Sino Great Wall Co., Ltd. The Semi-annual Report 2016 Sino Great Wall Co., Ltd.
The Semi-annual Report 2016
August 2016
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 I. Important Notice, Table of Contents and Definitions
The Board of Directors and the directors, Supervisory Committee and supervisors and Senior Executives of the Company hereby warrant that at the year , there are no misstatement, misleading representation or important omissions in this report and shall assume joint and several liability for the authenticity, accuracy and completeness of the contents hereof.
All the directors attended the board meeting for reviewing the Semi-Annual Report.
The Company has no plan of cash dividends carried out, bonus issued and capitalizing of common reserves either. Mr.Chen Lve , The Company leader, Mr. Cui Hongli, Chief financial officer and the Mr. Cui Hongli, the person in charge of the accounting department (the person in charge of the accounting )hereby confirm the authenticity and completeness of the financial report enclosed in this semi-annual report.
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 Table of Contents
Semi-Annual Report 2016
I.Important Notice, Table of contents and Definitions
II. Basic Information of the Company
III. Summary of Accounting Data and Financial Indicators
IV. Report of the Board of Directors
V. Important Events
VI. Change of share capital and shareholding of Principal Shareholders
VII. Situation of the Preferred Shares
VIII.Information about Directors, Supervisors and Senior Executives
IX. Financial Report
X. Documents available for inspection
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 Definition
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||Refers||
|Terms to be defined||Definition|
||to||
||Refers||
|Company Law||Company Law of the People’s Republic of China|
||to||
||Refers||
|Securities Law||Securities Law of the People’s Republic of China|
||to||
||Refers||
|“CSRC”||China Securities Regulatory Commission|
||to||
||Refers||
|Company,The Company, Sino Great Wall||Sino Great Wall Co., Ltd.|
||to||
||Refers||
|Sino International||Sino Great Wall International Engineering Co., Ltd.|
||to||
||Refers||
|BDO||BDO China Shu Lun Pan Certified Public Accountants LLP|
||to||
||Refers||
|SZSE||Shenzhen Stock Exchange|
||to||
||Refers||
|Reporting period||January 1,2016 to June 30,2016|
||to||
||Refers||
|Wuhan Commercial & Vocational Hospital||Wuhan Commercial & Vocational Hospital Co.,Ltd|
||to||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016 II. Basic Information of the Company
I．Company Information
|||||
|-|-|-|-|
|Stock abbreviation:|Sino Great Wall Sino-B|Stock code：|000018 200018|
|Stock exchange for listing|Shenzhen Stock Exchange|||
|Name in Chinese|神州长城股份有限公司|||
|Chinese Abbreviation|神州长城 神州B|||
|English name (If any)|Sino Great Wall Co., Ltd.|||
|English Abbreviation (If any)|Sino Great Wall Sino-B|||
|Legal Representative|Chen Lve|||

II. Contact person and contact manner
||||
|-|-|-|
||Board secretary|Securities affairs Representative|
|Name|Yang Chunling|Liu Guofa|
|||Sino Great Wall Building, No.3 Jinxiu|
||Sino Great Wall Building, No.3 Jinxiu Street,Economic||
|Contact address||Street,Economic Technology Development Zone ,|
||Technology Development Zone , Beijing||
|||Beijing|
|Tel|010-89045855|010-89045855|
|Fax|010-89045856|010-89045856|
|E-mail|1208806865@qq.com|000018sz@sina.com|

3.Other
(1)Way to contact the Company
Whether registrations address, offices address and codes as well as website and email of the Company changed in reporting period or not
□ Applicable□√ Not Applicable
The registered address, office address and their postal codes, website address and email address of the Company did not change during the reporting period. The said information can be found in the 2015 Annual Report.（2）About information disclosure and where this report is placed
Did any change occur to information disclosure media and where this report is placed during the reporting period?□ Applicable√ Not applicable
The newspapers designated by the Company for information disclosure, the website designated by CSRC for disclosing this report and the location where this report is placed did not change during the reporting period. The said information can be found in the 2015 Annual Report.
（3）Registration changes of the Company
Whether registration has changed in reporting period or not
□ Applicable√ Not applicable
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 Date/place for registration of the Company, registration nmber for enterprise legal license number of taxation registration and organization code have no change in reporting period, found more details in annual report 2015. III. Summary of Accounting Data and Financial Indicators
1.Summary of accounting /Financial Data
May the Company make retroactive adjustment or restatement of the accounting data of the previous years due to change of the accounting policy and correction of accounting errors.
□Yes√No
|||||
|-|-|-|-|
||Reporting period|Same period of last year|YoY+/-（%）|
|Operating income（RMB）|1,953,574,755.51|2,081,209,219.16|-6.13%|
|Net profit attributable to the shareholders|202,299,416.64|165,342,341.12||
||||22.35%|
|of the listed company（RMB）||||
|Net profit after deducting of non-recurring||||
|gain/loss attributable to the shareholders of|175,937,165.15|165,020,064.04|6.62%|
|listed company（RMB）||||
|Cash flow generated by business operation,|-1,256,615,959.20|-243,795,872.83||
||||415.44%|
|net（RMB）||||
|Basic earning per share(RMB/Share)|0.12|0.10|20.00%|
|Diluted gains per|0.12|0.10||
||||20.00%|
|share(RMB/Share)(RMB/Share)||||
|Weighted average ROE(%)|14.47%|12.84%|1.63%|
||As at the end of the|||
|||As at the end of last year|YoY+/-（%）|
||reporting period|||
|Gross assets (RMB)|5,781,742,089.91|4,017,462,824.63|43.92%|
|Shareholders’ equity attributable to|1,514,525,228.17|1,282,256,738.74||
||||18.11%|
|shareholders of the listed company（RMB）||||

II. Differences between accounting data under domestic and overseas accounting standards
1. Differences of net profit and net assets disclosed in financial reports prepared under international and Chinese accounting standards.
□ Applicable√Not applicable
No difference.
2. Differences of net profit and net assets disclosed in financial reports prepared under overseas and Chinese accounting standards.
□ Applicable√Not applicable
No difference .
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 III.Items and amount of non-current gains and losses
√Applicable□Not applicable
In RMB
||||
|-|-|-|
|Items|Amount|Notes|
|Except the effective hedge business related to the normal|46,868.49|Proceeds from the sales of bankfinancial products|
|operation business of the Company, the profit and loss in the|||
|changes of fair values caused by the holding of tradable financial|||
|assets and tradable financial liabilities as well as the investment|||
|returns in disposal of tradable financial assets, tradable financial|||
|liabilities and saleable financial assets|||
||26,315,383.00|According to the Land Transfer(Expropriation) CompensationAgreement of Shenzhen DapengNew District People's HospitalConstruction Project, thecompensation shall be made forthe expropriation of the land andon-ground buildings in Kuixincommunity which belongs to thecompany’s Kuiyong branchlocated in Shenzhen Dapeng Newdistrict.|
|Other non-operating income and expenditure except for the|||
|aforementioned items|||
|Total|26,362,251.49|--|

For theCompany’s non-recurring gain/loss items as defined in the Explanatory Announcement No.1 on information disclosure for Compaines Offering their Securities to the Public-Non-recurring Gains and Losses and its non-recurring gain/loss items as illustrated in the Explanatory Announcement No.1 on information Disclosure for Companies offering their securities to the public-non-recurring Gains and losses which have been defined as recurring gains and losses, it is necessary to explain the reason.
□ Applicable√ Not applicable
None of Non-recurring gain /loss items recorgnized as recurring gain /loss/itesm as defined by the information disclosure explanatory Announcement No.1- Non–recurring gain/loss in the report period.
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 IV. Report of the Board of Directors
I. General
Since 2015, SGW Co., LTD has shorten the interior fitting business in China , extensively developed the ove rseas EPC projects and investment opportunity, and strengthen the Medical Care and PPP investment. Affected b y the slowdown in the domestic construction market and so forth factors, thecompany’s domestic decoration busi ness had got a slowdown in a certain extent, gross profit margin is low. As for the company's overseas business d evelopment, , SGW successively signed a major construction contracts in southeast Asia and Africa, other countri es and regions. SGW signed a memorandum of understanding about Ethiopia medical industrial park with China's transportation construction Co.,Ltd. International engineering branch. The overseas business has kept good growth rate, overseas revenue grew by103.64% year on year, which covers the rateof74.62% of total revenue of SGW Co., LTD.
For the Medical Care, SGW Co., LTD has acquired Wuhan Commercial& Vocational Hospital Co.,Ltd (here inafter referred to as "Wuhan Commercial& Vocational Hospital ") . Moreover, SGW invested the PPP Project of the first Phase of Lu YI Xian Ren Ming Hospital Removal and Construction Works. SGW Co., Ltd won the bid o f Guizhou Zhong Shan Liang DU Hong Qiao Third-Grade Class-A Hospital Project. And the medical care invest ment and PPP project have a very good beginning.
To look forward, based on the analysis to the Construction Market of domestic and Abroad and current state and future development prospect, SGW Co., Ltd will go on strengthening the EPC Contracting and investment alo ng the “ One Road, One Belt” Countries, enhance the investment of Medical Care and PPP business to keep the ra pid growth of current business. Besides, in order to secure the stable growth of domestic business, the Company w ill actively respond to the Government Policy, Seize the development opportunity , where Chinese Government an d Social Capital work together, fully develop the PPP investment and construction opportunity. SGW Co. Ltd wi ll improve its business scope and profitability so as to lay a solid foundation for the everlasting development. During the reporting period, the company realized the total revenue of RMB 1953.5748 million, a decrease of6.13% compared to the same period of last year; realized the operating profits of RMB 213.0631 million, a decrease of5.79% compared to the same period of last year; realized the net profits attributable to shareholders of the listed company of RMB 202.2994 million, an increase of22.35% compared to the same period of last year. II. Analysis on principal Business
Year-on-year changes in major financial statistics
In RMB
||||||
|-|-|-|-|-|
||||YOY||
||This report period|Same period last year||Cause change|
||||change（%）||
|Operating income|1,953,574,755.51|2,081,209,219.16|||
||||-6.13%|。|
|Operating cost|1,460,727,131.33|1,690,684,183.21|-13.60%||
|Sale expenses|9,259,264.24|7,502,905.30|23.41%||
||112,993,754.29|64,838,318.67||Mainly due to the setting-up of overseas|
|||||group company and overseas regional|
|Administrative expenses|||74.27%||
|||||companies in the second half year of 2015.|
|||||Due to the increase of overseas|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||
|-|-|-|-|-|
|||||management personnel in the current|
|||||reporting period compared to the previous|
|||||period.|
||70,024,674.60|17,908,021.84||Due to the increase of borrowing from|
|Financial expenses|||291.02%||
|||||financial institutions in the current period|
||37,862,759.83|61,167,289.27||Due to the change of income tax rate of the|
|Income taqx expenses|||-38.10%||
|||||company’s subsidiary|
|R&D investment|64,858,681.88|64,725,606.72|0.21%||
||-1,256,615,959.20|-243,795,872.83||Due to the project cash deposit as|
|||||collateral and expenditure of advanced|
|Net cash flows from|||||
||||415.44%|payment increased largely as the overseas|
|operating activities|||||
|||||business increased rapidly in the current|
|||||period|
||-100,287,677.86|-16,471,509.45||Due to the payable of Wuhan Commercial|
|Net cash flows from|||||
||||508.86%|& Vocational Hospital Co.,Ltd in the|
|investing activities|||||
|||||current period.|
|Net cash flows from|1,383,660,404.96|177,769,654.93||Due to the borrowing from bank increased|
||||678.34%||
|financing activities||||in the current period|
|Net increase in cash and|28,377,720.07|-82,539,347.92|||
||||-134.38%||
|cash equivalents|||||

Major changes in profit composition or cources during the report period
□ Applicable√ Not applicable
The profit composition or sources of the Company have remained largely unchanged during the report period. Delay of future development and plan disclosed inCompany’s IPO prospectus, fund raising prospectus and capital reorganization report into this reportperiod.\
□ Applicable√ Not applicable
No future development and plan disclosed inCompany’s IPO prospectus, fund raising prospectus and capital reorganization report into this report period.
Implementation of business plans disclosed in previous periods in this period.
In view of the international and domestic economic situation, the company formulated the business plan of "strengthening the domestic decoration main business, expanding overseas construction market and promoting the layout in the health-care industry to ensure steady growth of business performance". During the reporting period, the company's overseas business maintained good growth, in the first half of the complete overseas business income is 1.458 billion RMB, the new signing and the winning project engineering 7.6 billion RMB; Company steadily promoting health investment, acquisition of Wuhan Commercial and Vocational Hospital, hospital PPP projects fall to the ground, one after another good operating plan execution.
III. Composition of principal businesses
In RMB
|||||||
|-|-|-|-|-|-|
|||||Increase/decrease|Increase/decrease|
||||Increase/decreaseof reverse in thesame period ofthe previousyear(%)|||
|||||of principal|of gross profit|
|Operating||Gross profit||business cost over|rate over the|
||operating costs|||||
|revenue||rate(%)||the same period|same period of|
|||||of previous year|the previous year|
|||||(%)|(%)|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||||
|-|-|-|-|-|-|-|
|Industry|||||||
|Decoration works|514,581,944.96|430,177,995.85|16.40%|-63.02%|-63.21%|0.42%|
|Engineering|||||||
||61,377.29|989,075.00|65.43%|-44.58%|-68.76%|26.76%|
|design|||||||
|EPC|1,430,818,506.77|1,029,560,060.48|28.04%|113.63%|102.36%|4.01%|
|Product|||||||
|None|||||||
|Area|||||||
|Domestic|495,748,253.47|409,999,729.35|17.30%|-63.69%|-64.17%|1.11%|
|Overseas|1,457,710,561.70|1,050,727,401.98|27.92%|103.64%|92.34%|4.23%|

 IV. Analysis on Assets and Liabiliti
Great Wall Co., Ltd., an comprehensive building operation enterprise, specializes in designing and constructing for the building decoration engineering as well as relevant engineering operation. TheCompany’s building operation business mainly includes overseas engineering contract and domestic engineering decoration, electromechanics installment and curtain wall design and operation. In recent years, with the larger strength in extending theCompany’s overseas market, the increasing quantity and scale of overseas project and the strong growth in overseas business, theCompany’s competitive advantages are mainly reflected as the following aspects: 1. Service advantages of integration
The Company owns Grade A qualification of specific building decoration engineering and design, Grade I qualification to professionally contract the building decoration engineering, Grade I qualification to professionally contract electromechanic installment engineering and Grade I qualification to professionally contract the curtain wall installment engineering. Meanwhile, the Company owns the qualification to operate the external engineering contract. The complete design and operation qualification owned by the Company enable itself to provide the clients with the integration service of the whole industrial-chain operation and design in decoration, electromechanics installment and curtain wall. The Company has experienced in operation and ability on project management with the whole industrial-chain integration services, such as project design, civil engineering, electromechanics, refined decoration and the fire safety of curtain wall, where the Company can independently complete the whole process of operation business for the building engineering project. In the area of building engineering, the Company can form a joint-force advantage, reasonably arrange purchase, labor and the operation plan for projects, optimizing the progress of project, effectively shorten the project time limit, decreasing the overall cost of the project and realizing the maximum in the project profit.
2. Preemptive advantages and brand effect of overseas business
Judging from the international and domestic economic situations and the construction market, the company assessed the situation ahead of others and made the layout of the overseas market, to form marketing team for overseas construction business in advance, cultivate abilities of project management training and business negotiation, and accumulate experience in the construction project. Familiar with the political and economic environment in overseas markets, the construction market environment and labor market and labor regulations, the company can make reasonable estimates about construction projects, effectively control construction projects and
win customers' acceptance by offering the engineering of perfect quality. With winning the bid and completion of
local landmarks, the company's visibility and influence in countries of the Middle East, Southeast Asia has been
increasing promoted establishing a good corporate image and brand image.
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 3. Advantages of talented personnel
Talent competition is the core part of enterprise competition, as talents are the most valuable asset of enterprises. In order to ensure the stability of the company's personnel, various effective measures has be carried out, including continuing to introduce talents, mobilizing and inspiring the enthusiasm and creativity of employees work, sharing incentives for business growth with employees, and giving part of the company directors, supervisors and senior management personnel and business backbones the privileged rights to purchase non-public shares. In this way, listed companies and employees share a mutual benefits, and their subjective initiative would be inspired, promoting the company's rapid development of overseas and domestic business TheCompany’s core business management team, experienced in operating and skillfully marketing, is of high quality and capability, like management capability, leaving good support for development of the company in future. 4.Distribution Advantage of Healthcare Industry
The Company mainly adopts the model of PPP.With the correlated approach of Construction plus Healthcare, the Company purchases or co-operates the current hospital and invests to build new hospitals as well as other healthcare projects. Since 2015, the Company has taken healthcare industry as another key point for the future development, and the Company has purchased Commercial Employees Hospital of Wuhan,and has invested in relocation project period I ofPeople’s Hospital of Luyi as well as winning the bidding of the project of Guizhou Zhongshan Liangdu Hongqiao Top Three Hospital, where distribution goes well in healthcare industry.
V. Analysis on investment Status
1. External Equity investment
（1）External investment
√Applicable□Not applicable
||||
|-|-|-|
|External investment|||
|Investment amount (January-June|||
||Investment Amount (January-June 2015)（RMB）|Change rate(%)|
|2016)(RMB)|||
|9,700.00|0.00|100.00%|
|Particulars of investees|||
|||Proportion in the|
|Name|Principal business||
|||investees’ equity(%)|
||Preventive health care section, internal medicine, surgery,||
||obstetrics and gynecology, pediatrics, ophthalmology,||
||otolaryngology, department of stomatology, department of||
||dermatology, infection disease department, oncology,||
||department of anesthesiology, medical laboratory, department of||
|Wuhan Commercial & Vocational|||
||pathology, medical imaging department, department of|100.00%|
|Hospital Co.,Ltd|||
||traditional Chinese medicine, integrated traditional Chinese||
||medicine and Western Medicine, hemodialysis room. (The||
||business scope and the operating period complied with the||
||business scope and the operating period of the approved license).||
||(Items subject to the approval by laws shall be carried out after||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||
|-|
|the approval by the relevant departments)|

（2）Holding of the equipty in financial enterprises
□ Applicable√ Not applicable
There was no Holding of the equipty in financial enterprises.
（3）Securities investment
□ Applicable√ Not applicable
There was no investment in securities by the Company in the Reporting period.
（4）Explanation on Holding Equity in Other Listed Companies
□Applicable√ Not applicable
There was no holding equity in other listed companies in the reporting period.
II.Information nof trust management, derivative investment and entrusted loan
（1）Trust management
□ Applicable√Not applicable
There was no trust management of the Company in the Reporting period.
（2）Derivative investment
□Applicable√ Not applicable
There was no derivative investment of the Company in the reporting period.
（3）Entrusted loan
□Applicable√ Not applicable
There was no entrusted loan of the Company in the reporting period.
III.Application of the Raised funds
√ Applicable□ Not applicable
（1）General application of the raised funds
√ Applicable□ Not applicable
InRMB’0000
|||
|-|-|
|Total amount of the raised capital|25,500|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||
|-|-|
|Total raised capital invested in the report period|3,366.36|
|Total accumulative raised capital invested|4,966.36|
|Amount of raised capital of which the purpose was changed in the||
||0|
|report period||
|Accumulative amount of raised capital of which the purpose has been||
||0|
|changed||
|Proportion of raised capital of which the purpose has been changed||
||0.00%|
|(%)||
|Notes to use of raised capital||
|As of June 30, 2016, the accumulative use of the raised funds by the company was RMB 49,663,565.80, and for the reporting||
|period, the amount of RMB 33,663,565.80 of raised funds was used. As of the end of the reporting period, the company invested a||
|total of RMB 32,265,103.15 to the overseas marketing network construction project, the amount of RMB 276,000 was invested for||
|the second phase construction of the informationalization project, the transaction related taxes and fees and intermediary fees were||
|RMB 17,122,462.65, the balance of the raised funds that have not been used was RMB 205,336,422.92; besides, there was RMB||
|150,000,000 of idle raised funds temporarily used for supplementing the company’s liquidity, the interest income of the special||
|account for raised funds was RMB 348,438.57, the handling charge of the special account for raised funds was RMB 639.26 and||
|the actual balance of the special account for raised funds was RMB55,684,222.23.||

（2）Promised projects of raised capital
√ Applicable□ Not applicable
InRMB’0000
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||||||||Date||||
||||||Accumul|Investme|||||
||||||||when the||||
|||Total|||ated|nt||||Has any|
||Project||Total|Amount|||project|Benefit|||
|||raised|||amount|progress|||Has the|material|
||changed(i||investme|inested in|||has|realized|||
|Committed investment||capital|||invested|ended the|||predicted|change|
||ncluding||nt after|the|||reached|in the|||
|projects and investment||invested|||at the end|reporting|||result be|taken|
||partial||adjustme|reporting|||the|reporting|||
|||as|||of the|period(%|||realized|place in|
||change)||nt (1)|period|||predicted|period|||
|||commited|||reporting|)(3)=(2)(||||feasibility|
||||||||applicabl||||
||||||period(2)|1)|||||
||||||||e status||||
|Committed investment projects|||||||||||
|1. Overseas marketing|||||||||||
|network construction|No|10,000|10,000|3,226.51|3,226.51|32.27%|||Yes|No|
|project|||||||||||
|2.Informatization|||||||||||
||No|2,500|2,500|27.6|27.6|1.10%|||Yes|No|
|Construction Phase II|||||||||||
|3.Related taxes and|||||||||||
|agency fees of this|No|13,000|13,000|112.25|1,712.25|13.17%|||Yes|No|
|transaction|||||||||||
|Subtotal of committeed|||||||||||
||--|25,500|25,500|3,366.36|4,966.36|--|--||--|--|
|investment projects|||||||||||
|Investment orientation for und arising out of plan|||||||||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
|No|||||||||||
|Total|--|25,500|25,500|3,366.36|4,966.36|--|--|0|--|--|
|Situation about not|||||||||||
|coming up to schemed|||||||||||
|progress or expected|Not applicable||||||||||
|revenue and the reason|||||||||||
|( in specific project)|||||||||||
|Notes to significant|||||||||||
|change in feasibility of|No||||||||||
|the project|||||||||||
|Amount, application|Not applicable||||||||||
|and application|||||||||||
|progress of the|||||||||||
|unbooked proceeds|||||||||||
|About the change of|Not applicable||||||||||
|the implementation|||||||||||
|site of the projects|||||||||||
|invested with the|||||||||||
|proceeds|||||||||||
|Adjustment of the|Not applicable||||||||||
|implementation way of|||||||||||
|investment funded by|||||||||||
|raised capital|||||||||||
|About the initial|Not applicable||||||||||
|investment in the|||||||||||
|projects planned to be|||||||||||
|invested with the|||||||||||
|proceeds and the|||||||||||
|replacement|||||||||||
||Applicable||||||||||
||For maximizing the using efficiency of the raised funds and reducing the financial costs, the company shall,with full consideration of the funds use plan for the projects invested by the raised funds, use RMB150,000,000.00 to temporarily supplement the liquidity, with a term not exceeding 12 months and suchamount was expected to be returned to the special account for raised funds before May 30, 2017. Such itemhad been examined and approved in the 9th board meeting of seventh session board of directors of thecompany, and the company's board of supervisors, independent directors and the sponsor all had issued aconsent to it. During the use term, the company did not change the purpose of the raised funds, not affectthe normal conduct of the investment plans by the raised funds and not carry out the securities investmentand so forth risky investment.||||||||||
|Using the idle|||||||||||
|proceeds to|||||||||||
|supplement the|||||||||||
|working capital on|||||||||||
|temporary basis|||||||||||
|Balance of the|Not applicable||||||||||
|proceeds in process of|||||||||||
|project implementation|||||||||||
|and the cause|||||||||||
|About application and|Unused raise funds to raise money deposited in the account||||||||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||
|-|-|
|status of the proceeds||
|unused||
|Problems existing in||
|application of the||
|proceeds and the|Not applicable|
|information disclosure||
|or other issues||

（3）Changes of raised funds projects
□ Applicable√ Not applicable
The Company had no raised funds in company reporting period.
（4）Fund-raising project
||||
|-|-|-|
|Fund-raising project overview|Disclosure date|Disclosure index|
|Special report of raised storage and usage|August 27,2016|http://www.cninfo.com.cn|

4.Analysis on principal subsidiaries and Mutual Shareholding Companies
√Applicable□Not applicable
Particulars about the principal subsidiaries and Mutual shareholding companies
In RMB
|||||||||||
|-|-|-|-|-|-|-|-|-|-|
||||Leading||Total|||Operating||
|Company|Compan|Sectors||Registered||Net assets|Tumover||Net Profit|
||||products and||assets(RMB|||profit||
|Name|y type|engaged in||capital||(RMB)|(RMB)||(RMB)|
||||services||)|||(RMB)||
||||Construction|||||||
||||general|||||||
||||contracting,|||||||
||||labor|||||||
||||subcontracting;|||||||
||||engineering|||||||
|Sino Great||Contract of|survey and|||||||
|Wall||construction|design;|||||||
|Internationa|Subsidiar|project,|professional||5,149,598,5|1,379,172,8|1,953,458,8|246,681,8|208,881,098.|
|||||70,136,099||||||
|l|ies|decoration,|contracting;||75.25|29.79|15.17|84.71|88|
|Engineering||healthcare|engineering|||||||
|Co., Ltd.||investment|design for the|||||||
||||construction|||||||
||||decoration;|||||||
||||building curtain|||||||
||||wall design,|||||||
||||etc.|||||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016 V. Significant projects of investments with non-raised funds
□ Applicable√ Not applicable
The company has no project invested by raised fund in the reporting period.
VI. Prediction of business performance for January -September 2016.
Estimation of accumulative net profit from the beginning of the year to the end of next report period to be loss probably or the warning of its material change compared with the corresponding period of the last year and explanation of reason.
√ Applicable□Not applicable
Forenotice of earning:√Year-on-year increase
Type of data filet for the prediction
||||||||||
|-|-|-|-|-|-|-|-|-|
|||||Same period of|||||
||Year beginning to end of next||||||||
|||||the previous|Increase or decrease%||||
||report period||||||||
|||||year|||||
|Estimated amount of|||||||||
|accumulative net|29,000|--|34,000|24,295.28|Increase|20.00%|--|40.00%|
|profit(RMB’0000)|||||||||
|Basic earnings per shares|||||||||
||0.17|--|0.20|0.14|Increase|21%|--|43%|
|(Yuan/share)|||||||||
||The company's overseas business was steadily developed with a growing momentum, which led to||||||||
||that the company’s profits were steadily increasing, therefore the company implemented the plan of||||||||
|Notes to forenotice of|||||||||
||increasing shares by converting capital reserve into share capital-on the basis of 28 shares increased||||||||
|earnings|||||||||
||for every 10 shares, which rendered that earnings per share from the begging of the year to the next||||||||
||reporting period decreased a little compared to the same period last year/||||||||

VII. Explanation of the Board of Directors and the Supervisor Committee concerning the “Non-standard audit report ” issued by the CPAs firm for the reporting period
□ Applicable√ Not applicable
VIII.Explanation by the Board of Directors about the “ non-standard audit report “ for lastyear.
□ Applicable√ Not applicable
IX. Profit distribution carried out in the report period
Execution or adjustment of profit distribution, especially cash dividend, and capitalizing of reserves in the report period.
√ Applicable□Not applicable
During the reporting period, upon the base of total share capital of 446,906,582 shares on the date of December 31,
2015, 28 shares were increased for every 10 shares to all the shareholders by converting capital reserve into share
capital, therefore the total increased shares by converting capital reserve into share capital were 1,251,338,429
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 shares, so the total share capital were 1,698,245,011 shares after such share increasing by converting capital reserve into share capital.
|||
|-|-|
|Special explanation of the cash dividend policy||
|Whether conformed with the regulations of the Articles of||
|association or the requirements of the resolutions of the|Yes|
|shareholders’ meeting:||
|Whether the dividend standard and the proportion were definite||
||Yes|
|and clear:||
|Whether the relevant decision-making process and the system||
||Yes|
|were complete:||
|Whether the independent director acted dutifully and exerted the||
||Yes|
|proper function:||
|Whether the medium and small shareholders had the chances to||
|fully express their suggestions and appeals, of which their legal|Yes|
|interest had gained fully protection:||
|Whether the conditions and the process met the regulations and||
|was transparent of the adjustment or altered of the cash dividend|Not a;pplicable|
|policy:||

X. Preplan for profit distribution and turning capital reserve into share capital in the reporting period□ Applicable√ Not applicable
The Company planed that no to distribute cash dividend, bonus shares and there was no turning of capital reserve into share capital.
XI. Particulars about researches, visits and interviews received in this reporting period
√ Applicable□ Not applicable
|||||||
|-|-|-|-|-|-|
||Reception|Way of|Types of||Discussion topics and|
|Reception time||||Vistors rece3ived||
||place|reception|visitors||provision of materials|
||||||Information of the|
||||||company's overseas orders|
||BOD office||||and overseas staffing; the|
|||Onsite|Organizati|GF Securities . Tang Xiao, GF||
|January 20,2016|of the||||company’s advantages of|
|||investigation|on|Securities.Yue Hengyu||
||Company||||entering into the medical|
||||||industry. No document|
||||||provided|
|||||Guohai Securities. Wang Xin, Yinhua|The situation and|
||BOD office|||Fund. Su Jingran, Yinhua Fund. Li|advantages of the|
|||Onsite|Organizati|||
|February 1,2016|of the|||Xiaohui,South Fund. Cao Fan. Minsheng|company's overseas|
|||investigation|on|||
||Company|||Securities. Yan Xiaoqing, Minsheng|business; the mode of the|
|||||Securities.Wang Xiao, BOBBNS. Wang|company's investment to|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||||
|-|-|-|-|-|-|
|||||Liang,CMS. Wang Binpeng,Great Weal|hospitals, negotiated|
|||||Wealth Assets. Zhang Yuehong,Shibei|priorities, impacts to the|
|||||Investment. Pan Hongxing,CRT. Xiao|company’s business|
|||||Chuanzhe and CRT. Li Yanhua.|performance and staffing of|
||||||the medical team. No|
||||||document provided|
||||||The mode of the company's|
||||||investment to hospitals,|
|||||Wanmeng Shengshi. Liu Zhikai,|negotiated priorities,|
||BOD office|||Wanmeng Shengshi. Sun Yuqi, Wanmeng|impacts to the company’s|
|||Onsite|Organizati|||
|March 3,2016|of the|||Shengshi Gong Pu, Hanhe Capital. Xue|business performance;|
|||investigation|on|||
||Company|||Tao,Essences. Song Yilu, Essences. Xia|Information of the|
|||||Tian and Huaxia Life. Xie Dacheng.|company's overseas orders|
||||||and overseas staffing. No|
||||||document provided|
||||||Engineering information of|
||||||the company’s domestic|
||BOD office|||||
|||Onsite|Organizati|Mingji International Investment .Zhu|and foreign business and|
|March 11,2016|of the|||||
|||investigation|on|Quan.|the considerations on the|
||Company|||||
||||||medical field investment.|
||||||No document provided|
||||||Information of the|
||||||company’s business|
||BOD office|||||
|||Onsite|Organizati|Xingshi Investment. Feng Du, Yin Hua|performance, orders in hand|
|May 4,2016|of the|||||
|||investigation|on|Fund. Zhang Ke.|and the mode of investment|
||Company|||||
||||||to hospitals. No document|
||||||provided|
|||||Hina Brodercasting Culture Media||
|||||Group.Xiong Shengyou, Hina|The company’s basic|
|||||Brodercasting Culture Media Group. Qin|information, development|
||BOD office|||||
|||Onsite|Organizati|Weichuan, Guotai Junan . Chen|strategy and information of|
|May 24,2016|of the|||||
|||investigation|on|Xiao,Guotai Junan . Shen Zhenhao, Holly|medical business|
||Company|||||
|||||Hight . Jia Shuai, Daxing Sixiang. Zhang|development. No document|
|||||Liang,Guohai Securities. Wang Xin and|provided|
|||||Guohai Securities. Li Xiang.||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016 V. Important Events
1.Governance of the Company
During the reporting period, The company has strictly abided by the relevant laws, rules and regulations requested on “Corporate Law”, “Securities Law”, “Listing Rules of Shenzhen Stock Exchange” and “Governance Rules of Listed Companies” and by China Securities Regulatory Commission, established and perfected the internal control management system, and constantly made the deep improvement of the corporate governance activities to further standardize the company operations and improve the management level. Thecompany’s governance meets the basic requirements of regular documents on the governance of the listed companies issued by China Securities Regulatory Commission.On March 14,2016,The Proposal on Revising the Articles of Association of the Company and the Proposal on Revising the Company's Internal Control System were examined and approved in the
5th
board meeting of thecompany’s seventh session board of directors, which had comprehensively revised thecompany’s Articles of Association and each management system.
(1).Shareholders and shareholders' general meeting: The Company convened and held shareholders' general meeting strictly according to the requirements of Opinions on Standardization of Shareholders' General Meeting of Listed Companies, formulated Rules of Procedure of Shareholders' General Meeting, ensured all shareholders, especially medium and small shareholders, enjoy equal position and can fully exercise their own rights.
(2).Relationship between the controlling shareholder and the Company: The acts of the controlling shareholder of the Company were standardized. It did not exceed the authority of the shareholders' general meeting to directly or indirectly intervene with the decision-making and operating activities of the Company. The Company is independent from its controlling shareholder in respect of personnel, assets, finance, organ and business. The board of directors, the supervisory committee and internal organ of the Company are able to operate independently.
(3) The Directors and The Board of Directors: the Board of Directors includes four special committees, such as Audit Committee, Nomination Committee, Strategy Committee and Remuneration and Appraisal Committee, which has provided a favorable support to the company for the decision-making related issues. Each special committee has operated according to their work responsibilities and procedure rules, made research and examination for the relative business and major issues of the company, and expressed the professional opinions in the Board of Directors to offer support and advice for the scientific decision-making of the Board and ensure theBoard’s work more scientific and efficient. Also, the organization of the Board of Directors is in line with the requirement of laws and regulations, and the independent directors play an important role in the corporate decision-making. So, the company attaches importance to the function of the independent directors. In thecompany’s management, the independent directors make careful review and express the independent views for the financial audit, the affiliated transactions and other issues.
(4).Supervisors and the supervisory committee: The number and composition of the Supervisory Committee of the Company complied with the requirements of laws and regulations. The Supervisory Committee of the Company formulated the Rules of Procedure of the Supervisory Committee. The supervisors of the Company were able to perform their duties seriously, take the attitude of being responsible for all shareholders and supervise the legality and regulation conformity of the Company's finance and the duty performance of the directors, managers and other senior executives of the Company.
(5) During the report period, theCompany’s shareholders strictly fulfilled the commitments made at the reorganization, where no over-due fulfillment of commitment existed.
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 (6)Information disclosure and transparency: The Company designated the secretary to the board of directors to be responsible for information disclosure, Regulations on Management of Information Disclosure,Regulations on Management of External Information Users and reception of shareholder and consultation. In the report period, the Company was able to truly, accurately, completely and timely disclose relevant information according to the provisions of laws, regulations and the Articles of Association of the Company. The Company will continue to operate in a standardized way strictly according to the requirements of relevant laws and regulations including the Company Law, further perfect company administration structure and establish and improve various regulations in light of the gap with the requirements of Standards of Administration of Listed Companies, ensure the maximization of shareholders' interests and safeguard the lawful rights and interests of all shareholders.
(7)The legitimate rights and interests of stakeholders: the company respects and safeguards the interests of the legitimate rights and interests of stakeholders, realized the balance of the rights and interests of all parties, such as shareholders, customers, enterprise and staff. The company adhered to the win-win relationships and mutual developments with the stakeholders
Standardized operation is the foundation and guarantee for the healthy development of the enterprise, the company will, in accordance with The Company Law, Provisional Code of Corporate Governance for Listed Company, Shenzhen Stock Exchange Stock Listing Rules ,Standardize Operational Guidelines for Listed Companies on the Main Board of Shenzhen Stock Exchange and the requirements of relevant laws and regulations, continue to improve the internal control system and the corporate governance structure, raise the level of standardized operation, safeguard the legitimate rights and interests of all shareholders, thus to ensure thecompany’s sustainable, steady and healthy development.
There exist no difference in compliance with the corporate governance , the PRC Company Law and the relevant provisions of CSRC.
II. Lawsuits affairs
Major lawsuits and Arbitration affairs
□ Applicable√ Not applicable
The Company has no major lawsuit or arbitration in the report period.
Other Lawsuits affairs
□ Applicable√ Not applicable
III. Query form media
□ Applicable√ Not applicable
In the reporting year, the Company had no query from media
IV. Bankruptcy or Reorganization Events
□ Applicable√ Not applicable
There Company was not involved in any bankruptcy or reorganization events in the reporting period.
V. Transaction in Assets
1. Purchase of assets
Sino Great Wall Co., Ltd. The Semi-annual Report 2016√ Applicable□Not applicable
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
|||||||Ratio of|||||
|||||||||Relation|||
|||||||the Net|||||
|||||||||with|||
||||||Influence|Income|||||
|Counter-pa||||||||Counter-pa|||
||Acquired|Transactio||Impact on|on the|Caused by|||||
|rty or|||||||Connected|rty|Date of||
||or|n Price (10|Progress|Company's|Profit and|the Asset||||Disclosure|
|Ultimate|||||||Transactio|（applicab|Disclosure||
||Purchased|thousand|(Note 2)|Business|Loss of the|Contributi||||Index|
|Controllin|||||||n|le to|(Note 5)||
||Assets|yuan)||(Note 3)|Company|ng to the|||||
|g Party||||||||associated|||
||||||(Note 4)|Listed|||||
|||||||||business|||
|||||||Company|||||
|||||||||situation)|||
|||||||in Total|||||
|||||Expanded|||||||
|||||the|||||||
||||||The||||||
|||||company's|||||||
||||||contribute||||||
|||||medical||||||Securities|
||||||d net||||||
|||||services,||||||Times,|
|13|||||profits||||||
|||||improved||||||Hong|
|individual|||||(‘0000) to||||||
||Wuhan Co|||the layout||||||Kong|
|shareholde|||The||the listed||||||
||mmercial|||of the||||||Commerci|
|rs|||ownership||company||||||
||and|||company's||||||al Daily|
|including|||transfer of||during the||||May||
||Vocational|9,700||medical||0.00%|No|No||and|
|Wang Jide,|||the assets||period||||11,2016||
||Hospital C|||services||||||www.cninf|
|Fu|||had been||from the||||||
||o.,Ltd|||industry||||||o.com.cn..|
|jiuzhou,|||completed||date of||||||
|||||and it’s||||||www.cninf|
|Zeng|||||purchase||||||
|||||conducive||||||o.com.cn.|
|Xiankao|||||to the end||||||
|||||for making||||||On May|
||||||of the||||||
|||||a new||||||11,2016|
||||||reporting||||||
|||||profit|||||||
||||||period||||||
|||||growth|||||||
|||||point|||||||

2. Sale of assets
□ Applicable√ Not applicable
There is no sale of assets in the Company during the reporting period
3. Business combination
□ Applicable√ Not applicable
There is no Bubiness combination in the Company during the reporting period
VI. Implementation and Influence of Equity Incentive Plan of the Company
□ Applicable√ Not applicable
There is no equity incentive plan and its implementation in the Company during the reporting period.
VII. Significant related-party transactions
1. Related transactions in connection with daily operation
√Applicable□ Not applicable
Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|-|
||||||||||Whether|||||
|||||||||Trading||||||
||||||||||over the|||||
|||||Principl||||limit||||||
||||Subjects|e of|||||approve||Market||Index|
|||||||Amount||approve|||price of||of|
||||of the|pricing|||Ratio in|||||Date of||
|Related|Relation|Type of|||Price of|of trade|||d|Way of|similar||inform|
||||related|the|||similar|||||disclosu||
|parties|ship|trade|||trade|RMB0’||d||payment|trade||ation|
||||transacti|related|||trades|||||re||
|||||||000|||limited||availabl||disclos|
||||ons|transacti||||||||||
|||||||||（RMB|||e||ure|
|||||ons|||||or not|||||
|||||||||’0000）||||||
||||||||||(Y/N)|||||
||The|||||||||||||
||compan|||||||||||||
||y where|||||||||||||
|Qinghai|the|||||||||||||
|||Procure||||||||Quarterl||||
|Heyi|Compan|||||||||||||
|||ment of|Material|Market|Market|||||y|Market|||
|Trade|y’s|||||2,134.06|2.12|6,000|No|||||
|||goods/se|Goods|price|price|||||settleme|price|||
|Co.,|director|||||||||||||
|||rvices||||||||nt||||
|Ltd.|holds|||||||||||||
||the post|||||||||||||
||of legal|||||||||||||
||person|||||||||||||
|Kunwu||||||||||||||
|Jiuding||||||||||||||
||5% or|||||||||||||
|Invest||||||||||||||
||more|||||||||||||
|ment||||||||||||||
||sharehol|||||||||||||
|Manag||Sale of||||||||Settleme||||
||ders are||Decorati|Market|Market||||||Market|||
|ement||goods /||||25.7|0.50||No|nt by||||
||subject||on items|price|price||||||price|||
|Co.,||services||||||||contract||||
||to the|||||||||||||
|Ltd.||||||||||||||
||same|||||||||||||
|And||||||||||||||
||control|||||||||||||
|related||||||||||||||
|party||||||||||||||
||The|||||||||||||
||compan|||||||||||||
||y where|||||||||||||
|Beijing|the|||||||||||||
|Baolilai|Compan|Sale of||||||||Settleme||||
||||Decorati|Market|Market||||||Market|||
|Technol|y’s|goods /||||19.8|0.038||No|nt by||||
||||on items|price|price||||||price|||
|ogy Co.,|director|services||||||||contract||||
|Ltd.|holds|||||||||||||
||the post|||||||||||||
||of legal|||||||||||||
||person|||||||||||||
|Total||||--|--|2,179.56|--|6,000|--|--|--|--|--|
|Details of any sales return of a large||||None||||||||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||
|-|-|
|amount||
||On April 13,2016, the Company convened the 6th meeting of the 7th board of|
||directors,which examined and adopted “Proposal on the Company’s Daily Related|
|Give the actual situation in the report||
||Transaction in 2016”, predicting the total amount of daily transaction between the Qinghai|
|period where a forecast had been||
||Heyi Trade Co., Ltd., the related party, incurred RMB 60 million. This proposal has been|
|made for the total amounts of routine||
||examined and adopted by the annual shareholder’s meeting of the Company in 2015: The|
|related-party transactions by type to||
||related transaction amount actually incurred RMB 21.7956 million in the first half year of|
|occur in the current period(if any)||
||2016.|
|Reason for any significant difference||
|between the transaction price and the|Not applicable|
|market refernce price (if applicable)||

2. Related-party transactions arising from asset acquisition or sale
□ Applicable√ Not applicable
The Company was not involved in any related-party transactions arising from asset acquisition or sale during the reporting period.
3. Related-party transitions with joint investments
□ Applicable√ Not applicable
The Company was not involved in any related-party transaction with joint investments during the reporting period.
4. Credits and debt with related parties
√ Applicable□ Not applicable
The existence of non operating related credit and debt of the Company.
□Yes√ No
There existence of non operating related credit and debt of the Company of the reporting period.
Debt due to relatedparties：
||||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|-|-|
|Relatedpartty|Connectionrelateion|Reasons|Openingbalance||New issueamount||The amountofrestitutionperiod||Rate||Interest||ClosingBalance||
|Chen Lue|Controllingshareholderand actualcontroller|businessdevelopment|||||||||||||
|||||38,028.76||9,385.5||47,414.26||0.00%||0||0|
|XianZhijuan|Controllingshareholderand actualcontrollerChen LueNiece|Supportbusinessdevelopment|||||||||||||
|||||0||15,000,000||15,000,000||0.00%||0||0|
|Effect of debts related tooperation of the||Mr Chen Lue and Ms. Xian Zhijuan provided financial support to the company, will help the companyexpand their business, improve business performance.|||||||||||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||
|-|
|Company|

5. Other related-party transactions
□ Applicable√ Not applicable
The Company was not Other significant related-party transactions during the reporting period.
VIII. Particulars about the non-operating occupation of funds by the controlling shareholder
and other related parties of the Company
□ Applicable√ Not applicable
The Company was not involved in the non-operating occupation of funds by the controlling shareholder and other related parties during the reporting period..
IX. Particulars about significant contracts and their fulfillment
I. Particulars about trusteeship, contract and lease
(1) Trusteeship
□ Applicable√ Not applicable
There was no any trusteeship of the Company in the reporting period.
(2) Contract
□ Applicable√ Not applicable
There was no any contract of the Company in the reporting period.
(3) Lease
□ Applicable√ Not applicable
There was not involved in any lease of the Company in the reporting period.
II. Guarantees provided by the company
√Applicable□Not applicable
InRMB’0000
||||||||||
|-|-|-|-|-|-|-|-|-|
|External Guarantee (Exclude controlled subsidiaries)|||||||||
||Relevant||Date of|||||Guarante|
|||Amoun|||||Complete||
||disclosure||happening|Actual||||e|
|Name of the||t of||||Guarante|implemen||
||date/No. of||(Date of|mount of|Guarantee type|||for|
|Company||Guaran||||e term|tation||
||the||signing|guarantee||||associate|
|||tee|||||or not||
||guaranteed||agreement)|||||d|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||||||
|-|-|-|-|-|-|-|-|-|
||amount|||||||parties|
|||||||||(Yes or|
|||||||||no)|
|Total of external guarantee||||Total of actual external|||||
|||0||||0|||
|approved in Period(A1)||||guarantee in Period(A2)|||||
|||||Total balance of actual|||||
|Total of external guarantee|||||||||
|||0||external guarantee at||0|||
|approved at Period-end(A3)|||||||||
|||||Period-end(A4)|||||
|Guarantee of the Company for the controlling subsidiaries|||||||||
|||||||||Guarante|
||Relevant|||||||e|
|||Amoun|Date of||||Complete||
||disclosure|||||||for|
|Name of the||t|happening|Actual|||implemen||
||date/No. of||||Guarantee|Guarante||associate|
|Company||of|(Date o|mount of|||tation||
||the||||type|e term||d|
|guaranteed||guarant|signing|guarantee|||or||
||guaranteed|||||||parties|
|||ee|agreement)||||not||
||amount|||||||(Yes or|
|||||||||no)|
|Sino Great|||||The joint liability||||
||March 15,2016|20,000|March 30,2016|20,000||1 year|No|No|
|Wall|||||guaranty||||
|Sino Great|||||The joint liability||||
||March 15,2016|15,000|April 7,2016|15,000||1 year|No|No|
|Wall|||||guaranty||||
|Sino Great|||||The joint liability||||
||March 15,2016|3,000|March 25,2016|3,000||1 year|No|No|
|Wall|||||guaranty||||
|Sino Great|||||The joint liability||||
||March 15,2016|10,000|April 26,2016|10,000||1 year|No|No|
|Wall|||||guaranty||||
|Sino|||||The joint liability||||
|||12,000|January 13,2016|12,000||1 year|No|No|
|International|||||guaranty||||
|Sino|||||The joint liability||||
|||10,000|January 13,2016|10,000||1 year|No|No|
|International|||||guaranty||||
|Sino|||||The joint liability||||
|||20,000|January 21,2016|20,000||1 year|No|No|
|International|||||guaranty||||
|Sino|||||The joint liability||||
|||10,000|April 26,2016|10,000||1 year|No|No|
|International|||||guaranty||||
|Sino|||||The joint liability||||
|||20,000|April 19,2016|20,000||1 year|No|No|
|International|||||guaranty||||
|Sino|||||The joint liability||||
|||15,000|June 21,2016|15,000||1 year|No|No|
|International|||||guaranty||||
|Sino|||||The joint liability||||
|||40,000|June 28,2016|40,000||2 years|No|No|
|International|||||guaranty||||
|Sino|||||The joint liability||||
|||2,000|September 29,2015|2,000||1 year|No|No|
|International|||||guaranty||||
|Sino|||||The joint liability||||
|||2,000|November 17,2015|2,000||1 year|No|No|
|International|||||guaranty||||
|Sino||5,000|December 16,2015|5,000|The joint liability|1 year|No|No|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||||||
|-|-|-|-|-|-|-|-|-|
|International|||||guaranty||||
|||||Total of actual guarantee|||||
|Total of guarantee for subsidiaries|||||||||
|||500,000||for subsidiaries in the||48,000|||
|approved in the Period (B1)|||||||||
|||||Period (B2)|||||
|||||Total of actual guarantee|||||
|Total of guarantee for subsidiaries|||||||||
|||500,000||for subsidiaries at||48,000|||
|approved at Period-end (B3)|||||||||
|||||Period-end (B4)|||||
|Guarantee of the Company for the controlling subsidiaries|||||||||
|||||||||Guarante|
||Relevant|||||||e|
|||Amoun|Date of||||Complete||
||disclosure|||||||for|
|Name of the||t|happening|Actual|||implemen||
||date/No. of||||Guarantee|Guarante||associate|
|Company||of|(Date o|mount of|||tation||
||the||||type|e term||d|
|guaranteed||guarant|signing|guarantee|||or||
||guaranteed|||||||parties|
|||ee|agreement)||||not||
||amount|||||||(Yes or|
|||||||||no)|
|Sino|||||Joint liability||||
|||1,000|December 25,2015|1,000||1 year|No|No|
|International|||||guaranty||||
|||||Total amount of guarantee to|||||
|Total guarantee quota to the|||||||||
|||||the subsidiaries actually|||||
|subsidiaries approved in the||2,000||||1,000|||
|||||incurred in the reporting|||||
|reporting period (C1)|||||||||
|||||period (C2)|||||
|||||Total balance of actual|||||
|Total guarantee quota to the|||||||||
|||||guarantee to the subsidiaries|||||
|subsidiaries approved at the end of||2,000||||1,000|||
|||||at the end of the reporting|||||
|the reporting period (C3)|||||||||
|||||period (C4)|||||
|Total of Company’s guarantee（namely total of the large three aforementioned）|||||||||
|Total of guarantee in the Period||||Total of actual guarantee in|||||
|||502,000||||49,000|||
|（A1+B1+C1）||||the Period（A2+B2+C2）|||||
|||||Total of actual guarantee at|||||
|Total of guarantee at Period-end|||||||||
|||502,000||Period-end||49,000|||
|（A3+B3+C3）|||||||||
|||||（A4+B4+C4）|||||
|The proportion of the total amount of actually guarantee in thenet|||||||||
|||||32.41%|||||
|assets of the Company(A4+B4+C4）|||||||||
|Including：|||||||||
|Amount of guarantee for shareholders, actual controller and its|||||||||
|||||0|||||
|associated parties（D）|||||||||
|The debts guarantee amount provided for the|||||||||
|Guaranteed parties whose assets-liability ratio exceed||||48,000|||||
|70% directly or indirectly（E）|||||||||
|Proportion of total amount of guarantee in net assets of the|||||||||
|||||0|||||
|company exceed 50%（F）|||||||||
|Total guarantee Amount of the abovementioned guarantees|||||||||
|||||0|||||
|（D+E+F）|||||||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||
|-|-|
|Explanations on possibly bearing joint and several||
||None|
|liquidatingresponsibilities for undue guarantees ( If any)||
|Explanations on external guarantee against regulated||
||None|
|procedures(Ifany)||

Description of the guarantee with complex method
（1）Illegal providing of external guarantees
□ Applicable√Not applicable
No illegal providing of external guarantees in the report period.
III. Other significant contracts
√Applicable□ Not applicable
There was no other significant contract of the Company in the reporting period.
||||||||||
|-|-|-|-|-|-|-|-|-|
|||||||Whether|||
|||||Pricin||the|||
|Contract the|||||The||Related|The report on the|
||Counterpart|||g||related|||
|name of the||Contract object|Date||transaction||transacti|final|
||contract name|||princip||party|||
|Company|||||price||on|implementation|
|||||les||transacti|||
|||||||on|||
|||||||||Geological|
|Sino Great Wall|Haoli|||Pricin|||||
|||||||||exploration and|
|International|Consulting|Min apartment|May|g|USD 120||||
|||||||No|None|overlay has been|
|Engineering Co.,|Management|projects|31,2016|agree|million||||
|||||||||completed, in site|
|Ltd.|Co., Ltd.|||ments|||||
|||||||||construction|
|||||||||Geological|
|Sino Great Wall||||Pricin|||||
||MOTTAMA|||||||exploration and|
|International||MTower Office|May|g|USD 80||||
||Holdings Co.,|||||No|None|overlay has been|
|Engineering Co.,||tower project|31,2016|agree|million||||
||Ltd.|||||||completed, in site|
|Ltd.||||ments|||||
|||||||||construction|
|||||||||Has enter the|
|Sino Great Wall||||Pricin|||||
||OXLEY-GEM(|||||||arena, under|
|International|||May|g|USD 285||||
||CAMBODIA)C|PP50 project||||No|None|preparation work|
|Engineering Co.,|||31,2016|agree|million||||
||O.,LTD.|||||||before|
|Ltd.||||ments|||||
|||||||||construction|
|||BISKRA|||||||
|Sino Great Wall|China|||Pricin|||||
|||province|||MKD|||Under preparation|
|International|RailwayNo.14||May|g|||||
|||HAMMAM|||4705.0982|No|None|work before|
|Engineering Co.,|Bureau Group||31,2016|agree|||||
|||SALIHINE|||million|||construction|
|Ltd.|Co., Ltd.|||ments|||||
|||Hotell|||||||
|Sino Great Wall|Banque|The republic of|June|Pricin|USD 300|||Under preparation|
|||||||No|None||
|International|Congolaise de|Congo 5000 sets|29,2016|g|million|||work before|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||||||
|-|-|-|-|-|-|-|-|-|
|Engineering Co.,|l’Habitat|of modern||agree||||construction|
|Ltd.||economy||ments|||||
|||applicable room|||||||
|||project|||||||
|||The republic of|||||||
|||||||||Has enter the|
|Sino Great Wall||Congo 5000 sets||Pricin|||||
||PT.WANXIAN|||||||arena, under|
|International||of modern|August|g|RMB 1.5015||||
||G NICKEL|||||No|None|preparation work|
|Engineering Co.,||economy|1,2016|agree|billion||||
||INDONESIA|||||||before|
|Ltd.||applicable room||ments|||||
|||||||||construction|
|||project|||||||

IV. Other significant transactions
□ Applicable√ Not applicable
There was no other significant transaction of the Company in the reporting period.
X.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□ Not applicable
|||||||
|-|-|-|-|-|-|
||||Time of|||
||Commitment|||Peiod of||
|Commitment||Contents|making||Fulfillment|
||maker|||commitment||
||||commitment|||
|Commitment on||||||
||No|No|No||No|
|share reform||||||
|Commitment in||||||
|the acquisition||||||
|report or the|No|No|No||No|
|report on equity||||||
|changes||||||
|||Shares acquired by purchases of assets through||||
|||issuing shares: “I will not transfer the new shares||||
|||of Victor Onward Holdings acquired through this||||
|||restructuring, including but not limited to the||||
|||public transfer through the stock market or by||||
|||agreement, and I will not entrust anybody else to||||
|Commitments in||||||
||Chen Lve, He|manage my shares of Victor Onward Holdings,|March||Strict|
|assets||||36 months||
||Feiyan|within 36 months from the date new shares list|19,2015||performing|
|reorganization||||||
|||and before the date I’ve carried out my||||
|||obligations of performance compensation under||||
|||this restructuring(subject to whatever is early,||||
|||hereinafter referred to as “lock-up periods”). If||||
|||the closing price of shares of Victor Onward||||
|||Holdings were lower than this issue price for 20||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||
|-|-|-|-|-|
||continuous trading days in 6 months after the||||
||restructuring transaction has been completed, or||||
||the final closing price were lower than this issue||||
||price 6 months after the transaction has been||||
||completed, the lock-up periods of my shares of||||
||Victor Onward Holdings are automatically||||
||prolonged for 6 months. (The above-mentioned||||
||issue price will be calculated according to the||||
||price after the adjustment of ex-dividend, etc. if||||
||ex-dividend behaviors of the company, including||||
||distribution of dividends, giving bonus,||||
||conversion of share capital, rationing shares, and||||
||etc., were happened during the above-mentioned||||
||periods. If the restructuring transaction were||||
||March 19,2015 36 mont hs Strict perfor ming||||
||Shenzhen Victor Onward Textile Industrial Co.,||||
||Ltd. The Third Quarterly Report 2015. 14||||
||investigated by judicial authorities or China||||
||Securities Regulatory Commission due to false||||
||record, misleading statement or major omission of||||
||the information provided or disclosed, I will not||||
||transfer my shares of the company before the||||
||conclusion of the case has been made clear. After||||
||the above-mentioned lock-up periods, I will sell||||
||or transfer the new shares of the company||||
||acquired from this restructuring following||||
||relevant regulations of China Securities||||
||Regulatory commission and Shenzhen Stock||||
||Exchange.||||
||Shares acquired by matching funds raised: “I will||||
||not transfer the new shares of Victor Onward||||
||Holdings acquired through this issuing by any||||
||way, including but not limited to the public||||
|||March||Strict|
|Chen Lve|transfer through the stock market or by||36 months||
|||19,2015||performing|
||agreement, within 36 months from the date new||||
||shares list. If regulation rules or regulators have||||
||longer requirements for lock-up periods, it should||||
||be executed accordingly.||||
||Up to the issue day of the letter, I and other||||
||corporations controlled by me haven’t possessed||||
||funds of Sino Great Wall; After the transaction is|March||Strict|
|Chen Lve|||Long-term||
||completed, I and other companies controlled by|19,2015||performing|
||me (if any), except for listed companies and their||||
||holding subsidiaries, will not possess the funds of||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||
|-|-|-|-|-|
||listed companies or Sino Great Wall by any way,||||
||including cash in advance, other expenses, direct||||
||or indirect loans, assumption, etc. and try our best||||
||to avoid fund intercourse with listed companies or||||
||Sino Great Wall, which has nothing to do with||||
||normal operations. If Sino Great Wall got||||
||penalized by government administration||||
||departments due to the money lending which was||||
||happened before the transaction, I will bear the||||
||total compensation for the company’s loss||||
||resulting from it by cash in order to guarantee||||
||Sino Great Wall won’t suffer any loss.||||
||Meanwhile, I will actively urge Sino Great Wall||||
||to establish complete inner control system and||||
||funds management system within lawful||||
||authority.||||
||In view of the fact that the houses rented by Sino||||
||Great Wall and it’s son subsidiaries, subsidiaries,||||
||haven’t rental registration, I promise, if Sino||||
||Great Wall and its son subsidiaries, subsidiaries,|March||Strict|
|Chen Lve|||Long-term||
||were penalized by real estate management|19,2015||performing|
||department or suffered other losses resulting from||||
||it, I agree to compensate the loss of the company||||
||by cash.||||
||During the reporting period, the project which||||
||Sino Great Wall is involved in is the decoration||||
||engineering construction project of Libo Grand||||
||Hotel (hereinafter referred to as “Libo project”)||||
||which the company contracted before the bidding||||
||process. Sino Great Wall is not involved in any||||
||other projects except for Libo project before||||
||bidding process. As to the violating issues existed||||
||in the Libo project, I promise as follows: if Sino|March||Strict|
|Chen Lve|||Long-term||
||Great Wall got penalized by government|19,2015||performing|
||administration departments or suffered any||||
||economic loss resulted from it, I will compensate||||
||the company by cash; Meanwhile, I, within lawful||||
||authority, will also promise to urge the company||||
||to undertake related construction projects legally||||
||so as to avoid violating issues happened before||||
||implementation of bidding process, i.e., at the||||
||time for construction again.||||
||“1. Up to October 13th,2014, the related expenses|March||Strict|
|Chen Lve|||Long-term||
||of the litigation and arbitration cases, including|19,2015||performing|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||
|-|-|-|-|-|
||the actual price, compensation, penalty, ligation||||
||costs, etc. which the parent-subsidiary companies||||
||of Sino Great Wall needs to pay caused by the||||
||final results of ligation and arbitration cases,||||
||exceed the amount of liabilities which recognized||||
||in the “Audit Report” made for Sino Great Wall||||
||by Ruihua CPA (Special Ordinary Partnership) on||||
||the basis of the audit base day of July 31st, 2014,||||
||I promise to bear the balance by cash||||
||unconditionally so as to guarantee the||||
||parent-subsidiaries of Sino Great Wall won’t||||
||suffer any loss. 2. This commitment letter is||||
||irrevocable.||||
||1. On condition that ownership defect exists in the||||
||lease of house property of parent-subsidiary||||
||companies of Sino Great Wall and its subsidiary||||
||corporation, which resulted in inability for||||
||parent-subsidiary companies of Sino Great Wall||||
||and its subsidiary corporation to continue leasing||||
||this house property but having to relocate, or||||
||parent-subsidiary companies of Sino Great Wall||||
||and its subsidiary corporation can’t timely find||||
||suitable workplace for lawful operation in related||||
||area, I will undertake to compensate by cash for||||
||parent-subsidiary companies of Sino Great Wall’s||||
|||March||Strict|
|Chen Lve|losses which are caused by operation and finance||Long-term||
|||19,2015||performing|
||due to the above-mentioned matters. 2. I||||
||undertake to unconditionally bear the relevant||||
||fines by cash for parent-subsidiary companies of||||
||Sino Great Wall on condition that the rental house||||
||property of parent-subsidiary companies of Sino||||
||Great Wall and its subsidiary corporation is in||||
||absence of handling procedures for filing house||||
||leasing ,which resulted in that parent-subsidiary||||
||companies of Sino Great Wall and its subsidiary||||
||corporation are fined by property administrative||||
||department. 3.The commitment letter is||||
||irrevocable.||||
||“In condition that parent-subsidiary companies of||||
||Sino Great Wall or its son subsidiary haven’t paid||||
||social security or housing fund for staff according|March||Strict|
|Chen Lve|||Long-term||
||to law, which resulted in any losses to Sino Great|19,2015||performing|
||Wall , including the competent authorities’||||
||requirement for Sino Great Wall or its subsidiary||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||
|-|-|-|-|-|
||to make supplementary payment, to be punished||||
||and resourced, I will bear by full-amount cash for||||
||the fee of supplemental payment and the expense||||
||and fee for being punished or resourced, which is||||
||to guarantee Sino Great Wall and its subsidiary to||||
||avoid suffering from any loss ”.||||
||“At present, Suzhou Lvbang has possessed one||||
||state-own land use right, of which the land||||
||certificate is Suzhou Guo Yong(2014)||||
||No.Y2014086”, locates in Danan Village, Dadian||||
||Town, Yongqiao District, Suzhou City with||||
||32,966 square meters of area and the purpose for||||
||industry. Suzhou Lvbang possesses its own||||
||factory with 9,843.87 square meters of area||||
||above-mentioned, which is the building reserved||||
||on the former selling land. Suzhou Lvbang is||||
||carrying out refurnishing and reconstruction for||||
||this factory and has acquired “License of||||
||Construction Land Planning ”with||||
||No.2014-08-001 approved and issued by||||
||Yongqiao District, Suzhou City’s housing and||||
|||March||Strict|
|Chen Lve|rural construction bureau, of which other||Long-term||
|||19,2015||performing|
||examination and approval procedures of||||
||construction are in the process of handling “I||||
||undertake to actively supervise and urge Suzhou||||
||Lvbang on handling procedures of the approval||||
||process involved with factor refurnishing and||||
||reconstruction, and which is suffered from||||
||administrative punishment by relevant competent||||
||authorities in reason of claiming certificate of||||
||title, or in which any dispute or controversy exist||||
||in construction and ownership, which shall be my||||
||responsibility to carry out solution, and I||||
||undertake to compensate by cash for Suzhou||||
||Lvbang’s losses which are due to this matter,||||
||guaranteeing no losses occur to Sino Great Wall||||
||and Suzhou Lvbang for this matter.||||
||“According to the “Agreement of Significant||||
||Asset Replacement and Issue of Share to Buy||||
||Asset”(hereinafter referred to as “Agreement”)||||
|||March||Strict|
|Chen Lve|signed among Victor Onward Holdings, all||Long-term||
|||19,2015||performing|
||shareholders of Sino Great Wall and Union||||
||Development Group Co., Ltd (hereinafter referred||||
||to as“ Union Group”) on October 13, 2014, all the||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||
|-|-|-|-|-|
||creditor’s rights and liabilities related to place-out||||
||asset before the delivery date of Victor Onward||||
||Holdings shall be Union Group’s responsibility to||||
||carry out solution; After the asset delivery date, if||||
||any losses occur to Victor Onward Holdings in||||
||reason of the liability transfer of asset delivery,||||
||personnel placement, unsettled dispute or||||
||controversy and other compensation related to||||
||place-out asset, payment obligation and||||
||punishment, Union Group or the specified third||||
||party shall sufficiently compensate all losses for||||
||Victor Onward Holdings for the above matters. I||||
||undertake, if Union Group and the specified third||||
||party refuse to compensate the losses caused by||||
||the above mentioned matters for Victor Onward||||
||Holdings according to the“ Agreement”, I will||||
||compensate by cash for the Victor Onward||||
||Company within 5 working day in advance.||||
||Meanwhile, I will reserve the resource rights for||||
||Union Group and the specified third party “.||||
||According to“ Agreement of Shenzhen Victor||||
||Onward Textile Industrial Co., Ltd., Chen Lve||||
||and He Feiyan Concerning on Performance||||
||Compensation” and its supplemental agreement ,||||
||Chen Lve’s promised Sino Great Wall that the net||||
||profit deducted by incidental losses and||||
||attributable to the parent companies’ owners after||||
|Chen Lve, He||May||Strict|
||audition of 2015, 2016 and 2017 shall be||Long-term||
|Feiyan||11,2015||performing|
||respectively more than RMB 345.8 million, RMB||||
||438.5 million and RMB 538.2 million. If the net||||
||profit of Sino Great Wall is less than the promised||||
||net profit mentioned above , Chen Lve and He||||
||Feiyan will compensate for listed company in||||
||accordance with “Performance Compensation||||
||Agreement” and its supplemental agreement||||
|Chen Lve; He|1. This reorganization is planned to place in asset.||||
|Feiyan, Wuxi|At present, complete separation has existed||||
|Hengtai Jiuding|between me or other enterprises under my||||
|Assets|possession (if any) and the listed company in||||
|||September||Strict|
|Management|staff, asset, finance, institution and business of||Long-term||
|||30,2015||performing|
|Centre|Sino Great Wall. Independence exists in both||||
|（LP）;Yantai|staff, asset, finance, institution and business and||||
|Zhaoxuan Yuantai|no confusion exists. 2. I undertake, after this||||
|Jiuding Venture|reorganization, to ensure the continued complete||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||
|-|-|
|Investment Centre|separation between me or other enterprises under|
|（LP）;Suzhou|my possession(if any) and the listed company in|
|Tianyao|staff, asset, finance, institution and business,|
|Zhongshan|sustaining the independence in the listed|
|Jiuding|company’s staff, asset, finance, institution and|
|Investment Centre|business, as follows: (1).The Ensurance of|
|（LP）;Jiaxing|Independence for Listed Company’s Personnel|
|Jiahe Jiuding|Ensure that the general manager, the vice-general|
|Investment Centre|manger, the chief financial officer, the board|
|（LP）;|secretary and the senior executives of the|
||Company only accept salary in listed company,|
||including no holding of any post except director|
||and supervisor in my enterprise or other|
||enterprises under my possession. 2.Ensure the|
||complete independence exists among the listed|
||company’s labor, personnel, and salary|
||management and me. 3. The director, supervisor,|
||general manager and other senior executives|
||recommended by me have all been through the|
||legal procedures, and I will not intervene the|
||company’s board and the shareholder’s decision|
||for appointing and dismissing personnel by|
||exercising official power. (2)The Ensurance of the|
||Asset Independence of Listed Company 1.Ensure|
||that the listed company possesses business system|
||related to operation and the relevant|
||completely-independent asset. 2.Ensure that no|
||occupation of mine exists in capitals and assets of|
||the listed company. 3.The Ensurance of the|
||Financial Independence of Listed Company|
||1.Ensure that the independent finance department|
||and the independent financial calculating system|
||set up by the listed company, which possess|
||normative and independent financial and|
||accounting rules. 2. Ensure that the listed|
||company independently opens a bank account,|
||not sharing the same bank account with me.|
||3.Ensure that the financial staff of the listed|
||company holds no part-time post in my enterprise|
||and other enterprises under my possession. 4.|
||Ensure that the listed company pays taxes|
||according to law. 5. Ensure that the listed|
||company makes the financial decision-making|
||independently, I will not intervene the utilization|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||
|-|-|-|-|-|
||of the listed company’s capital. (4)The Ensurance||||
||of the Institutional Independence of Listed||||
||Company 1.Ensure that the listed company sets||||
||up perfect governance structure for the share||||
||company’s legal person, which possesses||||
||independent and complete institutional framework||||
||2.Ensure that the shareholder’s meeting, the board||||
||of director, the independent director, the||||
||supervisor and the general managers exercise||||
||official powers according to laws, regulations and||||
||articles of incorporation (5)The Ensurance of the||||
||Business Independence of Listed Company 1.||||
||Ensure that the listed company possesses the||||
||asset, staff, qualification and ability for||||
||independently holding business activities, which||||
||possesses the independent, autonomous and||||
||sustain operation ability catering to the market. 2.||||
||Ensure that I will not intervene the listed||||
||company’s business activities except exercising||||
||shareholder’s rights. 3.Ensure that I or other||||
||enterprises under my possession will avoid||||
||working on the listed company’s main business||||
||which possesses substantial competition. 4.||||
||Ensure to reduce the related transaction between||||
||me and the listed company or between other||||
||enterprises under my possession and the listed||||
||company as much as possible; When confirming||||
||necessary but unavoidable related transaction, I||||
||will ensure the fair operation according to the||||
||principle of market culture and the fair price, and||||
||fulfill the transaction procedures and the||||
||obligation of disclosing information according to||||
||relevant laws and regulations and normative||||
||document.||||
|Wuxi Hengtai|“Once I or our unit acquire the newly-added share||||
|Jiuding Assets|of Victor Onward Company through this||||
|Management|transaction, no transfers will occur in any way||||
|Centre（LP）;|within 12 months from the listing date, including||||
|Yantai Zhaoxuan|but not limited to public transfer by securities|March||Strict|
||||12 months||
|Yuantai Jiuding|market or transfer by agreement, and no|19,2015||performing|
|Venture|entrusting for others to manage my holding share||||
|Investment Centre|of Victor Onward Holdings . Once the||||
|（LP）;Suzhou|above-mentioned lockup period expires, I will||||
|Tianyao|implement the selling or transferring of the||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||
|-|-|-|-|-|
|Zhongshan|newly-added share of Victor Onward Holdings||||
|Jiuding|according to the relevant provision of CSRC and||||
|Investment Centre|SZSE.||||
|（LP）; Jiaxing|||||
|Jiahe Jiuding|||||
|Investment Centre|||||
|（LP）|||||
||“1.Before this reorganization, the fairness and||||
||reasonableness of pricing and the legitimacy and||||
||effectiveness of decision-making procedure exist||||
||in the transaction(if any) between me or the||||
||enterprise under my possession(if any) and Sino||||
||Great Wall which is planned to place asset in, no||||
|Chen Lve; He|related transaction with obvious unfairness||||
|Feiyan,Wuxi|exists ; 2.After this reorganization, I or the||||
|Hengtai Jiuding|enterprise under my possession will avoid and||||
|Assets|reduce the related transaction with listed company||||
|Management|as much as possible. As for any unavoidable or||||
|Centre（LP）;|reasonable related transaction, I or the enterprise||||
|Yantai Zhaoxuan|under my possession will sign the agreement||||
|Yuantai Jiuding|according to laws and fulfill the lawful procedure,||||
|Venture|and fulfill relevant approval procedure for internal||||
|||March||Strict|
|Investment Centre|decision-making and timely fulfill the obligation||Long-term||
|||19,2015||performing|
|（LP）;Suzhou|of disclosing information according to law,||||
|Tianyao|following relevant laws, regulations, other||||
|Zhongshan|normative documents and articles of listed||||
|Jiuding|company, which is to guarantee the fairness and||||
|Investment Centre|reasonableness in related transaction pricing, to||||
|（LP）; Jiaxing|guarantee the fairness of transaction condition and||||
|Jiahe Jiuding|to guarantee not to utilize the related transaction||||
|Investment Centre|to illegally transfer the capital and profit of listed||||
|（LP）|company, and not to utilize this transaction to||||
||engage in any behaviors which will cause any||||
||losses to listed company or other shareholder’s||||
||legitimate rights. Once I violate the above||||
||promises and cause losses to the listed company, I||||
||will compensate the listed company for the losses||||
||caused by the this matter.||||
||During the assets reorganization, the house||||
||property and land without property certificate in||||
|Union|||||
||the disposed assets within the plant area of Kuixin|March||Strict|
|Development|||Long-term||
||Community of Kuichong Street of Longgang|19,2015||performing|
|Group Co., Ltd.|||||
||District and the expected compensations, as well||||
||as the expected compensations concerning to the||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||
|-|-|-|-|-|
||regaining of plots planned as schools within the||||
||right of land use of Nanyou Industrial Park of||||
||Nanshan District have not been recorded in the||||
||assessment. Therefore, Union Group promises||||
||that after the reorganization, if Union or a third||||
||party appointed by Union receives compensations||||
||or incomes related toabove-mentioned disposed||||
||assets which are house property and land without||||
||property certificate as well as regaining of plots||||
||planned as schools, Union will return the benefits||||
||to Victor Onward Holdings, in 10 working days||||
||since the collection. The actual costs and fees||||
||during the possession of the house property and||||
||land and the paid as well as the unpaid but||||
||necessary costs and fees for the reception of the||||
||above-mentioned benefits for Union Group or its||||
||third party will be deducted from the income. The||||
||specific benefits and payable costs and fees||||
||should be confirmed jointly by Union Group and||||
||Victor Onward Holdings based on the actual||||
||situations. （Notes:On June 25, 2015,All||||
||shareholders of Victor Onward Holdings, Union||||
||Group and Sino Great Wall Signed supplementary||||
||agreement, and specified that the land and houses||||
||without ownership certificate of Victor Onward||||
||Holdings located at the factory area of Kuixin||||
||community of Kuichong street office of||||
||Longgang district (the land area is about 50,000||||
||square meters, the built-up area of houses is about||||
||25,000 square meters, among them about 18,000||||
||square meters of buildings at built-up area are||||
||within the plan of removal and collection of||||
||government，hereinafter referred as||||
||“undocumented property) still belongs to Victor||||
||Onward Holdings. And the benefits and risks of||||
||the real estate without certificate are enjoyed and||||
||assumed by Victor Onward Holdings.”||||
||According to the Term 5.5.3 of Agreement on||||
||Major Asset Replacement and Asset Purchase||||
|Union|Through Issuing Shares (hereinafter referred to as||||
|||March||Strict|
|Development|Agreement) signed on October 13, 2014 by the||Long-term||
|||19,2015||performing|
|Group Co., Ltd|company and all shareholders of Victor Onward||||
||Co. Ltd.. and Sino Great Wall, Victor Onward||||
||Holdings should obtain the letter of approval||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||
|-|
|concerning the transferred debts of the disposed|
|assets from the creditor (including the guarantee,|
|similarly hereinafter) before the date of assets|
|delivery. In the situation of debts on Victor|
|Onward Holdings due to the absence of creditor’s|
|consent, the company or the third party appointed|
|by the company is in charge of paying off debts or|
|reaching agreement on the solution with the|
|creditor. When there are losses caused by|
|improper solutions of the company or the third|
|party appointed by the company, the company or|
|the third party appointed by the company will|
|fully compensate for the caused losses of Victor|
|Onward Holdings in 5 working days after|
|receiving the notice. According to the Term 5.5.4|
|of Agreement, after the date of assets delivery,|
|any compensations, obligations of payment and|
|penalties caused by disposed assets as well as|
|unsettled disputes in Victor Onward Holdings will|
|be undertaken and solved by the company or the|
|third party appointed by the company, and Victor|
|Onward Holdings assumes no responsibility.|
|When there are losses caused by it, the company|
|or the third party appointed by the company will|
|fully compensate for the caused losses of Victor|
|Onward Holdings in 5 working days after|
|receiving the notice. According to the Term 5.6.1|
|of Agreement and based on the principle of “staff|
|arrangement according to the assets”, the labor|
|relations, social insurance relations including|
|pension, medical treatment, unemployment,|
|working injury and maternity, and other liable|
|welfare and salary of all the staff in Victor|
|Onward Holdings. (including but not limited to|
|on-post Shenzhen Victor Onward Textile|
|Industrial Co., Ltd. The Third Quarterly Report|
|2015. 25 employees, employees awaiting job|
|assignments, retired employees, retained|
|employees with suspend salary, transferred|
|employees, and temporary employees, etc) will be|
|transferred to the company or the third party|
|appointed by the company. Compensations or|
|related matters (if any) due to the termination of|
|labor relationship in advance with Victor Onward|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||
|-|-|-|-|-|
|||Holdings, the company or the third party|||
|||appointed by the company will be in charge of the|||
|||payment. The company promises that for the|||
|||losses caused by matters such as the|||
|||above-mentioned debt transfers of disposed|||
|||assets, personnel arrangement, unsettled disputes,|||
|||potential debts, payment obligations and|||
|||penalties, the company or the third party|||
|||appointed by the company will fully compensate|||
|||for the losses of Victor Onward Holdings due to|||
|||the above-mentioned matters based on the|||
|||Agreement in cash.|||
|Commitments|||||
|make in initial|||||
||No|No|No|No|
|public offering or|||||
|re-financing|||||
|Other|||||
|commitments for|||||
||No|No|\No|No|
|medium and small|||||
|shareholders|||||
|Completed on|||||
||Yes||||
|time(Y/N)|||||
|If the|||||
|commitments is|||||
|not fulfilled on|||||
|time, shall explain|No||||
|the specify reason|||||
|and the next work|||||
|plan|||||

XI. Particulars about engagement and disengagement of CPAs firm
Whether the semi-annual financial report had been audited?
□ Yes√ No
The semi-annual financial report has not been audited.
XII. Punishment and Rectification
□ Applicable√ Not applicable
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 There was no any punishment and rectification of the Company in the reporting period.
XIII. Reveal of the delisting risks of illegal or violation
□ Applicable√ Not applicable
There was no any delisting risk of illegal or violation of the Company in the reporting period.
XIV. Explanation about other significant matters
√ Applicable□Not applicable
On June 24, 2016, the company published a notice that the company is planning the item of non-public share-issuing, therefore the trade of thecompany’s share shall be suspended from June 24, 2016. On July 7, 2016, the Proposal on theCompany’s Non-public A-share Issuance to Specific Objects and the relevant proposals were examined and approved in the
10th
board meeting of the
7th
session board of directors, therefore the trade of thecompany’s shares shall be restored from July 11, 2016. The Proposals related to thecompany’s non-public A-share issuance were examined and approved in the 2016 second extraordinary general shareholder meeting on July 25, 2016.
XV. 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 folly cashed on the approval date of annual report
No.
VI. Change of share capital and shareholding of Principal Shareholders
1.Changes in share capital
In shares
|||||||||||
|-|-|-|-|-|-|-|-|-|-|
||Before the change||Increase/decrease（+，-）|||||After the Change||
||Amount|Proporti||Bon||||||
||||Share||Capitalization of|||||
|||on||us||Othe|||Proportio|
||||allotm||common reserve||Subtotal|Quantity||
|||||shar||r|||n|
||||ent||fund|||||
|||||es||||||
|I. Share with conditional||||||||||
||277,968,976|62.20%|||778,313,133||778,313,133|1,056,282,109|62.20%|
|subscription||||||||||
|1.State-owned shares|0|0.00%|||0||0|||
|2.Staee-owned legal||||||||||
||0|0.00%|||0||0|||
|person shares||||||||||
|3.Other domestic shares|277,968,976|62.20%|||778,313,133||778,313,133|1,056,282,109|62.20%|
|Of which：Domestic legal||||||||||
||99,888,348|22.35%|||279,687,374||279,687,374|379,575,722|22.35%|
|person shares||||||||||
|Domestic natural person|178,080,628|39.85%|||498,625,758||498,625,758|676,706,386|39.85%|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||||
|-|-|-|-|-|-|-|
|shares|||||||
|4.Share held by foreign|||||||
||0|0.00%|0|0|||
|investors|||||||
|Of which：Foreign legal|||||||
||0|0.00%|0|0|||
|person shares|||||||
|Foreign natural person|||||||
||0|0.00%|0|0|||
|shares|||||||
|II. Shares with|||||||
||168,937,606|37.80%|473,025,296|473,025,296|641,962,902|37.80%|
|unconditional subscription|||||||
|1.Common shares in RMB|||||||
||99,515,703|22.27%|278,643,968|278,643,968|378,159,671|22.27%|
|.Foreign shares in domestic|||||||
||69,421,903|15.53%|194,381,328|194,381,328|263,803,231|15.53%|
|market|||||||
|III. Total of capital shares|446,906,582|100.00%|1,251,338,429|1,251,338,429|1,698,245,011|100.00%|

 Reasons for share changed:
√ Applicable□Not applicable
During the reporting period, upon the base of total share capital of 446,906,582 shares on the date of December 31, 2015, 28 shares were increased for every 10 shares to all the shareholders by converting capital reserve into share capital, therefore the total increased shares by converting capital reserve into share capital were 1,251,338,429 shares, so the total share capital were 1,698,245,011 shares after such share increasing by converting capital reserve into share capital.
Approval of Change of Shares
√ Applicable□Not applicable
Thecompany’s 2015 annual share increasing plan by converting capital reserve to share capital was examined and approved in the 2015 annual general shareholder meeting convened by the company on May 6, 2016.
Ownership transfer of share changes
√ Applicable□Not applicable
In June 2016, the company had implemented thecompany’s 2015 annual share increasing plan by converting capital reserve to share capital, and the increased A-shares were directly put into theshareholders’ A-share securities accounts on June 7, 2016. The increased B-shares were directly put into theshareholders’ B-share securities accounts on June 13, 2016. When the increased shares were registered, thecompany’s total share capital was increased to 1,698,245,011 shares.
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
On June 7, 2016, the company implemented the plan of 2015 annual profit distribution and share-increasing by converting capital reserve to share capital, thus thecompany’s total share capital was changed to 1,698,245,011 shares from 446,906,582 shares. Based on the total share capital after the increasing, the diluted 2015-annual earnings per share were RMB 0.2041. The net assets per share attributable to thecompany’s ordinary shareholders were RMB 0.75.
Other information necessary to disclose for the company or need to disclosed under requirement from security
regulators
Sino Great Wall Co., Ltd. The Semi-annual Report 2016□ Applicable√ Not applicable
Explanation on changes in aspect of total shares, shareholders structures as well as structure of assets and liability of the Company
√ Applicable□Not applicable
After thecompany’s implementation on the plan of increasing shares by converting capital reserve to share capital, thecompany’s total share capital was changed to 1,698,245,011 shares from 446,906,582 shares.
II. Shareholders and actual controlling shareholder
In Shares
|||||||||||
|-|-|-|-|-|-|-|-|-|-|
|||s54,275vr|||Total number of preferred|||||
|Total number of common||||||||||
||||||hareholders that had restored the|||||
|shareholders at the end of the||||||||0||
||||||oting right at the end of the|||||
|reporting period||||||||||
||||||eporting period (if any) (note 8)|||||
|Shareholding of shareholders holding more than 5% shares||||||||||
||||Proporti|||||Number os share||
||||on of|Number of|Changes in|Amount of|Amount of|pledged/frozen||
|Shareholders|Nuture of shareholder||shares|shares held at|reporting|restricted|un-restricted|State||
||||held|period -end|period|shares held|shares held|of|Amount|
||||（%）|||||share||
|Chen Lve|Domestic Naturalperson||34.33%|582,944,556|429,808,094|582,109,696|834,860|Mortg||
||||||||||431,760,594|
|||||||||age||
|Union HoldingsCo., Ltd.|Domestic Non-State-owned legalperson||6.79%|115,295,921|72,154,889||115,295,921|||
|STYLE-SUCCESS LIMITED|Foreign legal person||5.47%|92,970,910|68,504,881||92,970,910|||
|ShanghaiFinancialDevelopmentInvestmentFund(LP)|Domestic Non-State-owned legalperson||4.49%|76,300,504|56,221,424|76,300,504||||
|He Feiyan|Domestic Naturalperson||3.23%|54,800,458|40,379,285|54,800,458||||
|Jiutai Fund－Bank ofCommunications－JiutaiHuitong No.2specificcustomer assetmanagementplan|Other||2.50%|42,479,672|31,300,811|42,479,672||||
|Wuxi Hengtai|Domestic Non-||2.26%|38,330,615|28,243,611|38,330,615||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||||||
|-|-|-|-|-|-|-|-|
|Jiuding AssetsManagementCentre（LP）|State-owned legalperson|||||||
|Foshan HaihuiHeying VentureImvestmentPartnership(LimitedPartnership)|Domestic Non-State-owned legalperson|2.25%|38,150,252|28,110,712|38,150,252|||
|Jiangxi TaihaoVentureInvestmentCentre(LP）|Domestic Non-State-owned legalperson|1.87%|31,791,879|23,425,595|31,791,879|||
|YantaiZhaoxuanYuantai JiudingVentureInvestmentCentre(LP)|Domestic Non-State-owned legalperson|1.87%|31,742,745|23,389,391|31,742,745|||
|Strategy investors or general legal||||||||
|person becomes top 10 shareholders due||||||||
|||None||||||
|to rights issued (if applicable)See Notes||||||||
|3）||||||||
|||Chen Lve and He Yanfei are consortium officers; Wuxi Hengtai Jiuding Assets||||||
|Explanation on associated relationship||Management Centre （LP）and Yantai Zhaoxuan Yuantai Jiuding Venture Investment||||||
|or concerted action of the above||Centre（LP）are consortium officers,The other tradable shareholders neither knew whether||||||
|shareholders||there exists associated relationship between them||||||
|Shareholding of top 10 shareholders of unrestricted shares||||||||
|||Quantity of unrestricted shares held at the end of||||Share type||
|Name of the shareholder||||||||
|||the reporting period||||Share type|Quantity|
|Union Holdings Co., Ltd.||115,295,921||||RMB Common shares|115,295,921|
|STYLE-SUCCESS LIMITED||92,970,910||||Foreign shares placed||
||||||||92,970,910|
|||||||in domestic exchange||
|Rich Crown Investment Co., Ltd.||23,235,313||||Foreign shares placed||
||||||||23,235,313|
|||||||in domestic exchange||
|Liuzhou Jiali Real estateDevelopment Co., ltd.||13,350,040||||||
|||||||RMB Common shares|13,350,040|
|Zeng Ying||6,536,000||||Foreign shares placed||
||||||||6,536,000|
|||||||in domestic exchange||
|Chanan Fund－China EverbrightBank-Liu Wenjin||6,288,828||||||
|||||||RMB Common shares|6,288,828|
|KGI ASIA LIMITED||4,991,274||||Foreign shares placed||
||||||||4,991,274|
|||||||in domestic exchange||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||
|-|-|-|-|
|China Galaxy International Securities(Hongkong) Co., Ltd.|3,659,829|Foreign shares placed||
||||3,659,829|
|||in domestic exchange||
|Song Wenguang|3,444,966|Foreign shares placed||
||||3,444,966|
|||in domestic exchange||
|Xingzheng Securities AssetManagement－China Everbright Bank－No.57 collectin of assets managementplan for Xingzheng Securities asset|3,166,110|||
|||RMB Common shares|3,166,110|
|Explanation on associated relationship||||
|or consistent action among the top 10||||
|shareholders of non-restricted|The controlling shareholder of the above-mentioned largest shareholder Shenzhen Union|||
|negotiable shares and that between the|Holdings Ltd. and third shareholder Rich Crown Investment Co., Ltd.. Is Union|||
|top 10 shareholders of non-restricted|Development Group Ltd.|||
|negotiable shares and top 10||||
|shareholders||||
|Notes to the shareholders involved in||||
|financing securities (if any)(See Notes|None|||
|4)||||

Whether top ten common shareholders or top ten common shareholders with un-restrict shares held have a buy-back agreement dealing in reporting period.
□ Yes√ No
The top ten common shareholders or top ten common shareholders with un-restrict shares held of the Company have no buy–back agreement dealing in reporting period.
III. Change of the controlling shareholder or the actual controller
Change of the controlling shareholder in the reporting period
□ Applicable√ Not Applicable
There was no any change of the controlling shareholder of the Company in the reporting period.
Change of the actual controller in the reporting period
□ Applicable√ Not applicable
There was no any change of the actual controller of the Company in the reporting period.
IV. Particulars on shareholding increase scheme during the reporting period proposed or implemented by the shareholders and act-in-concert persons
√ Applicable□Not applicable
||||||
|-|-|-|-|-|
|Name of shareholder /|The planned|Actual increased|||
||||Actual increased|The initial date of disclosure of|
|Name of person acting|increase proportion|share-holding|||
||||shareholding proportion|increasing share-holdings plan|
|in concert|for the stake holding|q uantity|||
||2.00%|422,200|0.09%|July 7, 2015|
|Chen Lve|||||

Description of other information
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 On July 7, 2015, the company disclosed the Announcement on Increasing Share-holding Plan by theCompany’s Potential Actual Controller of Chenlue. On July 7, 2015, the company received a written notice from Mr. Chenlue, who is confident in thecompany’s future development based on the understandings of the current capital market situation and planned, by the means allowed by Shenzhen Stock Exchange((including but not limited to competitive transaction , block transaction, etc.), to increase the share-holding of thecompany’s A-shares and/or B-shares of no more than2% stake of thecompany’s total share capital which was based on the total share capital after the major assets swap and the share issuance to purchase assets. According to the relevant provisions of Measures for the Administration of the Takeover of Listed Companies, such increased stake shall not be lessened within 6 months commenced form the date of completion of the stake-holding increasing. As of July 7, 2016, Mr. Chenlue totally increased his stake-holding of 422,200 shares (Such quantity of the shares was before the implementation of 2015 annual profit distribution plan, while after the implementation of 2015 annual profit distribution plan, accordingly such quantity shall be 1,604,360 shares), which accounted for0.094% of thecompany’s total share capital.
VII. Situation of the Preferred Shares
□Applicable√Not applicable
The Company had no preferred shares in the reporting period
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 VIII. Information about Directors, Supervisors and Senior Executives
I. Change in shares held by directors, supervisors and senior executives
√ Applicable□Not applicable
|||||||||||
|-|-|-|-|-|-|-|-|-|-|
||||||Amount of||Number of|Number of||
|||||Amount of||||||
||||||shares||restricted|restricted|Number of|
||||Shares held at|shares||Shares held||||
||||||decreased||stock|stock|restricted stock|
|||Office|the|increased at||at the||||
|Name|Position||||at the||granted at|granted at|granted at the|
|||status|year-begin(sh|the reporting||year-ending||||
||||||reporting||the|the reporting|year-ending(sh|
||||are)|period(share||（share）||||
||||||period(sha||year-begin|period(share|are)|
|||||)||||||
||||||re)||. share)|)||
||Board|||||||||
||chairman,|||||||||
|Chen Lve||In office|153,136,462|428,782,094|0|582,944,556|0|0|0|
||General|||||||||
||Manager|||||||||
|Hu||||||||||
||Director|In office|0|0|0|0|0|0|0|
|Yongfeng||||||||||
||Director,D|||||||||
||eputy|||||||||
|Li Erlong||In office|3,000|8,400|0|11,400|0|0|0|
||General|||||||||
||Manager|||||||||
||Director,D|||||||||
|Liang|eputy|||||||||
|||In office|0|0|0|0|0|0|0|
|Rong|General|||||||||
||Manager|||||||||
|Wang Lei|Director|In office|0|0|0|0|0|0|0|
|Ban Bin|Director|In office|0|0|0|0|0|0|0|
|Tang|Independe|||||||||
|||In office|0|0|0|0|0|0|0|
|Jianxin|nt Director|||||||||
|Zhang|Independe|||||||||
|||In office|0|0|0|0|0|0|0|
|Yufeng|nt Director|||||||||
|Jiang||||||||||
||Independe|||||||||
|Chonggua||In office|0|0|0|0|0|0|0|
||nt Director|||||||||
|ng||||||||||
||Chairman|||||||||
||of the|||||||||
|Dong||||||||||
||supervisor|In office|0||0|0|0|0|0|
|Binggen||||||||||
||y|||||||||
||committee|||||||||
|Huang||||||||||
||Supervisor|In office|0|0|0|0|0|0|0|
|Shengde||||||||||
|Wu|Supervisor|In office|0|0|0|0|0|0|0|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||||||||
|-|-|-|-|-|-|-|-|-|-|
|Xiaoming||||||||||
||Deputy|||||||||
|Song||||||||||
||General|In office|0|0|0|0||0|0|
|Chenling||||||||||
||Manager|||||||||
|Cui Hongli|CFO|In office|0|0|0|0|0|0|0|
||Secretary|||||||||
|Yang|to the|||||||||
|||In office|0|0|0|0|0|0|0|
|Chunling|board of|||||||||
||directors|||||||||
|Total|--|--|153,139,462|428,790,494|0|582,955,956|0|0|0|

 II. Changes in directors, supervisors and senior management staffs
□ Applicable√ Not Applicable
Directors, supervisors and senior management staff did not change in the reporting period. For details, see the 2015 annual report.
IX. Financial Report
1. Audit report
Has this semi-annual report been audited?
□ Yes√ No
The semi-annual financial report has not been audited.
II. Financial statements
Currency unit for the statements in the notes to these financial statements:RMB
1.Consolidated Balance sheet
Prepared by : Sino Great Wall Co., Ltd.
In RMB
||||
|-|-|-|
|Items|Year-end balance|Year-beginning balance|
|Current asset：|||
|Monetary fund|1,114,361,163.46|695,384,561.31|
|Settlement provision|||
|Outgoing call loan|||
|Financial assets measured at fair|||
|value with variations accounted into||1,102,961.04|
|current income account|||
|Derivative financial assets|||
|Bill receivable|210,891,319.69|220,448,747.94|
|Account receivable|3,162,231,825.59|2,352,808,087.33|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
|Prepayments|117,820,004.51|77,707,568.38|
|Insurance receivable|||
|Reinsurance receivable|||
|Provisions of Reinsurance contracts|||
|receivable|||
|Interest receivable|||
|Dividend receivable|||
|Other account receivable|467,579,684.04|239,952,886.10|
|Repurchasing of financial assets|||
|Inventories|245,856,552.73|168,133,668.91|
|Assets held for sales|||
|Non-current asset due in 1 year|14,020,966.88|15,717,270.60|
|Other current asset|13,633,979.33|14,138,411.87|
|Total of current assets|5,346,395,496.23|3,785,394,163.48|
|Non-current assets：|||
|Loans and payment on other’s behalf|||
|disbursed|||
|Disposable financial asset|||
|Expired investment in possess|||
|Long-term receivable|||
|Long term share equity investment|||
|Property investment|||
|Fixed assets|95,739,662.33|43,846,215.63|
|Construction in progress|2,101,034.12|10,016,928.24|
|Engineering material|||
|Fixed asset disposal|||
|Production physical assets|||
|Gas & petrol|||
|Intangible assets|107,478,930.17|9,267,746.33|
|R & D petrol|||
|Goodwill|33,981,631.40|6,724,316.91|
|Long-germ expenses to be amortized|36,217,955.33|18,909,785.69|
|Differed income tax asset|59,287,367.87|47,950,278.07|
|Other non-current asset|100,540,012.47|95,353,390.28|
|Total of non-current assets|435,346,593.69|232,068,661.15|
|Total of assets|5,781,742,089.91|4,017,462,824.63|
|Current liabilities|||
|Short-term loans|1,786,708,647.08|225,408,496.07|
|Loan from Central Bank|||
|Deposit received and hold for others|||
|Call loan received|||
|Financial liabilities measured at fair|||
|value with variations accounted into|||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
|current income account|||
|Derivative financial liabilities|||
|Bill payable|314,222,954.89|143,410,167.17|
|Account payable|1,015,554,995.43|1,332,619,954.77|
|Advance payment|73,606,960.67|64,963,842.60|
|Selling of repurchased financial assets|||
|Fees and commissions receivable|||
|Employees’ wage payable|23,317,399.59|12,669,619.20|
|Tax payable|247,445,787.75|284,826,290.11|
|Interest payable|4,210,888.11|527,969.26|
|Dividend payable|||
|Other account payable|261,367,548.32|635,200,976.60|
|Reinsurance fee payable|||
|Insurance contract provision|||
|Entrusted trading of securities|||
|Entrusted selling of securities|||
|Liabilities held for sales|||
|Non-current liability due in 1 year|25,175,567.33|7,135,752.00|
|Other current liability|68,823,529.00||
|Total of current liability|3,820,434,278.17|2,706,763,067.78|
|Non-current liabilities：|||
|Long-term loan|420,458,334.52|30,140,649.14|
|Bond payable|||
|Including：preferred stock|||
|Sustainable debt|||
|Long-term payable|||
|Long=term payable employees’s|||
|remuneration|||
|Special payable|||
|Expected liabilities|||
|Differed income|||
|Differed income tax liability|28,759,092.55|15,444.16|
|Other non-current liabilities|||
|Total non-current liabilities|449,217,427.07|30,156,093.30|
|Total of liability|4,269,651,705.24|2,736,919,161.08|
|Owners’ equity|||
|Share capital|1,698,245,011.00|446,906,582.00|
|Other equity instruments|||
|Including：preferred stock|||
|Sustainable debt|||
|Capital reserves|-1,301,706,291.22|-50,367,862.22|
|Less：Shares in stock|||
|Other comprehensive income|-132.50||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
|Special reserves|74,370,126.02|46,014,941.54|
|Surplus reserves|84,394,441.23|84,394,441.23|
|Common risk provision|||
|Undistributed profit|959,222,073.64|755,308,636.19|
|Total of owner’s equity belong to the|||
||1,514,525,228.17|1,282,256,738.74|
|parent company|||
|Minority shareholders’ equity|-2,434,843.50|-1,713,075.19|
|Total of owners’ equity|1,512,090,384.67|1,280,543,663.55|
|Total of liabilities and owners’ equity|5,781,742,089.91|4,017,462,824.63|

 Legal Representative: Chen Lve
Person in charge ofaccounting：Cui Hongli
Accounting Dept Leader: Cui Hongli
2. Balance sheet of Parent Company
In RMB
||||
|-|-|-|
|Items|Year-end balance|Year-beginning balance|
|Current asset：|||
|Monetary fund|264,417,393.06|239,145,251.31|
|Financial assets measured at fair value|||
|with variations accounted into current|||
|income account|||
|Derivative financial assets|||
|Bill receivable|||
|Account receivable||29,083.30|
|Prepayments|761,881.82||
|Interest receivable|||
|Dividend receivable|||
|Other account receivable|1,304,458,764.96||
|Inventories|||
|Assets held for sales|||
|Non-current asset due in 1 year|||
|Other current asset|140,807.87||
|Total of current assets|1,569,778,847.71|239,174,334.61|
|Non-current assets：|||
|Disposable financial asset|||
|Expired investment in possess|||
|Long-term receivable|||
|Long term share equity investment|3,176,451,536.66|3,079,451,536.66|
|Property investment|||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
|Fixed assets|5,008.00||
|Construction in progress|||
|Engineering material|||
|Fixed asset disposal|||
|Production physical assets|||
|Gas & petrol|||
|Intangible assets|||
|R & D petrol|||
|Goodwill|||
|Long-germ expenses to be amortized|23,234,735.71||
|Deferred income tax asset|382.68|382.68|
|Other non-current asset|||
|Total of non-current assets|3,199,691,663.05|3,079,451,919.34|
||4,769,470,510.76|3,318,626,253.95|
|Total of assets|||
|Current liabilities|||
|Short-term loans|1,255,000,000.00||
|Financial liabilities measured at fair|||
|value with variations accounted into|||
|current income account|||
|Derivative financial liabilities|||
|Bill payable|||
|Account payable|||
|Advance payment|||
|Employees’ wage payable|1,066,439.92||
|Tax payable|97,163,195.11|98,150,372.30|
|Interest payable|3,150,083.33||
|Dividend payable|||
|Other account payable|721,700.86|803,339.56|
|Liabilities held for sales|||
|Non-current liability due in 1 year|||
|Other current liability|||
|Total of current liability|1,357,101,419.22|98,953,711.86|
|Non-current liabilities：|||
|Long-term loan|200,000,000.00||
|Bond payable|||
|Including：preferred stock|||
|Sustainable debt|||
|Long-term payable|||
|Employees’ wage payable|||
|Special payable|||
|Expected liabilities|||
|Deferred income|||
|Deferred income tax liability|||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
|Other non-current liabilities|||
|Total of Non-current liabilities|200,000,000.00||
|Total of liability|1,557,101,419.22|98,953,711.86|
|Owners’ equity|||
|Share capital|1,698,245,011.00|446,906,582.00|
|Other equity instrument|||
|Including：preferred stock|||
|Sustainable debt|||
|Capital reserves|1,237,956,472.37|2,489,294,901.37|
|Less：Shares in stock|||
|Other comprehensive income|||
|Special reserves|||
|Surplus reserves|26,309,287.00|26,309,287.00|
|Undistributed profit|249,858,321.17|257,161,771.72|
|Total of owners’ equity|3,212,369,091.54|3,219,672,542.09|
|Total of liabilities and owners’ equity|4,769,470,510.76|3,318,626,253.95|

 3.Consolidated Income Statement
In RMB
||||
|-|-|-|
|Items|Report period|Same period of the previous year|
|I. Income from the key business|1,953,574,755.51|2,081,209,219.16|
|Incl：Business income|1,953,574,755.51|2,081,209,219.16|
|Interest income|||
|Insurance fee earned|||
|Fee and commission received|||
|II. Total business cost|1,662,031,476.57|1,855,070,717.88|
|Incl：Business cost|1,460,727,131.33|1,690,684,183.21|
|Interest expense|||
|Fee and commission paid|||
|Insurance discharge payment|||
|Net claim amount paid|||
|Insurance policy dividend paid|||
|Insurance policy dividend paid|||
|Reinsurance expenses|||
|Business tax and surcharge|9,026,652.11|44,597,636.60|
|Sales expense|9,259,264.24|7,502,905.30|
|Administrative expense|112,993,754.29|64,838,318.67|
|Financial expenses|70,024,674.60|17,908,021.84|
|Asset impairment loss|78,527,096.27|29,539,652.25|
|Add：Gains from change of fir value|||
|||25,148.61|
|（“-”for loss）|||
|Investment gain（“-”for loss）|46,868.49||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
|Incl: investment gains from affiliates|||
|Gains from currency exchange（“-”for|||
|loss）|||
|III. Operational profit（“-”for loss）|213,063,051.16|226,163,649.89|
|Add ：Non-operational income|29,133,269.00|379,419.84|
|Including：Income from disposal of|||
|non-current assets|||
|Less：Non business expenses|2,755,912.00|33,439.34|
|Incl：Loss from disposal of non-current|||
|||31,839.34|
|assets|||
|IV.Total profit(“-”for loss)|239,440,408.16|226,509,630.39|
|Less：Income tax expenses|37,862,759.83|61,167,289.27|
|V. Net profit|201,577,648.33|165,342,341.12|
|Net profit attributable to the owners of|||
||202,299,416.64|165,342,341.12|
|parent company|||
|Minority shareholders’ equity|-721,768.31||
|VI. Other comprehensive income|-132.50|0.00|
|Net of profit of other comprehensive inco|||
|me attributable to owners of the parent co|-132.50|0.00|
|mpany.|||
|（I）Other comprehensive income items|||
|that will not be reclassified into|||
|gains/losses in the subsequent|||
|accounting period|||
|1.Re-measurement of defined benefit pla|||
|ns of changes in net debt or net assets|||
|2.Other comprehensive income under the|||
|equity method investee can not be reclass|||
|ified into profit or loss.|||
|（II）|||
||-132.50|0.00|
|Other comprehensive income that will b|||
|e reclassified into profit or loss.|||
|1.Other comprehensive income under the|||
|equity method investee can be reclassifie|||
|d into profit or loss.|||
|2.Gains and losses from changes in fair v|||
|alue available for sale financial assets|||
|3.Held-to-maturity investments reclassifi|||
|ed to gains and losses of available for sal|||
|e financial assets|||
|4.The effective portion of cash flow hedg|||
|es and losses|||
|5.Translation differences in currency fina|||
||-132.50|0.00|
|ncial statements|||
|6.Other|||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
|7.Net of profit of other comprehensive i|||
|ncome attributable to Minority|0.00|0.00|
|shareholders’ equity|||
|VII. Total comprehensive income|201,577,515.83|165,342,341.12|
|Total comprehensive income attributable|202,299,284.14||
|||165,342,341.12|
|to the owner of the parent company|||
|Total comprehensive income attributable|-721,768.31||
|minority shareholders|||
|VIII. Earnings per share|||
|（I）Basic earnings per share|0.12|0.10|
|(II)Diluted earnings per share|0.12|0.10|

 The current business combination under common control, the net profits of the combined party before achieved ne t profit of RMB 198,300,449.93, last period the combined party realized RMB 165,342,341.12.
Legal Representative:Chen Lve
Person in charge ofaccounting：Cui Hongli
Accounting Dept Leader: Cui Hongli
4. Income statement of the Parent Company
In RMB
||||
|-|-|-|
|Items|Amount in this period|Amount in last period|
|I. Income from the key business|115,940.34|1,917,380.00|
|Incl：Business cost|0.00|168,586.00|
|Business tax and surcharge||149,728.00|
|Sales expense|||
|Administrative expense|13,785,695.93|3,135,693.00|
|Financial expenses|19,950,608.66|-866,617.00|
|Asset impairment loss|-1,530.70||
|Add：Gains from change of fir value（“-”for loss）|||
|Investment gain（“-”for loss）|||
|Incl: investment gains from affiliates|||
|II. Operational profit（“-”for loss）|-33,618,833.55|-670,010.00|
|Add ：Non-operational income|29,071,295.00||
|Including：Income from disposal ofnon-current assets|||
|Less：Non business expenses|2,755,912.00||
|Incl：Loss from disposal of non-currentassets|||
|III.Total profit(“-”for loss)|-7,303,450.55|-670,010.00|
|Less：Income tax expenses|||
|IV. Net profit（“-”for net loss）|-7,303,450.55|-670,010.00|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
|V.Net of profit of other comprehensive i|||
||0.00|40,084.00|
|ncome|||
|（I）Other comprehensive income items|||
|that will not be reclassified into|||
|||40,084.00|
|gains/losses in the subsequent|||
|accounting period|||
|1.Re-measurement of defined benefit pl|||
|ans of changes in net debt or net assets|||
|2.Other comprehensive income under th|||
|e equity method investee can not be recl|||
|assified into profit or loss.|||
|（II）|||
|Other comprehensive income that will b|||
|e reclassified into profit or loss.|||
|1.Other comprehensive income under th|||
|e equity method investee can be reclassi|||
|fied into profit or loss.|||
|2.Gains and losses from changes in fair|||
|value available for sale financial assets|||
|3.Held-to-maturity investments reclassif|||
|ied to gains and losses of available for s|||
|ale financial assets|||
|4.The effective portion of cash flow hed|||
|ges and losses|||
|5.Translation differences in currency fin|||
|ancial statements|||
|6.Other|||
|VI. Total comprehensive income|-7,303,450.55|-629,926.00|
|VII. Earnings per share：|||
|（I）Basic earnings per share|||
|(II)Diluted earnings per share|||

5. Consolidated Cash flow statement
In RMB
||||
|-|-|-|
|Items|Amount in this period|Amount in last period|
|I.Cash flows from operating activities|||
|Cash received from sales of goods or|||
||805,577,789.73|878,764,409.16|
|rending of services|||
|Net increase of customer deposits|||
|and capital kept for brother company|||
|Net increase of loans from central bank|||
|Net increase of inter-bank loans from|||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
|other financial bodies|||
|Cash received against original insurance|||
|contract|||
|Net cash received from reinsurance|||
|business|||
|Net increase of client deposit and|||
|investment|||
|Net increase of amount from disposal|||
|financial assets that measured by fair|||
|value and with variation reckoned into|||
|current gains/losses|||
|Net increase of inter-bank fund|||
|received|||
|Net increase of trade financial asset|||
|disposal|||
|Net increase of repurchasing business|||
|Tax returned|3,004.17||
|Other cash received from business|339,397,760.63||
|||180,660,797.51|
|operation|||
|Sub-total of cash inflow|1,144,978,554.53|1,059,425,206.67|
|Cash paid for purchasing of|||
||1,158,556,976.75|988,366,445.02|
|merchandise and services|||
|Net increase of client trade and advance|||
|Net increase of savings n central bank|||
|and brother company|||
|Cash paid for original contract claim|||
|Cash paid for interest, processing fee|||
|and commission|||
|Cash paid for policy dividend|||
|Cash paid to staffs or paid for staffs|101,231,096.05|69,516,152.17|
|Taxes paid|86,805,215.28|53,832,357.06|
|Other cash paid for business activities|1,055,001,225.65|191,506,125.25|
|Sub-total of cash outflow from business|||
||2,401,594,513.73|1,303,221,079.50|
|activities|||
|Cash flow generated by business|||
||-1,256,615,959.20|-243,795,872.83|
|operation, net|||
|II.Cash flow generated by investing|||
|Cash received from investment|||
||12,800,000.00||
|retrieving|||
|Cash received as investment gains|146,912.79||
|Net cash retrieved from disposal of|||
|fixed assets, intangible assets, and other||89,678.00|
|long-term assets|||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
|Net cash received from disposal of|||
|subsidiaries or other operational units|||
|Other investment-related cash received|||
|Sub-total of cash inflow due to|||
||12,946,912.79|89,678.00|
|investment activities|||
|Cash paid for construction of|||
|fixed assets, intangible assets|16,234,590.65|16,557,303.16|
|and other long-term assets|||
|Cash paid as investment|||
|Net increase of loan against pledge|||
|Net cash received from subsidiaries and|||
||97,000,000.00||
|other operational units|||
|Other cash paid for investment|||
|||3,884.29|
|activities|||
|Sub-total of cash outflow due to|||
||113,234,590.65|16,561,187.45|
|investment activities|||
|Net cash flow generated by investment|-100,287,677.86|-16,471,509.45|
|III.Cash flow generated by financing|||
|Cash received as investment|||
|Incl: Cash received as investment from|||
|minor shareholders|||
|Cash received as loans|2,195,182,638.00|348,000,000.00|
|Cash received from bond placing|||
|Other financing –related ash received|103,516,162.13|177,282,072.41|
|Sub-total of cash inflow from financing|||
||2,298,698,800.13|525,282,072.41|
|activities|||
|Cash to repay debts|317,642,499.29|287,031,864.55|
|Cash paid as dividend, profit, or|||
||36,392,124.49|10,302,041.01|
|interests|||
|Incl: Dividend and profit paid by|||
|subsidiaries to minor shareholders|||
||561,003,771.39||
|Other cash paid for financing activities||50,178,511.92|
||915,038,395.17||
|Sub-total of cash outflow due to|||
|||347,512,417.48|
|financing activities|||
||1,383,660,404.96||
|Net cash flow generated by financing||177,769,654.93|
|IV. Influence of exchange rate|||
||1,620,952.17|-41,620.57|
|alternation on cash and cash equivalents|||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
||28,377,720.07||
|V.Net increase of cash and cash|||
|||-82,539,347.92|
|equivalents|||
|Add: balance of cash and cash|||
||582,743,756.81|243,759,954.90|
|equivalents at the beginning of term|||
||611,121,476.88||
|VI ..Balance of cash and cash|||
|||161,220,606.98|
|equivalents at the end of term|||

6. Cash flow statement of the Parent Company
In RMB
||||
|-|-|-|
|Items|Amount in this period|Amount in last period|
|I.Cash flows from operating activities|||
|Cash received from sales of goods or|||
||139,273.00|1,917,380.00|
|rending of services|||
|Tax returned|||
|Other cash received from business|||
||578,645,723.03|2,058,967.00|
|operation|||
|Sub-total of cash inflow|578,784,996.03|3,976,347.00|
|Cash paid for purchasing of|||
|merchandise and services|||
|Cash paid to staffs or paid for staffs|132,268.03|781,594.00|
|Taxes paid|1,313,588.98|662,064.00|
|Other cash paid for business activities|1,893,003,110.13|3,715,030.00|
|Sub-total of cash outflow from business|||
||1,894,448,967.14|5,158,688.00|
|activities|||
|Cash flow generated by business|||
||-1,315,663,971.11|-1,182,341.00|
|operation, net|||
|II.Cash flow generated by investing|||
|Cash received from investment|||
|retrieving|||
|Cash received as investment gains|||
|Net cash retrieved from disposal of|||
|fixed assets, intangible assets, and other|||
|long-term assets|||
|Net cash received from disposal of|||
|subsidiaries or other operational units|||
|Other investment-related cash received|||
|Sub-total of cash inflow due to|||
|investment activities|||
|Cash paid for construction of|||
|fixed assets, intangible assets|||
|and other long-term assets|||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
|Cash paid as investment|||
|Net cash received from subsidiaries and|||
||97,000,000.00||
|other operational units|||
|Other cash paid for investment|||
|activities|||
|Sub-total of cash outflow due to|||
||97,000,000.00||
|investment activities|||
|Net cash flow generated by investment|-97,000,000.00||
|III.Cash flow generated by financing|||
|Cash received as investment|||
|Cash received as loans|1,455,000,000.00||
|Cash received from bond placing|||
|Other financing –related ash received|||
|Sub-total of cash inflow from financing|||
||1,455,000,000.00||
|activities|||
|Cash to repay debts|||
|Cash paid as dividend, profit, or|||
||17,063,887.14||
|interests|||
|Other cash paid for financing activities|0.00||
|Sub-total of cash outflow due to|||
||17,063,887.14||
|financing activities|||
|Net cash flow generated by financing|1,437,936,112.86||
|IV. Influence of exchange rate|||
|alternation on cash and cash equivalents|||
|V.Net increase of cash and cash|||
||25,272,141.75|-1,182,341.00|
|equivalents|||
|Add: balance of cash and cash|||
||239,145,251.31|8,480,977.00|
|equivalents at the beginning of term|||
|VI ..Balance of cash and cash|||
||264,417,393.06|7,298,636.00|
|equivalents at the end of term|||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016 7. Consolidated Statement on Change inOwners’ Equity
Amount in this period
In RMB
|||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|-|
||Amount in this period|||||||||||||
||Owner’s equity Attributable to the Parent Company|||||||||||||
|||Other Equity||||||||||||
|||instrusment|||||Other|||||Minor|Total of|
|Itme||||||Less:||||Common||||
||||||Capital||Comprehen|Specialized|Surplus||Attributable|shareholders’|owners’|
||Share Capital|||||Shares||||risk||||
|||preferre|Sustain||reserves||sive|reserve|reserves||profit|equity|equity|
|||||Other||in stock||||provision||||
|||d stock|able||||Income|||||||
||||debt|||||||||||
|I.Balance at the end of|||||-50,367,862.2|||46,014,941|84,394,441.2||||1,280,543,663|
||446,906,582.00||||||||||755,308,636.19|-1,713,075.19||
|last year|||||2|||.54|3||||.55|
|Add: Change of||||||||||||||
|accounting policy||||||||||||||
|Correcting of previous||||||||||||||
|errors||||||||||||||
|Merger of entities under||||||||||||||
|common control||||||||||||||
|Other||||||||||||||
|II.Balance at the||||||||||||||
||||||-50,367,862.2|||46,014,941|84,394,441.2||||1,280,543,663|
|beginning of current|446,906,582.00||||||||||755,308,636.19|-1,713,075.19||
||||||2|||.54|3||||.55|
|year||||||||||||||
|III.Changed in the|1,251,338,429.||||-1,251,338,42|||28,355,184|||203,913,437.45|-721,768.31|231,546,721.12|
||||||||-132.50|||||||
|current year|00||||9.00|||.48||||||
|（1）Total|||||||||||202,299,416.64|-721,768.31|201,577,648.33|
|comprehensive income||||||||||||||
|（II）Investment or||||||||||||||
|decreasing of capital by||||||||||||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||
|-|-|-|-|-|
|owners|||||
|1．Ordinary Shares inv|||||
|ested by hareholders|||||
|2．Holders of other equ|||||
|ity instruments invested|||||
|capital|||||
|3．Amount of shares|||||
|paid and accounted as|||||
|owners’ equity|||||
|4．Other|||||
|（III）Profit allotment|||165,552.20|165,552.20|
|1.Providing of surplus|||||
|reserves|||||
|2.Providing of|||||
|common risk provisions|||||
|3．Allotment to the|||||
|owners (or|||||
|shareholders)|||||
|4．Other|||165,552.20|165,552.20|
|(IV) Internal|||||
||1,251,338,429.|-1,251,338,42|||
|transferring of owners’|||||
||00|9.00|||
|equity|||||
|1. Capitalizing of capital|||||
||1,251,338,429.|-1,251,338,42|||
|reserves (or to capital||||0.00|
||00|9.00|||
|shares)|||||
|2. Capitalizing of|||||
|surplus reserves (or to|||||
|capital shares)|||||
|3．Making up losses by|||||
|surplus reserves.|||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||||||
|-|-|-|-|-|-|-|-|-|
|4. Other|||||||||
|||||28,355,184|||||
|(V). Special reserves||||||||28,355,184.48|
|||||.48|||||
|||||28,355,184|||||
|1. Provided this year||||||||28,355,184.48|
|||||.48|||||
|2．Used this term|||||||||
|（VI）Other||||||1,448,468.61|||
|IV. Balance at the end of|1,698,245,011.00|-1,301,706,29||74,370,126|84,394,441.2|||1,512,090,384.67|
||||-132.50|||959,222,073.64|-2,434,843.50||
|this term||1.22||.02|3||||

 Amount in last year
In RMB
|||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|-|
||Amount in last year|||||||||||||
||Owner’s equity Attributable to the Parent Company|||||||||||||
|||Other Equity||||||||||||
|||instrusment|||||Other|||||Minor|Total of|
|Items||||||Less:||||Common||||
|||preferr|||Capital||Compre|Specialized|Surplus||Attributable|shareholders’|owners’|
||Share Capital||Sustai|||Shares||||risk||||
|||ed||Other|reserves||hensive|reserve|reserves||profit|equity|equity|
||||nable|||in stock||||provision||||
|||stock|||||Income|||||||
||||debt|||||||||||
|I.Balance at the end of|||||176,467,549.0|||21,813,200.1|49,347,406.2||||761,471,188.4|
||70,136,099.00||||||-85.60||||443,707,019.71|||
|last year|||||0|||0|3||||4|
|Add: Change of||||||||||||||
|accounting policy||||||||||||||
|Correcting of previous||||||||||||||
|errors||||||||||||||
|Merger of entities under||||||||||||||
|common control||||||||||||||
|Other||||||||||||||
|II.Balance at the|70,136,099.00||||176,467,549.0||-85.60|21,813,200.1|49,347,406.2||443,707,019.71||761,471,188.4|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||||
|-|-|-|-|-|-|-|
|beginning of current|0||0|3||4|
|year|||||||
|III.Changed in the|||-12,203,238.7|||153,139,152.6|
|||50.30|||165,342,341.12||
|current year|||5|||7|
|（1）Total|||||||
|comprehensive income|||||||
|（II）Investment or|||||||
|decreasing of capital by|||||||
|owners|||||||
|1．Ordinary Shares inv|||||||
|ested by hareholders|||||||
|2．Holders of other equ|||||||
|ity instruments invested|||||||
|capital|||||||
|3．Allotment to the|||||||
|owners (or|||||||
|shareholders)|||||||
|4．Other|||||||
|||||||165,342,391.4|
|（III）Profit allotment||50.30|||165,342,341.12||
|||||||2|
|1.Providing of surplus|||||||
|reserves|||||||
|2.Providing of|||||||
|common risk provisions|||||||
|3．Allotment to the|||||||
|owners (or|||||||
|shareholders)|||||||
|4．Other||50.30|||165,342,341.12||
|(IV) Internal|||||||
|transferring of owners’|||||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||||||
|-|-|-|-|-|-|-|-|
|equity||||||||
|1. Capitalizing of capital||||||||
|reserves (or to capital||||||||
|shares)||||||||
|2. Capitalizing of||||||||
|surplus reserves (or to||||||||
|capital shares)||||||||
|3．Making up losses by||||||||
|surplus reserves.||||||||
|4. Other||||||||
|||||-12,203,238.7|||-12,203,238.7|
|(V) Special reserves||||||||
|||||5|||5|
|1. Provided this year||||||||
|||||-12,203,238.7||||
|2．Used this term||||||||
|||||5||||
|（VI）Other||||||||
|IV. Balance at the end of||176,467,549.0|||49,347,406.2||914,610,341.1|
||70,136,099.00||-35.30|9,609,961.35||609,049,360.83||
|this term||0|||3||1|

 8. Statement of change inowner’s Equity of the Parent Company
Amount in this period
In RMB
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
||Amount in this period|||||||||||
|||Other Equity instrusment|||||Other|||||
|Items||||||Less: Shares in|Comprehen|Specializ|||Total of owners’|
||Share Capital|preferre|||Capital reserves|||ed|Surplus reserves|Attributable||
||||Sustaina|Other||stock|sive|||profit|equity|
|||d stock|ble debt||||Income|reserve||||
|I.Balance at the end of last|446,906,582.00||||2,489,294,901.37||||26,309,287.00|257,161,771.72|3,219,672,542.09|
|year||||||||||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||||
|-|-|-|-|-|-|
|Add: Change of||||||
|accounting policy||||||
|Correcting of previous||||||
|errors||||||
|Other||||||
|II.Balance at the||||||
||446,906,582.00|2,489,294,901.37|26,309,287.00|257,161,771.72|3,219,672,542.09|
|beginning of current year||||||
|III.Changed in the current||||||
||1,251,338,429.00|-1,251,338,429.00||-7,303,450.55|-7,303,450.55|
|year||||||
|（1）Total comprehensive||||||
|||||-7,303,450.55|-7,303,450.55|
|income||||||
|（II）Investment or||||||
|decreasing of capital by||||||
|owners||||||
|1．Ordinary Shares invest||||||
|ed by hareholders||||||
|2．Holders of other equit||||||
|y instruments invested cap||||||
|ital||||||
|3．Allotment to the owners||||||
|(or shareholders)||||||
|4．Other||||||
|（III）Profit allotment||||||
|1.Providing of surplus||||||
|reserves||||||
|2．Allotment to the owners||||||
|(or shareholders)||||||
|3．Other||||||
|(IV)Internal transferring||||||
||1,251,338,429.00|-1,251,338,429.00|0.00|||
|of owners’ equity||||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||||
|-|-|-|-|-|-|
|1. Capitalizing of capital||||||
|reserves (or to capital|1,251,338,429.00|-1,251,338,429.00|0.00|||
|shares)||||||
|2. Capitalizing of surplus||||||
|reserves (or to capital||||||
|shares)||||||
|3．Making up losses by||||||
|surplus reserves.||||||
|4. Other||||||
|(V) Special reserves||||||
|1. Provided this year||||||
|2．Used this term||||||
|（VI）Other||||||
|IV. Balance at the end of|||||3,212,369,091.54|
||1,698,245,011.00|1,237,956,472.37|26,309,287.00|249,858,321.17||
|this term||||||

Amount in last year
In RMB
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
||Amount in last year|||||||||||
|||Other Equity instrusment||||||||||
||||||||Other|||||
|Itmes||||||Less: Shares||Specialized|||Total of owners’|
||Share Capital|preferre|||Capital reserves||Comprehensiv||Surplus reserves|Attributable||
||||Sustaina|Other||in stock||reserve||profit|equity|
|||d stock|ble debt||||e Income|||||
|I.Balance at the|169,142,356.00||||31,606,598.00||||26,309,287.00|-100,562,791.00|126,495,450.00|
|end of last year||||||||||||
|Add: Change of||||||||||||
|accounting||||||||||||
|policy||||||||||||
|Correcting of||||||||||||
|previous errors||||||||||||
|Other||||||||||||
|II.Balance at the|169,142,356.00||||31,606,598.00||||26,309,287.00|-100,562,791.00|126,495,450.00|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
|beginning of|||
|current year|||
|III.Changed in the|||
||-629,926.00|-629,926.00|
|current year|||
|（1）Total|||
|comprehensive|-629,926.00|-629,926.00|
|income|||
|（II）Investment or|||
|decreasing of|||
|capital by owners|||
|1．Ordinary Share|||
|s invested by hareh|||
|olders|||
|2．Holders of oth|||
|er equity instrume|||
|nts invested capital|||
|3．Allotment to the|||
|owners (or|||
|shareholders)|||
|4．Other|||
|（III）Profit|||
|allotment|||
|1.Providing of|||
|surplus reserves|||
|2．Allotment to the|||
|owners (or|||
|shareholders)|||
|3．Other|||
|(IV)Internal|||
|transferring of|||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||||
|-|-|-|-|-|-|
|owners’ equity||||||
|1. Capitalizing of||||||
|capital reserves (or||||||
|to capital shares)||||||
|2. Capitalizing of||||||
|surplus reserves||||||
|(or to capital||||||
|shares)||||||
|3．Making up||||||
|losses by surplus||||||
|reserves.||||||
|4. Other||||||
|(V) Special||||||
|reserves||||||
|1. Provided this||||||
|year||||||
|2．Used this term||||||
|（VI）Other||||||
|IV. Balance at the||||||
||169,142,356.00|31,606,598.00|26,309,287.00|-101,192,717.00|125,865,524.00|
|end of this term||||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016 III.Basic Information of the Company
Sino Great Wall Co., Ltd. (hereinafter referred to as the "Company" or "Sino Great Wall") is formerly known as Shenzhen Victor Onward Textile Industrial Company Limited which is formerly known as Xinnan Printing and Dyeing Factory Co., Ltd.. Established in 1980, Xinnan Printing and Dyeing Factory Co., Ltd. is the first wholly foreign-owned enterprise in Shenzhen. In April 1984, Xinnan Printing and Dyeing Factory Co., Ltd. was changed into a foreign joint venture and was renamed Shenzhen Victor Onward Printing and Dyeing Co., Ltd.. On November 19, 1991, approved by the Government of Shenzhen City, Shenzhen Victor Onward Printing and Dyeing Co., Ltd. was restructured into a joint stock limited company and was renamed Shenzhen Victor Onward Textile Industrial Company Limited.
Domestic listed RMB ordinary shares ("A" shares; stock code: 000018) and overseas-listed foreign investment shares ("B" shares; stock code: 200018) issued by the Company were listed for trading on the Shenzhen Stock Exchange in 1992.
On July 23, 2015, approved by the China Securities Regulatory Commission under the Official Reply to Approving Shenzhen Victor Onward Textile Industrial Company Limited to Make Major Assets Restructuring and Issue Shares to Chen Lve and Other Shareholders to Purchase Assets and Raise Supporting Funds (Z.J.X.K.[2015] No.1774), the Company issued 251,849,593 shares to Chen Lve and other 167shareholders to purchase100% of equities of Sino Great Wall International Engineering Co., Ltd. held by them and issued to them 25,914,633 non-public offering shares, which raised funds of RMB 254,999,988.72.
As at September 24, 2015, equities of the listed company were changed to be registered in the name of the Company. Both parties fully completed the transfer of equities and the relevant formalities of industrial and commercial registration of changes, so the Company already owned100% of equities in the listed company. Meanwhile, according to the Confirmation on Delivery of Exchange-Out Assets, as at the date of delivery (namely July 31, 2015), all assets and liabilities of the Company had been exchanged out. On September 24, 2015, Shenzhen Branch of the China Securities Depository and Clearing Corporation Li mited had completed the relevant securities registration formalities for the above new shares.
On July 29, 2015, the listed company received the new registered capital of RMB 251,849,593 paid by all the shareholders of Sino Great Wall. Ruihua Certified Public Accountants issued the Verification Report (R.H.Y.Z.[2015] No.48250011) on July 30, 2015. Registered capital after the change was RMB 420,991,949 and share capital RMB 420,991,949. On December 4, 2015, Shenzhen Victor Onward Textile Industrial Company Limited. was renamed Sino Great Wall Co., Ltd..
As at June 30, 2016, total share capital of the Company was 1,698,245,011 shares, in which there were 1,434,441,780 circulating A shares and 263,803,231 circulating B shares. Chen Lve who holds 582,944,556 A shares, accounting for34.33% of the total share capital, is the Company's controlling shareholder and actual controller.
Registered address of the Company: No.26 Kuipeng Road, Baishi Gang, Kuichong Town, Longgang District, Shenzhen. Legal representative: Chen Lve. The Company falls under textile printing and dyeing industry. The Company mainly engages in dyeing and printing production, processing and sales of all kinds of pure cotton, pure linen, polyester cotton, ramie cotton, high-grade blended fabrics and finished garments.
During the reporting period, the company had completed the purchase of Wuhan Commercial& Vocational Hospital Co.,Ltd and the company shall incorporate it into the consolidated financial statements.
IV.Basis for the preparation of financial statements
1.Basis for the preparation
The company is based on continuous operation, according to the actual transactions and events, in accordance wit h "Accounting Standards for Enterprises - Basic Standards" issued by the Ministry of Finance and specific corpora
te accounting standards, corporate accounting standards application guide, explained Accounting Standards and ot
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 her regulations (hereinafter referred to as "Enterprise Accounting Standards") are recognized and used to measure, on this basis, combined with China Securities Regulatory Commission, "public offering of securities of the Comp any disclosure Rule No. 15 - financial Reporting general Provisions" (2014 revised) , the financial report was base d on it.
2. Continuous operation.
The Company since 12 months after the reporting period does not exist on the company's continued viability of si gnificant concern events or circumstances.
V. Significant accounting policies and accounting estimates
Specific accounting policies and accounting estimates tips:
1. Statement on the Accounting Standard Followed by the Company
The financial statements prepared by the Company comply with the requirements of corporate accounting standards. They truly and completely reflect the financial situations, operating results, equity changes and cash flow, and other relevant information of the company.
2.Fiscal Year
The Company adopts the Gregorian calendar year commencing on January 1 and ending on December 31 as the fiscal year.
The reporting period is from January 1, 2016 to June 30, 2016.
3.Operating cycle
The Company has an operating cycle of 12 months.
4. Functional currency
RMB is the currency of the Company and domestic subsidiaries in the primary economic environment. The functional currency of the Company and domestic subsidiaries is RMB. Currency of the Company in preparing its financial statements is RMB.
5. Accounting treatment methods of business combinations under common control and not under common control
Business combinations under common control: The assets and liabilities acquired by the Company in business combinations are measured at the book value of assets and liabilities of the combinee (including the goodwill arising from the acquisition of the combinee by the ultimate controller) in the consolidated financial statements of the ultimate controller on the combination date. The stock premium in the capital reserves should be adjusted at the difference between the book value of the net assets acquired in combinations and that of consideration paid for the combination (or total par value of shares issued). If the stock premium in the capital reserves is insufficient to cover the differences, the retained earnings should be adjusted.
Business combinations not under common control: The Company shall, on the acquisition date, measure the assets surrendered and liabilities incurred or assumed by the Company for a business combination at their fair values. The Company shall recognize the difference of the combination costs in excess of the fair value of the identifiable net assets acquired from the acquiree as goodwill. The Company shall recognize the difference of the combination costs in short of the fair value of the identifiable net assets acquired from the acquiree in the current profit and loss after review.
Intermediary service charges such as audit fee, legal service fee, appraisal and consultancy fee paid for business combinations and other directly relevant expenses are included in the current profit and loss when incurred; the transaction costs for the issuance of equity securities for business combinations shall be used to offset equities. 6.Preparation method for consolidated financial statements
1.Scope of consolidation
The scope of consolidation of the consolidated financial statements of the Company is recognized based on the control and all subsidiaries (including the divisible part of the investee controlled by the Company) shall be included in the consolidated financial statements.
2. Procedures for consolidation
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 The Company prepares the consolidated financial statements based on its own financial statements and those of its subsidiaries according to other relevant information. When the Company prepares its consolidated financial statements, it shall regard the whole enterprise group as an accounting entity to reflect the overall financial position, operating results and cash flows of the enterprise group according to the requirements for recognition, measurement and presentation of the relevant accounting standards for business enterprises and the unified accounting policies.
Accounting policies and accounting periods adopted by all subsidiaries included in the scope of consolidation of the consolidated financial statements shall be consistent with those of the Company. If accounting policies and accounting periods adopted by the subsidiaries are inconsistent with those of the Company, in the preparation of the consolidated financial statements, necessary adjustments shall be made according to the accounting policies and accounting periods of the Company. For the subsidiaries acquired through business combination not under common control, adjustments to their financial statements shall be made based on the fair values of net identifiable assets on the acquisition date. For the subsidiaries acquired through business combination under common control, adjustments to their financial statements shall be made based on the fair values of their assets and liabilities (including goodwill from acquisition of the subsidiaries by the ultimate controller) in the financial statements of the ultimate controller.
The share of owner's equity, net profits and losses in the current year and comprehensive income in the current year of subsidiaries attributable to minority shareholders should be separately presented under the item "owner's equity" in the consolidated balance sheet, the item "net profit" and the item "total comprehensive income" in the consolidated income statement. The difference of the loss in the current year shared by minority shareholders of the subsidiaries in excess of the share of minority shareholders in the owner's equity at the beginning of the year of the subsidiaries should be used to offset the minority equity.
（1）Increase in subsidiaries or business
During the reporting period, if the Company increased subsidiaries or business from business combinations under common control, the beginning balance of the consolidated balance sheet shall be adjusted; the incomes, expenses and profits from the beginning of the current year of the combinations of the subsidiaries or business to the end of the reporting period shall be included in the consolidated income statement; cash flows from the beginning of the current year of the combinations of the subsidiaries or business to the end of the reporting period shall be included in the consolidated statement of cash flows. Relevant items in the comparative financial statements of the subsidiaries shall be adjusted accordingly, as if the reporting entity after the business combination exists when the ultimate controller starts its control.
Where the Company can control the investee under common control due to additional investments and other reasons, adjustments shall be made as if parties involved in the combination have existed in the current state when the ultimate controller start its control. Equity investments held before the Company controls the combinee, and the relevant profit and loss, other comprehensive income and other changes in net assets that are recognized from the later of the date when the Company obtains the original equity and the date when the combiner and the combinee are under common control to the combination date, shall be used to offset the retained earnings at the beginning of the year or the current profit and loss during the period of the comparative statements.
During the reporting period, if the Company increased subsidiaries or business from business combinations not under common control, the beginning balance in the consolidated balance sheet shall not be adjusted; the incomes, expenses and profits of the subsidiaries or business from the acquisition date to the end of the reporting period shall be included in the consolidated income statement; cash flows of the subsidiaries and business from the acquisition date to the end of the reporting period shall be included in the consolidated statement of cash flows. Where the Company can implement control over an investee not under common control due to additional investment or other reasons, the equity held by the combinee before the purchase date is remeasured at the fair value on the purchase date of the equity, and the difference between the fair value and the book value shall be included in the current investment income. In the event that the equity of the acquiree held prior to the acquisition date involves changes to other comprehensive income under the equity method and other changes to owners' equity except for net profit and loss, other comprehensive income and profit distribution, other comprehensive income and other changes in the owner's equity associated therewith are transferred to investment income of the period to which the acquisition date belong, except for other comprehensive income arising from changes in net liabilities or net assets due to the re-measurement of defined benefits plan by the investee.
（2）Disposal of subsidiaries or business
A .General method of disposal
During the reporting period, if the Company disposes subsidiaries or business, the incomes, expenses and profits from the subsidiaries or business from the beginning of the year to the disposal date shall be included in the consolidated income statement; cash flows of the subsidiaries and business from the beginning of the year to the
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 disposal date shall be included in the consolidated statement of cash flows.
The difference of total amount of the consideration from disposal of equities plus the fair value of the remaining equities less the shares calculated at the original shareholding ratio in net assets and goodwill of the original subsidiary which are continuously calculated as of the acquisition date or combination date is included in the investment income of the period at the loss of control. Other comprehensive incomes associated with the equity investments of the original subsidiary, or the changes in owners' equity other than net profit or loss, other comprehensive income and profit distribution, are transferred into investment income of the period when control is lost, except for other comprehensive income from the change in net liability or net asset due to the investor's re-measurement of designated benefit plan.
B .Disposal of subsidiaries by stages
Where the Company disposes the equity investments in subsidiary through multiple transactions and by stages until it loses the control, if the effect of the disposal on the terms and conditions of all transactions of equity investments in subsidiary and economic effect meet one or more of the following circumstance, it usually indicates that the multiple transactions should be accounted for as a package deal:
i. The transactions are concluded at the same time or under the consideration of mutual effect;
ii. The transactions as a whole can reach a complete business result;
iii. The occurrence of a transaction depends on that of at least one other transactions; and/or
iv. A single transaction is uneconomical but it is economical when considered together with other transactions. Where various transactions of disposal of equity investments in subsidiaries until loss of the control belong to a package deal, accounting treatment shall be made by the Company on the transactions as a transaction to dispose subsidiaries and lose the control; however, the difference between each disposal cost and net asset share in the subsidiaries corresponding to each disposal of investments before loss of the control should be recognized as other comprehensive income in the consolidated financial statements and should be transferred into the current profit or loss at the loss of the control.
Where various transactions of disposal of equity investments in subsidiaries until loss of the control do not belong to a package deal, before the loss of the control, accounting treatment shall be made according to the relevant policies for partial disposal of equity investments in the subsidiary without losing control; at the loss of the control, accounting treatment shall be made according to general treatment methods for disposal of subsidiaries.
（3）Purchase of minority equity of subsidiaries
The difference between long-term equity investments acquired by the Company through purchase of minority interest and thesubsidiary’s identifiable net assets attributable to the Company calculated continuously from the acquisition date (or the combination date) in accordance with the increased shareholding ratio shall be charged against stock premium within capital reserves in the consolidated balance sheet; when stock premium within capital reserves is insufficient to offset, the retained earnings shall be adjusted.
(4) Partial disposal of long-term equity investments in subsidiaries without losing control
The difference between the proceeds from partial disposal of equity investments in the subsidiary and the share of identifiable net assets of the subsidiary attributable to the Company which are calculated continuously from the acquisition date (or the combination date) and which are corresponding to the disposal of long-term equity investments without losing control shall be charged against stock premium within capital reserves in the consolidated balance sheet; when stock premium within capital reserves is insufficient to offset, the retained earnings shall be adjusted.
7. Joint venture arrangements classification and Co-operation accounting treatment
8..Recognition Standard of Cash& Cash Equivalents
The company recognizes its cash in vault& the deposits that are ready for payment at any time as cash when preparing the cash flow statement.which are featured with short term (expire within 3 months since purchased), high liquidity, easy to convert to know cash, low in risk of value change, could be recognized as cash equivalents. 9. Foreign currency transactions and translation of foreign currency statements
1.Foreign currency transactions
Foreign currency transactions are translated into functional currency at the approximate rate of spot exchange rate on the day when the transactions occur.
The balance of foreign currency monetary items as at the balance sheet date are translated at the spot exchange rate on the balance sheet date and the exchange differences arising therefrom shall be included in
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 the current profit and loss, except those exchange differences arising from the special borrowings of foreign currency related to the acquired and constructed assets qualified for capitalization that will be capitalized at the borrowing expenses.
2.Translation of foreign currency statements
Assets and liabilities in the balance sheet are translated at the spot exchange rates on balance sheet date; owners' equity items, except for the item of “undistributed profits”, are translated at the spot exchange rates on the dates when the transactions occur. The income and expenses items in income statements are translated at the approximate rate of spot exchange rate prevailing on the date when transactions occur.
Where the Company disposes of an overseas business, it shall transfer the exchange difference relating to the overseas business to the current profit and loss.
10. Financial instruments
Financial instruments include financial assets, financial liabilities and equity instruments.
1.Classification of financial instruments
At the initial recognition, financial assets and financial liabilities are classified as: financial assets or financial liabilities measured at fair value through current profit 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; 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 through current profit and loss
Financial assets (financial liabilities) measured at fair value through current profit and loss are initially recognized at the fair value upon acquisition (net of cash dividends declared but not yet paid or bond interest due but not yet received) and the related transaction costs are included in current profit and loss.
The interest or cash dividends to be received during the holding period is or 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 recognized at the sum of the fair value (net of bond interest due but not yet received) and related transaction costs upon acquisition.
The interest income will be calculated and determined according to the amortized cost and effective interest rate during the holding period and included in investment income. The effective interest rates are determined upon acquisition and remain unchanged during the expected remaining period, or a shorter period if applicable. Upon disposal, the difference between the purchase price obtained and the book value of the investment is recognized in investment income.
(3) Receivables
Forcreditor’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 and other receivables, the initial recognition amount shall be the contract price or agreement price receivable from purchasing party. Receivables with financing nature are initially recognized at their present values.
Upon recovery or disposal, the difference between the purchase price obtained and the book value of the receivables is recognized in current profit and loss.
(4) Available-for-sale financial assets
Financial assets (financial liabilities) measured at fair value through current profit and loss are initially recognized at the fair value and related transaction expenses upon acquisition (net of cash dividends declared but not yet paid or bond interest due but not yet received).
The interest or cash dividends to be received during the holding period is or are recognized as investment income. The interest or cash dividends should be measured at fair value and their changes in fair value should be included in other comprehensive income. However, for an equity instrument investment that has no quoted price in an active market and whose fair value cannot be reliably measured, and for derivative financial asset linked to the said equity instrument investment and settled by delivery of the same equity instrument, they shall be measured at cost.
Difference between the proceeds and the book value of the financial assets is recognized as investment income upon disposal; meanwhile, amount of disposal corresponding to the accumulated change in fair value which is originally and directly included in other comprehensive income shall be transferred out and recognized as the current profit and loss.
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 (5) Other financial liabilities
They are initially recognized at the sum of the fair value and the associated transaction costs. Other financial liabilities are subsequently measured at amortized cost.
3.Recognition and measurement of transfer of financial assets
When a financial assets transfer occurs, the financial assets will be derecognized when substantially all the risks and rewards on the ownership of the financial assets have been transferred to the transferee; and they will not be derecognized if substantially all the risks and rewards on the ownership of the financial assets have been retained. The principle of substance over form is adopted to determine whether a financial asset meets the above de-recognition conditions for the financial asset. The transfer of a financial asset of the Company is classified into the entire transfer and the partial transfer of financial asset. Where the entire transfer of the financial asset meets the de-recognition conditions, the difference of the following two amounts will be included in 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 inowners’ 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 de-recognition 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 a financial asset does not meet the derecognition criteria, the financial asset shall continue to be recognized, and the consideration received will be recognized as a financial liability.
4 .Derecognition criteria of financial liabilities
Where the present obligations of financial liabilities have been discharged in whole or in part, the financial liability is derecognized or any part thereof will be derecognized; if the Company signs an agreement with creditors to replace the existing financial liabilities by undertaking new financial liabilities, and the new financial liabilities are substantially different from the existing ones in terms of contract terms, the existing financial liabilities will be derecognized, and at the same time, the new financial liability will be recognized.
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 wholly or partly, and at the same time recognize the financial liability with revised contractual stipulations as a new financial liability.
Upon whole 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 repurchases part of a financial liability, the entire book value of the financial liability shall be split into the derecognized part and continuously-recognized part according to their respective fair value on the repurchase date. 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 .Recognition method of fair value of financial assets and financial liabilities
Where there is an active market for financial instruments, the fair values shall be recognized at quoted prices in the active market. Where there is no active market, the fair values shall be recognized with valuation techniques. At the time of valuation, the Company adopts the techniques that are applicable in the current situation and supported by enough available data and other information, selects the input values consistent with the features of assets or liabilities considered by market participants in relevant asset or liability transactions, and gives priority to using relevant observable inputs. Unobservable inputs are used only under the circumstance when it is impossible or unobservable inputs to obtain relevant observable inputs.
6.Test method and accounting treatment of depreciation of financial assets (excluding receivables) Except for the financial assets measured at fair values through current profit and loss, the book value of financial assets on the balance sheet date should be checked. If there is objective evidence that a financial asset is impaired, provision for impairment shall be made.
(1) Provision for impairment of available-for-sale financial assets:
If the fair value of available-for-sale financial assets has significantly declined at the end of the period, or it is
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 expected that the trend of decrease in value is non-temporary after considering of various relevant factors, the impairment shall be recognized, and accumulated losses from decreases in fair value originally and directly included in owners' equity shall be all transferred out and recognized as impairment loss.
For available-for-sale debt instruments whose impairment losses have been recognized, if their fair values rise in the subsequent accounting period and such rise is objectively related to the matters occurring after the recognition of impairment loss, the previously recognized impairment loss shall be reversed and recorded into the current profit and loss.
Impairment losses on available-for-sale equity instruments should not be reversed through profit and loss. (2) Provision for impairment of held-to-maturity investments:
Measurement of provision for impairment loss on held-to-maturity investments is treated in accordance with the measurement method of impairment loss on accounts receivable.
11. Accounts receivable
（1）Accounts receivable with material specific amount and specific provisioned bad debt preparation.
|||
|-|-|
||The Company recognizes account receivables that are|
|Judgment criteria or amount standard of material specific amount|individually significant (more than or equal to RMB 10 million)|
||and other receivables of a single current entities (more than or|
|or amount criteria|equal to RMB 2 million) as individually significant receivables.|
||On the balance sheet date, the Company separately conducts an|
||impairment test on accounts receivable that are individually|
||significant. Where they are impaired after such test, the|
||impairment loss is recognized at the difference between the|
||present value of its future cash flows lower than the book value|
||and the provision for bad debts shall be made; accounts|
|Provision method with material specific amount and provision of||
||receivable that are not impaired after the separate test, together|
|specific bad debt preparation||
||with accounts receivable that are individually insignificant, are|
||divided into several portfolios according to similar credit risk|
||features. The impairment loss is calculated and recognized at a|
||certain percentage of these portfolios of accounts receivable in|
||the balance on the balance sheet date and the provision for bad|
||debts shall be made.|

(2)The accounts receivable of bad debt provisions made by credit risk Group
|||
|-|-|
|Name|Method for recognition of impairment allowances|
|Group of account age|The age analysis|

Accounts on age basis in theportfolio：
√applicable□ not applicable
||||
|-|-|-|
|Age|Rate for receivables(%)|Rate for other receivables(%)|
|Within 1 year（Included 1 year）|5.00%|5.00%|
|1－2 years|10.00%|10.00%|
|2－3 years|30.00%|30.00%|
|3－4 years|50.00%|50.00%|
|4－5 years|80.00%|80.00%|
|Over 5 years|100.00%|100.00%|

Accounts on percentage basis ingroup：
Sino Great Wall Co., Ltd. The Semi-annual Report 2016□ applicable√not applicable
Accounts on other basis ingroup：
√applicable□ not applicable
(3)Account receivable with non-material specific amount but specific bad debt preparation
|||
|-|-|
||On the balance sheet date, the Company recognizes impairment|
||losses and makes provision for bad debts of other individually|
|Reason of specific bad debt preparation provision：|significant receivables with signs of impairment at the|
||differences of the present values of their future cash flows in|
||short of their book values.|
||On the balance sheet date, the Company separately conducts an|
||impairment test on accounts receivable that are individually|
||insignificant but are provided for bad debts on individual basis.|
|Provision method of bad debt preparation||
||Where they are impaired after such test, the impairment losses|
||are recognized at the difference between the present value of|
||future cash flows lower than the book value and the provision for|
||bad debts shall be accordingly made;|

12.Inventories
1.Classification of inventories
Inventories are classified into: raw materials and engineering construction, etc..
2.Valuation method of inventories dispatched
The inventories are measured at weighted average method when dispatched.
3.Recognition basis for net realizable values of inventories of different categories
Net realizable values of merchandise inventories held directly for sale, such as finished goods, stock commodities, and available-for-sale materials, are measured at the estimated selling prices less estimated sales expenses and relevant taxes and surcharges in the normal production process. Net realizable values of material inventories which need further processing are measured at the estimated selling prices less the estimated costs of completion, estimated sales expenses and relevant taxes and surcharges in the normal production process. Net realizable values of inventories held for the purpose of fulfillment of sales contracts or service contracts are calculated on the basis of the contract prices; if the quantity of inventories held exceeds that stated in the contract, the net realizable values of the excessive part are calculated on the basis of normal selling prices.
The provisions for inventory depreciation reserve are made on an individual basis at the end of the period, for inventories with large quantities and relatively low unit prices, 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 be separated from other items for measurement purposes, the provisions for inventory depreciation reserve are made on a portfolio basis.
Except that there is clear evidence that the market price is abnormal on the balance sheet date, the net realizable value of inventory items shall be recognized at the market price on the balance sheet date.
Net realizable value of inventory items at the end of the year is recognized at the market price on the balance sheet date.
4. Inventory system
Perpetual inventory system is adopted.
5.Amortization methods for low-cost consumables and packaging materials
(1) One-off amortization method is adopted for low-cost consumables;
(2) One-off amortization method is adopted for packaging materials.
13. Classified as the assets held for sale
1. Recognition criteria for the classification of the assets held for sale
The company will recognize the combination parts of the enterprise (or non-current assets) which
simultaneously meet the following requirements, as the components of the assets held for sale.
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 (1) The components should be immediately sold under the current condition only according to the usual terms of the parts sold.
(2) The enterprise has made resolution for the disposal of the components, the approval ofshareholders’ meeting or relevant authority agency if theshareholder’s approval is requested by the rules.
(3) The enterprise has signed the irrevocable transfer agreement with the transferee.
(4) The transfer shall be completed within one year.
14.Long-term equity investment
1.Standards for joint control and significant influence
The term‘commoncontrol’ refers to the joint control, according to the relevant provisions, over an arrangement, of which the relevant activities should be agreed and decided by the participants that share the control. Where the Company and other investors exert common joint control over the investee and the Company is entitled to net assets of the investee, the investee is the joint venture of the Company.
Significant influence refers to the power to participate in making decisions on the financial and operating policies of an enterprise, but not the power to control, or jointly control, the formulation of such policies with other parties. Where the Company is able to exert significant influence over the investee, the investee is its associate.
2.Recognition of initial investment costs
(1) Long-term equity investments acquired from business combination
Business combination under the same control: if the Company makes payment in cash, transfers non-cash assets or bears debts and issues equity securities as the consideration for the business combination, the book value of the owner's equity of the acquiree in the consolidated financial statements of the ultimate controller is recognized as the initial cost of the long-term equity investment on the combination date. In case the Company can exercise control over the investee under common control for additional investment or other reasons, the initial investment cost of long-term equity investments is recognized at the share of book value of net asset of the acquiree after the combination in the consolidated financial statements of the ultimate controller on the combination date. The stock premium should be adjusted at the difference between the initial investment cost of long-term equity investments on the combination date and the book value of long-term equity investments before the combination plus the book value of consideration paid for additional shares; if there is no sufficient stock premium for write-downs, the retained earnings are adjusted.
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 investments. Where the Company can control the investee not under common control from additional investments, the initial investment cost should be changed to be accounted for under the cost method and recognized at the sum of the book value of equity investments originally held and newly increased investment cost.
(2) Long-term equity investment acquired by other means
For a long-term equity investment acquired through making payments in cash, its initial cost is the actually paid purchase cost.
For a long-term equity investment acquired from issuance of equity securities, its 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 and the relevant taxes and surcharges payable 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 the relevant taxes and surcharges payable are recognized as the initial cost of long-term equity investment traded in. For a long-term equity investment acquired from debt restructuring, its initial cost is determined based on the fair value.
3.Subsequent measurement and recognition of gains and losses
(1) Long-term equity investments accounted for under the cost method
Long-term equity investments in subsidiaries are accounted for under the 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 investment income in the current year at the cash dividends or profits declared by the investee.
(2) Long-term equity investments accounted for under the equity method
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 Long-term equity investments in associates and joint ventures are accounted for under 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 the long-term equity investments; 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 shall recognize the investment income and other comprehensive income at the shares of net profit and loss and other comprehensive income realized by the investee which the Company shall enjoy or bear and adjust the book value of long-term equity investments at the same time; the Company shall calculate the shares according to profits or cash dividends declared by the investee and correspondingly reduce the book value of long-term equity investments; the book value of long-term equity investments shall be adjusted according to the investee's other changes in owner's equity other than net profit and loss, other comprehensive income and profit distribution, which should be included in owner's equity.
The share of the investee's net profit or loss should be recognized after adjustments are made to net profit of the investee based on the fair value of identifiable net assets of the investee upon acquisition of investments and according to accounting policies and accounting period of the Company. When holding the investment, the investee should prepare the consolidated financial statements, it shall account for the investment income based on the net profit, other comprehensive income and the changes in other owner's equity attributable to the investee. The Company shall write off the part of incomes from internal unrealized transactions between the Company and associates and joint ventures which are attributable to the Company according to the corresponding ratio and recognize the profit and loss on investments on such basis. Where the losses from internal transactions between the Company and the investee fall into the scope of assets impairment loss, the full amount of such losses should be recognized. For transactions on investments or sales of assets between the Company and associates and joint ventures, where such assets constitute business, they should be accounted for according to the relevant policies disclosed in this note "Accounting treatment of business combinations under common control and not under common control" and "Preparation of consolidated financial statements".
When the Company recognizes its share of loss incurred to the investee, treatment shall be done in following sequence: firstly, the book value of the long-term equity investment shall be reduced. Secondly, where the book value thereof is insufficient to cover the share of losses, investment losses are recognized to the extent of book value of other long-term equities which form net investment in the investee in substance and the book value of long term receivables shall be reduced. Finally, after all the above treatments, if the Company is still responsible for any additional liability in accordance with the provisions stipulated in the investment contracts or agreements, provisions are recognized and included into current investment loss according to the obligations estimated to undertake.
(3) Disposal of long-term equity investments
For disposal of long-term equity investments, the difference between the book value and the actual price shall be included in the current investment income.
For long-term equity investments accounted for under the equity method, when the Company disposes such investments, accounting treatment should be made to the part that is originally included in other comprehensive income according to the corresponding proportion by using the same basis for the investee to directly dispose the relevant assets or liabilities. Owner's equity recognized at the changes in the investee's other owner's equity other than net profit or loss, other comprehensive income and profit distribution shall be transferred to the current profit and loss according to the proportion, except for other comprehensive income from changes arising from re-measurement of net liabilities or net assets of defined benefit plan.
In case the joint control or significant influence over the investee is lost for disposing part of equity investments or other reasons, the remaining equity will be changed to be accounted for according to the recognition and measurement principles of financial instruments. The difference between the fair value and the book value on the date of the loss of joint control or significant influence should be included in the current profit and loss. For other comprehensive income recognized from accounting of the original equity investments under the equity method, accounting treatment should be made by using the same basis for the investee to directly dispose the relevant assets or liabilities when the equity method is no longer adopted. Owner's equity recognized from the investee's changes in other owner's equity other than net profit or loss, other comprehensive income and profit distribution should all transferred to the current profit and loss when the equity method confirmed is no longer adopted. Where the Company loses the control over the investee due to disposal of partial equity investments or other reasons, when it prepares individual financial statements, if the remaining equity after disposal can exercise joint
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 control or significant influence on the investee, such investments should be changed to be accounted for under the equity method and the remaining equity should be deemed to have be adjusted on acquisition, namely when the equity method is adopted for accounting; if the remaining equity after disposal can exercise joint control or significant influence on the investee, such equity will be changed to be accounted for according to recognition and measurement standards of financial instruments and the difference between fair value and book value on the date of loss of the control or significant influence should be included in the current profit and loss.
Where equity after the disposal is acquired from business combinations due to additional investments or other reasons, when the Company prepares individual financial statements, if the remaining equity after the disposal is accounted for under the cost method or equity method, other comprehensive income and other owners' equity recognized from equity investments that are held before the acquisition date and are accounted for under the equity method should be carried forward in proportion; if the remaining equity after the disposal is changed to be accounted for according to recognition and measurement standards of financial instruments, other comprehensive income and other owners' equity should be carried forward at full amount.
15. Investment real estate
The measurement mode of investment property
Not applicable
16.Fixed assets
（1）Confirmation conditions
Fixed assets refer to physical assets owned for purpose of production, service providing, leasing or
management, and operation with service life of more than one year. Fixed assets are recognized when all of the following conditions aresatisfied：(1)Financial benefits attached to the fixed asset is possibly inflowing to the Company;(2) The cost of the fixed asset can be reliable measured.
（2）Depreciation method
||||||
|-|-|-|-|-|
|||Evpected useful|Estinated residual value|Annual depreciation rat|
|Type|Depreciation method||||
|||life（Year）|rate|e（%）|
|House and Building|Straight-line method|20|5|4.75|
|Machinery and|||||
||Straight-line method|10|5|9.5|
|equipment|||||
|Transportation|||||
||Straight-line method|7|5|13.57|
|equipment|||||
|Electronic|||||
|equipment and other||3-5|5|19.00-31.67|
|equipment|Straight-line method||||

（3）Cognizance evidence and pricing method of financial leasing fixed assets
The fixed assets acquired under financing lease are recognized if one of the following conditions is specified by the Company and the leaser in their lease agreement:
(1) Upon the expiration of the lease term, the ownership of the leased asset has been transferred to the Company; (2) The Company has the option to purchase the asset and the purchase price is far lower than theasset’s fair value at the time of the option being exercised;
(3) The lease term covers the most of the useful life of the leased asset;
(4) The present value of the minimum payment by the Company on the lease commencement date is almost equal to theasset’s fair value.
On the lease commencement date, the book entry value of a fixed asset acquired under financing lease is measured at theasset’s fair value or the present value of the minimum lease payment, whichever is the lower. The
minimum lease payment is recorded as the book entry value of the long-term payables, and the difference between
them is deemed as the unrecognized financing expenses.
17.Construction in process
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 Projects under construction are recorded as fixed assets at necessary expenditures incurred before preparing the asset to reach the condition for its intended use. For construction in progress that has reached working condition for 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 condition for intended use and the fixed assets shall be depreciated in accordance with theCompany’s policy for fixed asset depreciation; adjustment shall be made to the estimated value based on the actual cost after the completion of settlement is handled, but depreciation already provided for 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. 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 commencement of capitalization of borrowing costs to its cessation; period of suspension for capitalization is excluded.
Capitalization of borrowing costs should cease when the acquired and constructed or produced assets eligible for capitalization have reached the working condition for their intended use or sale.
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 abnormally interrupted and such condition lasts for more than three months, the capitalization of borrowing costs should be suspended; if the interruption is necessary procedures for the acquired, constructed or produced assets eligible for capitalization to reach the working conditions for its intended use or sale, the borrowing costs continue to be capitalized. Borrowing costs incurred during the interruption are recognized as the current profit and loss and continue to be capitalized until the acquisition, construction or production of the asset restarts.
4.Measurement of capitalization rate and capitalized amounts 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 borrowings unused and deposited in bank or return on temporary investment should be recognized as the capitalization amount of borrowing costs.
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 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 by the capitalization rate of used general borrowings. The capitalization rate is calculated by weighted average interest rate of general borrowings.
19.Biological Assets
None
20.Oil& gas assets
None
21..Intangible assets
(1) Valuation method, 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 determined at the present value of the purchase price.
The intangible assets acquired and used by the debtor to repay debt in debt restructuring should be recorded 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 repay debt should be included in 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 with 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 and surcharges payable should be recognized as the cost of the intangible assets, with gains or losses not recognized.
(2) Subsequent measurement
The useful lives of intangible assets are analyzed on acquisition.
For intangible assets with definite useful lives, the Company shall adopt the straight-line method for amortization within the period during which they can bring economic benefits to the Company; where the period during which they can bring economic benefits to the Company cannot be forecast, those intangible assets shall be deemed as assets with indefinite lives and no amortization will be made.
2.Estimate of useful life of intangible assets with limited useful life:
||||
|-|-|-|
|Item|Estimated usefullives|Basis|
|Land use right|50 years|Land use certificate|
|software|5 years|By reference to the sameindustry|

The useful life and amortization method of intangible assets with limited useful lives should be reviewed.
After review, the useful life of intangible assets and amortization method at the end of the year are not different from previous estimates.
3.Specific criteria for classification of research phase and development phase
Research phase: the phase for the creative and planned investigation and research to acquire and understand new
scientific or technological knowledge.
Development stage: the phase for the application of research achievements and other knowledge to a certain plan
or design, prior to the commercial production or use, so as to produce any new material, device or product, or
substantially improved material, device and product.
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 Expenditure of an internal research and development project on the research phase shall be included in current profit and loss when it occurs.
4.Specific criteria for capitalization of expenditures at the development phase
Expenditure on the development phase of an internal research and development project shall be recognized as intangible assets only when the following conditions are simultaneously satisfied:
(1) It is feasible technically to finish intangible assets for use or sale;
(2) It is intended to finish and use or sell the intangible asset;
(3) The ways whereby the intangible asset is to generate economic benefits, including those whereby it is able prove that there is a potential market for the products manufactured by applying this intangible asset or that there is a potential market for the intangible asset itself; if the intangible asset will be used internally, its usefulness shall be proved;
(4) It is able to finish the development of the intangible assets, and able to use or sell the intangible assets, with the support of sufficient technologies, financial resources and other resources; and
(5) The expenditure attributable to the intangible asset during its development phase can be measured reliably. 22.Impairment of long-term assets
For the long-term equity investments, investment property, fixed assets, construction in progress, intangible assets, and other long-term assets measured at cost model, if there are signs of impairment, an impairment test will be conducted on the balance sheet date. If the recoverable amount of the asset is less than its book value after test, assets impairment provision will be made at the difference and included into impairment loss. The recoverable amount is determined at the higher of the net of the fair value less disposal costs and the present value of the expected future cash flows. The assets impairment provision is calculated and made on an individual basis. If it is difficult for the Company to estimate the recoverable amount of the individual asset, the recoverable amount of an asset group to which the said asset belongs to will be determined. Asset group is the smallest asset group that can independently generate cash inflows.
For goodwill, impairment test shall be conducted at least in the end of each year.
The Company conducts an impairment test for the goodwill. The book value of goodwill arising from business combinations is amortized to relevant asset groups with a reasonable method from the date of acquisition; or amortized to relevant combination of asset groups if it is difficult to be amortized to relevant asset groups. When the book value of goodwill is amortized to the relevant assets group or combination of assets groups, it shall be evenly amortized according to the proportion of the fair value of each assets group or combination of assets groups in the total fair value of the relevant assets groups or combinations of assets groups. Where the fair value cannot be reliably measured, it should be amortized according to the proportion of the book value of each asset group or combination of assets groups in the total book value of assets groups or combinations of assets groups. When making an impairment test on the relevant assets groups or combination of assets groups containing goodwill, if any indication shows that the assets groups or combinations of assets groups may be impaired, the Company shall first conduct an impairment test on the assets groups or combinations of assets groups not containing goodwill, calculate the recoverable amount and compare it with the relevant book value to recognize the corresponding impairment loss. Then the Company shall conduct an impairment test on the assets groups or combinations of assets groups containing goodwill, and compare the book value of these assets groups or combinations of assets groups (including the book value of the goodwill apportioned thereto) with the recoverable amount. Where the recoverable amount of the relevant assets groups or combinations of assets groups is lower than the book value thereof, the Company shall recognize the impairment loss of the goodwill.
The above losses from asset impairment shall not be reversed in subsequent accounting periods once recognized. 23.Long-term deferred expenses
Long-term deferred expenses refer to various expenses which have been already incurred but will be born in this period and in the future with an amortization period of over 1 year.
1.Amortization method
Long-term deferred expenses are amortized evenly over the beneficial period.
2.Amortization years
The amortization period is determined in accordance with the contract or expected beneficial period.
24.Employee compensation
1.Accounting treatment of short-term compensation
During the accounting period of an employee' providing services for the Company, the Company should recognize the short-term compensation actually incurred as liabilities and include it in the current profit and loss or the relevant asset costs.
During the accounting period when employees serve the Company, the corresponding amount of employee
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 compensation is calculated and determined according to the provision basis and provision proportion as stipulated in the provisions on the social insurance premiums and housing funds paid for employees by the Company, as well as trade union funds and employee education funds.
If the employee benefits are of non-monetary, they are measured at fair value if they can be reliably measured. 2.Accounting treatment of post-employment benefits
Defined contribution plans
The Company pays basic endowment insurance and unemployment insurance for employees according to the relevant provisions of the local government, calculate payables according to payment base and proportion specified by the local government and recognizes them as liabilities, and includes them into the current profit and loss or the relevant asset costs.
3.Accounting treatment of dismissal benefits
The Company recognizes the employee compensation arising from dismissal benefits as liabilities and include it in the current profit and loss when the Company cannot unilaterally withdraw dismissal benefits which are provided for termination of labor relation plan or layoff proposal, or when the Company recognizes costs or expenses (which is earlier) associated with restructuring of payment of dismissal benefits.
(4) Accounting methods for other long-term employee benefits
25. Estimated liabilities
1.Recognition criteria for estimated liabilities
Where all the following conditions are met simultaneously for any obligation pertinent to any contingency including litigation, debt guarantee, onerous contract and reorganization, the Company will recognize such contingency as estimated liabilities:
(1) The obligation is a present obligation of the Company;
(2) The performance of such 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 of estimated liabilities
Estimated liabilities of the Company is initially measured as the best estimate of expenses required for the performance of the relevant present obligations.
When the Company determines the best estimate, it should have 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 although such a range exists, 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 some of the expenses necessary for the liquidation of estimated liabilities of the Company are 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 reimbursement will be obtained. The amount recognized for the reimbursement should not exceed the book value of estimated liabilities.
26.Share-based payments
The Company's share-based payments are transactions in which the Company grants equity instruments or undertakes equity-instrument-based liabilities in return for services from employees[or otherparties]. The share-based payments of the Company consist of equity-settled share-based payments and cash-settled share-based payments.
Where equity-settled share-based payments are exchanged for providing services by employees, their fair values are measured at those ofemployees’ equity instruments. Where the Company makes share-based payments in restricted stocks and the employee makes capital contributions to subscribe such shares, such shares should not be circulated or transferred before they reach unlocked conditions and before they are unlocked; if the unlocked conditions specified in the final equity incentive plan fail to be reached, then the Company should repurchase the shares at the price agreed in advance. When the Company received the payment of the employee for the subscription of restricted stocks, it should recognize share capital and capital reserves (share premiums) in
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 accordance with the payment for subscription received. The Company should fully recognize a liability at the repurchase obligations and recognize treasury stock at the same time. On each balance sheet date within the vesting period, the Company will, based on the newly-acquired subsequent information such as the changes in the number of the vested employees and whether the specified performance is reached, make the best estimate on the number of the vesting equity instruments. On such basis, the services received in the current period should be included in the relevant cost or expenses according to fair value on the date of grant and capital reserves should be accordingly increased. No adjustments should be made to the recognized relevant costs or expenses and total owners' equity after the vesting date. However, when the right can be exercised immediately after the grant, it should be included in the relevant costs or expenses at the fair value on the date of grant. The capital reserves should be increased accordingly.
For share-based payments finally failing to be exercised, costs or expenses should not be recognized, unless the conditions for vesting are market conditions or non-vesting conditions. At this time, whether market conditions or non-vesting conditions are met or not, it is deemed to have vesting rights if non-market conditions in all the vesting conditions are met.
If the terms of the equity-settled share-based payments were modified, the services received should be recognized at least in accordance with the terms of the unmodified terms. Moreover, the modification of fair value of equity instruments granted from any increase, or beneficial changes to the employee on the modification date should be recognized as increases in services obtained.
If the equity-settled share-based payments were cancelled, they should be handled as accelerated exercise of rights on the date of cancellation and the amount that is not yet recognized should be immediately recognized. Where employees or other parties could choose to meet non-vesting conditions but failed to meet the conditions in the vesting period, they should be handed as cancelling the equity-settled share-based payments. But, if new equity instruments were granted and such new equity instruments granted are recognized to be used to replace the cancelled equity instruments on the date of grant of new equity instruments, then the alternative equity instruments for granted should be handled in the way same as the revision to terms and conditions on handling the original equity instruments.
27. Preferred shares, perpetual capital securities and other financial instruments
28.Revenue
1.General recognition principles for revenues from sales of goods:
(1) The Company has transferred significant risks and rewards of ownership of the goods to the buyer; (2) The Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
(3) The amount of revenues can be measured reliably;
(4) The related economic benefits are likely to flow into the Company;
(5) The costs incurred or to be incurred in respect of the transaction can be measured reliably.
2 .Specific principles
(1) Revenues from rendering of services
Revenues from rendering of services of the Company mainly refer to revenues from engineering design. If the outcome of transactions can be estimated reliably, revenues shall be recognized at the important timing specified in the design contract. That is to say, revenues shall be recognized at the percentage of workload of completed design at the important timing in total design workload and expected recoverable contract amount.
Where the outcome of transactions on rendering of services cannot be reliably estimated, the revenues from rendering of services shall be recognized at labor costs that have been incurred and that are expected to be compensated. The labor costs that have been incurred are recognized as the expenses in the current period. Labor costs that have been incurred but that are not expected to be compensated shall not be recognized as revenues. When contracts or agreements of the Company concluded with other enterprises include sales of goods and rendering of services, if the part of sales of goods and that of rendering of services can be distinguished and be separately measured, they shall be treated separately; if the part of sales of goods and that of rendering of services cannot be distinguished or can be distinguished but cannot be separately measured, the whole contract shall be treated as sales of goods.
(2) Revenues from construction contracts
If the outcome of a construction contract can be reliably estimated, the revenues and costs from the construction contract shall be recognized at the percentage of completion method on the balance sheet date. The percentage of completion of the contract is recognized at the percentage of the accumulated contract costs actually incurred in the estimated total costs.
Note: Calculation formula
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 Where the outcome of a construction contract cannot be estimated reliably, if contract costs are not expected to be recoverable, contract revenue is recognized to the extent of actual contract costs that are expected to be
recoverable and the contract costs are recognized as contract expenses immediately when incurred. If contract costs are not expected to be recoverable, they are recognized as expenses immediately when incurred and contract revenue is not recognized. When uncertainties that make the outcome of a construction contract unable to be estimated reliably do not exist, revenues and costs associated with construction contracts should be recognized with the completion percentage method.
If the estimated total contract costs exceed the estimated total contract revenue, the expected loss is recognized as current expenses.
Accumulated cost incurred and accumulative gross profit (loss) recognized as well as settled payments of the construction contract should be presented at the net amount after the offset in the balance sheet. The part of accumulated cost incurred plus accumulative gross profit (loss) recognized exceeding settled payments of the construction contract should be presented as inventories; the part of accumulated cost incurred plus accumulative gross profit (loss) recognized in short of settled payments of the construction contract should be presented as advances from customers.
（3）Hospital income
Hospital income comes mainly from outpatient and inpatient, affirm income time when patients finished
settlement.Income from outpatient service, because in the patient of outpatient treatment, do not need to be hospitalized, is a short treatment time, the clinic will be in the hospital after the settlement, pay treatment and is expended, affirm income financial on the day after receipt of the money.
Resident income, because the hospital patients need to be in the hospital treatment for a period of time, when the hospital new prepaid a part of the medical model, the first not affirm income. At discharge, the settlement of the hospitalization medical treatment, the patient draw up invoices for the hospital to the patient, the financial confirm the income of hospital patients.
29.Government subsidies
(1)Basis and accounting methods for assets related government subsidies
1.Type
Government subsidies are monetary assets and non-monetary assets freely obtained by the Company from the government. They are divided into government subsidies related to assets and government subsidies related to income.
Government subsidies related to assets refer to government subsidies which are acquired by the Company for construction or form long-term assets in other ways, including the financial allocation for purchasing fixed assets or intangible assets, the financial discount for special loan of fixed assets and others. Government subsidies related to income refer to government subsidies other than government subsidies related to assets.
2.Timing of recognition
If a government subsidy is a monetary asset, it shall be measured in the light of the amount received or receivable. If a government subsidy is a non-monetary asset, it shall be measured at its fair value; and if its fair value cannot be obtained in a reliable way, it shall be measured at a nominal amount. Government subsidies measured at the nominal amount are directly included in the current profit or loss.
3.Accounting treatment
For asset-related government grants, the Company will recognize them as deferred income, and include them in non-operating income according to the useful lives of the related assets constructed or acquired;
if government subsidies related to income are used to compensate theCompany’s relevant expenses or losses in future periods, such government subsidies should be recognized as deferred income on acquisition and be included in the current profit and loss during the period of recognition of the relevant expenses; if government subsidies related to income are used to compensate theCompany’s relevant expenses or losses incurred, such government subsidies are directly included into the current profit and loss on acquisition.
30. Deferred income tax assets and deferred income tax liabilities
Deferred income tax assets are recognized at deductible temporary differences to the extent that it shall not exceed the taxable income probably obtained in future period to be against the deductible temporary difference. For deductible losses and tax credits that can be carried forward to subsequent periods, deferred tax assets arising therefrom are recognized to the extent that future taxable income will be probable to be available against deductible losses and tax credits.
Taxable temporary differences are recognized as deferred income tax liabilities except in special circumstances.
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 Such special circumstances include: the initial recognized of goodwill; other transactions or events that are not a business combination and affect neither accounting profit nor taxable profit (tax loss).
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 current income tax assets and current income tax liabilities of the Company shall be presented based on the net amount after offset.
When the Company has the legal right for netting of current income tax assets and current income tax liabilities and the income tax assets and income tax liabilities are related to the income tax levied on the same taxpayer by the same tax administrative department or are related to different taxpayers but, within each future period of reversal of important income tax assets and income tax liabilities, the taxpayers involved intend to settle current income tax assets and current income tax liabilities or acquire assets and liquidate liabilities at the same time, the Company's income tax assets and income tax liabilities shall be presented at the net amount after the offset. 31.Leases
1.Accounting treatment of operating leases
(1) The Company's rental expenses paid for leased assets shall, within the whole lease term excluding the rent-free period, be amortized with the straight-line method and included in current expenses. Initial direct costs related to lease transactions paid by the Company shall be included in the current expenses.
When assets lessor bears costs related to the lease borne by the Company, the Company shall deduct the part of expenses from the total rents and amortize the rents after deduction over the lease term and include them in current expenses.
(2) The Company's rental expenses collected for leased assets shall, within the whole lease term excluding the rent-free period, be amortized with the straight-line method and recognized as the relevant rental income. Initial direct cost associated with leasing transactions paid by the Company should be included in the current cost; the cost of large amount shall be capitalized and included by stages in the current income according to the same base recognized at the income related to leasing over the whole leasing period.
When the Company bears costs related to the lease borne by the leasee, the Company shall deduct te part of expenses from the total rents and amortize the rents after deduction over the lease term.
2.Accounting treatment of finance leases
(1) Assets acquired under finance leases: at the inception of the leases, the Company shall recognize the book-entry value of leased assets at the lower of their fair values or their present values of the minimum lease payments, and shall recognize the book-entry value of long-term payables at the amounts of the minimum lease payments, and shall recognize the differences between the above two book-entry values as unrecognized financing charges. Under the effective interest method, the Company amortizes the unrecognized financing charges over the lease term and includes them in the financial expenses. The Company records the initial direct expenses in the values of leased assets.
(2) Assets leased under finance leases: On the lease beginning date, the Company recognizes the difference of finance leasing receivables plus unguaranteed residual value and their present value as unrealized financing income and recognized the unrealized financing income as rental income in each period when the rents will be received in the future. The initial direct expenses of the Company related to lease are included into the initial measurement of financing lease payment receivable, and the income recognized in lease period is decreased accordingly.
□Applicable√Not applicable
32. Other significant accounting policies and estimates
(1)Change of main accounting policies
None
（2）Change of main accounting estimations
None
33.Change of main accounting policies and estimations
(1)Change of main accounting policies
None
Sino Great Wall Co., Ltd. The Semi-annual Report 2016（2）Change of main accounting estimations
None
34.Other
VI.Taxation
1.Main categories and rates of taxes
||||
|-|-|-|
|Tax type|Tax basis|Tax rate(%)|
||The output tax is calculated based on||
||taxable income in accordance with tax||
||laws, and value added tax payable should||
|VAT||11、36|
||be the balance of the output tax after||
||deducting the deductible input tax for the||
||current year||
||Calculated and paid at taxable operating||
|||3、5|
|Business tax|income||
||Calculated and paid at business tax,||
||value-added tax and consumption tax|1、5、7|
|Urban maintenance and construction tax|actually paid||
|||15、25|
|Enterprise income tax|Calculated and paid at taxable income||

In case there exist any taxpayer paying corporate income tax at different tax rates, disclose the information
|||
|-|-|
|Name of taxpayer|Income tax rates|

2.Tax preferences
（1）According to the provisions of the Circular of the State Administration of Taxation on Issuing the Tentative Measures for the Collection and Administration of Income Tax on Enterprises That Have Operations in Different Regions and That Pay Taxes in a Consolidated Manner (G.S.F.[2008] No. 28) issued on March 10, 2008, for business institutions and establishments without the status of a legal person that are established in different regions within the territory of China, namely those engaging in production and operating activities in different regions, their head offices (parent companies) are enterprises that pay taxes in a consolidated manner. The parent company pays taxes in a consolidated manner. The parent company pays taxes in a consolidated manner. Head office and branches prepay enterprise income tax in installment,50% of which is shared by all branches and50% of which is prepaid by the head office. Branches share the prepayments in the proportion of35%,35% and30% of operating income, employee compensation and total assets; final settlement of annual enterprise income tax shall be made by the parent company at the tax authority and will no longer be allocated to branches.
（2）The Company's subsidiaries Sino Great Wall Group Co., Limited (hereinafter referred to as "Sino Hong Kong") and Inrich Me Engineering Co., Limited (hereinafter referred to as "Inrich Me Engineering") are enterprises established in the Hong Kong Special Administrative Region and are subject to enterprise profit tax at the rate of16.5%; Sino Great Wall International Engineering (MACAU) Co., Limited (hereinafter referred to as "Sino Macau") is en enterprise established in the Macao Special Administrative Region and is subject to complementary income tax at the progressive rate.
（3）The Company's wholly-owned subsidiary Sino Great Wall International Engineering Co., Ltd. (hereinafter referred to as "Sino International") obtained the high-tech enterprise certificate (No. GR201511003125) jointly
approved and issued by Beijing Municipal Science and Technology Commission, Beijing Municipal Finance
Bureau, Beijing Municipal Office, SAT and Beijing Local Taxation Bureau on November 24, 2015. The certificate
was issued on November 24, 2015 and valid for 3 years, so Sino International would pay enterprise income tax at
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 the rate of15% in 2015, 2016 and 2017.
(4) According to the Notice of Ministry of Finance and State Administration of Taxation on Full Implementation of Replacing the Business Tax with the VAT, thecompany’s wholly-owned subsidiary-Wuhan Commercial& Vocational Hospital Co.,Ltd shall enjoy the preferential policy with VAT exemption from May 1, 2016.
3.Other
VII. Notes to the major items of consolidated financial statement
1.Monetary funds
In RMB
||||
|-|-|-|
|Items|Year-end balance|Year-beginning balance|
|Cash on hand|1,421,081.59|1,349,587.20|
|Bank deposit|523,011,174.45|343,390,159.56|
|Other monetary capital|589,928,907.42|350,644,814.55|
|Total|1,114,361,163.46|695,384,561.31|
|Including: Total amount deposited abroad|64,361,377.79|60,170,773.67|

 2. Financial assets measured at fair value through current profit and loss
In RMB
||||
|-|-|-|
|Items|Year-end balance|Year-beginning balance|
|Financial assets measured at fair value through current profit|||
||0|1,102,961.04|
|and loss|||
|Total|0|1,102,961.04|

 3.Derivative financial assets
□ Applicable√ Not applicable
4.Note receivables
(1)Classification Note receivable
In RMB
||||
|-|-|-|
|Items|Year-end balance|Year-beginning balance|
||891,520.48|4,040,251.87|
|Bank acceptance bill|||
||209,999,799.21|216,408,496.07|
|Commercial acceptance bill|||
||210,891,319.69|220,448,747.94|
|Total|||

 (2) Notes receivable pledged by the Company at the period-end
In RMB
|||
|-|-|
|Items|Amount|

（3）Notes receivable endorsed or discounted by the Company as at June 30,2016 but not expired on
the balance sheet date
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 In RMB
||||
|-|-|-|
|||Amount underecognized as at June 30,|
|Item|Amount derecognized as at June 30, 2016||
|||2016|
||20,601,564.61||
|Bank acceptance bill|||
|||107,157,999.08|
|Commercial acceptance bill|||
||20,601,564.61|107,157,999.08|
|Total|||

 5. Account receivable
(1).Classification account receivables.
In RMB
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||Amount in year-end|||||Amount in year- begin|||||
||Book Balance||Bad debt provisionAmount Proportion(%)|||Book Balance||Bad debt provision|||
|Category|||||Book||||||
||Amount|Proportio|Amount|||Amount|Proportio|Amount|Proportion(|Book value|
||||||value||||||
|||n(%)|||||n(%)||%)||
|Receivables subject||||10.57%|||||||
|||||||2,638,7|||||
|to provision for bad|3,535,94||373,709,||3,162,231|||285,934,0||2,352,808,0|
|||100.00%||||42,183.|100.00%||10.84%||
|debts on credit risk|0,852.18||026.59||,825.59|||96.56||87.33|
|||||||89|||||
|characteristics basis|||||||||||
||||||3,162,231,825.59|2,638,7||||2,352,808,087.33|
||3,535,94||373,709,|||||285,934,0|||
|Total||||||42,183.|||||
||0,852.18||026.59|||||96.56|||
|||||||89|||||

Receivable accounts with large amount individually and bad debt provisions were provided
□Applicable√Not applicable
Account reveivable on which bad debt proisions are provided on age basis in the group
√ Applicable□ not applicable
In RMB
|||||
|-|-|-|-|
||Amount in year-end|||
|Aging||||
||Account receivable|Bad debt provision|Rate of alloance(%)|
|Within item 1 year||||
|Within 1 year|2,320,366,583.60|148,165,313.55|5.00%|
|1-2 years|838,376,994.69|83,837,699.47|10.00%|
|2-3 years|260,707,518.15|78,212,255.45|30.00%|
|3-4 years|102,177,573.37|51,088,786.69|50.00%|
|4-5 years|9,536,054.65|7,628,843.72|80.00%|
|Over 5 years|4,776,127.72|4,776,127.71|100.00%|
|Total|3,535,940,852.18|373,709,026.59||

Notes：
（2）Bad debt provision accrual collected or switch back
Bad debt provision accrual was RMB58,627,821.32 ; The acmount collected or switches back amounting to 37,413,023.19.
Sino Great Wall Co., Ltd. The Semi-annual Report 2016（3）The current accounts receivable write-offs situation
In RMB
|||
|-|-|
|Items|Amount written off|

Account receivables actually written-off during the reportingperiod：
In RMB
|||||||
|-|-|-|-|-|-|
||Nature of account||Reason for written|Verification|Arising from related|
|Name||Amount written off||||
||receivables||-off|procedures|transactions (Y/N)|

 Explanation for write-off of account receivables:
（4）The ending balance of other receivables owed by the imputation of the top five parties
|||||
|-|-|-|-|
|Name|Amount in year-end|||
||Account receivable|Proportion(%)|Bad debt provision|
|China Harbour Engineering Company Ltd.|492,333,328.54|14.73|24,616,666.43|
|China Water Conservancy & HydropowerSecond Engineering Bureau Co., Ltd.|310,280,223.17|8.95|15,514,011.16|
|Zhong Ya Group|232,270,000.92|7.14|11,613,500.05|
|Oxley Diamond (Cambo|209,683,175.54|6.35|10,484,158.78|
|Henan No.1 Thermal Power ConstructionCo., Ltd.|178,865,404.63|5.51|8,943,270.23|
|Total|1,423,432,132.80|42.67|71,171,606.64|

 (5) Account receivable which terminate the recognition owning to the transfer of the financial assets
(6) The amount of the assets and liabilities formed by the transfer and the continues involvement of accounts receivable
Othernotes：
6.Prepayments
（1）Age analysis
In RMB
||||||
|-|-|-|-|-|
||Year-end balance||Year-beginning balance||
|Aging|||||
||Amount|Proportion|Amount|Proportion|
|Within 1 year|109,659,061.20|93.07%|70,146,608.20|90.27%|
|1-2 years|5,273,833.77|4.50%|5,258,018.08|6.77%|
|2-3 years|1,681,622.82|1.40%|1,090,606.22|1.40%|
|Over 3 years|1,205,486.72|1.03%|1,212,335.88|1.56%|
|Total|117,820,004.51|--|77,707,568.38|--|

Notes of the reasons of the prepayment ages over 1 year with significant amount but failed settled intime:：
Sino Great Wall Co., Ltd. The Semi-annual Report 2016（2）The ending balance of Prepayments owed by the imputation of the top five parties
||||
|-|-|-|
|Name|Balance in year-end|Proportion|
|Shenzhen Qianhai Yifang Supply chainManagement Co., Ltd.|45,000,000.00|38.43|
|DANCO For Building Materials Co.|14,892,674.54|12.72|
|Kaiyuan（Tianjing）Building materials Sales Co.,Ltd.|2,972,088.60|2.54|
|ABB LLC QATAR|2,712,624.20|2.32|
|TIANJIN TEXTILE GROUP IMPORT ANDEXPORT INC.|2,206,750.71|1.88|
|Total|67,784,138.05|57.89|

 Othernotes：
7.Interest receivable
None
8.Dividend receivable
None
9.Other receivable
（1）Disclosure of calassification of other receivables
In RMB
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||Amount in year-end|||||Amount in year-begin|||||
||||Amount in|||Amount in|||||
||Amount in year-end|||||||Amount in year-begin|||
|Category|||year-begin||Book|year-end|||||
|||||||||||Book value|
||Amount|Proportio|Amount|Proportio|value|Amount|Proportio|Amount|Proportion(||
|||n(%)||n(%)|||n(%)||%)||
|Other receivables|||||||||||
|provided bad debt|510,129,||42,550,0||467,579,6|261,942||21,989,49||239,952,88|
|||100.00%||8.34%|||99.82%||8.39%||
|provision in credit|746.12||62.09||84.03|,379.50||3.40||6.10|
|risk groups|||||||||||
|Other account|||||||||||
|receivable with|||||||||||
|||||||478,000||478,000.0|||
|minor individual|||||||0.18%||100.00%||
|||||||.00||0|||
|amount but bad debt|||||||||||
|provision is provided|||||||||||
|Total|510,129,||42,550,0||467,579,6|262,420|100.00%|22,467,49|8.56%|239,952,88|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||||
|-|-|-|-|-|-|
|746.12|62.09|84.03|,379.50|3.40|6.10|

 Other receivable accounts with large amount and were provided had debt provisions individually at end of period.□Applicable√Not applicable
Other receivable accounts in Group on which bad debt provisions were provided on age analyzebasis：
√Applicable□Not applicable
In RMB
|||||
|-|-|-|-|
||Amount in year-end|||
|Aging||||
||Other receivable|Bad debt provision|Proportion（%）|
|Within item 1 year||||
|Within 1 year|395,480,734.49|19,536,993.94|5.00%|
|1-2 years|67,082,013.00|6,708,201.30|10.00%|
|2-3 years|41,702,166.65|12,510,649.99|30.00%|
|3-4 years|2,248,477.69|1,124,238.85|50.00%|
|4-5 years|1,393,184.91|1,114,547.93|80.00%|
|Over 5 years|1,555,430.09|1,555,430.09|100.00%|
|Total|510,129,746.12|42,550,062.09||

Notes:
Other receivable account in Group on which bad debt provisions were provided on percentagebasis：
□Applicable√Not applicable
Other Receivable accounts on which bad debt provisions are provided by other ways in theportfolio：
□Applicable√Not applicable
（2）Bad debt provision accrual collected or switch back
Bad debt provision accrual was 19,848,625.05, the acount collected or switches back amounting to RMB
1,920,113.09.
(3)Other receivables actually written off in the repotring period
Nono
（4）Other receivables Nature of fund classification information
In RMB
||||
|-|-|-|
|Nature|End of term|Beginning of term|
|Bidding margins, performance bonds and|||
||218,269,868.30|168,213,515.22|
|deposits|||
|Petty cash and current accounts between|||
||36,810,307.53|40,331,852.58|
|individuals|||
||246,530,131.21|53,815,203.95|
|Current accounts between entities|||
||8,519,439.08|59,807.75|
|Others|||
||510,129,746.12|262,420,379.50|
|Total|||

（5）The ending balance of other receivables owed by the imputation of the top five parties
In RMB
Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||||
|-|-|-|-|-|-|
|||||Portion in total other|Bad debt provision|
|Name|Nature|Year-end balance|Age|||
|||||receivables(%)|of year-end balance|
|China Electric||||||
||Current accounts|||||
|Power Construction||228,768,436.44|Within 1 year|45.32%|11,438,421.82|
||between entities|||||
|Group Co., Ltd.||||||
|Leading Group||||||
|Office for||||||
|Reconstruction and||||||
|Extension Project of|Performance bonds|39,490,000.00|2-3years|7.82%|11,847,000.00|
|Jingfeng Hotel of the||||||
|General Logistics||||||
|Department of PLA||||||
|Chengdu Qinyuan||||||
|Real Estate||||||
||Performance bonds|30,000,000.00|Within 1 year|5.94%|1,500,000.00|
|Development Co.,||||||
|Ltd.||||||
|Xinjiang||||||
|Hongguangshan|Performance bonds|26,189,000.00|2-3 years|5.19%|7,856,700.00|
|Hotal Co., Ltd.||||||
|First United General|Deposits|21,317,541.47|1-2 years|4.22%|2,131,754.15|
|Total|--|345,764,977.91|--|68.49%|34,773,875.97|

 10.Inventories
（1）Inventories types
In RMB
||||||||
|-|-|-|-|-|-|-|
||Year-end balance|||Year-beginning balance|||
|Items|Book balance|Provision for bad|Book value|Book balance|Provision for bad|Book value|
|||debts|||debts||
|Raw materials|17,306,050.90||17,306,050.90|13,086,673.87||13,086,673.87|
|Stock|||||||
||11,623,307.31|1,404,762.68|10,218,544.63|7,538,609.26|1,352,585.08|6,186,024.18|
|commodities|||||||
|Engineering|||||||
||209,966,380.82||209,966,380.82|148,457,514.11||148,457,514.11|
|construction|||||||
|Materials in|||||||
||8,365,576.38||8,365,576.38|403,456.75||403,456.75|
|transit|||||||
|Total|247,261,315.41|1,404,762.68|245,856,552.73|169,486,253.99|1,352,585.08|168,133,668.91|

（2）Inventory Impairment provision
In RMB
||||||||
|-|-|-|-|-|-|-|
|||Increased in current period||Decreased in current period|||
||Year-beginning||||||
|Items||||||Year-end balance|
||balance|Provision|Other|Transferred back|Other||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||
|-|-|-|-|
|Stock|1,352,585.08||1,404,762.68|
|||52,177.60||
|commodities||||
|Total|1,352,585.08|52,177.60|1,404,762.68|

 (3) Explanation on inventories with capitalization of borrowing costs included at ending balance
11. Assets divided as held-to-sold
In RMB
||||||
|-|-|-|-|-|
|Items|Book value|Fair value|Disposition expenses|Disposition time|

 Othernotes：
12. Non-current assets due within 1 year
In RMB
||||
|-|-|-|
||Year-end balance|Year-beginning balance|
|Items|||
|Long-term borrowings maturing within|||
||14,020,966.88|15,717,270.60|
|one year|||
||14,020,966.88|15,717,270.60|
|Total|||

 Othernotes：
13. Other current assets
In RMB
||||
|-|-|-|
||Year-end balance|Year-beginning balance|
|Items|||
||13,633,979.33|14,138,411.87|
|Input tax to be deducted|||
||13,633,979.33|14,138,411.87|
|Total|||

 Othernotes：
14. Available-for-sale financial assets
None
15. Investment held-to-maturity
None
16. Long-term accounts receivable
None
17. Long-term equity investment
None
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 18. Investment property
(1) Investment property adopted the cost measurement mode1
□ Applicable√ Not applicable
(2) Investment property adopted fair value measurement mode
□ Applicable√ Not applicable
(3) Details of investment property failed to accomplish certification of property
None
19. Fixed assets
（1）Fixed assets
In RMB
|||||||
|-|-|-|-|-|-|
|||Machinery||||
|Items|Houses &||Transportations|Other|Total|
||buildings|eqiupment||||
|I. Original price||||||
|1.Opening balance|10,193,831.80|15,035,917.90|27,339,595.16|5,460,583.58|58,029,928.44|
|2.Increased amount ofthe||44,519,558.20||||
||48,408,486.23||1,718,700.00|3,126,300.00|97,773,044.46|
|period||||||
|(1) Purchase||||||
||||3,908,230.18|716,263.14|4,624,493.32|
|(2) Transferred from con||||||
|struction in prog|5,419,716.92|3,218,758.20|||8,638,475.15|
|ress||||||
|(3)Increased of||||||
||42,988,769.31|41,300,800.00|1,718,700.00|3,126,300.00|89,134,569.31|
|Enterprise Combination||||||
|3. Decrease in the||||||
|current period||||||
|（1）Disposal||||||
|4. Balance at||||||
||38,182,128.68|34,701,224.13|32,097,141.34|7,801,079.72|112,781,573.87|
|period-end||||||
|II.Accumulated||||||
|amortization||||||
|1. Balance at||||||
||74,769.21|602,256.64|11,569,621.16|1,937,065.80|14,183,712.81|
|period-beginning||||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||||
|-|-|-|-|-|-|
|2. Increase in the current||||||
||20,697,522.10|25,949,610.20|1,969,837.69|1,886,530.09|50,503,500.08|
|period||||||
|(1) Withdrawal|277,332.75|1,095,358.20|1,100,453.69|390,062.09|2,863,206.73|
|（2）Increased of||||||
||20,420,189.35|24,854,252.00|869,384.00|1,496,468.00|47,640,293.35|
|Withdrawal||||||
|3. Decrease in the current||||||
|period||||||
|（1）Disposal||||||
|4. Balance at||||||
||20,772,291.31|26,551,866.84|13,539,458.85|3,823,595.89|64,687,212.89|
|period-end||||||
|III. Impairment provision||||||
|1. Balance at||||||
|period-beginning||||||
|2.Increased amount of||||||
|the period||||||
|(1) Withdrawal||||||
|3. Decrease in the||||||
|current period||||||
|（1）Dispose||||||
|4. Balance at||||||
|period-end||||||
|IV.Book value||||||
|1.Book value at period||||||
||37,830,026.72|33,003,609.29|19,427,066.49|5,478,959.83|95,739,662.33|
|-end||||||
|2.Book value at||||||
||10,119,062.59|14,433,661.26|15,769,974.00|3,523,517.78|43,846,215.63|
|period-beginning||||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016 (2) List of temporarily idle fixed assets
None
(3) Fixed assets leased in from financing lease
None
(4) Fixed assets leased out from operation lease
None
20.Project under construction
（1）Project under construction
In RMB
||||||||
|-|-|-|-|-|-|-|
||Year-end balance|||Year-beginning balance|||
|Items|Book balance|Provision for|Book Net value|Book balance|Provision for|Book Net value|
|||devaluation|||devaluation||
|Suzhou LvbangPlant|||||||
|||||4,978,670.79||4,978,670.79|
|Kuwait towercranes|||||||
||2,101,034.12||2,101,034.12|5,038,257.45||5,038,257.45|
||2,101,034.12||2,101,034.12|10,016,928.24||10,016,928.24|
|Total|||||||

 (2) Changes of significant construction in progress
In RMB
||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|
|||||||||||Including：|||
||||||||||Capitalis||||
|||Amountat yearbeginning||Transferr|||||ation of|Current|Capitalis||
||||Increase|||Balance|||||||
|||||ed to|Other||Proporti|Progress|interest|amount|ation of|Source|
|Name|Budget||at this|||in|||||||
|||||fixed|decrease||on(%)|of work|accumul|of|interest|of funds|
||||period|||year-end|||||||
|||||assets|||||ated|capitaliz|ratio（%)||
||||||||||balance|ation ofinterest|||
|Suzhou|6,478,67|4,978,67|441,046.|5,419,71|||||||||
|Lvbang||||||||||||Other|
||0.79|0.79|13|6.92|||||||||
|Plant|||||||||||||
|Kuwait|5,298,25|5,038,25|202,074.|3,139,29||2,101,03|||||||
|tower||||||||||||Other|
||7.45|7.45|12|7.45||4.12|||||||
|cranes|||||||||||||
||11,776,9|10,016,9|643,120.|8,559,01||2,101,03|||||||
||||||||--|--||||--|
||28.24|28.24|25|4.37||4.12|||||||
|Total|||||||||||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016 (3) List of the withdrawal of the impairment provision of the construction in progress
None
21. Engineering material
None
22. Liquidation of fixed assets
None
23. Productive biological assets
(1) Productive biological assets adopted cost measurement mode
□ Applicable√ Not applicable
(2) Productive biological assets adopted fair value measurement mode
□ Applicable√ Not applicable
24. Oil and gas assets
□ Applicable√ Not applicable
25.Intangible assets
（1）List of intangible assets
In RMB
|||||||
|-|-|-|-|-|-|
||||Non-patent|||
|Items|Land use right|Patent||Software|Total|
||||Technology|||
|I. Original price||||||
|1.Opening balance|7,714,044.00|||2,452,559.29|10,166,603.29|
|2.Increased amount||||||
|ofthe period||||||
|(1) Purchase||||361,487.18|361,487.18|
|(2)Internal Development||||||
|(3)Increased of Enterprise||||||
||97,642,600.00|||525,000.00|98,167,600.00|
|Combination||||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||
|-|-|-|-|
|3.Decreased amount of the||||
|period||||
|（1）Disposal||||
|4. Balance at period-end|105,097,783.41|2,381,146.76|107,478,930.17|
|II.Accumulated||||
|amortization||||
|1. Balance at|181,202.41|717,654.55|898,856.96|
|period-beginning||||
|2. Increase in the current|77,658.18|240,245.16|317,903.34|
|period||||
|(1) Withdrawal|77,658.18|240,245.16|317,903.34|
|（2）Increase of withdrawal|0|0|0|
|3.Decreased amount of the||||
|period||||
|（1）Disposal||||
|4. Balance at period-end|258,860.59|957,899.71|1,216,760.30|
|III. Impairment provision||||
|1. Balance at||||
|period-beginning||||
|2. Increase in the current||||
|period||||
|(1) Withdrawal||||
|3.Decreased amount of the||||
|period||||
|（1）Disposal||||
|4. Balance at period-end||||
|4. Book value||||
|1.Book value at period -end|105,097,783.41|2,381,146.76|107,478,930.17|
|2.Book value at||||
||7,532,841.59|1,734,904.74|9,267,746.33|
|period-beginning||||

The proportion the intangible assets formed from the internalR&D through the Company amount the balance of the intangible assets at the period-end
26.R&D expenses
Current research and development spending is RMB 64.8587 million.
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 27. Goodwill
（1）Original book value of goodwill
In RMB
||||||
|-|-|-|-|-|
||Amount at|Increase in the current period|Decrease in the current period||
|||||Amount at|
|Name|period-beginni||||
|||||period-end|
||ng||||
|Shenzhen Yatian|||||
|Decoration Design|||||
||6,724,316.91|||6,724,316.91|
|Engineering Co.,|||||
|Ltd.|||||
|Wuhan Commercial|||||
|& Vocational||27,257,314.49||27,257,314.49|
|Hospital Co.,Ltd|||||
|Total|6,724,316.91|27,257,314.49||33,981,631.40|

（2）Impairment of goodwill
None
28.Long term amortize expenses
In RMB
|||||||
|-|-|-|-|-|-|
|Items|Balance in year-begin|Increase in this|Amortized expenses|Other loss|Balance in year-end|
|||period||||
||14,879,816.11|1,182,947.82|2,449,698.71||13,613,065.22|
|Renovation costs||||||
|Overseas guarantee||||||
||19,747,240.18||5,906,237.56||13,841,002.62|
|fees||||||
|Less: Long-term||||||
|borrowings maturing|-15,717,270.60|||-1,681,158.09|-14,036,112.51|
|within one year||||||
|Amortization of|||||22,800,000.00|
|||22,800,000.00||||
|advisory fees||||||
|Total|18,909,785.69|23,982,947.82|8,355,936.27|-1,681,158.09|36,217,955.33|

 Other notes
29.Deferred income tax assets/deferred income tax liabilities
(1)Details of the un-recognized deferred income tax assets
In RMB
||||||
|-|-|-|-|-|
||Balance in year-end||Balance in year-begin||
|Items|Deductible temporary|Deferred income tax|Deductible temporary|Deferred income tax|
||difference|assets|difference|assets|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||
|-|-|-|-|-|
|Provision for asset|||||
||379,263,022.08|57,764,223.79|308,401,589.95|46,440,178.39|
|impairment|||||
||4,729,047.45|1,171,953.41|4,729,047.45|1,171,953.41|
|Deductible losses|||||
|Provision for inventory|||||
||1,404,762.68|351,190.67|1,352,585.08|338,146.27|
|depreciation|||||
||385,396,832.21|59,287,367.87|314,483,222.48|47,950,278.07|
|Total|||||

 (2)Details of the un-recognized deferred income tax liabilities
In RMB
||||||
|-|-|-|-|-|
||Balance in year-end||Balance in year-begin||
|Items|||||
||Temporarily Deductable|Deferred Income Tax|Temporarily Deductable|Deferred Income Tax|
||or Taxable Difference|liabilities|or Taxable Difference|liabilities|
|Taxable temporary|||||
||28,759,092.55|28,759,092.55|102,961.04|15,444.16|
|differences|||||
|Total|28,759,092.55|28,759,092.55|102,961.04|15,444.16|

 (3) Deferred income tax assets or liabilities listed by net amount after off-set
In RMB
||||||
|-|-|-|-|-|
||||Trade-off between the|Opening balance of|
||Trade-off between the|End balance of deferred|||
||||deferred income tax|deferred income tax|
|Items|deferred income tax|income tax assets or|||
||||assets and liabilities at|assets or liabilities after|
||assets and liabilities|liabilities after off-set|||
||||period-begin|off-set|
|Deferred income tax||59,287367.87||47,950,278.07|
|assets|||||
|Deferred income||28,759,092.55||15,444.16|
|liabilities|||||

(4) List of unrecognized deferred income tax assets
None
(5) Deductible losses of unrecognized deferred income tax assets will due the following years
None
30. Other non-current assets
In RMB
||||
|-|-|-|
|Items|End of term|Beginning of term|
||100,540,012.47|95,353,390.28|
|Advances for purchase of long-term assets|||
||100,540,012.47|95,353,390.28|
|Total|||

Othernotes：
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 31 .Short-term loans
（1）Category of short-term borrowings
In RMB
||||
|-|-|-|
|Items|End of term|Beginning of term|
||1,679,550,648.00|210,000,000.00|
|Guaranteed borrowings|||
|Commercial acceptance bills endorsed or|||
|discounted but not expired on the balance|107,157,999.08|15,408,496.07|
|sheet date|||
||1,786,708,647.08|225,408,496.07|
|Total|||

 Notes：
(2) List of the short-term loans overdue but not return
None
32. Financial liabilities measured at fair value through current profit and loss
None
33. Derivative financial liabilities
□Applicable√ Not applicable
34. Note payable
In RMB
||||
|-|-|-|
|Items|End of term|Beginning of term|
|Bank acceptance|314,222,954.89|143,410,167.17|
|Total|314,222,954.89|143,410,167.17|

 The amount payable at the end of this term is RMB 0.00.
35. Accounts payable
(1) Details of accounts payable are as follows
In RMB
||||
|-|-|-|
|Items|End of term|Beginning of term|
|Project engineering Fund|988,847,920.66|1,331,950,114.27|
|Purchases of long-term assets|1,615,001.40|669,840.50|
|Goods|25,092,073.37||
|Total|1,015,554,995.43|1,332,619,954.77|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016 (2) Accounts payable with major amount and aging of over one year
In RMB
||||
|-|-|-|
|Items|End of term|Beginning of term|
|Ceylon Steel Corporation Ltd|11,301,426.09|No settlement period|
|CUMMINS QATAR LLC|14,294,662.75|No settlement period|
|Total|25,596,088.84|--|

Othernotes：
36. Accounts received in advance
(1)Accounts received in advance
In RMB
||||
|-|-|-|
|Items|End of term|Beginning of term|
|Project engineering Fund|71,596,504.10|64,963,842.60|
|Accounts received in advance|2,010,456.57||
|Total|73,606,960.67|64,963,842.60|

 (2) Accounts received in advance with major amount and aging of over one year
None
(3) Assets settled formed by construction contract which has un-completed at period-end
None
37.Employees’ wage payable
(1) Details
In RMB
||||||
|-|-|-|-|-|
|Items|Beginning of term|Increased this period|Decreased this period|End of term|
|I. Short-term wages|11,696,032.04|178,042,993.62|167,689,173.05|22,353,800.61|
|II. Welfare after leaving|||||
|of position-fixed|973,587.16|11,213,327.29|11,146,980.89|963,598.98|
|provision scheme|||||
|Total|12,669,619.20|189,256,320.91|178,836,153.94|23,317,399.59|

 (2) Details of short term wages
In RMB
||||||
|-|-|-|-|-|
|Items|Beginning of term|Increased this period|Decreased this period|End of term|
|1.Wage, bonus,|||||
||10,957,918.68|157,078,284.50|146,607,604.08|21,732,547.10|
|allowance and subsidies|||||
|2. Employee welfare||8,416,493.99|8,416,493.99||
|3. Social insurance|678,746.36|6,155,891.89|6,296,998.78|537,639.51|
|Incl. Medical insurance|567,258.19|5,548,679.30|5,650,331.07|465,606.37|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||
|-|-|-|-|-|
|Labor injury insurance|48,777.45|176,589.60|206,506.67|18,860.35|
|Maternity insurance|62,710.72|430,623.10|440,161.04|53,172.79|
|4. Housing fund|59,367.00|4,855,735.40|4,831,488.36|83,614.00|
|5. Labour union fee and|||||
|||1,536,587.84|1,536,587.84||
|employee education fee|||||
|Total|11,696,032.04|178,042,993.62|167,689,173.05|22,353,800.61|

 (3) Details of fixed provision scheme
In RMB
||||||
|-|-|-|-|-|
|Items|Beginning of term|Increased this period|Decreased this period|End of term|
|Basic endowment|||||
||928,655.00|10,610,149.46|10,525,287.95|937,088.87|
|insurance premiums|||||
|Unemployment insurance|||||
||44,932.16|603,177.83|621,692.94|26,510.11|
|premiums|||||
||973,587.16|11,213,327.29|11,146,980.89|963,598.98|
|Total|||||

 Othernotes：
38. Taxes payable
In RMB
||||
|-|-|-|
|Items|Balance in year-end|Balance in year-begin|
|VAT||367,314.45|
||90,446,358.29|99,853,626.46|
|Business tax|||
||145,877,663.27|172,280,720.23|
|Enterprise income tax|||
||452,994.06|545,880.47|
|Individual income tax|||
||5,860,575.19|6,413,578.69|
|Urban maintenance and construction tax|||
||4,617,917.03|5,106,621.62|
|Education surtax|||
|Stamp tax and other taxes|90,148.95|258,548.19|
|Land use tax|65,905.22||
|Property tax|34,225.74||
|Total|247,445,787.75|284,826,290.11|

 Othernotes：
39. Interest payable
In RMB
||||
|-|-|-|
|Items|Balance in year-end|Balance in year-begin|
||3,683,223.39|330,945.21|
|Interest payable on short-term borrowings|||
||527,664.72|197,024.05|
|Interest payable on long-term borrowings|||
||4,210,888.11|527,969.26|
|Total|||

 40. Dividend payable
None
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 41 .Other payables
(1) Other payables by items
In RMB
||||
|-|-|-|
|Items|Balance in year-end|Balance in year-begin|
|Bidding margins, performance bonds and|||
||54,271,289.84|19,625,824.93|
|deposits|||
|Current accounts between individuals and|||
||16,061,227.85|42,269,479.45|
|withholding payables|||
|||523,963,781.16|
|Lendings to shareholders|||
||190,987,095.04|49,313,976.16|
|Current accounts between entities|||
||47,935.59|27,914.90|
|Others|||
|Total|261,367,548.32|635,200,976.60|

 (2) Other payables with large amount and aging of over one year
None
42. Divided into liability held for sale
None
43. Non-current liability due within one year
In RMB
||||
|-|-|-|
|Items|Balance in year-end|Balance in year-begin|
|Long-term loans due within 1 year||7,135,752.00|
|Long-term loans due within 1 year|25,175,567.33||
|Total|25,175,567.33|7,135,752.00|

 Othernotes：
44. Other current liability
In RMB
||||
|-|-|-|
|Items|Balance in year-end|Balance in year-begin|
||68,823,529.00||
|Domestic L/C|||
||68,823,529.00||
|Total|||

45. Long-term loan
(1) Category of long-term loan
In RMB
||||
|-|-|-|
|Items|Balance in year-end|Balance in year-begin|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
||19,480,800.00|19,480,800.00|
|Pledged borrowings|||
||20,977,534.52|10,659,849.14|
|Mortgage borrowings|||
|Guarantee loan|380,000,000.00||
|Total|420,458,334.52|30,140,649.14|

 Notes of short-term loans category:
Other notes including interest rate range:
46.Bond payable
（1）Bond payable
None
(2) Changes on bonds payable (not including other financial instrument classified as preferred stock and
perpetual capital securities of financial liabilities)
(3) Note to conditions and time of share transfer of convertible bonds
(4) Note to other financial instrument classified as financial liabilities
None
47.Long-term payable
（1）Details
None
48. Long-term employee salary payable
（1）Long term payable staff salary list
None
（2）Defined contribution plans listed
None
49. Specific payable
None
50. Estimates liabilities
None
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 51. Deferred income
None
52. Other non-current liability
None
53.Stock capital
In RMB
|||||||||
|-|-|-|-|-|-|-|-|
|||Changed（+，-）||||||
||Balance in||||||Balance in|
|||Issuance of|Bonus|Capitalization of||||
||year-begin||||Other|Subtotal|year-end|
|||new share|shares|public reserve||||
|Total of capital|446,906,582.00||||||1,698,245,011.00|
|||||1,251,338,429.00||1,251,338,429.00||
|shares||||||||

Othernotes：
54.Other equity instruments
None
55.Capital reserves
In RMB
||||||
|-|-|-|-|-|
|Items|Opening balance|Increase in the period|Decrease in the period|Closing balance|
|Capital (share capital)|||||
||394,052,904.72|||394,052,904.72|
|premium|||||
|Other capital reserves|-444,420,766.94||1,251,338,429.00|-1,695,759,195.94|
|Total|-50,367,862.22||1,251,338,429.00|-1,301,706,291.22|

 Other explanation, including changes in the current period, reasons for the change:
56. Treasury stock
None
57. Other comprehensive income
In RMB
|||||||||
|-|-|-|-|-|-|-|-|
|||Occurred current term||||||
||Beginning of|Amount|Less:|Less:|Attributable|Attributable|End of|
|Items||||||||
||term|occurred|accounted as|Income tax|to the|to minority|term|
|||before|other gains|expenses|parent co.|shareholder||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||||
|-|-|-|-|-|-|-|
|||income taxof theperiod|previously but|after tax|s after tax||
||||transferred to||||
||||gain/loss this||||
||||period||||
|I. Net amount included in other|||||||
|comprehensive income that cannot be|||||||
|||||||0.00|
|transferred to profit or loss in the|||||||
|future|||||||
|II. Other Comprehensive income that||||-132.50|||
|will be reclassified subsequently to|0.00|-132.50||||-132.50|
|profit or loss|||||||
|Foreign currency translation||||-132.50|||
|||||||-132.50|
|differences|||||||
|||-132.50||-132.50|0.00|-132.50|
|Total other comprehensive income|||||||

Notes：
58. Special reserves
In RMB
||||||
|-|-|-|-|-|
||Balance as at January 30,|Increase in the reporting|Decrease in the reporting|Balance as at June 30,|
|Item|||||
||2016|period|period|2016|
||46,014,941.54|28,355,184.48||74,370,126.02|
|Work safety costs|||||
||46,014,941.54|28,355,184.48||74,370,126.02|
|Total|||||

 Notes：
59.Surplus reserve
In RMB
||||||
|-|-|-|-|-|
|Items|Year-beginning balance|Increase in the current|Decrease in the current|Year-end balance|
|||period|period||
|Statutory surplus reserve|84,394,441.23|||84,394,441.23|
|Total|84,394,441.23|||84,394,441.23|

Notes：
60. Retained profits
In RMB
||||
|-|-|-|
|Items|Amount of this period|Amount of last period|
|Undistributed profits at the beginning of the yearafter adjustment|755,308,636.19||
|Retained profits at the end of the year|959,222,073.64||

As regards the details of adjusted the beginning undistributed profits
(1)As the retroactive adjustment on Enterprise Accounting Standards and its related new regulations, the affected
beginning undistributed profits are RMB 0.00.
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 (2) As the change of the accounting policy, the affected beginning undistributed profits are RMB 0.00.
(3) As the correction of significant accounting error, the affected beginning undistributed profits are RMB 0.00 . (4) As the change of consolidation scope caused by the same control, the affected beginning undistributed profits are RMB 0.00.
(5) Other adjustment of the total affected beginning undistributed profits are RMB 0.00 .
61. Business income, Business cost
In RMB
||||||
|-|-|-|-|-|
||Amount of current period||Amount of previous period||
|Items|||||
||Income|Cost|Income|Cost|
|Main Business|1,953,458,815.17|1,460,727,131.33|2,081,209,219.16|1,855,045,569.26|
|Other Business|115,940.34||||
|Total|1,953,574,755.51|1,460,727,131.33|2,081,209,219.16|1,855,045,569.26|

 62. Business tax and subjoin
In RMB
||||
|-|-|-|
|Items|Amount of this period|Amount of last period|
||8,128,747.41|40,170,349.00|
|Business tax|||
||490,781.57|2,418,770.12|
|Urban maintenance and construction tax|||
||407,123.13|2,008,517.48|
|Education surtax|||
||9,026,652.11|44,597,636.60|
|Total|||

 Othernotes：
63.Sales expenses
In RMB
||||
|-|-|-|
|Items|Amount of this period|Amount of last period|
||3,018,618.91|3,893,894.54|
|Employee compensation|||
||561,434.40|507,329.70|
|Travel expenses|||
||217,201.30|671,038.48|
|Entertainment expenses|||
||2,675.00|155,680.00|
|Advertising and promotion expenses|||
||1,844,249.85|756,877.26|
|Engineering maintenance fees|||
||506,544.07|1,518,085.32|
|Others|||
|Total|9,259,264.24|7,502,905.30|

 Othernotes：
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 64.Administrative expenses
In RMB
||||
|-|-|-|
|Items|Amount of this period|Amount of last period|
||55,087,982.62|38,266,641.97|
|Employee compensation|||
||6,868,345.59|3,379,583.54|
|Office costs|||
||8,847,563.59|6,300,885.83|
|Rental fees|||
||6,178,764.80|2,177,580.26|
|Travel expenses|||
|Entertainment expenses|4,279,243.33|1,620,694.08|
|Depreciation of fixed assets|1,049,628.12|1,143,010.68|
|Vehicle costs|1,406,039.97|1,255,364.65|
|Amortization of long-term prepaid|||
||2,346,368.89||
|expenses|||
|Consulting fees|14,430,715.98|4,528,756.34|
|Recruitment fee|1,465,461.90|615,851.00|
|Factoring fee|1,408,333.33||
|Conference expenses|120,939.59|59,104.20|
|Tax fee|256,826.82||
|Cultivate fee|5,041.50||
|Insurance fee|3,473.00||
|Other|9,186,385.90|6,106,697.12|
|Transportation changes|52,639.40||
|Total|112,993,754.29|64,838,318.67|

 Othernotes：
65. Financial expenses
In RMB
||||
|-|-|-|
|Items|Amount of this period|Amount of last period|
||59,352,770.47|9,194,573.49|
|Interest expenses|||
||-1,381,042.14|-617,254.61|
|Less: Interest income|||
||-16,705,659.50|-1,095,650.66|
|Gains or losses on exchange|||
|Discount interest|6,317,701.34|1,538,894.32|
|Guarantee expenses|8,016,900.00||
|Handling charges and others|14,424,004.43|44,926,847.92|
||70,024,674.60|17,908,021.84|
|Total|||

 Othernotes：
66.Loss of assets impairment
In RMB
||||
|-|-|-|
|Items|Amount of this period|Amount of last period|
||78,474,915.67|29,539,652.25|
|Losses on bad debts|||
||52,180.60||
|Losses on inventory depreciation|||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
||78,527,096.27|29,539,652.25|
|Total|||

 Othernotes：
67. Gains from changes in fair value
In RMB
||||
|-|-|-|
|Source of the gains from changes in fair|||
||Amount of this period|Amount of last period|
|value|||
|Financial assets measured at fair value|||
|||25,148.61|
|through current profit and loss|||
|Total||25,148.61|

 Othernotes：
68. Investment income
In RMB
||||
|-|-|-|
|Items|Amount of this period|Amount of last period|
|Hold the investment income during from|||
||46,868.49||
|available-for-sale financial assets|||
|Total|46,868.49||

Othernotes：
69. Non-Operation income
In RMB
|||||
|-|-|-|-|
|Items|Amount of current period|Amount of previous period|Recorded in the amount of the|
||||non-recurring gains and losses|
|Including：Gains from disposal||||
||59,934.00|4,455.00||
|of fixed assets||||
|Government Subsidy||342,246.00||
|Demolition compensation|29,071,295.00|||
|Other|2,040.00|28,263.84||
|Total|29,133,269.00|379,419.84||

Government subsidy reckoned into current gains/losses
In RMB
||||||||||
|-|-|-|-|-|-|-|-|-|
|||||Whether the|||||
|||||impact of|||||
||||||Whether|Amount of|Amount of|Assets-relate|
||Issuing|||subsidies on|||||
|Items||Reason|Nature||special|current|previous|d/income|
||subject|||the current|||||
||||||subsidies|period|period|-related|
|||||profit and|||||
|||||loss|||||
||||||||342,246.00||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||||||
|-|-|-|-|-|-|-|-|
|Total|--|--|--|--|--|342,246.00|--|

 Othernotes：
70. Non-operating expenses
In RMB
|||||
|-|-|-|-|
||Amount of current period|Amount of previous period|The amount of non-operating|
|Items||||
||||gains & lossed|
|Total losses from disposal of||31,839.34||
|non-current assets||||
|Including: losses on disposal of||||
|||31,839.34||
|fixed assets||||
|Compensation for demolition||||
||2,755,912.00|||
|and relocation||||
|Other||1,600.00||
|Total|2,755,912.00|33,439.34||

Othernotes：
71 .Income tax expenses
(1) Table of income tax expenses
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|Current income tax expenses|48,703,354.96|68,552,202.33|
|Deferred income tax expenses|-10,840,595.13|-7,384,913.06|
|Total|37,862,759.83|61,167,289.27|

 (2) Adjustment progress of accounting profit and income tax
In RMB
|||
|-|-|
|Itmes|Amount of current period|
|Total profits|239,440,408.16|
|Income tax expense|37,862,759.83|

 Other notes
72 .Other comprehensive income
More details can be seen in Note.
73.Items of Cash flow statement
（1）Other cash received from business operation
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
||1,381,804.78|617,254.61|
|Interest income|||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
||718,703,565.11|179,701,296.90|
|Margin and deposit|||
|Government grants||342,246.00|
|Total|720,085,369.89|180,660,797.51|

Notes：
(2)Other cash paid related to oprating activities
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
||10,189,145.12|2,780,709.64|
|Handling charges|||
||39,131,360.77|58,908,338.12|
|Margin and deposit expenses|||
||871,447.72|1,620,247.76|
|Selling expenses|||
||76,645,222.04|9,364,752.58|
|General and administrative expenses|||
||928,164,050.00|118,832,077.15|
|Current accounts|||
|Total|1,055,001,225.65|191,506,125.25|

 Notes：
（3）Cash received from other operating activities
None
（4）Cash payable from other investing activities
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|Handling charges||3,884.29|
|Total||3,884.29|

Notes：
（5）Cash received from other investing activities
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|Individual financing funds paid|103,516,162.13|162,063,503.00|
|Receipt margin||15,218,569.41|
|Cost of financing|22,800,000.00||
|Total|561,003,771.39|177,282,072.41|

 Notes：
（6）Cash paid for other financing activities
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
||54,000,000.00|14,945,629.92|
|Note margin paid|||
||484,203,771.39|35,232,882.00|
|Individual financing funds paid|||
||538,203,771.39|50,178,511.92|
|Total|||

Notes：
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 74. Supplement Information for cash flow statement
（1）Supplement Information for cash flow statement
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|I. Adjusting net profit to cash flow from|||
||--|--|
|operating activities|||
|Net profit|201,577,648.33|165,342,341.12|
|Add: Impairment loss provision of assets|78,527,096.27|29,539,652.25|
|Depreciation of fixed assets, oil and gas|||
||1,119,746.80|1,146,313.55|
|assets and consumable biological assets|||
|Amortization of intangible assets|439,145.36|232,435.80|
|Amortization of Long-term deferred|||
||2,276,250.23|5,559,124.62|
|expenses|||
|Loss on disposal of fixed assets, intangible|||
|||27,384.34|
|assets and other long-term deferred assets|||
|Financial cost|70,024,674.60|9,637,817.15|
|Decrease in deferred income tax assets|-11,803,334.90|-7,384,913.06|
|Increased of deferred income tax liabilities|-15,444.16||
|Decrease of inventories|-77,722,883.82|-1,299,687.82|
|Decease of operating receivables|-2,317,677,180.26|-683,739,985.10|
|Increased of operating Payable|773,838,322.35|279,485,944.32|
|Other||-42,342,300.00|
|Net cash flows arising from operating|-1,279,415,959.20|-243,795,872.83|
|activities|||
|II. Significant investment and financing|||
||--|--|
|activities that without cash flows:|||
|III．Movement of cash and cash equivalents：|--|--|
|Ending balance of cash equivalents|||
||611,121,476.88|161,220,606.98|
|Less: Beginning balance of cash equivalents|||
||582,743,756.81|243,759,954.90|
|Net increase of cash and cash equivalents|611,121,476.88|-82,539,347.92|

 (2)Composition of cash and cash equivalents
In RMB
||||
|-|-|-|
|Items||Year-beginning balance|
||Year-end balance||
|I. Cash|567,009,471.93|582,743,756.81|
|Including：Cash at hand|||
||1,339,706.04|1,349,587.20|
|Demand bank deposit|||
||386,144,573.21|104,244,908.25|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
|Demand other monetary funds|||
||179,525,192.72|238,006,010.05|
|III. Balance of cash and cash equivalents at|567,009,471.93|582,743,756.81|
|the period end|||

Othernotes：
75. Notes on items of changes ofowner’s equity
Name and adjusted amount on “Other” at balance of year-end of last year:
76. Assets with ownership or right-to-use restricted
In RMB
||||
|-|-|-|
|Item|Book value as at December 31, 2015|Reason for restriction|
|Monetary fund|410,403,714.70|Deposit and letter of guarantee|
|Accounts receivable balance|1,214,497,227.15|Pledge|
|Total|1,624,900,941.85|--|

Othernotes：
77.Foreign currency monetary items
(1)Foreign currency monetary items
In RMB
|||||
|-|-|-|-|
||Balance in foreign currency as||RMB amount translated as at|
|Item||Exchange rate||
||at June 30,2016||June 30,2015|
|Including: USD|5,168,928.51|6.6312|34,276,198.74|
|HKD|64,111.39|0.8547|54,796.01|
|OMR|49,576.30|1.8281|90,630.43|
|INR|368,616,372.61|0.0455|16,772,044.95|
|MOP|72,341.68|0.8329|60,253.39|
|PHP|10,102,444.08|0.1413|1,427,475.35|
|BUK|23,170,122.97|0.00566|131,142.90|
|MYR|934,385.85|1.6527|1,544,259.49|
|KWD|1,544,539.22|21.9735|33,938,932.55|
|Including: USD|73,329,588.87|6.6312|486,263,169.71|
|INR|700,449,263.53|0.0455|31,870,441.49|
|MOP|2,653,756.40|0.8329|2,210,313.71|
|KWD|28,955,403.59|21.9735|636,251,560.78|
|OMR|169,968,269.44|1.8281|310,718,993.36|
|MYR|21,483,689.85|1.6527|35,506,094.22|
|DZD|24,867,193.21|0.0602|1,497,005.03|
|Advances to suppliers||||
|Including: USD|1,149,893.23|6.6312|7,625,171.99|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||
|-|-|-|-|
|OMR|6,576,121.91|1.8281|12,021,808.46|
|MYR|3,854,014.63|1.6527|6,369,529.98|
|INR|2,803,329.71|0.0455|127,551.50|
|KWD|3,738,463.20|21.9735|82,147,121.13|
|Other receivable||||
|Including: USD|11,684,265.66|6.6312|77,480,702.44|
|HKD|135,408.00|0.8547|115,733.22|
|INR|17,774,389.26|0.0455|808,734.71|
|MYR|294,838.19|1.6527|487,279.08|
|PHP|116,997.00|0.1413|16,531.68|
|DZD|1,565,029.76|0.0602|94,214.79|
|BUK|26,110,932.74|0.00566|147,787.88|
|THB|1,022,031.04|0.1893|193,470.48|
|OMR|15,055,152.94|1.8281|27,522,325.09|
|KWD|655,443.27|21.9735|14,402,382.69|
|Account payble||||
|Including: USD|48,258,439.99|6.6312|320,011,367.26|
|OMR|70,125,770.93|1.8281|128,196,921.84|
|INR|372,263,752.01|0.0455|16,938,000.72|
|PHP|44,130.43|0.1413|6,235.63|
|MYR|1,650,796.07|1.6527|2,728,270.66|
|KWD|6,883,490.56|21.9735|151,254,379.82|
|Advances from customers||||
|DZD|89,827,578.85|0.0602|5,407,620.25|
|EUR|1,998,692.23|7.3888|14,767,937.15|
|Account payble||||
|Including: USD|78,183.29|6.6312|518,449.03|
|DZD|255,913.35|0.0602|15,405.98|
|PHP|8,447.15|0.1413|1,193.58|
|OMR|140,982.17|1.8281|257,729.50|
||45,167,823.54|0.0455|2,055,135.97|
|INR||||
||35,533.62|0.8547|30,370.59|
|HKD||||
||113,842.95|21.9735|2,501,528.06|
|KWD||||

 Othernotes：
(2) Explanation on foreign operational entity, as for major foreign operational entity, disclosed foreign main operation land, book-keeping currency and basis; and disclosed reasons if the book-keeping currency changed√ Applicable□Not applicable
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 78. Hedging
Disclose hedging items by type of hedging as well as relevant arbitrage tool, qualitative and quantitative information for arbitrage project:
79.Other
VIII. Changes of consolidation scope
1. Enterprise consolidation not under the same control
（1）Business combinations not under common control in the reporting period
In RMB
||||||||||
|-|-|-|-|-|-|-|-|-|
||||||||Revenue of|Net profit of|
|||||||Recognition|||
||Timing of|Costs for|Proportion of|Method of|||the acquiree|the acquiree|
||||||Acquistition|basis of the|||
|Acquiree|acquisition of|acquisition of|equities|acquisition of|||from the|from the|
||||||date|acquisition|||
||equities|equities|acquired (%)|equities|||acquisition|acquisition|
|||||||date|||
||||||||date|date|
|Wuhan Commercial &VocationalHospital Co.,Ltd|||||2016/06/30|Complete thechange ofbusinessregistration inJune 21, 2016As of June30th theproportion ofpayment over50%|||
|||97,000,000.0||Cash|||||
||June 30,2016||100.00%||||||
|||0||purchase|||||

Othernotes：
（2）Combination cost and goodwill
In RMB
|||
|-|-|
||Wuhan Commercial & Vocational Hospital Co.,Ltd|
|Combination cost||
|--Cash|97,000,000.00|
|Total of Combination cost|97,000,000.00|
|Amount of goodwill/combination cost less than the share of fair||
||27,257,314.49|
|value of identifiable net assets acquired||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016 Other notes:
(3) The identifiable assets and liabilities of acquiree at purchase date
In RMB
||||
|-|-|-|
||Wuhan Commercial & Vocational Hospital Co.,Ltd||
||Fair value on the acquisition date|Book value on the acquisition date|
|Monetary capital|136,947,976.79|136,947,976.79|
|Account receivable|30,436,350.81|30,436,350.81|
|Inventory|3,254,649.29|3,254,649.29|
|Fixed assets|41,494,275.96|17,471,988.78|
|Intangible assets|98,167,600.00|7,153,516.99|
|Account payable|25,910,334.27|25,910,334.27|
|Net assets acquired|98,501,778.07|-16,534,592.13|

Notes：
(4) The profit or loss from equity held by the date before acquisition in accordance with the fair value measured again
Whether there is a transaction that through multiple transaction step by step to realize enterprises merger and gaining the control during the Reporting Period
□ Yes√ No
(5) Note to merger could not be determined reasonable consideration or Identifiable assets, Fair value of liabilities of the acquiree at acquisition date or closing period of the merge
（6）Other notes
2. Business combination under the same control
(1) Business combination under the same control during the Reporting Period
In RMB
||||||||||
|-|-|-|-|-|-|-|-|-|
||||||Income from|Net profits|||
||||||the|from the|||
|||||Recognition|||Income|Net profits|
||||||period-begin|reporting|||
|Combined|Proportion of||Combination|basis of|||during the|during the|
|||Basis|||to the|period to the|||
|party|the profits||date|combination|||period of|period of|
||||||combination|combination|||
|||||date|||comparison|compairsion|
||||||date of the|date of the|||
||||||combination|combination|||

Othernotes：
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 3. Counter purchase
Basic information of transactions, basis of transactions constituting counter purchase, whether assets and liabilities reserved by listed companies constituting business and their basis, confirmation of combined cost, the amount occurred when adjusting rights and interests in accordance with equity transaction and its calculation: 4. The disposal of subsidiary
Whether there is a single disposal of the investment to subsidiary and lost control
□ Yes√ No
Whether there are multiple transactions step by step dispose the investment to subsidiary and lost control in Reporting Period
□ Yes√ No
5. Other reasons for the changes in combination scope
None
6.Other
IX. Equity in other entity
1. Equity in the subsidiary
（1）Constitute of enterprise group
||||||||
|-|-|-|-|-|-|-|
|||||Share-holding ratio|||
|Subsidiary|Main operation|Registered place|Business nature|||Acquired way|
|||||Directly|Indirectly||
|Sino Great Wall|||||||
|International|||||||
|||||100.00%||Acquisition|
|Engineering Co.,|||||||
|Ltd.|Beijing|Beijing|Decoration||||
|Beijing Sino|||||||
|Great Wall|||||||
|||||100.00%||Establish|
|Decoration|||Design and||||
|Design Co., Ltd.|Beijing|Beijing|consulting||||
|Suzhou Lvbang|||||||
|Wood Technology|||Production and|100.00%||Establish|
|Co., Ltd.|Suzhou|Suzhou|sales||||
|Herabenna|||||||
|Interior Design|||||||
|||||100.00%||Establish|
|Guangzhou Co.,|||||||
|Ltd.|Guangzhou|Guangzhou|Design||||
|Sino Great Wall|||Construction,||||
|Group Co.,|||design, trade and|100.00%||Establish|
|Limited|Hong Kong|Hong Kong|investment||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||||
|-|-|-|-|-|-|-|
||||consulting||||
|Shanghai Ling|||||||
|Rui International|||||||
|||||100.00%||Establish|
|Trade Company|||||||
|Limited|Shanghai|Shanghai|Trade||||
||||Investment,||||
||||research and||||
|Shenzhen|||development and||||
|||||100.00%||Establish|
|Hongtulve|||sales, trade as||||
|Industrial Co.,|||well as import||||
|Ltd.|Shenzhen|Shenzhen|and export||||
||||Mechanical and||||
||||electrical||||
||||engineering,||||
||||scientific|100.00%||Establish|
|Inrich Me|||research, trade||||
|Engineering Co.,|||and investment||||
|Limited|Hong Kong|Hong Kong|consulting||||
|Sino Great Wall|||||||
|New Energy|||||||
|||||100.00%||Establish|
|(Beijing) Co.,|||New energy||||
|Ltd.|Beijing|Beijing|technology||||
|SINOGREATWA|||||||
|LL(PHILIPPINE|||||||
|S)INTERNATIO|||Building|100.00%||Establish|
||||construction and||||
|NALCORPORIT|||||||
||||import and export||||
|ION|||||||
||Philippines|Philippines|trade||||
|SGWHPEngineer|||||||
|ingConstructionS||||100.00%||Establish|
||||Design and||||
|DN.BHD|||||||
||Malaysia|Malaysia|construction||||
|SINOGREATWA|||Commercial||||
||||activities allowed|100.00%||Establish|
|LL（USA）.INC|||||||
||The United States|The United States|by law||||
|Shenzhen Yatian|||||||
|Decoration|||||||
|Design||||70.00%||Acquisition|
|Engineering Co.,|||Design and||||
|Ltd.|Shenzhen|Shenzhen|construction||||
|Sino Great Wall|||||||
|International|||||||
|Engineering||||96.00%|4.00%|Establish|
|(MACAU) Co.,|||Design and||||
|Limited|Macao|Macao|construction||||
|Wuhan Commerc|||||||
|ial and Vocational|||||||
||Wuhan|Wuhan||100.00%||Establish|
|Hospital Co.,Ltd|||||||
|Sino Great Wall|||||||
|Real Estate|||real estate||||
||Wuhan|Wuhan||80.00%||Set Up|
|(Hubei) CO.,|||development||||
|LTD|||||||
|Luyi Shuguang|Luyi|Luyi|medical project|51.00%||Acquisition|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||||
|-|-|-|-|-|-|
|Medical Industry|||(industry)|||
|Investment|||investment,|||
|Construction|||consultation and|||
|CO., LTD|||service|||
||||solar energy|||
||||photovoltaic|||
|Wu’an Juhe|||power generation|||
|Photovoltaic Pow|||project|||
||Wu’an|Wu’an||100.00%|Set Up|
|er Generation CO|||construction,|||
|., LTD|||operation and|||
||||maintenance|||
||||solar energy|||
||||photovoltaic|||
|Bozhou|||power generation|||
|Guangcheng New|||project|||
||Bozhou|Bozhou||100.00%|Set Up|
|Energy LLC|||construction,|||
||||operation and|||
||||maintenance|||
||||solar energy|||
||||photovoltaic|||
|Qian’an Sino||||||
||||power generation|||
|Solar Energy||||||
||Qian’an|Qian’an|project|100.00%|Set Up|
|Generation CO.,||||||
||||construction,|||
|LTD||||||
||||operation and|||
||||maintenance|||
||||asset|||
|Sino Great Wall|||management|||
|(Beijing)|||investment,|||
|Investment Fund|Beijing|Beijing|economic and|100.00%|Set up|
|Management|||trade consultation|||
|CO., LTD||||||
|SINO GREAT||||||
|WALL|||commercial|||
|INTERNATION|||activity allowed|||
||Saipan|Saipan||100.00%|Set Up|
|AL|||by law|||
|ENGINEERING(||||||
|CNMI) CO.,LTD.||||||
|Sino Heji|||environment|||
||Suzhou|Suzhou||80%|Set Up|
|Environmental|||protection|||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||||
|-|-|-|-|-|-|
|Protection|||material research|||
|Material CO.,|||and development,|||
|LTD|||production and|||
||||sales|||
|PT.SINO GREAT|||Construction, real|||
|WALL|||estate investment,|||
||Indonesia|Indonesia||99.90%|Set Up|
|INVESTMENT|||infrastructure|||
|INDONESIA|||investment, etc.|||
|PT.SINO GREATWALLCONSTRUCTION INDONESIA||||||
||Indonesia|Indonesia|Construction|67%|Set Up|

Notes: holding proportion in subsidiary different from voting proportion:
Basis of holding half or less voting rights but still been controlled investee and holding more than half of the voting rights not been controlled investee:
Significant structure entities and controlling basis in the scope of combination:
Basis of determine whether the Company is the agent or the principal:
Other notes:
In July, 2016, SGW complete acquisition of Luyi Shuguang Medical Industry Investment Construction CO., LTD , but not including in the consolidation scope of current period.
(2) Significant not wholly owned subsidiary
Notes
||||||
|-|-|-|-|-|
|||Gains/loss of the period|Dividend announced in|Balance of equity of|
||Share portion of minor||||
|Name of the subsidiaries||attributable to minor|the period to minor|minor shareholders at|
||shareholders||||
|||shareholders|shareholders|end of period|

 Othernotes：
(3) Material financial information of major non-fully-owned subsidiaries
None
(4) Significant restrictions of using enterprise group assets and pay off enterprise group debt
（5）Provide financial support or other support for structure entities incorporate into the scope of consolidated financial statements
Othernotes：
2. Changes in the owner's equity share of the subsidiary and the transaction is still controlled subsidiary
(1) Note toowner’s equity share changed in subsidiary
(2) Thetransaction’s influence to equity of minority shareholders and attributable to the owner's equity of
the parent company
None
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 3. Equity in arrangement of joint venture or associated enterprises
None
4. Important common management
None
5. Equity in structured entities not included in the consolidated financial statements
Note of structured entities not included in the consolidated financial statements:
6.Other
X. The risk associated with financial instruments
XI. The disclosure of the fair value
1. Closing fair value of assets and liabilities calculated by fair value
None
2．Sustained and non-sustained first-level fair value measurement project price determinations is to acquire identical assets on measurement date or the unadjusted quoted of liabilities in active markets.
3．Sustained and non-sustained second-level fair value measurement project, adopted valuation techniques and significant parameters qualitative and quantitative information can be the directly or indirectly observable of related assets or liabilities except first-level observables.
4．Sustained and non-sustained third-level fair value measurement project, adopted valuation techniques and significant parameters qualitative and quantitative information can be the unobservable inputs of related assets or liabilities.
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 5. The adjustment information about book value between the beginning and the end of the period and the unobservable parameter sensitivity analysis of the sustained third-level fair value measurement projects
6. The sustained third-level fair value measurement projects that conversion has occurred among various levels in the current period, the reasons for change and the policy determining the conversion point
7. Valuation techniques change occurred during the current period and the reasons for change
8. The fair value situations of the financial assets and financial liabilities not measured by the fair value
9.Other
XII. Related parties and related-party transactions
1.Parent company information of the enterprise
|||||
|-|-|-|-|
||Amount of shares held|Shareholding ratio in the||
|Name|||Voting ratio in the company(%)|
|||company(%)||
|Chen Lve|582,944,556|34.33|34.33|

2.Subsidiaries of the Company
See Note to subsidiaries of the Company.
3. Information on the joint ventures and associated enterprises of the Company
None
4.Other Related parties information
|||
|-|-|
|Other related party|Relationship to the Company|
||Brother-in-law of the shareholder and actual controller of the|
|He Sen||
||Company|
|He Feiyan||
||Wife of the shareholder and actual controller of the Company|
|Li Erlong etc.|Directors, supervisors and senior officers of the Company|
|Qinghai Heyi Commercial Co., Ltd.|Enterprise controlled by Wang Lei, the director of the Company|
|Qinghai Heyi Mining Co., Ltd.|Enterprise controlled by Wang Lei, the director of the Company|
|Kunwu Jiuding Investment Holdings Co., Ltd. and its related|Shareholder of the Company holding more than 5% shares, under|
|parties|the common control with the Company|
||Wholly-owned subsidiary of the company in which the director|
|Beijing Baolilai Technology Co., Ltd.|of the Company acts as a director|

Other notes
5. Related party transactions
(1)Purchase or sale of goods, and rendering or receipt of labor services
Table of purchase of goods and receipt of labor services
In RMB
|||||||
|-|-|-|-|-|-|
|Related parties|Content|Reporting period|Trading limit|Over the|Prior period|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||||
|-|-|-|-|-|-|
||||approved|tradinglimit or not||
|Qinghai Heyi Commercial Co.,||||||
||Material fund|21,340,600.00|60,000,000.00|No|1,750,600.00|
|Ltd.||||||

Table of sales of goods and rendering of services
In RMB
|||||
|-|-|-|-|
||||Same period of last|
|Related parties|Subjects of the related transactions|Current term||
||||term|
|Kunwu Jiuding Investment Holdings Co., Ltd.||||
|||257,000.00||
|and its related parties|Funds for decoration projects|||
|||198,000.00|5,800,000.00|
|Beijing Baolilai Technology Co., Ltd.|Funds for decoration projects|||

 Notes
(2) Related trusteeship/contract
(3) Information of related lease
(4) Related-party guarantee
The Company was guarantor
In RMB
||||||
|-|-|-|-|-|
|||||Execution accomplished|
|Secured party|Guarantee amount|Start date|End date||
|||||or not|
|Chen Lve, He Feiyan|12,000.00|2016/01/13|2017/01/13|No|
|Chen Lve|10,000.00|2016/01/13|2017/01/12|No|
|Chen Lve|20,000.00|2016/01/21|2017/01/20|No|
|Chen Lve|10,000.00|2016/04/26|2017/04/26|No|
|Chen Lve, He Feiyan|10,000.00|2016/04/26|2017/04/25|No|
|Chen Lve, He Feiyan|20,000.00|2016/04/19|2018/04/18|No|
|Chen Lve|15,000.00|2016/06/21|2017/06/20|No|
|Chen Lve, Sino GrealWall Investment(Beijing) Co., Ltd., HeFeiyan|40,000.00|2016/06/28|2018/06/27||
|||||No|
|Chen Lve, He Feiyan|2,000.00|2015/09/29|2016/09/29|No|
|Chen Lve|2,000.00|2015/11/17|2016/11/16|No|
|Chen Lve, He Feiyan|5,000.00|2015/12/16|2016/12/15|No|
|Chen Lve, He Feiyan|3,000.00|2016/03/25|2017/03/25|No|
|Chen Lve|10,000.00|2016/04/08|2017/04/08|No|
|Qinghai HeyiCommercial Co., Ltd.,Chen Lve|10,000.00|2016/04/27|2017/04/27||
|||||No|
|Chen Lve|550.00|2015/02/11|2018/02/11|No|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||
|-|-|-|-|-|
|Chen Lve|550.00|2015/02/11|2018/02/11|No|
|Chen Lve|550.00|2015/07/28|2018/07/28|No|
|Chen Lve|550.00|2015/07/28|2018/07/28|No|
|Chen Lve|1,200.00|2016/01/13|2018/01/13|No|
|Chen Lve|1,200.00|2016/03/27|2018/03/27|No|
|Chen Lve|1,200.00|2016/03/27|2018/03/27|No|
|Chen Lve|5,000.00|2016/01/29|2016/07/28|No|
|Chen Lve|3,000.00|2016/03/04|2016/09/03|No|

Notes
(5) Inter-bank lending of capital of relatedparties：
In RMB
||||||
|-|-|-|-|-|
|Related parties|Amount|Start date|End date|Notes|
|Borrowing|||||
|Chen Lue|93,855,000.00|2016/01/01|2016/06/30||
|Xian Zhijuan|15,000,000.00|2016/01/01|2016/06/30||
|Lendings|||||

(6) Related party asset transfer and debt restructuring
(7) Rewards for the key management personnel
In RMB
||||
|-|-|-|
|Items|Current term|Same period of last term|
|Remunerations of key managements|747,550|747,550|

(8) Other related-party transactions
6. Receivables and payables of related parties
（1）Receivables
In RMB
|||||||
|-|-|-|-|-|-|
|||Amount at year end||Amount at year beginning||
|Name|Related party||Bad debt|||
|||Balance of Book||Balance of Book|Bad debt Provision|
||||Provision|||
||Kunwu Jiuding Investment|||||
|Account receivable|Holdings Co., Ltd. and its|2,549,331.88|242,083.52|2,500,737.20|125,036.86|
||related parties|||||
||Beijing Baolilai Technology|||||
|||||2,816,000.00|140,800.00|
||Co., Ltd.|||||
|Advances to|Qinghai Heyi Commercial|||||
|||||18,902,151.50||
|suppliers|Co., Ltd.|||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016（2）Payables
In RMB
|||||
|-|-|-|-|
|Name|Related party|Closing book balance|Opening book valance|
||Qinghai Heyi Commercial Co.,|||
|Account payable|||1,750,581.64|
||Ltd.|||
||Qinghai Heyi Commercial Co.,|||
|Other account payable||0.00|2,999,209.78|
||Ltd.|||

7. Related party commitment
8.Other
XIII. Stock payment
1. The Stock payment overall situation
□ Applicable√ Not applicable
2. The Stock payment settled by equity
□ Applicable√ Not applicable
3. The Stock payment settled by cash
□ Applicable√ Not applicable
4. Modification and termination of the stock payment
None
5.Other
XIV. Commitments
1.Importance commitment events
Important commitments of existence of balance sheet date
As of June 30,2016，The Company has no need to be disclosed commitment events
2. Contingency
(1) Significant contingency at balance sheet date
Contingent liabilities arising from pending litigation or arbitration and financial impacts thereof
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 (1) Construction contract dispute case with Langfang Aomei Jiye Real Estate Development Co., Ltd.
On July 5, 2012, Langfang Aomei Jiye Real Estate Development Co., Ltd. submitted a civil case to the People's Court of Langfang Economic and Technological Development Zone, claiming for terminating the Agreement on Exterior Decoration Project for Shilangfang, Jinrong Street, Langhefang signed with the Company.
On May 29, 2013, Langfang Aomei Jiye Real Estate Development Co., Ltd. further claimed to the People's Court of Langfang Economic and Technological Development Zone for ordering the Company to pay renovation costs of RMB 1,616,354.00 caused by poor construction quality and losses on removed main materials of RMB 1,714,131.45.
On April 2, 2014, the People's Court of Langfang Economic and Technological Development Zone adjudged in the Civil Judgment([2012] L.K.M.C.Z. No.908) that Langfang Aomei Jiye Real Estate Development Co., Ltd. shall pay funds for the project of RMB 1,915,487.91 to the Company and the Company shall pay renovation costs and losses on main materials of RMB 2,540,572.32 to Langfang Aomei Jiye Real Estate Development Co., Ltd.. On May 28, 2014, the Company appealed to the People's Court of Langfang Economic and Technological Development Zone. At present, the case is still pending.
(2) Project construction contract dispute case with Yu Jiaqiang
On April 21, 2014, Yu Jiaqiang submitted a civil case to the People's Court of Shijingshan District, Beijing, claiming for ordering Beijing Tongrun Jingyuan Real Estate Development Co., Ltd., China Xin Xing Bao Xin Construction Company and Sino Great Wall Decoration Engineering Co., Ltd. to pay funds for project in arrears of about RMB 2 million and pay legal fares. At present, the case is still pending.
(3) Processing contract dispute case with Beijing Qianzhaofeng Stone Co., Ltd.
On April 12, 2015, Beijing Qianzhaofeng Stone Co., Ltd. submitted a civil case to the People's Court of Tongzhou District, Beijing, claiming for ordering the Company to pay to Beijing Qianzhaofeng Stone Co., Ltd. funds for stone in arrears, processing charges and interest. At present, the case is still pending.
(4) Sales contract dispute case with Beijing China Arts Panuo Display Art Development Co., Ltd.
On May 27, 2015, Beijing China Arts Panuo Display Art Development Co., Ltd. applied to Beijing Arbitration Commission for an arbitration, requesting the Company to pay to Beijing China Arts Panuo Display Art Development Co., Ltd. funds for furniture and the interest thereon, and to undertake all arbitration fees and security fees. At present, the case is still waiting for arbitration.
(5) Sales contract dispute case with Tang Art Furniture Co., Ltd.
On November 2, 2015, Tang Art Furniture Co., Ltd. submitted a civil case to the People's Court of Yinhai District, the Guangxi Zhuang Autonomous Region, claiming for ordering the Company to pay to Tang Art Furniture Co., Ltd. funds for goods and liquidated damages and claiming for ordering Beihai Jinchang Real Estate Development Co., Ltd. to pay the debts on behalf of the Company. The Company and Beihai Jinchang Real Estate Development Co., Ltd. were required to pay all legal costs. At present, the case is still pending.
(6) Sales contract dispute case with Beijing Yazhilv Commercial Co., Ltd.
On February 29, 2016, Beijing Yazhilv Commercial Co., Ltd. submitted a civil case to the People's Court of Tongzhou District, Beijing, claiming for ordering the Company to repay to Beijing Yazhilv Commercial Co., Ltd. arrears and liquidated damages for late payment and bear legal fees. At present, the case has not been heard yet. (7) Construction contract dispute case with Shanxi Tianyuan Chenghui Investment Group Co., Ltd.
On November 17, 2014, the Company submitted a civil case to the Intermediate People's Court of Changzhi City, Shanxi, claiming for ordering Shanxi Tianyuan Chenghui Investment Group Co., Ltd. to pay to the Company funds for projects and liquidated damages for late payment and bear the legal fees. At present, the case is still pending.
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 (2) The Company have no significant contingency to disclose, also should be stated
There was no significant contingency in the Company.
3.Other
XV. Events after balance sheet date
1. Significant events had not adjusted
On July7, 2016, the Proposal of the Company Meeting the Conditions of Non-public A-share Issuance and so forth proposals were examined and approved in the 10th board meeting of the 7th session board of directors. In order to improve the company's capital structure, enhance the capital strength and improve the company's solvency and profitability, the company planned to non-publicly issue no more than 240,153,697 A-shares (hereinafter referred to as "this issuance" or "this non-public issuance") to specific objects, which shall raise no more than RMB 2,500,000,000. After deducting the share-issuing expenses, the net raised funds shall be used for supplementing the liquidity and repaying the bank loans.
On July 25, 2016, the Proposal of the Company Meeting the Conditions of Non-public A-share Issuance and so forth proposals were examined and approved in the 2016 second extraordinary general shareholder meeting. At present, the company has completed the preparation work of the application documents for thecompany’s non-public A-share issuance.
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 2.Profit distribution
3.Sales return
4. Notes of other significant events
XVI. Other significant events
1. The accounting errors correction in previous period
2. Debt restructuring
3. Replacement of assets
（1）Non-monetary assets exchange
（2）Other assets replacement
4. Pension plan
5. Discontinuing operation
6. Segment information
7. Other important transactions and events have an impact on investors decision-making
8.Other
XVII.Notes s of main items in financial reports of parent company
1.Account receivable
（1）Account receivable
In RMB
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||Year-end balance|||||Year-beginning balance|||||
||Book Balance||Provision for bad|||Book Balance||Provision for bad debts|||
|Category|||debts||Book||||||
|||||||||||Book value|
||Amo|Proporti||Proportion|value||Proportio||Proportion||
||unt|on%|Amount|%||Amount|n%|Amount|%||
|Account receivable with|||||||||||
|significant specific|||||||||||
|||||||30,614.00|100.00%|1,530.70|5.00%|29,083.30|
|amount that were|||||||||||
|provisioned had debt|||||||||||

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
|||||
|-|-|-|-|
|preparation separately||||
|Total|30,614.00|1,530.70|29,083.30|

 Receivable accounts with large amount individually and bad debt provisions were provided
□Applicable√not Applicable
Using age methods to provision for bad debts of account receivable ingroup：
□Applicable√not Applicable
Using percentage balance method of provision for bad debts of account receivable ingroup：
□Applicable√not Applicable
Using other methods to provision for bad debts of account receivable ingroup：
(2) Accounts receivable withdraw, reversed or collected during the Reporting Period
The withdrawal amount of the bad debt provision during the Reporting Period was of RMB0.00; the amount of the reversed or collected part during the Reporting Period was of RMB1,530.70.
(3) Particulars of the actual verification of accounts receivable during the Reporting Period
(4) Top five of account receivable of closing balance collected by arrears party
(5) Derecogniziton of account receivable due to the transfer of financial assets
(6) The amount of the assets and liabilities formed by the transfer and the continues involvement of accounts receivable
Othernotes：
2.Other receivable
（1）Other receivable
In RMB
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||Year-end balance|||||Year-beginning|||||
||||Provision for|||||Provision for bad|||
||Book balance|||||Book balance|||||
||||bad debts|||||debts|||
|Category||||||||||Book|
|||Propor||Propor|Book value||Propor||||
|||||||Amou|||Proporti|value|
||Amount|tion(%|Amount|tion(%|||tion(%|Amount|||
|||||||nt|||on(%)||
|||)||)|||)||||
|Other Receivables|||||||||||
|provided bad debt|||||||||||
||1,304,458,764.96||||1,304,458,764.96||||||
|provision in credit|||||||||||
|risk groups|||||||||||
|Total|1,304,458,764.96||||1,304,458,764.96||||||

Other Receivable accounts with large amount individually and bad debt provisions were provided
□Applicable√not Applicable
Using age methods to provision for bad debts of account receivable ingroup：
Sino Great Wall Co., Ltd. The Semi-annual Report 2016□Applicable√not Applicable
Using percentage balance method of provision for bad debts of account receivable ingroup：
□Applicable√not Applicable
Using other methods to provision for bad debts of account receivable ingroup：
□Applicable√not Applicable
（2）Accrual period, recovery or reversal of bad debts situation
The current amount of provision for bad debts is RMB 0.00; recovery or payback for bad debts Amount is RMB 0 .00.
Where the current bad debts back or recover significant amounts:
(3) Particulars of the actual verification of other accounts receivable during the Reporting Period
(4) Other account receivable classified by account nature
In RMB
||||
|-|-|-|
|Nature|Book balance at year end|Book balance at year beginning|
|Current account|1,299,197,909.13|0|
|Petty cash|3,023,431.53|0|
|Deposit|237,424.30|0|
|Cash deposit|2,000,000.00||
|Total|1,304,458,764.96|0|

 (5) The top five other account receivable classified by debtor at period-end
(6) Account receivable involving government subsidies
(7) Other account receivable derecognized due to the transfer of financial assets
(8) Amount of transfer other account receivable and assets and liabilities formed by its continuous involvement Othernotes：
3. Long-term equity investments
In RMB
||||||||
|-|-|-|-|-|-|-|
||Amount at year end|||Amount at year beginning|||
|Items|||||||
||Book balance|Bad debts|Book value|Book balance|Bad debts|Book value|
|The investment in|||||||
||3,176,451,536.66|0.00|3,176,451,536.66|3,079,451,536.66|0.00|3,079,451,536.66|
|subsidiaries|||||||
|Total|3,176,451,536.66|0.00|3,176,451,536.66|3,079,451,536.66|0.00|3,079,451,536.66|

（1）The investment in subsidiaries
In RMB
Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||||||
|-|-|-|-|-|-|-|
||Amount at year|Increase in the|Decrease in||||
||beginning||||The current|The end|
|||current period|the current|Amount at year|||
|Name|||||provision for|balance|
|||||end|||
||||||impairment|impairment|
||||period||||
|Wuhan Commercial &|||||||
||0.00|97,000,000.00||97,000,000.00|||
|Vocational Hospital Co.,Ltd|||||||
|Sino Great Wall International|||||||
||3,079,451,536.66|||3,079,451,536.66|||
|Engineering Co., Ltd.|||||||
|Total|3,079,451,536.66|97,000,000.00||3,176,451,536.66||0.00|

（2）Other notes
4. Business income and Business cost
In RMB
||||||
|-|-|-|-|-|
||Amount of current period||Amount of previous period||
|Items|||||
||Business income|Business cost|Business income|Business cost|
|Main operations|||1,917,380.00|168,586.00|
|Other operations|115,940.34||||
|Total|115,940.34||1,917,380.00|168,586.00|

 Othernotes：
5.Investment income
None
.6.Other
XVIII. Supplement information
1. Particulars about current non-recurring gains and loss
√Applicable□ Not applicable
In RMB
||||
|-|-|-|
|Items|Amount|Notes|
|Except the effective hedge business related to the normal|||
|operation business of the Company, the profit and loss in|||
|the changes of fair values caused by the holding of|||
|tradable financial assets and tradable financial liabilities|46,868.49|Proceeds from the sales of bank financial products|
|as well as the investment returns in disposal of tradable|||
|financial assets, tradable financial liabilities and saleable|||
|financial assets|||
|Other non-operating income and expenditure except for|26,315,383.00|According to the Land Transfer (Expropriation)|

Sino Great Wall Co., Ltd. The Semi-annual Report 2016
||||
|-|-|-|
|the aforementioned items||Compensation Agreement of Shenzhen DapengNew District People's Hospital ConstructionProject, the compensation shall be made for theexpropriation of the land and on-ground buildingsin Kuixin community which belongs to thecompany’s Kuiyong branch located in ShenzhenDapeng New district.|
|Total|26,362,251.49|--|

For theCompany’s non-recurring gain/loss items as defined in the Explanatory Announcement No.1 on information disclosure for Companies Offering their Securities to the Public-Non-recurring Gains and Losses and its non-recurring gain/loss items as illustrated in the Explanatory Announcement No.1 on information Disclosure for Companies offering their securities to the public-non-recurring Gains and losses which have been defined as recurring gains and losses, it is necessary to explain the reason.
□ Applicable√Not applicable
2 Return on net assets and earnings per share
|||||
|-|-|-|-|
|||Earnings per share（RMB）||
|Profit of the report period|Return on net assets . Weighted（%）|||
|||Basic earnings per share|Diluted gains per share|
|Net profit attributable to the||0.12|0.12|
|Common stock shareholders of|14.00%|||
|Company.||||
|Net profit attributable to the||||
|Common stock shareholders of||||
||12.20%|0.1|0.1|
|Company after deducting of||||
|non-recurring gain/loss.||||

3.The differences between domestic and international accounting standards
(1) Differences between the net profit and net asset in the financial reports prepared under IAS and Chinese Accounting Standard
□ Applicable√Not applicable
(2) Differences between the net profit and net asset in the financial reports prepared under IAS and Chinese Accounting Standard
□ Applicable√Not applicable
(3) Explain reasons for the differences between accounting data under domestic and overseas accounting
standards, for audit data adjusting differences had been foreign audited, should indicate the name of the foreign institutions
4.Other
Sino Great Wall Co., Ltd. The Semi-annual Report 2016 X. Documents available for inspection
1. Text of financial statement with signature and seals of legal person, person in charge of accounting works and person in charge of accounting institution.
2. Original and official copies of all documents which have been disclosed on Securities Times and Hong Kong Commercial Daily in the report period.
English translation for reference Only Should there be any discrepancy between the two versions, the Chinese version shall prevail.
Sino Great Wall Co., Ltd.
August 25, 2016