Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd. Hubei Sanonda Co., Ltd.
Report for the Third Quarter of 2014
October 2014
Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd. Section I. Important Reminders
The Board of Directors, the Supervisory Committee as well as all directors, supervisors and senior management staff of Hubei Sanonda Co., Ltd. (hereinafter referred to as “the Company”) warrant that this report is factual, accurate and complete without any false record, misleading statement or material omission. And they shall be jointly and severally liable for that.
All directors attended the board session for reviewing this report.
Mr. Li Zuorong, company principal, and Mr. He Xuesong, chief of the accounting work and chief of the accounting organ (chief of accounting), hereby confirm that the Financial Report enclosed in this report is factual, accurate and complete.
This report is prepared in both Chinese and English. Should there be any discrepancy between the two versions, the Chinese version shall prevail.
Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd. Section II. Financial Highlights& Change of Shareholders
I. Major accounting data and financial indexes
Does the Company adjust retrospectively or restate accounting data of previous years due to change of the accounting policy or correction of any accounting error?
□ Yes√ No
||||||||
|-|-|-|-|-|-|-|
||30 Sept. 2014||31 Dec. 2013||Increase/decrease (%)||
|Total assets (RMB Yuan)|3,168,198,347.68||2,708,271,174.34||16.98%||
|Net assets attributable to|1,951,680,600.58||1,546,189,571.66||26.23%||
|shareholders of the Company|||||||
|(RMB Yuan)|||||||
|||YoY increase/decrease||||YoY increase/decrease|
||Jul.-Sept. 2014|||Jan.-Sept. 2014|||
|||(%)||||(%)|
|Operating revenues (RMB Yuan)|866,668,593.25|17.66%||2,566,950,017.93||13.77%|
|Net profit attributable to|140,421,657.01|||428,828,254.14|||
|shareholders of the Company||117.99%||||123.48%|
|(RMB Yuan)|||||||
|Net profit attributable to|||||||
|shareholders of the Company after|139,244,260.83|114.30%||426,782,025.29||120.39%|
|extraordinary gains and losses|||||||
|(RMB Yuan)|||||||
|Net cash flows from operating||||592,089,710.76|||
||--|--||||1.39%|
|activities (RMB Yuan)|||||||
|Basic EPS (RMB Yuan/share)|0.2364|117.88%||0.7220||123.46%|
|Diluted EPS (RMB Yuan/share)|0.2364|117.88%||0.7220||123.46%|
|Weighted average ROE (%)|7.40%|2.86%||24.55%||10.35%|

 Items and amounts of extraordinary gains and losses
√Applicable□Inapplicable
Unit: RMB Yuan
||||
|-|-|-|
|Item|Amount as of Jan.-Sept. 2014|Note|
|Gains/losses on the disposal of non-current assets (including the|||
||54,831.62||
|offset part of asset impairment provisions)|||
|Government grants recognized in the current period, except for|||
|those acquired in the ordinary course of business or granted at|||
||2,842,744.44||
|certain quotas or amounts according to the country’s unified|||
|standards|||
|Other non-operating income and expenses than the above|-158,479.48||

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||
|-|-|-|
|Less: Income tax effects|693,317.73||
|Minority interests effects (after tax)|-450.00||
|Total|2,046,228.85|--|

Explain the reasons if the Company classifies an item as an extraordinary gain/loss according to the definition in the Explanatory Announcement No. 1 on Information Disclosure for Companies Offering Their Securities to thePublic—Extraordinary Gains and Losses, or classifies any extraordinary gain/loss item mentioned in the said explanatory announcement as a recurrent gain/loss item□ Applicable√ Inapplicable
No such cases during the reporting period.
II. Total number of shareholders and shareholdings of the top ten shareholders at the period-end
1. Total number of common shareholders and shareholdings of the top ten common shareholders at the period-end
Unit: share
||||||||
|-|-|-|-|-|-|-|
|Total number of common|||||||
|||60,715 (of which the shareholders of A share were of 43,968)|||||
|shareholders at the period-end|||||||
|Shareholdings of the top ten common shareholders|||||||
|||||Number of|Pledged or frozen shares||
|Name of|Nature of|Shareholding|Number of the||||
|||||restricted shares|||
|shareholder|shareholder|percentage (%)|shares held||Status of shares|Number of shares|
|||||held|||
|Sanonda GroupCo., Ltd.|State-ownedcorporation|20.15%|119,687,202|-|||
||||||-|-|
|Celsius PropertyB.V.|Foreigncorporation|10.60%|62,950,659|-|||
||||||-|-|
|ICBC - BoseraSelected StockSecuritiesInvestment Fund|Other|0.84%|5,001,417|-|||
||||||-|-|
|China Life Insurance Co., Ltd. –Dividend - Personal bonus - 005L-FH002 Shen|Other|0.77%|4,562,962|-|||
||||||-|-|
|STATE-OWNEDASSETSADMINISTRATION BUREAU OFQICHUNCOUNTY|Nation|0.70%|4,169,266|-|||
||||||-|-|

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||||||
|-|-|-|-|-|-|-|
|Shen Hefei|Domesticindividual|0.63%|3,768,445|-|||
||||||-|-|
|NORGES BANK|Foreigncorporation|0.44%|2,634,504|-|||
||||||-|-|
|ICBC － ZhonghaiEnergy StrategyHybrid SecuritiesInvestment Fund|Other|0.40%|2,402,606|-|||
||||||-|-|
|GUOTAI JUNANSECURITIES(HONGKONG)LIMITED|Foreigncorporation|0.35%|2,105,816|-|||
||||||-|-|
|Xie Qingjun|Domesticindividual|0.35%|2,053,500|-|||
||||||-|-|
|Shareholdings of the top ten non-restricted common shareholders|||||||
|||Number of non-restricted common shares held at the|||Type of shares||
|Name of shareholder|||||||
|||period-end|||Type|Number|
|Sanonda Group Co., Ltd.||119,687,202|||RMB ordinary||
|||||||119,687,202|
||||||share||
|Celsius Property B.V.||62,950,659|||Domestically||
||||||listed foreign|62,950,659|
||||||share||
|ICBC - Bosera Selected StockSecurities Investment Fund||5,001,417|||RMB ordinary||
|||||||5,001,417|
||||||share||
|China Life Insurance Co., Ltd. –Dividend - Personal bonus - 005L-FH002 Shen||4,562,962|||||
||||||RMB ordinary||
|||||||4,562,962|
||||||share||
|STATE-OWNED ASSETSADMINISTRATION BUREAU OFQICHUN COUNTY||4,169,266|||||
||||||RMB ordinary||
|||||||4,169,266|
||||||share||
|Shen Hefei||3,768,445|||RMB ordinary||
|||||||3,768,445|
||||||share||
|NORGES BANK||2,634,504|||Domestically||
||||||listed foreign|2,634,504|
||||||share||
|ICBC－Zhonghai Energy StrategyHybrid Securities Investment Fund||2,402,606|||RMB ordinary||
|||||||2,402,606|
||||||share||
|GUOTAI JUNANSECURITIES(HONGKONG)||2,105,816|||Domestically||
|||||||2,105,816|
||||||listed foreign||

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
|||||
|-|-|-|-|
|LIMITED||share||
|Xie Qingjun|2,053,500|Domestically||
|||listed foreign|2,053,500|
|||share||
||STATE-OWNED ASSETS ADMINISTRATION BUREAU OF QICHUN COUNTY held|||
||the shares of the Company on behalf of the country. Sanonda Group Corporation (now|||
|Explanation on associated|renamed as Jingzhou Sanonda Holdings Co., Ltd.) and Celsius Property B.V. (foreign|||
|relationship or persons acting in|shareholder, now renamed as ADAMA Celsius B.V.) are related parties, and under the same|||
|concert among the above-mentioned|control of China National Chemical Agrochemical Corporation, and are acting-in-concert|||
|shareholders|parties as prescribed in the Administrative Methods for Acquisition of Listed Companies. It|||
||is unknown whether the other shareholders are related parties or acting-in-concert parties as|||
||prescribed in the Administrative Methods for Acquisition of Listed Companies.|||

Did any of the top 10 common shareholders or the top 10 non-restricted common shareholders of the Company carry out any agreed buy-back in the reporting period?
□ Yes√ No
No shareholder of the Company carried out any agreed buy-back in the reporting period.
2. Total number of preferred share holders and shareholdings of the top ten preferred share holders at the period-end
□ Applicable√ Inapplicable
Section III. Significant Events
I. Major changes of main accounting statement items and financial indicators in the reporting period, as well as reasons for the changes
√ Applicable□ Inapplicable
(Unit: RMB Ten thousand)
|||||||
|-|-|-|-|-|-|
|Financialstatement item|30 Sept. 2014|31 Dec.2013|Increase/decrease|Increase/decrease(%)|Main reason for the change|
|Monetary funds|56,802|41,407|15,395|37.18%|Sales inflows increased.|
|Notesreceivable|2,454|4,110|-1,656|-40.29%|Acceptance bills were adopted more often inpayment for our products.|
|Accountsreceivable|34,501|20,917|13,584|64.94%|The sales incomes at home and abroad bothincreased. And settlement with recourse wasoften adopted in export, resulting in a longsettlement period.|
|Prepayments|6,738|4,304|2,434|56.55%|Prepayments for raw materials increased.|
|Otherreceivables|2,712|722|1,990|275.62%|Export rebates receivable increased.|
|Available-for-sa|915||915||Some long-term equity investments were|

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
|||||||
|-|-|-|-|-|-|
|le financialassets|||||restated under this item according to theamended accounting standards.|
|Long-termequityinvestments||915|-915|-100.00%|Some long-term equity investments wererestated as available-for-sale financial assetsaccording to the amended accountingstandards.|
|Construction inprogress|44,267|23,449|20,818|88.78%|Inputs to construction increased.|
|Short-termborrowings|24,500|35,922|-11,422|-31.80%|More short-term borrowings were repaid.|
|Notes payable|8,500|4000|4,500|112.50%|New notes for paying for raw materials|
|Accountspayable|21,040|15604|5,436|34.84%|Amounts to be paid to suppliers increased.|
|Taxes and farespayable|11,812|7,334|4,478|61.06%|The income tax to be paid increased.|
|Accountsreceived inadvance|4,129|7,944|-3,815|-48.02%|Advances from customers decreased.|
|Non-currentliabilities duewithin 1 year|749|7,739|-6,990|-90.32%|Most of the long-term borrowings due within 1year were repaid.|
|Long-termborrowings|43,159|29,609|13,550|45.76%|New long-term borrowings for projects|
|Specializedreserves|2,242|1,606|636|39.60%|Security funds reserve increased.|
|Retained profits|94,582|54,669|39,913|73.01%|Profits increased.|
|Financialstatement item|Jan.-Sept. 2014|Jan.-Sept.2013|Increase/decrease|Increase/decrease(%)|Main reason for the change|
|Business taxand surtaxes|713|260|453|174.23%|Surtaxes payable increased.|
|Financialexpenses|2,389|5,589|-3,200|-57.26%|Short-term borrowings decreased and theinterest expenses decreased accordingly.|
|Investmentgains|172|466|-294|-63.09%|The bonuses received decreased.|
|Non-businessincomes|304|197|107|54.31%|Government subsidies increased.|
|Non-businessexpenses|30|429|-399|-93.01%|The loss on disposal of non-current assetsdecreased.|
|Income taxexpenses|15,604|6,684|8,920|133.45%|Total profits increased.|
|Net profitsattributable toowners of theCompany|42,883|19,189|23,694|123.48%|The sales income and the gross profit rateincreased.|
|Net cash flowsfrom investingactivities|-31,947|-20,125|-11,822|-58.74%|Fixed asset investments increased.|
|Net cash flowsfrom financingactivities|-13,772|-4,731|-9,041|-191.10%|Repaid loans increased.|

II. Progress of significant events and analysis& explanations on their influence and solutions√ Applicable□ Inapplicable
1. Changes of share equity of the controlling shareholder of the Company, Jingzhou Sanonda Co., Ltd. On 24 Sep.
2014 the Company disclosed the Indicative Announcement on Changes of Share Equity of the Controlling
Shareholder. China National Agrochemical Corporation had transferred its holding of100% share equity of
Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd. Jingzhou Sanonda Co., Ltd. to China International Agrochemical Corporation. On 9 Oct. 2014 the Company disclosed the Indicative Announcement on Equity Transfer of Shareholders, China National Agrochemical Corporation had transferred its holding of100% share equity of Jingzhou Sanonda Co., Ltd. to ADAMA Celsius B.V. which lead to ADAMA Celsius B.V. directly and indirectly holding a total of30.75% share equity of the Company. On 11 Oct. 2014, the Company disclosed the Announcement of Progress of Equity Transfer of Shareholders, and application material of the Exemption Approval of Tender Offer Duty submitted by ADAMA Celsius B.V. had been accepted by CSRC.
2. TheCompany’s 300,000 tons/year reformation project of the energy saving and emission reduction technology of caustic soda devices. Of which the total investment of 200,000 tons/year per period project of caustic soda was estimated RMB 760000000. As of the announcement day, it has been basically completed; it was expected to test run within the year.
||||
|-|-|-|
|||Index to the relevant announcement|
|Overview of the significant event|Date of disclosure||
|||disclosed on the website|
|Indicative Announcement on Changes ofShare Equity of the ControllingShareholder|||
||24 Sep. 2014|http://www.cninfo.com.cn|
|Indicative Announcement on EquityTransfer of Shareholders|||
||9 Oct. 2014|http://www.cninfo.com.cn|
|Announcement of Progress of EquityTransfer of Shareholders|||
||11 Oct. 2014|http://www.cninfo.com.cn|

III. Commitments made by the Company or shareholders holding over5% of theCompany’s shares in the reporting period or such commitments carried down into the reporting period√ Applicable□ Inapplicable
|||||||
|-|-|-|-|-|-|
||||Time of|||
||Commitm|||Period of||
|Commitment||Contents|making||Fulfillment|
||ent maker|||commitment||
||||commitment|||
|Commitments made in||||||
|a share reform||||||
|||I. Commitments on avoiding horizontal competition:|||Up to the|
|||1. excepting the Company proposed conducting|||date of|
|||transaction may lead to competition in domestic trade|||declaration|
|||with Shenzhen NOPOSION Agrochemical Co., Ltd.|||of the report,|
|Commitments made in|Celsius|disclosed in the B Shares Offer Acquisition Report of|||the|
|acquisition report or in|Property|Hubei Sanonda CO., Ltd. The Company will take||Within 7|commitment|
||||7 Sep. 2013|||
|report on changes of|B.V. and|effective measures to avoid the Company and its||years|s were being|
|equity|MAI|controlling subsidiaries engaged in the same or|||carried out|
|||similar business with Hubei Sanonda CO., Ltd. within|||and the|
|||the territory.2. If the Company or its controlling|||committers|
|||subsidiaries domestically conduct related business|||abided by|
|||which form horizontal competition with Hubei|||the above|

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||||
|-|-|-|-|-|
||Sanonda CO., Ltd. in future (including related|||commitment|
||business of the Company proposed conducting|||s.|
||transaction may lead to competition in domestic trade||||
||with Shenzhen NOPOSION Agrochemical Co., Ltd.||||
||disclosed in the B Shares Offer Acquisition Report of||||
||Hubei Sanonda CO., Ltd.) The Company will||||
||according to the securities laws and regulations and||||
||industry policy within 7 years or when the||||
||management think the condition is ripe to actively||||
||take steps, gradually eliminate the competition, the||||
||concrete measures including but not limited to the||||
||following one or more: fight for internal assets||||
||reconstruction, (including putting the business into||||
||Hubei Sanonda CO., Ltd. or operated through Hubei||||
||Sanonda CO., Ltd. ) to adjust the industrial plan and||||
||business structure, to transform technology and to||||
||upgrade products, to divide the market so as to make||||
||each corporation differ in the products and its||||
||ultimate users, thus to avoid and eliminate the current||||
||domestic horizontal competition between the||||
||Company’s controlling subsidiaries and Sanonda.||||
||II. Commitments on maintaining the Company’s||||
||operation independence and specify the related||||
||transaction: 1. After the complement of the tender||||
||offer, Sanonda will continues to maintain complete||||
||purchase, production and sales system, and to gain the||||
|||||Up to the|
||independent intellectual property. The Company and||||
|||||date of|
||its direct or indirect controlling shareholders and||||
|||||declaration|
||Sanonda of which the personnel, assets, finance,||||
|||||of the report,|
||business and institutions will be completely||||
|||||the|
||separated, and at the same time maintain the||||
|Celsius||||commitment|
||operation ability of Sanonda that independently face||||
|Property||||s were being|
||to the China agrochemical industry market. 2. The|7 Sep. 2013|Long term||
|B.V. and||||carried out|
||Company will avoid and reduce the related||||
|MAI||||and the|
||transactions with Sanonda according to the||||
|||||committers|
||requirements stipulated by the laws, regulations and||||
|||||abided by|
||other normative documents; but for those related||||
|||||the above|
||transactions that are inevitable or occur with||||
|||||commitment|
||reasonable cause, will have to obey the just, fair and||||
|||||s.|
||open market principles. And to sign the agreement||||
||according to the law and to carry out legal program,||||
||and to make sure not to harm the legal interest of||||
||Sanonda and other shareholders by related transaction||||
||according to the Articles of Association of Sanonda,||||

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||||
|-|-|-|-|-|
||the relevant system about related transaction and to||||
||conduct the duty of information disclosure as well as||||
||the approval process which stipulated by the relevant||||
||regulations."||||
||I. Commitments on avoiding horizontal competition:||||
||1. The business of the Company’s subsidiaries--||||
||Jiangsu Anpon Electrochemical Co., Ltd., Anhui||||
||Petroleum Chemical Group Co., Ltd., Shangdong||||
||Dacheng Agrochemical Co., Ltd. and Jiamusi||||
||Heilong Agrochemicals Co., Ltd., and Hunan Haohua||||
||Chemical Co., Ltd. and its subsidiary had the same or||||
||similar situations with the main business of Sanonda,||||
||and aimed at the domestic horizontal competition, the||||
||Company committed to gradually eliminate such kind||||
||of horizontal competition in the future and to fight for||||
||the internal assets reconstruction, to adjust the||||
||industrial plan and business structure, to transform||||
||technology and to upgrade products, to divide the|||Up to the|
||market so as to make each corporation differ in the|||date of|
||products and its ultimate users according to the|||declaration|
||securities laws and regulations and industry policy|||of the report,|
|China|within 7 years, thus to eliminate the current domestic|||the|
||horizontal competition between the Company’s|||commitment|
|National|||||
||controlling subsidiaries and Sanonda. 2. Excepting||Within 7|s were being|
|Chemical||7 Sep. 2013|||
||the competition situation disclosed in the offer||years|carried out|
|Corporatio|||||
||acquisition report, the Company take effective|||and the|
|n|||||
||measures to avoid the Company and its controlling|||committers|
||subsidiaries ( excepting Commitments respectively|||abided by|
||made in acquisition report by Celsius Property B.V.|||the above|
||and MAI )’ new increased business engaged in the|||commitment|
||same or similar business with Hubei Sanonda CO.,|||s.|
||Ltd. within the territory in future. 3. If the Company||||
||or its controlling subsidiaries (excepting||||
||Commitments respectively made in acquisition report||||
||by Celsius Property B.V. and MAI) domestically||||
||conduct related business which form horizontal||||
||competition with Hubei Sanonda CO., Ltd. in future,||||
||the Company will actively take steps, gradually||||
||eliminate the competition, the concrete measures||||
||including but not limited to fight for internal assets||||
||reconstruction, (including putting the business into||||
||Hubei Sanonda CO., Ltd. or operated through Hubei||||
||Sanonda CO., Ltd.) to adjust the industrial plan and||||
||business structure, to transform technology and to||||

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
|||||||
|-|-|-|-|-|-|
|||upgrade products, to divide the market so as to make||||
|||each corporation differ in the products and its||||
|||ultimate users, thus to avoid and eliminate the current||||
|||domestic horizontal competition between the||||
|||Company’s controlling subsidiaries and Sanonda.||||
|||II. Commitments on maintaining the Company’s||||
|||operation independence and specify the related||||
|||transaction: 1. After the complement of the tender||||
|||offer, Sanonda will continues to maintain complete||||
|||purchase, production and sales system, and to gain the||||
|||independent intellectual property. The Company and||||
|||its direct or indirect controlling shareholders and||||
||||||Up to the|
|||Sanonda of which the personnel, assets, finance,||||
||||||date of|
|||business and institutions will be completely||||
||||||declaration|
|||separated, and at the same time maintain the||||
||||||of the report,|
|||operation ability of Sanonda that independently face||||
||||||the|
||China|||||
|||to the China agrochemical industry market. 2. The||||
||||||commitment|
||National|Company will avoid and reduce the related||||
||||||s were being|
||Chemical|transactions with Sanonda according to the|7 Sep. 2013|Long term||
||||||carried out|
||Corporatio|requirements stipulated by the laws, regulations and||||
||||||and the|
||n|other normative documents; but for those related||||
||||||committers|
|||transactions that are inevitable or occur with||||
||||||abided by|
|||reasonable cause, will have to obey the just, fair and||||
||||||the above|
|||open market principles. And to sign the agreement||||
||||||commitment|
|||according to the law and to carry out legal program,||||
||||||s.|
|||and to make sure not to harm the legal interest of||||
|||Sanonda and other shareholders by related transaction||||
|||according to the Articles of Association of Sanonda,||||
|||the relevant system about related transaction and to||||
|||conduct the duty of information disclosure as well as||||
|||the approval process which stipulated by the relevant||||
|||regulations.||||
|Commitments made at||||||
|the time of assets|-|||||
|reorganization||||||
|Commitments made in||||||
|the initial public|-|||||
|offering or refinancing||||||
|Commitments made||||||
|by the company to||||||
||-|||||
|other medium and||||||
|small shareholders||||||
|Executed timely or|Yes|||||

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
|||
|-|-|
|not?||
|Detailed reason for|Inapplicable|
|failing to execute and||
|the next plan (if any)||

IV. Predict the 2014 annual operating results
Warnings of possible loss or large-margin change of the accumulated net profit made during the period from the beginning of the year to the end of the next reporting period compared with the same period of the last year according to prediction, as well as explanations on the reasons
□Applicable√Inapplicable
V. Securities investment
□Applicable√Inapplicable
The Company did not invest in any securities in the reporting period.
VI. Investments in derivatives
□Applicable√Inapplicable
The Company did not invest in any derivative in the reporting period.
VII. Researches, visits and interviews received in the reporting period
√Applicable□Inapplicable
|||||||
|-|-|-|-|-|-|
||||||Main discussion and|
|Time|Place|Way of reception|Visitor type|Visitor|materials provided by the|
||||||Company|
|||Telephone|Individual||Product prices of|
|22 Jul. 2014|The Company|||Individual investor||
|||communication|||glyphosate, paraquat etc.|
|||Telephone|||Shareholder numbers of A|
|3 Sep. 2014|The Company||Individual|Individual investor||
|||communication|||share at the end of Aug.|
||||Individual||The production and|
|||Telephone||||
|26 Sep. 2014|The Company|||Individual investor|operation situation of the|
|||communication||||
||||||Company|
||||||Relevant events of equity|
|||Telephone||||
|30 Sep. 2014|The Company||Individual|Individual investor|transfer of Jingzhou|
|||communication||||
||||||Sanonda Co., Ltd.|

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd. Section IV. Financial Statements
I. Financial statements
1. Consolidated balance sheet
Prepared by Hubei Sanonda Co., Ltd.
Unit: RMB Yuan
||||
|-|-|-|
|Item|Closing balance|Opening balance|
|Current Assets:|||
|Monetary funds|568,023,334.45|414,065,921.21|
|Settlement reserves|||
|Intra-group lendings|||
|Financial assets measured at fair|||
|value and of which changes are|||
|recorded into current gains and losses|||
|Notes receivable|24,537,646.31|41,103,985.15|
|Accounts receivable|345,005,509.17|209,166,447.16|
|Accounts paid in advance|67,383,330.14|43,042,028.26|
|Premiums receivable|||
|Reinsurance premiums receivable|||
|Receivable reinsurance contract|||
|reserves|||
|Interest receivable|||
|Dividend receivable|||
|Other accounts receivable|27,124,647.59|7,224,391.05|
|Financial assets purchased under|||
|agreements to resell|||
|Inventories|230,995,299.91|258,274,457.88|
|Assets held for sale|||
|Non-current assets due within 1 year|||
|Other current assets|||
|Total current assets|1,263,069,767.57|972,877,230.71|
|Non-current assets:|||
|Loans by mandate and advances|||

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||
|-|-|-|
|granted|||
|Available-for-sale financial assets|9,153,782.63||
|Held-to-maturity investments|||
|Long-term accounts receivable|||
|Long-term equity investment||9,153,782.63|
|Investing property|3,974,112.50|4,154,412.50|
|Fixed assets|1,222,118,463.98|1,324,222,385.03|
|Construction in progress|442,673,616.28|234,487,866.23|
|Engineering materials|61,477,937.93|0.00|
|Disposal of fixed assets|||
|Production biological assets|||
|Oil-gas assets|||
|Intangible assets|137,460,030.41|137,371,149.10|
|R&D expense|||
|Goodwill|||
|Long-term deferred expenses|||
|Deferred income tax assets|11,886,236.38|12,619,948.14|
|Other non-current assets|16,384,400.00|13,384,400.00|
|Total of non-current assets|1,905,128,580.11|1,735,393,943.63|
|Total assets|3,168,198,347.68|2,708,271,174.34|
|Current liabilities:|||
|Short-term borrowings|245,000,000.00|359,220,205.55|
|Borrowings from Central Bank|||
|Customer bank deposits and due to|||
|banks and other financial institutions|||
|Intra-group borrowings|||
|Financial liabilities measured at fair|||
|value and of which changes are|||
|recorded into current gains and losses|||
|Notes payable|85,000,000.00|40,000,000.00|
|Accounts payable|210,397,645.96|156,037,973.10|
|Accounts received in advance|41,291,290.18|79,437,442.04|
|Financial assets sold for repurchase|||
|Handling charges and commissions|||
|payable|||

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||
|-|-|-|
|Employee’s compensation payable|24,078,367.92|25,332,986.86|
|Tax payable|118,116,910.37|73,337,138.50|
|Interest payable|||
|Dividend payable|250,000.00|250,000.00|
|Other accounts payable|28,242,974.01|34,544,608.36|
|Reinsurance premiums payable|||
|Insurance contract reserves|||
|Payables for acting trading of|||
|securities|||
|Payables for acting underwriting of|||
|securities|||
|Liabilities held for sale|||
|Non-current liabilities due within 1|||
||7,490,000.00|77,390,000.00|
|year|||
|Other current liabilities|||
|Total current liabilities|759,867,188.44|845,550,354.41|
|Non-current liabilities:|||
|Long-term borrowings|431,590,000.00|296,090,000.00|
|Bonds payable|||
|Long-term payables|650,000.00|650,000.00|
|Specific payables|||
|Estimated liabilities|||
|Deferred income tax liabilities|||
|Other non-current liabilities|24,486,944.45|19,538,888.89|
|Total non-current liabilities|456,726,944.45|316,278,888.89|
|Total liabilities|1,216,594,132.89|1,161,829,243.30|
|Owners’ equity (or shareholders’|||
|equity)|||
|Paid-up capital (or share capital)|593,923,220.00|593,923,220.00|
|Capital reserves|263,184,043.66|263,184,043.66|
|Less: Treasury stock|||
|Specific reserves|22,418,224.49|16,059,288.71|
|Surplus reserves|126,334,248.31|126,334,248.31|
|Provisions for general risks|||
|Retained profits|945,820,864.12|546,688,770.98|

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||
|-|-|-|
|Foreign exchange difference|||
|Total equity attributable to owners of|||
||1,951,680,600.58|1,546,189,571.66|
|the Company|||
|Minority interests|-76,385.79|252,359.38|
|Total owners’ (or shareholders’) equity|1,951,604,214.79|1,546,441,931.04|
|Total liabilities and owners’ (or|||
||3,168,198,347.68|2,708,271,174.34|
|shareholders’) equity|||

Legal representative: Li Zuorong Chief of the accounting work: He Xuesong Chief of the accounting organ: He Xuesong 2. Balance sheet of the Company
Prepared by Hubei Sanonda Co., Ltd.
Unit: RMB Yuan
||||
|-|-|-|
|Item|Closing balance|Opening balance|
|Current Assets:|||
|Monetary funds|480,859,691.65|329,849,120.35|
|Financial assets measured at fair|||
|value and of which changes are|||
|recorded into current gains and losses|||
|Notes receivable|24,251,646.31|41,103,985.15|
|Accounts receivable|512,481,368.10|193,013,915.85|
|Accounts paid in advance|65,841,739.91|42,670,595.78|
|Interest receivable|||
|Dividend receivable|||
|Other accounts receivable|85,049,896.58|144,872,701.27|
|Inventories|221,706,982.33|254,766,534.37|
|Assets held for sale|||
|Non-current assets due within 1 year|||
|Other current assets|||
|Total current assets|1,390,191,324.88|1,006,276,852.77|
|Non-current assets:|||
|Available-for-sale financial assets|9,153,782.63||
|Held-to-maturity investments|||
|Long-term accounts receivable|||
|Long-term equity investment|55,526,635.41|64,680,418.04|
|Investing property|3,974,112.50|4,154,412.50|

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||
|-|-|-|
|Fixed assets|1,060,802,218.04|1,153,224,118.73|
|Construction in progress|442,673,616.28|234,487,866.23|
|Engineering materials|61,477,937.93|0.00|
|Disposal of fixed assets|||
|Production biological assets|||
|Oil-gas assets|||
|Intangible assets|124,652,342.26|125,275,394.07|
|R&D expense|||
|Goodwill|||
|Long-term deferred expenses|||
|Deferred income tax assets|7,743,738.12|7,587,719.43|
|Other non-current assets|16,384,400.00|13,384,400.00|
|Total of non-current assets|1,782,388,783.17|1,602,794,329.00|
|Total assets|3,172,580,108.05|2,609,071,181.77|
|Current liabilities:|||
|Short-term borrowings|245,000,000.00|283,000,000.00|
|Financial liabilities measured at fair|||
|value and of which changes are|||
|recorded into current gains and losses|||
|Notes payable|85,000,000.00|40,000,000.00|
|Accounts payable|205,430,720.45|151,132,431.37|
|Accounts received in advance|17,370,091.20|49,176,997.90|
|Employee’s compensation payable|24,058,965.30|22,813,584.24|
|Tax payable|131,724,297.32|87,016,104.58|
|Interest payable|||
|Dividend payable|250,000.00|250,000.00|
|Other accounts payable|25,458,483.05|33,560,585.60|
|Liabilities held for sale|||
|Non-current liabilities due within 1|||
||7,490,000.00|77,390,000.00|
|year|||
|Other current liabilities|||
|Total current liabilities|741,782,557.32|744,339,703.69|
|Non-current liabilities:|||
|Long-term borrowings|431,590,000.00|296,090,000.00|
|Bonds payable|||

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||
|-|-|-|
|Long-term payables|650,000.00|650,000.00|
|Specific payables|||
|Estimated liabilities|||
|Deferred income tax liabilities|||
|Other non-current liabilities|15,636,944.45|10,688,888.89|
|Total non-current liabilities|447,876,944.45|307,428,888.89|
|Total liabilities|1,189,659,501.77|1,051,768,592.58|
|Owners’ equity (or shareholders’|||
|equity)|||
|Paid-up capital (or share capital)|593,923,220.00|593,923,220.00|
|Capital reserves|263,799,837.18|263,799,837.18|
|Less: Treasury stock|||
|Specific reserves|17,449,112.18|11,090,176.40|
|Surplus reserves|126,334,248.31|126,334,248.31|
|Provisions for general risks|||
|Retained profits|981,414,188.61|562,155,107.30|
|Foreign exchange difference|||
|Total owners’ (or shareholders’) equity|1,982,920,606.28|1,557,302,589.19|
|Total liabilities and owners’ (or|||
||3,172,580,108.05|2,609,071,181.77|
|shareholders’) equity|||

Legal representative: Li Zuorong Chief of the accounting work: He Xuesong Chief of the accounting organ: He Xuesong 3. Consolidated income statement for the reporting period
Prepared by Hubei Sanonda Co., Ltd.
Unit: RMB Yuan
||||
|-|-|-|
|Item|Jul.-Sept. 2014|Jul.-Sept. 2013|
|I. Total operating revenues|866,668,593.25|736,572,680.43|
|Including: Sales income|866,668,593.25|736,572,680.43|
|Interest income|||
|Premium income|||
|Handling charge and|||
|commission income|||
|II. Total operating cost|678,614,652.87|650,956,887.09|
|Including: Cost of sales|614,846,344.50|565,057,007.81|

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||
|-|-|-|
|Interest expenses|||
|Handling charge and|||
|commission expenses|||
|Surrenders|||
|Net claims paid|||
|Net amount withdrawn for the|||
|insurance contract reserve|||
|Expenditure on policy dividends|||
|Reinsurance premium|||
|Taxes and associate charges|3,508,609.11|1,546,251.15|
|Selling and distribution expenses|28,856,077.05|26,449,088.74|
|Administrative expenses|26,461,149.36|40,178,213.03|
|Financial expenses|6,641,273.88|15,677,925.94|
|Asset impairment loss|-1,698,801.03|2,048,400.42|
|Add: Gain/(loss) from change in fair|||
|value (“-” means loss)|||
|Gain/(loss) from investment (“-”|||
||1,716,466.00|2,402,566.32|
|means loss)|||
|Including: share of profits in|||
|||0.00|
|associates and joint ventures|||
|Foreign exchange gains (“-”|||
|||0.00|
|means loss)|||
|III. Business profit (“-” means loss)|189,770,406.38|88,018,359.66|
|Add: non-operating income|1,591,240.16|742,700.40|
|Less: non-operating expense|21,658.98|1,490,132.04|
|Including: loss from non-current|||
|||497,369.80|
|asset disposal|||
|IV. Total profit (“-” means loss)|191,339,987.56|87,270,928.02|
|Less: Income tax expense|51,055,018.81|22,872,992.96|
|V. Net profit (“-” means loss)|140,284,968.75|64,397,935.06|
|Including: Net profit achieved by|||
|combined parties before the||0.00|
|combinations|||
|Attributable to owners of the|||
||140,421,657.01|64,416,621.78|
|Company|||
|Minority shareholders’ income|-136,688.26|-18,686.72|

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||
|-|-|-|
|VI. Earnings per share|--|--|
|(I) Basic earnings per share|0.2364|0.1085|
|(II) Diluted earnings per share|0.2364|0.1085|
|Ⅶ. Other comprehensive incomes||0.00|
|Including: Other comprehensive|||
|incomes items that cannot be|||
|||0.00|
|reclassified as gains and losses in the|||
|subsequent accounting periods|||
|Other comprehensive incomes items|||
|that will be reclassified as gains and|||
|losses in the subsequent accounting||0.00|
|periods as relevant requirements are|||
|met|||
|Ⅷ. Total comprehensive incomes|140,284,968.75|64,397,935.06|
|Attributable to owners of the|||
||140,421,657.01|64,416,621.78|
|Company|||
|Attributable to minority shareholders|-136,688.26|-18,686.72|

 Legal representative: Li Zuorong Chief of the accounting work: He Xuesong Chief of the accounting organ: He Xuesong 4. Income statement of the Company for the reporting period
Prepared by Hubei Sanonda Co., Ltd.
Unit: RMB Yuan
||||
|-|-|-|
|Item|Jul.-Sept. 2014|Jul.-Sept. 2013|
|I. Total sales|873,392,079.74|706,783,092.24|
|Less: cost of sales|620,782,114.02|540,539,808.98|
|Business taxes and surcharges|3,459,377.90|1,457,957.43|
|Distribution expenses|26,883,038.92|23,714,418.36|
|Administrative expenses|23,723,085.93|35,514,238.50|
|Financial costs|6,524,217.73|15,498,205.46|
|Impairment loss|2,048,131.71|1,714,541.86|
|Add: gain/(loss) from change in fair|||
||0.00|0.00|
|value (“-” means loss)|||
|Gain/(loss) from investment (“-”|||
||1,716,466.00|4,574,977.62|
|means loss)|||
|Including: income form investment|||
||0.00|0.00|
|on associates and joint ventures|||

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||
|-|-|-|
|II. Business profit (“-” means loss)|191,688,579.53|92,918,899.27|
|Add: non-business income|1,590,398.98|742,700.40|
|Less: non-business expense|21,658.98|1,077,139.02|
|Including: loss from non-current|||
||0.00|88,241.32|
|asset disposal|||
|III. Total profit (“-” means loss)|193,257,319.53|92,584,460.65|
|Less: income tax expense|49,260,810.36|22,698,685.99|
|IV. Net profit (“-” means loss)|143,996,509.17|69,885,774.66|
|V. Earnings per share|--|--|
|(I) Basic earnings per share|||
|(II) Diluted earnings per share|||
|VI. Other comprehensive income|||
|Including: Other comprehensive|||
|incomes items that cannot be|||
|reclassified as gains and losses in the|||
|subsequent accounting periods|||
|Other comprehensive incomes items|||
|that will be reclassified as gains and|||
|losses in the subsequent accounting|||
|periods as relevant requirements are|||
|met|||
|VII. Total comprehensive income|143,996,509.17|69,885,774.66|

 Legal representative: Li Zuorong Chief of the accounting work: He Xuesong Chief of the accounting organ: He Xuesong 5. Consolidated income statement for Jan.-Sept. 2014
Prepared by Hubei Sanonda Co., Ltd.
Unit: RMB Yuan
||||
|-|-|-|
|Item|Jan.-Sept. 2014|Jan.-Sept. 2013|
|I. Total operating revenues|2,566,950,017.93|2,256,260,997.65|
|Including: Sales income|2,566,950,017.93|2,256,260,997.65|
|Interest income|||
|Premium income|||
|Handling charge and commission|||
|income|||
|II. Total operating cost|1,986,861,585.14|2,000,685,942.77|
|Including: Cost of sales|1,791,336,118.38|1,775,928,846.79|

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||
|-|-|-|
|Interest expenses|||
|Handling charge and commission|||
|expenses|||
|Surrenders|||
|Net claims paid|||
|Net amount withdrawn for the|||
|insurance contract reserve|||
|Expenditure on policy dividends|||
|Reinsurance premium|||
|Taxes and associate charges|7,129,842.54|2,602,233.84|
|Selling and distribution expenses|72,052,618.87|72,024,500.77|
|Administrative expenses|82,955,634.78|86,904,916.39|
|Financial expenses|23,893,206.76|55,889,480.92|
|Asset impairment loss|9,494,163.81|7,335,964.06|
|Add: Gain/(loss) from change in fair|||
|value (“-” means loss)|||
|Gain/(loss) from investment (“-”|||
||1,716,466.00|4,656,748.75|
|means loss)|||
|Including: share of profits in|||
|associates and joint ventures|||
|Foreign exchange gains (“-” means|||
|loss)|||
|III. Business profit (“-” means loss)|581,804,898.79|260,231,803.63|
|Add: non-operating income|3,039,644.14|1,974,451.97|
|Less: non-operating expense|300,547.56|4,287,341.76|
|Including: loss from non-current|||
|||1,111,736.52|
|asset disposal|||
|IV. Total profit (“-” means loss)|584,543,995.37|257,918,913.84|
|Less: Income tax expense|156,044,486.40|66,843,992.01|
|V. Net profit (“-” means loss)|428,499,508.97|191,074,921.83|
|Including: Net profit achieved by|||
|combined parties before the|||
|combinations|||
|Attributable to owners of the|||
||428,828,254.14|191,887,146.03|
|Company|||
|Minority shareholders’ income|-328,745.17|-812,224.20|

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||
|-|-|-|
|VI. Earnings per share|--|--|
|(I) Basic earnings per share|0.7220|0.3231|
|(II) Diluted earnings per share|0.7220|0.3231|
|Ⅶ. Other comprehensive incomes|||
|Including: Other comprehensive|||
|incomes items that cannot be|||
|reclassified as gains and losses in the|||
|subsequent accounting periods|||
|Other comprehensive incomes items|||
|that will be reclassified as gains and|||
|losses in the subsequent accounting|||
|periods as relevant requirements are|||
|met|||
|Ⅷ. Total comprehensive incomes|428,499,508.97|191,074,921.83|
|Attributable to owners of the|||
||428,828,254.14|191,887,146.03|
|Company|||
|Attributable to minority shareholders|-328,745.17|-812,224.20|

 Legal representative: Li Zuorong Chief of the accounting work: He Xuesong Chief of the accounting organ: He Xuesong 6. Income statement of the Company for Jan.-Sept. 2014
Prepared by Hubei Sanonda Co., Ltd.
Unit: RMB Yuan
||||
|-|-|-|
|Item|Jan.-Sept. 2014|Jan.-Sept. 2013|
|I. Total sales|2,560,157,966.36|2,203,347,880.21|
|Less: cost of sales|1,792,580,063.10|1,744,838,783.58|
|Business taxes and surcharges|6,970,529.96|2,210,472.44|
|Distribution expenses|67,879,729.85|62,898,917.22|
|Administrative expenses|66,871,693.03|70,677,458.98|
|Financial costs|23,666,913.20|54,840,544.73|
|Impairment loss|5,118,661.69|3,642,835.26|
|Add: gain/(loss) from change in fair|||
|value (“-” means loss)|||
|Gain/(loss) from investment (“-”|||
||1,716,466.00|7,479,160.05|
|means loss)|||
|Including: income form investment|||
|on associates and joint ventures|||

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||
|-|-|-|
|II. Business profit (“-” means loss)|598,786,841.53|271,718,028.05|
|Add: non-business income|3,037,538.48|1,375,362.73|
|Less: non-business expense|264,267.56|3,212,967.76|
|Including: loss from non-current|||
|||260,717.87|
|asset disposal|||
|III. Total profit (“-” means loss)|601,560,112.45|269,880,423.02|
|Less: income tax expense|152,604,870.14|66,376,126.84|
|IV. Net profit (“-” means loss)|448,955,242.31|203,504,296.18|
|V. Earnings per share|--|--|
|(I) Basic earnings per share|||
|(II) Diluted earnings per share|||
|VI. Other comprehensive income|||
|Including: Other comprehensive|||
|incomes items that cannot be|||
|reclassified as gains and losses in the|||
|subsequent accounting periods|||
|Other comprehensive incomes items|||
|that will be reclassified as gains and|||
|losses in the subsequent accounting|||
|periods as relevant requirements are|||
|met|||
|VII. Total comprehensive income|448,955,242.31|203,504,296.18|

 Legal representative: Li Zuorong Chief of the accounting work: He Xuesong Chief of the accounting organ: He Xuesong 7. Consolidated cash flow statement for Jan.-Sept. 2014
Prepared by Hubei Sanonda Co., Ltd.
Unit: RMB Yuan
||||
|-|-|-|
|Item|Jan.-Sept. 2014|Jan.-Sept. 2013|
|I. Cash flows from operating activities:|||
|Cash received from sale of|||
||2,226,317,764.36|1,913,594,741.51|
|commodities and rendering of service|||
|Net increase of deposits from|||
|customers and dues from banks|||
|Net increase of loans from the central|||
|bank|||
|Net increase of funds borrowed from|||

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||
|-|-|-|
|other financial institutions|||
|Cash received from premium of|||
|original insurance contracts|||
|Net cash received from reinsurance|||
|business|||
|Net increase of deposits of policy|||
|holders and investment fund|||
|Net increase of disposal of tradable|||
|financial assets|||
|Cash received from interest, handling|||
|charges and commissions|||
|Net increase of intra-group|||
|borrowings|||
|Net increase of funds in repurchase|||
|business|||
|Tax refunds received|4,383,350.82|44,321,349.09|
|Other cash received relating to|||
||18,048,571.71|29,222,064.23|
|operating activities|||
|Subtotal of cash inflows from operating|||
||2,248,749,686.89|1,987,138,154.83|
|activities|||
|Cash paid for goods and services|1,267,702,207.71|1,152,453,474.46|
|Net increase of customer lendings|||
|and advances|||
|Net increase of funds deposited in the|||
|central bank and amount due from|||
|banks|||
|Cash for paying claims of the original|||
|insurance contracts|||
|Cash for paying interest, handling|||
|charges and commissions|||
|Cash for paying policy dividends|||
|Cash paid to and for employees|145,782,618.04|98,299,479.96|
|Various taxes paid|165,110,099.99|69,484,931.61|
|Other cash payment relating to|||
||78,065,050.39|82,901,611.00|
|operating activities|||
|Subtotal of cash outflows from|||
||1,656,659,976.13|1,403,139,497.03|
|operating activities|||
|Net cash flows from operating activities|592,089,710.76|583,998,657.80|

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||
|-|-|-|
|II. Cash flows from investing activities:|||
|Cash received from withdrawal of|||
|investments|||
|Cash received from return on|||
||1,716,466.00|4,062,224.59|
|investments|||
|Net cash received from disposal of|||
|fixed assets, intangible assets and other|1,350.00|248,934.00|
|long-term assets|||
|Net cash received from disposal of|||
|||3,581,762.75|
|subsidiaries or other business units|||
|Other cash received relating to|||
|investing activities|||
|Subtotal of cash inflows from investing|||
||1,717,816.00|7,892,921.34|
|activities|||
|Cash paid to acquire fixed assets,|||
|intangible assets and other long-term|321,184,393.66|209,143,279.84|
|assets|||
|Cash paid for investment|||
|Net increase of pledged loans|||
|Net cash paid to acquire subsidiaries|||
|and other business units|||
|Other cash payments relating to|||
|investing activities|||
|Subtotal of cash outflows from|||
||321,184,393.66|209,143,279.84|
|investing activities|||
|Net cash flows from investing activities|-319,466,577.66|-201,250,358.50|
|III. Cash Flows from Financing|||
|Activities:|||
|Cash received from capital|||
|contributions|||
|Including: Cash received from|||
|minority shareholder investments by|||
|subsidiaries|||
|Cash received from borrowings|454,659,359.80|1,099,579,666.32|
|Cash received from issuance of|||
|bonds|||
|Other cash received relating to|||
|financing activities|||

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||
|-|-|-|
|Subtotal of cash inflows from financing|||
||454,659,359.80|1,099,579,666.32|
|activities|||
|Repayment of borrowings|503,279,565.35|1,048,510,703.29|
|Cash paid for interest expenses and|||
||69,033,958.44|72,292,686.21|
|distribution of dividends or profit|||
|Including: dividends or profit paid|||
|||350,000.00|
|by subsidiaries to minority shareholders|||
|Other cash payments relating to|||
||20,070,000.00|26,087,079.11|
|financing activities|||
|Sub-total of cash outflows from|||
||592,383,523.79|1,146,890,468.61|
|financing activities|||
|Net cash flows from financing activities|-137,724,163.99|-47,310,802.29|
|IV. Effect of foreign exchange rate|||
||558,444.13|-1,022,847.09|
|changes on cash and cash equivalents|||
|V. Net increase in cash and cash|||
||135,457,413.24|334,414,649.92|
|equivalents|||
|Add: Opening balance of cash and|||
||410,065,921.21|175,181,365.77|
|cash equivalents|||
|VI. Closing balance of cash and cash|||
||545,523,334.45|509,596,015.69|
|equivalents|||

Legal representative: Li Zuorong Chief of the accounting work: He Xuesong Chief of the accounting organ: He Xuesong 8. Cash flow statement of the Company for Jan.-Sept. 2014
Prepared by Hubei Sanonda Co., Ltd.
Unit: RMB Yuan
||||
|-|-|-|
|Item|Jan.-Sept. 2014|Jan.-Sept. 2013|
|I. Cash flows from operating activities:|||
|Cash received from sale of|||
||2,061,575,013.29|1,868,882,855.18|
|commodities and rendering of service|||
|Tax refunds received|1,101,773.34|32,620,291.11|
|Other cash received relating to|||
||18,225,286.03|18,758,181.28|
|operating activities|||
|Subtotal of cash inflows from operating|||
||2,080,902,072.66|1,920,261,327.57|
|activities|||
|Cash paid for goods and services|1,230,292,169.21|1,136,426,024.17|
|Cash paid to and for employees|136,861,327.85|86,518,399.30|

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||
|-|-|-|
|Various taxes paid|163,353,984.40|63,520,924.24|
|Other cash payment relating to|||
||40,824,428.17|77,134,629.86|
|operating activities|||
|Subtotal of cash outflows from|||
||1,571,331,909.63|1,363,599,977.57|
|operating activities|||
|Net cash flows from operating activities|509,570,163.03|556,661,350.00|
|II. Cash flows from investing activities:|||
|Cash received from retraction of|||
|investments|||
|Cash received from return on|||
||1,716,466.00|4,062,224.59|
|investments|||
|Net cash received from disposal of|||
|fixed assets, intangible assets and other|1,350.00|248,934.00|
|long-term assets|||
|Net cash received from disposal of|||
|||21,287,258.78|
|subsidiaries or other business units|||
|Other cash received relating to|||
|investing activities|||
|Subtotal of cash inflows from investing|||
||1,717,816.00|25,598,417.37|
|activities|||
|Cash paid to acquire fixed assets,|||
|intangible assets and other long-term|317,158,489.66|206,332,355.45|
|assets|||
|Cash paid for investment||5,906,730.00|
|Net cash paid to acquire subsidiaries|||
|and other business units|||
|Other cash payments relating to|||
|investing activities|||
|Subtotal of cash outflows from|||
||317,158,489.66|212,239,085.45|
|investing activities|||
|Net cash flows from investing activities|-315,440,673.66|-186,640,668.08|
|III. Cash Flows from Financing|||
|Activities:|||
|Cash received from capital|||
|contributions|||
|Cash received from borrowings|386,000,000.00|794,590,000.00|
|Cash received from issuance of|||
|bonds|||

Report for the Third Quarter of 2014 of Hubei Sanonda Co., Ltd.
||||
|-|-|-|
|Other cash received relating to|||
|financing activities|||
|Subtotal of cash inflows from financing|||
||386,000,000.00|794,590,000.00|
|activities|||
|Repayment of borrowings|358,400,000.00|802,310,000.00|
|Cash paid for interest expenses and|||
||69,033,958.44|68,758,770.68|
|distribution of dividends or profit|||
|Other cash payments relating to|||
||20,070,000.00|18,880,000.00|
|financing activities|||
|Sub-total of cash outflows from|||
||447,503,958.44|889,948,770.68|
|financing activities|||
|Net cash flows from financing activities|-61,503,958.44|-95,358,770.68|
|IV. Effect of foreign exchange rate|||
||-114,959.63|-45,549.93|
|changes on cash and cash equivalents|||
|V. Net increase in cash and cash|||
||132,510,571.30|274,616,361.31|
|equivalents|||
|Add: Opening balance of cash and|||
||325,849,120.35|149,485,252.01|
|cash equivalents|||
|VI. Closing balance of cash and cash|||
||458,359,691.65|424,101,613.32|
|equivalents|||

Legal representative: Li Zuorong Chief of the accounting work: He Xuesong Chief of the accounting organ: He Xuesong II. Audit report
Is this report audited?
□ Yes√ No
This report is not audited.
HUBEI SANONDA CO., LTD.
Legal representative: Li Zuorong
20 Oct. 2014