Stockcode：200706 Stock ID: Wazhou B Announcement No.2014-12 The proposal of the Estimation of related transaction of 2014 I.The General situation of daily related transaction
1. The General situation of daily related transaction
After the third meeting of the 6th session of the Board and the 2013 Annual General Meeting .The expected amounted to 2.17522 billion in related party transactions in 2013, actually occurred amounted to 1.72200 billion. The predicted amount in 2014 is 2.02735 billion Yuan.
The issues that the directors should avoid in related party transactions in 2013
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|Director|No.|
|Cong Hong|Obviate all the issues|
|Meng Wei|Obviate the issues except 5、29 、36 in followed form|
|Li Shi|Obviate the issues except 5、29 、36 in followed form|
|Chen Jiajun|Obviate the issues except 5、29 、36 in followed form|
|Shao Yang|Obviate the followed issues : 2、3、4、5、6、7、9、23、24、25、26、28、29、30、32、33、36、38、39、40、42、43|
|Sun Najuan|Needn’t Obviate|
|Zhu Jiming|Obviate the issues except 5、29、36 in followed form|
|Fang Bo|Obviate the issues except 5、29、36 in followed form|
|Wu Chunyou|Needn’t Obviate|
|Zhang Li|Needn’t Obviate|
|Liu Yuping|Needn’t Obviate|
|Sun Guangguo|Needn’t Obviate|

Besides above related directors have obviated from the voting while voting for the relative related issues, and the issues thatneedn’t been obviated unanimously passed by the other directors and 0 rejecting vote, 0 abstaining vote; The issues still should be passed byshareholder’s meeting of 2013 .At that time, the related shareholders will obviate from the related issues.
2. The forecast of daily associated transactions of the whole year
Procurement of the products and labor from the associated units and Supply of products and goods for the associated unites
1) Purchase from related party
Stockcode：200706 Stock ID: Wazhou B Announcement No.2014-12Unit：RMB10000 Yuan
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|-|-|-|-|-|-|-|-|-|
|Type|According toproducts orlabor|No.|Associated unites|Forecastedsum of 2013|Actually in 2012||||
||||||Amount||Proportionoccupying tothe samebusiness||
|Procurement oftheproductsandlaborfromtheassociatedunits|Components|1|Wafangdian Bearing Precision BallManufacturing Co., Ltd|550|||||
|||||||504||0.14|
|||2|Wafangdian Bearing Precision Forging Co.,Ltd|25,000|22,849||6.40||
|||3|Da Lian Wazhou Jin Zhou MachineryCompany Limited|19,100|16,818||4.71||
|||4|Da Lian Wazhou Feng Yuan MachineryCompany Limited|15,700|11,325||3.17||
||Bearingproducts|5|Dalian SKF Wazhou Bearing Co., Ltd.|24,600||21,066||5.90|
|||6|WBGCSlewing Bearing Co.,Ltd|26,000|19,078||5.35||
|||7|WBGC transmission driving Bearing Co.,Ltd|14,000|12,911||3.62||
|||8|WBGC precision special bearing Co., Ltd|40|31||0.01||
||Products|9|Dalian Bearing Equipment Manufacturing Co.,Ltd. of WBGC|2,400|2,164||0.61||
||Lease ofhouses|10|Wafangdian Bearing Precision BallManufacturing Co., Ltd|22|22||0.01||
||Equipment|11|Wafangdian Bearing Group EquipmentTechnology Engineer Co.,Ltd|5,000|4,885||1.37||
||Security &fire-proofservices|12|Wafangdian Bearing Group Corporation|334|334||0.09||
||Promotionservices|13||82|82||0.02||
||Technicaldevelopingservices|14||0|540||0.15||
||Trademarkusing|15||950|800||0.22||
||Lease ofhouses|16||1206|1206||0.34||
||lease of land|17||86|5||0.002||
||Equipmentleasing|18||1347|1294||0.36||
||equipmentleasing|19|Wafangdian Bearing Group Nationalengineering research center Co.,Ltd|540|0||0||
|||20|International trade company||||||
||Total|||136,957|115,914||32.472||

Stockcode：200706 Stock ID: Wazhou B Announcement No.2014-12 2)Sale to related party
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|-|-|-|-|-|-|-|-|-|
|Type|According toproducts orlabor|No.|Associated unites|Forecastedsum of 2013|Actually in 2012||||
||||||Amount||Proportionoccupying tothe samebusiness||
|Supply ofproductsandgoodsfor theassociatedunites|Material|21|Wafangdian Bearing Group Corporation|120|102||0.03||
|||22|Wafangdian Bearing Precision BallManufacturing Co., Ltd.|790|||||
|||||||665||0.22|
|||23|Wafangdian Bearing Precision Forging Co.,Ltd.|50,000|42,960||13.95||
|||24|Dalian Bearing Equipment Manufacturing Co.,Ltd. of WBGC|300|260||0.08||
|||25|WBGC Slewing Bearing Co.,Ltd|1,500|1,339||0.43||
|||26|WBGC Precisiontransmission driving Bearing Co.,Ltd|3,100|2,628||0.85||
|||27|Wafangdian Bearing Group CorporationPrecise Special Bearing Co., Ltd.|450|375||0.12||
|||28|Da Lian Wazhou Jin Zhou MachineryCompany Limited|380|323||0.10||
||Components|29|Dalian SKF Wazhou Bearing Co., Ltd.|7,000||5,892||1.91|
||Lease ofhousing|30|Wafangdian Bearing Precision Forging Co.,Ltd.|35|35||0.01||
|||31|WBGC precision special bearing Co., Ltd|51|51||0.018||
|||32|Da Lian Wazhou Feng Yuan MachineryCompany Limited|11|11||0.004||
|||33|Da Lian Wazhou Jin Zhou MachineryCompany Limited|80|80||0.03||
||Lease of land|34|Wafangdian Bearing Precision Forging Co.,Ltd.|11|||0.004||
|||||||11|||
|||35|WBGC precision special bearing Co., Ltd|5|5||0.002||
||Heat treatment|36|Dalian SKF Wazhou Bearing Co., Ltd.|600||417||0.16|
|||37|Wafangdian Bearing Precision BallManufacturing Co., Ltd.|80|74||0.03||
|||38|WBGC Precisiontransmission driving Bearing Co.,Ltd|300|254||0.10||
|||39|Wafangdian Bearing Precision Forging Co.,Ltd.|0|0||0||
|||40|WBGC Slewing Bearing Co.,Ltd|0|0||0||
|||41|WBGC precision special bearing Co., Ltd|50|40||0.02||
|||42|Da Lian Wazhou Jin Zhou MachineryCompany Limited|15|12||0.01||
||Product|43|Wafangdian Bearing Group(American)Co.,Ltd.|900|752||0.24||
||Total|||65,778|56,286||18.318||

Stockcode：200706 Stock ID: Wazhou B Announcement No.2014-12 II. Introduction of associated parties and associated relation
2.1 Introduction of associated parties
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|Name of associatedunits|Legal ofrepresentative|Enrolledcapital(RMB’0000)|Main business|Type ofenterprise|Corporationaddress|
|Wafangdian BearingGroup Corporation（WBGC）|Cong Hong|41,379.31|Manufacturing and Selling ofBearing, Special tool forbearing, tooling, equipment,mechanical equipment,special steel, abrasivematerial, grinding tool,casting, automobilecomponents and parts,locomotive components andparts, relative industryproducts; habitation and foodservices; building andequipment tenancy|Solelystate-owned|No.1 BeigongjiStreetWafangdianCity|
|Dalian WBGC BearingEquipmentManufacturing Co.,Ltd.(EquipmentManufacturing）|Shao Yang|1,225|Machining and manufacturingof special mould for bearing;manufacturing of specialequipment and spare parts forbearing; equipment improving,installing ,debugging andmaintaining；thedesigning ,manufacturing andrepairing of varies ofmechanical equipment,components and parts andmatching parts；managementof spare equipment and parts;the purchasing and supplyingof grinding tool , abrasivematerial, blade tool, alloy, andhardware etc.|Solelystate-owned|No.1 BeigongjiStreetWafangdianCity|
|Wafangdian BearingPrecision Steal BallManufacturing Co.,Ltd.（Precision Ball）|Gao Yongyang|680|Designing, manufacturing andselling of ball; manufacturingand selling of mechanicalcomponents and parts andmechanical products.|Stockcompany|No.1 BeigongjiStreetWafangdianCity|
|Wafangdian BearingPrecision Forging Co.,Ltd.（PrecisionForging）|Shao Yang|2,445|machining of forging part andmechanical components andparts, forging equipmentmaintaining; forging partsannealing；forging processdesigning；metal materialselling.|Stockcompany|No.1 BeigongjiStreetWafangdianCity|
|Dalian SKF WazhouBearing Co., Ltd.(SKFWazhou)|Cong Hong|14,000|Manufacturing and selling ofspherical roller bearing|China andforeign jointventure|No.1 BeigongjiStreetWafangdianCity|
|WBGC SlewingBearing Co.,Ltd|Shao Yang|5,000|Manufacture and sale ofbearings , lease ofhousing ,machinery|Stockcompany|Wa FangdianZhuHuaIndustry Zone|

Stockcode：200706 Stock ID: Wazhou B Announcement No.2014-12
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|WBGC Precisiontransmission drivingBearing Co.,Ltd|Shao Yang|3,000|Manufacture and sale ofbearings , lease ofhousing ,machinery|Stockcompany|Wa FangdianZhuHuaIndustry Zone|
|Wafangdian BearingGroup CorporationPrecise Bearing Co.,Ltd.|Cong Hong|1,000|Manufacture and sale ofbearings|Stockcompany|No.1 BeigongjiStreetWafangdianCity|
|Da Lian Wazhou JinZhou MachineryCompany Limited|Shao Yang|5,000|Machining operation and saleof mechanical componentsand parts|Solelystate-owned|No.1 BeigongjiStreetWafangdianCity|
|Da Lian Wazhou FengYuan MachineryCompany Limited|Shao Yang|5,000|Machining operation and saleof mechanical componentsand parts|Solelystate-owned|No.1 BeigongjiStreetWafangdianCity|
|Wafangdian BearingGroup EquipmentTechnology EngineerCo.,Ltd|Zhang Xinghai|300|Electrician engineer install,construction, mechanicalequipment, instrumentpurchase, manufacture, installand sales|Solelystate-owned|Wa FangdianXijiao IndustryZone|
|Wafangdian BearingGroup(American)Co.,Ltd.|Shao Yang|800 doller|Sale bearing made by wazhouand its subsidiary.whichinclude car bearing andindustry bearing and foring|Solelystate-owned|Buhler akkubstreet No.535ofCalif.|

2.2 Associated relationship
As the parent company, Wafangdian Bearing Group Corporation holds60.6% of theCompany’s stock , Chairman Mr. Cong Hong also occupies the Chairman of the Company.
Wa Fangdian Slewing Bearing Co.,Ltd is the solely holding subsidiary of thecompany’s parent company-Wafangdian Bearing Group Corporation.
Wa Fangdian Precision transmission driving Bearing Co.,Ltd is the solely holding subsidiary of thecompany’s parent company-Wafangdian Bearing Group Corporation.
Wafangdian Bearing Precision Forging Co., Ltd. is the holding company of thecompany’s parent company-Wafangdian Bearing GroupCorporation，Wafangdian Bearing Group Corporation Limited holds90% of thecompanies’ stocks.
Wafangdian Bearing Precision Ball Manufacturing Co., Ltd. is the participating company of thecompany’s parent company-Wafangdian Bearing Group Corporation, Wafangdian Bearing Group Corporation holds48.9% of thecompany’s stocks.
Dalian Wafangdian Bearing Equipment Manufacturing Co., Ltd. is the solely holding subsidiary of thecompany’s parent company-Wafangdian Bearing Group Corporation.
Dalian SKF Wafangdian Bearing Co., Ltd. is the affiliated company of the Company, The Company holds49% stocks of Dalian SKF Wazhou; Mr. Cong Hong, The chairman of the Company, also occupies the chairman of Dalian SKF Wazhou.
Wafangdian Bearing Group Corporation Precise Special Bearing Co., Ltd. is the solely holding
subsidiary of thecompany’s parent company-Wafangdian Bearing Group Corporation.
Stockcode：200706 Stock ID: Wazhou B Announcement No.2014-12 Da Lian Wazhou Jin Zhou Machinery Company Limited is the affiliated company of the Company, The Company holds25% stocks of Da Lian Wazhou Jin Zhou Machinery Company Limited; Mr. Shao Yang, The chairman of the Company, also occupies the chairman of Da Lian Wazhou Jin Zhou Machinery Company Limited.
Da Lian Wazhou Feng Yuan Machinery Company Limited is the affiliated company of the Company, The Company holds25% stocks of Da Lian Wazhou Feng Yuan Machinery Company Limited; Mr. Shao Yang, The chairman of the Company, also occupies the chairman of Da Lian Wazhou Feng Yuan Machinery Company Limited.
Wafangdian Bearing Group Equipment Technology Engineer Co.,Ltd, Wafangdian Bearing Group Corporation ----our parent company holds100% of theCompany’s stock, Chairman Mr. Zhang Xinghai also occupies the director of the Company
Wafangdian Bearing Group(American) Co.,Ltd., Wafangdian Bearing Group Corporation ----our parent company holds70% of theCompany’s stock, Chairman Mr. Shao Yang also occupies the General Manager of the Company
Wafangdian Bearing Group National engineering research center Co., Ltd. Wafangdian Bearing Group Corporation ----our parent company holds100% of theCompany’s stock, Chairman Mr.Cong Hong also occupies the Chairman of the Company
International trade company, the company is being formed by wafangdian bearing group, it will be a subsidiary of Wafangdian Bearing Group after formed well.
2.3 The analysis for the capacity of fulfillment
Thecompany’s related units such as WBGC are in good operating condition with the corresponding capacity of payment, and can fulfill all the agreements signed with the Company, hardly does the fund collectable from the associated transactions become into bad debts. the Company has low default risk. The 2013annual financial condition of associated parties are as follows:
Unit：Yuan
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|-|-|-|-|-|-|-|
|Name of associatedunit|Monetary fund|Income|Net profit|Ratio ofliabilities|Total assets|Operatingcondition|
|Wafangdian BearingGroup Corporation|337,452,408.06|6,470,084,948.39|73,708,884.22|50.53|7,519,717,689.69|Normal|
|Dalian WafangdianBearing EquipmentManufacturing Co., Ltd.|1,125,702.08|9 2 , 284,516.89|5,022,378.90|35.81|115,332,361.39|Normal|
|Wafangdian BearingPrecision BallManufacturing Co., Ltd.|1,501,385.68|2 1 ,515,316.27|1,330,090.76|63.53|32,014,623.66|Normal|
|Wafangdian BearingPrecision Forging Co.,Ltd.|16,580,670.20|1,039,938,935.12|30,969,909.06|48.59|357,753,461.18|Normal|
|Wafangdian SlewingBearing Co.Ltd|3,543,874.98|324,562,606.81|-13,893,209.53|34.34|872,157,956.15|Normal|
|WBGC Precisiontransmission drivingBearing Co.,Ltd|5,598,600.81|117,191,770.49|6,560,871.17|23.11|190,408,483.16|Normal|
|Da Lian SKF Wa ZhouBearing ManufacturingCo.Ltd|24,503,295.55|211,688,633.60|15,540,349.90|19.76|271,211,464.11|Normal|

Stockcode：200706 Stock ID: Wazhou B Announcement No.2014-12
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|-|-|-|-|-|-|-|
|WBGC precision specialbearing Co., Ltd|5,656,293.10|2 9 ,273,193.91|5,800,781.20|48.55|36,058,446.57|Normal|
|Da Lian Wazhou Jin ZhouMachinery CompanyLimited|2,087,544.06|172,286,942.27|2,772,098.59|42.75|92,967,450.98|Normal|
|Da Lian Wazhou FengYuan MachineryCompany Limited|3,980,348.62|183,850,896.19|721,717.72|21.30|66,286,845.16|Normal|
|Wafangdian BearingGroup(American) Co.,Ltd|197,636.89|122,340,419.95|1,329,688.34|91.48|50,969,631.45|Normal|

2.4 The total amount of all the associated transactions with associated parties in 2012
Unit：RMB10000 Yuan
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|-|-|-|-|
|Associated company|Total amount|Associated company|Total amount|
|Wafangdian Bearing GroupCorporation|4125|Wafangdian Bearing Precision BallManufacturing Co., Ltd.|1453|
|Dalian Wafangdian BearingEquipment Manufacturing Co., Ltd.|2700|Wafangdian Bearing PrecisionForging Co., Ltd.|75035|
|Dalian SKF-Wazhou BearingCompany Limited|32200|Wafangdian Slewing Bearing Co.Ltd|27500|
|WBGC Precisiontransmission driving Bearing Co.,Ltd|17400|Wafangdian Bearing GroupCorporation Precise Bearing Co.,Ltd.|596|
|Da Lian Wazhou Jin Zhou MachineryCompany Limited|19575|Da Lian Wazhou Feng YuanMachinery Company Limited|15711|
|Wafangdian Bearing GroupEquipment Technology EngineerCo.,Ltd|5000|Wafangdian BearingGroup(American) Co.,Ltd|900|
|Wafangdian Bearing Group Nationalengineering research center Co.,Ltd|540|||

III. Price making policy and basis
The Company entered the business agreement with the associated parties under the principal of voluntary, equal, reciprocal and dispassion. The pricing was based on the market price excluding government pricing and agreement pricing. The businesses between the Company and the above associated parties were the normal operation activities so that could not harm the interests of the listed Company.
IV. Transaction target and influence
The Company rents the land, buildings and workshops of Wafangdian Bearing Group Corporation, and usesit’s “ZWZ” brand with compensation, and accepts the services of WBGC such as security, fire fighting, propaganda and technical development. These transactions are the necessary conditions for the operation of the Company, and provides a good advantage for the development of the company .
In order to ensure the normal operation of the company, It is necessary that the company buys component, bearings, goods and steel from the associated parities and supplies the materials,
components and rent of housing, etc to them.
It is the normal operation activities that the company buys and sells the products of SKF Wa Zhou
and supplies the bearing components to it, and these activities can not harm the interests of the listed
Stockcode：200706 Stock ID: Wazhou B Announcement No.2014-12 company.
The above associated businesses are normal daily operation activities on the basis of dispassion and mutual benefit. Each side is strictly in accordance with the relative agreement. There is no case that harms the interest of the listed company. The associated transactions will not greatly affect the financial condition and operating result of the company in the report period and future, and will not affect the independence of the listed company.
V. The Agreement of associated transactions
Unit: RMB10000yuan
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|No.|Agreementofassociated business|Main contents|Settlementmethod|Agreementvalidity period|Forecastamount of2014|
|1|《Admission Contract ofTrademark Using》|The company use “ZWZ”trademark ofWGBC with compensation to sellself-manufactured finished products.|Cash|2012-1-1 to2014-12-31|950|
|2|《The agreement onproviding promotionservices》|The company makes use of media likenewspapers, TV and broadcasting etc.of WBGC to carry through promotionservices for the company.|Cash|2014-1-1to2014-12-31|82|
|3|《The Agreement onTechnical Developing》|The Company entrusts WBGC toprovide product developing, producttesting, engineering project organizingand technical services.|Cash|2014-1-1to2014-12-31|540|
|4|《Contract of houseleasing》|The Company rent building fromPrecision Ball|Cash|2014-1-1to2014-12-31|22|
|5||The Company rent building fromWBGC|Cash|2014-1-1to2014-12-31|1,206|
|6|《Contract of lease ofbuilding 》|Wafangdian Bearing specialprecision Co., Ltd rent the building ofWBC|Cash|2014-1-1to2014-12-31|51|
|7||Wazhou Fengyuan MachineryCompany Limited rent the building ofWBC.|Cash|2014-1-1to2014-12-31|11|
|8||Wafangdian Bearing Precision ForgingCo., Ltd rent the building of WBC.|Cash|2014-1-1to2014-12-31|35|
|9||Da Lian Wazhou Jin Zhou MachineryCompany Limited rent the building ofWBC.|Cash|2014-1-1to2014-12-31|80|
|10|《Contract of lease ofland》|WBGC rent the land of WBC|Cash|2014-1-1to2014-12-31|86|
|11||WBGC precision special bearing Co.,Ltd rent the land of WBC|Cash|2014-1-1to2014-12-31|5|
|12||Precision Ball Corp. rent the land ofWBC|Cash|2014-1-1to2014-12-31|11|

Stockcode：200706 Stock ID: Wazhou B Announcement No.2014-12
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|-|-|-|-|-|-|
|13|《Agreement on providingSecurity & fire-proofservices》|WBGC provide Security & fire-proofservices|Cash|2014-1-1to2014-12-31|334|
|14|《Ecumenical item ofcomponents and partspurchasing contract》|The Company purchase the necessarycomponents & parts from theassociated party, Precision Forging|Cash|2014-1-1to2014-12-31|25,000|
|15|《Ecumenical item ofcomponents and partspurchasing contract》|The Company purchase the necessarycomponents & parts from theassociated party, Precision Ball Corp.|Cash|2014-1-1to2014-12-31|550|
|16|《Ecumenical item ofcomponents and partsproviding contract》|SKF-Wazhou purchases bearingcomponents and parts produced bythe Company|Cash|2014-1-1to2014-12-31|7,000|
|17|《Centralized materialpurchasing contract》|The Company makes a centralizedpurchase of all the material such asthe main material like bearing steel,carburized steel and currency spareparts of the equipment, assistantmaterial, etc. except office goods,labor insurance goods and sundrygoods for the associated party,Precision Forging.|By the end ofeach month,the two sidescarry throughsettlementaccording tothe actualpurchasingamount ofthat monthand theprinciple ofbalance. Thecompany willcharge acertainreplacingpurchase feefrom therelating party.|2014-4-2to2014-12-31|50,000|
|18|《Centralized materialpurchasing contract》|The Company makes a centralizedpurchase of all the material such asthe main material like bearing steel,carburized steel and currency spareparts of the equipment, varieties ofinside and outside package with ZWZtrademark, label, wooden box, tray etc.except office goods, labor insurancegoods and sundry goods for theassociated party, Precision Ball.|By the end ofeach month,the two sidescarry throughsettlementaccording tothe actualpurchasingamount ofthat monthand theprinciple ofbalance. Thecompany willcharge acertainreplacingpurchase feefrom theassociatedparty..|2014-1-2to2014-12-31|790|

Stockcode：200706 Stock ID: Wazhou B Announcement No.2014-12
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|-|-|-|-|-|-|
|19|《Contract of materialpurchasing》|The Equipment company purchasesthe material from the Company|By cash ortransfer|2014-1-2to2014-12-31|300|
|20|《Contract of materialpurchasing》|Wafangdian Slewing Bearing Co.Ltdpurchases the material from theCompany|By cash ortransfer|2014-1-1to2014-12-31|1,500|
|21|《Contract of materialpurchasing》|WBGC Precisiontransmission driving Bearing Co.,Ltdpurchases the material from theCompany|By cash ortransfer|2014-1-1to2014-12-31|3,100|
|22|《Contract of materialpurchasing》|WBGC purchases the material fromthe Company|By cash ortransfer|2014-1-1to2014-12-31|120|
|23|《Contract of materialpurchasing》|Wafangdian Bearing special precisionpurchases the material from theCompany|By cash ortransfer|2014-1-1to2014-12-31|450|
|24|《Contract of materialpurchasing》|The Company sell material andproduct to Da Lian Wazhou Jin ZhouMachinery Company Limited|By cash ortransfer|2014-1-1to2014-12-31|380|
|25|《Contract of machinepurchasing》|The Company purchase machinesfrom Equipment Technology EngineerCo.,Ltd|By cash ortransfer|2014-1-1to2014-12-31|5,000|
|26|《Contract of materialpurchasing》|The Company purchases productsfrom Equipment Manufacturing|By cash ortransfer|2014-1-1to2014-12-31|2,400|
|27|《Agreement on heattreatment and additionaltempering of bearing parts》|The Company provided heat treatmentservices to Steel Ball company|By cash ortransfer|2014-1-1to2014-12-31|80|
|28|《Agreement on heattreatment and additionaltempering of bearing parts》|The Company provided heat treatmentservices to WBGC Precisiontransmission driving Bearing Co.,Ltd|By cash ortransfer|2014-1-1to2014-12-31|300|
|29|《Equipment procurementcontract》|The company to lease equipment fromWBGC|By cash ortransfer|2014-1-1to2014-12-31|1347|

Stockcode：200706 Stock ID: Wazhou B Announcement No.2014-12
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|-|-|-|-|-|-|
|30|《Agreement on heattreatment and additionaltempering of bearing parts》|The Company provided heat treatmentservices to Wafangdian Bearing GroupCorporation Precise Bearing Co., Ltd.|By cash ortransfer|2014-1-1to2014-12-31|50|
|31|《Agreement on heattreatment and additionaltempering of bearing parts》|The Company provided heat treatmentservices to Da Lian Wazhou Jin ZhouMachinery Company Limited|By cash ortransfer|2014-1-1to2014-12-31|15|
|32|《Ecumenical item ofsubcontract on heattreatment and additionaltempering of bearing ring》|SKF-Wazhou subcontract the processof ring heat treatment and additionaltempering to the Company.|By cash ortransfer|2014-1-1to2014-12-31|600|
|33|《Contract of marketdeveloping and selling》|Popularize and sell the sphericalbearing manufactured by SKFWazhou.|By cash ortransfer|1998-4-20to2003-4-20It is promisedthat thecontract will beeffective in aunfixed periodif the contracthas been putinto effect forfive years.|24,600|
|34|《Contract of selling ofproducts》|Popularize and sell the bearingmanufactured by Wafangdian BearingGroup(American) Co.,Ltd.|By cash ortransfer|2014-1-1to2014-12-31|900|
|35|《Contract of selling ofproducts》|Popularize and sell the bearingmanufactured by Wafangdian BearingGroup Corporation Precise BearingCo., Ltd.|By cash ortransfer|2014-1-1to2014-12-31|40|
|36|《Contract of selling ofproducts》|Popularize and sell the bearingmanufactured by transmission drivingBearing Co., Ltd|By cash ortransfer|2014-1-1to2014-12-31|14,000|
|37|《Contract of selling ofproducts》|Popularize and sell the bearingmanufactured by Slewing Bearing Co.,Ltd|By cash ortransfer|2014-1-1to2014-12-31|26,000|
|38|《Contract of purchasecomponent 》|Purchase products produced by DaLian Wazhou Jin Zhou MachineryCompany Limited|By cash ortransfer|2014-1-1to2014-12-31|19,100|
|39|《Contract of purchasecomponent 》|Purchase products produced by DaLian Wazhou Feng Yuan MachineryCompany Limited|By cash ortransfer|2014-1-1to2014-12-31|15,700|

VI The independent opinions
After careful verification, we understand the need and price of related party transactions of the company. We believe that the related party transactions between associated units of the company are fair
and just. The transactions are necessary and the price is reasonable, the company use tendering
procurement and other means to save costs. Related transactions will not be at the expense of the
interests of minority shareholders. Before consideration of the motion, the company has provided us with
Stockcode：200706 Stock ID: Wazhou B Announcement No.2014-12 sufficient information, made a lot of interpretation work and obtained the consent of us. We agree with the related party transactions in 2013 and the expected related party transactions in 2014 of the company, and believe it is reasonable and feasible. We agree with the matter.
VII The documents for future reference
1、The announcement of Resolution of the third Meeting of 6th Board Session
2、Pre-approve and independent opinions from independent director
3、Agreement of daily related party transactions
4、Other document required by Shenzhen Stock Exchange.
Board of director of Wa Fangdian bearing
Company limited
Apr. 25, 2014