大东海B:2015年年度报告(英文版)

司公限有份股心中游旅海东大南海                                2015   文全告报度年年
  Short Form of the Stock: Donghai-A, Donghai-B     Stock Code: 000613, 200613
     海南大东海旅游中心股份有限公司
   Hainan Dadonghai              Tourism Centre (Holdings) Co., Ltd.
               Annual Report 2015
                   (Full Text)
                      Disclosure Date: 26 March 2016
      司公限有份股心中游旅海东大南海                                                                            2015   文全告报度年年
                       Section I. Important Notice, Contents and Paraphrase
       Important Notice:
       Board of Directors, Supervisory Committee, all directors, supervisors and senior executives of
       Hainan Dadonghai Tourism Centre (Holdings) Co., Ltd. (hereinafter referred to as the
       Company) hereby confirm that there are no any fictitious statements, misleading statements, or
       important omissions carried in this report, and shall take all responsibilities, individual and/or
       joint, for the reality, accuracy and completion of the whole contents.
       All directors are attending the Board Meeting for Report deliberation.
       The Company has no plan of cash dividends carried out, bonus issued and capitalizing of
       common reserves either.
       Li Yuanbin, Principal of the Company, Fu Zongren, person in charger of accounting works and
       Liu Xianghai, person in charge of accounting organ (accounting principal) hereby confirm that
       the Financial Report of 2015 Annual Report is authentic, accurate and complete.
       Concerning the forward-looking statements with future planning involved in the Report, they
       do not constitute a substantial commitment for investors. Investors are advised to exercise
       caution of investment risks.
                                                                 Content
Annual Report 2015 .............................................................................................................................1
Section I Important Notice, Contents and Paraphrase ........................................................................2
Section II Company Profile and Main Finnaical Indexes ..................................................................4
Section III Summary of Company Business ......................................................................................8
Section IV Discussion and Analysis by the Management Team ........................................................9
Section V Important Events ..............................................................................................................20
Section VI Changes in shares and particular about shareholders ......................................................27
Section VII Preferred Stock………………………………………………………………………..34
Section VIII Particulars about Directors, Supervisors,Senior Executives and Employees................35
Section IX Corporate Governance .....................................................................................................42
Section X Financial Report ................................................................................................................50
Section XI Documents available for reference ................................................................................121
       司公限有份股心中游旅海东大南海                                                                 2015   文全告报度年年
                                                       Paraphrase
                     Items                      Refers to                                 Contents
CSRC                                            Refers to China Securities Regulation Commission
SSE                                             Refers to Shenzhen Stock Exchange
Company Law                                     Refers to Company Law of The People’s Republic of China
Securities Law                                  Refers to Securities Law of The People’s Republic of China
Rules of Listing                                Refers to Rules of Shenzhen Stock Exchange for the Listing of Stocks
Company/the Company                             Refers to Hainan Dadonghai Tourism Centre (Holdings) Co., Ltd.
                                                            Article of Association of Hainan Dadonghai Tourism Centre (Holdings)
Article of Association                          Refers to
                                                            Co., Ltd.
                                                            Shareholders’ General Meeting of Hainan Dadonghai Tourism Centre
Shareholders’ General Meeting                  Refers to
                                                            (Holdings) Co., Ltd.
Board                                           Refers to Board of Hainan Dadonghai Tourism Centre (Holdings) Co., Ltd.
                                                            Supervisory Committee of Hainan Dadonghai Tourism Centre
Supervisory Committee                           Refers to
                                                            (Holdings) Co., Ltd.
Yuan                                            Refers to RMB
In the reporting period, the reporting period   Refers to 2015-1 -1 to 2015 -12 -31
                                                Major Risk Warning
Concerning the forward-looking statements with future planning involved in the Report, they do not
constitute a substantial commitment for investors. Investors are advised to exercise caution of
investment risks.
Securities Times, Hong Kong Commercial Daily and Juchao Website (www.cninfo.com.cn) are the
media for information disclosure appointed by the Company for year of 2016, all information under
the name of the Company disclosed on the above said media shall prevail.
The report is prepared in bilingual versions of Chinese and English respectively, in the event of any
discrepancy in understanding the two aforementioned versions, the Chinese version shall prevail.
Investors are advised to exercise caution of investment risks.
               Section II Company Profile and Main Finnaical Indexes
I. Company information
Short form of the stock         Donghai-A , Donghai-B                 Stock code                 000613   、   200613
Short form of the Stock after
                                N/A
changed
Stock exchange for listing      Shenzhen Stock Exchange
Name of the Company (in
Chinese)
                                司公限有份股心中游旅海东大南海
Short form of the Company
(in Chinese)
                                海东大
Foreign name of the Company Hainan Dadonghai Tourism Centre (Holdings) Co.,Ltd.
Foreign name of short form of
                                DADONGHAI
the Company
Legal representative            Li Yuanbin
Registrations add.              Dadonghai Sanya
Code for registrations add      572021
Offices add.                    Dadonghai Sanya
Codes for office add.
Company website                 http://www.cninfo.com.cn
Email                           hnddhhn@21cn.com
II. Person/Way to contact
                                                     Secretary of the Board                  Rep. of security affairs
Name                                         Wang Hongjuan
Contact add.                                 Dadonghai Sanya
Tel.                                         0898-88219921
Fax.                                         0898-88214998
E-mail                                       hnddhhn@21cn.com
III. Information disclosure and preparation place
Newspaper appointed for information disclosure        Securities Times, Hong Kong Commercial Daily
Website for annual report publish appointed by CSRC http://www.cninfo.com.cn
      司公限有份股心中游旅海东大南海                                                                         2015   文全告报度年年
Preparation place for annual report                          Security department of the Company
IV. Registration changes of the Company
Organization code                             Unified social credit code 91460000201357188U
Changes of main business since listing No changes
                                              1. The Company listed A-stock in January 1997, and 96.327 million A-stock shares are
                                              held by Hainan Dadonghai Tourism Centre Group Co., ltd., a 26.46% in total share capital
                                              of the Company and is the first majority shareholder of the Company also.
                                              2. On 25 December 1998, the shares held by Hainan Dadonghai Tourism Centre Group
                                              Co., ltd were transfer to Sanya ABC through the courts of justice, and after obtained the
                                              shares in December 1998, Sanya ABC entrust wholly-owned subordinate enterprise Sanya
                                              Bank-Agriculture Industrial Development Corp. to hold the aforesaid shares, than the first
                                              majority shareholder of the Company comes to Sanya Bank-Agriculture Industrial
                                              Development Corp.
                                              3. On 12 December 2000, the aforesaid equity was stripped to name of China Greatwall
Previous    changes       for   controlling
                                              Assets Management Corporation, the first majority shareholder of the Company.
shareholders
                                              4. On 19 September 2001, China Greatwall Assets Management Corporation entered into
                                              “Equity Transfer Agreement” with Haikou Food Co., Ltd for 60 million shares transfer; and
                                              gained approval of [2002] No.: 430 from Ministry of Finance dated 18 October 2002, than
                                              the first majority shareholder of the Company comes to Haikou Food Co., Ltd.
                                              5. On 24 April 2008, Haikou Agriculture & Industry & Trade Luoniushan Co., Ltd. entered
                                              into the “Statement”, confirmed that the 60 million shares held by Haikou Food Co., Ltd.
                                              were under the name of Haikou Agriculture & Industry & Trade Luoniushan Co., Ltd., the
                                              shares’ ownership have been transfer dated 29 January 2010. Therefore, Haikou
                                              Agriculture & Industry & Trade Luoniushan Co., Ltd. comes to the first majority
                                              shareholder of the Company.
V. Other relevant information
CPA engaged by the Company
Name of CPA                             BDO CHINA Shu Lun Pan Certified Public Accountants LLP
Offices add. for CPA                    4# Building, No. 61, Nanjing Rd.(E), Shanghai
Signing Accountants                     Liu Zebo, Zhu Meirong
Sponsor engaged by the Company for performing continuous supervision duties in reporting period
□ Applicable    √ Not applicable
Financial consultant engaged by the Company for performing continuous supervision duties in reporting period
□ Applicable    √ Not applicable
VI. Main accounting data and financial indexes
Whether it has retroactive adjustment or re-statement on previous accounting data for accounting policy changed and accounting
error correction or not
      司公限有份股心中游旅海东大南海                                                                           2015   文全告报度年年
□ Yes √ No
                                                 2015                      2014               Changes over last year
Operating income (RMB)                           15,885,922.90             20,202,134.10                    -21.37%           23,660,779.80
Net profit attributable to shareholders
                                                 -7,477,866.40              2,503,486.47                  -398.70%            -2,199,319.96
of the listed company(RMB)
Net profit attributable to shareholders
of the listed company after deducting            -9,474,005.29              -2,709,988.03                 -249.60%            -2,283,020.26
non-recurring gains and losses(RMB)
Net cash flow arising from operating
                                                 -1,745,526.28              2,432,068.08                  -171.77%             2,615,368.77
activities(RMB)
Basic earnings per share (RMB/Share)                      -0.0205                    0.0069               -397.10%                    -0.0060
Diluted        earnings   per     share
                                                          -0.0205                    0.0069               -397.10%                    -0.0060
(RMB/Share)
Return on Equity                                          -9.27%                     3.01%                  -12.28%                   -2.65%
                                                                                              Changes over end of
                                             End of 2015                 End of 2014                                        End of 2013
                                                                                                    last year
Total assets (RMB)                              104,887,596.60            114,080,998.28                        -8.06%      113,960,862.69
Net assets attributable to shareholder
                                                 76,937,467.93             84,415,334.33                        -8.86%        81,911,847.86
of listed company (RMB)
VII. 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
The Company had no difference of the net profit or net assets disclosed in financial report, under either IAS (International
Accounting Standards) or Chinese GAAP (Generally Accepted Accounting Principles) in the period.
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
The Company had no difference of the net profit or net assets disclosed in financial report, under either foreign accounting rules or
Chinese GAAP (Generally Accepted Accounting Principles) in the period.
VIII. Quarterly main financial index
                                                                                                                                      In RMB
                                          First quarter             Second quarter             Third quarter             Fourth quarter
    司公限有份股心中游旅海东大南海                                                                    2015   文全告报度年年
Operating income                                6,260,948.00              2,160,348.50           2,839,915.00             4,624,711.40
Net      profit      attributable       to
                                                   -112,934.03            -3,279,032.61         -3,054,236.00            -1,031,663.76
shareholders of the listed company
Net      profit      attributable       to
shareholders of the listed company
                                               -1,347,584.53              -3,449,529.47         -3,085,920.00            -1,590,971.29
after deducting non-recurring gains
and losses
Net     cash      flow   arising    from
                                                   953,736.43              -122,826.02          -1,036,666.14            -1,539,770.55
operating activities
Whether there are significant differences between the above-mentioned financial index or its total number and the relevant financial
index disclosed in the company’s quarterly report and semi-annual report
□Yes   √ No
IX. Items and amounts of extraordinary profit (gains)/loss
√Applicable      □ Not applicable
                                                                                                                                   In RMB
                                    Item                                     2015            2014               2013          Note
Gains/losses from the disposal of non-current asset (including the
                                                                             -90,560.75    5,119,583.45         -39,699.50
write-off that accrued for impairment of assets)
Capital occupation fees charged by non financial enterprises
                                                                            422,000.00
recorded in the current profits and losses
Other non-operating income and expenditure except for the
                                                                           1,664,699.64       93,891.05       123,399.80
aforementioned items
Total                                                                      1,996,138.89    5,213,474.50          83,700.30         --
Concerning the extraordinary profit (gain)/loss defined by Q&A Announcement No.1 on Information Disclosure for Companies
Offering Their Securities to the Public --- Extraordinary Profit/loss, and the items defined as recurring profit (gain)/loss according to
the lists of extraordinary profit (gain)/loss in Q&A Announcement No.1 on Information Disclosure for Companies Offering Their
Securities to the Public --- Extraordinary Profit/loss, explain reasons
□ Applicable       √ Not applicable
In reporting period, the Company has no particular about items defined as recurring profit (gain)/loss according to the lists of
extraordinary profit (gain)/loss in Q&A Announcement No.1 on Information Disclosure for Companies Offering Their Securities to
the Public --- Extraordinary Profit/loss
      司公限有份股心中游旅海东大南海                                                      2015   文全告报度年年
                          Section III Summary of Company Business
I. Main businesses of the company in the reporting period
The company's main business is hotel accommodation and catering services. Procurement of goods is mainly the
goods and materials necessary for hotel and catering operations by taking the principle of low price and fine
quality, some goods are purchased by directly signing purchase contracts with suppliers, and some good are
purchased by procurement agents. The selling is mainly based on internet marketing and supplemented by the
individual travelers of non-internet marketing and business and the tourists from travel agencies. The hotel is
located at the central zone of Dadonghai scenic spot in Sanya City, Hainan Province, and it has become a member
of the nationwide famous hotels because of the convenient transportation, beautiful environment, long history, and
rich culture. However, in recent years, the local high-, middle- and low-grade hotels or guesthouses numerously
emerge, resulting in the supply much larger than the market demand, the industry competition is rather fierce, and
the pressure of decline in business remains.
II. Major changes in main assets
1. Major changes in main assets
□ Applicable √ Not applicable
2. Main overseas assets
□ Applicable √ Not applicable
III. Core Competitiveness Analysis
The company takes hotel accommodation and catering services as the principle works, locates at Dadonghai bay
which is one of the China “Top 40 scenery” and the only AAAA scenic spot open for free in Sanya and has the
maximum passenger flow volume in Sanya City, and is about a 5-minute drive from downtown of Sanya City and
about a 30-munite drive from Sanya Phoenix Airport. The hotel is only tens of meters distant from the sea level,
possesses beautiful landscaping full of blooming flowers all the year round, and enjoys exceptional geography,
natural environmental advantages. The hotel has opened for more than two decades which is one of the oldest
hotels in Sanya and has received many domestic and foreign heads of state and national leaders. In the recent
years, the company has comprehensively upgraded and rebuilt the hotel’s software and hardware facilities, further
improved the hotel's internal and external business environment, and effectively enhanced the business
competitiveness. Currently, the management of the company’s hotel is still in the front rank among hotels in the
same area, with the same scale, and at the same level.
In the future work, the company will keep trying to improve the hotel’s internal and external business
environment, strengthen the sales efforts and the staff construction, and further improve the operational capability.
During the reporting period, the company's core competence had no significant change.
     司公限有份股心中游旅海东大南海                                                       2015   文全告报度年年
       Section IV Discussion and Analysis by the Management Team
1. Introduction
During the reporting period, the company realized main business income of 15,885,900 yuan, reduced by 4,316,
200 yuan compared with the same period last year, a decrease of 21.37%; investment income of 422,000 yuan,
reduced by 3,598,000 yuan compared with the same period last year, a decrease of 89.50%; operating profit loss
of 9,052,000 yuan, increased by 8,342,000 yuan compared with the same period last year, an increase of
1,174.93%; net non-operating income of 1,574,100 yuan, reduced by 1,639,100 yuan compared with the same
period last year, a decrease of 51.02%; net profit loss of 7,477,900 yuan, increased by 9,981,400 yuan compared
with the same period last year, an increase of 398.70%.
During the reporting period, the global economy has been weak, domestic economic development has had a
slowdown, tourism market has been sluggish, domestic and foreign tourist customer market has reduced, and the
company's hotel has adjusted the internal operating management and decorated some rooms, which have made the
hotel’s management downturn pressure intensify. In face of the severe management situation, the company has
taken the market as a guide, positively adjusted the marketing strategy, expanded the marketing channels,
increased the hardware and software facilities, enhanced the product quality, improved the internal control system,
reduced the risks and consumption, and has basically completed the business objectives the company made at the
beginning of the year. The main work is as follows:
1. Take the market as a guide, positively adjust the marketing strategy, and expand the marketing channels
During the reporting period, the company has taken the market as a guide, made a flexible management for
product prices and sales, and actively expanded the sales of network individual travelers. The selling has been
mainly based on network individual travelers and supplemented by the individual travelers of business and the
tourists from travel agencies, strengthened the cooperation with the domestic leading network companies related
to travel such as Ctrip and Qunar, and made full use of network channels and e-commerce platforms to expand the
sales network; further consolidated the existing customers, expanded the direct selling travel agencies in the first-
and second-tier cities in the east, southwest and south regional markets, and increased the sales channels for travel
agency teams and individual travelers. During the reporting period, the market share of the company’s individual
travelers and network sales revenue have significantly improved, achieved the main business income of
15,885,900 yuan, reduce by 4,316,200 yuan compared with the same period last year, a decrease of 21.37%, and
curbed the sharp drop in business.
2. Increase investment into the hotel software and hardware facilities, improve the product quality, and enhance
the competitiveness
Due to long years of aging, some guest rooms were damaged and could not meet the market demands. During the
reporting period, the company has taken advantage of off-season business, decorated and rebuilt all guest rooms
and Chinese and western restaurants in Building of the hotel, and upgraded the corresponding equipments and
facilities. At the same time, based on the employment concept of \"people first\", the company has engaged and
introduced talents at various levels for services, management and marketing; based on the business philosophy of
\"customer highest, service first\", the company has continued to strengthen the cultural construction and staff
construction of the hotel, strengthened the hotel management and the professional skill and knowledge training to
the staff, further improved the service quality and management level of hotel, and enhanced the quality and
competitiveness of the hotel’s products.
     司公限有份股心中游旅海东大南海                                                                2015   文全告报度年年
3. Improve the internal control system, strengthen the management, reduce risks and consumption, increase
revenue and reduce expenditures, realize safety production, and maximize the interests of enterprise
During the reporting period, the company has continued to strengthen and standardization the implementation of
internal controls, and ensured the rational and effective internal controls; actively adjusted the compression
mechanism, established posts as needed, reduced management positions, enriched the front-line team, taken \"fixed
posts, fixed responsibilities, fixed staff\" as the main content, rationally adjusted the human resources, improved,
adjusted and optimized the personnel management system and the human resource allocation; in addition, strictly
and reasonably controlled all expenses, resolutely and completely eradicated extravagance and waste, improved
procurement management system, increased efforts to control procurement costs, increased investment in
energy-saving and cost-reducing, clearly defined the management responsibilities of safety production, effectively
improved the operational efficiency, and ensured the company's safety operations.
In 2016, the company will continue to consolidate and expand sales channels, improve the hotel’s product quality
and service quality, and enhance the comprehensive competitive ability and sustainable operation ability of the
company so as to lay a solid foundation for the company's sustainable and stable operation and development.
II. Main business analysis
1. Introduction
See the “I-Introduction” in “Discussion and Analysis by the Management Team”
2. Revenue and cost
(1) Constitute of operation revenue
                                                                                                                         In RMB
                                     2015
                                                                                                            Increase/decrease
                                          Ratio in operation                        Ratio in operation
                          Amount                                    Amount                                       y-o-y
                                               revenue                                   revenue
Total of operation
                          15,885,922.90                  100%       20,202,134.10                  100%               -21.37%
revenue
According to industries
Tourism & catering        15,885,922.90             100.00%         20,202,134.10             100.00%                 -21.37%
According to products
Room revenue              12,264,036.40              77.20%         16,901,455.60              83.66%                 -27.44%
Catering
entertainment              1,307,608.50                  8.23%        734,678.50                   3.64%                 77.98%
revenue
Rental revenue             2,314,278.00              14.57%          2,566,000.00              12.70%                    -9.81%
According to region
Hainan area               15,885,922.90             100.00%         20,202,134.10             100.00%                 -21.37%
      司公限有份股心中游旅海东大南海                                                                        2015   文全告报度年年
(2) About the industries, products, or regions accounting for over 10% of the company’s operating income
or operating profit
√Applicable     □ Not applicable
                                                                                                                                    In RMB
                                                                                 Increase/decrease Increase/decrease Increase/decrease
                          Operating
                                          Operating cost    Gross profit ratio     of operating     of operating cost      of gross profit
                           revenue
                                                                                   revenue y-o-y          y-o-y             ratio y-o-y
According to industries
Tourism &
                          15,885,922.90       626,661.16              96.06%             -21.37%              85.52%                -2.27%
catering
According to products
Room revenue              12,264,036.40                              100.00%             -27.44%            -100.00%                 0.00%
Catering
entertainment              1,307,608.50       626,661.16              52.08%              77.98%              90.29%                -1.94%
revenue
Rental revenue             2,314,278.00                              100.00%               -9.81%                                    0.00%
According to region
Hainan area               15,885,922.90       626,661.16              96.06%             -21.37%              85.52%                -2.27%
Under circumstances of adjustment in reporting period for statistic scope of main business data, adjusted main business based on
latest one year’s scope of period-end
□ Applicable √ Not applicable
(3) Income from physical sales larger than income from labors
□ Yes √ No
(4) Fulfillment of the company’s signed significant sales contracts up to this reporting period
□ Applicable √ Not applicable
(5) Constitute of operation cost
Industry classification
                                                                                                                                    In RMB
                                                           2015
                                                                                                                           Increase/decrease
    Industries               Item                            Ratio in operation                       Ratio in operation
                                               Amount                                  Amount                                    y-o-y
                                                                     cost                                   cost
Tourism &            Cost of tourism &
                                                626,661.16               100.00%         337,785.89            100.00%                85.52%
catering             catering
Explanation: Nil
    司公限有份股心中游旅海东大南海                                                                2015   文全告报度年年
(6) Whether the changes in the scope of consolidation in Reporting Period
□ Yes √ No
(7)Major changes or adjustment in business, product or service of the Company in Reporting Period
□ Applicable √ Not applicable
(8) Major sales and main suppliers
Major sales client of the Company
Total top five clients in sales (RMB)                                                                                 4,759,672.87
Proportion in total annual sales volume for top five clients                                                                29.96%
Information of top five clients of the Company
    Serial                           Name                               Sales (RMB)          Proportion in total annual sales
               Sanya branch of Guangzhou South Holiday
1                                                                           1,291,446.00                                        8.13%
               International Travel Service Co., Ltd.
               Qunar (Tianjin) International Travel Service Co.,
2                                                                           1,151,280.00                                        7.25%
               Ltd.
               Beijing Jiaxin Haoyuan Information Technology
3                                                                           1,057,687.22                                        6.66%
               Co. Ltd.
               Shanghai Ctrip International Travel Service Co.,
4                                                                             928,651.65                                        5.85%
               Ltd.
               Shenzhen Xinghai Holiday International Travel
5                                                                             330,608.00                                        2.08%
               Service Co., Ltd.
Total                                  --                                   4,759,672.87                                   29.96%
Other situation of main clients
□ Applicable √ Not applicable
Main suppliers of the Company
Total purchase amount from top five suppliers (RMB)                                                                   3,839,518.39
Proportion in total annual purchase amount for top five
                                                                                                                            85.44%
suppliers
Information of top five suppliers of the Company
    Serial                         Name                            Sales (RMB)                Proportion in total annual sales
                Sanya Power Supply Bureau of Hainan
1                                                                             1,321,143.95                                  29.40%
                Power Grid
2               Liu Wunan                                                      845,130.00                                   18.81%
                Sanya Dafeng Agricultural Comprehensive
3                                                                              603,274.41                                   13.42%
                Development Co. Ltd.
4               Sanya Jierun Washing Co., Ltd.                                 579,404.52                                   12.89%
    司公限有份股心中游旅海东大南海                                                                         2015   文全告报度年年
5             Sanya Sinofrench Water Supply Co., Ltd.                           490,563.51                                         10.92%
Total                               --                                         3,839,518.39                                        85.44%
Other notes of main suppliers of the Company
□ Applicable √ Not applicable
3. Expenses
                                                                                                                                       In RMB
                                                                 Increase/decreas
                                   2015             2014                                            Note of major changes
                                                                     e y-o-y
Sales expense                    12,968,461.37   11,783,411.89             10.06%
Management expense               10,272,262.86   11,423,202.87             -10.08%
                                                                                     Because handing charge decreased than last year,
Financial expense                  -109,213.80      39,516.35           -376.38%
                                                                                     deposit interest income increased.
4. R&D expenses
□ Applicable √ Not applicable
5. Cash flow
                                                                                                                                       In RMB
                  Item                              2015                                 2014                          Y-o-y changes
Subtotal of cash in-flow from
                                                        20,454,444.34                         23,049,988.56                       -11.26%
operation activity
Subtotal of cash out-flow from
                                                        22,199,970.62                         20,617,920.48                            7.67%
operation activity
Net cash flow from operation
                                                           -1,745,526.28                        2,432,068.08                     -171.77%
activity
Subtotal of cash in-flow from
                                                           9,429,510.00                       14,024,200.00                       -32.76%
investment activity
Subtotal of cash out-flow from
                                                        10,451,881.00                            741,664.00                     1,309.25%
investment activity
Net cash flow from investment
                                                           -1,022,371.00                      13,282,536.00                      -107.70%
activity
Net increased amount of cash and
                                                           -2,767,897.28                      15,714,604.08                      -117.61%
cash equivalent
Main reasons for y-o-y major changes in aspect of relevant data
√   Applicable   □   Not applicable
    司公限有份股心中游旅海东大南海                                                                                  2015   文全告报度年年
1. The net cash flow from operating activities decreased mainly due to a decrease in the operating income in this year;
2. The cash inflow of investing activities decreased mainly due to the amount of transfer of shares is larger in the previous year;
3. The cash outflow of investing activities increased mainly due to the short-term investments during the year;
4. The net cash flow from investing activities decreased mainly because the transfer of shares not only took back the investment but
also received dividends in the previous year;
5. The net increase in cash and cash equivalents decreased mainly because the operating income reduced in this year and the transfer
of shares not only took back the investment but also received dividends in the previous year.
Reasons of major difference between the cash flow of operation activity in report period and net profit of the Company
□ Applicable √ Not applicable
III. Analysis of the non-main business
√Applicable   □ Not applicable
                                                                                                                                              In RMB
                                   Ratio in total
                  Amount                                                             Note                                     Whether be sustainable
                                       profit
Investment
                  422,000.00                    5.64% Short term investment in this year                                      Yes
income
                                                        Mainly due to the accrual reduced-value allowance for
Asset
                  684,275.50                    9.15% the company to build illegal seafood rooms, boxes and No
impairment
                                                        multifunctional conference hall
                                                        Mainly      because    Pan     Guoping,         the    company’s
                                                        second-largest    shareholder,      illegally     operated      the
                                                        company’     shares     and     confiscated          income     of
Non-operatin
                1,664,926.64                22.26% 1,194,445.50 yuan, and Sun Hongjie, the former general No
g income
                                                        manager of South China Hotel, handed in he hotel’s
                                                        target profit of 342,738.77yuan in accordance with the
                                                        management responsibility.
Non-operatin
                    90,787.75                   1.21% Mainly due to disposal loss of fixed assets                             No
g expense
IV. Assets and liability
1. Major changes of assets composition
                                                                                                                                              In RMB
                              End of 2015                            End of 2014
                                                                                                  Ratio
                                       Ratio in total                          Ratio in total                          Notes of major changes
                       Amount                                 Amount                            changes
                                          assets                                  assets
Monetary fund       19,782,392.26                18.86% 22,550,289.54                  19.77%     -0.91%                            -
Account                 460,197.28                0.44%      2,632,379.02              2.31%      -1.87%                            -
      司公限有份股心中游旅海东大南海                                                                   2015   文全告报度年年
receivable
Inventory               218,075.43                0.21%     307,057.29           0.27%        -0.06%             -
Fix assets          51,279,986.58                48.89% 56,301,360.07           49.35%        -0.46%             -
2. Assets and liability measured by fair value
□ Applicable √ Not applicable
V. Investment
1. Overall situation
√Applicable □ Not applicable
                                                 Investment in the same period of last year
    Investment in the reporting (RMB)                                                                   Changes
                                                                  ( RMB)
                                  9,000,000.00                                4,500,000.00                               100.00%
2. The major equity investment obtained in the reporting period
□ Applicable √ Not applicable
3. The major non-equity investment doing in the reporting period
□ Applicable √ Not applicable
4. Financial assets investment
 (1) Securities investment
□ Applicable √ Not applicable
The company had no securities investment in the reporting period.
 (2) Derivative investment
□ Applicable √ Not applicable
The Company has no derivatives investment in the Period
5. Application of raised proceeds
□ Applicable √ Not applicable
The Company has no application of raised proceeds in the Period
      司公限有份股心中游旅海东大南海                                                              2015   文全告报度年年
VI. Sales of major assets and equity
1. Sales of major assets
□ Applicable √ Not applicable
The Company had no sales of major assets in the reporting period.
2. Sales of major equity
□ Applicable √ Not applicable
VII. Analysis of main holding company and stock-jointly companies
□ Applicable √ Not applicable
The Company had no information of main holding company and stock-jointly companies disclosed in the reporting period.
VIII. Structured vehicle controlled by the Company
□ Applicable √ Not applicable
IX. Future Development Prospects
1. Industrial development trend and competition facing the Company
With the improvement of people's living quality and living standards, the enhancement of tourist consumption
awareness, as well as the aggravation of atrocious weather and haze air environment outside the island, Hainan
tourism market has a good development prospect due to the internationalization and unique natural environment
in Hainan Island and the preferential policy like tax-free offshore island. However, during the report period, the
global economy has been weak, the tourism market has continued to sluggish, the high-, middle- and low-grade
hotels or guesthouses in the island have been numerously emerging resulting in the supply much larger than the
market demand, the industry competition has become increasingly fierce, the operating costs such as the staff
salary have been increasing, the market operating profits have been reducing, and the overall operation downturn
pressure in hotel industry has been increasing.
In the future work, the company will continue to strengthen the updating and transformation of the hotel’s
equipment and facilities, improve and upgrade the hardware and software equipments and facilities and the quality
of internal and external business environment, enhance the construction of enterprise culture and staff teams,
actively expand the sales channels, make full use of the internet platform, expand the sales network, increase the
market share, and further improve the management level and core competitiveness.
2. The Company’s future development planning and 2016 annual business plan
(1) Further to strengthen the quality control for hard and soft equipments and facilities, promote the brand image
of the hotel, centered on enterprise benefit, take the innovation as the driving force and make the brand of major
business bigger and stronger.
(2) Continue to expand the financing channels, combine the actual situation of the Company and look for the
projects and opportunities in favor of the Company’s development, enrich the industrial structure and enlarge the
enterprise scale.
     司公限有份股心中游旅海东大南海                                                       2015   文全告报度年年
(3) Continue to strengthen the standard management of internal control, perfect the corporate governance structure,
standardize the management and operation, and effectively control the risks.
3. Fund demands and use plan required for the future development of the Company
The Company utilizes owned funds or financing methods to raise the funds demanded for development, and
completes the development planning of the Company.
4. The risks may cause adverse effects on the future development strategy and realization of operation target of
the Company
(1) Marco Policy risks
In order to normalize and optimize tourism market or further to promote clear-party construction, related
departments may further issue some relative policies. While these polices may cause restrain and effect on
regional tourism development. Main business income may be affected since we are engaged in tourism service.
Countermeasures: The Company will further to improve the hard and soft equipments and facilities of the hotel
while expanding the business scope, and win more market shares via high-class service and comfortable
environment so as to ensure the main business income level.
(2) Natural disaster risks
In recent years, various natural disasters take place frequently, Hainan Island belongs to oceanic climate, where
has high incidence of disastrous weather in summer. If Sanya becomes the landing place of typhoon, it may cause
great damages to the facilities of the Company and affect the Company’s normal operation.
Countermeasures: The Company will strengthen the construction and maintenance for infrastructure, continue to
buy property insurances, positively adopt effective prevention measures, and improve the ability of resisting
natural disasters.
(3) Human resource risks
The ceaseless rising and rapid development of the same industry make the demands for marketing and
management talents of the hotel industry grow with each passing day, and the talent flow of the hotel is rather
strong, so the human resource strategy of the Company appears to be very important. Though the Company has
rather perfect human resources mechanism construction, the Company will still confronting the risks of
development restriction caused by the brain drain.
Countermeasures: The Company will keep consummating the talent introduction, training and motivation system,
and improving the employee's remuneration, welfare and insurance benefits, and strive to attract the talents, foster
the talents and retain the talents. At the same time, the Company will strengthen the training to the quality, skill
and management ability of existing staff. Furthermore, the Company will further enhance the enterprise culture
construction, strengthen the cohesive force, and ensure the stability of core management staff and technical staff.
(4) Operational risks of main business
With the ceaseless development of global tourist industry constantly and ceaseless rising of high-class,
middle-class and low-class hotels, the tourist sources keep shunting, and the competition of tourism service
industry in Sanya becomes increasingly fierce. While the main business of the Company is just a small-scale hotel,
as the main business is single and the business scope is limited, the tourist market conditions and tourist quantity
directly make significant affects on the company performance.
Countermeasures: The Company will keep striving to be better, devote to macroscopic project, carry out scientific
management and scientific decision-making, strengthen the risk consciousness, and establish and consummate the
corresponding systems so as to avoid the risks. Expand the business scope based on the original selling network,
      司公限有份股心中游旅海东大南海                                                               2015   文全告报度年年
take the advantage of superior geographical environment, constantly develop the high-end tourist markets at home
and abroad, and improve the occupancy rate. Besides, the Company will positively look for the projects and
opportunities in favor of the Company’s development, expand the operating items, and enlarge the enterprise
scale.
X. Reception of research, communication and interview
1. In the report period, reception of research, communication and interview
√Applicable   □ Not applicable
    Time              Way          Type                          Basic situation index of investigation
                       Telephone              Investor surnamed Lin in Shenyang inquired about how to reimburse and
2015-01-08             communica Individual   advance for the company’s stock reform and lift a ban, no material has been
                       tion                   provided yet
                       Telephone              Investor surnamed Zhang in Hainan inquired about 2014 annual performance of
2015-01-20             communica Individual
                                              the company, no material has been provided yet
                       tion
                       Telephone              Investor surnamed Lu in Jilin inquired about the company’s business condition,
2015-02-06             communica Individual
                                              no material has been provided yet
                       tion
                       Telephone              Investor surnamed Huang in Shenzhen inquired about the business condition of
2015-02-25             communica Individual   the company’s hotel during the Spring Festival, no material has been provided
                       tion                   yet
                       Telephone              Investor surnamed Wang in Shanghai inquired about the company’s business
2015-03-20             communica Individual
                                              condition, no material has been provided yet
                       tion
                       Telephone              Investor surnamed Han in Shanghai inquired about the company’s business
2015-04-08             communica Individual
                                              condition in the first quarter, no material has been provided yet
                       tion
                       Telephone              Investor surnamed Wang in Guangdong inquired about how to reimburse and
2015-05-15             communica Individual
                                              advance for the stock reform and lift a ban, no material has been provided yet
                       tion
                       Telephone              Investor surnamed Zhou in Shenzhen inquired whether the company has
2015-06-26             communica Individual   undisclosed information that should be disclosed, no material has been provided
                       tion                   yet
                       Telephone              Investor surnamed Lin in Beijing inquired about the company’s semi-annual
2015-07-06             communica Individual
                                              business condition, no material has been provided yet
                       tion
                       Telephone              Investor surnamed Wang in Shenzhen inquired whether the company has
2015-08-18             communica Individual   undisclosed information that should be disclosed, no material has been provided
                       tion                   yet
                       Telephone              Investor surnamed Zhou in Shanghai inquired about the company’s development
2015-09-24             communica Individual
                                              prospect, no material has been provided yet
                       tion
                       Telephone              Investor surnamed Wu in Beijing inquired about the company’s business
2015-10-16             communica Individual   condition in the third quarter and the disclosure time of the third quarterly report,
                       tion                   no material has been provided yet
                       Telephone              Investor surnamed Liu in Jilin inquired about the company’s business condition
2015-10-26             communica Individual
                                              in the third quarter, no material has been provided yet
                       tion
                       Telephone
2015-11-20                       Individual   Investor surnamed Zhang in Hainan inquired about the listing condition of the
                       communica
      司公限有份股心中游旅海东大南海                                                                 2015   文全告报度年年
                        tion                     company’s former internal employee stock, no material has been provided yet
                        Telephone                Investor surnamed Lan in Beijing inquired about the company’s business
2015-12-08              communica Individual
                                                 condition in the third quarter, no material has been provided yet
                        tion
                        Telephone                Investor surnamed Yu in Shanghai inquired about the disclosure time of the
2015-12-28              communica Individual
                                                 company’s 2015 annual report, no material has been provided yet
                        tion
Reception (times)
Number of hospitality
Number of individual reception
Number of other reception
Disclosed, released or let out major
                                     No
undisclosed information
2. From the end of reporting period to the disclosure date, reception of research, communication and
interview
√Applicable   □ Not applicable
    Time               Way          Type                           Basic situation index of investigation
                        Telephone                Investor surnamed Lin in Guangzhou inquired about the implementation of
2016-01-12              communica Individual     commitments on reorganization made by the company’s strong shareholder, no
                        tion                     material has been provided yet
                        Telephone                Investor surnamed Wang in Shenzhen inquired about 2015 annual business
2016-01-15              communica Individual
                                                 performance of the company, no material has been provided yet
                        tion
                        Telephone                Investor surnamed Chen in Heilongjiang inquired about 2015 annual business
2016-02-25              communica Individual
                                                 performance of the company, no material has been provided yet
                        tion
                        Telephone                Investor surnamed Li in Hubei inquired about 2015 annual business performance
2016-03-04              communica Individual
                                                 of the company, no material has been provided yet
                        tion
Reception (times)
Number of hospitality
Number of individual reception
Number of other reception
Disclosed, released or let out major
                                     No
undisclosed information
    司公限有份股心中游旅海东大南海                                                                                2015   文全告报度年年
                                              Section V. Iimportant Events
I. Profit distribution plan of common stock and capitalizing of common reserves plan
Formulation, Implementation and Adjustment of common stock Profit Distribution Policy Especially Cash Dividend policy during
the Reporting Period
√   Applicable    □   Not applicable
Profit distribution plan (pre-plan) of common stock and capitalizing of common reserves plan (pre-plan) in latest three years
(including the reporting period)
According to the auditing reports issued by certified public accountants, the net income realized in nearly three
years (including the reporting period) was used to make up the losses in the previous year; the undistributed profit
during this reporting remained a minus. The Company did not take profit allocation nor capitalization of capital
reserve during the reporting period.
Cash dividend of common stock in latest three years (including the reporting period)
                                                                                                                                           In RMB
                                                Net profit attributable to      Ratio in net profit attributable to
  Year for                                                                                                              Amount for       Proportion for
               Amount for cash bonus common stock shareholders of               common stock shareholders of
     bonus                                                                                                             cash bonus by     cash bonus by
                     (tax included)          listed company in consolidation      listed company contained in
     shares                                                                                                             other ways        other ways
                                                statement for bonus year            consolidation statement
2015                                  0.00                     -7,477,866.40                                0.00%                 0.00           0.00%
2014                                  0.00                      2,503,486.47                                0.00%                 0.00           0.00%
2013                                  0.00                     -2,199,319.96                                0.00%                 0.00           0.00%
The Company gains profits in reporting period and the retained profit of common stock shareholders provided by parent company is
positive but no plan of cash dividend proposed of common stock
□ Applicable √ Not applicable
II. Profit distribution plan and capitalizing of common reserves plan for the Period
□ Applicable √ Not applicable
The Company has no plans of cash dividend distributed, no bonus shares and has no share converted from capital reserve either for
the year.
III. Implementation of commitment
1. Commitments that the company, shareholders, actual controller, offeror, directors, supervisors, senior
management or other related parties have fulfilled during the reporting period and have not yet fulfilled by
the end of reporting period
√Applicable      □ Not applicable
                                                                                                               Com      Com
                                                      Prom Type                                                mitm      mit
                   Commitments                                               Content of commitments                                  Implementation
                                                       ise  of                                                  ent     ment
                                                                                                               date     term
      司公限有份股心中游旅海东大南海                                                                         2015   文全告报度年年
                                                      com
                                                      mitm
                                                      ents
                                                              On May 30, 2007, Luoniushan Co.,
                                                              Ltd.    made      commitments      in    the
                                                              Company’s \"Instructions for reform of
                                                                                                                      Since        the         Company's
                                                              non-tradable shares\" (Revision) and
                                                                                                                      implementation of reform
                                                              \"Instructions       for      reform      of
                                                                                                                      of non-tradable shares, the
                                                              non-tradable      shares\"    (Abstract   of
                                                                                                                      Company has avoided the
                                                              revision) that in view of Dadonghai
                                               Luon other                                                             risk    of     delisting       and
                                                              Company’s losses in successive years            With
                                               iusha co                                                               improved           the    financial
Commitments for                                               and on the verge of delisting, in order 2014- in 3
                                               n       mm                                                             situation accordingly with
Share Merger Reform                                           to reverse the company's business 06-27 year
                                               Co.,    itm                                                            efforts of all parties. Up to
                                                              difficulties, improve profitability and          s
                                               Ltd     ents                                                           now,     Luoniushan           Co.,
                                                              recover     the    continuous     business
                                                                                                                      Ltd. has not found the
                                                              capacity, Luoniushan Co., Ltd., the
                                                                                                                      appropriate         restructuring
                                                              controlling shareholder of Dadonghai
                                                                                                                      parties for the company’s
                                                              Company        made       commitments     to
                                                                                                                      reorganization.
                                                              actively seek restructuring parties to
                                                              reorganize the assets of Dadonghai
                                                              Company at the appropriate time.
Commitments in report of      acquisition or
equity change
Commitments in assets reorganization
Commitments make in initial public offering
or re-financing
Equity incentive commitment
                                                              Based on the confidence in the future
                                                              sustainable development of
                                                              Dadonghai, as well as the long-term
                                                      com
                                                              investment value of domestic capital
                                                      mitm
                                                              market, Luoniushan Co., Ltd. shall
                                                      ents
                                                              take practical action and participate in
                                               Luon of
                                                              maintaining the capital market                   With
                                               iusha incre
Other commitments for medium and small            stability. In accordance with the       2015- 6
                                       n    asing                                                   Completed
shareholders                                      relevant provisions of China Securities 07-10 mon
                                       Co., or
                                                  Regulatory Commission and Shenzhen            ths
                                       Ltd decre
                                                  Stock Exchange, Luoniushan Co., Ltd.
                                            asing
                                                  plans to take chances to increase
                                            share
                                                  holding of shares in Dadonghai
                                            s
                                                  through Shenzhen Stock Exchange
                                                              within six months from the date of this
                                                              announcement, the amount of
      司公限有份股心中游旅海东大南海                                                                    2015   文全告报度年年
                                                            increased holding of shares should be
                                                            no less than RMB 5 million yuan, and
                                                            does not automatically reduce holding
                                                            of shares in Dadonghai during the
                                                            increased holding period, within six
                                                            months after the increased holding of
                                                            shares and within the legal time limit.
Completed on time(Y/N)                          Yes
If the commitments is not fulfilled on time,
shall explain the specify reason and the next   N/A
work plan
2. Concerning assts or project of the Company, which has profit forecast, and reporting period still in
forecasting period, explain reasons of reaching the original profit forecast
□ Applicable √ Not applicable
IV. Non-operational fund occupation from controlling shareholders and its related party
□ Applicable √ Not applicable
No non-operational fund occupation from controlling shareholders and its related party in period.
V. Explanation from Board of Directors, Supervisory Committee and Independent Directors
(if applicable) for “Qualified Opinion” that issued by CPA
□ Applicable √ Not applicable
VI. Particulars about the changes in aspect of accounting policy, estimates and calculation
method compared with the financial report of last year
□ Applicable    √ Not applicable
No particulars about the changes in aspect of accounting policy, estimates or calculation method in Period.
VII. Major accounting errors within reporting period that needs retrospective restatement
□ Applicable    √ Not applicable
No major accounting errors within reporting period that needs retrospective restatement for the Company in the period.
VIII. Compare with last year’s financial report; explain changes in consolidation statement’s
scope
√Applicable    □ Not applicable
New established subsidiary: Sinopharm Holding Guangzhou Medical Management Co., Ltd.
IX. Appointment and non-reappointment (dismissal) of CPA
Accounting firm appointed
      司公限有份股心中游旅海东大南海                                                               2015   文全告报度年年
Name of domestic accounting firm                       BDO CHINA Shu Lun Pan Certified Public Accountants LLP
Remuneration for domestic accounting firm (in 10
thousand Yuan)
Continuous life of auditing service for domestic
accounting firm
Name of domestic CPA                                   Liu Zebo, Zhu Meirong
Re-appointed accounting firms in this period
□Yes √No
Appointment of internal control auditing accounting firm, financial consultant or sponsor
√Applicable □ Not applicable
On 29 January 2015, the Company holding the 4th meeting of 8th session of the Board, and decided to appointed
BDO CHINA Shu Lun Pan Certified Public Accountants LLP as the auditing institute of the internal control for
year of 2015 and the decision has been deliberated and approved in general meeting of 2014. During the period,
auditing fee 80,000 Yuan in total has been paid to the institute for internal control auditing.
X. Particular about suspended and delisting after annual report disclosed
□ Applicable √ Not applicable
XI. Bankruptcy reorganization
□ Applicable     √ Not applicable
No bankruptcy reorganization for the Company in reporting period
XII. Significant lawsuits and arbitrations of the Company
□Applicable        √Not applicable
No significant lawsuits and arbitrations occurred in the reporting period
XIII. Penalty and rectification
□ Applicable √ Not applicable
No penalty and rectification for the Company in reporting period.
XIV. Integrity of the company and its controlling shareholders and actual controllers
□ Applicable √ Not applicable
XV. Implementation of the company’s stock incentive plan, employee stock ownership plan or
other employee incentives
□ Applicable √ Not applicable
During the reporting period, the company has no stock incentive plan, employee stock ownership plan or other employee incentives
    司公限有份股心中游旅海东大南海                                                                       2015   文全告报度年年
that have not been implemented.
XVI. Major related transaction
1. Related transaction with routine operation concerned
√Applicable □Not applicable
                                                                                        Whethe
                                                                        Trading r over
                                                       Related
                                                                                                   Clearin Availabl
                          Content                     transacti Proporti limit    the                                          Index
                  Type of                                                                          g form             Date of
                              of    Pricing Related       on     on in approve approve                      e similar            of
 Related Relation related                                                                            for
                           related principl transacti amount similar                                                  disclosu
  party   ship transacti                                                                           related market
                          transacti    e    on price (in 10 transacti d (in 10     d                                           disclos
                    on                                                                            transacti              re
                             on                        thousan    ons thousan limited                         price              ure
                                                                                                     on
                                                      d Yuan)
                                                                        d Yuan) or not
                                                                                        (Y/N)
                                                                                                  Same as
                                                                                                              Same as
                                                                                                  the
             First                                                                                            the
Luoniush                          Accom                                                           transacti
             majority Consum                 Market Market                                                    transacti
an Co.,                           modatio                       2.9   0.18%         0 Yes         on with
             sharehol ption                  price    price                                                   on with
Ltd.                              n                                                               non-rela
             der                                                                                              non-rela
                                                                                                  ted
                                                                                                              ted party
                                                                                                  party
Total                                            --      --     2.9    --           0        --         --          --     --        --
Detail of sales return with major
                                             N/A
amount involved
Report the actual implementation of
the daily related transactions which
were      projected     about   their    total N/A
amount by types during the reporting
period
Reasons for major differences
between trading price and market             Not applicable
reference price
2. Related transactions by assets acquisition and sold
□ Applicable        √ Not applicable
No related transactions by assets acquisition and sold for the Company in reporting period
3. Main related transactions of mutual investment outside
□ Applicable        √ Not applicable
No main related transactions of mutual investment outside for the Company in reporting period
4. Contact of related credit and debt
□ Applicable        √ Not applicable
The Company had no contact of related credit and debt in the reporting period.
      司公限有份股心中游旅海东大南海                                                                             2015    文全告报度年年
5. Other related transactions
□ Applicable     √ Not applicable
The company had no other significant related transactions in reporting period.
XVII. Significant contract and implementations
1. Trusteeship, contract and leasing
(1) Trusteeship
□ Applicable     √ Not applicable
No trusteeship for the Company in reporting period
(2) Contract
□ Applicable     √ Not applicable
No contract for the Company in reporting period
(3) Leasing
√Applicable    □ Not applicable
Note of leasing
 Item (storefront)                     Tenantry                                                     Lease term
   Dilute room                       Zhong Liping                                              2011-9-1 to 2016-8-31
 Physical therapy                      Li Fumin                    2011-11-20 to 2015-11-19 (terminated on 25 May 2015)
             center
   Western food                        Li Fumin                    2013-11-15 to 2016-4-14 (terminated on 25 May 2015)
    bar
     Chinese              Sanya Dadonghai Dragon Palace                                        2012-7-1 to 2016-4-30
     restaurant                        Delicacy
      Seaside                          Fu Yumei                              2010-10-1 to 2016-4-30 (terminated on 31 August 2015)
  shopping mall
   5S Marketing               Sanya Haiyuan aodar Tourism                                     2014-11-1 to 2015-10-31
      Center                     Development Co., Ltd.
Gains/losses to the Company from projects that reached over 10% in total profit of the Company in reporting period
√Applicable    □ Not applicable
                                            Leasing
                                                                                                                 The
                                             assets                                 Leasing      Basis for
                                                                                                              impact of     Whether
                   Name of                  involved                     Lease       income      determinin
   Name of                       Leasing                 Lease start                                           leasing     be related Associatio
                  the leasing                in the                    terminatio    (in 10        g the
    lessor                        assets                    date                                              income on transaction n relation
                      party                amount (in                    n date     thousand      leasing
                                                                                                                 the           s
                                               10                                     yuan)       income
                                                                                                              company
                                            thousand
      司公限有份股心中游旅海东大南海                                                                   2015   文全告报度年年
                                           yuan)
                   Sanya
                Dadonghai                                                                           Accounted
The                          Chinese                 2012-07-0 2016-04-3
                  Dragon                     1,500                                   180 Contract   for 11.33% No        N/A
Company                      restaurant              1         0
                   Palace                                                                           of revenue
                 Delicacy
2. Major Guarantee
□Applicable    √ Not applicable
The Company had no guarantee in the reporting period.
3. Entrust others to cash asset management
(1) Trust financing
□ Applicable √ Not applicable
The Company had no trust financing in the reporting period.
(2) Entrusted loans
□ Applicable    √ Not applicable
The company had no entrusted loans in the reporting period.
4. Other material contracts
□ Applicable    √ Not applicable
No other material contracts for the Company in reporting period
XVIII. Explanation on other significant events
□ Applicable    √ Not applicable
The Company had no explanation on other significant event in the reporting period.
XIX. Significant event of subsidiary of the Company
□ Applicable √ Not applicable
XX. Social responsibility
□ Applicable √ Not applicable
XXI. Issuance of corporate bonds
Whether the company has corporate bonds that have been publicly issued and listed on the stock exchange, and not yet due or due but
not fully cashed on the approval date of annual report
No
      司公限有份股心中游旅海东大南海                                                                           2015   文全告报度年年
     Section VI. Changes in Shares and Particulars about Shareholders
I. Changes in Share Capital
1. Changes in Share Capital
                                                                                                                                   In Share
                                   Before the Change           Increase/Decrease in the Change (+, -)                  After the Change
                                                            New            Capitalizatio
                                               Proportio            Bonus
                                  Amount                   shares           n of public Others      Subtotal      Amount          Proportion
                                                  n                 shares
                                                           issued             reserve
I. Restricted shares              15,535,200      4.27%                                 -462,000 -462,000         15,073,200           4.14%
1.   State-owned shares
2. State-owned corporate
                                   3,029,400      0.83%                                 -660,000 -660,000             2,369,400        0.65%
shares
                                  12,505,800      3.44%                                  198,000    198,000       12,703,800           3.49%
3. Other domestic shares
Including: Domestic
                                  12,373,800      3.40%                                  198,000    198,000       12,571,800           3.45%
legal person shares
Domestic natural person
                                    132,000       0.04%                                         0          0           132,000         0.04%
shares
II. Unrestricted shares          348,564,800     95.73%                                  462,000    462,000      349,026,800           95.86%
                                 260,564,800     71.56%                                  462,000    462,000      261,026,800           71.69%
1. RMB common shares
2.Domestically          listed
                                  88,000,000     24.17%                                         0          0      88,000,000           24.17%
foreign shares
III. Total shares                364,100,000 100.00%                                                             364,100,000         100.00%
Reasons for share changed
√ Applicable       □ Not applicable
In the process of subsequent work of share-trading reform of the Company, according to relevant regulations the
release procedures were in process and part of the shareholders handling the payment of account paid in advance.
Thus, the share structure changes in the report period but retained the same in total share capital.
Approval of share changed
□ Applicable √ Not applicable
Ownership transfer of share changes
□ Applicable √ Not applicable
Influence on the basic EPS and diluted EPS as well as other financial indexes of net assets per share attributable to common
shareholders of Company in latest year and period
□ Applicable √ Not applicable
Other information necessary to disclose or need to disclosed under requirement from security regulators
□ Applicable √ Not applicable
      司公限有份股心中游旅海东大南海                                                                     2015   文全告报度年年
2. Changes of restricted shares
√ Applicable   □ Not applicable
                                                                                                                                 In Share
                                       Number of
                                                   Number
                                          shares             Number of Number of
                                                   of shares
                                        restricted           new shares     shares         Restriction
          Shareholders’ name                      released                                                      Released date
                                            at                restricted restricted at      reasons
                                                    in the
                                       Period-begi           in the Year Period-end
                                                     Year
                                             n
                                                                                         Legal             After remove
Yangpu Tongrong Investment
                                        4,420,800           0    198,000    4,618,800 commitment in restricted procedures
Management Consultation Co., Ltd.
                                                                                         share reform      complete
                                                                                         Legal             After remove
Sanya Zhongxing Development Co.,
                                        2,541,000           0           0   2,541,000 commitment in restricted procedures
Ltd.
                                                                                         share reform      complete
                                                                                         Legal             After remove
Sanya Real Estate Valuation Agent         924,000           0           0     924,000 commitment in restricted procedures
                                                                                         share reform      complete
Hainan Hong Kong-Macao                                                                   Legal             After remove
International Trade Development Co.,      924,000           0           0     924,000 commitment in restricted procedures
Ltd.                                                                                     share reform      complete
                                                                                         Legal             After remove
Haikou Dongfang Urban credit
                                          924,000           0           0     924,000 commitment in restricted procedures
Cooperative
                                                                                         share reform      complete
                                                                                         Legal             After remove
Hainan Branch of Bank of
                                          924,000           0           0     924,000 commitment in restricted procedures
Communications Co., Ltd.
                                                                                         share reform      complete
                                                                                         Legal             After remove
Guangzhou Dongzhan Industrial Co.
                                          924,000           0           0     924,000 commitment in restricted procedures
LTD
                                                                                         share reform      complete
                                                                                         Legal             After remove
Shenyang Jin’an Industrial
                                          831,600           0           0     831,600 commitment in restricted procedures
Corporation
                                                                                         share reform      complete
                                                                                         Legal             After remove
Hainan Dadonghai Tourism Co.              739,200           0           0     739,200 commitment in restricted procedures
                                                                                         share reform      complete
                                                                                         Legal             After remove
Guangzhou Company of Hainan
                                          660,000           0           0     660,000 commitment in restricted procedures
International Investment Co., Ltd.
                                                                                         share reform      complete
Southern Industrial and Trading                                                          Legal             After remove
                                          660,000           0           0     660,000
Corporation                                                                              commitment in restricted procedures
    司公限有份股心中游旅海东大南海                                                                           2015   文全告报度年年
                                                                                            share reform           complete
                                                                                            Legal                  After remove
Beijing Xueli Clothing Accessories
                                                132,000         0          0     132,000 commitment in restricted procedures
Co., Lt.d
                                                                                            share reform           complete
                                                                                            Legal                  After remove
Xiao Tiefeng                                    132,000         0          0     132,000 commitment in restricted procedures
                                                                                            share reform           complete
                                                                                            Legal                  After remove
Sanya Wangli Building Materials Sales            92,400         0          0        92,400 commitment in restricted procedures
                                                                                            share reform           complete
                                                                                            Legal                  After remove
Hainan Nongkeng Sanya Timber Mill                46,200         0          0        46,200 commitment in restricted procedures
                                                                                            share reform           complete
                                                                                            Legal                  After remove
Hainan Dongda Ocean Transport
                                                660,000    462,000         0               0 commitment in restricted procedures
Company
                                                                                            share reform           complete
Total                                         15,535,200   462,000    198,000 15,073,200             --                       --
II. Securities issuance and listing
1. Security offering (without preferred stock) in Reporting Period
□ Applicable √ Not applicable
2. Changes of total shares and shareholders structure as well as explanation on changes of assets and
liability structure
□ Applicable √ Not applicable
3. Existing internal staff shares
□ Applicable √ Not applicable
III. Particulars about shareholder and actual controller of the Company
1. Amount of shareholders of the Company and particulars about shares holding
                                                                                                                                     In Share
                                                                                                                           Total        preference
Total    common                                                                Total              preference               shareholders         with
stock                             Total common stock shareholders at           shareholders               with             voting           rights
shareholders in        20,633 end of last month before annual report 19,865 voting rights recovered                       0 recovered at end of        0
reporting                         disclosed                                    at    end     of    reporting               last     month   before
period-end                                                                     period                                      annual           report
                                                                                                                           disclosed
       司公限有份股心中游旅海东大南海                                                                      2015   文全告报度年年
Particulars about shares held above 5% by shareholders or top ten shareholders
                                                                         Total               Amount                       Number of share
                                                                                                       Amount of
                                                          Proportio shareholders Changes in     of                         pledged/frozen
                                        Nature of           n of                                       un-restricte
  Full name of Shareholders                                          at the end    report   restricted
                                       shareholder         shares                                       d shares       State of
                                                            held       of report   period     shares                                Amount
                                                                                                          held          share
                                                                        period                 held
                                    Domestic non
Luoniushan Co., Ltd.                state-owned             16.81%    61,190,270 0                    0 61,190,270
                                    corporate
                                    Domestic nature
Pan Guoping                                                  8.48%    30,879,791 0                    0 30,879,791 Pledged          30,000,000
                                    person
Guangdong New Value
Investment Co., Ltd. -              Other                    5.02%    18,293,924 18,293,924           0 18,293,924
Securities Investment Fund
Guangdong Yuecai Trust Co.,
Ltd. - securities investment        Other                    3.13%    11,410,000 11,410,000           0 11,410,000
capital trust scheme
First Shanghai Securities
                                    Foreign corporate        2.68%     9,760,998 9,760,998            0   9,760,998
Limited
Changxin Fund- Shanghai
Pudong Development Bank -
                                    Other                    1.68%     6,106,235 6,106,235            0   6,106,235
Gold Investment Asset No.2
Management Plan
Yangpu Tongrong Investment          Domestic non
Management Consultation Co., state-owned                     1.27%     4,618,800 198,000      4,618,800
Ltd.                                corporate
Huarong International Trust
Co., Ltd – HuarongYunhui
                                    Other                    1.24%     4,500,000 4,500,000            0   4,500,000
securities investment capital
trust scheme
CITRINE CAPITAL LIMITED Foreign corporate                    0.90%     3,265,200 0                    0   3,265,200
                                    Domestic nature
Sun Huiming                                                  0.79%     2,888,690 2,888,690            0   2,888,690
                                    person
Strategy investors or general legal person
                                                          N/A
becomes top 10 shareholders due to rights issued
                                                          The Company is unknown whether there exists associated relationship or belongs to the
Explanation    on      associated    relationship    or
                                                          consistent actor regulated by the Management Measure of Information Disclosure on
accordant action among the aforesaid shareholders
                                                          Change of Shareholding for Listed Company among the other shareholders.
Particular about top ten shareholders with un-restrict shares held
       司公限有份股心中游旅海东大南海                                                                    2015   文全告报度年年
                                                                                                                    Type of shares
               Shareholders’ name                    Amount of un-restrict shares held at Period-end
                                                                                                                  Type           Amount
                                                                                                         RMB common
Luoniushan Co., Ltd.                                                                       61,190,270                            61,190,270
                                                                                                         share
                                                                                                         Domestically listed
Pan Guoping                                                                                30,879,791                            30,879,791
                                                                                                         foreign share
Guangdong New Value Investment Co., Ltd. -                                                               RMB common
                                                                                           18,293,924                            18,293,924
Securities Investment Fund                                                                               share
Guangdong Yuecai Trust Co., Ltd. - securities                                                            RMB common
                                                                                           11,410,000                            11,410,000
investment capital trust scheme                                                                          share
                                                                                                         Domestically listed
First Shanghai Securities Limited                                                            9,760,998                               9,760,998
                                                                                                         foreign share
Changxin Fund- Shanghai Pudong Development
                                                                                                         RMB common
Bank - Gold Investment Asset No.2 Management                                                 6,106,235                               6,106,235
                                                                                                         share
Plan
Huarong International Trust Co., Ltd –
                                                                                                         RMB common
HuarongYunhui securities investment capital trust                                            4,500,000                               4,500,000
                                                                                                         share
scheme
                                                                                                         Domestically listed
CITRINE CAPITAL LIMITED                                                                      3,265,200                               3,265,200
                                                                                                         foreign share
                                                                                                         Domestically listed
Sun Huiming                                                                                  2,888,690                               2,888,690
                                                                                                         foreign share
                                                                                                         RMB common
Sanya Rural Credit Cooperative                                                               2,310,000                               2,310,000
                                                                                                         share
Expiation on associated relationship or consistent
                                                     The Company is unknown whether there exists associated relationship or belongs to the
actors within the top 10 un-restrict shareholders
                                                     consistent actor regulated by the Management Measure of Information Disclosure on
and between top 10 un-restrict shareholders and
                                                     Change of Shareholding for Listed Company among the other shareholders.
top 10 shareholders
Explanation on shareholders involving margin
business about top ten common stock shareholders N/A
with un-restrict shares held
Whether top ten common stock shareholders or top ten common stock shareholders with un-restrict shares held have a buy-back
agreement dealing in reporting period
□ Yes √ No
The top ten common stock shareholders or top ten common stock shareholders with un-restrict shares held of the Company have no
buy-back agreement dealing in reporting period.
2. Controlling shareholder of the Company
Nature of controlling shareholders: community collective holding
         司公限有份股心中游旅海东大南海                                                                     2015   文全告报度年年
Type of controlling shareholders: legal person
                                            Legal
                                        person/perso Date of
         Controlling shareholders                                       Organization code                Main operation business
                                         n in charge foundation
                                         of the unit
                                                                                            Business scope: planting and breeding industry;
                                                                                            initiating industry; real estate development and
                                                                                            management; building decoration works; sales
                                                                                            of agricultural and animal by-products, aquatic
                                                                                            products and feed processing; machinery and
                                                                                            automobile and motorcycle parts, electronic
                                                                    Unified social credit products, metal materials (except for the
Luoniushan Co., Ltd.                    Xu Zili         1987-12-19 code                     monopoly), chemical products (except for the
                                                                    9146000284089747P monopoly)),          household       appliances,   modern
                                                                                            office supplies, stationery, daily necessities,
                                                                                            building materials, sales of agricultural and
                                                                                            native    products;    the      development     and
                                                                                            construction of trading market; leasing services;
                                                                                            warehousing services; collecting and remitting
                                                                                            water and electricity costs.
Equity of other domestic/oversea
listed      company      control    by Found more details in full text of Annual Report 2015 of Luoniushan Co., Ltd.(Short form of the
controlling shareholder as well as stock: Luoniushan, Stock code: 000735)
stock-joint in report period
Changes of controlling shareholders in reporting period
□ Applicable √ Not applicable
The Company had no changes of controlling shareholders in reporting period
3. Actual controller of the Company
Nature of actual controller: domestic natural person
Type of actual controller: natural person
                                                                                 Whether obtained right of residence of other countries or
            Name of actual controller                     Nationality
                                                                                                       regions or not
Xu Zili                                           P.R.C                       No
                                                  Xu Zili, male, was born in 1966, is a senior engineer with a master degree. He
                                                  successively served as Vice President of Hubei Huangshi Mine Bureau Machinery;
                                                  General Manager of Haikou Animal Husbandry Machinery Engineering Co., Ltd.;
                                                  Chairman of Tianjin Baodi Agricultural Technology Co., Ltd.; Vice Chairman and
Profession and title in latest five years         General Manager of the Company from August 2006 to November 2011; serves as
                                                  Chairman of the Company since November 2011; he took as the 6th CPPCC member of
                                                  Hainan Province, the 13th session of the standing committee of CPPCC of Haikou City,
                                                  the deputy chairman of national federation of industry and agriculture industry chamber
                                                  of commerce and the deputy chairman of Hainan Entrepreneur Society.
Listed company in and out of China                N/A
      司公限有份股心中游旅海东大南海                                                                      2015   文全告报度年年
controlled in past decades
Changes of actual controller in reporting period
□ Applicable √ Not applicable
No changes of actual controllers for the Company in reporting period.
Property right and controlling relationship between the actual controller and the Company is as follow:
Actual controller controlling the Company by entrust or other assets management
□ Applicable √ Not applicable
4. Particulars about other legal person shareholders with over 10% shares held
□ Applicable √ Not applicable
5. Limitation and reducing the holdings of shares of controlling shareholders, actual controllers,
restructuring side and other commitment subjects
□ Applicable √ Not applicable
      司公限有份股心中游旅海东大南海                                 2015   文全告报度年年
                                      Section VII. Preferred Stock
□ Applicable   √ Not applicable
The Company had no preferred stock in the Period.
       司公限有份股心中游旅海东大南海                                                          2015    文全告报度年年
         Section VIII. Particulars about Directors, Supervisors, Senior
                                     Executives and Employees
I. Changes of shares held by directors, supervisors and senior executives
                                                                                            Amount      Amount
                                                                               Shares                                       Shares
                         Wor                                                                of shares of shares
                                                                                 held at                       Other held at
                         king          Start dated of office End date of office          increased decreased
               Title           Sex Age                                          period-b                     changes period-e
 Name                    statu                 term                term                    in this  in this
                                                                                  egin                        (share)   nd
                           s                                                               period   period
                                                                                (Share)                               (Share)
                                                                                          (Share) (Share)
                         Curr
Li                       ently
           Chairman,
Yuanbi                   in    M      65 2001-10-25        2017-05-22                   0          0          0         0        0
         General Manager
n                        offic
                         e
                         Curr
                         ently
Zhao       Independent
                         in      F    63 2014-05-22        2017-05-22                   0          0          0         0        0
Man          Director
                         offic
                         e
                         Curr
Tang                     ently
           Independent
Guopin                   in      M    51 2014-05-22        2017-05-22                   0          0          0         0        0
             Director
g                        offic
                         e
                         Curr
Leng                     ently
           Independent
Mingqu                   in      M    60 2014-05-22        2017-05-22                   0          0          0         0        0
             Director
an                       offic
                         e
                         Curr
                         ently
Li Wei       Director    in      M    54 2002-06-16        2017-05-22                   0          0          0         0        0
                         offic
                         e
                         Curr
Liu                      ently
             Director            M    47 2002-06-16        2017-05-22                   0          0          0         0        0
Juntao                   in
                         offic
    司公限有份股心中游旅海东大南海                                                                    2015     文全告报度年年
                             e
                             Curr
          Chairman of        ently
Huang
          supervisory        in        M          46 2002-06-16        2017-05-22                   0          0          0         0   0
Wencai
          committee          offic
                             e
                             Curr
                             ently
Wang
          Supervisor         in        F          49 2011-06-16        2017-05-22                   0          0          0         0   0
Jialing
                             offic
                             e
                             Curr
Liu                          ently
Xiangh Supervisor            in        M          39 2014-05-22        2017-05-22                   0          0          0         0   0
ai                           offic
                             e
                             Curr
Fu                           ently
          Person in charge
Zongre                       in        M          48 2015-04-15        2017-05-22                   0          0          0         0   0
          of finance
n                            offic
                             e
                             Curr
           Vice president & ently
Wang
Hongju     secretary of the in         F          39 2008-04-27        2017-05-22                   0          0          0         0   0
an
                Board        offic
                             e
                             Leav
Chen                         e the
          CFO                          F          51 2014-10-18        2015-04-01                   0          0          0         0   0
Zhen                         offic
                             e
Total              --             --       --   --           --               --                    0          0          0         0   0
II. Changes of directors, supervisors and senior executives
    Name              Title                   Type               Date                                     Reasons
Chen Zhen           CFO                     Leave the post   2015-04- 01            Leaving for personal reason
III. Post-holding
Professional background, major working experience and present main responsibilities in Company of directors, supervisors and
senior executive
Major working experience of directors, supervisors and senior executive at the present in latest five years
     司公限有份股心中游旅海东大南海                                                     2015   文全告报度年年
Directors
Mr. Li Yuanbin: born in June 1950, Han nationality, Master degree, MBA degree, senior engineer. He once held
the position of Chairman of Board of Haikou Haiyuan Co. Ltd and Yangpu Tiandi Sunshine Industry Co., Ltd,
director and general manager of the Company, now he is chairman of the Board and general manager, vice
chairman of Hainan Entrepreneurs’ Association, and permanent member of Hainan Federation of Industry
Chamber of Industry & Commerce and Vice-president of Hainan Provincial Association for Beverages Hotels and
Food, and Vice-president of Hubei Commerce Association in Hainan Province.
Mr. Liu Juntao: born in Oct. 1968, Han nationality, undergraduate degree, economist. Mr. Liu once held the
position of deputy director of Construction Bank branch, secretary of the Board of Director of Luoniushan Co.
Ltd., Deputy General Manager of the Company and Deputy General Manager of Softto Co., Ltd., Secretary of the
Board of Tianmao Industry Group Co., Ltd., currently hold the post of Assistant of GM and secretary of the Board
of Tianping Auto Insurance Co., Ltd. Serve as the director of the Company since 2002.
Mr. Li Wei: born in Sep. 1961, Master Degree, CPA, Party member. Mr. Li once held the position of finance
director of Yingshan County Silk Making Plant, director and vice director of Yingshan county auditing office,
bailiff of Yingshan county Chengguan county, supervisor of Hainan Province Internal Auditing Institute, he held
the position of deputy general manager and finance officer. Now, he serves as GM of Sanya Haiya Toutism Co.,
Ltd. right now; he held the position of director of the Company since 2002.
Independent Directors
Ms. Zhao Man, born in Feburary 1952, member of the CPC, Doctor of Economic, a professor and doctorial tutor.
Professional affiliations so far: member of social sciences commission of the Ministry of Education, committee of
experts member of the MHRSS, committee of experts member of the Ministry of Civil Affairs, director of
academic council of the Center for Social Security Study of Wuhan University, the key research center for social
sciences by CECC, standing director of The China Association for Labor Studies, standing director of China
Social Insurance Association, member of Advisory Committee of Hubei Provincial Peoples Government,
decision-support expert of CPC Hubei Provincial Committee, consultant expert of budget expert group for the
Wuhan People’s Congress Standarding Committee and member of Expert Consultation Committee of CPC Hubei
Provincial Committee Organization Department. Now she serves as independent director of Hubei Kaile
Technology Co., Ltd. and she took post as independent director of the Company since May 2014.
Mr. Leng Mingquan, born in April 1955, on-job graduate and Master of Administration. He was secretary and
section chief of CPC Suizhou Municipal propaganda Department and director of Haikou Office of the Suizhou
Government. Now he serves as executive vice president, secretary and legal representative of the Confederation of
Hainan Enterprise and Hainan Association of Enterpreneurs; executive chairman of Hainan labor relations
tripartie meeting; inspector of Hainan Procuratorate; police-style inspector of Hainan Provincial Public Security
Department; specially-invited inspector of Hainan Provincial Supervision Department; member of Hainan
Provincial Literature Dederation; member of Hainan Federation of Social Science; member of Hainan Provincial
Arbitration Committee; director of Hainan Enterprise Credit Evaluation Administration; Chairman of Hainan
Dashun Movie & TV Cultrual Communication Co., Ltd.; independent director of Hainan Yedao Group and
independent director of Haima Automobile Gourp Co., Ltd. He serves as independent directors of the Company
      司公限有份股心中游旅海东大南海                                                                   2015   文全告报度年年
since May 2014.
Mr. Tang Guoping, born in August 1964, graduated from Zhongnan University of Economics and Law. Hold
Doctor Degree, a professor, Chinese CPA and member of CPC. He was awarded the second-class award of the
Ministry of Education issued the second session of the humanities and social scientific research award of the
national ordinary high school, the third-class award of theHubei Province People's Government issued the
outstanding teaching achievement award, the Ministry of Finance cross century academic leaders, the Ministry of
education \"for outstanding young teachers Subsidy Scheme\" selected persons, Hubei Province has outstanding
contribution expert of the youth, Hubei famous teacher (high education teacher) and other awards and honors,
served as independent director of Wuhan Boiler Co., Ltd. He participated in (2012) the China Securities
Regulatory Commission independent director training, and obtained the post qualification. He serves as
independent directors of the Company since May 2014.
Supervisors
Mr. Huang Wencai: was born in Jan. 1969, undergraduate degree, Mr. Huang once held the position of vice
director of Haikou meat association factory, director of Haikou food Co. Ltd. and assistant of general manager of
Haikou food Co. Ltd., deputy GM of Haikou Luoniushan Food Processing Co., Ltd. and currently held the post of
deputy GM of Hainan Luoniushan Meat Co., Ltd.; he held the position of Chairman of Supervisory Committee of
the Company since 2002.
Ms. Wang Jialing: was born in Feb. 1966, once served as accountant of financial dept of the Company; she serves
as staff supervisor of the Company since 2011.
Mr. Liu Xianghai, born in April 1976, member of CPC, a senior accountant and senior economist; he was the
manager of finance department ( finance manager) of Shandong Highway & Bridge Construction Co., Ltd., and
CFO of the Haikou Xinxi Trading Co., Ltd. He serves as employee supervisor of the Company since May 2014.
Ms. Wang Hongjuan, was born in Feb. 1976, Undergraduate Degree, an attorney; she serves as supervisor of the
Company and Office Director, now she serves as vice president and secretary of the Board of the Company.
Mr. Fu Zongren, born in February 1967, intermediate accountant, served as financial manager of the Company,
financial controller of Sanya Yalong Bay Universal Resort, and general manager of Financial Management Center
of Hainan Sunup Group, and serves as the financial administrator of the Company since April 2015.
Post-holding in shareholder’s unit
□ Applicable √ Not applicable
Post-holding in other unit
□ Applicable √ Not applicable
Punishment of securities regulatory authority in recent three years to the company’s current and outgoing directors, supervisors and
senior management during the reporting period
□ Applicable √ Not applicable
      司公限有份股心中游旅海东大南海                                                                   2015   文全告报度年年
IV. Remuneration for directors, supervisors and senior executives
Decision-making procedures, recognition basis and payment for directors, supervisors and senior executives
1. Pursuant to the Company's Articles of Association, the pay of directors, supervisor personnel are approved by
general meeting after the review of the board of directors and board of supervisors respectively; the pay of senior
management is approved by the board. Directors, supervisors and senior managers get their payment
corresponding to their post provided by the general meeting and the board meeting.
2. In line with performance of their duties, directors, independent directors and supervisors should receive the
reimbursement from the Company on travel expense and Articles of Association implementation expense.
Remuneration for directors, supervisors and senior executives in reporting period
                                                                                                                 In 10 thousand Yuan
                                                                                                     Total              Whether
                                                                                                 remuneration       remuneration
                                                                               Post-holding
      Name                Title              Sex                Age                            obtained from the    obtained from
                                                                                      status
                                                                                               Company (before     related party of
                                                                                                    taxes)          the Company
                   Chairman,                                                 Currently in
Li Yuanbin                         M                                    65                                   45.99 No
                   General Manager                                           office
                   Independent                                               Currently in
Zhao Man                              F                                 63                                     3.6 No
                   Director                                                  office
                   Independent                                               Currently in
Tang Guoping                          M                                 51                                     3.6 No
                   Director                                                  office
                   Independent                                               Currently in
Leng Mingquan                         M                                 60                                     3.6 No
                   Director                                                  office
                                                                             Currently in
Liu Juntao         Director           M                                 47                                     3.6 No
                                                                             office
                                                                             Currently in
Li Wei             Director           M                                 54                                     3.6 No
                                                                             office
                                                                             Currently in
Huang Wencai       Supervisor         M                                 46                                     1.8 No
                                                                             office
                                                                             Currently in
Liu Xianghai       Supervisor         M                                 39                                   12.04 No
                                                                             office
                                                                             Currently in
Wang Jialing       Supervisor         F                                 49                                   10.35 No
                                                                             office
                   Vice president
                                                                             Currently in
Wang Hongjuan      and Secretary of   F                                 39                                   28.02 No
                                                                             office
                   the Board
                   Person in charge
Chen Zhen                             F                                 51 Leave the post                     4.28 No
                   of finance
    司公限有份股心中游旅海东大南海                                                                        2015   文全告报度年年
                   Person in charge                                           Currently in
Fu Zongren                            M                                  49                                         18.36 No
                   of finance                                                 office
Total                       --                 --                 --                   --                       138.84         --
Delegated equity incentive for directors, supervisors and senior executives in reporting period
□ Applicable √ Not applicable
V. Particulars of workforce
1. Number of staff, professional composition and education background
The number of current employees of parent company (people)
The number of current employees of main subsidiaries (people)
Total number of current employees (people)
The total number of current employees to receive pay (people)
The total number of retired staff and workers that the parent
 company and main subsidiaries need to bear the costs (people)
                                                      Professional composition
              Category of professional composition                          Number of professional composition people  (      )
Production staff
Salesman
Technical staff
Financial staff
Administrative staff
Total
                                                       Education background
                       Category of education                                                 Number   (   people
                                                                                                                )
Junior college above
High shool and below
Total
2. Remuneration policy
The compensation of company’s employees includes wages, bonuses, and benefits, which take the principle of
distributing according to the work, giving priority to efficiency and taking count of equity simultaneously, wage
increase adapting to the company’s business development and benefits improvement, optimizing the labor
allocation, pay level agreeing with the local average in the same industry. Set or adjust the wage standards in
accordance with the job valuation result, the local pay level in the same industry, the company’s annual operation
target and operational budget, and the individual performance.
3. Training programs
Strengthen the training of senior executives by combining the voluntary organization of training and the external
training, widen the thought, and enhance the decision-making ability and modern operation and management
      司公限有份股心中游旅海东大南海                                                            2015   文全告报度年年
ability. Strengthen the training of middle management, improve the overall quality of managers, improve the
knowledge structure, and enhance the comprehensive management capability, innovation capability and
implementation capability. Strengthen the training of professional and technical personnel, improve the theoretical
level of technology and professional skills, and enhance the technological innovation, technical transformation
capability. Strengthen the technical training of hotel service staff, constantly improve the professional skills and
service skills of service staff, and enhance the ability to strictly fulfill their responsibilities. Strengthen the cultural
training, improve the cultural level of personnel at all levels, and enhance the overall cultural quality of the staff
team.
4. Labor outsourcing
□ Applicable   √ Not applicable
      司公限有份股心中游旅海东大南海                                                                  2015   文全告报度年年
                                 Section IX. Corporate Governance
I. Corporate governance of the Company
During reporting period, the Company further completed governance structure and system, perfected internal
control mechanism and system construction and normalized corporate operation, strictly in accordance with
relative rules and regulations of the Company Law, Securities Law and Listing Rules. Till end of reporting period,
governance structure of the Company is basically in line with requirement of the Governance Rules of Listed
Company.
1. During the reporting period, the Company’s general meeting, board meeting and supervisors meeting exercised
the decision rights, execution rights and supervision rights respectively with clear responsibilities, mutual restrict,
operation specification and effective operation. The procedures of meeting holding, proposal review, and
decision-making in these three meetings were in compliance with relevant provisions. The board meeting
comprises strategy and development committee, audit committee, nomination committee, remuneration and
appraisal committee, who carry out smoothly their duties accordingly to their working conditions, providing a
strong support for the board meeting’s major scientific management decision.
2. In strict accordance with the requirements of Rules Governing the Listing of Stock,                   directors performed its
duties with honest, trust, diligence and independence, protected the legitimate rights and interests of minority
shareholders with loyalty to their interests; Supervisors effectively supervised and checked independent directors,
senior management and their financial situations.
Is there any difference between the actual condition of corporate governance and relevant regulations about corporate governance for
listed company from CSRC?
□Yes √ No
There are no differences between the actual condition of corporate governance and relevant regulations about corporate governance
for listed company from CSRC.
II. Independency of the Company relative to controlling shareholders’ in aspect of businesses,
personnel, assets, organization and finance
Statement of Five Independences between the Company and the Controlling Shareholders
1. Business Independence: the Company business operates independently with integrated structure, and is free
from horizontal competition with controlling shareholders. The controlling shareholders do not intervene the
Company’s operation either directly or indirectly.
2. Personnel Independence, the Company is independent on controlling shareholders in the aspects of labor,
personnel and Remuneration management.
3. Assets Independence: the Company has proprietary rights and control rights on its assets. Controlling
shareholders occupy no assets or funds of the listed company.
4. Institution Independence: the company's board of directors and board of supervisors, managers and other
internal institutions operate independently and manage independently with integrated structures.
5. Financial Independence: the Company has an independent financial sector, and sets up independent accounting
system and financial management system. The Company opens independent bank accounts and pay independent
taxes to laws without controlling shareholders’ intervention.
       司公限有份股心中游旅海东大南海                                                                                 2015   文全告报度年年
III. Horizontal competition
□ Applicable     √ Not applicable
IV. In the report period, the Company held annual shareholders’ general meeting and
extraordinary shareholders’ general meeting
1. Annual Shareholders’ General Meeting in the report period
 Session of                    Ratio of investor                               Date of
                   Type                                           Date                                      Index of disclosure
  meeting                         participation                               disclosure
Annual                                                                         The “Resolution Notice of Annual Shareholders’
                Annual                                                         General Meeting of 2014” (No.: 2015-008) published
general
                general                            0.07% 2015-03-10 2015-03-11 on Securities Times, Hong Kong Commercial Daily
meeting
                meeting                                                        and Juchao website (http://www.cninfo.com.cn) dated
2014                                                                           11March 2015 respectively
Institutional investor
Nil
2. Request for extraordinary general meeting by preferred stockholders whose voting rights restore
□ Applicable     √ Not applicable
V. Responsibility performance of independent directors
1. The attending of independent directors to Board meetings and general meeting
                                           The attending of independent directors to Board Meeting
                          Times of Board
                                                                   Times of
                             meeting                                                    Times of
       Name of                                     Times of       attending by                          Times of     Absent the Meeting for the
                           supposed to                                                  entrusted
independent director                               Presence communicati                                 Absence      second time in a row (Y/N)
                           attend in the                                                presence
                                                                         on
                           report period
Zhao Man                                   5                  1                4                    0              0 No
Tang Guoping                               5                  1                4                    0              0 No
Leng Mingquan                              5                  1                4                    0              0 No
Times for attending general meeting
from independent directors
Explanation of absent the Board Meeting for the second time in a row: Nil
2. Objection for relevant events from independent directors
Independent directors come up with objection about Company’s relevant matters
□Yes √No
Independent directors has no objections for relevant events in reporting period
3. Other explanation about responsibility performance of independent directors
The opinions from independent directors have been adopted
      司公限有份股心中游旅海东大南海                                                            2015   文全告报度年年
√ Yes □ No
Explanation on advice that accepted/not accepted from independent directors
Suggestion of re-enforce foreign capital introduction and good assets while operated currently main business with
purpose of change the single operation in main business; The Company has been working on it and no results
come at present.
VI. Duty performance of the special committees under the board during the reporting period
The board meeting comprises four special committees, who carry out smoothly their duties accordingly to their
working conditions, providing a strong support for the board meeting’s major scientific management decision.
Each special committee performed their duties as follows:
1. Audit Committee
During the reporting period, the audit committee audited the first quarter and the three quarter financial report of
2015, and the 2015 semi-annual financial report. In the process of annual financial report auditing 2015 process,
audit committee members worked in accordance with the relevant requirements by faithfully performing audit
committee’s responsibilities:
Before the entrance of annual examination certified public accountants, the audit committee members listened to
the management statements of the Company's operating condition in 2015 and the financial status as well as the
report on annual financial report audit work arrangement of 2014, communicated with annual examination
certified public accountants about issues such as personnel structure of the working group, audit plan, risk
judgment, annual audit focus and so on; In early January 2016, in annual report audit process, audit committee
members listened to the work report by annual examination certified public accountants and the company
management; At the middle of March 2016, audit committee members reviewed submitted financial and
accounting reports. The financial and accounting reports audited was formatted strictly to Accounting Standards for
Business Enterprises and Accounting System for Business Enterprises, and this report fairly reflected the Company’s assets,
liabilities, rights and interests and operating situation without significant errors and omissions. The annual audit
report of 2015 by audit institutions was agreed to be submitted to the board.
The Company's board of directors regarded that the external auditors Lixin Certified Public Accountants (special
ordinary partnership) faithfully performed the audit responsibility, and suggested to renew as the Company’s
annual financial audit of 2016.
2. Remuneration committee
During the reporting period, the remuneration committee members of the Company board carried out their duties
strictly to relevant regulations, inspected remuneration policies and programs for directors, supervisors and senior
managers, led the company to perfect the remuneration system, and appraised the performance of directors,
supervisors and senior management according to senior manager remuneration appraisal. By the end of the
reporting period, the Company has not implemented option scheme.
3. Strategy committee
During the reporting period, the board strategy committee put forward valuable opinions on decision-making such
as development planning and investment decisions, thus enhanced the scientific decision-making and core
competitiveness of the Company, improved the Company’s efficiency of major investment decisions and decision
quality.
4. Nomination committee
During the reporting period, on April 13, 2015, Ms. Chen Zhen, the former CFO of the Company, requested to
      司公限有份股心中游旅海东大南海                                                                       2015   文全告报度年年
resign the CFO position since April 1, 2015 for personal reasons. On April 14, 2015, the fifth interim meeting of
the eighth board of directors of the company decided to engage Mr. Fu Zongren as the company’s financial
administrator, and his tenure is the same as the eighth board of directors of the company.
VII. Works from Supervisory Committee
The Company has risks in reporting period that found in supervisory activity from supervisory committee
□ Yes √ No
Supervisory committee has no objection about supervision events in reporting period
VIII. Examination and incentives of senior management
1. Pursuant to People-oriented Principle, the Company employs outstanding persons in long-term, and admits the
best candidates on the premise of openness, fairness, justice. Those who pass trial comprehensive appraisal and be
nominated by general managers and approved by the board meeting can be employed as senior management of the
Company.
2. The Company adopts a clear appraisal system in which assessment methods are made to the performance and
duty fulfillment of senior management. Assessments are carried out monthly and annually by the same level and
higher level and the results are taken as factors for post lift and rewards and punishment of senior management.
3. The company sets up effective incentive mechanism, including material incentives and spiritual incentives. The
clear rewards and punishments, balance between remuneration and work performance, survival of fittest
encourage senior management to make constantly progress and improve their own comprehensive ability which in
turn help the Company develop rapidly.
IX. Internal Control
1. Details of major defects in IC appraisal report that found in reporting period
√ Yes □ No
                     Details of major defects in appraisal report of internal control that found in reporting period
The company’s board of directors has made self-evaluation to the validity of design and operation of the company’s internal
controls up to December 31, 2015 in accordance with the requirements of \"Basic Norms of Enterprise Internal Control\",
\"Evaluation Guidelines of Enterprise Internal Control\" and other laws and regulations, and issued \"2015 annual evaluation report of
internal control\" of the company, and made following conclusions: during the reporting period, the company has no significant
internal control deficiencies.
2. Appraisal Report of Internal Control
Disclosure date of full internal control
                                                     2016-03-26
evaluation report
Disclosure index of full internal control Relevant information found in Self-evaluation Report of Internal Control for 2015 published
evaluation report                                    on Juchao Website dated 26 March 2016.
The ratio of the total assets of units included in
the scope of evaluation accounting for the total
                                                                                                                                   100.00%
assets on the company's consolidated financial
statements
      司公限有份股心中游旅海东大南海                                                                                2015   文全告报度年年
The ratio of the operating income of units
included in the scope of evaluation accounting
                                                                                                                                                  100.00%
for the operating income on the company's
consolidated financial statements
                                                             Defects Evaluation Standards
            Category                                  Financial Reports                                           Non-financial Reports
                                                                                                 Major deficiencies: the company is lack of democratic
                                                                                                 decision-making        process;       the     company’s
                                    Major deficiencies: fraud of directors, supervisors
                                                                                                 decision-making process leads to major mistakes; the
                                    and senior management; material misstatements are
                                                                                                 company violates the state laws and regulations and is
                                    found in current financial statements by the
                                                                                                 severely punished; serious brain drain of the
                                    certified public accountant but are not found in the
                                                                                                 company’s senior management personnel and senior
                                    process of internal control; major deficiencies of
                                                                                                 technical staff; frequent negative news on media
                                    internal controls found and reported to the
                                                                                                 covering a wide range and the negative effects are not
                                    management are not corrected within the required
                                                                                                 eliminated; the company’s significant business is lack
                                    time; the supervision of the audit committee to the
                                                                                                 of system control or systematicness is invalid; the
                                    company’s external financial reports and internal
                                                                                                 major deficiencies and significant deficiencies of the
                                    control of financial reports is invalid.
                                                                                                 company’s internal controls have not been rectified
                                    Significant     deficiencies:    the      selection   and
                                                                                                 and reformed; the company is punished by CSRC or
                                    application of accounting policies are not in
                                                                                                 warned by stock exchange.
Qualitative criteria                accordance with the GAAP; anti-fraud program
                                                                                                 Significant deficiencies: the company has democratic
                                    and control measures have not been established; the
                                                                                                 decision-making process which is not complete; the
                                    accounting treatment        of   unusual      or   special
                                                                                                 company’s decision-making process leads to general
                                    transactions has no appropriate control mechanisms
                                                                                                 mistakes; the company violates the enterprise internal
                                    or have not implemented the control mechanisms
                                                                                                 regulations which causes losses; serious brain drain of
                                    and has no appropriate compensatory controls; the
                                                                                                 the company’s business personnel in key positions;
                                    control to period-end financial reporting process
                                                                                                 negative news on media affecting local areas; the
                                    has one or more deficiencies and cannot reasonably
                                                                                                 company’s      significant   business      system   has
                                    ensure that the organizational financial statements
                                                                                                 deficiencies; the significant deficiencies and general
                                    are true and accurate.
                                                                                                 deficiencies of the company’s internal controls have
                                    General    deficiencies:     other     internal    control
                                                                                                 not been rectified and reformed;
                                    deficiencies do not constitute major or significant
                                                                                                 General      deficiencies:    other   internal    control
                                    deficiencies.
                                                                                                 deficiencies do not constitute major or significant
                                                                                                 deficiencies.
                                                                                                 Major deficiencies:     misstatements ≥ direct property
                                    Major deficiencies:      misstatements ≥ 10% of total
                                                                                                 loss of 100,000 yuan; Significant deficiencies: direct
                                    profits; Significant deficiencies: 5% of total profits
Quantitative standard                                                                            property loss of 10,000 yuan ≤ misstatements < direct
                                    ≤ misstatements <10% of total profits; General
                                                                                                 property loss of 100,000 yuan; General deficiencies:
                                    deficiencies: misstatements <5% of total profits.
                                                                                                 misstatements < direct property loss of 10,000 yuan.
Amount of significant defects in
financial reports
Amount of significant defects in
    司公限有份股心中游旅海东大南海                                                                2015   文全告报度年年
non-financial reports
Amount of important defects in
financial reports
Amount of important defects in
non-financial reports
X. Auditing report of internal control
√   Applicable    □   Not applicable
                                                     Deliberations in Internal Control Audit Report
To All Shareholders of Hainan Dadonghai Tourism Center (Holdings) Co., Ltd.:
     In accordance with Audit Guideline for Enterprise Internal Control and relevant requirement of the practicing
standards of Chinese Certified Public Accountant, we audited the effective-ness of the financial report’s internal control
for Hainan Dadonghai Tourism Center (Holdings) Co., Ltd. (the Company) dated 31 December 2015.
I. As for responsibility of internal control, the Company established and improved and implemented internal control
effectively pursuit to Basic Norms of Enterprises Internal Control, Supporting Guidelines for Enterprise Internal Control
and Evaluation Guild lines for Enterprises Internal Control, and board of the director is responsible for evaluating its
effectiveness.
II. Auditor’s responsibilities: Our responsibility is to express an opinion on the effectiveness of internal control for the
financial statements based on our audit. And disclosed major deficits of noted internal control without financial
statement concerned.
III. Inherent feature of internal control: the internal control has an inherent limitation, and exist mistakes that can not
prevent and being discovered. Moreover, the internal control might be inappropriate due to the changes of conditions, or
fails to follow the controlling policies and procedures, to speculate future effectiveness of the internal control in line
with the auditing result has a certain risks.
IV. Auditing opinion: in our opinion, the Company, in line with Basic Norms of Enterprises Internal Control and
relevant regulations, shows an effectiveness internal control of financial report in all major aspects dated 31 December
2015.
BDO CHINA Shu Lun Pan                          Certified Public Accountant of China:Liu Zebo
Certified Public Accountants LLP
                                               Certified Public Accountant of China:Zhu Meirong
Shanghai, China                                24 March 2016
Disclosure details of audit report of
                                         Disclosed
internal control
Disclosure date of audit report of
                                         2016-03-26
internal control (full-text)
Index of audit report of internal Relevant information found in Self-evaluation Report of Internal Control for 2015 published on Juchao
control (full-text)                      Website dated 26 March 2016.
Opinion type of auditing report of
                                         Standard unqualified
IC
whether the non-financial report No
      司公限有份股心中游旅海东大南海                                                                    2015   文全告报度年年
had major defects
Carried out modified opinion for internal control audit report from CPA
□Yes √ No
The internal control audit report, issued by CPA, has concerted opinion with self-evaluation report, issued from the Board
√ Yes □ No
      司公限有份股心中游旅海东大南海                                                                     2015     文全告报度年年
                                        Section X. Financial Report
I. Audit report
Type of audit opinion                                                Standard unqualified opinion
Signing date of audit report                                         2016-03-24
Name of audit institute                                              BDO CHINA Shu Lun Pan Certified Public Accountants LLP
Document serial of audit report                                      PCPAR [2016] No.110934
Name of the CPA                                                      Liu Zebo, Zhu Meirong
                                                             Auditor’s Report
 To All Shareholders of Hainan Dadonghai Tourism Center (Holdings) Co., Ltd.:
 We have audited the accompanying financial statements of Hainan Dadonghai Tourism Center (Holdings) Co., Ltd. (hereinafter
 referred to as “the Company”), which comprise the balance sheet as at December 31, 2015, and the income statement, statement of
 cash flows and statement of changes in owners’ equity for the year then ended, and notes to the financial statements.
 I. Management’s Responsibilities for the Financial Statements
 Management of the Company is responsible for the preparation and fair presentation of these financial statements. This
 responsibility includes: (1) preparing the financial statements in accordance with the requirements of Accounting Standards for
 Business Enterprises to achieve a fair presentation; (2) designing, implementing and maintaining internal control that is necessary
 to ensure that the financial statements are free from material misstatements, whether due to frauds or errors.
 II. Auditor’s Responsibilities
 Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance
 with Auditing Standards for Certified Public Accountants in China. Those standards require that we comply with professional and
 ethical requirements of Chinese certified public accountants, and plan and perform the audit to obtain reasonable assurance whether
 the financial statements are free from material misstatements.
 An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements.
 The procedures selected depend on the auditor’s judgments, including the assessment of the risks of material misstatements of the
 financial statements, whether due to fraud or error. In making those risk assessments, we consider the internal control relevant to
 the preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the
 circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control. An audit also includes
 evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by the
 management, as well as evaluating the overall presentation of the financial statements.
 We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
 III. Opinion
 In our opinion, the financial statements of the Company are prepared, in all material respects, in accordance with Accounting
 Standards for Business Enterprises and present fairly the financial position of the Company as at December 31, 2015 and its
 operating results and cash flows for the year then ended.
 BDO CHINA Shu Lun Pan                                   Certified Public Accountant of China:Liu Zebo
 Certified Public Accountants LLP
                                                         Certified Public Accountant of China:Zhu Meirong
 Shanghai, China                                         24 March 2016
II. Financial Statement
Expressed in Renminbi unless otherwise stated
1. BALANCE SHEET
      司公限有份股心中游旅海东大南海                                                              2015   文全告报度年年
Prepared by HAINAN DADONGHAI TOURISM CENTER (HOLDINGS) CO., LTD.
                                                           2015-12-31
                                                                                                                    In RMB
                                Item                                    Closing Balance              Opening Balance
Current assets:
  Monetary funds                                                                 19,782,392.26                   22,550,289.54
     Settlement funds
     Lending funds
     Financial liability measured by fair value and with
variation reckoned into current gains/losses
     Derivative financial liability
     Notes receivable
     Accounts receivable                                                            460,197.28                    2,632,379.02
     Prepayments                                                                     42,358.16                       40,778.52
     Insurance receivable
     Reinsurance receivables
     Contract reserve of reinsurance receivable
     Interest receivable
     Dividends receivable
     Other receivables                                                              211,946.37                     332,661.26
     Purchase restituted finance asset
     Inventories                                                                    218,075.43                     307,057.29
     Divided into assets held for sale
     Non-current assets maturing within one year                                    532,500.00                     196,354.90
     Other current assets
Total current assets                                                             21,247,469.50                   26,059,520.53
Non-current assets:
     Loans and payments on behalf
     Available-for-sale financial assets                                           4,500,000.00                   4,500,000.00
     Held-to-maturity investments
     Long-term receivables
     Long-term equity investments
     Investment real estate
     Fixed assets                                                                51,279,986.58                   56,301,360.07
     Construction in progress
     Project materials
      司公限有份股心中游旅海东大南海                                             2015   文全告报度年年
     Disposal of fixed assets
     Productive biological assets
     Oil and natural gas assets
     Intangible assets                                           26,351,390.52                  27,220,117.68
     Research and development costs
     Goodwill
     Long-term deferred expenses                                  1,508,750.00
     Deferred tax assets
     Other non-current assets
Total non-current assets                                         83,640,127.10                  88,021,477.75
Total assets                                                    104,887,596.60                 114,080,998.28
Current liabilities
     Short-term borrowings
     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                                             2,415,602.37                   2,390,345.19
     Accounts received in advance                                 1,153,854.95                   1,360,245.91
     Selling financial asset of repurchase
     Commission charge and commission payable
     Wage payable                                                 2,150,364.40                   3,451,674.05
     Taxes payable                                               -1,422,221.33                  -1,155,972.31
     Interest payable
     Dividend payable
     Other accounts payable                                      23,652,528.28                  23,619,371.11
     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 year
     Other current liabilities
      司公限有份股心中游旅海东大南海                                          2015   文全告报度年年
Total current liabilities                                    27,950,128.67                   29,665,663.95
Non-current liabilities:
     Long-term loans
     Bonds payable
    Including: preferred stock
                Perpetual capital securities
     Long-term account payable
     Long-term wages payable
     Special accounts payable
     Projected liabilities
     Deferred income
     Deferred income tax liabilities
     Other non-current liabilities
Total non-current liabilities
Total liabilities                                            27,950,128.67                   29,665,663.95
Owners’ equity:
     Share capita                                           364,100,000.00                  364,100,000.00
     Other equity instrument
    Including: preferred stock
                Perpetual capital securities
     Capital public reserve                                  54,142,850.01                   54,142,850.01
     Less: Inventory shares
     Other comprehensive income
     Reasonable reserve
     Surplus reserve
     Provision of general risk
     Retained profit                                        -341,305,382.08                -333,827,515.68
Total owner’s equity attributable to parent Company         76,937,467.93                   84,415,334.33
     Minority interests
Total owner’s equity                                        76,937,467.93                   84,415,334.33
Total liabilities and owner’s equity                       104,887,596.60                  114,080,998.28
Legal Representative: Li Yuanbin
Accounting Principal: Fu Zongren
Accounting Firm’s Principal: Liu Xianghai
2. Profit statement
      司公限有份股心中游旅海东大南海                                                   2015   文全告报度年年
                                                                                                         In RMB
                                                    Item                           Current Period     Last Period
I. Total operating income                                                             15,885,922.90   20,202,134.10
     Including: Operating income                                                      15,885,922.90   20,202,134.10
                   Interest income
                   Insurance gained
                   Commission charge and commission income
II. Total operating cost                                                              25,359,928.19   24,932,122.13
     Including: Operating cost                                                           626,661.16      337,785.89
              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                                                   917,481.10    1,135,598.54
              Sales expenses                                                          12,968,461.37   11,783,411.89
              Administration expenses                                                 10,272,262.86   11,423,202.87
              Financial expenses                                                        -109,213.80       39,516.35
              Losses of devaluation of asset                                             684,275.50      212,606.59
     Add: Changing income of fair value(Loss is listed with “-”)
            Investment income (Loss is listed with “-”)                                422,000.00    4,020,000.00
            Including: Investment income on affiliated Company and joint venture
           Exchange income (Loss is listed with “-”)
III. Operating profit     (Loss is listed with “-”)                                 -9,052,005.29     -709,988.03
     Add: Non-operating income                                                         1,664,926.64    3,220,345.27
           Including: Disposal earnings of non-current asset                                           3,126,454.22
     Less: Non-operating expense                                                          90,787.75        6,870.77
           Including: Disposal loss of non-current asset                                  90,560.75        6,870.77
IV. Total Profit     (Loss is listed with “-”)                                      -7,477,866.40    2,503,486.47
     Less: Income tax
V. Net profit (Net loss is listed with “-”)                                         -7,477,866.40    2,503,486.47
     Net profit attributable to owner’s equity of parent Company                     -7,477,866.40    2,503,486.47
     Minority shareholders’ gains and losses
         司公限有份股心中游旅海东大南海                                                                      2015   文全告报度年年
VI. Net after-tax of other comprehensive income
  Net after-tax of other comprehensive income attributable to owners of parent 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 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
  Net after-tax of other comprehensive income attributable to minority shareholders
VII. Total comprehensive income                                                                              -7,477,866.40       2,503,486.47
    Total comprehensive income attributable to owners of parent Company                                  -7,477,866.40       2,503,486.47
    Total comprehensive income attributable to minority shareholders
VIII. Earnings per share:
         (i) Basic earnings per share                                                                               -0.0205            0.0069
         (ii) Diluted earnings per share                                                                            -0.0205            0.0069
Legal Representative: Li Yuanbin
Accounting Principal: Fu Zongren
Accounting Firm’s Principal: Liu Xianghai
3. Cash flow statement
                                                                                                                                     In RMB
                                           Item                                                  Current Period               Last Period
      司公限有份股心中游旅海东大南海                                                          2015   文全告报度年年
I. Cash flows arising from operating activities:
     Cash received from selling commodities and providing labor services               18,373,063.44          19,224,101.23
     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
     Insured savings and net increase of 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
     Other cash received concerning operating activities                                2,081,380.90           3,825,887.33
Subtotal of cash inflow arising from operating activities                              20,454,444.34          23,049,988.56
     Cash paid for purchasing commodities and receiving labor service                   5,408,681.93           4,327,919.22
     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                                                 8,669,137.40           8,787,810.43
     Taxes paid                                                                         2,666,423.71           2,575,932.59
     Other cash paid concerning operating activities                                    5,455,727.58           4,926,258.24
Subtotal of cash outflow arising from operating activities                             22,199,970.62          20,617,920.48
Net cash flows arising from operating activities                                       -1,745,526.28           2,432,068.08
II. Cash flows arising from investing activities:
     Cash received from recovering investment                                           9,000,000.00          10,000,000.00
     Cash received from investment income                                                422,000.00            4,020,000.00
     Net cash received from disposal of fixed, intangible and other long-term assets        7,510.00               4,200.00
     Net cash received from disposal of subsidiaries and other units
     Other cash received concerning investing activities
Subtotal of cash inflow from investing activities                                       9,429,510.00          14,024,200.00
     Cash paid for purchasing fixed, intangible and other long-term assets              1,451,881.00            167,410.00
     Cash paid for investment                                                           9,000,000.00            574,254.00
      司公限有份股心中游旅海东大南海                                                                     2015   文全告报度年年
     Net increase of mortgaged loans
     Net cash received from subsidiaries and other units
     Other cash paid concerning investing activities
Subtotal of cash outflow from investing activities                                                10,451,881.00             741,664.00
Net cash flows arising from investing activities                                                  -1,022,371.00           13,282,536.00
III. Cash flows arising from financing activities:
     Cash received from absorbing investment
     Including: Cash received from absorbing minority shareholders’ investment
by subsidiaries
     Cash received from loans
     Cash received from issuing bonds
     Other cash received concerning financing activities
Subtotal of cash inflow from financing activities
     Cash paid for settling debts
     Cash paid for dividend and profit distributing or interest paying
     Including: Dividend and profit of minority shareholder paid by subsidiaries
     Other cash paid concerning financing activities
Subtotal of cash outflow from financing activities
Net cash flows arising from financing activities
IV. Influence on cash due to fluctuation in exchange rate
V. Net increase of cash and cash equivalents                                                      -2,767,897.28           15,714,604.08
     Add: Balance of cash and cash equivalents at the period -begin                               22,550,289.54            6,835,685.46
VI. Balance of cash and cash equivalents at the period -end                                       19,782,392.26           22,550,289.54
4. Statement on Changes of Owners’ Equity
Current Period
                                                                                                                              In RMB
                                                                                 Current Period
                                                     Owners’ equity attributable to the parent Company
                                                         Other                          Ot R
                                                                                                 Pr                   M
                                                         equity                         he e
                                                                                   Le            ov                   in
                                                        instrum                         r as S
                                                                                   ss:           isi                  or
                                                        ent                             co o ur
                                                                                   In            on                   it
                  Item                                   P P                            m n pl
                                                                                   ve            of                   y Total owners’
                                                         re e     Capital               pr a us
                                         Share capital                             nto           ge Retained profit   in equity
                                                         fe r     reserve               eh bl re
                                                               O                   ry            ne                   te
                                                         rr p                           en e se
                                                               th                  sh            ra                   re
                                                         e et                           si re rv
                                                               er                  are           l                    st
                                                         d u                            ve se e
                                                                                   s             ris                  s
                                                         st al                          in rv
                                                                                                 k
                                                         o c                            co e
      司公限有份股心中游旅海东大南海                                                    2015   文全告报度年年
                                                        c a                    m
                                                        k p                    e
                                                          it
                                                          al
                                                          s
                                                          e
                                                          c
                                                          u
                                                          ri
                                                          ti
                                                          e
                                                          s
I. Balance at the end of the last year 364,100,000.00          54,142,850.01       -333,827,515.68    84,415,334.33
       Add: Changes of accounting
policy
           Error correction of the last
period
           Enterprise combine under
 the same control
       Other
II. Balance at the beginning of this
                                     364,100,000.00            54,142,850.01       -333,827,515.68    84,415,334.33
year
III. Increase/ Decrease in this year
                                                                                   -7,477,866.40      -7,477,866.40
(Decrease is listed with “-”)
 (i) Total comprehensive income                                                    -7,477,866.40      -7,477,866.40
 (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
      司公限有份股心中游旅海东大南海                                                                              2015   文全告报度年年
1. Withdrawal in the report period
2. Usage in the report period
(VI)Others
IV. Balance at the end of the report
                                     364,100,000.00                54,142,850.01                            -341,305,382.08      76,937,467.93
period
Last Period
                                                                                                                                       In RMB
                                                                                    Last Period
                                                      Owners’ equity attributable to the parent Company
                                                           Other
                                                           equity
                                                           instrum
                                                           ent                            Ot
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                                                              er                    Le    r    e         Pr
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                                                           P et                     In    m    o    ur   isi
                                                                                                                               it
                 Item                                      re u                     ve    pr   n    pl   on
                                                                                                                               y Total owners’
                                                           fe al     Capital        nt    eh   a    us   of
                                          Share capital                                                      Retained profit   in equity
                                                           rr c      reserve        or    en   bl   re   ge
                                                                  O                                                            te
                                                           e a                      y     si   e    se   ne
                                                                  th                                                           re
                                                           d pi                     sh    ve   re   rv   ral
                                                                  er                                                           st
                                                           st ta                    are   in   se   e    ris
                                                                                                                               s
                                                           o l                      s     co   rv        k
                                                           c se                           m    e
                                                           k c                            e
                                                              ur
                                                              iti
                                                              es
I. Balance at the end of the last year 364,100,000.00               54,142,850.01                           -336,331,002.15      81,911,847.86
       Add: Changes of accounting
policy
          Error correction of the last
period
           Enterprise combine under
the same control
            Other
II. Balance at the beginning of this
                                     364,100,000.00                 54,142,850.01                           -336,331,002.15      81,911,847.86
year
III. Increase/ Decrease in this year
                                                                                                            2,503,486.47         2,503,486.47
(Decrease is listed with “-”)
  (i) Total comprehensive income                                                                            2,503,486.47         2,503,486.47
 (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
      司公限有份股心中游旅海东大南海                                                   2015   文全告报度年年
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 end of the report
                                     364,100,000.00    54,142,850.01               -333,827,515.68   84,415,334.33
period
III. Company profile
Hainan Dadonghai Tourism Center (Holdings) Co., Ltd. (hereinafter referred to as “the Company”), was founded
as a standardized LLC on April 26, 1993, reorganized and incorporated on the basis of the former Hainan Sanya
Dadonghai Tourism Center Development Ltd. and approved by the Hainan Provincial Stock System
Experimentation Leading Team Office with a document of Qiong Gu Ban Zi [1993] No. 11. On May 6, 1996, the
Company underwent a restructuring and a corresponding division under the approval of the Hainan Provincial
Securities Administration Office with a document of Qiong Zheng Ban [1996] No. 58. On October 8, 1996 and
January 28, 1997, the Company, with duly approval, went public by issuing 80 million shares of B stock and 14
million shares of A stock respectively on Shenzhen Security Exchange. On June 20, 2007, the Company
experienced a reform of non-tradable shares, through which non-tradable share holders of the Company got
circulating right of their shares by paying shares to tradable share holders, and tradable share holders got paid
three shares for every ten of their shares. The Company operates business in the industry of tourism and catering
services.
As of December 31, 2014, the Company’s total capital stock is 364,100,000 shares. The Company’s registered
capital is RMB 364.1 million. The legal representative is Li Yuanbin. The registeration number of its Business
License for Enterprise Legal Person (Duplicate) is 4600001003983. The legal registerred residence is Dadonghai,
Hedong District, Sanya. Its scope of business includes: accomodation and catering industry (limited to those
      司公限有份股心中游旅海东大南海                                                    2015   文全告报度年年
operated by branches); photography; operation of ornamental plant bonsai, knitwear and textiles, general
merchandise, hardware and electrical equipment, chemical products (excluding those require specialized licenses),
daily necessities, industrial means of production (excluding those require specialized licenses), metal materials
and machinery equipment; commission sale of plane, bus, train and ship tickets (items in require of administrative
permission shall be operated under license).
These financial statements have been approved by all directors of the Company on March 24, 2016 for disclosure.
The scope of consolidated financial statements include the Company headquarter and South China Grand Hotel
with Independent accountability.
The scope of consolidated financial statements of the Company had no change in the year.
IV. Basis of preparation for financial statements
1. Basis of preparation
Based on going concern, according to actually occurred transactions and events, the Company prepares its
financial statements in accordance with the Accounting Standards for Business Enterprises – Basic Standards and
concrete accounting standards, Accounting Standards for Business Enterprises – Application Guidelines,
Accounting Standards for Business Enterprises – Interpretations and other relevant provisions (collectively known
as “Accounting Standards for Business Enterprises”), as well as the disclosure requirements of Regulation on the
Preparation of Information Disclosure of Companies Issuing Public Shares No.15 - General Requirements for
Financial Reports (as revised in 2014) by the China Securities Regulatory Commission.
2. Going concern
The Company currently has sufficient operating capital and no debt service pressure, the business circumstance
has been improved after the new general manager of the Company’s subsidiary South China Hotel worked in the
year of 2015. So far, the Company is operating nomal and expected to continue operate as going cocern in the next
twelve months.
V. Principal accounting policies and estimates
Tips of accounting policies and estimates: Nil
1. Statement on compliance with Accounting Standards for Business Enterprises
The financial statements prepared by the Company meet the requirements of the Accounting Standards for
Business Enterprises and truly and completely reflect the Company’s financial position, operating results, cash
flows and other information.
2. Accounting period
The accounting year is from January 1 to December 31 in calendar year.
     司公限有份股心中游旅海东大南海                                                         2015   文全告报度年年
3. Operating cycle
The operating cycle of the Company is twelve months.
4. Functional currency
RMB is adopted as the functional currency.
5. Accounting treatment for business combinations under the same control and those not under the same
control
6. Methods for preparation of consolidated financial statements
7. Accounting treatment for joint venture and joint operation
8. Recognition criteria of cash and cash equivalents
For the purpose of preparing the statement of cash flows, the term “cash” refers to the cash on hand and the
unrestricted deposit. The term “cash equivalents” refers to short-term (maturing within three months from
acquisition) and highly liquid investments that are readily convertible to known amounts of cash and which are
subject to an insignificant risk of change in value.
9. Foreign business and foreign currency transactions
Foreign currency transactions are converted into RMB for recording purpose at the spot exchange rate on the date
when the transaction occurs.
Balances of foreign currency monetary items are measured at the spot exchange rate on the balance sheet date.
The exchange difference arising therefrom shall be included in the current profit and loss, except that those
exchange differences arising from the special borrowings of foreign currency related to the acquired and
constructed assets qualified for capitalization shall be dealt with according to the principle of borrowing cost
capitalization. Foreign currency non-monetary items measured at historical costs shall still be converted at the
spot exchange rates on the date when the transactions occur, and the amount in functional currency shall remain
unchanged. Foreign currency non-monetary items measured at fair value shall be translated at the spot exchange
rates on the date when the fair value is determined. The exchange difference arising therefrom shall be included in
the current profit and loss or capital reserves.
10. Financial instruments
Financial instruments include financial assets, financial liabilities and equity instruments.
1. Classification of financial instruments
Financial assets and liabilities are classified into the following categories according to the purpose of acquisition:
financial assets or financial liabilities measured at fair value and whose variation is included in the current profit
     司公限有份股心中游旅海东大南海                                                          2015   文全告报度年年
and loss, including financial assets or financial liabilities held for trading and financial assets or financial
liabilities directly designated to be measured at fair value through current profit and loss, held-to-maturity
investments, accounts receivables, available-for-sale financial assets and other financial liabilities, etc.
2. Recognition basis and measurement method of financial instruments
(1) Financial assets (financial liabilities) measured at fair value and whose variation is included in the current
profit and loss
Financial assets (financial liabilities) are initially recorded at fair values when acquired (deducting cash dividends
that have been declared but not distributed and bond interests that have matured but not been drawn). Relevant
transaction expenses are included in the current profit and loss.
The interests or cash dividends to be received during the holding period are recognized as investment income.
Change in fair values is included in the current profit and loss at the end of the period.
Difference between the fair value and initial book-entry value is recognized as investment income upon disposal;
meanwhile, adjustment is made to gains or losses from changes in fair values.
(2) Held-to-maturity investments
Held-to-maturity investments are initially recorded at fair values plus the related trade expenses when acquired
(deducting bond interests that have matured but not been drawn). The interest revenue calculated at amortization
cost and effective interest rate (nominal interest rate is adopted when the difference between the actual interest
rate and the nominal interest rate is minor) during the holding period is recognized as investment income.
Effective interest is recognized when obtained, and remains unchanged in the predictable holding period or
applicable shorter period.
The difference between the amount received and the book value of the investment is included in the investment
profit and loss upon disposal.
(3) Accounts receivable
For creditor’s rights receivable arising from external sales of goods or rendering of service by the Company and
other creditor's rights of other enterprises (excluding liability instruments quoted in an active market) held by the
Company, including accounts receivable, other receivables, notes receivable and prepayments, etc., the initial
recognition amount shall be the contract price or agreement price receivable from purchasing party. Accounts
receivable with financing nature are initially recognized at their present values.
The difference between the amount received and the book value of the accounts receivable is included in the
current profit and loss upon recovery or disposal.
(4) Available-for-sale financial assets
Available-for-sale financial assets are initially recorded at fair values plus the related trade expenses when
acquired (deducting cash dividends that have been declared but not been paid or bond interests that have matured
but not been drawn).
The interests or cash dividends to be received during the holding period are recognized as investment income. It is
     司公限有份股心中游旅海东大南海                                                           2015   文全告报度年年
measured in fair value at the end of the period and change in fair values is included in other comprehensive
income at the end of the period. However, the equity instrument investments unquoted in an active market and
whose fair value cannot be measured reliably, and the derivative financial assets which are connected with the said
equity instrument and must be settled by delivering the said equity instrument shall be measured on the costs
basis.
The difference between the amount received and the book value of the financial asset is included in the investment
profit and loss upon disposal. Meanwhile, the corresponding part of fair value accumulated change accounted as
other comprehensive income is transferred into investment profit or loss.
(5) Other financial liabilities
Other financial liabilities are initially recognized at the sum of fair value and transaction expenses and
subsequently measured at amortized costs.
3. Recognition basis and measurement method of transfer of financial assets
When transfer of financial assets occurs, if nearly all of the risks and rewards of ownership of the financial assets
have been transferred to the transferee, the Company derecognizes the financial assets; if nearly all of the risks
and rewards of ownership of the financial assets are retained, the Company shall not derecognize the financial
assets.
The principle of substance over form is adopted to determine whether the transfer of a financial asset satisfies the
criteria as described above for derecognition of a financial asset. The Company shall classify the transfer of a
financial asset into the entire transfer and the partial transfer of financial asset. If the entire transfer of financial
asset satisfies the criteria for derecognition, the difference between the amounts of the following two items shall
be included in the current profit and loss:
(1) The book value of the transferred financial asset;
(2) The sum of the consideration received from the transfer and the accumulated amount of the changes in fair
value originally and directly included in owners’ equity (the situation where the financial asset transferred is an
available-for-sale financial asset is involved in)
If the partial transfer of financial asset satisfies the criteria for derecognition, the entire book value of the
transferred financial asset shall be split into the derecognized and recognized part according to their respective fair
value and the difference between the amounts of the following two items shall be included in the current profit
and loss:
(1) The book value of derecognized part;
(2) The sum of the consideration for the derecognized part and the portion of derecognition corresponding to the
accumulated amount of the changes in fair value originally and directly included in owners’ equity (the situation
where the financial asset transferred is an available-for-sale financial asset is involved in).
If the transfer of financial assets does not meet the derecognition criteria, the financial assets shall continue to be
     司公限有份股心中游旅海东大南海                                                             2015   文全告报度年年
recognized, and the consideration received will be recognized as a financial liability.
4. Derecognition criteria of financial liabilities
A financial liability shall be totally or partly derecognized if its present obligations are totally or partly dissolved.
Where the Company enters into an agreement with a creditor so as to substitute the existing financial liabilities
with any new financial liability, and the new financial liability is substantially different from the contractual
stipulations regarding the existing financial liability, it shall derecognize the existing financial liability, and shall at
the same time recognize a new financial liability.
Where substantial revisions are made to some or all of the contractual stipulations of the existing financial liability,
the Company shall derecognize the existing financial liability totally or partly, and at the same time recognize the
financial liability with revised contractual stipulations as a new financial liability.
Upon total or partial derecognition of financial liabilities, the difference between the book value of the financial
liabilities derecognized and the consideration paid (including non-cash assets surrendered or new financial
liabilities assumed) shall be included in the current profit and loss.
Where the Company redeems part of its financial liabilities, it shall, on the redemption date, allocate the entire
book value of whole financial liabilities according to the comparative fair value of the part that continues to be
recognized and the de-recognized part. The difference between the book value allocated to the derecognized part
and the considerations paid (including non-cash assets surrendered and the new financial liabilities assumed) shall
be included in the current profit and loss.
5. Method of determining the fair value of financial assets and financial liabilities
For financial instruments with active market, their fair values are determined with quoted market price. For
financial instruments without active market, their fair values are determined by using valuation technique. During
the valuation, the company use valuation techniques that are appropriate in the circumstances and for which
sufficient data and other information are available to measure fair value, select inputs that are consistent with the
characteristics of the asset or liability that market participants would take into account in a transaction for the asset
or liability, and give priority to the use of relevant ovservable inputs. Unobservable inputs are only adopted when
relevant observable inputs cannot be obtained or are impracticable to obtain.
6. Providing of impairment provision on financial assets (exclude receivable accounts)
The Company performs inspection on the book value of financial assets apart from those financial assets
measured at fair value through current profit and loss on the balance sheet date. Impairment provision is required
if objective evidences of impairment occurs to the financial assets.
(1) Impairment provision of available-for-sale financial assets:
If there is a serious decline in fair value of the available-for-sale financial assets at the end of the period, or such
decline is not temporary after considering various factors, the impairment shall be confirmed, the accumulated
           司公限有份股心中游旅海东大南海                                                                   2015   文全告报度年年
losses due to decreases in fair value previously included in owner’s equity shall be reversed, the impairment loss
shall be recognized.
If, in a subsequent period, the carrying amount of available-for-sale debt instruments investments increases and
the increase can be related objectively to an event occurring after the impairment was recognized, the previously
recognized impairment losses are reversed, included in current profit or loss.
The impairment losses of available-for-sale equity instruments cannot be reversed through profit or loss.
(2) Impairment provision of held-to-maturity investment:
Measurement of held-to-maturity investment impairment loss is governed by measurement of account receivables
impairment loss.
11. Accounts receivable
(1) Provision for bad debts of account receivables that are individually significant
Assessment basis or
standard of amount             Top five accounts receivable and other receivables in terms of individual amount at the end of the year.
individually significant
                               After separate impairment test, provision for bad debts shall be made at the difference of present value
Method of provision for        of estimated future cash flows in short of their book values, and shall be include in current profit and
bad debts of accounts          loss. For accounts receivable with no impairment found after separate tests, they shall be included in
receivable that are
                               corresponding portfolios for provisions for bad debts. For accounts receivable with confirmed
individually significant
                               impairment losses after separate tests, they shall not be included in portfolios of accounts receivable
                               with similar credit risk features for impairment tests.
(2) Provision for bad debts of accounts receivable made on the basis of portfolio
                                Portfolio                                                    Provision for bad debts
Aging portfolio                                                        Aging analysis method
Proportions of provision for bad debts on the basis of aging analysis in portfolios:
√Applicable       □Not applicable
                                                    Proportion of provision for account            Proportion of provision for other
                       Aging
                                                                 receivable                                  receivables
1   -   2 years                                                                         5.00%                                    5.00%
2   -   3 years                                                                     15.00%                                      15.00%
3   -   4 years                                                                     25.00%                                      25.00%
4   -   5 years                                                                     50.00%                                      50.00%
       司公限有份股心中游旅海东大南海                                                                     2015   文全告报度年年
More than five years                                                              100.00%                                     100.00%
In portfolio, adopting balance percentage method for bad debt provision
□ Applicable √Not applicable
In portfolio, adopting other method for bad debt provision
□ Applicable √Not applicable
(3) Accounts receivable that are individually insignificant but with bad debt provision provided on an
individual basis
                                 For account receivable with an individual balance lower than the top five at the end of the year and
Reason for bad debt
                                 with objective evidence showing it may be impaired, and for uncollectible accounts receivable
provision provided on an
individual basis                 arising from repeal and liquidation of debtor after taking legal clearance procedures, their provision
                                 for bad debts shall be provided on an individual basis.
                                 For accounts receivable with objective evidence showing they may be impaired, they shall be
                                 separate from relevant portfolios and separately tested for impairment to recognize the impairment
                                 losses.   Other remarks: provision for impairment of accounts receivable, excluding debts receivable
                                 and other receivables, shall be made at the specific identification method. If there is evidence
Method of provision for bad
                                 showing that the value of the account receivable has been recovered, and that the recovery is
debt
                                 objectively related to events after recognition of the loss, the originally recognized impairment loss
                                 should be reversed and included in current profit and loss. However, the book values after such
                                 reversal shall not exceed the amortized costs of the account receivable on the reversal date, assuming
                                 there is no provision for impairment.
12. Inventories
1. Classification of inventories
Inventories are classified into raw materials, stock commodities, low-cost consumables, food materials, fuels, etc.
2. Measurement method of dispatched inventories
Stock commodities are measured at selling price and their purchase and sale price differential are amortized over
every month at the method of comprehensive differential. The purchasing and storage of stock materials are
measured at actual cost, and at the first-in-first-out method when fetched for use. Low-cost consumables are
amortized in full when fetched for use.
3. Determination basis of net realizable values of inventories and provision method of inventory
depreciation reserve
After the comprehensive inventory count at the end of the period, provisions for inventory depreciation reserve are
made or adjusted at the lower of their costs or net realizable values.
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In normal operation process, for merchandise inventories for direct sale, including stock commodities and
materials for sale, their net realizable values are determined at the estimated selling prices minus the estimated
selling expenses and relevant taxes and surcharges; for inventories held to execute sales contract or service
contract, their net realizable values are calculated on the basis of contract price. If the quantities of inventories
specified in sales contracts are less than the quantities held by the Company, the net realizable value of the excess
portion of inventories shall be based on general selling prices.
At the end of the period, provisions for inventory depreciation reserve are made on an individual basis. For
inventories with large quantity and low unit price, the provisions for inventory depreciation reserve are made on a
category basis. For inventories related to the product portfolios manufactured and sold in the same area, and of
which the final usage or purpose is identical or similar thereto, and which is difficult to separate from other items
for measurement purposes, the provisions for inventory depreciation reserve shall be made on a portfolio basis.
If any factor rendering write-downs of the inventories has been eliminated, the amounts written down are
recovered and reversed from the inventory depreciation reserve, which has been provided for. The reversed
amounts are included into the current profit and loss.
4. Inventory system
Perpetual inventory system is adopted.
5. Amortization method of low-cost consumables and packaging materials
(1) Low-cost consumables are amortized at lump-sum method;
(2) Packaging materials are amortized at lump-sum method.
13. Divided into assets held for sale
14. Long-term equity investments
1. Determination basis of joint control or significant influence over the investee
Joint control is the relevant agreed sharing of control over an arrangement, and the arranged relevant activity must
be decided under unanimous consent of the parties sharing control. When the company and other joint parties do
joint control and have rights to the net assets over an investee, the investee shall be the company’s joint venture.
Significant influence is the power to participate in the financial and operating policy decisions of the investee but
is not control or joint control over those polices. When an investing enterprise is able to have significant
influences on an investee, the investee shall be its associate.
2. Determination of initial investment cost
(1) Long-term equity investments acquired from business combinations
For business combination under common control: if the company makes payment in cash, transfer non-cash assets
or bear debts and issues equity securities as the consideration for the business combination, the book value of the
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owners’ equity of the combinee obtained is recognized as the initial cost of the long-term equity investment on the
combination date. The difference between the initial investment cost and the carrying amount of cash paid,
non-cash assets transferred, liabilities assumed and par value of share issued shall be adjusted to the stock
premium in the capital reserved; if there is no sufficient premium in the capital reserve for write-downs, the
retained earnings are adjusted.
When exercising control was over an investee under common control due to additional investment or other
reasons, the initial investment cost of the long-term equity investment shall be determined by the absorbing
party’s share of the net assets of the party being absorbed in the consolidated financial statements of the ultimate
controlling party at combination date. The difference between the initial investment cost of the long-term equity
investment at combination date and the sum of the total of the carrying amount of equity investment held by the
acquirer before the combination date and the newly increased investment on the combination date shall be
adjusted to share premium. If the balance of share premium is not sufficient, any excess shall be adjusted to
retained earnings.
For business combination not under common control, the Company recognizes the combination cost determined
on the combination date as the initial cost of long-term equity investment.
When exercising control over an investee not under common control due to additional investment or other reasons,
in stand-alone financial statements, the investor shall change to the cost method and use the carrying amount of
the previously-held equity investment, together with the additional investment cost, as the initial investment cost
under the cost method. The audit, legal, valuation and consulting fees, other intermediary fees, and related
administrative fees paid by the absorbing party or acquirer for the business combination, shall be recognized in
profit or loss as invurred; the cost of issuing equity securities or debt securities as the combination consideration
shall be included in the initial cost of the equity securities or debt securities.
(2) Long-term equity investments acquired by other means
For long-term equity investments acquired from making payments in cash, the initial cost is the actually paid
purchase cost.
For long-term equity investments acquired from issuance of equity securities, the initial cost is the fair value of
the issued equity securities.
If the exchange of non-monetary assets has commercial substance, and the fair values of assets traded out and
traded in can be measured reliably, the initial cost of long-term equity investment traded in with non-monetary
assets are determined based on the fair values of the assets traded out together with relevant taxes unless there is
any conclusive evidence that the fair values of the assets traded in are more reliable. If the exchange of
non-monetary assets does not meet the above criteria, the book value of the assets traded out and relevant taxes
are recognized as the initial cost of long-term equity investment traded in.
For long-term equity investment acquired from debt restructuring, the initial cost is determined based on the fair
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value.
3. Subsequent measurement and recognition of profit or loss
(1) Long-term equity investment adopting cost method
Long-term equity investments of the Company in its subsidiaries are accounted for at cost method, except for the
actual price paid for acquisition of investment or the cash dividends or profits contained in the consideration
which have been declared but not yet distributed, the Company recognizes the proportion it shall enjoy in the cash
dividends or profits declared by the investee as current investment income.
(2) Long-term equity investment adopting equity method
A long-term equity investment in an associate or a joint venture shall be accounted for using the equity method. If
the cost of initial investment is in excess of the proportion of the fair value of the net identifiable assets in the
investee when the investment is made, the difference will not be adjusted to the initial cost of long-term equity
investment; if the cost of initial investment is in short of the proportion of the fair value of the net identifiable
assets in the investee when the investment is made, the difference will be included in the current profit and loss.
The Company recognizes the share of the investee’s net profits or losses, as well as its share of the investee’s other
comprehensive income, as investment income or losses and other comprehensive income, and adjusts the carrying
amount of the investment accordingly. The carrying amount of the investment shall be reduced by the portion of
any profit distributions or cash dividends declared by the investee that is attributable to the investor. The
investor’s share of the investee’s owners’ equity changes, other than those arising from the investee’s net profit or
loss, other comprehensive income or profit distribution, would be recognized in the investor’s equity, and the
carrying amount of the long-term equity investment shall be adjusted accordingly.
The Company recognizes its share of the investee’s net profits or losses after making appropriate adjustments
based on the fair values of the investee’s identifiable net assets at the acquisition date according to the Company’s
accounting policies and accounting period. When holding the investment, if the investee is capable of providing
consolidated financial statements, the profit or loss shall be measured based on the net profit , other
comprehensive income and other changes in owners’ equity attributed to the company recorded in the
consolidated financial statements.
The unrealized profits or losses resulting from transactions between the company and its associate or joint venture
are eliminated in proportion to the company’s equity interest in the investee, based on which investment income or
losses shall be recognized. Any losses resulting from transactions between the investor and the investee, which are
attributable to asset impairment shall be recognized in full. The transactions of investing or selling assets between
the company and its associate or joint venture are accounted for under relevant accounting policies when the asset
constitutes a business.
When the Company confirms that it should share losses of the investee, treatment shall be done in following
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sequence: firstly, the book value of the long-term equity investment shall be reduced; secondly, where the book
value is insufficient to cover the share of losses, investment losses are recognized to the extent of book value of
long-term equity which form net investment in the investee in substance and the book value of long-term equity
shall be reduced; finally, after all the above treatments, if the Company is still responsible for any additional
liabilities in accordance with the provisions stipulated in the investment contracts or agreements, estimated
liabilities are recognized and included into current investment loss according to the obligations estimated to
undertake. If the investee achieves profit in subsequent periods, the treatment is in the reversed sequence
described above, i.e. after deduct any unrecognized investment losses, reduce book value of estimated liabilities
recognized, restore book values of other long-term equity which form net investment in the investee in substance,
and of long-term equity investment, and recognize investment income at the same time.
(3) Disposal of long-term equity investment
On disposal of a long-term equity investment, the difference between the proceeds actually received and the
carrying amount shall be recognized in profit or loss for the current period.
For a long-term equity investment accounted for using the equity method, any other comprehensive income
previously recognized shall be accounted for on the same basis as would have been required if the investee had
directly disposed of the related assets or liabilities on a por-rata basis upon the disposal of the equity investment.
The owners’ equity recognized due to the investor’s share of the investee’s owners’ equity changes, other than
those arising from the investee’s net profit or loss, other comprehensive income or profit distribution, is included
in current profit or loss on a pro-rata basis.
When the Company can no longer exercise joint control of or significant influence over an investee due to partial
disposal of equity investment or other reasons, the remaining equity investment shall be accounted for in
accordance with “Accounting Standard for Business Enterprises No.22-Financial Instruments: Recognition and
Measurement”. The difference between the fair value and the carrying amount at the date of the loss of joint
control or significant influence shall be charged to profit or loss for the current period. When the previously-held
equity investment is accounted for under the equity method, any other comprehensive income previously
recognized shall be accounted for on the same basis as would have been required if the investee had directly
disposed of the related assets or liabilities for the current period upon dis-countinuation of the equity method. The
owners’ equity recognized due to the investor’s share of the investee’s owners’ equity changes, other than those
arising from the investee’s net profit or loss, other comprehensive income or profit distribution, is transferred to
current profit or loss upon discontinuation of the equity method.
When no longer exercise control over an investee due to partial disposal of equity investment or other reasons,
and with the retained interest, still has joint control of, or significant influence over, the investee, when preparing
the individual financial statements, the Company shall change to the equity method and adjust the remaining
equity investment as if the equity method had been applied from the date of the first acquisition. If the Company
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can not exercise joint control of or significant influence over the investee after partial disposal of equity
investment, the remaining equity investment shall be accounted for in accordance with “Accounting Standard for
Business Enterprises No.22-Financial Instruments: Recognition and Measurement”, and the difference between
the fair value and carrying amount at the date of the loss of control shall be chared to profit or loss for the current
period.
The equity investment disposed was obtained over additional investment or other reasons through business
combination, when preparing the individual financial statements, and the remaining equity investment accounted
on cost method or equity method, the other comprehensive income and other owner’s equity recognized due to the
equity investment held before acquisition date was accounted for under the equity method are carried forward on a
pro-rata basis; when the remaining equity investment is accounted for in accordance with “Accounting Standard
for Business Enterprises No. 22 – Financial Instruments: Recognition and Measurement”, the other
comprehensive income and other owner’s equity are totally carried forward.
15. Investment real estate
Measurement model of investment real estate
Not applicable
16. Fixed assets
(1) Recognition criteria
1. Recognition criteria of fixed assets    Fixed assets refer to the tangible assets held for the purpose of producing commodities,
rendering services, renting or business management with useful lives exceeding one year. Fixed assets will only be recognized when
all the following criteria are satisfied: (1) It is probable that the economic benefits relating to the fixed assets will flow into the
Company; (2) The costs of the fixed assets can be measured reliably. 2       Classification of fixed assets          Fixed assets are
classified into buildings and constructions, machinery equipment, transportation equipment, electronic entertainment equipment,
other equipment and Improvement. 3. Initial measurement of fixed assets          Fixed assets are initially measured at their actual cost
when acquired. The costs of a purchased fixed asset are determined at the purchase price, the relevant taxes, and the traffic expenses,
loading and unloading fees, installation fees and professional service fees arising from preparing the fixed asset for its intended use.
If the payment for a fixed asset is delayed beyond the normal credit conditions and it is of financing nature in effect, the costs of the
fixed asset shall be determined based on the present value of the purchase price. The cost of a self-constructed fixed asset shall be
formed by the necessary expenses incurred for preparing the asset for its intended use. The fixed assets which the debtor uses to pay
back the debt in debt restructuring should be recognized at the fair value of the fixed assets. The difference between the book value of
restructured debts and the fair value of fixed assets used to pay back the debt should be recorded into current profit and loss; On the
premise that non-monetary asset trade is of commercial nature and the fair value of the asset traded in or out can be measured reliably,
the fixed asset traded in with non-monetary asset should be recognized at the fair value of the asset traded out, unless any
unambiguous evidence indicates that the fair value of the asset traded in is more reliable; as to the non-monetary asset trade not
meeting the aforesaid premise, the book value of the asset traded out and related taxes and surcharges payable should be recognized
as the cost of the fixed asset, with gains or losses not recognized. As for the book-entry value, the fixed assets acquired from the
absorption and merger of an enterprise under common control are recognized at the book value of the merged enterprise; the fixed
assets acquired from the absorption and merger of an enterprise not under common control are recognized at the fair value. The
      司公限有份股心中游旅海东大南海                                                                     2015     文全告报度年年
book-entry value of a fixed asset acquired under financing lease is measured at the asset’s fair value on the commencement date of
the lease or the present value of the minimum lease payment, whichever is lower.
(2) Method of provision for impairment of fixed assets
                                                        Estimated useful life       Estimated net residual
    Category                 Depreciated                                                                 Annual depreciation rate
                                                               (Year)                        rate
Buildings and
                           straight-line-method     20-40                       5                            4.75-2.37
constructions
Machinery equipment        straight-line-method     8-20                        5                            11.87-4.75
Electronic entertainment
                           straight-line-method     5-16                        5                            19-5.93
equipment
Transportation
                           straight-line-method     7-12                        5                            13.57-7.91
equipment
Other equipment            straight-line-method     8                           5                            11.87
Improvement                straight-line-method     5
(3) Recognition basis, pricing and depreciation method for fixed assets under financing lease
17. Construction in progress
The initial book values of the fixed assets are stated at total expenditures incurred before construction in progress
reaches the working condition for their intended use. For construction in progress that has reached working
conditions for its intended use but for which the completion of settlement has not been handled, it shall be
transferred into fixed assets at the estimated value according to the project budget, construction price or actual
cost, etc. from the date when it reaches the working conditions for its intended use. And the fixed assets shall be
depreciated in accordance with the Company’s policy on fixed asset depreciation. Adjustment shall be made to the
originally and provisionally estimated value based on the actual cost after the completion of settlement is handled,
but depreciation already provided will not be adjusted.
18. Borrowing costs
1. Recognition principles of capitalization of borrowing costs
Borrowing costs include the interest of borrowings, the amortization of discount or premium, auxiliary expenses,
exchange differences incurred by foreign currency borrowings, etc.
The borrowing costs incurred to the Company and directly attributable to the acquisition and construction or
production of assets eligible for capitalization should be capitalized and recorded into asset costs; other borrowing
costs should be recognized as costs according to the amount incurred and be included into current profit and loss.
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Assets eligible for capitalization refer to fixed assets, investment property, inventories and other assets which may
reach their intended use or sale status only after long-time acquisition and construction or production activities.
Borrowing costs may be capitalized only when all the following conditions are met at the same time:
(1) Asset disbursements, which include those incurred by cash payment, the transfer of non-cash assets or the
undertaking of interest-bearing debts for acquiring and constructing or producing assets eligible for capitalization,
have already been incurred;
(2) Borrowing costs have already been incurred;
(3) The acquisition and construction or production activities which are necessary to prepare the assets for their
intended use or sale have already been started.
2. Capitalization period of borrowing costs
Capitalization period refers to the period from the beginning of capitalization to the cease of capitalization,
excluding the period of capitalization suspension of borrowing costs.
Capitalization of borrowing costs should be ceased when the acquired and constructed or produced assets eligible
for capitalization have reached their intended use or sale condition.
When some projects among the acquired and constructed or produced assets eligible for capitalization are
completed and can be used separately, the capitalization of borrowing costs of such projects should be ceased.
If all parts of the acquired and constructed or produced assets are completed but the assets cannot be used or sold
externally until overall completion, the capitalization of borrowing costs should be ceased at the time of overall
completion of the said assets.
3. Period of capitalization suspension
If the acquisition and construction or production activities of assets eligible for capitalization are interrupted
abnormally and this condition lasts for more than three months, the capitalization of borrowing costs should be
suspended; if the interruption is necessary for the acquisition and construction or production to prepare the assets
for their intended use or sale, the capitalization of borrowing costs should continue. The borrowing costs incurred
during interruption are recognized in the current profit and loss, and the capitalization of borrowing costs
continues after the restart of the acquisition and construction or production activities of the assets.
4. Calculation method of capitalization amount of borrowing costs
As for special borrowings borrowed for acquiring and constructing or producing assets eligible for capitalization,
borrowing costs of special borrowing actually incurred in the current period less the interest income of the loans
unused and deposited in bank or return on temporary investment should be recognized as the capitalization
     司公限有份股心中游旅海东大南海                                                        2015   文全告报度年年
amount of borrowing costs.
As for general borrowings used for acquiring and constructing or producing assets eligible for capitalization, the
interest of general borrowings to be capitalized should be calculated by multiplying the weighted average of asset
disbursements of the part of accumulated asset disbursements exceeding special borrowings at the end of every
month by the capitalization rate of used general borrowings. The capitalization rate is calculated by weighted
average interest rate of general loans.
As for borrowings with discount or premium, the to-be-amortized discount or premium in each accounting period
should be recognized by effective interest rate method, and the interest for each period should be adjusted.
19. Biological assets
20. Oil-and-gas assets
21. Intangible assets
(1) Measurement, service life and impairment test
1. Measurement method of intangible assets
(1) The Company initially measures intangible assets at cost on acquisition;
The cost of an externally acquired intangible asset comprises its purchase price, related taxes and surcharges and
any other directly attributable expenditure of preparing the asset for its intended use. If the deferred payment of
purchase price of intangible assets exceeding normal credit terms is substantially of financial nature, the cost of
intangible assets should be recognized at the present value of the purchase price.
The intangible assets which the debtor uses to pay back the debt in debt restructuring should be recognized at the
fair value of the intangible assets. The difference between the book value of restructured debts and the fair value
of intangible assets used to pay back the debt should be recorded into the current profit and loss;
On the premise that non-monetary assets trade is of commercial nature and the fair value of the assets traded in or
out can be measured reliably, the intangible assets traded in by the trade of non-monetary assets should be
recognized at the fair value of the assets traded out, unless any unambiguous evidence indicates that the fair value
of the assets traded in is more reliable; as to the non-monetary assets trade not meeting the aforesaid premise, the
book value of the assets traded out and related taxes payable should be recognized as the cost of the intangible
assets traded in, with gains or losses not recognized.
The intangible assets obtained by the absorption and merger of an enterprise under common control are
recognized at the book value of the merged enterprise; the intangible assets obtained by the absorption and merger
of an enterprise not under common control are recognized at the fair value.
Costs of intangible assets developed internally and independently include: the costs of materials and labor services
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used to develop the intangible assets, the registration fee, the amortization of other patents and franchise used in
the process of development, the interest of capitalization, and other direct expenses for preparing the intangible
assets for their intended use.
(2) Subsequent measurement
The useful life of intangible asset is analyzed on acquisition.
As for intangible assets with limited useful lives, straight-line amortization method is adopted in the period when
the intangible assets generate economic benefit for enterprise; if the period when the intangible assets generate
economic benefit for enterprise cannot be forecasted, the intangible assets should be deemed as those with
indefinite useful lives and should not be amortized.
2. Estimation of useful life of intangible assets with limited useful life
                          Item                  Estimated useful life                      Basis
         Land use right                  50 years                       Validity term of land use certificate
The useful lives and amortization method of intangible assets with limited useful lives are reviewed at the end of
each period.
Upon review, the useful lives and amortization method of the intangible assets as at the end of the year are not
different from those estimated before.
3. Determination basis of intangible assets with indefinite useful lives
As at the balance sheet date, the Company has no intangible assets with indefinite useful lives.
(2) Accounting policy for internal research and development spending
22. Impairment of long-term assets
If there is any indication that the long-term assets such as long-term equity investment, investment properties
accounted through cost pattern, fixed assets, construction in progress, intangible assets etc. may be impaired at the
balance sheet date, an impairment test would be implemented. If the result of impairment test indicates the
recoverable amounts of the long-term assets are lower than their book values, the difference between the
recoverable amounts and book values is recognized as impairment loss, provisions for impairment of the
long-term assets are made. The recoverable amounts of the long-term assets are the higher of their fair values less
costs to disposal and the present values of the estimated future cash flows of the long-term assets. The provision
for impairment is recognized and calculated on the individual basis. If it is difficult to estimate the recoverable
amount of the individual asset, the Company estimates the recoverable amount of the asset group that the
individual asset belongs to. The asset group is the minimum asset group which can generate cash flows
independently.
The mentioned impairment loss will not be reversed in subsequent accounting period once it had been recognized.
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23. Long-term deferred expenses
Long-term deferred expenses are various expenses already incurred, which shall be amortized over current and
subsequent periods with the amortization period exceeding one year.
1. Amortization method
Long-term deferred expenses are evenly amortized over the beneficial period.
2. Amortization period
                                  Item                                    Amortization period
          Hotel exterior wall decoration                 4 years
24. Employee compensation
(1) Short-term employee benefits
The Company recognizes, in the accounting period in which an employee provides service, actually occurred
short-term employee benefits as a liability, with a corresponding charge to current profit or loss or relevant cost of
assets.
Payments made by the Company of social security contributions for employees, and union running costs and
employee education costs provided in accordance with relevant requirements, in the accounting period in which
employees provide services, is calculated according to prescribed bases and percentages of provision in
determining the amount of employee benefits.
Employee benefits which are non-monetary benefits are measured at fair value.
(2) Post-employment benefits
Payments made by the Company of basic endowment insurance and unemployment insurance in accordance with
relevant requirements of local government, in the accounting period in which employees provide services, is
calculated according to prescribed bases and percentages of provision of local requirements in determining the
amount payable, is recognized as a liability, with a corresponding charge to current profit or loss or relevant cost
of assets.
(3) Termination benefits
When the Company cannot unilaterally withdraw the offer of termination benefits because of an employment
termination plan or a curtailment proposal, or when the Company recognizes costs or expenses related to a
restructuring that involves the payment of termination benefits (the earlier is adopted), the employee benefits
liabilities caused by termination benefits are recognized and included in current profit or loss.
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(4) Accounting method for other long-term employee benefits
25. Estimated liabilities
When the Company is involved in proceedings, debt guarantees, onerous contracts and reorganization events, if
such events may require delivery of assets or rendering of services in the future and the amounts of such events
can be reliably measured, estimated liabilities are recognized.
1. Recognition criteria of estimated liabilities
The Company recognizes the estimated liabilities when obligations related to contingencies satisfy all the
following conditions:
(1) The obligation is a present obligation of the Company;
(2) The performance of the obligation is likely to result in outflow of economic benefits from the Company; and
(3) The amount of the obligation can be measured reliably.
2. Measurement method of estimated liabilities
The estimated liabilities of the Company are initially measured as the best estimate of expenses required for the
performance of relevant present obligations.
The Company, when determining the best estimate, has had a comprehensive consideration of risks with respect to
contingencies, uncertainties and the time value of money. If the time value of money is significant, the best
estimate shall be determined after discounting the relevant future outflow of cash.
The best estimate shall be accounted as follows in different circumstances:
If there is continuous range (or interval) for the necessary expenses, and probabilities of occurrence of all the
outcomes within this range are equal, the best estimate shall be determined at the average amount of upper and
lower limits within the range.
If there is no continuous range (or interval) for the necessary expenses, or probabilities of occurrence of all the
outcomes within this range are unequal despite such a range exists, the outcomes within this range are unequally
likely to occur, in case that the contingency involves a single item, the best estimate shall be determined at the
most likely outcome; if the contingency involves two or more items, the best estimate should be determined
according to all the possible outcomes with their relevant probabilities.
When all or part of the expenses necessary for the settlement of an estimated liability of the Company is expected
to be compensated by a third party, the compensation should be separately recognized as an asset only when it is
virtually certain that the compensation will be received. The amount recognized for the compensation should not
exceed the book value of the estimated liability.
     司公限有份股心中游旅海东大南海                                                      2015   文全告报度年年
26. Share-based payment
27. Other financial instrument as preferred stock and perpetual capital securities
28. Revenue
1. Recognition and measurement principles of revenue from sales of goods
(1) Overall recognition and measurement principles of revenue from sales of goods
When the Company has transferred significant risks and rewards of ownership of the goods to the buyer; the
Company retains neither continuous management rights associated with ownership of the goods sold nor effective
control over the goods sold; the relevant amount of revenue can be measured reliably; it is highly likely that the
economic benefits associated with the transaction will flow into the enterprise; and the relevant amount of cost
incurred or to be incurred can be measured reliably, revenue from sales of goods shall be recognized.
(2) Recognition criteria of revenue from selling goods and specific recognition timing criteria of revenue of the
Company
The Company provides hotel accommodation service as well as goods. After the recognition of both housekeeping
department and hotel reception desk, the daily business report is established. The accounting department makes
sure the significant risks and rewards of ownership of the goods have been transferred to the client, the selling
revenue is recognized.
2. Recognition and measurement principles of revenue from providing labor services
(1) The hotel room service, catering (breakfast) service etc. of the Company, after the hotel room service,
catering (breakfast) service etc. had provided, and each consumption department had checked with the receptionist,
the daily business report and detailed report of account receivables are established, and the reports are submitted
to accounting department, which recognizes the revenue after examining the daily reports.
(2) Revenue from outsourced restaurant and site rental is recognized according to contract or agreement time
period and time of collecting.
3. Recognition basis of revenue from transferring the use right of assets
The economic benefits related to the transaction may flow into entities and the amount of revenue can be reliably
measured. The amount of revenue from transferring use right of assets is recognized as follows in different
circumstances:
(1) The amount of interest income is determined by the time and effective interest rate for others to use the
monetary funds of the Company.
(2) The amount of revenue from usage is determined according to the charging time and method as agreed in
relevant contract or agreement.
     司公限有份股心中游旅海东大南海                                                       2015   文全告报度年年
29. Government subsidies
(1) Recognition basis and accounting treatment for government subsidies related to assets
Government subsidies related to acquisition and construction of fixed assets, intangible assets and other long-term
assets are recognized as deferred income, and included in non-operating income by stages within the useful life of
the assets acquired and constructed
(2) Recognition basis and accounting treatment for government subsidies related to income
If government subsidies related to income are used to compensate the enterprise’s relevant expenses or losses in
future periods, such government subsidies should be recognized as deferred income on acquisition and be
included into the current non-operating income in the period of recognizing relevant expenses; if government
subsidies related to income are used to compensate the enterprise’s relevant expenses or losses incurred, such
government subsidies are directly included into the current non-operating income on acquisition.
30. Deferred income tax assets and deferred income tax liabilities
Deductible temporary differences are recognized as deferred income tax assets to the extent that it shall not exceed
future taxable income possibly available to be against the deductible temporary difference.
Deductible temporary differences are recognized as deferred income tax liabilities except in special
circumstances.
Special circumstances in which deferred income tax assets or deferred income tax liabilities shall not be
recognized include: the initial recognition of goodwill; other transactions or matters excluding business
combinations, which affect neither accounting profits nor the taxable income (or deductible losses) when
occurred.
If the Company has the legal right of netting and intends to settle in net amount or to obtain assets and discharge
liabilities simultaneously, the income tax assets and income tax liabilities of the Company for the current period
shall be presented based on the net amount after offset.
When the Company has the legal rights to balance income tax assets and income tax liabilities in current period
with net settlement, and deferred income tax assets and deferred income tax liabilities are related to the income
tax which imposed on the same taxpaying subject by the same tax collection authority or to different tax paying
subjects, but, in each important future period in connection with the reverse of deferred income tax assets and
liabilities, the involved tax paying subject intends to balance income tax assets and liabilities in current period
with net settlement at the time of obtaining assets and discharging liabilities, deferred income tax assets and
deferred income tax liabilities of the Company shall be presented based on the net amount after offset.
      司公限有份股心中游旅海东大南海                                                         2015   文全告报度年年
31. Leasing
(1) Accounting of operating lease
1. Accounting of leased assets
Lease fees paid by the Company for leased asset shall be amortized at straight-line method over the whole lease
period (including rent-free period) and shall be included in the current expenses. Initial direct costs related to lease
transactions paid by the Company shall be included in the current expenses.
If the expense related to the lease which shall be paid by the Company is assumed by the lessor of the asset, such
expenses shall be deducted from total lease fees, and residual lease fees shall be amortized over the lease period
and included in the current expenses.
2. Accounting of leasing assets
Lease fees received by the Company from leasing assets shall be amortized at straight-line method over the whole
lease period (including rent-free period), and shall be recognized as lease income. Initial direct costs related to
lease transactions paid by the Company shall be included in the current expenses; if the amount is large, it shall be
capitalized, and shall be included in the current income by stages within the whole lease period on same basis for
recognition of lease income.
If the expenses related to the lease which shall be paid by the lessee are borne by the Company, such expenses
shall be deducted from total lease income by the Company, and residual lease fees shall be amortized over the
lease period.
(2) Accounting treatment of finance lease
32. Other significant accounting policies and estimate
33. Significant accounting policies and changes of accounting estimate
(1) Changes of major accounting policies
□Applicable    √ Not applicable
(2) Changes of major accounting estimate
□Applicable    √ Not applicable
34. Other
VI. Taxation
1. Major tax types and tax rates
                Taxation type                    Basis of tax assessment                       Tax rate
    司公限有份股心中游旅海东大南海                                                                     2015   文全告报度年年
Value added tax (VAT)                        Revenue from sale of goods                    3%
Business tax                                 Operating income                              5%
Urban maintenance and construction tax       Turnover tax                                  7%
Enterprise income tax                        Income tax payable                            25%
Education surcharge                          Turnover tax                                  3%
Local education surcharge                    Turnover tax                                  2%
                                             Remaining value after deducting 30% of
Property tax                                 the original value of houses (including land 1.2%
                                             price)
Land use tax                                 Land area                                     RMB 18/m2
As for the taxpaying body with different tax rate for enterprise income tax, disclosed explanations: Nil
2. Tax preference
3. Other
VII. Notes to the main items of financial statements
1. Monetary funds
                                                                                                                             In RMB
                    Item                                    Ending balance                             Beginning balance
Cash                                                                          596,940.75                                   346,943.61
Bank deposit                                                              19,185,451.51                                 22,203,345.93
Total                                                                     19,782,392.26                                 22,550,289.54
Other explanation
No accounts were mortgaged, frozen or restricted for their realization by other means, deposited overseas or with potential risk in
recovery among ending balance.
2. Financial assets measured by fair value and with variations reckoned into current gains/losses
Nil
3. Derivative financial assets
□Applicable   √Not applicable
    司公限有份股心中游旅海东大南海                                                                         2015   文全告报度年年
4. Notes receivables
Nil
5. Accounts receivable
(1) Accounts receivable by type
                                                                                                                                      In RMB
                                        Ending balance                                                  Beginning balance
                    Book balance            Provision for bad debts                  Book balance           Provision for bad debts
      Type
                                 Proporti                  Provisio Book value                  Proporti                   Provision Book value
                   Amount                     Amount                               Amount                     Amount
                                                           n ratio                                                           ratio
                                   on                                                              on
Accounts
receivable
with large
single amount
                 1,466,400.49 54.20% 1,466,400.49 100.00%                        1,464,505.49 29.36% 1,464,505.49 100.00%
and accrued
for provision
of bad debt on
a single basis
Accounts
receivable
accrued for
                 1,239,009.97 45.80%          778,812.69 62.86% 460,197.28 3,523,141.14 70.64%               890,762.12     25.28% 2,632,379.02
provision of
bad debt by
portfolio
                                  100.00                                                         100.00
Total            2,705,410.46               2,245,213.18              460,197.28 4,987,646.63               2,355,267.61              2,632,379.02
                                        %                                                               %
Accounts receivable with large single amount and accrued for provision of bad debt on a single basis at period-end:
√ Applicable□ Not applicable
                                                                                                                                      In RMB
                                                                                  Ending balance
Content of accounts receivable
                                    Accounts receivable       Provision for bad debts    Provision ratio            Reason for provision
                                                                                                            Expected unrecoverable due to aging
Sanya Power Supply Company                      775,304.98                  775,304.98          100.00%
                                                                                                            more than five years
Hainan Hong Kong & Macao                                                                                    Expected unrecoverable due to aging
                                                464,563.21                  464,563.21          100.00%
International Tourism Ltd.                                                                                  more than five years
Sanya City Council reception                    101,652.32                  101,652.32          100.00%
                                                                                                            Expected unrecoverable due to aging
    司公限有份股心中游旅海东大南海                                                                   2015   文全告报度年年
                                                                                                      more than five years
LLC SOUTH CROSS
                                           124,879.98                  124,879.98           100.00%
TRAVELINN                                                                                             Had declared bankruptcy
             Total                        1,466,400.49                1,466,400.49          --                         --
Accounts receivable accrued for provision of bad debt by aging analysis method in portfolio:
√ Applicable□ Not applicable
                                                                                                                                In RMB
                                                                             Ending balance
             Aging
                                     Accounts receivable          Provision for bad debts                    Provision ratio
Within 1 year
Within one year                                    381,125.85
Subtotal within one year                           381,125.85
1-2 years                                           44,442.72                         2,222.14                                     5.00%
2-3 years                                           12,696.88                         1,904.53                                    15.00%
3-4 years                                           21,084.00                         5,271.00                                    25.00%
4-5 years                                           20,491.00                        10,245.50                                    50.00%
More than five years                               759,169.52                    759,169.52                                      100.00%
Total                                            1,239,009.97                    778,812.69
Portfolio recognized:
Accounts receivable accrued for provision of bad debt by percentage of balance in portfolio:
□ Applicable√ Not applicable
Accounts receivable accrued for provision of bad debt by other methods in portfolio:
(2) Provision for bad debts accrued, regain or switch back in the Period
In the Period, 0 Yuan accrued for provision of bad debts; RMB 110,054.43 provision for bad debts regains or switch back in the
Period.
Including the followed significant amount: Nil
(3) Account receivables actually cancel after verification in Period
Nil
(4) Top five account receivables collected by arrears party at ending balance
                  Top five accounts receivable
    司公限有份股心中游旅海东大南海                                                                           2015   文全告报度年年
                                                                           Book balance
                                                      Relationship                                              Proportion in total
                             Name                        with the                                 Aging         accounts receivable
                                                       Company                                                          (%)
                                                                                775,304.98                                      28.66
                                                      Non-related                             More than
         Sanya Power Supply Company
                                                          party                               five years
                                                                                464,563.21                                      17.17
         Hainan       Hong      Kong    &   Macao     Non-related                             More than
         International Tourism Ltd.                       party                               five years
                                                                                265,274.00                                       9.81
         Sanya        Haiyuan        Aoda   tourism   Non-related
         development co., Ltd.                            party                               1-3 years
                                                                                124,879.98                                       4.62
                                                      Non-related
         LLC SOUTH CROSS TRAVELINN
                                                          party                               1-2 years
                                                                                122,729.22                                       4.54
         Hainan Seascape Paradise International
                                                      Non-related
         Co     Ltd   Sanya     Wuzhizhou Island
                                                          party
         Tourist Area                                                                         1-2 years
                                                                               1,752,751.39                                     64.80
                             Total
(5) Account receivables recognition terminated due to transfer of financial assets
(6) Account receivables transferred and assets & liability formed by its continuous involvement
Other notes: Nil
6. Prepayments
(1) Aging analysis of repayment
                                                                                                                                           In RMB
                                                 Ending balance                                            Beginning balance
           Aging
                                        Amount                    Proportion                   Amount                         Proportion
Within 1 year                                42,358.16                     100.00%                     40,778.52                        100.00%
Total                                        42,358.16                --                               40,778.52                  --
Reasons for significant repayment with over one year age without settle: Nil
(2) Top five prepayment collected by objects at ending balance
Other explanation:
         司公限有份股心中游旅海东大南海                                                                     2015   文全告报度年年
7. Interest receivables
Nil
8. Dividend receivables
Nil
9. Other receivables
(1) Other receivables by type:
                                                                                                                                  In RMB
                                     Ending balance                                                     Beginning balance
                                          Provision for bad
                   Book balance                                                      Book balance           Provision for bad debts
      Type                                      debts
                                                                                                                                         Book
                                                                   Book value
                              Proporti                 Provision                                Proportio                   Provision    value
                 Amount                   Amount                                  Amount                      Amount
                                                         ratio                                                                ratio
                                on                                                                  n
Other
receivables
with large
single
amount and                               77,363,143.
               77,363,143.31 98.79%                    100.00%                  77,363,143.31    98.64% 77,363,143.31        100.00%
accrued for
provision of
bad debt on
a single
basis
Other
receivables
accrued for                                                                                                                             332,661.
                 946,271.35     1.21% 734,324.98        77.60% 211,946.37 1,064,685.19             1.36%      732,023.93      68.75%
provision of
bad debt by
portfolio
                                         78,097,468.                                                                                    332,661.
Total          78,309,414.66 100.00%                               211,946.37 78,427,828.50 100.00% 78,095,167.24
                                                 29
Other receivables with large single amount and accrued for provision of bad debt on a single basis at period-end:
    司公限有份股心中游旅海东大南海                                                                    2015   文全告报度年年
√ Applicable□ Not applicable
                                                                                                                                  In RMB
                                                                              Ending balance
  Content of other receivables
                                     Other receivables        Provision for bad debts         Provision ratio         Reason for provision
Hainan Dadonghai Hotel Co.,
                                            54,767,945.15               54,767,945.15                     100.00% Unrecoverable
Ltd.
Cash dividends distributed in
                                            16,899,000.00               16,899,000.00                     100.00% Unrecoverable
1994-1996
Hainan Hong Kong & Macao
                                             4,145,704.16                4,145,704.16                     100.00% Unrecoverable
International Tourism Ltd.
Guangdong Jinma Tourism
                                             1,200,494.00                1,200,494.00                     100.00% Unrecoverable
Ltd.
Shareholder custody fee                          350,000.00                350,000.00                     100.00% Unrecoverable
Total                                       77,363,143.31               77,363,143.31                --                           --
Other receivables accrued for provision of bad debt by aging analysis method in portfolio:
√ Applicable□ Not applicable
                                                                                                                                  In RMB
                                                                            Ending balance
             Aging
                                         Other receivables              Provision for bad debts                 Provision ratio
Within 1 year
Within 1 year                                            120,020.36
Subtotal within one year                                 120,020.36
1-2 years                                                 94,080.00                          4,704.00                              5.00%
2-3 years                                                  3,000.00                           450.00                              15.00%
More than five years                                     729,170.99                     729,170.99                            100.00%
Total                                                    946,271.35                     734,324.98
Portfolio recognized:
Other accounts receivable accrued for provision of bad debt by percentage of balance in portfolio:
□ Applicable√ Not applicable
Other accounts receivable accrued for provision of bad debt by other methods in portfolio:
□ Applicable√ Not applicable
(2) Provision for bad debts accrued, regain or switch back in the Period
RMB 2,301.05 provision for bad debts accrued in the Period; and no regains or switch back in the Period.
Including the followed significant amount: Nil
    司公限有份股心中游旅海东大南海                                                                     2015    文全告报度年年
(3) Other account receivables actually cancel after verification in Period
Nil
(4) Other account receivables category by nature of money
                                                                                                                                 In RMB
              Nature of money                             Ending book balance                        Beginning book balance
Original relevant companies fund accounts                                  54,767,945.15                                  54,767,945.15
Contracting profit receivable                                                4,145,704.16                                  4,145,704.16
Distributing dividends receivable                                          18,099,494.00                                  18,099,494.00
Guarantee deposit                                                             561,818.99                                     568,672.32
Advance money for custody fee                                                 350,000.00                                     350,000.00
Other fund accounts                                                           153,764.20                                      98,126.20
Petty money                                                                        86,446.24                                 158,687.15
Utilities                                                                          70,789.50                                 140,519.65
Money from invested items                                                          30,500.00                                  30,500.00
Personal social security    、   Accumulation
                                                                                   37,952.42                                  63,179.87
fund
Project funds                                                                       3,700.00                                   3,700.00
Cash deposit for invoices                                                           1,300.00                                   1,300.00
Total                                                                      78,309,414.66                                  78,427,828.50
(5) Top five other account receivables collected by arrears party at ending balance
                                                                                                                                 In RMB
                                                                                               Proportion in total    Ending balance of bad
         Company name                Nature of money      Ending balance        Aging
                                                                                               other receivables         debt provision
Hainan Dadonghai Hotel Co., Contacts of original                           More than five
                                                           54,767,945.15                                   69.94%             54,767,945.15
Ltd.                               related units                           years
Cash dividends distributed in Dividends            paid                    More than five
                                                           16,899,000.00                                   21.58%             16,899,000.00
1994-1996                          receivable                              years
Hainan Hong Kong & Macao Contract profit                                   More than five
                                                            4,145,704.16                                    5.29%              4,145,704.16
International Tourism Ltd.         receivable                              years
    司公限有份股心中游旅海东大南海                                                                             2015   文全告报度年年
Guangdong      Jinma    Tourism Dividends              paid                     Within          five
                                                                 1,200,494.00                                       1.53%             1,200,494.00
Ltd.                                receivable                                  years
                                    Replacement of                              More than five
Shareholder custody fee                                           350,000.00                                        0.45%               350,000.00
                                    trustee fee                                 years
Total                                         --                77,363,143.31            --                        98.79%            77,363,143.31
(6) Account receivables with government subsidies involved
Nil
(7) Other account receivables recognition terminated due to transfer of financial assets
Nil
(8) Other account receivables transferred and assets & liability formed by its continuous involvement
Nil
10. Inventories
(1) Classification of inventories
                                                                                                                                       In RMB
                                           Ending balance                                                  Beginning balance
    Item                                Depreciation                                                     Depreciation
                       Book balance                               Book value            Book balance                            Book value
                                                  reserve                                                       reserve
Stock materials            885,380.88              745,479.33        139,901.55               967,441.05         747,043.57         220,397.48
Stock
                            22,771.38               11,102.41          11,668.97               22,771.38          11,102.41          11,668.97
commodities
Food and
                            39,578.03                                  39,578.03               56,723.64                             56,723.64
beverages
Fuels                       26,926.88                                  26,926.88               18,267.20                             18,267.20
Total                      974,657.17              756,581.74        218,075.43           1,065,203.27           758,145.98         307,057.29
(2) Inventory depreciation reserve
                                                                                                                                       In RMB
                                                      Increased in 2015                         Decreased in 2015
                        Beginning
    Item                                                                            Reversing or                           Ending balance
                          balance                 Accrual            Other                                      Other
                                                                                          write-off
    司公限有份股心中游旅海东大南海                                                                   2015   文全告报度年年
Stock materials             747,043.57                                                 1,564.24                           745,479.33
Stock
                             11,102.41                                                                                     11,102.41
commodities
Total                       758,145.98                                                 1,564.24                           756,581.74
(3) Explanation on inventories with capitalization of borrowing costs included at ending balance
Nil
(4) Assets unsettled formed by construction contract which has completed at period-end
Nil
11. Divided into assets held for sale
Nil
12. Non-current assets maturing within one year
                                                                                                                             In RMB
                    Item                                    Ending balance                            Beginning balance
Long-term differed expenses needed to be
                                                                                532,500.00                                196,354.90
amortized within one year
Total                                                                           532,500.00                                196,354.90
Other note: amortization of the hotel's external wall decoration
13. Other non-current assets
Nil
14. Available-for-sale financial assets
(1) Available-for-sale financial assets
                                                                                                                             In RMB
                                              Ending balance                                      Beginning balance
            Item                               Provision for                                       Provision for
                              Book balance                         Book value     Book balance                        Book value
                                               impairment                                           impairment
Available-for-sale equity
                               9,500,000.00     5,000,000.00       4,500,000.00    9,500,000.00       5,000,000.00     4,500,000.00
instruments:
      Measured at cost         9,500,000.00     5,000,000.00       4,500,000.00    9,500,000.00       5,000,000.00     4,500,000.00
    司公限有份股心中游旅海东大南海                                                                    2015   文全告报度年年
Total                          9,500,000.00     5,000,000.00    4,500,000.00     9,500,000.00         5,000,000.00        4,500,000.00
(2) Available-for-sale financial assets measured at fair value at period-end
Nil
(3) Available-for-sale financial assets measured at cost at the end of the period
                                                                                                                                   In RMB
                              Book balance                                 Provision for impairment                  Shareholdin      Cash
      Item    Beginning     Increase Decrease     Ending       Beginning    Increase in Decrease        Ending        g ratio in    dividends
               balance      in 2015   in 2015     balance       balance        2015      in 2015        balance       investee      in 2015
Shenzhen
Difu
Investment
             5,000,000.00                       5,000,000.00 5,000,000.00                             5,000,000.00       14.28%
&
Developm
ent Ltd
Sanya
Xiangyu
             4,500,000.00                       4,500,000.00                                                             18.00%
E-business
Ltd.
Total        9,500,000.00                       9,500,000.00 5,000,000.00                             5,000,000.00        --
(4) Changes of impairment of available-for-sale financial assets in Period
Nil
(5) Fair value of the available-for-sale equity instrument drops significantly or not contemporarily without
depreciation reserves accrued
Nil
15. Held-to-maturity investment
(1) Held-to-maturity investment
Nil
(2) Important held-to-maturity investment at period-end
Nil
    司公限有份股心中游旅海东大南海                                                                        2015   文全告报度年年
(3) Reclassify of held-to-maturity investment in the period
Nil
16. Long-term account receivables
Nil
17. Long-term equity investments
                                                                                                                                 In RMB
                                                                Changes in 2014
                                                      Investme
                                                         nt       Adjustme
                                                                                        Cash       Provisio                     Impairment
                                    Additiona Capita gains/loss     nt of    Other
                      Beginning                                                       dividend      n for     O       Ending    provision at
       Investee                         l        l       es        other     equity
                       balance                                                        or profit impairm th            balance     ending
                                    investmen reduct recognize comprehe change
                                                                                      declare to     ent      er                  balance
                                        t       ion     d by       nsive       s
                                                                                        issue       losses
                                                       equity      income
                                                      method
I. Joint venture
II. Associated enterprise
Hubei Jingsha
Dadonghai Club       4,566,207.42                                                                                  4,566,207.42 4,566,207.42
Ltd.
Sanya Shun’an
                     5,150,166.84                                                                                  5,150,166.84 5,150,166.84
Casino
Subtotal             9,716,374.26                                                                                  9,716,374.26 9,716,374.26
Total                9,716,374.26                                                                                  9,716,374.26 9,716,374.26
Other note: Nil
18. Investment real estate
(1) Investment real estate by cost measurement
□ Applicable √ Not applicable
(2) Investment real estate by fair value
□ Applicable √ Not applicable
            司公限有份股心中游旅海东大南海                                                          2015   文全告报度年年
(3) Investment real estate without certificate of ownership
Nil
19. Fixed assets
(1) Fixed assets
                                                                                                                          In RMB
                                  Buildings and                              Electronic                 Decoration and
                 Item                              Machines     Vehicles                   Others                           Total
                                  Constructions                              Equipments                 improvement
I. Original book value:
           1.Beginning balance 155,421,287.59 13,858,617.00 2,091,322.77 2,915,951.78 2,244,075.09 10,114,923.89         186,646,178.12
           2. Increase in 2015                       2,900.00                  95,403.00    99,028.00                       197,331.00
           (1) Purchase                              2,900.00                  95,403.00    99,028.00                       197,331.00
           (2) transfer in of
the construction project
           (3) the increase in
business combination
           3. Decrease in 2015                     720,046.00                 447,140.82   283,650.80     9,656,191.50    11,107,029.12
             (1) Disposal or
                                                   720,046.00                 447,140.82   283,650.80     9,656,191.50    11,107,029.12
scrap
           4.Ending balance       155,421,287.59 13,141,471.00 2,091,322.77 2,564,213.96 2,059,452.29      458,732.39    175,736,480.00
II. Accumulated
depreciation
           1.Beginning balance     72,118,907.64 9,172,279.82   929,608.42 2,230,875.59 1,550,861.86      9,907,638.08    95,910,171.41
           2. Increase in 2015      3,285,224.22   303,287.35   172,182.48    276,348.49   165,240.93      102,871.39      4,305,154.86
             (1) Disposal or
                                    3,285,224.22   303,287.35   172,182.48    276,348.49   165,240.93      102,871.39      4,305,154.86
scrap
           3. Decrease in 2015                     661,019.82                 408,989.16   239,536.84     9,656,191.50    10,965,737.32
             (1) Disposal or
                                                   661,019.82                 408,989.16   239,536.84     9,656,191.50    10,965,737.32
scrap
           4.Ending balance        75,404,131.86 8,814,547.35 1,101,790.90 2,098,234.92 1,476,565.95       354,317.97     89,249,588.95
III   .   Depreciation reserve
          司公限有份股心中游旅海东大南海                                                            2015   文全告报度年年
      1.Beginning balance         31,685,159.76 2,527,851.26                  21,643.05    199,992.57                   34,434,646.64
      2. Increase in 2015            792,028.88                                                                              792,028.88
             (1) Withdraw            792,028.88                                                                              792,028.88
      3. Decrease in 2015                                                     19,771.05                                       19,771.05
            (1) Disposal or
                                                                              19,771.05                                       19,771.05
scrap
      4.Ending balance            32,477,188.64 2,527,851.26                   1,872.00    199,992.57                   35,206,904.47
IV   .   Book value of fixed
assets
(1) Book value at the end
                                  47,539,967.09 1,799,072.39    989,531.87   464,107.04    382,893.77      104,414.42   51,279,986.58
of the period
(2) Book value at the
                                  51,617,220.19 2,158,485.92 1,161,714.35    663,433.14    493,220.66      207,285.81   56,301,360.07
beginning of the period
(2) Fixed assets temporarily idled
                                                                                                                        In RMB
                                                    Accumulated         Provision for
             Item             Original book value                                            Book value             Remark
                                                    depreciation         impairment
24 inches Shanrui cup                 153,919.64           5,433.83          140,788.83            7,696.98
Furniture cleaning
                                        20,322.04          5,434.94            13,871.00           1,016.10
machine
Four heads coffee
                                         7,758.14          2,070.23             5,300.00                387.91
machine
Thermal cabinet                         26,202.02          6,917.92            17,974.00           1,310.10
Milk shaker                              9,221.94              184.00           9,037.94
VIP card stamping and
                                        13,286.80              266.00          13,020.80
coloring machine
(3) Fixed assets rented by finance leases
Nil
(4) Fixed assets leased in the operating leases
Nil
       司公限有份股心中游旅海东大南海                                            2015   文全告报度年年
(5) Fixed assets without certificate of title completed
Nil
20. Construction in process
Nil
21. Engineering materials
Nil
22. Disposal of fixed assets
Nil
23. Productive biological assets
(1) Measured by cost
□ Applicable√ Not applicable
(2) Measured by fair value
□ Applicable√ Not applicable
24. Oil-and-gas assets
□ Applicable√ Not applicable
25. Intangible assets
(1) Intangible assets
                                                                                                     In RMB
                                                                    Non-patent
             Item                 Land use right     Patent right                                  Total
                                                                    technology
I. Original book value
      1. Beginning balance           87,315,277.74                                                87,315,277.74
      2. Increase in the period
        (1) Purchase
        (2) Internal R&D
    司公限有份股心中游旅海东大南海                                                                 2015   文全告报度年年
        (3) Increase in
enterprise merger
     3. Decrease in the
period
         (1) Disposal
      4. Ending balance             87,315,277.74                                                                       87,315,277.74
II. Accumulated
amortization
      1. Beginning balance          30,751,269.08                                                                       30,751,269.08
      2. Increase in the period        868,727.16                                                                         868,727.16
            (1) Withdraw               868,727.16                                                                         868,727.16
     3. Decrease in the
period
         (1) Disposal
      4. Ending balance             31,619,996.24                                                                       31,619,996.24
III. Depreciation reserve
      1. Beginning balance          29,343,890.98                                                                       29,343,890.98
      2. Increase in the period
            (1) Withdraw
      3. Decrease in the
period
          (1) Disposal
      4. Ending balance             29,343,890.98                                                                       29,343,890.98
IV. Booking value
      1. Ending book value          26,351,390.52                                                                       26,351,390.52
      2. Beginning book
                                    27,220,117.68                                                                       27,220,117.68
value
The proportion of intangible assets balance accounted for by the company's internal R & D by the end
(2) Land use right without certificate of title completed
Nil
    司公限有份股心中游旅海东大南海                                                          2015   文全告报度年年
26. Development expenditure
Nil
27. Goodwill
Nil
28. Long-term deferred expenses
                                                                                                                    In RMB
                                            Increase in the    Amortization in the
          Item          Beginning balance                                            Other decreases      Ending balance
                                                period               period
B building coating
                                                1,508,750.00                                                  1,508,750.00
project
Total                                           1,508,750.00                                                  1,508,750.00
Other note
29. Deferred income tax assets / deferred income tax liabilities
Nil
30 .Other non-current assets
Nil
31 .Short-term loans
Nil
32. Financial liabilities measured at fair value through current profit and loss
Nil
33. Derivative financial liabilities
□ Applicable√ Not applicable
34. Note payable
Nil
    司公限有份股心中游旅海东大南海                                             2015   文全告报度年年
35. Accounts payable
(1) Details of accounts payable are as follows
                                                                                                        In RMB
                   Item                          Ending balance                  Beginning balance
Within 1 year (including 1 year)                                   923,373.39                        798,580.05
1-2 years (including 2 years)                                      205,220.78                        562,577.83
2-3 years (including 3 years)                                      334,316.59                        145,272.00
Over 3 years                                                       952,691.61                        883,915.31
Total                                                             2,415,602.37                   2,390,345.19
(2) Accounts payable with major amount and aging of over one year
Nil
36. Accounts received in advance
(1)Accounts received in advance
                                                                                                        In RMB
                   Item                          Ending balance                  Beginning balance
Within 1 year (including 1 year)                                   601,642.54                        861,565.30
1-2 years (including 2 years)                                      133,860.80                         48,544.76
2-3 years (including 3 years)                                       23,959.76                         77,206.88
Over 3 years                                                       394,391.85                        372,928.97
Total                                                             1,153,854.95                   1,360,245.91
(2) Accounts received in advance with major amount and aging of over one year
Nil
(3) Assets settled formed by construction contract which has un-completed at period-end
Nil
37. Employee compensation payable
(1)Classification of employee compensation payable
    司公限有份股心中游旅海东大南海                                                                      2015   文全告报度年年
                                                                                                                                In RMB
                  Item                 Beginning balance Increase in the period Decrease in the period                Ending balance
I. Short-term employee benefits               3,451,674.05           9,046,693.47              10,348,003.12                   2,150,364.40
II. Post-employment benefits -
                                                                          790,155.98              790,155.98
defined contribution plans
Total                                         3,451,674.05           9,836,849.45              11,138,159.10                   2,150,364.40
(2) Short-term employee benefits
                                                                                                                                In RMB
                 Item                  Beginning balance         Increase in the period     Decrease in the period       Ending balance
1.Salary, bonus, allowance and
                                               2,639,312.64                  7,093,820.53              8,437,278.53             1,295,854.64
subsidy
2.Employee welfare                                                           1,213,510.51              1,213,510.51
3.Social insurance premium                                                     391,912.68                391,912.68
Of which   :   including: medical
                                                                               343,997.15                343,997.15
insurance expenses
Work        injury        insurance
                                                                                20,128.15                 20,128.15
expenses
Maternity insurance                                                             27,787.38                 27,787.38
4.Housing provident funds                                                      103,600.88                103,600.88
5.Labor     union       expenditures
and       employee        education              812,361.41                    243,848.87                201,700.52                 854,509.76
expenses
Total                                          3,451,674.05                  9,046,693.47             10,348,003.12             2,150,364.40
(3) Details of defined contribution plans
                                                                                                                                In RMB
            Item                  Beginning balance        Increase in the period      Decrease in the period         Ending balance
1.Basic          endowment
                                                                       744,715.22                  744,715.22
insurance expenses
2.Unemployment
                                                                          45,440.76                 45,440.76
insurance expenses
Total                                                                  790,155.98                  790,155.98
    司公限有份股心中游旅海东大南海                                       2015   文全告报度年年
Other note: Nil
38 .Taxes and surcharges payable
                                                                                                  In RMB
                     Item                 Ending balance                   Beginning balance
VAT                                                          135,982.62                        135,982.62
Business tax                                                 127,228.90                         86,744.38
Enterprise income tax                                      -1,702,702.80                   -1,702,702.80
Individual income tax                                          6,804.20                            16.52
Urban maintenance and construction tax                         6,105.02                          6,072.11
Educational surtax                                             4,360.73                          4,337.22
Property tax                                                                                   204,986.70
Land use tax                                                                                   108,590.94
Total                                                      -1,422,221.33                   -1,155,972.31
Other note: Nil
39. Interest payable
Nil
40. Dividend payable
Nil
41 .Other payables
(1) Other payables by items
                                                                                                  In RMB
                     Item                 Ending balance                   Beginning balance
Fine for rule-breaking operation on the
                                                       19,810,000.00                      19,810,000.00
stock of the Company
Audit fee                                                    285,003.21                        285,003.21
Project funds                                              1,246,613.78                        287,277.05
Agency fund                                                  453,720.42                        403,164.88
      司公限有份股心中游旅海东大南海                                                       2015   文全告报度年年
Quality retention money Cash deposit
      )            (                                          248,196.75                                 248,196.75
Guarantee deposit                                               430,809.90                               1,175,809.90
membership of Board director 、   the board
                                                                148,506.98                                 148,506.98
of supervisors
Personal fund accounts                                           91,041.38                                 363,635.61
Other fund accounts                                             938,635.86                                 897,776.73
                    Total                                   23,652,528.28                               23,619,371.11
(2) Other payables with large amount and aging of over one year
                                                                                                              In RMB
              Company name                     Ending balance                Reason for non-repayment or carryover
China Securities Regulatory Commission                      19,810,000.00 Financial difficulty
Hong Kong Deloitte & Touche LLP                                 285,003.21 No settlement
Sanya Shuxin Building Waterproofing Co.
                                                                170,000.00 No settlement
Ltd
China Building Decoration Company
                                                                161,111.03 No settlement
Hannan Branch
                    Total                                   20,426,114.24                         --
Other notes: Nil
42. Divided into liability held for sale
Nil
43. Non-current liability due within one year Nil
44. Other current liability
Nil
45. Long-term loans
Nil
      司公限有份股心中游旅海东大南海                                                        2015   文全告报度年年
46. Bond payable
Nil
47. Long-term payable
Nil
48. Long-term employee salary payable
Nil
49. Specific payable
Nil
50. Estimates liabilities
Nil
51. Deferred income
Nil
52. Other non-current liability
Nil
53 .Share capital
                                                                                                               In RMB
                                                       Increase or decrease (+,   -   )
                    Beginning                                  Share capital
                                                                                                        Ending balance
                     balance
                                   New issue   Shares granted converted from       Others   Sub-total
                                                               reserve fund
Total shares      364,100,000.00                                                                        364,100,000.00
Other note: Nil
54. Other equity instruments
Nil
    司公限有份股心中游旅海东大南海                                                                   2015   文全告报度年年
55 .Capital reserves
                                                                                                                                In RMB
           Item                  Beginning balance      Increase in the period      Decrease in the period       Ending balance
Capital (share capital)
                                        33,336,215.58                                                                  33,336,215.58
premium
Other capital reserves                  20,806,634.43                                                                  20,806,634.43
Total                                   54,142,850.01                                                                  54,142,850.01
Other instructions, including changes in the current period, reasons for the change: Nil
56.     Treasury stock
Nil
57. Other comprehensive income
Nil
58. Reasonable reserves
Nil
59. Surplus reserves
Nil
60 .Undistributed profits
                                                                                                                                In RMB
                          Item                                     The period                                Last period
Undistributed profit of period-begin after
                                                                            -333,827,515.68                          -336,331,002.15
adjustment
Plus: net profit attributable to owner of parent
                                                                                 -7,477,866.40                             2,503,486.47
company in the period
Undistributed profits of period-end                                         -341,305,382.08                          -333,827,515.68
Adjustment of undistributed profit at period-begin:
1) For the retroactive adjustment based on Accounting Standards for Business Enterprises and other relevant regulations, affected
undistributed profit at period-begin of 0 Yuan
2) For changes of accounting policies, affected undistributed profit at period-begin of 0 Yuan
3) For correction on major accounting errors, affected undistributed profit at period-begin of 0 Yuan
    司公限有份股心中游旅海东大南海                                                                  2015   文全告报度年年
4) For changes of consolidation scope from same controlling, affected undistributed profit at period-begin of 0 Yuan
5) Other adjustment totally affected undistributed profit at period-begin of 0 Yuan
61 .Operating income and operating cost
                                                                                                                                In RMB
                                          Amount as the period                                 Amount as last period
           Item
                                    Income                       Cost                      Income                      Cost
Main business                         15,885,922.90                  626,661.16             20,202,134.10                 337,785.89
Total                                 15,885,922.90                  626,661.16             20,202,134.10                 337,785.89
62 .Business tax and surcharges
                                                                                                                                In RMB
                     Item                               Amount as the period                        Amount as last period
Business tax                                                                  819,179.54                                1,013,927.25
Urban maintenance and construction tax                                         57,342.58                                      70,974.91
Educational surtax                                                             40,958.98                                      50,696.38
Total                                                                         917,481.10                                1,135,598.54
Other note: Nil
63 .Selling expenses
                                                                                                                                In RMB
                     Item                               Amount as the period                        Amount as last period
Salary                                                                      4,398,716.49                                3,148,970.88
Depreciation                                                                3,998,200.62                                4,219,719.22
Water and electricity fee                                                   1,298,494.95                                1,323,395.39
Repair charges                                                                831,104.60                                  615,830.33
Other expenses                                                              2,441,944.71                                2,475,496.07
Total                                                                     12,968,461.37                                11,783,411.89
Other note: Nil
64 .Administrative expenses
                                                                                                                                In RMB
    司公限有份股心中游旅海东大南海                                                                2015   文全告报度年年
                   Item                                 Amount as the period                      Amount as last period
Staff salary and welfare                                                   3,176,631.18                             4,088,037.72
Taxes                                                                      1,253,059.06                             1,265,633.31
Business entertainment                                                     1,496,691.06                               941,322.90
Labor insurance expenses                                                    503,883.72                              1,116,266.44
Amortization of site use right                                              868,727.16                                868,727.16
Other expenses                                                             2,973,270.68                             3,143,215.34
Total                                                                    10,272,262.86                             11,423,202.87
Other note: Nil
65 .Financial expenses
                                                                                                                            In RMB
                   Item                                 Amount as the period                      Amount as last period
Less: interest income                                                      -172,796.40                                 -71,232.46
Handling charges                                                               63,582.60                              110,748.81
Total                                                                      -109,213.80                                    39,516.35
Other note: Nil
66. Losses on assets impairment
                                                                                                                            In RMB
                   Item                                 Amount as the period                      Amount as last period
I. Losses on bad debt                                                       -107,753.38                               212,606.59
VII. Loss on fixed asset impairment                                         792,028.88
Total                                                                       684,275.50                                212,606.59
Other note:
Losses on assets impairment of the current period increased by RMB 471,668.91 on a year-on-year basis, or an increase of 221.85%,
mainly due to withdraw bad debt provision on the construction of seafood mill, box engineering and multi-functional conference hall
which set up illegally, according to No. B082   、   B083[2015] literature of Sanya Jiyan district City Administration Bureau (the
appearance of Sanya city for Dadonghai).
67. Gains from changes of fair value
Nil
    司公限有份股心中游旅海东大南海                                                              2015   文全告报度年年
68. Gains on investment
                                                                                                                           In RMB
                      Item                                Amount as the period                    Amount as last period
Investment income of available-for-sale
                                                                                                                    2,020,000.00
financial assets in holding period
Investment income obtained from disposal of
                                                                                                                    2,000,000.00
available-for-sale financial assets
Other creditor’s right income from investment                               422,000.00
Total                                                                        422,000.00                             4,020,000.00
Other note: Nil
69 .Non-operating incomes
                                                                                                                           In RMB
                                                                                                   Amount included in current
               Item                   Amount as the period           Amount as last period
                                                                                                  non-recurring profits or losses
Total gains on disposal of
                                                                                  3,126,454.22
non-current assets
Including: gain on disposal of
                                                                                  3,126,454.22
fixed assets
Income from compensation                            105,919.00                       91,123.01                        105,919.00
Confiscated income                                1,194,445.50                                                      1,194,445.50
Others                                              342,738.77                         2,768.04                       342,738.77
Total                                             1,664,926.64                    3,220,345.27                      1,664,926.64
Government subsidy reckoned into current gains/losses Nil
                                                     :
Other note:
Confiscated income of non-operating income is RMB 1,194,445.50 due to previous second largest stockholder Pan Guoping’s
corporate stock earning in rule-breaking operations; Others income of non-operating income is RMB 342,738.77 due to previous
general manager Sun Hongjie of South China Grand Hotel hands in the profit target because of the target management responsibility
literature.
70. Non-operating expenses
                                                                                                                           In RMB
                                                                                                   Amount included in current
               Item                   Amount as the period           Amount as last period
                                                                                                  non-recurring profits or losses
    司公限有份股心中游旅海东大南海                                                          2015   文全告报度年年
Total losses on disposal of
                                               90,560.75                         6,870.77                           90,560.75
non-current assets
Including: loss on disposal of
                                               90,560.75                         6,870.77
fixed assets
Amercement outlay                                200.00                                                               200.00
Overdue fine                                      27.00                                                                27.00
Total                                          90,787.75                         6,870.77                           90,787.75
Other note: Nil
71 .Income tax expenses
Nil
72 .Other comprehensive income
More details can be seen in Note.
73. Notes to statement of cash flows
(1) Other cash receipts related to operating activities
                                                                                                                      In RMB
                     Item                     Amount as the period                          Amount as last period
Confiscated income                                             1,194,445.50
Interest income                                                  172,796.40                                         71,232.46
Handling charges for price adjustment fund                       346,472.00                                     343,404.00
Current account from Maming                                      240,000.00
Compensation for articles in the guest
                                                                 105,919.00                                         91,123.01
rooms
Others                                                               21,748.00                                  163,950.73
Individual social insurance                                                                                     307,260.55
Electricity fee                                                                                                     40,547.95
Receive current account of Sanya Haiyuan
                                                                                                              2,808,368.63
Hotel Management Ltd.
    司公限有份股心中游旅海东大南海                                                           2015   文全告报度年年
Total                                                                      2,081,380.90                        3,825,887.33
Note of other cash receipts related to operating activities: Nil
(2) Cash paid for other operating activities
                                                                                                                       In RMB
                     Item                                 Amount as the period               Amount as last period
Business entertainment expenses                                            1,476,274.02                        1,017,733.30
Traveling expenses                                                           643,482.95                          906,196.32
Office expenses                                                                  38,972.69                           11,557.60
Listing fee                                                                      80,000.00                           80,000.00
Repair charge                                                                109,586.10                              19,824.50
Postage                                                                          47,493.71                           38,624.99
Fuel fee, electricity fee and gas fee                                        114,360.00                          114,961.00
Audit fee                                                                    402,000.00                          352,000.00
Announcement fee                                                             240,202.00                          280,000.00
Directors and supervisors membership
                                                                             282,644.70                          278,437.35
dues
Price adjustment fund                                                        338,670.00                          342,036.00
Individual workers insurance fee and
                                                                             519,817.96                          307,260.55
housing fund
Financial costs                                                                  63,582.60                       110,748.81
Guarantee deposit from Sun Hongjie                                           657,261.23
Current account of Luoniushan Co., Ltd.                                                                          800,000.00
Other expenses                                                               441,379.62                          266,877.82
Total                                                                      5,455,727.58                        4,926,258.24
Note of cash paid for other operating activities: Nil
(3) Cash received with other investment activities concerned
Nil
         司公限有份股心中游旅海东大南海                                                                  2015   文全告报度年年
(4) Cash paid for other investment activities
Nil
(5) Cash received with other financing activities concerned
Nil
(6) Cash paid for other financing activities
Nil
74 .Supplementary information to statement of cash flows
(1) Supplementary information to statement of cash flows
                                                                                                                                In RMB
                         Supplementary information      &e