Wuxi Little Swan Company Limited
2014 Semi-annual Report
August 2014
Section I. Important Reminders, Contents& Explanation
The Board of Directors, the Supervisory Committee as well as all directors, supervisors and senior management staff of Wuxi Little Swan Company Limited (hereinafter referred to as “the Company”) warrant that this report is factual, accurate and complete without any false record, misleading statement or material omission. And they shall be jointly and severally liable for that.
All directors attended the board session for reviewing this report.
The Company plans not to distribute cash dividends or bonus shares or turn capital reserve into share capital.
Mr. Fang Hongbo, chairman of the Board of Directors, Mr. Zhang Zhaofeng, CFO, and Mr. Zhong Fangliu, chief of the accounting organ (chief of accounting), hereby confirm that the Financial Report enclosed in this report is factual, accurate and complete.
This report involves futures plans and some other forward-looking statements, which shall not be considered as virtual promises to investors. Investors are kindly reminded to pay attention to possible risks.
This report is prepared in both Chinese and English. Should there be any discrepancy between the two versions, the Chinese version shall prevail.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. Contents
Section I. Important Reminders, Contents& Explanation ............................................................ 1 Section II. Company Profile .............................................................................................................. 4 Section III. Highlights of Accounting Data& Financial Indicators .............................................. 6 Section IV. Report of the Board of Directors ................................................................................... 8 Section V. Significant Events ........................................................................................................... 19 Section VI. Change in Shares& Shareholders .............................................................................. 33 Section VII. Preferred Shares ......................................................................................................... 38 Section VIII. Directors, Supervisors& Senior Management Staff .............................................. 39 Section IX. Financial Report ........................................................................................................... 40 Section X. Documents Available for Reference ........................................................................... 140
2014 Semi-annual Report of Wuxi Little Swan Company Limited. Explanation
||||
|-|-|-|
|Term|Refers to|Contents|
|Company, the Company or Little Swan|Refers to|Wuxi Little Swan Company Limited|
|Midea Group|Refers to|Midea Group Co., Ltd.|
|TITONI|Refers to|TITONI INVESTMENTS DEVELOPMENT LTD.|
|Midea Holding|Refers to|GD Midea Holding Co., Ltd.|
|Reporting period|Refers to|1 Jan. 2014-30 Jun. 2014|

2014 Semi-annual Report of Wuxi Little Swan Company Limited. Section II. Company Profile
I. Basic information of the Company
|||||
|-|-|-|-|
|Stock abbreviation|XTEA, XTEB|Stock code|000418, 200418|
|Stock exchange listed with|Shenzhen Stock Exchange|||
|Chinese name of the Company|无锡小天鹅股份有限公司|||
|Abbr. of the Chinese name of the||||
||小天鹅|||
|Company (if any)||||
|English name of the Company (if any)|Wuxi Little Swan Company Limited|||
|Legal representative of the Company|Mr. Fang Hongbo|||

II. For Contact
||||
|-|-|-|
||Company Secretary|Securities Affairs Representative|
|Name|Ms. Zhou Sixiu|Mr. Zhao Yulin|
||No. 18, Changjiang Road S., National Hi-tech|No. 18, Changjiang Road S., National|
|Contact address|||
||Development Zone, Wuxi|Hi-tech Development Zone, Wuxi|
|Tel.|0510-81082320|0510-81082377|
|Fax|0510-83720879|0510-83720879|
|E-mail|IR_littleswan@littleswan.com.cn|zhaoyl@littleswan.com.cn|

III. Other information
1. Ways to contact the Company
Did any change occur to the registered address, office address and their postal codes, website address and email address of the Company during the reporting period?
□ Applicable√ Inapplicable
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 2013 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√ Inapplicable
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 2013
Annual Report.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. 3. Change of the registered information
Did any change occur to the registered information during the reporting period?
□ Applicable√ Inapplicable
The registration date and place of the Company, its business license No., taxation registration No. and organizational code did not change during the reporting period. The said information can be found in the 2013 Annual Report.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. Section III. Highlights of Accounting Data& Financial Indicators I. Major accounting data and financial indicators
Does the Company adjust retrospectively or restate accounting data of previous years due to change of the accounting policy or correction of any accounting error?
□ Yes√ No
|||||
|-|-|-|-|
||Reporting period|Same period of last year|YoY +/- (%)|
||4,974,057,020.56|3,998,224,336.31||
|Operating revenues (RMB Yuan)|||24.41%|
|Net profit attributable to shareholders of|316,358,532.13|220,961,466.94||
||||43.17%|
|the Company (RMB Yuan)||||
|Net profit attributable to shareholders of||||
|the Company after extraordinary gains and|272,497,997.10|186,709,366.62|45.95%|
|losses (RMB Yuan)||||
|Net cash flows from operating activities|825,104,435.83|931,122,295.82||
||||-11.39%|
|(RMB Yuan)||||
||0.50|0.35||
|Basic EPS (RMB Yuan/share)|||42.86%|
||0.50|0.35||
|Diluted EPS (RMB Yuan/share)|||42.86%|
|Weighted average ROE (%)|7.78%|5.82%|1.96%|
||As at the end of the|||
|||As at the end of last year|+/- (%)|
||reporting period|||
||9,686,393,875.10|9,222,527,380.74||
|Total assets (RMB Yuan)|||5.03%|
|Net assets attributable to shareholders of|4,041,109,118.33|3,908,897,654.74||
||||3.38%|
|the Company (RMB Yuan)||||

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√ Inapplicable
No difference.
2. Differences of net profit and net assets disclosed in financial reports prepared under overseas and Chinese accounting standards
□ Applicable√ Inapplicable
No difference.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. III. Items and amounts of extraordinary gains and losses
√Applicable□ Inapplicable
Unit: RMB Yuan
||||
|-|-|-|
|Item|Amount|Explanation|
|Gains/losses on the disposal of non-current assets (including the|-1,184,389.51||
|offset part of asset impairment provisions)|||
|Government grants recognized in the current period, except for|6,454,141.22||
|those acquired in the ordinary course of business or granted at|||
|certain quotas or amounts according to the country’s unified|||
|standards|||
|Gain/loss on entrusting others with investments or asset|52,412,042.89||
|management|||
||1,688,200.34||
|Gain/loss on debt restructuring|||
|Reversal of impairment provisions for the accounts receivable on|5,548,244.81||
|which impairment tests were carried out separately|||
|Other non-operating income and expenses other than the above|1,652,425.93||
|Other gain/loss items that meet the definition of an extraordinary|-5,809,948.33||
|gain/loss|||
||9,985,599.85||
|Less: Income tax effects|||
||6,914,582.47||
|Minority interests effects (after tax)|||
||43,860,535.03||
|Total||--|

Explain the reasons if the Company classifies an item as an extraordinary gain/loss according to the definition in the Explanatory Announcement No. 1 on Information Disclosure for Companies Offering Their Securities to thePublic—Extraordinary Gains and Losses, or classifies any extraordinary gain/loss item mentioned in the said explanatory announcement as a recurrent gain/loss item□ Applicable√ Inapplicable
No such cases.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. Section IV. Report of the Board of Directors
I. Overview
In the first half of 2014, affected by the downward macro-economy, the withdrawal of the consumption stimulus package and the real estate policies, the washing machine industry as a whole slowed down in growth, with the market being stable. Consumption was upgrading in an obvious manner and the business restructuring accelerated, with an increased weight of middle and high-end products, as well as roller washing machines. There was a significant growth in the sale of high-capacity, inverter and intelligent washing machines. The industry became more centralized.
During the reporting period, closely adhering to the strategic axis of “leading products, efficiency-driven and global operation”, we continued to focus on changes in the industry, improved products and kept pushing forward and deepening operation transformation. As a result, great progress was achieved in almost all kinds of work. For the reporting period, the Company achieved operating revenues of RMB 4.97 billion, up24.4% year on year, and a net profit attributable to the shareholders of the Company of RMB 320 million, up43.2% from a year earlier.
During the reporting period, we mainly carried out the following work:
In terms of domestic sale, we implemented the “Spring Ploughing Plan” to speed up expansion of the distribution network, which increased the network coverage and effectiveness; vigorously expanded the e-commerce channel and pushed forward the online and off-line channel layout, which enlarged the market share of our retail; and promoted terminal standardization and improved user experience. In the reporting period, domestic sale grew steadily, with an obvious increase in profitability. And the e-business was in fast development. For the domestic sale in the reporting period, the income stood at RMB 3.57 billion, up24.2% year on year, and the gross profit rate at33.2%, up by 2.3 percentage points from a year earlier.
In terms of export, we continued to optimize the product and customer structures, enhanced our efforts in strategy and market access, and withdrew some overseas operations with no market. We allowed branches in some regions to launch their own brands to increase business incomes and profits. The reporting period saw a strong growth in Europe, the largest market share in Latin America as before and a major breakthrough in the drying machine business. For the reporting period, the export generated an income of RMB 990 million, up21.3% when compared with the same period of last year; and the gross profit rate of export stood at9.2%, up0.3% year on year.
In regard to product strength, we developed over 200 new products, launching the third generation automatic throw-in washingmachines—the I-intelligent product series. And we continued to improve our strength inR&D and innovation, especially that of intelligent and networked products. During the reporting period, the Company was awarded the “Appliance” Low-carbon Environmental Protection Award by China Household Electrical Appliances Association, and Little Swan Beverly Roller Washing Machine won the Germany IF Product Design Award, and so on.
Concerning quality improvement, with “Prevent Massive Quality Problems and Reduce Repair Needs” as the main line and “Focus
2014 Semi-annual Report of Wuxi Little Swan Company Limited. on the Beginning of the Production Process and Control the Process” as the means, we focused on massive quality problem prevention, solidified what was fundamental and became more systematic in quality management. With market as the guidance and products as the core, we particularly improved the key indicators about products that decidedcustomers’ satisfaction and our market reputation, enhancing management of “two sources and one process”. As a result, our product quality improved significantly, along with our reputation on the market.
As for operating efficiency, we further regulated and optimized our authorization mechanism, decision-making procedure and management mechanism. Meanwhile, we continued to push forward the project of “produce according to sale”, organized lean logistics improvement projects, and input more resources in replacing workers with machines, so as to increase our overall operating efficiency.
In the coming six months, we will continue to push forward all the work and deepen operation transformation; continue to explore traditional channels and vigorously expand online channels; promote delicacy channel management, continuously optimize the product sale structure and increase the weight of middle and high-end products; deepen the strategic cooperation with overseas customers, solidify competitive areas, explore new markets, update business modes and move manufacture overseas; continue to focus on products, enhance research in consumer demand, promote planning management and standardization, and build an efficientR&D supporting system; firmly stick to the quality principle and improve the quality of new products and suppliers; carry out quality engineering, particularly improve reliability and realize the transition from “qualified and satisfactory quality” to “charming and habit-forming quality”; and continue to optimize the organization flow and managerial mechanism, implement the order commitment mechanism, constantly optimize the logistics layout, increase the operating and turnover efficiency, accelerate the automation strategy and build a lean manufacture system characteristic of stability, automation and flexibility.
II. Main business analysis
YoY change of major financial data:
Unit: RMB Yuan
||||||
|-|-|-|-|-|
||Reporting period|Same period of last year|YoY +/-%|Main reasons for change|
|Operating revenues|4,974,057,020.56|3,998,224,336.31|24.41%||
|Operating costs|3,655,315,076.59|3,005,810,911.14|21.61%||
||708,872,153.90|539,966,097.76||Increased along with the sales|
|Selling expenses|||31.28%||
|||||income|
|Administrative expenses|210,082,884.69|173,092,190.68|21.37%|Increase in the R&D input|
||-9,899,828.86|20,143,097.74||Exchange loss decreased on|
|Financial expenses|||-149.15%||
|||||exchange rate fluctuations.|
||66,436,602.59|42,992,351.93||Increased along with total|
|Income tax expenses|||54.53%||
|||||profits|
|R&D input|188,396,276.35|149,156,933.04|26.31%||
|Net cash flows from operating|825,104,435.83|931,122,295.82|||
||||-11.39%||
|activities|||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||
|-|-|-|-|-|
||-134,495,207.51|-600,144,036.70||The cash paid to acquirefinancing products and thecash returns on maturity werealmost even.|
|Net cash flows from investing|||||
||||77.59%||
|activities|||||
|Net cash flows from financing|-134,190,940.03|-182,583,655.47|||
||||26.50%||
|activities|||||
|Net increase in cash and cash|556,418,288.29|148,394,603.65|||
||||274.96%||
|equivalents|||||

Major changes to the profit structure or sources of the Company during the reporting period:
□ Applicable√ Inapplicable
No major changes occurred to the profit structure or sources of the Company during the reporting period.
Reporting period progress of the future development planning in the disclosed documents of the Company such as share-soliciting prospectuses, offering prospectuses, asset reorganization reports, etc.:
□ Applicable√ Inapplicable
The Company did not mention any future planning for the reporting period in its disclosed documents such as share-soliciting prospectuses, offering prospectuses, asset reorganization reports, etc.
Review the progress of the previously disclosed business plan in the reporting period:
In the reporting period, according to the plan set at the beginning of the year, the Company proactively pushed forward all kinds of work and achieved some phasic progress. For details, see “I. Overview” in this section.
III. Breakdown of main business
Unit: RMB Yuan
||||||||
|-|-|-|-|-|-|-|
|||||Increase/decreas|Increase/decreas||
|||||||Increase/decrease of|
|||||e of operating|e of operating||
||Operating||Gross profit|||gross profit rate over|
|||Operating costs||revenues over|costs over the||
||revenues||rate (%)|||the same period of last|
|||||the same period|same period of||
|||||||year (%)|
|||||of last year (%)|last year (%)||
|Classified by industry:|||||||
|Household|||||||
||4,557,126,125.99|3,280,741,426.30|28.01%|23.58%|20.32%|1.95%|
|appliances|||||||
|Classified by product:|||||||
|Washing|||||||
||4,557,126,125.99|3,280,741,426.30|28.01%|23.58%|20.32%|1.95%|
|machines|||||||
|Classified by region:|||||||
|China|3,568,465,105.73|2,382,803,528.64|33.23%|24.24%|20.11%|2.30%|
|Other countries|988,661,020.26|897,937,897.66|9.18%|21.29%|20.89%|0.30%|

 IV. Core competitiveness analysis
The Company is one of the biggest washing machine manufacturers in China, with its main competitiveness as follows:
1. Technology-related competitiveness: The Company has been concentrating on its washing machine business all the time. Through
constant input ofR&D resources over the years, the Company has owned leading technological competitiveness in the industry. The
2014 Semi-annual Report of Wuxi Little Swan Company Limited. Company has a sound technologicalR&D system, including one state-level technological center and two state-recognized labs. Little Swan Lab is the first washing machine lab in China to pass the UL North American safety verification and the German VDE verification. Little Swan holds on to independent innovation and has the internationally advanced frequency-changing, intelligent control, structure design, industrial design and other core washing technologies.
2. Brand-related competitiveness: The Company adopts a two-brand strategy (“Little Swan” and “Midea”). As a washer brand with a history over 30 years, Little Swan is considered a very reliable brand among consumers, with the slogan of “Whole-hearted Little Swan” being well-known among them. In 2013, according to the evaluation ofR&F Global Ranking Information Group Ltd., the brand of Little Swan was worth 19.308 billion, keeping its place in the “Most Valuable Brands in China”. As for Midea, it is a well-known home appliance brand, which is also of a high reputation as a washer brand, and its market share keeps rising.
3. Scale-related competitiveness: The Company is one of the first washer manufacturers in China and it has established the lean manufacturing culture. It now has domestically and internationally first-class manufacturing equipments and an experienced manufacturing team. TheCompany’s two productionbases—Wuxi andHefei—have a combined production capacity over 16 million units. Its wide product range covers tumbling-box, wave-wheel full-automatic, double-cylinder and agitator washing machines, clothes dryers, etc., creating incomparable scale competitiveness among washer manufacturers.
4. Channel-related competitiveness: Through reform and adjustment in the recent years, the Company has formed its channel competitiveness. In the domestic first and secondary markets, the Company mainly works with Suning, Gome and some other big regional customers. In the tertiary and fourth markets, the Company combines traditional channels and franchised stores to distribute its products to households. In e-commerce, we proactively make plans about online channels by working with JD, TMALL and some other major online channels, as well as making use of the online shoppingmall—I.Midea—built by Midea Group.
In the overseas markets, the Company keeps deepening its cooperation with customers and the overseas markets keep expanding. With a good and long-term cooperation with all major customers, the Company enjoys good brand loyalty.
No significant change occurred to the core competitiveness of the Company in the reporting period.
V. Investment analysis
1. Investments in equities of external parties
(1) Foreign investment
□ Applicable√ Inapplicable
There was no foreign investment of the Company in the reporting period.
(2) Equity-holdings in financial enterprises
√Applicable□ Inapplicable
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
|||||||||Gain/loss|||
|||Initial|Opening||Closing||Closing|in the|||
||Enterpr|||Opening||Closing|||||
|Enterprise||investment|equity-hol||equity-hol||book value|reporting|Accountin|Equity|
||ise|||equity-hol||equity-hol|||||
|name||cost (RMB|dings||dings||(RMB|period|g title|source|
||variety|||ding ratio||ding ratio|||||
|||Yuan)|(share)||(share)||Yuan)|(RMB|||
|||||||||Yuan)|||
|Bank of|Comm||||||||Long-term||
|||||||||||Private|
|Jiangsu Co.,|ercial|1,100,000|2,202,564|0.00%|2,202,564|0.00%|1,210,000|0.00|equity||
|||||||||||offering|
|Ltd.|bank||||||||investment||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||||||||
|-|-|-|-|-|-|-|-|-|-|
|Total|1,100,000|2,202,564|--|2,202,564|--|1,210,000|0.00|--|--|

 (3) Investment in securities
□ Applicable√ Inapplicable
The Company did not invest in any securities in the reporting period.
2. Wealth management entrustment, derivative investments and entrustment loans
(1) Wealth management entrustment
√Applicable□Inapplicable
Unit: RMB Ten thousand
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
||||||||||||Actual|
|||Related-|||||||Impairme|||
|||||||||Principal|||gain/loss|
|Name of||party|Product|Amount|Beginning|Ending|Payment||nt|Predicted||
||Relation|||||||actually|||in|
|trustee||transacti|variety|entrusted|date|date|determination||provision|gain||
|||||||||recovered|||reporting|
|||on or not|||||||(if any)|||
||||||||||||period|
||||||||Floating|||||
||||||||interest rate,|||||
||||Floating||3 Jan.|22 May|contractual|||||
|Bank|No|No||416,337||||400,100||5,241.2|5,241.2|
||||gains||2014|2015|highest|||||
||||||||annualized|||||
||||||||income rate|||||
|Total||||416,337|--|--|--|400,100||5,241.2|5,241.2|
|||||All is from the self-owned funds of the Company. The entrusted funds are cumulative. The||||||||
|Source of the entrusted funds||||line for wealth management entrustment is RMB 2 billion and repeated use is allowed||||||||
|||||within the said line.||||||||
|Cumulative overdue principals and||||||||||||
|||||0||||||||
|gains||||||||||||
|Disclosure date of the board||||||||||||
|announcement approving the wealth||||7 Mar. 2014||||||||
|management entrustment (if any)||||||||||||

(2) Derivative investment
√ Applicable□ Inapplicable
Unit: RMB Ten thousand
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
|||||||||Impairment provision(if any)||Proportion||
||||||||||||Actual|
|||Related-|||||Opening||Closing|of the||
||||Type of|Initial|||||||gain/loss|
|||party|||Beginning|Ending|investm||investm|closing||
|Operator|Relation||derivative|investment|||||||in|
|||transacti|||date|date|ent||ent|investment||
||||investment|amount|||||||reporting|
|||on or not|||||amount||amount|amount in||
||||||||||||period|
|||||||||||the||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||||||||||Company’s||
||||||||||closing net||
||||||||||assets (%)||
||||Forward||||||||
||||||16 May||||||
|Bank|No|No|exchange|48,371||7 Jan. 2015|48,371|18,773|3.99%|-958.36|
||||||2013||||||
||||contract||||||||
|Total||||48,371|--|--|48,371|18,773|3.99%|-958.36|
|Capital source for derivative investment||||All self-owned funds|||||||
|Disclosure date of the board|||||||||||
|announcement approving the wealth||||7 Mar. 2014|||||||
|management entrustment (if any)|||||||||||
|Disclosure date of the general meeting|||||||||||
|announcement approving the wealth||||16 Apr. 2014|||||||
|management entrustment (if any)|||||||||||
|||||The Company has formulated the Management Methods for Futures Hedging Business|||||||
|||||and the Management Methods for Exchange Funds upon review to thoroughly assess and|||||||
|||||control derivative investment risks, which are detailed as follows:|||||||
|||||1. Market risk|||||||
|||||Price movements of bulk raw materials and fluctuations of exchange rates may incur a|||||||
|||||great market risk in the futures business and the foreign exchange funds business.|||||||
|||||Meanwhile, if the Company fails to input enough funds in time to create and maintain|||||||
|||||hedging positions in its futures hedging operations, or fails to input foreign exchanges on|||||||
|||||time for contract execution in the foreign exchange funds business, hedging loss and|||||||
|||||contract breach risk may incur.|||||||
|||||Counter-measures: The Company will not carry out speculative trading in its futures|||||||
|||||hedging business and foreign exchange funds business. And the Company will stick to the|||||||
|||||principle of being prudent in operations. As for the futures hedging business, the hedging|||||||
|Analysis on risks and control measures|||||||||||
|||||volume should be determined and futures trading applications should be filed in strict|||||||
|of derivative products held in the|||||||||||
|||||accordance with production and operation needs. In principle, the hedging volume shall|||||||
|reporting period (including but not|||||||||||
|||||not exceed one third of the planned volume for the year. And a stop-loss mechanism is|||||||
|limited to market risk, liquidity risk,|||||||||||
|||||adopted. Guarantee deposits are paid as required and increased according to production|||||||
|credit risk, operation risk, law risk, etc.)|||||||||||
|||||and operation needs. As for the foreign exchange funds business, a from-the-bottom-up|||||||
|||||management mechanism is adopted. When subsidiaries or product enterprises file|||||||
|||||applications for funds business, they will give a risk analysis on conditions or|||||||
|||||circumstances that might affect gains and losses, estimate the maximum gain and loss, and|||||||
|||||state the ratio or total amount of guarantee deposits they can bear. And the Company will,|||||||
|||||according to their applications, update operations in time in its funds business and make|||||||
|||||funds arrangements before the maturity date.|||||||
|||||2. Operation risk|||||||
|||||The Company may suffer loss in its hedging business and foreign exchange funds|||||||
|||||business due to faulty internal procedures, staff, systems and external events.|||||||
|||||Counter-measures: Responsibility division and approval procedures for the hedging and|||||||
|||||foreign exchange business have been specified in relevant management rules. And a sound|||||||
|||||supervision mechanism has been established. And operation risk can be effectively|||||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||
|-|-|
||reduced by enhancing risk control over procedures for operation, decision-making and|
||trading.|
||3. Risk concerning laws and regulations|
||The Company carries out its hedging and foreign exchange business in compliance with|
||applicable laws and regulations, with rights and duties between the Company and agencies|
||being stated clearly.|
||Counter-measures: The Company urges responsible departments to understand better|
||about relevant laws, regulations and market rules; be strict in contract re-checks; make|
||clear relevant rights and duties; and enhance compliance checks to make sure that the|
||Company operates derivative investments in compliance with applicable laws, regulations|
||and the Company’s internal management rules.|
|Changes of market prices or fair values||
|in the reporting period of the invested||
||The Company adopts public quotations in the futures market or forward foreign exchange|
|derivatives. And the analysis on the fair||
||quotations declared by the People’s Bank of China in its analysis on fair values of|
|value of the derivatives should include||
||derivative products.|
|the specific use methods and the||
|relevant assumptions and parameters.||
|Whether significant changes occurred to||
|the Company’s accounting policy and||
|specific accounting principles of||
||No significant changes.|
|derivatives in the reporting period||
|compared to the previous reporting||
|period||
||Independent directors of the Company believe that: A. The Company has formulated|
||derivative investment rules such as the Management Methods for Futures Hedging|
||Business and the Management Methods for Exchange Funds to help it effectively control|
||risks involved; B. During the reporting period, the Company performed the relevant|
||approval procedure before it conducted derivative investments in strict compliance with|
|Specific opinion from independent||
||the lines and ways approved by the Shareholders’ General Meeting; And C. The|
|directors on the Company’s derivatives||
||Company’s derivative investments in the reporting period mainly targeted its exports. It|
|investment and risk control||
||signed forward exchange contracts with domestic financial institutions, which helped it|
||lock up the exchange rate and avoid the risk of exchange rate fluctuations. The Company|
||conducted no speculative operations, so there was no credit risk. And transaction periods|
||were determined according to expectations and payment receiving and making, with no|
||influence on the Company’s fluidity.|

(3) Entrustment loans
□ Applicable√ Inapplicable
There was no entrustment loan of the Company in the reporting period.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. 3. Use of raised funds
(1) Overview of the use of raised funds
□ Applicable√ Inapplicable
(2) Projects invested with raised funds as promised
□ Applicable√ Inapplicable
(3) Change of raised-funds-invested projects
□ Applicable√ Inapplicable
No change of raised-funds-invested projects during the reporting period.
4. Analysis to main subsidiaries and stock-participating companies
√ Applicable□ Inapplicable
Main subsidiaries and stock-participating companies:
Unit: RMB Ten thousand
|||||||||||
|-|-|-|-|-|-|-|-|-|-|
||Company||Main|Registered|||Operating|Operating||
|Company name||Industry|||Total assets|Net assets|||Net profit|
||variety||products/services|capital|||revenues|profit||
|Hefei Midea||||||||||
|Washing||Manufac|washing machine|13,552||||||
||Subsidiary||||362,850.19|173,137.07|221,274.50|8,212.11|6,917.58|
|Machine Co.,||ture|manufacture|(USD)||||||
|Ltd.||||||||||
|Wuxi Little||||||||||
|Swan General||||||||||
|||Manufac|Washer-dryer|||||||
|Electrical|Subsidiary|||2,800|26,340.56|163,843.52|12,630.57|1,176.17|999.74|
|||ture|manufacture|||||||
|Appliances Co.,||||||||||
|Ltd||||||||||
||||Development and|||||||
|Wuxi FILIN||||||||||
|||Manufac|manufacture of|362.4564||||||
|Electronics Co.,|Subsidiary||||42,234.33|31,613.65|17,499.02|3,847.17|3,645.59|
|||ture|new electronic|(USD)||||||
|Ltd||||||||||
||||components|||||||

5. Significant projects invested with non-raised funds
□ Applicable√ Inapplicable
No significant projects of investments with non-raised funds during the reporting period.
VI. Predict the operating results of Jan.-Sept. 2014
Warning of possible loss or considerable YoY change of the accumulated net profit made during the period-begin to the end of the
2014 Semi-annual Report of Wuxi Little Swan Company Limited. next reporting period according to prediction, as well as explanations on the reasons:
□ Applicable√ Inapplicable
VII. Explanation by the Board of Directors and the Supervisory Committee about the “non-standard audit report” issued by the CPAs firm for the reporting period
□ Applicable√ Inapplicable
VIII. Explanation by the Board of Directors about the “non-standard audit report” for last year
□ Applicable√ Inapplicable
IX. Implementation of profit allocation during the reporting period
Profit allocation plan implemented during the reporting period, especially execution and adjustment of the cash dividend plan and the plan for turning capital reserve into share capital:
√ Applicable□ Inapplicable
As the profit allocation plan for 2013, the Company, based on the total 632,487,764 shares as at the end of 2013, distributed a cash dividend of RMB 3 for every 10 shares held by its shareholders. And the Company did not turn capital reserve into share capital for 2013. The plan was reviewed and approved at the 8th Session of the 7th Board of Directors on 5 Mar. 2014 and then the 2013 AnnualShareholders’ General Meeting on 16 Apr. 2014. The<Announcement on Implementation of Equity Distribution forY2013> was published on 6 Jun. 2014. Implementation of the profit allocation plan was completed in the reporting period.
|||
|-|-|
|Special statement about the cash dividend policy||
|In compliance with the Company’s Articles of Association and the resolution of the general meeting|Yes|
|Specific and clear dividend standard and ratio|Yes|
|Complete decision-making procedure and mechanism|Yes|
|Independent directors fulfilled their responsibilities and played their due role.|Yes|
|Minority shareholders have the chance to fully express their opinion and desire and their legal rights and||
||Yes|
|interests were fully protected.||
|In adjustment or alteration of the cash dividend policy, the conditions and procedure were in compliance with||
||Inapplicable|
|regulations and transparent.||

X. Preplan for profit distribution and turning capital reserve into share capital for the reporting period
□ Applicable√ Inapplicable
The Company planed not to distribute cash dividends or bonus shares or turn capital reserve into share capital for the reporting period.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. XI. Researches, visits and interviews received in the reporting period
√ Applicable□ Inapplicable
|||||||
|-|-|-|-|-|-|
|||Way of|||Main discussion and materials|
|Time|Place||Visitor type|Visitor||
|||reception|||provided by the Company|
||Conference Room of the|||Changjiang Securities,||
|14 Jan. 2014||Field research|Institution||Overall operation of the Company|
||Company|||Hongyuan Securities||
|||||Baring Asset||
||Conference Room of the|||||
|15 Jan. 2014||Field research|Institution|Management, First|Overall operation of the Company|
||Company|||||
|||||State Investments||
|||||Founder Securities,||
|||||Macro Vision||
||Conference Room of the|||||
|16 Jan. 2014||Field research|Institution|Investment, Matthews|Overall operation of the Company|
||Company|||||
|||||International Capital||
|||||Management||
||Conference Room of the|||||
|12 Mar. 2014||Field research|Institution|Industrial Securities|Overall operation of the Company|
||Company|||||
||Conference Room of the|||||
|26 Mar. 2014||Field research|Institution|Cinda Securities|Overall operation of the Company|
||Company|||||
||Conference Room of the|||||
|27 Mar. 2014||Field research|Institution|Mirae Asset|Overall operation of the Company|
||Company|||||
||Conference Room of the|||||
|28 May 2014||Field research|Institution|Industrial Securities|Overall operation of the Company|
||Company|||||
||Conference Room of the|||Tianhong Asset||
|6 Jun. 2014||Field research|Institution||Overall operation of the Company|
||Company|||Management||
||Conference Room of the|||China Galaxy||
|17 Jun. 2014||Field research|Institution||Overall operation of the Company|
||Company|||Securities||
||Conference Room of the|||||
|27 Jun. 2014||Field research|Institution|GM Investment|Overall operation of the Company|
||Company|||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited. Section V. Significant Events
I. Corporate governance
The Company continuously perfected its corporate governance, set up modern enterprise system and standardized its operation strictly in accordance with the requirements of relevant laws and rules such as Company Law, Securities Law and Administrative Rule for Listed Companies issued by CSRC. Company governance practice has no difference with requirements of relevant law and rules of Company Law and CSRC.
II. Significant litigations and arbitrations
□Applicable√Inapplicable
The Company was not involved in any significant lawsuit or arbitration during the reporting period.
III.Media’s questions
□Applicable√Inapplicable
The Company was not involved in anymedia’s questions during the reporting period.
IV. Related Events of bankruptcy reorganization
□Applicable√Inapplicable
The Company was not involved in any related events of bankruptcy reorganization.
V. Assets transaction events
1. Purchase of assets
□Applicable√Inapplicable
The Company was not involved in any purchase of assets.
2. Sales of assets
√Applicable□Inapplicable
|||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|-|
|||||Net profit||Ratio of|||Relation|Whether|Whether|||
|||||contribute||the net|||ship|or not|or not|||
||||||Impac|||Related-||||||
|||||d to the||profit|||between|the|the|||
|Transact|||Transact||t to||Pricing|party|||||Disclos|
||Assets|Disposa||Company||contribu|||the|ownersh|creditor’|Disclos||
|ion|||ion||the||principl|transacti|||||ure|
||sold|l date||from the||ted by|||transacti|ip of the|s right|ure date||
|party|||price||comp||e|on or|||||index|
|||||period-beg||the asset|||on party|asset|and|||
||||||any|||not||||||
|||||in to the||to the|||and the|involve|liabilitie|||
|||||disposal||Compan|||Compan|d has|s|||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|
|||||date(RMB||y to the|||y|been|involve||
|||||Ten||total|||(applica|fully|d have||
|||||thousand)||profit|||ble for|transferr|been||
||||||||||related-|ed|fully||
||||||||||party||transferr||
||||||||||transacti||ed||
||||||||||ons)||||
|||23 Dec.2013|||||||Compan||||
||Equities||||||Confirm||||||
||||||||||y||||
||||||||ed||||||
|Midea|of the||||||||||||
||||||||||controll||||
||||||||accordin||||||
||Jiangsu||||||||||||
|Group|||||||g to the||ed by|||Inapplic|
||Comme||881.03|0|N/A|0.00%||Yes||Yes|No||
|Finance|||||||||the||||
||||||||market|||||able|
||rcial||||||||||||
|Co.,|||||||||controlli||||
||Bank||||||price of||||||
|Ltd.|||||||||ng||||
||||||||similar||||||
||Co.,||||||||||||
||||||||||sharehol||||
||||||||assets||||||
||Ltd.||||||||||||
||||||||||der||||

The above transfer of property right had completed on 9 Jul. 2014.
3. Combination of enterprises
□Applicable√Inapplicable
The Company was not involved in any combination of enterprises.
VI. Implementation of equity incentive and its influence
□Applicable√Inapplicable
The Company was not involved in any implementation of equity incentive and its execution.
VII. Significant related-party transactions
1. Related-party transaction relevant to routine operation
√Applicable□Inapplicable
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
|||Type oftherelated-partytransaction||Pricing||||||||
||||Content||||Proporti|||||
|||||principle||||||||
||||of the|||Transaction|on in|Settlement||||
|||||of the|Transa|||||||
||||related-p|||amount|same|method of the|Market|Disclos|Disclosure|
|Related party|Relationship|||related-p|ction|||||||
||||arty|||(RMB Ten|kind of|related-party|price|ure date|index|
|||||arty|price|||||||
||||transacti|||thousand)|transacti|transaction||||
|||||transacti||||||||
||||on||||ons (%)|||||
|||||on||||||||
||Subsidiary|Revenu|Logistic|||||Cash or||7 Mar.|On 7 Mar.|
|Ningbo Annto||||Market||||||||
||controlled|e from|s,|||3,715.26|1.15%|acceptance||2014|2014 and 22|
|Logistics Co., Ltd.||||price||||||||
||by controller|service|storage|||||due 3-6||and 22|Apr. 2014,|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||||||||
|-|-|-|-|-|-|-|-|-|-|
||||service||||months|Apr.|the company|
||||Purchase||||Cash or|2014|published on|
|Hubei Midea|Subsidiary|||||||||
|||Purchas|of|Market|||acceptance||the|
|Refrigerator Co.,|controlled||||77.01|0.02%||||
||||||||||information|
|||e|material|price|||due 3-6|||
|Ltd.|by controller||||||||network's|
||||s||||months|||
||||||||||announceme|
|Huaian Weiling|||Purchase||||Cash or|||
||Subsidiary||||||||nt:|
|Motor||Purchas|of|Market|||acceptance|||
||controlled||||19,182.71|5.95%|||(Announcem|
|Manufacturing||e|material|price|||due 3-6|||
||by controller||||||||ent No.:|
|Co., Ltd.|||s||||months|||
||||||||||2014-05 and|
||||Purchase||||Cash or|||
|Hefei Midea|Subsidiary||||||||2014-17)|
|||Purchas|of|Market|||acceptance|||
|Materials Supply|controlled||||7,903.86|2.45%||||
|||e|material|price|||due 3-6|||
|Co., Ltd.|by controller|||||||||
||||s||||months|||
||||Purchase||||Cash or|||
|Ningbo Midea|Subsidiary|||||||||
|||Purchas|of|Market|||acceptance|||
|Joint Supplies Co.,|controlled||||11,439.34|3.55%||||
|||e|material|price|||due 3-6|||
|Ltd.|by controller|||||||||
||||s||||months|||
|Hefei Hualing|||Purchase||||Cash or|||
||Subsidiary|||||||||
|Electric||Purchas|of|Market|||acceptance|||
||controlled||||4.03|0.00%||||
|Appliances Co.,||e|material|price|||due 3-6|||
||by controller|||||||||
|Ltd.|||s||||months|||
|Guangdong Midea||||||||||
||||||||Cash or|||
|Environment|Subsidiary||Purchase|||||||
|||Purchas||Market|||acceptance|||
|Appliances|controlled||of||428.89|0.13%||||
|||e||price|||due 3-6|||
|Manufacturing|by controller||products|||||||
||||||||months|||
|Co., Ltd.||||||||||
||Subsidiary|Revenu|||||T/T, Transfer|||
|Annto Logistics|||Logistic|Market||||||
||controlled|e from|||8.9|0.00%|or online|||
|Co., Ltd.|||s service|price||||||
||by controller|service|||||banking|||
|Huaian Weiling|||||||Cash or|Naught|Naught|
||Subsidiary||Sales of|||||||
|Motor||||Market|||acceptance|||
||controlled|Sales|material||5.12|0.00%||||
|Manufacturing||||price|||due 3-6|||
||by controller||s|||||||
|Co., Ltd.|||||||months|||
||||||||Party B paid||On 7 Mar.|
||||||||to party A in||2014, the|
|MIDEA||||||||||
||||||||cash, after||Company|
|CONSUMER|Subsidiary|||||||||
||||Sales of|Market|||receiving the|7 Mar.|published on|
|ELECTRIC|controlled|Sales|||81.62|0.02%||||
||||products|price|||party A’s|2014|the|
|(VIETNAM)|by controller|||||||||
||||||||supply in the||information|
|CO.,LTD||||||||||
||||||||bill of lading||network's|
||||||||within 90 days||announceme|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
|||||||||Party B paid|||nt:|
|||||||||to party A in|||(Announcem|
|MIDEA||||||||cash, after|||ent No.:|
|ELECTRIC|Subsidiary|||||||receiving the|||2014-05)|
||||Sales of|Market||||||||
|TRADING(SING|controlled|Sales||||67,690.79|13.61%|party A’s||||
||||products|price||||||||
|APORE)CO.PTE.|by controller|||||||supply in the||||
|LTD||||||||bill of lading||||
|||||||||within 120||||
|||||||||days||||
|||||||||Party B paid||||
|||||||||to party A in||||
|MIDEA||||||||cash, after||||
|SCOTT&ENGLIS|Subsidiary|||||||receiving the||||
||||Sales of|Market||||||||
|H|controlled|Sales||||1,255.35|0.25%|party A’s||||
||||products|price||||||||
|ELECTRONILCS|by controller|||||||supply in the||||
|SDN.BHD||||||||bill of lading||||
|||||||||within 150||||
|||||||||days||||
|||||||||Party B paid||||
|||||||||to party A in||||
|||||||||cash, after||||
|PT. MIDEA|Subsidiary|||||||||||
||||Sales of|Market||||receiving the||||
|PLANET|controlled|Sales||||205.55|0.04%|||||
||||products|price||||party A’s||||
|INDONESIA|by controller|||||||||||
|||||||||supply in the||||
|||||||||bill of lading||||
|||||||||within 90 days||||
|Total||||--|--|111,998.43|--|--|--|--|--|
|As for the prediction on the total amount of routine||||||||||||
|related-party transactions to be occurred in the||||For details, see IX. Financial report “(VIII) Related-party and related-party||||||||
|reporting period by relevant types, the actual||||transactions, 5. Related-party transactions”.||||||||
|performance in the reporting period(If any)||||||||||||

2. Related-party transactions arising from asset acquisition or sale
□Applicable√Inapplicable
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√Inapplicable
The Company was not involved in any related-party transaction with joint investments during the reporting period.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. 4. Credits and liabilities with related parties
√Applicable□Inapplicable
Was there any non-operating credit or liability with any related party?
□Yes√No
The Company was not involved in any credits and liabilities with related parties during the reporting period.
5. Other significant related-party transactions
√Applicable□Inapplicable
(1) The Company held the 1st SpecialShareholder’s General Meeting on 27 Aug. 2013, which reviewed and approved the following proposals:
① Reviewed and approved the Proposal of the Related-party Transactions about Signing the Financial Services Agreement with Midea Group Finance Co., Ltd.
The agreement agreed that, according to the requirements of the subsidiary of the Company, the Finance Company should provide deposit services, loan services, bill discounting services, guarantees, settlement services and a series of financial services that what the Finance Company could work on approved by CBRC to the Company and its subsidiary. Within the 3 years validity period since the date of the validation of the agreement, the maximum daily deposit balance the Company and its subsidiary deposit in the Financial Company should not exceed RMB 1 billion; the maximum daily outstanding balance of the loan principal and interest the Financial Company grants for the Company and its subsidiary should not exceed RMB 1 billion.
The Company was not involved in any loan business with the deposit balance in the Midea Group Finance Co., Ltd. of RMB 274,842,700 at the end of the reporting period.
② Reviewed and approved the Proposal of the Related-party Transaction about the Trademark Licensing
The Company permitted GD Midea Holding and its controlled subsidiaries to use trademark of “LITTLE SWAN and picture” in air conditioner commodities; permitted Hubei Midea Refrigerator Co., Ltd. and its controlled subsidiaries to use trademark of “LITTLE SWAN and picture” in refrigerator and freezer commodities; at the same time GD Midea Holding Co., Ltd permitted the Company and subsidiaries of the Company to use trademark of “Midea” in production, sales and ad campaign of washing machines and dryers. The aforesaid licensing contracts were all contracted with0.3% charges of net sales revenue of products with the authorized trademark as trademark license fees, and the licensing period ranged from 1 Jan. 2014 to 31 Dec. 2016.
(Note: After approved by CSRC through[2013]1014 document, Midea Group had split off as well as consolidated and combined the original controller GD Midea Holding on 18 Sep. 2013. After the consolidation and combination, Midea Group inherited and undertook the whole rights and obligations of the whole assets and liabilities etc of GD Midea Holding as the reminder enterprise and had finished the relevant registration procedures of shares transfer on 31 Dec. 2013.)
(2) The 2013 AnnualShareholder’s General Meeting was convened on 16 Apr. 2014, at which reviewed and approved the Proposal on Prediction of the Line of Routine Related Transaction of the Company for 2014.
(3) The 9th Meeting of the 7th Board of Directors was convened on 21 Apr. 2014, at which reviewed and approved the Proposal on Adjustment of the Line of Routine Related Transaction of the Company for 2014.
For details of the routine related-party transactions, see IX. Financial report “(VIII) Related-party and related-party transactions”. Related queries of disclosure index of significant related-partytransactions’ interim report
||||
|-|-|-|
||Disclosure date of the|Website to disclose the interim|
|Name of the interim announcement|||
||interim announcement|announcement|
|Announcements about trademark license of related transactions(No.: 2013-18)|||
||6 Aug. 2013|www.cninfo.com.cn|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
|Proposal of the Related-party Transactions about Signing theFinancial Services Agreement with Midea Group Finance Co.,Ltd. (No.: 2013-17)|||
||6 Aug. 2013|www.cninfo.com.cn|
|Proposal on Prediction of the Line of Routine Related Transactionof the Company for 2014 (No.: 2014-05)|||
||7 Mar. 2014|www.cninfo.com.cn|
|Proposal on Adjustment of the Line of Routine RelatedTransaction of the Company for 2014 (No.: 2014-17)|||
||22 Apr. 2014|www.cninfo.com.cn|

VIII. Particulars about the non-operating occupation of funds by the controlling shareholder and other related parties of the Company
□ Applicable√ Inapplicable
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
1. Particulars about trusteeship, contract and lease
(1) Trusteeship
□ Applicable√ Inapplicable
There was no any trusteeship of the Company in the reporting period.
(2) Contract
□ Applicable√ Inapplicable
There was no any contract of the Company in the reporting period.
(3) Lease
√ Applicable□ Inapplicable
Explanation on the lease
There was neither any significant lease event nor any significant lease event carried down into the reporting period.
The lease whose profits reaching more than10% of the total profits of the Company in the reporting period.
□ Applicable√ Inapplicable
2. Guarantees provided by the company
√ Applicable□ Inapplicable
Unit: RMB Ten Thousand Yuan
||||||||||
|-|-|-|-|-|-|-|-|-|
|Guarantees provided by the company for external parties (excluding those for subsidiaries)|||||||||
|Guaranteed party|Disclosure|Amount for|Actual|Actual|Type of|Period of|Executed|Guarante|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||||||
|-|-|-|-|-|-|-|-|-|
||date on|guarantee|occurrence date|guarantee|guarantee|guarantee|or not|e for a|
||relevant||(date of|amount||||related|
||announcem||agreement)|||||party or|
||ent of|||||||not|
||guaranteed||||||||
||amount||||||||
|Total external guarantee line||||Total actual occurred amount|||||
|approved during the reporting||0||of external guarantee during||0|||
|period (A1)||||the reporting period (A2)|||||
|Total external guarantee line that||||Total actual external guarantee|||||
|has been approved at the end of||0||balance at the end of the||0|||
|the reporting period (A3)||||reporting period (A4)|||||
|Guarantees provided by the company for its subsidiaries|||||||||
||Disclosure||||||||
||date on|||||||Guarante|
||||Actual||||||
||relevant|||Actual||||e for a|
|||Amount for|occurrence date||Type of|Period of|Executed||
|Guaranteed party|announcem|||guarantee||||related|
|||guarantee|(date of||guarantee|guarantee|or not||
||ent of|||amount||||party or|
||||agreement)||||||
||guaranteed|||||||not|
||amount||||||||
|Hefei Midea|||||||||
||||||General||||
|Washing Machine|7 Mar. 2014|127,000|28 Mar. 2014|64.54||Six months|No|No|
||||||warranty||||
|Co., Ltd.|||||||||
|Hefei Midea|||||||||
||||||General||||
|Washing Machine|7 Mar. 2014|127,000|28 Mar. 2014|6.37||Six months|No|No|
||||||warranty||||
|Co., Ltd.|||||||||
|||||Total actual occurred amount|||||
|Total guarantee line approved for|||||||||
|||||of guarantee for the|||||
|the subsidiaries during the||129,000||||70.90|||
|||||subsidiaries during the|||||
|reporting period (B1)|||||||||
|||||reporting period (B2)|||||
|Total guarantee line that has been|||||||||
|||||Total actual guarantee balance|||||
|approved for the subsidiaries at|||||||||
|||129,000||for the subsidiaries at the end||70.90|||
|the end of the reporting period|||||||||
|||||of the reporting period (B4)|||||
|(B3)|||||||||
|Total guarantee amount provided by the Company (total of the above-mentioned two kinds of guarantees)|||||||||
|Total guarantee line approved||||Total actual occurred amount|||||
|during the reporting period||129,000||of guarantee during the||70.90|||
|(A1+B1)||||reporting period (A2+B2)|||||
|Total guarantee line that has been||||Total actual guarantee balance|||||
|approved at the end of the||129,000||at the end of the reporting||70.90|||
|reporting period (A3+B3)||||period (A4+B4)|||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||
|-|-|
|Proportion of total guarantee amount (A4+B4) to the net assets||
||0.02%|
|of the Company||
|Of which:||
|Amount of guarantee for shareholders, actual controller and||
||0|
|related parties (C)||
|Amount of debt guarantee provided for the guaranteed party||
|whose asset-liability ratio is not less than 70% directly or|0|
|indirectly (D)||
|Part of the amount of the total guarantee over 50% of net assets||
||0|
|(E)||
|Total amount of the above three guarantees (C+D+E)|0|

 (1) Particulars about illegal external guarantee
□ Applicable√ Inapplicable
There was no particular about illegal external guarantee of the Company in the reporting period.
3. Other significant contracts
□ Applicable√ Inapplicable
There was no other significant contract of the Company in the reporting period.
4. Other significant transactions
□ Applicable√ Inapplicable
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□Inapplicable
|||||||
|-|-|-|-|-|-|
||||Time of|||
|||||Period of||
|Commitmen|Commitm||making||Fulfil|
|||Contents||commitme||
|t|ent maker||commitme||lment|
|||||nt||
||||nt|||
|||Where the controlling shareholder GD Midea Holding Co., Ltd. (Midea||||
||||||In the|
|||Holding) plans to sell the Company’s shares released from trading||||
||Controllin||||proce|
|Commitmen||moratorium held by it via the bid trading system of the Shenzhen Stock||||
||g||28 Feb.||ss of|
|t on share||Exchange, and Midea Holding decreases over 5% shares within six months||Long-term||
||shareholde||2008||imple|
|reform||since the first reduction of holdings, Midea Holding will disclose the||||
||r||||menta|
|||suggestive announcement on share selling through the Company two||||
||||||tion|
|||trading days before its first reduction of holdings.||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||||
|-|-|-|-|-|-|
|||1. As for the commitment of avoiding horizontal competition, Midea Group||||
|||(the controlling shareholder) and Mr. He Xiangjian (the actual controller)||||
|||has promised that, for the period after the said transaction when the||||
|||Company’s controlling shareholder and actual controller remain||||
|||unchanged, the actual controller Mr. He Xiangjian, his immediate family,||||
|||Midea Group and its controlled other enterprises neither recently nor in the||||
|||future will engage in any production or operation activity the same as or||||
|||similar to the recently main business of Little Swan or its controlled||||
||Controllin||||In the|
|||enterprises, as well as will neither engage in nor participate in any||||
||g||||proce|
|||competitive business the same as the recently main business of Little Swan|1 Dec.|||
||shareholde||||ss of|
|||or its controlled enterprises through controlling other economic entities,|2010, 6|Long-term||
||r and||||imple|
|||institutions, economic organizations. If Little Swan and its controlled|Jun. 2014|||
||actual||||menta|
|||enterprises further developed its scope of the operation business on the||||
||controller||||tion|
|||basis of the recently business, and if the actual controller Mr. He Xiangjian,||||
|||his immediate family, Midea Group and its controlled other enterprises had||||
|||executed production of that, would solve the corresponding horizontal||||
|||competition problems within the reasonable period. If recently there was no||||
|||any production or operation, would not engage in the similar new business||||
|||that competed with Little Swan and its controlled enterprises. If there was||||
|Commitmen||||||
|||any situation violated the above commitments, the profits gained from the||||
|t in the||||||
|||business related to operation were belongs to Little Swan.||||
|acquisition||||||
|||2. The commitment by Midea Group and the actual controller on the||||
|report or the||||||
|||specification of the related-party transaction. Midea Group (the controlling||||
|report on||||||
|||shareholder) and Mr. He Xiangjian (the actual controller) has promised||||
|equity||||||
|||that, for the period after the said transaction when the Company’s||||
|changes||||||
|||controlling shareholder and actual controller remain unchanged, the actual||||
|||controller Mr. He Xiangjian, his immediate family, Midea Group and its||||
|||controlled other enterprises will specify and try their best to reduce the||||
|||related-party transactions with Little Swan and its controlled enterprises. If||||
|||occurred the unavoidable related transactions with Little Swan and its||||
||Controllin||||In the|
|||controlled enterprises, would sign the normative related-party transactions||||
||g||||proce|
|||agreement Little Swan according to laws and would execute the approval|1 Dec.|||
||shareholde||||ss of|
|||procedure according to the relevant regulations to ensure the fairness of the|2010, 6|Long-term||
||r and||||imple|
|||price of the related-party transactions; ensure to execute the information|Jun. 2014|||
||actual||||menta|
|||disclose obligation of related-party transactions according to the relevant||||
||controller||||tion|
|||regulations; ensure not to make advantage of the related-party transactions||||
|||for illegally transferring the assets and profits of Little Swan, as well as not||||
|||to make advantage of the related-party transactions for harming to the||||
|||interests of Little Swan and the shareholders; would not require Little Swan||||
|||to offer any more favorable condition compared with that offered to the||||
|||independent third party in any fair trade market transaction; execute the||||
|||voting debarb obligation when involved in the voting of the related events||||
|||of the actual controller Mr. He Xiangjian, his immediate family, Midea||||
|||Group and its controlled other enterprises. If Midea Group and Mr. He||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||
|-|-|-|-|-|
||Xiangjian violated the above commitments and promises that led to the||||
||harm for the equity of Little Swan or other shareholders, Midea Group and||||
||Mr. He Xiangjian should taike the responsibility of the corresponding||||
||liability for damage.||||
||3. As for the commitment on independence, Midea Group has promised to||||
||protect Little Swan’s independence in terms of assets, staff, finance,||||
|||||In the|
||organization and business. 3. As for the commitment on independence,||||
|Controllin||||proce|
||Midea Group and the actual controller Mr. He Xiangjian has promised that,|1 Dec.|||
|g||||ss of|
||to further ensure the independent operation of Little Swan, Mr. He|2010, 6|Long-term||
|shareholde||||imple|
||Xiangjian, Midea Group and its controlled other enterprises would maintain|Jun. 2014|||
|r||||menta|
||the mutual independent in terms of personnel, finance, assets, bunisess and||||
|||||tion|
||institutions with Little Swan according to the relevant laws and regulations||||
||as well as the normative documents.||||
||4. As for the commitment on related-party deposits and borrowings, up to 8||||
|||||In the|
||Apr. 2010, the Financial Settlement Center of Midea Group had settled all||||
|Controllin||||proce|
||internal deposits and borrowings with Hefei Royalstar Washing Equipment||||
|g||1 Dec.||ss of|
||Manufacturing Co., Ltd.; and Midea Group has promised that there will be||Long-term||
|shareholde||2010||imple|
||no more deposits, borrowings or other funds flows incurred between the||||
|r||||menta|
||Financial Settlement Center and Hefei Royalstar Washing Equipment||||
|||||tion|
||Manufacturing Co., Ltd..||||
||5. The commitment by Midea Group on housing properties with no||||
||ownership certificates of the target company for sale is detailed as follows.||||
||Two pieces of the buildings of Royalstar Washing Equipment assessed and|||In the|
|Controllin|sold to the Company are of no ownership certificates—the warehouse for|||proce|
|g|half-finished products (176 square meters) and the workshop for injection|1 Dec.||ss of|
||||Long-term||
|shareholde|molding (834 square meters), both located in the old factory of Royalstar|2010||imple|
|r|Washing Equipment, Hewa Road, Hefei. Midea Group has promised that if|||menta|
||loss occurs due to the said two buildings without ownership certificates in|||tion|
||the asset disposal process in the future, it will assume the loss thus caused||||
||and make compensation to the Company.||||
||6. The commitment by Midea Group on trademarks is detailed as follows.||No. (2),||
||(1) Concerning the “Midea” trademark: Upon approval and implementation||RongShiD||
||of the equity transfer transaction, Midea Group has promised that it will||a||
||make sure that Royalstar Washing Equipment uses the “Midea” trademark||trademark||
|||||In the|
||in a proper manner. Royalstar Washing Equipment will be allowed to use||is due by||
|Controllin||||proce|
||the “Midea” trademark with a trademark use fee not more than that paid by||March 31,||
|g||1 Dec.||ss of|
||Midea Group (the controlling shareholder of Midea Group) and its||2013 and||
|shareholde||2010||imple|
||subsidiaries (currently 3‰ of the annual sales income generated by||won’t||
|r||||menta|
||products using the “Midea” trademark), and upon negotiation and signing||renew its||
|||||tion|
||of the “Agreement for Trademark Use”. The related-party transactions||contract;||
||incurred due to the said use of the “Midea” trademark will be submitted to||Other||
||the decision-making organ of the Company for approval according to the||items for a||
||stipulated procedure. As such, interests of the Company and its minority||long term||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||||
|-|-|-|-|-|-|
|||shareholders will be safeguarded. (2) Concerning the “Royalstar”||implement||
|||trademark: Midea Group has signed the “Contract for Trademark Use” with||||
|||Royalstar Group and obtained the ordinary use rights of the “Royalstar” (or||||
|||“RongShiDa”) trademark. As the transferor in the transfer transaction of||||
|||equity interests of Royalstar Washing Equipment, Midea Group has||||
|||promised that within the scope as agreed in the “Contract for Trademark||||
|||Use”, if any dispute arises between Royalstar Washing Equipment and||||
|||Royalstar Group over the former’s execution of the “Contract for||||
|||Trademark Use”, Little Swan will not be involved. If Royalstar Washing||||
|||Equipment and Little Swan have to assume any responsibility or loss due to||||
|||the aforesaid dispute, Midea Group is willing to take on the responsibility||||
|||instead and make compensations to Royalstar Washing Equipment and||||
|||Little Swan at full amount.||||
|||7. The commitment by Midea Group on social security payment and tax||||
|||risks is detailed as follows. Midea Group has promised that upon the||||
|||completion of the said equity transfer deal, if Royalstar Washing||||
|||Equipment is obliged to take on any responsibility or pay relevant fares as||||
|||required by relevant government authorities due to its social security||||
|||payment before the said deal, Midea Group is willing to pay relevant fares|||In the|
||Controllin|for Royalstar Washing Equipment to relevant government authorities in a|||proce|
||g|timely manner and assume any other liability. If any loss thus occurs to|1 Dec.||ss of|
|||||Long-term||
||shareholde|Royalstar Washing Equipment or Little Swan, Midea Group is willing to|2010||imple|
||r|assume relevant responsibilities for compensation. Upon the completion of|||menta|
|||the said equity transfer deal, if income tax evasion or any other tax risk is|||tion|
|||found in Royalstar Washing Equipment, Midea Group is willing to assume||||
|||relevant legal responsibilities and risks and pay relevant taxes in a timely||||
|||manner to relevant government authorities; and if any loss thus occurs to||||
|||Little Swan, Midea Group will assume the corresponding responsibility for||||
|||compensation.||||
|Commitmen||||||
|ts made in||||||
|||Naught||||
|an asset||||||
|exchange||||||
|Commitmen||||||
|ts made in||||||
|first public||Naught||||
|issuance or||||||
|refinancing.||||||
|Other||||||
|commitment||||||
|s made to||Naught||||
|minority||||||
|shareholders||||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||
|-|-|
|Executed||
|timely or|Yes|
|not?||

XI. Particulars about engagement and disengagement of CPAs firm
Whether the semi-annual financial report had been audited?
□ Yes√ No
XII. Punishment and Rectification
□ Applicable√ Inapplicable
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√ Inapplicable
There was no any delisting risk of illegal or violation of the Company in the reporting period.
XIV. Explanation about other significant matters
□ Applicable√ Inapplicable
There was no any other significant matter needed to be explained in the reporting period.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. Section VI. Changes in Share Capital and Particulars about Shareholders
I. Changes in share capital
Unit: Share
|||||||||||
|-|-|-|-|-|-|-|-|-|-|
||Before this change||Increase/decrease (+, -)|||||After the change||
||||||Capitalizat|||||
||||Issuance||ion of|||||
|||Proportion||Bonus|||||Proportio|
||Amount||of new||public|Other|Subtotal|Amount||
|||(%)||share|||||n (%))|
||||shares||reserve|||||
||||||fund|||||
|I. Shares subject to trading||||||||||
||3,689,890|0.58%||||1,000|1,000|3,690,890|0.58%|
|moratorium||||||||||
|1. State-owned shares||||||||||
|2. State-owned legal||||||||||
|person||||||||||
|shares||||||||||
|3. Other domestic shares|3,689,890|0.58%||||1,000|1,000|3,690,890|0.58%|
|Including: Shares held by||||||||||
||3,686,890|0.58%||||||3,686,890|0.58%|
|domestic legal persons||||||||||
|Shares held by domestic||||||||||
||3,000|||||1,000|1,000|4,000||
|individuals||||||||||
|4. Shares held by||||||||||
|overseas shareholders||||||||||
|Including: Shares held by||||||||||
|overseas legal persons||||||||||
|Shares held by overseas||||||||||
|individuals||||||||||
|II. Shares not subject to||||||||||
||628,797,874|99.42%||||-1,000|-1,000|628,796,874|99.42%|
|trading moratorium||||||||||
|1. Ordinary shares||||||||||
||437,762,002|69.21%||||-1,000|-1,000|437,761,002|69.21%|
|denominated in RMB||||||||||
|2. Domestically listed||||||||||
||191,035,872|30.20%||||||191,035,872|30.20%|
|foreign shares||||||||||
|3. Overseas listed foreign||||||||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||
|-|-|-|-|-|
|shares|||||
|4. Other|||||
|III. Total of shares|632,487,764|100.00%|632,487,764|100.00%|

 Reasons for changes in share
□ Applicable√ Inapplicable
Approval of share changes
□ Applicable√ Inapplicable
Transfers in share changes
□ Applicable√ Inapplicable
Influence of share changes towards financial indexes in the latest year and latest period such as basic EPS and diluted EPS, and net assets per share belonging to shareholder with ordinary share
□ Applicable√ Inapplicable
Other contents that the Company thinks necessary or is asked by securities regulators to be disclosed
□ Applicable√ Inapplicable
Explanation of the changes in the sum of the shares and the structure of the shareholders and the structure of the assets as well as the liabilities of the Company
□ Applicable√ Inapplicable
II. Number of shareholders and shareholding
Unit: Share
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
|||||Total number of preferredshareholders that had restored3the voting right at the end of thereporting period (if any)|||||||
|Total number of common|||||||||||
|shareholders at the end of the|29,16||||||0||||
|reporting period|||||||||||
|Shareholding of shareholders holding more than 5% shares|||||||||||
|||||||Number|||Pledged or||
||||||Increase||||||
|||||||of shares|||frozen shares||
|||||Number of|and|||Number of|||
|||||||held|||||
||||Holding|shareholding|decrease|||shares held|||
|||Nature of||||subject||||Num|
|Name of shareholder|||percenta|at the end of|of shares|||not subject to|Status||
|||shareholder||||to||||ber of|
||||ge (%)|the reporting|during|||trading|of||
|||||||trading||||share|
|||||period|reporting|||moratorium|shares||
|||||||moratori||||s|
||||||period||||||
|||||||um|||||
|MIDEA GROUP CO., LTD.||Domesticnon-state-ownedcorporation|35.20%|222,661,571|0|||222,661,571|||
|GAOLING FUND,L.P.||Overseascorporation|8.57%|54,207,686|56,100|||54,207,686|||
|TITONI INVESTMENTSDEVELOPMENT LTD.||Overseascorporation|4.88%|30,851,714|0|||30,851,714|||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||||||
|-|-|-|-|-|-|-|-|-|
|FINANCE BUREAU OF WUXI|On behalf of thegovernment|3.49%||22,057,657|0||22,057,657||
|BOCI SECURITIES LIMITED|Overseascorporation|3.36%||21,273,615|63,806||21,273,615||
|GUOTAI JUNANSECURITIES(HONGKONG)LIMITED|Overseascorporation|2.39%||15,089,700|741,629||15,089,700||
|NATIONAL SOCIALSECURITY FUND PORTFOLIO102|Domesticnon-state-ownedcorporation|1.90%||12,000,000|0||12,000,000||
|CCB－PENGHUA VALUEADVANTAGE STOCKSECURITIES INVESTMENTFUND|Domesticnon-state-ownedcorporation|1.04%||6,593,148|-500,000||6,593,148||
|INDUSTRIAL SECURITIESCO., LTD|Domesticnon-state-ownedcorporation|0.98%||6,200,000|6,200,000||6,200,000||
|NATIONAL SOCIALSECURITY FUND PORTFOLIO108|Domesticnon-state-ownedcorporation|0.98%||6,180,101|-1,000,000||6,180,101||
|Strategic investors or the general legal person due to|||||||||
|the placement of new shares become the top 10||Inapplicable|||||||
|shareholders (if any)|||||||||
|||MIDEA GROUP CO., LTD. and TITONI INVESTMENTS|||||||
|Explanation on associated relationship or/and persons|||||||||
|||DEVELOPMENT LTD. are parties acting in concert.|||||||
|Particulars about shares held by top 10 shareholders not subject to trading moratorium|||||||||
||||Number of shares held not|||Type of share|||
||||subject to trading||||||
|Name of shareholder|||||||||
||||moratorium at the end of|||Type of share||Number|
||||the period||||||
|Midea Group Co., Ltd.|||222,661,571|||RMB ordinary share||222,661,571|
|GAOLING FUND,L.P.|||54,207,686|||Domestically listed|||
|||||||||222,661,571|
|||||||foreign share|||
|TITONI INVESTMENTS DEVELOPMENT LTD.|||30,851,714|||Domestically listed|||
|||||||||30,851,714|
|||||||foreign share|||
|FINANCE BUREAU OF WUXI|||22,057,657|||RMB ordinary share||22,057,657|
|BOCI SECURITIES LIMITED|||21,273,615|||Domestically listed|||
|||||||||21,273,615|
|||||||foreign share|||
|GUOTAI JUNAN SECURITIES(HONGKONG) LIMITED|||15,089,700|||Domestically listed||15,089,700|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||
|-|-|-|-|
|||foreign share||
|NATIONAL SOCIAL SECURITY FUND PORTFOLIO 102|12,000,000|RMB ordinary share|12,000,000|
|CCB－Penghua Value Advantage Stock Securities InvestmentFund|6,593,148|||
|||RMB ordinary share|6,593,148|
|INDUSTRIAL SECURITIES CO., LTD|6,200,000|RMB ordinary share|6,200,000|
|NATIONAL SOCIAL SECURITY FUND PORTFOLIO 108|6,180,101|RMB ordinary share|6,180,101|
|Explanation on associated relationship among the top ten||||
|shareholders of tradable share not subject to trading||||
||Midea Group Co., Ltd. and TITONI INVESTMENTS|||
|moratorium, as well as among the top ten shareholders of||||
||DEVELOPMENT LTD. are parties acting in concert.|||
|tradable share not subject to trading moratorium and top ten||||
|shareholders, or explanation on acting-in-concert||||
|Particular about shareholder participate in the securities||||
||Naught|||
|lending and borrowing business (if any)||||

Did any shareholder of the Company carry out an agreed buy-back in the reporting period?
□ Yes√ No
Shareholders of the Company had not carried out any agreed buy-back in the reporting period.
III. Change of the controlling shareholder or the actual controller
Change of the controlling shareholder in the reporting period
□ Applicable√ Inapplicable
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√ Inapplicable
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□Inapplicable
||||||||
|-|-|-|-|-|-|-|
|||||||Disclosure date|
|||||Shares|Initial disclosure|for the|
||Amount of shares|Shares|Amount of||||
|Name of shareholder /||||proportion|date of the|completion of|
||to be increased|proportion to be|shares actually||||
|act-in-concert person||||increased|shareholding|implementing the|
||holding|increased|held||||
|||||actually|increase scheme|shareholding|
|||||||increase scheme|
|Midea Group and|||||||
||126,497,553|20.00%|||9 Jun. 2014||
|TITONI|||||||

For further improve the business synergistic effect between Midea Group and Little Swan, strengthen the core competition power of
the washing machine industry of Little Swan, Midea Group planed to associate with its wholly owned and controlled foreign
company TITONI to execute partly tender offer of Share A and Share B of Little Swan, in order to strengthen the control power of
Little Swan. The tender offer was not for terminating the listing status of the stocks of Little Swan. Up to the date of the disclosure of
2014 Semi-annual Report of Wuxi Little Swan Company Limited. the report, the period of the tender offer had expired and according to the disclosure of the Shenzhen Exchange Stock website, the amount of the accumulative estimated offer shares was of 79,639,774 shares which was of12.59% of the total shares of the Company. Midea Group is going through the registration procedures of the shares transfer. For the details of the tender offer please refer to the relevant announcements disclosed by the Company.
Section VII. Situation of the Preferred Shares
I. Situation of issue and listing of preferred shares in the reporting period
□ Applicable√ Inapplicable
II. Situation of the number and holding of the preferred shares shareholders of the Company□ Applicable√ Inapplicable
III. Situation of buy-back or transfer of the preferred shares
1. Situation of buy-back the preferred shares
□ Applicable√ Inapplicable
2. Situation of transfer the preferred shares
□ Applicable√ Inapplicable
IV. Situation of recovery and execution of the voting right of preferred shares
□ Applicable√ Inapplicable
V. Accounting policies and reasons adopted by the preferred shares
□ Applicable√ Inapplicable
2014 Semi-annual Report of Wuxi Little Swan Company Limited. Section VIII. Directors, Supervisors, Senior Management Staffs I. Changes in shareholding of directors, supervisors and senior management staffs
□ Applicable√ Inapplicable
There was no change in shareholding of directors, supervisors and senior management staffs, for the specific information please refer to the 2013 Annual Report.
II. Changes in directors, supervisors and senior management staffs
√Applicable□Inapplicable
||||||
|-|-|-|-|-|
|Name|Position|Type|Date|Reason|
|Yang Xiaowen|Supervisor|Left|7 Mar. 2014|Personal reasons|
||Deputy General||||
|Hu Ziqiang||Left|22 Apr. 2014|Job transfer|
||Manager||||
|Chen Jianwu|Supervisor|Selected|16 Apr. 2014|Special election of Supervisors|
||Chairman of the||||
|Jiang Huafang||Left|5 Aug. 2014|Job transfer|
||Supervisory||||
|Chen Jianwu|Supervisor|Left|5 Aug. 2014|Job transfer|
||Supervisor of the||||
|Ye Dexin||Left|5 Aug. 2014|Personal reasons|
||Staff Representative||||
||Staff-representative|||Became the Staff-representative|
|Xu Pengcheng||Elected|5 Aug. 2014||
||supervisor|||Supervisor on by-election|

 The service term of the Independent Directors of theCompany—Mr. Zhao Shuming and Mr. Ye Yongfu had expired and the Company held the 11th Meeting of the 7th Board of Directors on 5 Aug. 2014, at which the Board nominated Mr. Jiang Qingyun and Mr. Liu Chunlin as candidates for the Independent Directors of the 7th Board of Directors. The Company also held the 11th Session of the 7th Supervisory Committee on 5 Aug. 2014, at which the Supervisory Committee nominated Mr. Liang Pengfei and Mr. Wang Shouhu as supervisor candidates for the 7th Supervisory Committee. For more information, see relevant announcements of the Company.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. IX. Financial Report
I. 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 Yuan
1. Consolidated balance sheet
Prepared by Wuxi Little Swan Company Limited
Unit: RMB Yuan
||||
|-|-|-|
|Item|Closing balance|Opening balance|
|Current Assets:|||
|Monetary funds|2,165,295,105.79|1,617,373,088.50|
|Settlement reserves|||
|Intra-group lendings|||
|Transactional financial assets|1,486,950.00|15,016,740.00|
|Notes receivable|2,376,741,559.62|2,449,770,225.41|
|Accounts receivable|825,357,689.50|777,744,132.32|
|Accounts paid in advance|163,170,120.91|140,841,924.06|
|Premiums receivable|||
|Reinsurance premiums receivable|||
|Receivable reinsurance contract reserves|||
|Interest receivable|||
|Dividend receivable|||
|Other accounts receivable|25,557,616.45|26,163,524.13|
|Financial assets purchased under|||
|agreements to resell|||
|Inventories|581,264,111.18|798,141,838.58|
|Non-current assets due within 1 year|||
|Other current assets|1,959,627,280.92|1,791,288,539.62|
|Total current assets|8,098,500,434.37|7,616,340,012.62|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
|Non-current assets:|||
|Loans by mandate and advances granted|||
|Available-for-sale financial assets|251,664.00|312,816.00|
|Held-to-maturity investments|||
|Long-term accounts receivable|||
|Long-term equity investment|4,598,996.45|4,579,148.88|
|Investing property|8,961,631.44|9,466,777.10|
|Fixed assets|1,131,351,176.29|1,194,244,286.86|
|Construction in progress|2,957,911.82||
|Engineering materials|||
|Disposal of fixed assets|||
|Production biological assets|||
|Oil-gas assets|||
|Intangible assets|216,719,963.63|219,445,532.87|
|R&D expense|||
|Goodwill|||
|Long-term deferred expenses|3,466,516.25|7,147,835.74|
|Deferred income tax assets|219,585,580.85|170,990,970.67|
|Other non-current assets|||
|Total of non-current assets|1,587,893,440.73|1,606,187,368.12|
|Total assets|9,686,393,875.10|9,222,527,380.74|
|Current liabilities:|||
|Short-term borrowings|50,117,340.00||
|Borrowings from Central Bank|||
|Customer bank deposits and due to banks|||
|and other financial institutions|||
|Intra-group borrowings|||
|Transactional financial liabilities|||
|Notes payable|868,240,658.99|385,673,110.34|
|Accounts payable|3,157,373,388.21|2,768,046,095.46|
|Accounts received in advance|439,535,919.42|1,057,952,597.52|
|Financial assets sold for repurchase|||
|Handling charges and commissions payable|||
|Employee’s compensation payable|165,171,100.88|207,323,619.92|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
|Tax payable|246,020,710.21|199,203,856.56|
|Interest payable|||
|Dividend payable|4,088,128.36|3,740,152.33|
|Other accounts payable|40,154,741.17|50,021,093.66|
|Reinsurance premiums payable|||
|Insurance contract reserves|||
|Payables for acting trading of securities|||
|Payables for acting underwriting of|||
|securities|||
|Non-current liabilities due within 1 year|||
|Other current liabilities|||
|Total current liabilities|4,970,701,987.24|4,671,960,525.79|
|Non-current liabilities:|||
|Long-term borrowings|||
|Bonds payable|||
|Long-term payables|||
|Specific payables|3,783,957.30|2,073,957.30|
|Estimated liabilities|10,162,452.89|11,310,523.59|
|Deferred income tax liabilities|245,747.10|2,284,388.40|
|Other non-current liabilities|517,000.00|568,600.00|
|Total non-current liabilities|14,709,157.29|16,237,469.29|
|Total liabilities|4,985,411,144.53|4,688,197,995.08|
|Owners’ equity (or shareholders’ equity)|||
|Paid-up capital (or share capital)|632,487,764.00|632,487,764.00|
|Capital reserves|1,134,752,577.59|1,129,431,304.91|
|Less: Treasury stock|||
|Specific reserves|||
|Surplus reserves|290,958,368.49|290,958,368.49|
|Provisions for general risks|||
|Retained profits|1,986,192,134.05|1,859,579,931.10|
|Foreign exchange difference|-3,281,725.80|-3,559,713.76|
|Total equity attributable to owners of the|||
||4,041,109,118.33|3,908,897,654.74|
|Company|||
|Minority interests|659,873,612.24|625,431,730.92|
|Total owners’ (or shareholders’) equity|4,700,982,730.57|4,534,329,385.66|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
|Total liabilities and owners’ (or|||
||9,686,393,875.10|9,222,527,380.74|
|shareholders’) equity|||

Legal representative: Fang Hongbo Person-in-charge of the accounting work: Zhang Zhaofeng
Chief of the accounting division: Zhong Fangliu
2. Balance sheet of the Company
Prepared by Wuxi Little Swan Company Limited
Unit: RMB Yuan
||||
|-|-|-|
|Item|Closing balance|Opening balance|
|Current Assets:|||
|Monetary funds|1,319,381,125.13|910,325,739.17|
|Transactional financial assets|891,830.00|8,727,740.00|
|Notes receivable|1,775,116,288.67|1,541,082,811.22|
|Accounts receivable|466,793,123.77|731,446,199.69|
|Accounts paid in advance|49,001,417.27|56,620,106.39|
|Interest receivable|||
|Dividend receivable|||
|Other accounts receivable|20,467,623.01|18,752,200.83|
|Inventories|368,431,047.85|543,401,541.27|
|Non-current assets due within 1 year|||
|Other current assets|915,046,019.24|939,664,538.10|
|Total current assets|4,915,128,474.94|4,750,020,876.67|
|Non-current assets:|||
|Available-for-sale financial assets|251,664.00|312,816.00|
|Held-to-maturity investments|||
|Long-term accounts receivable|||
|Long-term equity investment|1,401,743,488.02|1,601,723,640.45|
|Investing property|8,961,631.44|9,466,777.10|
|Fixed assets|540,694,322.78|568,924,123.24|
|Construction in progress|2,184,273.62||
|Engineering materials|||
|Disposal of fixed assets|||
|Production biological assets|||
|Oil-gas assets|||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
|Intangible assets|99,829,619.68|101,069,007.28|
|R&D expense|||
|Goodwill|||
|Long-term deferred expenses|2,991,763.99|6,781,326.79|
|Deferred income tax assets|148,189,983.08|119,667,809.75|
|Other non-current assets|||
|Total of non-current assets|2,204,846,746.61|2,407,945,500.61|
|Total assets|7,119,975,221.55|7,157,966,377.28|
|Current liabilities:|||
|Short-term borrowings|||
|Transactional financial liabilities|||
|Notes payable|461,682,942.33|273,399,760.34|
|Accounts payable|2,164,235,637.83|1,766,585,288.21|
|Accounts received in advance|257,588,046.63|724,228,146.67|
|Employee’s compensation payable|91,049,261.41|118,237,120.06|
|Tax payable|183,250,231.91|156,722,107.53|
|Interest payable|||
|Dividend payable|4,088,128.36|3,740,152.33|
|Other accounts payable|11,228,323.15|208,682,591.14|
|Non-current liabilities due within 1 year|||
|Other current liabilities|||
|Total current liabilities|3,173,122,571.62|3,251,595,166.28|
|Non-current liabilities:|||
|Long-term borrowings|||
|Bonds payable|||
|Long-term payables|||
|Specific payables|||
|Estimated liabilities|||
|Deferred income tax liabilities|156,479.10|1,341,038.40|
|Other non-current liabilities|||
|Total non-current liabilities|156,479.10|1,341,038.40|
|Total liabilities|3,173,279,050.72|3,252,936,204.68|
|Owners’ equity (or shareholders’ equity)|||
|Paid-up capital (or share capital)|632,487,764.00|632,487,764.00|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
|Capital reserves|1,295,769,729.27|1,291,483,360.14|
|Less: Treasury stock|||
|Specific reserves|||
|Surplus reserves|278,308,224.59|278,308,224.59|
|Provisions for general risks|||
|Retained profits|1,740,130,452.97|1,702,750,823.87|
|Foreign exchange difference|||
|Total owners’ (or shareholders’) equity|3,946,696,170.83|3,905,030,172.60|
|Total liabilities and owners’ (or shareholders’) equity|7,119,975,221.55|7,157,966,377.28|

 Legal representative: Fang Hongbo Person-in-charge of the accounting work: Zhang Zhaofeng
Chief of the accounting division: Zhong Fangliu
3. Consolidated income statement
Prepared by Wuxi Little Swan Company Limited
Unit: RMB Yuan
||||
|-|-|-|
|Item|Jan.-Jun. 2014|Jan.-Jun 2013|
|I. Total operating revenues|4,974,057,020.56|3,998,224,336.31|
|Including: Sales income|4,974,057,020.56|3,998,224,336.31|
|Interest income|||
|Premium income|||
|Handling charge and commission income|||
|II. Total operating cost|4,606,970,952.57|3,778,696,264.86|
|Including: Cost of sales|3,655,315,076.59|3,005,810,911.14|
|Interest expenses|||
|Handling charge and commission expenses|||
|Surrenders|||
|Net claims paid|||
|Net amount withdrawn for the insurance contract|||
|reserve|||
|Expenditure on policy dividends|||
|Reinsurance premium|||
|Taxes and associate charges|31,180,668.93|25,957,616.21|
|Selling and distribution expenses|708,872,153.90|539,966,097.76|
|Administrative expenses|210,082,884.69|173,092,190.68|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
|Financial expenses|-9,899,828.86|20,143,097.74|
|Asset impairment loss|11,419,997.31|13,726,351.33|
|Add: Gain/(loss) from change in fair value (“-” means loss)|-13,529,790.00|10,584,660.00|
|Gain/(loss) from investment (“-” means loss)|56,378,070.46|38,581,681.44|
|Including: share of profits in associates and joint ventures|||
|Foreign exchange gains (“-” means loss)|||
|III. Business profit (“-” means loss)|409,934,348.45|268,694,412.89|
|Add: non-operating income|11,614,209.80|17,650,895.21|
|Less: non-operating expense|4,748,238.66|7,432,491.94|
|Including: loss from non-current asset disposal|||
|IV. Total profit (“-” means loss)|416,800,319.59|278,912,816.16|
|Less: Income tax expense|66,436,602.59|42,992,351.93|
|V. Net profit (“-” means loss)|350,363,717.00|235,920,464.23|
|Including: Net profit achieved by combined parties|||
|before the combinations|||
|Attributable to owners of the Company|316,358,532.13|220,961,466.94|
|Minority shareholders’ income|34,005,184.87|14,958,997.29|
|VI. Earnings per share|--|--|
|(I) Basic earnings per share|0.50|0.35|
|(II) Diluted earnings per share|0.50|0.35|
|VII. Other comprehensive incomes|226,008.76|-569,691.66|
|VIII. Total comprehensive incomes|350,589,725.76|235,350,772.57|
|Attributable to owners of the Company|316,584,540.89|220,391,775.28|
|Attributable to minority shareholders|34,005,184.87|14,958,997.29|

 Legal representative: Fang Hongbo Person-in-charge of the accounting work: Zhang Zhaofeng
Chief of the accounting division: Zhong Fangliu
4. Income statement of the Company
Prepared by Wuxi Little Swan Company Limited
Unit: RMB Yuan
||||
|-|-|-|
|Item|Jan.-Jun. 2014|Jan.-Jun 2013|
|I. Total sales|3,642,700,222.95|2,910,402,363.86|
|Less: cost of sales|2,718,742,930.62|2,197,383,259.40|
|Business taxes and surcharges|21,764,077.70|20,320,831.11|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
|Distribution expenses|518,302,677.11|394,075,467.07|
|Administrative expenses|144,963,100.14|109,549,513.68|
|Financial costs|-4,561,649.19|12,174,679.39|
|Impairment loss|-5,948,475.57|2,850,533.92|
|Add: gain/(loss) from change in fair value (“-” means|||
||-7,835,910.00|6,513,520.00|
|loss)|||
|Gain/(loss) from investment (“-” means loss)|23,473,873.16|22,742,688.68|
|Including: income form investment on associates and|||
|joint ventures|||
|II. Business profit (“-” means loss)|265,075,525.30|203,304,287.97|
|Add: non-business income|3,734,536.38|7,992,467.00|
|Less: non-business expense|3,191,532.34|4,601,303.60|
|Including: loss from non-current asset disposal|||
|III. Total profit (“-” means loss)|265,618,529.34|206,695,451.37|
|Less: income tax expense|38,492,571.05|31,275,244.26|
|IV. Net profit (“-” means loss)|227,125,958.29|175,420,207.11|
|V. Earnings per share|--|--|
|(I) Basic earnings per share|0.36|0.28|
|(II) Diluted earnings per share|0.36|0.28|
|VI. Other comprehensive income|-51,979.20|-37,984.80|
|VII. Total comprehensive income|227,073,979.09|175,382,222.31|

 Legal representative: Fang Hongbo Person-in-charge of the accounting work: Zhang Zhaofeng
Chief of the accounting division: Zhong Fangliu
5. Consolidated cash flow statement
Prepared by Wuxi Little Swan Company Limited
Unit: RMB Yuan
||||
|-|-|-|
|Item|Jan.-Jun. 2014|Jan.-Jun 2013|
|I. Cash flows from operating activities:|||
|Cash received from sale of commodities and|||
||3,811,640,189.96|3,863,185,024.86|
|rendering of service|||
|Net increase of deposits from customers and dues|||
|from banks|||
|Net increase of loans from the central bank|||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
|Net increase of funds borrowed from other financial|||
|institutions|||
|Cash received from premium of original insurance|||
|contracts|||
|Net cash received from reinsurance business|||
|Net increase of deposits of policy holders and|||
|investment fund|||
|Net increase of disposal of tradable financial assets|||
|Cash received from interest, handling charges and|||
|commissions|||
|Net increase of intra-group borrowings|||
|Net increase of funds in repurchase business|||
|Tax refunds received|3,315,534.83|50,388,592.37|
|Other cash received relating to operating activities|15,703,387.98|18,947,986.23|
|Subtotal of cash inflows from operating activities|3,830,659,112.77|3,932,521,603.46|
|Cash paid for goods and services|1,682,161,655.09|1,835,326,159.78|
|Net increase of customer lendings and advances|||
|Net increase of funds deposited in the central bank|||
|and amount due from banks|||
|Cash for paying claims of the original insurance|||
|contracts|||
|Cash for paying interest, handling charges and|||
|commissions|||
|Cash for paying policy dividends|||
|Cash paid to and for employees|378,843,499.77|309,287,589.09|
|Various taxes paid|332,132,100.43|221,545,520.17|
|Other cash payment relating to operating activities|612,417,421.65|635,240,038.60|
|Subtotal of cash outflows from operating activities|3,005,554,676.94|3,001,399,307.64|
|Net cash flows from operating activities|825,104,435.83|931,122,295.82|
|II. Cash flows from investing activities:|||
|Cash received from withdrawal of investments|4,001,000,000.00|4,832,824,376.42|
|Cash received from return on investments|56,358,222.89|4,704,180.00|
|Net cash received from disposal of fixed assets,|||
||264,120.00|16,794,737.42|
|intangible assets and other long-term assets|||
|Net cash received from disposal of subsidiaries or|||
|other business units|||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
|Other cash received relating to investing|||
|activities|||
|Subtotal of cash inflows from investing|||
||4,057,622,342.89|4,854,323,293.84|
|activities|||
|Cash paid to acquire fixed assets, intangible assets|||
||28,747,550.40|30,407,330.54|
|and other long-term assets|||
|Cash paid for investment|4,163,370,000.00|5,424,060,000.00|
|Net increase of pledged loans|||
|Net cash paid to acquire subsidiaries and other|||
|business units|||
|Other cash payments relating to investing activities|||
|Subtotal of cash outflows from investing activities|4,192,117,550.40|5,454,467,330.54|
|Net cash flows from investing activities|-134,495,207.51|-600,144,036.70|
|III. Cash Flows from Financing Activities:|||
|Cash received from capital contributions|||
|Including: Cash received from minority|||
|shareholder investments by subsidiaries|||
|Cash received from borrowings|50,117,340.00||
|Cash received from issuance of bonds|||
|Other cash received relating to financing activities|||
|Subtotal of cash inflows from financing activities|50,117,340.00||
|Repayment of borrowings|||
|Cash paid for interest expenses and distribution of|||
||184,308,280.03|182,583,655.47|
|dividends or profit|||
|Including: dividends or profit paid by|||
|subsidiaries to minority shareholders|||
|Other cash payments relating to financing|||
|activities|||
|Sub-total of cash outflows from financing activities|184,308,280.03|182,583,655.47|
|Net cash flows from financing activities|-134,190,940.03|-182,583,655.47|
|IV. Effect of foreign exchange rate changes on cash|||
|and cash equivalents|||
|V. Net increase in cash and cash equivalents|556,418,288.29|148,394,603.65|
|Add: Opening balance of cash and cash|||
||1,558,204,866.53|1,293,126,217.00|
|equivalents|||
|VI. Closing balance of cash and cash equivalents|2,114,623,154.82|1,441,520,820.65|

2014 Semi-annual Report of Wuxi Little Swan Company Limited. Legal representative: Fang Hongbo Person-in-charge of the accounting work: Zhang Zhaofeng
Chief of the accounting division: Zhong Fangliu
6. Cash flow statement of the Company
Prepared by Wuxi Little Swan Company Limited
Unit: RMB Yuan
||||
|-|-|-|
|Item|Jan.-Jun. 2014|Jan.-Jun 2013|
|I. Cash flows from operating activities:|||
|Cash received from sale of commodities and|||
||2,579,939,149.03|2,373,009,947.22|
|rendering of service|||
|Tax refunds received||23,034,383.44|
|Other cash received relating to operating activities|9,230,784.56|12,592,559.37|
|Subtotal of cash inflows from operating activities|2,589,169,933.59|2,408,636,890.03|
|Cash paid for goods and services|1,106,675,777.67|1,049,033,086.46|
|Cash paid to and for employees|244,060,695.70|193,294,387.88|
|Various taxes paid|244,269,676.94|166,569,207.35|
|Other cash payment relating to operating activities|443,271,306.57|298,898,195.89|
|Subtotal of cash outflows from operating activities|2,038,277,456.88|1,707,794,877.58|
|Net cash flows from operating activities|550,892,476.71|700,842,012.45|
|II. Cash flows from investing activities:|||
|Cash received from retraction of investments|2,040,000,000.00|2,072,567,723.65|
|Cash received from return on investments|31,967,080.07|3,121,840.00|
|Net cash received from disposal of fixed assets,|||
|||1,722,280.00|
|intangible assets and other long-term assets|||
|Net cash received from disposal of subsidiaries or|||
||38,977.14||
|other business units|||
|Other cash received relating to investing|||
|activities|||
|Subtotal of cash inflows from investing|||
||2,072,006,057.21|2,077,411,843.65|
|activities|||
|Cash paid to acquire fixed assets, intangible assets|||
||13,518,301.57|19,877,046.82|
|and other long-term assets|||
|Cash paid for investment|2,013,000,000.00|2,620,000,000.00|
|Net cash paid to acquire subsidiaries and other|||
|business units|||
|Other cash payments relating to investing activities|||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
|Subtotal of cash outflows from investing activities|2,026,518,301.57|2,639,877,046.82|
|Net cash flows from investing activities|45,487,755.64|-562,465,203.17|
|III. Cash Flows from Financing Activities:|||
|Cash received from capital contributions|||
|Cash received from borrowings|||
|Cash received from issuance of bonds|||
|Other cash received relating to financing activities|||
|Subtotal of cash inflows from financing activities|||
|Repayment of borrowings|||
|Cash paid for interest expenses and distribution of|||
||184,964,713.60|182,583,655.47|
|dividends or profit|||
|Other cash payments relating to financing|||
|activities|||
|Sub-total of cash outflows from financing activities|184,964,713.60|182,583,655.47|
|Net cash flows from financing activities|-184,964,713.60|-182,583,655.47|
|IV. Effect of foreign exchange rate changes on cash|||
|and cash equivalents|||
|V. Net increase in cash and cash equivalents|411,415,518.75|-44,206,846.19|
|Add: Opening balance of cash and cash|||
||882,413,120.18|848,257,647.96|
|equivalents|||
|VI. Closing balance of cash and cash equivalents|1,293,828,638.93|804,050,801.77|

 Legal representative: Fang Hongbo Person-in-charge of the accounting work: Zhang Zhaofeng
Chief of the accounting division: Zhong Fangliu
2014 Semi-annual Report of Wuxi Little Swan Company Limited. 7. Consolidated Statement of Changes inOwners’ Equity
Prepared by Wuxi Little Swan Company Limited
Jan.-Jun. 2014
Unit: RMB Yuan
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||Jan.-Jun. 2014||||||||||
||Equity attributable to owners of the Company||||||||||
|Item|||Less:|||General||||Total owners’|
||Paid-up capital|||Specific|||||Minority interests||
|||Capital reserve|treasury||Surplus reserve|risk|Retained profit|Others||equity|
||(or share capital)|||reserve|||||||
||||stock|||reserve|||||
|I. Balance at the end of the previous|||||||||||
||632,487,764.00|1,129,431,304.91|||290,958,368.49||1,859,579,931.10|-3,559,713.76|625,431,730.92|4,534,329,385.66|
|year|||||||||||
|Add: change of accounting policy|||||||||||
|Correction of errors in previous|||||||||||
|periods|||||||||||
|Other|||||||||||
|II. Balance at the beginning of the year|632,487,764.00|1,129,431,304.91|||290,958,368.49||1,859,579,931.10|-3,559,713.76|625,431,730.92|4,534,329,385.66|
|III. Increase/ decrease in the period (“-”|||||||||||
|||5,321,272.68|||||126,612,202.95|277,987.96|34,441,881.32|166,653,344.91|
|means decrease)|||||||||||
|(I) Net profit|||||||316,358,532.15||34,005,184.87|350,363,717.02|
|(II) Other comprehensive incomes||-51,979.20||||||277,987.96||226,008.76|
|Subtotal of (I) and (II)||-51,979.20|||||316,358,532.13|277,987.96|34,005,184.87|350,589,725.76|
|(III) Capital paid in and reduced by|||||||||||
|||5,373,251.88|||||||436,696.45|5,809,948.33|
|owners|||||||||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||
|-|-|-|-|-|
|1. Capital paid in by owners|||||
|2. Amounts of share-based|||||
||5,373,251.88||436,696.45|5,809,948.33|
|payments recognized in owners’ equity|||||
|3. Others|||||
|(IV) Profit distribution||-189,746,329.20||-189,746,329.20|
|1. Appropriations to surplus|||||
|reserves|||||
|2. Appropriations to general risk|||||
|provisions|||||
|3. Appropriations to owners (or|||||
|||-189,746,329.20||-189,746,329.20|
|shareholders)|||||
|4. Other|||||
|(V) Internal carry-forward of owners’|||||
|equity|||||
|1. New increase of capital (or share|||||
|capital) from capital public reserves|||||
|2. New increase of capital (or share|||||
|capital) from surplus reserves|||||
|3. Surplus reserves for making up|||||
|losses|||||
|4. Other|||||
|(VI) Specific reserve|||||
|1. Withdrawn for the period|||||
|2. Used in the period|||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||||||
|-|-|-|-|-|-|-|-|
|(VII) Other||||||||
|IV. Closing balance|632,487,764.00|1,134,752,577.59|290,958,368.49|1,986,192,134.05|-3,281,725.80|659,873,612.24|4,700,982,730.57|

 Jan.-Jun. 2013
Unit: RMB Yuan
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||Jan.-Jun. 2013||||||||||
||Equity attributable to owners of the Company||||||||||
|Item|||Less:|||General||||Total owners’|
||Paid-up capital|||Specific|||||Minority interests||
|||Capital reserve|treasury||Surplus reserve|risk|Retained profit|Others||equity|
||(or share capital)|||reserve|||||||
||||stock|||reserve|||||
|I. Balance at the end of the previous|||||||||||
||632,487,764.00|1,129,409,313.71|||270,617,248.93||1,656,317,300.32|-2,621,131.09|564,332,580.26|4,250,543,076.13|
|year|||||||||||
|Add: retrospective adjustment due to|||||||||||
|business combination under the same|||||||||||
|control|||||||||||
|Add: change of accounting policy|||||||||||
|Correction of errors in previous|||||||||||
|periods|||||||||||
|Other|||||||||||
|II. Balance at the beginning of the year|632,487,764.00|1,129,409,313.71|||270,617,248.93||1,656,317,300.32|-2,621,131.09|564,332,580.26|4,250,543,076.13|
|III. Increase/ decrease in the period (“-”|||||||||||
|||21,991.20|||20,341,119.56||203,262,630.78|-938,582.67|61,099,150.66|283,786,309.53|
|means decrease)|||||||||||
|(I) Net profit|||||||413,350,079.54||61,407,620.25|474,757,699.79|
|(II) Other comprehensive incomes||21,991.20||||||-938,582.67||-916,591.47|
|Subtotal of (I) and (II)||21,991.20|||||413,350,079.54|-938,582.67|61,407,620.25|473,841,108.32|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||
|-|-|-|-|-|
|(III) Capital paid in and reduced by|||||
||||-308,469.59|-308,469.59|
|owners|||||
|1. Capital paid in by owners|||||
|2. Amounts of share-based|||||
|payments recognized in owners’ equity|||||
|3. Others|||-308,469.59|-308,469.59|
|(IV) Profit distribution|20,341,119.56|-210,087,448.76||-189,746,329.20|
|1. Appropriations to surplus|||||
||20,341,119.56|-20,341,119.56|||
|reserves|||||
|2. New increase of capital (or share|||||
|capital) from surplus reserves|||||
|3. Surplus reserves for making up|||||
|||-189,746,329.20||-189,746,329.20|
|losses|||||
|4. Other|||||
|(V) Internal carry-forward of owners’|||||
|equity|||||
|1. New increase of capital (or share|||||
|capital) from capital public reserves|||||
|2. New increase of capital (or share|||||
|capital) from surplus reserves|||||
|3. Surplus reserves for making up|||||
|losses|||||
|4. Other|||||
|(VI) Specific reserve|||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||||||
|-|-|-|-|-|-|-|-|
|1. Withdrawn for the period||||||||
|2. Used in the period||||||||
|(VII) Other||||||||
|IV. Closing balance|632,487,764.00|1,129,431,304.91|290,958,368.49|1,859,579,931.10|-3,559,713.76|625,431,730.92|4,534,329,385.66|

 Legal representative: Fang Hongbo Person-in-charge of the accounting work: Zhang Zhaofeng Chief of the accounting division: Zhong Fangliu 8. Statement of changes inowners’ equity of the Company
Prepared by Wuxi Little Swan Company Limited
Jan.-Jun. 2014
Unit: RMB Yuan
||||||||||
|-|-|-|-|-|-|-|-|-|
||Jan.-Jun. 2014||||||||
|Item|Paid-up capital (or||Less: treasury|||General risk|||
|||Capital reserve||Specific reserve|Surplus reserve||Retained profit|Total owners’ equity|
||share capital)||stock|||reserve|||
|I. Balance at the end of the previous|||||||||
||632,487,764.00|1,291,483,360.14|||278,308,224.59||1,702,750,823.87|3,905,030,172.60|
|year|||||||||
|Add: change of accounting policy|||||||||
|Correction of errors in previous|||||||||
|periods|||||||||
|Other|||||||||
|II. Balance at the beginning of the year|632,487,764.00|1,291,483,360.14|||278,308,224.59||1,702,750,823.87|3,905,030,172.60|
|III. Increase/ decrease in the period (“-”|||||||||
|||4,286,369.13|||||37,379,629.10|41,665,998.23|
|means decrease)|||||||||
|(I) Net profit|||||||227,125,958.30|227,125,958.30|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||
|-|-|-|-|
|(II) Other comprehensive incomes|-51,979.20||-51,979.20|
|Subtotal of (I) and (II)|-51,979.20|227,125,958.29|227,073,979.09|
|(III) Capital paid in and reduced by||||
||4,338,348.33||4,338,348.33|
|owners||||
|1. Capital paid in by owners||||
|2. Amounts of share-based||||
||4,338,348.33||4,338,348.33|
|payments recognized in owners’ equity||||
|3. Others||||
|(IV) Profit distribution||-189,746,329.20|-189,746,329.20|
|1. Appropriations to surplus||||
|reserves||||
|2. Appropriations to general risk||||
|provisions||||
|3. Appropriations to owners (or||||
|||-189,746,329.20|-189,746,329.20|
|shareholders)||||
|4. Other||||
|(V) Internal carry-forward of owners’||||
|equity||||
|1. New increase of capital (or share||||
|capital) from capital public reserves||||
|2. New increase of capital (or share||||
|capital) from surplus reserves||||
|3. Surplus reserves for making up||||
|losses||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||||
|-|-|-|-|-|-|
|4. Other||||||
|(VI) Specific reserve||||||
|1. Withdrawn for the period||||||
|2. Used in the period||||||
|(VII) Other||||||
|IV. Closing balance|632,487,764.00|1,295,769,729.27|278,308,224.59|1,740,130,452.97|3,946,696,170.83|

 Jan.-Jun. 2013
Unit: RMB Yuan
||||||||||
|-|-|-|-|-|-|-|-|-|
||Jan.-Jun. 2013||||||||
|Item|Paid-up capital (or||Less: treasury|||General risk|||
|||Capital reserve||Specific reserve|Surplus reserve||Retained profit|Total owners’ equity|
||share capital)||stock|||reserve|||
|I. Balance at the end of the previous|||||||||
||632,487,764.00|1,291,461,368.94|||257,967,105.03||1,709,427,076.99|3,891,343,314.96|
|year|||||||||
|Add: change of accounting policy|||||||||
|Correction of errors in previous|||||||||
|periods|||||||||
|Other|||||||||
|II. Balance at the beginning of the year|632,487,764.00|1,291,461,368.94|||257,967,105.03||1,709,427,076.99|3,891,343,314.96|
|III. Increase/ decrease in the period (“-”|||||||||
|||21,991.20|||20,341,119.56||-6,676,253.12|13,686,857.64|
|means decrease)|||||||||
|(I) Net profit|||||||203,411,195.64|203,411,195.64|
|(II) Other comprehensive incomes||21,991.20||||||21,991.20|
|Subtotal of (I) and (II)||21,991.20|||||203,411,195.64|203,433,186.84|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||
|-|-|-|-|
|(III) Capital paid in and reduced by||||
|owners||||
|1. Capital paid in by owners||||
|2. Amounts of share-based||||
|payments recognized in owners’ equity||||
|3. Others||||
|(IV) Profit distribution|20,341,119.56|-210,087,448.76|-189,746,329.20|
|1. Appropriations to surplus||||
||20,341,119.56|-20,341,119.56||
|reserves||||
|2. Appropriations to general risk||||
|provisions||||
|3. Appropriations to owners (or||||
|||-189,746,329.20|-189,746,329.20|
|shareholders)||||
|4. Other||||
|(V) Internal carry-forward of owners’||||
|equity||||
|1. New increase of capital (or share||||
|capital) from capital public reserves||||
|2. New increase of capital (or share||||
|capital) from surplus reserves||||
|3. Surplus reserves for making up||||
|losses||||
|4. Other||||
|(VI) Specific reserve||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||||
|-|-|-|-|-|-|
|1. Withdrawn for the period||||||
|2. Used in the period||||||
|(VII) Other||||||
|IV. Closing balance|632,487,764.00|1,291,483,360.14|278,308,224.59|1,702,750,823.87|3,905,030,172.60|

 Legal representative: Fang Hongbo Person-in-charge of the accounting work: Zhang Zhaofeng Chief of the accounting division: Zhong Fangliu
2014 Semi-annual Report of Wuxi Little Swan Company Limited. (III) Company profile
Wuxi Little Swan Company Ltd. was founded as an oriented-collection company limited with the approval of Su-Ti-Gai-Sheng (1993) No. 253 document from Economic Reform Commission of Jiangsu Province. Then the Company issued 70,000,000 shares of B-share and transformed to astate-collectively–owned enterprise with the approval of (1996) No. 52 document from Jiangsu Province of thePeople’s Republic of China (the “PRC”), Zheng-Wei-Fa (1996) No. 14 document from China Securities Regulatory Commission of the State Council and Shen-Zheng-Ban-Han (1996) No. 4 from Shenzhen Municipal Securities Regulatory Office. And the total raised fund from this issuance of B-share totaled RMB 310 million, and the Company was formally listed in Shenzhen Stock Exchange on Jul. 1996 with the short form of stock as Little Swan B and stock code as 200418.
In Mar. 1997, the Company publicly issued 60,000,000 shares of RMB ordinary share (including 9,000,000 shares of staff-share) by adopting the way of internet pricing with the approval of Zheng-Jian-Fa-Zi (1997) No. 55 from CSRC. And the total raised fund from this issuance of A-share totaled RMB 720.83 million, and the Company was formally listed in Shenzhen Stock Exchange in Mar. 1997 with the short form of stock as Little Swan A and stock code as 000418.
The Company finished the Equity Division Reform Plan on 7 Aug. 2006: theCompany’s A-share holders registered on the changing date of equity ownership gained 2.5 shares of consideration share from un-tradable shareholders with their every ten shares of tradable A-share. All un-tradable shareholders paid for shares consideration of shares totaling 18 million, of which they acquiredshares’ rights for trading.
TheCompany’s resolutions ofShareholders’ General Meeting for Y2007: the newly added registered capital was RMB 182,551,920, adding five shares to every ten shares basing on the total share capital of 365,103,840 shares at the end of 2007, transferring the public reserves to 182,551,920 shares with par value of RMB 1 per share, thus the added share capital totaled RMB 182,551,920. According to the resolutions of the 4th Session of the Sixth Board of Directors and the 1st Provisional Shareholders General Meeting in 2010, having approved by China Securities Regulatory Commission (SFC license[2010] 1577), the company launched directional add-issuance of 84,832,004 A shares to buy69.47% of the shares of Hefei Royalstar Washing Machine Manufacture Co., Ltd from its shareholder Midea Electric Appliances Co., Ltd. Par value per share is RMB 1, and the issue price is RMB8.63 per share. This add-issuance increased the share capital by RMB 84,832,004.
After approved by CSRC through[2013]1014 document, Midea Group had split off as well as consolidated and combined the original controller GD Midea Holding on 18 Sep. 2013. After the consolidation and combination, Midea Group inherited and undertook the whole rights and obligations of the whole assets and liabilities etc of GD Midea Holding as the reminder enterprise and had finished the relevant registration procedures of shares transfer on 31 Dec. 2013.
As of 31 Dec. 2013, registered capital of the company is RMB 632,487,764, among which the restricted exchange-traded A shares are 3,689,890 shares, accounting for0.583% of the whole shares; the unrestricted exchange-traded A shares are 437,762,002 shares, accounting for69.213%; and the unrestricted exchange-traded B shares are 191,035,872 shares, account for30.204% of the whole shares.
Registered Address: No. 18, Changjiang South Road, National High-tech Industrial Development Zone, Wuxi
Office Address: No. 18, Changjiang South Road, Wuxi, Jiangsu Province
Structure of the company: Share-holding Company
The Company belongs to household appliances so the main business scope is as follows: manufacture and sales as well as after-sale service of household appliances, industrial ceramics, environmental dry-cleaning equipment, cleaning mechanical equipment, subsequent finishing equipment and accessory; cleaning service; machinery processing; import and export business of “Little Swan” or agent products and technologies (excluding the products or technology restricted to operate, export or import in China); technical service for household appliances; contracting foreign engineering in international bidding (operate with effective certificate) Parent company: GD MIDEA HOLDING CO.,LTD.
Ultimate controller: Mr. He Xiangjian
The financial statements were approved and authorized for issue by the board of directors on the date of 7 Aug. 2014.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. IV. Main accounting policies, accounting estimates and corrections of prior accounting errors 1. Preparation basis of the financial statements
The company recognizes and measures transactions occurred according to Chinese Accounting Standards– Basic standard and other related accounting standards, prepares the financial statements based on accrual accounting and the underlying assumption of going concern.
2. Statement of compliance with Enterprise accounting standards
The financial statements of the company comply with the requirements of Accounting Standards; the company's financial position, operating results, cash flows and other relevant information are truly and completely disclosed in the financial statements.
3. Accounting period
The company's accounting year is from 1st January to 31st December for each calendar year.
4. Recording currency
The recording currency of the company is Renminbi
5. Accounting processing method of business combination under the same control and not under the same control
(1) The business combinations which are under the same control
The assets and liabilities that the combining party obtains in a business combination shall be measured on the basis of their carrying amount in the combined party on the combining date. As for the balance between the carrying amount of the net assets obtained by the combining party and the carrying amount of the consideration paid by it (or the total par value of the shares issued), the additional paid-in capital shall be adjusted. If the additional paid-in capital is not sufficient to be offset, the retained earnings shall be adjusted. Relevant expenses because of the combination, including audit fee, evaluation fee, legal service charge, etc. shall be reckoned into current profits and losses. But handing charges, commissions from issuing equity securities or bonds because of the Company combination shall be reckon intoshareholder’s equities or initial measurement cost of liabilities,
(2) The business combinations which are not under the same control
The acquirer shall recognize the initial cost of combination under the following principles:
When business combination is achieved through a single exchange transaction, the cost of a business combination is the aggregate of the fair values, at the date of exchange, of assets given, liabilities incurred or assumed, and equity securities issued by the acquirer, in exchange for control of the acquiree; For the business combination involved more than one exchange transaction, the cost of the combination is the aggregate cost of the individual transactions; All direct expenses related to the combination paid by the acquirer, including the auditor fee, evaluation expense, legal service expense, etc will be recorded into the profit and loss of the current period.
The acquirer shall recognize the difference that the combination costs are over the fair value of the identifiable net assets obtained from acquiree as goodwill; if the combination costs are less than the fair value of the identifiable net assets obtained from acquiree, the acquirer shall reexamine the measurement of the fair values of the identifiable assets, liabilities and contingent liabilities obtained from the acquiree as well as the combination costs; and then after the reexamination, the result is still the same, the difference shall be recorded in the profit and loss of the current period.
6. Preparation method of consolidated financial statements
(1) Preparation methods for consolidated financial statements
The combination scope of the consolidated financial statement will be determined on the basis of the actual control.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. The consolidated financial statements will be subject to the No. 33 Enterprise Accounting Standards–Consolidated Financial Statement. In preparing the consolidated financial statements, all key accounts and transactions between the company and subsidiaries, subsidiaries and subsidiaries will be offset. The net assets of merged subsidiaries that are attributable to the minority of shareholder equities will be separately listed in the shareholder equities of consolidated financial statements
In case the accounting policies and accounting periods of subsidiaries differ from those of parent company, the financial statements of subsidiaries will be adjusted.
For those subsidiary acquired not under the same control, the Company has made relevant adjustment in thesubsidiary’ financial statement according to the fair value of identifiable net assets; for those subsidiary acquired under the same control, when preparing the consolidated financial statements, the reporting subject after combination is considered to operate since the ultimate controller carried out control, and adjusted the opening balance of consolidated balance sheet as well as the relevant items in the consolidated statements.
7. Recognition criterion of cash and cash equivalent
For the purposes of the cash flow statement, cash refers to all cash in hand and all deposits which are readily available for payment. Cash equivalents refer to short-term, highly liquid investments that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value.
8. Foreign currency transactions and translations
(1) Foreign currency
All foreign currency transactions during the period have been translated in to RMB at the spot exchange rate issued by ThePeople’s Bank of China on the transaction date. The foreign currency conversions and any transactions involved foreign currency conversions have been translated in to RMB at the actually used exchange rate during the transaction process.
On the balance sheet date, the company treats the foreign currency monetary items and foreign currency non-monetary items according to the following provisions:
The foreign currency monetary assets and liabilities items have been translated at the spot exchange rate issued by ThePeople’s Bank of China on the balance sheet date. The exchange difference arising from the difference between the spot exchange rate on the balance sheet date and the spot exchange rate at the time of initial recognition shall be recorded in the exchange difference in the current period. Of which, the exchange difference arising from those foreign currency borrowings specifically for the construction of fixed assets shall be treated by the principle for capitalization of borrowing cost; and the exchange difference happened during the handling period shall be recorded as handling charges; other cost shall be recorded as current financial expenses.
A foreign currency non-monetary item measured at the historical costs shall still be translated at the spot exchange rate by ThePeople’s Bank of China on the transaction date, of which the amount of functional currency shall not be changed; the foreign currency non-monetary items measured at their fair values have been translated at the spot exchange rate issued by ThePeople’s Bank of China on the recognition date for the fair value, the exchange difference thereupon shall be considered as changes in fair value, and recorded into gains and losses of the current period.
(2) Translation of foreign currency financial statements
The asset and liability items in the balance sheet about the overseas businesses of the company have been translated at the spot exchange rate on the balance sheet date. Among theowner’s equity items, except for the items as “undistributed profits”, other items have been translated at the spot exchange rate at the time when they are incurred. The income and expense items in the profit statement have been translated at an exchange rate which is approximate to the spot exchange rate of the transaction date. The differences arising from the translation of foreign currency financial statements in compliance with the aforesaid items have been presented separately under theowner’s equities of the balance sheets. Foreign currency cash flows and the cash flows of foreign subsidiaries have been translated at an exchange rate which is approximate to the spot exchange rate at the time when the cash flows
2014 Semi-annual Report of Wuxi Little Swan Company Limited. incurred. The differences arising from fluctuations in exchange have been presented separately in the statement of cash flows. 9. Financial instruments
(1) Classification of financial assets
Based on the investment purpose and economic essence, the company classifies the financial assets into the following four categories: transactional financial assets, financial assets available for sale, account receivables and held-to-maturity investments.
The company has divided its financial liabilities into one category measured at fair value with variations accounted into current profit and loss and another category measured at the post-amortization costs.
(2) Recognition basis and measurements for financial instruments
Transactional financial assets are measured at fair value with variations of fair value accounted into current income account; financial assets available for sale are measured at fair value with the variations accounted into shareholders' equity; account receivables and held-to-maturity investments are measured at the post-amortization costs.
(3) Recognition and Accounting Method for Transfer of Financial Assets
The term "transfer of a financial asset" refers to thecompany’s (the transferor's) transferring or delivering a financial asset to a party other than the issuer of the financial asset (the transferee). Transfer of a financial asset could be the whole asset or part of it. It includes the following two cases:
The Company transfers the right to another party for receiving the cash flow of the financial asset; and;
The Company transfers the financial asset to another party, but maintains the right to receive the cash flow of the financial asset and undertakes the obligation to pay the cash flow it receives to the final recipient.
Where the Company has transferred nearly all of the risks and rewards related to the ownership of the financial asset or part of this asset to the transferee, it shall stop recognizing the financial asset or part of this asset. The difference arising from the sum of consideration received from the transfer and the book value of this asset should be accounted into the profit and loss. If it retained nearly all of the risks and rewards related to the ownership of the financial asset, it shall not stop recognizing all or part of the financial asset, and the consideration received shall be recorded as the financial liability.
Where the Company does not transfer or retain nearly all of the risks and rewards related to the ownership of a financial asset, but it does not give up its control over the financial asset, it shall, according to the extent of its continuous involvement in the transferred financial asset, recognize the related financial asset and recognize the relevant liability accordingly.
(4) Recognition Conditions for Termination of Financial Liabilities
Only when the prevailing obligations of a financial liability are relieved in all or in part may the recognition of the financial liability be terminated in all or partly.
(5) Recognition of Financial Assets and Financial Liabilities
In the active market, the quoted prices of the Company for the financial assets it holds or the financial liabilities it plans to assume shall be the present actual offer; where there is no available offer or charge for a financial asset or financial liability, , the enterprise shall adopt the market quoted price of the latest transaction or market quoted price after adjustment in latest transaction to determine the fair value of the said financial asset or financial liability, except for there is clear evidence proving that the said market quoted price is not fair value.
Where there is no active market for a financial instrument, the enterprise concerned shall adopt value appraisal techniques to determine its fair value. The value appraisal techniques mainly include the prices adopted by the parties, who are familiar with the condition, in the latest market transaction upon their own free will, the current fair value obtained by referring to other financial instruments of the same essential nature.
(6) Withdrawal of Impairment Provision for Financial Assets (excluding Accounts Receivable)
The Company shall carry out an inspection, on the balance sheet date, on the carrying amount of the financial assets other than transactional financial assets. Where there is any objective evidence proving that such financial asset has been impaired, an impairment provision shall be made. An impairment test shall be made on the financial assets with significant single amounts. If any
2014 Semi-annual Report of Wuxi Little Swan Company Limited. objective evidence shows that it has been impaired, the impairment-related losses shall be recognized and shall be recorded into the profits and losses of the current period. With regard to the financial assets with insignificant single amounts, an independent impairment test may be carried out, or they may be included in a combination of financial assets with similar credit risk features so as to carry out an impairment-related test.
The expression "objective evidence proving that the financial asset has been impaired" refers to the actually incurred events which, after the financial asset is initially recognized, have an impact on the predicted future cash flow of the said financial asset that can be reliably measured by the enterprise.
The objective evidences that can prove the impairment of a financial asset shall include:
A serious financial difficulty occurs to the issuer or debtor;
The debtor breaches any of the contractual stipulations, for example, fails to pay or delays the payment of interests or the principal, etc.;
The creditor makes any concession to the debtor which is in financial difficulties due to economic or legal factors, etc.
The debtor will probably become bankrupt or carry out other financial reorganizations;
The financial asset can no longer continue to be traded in the active market due to serious financial difficulties of the issuer; It is impossible to identify whether the cash flow of a certain asset within a certain combination of financial assets has decreased or not. But after making an overall appraisal according to the public data available, it is found that the predicted future cash flow of the said combination of financial assets has indeed decreased since it was initially recognized and such decrease can be measured, for example, the ability of the debtor of the said combination of financial assets worsens gradually, the unemployment rate of the country or region where the debtor is situated increases, the prices of the region where the guaranty is situated are obviously dropping, or the industrial sector concerned is in slump, etc.;
Any seriously disadvantageous change has occurred to technical, market, economic or legal environment, etc. wherein the debtor operates its business, which makes the investor of an equity instrument unable to take back its investment;
Where the fair value of the equity instrument investment drops significantly or not contemporarily;
Other objective evidences showing the impairment of the financial asset.
Where a financial asset measured on the basis of post-amortization costs is impaired, the impairment losses shall be the balance between the carrying amount of the said financial asset and the current value of the predicted future cash flow discounted at the original actual rate.
Where any financial asset measured on the basis of post-amortization costs is recognized as having suffered from any impairment loss, if there is any objective evidence proving that the value of the said financial asset has been restored, and it is objectively related to the events that occur after such loss is recognized, the impairment-related losses as originally recognized shall be reversed and be recorded into the profits and losses of the current period. However, the reversed carrying amount shall not be any more than the post-amortization costs of the said financial asset on the day of reverse under the assumption that no provision is made for the impairment.
Where an available-for-sale financial asset is impaired, the accumulative losses arising from the decrease of the fair value of theowner’s equity which was directly included shall be transferred out and recorded into the profits and losses of the current period. 10. Recognition and Withdrawal Method for Bad-debt Provisions for Accounts Receivable
(1) Provisions for Bad-debt Accounts Receivable with a significant single amount
|||
|-|-|
||The accounts receivable whose individual amount accounts for over 10%|
|Definition or amount criteria for an account|(including 10%) of accounts receivable balance at the end of this period or|
|receivable with a significant single amount|amount of the individual account receivable which is greater than RMB 10|
||millions (and including 10 millions); the other receivable whose individual|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||
|-|-|
||amount accounts for over 10% (including 10%) of other receivables balance at|
||the end of this period or amount of the individual other receivable which is|
||greater than RMB 5 millions (and including 5 millions).|
||For the individually significant receivables, the impairment test is carried on|
|Making individual bad-debt provisions for accounts|individually; the Company withdraws provision for impairment loss for the|
|receivable with a significant single amount|amount which is measured as the difference between the asset's carrying|
||amount and the present value of estimated future cash flows.|

(2) Accounts receivable for which bad-debt provisions are made on the group basis
||||
|-|-|-|
|Group name|Withdraw method|Basis for recognition of group|
|||As for account receivables with a significant single amount, together|
|||with single testing account receivables before impairment, shall be|
|Group 1: Aging group|Aging analysis|divided into several groups. Calculation shall be made according to the|
|||balance of the account receivables groups in the period-end to define|
|||impairment loss and withdraw provision for bad debts.|
|Group 2: Accounts receivable within|||
||Other methods|Accounts receivable within the scope of consolidated statements|
|the scope of consolidated statements|||

In the groups, those adopting aging analysis method to withdraw bad debt provision:
√Applicable□Inapplicable
||||
|-|-|-|
|Aging|Provision rate for Accounts Receivable (%)|Provision rate for Other Receivables (%)|
|Within 1 year (including 1 year)|5.00%|5.00%|
|From 1-2 years|10.00%|10.00%|
|From 2-3 years|30.00%|30.00%|
|Over 3 years|50.00%|50.00%|
|Over 5 years|100.00%|100.00%|

 In the groups, those adopting balance percentage method to withdraw bad debt provision:
□Applicable√Inapplicable
In the groups, those adopting other methods to withdraw bad debt provision:
□Applicable√Inapplicable
(3) Accounts receivable with an insignificant single amount but for which the bad debt provision is made independently
|||
|-|-|
||Account receivable with big credit risk because of company liquidation of clients, litigation|
|Reason for bad debt provision|Account receivable with an aging over 3 years (deductive significant single account|
||receivable).|
||The bad-debt provision is recognized impairment loss and made according to the difference|
|Withdrawal method|between the present value of the account’s future cash flows and the account’s carrying|
||amount.|

2014 Semi-annual Report of Wuxi Little Swan Company Limited. 11. Inventory
(1) Category of Inventory
Inventories are those under theCompany’s possession for the purpose of selling, in the process of production, or materials and goods used in production process or providing of services, including raw materials, low-value consumables, and products in process, stock merchandises (finished goods) and consigned goods.
(2) Pricing method for distributed inventories
Method: Weighted average method
Inventories are measured at cost when procured, including purchase cost, processing cost, and other costs. Actual costs are recognized at weight average when delivered.
(3) Recognition basis of net realizable value of inventories and withdrawal method for impairment provision of inventories
On the balance sheet date, inventories are accounted depending on which is lower between the cost and the net realizable value. At overall verification of inventories at the end of year, when the net realizable value is lower than the cost, provisions for impairment of inventories shall be drawn. Provisions for impairment of inventories shall be accounted according to the difference between the cost of individual inventory items and the net realizable value. Including: for inventories such as finished products, goods or materials which will be directly sold, in the normal operation, the realizable net value will be the balance of estimated selling price less sales expenses and relative taxations; For those inventories need further processing, in the normal operation, the realizable net value will be the balance of estimated sales price less costs to make it finished, less estimated sales expenses, and less relative taxation. On the balance sheet date, inventories with contract prices will be determined for realizable value separately from those without contract prices. Where certain items of inventory have similar purposes or end uses and relate to the same product line produced and marketed in the same geographical area, and therefore cannot be practicably evaluated separately from other items in that product line, costs and net realizable values of those items may be determined on an aggregate basis. For large quantity and low value items of inventories, cost and net realizable value are determined based on categories of inventories.
(4) Inventory system of inventories
Inventory system: Perpetual inventory system
The Company uses perpetual inventory system. Inventories are checked periodically and the gains and losses from inventory checking are accounted into current gain/loss account.
(5) Amortization method of low-value consumption goods and packages
Low-value consumption goods
Amortization method: one time method
Packages
Amortization method: one time method
12. Long-term equity investment
(1) Recognition for long-term equity investment
The initial cost of the long-term equity investment formed in the merger of the Company shall be recognized in accordance with the ways of gaining:
① For the merger of enterprises under the same control, it shall, on the date of merger, regard the share of the book value of the owner's equity of the merged enterprise as the initial investment cost of the long-term equity investment; the difference between the acquisition cost and the initial investment cost of the long-term equity investment shall offset against the capital reserve. If the capital reserve is insufficient to dilute, the retained earnings shall be adjusted. Relevant expenses because of the combination, including audit fee, evaluation fee, legal service charge, etc. shall be reckoned into current profits and losses. But handing charges, commissions from issuing equity securities or bonds because of the Company combination shall be reckon intoshareholder’s equities or initial measurement cost of liabilities.
② For the merger of enterprises not under the same control, the initial cost of long-term equity investment is the fair value of assets paid, equity bonds issued, or liabilities undertaken by the Company. The identifiable assets and liabilities undertaken (including contingent liabilities) of merged party shall be measured by the fair value without considering the amount attributable to minority interest. Where the cost of a business combination exceeds theacquirer’s interest in the fair value of theacquiree’s identifiable net
2014 Semi-annual Report of Wuxi Little Swan Company Limited. assets, the difference shall be recognized as goodwill. Where the cost of combination is less than theacquirer’s interest in the fair value of theacquiree’s identifiable net assets, after reassessment, the difference shall be recognized in consolidated income statement. Relevant expenses because of the combination, including audit fee, evaluation fee, legal service charge, etc. shall be reckoned into current profits and losses. But handing charges, commissions from issuing equity securities or bonds because of the Company combination shall be reckon intoshareholder’s equities or initial measurement cost of liabilities.
③ The initial cost of a long-term equity investment obtained by other ways
A. The initial cost of a long-term equity investment obtained on the basis of issuing equity securities shall be the fair value of the equity securities issued.
B. The initial cost of a long-term equity investment of an investor shall be the value stipulated in the investment contract or agreement except the unfair value stipulated in the contract or agreement.
C. Long-term equity investment is acquired by exchange of non-monetary assets, if this transaction has commercial substance, the fair values of these swap-out assets will be deemed as the initial investment cost of swap-in long-term equity investment; if the non-currency asset exchange does not have commercial substance, the carrying amount of these swap-out assets will be deemed as the initial investment cost of swap-in long-term equity investment.
F. The initial cost of a long-term equity investment obtained by recombination of liabilities shall be recognized as the fair value of the long-tern equity investment.
(2) Subsequent measurement and recognition of gains and losses
① Adopting cost method for investment in subsidiaries
The subsidiary is the equity investment held by the Company, on which the Company can carry out control. If the Company holds more than50% equity of an entity, or the Company holds less than50% equity but has actual control on such entity, then the entity can be considered as the subsidiary of the Company.
② Adopting equity method for investment on joint ventures or associated enterprises
Joint venture is the equity investment held by the Company, which can carry out joint control over an invested entity with other joint ventures; associated enterprise is the equity investment held by the Company, which can have significant influence over an invested entity. If the Company held20% to50% equity of an entity, and have not actual control on such entity, or the Company holds less than20% equity of the entity but have not significant influence on such entity, then the entity will be theCompany’s joint venture or associated enterprise.
The investing enterprise shall, on the ground of the fair value of all identifiable assets of the invested entity when it obtains the investment, recognize the attributable shares of the net profits and losses of the invested entity after it adjusts the net profits of the invested entity.
If the accounting policies and accounting periods adopted by the invested entity are different from those adopted by the investing enterprise, an adjustment shall be made to the financial statements of the invested entity in accordance with the accounting policies and accounting periods of the Company and recognize the investment profits or losses.
Where any change is made to the owner's equity other than the net profits and losses of the invested entity, the book value of the long-term equity investment shall be adjusted and be included in the owner's equity.
③ The long-term equity investment existing no control, joint control or significant influence by the Company
The long-term equity investment without quotation in the active market and its fair valuecan’t be reliably measured, which shall be measured by cost method.
The long-term equity investment with quotation in the active market or its fair value can be reliably measured, which is listed under the item of available-for-sale financial assets and measured by fair value, whose change in fair value shall be recorded intoowners’ equity.
(3) Recognition basis of jointly control and significant influence in invested units
Common control to investee is the mutual control of investors over an economic action basing on a contract, only effective when it is agreed by all of the investors who have the share of control on the financial and business control power.
Significant influences to investee mean an entity has the power to participate in the decision making of another, but cannot dominate individually or jointly with other parties.
(4) Impairment test method and withdrawal method for impairment provision
At period-end, if evidence showing that impairment occurred on the long-term equity investment, the recoverable amount shall be estimated. When the recoverable amount of the long-term equity investment is lower than the book value, asset impairment provision should be withdrawn in accordance with the difference between the recoverable amount and the book value is recognized.
As for long-term equity investment without quotation in the active market and its fair valuecan’t be reliably measured, the balance of its carrying amount lower than the current value of the future cash flow of similar financial assets capitalized according to the returns
ratio of the market at the same time shall be recognized as impairment losses and be recorded into the profits and losses of the current
2014 Semi-annual Report of Wuxi Little Swan Company Limited. period. Once impairment loss of the long-term equity investment, excluding available-for-sale financial assets, is recognized, it will not be switched back in following fiscal terms, while the impairment loss of available-for-sale financial assets can be switched back, while the said impairment provision can be written back through equity accounts.
13. Investment real estate
Investment real estate is measured according to the initial cost. Cost of real estate purchased from outside includes purchasing price, tax, and other expenses directly related to the real estate; cost of real estate constructed by the Company itself is constructed by the essential costs to make the real estate usable. Investment properties invested by investors are booked at the value according to the investment contract, whereas when the contract value is not fairly acceptable, it will be booked at the fair value.
The company employs the cost mode to make a follow-up measurement on the investment properties, while employs the straight method to calculate the depreciation and amortization during the estimated useful life. And the house property is depreciated by 20 years (adopt the lower one between the legal useful life and the predicted useful life), while the landed property is amortized by 50 years (legal useful life).
The withdrawal method of the impairment provision for investment properties is in accordance with the relevant withdrawal method of fixed assets.
14. Fixed assets
(1) Recognition of fixed assets
Fixed assets is defined as the tangible assets which are held for the purpose of producing goods, providing services, lease or for operation& management, and have more than one year of service life, whose relevant economic interest is likely to flow into the Company. Except for the fixed assets which is still using after being fully depreciated, the Company withdraws depreciation of all the fixed assets with a method of straight-line depreciation.
(2) Recognition basis and pricing method for fixed assets acquired under finance lease
Where a lease of fixed asset satisfies one or more of the following criteria, it shall be recognized as a finance lease:
① The ownership of the leased asset is transferred to the lessee when the term of lease expires;
② The Company has the option to buy the leased asset at a price which is expected to be far lower than the fair value of the leased asset at the date when the option becomes exercisable. Thus, on the lease beginning date, it can be reasonably determined that the option will be exercised;
③ Even if the ownership of the asset is not transferred, the lease term covers the major part of the use life of the leased asset;④ In the case of the lessee, the present value of the minimum lease payments on the lease beginning date amounts to substantially all of the fair value of the leased asset on the lease beginning date;
⑤ The leased assets are of a specialized nature that only the Company can use them without making major modifications. For the fixed asset leased by financial lease, on the lease beginning date, the Company shall record the lower one of the fair value of the leased asset and the present value of the minimum lease payments on the lease beginning date as the entering value in an account, recognize the amount of the minimum lease payments as the entering value in an account of long-term account payable, and treat the balance between the recorded amount of the leased asset and the long-term account payable as unrecognized financing charges. The initial direct costs such as commissions, attorney's fees and traveling expenses, stamp duties directly attributable to the leased item incurred during the process of lease negotiating and signing the leasing agreement shall be recorded in the asset value of the current period. The unrecognized financing charge shall be amortized to each period during the lease term at the actual rate.
The depreciation method of fixed assets acquired under finance lease is consistent with that for theCompany’s fixed assets. If the Company can reasonably confirm that it will obtain the ownership of leased asset at the end of lease term, the leased asset shall be depreciated during the useful life of the leased asset. If the Company cannot reasonably confirm that it will obtain the ownership of leased asset at the end of lease term, the leased asset shall be depreciated during shorter of the useful life of the leased asset and the lease term.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. (3) Depreciation method of various fixed assets
|||||
|-|-|-|-|
|Categories|Estimated useful life (years)|Residual value (%)|Annual depreciation rate (%)|
||20-35 years|5.00%|2.71-4.75%|
|Houses & buildings||||
|Machineries|10-15 year|5.00%|6.33-9.50%|
|Electronic equipment|3-5 year|5.00%|19%-31.67%|
|Vehicles|5 year|5.00%|19%|

 (4) Impairment test method and withdrawal method for impairment provision of fixed assets
The Company checks the fixed asset at the period end, if it has the following situations, then the Company shall check the recoverable amount to judge whether such asset has been impaired. Where its recoverable amount is lower than its book value, the Company shall, basing on the difference between the recoverable amount and the relevant book value, make the provision for the impairment of the assets. When withdrawing the impairment provision for a single asset, and if it is difficult to do so, it shall determine the recoverable amount of the group assets on the basis of the asset group to which the asset belongs. Once the impairment loss was recognized, it will not be switched back in coming fiscal terms.
① The current market price of assets falls, and its decrease is obviously higher than the expected drop over time or due to the normal use;
② The assets have become obsolete or have been damaged substantially;
③ The expected usage mode of an asset has significant adverse change, such as the asset becomes idle, or the Company plans to discontinue or to reorganize the business of the asset, or dispose of an asset before the previously expected date, etc., which cause adverse impact on the Company;
④ The economic, technological or legal environment in which the enterprise operates, or the market where the assets is situated will have any significant change in the current period or in the near future, which will cause adverse impact on the enterprise;
⑤ The market interest rate or any other market investment return rate at the same period has risen in the current period, and thus the discount rate of the enterprise for calculating the expected future cash flow of the assets will be affected, which will result in great decline of the recoverable amount of the assets;
⑥ Any evidence in the internal report of the enterprise shows that the economic performance of the assets have been or will be lower than the expected performance, for example, the net cash flow created by assets or the operating profit (or loss) realized is lower (higher) than the excepted amount, etc.;
⑦ Other evidence indicates that the impairment of assets has probably occurred.
15. Construction in Progress
(1) Categories of construction in process
Construction in progress is accounted according to projects approval classification and defined project costs in compliance with actual expenses. Self-operating project is calculated according to direct materials, direct wages and direct construction fees, etc; contract project is calculated according to payable project costs; plant engineering is calculated according to the value of the installation equipment, installation fee and project test run. Costs of construction in progress contains borrowing costs which should be capitalized and exchange gains and losses.
(2) Standards and time of transferring construction in process into fixed asset
Construction in progress is transferred to fixed assets by project budget, construction cost or actual project cost when the project is
substantially ready for its intended use, and made provision for depreciation from the next month. Then the Company shall
adjustment on the difference caused by the original value of fixed assets after finishing the final account.
(3) Impairment test method and withdrawal method for impairment provision of construction in process
2014 Semi-annual Report of Wuxi Little Swan Company Limited. At the end of the year, the Company shall assess the overall construction in progress, if there is evidence providing that the value of project was impaired, the Company shall estate the recoverable amount, and make the provision for the impairment loss in accordance with the balance of theproject’s recoverable amount lower than its book value. Once any loss of asset impairment is recognized, it shall not be switched back in the future accounting periods.
16. Borrowing costs
(1) Recognition principles for capitalization of borrowing costs
The borrowing costs shall include interest on borrowings, amortization of discounts or premiums on borrowings, ancillary expenses, and exchange balance on foreign currency borrowings. TheCompany’s borrowing costs, caused by occupying the special borrowings or general borrowings to gain the fixed assets, investment properties, and inventories that need one year or more than oneyear’s acquisition or construction, shall be capitalized, and recorded in the cost of relevant assets. Other borrowing costs shall be recognized as expense upon their occurrence, and recorded into current profits and losses. The relevant borrowing expenses start to be capitalized when all of the followings are satisfied:
1 The capital expenditures have incurred;
2 The borrowing costs have incurred;
3 The acquisition and construction activities that are necessary to bring the asset to its expected usable condition have commenced. (2) Capitalization period of borrowing costs
The borrowing costs caused by acquiring or constructing fixed assets, investment properties and inventories, which meet the above capitalization conditions and happened before the assets reaching expected useful status or available-for-sale status, shall be recorded into costs of assets. Capitalization of borrowing costs shall be suspended during periods in which the acquisition or construction is interrupted abnormally, and the interruption period is three months or longer. These borrowing costs shall be recognized directly in profit or loss during the current period until the acquisition or construction activities resume again; Capitalization of borrowing costs ceases when the qualifying asset being acquired or constructed is substantially ready for its intended use. Subsequent borrowing costs shall be directly recorded into current finance expense upon occurrence.
(3) Period for suspending capitalization of borrowing costs
Provided assets which meet the condition of capitalization in acquisition and construction or manufacture occur abnormal continuous interruption over 3 months, capitalization of borrowing expenses shall be suspended. During the interruption period, borrowing expenses are defined as costs reckoned into current gains and losses until the restart of assets acquisition and construction or manufacture activities. Provided assets which meet the condition of capitalization in acquisition and construction or manufacture and which reach the standard of expected usage stage or salable stage, capitalization of borrowing expenses shall continue.
Assets meet the condition of capitalization in acquisition and construction or manufacture and reach the standard of expected usage stage or salable stage, capitalization of borrowing expenses shall suspended.
(4) Calculation method of capitalized amount of borrowing costs
To the extent that funds are borrowed specifically for the purpose of acquiring& constructing or producing a qualifying asset, the to-be-capitalized amount of interests shall be determined in light of the actual interests incurred of the specially borrowed loan at the present period minus the income of interests earned on the unused borrowing loans as a deposit in the bank or as a temporary investment.
To the extent that funds are borrowed generally and used for the purpose of acquiring& constructing or producing a qualifying asset, the Company shall calculate and determine the to-be-capitalized amount of interest from the general borrowing by multiplying the weighted average asset disbursement of the part of the accumulative asset disbursements minus the general borrowing by the capitalization rate of the general borrowing used. The capitalization rate shall be calculated and determined in light of the weighted average interest rate of the general borrowing.
17. Intangible assets
2014 Semi-annual Report of Wuxi Little Swan Company Limited. (1) Pricing method of intangible assets
The intangible assets refer to the land-use right, patent, non-patent technology and software.
Intangible assets purchased are booked at the actual cost to purchase and relative expenses.
Intangible assets inputted by investors are booked at the contract or agreement price, but if the contract or agreement price is not fairly acceptable, it will be booked at fair value.
Intangible assets is acquired by exchange of non-monetary assets, if this transaction has commercial substance, the fair values of these swap-out assets will be deemed as the initial investment cost of intangible assets; if the non-currency asset exchange does not have commercial substance, the carrying amount of these swap-out assets will be deemed as the initial investment cost of intangible assets.
Intangible asset is acquired by debt reorganization, which shall be recognized by the fair value.
Expenditures for the self-researched and developed intangible asset incurred during its research phase shall be recognized as current profits and losses upon its occurrence. Expenditures incurred during the development phase shall be recognized as an intangible asset if, and only if, the Company can demonstrate all of the following:
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 assets;
③ There is a potential market for the products manufactured by applying the intangible assets or there is a potential market for the intangible assets itself
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;
⑤ The development expenditures of the intangible assets can be reliably measured.
⑥ The use of the intangible products cycle is more than 1 year.
(2) Estimated useful life of intangible assets with limited useful life
||||
|-|-|-|
|Item|Estimated useful life|Basis|
|Land usage right|Beneficial years|Straight-line method|
||Years stimulated in contract or beneficial||
|Non-patented technology||Straight-line method|
||years||

(3) Withdrawal of impairment provision of intangible assets
The Company shall carry out impairment test on intangible assets without certain useful life, such as trade mark, at year-end. And the Company shall estimate its recoverable amount and make the provision for impairment loss of such intangible asset by the balance of the recoverable amount lower than its book value.
The Company shall check the other intangible assets at the year-end, where there is any evidence indicating a possible impairment of assets, the Company shall estimate the recoverable amount, and make provision for impairment losses of such intangible asset in accordance with the balance of the recoverable amount lower than the book value. Once intangible asset impairment losses are recognized, they will not be written back in successive fiscal periods.
① It has been replaced by other new technologies, and significantly decreased its ability to create economic interests for the company;
② The price fell sharply in current period, and is not expected to increase in its remaining amortization period;
③ Over the time limit of legal protection, but still has someuse-value；
Other facts that prove the assets actually impaired.
(4) Criteria of dividing the research phase and development phase of internalR&D project
The term “research” refers to undertaking of collecting relevant materials, conducting market research on the basis of planned
2014 Semi-annual Report of Wuxi Little Swan Company Limited. investigation, which means the research project has received approval from the Board of Directors or relevant management level. The term "development" refers to 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.
(5) Calculation of the expenditures of internalR&D project
Expenditures of internalR&D project in researching stage shall be reckoned into current gains and losses; expenditures of internalR&D project in developing stage which meet the conditions as following are referred to as intangible assets, otherwise it shall be reckoned into current gains and losses:
① Completing the intangible asset in order to enable it to be used or sold or technically feasible;
② Having the intention to complete the intangible asset and use or sale;
③ The way intangible asset producing economic benefit, including providence of making the products produced by the intangible asset or the intangible assets in the market. Intangible asset which is used internally shall be proved its feasibility;
④ having enough support from technology, financial resources and other resources to complete the development of the intangible asset, and enabling to sale or use the intangible asset.
⑤ Expenditures of the intangible asset in developing stage can be definitely calculated.
The expenses which are reckoned into gains and losses in the period-begin are not longer defined as assets. Expenses which are capitalized in developing stage shall be marked in balance sheet as developing expenditure, and transferred into intangible assets when the project reaches the stage of usage.
18. Amortization method of long-term deferred expenses
The Company recognizes all expenses which have occurred during the period but shall be amortized beyond one year (excluding one year), including expenses of molds and technical guide, etc. The Company amortizes long-term deferred expenses using straight-line method according to relevant beneficial periods or its usage life if there are, otherwise, amortizes in five years.
19. Estimated liabilities
(1) Criteria of estimated liabilities
When responsibilities occurred in connection to contingent issues, and all of the following conditions are satisfied, they are recognized as estimated liability in the balance sheet:
① This responsibility is a current responsibility undertaken by the Company;
② Execution of this responsibility may cause financial benefit outflow from the Company;
③ Amount of the liability can be reliably measured.
(2) Measurement of estimated liabilities
Estimated liabilities are initially measured at the best estimation on the expenses to exercise the current responsibility, and with considerations to the relative risks, uncertainty, and periodic value of currency. When the periodic value of currency is with major influence, then the best estimation will be determined at the discount of future cash outflow. The book value of estimated liability is revised on the balance sheet date, and adjustment will be made to reflect current best estimation.
20. Share-based payment and equity instruments
(1) Categories of share-based payment
Share-based payment is divided into payment based on equity and cash.
(2) Recognition method of fair value of equity instruments
As for equity instrument such as option in active market, the Company determines its fair value in accordance to the offer in active market. As for equity instrument such as option in inactive market, the Company determines its fair value by valuation technique, including referring to the prices of the market trade used recently by all parties who know well of the situation and trade by voluntary,
2014 Semi-annual Report of Wuxi Little Swan Company Limited. referring to the recently fair value of other financial instruments which are essentially the same, discount cash flow method and options pricing model etc.
(3) Recognition basis of the best estimate of the vested equity instruments
On every balance sheet date in the waiting period, the company shall reason out the best course to estimate according to the newly information of the vested employee variation and revise the amounts of expected vested equity instruments. On vested days, the amounts of final expected vested equity instruments shall comply with actual vested amounts.
21. Revenue
(1) Criteria for recognition time of revenue from sale of goods
When all of the following conditions are satisfied, the sales of goods are recognized as sales income according to the contract amount received or receivable from the buyer:
① Main risks and rewards attached to the ownership of the goods have been transferred to the buyer;
② No succeeding power of administration or effective control is reserved which are usually attached to ownership;
③ Amount received can be reliably measured;
④ Related financial benefit may inflow to the Company;
⑤ Relative costs, occurred or will occur, can be reliably measured;
⑥ When collection of contract payment is by differed way, and practically with financing characters, sales income shall be recognized at the fair value of the receivable contract amount.
(2) Recognition basis of revenue from transferring use rights of assets
Income is recognized when the financial benefit in connection with the demising of asset using rights was received and the amount can be reliably measured.
(3) Recognition basis of revenue from rendering labor services
Revenue from rendering labor services can be determined only when the general revenues and costs of services can be definitely calculated, economic benefits relating to trading can flow into the Company, the degree of the completion of labor services can be determined.
(4) Recognition basis and method for the schedule of contracted project when recognizing the revenue from providing labor services and construction contract by percentage-of-completion method
Labor services which begin and finish in the same accounting year shall be determined its revenues upon the completion of the services; Labor services which begin and finish not in the same accounting year shall be determined its revenues by percentage-of-completion method if the outcome of services can be reliably valued on the balance sheet date. The Company measures the completion progress (percentage-of-completion) in accordance with the proportion of the costs incurred against the estimated total costs.
22. Government grants
(1) Types
Government grant is monetary assets and non-monetary assets the Company gets from government for free, excluding capital invested by government as owner. Government grants contain subsidiaries relating to assets and revenue.
(2) Accounting policy
Government grants that are obtained by enterprises used for purchase or construction, or forming the long-term assets by other ways belongs to the government subsidies pertinent to assets; government subsides except those pertinent to assets belongs to the government subsidies pertinent to income.
The government subsidies pertinent to assets shall be recognized as deferred income, equally distributed within the useful lives of the relevant assets, and included in the current profits and losses.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. The government subsidies pertinent to incomes shall be treated respectively in accordance with the circumstances as follows:① Those subsidies used for compensating the related future expenses or losses of the Company shall be recognized as deferred income and shall included in the current profits and losses during the period when the relevant expenses are recognized;
② Those subsidies used for compensating the related expenses or losses incurred to the Company shall be directly included in the current profits and losses
Government subsidies should be confirmed and measured according to the actual amount to the account when practically receiving the accounts. Only when there is unambiguous evidence indicates the subsidy is appropriated according to the fixed quota standards and there is unambiguous evidence indicates that it meet with the relevant conditions stipulated by financial support policy and is estimated to receive the financial support funds, could confirm and measure it according to the amounts receivable.
23. Deferred income tax assets and liabilities
(1) Recognition basis of deferred income tax assets
Pursuant to the discrepancies between the book value of assets and liabilities and the tax basis, deferred income tax assets shall be defined by applicable rate during the period of expected withdrawal of the assets or repayment of the liabilities. On the balance sheet date, if enough evidences prove that the taxable income amounts that maybe probably obtained in the future periods may be used to deduct the deductible temporary differences, they will be confirmed as the deferred income tax assets that have not been confirmed in the previous accounting periods. On the balance sheet date, the book value of the deferred income tax assets would be re-checked. If the taxable income amounts that may probably not be obtained in the future periods to deduct benefits of deferred income tax assets, the book value of the deferred income tax assets shall be written down. When it is probable to gain enough taxable income amounts, the write-downs shall be retrieved.
(2) Recognition basis of deferred income tax liabilities
Pursuant to the discrepancies between the book value of assets and liabilities and the tax basis, deferred income tax assets shall be defined by applicable rate during the period of expected withdrawal of the assets or repayment of the liabilities.
24. Hedging accounting
The term " hedging" refers to one or more hedging instruments which are designated by the company for avoiding the risks of foreign exchange, interest rate, commodity price, stock price, credit and etc., and which is expected to make the changes in fair value or cash flow of hedging instrument(s) to offset all or part of the changes in the fair value or cash flow of the hedged item.
The "hedged items" refer to items which make the company faced with changes in fair value or cash flow and are designated as the hedged objectives.
For a hedging which satisfies all the following conditions, the company will deal with it through the hedging accounting method.① At the commencement of the hedging, the company shall specify the hedging relationship formally and prepare a formal written document on the hedging relationship, risk management objectives and the strategies of hedging.
② The hedging expectation is highly efficient and meets the risk management strategy, which is confirmed for the hedging relationship by the company at the very beginning.
③ For a cash flow hedging of forecast transaction, the forecast transaction shall be likely to occur and shall make the company faced to the risk of changes in cash flow, which will ultimately affect the profits and losses.
④ The effectiveness of hedging can be reliably measured.
⑤ The hedging is highly effective in the accounting period in which the hedging relationship is designated.
25. Changes in main accounting policies and estimates
Were the main accounting policies or estimates changed during the reporting period?
√ Yes□ No
The withdrawal proportion of the bad debt provision of thecreditor’s rights receivables and the accounting estimates of the
2014 Semi-annual Report of Wuxi Little Swan Company Limited. depreciation life of the fixed assets changed in the reporting period.
(1) Change of accounting estimates
Were the main accounting estimates changed during the reporting period?
√ Yes□ No
Specific explanation
Unit: RMB Yuan
|||||
|-|-|-|-|
|The content and reasons of the changes of||Name of the|Influenced|
||Approval process|||
|accounting estimates||influenced report item|amount|
|For maintain the consistency between the|According to the relevant regulations of Securities|||
|accounting policy and the accounting|Law, Shenzhen Stock Exchange Listing Rules,|||
|estimates of the controlling shareholders,|Guidance No. 7 on the Information Disclosure|||
|and for strengthen the anti-risk power of the|Work of the Listed Companies of Shenzhen Stock|||
|Company itself, the Company changed the|Exchange—Accounting Policy and Accounting|||
|withdrawal proportion of the bad debt|Estimates Alternation and Articles of|||
|||Income statement||
|provision of the creditor’s rights receivables|Associations, the alternation of the accounting|||
|and the accounting estimates of the|estimates had executed through reviewal and|||
|depreciation life of the fixed assets|approval by the Board of Directors and Board of|||
|according to the relevant regulations of|Supervisors of the Company and the Independent|||
|Accounting Standards for Business|Directors issued independent advice on the|||
|Enterprises.|matter.|||

For the details of the above accounting estimates changes, please refer to the announcement disclosed on www.cninfo.com.cn of the Company on 7 Mar. 2014.
V. Taxation
1. Main taxes and tax rate
||||
|-|-|-|
|Category of taxes|Tax basis|Tax rate|
||Balance of output tax of taxation revenue after||
|VAT||17%|
||deducting input tax.||
|Business tax|Taxation revenue|5%|
|Urban maintenance and construction tax|Payable circulating tax amount|7%|
|Corporate income tax|Payable income tax amount|25% or 15%|
|Education Surcharge|Payable circulating tax amount|5%|
|Flood Control Security Fund|Operating revenue|0.1% or 0.06%|
|Levee fee|Circulating tax amount|2%|

The income tax rates adopted by each subsidiary and branch factory
2. Tax preference and official documents
The Company and its subsidiaries Hefei Media Washing Machine Co., Ltd., Wuxi Little Swan GE Co., Ltd., Wuxi Filin Electronics
2014 Semi-annual Report of Wuxi Little Swan Company Limited. Co., Ltd. and Jingzhou Little Swan Sanjin Electrical Appliances Co., Ltd. got “High Technology Enterprises Certificate” respectively in March 2009, November 2008, March 2009, May 2009 and November 2011 with certificate number respectively GR200932000077, GR200834000011, GR200932000078, GR200932000397 and GR201142000211. The Company and its subsidiaries Hefei Media Washing Machine Co., Ltd., Wuxi Little Swan GE Co., Ltd., Wuxi Filin Electronics Co., Ltd. have expired 3 years and passed the reexamination, obtaining reexamination certificates respectively in June 2012, October 2011, May 2012, August 2012 with certificate number respectively GF201232000096, GF201134000043, GF201232000077, GF201232000673. According to Circular of the State Administration of Taxation on the Issues concerning the Administration of Enterprise Income Tax Deduction and Exemption (Guo-Shui-Fa[2008] No. 111 document) and Circular of the State Administration of Taxation on the Issues concerning Hi-tech Enterprise Paying Corporate Income Tax in 2008 (Guo-Shui-Han[2008] No. 985), the Company and its subsidiary, Hefei Royalstar Water Industry Facilities Co., Ltd., and Wuxi Little Swan GE Co., Ltd. as well as Wuxi Filin Electronics Co., Ltd. were approved to enjoy income tax rate15%. Certificate No. GF201134000043 of Hefei Media Washing Machine Co., Ltd. had expired at the end of Y2013, and had applied for new high-tech enterprise again, which was in the approval procedure. Each index of the Company was met with the application standards, so the income tax expense was still calculated according to15% of the income tax rate.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. VI. Business combination and consolidated financial statements
1. Subsidiaries
(1) Subsidiaries obtained by establishment and investment
Unit: RMB Yuan
|||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|-|
||||||||||||||Balance of parent|
||||||||||||||company’s equity|
||||||||||||||after deducting the|
|||||||||The|The|||||
|||||||Actual amount|Other|||Included in||Deductible|difference that loss|
|||Registered|Business|Registered|Business|||proportion|proportion||Minority|||
|Subsidiaries|Type|||||of investments|essential|||consolidated||minority|of minority interests|
|||place|nature|capital|scope|||of holding|of voting||interest|||
|||||||at the period-end|investment|||statement||interests|exceed equity|
|||||||||shares|rights|||||
||||||||||||||obtained by|
||||||||||||||minority|
||||||||||||||shareholders|
|Wuxi Little Swan|||||Manufacture|||||||||
|General Electric|Holding||Producti||of washing|||||||||
|||Wuxi||28,000,000.00||19,600,000.00||70.00%|70.00%|Yes|43,448,957.00|||
|Appliances Co.,|subsidiaries||on||machine and|||||||||
|Ltd.|||||dryers|||||||||
||||||Manufacture|||||||||
|Wuxi Filin||||||||||||||
||||||of computer|||||||||
||Holding||Producti|USD||||||||||
|Electronics Co.,||Wuxi|||control|25,630,294.47||73.00%|73.00%|Yes|85,356,866.98|||
||subsidiaries||on|3,624,600.00|components|||||||||
|Ltd.|||||for washing|||||||||
||||||machine|||||||||
||||||Manufacture|||||||||
|Wuxi Little Swan|Holding||Producti|||||||||||
|||Wuxi||49,679,500.00|and sale of|37,259,780.00||99.91%|99.91%|Yes|||-38,128,999.72|
|Washing Machine|subsidiaries||on|||||||||||
||||||commercial|||||||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
|Co., Ltd.|||||washing||||||
||||||machine ,||||||
||||||dryers and||||||
||||||spare parts||||||
|Wuxi Meitian|||||||||||
||Holding|||USD|||||||
|Refrigerator||Wuxi|Trading||Sales of|24,840,000.00|75.00%|75.00%|Yes||
||subsidiaries|||4,000,000.00|refrigerator||||||
|Market Co., Ltd.|||||||||||
|Jiangsu Little|||||||||||
||||||Sales of||||||
|Swan Marketing|Holding|||419,500,000.0|||||||
|||Wuxi|Trading||household|417,794,000.00|99.63%|99.63%|Yes|-81,851,346.36|
|and Sales Co.,|subsidiaries|||0|electrical||||||
||||||appliances||||||
|Ltd.|||||||||||
|Wuxi Little Swan|||Import||Import &||||||
||Holding||||export of||||||
|Import & Export||Wuxi|&|65,000,000.00|electric|57,500,000.00|88.46%|88.46%|Yes|-15,266,022.30|
||subsidiaries||||||||||
|Co., Ltd|||Export||machine||||||
||||||products||||||
|Little Swan|||||||||||
||Wholly-own||||||||||
|International|||Investm|USD|||||||
||ed|Singapore|||Investment|34,052,500.00|100.00%|100.00%|Yes||
|(Singapore) Co.,|||ent|5,000,000.00|||||||
||subsidiary||||||||||
|Ltd.|||||||||||

Note: Wuxi Little Swan Washing Machine Co. Ltd. had written off on 15 Jul. 2014.
(2) Subsidiaries obtained by business combination under same control
Unit: RMB Yuan
2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|-|
||||||||||||||Balance of parent|
|||||||||||Included|||company’s equity|
|||||||Actual amount||The|The|in|||after deducting the|
||||||||Other|||||Deductible||
|||Register|Business||Business|of investments||proportion|proportion|consolid|||difference that loss of|
|Subsidiaries|Type|||Registered capital|||essential||||Minority interest|minority||
|||ed place|nature||scope|at the||of holding|of voting|ated|||minority interests|
||||||||investment|||||interests||
|||||||period-end||shares|rights|statemen|||exceed equity|
|||||||||||t|||obtained by minority|
||||||||||||||shareholders|
|Little Swan||||||||||||||
||Wholly-|||||||||||||
|(Jingzhou)|||||Manufacture|||||||||
||owned||Producti|||||||||||
|Electronic||Jingzhou||11,070,200.00|of washing|11,869,400.00||100.00%|100.00%|Yes||||
||subsidiar||on|||||||||||
|Appliances Co.,|||||machines|||||||||
||y|||||||||||||
|Ltd.||||||||||||||
|Hefei Media||||||||||||||
||Holding||Producti|USD|Manufacture|||||||||
|Washing Machine||Hefei|||of washing|830,962,300.00||69.47%|69.47%|Yes|528,933,955.18|||
||subsidiar||on|135,520,000.00||||||||||
|Co., Ltd.|||||machines|||||||||
||ies|||||||||||||
|Hefei Midea||||||||||||||
||Holding||||Manufacture|||||||||
|Washing Machine|||Producti|||||||||||
||subsidiar|Hefei||20,000,000.00|of washing|18,000,000.00||90.00%|90.00%|Yes|2,133,833.08|||
|Manufacture Co.,|||on|||||||||||
||ies||||machines|||||||||
|Ltd.||||||||||||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited. 2. Explanation on changes in consolidated scope
Explanation on changes in consolidated scope:
The subsidiary Tianjin Little Swan Washing Machine Co., Ltd. had been written off on 28 Jan. 2014 and not included in the consolidation scope since the date.
√ Applicable□ Inapplicable
3. Main entities which are newly included into or are not included into consolidation scope during the reporting period
The subsidiaries, special purpose entities and the operation entities which formed the control rights through methods such as entrusted operation or lease etc.
Unit: RMB Yuan
||||
|-|-|-|
|||Net profits from the year-begin to|
|Name|Disposal of the daily net assets||
|||the disposal date|
|Tianjin Little Swan Washing Machine Co., Ltd.|191,467,411.60|-100.00|

 4. Exchange rates of major items in financial statements for foreign entities
The exchange rates of the major items in financial statements for foreign entities included in the consolidation financial statements of the reporting period are: for assets and liabilities, using the spot exchange rate on the balance sheet date with USD 1 dollar at the period-end converted into RMB 6.1528. For the entitlement programs of the owners (except for the retained profits items), using the spot exchange rate when obtained and for the income statement as well as the cash flow statement, using the approximate exchange rate within the year, which means USD 1 dollar is converted to RMB 6.1431.
VII. Notes on major items in consolidated financial statements of the Company
1. Monetary funds
Unit: RMB Yuan
||||||||
|-|-|-|-|-|-|-|
||Closing balance|||Opening balance|||
|Item|Amount in|Exchange||Amount in|Exchange||
||||RMB amount|||RMB amount|
||foreign currency|rate||foreign currency|rate||
|Cash:|--|--|8,158.18|--|--|21,277.15|
|RMB|--|--|8,158.18|--|--|21,277.15|
|Bank deposit:|--|--|2,114,614,996.65|--|--|1,558,183,589.38|
|RMB|--|--|2,062,208,224.21|--|--|1,495,172,481.08|
|USD|8,408,703.00|6.1528|51,737,067.80|10,072,251.52|6.0969|61,409,510.29|
|EUR|79,777.92|8.3946|669,703.73|190,238.29|8.4189|1,601,597.14|
|JPY|15.00|0.060815|0.91|15.00|0.057771|0.87|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||||
|-|-|-|-|-|-|-|
|Other monetary funds:|--|--|50,671,950.96|--|--|59,168,221.97|
|RMB|--|--|46,619,468.31|--|--|56,125,194.49|
|USD|658,640.40|6.1528|4,052,482.65|499,110.61|6.0969|3,043,027.48|
|Total|--|--|2,165,295,105.79|--|--|1,617,373,088.50|

 2. Trading financial assets
(1) Trading financial assets
Unit: RMB Yuan
||||
|-|-|-|
|Item|Closing fair value|Opening fair value|
|Derivative financial assets|1,486,950.00|15,016,740.00|
|Total|1,486,950.00|15,016,740.00|

 3. Notes receivable
(1) Category of notes receivable
Unit: RMB Yuan
||||
|-|-|-|
|Category|Closing balance|Opening balance|
|Bank acceptance bill|2,376,741,559.62|2,449,770,225.41|
|Total|2,376,741,559.62|2,449,770,225.41|

 (2) Notes transferred to accounts receivable because drawer of the notes fails to execute the contract or agreement, and undue notes endorsed to other parties at the end of the period
Undue notes endorsed to other parties by the Company
Unit: RMB Yuan
||||||
|-|-|-|-|-|
|Issuing entity|Date of issuance|Expiring date|Amount|Remark|
|Suning Yunshang Group Co., Ltd. Procurement|||||
||17 Apr. 2014|17 Oct. 2014|10,000,000.00||
|Center|||||
|Suning Yunshang Group Co., Ltd. Procurement|||||
||17 Apr. 2014|17 Oct. 2014|10,000,000.00||
|Center|||||
|Suning Yunshang Group Co., Ltd. Procurement|||||
||17 Apr. 2014|17 Oct. 2014|7,087,627.41||
|Center|||||
|Ningbo Yongning Suning Yunshang Trading Co.,|||||
||17 Jan. 2014|17 Jul. 2014|6,803,424.56||
|Ltd.|||||
|Xiamen Xiangyu Trading Supply Chain Co., Ltd.|26 Feb. 2014|26 Aug. 2014|5,000,770.00||
|Total|--|--|38,891,821.97|--|

 4. Accounts receivable
(1) Accounts receivable listed by categories
Unit: RMB Yuan
||||
|-|-|-|
|Category|Closing balance|Opening balance|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|-|-|
|||Book balance|||Bad debt provision|||Book balance|||Bad debt provision||||
|||Amount|Proportion||Amount|Proportion||Amount|Proportion||Amount||Proportion||
|Accounts receivable for which bad debt provisions are made on the group basis|||||||||||||||
|Group 1: Aging group|869,491,640.31||98.64%|44,133,950.81||5.08%|819,724,441.69|||97.94%||41,980,309.37||5.12%|
|Group 2: Account|||||||||||||||
|receivable within the|||||||||||||||
|scope of consolidated|||||||||||||||
|sheet|||||||||||||||
|Subtotal of group|869,491,640.31||98.64%|44,133,950.81||5.08%|819,724,441.69|||97.94%||41,980,309.37||5.12%|
|Accounts receivable|||||||||||||||
|with insignificant|||||||||||||||
|single amount and|||||||||||||||
||12,011,214.28||1.36%|12,011,214.28||100.00%|17,241,527.92|||2.06%||17,241,527.92||100.00%|
|individually|||||||||||||||
|withdrawn bad debt|||||||||||||||
|provision|||||||||||||||
|Total|881,502,854.59||--|56,145,165.09||--|836,965,969.61|||--||59,221,837.29||--|

 Accounts receivable with significant single amount and individually withdrawn bad debt provision
□Applicable√Inapplicable
In the groups, accounts receivable adopting aging analysis method to withdraw bad debt provision:
√Applicable□Inapplicable
Unit: RMB Yuan
|||||||||||
|-|-|-|-|-|-|-|-|-|-|
||Closing balance||||||Opening balance|||
|Aging|Book balance||||Provision for bad||Book balance||Provision for bad|
||Amount||Proportion||debts||Amount|Proportion|debts|
|Within 1 year||||||||||
|Including:||--||--||--|--|--|--|
|Subtotal of within 1||||||||||
|||865,881,546.48||99.58%||43,294,077.12|813,679,130.91|99.26%|40,683,956.54|
|year||||||||||
|1-2 years||2,851,779.12||0.33%||285,177.91|4,906,952.28|0.60%|490,695.24|
|2-3 years||3,401.36||0.00%||1,020.41|115,910.66|0.01%|23,182.13|
|Over 3 years||402,475.95||0.05%||201,237.97|599,930.94|0.07%|359,958.56|
|Over 5 years||352,437.40||0.04%||352,437.40|422,516.90|0.05%|422,516.90|
|Total||869,491,640.31||--||44,133,950.81|819,724,441.69|--|41,980,309.37|

 In the groups, accounts receivable adopting balance percentage method to withdraw bad debt provision
□Applicable√Inapplicable
In the groups, accounts receivable adopting other methods to withdraw bad debt provision
□Applicable√Inapplicable
Other closing individually insignificant but provisions for bad debts individually accounts receivable:
√Applicable□Inapplicable
2014 Semi-annual Report of Wuxi Little Swan Company Limited. Unit: RMB Yuan
||||||
|-|-|-|-|-|
|||Bad debt|Withdrawal|Reason for|
|Content of accounts receivable|Book balance||||
|||provision|proportion|withdrawal|
|||||Difficult to|
|AVEST|317,931.17|317,931.17|100.00%||
|||||withdraw|
|||||Difficult to|
|CNPEC|853,104.00|853,104.00|100.00%||
|||||withdraw|
|||||Difficult to|
|Chongqing Taizheng (Group) Co., Ltd.|851,500.00|851,500.00|100.00%||
|||||withdraw|
|||||Difficult to|
|Chongqing R&F Property Development Co., Ltd.|1,675,800.00|1,675,800.00|100.00%||
|||||withdraw|
|Chongqing Zhongcheng Property Development Co.,||||Difficult to|
||1,655,000.00|1,655,000.00|100.00%||
|Ltd.||||withdraw|
|61 Households of Hunan Huitang Hot Spring||||Difficult to|
||6,657,879.11|6,657,879.11|100.00%||
|Huatian City Real Estate Co., Ltd. etc||||withdraw|
|Total|12,011,214.28|12,011,214.28|--|--|

 (2) Accounts receivable reversed or collected in the reporting period
Unit: RMB Yuan
||||||
|-|-|-|-|-|
|||Recognition basis|Reversed or collected||
||Reversed or|||Reversed or|
|Content of accounts receivable||of original bad|amount of the accrued||
||collected reason|||collected amount|
|||debt provision|bad debt provision||
|Foshan Shunde Midea Nuantong Equipment Sales|Negotiated|Difficult to|||
||||0.30|0.30|
|Co., Ltd.|collection|withdraw|||
|CNOOC Energy Technology & Services-Catering|Negotiated|Difficult to|||
||||57,662.50|57,662.50|
|& Support Services Co., Ltd.|collection|withdraw|||
||Negotiated|Difficult to|||
|CNPE|||150,500.00|107,500.00|
||collection|withdraw|||
|Chongqing Wanzhou Wanda Hotel Management|Negotiated|Difficult to|||
||||303,092.00|187,569.00|
|Co., Ltd.|collection|withdraw|||
|Hunan Huitang Hot Spring Huatian City Real|Negotiated|Difficult to|||
||||1,272,000.00|260,000.00|
|Estate Co., Ltd.|collection|withdraw|||
||Negotiated|Difficult to|||
|Tangshan Wanda Investment Real Estate Co., Ltd.|||531,488.00|472,116.00|
||collection|withdraw|||
||Negotiated|Difficult to|||
|Hangzhou Xixi Investment Development Co., Ltd.|||745,584.30|521,909.01|
||collection|withdraw|||
||Negotiated|Difficult to|||
|Chongqing Taizheng (Group) Co., Ltd.|||1,851,500.00|1,000,000.00|
||collection|withdraw|||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||
|-|-|-|-|-|
|Headquarters of Hangzhou Xihu Xixi Wetland|Negotiated|Difficult to|||
||||1,427,004.0|0 1,427,004.00|
|Comprehensive Protection Project|collection|withdraw|||
||Negotiated|Difficult to|||
|CNPEC|||2,367,588.0|0 1,514,484.00|
||collection|withdraw|||
|Total|--|--|8,706,419.1|0 --|

 (3) Information of top 5 accounts receivable
Unit: RMB Yuan
||||||
|-|-|-|-|-|
||The relationship||||
|Name of entity|with the|Amount|Aging|Proportion|
||Company||||
|MIDEA ELECTRIC TRADING|||||
||Retailer|289,064,145.28|Within 1 year|32.79%|
|SINGAPORE)CO.PTE.LTD|||||
|Suning Yunshang Group Co., Ltd. Procurement|||||
||Retailer|99,922,892.06|Within 1 year|11.34%|
|Center|||||
|Kunming Midea Refrigeration Product Sales Co.,|||||
||Retailer|24,617,486.49|Within 1 year|2.79%|
|Ltd.|||||
|Jilin Media Refrigeration Product Sales Co., Ltd.|Retailer|24,293,337.75|Within 1 year|2.76%|
|Xi’an Guomei Electrical Appliance Co., Ltd.|Retailer|15,912,699.98|Within 1 year|1.81%|
|Total|--|453,810,561.56|--|51.49%|

 (4) The amounts due from related parties
Unit: RMB Yuan
|||||
|-|-|-|-|
|Name of entity|The relationship with the Company|Amount|Proportion|
|MIDEA ELECTRIC TRADING||||
||Shareholder controlling company|289,064,145.28|32.79%|
|SINGAPORE)CO.PTE.LTD||||
|PT. MIDEA PLANET INDONESIA|Shareholder controlling company|801,605.24|0.09%|
|MIDEA SCOTT&ENGLISH ELECTRONIICS||||
||Shareholder controlling company|7,845,232.18|0.89%|
|SDN.BHD||||
|MIDEA CONSUMER ELECTRIC (VIETNAM)||||
||Shareholder controlling company|844,303.34|0.10%|
|CO.,LTD||||
|Total|--|298,555,286.04|33.87%|

 5. Other accounts receivable
(1) Other accounts receivable disclosed by type:
Unit: RMB Yuan
2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
||Closing balance||||||Opening balance|||||
|||||Provision for doubtfuldebts||||||Provision for doubtful||
|Category|Book balance||||||Book balance|||||
|||||||||||debts||
||Amount|Proportion||Amount|Proportion||Amount|Proportion||Amount|Proportion|
|Other accounts receivable that provisions for bad debts by group||||||||||||
|Group 1: Aging group|29,203,534.86||100.00%|3,645,918.41||12.48%|29,105,439.83||100.00%|2,941,915.70|10.11%|
|Group 2: Other account||||||||||||
|receivable with in the||||||||||||
|scope of consolidated||||||||||||
|sheet||||||||||||
|Subtotal of group|29,203,534.86||100.00%|3,645,918.41||12.48%|29,105,439.83||100.00%|2,941,915.70|10.11%|
|Total|29,203,534.86||--|3,645,918.41||--|29,105,439.83||--|2,941,915.70|--|

 Explanation of the category of other accounts receivable
Other closing accounts receivable that is individually significant and provisions for bad debts individually.
□Applicable√Inapplicable
In the group, other accounts receivable that provision for bad debts by aging analysis:
√Applicable□Inapplicable
Unit: RMB Yuan
||||||||
|-|-|-|-|-|-|-|
||Period-end|||Period-begin|||
|Aging|Book balance||Provision for bad|Book balance||Provision for bad|
||Amount|Proportion|debts|Amount|Proportion|debts|
|Within 1 year|||||||
|Including:|||||||
|Subtotal of within 1 year|11,241,866.26|38.49%|562,093.31|24,970,133.06|85.79%|1,248,506.66|
|1-2 years|14,541,464.65|49.79%|1,454,146.47|1,442,035.00|4.95%|144,203.50|
|2-3 years|762,052.00|2.61%|228,615.60|208,868.00|0.72%|41,773.60|
|Over 3 years|2,514,177.83|8.61%|1,257,088.92|2,442,429.65|8.39%|1,465,457.82|
|Over 5 years|143,974.12|0.49%|143,974.12|41,974.12|0.15%|41,974.12|
|Total|29,203,534.86|--|3,645,918.41|29,105,439.83|--|2,941,915.70|

 In the group, other accounts receivable those provisions for bad debts by balance percentage:
□Applicable√Inapplicable
In the group, other accounts receivable those provisions for bad debts by other methods:
□Applicable√Inapplicable
Other closing individually insignificant but provisions for bad debts individually accounts receivable
□Applicable√Inapplicable
2014 Semi-annual Report of Wuxi Little Swan Company Limited. (2) Information of top five other accounts receivable
Unit: RMB Yuan
||||||
|-|-|-|-|-|
||Relationship with||||
|Name of entity||Amount|Aging|Proportion of the total|
||the Company||||
|MIIT|Government sector|13,138,701.10|Within 2 years|44.99%|
|Wang Ruiqun|Company personnel|2,588,000.00|Within 1 year|8.86%|
|Wuxi China Resources Natural Gas Co., Ltd.|Cooperator|1,212,830.80|Within 1 year|4.15%|
|Fiscal Treasury payment center of Hefei Hi|||||
||Government sector|1,000,000.00|3 to 4 years|3.42%|
|gh-Tech Industry Development Zone|||||
|Zhejiang Tmall Technology Co., Ltd.|Cooperator|924,391.72|Within 1 year|3.17%|
|Total|--|18,863,923.62|--|64.59%|

 6. Prepayment
(1) List by aging analysis:
Unit: RMB Yuan
||||||
|-|-|-|-|-|
||Closing balance||Opening balance||
|Aging|||||
||Amount|Proportion|Amount|Proportion|
|Within 1 year|159,627,528.25|97.83%|130,792,399.39|92.86%|
|1 to 2 years|2,978,949.72|1.83%|5,434,937.53|3.86%|
|2 to 3 years|563,642.94|0.35%|4,614,587.14|3.28%|
|Total|163,170,120.91|--|140,841,924.06|--|

 (2) Information of the top 5 prepayment
Unit: RMB Yuan
||||||
|-|-|-|-|-|
||Relationship||||
|||||Reason for|
|Name of entity|with the|Amount|Aging||
|||||unsettled|
||Company||||
|Yanshan Operating Dept. of Sinopec Chemical Sales||||Advance material|
||Supplier|57,792,070.00|Within 1 year||
|Company Limited||||payment|
|East China Chemical Sales of PetroChina Company||||Advance material|
||Supplier|28,528,050.00|Within 1 year||
|Limited||||payment|
|||||Advance material|
|Ningbo Midea Joint Supplies Co., Ltd.|Supplier|15,845,206.76|Within 1 year||
|||||payment|
|Shanghai Shabo Basis Trade & Commerce Co., Ltd.|Supplier|11,325,600.00|Within 1 year|Advance material|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||
|-|-|-|-|-|
|||||payment|
|||||Advance electric|
|Anhui Power Company Hefei Power Supply Company|Supplier|6,580,086.42|Within 1 year||
|||||charge|
|Total|--|120,071,013.18|--|--|

 7. Inventory
(1) Category
Unit: RMB Yuan
||||||||
|-|-|-|-|-|-|-|
||Closing balance|||Opening balance|||
|Item||Impairment of|||Impairment of||
||Book balance||Book value|Book balance||Book value|
|||inventories|||inventories||
|Raw materials|43,663,080.32|1,464,472.25|42,198,608.07|43,399,847.13|3,610,554.47|39,789,292.66|
|Construction|||||||
||15,007,996.51||15,007,996.51|10,469,267.54||10,469,267.54|
|contract assets|||||||
|Inventory goods|561,274,873.94|37,217,367.34|524,057,506.60|785,045,416.69|37,162,138.31|747,883,278.38|
|Total|619,945,950.77|38,681,839.59|581,264,111.18|838,914,531.36|40,772,692.78|798,141,838.58|

 (2) Impairment of inventories
Unit: RMB Yuan
|||||||
|-|-|-|-|-|-|
||||Decrease|||
|Category|Opening balance|Increase|||Closing balance|
||||Reversal|Written off||
|Raw materials|3,610,554.47|||2,146,082.22|1,464,472.25|
|Inventory goods|37,162,138.31|55,229.03|||37,217,367.34|
|Total|40,772,692.78|55,229.03||2,146,082.22|38,681,839.59|

 8. Other current assets
Unit: RMB Yuan
||||
|-|-|-|
|Item|Closing balance|Opening balance|
|Bank financing|1,942,370,000.00|1,780,000,000.00|
|Deferred expense-module|17,257,280.92|11,288,539.62|
|Total|1,959,627,280.92|1,791,288,539.62|

2014 Semi-annual Report of Wuxi Little Swan Company Limited. 9. Available-for-sale financial assets
(1) Information of available-for-sale financial assets
Unit: RMB Yuan
||||
|-|-|-|
|Item|Closing fair value|Opening fair value|
|Available-for-sale equity instruments|251,664.00|312,816.00|
|Total|251,664.00|312,816.00|

 In the reporting period, the Company reclassified the held-to-maturity investment into available-for-sale financial assets, a total of RMB0.00 was reclassified, which takes0% of total matured investment before reclassification.
10. Investment to joint ventures and associated enterprises
Unit: RMB Yuan
|||||||||
|-|-|-|-|-|-|-|-|
||Percentage|Voting||||Total||
||||||||Net profit|
||of holding|percentage||||operation||
||||Total closing|Total closing|Net closing||of the|
|Name of investee|shares of|of the||||revenue of the||
||||assets|liabilities|assets||reporting|
||the|Company in||||reporting||
||||||||period|
||Company|investee||||period||
|I. Joint ventures||||||||
|II. Associated enterprises||||||||
|Guangzhou Attend Logistics||||||||
||20.00%|20.00%|20,208,753.70|4,263,771.47|15,944,982.23|8,833,062.79|98,901.84|
|Co., Ltd.||||||||

11. Long-term equity investment
(1) List of long-term equity investment
Unit: RMB Yuan
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
|||||||||||With||
|||||||||||draw||
|||||||||Explanation||||
|||||||||||n||
|||||||||for||||
|||||||||||impa|Cash|
|||||||||indifference||||
|||||||Share||||irme|bonus|
||||||||Voting|s between|Impair|||
||Accoun|Initial||||holding||||nt|in the|
||||Opening|Increase/d|||percenta|the share|ment|||
|Investee|ting|investment|||Closing balance|percenta||||prov|report|
||||balance|ecrease|||ge in|holding|provisi|||
||method|cost||||ge in||||ision|ing|
||||||||investee|percentage|on|||
|||||||investee||||in|perio|
|||||||||and voting||||
|||||||||||the|d|
|||||||||percentage||||
|||||||||||repo||
|||||||||in investee||||
|||||||||||rting||
|||||||||||peri||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||||||||
|-|-|-|-|-|-|-|-|-|-|
||||||||||od|
|Guangzh||||||||||
|ou Attend|Equity|||||||||
|||2,000,000.00|3,169,148.88|19,847.57|3,1-188,996.45|20.00%|20.00%|||
|Logistics|method|||||||||
|Co., Ltd.||||||||||
|Suzhou||||||||||
|People's|Cost|||||||||
|||150,000.00|150,000.00||150,000.00|||||
|Shopping|method|||||||||
|Mall||||||||||
|Bank of||||||||||
||Cost|||||||||
|Jiangsu||1,100,000.00|1,210,000.00||1,210,000.00|||||
||method|||||||||
|Co., Ltd.||||||||||
|Inner||||||||||
|Mongolia||||||||||
|Baotou|Cost|||||||||
|||50,000.00|50,000.00||50,000.00|||||
|Departme|method|||||||||
|nt Store||||||||||
|Co., Ltd.||||||||||
|Total|--|3,300,000.00|4,579,148.88|19,847.57|4,598,996.45|--|--|--||

12. Investment property
(1) Investment property calculated by cost
Unit: RMB Yuan
||||||
|-|-|-|-|-|
||||Decrease in this||
|Item|Opening book value|Increase in this period||Closing book value|
||||period||
|I. Total of original book value|30,936,720.15|||30,936,720.15|
|1. Property and building|25,586,926.80|||25,586,926.80|
|2. Land using right|5,349,793.35|||5,349,793.35|
|II. Total of accumulated depreciation|||||
||8,893,877.76|505,145.66||9,399,023.42|
|and amortization|||||
|1. Property and building|7,003,618.26|451,647.75||7,455,266.01|
|2. Land using right|1,890,259.50|53,497.91||1,943,757.41|
|III. Total of the net book value of the|||||
||22,042,842.39|-505,145.66||21,537,696.73|
|investment real estate|||||
|1. Property and building|18,583,308.54|-451,647.75||18,131,660.79|
|2. Land using right|3,459,533.85|-53,497.91||3,406,035.94|
|IV. Total of accruing amount of the|||||
||12,576,065.29|||12,576,065.29|
|investment real estate impairment|||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||
|-|-|-|-|
|provision||||
|1. Property and building|12,576,065.29||12,576,065.29|
|IV. Total of book value of real estate||||
||9,466,777.10|-505,145.66|8,961,631.44|
|investment||||
|1. Property and building|6,007,243.25|-451,647.75|5,555,595.50|
|2. Land using right|3,459,533.85|-53,497.91|3,406,035.94|

 13. Fixed assets
(1) Fixed assets
Unit: RMB Yuan
|||||||
|-|-|-|-|-|-|
||Opening book|||Decrease in the|Closing book|
|Item||Increase in the reporting period||||
||balance|||reporting period|balance|
|I. Total original book value|1,741,335,928.35|22,886,697.42||27,239,278.42|1,736,983,347.35|
|Including: Property and||||||
||815,100,557.69|1,932,811.43||723,116.23|816,310,252.89|
|building||||||
|Machineries|804,141,462.70|14,286,868.02||19,506,735.88|798,921,594.84|
|Vehicles|26,559,949.77|1,132,307.72||1,585,949.92|26,106,307.57|
|Electronic equipments and||||||
||95,533,958.19|5,534,710.25||5,423,476.39|95,645,192.05|
|other||||||
|||Increase in|Withdrawal in|||
|--|Opening book|||Decrease in the|Closing book|
||balance|reporting period|reporting period|reporting period|balance|
|II. Accumulated||||||
||537,806,930.26||66,946,085.42|19,619,298.91|585,133,716.77|
|depreciation||||||
|Including: Property and||||||
||140,533,670.34||17,598,916.42|93,767.10|158,038,819.66|
|building||||||
|Machineries|315,766,343.75||35,378,377.19|13,481,424.63|337,663,296.31|
|Vehicles|14,408,730.42||4,900,144.71|1,150,943.83|18,157,931.30|
|Electronic equipments and||||||
||67,098,185.75||9,068,647.10|4,893,163.35|71,273,669.50|
|other||||||
||Opening book||||Closing book|
|--||--||||
||balance||||balance|
|III. The net book value of||||||
||1,203,528,998.09|--|||1,151,849,630.58|
|fixed assets||||||
|Including: Property and||||||
||674,566,887.35|--|||658,271,433.23|
|building||||||
|Machineries|488,375,118.95|--|||461,258,298.53|
|Vehicles|12,151,219.35|--|||7,948,376.27|
|Other equipment|28,435,772.44|--|||24,371,522.55|
|IV. Total impairment|9,284,711.23|--|||20,498,454.29|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||
|-|-|-|-|
|provision||||
|Including: Property and||||
||4,550,556.97|--|3,906,896.14|
|building||||
|Machineries|4,074,257.81|--|16,094,122.63|
|Vehicles|271,413.75|--|138,534.16|
|Electronic equipments and||||
||388,482.70|--|358,901.36|
|other||||
|V. Total book value of fixed|1,194,244,286.86|--|1,131,351,176.29|
|assets||||
|Including: Property and||||
||670,016,330.38|--|654,364,537.09|
|building||||
|Machineries|484,300,861.14|--|445,164,175.90|
|Vehicles|11,879,805.60|--|7,809,842.11|
|Electronic equipments and||||
||28,047,289.74|--|24,012,621.19|
|other||||

Depreciation amount of this reporting period was RMB 66,946,085.42; original value of RMB 0.000 was transferred into fixed assets from construction project.
14. Construction in progress
(1) Construction in progress
Unit: RMB Yuan
||||||||
|-|-|-|-|-|-|-|
||Closing balance|||Opening balance|||
|Item||Impairment||Book|Impairment||
||Book balance||Book value|||Book value|
|||provision||balance|provision||
|T1451633001 drum SCOTT line overhaul|||||||
||2,184,273.62||2,184,273.62||||
|under constructionT1451633001|||||||
|Injection molding machine overhaul|773,638.20||773,638.20||||
|Total|2,957,911.82||2,957,911.82||||

15. Intangible assets
(1) Intangible assets
Unit: RMB Yuan
||||||
|-|-|-|-|-|
|||Increase in the reporting|Decrease in the||
|Item|Opening balance|||Closing balance|
|||period|reporting period||
|I. Total original book value|258,801,275.07|168,420.00||258,969,695.07|
|Land use right|254,629,820.51|||254,629,820.51|
|Non-patent technology|1,992,000.00|||1,992,000.00|
|Software, etc.|2,179,454.56|168,420.00||2,347,874.56|
|II. Accumulative|39,355,742.20||||
|||2,893,989.24||42,249,731.44|
|amortization|||||
|Land use right|35,908,646.36|2,739,231.85||38,647,878.21|
|Non-patent technology|1,992,000.00|||1,992,000.00|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||
|-|-|-|-|
|Software, etc.|1,455,095.84|154,757.39|1,609,853.23|
|III. Total net book value of||||
||219,445,532.87|-2,725,569.24|216,719,963.63|
|intangible assets||||
|Land use right|218,721,174.15|-2,739,231.85|215,981,942.30|
|Non-patent technology||||
|Software, etc.|724,358.72|13,662.61|738,021.33|
|Land use right||||
|Non-patent technology||||
|Software, etc.||||
|Total book value of|219,445,532.87||216,719,963.63|
|||-2,725,569.24||
|intangible assets||||
|Land use right|218,721,174.15|-2,739,231.85|215,981,942.30|
|Non-patent technology||||
|Software, etc.|724,358.72|13,662.61|738,021.33|

 Amortization was of RMB2,893,989.24 in the reporting period.
16. Long-term amortization expense
Unit: RMB Yuan
||||||||
|-|-|-|-|-|-|-|
||||Amortizationbalance|||Reason for other|
|Item|Opening balance|Increase||Other decrease|Closing balance||
|||||||decrease|
|Module|4,796,970.60|2,399,857.56|5,156,395.93||2,040,432.23||
|IT consultant|||||||
||2,048,522.86|470,000.00|1,168,024.44||1,350,498.42||
|expense|||||||
|Improvement of|||||||
||302,342.28||226,756.68||75,585.60||
|lease expense|||||||
|Total|7,147,835.74|2,869,857.56|6,551,177.05||3,466,516.25|--|

 17. Deferred tax assets and liabilities
(1) Deferred tax assets and liabilities are not listed as the net value after offset
Confirmed deferred tax assets and liabilities
Unit: RMB Yuan
||||
|-|-|-|
|Item|Closing amount|Opening amount|
|Deferred income tax assets:|||
|Provision for assets impairment|16,084,674.12|16,382,981.18|
|Remuneration and dismiss expense|5,234,689.32|5,760,927.08|
|Withdrawal expense|189,652,304.86|135,295,945.42|
|Internal unrealized profit|5,694,551.24|10,451,805.07|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
|Estimated liabilities|1,524,367.93|1,696,578.54|
|Deferred income (government subsidy)|77,550.00|85,290.00|
|Investment differences|1,317,443.38|1,317,443.38|
|Subtotal|219,585,580.85|170,990,970.67|
|Deferred income tax liabilities:|||
|Estimated value of trading financial instruments,|||
||223,042.50|2,252,511.00|
|derivative financial instruments|||
|Fair value changes on available-for-sale financial|||
||22,704.60|31,877.40|
|assets that recognized into capital reserves|||
|Subtotal|245,747.10|2,284,388.40|

 Lists of deferred tax assets and liabilities unrecognized
Unit: RMB Yuan
||||
|-|-|-|
|Item|Closing amount|Opening amount|
|Deductible temporary differences|29,467,415.77|15,798,136.82|
|Deductible losses|27,511,181.44|75,366,221.20|
|Total|56,978,597.21|91,164,358.02|

 Notes of taxable differences and deductible differences between projects
Unit: RMB Yuan
||||
|-|-|-|
||Amount||
|Item|||
||Closing|Opening|
|Item of taxable differences|||
|Changes in the fair value -Tradable financial assets|1,486,950.00|15,016,740.00|
|Changes in the fair value - Available-for-sale|||
||151,364.00|212,516.00|
|financial assets|||
|Subtotal|1,638,314.00|15,229,256.00|
|Item of deductible differences|||
|Preparation for the impairment of assets|107,231,160.84|109,219,874.55|
|Payment and dismissal costs|34,897,928.81|38,406,180.54|
|Accrued expenses|1,264,348,699.05|901,972,969.48|
|Internal unrealized profits|37,963,674.94|69,678,700.46|
|Anticipation liabilities|10,162,452.89|11,310,523.59|
|Deferred income (government subsidies)|517,000.00|568,600.00|
|Investment differences|8,782,955.88|8,782,955.88|
|Subtotal|1,463,903,872.41|1,139,939,804.50|

2014 Semi-annual Report of Wuxi Little Swan Company Limited. 18. Notes of preparation for the impairment of assets
Unit: RMB Yuan
|||||||
|-|-|-|-|-|-|
||Book value at the||Decrease in the period|||
|||Increase in the|||Book value at the|
|Item|opening of the|||||
|||period|Reversal|Written off|end of the period|
||period|||||
|1. Provision for bad debts|62,163,752.99|10,433,166.25|12,805,835.75||59,791,083.49|
|2. Inventory falling price re|40,772,692.78|55,229.03||2,146,082.22|38,681,839.59|
|serves||||||
|3. The investment real estate|12,576,065.29||||12,576,065.29|
|impairment provision||||||
|4. Fixed assets impairment|9,284,711.23||||20,498,454.29|
|||13,737,437.77||2,523,694.71||
|provision||||||
|Total|124,797,222.29|24,225,833.05|12,805,835.75|4,669,776.93|131,547,442.66|

 19. Short-term borrowing
(1) The classification of short-term borrowing
Unit: RMB Yuan
||||
|-|-|-|
|Item|Closing amount|Opening amount|
|Debt of honor|50,117,340.00||
|Total|50,117,340.00||

20. Notes payable
Unit: RMB Yuan
||||
|-|-|-|
|Category|Closing amount|Opening amount|
|Bank acceptance|868,240,658.99|385,673,110.34|
|Total|868,240,658.99|385,673,110.34|

 The amount due of next accounting period is RMB 868,240,658.99.
21. Accounts payable
(1) Accounts payable
Unit: RMB Yuan
||||
|-|-|-|
|Item|Closing amount|Opening amount|
|Within 1 year|3,050,363,216.49|2,670,837,986.87|
|1 to 2 years|26,290,927.95|45,299,711.81|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
|2 to 3 years|30,869,764.59|22,284,494.89|
|3 to 5 years|36,180,695.40|17,047,547.93|
|Over 5 years|13,668,783.78|12,576,353.96|
|Total|3,157,373,388.21|2,768,046,095.46|

 22. Deposit received
(1) Deposit received
Unit: RMB Yuan
||||
|-|-|-|
|Item|Closing amount|Opening amount|
|Within 1 year|389,903,766.85|980,920,518.26|
|1 to 2 years|16,578,457.31|44,922,372.19|
|2 to 3 years|7,095,067.96|5,916,412.68|
|3 to 5 years|13,242,062.59|8,434,917.26|
|Over 5 years|12,716,564.71|17,758,377.13|
|Total|439,535,919.42|1,057,952,597.52|

 23. Payroll payable
Unit: RMB Yuan
||||||
|-|-|-|-|-|
||Book value at the opening|||Book value at the end of|
|Item||Increase in the period|Decrease in the period||
||of the period|||the period|
|I. Salary, bonus,|||||
||137,431,309.36|246,418,485.31|282,972,639.93|100,877,154.74|
|allowance, subsidy|||||
|II. Employee welfare|8,043,769.84|14,146,210.98|17,516,916.03|4,673,064.79|
|III. Social insurance|7,670,870.72|52,670,189.60|47,614,618.85|12,726,441.47|
|IV. Housing fund|6,451,718.24|11,156,760.07|11,209,397.25|6,399,081.06|
|V. Redemption for|||||
|terminations of labor|43,366,596.83|8,370,442.31|14,535,249.04|37,201,790.10|
|contract|||||
|VI. Others|4,359,354.93|3,928,892.46|4,994,678.67|3,293,568.72|
|Total|207,323,619.92|336,690,980.73|378,843,499.77|165,171,100.88|

 RMB 0.00 is the amounts in arrears in the payroll payable.
The labor union budget and employee education budget is RMB 3,293,568.72, and the non-monetary benefits are RMB0.00, as well as the compensation for terminating the labor contract is RMB 37,201,790.10.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. 24. Taxes payable
Unit: RMB Yuan
||||
|-|-|-|
|Item|Closing amount|Opening amount|
|Value-added tax|23,794,975.52|26,109,122.01|
|Consumption tax|360,000.00|360,000.00|
|Business tax|190,476,604.21|137,640,615.34|
|Corporate income tax|1,916,633.99|649,936.36|
|Personal income tax|2,459,493.70|6,945,372.39|
|Urban maintenance and construction tax|3,356,209.46|3,807,332.62|
|Property tax|1,681,437.66|3,105,747.40|
|Land use tax|494,204.11|599,259.73|
|Stamp tax|2,124,202.04|4,986,066.76|
|Education surtax|12,314,603.00|11,974,697.00|
|Other|7,042,346.52|3,025,706.95|
|Total|246,020,710.21|199,203,856.56|

 25. Dividends payable
Unit: RMB Yuan
|||||
|-|-|-|-|
||||Reason of unpaid over one|
|Name of entity|Closing amount|Opening amount||
||||year|
|Other restricted legal person||||
||4,088,128.36|3,740,152.33|Did not cash|
|shareholder||||
|Total|4,088,128.36|3,740,152.33|--|

26. Other accounts payable
(1) Other accounts payable
Unit: RMB Yuan
||||
|-|-|-|
|Item|Closing amount|Opening amount|
|Within 1 year|24,913,188.78|34,703,583.02|
|1 to 2 years|6,370,703.99|4,046,107.47|
|2 to 3 years|3,022,338.47|2,886,513.66|
|3 to 5 years|5,138,486.28|7,209,641.43|
|Over 5 years|710,023.65|1,175,248.08|
|Total|40,154,741.17|50,021,093.66|

2014 Semi-annual Report of Wuxi Little Swan Company Limited. 27. Estimated liabilities
Unit: RMB Yuan
||||||
|-|-|-|-|-|
|Item|Opening amount|Increase in the period|Decrease in the period|Closing amount|
|Product quality assurance|11,310,523.59||1,148,070.70|10,162,452.89|
|Total|11,310,523.59||1,148,070.70|10,162,452.89|

 Notes:
The washing machines produced by subsidiary of the company, Wuxi Little Swan General Electric Co., Ltd., are mainly sold to the United States and other foreign markets. Overseas sale of these washing machines involves the two kinds of risks:1) The insurance company may only afford an insufficient compensation when the quality problems take place, and 2) there is a risk of liability for damages when the failure rate is higher than FCR stipulated in the contract with General Electric Company. As of 30 Jun. 2014, the company has a risk loss of RMB 10,162,500 for the sold products.
28. Account payable special funds
Unit: RMB Yuan
|||||||
|-|-|-|-|-|-|
|||Increase in the|Decrease in the|||
|Item|Opening amount|||Closing amount|Notes|
|||period|period|||
|Relocation compensation|2,073,957.30|1,710,000.00||3,783,957.30||
|Total|2,073,957.30|1,710,000.00||3,783,957.30|--|

Notes:
The account payable special funds at the end of the period owns to the needs of urban planning. Wuxi New DistrictXin’an Street Relocation Office had replaced land with theCompany’s holding subsidiary, Wuxi Feiling Electronics Co., Ltd., and at the same time made up for the original buildings on the land.
29. Other non-current liabilities
Unit: RMB Yuan
||||
|-|-|-|
|Item|Book value at the end of the period|Book value at the opening of the period|
|Deferred income|517,000.00|568,600.00|
|Total|517,000.00|568,600.00|

 Liabilities project involving government subsidies
Unit: RMB Yuan
||||||||
|-|-|-|-|-|-|-|
|||Subsidies newly|Non-operating|||Related to|
||||||Closing||
|Item|Opening balance|increased in this|income recorded|Other changes||assets/related to|
||||||balance||
|||period|in this period|||income|
|Subsidies of|||||||
|substation|277,400.00||25,200.00||252,200.00|Related to assets|
|reformation|||||||
|Special guide|||||||
|subsidies of modern|||||||
||291,200.00||26,400.00||264,800.00|Related to assets|
|service industry|||||||
|development|||||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||
|-|-|-|-|-|
|Total|568,600.00|51,600.00|517,000.00|--|

30. Share capital
Unit: RMB Yuan
|||||||||
|-|-|-|-|-|-|-|-|
|||Increase/Decrease (+/-)||||||
||Opening|||Capitalization|||Closing|
|||Issuing new||||||
||amount||Bonus shares|of public|Other|Subtotal|amount|
|||shares||||||
|||||reserves||||
|Total shares|632,487,764.00||||||632,487,764.00|

 31. Capital reserves
Unit: RMB Yuan
||||||
|-|-|-|-|-|
|Item|Opening amount|Increase in the period|Decrease in the period|Closing amount|
|Capital premium (share|||||
||1,055,182,718.57|||1,055,182,718.57|
|capital premium)|||||
|Other capital reserve|39,179,385.00|||39,179,385.00|
|Gains and losses from fair value|||||
||180,638.60||51,979.20|128,659.40|
|changes|||||
|Equity investment preparation|1,638,562.74|||1,638,562.74|
|Share-based payment|33,250,000.00|5,373,251.88||38,623,251.88|
|Total|1,129,431,304.91|5,373,251.88|51,979.20|1,134,752,577.59|

 Notes:
The amount increased in this period is RMB 5,373,251.88, which is the MideaGroup’s stock payment to the middle and high-level staffs of the Company, The amount decreased in this period is RMB 51,979.2, which is the change of gains and losses of fair value of available-for-sale financial assets this year.
32. Surplus reserves
Unit: RMB Yuan
||||||
|-|-|-|-|-|
|Item|Opening amount|Increase in the period|Decrease in the period|Closing amount|
|Statutory surplus reserves|290,958,368.49|||290,958,368.49|
|Total|290,958,368.49|||290,958,368.49|

 33. Retained profits
Unit: RMB Yuan
||||
|-|-|-|
|Item|Amount|Withdrawal or distributed proportion|
|Opening balance of retained profits before adjustments|1,859,579,931.10|--|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
|Opening balance of retained profits after adjustments|1,859,579,931.10|--|
|Add: Net profit attributable to owners of the Company|316,358,532.13|--|
|Dividend of common stock payable|189,746,329.20||
|Closing retained profits|1,986,192,134.05|--|

List of adjustment of opening retained profits:
1) RMB0.00 opening retained profits was affected by retrospective adjustment conducted according to the Accounting Standards for Business Enterprises and relevant new regulations.
2) RMB0.00 opening retained profits was affected by changes on accounting policies.
3) RMB0.00 opening retained profits was affected by correction of significant accounting errors.
4) RMB0.00 opening retained profits was affected by changes in combination scope arising from same control.
5) RMB0.00 opening retained profits was affected totally by other adjustments.
Notes: as for IPO companies, if the accumulated profits were enjoyed by new and original shareholders according to the resolutions made at theshareholders’ general meeting before public offering, the Company shall explain clearly; if the accumulated profits were distributed before public offering and enjoyed by the original shareholders according to the resolutions made at theshareholders’ general meeting, the Company shall clearly disclose the audited profits of dividends payable enjoyed by the original shareholders. 34. Revenue and Cost of Sales
(1) Revenue and Cost of Sales
Unit: RMB Yuan
||||
|-|-|-|
|Item|Reporting period|Same period of last year|
|Sales of main business|4,557,126,125.99|3,687,450,129.55|
|Other operating income|416,930,894.57|310,774,206.76|
|Cost of sales|3,655,315,076.59|3,005,810,911.14|

 (2) Main business (Classified by industry)
Unit: RMB Yuan
||||||
|-|-|-|-|-|
||Reporting period||Same period of last year||
|Industry|||||
||Revenue of sales|Costs of sales|Revenue of sales|Costs of sales|
|Home appliances|4,557,126,125.99|3,280,741,426.30|3,687,450,129.55|2,726,631,893.14|
|Total|4,557,126,125.99|3,280,741,426.30|3,687,450,129.55|2,726,631,893.14|

 (3) Main business (Classified by product)
Unit: RMB Yuan
||||||
|-|-|-|-|-|
||Reporting period||Same period of last year||
|Product|||||
||Revenue of sales|Costs of sales|Revenue of sales|Costs of sales|
|Washing machine|4,557,126,125.99|3,280,741,426.30|3,687,450,129.55|2,726,631,893.14|
|Total|4,557,126,125.99|3,280,741,426.30|3,687,450,129.55|2,726,631,893.14|

(4) Main business (Classified by area)
Unit: RMB Yuan
2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||
|-|-|-|-|-|
||Reporting period||Same period of last year||
|Area|||||
||Revenue of sales|Costs of sales|Revenue of sales|Costs of sales|
|Domestic|3,568,465,105.73|2,382,803,528.64|2,872,344,515.78|1,983,874,080.54|
|Other countries|988,661,020.26|897,937,897.66|815,105,613.77|742,757,812.60|
|Total|4,557,126,125.99|3,280,741,426.30|3,687,450,129.55|2,726,631,893.14|

 (5) The revenue of sales from the top five customers
Unit: RMB Yuan
||||
|-|-|-|
|Customer|Main business revenue|Proportion of total business revenue (%)|
|MIDEA ELECTRIC TRADING SINGAPORE)CO.PTE.LTD|676,907,927.34|13.61%|
|Suning Yunshang Group Co., Ltd., Suning Procurement Center|399,698,023.79|8.04%|
|Beijing Jingdong Century Information Technology Co ., Ltd|125,369,962.89|2.52%|
|Guizhou Midea Refrigeration Product Marketing Co., Ltd.|109,166,797.72|2.19%|
|PAKSHOMA COMPANY|63,556,770.56|1.28%|
|Total|1,374,699,482.30|27.64%|

 35. Business tax and surtax
Unit: RMB Yuan
|||||
|-|-|-|-|
||||Calculation and payment|
|Item|Reporting period|Same period of last year||
||||standard|
|Business tax|322,440.93|5,000.00||
|Urban maintenance and construction||||
||17,347,782.20|15,156,953.78||
|tax||||
|Education surtax||||
||13,510,445.80|10,795,662.43||
|Total|31,180,668.93|25,957,616.21|--|

36. Selling expenses
Unit: RMB Yuan
||||
|-|-|-|
|Item|Reporting period|Same period of last year|
|Employee compensation|73,992,301.57|76,234,924.20|
|Transportation and handling charges|155,628,481.76|130,242,382.58|
|Travel expense|13,073,313.35|12,797,757.82|
|Rental expense|18,647,338.57|32,455,094.80|
|Installation expense|48,998,580.73|48,906,375.12|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
|Spare part expense|21,676,208.69|14,295,051.53|
|Maintenance expense|46,371,434.61|39,098,324.93|
|Advertisement, sales promotional|||
||308,607,736.97|169,723,315.28|
|expense|||
|Others|21,876,757.65|16,212,871.50|
|Total|708,872,153.90|539,966,097.76|

 37. Administration expense
Unit: RMB Yuan
||||
|-|-|-|
|Item|Reporting period|Same period of last year|
|Employee compensation|82,621,273.67|64,056,529.49|
|Depreciation|14,187,273.51|11,377,056.42|
|Utility bills|4,129,792.72|3,688,956.75|
|Quality loss|1,417,018.85|5,826,771.54|
|Building taxes|4,592,771.25|5,896,626.16|
|Product certification fee|1,541,366.30|572,756.78|
|Share-based payment|5,809,948.33||
|Others|95,783,440.06|81,673,493.54|
|Total|210,082,884.69|173,092,190.68|

 38. Financial expense
Unit: RMB Yuan
||||
|-|-|-|
|Item|Reporting period|Same period of last year|
|Interest expense|2,431,394.70|1,760,399.50|
|Less: interest income|9,196,425.25|6,020,314.35|
|Add: exchange loss|-4,461,581.30|22,963,618.21|
|Handling charge|1,326,782.99|1,439,394.38|
|Total|-9,899,828.86|20,143,097.74|

 39. Gains and losses from changes in fair value
Unit: RMB Yuan
||||
|-|-|-|
|Source|Reporting period|Same period of last year|
|Trading financial assets|-13,529,790.00|10,584,660.00|
|Total|-13,529,790.00|10,584,660.00|

2014 Semi-annual Report of Wuxi Little Swan Company Limited. 40. Investment income
(1) Investment income
Unit: RMB Yuan
||||
|-|-|-|
|Item|Reporting period|Same period of last year|
|Long-term equity investment income accounted by|||
|||50,000.00|
|cost method|||
|Long-term equity investment income accounted by|||
||19,847.57|53,125.03|
|equity method|||
|Investment income received from holding of trading|||
||3,946,180.00|4,654,180.00|
|financial assets|||
|Others|52,412,042.89|33,824,376.41|
|Total|56,378,070.46|38,581,681.44|

 (2) Long-term equity investment income accounted by equity method
Unit: RMB Yuan
|||||
|-|-|-|-|
|Name of investee|Reporting period|Same period of last year|Reason for increase/decrease|
|Attend Logistics Co,. Ltd|19,847.57|53,125.0|3|
|Total|19,847.57|53,125.0|3 --|

41. Impairment losses
Unit: RMB Yuan
||||
|-|-|-|
|Item|Reporting period|Same period of last year|
|I. Bad debts losses|-2,372,669.49|4,006,859.24|
|II. Inventory falling price losses|55,229.03|9,719,492.09|
|III. fixed assets impairment losses|13,737,437.77||
|Total|11,419,997.31|13,726,351.33|

 42. Non-operating revenue
(1) Non-operating revenue
Unit: RMB Yuan
|||||
|-|-|-|-|
||||Included in the amount of the non-|
|Item|Reporting period|Same period of last year|recurring gains and losses of the cu|
||||rrent period|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||
|-|-|-|-|
|Gains from fixed assets deposition|497,193.03|4,258,090.27|497,193.03|
|Gains from debt restructuring|1,688,200.34||1,688,200.34|
|Government grants|6,454,141.22|7,073,551.50|6,454,141.22|
|Penalty income|205,112.93|4,054,332.64|205,112.93|
|Others|2,769,562.28|2,264,920.80|2,769,562.28|
|Total|11,614,209.80|17,650,895.21|11,614,209.80|

 (2) List of government grants
Unit: RMB Yuan
||||||
|-|-|-|-|-|
|||||Whether belong to|
||Reporting|Same period of|Related to assets/ related to||
|Item||||non-current gains|
||period|last year|income||
|||||and losses|
|VAT refund upon collection|3,240,786.67|2,708,323.50|Related to income|Yes|
|Foreign trade promoting rewards|1,715,200.00|1,364,082.00|Related to income|Yes|
|Subsidy on export letter of credit|500,000.00|1,623,000.00|Related to income|Yes|
|Patent grants and subsidy for new|||||
||173,500.00|116,646.00|Related to income|Yes|
|products|||||
|subsidy for equipment investment|51,600.00|300,000.00|Related to income|Yes|
|Special guide funding of provincial|||||
||2,100.00|26,400.00|Related to income|Yes|
|modern service industry development|||||
|Intellectual property advantage|||||
||200,000.00||Related to income|Yes|
|enterprises subsidies|||||
|Subsidies for AICA of export products|200,000.00||Related to income|Yes|
|Social security reward for talent policies|125,786.55||Related to income|Yes|
|Production efficiency and advanced|||||
||110,000.00||Related to income|Yes|
|statistical awards|||||
|Dr. Subsidies|75,000.00||Related to income|Yes|
|Special subsidies for R&D|50,168.00||Related to income|Yes|
|Industrial design Taihu Lake award|10,000.00||Related to income|Yes|
|Government grants of foreign trade and|||||
|economic cooperation for regional||262,000.00|Related to income|Yes|
|development|||||
|Industrial design relocate subsidy||500,000.00|Related to income|Yes|
|Award of cleaner production|||||
|||100,000.00|Related to income|Yes|
|projects|||||
|Other||73,100.00|Related to income|Yes|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||
|-|-|-|-|-|
|Total|6,454,141.22|7,073,551.50|--|--|

43. Non-operating expenses
Unit: RMB Yuan
|||||
|-|-|-|-|
||||Included in the amount|
||||of the non-recurring|
|Item|Reporting period|Same period of last year||
||||gains and losses of the|
||||current period|
|Including: Loss on disposal of fixed assets|1,475,989.61|3,189,776.67|1,475,989.61|
|Penalty expense|90,201.32|361,628.40|90,201.32|
|Donation expense|896,062.50||896,062.50|
|Local fees (flood prevention and security funds||||
||1,744,406.84|2,539,111.79||
|etc.)||||
|Others|541,578.39|1,341,975.08|541,578.39|
|Total|4,748,238.66|7,432,491.94|3,003,831.82|

 44. Income tax expense
Unit: RMB Yuan
||||
|-|-|-|
|Item|Reporting period|Same period of last year|
|Current income tax expense accounted by tax and relevant|||
||117,060,681.30|48,833,267.58|
|regulations|||
|Adjustment of income tax|-50,624,078.71|-5,840,915.65|
|Total|66,436,602.59|42,992,351.93|

 45. Calculation procedure of basic earnings per share and diluted earnings per share
Item No. Reporting period Same period of last year Net profit attributable to common
1
shareholders of the Company(NP) 316,358,532.13 220,961,466.94 Non-recurring gains and losses of
net profit attributable to common
2
shareholders of the Company after 43,860,535.03 34,252,100.32 deducting influence on income tax
Net profit attributable to common
shareholders of the Company after
3=1-2
deducting non-recurring gains and 272,497,997.10 186,709,366.62
losses
Total shares as at 30 Jun. 2012 4
632,487,764.00 632,487,764.00
2014 Semi-annual Report of Wuxi Little Swan Company Limited. Additional shares increased due to
capital reserves converted to shares
5
or distribution of dividends, etc. in - -
reporting period
Additional shares due to issuance
of new share or debts converted 6
- -
into shares, etc. in reporting period
The number of months from the
next month when increasing shares
7
due to issuance of new share or - -
debts converted into shares, etc.
Reduced shares due to buy-back
8
business etc. in reporting period - -
The number of months from the
9
next month when reducing shares - -
Number of shares reduced in
10
reporting period - -
Number of months in reporting
11
period 6.00 6.00
Weighted average of common
12=4+5+6×7÷11-8×9÷11-10
shares issuedoutside(Ⅰ) 632,487,764.00 632,487,764.00 Weighted average of common
shares issued outside adjusted for 13
632,487,764.00 632,487,764.00 merger under commoncontrol(Ⅱ)
Basic earnings pershare(Ⅰ) 14=1÷13
0.50 0.35
Basic earnings pershare(Ⅱ) 15=3÷12
0.43 0.30
Diluting potential common share
16
interests recognized as expenses - -
Income tax rate 17 15% 15%
Transformation expense 18
- -
Amount of shares increased by
transforming or exercising of
19
company bond, subscription - -
certificate, or share option
DilutedEPS(Ⅰ) 20=[1+(16-18)×(1-17)]÷(13+19)
0.50 0.35
DilutedEPS(Ⅱ) 21=[3+(16-18)×(1-17)]÷(12+19)
0.43 0.30
2014 Semi-annual Report of Wuxi Little Swan Company Limited. 46. Other comprehensive income
Unit: RMB Yuan
||||
|-|-|-|
|Item|Reporting period|Same period of last year|
|1. Profits/(losses) from available-for-sale financial assets|-61,152.00|-44,688.00|
|Less: Effects on income tax generating from available-for-sale|||
||-9,172.80|-6,703.20|
|financial assets|||
|Subtotal|-51,979.20|-37,984.80|
|2. Converted amount of foreign currency financial statements|277,987.96|-531,706.86|
|Subtotal|277,987.96|-531,706.86|
|Total|226,008.76|-569,691.66|

 47. Notes of Cash Flow Statement
(1) Other cash received relevant to operating activities
Unit: RMB Yuan
|||
|-|-|
|Item|Amount|
|Penalty income|205,112.93|
|Subsidy on income, etc.|3,138,606.39|
|Interest income from normal bank deposit|9,196,425.25|
|Actual rent received from operating lease|652,675.00|
|Other cash income from non-operation|2,510,568.41|
|Total|15,703,387.98|

 (2) Other cash paid relevant to operating activities
Unit: RMB Yuan
|||
|-|-|
|Item|Amount|
|Sales expense paid in reporting period|488,083,830.35|
|Administration expense paid in reporting period|111,480,111.74|
|Handling charges for financial expense in reporting period|1,326,782.99|
|Others|11,526,696.57|
|Total|612,417,421.65|

 48. Appendix of Cash Flow Statement
(1) Appendix of Cash Flow Statement
Unit: RMB Yuan
||||
|-|-|-|
|Item|Reporting period|Same period of last year|
|1. Reconciliation of net profit to net cash flows generated from operating|--|--|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
|activities|||
|Net profit|350,363,717.00|235,920,464.23|
|Add: Provision for impairment of assets|11,419,997.31|13,726,351.33|
|Depreciation of fixed assets, of oil-gas assets, of productive biological assets|67,451,231.08|61,997,041.15|
|Amortization of intangible assets|2,893,989.24|2,886,528.31|
|Amortization of long-term deferred expense|6,551,177.05|13,664,749.38|
|Losses on disposal of property, plant and equipment, intangible assets and|||
|other|-591,204.60|-1,068,313.60|
|long-term assets (gains: negative)|||
|Losses from changes in fair value (gains: negative)|13,529,790.00|-10,584,660.00|
|Financial expense (gains: negative)|656,433.57||
|Investment loss (gains: negative)|-56,378,070.46|-38,581,681.44|
|Decrease in deferred income tax assets (gains: negative)|-48,594,610.18|-7,428,614.62|
|Increase in deferred income tax liabilities (decrease: negative)|-2,029,468.50|1,587,699.00|
|Decrease in inventory (gains: negative)|218,968,580.59|287,313,554.77|
|Decrease in accounts receivable from operating activities (gains: negative)|34,104,953.91|577,251,722.96|
|Increase in payables from operating activities (decrease: negative)|276,875,259.82|-205,562,545.65|
|Net cash flows generated from operating activities|875,221,775.83|931,122,295.82|
|II. Investing and financing activities that do not involving|||
||--|--|
|cash receipts and payment:|||
|III. Net increase in cash and cash equivalents|--|--|
|Closing balance of cash|2,114,623,154.82|1,441,520,820.65|
|Less: Opening balance of cash|1,558,204,866.53|1,293,126,217.00|
|Net increase in cash and cash equivalents|556,418,288.29|148,394,603.65|

 (2) Particulars about gain or disposal of subsidiary and other business entities
Unit: RMB Yuan
||||
|-|-|-|
|Appendix information|Reporting period|Same period of last year|
|I. Information about gain subsidiary and other business entities|--|--|
|II. Information about disposal of subsidiary and other business entities|--|--|
|1．Cash and cash equivalents of disposal of subsidiary and other business|||
||38,977.14||
|entities|||
|Less：Cash and cash equivalents held by subsidiary and other business|||
||38,977.14||
|entities|||

(3) Composition of cash and cash equivalents
Unit: RMB Yuan
||||
|-|-|-|
|Item|Closing amount|Opening amount|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
|I. Cash|2,114,623,154.82|1,558,204,866.53|
|Including: cash in hand|8,158.18|21,277.15|
|Bank deposit can be used for payment at any time|2,114,614,996.65|1,558,183,589.38|
|II. Closing balance of cash and cash equivalents|2,114,623,154.82|1,558,204,866.53|

 XIII. Relationship and Related Party Transactions
1. Particulars about the parent company
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||||||||Proportion|Proportions|Ultimate||
||||||||s of parent|of parent|||
|Name of|Relati|Enterp||Legal|||company’s|company’s|||
||||Regist||Business|Registered|||controll|Organization|
|parent|ons-hi|rise||represen|||shareholdi|voting right|||
||||ration||nature|capital|||er of the|code|
|company|p|nature||tative|||ng to the|to the|||
||||place||||||company||
||||||||company|company|||
||||||||(%)|(%)|||
||||||Manufacture, sales||||He||
|||Joint|Fosha||||||||
|Midea|Parent||||and after sale||||||
|||stock|n,|Fang|||||||
|Group Co.,|compa||||service of household|1,686,323,389|40.08%|40.08%|Xiangji|72247334-4|
|||compa|Guang|Hongbo|||||||
|Ltd|ny||||appliances and its||||an||
|||ny|dong||||||||
||||||equipments||||||

Note:
According to the 2013 profits allocation preplan of Midea Group, the Midea Group transferred capital reserve to all shareholders up to15 shares for every 10 shares, after the completion of bonus share, the registered capital increased to RMB 4,215,808,472. As of the disclosure date of the report, the profits allocation has been completed; however, the industrial and commercial registration change is still in process.
2. Particulars about the subsidiaries
|||||||||||
|-|-|-|-|-|-|-|-|-|-|
|||||||Register|||Organization code|
||||||||Sharehol|Voting||
|||||||ed||||
||||Registrat|Legal|||ding to|right to||
||Relationsh|Business|||Business|capital(||||
|Name of subsidiaries|||ion|represen|||the|the||
||ip|type|||nature|RMB||||
||||place|tative|||compan|company||
|||||||thousand||||
||||||||y (%)|(%)||
|||||||Yuan)||||
|||Limited||||||||
||Wholly-o|||||||||
|Wuxi Little Swan General Electric||liability||Yin|Producti|||||
||wned||Wuxi|||2,800|70.00%|70.00%|76355342-0|
|Appliances Co. , Ltd.||compan||Bitong|on|||||
||subsidiary|||||||||
|||y||||||||
||Wholly-o|Limited||||||||
|||||Yin|Producti|362.46||||
|Wuxi Filin Electronics Co. , Ltd.|wned|liability|Wuxi||||73.00%|73.00%|74815875-6|
|||||Bitong|on|(dollars)||||
||subsidiary|compan||||||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||||||||
|-|-|-|-|-|-|-|-|-|-|
|||y||||||||
|||Limited||||||||
||Wholly-o|||||||||
|Wuxi Little Swan Washing Machine||liability||Chai|Producti|||||
||wned||Wuxi|||4,967.95|99.91%|99.91%|60792331-1|
|Co. , Ltd.||compan||Xinjian|on|||||
||subsidiary|||||||||
|||y||||||||
|||Limited||||||||
||Wholly-o|||||||||
|Wuxi Meitian Refrigerator Market||liability||Chai||400(doll||||
||wned||Wuxi||Trading||75.00%|75.00%|71490141-7|
|Co., Ltd.||compan||Xinjian||ars)||||
||subsidiary|||||||||
|||y||||||||
|||Limited||||||||
||Wholly-o|||||||||
|Jiangsu Little Swan Marketing and||liability||Chai||||||
||wned||Wuxi||Trading|41,950|99.63%|99.63%|73330538-9|
|Sales Co. , Ltd.||compan||Xinjian||||||
||subsidiary|||||||||
|||y||||||||
|||Limited||||||||
||Wholly-o||||Import|||||
|Wuxi Little Swan Import & Export||liability||Yin||||||
||wned||Wuxi||&|6,500|88.46%|88.46%|13600714-8|
|Co. , Ltd||compan||Bitong||||||
||subsidiary||||Export|||||
|||y||||||||
|||Limited||||||||
||Wholly-o|||||||||
|Little Swan International||liability|Singapor||Investm|500(doll||||
||wned||||||100.00%|100.00%||
|(Singapore) Co., Ltd.||compan|e||ent|ars)||||
||subsidiary|||||||||
|||y||||||||
|||Limited||||||||
||Wholly-o|||||||||
|Little Swan (Jingzhou) Electronic||liability||Yin|Producti|||||
||wned||Jingzhou|||1,107.02|100.00%|100.00%|72614223-5|
|Appliances Co., Ltd.||compan||Bitong|on|||||
||subsidiary|||||||||
|||y||||||||
|||Limited||||||||
||Wholly-o|||||||||
|Hefei Midea Washing Machine Co.,||liability||Yin|Producti|13,552(d||||
||wned||Hefei||||69.47%|69.47%|14906761-7|
|Ltd.||compan||Bitong|on|ollars)||||
||subsidiary|||||||||
|||y||||||||
|||Limited||||||||
||Wholly-o|||||||||
|Hefei Midea Washing Machine||liability||Yin|Producti|||||
||wned||Hefei|||2,000|90.00%|90.00%|67423819-7|
|Manufacture Co., Ltd.||compan||Bitong|on|||||
||subsidiary|||||||||
|||y||||||||

Note：Wuxi Little Swan Washing Machine Co. , Ltd. has been cancelled on July 15, 2014.
3. Information on co-operated or joint operated of the Company
|||||||||||
|-|-|-|-|-|-|-|-|-|-|
||||Legal|||Proportion||Relati||
||Business|Registrat||Business|Registered||Proportion of||Organizatio|
|Item|||represen|||of holding||onshi||
||Type|ion place||scope|capital||voting rights (%)||n code|
||||tative|||shares (%)||p||
|1. Co-operated||||||||||
|2.Joint operated||||||||||
|Attend Logistics Co.|Limited|Guangzh|Ye|Logistics|10,000,000.|20.00%|20.00%|Assoc|72993557-2|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||||
|-|-|-|-|-|-|-|
|Ltd.|liability|ou|Weilong|services|00|iates|
||company||||||

4. Other related parties of the Company
||||
|-|-|-|
|Name of the parties|Relationship|Organization code|
|Midea Group Co., Ltd|Company controlling shareholder|72247334-4|
||Under control of controlling shareholder||
|Midea Group Finance Co., Ltd||55912326-3|
||of the Company||
||Under control of controlling shareholder||
|Little Swan (Jingzhou) Electronic Appliances Co., Ltd.||70696333-5|
||of the Company||
||Under control of controlling shareholder||
|Hefei Midea Materail Supply Co.,Ltd||55183611-1|
||of the Company||
||Under control of controlling shareholder||
|Hefei Midea Refrigerator Co., Ltd||14906759-6|
||of the Company||
||Under control of controlling shareholder||
|Hefei Hua Ling Share Holding Co. , Ltd.||61031550-1|
||of the Company||
||Under control of controlling shareholder||
|MIDEA ELECTRIC TRADING(SINGAPORE)CO.PTE.LTD|||
||of the Company||
||Holding shares of controlling||
|PT. MIDEA PLANET INDONESIA|||
||shareholder of the Company||
||Holding shares of controlling||
|MIDEA SCOTT&ENGLISH ELECTRONIICS SDN.BHD|||
||shareholder of the Company||
||Under control of controlling shareholder||
|MIDEA CONSUMER ELECTRIC (VIETNAM) CO.,LTD|||
||of the Company||
||Under control of family member close||
|Hefei Bainian Molding Technology Co., Ltd.||66293360-0|
||to the actual controller||
|Foshan Shunde District Bainian Technology Development Co.,|Under control of controlling shareholder||
|||70807868-X|
|Ltd.|of the Company||
|Foshan Shunde District Bainian Tongchuang Plastic Industrial|Under control of controlling shareholder||
|||79462671-7|
|Co., Ltd.|of the Company||
||Under control of controlling shareholder||
|Ningbo Annto Logistics Co. Ltd.||57051088-9|
||of the Company||
||Under control of controlling shareholder||
|Huai'an Welling Motor Manufacturing Co., Ltd.||75968160-6|
||of the Company||
||Under control of controlling shareholder||
|Hubei Midea Refrigerator Co., Ltd.||70696333-5|
||of the Company||
||Under control of controlling shareholder||
|Wuhu Bainian Technology Development Co., Ltd.||75096265-5|
||of the Company||
|Annto Logistics Co. Ltd.|Under control of controlling shareholder|71992943-5|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||
|-|-|-|
||of the Company||
||Under control of controlling shareholder||
|Guangdong Midea Refrigeration Equipment Co., Ltd||72547107-X|
||of the Company||
||Under control of controlling shareholder||
|Ningbo Midea United Material Supply Co., Ltd||56701636-1|
||of the Company||

5. Related party transactions
(1) Purchase of goods, services received among the related-party
Unit: RMB Yuan
||||||||
|-|-|-|-|-|-|-|
||||Amount of this period||Amount of last period||
|||Pricing||Proportion|||
||Content of|||||Proportion in|
|||principle of||in|||
|Name of company|related|||||transactions|
|||related|Amount|transactions|Amount||
||transaction|||||of the same|
|||parties||of the same|||
|||||||kind|
|||||kind|||
||Logistics serv||||||
|Ningbo Annto Logistics Co. Ltd.||Market price|37,152,578.97|1.15%|48,196,839.91|1.93%|
||ice||||||
||Material||||||
|Hubei Midea Refrigerator Co. Ltd.||Market price|770,148.67|0.02%|5,437,926.04|0.22%|
||purchase||||||
||Electrical||||||
|Huai'an Welling Motor Manufacturing|Machine&||||||
|||Market price|191,827,058.83|5.95%|188,867,242.92|7.56%|
|Co., Ltd.|Material||||||
||purchase||||||
|Hefei Midea Materials Supply Co.,|Material||||||
|||Market price|79,038,575.14|2.45%|157,245,794.25|6.30%|
|Ltd.|purchase||||||
|Ningbo Midea United Material|Material||||||
|Ningbo|||||||
|||Market price|114,393,353.84|3.55%|||
|Supply|purchase||||||
|Hefei Hua Ling Share Holding Co. ,|Material||||||
|||Market price|40,259.03|0.00%|||
|Ltd.|purchase||||||
|Annto Logistics Share Holdings Co.|Logistics||||||
|||Market price|88,989.25|0.00%|645,694.94|0.03%|
|Ltd.|service||||||
|Guangdong Midea Environment|Material||||||
|Guangdong Midea Environment|||||||
|||Market price|4,288,888.90|0.13%|||
|Appliances|purchase||||||
|Hefei Bainian Molding Technology|Material||||||
|||Market price|||48,789,326.26|1.95%|
|Co., Ltd.|purchase||||||
|Hefei Huitong Energy-saving|Material||||||
|||Market price|||43,917,322.82|1.76%|
|Materials Co., Ltd.|purchase||||||
|Total|||432,816,946.64|13.42%|493,100,147.11|19.75%|

2014 Semi-annual Report of Wuxi Little Swan Company Limited. Sales of goods, services provided among the related-party
Unit: RMB Yuan
||||||||
|-|-|-|-|-|-|-|
||||Amount of this period||Amount of last period||
|||Pricing||Proportion|||
||Content of|||||Proportion in|
|||principle of||in|||
|Name of company|related|||||transactions|
|||related|Amount|transactions|Amount||
||transaction|||||of the same|
|||parties||of the same|||
|||||||kind|
|||||kind|||
|Hefei Bainian Molding Technology|||||||
|||Market price|||16,666,419.17|0.42%|
|Co., Ltd.|||||||
|Hefei Midea Refrigerator Co., Ltd||Market price|||28,879.20|0.00%|
|Huai'an Welling Motor|||||||
|||Market price|51,192.77|0.00%|64,330.59|0.00%|
|Manufacturing Co., Ltd.|||||||
||Sales of||||||
|MIDEA ELECTRIC TRADING||Sales of|||||
||washing||676,907,927.34|13.61%|517,236,107.28|12.94%|
|(SINGAPORE)CO.PTE.LTD||materials|||||
||machines||||||
|Hefei Huitong Energy-saving|Sales of|Sales of|||||
||||||8,051,388.90|0.20%|
|Materials Co., Ltd.|materials|materials|||||
|Hefei Hua Ling Share Holding Co. ,|Sales of|Sales of|||||
||||||330,788.91|0.01%|
|Ltd.|materials|materials|||||
||Sales of||||||
|PT. MIDEA PLANET INDONESIA|washing|Market price|2,055,545.17|0.04%|6,816,739.22|0.17%|
||machines||||||
||Sales of||||||
|MIDEA SCOTT&ENGLISH|||||||
||washing|Market price|12,553,510.03|0.25%|7,439,098.97|0.19%|
|ELECTRONIICS SDN.BHD|||||||
||machines||||||
||Sales of||||||
|MIDEA CONSUMER ELECTRIC|||||||
||washing|Market price|816,211.03|0.02%|||
|(VIETNAM) CO.,LTD|||||||
||machines||||||
|Total|||692,384,386.35|13.92%|556,633,752.25|13.92%|

 (2) Details of property transfer and debt restructuring between related parties
Unit: RMB Yuan
|||||||||
|-|-|-|-|-|-|-|-|
||||Pricing|Amount of||||
|||||||Amount of last period||
||||decision-m|current period||||
||Type of|Content of||||||
||||aking||||Proportion in|
|Related party|related|related|||Proportion in|||
||||procedure||||similar|
||transaction|transaction||Amount|similar|Amount||
||||of related||||transactions|
||||||transactions (%)|||
||||transaction||||(%)|
|Handan Midea Refrigeration A|sset transf|Sales of|Market|||840,577.60|5.01%|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||||
|-|-|-|-|-|-|
|Equipment Co., Ltd.|erring|equipment|price|||
|Wuhu Bainian Technology|Asset|Sales of|Market|2,293,061.0||
||||||13.65%|
|Development Co., Ltd.|transferring|equipment|price|7||
|Foshan Shunde District Bainian|Asset|Sales of|Market|1,361,792.3||
||||||8.11%|
|Technology Development Co., Ltd.|transferring|equipment|price|5||
|Foshan Shunde District Bainian|||Market|||
||Asset|Sales of||3,249,127.4||
|Tongchuang Plastic Industrial Co.,|||price||19.35%|
||transferring|equipment||7||
|Ltd.||||||
|||||7,744,558.4||
|Total|||||46.11%|
|||||9||

6. Amount due to/from related parties
Receivable from the related parties
Unit: RMB Yuan
||||||||
|-|-|-|-|-|-|-|
||||Closing amount||Opening amount||
|Item|Name of related parties|||Provision for bad||Provision for bad|
||||Book balance||Book balance||
|||||debts||debts|
|Accounts rece|MIDEA ELECTRIC TRADING||||||
||||289,064,145.28|14,453,207.26|216,980,362.32|10,802,299.01|
|ivable|(SINGAPORE)CO.PTE.LTD||||||
|Accounts|MIDEA SCOTT&ENGLISH||||||
||||7,845,232.18|392,261.61|10,020,687.97|125,393.20|
|receivable|ELECTRONILCS SDN.BHD||||||
|Accounts rece|||||||
||PT MIDEA PLANET INDONESIA||801,605.24|40,080.26|2,507,863.97|501,034.40|
|ivable|||||||
|Accounts|MIDEA CONSUMER ELECTRIC||||||
||||844,303.34|42,215.17|4,651.08|232.55|
|receivable|(VIETNAM) CO.,LTD||||||
|Accounts|||||||
||Hefei Midea Refrigerator Co. Ltd.||||1,788.06|357.61|
|receivable|||||||
||Total||298,555,286.04|14,927,764.30|229,515,353.40|11,429,316.77|
|Receivable in|Hefei Midea Materials Supply Co.,||||||
||||308.96||3,074,917.50||
|advance|Ltd.||||||
|Receivable in|Ningbo Midea United Material||||||
||Ningbo||||||
||||15,845,206.76||||
|advance|Supply||||||
|Receivable in|||||||
||Ningbo|Annto Logistics Co. Ltd.|||16,406.87||
|advance|||||||
||Total||15,845,515.72||3,091,324.37||

Payable to the related parties
Unit: RMB Yuan
|||||
|-|-|-|-|
|Item|Name of related parties|Closing amount|Opening amount|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||||
|-|-|-|-|-|-|-|
|Accounts|||||||
||Hefei Midea Materials Supply Co., Ltd.||||1,339,438.80|60,510,586.85|
|receivable|||||||
|Accounts|||||||
||Huai'an Welling Motor Manufacturing Co., Ltd.||||44,912,510.57|39,169,018.59|
|receivable|||||||
|Accounts|||||||
||Hefei Hua Ling Share Holding Co. , Ltd.|||||510,238.62|
|receivable|||||||
|Accounts|Foshan Shunde District Bainian Technology Development Co.,||||||
||||||276,400.00|276,400.00|
|receivable|Ltd.||||||
|Accounts|||||||
||Hefei Bainian Molding Technology Co., Ltd.|||||172,082.75|
|receivable|||||||
|Accounts|||||||
||Ningbo|Annto Logistics Co. Ltd.|||128,380.63|144,787.50|
|receivable|||||||
|Accounts|||||||
||Annto Logistics Share Holding Co. Ltd.||||81,649.55|90,630.06|
|receivable|||||||
|Accounts|||||||
||Ningbo|Midea|United Material Supply|Co., Ltd|1,068,111.50||
|receivable|||||||
|Accounts|||||||
||Hubei Midea Refrigerator Co., Ltd|||||291,120.87|
|receivable|||||||
||Total||||47,806,491.05|101,164,865.24|
|Receivable|||||||
||MIDEA ELECTRIC TRADING(SINGAPORE)CO.PTE.LTD||||1,050,573.11|56,655,613.54|
|in advance|||||||
|Receivable|||||||
||MIDEA SCOTT&ENGLISH ELECTRONILCS SDN.BHD|||||30,931.47|
|in advance|||||||
||Total||||1,050,573.11|56,686,545.01|
|Other|||||||
|accounts|Midea Group Co., Ltd||||0.00|390,636.00|
|receivable|||||||
||Total||||0.00|390,636.00|

 IX. Share-based payment
1. Overall of share-based payment
Note to share-based payment
During the reporting period, the Midea Group and the high-level management personnel and technical backbone personnel of its subsidiaries implemented stock options incentive plan and authorized the incentive personnel stock options 40.602 million According to the announcement of the Midea Group on 19 Feb 2014 and 27 May 2014, due to the demission of 12 incentive personnel before
using their rights, they were no longer incentive personnel and the related stock options 657000 were written off. The stock options
authorized to incentive personnel was adjusted to 39.945 million. In the year of 2013, the Midea Group distributed RMB 20 in cash
for every 10 shares to all shareholders meanwhile transferred capital reserve up to 15 shares for every 10 shares. The equity
2014 Semi-annual Report of Wuxi Little Swan Company Limited. allocation plan had been conducted on 30 Apr. 2014, according to the stipulation of Company stock options incentive plan (draft) disclosed by the Midea Group, after the equity distribution, the stock options was adjusted to 999.8625 million.
As of the disclosure date of the report, the Company and its subsidiaries in the stock options incentive plan authorized incentive personnel 6.2325 million stock options
2. Share-based payment by equity method
Unit: RMB Yuan
|||
|-|-|
|Recognition method of the authorized fair value of the equity||
||Adjusted based on market price|
|instruments||
|Accumulative amount of share-base payment by equity method||
||38,623,251.88|
|in capital reserve||
|Total amount recognized through share-base payment by equity||
||39,059,948.33|
|method||

3. Service as a result of share-based payment
Unit: RMB Yuan
|||
|-|-|
|The total amount of the employee services as a result of||
||39,059,948.33|
|share-based payment||

X. Contingencies
1The contingent liability and its financial impact arising from unsettled litigation or arbitration
Hefei Dongya Windows, Doors, Curtain Walls Decoration Co., Ltd had the project construction work contract dispute with Jiangsu Hongda Construction Group Co., Ltd and Hefei Midea Washing Machine Co., Ltd and Applied for litigation preservation from the people's court of Feixi County, Anhui Province; the subsidiary Hefei Midea Washing Machine Co., Ltd‘s bank deposit RMB 620000 was frozen by the court.
2. The contingent liability and its financial impact arising from providing debt guarantees to other units (1) According to the subsidiary's financial requirement of the production and operation and the needs of the business development, th e company submits an application to the bank for the issuance ofbanker’s acceptance bills RMB709000 providing guaranteed for He fei Midea Washing Machine Co, Ltd.
(2) The Company pledges a deposit of RMB 3.4732 million
to the Bank of China a Ltd. Wuxi Branch for the issuance of bank acceptance bills.
(3) The Company pledges a deposit of RMB 313500 to Wuxi Branch of Agricultural Bank of China
Co.,Ltd. for the issuance of bank acceptance bills.
XI. Commitments
1. Significant commitments
As of 31, Dec, 2014, no significant commitments should be disclosed.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. XII. Other significant events
1. Assets and liabilities measured by fair value
Unit: RMB Yuan
|||||||
|-|-|-|-|-|-|
|||Gains and losses of|The cumulative fair|Provision for||
|Item|Opening amount|fair value in this|value recognized in|impairment in this|Closing amount|
|||period|equity movements|period||
|1.Financial assets||||||
|1. Derivative financial||||||
||15,016,740.00|-13,529,790.00|||1,486,950.00|
|assets||||||
|2. Financial assets||||||
||312,816.00|61,152.00|128,659.40||251,664.00|
|available for sale||||||
|Total|15,329,556.00|-13,468,638.00|128,659.40||1,738,614.00|
|Financial liabilities|0.00||||0.00|

 2. Financial liabilities and foreign financial liabilities
Unit: RMB Yuan
|||||||
|-|-|-|-|-|-|
|||Gains and losses of|The cumulative fair|Provision for||
|Item|Opening amount|fair value in this|value recognized in|impairment in this|Closing amount|
|||period|equity movements|period||
|Financial assets||||||
|1. Derivative financial||||||
||15,016,740.00|-13,529,790.00|||1,486,950.00|
|assets||||||
|Subtotal of financial||||||
||15,016,740.00|-13,529,790.00|||1,486,950.00|
|assets||||||
|Financial liabilities|0.00|0.00|||0.00|

 XIII. Notes to the financial statements of Parent Company
1. Accounts receivable
(1) Accounts receivable
Unit: RMB Yuan
||||||||||
|-|-|-|-|-|-|-|-|-|
||Closing balance||||Opening balance||||
||Book value||Provision for bad debts||Book value||Provision for bad debts||
|Items|||||||||
|||Proport||Proportio||Proporti||Proporti|
||Amount||Amount||Amount||Amount||
|||ion||n||on||on|
|Account receivable with consolidated provision for bad debt|||||||||
|Consolidation 1: aging|||||||||
||381,742,210.02|76.72%|19,124,409.26|5.01%|404,535,014.38|52.60%|20,348,820.07|5.03%|
|consolidation|||||||||
|Consolidation 2: account|104,175,323.01|20.94%|||347,260,005.38|45.16%|||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||||||
|-|-|-|-|-|-|-|-|-|
|received in the range of|||||||||
|consolidated statements|||||||||
|Subtotal of consolidation|485,917,533.03|97.65%|19,124,409.26|3.94%|751,795,019.76|97.76%|20,348,820.07|2.71%|
|Account receivable with|||||||||
|||||||||100.00|
|small individual amount|11,693,283.11|2.35%|11,693,283.11|100.00%|17,241,527.92|2.24%|17,241,527.92||
|||||||||%|
|and provision for bad debt|||||||||
|Total|497,610,816.14|--|30,817,692.37|--|769,036,547.68|--|37,590,347.99|--|

 Account receivable with large individual amount and provision for bad debt at the end of period
□ Applicable√ Inapplicable
Account receivable in the consolidation with provision for bad debt by aging analysis method:
√ Applicable□ Inapplicable
Unit: RMB Yuan
||||||||
|-|-|-|-|-|-|-|
||Closing balance|||Opening balance|||
|Aging|Book balance||Provision for bad|Book balance||Provision for bad|
||Amount|Proportion|debts|Amount|Proportion|debts|
|Within 1 year|||||||
|Including:|--|--|--|--|--|--|
|Subtotal of|||||||
||381,031,054.70|99.81%|19,051,552.53|402,093,647.22|99.40%|20,104,682.36|
|within 1 year|||||||
|1 to 2 years|706,801.51|0.19%|70,680.15|2,441,359.96|0.60%|244,136.00|
|2 to 3 years|1.60|0.00%|0.48|6.53|0.00%|1.31|
|Over 3 years|4,352.21|0.00%|2,176.10|0.67|0.00%|0.40|
|Total|381,742,210.02|--|19,124,409.26|404,535,014.38|--|20,348,820.07|

 Account receivable in the consolidation with provision for bad debt by balance percentage method:
□ Applicable√ Inapplicable
Account receivable in the consolidation with provision for bad debt by other method:
□ Applicable√ Inapplicable
Account receivable with small individual amount and provision for bad debt at the end of period
√Applicable□ Inapplicable
Unit: RMB Yuan
||||||
|-|-|-|-|-|
|||Amount of bad|||
|Content of account receivable|Book balance||Proportion (%)|Reason|
|||debt|||
|||||Difficult to|
|CGNPC Engineering Co., Ltd|853,104.00|853,104.00|100.00%||
|||||recover|
|||||Difficult to|
|Chongqing Taizheng Group Co., Ltd|851,500.00|851,500.00|100.00%||
|||||recover|
|||||Difficult to|
|Chongqing R&F Properties Co., Ltd|1,675,800.00|1,675,800.00|100.00%||
|||||recover|
|Chongqing Zhongcheng Properties Development Co.,||||Difficult to|
||1,655,000.00|1,655,000.00|100.00%||
|Ltd||||recover|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||
|-|-|-|-|-|
|Hunan Huitang Hot Spring Huatiancheng Properties||||Difficult to|
||6,657,879.11|6,657,879.11|100.00%||
|Co., Ltd and such 61 portals||||recover|
|Total|11,693,283.11|11,693,283.11|--|--|

 (2) Particulars about account receivable returned or withdrawn in the reporting period
Unit: RMB Yuan
||||||
|-|-|-|-|-|
|||Foundation to|Accumulated amount||
|||||Amount|
||Reason of return|confirm|of provision for bad||
|Content of account receivable||||returned or|
||or withdrawal|provision|debt before return or||
|||||withdrawn|
|||for bad debt|withdrawal||
|||Estimated|||
|Foshan City Shunde District Midea HVAC Equipment|Negotiated||||
|||difficult to|0.30|0.30|
|Co., Ltd. (Stop)|collection||||
|||recover|||
|||Estimated|||
|CNOOC Energy Technology & Services - Catering &|Negotiated||||
|||difficult to|57,662.50|57,662.50|
|Support Services Co., Ltd|collection||||
|||recover|||
|||Estimated|||
||Negotiated||||
|China Nuclear Power Engineering Co., Ltd||difficult to|150,500.00|107,500.00|
||collection||||
|||recover|||
|||Estimated|||
|Chongqing Wanzhou Wanda Hotel Management Co.,|Negotiated||||
|||difficult to|303,092.00|187,569.00|
|Ltd|collection||||
|||recover|||
|||Estimated|||
|Hunan Huitang Hot Spring Huatiancheng Properties|Negotiated||||
|||difficult to|1,272,000.00|260,000.00|
|Co., Ltd|collection||||
|||recover|||
|||Estimated|||
||Negotiated||||
|Tangshan Wanda Investment Real Estate Co., Ltd||difficult to|531,488.00|472,116.00|
||collection||||
|||recover|||
|||Estimated|||
||Negotiated||||
|Hangzhou Xixi Investment Development Co., Ltd||difficult to|745,584.30|521,909.01|
||collection||||
|||recover|||
|||Estimated|||
||Negotiated||||
|Chongqing Taizheng Group Co., Ltd||difficult to|1,851,500.00|1,000,000.00|
||collection||||
|||recover|||
|||Estimated|||
|Hangzhou Xihu District Xixi Welt Land|Negotiated||||
|||difficult to|1,427,004.00|1,427,004.00|
|Comprehensive Protection Project Headquarters|collection||||
|||recover|||
|||Estimated|||
||Negotiated||||
|CGNPC Engineering Co., Ltd||difficult to|2,367,588.00|1,514,484.00|
||collection||||
|||recover|||
|Total|--|--|8,706,419.10|--|

2014 Semi-annual Report of Wuxi Little Swan Company Limited. (3) Top 5 companies with largest amount of account receivable
Unit: RMB Yuan
||||||
|-|-|-|-|-|
|||||Proportion in total|
|Company name|Relationship|Amount|Years limit|amount of account|
|||||receivable (%)|
|Hefei Midea Washing Machine Co., Ltd|Subsidiary|96,411,504.02|Within 1 year|19.37%|
|Suning Yunshang Group Co., LTD. Suning|Non-related||||
|||84,479,958.13|Within 1 year|16.98%|
|Purchasing Center|party||||
|MIDEA ELECTRIC TRADING|Non-related||||
|||42,301,936.23|Within 1 year|8.50%|
|(SINGAPORE)CO.PTE.LTD|party||||
|Kunming Midea Refregeration Equipments|Non-related||||
|||17,326,247.18|Within 1 year|3.48%|
|Sales Co., Ltd|party||||
|Jilin province Midea Refregeration|Non-related||||
|||14,057,381.36|Within 1 year|2.82%|
|Equipments Sales Co., Ltd|party||||
|Total|--|254,577,026.92|--|51.15%|

 (4) Account receivable from related parties
Unit: RMB Yuan
|||||
|-|-|-|-|
||||Proportion in total amount|
|Company name|Relationship|Amount||
||||of account receivable (%)|
|MIDEA ELECTRIC TRADING|Holding shares of controlling|||
|||42,301,936.23|8.50%|
|(SINGAPORE)CO.PTE.LTD|shareholder of the Company|||
|MIDEA SCOTT&ENGLISH ELECTRONIICS|Holding shares of controlling|||
|||228,785.78|0.05%|
|SDN.BHD|shareholder of the Company|||
||Holding shares of controlling|||
|PT. MIDEA PLANET INDONESIA||325,298.54|0.07%|
||shareholder of the Company|||
|Hefei Midea Washing Machine Co., Ltd|Subsidiary|96,411,504.02|19.37%|
|Total|--|139,267,524.57|27.99%|

 2. Other receivables
(1) Other receivables
Unit: RMB Yuan
||||||||||
|-|-|-|-|-|-|-|-|-|
||Closing balance||||Opening balance||||
||Book value||Provision for bad debts||Book value||Provision for bad debts||
|Items|||||||||
|||Proporti||Proporti||Proporti||Proportio|
||Amount||Amount||Amount||Amount||
|||on||on||on||n|
|Other receivables with consolidated provision for bad debt|||||||||
|Consolidation 1: aging|22,890,885.90|22.44%|2,423,262.89|10.59%|20,350,003.60|20.45%|1,597,802.77|7.85%|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||||||
|-|-|-|-|-|-|-|-|-|
|consolidation|||||||||
|Consolidation 2: other|||||||||
|receivables in the range of|79,112,973.93|77.56%|79,112,973.93|100.00%|79,150,338.65|79.55%|79,150,338.65|100.00%|
|consolidated statements|||||||||
|Subtotal of consolidation|102,003,859.83|100.00%|81,536,236.82|79.93%|99,500,342.25|100.00%|80,748,141.42|100.00%|
|Total|102,003,859.83|--|81,536,236.82|--|99,500,342.25|--|80,748,141.42|--|

 Note to type of other receivables:
Naught.
Other receivables with large individual amount and provision for bad debt at the end of period:
□Applicable√ Inapplicable
Other receivables in the consolidation with provision for bad debt by aging analysis method:
√ Applicable□ Inapplicable
Unit: RMB Yuan
||||||||
|-|-|-|-|-|-|-|
||Closing balance|||Opening balance|||
||Book balance|||Book balance|||
|Aging|||Provision for bad|||Provision for bad|
|||Proporti|||Proporti||
||Amount||debts|Amount||debts|
|||on|||on||
|Within 1 year|||||||
|Including:|--|--|--|--|--|--|
|Subtotal|9,831,062.11|42.95%|491,553.10|18,164,493.72|89.26%|908,224.69|
|1 to 2 years|11,264,946.91|49.21%|1,126,494.69|1,145,035.00|5.63%|114,503.50|
|2 to 3 years|746,052.00|3.26%|223,815.60|165,000.00|0.81%|33,000.00|
|Over 3 years|934,850.76|4.08%|467,425.38|833,500.76|4.10%|500,100.46|
|3 to 4 years|113,974.12|0.50%|113,974.12|41,974.12|0.21%|41,974.12|
|Over 5 years|22,890,885.90|--|2,423,262.89|20,350,003.60|--|1,597,802.77|

 Other receivables in the consolidation with provision for bad debt by balance percentage method:
□ Applicable√ Inapplicable
Other receivables in the consolidation with provision for bad debt by other methods:
□ Applicable√Inapplicable
Other receivables with small individual amount and provision for bad debt at the end of period:
□ Applicable√Inapplicable
(2) Top 5 companies with largest amount of other receivables
Unit: RMB Yuan
||||||
|-|-|-|-|-|
|||||Proportion in total amount of|
|Company name|Relationship|Amount|Term||
|||||account receivable (%)|
|Ministry of Industry and|||||
||Government sector|10,128,571.10|Within 1 year|9.93%|
|Information|||||
|Wang Ruiqun|Staff|2,588,000.00|Within 1 year|2.54%|
|Wuxi Huarun Gas Co., Ltd.|Partner|1,212,830.80|Within 1 year|1.19%|
|Huang Qingqing|Staff|829,671.14|Within 1 year|0.81%|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
||||||
|-|-|-|-|-|
|The CPC Hunan Provincial|||||
|Party Committee Party|Government sector|400,000.00|Within 1 year|0.39%|
|School,|||||
|Total|--|15,159,073.04|--|14.86%|

2014 Semi-annual Report of Wuxi Little Swan Company Limited. 3. Long-term equity investments
Unit: RMB Yuan
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
|||||||||Explanations on||||
|||||||||differences||Accrued||
|||||||Proporti||||||
||||||||Proportion|between||impairm|Cash|
|||Amount of Initial||Increase/||ons of|||Impairment|||
|Invested entities|Method||Opening amount||Closing amount||of voting|shareholding||ent|dividend|
|||investment||decrease||sharehol|||provision|||
||||||||rights (%)|proportion and||provisio|s|
|||||||ding (%)||||||
|||||||||voting right||n||
|||||||||proportion||||
|Guangzhou Antaida Logistical Co.,|Equity|||||||||||
|||2,000,000.00|3,169,148.88|19,847.57|3,188,996.45|20.00%|20.00%|||||
|Ltd.|method|||||||||||
|Wuxi Little Swan Import & Export|Cost|||||||||||
|||57,500,000.00|57,500,000.00||57,500,000.00|88.46%|88.46%|||||
|Co. , Ltd|method|||||||||||
|Wuxi Little Swan Washing Machine|Cost|||||||||||
|||37,259,587.50||||75.00%|75.00%||37,259,587.50|||
|Co. , Ltd.|method|||||||||||
|Wuxi Meitian Refrigerator Marketing|Cost|||||||||||
|||24,840,000.00||||75.00%|75.00%||24,840,000.00|||
|and Sale Co., Ltd.|method|||||||||||
|Jiangsu Little Swan Marketing and|Cost|||||||||||
|||417,550,000.00|417,550,000.00||417,550,000.00|99.54%|99.54%|||||
|Sales Co. , Ltd.|method|||||||||||
||Cost|||||||||||
|Wuxi Filin Electronics Co. , Ltd.||19,620,041.50|25,660,308.10||25,660,308.10|73.00%|73.00%|||||
||method|||||||||||
|Wuxi Little Swan General Electric|Cost|||||||||||
|||19,600,000.00|19,600,000.00||19,600,000.00|70.00%|70.00%|||||
|Appliances Co. , Ltd.|method|||||||||||
|San Jin(Jing Zhou) Electrical|Cost|11,869,431.12|11,869,431.12||11,869,431.12|100.00%|100.00%|||||

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||||||||
|-|-|-|-|-|-|-|-|-|-|
|Appliances Co. , Ltd.|method|||||||||
|Little Swan International(Singapore)|Cost|||||||||
|||34,052,500.00|34,052,500.00||34,052,500.00|100.00%|100.00%|||
|Co., Ltd.|method|||||||||
|Hefei Royalstar Washing Equipment|Cost|||||||||
|||830,962,252.35|830,962,252.35||830,962,252.35|69.47%|69.47%|||
|Manufacturing Co., Ltd|method|||||||||
|Tianjin Little Swan Washing Machine|Cost|||||||||
|||200,000,000.00|200,000,000.00|-200,000,000.00|0.00|100.00%|100.00%|||
|Co. , Ltd.|method|||||||||
|Suzhou People's Shopping|Cost|||||||||
|||150,000.00|150,000.00||150,000.00|||||
|Mall(100,000 shares)|method|||||||||
|Bank of Jiangsu Inc. (2,202,564|Cost|||||||||
|||1,100,000.00|1,210,000.00||1,210,000.00|||||
|shares)|method|||||||||
|Total|--|1,656,503,812.47|1,601,723,640.45|-199,980,152.43|1,401,743,488.02|--|--|--|62,099,587.50|

 Note: Wuxi Little Swan Washing Machine Co. , Ltd. had been cancelled on 15 Jul. 2017.
2014 Semi-annual Report of Wuxi Little Swan Company Limited. 4. Operating revenues and costs
(1) Operating revenues and costs
Unit: RMB Yuan
||||
|-|-|-|
|Item|Reporting period|Same period of last year|
|Revenue from main business|3,402,936,436.54|2,727,383,248.53|
|Revenue from other business|239,763,786.41|183,019,115.33|
|Total|3,642,700,222.95|2,910,402,363.86|
|Operating costs|2,718,742,930.62|2,197,383,259.40|

 (2) Main business (by industry)
Unit: RMB Yuan
||||||
|-|-|-|-|-|
||Reporting period||Same period of last year||
|Industry|||||
||Operating income|Operating costs|Operating income|Operating costs|
|Household appliances|||||
||3,402,936,436.54|2,497,703,786.49|2,727,383,248.53|2,027,184,268.86|
|Manufacturing|||||
|Total|3,402,936,436.54|2,497,703,786.49|2,727,383,248.53|2,027,184,268.86|

 (3) Main business (by product)
Unit: RMB Yuan
||||||
|-|-|-|-|-|
||Reporting period||Same period of last year||
|Product|||||
||Operating income|Operating costs|Operating income|Operating costs|
|Washing machine|3,402,936,436.54|2,497,703,786.49|2,727,383,248.53|2,027,184,268.86|
|Total|3,402,936,436.54|2,497,703,786.49|2,727,383,248.53|2,027,184,268.86|

 (4) Main business (by region)
Unit: RMB Yuan
||||||
|-|-|-|-|-|
||Reporting period||Same period of last year||
|Region|||||
||Operating income|Operating costs|Operating income|Operating costs|
|Domestic|3,032,491,395.17|2,157,882,349.17|2,441,391,796.73|1,761,028,103.60|
|Other countries|370,445,041.37|339,821,437.32|285,991,451.80|266,156,165.26|
|Total|3,402,936,436.54|2,497,703,786.49|2,727,383,248.53|2,027,184,268.86|

2014 Semi-annual Report of Wuxi Little Swan Company Limited. (5) Operating revenues of the top 5 clients of the company
Unit: RMB Yuan
||||
|-|-|-|
|||Proportion in total|
|Name of client|Total operating revenues||
|||operating revenue (%)|
|Suning Yunshang Group Co., LTD. Suning Purchasing Center|324,363,654.31|8.90%|
|MIDEA ELECTRIC TRADING SINGAPORE)CO.PTE.LTD|262,458,087.19|7.21%|
|Beijing Jingdong Century Information Technology Co., Ltd.|92,580,624.78|2.54%|
|Guizhou Midea Refrigeration Sales Co., Ltd.|67,985,002.52|1.87%|
|PAKSHOMA COMPANY|63,556,770.56|1.74%|
|Total|810,944,139.36|22.26%|

 5. Investment income
(1) Details of investment income
Unit: RMB Yuan
||||
|-|-|-|
|Item|Reporting period|Same period of last year|
|Income from long-term equity investment calculated by cost|||
|||50,000.00|
|method|||
|Income from long-term equity investment calculated by|||
||19,847.57|53,125.03|
|equity method|||
|Investment income from disposal of long term equity|||
||-8,513,054.48||
|investment|||
|Investment income gained during the period of holding|||
||2,341,450.00|3,071,840.00|
|marketable financial assets|||
|Others|29,625,630.07|19,567,723.65|
|Total|23,473,873.16|22,742,688.68|

 (2) Income from long-term equity investment calculated by cost method
Unit: RMB Yuan
|||||
|-|-|-|-|
|||Same period of last|Reason of increase/decrease in current|
|Invested company|Reporting period|||
|||year|period|
|Suzhou People’s Department Store||50,000.00||
|Total||50,000.00|--|

(3) Income from long-term equity investment calculated by equity method
Unit: RMB Yuan
2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||
|-|-|-|-|
|||Same period of last|Reason of increase/decrease in current|
|Invested company|Reporting period|||
|||year|period|
|Guangzhou Antaida Logistical Co., Ltd.|19,847.57|53,125.03||
|Total|19,847.57|53,125.03|--|

6. Appendix of Cash Flow Statement
Unit: RMB Yuan
||||
|-|-|-|
|Item|Reporting period|Same period of last year|
|1. Reconciliation of net profit to net cash flows generated from operating|||
||--|--|
|activities|||
|Net profit|227,125,958.29|175,420,207.11|
|Add: Provision for impairment of assets|-5,948,475.57|2,850,533.92|
|Depreciation of fixed assets, of oil-gas assets, of productive biological|||
||34,895,098.81|29,124,372.80|
|assets|||
|Amortization of intangible assets|1,461,305.51|1,398,648.06|
|Amortization of long-term deferred expense|8,753,810.65|11,994,070.95|
|Losses on disposal of property, plant and equipment, intangible assets and|||
|other|-1,895,918.10|9,094.71|
|long-term assets(gains: negative)|||
|Loss from fair value change (gains: negative)|7,835,910.00|-6,513,520.00|
|Finance expense (gains: negative)|656,433.57||
|Investment loss(gains: negative)|-23,473,873.16|-22,742,688.68|
|Decrease in deferred income tax assets(gains: negative)|-28,522,173.33|-8,247,791.44|
|Increase in deferred income tax liabilities(decrease: negative)|-1,175,386.50|977,028.00|
|Decrease in inventory(gains: negative)|174,934,408.77|210,786,341.44|
|Decrease in accounts receivable from operating activities(gains: negative)|31,340,893.17|257,042,104.21|
|Increase in payables from operating activities(decrease: negative)|124,904,484.60|48,743,611.37|
|Net cash flows generated from operating activities|550,892,476.71|700,842,012.45|
|II. Investing and financing activities that do not involving|||
||--|--|
|cash receipts and payment:|||
|III. Net increase in cash and cash equivalents|--|--|
|Closing balance of cash|1,293,828,638.93|804,050,801.77|
|Less: Opening balance of cash|882,413,120.18|848,257,647.96|
|Add: Closing balance of cash equivalents|||
|Less: Opening balance of cash equivalents|||
|Net increase in cash and cash equivalents|411,415,518.75|-44,206,846.19|

XIV. Supplementary information
1. List of non-recurring gains and losses in the period
2014 Semi-annual Report of Wuxi Little Swan Company Limited. Unit: RMB Yuan
||||
|-|-|-|
|Item|Amount|Notes|
|Loss and gains on disposal of non-current assets (Including write-off part of|||
||-1,184,389.51||
|the provision for asset impairment)|||
|Governmental subsidy included in the current profits and losses(is closely|||
|related with the business event, except for the governmental subsidy that|||
||6,454,141.22||
|according to the national unity standard quota or the quantitative regal|||
|assets)|||
|Gains and losses of committing others of investment or managing assets|52,412,042.89||
|The reversal of impairment of receivables of the individual impairment test|1,688,200.34||
|Income and expenses of the other operation except for the mentioned above|5,548,244.81||
|The other items of gains and losses conforming the definition of|||
||1,652,425.93||
|non-recurring gains and losses|||
|Less：the effect of income tax|-5,809,948.33||
|the effect of minority interest (after tax)|9,985,599.85||
|Loss and gains on disposal of non-current assets (Including write-off part of|||
||6,914,582.47||
|the provision for asset impairment)|||
|Governmental subsidy included in the current profits and losses(is closely|||
|related with the business event, except for the governmental subsidy that|||
||43,860,535.03|--|
|according to the national unity standard quota or the quantitative regal|||
|assets)|||

The government subsidies included in the current profits and losses was the current profits and losses project, which shall be disclosed with recognition reason.
□ Applicable√ Inapplicable
2. Return on equity and earnings per share
Unit: RMB Yuan
|||||
|-|-|-|-|
||Weighted average return|Earnings per share||
|Profits in the reporting period||||
||on equity (%)|Basic EPS|Diluted EPS|
|Net profits belonging to shareholders of common shares|7.78%|0.50|0.50|
|Net profits belonging to shareholders of common shares||||
||6.70%|0.43|0.43|
|after deducting non-recurring profit and loss||||

3. Main items in the accounting statements and movements thereof
Unit: RMB Ten thousand
|||||||
|-|-|-|-|-|-|
|Item|30 Jun.2014/Jan.-Jun.2014|31 Dec.2013/Jan.-Jun.2013|Increase/decrease|Increase/decrease (%)|Reasons for movement|

2014 Semi-annual Report of Wuxi Little Swan Company Limited.
|||||||
|-|-|-|-|-|-|
|Monetary capital|216,529.51|161,737.31|54,792.20|34%|Operating activities net cash flows greatlyincreased|
|Tradable financialassets|148.70|1,501.67|-1,352.98|-90%|Affected by exchange rate fluctuations,foreign currency forward contracts fair valuedecreased and the foreign currency forwardcontracts signed with the bank decreased|
|Long-termdeferred expense|346.65|714.78|-368.13|-52%|The mold amortization, book value decreased|
|Note payable|86,824.07|38,567.31|48,256.75|125%|Payment since the opening bank acceptanceway increased in the reporting period|
|Receivable inadvance|43,953.59|105,795.26|-61,841.67|-58%|Affected by the sales cycle, deferred revenuehad decreased|
|Special accountpayable|378.40|207.40|171.00|82%|Received relocating &rebuildingcompensation for this issue in the reportingperiod|
|Deferred incometax liabilities|24.57|228.44|-203.86|-89%|The book value of tradable financial assetsdecreased|
|Sales expense|70,887.22|53,996.61|16,890.61|31%|Increased in line with the increase of salesincome|
|Financial expense|-989.98|2,014.31|-3,004.29|-149%|Exchange rate change, exchange loss reduced|
|Assetsimpairment loss|1,142.00|1,372.64|-230.64|-17%|Raw material price loss reduced|
|Gains on thechanges in the fairvalue|-1,352.98|1,058.47|-2,411.45|-228%|Gains on the changes in the fair value of theforeign currency forward contracts reduced|
|Investmentincome|5,637.81|3,858.17|1,779.64|46%|As the increase of bank of financial productsand yield rate, the income of bank financialproducts increased|
|Non-operatingincome|1,161.42|1,765.09|-603.67|-34%|Gains on the disposal of fixed assets andpenalty was less than that in last year|
|Non-operatingexpenses|474.82|743.25|-268.43|-36%|Decreased in the disposal of fixed assets|
|Othercomprehensiveincome|22.60|-56.97|79.57|140%|Exchange rate changes and changes oftranslation reserve|
|The net cash flowfrom investmentactivities|-13,449.52|-60,014.40|46,564.88|78%|The financial products pay in cash and cashdue to recover were comparatively balance|

2014 Semi-annual Report of Wuxi Little Swan Company Limited. X. Documents Available for Reference
1. Text of the Semi-annual Report 2014 with the signature of the Chairman of the Board of Directors.
2. Accounting statements with signatures and seals of the legal representative, the chief financial officer and the head of accounting.
3. Originals of all documents and announcements of the Company ever disclosed on Securities Times and Hong
Kong Ta Kung Pao in the reporting period.
Wuxi Little Swan Co., Ltd.
Legal Representative: Fang Hongbo
5 Aug. 2014