中鲁B:2017年半年度财务报告(英文版)

山东省中鲁远洋渔业股份有限公司
      2017 年半年度财务报告
SHANDONG ZHONGLU OCEANIC FISHERIES CO.,LTD
           二○一七年八月二十九日
          I. Audit reports
          Whether the semi-annual report was audited or not
          □ Yes √ No
          The financial report of this semi-annual report was unaudited
          II. Financial statements
          Units in Notes of Financial Statements is RMB
          1. Consolidated balance sheet
          Prepared by: Shandong Zhonglu Oceanic Fisheries Co., Ltd
                                                              2017-06-30
                                                                                                        In RMB
                      Item                                Closing balance                   Opening balance
Current assets:
       Monetary funds                                                     102,884,493.47                 129,521,203.29
       Settlement provisions
       Capital lent
       Financial assets measured by fair
value and with variation reckoned into
current gains/losses
       Derivative financial liability
       Notes receivable
       Accounts receivable                                                  41,823,925.36                 42,679,066.65
       Accounts paid in advance                                              9,416,627.12                     7,787,603.40
       Insurance receivable
       Reinsurance receivables
     Contract reserve of reinsurance
receivable
       Interest receivable
       Dividend receivable
       Other receivables                                                     6,957,211.27                     9,384,672.16
       Purchase restituted finance asset
       Inventories                                                        211,862,695.24                 154,636,414.05
       Divided into assets held for sale
       Non-current asset due within one
year
     Other current assets                       33,268,828.90     23,748,949.31
Total current assets                           406,213,781.36    367,757,908.86
Non-current assets:
     Loans and payments on behalf
     Finance asset available for sales
     Held-to-maturity investment
     Long-term account receivable
     Long-term equity investment
     Investment property                        32,309,303.25     32,338,392.18
     Fixed assets                              399,550,767.01    415,683,489.86
     Construction in progress                  152,869,726.81      4,066,989.68
     Engineering material
     Disposal of fixed asset                        -15,678.87
     Productive biological asset
     Oil and gas asset
     Intangible assets                          12,916,096.12     13,107,393.57
    Expense         on    Research      and
Development
     Goodwill
    Long-term          expenses    to    be
                                                   622,977.35
apportioned
     Deferred income tax asset
     Other non-current asset                      2,285,524.92     2,285,524.92
Total non-current asset                        600,538,716.59    467,481,790.21
Total assets                                  1,006,752,497.95   835,239,699.07
Current liabilities:
     Short-term loans                          168,666,366.61     54,961,454.59
     Loan from central bank
    Absorbing deposit and interbank
deposit
     Capital borrowed
     Financial liability measured by fair
value and with variation reckoned into
current gains/losses
     Derivative financial liability
     Notes payable
     Accounts payable                          103,110,640.88     59,173,732.88
       Accounts received in advance               7,948,258.28    19,940,900.11
     Selling        financial     asset    of
repurchase
   Commission               charge        and
commission payable
       Wage payable                              20,956,213.42    30,612,403.76
       Taxes payable                              1,183,524.32     1,344,879.85
       Interest payable                                               86,747.10
       Dividend payable
       Other accounts payable                     7,608,658.44     5,221,040.82
       Reinsurance payables
       Insurance contract reserve
       Security trading of agency
       Security sales of agency
       Divided into liability held for sale
       Non-current liabilities due within 1
                                                   433,292.74       866,585.48
year
Other current liabilities
Total current liabilities                       309,906,954.69   172,207,744.59
Non-current liabilities:
       Long-term loans
       Bonds payable
         Including: preferred stock
                 Perpetual capital
securities
       Long-term account payable
       Long-term wages payable                    1,699,751.84     1,699,751.84
       Special accounts payable
       Projected liabilities
       Deferred income                           10,572,454.62    10,572,454.62
       Deferred income tax liabilities
       Other non-current liabilities
Total non-current liabilities                    12,272,206.46    12,272,206.46
Total liabilities                               322,179,161.15   184,479,951.05
Owner’s equity:
       Share capital                            266,071,320.00   266,071,320.00
       Other equity instrument
       Including: preferred stock
                  Perpetual capital
securities
     Capital public reserve                                      279,998,206.82                    279,998,206.82
     Less: Inventory shares
     Other comprehensive income                                         -310,326.09                     -665,059.07
     Reasonable reserve
     Surplus public reserve                                           21,908,064.19                 21,908,064.19
     Provision of general risk
     Retained profit                                                  82,351,322.64                 50,349,731.78
Total owner’s equity attributable to
                                                                 650,018,587.56                    617,662,263.72
parent company
Minority interests                                                    34,554,749.24                 33,097,484.30
Total owner’s equity                                            684,573,336.80                    650,759,748.02
Total liabilities and owner’s equity                           1,006,752,497.95                   835,239,699.07
    Legal Representative: Chi Weizhen
    Person in Charge of Accounting: Yue Juan
    Person in Charge of Accounting Department: Lei Lixin
    2. Balance Sheet of Parent Company
                                                                                                  In RMB
                     Item                           Closing balance                   Opening balance
Current assets:
     Monetary funds                                                   10,826,333.59                 43,007,956.89
     Financial assets measured by fair
value and with variation reckoned into
current gains/losses
     Derivative financial liability
     Notes receivable
     Accounts receivable                                              10,152,444.68                 13,062,916.00
     Account paid in advance                                           6,400,994.97                     734,980.49
     Interest receivable
     Dividends receivable
     Other receivables                                                63,207,947.36                 39,910,882.35
     Inventories                             32,853,149.11    35,431,052.28
     Divided into assets held for sale
     Non-current assets maturing within
one year
     Other current assets                       847,311.46      848,434.74
Total current assets                        124,288,181.17   132,996,222.75
Non-current assets:
     Available-for-sale financial assets
     Held-to-maturity investments
     Long-term receivables                    6,286,413.22     6,078,056.38
     Long-term equity investments           204,189,455.23   204,189,455.23
     Investment property                     32,309,303.25    32,338,392.18
     Fixed assets                            82,806,461.10    89,752,865.40
     Construction in progress
     Project materials
     Disposal of fixed assets
     Productive biological assets
     Oil and natural gas assets
     Intangible assets                           23,204.37        22,566.74
     Research and development costs
     Goodwill
     Long-term deferred expenses               622,977.35
     Deferred income tax assets
     Other non-current assets                  285,524.92       285,524.92
Total non-current assets                    326,523,339.44   332,666,860.85
Total assets                                450,811,520.61   465,663,083.60
Current liabilities:
     Short-term borrowings
     Financial liability measured by fair
value and with variation reckoned into
current gains/losses
     Derivative financial liability
     Notes payable
     Accounts payable                         5,677,586.89    10,161,960.89
     Accounts received in advance             1,448,468.77     2,530,163.00
       Wage payable                            10,703,006.68    15,154,703.75
       Taxes payable                             518,656.55       242,626.86
       Interest payable
       Dividend payable
       Other accounts payable                  71,745,021.05    81,881,163.31
       Divided into liability held for sale
       Non-current liabilities due within 1
year
       Other current liabilities
Total current liabilities                      90,092,739.94   109,970,617.81
Non-current liabilities:
       Long-term loans
       Bonds payable
         Including: preferred stock
                 Perpetual capital
securities
       Long-term account payable
       Long-term wages payable                  1,188,790.98     1,188,790.98
       Special accounts payable
       Projected liabilities
       Deferred income
       Deferred income tax liabilities
       Other non-current liabilities
Total non-current liabilities                   1,188,790.98     1,188,790.98
Total liabilities                              91,281,530.92   111,159,408.79
Owners’ equity:
       Share capita                           266,071,320.00   266,071,320.00
       Other equity instrument
         Including: preferred stock
                 Perpetual capital
securities
       Capital public reserve                 279,115,900.17   279,115,900.17
       Less: Inventory shares
       Other comprehensive income
       Reasonable reserve
      Surplus reserve                                     19,184,672.34                      19,184,672.34
      Retained profit                                   -204,841,902.82                     -209,868,217.70
Total owner’s equity                                    359,529,989.69                     354,503,674.81
Total liabilities and owner’s equity                    450,811,520.61                     465,663,083.60
          3. Consolidated Profit Statement
                                                                                            In RMB
                    Item                     Current Period                   Last Period
I. Total operating income                                440,178,091.75                     407,890,793.78
Including: Operating income                              440,178,091.75                     407,890,793.78
      Interest income
      Insurance gained
      Commission charge and commission
income
II. Total operating cost                                 406,876,087.35                     398,752,608.95
Including: Operating cost                                378,367,434.21                     382,196,992.60
      Interest expense
      Commission charge and commission
expense
      Cash surrender value
      Net amount of expense of
compensation
      Net amount of withdrawal of
insurance contract reserve
      Bonus expense of guarantee slip
      Reinsurance expense
      Operating tax and extras                                 1,705,436.85                     240,450.97
      Sales expenses                                           4,081,303.48                    2,738,457.38
      Administration expenses                                 16,193,699.81                  14,381,558.82
      Financial expenses                                       6,517,713.00                    -804,850.82
      Losses of devaluation of asset                             10,500.00
      Add: Changing income of fair
value(Loss is listed with “-”)
      Investment income (Loss is listed
with “-”)
         Including: Investment income on
affiliated company and joint venture
         Exchange income (Loss is listed
with “-”)
         Other income
III. Operating profit     (Loss is listed with
                                                 33,302,004.40    9,138,184.83
“-”)
         Add: Non-operating income                 910,977.92     3,426,238.02
              Including: Disposal gains of
                                                   262,776.33     2,672,766.60
non-current asset
         Less: Non-operating expense               300,402.16         9,680.71
              Including: Disposal loss of
                                                       399.90         9,680.71
non-current asset
IV. Total Profit (Loss is listed with “-”)     33,912,580.16   12,554,742.14
         Less: Income tax expense                  453,724.36      264,529.60
V. Net profit (Net loss is listed with “-”)    33,458,855.80   12,290,212.54
     Net profit attributable to owner’s of
                                                 32,001,590.86   11,560,370.58
parent company
   Minority shareholders’ gains and
                                                  1,457,264.94     729,841.96
losses
VI. Net after-tax of other comprehensive
                                                   354,732.98      -182,005.93
income
   Net after-tax of other comprehensive
income attributable to owners of parent            354,732.98      -182,005.93
company
          (I) Other comprehensive income
items which will not be reclassified
subsequently to profit of loss
                1. Changes as a result of
re-measurement of net defined benefit
plan liability or asset
                2. Share of the other
comprehensive income of the investee
accounted for using equity method which
will not be reclassified subsequently to
profit and loss
           (II) Other comprehensive income
items which will be reclassified                   354,732.98      -182,005.93
subsequently to profit or loss
          1. Share of the other
comprehensive income of the investee
accounted for using equity method which
will be reclassified subsequently to profit
or loss
               2. Gains or losses arising
from changes in fair value of
available-for-sale financial assets
               3. Gains or losses arising
from reclassification of held-to-maturity
investment as available-for-sale financial
assets
               4. The effect hedging portion
of gains or losses arising from cash flow
hedging instruments
               5. Translation differences
arising on translation of foreign currency                                      354,732.98                                -182,005.93
financial statements
               6. Other
  Net after-tax of other comprehensive
income attributable to minority
shareholders
VII. Total comprehensive income                                           33,813,588.78                                12,108,206.61
     Total comprehensive income
                                                                          32,356,323.84                                11,378,364.65
attributable to owners of parent Company
     Total comprehensive income
                                                                           1,457,264.94                                   729,841.96
attributable to minority shareholders
VIII. Earnings per share:
         (i) Basic earnings per share                                                 0.12                                       0.04
         (ii) Diluted earnings per share                                              0.12                                       0.04
           Enterprise combine under the same control in the Period, the combined party realized net profit of 0 Yuan before
           combination, and realized 0 Yuan at last period for combined party
           Legal Representative: Chi Weizhen
           Person in Charge of Accounting: Yue Juan
           Person in Charge of Accounting Department: Lei Lixin
            4. Profit Statement of Parent Company
                                                                                               In RMB
                     Item                       Current Period                   Last Period
I. Operating income                                              59,539,271.88                  14,143,001.64
         Less: Operating cost                                    43,838,067.27                  17,632,539.08
              Operating tax and extras                             452,021.58                      239,862.47
              Sales expenses                                      2,225,689.69
              Administration expenses                             8,254,821.34                   7,408,255.61
              Financial expenses                                   -262,508.81                    -697,673.61
              Losses of devaluation of asset                        10,500.00
         Add: Changing income of fair
value(Loss is listed with “-”)
            Investment income (Loss is
listed with “-”)
            Including: Investment income
on affiliated company and joint venture
            Other income
II. Operating profit     (Loss is listed
                                                                  5,020,680.81                  -10,439,981.91
with “-”)
   Add: Non-operating income                                       266,306.33                      302,000.00
              Including: Disposal gains of
                                                                   262,576.33
non-current asset
         Less: Non-operating expense                               260,672.26                        7,516.91
              Including: Disposal loss of
                                                                                                     7,516.91
non-current asset
III. Total Profit (Loss is listed with
                                                                  5,026,314.88                  -10,145,498.82
“-”)
         Less: Income tax expense
IV. Net profit (Net loss is listed with
                                                                  5,026,314.88                  -10,145,498.82
“-”)
V. Net after-tax of other comprehensive
income
          (I) Other comprehensive income
items which will not be reclassified
subsequently to profit of loss
                1. Changes as a result of
re-measurement of net defined benefit
plan liability or asset
              2. Share of the other
comprehensive income of the investee
accounted for using equity method
which will not be reclassified
subsequently to profit and loss
       (II) Other comprehensive income
items which will be reclassified
subsequently to profit or loss
              1. Share of the other
comprehensive income of the investee
accounted for using equity method
which will be reclassified subsequently
to profit or loss
              2. Gains or losses arising
from changes in fair value of
available-for-sale financial assets
              3. Gains or losses arising
from reclassification of held-to-maturity
investment as available-for-sale
financial assets
              4. The effect hedging
portion of gains or losses arising from
cash flow hedging instruments
              5. Translation differences
arising on translation of foreign
currency financial statements
              6. Other
VI. Total comprehensive income                                  5,026,314.88                  -10,145,498.82
VII. Earnings per share:
       (i) Basic earnings per share
       (ii) Diluted earnings per share
         5. Consolidated Cash Flow Statement
                                                                                             In RMB
                    Item                       Current Period                  Last Period
I. Cash flows arising from operating
activities:
     Cash received from selling
                                                            405,702,926.35                   405,899,058.35
commodities and providing labor
services
       Net increase of customer deposit
and interbank deposit
       Net increase of loan from central
bank
       Net increase of capital borrowed
from other financial institution
       Cash received from original
insurance contract fee
  Net cash received from reinsurance
business
   Net increase of insured savings and
investment
       Net increase of amount from
disposal financial assets that measured
by fair value and with variation
reckoned into current gains/losses
       Cash received from interest,
commission charge and commission
       Net increase of capital borrowed
       Net increase of returned business
capital
       Write-back of tax received              34,892,340.04    25,846,875.82
       Other cash received concerning
                                               43,104,120.67    37,108,348.64
operating activities
Subtotal of cash inflow arising from
                                              483,699,387.06   468,854,282.81
operating activities
       Cash     paid     for    purchasing
commodities       and    receiving    labor   350,844,053.24   326,653,829.29
service
       Net increase of customer loans and
advances
       Net increase of deposits in central
bank and interbank
       Cash paid for original insurance
contract compensation
       Cash paid for interest, commission
charge and commission
       Cash paid for bonus of guarantee
slip
       Cash paid to/for staff and workers     56,040,388.83     51,459,471.79
       Taxes paid                              4,539,217.08      7,096,981.37
       Other   cash    paid     concerning
                                              54,399,571.37     67,410,418.78
operating activities
Subtotal of cash outflow arising from
                                             465,823,230.52    452,620,701.23
operating activities
Net cash flows arising from operating
                                              17,876,156.54     16,233,581.58
activities
II. Cash flows arising from investing
activities:
       Cash received from recovering
investment
       Cash received from investment
income
       Net cash received from disposal of
fixed, intangible and other long-term            312,482.88      5,006,095.00
assets
       Net cash received from disposal of
subsidiaries and other units
       Other cash received concerning
investing activities
Subtotal of cash inflow from investing
                                                 312,482.88      5,006,095.00
activities
       Cash paid for purchasing fixed,
                                             153,930,421.99      8,087,541.71
intangible and other long-term assets
       Cash paid for investment
       Net increase of mortgaged loans
       Net cash received from
subsidiaries and other units obtained
       Other   cash    paid     concerning
                                                                    84,559.42
investing activities
Subtotal of cash outflow from investing
                                             153,930,421.99      8,172,101.13
activities
Net cash flows arising from investing
                                             -153,617,939.11    -3,166,006.13
activities
III. Cash flows arising from financing
activities
     Cash received from absorbing
investment
     Including: Cash received from
absorbing       minority      shareholders’
investment by subsidiaries
     Cash received from loans                               157,501,563.84                     19,589,731.78
     Cash received from issuing bonds
     Other cash received concerning
financing activities
Subtotal of cash inflow from financing
                                                            157,501,563.84                     19,589,731.78
activities
     Cash paid for settling debts                               44,521,400.44                  27,340,971.72
     Cash paid for dividend and profit
                                                                 2,542,753.91                   1,053,047.07
distributing or interest paying
     Including: Dividend and profit of
minority shareholder paid by
subsidiaries
     Other      cash   paid     concerning
financing activities
Subtotal of cash outflow from financing
                                                                47,064,154.35                  28,394,018.79
activities
Net cash flows arising from financing
                                                            110,437,409.49                     -8,804,287.01
activities
IV. Influence on cash and cash
equivalents due to fluctuation in                               -1,332,336.74                   3,081,029.40
exchange rate
V. Net increase of cash and cash
                                                            -26,636,709.82                      7,344,317.84
equivalents
     Add: Balance of cash and cash
                                                            128,737,661.78                     72,428,421.94
equivalents at the period -begin
VI. Balance of cash and cash
                                                            102,100,951.96                     79,772,739.78
equivalents at the period -end
         6. Cash Flow Statement of Parent Company
                                                                                              In RMB
                   Item                        Current Period                   Last Period
I. Cash flows arising from operating
activities:
     Cash received from selling
commodities and providing labor             16,987,592.08    37,549,036.30
services
     Write-back of tax received
     Other cash received concerning
                                            25,919,003.74     1,957,724.04
operating activities
Subtotal of cash inflow arising from
                                            42,906,595.82    39,506,760.34
operating activities
     Cash paid for purchasing
commodities and receiving labor             15,123,541.05     8,146,479.78
service
     Cash paid to/for staff and workers     14,657,227.96    12,905,058.54
     Taxes paid                                315,684.06     3,364,550.60
     Other    cash     paid    concerning
                                            44,713,882.83    42,287,457.92
operating activities
Subtotal of cash outflow arising from
                                            74,810,335.90    66,703,546.84
operating activities
Net cash flows arising from operating
                                            -31,903,740.08   -27,196,786.50
activities
II. Cash flows arising from investing
activities:
     Cash received from recovering
investment
     Cash received from investment
income
     Net cash received from disposal of
fixed, intangible and other long-term          287,282.88
assets
     Net cash received from disposal of
subsidiaries and other units
     Other cash received concerning
investing activities
Subtotal of cash inflow from investing
                                               287,282.88
activities
     Cash paid for purchasing fixed,
                                               543,090.00       125,056.87
intangible and other long-term assets
     Cash paid for investment
     Net      cash     received     from
subsidiaries and other units
     Other      cash   paid    concerning
investing activities
Subtotal of cash outflow from investing
                                                             543,090.00       125,056.87
activities
Net cash flows arising from investing
                                                            -255,807.12      -125,056.87
activities
III. Cash flows arising from financing
activities
     Cash received from absorbing
investment
     Cash received from loans
     Cash received from issuing bonds
     Other cash received concerning
financing activities
Subtotal of cash inflow from financing
activities
     Cash paid for settling debts                                           1,900,000.00
     Cash paid for dividend and profit
                                                                               15,856.43
distributing or interest paying
     Other      cash   paid    concerning
financing activities
Subtotal of cash outflow from financing
                                                                            1,915,856.43
activities
Net cash flows arising from financing
                                                                            -1,915,856.43
activities
IV. Influence on cash and cash
equivalents due to fluctuation in                             -22,076.10        -4,836.22
exchange rate
V. Net increase of cash and cash
                                                          -32,181,623.30   -29,242,536.02
equivalents
     Add: Balance of cash and cash
                                                          43,007,956.89    40,612,855.17
equivalents at the period -begin
VI. Balance of cash and cash
                                                          10,826,333.59    11,370,319.15
equivalents at the period -end
         7. Statement of Changes in Owners’ Equity (Consolidated)
         This Period
                                                                                                                In RMB
                                                                          This Period
                                                Owners’ equity attributable to parent company
                                        Other
                                   equity instrument
    Item                                                Less: Other                    Provisio          Minorit Total
                                      Perpet                               Reason
                                                   Capital Invento compre          Surplus n of Retaine         y     owners’
                          Share Prefer ual                                   able
                                      capita       reserve    ry   hensive         reserve general d profit interests equity
                                 red         Other                         reserve
                                         l                  shares income                    risk
                                stock
                                      securi
                                       ties
                          266,07
I. Balance at the                                      279,998           -665,05           21,908,    50,349, 33,097, 650,759
                          1,320.
end of the last year                                   ,206.82              9.07            064.19     731.78 484.30 ,748.02
             Add:
Changes         of
accounting policy
             Error
correction of the
last period
 Enterprise
 combine under
 the same control
               Other
II. Balance at the 266,07                              279,998           -665,05           21,908,    50,349, 33,097, 650,759
beginning of this 1,320.
                                                       ,206.82              9.07            064.19     731.78 484.30 ,748.02
year
III.       Increase/
Decrease in this                                                        354,732                       32,001, 1,457,2 33,813,
year (Decrease is                                                            .98                       590.86    64.94 588.78
listed with “-”)
  (i)            Total                                                  354,732                       32,001, 1,457,2 33,813,
comprehensive
                                                                             .98                       590.86    64.94 588.78
income
  (ii)      Owners’
devoted            and
decreased capital
1.Common shares
invested             by
shareholders
2. Capital invested
by holders of other
equity instruments
3.          Amount
reckoned           into
owners equity with
share-based
payment
4. Other
(III)        Profit
distribution
1. Withdrawal of
surplus reserves
2. Withdrawal of
general        risk
provisions
3. Distribution for
owners           (or
shareholders)
4. Other
(IV)       Carrying
forward internal
owners’ equity
1. Capital reserves
conversed        to
capital      (share
capital)
2. Surplus reserves
conversed        to
capital      (share
capital)
3. Remedying loss
with        surplus
reserve
4. Other
(V)     Reasonable
reserve
1. Withdrawal in
the report period
2. Usage in the
report period
(VI)Others
IV. Balance at the 266,07                             279,998            -310,32           21,908,   82,351, 34,554, 684,573
end of the report 1,320.
                                                       ,206.82              6.09            064.19   322.64 749.24 ,336.80
period
           Last Period
                                                                                                             In RMB
                                                                          Last Period
                                              Owners’ equity attributable to the parent Company
                                                                                                             Minorit
       Item                           Other                  Less: Other                    Provisio                  Total
                                                                            Reason                             y
                         Share equity instrument Capital Invento compre             Surplus n of Retaine interest owners’
                                                                              able                                   equity
                         capital Prefer Perpet       reserve   ry   hensive         reserve general d profit   s
                                               Other                        reserve
                                  red    ual                 shares income                    risk
                              stock capita
                                       l
                                    securi
                                     ties
                     266,07
I. Balance at the                            279,998   -34,029.   21,908,   -2,235,3 28,042, 593,750
                     1,320.
end of the last year                         ,206.82        26    064.19      38.96 285.19 ,507.98
             Add:
Changes         of
accounting policy
             Error
correction of the
last period
Enterprise
combine under the
same control
           Other
II. Balance at the 266,07                    279,998   -34,029.   21,908,   -2,235,3 28,042, 593,750
beginning of this 1,320.
                                             ,206.82        26    064.19      38.96 285.19 ,507.98
year
III.       Increase/
Decrease in this                                       -182,00              11,560, 729,841 12,108,
year (Decrease is                                         5.93               370.58     .96 206.61
listed with “-”)
  (i)            Total                                 -182,00              11,560, 729,841 12,108,
comprehensive
                                                          5.93               370.58     .96 206.61
income
  (ii)      Owners’
devoted            and
decreased capital
1.Common shares
invested             by
shareholders
2. Capital invested
by holders of other
equity instruments
3.          Amount
reckoned           into
owners equity with
share-based
payment
4 Other
(III)        Profit
distribution
1. Withdrawal of
surplus reserves
2. Withdrawal of
general        risk
provisions
3. Distribution for
owners          (or
shareholders)
4. Other
(IV)       Carrying
forward internal
owners’ equity
1. Capital reserves
conversed        to
capital      (share
capital)
2. Surplus reserves
conversed        to
capital      (share
capital)
3. Remedying loss
with        surplus
reserve
4. Other
(V) Reasonable
reserve
1. Withdrawal in
the report period
2. Usage in the
report period
(VI)Others
IV. Balance at the 266,07                            279,998               -216,03         21,908,         9,325,0 28,772, 605,858
end of the report 1,320.
                                                      ,206.82                 5.19         064.19            31.62 127.15 ,714.59
period
           8. Statement of Changes in Owners’ Equity (Parent Company)
           This Period
                                                                                                                     In RMB
                                                                            This Period
                                           Other
                                     equity instrument
                                                                                       Other                                    Total
          Item                            Perpetu                            Less:
                         Share                                  Capital              comprehe Reasonab Surplus     Retaine
                                             al                            Inventory                                          owners’
                         capital Preferre                       reserve                nsive le reserve reserve    d profit
                                          capital    Other                   shares                                            equity
                                 d stock                                              income
                                          securiti
                                            es
                                                                                                                   -209,86
I. Balance at the 266,071,                                   279,115,9                                 19,184,67              354,503,6
                                                                                                                   8,217.7
end of the last year 320.00                                        00.17                                    2.34                 74.81
     Add: Changes
of     accounting
policy
    Error
correction of the
last period
           Other
II. Balance at the 266,071,                           -209,86
                              279,115,9   19,184,67             354,503,6
beginning of this                                     8,217.7
                     320.00      00.17         2.34                74.81
year
III.       Increase/
Decrease in this                                      5,026,3 5,026,314
year (Decrease is                                      14.88          .88
listed with “-”)
  (i)            Total                                5,026,3 5,026,314
comprehensive
                                                       14.88          .88
income
  (ii)      Owners’
devoted            and
decreased capital
1.Common shares
invested             by
shareholders
2. Capital invested
by holders of other
equity instruments
3.          Amount
reckoned           into
owners equity with
share-based
payment
4. Other
(III)         Profit
distribution
1. Withdrawal of
surplus reserves
2. Distribution for
owners (or
shareholders)
3. Other
(IV)       Carrying
forward internal
owners’ equity
1. Capital reserves
conversed        to
capital      (share
capital)
2. Surplus reserves
conversed      to
capital    (share
capital)
3. Remedying loss
with      surplus
reserve
4. Other
(V)     Reasonable
reserve
1. Withdrawal in
the report period
2. Usage in the
report period
(VI)Others
IV. Balance at the 266,071,                                                                                      -204,84
                                                             279,115,9                               19,184,67              359,529,9
end of the report                                                                                                1,902.8
                     320.00                                      00.17                                    2.34                 89.69
period
           Last period
                                                                                                                   In RMB
                                                                          Last period
                                           Other
                                     equity instrument
                                                                                     Other                                    Total
       Item                               Perpetu                          Less:
                         Share                                Capital              comprehe Reasonab Surplus     Retaine
                                             al                          Inventory                                          owners’
                         capital Preferre                     reserve                nsive le reserve reserve    d profit
                                          capital    Other                 shares                                            equity
                                 d stock                                            income
                                          securiti
                                            es
                                                                                                                 -199,48
I. Balance at the 266,071,                                   279,115,9                               19,184,67              364,883,2
                                                                                                                 8,637.6
end of the last year 320.00                                      00.17                                    2.34                 54.83
     Add: Changes
of     accounting
policy
       Error
correction of the
last period
            Other
II. Balance at the 266,071,                                                                                      -199,48
                                                             279,115,9                               19,184,67              364,883,2
beginning of this                                                                                                8,637.6
                     320.00                                      00.17                                    2.34                 54.83
year
III.       Increase/
Decrease in this                                                                                                 -10,145, -10,145,4
year (Decrease is                                                                                                 498.82       98.82
listed with “-”)
 (i)          Total    -10,145, -10,145,4
comprehensive
                        498.82     98.82
income
 (ii)      Owners’
devoted        and
decreased capital
1.Common shares
invested         by
shareholders
2. Capital invested
by holders of other
equity instruments
3.          Amount
reckoned       into
owners equity with
share-based
payment
4. Other
(III)         Profit
distribution
1. Withdrawal of
surplus reserves
2. Distribution for
owners (or
shareholders)
3. Other
(IV)       Carrying
forward internal
owners’ equity
1. Capital reserves
conversed         to
capital       (share
capital)
2. Surplus reserves
conversed         to
capital       (share
capital)
3. Remedying loss
with        surplus
reserve
4. Other
(V)     Reasonable
reserve
1. Withdrawal in
the report period
2. Usage in the
report period
(VI)Others
IV. Balance at the 266,071,                                                                        -209,63
                                                  279,115,9                            19,184,67             354,737,7
end of the report                                                                                  4,136.5
                     320.00                           00.17                                 2.34                56.01
period
       III. Company profile
       (I) Enterprise registration place, Organization form and Headquarters address
       Shandong Zhonglu Oceanic Fisheries Co., Ltd. (the “Company”), registration address: No. 29
       Miaoling Road, Laoshan District, Qingdao Shangdong, headquarter locates at No. 65 Haier Road,
       Qingdao Shangdong, was incorporated as a joint stock limited company in the People’s Republic
       of China on 30 July 1999 according to the documentation of Lu Ti Gai Zi [1999] No.85 issued by
       Shandong Development and Reform Commission, and the holding company of the Company is
       Shandong Fisheries Enterprise Group General Corporation, the main sponsor. On 26 June 2000,
       being approved by the documentation of Zheng Jian Fa Xing Zi [2000] No.82 issued by the China
       Securities Regulatory Commission, the Company’s B-share, stock ID ”Zhonglu B”, stock code”
       200992” are listing for trading on Shenzhen Stock Exchange dated 24 July 2000.
       Basic organization structure of the Company: board of shareholders, board of directors,
       supervisory committee, office of the board, departments of human resources, financing plan
       department, corporate operation department, office of auditory supervision and general affairs
       department.
       (II) Business nature and main business activities of Enterprise
       Corporate industry: sea-going fisheries
       Corporate major products: tuna and its products
       Operating scope: general management projects: sales and processing of aquatic products;
       merchandise import and export business within approved scope; ice machine manufacture and sale;
       refrigeration equipment manufacturing, installation, maintenance; refrigeration; load and unload
       services; housing lease.
       Pre-licensing projects: offshore fishing and distant fishing.
       (III) person approve teh Financial report for disclosed and date for reprot
       The financial report has been approved for report by the Board dated 29 August 2017.
       (IV) Scope and changes of consolidated statements during the reporting period
       Ended as 30 June 2017, consolidation scope of the Company is as:
       four subsidiaries, that is Shandong Zhonglu Fishery Shipping Co., Ltd., Shandong Zhonglu
       Oceanic (Yantai) Foods Co., Ltd., HABITAT INTERNATIONAL CORPORATION and
       Shandong Zhonglu Haiyan Deep-sea Fishery Co., Ltd; three sub-subsidiary: LAIFFISHERIES
       COMPANY LIMITED, ZHONG GHA FOODS COMPANY LIMITED and Shandong Zhonglu
Ocean Refrigerated Co., Ltd.; and one operation entity with controlling rights obtained through
operating lease: YAW ADDO FISHERIES COMPANY LIMITED. Found more in Note VIII.
Change of Consolidation Rage and Note IX. Equity in Other entity
IV. Preparation basis of Financial Statements
1. Preparation basis
Base on the running continuously and actual transactions and events, in line with the Accounting
Standards for Business Enterprise – Basic Standards and specific principle of accounting standards
issued by the Ministry of Finance, the Company prepared and formulate the financial statement
lies on the followed important accounting policy and estimation.
2. Going concern
The Company have the ability to continue as a going concern within 12 months at least since end
of the reporting period, there are no major events that impact the ability to continue as a going
concern
V. Important accounting policy and estimation
Notes on specific accounting policies and accounting estimation:
The Company and subsidiaries determine specific accounting policies and accounting estimation
based on their production and operation, which mainly differ in accrual method for bad debt
provision of the account receivable, evaluation of inventory, depreciation of fixed assets and
intangible assets amortization and recognization time of the revenue etc.
1. Declaration of obedience to Accounting Standards for Business Enterprise
The Financial Statements of the Company are up to requirements of Accounting Standards for
Business Enterprise and also a true and thorough reflection to the relevant information as the
Company’s financial position dated 30th June 2017 and the operation results as well as cash flow
from January to June in 2017.
2. Accounting period
The Company’s accounting year is Gregorian calendar year, namely from 1st January to 31st
December of every year.
3. Business cycle
The Company’s business cycle is one year(12 months) as a normal cycle, and the business cycle is
the determining criterion for the liquidity of assets and liabilities of the Company.
4. Bookkeeping standard currency
The Renminbi (RMB) is taken as the book-keeping standard currency
5. Accounting methods for consolidation of enterprises under the same control or otherwise
(1) Consolidation of enterprises under the same control
Where the Company for long term equity investment arising from business combination under
common control satisfies the combination consideration by payment of cash, transfer of non-cash
assets or assumption of debt, the carrying value of the net assets of the acquire in combined
financial statement of the ultimate controller shared by the Company as at the combination date
shall be deemed as the initial investment cost of such long term equity investment. If the equity
instrument issued by combining party are consider as the combination consideration, than the total
value of the issuing shares are consider as the share capital. The difference between the initial cost
of long-term equity investment and book value of consideration (or total face value of the shares
issued) paid, capital surplus adjusted; if the capital surplus not enough to written down, than
retained earning adjusted.
(2) Business combination not under common control
As for business combination not under common control, combination costs refer to the sum of the
fair value of the assets paid, liabilities occurred or assumed as well as equity securities issued by
the acquirer to obtain control over the acquire as at the acquisition date. As for acquiree that
obtained by consolidation not under the same control, the qualified confirmation of identified
assets, liability and contingency liabilities should calculated by fair value on day of purchased. If
the consolidation cost larger than the fair value amount of indentified net assts from acquiree’s,
the differences should be recognized as goodwill. If the consolidation cost less than the fair value
amount of indentified net assts from acquiree’s, the differences should reckoned into current
gains/losses after re-examination.
6. Preparation methods for consolidated financial statements
(1) Consolidation financial statement range
The Company includes all the subsidiaries (including the separate entities controlled by the
Company) into consolidated financial statement, including companies controlled by the Company,
non-integral part of the investees and structural main body.
(2) Centralize accounting policies, balance sheet dates and accounting periods of parent and
subsidiaries.
As for the inconsistency between the subsidiaries and the Company in the accounting policies and
periods, the necessary adjustment is made on the subsidiaries’ financial statements in the
preparation of the consolidated financial statements according to the Company’s accounting
policies and periods.
(3) Setoff of consolidated financial statement
The consolidated financial statements shall be prepared on the basis of the balance sheet of the
parent company and subsidiaries, which offset the internal transactions incurred between the
parent company and subsidiaries and within subsidiaries. The owner’s equity of the subsidiaries
not attributable to the parent company shall be presented as minority equity under the owner’s
equity item in the consolidated balance sheet. The long term equity investment of the parent
company held by the subsidiaries, deemed as treasury stock of the corporate group as well as the
reduction of owners’ equity, shall be presented as “Less: treasury stock” under the owners’ equity
item in the consolidated balance sheet.
(4) Accounting for acquisition of subsidiary through combination
For subsidiaries acquired under enterprise merger involving enterprises under
common control, the assets, liabilities, operating results and cash flows of the subsidiaries are
included in the consolidated financial statements from the beginning of the financial year
in which the combination took place. When preparing the consolidated financial
statements, for the subsidiaries acquired from business combination not involving
entities under common control, the identifiable net assets of the subsidiaries are adjusted on the
basis of their fair values on the date of acquisition.
7. Classification of joint arrangements and accounting treatment of joint operation
(1) Classification of joint arrangements
Joint arrangements are divided into joint operations and joint ventures. Joint arrangements
achieved not through separate entities are classified as joint operations. Separate entities refer to
the entities with separate identifiable financial architecture including separate legal entities and
legally recognized entities without the qualification of legal entity. Joint arrangements achieved
through separate entities are generally classified as joint ventures. In case of changes in rights
entitled to and obligations undertaken by the parties of joint venture under a joint arrangement due
to the changes in relevant facts and circumstances, the parties of joint venture will re-assess the
classification of joint arrangements.
(2) Accounting treatment for joint operations
The parties of joint operation should recognize the following items in relation to their share of
interest in joint operation, and proceed with accounting in accordance with the relevant provisions
under the Accounting Standards for Business Enterprises: to recognize their separate assets or
liabilities held, and recognize the assets or liabilities jointly held according to their respective
shares; to recognize the income from the disposal of their output share under joint operation; to
recognize the income from the disposal of output under joint operation according to their
respective shares; to recognize the expenses incurred separately, and recognize the expenses
incurred under joint operation according to their respective shares.
For the parties of a joint operation not under common control, if they are entitled to relevant assets
and undertake relevant liabilities of the joint operation, accounting will be carried out with
reference to the provisions of the parties of joint operation; otherwise, it should be subject to
relevant Accounting Standards for Business Enterprises.
(3) Accounting treatment for joint ventures
The parties of a joint venture should perform accounting for investments by the joint venture in
accordance with the Accounting Standards for Business Enterprises No. 2 – Long-term Equity
Investments. The parties not under common control should carry out accounting depending on
their influence on the joint venture.
8. Determination criteria of cash and cash equivalent
The cash recognized in the preparation of the cash flow statements, is the Company’s storage cash
and deposits available for payment anytime. The cash equivalents recognized in the preparation of
the cash flow statements refers to the investment held by the Company with characteristic of
short-term, strong mobility, easy transfer to known sum cash and has slim risk from value
changes.
9. Foreign currency exchange and the conversion of foreign currency statements
(1) Foreign currency exchange
The foreign currency exchange is booked on the current exchange rate on the transaction day and
converted in the bookkeeping standard currency. On the balance sheet day, the monetary items are
converted on the current rate on the balance sheet day, concerning the exchange differences
between teh spot exchange rate on that date and initial confirmation or the sport exchange rate on
previously balance sheet date, should reckoned in to current gains/losses except the capitalizing on
exchange differences for foreign specific loans, which was reckoned into cost for capitalizing.
The non-monetary items measured on the historic cost are still measured by the original
bookkeeping rate with the sum of the bookkeeping standard currency unchanged. Items of
non-monetary foreign currency which was calculated by fair value, should converted by spot
exchange rate on the confirmation day of fair value, difference between the converted amount of
bookkeeping currency and original amount of bookkeeping currency, was treated as changes of
fair value (including exchange rate changed) reckoned into current gains/losses or recognized as
other consolidated income.
(2) Conversion of foreign currency financial statements
Upon the conversion of the foreign currency financial statements of the controlling subsidiaries,
joint enterprises, and the affiliated enterprises on the bookkeeping standard currency different
from the Company’s, the accounting check and preparation of the consolidated financial
statements are made. Assets and liabilities items in the balance sheet, are converted on the current
rate on the balance sheet day; owners’ equity items besides the “retained profit” item, the other
items are converted on the actual rate. Incomes and expenses items in the profit statement are
converted on the current rate. The conversion difference of the foreign currency financial
statements is listed specifically in the owners’ equity in the balance sheet. The foreign currency
cash flow is converted on the current rate on the cash flow actual day. The cash influenced by the
rate fluctuation is listed specifically in the cash flow statement. As for the foreign operation, the
conversion difference of the foreign currency statement related to the foreign operation is
transferred in proportion into the disposal of the current loss/gain.
10. Financial instruments
(1) Categories and recognition of financial instruments
The financial instruments are classified as the financial assets or liabilities and equity instruments.
As the Company becomes one party of the financial instrument contract, the instrument is
recognized as one financial asset or liability or equity instruments.
In the initial recognition, the financial assets are classified as, the financial assets measured on fair
value and with its changes reckoned into the current loss/gain, long-term invest-bonds, account
receivables, and financial assets available for sale. Categories of the financial assets besides
account receivables are dependent on the holding intention and purpose of the Company and its
subsidiaries for the financial assets. In the initial recognition, the financial liabilities are classified
as the financial liabilities measured on the fair value and with its changes reckoned into the current
loss/gain, other financial liabilities.
Financial assets measure by fair value and of which the changes are included in the current profits
and losses include the trading financial assets with holding purpose of selling in the short run and
the financial assets designated to be measure by fair value in the initial recognition and of which
the changes are included in the current profits and losses; receivables are non-derivative financial
assets with fixed or determinable payments that are not quoted in an active market;
available-for-sale financial assets are non-derivative financial assets that are either designated in
this category or not classified in any of the other categories at initial recognition; held-to-maturity
investments are non-derivative financial assets with fixed maturity and fixed or determinable
payments that management has the positive intention and ability to hold to maturity.
(2) Measurement of financial instruments
In the initial recognition, the financial instruments are measured on fair value; and the follow-up
measurements are: financial assets and financial assets available for sale that measured by fair
value and with alteration reckoned into current gains/losses together with the financial liabilities
that measured by fair value with alteration reckoned into current gains/losses should measured by
fair value; the held-to-maturity securities, loans, account receivable and other financial liability are
measured by amortized cost; as for the equity instrument investment without quote in an active
market and with its fair value can not be reliably measured, and those derivative financial assets or
liability that paid with equity instrument, which have hook with such instrument, should measured
by cost.      The loss/gain from the fair value changes in the follow-up measurement of the
financial assets and liabilities, besides one related to the hedge, is dealt with in the following
methods: ① The financial assets or liabilities measured on the fair value and with its changes
reckoned into the current loss/gain, are reckoned into the fair value loss/gain; ② The fair value
change of the financial assets available for sale, is reckoned into the other comprehensive income.
(3) Recognition of the fair value for the financial assets and liabilities
For those financial instruments existing in active markets, market quotation in the active market is
used to confirm their fair values; fair value of the financial instruments which have no active
market is confirmed by adoption of estimation technology. The estimation technology mainly
including market approach, income approach and cost method
(4) Recognition basis and measurement method for the transfer of financial assets/liabilities
As for the financial assets with all risks and compensations on their patent transferred, or all risks
and compensations neither maintained nor transferred but the control over the assets given up, the
recognition of the financial asset may terminate. For the financial assets are qualified for the
recognition of termination conditions, the measurement may be taken on the financial assets
transfer, namely the difference is reckoned into the current loss/gain, between the book value of
the transferred financial assets and, the total of the consideration value received from the transfer
and the fair value change accumulative sum originally booked into the capital reserve. If the
partial transfer satisfies the criteria for derecognition, the entire carrying value of the transferred
financial asset shall proportionally allocated between the derecognized portion and the retained
portion according to their respective relative fair value.
When all or part of the current obligation to a financial liability has been terminated, the entire or
part of such financial liability shall be derecognized.
(5) Impairment loss on financial assets
When an impairment loss on a financial asset carried at amortized cost has occurred, the amount
of loss is provided for at the difference between the asset’s carrying amount and the present value
of its estimated future cash flows (excluding future credit losses that have not been incurred). If
there is objective evidence that the value of the financial asset recovered and the recovery is
related objectively to an event occurring after the impairment was recognized, the previously
recognized impairment loss is reversed and the amount of reversal is recognized in profit or loss.
When an impairment loss on a financial asset measured at cost has occurred, the amount of loss is
provided for at the difference between the asset’s carrying amount and the present value of its
estimated future cash flows. The impairment loss on such financial asset is not reversed once it is
recognized.
Where there is objective evidence that an impairment loss on available-for-sale financial assets
occurs, the cumulative loss arising from the decline in fair value that had been recognized directly
in equity is removed from equity and recognized in impairment loss. For en investment in debt
instrument classified as available-for-sale on which impairment losses have been recognized, if, in
a subsequent period, its fair value increases and the increase can be objectively related to an even
occurring after the impairment loss was recognized in profit or loss, the previously recognized
impairment loss is reversed and recognized in profit or loss for the current period. For an
investment in an equity instrument classified as available-for-sale on which impairment losses
have been recognized, the increase in its fair value in a subsequent period is recognized in equity
directly.
For investments in equity instruments, the specific quantitative criteria for the Company to
determine “serious” or “not temporary” decrease in their fair value, cost computing method,
method for determining closing fair value, and basis for determining the continuous decrease
period are set out below:
Specific quantitative criterion on “serious” decrease in Decrease in closing fair value relative to the cost has reached or
their fair value                                          exceeded 50%
Specific quantitative criterion on “not temporary”
                                                          Fall for 12 consecutive months
decrease in their fair value
                                                          Consideration of payment at acquisition (net of cash dividends
                                                          declared but not yet paid or due but unpaid interest on bonds)
Cost computing method
                                                          and the relevant transaction cost are recognized as the
                                                          investment cost.
                                                          As for a financial instrument for which there is an active
                                                          market, the quoted prices in the active market shall be used to
Method for determining closing fair value                 recognize the fair values thereof. Where there is no active
                                                          market for a financial instrument, the enterprise concerned shall
                                                          adopt value appraisal techniques to determine its fair value.
                                                          The rebound in the continuous fall or the period with the tread
Basis for determining the
                                                          of fall is less than 20% margin. Rebound duration not more
 continuous decrease period
                                                          than six months is treated as continuous decrease period.
11. Account receivable
(1) Account receivables with single major amount and withdrawal bad debt provision
independently
                                                                     Book balance of the account receivable with over one million
Criterion or amount standards of major single amount
                                                                     Yuan (one million yean inclusive)
Withdrawal method for individual bad debt provision accrual          Recognized on the difference between the book value and the
with major single amount concerned                                   current value of the estimative future cash flow
(2) Account receivable with bad debt provision accrual by portfolio
                                Portfolio                                                 Accrued method for bad
Age portfolio                                                        Aging of accounts
Withdrawing bad bed provision by aging method in portfolio:
√ Applicable       □ Not applicable
                                                                                               Accrued proportion of other accounts
                   Account ages               Accrued proportion of accounts receivable
                                                                                                             receivable
Within six months                                                                   5.00%                                       5.00%
6 months – 1 year (including 1 year)                                              10.00%                                       10.00%
1-2 years                                                                         30.00%                                       30.00%
2-3 years                                                                         50.00%                                       50.00%
Over three years                                                              100.00%                                    100.00%
Withdrawing bad bed provision by percentage of total accounts receivable outstanding in portfolio:
□ Applicable   √ Not applicable
Withdrawing bad bed provision by other methods in portfolio :
□ Applicable   √ Not applicable
(3) Account receivable with minor single amount but has individual bad debt provision
accrual
                                                                  Account receivable with over three years in account age and has
Reasons for individual bad debt prevision accrual
                                                                  objective evidence of impairment appears
                                                                  Recognized on the difference between the book value and the
Accrued method for bad debt provision
                                                                  current value of the estimative future cash flow
12. Inventory
Whether the company needs to comply with the disclosure requirements of the particular industry
No
13. Classify to assets available for sale
14. Long term equity investment
(1) Recognition of initial investment cost
Initial investment cost of long term equity investment obtained by corporate consolidation: in the
case of the consolidation of enterprises under the same control, recognized as the initial cost is the
book value of the owners’ equity obtained from the consolidated party; in the case of the
consolidation of enterprises not under the same control, recognized as the initial cost is the
recognized consolidation cost on the purchase day. As for the long term equity investment
obtained by cash payment, the initial investment cost is the actual purchase payment. As for the
long term equity investment obtained by the equity securities offering, the initial investment cost
is the fair value of the equity securities. As for the long-term equity investment obtained by debt
reorganization, initial investment cost of such investment should determine by relevant regulation
of the “Accounting Standards for Business Enterprise No.12- Debt Reorganization”; As for the
long term equity investment obtained by the exchange of the non-monetary assets and the debts
restructuring, the initial investment cost is recognized on the relevant rules in the Principles.
(2) Subsequent measurement and profit or loss recognition
Where the investor has a control over the investee, long-term equity investments are measured
using cost method. Long-term equity investments in associates and joint ventures are measured
using equity method. Where part of the equity investments of an investor in its associates are held
indirectly through venture investment institutions, common fund, trust companies or other similar
entities including investment linked insurance funds, such part of equity investments indirectly
held by the investor shall be measured at fair value through profit or loss according to according to
relevant requirements of Accounting Standards for Business Enterprises No.22—Recognization
and measurement of Financial Instruments regardless whether the above entities have significant
influence on such part of equity investments, while the remaining part shall be measured using
equity method.
(3) Basis of conclusion for common control and significant influence over the investee
Joint control over an investee refers to where the activities which have a significant influence on
return on certain arrangement could be decided only by mutual consent of the investing parties
sharing the control, which includes the sales and purchase of goods or services, management of
financial assets, acquisition and disposal of assets, research and development activities and
financing activities, etc.; Significant influence on the investee refers to that: significant influence
over the investee exists when holding more than 20% but less than 50% of the shares with voting
rights or even if the holding is below 20%, there is still significant influence if any of the
following conditions is met: there is representative in the board of directors or similar governing
body of the investee; participation in the investee’s policy setting process; assign key management
to the investee; the investee relies on the technology or technical information of the investing
company; or major transactions with the investee.
15. Investment real estate
Measurement for investment real estate
Cost method
Depreciation or amortization method
Category of the Company’s investment real estate: rented land use rights, rented buildings and
land use rights held for transfer after appreciation. Investment real estate of the Company is
initially measured by cost and conducting follow-up measures by cost mode.
Accrued on the year averaging is the depreciation of the lease buildings in the Company’s
investment property. The detailed check principle is same as that of the fixed assets. The rented
land use rights and land use rights held for transfer after appreciation owned by the Company was
adopted line amortization method. Detail calculation policy was similar to intangible assets.
16. Fixed assets
(1) Recognition
The fixed assets are tangible assets held for the goods production, labor supply, lease or operation
& management, and with above one-accounting-year service life; meanwhile as up to the
following conditions, they are recognized: The economic interest related to the fixed assets
probably flow into the Company; The cost of the fixed assets can be measured reliably.
(2) Depreciation method
         Category              Depreciation method     Depreciation life (year)         Salvage rate        Annual depreciation rate
House and building          Straight-line depreciation 20-40                      3-5                       2.00-5.00
Vessel and netting gear     Straight-line depreciation 5-30                       3-5                       3.17-19.40
Machine equipment           Straight-line depreciation 8-20                       3-5                       5.00-12.00
Transportation
                            Straight-line depreciation 5                          3-5                       19.00-19.40
equipment
Furniture and office
                            Straight-line depreciation 5                          3-5                       19.00-19.40
equipment
The Company's fixed assets mainly include housing and buildings, vessels and netting, machinery and equipment,
transportation equipment, furniture and office equipment; and the depreciation method adopts the straight-line
depreciation. The useful life and estimated net residual value of fixed assets are determined by the nature and use
condition of various types of fixed assets. The useful life, estimated net residual value, and depreciation method of
fixed assets are rechecked at the end of the year, if there is difference with the former estimated number,
corresponding adjustments should be made. In addition to the fixed assets that have been accrued depreciation and
still continue to use and the land that has been separately valued and recorded, the Company counts and draws the
depreciation of all fixed assets.
 (3) Recognition, evaluation and depreciation of the fixed assets under finance lease
Recognition of fixed assets under finance lease: the nature of this kind of lease is a transfer of all
risk and rewards related to the ownership of assets. Measurement of fixed assets under finance
lease: the initial amount of a fixed asset under finance lease should be recorded as the lower of fair
value of the leased asset at the beginning date of lease term and the present value of minimum
lease payment. Subsequent measurement of fixed assets under finance lease should be in
accordance with the accounting policies adopted for self-owned fixed assets in respect of
provision of depreciation and impairment.
17. Project in progress
Project in progress of the Company divided as self-run construction and out-bag construction. The
project in progress of the Company carried forward as fixed assets while the construction is ready
for the intended use. Criteria of the expected condition for use should apply one of the follow
conditions: The substance construction (installation included) of the fixed assets has completed all
or basically; As the projects have been in test production or operation, and the results show that
the assets can operate properly and produce the qualified products stably, or the test operation
result shows the assets can operate or open properly. The expenditure of the fixed assets on the
construction, is a little or little. The fixed assets of the project constructed have been up to the
requirements of the design or contract, or basically up to.
18. Borrowing expenses
(1) Recognition principle on capitalization of borrowing expenses
As for the Company’s actual borrowing expenses directly attributable to the assets construction or
production, it is capitalized and reckoned into the relevant assets cost; as for other borrowing
expenses, it is recognized on the actual sum and reckoned into the current loss/gain. The assets up
to the capitalization are assets as the capital assets, investment real estate, and inventory reaching
the expectant availability or sale ability.
(2) Calculation of the capitalization
Capitalization term: the period from the time starts to capitalization to the time the capitalization
ends. The period of capitalization suspended is not included. The capitalization of borrowing
expenses should be suspended while the abnormal interrupt, which surpass three months
continuously, in the middle of acquisition or construction or production.
As for the borrowing of the specific borrowing,        the capitalization sum is recognized on the
current actual interest expenses less the interest income of the borrowing capital not utilized but
deposited in the bank or the return of the temporary investment; As for the appropriation of the
general borrowing, the capitalization sum is recognized on the weighted average of, the
accumulative assets expenditure above the specific borrowing, and times the capitalization rate of
the appropriation; As for the discount or premium of the borrowing, the discount or premium to be
diluted in every accounting period is recognized in the actual rate method.
The effective interest method is the method for the measurement of the diluted discount or
premium or interest expenses on the actual interest rate; and the actual interest rate is the interest
rate used in the discount of the future cash flow in the expectant duration period as the current
book value of the borrowing.
19. Biological assets
20. Oil-and-gas assets
21. Intangible assets
(1) Accounting method, service life and impairment test
1) Accounting method for intangible assets
The Company’s intangible assets are measured initially on cost. The intangible assets purchased in
are taken as the actual cost on the actual payment and relevant expenditure. As for the intangible
assets invested in by the investors, the actual cost is recognized on the value stipulated in the
contract or agreement; however, if what is stipulated in the contract or agreement is not fair value,
the actual cost is recognized on fair value. As for the self-developed intangible assets, their cost is
the actual total expenditure before reaching the expectant purpose.
The follow-up measurements of the Company’s intangible assets respectively are: the line
amortization method is taken on the intangible assets of finite service life, and at the yea-end, the
check is taken on the service life and dilution of the intangible assets, and the corresponding
adjustment is made if there is inconsistency with the previous estimative ones. As for the
intangible assets of uncertain service life, it is not diluted, however, the service life is checked at
year-end; If there is solid evidence to its finite service life, its service life is estimated and diluted
in straight line method.
2) Recognition principle of intangible assets with uncertain service life
Recognized as the intangible assets of uncertain service life is refers to those intangible assets of
un-expectable period of economic benefits brought into the Company, or of the uncertain service
period. Recognition principle of uncertain service life: from contract right or other legal rights, the
uncertain service period is stipulated in the contract or law; after the integration of the situations
and relevant expertise argumentation in the same trade, the period of the economic interest
brought into the Company by the intangible assets still cannot be recognized.
At every year-end, the check is taken on the intangible assets of uncertain service life, mainly in
bottom-up way, namely the basic check is taken by the department relevant to the assets utilization,
to assess whether there is change in the recognition principle of the uncertain service life.
(2) Accounting policy of the internal R&D expenditure
22. Long-term investment impairment
Long-term equity investments, investment properties measured at cost and long-term assets such
as fixed assets, construction in progress, productive biological assets at cost method, oil and gas
assets, intangible assets and goodwill are tested for impairment if there is any indication that an
asset may be impaired at the balance date. If the result of the impairment test indicates that the
recoverable amount of the asset is less than its carrying amount, a provision for impairment and an
impairment loss are recognized for the amount by which the asset’s carrying amount exceeds its
recoverable amount.
The recoverable amount is the higher of an asset’s fair value less costs to sell and the present value
of the future cash flows expected to be derived from the asset. Provision for asset impairment is
determined and recognized on the individual asset basis. If it is not possible to estimate the
recoverable amount of an individual asset, the recoverable amount of a group of assets to which
the asset belongs is determined. A group of assets is the smallest group of assets that is able to
generate independent cash inflows.
Goodwill arising from a business combination is tested for impairment at least at each year end,
irrespective of whether there is any indication that the asset may be impaired. For the purpose of
impairment testing, the carrying amount of goodwill acquired in a business combination is
allocated from the acquisition date on a reasonable basis to each of the related asset groups; if it is
impossible to allocate to the related asset groups, it is allocated to each of the related set of asset
groups. If the carrying amount of the asset group or set of asset groups is higher than its
recoverable amount, the amount of the impairment loss first reduced by the carrying amount of the
goodwill allocated to the asset group or set of asset groups, and then the carrying amount of other
assets (other than the goodwill) within the asset group or set of asset groups, pro rata based on the
carrying amount of each asset.
Once the impairment loss of such assets is recognized, it is not be reversed in any subsequent
period.
23. Long-term deferred expenditure
The Company’s long-term deferred expenditure are expenses paid out and with one year above
(1-year included) benefit period. The long-term unamortized expenses are diluted by periods
according to the benefit period. As the long-term unamortized expenses cannot enable the
accounting period’s beneficiary, all dilution values of the project undiluted yet, are transferred into
the current loss/gain.
24. Employees benefits
(1) Accounting for short-term benefits
In the period of employee services, short-term benefits are actually recognized as liabilities and
charged to profit or loss, or if otherwise required or allowed by other accounting standards, to the
related costs of assets for the current period. At the time of actual occurrence, The Company’s
employee benefits are recorded into the profits and losses of the current year or assets associated
costs according to the actual amount. The non-monetary employee benefits are measured at fair
value. Regarding to the medical and health insurance, industrial injury insurance, maternity
insurance and other social insurances, housing fund and labor union expenditure and personnel
education that the Company paid for employees, the Company should recognize corresponding
employees benefits payable according to the appropriation basis and proportion as stipulated by
relevant requirements and recognize the corresponding liabilities and include these expenses in the
profits or losses of the current period or recognized as respective assets costs.
(2) Accounting for post-employment benefits
During the accounting period in which an employee provides service, the amount payable
calculated under defined contribution scheme shall be recognized as a liability and recorded in
profit and loss of the current period or in assets. In respect of the defined benefit scheme, the
Company shall use the projected unit credit method and attribute the welfare obligations
calculated using the formula stipulated by the defined benefit scheme to the service period of the
employee, and record the obligation in the current profit and loss or related assets cost.
(3) Accounting for termination benefits
The Company recognizes a liability and expenses in the current profit or loss for termination
benefits at the earlier of the following dates: when the Company can no longer withdraw the offer
of those benefits; and when the Company recognizes costs for restructuring involving the payment
of termination costs.
(4) Accounting for other long-term employee benefits.
The Company provides other long-term employee benefits to its employees. For those falling
within the scope of defined contribution scheme, the Company shall account for them according to
relevant requirements of the defined contribution scheme. In addition, the Company recognizes
and measures the net liabilities or net assets of the other long-term employee benefits according to
relevant requirements of the defined contribution scheme.
25. Accrual liability
26. Share-based payment
27. Other financial instrument of preferred stock and perpetual capital securities
28. Revenue
Whether the company needs to comply with the disclosure requirements of the particular industry
No
(1) Sales of goods
The Company shall ascertain the revenue incurred by selling goods in accordance with the
received or receivable price stipulated in the contract or agreement signed between the enterprise
and the buyer unless the following conditions are met simultaneously: ① the significant risks and
rewards of ownership of the goods have been transferred to the buyer by the enterprise; ② the
enterprise retains neither continuous management right that usually keeps relation with the
ownership nor effective control over the sold goods; ③the relevant amount of revenue can be
measured in a reliable way; ④ relevant economic benefits may flow into the enterprise and ⑤
the relevant costs incurred or to be incurred can be measured in a reliable way.
The Company mainly conducts seine fisheries sales on sea. In detail, our production vessel
directly unloads fisheries products to the shipping vessel of purchaser. Upon delivery of such
products to shipping vessel, parties from both production vessel and shipping vessel would
confirm the unloaded quantity and issue delivery bill (both parties sign ship receipt); finance
department would confirm sales revenue based on ship receipt and sales contract.
Fisheries products gained from long line fishing by the Company are all shipped back to domestic
market for sale. Our sales department makes external sales by reference to the trading price in
Qingshui of Japan. Change in ownership of cargos is based on sales contract and value
determination table. Finance department would confirm sales revenue based on sales contract and
value determination table.
The Company processes aquatic products for domestic sales: Shandong Zhonglu Oceanic (Yantai)
Food Co., Ltd. issues delivery confirmation according to the fax or email orders from domestic
customers, then sales staff would arrange warehouse department to prepare stock and deliver
cargos via airline and long trip auto transportation. Finance department will issue sales invoice
according to the delivery bill issued by sales department and signed and confirmed by warehouse
department, and confirm sales revenue.
The Company processes aquatic products for overseas sales: once receipt purchase orders from
overseas customers, our international trade department will issue export delivery confirmation and
arrange warehouse department to prepare relevant orders. Once the cargos to be exported is
packed and delivered, warehouse department will sign on the delivery bill issued by international
trade department to confirm. Upon completion of export by unloading cargos on vessels, we will
obtain packing slip, delivery order and other export bills issued by the transportation department
and also bill of clearance from custom. Finance department will issued sales invoice and confirm
sales revenue based on delivery bill, packing slip, bill of clearance, etc.
(2) Labor service providing
If an enterprise can, on the date of the balance sheet, reliably estimate the outcome of a transaction
concerning the labor services it provides, it shall recognize the revenue from providing services
employing the percentage-of-completion method. The enterprise can ascertain the schedule of
completion (percentage-of-completion) under the transaction concerning the providing of labor
services based on calculation of completed works, if an enterprise can not, on the date of the
balance sheet, measure the result of a transaction concerning the providing of labor service in a
reliable way, it shall be conducted in accordance with the following circumstances, respectively:
①if the cost of labor services incurred is expected to be compensated, the revenue from the
providing of labor services shall be recognized in accordance with the amount of the cost of labor
services incurred, and the cost of labor services shall be carried forward at the same amount; ②if
the cost of labor services incurred is not expected to compensate, the cost incurred should be
included in the current profits and losses, and no revenue from the providing of labor services may
be recognized.
(3) Transition of asset use right
When economic benefits relating to transition of asset use right is likely to inflow into the
Company and the relevant income can be measured reliably, the Company shall recognize such
income from transition of asset use right.
The Company's vessel rental income: the transport vessel leases of Shandong Zhonglu Aquatic
Shipping Co., Ltd. and Habitat International Corporation adopt the time charter, the company
leases the ships equipped with operators to others for a certain period of time, and waits for the
dispatch and assignment of the leasee during the lease period, and charges the rental fee from the
leasee according to the number of days whether the leasee operates or not, and the company takes
charge of the fixed charges (such as the staff salary, maintenance costs, etc.). During the lease
period, the company settles accounts with the customer per 15 days and confirms the incomes
according to the lease days confirmed with the customer.
29. Government subsidy
(1) Determination basis and accounting treatment for government grants related to assets
Government grant obtained by the Company for the purpose of constructing or otherwise forming
long term assets is recognized as government grant related to assets which will be recognized as
deferred income. Deferred income is averagely allocated against the estimated service life of asset
since the asset is available for use, and recorded in profit or loss for the current period.
(2) Determination basis and accounting treatment for government grants related to income
The government grants other than the government grants related to assets are recognized as
government grants related to income. Government grants related to income shall be treated as
follows: those used to compensate relevant expenses or losses to be incurred by the enterprise in
subsequent periods are recognized as deferred income and recorded in profit and loss for the
current period when such expenses are recognized; and those used to compensate relevant
expenses or losses that have been incurred by the enterprise are recorded directly in profit or loss
for the current period.
30. Deferred income tax asset and deferred income tax liability
(1) Where there is difference between the carrying amount of the assets or liabilities and its tax
base, (as for an item that has not been recognized as an asset or liability, if its tax base can be
determined in light of the tax law, the tax base shall recognized as the difference) the deferred
income tax and deferred income tax liabilities shall be determined according to the applicable tax
rate in period of assets expected to recover or liability expected to pay off.
(2) The deferred income tax assets shall be recognized to the extent of the amount of the taxable
income which it is most likely to obtain and which can be deducted from the deductible temporary
difference. On balance sheet date, if there have concrete evidence of obtaining, in future period,
enough taxable amounts to deduct the deductible temporary difference, the un-confirmed deferred
income tax assts in previous accounting period shall be recognized. If there has no enough taxable
amounts, obtained in future period, to deducted the deferred income tax assets, book value of the
deferred income tax assets shall be kept in decreased.
(3) The taxable temporary differences related to the investments of subsidiary companies and
associated enterprises shall recognized as deferred income tax liability, unless the Company can
control the time of the reverse of temporary differences and the temporary differences are unlikely
to be reversed in the expected future. As for the deductible temporary difference related to the
investment of the subsidiary companies and associated enterprises, deferred income tax assets
shall be recognized while the temporary differences are likely to be reversed in the expected future
and it is likely to acquire any amount of taxable income tax that may be used for making up the
deductible temporary differences.
31. Leasing
(1) Accounting treatment for operating lease
Operating lease payments are recognized on a straight-line basis over the term of the relevant
lease, and are either included in the cost of related asset or charged to profit or loss for the period.
(2) Accounting treatment for finance lease
At the commencement of the lease term, the Group records the leased asset at an amount equal to
the lower of the fair value of the leased asset and the present value of the minimum lease
payments. The difference between the recorded amounts is accounted for as unrecognized finance
charge, using the effective interest method amortization during the lease term. Minimum lease
payments deducting unrecognized financing charges are listed as long-term payables.
32. Other important accounting policy and estimation
Nil
33. Changes in important accounting policies and estimates
(1) Changes in important accounting policies
□ Applicable       √ Not applicable
(2) Changes in important accounting estimates
□ Applicable       √ Not applicable
34. Other
Nil
VI. Taxes
1. Major tax and tax rate
                   Taxes                                    Taxation basis                               Tax rate
VAT                                          Output tax minor the deductible input tax   17%、13%、11%、6%
Urban maintenance and construction tax       Turnover taxes payable                      7%
Corporate income ax                          Taxable amount                              25%
Explain the different taxation entity of the enterprise income tax
                           Taxation entity                                                 Income tax rate
Shandong Zhonglu Oceanic Fisheries Company Limited                  Imposing no tax on distant fishing, and 25% for the house leasing
Shandong Zhonglu Haiyan Oceanic Co., Ltd.                           Exemption
HABITAT INTERNATIONAL CORPORATION                                   Exemption
Shandong Zhonglu Fishery Shipping Co., Ltd.                         25%
Shandong Zhonglu Oceanic (Yantai) Foods Co., Ltd.                   Imposing no tax on aquatic product processing
2. Preferential tax
(1)VAT tax preference:
According to the relevant provisions of the Circular About the Provisional Management Method of Not Levying the
Tax on the Aquatic Products Directly Caught by Ocean Fishery Enterprises (SS No. [2000] 260), China's ocean
fishery enterprises stipulate on the high seas or in accordance with the relevant agreements that the aquatic products
caught in foreign sea areas and sent back for domestic sales should be regarded as the domestic products and
should not be levied the import duties and import VAT. If the corresponding domestic sales business is the primary
agricultural products sales, exempt from the VAT according to the provisions of VAT rules. The Company's sales
revenue from ocean-going fishing operations is exempt from VAT.
(2) Income tax preference:
According to the Circular of the Preferential Policies Concerning Corporate Income Tax (CSZ No.[1994]001), the
Letter About Relevant Issue About Accelerating the Development of China's Ocean Fisheries (CN No. [2000] 104)
of the Ministry of Finance, the Enterprise Income Tax Law of the People's Republic of China (PRC Presidential
Decree No. [2007] 63), the Enforcement Regulations of Enterprise Income Tax Law of the People's Republic of
China (PRC State Council Decree No. 512), Notice About Issuing the Preliminary Processing Scope (Trial) of
Agricultural Products that Enjoy the Preferential Policy of Enterprise Income Tax of Ministry of Finance and State
Administration of Taxation (CS No. [2008]149), and the Supplement Notice About the Preliminary Processing
Scope of Agricultural Products that Enjoy the Preferential Policy of Enterprise Income Tax of Ministry of Finance
and State Administration of Taxation (CS No. [2011] 26), the processing charges for the preliminary processing of
agricultural products can be handled by the tax-exempt items of preliminary processing of agricultural products.
The Company's income obtained from the ocean-going fishing business and the preliminary processing of
agricultural products is exempted from corporate income tax. The Company's income obtained from the business
except for the ocean-going fishing and the preliminary processing of agricultural products should pay the enterprise
income tax at 25%.
3. Other
VII. Notes to main items in consolidated financial statement
1. Monetary fund
                                                                                                             In RMB
                     Item                                  Closing balance                              Opening balance
Cash on hand                                                                 2,768,761.41                                  1,741,848.59
Bank deposit                                                               99,561,338.48                                 126,995,290.36
Other monetary fund                                                  554,393.58                                 784,064.34
Total                                                           102,884,493.47                              129,521,203.29
  Including: Total amount save aboard                                393,805.29                                 506,231.81
Other explanation
2. Financial assets measured by fair value and with its variation reckoned into current
gains/losses
                                                                                                   In RMB
                     Item                          Closing balance                            Opening balance
Other explanation:
3. Derivative financial assets
□ Applicable   √ Not applicable
4. Note receivable
(1) Category
                                                                                                   In RMB
                     Item                          Closing balance                            Opening balance
(2) Note receivable pledged at period-end
                                                                                                   In RMB
                              Item                                                  Amount pledged
(3) Note receivable which have endorsed and discount at period-end and has not expired on
balance sheet date
                                                                                                   In RMB
                     Item               De-reorganization amount at period-end    Un de-reorganization amount at period-end
(4) Note transferred to account receivable due to the drawer failure to perform at
period-end
                                                                                                   In RMB
                              Item                              Amount transferred to account receivable at period-end
Other explanation
5. Account receivable
(1) Category of account receivable
                                                                                                                     In RMB
                                               Closing balance                                           Opening balance
                            Book balance           Bad debt provision                  Book balance        Bad debt provision
    Category                                                          Book
                                       Proportio              Accrual                        Proportio                Accrual    Book value
                          Amount                   Amount                 value     Amount                Amount
                                          n                      ratio                           n                     ratio
Account receivable
with bad debt             49,884,6                 8,060,72              41,823,92 50,739,               8,060,723               42,679,066.
                                       100.00%                 16.16%                         100.00%                   15.89%
provision accrual by         48.45                     3.09                   5.36 789.74                      .09
portfolio
                          49,884,6                 8,060,72              41,823,92 50,739,               8,060,723               42,679,066.
Total                                  100.00%                                                100.00%                   15.89%
                             48.45                     3.09                   5.36 789.74                      .09
Account receivable with major single amount and withdrawal bad debt provision single at period-end:
□ Applicable      √ Not applicable
Account receivable with bad debt provision withdrawal by method of account age in portfolio:
√ Applicable      □ Not applicable
                                                                                                                     In RMB
                                                                                   Closing balance
            Account age
                                              Account receivable                  Bad debt provision                  Accrual ratio
Sub-item of within one year
1-6 months                                               43,040,072.80                       2,035,596.75                              5.00%
Subtotal of within one year                              43,040,072.80                       2,035,596.75                              5.00%
1-2 years                                                 1,155,557.64                         329,333.93                             30.00%
2-3 years                                                     13,548.80                           6,774.40                            50.00%
Over three years                                          5,689,018.01                       5,689,018.01                             100.00%
Total                                                    49,884,648.45                       8,060,723.09
Explanation on portfolio basis:
Withdrawing bad bed provision by percentage of total accounts receivable outstanding in portfolio:
□ Applicable      √ Not applicable
Withdrawing bad bed provision by other methods in portfolio:
(2) Bad debt provision accrual, switch-back or taken back in the period
Amount accrual in the Period; amount switch-back or taken back in the Period
Including major amount of bad debt provision that switch-back or taken back in the Period:
                                                                                                                     In RMB
                  Company                          Amount switch back or taken back                                 Way
(3) Account receivables actually written-off during the reporting period
                                                                                                                  In RMB
                              Item                                                                Amount verified
Including major account receivables written-off:
                                                                                                                  In RMB
                                                                                                                          Occurred due to
    Company              Nature             Amount verified               Reasons        Verified procedures      related transaction
                                                                                                                              (Y/N)
Explanation on account receivable written-off
(4) Top five receivables collected by arrears party at ending balance
    Company             Ending balance             Ratio in total account        Bad debt provision
                                                      receivable (%)                    balance
Hong Kong Luen                 7,455,254.79                         15.04%                   372762.74
Thai Seafood
Taiwan Herpao                  4,151,594.33                            8.37%                 207579.72
Ameican      H&T               2,641,015.78                            5.33%                 132050.79
SEAFOOD INC
Taiwan Sip                     1,952,944.25                            3.94%                  97647.21
Japan Wiki                     1,553,477.46                            3.13%                  77673.87
Total                         17,754,286.61                         35.81%                   887714.33
(5) Account receivables derecognized due to financial assets transfer
(6) Transfer the account receivable and assets & liabilities arising from further involvement
Other explanation:
6. Prepayments
(1) Prepayments listed by account age
                                                                                                                  In RMB
                                              Closing balance                                          Opening balance
    Account age
                                     Amount                    Proportion                    Amount                       Proportion
Within one year                        9,416,627.12                         100.00%                7,773,914.94                       99.82%
1-2 years                                                                                                13,688.46                    0.18%
Total                                        9,416,627.12              --                          7,787,603.40                --
Explanation on prepayments with over one year in age and reasons of un-settle:
(2) Top 5 prepayments collected by objects at ending balance
Company                   Relationship          with Ending balance        Ratio in total prepayment %
                           theCompany
Liye      International Agency                              5,599,893.70                       12.66%
Company
Dongyi                Sea Supplier                          1,968,557.18                        4.45%
Transporation
Personal Company
Inspur                    Service provider                   470,000.00                         1.06%
Fishing     license     of Access fishing fee                317,528.42                         0.72%
Ivory Coast
Rental      of        new Leasehold relation                 235,085.76                         0.53%
 house(10 Block)
Total                                                       8,591,065.06                       19.42%
Other explanation:
7. Interest receivable
(1) Category
                                                                                                                     In RMB
                       Item                                     Closing balance                               Opening balance
(2) Major overdue interest
                                                                                                                     Whether has impairment
          Borrower                   Closing balance             Overdue time                   Causes                    occurred and
                                                                                                                       determination basis
Other explanation:
8. Dividend receivable
(1) Dividend receivable
                                                                                                                     In RMB
          Item (or invested company)                            Closing balance                               Opening balance
(2) Major dividend receivable with over one year aged
                                                                                                                      In RMB
                                                                                                                      Whether has impairment
    Item (or invested
                                  Closing balance                       Age               Causes 未收回的原因               occurred and
         company)
                                                                                                                        determination basis
Other explanation:
9. Other account receivable
(1) Category of other account receivable
                                                                                                                      In RMB
                                              Closing balance                                             Opening balance
                            Book balance           Bad debt provision                   Book balance        Bad debt provision
    Category                                                           Book
                                       Proportio              Accrual                         Proportio                Accrual     Book value
                          Amount                   Amount                  value     Amount                Amount
                                          n                     ratio                             n                      ratio
Other account
receivable with bad       11,526,4                 4,569,22             6,957,211 13,943,                 4,558,806                9,384,672.1
                                       100.00%                 39.64%                          100.00%                    32.69%
debt provision               34.77                     3.50                    .27 479.12                       .96
accrual by portfolio
Other account
receivable with
single minor amount                                                                                                                        0.00
but withdrawal bad
debt provision singly
                          11,526,4                 4,569,22             6,957,211 13,943,                 4,558,806                9,384,672.1
Total                                  100.00%                 39.64%                          100.00%                    32.69%
                             34.77                     3.50                    .27 479.12                       .96
Other account receivable with major single amount and withdrawal bad debt provision single at period-end:
□ Applicable      √ Not applicable
Other account receivable with bad debt provision withdrawal by method of account age in portfolio:
√ Applicable      □ Not applicable
                                                                                                                      In RMB
                                                                                    Closing balance
           Account age
                                          Other account receivable                 Bad debt provision                   Accrual ratio
Sub-item of within one year
1-6 months                                                1,629,006.63                            81,727.11                             5.00%
6-12 months                                                   873,686.24                         87,368.62                              10.00%
Subtotal of within one year                               2,502,692.87                          169,095.74
1-2 years                                                 268,126.14                      80,437.84                                 30.00%
2-3 years                                                 150,669.20                      75,334.60                                 50.00%
Over three years                                        4,244,355.32                    4,244,355.32                           100.00%
Total                                                   7,165,843.53                    4,569,223.50
Explanation on portfolio basis:
Withdrawing bad bed provision by percentage of total other accounts receivable outstanding in portfolio
□ Applicable     √ Not applicable
Withdrawing bad bed provision by other methods in portfolio:
√ Applicable     □ Not applicable
            Portfolio                          Ending amount                               Opening amount
                                  Book balance        Accrual      Bad debt    Book balance Accrual ratio        Bad debt
                                                        ratio      provision                           %         provision
                                                         %
Shandong Maritime Bureau              1,000,000.00                                1,000,000.00
Star of Afica Co., Ltd.               3,360,591.24                                3,360,591.24
Total                                 4,360,591.24                                4,360,591.24
(2) Bad debt provision accrual, switch-back or taken back in reporting period
Amount RMB 10,416.54 accrual in the Period; amount switch-back or taken back in the Period.
Including major amount of bad debt provision that switch-back or taken back in the Period:
                                                                                                            In RMB
                   Company                           Amount switch-back or taken back                         Way
(3) Other receivables actually written-off during the reporting period
                                                                                                            In RMB
                                  Item                                                      Amount verified
Including major other account receivables written-off:
                                                                                                            In RMB
                                                                                                                     Occurred due to
    Company                Nature            Amount verified           Reasons         Verified procedures     related transaction
                                                                                                                            (Y/N)
Explanation on write-off of other receivables:
(4) Classify according to nature
                                                                                                            In RMB
                     Nature                                Ending book balance                         Opening book balance
Margin                                                                         1,100,520.00                                   1,021,836.03
Insurance claims payment receivable                                             252,832.54                                      220,450.00
Receivable export refund tax                                                                                                  5,593,057.42
Transactions and others                                                     10,173,082.23                                     7,108,135.67
Total                                                                        11,526,434.77                                   13,943,479.12
(5) Top 5 other receivables collected by arrears party at ending balance
                                                                                                               In RMB
                                                                                              Proportion in total
                                                                                                                       Ending balance of
    Company                 Nature           Ending balance           Account age         other receivables at
                                                                                                                       bad debt provision
                                                                                                  period-end
Shandong Marine
                        Margin                           1,000,000.00 Over three years                      8.68%
Affairs Bureau
Daihatsu                Intercourse funds                 288,896.39 Over three years                       2.51%               288,896.39
Insurance company       Insurance                         252,832.54 0-6 months                             2.19%                31,949.88
DIVING SEAGULL Intercourse funds                          207,072.50 Over three years                       1.80%               207,072.50
Qingdao Branch of
                        Deposit for rental                200,000.00 0-6 months                             1.74%
CMB
Total                               --                   1,948,801.43           --                         16.92%               527,918.77
(6)Account receivable involved government subsidies
                                                                                                               In RMB
                                                                                                                Time, amount and basis
         Company              Government     subsidies        Ending balance          Ending account age
                                                                                                                    estimated to received
(7) Other account receivables derecognized due to financial assets transfer
(8) Transfer the other account receivable and assets & liabilities arising from further
 involvement
Other explanation:
10. Inventory
Whether the company needs to comply with the disclosure requirements of the particular industry
No
(1) Category of inventory
                                                                                                              In RMB
                                        Closing balance                                             Opening balance
    Item                             Provision for                                               Provision for
                      Book balance                            Book value           Book balance                          Book value
                                        price fall-down                                             price fall-down
Raw materials         128,752,757.23           32,811.83     128,719,945.40         71,541,108.42         32,811.83      71,508,296.59
Inventory              82,355,688.25          522,823.51      81,832,864.74         84,023,702.28      2,472,715.03      81,550,987.25
Revolving
                          864,431.93                             864,431.93            763,206.04                           763,206.04
material
Low value
                          445,453.17                             445,453.17            813,924.17                           813,924.17
consumables
Total                 212,418,330.58          555,635.34     211,862,695.24        157,141,940.91      2,505,526.86     154,636,414.05
Does the Company comply with the disclosure requirement of “Information Disclosure Guidelines of Shenzhen
Stock Exchange No.4 – Listed Companies Engaged in Seed Industry and Planting Business” or not
No
(2) Provision for price fall-down
                                                                                                              In RMB
                                                 Current increased                       Current decreased
    Items        Opening balance                                           Switch back or                          Closing balance
                                            Accrual              Other                                  Other
                                                                                    Written-off
Raw materials               32,811.83                                                                                        32,811.83
Inventory                2,472,715.03                                                1,949,891.52                           522,823.51
Total                    2,505,526.86                                                1,949,891.52                           555,635.34
Switch back of the provision for price fall-down refers to the sals of inventory
(3) Explanation on capitalization of borrowing costs in ending balance of inventory
(4) Assets completed without settle resulted by construction contract at period-end
                                                                                                              In RMB
                               Items                                                                Amount
Other explanation:
11. Classified as assets held for sale
                                                                                                              In RMB
                                                                                      Expected disposal
             Item              Ending book value               Fair value                                       Expected disposal time
                                                                                             expenses
Other explanation:
12. Non-current assets due within one year
                                                                                                               In RMB
                     Item                                   Closing balance                                Opening balance
Other explanation:
13. Other current assets
                                                                                                               In RMB
                     Items                                  Closing balance                                Opening balance
Taxable VAT paid at period-end                                              33,136,423.87                                23,616,544.28
Income tax prepaid                                                               88,480.55                                      88,480.55
Other tax prepaid                                                                43,924.48                                      43,924.48
Total                                                                       33,268,828.90                                23,748,949.31
Other explanation:
14. Finance asset available for sales
(1) Finance asset available for sales
                                                                                                               In RMB
                                             Closing balance                                        Opening balance
             Items                             Impairment                                               Impairment
                              Book balance                       Book value       Book balance                           Book value
                                                provision                                               provision
Equity instrument available
                              33,000,000.00 33,000,000.00                         33,000,000.00         33,000,000.00
for sales:
     Measured by cost         33,000,000.00 33,000,000.00                         33,000,000.00         33,000,000.00
Total                         33,000,000.00 33,000,000.00                         33,000,000.00         33,000,000.00
(2) Finance asset available for sales measured by fair value at period-end
                                                                                                               In RMB
                               Equity instrument            Debt instrument
         Category                                                                                                       Total
                               available for sale           available for sale
(3) Finance asset available for sales measured by cost at period-end
                                                                                                                   In RMB
                               Book balance                                       Impairment provision         Cash
 Invested                                                                                         Holding dividend
          Period-beg Increase in Decrease            Period-beg Increase in Decrease           proportion in
   Unit                           in the  Period-end                         in the  Period-end invested unit for the
              in      the period                         in      the period
                                  period                                     period                           period
Equity
investment
                33,000,000                           33,000,000 33,000,000                               33,000,000
- South                                                                                                                    0.87%
                       .00                                  .00            .00                                   .00
Securities
Co., Ltd.
                33,000,000                           33,000,000 33,000,000                               33,000,000
Total                                                                                                                      --
                       .00                                  .00            .00                                   .00
(4) Impairment reserve of finance asset available for sales
                                                                                                                   In RMB
                                Equity instrument            Debt instrument
          Category                                                                                                              Total
                                available for sale           available for sale
(5) Explanation on closing fair value of equity instrument available for sale which was down
sharply or other-than-temporary drop without accrual the impairment provision
                                                                                                                   In RMB
                                                             Decline changes
                                                                                      Time to drop          Accrual
Equity instrument                                                 of fair value                                             Reasons without
                       Investment cost Ending fair value                              continuously         impairment
available for sale                                           comparing with                                                       accrual
                                                                                         (month)             amount
                                                                    its costs
Other explanation
15. Held-to-maturity investment
(1) Held-to-maturity investment
                                                                                                                   In RMB
                                        Closing balance                                                  Opening balance
         Item                             Impairment                                                       Impairment
                        Book balance                              Book value          Book balance                              Book value
                                            provision                                                       provision
(2) Major held-to-maturity investment at Period-end
                                                                                                                         In RMB
            Bond                       Face value                   Coupon rate                Real interest rates           Maturity date
(3) Re-classified as held-to-maturity investment in the period
Other explanation
16. Long-term account receivable
(1) Long-term account receivable
                                                                                                                         In RMB
                                        Closing balance                                        Opening balance
                                                                                                                                  Discount rate
       Item                                Bad debt                                                 Bad debt
                        Book balance                           Book value       Book balance                         Book value        interval
                                           provision                                                provision
(2) Long-term account receivable derecognition due to financial assets transfer
(3) Assets and liabilities resulted by long-term account receivable transfer and continues
involvement
Other explanation
17. Long-term equity investment
                                                                                                                         In RMB
                                                                          +,-
                                                                                                                                         Ending
                                                                  Other                    Cash
                                                    Investme                                                                             balance
   The                   Additiona                              comprehe                 dividend
              Opening                               nt gains                    Other                                        Closing        of
 invested                    l         Capital                    nsive                  or profit Impairme
              balance                            recognize                      equity                               Other   balance impairme
  entity                 investmen reduction                     income                  announce nt accrual
                                                    d under                     change                                                       nt
                             t                                  adjustmen                  d to
                                                     equity                                                                             provision
                                                                    t                     issued
I. Joint venture
II. Associated enterprise
Other explanation
18. Investment real estate
(1) Investment real estate measured at cost
√ Applicable □ Not applicable
                                                                                                In RMB
           Item               House and building     Land use right   Construction in process            Total
I. Original book value
     1.Opening balance               47,120,794.80                                                        47,120,794.80
     2.Current increased                581,176.39                                                           581,176.39
        (1) Outsourcing
     (2) Inventory\fixed
assets\construction in
process transfer-in
     (3) Increased by
combination
     (4) Increase of
                                        581,176.39                                                           581,176.39
office building lease
     3.Current decreased
        (1) Disposal
        (2) Other
transfer-out
     4.Closing balance               47,701,971.19                                                        47,701,971.19
II. Accumulated
depreciation and
accumulated
amortization
     1.Opening balance               13,895,890.56                                                        13,895,890.56
     2.Current increased                610,265.32                                                           610,265.32
     (1) Accrual or
                                        610,265.32                                                           610,265.32
amortization
     3.Current decreased
        (1) Disposal
        (2) Other
transfer-out
     4.Closing balance                     14,506,155.88                                                               14,506,155.88
III. Depreciation reserves
     1.Opening balance                        886,512.06                                                                 886,512.06
     2.Current increased
          (1) Accrual
     3. Current decreased
          (1) Disposal
          (2) Other
transfer-out
     4.Closing balance                        886,512.06                                                                 886,512.06
IV. Book value
     1. Ending Book
                                           32,309,303.25                                                               32,309,303.25
value
     2. Opening Book
                                           32,338,392.18                                                               32,338,392.18
value
(2) Investment real estate measure on fair value
□ Applicable      √ Not applicable
(3) Investment real estate without property certificate completed
                                                                                                            In RMB
                        Items                                   Book value                                  Reasons
Other explanation
19. Fixed assets
(1) Fixed assets
                                                                                                            In RMB
                           House and       Vessel and netting    Machine        Transportation     Furniture and
         Items                                                                                                           Total
                            building             gear           equipment        equipment        office equipment
I. Original book
value:
  1.Opening
                          117,457,596.34     459,879,579.56     40,577,242.13      7,142,397.05      11,139,890.83    636,196,705.91
balance
  2.Current
                                                           48,117.95                    462,580.33       510,698.28
increased
     (1)
                                                           48,117.95                    462,580.33       510,698.28
Purchasing
     (2)
Construction in
progress
transfer-in
     (3) Increased
by combination
  3.Current
                        714,141.41        162,533.11                    773,766.52       98,457.84      1,748,898.88
decreased
     (1) Disposal
                        714,141.41        162,533.11                    773,766.52       98,457.84      1,748,898.88
or scrapping
  4.Closing
                     116,743,454.93   459,717,046.50   40,625,360.08   6,368,630.53   11,504,013.32   634,958,505.31
balance
II. Accumulative
depreciation
  1.Opening
                      22,569,125.34   169,453,741.31   15,716,521.23   4,991,762.41    7,624,492.26   220,355,642.55
balance
  2.Current
                       4,468,238.17    12,383,378.93    1,019,260.03    214,124.64      385,397.55     18,470,399.32
increased
     (1) Accrual       4,468,238.17    12,383,378.93    1,019,260.03    214,124.64      385,397.55     18,470,399.32
  3.Current
                       2,742,410.40                          764.56     738,376.01       94,326.10      3,575,877.07
decreased
     (1) Disposal
                       2,742,410.40                          764.56     738,376.01       94,326.10      3,575,877.07
or scrapping
  4.Closing
                      24,294,953.11   181,837,120.20   16,735,016.70   4,467,511.04    7,915,563.71   235,250,164.80
balance
III. Depreciation
reserves
  1.Opening
                                         157,573.50                                                      157,573.50
balance
  2.Current
increased
     (1) Accrual
  3.Current
decreased
     (1) Disposal
or scrapping
  4.Closing
                                             157,573.50                                                                  157,573.50
balance
IV. Book value
  1. Ending
                       92,448,501.82    277,879,926.20       23,890,343.38       1,901,119.49       3,588,449.61      399,550,767.01
Book value
  2. Opening
                       94,888,471.00    290,268,264.75       24,860,720.90       2,150,634.64       3,515,398.57      415,683,489.86
Book value
(2) Temporary idle fixed assets
                                                                                                          In RMB
                                                Depreciation           Impairment
          Items        Original book value                                                   Book value                 Note
                                                accumulative             provision
(3) Fixed assets leasing-in by financing lease
                                                                                                          In RMB
                                                           Depreciation
            Items            Original book value                                 Impairment provision              Book value
                                                           accumulative
(4) Fixed assets leasing-out by operational lease
                                                                                                          In RMB
                              Items                                                      Ending book value
(5) Fixed assets without property certificate obtained
                                                                                                          In RMB
                    Items                                   Book value                       Reasons for certificate un-settled
Other explanation
Pursuant to the Debt Compensation Opinion entered into between the Company and Shandong Aquatic Products
Group in April 2006 and the civil verdict issued by People Court of Lixia district of Jinan city (2005 LZZDi-1299),
the comprehensive office building owned by Shandong Aquatic Products Group at No.43, Heping road, Lixia
District, Jinan with original value of RMB54,221,197.05 (among which, RMB9,592,434.61 was recorded as fixed
assets and others were recorded as investment property) was ruled to be vested to the Company, so as to
compensate the relevant debts. Building ownership transfer has not been registered yet; management of the
Company is in the process of making active coordination among various parties seeking for early completion of
such registration.
20. Construction in progress
(1) Construction in progress
                                                                                                                         In RMB
                                           Closing balance                                                 Opening balance
         Items                                Impairment                                                        Impairment
                          Book balance                             Book value            Book balance                             Book value
                                              provision                                                           provision
Purchased the
                          148,802,737.13                           148,802,737.13
tuna purse seiner
Atlantic fencing            4,066,989.68                             4,066,989.68          4,066,989.68                             4,066,989.68
Total                     152,869,726.81                           152,869,726.81          4,066,989.68                             4,066,989.68
(2) Changes of major project in progress
                                                                                                                         In RMB
                                                                                                        Accumul
                                                                                Proporti                             Includin
                                                                                                          ative
                                                                                 on of                                  g:
                                              Transfer     Other                                        amount
                          Opening Current                            Ending     project      Work                    interest Capitaliz Capital
  Item       Budget                           to fixed decreasin                                           of
                          balance increased                          balance investme progress                       capitaliz ing rate resources
                                               assets        g                                          interest
                                                                                 nt in                               ation in
                                                                                                        capitaliz
                                                                                budget                                Period
                                                                                                         ation
Purchase
                                                                                                                                        Loan
d the
             153,180,              148,802,                          148,802,                                                           from
tuna                                                                             97.14%
                 000.00             737.13                            737.13                                                            financial
purse
                                                                                                                                        organ
seiner
             153,180,              148,802,                          148,802,
Total                                                                               --         --                                          --
                 000.00             737.13                            737.13
(3) Impairment provision of construction in process accrual in the Period
                                                                                                                         In RMB
                     Items                               Accrual amount                               Reasons
Other explanation
21. Engineering material
                                                                                                       In RMB
                     Items                               Closing balance                          Opening balance
Other explanation:
22. Disposal of fixed assets
                                                                                                       In RMB
                     Items                               Closing balance                          Opening balance
Disposal of transportation equipment                                       -15,678.87
Total                                                                      -15,678.87
Other explanation:
23. Productive biological assets
(1) Measured by cost
□ Applicable      √ Not applicable
(2) Measured by fair value
□ Applicable      √ Not applicable
24. Oil/gas assets
□ Applicable      √ Not applicable
25. Intangible assets
(1) Intangible assets
                                                                                                       In RMB
                                                                    Non-patented
          Items              Land use right     Patent right                            Computer software           Total
                                                                     technology
I. Original book
value
     1.Opening
                                17,154,729.00                                                   197,000.00      17,351,729.00
balance
     2.Current
                                          4,512.82        4,512.82
increased
     (1) Purchasing
     (2) Internal
R&D
     (3) Increased by
combination
  3.Current
decreased
     (1) Disposal
     4.Closing
                        17,154,729.00   201,512.82   17,356,241.82
balance
II. Accumulated
amortization
     1.Opening
                         4,069,902.17   174,433.26    4,244,335.43
balance
     2.Current
                          191,935.08      3,875.19     195,810.27
increased
     (1) Accrual                          3,875.19        3,875.19
     3.Current
decreased
     (1) Disposal
     4.Closing
                         4,261,837.25   178,308.45    4,440,145.70
balance
III. Depreciation
reserves
     1.Opening
balance
     2.Current
increased
     (1) Accrual
     3.Current
decreased
        (1) disposal
     4.Closing
balance
IV. Book value
     1. Ending Book
                               12,892,891.75                                                        23,204.37          12,916,096.12
value
     2. Opening
                               13,084,826.83                                                        22,566.74          13,107,393.57
Book value
The proportion of intangible assets form by internal R&D in total book value of intangible assets at period-end.
(2) Land use right without property certificate completed
                                                                                                           In RMB
                     Items                                     Book value                                  Reasons
Other explanation:
26. Development expenses
                                                                                                           In RMB
                    Opening                                                                                               Closing
    Items                                  Current increased                           Current decreased
                    balance                                                                                               balance
Other explanation
27. Goodwill
(1) Original book value of goodwill
                                                                                                           In RMB
   The invested
 entity of events
                       Opening balance      Increase during the period           Decrease during this period         Closing balance
  with goodwill
     resulted
(2) Impairment provision of goodwill
                                                                                                           In RMB
   The invested
 entity of events      Opening balance      Increase during the period           Decrease during this period         Closing balance
  with goodwill
    resulted
Explain the impairment testing, parameter and recognition method of the impairment losses of goodwill:
Other explanation
28. Long-term deferred expenditure
                                                                                                                 In RMB
          Items          Opening balance        Current increased    Amortized in Period       Other decreased         Closing balance
Amortization of
                                       0.00            622,977.35                                                               622,977.35
decoration in HQ
Total                                                  622,977.35                                                               622,977.35
Other explanation
29. Deferred income tax asset /deferred income tax liability
(1) Deferred income tax assets un-offset
                                                                                                                 In RMB
                                              Closing balance                                         Opening balance
             Items           Deductible temporary        Deferred income tax         Deductible temporary         Deferred income tax
                                  differences                    asset                     differences                     asset
(2) Deferred income tax liabilities un-offset
                                                                                                                 In RMB
                                              Closing balance                                         Opening balance
             Items            Taxable temporary          Deferred income tax           Taxable temporary          Deferred income tax
                                  differences                   liability                  differences                    liability
(3) Amount of deferred income tax asset and deferred income tax liability after trade-off
                                                                                                                 In RMB
                                                          Ending balance of          Trade-off between the         Opening balance of
                             Trade-off between the
                                                         deferred income tax          deferred income tax          deferred income tax
             Items           deferred income tax
                                                       assets or liabilities after   assets and liabilities at   assets or liabilities after
                             assets and liabilities
                                                                off-set                   period-begin                    off-set
(4) Deferred income tax asset without confirmed
                                                                                                                 In RMB
                     Items                                 Closing balance                                 Opening balance
(5) Deductible losses of deferred income tax asset without confirmed will expired in later
year
                                                                                                          In RMB
                Year                     Closing amount                     Opening amount                        Note
Other explanation:
30. Other non-current assets
                                                                                                          In RMB
                       Items                              Closing balance                            Opening balance
INSPUR                                                                       285,524.92                                   285,524.92
Land prepayment for phase II of Zhonglu
                                                                            2,000,000.00                                 2,000,000.00
Refrigeration
Total                                                                       2,285,524.92                                 2,285,524.92
Other explanation:
31. Short-term borrowing
(1) Category of short-term borrowing
                                                                                                          In RMB
                       Items                              Closing balance                            Opening balance
Mortgage loan                                                             41,832,687.84                              28,000,000.00
Guaranteed loan                                                          100,000,000.00
Credit loan                                                               26,833,678.77                              26,961,454.59
Total                                                                    168,666,366.61                              54,961,454.59
Explanation on category of short-term borrowing:
(2) Short-term loans un-paid by expired
Total short-term loans un-paid by expired at end of the Period was 0 Yuan, including important short-term loans
are as:
                                                                                                          In RMB
          Unit                 Ending balance               Loans rate                Overdue time          Overdue interest rate
Other explanation:
32. Financial liability measured by fair value and with its variation reckoned into current
gains/losses
                                                                                                          In RMB
                     Item                               Closing balance                         Opening balance
Other explanation:
33. Derivative financial liabilities
□ Applicable   √ Not applicable
34. Note payable
                                                                                                     In RMB
                 Category                               Closing balance                         Opening balance
Totally Yuan due note payable are paid at period-end.
35.     Account payable
(1) Account payable
                                                                                                     In RMB
                     Items                              Closing balance                         Opening balance
Within one year (one year included)                                   98,536,221.70                             52,427,574.40
Over 1 year                                                               4,574,419.18                            6,746,158.48
Total                                                                103,110,640.88                             59,173,732.88
(2) Major account payable over one year
                                                                                                     In RMB
                     Items                              Closing balance                  Reasons of un-paid or carry-over
Other explanation:
36.     Account received in advance
(1) Account received in advance
                                                                                                     In RMB
                     Items                              Closing balance                         Opening balance
Within one year (one year included)                                       7,598,394.56                          19,591,036.39
Over 1 year                                                                349,863.72                              349,863.72
Total                                                                     7,948,258.28                          19,940,900.11
(2) Major account received in advance with over one year age
                                                                                                           In RMB
                       Items                             Closing balance                     Reasons of un-paid or carry-over
(3) Projects un-completed but settled from construction contract at end of the Period
                                                                                                           In RMB
                               Items                                                          Amount
Other explanation:
37. Salary payable
(1) Salary payable
                                                                                                           In RMB
                                                        Increase during the       Decrease during this
               Items           Opening balance                                                                Closing balance
                                                              period                    period
I. Short-term compensation             30,320,927.64            48,536,179.20             58,120,425.92             20,736,680.92
II. Post-employment
welfare- defined                                 0.00            3,419,616.12              3,419,616.12                         0.00
contribution plans
III. Dismissal welfare                   253,690.98                        0.00               71,943.62                181,747.36
IV. Other welfare due
                                          37,785.14                        0.00                     0.00                37,785.14
within one year
Total                                  30,612,403.76            51,955,795.32             61,611,985.66             20,956,213.42
(2) Short-term compensation
                                                                                                           In RMB
                                                        Increase during the       Decrease during this
               Items           Opening balance                                                                Closing balance
                                                              period                    period
1. Wages, bonuses,allowances
                                       28,903,757.58            42,500,459.30             52,271,626.22             19,132,590.66
andsubsidies
2. Welfare for workers
                                                 0.00            1,919,377.99              1,919,377.99                         0.00
and staff
3. Social insurance                              0.00            1,783,700.58              1,783,700.58                         0.00
     Including: Medical
                                                 0.00            1,488,566.47              1,488,566.47                         0.00
insurance
                 Work injury                     0.00              136,868.09                136,868.09                         0.00
insurance
              Maternity
                                               0.00              158,266.02                  158,266.02                        0.00
insurance
4. Housing accumulation
                                               0.00            1,429,305.17                1,429,305.17                        0.00
fund
5. Labor union
expenditure and
                                    1,417,170.06                 226,532.01                   39,611.81               1,604,090.26
personnel education
expense
6. Short-term paid
                                               0.00              676,804.15                  676,804.15                        0.00
absence
7. Short-term profit
                                               0.00                      0.00                      0.00                        0.00
sharing scheme
Total                              30,320,927.64              48,536,179.20               58,120,425.92            20,736,680.92
(3) Defined contribution plans
                                                                                                          In RMB
                                                      Increase during the        Decrease during this
            Items            Opening balance                                                                 Closing balance
                                                            period                       period
1. Basic endowment
                                                               3,153,847.07                3,153,847.07
insurance
2. Unemployment
                                                                 128,966.45                  128,966.45
insurance
3. Enterprise annuity
                                                                         0.00                      0.00
payment
4. Other                                                         136,802.60                  136,802.60
Total                                          0.00            3,419,616.12                3,419,616.12                        0.00
Other explanation:
38. Tax payable
                                                                                                          In RMB
                     Items                             Closing balance                              Opening balance
Value-added tax                                                             107,772.18                                 147,692.07
Enterprise income tax                                                       296,757.07                                 701,435.86
Individual income tax                                                       217,407.94                                 120,112.87
Urban maintenance and construction tax                                          274.66                                   2,068.39
House property tax                                                          401,341.49                                 211,836.25
Land use tax                                                                150,809.98                                   154,055.30
Educational additional                                                        1,091.04                                       886.45
Other tax                                                                     8,069.96                                     6,792.66
Total                                                                      1,183,524.32                                 1,344,879.85
Other explanation:
39. Interest payable
                                                                                                           In RMB
                     Items                               Closing balance                              Opening balance
Interest payable for short-term loans                                                                                     86,747.10
Total                                                                                                                     86,747.10
Interest overdue without paid:
                                                                                                           In RMB
                 Borrower                                Amount overdue                                   Reasons
Other explanation:
40. Dividend payable
                                                                                                           In RMB
                     Items                               Closing balance                              Opening balance
Other explanation, including dividend payable unpaid over one year, and explain the reasons:
41. Other payable
(1) Classification of other payable according to nature of account
                                                                                                           In RMB
                     Items                               Closing balance                              Opening balance
Within 1 year (including 1 year)                                           4,476,852.04                                  785,938.83
Over 1 year                                                                3,131,806.40                                 4,435,101.99
Total                                                                      7,608,658.44                                 5,221,040.82
(2) Significant other payable with over one year age
                                                                                                           In RMB
                     Items                               Closing balance                       Reasons of un-paid or carry-over
Other explanation
42. Classified as liabilities held for sale
                                                                                                          In RMB
                      Items                              Closing balance                             Opening balance
Other explanation:
43. Non-current liabilities due within one year
                                                                                                          In RMB
                      Items                              Closing balance                             Opening balance
Deferred income due within one year                                         433,292.74                                 866,585.48
Total                                                                       433,292.74                                 866,585.48
Other explanation:
44. Other current liability
                                                                                                          In RMB
                      Items                              Closing balance                             Opening balance
Changes of short-term payable bonds:
                                                                                                          In RMB
                                                                                         Amortizat
                                                                              Interest    ion of
              Face        Issuing    Bond       Issue   Opening Issued in     accrual    premium     Paid in             Closing
  Bond
              value           date   period    amount   balance the Period by face       price and the Period            balance
                                                                               value     conversio
                                                                                            n
Other explanation:
45. Long-term loans
(1) Classification of long-term loans
                                                                                                          In RMB
                      Items                              Closing balance                             Opening balance
Explanation on category of long-term loans:
Other explanation, including interest rate section:
46. Bonds payable
(1) Bonds payable
                                                                                                          In RMB
                     Item                                    Closing balance                               Opening balance
(2) Changes of bond payable (excluding other financial instrument of preferred stock and
perpetual capital securities that classified as financial liability)
                                                                                                               In RMB
(3) Condition of convertible bonds and time of transferring
(4) Other financial instrument classified as financial liabilities
Outstanding preferred stock and perpetual capital securities at period-end
Changes of the outstanding preferred stock and perpetual capital securities at period-end
                                                                                                               In RMB
 Outstanding            Period-begin            Increase during the period     Decrease during this period          Period-end
   financial
                    Amount      Book value        Amount       Book value        Amount       Book value      Amount         Book value
  instrument
Explanations on basis of other financial instrument classified into financial liabilities
Other explanation
47. Long-term account payable
 (1) Listed by nature
                                                                                                               In RMB
                     Items                                   Closing balance                               Opening balance
Other explanation:
48. Long-term employee payable
 (1) Long-term employee payable
                                                                                                               In RMB
                     Items                                   Closing balance                               Opening balance
I Post-employment benefit – net liability of
                                                                                 648,548.88                                   648,548.88
the defined benefit plan
III. Other long-term welfare                                                   1,051,202.96                                  1,051,202.96
Total                                                                          1,699,751.84                                  1,699,751.84
(2) Change of defined benefit plan
Present value of the obligation of defined benefit plan:
                                                                                                                In RMB
                     Items                                     Current Period                                 Last Period
Scheme assets:
                                                                                                                In RMB
                     Items                                     Current Period                                 Last Period
Net liability(assets) of the defined benefit plan
                                                                                                                In RMB
                     Items                                     Current Period                                 Last Period
Contents of defined benefit plan and the risks associate thereof, influences upon the Company’s future cash flow,
timing and uncertainty:
The material actuary assumption and sensitive analysis relating to defined benefit plan is explained as follows:
Other explanation:
49. Special payable
                                                                                                                In RMB
                                                Increase during the Decrease during this
    Items              Opening balance                                                        Closing balance           Causes
                                                      period                    period
Other explanation:
50. Accrued liabilities
                                                                                                                In RMB
               Items                         Closing balance                    Opening balance                         Causes
Other explanation, including relevant important hypothesis and estimation:
51. Deferred income
                                                                                                                In RMB
                                                Increase during the Decrease during this
    Items              Opening balance                                                        Closing balance           Causes
                                                      period                    period
Government grants              10,572,454.62                                                          10,572,454.62
Total                          10,572,454.62                                                          10,572,454.62              --
Item with government subsidy concerned:
                                                                                                                In RMB
                                                              Amount reckoned
                                         Subsidy increase           into                                                  Assets-related/
    Item           Opening balance                                             Other changes      Closing balance
                                         during this period    non-operation                                              Income-related
                                                               revenue in the
                                                                    Period
Construction
                         9,867,781.98                                                                     9,867,781.98
special fund
Financial
ship-building                704,672.64                                                                       704,672.64
discount
Total                   10,572,454.62                                                                   10,572,454.62              --
Other explanation:
52. Other non-current liability
                                                                                                                  In RMB
                     Items                                     Closing balance                                Opening balance
Other explanation:
53. Share capital
                                                                                                                  In RMB
                                                                  Changes in the Period (+,-)
                      Opening                                           Shares transfer                                          Closing
                                     Issuing new
                      balance                           Bonus shares     from public            Other          Subtotal          balance
                                          shares
                                                                             reserves
Total shares    266,071,320.00                                                                                               266,071,320.00
Other explanation:
54. Other equity instrument
(1) Other financial instrument of outstanding preferred stock and perpetual capital
 securities at period-end
(2) Changes of financial instrument of outstanding preferred stock and perpetual capital
securities at period-end
                                                                                                                  In RMB
 Outstanding            Period-begin               Increase during the period    Decrease during this period              Period-end
  financial
                 Amount          Book value         Amount       Book value        Amount        Book value      Amount         Book value
  instrument
Changes of other equity instrument, explanation on changes and basis of relevant accounting treatment:
Other explanation:
55. Capital surplus
                                                                                                                       In RMB
                                                          Increase during the              Decrease during this
           Items                 Opening balance                                                                          Closing balance
                                                                 period                           period
Capital premium (equity
                                      185,036,701.86                                                                            185,036,701.86
premium)
Other Capital surplus                  94,961,504.96                                                                             94,961,504.96
Total                                 279,998,206.82                                                                            279,998,206.82
Other explanation, including changes and reasons of changes:
56. Treasury stock
                                                                                                                       In RMB
                                                          Increase during the              Decrease during this
           Items                 Opening balance                                                                          Closing balance
                                                                 period                           period
Other explanation, including changes and reasons for changes:
57. Other consolidated income
                                                                                                                       In RMB
                                                                                       Current Period
                                                                        Less: written in
                                                                             other
                                                                        comprehensive
                                                          Account                                          Belong to     Belong to
                                           Opening                         income in                                                  Closing
                   Items                                   before                          Less : income    parent        minority
                                            balance                     previous period                                               balance
                                                        income tax in                       tax expense company after shareholders
                                                                          and carried
                                                         the period                                           tax         after tax
                                                                        forward to gains
                                                                         and losses in
                                                                         current period
(II) Other comprehensive income
                                                                                                                                      -310,326.
items which will be reclassified          -665,059.07 354,732.98                                           354,732.98
subsequently to profit or loss
Translation differences of foreign                                                                                                    -310,326.
                                          -665,059.07 354,732.98                                           354,732.98
financial sheet
                                                                                                                                      -310,326.
Total of other consolidated income        -665,059.07 354,732.98                                           354,732.98
Other explanation, including the active part of the hedging gains/losses of cash flow transfer to initial
reorganization adjustment for the arbitraged items:
58. Reasonable reserve
                                                                                                             In RMB
                                                          Increase during the         Decrease during this
           Items                Opening balance                                                                  Closing balance
                                                                 period                      period
Other explanation, including changes and reasons for changes:
59. Surplus reserves
                                                                                                             In RMB
                                                          Increase during the         Decrease during this
           Items                Opening balance                                                                  Closing balance
                                                                 period                      period
Statutory surplus
                                       21,908,064.19                                                                   21,908,064.19
reserves
Total                                  21,908,064.19                                                                   21,908,064.19
Other explanation, including changes and reasons for changes:
60. Retained profit
                                                                                                             In RMB
                       Items                                        This period                              Last period
Retained profits at the end of last year before
                                                                                  50,349,731.78                            -2,235,338.96
adjustment
Retained profits at the beginning of the period
                                                                                  50,349,731.78                            -2,235,338.96
after adjustment
Add: net profit attributable to owners of parent
                                                                                  32,001,590.86                        52,585,070.74
company
Retained profit at period-end                                                     82,351,322.64                        50,349,731.78
Details about adjusting the retained profits at the beginning of the period:
1) The retroactive adjustments to Accounting Standards for Business Enterprises and its relevant new regulations
affect the retained profits at the beginning of the period amounting to 0 Yuan.
2) The changes in accounting policies affect the retained profits at the beginning of the period amounting to 0
Yuan.
3) The major accounting error correction affects the retained profits at the beginning of the period amounting to 0
Yuan
4) Merge scope changes caused by the same control affect the retained profits at the beginning of the period
amounting to 0 Yuan.
5) Other adjustments affect the retained profits at the beginning of the period amounting to 0 Yuan
61. Operating income and cost
                                                                                                          In RMB
                                             Current Period                                       Last Period
            Items
                                    Income                    Cost                       Income                     Cost
Main operating                      435,825,365.50            377,649,192.30             402,902,159.56             381,353,587.60
Other operating                         4,352,726.25             718,241.91                4,988,634.22                843,405.00
Total                               440,178,091.75            378,367,434.21             407,890,793.78             382,196,992.60
62. Tax and surcharges
                                                                                                          In RMB
                     Items                               Current Period                               Last Period
City maintenance and construction tax                                      305,392.09                                       4,508.00
Educational surtax                                                         218,137.21                                       3,192.50
House property tax                                                         740,050.43                                  133,200.00
Land use tax                                                               315,805.99
Vehicle and vessel tax                                                      27,664.36
Stamp tax                                                                   54,922.03
Business tax                                                                                                               64,400.00
Local water conservancy construction fund                                   43,464.74
Other                                                                                                                      35,150.47
Total                                                                     1,705,436.85                                 240,450.97
Other explanation:
63. Sales expenses
                                                                                                          In RMB
                     Items                               Current Period                               Last Period
Payroll payable                                                            734,426.40                                  502,157.65
Port surcharge                                                             355,592.64                                 1,491,034.68
Freight and miscellaneous charges                                         2,851,332.58                                 577,967.71
Customs censoring charges
Travelling charge                                                           11,898.35                                      38,367.10
Business publicity expenses                                                 86,618.05                                      95,279.59
Other                                                                       41,435.46                                      33,650.65
Total                                                                     4,081,303.48                                2,738,457.38
Other explanation:
64. Administrative expenses
                                                                      In RMB
                     Items          Current Period                   Last Period
Payroll payable                                       9,212,316.46                  8,917,176.41
Depreciation                                           556,028.52                    760,740.14
Travelling charge                                     1,054,696.16                   338,936.43
Business entertainment expenses                        555,868.54                    661,253.56
Expense of taxation                                                                  781,002.24
Vehicles charge                                        125,250.73                    254,460.57
Attorney charge                                        813,954.48                    708,252.22
Office allowance                                       212,314.01                    267,058.20
Property water and electricity                         153,112.13                     96,610.32
Amortization of intangible assets                      195,735.06                    195,735.06
Other                                                 3,314,423.72                  1,400,333.67
Total                                                16,193,699.81                 14,381,558.82
Other explanation:
65.Financial expenses
                                                                      In RMB
                     Items          Current Period                   Last Period
Interest costs                                        2,891,553.08                  1,810,730.46
Less: interest income                                  352,460.61                    181,267.53
Exchange loss                                         4,141,704.98                   839,850.57
Less: exchange gains                                   562,848.61                   3,449,536.51
Handing expense                                        330,949.94                    123,871.81
Other expense                                           68,814.21                     51,500.39
Total                                                 6,517,713.00                   -804,850.82
Other explanation:
66. Losses on assets impairment
                                                                      In RMB
                     Item           Current Period                   Last Period
I. Bad debt losses                                                                 10,500.00
Total                                                                              10,500.00
Other explanation:
67. Gains from changes of fair value
                                                                                                                 In RMB
Source of gains from changes of fair value                    Current Period                                   Last Period
Other explanation:
68. Gains on investment
                                                                                                                 In RMB
                        Item                                      Current Period                                 Last Period
Other explanation:
69. Other income
                                                                                                                 In RMB
                     Sources                                  Current Period                                   Last Period
70. Non-operating expenditure
                                                                                                                 In RMB
                                                                                                             Amount reckoned in current
              Items                         Current Period                      Last Period
                                                                                                             non-recurring gains/losses
Total income from disposal of
                                                       262,776.33                         2,672,766.60
non-current assets
Including: Gains from disposal
                                                       262,776.33                              40,831.07                         262,776.33
of fixed assets
Government subsidy                                     433,292.74                            443,568.74                          433,292.74
Indemnity from insurance
                                                       205,791.69                                                                205,791.69
company
Other                                                        9,117.16                     2,941,838.21                             9,117.16
Total                                                  910,977.92                         3,426,238.02                           910,977.92
Government subsidy reckoned into current gains/losses:
                                                                                                                 In RMB
                     Issuing     Offering                        Subsidy       The special      Amount in      Amount in       Assets-relate
    Item                                         Nature
                     subject     causes                           impact        subsidy         the Period      last period    d/income-rela
                                                                current        (Y/N)                                        ted
                                                            gains/losses
                                                                (Y/N)
                                        Subsidy
                                        achieved for
                                        engaging       in
                                        specific
                                        business     or
                                        industry
                                        encouraged
Financial
                                        and                                                                            Assets-relate
ship-building               Subsidy                         Y              N                  14,188.00    14,188.00
                                        supported by                                                                   d
discount
                                        the   country
                                        (obtained
                                        legitimately
                                        according to
                                        national
                                        policies    and
                                        regulations)
                                        Subsidy
                                        achieved for
                                        engaging       in
                                        specific
                                        business     or
                                        industry
                                        encouraged
Special
                                        and                                                                            Assets-relate
construction                Subsidy                         Y              N                 419,104.74   429,380.74
                                        supported by                                                                   d
fund
                                        the   country
                                        (obtained
                                        legitimately
                                        according to
                                        national
                                        policies    and
                                        regulations)
Total                  --        --           --                  --             --          433,292.74   443,568.74         --
Other explanation:
71. Non-operating expenses
                                                                                                           In RMB
                                                                                                      Amount included in current
                Item                  Current Period                           Last Period
                                                                                                     non-recurring profits or losses
Total losses on disposal of
                                                   399.90                           9,680.71
non-current assets
Including: loss on disposal of
                                                   399.90                           2,163.80                         399.90
fixed assets
Other                                           295,719.88                          7,516.91                     295,719.88
Additional overdue find of state
                                                  4,282.38                                                          4,282.38
taxes
Total                                           300,402.16                          9,680.71                     300,402.38
Other explanation:
72. Income tax expenses
(1) Statement of income tax expense
                                                                                                      In RMB
                     Items                         Current Period                                Last Period
Current income tax expense                                            453,724.36                                 264,529.60
Total                                                                 453,724.36                                 264,529.60
(2) Adjustment on accounting profit and income tax expenses
                                                                                                      In RMB
                                 Items                                               Current Period
Total profit                                                                                                   33,912,580.16
Income tax based on statutory/applicable rate                                                                    453,724.36
Income tax expense                                                                                               453,724.36
Other explanation
73. Other comprehensive income
See Note 57.
74. Items of statement of cash flow
(1) Other cash received in relation to operation activities
                                                                                                      In RMB
                     Items                         Current Period                                Last Period
Intercourse funds and others                                        42,741,358.46                              36,914,813.79
Including: financial expense- interest
                                                                                362,762.21                    193,534.85
income
Total                                                                         43,104,120.67                 37,108,348.64
Explanation on other cash received in relation to operation activities:
 (2) Other cash paid in relation to operation activities
                                                                                               In RMB
                    Items                                    Current Period                   Last Period
Expenses of management cash paid                                               4,119,883.15                  9,521,672.42
Sales expenses paid in cash                                                    1,234,748.50                  2,738,457.38
Intercourse funds and others                                                  49,044,939.72                 48,150,288.98
Purchase of financial products                                                                               7,000,000.00
Total                                                                         54,399,571.37                 67,410,418.78
Explanation on other cash paid in relation to operation activities:
 (3) Cash received from other investment activities
                                                                                               In RMB
                    Items                                    Current Period                   Last Period
Explanation on cash received from other investment activities
(4) Cash paid related with investment activities
                                                                                               In RMB
                    Items                                    Current Period                   Last Period
Other                                                                                                          84,559.42
Total                                                                                                          84,559.42
支付的其他与投资活动有关的现金说明:
 (5) Other cash received in relation to financing activities
                                                                                               In RMB
                    Items                                    Current Period                   Last Period
Explanation on other cash received in relation to financing activities
(6) Cash paid related with financing activities
                                                                                               In RMB
                    Items                                    Current Period                   Last Period
Explanation on cash paid related with financing activities:
75. Supplementary information to statement of cash flow
(1) Supplementary information to statement of cash flow
                                                                                             In RMB
          Supplementary information                           This Period                   Last Period
1. Net profit adjusted to cash flow of
                                                                  --                            --
operation activities:
Net profit                                                                  33,458,855.80                 12,290,212.54
Add: Assets impairment provision                                            -1,943,630.88                   -201,172.25
Depreciation of fixed assets, consumption of
oil assets and depreciation of productive                                   15,751,219.98                 16,243,824.31
biology assets
Amortization of intangible assets                                             195,735.06                     195,735.06
Loss from disposal of fixed assets, intangible
assets and other long-term assets(gain is                                     -247,813.32                  -2,663,085.89
listed with “-”)
Financial expenses (gain is listed with “-”)                               2,891,561.26                  1,050,289.43
Decrease of inventory (increase is listed with
                                                                        -55,276,389.67                    -14,960,244.79
“-”)
Decrease of operating receivable accounts
                                                                            -1,486,025.93                 -34,189,476.51
(increase is listed with “-”)
Increase of operating payable accounts
                                                                            24,532,644.24                 38,467,499.68
(decrease is listed with “-”)
Net cash flow arising from operating
                                                                            17,876,156.54                 16,233,581.58
activities
2. Material investment and financing not
                                                                  --                            --
involved in cash flow
3. Net change of cash and cash equivalents:                       --                            --
Balance of cash at period end                                           102,884,493.47                    79,772,739.78
Less: Balance of cash equivalent at
                                                                        129,521,203.29                    72,428,421.94
year-begin
Net increasing of cash and cash equivalents                             -26,636,709.82                     7,344,317.84
(2) Net cash paid for obtaining subsidiary in the Period
                                                                                             In RMB
                                                                                                   Amount
Including:                                                                                             --
Including:                                                                                             --
Including:                                                                                             --
Other explanation:
(3) Net cash received by disposing subsidiary in the Period
                                                                                                                In RMB
                                                                                                   Amount
Including:                                                                                             --
Including:                                                                                             --
Including:                                                                                             --
Other explanation:
(4) Constitution of cash and cash equivalent:
                                                                                                                In RMB
                      Item                                  Closing balance                                 Opening balance
Ⅰ. Cash                                                                   102,884,493.47                                129,521,203.29
Including: Cash on hand                                                      2,768,761.41                                     1,733,006.22
       Bank deposit available for payment
                                                                            99,561,338.48                                128,664,656.08
at any time
     Other monetary fund available for
                                                                              554,393.58                                       784,064.34
payment at any time
Ⅲ. Balance of cash and cash equivalent at
                                                                           102,100,951.96                                128,737,661.78
period-end
Other explanation:
76. Notes of changes of owners’ equity
Explain the name and adjusted amount in “Other” at end of last period:
77. Assets with ownership or use right restricted
                                                                                                                In RMB
                      Item                                Ending book value                             Restriction reasons
                                                                                            Other monetary fund, L/C Guarantee
Monetary fund                                                                 783,541.51
                                                                                            deposits
Fixed assets                                                                  80,517,681.32 Real estate, mortgage bank
Intangible assets                                                             12,892,891.75 Lands, mortgage bank
Total                                                                         94,194,114.58                        --
Other explanation:
78. Item of foreign currency
(1) Item of foreign currency
                                                                                                               In RMB
                                      Closing balance of foreign
               Items                                                       Rate of conversion          Ending RMB balance converted
                                                currency
Including: USD                                        4,363,269.58 6.7744                                                29,558,533.44
    EUR                                                36,817.90 7.7496                                                285,324.00
JPY                                                  72,612,178.00 0.060485                                               4,391,947.59
CEDI                                                  1,573,618.46 1.6258                                                 2,558,388.89
Including: USD                                        2,667,650.06 6.7744                                                18,071,728.57
JPY                                                 171,613,198.59 0.060485                                              10,380,024.32
Other explanation:
(2) Explanation on foreign operational entity, including as for the major foreign
operational entity, disclosed main operation place, book-keeping currency and basis for
selection; if the book-keeping currency changed, explain reasons
√Applicable   □ Not applicable
   major foreign operation
                                Foreign main operation place       Book-keping currency                    Basis
            entity
HABITAT
                                                                                              The economic enviornment
INTERNATIONAL                              Panama                         CNY
                                                                                              in the operation sites
CORPORATION
LAIF                FISHERIES                                                                 The economic enviornment
                                           Garner                         USD
COMPANY LIMITED                                                                               in the operation sites
YAW ADDO FISHERIES                                                                            The economic enviornment
                                           Garner                         USD
COMPANY LIMITED                                                                               in the operation sites
79. Hedging
Disclosed hedging items and relevant hedging instrument based on hedging’s category, disclosed qualitative and
quantitative information for the arbitrage risks:
80. Other
VIII. Changes of consolidation scope
1. Enterprise consolidation not under the same control
(1) Enterprise consolidation not under the same control
                                                                                                             In RMB
                                                                                                          Income of    Net profit of
                                                                                          Standard to
                 Time point       Cost of        Ratio of       Acquired                                 acquiree from acquiree from
                                                                              Purchasing determine the
  Acquiree       for equity        equity         equity       way Equity                                 purchasing    purchasing
                                                                                  date     purchasing
                  obtained       obtained        obtained     obtained way                                   date to      date to
                                                                                              date
                                                                                                          period-end    period-end
Other explanation:
(2) Combination cost and goodwill
                                                                                                             In RMB
                         Combination cost
Determination method for fair value of the combination cost and contingent consideration and changes:
Main reasons for large goodwill resulted:
Other explanation:
(3) Identifiable assets and liability on purchasing date under the acquiree
                                                                                                             In RMB
                                                     Fair value on purchasing date             Book value on purchasing date
Determination method for fair value of the identifiable assets and liabilities:
Contingent liability of the acquiree bear during combination:
Other explanation:
(4) Gains or losses arising from re-measured by fair value for the equity held before
purchasing date
Whether it is a business combination realized by two or more transactions of exchange and a transaction of
obtained control rights in the Period or not
□Y √N
(5) On purchasing date or period-end of the combination, combination consideration or fair
value of identifiable assets and liability for the acquiree are un-able to confirm rationally
 (6) Other explanation
2. Enterprise combined under the same control
 (1) Enterprise combined under the same control in the Period
                                                                                                               In RMB
                                                                            Income of the Net profit of
                                                                              combined     the combined
                                                                                                            Income of the Net profit of
                                                                              party from    party from
                                 Basis of                     Standard to                                     combined    the combined
                Equity ratio                                                period-begin period-begin
                                combined      Combination determine the                                     party during party during
  Acquiree      obtained in                                                       of             of
                                under the         date       combination                                         the               the
                combination                                                 combination combination
                               same control                      date                                        comparison    comparison
                                                                                to the         to the
                                                                                                               period         period
                                                                            combination combination
                                                                                 date           date
Other explanation:
(2) Combination cost
                                                                                                               In RMB
                        Combination cost
Explanation on contingent consideration and its changes:
Other explanation:
(3) Assets and liability of the combined party on combination date
                                                                                                               In RMB
                                                           Combination date                           Ending period of last year
Contingent liability of the combined party bear during combination
Other explanation:
3. Counter purchase
Basic information of transactions, basis of transactions constituting counter purchase, whether assets and liabilities
reserved by listed companies constituting business and their basis, confirmation of combined cost, the amount
occurred when adjusting rights and interests in accordance with equity transaction and its calculation:
4. Disposal of subsidiaries
Losing controlling rights while dispose subsidiary on one-time
□Yes √No
Dispose subsidiary step by step through multi-dealings and losing controlling rights in the Period
□Yes √No
5. Changes of combination scope
Other reasons contributed the changes for combination scope (e.g. new subsidiary established, liquidate subsidiary
etc.):
6. Other
IX. Equity in other entity
1. Equity in subsidiary
(1) Constitute of enterprise group
                     Main operation                                                   Share-holding ratio
     Subsidiary                        Registered place    Business nature                                           Acquired way
                          place                                                   Directly           Indirectly
Shandong
Zhonglu Fishery Qingdao               Qingdao             Refrigerated
                                                                                      100.00%                     Investment
Shipping Co.,      Shandong           Shandong            transport
Ltd.
Shandong
Zhonglu Oceanic
                   Yantai Shandong Yantai Shandong Food processing                    100.00%                     Investment
(Yantai) Food
Co., Ltd.
Shandong
Zhonglu Haiyan     Qingdao            Qingdao
                                                          Pelagic fishing              81.26%                     Investment
Oceanic Fishery    Shandong           Shandong
Co., Ltd.
HABITAT
INTERNATION                                               Refrigerated
                   Panama             Panama                                          100.00%                     Investment
AL                                                        transport
CORPORATION
YAW ADDO
FISHERIES
                   Garner             Garner              Pelagic fishing                                         Operating lease
COMPANY
LIMITED
Explanation on share-holding ratio in subsidiary different from ratio of voting right:
Basis for controlling the invested entity with half or below voting rights held and without controlling invested
entity but with over half and over voting rights:
Controlling basis for the structuring entity included in consolidated range:
Basis on determining to be an agent or consignor:
Other explanation:
(2) Important non-wholly-owned subsidiary
                                                                                                                                      In RMB
                                                                                                         Dividend announced to
                                   Share-holding ratio of          Gains/losses attributable                                                  Ending equity of
          Subsidiary                                                                                    distribute for minority in
                                         minority                  to minority in the Period                                                     minority
                                                                                                               the Period
Shandong Zhonglu
Haiyan Oceanic Fishery                                18.74%                       5,055,199.11                                                      33,097,484.30
Co., Ltd.
Explanation on share-holding ratio of minority different from ratio of voting right:
Other explanation:
(3) Main finance of the important non-wholly-owned subsidiary
                                                                                                                                      In RMB
                                       Closing balance                                                                 Opening balance
Subsidia                 Non-curr                              Non-curr                                  Non-curr                              Non-curr
             Current                   Total       Current                      Total      Current                      Total     Current                      Total
     ry                    ent                                     ent                                      ent                                   ent
              assets                  assets       liability                   liability       assets                   assets    liability                   liability
                          assets                               liability                                   assets                               liability
Shandon
g
Zhonglu
             80,825,5 239,567, 320,393, 135,299, 704,672. 136,004, 96,844,1 92,416,5 189,260, 12,017,6 704,672. 12,722,2
Haiyan
                 28.26     646.77      175.03        436.58              64      109.22          05.24       72.75      677.99       18.20              64       90.84
Oceanic
Fishery
Co., Ltd.
                                                                                                                                      In RMB
                                           Current Period                                                                  Last Period
                                                                              Cash flow                                                                 Cash flow
                                                           Total                                                                       Total
    Subsidiary     Operation                                                    from             Operation                                                   from
                                      Net profit      comprehensi                                                    Net profit    comprehensi
                       Income                                                 operation           Income                                                 operation
                                                        ve income                                                                    ve income
                                                                               activity                                                                     activity
Shandong          46,126,136.8                                             34,584,084.0 28,313,004.2                                                    18,146,183.3
                                     7,776,226.98 7,819,205.69                                                      3,894,567.56 3,672,699.56
Zhonglu                          7                                                         5                  4
Haiyan
Oceanic
Fishery Co.,
Ltd.
Other explanation:
(4) Use of the corporate funds and major limitation of debt liquidation of the group
(5) Financial supporting or other supports offer to the structured body, which included in
consolidation statement scope
Other explanation:
2. Transaction that has owners equity shares changed in subsidiary but still with controlling
rights
(1) Owners equity shares changed in subsidiary
(2) Impact on minority’s interest and owners’ equity attributable to parent company
                                                                                                           In RMB
Other explanation
3. Equity in joint venture and cooperative enterprise
 (1) Important joint venture and cooperative enterprise
                                                                                     Share-holding ratio             Accounting
                                                                                                                     treatment on
                     Main operation                                                                                 investment for
       Name                             Registered place   Business nature
                          place                                                 Directly           Indirectly      joint venture and
                                                                                                                     cooperative
                                                                                                                      enterprise
Share-holding ratio or shares enjoyed different from voting right ratio:
Basis of the voting rights with 20% below but with major influence, or without major influence but with over 20%
(20% included) voting rights hold:
 (2) Main financial information of the important joint venture
                                                                                                           In RMB
                                                   Closing balance /Current Period             Opening balance /Last Period
Other explanation
(3) Main financial information of the important cooperative enterprise
                                                                                                             In RMB
                                                  Closing balance /Current Period                 Opening balance /Last Period
Other explanation
(4) Summary of the financial information for those minor joint venture and affiliates
                                                                                                             In RMB
                                                   Closing balance /Current Period                Opening balance /Last Period
Joint venture:                                                    --                                           --
Total of the items counted by share-holding
                                                                  --                                           --
ratio
Cooperative enterprise:                                           --                                           --
Total of the items counted by share-holding
                                                                  --                                           --
ratio
Other explanation
(5) Major limitation of the capital transfer to the Company from joint venture or affiliates
(6)Excess deficit arising from joint venture or affiliates
                                                                                                             In RMB
                                                                  Loss un-confirmed in the Period
                                        Accumulative loss                                             Accumulative loss confirmed at
    Joint venture or affiliates                                        (or net profit shared in the
                                      un-confirmed previous                                                     period-end
                                                                                 Period)
Other explanation
(7)Un-confirmed commitment with joint venture investment concerned
(8)Contingency with investment of joint venture investment concerned
4. Major co-management
                                                                                               Share-holding ratio /shares enjoyed
    Name            Main operation place   Registered place        Business nature
                                                                                                  Directly            Indirectly
Explanation on difference of the voting rights over share-holding or share enjoyed in co-management:
As for the independent entity, basis of co-management classification:
Other explanation
5. Equity in structured entities not included in the consolidated financial statements
Note of structured entities not included in the consolidated financial statements:
6. Other
X. Risks related to financial instruments
The financial assets of the Company include accounts receivable and other receivables. The financial liabilities of
the Company include accounts payable, other payables and short-term loans. For details of each financial instrument,
please refer to the relevant items in Note 5. The Company is faced with the risks of various financial instruments in
its daily activities, mainly including credit risk, liquidity risk and market risk. The board of directors is responsible
for establishing and supervising the risk management structure of the Company and developing and monitoring the
Company's risk management policies.
Risk management objectives and policies: the Company's goal of risk management is to strike a proper balance
between risks and profits, minimize the negative impacts of the risks on the Company's operating results and
maximize the benefits of shareholders and other equity investors.
1. Credit risk
If the customer or the other party involving in the financial instruments cannot fulfill the obligations under the
contract and cause financial losses to the Company, that is credit risk. Credit risk is mainly from the customer
receivables. The book value of account receivables and notes receivable and other receivables is the maximum credit
risk of the Company for financial assets.
2. Liquidity risk
Liquidity risk is the risk of the shortage of funds when the Company is fulfilling its obligations related to financial
liabilities. In the case of normal and tense funds, the Company needs to ensure that there is sufficient liquidity to
meet its due debts and negotiate with financial institutions for financing so as to maintain a certain level of reserve
credit line to reduce the liquidity risk.
3. Market risk
(1) Foreign exchange risk
Foreign exchange risk refers to the risk that the fair value of financial instruments or the future cash flows fluctuate
due to changes in foreign exchange rates. The foreign exchange risk faced by the Company mainly comes from the
financial assets valued in US dollars, and the amount of foreign currency financial assets converted into RMB is
listed as described in VII. 78 foreign currency monetary items.
(2) Interest rate risk
Interest rate risk refers to the risk that the fair value of financial instruments or future cash flows fluctuate due to
changes in market interest rates. The interest rate risk faced by the Company mainly comes from the long-term bank
loans, the Company’s loans are floating interest rate, and there is risk of RMB benchmark interest rate change.
XI. Disclosure of fair value
1. Ending fair value of the assets and liabilities measured by fair value
                                                                                                             In RMB
                                                                         Ending fair value
             Item
                                 First-order              Second-order                     Third-order                 Total
I. Sustaining measured by
                                      --                         --                            --                        --
fair value
II. Non-persistent measure            --                         --                            --                        --
2. Basis for determining the market price of the sustained and non-sustained first-level fair
value measurement projects
3. The qualitative and quantitative information of the valuation techniques and important
parameters adopted for the sustained and non-sustained second-level fair value
measurement projects
4. The qualitative and quantitative information of the valuation techniques and important
parameters adopted for the sustained and non-sustained third-level fair value measurement
projects
5. The adjustment information about book value between the beginning and the end of the
period and the unobservable parameter sensitivity analysis of the sustained third-level fair
value measurement projects
6. The sustained third-level fair value measurement projects that conversion has occurred
among various levels in the current period, the reasons for change and the policy
determining the conversion point
7. Valuation techniques change occurred during the current period and the reasons for
change
8. The fair value situations of the financial assets and financial liabilities not measured by
the fair value
9. Other
XII. Related party and related transactions
1. Parent company of the enterprise
  Parent company       Registration place      Business nature        Registered capital     Share-holding ratio Voting right ratio on
                                                                                         on the enterprise for       the enterprise
                                                                                            parent company
                                             Investment and
Shandong                                     management,
State-owned Assets                           management and
                      Jinan Shandong                                RMB 4,500,000,000                 33.07%                   33.07%
Investment Holding                           operation of assets,
Company Limited                              managed operations,
                                             investment advisory
Explanation on parent company of the enterprise
Ultimate controller of the Company is Shandong State-owned Assets Investment Holdings Co., Ltd.
Other explanation:
2. Subsidiary of the Enterprise
Found more in Note IX. 1.” Equity in subsidiary”
3. Cooperative enterprise and joint venture
Found more in Note.
Other cooperative enterprise and joint venture that have related transaction with the Company in the Period or
occurred in previous period
                              Name                                                           Relationship
Other explanation
4. Other related party
                       Other related party                                          Relationship with the Enterprise
Shandong Luxin Investment Holding Company Limited                   Shareholders with over 5% shares held
Other explanation
5. Related transaction
 (1) Goods purchasing, labor service providing and receiving
Goods purchasing/labor service receiving
                                                                                                            In RMB
                                                                                         Whether over the
                                             Amount of this         Trading limit
    Related party          Content                                                      approved limited or      Amount of last period
                                                 period               approved
                                                                                                not
Goods sold/labor service providing
                                                                                                         In RMB
         Related party                       Content                 Amount of this period           Amount of last period
Explanation on goods purchasing, labor service providing and receiving
                                                                                                         In RMB
(2)Related trusteeship management/contracts and entrusted management/outsourcing
Statement of trusteeship management/contract:
                                                                                                         In RMB
                                                                                                                       Managed
                                                                                                 Managed
                                                                                                                        earnings
Client/Contract-o       Entrusting       Trustee/assts                                        earnings /pricing
                                                           Trustee /start     Trustee /ends                        confirmed in the
     ut party         party/Contractor      contract                                           of the contract
                                                                                                                    period / contract
                                                                                                  earnings
                                                                                                                        earnings
Related managed/contract:
Entrusted management/outsourcing:
                                                                                                         In RMB
                                                                                                                       Entrusted
                                                                                                Trustee fee /           earnings
Client/Contract-o       Entrusting       Entrust /assets
                                                           Entrust /start     Entrust /ends    pricing of the      confirmed in the
     ut party         party/Contractor    outsourcing
                                                                                                outsourcing             period /
                                                                                                                   outsourcing costs
Related management/ outsourcing:
 (3) Related lease
As a lessor for the Company:
                                                                                                         In RMB
                                                                   Lease income in recognized in Lease income in recognized last
             Lessee                         Assets type
                                                                             the Period                         the Period
As a lessee for the Company:
                                                                                                         In RMB
                                                                   Lease income in recognized in Lease income in recognized last
             Lessor                         Assets type
                                                                             the Period                         the Period
Explanation on related lease
 (4) Related guarantee
As the guarantor
                                                                                                         In RMB
      Secured party            Amount guarantee                  Start                          End             Completed or not (Y/N)
As the secured party
                                                                                                                In RMB
    Guarantor              Amount guarantee                  Start                          End             Completed or not (Y/N)
Shandong State-owned
Assets Investment
                                      100,000,000.00 2017-04-28                    2017-09-27                   N
Holding Company
Limited
Explanation on related guarantee
 (5) Related party’s fund loan
                                                                                                                In RMB
      Related party                 Fund loan                    Start                          End                       Note
Borrowing
Lending
 (6) Related party’s assets transfer and debt reorganization
                                                                                                                In RMB
          Related party                         Content                        Current Period                       Last Period
 (7) Remuneration of key manager
                                                                                                                In RMB
                    Items                                  Current Period                                  Last Period
Total remuneration                                                            1,078,527.06                                  1,055,088.22
 (8) Other related transactions
6. Receivable/payable items of related parties
 (1) Receivable item
                                                                                                                In RMB
                                                          Closing balance                                Opening balance
          Item              Related party
                                                  Book balance           Bad debt reserves       Book balance         Bad debt reserves
 (2) Payable item
                                                                                         In RMB
                Item                    Related party             Ending book balance   Opening book balance
7. Commitments of related party
8. Other
XIII. Share-based payment
1. Share-based payment
□ Applicable     √ Not applicable
2. Share-based payment settled by equity
□ Applicable     √ Not applicable
3. Share-based payment settled by cash
□ Applicable     √ Not applicable
4. Amendment and termination of the share-based payment
5. Other
XIV. Commitment or contingency
1. Important commitment
Important commitment on balance sheet date
Nil
2. Contingency
(1) Contingency on balance sheet date
Nil
 (2) if the Company has no contingency need to disclosed, explain reasons
The Company has no important contingency that need to disclosed
3. Other
XV. Event occurring after balance sheet date
1. Important non-adjusting events
                                                                                                In RMB
                                                         Impact on financial status and   Reasons of unable to estimated
            Item                      Content
                                                               operation results                   the impact
2. Profit distribution
                                                                                                In RMB
3, Sales return
XVI. Other important event
1. Error correction for previous period
(1) Retrospective restatement
                                                                                                In RMB
                                                         Item with impact in statement
      Correction content        Treatment procedure                                            Cumulative impact
                                                          in every comparative period
 (2) Prospective application
           Correction content                   Approval procedure            Cause of prospective application adoption
2. Debt reorganization
3. Assets replacement
(1) exchange of non-monetary assets
(2) other assets replacement
4. Pension plan
5. Discontinuing operation
                                                                                                In RMB
                                                                                                                             Profit of
                                                                                                                           discontinuing
                                                                                 Income tax                                  operation
    Item           Revenue             Expenses            Total profit                          Net profit
                                                                                  expenses                                 attributable to
                                                                                                                       owners of parent
                                                                                                                             company
Other explanation
6. Segment information
(1) determination basis and accounting policy for segment
(2) Financial information of the segment
                                                                                                              In RMB
                Item                                                     Offset between segment                      Total
  (3) If the Company has no segment reporting, or unable to disclosed the total assets and
liabilities of the segment, explain reasons
(4) Other explanation
7. Other important transactions and events shows impact on investor decision-making
8. Other
XVII. Principle notes of financial statements of parent company
1. Accounts receivable
 (1)Category of account receivable
                                                                                                              In RMB
                                          Closing balance                                         Opening balance
                         Book balance         Bad debt reserves                 Book balance         Bad debt reserves
    Category                                                      Book
                                                        Accrual                                                   Accrual      Book value
                       Amount     Ratio      Amount                   value   Amount    Ratio      Amount
                                                            ratio                                                  ratio
Account receivable
with bad debt          15,540,7              5,388,33               10,152,44 18,751,             5,689,018                    13,062,916.
provision accrual by     83.49                   8.81                     4.68 934.01                   .01
portfolio
Total                  15,540,7              5,388,33               10,152,44 18,751,             5,689,018                    13,062,916.
                            83.49                   8.81               4.68 934.01                      .01
Account receivable with major single amount and withdrawal bad debt provision single at period-end:
□ Applicable     √ Not applicable
Account receivable with bad debt provision withdrawal by method of account age in portfolio:
√ Applicable     □ Not applicable
                                                                                                              In RMB
                                                                           Closing balance
                A/C age
                                          Account receivable               Bad debt reserves                     Accrual ratio
Sub-item of within one year
Subtotal of within one year                          10,152,444.68
Over three years                                       5,388,338.81                     5,388,338.81                             100.00%
Total                                                15,540,783.49                      5,388,338.81
Explanation on portfolio basis:
In combination, withdrawal proportion of bad debt provision based on balance proportion for account receivable:
□ Applicable     √ Not applicable
In combination, withdrawal proportion of bad debt provision based on other methods for account receivable:
 (2)Bad debt provision accrual, switch-back or taken back in reporting period
Amount accrual in the Period; amount 300,679.20 Yuan switch-back or taken back in the Period 。
Including major amount of bad debt provision that switch-back or taken back in the Period:
                                                                                                              In RMB
                    Company                          Amount switch back or taken back                           Way
 (3) Account receivables actually written-off during the reporting period
                                                                                                              In RMB
                                  Items                                                        Amount verified
Including major account receivables written-off:
                                                                                                              In RMB
                                                                                                                      Occurred due to
    Company                 Nature            Amount verified        Reasons          Verified procedures      related transaction
                                                                                                                          (Y/N)
Explanation on account receivable written-off :
 (4)Top five receivables collected by arrears party at ending balance
                                                                                               Balance of bad debt
          Company                  Ending balance          Ratio in total receivable (%)
                                                                                                    provision
Shandong Zhonglu Oceanic 9,968,835.00                   64.15%
(Yantai) Food Co., Ltd.
PACIFIC PANDA,INC              3,600,962.12             23.17%                               3,600,962.12
Qingdao Haifeng Gorup          430,625.10               2.77%                                430,625.10
Limited
Lv Ming                        158,154.98               1.02%                                158,154.98
Daqun Company                  156,875.50               1.01%                                156,875.50
Total                          14,315,452.70                                                 4,346,617.70
 (5)Account receivables derecognized due to financial assets transfer
(6)Transfer the account receivable and assets & liabilities arising from further involvement
Other explanation:
2. Other accounts receivable
(1)Category of other account receivable
                                                                                                                      In RMB
                                               Closing balance                                         Opening balance
                            Book balance           Bad debt reserves                Book balance            Bad debt reserves
    Category                                                          Book
                                                             Accrual                                                   Accrual   Book value
                          Amount       Ratio      Amount                  value   Amount       Ratio      Amount
                                                                 ratio                                                  ratio
Other account
receivable with bad       65,327,6                2,119,72               63,207,94 43,482,                3,571,189              39,910,882.
debt provision               71.34                    3.98                    7.36 072.02                       .67
accrual by portfolio
                          65,327,6                2,119,72               63,207,94 43,482,                3,571,189              39,910,882.
Total
                             71.34                    3.98                    7.36 072.02                       .67
Other account receivable with major single amount and withdrawal bad debt provision single at period-end:
□ Applicable      √ Not applicable
Other account receivable with bad debt provision withdrawal by method of account age in portfolio:
√ Applicable      □ Not applicable
                                                                                                                      In RMB
                                                                            Closing balance
                A/C age
                                              Other receivable             Bad debt reserves                     Accrual ratio
Sub-item of within one year
Subtotal of within one year                            63,108,214.30                       88,434.09
1-2 years                                                 225,840.14                       67,752.04
2-3 years                                                  60,158.10                       30,079.05
Over three years                                        1,933,458.80                     1,933,458.80
Total                                                  65,327,671.34                     2,119,723.98
Explanation on portfolio basis:
In combination, withdrawal proportion of bad debt provision based on balance proportion for other account
receivable
□ Applicable     √ Not applicable
In combination, withdrawal proportion of bad debt provision based on other methods for other account receivable
□Applicable      √ Not applicable
(2)Bad debt provision accrual, switch-back or taken back in reporting period
Amount accrual in the Period; amount 1,451,465.69 Yuan switch-back or taken back in the Period
Including major amount of bad debt provision that switch-back or taken back in the Period:
                                                                                                              In RMB
                    Company                           Amount switch-back or taken back                           Way
 (3)Other receivables actually written-off during the reporting period
                                                                                                              In RMB
                                  Items                                                        Amount verified
Including major other account receivables written-off
                                                                                                              In RMB
                                                                                                                       Occurred due to
                            Nature of other
    Company                                   Amount verified         Reasons          Verified procedures     related transaction
                              receivables
                                                                                                                           (Y/N)
Explanation on write-off of other receivables:
 (4) Other receivables by nature
                                                                                                              In RMB
                     Nature                                 Ending book balance                         Opening book balance
Intercourse funds and others                                                64,294,173.91                                  43,482,072.02
Employee’s borrowing                                                             823,497.43
Leasing margin                                                                    210,000.00
Total                                                                      65,327,671.34                                      43,482,072.02
(5) top 5 other receivables collected by arrears party at ending balance
                                                                                                                 In RMB
                                                                                               Proportion in total
                                                                                                                        Ending balance of
    Company                Nature           Ending balance       Account age               other receivables at
                                                                                                                        bad debt provision
                                                                                                    year-end
Shandong Zhonglu
Fishery Shipping Co., Internal transactions        24,714,718.67 Over 2 years                               38.00%
Ltd.
Shandong Zhonglu
Haiyan Oceanic          Internal transactions      20,000,000.00 Within one year                            31.00%
Fishery Co., Ltd.
YAWADDO
FISHERIES
                        Internal transactions      11,214,657.74 Within one year                            17.00%
COMPANY
LIMITED
LAIF FISHERIES
                        Internal transactions       6,034,049.51 1-3 years                                     9.00%
CO.LTD
Employee loans          Personal loan                 801,572.43 Within one year                               1.00%              77,934.09
Total                            --                62,764,998.35             --                                                   77,934.09
(6)Account receivable involved government subsidies
                                                                                                                 In RMB
                                                                                                                 Time, amount and basis
         Company                        Name              Ending balance              Ending account age
                                                                                                                     estimated to received
 (7)Other account receivables derecognized due to financial assets transfer
(8)Transfer the other account receivable and assets & liabilities arising from further
involvement
Other explanation:
3. Long-term equity investment
                                                                                                                 In RMB
                                            Closing balance                                              Opening balance
    Items                                 Impairment                                                   Impairment
                          Book balance                            Book value            Book balance                          Book value
                                                provision                                                     provision
Investment for
                          204,189,455.23                         204,189,455.23         204,189,455.23                        204,189,455.23
subsidiary
Total                     204,189,455.23                         204,189,455.23         204,189,455.23                        204,189,455.23
(1) Investment for subsidiary
                                                                                                                     In RMB
                                                                                                                           Ending balance of
                                            Increase during     Decrease during                           Impairment
The invested entity Opening balance                                                    Closing balance                        impairment
                                                the period        this period                                 accrual
                                                                                                                               provision
HabitatInternation
                           12,476,145.60                                                 12,476,145.60
alCorporation
Shandong Zhonglu
Fishery Shipping           22,869,513.38                                                 22,869,513.38
Co., Ltd.
Shandong Zhonglu
Oceanic (Yantai)           55,448,185.24                                                 55,448,185.24
Food Co., Ltd.
Shandong Zhonglu
Haiyan Oceanic             113,395,611.01                                               113,395,611.01
Fishery Co., Ltd.
Total                     204,189,455.23                                                204,189,455.23
(2) Investment for associates and joint venture
                                                                                                                     In RMB
                                                                        +,-
                                                                                                                                     Ending
                                                                Other                     Cash
                                                  Investme                                                                          balance
                          Additiona                           comprehe                  dividend
                Opening                           nt gains                    Other                                       Closing      of
Company                        l      Capital                   nsive                   or profit Impairme
                balance                           recognize                   equity                            Other     balance impairme
                          investmen reduction                  income                   announce nt accrual
                                                   d under                    change                                                   nt
                               t                              adjustmen                   d to
                                                   equity                                                                           provision
                                                                  t                      issued
I. Joint venture
II. Associated enterprise
(3) Other explanation
4. Operating income and cost
                                                                                                               In RMB
                                                   Current Period                                       Last Period
           Items
                                        Income                       Cost                    Income                        Cost
Main business                            57,174,319.09               43,119,825.36             11,269,475.74               16,789,134.08
Other business                            2,364,952.79                 718,241.91               2,873,525.90                 843,405.00
Total                                    59,539,271.88               43,838,067.27             14,143,001.64               17,632,539.08
Other explanation:
5. Investment gains
                                                                                                               In RMB
                     Items                                     Current Period                                Last Period
6. Other
XVIII. Supplementary Information
1. Current non-recurring gains/losses
√ Applicable    □ Not applicable
                                                                                                               In RMB
                     Item                                           Amount                                      Note
Gains/losses from the disposal of
                                                                                262,376.43 Revenue from vehicles disposal
non-current asset
Governmental subsidy reckoned into current
gains/losses (not including the subsidy
                                                                                             Subsidy for construction of the Blue
enjoyed in quota or ration according to                                         433,402.16
                                                                                             Economic Zone
national   standards,    which    are    closely
relevant to enterprise’s business)
Other non-operating income and expenditure
                                                                                -85,202.83
except for the aforementioned items
Total                                                                           610,575.76                       --
Concerning the extraordinary profit (gain)/loss defined by Q&A Announcement No.1 on Information Disclosure for
Companies Offering Their Securities to the Public --- Extraordinary Profit/loss, and the items defined as recurring
profit (gain)/loss according to the lists of extraordinary profit (gain)/loss in Q&A Announcement No.1 on
Information Disclosure for Companies Offering Their Securities to the Public --- Extraordinary Profit/loss, explain
reasons
□ Applicable    √ Not applicable
2. REO and earnings per share
                                                                                  Earnings per share
    Profits during report period     Weighted average ROE
                                                                    Basic EPS (RMB/Share) Diluted EPS (RMB/Share)
Net profits belong to common stock
                                                            5.05%                     0.12                   0.12
stockholders of the Company
Net profits belong to common stock
stockholders of the Company after
                                                            4.95%                     0.12                   0.12
deducting nonrecurring gains and
losses
3. Difference of the accounting data under accounting rules in and out of China
 (1) Difference of the net profit and net assets disclosed in financial report, under both IAS
(International Accounting Standards) and Chinese GAAP (Generally Accepted Accounting
Principles)
□ Applicable √ Not applicable
(2) Difference of the net profit and net assets disclosed in financial report, under both
foreign accounting rules and Chinese GAAP (Generally Accepted Accounting Principles)
□ Applicable √ Not applicable
(3) Explain accounting difference over the accounting rules in and out of China; as for the
difference adjustment for data audited by foreign auditing organ, noted the name of such
foreign organ
4. Other

关闭窗口