal Percentage
Business Registered Business Registered of Organizatio
Full name Type representati Currency of voting
type place nature capital Shareholdin n code
ve right (%)
g (%)
Manufacturi
ng
Foshan electronic
Chansheng 64 Fenjiang ballasts,
Controlled Limited Zhong 1,000,000.0
Electronic North Raod, electronic CNY 75% 75% 75207544-3
subsidiary company Xincai 0
Ballast Co., Foshan transformer
Ltd. s and
electronic
triggers.
Production
and
operation of
lamps,
electric
Foshan Cangjiang
light source
Chanchang Industrial
products
Electric Controlled Limited Park, Zhong 72,782,944.
and CNY 70% 70% 77920377-5
Appliance subsidiary company Gaoming Xincai 00
accessories,
(Gaoming) District,
installation
Co., Ltd. Foshan
and related
engineering
and
consulting
business.
Research,
developmen
t,
Foshan Cangjiang
production
Taimei Industrial
and sales of
Times Controlled Limited Park, Zhong
lighting, 500,000.00 CNY 70% 70% 78203558-1
Lamps and subsidiary company Gaoming Xincai
household
Lanterns District,
appliances
Co., Ltd. Foshan
and
accessories
and other
137
lighting
products.
Tourist and
catering
Side of the
service
Hengjiang
Foshan industry,
Reservoir,
Gaoming sauna,
Hefu Road,
Fuwan Controlled Limited Zhong foot-bathing 4,800,000.0
Hecheng CNY 100% 100% 79623406-3
Landscape subsidiary company Xincai , games, 0
Street,
Resort Co., retail of
Gaoming
Ltd. beverages,
District,
sports on
Foshan
the water,
chess
Production
of
energy-savi
ng
photoelectri
c source
products,
lamps and
lanterns,
Nanjing light source
Fozhao Honglan equipments,
Lighting Town, illumination
Controlled Limited Zhong 41,683,200. 74539880-
Component Lishui engineering; CNY 100% 100%
subsidiary company Xincai 00 X
s County, technologic
Manufacturi Nanjing al
ng Co., Ltd. developmen
t of
energy-savi
ng and
production
of relevant
components
; sales of
self-product
ion products
Foshan Hefu Road R&D and
Lighting Controlled Limited E., Zhong production 5,000,000.0
CNY 70% 70% 68638090-8
Lamps and subsidiary company Cangjiang Xincai of electric 0
Lanterns Industrial light source
138
Co., Ltd. Park, lamp
Gaoming products
District, and relevant
Foshan electric
engineering
materials,
metal
material and
non-metal
material
Production
and sales of
electric
light source
equipment
and electric
light source
products,
428, Office sales of
Foshan Building, accessories
Electrical & Managemen of electric
Controlled Limited Zhong 10,000,000.
Lighting t Board, light source, CNY 100% 100% 68818685-0
subsidiary company Xincai 00
(Xinxiang) Xinxiang electric
Co., Ltd. Industrial light source
Park, Henan materials,
electric
engineering
materials,
accessories
for motor
vehicles,
lamps and
components
4/F, 26
Qinghai
Chuangye Production
Fozhao
Road, and sales of
Lithium Ion
Controlled Limited Nanchuan Zhong lithium ion 42,000,000.
Battery CNY 51% 51% 69854199-1
subsidiary company Industrial Xincai battery 00
Cathode
Park cathode
Materials
District, materials
Co., Ltd
Xining
Guangdong Joint Limited 64 Fenjiang Zou Financing 10,000,000.
CNY 54.95% 54.95% 57643390-9
Fozhao venture company North Road, Jianping lease, lease, 00
139
Financial Foshan consultancy
Leasing and
Co., Ltd. guarantee of
lease;
financing
lease of
new-energy
mobile and
main
components
, lighting
and
energy-savi
ng products,
as well as
some
project
Production
and sales of
LED light
Guangdong Hecheng source
Fozhao Street products,
New Light Controlled Limited (Fuwan), Zhong LED 200,000,000
CNY 100% 100% 57641298-0
Sources subsidiary company Gaoming Xincai lighting .00
Technology District, appliance
Co., Ltd. Foshan products
and
installation
of lighting
140
3. Information of joint ventures and associated enterprises
Unit: RMB Yuan
Total sales
Percentage Net profit in
Legal Percentage Total Total Total of revenue
Name of Business Registered Business Registered of the Relationshi Organizatio
representati Currency of voting closing closing closing net in the
investee type address nature capital shareholdin reporting p n code
ve rights (%) assets liabilities assets reporting
g (%) period
period
I. Joint
-- -- -- -- -- -- -- -- -- -- -- -- -- --
ventures
II.
Associated -- -- -- -- -- -- -- -- -- -- -- -- -- --
enterprises
Room 6407,
4/F, Fuhua
Bldg., No.
36, Jinqiao
Qinghai Road,
FSL Xining
Share
Lithium Associated Limited Zhong Economic 88,024,078 87,624,078
100,000,000 CNY 38% 38% 400,000.00 0.00 327,465.36 company 67918800-2
Energy enterprise company Xincai & .82 .82
Exploitation Technologic
Co., Ltd. al
Developme
nt Zone,
Qinghai
Province
141
Plant of
Industrial
Base of
Guangdong FSL,
Fozhao HeCheng
Share
Guoxuan Associated Limited Street, 45,372,305 22,771,669 22,600,636 -2,686,456
Li Zhen 50,000,000 CNY 50% 50% 10,555.56 company 57787827-2
Power enterprise company Cangjiang .07 .07 .00 .05
Energy Co., Industrial
Ltd. Park,
Gaoming
District,
Foshan
142
4. Information of other related parties of the Company
Name of other related party Relationship Organization code
Prosperity (Hangzhou) Lighting and Company affected by related natural
74203279-5
Electrical Co., Ltd. person
Hangzhou Times Lighting and Electrical Company affected by related natural
67918465-0
Co., Ltd. person
Company affected by related natural
Prosperity Electrical (China) Co., Ltd. 60136020-4
person
Shareholder holding more than 5%
Prosperity Lamps & Components Limited
equity of the Company
Prosperity (Xinxiang) Electro-Optical Company affected by related natural
Machinery Co., Ltd person
Prosperity (Xinxiang) Lighting Machinery Company affected by related natural
Co., Ltd. person
Company affected by related natural
OSRAM (China) Lighting Co., Ltd. 61763873-3
person
Qinghai Salt Lake Fozhao Lanke Lithium
Subsidiary of associated enterprises 78143985-9
Industry Co., Ltd
Company affected by related natural
Swanki (Foshan) Electric Corporation 66984855-6
person
Company affected by related natural
Zlamp (Foshan) Enterprise Co., Ltd. 71470205-5
person
Qinghai Power New Energy Material Co., Company affected by related natural
67918465-0
Ltd. person
(HK) Qinghai Tianji Rare Elements Company affected by related natural
Technology Development Co., Ltd., person
Shanghai Liangqi Electrical Appliance Co., Company affected by related natural
Ltd. person
Foshan Nanhai Guangming Electric Company affected by related natural
X1765759-4
Appliance Co., Ltd. person
Foshan Gaoming District Ruibeike Electric Company affected by related natural
78203960-0
Lighting Source Materials Co., Ltd. person
Company affected by related natural
Foshan Feidelun Electric Co., Ltd. 56082515-8
person
Xiamen Jiandawei Optoelectronics Company affected by related natural
57502784-5
Technology Co., Ltd person
Nanjing Kaixiang Electric Lighting Source Company affected by related natural
79710047-0
Co., Ltd. person
Haolin Lighting & Electrical Department Company affected by related natural
143
of Foshan Chancheng District person
Foshan Hongbang Electrical & Lighting Company affected by related natural
72649983-2
Co., Ltd. person
Foshan Gaoming Shijia Lighting Co., Ltd. Company affected by related natural
66496642-2
person
5. Related-party transactions
(1) Purchase of goods and acceptance of service
Unit: RMB Yuan
Pricing method Reporting period Same period of last year
and
Content of the
Related party decision-making Proportio Proportio
transaction Amount Amount
procedures for the n (%) n (%)
transaction
Prosperity Lamps &
Purchase of materials Market price 3,538,731.82 0.54% 7,713,839.73 1.11%
Components Limited
Prosperity Electrical
Purchase of materials Market price 1,325,908.88 0.2% 7,686,012.78 1.1%
(China) Co., Ltd.
Prosperity
(Xinxiang) Lighting Purchase of materials Market price 73,525 0.01% 657,450 0.09%
Machinery Co., Ltd.
Zlamp (Foshan)
Purchase of materials Market price 42,706.5 0.01% 266,375 0.04%
Enterprise Co., Ltd.
Nanjing Kaixiang
Electric Lighting Purchase of materials Market price 3,042,565.63 0.46% 3,045,587.71 0.44%
Source Co., Ltd.
Foshan Feidelun
Purchase of materials Market price 11,485,828.88 1.75% 7,864,984 1.22%
Electric Co., Ltd.
Xiamen Jiandawei
Optoelectronics Purchase of materials Market price 2,667,038.8 0.41% 109,018 0.02%
Technology Co., Ltd
Foshan Nanhai
Guangming Electric Purchase of materials Market price 1,604,717.74 0.24% 1,644,312.18 0.25%
Appliance Co., Ltd.
Swanki (Foshan)
Purchase of materials Market price 444,653.87 0.06%
Electric Corporation
Prosperity
(Xinxiang) Purchase of
Market price 122,913.12 0.02%
Electro-Optical equipments
Machinery Co., Ltd
144
23,903,936.37 3.64% 29,432,233.27 4.33%
Sales of goods and rendering of service
Unit: RMB Yuan
Pricing method Reporting period Same period of last year
and
Content of the
Related party decision-making Proportio Proportio
transaction Amount Amount
procedures for the n (%) n (%)
transaction
Prosperity Lamps &
Sales of products Market price 31,828,850.58 2.98% 34,885,225.09 3.22%
Components Limited
Prosperity
(Hangzhou) Lighting Sales of products and
Market price 200,536.41 0.02% 573,026.39 0.05%
and Electrical Co., materials
Ltd.
Prosperity Electrical
Sales of products Market price 915,636.05 0.09% 807,242.79 0.07%
(China) Co., Ltd.
OSRAM (China)
Sales of products Market price 8,061,088.7 0.76% 7,363,966.7 0.68%
Lighting Co., Ltd.
Swanki (Foshan)
Sales of products Market price 1,330,543.3 0.12% 1,551.32 0%
Electric Corporation
Zlamp (Foshan)
Sales of products Market price 1,512,785.15 0.14% 3,236,979.98 0.3%
Enterprise Co., Ltd.
Foshan Hongbang
Electrical & Lighting Sales of products Market price 5,326,231.9 0.5% 3,700,540.2 0.34%
Co., Ltd.
Foshan Feidelun
Sales of products Market price 6,123,165.25 0.57% 4,998,444.08 0.46%
Electric Co., Ltd.
Nanjing Kaixiang
Electric Lighting Sales of products Market price 2,155,057.53 0.2% 2,464,100.98 0.23%
Source Co., Ltd.
Haolin Lighting &
Electrical
Department of Sales of products Market price 200,564.03 0.02% 280,142.85 0.03%
Foshan Chancheng
District
Foshan Gaoming
District Ruibeike
Electric Lighting Sales of materials Market price 0% 4,100,000 0.38%
Source Materials
Co., Ltd.
145
Foshan Gaoming
Shijia Lighting Co., Sales of products Market price 246,533.60 0.02%
Ltd.
57,900,992.50 5.42% 62,411,220.38 5.76%
(2)Information of related party trust/contract
Information of entrusted management/contract
Unit: RMB Yuan
Trust /
Information Amount of Pricing contract
Name of Type of the Initial date Ending date
Name of of the basis for the income Trust/contra
entrusting entrusted/co of being of being
trustee entrusted/co entrusted/co trust / recognized ct income
party/contra ntracted entrusted/co entrusted/co
/contractor ntracted ntracted contract in the effect
ctee assets ntract ntract
assets assets income reporting
period
Information of entrusting management/contracted
Unit: RMB Yuan
Trust /
Information Amount of Initial date Ending date
Name of Type of the Pricing contract fee Entrusting /
Name of of the of of
entrusting entrusted/co basis for the recognized contracted
trustee entrusted/co entrusted/co entrusting/ entrusting/
party/contra ntracted trust / in the income
/contractor ntracted ntracted being being
ctee assets contract fee reporting effect
assets assets contracted contracted
period
(3)Information of related-party lease
Rental situation of the Company
Unit: RMB Yuan
Rental
Rental
Information Pricing income
Category of Amount of income
Name of Name of of the basis for the recognized
the leased the leased Initial date Ending date effect on
lessor lessee leased rental in the
assets assets the
assets income reporting
Company
period
Guangdong
Gaoming
Fozhao
Branch
Guoxuan Negotiated
Company of Plants 1 Jun 2012 1 Jan 2013 118,511.35
Power price
the
Energy Co.,
Company
Ltd.
Foshan Swanki
11 Nov Negotiated
Electrical (Foshan) Shops 31 Jul 2012
2009 price
and Electric
146
Lighting Corporation
Co., Ltd.
Foshan
Gaoming
Gaoming District
Branch Ruibeike
Negotiated
Factory of Electric Plants 1 Jul 2011 30 Jun 2014 56,000
price
the Lighting
Company Source
Materials
Co., Ltd.
Foshan
Foshan
Electrical
Feidelun 19 Nov 18 Nov Negotiated
and Shops 6,279
Electric 2010 2013 price
Lighting
Co., Ltd.
Co., Ltd.
Lease situation of the Company
Unit: RMB Yuan
Lease
Rental
Information Pricing charges
Category of Amount of income
Name of Name of of the basis for the recognized
the leased the leased Initial date Ending date effect on
lessor lessee leased lease in the
assets assets the
assets charges reporting
Company
period
Notes of related-party lease
(4)Information of related-party guarantee
Naught
(5)Related-party call loan
Naught
(6)Information about assets transfer, debt reorganization of related parties
Inapplicable
(7)Other related-party transaction
—Sales commission paid
The Company signed a Product Sales Commission Agreement with Prosperity Lamps & Components Limited,
paying the relevant commissions with a certain ratio (3%~5%) of the actual amount of goods purchased by
Prosperity Lamps & Components Limited from it, and the total commission paid by the Company in the first half
year of 2012 stood at RMB 1,005,886.50
147
—Power charge
The Company collected a power charge of RMB 110,199.32 from Guangdong Fozhao Guoxuan Power Energy Co.,
Ltd. in the first half year of 2012.
The Company collected a power charge of RMB 3,086.38 from Swanki (Foshan) Electric Corporation in the first
half year of 2012.
The Company collected a power charge of RMB268,571.42 from Foshan Gaoming District Ruibeike Electric
Lighting Source Materials Co., Ltd. in the first half year of 2012.
The Company collected a power charge of RMB123,313.01 from Foshan Feidelun Electric Co., Ltd in the first
half year of 2012.
6. Amounts due from/to related parties
Amount due from related parties
Unit: RMB Yuan
Name Related party Closing balance Opening balance
Prosperity (Hangzhou)
Accounts receivable Lighting and Electrical 1,475,382.50 1,201,743.37
Co., Ltd.
Prosperity Electrical
507,135.2 370,715.87
(China) Co., Ltd.
OSRAM (China)
2,475,195.67 3,322,883.17
Lighting Co., Ltd.
Prosperity Lamps &
11,262,480.50 12,222,599.77
Components Limited
Swanki (Foshan)
910,902.43 314,970.41
Electric Corporation
Zlamp (Foshan)
3,202,351.05 4,523,130.58
Enterprise Co., Ltd.
Shanghai Liangqi
Electrical Appliance 406,328 406,328
Co., Ltd.
Foshan Feidelun Electric
6,846,224.30 6,321,733.01
Co., Ltd.
Nanjing Kaixiang
Electric Lighting Source 931,150.63 901,238.62
Co., Ltd.
Haolin Lighting &
Electrical Department of
36,608
Foshan Chancheng
District
Foshan Hongbang
5,932,780.75
Electrical & Lighting
148
Co., Ltd.
Foshan Gaoming Shijia
94,172.00
Lighting Co., Ltd.
Guangdong Fozhao
Other accounts
Guoxuan Power Energy 179,337.72 166,927.87
receivable
Co., Ltd.
Foshan Gaoming
District Ruibeike
220,822.92 449.27
Electric Lighting Source
Materials Co., Ltd.
Amount due to related parties
Unit: RMB Yuan
Name Related party Closing balance Opening balance
Prosperity Lamps &
Accounts payable 1,055,669.11 1,106,025.91
Components Limited
Prosperity Electrical (China)
263,500 590,377.66
Co., Ltd.
OSRAM (China) Lighting
52,950.6
Co., Ltd.
Prosperity (Xinxiang)
9,750
Lighting Machinery Co., Ltd.
Foshan Feidelun Electric Co.,
6,464,416.79 5,974,783.54
Ltd.
Nanjing Kaixiang Electric
618,776.5
Lighting Source Co., Ltd.
Prosperity (Xinxiang)
Advance from customer Electro-Optical Machinery 166,570.32
Co., Ltd
Prosperity (Xinxiang)
Lighting Machinery Co., Ltd.
Qinghai Salt Lake Fozhao
Lanke Lithium Industry Co., 982,905.98 982,905.98
Ltd
Nanjing Kaixiang Electric
1,681,663.93 1,041,663.93
Lighting Source Co., Ltd.
(X) Share-based Payment
1. Overview of share-based payment
Inapplicable
2. Information of equity-settled share-based payment
Inapplicable
149
3. Information of cash-settled share-based payment
Inapplicable
4. Information of share-based payment service
Inapplicable
5. Modification, termination of share-based payment
Inapplicable
(XI) Contingency
1. Contingent liabilities and its financial effect arising from unsettled litigation or arbitration
Naught
2. Contingent liabilities and its financial effect arising from loan guarantee offered to other
companies
Naught
Other contingent liabilities and its financial effect:
Naught
(XII) Commitments
1. Significant commitments
Naught
2. Fulfillment of previous commitments
Naught
(XIII)Events after the Balance Sheet Date
1. Notes of significant events after the Balance Sheet Date
Unit: RMB Yuan
Influence number on financial Reason for failing to estimate
Item Details
status and operating results the influence number
2. Notes of profit distribution after Balance Sheet Date
Unit: RMB Yuan
Drafted distributed profit or dividends
Profit or dividends claimed to distribute after review and
approval
3. Notes of other events after Balance Sheet Date
Naught
(XIV)Notes of other significant events
1. Exchange of non-monetary assets
Naught
2. Debt reorganization
Naught
3. Business combination
Naught
150
4. Lease
Naught
5. Closing financial instruments that externally issued and convertible into shares
Naught
6. Main content and significant changes of annuity plan
Naught
7. Other significant events
Naught
(XV) Notes of main items in the financial statements of the Company
1. Accounts receivable
(1) Accounts receivable
Unit: RMB Yuan
Closing balance Opening balance
Book balance Provision for bad debts Balance Provision for bad debts
Category Propo
Proporti Proporti Proporti
Amount rtion Amount Amount Amount
on (%) on (%) on (%)
(%)
Accounts receivable with
significant single amount
and individually
withdrawn bad debt
provision
Accounts receivable for which bad debt provisions are made on the group basis
94.71
Ordinary business group 353,198,595.22 21,191,915.71 6% 312,386,733.31 91.46% 18,743,204 6%
%
Internal business group 19,719,574.26 5.29% 28,074,155.27 8.22%
Subtotal of the groups 372,918,169.48 100% 21,191,915.71 6% 340,460,888.58 99.68% 18,743,204 5.51%
Accounts receivable with
insignificant single
amount but individually
withdrawn bad debt
provision
Total 372,918,169.48 -- 21,191,915.71 -- 341,562,892.95 -- 19,845,208.37 --
Accounts receivable with significant single amount and individually withdrawn bad debt provision at period-end
□Applicable √ Inapplicable
In the groups, accounts receivable adopting aging analysis method to withdraw bad debt provision:
√ Applicable □ Inapplicable
Unit: RMB Yuan
Aging Closing balance Opening balance
151
Book balance Book balance
Proportion Bad debt provision Proportion Bad debt provision
Amount Amount
(%) (%)
Within 1 year
Including: -- -- -- -- -- --
Subtotal for
those aging 345,187,469.95 97.73% 20,711,248.20 309,508,041.11 99.08% 18,570,482.47
within 1 year
1-2 years 7,230,487.35 2.05% 433,829.24 1,622,803.91 0.52% 97,368.23
2-3 years 469,898.35 0.13% 28,193.90 943,303.01 0.3% 56,598.18
Over 3 years 310,739.57 0.09% 18,644.37 312,585.28 0.1% 18,755.12
3-4 years
4-5 years
Over 5 years
Total 353,198,595.22 -- 21,191,915.71 312,386,733.31 -- 18,743,204
In the groups, accounts receivable adopting balance percentage method to withdraw bad debt provision:
□Applicable √ Inapplicable
In the groups, accounts receivable adopting other methods to withdraw bad debt provision:
□Applicable √ Inapplicable
Accounts receivable with insignificant single amount but individually withdrawn bad debt provision at period-end:
□Applicable √ Inapplicable
(2)Information of accounts receivable reversed or recovered in the report period
Unit: RMB Yuan
Withdrawal amount of
Content of accounts Reason for reversal or Basis on recognition of Reversed or recovered
bad debt provision before
receivable recovery provision for bad debts amount
the reversal or recovery
Total -- -- --
The withdrawal of bad debt provision of accounts receivable with significant single amount or insignificant single
amount but individually made impairment test at the end of report period:
Content of accounts Withdrawal proportion
Book balance Amount of bad debts Reason
receivable (%)
Total -- --
Notes to accounts receivable with insignificant single amount but large risks of groups after grouping by credit
risks characteristics:
Naught
152
(3)Information of accounts receivable that written off in the report period
Unit: RMB Yuan
Whether arising
Name of company Nature Date Amount Reason from related-party
transaction or not
Guangzhou Yaotong Estimated to be
Lighting Appliances Payment for goods 23 Mar 2012 721,509.44 irrecoverable for No
Trading Co., Ltd. long age
Jilin Changchun
Haitian Dongda Estimated to be
Commerce & Trade Payment for goods 23 Mar 2012 184,263 irrecoverable for No
Co., Ltd. long age
Estimated to be
Dongda Economic &
Payment for goods 23 Mar 2012 117,772.19 irrecoverable for No
Trade Co., Ltd.
long age
Shanghai Xianyi Estimated to be
Lighting Electrical Payment for goods 31 Jan 2012 50,000 irrecoverable for No
Appliances Co., Ltd. long age
Estimated to be
Other small
Payment for goods 30 Jun 2012 28,459.74 irrecoverable for No
customers
long age
Total -- -- 1,102,004.37 -- --
(4)Information of shareholders with more than 5% (including 5%) of the voting shares of
the Company in accounts receivable in report period
√ Applicable □ Inapplicable
Unit: RMB Yuan
Closing balance Opening balance
Name of entity Withdrawal amount Withdrawal amount of
Book balance Book balance
of bad debts bad debts
Prosperity Lamps & Components
11,262,480.45 675,748.83 12,222,599.77 733,355.99
Limited
Total 11,262,480.45 675,748.83 12,222,599.77 733,355.99
(5)Nature or content of other accounts receivable with significant amount
Naught
(6) Top five accounts receivable
Unit: RMB Yuan
Name of company Relationship Amount Term Proportion (%)
GE COMPANY Non-related party 30,219,566.37 Within one year 8.1%
153
Bureau of Finance 2011 Non-related party 20,322,421.7 Within one year 5.45%
Foshan Chanchang
Electric Appliance Related party 15,228,905.21 Within one year 4.08%
(Gaoming) Co., Ltd.
PROSPERITY LAMPS
Related party 11,262,480.45 Within one year 3.04%
& COMPONENTS
Changzhou Sanfeng
Electrical & Lighting Non-related party 7,549,008.92 Within one year 2.02%
Co., Ltd.
Total -- 84,582,382.65 -- 22.68%
(7) Accounts receivable due from related parties
Unit: RMB Yuan
Name of company Relationship Amount Proportion (%)
Foshan Chanchang Electric
Appliance (Gaoming) Co., Subsidiary 15,228,905.21 4.08%
Ltd.
Foshan Taimei Times Lamps
Subsidiary 4,490,598.32 1.2%
and Lanterns Co., Ltd.
Foshan Hongbang Electrical Company affected by related
5,932,780.75 1.59%
& Lighting Co., Ltd. natural person
Foshan Feidelun Electric Co., Company affected by related
5,438,094.58 1.46%
Ltd. natural person
Zlamp (Foshan) Enterprise Company affected by related
2,883,144.26 0.77%
Co., Ltd. natural person
OSRAM (China) Lighting Company affected by related
2,475,195.67 0.66%
Co., Ltd. natural person
Swanki (Foshan) Electric Company affected by related
892,970.83 0.24%
Corporation natural person
Nanjing Kaixiang Electric Company affected by related
681,980.63 0.18%
Lighting Source Co., Ltd. natural person
Prosperity Electrical (China) Company affected by related
507,135.2 0.14%
Co., Ltd. natural person
Shanghai Liangqi Electrical Company affected by related
406,328 0.11%
Appliance Co., Ltd. natural person
Prosperity (Hangzhou)
Company affected by related
Lighting and Electrical Co., 362,116.02 0.1%
natural person
Ltd.
Haolin Lighting & Electrical Company affected by related
36,608 0.01%
Department of Foshan natural person
154
Chancheng District
Foshan Gaoming Shijia Company affected by related
94,172.00 0.03%
Lighting Co., Ltd. natural person
PROSPERITY LAMPS & Hold the company more than
11,262,480.45 3.02%
COMPONENTS 5% of the stocks shareholders
Total -- 50,692,509.92 13.59%
(8)
RMB0.00 was transferred from the accounts receivable not meeting the conditions of termination recognition.
(9) If securitization is carried out on accounts receivable as the underlying asset, please brief
on the arrangement of relevant transactions.
Inapplicable
2. Other accounts receivable
(1) Other accounts receivable
Unit: RMB Yuan
Closing balance Opening balance
Provision for bad
Book balance Provision for bad debts Book balance
debts
Category
Propo Propo Propo Propo
Amount rtion Amount rtion Amount rtion Amount rtion
(%) (%) (%) (%)
Other accounts receivable
with significant single
amount and individually
withdrawn bad debt
provision
Other accounts receivable for which bad debt provisions are made on the group basis
18.24 29.55
Ordinary business group 11,049,308.85 662,958.53 6% 18,450,853.59 1,107,051.22 6%
% %
94.99 70.28
Internal business group 49,407,723.62 43,891,701.56
% %
99.83
Subtotal of the groups 60,457,032.47 99.8% 662,958.53 0.29% 62,342,555.15 1,107,051.22 1.78%
%
Other accounts receivable
with insignificant single
amount but individually 106,552.5 0.2% 106,552.5 100% 106,552.5 0.17% 106,552.5 100%
withdrawn bad debt
provision
Total 60,563,584.97 -- 769,511.03 -- 62,449,107.65 -- 1,213,603.72 --
Other accounts receivable with significant single amount and individually withdrawn bad debt provision at
period-end:
□Applicable √ Inapplicable
155
In the groups, other accounts receivable adopting aging analysis method to withdraw bad debt provision:
√ Applicable □ Inapplicable
Unit: RMB Yuan
Closing balance Opening balance
Book balance Book balance
Aging
Proportion Bad debt provision Proportion Bad debt provision
Amount Amount
(%) (%)
Within 1 year
Including: -- -- -- -- -- --
Subtotal for
those aging 10,607,200.03 96% 636,432 17,697,795.27 95.92% 1,061,867.73
within 1 year
1-2 years 54,408.82 0.49% 3,264.53 290,357.18 1.57% 17,421.43
2-3 years 9,622.08 0.05% 577.32
Over 3 years 387,700 3.51% 23,262 453,079.06 2.46% 27,184.74
3-4 years
4-5 years
Over 5 years
Total 11,049,308.85 -- 662,958.53 18,450,853.59 -- 1,107,051.22
In the groups, other accounts receivable adopting balance percentage method to withdraw bad debt provision:
□Applicable √ Inapplicable
In the groups, other accounts receivable adopting other methods to withdraw bad debt provision:
□Applicable √ Inapplicable
Other accounts receivable with insignificant single amount but individually withdrawn bad debt provision at
period-end:
√ Applicable □ Inapplicable
Unit: RMB Yuan
Withdrawal
Content of other accounts receivable Book balance Bad debts provision Withdrawal reason
proportion
Fangcheng County Yuli Glass Tube Co., Estimated to be
106,552.5 106,552.5 100%
Ltd. irrecoverable
Total 106,552.5 106,552.5 100% --
(2)Information of other accounts receivable reversed or recovered in the reporting period
Unit: RMB Yuan
Withdrawal amount of
Content of other accounts Reason for reversal or Basis on recognition of Reversed or recovered
bad debt provision before
receivable recovery provision for bad debts amount
the reversal or recovery
156
Total -- -- --
The withdrawal of bad debt provision of other accounts receivable with significant single amount or insignificant
single amount but individually made impairment test at the end of report period:
Content of other Withdrawal proportion
Book balance Amount of bad debts Reason
accounts receivable (%)
Total -- --
Notes to other accounts receivable with insignificant single amount but large risks of groups after grouping by
credit risks characteristics:
Naught
(3)Information of the write-off other accounts receivable
Unit: RMB Yuan
Whether arising from
Name of company Nature Date of written off Amount Reason related-party
transactions
Total -- -- -- --
(4) The other accounts receivable due from shareholders with more than 5% (including 5%)
of the voting shares of the Company in the reporting period
□Applicable √ Inapplicable
(5)Nature or content of other accounts receivable with significant amount
Naught
(6) Top five other accounts receivable
Unit: RMB Yuan
Name of company Relationship Amount Term Proportion (%)
Nanjing Fozhao Lighting
Components Related party 22,482,433.36 Within one year 37.12%
Manufacturing Co., Ltd.
Foshan Gaoming Fuwan
Landscape Resort Co., Related party 14,048,029.95 Within one year 23.2%
Ltd.
Tax rebate Non-related party 8,551,251.85 Within one year 14.12%
Foshan Chansheng
Electronic Ballast Co., Related party 4,765,473.99 Within one year 7.87%
Ltd.
Foshan Chanchang
Electric Appliance Related party 5,365,300.17 Within one year 8.86%
(Gaoming) Co., Ltd.
Total -- 55,212,489.32 -- 91.16%
157
(7) Other account receivable due from related parties
Unit: RMB Yuan
Name of company Relationship Amount Proportion (%)
Nanjing Fozhao Lighting
Components Manufacturing Subsidiary 22,482,433.36 37.12%
Co., Ltd.
Foshan Gaoming Fuwan
Subsidiary 14,048,029.95 23.2%
Landscape Resort Co., Ltd.
Foshan Chansheng Electronic
Subsidiary 4,765,473.99 7.87%
Ballast Co., Ltd.
Foshan Chanchang Electric
Appliance (Gaoming) Co., Subsidiary 5,365,300.17 8.86%
Ltd.
Foshan Taimei Times Lamps
Subsidiary 2,383,411.79 3.94%
and Lanterns Co., Ltd.
Guangdong Fozhao New
Light Sources Technology Subsidiary 272,005.56 0.45%
Co., Ltd.
Foshan Gaoming District
Company affected by related
Ruibeike Electric Lighting 192,822.92 0.32%
natural person
Source Materials Co., Ltd.
Guangdong Fozhao Guoxuan
Associated enterprise 148,080 0.24%
Power Energy Co., Ltd.
Guangdong Fozhao Financial
Subsidiary 7,188.25 0.01%
Leasing Co., Ltd.
Total -- 49,664,745.99 82%
(8)
RMB000 was transferred from the other accounts receivable not meeting the conditions of termination recognition.
3. Long-term equity investments
Unit: RMB Yuan
Explanati Withdraw
ons on al amount
difference of Cash
Sharehold Voting Provision
Accounti Initial s between impairme bonus in
The Opening Increase/ Closing ing right for
ng investmen sharehold nt the
investee balance decrease balance Proportio Proportio impairme
method t cost ing provision reporting
n n nt loss
proportio in the period
n and reporting
voting period
158
right
proportio
n
Subsidiar
y
Foshan
Chanshen
g Cost 401,712.2
750,000 750,000 750,000 75% 75% In accord
Electroni method 2
c Ballast
Co., Ltd.
Foshan
Chanchan
g Electric
Applianc Cost 42,000,00 42,000,00 42,000,00
70% 70% In accord
e method 0 0 0
(Gaoming
) Co.,
Ltd.
Foshan
Taimei
Times
Cost
Lamps 350,000 350,000 350,000 70% 70% In accord
method
and
Lanterns
Co., Ltd.
Foshan
Gaoming
Fuwan Cost
4,800,000 4,800,000 4,800,000 100% 100% In accord
Landscap method
e Resort
Co., Ltd.
Prosperit
y
(Nanjing)
Lamps Cost 72,000,00 72,000,00 72,000,00
100% 100% In accord
and method 0 0 0
Compone
nts
Limited
Foshan Cost 10,000,00 10,000,00 10,000,00
100% 100% In accord
Electrical method 0 0 0
159
&
Lighting
(Xinxiang
) Co.,
Ltd.
Foshan
Lighting
Lamps Cost
5,077,000 5,077,000 5,077,000 100% 100% In accord
and method
Lanterns
Co., Ltd.
Qinghai
Fozhao
Lithium
Ion Cost 25,500,00 25,500,00 25,500,00
51% 51% In accord
Battery method 0 0 0
Cathode
Materials
Co., Ltd
Guangdo
ng
Fozhao Cost 200,000,0 200,000,0 200,000,0
100% 100% In accord
Financial method 00 00 00
Leasing
Co., Ltd.
Guangdo
ng
Fozhao
New
Cost 10,000,00 10,000,00 10,000,00
Light 54.95% 54.95% In accord
method 0 0 0
Sources
Technolo
gy Co.,
Ltd.
Associate
d
enterprise
Qinghai
FSL Equity 38,000,00 28,710,75 124,436.8 28,835,19
38% 38% In accord
Lithium method 0 7.68 4 4.52
Energy
160
Exploitati
on Co.,
Ltd.
Guangdo
ng
Fozhao
Equity 12,600,00 12,643,54 -1,343,22 11,300,31
Guoxuan 50% In accord
method 0 6.03 8.03 8
Power
Energy
Co., Ltd.
Other
investme
nt
Shenzhen
Liangke
Venture Cost 13,718,88 13,718,88 13,718,88
18.5% 18.5% In accord
Capital method 2.66 2.66 2.66
Company
Limited
Hefei
Guoxuan
High-tech Cost 160,000,0 160,000,0 160,000,0
17.21% 17.21% In accord
Power method 00 00 00
Energy
Co., Ltd.
Guangzh
ou
Zhujiang
Asset Cost 10,000,00 10,000,00 10,000,00 3,298,904
15.38% 15.38% In accord
Managem method 0 0 0 .81
ent
Company
Limited
Shenzhen
Zhonghao Cost
5,850,000 5,850,000 5,850,000 In accord 5,850,000
(Group) method
Ltd.
Chengdu
Hongbo Cost
6,000,000 6,000,000 6,000,000 6.94% 6.94% In accord
Industrial method
Co., Ltd.
161
Xiamen
Cost 208,574,2 208,574,2 208,574,2 14,571,41
Bank Co., 7.99% 7.99% In accord
method 17 17 17 4
Ltd.
China
Guangfa Cost
500,000 500,000 500,000 In accord
Bank Co., method
Ltd.
Foshan
Fochen
Highway Cost 20,757,60 10,175,62 10,175,62
7.66% 7.66% In accord
Develop method 0 7.38 7.38
ment Co.,
Ltd.
846,477,6 826,650,0 -1,218,79 825,431,2 9,148,904 14,973,12
Total -- -- -- --
99.66 30.75 1.19 39.56 .81 6.22
4. Revenue and Cost of Sales
(1) Revenue, Cost of Sales
Unit: RMB Yuan
Item Reporting period Same period of last year
Main business revenue 1,045,092,362.29 1,069,784,712.95
Other business revenue 6,923,399.43 13,124,756.74
Cost of sales 795,594,113.34 840,361,496.35
Total
(2)Main business (Classified by industry)
√ Applicable □ Inapplicable
Unit: RMB Yuan
Reporting period Same period of last year
Industry
Revenue of sales Cots of sales Revenue of sales Cots of sales
Lighting components and lamps 1,045,092,362.29 791,274,939.98 1,069,784,712.95 831,600,833.25
1,045,092,362.29 791,274,939.98 1,069,784,712.95 831,600,833.25
Total
(3)Main business (Classified by product)
√ Applicable □ Inapplicable
Unit: RMB Yuan
Reporting period Same period of last year
Product
Revenue of sales Cots of sales Revenue of sales Cots of sales
Lighting components and lamps 1,045,092,362.29 791,274,939.98 1,069,784,712.95 831,600,833.25
Total 1,045,092,362.29 791,274,939.98 1,069,784,712.95 831,600,833.25
162
(4) Main business (Classified by area)
√ Applicable □ Inapplicable
Unit: RMB Yuan
Reporting period Same period of last year
Area
Revenue of sales Cots of sales Revenue of sales Cots of sales
Domestic 673,083,942.96 511,176,836.16 675,914,354.08 535,866,503.66
Overseas 372,008,419.33 280,098,103.82 393,870,358.87 295,734,329.59
Total 1,045,092,362.29 791,274,939.98 1,069,784,712.95 831,600,833.25
(5) Revenue of sales from the top five customers
Unit: RMB Yuan
Proportion of
Customers Total revenue of sales total revenue of
sales (%)
GE COMPANY 50,026,968.66 4.76%
FEIT ELECTRIC COMPANY 23,516,494.98 2.24%
PROSPERITY LAMPS & COMPONENTS LTD 21,612,301.77 2.05%
Guangzhou Yonglian Trading Co., Ltd. 17,892,937.75 1.7%
PAK Corporation Co., Ltd. 17,637,402.57 1.68%
Total 130,686,105.73 12.42%
Notes:
5. Investment income
(1)List of investment income
Unit: RMB Yuan
Item Reporting period Same period of last year
Long-term equity investment income accounted by cost
14,973,126.22 7,968,946.01
method
Long-term equity investment income accounted by equity
-1,218,791.19 -1,249,923.57
method
Investment income arising from disposal of long-term equity
investments
Investment income received from holding of trading financial
assets
Investment income received from holding of held-to-maturity
investments
Investment income received from holding of
3,131,720.14 2,287,122.25
available-for-sale financial assets
Investment income received from disposal of trading
13,971.97
financial assets
Investment income received from holding of held-to-maturity
163
investments
Investment income received from available-for-sale financial
assets
Other
Total 16,886,055.17 9,020,116.66
(2)Long-term equity investment income accounted by cost method
Unit: RMB Yuan
Same period of last
Name of investee Reporting period Reason for increase/decrease YoY
year
Foshan Taimei Times Lamps and Lanterns No dividends distributed in the
7,968,946.02
Co., Ltd. reporting period
Foshan Chansheng Electronic Ballast Co., Dividends distributed in the reporting
401,712.22
Ltd. period
Dividends distributed in the reporting
Xiamen Bank Co., Ltd. 14,571,414
period
Total 14,973,126.22 7,968,946.01 --
(3) Long-term equity investment income accounted by equity method
Unit: RMB Yuan
Same period of last
Name of investee Reporting period Reason for increase/decrease YoY
year
Qinghai FSL Lithium Energy Exploitation
124,436.84 -1,249,923.57 Profits increased in the reporting period
Co., Ltd.
Guangdong Fozhao Guoxuan Power Energy
-1,343,228.03 Losses suffered in the reporting period
Co., Ltd.
Total -1,218,791.19 -1,249,923.57 --
Notes:
6. Supplemental information of Cash Flow Statement
Unit: RMB Yuan
Supplemental information Reporting period Same period of last year
1. Reconciliation of net profit to net cash flows generated from
-- --
operations：
Net profit 133,110,485.63 113,172,317.50
Add: Provision for assets impairments 902,614.65 801,749.11
Depreciation of fixed assets, oil and gas assets and productive
41,059,107.81 47,906,870.93
biological assets
Amortization of intangible assets 2,058,447.92 3,624,020.87
Amortization of long-term deferred expense
Losses/gains on disposal of property, intangible asset and other 119,256.76 5,011,525.68
164
long-term assets (gains: negative)
Losses/gains on scrapped of fixed assets (gains: negative)
Losses/gains from variation of fair value (gains: negative) -64,722.78 162,575.62
Financial cost (income: negative) 237,353.63 425,125.11
Investment loss (gains: negative) -16,886,055.17 -9,020,116.66
Decrease in deferred tax assets (increase: negative) 633,135.60 -70,965.62
Increase in deferred tax liabilities (decrease: negative)
Decrease in inventory (increase: negative) 12,014,019.79 -76,392,681.27
Decrease in accounts receivable from operating activities (increase:
-20,997,983.18 -45,850,721.08
negative)
Increase in accounts payable from operating activities (decrease:
51,420,128.09 27,791,254.04
negative)
Others
Net cash flows generated from operating activities 203,605,788.75 67,560,954.23
2. Significant investing and financing activities without
-- --
involvement of cash receipts and payments
Debt converted into capital
Convertible company bonds due within 1 year
Financing leased fixed assets
3. Change of cash and cash equivalent: -- --
Closing balance of cash 621,184,567.42 290,544,862.94
Less: opening balance of cash 412,626,723.50 681,198,634.58
Plus: closing balance of cash equivalent
Less: opening balance of cash equivalents
The net increase in cash and cash equivalents 208,557,843.92 -390,653,771.64
7. Information of assets and liabilities recognized by evaluation value from the counter
purchase
Inapplicable
(XVI)Supplemental information
1. Return on equity and earnings per share
Unit: RMB Yuan
The weighted average ROE EPS
Profit in the reporting period
(%) Basic EPS Diluted EPS
Net profit attributable to the Company's
4.71% 0.14 0.14
common stock shareholders
Net profit attributable to shareholders of the
4.75% 0.14 0.14
Company's common stock after deducting
165
non-recurring gains and losses
2. Particulars on the abnormal conditions of main items in the financial statements of the
Company and relevant reasons
Closing balance (or Opening balance (or
Item amount in the amount at the same Movement Reasons for movement
reporting period) period of last year)
Monetary fund The 2011 annual dividends were not distributed and
34.11% the expenses on purchase of goods decreased in the
926,267,115.32 690,691,751.15
reporting period
Other accounts Other accounts receivable occurred in previous
-42.66%
receivable 10,810,165.66 18,851,280.96 period were recovered in the reporting period.
Accounts Materials payable increased in the reporting period.
196,871,864.30 65.43%
payable 325,681,686.57
Other accounts The guarantee deposits paid by material suppliers in
payable 27,119,424.60 -84.60% previous periods were returned by the Company in
4,176,433.31
the reporting period.
Financial Interest on bank deposit increased and exchange
expenses losses decreased effectively through forward
-7,159,594.18 -1,053,651.60 579.50%
settlement and sales of foreign exchange in the
reporting period.
Investment Dividends were received from the investment
16,484,342.95 1,051,170.64 1468.19%
income companies in the reporting period.
Net cash flow Cash paid for purchase of goods and acceptance of
arising from labor service decreased in the reporting period.
214.88%
operating 234,485,514.83 74,468,557.85
activities
Net cash flow External investment decreased in the reporting
arising from period.
105.38%
investment 879,254.59 -16,356,841.86
activities
Net cash flow The 2011 annual dividends were not distributed in
arising from the reporting period.
99.99%
financing -26,780.81 -221,508,538.40
activities
IX. Documents for Reference
Documents for Reference
(I). Semi-annual Report 2012 signed by legal representative;
(II) Financial statements signed and sealed by legal representative, principal of accounting work, and manager of finance
department;
(III) In the reporting period, all originals of the Company’s documents and public notices have been publicly disclosed in China
Securities Journal, Securities Times, and Ta Kung Pao.
166
Chairman of the Board of Directors: Zhong Xincai
Date for submission approved by the Board of Directors: 27 August, 2012
167
