2018
Social Responsibility Report
of
Wuhu Shunrong Sanqi Interactive Entertainment
Network Technology Co., Ltd.
2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
Contents
Speech of the Chairman........................................................................................................................ 1
Professional Reviews ............................................................................................................................ 3
Company profile..................................................................................................................................... 5
I. Social Responsibility Management .............................................................................................. 9
II. Social Topics................................................................................................................................. 14
1. Facilitate education for poverty alleviation to improve development in remote areas ................... 14
A. Cultivate in education for poverty alleviation........................................................................... 14
B. Care for the growth of teenagers in remote areas .................................................................. 15
2. Participate in Industrial poverty alleviation and facilitate rural revitalization .................................. 17
3. Promote employee welfare, rights, and development.................................................................... 17
A. Measures on employee welfare, rights and development ...................................................... 18
B. Employee structure ................................................................................................................. 18
C. Employee rights....................................................................................................................... 18
D. Salary and treatment ............................................................................................................... 18
E. Occupational health and safety............................................................................................... 19
F. Employee benefits................................................................................................................... 19
G. Employee career development ............................................................................................... 20
H. Employee satisfaction ............................................................................................................. 21
4. Protect health of minors and create a fit online game environment............................................... 21
A. Access to real name system and anti-addiction system......................................................... 21
B. Strengthen "Parental Care Project" as tools for parents......................................................... 22
C. Manage strongly the consumption of minors .......................................................................... 22
D. Prevent and control myopia of children and adolescents ....................................................... 22
5. Strengthen data security to ensure user data privacy.................................................................... 23
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the Chinese version of this Translation, the Chinese version shall prevail.
2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
A. Data security............................................................................................................................ 23
B. User privacy protection............................................................................................................ 24
6. Explore games with fun and education .......................................................................................... 25
III. Economic Topics .......................................................................................................................... 27
1. Core business remains steady growth and operating income rises rapidly...................................... 27
2. Be responsible to investors and protect their rights and interests ................................................. 27
A. Perfection of the corporate governance structure................................................................... 28
B. Accountability to investors....................................................................................................... 29
C. Investor relations management............................................................................................... 30
D. Information disclosure mechanism.......................................................................................... 31
3. Integrity, compliance and anti-corruption........................................................................................ 32
4. Intellectual property rights and fair competition.............................................................................. 33
IV. Environmental Topics .................................................................................................................. 35
V. Benchmarking the United Nations 2030 Sustainable Development Goals ............................ 37
VI. Benchmarking GRI Standards Indicators .................................................................................. 39
Instructions:
This report is the third social responsibility report of Wuhu Shunrong Sanqi Interactive Entertainment
Network Technology Co., Ltd. (hereinafter referred to as "37 Interactive Entertainment") and the first report
compiled with reference to GRI Standards.
The report covers the whole year of 2018 and some of its contents come from the previous years.
The data and information related to financial targets in the report come from the audited annual report of 37
Interactive Entertainment, while the data and information of non-financial targets come from the daily
management statistics of relevant departments of the company and are audited by departments and the
board of directors of the company.
The social responsibility report of 37 Interactive Entertainment is an annual report, which is released at the
same time as the annual report of listed Companies. The previous report period is 2017. For details, please
refer to "37 Interactive Entertainment 2017 Social Responsibility Report". If you have any questions, please
contact 37 Interactive Entertainment Social Responsibility Work Email: csr@37.com
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the Chinese version of this Translation, the Chinese version shall prevail.
2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
Speech of the Chairman
Remain true to original aspiration, never forget responsibility
All staff at 37 Interactive Entertainment have fought bravely and continue to strive towards
greatness and good development of the main business of the company in 2018. The initial
commitment of 37 Interactive Entertainment to the society will remain true to our original aspiration
and never forget our responsibility.
In terms of philanthropic undertakings, 37 Interactive Entertainment continues to assist education
and poverty alleviation in remote areas through Guangdong Youxin Foundation initiated by 37
Interactive Entertainment. By the end of 2018, 37 Interactive Entertainment and its shareholders have
donated more than 13 million Yuan in philanthropy donations. Through Youxin Foundation, 1,133
needy senior high school students in remote areas have been funded, Free Reading program has
been carried out in 30 counties/districts in central and western provinces, 18 of which are national-
level poverty-stricken counties. They have also actively mobilized company resources to support
senior high school students in underdeveloped areas in their career thinking cultivation and
programming learning.
37 Interactive Entertainment has always adhered to the bottom line of the law, protects
employees' various labor rights and interests effectively. In terms of employee benefits, rights and
development, the company provides employees with competitive compensation and benefits, creates
various conditions to promote the growth of employees' professional ability and career development.
As a result, employee satisfaction increases year after year.
As one of the first game companies in the industry to introduce real-name system and anti-
addiction system, the company attaches great importance to the construction of anti-addiction system
for teenagers, carries out real-name authentication for login users, actively plans to connect to more
authoritative ID card verification system, and perfects the protection of teenagers by means of
"parental supervision project" and restricting minors' consumption.
The company pays special attention to data security and user privacy protection at the product
level. At present, the company has passed the three-level evaluation of information security level
protection, which enables the company's data security construction to conform to the national
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2018 Social Responsibility Report
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standards and also reflects the company's excellent ability in information security. As China’s top 50
commercial website and application platform for domestic users, IPV6 access has been supported by
the company. And the company actively implements the action plan of IPV6 scale deployment,
contributing its efforts in the country’s acceleration to the Next Generation Internet.
Improving the cultural value of game content is an important direction of the game industry. The
company not only invests resources in developing functional games and edutainment, but also pays
more attention to inheriting the essence of Chinese culture in the games, helping the national culture
go to overseas markets, and making contributions to building cultural confidence and promoting
excellent culture.
We are pleased to notice that the ESG rating of our company by MSCI ESG Department has
been raised from B to BB due to our efforts in contributing to corporate social responsibility topics and
related information disclosure.
37 Interactive Entertainment will continue to adhere to the corporate culture of "Playing, Patience
and Ingenuity” in 2019. While pursuing better market performance, 37 Interactive Entertainment will
continue to improve the management of all aspects of social responsibility, increase investment in
philanthropic undertakings, and work hard to turn 37 Interactive Entertainment into an outstanding
enterprise.
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2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
Professional Reviews
We are honored to invite two experts from Think-Tank of China Corporate Social Responsibility to
give us reviews for this 2018 Social Responsibility Report. We thank the remarks, encouragement and
recognition from the two experts.
The Think-Tank of China Corporate Social Responsibility (TTCCSR) was established on
September 12, 2016. It is consisted with professional organizations and experts of the earliest, highest,
most influential or most authoritative level in China's corporate social responsibility advocacy,
research, consulting, promotion and practice. Its purpose is to build a platform for corporate social
responsibility intelligence, to condense wisdom and thoughts, enhance research level, disseminate
corporate citizenship concepts, and promote corporate social responsibility, thus to provide services
for sustainable economic and social development.
2018 Social Responsibility Report of 37 Interactive Entertainment came as scheduled. This is the
third social responsibility report released by the company for three consecutive years. As the world's
leading game developer and operator and a listed company, 37 Interactive Entertainment actively
advocates the concept of corporate citizenship, consciously fulfills its social responsibilities, realizes
simultaneous economic and social benefits, and promotes the sustainable globalization of the
company. .
This report clearly discloses the company's economic issues, environmental issues, social issues,
responsibility management, etc., vividly demonstrates the company's active role and practices as
outcomes of social responsibility.
37 Interactive Entertainment has integrated the corporate citizenship concept into the company's
strategy, and realized the deep integration of corporate social responsibility work and the core
business of the company. It has played an important role in the overall development of the enterprise,
improving customer satisfaction, improving product competitiveness, and ensuring environmental
safety.
The report is serious, rigorous, detailed, complete, substantive and readable, and is an excellent
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2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
social responsibility report.
ZHANG Shaoping
Member of academic committee / Secretary of TTCCSR
Vice chairman/Chief Officer of
Corporate Citizenship Committee of China Association of Social Workers
Increasing transparency is an effective way for companies to fulfill their social responsibilities.
How a cultural creative company can make its own contribution to the sustainable development of
society, and how to prepare a good report? This 2018 Social Responsibility Report of 37 Interactive
Entertainment provides us with useful reference.
First, a perfect system mechanism and attention and participation of senior leaders are
prerequisites. The company has established a social responsibility management system with the
chairman of the group as the person in charge, the brand department as a coordinator and functional
departments’ full participation. It is supplemented by a semi-annual data collection and monitoring on
responsibility implementation. The system is relatively complete. It is very rare in China's Internet
enterprises.
Second, the establishment of indicators system to disclose key data is the core. With reference to
industry standards, the company has established a three-level indicators system, introducing material
topics such as integrity compliance, information disclosure, data security, and user privacy protection
as important indicators, which greatly improved the quality and comparability of the report.
Third, paying attention to industry characteristics and feedback on stakeholder concerns is the
key point. Social needs to protect the healthy growth of minors have been fully considered in the Anti-
addiction Mechanism, the Parental Monitoring Project, and system design of myopia prevention and
control.
Overall, this is a report with outstanding highlights, distinctive features and strong innovation. It is
hoped that the company will continue to adhere to its characteristics, benchmarking international
standards, further enriching the cultural life of the public, and making greater contributions to the
realization of the UN Sustainable Development Goals.
HAN Bing
Member of Board of Directors of TTCCSR
Executive Secretary of Global Impact China Network
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2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
Company profile
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd. (hereinafter
referred to as "37 Interactive Entertainment") is a global TOP 25 gaming enterprise, China’s TOP 3
gaming enterprise and China's TOP 20 Internet enterprise. With its excellent performance, 37
Interactive Entertainment has been listed in the CSI 300 Index, Morgan Stanley Capital International
MSCI Index and Goldman Sachs' "Nifty Fifty". It is a domestic A-shares outstanding public company
(stock code: 002555). The distribution, research and development headquarters of 37 Interactive
Entertainment is located in Guangzhou, and has subsidiaries or offices in Beijing, Shanghai, Anhui,
Jiangsu, Hubei, Hong Kong, Southeast Asia, Japan and South Korea, Europe and the United States
and other regions.
37 Interactive Entertainment takes "inheriting the essence of Chinese culture" as its concept and
actively promotes Chinese games in overseas markets as the world's leading game operator,
research and development provider. Meanwhile, 37 Interactive Entertainment actively invests in fields
such as film and television, music, animation, VR, cultural and health industries, internet children's
education and social entertainment. It has 37Mobile, 37Game(China), 37GAMES(Overseas) and
other world-renowned professional game operating platforms, as well as the world's top game
research and development teams such as Aurora Network.
Its sub-brand 37Mobile has operated more than 800 games, with a number of active users of
more than 20 million per month. With the refined operation concept of "product + flow + user", it has
successfully released products of different game categories, such as "Yong Heng Ji Yuan” (永恒纪元),
“Swords of Archangels H5”(大天使之剑 H5),“Xian Ling Jue Xing”(仙灵觉醒), “King of Avalon”(阿瓦隆之
王),“Gui Yu Mi Cheng”(鬼语迷城), “Tu Long Po Xiao”(屠龙破晓), “Dou Luo Da Lu”(<斗罗大陆>H5),“Yi
Dao Chuan Shi”(一刀传世) and so on, and has achieved remarkable results. It is one of China's top 10
Mobile Games distribution platforms and is firmly in the forefront of domestic first-tier distributors.
Since its establishment, its sub-brand 37Games(China) has more than 650 million registered
users and a total of more than 400 operating products. It is "China's Top Ten Game Operating
Platforms" and "China's Best Popular Game Platform". Its representative works and web games
include “Swords of Archangels”(大天使之剑),“Chuan Qi Ba Ye”(传奇霸业),“Wu Shen Zhaozilong”(武神
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赵子龙),“Zhen Mo Qu”(镇魔曲网页版),“Mo Yu Yong Heng”(魔域永恒). Its market share is firmly in the
leading position in the industry and forms a strong brand barrier. 37Games(China) began to expand its
mobile game business in 2018 and successfully released a number of mobile products such as "Wo
De Di Guo"(我的帝国) and " Swords of Archangels H5"(大天使之剑 H5).
In overseas markets, 37 Interactive Entertainment has always taken the revitalization of China's
cultural industry as its own duty. Since 2012, 37 Interactive Entertainment has responded positively to
the country's strategic guidelines for the cultural industry to go global, vigorously promoted cultural
services to the world, and promoted the development of globalization to the strategic height of
enterprises. As the world's top ten international distribution platforms, 37GAMES(Overseas) has a
monthly flow of over 100 million Yuan, a total of nearly 250 operating products, and a total of more
than 15,000 service sets. It has set up distribution businesses in Hong Kong, Macao, Southeast Asia,
Japan, South Korea, Europe and the United States as well as cooperated with local operation and
channel teams and successfully distributed a number of products such as "Jiang Hu Da Meng" (江湖
大梦, the overseas name of "Chu Liuxiang”(楚留香)), “Epoch of Eternity” (永恒纪元), “Dungeons and
Fantasy” (鬼语迷城), “Miracle MU: Swords of Archangels H5”(奇迹 ＭＵ：大天使之剑 H5), “Demon Seals”
(镇魔曲), “Jade Dynasty”(诛仙), and “Loong Craft" (六龙御天). In the future, 37GAMES(Overseas) will
further develop its first-mover advantage in overseas markets, rely on its advanced game research
and development capabilities and localized marketing capabilities, continuously expand its overseas
business scale, generate more foreign exchange revenue, escort the export of cultural industries, and
help Chinese cultural enterprises to enhance their cultural confidence.
In terms of research and development, 37 Interactive Entertainment introduced a large number of
talent teams in 2013 and set up a top game research and development team, Aurora Network. Thus,
the company has formed a dual-core drive mode with parallel distribution, research and development.
Aurora Network has always adhered to the belief of "Using craftsman's spirit to make excellent
games" and has devoted itself to making games that move players. It has successfully developed
excellent Mobile games such as “Yong Heng Ji Yuan”(永恒纪元),“Chuan Qi Ba Ye Mobile Game”(传奇
霸业手游), “Huang Jin Cai Jue”(黄金裁决), excellent H5 games such as “Swords of Archangels H5”(大
天使之剑 H5), “Tu Long Po Xiao”(屠龙破晓), “Dou Luo Da Lu”H5(<斗罗大陆>H5), “Yi Dao Chuan
Shi”(一刀传世) as well as excellent web page games such as “Swords of Archangels” (大天使之
剑),“Chuan Qi Ba Ye”(传奇霸业),“Zhan Guo Zhi Nu”(战国之怒), “Jin Zhuang Chuan Qi”(金装传奇),
“Xue Meng Rong Yao”(血盟荣耀).
37 Interactive Entertainment always adheres to the implementation of game strategies and
focuses on the development of game research and operations. The company also achieves the
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expansion of the game industry chain through a series of investments in game developers, such as
Shenzhen Zengame, Zilong Interactive Entertainment, 91Act, and so on. Among them, Shenzhen
Zengame has recently completed the listing in the HKEx.
In order to promote the mutual empowerment of industrial value and cultural value, 37 Interactive
Entertainment has increased the layout of cultural and creative industries since 2015. At present, it
has established the ecological layout of the entire industrial chain in film and television music
production and promotion, animation production and distribution, virtual reality technology, cultural and
health industries, internet children's education, social entertainment and overseas IP through
extension mergers and equity investments.
In the area of film and television, 37 Interactive Entertainment has signed strategic cooperation
agreements with Filmko Pictures Ltd. and Mango Media Co. Ltd. since 2015. In addition, it has
successively invested in C2M Media Group, Youying Culture, China Wit Media, New Clue Film, Mowei
Film (魔威影业) and Jin Hai Shi Yi (金海拾艺). At present, 37 Interactive Entertainment has participated
in the production of films such as "Peace Breaker", "The Devotion of Suspect X ", "Forever Young",
"Till the End of the World" and so on. 37 Interactive Entertainment will gradually introduce more
excellent film and television works in the future.
In the area of music, since 2016, 37 Interactive Entertainment has invested in Rock Foward (风华
秋实) and Original Plan (原际画), focusing on the two main lines of "music + Internet" and "music + fan
economy" to deepen the industry chain of music derivatives, digital music and fan economy. Rock
Foward’s (风华秋实) contracted artists include Lu Han, Panther, Hao Yun, Song Jia, etc. The original
international painting successfully created the popular boys' group of the cross-dimensional cultivation
department, Yi’an Musical (易安音乐社).
In the area of animation, since 2015, 37 Interactive Entertainment has invested in a number of
excellent domestic animation production teams and platforms, including YHKT Entertainment,
IDragons Creative Studio and Junengwan (剧能玩), a real-life cartoon platform. The large-scale
science fiction doomsday theme 3D animation "Incarnation" (灵笼) produced by YHKT Entertainment
will be released in 2019. And the first large-scale 3D fighting animation season drama "The Destiny of
the KOF (The King of Fighters)" in the "KOF (The King of Fighters)" series produced by IDragons
Creative Studio was released in August 2017. Up to now, it has been broadcast more than 800 million
times across the network.
In the area of VR, since 2016, 37 Interactive Entertainment has successfully invested in Canadian
VR content researcher and publisher Archiact, and a leading domestic virtual reality content developer
and operator Tianshe Media, to formally enter the overseas and domestic VR markets. The company's
ecological layout in VR games is taking shape.
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Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
In the area of cultural and health industries, starting from 2018, 37 Interactive Entertainment
invested in Wake Yoga, a high-end yoga brand, to explore the new battlefield of "Big Data + Sports
Health" and develop the elite female market.
In the area of internet children's education, since 2018, 37 Interactive Entertainment has
successively invested in KaDa Story, an App platform of children's picture books, and MIAOCODE, a
children's programming education platform. It pays attention to the "internet + education" mode and
attaches great importance to children's enlightenment education. Based on children's interests, it
provides them with better learning experience and creates a temperature-sensitive education mode.
In the area of social entertainment, since 2018, 37 Interactive Entertainment has successively
invested in the domestic leading stranger social platform Jimu (积目) and the extreme flying ball
operation tourism project Tuo Lu Ling Yin (驼路铃音), and has gradually dabbled in such popular
projects as humanistic social interaction, entertainment and leisure.
37 Interactive Entertainment has continuously refined its own IP operation capability and
upgraded its platform industry capability through continuous internal exploration and optimization and
external merger and acquisition extension. In addition, 37 Interactive Entertainment has further
promoted the essence of Chinese culture and brought more positive energy works to the society by
increasing the layout of cultural fields and continuously introducing outstanding works represented by
works with profound details such as "Forever Young" and "Till the End of the World".
37 Interactive Entertainment will continue to provide high-quality and healthy culture and creative
products for the public and contribute its own strength to the inheritance and development of Chinese
excellent traditional culture in the future.
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2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
I. Social Responsibility Management
1. Stakeholder analysis
37 Interactive Entertainment has identified the following stakeholder groups of the company via
questionnaires of users of the company's products. questionnaires of and interviews with
management, and interviews with domestic and overseas investors, relevant government departments
and media:
Stakeholders Related Social Responsibility Importance
Matters
Investors Investors recognize the Investors' interests protection Five stars
company's investment value Risk management
and development prospects Right to know
and promote the company as
a corporate citizen to give
back to society.
Direct and The mission of the company High-quality products and Five stars
potential is to bring high-quality games services
users of to its users, who are mainly Protection of user information
products game players. Protection of minors and anti-
addiction construction
Employee As an internet company with Promote rights and interests of Five stars
light assets, employees are employees
the company's precious Bring competitive salary
wealth. returns to employees
Enhance employees career
development and promotion.
Government The government Abide by laws and regulations Five stars
departments departments are the and industry norms
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Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
defenders of the market Pay taxes according to law
order and the supervisors of Promote Employment
whether the company's Inherit excellent traditional
products conform to the culture, build cultural
market standards. confidence and promote
cultural sailing
Environment As an internet enterprise, the Participate in energy saving Three stars
company has little direct and emission reduction
impact on the environment. Reduce indirect energy
consumption
Community The company is based on Actively Participate in Four stars
and Society the harmony and stability of Precision Poverty Alleviation
the community and the Support education and other
society, affecting the market philanthropic undertakings
environment and the
sustainable development of
the enterprise.
The email of social responsibility work is: csr@37.com. 37 Interactive Entertainment very much
welcomes stakeholders to participate in the discussion of substantive issues of corporate social
responsibility, the formulation of strategies, and the feedback and evaluation of social responsibility
work.
2. Materiality
Based on the company's core competitiveness, product attributes, product value chain structure,
industry characteristics and other factors, and in combination with the important matters identified by
the interview feedback information of various core stakeholders, the company believes the material
topics for 37 Interactive Entertainment to fulfill its social responsibility include:
Abide by laws and regulations and industry norms
Corporate philanthropy
Employee’s welfare and development
Protection of minors and anti-addiction construction
Data security
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User privacy protection
Investors' rights and interests
The above-mentioned seven substantive issues are the top priority in the construction of the
company’s social responsibility management system and will strive to fully present the specific
implementation of the above-mentioned related social responsibility work in this report.
In addition, although the environmental protection is not a core issue for 37 Interactive
Entertainment's social responsibility, it is also the responsibility of the whole industry to participate in
energy conservation and emission reduction within its capabilities. Therefore, relevant contents are
also presented to a certain extent in this report.
3. Social responsibility management system
The Chairman of 37 Interactive Entertainment is the decision maker in regards to the social
responsibility management system.
The Brand Department of the company is the coordination and promotion department of the
social responsibility management system, reporting the implementation of social responsibility to the
Chairman, consulting with functional departments and proposing improvement plans as well as
finishing corporate social responsibility reports and submitting the reports to the board of directors for
approval.
The Brand Department has a full-time team to specifically implement and monitor the progress of
social responsibility work, collect semi-annual and annual social responsibility data and prepare social
responsibility reports.
37 Interactive Entertainment believes that social responsibility is an obligation that an enterprise
should fulfill as a corporate citizen and is the guarantee of sustainable development of the enterprise.
It’s the duty-bound responsibilities of enterprises to abide by laws and regulations, social norms,
provide high-quality creative products for society, create profits for shareholders as well as pay
attention to network security, user privacy protection and minors protection, and pay attention to the
rights and interests of employees and development. Participating in social welfare undertakings such
as poverty alleviation and education reflects the good wishes of enterprises to give back to society
and promote social stability and prosperity.
37 Interactive Entertainment believes that it is an important task for 37 Interactive Entertainment
to identify the stakeholders in the production and operation of the enterprise, pay attention to
communication with the stakeholders, incorporate the demands of the stakeholders into the overall
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Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
production and operation strategy of the company, and protect the legitimate rights and interests and
reasonable demands of the stakeholders. Focusing on the material social responsibility issues
identified by various stakeholders is the direction of 37 Interactive Entertainment's social responsibility
work for mutual entertainment. The company is looking forward to joining hands with all sectors of
society to help create a better life and move forward towards the Two Century Goals.
4. Indicators system of social responsibility work
Referring to the latest GRI Standards indicators released by Global Reporting Initiative, the
United Nations 2030 Sustainable Development Goal and relevant industry standards of Environment,
Society and Governance (ESG), the company has compiled and completed a social responsibility
index system applicable to 37 Interactive Entertainment from three dimensions of economic issues,
environmental issues and social issues.
Primary indicator Secondary index Level three indicators
A Social topics 1) Corporate Participating in education, accurate
philanthropy poverty alleviation
Focus on the growth of teenagers
2) Employee rights Legal rights and interests of
and employees
development Salary and treatment
Occupational health and safety
Employee benefits
Employee career development
3) User rights Protection of minors and prevention
of addiction
Data security
User privacy protection
Social function of games
B Economic 4) Financial Core financial indicators such as
topics performance revenue, profits etc.
5) Investor Governance structure
responsibility Investor relations maintenance
Information disclosure
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2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
6) Supplier Integrity compliance
management
7) Anti-corruption Internal control system
8) Fair competition Intellectual property protection
C Environmental 9) Reduce energy energy consumption
topics consumption
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Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
II. Social Topics
1. Facilitate education for poverty alleviation to improve development in remote areas
37 Interactive Entertainment initiated the establishment of Guangdong Youxin Foundation
(hereinafter referred to as "Youxin Foundation") in 2014. The company, its stakeholders and
employees have donated more than 13 million Yuan to Youxin Foundation for philanthropic
undertakings such as education for poverty alleviation in remote areas in the past 4 years. In 2018,
Youxin Foundation spent a total of 3.05 million Yuan including 2.52 million Yuan in education for
poverty alleviation, covering 38 high schools in 30 counties/districts (18 of which are national-level
poverty-stricken counties) of 9 provinces.
A. Cultivate in education for poverty alleviation
Youxin Peer Program
Youxin Peer Program aims to assist high school students in remote areas who have excellent
academic qualifications but are from poor families. Support is provided until they complete their high
school studies. Schools receiving this programs are located in poor counties and underdeveloped
areas in Sichuan, Gansu, Guizhou, Yunnan, Guangdong and other provinces. In 2018, more than 330
students were newly funded, and 886 high school students are currently being funded. Since its
establishment in 2014, Youxin Foundation has supported a total of 1,133 students.
In the process of assisting students, Youxin Foundation maintained the sensitivity of gender
perspective. Considering that girls are more likely to drop out of school due to their disadvantaged
position in the family, it pays special attention to the education rights of girls from poor families. The
ratio of aided girls to boys is 1.79: 1.
144 "Youxin Peers" from Sichuan, Guizhou, Guangdong and Gansu successfully completed their
high school studies in 2018. Among them, 70 students' scores reached level-one university
acceptance requirements in the province where they were located, accounting for 50%; and 50
students' scores reached level-two university acceptance requirements, accounting for 35.71%; all
students gaining a university requirement are total of 85.71%. Some students have been admitted to
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Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
famous universities such as Peking University, University of Science and Technology of China,
Zhejiang University, Beihang University, Xiamen University, Sun Yat-sen University, Nanjing University
and Shanghai University of Finance and Economics.
On September 13, 2018, Youxin Foundation officially unveiled its first "Youxin Class" at No.3 High
School in Fengqing County, Lincang, Yunnan Province. Under the leadership and support of the
Communist Party Branch of the company, 37 Interactive Entertainment, Youxin Foundation and Sun
Yat-sen University jointly explored a new mode of education and poverty alleviation in Fengqing
County with the joint efforts of " enterprise + philanthropic organization + university". The
establishment of "Youxin Class" is an important result of the joint efforts of the three parties. The first
"Youxin class" has a total of 50 students and is equipped with a "free reading" class book corner. 37
Interactive Entertainment also supports the network teaching of the class with the help of its own
internet enterprise's operation and technical advantages and channel resources.
The third summer camp of City of Flowers
Youxin Foundation pays close attention to the education of senior high school students in remote
areas. It hopes to explore the potentiality of students and accompany them to grow into young people
with lifelong learning ability and social responsibility through diversified education methods. Youxin
Foundation holds a summer camp in Huacheng every year to provide students with a platform to
experience the city, broaden their horizons and challenge themselves.
The theme of the third Summer Camp of City of Flowers in 2018 is "Dare to know". It aims to
encourage senior high school students in remote areas not to forget to learn knowledge under the
burden of their daily studies, and to maintain their thirst for knowledge and curiosity about the
unknown.
This summer camp invited 32 high school students from Tanchang No.1 High School in Gansu
and excellent high school graduates from Wangcang county in Sichuan Province. Apart from visiting
important scenic spots in Guangzhou, it also set up group tasks for city exploration, career sharing
courses, social issues research and other links to enhance students' vision and enhance their
comprehensive abilities.
B. Care for the growth of teenagers in remote areas
Promote reading ability: free reading plan for senior high schools in remote areas
The "Free Reading Program for Senior High Schools in Remote Areas" (hereinafter referred to as
the "Free Reading Program") was launched in May 2016 and is aimed at underdeveloped areas in the
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central and western regions to respond to the plight of "no (high quality) books to read" due to the lack
of book resources in senior high schools in remote areas. Up to now, nearly 500 classes have built
free and open class book corners, of which 18 counties are poor counties in the country, accounting
for 67%, directly benefiting 40000 teachers and students.
Realizing that high school students from remote regions have different levels of abilities and
interests, Youxin Foundation independently develops more accurate and more suitable age-
appropriate book lists for students' abilities and progress, so that more high school students can truly
cultivate their reading interests and exercise their reading comprehension ability.
Teachers play an important role in students' reading growth, so it is especially important to train
teachers' reading ability. Youxin Foundation has invited well-known scholars and teachers in
developed areas to train literature teachers in remote areas around teacher empowerment so that
teachers have the awareness and ability to carry out reading guidelines in 2018.
The operation of the free reading program in 2018 has been continuously optimized, and the
project has achieved remarkable results. The main achievements of the project are as follows:
High-quality book resources are no longer scarce in county-level high schools in remote
areas: the free reading program provides a large number of high-quality extracurricular
books in high school classes, which enriches the poor book resources in remote areas,
makes high-quality books within easy reach, and meets the needs of students in remote
areas for book reading.
Chinese learning and reading are promoted: A large amount of reading accumulation helps to
improve reading comprehension and writing skills. From the examination perspective,
students who pay attention to reading have improved their scores in both reading and
composition questions.
"Reading class" has gradually become a school-based curriculum in senior high schools:
under the impetus of wandering hearts, four schools have added "reading class" to the tense
senior high school curriculum, allowing free reading more time and more attention.
Improve choice ability: enlighten career wisdom
The call for professional wisdom aims to set up a career planning and communication platform for
young people who are facing the choice of subject and college entrance examination major in high
school, and help them to find their personal interests and goals in high school.
Sponsored by Youxin Foundation, volunteers from 37 Interactive Entertainment are responsible
for programming, recruitment, accounting, social responsibility, art design, brand communication,
advertising, marketing and other work. They have studied a wide variety of specialties, and they can
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be said to be "There are masters in every walk of life in 360 trades". Some of them are new
employees who have just graduated and some are "experienced" professionals. Their current
professional experience and professional understanding are of great guiding significance to senior
high school students who are in a confused period of where to take their future.
In 2018, Youxin Foundation launched two “career wisdom” calling operations to build a platform
for the long-term development of high school students in underdeveloped areas, helping students to
broaden their horizons and inspiring students to explore more career directions.
Learn while playing: online programming of youth education
Programming education is an important aspect of the future core competitiveness and
comprehensive accomplishment that teenagers must have abroad. Programming thinking is also very
helpful to cultivate children's logical thinking, mathematical thinking and innovative ability.
In 2018, Youxin Foundation jointly launched the "Youth Online Programming Education" class
cooperated with MIAOCODE, a youth online programming education brand invested by 37 Interactive
Entertainment, to provide small class programming classes based on Scratch, Python and C++.
The first philanthropic programming course has been carried out in Dangchang County, a national-
level poverty-stricken county in Gansu Province. The course has received strong support and
recognition from the local education authorities, with the participation of Chengguan No.3 Primary
School, Jizichuan Primary School and Experimental Middle School. The children attending the course
are not only familiar with the most basic programming concepts, but also really like this cute cartoon
character named "Miao Xiao Cheng". Through graphical programming software, children can easily let
the cartoon character "Miao Xiao Cheng" sing, dance and talk to children according to instructions.
2. Participate in Industrial poverty alleviation and facilitate rural revitalization
In 2018, 37 Interactive Entertainment purchased a total of 863,300 Yuan of local agricultural and
sideline products panax notoginseng powder and tea in Yanshan County of Wenshan Prefecture and
Fengqing County of Lincang in contiguous deep poor areas of Yunnan Province, which supported the
development of local agricultural industry, increased local rural income, promoted local poverty
alleviation and prosperity, and headed for rural revitalization.
3. Promote employee welfare, rights, and development
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Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
A. Measures on employee welfare, rights and development
In order to abide by and implement relevant laws and regulations, the company has formulated
the various following working regulations: "Recruitment Management Regulation of 37 Interactive
Entertainment", "Management Measures for Remuneration of 37 Interactive Entertainment Positions",
"Management Measures for Performance of 37 Interactive Entertainment", "Staff Turnover
Management Regulation of 37 Interactive Entertainment ", "Attendance Management Regulation of 37
Interactive Entertainment ", "Training Management Measures of 37 Interactive Entertainment " and
"Independent Academic Degree Promotion Regulation for Employee of 37 Interactive Entertainment”.
B. Employee structure
By the end of 2018, the company had 2,263 employees.
The average age of the company's employees is under the age of 30, with 1,634 employees
being under the age of 30, accounting for 72.2%.
Due to the characteristics of the Internet industry, male employees account for more than female
employees, which is in line with the overall level of the industry. At the end of 2018, the proportion of
female employees in the company was 32.1%, which was 1.1% higher than that at the end of
December 2017.
C. Employee rights
Based on the principle of fairness, justice and publicity, the company abides by and implements
relevant regulations on occupational anti-discrimination in recruitment and employment. It does not
discriminate, prejudice or discriminate against employees due to factors such as age, physiological
sex, social sex, nationality, religion, skin color, physical or mental disorders, etc.
The company's employees are entitled to parental leave. In 2018, 144 people applied for parental
leave, including 95 male employees and 49 female employees.
D. Salary and treatment
The company uses a performance-based job position system and salary system. The concept
and method of these systems are based off international design and combined with the average
salary level within the job market. This helps establish a fair and justified salary incentive system to
ensure the company's market competitiveness externally. It also helps improve the employee’s
working incentive internally.
The salary system is combined with the job position system. Different positions and different
ranks correspond to different salary levels. This in turn reflects different salary returns, different
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position values, employee abilities and experience differences. Compensation is also related to
performance, which reflects the personal work performance of employees and their contribution to the
company. It reflects the performance orientation of compensation incentives. Salary adjustment is
mainly based on staff rank changes, attendance, performance and recent work performance. Each
employee has multiple salary adjustment opportunities each year on a quarterly basis.
E. Occupational health and safety
37 Interactive Entertainment strictly implements the relevant regulations on work-related injuries
in the Labor Law. There were no accidents identified as work-related injuries throughout 2018.
The company advocates the concept of "happy working and healthy life" and pays attention to the
health of employees. It selects a professional medical examination institution every year to provide the
employees with annual health examination. Furthermore, the medical examination of employees'
family members can also enjoy the enterprise discount. A total of 750,798.00 Yuan was spent on
medical examinations for employees in 2018.
The company provides a comfortable dining environment for employees, exclusive space for
mother and infant rooms for female employees, and various ball games and fitness equipment to
entice employees to exercise.
The company pays great attention to the health of its employees. In addition to the annual
physical examination, it also encourages employees to take up sports. The company has more than
500 employees who run over all together 30,000 kilometers per month. The company also invites
external lecturers from time to time to give safety and health lectures, such as "First Aid" and
"Effective running techniques", which are very popular with employees.
F. Employee benefits
The company makes sure to create a corporate culture with "Friendship, Love and Family
Feeling". The benefits provided to employees include caring fund, seasonal activities, holiday gift bags,
birthday gifts, quarterly movie tickets, annual medical examination, breakfast and lunch/dinner,
seasonal afternoon tea and departmental team building, etc.
The company sets up a caring fund to provide a certain degree of support to families of
employees who encounter difficulties, with an annual injection of 1 million Yuan.
The company carried out a variety of recreational activities centred around employees' work and
life. In 2018, the company carried out a total of 16 diverse employee activities, such as Lantern
Festival, Children’s Day, Parents Days, employee family day, 520 fellowship, Qixi fellowship (Chinese
Valentine’s Day), programmer festival, etc. A total of 12,000 people participated in the activities.
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The company spent a total of 12.3 million Yuan on employee benefits in 2018.
G. Employee career development
The company has continuously improved the salary and welfare system for employees to
encourage promotion. Our training programs helps employees establish career development plans by
adhering to the talent concept of "Giving the greatest space to outstanding talents". The establishment
of Enterprise University of 37 Interactive Entertainment has set up a platform for employees to learn
and share, to train professional talents in all aspects, and at the same time to let the values of
corporate culture continue to be inherited and carried forward, so as to achieve a win-win situation for
the development of the company and the personal development of employees.
The company conducted 1,043 training sessions of various types, with 22,145 participants in
2018. Among them, the group held 283 public classes and 5,582 participants, of which 207 were for
new employees; 9 large-scale expansion activities; The total training time was 13,212 hours, with a
per capita training time of 4.89 hours. The company also pays attention to the training of internal
lecturers. In 2018, 376 lecturers conducted 679 courses, with 14,913 people attending.
In order to encourage the development of talents, the company has established a fair
performance management system, and implements "37 Interactive Entertainment Performance
Management Measures", which takes a natural month as a cycle. Every employee who becomes a
regular employee receives performance appraisal. The results of performance appraisal are divided
into multiple grades. The direct supervisor and employees shall jointly formulate performance
improvement plans and conduct on-the-job training for employees with lower grades of appraisal
results. The monthly assessment summary in the natural year forms the year-end general assessment,
which serves as the reference basis for personal development, promotion, salary adjustment and
training of employees. In addition, the company has established a complaint mechanism for the
results of performance appraisal to communicate and feedback the results of employees' objections,
further reflecting the fairness of performance appraisal.
In terms of the job development system, the company has established a dual channel of
employee career development consisting of "4 job position sequences and 5 job position grades",
which fully responds to the needs of the company, departments and employees' personal
development and other aspects. It provides broad career development space for employees, helps
employees establish career development plans, and achieves win-win results for the company's
development and employees' personal development. The company has two promotion evaluation
opportunities every year in accordance with the employee’s performance, seniority, job competency
and other qualifications. It has a complete promotion evaluation process. In addition, the company
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also provides employees with career development opportunities across job categories, sequences
and channels.
H. Employee satisfaction
The company attaches great importance to employee satisfaction. For three consecutive years
from 2016 to now, the company has invited a third-party professional consulting organization to
independently conduct employee satisfaction research on all employees of 37 Interactive
Entertainment. The company has listened to employees' voices, found the organization's current
advantages and areas needing improvement, and formulated targeted optimization measures.
The satisfaction survey data shows that the overall employee engagement and satisfaction are on
the rise year after year. The engagement rate grows an average 4% each year while the satisfaction
rate reaches an average 8% increase each year. The result reflects the efforts of the company
contributed to improving the benefits of the employees.
Thanks to the efforts of the Human Resources Department, 37 Interactive Entertainment also won
several best employer awards in the industry in 2018:
Best Campus Employer for trainee
Trainee 2018 Top 50 Employers in China
Dajie.com 2018 Top 30 Employers in South China
Boss Directly Hires 2018 HR Award for Favorite Talents
51job 2018 human resources management excellence award
4. Protect health of minors and create a fit online game environment
37 Interactive Entertainment, as a leading enterprise in the domestic game industry, has always
taken protecting the healthy growth of minors, creating a fit and positive online game environment,
and fully protecting the legitimate rights and interests of online game users as its top priority in its
social responsibility work. It has actively invested human and material resources to establish and
perfect the protection system for minors and to practice corporate social responsibility.
The proportion of underage users who access and use the company’s products does not exceed
1%.
A. Access to real name system and anti-addiction system
37 Interactive Entertainment's game platforms have strictly implemented the user's real-name ID
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card verification system for a long time and is actively planning to access to a more authoritative ID
card verification system to improve the protection of young users and the protection of the rights and
interests of players.
The login user is authenticated as a minor user by the real-name system, and is included in the
anti-addiction system. According to different game periods, the minor user is prompted with warnings
of different frequencies (normally once every hour, once every 30 minutes in the "tired" state and once
every 15 minutes in the "unhealthy" state), and the in-game revenue is reduced in gradient according
to different game periods (50% in the "tired" state and 0 in the "unhealthy" state).
The system strictly restricts minors from indulging in games, controling the duration of play time
and reduces the benefits and rewards to reduce the playing wishes of minors. At present, the anti-
addiction mechanism is strictly implemented in all products of 37 Interactive Entertainment platforms.
The company is also planning to connect the real-name system to public security department’s
identity authentication platform, which is authoritative, safe and credible to conduct a secondary
comparison of registered user information. If the account information fails to pass the real name
verification of the platform, the game will be prohibited.
B. Strengthen "Parental Care Project" as tools for parents.
The company’s Parental Care System fully takes into account the actual needs of parents and
assists parents to jointly solve the unhealthy phenomenon of minors indulging in games. The company
pays special attention to the protection of minors' information. For the case of collecting minors'
personal information with the consent of parents or guardians, the company will only use or publicly
disclose this information if permitted by law, explicitly agreed by parents or guardians or necessary for
the protection of minors.
C. Manage strongly the consumption of minors
After the "real name registration" is strictly implemented, real name authentication is strictly
required for game consumption. Users who do not have real name authentication are not allowed to
play games, and users in guest mode are not allowed to make payment or consume in the game.
Players are often reminded that they should only play in moderate stints to ensure a healthy lifestyle
and the amount of in-game purchasing will be limited to avoid excessive play time.
D. Prevent and control myopia of children and adolescents
In order to implement the spirit of General Secretary Xi Jinping's important instructions on myopia
among students, the prevention and control of myopia among children and adolescents in the new era
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should be strengthened. Eight departments including the Ministry of Education, the National Health
and Health Commission, the State General Administration of Sports, the Ministry of Finance, the
Ministry of Human Resources and Social Security, the State General Administration of Market
Supervision and Administration, the State Press and Publication Administration, and the National
Radio and Television Administration jointly issued the " Implementation Plan for Comprehensive
Prevention and Control of Myopia among Children and Adolescents" (hereinafter referred to as the
"Implementation Plan") in August 2018.
37 Interactive Entertainment immediately carried out research and study on the policy, and
thoroughly implemented the requirements and jointly cares for children's eyes after the
"Implementation Plan" was issued. The user will be reminded every hour with the notice "you have
been online for x hours, please pay attention to your eyesight” and a diagram of eye exercises will pop
up for the user to relieve eyesight fatigue in the game.
5. Strengthen data security to ensure user data privacy
A. Data security
The operation department of the company's technology center is the executive management
department and they are responsible for data security. It is headed by Mr. Zhu Huaimin, vice president
of the company. The company's technology center is equipped with an excellent management team
and technical engineers. It has an encrypted network security system to prevent all kinds of data
security risks and to build a strong firewall to protect users' privacy information.
From a technical point of view, the company has formulated systems and strategies such as
"Server Security Management Standard of 37 Interactive Entertainment", "User Data Security
Management Regulation of 37 Interactive Entertainment", "Data Security Management Standard 37
Interactive Entertainment" and "Security Event Management Standard of 37 Interactive Entertainment"
in order to deal with possible data security problems in a timely manner.
In the "Information Security Incident Management Standard of 37 Interactive Entertainment", the
company defines and classifies security incidents, and these security incidents have been categorized
into significant security incidents (Class I), major security incidents (Class II), Non-critical security
incidents (Class III) and general security incidents (Class IV), which will be discovered, recorded and
concluded. In 2018, 3 large-scale web traffic attacks and other security incidents were successfully
prevented in accordance with the security plan, causing no damage.
The company organizes a security audit of information security events every six months. When
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conducting the security audit, the company files all information security incidents of the last 6 months
and makes a summary and statistics report. The summary and statistics must include a list of
information security events, consequences caused by information security events, implementation of
improvement measures and solutions.
The company's technology center conducted a total of 4 data security-related training sessions,
including security awareness training, operation and maintenance security training, development
security training, and cyber security law training in 2018.
Thanks to the efforts of the company's technicians, there has been no case of data leak or threat
to data security.
The company is particularly concerned about data security and data privacy, and has passed the
three-level evaluation of information security level protection, which enables the company's security
construction to conform to the national standards and meet the requirements of relevant laws and
regulations. The company has been comprehensively upgraded in terms of system security,
application security, data security, network security, system and personnel management security,
which is of great significance to protect sensitive information and the company's business.
As China’s top 50 commercial website and application platform for domestic users, IPV6 access
has been supported by the company. And the company actively implements the action plan of IPV6
scale deployment, contributing its efforts to the country’s acceleration to the Next Generation Internet.
B. User privacy protection
The company has always paid great attention to the safety of users' information, and issued the
"37 Interactive Entertainment Privacy Policy", which is concerned and protects the safety of users'
personal information. It specifies the following detail: 1) how the company collects and uses users'
personal information, 2) how the company uses Cookie and similar technologies, 3) how the company
shares, transfers and publicly discloses users' personal information, 4) how the company protects
users' personal information, users' rights, 5) how the company handles minors' personal information, 6)
and other relevant content.
The company follows the principle of minimum sufficiency for the collection of personal
information. Usually based on the requirements of Chinese laws and regulations, relevant information
is required for the purchase and use of the company's products and services.
The company has made special provisions in the Privacy Policy in accordance with the
requirements of national laws and regulations regarding the sharing, transfer and public disclosure of
personal information: 1) With the explicit consent of the user, the company will provide the data to a
third party through sharing on the premise that the data receiver cannot re-identify the subject of
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personal information, so as to provide better services for the user; 2) The company will share personal
information with relevant government departments according to laws and regulations or mandatory
requirements of government departments. 3) The company will not transfer personal information to
any third party, except those that must be transferred according to the laws and regulations of the
People's Republic of China; 4) The company also stipulates that the user's personal information can
be disclosed only under certain circumstances, such as obtaining the explicit consent of the individual,
relating to national security, national defense security, public safety, public health or major public
interests, etc.
In addition, the company lists the reasonable and feasible security measures taken by the
company to protect users' personal information in the Privacy Policy, and promises users that it would
do its best to ensure the security of the information sent to the company.
The company has stipulated that users can access, control and process personal information in
order to protect users' right to manage personal information in accordance with China's relevant laws,
regulations and standards, as well as common practices in other countries and regions. In order for
the company to uphold the above rights, the company has also stipulated the corresponding response
procedures, and clearly informed the user of the possible costs and treatment methods.
The company has also stipulated special circumstances for failing to respond to requests for
personal information management, including matters directly related to national security, national
defense security, public security, public health, major public interests, matters related to criminal
investigation, prosecution, trial and execution of judgments, requests for rights that will cause serious
damage to the legitimate rights and interests of applicants or other individuals and organizations, and
matters related to business secrets, etc.
Furthermore, the company also stipulates that personal information collected and generated in
the People's Republic of China will be saved in the People's Republic of China and will not transfer or
transmit users' personal information worldwide.
6. Explore games with fun and education
At present, improving the cultural value of game content is an important direction of the entire
game industry, and the exploration of functional games has become the focus of 37 Interactive
Entertainment in current and future research and development fields.
The functional game " Cells vs. Germs " independently developed by 37 Interactive Entertainment
is based on immune cells in the human body, microorganisms such as bacteria and viruses, and the
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general immune process of the human body is the foundation of the game. It combines multiple
elements such as MOBA (multiplayer battle) and real-time strategy. The game has been awarded the
"Best Functional Game of 2018” by the Golden Diamond Award.
Users can experience the characteristics of cells and microorganisms and understand the
process of the human immune system while playing a competitive game. For the vast number of users,
" Cells vs. Germs" will not only help users understand the human body more and the harm of
microorganisms from different perspectives, but also improve their alertness to the invasion of viruses
and bacteria, thus reducing the probability of illness.
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Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
III. Economic Topics
1. Core business remains steady growth and operating income rises rapidly
In 2018 the company’s operating income rises rapidly. Main financial indicators in the 2018
Annual Report of 37 Interactive Entertainment are presented below:
Variance
2018 2017 compared with
the previous year
Operating income 7,632,679,668.47 6,188,828,116.75 23.33%
Net profit attributable to the listed company stakeholders
1,008,503,357.80 1,620,582,427.47 -37.77%
(RMB)
Net profit attributable to the listed company stakeholders
474,909,138.00 1,048,251,240.84 -54.70%
after deducting non-recurring profits and losses (RMB)
Net cash flows from operation activities (RMB) 1,954,433,620.84 1,831,895,928.30 6.69%
Basic earning per share (Yuan/share) 0.47 0.76 -38.16%
Diluted earning per share (Yuan/share) 0.47 0.76 -38.16%
Weighted average rate of return on equity 16.59% 28.12% -11.53%
End of 2018 End of 2017
Total assets (RMB) 8,395,761,716.98 9,160,137,685.38 -8.34%
Net assets attributable to listed company shareholders
5,972,675,405.86 7,016,770,210.85 -14.88%
(RMB)
2. Be responsible to investors and protect their rights and interests
As a responsible listed company, 37 Interactive Entertainment has always adhered to the concept
of being responsible to investors, strictly abided by laws and regulations, ensured effective
communication, effectively protected the rights and interests of investors, and created value for
investors.
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2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
A. Perfection of the corporate governance structure
Since its listing, the company has been improving its corporate governance structure in strict
accordance with the requirements of the Company Law, the Securities Law and relevant laws and
regulations of the China Securities Regulatory Commission and Shenzhen Stock Exchange. It has
gradually established a strict three-meeting operation system which consists of the shareholders'
meeting, meeting of the Board of Directors and meeting of the Board of Supervisors. At the same time,
the company has also strengthened and improved its internal management and control system to
further improve the level of corporate governance.
In strict accordance with relevant laws and regulations, the company convenes and holds
shareholders' meetings and employs lawyers to witness the meetings, which can ensure that all
shareholders, especially small and medium shareholders, enjoy equal status and fully exercise their
rights. The Board of Directors of the company has four special committees, namely the Audit
Committee, the Remuneration and Appraisal Committee, the Nomination Committee and the Strategy
Committee, which have played important roles in promoting the company's standardized operation
and healthy and sustainable development. The Board of Supervisors of the company, proceeding from
the protection of shareholders' interests, earnestly performs its duties, supervises the company's
finance and legal compliance of the company's directors and senior management personnel in
performing their duties, and faithfully and diligently protects the legitimate rights and interests of the
company and its shareholders.
Regarding the remuneration of the directors, in order to further improve the remuneration
management of directors of the company, mobilize the enthusiasm, initiative and creativity of directors,
improve the management level of the company, promote the healthy, sustainable and stable
development of the company and ensure the realization of the strategic objectives of the company's
development, the 18th meeting of the 3rd Board of Directors of 37 Interactive Entertainment passed
the "proposal on the remuneration plan of directors of the 4th Board of Directors" and was approved
by the shareholders' meeting, which stipulates:
(1) Considering that all non-independent directors are full-time directors of the company and deal
with daily decision-making matters, and their positions are important, their salaries are paid at
500,000-2.5 million Yuan per year, specifically determined according to their job duties and company
performance.
(2) Each independent director shall receive a fixed allowance of 100,000 Yuan per year, which
shall be paid every six months.
In 2018, the company held a total of 6 shareholders' meetings, 11 meetings of Board of Directors
and 7 meetings of Board of Supervisors to consider various important matters of the company, thus
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ensuring the investors' right to know, participate in and make decisions on important matters of the
company. The actual situation of corporate governance conforms to the relevant requirements of the
regulatory documents on corporate governance issued by the China Securities Regulatory
Commission, providing a strong basis and guarantee for the company to make major decisions.
B. Accountability to investors
The company believes that investor relations management is a strategic management act that
strengthens the two-way communication with investors and potential investors through various
investor relations activities and improves investors' understanding of the company so as to maximize
the value of relevant stakeholders.
To this end, the company has formulated the following principles to ensure that the company is
fully responsible to the investors:
The national laws and regulations and relevant regulations of Shenzhen Stock Exchange are
strictly followed, and the information is timely disclosed to the investors;
Publicly, equitably, fairly and equally treat and respect all investors, and fully protect
investors' right to know and other legitimate rights and interests;
Ensure that the information is true, accurate and complete, and fully disclosed.
First of all, under the guidance of this concept, the company strengthens communication with
investors through full information disclosure, which promotes investors to understand, identify, accept
and support the company's development strategy and business philosophy. A stable and high-quality
investor relationship management mechanism has been established, a good market image has been
established, and a corporate culture and values that respect investors have been formed within the
company.
Secondly, the company protects the rights of shareholders in accordance with the law, attaches
great importance to the reasonable return on investment to shareholders, specifies the profit
distribution method in the company's articles of association, and formulates a three-year (2017-2019)
shareholder return plan. The company reasonably formulates the annual profit distribution plan, and
the Board of Directors will implement the rights and interests distribution plan after it is fully considered
and approved by the Board of Directors, the Board of Supervisors and the shareholders' meeting
according to the company's annual revenue situation and strategic plan, and in accordance with the
shareholders' dividend policy and shareholders' return plan. Therefore, the profit distribution policy can
maintain continuity and stability while taking into account the long-term interests of the company, the
overall interests of all shareholders and the sustainable development of the company.
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the Chinese version of this Translation, the Chinese version shall prevail.
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Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
C. Investor relations management
Formulate the "Investor Relations Management Regulation" to regulate investors’
relationship.
In order to fully protect the rights and interests of investors, the company has formulated the
"Investor Relations Management Regulation" to standardize investor relations management, promote
the benign interaction between the company and investors and potential investors, effectively protect
the legitimate rights and interests of investors, especially public investors, and enhance the
investment value of the company.
The company's "Investor Relations Management Regulation" stipulates that the company can
strengthen communication between the company and investors and enhance investors' understanding
of the company through such activities as investor research, on-site visits, telephone consultation,
performance briefing, analyst meetings and roadshows, news interviews, etc. When investors and
analysts apply to visit the company and have a discussion, the company will prepare a written reply
according to the written research outline submitted by the applicant, assign special personnel to
accompany them, reasonably and properly arrange the visit process, and assign special personnel to
answer questions and record the communication content to ensure two-way communication with
investors.
The company held an offline performance exchange meeting on the afternoon of May 3, 2018.
The company's then Vice Chairman and General Manager Mr. Li Weiwei, Aurora Network CEO Mr. Hu
Yuhang, Director and Deputy General Manager Mr. Yang Jun, 37Mobile President Mr. Xu Zhigao, and
Secretary of the board of directors and Financial Director Mr. Ye Wei, and other company executives
communicated with various institutional investors, brokerage research teams and analysts on the
company's 2017 annual report and the company's development: the participating institutions included
Tianfeng Securities, Singapore Government Investment Group, Jianxin Insurance, Lujiazui Guotai Life
Insurance, Boshi Fund, etc. The company disclosed the record of this investor relations activity on the
"Juchao Information Network" to ensure the fairness of information disclosure.
The company also held the 2017 annual report presentation meeting on May 3, 2018. The
company's then Vice Chairman and General Manager Mr. Li Weiwei, Director and Deputy General
Manager Mr. Yang Jun, independent director Ms. Zhu Ning, and Secretary of the board of directors
and Financial Director Mr. Ye Wei had fully communicated with shareholders concerned about the
company's development through the network presentation meeting, thus enhancing the trust with
small and medium-sized investors.
Ensure daily communication with investors and protect investors' right to know
The company's official website is an important window to display the company's image. The
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Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
company insists on updating the company's investor relations display page on its official website in a
timely manner, providing investors and the public with a convenient way to fully display the company's
situation.
The company has set up a telephone hotline for investors. The Office for the Secretary of the
Board has a special person in charge to ensure the smooth flow of telephone lines during working
hours and to answer investors' questions with enthusiasm and patience. The company has set up a
special email box to ensure a timely reply to the email and feedback investors' opinions and
suggestions to the board of directors and the management in a timely manner.
In addition, the company actively uses the exchange platform of Shenzhen Stock Exchange to
strengthen online communication with investors. The company responded to a total of 97 valid
questions on the exchange platform, effectively and timely responding to the concerns of investors
throughout 2018.
Secretary of the board of directors is responsible for the daily management of investor
relations
The company's investor relations management work is carried out under the leadership of the
Board of Directors, and is under the management and guidance of the securities regulatory authority
and Shenzhen stock exchange. Mr. Ye Wei, Secretary of the board of directors, as the person in
charge of investor relations management, is fully responsible for investor relations management. As
an important functional department of the company in investor relations management, the Office for
the Secretary of the board has made outstanding contributions in promoting the improvement of
corporate governance and creating good investor relations.
D. Information disclosure mechanism
The company has formulated a series of internal control systems on information disclosure
management and insider information confidentiality, such as the "Information Disclosure Affairs
Management Regulation" and "Insider Information Registration Management Regulation” in order to
regulate the company's information disclosure behavior, strengthen the management of information
disclosure affairs, ensure the fairness of information disclosure, and protect the legitimate rights and
interests of investors. The internal control system has regulated the principles, contents and
management of information disclosure affairs in detail, and has also improved the staff's awareness of
confidentiality of insider information, making the company's information disclosure affairs rule-based,
providing a regulatory basis for the company to prevent and control insider trading.
The company has always strictly controlled the quality of information disclosure and the work of
insider information in accordance with relevant laws and regulations and the provisions of the
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2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
company's system to ensure that stakeholders and investors can timely obtain the company's
operating trends and progress on major issues, and try their best to reduce illegal acts such as insider
trading that may be caused by asymmetric information, thus ensuring the legitimate rights and
interests of investors.
The company disclosed 4 periodic reports and 102 interim announcements in 2018. In addition to
the announcement of the company's "Three Meetings" resolution, the company also made continuous
progress announcements on the company's employee stock ownership plan and the sale of auto parts
companies in each current year.
In addition, the company has made timely announcements on the revision of the Articles of
Association, changes in accounting policies, implementation of rights and interest distribution,
changes in directors and supervisors, etc. to ensure the truthfulness, completeness and accuracy of
information disclosure, better fulfill the information disclosure obligations of listed companies, and
ensure the timeliness of information disclosure.
3. Integrity, compliance and anti-corruption
Honesty and compliance is the management philosophy of 37 Interactive Entertainment from top
to bottom. Since its establishment, 37 Interactive Entertainment has strictly followed the concept of
business integrity management, and continuously conveyed 37 Interactive Entertainment's values and
integrity principles to employees, suppliers and customers.
The company has issued the "37 Interactive Entertainment Procurement System", which
regulates the procurement process in detail, defines the procurement responsibilities of all
departments of the company and the corresponding supervision and audit mode, specifies the
selection and evaluation procedures of suppliers, implements appropriate internal audit supervision
and control over the procurement process, and puts forward honesty requirements for suppliers. It is
strictly prohibited for procurement personnel and all personnel involved in procurement activities from
accepting any form of kickbacks, cash, monetary gift, tourism, catering, gifts and entertainment from
suppliers, so as to ensure that the materials/services purchased comply with the requirements of
national laws and regulations, company policies, internal audit system and legal system, and realize
maximum cost-effectiveness.
The company has established a relatively complete and effective internal control system. It has
launched the "Internal Control Management System-Enterprise System Management Standard of 37
Interactive Entertainment" and "Internal Control Management System-Outsourcing Management
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2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
Standard of 37 Interactive Entertainment ". It has established the system's internal control and
necessary internal supervision mechanism from the company level to each business process level.
In order to ensure the healthy and stable development of the company and promote the smooth
implementation of various tasks, the internal control and audit department of the group has
continuously improved relevant systems, further established and improved the anti-corruption
management system, and through risk-oriented internal audit, pointed out systemic risks, blocked
management loopholes, and reduced or even eliminated fraud opportunities in 2018.
The company encourages employees, suppliers and customers to participate in supervision and
reporting, and has established and published a reporting email. Add a clean clause in the company's
cooperative suppliers and require the newly selected suppliers to sign a declaration of integrity.
Meanwhile, the company severely investigated and dealt with all kinds of violations of laws and
regulations, and strengthened the education and publicity of employees' honesty, thus creating a good
working environment and atmosphere of honesty, self-discipline and dedication.
The Department of Internal Control and Audit will continue to work from three aspects in 2019:
1) Step up efforts to promote the internal control system and the construction of enterprise
culture, build a firewall for enterprise risk management, and eradicate the foundations for
illegal and fraudulent personnel.
2) Continuously strengthen the self-discipline construction of the audit team, enhance the anti-
fraud awareness of audit supervisors and the ability to find fraud clues;
3) Step up efforts to investigate and punish those who violate regulations and commit fraud,
increase the cost of such violations and fraud, and deter those who violate regulations and
commit fraud.
These three points go hand in hand to protect the company's bright and clean corporate culture.
4. Intellectual property rights and fair competition
The company kept up with market trends and continued to frequently monitor the entire industry
in 2018. The company accurately responds to market fluctuations and actively embraces industry
changes through regular monitoring projects, multi-channel and multi-level monitoring methods.
In view of the increasingly mature game market, the company has continuously strengthened the
protection of intellectual property rights and other related rights, increased investment in intellectual
property rights protection and other aspects, led by responsible departments and coordinated by
multiple departments. In 2018, the number of registered trademarks and copyright applications filed by
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2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
the company increased significantly.
In view of the fact that some enterprises or individuals, driven by interests, ignore laws and
regulations, adopt illegal means or methods to disrupt the market order and infringe upon the rights
and interests of others, which have caused extremely bad influence on the development of the
industry, the comapny respects the legitimate rights and interests of others while adhering to the legal
operation of service users, always attaches importance to the protection of its own legitimate rights
and interests, and will not tolerate and condone any acts that disturb the market order and infringe
upon the legitimate rights and interests.
In the process of long-term struggle against illegal acts, the company has initially formed a
complete set of three-dimensional strike system, relying on the relevant national administrative and
judicial departments, step by step, in accordance with the law through administrative complaints, civil
litigation or criminal means to achieve effective protection of legitimate rights and interests.
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2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
IV. Environmental Topics
In order to promote energy conservation, improve the company's energy utilization efficiency and
economic benefits, and meet the energy needs of the company's production and operation, the
company actively responded to the relevant laws and regulations and the call for energy conservation
and emission reduction, and formulated " Office Workplace Management Regulations of 37 Interactive
Entertainment" and "Office Energy Conservation and Emission Reduction Guidance Plan and Detailed
Rules of 37 Interactive Entertainment". The company implemented energy conservation and emission
reduction measures in all aspects of production and operation, striving to reduce the energy
consumption of the enterprise and increase the output value of unit energy consumption.
1. Control increment and reduce energy consumption
The company actively tries to reduce energy consumption by moderating the usage of air
conditioning. During the peak hot summer temperature periods, all air conditioning units shall be set at
a temperature no lower than 26 degrees. During winter we advise our employees to seek alternative
means of keeping warm and to not use air conditioning.
The company installs and uses energy-saving lamps in all workplaces to save energy
consumption and prolong the service life of lamps.
2. Vigorously implement garbage sorting and recycling
The garbage classification, meal garbage classification, recycling of recyclable items are required
to be implemented by the cleaning personnel of the company, and the classification of harmful or
pollutants and regular centralized to be treated by street sanitation stations in accordance with
national promotion.
3. Hold 37 Green Week and advocate for energy saving
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the Chinese version of this Translation, the Chinese version shall prevail.
2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
During World Earth Day in April and World Environment Day in June, the company held the “37
Green Week” to improve employees' awareness of environmental protection, promote rational use of
resources, promote the usage of recycling and improve the efficiency of corporate resource utilization
for environmental protection. 37 Green Week activities included: Garbage sorting including the
disposing of food correctly, saving water, workspace tidiness and low carbon travel, etc.
Thanks to the efforts of the company's administrative department, the electricity consumption in
2018 was 3,421,805 kilowatt-hours, a decrease of 5.1% compared with the 3,607,131 kilowatt-hours
in 2017.
2017 2018 Rate of growth
Operating Income (Yuan) 6,188,828,116.75 7,632,679,668.47 23.3%
Annual electricity
3,607,131.00 3,421,805.00 -5.1%
consumption (kWh)
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36 the Chinese version of this Translation, the Chinese version shall prevail.
2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
V. Benchmarking the United Nations 2030 Sustainable Development Goals
The 2015 United Nations Summit issued the 2030 Sustainable Development Goals which
established 17 sustainable development goals and called on all countries to work together to eradicate
all forms of poverty, achieve equality and address climate change globally by 2030. At the same time,
the agenda encourages enterprises to participate extensively and draws up guidelines for enterprises
to take action.
37 Interactive Entertainment always regards the sustainable development goal as its action guide
and makes its own contribution to the realization of the sustainable development goal.
37 Interactive Entertainment has also made its own contribution to some applicable targets in the
sustainable development goals:
Target Contribution of 37 Interactive Entertainment
1. Eliminate all forms of poverty in The company contributed to the needs of poor high
the world school students.
The company has provided financial assistance to
1,133 senior high school students in remote areas,
helping families reduce their financial burden.
3. Ensure a healthy lifestyle and The company contributed to the health of
promote the well-being of people of employees.
all ages. The company provides physical examinations for
employees, organize employee sports clubs,
promote "sports fitness culture", and effectively
protect and promote the physical and mental health
of employees.
4. Ensure inclusive and fair quality The company contributed to high school education
education so that all people can in remote areas.
enjoy lifelong learning 1,133 high school students in remote areas have
opportunities. been funded, including:
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2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
The ratio of aided girls to boys is 1.79: 1, which
promotes women's right to study.
The company contributed to academic reading in
remote areas.
The company’s philanthropic program has
established nearly 500 book corners, benefiting
40,000 teachers and students, and filling the gap
between urban and rural education to a certain
extent and promoting students in remote areas to
enjoy high-quality educational resources.
5. Achieving gender equality and In the process of poverty alleviation and precise
empowering all women and girls assistance, emphasis is placed on the assistance
to girls. Among 1,133 high school students in
financial difficulties, the ratio of girls to boys is 1.79:
1, which greatly guarantees the right of girls in
remote areas to enjoy equal opportunities in
education.
8. Promote sustained, inclusive Revenue reached 7.63 billion Yuan with steady
and sustainable economic growth, growth in 2018.
full and productive employment To ensure that employees enjoy a competitive
and decent work for all salary level in the industry, while providing legal
social security and funds for employees, it will
effectively protect employees' various welfare
benefits, promote employees' physical and mental
health, promote talent growth and development,
and enable employees to enjoy their jobs with
dignity, health and happiness.
12. Adoption of sustainable In 2018, the company's electricity consumption
consumption and production decreased by 5.14% while operating income
patterns increased by 23.2%.
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2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
VI. Benchmarking GRI Standards Indicators
This report references GRI Sustainable Reporting Standards (GRI standards). Selected indicators
(below) suitable for 37 Interactive Entertainment are referenced accordingly.
1. General standards
GRI 102: General disclosure
GRI Standard Indicator Disclosures Index, Description and Supplement
1. Organizational overview
102-1 Name of the organization See "Company profile "
102-2 Activities, brands, products and See "Company profile "
services
102-3 Location of headquarters See "Company profile "
102-4 Location of operations See "Company profile "
102-5 Ownership and Legal Form See “2018 Annual Report of Wuhu Shunrong Sanqi
Interactive Entertainment Network Technology Co.,
Ltd.”
102-6 Market served See "Company profile "
102-7 Scale of the organization See "Employee Structure".
102-8 Information on employees and other See "Company profile "
workers
2. Strategy
102-14 Statement from senior decision-maker See "Social Responsibility Management Process
System".
102-15 Key impacts, risks, and opportunities See "Stakeholder Analysis".
3. Morality and Integrity
102-16 Values, principles, standards and See "Integrity, compliance, and anti-corruption" and
norms of behavior "Intellectual property rights and fair competition".
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the Chinese version of this Translation, the Chinese version shall prevail.
2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
102-17 Mechanisms for advice and concerns See "Integrity, compliance and anti-corruption" and
about ethics "Intellectual property rights and fair competition".
4. Control
102-18 Governance structure See "Social responsibility management process
system".
102-19 Delegating authority See "Social responsibility management process
system".
102-20 Executive-level responsibility for See "Social responsibility management process
economic, environmental, and social topics system".
102-21 Consulting stakeholders on economic, See "Stakeholder Analysis".
environmental, and social topics
102-22 Composition of the highest See "Social responsibility management process
governance body and its committees system".
102-23 Chair of the highest governance body See "Social responsibility management process
system".
102-24 Nominating and selecting the highest See "Social responsibility management process
governance body system".
102-26 Role of highest governance body in See "Social responsibility management process
setting purpose, values, and strategy system".
102-27 Collective knowledge of highest See "Social responsibility management process
governance body system".
102-29 Identifying and managing economic, See "Stakeholder Analysis".
environmental, and social impacts
102-31 Review of economic, environmental See "Social responsibility management process
and social topics system".
102-32 Highest governance body's role in See "Social responsibility management process
sustainability reporting system".
102-33 Communicating critical concerns See "Social responsibility management process
system".
102-34 Nature and total number of critical See "Material topics".
concerns
102-35 Remuneration policies See "Perfection of the corporate governance
structure".
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40 the Chinese version of this Translation, the Chinese version shall prevail.
2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
102-36 Process for determining remuneration See "Perfection of the corporate governance
structure".
5. Stakeholder participation
102-40 List of stakeholder groups See "Stakeholder Analysis".
102-42 Identifying and selecting stakeholders See "Stakeholder Analysis".
102-43 Approach to stakeholder engagement See "Stakeholder Analysis".
102-44 Key topics and concerns raised See "Stakeholder Analysis".
6. Reporting practices
102-45 Entities included in the consolidated See “2018 Annual Report of Wuhu Shunrong Sanqi
financial statements Interactive Entertainment Network Technology Co.,
Ltd.”
102-46 Defining report content and topic See "Material topics".
boundaries
102-47 List of material topics See "Material topics".
102-48 Restatements of information See “2018 Annual Report of Wuhu Shunrong Sanqi
Interactive Entertainment Network Technology Co.,
Ltd.”
102-49 Changes in reporting The report added mateiral topics such as "data
security" and "user privacy protection" and made
more detailed statements on issues such as
employee rights and development, protection of
minors, and functional games.
102-50 Reporting period See "instructions".
102-51 Date of most recent report See "instructions".
102-52 Reporting cycle See "instructions".
102-53 Contact point for questions regarding See "instructions".
the report
102-54 Claims of reporting in accordance with See "Benchmarking GRI Standards Indicators"
the GRI Standards
102-55 GRI content index See "Benchmarking GRI Standards Indicators"
GRI 103: Management approach
GRI Standard Indicator Disclosures Index, Description and Supplement
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2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
103-1 Explanation for the material topic and See "Material topics".
its boundary
2. Economic topics
GRI 201: Economic performance
GRI Standard Indicator Disclosures Index, Description and Supplement
Management approach disclosure See “2018 Annual Report of Wuhu Shunrong Sanqi
Interactive Entertainment Network Technology Co.,
Ltd.”
201-1 Direct economic value generated and Se "Be responsible to investors and protect their
distributed rights and interests" and “2018 Annual Report of
Wuhu Shunrong Sanqi Interactive Entertainment
Network Technology Co., Ltd.”
201-4 Financial assistance received from See “2018 Annual Report of Wuhu Shunrong Sanqi
government Interactive Entertainment Network Technology Co.,
Ltd.”
GRI 202: Market presence
GRI Standard Indicator Disclosures Index, Description and Supplement
Management approach disclosure See “2018 Annual Report of Wuhu Shunrong Sanqi
Interactive Entertainment Network Technology Co.,
Ltd.”
GRI 204: Procurement practices
GRI Standard Indicator Disclosures Index, Description and Supplement
Management approach disclosure See "Integrity, compliance and anti-corruption".
GRI 205: Anti-corruption
GRI Standard Indicator Disclosures Index, Description and Supplement
Management approach disclosure See “Integrity, compliance and anti-corruption”.
205-1 Operations assessed for risks related to See “Integrity, compliance and anti-corruption”.
corruption
205-2 Communication and training about anti- See “Integrity, compliance and anti-corruption”.
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Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
corruption policies and procedures
GRI 206: Anti-competitive behavior
GRI Standard Indicator Disclosures Index, Description and Supplement
Management approach disclosure See "Intellectual property rights and fair competition”.
206-1 Legal actions for anti-competitive See "Intellectual property rights and fair competition”.
behavior, anti-trust and monopoly practices
3. Environmental topics
GRI 302: Energy
GRI Standard Indicator Disclosures Index, Description and Supplement
Management approach disclosure See "Environmental topic".
302-1 Energy consumption within the See "Environmental topic".
organization
302-4 Reduction of energy consumption See "Environmental topic".
4. Social topics
GRI 401: Employment
GRI Standard Indicator Disclosures Index, Description and Supplement
Management approach disclosure See "Employee welfare, rights and development
measures".
401-2 Benefits provided to full-time employees See "Employee benefits".
that are not provided to temporary or part-time
employees
401-3 Parental leave See "Employee rights".
GRI 402: Labor/management relations
GRI Standard Indicator Disclosures Index, Description and Supplement
Management approach disclosure See "Employee welfare, rights and development
measures".
GRI 403: Occupational health and safety
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2018 Social Responsibility Report
Wuhu Shunrong Sanqi Interactive Entertainment Network Technology Co., Ltd.
GRI Standard Indicator Disclosures Index, Description and Supplement
Management approach disclosure See "Employee welfare, rights and development
measures".
403-2 Type of Work Injury See "Occupational health and safety".
403-3 Occupational health services See "Occupational health and safety".
GRI 404: Training and education
GRI Standard Indicator Disclosures Index, Description and Supplement
Management approach disclosure See "Employee welfare, rights and development
measures".
404-1 Average hours of training per year per See "Employee career development".
employee
404-2 Programs for upgrading employee skills See "Employee career development".
and transition assistance programs
404-3 Percentage of employees receiving See "Employee career development".
regular performance and career development
reviews
GRI 405: Diversity and equal opportunity
GRI Standard Indicator Disclosures Index, Description and Supplement
Management approach disclosure See "Employee welfare, rights and development
measures".
GRI 406: Non-discrimination
GRI Standard Indicator Disclosures Index, Description and Supplement
Management approach disclosure See "Employee welfare, rights and development
measures".
406-1 Incidents of discrimination and See "Employee rights".
corrective actions taken
GRI 408: Child labor
GRI Standard Indicator Disclosures Index, Description and Supplement
Management approach disclosure See "Employee rights".
GRI 409: Forced or compulsory labor
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GRI Standard Indicator Disclosures Index, Description and Supplement
Management approach disclosure See "Employee welfare, rights and development
measures".
409-1 Operations and suppliers at significant See "Employee rights".
risk for incidents of forced or compulsory labor
GRI 416: Customer health and safety
GRI Standard Indicator Disclosures Index, Description and Supplement
Management approach disclosure See “Protect health of minors and create a fit online
game environment” and “Strengthen data security to
ensure user data privacy”.
416-1 Assessment of the health and safety See “Protect health of minors and create a fit online
impacts of product and service categories game environment” and “Strengthen data security to
ensure user data privacy”.
GRI 417: Marketing and labeling
GRI Standard Indicator Disclosures Index, Description and Supplement
Management approach disclosure See “Protect health of minors and create a fit online
game environment” and “Strengthen data security to
ensure user data privacy”.
417-1 Requirements for product and service See “Protect health of minors and create a fit online
information and labeling game environment” and “Strengthen data security to
ensure user data privacy”.
GRI 418: Customer privacy
GRI Standard Indicator Disclosures Index, Description and Supplement
Management approach disclosure See “Protect health of minors and create a fit online
game environment” and “Strengthen data security to
ensure user data privacy”.
(The End)
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