Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report Dongxu Optoelectronic Technology Co., Ltd.
2015 Annual Report
February 2016
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report I. Important Notice, Table of Contents and Definitions
The Board of Directors ,Supervisory Committee, all directors, supervisors and senior executives of the Company hereby guarantees that there are no misstatement, misleading representation or important omissions in this report and shall assume joint and several liability for the authenticity, accuracy and completeness of the contents hereof. Mr.Li Zhaoting, The Company leader, Mr.Zhou Bo, Chief financial officer and the Mr..Zhou Bo, the person in charge of the accounting department (the person in charge of the accounting )hereby confirm the authenticity and completeness of the financial report enclosed in this annual report.
All the directors attended the board meeting for reviewing the Annual Report.
The development strategy, operation plan and other forward-looking statements involved in this report will not constitute any substantive commitment to the investors by the Company. Investors please be aware of the investment risks.
The development strategy, operation plan and other forward-looking statements involved in this report will not constitute any substantive commitment to the investors by the Company. Meanwhile, investors please refer to Chapter 4 Discussion and Analysis of Management on the possibly facing risks of Discussion and Analysis of theCompany’s Future Development, and be aware of the investment risks.
The profit distribution proposal reviewed and approved by the boarding meeting was summarized as follows: total share of December 31, 2015 for Base on theCompany‘s total share capital , the Company would distribute cash cash dividend to all the shareholders at the rate of CNY 0.70 for every 10 shares (with tax inclusive)，
0 bonusshares（includingtax）and no reserve would be converted into share capital
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report Table of Contents
I..Important Notice, Table of contents and Definitions
II. Basic Information of the Company and Financial ixdex
III. Outline of Company Business
IV.
Management’s Discussion and Analysis
V.Important Events
VI. Change of share capital and shareholding of Principal Shareholders
VII. Situation of the Preferred Shares
VIII. Information about Directors, Supervisors and Senior Executives
IX. Administrative structure
X. Financial Report
XI. Documents available for inspection
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report Definition
||||
|-|-|-|
|Terms to be defined|Refers to|Definition|
|Company Law|Refers to|Company Law of the People’s Republic of China|
|Securities Law|Refers to|Securities Law of the People’s Republic of China|
|CSRC|Refers to|China Securities Regulatory Commission|
|SZSE|Refers to|Shenzhen Stock Exchange|
|Dongxu Gruop|Refers to|Dong Xu Group Co., Ltd.|
|Baoshi Group|Refers to|Shijiazhuang Baoshi Electronics Group Co., Ltd|
|Dongxu Optoelectronic , Company, The|||
||Refers to|Dongxu Optoelectronic Technology Co., Ltd.|
|Conpany|||
|Zhengzhou Xufei|Refers to|Zhengzhou Xufei Optoelectronic Technology Co., Ltd.|
|Dongxu（Yingkou）Optoelectronic|Refers to|Dongxu（Yingkou）Optoelectronic Display Co., Ltd.|
|Sichuan Xuhong Optoelectronic|Refers to|Sichuan Xuhong Optoelectronic Technology Co., Ltd.|
|Shijiazhuang Xuxin|Refers to|Shijiazhuang Xuxin Optoelectronic Technology Co., Ltd.|
|||Wuhu Dongxu Optoelectronic Technology Co., Ltd., was the|
|Wuhu Optoelectronic|Refers to|implementation unit of the non-public item to raise money for and invest|
|||in of “The Project of Production Line for Panel Display Plate” in 2013|
|Wuhu Equipment|Refers to|Wuhu Dongxu Optoelectronic Equipment Technology Co., Ltd.|
|Shijiazhuang Equipment|Refers to|Shijiazhuang Dongxu Optoelectronic Equipment Technology Co., Ltd.|
|||Dongxu（Kunshan）Display material Co., Ltd.， was the implementation|
|Dongxu (Kunshan )|Refers to|unit of the non-public item to raise money for and invest in “Project of|
|||Production Line for the 5th-generation CF for TFT-LCD”.|
|BOE|Refers to|BOE Technology Group Co., Ltd.|
|IVO|Refers to|Infovision Optoelectronics Co., Ltd.|
|CPT|Refers to|Chunchwa Picture Tubes Co., Ltd.|
|CRT|Refers to|Cathode Ray Tube|
|TFT-LCD|Refers to|Thin Film Transistor Liquid Crystal Display|
|||A thin glass sheet with extremely smooth surface is a basic component of|
|||constituting LCD display device as well as one of the critical basic|
|Glass substrate|Refers to|materials in panel display industry. The glass sheet can be divided into|
|||various generations by its size, and the higher the generation is, the bigger|
|||the size will be.|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|G5 glass substrate|Refers to|The size of the 5th-generation glass substrate is 1100 mm×1300 mm.|
|G6 glass substrate|Refers to|The size of the 6th-generation glass substrate is 1500 mm×1850 mm.|
|CF|Refers to|Critical original materials of LCD panel for realizing colorization display|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report II. Basic Information of the Company and Financial ixdex
I. Company Information
|||||
|-|-|-|-|
|Stock abbreviation|Dongxu Optoelectronic, Dongxu B|Stock code：|000413、200413|
|Stock abbreviation after||||
||Dongxu Optoelectronic, Dongxu B|||
|change (if any)||||
|Stock exchange for||||
||Shenzhen Stock Exchange|||
|listing：||||
|Name in Chinese|东旭光电科技股份有限公司|||
|Chinese Abbreviation|东旭光电|||
|English name (If any)|Dongxu Optoelectronic Technology Co., Ltd.|||
|English abbreviation (If any)|Dongxu Optoelectronic|||
|Legal Representative|Li Zhaoting|||
||No.9, Huanghe Road, Shijiazhuang High-tech Industrial Development Area,|||
|Registered address||||
||Shijiazhuang, Hebei Province|||
|Postal code of the||||
||050035|||
|Registered Address||||
|Office Address|No.5 Court, No.23 A Fuxing Road, Haidian District, Beijing|||
|Postal code of the office||||
||100036|||
|address||||
|Internet Web Site|www:dongxuguangdian.com.cn|||
|E-mail|dxgd@dong-xu.com|||

II. Contact person and contact manner
||||
|-|-|-|
||Board secretary|Securities affairs Representative|
|Name|Gong Xin|Wang Qingfei|
||No.5 Court, No.23 A Fuxing Road,|No.5 Court, No.23 A Fuxing Road,|
|Contact address|||
||Haidian District, Beijing|Haidian District, Beijing|
|Tel|010-68297016|010-68297016|
|Fax|010-68297016|010-68297016|
|E-mail|gongxin_dx@126.com|baoshixzb@126.com|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report III. Information disclosure and placed
|||
|-|-|
|Newspapers selected by the Company for information|China Securities Journal , Hong Kong Commercial Daily and Securities|
|disclosure|Times|
|Internet website designated by CSRC for publishing||
||http://www.cninfo.com.cn|
|the simi-Annual report of the Company||
|The place where the semi-Annual report is prepared||
||Securities Dept of the Company|
|and placed||

IV. Registration changes of the Company
|||
|-|-|
|Organization Code|No change|
|Changes in principal business activities||
||No change|
|since listing (if any)||
||On April 18, 2013，520 million Ashares privately issued by the Company were|
||listedatthezhen Stock Exchange，Dongxu Group participated in subscription, and|
||directly controls 14.40% equity of the Company, becorning the controlling shareholder|
||of the Company, which indirectly held 12.27% of the Company’s shares by means of|
||Baoshi Group, the original controlling shareholder, holding 26.67% of the Company’s|
|Changes is the controlling shareholder in||
||shares in total. On December 17, 2015, 1,173,020,525 A shares with non-public issue|
|the past (is any)||
||of the Company in 2015 listed in SZSE, where Dongxu Group participated in|
||subscribing 439.882697 million shares, which would held 21.64% of the Company’s|
||shares directly after subscription and held 8.67% of the Company’s shares indirectly by|
||means of Baoshi Group, holding 30.31% of the Company’s shares in total.|

V. Other Relevant Information
CPAs engaged
|||
|-|-|
|Name of the CPAs|Hebei Guanghua Accounting Firms Co., Ltd.(Special General Partnership)|
|Office address|4/F,Anqiao Business Building , No.77 Guangan Street, Changan District, Shijiazhuang|
|Names of the Certified Public||
||Wang Fengqi, Meng Xiaoguang|
|Accountants as the signatories||

The sponsor performing persist ant supervision duties engaged by the Company in the reporting period.
√Applicable□Not applicable
|||||
|-|-|-|-|
|Name|Office address|Representative|Consistent supervision period|
||4/F, Chuangjian Building,|||
||||March 20,2015-December 31,|
|Southwest Securities Co., Ltd.|No.6023, Shennan Road, Futian|Huang Bo, He Jin||
||||2016|
||District, Shenzhen.|||

The Financial advisor performing persist ant supervision duties engaged by the Company in the reporting period
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report□
Applicable√ Not applicable
VI. Summary of Accounting data and Financial index
May the Company make retroactive adjustment or restatement of the accounting data of the previous years due to change of the accounting policy and correction of accounting errors.
□ Yes√ No
||||||
|-|-|-|-|-|
||||Changed over last year||
||2015|2014||2013|
||||（％）||
|Operating Gross income（RMB）|4,650,208,448.10|1,600,750,745.69|190.50%|765,518,591.49|
|Net profit attributable to the|1,326,233,674.37|468,902,701.44|||
|shareholders of the listed company|||182.84%|195,959,827.62|
|（RMB）|||||
|Net profit after deducting of|822,699,390.70|78,312,630.78|||
|non-recurring gain/loss attributable|||||
||||950.53%|73,813,371.40|
|to the shareholders of listed|||||
|company（RMB）|||||
|Cash flow generated by business|1,780,128,962.94|-1,017,554,188.65|||
||||274.94%|-2,098,314,232.35|
|operation, net（RMB）|||||
|Basic earning per|0.48|0.17|||
||||182.35%|0.09|
|share(RMB/Share)|||||
|Diluted gains per|0.48|0.17|||
||||182.35%|0.09|
|share(RMB/Share)(RMB/Share)|||||
|Net asset earning ratio（%）|14.99%|6.11%|8.88%|4.41%|
|||End of|Changed over last||
||End of 2015|||End of 2013|
|||2014|year（％）||
|Gross assets（RMB）|28,798,623,253.33|18,488,221,665.49|55.77%|15,107,436,628.17|
|Net assets attributable to|14,319,481,941.28|7,677,125,274.36|||
|shareholders of the listed company|||86.52%|7,465,788,965.48|
|（RMB）|||||

VII. The differences between domestic and international accounting standards
1．Simultaneously pursuant to both Chinese accounting standards and international accounting standards disclosed in the financial reports of differences in net income and net assets.
□Applicable□√ Not applicable
N/A
2. Differences of net profit and net assets disclosed in financial reports prepared under overseas and Chinese accounting standards.
□ Applicable√Not applicable
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report N/A
VIII. Main Financial Index by Quarters
In RMB
||||||
|-|-|-|-|-|
||First quarter|Second quarter|Third quarter|Fourth quarter|
|Operating income|598,858,730.43|925,383,993.47|998,678,446.79|2,127,287,277.41|
|Net profit attributable to the|||||
||158,271,987.10|239,442,501.57|342,173,558.44|586,345,627.26|
|shareholders of the listed company|||||
|Net profit after deducting of|||||
|non-recurring gain/loss attributable|||||
||34,492,437.26|173,922,577.17|108,346,857.33|505,937,518.94|
|to the shareholders of listed|||||
|company|||||
|Net Cash flow generated by|||||
||-58,734,373.46|858,098,231.03|531,062,382.83|449,702,722.54|
|business operation|||||

Whether significant variances exist between the above financial index or the index with its sum and the financial index of the quarterly report as well as semi-annual report index disclosed by the Company.
□ Yes√No
IX. Items and amount of non-current gains and losses
√Applicable□Not applicable
In RMB
||||||
|-|-|-|-|-|
|Items|Amount (2015)|Amount (2014)|Amount (2013)|Notes|
|Non-current asset disposal|-42,342.96||||
|gain/loss(including the write-off part for||-89,370.72|6,783,729.96||
|which assets impairment provision is made)|||||
|Govemment subsidies recognized in|514,763,264.28||||
|currentgain and loss(excluding those closely|||||
|||441,054,640.22|133,954,541.90||
|related to the Company’s business and|||||
|granted under the state’s policies)|||||
|Gains and losses from change of fair values|18,763,137.14||||
|of held-for-transaction financial assets and|||||
|financial liabilities except for the effective|||||
|hedge business related to normal business of|||||
|||580.38|||
|the Company, and investment income from|||||
|disposal of transactional financial assets and|||||
|liabilities and financial assets available for|||||
|sale|||||
|Net profit or loss of subsidiaries from the|84,703,345.09|44,240,758.16|42,341,652.39||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||
|-|-|-|-|-|
|beginning of the period up to the business|||||
|combination date recognized as a result of|||||
|business combination of enterprises under|||||
|common control|||||
|Reversal of impairment provisions for|14,009,355.59||||
|the accounts receivable on which|||||
||||134,137.19||
|impairment tests were carried out|||||
|separately|||||
|Gain/loss on loans obtained by|4,500,000.00||||
|||4,083,333.33|4,000,000.00||
|entrusting others|||||
|Other non-operating income and expenditure|2,588,776.63||||
|||175,950.50|7,737,795.73||
|beside for the above items|||||
|Less: Influenced amount of income tax|82,348,493.83|65,281,344.97|33,899,759.46||
|Amount of influence of minority interests|53,402,758.27||||
|||33,594,476.24|38,905,641.49||
|（After tax）|||||
|Total|503,534,283.67|390,590,070.66|122,146,456.22|--|

For theCompany’s non-recurring gain/loss items as defined in the Explanatory Announcement No.1 on
information disclosure for Compaines Offering their Securities to the Public-Non-recurring Gains and Losses and its non-recurring gain/loss items as illustrated in the Explanatory Announcement No.1 on information Disclosure for Companies offering their securities to the public-non-recurring Gains and losses which have been defined as recurring gains and losses, it is necessary to explain the reason.
□Applicable√ Not applicable
None of Non-recurring gain /loss items recorgnized as recurring gain /loss/itesm as defined by the information disclosure explanatory Announcement No.1- Non–recurring gain/loss in the report period.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report III. Outline of Company Business
I. Main Business the Company is Engaged in During the Report Period
The company is primarily engaged in the development of flat panel display glass substrate and equipment, product ion and sales, production and sales of electronic vacuum glass devices and supporting electronic components, Con struction Engineering and Sapphire business,etc , The main products for the TFI-LCD glass substractes, glass substrates outfit , A-frame, brick overflow, Construction Engineering and sapphire material ,etc.
LCD glass substrates are the basic components of LCD. TFT-LCD glass substrates are flat and thin glasses and used as the upstream raw materials for the LCD panels. As one of the key basic materials in the FPD industry, TFT-LCD glass substrates have been broadly applied in the fields of LCD TV, laptop, PC monitor and cell phone. At the end of report period, the company has successfully finished the non-public issuing of 2015 and absorbed Shijiazhuang Xuxin and Zhengzhou Xufei, the trustee companies, into the listed company, which have ensured 7 production lines of G5 TFT-LCD glass substrates in the company. Meanwhile, the 10 production lines of G6 (compatible with G5.5) TFT-LCD glass substrates have been constructed successfully in the subsidiary Wuhu Photo-electricity, within which 5 lines have realized volume production and 6 are being put into trial operation. At present, the glass substrates produced by the company have covered G5 and G6 products and been sold to downstream customers such as IVO, BOE and Chunghwa Picture Tubes Ltd. With satisfying economic benefits, the company has become the biggest LCD glass substrate manufacturers in the nation.
Relying on the self-developed and complete manufacturing technology of FPD glass substrates, the company has become the only enterprise possessing overflow melting method and floating method simultaneously. With green and environmentally friendly arsenic-free formula and key production technology including melting, molding, cutting, transmitting, inspecting and packaging, the company has filled in the blanks of China. The advanced technology has been applied in the production lines of TFT-LCD glass substrates and high-aluminum cover glass in the company and the trustee companies, and the production lines are stably operated with increasing rates of good products, mature application as well as realization of industrial scale. Based on the actual domestication of G6 and the corresponding glass scribing and breaking machine, glass grinding machine, glass washing machine, glass unpacking system, glass packaging system and glass logistics system, the company signed a strategic cooperation frame agreement on equipments with BOE in 2015 for the transformation and upgrading of equipment business.
During the report period, the company has actively expanded business through its construction and installation subsidiaries Hebei Xubao and Sichuan Ruiyi, provided all kinds of engineering construction and increased incomes gained from construction and installation through large-scale expansion of the business. Acquiring50.5% of equity in Jiangsu Jixing New Material Co. Ltd. through share acquisition and capital increment in 2015, the company entered into the field of sapphire successfully. At present, the company has owned complete production facility, equipment and related technology from crystal growth to the production of substratum and diaphragm. Products cover large-sized sapphire ingot, 2-8 inch sapphire bar, 2-8 inch sapphire substrate, optical window material, optical sheet for cell phone, crystal bar for laser cosmetology, sapphire encapsulation for optical communication and etc. Xuzhou GAPSS OP Technology, North Microelectronics and other partners are stable customers of the company, and satisfying economic benefits have been achieved during
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report the report period.
During the report period, the “G5 TFT-LCD CF production line”, which is one of the non-public fund-raising investment projects of the company in 2015, has been kicked off. Composed of glass substrate, black matrix color layer, covering layer and ITO conducting film, color filter belongs to the upstream materials of TFT-LCD panel and is the key raw material to realize colorized display. The project will suit the G5 glass substrates produced and sold by Zhengzhou Xufei and Shijiangzhuang Xuxin and promote the added value of existing G5 glass substrates. The channel advantages of the strategic cooperation relations with major domestic downstream panel makers such as BOE and IVO can be effectively developed and further strengthened, the potential value of existing market channels can be explored and the market competitiveness of the company in the TFT-LCD industry can be advanced.
FPD (flat-panel display) industry is one of the most important development projects listed in “Medium and Long-term Development Plan for Information Industry from 2006 to 2020”. In future, relying on the independent and advanced production technology, perfect production and management experience, powerful customer resources and market superiority of FPD industry, the company keeps pushing forward the products optimization and upgrading to consolidate its position as the leading enterprise in the LCD glass substrate production. Meanwhile, by means of industrial investment and industrial integration, the product structure of the company in the FPD industry can be constantly enriched, comprehensive competitiveness and sustainable development capacity can be strengthened, the sustainable ability of independent innovation can be fostered and market development ability can be promoted. Thus, the company can be built into the biggest photoelectric display materials manufacturer in China.
II. Major Changes in Main Assets
1. Major Changes in Main Assets
|||
|-|-|
|Main Assets|Major Changes|

2. Main Conditions of Overseas Assets
□ Applicable√Not applicable
III. Analysis On core Competitiveness
At present, the company business involves LCD glass substrate, complete high-end equipment, construction and installation, and etc. With five industrial bases in Wuhu, Zhengzhou, Shijiazhuang and other cities, the company now is considered as the largest local LCD glass substrate manufacturer in China. When developing the LCD glass substrate, the company keeps focusing on the development of FPD industry and researches on the new products. The business now has covered the color filter, sapphire and other industries with higher industrial cooperativeness, and the company has enhanced the development and layout of strategic new materials including grapheme. The core competitiveness of the company mainly lies in:
1. Powerful independent innovation andR&D ability
Up to the end of the period, the Company and the trustee company have acquired over 800 relevant proprietary intellectual properties of LCD glass substrate, PDP glass substrate and high-alumina float cover glass applying.As the few enterprises in the world mastering complete equipment production technology of LCD glass substrates, the company possesses mature integrated manufacturing capacity of glass substrates through
independent innovation and technologyR&D. At the same time, the overflow melting method and floating
method mastered by the company have laid solid technical foundation for the production of G5 and G6 glass
substrates in the company as well as the production of high-aluminum cover glass in Sichuan Xuhong. The
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report products of the company have now achieved international advanced levels in the technical indicators including particle size, thickness deviation, strain point and luminousness. Besides the strong technical strength, there is also a powerful technology innovation team in the company, and some experts are from South Korea, Japan, Taiwan and etc. Rich experience in raw materials, technology, equipment and quality control has provided guarantee for the continuous upgrading and innovation of technology. In addition, the company values highly the cooperation and exchanges with well-known research institutions and professional colleges at home and abroad. A national engineering laboratory in FPD glass technology and equipment has been set up and technologyR&D and innovation in production lines of high-generation glass substrate, LTPS glass substrate, high-aluminum cover glass and home-made equipment have been comprehensively promoted, which have jointly provided powerful technical andR&D supports for the follow-up development of the company.
2. Industrial strength of national leading enterprises
During the report period, the company has successfully absorbed Shijiazhuang Xuxin and Zhengzhou Xufei, the trustee companies, into the listed company, which have ensured 7 production lines of G5 TFT-LCD glass substrates in the company. Meanwhile, the 10 production lines of G6 (compatible with G5.5) TFT-LCD glass substrates have been constructed successfully in the subsidiary Wuhu Photo electricity, within which 5 lines have realized volume production. With five industrial bases in Wuhu, Zhengzhou, Shijiazhuang and other cities, the company now is considered as the largest local LCD glass substrate manufacturer in China with apparent competitive advantages, and the glass substrates produced by the company have covered G5 and G6 products. While seizing the opportunity of supports to the FPD industry offered by the nation, the company takes “building the flagship inChina’s opto-electronics” as the core objective, and expands the production scale through continuous investments in talents, technology, management, service and etc. Diversified glass substrates have been covered, the industrial integration has been strengthened and the industrial chain has been expanded. Channel advantages in strategic cooperation with downstream panel makers have been fully played, potential values of market channels have been explored and the competitiveness of the company in the TFT-LCD industry has been consolidated.
3. Obvious regional and cost advantages
The color filters, glass substrates and other key raw materials and the core technology as well as the production of spare parts required by the TFT-LCD are controlled by few suppliers from America, Japan and South Korea. The company has successfully broken the technology blockages set by foreign countries, and built factories in Wuhu, Shijiazhuang, Zhengzhou, Kunshan and other places in succession. As to the regions, the company is able to satisfy the product demands of downstream enterprises and provide related supporting services rapidly. Then the demands of downstream panel customers can be better covered and the corresponsive ability for market changes of downstream panel enterprises can be upgraded. In the case of cost, the construction cost and human resource cost are relatively low in Mainland China. Besides, delivery to the downstream panel enterprises at short range can effectively avoid excessive transportation cost, reduce the risk of breakage and save the cost of tariffs if compared to the cooperation with foreign manufacturers. Therefore, compared to the imported products in the market, the products of the company are advantageous in region and cost.
4. Flexible and efficient management and incentive mechanism
After the entrance of Dongxu into the company, the management mechanism has been transferred from state-owned style to privately operated style. Taking over the rich experience in operation and management, efficient management and incentive mechanism as well as a large number of advanced talents of Dongxu in the electronic glass industry, the management of the company is able to accurately analyze the development direction of the market and the industry, rapidly and flexibly seize the opportunities, mobilize talents, capital and other
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report resources by means of marketization, and preempt the strategic high ground in time. In the industrial chain of CE (consumer electronics), which is featured with quick turnover and high trade barrier, the advantages of the company in flexible and efficient management mechanism are highlighted.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report IV.Management’s Discussion and Analysis
I. General
1. Industry Review
TFT-LCD had replaced CRT (cathode ray tube) in most cases because of its outstanding advantages in the display. Currently, TFT-LCD has become the mainstream product in the market. Along with the technical progress and simplification of the process, the costs of TFT-LCD have been largely reduced, and the whole industry has entered into a stable growth period, therefore TFT-LCD will dominate the market in the future for a long time. According to the prediction by Display Search, the revenue of global TFT-LCD panel industry will achieve 143.2 billion USD in 2017, taking83.27% of the whole FPD (Flat-panel display) industry. As the glass substrates take10%-20% of the TFT-LCD panel costs and the color films take about20%, The Color Film accounted for20% of the costs of TFT-LCD panel. Yet the development of TFT-LCD panel will boost its material industries, such as glass substrate industry and color film industry. According toΣintell’s survey data, showing that the total global output of LCD TV panel in 2015 reached to 265 million pieces, a 6.9 percent increase year-on-year. Viewing from the performance of each panelfactory’s output, the ranking of global output had been changed a lot on the ground of the continuous increased capacity of production in Mainland China. The BOE's market share increased 7.3 percent, a big leap and ranked fourth worldwide. TFT-LCD industry has a huge market space, which will
inevitably push the demanding of its materials, such as glass substrate and color film.
Due to the high technical barrier and capital demand of TFT-LCD industry, the LCD industry in mainland China has a low degree of self-sufficiency, therefore there is a huge market space for import substitution. In recent years, the state had promulgated the "2014 Tariff Implementation Plan", "2014-2016 New Display Industry Innovation and Development Action Plan" with a series of policies to encourage the development of TFT-LCD industry and promote the “domestication” of the industry, embolden and support the integration and reconstruction of the related industries, then impel a fast development on upstream display material industries, such as liquid crystal glass substrate, color filter, for the sake of improving the technology and the whole level of development of the industry.
2. Company Operation Review
As an upstream material supplier to the TFT-LCD industry, the company has grabbed the momentous opportunity of “Domestication”, trying to achieve the “Domestication” of materials, such as glass substrate. The company has being active in the development of related downstream industries, for the sake of perfecting the industry chain and improving the international competiveness of thecountry’s LCD industry.
Thecompany’s 10th 6-generation production line (compatible with the 5.5-generation) of TFT-LCD glass substrate has been constructing smoothly. As of the reporting period, 6 production lines had been put into
operation, among which, 5 lines realized mass production. At the end of the reporting period, the company had smoothly completed the 2015 non-publicly issuing of shares to raise money and successfully purchased
Zhengzhou Xufei Company and Shijiazhuang Xuxin Company both before entrusted to the company, making them becoming thecompany’s controlled subsidiaries and enabling the company possessing a
7th
G5 production line of glass substrate for TFT-LCD. The company had utilize the scale effect to incorporate the internal resources ofR&D, supply chain, clients and others to optimize business processes, reduce costs of procurement and
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report production and marketing, Thecompany’s annual realized sales income was 979,843,900 RMB, which increased65.12% year on year. while utilizing synergy effect for better selling company's glass substrate products to downstream clients, such as BOE and IVO, Chunghwa Picture Tubes Ltd, that achieved good economic benefit. The company is one of the several companies in the world who have mastered the technology of producing LCD glass substrate and the pertinent equipments for its production line, and have provided sets of equipment and technical service for manufactures of glass substrate, such as Zhengzhou Xufei Company and Shijiazhuang Xuxin Company. As to the formulation and technical process, the company has mastered the environmental-friendly and none-arsenic formulation and key production technologies on melting, shaping, cutting, transmission, inspection and film packaging. In recent years, the company had respectively signed a strategic cooperation agreement with BOE and IVO, and gradually expanded the equipment business of panel production line to downstream panel manufacturers. During the report period, the Company invented in establishing Jiangxu Dongxu Yitai Intelligent Equipment Co., Ltd., attempting to purchase the business of the high-end equipment company for reserving the core technology patents and top talents for the steady development of equipment business. The income of outfit manufacture and technical service was 233,355,761,800 RMB in a whole year, increasing796.95% year on year. In 2015, the company had extended its industrial chain via industrial integrations. Firstly, through share
acquisition and capital increase, the company had obtained50.5% stake of Jiangsu Jixing Company, successfully pitched in Sapphire fields. At present, the company possesses a whole set of production facility, equipments and pertinent technology in respect of sapphire crystal growth and sapphire substrate and wafer manufacturing, having stable customers, such as Xuzhou Tongxin Company, North Microelectronics Co.,Ltd, and 280,494,200 RMB of sales income was realized at the report period, occupying6.03% of theCompany’s operation income, which made good economic benefits. Besides, the company laterally expanded to the upstream material of TFT-LCD through its project-“The Fifth Generation TFT-LCD Color Filter Production Line Project”, which is one of the invested projects related to the 2015 non-public issuing. The color filter is attributed to upstream material of TFT-LCD panel, and it is a key raw material for the realization of color display of LCD panels. The project of The 5G TFT-LCD Color Filter Production Line will provide products matched with the 5G glass substrate provided by Zhengzhou Xu Fei Company or Shijiazhuang Xu Xin Company. By means of producing color filter, it could increase the added value of glass substrate, improve thecompany’s product chain, better serve panel
manufacturers and improve thecompany’s profitability and market competitiveness.
During the reporting period, the company had strengthened the research and development of new materials. Concretely, the company, together with Beijing Institute of Technology, had set up a joint-venture company Beijing Xutan New Materal Technology C0., ltd as a research platform for grapheme, being committed to technology research and product development of applying technology of graphene and other photoelectric display materials. Besides, the company had signed a strategic cooperation agreement with Beijing Hyundai Huaqing Materials Science and Technology Development Center of a joint investment of establishing Beijing Dongxu Huaqing Investment Co., Ltd.to build a graphene investment and financing platform focusing on investment and strategic planning of industries related to the graphene industry. Graphene is a revolutionary material, which has characteristics, such as high conductivity, high tenacity, high tensile, super light, and it will have a huge market space in the future.
With the domestic expanded capacity of panel production in recent years, the domestic glass substrates are more likely to replace the importations, which would create a great opportunity for glass substrate business. During the reporting period, the company had fully utilized its dominant position in the domestic industry, as by virtue of theproduct’s price advantage and the geographical advantage, the company positively seized the market
opportunities to constantly explore the market, establish stable sales channels, improve its market share and achieve economies of scale, while laying a foundation for the company's future sustainable development.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report 3. Fulfill its commitments of asset injection to reduce horizontal competitions and related transactions.
At the end of the reporting period, the company completed the 2015 non-public share issuing and successfully incorporated Zhengzhou Xufei Company and Shijiazhuang Xuxin Company, comparing with entrusted
management, it shall effectively solve horizontal competitions of glass substrate production and sales between the controlling shareholder and the company, also, it was a commitment of solving horizontal competition fulfilled by the company, its actual controller and the controlling shareholder, thus shall effectively reduce the related transactions between the company and related parties, further make the company becoming a high quality and standard listed company.
II. Main business analysis
1. General
Refer to relevant contents of “1.Summarization” in “Discussion and Analysis of Management”.
2. Revenue and cost
(1)Component of Business Income
In RMB
|||||||
|-|-|-|-|-|-|
||2015||2014|||
||||||Increase /decrease|
||Amount|Proportion|Amount|Proportion||
|Total operating|4,650,208,448.10||1,600,750,745.69|||
|||100%||100%|190.50%|
|revenue||||||
|Industry||||||
|Whole set of||||||
|equipment and|2,335,561,840.90|50.22%|260,388,062.17|16.27%|796.95%|
|Technology serves||||||
|Glass substrate|979,843,906.90|21.07%|593,418,100.77|37.07%|65.12%|
|Construction||||||
||280,494,160.83|6.03%||0.00%|100.00%|
|Installation||||||
|Electric vacuum||||||
|glass devices and||||||
||890,941,023.85|19.16%|597,786,689.45|37.34%|49.04%|
|supporting electronic||||||
|device||||||
|Sapphire material|7,123,333.34|0.15%|11,588,953.38|0.72%|-38.53%|
|Other|156,244,182.28|3.37%|137,568,939.92|8.60%|13.58%|
|Area||||||
|Domestic|4,354,395,626.02|93.64%|1,556,025,761.89|97.21%|179.84%|
|Hongkong, Macao|295,812,822.08|6.36%|40,126,454.99|2.51%|637.20%|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
|and Taiwan||||
|Overseas|4,598,528.81|0.29%|-100.00%|

 (2)Situation of Industry, Product and District Occupying theCompany’s Business Income and Operating Profit with Profit over10%
In RMB
||||||||
|-|-|-|-|-|-|-|
||||||Increase/decrease||
|||||Increase/decrease||Increase/decrease|
||||||of rincipal||
|||||of reverue in the||of gross profit|
||||Gross profit||business cost over||
||Turnover|Operation cost||same period of||rate over the same|
||||rate(%)||the same period||
|||||the previous||period of the|
||||||of previous year||
|||||year(%)||previous year (%)|
||||||(%)||
|Industry|||||||
|Whole set of|||||||
|equipment and|||||||
||2,335,561,840.90|1,078,657,382.33|53.82%|796.95%|867.59%|-3.37%|
|Technology|||||||
|serves|||||||
|Glass substrate|979,843,906.90|623,256,190.80|36.39%|65.12%|88.57%|-7.91%|
|Construction|||||||
||890,941,023.85|800,382,739.30|10.16%|49.04%|59.75%|-6.02%|
|Installation|||||||

Under circumstances of adjustment in reporting period for statistic scope of main business data, adjusted main subiness based on latest onyear’s scope of period-end.
□ Applicable√Not applicable
(3)Whether theCompany’s Physical Sales Income Exceeded Service Income
□ Yes√ No
(4)Degree of Performance of the Significant Sales Contract Signed up to this Report Period
□ Applicable√Not applicable
(5)Component of business cost
||||||||
|-|-|-|-|-|-|-|
|||2015||2014|||
||||Proportion in the||Proportion in the|Increase/Decrease|
|Industry|Items||||||
|||Amount|operating costs|Amount|operating costs|(%)|
||||(%)||(%)||
|Whole set of|||||||
|equipment and|||||||
||operation costs|1,078,657,382.33|38.52%|111,478,201.49|10.66%|867.59%|
|Technology|||||||
|serves|||||||
|Glass substrate|operation costs|623,256,190.80|22.26%|330,524,374.62|31.60%|88.57%|
|Sapphire material|operation costs|227,573,985.00|8.13%||0.00%|100.00%|
|Construction|||||||
||operation costs|800,382,739.30|28.58%|501,033,984.81|47.90%|59.75%|
|Installation|||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||
|-|-|-|-|-|-|-|
|Electric vacuum|||||||
|glass devices and|||||||
||operation costs|5,956,064.28|0.21%|9,812,575.72|0.94%|-39.30%|
|supporting|||||||
|electronic devices|||||||
|Other business|operation costs|64,527,156.33|2.30%|93,173,473.76|8.90%|-30.75%|

 (6)Whether Changes Occured in Sonsolidation Scope in the Report Period
√ Yes□ No
1.Enterprise consolidation ont under the same control
（1）Enterprise consolidation not under the same control in reporting period
InRMB’0000
|||||||||
|-|-|-|-|-|-|-|-|
|Name of Acquiree|Time-point ofObtainedEquity|ObtainedCost ofEquity|Ratio ofObtainedEquity(100%)|Method ofObtainedEquity|PurchasingDate|DeterminationBasis on thePurchasingDate|Income ofAcquire fromthePurchasingDate to theEnd of thePeriod|
|Jiangsu Jixing NewMaterial Co., Ltd.|February28,2015|16,734.53|50.50|Purchase andadd share|F e bruary28,2015|Payconsiderationand completeindustrial andcommercialchangeregistration|28,115.28|

(2) Consolidation Cost and Goodwill
||
|-|
|Items|
|Consolidation Cost|
|—Cash|
|Total consolidation cost|
|Less：Reduction: Obtained Definable Net Assets Fair Proportion|
|Amount of merging cost which is less than the fair value proportion of obtained netidentifiable asset|

(3) The identifiable assets and liabilities of acquiree at purchase date
Items Jiangsu Jixing New Material Co., Ltd.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||
|-|-|
||Fair value on purchase date|
|Assets：||
|Monetary fund|259,007,478.19|
|Bill receivable|3,753,250.00|
|Account receivable|47,264,960.80|
|Prepayments|12,885,701.67|
|Other receivable|18,625,745.67|
|Inventories|28,472,711.75|
|Fixed assets|287,064,516.90|
|Construction in process|13,625,131.74|
|Intangible assets|60,810,554.47|
|Deferred income tax asset|4,661.45|
|Liability||
|Short-term loans|106,257,500.00|
|Bill payable|203,000,000.00|
|Account payable|17,956,318.31|
|Advance receipts|30,936.29|
|Employees’ wage payable|1,420,363.53|
|Tax payable|-9,484,406.23|
|Interest payable|614,166.00|
|Other payable|43,188,276.05|
|Net assets|368,531,558.69|
|Less：Minority interest||
|Acquire net assets|368,531,558.69|

2. Business combination under the same control
(1) Business combination under the same control during the reporting period
|||||
|-|-|-|-|
|Name of Combined Party|Equity Ratios Obtainingfrom BusinessCombination (%)|Basis of Constituting BusinessCombination under the SameControl|CombiningDate|
|Zhengzhou XufeiOptoelectronic TechnologyCo., Ltd.|100|Both are ultimately controlled by LiZhaoting|December 19|
|Shijiazhuang XuxinOptoelectronic TechnologyCo., Ltd.|100|Both are ultimately controlled by LiZhaoting|December 31|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
（Continued）
|||||
|-|-|-|-|
|Name of Combined Party|Income of CombinedParty from theBeginning of theCombining Year toCombining Date|Net Profit of CombinedParty from the Beginningof the Combining Year toCombining Date|Income ofCombined Partyduring theComparisionPeriod|
|Zhengzhou Xufei OptoelectronicTechnology Co., Ltd.|547,067,663.63|45,472,999.97|361,113,003.53|
|Shijiazhuang Xuxin OptoelectronicTechnology Co., Ltd.|162,453,972.34|39,230,345.12|64,300,670.00|

（2）Consolidation Cost
|||
|-|-|
|Consolidation Cost|Zhengzhou XufeiOptoelectronicTechnology Co., Ltd.|
|—Cash|1,927,626,856.67|
|Total|1,927,626,856.67|

 (3) The book value of the assets and liabilities of the combined party at combining date
|||||
|-|-|-|-|
|Items|Zhengzhou Xufei OptoelectronicTechnology Co., Ltd.|||
||Combination date|Last closing period|Combination date|
|Assets：||||
|Monetary fund|217,646,461.18|15,694,203.60|217,519,691.15|
|Account receivable|159,462,635.78|206,889,744.90|181,471,618.22|
|Prepayments|591,118.29|157,454,654.53|53,496,782.82|
|Other receivable|7,439,692.87|7,152,056.69|1,944,985.00|
|Inventories|31,403,438.27|99,272,537.67|13,106,022.42|
|Non-current assets due to 1 year|139,395.72|185,227.78||
|Other current assets|228,226,969.12|208,104,721.49|251,226,714.56|
|Fixed assets|2,416,811,450.24|2,112,857,821.52|1,677,395,718.92|
|Construction in process|1,143,107,800.76|1,269,064,691.25|752,348,179.42|
|Intangible assets|81,156,396.70|67,431,592.26|55,476,435.85|
|Development and expenditure||10,730,941.05||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||
|-|-|-|-|-|
|Deferred income tax asset||532,237.00|462,761.15||
|Other Non –current assets||132,425,529.20||41,212,433.48|
|Long-term deferred expenses|||975,769.20||
|Liability|||||
|Short-term loans||272,000,000.00|299,000,000.00||
|Bill payable||27,275,319.94|200,000,000.00||
|Account payable||354,001,621.02|265,771,687.83|96,718,278.38|
|Advance receipts||||332,100.88|
|Employees’ wage payable||1,383,570.40|3,826,044.71|2,092,597.69|
|Tax payable||2,613,146.19|5,296,432.21|4,668,435.03|
|Interest payable||2,159,442.82||1,486,741.66|
|Other payable||722,319,436.46|196,696,473.40|4,505,484.95|
|Non-current liability dueto 1 year||260,987,200.00|242,238,000.00|200,000,000.00|
|Other current liability||14,533,029.75|17,202,928.56|11,436,000.00|
|Long –term loans||863,397,300.00|1,092,309,000.00|790,000,000.00|
|Long-term payable||57,000,000.00|||
|Estimated liability|||||
|Deferred income||42,968,876.45|81,104,974.25|167,390,333.33|
|Net assets||1,798,304,182.10|1,752,831,182.13|1,966,568,609.92|
|Acquire net assets||1,798,304,182.10|1,752,831,182.13|1,966,568,609.92|
||3.New Subsidiaries in Reason of the Current New Establishment||||

||
|-|
|Examined and adopted by the 32th meeting of the 7th board of directors of the Company, “Proposal on Jointly|
|Establishing the Holding Subsidiary with Beijing Institute of Technology” agreed the Company to jointly|
|establish the holding subsidiary Beijing Xutan New Material Technology Co., Ltd. with Beijing Institute of|
|Technology.|

|||
|-|-|
||On January 22, 2015, the Company jointly established Beijing Dongxu Huaqing Investment Co., Ltd. with|
|Beijing Modern Huaqing Material Technology Development Center. The registered capital of the new company||
|was RMB 5 million , of which the Company invested RMB 3.5 million and Beijing Modern Huaqing Material||
|Technology Development Center invested RMB 1.5 million.||

On July 9, 2015, Wuhu Dongxu Optoelectronic Equipment Technology Co., Ltd., the subsidiary of the Company,100.00% invested in establishing Jiangxu Dongxu Yitai Intelligent Equipment Co., Ltd., of which the registered capital was RMB10 million.
On December 25, 2015, the Company established Fuzhou Dongxu Optoelectronic Technology Co., Ltd. with sole proprietorship, of which the registered capital was RMB10 million.
(7)Relevant Situation of Significant Changes or Adjustment of the Business, Product or Service in theCompany’s
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report Report Period
□ Applicable√Not applicable
(8)Situation of Main Customers and Main Supplier
Information of theCompany’s top 5 customers
|||
|-|-|
|Total sales amount to top 5 customers (RMB)|1,784,091,256.08|
|Proportion of sales to top 5 customers in the||
||38.37%|
|annual sales(%)||

Information of theCompany’s top 5 customers
√ Applicable□Not applicable
|||||
|-|-|-|-|
|No|Name|Amount（RMB）|Proportion|
|1|Custormer 1|447,349,332.66|8.21%|
|2|Custormer 2|265,654,082.81|4.88%|
|3|Custormer 3|220,180,427.59|4.04%|
|4|Custormer 4|214,348,851.61|3.93%|
|5|Custormer 5|188,723,977,97|3.46%|
|合计|--|1,147,532,694.67|24.52%|

 Other explanation :
□Applicable√ Not applicable
Principal suppliers
|||
|-|-|
|Total purchase of top 5 Suppliers（RMB）|1,336,256,672.64|
|Percentage of total purchase of top 5 suppliers In total||
||47.11%|
|annual purchase(%)||

Information about the top 5 suppliers
√ Applicable□Not applicable
|||||
|-|-|-|-|
|No|Name|Amount（RMB）|Proportion|
|1|Supplier 1|447,349,332.66|15.77%|
|2|Supplier 2|265,654,082.81|9.37%|
|3|Supplier 3|220,180,427.59|7.76%|
|4|Supplier 4|214,348,851.61|7.56%|
|5|Supplier 5|188,723,977.97|6.65%|
|合计|--|1,336,256,672.64|47.11%|

 Other explanation :
□ Applicable√ Not applicable
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report 3.Expenses
In RMB
||||||
|-|-|-|-|-|
||||Increase/Decrea||
||2015|2014||Notes|
||||se(%)||
|Sale expenses|44,944,240.87|26,289,296.53||Mainly caused by the increase of|
||||70.96%|the current sales income, which|
|||||resulted in increase in cost.|
|Administration|421,789,075.31|240,993,820.53||Mainly caused by the increase of|
|expenses|||75.02%|the current research and|
|||||development expenditure.|
|Financial expenses|294,416,400.12|76,463,904.62||Mainly caused by the increase of|
|||||the current financing, which|
||||285.04%||
|||||resulted in increase in interest|
|||||expense.|

4. Research and Development
√Applicable□Not applicable
The Company laid emphasis on widely implementing cooperation and communication with famous domestic and overseas research institutions and specialized institutions, which established the “National Engineering
Laboratory of Panel Display Technology and Equipment” and comprehensively boosted the innovation of technology research and development in the production line of high-generation glass substrate, LTPS glass substrate, high-alumina cover glass and domestic equipment. At present, the technology index on granularity, thickness deviation, strain point and transmittance of the Company have reached international advanced level. Situation of Research and Development Input by the Company
|||||
|-|-|-|-|
||2015|2014|Increase/Decrease(%)|
|Amount of Research and||||
|Development Investment (In|95,340,666.01|74,849,951.46|27.38%|
|RMB)||||
|Proportion of Research and||||
|Development Investment of|2.05%|4.68%|-2.63%|
|Operation Revenue||||
|Amount of Research and||||
|Development Investment|18,520,903.08|9,680,432.84|91.32%|
|Capitalization (In RMB)||||
|Proportion of Capitalization||||
|Research and Development||||
||19.43%|12.93%|6.50%|
|Investment of Research and||||
|Development Investment||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report The Reason of the Prominent Change in Total Amount of Research and Development Input Occupying the Business Income Year on Year
□Applicable√ Not applicable
Explanation of the Reason for Substantial Changes in the Research and DevelopmentInput’s Capitalization Rate and Its Reasonableness
□Applicable√ Not applicable
Situation of Patents in the Past 2 Years
√Applicable□ Not applicable
|||||
|-|-|-|-|
||||Accumulate Acquisition|
||Applied|Acquired||
||||up to the Report Period|
|Patent for Invention|40|1|1|
|Utility Model|168|126|205|
|Situation of Changes of the Core||||
|Technology Team or Key Technician of this|No personnel changes occured in the Company’s core technology team in this year.|||
|Year||||
|Whether Belonging to High-tech Enterprise||||
|identified by Ministry of Science and|Yes|||
|Technology||||

5.Cash Flow
In RMB
|||||
|-|-|-|-|
|Items|2015|2014|Increase/Decrease(%)|
|Subtotal of cash inflow received|5,974,728,361.07|2,295,205,246.62||
||||160.31%|
|from operation activities||||
|Subtotal of cash outflow|4,194,599,398.13|3,312,759,435.27||
|received from operation|||26.62%|
|activities||||
|Net cash flow arising from|1,780,128,962.94|-1,017,554,188.65||
||||274.94%|
|operating activities||||
|Subtotal of cash inflow received|1,143,295,255.26|40,852,380.00||
||||2,698.60%|
|from investing activities||||
|Subtotal of cash outflow for|5,338,967,728.49|714,471,635.84||
||||647.26%|
|investment activities||||
|Net cash flow arising from|-4,195,672,473.23|-673,619,255.84||
||||-522.86%|
|investment activities||||
|Subtotal cash inflow received|15,122,597,079.50|3,699,852,138.30||
||||308.74%|
|from financing activities||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
|Subtotal cash outflow for|4,091,475,189.10|1,823,845,538.34||
||||124.33%|
|financing activities||||
|Net cash flow arising from|11,031,121,890.40|1,876,006,599.96||
||||488.01%|
|financing activities||||
|Net increase in cash and cash|8,614,877,020.69|184,886,997.48||
||||4,559.54%|
|equivalents||||

Notes to the year-on-year change of the relevant data
□Applicable√ Not applicable
Notes to the big difference between cash flow from operating activities and net profit in the reporting year□Applicable√ Not applicable
III. Analysis of Non-core Business
√ Applicable□Not applicable
||||||
|-|-|-|-|-|
|||Proportion in total|||
||Amount||Explanation of cause|Sustainable (yes or no)|
|||profit|||
|Non-operating|||||
||557,753,811.42|34.21%|Government grants|yes|
|revenue|||||

IV. Condition of Asset and Liabilities
1.Condition of Asset Causing Significant Change
In RMB
||||||||
|-|-|-|-|-|-|-|
||End of 2015||End of 2014||Proportio||
|||Proportion in|||n||
|||||||Notes to the significant change|
||Amount|the total|||increase/d||
|||assets(%)|||ecrease||
||12,409,510,170.26||3,539,892,384.04|||Increase of sale outstanding and|
|Monetary fund||43.09%||19.15%|23.94%||
|||||||financing|
|Accounts|1,042,538,312.51||751,483,740.27||||
|||3.62%||4.06%|-0.44%|Increase of operating revenue|
|receivable|||||||
||2,177,979,684.06||616,095,820.74|||Increase of development cost and|
|Inventories||7.56%||3.33%|4.23%||
|||||||materials|
|Long-term equity|72,426,252.41||||||
|||0.25%|||0.25%|Increase of joint venture|
|investment|||||||
||6,900,189,927.76||4,620,098,007.93|||Increase due to consolidation and being|
|Fixed assets||23.96%||24.99%|-1.03%||
|||||||transferred to fixed assets|
|Construction|3,433,016,388.90||4,069,722,104.54|||Decrease due to being transferred to|
|||11.92%||22.01%|-10.09%||
|inprocess||||||fixed assets|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||
|-|-|-|-|-|-|-|
||3,783,300,000.00||1,587,900,000.00||||
|Short-term loans||13.14%||8.59%|4.55%|Increase due to operation needs|
||6,249,397,300.00||5,504,309,000.00||||
|Long-term loans||21.70%||29.77%|-8.07%|Increase due to operation needs|

2.Asset and Liabilities Measured by Fair Value
□ Applicable√ Not applicable
V. Investment situation
1. General
√ Applicable□ Not applicable
||||
|-|-|-|
|Investment Amount in 2015(RMB)|Investment Amount in 2014(RMB)|Change rate|
|4,975,533,647.90|368,453,728.53|1,250.38%|

 2.Condition of Acquiring Significant Share Right Investment during the Report Period
√ Applicable□ Not applicable
In RMB
||||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|-|-|
||||||||||||Gain or||||
||||||||||Progres|||Whethe|||
|Name of|||Investm||||Investm||||Less or||Date of||
|||Investm||Share|||||s up to|||r to|||
|the|Main||ent||Capital||ent|ProductType||Anticip|the||Disclos|Disclosure|
|||ent||Proport||Partner|||Balance|||Involve|||
|Company|Business||Amoun||Source||Horizo|||ated|Current||ure(Not|Index|
|||Way||ion %|||||Sheet|||in|||
|Invested|||t||||n|||Income|Investm||e 5)||
||||||||||Date|||Lawsuit|||
||||||||||||ent||||
||Technolo||||||||||||||
||gy||||||||||||||
||Develop||||||||||||||
||ment of||||||||||||||
|||||||Jixing||||||||China|
||Cultivati||||||||||||||
|||||||New||||||||Securities|
|Jiangsu|on,Incisi||||||||||||||
|||||||Materia||Sapphir||||||News ,|
|Jixing New|on,||167,34||||||||||January||
|||Acquisi||||l(Hong||e|Comple|30,000,|30,297,|||Hongkong|
|Material|Progress,||5,300.0|50.50%|Self||15|||||No|20,2||
|||tion||||Kong)||materia|te|000.00|257.36|||Commercial|
|Co., Ltd.|Sales||0||||||||||015||
|||||||Co.,||l||||||Daily and|
||and||||||||||||||
|||||||Ltd.||||||||www.cninfo|
||Relevant||||||||||||||
|||||||||||||||.com.cn.|
||Product||||||||||||||
||for||||||||||||||
||Sapphire||||||||||||||
||Crystal||||||||||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|-|-|
||Panel||||||||||||||
||Display||||||||||||||
|||||||||||||||China|
||Industry||||||||||||||
|Zhengzhou||||||||||||||Securities|
||Material,||||||||||||||
|Xufei|||||Non-pu|||||||||News ,|
||Equipme||1,927,6||||||||||January||
|Optoelectr||Acquisi||100.00|blic||||Comple|40,705,|45,472,|||Hongkong|
||nt ,||26,856.|||||||||No|28,2||
|onic||tion||%|raised||||te|500.00|999.97|||Commercial|
||product||67||||||||||015||
|Technolog|||||fund|||||||||Daily and|
||desigy||||||||||||||
|y Co., Ltd.||||||||||||||www.cninfo|
||Manufac||||||||||||||
|||||||||||||||.com.cn.|
||turing||||||||||||||
||and sales||||||||||||||
||Optoelec||||||||||||||
||tronic||||||||||||||
|||||||||||||||China|
||LCD||||||||||||||
|Shijiazhua||||||||||||||Securities|
||Glass||||||||||||||
|ng Xuxin|||||Non-pu|||||||||News ,|
||Substrate||2,072,0||||||||||January||
|Optoelectr||Acquisi||100.00|blic||||Comple|30,623,|39,230,|||Hongkong|
||Industy||61,491.|||||||||No|28,2||
|onic||tion||%|raised||||te|500.00|345.12|||Commercial|
||Investme||20||||||||||015||
|Technolog|||||fund|||||||||Daily and|
||nt,||||||||||||||
|y Co., Ltd.||||||||||||||www.cninfo|
||Construc||||||||||||||
|||||||||||||||.com.cn.|
||tion and||||||||||||||
||Business||||||||||||||
||||4,167,0|||||||101,32|||||
||||||||||||115,000||||
|Total|--|--|33,647.|--|--|--|--|--|--|9,000.0||--|--|--|
||||||||||||,602.45||||
||||87|||||||0|||||

3.Situation of the Significant Non-equity Investment Undergoing in the Report Period
□ Applicable√ Not applicable
4.Investment of Financial Asset
（1）Securities investment
□ Applicable√ Not applicable
N/A.
（2）Investment in Derivatives
□ Applicable√ Not applicable
N/A.
5.Application of the raised capital
√ Applicable□ Not applicable
（1）General application of the raised funds
√ Applicable□ Not applicable
In RMB
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||||||Amount of|||Total|||
|||||||Accumulat|Proportion||||
||||||raised|||Amount of||Amount of|
|||||||ive amount|of raised||Use and||
||||Total||capital of|||the||the Raised|
|||||Total||of raised|capital of||Whereabo||
|||Total|Amount of||which the|||Unused||Fund with|
|Year of|Way of|||amount of||capital of|which the||uts of the||
|||raised|the Raised||purpose|||Raised||over 2|
|Raising|Raising|||Raised||which the|purpose||Unused||
|||capital|Fund Used||was|||Fund at||Years’|
|||||Funds||purpose|has been||Raised||
||||at the||changed in|||the||Idling|
|||||||has been|changed||Fund||
||||||the report|||Current|||
|||||||changed|(%)||||
||||||period|||Period|||
||||||||||To||
||||||||||supplemen||
||Non-publi||||||||t the||
|2013||503,880|218.94|471469.53|0|0||25,115.15||0|
||c issue||||||||circulating||
||||||||||fund||
||||||||||To||
||||||||||supplemen||
||Corporate||||||||||
|2015||100,000|100,000|99,966.29|0|0||33.71|t the|0|
||bonds||||||||||
||||||||||circulating||
||||||||||fund||
||||||||||Invest in||
||Non-publi||||||||equity||
|2015||800,000|486,034.07|486,034.07|0|0||311,346.46||0|
||c issue||||||||investment||
||||||||||projects||
|Total|--|1,303,880|486,253.01|957,503.6|0|0|0.00%|336,461.61|--||
|Notes to use of raised capital|||||||||||
|In 2015,The company strictly accordance with "use of funds raised management system" and "raise funds tripartite regulatoryagreement" to raise funds and special accounts storage use, and timely, truely, accurately and completely disclosure of the depositand use of proceeds, there is no violation circumstances.|||||||||||

（2）Promised projects of raised capital
√ Applicable□ Not applicable
InRMB’0000
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||||||Accumul|Investme|Date|||Has any|
|||Total|||ated|nt|when the||||
||Projectchanged(includingpartialchange)||Total|Amount||||Benefit|||
|||raised|||amount|progress|project||Has the|material|
||||investme|inested in||||realized|||
|Committed investment||capital|||invested|ended the|has||predicted|change|
||||nt after|the||||in the|||
|projects and investment||invested|||at the end|reporting|reached||result be|taken|
||||adjustme|reporting||||reporting|||
|||as|||of the|period(%|the||realized|place in|
||||nt (1)|period||||period|||
|||commited|||reporting|)(3)=(2)(|predicted|||feasibility|
||||||period(2)|1)|applicabl||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||||||||e status||||
|Committed investment projects|||||||||||
|Panel display galass||496,106.4|496,106.4|218.94|471,469.53|95.03%|December||Not appli||
||No|||||||34258.7||No|
|substrate project|||||||31,2016||cable||
|Project of Production||300,000|300,000|10,708.42|10,708.42|3.57%|||||
||||||||||Not||
|Line for the|||||||||||
||No||||||||applicabl|No|
|5th-Generation CF for|||||||||||
||||||||||e||
|TFT-LCD|||||||||||
|Acquisition for 100%||177,000|177,000|169,591.67|169,591.67|95.81%|||||
||||||||December||||
|share rights of Xufei|No|||||||4,547.3|Yes|No|
||||||||31, 2015||||
|Optoelectronic|||||||||||
|Acquisition for 100%||198,000|198,000|184,196.98|184,196.98|93.03%|||||
||||||||December||||
|share rights of Xuxin|No|||||||3,923.03|Yes|No|
||||||||31,2015||||
|Optoelectronic|||||||||||
|To supplement the||125,000|125,000|121,537|121,537|97.23%|||||
|circulating fund|No||||||||Yes|No|
|To supplement the||100,000|100,000|99,966.29|99,966.29|99.97%|||||
|circulating fund|No||||||||Yes|No|
|（Corporate bonds）|||||||||||
|Investment of excessive raised capital|||||||||||
|Reason or situation|The project of production line for glass substrate of panel display and the project production line for the||||||||||
|thatnot on schedule (on|5th-generation CF for TFT-LCD are under construction, which can’t be applicable due to the incomplete||||||||||
|specific project)|production.||||||||||
|Notes to major|||||||||||
|changesin project|N/A||||||||||
|feasibility|||||||||||
|Amount, application|Not applicable||||||||||
|and application|||||||||||
|progress of the|||||||||||
|unbooked proceeds|||||||||||
|About the change of|Not applicable||||||||||
|the implementation site|||||||||||
|of the projects invested|||||||||||
|with the proceeds|||||||||||
|Adjustment of the|Not applicable||||||||||
|implementation way of|||||||||||
|investment funded by|||||||||||
|raised capital|||||||||||
|Investment projects|Applicable||||||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||
|-|-|
|initial investment and|On December 29, 2015, the 46th meeting of the 7th board of directors and the 18th meeting of the 7thboard of supervisors of the Company examined and adopted “Proposal on Using the Raised Fund toReplace the Self-raised Fund of the Advanced Invested Item to Raise Money for and Invest in ”, agreeingthe Company to replace RMB107.0842 million of the self-raised fund of the advanced invested item toraise money for and invest in of “Project of Production Line for the 5th-Generation CF for TFT-LCD” withnon-publicly issued raised fund according to the arrangement of the raised fund replacing with theadvanced investment in the Preplan of Non-public Issue of Share.|
|replacement||
||Applicable|
|About the initial|On May 29, 2015, the 37th Meeting of the 7th Board of Directors of the company deliberated and approvedProposal of Using Partial Idle Raised Fund to Supplement Circulating Fund, which agreed the company touse the idle raised fund valuing 250 million yuan (taking 5.04% of the actual net raised fund) totemporarily supplement the circulating fund of the company. Service life lasts for 12 months since theapproval date by the Board of Directors. The company will return to the special account for fund-raising intime when the fund used to supplement the circulation is due.|
|investment in the||
|projects planned to be||
|invested with the||
|proceeds and the||
|replacement||
|Using the idle proceeds|Not applicable|
|to supplement the||
|working capital on||
|temporary basis||
|About application and|Within the reserved raised fund, 3114.6161 million yuan has been deposited and managed in the special|
|status of the proceeds|account of fund-raising (including the deposit interest income), and additional temporary and|
|unused|supplementary circulating fund valuing 250 million yuan has been provided.|
|Problems existing in||
|application of the|The company strictly accordance with "use of funds raised management system" and "raise funds tripartite|
|proceeds and the|regulatory agreement" to raise funds and special accounts storage use, and timely, truely, accurately and|
|information disclosure|completely disclosure of the deposit and use of proceeds, there is no violation circumstances.|
|or other issues||

（3）Changes of raised funds projects
□Applicable√ Not applicable
There is no change in raised funds in company reporting period.
VI. Significant Asset and Right Offering
1.Situation of Significant Asset Sale
□Applicable√ Not applicable
N/A.
2.Situation of Substantial Stake Sale
□Applicable√ Not applicable
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report VII. Analysis of the Main Share Holding Companies and Share Participating Companies√ Applicable□ Not applicable
Situation of Main Subsidiaries and the Joint-stock Company with over10% net profit influencing to the Company In RMB
||||||||||
|-|-|-|-|-|-|-|-|-|
|Company||Sectors|Registered||||Operating||
||Company type|||Total assets|Net assets|Turnover||Net Profit|
|Name||engaged in|capital||||profit||
|Hebei Xubao|||||||||
|Construction|||||||||
|||Construction|100,000,000.|137,002,364.|125,866,325.||||
|Installation|Subsidiary|||||8,100,000.00|1,522,676.15|878,357.73|
|||Installation|00|29|60||||
|Engineering|||||||||
|Co., Ltd.|||||||||
|Shijiazhuang|||||||||
|Baoshi Color|||540,680,000.|192,735,997.|94,027,476.3||-4,121,039.0|-4,121,039.0|
||Subsidiary|Color bulb.|||||||
|Bulb Co.,|||00|77|9||4|4|
|Ltd..|||||||||
|Wuhu|||||||||
|||hole set of|||||||
|Dongxu|||||||||
|||equipment|||||||
|Optoelectroni|||98,000,000.0|5,239,376,83|1,484,627,98|2,706,633,71|1,078,629,75|1,102,907,65|
||Subsidiary|and|||||||
|c Equipment|||0|9.30|1.69|2.47|3.40|4.44|
|||Technology|||||||
|Technology|||||||||
|||serves|||||||
|Co., Ltd|||||||||
|Wuhu||Photoelectric|||||||
|Dongxu||disply glass|||||||
||||2,000,000,00|9,217,920,58|5,403,718,42|587,420,588.|96,930,503.5|342,587,005.|
|Optoelectroni|Subsidiary|substrate|||||||
||||0.00|6.77|4.05|23|4|89|
|c Technology||industry|||||||
|Co., Ltd.||investment|||||||
|Wuhan||Photoelectric|||||||
|Dongxu||disply glass|||||||
|||||15,047,341.2|||||
|Optoelectroni|Subsidiary|substrate|5,000,000.00||3,881,422.47||442,188.08|442,188.08|
|||||9|||||
|c Technology||industry|||||||
|Co., Ltd||investment|||||||
|Sichuan|||||||||
|Ruiyi|||||||||
|Constructio||Construction|1,000,000,00|975,163,715.|186,717,356.|890,941,023.|59,011,576.6|44,034,330.3|
||Subsidiary||||||||
|n||Installation|0.00|58|36|85|3|3|
|Engineering|||||||||
|Co., Ltd.|||||||||
|Beijing|||||||||
|||Real estate|||||||
|Xufeng Real|||870,000,000.|2,233,576,28|468,077,244.||-1,909,242.0|-1,909,242.0|
||Subsidiary|Development|||||||
|estate Co.,|||00|2.52|82||1|1|
|||and sales|||||||
|Ltd.|||||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
|||Sales of opto|||||||
|Dongxu|||||||||
|||electronic de|||||||
|（Kunshan）|||||||||
|||vices and oth|500,000,000.|332,890,085.|299,994,814.||||
|Display|Subsidiary||||||-17,273.34|-5,185.77|
|||er electronic|00|67|23||||
|Material Co.,|||||||||
|||devices|||||||
|Ltd.|||||||||
|Jiangsu|||||||||
|Jixing New||Sapphire|392,000,000.|616,599,293.|398,828,816.|281,152,806.|27,590,770.0|30,297,257.3|
||Subsidiary||||||||
|Material Co.,||material|00|91|05|99|9|6|
|Ltd.|||||||||
|Beijing|||||||||
|Xutan New||Technology|||||||
||||15,000,000.0|14,391,057.2|14,391,057.2||||
|Material|Subsidiary|Developme||||0.00|-608,942.80|-608,942.80|
||||0|0|0||||
|Technology||nt|||||||
|Co., Ltd.|||||||||
|Beijing|||||||||
|Dongxu|||||||||
|||Project|||||||
|Huaqing|Subsidiary||5,000,000.00|4,500,385.00|4,500,385.00||385.00|385.00|
|||investment|||||||
|Investment|||||||||
|Co., Ltd.|||||||||
|Zhengzhou|||||||||
|Xufei|||||||||
|Optoelectro||Panel display|1,650,000,00|4,418,943,12|1,798,304,18|547,067,663.|45,629,145.4|45,472,999.9|
||Subsidiary||||||||
|nic||Material|0.00|5.13|2.10|63|7|7|
|Technology|||||||||
|Co., Ltd.|||||||||
|Shijiazhuang||Photoelectric|||||||
|Xuxin||Display|||||||
|Optoelectro||glass|1,906,000,00|3,245,198,58|1,966,568,60|162,453,972.|34,972,423.4|39,230,345.1|
||Subsidiary||||||||
|nic||substrate|0.00|1.84|9.92|34|7|2|
|Technology||industry|||||||
|Co., Ltd.||investment|||||||
|Fuzhou||Photoelectric|||||||
|Dongxu||Display|||||||
|Optoelectro||glass|10,000,000.0||||||
||Subsidiary|||0.00|0.00|0.00|0.00|0.00|
|nic||substrate|0||||||
|Technology||industry|||||||
|Co., Ltd.||investment|||||||

Acquirement and disposal of subsidiaries in the Reporting period
√ Applicable□ Not applicable
||||
|-|-|-|
|Name|Mode|Influence|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Jiangsu Jixing New Material Co., Ltd.|Acquisition|Increase profit|
|Beijing Xutan New Material Technology|||
||New establishment|Under construction period|
|Co., Ltd.|||
|Beijing Dongxu Huaqing Investment Co.,|||
||New establishment|Under construction period|
|Ltd.|||
|Zhengzhou Xufei Optoelectronic|||
||Acquisition|Increase profit|
|Technology Co., Ltd.|||
|Zhengzhou Xuxin Optoelectronic|||
||Acquisition|Increase profit|
|Technology Co., Ltd.|||
|Jiangsu Dongxu Yitai Intelligence|||
||New establishment|Under construction period|
|Equipment Co., Ltd.|||
|Fuzhou Dongxu Optoelectronic|||
||New establishment|Under construction period|
|Technology Co., Ltd.|||

Notes
VIII. Special purpose vehicle controlled by the Company
□Applicable√ Not applicable
IX. Prospect for future development of the Company
1. The Development Trend of the Industry
TFT-LCD had replaced CRT (cathode ray tube) in most cases because of its outstanding advantages in the display. Currently, TFT-LCD has become the mainstream product in the market. Along with the technical progress and simplification of the process, the costs of TFT-LCD have been largely reduced, and the whole industry has entered into a stable growth period, thus TFT-LCD will dominate the market in the future for a long time. According to DisplaySearch’s forecast, the global TFT-LCD panel industry revenue will reach$143.2 billion, which account for83.27% of the whole panel industry. Yet the glass substrate accounts for10%-20% of thepanel’s costs and the color film accounts for about20% of thepanel’s costs, therefore the development of TFT-LCD panel will boost the demand of upstream materials, like glass substrate and color film.
With the sustained growth of China's economy, the consumption capacity of residents has been continually increasing, thus the demand of flat panel display products in China has been continually increasing and its proportion of the global demand has been rising year by year. The companies being set up in mainland, with the advantage of being close to the downstream market, can provide a more flexible delivery and better after-service for customers; besides, the companies being set up in mainland can realize the nearest matching to save costs of tariff and transportation, and there is a comparatively low labor costs, leading to have a cost advantage.
Considering multi factors, particularly in market demand and product costs, the main global investment transfer to Mainland China will speed up, thus the increase of downstream demand will certainly boost the demand of glass substrates. According to estimate done by LCD Branch of China Optics and Optoelectronics Association, the average annual growth rate of glass substrate in Mainland China would be about11%
The Flat Panel Display industry is one of the new strategic industries encouraged by the national industrial
policies. However, because of the high technical barrier and capital demand, the Flat Panel Display industry in
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report Mainland China has a low degree of self-sufficiency, indicating that there is a huge market space for substitution of the importations all the time. In 2014, the National Development and Reform Commission and the Ministry of Industry and Information Technology jointly issued "2014-2016 New Display Industry Innovation and
Development Action Plan". The Action Plan pointed out that by 2016, the systematic supporting industry of new display will be possibly completed, that will make the ratio of key matching materials for panel of small and medium size TFT-LCD reaching to60% and the ratio of key matching materials for panel of large size TFT-LCD and AMOLED reaching to30%. The strong support of the national industrial policies has laid a solid foundation for the development of the flat panel display industry.
Ⅱ. Development strategy of the company
1. Strengthening the main business of glass substrate and consolidating its leading position in China
After years of independent research and development, the company had achieved many technology breakthroughs. Dongxu Optoelectronic Technology Co., Ltd started to set up the 6-generation glass substrate production line of TFT-LCD in 2013, and its products had been recognized by some principal manufactures of panel production like BOE in the mid of 2014. In 2015, by incorporating Xu Fei Optoelectronic technology Co.,LTD and Xu Xin Optoelectronic technology Co.,LTD, the listed company had a 7th 5-generation glass substrate production line of TFT-LCD and a 10th 6-generation glass substrate production line of TFT-LCD. Also, thecompany’s market share has been continuously increasing in Mainland China and Taiwan, and the company is the largest manufacture in liquid crystal glass substrate in China.
The company has mastered the core technology of producing liquid crystal glass substrate and the relevant equipments for its production line, and accumulated rich experiences in production management and control. In the future, the company will continue to enhance its technical ability and the ability in market development, mainly focus onR&D about thin glass substrate, advanced generation glass substrate for TFT-LCD, low
temperature poly-silicon (LTPS) glass substrate and high aluminum face-cap glass and make technical
breakthroughs, further strengthen the company's core competitiveness, continually expand its market scale, enhance the strength of the enterprise and consolidate its leading position in the substrate glass industry.
2. Enriching product range and unitizing synergy effect of optoelectronic industrial cluster
For realizing the strategic goal of being“China’s largest optoelectronic display material manufacture", the company has been continuously consolidating and enhancing the foundation for LCD glass substrate business, and began to actively promote the lateral expansion of optoelectronic industry chain. In 2015, the company had entered into materials fields of color filter and sapphire one by one and actively engaged inR&D of graphene materials for display. At present, the company has built a rudiment of the photovoltaic industrial cluster.
In the future, based on three core businesses on LCD glass substrate, optical film and high-end equipment, the company will constantly enrich the product range and unitize synergy effect of downstream panel manufacturers and optoelectronic display industrial chain to become the mainstay of the domestic manufacturing industry in optoelectronic display materials. Meanwhile, the company will seek industrial integration in the region of optoelectronic display materials upon the market demand to form the optoelectronic industrial cluster for
obtaining comprehensive competitiveness.
3. Promoting the transformation and upgrading of the equipment business and snatching the market.
Upon the whole set equipment technology gained from independentR&D, the company has become the only enterprise who both own overflow fusion technology and float technology for producing glass substrate in the worldwide. The company has mastered the environmental-friendly and none-arsenic formulation and key
production technologies on melting, shaping, cutting, transmission, inspection and film packaging, which had been applied in the production line of glass substrate and high alumina face-cap glass in the company and hosting companies, and the production lines are not only stable, but also each line yield is continuous improving.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report According to the "Made in China 2025" plan and the 13th Five-Year-Plan, China will focus on the strategy of upgrading the manufacturing sector, among which the development of intelligent manufacturing is the top priority. Based on the real situation of the “domestication” of the glass breaking machine, glass grinding machine, glass washing machine, glass package-split system, glass packaging system, glass logistics system and other
equipments in 6G or below generations carried out by the company, who had signed a strategic cooperation framework agreement with BOE, the world's third-largest panel manufacture, in 2015 and realized the bulk supply of some none core equipments for panel production line. In the future, thecompany’s outfit business will be transformed from equipments for substrate production line to panel production line. At the same time, the
company will prepare for entering into the field of intelligent machinery, enhance its ability on equipment business and improve profitability from multi aspects.
Ⅲ. Business plan in 2016
1. Construction plan of the production line:
At first, the company will steadily push forward the ignition progress of the
10th
6G glass substrate production line in Wuhu Optoelectronic Technology Co.,LTD, meanwhile, the company will efficiently run all the available G5 and G6 production lines and expand production and sales of low and medium generation glass substrate. Secondly, the company will speed up the construction of the project-“5G Color Filter Production Line for TFT-LCD”, one of the items invested by the capital raised by 2015 non-public issuing, to engage in upstream material industry for TFT-LCD and create synergy effect with thecompany’s 5G glasssubstrate’s production and sales, thus raise the added value of the products. Thirdly, the company will start to build the 8.5G or such high-generation glass substrate production line in an appropriate time to adapt the market changes, add up products of high-generation glass substrate, maintain the advantage of technology and product innovation and enhance thecompany’s core competiveness.
2. Intergration plan of the industry chain
In order to seize the significant opportunity in flat-panel-display glass substrate industry strongly supported by the country, the company will positively seek integrations in the industry chain. Under the premise of conforming to the relevant regulations, the company shall implement the asset injection by incorporating the hosting companies and fulfill the commitment made by the controlling shareholder, meanwhile, which shall contribute new profit to the company. Also at the same time, the company will promote lateral expansion to optoelectronic display material industry according to the market demand.
3. Technical innovation plan:
The technicalR&D capability and product innovation capability are the cornerstones for a company to survive and grow, as well as the concentrated reflection of thecompany’s core competiveness. In the future, by virtue of realizing domestically manufacturing of the glass substrate, the company will continuously increase the
researching funds. Also, the company will focus onR&D and technical processes about thin glass substrate, advanced generation glass substrate for TFT-LCD, low temperature poly-silicon (LTPS) glass substrate and high aluminum face-cap glass substrate, high-end color filter matching with the glass substrate, graphene and ITO substitution materials, sapphire wafer and high-end equipments for advanced generations, strengthen the
cooperation with universities and institutes onR&D, constantly raise the technical innovation ability,
continuously improve the technical process and equipment manufacturing technology, elevate the product quality and reduce the costs, thus further enhance thecompany’s technology advantage and core competiveness, for ensuing sustainable support to technology and researches.
4. Market development plan
As the leading company in manufacturing glass substrate in China, the company has many advantages, such as advanced technology, high quality, large scale and low costs, and the company has established long-term and
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report stable strategic cooperative relations with panel manufactures, like BOE and IVO. Based on this, the company will continuously adopt the strategy of “High-quality, Low-cost and Quality service”, and by continuous improving the technical process of manufacturing the outfit for glass substrate, strengthening the management level of the production process, elevating theproduct’s performance and quality and ameliorating the after-sale service, the company will gradually realize the substitution for the imported glass substrates and constantly increase its market share in Taiwan.
5. Talents cultivation and introduction plan
The company will adhere to the "people-oriented" guiding ideology to carry out the talent strategy. According to the needs of the business, the company will establish the reasonable and sound training system and the talent introduction mechanism, as well as constantly optimize the personnel structure to ensure the company's talent pool matching with the company's development strategy and maintain the company's core competitiveness for ensuring the company's long-term development. Meanwhile, the company will gradually improve the talent incentive and performance appraisal system.
6. Elevating plan on the managment
As of the end of the reporting period, the company totally has 18 controlled subsidiaries and 1 joint-stock
company. The increase of business scale and staff size, as well as the growing customers and market share, the expansion of production and sales require a more efficient and better management. In light of the company's development strategy and planning, the company will further to establish a highly-efficient enterprise organization and management mode based on the principles of scientific-management and institutionalization and constantly improve the decision-making, implementation, supervision and other processes under the management structure based on the principle of mutual checks and balances.
Ⅳ. Possible risks
1. Risk of fluctuation caused by economic cycle
The glass substrate industry and the color filter industry and the downstream industry of TFT-LCD panel
producing are cyclical industries, which are sensitive to fluctuations caused by the economic cycle and the business cycle. The prospect of TFT-LCD panel industry will impact the extent of prosperity of glass substrate industry and the color filter industry, that the company can hardly avoid the short-term impact caused by the industrial cycle, which may possibly affect thecompany’s operation and the underlyingasset’s operation in a certain extent.
2. Risk of competition in the market
At present, the global glass substrate industry is dominated by Corning Incorporated and other three foreign giants, and the domestic glass substrate manufacturers still cannot take the initiative in the competition with foreign giants, and the market competition is fierce.
Solutions of the Company: The Company will consistently reinforce and enhance the main business of LCD glass substrate, increasing the product variety and scale and giving play to the profit complement of various-generation products. Meanwhile, the Company will actively boost the horizontal expansion of Optoelectronic industry chain, accelerating the construction of the 5th-generation CF film, intensifying the research and development and application for display material of sapphire and graphene and constructing Optoelectronic industry cluster, which makes the Company established on LCD glass substrate, optical film and high-end equipment, the 3 core
industries. To consistently enrich the product system in accordance with the market demand to make the Company one of pillar enterprises of the domestic manufacture of Optoelectronic display material.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report X. Particulars about researches, visits and interviews received in this reporting period 1.Particulars about researches, visits and interviews received in this reporting period
√ Applicable□ Not applicable
||||||
|-|-|-|-|-|
|Reception time|Way of reception||Types of visitors|Basic index|
|||||For the specific information, please refer|
|||||to the “Record of Relations Activities|
|May 29, 2015|Onsite investigation||Organization||
|||||between the Company and Investors”|
|||||issued on Cninfo on May 29, 2015.|
|||||For the specific information, please refer|
|||||to the “Record of Relations Activities|
|June 10,2015|Onsite investigation||Organization||
|||||between the Company and Investors”|
|||||issued on Cninfo on Jun 11, 2015.|
|||||For the specific information, please refer|
|||||to the “Record of Relations Activities|
|October 19,2015|Onsite investigation||Organization||
|||||between the Company and Investors”|
|||||issued on Cninfo on October 21, 2015.|
|||||For the specific information, please refer|
|||||to the “Record of Relations Activities|
|October 21, 2015|By Phone||Organization||
|||||between the Company and Investors”|
|||||issued on Cninfo on October 23, 2015.|
|||||For the specific information, please refer|
|||||to the “Record of Relations Activities|
|November 9, 2015|Onsite investigation||Organization||
|||||between the Company and Investors”|
|||||issued on Cninfo on November 12, 2015.|
|||||For the specific information, please refer|
|||||to the “Record of Relations Activities|
|November 10,2015|Onsite investigation||Organization||
|||||between the Company and Investors”|
|||||issued on Cninfo on November 12, 2015.|
|||||For the specific information, please refer|
|||||to the “Record of Relations Activities|
|November 19,2015|Onsite investigation||Organization||
|||||between the Company and Investors”|
|||||issued on Cninfo on November 20, 2015.|
|June 1, 2015|By phone||Individual||
|Reception times||7|||
|Reception agency amount||44|||
|Reception personal number||384|||
|Others||0|||
|Whether to disclose, reveal or disclose non-public|||||
|||No|||
|material information|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report 2. Particulars about researches, visits and interviews received in this reporting period
Statement of such activities as reception, research, communication, interview from the end of the reporting period to the disclosure date.
□ Applicable√ Not applicable
N/A
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report V. Important Events
I. Specification of profit distribution of common shares and capitalizing of common reserves Formulation, implementation and adjustment of profit distribution policy of common shares especially cash dividend policy during the reporting period
√ Applicable□ Not applicable
According to the Company Law, Further Implementation of the Cash Dividends of Listed Companies and The No.3 Regulatory Guidelines for Listed Companies released by China Securities Regulatory Commission,
considering the sustainable development of the company based on comprehensively analyzing the characteristics of the industry, thecompany’s operation strategy and planning, theshareholders’ requirements and desires, as well as considering thecompany’s current profitability and possible future profit scale, current cash flow,
development stage, funds demand of the invested projects, bank credit and debt finance environment, the
company further improved the cash dividend policy, that the Amendments of Articles of Association on the profit distribution policy and The Next Three-year Plan on Company Shareholder Returns (2015-2017) were approved in the 27th meeting of the Seventh Board of Directors on Jan 27, 2015 and 2015 First Extraordinary General Meeting on Mar 18, 2015. The revised profit distribution policy shall increase the transparency of the profit distribution, better protect the rights of the public investors and elevate thecompany’s operation level.
During the reporting period, The company total share capital of 2,662,080,001 shares on December 31, 2014 as base to undistributed profits to all shareholders for every 10 shares of cash dividends 1.0 yuan (including tax).
|||
|-|-|
|Special cash dividend policy description||
|Whether meets the requirements of the provisions of the articles||
||Yes|
|of association or shareholders' meeting resolutions:||
|Whether dividends standard and proportion are clear|Yes|
|Whether decision making and supervision mechanism for profit||
||Yes|
|distribution are completed||
|Whether independent directors perform their duties responsibly||
||Yes|
|and play its due role:||
|Whether the Minority shareholders have adequate opportunity to||
|express their views and aspirations and Their legitimate rights|Yes|
|and interests have been fully protected||
|Whether the Cash dividend policy to adjust or change the||
||Yes|
|conditions and procedures are compliant and transparent||

The profit distribution preplan or proposal and the preplan or proposal of conversion of the capital reserve into share capital in the past three years(with the reporting period inclusive):
For the year 2013, As undistributed profit of the company by the end-of-period has been negative, there would be
no cash dividends, meanwhile, on the base of December 31, 2013 ,903 million shares of the total share capital, the
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report company would distribute20 shares to all the shareholders for every 10 shares, for a total distribution
of1806million shares.
In 2014, the company total share capital of 2,662,080,001 shares on December 31, 2014 as base to undistributed p rofits to all shareholders for every 10 shares of cash dividends 1.0 yuan (including tax). there was no turning of capital reserve into share capital.
In 2015, The profit distribution proposal reviewed and approved by the boarding meeting was summarized as follows : total share of December 31, 2015 for base on theCompany’s total share capital, the Company would distribute cash dividend to all the shareholders at the rate of CNY 0.70 For every 10 shares(with tax includive), 0 bonus shares (including tax) and no reserve would be converted into share capital.
Dividend distribution of the latest three years
In RMB
|||||||
|-|-|-|-|-|-|
|||Net profit||||
||||Ratio in net profit|||
|||attributable to the||Amount of cash|Proportion of cash|
||||attributable to the|||
||Cash dividend|over of the parent||dividends from cash|dividends from cash|
|Year|||parent company in|||
||(Including Tax)|company in the||offer to repurchase|offer to repurchase|
||||the consolidated|||
|||consolidated||shares of the funds|shares of the funds|
||||financial statements|||
|||financial statements||||
|2015|268,450,036.82|1,326,233,674.37|20.24%|0.00|0.00%|
|2014|266,208,000.10|468,902,701.44|56.77%|0.00|0.00%|
|2013|0.00|195,959,827.62|0.00%|0.00|0.00%|

 In the reporting period, both theCompany’s profit and the parentcompany’s retained earnings were positive however not cash dividend distribution proposal has been put forward.
□Applicable√ Not applicable
II. Profit distribution plan and capitalizing of common reserves plan for the Period
√ Applicable□ Not applicable
|||
|-|-|
|Bonus shares for every ten shares(Shares)|0|
|Cash dividend for everty ten shares||
||0.70|
|(Yuan)(Tax-included)||
|A total number of shares as the distribution||
||3,835,100,526|
|basis(shares)||
|Total cash dividend (Yuan)(Tax-included)|268,457,036.82|
|Distributable profits (yuan)|467,563,381.30|
|Proportion of cash dividend in the distributable||
||100.00%|
|profit (%)||
|Cash dividend distribution policy||
|Details of profit distribution or reserve capitalization plan||

III. Commitments to fulfill the situation
1.The fulfilled commitments in the reporting period and under-fulfillment commitments by the end of the
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report reporting period made by the company, shareholder, actual controller, acquirer, director, supervisor, senior management personnel and other related parities.
√ Applicable□ Not applicable
||||||||
|-|-|-|-|-|-|-|
||Commitment|||Time of making|Peiod of||
|Commitment||Type|Contents|||Fulfillment|
||maker|||commitment|commitment||
||||If listed||||
||||companies plans||||
||||to sell tradable||||
||||stocks through||||
||||the bid trading||||
||||system of||||
||||Shenzhen Stock||||
||||Exchange and||||
||||sell greater than||||
||||5% of shares||||
||||within six||||
||||months after the||||
||||first sales, will||||
||||disclose the||||
||Shijiazhuang||||||
||||contents||||
||Baoshi|Share reduction|||Long-term|Under|
|Commitment on share reform|||specified by the|March 29,2007|||
||Electronics|commitment|||effective|Fulfillment|
||||Form Guide to||||
||Group Co., Ltd||||||
||||Prompt||||
||||Announcement||||
||||of Removing||||
||||Restriction on||||
||||Sales of||||
||||Non-tradable||||
||||Stocks of Listed||||
||||Companies||||
||||through the||||
||||prompt||||
||||announcement of||||
||||disclosing sales||||
||||of listed||||
||||companies.||||
|Commitment in the acquisition report or the|||||||
|report on equity changes|||||||
|Commitment made upon the assets|||||||
|replacement|||||||
|||Commitments on|1.From the date||||
|||||December 22,|Long-term|Under|
|Commitments made upon issuance|Li Zhaoting|horizontal|of commitment||||
|||||2011|effective|Fulfillment|
|||competition,|letter issued,||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
||related|except the||||
||transaction and|managed hosting||||
||capital|company for||||
||occupation|Dongxue||||
|||Optoelectronic ,||||
|||this company and||||
|||majority-owned||||
|||subsidiaries do||||
|||not in any way,||||
|||directly or||||
|||indirectly||||
|||engaged in||||
|||business and||||
|||Dongxue||||
|||Optoelectronic||||
|||and its||||
|||subsidiaries are||||
|||the same, or||||
|||similar, future||||
|||Dongxue||||
|||Optoelectronic||||
|||shares and its||||
|||subsidiaries are||||
|||not engaged in||||
|||the same or||||
|||similar||||
|||businesses.||||
|||1.From the date||||
|||of commitment||||
|||letter issued,||||
|||except the||||
|Dongxu||||||
|||managed hosting||||
|Optoelectronic||||||
||Commitments on|company for||||
|Investment Co.,||||||
||horizontal|Dongxue||||
|Ltd.,||||||
||competition,|Optoelectronic ,||||
|Shijiazhuang||||Long-term|Under|
||related|this company and|April1， 2012|||
|Baoshi||||effective|Fulfillment|
||transaction and|majority-owned||||
|Electronics||||||
||capital|subsidiaries do||||
|Group Co.,||||||
||occupation|not in any way,||||
|Ltd.Dongxu||||||
|||directly or||||
|Group,||||||
|||indirectly||||
|||engaged in||||
|||business and||||
|||Dongxue||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||
|-|
|Optoelectronic|
|and its|
|subsidiaries are|
|the same, or|
|similar, future|
|Dongxue|
|Optoelectronic|
|shares and its|
|subsidiaries are|
|not engaged in|
|the same or|
|similar|
|businesses.|
|2.The company|
|assurances|
|against the use of|
|precious stones|
|share any act|
|prejudicial to the|
|control|
|relationship of|
|Dongxu|
|Optoelectronic|
|interests and its|
|wholly-owned|
|subsidiaries,|
|holding, or|
|causing Dongxue|
|Optoelectronic|
|shares and its|
|wholly-owned|
|subsidiaries,|
|holding form|
|business|
|competition|
|decisions. 3. The|
|company will not|
|directly invest,|
|purchase and|
|Dongxu|
|Optoelectronic|
|identical or|
|similar business|
|enterprises and|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||
|-|
|projects.|
|4.If the assets|
|owned by the|
|Dongxu|
|Optoelectronic .|
|compete with ,|
|the company will|
|adopt effective|
|measures and|
|give up the same|
|business. 5. If the|
|company has|
|horizontal|
|competition with|
|Dongxu|
|Optoelectronic|
|and lead to lose|
|to it, the|
|company will|
|bear all the|
|responsibilities.|
|6. Before|
|December 31,|
|2015, by way of|
|designated|
|placement, the|
|company will|
|transfer all the|
|shares that|
|Dongxu|
|Optoelectronic|
|Investment,|
|entrusted to|
|Zhengzhou Xufei|
|company and all|
|the shares that|
|are entrusted to|
|Baoshi Group, to|
|Dongxu|
|Optoelectronics;|
|Before December|
|31, 2016, by way|
|of designated|
|placement, the|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||
|-|
|company will|
|transfer all the|
|shares that|
|Dongxu Group|
|entrusted to|
|Dongxu Yingkou|
|and Sichuan|
|Xuhong to|
|Dongxu|
|Optoelectronics.|
|Within the time|
|limit mentioned|
|above, if there|
|were the external|
|factors such as a|
|depression of|
|industry as a|
|whole, or the|
|changes in|
|regulatory|
|requirements,|
|which lead to the|
|result that the|
|shares of hosting|
|company can not|
|meet the|
|requirements of|
|capital|
|investment, Li|
|Zhaoting, the|
|actual controller,|
|Dongxu|
|Optoelectronic|
|Investment ,|
|Dongxu Group|
|and Baoshi|
|Group as well as|
|the company will|
|actively negotiate|
|with related|
|parties, continue|
|to entrust the|
|above mentioned|
|shares and the|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|||power of||||
|||management to||||
|||Dongxu||||
|||Optoelectronics.||||
|||Within the period||||
|||when the||||
|||company is still||||
|||the controlling||||
|||shareholder of||||
|||Dongxu||||
|||Optoelectronics,||||
|||the commitments||||
|||are in effect.||||
|||Dongxu Group||||
|||Co., Ltd.||||
|||subscribed for||||
|||25.01% of the||||
|||shares privately||||
|||issued by the||||
||Share limited|Company and||Valid period to|Under|
|Dongxu Group|||April 18,2013|||
||commitment|promised that the||April 18,2016|Fulfillment|
|||period of sale||||
|||restriction of||||
|||such shares was||||
|||36 months from||||
|||the first day of||||
|||listing.||||
|||In view of:||||
|||The main||||
|||business of||||
|||Dongxu||||
|||Optoelectronic is||||
|||the production of||||
|||TFT-LCD glass||||
|||substrate, and the||||
||Other||||Under|
|||company now is|February 8,2015|Valid for 5 years||
||commitment||||Fulfillment|
|||applying for||||
|||non-public||||
|||offering||||
|||of ,bonds (2)||||
|||Dongxu Group is||||
|||the controlling||||
|||shareholder of||||
|||Dongxu||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||
|-|
|Optoelectronic;|
|and during the|
|period of|
|holding, Dongxu|
|Group has signed|
|patent license|
|contracts|
|separately with|
|Dongxu|
|Optoelectronic|
|and its|
|subsidiaries|
|including Wuhu|
|Dongxu|
|Optoelectronic|
|Science and|
|Technology Co.,|
|Ltd. (hereinafter|
|referred to as|
|Wuhu|
|Optoelectronic),|
|Wuhu Dongxu|
|Optoelectronic|
|Equipment|
|Technology Co.,|
|Ltd. (hereinafter|
|referred to as|
|Wuhu|
|Equipment) and|
|Shijiazhuang|
|Dongxu|
|Optoelectronic|
|Equipment|
|Technology Co.,|
|Ltd. (hereinafter|
|referred to as|
|Shijiazhuang|
|Equipment). For|
|this purpose,|
|Dongxu Group|
|has made|
|following|
|promises: Any|
|patents related to|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||
|-|
|panel display|
|glass substrate|
|not included in|
|the aforesaid|
|Contract on the|
|Licensing of|
|Patent|
|Exploitation|
|obtained by|
|Dongxu group in|
|the future,|
|Dongxu group|
|shall sign a free|
|contract of|
|licensing the new|
|pertinent patents|
|with the|
|company and the|
|company’s|
|subsidiaries|
|(Wuhu|
|Optoelectronic|
|Technology|
|Co.,Ltd, Wuhu|
|Equipment|
|Company and|
|Shijiazhuang|
|Equipment|
|Company) with|
|the same articles|
|of the former|
|patent licensing|
|contract. After|
|the company|
|successfully|
|completed the|
|issuance of|
|corporate bonds,|
|whether Dongxu|
|group control the|
|company during|
|the duration of|
|the bonds,|
|Dongxu group|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|||shall renew the||||
|||patent licensing||||
|||contract||||
|||unreserved with||||
|||the company and||||
|||the company’s||||
|||subsidiaries||||
|||(Wuhu||||
|||Optoelectronic||||
|||Technology||||
|||Co.,Ltd, Wuhu||||
|||Equipment||||
|||Company and||||
|||Shijiazhuang||||
|||Equipment||||
|||Company) under||||
|||the company’s||||
|||requirement until||||
|||the bonds||||
|||expired.||||
|||In view of:||||
|||Dongxu||||
|||Optoelectronic||||
|||Technology Co.,||||
|||Ltd. is applying||||
|||for public||||
|||offering of||||
|||corporate bonds,||||
|||and the total||||
|||scale of bonds||||
|Dongxu||will not exceed 1||||
||To raise funds to|||||
|Optoelectronic||billion yuan.|February 10,||Under|
||use the|||Valid for 5 years||
|Technology Co.,||After the|2015||Fulfillment|
||commitment|||||
|Ltd.||deduction of||||
|||issue expenses,||||
|||all the funds||||
|||raised are planed||||
|||to be used to||||
|||supplement the||||
|||liquidity and||||
|||support the||||
|||R&D, production||||
|||and material||||
|||purchase of glass||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||
|-|
|substrate and the|
|equipment. Thus,|
|the demands of|
|business|
|operation and|
|expansion in the|
|company will be|
|satisfied. The|
|company|
|promises: 1. The|
|funds raised|
|through the|
|public offering of|
|corporate bonds|
|will not be|
|directly or|
|indirectly|
|invested in real|
|estate|
|development|
|business, or used|
|to increase the|
|capital fund or as|
|loans in|
|subsidiaries|
|engaged in real|
|estate business;|
|2. the funds|
|raised through|
|the public|
|offering of|
|corporate bonds|
|will not be used|
|for real estate|
|development|
|business in any|
|form. The term|
|of validity of the|
|promises is|
|consistent with|
|the duration of|
|the corporate|
|bonds issued in|
|the company this|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|||time.||||
|||In view of:||||
|||(1) The main||||
|||business of||||
|||Dongxu||||
|||Optoelectronic is||||
|||the production of||||
|||TFT-LCD glass||||
|||substrate, and the||||
|||company now is||||
|||applying for||||
|||non-public||||
|||offering of stock;||||
|||(2) Dongxu||||
|||Group is the||||
|||controlling||||
|||shareholder of||||
|||Dongxu||||
|||Optoelectronic;||||
|||and during the||||
|||period of||||
||Other|holding, Dongxu|June 17,|Long-term|Under|
|Dongxu Group||||||
||commitment|Group has signed|2015|effective|Fulfillment|
|||patent license||||
|||contracts||||
|||separately with||||
|||Dongxu||||
|||Optoelectronic||||
|||and its||||
|||subsidiaries||||
|||including Wuhu||||
|||Dongxu||||
|||Optoelectronic||||
|||Science and||||
|||Technology Co.,||||
|||Ltd. (hereinafter||||
|||referred to as||||
|||Wuhu||||
|||Optoelectronic),||||
|||Wuhu Dongxu||||
|||Optoelectronic||||
|||Equipment||||
|||Technology Co.,||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||
|-|
|Ltd. (hereinafter|
|referred to as|
|Wuhu|
|Equipment) and|
|Shijiazhuang|
|Dongxu|
|Optoelectronic|
|Equipment|
|Technology Co.,|
|Ltd. (hereinafter|
|referred to as|
|Shijiazhuang|
|Equipment). For|
|this purpose,|
|Dongxu Group|
|has made|
|following|
|promises: within|
|the term of|
|validity|
|involving patent|
|right stated in|
|patent license|
|contracts,|
|whether Dongxu|
|Optoelectronic is|
|in the control of|
|Dongxu Group or|
|not, Dongxu|
|Group promises|
|that when the|
|above mentioned|
|patent license|
|contracts expire,|
|the group will|
|unconditionally|
|renew the|
|contracts with|
|Dongxu|
|Optoelectronic|
|and its|
|subsidiaries|
|(Wuhu|
|Optoelectronic,|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|||Wuhu||||
|||Equipment,||||
|||Shijiazhuang||||
|||Equipment and||||
|||etc) according to||||
|||the terms of||||
|||original contracts||||
|||based on the||||
|||requirements of||||
|||Dongxu||||
|||Optoelectronic.||||
|||To avoid the||||
|||horizontal||||
|||competition with||||
|||the issuer, the||||
|||company’s actual||||
|||controller-Zhaoti||||
|||ng, Li and the||||
|||holding||||
|||company-Dongx||||
|||u group||||
|||promised: 1. As||||
|||of this||||
|||declaration and||||
||Commitments on|||||
|||from the date of||||
||horizontal|||||
|||commitment||||
|Dongxu|competition,|||||
|||letter issued,|Decembert 16,|Long-term|Under|
|Group,Li|related|||||
|||except the|2015|effective|Fulfillment|
|Zhaoting|transaction and|||||
|||managed hosting||||
||capital|||||
|||companies, the||||
||occupation|||||
|||other companies||||
|||directly or||||
|||indirectly||||
|||controlled by the||||
|||controller or||||
|||holding company||||
|||have no||||
|||horizontal||||
|||competitions||||
|||with Dongxu||||
|||Optoelectronic||||
|||Technology Co.,||||
|||Ltd. 2. Any other||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||
|-|
|companies|
|controlled by the|
|actual controller|
|or holding|
|company shall|
|avoid businesses|
|identical or|
|similar to the|
|company may|
|lead to a|
|competitive|
|relation and|
|cannot do any|
|harm activities to|
|Dongxu|
|Optoelectronic|
|Technology Co.,|
|Ltd and|
|companies|
|controlled by|
|Dongxu|
|Optoelectronic|
|Technology Co.,|
|Ltd as long as|
|there are no|
|alterations of the|
|actual controller|
|and the holding|
|company. Any|
|businesses|
|opportunities|
|under the main|
|business scope of|
|Dongxu|
|Optoelectronic|
|Technology Co.,|
|Ltd and its|
|controlled|
|companies shall|
|not take by the|
|companies|
|controlled by the|
|actual controller|
|or the holding|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|||company, and the||||
|||business||||
|||opportunities||||
|||shall be given to||||
|||Dongxu||||
|||Optoelectronic||||
|||Technology Co.,||||
|||Ltd and its||||
|||controlled||||
|||companies.3. As||||
|||long as the actual||||
|||controller and the||||
|||holding company||||
|||are the same, the||||
|||actual controller||||
|||and the holding||||
|||company shall||||
|||continue to||||
|||strictly||||
|||performance the||||
|||relevant||||
|||declarations and||||
|||commitments of||||
|||avoiding||||
|||horizontal||||
|||competition.||||
|||It was promised||||
|||that after Dongxu||||
|||Optoelectronic||||
|Guangzhou||||||
|||Technology Co.,||||
|Securities Co.,||||||
|||Ltd completed||||
|Ltd., Huaan||||||
|||the non public||||
|Future Asset||||||
|||issuance of||||
|Management||||||
|||shares to the||||
|(Shanghai) Co.,||||Valid period to||
||Share limited|company and|December 16,||Under|
|Ltd.;Minsheng||||December||
||commitment|specific objects|2015||Fulfillment|
|Bank Fund||||16,2016||
|||for raising funds,||||
|Management||||||
|||the new shares||||
|Co., Ltd.;Boshi||||||
|||subscribed by the||||
|Assets||||||
|||company shall||||
|Management||||||
|||not be transferred||||
|Co., Ltd.||||||
|||to any others in||||
|||12 months||||
|||commenced from||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|||the publicly||||
|||listed date of the||||
|||new shares.||||
|||The company,||||
|||one of the||||
|||subscription||||
|||objects, promised||||
|||that after Dongxu||||
|||Optoelectronic||||
|||Technology Co.,||||
|Dongxu||Ltd completed||||
|Group;Changjian||the non public||||
|g Securities||issuance of||||
|(Shanghai )Asset||shares to the||||
|Management||company and||||
|Co.,||specific objects||||
|Ltd.;Kunshan||for raising funds,||Valid period to||
||Share limited||December 16,||Under|
|Development||the shares (New||December||
||commitment||2015||Fulfillment|
|Zone State||shares) issued by||16,2018||
|Investment Co.,||Dongxu||||
|Ltd.;Beijing||Optoelectronic||||
|Yingfei Hailin||Technology Co.,||||
|Investment||Ltd and||||
|Center (Limited||subscribed by the||||
|partnership).||company shall||||
|||not be transferred||||
|||to any others in||||
|||36 months||||
|||commenced from||||
|||the publicly||||
|||listed date of the||||
|||new shares.||||
|||Dongxu||||
|||investment/Baos||||
|Dongxu||hi group||||
|Optoelectronic||promised the net||||
|Investment Co.,||profit level of the||||
||Performance|||Valid period to||
|Ltd.,||next three years|March 2,||Under|
||compensation|||December||
|Shijiazhuang||and profit|2015||Fulfillment|
||commitment|||31,2018||
|Baoshi||compensation||||
|Electronics||scheme in||||
|Group Co., Ltd||respective to||||
|||Xufei||||
|||Optoelectronic||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||
|-|
|Technology Co.,|
|Ltd and Xuxin|
|Optoelectronic|
|Technology Co.,|
|Ltd as follows:|
|The Net profits|
|after deducting|
|non-recurring|
|gain or loss that|
|are attributable to|
|Xufei|
|Optoelectronic|
|Technology Co.,|
|Ltd in year 2015,|
|year 2016, year|
|2017, year 2018|
|shall accordingly|
|be not less than|
|RMB|
|36,669,800,|
|RMB|
|84,562,800,|
|RMB|
|156,531,100,|
|RMB|
|225,405,200；The|
|Net profits after|
|deducting|
|non-recurring|
|gain or loss that|
|are attributable to|
|Xuxin|
|Optoelectronic|
|Technology Co.,|
|Ltd in year 2015,|
|year 2016, year|
|2017, year 2018|
|shall accordingly|
|be not less than|
|RMB23,348,800,|
|RMB55,420,500,|
|RMB|
|86,627,700,|
|RMB|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||
|-|-|-|-|-|-|-|
||||158,345,000. If||||
||||any year’s actual||||
||||net profits are||||
||||less than the||||
||||estimated profits||||
||||as aforesaid||||
||||within the||||
||||compensation||||
||||period, Dongxu||||
||||investment/Baos||||
||||hi group shall||||
||||make up the||||
||||difference in||||
||||accordance with||||
||||the aforesaid||||
||||principles in cash||||
||||to Dongxu||||
||||Optoelectronic||||
||||Technology Co.,||||
||||Ltd; If the actual||||
||||net profits are not||||
||||less than the||||
||||estimated profits,||||
||||there is no need||||
||||for Dongxu||||
||||investment /||||
||||Baoshi group to||||
||||carry out the||||
||||compensation.||||
||||The||||
||||compensation||||
||||period includes||||
||||the year||||
||||contained the||||
||||date on which the||||
||||transaction||||
||||completed and||||
||||the subsequent||||
||||two consecutive||||
||||accounting years.||||
|Equity incentive commitment|||||||
||Jixing New|Performance|Jixing New||||
|Other commitments made to minority||||January 20,|Long-term|Under|
||Material|commitment and|Material||||
|shareholders||||2015|effective|Fulfillment|
||Investment (HK)|compensation|Investment (HK)||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|Co., Ltd. ; Wang|arrangements|Co., Ltd. and||||
|Lubao||Lubao, Wang||||
|||(The legal||||
|||representative of||||
|||the company||||
|||(HK)) jointly||||
|||promised that the||||
|||net profits after||||
|||tax attributable to||||
|||Jixing New||||
|||Material||||
|||Investment Co.,||||
|||Ltd in year 2015,||||
|||year 2016, year||||
|||2017 shall||||
|||accordingly be||||
|||not less than||||
|||RMB30,||||
|||000,000,||||
|||RMB60,000,000,||||
|||RMB||||
|||100,000,000. If||||
|||the net profits||||
|||attributable to||||
|||Jixing New||||
|||Material||||
|||Investment Co.,||||
|||Ltd after audited||||
|||in any year of||||
|||year 2015, year||||
|||2016 and year||||
|||2017 are less||||
|||than the||||
|||promised net||||
|||profits, the||||
|||difference shall||||
|||be compensated||||
|||by Jixing New||||
|||Material||||
|||Investment (HK)||||
|||Co., Ltd. and||||
|||Lubao, Wang in||||
|||cash.||||
|Dongxu Group|Share holdings|The holding|July 11, 2015|Valid period to|Under|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
|commitment|company-Dongx|April 11,2018|Fulfillment|
||u group and its|||
||controlled|||
||subsidiaries have|||
||planned to buy|||
||the company’s|||
||shares in the|||
||transaction|||
||market (i.e|||
||secondary|||
||market) via|||
||Trading System|||
||of the Shenzhen|||
||Stock Exchange|||
||with the total|||
||amount no more|||
||than RMB 100|||
||million in six|||
||months|||
||commenced from|||
||the date of the|||
||announcement|||
||(Jul 11, 2015).|||
||Dongxu group|||
||promised that it|||
||will not reduce|||
||its stake in six|||
||months|||
||subsequently. In|||
||light of Dongxu|||
||Optoelectronic|||
||Technology Co.,|||
||Ltd planned to|||
||release its 2015|||
||annual report on|||
||Feb 6, 2016, and|||
||the impact of the|||
||window period|||
||for regular|||
||reports, the|||
||company’s|||
||controlling|||
||shareholder plans|||
||to extend three|||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|||months for the|
|||plan of buying|
|||shares, beyond|
|||that, any other|
|||commitments|
|||unchanged.|
|Executed timely or not?|Yes||

2.The existence of the company's assets or projects earnings forecasts and earnings reporting period is still in the forecast period, the company has assets or projects meet the original profit forecast made and the reasons explained
√Applicable□Not applicable
|||||||||
|-|-|-|-|-|-|-|-|
|Asset or Project||||||||
||Start date of|End date of the||||||
|Name of|||Forecast|Actual|Reason for less|Disclosure date|Reference for|
||the forecasting|forecasting||||||
|Earnings|||earnings|earnings|than forecast|of the Forecast|the Forecast|
||period|period||||||
|Forecast||||||||
||||||||Earnings Forecast|
||||||||Report by|
||||||||Zhengzhou Xufei|
|Zhengzhou Xufei|||||||Optoelectronic|
|Optoelectronic||December 31,|||||Technology Co.,|
||January 1, 2015||4,070.55|4,547.3|Completed|March 2, 2015||
|Technology Co.,||2015|||||Ltd(No.05007-Zh|
|Ltd.|||||||ongxin Cai Guan|
||||||||Hua|
||||||||Certified(2015)|
||||||||issued on Cninfo.|
||||||||Earnings Forecast|
||||||||Report by|
||||||||Shijiazhuang|
||||||||Xuxin Xufei|
|Shijiazhuang Xuxin||||||||
||||||||Optoelectronic|
|Optoelectronic||December 31,||||||
||January 1, 2015||3,062.35|3,923.03|Completed|March 2, 2015|Technology Co.,|
|Technology Co.,||2015||||||
||||||||Ltd(No.05002-Zh|
|Ltd.||||||||
||||||||ongxin Cai Guan|
||||||||Hua|
||||||||Certified(2015)|
||||||||issued on Cninfo.|
||||||||Earnings Forecast|
|Dongxu||||||||
||||||||Report by Dongxu|
|Optoelectronic||December 31,||||||
||January 1, 2015||124,397.66|132,623.37|Completed|March 2, 2015|Optoelectronic|
|Technology Co.,||2015||||||
||||||||Technology Co.,|
|Ltd.||||||||
||||||||Ltd(No.05011-Zh|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||
|-|
|ongxin Cai Guan|
|Hua|
|Certified(2015)|
|issued on Cninfo.|

 The commitments of the operating earnings made by thecompany’s shareholder and relevant transaction parties□ Applicable√ Not applicable
IV. Particulars about the non-operating occupation of funds by the controlling shareholder□ Applicable√ Not applicable
N/A
V. Explanation of the Supervisory Committee and Independent Directors (If applicable)on the QualifiedAuditor’s Report Issued by the CPAs.
□ Applicable√ Not applicable
N/A
VI. Explain change of the accounting policy, accounting estimate and measurement methods as compared with the financial reporting of last year.
□ Applicable√ Not applicable
N/A
VII. Explain retrospective restatement due to correction of significant accounting errors in the reporting period
□Applicable√ Not applicable
N/A
VIII. Explain change of the consolidation scope as compared with the financial reporting of last year.
√ Applicable□ Not Applicable
1. The Proposal on Purchasing the Equity of Jiangsu Jixing New Materials Co.,Ltd was approved on the
26th of the seventh session board meeting on Jan 19, 2015, according to that, the company shall purchase50.5% stake of Jiangsu Jixing New Materials Co.,Ltd through equity acquisition and capital increase. It mainly engaged in the cultivation, processing and sales of sapphire crystal materials.
2.On March 3, 2015, the 32th meeting of the 7th board of directors of the Company examined and adopted “Proposal on Jointly Establishing a Holding Subsidiary with Beijing Institute of Technology”. The Company jointly established the holding subsidiary “Beijing Xutan New Material Technology Co., Ltd” with Beijing Institute of Technology, carrying out new material development, industrialization, market management and project investment of graphene. The registered capital was 15 million RMB, of which the Company invested 10.5 million RMB in currency, occupying70% of registered capital.
3. On Jul 9, 2015, according to the provisions specified in the Articles of Association, and by the approval from
the chairman of the board, thecompany’s controlled subsidiary-Wuhu Dongxu Optoelectronic Equipment
Technology Co.,Ltd set up “ Jiangsu Dongxu Yitai Intelligent Equipment Co.,Ltd” in Jiangsu province. The
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report registered capital of the new company is RMB 10 million, and its100% stake was held by Wuhu Equipment Company, and it mainly engaged in research and development, production and sales of intelligent robot and intelligent automatic controlling equipment.
4.On October , 22,2015, according to the provisions specified in the Articles of Association, and by the approval from the chairman of theboard，the Company jointly invested in establishing a graphene investment company “Beijing Dongxu Huaqing Investment Co., Ltd.” according to the Strategic Cooperation Agreement signed with Beijing Modern Huaqing Material Technology Development Center, which was as the main
investment subject for investing graphene project of both. The initial registered capital was RMB 5 million , in which the Company invested RMB 3.5 million , occupying70% of the registered capital.
5.On
Dec 25, 2015, according to the provisions specified in the Articles of Association, and by the approval from the chairman of the board, thecompany’s whole-owned subsidiary-Wuhu Optoelectronic Technology Co.,Ltd set up “Fuzhou Dongxu Optoelectronic Technology Co.,Ltd” in Fuzhou free-trade zone located in Fujian province, and the new company mainly engaged in investment, construction and operation of optoelectronic display glass substrate industry.
6. In December 2015,the Company succeeded in the work of non-public issue of 2015. According to “Preplan of Non-public Issue of Shares of 2015(Revised Draft) of the Company ”, the raised funds of the non-public issue of share after deducting the issue expense would be partly used in acquiring100% share right of Zhengzhou Xufei Optoelectronic Technology Co., Ltd. and100% share right of Zhijiazhuang Xuxin Optoelectronic Technology Co., Ltd. . Up to December 31, 2015, the relevant procedures for share right transfer and industry and commerce change of Zhengzhou Xufei and Shijiazhuang Xuxin have been completed, which obtained business license after change. So far, the Company has held100% share right of Zhengzhou Xufei Optoelectronic Technology Co., Ltd. and100% share right of Zhijiazhuang Xuxin Optoelectronic Technology Co., Ltd. .
IX. Engagement/Disengagement of CPAs
CPAs currently engaged
|||
|-|-|
|Name of the domestic CPAs|Hebei Guanghua Accounting Firms Co., Ltd.(Special General Partnership)|
|Remuneration for domestic accounting firm (RMB’||
||55|
|0000)||
|Continuous life of auditing service for domestic||
||4|
|accounting firm||
|Name of domestic CPA|Wang Fengqi, Meng Xiaoguang|

Has the CPAs been changed in the current period
□ Yes√ No
CPAs firm for the internal control audit
√applicable□ Not applicable
1.In the report period, the Company hired Zhongxingcai Guanghua Certified Public Accountant LLP as the accountant office of theCompany’s internal control audit , during which the Company paid RMB0.25 million for the audit expense in total.
2. In this year, the Company hired Southwest Securities Co., Ltd. as the Company sponsor in reason of the matter of non-public issue, during which the Company paid RMB 49.5 million for the sponsor fee.
X. Situation of Facing Listing Suspension and Listing Termination after the Disclosure of the
Yearly Report
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report□Applicable√ Not applicable
XI. Relevant Matters of Bankruptcy Reorganization
□Applicable√ Not applicable
N/A
XII. Matters of Important Lawsuit and Arbitration
□Applicable√ Not applicable
N/A
XIII. Situation of Punishment and Rectification
□Applicable√ Not applicable
N/A
XIV. Credit Condition of the Company and its Controlling Shareholders and Actual Controllers
□Applicable√ Not applicable
XV. Implementation Situation of Stock Incentive Plan of the Company, Employee Stock Ownership Plan or Other Employee Incentive Measures
√applicable□ Not applicable
1.Equity Incentive Plan
(1). TheCompany’s business income of 2014 was RMB 2,143,398,018.39 , of which the net profit attributable to listedcompany’s shareholders was RMB 880,625,183.53 and the net profit attributable to listedcompany’s shareholders after deducting non-recurring gains and losses was RMB 503,125,122.42 ; The 40 incentive objects were qualified in performance appraisal, meeting the requirement of unlocking. On October 29, 2015, the 43rd meeting of the 7th board of directors and the 17th meeting of the 7th board of supervisors of the Company examined and adopted “Proposal on Unlocking Restricted Stocks Incentive Plan in the First Unlocking Period”, agreeing on the appliance for unlocking20% of the 2.98 million awarded restricted shares of those 40 incentive objects.
(2).On October 29, 2015, the 43rd meeting of the 7th board of directors and the 17th meeting of the 7th board of supervisors of the Company examined and adopted “Proposal on Repurchasing and Canceling Partial Restricted Stock”, which repurchased and canceled 100,000 of the restricted shares awarded buthasn’t yet been unlocked which was originally held by the incentive object Chen Yinwei, who has left his post.
2.Employee Stock Ownership Plan
(1).On January 27, 2015 and March 18, 2015, the 27th meeting of the 7th board of directors of the Company and the 1st provisionalshareholder’s meeting of 2015 examined and adopted “Proposal on Dongxu Optoelectronic Technology Co., Ltd. Phase 1 for Employee Stock Ownership Plan(Draft) (Subscription for the Way of
Non-public Issue of Shares) and its Summary”, agreeing the Company to carry out Employee Stock Ownership Plan to participate in the subscription for the non-public issue of share of 2015, where the participants of the Plan were theCompany’s directors, supervisors, executives, the Company and regular employees of the subordinate subsidiary who were up to the standard.
(2).On October 10, 2015, the Company was examined and adopted by “Reply on Examining and Adopting
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report Dongxu Optoelectronic Technology Co., Ltd. Non-public Issue of Shares”[2015] No.2270 with permission of CSRC, approving the Company to issue A shares by means of non-public issue of share.
(3).The scale of Phase 1 for Employee Stock Ownership Plan of Dongxu Optoelectronic was 495,400,000 RMB, subscribing 72,639,296 of non-publicly issued shares of 2015 with full amount through No.2 Changjiang Xingli Oriented Plan, where the above shares were listed in SZSE on December 17, 2015, which was with 36-month locking period.
XVI. Material related transactions
1. Related transactions in connection with daily operation
√Applicable□ Not applicable
|||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|-|
||||||||||Whethe|||||
|||||||||Trading|r over|||||
|||||Principl||||limit|the|||||
||||||||||||Market||Index|
||||Subjects|e of||||||||||
|||||||Amount||approve|approve||price of||of|
||||of the|pricing|||Ratio in|||Way of||Date of||
|Related|Relation|Type of|||Price of|of trade|||||similar||informa|
||||related|the|||similar|||paymen||disclosu||
|parties|ship|trade|||trade|RMB0’||d|d||trade||tion|
||||transacti|related|||trades|||t||re||
|||||||000|||||availabl||disclos|
||||ons|transacti||||||||||
|||||||||（RMB|limited||e||ure|
|||||ons||||||||||
|||||||||’0000）|or not|||||
||||||||||(Y/N)|||||
||Controll|Controll||||||||||||
|Shijiazh|ed by|ed by||||||||||||
|uang|the|the||Referen||||||||||
|||||||||||Currenc||March||
|Baoshi|same|same|Energy|ce price|87.43|87.43||15,000|No||87.43|||
|||||||||||y||18,2015||
|Group|actual|actual||setting||||||||||
|Co., Ltd.|controll|controll||||||||||||
||er|er||||||||||||
||Controll|||||||||||||
|||Commo||||||||||||
|Shijiazh|ed by|||||||||||||
|||dity||||||||||||
|uang|the|||Referen||||||||||
|||purchas|Security|||||||Currenc||||
|Baoshi|same|||ce price|100|100||22.31|Yes||100|||
|||ed/labor|Fee|||||||y||||
|Group|actual|||setting||||||||||
|||service||||||||||||
|Co., Ltd.|controll|||||||||||||
|||received||||||||||||
||er|||||||||||||
|Chengdu|Controll|||||||||||||
|||Commo||||||||||||
|Dongxu|ed by|||||||||||||
|||dity||||||||||||
|Energy|the||Energy|Referen||||||||March||
|||purchas||||||||Currenc||||
|Saving|same||saving|ce price|15.66|15.66|||Yes||15.66|18,||
|||ed/labor||||||||y||||
|Technolo|actual||lamp|setting||||||||2015||
|||service||||||||||||
|gy Co.,|controll|||||||||||||
|||received||||||||||||
|Ltd.|er|||||||||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
||Controll|||||||||||
|Shijiazhu||Commo||||||||||
||ed by|||||||||||
|ang Bofa||dity||||||||||
||the|||Referen||||||||
|Mechanic||purchas|Machine||||||Currenc||August|
||same|||ce price|766.18|766.18||Yes||766.18||
|al||ed/labor|dpart||||||y||29,2015|
||actual|||setting||||||||
|Equipmen||service||||||||||
||controll|||||||||||
|t Co., Ltd.||received||||||||||
||er|||||||||||
||Controll|||||||||||
|Shijiazhu||Commo||||||||||
||ed by|||||||||||
|ang Bofa||dity||||||||||
||the|||Referen||||||||
|Mechanic||purchas|Raw||||||Currenc|||
||same|||ce price|31.92|31.92|17,000|Yes||31.92||
|al||ed/labor|material||||||y|||
||actual|||setting||||||||
|Equipmen||service||||||||||
||controll|||||||||||
|t Co., Ltd.||received||||||||||
||er|||||||||||
||Controll|||||||||||
|Shijiazhu||Commo||||||||||
||ed by|||||||||||
|ang Bofa||dity||||||||||
||the||Processi|Referen||||||||
|Mechanic||purchas|||||||Currenc|||
||same||ng|ce price|144.92|144.92||Yes||144.92||
|al||ed/labor|||||||y|||
||actual||changes|s e tt in g||||||||
|Equipmen||service||||||||||
||controll|||||||||||
|t Co., Ltd.||received||||||||||
||er|||||||||||
||Controll|||||||||||
|||Commo||||||||||
|SichuanX|ed by|||||||||||
|||dity||||||||||
|uhong|the|||Referen||||||||
|||purchas|Raw||||||Currenc|||
|Optoel|same|||ce price|71.99|71.99|1,000|Yes||71.99||
|||ed/labor|material||||||y|||
|ectroni|actual|||setting||||||||
|||service||||||||||
|c|controll|||||||||||
|||received||||||||||
||er|||||||||||
||Controll|||||||||||
|Chengdu||Commo||||||||||
||ed by|||||||||||
|Zhong||dity||||||||||
||the|||Referen||||||||
|Optoelec||purchas|||||||Currenc|||
||same||Material|ce p r ic e|1 . 5 4|1 . 5 4|4 0 0|Y e s||1.54||
|tronic||ed/labor|||||||y|||
||actual|||setting||||||||
|Technol||service||||||||||
||controll|||||||||||
|ogy Co.,||received||||||||||
||er|||||||||||
|Ltd.||||||||||||
|Shijiazhu||||||||||||
||Controll|Commo||||||||||
|ang||||||||||||
||ed by|dity||||||||||
|Xuling|||Supervis|Referen||||||||
||the|purchas|||||||Currenc|||
|Electronic|||ory|ce price|44.52|44.52|1,500|Yes||44.52||
||same|ed/labor|||||||y|||
|s|||system|setting||||||||
||actual|service||||||||||
|Technolo||||||||||||
||controll|received||||||||||
|gy Co.,||||||||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
|Ltd.|er|||||||||||
|Hebei||||||||||||
||Controll|||||||||||
|Baoshi||Commo||||||||||
||ed by|||||||||||
|Energy||dity||||||||||
||the|||Referen||||||||
|Saving||purchas|||||||Currenc|||
||same||Lamps|ce price|1.35|1.35|50|Yes||1.35||
|Lighting||ed/labor|||||||y|||
||actual|||setting||||||||
|Technolo||service||||||||||
||controll|||||||||||
|gy Co.,||received||||||||||
||er|||||||||||
|Ltd.||||||||||||
||Controll|||||||||||
|Shijiazhu||||||||||||
||ed by|Sales||||||||||
|ang Bofa||||||||||||
||the|Goods/||Referen||||||||
|Mechanic|||||||||Currenc||March|
||same|Labor|A-frame|ce price|554.49|554.49|100|No||554.49||
|al|||||||||y||18,2015|
||actual|service||setting||||||||
|Equipmen||||||||||||
||controll|received||||||||||
|t Co., Ltd.||||||||||||
||er|||||||||||
||Controll||Glass|||||||||
|Shijiazhu||||||||||||
||ed by|Sales|substrate|||||||||
|ang Bofa||||||||||||
||the|Goods/|defect|Referen|||||||August|
|Mechanic|||||3,641.2|3,641.2|||Currenc|3,641.2||
||same|Labor|detectio|ce price|||50|No|||29,|
|al|||||1|1|||y|1||
||actual|service|n|setting|||||||2015|
|Equipmen||||||||||||
||controll|received|equipme|||||||||
|t Co., Ltd.||||||||||||
||er||nt|||||||||
|SichuanX||||||||||||
|||Sales|Xuhong|||||||||
|uhong||||||||||||
|||Goods/|Technol|Referen|||||||March|
|Optoelect|||||15,047.|15,047.|||Currenc|15,047.||
|||Labor|ogy|ce price|||100|Yes|||18,|
|ronic|||||17|17|||y|17||
|||service|upgradin|setting|||||||2015|
|Technolo||||||||||||
|||received|g|||||||||
|gy||||||||||||
|JinzhouX|Controll|||||||||||
|ulong|ed by|Sales||||||||||
|Solar|the|Goods/||Referen|||||||August|
||||||||||Currenc|||
|energy|same|Labor|Testing|ce price|22.31|22.31|100|No||22.31|29,|
||||||||||y|||
|Technolo|actual|service||setting|||||||2015|
|gy Co.,|controll|received||||||||||
|Ltd.|er|||||||||||
|Chengdu|Controll|||||||||||
|||Sales||||||||||
|Zhong|ed by|||||||||||
|||Goods/|Glass|Referen||||||||
|Optoelect|the||||||||Currenc|||
|||Labor|Substrat|ce price|268.59|268.59|100|Yes||268.59||
|ronic|same||||||||y|||
|||service|e|setting||||||||
|Technolo|actual|||||||||||
|||received||||||||||
|gy Co.,|controll|||||||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|
|Ltd.|er||||||||||||
|||Sales|||||||||||
||Controll||||||||||||
|||Goods/||Referen|||||||||
|Dongxu|ed||||||||Currenc||||
|||Labor|Material|ce price|65.7|65.7||Yes||65.7|||
|Group|sharehol||||||||y||||
|||service||setting|||||||||
||ders||||||||||||
|||received|||||||||||
||||National||||||||||
||||Engine||||||||||
|||Sales|ering||||||||||
||Controll||||||||||||
|||Goods/|Labora|Referen|||||||March||
|Dongxu|ed||||8,211.5|8,211.5|40,456.||Currenc|8,211.5|||
|||Labor|tory|ce price||||No|||18,||
|Group|sharehol||||4|4|96||y|4|||
|||service|test|setting|||||||2015||
||ders||||||||||||
|||received|line||||||||||
||||equipm||||||||||
||||ent||||||||||
||Controll||||||||||||
|SichuanX|||||||||||||
||ed by|Sales|||||||||||
|uhong|||||||||||||
||the|Goods/|Technol|Referen|||||||||
|Optoelect|||||1,190.9|1,190.9|||Currenc|1,190.9|||
||same|Labor|ogy|ce price|||0|Yes|||||
|ronic|||||4|4|||y|4|||
||actual|service|service|setting|||||||||
|Technolo|||||||||||||
||controll|received|||||||||||
|gy|||||||||||||
||er||||||||||||
||Controll||||||||||||
|Dongxu(|||||||||||||
||ed by|Sales|||||||||||
|Yingkou)|||||||||||||
||the|Goods/|Technol|Referen|||||||March||
|Optoelect|||||||||Currenc||||
||same|Labor|ogy|ce price||913.58|1,000|No||913.58|18,||
|ronic|||||||||y||||
||actual|service|service|setting|||||||2015||
|Display|||||||||||||
||controll|received|||||||||||
|Co., Ltd|||||||||||||
||er||||||||||||
||Controll||||||||||||
|Dongxu|||||||||||||
||ed by||||||||||||
|Optoelect||||||||||||2015-0|
||the|Associat||Referen|||||||March||
|ronic|||||||||Currenc|||29、|
||same|ed|Equity|ce price||50|50|No||0|18,||
|Investme|||||||||y|||2015-0|
||actual|hosting||setting|||||||2015||
|nt Co.,||||||||||||36、|
||controll||||||||||||
|Ltd.|||||||||||||
||er||||||||||||
||Controll||||||||||||
||ed by|||||||||||2015-0|
|Shijiazhu||Associat||Referen|||||||March||
||the||||||||Currenc|||29、|
|ang Boshi||ed|Equity|ce price||50|50|No||0|18,||
||same||||||||y|||2015-0|
|Group||hosting||setting|||||||2015||
||actual|||||||||||36、|
||controll||||||||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|-|
||er|||||||||||||
||Controll|||||||||||||
|Dongxu(||||||||||||||
||ed by|||||||||||||
|Yingkou)||||||||||||||
||the|||Agreem||||||||March||
|Optoelect||Trustees||||||||Currenc||||
||same||Equity|ent||100||100|No||50|18,||
|ronic||hip||||||||y||||
||actual|||price||||||||2015||
|Display||||||||||||||
||controll|||||||||||||
|Co., Ltd||||||||||||||
||er|||||||||||||
||Controll|||||||||||||
|SichuanX||||||||||||||
||ed by|||||||||||||
|uhong||||||||||||||
||the||Manage|Agreem||||||||March||
|Optoelect||Trustees||||||||Currenc||||
||same||ment|ent||100||100|No||100|18,||
|ronic||hip||||||||y||||
||actual||right|price||||||||2015||
|Technolo||||||||||||||
||controll|||||||||||||
|gy||||||||||||||
||er|||||||||||||
||Controll|||||||||||||
|Chengdu|ed by|||||||||||||
|Taiyesi|the||Manage|Agreem||||||||March||
|||Trustees||||||||Currenc||||
|Technolo|same||ment|ent||50||100|No||50|18,||
|||hip||||||||y||||
|gy Co.,|actual||right|price||||||||2015||
|Ltd.|controll|||||||||||||
||er|||||||||||||
||Controll|||||||||||||
||||Equity|Agreem||||||||March||
|Dongxu|ed|Trustees||||||||Currenc||||
||||manage|ent||100||100|No||100|18,||
|Group|sharehol|hip||||||||y||||
||||ment|p r i ce||||||||2015||
||ders|||||||||||||
||Controll|||||||||||||
|||||Agreem||||||||||
|Dongxu|ed||House|||||||Currenc||||
|||Lease||ent||453.83||0|Yes||100|||
|Group|sharehol||lease|||||||y||||
|||||price||||||||||
||ders|||||||||||||
|||||||32,084.||38,556.||||||
|Total||||--|--||--||--|--|--|--|--|
|||||||87||96||||||

 2. Related-party transactions arising from asset acquisition or sale
√ Applicable□Not applicable
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
||||||转让资产|转让资产||||||
|||关联交易|关联交易|关联交易|||转让价格|关联交易|交易损益|||
|关联方|关联关系||||的账面价|的评估价||||披露日期|披露索引|
|||类型|内容|定价原则|||（万元）|结算方式|（万元）|||
||||||值（万元）|值（万元）||||||
|东旭光电|受同一实||东旭光电|||||||2016年|巨潮资讯|
|||股权收购||评估值|71,563.91|73,110.83|73,114.59|货币资金|0|||
|投资有限|际控制人||投资有限|||||||01月05|网|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
|公司|控制||公司持有|||||||日|2016-001|
||||的旭飞||||||||公告|
||||41.21%的|||||||||
||||股权|||||||||
||||石家庄宝|||||||||
||||石电子集|||||||||
|石家庄宝|||||||||||巨潮资讯|
||受同一实||团有限责|||||||2016年||
|石电子集|||||||||||网|
||际控制人|股权收购|任公司持|评估值|73,261.8|76,813.96|76,808.73|货币资金|0|01月05||
|团有限责|||||||||||2016-001|
||控制||有旭新的|||||||日||
|任公司|||||||||||公告|
||||38.67%的|||||||||
||||股权|||||||||
|转让价格与账面价值或评估价值差异较||||||||||||
|||||无||||||||
|大的原因（如有）||||||||||||
|对公司经营成果与财务状况的影响情况||||扩大了玻璃基板的收入，与现有产业互相融合促进||||||||
|如相关交易涉及业绩约定的，报告期内||||||||||||
|||||无||||||||
|的业绩实现情况||||||||||||

The Company was not involved in any related-party transactions arising from asset acquisition or sale during the reporting period.
3. Related-party transitions with joint investments
√ Applicable□ Not applicable
N/A
4. Credits and liabilities with related parties
√Applicable□Not applicable
Was there any non-operating credit or liability with any related party?
5. Other significant related-party transactions
□ Applicable√ Not applicable
The Company was not Other significant related-party transactions during the reporting period.
XVII. Particulars about significant contracts and their fulfillment
1. Particulars about trusteeship, contract and lease
(1) Trusteeship
√Applicable□Not applicable
Description of custodies
During the reporting period, the Company continued entrusted with the management of Dongxu( Yingkou)
Optoelectronic Display Co., Ltd., Sichuan Xuhong Optoelectronic Technology Co., Ltd., Zhengzhou Xufei
Optoelectrionic Technology Co., Ltd., Shijiazhuang Baoshi Electrinic Group Co., Ltd., Shijiazhuang Xuxin
Optoelectronic Technology Co.,Ltd. and Chengdu Taiyisi Technology Co., Ltd.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report In December 2011, Dongxu Group, Dongxu Optoelectronic Investment Co., Ltd. and Shijiazhuang Baoshi Electronic Group Co., Ltd signed the Equity Trusteeship Agreement with the Company , of which60% share rights of Dongxu (Yingkou) Optoelectronic Display Co., Ltd.,51% share rights of Sichuan Xuhong Optoelectronic Technology Co., Ltd., 40% share rights of Zhengzhou Xufei Optoelectronic Co., Ltd. and50% share rights of Shijiazhuang Xuxin Optoelectronic Technology Co., Ltd. were entrusted by the Company, where the agreement went into effect as of March 2013. The clients paid the Company 500 thousand RMB of management fee per year for each subject, of which Zhengzhou Xufei Optoelectronic Technology Co., Ltd. and Shijiazhuang Xuxin Optoelectronic Technology Co., Ltd. were acquired by the Company in December 2015, becoming the wholly-owned subsidiary of the Company.
In November 2014, Dongxu Group signed Business Trusteeship Agreement with the Company, which entrusted the management right of Chengdu Taiyisi Technology Co., Ltd. which was with90% shareholding proportion. The Agreement was went into effect as of December 2014.
See details in the table below:
||||||
|-|-|-|-|-|
|Name of Clients/Contractee|Name ofTrustee/Contractee|Type of EntrustingAsset/Contracting Asset|Starting Date ofEntrusting/Contracting|ExpirationDate ofEntrusting/Contracting|
|Dongxu Group, Yingkou Coastal DevelopmentConstruction Co., Ltd.Minmetals (Yingkou) IndustrialPark Development Co., Ltd.|DongxuOptoelectronicTechnology Co.,Ltd.|Management Right ofDongxu(Yingkou)Optoelectroric Display Co., Ltd.||Note 1|
|Dongxu Optoelectronic Investment Co., Ltd., HenanState-owned Assets Management Co., Ltd, ZhengzhouInvestment Holding Co., Ltd.||Management Right ofZhengzhou XufeiOptoelectronic Technology Co.,Ltd.|March 2012|Note 2|
|Dongxu Group, Mianyang Investment City Development(Group ) Co., Ltd., Sichuan Changhong Electric Co., Ltd.||Management Right of SichuanXuhong OptoelectronicTechnology Co., Ltd.|March 2012|Notes 2|
|Shijiazhuang Baoshi Group Co., Ltd., ShijiazhuangHigh-tech Zone Lanhu Investment Co., Ltd.,ShijiazhuangState Controlling Group Co., Ltd.||Management Right ofShijiazhuang XuxinOptoelectronic Technology Co.,Ltd.|March 2012|Note 2|
|Dongxu Group||Management Right of ChengduTaiyisiTechnologyCo.， Ltd.|December 2014|Note 3|
|Total|||||

 Note 1: The trustee fee includes share right trustee fee(500 thousand RMB/year) and operation trustee fee. The operation trustee fee is basic management fee and incentive management fee, of which the basic management fee is 1 million RMB/year, the incentive management fee is counted by5% of the after-tax net profit yearly achieved by the trustee company(the base of the incentive management fee deducts the loss of the previous year.)
Note 2: The trustee fee includes share right trustee fee(500 thousand RMB/year) and operation trustee fee. The operation trustee fee is basic management fee and incentive management fee, of which the basic management fee is 1 million RMB/year, the
incentive management fee is counted by5% of the after-tax net profit yearly achieved by the trustee company
Note 3: The trustee fee includes share right trustee fee(500 thousand RMB/year) and operation trustee fee. The operation
trustee fee is basic management fee and incentive management fee, of which the basic management fee is 1 million RMB/year, the
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report incentive management fee is counted by5% of the after-tax net profit yearly achieved by the trustee company.
Items which resulted in profit or loss achieving over10% of the total profit for the Company
□ Applicable√ Not applicable
(2) Contract
□ Applicable√ Not applicable
There was no any contract of the Company in the reporting period.
(3) Lease
√Applicable□Not applicable
Explanation of Situation of Lease
In December 2015, Zhengzhou Xufei Optoelectronic Technology Co., Ltd. was acquired by the Company, becoming the wholly-owned subsidiary of the Company. As it was in merger and acquisitions, the former direct leasing business between Zhengzhou Xufei and Dongxu Group would be merged into the Company, forming related leasing.
||||||||
|-|-|-|-|-|-|-|
|Name of Lessor|Name ofLeasee|Type ofLeasingAsset|Starting Dateof Leasing|ExpirationDate ofLeasiing|Pricing Basisof LeasingEarnings|ConfirmedLeasing Earningsof 2015|
|Zhengzhou XufeiOptoelectronicTechnology Co.,Ltd.|Dongxu Group|House|2015.4.1|2015.12.31|Leasingcontract|4,538,268.00|
|Total||||||4,538,268.00|

Items which resulted in profit or loss achieving over10% of the total profit for the Company of the report period□ Applicable√ Not applicable
2.Guarantees
√Applicable□Not applicable
（1）Guarantees
In RMB
||||||||||
|-|-|-|-|-|-|-|-|-|
|External Guarantee (Exclude controlled subsidiaries)|||||||||
||Relevant||Date of||||Complete|Guarantee|
|||||Actual|||||
||disclosure|Amount of|happening||||implementa|for|
|Name of the Company||||mount of|Guarantee type|Guarantee term|||
||date/No. of|Guarantee|(Date of||||tion|associated|
|||||guarantee|||||
||the||signing||||or not|parties|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
||guaranteed||agreement)|||||(Yes or no)|
||amount||||||||
|Guarantee of the Company for the controlling subsidiaries|||||||||
||Relevant||||||||
||||Date of||||Complete|Guarantee|
||disclosure||||||||
|Name of the||Amount|happening|Actual|||implementa|for|
||date/No. of||||Guarantee||||
|Company||of|(Date o|mount of||Guarantee term|tion|associated|
||the||||type||||
|guaranteed||guarantee|signing|guarantee|||or|parties|
||guaranteed||||||||
||||agreement)||||not|(Yes or no)|
||amount||||||||
|Wuhu Dongxu|||||The joint||||
|Optoelectronic Equipment|May 16, 2015|15,000|May 14,2015|15,000|liability|1 year|No|No|
|Technology Co., Ltd.|||||guaranty||||
|Wuhu Dongxu|||||The joint||||
|Optoelectronic Equipment|May 16, 2015|5,000|June 5, 2015|5,000|liability|1 year|No|No|
|Technology Co., Ltd.|||||guaranty||||
||||||The joint||||
|Jiangsu Jixing New|||||||||
||May 16,2015|8,000||0|liability|3 years|No|No|
|Material Co., Ltd.|||||||||
||||||guaranty||||
||||||The joint||||
|Jiangsu Jixing New|August||||||||
|||12,500|September 30,2015|5,000|liability|1 year|No|No|
|Material Co., Ltd.|15,2015||||||||
||||||guaranty||||
|Wuhu Dongxu|||||The joint||||
||September||||||||
|Optoelectronic Equipment||20,000|September 29, 2015|20,000|liability|1 year|No|No|
||29,2015||||||||
|Technology Co., Ltd.|||||guaranty||||
|Wuhu Dongxu|||||The joint||||
||September||||||||
|Optoelectronic Equipment||4,000|December 22, 2015|4,000|liability|1 year|No|No|
||29,2015||||||||
|Technology Co., Ltd.|||||guaranty||||
||||||The joint||||
|Beijing Xufeng Realestate|October||||||||
|||120,000|November 5,2015|120,000|liability|5 years|No|No|
|Co., Ltd.|20,2015||||||||
||||||guaranty||||
|Wuhu Dongxu|||||The joint||||
||October||||||||
|Optoelectronic Equipment||10,000|November 30,2015|5,000|liability|1 year|No|No|
||20,2015||||||||
|Technology Co., Ltd.|||||guaranty||||
|||||Total of actual guarantee|||||
|Total of guarantee for subsidiaries|||||||||
|||194,500||for subsidiaries in the||174,000|||
|approved in the Period (B1)|||||||||
|||||Period (B2)|||||
|||||Total of actual guarantee|||||
|Total of guarantee for subsidiaries|||||||||
|||564,000||for subsidiaries at||444,000|||
|approved at Period-end (B3)|||||||||
|||||Period-end (B4)|||||
|Guarantee of the subsidiaries for the controlling subsidiaries|||||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
||Relevant||||||||
||||Date of||||Complete|Guarantee|
||disclosure||||||||
|Name of the||Amount|happening|Actual|||implementa|for|
||date/No. of||||Guarantee||||
|Company||of|(Date o|mount of||Guarantee term|tion|associated|
||the||||type||||
|guaranteed||guarantee|signing|guarantee|||or|parties|
||guaranteed||||||||
||||agreement)||||not|(Yes or no)|
||amount||||||||
|Total of Company’s guarantee（namely total of the large three aforementioned）|||||||||
|Total of guarantee in the Period||||Total of actual guarantee in|||||
|||194,500||||174,000|||
|（A1+B1+C1）||||the Period（A2+B2+C2）|||||
|||||Total of actual guarantee at|||||
|Total of guarantee at Period-end|||||||||
|||564,000||Period-end||444,000|||
|（A3+B3+C3）|||||||||
|||||（A4+B4+C4）|||||
|Including：|||||||||
|Amount of guarantee for shareholders, actual controller and its associated|||||||||
|||||0|||||
|parties（D）|||||||||
|The debts guarantee amount provided for the|||||||||
|Guaranteed parties whose assets-liability ratio exceed||||5,000|||||
|70% directly or indirectly（E）|||||||||
|Proportion of total amount of guarantee in net assets of the company exceed|||||||||
|||||130,000|||||
|50%（F）|||||||||
|Total guarantee Amount of the abovementioned guarantees（D+E+F）||||135,000|||||

 Description of the guarantee with complex method
（2）Illegal external guarantee
□ Applicable√ Not applicable
N/A
3.Situation of Entrusting Others for Managing Spot Asset
(1)Situation of Entrusted Finance
□ Applicable√ Not applicable
N/A
(2)Situation of Entrusted Loans
□ Applicable√ Not applicable
N/A
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report 4. Other significant contract
□ Applicable√ Not applicable
N/A
XVIII. Explanation about other significant matters
□ Applicable√ Not applicable
There was no any other significant matters of the Company in the reporting period.
XIX. Major issues of subsidiary
□ Applicable√ Not applicable
XX. Social responsibility
□ Applicable√ Not applicable
XXI. Information about the corporate bonds
Whether the listed company failed to honor the corporate bonds public issued and listed on the Stock Exchange in due or undue at the approval date of the annual report
Yes
1. Basic information of the corporate bonds
|||||||||
|-|-|-|-|-|-|-|-|
||||||||Method of|
||||||Bond|||
||Abbreviated Bond||||||repayment of the|
|Bond Name||Code|Issue Date|Date Due|Balance(RMB ’|Interest Rate||
||Name||||||principal and|
||||||0000)|||
||||||||interest payment|
||||||||Interest paid every|
|2015- corporate|||||||year, the principal|
|bond of Dongxu|||||||will be repaid with|
|Optoelectronic|15 Dongxu bonds|112243|May 19,2015|May 19,2020|100,000|6.00%|the last unpaid|
|Technology Co.,|||||||interest in one|
|Ltd|||||||time as the bond|
||||||||due|
|Listed place or Transaction place for||||||||
|||Shenzhen Stock Exchange||||||
|the corporate bonds||||||||
|Arrangement of investor’s eligibility||Investor’s puttable right||||||
|Information about interest paid and||||||||
|bonds honored during the reporting||The period needed paying interest or repayment of principal is not mature.||||||
|period||||||||
|Implementation of relevant special||||||||
|clauses(if applicable) such as option||None happened in the reporting period||||||
|clause for the bond issuer or investors||||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||
|-|
|and exchangeable clause|

2.Information about the bond trustee and credit rating agency
|||||||||
|-|-|-|-|-|-|-|-|
|Bond trustee:||||||||
||||19-20/F, Main|||||
||||Tower ,|||||
||||Guangzhou|||||
||Guangzhou||International|||||
||||||Shi Jianhua, Yan|||
|Name|Securities Co.,|Business Address|Finance Center,|Contacts||Telephone|020-88836999|
||||||Xiangjun|||
||Ltd.||No.5 Zhujiang|||||
||||West Road,|||||
||||Tianhe District|||||
||||Guangzhou City|||||
|The credit rating agency who follow up and rate the corporate bonds in the reporting period:||||||||
||||||Room 508 Ailiyuan Apartment, No.38 Water Park North|||
|Name|United Rating Co.,Ltd|||Business Address||||
||||||Road, Nankai District, Tianjin City|||

3.Information about the use of the funds raised by issuing corporate bonds
|||
|-|-|
|The information of the use of the funds|Using the funds raised by issuing corporate bonds strictly conforming to the purpose|
|raised by issuing corporate bonds and|stipulated by Rules of Management and Use of the Raised Funds and the Prospectus,|
|related implementation procedure|and implemented the corresponding approval procedures|
|Ending balance of the year(RMB’0000)|33.71|
|Operation status of the special account for||
||Normal|
|the raised funds||
|Whether the use of the raised funds||
|conforming to the purpose, use plan and||
||The use of the raised funds conformed to the purpose promised in the Prospectus|
|other provisions specified in the||
|Prospectus||

4. Information about the rating of the corporate bonds
The Untied Rating Co.,Ltd issued a Tracking and Rating Report according to thecompany’s 2014 annual report on April 17, 2015, and the rating result was the same as the last time. According to the United RatingCo.,Ltd’s requirements on tacking and rating, a regular rating shall be carried out within 2 months after thecompany’s disclosure of 2015 annual report. Also, the United Rating Co.,Ltd shall carry out randomly tracking and rating during the duration of the corporate bonds based on relevant information.
5. The corporatebond’s credit mechanism, repayment plan and other safeguard measures for repayment
Repayment Plan
I. Payment of the interest
1. The interest of the bonds shall be paid each year and the last payment of interest shall be paid with the principal. Every payment of interest shall not be charged on interest after the interest paying day and the principal shall not
be charged on interest after thebond’s date due. The interest payment day of this corporate bond is May 19 of
each year from 2016 to 2020(If it is not a working day, the payment day will be postponed to the first working day
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report after the day).If the investors exercise the puttable right at the end of the third year in the duration of the bond, the interest payment day of the bonds sold back is May 19 of each year from 2016 to 2018.
2. The payment of the interest of the bonds shall be handled through the bond registration institution and other related institutions. The concrete information of the interest payment will be specified in the Interest Payment Announcement issued on the media designated by CSRC, with in accordance with the relevant state regulations. 3. According to relevant national tax laws and regulations, the investor of the corporate bond shall fully bear the relevant tax should be paid.
II. The repayment of the principal
1. The principal will be fully repaid in a time, and its repaying day is May 19, 2020. If the investors exercise the puttable right at the end of the third year in the duration of the bond, the repaying day of the principal of the bonds being sold back is May 19, 2018. (If the repaying day aforesaid is not a working day, the repaying day shall be postponed to the first working day after the original day, and there is no need to pay interest in the deferred period)
2. The repayment of the principal of the bonds will be handled through the bond registration institution and other related institutions. The concrete information of repayment of the principal of the bonds will be specified in the Principal Repayment Announcement issued on the media designated by CSRC, with in accordance with the relevant state regulations.
Safeguard measures for the repayment
I. A designated special department in charge of the repayment working
The company designated its finance department to take the lead in the coordination work for repayment of the bonds and the finance department shall coordinate other relevant departments to schedule the demanded funds for the repayment of the bonds in everyyear’s financial budget, for ensuring the repayment of the interest and principal of the bonds is timely, guaranteeing thebond-holder’s interest. The company will set up a working team for repayment 15days before the day that is the interest paying day or principal repaying day of the bonds, with the personnel of the finance department being included, to specially in charge of the work of paying the interest of the bonds and the repayment of the principal.
II. Establishing Meeting Rules for Bond-holders
According to the provisions specified in the Pilot Approach, the company with bond trustee has established the Meeting Rules for Bond-holders for the corporate bonds. The Meeting Rules for Bond-holders specified the scope, procedures and other important items for the bond-holders to exercise rights through the Meeting of the
Bond-holders, which provided a reasonable institutional arrangement for the timely and full payment to the interest and the principal of the corporate bonds.
III. Making the full use of the bond trustee
According to the requirements specified in the Pilot Approach, the company has adopted the institution of bond trustee, engaged Guangzhou Securities Co.,Ltd as the trustee of the bonds this time and signed the Agreement of Bond Entrusted Management with Guangzhou Securities. The Bond Trustee shall represent all the bond-holders to supervise the relevant information about the company and take all necessary measures to protect the legitimate interest of the bond-holders when the interest or principal of the bonds cannot be repaid in time. The company shall strictly conform to the provisions specified in the Agreement of Bond Entrusted Management, being cooperative when the bond trustee performance its duties, and regularly submit the report of commitment
fulfillment status to the bond trustee. When there is a possible bond default, the company shall notice the bond trustee in time, thus the bond trustee can take other necessary measures in time according to the Bond Entrusted Management.
Ⅳ. Strictly fulfilling the obligation of information disclosure
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report The company shall adhere to the information disclosure principles of authentic, accurate and completed, making the information of thecompany’s repaying ability and use of the raised funds to be supervised by the bond trustee and shareholders, for preventing the risk of repayment. According to the Agreement of Bond Entrusted
Management and relevant regulations, the company shall release the information of major issues, which include but not limited to the following contents: (1) According to the Prospectus and agreement with the registered trustee institution, the company shall transfer the maturity interest payment or principal to the account designated by the registered trustee institution; (2) By estimate or in fact, the company cannot fully repay the interest or principal of the bonds in time according to the provisions stipulated in the Prospectus; (3) Singing the guarantee contract for external or other major contracts may have significant adverse effects of repaying the interest and principal of the bonds; (4) A severe loss occurred or expected to occur, and the loss exceeds10% of the net asset audited in the last accounting year; (5) Occurrence of capital reduction, merger, division, dissolution, file for bankruptcy, entering into bankruptcy procedure or other main changes of the company; (6) Occurrence of the amount of subject in the major arbitration or lawsuit exceeding10% of the net asset audited in the last accounting year; (7) Planning to dispose the asset or debt with subject amount exceeding10% of the net asset audited in the last accounting year; (8) Planning to change the bond trustee; (9) Failing to perform or Planning to change the stipulations specified in the Prospectus; (10) Alteration of the designated person for specially in charge of the relevant matters of the corporate bonds; (11) Occurrence of suspending the bond transaction; (12) Others may significantly impact the repaying of the interest and principal or circumstances specified by laws, administrative regulations and stipulations by the CSRC or exchange.
Ⅴ. Setting up the capital management plan and strictly implementing the plan
After the issuance of the bonds, the company shall further reinforce thecompany’s assets and liabilities
management, liquidity management, use management of the raised funds, funds management and so forth according to thecompany’s debt structure. Also, the company will set up monthly and yearly funds use plan based on the maturity of repaying the interest and principal, ensuring on-schedule, timely and full-amount preparing of the funds for repaying everyyear’s interest or principal of the bonds to adequately protect theinvestor’s interest. VI. Commitments
According to the resolutions of the issuance of the bonds approved on the board meeting on Oct 21, 2014 and the general meeting of shareholders on Nov 6, 2014, when the company cannot repay the interest or principal of the bonds in time or fully repay the interest or principal of the bonds, the company shall take the following resolutions and make corresponding measures: (1) None profit distribution to shareholders; (2) Postponing capital
expenditure items, such as major investment, merger and acquisition; (3) Reducing or stopping the salaries and bonuses of the directors and senior management personnel; (4) No transferring of principal responsible personnel and so on.
6. Information about the bond-holder meeting during the reporting period
There was no bond-holder meeting convened in the reporting period.
7. Information about the obligations fulfilled by the bond trustee in the reporting period
The bond trustee has been continuously following up thecompany’s credit status, and paid a visit to the company in Dec, 2015, checking the bank statement of the designated account for the raised funds. Also, the trustee has been continuously supervising the use of the raised funds.
8. The key accounting data and financial indicators of the latest two years to the end of the reporting period InRMB’0000
|||||
|-|-|-|-|
||||Rate of change in the same|
|Items|2015|2014||
||||period|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
|Earnings before interest, tax,||||
||233,623.36|92,532.39|152.48%|
|depreciation and amortization||||
|Net cash flows from investing||||
||-419,567.25|-67,361.93|522.86%|
|activities||||
|Net cash flows from financing||||
||1,103,112.19|187,600.66|488.01%|
|activities||||
|The Ending Balance of Cash||||
||1,196,476.94|334,989.24|257.17%|
|and Cash Equivalents||||
|Current ratio|259.46%|267.84%|-8.38%|
|Debt ratio|49.44%|49.64%|-0.20%|
|Quick ratio|208.76%|222.50%|-13.74%|
|EBITDA/Total debts|16.41%|10.08%|6.33%|
|Interest coverage ratio|5.69|12.22|-53.44%|
|Cash interest coverage ratio|35.67|62.22|-42.67%|
|EBITDA interest coverage ratio|6.72|16.26|-58.67%|
|Loans repayment rate|100.00%|100.00%|0.00%|
|Interest payment rate|100.00%|100.00%|0.00%|

 The material reasons for the changed ratio of the accounting data or financial indicators exceeds30% over the last year
□ Applicable√ Not applicable
9. Information about restrictions on asset right by the end of the reporting period
Items Borrowing amount/Limited amount Reason
Monetary funds 444,740,765.54 Pledge of deposit and loan
Inventory 914,716,683.08 Obtain loans as collateral
Fixed assets 5,853,008,739.24 Obtain loans as collateral
Intangible assets 244,542,726.48 Obtain loans as collateral
Construction in process 2,721,402,063.43 Obtain loans as collateral
Total 10,178,410,977.77
10. Information about the repayment of interest and principal for other bonds or debt financing instruments 11. Information about the bank credit obtaining and use, as well as repayment of the bank loans during the reporting period
12. Information about fulfillment of the stipulations or commitments specified in the Prospectus of the issuance of the bonds during the reporting period
During the reporting period, the company had been strictly conforming to the stipulations specified in the Prospectus of the issuance of the bonds to use the raised funds, and the company had fulfilled the commitments of
not using any raised funds to indirectly or directly invest real estate business or raise capital for the subsidiaries
engaged in real estate business.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report 13. Major events occurred during the reporting period
During the reporting period, the company had increased the guarantee amount of RMB 1740,000,000 for its controlled subsidiaries and wholly-owned subsidies, beyond that, there were no major events occurred in accordance with the article-45 specified in the Measures on Issuance and Management for Corporate Bonds 14. Whether the corporate bonds have a guarantor
□ Yes√No
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report VI. Change of share capital and shareholding of Principal
Shareholders
I. Changes in share capital
1. Changes in share capital
In Shares
|||||||||||
|-|-|-|-|-|-|-|-|-|-|
||Before the change||Increase/decrease（+，-）|||||After the Change||
||Amount|Proportio|||Capitaliza|||||
|||n|Share|Bonus|tion of||||Proportio|
||||||common|Other|Subtotal|Quantity||
||||allotment|shares|||||n|
||||||reserve|||||
||||||fund|||||
|1.Shares with conditional|393,410,8||1,173,020,||||1,172,434,|1,565,845||
|||14.78%||||-586,000|||40.83%|
|subscription|79||525||||525|,404||
||393,410,8||1,173,020,||||1,172,434,|1,565,845||
|3.Other domestic shares||14.78%||||-586,000|||40.83%|
||79||525||||525|,404||
|Incl：Domestic legal person|390,309,0||1,173,020,||||1,173,005,|1,563,314||
|||14.66%||||-15,000|||40.76%|
|shares|00||525||||525|,525||
|Domestic Natural Person||||||||||
||3,101,879|0.12%||||-571,000|-571,000|2,530,879|0.07%|
|shares||||||||||
|II.Shares with unconditional|2,268,669,|||||||2,269,255||
|||85.22%||||586,000|586,000||59.17%|
|subscription|122|||||||,122||
||2,018,669,|||||||2,019,255||
|1.Common shares in RMB||75.83%||||586,000|586,000||52.65%|
||121|||||||,121||
|2.Foreign shares in domestic|250,000,0|||||||250,000,0||
|||9.39%|||||||6.52%|
|market|01|||||||01||
||2,662,080,||1,173,020,||||1,173,020,|3,835,100||
|III. Total of capital shares||100.00%||||0|||100.00%|
||001||525||||525|,526||

Reasons for share changed:
√ Applicable□ Not applicable
1.On August 6, 2015, the Company reformed in equity division, which released the restricted shares, circulating 15,000 shares on the
market.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report 2.On November 25, 2015, stocks with restricted equity incentive met the unlocking requirements of Phase 1, releasing the restricted shares and circulating 5,960,000,000 shares on the market
3.On December 17, 2015, the Company non-publicly issued 1,173,020,525 of new shares, separately locking for 12 months and 36 months.
4.On December 16, the former CFO Li Quannian left his post,of whose 30,000 shares of unlocked restricted stocks with awarded equity incentive were locked for 6 months.
Approval of Change of Shares
√ Applicable□ Not applicable
1.On August 6, 2015, the Company reformed in equity division, which released the restricted shares, circulating 15,000 shares on the market, of which the reform proposal was examined and adopted by relevantshareholder’s meeting of the Company convened on March 6, 2006.
2.On October 29, 2015, the 43rd meeting of the 7th board of director of the Company and the 17th meeting of the board of
supervisors examined and adopted “Proposal on Unlocking Restricted Stocks Incentive Plan in the First Unlocking Period”, agreeing
on the appliance for unlocking20% of the 2.98 million awarded restricted shares of those 40 incentive objects.
3.Examined and approved by “Reply on Examining and Adopting Dongxu Optoelectric Technology Co., Ltd. Non-publicly Issue ofShares”[2015]No.2270 with permission of CSRC, the Company issued 1,173,020,525 of A shares by means of non-public issue in December 2015, of which the locking period was 12 months and 36 months
Ownership transfer of share changes
√ Applicable□ Not applicable
Influence on the basic EPS and diluted EPS as well as other financial indexes of net assets per share attributable to common shareholders of Company in latest year and period
√ Applicable□ Not applicable
Other information necessary to disclose for the company or need to disclosed under requirement from security regulators
√ Applicable□ Not applicable
2. Change of shares with limited sales condition
√ Applicable□ Not applicable
In Shares
||||||||
|-|-|-|-|-|-|-|
|||Number of|Number of Increased||||
||Initial Restricted|||Restricted Shares in|Reason for|Date of Restriction|
|Shareholder Name||Unrestricted Shares|Restricted Shares||||
||Shares|||the End of the Term|Restricted Shares|Removal|
|||This Term|This Term||||
|||||||Of which|
|||||||390,093,000 shares|
||||||Non-agency||
|Dongxu Group|390,093,000|0|439,882,697|829,975,697||will be released on|
||||||restricted shares after||
|||||||April 18, 2016;|
||||||the first issue||
|||||||439,882,697 of the|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||
|-|-|-|-|-|-|-|
|||||||rest shares will be|
|||||||released on|
|||||||December 17, 2018.|
|Minsheng Royal Fund|||||||
|Management Co.,|||||New non-agency||
|Ltd.-Ping An|||||restricted shares after||
|Bank-Ping An|0|0|183,284,457|183,284,457|the first issue with|December 17,2018|
|Trust-Ping An Wealth*|||||non-public issue of||
|Huitai No.163 Single|||||2015||
|Fund Trust|||||||
|Bosera Capital-Ping|||||New non-agency||
|An Bank- Ping An|||||restricted shares after||
|Trust-Ping An Wealth*|0|0|167,155,426|167,155,426|the first issue with|December 17,2018|
|Huitai No.164 Single|||||non-public issue of||
|Fund Trust|||||2015||
|Guangzhou|||||||
|Securities-China|||||||
||||||New non-agency||
|Guangfa|||||||
||||||restricted shares after||
|Bank-Guangzhou|||||||
||0|0|131,964,809|131,964,809|the first issue with|December 17,2018|
|Securities No.2|||||||
||||||non-public issue of||
|Collective Asset|||||||
||||||2015||
|Management Plan of|||||||
|Kunpeng Dingcheng|||||||
|HuaAn Future|||||||
|Asset-ICBC-No.1|||||New non-agency||
|Asset Management|||||restricted shares after||
|Plan of Dongxu|0|0|96,774,193|96,774,193|the first issue with|December 17,2018|
|Optoelectronic’s|||||non-public issue of||
|Private Placement|||||2015||
|Dongxu Optoelectronic|||||New non-agency||
|Technology Co.,|||||restricted shares after||
|Ltd-Phase 1 for|0|0|72,639,296|72,639,296|the first issue with|December 17,2018|
|Employee Stock|||||non-public issue of||
|Ownership Plan|||||2015||
||||||New non-agency||
|Kunshan Development|||||restricted shares after||
|Zone State-invested|0|0|43,988,269|43,988,269|the first issue with|December 17,2018|
|Holding Co., Ltd.|||||non-public issue of||
||||||2015||
|Beijing Yinghai Hailin|||||New non-agency||
||0|0|29,325,513|29,325,513||December 17,2018|
|Investment Center(|||||restricted shares after||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||
|-|-|-|-|-|-|-|
|Limited Partnership )|||||the first issue with||
||||||non-public issue of||
||||||2015||
|Shanghai Changjiang|||||||
|Wealth Asset-China|||||New non-agency||
|Merchant|||||restricted shares after||
|Bank-Changjiang|0|0|8,005,865|8,005,865|the first issue with|December 17,2018|
|Wealth-No.1 Plan for|||||non-public issue of||
|Dongxu Special Asset|||||2015||
|Management|||||||
|Sichuan Leshan|||||Non-agency||
|Diamond Natural|15,000|15,000|0|0|restricted shares after|August 6,2015|
|Abrasive Co., Ltd.|||||the first issue||
|||||||The shares will be|
|||||||unlocked by stages|
|||||||after meeting the|
|||||||unlocking condition|
||||||Stock incentive||
|||||||for restricted stock|
|The 40 Shareholders|||||hasn’t been||
||3,080,000|596,000|46,879|2,530,879||with stock incentive;|
|Awarded Stock|||||unlocked; Executives||
|||||||After 6 months the|
|Incentive|||||locked the shares||
|||||||executive left his|
|||||||post, 30,000 shares|
|||||||will be released on|
|||||||June 16, 2016.|
|||||||Till the relevant|
|The 9 Non-agency||||||shareholders entrust|
||||||Non-agency||
|Restricted||||||the Company to|
||201,000|0|0|201,000|restricted shares after||
|Shareholders before||||||conduct the release|
||||||the first issue||
|the First Issue||||||business for the|
|||||||restricted shares|
|Total|393,389,000|611,000|1,173,067,404|1,565,845,404|--|--|

 II. Issuing and listing
1.Explanation of the Situation of the Security Issue(No Preferred Shares) in the Report Period
√ Applicable□ Not applicable
||||||||
|-|-|-|-|-|-|-|
|Description of stock|||||||
|||Issuing price(Or|||Quantity approved|Expiration date of|
|and its Derivative|Issuing date||Issuing quantity|Listing date|||
|||interest rate)|||for listing|transaction|
|securities|||||||
|Stocks|||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|Dongxu||||||
||November 12, 2015|6.82|1,173,020,525|December 17, 2015|1,173,020,525|
|Optoelectronic||||||
|Convertible Corporate Bonds, Detachable Convertible Bond and Corporate Bonds||||||
|15 Dongxu Bonds|May 19, 2015|6%|1,000,000,000|July 8, 2015|1,000,000,000|
|Other derivative securities||||||

Notes
2.Change of asset and liability structure caused by change of total capital shares and structure
√ Applicable□ Not applicable
Approved by CSRCpermission[2015] Document No.2270 for “Reply on Approving Non-public Issue of Share by Dongxu Optoelectronic Technology Co., Ltd.”, the company non-publicly issued 1,173,020,525 of A shares, of which the issue price was RMB 6.82 /share and the net raised fund was RMB7,940,523,244.49. On December 17, 2015, 1,173,020,525 of new shares listed in SZSE, where RMB 1,173,020,525 increased in thecompany’s share capital, the general share capital was up to RMB 3,835,100,526 and RMB 6,767,502,719.49 increased in thecompany’s capital reserve.
3.About the existingemployees’ shares
□Applicable√Not applicable
III. Shareholders and actual controlling shareholder
1. Number of shareholders and shareholding
In Share
||||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|-|-|
|||||||||||||Total|||
||||||||The total number o|||||preferred shareh|||
|Total number|||Total||||||||||||
||||||||f preferred shareho|||||olders at the end|||
|of common|||shareholders at||||||||||||
||||||||lders voting rights|||||of the month|||
|shareholders at|||the end of the||||||||||||
||212,702||||||restored at period-e|||0||from the date of||0|
|the end of the|||month from the||||||||||||
||||||||nd|||||disclosing the|||
|reporting|||date of disclosing||||||||||||
||||||||(if any)(See|||||annual report(if|||
|period|||the annual report||||||||||||
||||||||Notes 8)|||||any)(See Notes|||
|||||||||||||8)|||
|Particulars about shares held above 5% by shareholders or top ten shareholders|||||||||||||||
||||||Number|||Amount|Amount||Number os share pledged/frozen||||
|||||Proportio||Changes|||||||||
|Shareholders||Nuture of||n of|of shares|in||of|of||||||
||||||held at|||restricted|un-restrict||||||
|||shareholder||shares||reporting|||||State of share||Amount||
||||||period|||shares|ed shares||||||
|||||held（%）||period|||||||||
||||||-end|||held|held||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
|Dongxu Group|Domestic Non-State-owned legalperson|21.64%|829,975,697|439,882,697|829,975,697||||
||||||||Pledge|322,030,000|
|ShijiazhuangBaoshi ElectronicGroup Co., Ltd.|Domestic Non-State-owned legalperson|8.67%|332,382,171|||332,382,171|||
||||||||Pledge|329,770,148|
|Minsheng RoyalFund ManagementCo., Ltd.-Ping AnBank-Ping AnTrust-Ping AnWealth* HuitaiNo.163 SingleFund Trust|0tuer|4.78%|183,284,457|183,284,457|183,284,457||||
|BoseraCapital-Ping AnBank- Ping AnTrust-Ping AnWealth* HuitaiNo.164 SingleFund Trust|Other|4.36%|167,155,426|167,155,426|167,155,426||||
|GuangzhouSecurities-ChinaGuangfaBank-GuangzhouSecurities No.2Collective AssetManagement Planof KunpengDingcheng|Other|3.44%|131,964,809|131,964,809|131,964,809||||
|HuaAn FutureAsset-ICBC-No.1Asset ManagementPlan of DongxuOptoelectronic’sPrivate Placement|Other|2.52%|96,774,193|96,774,193|96,774,193||||
|DongxuOptoelectronicTechnology Co.,Ltd-Phase 1 forEmployee StockOwnership Plan|Other|1.89%|72,639,296|72,639,296|72,639,296||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
|China SecuritiesFinance Co., Ltd.|State-owned legalperson|1.81%|69,487,962|||69,487,962|||
|KunshanDevelopment ZoneState-investedHolding Co., Ltd.|State-owned legalperson|1.15%|43,988,269|43,988,269|43,988,269||||
|Bank of China－Huaxia NewEconomic MixedSecuritiesInvestment Funds|Other|0.95%|36,608,098|||36,608,098|||
|Strategy investors or general legal||Before the country's top ten shareholders of Kunshan Development Zone Investment|||||||
|person becomes top 10 shareholders||Holdings Limited was involved in the company in 2015 non-public offering to subscribe,|||||||
|due to rights issued (if applicable（) See||became the top 10 shareholders. The sub-holding restricted period of 36 months, ie|||||||
|Notes 3）||December 17, 2015 to December 16, 2018.|||||||
|||Among the top ten shareholders , Dongxu Group and Baoshi Group, Dongxu|||||||
|Notes to the related relationship||Optoelectronic – II Employee stock ownership plan have relationship and constitute|||||||
|between the top ten shareholders or||persons taking concerted action. The company does not know whether there is relationship|||||||
|their concerted action||between other 8 shareholders or whether they are persons taking concerted action defined|||||||
|||in Administrative Measures Relating to Acquisitions of Listed Companies.|||||||
|Shareholding of top 10 shareholders of unrestricted shares|||||||||
|||Quantity of unrestricted shares held at the end of the|||||Share type||
|Name of the shareholder|||||||||
|||reporting period (Note 4)|||||Share type|Quantity|
|Shijiazhuang Baoshi Electronic GroupCo., Ltd.||332,382,171|||||RMB Common||
|||||||||332,382,171|
||||||||shares||
|China Securities Finance Co., Ltd.||69,487,962|||||RMB Common||
|||||||||69,487,962|
||||||||shares||
|Bank of China－Huaxia NewEconomic Mixed SecuritiesInvestment Funds||36,608,098|||||||
||||||||RMB Common||
|||||||||36,608,098|
||||||||shares||
|Huijin Asset Management Co., Ltd.||24,205,500|||||RMB Common||
|||||||||24,205,500|
||||||||shares||
|Wang Wenxue||20,218,792|||||RMB Common||
|||||||||20,218,792|
||||||||shares||
|China Mensheng Bank－OrientalFeatured mixed Open SecuritiesInvestment Funds||7,000,000|||||||
||||||||RMB Common||
|||||||||7,000,000|
||||||||shares||
|Yinhua Funds－Agricultural Bank ofChina－Yinhua CSI Financial Assetmanagement Plan||6,632,927|||||||
||||||||RMB Common||
|||||||||6,632,927|
||||||||shares||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
|Wu Yizhong|5,998,100|RMB Common||
||||5,998,100|
|||shares||
|China Merchants Securities (HK)Co.,Ltd.|5,844,751|Foreign shares||
|||placed in||
||||5,844,751|
|||domestic||
|||exchange||
|Sherwan Hongyuan Securities(HK)Co., Ltd.|5,512,690|Foreign shares||
|||placed in||
||||5,512,690|
|||domestic||
|||exchange||
|Explanation on associated relationship||||
|or consistent action among the top 10|Shijiazhuang Baoshi Electronic Group Co., Ltd, the first 10 shareholders with unrestricted|||
|shareholders of non-restricted|circulating shares and Dongxu Group Co., Ltd, Dongxu Optoelectronic Technology Co.,|||
|negotiable shares and that between the|Ltd., the first 10 shareholders- Association relationship existed in Employee Stock|||
|top 10 shareholders of non-restricted|Ownership Plan Phase 1, constituting the relationship of persons acting in concert.|||
|negotiable shares and top 10||||
|shareholders||||
||Wang wenxue and Wu Yizhong, the first 10 ordinary shareholders with shares without|||
||restricted condition, separately held 19,260,592 and 5,998,100 of the Company’s shares by|||
|Explanation on shareholders||||
||means of the securities accounts with customer credit guarantee of China Securities and|||
|participating in the margin trading||||
||Shenwan Hongyuan Securities, which separately occupy 0.5% and 0.16% of the|||
|business(if any )(See Notes 4)||||
||Company’s total shares.|||

Whether top ten common shareholders or top ten common shareholders with un-restrict shares held have a buy-back agreement dealing in reporting period.
□ Yes√ No
The top ten common shareholders or top ten common shareholders with un-restrict shares held of the Company have no buy–back agreement dealing in reporting period.
2.Controlling shareholder
Nature of Controlling Shareholders: Corporation Group Holding; Natural Person Holding
Type of Controlling Shareholders:Legal person
||||||||||
|-|-|-|-|-|-|-|-|-|
||LegaLle gal|Date|of||||||
|Name of the Controllingshareholder|||||||||
||rreepprreesseennttaattiivvee|/Linecaodrep|orDatait|e ofO irngcaonripzoartaiotino nc o|de O|rganRizeagtiisotenr ecdo dCea pit|aPl r in|Principal business|
|||||||||cipal business activitiesactivities|
||/Leaderr|on|||||||
||||||||Investing projects with||
||||||||owned funds; Development||
|Dongxu Group|Li Zhaoting||November 5, 2004||76813036-3||of mechanical equipment||
||||||||and electronic products;||
||||||||Productions and process||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|||formulation of various|
|||non-standard equipment|
|||and components; Process|
|||and sales of component for|
|||abrasive materials and|
|||electromechanical|
|||products(no equipment of|
|||public security); Import and|
|||export of self-run and agent|
|||goods and technology;|
|||Computer system|
|||integration ; Software|
|||development; Technology|
|||consulting; Installation and|
|||engineering consulting of|
|||electromechanical|
|||device(no pre-licensing|
|||projects included above).|
|||(Operation is allowed only|
|||if being within the confines|
|||of the above laws and|
|||regulations and the matters|
|||forbidden or restricted by|
|||the State Council;|
|||Operation is allowed once|
|||the matters are examined|
|||and approved by other|
|||departments.|
|The equity of the controlling|||
|shareholder in other domestic|Up to December 31, 2015, Dongxu Group has held 140,299,605 shares of Baoan Hongji Real||
|and foreign listed companies|Estate Group Co., Ltd., occupying 29.88% of this company’s total share capital.( Stock||
|held or partly held by it in the|abbreviation: Baoan Real Estate, Stock code:000040)||
|report period|||

Change of the actual controller in the reporting period
□Applicable√Not applicable
N/A
3．Information about the controlling shareholder of the Company
Actual controllernature：Domestic naturaolperson人
Actual controllertype：Natural person
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|||Whether to obtain the right of abode in other countries or|
|Name|Nationality||
|||regions|
|Li Zhaoting|China|No|
||Refer to: 3.Tenure Situation in Chapter 8 Situation of Directors, Supervisors, Senior||
|Main occupations and duties|Executives and Employee of the||
||Company||
||In 2015, the actual controller of the Company held 140,299,605 shares of Baoan||
|Situation of domestic and abroad holding|Hongji Real Estate Group Co., Ltd. by means of Dongxu Group, occupying 29.88%||
|listed companies in the part 10 years|of this company’s total share capital( Stock abbreviation: Baoan Real Estate, Stock||
||code:00040)||

Change of the actual controller in the reporting period
□Applicable√Not applicable
N/A
Block Diagram of the ownership and control relations between the company and the actual controller
Huarong
Liu Yinqing Li Zhaoting Li Wenting International Trust Co., Ltd.0.038% 51.778% 0.036% 48.148% Beijing Dongxu
Dongxu Optoelectronic
Investment Li Qing Li Wenting
Technology Co., Ltd
Management Co., Ltd
22.22% 22.55% 51.46% 3.77%
Dongxu Group
66.67%
70%
30%
Beijing Heran Hengye
Technology Co., Ltd.
Dongxu
Optoelectronic Other shareholder
Technology Co., Ltd
8.67% 21.64% 69.69%
Dongxu Optoelectronic Technology
Co., Ltd.
The actual controller controls the company by means of trust or managing the assets in other way
□Applicable√Not applicable
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report 4.Other corporate shareholder holding over10% of theCompany’s shares
□Applicable√Not applicable
5.Situation of Share Limitation Reduction of Controlling Shareholders, Actual Controllers, Restructuring Party and Other Commitment Subjects
□Applicable√Not applicable
VII. Situation of the Preferred Shares
□ Applicable√Not applicable
VIII. Information about Directors, Supervisors and Senior Executives
I. Change in shares held by directors, supervisors and senior executives
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||||||||Number of|Volume of||Number of|
||||||||||Volume of||
||||||||shares|shares||shares held|
||||||||||shares sold||
||||||Starting|Expiry|acquired at|acquired||at end of|
|||Office|||||||during the||
|Name|Positions||Sex|Age|date of|date of|end of the|during the||the|
|||status|||||||reporting||
||||||tenure|tenure|reporting|reporting||reporting|
||||||||||period(sha||
||||||||period(sha|period||period(sha|
||||||||||res)||
||||||||res)|(shares)||res)|
|Li|Board||||July||||||
|||In office|Male|50|||0|0|0|0|
|Zhaoting|chairman||||29,2013||||||
||||||July||||||
|Zhou Bo|Director|In office|Male|50|||129,172|0|0|129,172|
||||||29,2013||||||
||Director,||||||||||
||||||June||||||
|Gong Xin|Board|In office|Female|36|||100,000|0|0|100,000|
||||||1,2015||||||
||secretary||||||||||
||||||July||||||
|Niu Jianlin|Director|In office|Male|51|||150,000|0|0|150,000|
||||||29,2013||||||
||Independe||||July||||||
|Mu Tiehu||In office|Male|48|||0|0|0|0|
||nt director||||29,2013||||||
|Zhang|Independe|In office|Male|54|July||0|0|0|0|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
|Shuangcai|nt director||||29,2013||||||
||Independe||||May||||||
|Lu Guihua||In office|Male|47|||0|0|0|0|
||nt director||||19,2014||||||
||Chairman||||||||||
||of the||||||||||
|Guo|||||July||||||
||supervisor|In office|Male|51|||0|0|0|0|
|Zhisheng|||||29,2013||||||
||y||||||||||
||committee||||||||||
|Wang|||||July||||||
||Supervisor|In office|Male|51|||0|0|0|0|
|Jianqiang|||||29,2013||||||
|Xie|||||||||||
||||||July 29,||||||
|Mengxion|Supervisor|In office|Male|59|||0|0|0|0|
||||||2013||||||
|g|||||||||||
||||||October||||||
|Xie Juwen|Supervisor|In office|Male|38|||0|0|0|0|
||||||15,2014||||||
|Wan|||||October||||||
||Supervisor|In office|Female|30|||0|0|0|0|
|Huanhuan|||||15,2014||||||
|Shi|General||||July||||||
|||In office|Male|49|||200,000|0|0|200,000|
|Zhiqiang|Manager||||29,2013||||||
||Deputy||||||||||
||||||July 29,||||||
|Liu Wentai|General|In office|Male|46|||150,000|0|0|150,000|
||||||2013||||||
||Manager||||||||||
||Deputy||||||||||
|Xiao|||||May||||||
||General|In office|Male|31|||0|0|0|0|
|Zhaoxiong|||||15,2015||||||
||Manager||||||||||
||||||December||||||
|Zhou Bo|CFO|In office|Male|36|||0|0|0|0|
||||||16,2015||||||
||Director,||||||||||
|Fu|||||July 29,|April|||||
||Board|Dimission|Female|48|||150,000|0|0|150,000|
|Yinfang|||||2013|20,2015|||||
||secretary||||||||||
||Deputy||||||||||
|Hou|||||July|May|||||
||General|Dimission|Male|49|||150,000|0|0|150,000|
|Jianwei|||||29,2013|15,2015|||||
||Manager||||||||||
|Li|||||July|December|||||
||CFO|Dimission|Male|41|||150,000|0|0|150,000|
|Quannian|||||29,2013|16, 2015|||||
|Total|--|--|--|--|--|--|1,179,172|0|0|1,179,172|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report II. Change in shares held by directors, supervisors and senior executives
||||||
|-|-|-|-|-|
|Name|Positions|Types|Date|Reason|
||Director,||||
|Fu Yinfang||Dimission|April 20,2015|Job Change|
||Board secretary||||
||Deputy General||||
|Hou Jianwei||Dimission|May 15,2015|Job Change|
||Manager||||
||||December||
|Li Quannian|CFO|Dimission||Job Change|
||||16,2015||

III.Posts holding
The professional background, working experience and main responsibilities of the current board members, supervisors and senior managers in the company
1. Mr. LiZhaoting，Chinese, born in1965，graduated from Hebei University of Technology as a mechanical engineering major, senior engineer, member of the Communist Party of China and the founder of Dongxu Group. Li has served successively as the general manager assistant and vice-general manager of Shijiazhuang Diesel Engine Factory, and Chairman of Hebei Dongxu Investment Group Co., Ltd. Li is now the chairman of the company and the subsidiaries including Wuhu Dongxu Photo-electric Science&Technology Co., Ltd. At the same time, he is also the chairman of Dongxu Group and Dongxu Photoelectric Investment, general manager of COE, and the vice chairman as well as general manager of Chengdu COE. Li is the 12th National People's Congress member, vice chairman of Innovation Promotion Committee of The Chinese Association of Productivity Science, vice chairman of Electronic Glass Branch of the Chinese Ceramic Society, honorary board member of Peking University, board director of Renmin University of China and Beijing Jiaotong University, member of the standing committee of Hebei Youth Federation, and the executive council member of young entrepreneurs in Hebei. He has been awarded the “10 Person of the Year of 2012 Innovative China”, “The Most Respected Listed Company Leaders in 2013”, “Ten Innovation Leaders ofChina’s Economy in 2014”, “Person of the Year in 2014 of Brand China (Electronic Information)”, “2014 Individual Quality Prize by Hebei Provincial Government”, “The Outstanding Private Entrepreneurs of Hebei”, “Outstanding Young Entrepreneurs of Shijiazhuang” and etc.
2. Zhou Bo: Nationality: Chinese,born in 1965, Bachelor degree, Senior Engineer , He served as Director of Workshop and Director Manufacture Dept. of Shijiazhuang Baoshi Electronic Group Co., Ltd., Deputy General Manager of Shijiazhuang Baoshi Electronic vacuum Glass Co., Ltd., General Manager of Shijiazhuang Baoshi Electronic Group Co., Ltd., He now serves as Director of the Company and Shijiazhuang Baoshi Electronic Group Co., Ltd. and concurrently served as Board chairman of Chengdu Dongxu Energy saving Technology Co., Ltd., Shijiazhuang Baoshi Electronic vacuum Glass Co., Ltd, Shijiazhuang Baodong Electronic Co., Ltd., Hebei Energy saving Lighting Technology Co., Ltd. and Shijiazhuang Baoshi Zhonghe Steel Plastic Shape Co., Ltd.
3. Niu Jianlin, Chinese Nationality, born in 1964, He graduated from the Hebei Institute of Chemical Technology of Inorganic, senior engineer. He served as the Manager of Manufacturing Dept. and Quality Control Dept. of Baoshi Group, General Manager Assistant and Deputy General Manager of Baoshi Electric Pin Co., Ltd., general manager of Xulong Solar Energy Technology Co., Ltd.. He now serves as the directorr of the Company
4. Ms.Gong Xin, Nationality: Chinese, born in 1979, bachelor degree. She once worked in Capital Edge Investment and
Management as Project Manager of Investment-banking Department, Assistant to Chairman, Vice General Manager and etc. Now
Gong is Chief of Securities Department, Company Direcotr and Board Secretary of the company.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report 5.Mr. Lu Guihua, male, born in May 1968, Dr. Accounting, Applied Economics postdoctoral, Central University of Finance and Eco nomics Professor of Accounting, Master Instructor, Chinese Certified Public Accountant. Former Tianjin University associate profes sor, associate professor at the Central University of Finance and professor at the Central University of Finance and Economics, maste r's and doctoral tutor. ow is Independent Director of Hanvon Technology Co., Ltd., China Minsheng Investment Corp., Ltd., Hebei Iron and Steel Co., Ltd. and the company.
6.Mr. Mu Tiehu, Chinese Nationality, born in 1967, graduated from Peking University, bachelor's degree in law, have a lawyer qualification, Mr. Mu Tiehu worked as discipline cadres in the 2th prison in Hebei Province from 1990 to 1992 , from 1992 to 1996 worked in Hebei Province Department of Justice office, from 1996 to 2003 worked in Hebei Economic and Trade Law Firm, Hebei Weizheng Law Firm, Beijing Tian Qin law firm; from 2003, he has been working in Beijing Hylands Law firm, now is the partner lawyer. Currently he serves as independent director of Dalian East New Energy Development Co., Ltd. and Hubei Kangxin New Material Technology Co., Ltd..
7.Mr. Zhang Shuangcai, Chinese Nationality, born in 1961, PhD in Management, Business Administration postdoctoral, Democratic National Construction Association. He serves as Associate Dean School of Management, Hebei University business professor, World Economic doctoral tutor, accounting, business management professional master tutor. He used to be Baoding CPPCC Standing Committee, representative of 11th People's Congress of Hebei Province. Now he is the representative of 12th People's Congress of Hebei Province, Executive director of the Institute of Hebei Province in budget management, deputy director of the private Center for Economic Research of Hebei Province, Accounting association executive director, executive director of Private Entrepreneur Association of Hebei Province, director of the Private Economic and Financial Committee of Hebei Province, committee member of National Central Economic Committee, independent director of Lekai film Co., Ltd. ,Boshen tools Co., Ltd. and Tianwei Baobian Electrical Co., Ltd..
8.Mr. Guo Zhisheng, Chinese Nationality, born in 1964, Bachelor's degree, graduated from Zhengzhou Textile Institute Mechatronics, He used to serve as scheduling officer in Production Management Dept. of Ancai Group, Minister of Logistics Management Dept., Minister of Purchasing Dept., Minister of warehousing Dept. of Ancai High-tech. He now serves as Chairman of the supervisory committee of the Company.
9.Mr. Wang Jianqiang, Chinese Nationality, born in 1964, University degree, graduated from Hebei University of Technology mechanical engineering, used to work in Shijiazhuang Baoshi Electronic Group Co., Ltd., now serves as supervisor of the Company.
10. Mr. Xie Mengxiong, Chinese Nationality, born in 1957, Master of Economics. He used to be teacher in Shijiazhuang Power Technology school, vice minister in Shijiazhuang Municipal Discipline Inspection Work Committee, deputy party secretary of Shijiazhuang Baoshi Electronic Group Co., Ltd.. He used to be the Chairman of the Supervisory Board of the Sixth Company, now serves as supervisor of the Company.
11.Mr. Xie Juwen, Chinese nationality, born in June 1977, Master's degree, specializing in project management, B eijing Polytechnic University, a former Beiren group R& D engineers, project managers, the group of Beiren fold ing machine project director, Project Manager and supervisor of integrated office.
12.Ms. Wan Huanhuan, Chinese nationality, born in July 1985, bachelor degree, Chongqing Technology and Busi ness University accounting profession, a former iron Information Group Limited audit manager; Jiangsu Huaxing Accounting Company business manager; Shenzhen Jun Zhiyuan Accounting Company business commissioner. T he Audit Manager supervisor in Audit Supervision Department .
13.Mr.Shi Zhiqiang , Nationality :Chinese , Bachelor degree, born in 1966, Graduated from the Department of Chemical Engineering, Bachelor of Engineering, Dalian University of Technology, He served as Minister of Manufacturing Dept. in Baoshi Electric Glass Co., Ltd., factory manager in Shijiazhuang Baoshi Electronic Group Co., Ltd. glass tube factory, assistant general manager, deputy general manager of Shijiazhuang Baoshi Electronic
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report Group Co., Ltd.. He now serves as General Manager of the company and General Manager of Wuhu Dongxu Optoelectronic Technology Co., Ltd.
14.Mr. Liu Wentai, Chinese Nationality, born in 1969, graduated from Qingdao Institute of Chemical Machinery Chemical bachelor degree, used to be a technician in Shijiazhuang Dongfeng Plastic Plant, production scheduling; technician, workshop equipment director in Shijiazhuang Baoshi Electronic Group Co., Ltd., Branch Head in Shijiazhuang Baoshi Electric Pin Co., Ltd., Institute Director of Dongxu LCD glass Group Research Institute, General Manager of thermal Engineering Division, vice president and chief procurement officer in Dongxu LCD glass Group Co., Ltd.. He is the Deputy general manager of the company. He now serves as Deputy General Manger of the Company.
15.Mr. XiaoZhaoxiong，Chinese Nationality, born in1984，bachelor degree, was the marketing manager of Global Marketing Dept. and Securities Transactions Representative of Stock Dept. of The Board Secretary's Office of BOE. Now Xiao is Vice-director of Securities Dept. and Vice-general Manager of the company.
16. Mr. ZhouBo，Chinese Nationality, born in1979，MBA of School of Economics and Management of Tsinghua University, is certified public accountant and certified tax agent. He was General Manager of Financial Asset Management Dept. of China Electronics Import and Export Corporation and now is Finance Director of the company.
Office taking in shareholder companies
√Applicable□Not applicable
|||||||
|-|-|-|-|-|-|
|||Titlesengaged intheshareholders||Expiry date ofoffice term|Does he /she|
|Names of the|||||receive|
||||Sharing date|||
|persons in|Names of the shareholders||||remuneration or|
||||of office term|||
|office|||||allowance from|
||||||the shareholder|
|||Boardchairman||||
|Li Zhaoting|Dongxu Group||||Yes|
|Zhou Bo|Baoshi Group|Director|||No|
|||VicePresident||||
|Wang Jianqiang|Dongxu Group||||Yes|

Offices taken in other organizations
√Applicable□Not applicable
|||||||
|-|-|-|-|-|-|
||||||Whetherreceivingremunerationfrom other unitsor not|
||||Office termstart from|Office term||
|Name|Name of other units|Position||||
|||||ended||
|||Executive||||
||Beijing Dongxu Investment Management|||||
|Li Zhaoting||director,|||No|
||Co., Ltd.|||||
|||Manager||||
|||Executive||||
||Beijing Dongxu Investment Development|||||
|Li Zhaoting||director,|||No|
||Co., Ltd|||||
|||Manager||||
|Li Zhaoting|Dongxu Optoelectronic Investment Co.,|Executive|||No|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
||Ltd.|director||
||Sichan Xuhong Optoelectronic|Executive||
|Li Zhaoting|||No|
||TechnologyCo., Ltd.|director||
||Mudanjiang Xuyang Solar energy|Board||
|Li Zhaoting|||No|
||Technology Co., Ltd.|chairman||
||Jinzhou Xulong Solar energy Technology|Board||
|Li Zhaoting|||No|
||Co., Ltd.|chairman||
||Tongliao Xutong Solar energy Technology|Board||
|Li Zhaoting|||No|
||Co., Ltd.|chairman||
||Dongxu（Yingkou）Optoelectronic|Board||
|Li Zhaoting|||No|
||DisplayCo., Ltd.|chairman||
||Chengdu Xushuang Solar energy|Board||
|Li Zhaoting|||No|
||Technology Co., Ltd.|chairman||
|||General||
|Li Zhaoting|Zhong Optoelectronic Technology Co., Ltd.||No|
|||Manager||
||Zhengzhou Xufei Optoelectronic|||
|Li Zhaoting||Director|Yes|
||Technology Co., Ltd.|||
||Shijiazhuang Baoshi Large-diameter|Board||
|Li Zhaoting|||No|
||plastic tube Co., ltd|chairman||
||Beijing Dongxu Tianze Real Estate|Board||
|Li Zhaoting|||No|
||Development Co., Ltd.|chairman||
||Hebei Rongzhuo Real Estate|Board||
|Li Zhaoting|||No|
||DevelopmentCo., Ltd.|chairman||
||Beijing Dongxu Enterprise Planning Co.,|Board||
|Li Zhaoting|||No|
||Ltd.|chairman||
|||Vice Board||
|||chairman,||
|Li Zhaoting|Ningbo Xuze Industrial Co., Ltd.||No|
|||General||
|||Manager||
|||Board||
|Li Zhaoting|Tibet Financial Leasing Co., Ltd.||No|
|||chairman||
|||Board||
|Li Zhaoting|Beijing Xufeng Real Estate Co., Ltd.||No|
|||chairman||
||Wuhu Dongxu Optoelectronic Technology|||
|Li Zhaoting||Director|Yes|
||Co., Ltd.|||
|||Executive||
||Wuhu Dongxu Optoelectronic Equipment|director,,||
|Li Zhaoting|||No|
||Technology Co., Ltd.|General||
|||Manager||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
|||Executive||
||Shijiazhuang Dongxu Optoelectronic|||
|Li Zhaoting||director,,|No|
||Equipment Technology Co., Ltd.|||
|||Manager||
|||Executive||
||Wuhan Dongxu Optoelectronic Technology|||
|Li Zhaoting||director,,|No|
||Co., Ltd.|||
|||Manager||
|||Executive||
||Chengdu Zhong Optoelectronic Technology|||
|Li Zhaoting||director,,|No|
||Co., Ltd.|||
|||Manager||
||Shijiazhuang Xuling Electrinic|Board||
|Li Zhaoting|||No|
||Technology Co., Ltd.|chairman||
|||Executive||
|Li Zhaoting|Shijiazhuang XumingTube Co., Ltd.|director,,|No|
|||Manager||
||Shijiazhuang Xuxin Optoelectronic|Board||
|Li Zhaoting|||No|
||Technology Co., Ltd.|chairman||
||Hebei Xubao Construction Installation|Board||
|Li Zhaoting|||No|
||Engineering Co., Ltd.|chairman||
|Li Zhaoting|Dongxu Technology Group Co., Ltd.|Director|No|
|||Executive||
|Li Zhaoting|Dongxu Technology Development Co., Ltd.|director,,|No|
|||Manager||
|||Executive||
|Li Zhaoting|Beijing Heran Hengye Technology Co., Ltd.|director,Gene|No|
|||ral Manager||
|||Board||
||Ningxia Dongxu Solar Energy|chairman,||
|Li Zhaoting|||No|
||TechnologyCo., Ltd.|General||
|||Manager||
|||Executive||
||Beijing Dongxu Hongda Technology Co.,|||
|Li Zhaoting||director,,|No|
||Ltd.|||
|||Manager||
||Chengdu Dongxu Energy Technology|Board||
|Zhou Bo|||No|
||Co.,Ltd.|chairman||
||Shijiazhuang Baoshi Electronic vacuum|||
|Zhou Bo||Director|No|
||Glass Co., Ltd.|||
|Zhou Bo|Shijiazhuang Baodong Electrinic Co., Ltd.|Director|No|
||Shijiazhuang Xuling Electrinic|||
|Zhou Bo||Director|No|
||Technology Co., Ltd.|||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
|Zhou Bo|Shijiazhuang Baishi Xuming Tube Co., Ltd.|Director|No|
||Shijiazhuang Xuxin Optoelectronic|||
|Zhou Bo||Director|No|
||Technology Co., Ltd.|||
||Shijiazhuang Baoshi Zhonghe Steel|||
|Zhou Bo||Director|No|
||Plastic Shape Co., Ltd.|||
||Hebei Energy SavingLighting Technology|||
|Zhou Bo||Director|No|
||Co., Ltd.|||
|Zhou Bo|Shijiazhuang Baoshi Color Bulb Co., Ltd.|Director|No|
||Shijiazhuang Baoshi Large-diameter|||
|Zhou Bo||Director|No|
||plastic tube Co., ltd|||
||Wuhan Dongxu Optoelectronic Technology|General||
|Shi Zhiqiang|||No|
||Co., Ltd.|Manager||
||Wuhu Dongxu Optoelectronic Technology|General||
|Shi Zhiqiang|||Yes|
||Co., Ltd.|Manager||
||Mudanjiang Xuyang Solar Energy|||
|Wang Jianqiang||Director|No|
||Technology Co., Ltd.|||
||Jinzhou Xulong Solar Energy Technology|||
|Wang Jianqiang||Director|No|
||Co., Ltd.|||
||Dongxu（Yingkou）Optoelectronic Display|||
|Wang Jianqiang||Director|No|
||Co., Ltd.|||
||Chengdu Xushuang Solar Energy|||
|Wang Jianqiang||Director|No|
||Technology Co., Ltd.|||
||Wuhu Dongxu Optoelectronic Technology|||
|Wang Jianqiang||Director|No|
||Co., Ltd.|||
||Wuhan Dongxu Optoelectronic Technology|||
|Wang Jianqiang||Director|No|
||Co., Ltd.|||
||Chengdu Dongxu Energy saving|||
|Wang Jianqiang||Director|No|
||Technology Co., Ltd.|||
|||Executive||
||Jiangsu Dongxu Yitai Intelligent|||
|Wang Jianqiang||director,Gene|No|
||EquipmentCo., Ltd.|||
|||ral Manager||
||Beijing Hexue Guanglu Technology Co.,|Board||
|Wang Jianqiang|||No|
||Ltd.|chairman||
||Ningxia Xutang New Material Technology|||
|Wang Jianqiang||Supervisor|No|
||Co., Ltd.|||
||Beijing Dongxu Investment Development|||
|Liu Wentai||Director|No|
||Co., Ltd.|||
|Liu Wentai|Wuhu Dongxu Optoelectronic Eq1uipment|Director|No|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
||Technology Co., Ltd.|||
|Mu Tiehu|Hylands law firm|Lowyer|Yes|
||Kangxin New Material Technology Co.,|Independent||
|Mu Tiehu|||Yes|
||Ltd.|director||
||Dalian Yishida New Energy|Independent||
|Mu Tiehu|||Yes|
||DevelopmentCo., Ltd.|director||
|Zhang||||
||Hebei University , College of Management|Professor|Yes|
|Shuangcai||||
|Zhang||Independent||
||Lekai Film Co., Ltd.||Yes|
|Shuangcai||director||
|Zhang||Independent||
||Boshen Tooks Co., Ltd.||Yes|
|Shuangcai||director||
|Zhang||Independent||
||Baoding Tianwei Electric Co., Ltd.||Yes|
|Shuangcai||director||
|||Independent||
|Lu Guihua|Hanvon Polytron echnology Co., Ltd.||Yes|
|||director||
|||Independent||
|Lu Guihua|Mensheng Holding Co., Ltd.||Yes|
|||director||
|||Independent||
|Lu Guihua|Hebei Iron & steel Co., Ltd.||Yes|
|||director||
||Central University of Finance and|||
|Lu Guihua||Professor|Yes|
||Economics|||
||Tongliao Xutong Solar Energy|General||
|Xie Mengxiong|||Yes|
||TechnologyCo., Ltd.|Manager||
|||Director,||
||Dongxu（Kunshan ）Display Material|||
|Guo Zhisheng||General|Yes|
||Co.,Ltd.|||
|||Manager||

Punishments to the current and leaving board directors, supervisors and senior managers during the report period by securities regulators in the recent three years
□ Applicable√Not applicable
IV.Remuneration to directors, supervisors and senior executives in the reporting period
Decision-making procedures, basis for determination and actual payment of the remuneration to directors , supervisors and senior executives
The payments for the company board directors, supervisors and senior managers are determined on the salary management system. The annual payments (including basic wages, bonus, allowance, subsidy, welfare expense and insurance premium, housing accumulation funds and other pretax net payments paid by the company) paid to
board directors, supervisors and senior managers in 2015 are all based on the salary standard administration
related to the job responsibilities, performance appraisal and salary level of the corresponding post. During the
report period, the salaries for board directors, supervisors and senior managers have been paid monthly.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report Remuneration to directors, supervisors and senior executives in the reporting period
InRMB’0000
||||||||
|-|-|-|-|-|-|-|
||||||Total|Whether to get|
||||||remuneration|paid in the|
|Name|Positions|Sex|Age|Office status|||
||||||received from the|company related|
||||||Company|party|
|Li Zhaoting|Board chairman|Male|50|In Office||Yes|
|Zhou Bo|Director|Male|50|In Office|41.65|No|
||Director/Board||||||
|Gong Xin||Female|36|In Office|51.77|No|
||secretary||||||
|Niu Jianlin|Director|Male|51|In Office|41.94|No|
||Independent||||||
|Mu Tiehu||Male|48|In Office|5|No|
||Director||||||
||Independent||||||
|Zhang Shuangcai||Male|54|In Office|5|No|
||Director||||||
||Independent||||||
|Lu Guihua||Male|47|In Office|5|No|
||Director||||||
||Chairman of the||||||
|Guo Zhisheng|supervisory|Male|51|In Office||Yes|
||committee||||||
|Wang Jianqiang|Supervisor|Male|51|In Office||Yes|
|Xie Mengxiong|Supervisor|Male|59|In Office||Yes|
|Xie Juwen|Supervisor|Male|38|In Office|20.71|No|
|Wan Huanhuan|Supervisor|Female|30|In Office|9.03|No|
|Shi Zhiqiang|General Manager|Male|49|In Office|60|No|
||Deputy General||||||
|Liu Wentai||Male|46|In Office|34.44|No|
||Manager||||||
||Deputy General||||||
|Xiao Zhaoxiong||Male|31|In Office|25.58|No|
||Manager||||||
|Zhou Bo|CFO|Male|36|In Office|29.8|No|
||Director,||||||
|Fu Yinfang||Female|48|Dimission|55.5|No|
||Board secretary||||||
||Deputy General||||||
|Hou Jianwei||Male|49|Dimission|35.32|No|
||Manager||||||
|Li Quannian|CFO|Male|41|Dimission|40.17|No|

Incentive equity to directors, supervisors or/and senior executives in the reporting period
√Applicable□Not applicable
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report In shares
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
|||||Exercise|||||||
|||||||Number of|||||
|||||Price of|Market|||Number of|||
|||Number of|Number of|||Restricted|||Grant|Number of|
|||||Vested|Price in||Number os|Restricted|||
|||Vesting|Vested|||Shares at|||Price of|Restricted|
|||||Shares|the End of||shares to|Shares|||
|||Shares|Shares|||the|||Restricted|Shares in|
|Name|Position|||Within|Reporting||unlock of|Granted|||
|||Within|Within|||Beginning|||Shares|the End of|
|||||Reporting|Period||reporting|Within|||
|||Reporting|Reporting|||of|||(yuan/shar|Reporting|
|||||Period|(yuan/shar||period|Reporting|||
|||Period|Period|||Reporting|||e)|Period|
|||||(yuan/shar|e)|||Period|||
|||||||Period|||||
|||||e)|||||||
|Niu Jianlin|Director|||||150,000|30,000|0|0|120,000|
||Deputy||||||||||
|Liu Wentai|General|||||150,000|30,000|0|0|120,000|
||Manager||||||||||
|Shi|General||||||||||
|||||||200,000|40,000|0|0|160,000|
|Zhiqiang|Manager||||||||||
|Zhou Bo|Director|||||100,000|20,000|0|0|80,000|
||Director,||||||||||
|Gong Xin|Board|||||100,000|20,000|0|0|80,000|
||secretary||||||||||
|Total|--|0|0|--|--|700,000|140,000|0|--|560,000|
|||The restricted stocks for ownership incentive issued to the above mentioned board directors|||||||||
|||and senior managers have reached the conditions for unlocking during the report period and|||||||||
|Notes（If any）|||||||||||
|||the proportion of unlocking is 20% of the restricted stocks. The rest 80% of the stocks are|||||||||
|||still restricted.|||||||||

V. Particulars about employees.
（1）Particulars about employees.
The company implemented the labor contract system, in accordance with the provisions of the "Labor Contract La w" and the relevant laws and regulations, strict implementation of national employment system, labor protection s ystem, the social security system and medical insurance system, the company retired worker costs assumed by soc ial pooling costs instead of the company.
As of December 31, 2015, the Company(including subsidiary) has 5050 staff members in total.
|||||||
|-|-|-|-|-|-|
|Particulars abou|Number oft Persons|Proportion|Particulars about|Number of P|roportion（%）|
|||（%）|education|Persons||
|employees.||||||
|Production|1614|31.96%|Postgraduate or|60|1.19%|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
||||above|||
|Technical|2028|40.16%|Universities|1603|31.74%|
|Administrative|1303|25.8%|Colleges|1836|36.36%|
|Financial|105|2.08%|Mid-schoool orbelow|1551|30.71%|
|Total|5050|100.00%|Total|5050|100.00%|

Payroll cost of the company
|||
|-|-|
||This period|
|The current (people) the total number of paid staff|5,050|
|The current overall compensation amount ($ten|52,326.36|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||
|-|-|
|thousand)||
|Overall compensation ratio of current operating||
||11.25%|
|revenues||
|Executive compensation amount per capita (RMB||
||30.73|
|ten thousand/person)||
|All employees per capita salary amount (RMB ten||
||10.36|
|thousand/person)||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report IX. Administrative structure
I. General situation
In strict accordance with the Company Law of the PRC, the Securities Law of the PRC, Shenzhen Stock Exchange Listing Rules, Instructions on Standard Operation for Main-board Listed Companies of Shenzhen Stock Exchange and other normative documents, the company manages sincerely, operates legally and fulfills its information disclosure obligations in time. Gradually established and improved shareholders meeting, board of directors, board of supervisors and the independent director system have perfected the framework of corporate governance made up of shareholders meeting, board of directors, board of supervisors and the management, and formed a mechanism within which the authority, decision-making body, supervisory body and the management share well defined power and responsibility and the operation has been standardized with inter-coordination and mutual restriction.
Shareholders Meeting is the authority organ of the company. In 2015, 5 shareholders meetings in total have been convened. In strict accordance with Articles of Incorporation and Rules of Procedure of Shareholders Meeting, the shareholders meeting and the shareholders have fulfilled their obligations with efforts and exercised shareholders' rights in accordance with the law. The gathering, convening and voting procedures of shareholders meetings are legal and the resolutions are legal and available. The company has actively protected the voting right of small and medium investors, all the shareholders meetings have been convened in the form of onsite and online meetings. During the report period, the company has revised and improved Rule of Procedure of Shareholders Meeting. The establishment and implementation of shareholders' meeting organization and institutions have acted positive effects on perfecting corporate governance structure and standardizing corporate operation.
Board of Directors is responsible to the shareholders meeting and 21 meetings have been convened by Board of Directors during the report period. In strict accordance with related laws and regulations, Articles of Incorporation and Rules of Procedure of Board of Directors, the company has executed board meeting mechanism. The directors have fulfilled obligations with efforts and have exercised their rights according to law. The gathering, convening and voting procedures of board meetings are legal and the resolutions are legal and available. Besides deliberating on routine business, Board of Directors has played an actual role in appointing and dismissing senior managers, major investments, formulating general systems and other issues. Board of Directors of the company consists of Strategy Committee, Audit Committee, Nominations Commission, and Remuneration and Appraisal Committee. Conveners have been confirmed in each special committee for the internal communication and cooperation. Special committees under Board of Directors are in charge of approving and reviewing business strategies and major decisions of the company on a regular basis. Strategy Committee is permitted to research the long-term development strategy program, major investment financing plans, significant capital operation and assets management projects of the company and provide suggestions. Audit Committee is permitted to supervise the internal audit system and the implementation of the company, audit the financial information, and provide suggestions on the acceptable level of business risks based on the information provided by Audit Department. Nominations Commission is permitted to research the selection criteria and procedures of board directors and senior managers, widely search for eligible board directors and senior managers, examine and provide suggestions on the boarddirector’s candidates and senior managers. Remuneration and Appraisal Committee is permitted to research assessment criteria of board directors and senior managers, research and review payment policies and programs of board directors and senior managers, and assess and provide suggestions based on the actual situation.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report The establishment and implementation of the board of directors and the mechanism have acted positive effects on perfecting corporate governance structure and standardizing corporate operation.
Independent board directors protect the interests of small and medium shareholders. During the report period, the company has executed independent director system in strict accordance with related laws and regulations, Articles of Incorporation and Work System of Independent Board Directors. Independent board directors have fulfilled obligations with efforts and have exercised their rights according to law. Independent board directors of the company are diligent and dutiful, acquire information related to the production and operation in time, comprehend the development situation of the company in all directions, actively attend related meetings of the company, fully play their roles as independent board directors, and effectively protect the interests of the company and shareholders.
The management is responsible to Board of Directors. Based on Articles of Incorporation, the management has established and perfected all kinds of systems, covering the whole process of operation including financial management, operation management and administrative management, which have ensured the orderly procedure and standardized operation of the company. Systems mainly contain: Rules of Procedure of Shareholders Meeting, Rules of Procedure of Board of Directors, Rules of Procedure of Board of Supervisors, Working System of Information Disclosure, Management System of Related Transaction, Management System of Raised Funds Utilization, Implementing Rules of Committees under Board of Directors, Reporting System of Internal Major Issues, Major Mistake Accountability System of Information Disclosed in Annual Reports, Registration and Management System of Insider Information Sources, Management System of External Information Users, and etc. During the report period, on the basis of existing institutional system, the company has formulated and revised Manual of Internal Control and the matching Manual of Internal Control Evaluation, Risk Management System, and Management System of Internal Control and Operation, which have further supplemented and perfected the internal control management mechanism and system, and ensured the normal operation of the company.
Does there exist any difference in compliance with the corporate governance , the PRC Company Law and the relevant provisions of CSRC,
□ Yes√ No
There exist no difference in compliance with the corporate governance , the PRC Company Law and the relevant provisions of CSRC.
II. Independence and Completeness in business, personnel , assets, organization and finance
The controlling shareholder of the company has the standard behavior andhasn‘t directly or indirectly interfered the decision-making and operations of the company beyond theshareholders‘ meeting. “Five Separations” achieved on the fields of human resource, finance, assets, organization and business by the company and holding shareholders.
1. Human resource: Management on labor, personnel and wages by the company is independent from holding shareholders. Senior managers all receive payments in the company; none of them receive payment from or serve in controlling shareholder's entities.
2. Finance: An independent financial management department and accounting system have been established. A formal financial management system has been set up for independent financial decisions. An independent bank account has been opened for independent tax payment in accordance with the law. No accountant work
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report simultaneously in controlling shareholder's entities.
3. Assets: The property rights of company's assets are clear and complete. Production system and supporting facilities independent from holding shareholders have been built up, and free use and embezzlement of corporate assets by holding shareholders or other related parties will not happen.
4. Organization: A sound organization system has been constructed in the company, with which Board of Directors, Board of Supervisors and internal organizations operate independently and no affiliation exists between holding shareholders and functional departments. All the holding shareholders participate in corporate decisions in accordance with legal procedures and have caused no influence on the independence of the corporate operation and management.
5. Business: The company operates independently with complete business structure as well as independent production, sale and financial systems. The company operates and manages independently in accordance with the statutory scope of business, and no shareholders will directly or indirectly control and intervene in the supply and sale. Complete and independent business has been maintained with major shareholders.
III. Competition situations of the industry
√ Applicable e□ Not applicable
|||||||
|-|-|-|-|-|-|
||Name of Holding|||||
|||Nature of Holding|||Schedule and|
|Problem Types|Shareholders||Causes of Problems|Solving Measures||
|||Shareholders|||Follow-up Plan|
||||||It is planned to inject|
||||||all the equities of|
||||||Dongxu (Yingkou)|
||||||and Sichuan Xuhong|
||||||into the company|
||||The non-public|||
||||||before December 31,|
||||issuing of stocks for|Dongxu Group,||
||||||2016. If the equities|
||||funds raising “G6|Sichuan Xuhong,||
||||||of the trustee|
||||FPD LCD glass|Dongxu (Yingkou)||
||||||companies are|
||||substrate production|and the shareholders||
||||||unable to satisfy the|
||||line”|signed entrusted||
||||||conditions of capital|
|Competitions in the|||carried out by|management||
||Dongxu Group|Individual|||infusion due to the|
|industry|||Sichuan Xuhong and|agreements with the||
||||||industry downturn,|
||||Dongxu (Yingkou),|company, which||
||||||changes of|
||||which are controlled|authorizes the||
||||||supervision|
||||by the holding|company to manage||
||||||requirements and|
||||shareholder Dongxu|the right of operation||
||||||other external|
||||Group, has caused|uniformly||
||||||factors, the above|
||||competition|||
||||||mentioned equities|
||||||and right of|
||||||operation will be still|
||||||host by the company.|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
 IV. Annual General Meeting and ExtraordinaryShareholders’ Meetings in the Reporting Period
1.Annual General Meeting
|||||||
|-|-|-|-|-|-|
|||Investor||||
|Sessions|Type||Meeting Date|Disclosure date|Disclosure index|
|||participation ratio||||
||||||Announcement|
||||||No.2015—027,Chin|
||Annual||||a Securities Daily,|
|2014 Shareholders’||||||
||Shareholders’|26.22%|March 9,2015|March 10,2015|Hongkong|
|general meeting||||||
||General Meeting||||Commercial Daily|
||||||and|
||||||www.cninfo.com.cn|
||||||Announcement|
||||||No.2015—033,Chin|
|The First provisional||||||
||Provisional||||a Securities Daily,|
|shareholders’||||||
||shareholders’|31.68%|March 18,2015|March 19,2015|Hongkong|
|General meeting in||||||
||General meeting||||Commercial Daily|
|2015||||||
||||||and|
||||||www.cninfo.com.cn|
||||||Announcement|
|The Second|||||No.2015—036,Chin|
|provisional|Provisional||||a Securities Daily,|
|shareholders’|shareholders’|29.74%|April 2, 2015|April 3, 2015|Hongkong|
|General meeting in|General meeting||||Commercial Daily|
|2015|||||and|
||||||www.cninfo.com.cn|
||||||Announcement|
|The Third|||||No.2015—063,Chin|
|provisional|Provisional||||a Securities Daily,|
|shareholders’|shareholders’|27.19%|June 1,2015|June 2, 2015|Hongkong|
|General meeting in|General meeting||||Commercial Daily|
|2015|||||and|
||||||www.cninfo.com.cn|
||||||Announcement|
|The Third||||||
||||||No.2015—111,China|
|provisional|Provisional|||||
||||||Securities Daily,|
|shareholders’|shareholders’|27.28%|November 4, 2015|November 5, 2015||
||||||Hongkong|
|General meeting in|General meeting|||||
||||||Commercial Daily|
|2015||||||
||||||and|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||
|-|
|www.cninfo.com.cn|

 Situations of institutional investor
||||
|-|-|-|
|||Number of Participation in Shareholders'|
|Name of Institutional Investor|Number of Served Directors||
|||Meeting|

2. Preferred stockholders restored voting rights to request to convene ProvisionalShareholders’ Meeting.
□Applicable√Not applicable
V. Duty performance of independent Directors
1. Attendance of Board Meetings and General Meetings
||||||||
|-|-|-|-|-|-|-|
|Independent Directors’ Attendance at Board Meetings|||||||
||Number of||||||
|||||||Failure to|
||Board||Number of||||
|||||||personally|
||meetings|Number of|meetings|Number of|||
|Independent|||||Number of|attend board|
||necessary to|spot|attended by|attendances by|||
|Directors|||||absence|meetings|
||be attended in|attendances|Communicatio|representative|||
|||||||successively|
||the reporting||n||||
|||||||twice (Yes/No)|
||period||||||
|Lu Guihua|21|21|0|0|0|No|
|Mu Tiehu|21|21|0|0|0|No|
|Zhang Shuangcai|21|21|0|0|0|No|
|Number of general meetings attended|||||||
|by independent directors as non-voting||5|||||
|delegates|||||||

Notes to failure to personally attend Board Meetings Successively Twice
2.Objection of independent directors on some relevant issues
Objection of independent directors on some relevant issues
□ Yes√No
Independent directors proposed no objection against the relevant matters in the reporting period.
3. Other notes to duty performance of independent directors
Has an independentdirector’s advice to the Company been accepted
√Yes□No
Explanation on acceptance of or failure to accept an independentdirector’s advice to the Company.
During the report period, the independent directors of the company has strictly followed the relevant laws and
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report regulations of “Governance Rules of Listed Companies”, “Stock Listed Rules in Shenzhen Stock Exchange” and “Guidance Suggestion on the Establishment of Independent Directors System by the Listed Company”, and the provisions of “Articles of Association” to attend the Board of Directors and Shareholders of the company, conscientiously perform their duties, express the constructive comments or suggestions for the development decisions of the company, review the major matters, such as the affiliated transactions, the appointment of senior executives, use of funds-raising and external guarantee, and issue the opinions of the independent directors, which has effectively ensured the impartiality and objectivity of decision-making of the Board of Directors, maintained the whole interests of the company and the legitimate rights of miedium and small shareholders, and played a positive role in thecompany‘s standard operation and healthy development.
IV. Duty Performance of Special Committees under the Board of Directors in the Reporting period
1.Performance of duties of the Nomination Committee
In 2015, The Nomination Committee of the Board of Directors earnestly performs their duties, and reviews and make recommendations on thecompany’s general manager ,Deputy general manager, Board secretary and CFO candidates as per the provisions of “Implementation Rules of Nomination Committee of the Board of Directors”. 2.Performance of Remuneration and Appraisal Committee
2.Performance of Remuneration and Appraisal Committee
In 2015, Remuneration and Appraisal Committee under the Board of Directors have conscientiously performed their duties, and conducted the review and provide the suggestions on the subsidy of the independent directors of the company according to the provisions of “Detailed Rules for Implementation of Remuneration and Appraisal Committee under the Board of Directors”. 3. Performance of Audit Committee
In 2015, Audit Committee under the Board of Directors has conscientiously performed the duties, conducted the duty of care, actively performs all kinds of works according to the relevant provisions of “Detailed Rules for Implementation of Audit Committee under the Board of Directors” and “Articles of Association”, and mainly made communication, control and review on the annual audits of the company.
Audit Committee and the certified accountants have made fully communication on the audit plans, business engagement letters, risks and control matters. The Audit Committee has reviewed the audit opinions and the financial accounting statements issued by the certified accountants, and supervised the certified accountants to submit the audit report within the appointment time. At the same time, the Audit Committee believes that the certified accountants have strictly followed the provisions of the independent audit rules from CPAs to perform the audit work, the audit time is enough, the audit personnel is allocated reasonably, the certificated competence is qualified, and the financial accounting statements audited by the certified accountants shall reflect the true, accurate and complete financial condition.
4. Performance of Strategy Committee
In accordance with related provisions of The Detailed Rules for Implementing the Strategy Committee of the Board and Articles of Incorporation, Strategy Committee of the company is diligent and dutiful in fulfilling its duties and carrying out its work in 2015. It mainly focuses on the discussion and revision of strategic development planning of the company.
VII. Work of the supervisory Committee
Did the supervisory Committee find any risk existing in performing the supervision activities in the reporting
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report period
□Yes√No
The supervisory Committee has no objection against any matters under supervision in the reporting period VIII. Assessment and incentive Mechanism for Senior executives
1. Appraisal principles:
The appraisal on senior managers by the company follows the principles of openness, fairness and impartiality and is carried out in strict accordance with work performance, which will closely integrate the appraisal with the strategy realization, individual performance, individual ability and professional quality.
2. Evaluation contents (KPI Key performance indicators):
(1) Work performance(70%) Annual evaluation based on the performance appraisal system and the completion of target tasks of personnel in corresponding departments.
(2) Work ability(20%) Different job competency indicators will be selected according to the characteristics of personnel in corresponding departments.
(3) Learning and growth(10%) Career qualities, learning and growth conditions revealed during the work, such as enterprise culture construction, analyzing and decision-making, retention of key employees, guiding and cultivation, responsibilities and commitments, courage to bring forth new ideas, adaptability to conflicts, diligence and devotion, and etc.
3. The procedure of appraisal:
(1) The company organizes senior managers to decompose and formulate individual KPI of the year based on the middle and long-term development strategies of the company and business objectives and strategies of the year. After being approved by Chairman of the Board, KPI should be reported to Remuneration and Appraisal Committee of Board of Directors for reference.
(2) Monthly summary reports on the achievements of KPI.
(3) Achievement data of KPI are used as evidence monthly and recorded by Remuneration and Appraisal Committee of Board of Directors.
(4) Annual appraisals on senior managers by Remuneration and Appraisal Committee of Board of Directors on the basis of monthly KPI achievements, which form appraisal results.
(5) Adjustments on annual objectives and plans formulated at the beginning of the year based on the changes of company actual situations and demands must be approved by Chairman of the Board and reported to Remuneration and Appraisal Committee of Board of Directors for reference.
4. The application of appraisal results: Performance rewards to senior managers based on the levels of appraisal results (centesimal system).
IX. Internal control situations
1. Specific situations on major defects of internal control discovered during report period
□ Yes√ No
2. Self-evaluation report on internal control
|||
|-|-|
|Disclosure date of appraisal report on||
||February 6,2016|
|internal control||
|Disclosure index of appraisal report on|http://www.cninfo.com.cn|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|internal control|||
|Proportion of total unit assets covered by|||
|appraisal in the total assets of the|||
||90.00%||
|consolidated financial statements of the|||
|company|||
|Proportion of total unit incomes covered|||
|by appraisal in the total business incomes|||
||90.00%||
|of the consolidated financial statements of|||
|the company|||
|Standards of Defects Evaluation|||
|Type|Financial Report|Non-financial Report|
||Evaluation standards of internal control||
||defects in financial reports are based on the||
||degree of importance of the misstatement||
||due to the internal control defects. The||
|||Criteria of quality refers to the severity|
||degree of importance mainly relies on||
|||of involved business nature, which can|
||following factors: (1) the possibility of loss||
|||be determined by the nature, range of|
||or fraud of related assets or debts; the||
|||influence and other factors of direct or|
||severity degree of defect control relies on the||
|||potential negative effects. The following|
||possibility of prevention, discovery or||
|||signs indicate possible major defects in|
||correction of misstatement concerning to||
|||internal control of non-financial reports:|
||account or presentation; (2) involved||
|||(1) invalid supervision on internal|
||account, presentation and related recognized||
|||control by Audit Committee and the|
||property: whether there is a recognized||
|||internal audit authority; (2) lack of|
||direct relationship with one or more financial||
|||democratic decision-making process,|
||statements; (3) whether the control for||
|||such as the decision-making process of|
||evaluation and compensation can offset the||
|Standard||“ major policies, appointment or|
||control defects, whether the control for||
|||dismissal of cadres in important|
||evaluation and compensation is precise||
|||positions, arrangement of major projects|
||enough to prevent, discover or correct||
|||and utilization of sizable funds”; (3)|
||possible majors misstatements; (4) whether it||
|||violation of state laws and regulations,|
||can arouse attention of personnel in charge||
|||for example environment pollution; (4)|
||of supervising enterprise financial reports: a.||
|||the outflow of managers and technicians;|
||control defects have been existed since||
|||(5) lack of system control or systemic|
||previous year and recognized as major ones;||
|||failure in major business; (6) no|
||b. control defects exist in the rising business||
|||rectification of major or important|
||or high-risk business of the company; c.||
|||defects concerning to the results of|
||control defects exist in fields highly focused||
|||internal control appraisal.|
||by Board of Directors or Audit Committee,||
||such as special part or sensitive business; (5)||
||the interaction among control defects:||
||whether control defects, which influence the||
||same important account, presentation and||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
||related recognized or internal control factors,||
||form major defects; (6) the possible||
||influences caused by control defects in||
||future. When a cautious manager considers a||
||control defect or the combination of control||
||defects are obstacles in formulating basic||
||recording transactions with applicable||
||financial reports in a reasonable way, then||
||the control defect or the combination of||
||control defects should be considered as the||
||indication of major defects. The following||
||signs indicate major defects in internal||
||control of financial reports: (1) any degree of||
||fraud carried out by board members,||
||supervisors and senior managers; (2)||
||financial statements re-published by the||
||company to correct major misstatements due||
||to fraud or mistakes; (3) major||
||misstatements existed in the current financial||
||statements of the company, which have not||
||been discovered during the operation of||
||internal control; (4) invalid supervision on||
||internal control carried out by Audit||
||Committee and internal audit authority; (5)||
||invalid internal control environment in the||
||company; (6) major deviation on budgets;||
||(7) negative effects due to the punishments||
||by regulators; (8) huge losses of the||
||company; (9) total amount of associated||
||business surpasses the upper limit of||
||associated business amount approved by||
||general meeting of shareholders; (10) defects||
||influencing the revenue trend, such as profit||
||and loss results; (11) other defects||
||influencing the sound judgment by statement||
||users.||
||① Single defect: a. when the influence level|(1) Defects and problems concerning to|
||reaches or surpasses 3% of the profits before|the internal control: ① Single defect:|
||tax when appraising the annual consolidated|when the influence level reaches or|
||statements of Dongxu Photo-electricity, it|surpasses 0.3% of the sales revenue|
|Standards of Quantitation|||
||will be considered as major defect; b. when|when appraising the annual consolidated|
||the influence level is lower than 3% but|statements of Dongxu Photo-electricity,|
||reaches or surpasses 0.3% of the profits|it will be considered as major defect; b.|
||before tax when appraising the annual|when the influence level is lower than|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||
|-|-|
|consolidated statements of Dongxu|3% but reaches or surpasses 0.3% of the|
|Photo-electricity, it will be considered as|sales revenue when appraising the annual|
|major defect; c. when it is not belonged to|consolidated statements of Dongxu|
|major or important defects, then it will be|Photo-electricity, it will be considered as|
|considered as normal defect. ② The|major defect; c. when it is not belonged|
|collection of defects influencing the same|to major or important defects, then it will|
|important account title or disclosure: a. when|be considered as normal defect. ② The|
|the influence level after collection reaches or|collection of defects influencing the|
|surpasses 3% of the profits before tax when|same important account title or|
|appraising the annual consolidated|disclosure: a. when the influence level|
|statements of Dongxu Photo-electricity, it|after collection reaches or surpasses|
|will be considered as major defect; b. when|0.3% of the sales revenue when|
|the influence level after collection is lower|appraising the annual consolidated|
|than 3% but reaches or surpasses 0.3% of the|statements of Dongxu Photo-electricity,|
|profits before tax when appraising the annual|it will be considered as major defect; b.|
|consolidated statements of Dongxu|when the influence level after collection|
|Photo-electricity, it will be considered as|is lower than 0.3% but reaches or|
|major defect; c. when it is not belonged to|surpasses 0.03% of the sales revenue|
|major or important defects, then it will be|when appraising the annual consolidated|
|considered as normal defect.|statements of Dongxu Photo-electricity,|
||it will be considered as major defect; c.|
||when it is not belonged to major or|
||important defects, then it will be|
||considered as normal defect. (2) For|
||internal control defects and problems|
||including personal fraud, please refer to|
||the integrity management related rules of|
||the company. Standards of internal|
||control defects and problems including|
||personal fraud: a. normal defects: less|
||than one million yuan, or punishments by|
||the government departments following|
||the provincial level (including|
||provincial) without negative effects on|
||regular reports or disclosures published|
||by Dongxu Photo-electricity; b. major|
||defects: one million yuan (including one|
||million) to ten million yuan, or|
||punishments by the government|
||departments at the national level without|
||negative effects on regular reports or|
||disclosures published by Dongxu|
||Photo-electricity; c. major defects: 10|
||million yuan or more or defects which|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||
|-|
|have been officially announced and|
|caused negative effects on regular reports|
|or disclosures published by Dongxu|
|Photo-electricity|

X. Internal Control audit report
√ Applicable□Not applicable
|||
|-|-|
|Review opinions in the internal control audit report||
|ZXCGHSZZD(2016)No.:||
|：To All Shareholders of Dongxu Optoelectronic Technology Co., Ltd||
|In accordance with Audit Guideline for Enterprise Internal Control and relevant requirement of the practicing standards of Chinese||
|Certified Public Accountant, we audited the effective-ness of the financial report’s internal control for Dongxu Optoelectronic||
|Technology Co., Ltd . (the Company) dated 31December 2015.||
|I. As for responsibility of internal control,||
|The Company established and improved and implemented internal control effectively based on Basic Norms of Enterprises Internal||
|Control, Supporting Guidelines for Enterprise Internal Control and Evaluation Guild lines for Enterprises Internal Control, and board||
|of the director is responsible for evaluating its effectiveness.||
|II. Auditor’s responsibilities||
|Our responsibility is to express an opinion on the effectiveness of internal control for the financial statements based on our audit. And||
|disclosed major deficits of noted internal control without financial statement concerned.||
|III. Inherent feature of internal control:||
|The internal control has an inherent limitation, and exist mistakes that can not prevent and being discovered. Moreover, the internal||
|control might be inappropriate due to the changes of conditions, or fails to follow the controlling policies and procedures, to speculate||
|future effectiveness of the internal control in line with the auditing result has a certain risks.||
|IV. Auditing opinion: in our opinion, the Company.||
|In line with Basic Norms of Enterprises Internal Control and relevant regulations, shows an effectiveness internal control of||
|financial report in all major aspects dated 31 December 2015.||
|Disclosure of internal audit report|Disclosure|
|Disclosure date of audit report||
||February 6, 2016|
|of internal control (full-text)||
|Index of audit report of||
||http://www.cninfo.com.cn|
|internal control (full-text)||
|Internal audit report’s opinion|Standard opinion|
|Non-financial reporting the existence||
||No|
|of significant deficiencies||

Has the CPAs issued a qualifiedauditor’s report of internal control .
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report□ Yes√No
Does the internal control audit report issued by the CPAs agree with the self-assessment report of the Board of Directors
√Yes□No
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report X. Financial Report
I. Audit report
|||
|-|-|
|Type of audit opinion|Unqualified audit opinion|
|Date for signing the auditor’s report|February 5,2016|
||Zhongxingcai Guanghua Ceritified Public Accountants|
|Name of audit firm||
||(SpecialGeneral Partnership)|
|The audit of the report||
|Certified public accountant's name|Wang Fengqi Meng Xiaoguang|

Auditors Report
To all shareholders of Shareholders of Dongxu Optoelectronic Technology Co., Ltd.:
We audited accompanying financial statements of Dongxu Optoelectronic Technology Co., Ltd.. (hereinafter referred to as "the Company"), including Consolidation and parent Company balance sheet on December 31, 2015, Consolidation and parent Company profit statement, Consolidation and parent Company cash flow statement for the year 2015 and Consolidation and parent Company statement of change in shareholders' equity and the notes to financial statements..
I.Management’s responsibility for the financial statements
Preparation of financial statements in accordance with the Accounting Standards for Business Enterprises is the responsibility of the management of the Company. Such responsibility includes: (1) Prepare the financial statements according to business enterprises regulation, so that making reasonable accounting estimate. (2) design, implementation and maintenance of internal control related to the preparation of financial statements so that financial statements are free from material misstatement caused by fraudulent practices or errors;
II. Responsibility of certified public accountants
We are responsible for expressing opinions on financial statements based on our audit. We conducted audit in accordance with the audit criteria for Chinese certified public accountants. The audit criteria for Chinese certified public accountants require us to abide by professional ethics, plan and conduct audit to obtain reasonable assurance as to whether financial statements are free from material misstatement. Audit involves carrying out audit procedure to obtain the audit evidences about the amounts and disclosure of financial statements. The
selected audit procedure relies on the judgment of certified public accountants, including the appraisal of risk of
material misstatement of financial statements caused by fraudulent practices or errors. While appraising risks, we
considered the internal control related to the preparation of financial statements to design proper audit procedure
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report but the purpose is not to express an opinion on the effectiveness of internal control. The audit also includes the appraisal of suitability of accounting policies selected by the management, the reasonableness of accounting estimate and the overall presentation of financial statements.
We believe that the audit evidences obtained by us are full and appropriate and provide a basis for expressing audit opinion.
III. Audit opinion
In our opinion, the financial statements of Dongxu Optoelectronic Technology Co., Ltd. Wharf present fairly, in all material respects, thecompany‘s and consolidated financial position as of 31 December 2015, and the
Company‘s and consolidated results of operations and cash flows for the year then ended in accordance with Accounting Standards for Business Enterprises.
II. Financial statements
Currency unit for the statements in the notes to these financial statements:RMB
1.Consolidated Balance sheet
Prepared by: Dongxu Optoelectronic Technology Co., Ltd.
In RMB
||||
|-|-|-|
|Items|Year-end balance|Year-beginning balance|
|Current asset：|||
|Monetary fund|12,409,510,170.26|3,539,892,384.04|
|Settlement provision|||
|Outgoing call loan|||
|Financial assets measured at fair|||
|value with variations accounted into|||
|current income account|||
|Derivative financial assets|||
|Bill receivable|51,014,152.00|249,510,678.50|
|Account receivable|1,042,538,312.51|751,483,740.27|
|Prepayments|418,910,587.57|3,007,834,056.21|
|Insurance receivable|||
|Reinsurance receivable|||
|Provisions of Reinsurance contracts|||
|receivable|||
|Interest receivable|||
|Dividend receivable|||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Other account receivable|55,197,871.28|52,406,728.03|
|Repurchasing of financial assets|||
|Inventories|2,177,979,684.06|616,095,820.74|
|Assets held for sales|||
|Non-current asset due in 1 year|139,395.72|185,227.78|
|Other current asset|1,216,401,769.76|932,526,092.19|
|Total of current assets|17,371,691,943.16|9,149,934,727.76|
|Non-current assets：|||
|Loans and payment on other’s behalf|||
|disbursed|||
|Disposable financial asset|||
|Expired investment in possess|||
|Long-term receivable|||
|Long term share equity investment|72,426,252.41||
|Property investment|||
|Fixed assets|6,900,189,927.76|4,620,098,007.93|
|Construction in progress|3,433,016,388.90|4,069,722,104.54|
|Engineering material|38,214.99|22,095,086.42|
|Fixed asset disposal|||
|Production physical assets|||
|Gas & petrol|||
|Intangible assets|462,291,286.50|344,807,139.69|
|R & D petrol||10,730,941.05|
|Goodwill|||
|Long-germ expenses to be amortized|16,560,387.39|15,082,565.87|
|Differed income tax asset|299,129,677.91|255,751,092.23|
|Other non-current asset|243,279,174.31||
|Total of non-current assets|11,426,931,310.17|9,338,286,937.73|
|Total of assets|28,798,623,253.33|18,488,221,665.49|
|Current liabilities|||
|Short-term loans|3,783,300,000.00|1,587,900,000.00|
|Loan from Central Bank|||
|Deposit received and hold for others|||
|Call loan received|||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Financial liabilities measured at fair|||
|value with variations accounted into|||
|current income account|||
|Derivative financial liabilities|||
|Bill payable|410,594,929.94|280,000,000.00|
|Account payable|675,736,226.62|275,322,303.89|
|Advance payment|97,920,689.41|22,382,273.47|
|Selling of repurchased financial assets|||
|Fees and commissions receivable|||
|Employees’ wage payable|36,856,257.86|29,465,586.43|
|Tax payable|105,451,423.67|114,709,557.05|
|Interest payable|55,405,608.76||
|Dividend payable|20,000,000.00|30,000,000.00|
|Other account payable|539,796,113.78|266,997,237.49|
|Reinsurance fee payable|||
|Insurance contract provision|||
|Entrusted trading of securities|||
|Entrusted selling of securities|||
|Liabilities held for sales|||
|Non-current liability due in 1 year|876,987,200.00|720,238,000.00|
|Other current liability|93,402,963.08|89,170,861.89|
|Total of current liability|6,695,451,413.12|3,416,185,820.22|
|Non-current liabilities：|||
|Long-term loan|6,249,397,300.00|5,504,309,000.00|
|Bond payable|988,400,388.00||
|Including：preferred stock|||
|Sustainable debt|||
|Long-term payable|57,000,000.00||
|Long-term payable employees’s|||
|remuneration|||
|Special payable|||
|Expected liabilities||53,046.23|
|Differed income|246,925,387.61|257,384,418.69|
|Differed income tax liability|||
|Other non-current liabilities|||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Total non-current liabilities|7,541,723,075.61|5,761,746,464.92|
|Total of liability|14,237,174,488.73|9,177,932,285.14|
|Owners’ equity|||
|Share capital|3,835,000,526.00|2,662,080,001.00|
|Other equity instruments|||
|Including：preferred stock|||
|Sustainable debt|||
|Capital reserves|9,391,388,905.89|4,972,966,918.24|
|Less：Shares in stock|9,011,520.00||
|Other comprehensive income|||
|Special reserves|||
|Surplus reserves|132,723,528.42|82,025,280.68|
|Common risk provision|||
|Undistributed profit|969,380,500.97|-39,946,925.56|
|Total of owner’s equity belong to the|||
||14,319,481,941.28|7,677,125,274.36|
|parent company|||
|Minority shareholders’ equity|241,966,823.32|1,633,164,105.99|
|Total of owners’ equity|14,561,448,764.60|9,310,289,380.35|
|Total of liabilities and owners’ equity|28,798,623,253.33|18,488,221,665.49|

 Legal representative：Li Zhaoting
Person-in-charge of the accountingwork：Zhou Bo
Person-in -charge of the accountingorgan：Zhou Boi
2. Balance sheet of the Parent Company
In RMB
||||
|-|-|-|
|Items|Year-end balance|Year-beginning balance|
|Current asset：|||
|Monetary fund|9,835,157,652.41|1,736,774,243.99|
|Financial assets measured at fair value|||
|with variations accounted into current|||
|income account|||
|Derivative financial assets|||
|Bill receivable|611,200.00|100,000.00|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Account receivable|25,928,808.63|12,495,493.29|
|Prepayments|5,148,881.09|863,556,776.13|
|Interest receivable|||
|Dividend receivable|380,000,000.00|323,000,000.00|
|Other account receivable|1,257,350,098.69|316,867,754.88|
|Inventories|337,875,634.06|18,563,041.11|
|Assets held for sales|||
|Non-current asset due in 1 year|||
|Other current asset|19,211.84|19,211.84|
|Total of current assets|11,842,091,486.72|3,271,376,521.24|
|Non-current assets：|||
|Disposable financial asset|||
|Expired investment in possess|||
|Long-term receivable|||
|Long term share equity investment|9,838,056,379.92|5,096,912,035.49|
|Property investment|||
|Fixed assets|54,559,265.28|55,683,240.25|
|Construction in progress|||
|Engineering material|||
|Fixed asset disposal|||
|Production physical assets|||
|Gas & petrol|||
|Intangible assets|10,196,051.07|10,521,614.79|
|R & D petrol|||
|Goodwill|||
|Long-germ expenses to be amortized|||
|Differed income tax asset|784,271.45|9,097,970.44|
|Other non-current asset|||
|Total of non-current assets|9,903,595,967.72|5,172,214,860.97|
|Total of assets|21,745,687,454.44|8,443,591,382.21|
|Current liabilities|||
|Short-term loans|2,630,000,000.00|900,000,000.00|
|Financial liabilities measured at fair|||
|value with variations accounted into|||
|current income account|||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Derivative financial liabilities|||
|Bill payable|69,458,800.00||
|Account payable|131,278,936.59|19,083,770.39|
|Advance payment|115,587.90|20,937.90|
|Employees’ wage payable|3,725,606.27|5,250,269.40|
|Tax payable|15,710,028.19|1,986,624.99|
|Interest payable|42,908,777.78||
|Dividend payable|||
|Other account payable|3,427,777,437.96|1,253,172,816.58|
|Liabilities held for sales|||
|Non-current liability due in 1 year|||
|Other current liability|20,000.00|20,000.00|
|Total of current liability|6,388,896,407.62|2,179,534,419.26|
|Non-current liabilities：|||
|Long-term loan|640,000,000.00|400,000,000.00|
|Bond payable|988,400,388.00||
|Including：preferred stock|||
|Sustainable debt|||
|Long-term payable|||
|Employees’ wage payable|||
|Special payable|||
|Expected liabilities|||
|Differed income|5,000.00|25,000.00|
|Differed income tax liability|||
|Other non-current liabilities|||
|Total of Non-current liabilities|1,628,405,388.00|400,025,000.00|
|Total of liability|8,017,301,795.62|2,579,559,419.26|
|Owners’ equity|||
|Share capital|3,835,000,526.00|2,662,080,001.00|
|Other equity instrument|||
|Including：preferred stock|||
|Sustainable debt|||
|Capital reserves|9,321,098,967.43|2,782,714,603.79|
|Less：Shares in stock|9,011,520.00||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Other comprehensive income|||
|Special reserves|||
|Surplus reserves|113,734,304.09|70,907,471.36|
|Undistributed profit|467,563,381.30|348,329,886.80|
|Total of owners’ equity|13,728,385,658.82|5,864,031,962.95|
|Total of liabilities and owners’ equity|21,745,687,454.44|8,443,591,382.21|

 3.Consolidated income statement
In RMB
||||
|-|-|-|
|Items|Report period|Same period of the previous year|
|I. Income from the key business|4,650,208,448.10|1,600,750,745.69|
|Incl：Business income|4,650,208,448.10|1,600,750,745.69|
|Interest income|||
|Insurance fee earned|||
|Fee and commission received|||
|II. Total business cost|3,581,146,792.66|1,425,888,085.16|
|Incl：Business cost|2,800,353,518.04|1,046,022,610.40|
|Interest expense|||
|Fee and commission paid|||
|Insurance discharge payment|||
|Net claim amount paid|||
|Insurance policy dividend paid|||
|Insurance policy dividend paid|||
|Reinsurance expenses|||
|Business tax and surcharge|35,549,264.79|26,682,797.47|
|Sales expense|44,944,240.87|26,289,296.53|
|Administrative expense|421,789,075.31|240,993,820.53|
|Financial expenses|294,416,400.12|76,463,904.62|
|Asset impairment loss|-15,905,706.47|9,435,655.61|
|Add：Gains from change of fir value|||
|（“-”for loss）|||
|Investment gain（“-”for loss）|4,147,238.73||
|Incl: investment gains from affiliates|426,252.41||
|Gains from currency exchange|||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|（“-”for loss）|||
|III. Operational profit（“-”for loss）|1,073,208,894.17|174,862,660.53|
|Add ：Non-operational income|557,753,811.42|463,935,565.47|
|Including：Income from disposal of|||
|||12,738.05|
|non-current assets|||
|Less：Non business expenses|656,012.54|477,402.29|
|Incl：Loss from disposal of non-current|||
||43,425.70|209,323.84|
|assets|||
|IV.Total profit(“-”for loss)|1,630,306,693.05|638,320,823.71|
|Less：Income tax expenses|237,783,006.87|114,896,232.82|
|V. Net profit|1,392,523,686.18|523,424,590.89|
|Net profit attributable to the owners of|||
||1,326,233,674.37|468,902,701.44|
|parent company|||
|Minority shareholders’ equity|66,290,011.81|54,521,889.45|
|VI. Other comprehensive income|||
|Net of profit of other comprehensive inco|||
|me attributable to owners of the parent co|||
|mpany.|||
|（I）Other comprehensive income items|||
|that will not be reclassified into|||
|gains/losses in the subsequent accounting|||
|period|||
|1.Re-measurement of defined benefit pla|||
|ns of changes in net debt or net assets|||
|2.Other comprehensive income under the|||
|equity method investee can not be reclass|||
|ified into profit or loss.|||
|（II）|||
|Other comprehensive income that will be|||
|reclassified into profit or loss.|||
|1.Other comprehensive income under the|||
|equity method investee can be reclassifie|||
|d into profit or loss.|||
|2.Gains and losses from changes in fair v|||
|alue available for sale financial assets|||
|3.Held-to-maturity investments reclassifi|||
|ed to gains and losses of available for sal|||
|e financial assets|||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|4.The effective portion of cash flow hedg|||
|es and losses|||
|5.Translation differences in currency fina|||
|ncial statements|||
|6.Other|||
|Net of profit of other comprehensive inco|||
|me attributable to Minority shareholders’|||
|equity|||
|VII. Total comprehensive income|1,392,523,686.18|523,424,590.89|
|Total comprehensive income attributable|||
||1,326,233,674.37|468,902,701.44|
|to the owner of the parent company|||
|Total comprehensive income|||
||66,290,011.81|54,521,889.45|
|attributable minority shareholders|||
|VIII. Earnings per share|||
|（I）Basic earnings per share|0.48|0.17|
|(II)Diluted earnings per share|0.48|0.17|

 The current business combination under common control, the net profits of the combined party before achieved ne t profit of RMB 0, last period the combined party realized RMB 0.
Legal representative：Li Zhaoting
Person-in-charge of the accountingwork：Zhou Bo
Person-in -charge of the accountingorgan：Zhou Bo
4. Income statement of the Parent Company
In RMB
||||
|-|-|-|
|Items|Report period|Same period of the previous year|
|I. Income from the key business|721,162,496.33|60,265,810.68|
|Incl：Business cost|389,424,836.30|37,675,359.86|
|Business tax and surcharge|1,025,210.11|561,707.55|
|Sales expense|2,744.00|150,607.84|
|Administrative expense|66,780,037.74|32,361,040.13|
|Financial expenses|218,014,246.30|14,631,869.59|
|Asset impairment loss|-10,244,819.52|56,838.80|
|Add：Gains from change of fir value（“-”for loss）|||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Investment gain（“-”for loss）|380,426,252.41|950,000,000.00|
|Incl: investment gains from affiliates|426,252.41||
|II. Operational profit（“-”for loss）|436,586,493.81|924,828,386.91|
|Add ：Non-operational income|29,440.95|72,684.29|
|Including：Income from disposal|||
|||12,738.05|
|of non-current assets|||
|Less：Non business expenses|33,908.44|4,520.24|
|Incl：Loss from disposal of|||
||41,000.83|4,520.24|
|non-current assets|||
|III.Total profit(“-”for loss)|436,582,026.32|924,896,550.96|
|Less：Income tax expenses|8,313,698.99|-1,063,460.11|
|IV. Net profit（“-”for net loss）|428,268,327.33|925,960,011.07|
|V.Net of profit of other comprehensive i|||
|ncome|||
|（I）Other comprehensive income|||
|items that will not be reclassified into|||
|gains/losses in the subsequent|||
|accounting period|||
|1.Re-measurement of defined benefit pl|||
|ans of changes in net debt or net assets|||
|2.Other comprehensive income under th|||
|e equity method investee can not be recl|||
|assified into profit or loss.|||
|（II）|||
|Other comprehensive income that will b|||
|e reclassified into profit or loss.|||
|1.Other comprehensive income under th|||
|e equity method investee can be reclassi|||
|fied into profit or loss.|||
|2.Gains and losses from changes in fair|||
|value available for sale financial assets|||
|3.Held-to-maturity investments reclassif|||
|ied to gains and losses of available for s|||
|ale financial assets|||
|4.The effective portion of cash flow hed|||
|ges and losses|||
|5.Translation differences in currency fin|||
|ancial statements|||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|6.Other|||
|VI. Total comprehensive income|428,268,327.33|925,960,011.07|
|VII. Earnings per share：|||
|（I）Basic earnings per share|||
|(II)Diluted earnings per share|||

5. Consolidated Cash flow statement
In RMB
||||
|-|-|-|
|Items|Report period|Same period of the previous year|
|I.Cash flows from operating activities|||
|Cash received from sales of goods or|||
||5,320,383,955.63|1,479,539,699.35|
|rending of services|||
|Net increase of customer deposits|||
|and capital kept for brother company|||
|Net increase of loans from central bank|||
|Net increase of inter-bank loans from|||
|other financial bodies|||
|Cash received against original insurance|||
|contract|||
|Net cash received from reinsurance|||
|business|||
|Net increase of client deposit and|||
|investment|||
|Net increase of trade financial asset|||
|disposal|||
|Cash received as interest, processing fee|||
|and commission|||
|Net increase of inter-bank fund received|||
|Net increase of repurchasing business|||
|Tax returned|201,893,711.00|180,440,202.68|
|Other cash received from business|||
||452,450,694.44|635,225,344.59|
|operation|||
|Sub-total of cash inflow|5,974,728,361.07|2,295,205,246.62|
|Cash paid for purchasing of|||
||2,802,640,506.75|2,259,267,235.65|
|merchandise and services|||
|Net increase of client trade and advance|||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Net increase of savings n central bank|||
|and brother company|||
|Cash paid for original contract claim|||
|Cash paid for interest, processing fee|||
|and commission|||
|Cash paid for policy dividend|||
|Cash paid to staffs or paid for staffs|450,784,386.72|355,749,692.97|
|Taxes paid|627,085,942.98|473,736,399.51|
|Other cash paid for business activities|314,088,561.68|224,006,107.14|
|Sub-total of cash outflow from business|||
||4,194,599,398.13|3,312,759,435.27|
|activities|||
|Cash flow generated by business|||
||1,780,128,962.94|-1,017,554,188.65|
|operation, net|||
|II.Cash flow generated by investing|||
|Cash received from investment|||
||1,080,000,000.00||
|retrieving|||
|Cash received as investment gains|3,720,986.32||
|Net cash retrieved from disposal of|||
|fixed assets, intangible assets, and other||12,380.00|
|long-term assets|||
|Net cash received from disposal of|||
|subsidiaries or other operational units|||
|Other investment-related cash received|59,574,268.94|40,840,000.00|
|Sub-total of cash inflow due to|||
||1,143,295,255.26|40,852,380.00|
|investment activities|||
|Cash paid for construction of|||
|fixed assets, intangible assets|539,895,733.55|700,556,350.74|
|and other long-term assets|||
|Cash paid as investment|4,792,951,994.94||
|Net increase of loan against pledge|||
|Net cash received from subsidiaries and|||
|||13,915,285.10|
|other operational units|||
|Other cash paid for investment|||
||6,120,000.00||
|activities|||
|Sub-total of cash outflow due to|||
||5,338,967,728.49|714,471,635.84|
|investment activities|||
|Net cash flow generated by investment|-4,195,672,473.23|-673,619,255.84|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|III.Cash flow generated by financing|||
|Cash received as investment|7,984,999,980.50|47,140,400.00|
|Incl: Cash received as investment from|||
||20,500,000.00||
|minor shareholders|||
|Cash received as loans|5,848,934,138.87|3,637,900,000.00|
|Cash received from bond placing|987,000,000.00||
|Other financing –related ash received|301,662,960.13|14,811,738.30|
|Sub-total of cash inflow from financing|||
||15,122,597,079.50|3,699,852,138.30|
|activities|||
|Cash to repay debts|2,886,415,300.00|1,023,317,700.00|
|Cash paid as dividend, profit, or|||
||910,290,074.11|430,409,938.83|
|interests|||
|Incl: Dividend and profit paid by|||
||30,000,000.00|20,000,000.00|
|subsidiaries to minor shareholders|||
|Other cash paid for financing activities|294,769,814.99|370,117,899.51|
|Sub-total of cash outflow due to|||
||4,091,475,189.10|1,823,845,538.34|
|financing activities|||
|Net cash flow generated by financing|11,031,121,890.40|1,876,006,599.96|
|IV. Influence of exchange rate|||
||-701,359.42|53,842.01|
|alternation on cash and cash equivalents|||
|V.Net increase of cash and cash|||
||8,614,877,020.69|184,886,997.48|
|equivalents|||
|Add: balance of cash and cash|||
||3,349,892,384.04|3,165,005,386.56|
|equivalents at the beginning of term|||
|VI ..Balance of cash and cash|||
||11,964,769,404.73|3,349,892,384.04|
|equivalents at the end of term|||

6. Cash Flow Statement of the Parent Company
In RMB
||||
|-|-|-|
|Items|Amount in this period|Amount in last period|
|I.Cash flows from operating activities|||
|Cash received from sales of goods or|||
||836,777,633.78|63,696,323.73|
|rending of services|||
|Tax returned|400,038.32||
|Other cash received from business|||
||2,778,636,800.26|1,492,371,479.23|
|operation|||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Sub-total of cash inflow|3,615,814,472.36|1,556,067,802.96|
|Cash paid for purchasing of|||
||638,609,349.11|2,715,408.05|
|merchandise and services|||
|Cash paid to staffs or paid for staffs|12,448,459.82|18,313,407.43|
|Taxes paid|5,254,948.30|4,557,514.41|
|Other cash paid for business activities|698,242,344.14|260,041,430.69|
|Sub-total of cash outflow from business|||
||1,354,555,101.37|285,627,760.58|
|activities|||
|Cash flow generated by business|||
||2,261,259,370.99|1,270,440,042.38|
|operation, net|||
|II.Cash flow generated by investing|||
|Cash received from investment|||
|retrieving|||
|Cash received as investment gains||627,000,000.00|
|Net cash retrieved from disposal of|||
|fixed assets, intangible assets, and other|||
|long-term assets|||
|Net cash received from disposal of|||
|subsidiaries or other operational units|||
|Other investment-related cash received|||
|Sub-total of cash inflow due to|||
|||627,000,000.00|
|investment activities|||
|Cash paid for construction of|||
|fixed assets, intangible assets||850,000,000.00|
|and other long-term assets|||
|Cash paid as investment|4,616,797,294.94|368,453,728.53|
|Net cash received from subsidiaries and|||
|other operational units|||
|Other cash paid for investment|||
||6,120,000.00||
|activities|||
|Sub-total of cash outflow due to|||
||4,622,917,294.94|1,218,453,728.53|
|investment activities|||
|Net cash flow generated by investment|-4,622,917,294.94|-591,453,728.53|
|III.Cash flow generated by financing|||
|Cash received as investment|7,964,499,980.50|11,950,400.00|
|Cash received as loans|3,268,000,000.00|1,300,000,000.00|
|Cash received from bond placing|987,000,000.00||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Other financing –related ash received|46,580,667.53|487,371.87|
|Sub-total of cash inflow from|||
||12,266,080,648.03|1,312,437,771.87|
|financing activities|||
|Cash to repay debts|1,300,000,000.00||
|Cash paid as dividend, profit, or|||
||477,547,800.15|16,403,694.42|
|interests|||
|Other cash paid for financing activities|28,491,515.51|268,051,455.10|
|Sub-total of cash outflow due to|||
||1,806,039,315.66|284,455,149.52|
|financing activities|||
|Net cash flow generated by financing|10,460,041,332.37|1,027,982,622.35|
|IV. Influence of exchange rate|||
|alternation on cash and cash equivalents|||
|V.Net increase of cash and cash|||
||8,098,383,408.42|1,706,968,936.20|
|equivalents|||
|Add: balance of cash and cash|||
||1,736,774,243.99|29,805,307.79|
|equivalents at the beginning of term|||
|VI ..Balance of cash and cash|||
||9,835,157,652.41|1,736,774,243.99|
|equivalents at the end of term|||

7. Consolidated Statement on Change inOwners’ Equity
Amount in this period
In RMB
|||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|-|
||Amount in this period|||||||||||||
||Owner’s equity Attributable to the Parent Company|||||||||||||
|||Other Equity|||||||||||Total|
|||||||||||||Minor||
|||instrusment||||Less:|Other||Surplu|Comm|||of|
|Items||||||||||||||
||Share||||Capital|||Specia|||Attribu|shareh||
|||||Other||Shares|Compre||s|on risk|||owner|
||Capit|prefer|||reserve|||lized|||table|olders’||
||||Sustai|||in|hensive||reserve|provisi|||s’|
||al|red|||s|||reserve|||profit|equity||
||||nable|||stock|Income||s|on|||equity|
|||stock||||||||||||
||||debt|||||||||||
||2,662,||||4,972,9|||||||1,633,1|9,310,2|
|I.Balance at the|||||||||82,025,||-39,946,|||
||080,00||||66,918.|||||||64,105.|89,380.|
|end of last year|||||||||280.68||925.56|||
||1.00||||24|||||||99|35|
|Add: Change of||||||||||||||
|accounting||||||||||||||
|policy||||||||||||||
|Correcting of||||||||||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||
|-|-|-|-|-|-|-|-|
|previous errors||||||||
|Merger of entities||||||||
|under common||||||||
|control||||||||
|Other||||||||
|II.Balance at the|2,662,|4,972,9||||1,633,1|9,310,2|
|||||82,025,|-39,946,|||
|beginning of|080,00|66,918.||||64,105.|89,380.|
|||||280.68|925.56|||
|current year|1.00|24||||99|35|
||1,172,|4,418,4|||1,009,3|-1,391,1|5,251,1|
|III.Changed in the|||9,011,5|50,698,||||
||920,52|21,987.|||27,426.|97,282.|59,384.|
|current year|||20.00|247.74||||
||5.00|65|||53|67|25|
|（1）Total|||||1,326,2||1,392,5|
|||||||66,290,||
|comprehensive|||||33,674.||23,686.|
|||||||011.81||
|income|||||37||18|
|（II）Investment|1,172,|6,538,4|||||7,727,3|
||||9,011,5|||25,000,||
|or decreasing of|920,52|06,824.|||||15,829.|
||||20.00|||000.00||
|capital by owners|5.00|45|||||45|
|1．Ordinary Share|1,173,|6,767,5|||||7,965,5|
|||||||25,000,||
|s invested by hare|020,52|02,719.|||||23,244.|
|||||||000.00||
|holders|5.00|49|||||49|
|2．Holders of oth||||||||
|er equity instrume||||||||
|nts invested capital||||||||
|3．Amount of||||||||
|shares paid and|||9,011,5||||-9,011,5|
|accounted as|||20.00||||20.00|
|owners’ equity||||||||
|||-229,09|||||-229,19|
||-100,0|||||||
|4．Other||5,895.0|||||5,895.0|
||00.00|||||||
|||4|||||4|
||||||-316,90||-286,20|
|（III）Profit||||50,698,||-20,000,||
||||||6,247.8||8,000.1|
|allotment||||247.74||000.00||
||||||4||0|
|1.Providing of||||50,698,|-50,698,|||
|surplus reserves||||247.74|247.74|||
|2.Providing of||||||||
|common risk||||||||
|provisions||||||||
|3．Allotment to the|||||-266,20|-20,000,|-286,20|
|owners (or|||||8,000.1|000.00|8,000.1|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||
|-|-|-|-|-|-|-|-|
|shareholders)|||||0||0|
|4．Other||||||||
|(IV) Internal||||||||
|transferring of||||||||
|owners’ equity||||||||
|1. Capitalizing of||||||||
|capital reserves (or||||||||
|to capital shares)||||||||
|2. Capitalizing of||||||||
|surplus reserves||||||||
|(or to capital||||||||
|shares)||||||||
|3．Making up||||||||
|losses by surplus||||||||
|reserves.||||||||
|4. Other||||||||
|(V). Special||||||||
|reserves||||||||
|1. Provided this||||||||
|year||||||||
|2．Used this term||||||||
|||-2,119,9||||-1,462,4|-3,582,4|
|（VI）Other||84,836.||||87,294.|72,131.|
|||80||||48|28|
||3,835,|9,391,3|||||14,561,448,764.60|
|IV. Balance at the|||9,011,5|132,723|969,380|241,966||
||000,52|88,905.||||||
|end of this term|||20.00|,528.42|,500.97|,823.32||
||6.00|89||||||

 Amount in last year
In RMB
|||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|-|
||Amount in last year|||||||||||||
||Owner’s equity Attributable to the Parent Company|||||||||||||
|||Other Equity|||||||||||Total|
|||||||||||||Minor||
|||instrusment|||||Other|||Commo|||of|
|Items||||||||||||||
||Share|||||Less:||Speciali|||Attribut|shareho||
||||||Capital||Compre||Surplus|n risk|||owner|
||Capit|prefer||||Shares||zed|||able|lders’||
||||Sustai||reserves||hensive||reserves|provisio|||s’|
||al|red||Other||in stock||reserve|||profit|equity||
||||nable||||Income|||n|||equity|
|||stock||||||||||||
||||debt|||||||||||
|I.Balance at the|903,00||||4,936,6||||27,454,||-53,394,|60,527,|5,874,2|
|end of last year|0,000.||||13,311.||||788.05||384.81|723.53|01,438.|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||
|-|-|-|-|-|-|-|
||00|80||||57|
|Add: Change of|||||||
|accounting|||||||
|policy|||||||
|Correcting of|||||||
|previous errors|||||||
|Merger of entities||2,053,0||-409,44|1,532,9|3,185,0|
||||8,557,1||||
|under common||00,000.||1,900.5|24,493.|39,743.|
||||50.95||||
|control||00||1|01|45|
|Other|||||||
|II.Balance at the|903,00|6,989,6||-462,83|1,593,4|9,059,2|
||||36,011,||||
|beginning of|0,000.|13,311.||6,285.3|52,216.|41,182.|
||||939.00||||
|current year|00|80||2|54|02|
||1,759,|-2,016,6|||||
|III.Changed in the|||46,013,|422,889|39,711,|251,048|
||080,00|46,393.|||||
|current year|||341.68|,359.76|889.45|,198.33|
||1.00|56|||||
|（1）Total|||||||
|||||468,902|54,521,|523,424|
|comprehensive|||||||
|||||,701.44|889.45|,590.89|
|income|||||||
|（II）Investment|-46,91|-210,64||||-222,37|
||||||35,190,||
|or decreasing of|9,999.|6,393.5||||6,392.5|
||||||000.00||
|capital by owners|00|6||||6|
|1．Ordinary Share|||||||
||3,080,|8,461,0|||35,190,|46,731,|
|s invested by hare|||||||
||000.00|01.90|||000.00|001.90|
|holders|||||||
|2．Holders of oth|||||||
|er equity instrume|||||||
|nts invested capital|||||||
|3．Allotment to the|||||||
|owners (or|||||||
|shareholders)|||||||
||-49,99|-219,10||||-269,10|
|4．Other|9,999.|7,395.4||||7,394.4|
||00|6||||6|
|(IV) Internal|||||||
||||46,013,|-46,013,|-50,000|-50,000,|
|transferring of|||||||
||||341.68|341.68|,000.00|000.00|
|owners’ equity|||||||
|1. Capitalizing of|||||||
||||46,013,|-46,013,|||
|capital reserves (or|||||||
||||341.68|341.68|||
|to capital shares)|||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||
|-|-|-|-|-|-|-|
|2. Capitalizing of|||||||
|surplus reserves|||||||
|(or to capital|||||||
|shares)|||||||
|3．Making up|||||||
||||||-50,000|-50,000,|
|losses by surplus|||||||
||||||,000.00|000.00|
|reserves.|||||||
|4. Other|||||||
||1,806,|-1,806,0|||||
|(VI )Special|||||||
||000,00|00,000.|||||
|reserves|||||||
||0.00|00|||||
||1,806,|-1,806,0|||||
|1. Provided this|||||||
||000,00|00,000.|||||
|year|||||||
||0.00|00|||||
|2．Used this term|||||||
|（VII）Other|||||||
|IV. Balance at the|||||||
|end of this term|||||||
|(V) Special|||||||
|reserves|||||||
|1. Provided this|||||||
|year|||||||
|2．Used this term|||||||
|（VI）Other|||||||
||2,662,|4,972,9|||1,633,1|9,310,2|
|IV. Balance at the|||82,025,|-39,946,|||
||080,00|66,918.|||64,105.|89,380.|
|end of this term|||280.68|925.56|||
||1.00|24|||99|35|

 8.Statement of change inowner’s Equity of the Parent Company
Amount in this period
In RMB
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
||Amount in this period|||||||||||
|||Other Equity instrusment||||||||||
||||||||Other|||||
|||||||Less:|||Common|Attribut|Total of|
|Items|Share||||Capital||Compreh|Surplus||||
|||preferre|Sustain|||Shares in|||risk|able|owners’|
||Capital|||Other|reserves||ensive|reserves||||
|||d stock|able|||stock|||provision|profit|equity|
||||||||Income|||||
||||debt|||||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||
|-|-|-|-|-|-|-|
|I.Balance at the|2,662,08|2,782,714||70,907,47|348,329|5,864,031|
|end of last year|0,001.00|,603.79||1.36|,886.80|,962.95|
|Add: Change of|||||||
|accounting|||||||
|policy|||||||
|Correcting of|||||||
|previous errors|||||||
|Other|||||||
|II.Balance at the|||||||
||2,662,08|2,782,714||70,907,47|348,329|5,864,031|
|beginning of|||||||
||0,001.00|,603.79||1.36|,886.80|,962.95|
|current year|||||||
|III.Changed in the|1,172,92|6,538,384|9,011,520|42,826,83|119,233|7,864,353|
|current year|0,525.00|,363.64|.00|2.73|,494.50|,695.87|
|（I）Total|||||||
||||||428,268|428,268,3|
|comprehensive|||||||
||||||,327.33|27.33|
|income|||||||
|(II) Investment or|||||||
||1,172,92|6,538,384|9,011,520|||7,702,293|
|decreasing of|||||||
||0,525.00|,363.64|.00|||,368.64|
|capital by owners|||||||
|1．Ordinary Share|||||||
||1,173,02|6,767,502||||7,940,523|
|s invested by hareh|||||||
||0,525.00|,719.49||||,244.49|
|olders|||||||
|2．Holders of oth|||||||
|er equity instrume|||||||
|nts invested capital|||||||
|3.Amount of|||||||
|shares paid and|||9,011,520|||-9,011,52|
|accounted as|||.00|||0.00|
|owners’ equity|||||||
||-100,00|-229,118,||||-229,218,|
|4．Other|||||||
||0.00|355.85||||355.85|
||||||-309,03||
|（III）Profit||||42,826,83||-266,208,|
||||||4,832.8||
|allotment||||2.73||000.10|
||||||3||
|1.Providing of||||42,826,83|-42,826,||
|surplus reserves||||2.73|832.73||
|2．Allotment to the|||||-266,20||
|||||||-266,208,|
|owners (or|||||8,000.1||
|||||||000.10|
|shareholders)|||||0||
|3．Other|||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||
|-|-|-|-|-|-|-|
|(IV)Internal|||||||
|transferring of|||||||
|owners’ equity|||||||
|1. Capitalizing of|||||||
|capital reserves (or|||||||
|to capital shares)|||||||
|2. Capitalizing of|||||||
|surplus reserves|||||||
|(or to capital|||||||
|shares)|||||||
|3．Making up|||||||
|losses by surplus|||||||
|reserves.|||||||
|4. Other|||||||
|(V) Special|||||||
|reserves|||||||
|1. Provided this|||||||
|year|||||||
|2．Used this term|||||||
|（VI）Other|||||||
|IV. Balance at the|3,835,00|9,321,098|9,011,520|113,734,3|467,563|13,728,385,658.82|
|end of this term|0,526.00|,967.43|.00|04.09|,381.30||

 Amount in last year
In RMB
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
||Amount in last year|||||||||||
|||Other Equity instrusment||||||||||
||||||||Other||Commo|||
|||||||Less:||||Attribu|Total of|
|Items|Share||||Capital||Compreh|Surplus|n risk|||
|||preferre|Sustain|||Shares||||table|owners’|
||Capital|||Other|reserves||ensive|reserves|provisio|||
|||d stock|able|||in stock||||profit|equity|
||||||||Income||n|||
||||debt|||||||||
|||||||||||-538,92||
|I.Balance at the|903,000,||||4,799,360||||32,204,15||5,195,638|
|||||||||||6,803.5||
|end of last year|000.00||||,997.35||||0.60||,344.44|
|||||||||||1||
|Add: Change of||||||||||||
|accounting||||||||||||
|policy||||||||||||
|Correcting of||||||||||||
|previous errors||||||||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|Other||||||
|II.Balance at the||||-538,92||
||903,000,|4,799,360|32,204,15||5,195,638|
|beginning of||||6,803.5||
||000.00|,997.35|0.60||,344.44|
|current year||||1||
|III.Changed in the|1,759,08|-2,016,64|38,703,32|887,256|668,393,6|
|current year|0,001.00|6,393.56|0.76|,690.31|18.51|
|（I）Total||||||
|||||925,960|925,960,0|
|comprehensive||||||
|||||,011.07|11.07|
|income||||||
|(II) Investment or||||||
||-46,919,|-210,646,|||-257,566,|
|decreasing of||||||
||999.00|393.56|||392.56|
|capital by owners||||||
|1．Ordinary Share||||||
||3,080,00|8,461,001|||11,541,00|
|s invested by hareh||||||
||0.00|.90|||1.90|
|olders||||||
|2．Holders of oth||||||
|er equity instrume||||||
|nts invested capital||||||
|3.Amount of||||||
|shares paid and||||||
|accounted as||||||
|owners’ equity||||||
||-49,999,|-219,107,|||-269,107,|
|4．Other||||||
||999.00|395.46|||394.46|
|（III）Profit|||38,703,32|-38,703,||
|allotment|||0.76|320.76||
|1.Providing of|||38,703,32|-38,703,||
|surplus reserves|||0.76|320.76||
|2．Allotment to the||||||
|owners (or||||||
|shareholders)||||||
|3．Other||||||
|(IV)Internal||||||
||1,806,00|-1,806,00||||
|transferring of||||||
||0,000.00|0,000.00||||
|owners’ equity||||||
|1. Capitalizing of||||||
||1,806,00|-1,806,00||||
|capital reserves (or||||||
||0,000.00|0,000.00||||
|to capital shares)||||||
|2. Capitalizing of||||||
|surplus reserves||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|(or to capital||||||
|shares)||||||
|3．Making up||||||
|losses by surplus||||||
|reserves.||||||
|4. Other||||||
|(V) Special||||||
|reserves||||||
|1. Provided this||||||
|year||||||
|2．Used this term||||||
|（VI）Other||||||
|IV. Balance at the|2,662,08|2,782,714|70,907,47|348,329|5,864,031|
|end of this term|0,001.00|,603.79|1.36|,886.80|,962.95|

 III.Brief introduction of theCompany：
Approved by Hebei Economic System Reform Commission with the Approval of Establishment of Dongxu Optoelectronic Technology Co.,Ltd.（Hereinafter referred to as “The Company”or “DongxuOptoelectronic”）(Ji Ti Gfai Wei Gu Zi(1992) No.5 Document) in 1992, Shijiazhuang Baoshi Electronic Glass Co., Ltd. is a joint stock limited company company jointly established by Shijiazhuang Kinescope General Factory (transformed into Shijiazhuang Baoshi Electronics Group Co., Ltd.later), China Electronic Import and export Corporaqtion and Zonghua Hebei Import and Export Company. At the Time of establishment, the Company had 25.68 million shares (the par value of each share is RMB 10) and total share capital of RMB 256.80 million.
On July 17, 1993, the Company held a provisional shareholders' general meeting and decided to split the stock equity with par value of RMB 10 per share into stock equity with par value of RMB 1 per share. As a result, the total number of the Company's shares became 256.80 million and its total share capital became RMB 256.80 million. Approved by Securities Commission under State Council with the Approval of Issue of 100 Million Domestically Listed Foreign Investment Shares by Shijiazhuang Baoshi Electronic Glass Co., Ltd. (Zheng Wei Fa (1996) No. 15 Document) on June 11, 1996, the Company issued 100 million domestically listed foreign investment shares (B shares) (the par value of each share is RMB 1). Approved by China Securities Regulatory Commission with the Approval of the Application of Shijiazhuang Baoshi Electronic Glass Co., Ltd. to Publicly Issue Shares (Zheng Jian Fa Zi (1996) No. 174 Document) on August 30 of the same year, the Company publicly issued 26.20 million shares (the par value of each share is RMB 1). As of September 17, 1996, the total share capital of the Company increased to RMB 383 million.
On July 17, 1993, the Company held a provisional shareholders' general meeting and decided to split the stock equity with par value of RMB 10 per share into stock equity with par value of RMB 1 per share. As a result, the total number of the Company's shares became 256.80 million and its total share capital became RMB 256.80 million.
Approved by Securities Commission under State Council with the Approval of Issue of 100 million Domestically
Listed Foreign Investment Shares by Shijiazhuang Baoshi Electronic Glass Co., Ltd. (Zheng Wei Fa (1996) No. 15
Document) on June 11, 1996, the Company issued 100 million domestically listed foreign investment shares (B
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report shares) (the par value of each share is RMB 1). Approved by China Securities Regulatory Commission with the Approval of the Application of Shijiazhuang Baoshi Electronic Glass Co., Ltd. to Publicly Issue Shares (Zheng Jian Fa Zi (1996) No. 174 Document) on August 30 of the same year, the Company publicly issued 26.20 million shares (the par value of each share is RMB 1). As of September 17, 1996, the total share capital of the Company increased to RMB 383 million.
According to the Approval of Private Issue of Shares by Shijiazhuang Baoshi Electronic Glass Co., Ltd. (Zhen Jian Xu Ke (2012) No. 1661 Document) issued by China Securities Regulatory Commission ("CSRC"), the Company privately issued 520 million RMB ordinary shares (A shares) to specific investors at the price of RMB 9.69 per share on April 3, 2013. All investors subscribed for shares in cash. After this private issue, the registered capital of the Company was changed to RMB 903.00 million. The controlling shareholder of the company by the Shijiazhuang Baoshi Electronic Group Co., Ltd. changed to Do ngxu Group , a direct stake of14.40%, Shijiazhuang Baoshi Electronic Glass Co., Ltd. held the indirectly12.27% of the share.
The 6th Provisional shareholder meeting in 2013 approved the name change of Shijiazhuang Baoshi Electronic G lass Co., Ltd. to Dongxu Optoelectronic Technology Co., Ltd..
According to the resolution of annual shareholder meeting in 2013 and the provisions of amendments to articles of association approved on April 27, 2014, the company has transferred 20 shares for each 10 shares to all shareholders, and with total shares of 1806 million transferred ,and the registered capital is RMB2709 million after changed.
According to the resolution of annual shareholder meeting in 2013 and the provisions of amendments to articles of association approved on April 27, 2014, the company has transferred 20 shares for each 10 shares to all shareholders, and with total shares of 1806 million transferred on the basis of the general capital of 903 million on December 31, 2013. Thus, the registered capital of RMB1806 million applied to add by the company should be transferred into the share capital by the capital reserve with the reference date on May 27, 2014, and the registered capital is RMB2709 million after changed.
As per the provisions of “Restricted Stock Incentive Plan of Dongxu Optoelectronic Technology Co., Ltd. (Draft)” and its summary proposal approved after the second temporaryshareholders’ resolution in 2014, the company has implemented the stock option incentive to grant 41 people the restricted stocks of RMB3,080,000.00 with the price of RMB3.88 per share, which are all in cash subscription. Thus, the company shall increase the share capital of RMB3.08 million and the capital reserve of RMB 8,870,400.00, and the share capital is RMB2,712,080,000.00 after changed. Under the provisions of “Proposal on Repurchase of Part of Domestic Listed Foreign Shares (Share B)” approved after the second temporaryshareholders’ resolution in 2014, the company has repurchased 49,999,999.00 B shares released outside, and the repurchased shares shall be written off and the registered capital is reduced correspondingly. Thus, the company shall decrease the share capital of RMB49,999,999.00 and the capital reserve of RMB218,024,376.60, and the share capital is RMB2,662,080,001.00 after changed.
Referring to the resolutions determined on the
27th
Meeting of the
7th
Board of Directors of the company, the 31st Meeting of the
7th
Board of Directors, the
1st
General Meeting of Extraordinary Shareholders in 2015, the 38th Meeting of the
7th
Board of Directors and the Regulatory Approval No.[2015] 2270 by China Securities Regulatory Commission: Replies on Approval of Private Issuing of Stocks by Dongxu Photoelectric Technology Co., Ltd., it is approved that the company issues new shares less than 1,186,943,620 privately. The
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report planned number of privately issued stocks is less than (including) 1,186,943,620. The actual issuance number of the stock is 1,173,020,525, and the modified equity capital is 3,835,100,526.00 yuan.
According to Proposals on the Repurchase and Cancellation of Partial Restricted Shares deliberated and approved on the
43rd
Meeting of the
7th
Board of Directors of the company convened on October 29, 2015, the company plans to repurchase and cancel restricted shares. The granted but unlocked restricted shares held by left equity incentive objects sum to 100,000 at the repurchase price of 3.78 yuan/share.Other forms of lease besides financial leasing are considered as operating leasing
As of December 31, 2015, Registered capital :RMB 3,835,000,526.00, Legal representative: Li Zhaoting, Registration No. of Legal Entity Business License : 130000000001040, Registered Address: No.9, Huanghe Road, Shijiazhuang High-tech Industrial Development Area, Shijiazhuang, Hebei Province.
Dongxu Optoelectronic Parent Company is the DongxuGroup，Uitimate controller is Li Zhaoting.
In2015, 13 subsidiaries and 4 sub-subsidiaries were included in the consolidation scope by the company, see details at Note 7 “Rights and Interests in Other Subjects ”. The consolidation scope of the company increased by 6 companies year on year at this reporting period, see details at Note 6“Change of Consolidation Scope”
Financial statements and notes to the financial statements approved at the 47th meeting of the seventh Board of of Directors on February 5, 2016.
Business scope: electronic vacuum glass devices and supporting electronic components, automotive parts production and sales and after-sales services; management of the enterprise's own products export business and the business of mechanical equipment, spare parts, raw materials imports business (except the goods and technology that the country limit or prohibit to import and export), flat panel display glass substrate industry, investment, construction and operation and related technology development, technology consulting, technology services, technology transfer; hydrogen (52.23 tons / year) of production (valid until June 30, 2015 (can not operate the laws, regulations and the State Council decided to ban or restrict, ; can operate after get approval from other departments).
IV.Basis for the preparation of financial statements
1.Basis for the preparation
The financial statements of the company are prepared based on the going-concern assumption and the actual transactions anditems,，the Company prepared financial statements in accordance with the ASBE-Basic Standard and revised thereafter, Application Guidance of Accounting Standard for Business Enterprises, Interpretation of Accounting Standards for Business Enterprises and other regulations(hereinafter referred to as “the Accounting Standards for Business Enterprises”, “China Accounting Standards” or“CAS”)，Rules for Preparation Convention of Disclosure of Public Offering Companies No.15– General Regulations for Financial Reporting (revised in 2014) by China Securities Regulatory Commission.
In accordance with relevant provisions of the Accounting Standards for Business Enterprises, the Group adopted the accrual basis in accounting. Except for some financial instruments, where impairment occurred on an asset, an impairment reserve was withdrawn accordingly pursuant to relevant requirements.
2. Going-concern
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report The company has the capacity to continually operate within 12 months at least since the end of report period, andhasn’t the major issues impacting on the sustainable operation ability.
V.Principal accounting policies and accounting estimates
Principal accounting policies and accountingestimates，Specific accounting policies and accounting estimates tips:
1. Statement on complying with corporate accounting standards
The Company state: the financial statements prepared are in line with the requirements in enterprise accounting st andards in line with of system, and have truly and completely reflected of the financial status in December 31, 2015 , operational results, cash flow, and other relevant information for half year of 2015.
2.Accounting year: TheGroup’s fiscal periods include fiscal years and fiscal periods shorter than a complete fiscal year..from January 1 to December 31 as one accounting year.
3. Operating Cycle
The normal business cycle refers to the period from the assets used for processing after purchased by the company to the cash or cash equivalents achieved. 12 months are regarded as one operating cycle in the company, and which is as the division criterion for the liquidity of assets and liabilities.
4.Standard currency forbookkeeping：The Company takes RMB as the standard currency for bookkeeping. 5. Accounting treatment methods of the merger of enterprises under the control of the same company and different companies
Business combination refers to the transactions or items with one reporting entity formed by the combination of two or more separate enterprises. The business combination shall be divided into the business combination under common control and the business combination under non-common control.
(1) Business Combination under Common Control
The business combination under common control refers to the business combination in which all of the combining enterprises are ultimately controlled by the same party or parties both before and after the combination, and that control is not transitory. Of which, the combining party is that acquiring the control right to other combining enterprises at combining date, and the combining date means the date that the combining party actually acquires the control right of the combined party.
The assets and liabilities acquired by the combining party are measured in accordance with the book value of the combined party at the combining date. For the balance between the book value of net assets acquired by the combining party and the book value of the combining valuable consideration (or the nominal amount of issued shares), the capital reserves (stock premium) shall be adjusted, or the retained earnings shall be adjusted when the capital reserves (stock premium) are insufficient.
All the costs directly incurred for the business combination by the combining party shall be recorded into the current profits and losses when occurred.
（2）Business Combination under Non-common Control
The business combination under non-common control refers to the business combination in which all of the combining enterprises are not ultimately controlled by the same party or parties both before and after the combination. Of which, the acquirer is that obtaining the control right to other combining enterprises at acquisition date, and other combining enterprises refers to the acquiree. The acquisition date means the date that the acquirer actually obtains the control right of the acquiree. For the business combination under non-common control, the merger costs include the assets paid for obtaining the control right of acquiree by the acquirer, the
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report liabilities occurred or borne and the fair value of equity securities issued, the intermediary fees for audit, legal services, evaluation and consultation when the business combination issued, and other management costs shall be recorded into the current profits and losses when occurred. The transaction costs of equity securities or debt securities issued for the merger consideration by the acquirer shall be included into the initially recognized amount of the equity securities or the debt securities. The contingent consideration involved shall be recorded into the merger cost as per the fair value at the acquisition date. Within 12 months after the acquisition date, the combining business reputation should be adjusted correspondingly if the contingent consideration is required to adjust because of new or further evidence for the existed situation on the acquisition date. The merger cost issued by the acquirer and the identifiable net assets acquired in the combination are measured as per the fair value on the acquisition date. The difference of the merger cost minus the fair value shares of identifiable net assets obtained by the acquiree during the merger on the acquisition date, is recognized as the business reputation. While the merger cost is less than the fair value shares of identifiable net assets obtained by the acquiree during the merger, all the measurement on the identifiable assets, the liabilities, the fair value of liabilities and the merger cost obtained by the acquiree should firstly be rechecked, and the difference shall be recorded into the current profits and costs if the merger cost is still less than the fair value shares of identifiable net assets obtained by the acquiree during the merger after rechecking.
If the deductible temporary difference of acquiree obtained by the acquirer is not recognized due to the recognition condition of the deferred income tax assets unmet on the acquisition date. Within 12 months after the acquisition date, the relevant deferred income tax assets shall be recognized and the business reputation shall be reduced if the acquired new or further evidence shows that the relevant situation has already existed and the economic benefit gained by the acquiree from the deductible temporary difference is expected to achieve, and the differences are recognized as the current profits and losses if the business reputation is insufficient to offset. With the exception of the above, the deferred income tax assets related to the business combination are recorded into the current profits and losses.
For the business combination under non-common control realized step-by-step through multiple transactions, the multiple transactions shall be judged if belong to “the package deal” according to the “Notice on Issuance of Interpretation of Accounting Standards for Business Enterprises from Ministry of Finance” (Finance and Accounting[2012] No.19) and the judgment standards on “the package deal” in Article 51 of “Accounting Standards for Business Enterprises No.33– Consolidated Financial Statement” (please see 5 (2) in Notes 3). For the package deal, please refer to above description of this section and Notes 3, 12 “Long-term Equity Investment” to conduction the accounting treatment. For the non-package deal, the relevant accounting treatment should be respectively conducted for the individual financial statement and the consolidated financial statements:
For the individual financial statements, the sum of the book value of equity investment from the purchased party held before the purchase date and the new investment cost at the purchase date shall be as the initial investment cost of the investment. For the other comprehensive incomes involved in the equity of the acquiree held before the acquisition date, the investment and the relevant other comprehensive incomes shall be disposed through the accounting treatment on the same basis of the direct disposal of the relevant assets or liabilities by the acquiree (Namely, the rest is transferred into the current investment incomes with the exception of the corresponding shares of changes caused by the net liabilities or the net assets of the defined benefit plans re-measured by the acquiree as per the equity method).
In the consolidated financial statements, the equity of the acquiree held before the acquisition date shall be measured again as per the fair value of the equity on the acquisition date, and the difference between the fair value and the book value is recorded into the current investment income. For the other comprehensive incomes involved in the equity of the acquire held before the acquisition date, the relevant other comprehensive incomes shall be disposed through the accounting treatment on the same basis of the direct disposal of the relevant assets or liabilities by the acquire (Namely, the rest is transferred into the current investment incomes on the acquisition
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report date, with the exception of the corresponding shares of changes caused by the net liabilities or the net assets of the defined benefit plans re-measured by the acquire as per the equity method).
6. Compiling method of consolidated accounting statements
(1) Compiling method of consolidated accounting statements
The company starts to include the actual control right to the net assets and the production and management decisions of the subsidiaries into the combination scope since the date of the actual right acquired, and will stop covering into the combination scope on the date of the actual right lost. For the disposed subsidiaries, the business performance and the cash flow before the disposal date have been properly covered in the consolidated profit statement and the consolidated cash flow statement. For the subsidiaries disposed in the current period, the opening balance of the consolidated balance sheet shall not be adjusted. Meanwhile, for the subsidiaries increased through the business combination under non-common control, the business performance and the cash flow after the acquisition date have been properly included in the consolidated profit statement and the consolidated cash flow statement, and the opening balance and the comparison balance of the consolidated financial statement shall not be adjusted. For the subsidiaries increased through the business combination under common control, the business performance and the cash flow from the beginning of current combination period to the combination date have been properly included in the consolidated profit statement and the consolidated cash flow statement, and the comparison balance of the consolidated financial statement shall be adjusted simultaneously.
When the preparation of the consolidated financial statement, the necessary adjustment shall be made according to the accounting policy of the company and the financial statement of the subsidiaries during the fiscal period if the accounting policy or the fiscal period adopted by the subsidiaries and the company is discrepant. For the subsidiaries acquired through the business combination under non-common control, the financial statement shall be adjusted on the basis of the fair value of the identifiable net assets on the acquisition date.
All the major balances, transactions and the unrealized profits of the company shall be offset in the preparation of the consolidated financial statement.
Those not belong to the company in theshareholders’ equity and the current net profit or loss of the subsidiaries shall be respectively as the minority equity and the minority interest income and individually listed under theshareholders’ equity and the net profit of the consolidated financial statement. The minority equity portion from the net profit or loss in current period shall be as “minority interest income” and listed under the net profit in the consolidated financial statement. Moreover, the minority equity is still offset even if the losses of the subsidiaries undertaken by the minority shareholders are beyond the portion of theshareholders’ equity shared by the minority shareholders of the company at the beginning of period.
When the control on the original subsidiaries lost due to the disposal of partial equity investment or other reasons, the remaining equity should be measured again according to the fair value on the control lost date. The difference of the consideration acquired by the disposal of equity and the fair value of the surplus equity minus the net assets portion of the original subsidiaries calculated from the purchase date as per the original stock proportion shall be recorded into the current investment income after the control lost. Other comprehensive returns relevant to the original subsidiary shares investment shall be disposed through the accounting treatment on the same basis of the direct disposal of the relevant assets or liabilities by the acquiree when the control lost (Namely, all the rest are transferred into the current investment incomes, with the exception of the changes caused by the net liabilities or the net assets of the defined benefit plans re-measured by the original subsidiaries). Thereafter, the subsequent measurement shall be made for the rest equity according to the relevant provisions of “Accounting Standards for Business Enterprises No. 2– Long-term Equity Investment” or “Accounting Standards for Business Enterprises No. 22– Recognition and Measurement of Financial Instruments”. For the details, please see Notes 3, 12
“Long-term Equity Investment” or Notes 3, 9 “Financial Instruments”.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report For the equity investment in the subsidiary through the step-by-step disposal of multiple transactions till the control right lost, the company should respectively dispose all the transactions if belong to the package deal. As long as the terms, conditions and economic influence on all the transactions of the disposal of the equity investment in the subsidiary meet one status below, it usually shows that the multiple transactions matters should be conducted the accounting treatment as the package deal:① these transactions are made simultaneously or under the consideration of the influence each other.② these transactions shall be as the whole to achieve one complete business results.③ one transaction occurs depending on the appearance of other one transaction at least.④ one transaction is economic under the consideration with other transactions even if it is not economic when individually considerate. For the non-package deal, each transaction shall be respectively conducted the accounting treatment according to the applicable principles of “Partial Disposal of Long-term Equity Investment in Subsidiary without Control Lost” (please refer to 12, (2)④ in Notes 3,) and “The Control on Original Subsidiary Lost due to Disposal of Part of Equity Investment or Other Reasons” (details please see forepart). For the package deal from the transactions after the disposal of equity investment in the subsidiary till the control right lost, the transactions shall be as one transaction of the disposal of subsidiary and the control lost for the accounting treatment. Therefore, every balance between the net assets proportion of the subsidiary shared relative to the disposal price and the disposal investment before the control right lost, shall be recognized as other comprehensive incomes in the consolidated financial treatment and transferred into the current profits and losses when the control lost.
7.Joint venture arrangements classification and Co-operation accounting treatment
8. Recognition Standard of Cash& Cash Equivalents
The cash stated in cash flow statement refers to cash in hand and bank deposits usable for payment at any time. Cash equivalent refers to the investments with holding period of less than three months that are readily convertible to known amount of cash and subject to insignificant risk of changes in value.
9. Accounting and Translation Method of Foreign Currency Transaction
(1) Translation Method of Foreign Currency Transaction
The shot exchange rate (usually refers to the middle rate at the date of currency exchange published by thePeople’s Bank of China, hereinafter inclusive) on the transaction date is adopted to convert to the amount of functional currency when the foreign currency transaction issued in the company is initially recognized. However, the foreign currency exchanges or the transactions relative to the foreign currency exchanges occurred in the company shall be translated into the amount of functional currency as per the actually adopted exchange rate. (2) Translation Method for Monetary Items of Foreign Currency and Non-monetary Items of Foreign Currency On the balance sheet date, the monetary items of foreign currency are translated as per the shot exchange rate on the balance sheet date, and the foreign exchange conversion gap arising from which shall be recorded into the profits and losses of the current period, except for① the balance of exchange arising from special foreign currency borrowings for the purchase and construction of qualified assets subject to the principle of borrowing costs.② the exchange balance generated from other book balances in the foreign currency monetary items available for sale with the exception of the post-amortization costs shall be recorded into other comprehensive incomes.
The non-monetary items of foreign currency measured at the historical cost shall still be measured by the amount of functional currency translated at the spot exchange rate on the transaction date. The non-monetary items of
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report foreign currency measured at the fair value shall be translated at the spot exchange rate on the fair value recognized date, and the gap of the translated amount of functional currency and the original the amount of functional currency shall be as the fair value variation (change in exchange rate included) to make treatment and recorded into the current profits and losses or recognized as other comprehensive incomes.
(1) Translation Method of Foreign Currency Financial Statement
For the overseas business operation involved in the preparation of the consolidated financial statement, the exchange balance arising from the change in exchange rate for the foreign currency monetary items of the net investment in the overseas business, shall be as “translation reserve of foreign currency statement” and recognized as other comprehensive incomes. The profits and losses of the current disposal period shall be recorded when disposal of the overseas business operations.
The foreign currency financial statement of the overseas business operation shall be translated as RMB statement as per the following methods: the assets and liabilities in the balance sheet shall be translated at a spot exchange rate on the balance sheet date. For theshareholders’ equity items, other items shall be translated at a spot exchange rate when occurring, except for the “undistributed profit” items. The earnings and expenses items in the profit statement shall be translated at a spot exchange rate on the transaction date. Moreover, the undistributed profits at the beginning of this year are the profits translated at the end of last year which shall be distributed and listed all the items measurement as per the translated profits. The difference between the translated assets items and the sum of the liabilities items and theshareholders’ equity items shall be as the translation reserve of foreign currency statement and recognized as other comprehensive incomes. When disposing the overseas business operation and losing the control right, the translation reserves of foreign currency statement related to the overseas business operation which listed in theshareholders’ equity items in the balance sheet, are all recorded into the current disposal profits and losses or shifted as per the disposal proportion of the overseas business operation.
The cash flows of foreign currency and overseas subsidiary shall be translated at the spot exchange rate on the cash flow date. The influence amount of the change in exchange rate on the cash shall be individually listed and reported as the adjustment items in the cash flow statement.
The amount at the beginning of this year and the actual amount of last year shall be listed according to the translated amount of the financial statement.
If the control on the overseas business operation lost due to the disposal of partial equity investment or other reasons when disposing all theowners’ equity of the overseas business operation of the company, the translation reserves of foreign currency statement belong to theowners’ equity of the parent company related to the overseas business operation which listed in theshareholders’ equity items in the balance sheet, are all recorded into the current disposal profits and losses.
If the held equity proportion of the overseas business operation reduced due to the disposal of partial equity investment or other reasons, but the control on the overseas business operation not lost, the translation reserves of foreign currency statement related to the partial disposal of the overseas business operation shall be belong to the minority equity and not recorded into the current profits and losses. When disposing partial equity of the joint ventures or the cooperative enterprises of the overseas business operations, the translation reserves of foreign currency statement related to the overseas business operations shall be recorded into the current disposal profits and losses as per the disposal proportion of the overseas business operations.
10.Financial instruments
One financial asset or financial liability shall be recognized when the company becomes the party in the financial instrument contract. The financial assets and the financial liabilities are measured at the fair value in the initial recognition. For the financial assets and liabilities that measured at the fair values and the variation included in the
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report current profits and losses, the relative transaction expenses shall be directly recorded into the profits and losses. For the financial assets and liabilities of other categories, the expenses related to transactions are recognized as initial amount.
(1) Determination Method for the Fair Value of Financial Assets and Liabilities
The fair value refers to the price that receivable for the sale of one asset or paid for the transfer of one liability in the orderly transactions occurring on the measurement date for the market participants. If there exists the active market for the financial instrument, the company shall recognize the fair value according to the quotation in the active market which refers to the price that easy to periodically acquire from Exchanges, Commission Brokers, Guilds and Pricing Services, and stands for the price of the market transactions actually occurred in the fair dealing. For thereisn’t the active market for the financial instrument, the company shall recognize the fair value with adopting the valuation technique which includes the price used in the market transactions recently conducted by the parities with voluntary trade and under the consideration and acquainting of the situation, the current fair value in reference to other same financial instruments, the discount cash flow method and the option pricing model.
(2) Classification, Recognition and Measurement of Financial Assets
The accounting recognition and de-recognition shall be conducted at the transaction date in the conventional way for the financial assets dealing. The financial assets are divided into the financial assets, the held-to-maturity investment, the loans, the receivables and the sellable financial assets which are measured at their fair values and of which the variation are recorded into the current profits and losses when recognized initially.
① The financial assets measured at the fair value and of which the variation recorded into the current profits and losses
Including the tradable financial assets and the financial assets designated at their fair values and of which the variation is recorded into the current profits and losses.
The tradable financial assets refer to the financial assets meeting any of the following requirements: A. the purpose to acquire the financial assets is for selling in the short-term. B. forming a part of the identifiable combination of financial instruments which are managed in a centralized way and for which there are objective evidences proving that the company may manage the combination by way of short-term profit making in the near feature. C. being a derivative instrument, excluding the designated derivative instruments which are effective hedging instruments, or derivative instruments belong to financial guarantee contracts, and the derivative instruments which are connected with the equity instrument investments for which there is no quotation in the active market and whose fair value cannot be reliably measured, and which shall be settled by the delivery of the equity instruments.
The financial assets meeting any of the following requirements can be designated when they are initially recognized as financial assets measured at their fair values and of which the variation is recorded into the current profits and losses: A. the designation is able to eliminate or obviously reduce the discrepancies in the recognition or measurement of relevant gains or losses arisen from the different basis of measurement of the financial assets. B. the official written documents on risk management or investment strategies of the company have recorded that the combination of the financial assets, or the combination of the financial assets and liabilities will be managed and evaluated on the basis of the fair value and reported to the key management personnel.
The financial assets measured at their fair values and of which the variation is recorded into the current profits and losses shall be made the subsequent measurement as per the fair value, and the gains or losses formed from the variation of the fair value as well as the dividend and interest incomes related to the financial assets shall be recorded into the current profits and losses.
(2)The investments of held-to-maturity
The held-to-maturity investment refers to a non-derivative financial asset with a fixed date of maturity, a fixed or
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report determinable amount of repo price and the company holds for a definite purpose or is able to hold until its maturity.
The held-to-maturity investments shall be made the subsequent measurement on the basis of the actual interest rate and the post-amortization costs, and the gains or losses arising from de-recognition, impairment or amortization shall recorded into the current profits and losses.
The actual interest rate method is the way to calculate the post-amortization costs and the interest incomes or expenditure at each period as per the actual interest rate of the financial assets or liabilities (a group of financial assets or liabilities included). The actual interest rate means that the future cash flow of the financial assets or liabilities within the predicted term of existence or within a shorter applicable term shall be discounted as the rate used for the current book value of the financial assets or liabilities.
When calculating the actual interest rate, the company should consider all the contract terms of the financial assets or liabilities to estimate the future cash flow (without regard to the future credit loss), and take account of all the charges, transaction expenses and discounts or premium belong to the actual interest rate and paid or received between all the parties of the financial assets or liabilities contracts.
(3)Loans and Receivables
The loans and the receivables refer to a non-derivative financial asset without the quotation, a fixed or determinable amount of repo price in the active market. The financial assets divided into loans and receivables of the company shall include the bill receivable, the accounts receivable, the interest receivable, the dividends receivable and other receivables
The loans and the receivables shall be made the subsequent measurement on the basis of the actual interest rate and the post-amortization costs, and the gains or losses arising from de-recognition, impairment or amortization shall recorded into the current profits and losses.
④ The financial assets available for sale
The sellable financial assets refer to the non-derivative financial assets which are designated as sellable when they are initially recognized as well as the financial assets other than the financial assets, the loans, the receivables and the held-to-maturity investments measured at the fair value and of which the variation recorded into the current profits and losses.
The costs of the sellable liability instrument investments at the end of period shall be recognized as per the post-amortization cost method, which is the amount that the accumulated amortization amount, formed after the amortization for the initially recognized amount with the compensated capital deducted plus or minus the difference between the initially recognized amount and the amount at the maturity date with use of the actual interest rate method, with deduction of the impairment losses occurred. The costs of the sellable equity instrument investments at the end of period are the initially acquired costs.
The sellable financial assets shall be conducted the subsequent measurement at the fair value, the balance
The gains or losses arising from the change in the fair value, except that the impairment losses and the exchange balance related to the monetary financial assets of foreign currency and the post-amortization costs are recorded into the current profits and losses, shall be recognized as other comprehensive incomes, transferred out and recorded into the current profits and losses when the de-recognition of the financial assets. However, The equity instrument investment which has no quotation in the active market and whose fair value cannot be reliably measured, and the derivative financial assets which are connected with the equity instrument and required to settle by the delivery of the equity instrument shall be conducted the subsequent measurement by costs.
The interests acquired from the sellable financial assets during the holding period and the cash dividends declared to deliver by the investee shall be recognized as the investment returns.
② The financial assets impairment available for sale
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report The decline for the fair value of the sellable equity instrument investments can be judged as serious or non-transient depreciation by the relevant comprehensive factors, which shows that the sellable equity instrument investments have the impairment. Of which, the “serious depreciation” refers to the decline range of the fair value accumulatively over20%, and the “non-transient depreciation” is the decline period of the fair value continuously beyond 12 months.
When the sellable financial assets impair, the accumulated losses formed due to the depreciation of the fair value for other comprehensive incomes originally recorded shall be transferred out and recognized as the current profits and losses, and the transferred accumulative losses are the balances of the costs of the assets initially acquired with deduction of the withdrawn capitals, the amortized amount, the current fair value and the impairment losses initially recorded into profits and losses.
After the impairment losses recognized and if there are objective evidences proving that the financial assets values have resumed after the period and have objectively involved in the matters occurred after the losses recognized, the impairment losses originally recognized shall be switched back, the reverse of the impairment losses for the sellable equity instrument investments shall be recognized as other comprehensive incomes and the reverse of the impairment losses for the sellable liability instrument shall be recorded into the current profits and losses.
The equity instrument investment which has no quotation in the active market and whose fair value cannot be reliably measured, or the impairment losses of the derivative financial assets which are connected with the equity instrument and required to settle by the delivery of the equity instrument shall not be reversed.
(3) Recognition criteria and measurement methods of transferred financial assert
For financial asset that satisfies the following criteria, it shall stop recognizing the financial asset: 1) the contract rights to collect the cash flow of the financial assert has been terminated; 2) the financial assert has been transferred with nearly all of the risks and rewards related to the ownership of the financial assert transferred to transferee; 3) the financial assert has been transferred with the control to such financial asserts waived, though this enterprise has not transferred or retained nearly all the risks and rewards related to the ownership of the financial assert.
If this enterprise has neither transferred nor retained almost all the risks and rewards on the asset ownership, it shall, within the extent of its continuous involvement in the transferred financial asset and recognize the relevant liability. The term "continuous involvement in the transferred financial asset" shall refer to the risk level that this enterprise faces resulting from the change of the value of the financial asset.
If the transfer of an entire financial asset satisfies the conditions for stopping recognition, the difference between the amounts of the book value of the transferred financial asset and the sum of consideration received from the transfer, and the accumulative amount of the changes of the fair value originally recorded in the owner's equities of other comprehensive income, shall be recorded in the profits and losses of the current period.
If the transfer of partial financial asset satisfies the conditions to stop the recognition, the book value of the transferred financial asset shall, between the portion whose recognition has been stopped and the portion whose recognition has not been stopped, be apportioned according to their respective relative fair value, and the
difference between the amounts of the following 2 items shall be included into the profits and losses of the current period: 1)sum of consideration the portion whose recognition has been stopped and the accumulative amount changes in fair value originally recordedowner’s equities which is corresponding to stopped, the book value of the portion whose recognition has been stopped; 2) the book value of the portion whose recognition has been stopped.
For the financial asset sold with recourse attached, it is to transfer the financial asset held by endorsement, prior to confirmation that nearly all of the risks and rewards related to the ownership of the financial asset has been transferred to transferee. Where this enterprise has transferred nearly all of the risks and rewards related to
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report the ownership of the financial asset to the transferee, it shall stop recognizing the financial asset. If it retained nearly all of the risks and rewards related to the ownership of the financial asset, it shall not stop recognizing the financial asset. Where this enterprise does not transfer or retain nearly all of the risks and rewards related to the ownership of a financial asset, it shall deal with it according to principles stipulated above.
(4)Classification and Measurement of Financial Liability
Financial liabilities shall be classified into the two categories when they are initially recognized: the financial liabilities which are measured at their fair values and of which the variation is included in the current profits and losses; other financial liabilities. For the financial liabilities which are measured at their fair values and of which the variation is included in the current profits and losses, the related transaction cost shall be included directly in the current profits and losses; for other financial liabilities, the related transaction cost included in the initially recognized amount.
1) The condition for classifying the financial liabilities which are measured at their fair values and of which the variation is included in the current profits and losses
as transactional financial liabilities and the financial liabilities which are measured at their fair values at initial recognition and of which the variation is included in the current profits and losses is the same as these for classifying it as the transaction financial asset and the financial asset which are measured at their fair values and of which the variation is included in the current profits and losses.
This enterprise shall make subsequent measurement on its financial liabilities according to their fair values. The profits and losses, arising from the change in the fair value of the financial asset, and the dividends and interests expenses associated with the financial asset, shall be recorded into the profits and losses of the current period.
2) Other Financial Liability
And are not quoted in an active market,for which there is no quoted price in the active market and whose fair value cannot be reliably measured, this enterprise shall make subsequent measurement according to its cost. For other financial liabilities, this enterprise shall make subsequent measurement on the basis of the post-amortization costs by adopting the actual interest rate method, with profits or losses resulting from stopping recognition or amortization recorded into the profits and losses of the current period.
(5) Termination from Recognition of Financial Liability
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. Where this enterprise (debtor) enters into an agreement with a creditor so as to substitute the existing financial liabilities by way of any new financial liability, and if the contractual stipulations regarding the new financial liability is substantially different from that regarding the existing financial liability, it shall terminate the recognition of the existing financial liability, and shall at the same time recognize the new financial liability.
Where the recognition of a financial liability is totally or partially terminated, this enterprise shall include into the profits and losses of the current period the gap between the carrying amount which has been terminated from recognition and the considerations it has paid (including the non-cash assets it has transferred out and the new financial liabilities it has assumed).
(6) Offset of Financial Asset and Financial Liability
Where this enterprise has the legal right to offset its recognized financial asset and financial liability, and it is able to perform this legal right, and if it plans to settle with the net amount of and cash the financial asset and liquidate the financial liability, it shall itemize and show in the balance sheet the amounts after the financial asset and the financial liability offset each other. For any other circumstances, the financial asset and financial liability shall not offset each other, and shall be itemized and shown separately in the balance sheet
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report (7) Equity Instruments
The "equity instruments" refers to the contracts which can prove that this enterprise holds the surplus equities of the assets after the deduction of all the debts. This enterprise deal the equity instruments issued (including refinancing), repurchased, sold or cancelled as changes of equity. It shall not recognize the changes of fair value of equity instruments. The transaction expenses associated with equity transactions shall be deducted from the equity.
This enterprise shall deduct the shareholders' equity for various kinds of distributions (not including stock dividends) to the holders of equity instruments. It shall not recognize the amount of changes in the fair value of equity instruments.
11.Account receivable
（1）Provision for bad debts of account receivable that are individually significant
|||
|-|-|
|The judgment basis for significant single-item amount or|The accounts receivable with single-item amount of RMB 5|
|standard for significant amount|million and above|
||Impairment test shall be separately conducted. If the test proves|
||the occurrence of impairment, impairment loss shall be|
||determined and provision for bad debts shall be made according|
||to the difference between the present value of its future cash flow|
||and its book value. For the accounts receivable whose|
|The method of separate provision for bad debts for the accounts|impairment is not proved by separate test, such accounts|
|receivable with significant single-item amount|receivable, together with those with insignificant single-item|
||amount, are divided into some groups based on similar|
||characteristics of credit risks. For these groups of accounts|
||receivable, provision for bad debts shall be made according to|
||the regulation mentioned in "(2) provision for bad debts shall be|
||made for accounts receivable on group basis".|

(2)The accounts receivable of bad debt provisions made by credit risk Group
|||
|-|-|
|Name|Withdrawing Method|
|Aging Group|Aging Analysis Method|
|Other Group|Other method|

In Group ,Accounts on age basis in theportfolio：
√ Applicable□ Not applicable
||||
|-|-|-|
|Aging|||
||Rate for receivables(%)|Rate for other receivables(%)|
|During the credit period|||
|The credit period within 1 year|5.00%|5.00%|
|1－2 years|10.00%|10.00%|
|2－3 years|30.00%|30.00%|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|3－4 years|50.00%|50.00%|
|4－5 years|70.00%|70.00%|
|Over 5 years|100.00%|100.00%|

 In Group, adopting balance percentage method for bad debtprovision：
□ Applicable√ Not applicable
In Group ,adopting other method for bad debtprovision：
□ Applicable√ Not applicable
(3) Accounts receivable that are individually insignificant but with bad debt provision provided on an
individual basis
|||
|-|-|
||The accounts receivable with single-item amount of less than|
|Reason for separate provision for bad debts|RMB 5 million whose risk characteristics can’t be reflected by|
||provision for bad debts on basis of group.|
||Provision for bad debts is made according to the difference|
|Method of provision for bad debts|between the present value of its future cash flow and its book|
||value.|

12. Inventories
(1)Classification of Inventories
This enterprise's inventories is classified as raw materials, works in process, finished products, circulation materials, low-value consumption goods, packing materials, supplies purchasing, engineering construction, development cost,etc.
(2) Obtaining and Measurement of Inventories
The perpetual inventory systems are adopted for this enterprise's inventories. The inventories shall be measured by their actual cost when they are obtained. Raw materials, works in process, finished products, etc. shall be measured with the weighted average method when they are being sent out. Low-value consumption goods shall be written off by one-off write-off method when they are withdrawn for use. Circulation packaging materials shall be recorded into cost according to the predicted usage times.
(3) Methods to make provision for loss on decline in value of inventories
If the cost of inventories is higher than the net realizable value at the end of each period, this enterprise shall make the provision for the loss on decline in value of inventories. This enterprise makes provision for the loss on decline in value of inventories on the ground of each item of inventories. If the factors causing any write-down of the inventories have disappeared, the amount of write-down shall be resumed and be reversed from the provision for the loss on decline in value of inventories that has been made.
(4) Method for confirming the net realizable value of inventories
The net realizable value of inventories refers to the amount of the estimated selling price, less the estimated costs of completion, the estimated selling costs and related tax payments.
(5) Cost of Development
Cost of development includes completed development product, development product under construction,
leasing development product and simulated development land.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report Completed development product means the estate which has been built and up for sale; Development product under construction means the estate whichhasn’t been built and in the purpose of sale; Leasing development product means the estate which is temporarily leased under business mode for which thecompany’s intents to sell, which the leasing development product amortizes by stages within the estimated available years; Simulated development land means the land which has been purchased and determined to be developed as Sales or Leasing Estate.
13.Held-for-sale assets
14. Long-term Equity Investment
The long-term equity investment in this section refers to the long-term equity investment of this enterprise that is able to control to or does joint control with or significant influences over the invested enterprise. For the long-term equity investment of this enterprise that is not able to control to or does not do joint control with or have significant influences over the invested enterprise, this enterprise shall record it as available-for-sale financial asset or the financial asset measured by its fair value with its changes in fair value recorded into the profits or losses of current period as the changes. For details of its accounting policy, please refer to Note III.9 "Financing Instruments"
The term "joint control" refers to the joint control over an arrangement of this enterprise in accordance with the contracts and agreements, and decisions over relevant activity of such arrangement shall not be unless the assent on sharing the control power. The term "significant influences" refers to this enterprise's power to participate in making decisions on the financial and operating policies of the invested enterprise, but not to control or do joint control together with other parties over the formulation of these policies.
(1)Ascertaining of Investment Cost
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 cost of the long-term equity investment. The difference between the initial cost of the long-term equity investment and the payment in cash, no-cash assets transferred as well as the book value of the debts borne by the merging party shall offset against the capital reverse. If the capital reserve is insufficient to dilute, the retained earnings shall be adjusted. If the consideration of the merging enterprise is that it issues equity securities, it shall, on the date of merger, regard the share of book value of theowner’s equity of the merged enterprise as the initial cost of the long-term equity investment. The total face value of the stocks issued shall be regarded as the capital stock, while the difference between the initial cost of the long-term equity investment and total face value of the shares issued shall offset against the capital reserve. If the capital reserve is insufficient to dilute, the retained earnings shall be adjusted. For the merger of enterprises under the same control through gaining the shares of the combined enterprise by multiple steps of deals, it shall deal with it in the following two ways depending on that if it belongs to "a package deal": if it belongs to "a package deal", it shall deal with all the deals as one obtaining the control power; if it does not belong to "a package deal", it shall, on the date of merger, regard the share of book value of theowner’s equity of the merged enterprise as the initial cost of the long-term equity investment. The total face value of the stocks issued shall be regarded as the capital stock, while the difference between the initial cost of the long-term equity investment and total face value of the shares issued shall offset against the capital reserve. If the capital reserve is insufficient to dilute, the retained earnings shall be adjusted. The equity investment held by this enterprise before the date of merger shall be accounted for by equity method, or shall be recorded as the other comprehensive income recognized as available-for-sale financial asset and not accounted for.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report For the merger of enterprises not 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 cost of the long-term equity investment. The merger costs include the assets paid, liabilities occurred or borne and sum of the fair value of the equity securities issued by the purchaser. For the merger of enterprises not under the same control through gaining the shares of the combined enterprise by multiple steps of deals, it shall deal with it in the following two ways depending on that if it belongs to "a package deal": if it belongs to "a package deal", it shall deal with all the deals as one obtaining the control power; if it does not belong to "a package deal", it shall, on the date of merger, regard the sum of book value of theowner’s original equity of the merged enterprise and the newly increased investment cost as the initial cost of the long-term equity investment. For the shares originally held by this enterprise
accounted for by weighted equity method, the relevant other comprehensive income shall not be accounted for temporarily. For the equity investment accounted for as available-for-sale financial asset, the difference of its fair value and its face value and the accumulated changes in its fair value originally recorded as other comprehensive income shall be switched to the profits or losses of the current period.
The audit cost, law service cost, evaluation and consultation fees and agent commissions as well as other related administration costs occurred and borne by the merging or purchasing enterprise for the purpose of merger, shall be recorded into the profits or losses of current period at the time when the costs occurred.
Other equity investments except the long-term equity investment formed by merger of enterprises shall be initially ascertained by their costs which, depending on the different ways in acquiring the long-term equity investments, shall be recognized separately as cash purchasing prices actually paid by this enterprise, fair value of the equity securities issued by this enterprise, agreed value of the investment contracts or agreements, fair value or original book value of the assets obtained by exchange of no-monetary assets, the fair value of the long-term equity investment itself, etc. The relevant expenses, tax payments as well as other necessary expenses directly associated with obtaining the long-term equity investment shall be recorded into the investment costs as well. If this enterprise is able to do joint control or significant influence, which does not constitute control, over the invested entity as a result of additional investment, the long-term equity investment cost shall be the sum of the fair value of the equity investment ascertained in accordance with the Accounting Standards for Enterprises No. 22 - Recognition and Measurement of Financial Instrument and the cost of the increased investment.
(2) Subsequent Measurement and Recognition Method
A long-term equity investment of this enterprise that does joint control (not including joint venture) or significant influences over the invested entity shall be measured by employing the equity method. Besides, the cost method is employed in this enterprise's financial reports to measure the long-term equity investment that could form control over the invested entity.
(1)Long-term equity investment measured by employing the cost method
The price of a long-term equity investment measured by employing the cost method shall be included at its initial investment cost. If there are additional investments, the cost of the long-term equity investment shall be adjusted. Except the prices actually paid when obtaining the investment or cash dividends or profits being approved in the consideration but not yet issued, the investment income of the current period shall be recognized in accordance with the cash dividends or profits being approved by the invested entity.
(2)Long-term equity investment measured by employing the equity method
If the initial cost of a long-term equity investment is more than the investing enterprise's attributable share of the fair value of the invested entity's identifiable net assets for the investment, the initial cost of the long-term equity investment may not be adjusted. If the initial cost of a long-term equity investment is less than the investing enterprise's attributable share of the fair value of the invested entity's identifiable net assets for the investment, the difference shall be included in the current profits and losses and the cost of long-term equity investment shall be adjusted simultaneously.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report When employing the equity method, this enterprise shall, in accordance with the attributable share of the net profits or losses of the invested entity, recognize the investment profits or losses and adjust the book value of the long-term equity investment. This enterprise shall, in the light of the profits or cash dividends declared to
distribute by the invested entity, calculate the proportion it shall obtain, and shall reduce the book value of the long-term equity investment correspondingly. 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 included in the capital reserves. This 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 share 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 this enterprise, an adjustment shall be made to the financial statements of the invested entity in accordance with the accounting policies and accounting periods of this enterprise and recognize the investment profits or losses and other comprehensive incomes. For the transactions between this enterprise and its joint ventures and associated entities, where the assets invested or sold do not constitute a business, the unrealized internal transaction profits or losses shall be calculated in accordance with proportion shared, with the proportion shared by this enterprise offset and recognize the investment profits or losses based thereof. However, if losses occurred in the internal transaction between the invested entities is the impairment loss of transferred assets, they shall not be offset. When the assets invested by this enterprise to its joint ventures or associated entities constitute a business, and the investing party obtains long-term equity but without control power, the fair value of the invested business shall be recognized as the initial investment cost of the additional long-term equity investment. The total difference between the original investment cost and the book face of the invested business shall be recorded into the profits or losses of the current period. If the assets
purchased from the joint ventures or associated entities constitute a business, this enterprise shall account for the business in accordance with this enterprise Accounting Standard No. 20 - Business Combinations, with the total profits or losses associated with the transaction recognized.
The Company bears the net losses of its invested business to the limit of the book value of its long-term equity investment and other long-term equity that in real terms constitutes investment on the business. For additional loss of its invested business, if the Company is obligated to undertake, it shall be recognized as estimated liabilities accordingly and recorded in current investment losses. If the invested business earns profits afterwards, the Company shall reinstate and recognize its share of gains after compensating its unrecognized share of losses.③Purchase of minority interest
While compiling consolidated financial statements, the Company adjusts its capital reserve in terms of the difference between the increase of long-term equity investments due to purchase of minority interest and its share of thesubsidiaries’ net assets since the purchase (or combination) date or dates. If its capital reserve is not sufficient to write down the difference, then the Company adjusts its retained income.
④Disposal of long-term equity investments
In consolidated financial statements, the Company records inshareholders’ equity the difference between partial disposals of its long-term equity investments in its subsidiaries and its share of thesubsidiaries’ net assets if it does not lose control of the subsidiaries; and if such partial disposals result in loss of its control of the subsidiaries, the difference shall be treated in accordance with the accounting policies related and specified in “Compiling Principles for Consolidated Financial Statements”, Note III.6.(2).
For disposals of long-term equity investments under other circumstances, the difference between the book value and the actual received consideration is recorded in current profit and loss.
For the long-term equity investments calculated by equity method, the same method applies to the remaining equity after disposal. Meanwhile, the other comprehensive gains originally recorded inshareholders’ equity is treated pro rata by the same method how the invested businesses handle the accounts while directly disposing the
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report related assets or liabilities. The investor recognizes the ownership interest due to equity changes except net profit and loss, other comprehensive gains and profit distribution, and carries it over pro rata to current profit and loss. For long-term equity investments calculated by costs method, the same method applies to the remaining equity after disposal. Other comprehensive gains calculated and recognized by equity method or recognition and measurement principles for financial instruments before the Company obtains control of the invested businesses are treated on the same basis that the invested businesses directly dispose the related assets or liabilities, and it will be carried over pro rata to current profit and loss; and among the investedbusinesses’ net assets that are calculated and recognized by equity method are all other equity changes than net profit and loss, other
comprehensive gains and profit distribution carried over pro rata to current profit and loss.
For disposals of long-term investment equity resulting in loss of control over the invested businesses, when compiling individual financial statements, the Company changes to adopt equity method to calculate the
remaining equity that is still sufficient to exert joint control or significant influence, and to make adjustments as since it was acquired; and if the remaining equity is not sufficient, it will be handled in accordance with the relevant recognition and measurement principles for financial instruments and the difference between its fair value and book value will be recorded in current profit and loss since the Company loses control of the invested businesses. For other comprehensive gains recognized by equity method or recognition and measurement
principles for financial instruments before the Company obtains control over the invested businesses, the
Company adopts the same basis to handle the accounts as the invested businesses directly dispose the related assets or liabilities, and among the investedbusinesses’ net assets that are calculated and recognized by equity method are all other equity changes than net profit and loss, other comprehensive gains and profit distribution carried over pro rata to current profit and loss. For the remaining equity calculated by equity method, other comprehensive gains and other ownership interests will be carried over pro rata while for those treated in
accordance with the recognition and measurement principles for financial instruments, other comprehensive gains and other ownership interests will be carrier over entirely.
Under the circumstances that the Company loses joint control over or has no significant influence on the invested businesses due to partial equity disposal, the remaining equity changes to be calculated in accordance with the recognition and measurement principles for financial instruments, and the difference between its fare value on the date that the Company loses the joint control and significant influence and the book value is recorded in current profit and loss. For other comprehensive gains recognized due to calculation of the original equity investments by equity method, the Company adopts the equity method no longer but the same basis to handle the accounts as the invested businesses directly dispose the related assets or liabilities while carrying over to current profit and loss all the ownership interest recognized due to other equity changes than net profit and loss, other comprehensive gains and profit distribution.
If the Company gradually loses control of a subsidiary through multiple transactions, which is a package deal as a whole, then all these transactions will be treated as control losing equity disposal, and before loss of control, the difference between each transaction consideration and the book value of the corresponding long-term equity investment is recognized as other comprehensive gains and in the end, carried over to current profit and loss upon loss of control.
15. Investment real estate
The measurement mode of investment property
The measurement by the cost method
Depreciation or amortization method
Investment real estate refers to the properties held for the purpose of generating rent and/or capital appreciation.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report Thecompany’s investment real estate includes the land use right rented and the constructions leased.
The Company makes initial measurement at the costs that the properties is acquired and records as part of the property costs the subsequent expenses that could bring economic benefit inflows and be measured reliably while other subsequent expenses as part of current profit and loss. Such properties are depreciated or amortized in accordance with the relevant regulations for fixed assets or intangible assets.
16. Fixed assets
(1) Recognition criteria of fixed assets1
Fixed assets refer to tangible assets that are held for production, services, leases or operations and the useful life of which are over one accounting year. Fixed assets are recognized if it produces economic benefit inflows and its costs can be measured reliably. The Company makes initial measurements on fixed assets at the costs that they are acquired.
（2）Depreciation method
||||||
|-|-|-|-|-|
|||Estimated useful|||
||||Estimated residual value||
|Type|Detail|||Depreciation rate(%)|
||||rate||
|||Life|||
|||Over the period of title|||
|||(the period specified on|||
|||the real estate title|||
|House and Building|Straight-line method|certificate or land use|5%|3.17%|
|||right certificate) or 30|||
|||years in case of no period|||
|||of title|||
|Machinery equipment-|||||
||Straight-line method|5|5%|19%|
|Kiln|||||
|Machinery equipment-|||||
||Straight-line method|3|95.50%|1.5%|
|Platinum passage|||||
|Machinery equipment-|||||
|Glass flat-panel and other|Straight-line method|15|5%|6.33%|
|equipment|||||
|Machinery equipment-|||||
|Other Production|Straight-line method|10|5%|9.5%|
|equipment|||||
|Transportation|||||
||Straight-line method|5|5%|19%|
|equipment|||||
|Other equipment|Straight-line method|5|5%|19%|

（3）Cognizance evidence and pricing method of financial leasing fixed assets
Fixed assets from finance lease are depreciated during the useful life if it is reasonable to determine that the
ownership could be obtained upon lease expiration; otherwise, the Company chooses the shorter of the lease
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report period and the remaining useful life to depreciate the assets.
17.Projects under construction
The costs of construction in progress include all necessary project expenditures, the borrowing expenses that should be capitalized before the works reaches the expected usable status and other relevant expenses.
Construction in progress changes to fixed assets when it reaches the expected usable status.
18. Borrowing expenses
Borrowing expenses include interest, amortization of discount or premium, auxiliary expenses, translation differences arising from borrowings in foreign currency etc. The Company starts to capitalize the borrowing expenses in direct connection to purchase, construction or production of the assets that meet capitalization conditions when there are assets expenditures and borrowing expenses incurred and/or the Company starts all the necessary events to purchase, construct or produce such assets till the assets can be used and sold. Other borrowing expenses are recognized as costs when incurred.
The Company capitalizes the actual interest expense incurred by use of special borrowings, minus the interest income from the remaining borrowing funds in bank or any investment income earned from the interim investment of those borrowings; and for general borrowings, the amount to capitalize is the weighted average of the accumulated assets expenditures in exceed of the special borrowings times the capitalization rate of the used general borrowings, which is determined by the weighted average interest rate of the general borrowings.
During capitalization, all translation differences of special borrowings in foreign currency should be capitalized while those of general borrowings in foreign currency are recorded in current profit and loss.
The assets to capitalize are fixed assets, investment properties, inventories etc., which can be used or sold after a certain period of time to purchase, construct or produce.
The Company stops capitalization of borrowing costs if an abnormal interruption more than 3 consecutive months occurs during purchase, construction or production of the assets that are eligible to capitalization till all those restart.
If general borrowings are used to purchase, construct or produce the capitalization eligible assets, the borrowing cost to capitalize is the weighted average of the accumulated assets expenditures in exceed of the special borrowings times the capitalization rate of the used general borrowings, which is determined by the weighted average interest rate of the general borrowings.
19.Biological assets
20.Oil& Gas Assets
21.Intangible assets
1. Valuation Method, Service Life and Impairment Test of Intangible Assets
(1) Valuation method, service life and impairment test
The Company makes initial measurements on intangible assets in terms of the costs and determines the useful life when obtaining the assets. For intangible assets of a limited useful life, from the time the assets are available for use, the Company adopts the amortization method that reflects realization of the expected economic benefits, or the straight-line amortization method if unable reliably to determine how to realize the expected economic
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report benefits; and no amortization are made for intangible assets of an unlimited useful life.
At the end of each year, the Company reviews the useful life and amortization methods of intangible assets of a limited useful life and makes adjustments and accounting treatment if different from the previous estimates. For the intangible assets that are estimated to produce no more economic benefits in the future, the Company records the book value of such assets all in current profit and loss.
2. Accounting Policy of Internal Research and Development Expenditure
The expenditures for internal research and development projects of an enterprise shall be classified into research expenditures and development expenditures.
The research expenditures shall be recorded into the profit or loss for the current period.
Development expenses can only be capitalized when the following conditions are satisfied: the technology is feasible for use or sales; there is the intention to use or sell the intangible assets; it can be proven that the product generated by the intangible assets is demanded or the intangible assets in demanded; if the intangible is used internally, it can be proven that it is useful; with necessary technical and financial resources and other resources to complete the development of the intangible assets and the intangible assets can be used or sold; the development expense can be reliably measured. If not, the development expense is accounted into the current gain/loss account. If a research project meets the above-mentioned conditions and passes the technical and economic feasibility study, the project will enter the development stage.
22. Impairment of the long-term assets
On balance sheet dates, the Company determines whether there are impairments occurring to fixed assets, construction in progress, intangible assets of a limited life, investment properties measured in the cost model as well as non-current and non-financial assets like the long-term equity investments on subsidiaries, joint ventures and associated companies. If impaired, the Company estimates the retrievable amount and conducts an
impairment test. Impairment tests need to be done on goodwill, intangible assets of an unlimited life and the intangible assets that are not yet to reach the usable status, no matter they are impaired or not.
If the impairment test result shows the retrievable amount lower than the book value, impairment provisions will be set aside and recorded in impairment loss. The retrievable amount is the fair value of the assets minus the disposal expenses or the present value of the estimated future cash flows of the assets, whichever is higher. The fair value of the assets is determined in terms of the price specified in the selling agreement that is fair trade; if no selling agreement but there is an active assets market existing, it is determined in terms of thebuyer’s offer; and if no selling agreement and active assets market, the fair value can be estimated based on the best available
information. Disposal expenses include all related legal charges, taxes, delivery fees or the direct expenses incurred to have the assets reach the usable or sellable status. To determine the present value of the estimated future cash flows from the assets, the Company chooses an appropriate discount rate in the light of the continual usage of the assets and the estimated future cash flows occurring upon final disposal. Impairment provisions of the assets are calculated and recognized on the basis of individual assets. If unable to estimate the retrievable amount of individual assets, the Company determines the amount by reference to the asset group that includes the individual assets. Asset groups are the minimum assets combination that independently produces cash inflows. For the goodwill separately listed in financial statements, while an impairment test being conducted, the book value is apportioned to the asset groups or combination of asset groups expected to benefit from the synergy effects arising from business combinations. The Company recognizes impairment losses when the test result shows that the retrievable amount of the asset groups or combination of asset groups is lower than their book values. The impairment loss will be first used to write down the book values of the asset groups or combination of asset groups and then those of other assets pro rata.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report Once the aforesaid impairment losses are recognized, they cannot be reinstated in the future.
23.Long-term amortizable expenses
Long-term unamortized expenses are valued at the actual costs and amortized at average in an estimated beneficial period of time. If those cannot benefit the Company in future accounting periods, the remaining will be recorded all in current profit and loss.
24. Remuneration
(1) Accounting methods for short-term compensation
Employee remuneration refers to all kinds of rewards or compensations given in return foremployees’ services or employment termination. It includes short-term compensation, post-employment benefits, demission benefits and other long-term employee benefits as well as the benefits the Company provides toemployees’ spouses, children, dependents, deceasedemployees’ family and other beneficiaries.
The Company classifies into short-term compensation the employee remuneration that needs to be paid off entirely in the twelve months following the reporting year the employees have provided their services, which excludes those given for employment termination. Short-term compensation includes payroll, bonus, allowances and subsidies, employee welfare, social security expenses including medical insurance, injury insurance and birth insurance, housing fund, labor union and employee training expenditures, short-term paid leaves, short-term profit share plans, non-monetary benefits and other short-term rewards. It recognizes as liabilities the actual short-term compensation incurred during the accounting period that the employees provide their services and records in current profit and loss or the relevant asset costs. Non-monetary benefits are measured at the fair value.
(2) Accounting methods for post-employment benefits
Post-employment benefits are mainly defined contribution plans, which include basic pension, unemployment insurance etc. The corresponding contributions are recorded in the relevant asset costs or current profit and loss when incurred.
(3) Accounting methods for demission benefits
Demission benefits are the compensations paid to terminate employment before expiration or encourage employees to accept lay-off.
(4) Accounting methods for other long-term employee benefits
Other long-term employee benefits are all other employee compensations than short-term compensation, post-employment benefits and demission benefits. They are long-term paid leaves, long-term benefits for the disabled, long-term profit sharing plans etc.
25. Estimated Liabilities
The Company recognizes as estimated liabilities the obligations that meet the following conditions:
A. Current obligations being undertaken by the Company;
B. Fulfillment of the obligations that lead to cash flow out of the Company;
C. The amount of the obligations that can be measured reliably.
If it is expected that a third party can compensate for all or partial expenditures to pay off the recognized
estimated liabilities, the compensation can be recognized separately as assets only when the Company is sure to
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report receive it. The amount to recognize cannot exceed the book value of the recognized liabilities.
26. Share-based Payment
(1) Types of Share-based Payment
It is divided into equity-settled share-based payment and cash-settled share-based payment.
(2) Recognition of EquityInstruments’ Fair Value
For the granted equity instruments that there is an active market for, e.g. options, the Company determines the fair value by reference to the quotation prevailing in the active market. For those that there is no active market for, the options pricing model is adopted to determine the fair value.
(3) Recognition Basis for Best Estimates on Exercisable Equity Instruments
On each balance sheet date during the vesting period, the Company makes best estimates based on the latest number changes of its employees and adjusts the quantity of estimated exercisable equity. The final quantity of estimated exercisable equity instruments should be consistent with that of the actual ones on vesting dates. 27.Other financial instruments including senior shares and perpetual bonds
28.Revenues
Income, is an enterprise formed in daily activities, will lead to an increase in shareholders' equity, the total inflow of capital has nothing to do with the economic interests of the owner of investment. The company involved in inco me, including revenue from selling goods, income of labor ,transferring assets use right and real estate
development income..
（1）Recognition time for sales of goods
After transferring the significant risks and compensation of the merchandise ownership to the buyer, the Company no longer holds the rights to manage and have control over the merchandise, and recognizes the revenue if the economic benefits arising from the related transactions can flow into the Company and all the costs and revenues related to such product sales can be measured reliably.
(2) Services
Service transaction can be estimated reliably, meaning the following conditions are satisfied: amount of revenue c an be measured reliably; the relevant economic benefits are likely to flow into the enterprise; completion of the tra nsaction can be measured reliably; transactions that have occurred and will occur costs can be reliably measured For the services that start and end during the same accounting year, the revenue shall be recognized upon completion; if the services end in a different accounting year and the service transaction results can be measured reliably, the Company adopts the completion percentage method to recognize the revenue on balance sheet dates; if not measurable reliably, the Company recognizes the revenue at the amount of the service costs that are incurred and can be compensated expectedly; otherwise, the service costs incurred are recognized as current expenses. The Company adopts the following methods to determine the completion progress of service transactions:① measurement of the completed jobs;②the proportion of the completed services to all;③the proportion of the costs incurred to the total.
The company provides services at the balance sheet date, the transaction can not be reliably estimated, it shall be t
reated as follows: the costs incurred are expected to be compensated, according to the amount of labor costs that h
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report ave occurred service revenue is recognized, and the same amount knot turn labor costs; the costs incurred are not e xpected to be compensated, labor costs should be recognized in profit or loss has occurred, no service revenue is r ecognized.
Contract or agreement entered into with other companies, including the sale of goods when providing services, the sale of goods and rendering of services can be measured in part to distinguish and separate, should be part of the s ale of goods as sale of goods, the provision of services and as part of the provision of services deal with. Sales of goods and rendering of services can not be distinguished, or can be distinguished but can not be measured separat ely, should be part of the sale of goods and provision of services as part of the total sales of goods.
(3) Use Rights of Assets on Alienation
Transfer of right to Use Rights of Assets on Alienation consists of interest income, fee income etc.
If the related economic benefits can flow into the Company and the revenue can be measured reliably, the amount of usage revenue will be calculated and determined according to the payment time and terms of the related contract or agreement.
(4) Construction Contracts
A construction contract is a contract for the construction of one or more of the assets in terms of design, technolog y and features, end-use and other closely related and approved.
Construction contracts are divided into fixed price contracts and cost-plus contracts.
A fixed price contract is to determine the price of a construction contract works in accordance with a fixed price o r fixed unit price contract.
Cost-plus contracts, refers to the contract or otherwise agreed cost basis, plus the cost of a fixed fee or a percentag e of the project to determine the price of a construction contract.
At the balance sheet date, shall be multiplied by the total contract revenue before completion less the cumulative a mount of revenue recognized after the accounting period, recognized as the current contract revenue; at the same t ime, according to the contract multiplied by the estimated total cost of completion less accumulated previous acco unting period after the amount recognized as an expense is recognized as current contract costs.
Current period complete a construction contract, the contract shall be in accordance with the actual total income b efore deducting the cumulative amount of revenue recognized after the accounting period, recognized as the curre nt contract revenue; at the same time, according to the contract costs incurred for the deductible costs previously a ccumulated recognized after the accounting period recognized as current contract costs.
If the results cannot be measured reliably but the costs can be retrieved, the revenue will be recognized at the retrievable amount of the actual construction contract costs and the costs treated as expenses when incurred; if not retrievable, the costs will also be treated as expenses and no revenue will be recognized.
（5）Income of Real Estate Development
Thecompany’s real estate development products can confirm the income when meeting the follow conditions: Both the buyer and seller sign the sales contract and the contract has been recorded ; Products of real estate development have been completed and have passed the acceptance; The company receives all of theclient’s. 29.Governmental subsidy
(1)Basis and accounting methods for assets related government subsidies
The government grants of monetary assets shall be measured in accordance with the received or receivable amount. Of which, the grants can be measured at the receivable amount if there exists exact evidence to prove they are allocated according to the fixed quota standard, otherwise they shall be measured at the amount actually received. The government grants of non-monetary assets shall be measured at the fair value. If the fair value
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report cannot be reliably obtained, it shall be measured according to the nominal amount of RMB 1. The government grants related to assets are recognized as the deferred incomes, which are equally distributed within the service life of related assets and account into the current profit or loss.
(2). Accounting Method
The government grants related to incomes shall be accounted into the current profit or loss if they are used to compensate for the correlative expenses or losses occurred, and shall be recognized as the deferred income and accounted into the current profit or loss during the expense confirmation period if they are used to compensate for the correlative expenses or losses occurred in the subsequent period. The government grants measured at the nominal amount shall be directly accounted into the current profit or loss. 30. Deferred income tax assets/Deferred income tax liability
The balance between the book value and the tax basis of some items of assets and liabilities, as well as the temporary differences issued as the balance between the book value and the tax basis of the tax basis items that unrecognized as assets and liabilities but can be determined as per the provisions of tax law, which shall be determined as the deferred income tax assets and the deferred income tax liabilities in accordance with the balance sheet debt law.
Taxable temporary differences related to the initial recognition of goodwill, as well as the initial recognition of an asset or liability in a transaction that neither belongs to a business consolidation, nor affects the accounting profit and taxable income (or deductible loss) when it happens, the relevant deferred income tax liabilities shall not be recognized. In addition, as for taxable temporary differences associated with investments in subsidiaries, associates and joint ventures, if the Company could control the reverse time of such differences and such differences cannot be reversed in the foreseeable future, the relevant deferred income tax liabilities also shall not be recognized. Apart from the above-mentioned exceptional cases, the Company recognizes all other deferred income tax liabilities caused by taxable temporary differences.
Deductible temporary differences related to the initial recognition of an asset or liability in a transaction that neither belongs to a business consolidation, nor affects the accounting profit and taxable income (or deductible loss) when it happens, the relevant deferred income tax assets shall not be recognized. In addition, as for deductible temporary differences associated with investments in subsidiaries, associates and joint ventures, if such differences cannot be reversed in the foreseeable future or are not likely to obtain the taxable income to deduct the deductible temporary differences of the taxable income, the relevant deferred income tax liabilities shall not be recognized. Apart from the above-mentioned exceptional cases, the Company recognizes other deferred income tax liabilities caused by deductible temporary differences within the limit of likely obtained taxable income that can be used to deduct the deductible temporary differences of the taxable income.
The corresponding deferred tax assets of deductible loss and tax reduction that can be carried forward during subsequent years shall be recognized within the limit of likely obtained future taxable income that can be used to deduct the deductible loss and tax reduction.
As per the provisions of tax law, the deferred income tax assets and deferred income tax liabilities shall be measured at the applicable tax rates used during the period of expectation recovery of relevant assets or pay-off relevant liabilities at the balance sheet date.
The book value of the deferred income tax assets shall be re-checked at the balance sheet date. The book value of the deferred income tax assets shall be written-down if it is unlikely to obtain sufficient taxable income in the future to deduct the benefit of the deferred tax assets and the written-down amount shall be carried forward if it is likely to obtain sufficient taxable income.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report 31.Operational leasing
（1）Accounting of operational leasing
The Company will transfer substantially all the risks and rewards of ownership of an asset lease is recognized as a finance lease.Other forms of lease besides financial leasing are considered as operating leasing.
Lease payments under an operating lease shall be accounted into the relevant asset cost or current profit or loss over the lease term on a straight-line basis.
(2) Accounting Method for Financing Leases
At the commencement of the lease term, an amount equal to the lower of the fair value of the leased asset and the present value of the minimum lease payments shall be regarded as the recorded value of the leased assets and an amount equal to the minimum lease payments shall be recognized as a long-term recorded value of the leased assets of payables. The balance between the recorded amount of the leased asset and the recorded amount of the payable shall be accounted for as unrecognized finance charge.
32. Other significant accounting policies and estimates
1. Share Repurchase
Share repurchase refers to the behavior of repurchasing a certain sum of Company's outstanding stocks from the stock market by cash and other methods; and the behavior that the incentive objects of restricted stocks fail to submit a written application to the Board in the prescribed period shall be deemed as voluntarily give up the unlocking, the corresponding restricted stocks shall no longer be unlocked and shall be logged out after the repurchase at the awarded price by the Company. If any period fails to meet the unlocking conditions within the unlocking period, the restricted stock with the unlocking application qualification in the current period cannot be unlocked and shall be logged out after the repurchase by the Company.
Upon the legal procedures and reporting approval and through repurchasing theCompany’s stocks, theCompany’s reduction of capital is conducted according to the total nominal value of written-off stocks. The part of price paid to stock repurchase (including transaction expenses) that excesses the total nominal amount shall offset the capital reserve (share premium), earned surplus and undistributed profits in sequence; The part of price paid to stock repurchase (including transaction expenses) that less than the total nominal amount shall increase the capital reserve (share premium).
33.Change of main accounting policies and estimations
(1)Change of main accounting policies
□Applicable√Not applicable
(2) Change of main accounting estimations
□ Applicable√ Not applicable
□Applicable√Not applicable
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report34．Other
VI.Taxation
1.Main categories and rates of taxes
||||
|-|-|-|
|Taxes|Tax references|Applicable tax rates|
||Sales revenue and||
|VAT|Technical services revenue|17%、6%|
|Business tax|Income from labor service and lease|3%、5%|
|Urban construction tax|Turnover tax to be paid allowances|7%|
|Enterprises income tax|Taxable income|15%、25%|
|Educational surtax|Turnover tax to be paid allowances|5%|

The disclosure on the rate of income tax of taxpayers in different enterprises is stated below
|||
|-|-|
|Name of Taxpayer|Rate of Income Tax|
|Dongxu Optoelectronic Technology Co., Ltd.（The Company）|15%|
|Wuhu Dongxu Optoelectronic Technology Co., Ltd（. Subsidiary）|15%|
|Wuhu Dongxu Optoelectronic Equipment Technology Co., Ltd||
||15%|
|（Subsidiary）||
|Shijiazhuang Dongxu Optoelectronic Equipment Technology||
||15%|
|Co., Ltd（Sub-subsidiary）||
|Zhengzhou Xufei Optoelectronic Technology Co., Ltd||
||15%|
|（Subsidiary）||
|Shijiazhuang Xuxin Optoelectronic Technology Co., Ltd||
||15%|
|（Subsidiary）||
|Hebei Xubao Construction Installation Engineering Co., Ltd||
||25%|
|（Subsidiary）||
|Shijiazhuang Baoshi Color Bulb Co., Ltd（Subsidiary）|25%|
|Wuhan Dongxu Optoelectronic Technology Co., Ltd||
||25%|
|（Subsidiary）||
|Sichuan Ruiyi Construction Engineering Co., Ltd.（Subsidiary）|25%|
|Beijing Xufeng Real Estate Co., Ltd.（Subsidiary）|25%|
|Dongxu (Kunshan）Display Material Co., Ltd.（Subsidiary）|25%|
|Beijing Dongxu Investment Developement Co., Ltd.||
||25%|
|（Sub-subsidiary）||
|Wuhu Ruiyi Labor Co., Ltd（Sub-subsidiary）|25%|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||
|-|-|
|Jiangsu Jixing New Material Co., Ltd. （Subsidiary）|15%|
|Beijing Xutan New Material Co., Ltd. （Subsidiary）|25%|
|Beijing Dongxu Huuaqing Investment Co., Ltd. （Subsidiary）|25%|
|Jiangsu Dongxu Yitai Intelligent Equipment Co., Ltd.||
||25%|
|（Sub-subsidiary）||

2.Tax Preference
① On November 6, 2012, The Company was rated as the national high-tech enterprise with validity of 3 years. As per the provisions of enterprise income tax law, the Company adopts15% enterprise tax rate applicable for high-tech enterprises for three years since 2012.
②On October 21, 2014, Wuhu Dongxu Optoelectronic Technology Co., Ltd. was rated as the national high-tech enterprise with validity of 3 years. As per the provisions of enterprise income tax law, the Company adopts15% enterprise tax rate applicable for high-tech enterprises for three years since 2014.
③On October 14, 2013, Wuhu Dongxu Optoelectronic Equipment Technology Co., Ltd. was rated as the national high-tech enterprise with validity of 3 years. As per the provisions of enterprise income tax law, the Company adopts15% enterprise tax rate applicable for high-tech enterprises for three years since 2013.
④On November 4, 2013, Shijiazhuang Dongxu Optoelectronic Equipment Technology Co., Ltd. was rated as the national high-tech enterprise with validity of 3 years. As per the provisions of enterprise income tax law, the Company adopts15% enterprise tax rate applicable for high-tech enterprises for three years since 2013.
⑤ On December 3, 2013, Jiangsu Jixing New Material Co., Ltd. was rated as the national high-tech enterprise with validity of 3 years. As per the provisions of enterprise income tax law, the Company adopts15% enterprise tax rate applicable for high-tech enterprises for three years since 2013.
⑥ In 2013, Shijiazhuang Xuxin Optoelectronic Technology Co., Ltd. was rated as the national high-tech enterprise. December 2014 for the record, As per the provisions of enterprise income tax law, the Company adopts15% enterprise tax rate applicable for high-tech enterprises for three years since 2014.
⑦ In the first half of 2012,Zhengzhou Xufei Optoelectronic Technology Co., Ltd. was rated as the national high-tech enterprise. As per the provisions of enterprise income tax law, the Company adopts15% enterprise tax rate applicable for high-tech enterprises for three years since 2012.
On Aug 3, 2015, from the notice of Public Display of the List of 2015 Fist-batch High-tech Enterprises Intended Passed by
Reviewing on Henan science and technology website, and according to No.8-2015-Yu High-tech Enterprises issued by Evaluation and Management team of Henan high-tech enterprise, Zhenzhou Xufei Optoelectronic Technology is in the list.
3.Other
VII. Notes to the major items of consolidated financial statement
1.Monetary Capital
In RMB
||||
|-|-|-|
|Items|Year-end balance|Year-beginning balance|
|Cash|245,781.01|244,928.44|
|Bank deposit|12,181,847,699.04|3,368,927,758.02|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Other|227,416,690.21|170,719,697.58|
|Total|12,409,510,170.26|3,539,892,384.04|

 Other notes
Notes1：The main reason of monetary capital increase in the beginning of the period compared with that in the end of the period is the increase of sales outstanding and bank loans.
Notes2：The amount of restricted monetary capital of the total monetary capital in the end of the period is RMB 444,740,765.53. Mainly for the draft earnest money and the fixed deposit receipt.
2.Bills receivable
（1）Classification bill receivable
In RMB
||||
|-|-|-|
|Items|Year-end balance|Year-beginning balance|
|Bank acceptance|51,014,152.00|108,214,644.05|
|Trade acceptance||141,296,034.45|
|Total|51,014,152.00|249,510,678.50|

（2）Bills receivable pledged at period-end
In RMB
|||
|-|-|
|Items|Amount|

（3）Bills transferred to accounts receivable because drawer of the Bills fails to execute the contract or agreement, and undue Bills endorsed to other parties at the end of the period.
In RMB
||||
|-|-|-|
|||End of the period amount unterminate|
|Items|End of the period amounts derecognizing||
|||d|
|Bank acceptance|394,876,876.65||
|Trade acceptance|128,928,708.30||
|Total|523,805,584.95||

（4）Bills transferred to accounts receivable because drawer of the Bills fails to execute the contract or agreement In RMB
|||
|-|-|
|Items|Amount|

Other notes
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report 3. Account receivable
(1).Classification account receivables.
In RMB
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||Amount in year-end|||||Amount in year- begin|||||
||||Bad debt||||||||
||Book Balance|||||Book Balance||Bad debt provision|||
|Classification|||provision||Book||||||
|||||||||||Book value|
|||Proportio||Proportio|value||Proportio||Proportion(||
||Amount||Amount|||Amount||Amount|||
|||n(%)||n(%)|||n(%)||%)||
|Receivables with|||||||||||
|major individual|||||||||||
|amount and bad debt|||||||||||
|provision provided|||||||||||
|individually||||||14,009,||14,009,35|||
||||||||1.80%||100.00%||
|receivables with||||||355.59||5.59|||
|major individual|||||||||||
|amount and bad debt|||||||||||
|provision provided|||||||||||
|individually|||||||||||
|Account receivable|||||||||||
|with minor individual|1,055,39||12,853,9||1,042,538|765,172||13,688,79||751,483,74|
|||100.00%||1.22%|||98.20%||1.79%||
|amount but bad debt|2,294.94||82.43||,312.51|,530.71||0.44||0.27|
|provision is provided|||||||||||
||1,055,39||12,853,9||1,042,538,312.51|779,181||27,698,14||751,483,740.27|
|Total||100.00%||1.22%|||100.00%||3.55%||
||2,294.94||82.43|||,886.30||6.03|||

 Receivable accounts with large amount individually and bad debt provisions were provided
□ Applicable√ Not applicable
Account receivable on which bad debt provisions are provided on age basis in the group
√ Applicable□ Not applicable
In RMB
|||||
|-|-|-|-|
||Balance in year-end|||
|Aging||||
||Receivable accounts|Bad debt provision|Proportion|
|Subitem within 1 year||||
|Within credit period|834,456,113.29|||
|Within 1 year after credit period|162,778,746.80|8,138,937.34|5.00%|
|1-2 years|30,585,660.03|3,058,566.00|10.00%|
|2-3 years|2,673,258.08|801,977.43|30.00%|
|Over 3 years|1,179,813.91|589,906.95|50.00%|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
|3-4 years|264,594.71|264,594.71|100.00%|
|Over 5 years|1,031,938,186.82|12,853,982.43|1.25%|

Notes：
In the groups, accounts receivable adopting balance percentage method to withdraw bad debt provision
□Applicable√ Not applicable
In the groups, accounts receivable adopting other methods to accrue bad debt provision
|||
|-|-|
|Group Name|2015.12.31|
|Related party group|23,454,108.12|

（2）Accrual period, recovery or reversal of bad debts situation
The current amount of provision for bad debts is 0; recovery or payback for bad debts Amount is 0.
Where the current bad debts back or recover significant amounts:
In RMB
||||
|-|-|-|
|Name|Back or withdraw money|Method|
|Baoshi TV Plant|14,009,355.59|Cash payback|
|Total|14,009,355.59|--|

（3）The current accounts receivable write-offs situation
In RMB
|||
|-|-|
|Items|Amount of written off|

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

 Explanation for write-off of account receivables:
（4）The ending balance of other receivables owed by the imputation of the top five parties
Information about the top5 of accounts receivable of ending balance sorted by borrower by Dec, 31, 2015 The total receivable amount of top five closing balances collected by the debtors in the current reporting period is RMB 613,577,784.57, which accounts for58.14% of the total receivables. The total amount of closing balance for corresponding accrued bad-debt provision is RMB 6,260,105.00.
(5)Because of the transfer of financial assets and derecognition of account receivables
(6) The amount of the transfer of other assets, receivables and liabilities of continuing involvement
Othernotes：
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report 4. Payment in advance
（1）Payment in advance:
In RMB
||||||
|-|-|-|-|-|
||Amount in year-end||Amount in year- begin||
|Aging|||||
||Amount|Proportion(%)|Amount|Proportion(%)|
|Within 1 year|144,188,241.68|34.42%|2,685,024,959.19|89.27%|
|1-2 years|261,349,437.53|62.39%|259,989,965.76|8.64%|
|2-3 years|6,788,329.79|1.62%|60,635,498.41|2.02%|
|Over 3 years|6,584,578.57|1.57%|2,183,632.85|0.07%|
|Total|418,910,587.57|--|3,007,834,056.21|--|

Notes of the reasons of the prepayment ages over 1 year with significant amount but failed settled in time: (2) Top 5 of the closing balance of the prepayment colleted according to the prepayment target
The total prepayment amount of top five closing balances collected by the objects of prepayment in the current reporting period is RMB 281,596,091.59, which accounts for59.67% of the total closing prepayment balance. 5. Other accounts receivable
(1) Other accounts receivable disclosed by category
In RMB
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||Amount in year-end|||||Amount in year- begin|||||
||||Bad debt||||||||
||Book Balance|||||Book Balance||Bad debt provision|||
|Category|||provision||Book||||||
|||||||||||Book value|
|||Proportio||Proportion(%)|value||Proportio||Proportion(||
||Amount||Amount|||Amount||Amount|||
|||n(%)|||||n(%)||%)||
|Other accounts|||||||||||
|receivable that is|||||||||||
|individually|||||||||||
||57,070,2||1,872,37||55,197,87|55,327,||2,921,124||52,406,728.|
|significant for which||100.00%||3.28%|||100.00%||5.28%||
||47.27||5.99||1.28|852.91||.88||03|
|provisions for bad|||||||||||
|debts separately|||||||||||
|accrued|||||||||||
||57,070,2||1,872,37||55,197,871.28|55,327,||2,921,124||52,406,728.03|
|Total||100.00%||3.28%|||100.00%||5.28%||
||47.27||5.99|||852.91||.88|||

 Other accounts receivable that is individually significant and provisions for bad debts individually.
□ Applicable√ Not applicable
In the group, other accounts receivable that provision for bad debts by aging analysis:
√ Applicable□ Not applicable
In RMB
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
||Closing balance|||
|Aging||||
||Other receivable|Bad debt provision|Proportion|
|Subitem within 1 year||||
|Within credit period||||
|Within 1 year after credit period|485,541.91|24,277.10|5.00%|
|1-2 years|718,105.55|71,810.55|10.00%|
|Over 5 years|1,776,288.34|1,776,288.34|100.00%|
|Total|2,979,935.80|1,872,375.99|62.83%|

 Notes of the basis of recognizing the group:
Other receivable account in Group on which bad debt provisions were provided on percentagebasis：
□Applicable√Not applicable
Other Receivable accounts on which bad debt provisions are provided by other ways in theportfolio：
√Applicable□Not applicable
In Group, Other Receivable accounts on which bad debt provisions are provided by other ways in theportfolio：
|||
|-|-|
|Group Name|2015.12.31|
|Fund cexchange|299,905.00|
|Deposit|7,709,572.64|
|Individual retirement insurance|2,812,157.82|
|Personal official loans|9,287,709.26|
|Cash deposit|33,980,966.75|
|Total|54,090,311.47|

(2) Accounts receivable withdraw, reversed or collected during the reporting period
The withdrawal amount of the bad debt provision during the reporting period was ofRMB483,366.10；the amount of the reversed or collected part during the reporting period was of RMB 1,532,114.99.
Of which the significant amount of the reversed or collected part during the reporting period:
In RMB
||||
|-|-|-|
|Name of units|Reversed or collected amount|Method|

(3) The actual write-off other accounts receivable
In RMB
|||
|-|-|
|Items|Amount|

Of which the significant write-off other accounts receivable
In RMB
|||||||
|-|-|-|-|-|-|
||||||Whether the amo|
|||Amount of written||||
|Name|Nature||Reason|Procedure|unt was generated|
|||off||||
||||||by the related par|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||
|-|
|ty transactions|

 Notes of write-off other accounts receivable:
(4) Other accounts receivable classified by the nature of accounts
In RMB
||||
|-|-|-|
|Nature|Amount in year-end|Amount in year- begin|
|Capital intercourse|299,905.00|299,905.00|
|intercourse funds|1,205,904.65|1,580,870.75|
|Guarantee|33,980,966.75|20,207,097.50|
|Personal official borrowing|9,287,709.26|7,419,317.09|
|Deposit|7,709,572.64|21,237,660.36|
|Persona Returnable Insurance|2,812,157.82|767,164.60|
|Power cost||448,544.45|
|Export tax refunds||653,753.38|
|Other|1,774,031.15|2,713,539.78|
|Total a|57,070,247.27|55,327,852.91|

（5）The ending balance of other receivables owed by the imputation of the top five parties
In RMB
|||||||
|-|-|-|-|-|-|
||||||The closing balance|
|||Amount in||||
|Name|Nature||Aging|Proportion|of bad debts|
|||year-end||||
|Wuhu Economic and||||||
|Technological Deve||||||
||Deposit|9,978,000.00|1-2 Years|17.48%||
|lopment Zone Finan||||||
|ce Bureau||||||
|Hebei Property||||||
|Rights Market Co.,|Cash deposit|6,120,000.00|Within 1 year|10.72%||
|Ltd.||||||
|Hebei Financial||||||
||Cash deposit|5,100,000.00|Within 1 year|8.94%||
|Leasing Co., ltd.||||||
|Kunshan Land and||||||
||Cash deposit|5,000,000.00|Within 1 year|8.76%||
|resources Bureau||||||
|CEIEC|Deposit|3,902,067.00|1-2 years|6.84%||
|Total|--|30,100,067.00|--|52.74%||

(6) Accounts receivable involved with government subsidies
In RMB
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||
|-|-|-|-|-|
||Project of government|||Estimated received time,|
|Name of units||Closing balance|Closing age||
||subsidies|||amount and basis|

 (7) Other account receivable which terminate the recognition owning to the transfer of the financial assets (8) The amount of the assets and liabilities formed by the transfer and the continues involvement of other
accounts receivable
Othernotes：
6．Inventory
（1）Inventory types
In RMB
||||||||
|-|-|-|-|-|-|-|
||Year-end balance|||Year-beginning balance|||
|Items|||||||
|||Provision for bad|||Provision for bad||
||Book Balance||Book value|Book Balance||Book value|
|||debts|||debts||
|Raw materials|997,984,608.47||997,984,608.47|407,990,511.84||407,990,511.84|
|Processing|||||||
||55,124,671.25||55,124,671.25|12,312,133.59||12,312,133.59|
|products|||||||
|Stock goods|182,763,166.25||182,763,166.25|193,170,922.32||193,170,922.32|
|Construction cont|||||||
|ract has been com|||||||
||27,390,555.01||27,390,555.01|2,622,252.99||2,622,252.99|
|pleted unsettled a|||||||
|ssets|||||||
|Development cost|914,716,683.08||914,716,683.08||||
|Total|2,177,979,684.06||2,177,979,684.06|616,095,820.74||616,095,820.74|

 (2) Completed unsettled assets formed from the construction contact at the period-end
In RMB
|||
|-|-|
|Items|Amount|
|Accumulated Incurred Cost|632,341,077.84|
|Accumulated Confirmed Gross Profit|64,011,141.00|
|Settlement Amount|668,961,663.83|
|Unliquidated Completed Assets Formed in the Construction|27,390,555.01|
|Contract||

Othernotes：
Note1: The material reasons for the ending inventory largely changed comparing with the beginning balance are the increase of development costs and raw material.
Note2: Detaile of product development
|||||||
|-|-|-|-|-|-|
|No.|Project Name|Start|Estimated time ofcompletion of first|Estimated total B|eginning|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|||Date(Planned)|session|investment|balance|
|01|Dong xuInternationalCenter|2015-12-29|2017-2-27|2.2billion||

7. Non-current assets due within 1 year
In RMB
||||
|-|-|-|
|Items|Closing balance|Opening balance|
|Hydropower installation dormitory|||
||139,395.72|185,227.78|
|renovation project|||
|Total|139,395.72|185,227.78|

 Othernotes：
Non-current assets due within one year is the long-term unamortized assets
8. Other current assets
In RMB
||||
|-|-|-|
|Items|Closing balance|Opening balance|
|USD exchange|58,000,000.00|58,000,000.00|
|Prepaid or pending certified taxes|1,158,401,769.76|874,526,092.19|
|Total|1,216,401,769.76|932,526,092.19|

 Othernotes：
In 1993,the Group signed the agreement on exchange of US dollars which agreed returning 10,000,000 US dollars to the Exchange Unit and repossess the RMB 58,000,000 exchanged in November 1998, As of December 31, 2014, the Group still consults with the Exchange Unit on the returning of the exchange.
9. Long-term equity investment
In RMB
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
|||Increase/decrease|||||||||
|||||||||||Closing|
|||||Adjustme|||||||
|||||||Cash|Withdraw|||balance|
|||||nt of|||||||
||Opening|Add|||Changes|bonus or|al of||Closing|of|
|Investees|||||||||||
|||||other|||||||
||balance|investmen|||of other|profits|impairme|Other|balance|impairme|
|||||comprehe|||||||
|||t|||equity|announce|nt|||nt|
|||||nsive|||||||
|||||||d to issue|provision|||provision|
|||||income|||||||
|II. Joint ventures|||||||||||
|II. Associated enterprises|||||||||||
|||72,000,00|426,252.4|||||||72,426,25|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
|Zhongda|0.00|1|2.41|
|Chengxi||||
|n||||
|Internati||||
|onal||||
|Commer||||
|ce Co.,||||
|Ltd.||||
||72,000,00|426,252.4|72,426,25|
|Subtotal||||
||0.00|1|2.41|
||72,000,00|426,252.4|72,426,25|
|Total||||
||0.00|1|2.41|

 Other notes
10.Investment real estate
（1）Measured by the cost of investment in real estate
√ Applicable□ Not applicable
In RMB
||||||
|-|-|-|-|-|
|Items|House, Building|Land use right|Construction in process|Total|
|I. Original price|||||
|1. Balance at|||||
|period-beginning|||||
|2.Increase in the current|||||
||6,509,180.37|||6,509,180.37|
|period|||||
|(1) Purchase|||||
|（ 2 ） Inventory\Fixed|||||
|assets\ Transferred from|6,509,180.37|||6,509,180.37|
|construction in progress|||||
|(3)Increased of|||||
|Enterprise Combination|||||
|3.Decreased amount of|||||
||6,509,180.37|||6,509,180.37|
|the period|||||
|（1）Dispose|||||
|（2）Other out|6,509,180.37|||6,509,180.37|
|4. Balance at period-end|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|II.Accumulated|||
|amortization|||
|1.Opening balance|||
|2.Increased amount of|||
||644,451.43|644,451.43|
|the period|||
|(1) Withdrawal|160,300.42|160,300.42|
|（2）Fixed assets transfer|484,151.01|484,151.01|
|3.Decreased amount of|||
||644,451.43|644,451.43|
|the period|||
|（1）Dispose|||
|（2）Other out|644,451.43|644,451.43|
|4. Balance at|||
|period-end|||
|III. Impairment provision|||
|1. Balance at|||
|period-beginning|||
|2.Increased amount of|||
|the period|||
|(1) Withdrawal|||
|3.Decreased amount of|||
|the period|||
|（1）Dispose|||
|（2）Other out|||
|4. Balance at period-end|||
|IV.Book value|||
|1.Book value at period|||
|-end|||
|2.Book value at|||
|period-beginning|||

11. Fixed assets
(1) List of fixed assets
In RMB
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|||Machinery||||
|Items|House, building||Transportations|Other equipment|Total|
|||eqiupment||||
|I. Original price||||||
|1. Balance at||||||
||762,181,344.32|4,252,743,128.68|33,421,188.52|33,448,617.04|5,081,794,278.56|
|period-beginning||||||
|2.Increase in the||||||
||344,824,813.10|2,312,587,110.61|5,937,033.98|16,210,832.02|2,679,559,789.71|
|current period||||||
|(1) Purchase|10,125,859.00|19,538,013.61|5,564,216.47|14,435,959.92|49,664,049.00|
|（2）Inventory\Fixed||||||
|assets\ Transferred||||||
||246,431,374.88|2,038,213,498.83|||2,284,644,873.71|
|from construction in||||||
|progress||||||
|(3)Increased of||||||
||80,602,662.25|254,835,598.17|372,817.51|1,774,872.10|337,585,950.03|
|Enterprise||||||
|Combination||||||
|（4）Transferred||||||
|from Investment real|6,509,180.37||||6,509,180.37|
|estate||||||
|（5）Other Increases|1,155,736.60||||1,155,736.60|
|3.Decreased amount||||||
||7,136,953.37|173,728.63||4,145.30|7,314,827.30|
|of the period||||||
|（1）Disposal||173,728.63||4,145.30|177,873.93|
|（2）Transferred||||||
|from Investment|6,509,180.37||||6,509,180.37|
|real estate||||||
|（3）Other decreases|627,773.00||||627,773.00|
|4. Balance at||||||
||1,099,869,204.05|6,565,156,510.66|39,358,222.50|49,655,303.76|7,754,039,240.97|
|period-end||||||
|II. Accumulated||||||
|depreciation||||||
|1.Opening balance|171,077,729.50|265,682,735.96|13,604,307.45|11,295,052.88|461,659,825.79|
|2.Increased amount||||||
||34,993,907.58|346,444,933.94|5,944,522.42|5,800,602.31|393,183,966.25|
|of the period||||||
|(1) Withdrawal|29,337,935.98|303,645,043.39|5,767,502.87|5,109,092.52|343,859,574.76|
|(2)Increased of||||||
|Enterprise|4,677,781.89|42,799,890.55|177,019.55|691,509.79|48,346,201.78|
|Combination||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|（3）Transferred||||||
|from Investment|644,451.43||||644,451.43|
|real estate||||||
|（4）Other Increases|333,738.28||||333,738.28|
|3.Decrease in the||||||
||903,242.23|124,878.27||2,803.17|1,030,923.67|
|reporting period||||||
|（1）Disposal||124,878.27||2,803.17|127,681.44|
|（2）Transferred||||||
|from Investment|484,151.01||||484,151.01|
|real estate||||||
|（3）Other decreases|419,091.22||||419,091.22|
|4.Closing balance|205,168,394.85|612,002,791.63|19,548,829.87|17,092,852.02|853,812,868.37|
|III. Impairment||||||
|provision||||||
|1.Opening balance||36,444.84|||36,444.84|
|2.Increase in the||||||
|reporting period||||||
|（1）Withdrawal||||||
|3.Decrease in||||||
|the reporting period||||||
|（1）Disposal||||||
|4. Closing balance||36,444.84|||36,444.84|
|IV. Book value||||||
|1.Book value of the||||||
||894,700,809.20|5,953,117,274.19|19,809,392.63|32,562,451.74|6,900,189,927.76|
|period-end||||||
|2.Book value of the||||||
||591,103,614.82|3,987,023,947.88|19,816,881.07|22,153,564.16|4,620,098,007.93|
|period-begin||||||

(2) Details of fixed assets failed to accomplish certification of property
In RMB
||||
|-|-|-|
|Items|Book value|Reason|
|108# Gas station|172,232.40|Processing|
|109#Oxygen gasification station|125,884.00|Processing|
|102#Workshop|39,686,976.35|Processing|
|Cullet warehouse|2,628,593.40|Processing|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Main entrance Guard room|165,039.71|Processing|
|Bathroom|84,690.40|Processing|
|East entrance Guard room|90,335.53|Processing|
|Compressed air station, circulating water|||
||847,862.22|Processing|
|pump house, refrigeration station|||
|Dangerous goods warehouse|368,530.67|Processing|
|Wastewater treatment plant|872,878.15|Processing|
|Substation|361,198.48|Processing|
|Boiler room|4,846,656.63|Processing|
|Total|50,250,877.94||

Other notes
Note1: The other increase of the original value of fixed assets is the adjustment of the fixed asset category; the consolidation increase is due to the increase of thecompany’s subsidiary-Jiangsu Jixing New Materials Co.,Ltd in the period.
Note2: The material reasons for the increase of the ending balance of fixed assets comparing with the beginning balance are the production line of the liquid crystal glass substrate transferred into fixed asset and purchasing the subsidiary of Jiangsu Jixing Company.
12. Project under construction
(1)Project under construction
In RMB
||||||||
|-|-|-|-|-|-|-|
||Year-end balance|||Year-beginning balance|||
|Items|Book balance|Provision for|Book value|Book balance|Provision for|Book value|
|||devaluation|||devaluation||
|LCD glass|||||||
|substrate|||||||
||1,874,688,280.97||1,874,688,280.97|2,008,412,102.91||2,008,412,102.91|
|production line|||||||
|project|||||||
|Plant||||37,317,530.31||37,317,530.31|
|Xufei LCD glass|||||||
|substrate|||||||
||1,013,527,351.59||1,013,527,351.59|750,407,611.00||750,407,611.00|
|production line II|||||||
|and supporting|||||||
|Xufei LCD glass|||||||
|substrate|||||||
|||||389,076,631.08||389,076,631.08|
|production line I|||||||
|Upgrading|||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||
|-|-|-|-|-|
|Xuxin LCD glass|||||
|substrate|485,548,460.69|485,548,460.69|884,508,229.24|884,508,229.24|
|production line|||||
|Kunshan Colorfilm project|||||
||16,309,892.75|16,309,892.75|||
|Sapphire crystalsultivation and|||||
|processing of|42,942,402.90|42,942,402.90|||
|production lineequipment|||||
|Total|3,433,016,388.90|3,433,016,388.90|4,069,722,104.54|4,069,722,104.54|

 (2) Changes of significant construction in progress
In RMB
||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|
|||||||||||Including:capitalization ofinterestthisperiod|||
|||||Transferr|||||||Capitaliz||
||||||||||Capitaliz|||Source|
|Name of||Openingbalance||ed to|Other|End|Proporti|Project|||ation of||
||Budget||Increase||||||ation of|||of|
|project||||fixed|decrease|balance|on %|process|||interest||
||||||||||interest|||funding|
|||||assets|||||||rate (%)||
|Xuxin|||||||||||||
|LCD|||||||||||||
|glass|||||||||||||
||2,700,00|884,508,|174,470,|573,430,||485,548,|||219,493,|58,395,940.88|||
|substrate|||||||90.91%|90.91%||||Other|
||0,000.00|229.24|537.38|305.93||460.69|||294.19||||
|producti|||||||||||||
|on line|||||||||||||
|project|||||||||||||
|Xufei|||||||||||||
|LCD|||||||||||||
|glass|||||||||||||
|substrate|||||||||||||
||2,500,00|764,434,|379,393,|21,647,3|108,652,|1,013,52|||172,707,|74,990,642.69|||
|producti|||||||100.00%|||||Other|
||0,000.00|026.10|435.55|25.05|785.01|7,351.59|||038.42||||
|on line II|||||||||||||
|and|||||||||||||
|supporti|||||||||||||
|ng|||||||||||||
|Xufei|||||||||||||
|LCD|||||||||||||
||8,450,00|375,050,|2,416,75|377,466,|||||||||
|glass|||||||||||||
||||||||95.00%|95%||||Other|
|substrate|0.00|215.98|5.47|971.45|||||||||
|producti|||||||||||||
|on line I|||||||||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
|Upgradi||||||||||||
|ng||||||||||||
|Kunshan||||||||||||
|Color|3,115,50||16,309,8|||16,309,8|||||Raise|
||||||||0.10%|0.1%||||
|film|0,000.00||92.75|||92.75|||||funds|
|project||||||||||||
|Worksho|40,000,0|37,317,5|2,095,59|39,413,1||||||||
||||||||98.81%|98.81%|||Other|
|p|00.00|30.31|0.04|20.35||||||||
|LCD||||||||||||
|glass||||||||||||
|substrate|7,576,52|2,008,41|1,137,27|1,271,00||1,874,68|||450,382,|185,456,||
||||||||65.30%|65.3%|||Other|
|producti|0,000.00|2,102.91|8,414.53|2,236.47||8,280.97|||101.57|804.22||
|on line||||||||||||
|project||||||||||||
|Sapphire||||||||||||
|crystal||||||||||||
|sultivatio||||||||||||
|n and||||||||||||
|processi|44,630,0||44,156,8|1,214,49||42,942,4||||||
||||||||43.20%|43.2%|||Other|
|ng of|00.00||99.56|6.66||02.90||||||
|producti||||||||||||
|on line||||||||||||
|equipme||||||||||||
|nt||||||||||||
||15,985,1|||||||||||
|||4,069,72|1,756,12|2,284,17|108,652,|3,433,01|||842,582,|318,843,||
|Total|00,000.0||||||--|--|||--|
|||2,104.54|1,525.28|4,455.91|785.01|6,388.90|||434.18|387.79||
||0|||||||||||

(3) List of the withdrawal of the impairment provision of the construction in progress
In RMB
||||
|-|-|-|
|Items|Withdrawn amount|Reason|

Othernotes：
Note1: The material reason of the ending balance lessened than the beginning balance is the production line transferred into fixed asset.
Note2: Other decrease is the sale-leaseback of the Platinum channel by Zhenzhou Xufei Optoelectronic Technology Co.,Ltd.
13. Engineering Material
In RMB
||||
|-|-|-|
|Items|Closing balance|Opening balance|
|Special Equipment|31,267.87|22,086,763.66|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Special material|6,947.12|8,322.76|
|Total|38,214.99|22,095,086.42|

 Other notes
14. Intangible assets
（1）Information
In RMB
||||||||
|-|-|-|-|-|-|-|
||||Non patent|Financial|||
|Items|Land use right|Patent right|||Patent technology|Total|
||||technology|technology|||
|I. Original price|||||||
|1. Balance at|||||||
||341,833,267.40||26,789,286.53|1,266,932.90||369,889,486.83|
|period-beginning|||||||
|2.Increase in the|||||||
||111,062,636.91||20,195,381.45|291,910.34|4,500,000.00|136,049,928.70|
|current period|||||||
|(1) Purchase|46,143,954.68||12,930.77|141,482.98||46,298,368.43|
|(2)Internal|||||||
||||18,520,903.08|||18,520,903.08|
|Development|||||||
|(3)Increased of|||||||
|Enterprise|64,918,682.23||1,661,547.60|150,427.36||66,730,657.19|
|Combination|||||||
|(4)Investors|||||4,500,000.00|4,500,000.00|
|3.Decreased|||||||
|amount of the|||||||
|period|||||||
|（1）Disposal|||||||
|4. Balance at|||||||
||452,895,904.31||46,984,667.98|1,558,843.24|4,500,000.00|505,939,415.53|
|period-end|||||||
|II.Accumulated|||||||
|amortization|||||||
|1. Balance at|||||||
||21,353,604.83||3,546,715.35|182,026.96||25,082,347.14|
|period-beginning|||||||
|2. Increase in the|||||||
||12,648,962.08||5,453,406.11|294,663.70|168,750.00|18,565,781.89|
|current period|||||||
|(1) Withdrawal|8,374,073.88||3,930,320.81|205,632.30|168,750.00|12,678,776.99|
|（2）(Increased of|||||||
||4,274,888.20||1,523,085.30|89,031.40||5,887,004.90|
|Enterprise|||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|Combination||||||
|3.Decreased||||||
|amount of the||||||
|period||||||
|（1）Disposal||||||
|4. Balance at||||||
||34,002,566.91|9,000,121.46|476,690.66|168,750.00|43,648,129.03|
|period-end||||||
|III. Impairment||||||
|provision||||||
|1. Balance at||||||
|period-beginning||||||
|2. Increase in the||||||
|current period||||||
|(1) Withdrawal||||||
|3.Decreased||||||
|amount of the||||||
|period||||||
|（1）Disposal||||||
|4. Balance at||||||
|period-end||||||
|4. Book value||||||
|1.Book value at||||||
||418,893,337.40|37,984,546.52|1,082,152.58|4,331,250.00|462,291,286.50|
|period -end||||||
|2.Book value at||||||
||320,479,662.57|23,242,571.18|1,084,905.94||344,807,139.69|
|period-beginning||||||

The proportion the intangible assets formed from the internalR&D through the Company amount the balance of the intangible assets
at the period-end
15.R&D expenses
In RMB
||||||
|-|-|-|-|-|
||Opening|||Closing|
|Items||Increase|Decrease||
||balance|||balance|
|Developme|||||
||3,281,670.89|97,509.45|3,379,180.34||
|nt of high|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
|intensity||||
|and||||
|chemical||||
|resistance||||
|liquid||||
|crystal||||
|glass||||
|R&D of||||
|key||||
|technology||||
|of 0.3mm||||
||1,607,589.99|2,853,019.42|4,460,609.41|
|thick||||
|TFT-LCD||||
|glass||||
|substrate||||
|Technologi||||
|cal research||||
|of||||
|prolonging||||
|the life of||||
|liquid|841,913.11|386,014.95|1,227,928.06|
|crystal||||
|glass||||
|melting and||||
|forming||||
|equipment||||
|Design and||||
|application||||
|of the split||||
|type||||
|traction||||
|roller for|538,765.53|876,708.53|1,415,474.06|
|the||||
|overflow||||
|method of||||
|glass||||
|forming||||
|Optimizatio||||
|n design of||||
|CDA||||
||823,249.14|923,732.09|1,746,981.23|
|system for||||
|TFT-LCD||||
|glass||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
|processing||||
|System||||
|optimizatio||||
|n design for||||
|TFT-LCD|1,222,797.22|709,882.65|1,932,679.87|
|glass||||
|inspection||||
|machine||||
|Research||||
|on||||
|thickness||||
|range||||
|reduction||||
|of the|1,059,017.74|88,882.76|1,147,900.50|
|0.5mm||||
|thick||||
|TFT-LCD||||
|glass||||
|substrate||||
|Research||||
|on||||
|formation||||
|mechanism||||
|and||||
|elimination|821,232.40|1,783,463.60|2,604,696.00|
|of bubbles||||
|of||||
|TFT-LCD||||
|glass||||
|platinum||||
|Optimizatio||||
|n design||||
|and||||
|application||||
|of||||
||534,705.03|70,748.58|605,453.61|
|TFT-LCD||||
|broken||||
|glass||||
|processing||||
|system||||
||10,730,941.0||18,520,903.0|
|Total||7,789,962.03||
||5||8|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report 16.Long-term amortization expenses
In RMB
|||||||
|-|-|-|-|-|-|
||Balance in|Increase at this|Amortization at|||
|Items||||Decrease|Balance in year-end|
||year-begin|period|this period|||
|Building renovation|14,106,796.67|7,747,540.94|5,293,950.22||16,560,387.39|
|Zhonghang||||||
||975,769.20||836,373.48|139,395.72||
|Transformation||||||
|Total|15,082,565.87|7,747,540.94|6,130,323.70|139,395.72|16,560,387.39|

 Other notes
The other reason for reduction is the transferring-in of the non current assets due within one year for the next accounting period.
17. Deferred income tax assets and deferred income tax liability
(1) Details of the un-recognized deferred income tax assets
In RMB
||||||
|-|-|-|-|-|
||Balance in year-end||Balance in year-begin||
|Items|Temporarily Deductable|Deferred Income Tax|Temporarily Deductable|Deferred Income Tax|
||or Taxable Difference|Assets|or Taxable Difference|Assets|
|Assets devaluation|||||
||14,651,027.92|2,394,366.85|23,196,284.82|3,548,327.01|
|provision|||||
|Not realized the internal|||||
||1,942,130,426.59|291,319,564.00|1,623,886,215.35|243,582,932.31|
|profit|||||
|Deductible loss|3,065,869.27|459,880.39|57,465,552.78|8,619,832.91|
|Deferred income|||||
||33,039,111.11|4,955,866.67|||
|difference|||||
|Total|1,992,886,434.89|299,129,677.91|1,704,548,052.95|255,751,092.23|

（2）Deferred income tax assets and liabilities are presented as net amount after neutralization
In RMB
||||||
|-|-|-|-|-|
||||Deferred Income Tax|Temporarily Deductable|
||Deferred Income Tax|Temporarily Deductable|||
||||Assets or Liabilities at|or Taxable Difference at|
|Items|Assets or Liabilities at|or Taxable Difference at|||
||||the Beginning of Report|the Beginning of Report|
||the End of Report Period|the End of Report Period|||
||||Period|Period|
|Deferred income tax||299,129,677.91||255,751,092.23|

(3) List of unrecognized deferred income tax assets
In RMB
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Items|Closing amount|Opening amount|
|Deductible losses|5,928,841.93|4,260,364.76|
|Bad debt provision|75,330.50|7,422,986.09|
|Impairment of fixed assets|36,444.84|36,444.84|
|Total|6,040,617.27|11,719,795.69|

 (4) Deductible losses of unrecognized deferred income tax assets will due the following years
In RMB
|||||
|-|-|-|-|
|Year|Closing amount|Opening amount|Notes|
|2015||||
|2016||||
|2017|918,382.44|1,360,570.52||
|2018|15,649.80|15,649.80||
|2019|544,310.34|2,884,144.44||
|2020|4,450,499.35|||
|Total|5,928,841.93|4,260,364.76|--|

Other notes
18. Other non-current assets
In RMB
||||
|-|-|-|
|Items|Closing balance|Opening balance|
|Prepaid engineering equipment|243,279,174.31||
|Total|243,279,174.31||

Othernotes：
19. Short-term loan
（1）Categories of short-term loans
||||
|-|-|-|
|Items|Closing balance|Opening balance|
|Pledge loan|265,000,000.00|48,900,000.00|
|Mortgage loan|53,300,000.00||
|Guarantee loan|3,465,000,000.00|1,539,000,000.00|
|Total|3,783,300,000.00|1,587,900,000.00|

 Notes:
1. There is no mature but unredeemed short-term borrowing in the company during the accounting period.
2. The increase of short-term borrowings at the end compared to the beginning is mainly due to the production,
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report business operation and property investment, which jointly cause borrowing increase.
3. The mortgage loan at the end is 53.3 million yuan, in which 30 million yuan is used as mortgage and guarantee, and the pledge is the land usage right of Yangguoyong (2011) No. 10482 Land owned by the subsidiary Jeshine New Material Co., Ltd. and the guarantor is Zhenjiang Huantai Silicon Technology Co., Ltd. and Dongxu Photo-electricity Technology Co., Ltd. The pledge for the 9.3 million yuan is the land usage right of Yangguoyong (2011) No. 10487 Land owned by the subsidiary Jeshine New Material Co., Ltd.; the pledge for the 14 million yuan is the self-owned house property and the land usage right owned by Gaozhao Solar Energy Science and Technology Co., Ltd. and Jiangsu Secco Silicon Energy Co., Ltd. The certificate numbers are: Yangfangzi No. 81801320 and No. 81801321 of Gaozhao Property Ownership Certificate, No. (2014) 1508 of Yangguoyong Industrial Land and No. (2013) 3231 of Yangguoyong Meike Land Use Right.
4.The guaranteed loan amount at the end of the period is RMB 2165 million, of which: Dongxu Group Co., Ltd. provides joint guarantee of RMB195 million to the subsidiary Zhengzhou Xufei Optoelectronic Technology Co., Ltd.; Dongxu Group Co., Ltd. provides joint guarantee of RMB80 million to the company; Li Zhaoting provides guarantee of RMB 100 million to company; Dongxu Group and Li Zhaoting provides guarantee of RMB 750 million to company; Dongxu Group , Li Zhaoting and Li Qing provides guarantee of RMB 400 million to company; meanwhilie, thecompany’s shareholder Shijiazhuang Baoshi Electronics Group Co., Ltd. provides pledge of RMB 33.5 million of its holding shares; The company provides guarantee of RMB 200 million to the subsidiary Wuhu Dongxu Optoelectronic Technology Co., Ltd.; The company provides guarantee of RMB 200 million to the subsidiary Wuhu Dongxu Optoelectronic Technology Co., Ltd.; At the same time, Dongxu Group provides full joint liability guarantee for the borrowing; the actual controller of the company Li Zhaoting provides joint liability guarantee valuing 40 million yuan for the subsidiary Wuhu Dongxu Photo-electricity Technology Co., Ltd.,The company provides guarantee of RMB50 million to the subsidiary Wuhu Dongxu Optoelectronic Equipment Technology Co., Ltd.; Wuhu Economic and Technological Development Zone Construction Investment Co., Ltd provides guarantee of RMB 75 million to the subsidiary Wuhu Dongxu Optoelectronic Technology Co., Ltd.; Wuhu Economic and Technological Development Zone Construction Investment Co., Ltd provides guarantee of RMB 75 million to the subsidiary Wuhu Dongxu Optoelectronic Equipment Technology Co., Ltd.
5.The pledge of the pledge loan is RMB 250 milllion ofthe fixed deposit receipts.
6. The pledge for the secured borrowings valuing 265 million is the fixed deposit receipt valuing 280 million yuan.
20. Bills payable
In RMB
||||
|-|-|-|
|Type|At end of term|At beginning of term|
|Commercial acceptance|69,458,800.00||
|Bank acceptance|341,136,129.94|280,000,000.00|
|Total|410,594,929.94|280,000,000.00|

 Amount due in next fiscal period is RMB 0.00.
21.Account payable
（1）Account payable
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report In RMB
||||
|-|-|-|
|Items|Closing balance|Opening balance|
|Engineering fund|253,090,961.95|203,890,931.26|
|Material fund|388,295,104.60|65,452,461.97|
|Transportation expenses|4,086,308.99||
|Other|30,263,851.08|5,978,910.66|
|Total|675,736,226.62|275,322,303.89|

（2）Significant accounts payable that aged over one year
In RMB
||||
|-|-|-|
|||The reason for not repaid or carried f|
|Items|Balance in year-end||
|||orward|
|Sichuan Yilong Construction Co., Ltd.||Not reached the agreed payment terms and|
||10,780,000.00||
|Kezhou Branch||deadlines|
|Ningxia Tianshun Electric Power||Not reached the agreed payment terms and|
||6,281,753.22||
|Engineering Co., Ltd.||deadlines|
|Shijiazhuang Baoshi VacuumGlass Co.,||Not reached the agreed payment terms and|
||5,533,363.79||
|Ltd.||deadlines|
|Total|22,595,117.01|--|

Othernotes：The other reason for reduction is the transferring-in of the non current assets due within one year for the next accounting period.
22.Advance account
（1）Advance account
In RMB
||||
|-|-|-|
|Items|Closing balance|Opening balance|
|Goods|70,046,067.70|90,225.70|
|Engineering fund|27,874,621.71|22,292,047.77|
|Total|97,920,689.41|22,382,273.47|

（2）Significant .Advance account that aged over one year
In RMB
||||
|-|-|-|
|||The reason for not repaid or carried f|
|Items|Balance in year-end||
|||orward|

(3) Information of unliquidated completed assets formed in the construction contract at the end of the period
In RMB
|||
|-|-|
|Items|Amount|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||
|-|-|
|Accumulated Incurred Cost|632,341,077.84|
|Accumulated Confirmed Gross Profit|64,011,141.00|
|Settlement Amount|668,961,663.83|
|Unliquidated Completed Assets Formed in the Construction||
||27,390,555.01|
|Contract||

Othernotes：
Note: No significant advances with aging over 1 year at the end of the period.
Note: The material reason for the increase of advances in the end compared from the beginning of the period is the increase of advances from customers.
23. Payroll payable
(1) List of Payroll payable
In RMB
||||||
|-|-|-|-|-|
|Items|Balance in year-begin|Increase at this period|Decrease at this period|Balance in year-end|
|I.|||||
||27,640,365.29|484,488,017.46|475,496,872.76|36,631,509.99|
|Short-term remuneration|||||
|II.|||||
|Post-employment benefit|||||
||1,825,221.14|38,775,602.73|40,376,076.00|224,747.87|
|s - defined contribution p|||||
|lans|||||
|Total|29,465,586.43|523,263,620.19|515,872,948.76|36,856,257.86|

（2）Short-term remuneration
In RMB
||||||
|-|-|-|-|-|
|Items|Balance in year-begin|Increase at this period|Decrease at this period|Balance in year-end|
|1.Wages, bonuses,|||||
||16,387,517.28|395,774,060.03|388,999,681.55|23,161,895.76|
|allowances and subsidies|||||
|2.Employee welfare|202,729.95|44,204,622.07|44,407,352.02||
|3. Social insurance|||||
||1,071,665.94|19,608,648.49|20,670,791.22|9,523.21|
|premiums|||||
|Including：Medical|||||
||694,843.17|17,382,317.24|18,076,816.01|344.40|
|insurance|||||
|Work injury insurance|311,961.18|1,065,874.79|1,368,705.16|9,130.81|
|Maternity insurance|64,861.59|1,160,456.46|1,225,270.05|48.00|
|4. Public reserves for|||||
||2,261,759.63|16,117,854.10|18,061,509.68|318,104.05|
|housing|||||
|5.Union funds and staff|6,518,853.59|8,452,645.49|1,904,284.51|13,067,214.57|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||
|-|-|-|-|-|
|education fee|||||
|Other|1,197,838.90|330,187.28|1,453,253.78|74,772.40|
|Total|27,640,365.29|484,488,017.46|475,496,872.76|36,631,509.99|

（3）Defined contribution plans listed
In RMB
||||||
|-|-|-|-|-|
|Items|Balance in year-begin|Increase at this period|Decrease at this period|Balance in year-end|
|1. Basic old-age|||||
||1,645,968.31|37,037,535.88|38,458,816.32|224,687.87|
|insurance premiums|||||
|2.Unemployment|||||
||179,252.83|1,738,066.85|1,917,259.68|60.00|
|insurance|||||
|Total|1,825,221.14|38,775,602.73|40,376,076.00|224,747.87|

 Other notes:
24. Taxes payable
In RMB
||||
|-|-|-|
|Items|Closing balance|Opening balance|
|VAT|4,699,249.82|9,247,682.59|
|Business Tax|11,761,731.75|7,087,533.44|
|Enterprise Income tax|67,526,265.91|91,146,472.17|
|Individual income tax|13,798,236.93|1,404,356.81|
|City Construction tax|1,179,317.86|1,017,698.80|
|House property tax|4,088,234.58|2,489,262.10|
|Land use tax|1,273,515.66|1,460,201.25|
|Educational surtax|767,574.48|621,001.26|
|Stamp Tax|70,532.82|204,847.64|
|Other|286,763.86|30,500.99|
|Total|105,451,423.67|114,709,557.05|

 Othernotes：
25. Interest payable
In RMB
||||
|-|-|-|
|Items|Closing balance|Opening balance|
|Interest on long-term borrowings payable|18,738,942.09||
|Enterprise bond interest|36,666,666.67||
|Total|55,405,608.76||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report Particulars of significant overdue unpaid interest:
In RMB
||||
|-|-|-|
|Name|Overdue amount|Overdue reason|

Othernotes：
Note: The material reason for the increase of advances in the end compared from the beginning of the period is the increase of advances from customers.
26. Dividends payable
In RMB
||||
|-|-|-|
|Items|Closing balance|Opening balance|
|Common stock dividend|20,000,000.00|30,000,000.00|
|Total|20,000,000.00|30,000,000.00|

 Note: Including significant unpaid dividends payable over one year, the unpaid reason shall be disclosed:
27. Other accounts payable
(1) Other accounts payable listed by nature of the account
In RMB
||||
|-|-|-|
|Items|Closing balance|Opening balance|
|Current account|414,964,454.37|217,000,997.87|
|Deposit|19,010,735.95|10,112,118.72|
|Individual official borrowing|786,231.71|1,658,466.88|
|official borrowing|15,000,000.00|15,000,000.00|
|Deposit|605,520.16|816,230.00|
|Social security withholding|778,586.04|1,906,771.96|
|Engineering fund|1,829,473.81|1,617,175.91|
|Equipment fund|6,065,857.97|6,065,857.97|
|Material fund|685,725.31|564,774.31|
|Petty cash|3,272,874.81|1,240,108.67|
|Equity section|58,889,712.93||
|Restricted stock repurchase obligations|9,011,520.00||
|Other|8,895,420.72|11,014,735.20|
|Total|539,796,113.78|266,997,237.49|

28.Non-current liabilities due within 1 year
In RMB
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Items|Closing balance|Opening balance|
|Long-term loans due 1 year|848,987,200.00|720,238,000.00|
|Long-term payable due 1 year|28,000,000.00||
|Total|876,987,200.00|720,238,000.00|

 Other explanation：
29.Other current liabilities
In RMB
||||
|-|-|-|
|Items|Closing balance|Opening balance|
|USD exchange|64,936,000.00|61,190,000.00|
|Deferred income|||
|Including：Government grants projects|20,457,266.66|17,301,266.66|
|Not realized after sale rental return|8,009,696.42|10,679,595.23|
|Total|93,402,963.08|89,170,861.89|

 Increase or decrease in short-term bondspayable：
In RMB
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
|||||||||Premium||||
||||||Amount||||This|||
|||||||||and|||Balance|
|||Issuing||Issuing|in||||period for|||
|Name|Par value||Term|||This issue|Interest|discount||Other|in|
|||date||amount|year-beg||||repaymen|||
|||||||||amortiatio|||year-end|
||||||in||||t|||
|||||||||n||||

Other explanation：
Notes：In 1993,the Group signed the agreement on exchange of US dollars which agreed returning 10,000,000 US dollars to the Exchange Unit and repossess the RMB 58,000,000 exchanged in November 1998, As of December 31, 2014, the Group still consults with the Exchange Unit on the returning of the exchange.
30. Long-term loan
(1) Category of long-term loan
In RMB
||||
|-|-|-|
|Items|Closing balance|Opening balance|
|Mortagage loans|6,638,384,500.00|6,094,547,000.00|
|Guarantee loans|60,000,000.00|130,000,000.00|
|Credit loans|400,000,000.00||
|Less ：Long-term loan due 1 year|-848,987,200.00|-720,238,000.00|
|Total|6,249,397,300.00|5,504,309,000.00|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual ReportNotes：
Notes1：Mortgage loan of RMB 6,698,384,500.00 is both mortgage loan and guaranteed loan and the amount of transferred non-current liability payable within one year is RMB848,987,200.00. Of which:
（1）Within the borrowing valuing 612 million yuan, 136 million yuan is mature in a year.The mortgage and guarantor of loanare：a. Mortgage of state-owned land employment right covering 202 mu (0.1346667km²) and workshops after the project is completed by Wuhu Dongxu Optoelectronic Technology Co., Ltd., and mortgage guarantee is provided by 2 precious metal platinum channels; b. the loan guarantor is Wuhu Construction Investment Co., Ltd. (2) Within the borrowing valuing 2,060,000,000.00 yuan, 280,000,000.00 yuan is mature in ayear.，The mortgage and guarantor of loanare：a. 8 precious metal platinum channels owned by Wuhu Dongxu Optoelectronic Technology Co., Ltd. as mortgage guarantee; b. the entire joint liability guarantee provided by Dongxu Optoelectronic Technology Co., Ltd. to its subsidiary Wuhu Dongxu Optoelectronic Technology Co., Ltd.
(3)（3）The collateral and guarantor for the loan valuing 500,000,000.00 yuan are: a. mortgage of land-use right of Wuhu Development (Industrial) State-owned Land Employment Right 2013 No. 020, Wuhu Development (Industrial) State-owned Land Employment Right 2013 No. 021 and Wuhu Development (Industrial) State-owned Land Employment Right 2014 No. 008 owned by Wuhu Dongxu Optoelectronic Equipment Technology Co., Ltd.; b. the entire joint liability guarantee provided by Dongxu Optoelectronic Technology Co., Ltd. to its subsidiary Wuhu Dongxu Optoelectronic Technology Co., Ltd.
(4)The collateral, hostage and guarantor for the loan valuing 240,000,000.00 yuan are: a. the pledger is Beijing Xufeng Real Estate Co., Ltd. and the collateral is the land use rights covering 21,137.723
m2
owned by Beijing Xufeng Prperty Co., Ltd.; b. the pledgor is Dongxu Optoelectronic Technology Co., Ltd., and the hostage is the100% equity of Beijing Xufeng Real Estate Co., Ltd. which is the wholly-owned subsidiaries of the company; c. Dongxu Group, Li Zhaoting and Li Qing provide guarantee for Dongxu Optoelectronic Technology Co., Ltd. Notes 2: The company has no overdue long-term loans.
（5）Within the borrowing valuing 1,036,384,500.00, 172,987,200.00 yuan is mature in a year. The pledges and guarantors of the borrowing: a. the pledges cover the land use rights, above-ground structures, machinery equipment (including 4 channels for precious metals and platinum) and others of Zhengzhou Xufei Optoelectronic Technology Co., Ltd.; the guarantors are Henan Coal Chemical Industry Group Co., Ltd. and Dongxu Group. Henan Coal Chemical offers principal and the caused interests, penalty rate, compound interest, compensatory payment, liquidated damages, aggravated damages, the realized expenses of creditor's rights and the joint liability guaranty valuing 200 million yuan. Dongxu Group offers the borrowing and the caused interests, penalty rate, compound interest, compensatory payment, liquidated damages, aggravated damages, the realized expenses of creditor's rights and the joint liability guaranty valuing 450 million yuan.
（6）Within the borrowing valuing 990,000,000.00 yuan, 200,000,000.00 yuan is mature in a year. This borrowing is mortgage loan as well as guaranteed loan. The pledger Shijiazhuang Xuxin Optoelectronic Technology Co., Ltd. possesses assets for the pledge, including land use rights, plants, machinery equipment (including 3 channels for precious metals and platinum)and etc. The couple Mr. Li Zhaoting and Mrs Li Qing of Dongxu Group provide a guarantee.
（7）As to the borrowing valuing 1.2 billion yuan, the guarantor is Dongxu Optoelectronic Technology Co., Ltd. and the pledge is the land use right of Beijing No. (2015) 0000016 Land of Real Estate Right in Fengtai District. Notes 2: As to the guaranteed loan valuing 60 million yuan, the total amount is mature in a year and it is guaranteed with joint liability by Henan Coal Chemical Industry Group Co., Ltd.
Notes 3: The company has no overdue long-term loans.
Other notes including interest rate range:
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report 31. Bonds payable
(1) Bonds payable
In RMB
||||
|-|-|-|
|Items|Closing balance|Opening balance|
|15 Dongxu Bonds|988,400,388.00||
|Total|988,400,388.00||

(2) Changes on bonds payable (not including other financial instrument classified as preferred stock and
perpetual capital securities of financial liabilities)
In RMB
||||||||||
|-|-|-|-|-|-|-|-|-|
|15|||||||||
||1,000,000|||1,000,000|1,000,000|36,666,66|-11,599,6|988,400,3|
|Dongxu||2015.5.19|5 years||||||
||,000.00|||,000.00|,000.00|6.67|12.00|88.00|
|Bonds|||||||||

(3) Note to conditions and time of share transfer of convertible bonds
Note: Deliberated and approved by the
21st
Meeting of the
7th
Board of Directors of Dongxu Optoelectronic and the
3rd
Extraordinary General Meeting in 2014 and authorized by Document No.[2015] 635 approved by China Securities Regulatory Commission (CSRC), the company issued public bonds valuing 1 billion yuan on May 19, 2015 at the price of 100 yuan per share. The issuance was carried out in the way of online issuing to the social public investors and offline inquiry and sales to the institutional investors. The final issuing result is 1 billion yuan for 5 years and the bond duration is 5 years. Theissuers’ option of increasing nominal interest rate andinvestors’ option of resale have been provided in the end of
3rd
year at the rate of6%. The nominal interest rate of bonds issued this time will remain the same in the first 3 years within the duration. When the company exercises the option of increasing nominal interest rate, the nominal interest rate of bonds which have not been resold in the final 2 years of the duration will be the nominal interest rate in the first 3 years added with increased points, and the interest rate in the final 2 years of the duration will remain the same. If the company does not exercise the option of increasing nominal interest rate, the nominal interest rate of bonds which have not been resold in the final 2 years of the duration will remain the same, the total amount of raised funds is 1 billion yuan and the payment of interest will be carried out once per year.
32. Long-term payable
(1) Long-term payable listed by nature of the account
In RMB
||||
|-|-|-|
|Items|Closing balance|Opening balance|
|Long-term payable|93,426,666.67||
|Less：Unconfirmed financing costs|8,426,666.67||
|Less：Port due Within 1 year|28,000,000.00||
|Total|57,000,000.00||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report Othernotes：
Note: Zhengzhou Xufei Optoelectronic Technology Co., Ltd. has transferred the platinum channel valuing 108,603,068.05 yuan at the price of 85 million yuan on October 25, 2015. On the same day, the channel has been rent back as financial lease at the price of 85 million yuan. The mortgage transaction of the platinum channel has been finished and guarantee has been provided by Dongxu Group.
33.Accrued liabilities
In RMB
|||||
|-|-|-|-|
|Items|Balance in year-end|Balance in year-beginning|Reason|
|Pending litigation||53,046.23|Failure|
|Total||53,046.23|--|

Other notes, including related important assumptions and estimates of accrued liabilities:
34.Deferred income
In RMB
|||||||
|-|-|-|-|-|-|
||Balance in|Increase at this|Decrease at this|||
|Items||||Balance in year-end|Reason|
||year-begin|period|period|||
|Govemment Subsidy|249,374,722.30|42,400,000.00|21,246,266.61|270,528,455.69||
|Not realized after||||||
||8,009,696.39|||-23,603,068.08||
|sale rental return||||||
|Titak|257,384,418.69|42,400,000.00|52,859,031.08|246,925,387.61|--|

Liabilities related to government subsidy:
In RMB
||||||||
|-|-|-|-|-|-|-|
||||The||||
||Balance at the|New grants|||||
||||non-operating||Balance at the|Income related to|
|Liabilities|beginning of|amount of this||Other changes|||
||||revenue amount||end of period|assets|
||period|period|||||
||||of this period||||
|Grant of|||||||
|||||||Associated with|
|Government|29,928,000.00|||2,244,600.00|27,683,400.00||
|||||||the asset|
|Infrastructure|||||||
|Grant of|||||||
|Glass-tube|||||||
|||||||Associated with|
|Secondary|25,000.00|||20,000.00|5,000.00||
|||||||the asset|
|Environmental|||||||
|Protection|||||||
|Grant of Industry|||||||
|||||||Associated with|
|Revitalization|3,111,111.11|||233,333.28|2,877,777.83||
|||||||the asset|
|and Technology|||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||
|-|-|-|-|-|
|Reconstruction|||||
|Project|||||
|Investment and|||||
|Subsidies of|||||
|“Double|||||
|Hundred Plan”||||Associated with|
||2,183,333.33|200,000.00|1,983,333.33||
|Project granted||||the asset|
|by the People's|||||
|Government of|||||
|Henan Province|||||
|TFTglass|||||
|substrate|||||
|technology||||Associated with|
||109,166.67|10,000.00|99,166.67||
|research and||||the asset|
|development|||||
|funds|||||
|TFT glass|||||
|||||Associated with|
|substrate Project|7,277,777.77|666,666.67|6,611,111.10||
|||||the asset|
|Subsidy|||||
|Investment and|||||
|Subsidies within|||||
|Budget for|||||
|Technological|||||
|Transformation|||||
|Project by|||||
|National||||Associated with|
||10,188,888.90|933,333.33|9,255,555.57||
|Development and||||the asset|
|Reform|||||
|Commission and|||||
|the Ministry of|||||
|Industry and|||||
|Information|||||
|Technology|||||
|TFT glass|||||
|||||Associated with|
|substrate Project|14,555,555.56|1,333,333.33|13,222,222.23||
|||||the asset|
|Subsidy|||||
|Special Funds for|||||
|Major Scientific|||||
|and Technical||||Associated with|
||727,777.77|66,666.67|661,111.10||
|Projects by||||the asset|
|Finance Bureau|||||
|of Zhengzhou|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||
|-|-|-|-|-|
|City|||||
|Financial|||||
|Supports for|||||
|National Key|||||
|Industry and|||||
|||||Associated with|
|Technical|10,188,888.90|933,333.33|9,255,555.57||
|||||the asset|
|Transformation|||||
|Projects Granted|||||
|by the Municipal|||||
|Finance Bureau|||||
|Financial|||||
|Supports for|||||
|Industrial|||||
|Development|||||
|Granted by the|||||
|||||Associated with|
|Finance Bureau|5,094,444.44|466,666.67|4,627,777.77||
|||||the asset|
|of the Economic|||||
|and|||||
|Technological|||||
|Development|||||
|Zone|||||
|Funds for|||||
|Independent|||||
|Innovation of||||Associated with|
||4,366,666.67|400,000.00|3,966,666.67||
|Provincially||||the asset|
|Supported|||||
|Enterprises|||||
|Supporting Funds|||||
|||||Associated with|
|on Finance|1,455,555.56|133,333.33|1,322,222.23||
|||||the asset|
|Discounts|||||
|Funds for|||||
|Education,|||||
|Science and||||Associated with|
||1,091,666.67|100,000.00|991,666.67||
|Culture Granted||||the asset|
|by the Finance|||||
|Bureau|||||
|Supporting Funds|||||
|for Industrial|||||
|Structure||||Associated with|
||2,115,555.55|186,666.67|1,928,888.88||
|-adjusting||||the asset|
|Projects Granted|||||
|by the Regional|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|Finance Bureau||||||
|Industrial and|||||Associated with|
||1,217,777.77||106,666.67|1,111,111.10||
|financial discount|||||the asset|
||||||Associated with|
|Finance discount|3,861,111.19||333,333.33|3,527,777.86||
||||||the asset|
|Financial||||||
|capitalof||||||
|industrial|||||Associated with|
||4,133,333.33||320,000.00|3,813,333.33||
|structure|||||the asset|
|adjustment||||||
|project||||||
|Special Funds for||||||
|High-end||||||
|Information||||||
|Industry Chain||||||
|Granted by the||||||
||||||Associated with|
|Finance Bureau|4,527,777.78||333,333.33|4,194,444.45||
||||||the asset|
|of the Economic||||||
|and||||||
|Technological||||||
|Development||||||
|Zone||||||
|Technology|||||Associated with|
||3,199,999.99||266,666.67|2,933,333.32||
|Reform|||||the asset|
|Glass substrate||||||
||||||Associated with|
|project subsidy|12,000,000.00||1,000,000.00|11,000,000.00||
||||||the asset|
|funds||||||
|Industry||||||
||||||Associated with|
|Development|5,599,999.99||466,666.67|5,133,333.32||
||||||the asset|
|Fund||||||
|Finance discount|||||Associated with|
||376,000.01||31,333.33|344,666.68||
|interest|||||the asset v|
|Production line te||||||
|chnology researc|||||Associated with|
||84,699,333.34||6,515,333.33|78,184,000.01||
|h and developme|||||the asset|
|nt granted funds||||||
|Special funds||||||
|grant of 2013||||||
||||||Associated with|
|provincial|5,000,000.00|83,333.33|333,333.33|4,583,333.34||
||||||the asset|
|strategic new||||||
|industries||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||
|-|-|-|-|-|-|-|
|Special funds|||||||
|||||||Associated with|
|for technical|32,340,000.00||205,666.67|822,666.67|31,311,666.66||
|||||||the asset|
|transformation|||||||
|Strategic new|||||||
|industry||||||Associated with|
|||30,000,000.00|500,000.00|2,000,000.00|27,500,000.00||
|development||||||the asset|
|project funds|||||||
|High-tech|||||||
|Zone|||||||
|||||||Associated with|
|appropriated||6,400,000.00|||6,400,000.00||
|||||||the asset|
|substrate|||||||
|project|||||||
|Special funds|||||||
|for 2015|||||||
|scientific and|||||||
|||||||Associated with|
|technological||6,000,000.00|||6,000,000.00||
|||||||the asset|
|achievements|||||||
|transform|||||||
|project|||||||
|Total|249,374,722.30|42,400,000.00|789,000.00|20,457,266.61|270,528,455.69|--|

 Othernotes：
35.Stock capital
In RMB
|||||||||
|-|-|-|-|-|-|-|-|
|||Increase/decrease this time (+ , - )||||||
||Balance||||||Balance|
|||Issuing of new||Transferred||||
||Year-beginning||Bonus shares||Other|Subtotal|year-end|
|||share||from reserves||||
|Total of capital|2,662,080,001.00|1,173,020,525.||||1,172,920,525.|3,835,000,526.00|
||||||-100,000.00|||
|shares||00||||00||

 Othernotes：The non public issuance of shares in the period, with amount of RMB1,173,020,525.00; the capital stock decreased 100,000.00 due to the buy-back of 100 thousand shares of personnel left the company in the incentive plan.
36. Capital reserves
In RMB
||||||
|-|-|-|-|-|
|Items|Year-beginning balance|Increase in current|Decrease in current|Year-end balance|
|Share premium|4,941,444,542.98|6,536,687,661.34|2,167,793,079.09|9,312,058,288.34|
|Other|31,522,375.26|||31,522,375.26|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||
|-|-|-|-|-|
|Total|4,972,966,918.24|6,536,687,661.34|2,167,793,079.09|9,341,861,500.49|

 Other notes, including changes and reason of change:
Notes：Change of capital reserve: Owning to the equity incentive, the amortized expense increased RMB5,975,200.00 of capitalreserve；Capital reserve decreased RMB278,000 for purchasing the 100 thousands shares of the personnel left the company in the incentive plan; increased RMB22,460.81 for increasing the capital to Dongxu Display Materials Co.,Ltd(Kunshan), which is one of thecompany’s subsidiaries; increased RMB6,761,505,058.68 due to the non-public issuance of shares in the period; decreased RMB2,805,458.52 due to investment to Shijiazhuang Xuxin Optoelectronic Technology Co., Ltd and Zhenzhou Xufei Optoelectronic Technology Co., Ltd both arecompany’s subsidiaries and decreased RMB2,348,802,731.84 for consolidating the two companies in the period; decreased RMB2,169,512,242.19 for consolidating under common control.
37.Treasury stock
In RMB
||||||
|-|-|-|-|-|
||||Decrease in the current||
|Items|Year-beginning balance|Increase in the current||Year-end balance|
||||period||
|Share repurchases|||||
|||9,011,520.00||9,011,520.00|
|obligations|||||
|Total||9,011,520.00||9,011,520.00|

 Other notes, including changes and reason of change:
38. Surplus reserve
In RMB
||||||
|-|-|-|-|-|
|Items|Year-beginning balance|Increase in the current|Decrease in the current|Year-end balance|
|||period|period||
|Statutory surplus reserve|82,025,280.68|50,698,247.74||132,723,528.42|
|Total|82,025,280.68|50,698,247.74||132,723,528.42|

 Other note, including changes and reason of change
39. Retained profits
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|Before adjustments: Retained profits at the periodend|||
||-39,946,925.56|-53,394,384.81|
|Adjustment opening: Total retained earnings||-409,441,900.51|
|After adjustments: Retained profits at the periodbeginning|-39,946,925.56||
|||-462,836,285.32|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Add：Net profit belonging to the owner of theparent company|||
||1,326,233,674.37|468,902,701.44|
|Less: Withdrawal Statutory surplus reserve|50,698,247.74|46,013,341.68|
|Dividend of common stock payable|266,208,000.10||
|Other|||
|Retained profits at the period end|969,380,500.97|-39,946,925.56|

 As regards the details of adjusted the beginning undistributed profits
(1) As the change of consolidation scope caused by the same control, the affected beginning undistributed profits are RMB -409,411,900.5.
40. Business income, Business cost
In RMB
||||||
|-|-|-|-|-|
||Amount of current period||Amount of previous period||
|Items|||||
||Income|Cost|Income|Cost|
|Main business|4,493,964,265.82|2,735,826,361.71|1,463,181,805.77|952,849,136.64|
|Other business|156,244,182.28|64,527,156.33|137,568,939.92|93,173,473.76|
|Total|4,650,208,448.10|2,800,353,518.04|1,600,750,745.69|1,046,022,610.40|

 41. Business tax and subjoin
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|Business tax|9,473,064.36|4,487,139.19|
|Urban construction tax|15,207,933.71|13,099,106.65|
|Education surcharg|10,866,794.71|9,091,853.24|
|Other|1,472.01|4,698.39|
|Total|35,549,264.79|26,682,797.47|

 Othernotes：
42.Sales expenses
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|Wage and welfare insurance|9,577,304.17|7,787,738.76|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Shipment|15,029,206.52|8,970,258.49|
|Travel|2,537,857.51|1,995,827.93|
|Business expenses|2,400,435.65|2,217,663.27|
|Consumables and repairs|872,295.58|18,430.59|
|Office fee|1,380,825.27|1,065,152.65|
|Depreciation|299,452.46|333,225.97|
|Advertising|7,406,776.38|1,029,214.72|
|Other|5,440,087.33|2,871,784.15|
|Total|44,944,240.87|26,289,296.53|

 Othernotes：
43. Administrative expenses
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|Wage and welfare|120,695,243.98|91,657,063.78|
|Business expenses|5,801,409.26|4,024,078.17|
|Labor protect fee|6,362,151.05|1,424,433.50|
|Office fees|24,301,594.73|6,486,123.90|
|Travel fees|6,781,275.98|7,858,521.32|
|Publicize Fees|6,795,381.48|582,241.50|
|Miscellaneous charges|2,187,603.33|1,011,246.56|
|Tax|27,453,898.17|21,496,366.40|
|Depreciation accumulative|29,571,273.02|22,676,351.27|
|Consumables and repairs|5,224,169.65|460,648.53|
|Research expenses|64,450,967.01|18,894,621.65|
|Consultation fees|23,013,499.24|10,882,113.62|
|Rental fees|38,532,218.78|26,734,924.72|
|Communication fees|2,564,574.20|194,734.53|
|Transportation feed|7,358,972.61|752,014.04|
|Equity incentive cost|5,975,200.00|1,062,300.00|
|Amortization of long-term expenses|44,719,642.82|24,796,037.04|
|Recruitment fees|421,789,075.31|240,993,820.53|
|Insurance|2,731,056.92||
|Other|31,460,203.46|24,796,037.04|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Total|421,789,075.32|240,993,820.53|

 Othernotes：
44. Financial expenses
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|Interest expenses|347,894,592.83|56,892,773.66|
|Less：Interest income|55,904,591.07|13,023,572.01|
|Net interest expenses|291,990,001.76|43,869,201.65|
|Exchange gains and losses|-5,299,549.89|2,168,241.30|
|Financial institution|1,410,194.60|6,026,227.72|
|Bill discount rate|6,309,273.36|24,385,701.61|
|Other|6,480.29|14,532.34|
|Total|294,416,400.12|76,463,904.62|

 Othernotes：
45. Asset impairment loss
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|1. Bad debt loss|-15,905,706.47|9,435,655.61|
|Total|-15,905,706.47|9,435,655.61|

 Othernotes：
46.Investment income
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|Long-term equity investment income by equity|||
||426,252.41||
|method|||
|Other investment income|3,720,986.32||
|Total|4,147,238.73||

Othernotes：
47. Non-operating income
In RMB
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
||||The amount of non-operating|
|Items|Amount of current period|Amount of previous period||
||||gains & losses|
|Non-current assets disposal||12,738.05||
|gains in total||||
|Including：Income from||||
|||12,738.05||
|liquidation of fixed asset||||
|Govemment Subsidy|535,584,924.37|463,616,423.71|535,584,924.37|
|The deductible input tax income|2,439,717.82||2,439,717.82|
|Enterprise merger|18,763,137.14||18,763,137.14|
|Other|966,032.09|306,403.71|966,032.09|
|Total|557,753,811.42|463,935,565.47|557,753,811.42|

 Government subsidy reckoned into current gains/losses
In RMB
||||||||||
|-|-|-|-|-|-|-|-|-|
|||||Whether the||Amount of|Amount of||
|||||impact of|||||
||||||Whhether|||Assets-relate|
|||||||current|previous||
|||Issuing||subsidies on|||||
|Items|Issuing body||Nature||special|||d/income|
|||Reason||the current|||||
||||||subsidies|period|period|-related|
|||||profit and|||||
|||||loss|||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||conforming||||||
||||to the local||||||
||Wuhu Economic||||||||
||||supporting||||||
|Grant of|and Technologi||||||||
||||policies|||||Related|
|Government|cal Developmen|Subsidy||No|No|2,244,600.00|1,496,400.00||
||||such as|||||to assets|
|Infrastructure|t Zone Finance||||||||
||||local||||||
||Bureau||||||||
||||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
|Grant of|||Grants||||||
||Wuhu Economic||||||||
|Industry|||obtained||||||
||and Technologi||||||||
|Revitalizatio|||due to|||||Related to|
||cal Developmen|Subsidy||No|No|233,333.28|155,555.55||
|n and|||research|||||assets|
||t Zone Finance||||||||
|Technology|||and||||||
||Bureau||||||||
|Reconstructio|||developme||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
|n Project|||nt,||||||
||||technical||||||
||||renovation||||||
||||and||||||
||||transformat||||||
||||ion, etc.||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||conforming||||||
||||to the local||||||
|Grant of|||||||||
||||supporting||||||
|Glass-tube|Shiijiazhuang||||||||
||||policies|||||Related|
|Secondary|Municipal|Subsidy||No|No|20,000.00|20,000.00||
||||such as|||||to assets|
|Environment|Finance Bureau||||||||
||||local||||||
|al Protection|||||||||
||||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||research||||||
||Shijiazhuang||||||||
||||and||||||
|Technical|Municipal||||||||
||||developme|||||Related to|
|reconstructi|Development|Subsidy||No|No|266,666.67|266,666.67||
||||nt,|||||assets|
|on|and deform||||||||
||||technical||||||
||Commission||||||||
||||renovation||||||
||||and||||||
||||transformat||||||
||||ion, etc.||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||conforming||||||
|Grant of|Shijiazhuang||||||||
||||to the local||||||
|Glass|High-tech|||||||Related|
|||Subsidy|supporting|No|No|1,000,000.00|1,000,000.00||
|Substrate|Management|||||||to assets|
||||policies||||||
|Project|Committee||||||||
||||such as||||||
||||local||||||
||||government||||||
||||’s||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||conforming||||||
||||to the local||||||
||Shijiazhuang||supporting||||||
|Industry|||||||||
||High-tech||policies|||||Related to|
|Development||Subsidy||No|No|466,666.67|466,666.67||
||Management||such as|||||assets|
|Fund|||||||||
||Committee||local||||||
||||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||research||||||
||||and||||||
|Project|Shiijiazhuang||||||||
||||developme|||||Related|
|finance|Municipal|Subsidy||No|No|31,333.33|31,333.33||
||||nt,|||||to assets|
|discount|Finance Bureau||||||||
||||technical||||||
||||renovation||||||
||||and||||||
||||transformat||||||
||||ion, etc.||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
|Production li|||research||||||
|ne technolog|||and||||||
||Shiijiazhuang||||||||
|y research an|||developme|||||Related to|
||Municipal|Subsidy||No|No|6,515,333.33|6,515,333.33||
|d developme|||nt,|||||assets|
||Finance Bureau||||||||
|nt granted fu|||technical||||||
|nds|||renovation||||||
||||and||||||
||||transformat||||||
||||ion, etc.||||||
|2013|Shijiazhuang||Grants|||||Related|
|||Subsidy||No|No|83,333.33|||
|Provincial|Municipal||obtained|||||to assets|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
|strategic|Development||due to||||||
|emerging|and deform||conforming||||||
|industries of|Commission||to the local||||||
|special grant|||supporting||||||
|funds|||policies||||||
||||such as||||||
||||local||||||
||||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||research||||||
|Technology|||and||||||
||Shiijiazhuang||||||||
|reconstructi|||developme|||||Related to|
||Municipal|||No|No|205,666.67|||
|on Special|||nt,|||||assets|
||Finance Bureau||||||||
|funds|||technical||||||
||||renovation||||||
||||and||||||
||||transformat||||||
||||ion, etc.||||||
||||Grants||||||
||||obtained||||||
|Investment|||||||||
||||due to||||||
|and Subsidies|||||||||
||||conforming||||||
|of “Double|||||||||
||||to the local||||||
|Hundred|||||||||
||Henan||supporting||||||
|Plan”|||||||||
||Provincial||policies|||||Related|
|Project||Subsidy||No|No|200,000.00|200,000.00||
||People’s||such as|||||to assets|
|granted by|||||||||
||Government||local||||||
|the People's|||||||||
||||government||||||
|Government|||||||||
||||’s||||||
|of Henan|||||||||
||||investment||||||
|Province|||||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
|TFT glass|||||||||
||Zhengzhou||obtained||||||
|substrate||||||||Related to|
||Municipal|Subsidy|due to|No|No|10,000.00|10,000.00||
|technology||||||||assets|
||Finance Bureau||research||||||
|R& D fund|||||||||
||||and||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
||||developme||||||
||||nt,||||||
||||technical||||||
||||renovation||||||
||||and||||||
||||transformat||||||
||||ion, etc.||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||conforming||||||
||||to the local||||||
|TFT glass|||supporting||||||
||Zhengzhou||||||||
|substrate|||policies|||||Related|
||Municipal|Subsidy||No|No|666,666.67|666,666.67||
|project|||such as|||||to assets|
||Finance Bureau||||||||
|Subsidy|||local||||||
||||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
|Investment|||||||||
|and Subsidies|||||||||
|within|||||||||
||||Grants||||||
|Budget for|||||||||
||||obtained||||||
|Technologica|||||||||
||||due to||||||
|l|||||||||
||Zhengzhou||research||||||
|Transformati|||||||||
||Economic and||and||||||
|on Project by|||||||||
||Technology||developme|||||Related to|
|National||Subsidy||No|No|933,333.33|933,333.33||
||Development||nt,|||||assets|
|Development|||||||||
||Zone Finance||technical||||||
|and Reform|||||||||
||Bureau||renovation||||||
|Commission|||||||||
||||and||||||
|and the|||||||||
||||transformat||||||
|Ministry of|||||||||
||||ion, etc.||||||
|Industry and|||||||||
|Information|||||||||
|Technology|||||||||
||||Grants||||||
|TFT glass|||||||||
||Zhengzhou||obtained||||||
|substrate|||||||||
||Municipal|Subsidy|due to|No|No|1,333,333.33|1,333,333.33||
|project|||||||||
||Finance Bureau||conforming||||||
|Subsidy|||||||||
||||to the local||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
||||supporting||||||
||||policies||||||
||||such as||||||
||||local||||||
||||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
|Special|||due to||||||
|Funds for|||conforming||||||
|Major|||to the local||||||
|Scientific and|||supporting||||||
||Zhengzhou||||||||
|Technical|||policies|||||Related|
||Municipal|Subsidy||No|No|66,666.67|66,666.67||
|Projects by|||such as|||||to assets|
||Finance Bureau||||||||
|Finance|||local||||||
|Bureau of|||government||||||
|Zhengzhou|||’s||||||
|City|||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to the||||||
|Financial|||||||||
||||country||||||
|Supports for|||||||||
||||encourage||||||
|National Key|||||||||
||Zhengzhou||and support||||||
|Industry and|||||||||
||Economic and||specific||||||
|Technical|||||||||
||Technology||industries|||||Related to|
|Transformati||Subsidy||No|No|933,333.33|933,333.33||
||Development||(Obtained|||||assets|
|on Projects|||||||||
||Zone Finance||in||||||
|Granted by|||||||||
||Bureau||accordance||||||
|the Municipal|||||||||
||||with the||||||
|Finance|||||||||
||||national||||||
|Bureau|||||||||
||||policies||||||
||||and||||||
||||regulations)||||||
|Financial|||Grants||||||
||Zhengzhou||||||||
|Supports for|||obtained|||||Related|
||Municipal|Subsidy||No|No|466,666.67|466,666.67||
|Industrial|||due to|||||to assets|
||Finance Bureau||||||||
|Development|||conforming||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
|Granted by|||to the local||||||
|the Finance|||supporting||||||
|Bureau of the|||policies||||||
|Economic|||such as||||||
|and|||local||||||
|Technologica|||government||||||
|l|||’s||||||
|Development|||investment||||||
|Zone|||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||conforming||||||
|Funds for|Zhengzhou||to the local||||||
|Independent|Economic and||supporting||||||
|Innovation of|Technology||policies|||||Related to|
|||Subsidy||No|No|400,000.00|400,000.00||
|Provincially|Development||such as|||||assets|
|Supported|Zone Finance||local||||||
|Enterprises|Bureau||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||conforming||||||
||||to the local||||||
|Supporting|||supporting||||||
||Zhengzhou||||||||
|Funds on|||policies||||||
||Municipal|Subsidy||No|No|133,333.33|133,333.33||
|Finance|||such as||||||
||Finance Bureau||||||||
|Discounts|||local||||||
||||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
|Funds for|||Grants||||||
|Education,|Zhengzhou||obtained||||||
|||||||||Related|
|Science and|Municipal|Subsidy|due to|No|No|100,000.00|100,000.00||
|||||||||to assets|
|Culture|Finance Bureau||conforming||||||
|Granted by|||to the local||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
|the Finance|||supporting||||||
|Bureau|||policies||||||
||||such as||||||
||||local||||||
||||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
|Supporting|||due to||||||
|Funds for|||conforming||||||
|Industrial|Zhengzhou||to the local||||||
|Structure|Economic and||supporting||||||
|-adjusting|Technology||policies|||||Related to|
|||Subsidy||No|No|186,666.67|186,666.67||
|Projects|Development||such as|||||assets|
|Granted by|Zone Finance||local||||||
|the Regional|Bureau||government||||||
|Finance|||’s||||||
|Bureau|||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||conforming||||||
||||to the local||||||
||||supporting||||||
|Industry|Zhengzhou||||||||
||||policies|||||Related|
|discount and|Municipal|Subsidy||No|No|106,666.67|106,666.67||
||||such as|||||to assets|
|expenses|Finance Bureau||||||||
||||local||||||
||||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
||Zhengzhou||Grants||||||
||Economic and||obtained||||||
|Financial|Technology||due to|||||Related to|
|||Subsidy||No|No|333,333.33|333,333.33||
|discount|Development||conforming|||||assets|
||Zone Finance||to the local||||||
||Bureau||supporting||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
||||policies||||||
||||such as||||||
||||local||||||
||||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||conforming||||||
||||to the local||||||
|Industrial|||||||||
||||supporting||||||
|restructuting|Zhengzhou||||||||
||||policies|||||Related|
|project|Municipal|Subsidy||No|No|320,000.00|320,000.00||
||||such as|||||to assets|
|financial|Finance Bureau||||||||
||||local||||||
|funds|||||||||
||||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
|Special|||||||||
||||obtained||||||
|Funds for|||||||||
||||due to the||||||
|High-end|||||||||
||||country||||||
|Information|||||||||
||||encourage||||||
|Industry|||||||||
||Zhengzhou||and support||||||
|Chain|||||||||
||Economic and||specific||||||
|Granted by|||||||||
||Technology||industries|||||Related|
|the Finance||Subsidy||No|No|333,333.33|138,888.90||
||Development||(Obtained|||||to assets|
|Bureau of the|||||||||
||Zone Finance||in||||||
|Economic|||||||||
||Bureau||accordance||||||
|and|||||||||
||||with the||||||
|Technologica|||||||||
||||national||||||
|l|||||||||
||||policies||||||
|Development|||||||||
||||and||||||
|Zone|||||||||
||||regulations)||||||
|Strategic|||||||||
|emerging|||||||||
|||||||||Related to|
|industry||Subsidy||No|No|500,000.00|||
|||||||||assets|
|Development|||||||||
|project funds|||||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
||||Grants||||||
|Financial|||||||||
||||obtained||||||
|Grant of|||||||||
||Exconomic and||due to||||||
|Bureau of|||||||||
||trade||research||||||
|Finance in|||||||||
||development||and||||||
|Wuhu|||||||||
||Bureau of Wuhu||developme||||60,000,000.0|Related to|
|Economic||Subsidy||No|No||||
||Economic and||nt,||||0|income|
|and|||||||||
||technology||technical||||||
|Technologica|||||||||
||Development||renovation||||||
|l|||||||||
||Zone||and||||||
|Development|||||||||
||||transformat||||||
|Zone|||||||||
||||ion, etc.||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||conforming||||||
|Grant of fifth|||||||||
||||to the local||||||
|G6TFT-LCD|Wuhu Economic||||||||
||||supporting||||||
|glass|and Technology||||||||
||||policies|||30,000,000.0||Related to|
|substrate|Development|Subsidy||No|No||||
||||such as|||0||income|
|production|Zone Finance||||||||
||||local||||||
|line Ignition|Bureau||||||||
||||government||||||
|operation|||||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||conforming||||||
||||to the local||||||
||Wuhu Economic||||||||
|Production|||supporting||||||
||and Technology||||||||
|line|||policies|||60,000,000.0||Related to|
||Development|Subsidy||No|No||||
|instrallation|||such as|||0||income|
||Zone Finance||||||||
|grant funds|||local||||||
||Bureau||||||||
||||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
||Anhui Jiangbei||Grants||||||
|||||||138,420,000.|172,162,470.|Related to|
|Tax Returns|Industrial|Subsidy|obtained|No|No||||
|||||||00|80|income|
||Concentration||due to||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||
|-|-|-|-|-|-|-|-|
||Zone||conforming|||||
||Administrative||to the local|||||
||Committee||supporting|||||
||||policies|||||
||||such as|||||
||||local|||||
||||government|||||
||||’s|||||
||||investment|||||
||||attraction|||||
||||policy|||||
||||Grants|||||
||||obtained|||||
||||due to|||||
||||conforming|||||
||||to the local|||||
||||supporting|||||
|Stable job|Wuhu Social||policies||||Related to|
|||Subsidy||No|No|1,512,391.00||
|subsidy|Security Center||such as||||income|
||||local|||||
||||government|||||
||||’s|||||
||||investment|||||
||||attraction|||||
||||policy|||||
||||Grants|||||
||||obtained|||||
||Economic and||due to|||||
|Innovative|trade||research|||||
|province the|Development||and|||||
|first batch of|Bureau of Wuhu||developme||||Related to|
|||Subsidy||No|No|533,300.00||
|cash grants|Economic and||nt,||||income|
|supporting|Technology||technical|||||
|policies|Development||renovation|||||
||Zone||and|||||
||||transformat|||||
||||ion, etc.|||||
|Innovative|||Grants|||||
|province the|Wuhu Municipal||obtained|||||
|first batch of|Secience and||due to||||Related to|
|||Subsidy||No|No|533,300.00||
|cash grants|technology||research||||income|
|supporting|Bureau||and|||||
|policies|||developme|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
||||nt,||||||
||||technical||||||
||||renovation||||||
||||and||||||
||||transformat||||||
||||ion, etc.||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||conforming||||||
||||to the local||||||
||Wuhu Municipal||supporting||||||
|Science and|||||||||
||Secience and||policies|||||Related to|
|technology||Subsidy||No|No|350,000.00|||
||technology||such as|||||income|
|Project funds|||||||||
||Bureau||local||||||
||||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||research||||||
|Provincial|||and||||||
||Hebei Province||||||||
|Department|||developme|||||Related to|
||Finance|Subsidy||No|No||500,000.00||
|of finance|||nt,|||||income|
||Department.||||||||
|grants|||technical||||||
||||renovation||||||
||||and||||||
||||transformat||||||
||||ion, etc.||||||
||||Grants||||||
||||obtained||||||
|Wuhu|||||||||
||||due to||||||
|Finance|||||||||
||||conforming||||||
|treasury|||||||||
||Wuhu Fiscal||to the local||||||
|payment||||||||Related to|
||treasury|Subsidy|supporting|No|No|100,000.00|||
|center||||||||income|
||payment center||policies||||||
|innovation|||||||||
||||such as||||||
|team support|||||||||
||||local||||||
|fund|||||||||
||||government||||||
||||’s||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||
|-|-|-|-|-|-|-|-|
||||investment|||||
||||attraction|||||
||||policy|||||
||||Grants|||||
||||obtained|||||
||||due to|||||
|Wuhu Human|||conforming|||||
|Resources|||to the local|||||
|Service|||supporting|||||
||Wuhu Human|||||||
|Center|||policies||||Related to|
||Resources|Subsidy||No|No|99,200.00||
|College|||such as||||income|
||service center|||||||
|Graduates|||local|||||
|trainee|||government|||||
|subsidies|||’s|||||
||||investment|||||
||||attraction|||||
||||policy|||||
||||Grants|||||
|Wuhu|||obtained|||||
|economic and|Economic and||due to|||||
|technology|Trade||research|||||
|development|Development||and|||||
|zone|Bureau of Wuhu||developme||||Related to|
|||Award||No|No|43,000.00||
|economic and|economic and||nt,||||income|
|trade|Technological||technical|||||
|development|Development||renovation|||||
|councial|Zone||and|||||
|patent award|||transformat|||||
||||ion, etc.|||||
||||Grants|||||
||||obtained|||||
||Economic and||due to|||||
||Trade||research|||||
||Development||and|||||
|Science and||||||||
||Bureau of Wuhu||developme||||Related to|
|technology||Award||No|No|200,000.00||
||economic and||nt,||||income|
|project funds||||||||
||Technological||technical|||||
||Development||renovation|||||
||Zone||and|||||
||||transformat|||||
||||ion, etc.|||||
|Economic|Economic and||Grants||||Related to|
|||Award||No|No|47,400.00||
|and trade|Trade||obtained||||income|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||
|-|-|-|-|-|-|-|-|
|development|Development||due to|||||
|council|Bureau of Wuhu||conforming|||||
|export|economic and||to the local|||||
|incremental|Technological||supporting|||||
|incentives|Development||policies|||||
||Zone||such as|||||
||||local|||||
||||government|||||
||||’s|||||
||||investment|||||
||||attraction|||||
||||policy|||||
|atent Award||||||||
||||Grants|||||
|Granted by||||||||
||||obtained|||||
|Economic||||||||
||Economic and||due to|||||
|and Trade||||||||
||Trade||research|||||
|Development||||||||
||Development||and|||||
|Bureau of||||||||
||Bureau of Wuhu||developme||||Related to|
|Wuhu||Subsidy||No|No|42,000.00||
||economic and||nt,||||income|
|Economic||||||||
||Technological||technical|||||
|and||||||||
||Development||renovation|||||
|Technologica||||||||
||Zone||and|||||
|l||||||||
||||transformat|||||
|Development||||||||
||||ion, etc.|||||
|Area||||||||
||||Grants|||||
||||obtained|||||
||||due to|||||
||||conforming|||||
|Transaction|||to the local|||||
|Fees for|||supporting|||||
||Zhengzhou|||||||
|Individual|||policies||||Related to|
||Municipal Local|Subsidy||No|No|7,500.00||
|Income Tax|||such as||||income|
||Taxation Bureau|||||||
|Repaid by|||local|||||
|Tax Bureau|||government|||||
||||’s|||||
||||investment|||||
||||attraction|||||
||||policy|||||
||||Grants|||||
|Government|Wuhu Municipal||obtained||||Related to|
|||Subsidy||No|No|90,000.00||
|Support Fund|Finance Bureau||due to||||income|
||||conforming|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
||||to the local||||||
||||supporting||||||
||||policies||||||
||||such as||||||
||||local||||||
||||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||conforming||||||
||||to the local||||||
||||supporting||||||
|Industrial|||||||||
||Wuhu Municipal||policies|||||Related to|
|Development||Subsidy||No|No||5,945,613.86||
||Finance Bureau||such as|||||income|
|Funds|||||||||
||||local||||||
||||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
|Subsidy|||conforming||||||
|Funds for|||to the local||||||
|Single|||supporting||||||
|Device|Wuhu Municipal||policies|||||Related to|
|||Subsidy||No|No||435,100.00||
|Granted by|Finance Bureau||such as|||||income|
|the Finance|||local||||||
|Bureau of|||government||||||
|Wuhu City|||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
|Production|Finance Bureau||Grants||||||
|line|of Wuhu||obtained||||||
|||||||200,000,000.|200,000,000.|Related to|
|technology R|Economic|Subsidy|due to|No|No||||
|||||||00|00|income|
|& D grant|Development||research||||||
|funds|Zone||and||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||
|-|-|-|-|-|-|-|-|
||||developme|||||
||||nt,|||||
||||technical|||||
||||renovation|||||
||||and|||||
||||transformat|||||
||||ion, etc.|||||
||||Grants|||||
||||obtained|||||
||||due to|||||
||||conforming|||||
|Funds for||||||||
||||to the local|||||
|Major||||||||
||Wuhu Municipal||supporting|||||
|Projects of||||||||
||Science and||policies||||Related to|
|Science and||Subsidy||No|No|700,000.00||
||Technology||such as||||income|
|Technology||||||||
||Bureau||local|||||
|Program in||||||||
||||government|||||
|Wuhu City||||||||
||||’s|||||
||||investment|||||
||||attraction|||||
||||policy|||||
||||Grants|||||
||||obtained|||||
||||due to|||||
||||conforming|||||
|The 1st Batch|||to the local|||||
|of Funds for|||supporting|||||
||Zhengzhou|||||||
|Science and|||policies||||Related to|
||Municipal|Subsidy||No|No|4,000,000.00||
|Technology|||such as||||income|
||Finance Bureau|||||||
|Projects in|||local|||||
|2013|||government|||||
||||’s|||||
||||investment|||||
||||attraction|||||
||||policy|||||
||||Grants|||||
||Zhengzhou||obtained|||||
||Municipal||due to|||||
|Student|Human||conforming||||Related to|
|||Subsidy||No|No|300,000.00||
|subsidy|Resources and||to the local||||income|
||social security||supporting|||||
||Bureau||policies|||||
||||such as|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||
|-|-|-|-|-|-|-|-|
||||local|||||
||||government|||||
||||’s|||||
||||investment|||||
||||attraction|||||
||||policy|||||
||||Grants|||||
||||obtained|||||
||||due to|||||
||||research|||||
||||and|||||
||Zhengzhou|||||||
|Patent|||developme||||Related to|
||Municipal|Subsidy||No|No|78,200.00||
|subsidy|||nt,||||income|
||Finance Bureau|||||||
||||technical|||||
||||renovation|||||
||||and|||||
||||transformat|||||
||||ion, etc.|||||
|Companies|||Grants|||||
|Declaration|||obtained|||||
|Reward|||due to|||||
|Stated on the|||conforming|||||
|Plan for 2012|||to the local|||||
||Finance Bureau|||||||
|by the|||supporting|||||
||of Zhengzhou|||||||
|Finance|||policies||||Related to|
||Economic|Award||No|No|40,000.00||
|Bureau of the|||such as||||income|
||Development|||||||
|Economic|||local|||||
||Zone|||||||
|and|||government|||||
|Technologica|||’s|||||
|l|||investment|||||
|Development|||attraction|||||
|Zone|||policy|||||
||||Grants|||||
||||obtained|||||
|Special|||due to|||||
||Zhengzhou|||||||
|Funds for|||conforming|||||
||Municipal|||||||
|Intelligence|||to the local|||||
||Human||||||Related to|
|Introduction||Subsidy|supporting|No|No|50,000.00||
||Resources and||||||income|
|by|||policies|||||
||social security|||||||
|Zhengzhou|||such as|||||
||Bureau|||||||
|City|||local|||||
||||government|||||
||||’s|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
|Subsidies for|||||||||
||||due to||||||
|Postdoctoral|||||||||
||||conforming||||||
|Science|||||||||
||Zhengzhou||to the local||||||
|Research|||||||||
||Municipal||supporting||||||
|Workstation|||||||||
||Human||policies|||||Related to|
|Granted by||Subsidy||No|No|20,000.00|||
||Resources and||such as|||||income|
|the Human|||||||||
||social security||local||||||
|Resource and|||||||||
||Bureau||government||||||
|Social|||||||||
||||’s||||||
|Security|||||||||
||||investment||||||
|Bureau|||||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
|Provincial|||||||||
||||conforming||||||
|Construction|||||||||
||||to the local||||||
|Funds for|||||||||
||||supporting||||||
|Education|Zhengzhou||||||||
||||policies|||||Related to|
|and Other|Municipal|Subsidy||No|No||1,400,000.00||
||||such as|||||income|
|Projects in|Finance Bureau||||||||
||||local||||||
|2014 by|||||||||
||||government||||||
|Zhengzhou|||||||||
||||’s||||||
|City|||||||||
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
|Subsidies for|||||||||
||||obtained||||||
|Postdoctoral|||||||||
||||due to||||||
|Science|||||||||
||Zhengzhou||conforming||||||
|Research|||||||||
||municipal||to the local||||||
|Workstation|||||||||
||construction and||supporting|||||Related to|
|Granted by||Subsidy||No|No||300,000.00||
||Environmental||policies|||||income|
|the Human|||||||||
||Protection||such as||||||
|Resource and|||||||||
||Bureau||local||||||
|Social|||||||||
||||government||||||
|Security|||||||||
||||’s||||||
|Bureau|||||||||
||||investment||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||conforming||||||
||||to the local||||||
||Shijiazhuang||supporting||||||
||high tech||policies|||||Related to|
|Tax Returns||Subsidy||No|No||884,694.60||
||District Local||such as|||||income|
||Taxation Bureau||local||||||
||||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
|Funds|||research||||||
|Granted by|||and||||||
||Hebei Province||||||||
|the Finance|||developme|||||Related to|
||Finance|Subsidy||No|No||400,000.00||
|Bureau of|||nt,|||||income|
||Department||||||||
|High-tech|||technical||||||
|Zone|||renovation||||||
||||and||||||
||||transformat||||||
||||ion, etc.||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
|Job|||||||||
||||conforming||||||
|Attachment|||||||||
||Zhengzhou||to the local||||||
|Subsidies for|||||||||
||Municipal||supporting||||||
|College|||||||||
||Human||policies|||||Related to|
|Graduates by||Subsidy||No|No|226,800.00|||
||Resources and||such as|||||income|
|the Finance|||||||||
||social security||local||||||
|Bureau of|||||||||
||Bureau||government||||||
|Zhengzhou|||||||||
||||’s||||||
|City|||||||||
||||investment||||||
||||attraction||||||
||||policy||||||
|The 1st Batch|Zhengzhou|Subsidy|Grants|No|No|1,000,000.00||Related to|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||
|-|-|-|-|-|-|-|-|
|of Funds for|Municipal||obtained||||income|
|Science and|Finance Bureau||due to|||||
|Technology|||conforming|||||
|Projects in|||to the local|||||
|2015 Granted|||supporting|||||
|by the|||policies|||||
|Finance|||such as|||||
|Bureau of|||local|||||
|Zhengzhou|||government|||||
|City|||’s|||||
||||investment|||||
||||attraction|||||
||||policy|||||
||||Grants|||||
||||obtained|||||
|Subsidies for|||due to|||||
|the 1st Batch|||conforming|||||
|of Major|||to the local|||||
|Investment|||supporting|||||
||Henan Province|||||||
|Projects in|||policies||||Related to|
||Finance|Subsidy||No|No|750,000.00||
|2014 Granted|||such as||||income|
||Department|||||||
|by the|||local|||||
|Provincial|||government|||||
|Finance|||’s|||||
|Department|||investment|||||
||||attraction|||||
||||policy|||||
||||Grants|||||
||||obtained|||||
|The 2nd Batch||||||||
||||due to|||||
|of Funds for||||||||
||||conforming|||||
|Science and||||||||
||||to the local|||||
|Technology||||||||
||||supporting|||||
|Projects in|Zhengzhou|||||||
||||policies||||Related to|
|2015 Granted|Municipal|Subsidy||No|No|1,500,000.00||
||||such as||||income|
|by the|Finance Bureau|||||||
||||local|||||
|Finance||||||||
||||government|||||
|Bureau of||||||||
||||’s|||||
|Zhengzhou||||||||
||||investment|||||
|City||||||||
||||attraction|||||
||||policy|||||
|The 1st Batch|Zhengzhou||Grants||||Related to|
|||Subsidy||No|No|4,400.00||
|of Funds for|Municipal||obtained||||income|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||
|-|-|-|-|-|-|-|-|
|Science and|Finance Bureau||due to|||||
|Technology|||research|||||
|Projects in|||and|||||
|2015 Granted|||developme|||||
|by the|||nt,|||||
|Finance|||technical|||||
|Bureau of|||renovation|||||
|Zhengzhou|||and|||||
|City|||transformat|||||
||||ion, etc.|||||
|Funds for||||||||
||||Grants|||||
|Independent||||||||
||||obtained|||||
|Innovation in||||||||
||||due to|||||
|2014 Granted||||||||
||Zhengzhou||research|||||
|by the||||||||
||Economic||and|||||
|Management||||||||
||Development||developme||||Related to|
|Committee of||Award||No|No|16,500.00||
||Zone||nt,||||income|
|the Economic||||||||
||Adiministrative||technical|||||
|and||||||||
||Committee||renovation|||||
|Technologica||||||||
||||and|||||
|l||||||||
||||transformat|||||
|Development||||||||
||||ion, etc.|||||
|Zone||||||||
||||Grants|||||
|Funds for|||obtained|||||
|Occupational|||due to|||||
|Injury|||conforming|||||
|Prevention|||to the local|||||
|Granted by|||supporting|||||
||Zhengzhou City|||||||
|Human|||policies||||Related to|
||Social Security|Subsidy||No|No|50,000.00||
|Resource and|||such as||||income|
||Bureau|||||||
|Social|||local|||||
|Security|||government|||||
|Bureau of|||’s|||||
|Zhengzhou|||investment|||||
|City|||attraction|||||
||||policy|||||
|Subsidies for|Zhengzhou||Grants|||||
|Postdoctoral|municipal||obtained|||||
|Science|construction and||due to||||Related to|
|||Subsidy||No|No|200,000.00||
|Research|Environmental||conforming||||income|
|Workstation|Protection||to the local|||||
|Granted by|Bureau||supporting|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||
|-|-|-|-|-|-|-|-|
|Human|||policies|||||
|Resource and|||such as|||||
|Social|||local|||||
|Security|||government|||||
|Bureau of|||’s|||||
|Zhengzhou|||investment|||||
|City|||attraction|||||
||||policy|||||
|Funds for||||||||
|Emissions||||||||
|Reduction||||||||
||||Grants|||||
|Award in||||||||
||||obtained|||||
|2015 Granted||||||||
||||due to|||||
|by the||||||||
||||conforming|||||
|Construction||||||||
||Zhengzhou||to the local|||||
|and||||||||
||municipal||supporting|||||
|Environment||||||||
||construction and||policies||||Related to|
|al Protection||Award||No|No|20,000.00||
||Environmental||such as||||income|
|Bureau of the||||||||
||Protection||local|||||
|Economic||||||||
||Bureau||government|||||
|and||||||||
||||’s|||||
|Technologica||||||||
||||investment|||||
|l||||||||
||||attraction|||||
|Development||||||||
||||policy|||||
|Zone of||||||||
|Zhengzhou||||||||
|City||||||||
||||Grants|||||
||||obtained|||||
||||due to|||||
|The Digitized|||conforming|||||
|Construction|||to the local|||||
|Projects of|||supporting|||||
||Shijiazhuang|||||||
|Digital|||policies|||30,000,000.0|Related to|
||Municipal|Subsidy||No|No|||
|Boards with|||such as|||0|income|
||Finance Bureau|||||||
|TFT-LCD|||local|||||
|Glass|||government|||||
|Substrates|||’s|||||
||||investment|||||
||||attraction|||||
||||policy|||||
|Subsidies for|Yangzhong||Grants||||Related to|
|||Subsidy||No|No|25,000.00||
|Appraisal on|Municipal||obtained||||income|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||
|-|-|-|-|-|-|-|-|
|Science and|Scence and||due to|||||
|Technology|technology||research|||||
|Promotion|Bureau||and|||||
|Expenses|||developme|||||
|Granted by|||nt,|||||
|the Science|||technical|||||
|and|||renovation|||||
|Technology|||and|||||
|Bureau|||transformat|||||
||||ion, etc.|||||
||||Grants|||||
||||obtained|||||
||||due to|||||
||||conforming|||||
||||to the local|||||
|Subsidies for||||||||
||||supporting|||||
|Talent Project|Yangzhong|||||||
||||policies||||Related to|
|Granted by|Municipal|Subsidy||No|No|50,000.00||
||||such as||||income|
|the Finance|Finance Bureau|||||||
||||local|||||
|Bureau||||||||
||||government|||||
||||’s|||||
||||investment|||||
||||attraction|||||
||||policy|||||
||||Grants|||||
||||obtained|||||
||||due to|||||
||||research|||||
|Finance|||and|||||
||Yangzhong|||||||
|Bureau|||developme||||Related to|
||Municipal|Award||No|No|70,000.00||
|Innovation|||nt,||||income|
||Finance Bureau|||||||
|award Fund|||technical|||||
||||renovation|||||
||||and|||||
||||transformat|||||
||||ion, etc.|||||
||||Grants|||||
||||obtained|||||
||Yangzhong|||||||
||||due to|||||
|Finance|||||||Related to|
||Municipal|Subsidy|research|No|No|39,000.00||
|funds|||||||income|
||Finance Bureau||and|||||
||||developme|||||
||||nt,|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||
|-|-|-|-|-|-|-|-|
||||technical|||||
||||renovation|||||
||||and|||||
||||transformat|||||
||||ion, etc.|||||
||||Grants|||||
||||obtained|||||
||||due to|||||
||Economic and||conforming|||||
||Trade||to the local|||||
|Foreign trade|Development||supporting|||||
|promotion|Bureau of Wuhu||policies||||Related to|
|||Award||No|No|40,000.00||
|innovation|economic and||such as||||income|
|award fund|Trade||local|||||
||Development||government|||||
||Zone||’s|||||
||||investment|||||
||||attraction|||||
||||policy|||||
||||Grants|||||
||||obtained|||||
|Financial||||||||
||||due to|||||
|Grant of||||||||
||||conforming|||||
|Bureau of||||||||
||Wuhu economic||to the local|||||
|Finance in||||||||
||and||supporting|||||
|Wuhu||||||||
||Technological||policies|||50,000,000.0|Related to|
|Economic||Subsidy||No|No|||
||Development||such as|||0|income|
|and||||||||
||Zone Finance||local|||||
|Technologica||||||||
||Bureau||government|||||
|l||||||||
||||’s|||||
|Development||||||||
||||investment|||||
|Zone||||||||
||||attraction|||||
||||policy|||||
||||Grants|||||
||||obtained|||||
|TFT-LCD|||due to|||||
|Display|Wuhu Municipal||research|||||
|equipment|Science and||and||||Related to|
|||Award||No|No|60,000.00||
|development|Technology||developme||||income|
|and|Bureau||nt,|||||
|apploication|||technical|||||
||||renovation|||||
||||and|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||||
|-|-|-|-|-|-|-|-|
||||transformat|||||
||||ion, etc.|||||
||||Grants|||||
||||obtained|||||
||||due to the|||||
||||country|||||
||||encourage|||||
||||and support|||||
|Wuhu|||specific|||||
|Equipment|Wuhu Municipal||industries||||Related to|
|||Subsidy||No|No|73,500.00||
|other|Finance Bureau||(Obtained||||income|
|subsidiy|||in|||||
||||accordance|||||
||||with the|||||
||||national|||||
||||policies|||||
||||and|||||
||||regulations)|||||
||||Grants|||||
||||obtained|||||
||||due to|||||
||||conforming|||||
||||to the local|||||
||||supporting|||||
||Shijiazhuang|||||||
|High-tech|||policies||||Related to|
||Municipal|Award||No|No|20,000.00||
|Zone prizes|||such as||||income|
||Finance Bureau|||||||
||||local|||||
||||government|||||
||||’s|||||
||||investment|||||
||||attraction|||||
||||policy|||||
||||Grants|||||
||||obtained|||||
||||due to|||||
||||conforming|||||
|High-tech|Shijiazhuang||to the local|||||
||||||||Related to|
|Finance|Municipal|Award|supporting|No|No|1,421,626.76||
||||||||income|
|Bureau grants|Finance Bureau||policies|||||
||||such as|||||
||||local|||||
||||government|||||
||||’s|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
||||conforming||||||
||Zhongguancun||to the local||||||
|Awards for|||||||||
||Science and||supporting||||||
|Development|||||||||
||technology Park||policies|||||Related to|
|Supporting||Subsidy||No|No|15,000.00|||
||Fengtai||such as|||||income|
|Funds in|||||||||
||Management||local||||||
|2014|||||||||
||Committee||government||||||
||||’s||||||
||||investment||||||
||||attraction||||||
||||policy||||||
||||Grants||||||
||||obtained||||||
||||due to||||||
|Suqian|||||||||
||||conforming||||||
|economic and|Suqian||||||||
||||to the local||||||
|Technologica|economic and||||||||
||||supporting||||||
|l|Technological||||||||
||||policies|||||Related to|
|Development|Development|Subsidy||No|No|54,240.00|||
||||such as|||||income|
|Zone, the|Zone||||||||
||||local||||||
|introduction|Administrative||||||||
||||government||||||
|of Talent|Committee||||||||
||||’ s||||||
|Awards|||||||||
||||investment||||||
||||attraction||||||
||||policy||||||
|||||||535,584,924.|463,616,423.||
|Total||--|--|--|--|||--|
|||||||37|71||

Othernotes：
48.Non-Operation expense
In RMB
|||||
|-|-|-|-|
||Amount of current period|Amount of previous period|The amount of non-operating|
|Items||||
||||gains & lossed|
|Total of Non-current assets||||
||43,425.70|209,323.84|43,425.70|
|Disposition||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
|Including：Disposal of fixed||||
||43,425.70|209,323.84|43,425.70|
|assets||||
|Other|612,586.84|268,078.45|612,586.84|
|Total|656,012.54|477,402.29|656,012.54|

 Othernotes：
49.Income tax expense
(1) Lists of income tax expense
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|Income tax at current period|281,156,931.10|278,178,924.82|
|Deferred income tax|-43,373,924.23|-163,282,692.00|
|Total|237,783,006.87|114,896,232.82|

（2）Accounting profit and income tax expense adjustment process
In RMB
|||
|-|-|
|Items|Amount of current period|
|Total profit|1,630,306,693.05|
|Income tax expense at statutory / applicable tax rates|244,005,258.56|
|Effect of different tax rates applicable to subsidiaries|1,002,434.19|
|Income tax adjustments on prior periods|3,968,630.12|
|Effect of non-taxable income|-4,071,969.20|
|Impact of non-deductible costs, expenses and losses|1,352,212.41|
|Affect the use of deferred tax assets early unconfirmed||
||-5,475,878.07|
|deductible losses||
|The current period does not affect the deferred tax assets||
||667,574.90|
|recognized deductible temporary differences or deductible loss||
|Due to the impact of the revaluation profits|2,993,958.27|
|Due to depreciation policy impact profits|-6,598,927.57|
|Infuence of R & D expenses deduction|-3,665,256.04|
|Income tax expense|237,783,006.87|

 Other notes
50. Supplementary information to cash flow statement
(1) Other cash received relevant to operating activities
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|Interest income|1,972,658.94|988,687.82|
|Government subsidy|421,474,657.76|274,288,413.90|
|Deposits income|20,701,950.00|10,813,140.15|
|Fine income|6,766.95|64,739.10|
|Current account|2,271,838.62|322,589,049.97|
|Other|6,022,822.17|26,481,313.65|
|Total|452,450,694.44|635,225,344.59|

（2）Other cash paid related to oprating activities
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|Consultation Services fee|23,013,411.24|14,976,417.35|
|Business expenses|8,179,216.91|4,665,270.47|
|Current account|120,839,492.34|109,171,094.10|
|Labour insurance expenses|1,413,458.02|1,293,443.40|
|Transporation fees|510,470.81|5,103,276.25|
|Advertising fees|17,260,303.83|5,830,298.20|
|Water and electricity expense|26,127,241.57|27,986,550.08|
|Travel expenses|9,124,005.99|10,023,136.79|
|Petty cash|1,111,823.10|2,352,071.54|
|Office expenses|24,412,506.00|9,010,997.60|
|Deposit|9,429,817.52|12,660,000.00|
|Meeting expenses|1,732,562.40|29,520.00|
|Communication fees|4,830,018.48|231,635.68|
|Traffic fees|16,594,445.04|5,536,979.32|
|R& D|10,536,569.04|315,729.40|
|Auto Fees|8,121,331.91|1,019,249.30|
|Other|30,851,887.48|13,800,437.66|
|Total|314,088,561.68|224,006,107.14|

Notes：
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report（3）Other Cash received related to investment activities
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|The post-money balance of the cash and|||
|cash equivalents of Jiangsu Jixing’s|||
||59,574,268.94||
|acquisition date which deducted the|||
|currency paid for the acquisition.|||
|Govemment subsidy||40,840,000.00|
|Total|59,574,268.94|40,840,000.00|

（4）Other Cash payable related to investment activities
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|Investment|6,120,000.00||
|Total|6,120,000.00||

（5）Other Cash received related to Financing activities
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|Interest income|53,931,932.13|14,811,738.30|
|Finance lease|85,000,000.00||
|Bill finance|162,731,028.00||
|Total|301,662,960.13|14,811,738.30|

（6）Other Cash payable related to Financing activities
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|Bank charges|1,374,512.49|6,026,123.91|
|Payment of share repurchase|378,000.00|268,024,375.60|
|Cash deposit|3,500,000.00||
|Bill financing|265,000,000.00||
|Finance lease||96,067,400.00|
|Issue costs|24,517,302.50||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Total|270,252,512.49|370,117,899.51|

51. Supplement Information for cash flow statement
（1）Supplement Information for cash flow statement
In RMB
||||
|-|-|-|
|Supplement Information|Amount of current period|Amount of previous period|
|I. Adjusting net profit to cash flow from|||
||--|--|
|operating activities|||
|Net profit|1,392,523,686.18|523,424,590.89|
|Add: Impairment loss provision of assets|||
||-15,905,706.47|9,435,655.61|
|Depreciation of fixed assets, oil and gas|||
||339,608,348.67|218,481,729.10|
|assets and consumable biological assets|||
|Amortization of intangible assets|12,293,674.61|8,230,422.59|
|Amortization of long-term deferred|||
||6,130,323.70|3,398,169.91|
|fexpenses|||
|Loss on disposals of fixed assets, intangible|||
|assets and other long-term assets ("-" for|43,425.70|140,299.02|
|gains)|||
|loss on retirement of fixed assets||56,286.77|
|Financial expenses|303,754,658.76|50,844,058.43|
|Investment loss|-4,147,238.73||
|Decrease of deferred income tax assets|-43,373,924.23|-163,278,752.92|
|Decrease of inventories|-1,533,411,151.57|-251,125,028.54|
|Decease of operating receivables|2,444,394,493.59|4,080,238,705.79|
|Increased of operating Payable|-1,121,781,627.27|-5,497,400,325.30|
|Net cash flows arising from operating|1,780,128,962.94|-1,017,554,188.65|
|activities|||
|2.Significant investment and financing|||
||--|--|
|activities that without cash flows:|||
|Fixed assets acquired under finance leases|93,426,666.67||
|3．Changes Balance of cash and cash|||
||--|--|
|equivalents|||
|Ending balance of cash|11,952,516,261.39|3,349,892,384.04|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Less: Beginning balance of cash|3,349,892,384.04|3,165,005,386.56|
|Net increase of cash and cash equivalents|8,602,623,877.35|184,886,997.48|

 (2) Net Cash paid of obtaining the subsidiary
In RMB
|||
|-|-|
||Amount|
|Cash or Cash Equivalent of Enterprise consolidation that Occurred||
||3,808,297,294.94|
|in the Current Period Paid in the Current Period||
|Including：|--|
|Jiangsu Jixing New Marterial Co., Ltd|167,345,300.00|
|ShijiazhuangXuxin Optoelectronic Equipment Technology Co., Ltd|1,895,849,840.00|
|Zhengzhou Xufei Optoelectronic Equipment Technology Co., Ltd.|1,745,102,154.94|
|Less：Cash or Cash Equivalent Owned by Subsidiary on the||
||560,995,811.33|
|Purchasing Date||
|Including：|--|
|Jiangsu Jixing New Marterial Co., Ltd|226,919,568.94|
|ShijiazhuangXuxin Optoelectronic Equipment Technology Co., Ltd|217,519,691.15|
|Zhengzhou Xufei Optoelectronic Equipment Technology Co., Ltd.|116,556,551.24|
|Including|--|
|Received Net Cash Paid by Subsidiary|3,247,301,483.61|

（3）Composition of cash and cash equivalents
In RMB
||||
|-|-|-|
|Items|Balance in year-end|Balance in year-Beginning|
|I. Cash|||
||11,964,769,404.73|3,349,892,384.04|
|Of which: Cash in stock|||
||245,781.01|244,928.44|
|Bank savings could be used at any time|11,897,196,843.45|3,318,927,758.02|
|Other monetary capital could be used at any|||
||67,326,780.27|30,719,697.58|
|time|||
|III. Balance of cash and cash equivalents at|11,964,769,404.73|3,349,892,384.04|
|the period end|||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report 52. The assets with the ownership or use right restricted
In RMB
||||
|-|-|-|
|Items|Book value in year-end|Reason|
|Monetary funds|444,740,765.54|Pledge of collateral|
|Inventory|914,716,683.08|Pledge loans|
|Fixed assets|5,853,008,739.24|Pledge loans|
|Intangible asset|244,542,726.48||
|Construction in progress|2,721,402,063.43||
|Total|10,178,410,977.77|--|

Othernotes：
53. Foreign currency monetary items
(1) Foreign currency monetary items
In RMB
|||||
|-|-|-|-|
||Closing foreign currency||Closing convert to RMB|
|Items||Exclange rate||
||balance||balance|
|Including：USD|3,021,138.38|6.4936|19,618,040.36|
|Euro|1,000,555.35|7.0952|7,099,140.32|
|HKD|4,666.70|0.8377|3,909.67|
|JPY|243,319,365.00|0.053875|13,108,830.79|
|GBP|2,277.81|9.6159|21,903.19|
|Including：USD|4,999,315.30|6.4936|32,463,588.59|
|JPY|1,388,800,750.24|0.053875|74,822,443.56|
|Including：USD|11,000,000.00|6.4936|71,429,600.00|
|Account payable||||
|Including：JPY|27,292,000.00|0.053875|1,470,475.56|
|USD|240,880.00|6.4936|1,564,178.37|
|Euro|923,325.00|7.0952|6,551,175.54|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report VIII.Changes of consolidation scope
1.Enterprise consolidation ont under the same control
（1）Enterprise consolidation not under the same control in reporting period
In RMB
||||||||||
|-|-|-|-|-|-|-|-|-|
||||||||Income of|Net Profit of|
|||||||Determinatio|Acquire|Acquire from|
||||Ratio of||||||
||Time-point of|Obtained||Method of||n Basis on|from the|the|
|Name of|||Obtained||Purchasing||||
||Obtained|Cost of||Obtained||the|Purchasing|Purchasing|
|Acquiree|||Equity||Date||||
||Equity|Equity||Equity||Purchasing|Date to the|Date to the|
||||(100%)||||||
|||||||Date|End of the|End of the|
||||||||Period|Period|
|JiangsuJixing NewMaterial Co.,Ltd.|||||F ebruary28,2015|Obtain abusinesslicense|281,152,806.99|30,297,257.36|
||February|167,345,300.||Purchase and|||||
||||50.50%||||||
||28,2015|00||add share|||||

Othernotes：
(2) Consolidation Cost and Goodwill
In RMB
|||
|-|-|
|Combined cost||
|--Cash|167,345,300.00|
|Total Consolidation cost|167,345,300.00|
|Less：Reduction: Obtained Definable Net Assets Fair Proportion|186,108,437.14|
|Goodwill/ The Consolidation Cost is Less Than the Obtained||
||18,763,137.14|
|Definable Net Assets Fair Proportion||

Notes to determination method, consideration and changes of fair value of combined cost:
The main formation reason for the large goodwill:
Other notes:
(3) The identifiable assets and liabilities of acquiree at purchase date
In RMB
||||
|-|-|-|
||Fair value on purchase date|Book value on purchase date|
|Monetary fund|259,007,478.19|259,007,478.19|
|Account receivable|47,264,960.80|47,264,960.80|
|Inventories|28,472,711.75|28,472,711.75|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Fixed assets|287,064,516.90|256,317,009.13|
|Intangible assets|60,810,554.47|58,497,844.31|
|Bill payable|3,753,250.00|3,753,250.00|
|Prepayments|12,885,701.67|12,885,701.67|
|Other receivable|18,625,745.67|18,625,745.67|
|Construction in progress|13,625,131.74|13,625,131.74|
|Deferral income tax asset|4,661.45|4,661.45|
|Loan|106,257,500.00|106,257,500.00|
|Account payable|17,956,318.31|17,956,318.31|
|Bill payable|203,000,000.00|203,000,000.00|
|Account payable|30,936.29|30,936.29|
|Employees’ wage payable|1,420,363.53|1,420,363.53|
|Tax payable|-9,484,406.23|-9,484,406.23|
|Interest payable|614,166.00|614,166.00|
|Other payable|43,188,276.05|43,188,276.05|
|Net assets|368,531,558.69|335,471,340.76|
|Acquire net assets|368,531,558.69|335,471,340.76|

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

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||
|-|-|-|-|-|-|-|-|-|
|||||date|to the|period to the|comparison|compairsion|
||||||combination|combination|||
||||||date of the|date of the|||
||||||combination|combination|||
|Zhengzhou||||Payment of|||||
|Xufei||||the price and|||||
|Optoelectroni||Controlled by|December|complete|547,067,663.|49,644,713.4|361,113,003.|45,391,421.5|
||100.00%||||||||
|c Equipment||Li Zhaoting|19,2015|change of|63|0|53|5|
|Technology||||business|||||
|Co., Ltd.||||registration|||||
|Shijiazhuang|||||||||
|||||Payment of|||||
|Xuxin|||||||||
|||||the price and|||||
|Optoelectr|||||||||
|||Controlled by|December|complete|162,453,972.|39,230,345.1|64,300,670.0||
|onic|100.00%|||||||-1,150,663.39|
|||Li Zhaoting|31,2015|change of|34|2|0||
|Equipment|||||||||
|||||business|||||
|Technolog|||||||||
|||||registration|||||
|y Co., Ltd|||||||||

Othernotes：
(2) Combination cost
In RMB
||||
|-|-|-|
|Combination cost|Zhengzhou Xufei Optoelectronic|Shijiazhuang Xuxin Optoelectronic|
||Technology Co., Ltd.|Technology Co., Ltd.|
|--Cash|1,927,626,856.67|2,072,061,491.20|

 Notes to contingent consideration or other changes:
Other notes:
(3) The book value of the assets and liabilities of the combined party at combining date
In RMB
||||||
|-|-|-|-|-|
||Zhengzhou Xufei Optoelectronic Technology Co.,||Shijiazhuang Xuxin Optoelectronic Technology||
||Ltd.||Co., ltd.||
||Consollidation date|December 31, 2014|Consollidation date|December 31, 2014|
|Monetary fund|217,646,461.18|15,694,203.60|217,519,691.15|327,927,096.51|
|Account receivable|159,462,635.78|206,889,744.90|181,471,618.22|134,192,379.79|
|Inventories|31,403,438.27|99,272,537.67|13,106,022.42|15,600,814.54|
|Fixed assets|2,416,811,450.24|2,112,857,821.52|1,677,395,718.92|830,897,597.83|
|Intangible assets|81,156,396.70|67,431,592.26|55,476,435.85|56,729,790.37|
|Prepayments|591,118.29|157,454,654.53|53,496,782.82|112,807,748.28|
|Other receivable|7,439,692.87|7,152,056.69|1,944,985.00|1,952,555.46|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||
|-|-|-|-|-|
|Non-current assets due to|||||
||139,395.72|185,227.78|||
|1 Year|||||
|Other current assets|228,226,969.12|208,104,721.49|251,226,714.56|213,850,153.36|
|Construction in progress|1,143,107,800.76|1,269,064,691.25|752,348,179.42|1,455,797,213.20|
|Development and|||||
|||10,730,941.05|||
|expenditure|||||
|Deferral income tax asset|532,237.00|462,761.15|||
|Other non-current|||||
||132,425,529.20||41,212,433.48||
|liability|||||
|Long-term deferred|||||
|||975,769.20|||
|expenses|||||
|Loan|272,000,000.00|299,000,000.00|||
|Account payable|354,001,621.02|265,771,687.83|96,718,278.38|16,915,882.14|
|Bill payable|27,275,319.94|200,000,000.00|||
|Advance payments|||332,100.88||
|Employees’ wage|||||
||1,383,570.40|3,826,044.71|2,092,597.69|1,893,777.23|
|payable|||||
|Tax payable|2,613,146.19|5,296,432.21|4,668,435.03|492,665.68|
|Interest payable|2,159,442.82||1,486,741.66||
|Other payable|722,319,436.46|196,696,473.40|4,505,484.95|1,566,379.93|
|Non-current liability due|||||
||260,987,200.00|242,238,000.00|200,000,000.00|210,000,000.00|
|to 1 year|||||
|Other current liability|14,533,029.75|17,202,928.56|11,436,000.00|8,280,000.00|
|Long-term loans|863,397,300.00|1,092,309,000.00|790,000,000.00|840,000,000.00|
|Long-term payable|57,000,000.00||||
|Accrued liabilities||||53,046.23|
|Deferred income|42,968,876.45|81,104,974.25|167,390,333.33|143,215,333.33|
|Net assets|1,798,304,182.10|1,752,831,182.13|1,966,568,609.92|1,927,338,264.80|
|Acquire net assets|1,798,304,182.10|1,752,831,182.13|1,966,568,609.92|1,927,338,264.80|

 The recognition method of the fair value of identifiable assets and liabilities Contingent liability of acquiree undertaken by business merger
Other notes:
||
|-|
|Examined and adopted by the 32th meeting of the 7th board of directors of the Company, “Proposal on Jointly Establishing the|
|Holding Subsidiary with Beijing Institute of Technology” agreed the Company to jointly establish the holding subsidiary Beijing|
|Xutan New Material Technology Co., Ltd. with Beijing Institute of Technology|

On January 22, 2015, the Company jointly established Beijing Dongxu Huaqing Investment Co., Ltd. with Beijing Modern
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||
|-|
|Huaqing Material Technology Development Center. The registered capital of the new company was RMB 5 million , of which the|
|Company invested RMB 3.5 million and Beijing Modern Huaqing Material Technology Development Center invested RMB 1.5|
|million.|

On July 9, 2015, Wuhu Dongxu Optoelectronic Equipment Technology Co., Ltd., the subsidiary of the Company,100.00% invested in establishing Jiangxu Dongxu Yitai Intelligent Equipment Co., Ltd., of which the registered capital was 10 million RMB. On December 25, 2015, the Company established Fuzhou Dongxu Optoelectronic Technology Co., Ltd. with sole proprietorship, of which the registered capital was 10 million RMB.
IX. Equity in other entities
1. Equity in subsidiary
(1) The structure of the enterprise group
||||||||
|-|-|-|-|-|-|-|
|Name of|Main Places of|Registration|Nature of|Shareholding Ratio (%)||Obtaining|
|Subsidiary|Operation|Place|Business|direct|indirect|Method|
|||9 Huanghe Road,|||||
|||Shijiazhuang|||||
|Hebei Xubao|||||||
|||High-tech|||||
|Construction|||||||
|||Industrial|Construction||||
|Installation|Shijiazhuang|||100.00%||Establish|
|||Development|Installation||||
|Engineering Co.,|||||||
|||Area,|||||
|Ltd.|||||||
|||Shijiazhuang,|||||
|||Hebei Province|||||
|||9 Huanghe Road,|||||
|||Shijiazhuang|||||
|||High-tech|||||
|Shijiazhuang|||||||
|||Industrial|||||
|Colour Bulb Co.,|Shijiazhuang||Manufacturing|81.26%||Establish|
|||Development|||||
|Ltd.|||||||
|||Area,|||||
|||Shijiazhuang,|||||
|||Hebei Province|||||
|Wuhu Dongxu||Room 302, A floo|||||
|Optoelectronic||r,Management Co|||||
|Equipment|Wuhu|mmittee of Jiangb|Manufacturing|95.00%||Establish|
|Technology Co.,||ei Industry Zone,|||||
|Ltd.||Anhui Prov|||||
|||No.36, Daowei 2|||||
|||Road, Wanchun|||||
|Wuhu Dongxu|||||||
|||Street , Wuhu|||||
|Optoelectronic|||||||
||Wuhu|Economy|Manufacturing|100.00%||Establish|
|Technology Co.,|||||||
|||Technology|||||
|Ltd.|||||||
|||Development|||||
|||Zone|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|||1/F, No.2||||
|||Business tower,||||
|||Huazhong||||
|Wuhan Dongxu||||||
|||Shuguang||||
|Optoelectronic||||||
||Wuhan|Software park,|Manufacturing|62.50%|Establish|
|Technology Co.,||||||
|||No.1Guanshan||||
|Ltd.||||||
|||Road,Donghu||||
|||Development||||
|||Zone, Wuhan||||
|||Building 15, No.||||
|Sichuan Ruiyi||21, Ring Road 18||||
|Construction||1 West Third Sect|||Non control|
||Sichuan||Manufacturing|100.00%||
|Engineering Co.,||ion,Jinniu District|||combination|
|Ltd.||, Chengdu||||
|||Room C17,||||
|||Building 1,||||
|Beijing Xufeng||No.10, Xinghuo||||
||||Real estate|||
|Real Estate Co.,|Beijing|Road,||100.00%|Establish|
||||Development|||
|Ltd.||Technology City,||||
|||Fengtai District,||||
|||Beijing||||
|||Room 1517,||||
|||Building 1||||
|Dongxu||(International||||
|（Kunshan）||Building), No.||||
||Kunshan||Manufacturing|80.00%|Establish|
|Display Material||167, Qianjin||||
|Co., Ltd.||Middle Road,||||
|||Suzhou City,||||
|||Jiangsu Province||||
|||66,No 3||||
|Zhengzhou Xufei||Jingnan Road,||||
|Optoelectronic||Econornic &|||Non control|
||Zhengzhou||Manufacturing|100.00%||
|Technology Co.,||Technology|||combination|
|Ltd.||Development||||
|||Zone, Zhengzhou||||
|||No.69,Tianshan||||
|Shijiazhuang||||||
|||Street,||||
|Xuxin||||||
|||High-tech|||Non control|
|Optoelectronic|Shijiazhuang||Manufacturing|100.00%||
|||Area,|||combination|
|Technology||||||
|||Shijiazhuang,||||
|Co.,Ltd.||||||
|||Hebei||||
|Beijing Xutan|Beijing|N0.1198, 689|Technology|70.00%|Establish|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|New Material||Builing, No.5,|Service|||
|Technology Co.,||Zhongguan||||
|Ltd.||Village South||||
|||Street, Haiding||||
|||District, Beijing||||
|||New Material||||
|Jiangsu Jixing||||||
|||Industry Zone,|||Non control|
|New Material|Jiangsu||Manufacturing|50.50%||
|||Youfang Town,|||combination|
|Co., Ltd.||||||
|||Yangzhong City||||
|||1201-E18(Area)1||||
|||2/F,No.1, 6-3||||
|Beijing Dongxu||||||
|||Building,||||
|Huaqing|||Investment|||
||Beijng|Autornobile||70.00%|Establish|
|Investment Co.,|||Management|||
|||Museum East||||
|Ltd.||||||
|||Road, Fengtai||||
|||District, Beijing||||

Notes: holding proportion in subsidiary different from voting proportion:
Basis of holding half or less voting rights but still been controlled investee and holding more than half of the voting rights not been
controlled investee:
Significant structure entities and controlling basis in the scope of combination:
Basis of determine whether the Company is the agent or the principal:
Other notes:
(2) Significant not wholly owned subsidiary
In RMB
||||||
|-|-|-|-|-|
||||Dividends||
|||Profit or Loss Owned||Equity Balance of the|
||Shareholding Ratio of||Distributed to the||
|||by the Minority||Minority|
|Name of Subsidiary|Minority||Minority||
|||Shareholders in the||Shareholders in the|
||Shareholders (%)||Shareholders in the||
|||Current Period||End of the Period|
||||Current Period||
|Wuhu DongxuOptoelectronicTechnology Co., Ltd.|5.00%|57,037,546.64||81,454,828.43|
|Jiangsu Jixing NewMaterial Co., Ltd.|49.50%|14,997,142.39||197,420,263.94|

Holding proportion of minority shareholder in subsidiary different from voting proportion:
Other notes:
(3) The main financial information of significant not wholly owned subsidiary
In RMB
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|-|
||Year-end balance||||||Year-beginning balance||||||
|||Non||Current|Non|||Non||Current|Non||
|Name|Current||Totalassets|||Total|Current||Totalassets|||Total|
|||current||Liabilitie|current|||current||Liabilitie|current||
||assets|||||liabilities|assets|||||liabilities|
|||assets||s|liabilities|||assets||s|liabilities||
|WuhuDongxuOptoelectronicTechnology Co.,Ltd.|||||||||||||
||504,742.|19,195.3|523,937.|325,474.|50,000.0|375,474.|449,309.|18,103.0|467,412.|339,240.|50,000.0|389,240.|
||34|5|68|89|0|89|45|6|51|48|0|48|
|JiangsuJixingNewMaterialCo., Ltd.|||||||||||||
||25,057.2|36,602.6|61,659.9|21,177.0||21,777.0|||||||
||||||600.00||||||||
||8|5|3|5||5|||||||

In RMB
||||||||||
|-|-|-|-|-|-|-|-|-|
||Amount of current period||||Amount of previous period||||
|||||Cash flows||||Cash flows|
||||Total||||Total||
|Name|Businessincome|||from|Business|||from|
|||Net profit|Comprehensi|||Net profit|Comprehensi||
|||||operating|income|||operating|
||||ve income||||ve income||
|||||activities||||activities|
|WuhuDongxuOptoelectronic TechnologyCo., Ltd.|||||||||
||270,663.37|110,290.77|110,290.77|-3,790.77|225,268.05|106,106.14|106,106.14|-34,763.76|
|JiangsuJixing NewMaterial Co.,Ltd.|||||||||
||28,115.28|3,029.73|3,029.73|4,290.91|||||

Other notes:
(4) Significant restrictions of using enterprise group assets and pay off enterprise group debt
(5) Provide financial support or other support for structure entities incorporate into the scope of
consolidated financial statements
Other notes:
2. The transaction of the Company with itsowner’s equity share changed but still controlling the subsidiary
(1) Summary financial information of insignificant joint venture or associated enterprise
In RMB
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
||Amount of current period/|Amount of previous period/|
|Joint venture:|--|--|
|Total investment book value|72,426,252.41||
|The total of following items according to|||
||--|--|
|theshareholding proportions|||
|Net profit|426,252.41||
|Total comprehensive income|426,252.41||
|Associated enterprise：|--|--|
|The total of following items according to|||
||--|--|
|theshareholding proportions|||

Other notes:
X. The risk related financial instruments
The Company faces a variety of financial risks in the course of operation: credit risk, market risk and liquidity risk. The Business Management Department of the Company management is fully responsible for the determination of risk management objectives and policies, and assumes the ultimate responsibility for the risk management objectives and policies. The Business Management Department of the Company reviews the effectiveness of the performed programs as well as the rationality of risk management objectives and policies through monthly work statement submitted by the Functional Department.
The objective of theCompany’s engagement in risk management is to obtain a proper balance between the risks and benefits, reduce therisks’ negative impact on the Company's operating performance to the lowest level and maximize the interests of shareholders and other equity investors. Based on the risk management objectives, the basic strategy of the Company's risk management is to identify and analyze the risks faced by the Company, establish appropriate baseline of risk tolerance, conduct risk management as well as timely and reliably supervise various risks to control the risks within a limited range.
1. Credit Risk
Credit risk refers to the financial loss risk of the other Party if one Party of financial instruments fails to perform its obligations. The Company mainly faces customer credit risk caused by the credit sale. The Company would make an evaluation on newcustomers’ credit risk before signing new contracts, which includes external credit rating and bank reference letter (when available) under certain circumstances. The Company sets quota on credit sale for each customer and such quota is the maximum amount without additional approvals.
2. Market Risk
The market risk of financial instruments refers to the risk that the fair value or future cash flow of the financial instruments would fluctuate due to the market price changes, which includes interest rate risk ,foreign exchange risk and other price risks.
(1) Interest Rate Risk
Interest rate risk refers to the risk that the fair value or future cash flow of the financial instruments would fluctuate due to the market price changes. The interest rate risk faced by the Company mainly comes from short-term bank loans. The Company meets various short-term financing needs through establishing good
bank-enterprise relationship as well as reasonably designing credit line, credit type and credit term to guarantee
the sufficient bank credit line. In addition, the Company also reasonably reduces the fluctuation risk of interest
rate by shortening the term of single loan and performing specially agreed prepayment term.
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report (2) Foreign Exchange Risk
Foreign exchange risk refers to the risk that the fair value or future cash flow of the financial instruments would fluctuate due to the market price changes. The Company would match the foreign currency incomes and expenses as far as possible to reduce the foreign exchange risk. On account of the small proportion of foreign financial assets and liabilities in the total assets,there’s no forward foreign exchange contract or currency swap contract signed by the Company in 2014 and 2015.
The foreign exchange risk faced by the Company mainly comes from the financial assets and financial liabilities priced by US dollar, Yen and Euro. The exchanged RMB amounts of foreign financial assets and foreign financial liabilities are presented as below:
|||||||
|-|-|-|-|-|-|
|Items|Ending balance of foreign currency|Exchange rate|End balance ofRMB Conversion|Beginning balanveo f foreign currency|Exchange rate|
|Monetary fund||||||
|Including：USD|3,021,138.38|6.4936|19,618,040.36|51,544.36|6.119|
|Euro|1,000,555.35|7.0952|7,099,140.32|11,540.00|7.4556|
|HKD|4,666.70|0.8377|3,909.67|4,666.70|0.7889|
|JPY|243,319,365.00|0.0539|13,108,830.79|910,469.00|0.05137|
|GBP|2,277.81|9.6159|21,903.19|2,277.81|9.5437|
|Accountreceivable||||||
|Including：USD|4,999,315.30|6.4936|32,463,588.59|1,522,055.00|6.119|
|JPY|1,388,800,750.24|0.053875|74,822,443.56|327,815,034.00|0.05137|
|Account payable||||||
|Including: JPY|27,292,000.00|0.053875|1,470,475.56|||
|USD|240,880.00|6.4936|1,564,178.37|||
|Euro|923,325.00|7.0952|6,551,175.54|||
|Long-term loans||||||
|Including：USD|11,000,000.00|6.49|71,429,600.00|13,000,000.00|6.119|

 XI. Related party and related party transactions
1. Parent company information of the enterprise
|||||||
|-|-|-|-|-|-|
|||||The parent company|The parent company|
|Name|Registered address|Natrue|Regisrated capital|of the Company's|of the Company’s|
|||||shareholding ratio|vote ratio|
||No.369, Zhujiang|||||
|Dongxu Group|Road, High-tech|Production|11.07 billion|21.64%|21.64%|
||Zone, Shijiazhuang|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||
|-|
|City|

Notes
In the report period, The parent company paid in capital is as follows:
|||||
|-|-|-|-|
|Items|January 1, 2015|Increase|Decrease|
|Share capital|4,150,000,000.00|6,920,000,000.00||

 Othernotes：
2. Subsidiaries of the Company
See details to Notes .
3. Information on the joint ventures and associated enterprises of the Company
The details of significant joint venture and associated enterprise of the Company
Information on other joint venture and associated enterprise of occurring related party transactions with the Company in reporting period, or form balance due to related party transactions in previous period:
|||
|-|-|
|Name|Relationship|
|Zhongda Xincheng International Business factoring Co., Ltd.|Associated enterprises|

Other notes
4.Other Related parties information of the enterprise
|||
|-|-|
|Other Related parties name|Relation of other Related parties with the company|
|Shijiazhuang Baoshi Electronic vacuum Glass Co., Ltd.|Controlled by the same actual controller|
|Shijiazhuang Baoshi Large-diameter plastic tube Co., ltd.|Controlled by the same actual controller|
|Shijiazhuang Baoshi Zhonghe Steel Plastic Shape Co.,||
||Controlled by the same actual controller|
|Ltd.||
|Shijiazhuang Baoshi Xuming Tube Co., Ltd.|Controlled by the same actual controller|
|Shijiazhuang Baodong Electronic Co.,Ltd.|Controlled by the same actual controller|
|Hebei Baoshi Lighting Co., Ltd.|Controlled by the same actual controller|
|Dongxu（Yingkou）Optoelectronic Display Co., Ltd.|Controlled by the same actual controller|
|Jinhou Xulong Solar energy Technology Co., Ltd.|Controlled by the same actual controller|
|Sichuan Xuhong Optoelectrnic Technology Co., Ltd|Controlled by the same actual controller|
|Shijiazhuang Bofa Machine Equipment Co., Ltd.|Controlled by the same actual controller|
|Chengdu Zhong Optoelectronic Technology Co., Ltd.|General Manager: Li Zhaoting|
|Chengdu Dongxu Energy saving Technology Co., Ltd.|Controlled by the same actual controller|
|Shijiazhuang Xuling Electronic Technology Co., Ltd.|Controlled by the same actual controller|
|Shijiazhuang Baoshi Electronic Group Co., Ltd.|Controlled by the same actual controller|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||
|-|-|
|Chengdu Taiyisi Technology Co., Ltd.|Controlled by the same actual controller|
|Li Qing|The spouse of the actual controller|

Other notes
5. Related transactions.
（1）Related transactions on purchasing goods and receiving services
Acquisition of goods and reception of labor service
In RMB
|||||||
|-|-|-|-|-|-|
|||Amount of current|Amount of previous|||
||Content of related|||Over the trading limit||
|Related parties|||||Amount of last period|
||transaction|period|period|or not?||
|Shijiazhuang||||||
|Baoshi Electronics|Energy|874,346.02|3,000,000.00|NO|2,450,586.42|
|Group Co., Ltd.||||||
|Shijiazhuang||||||
|Baoshi Electronics|Security fees|1,000,000.00|0.00|Yes||
|Group Co., Ltd.||||||
|Chengdu Dongxu||||||
|Energy Saving||||||
||ESL|156,577.78|100,000.00|Yes|93,400.00|
|Technology Co.,||||||
|Ltd.||||||
|Shijiazhuang||||||
|Baoshi Zhonghe||||||
||Door||||1,631,207.16|
|Steel Plastic||||||
|Shape Co., Ltd.||||||
|Shijiazhuang||||||
|Dongxu Mechanical|Machining parts|7,661,848.71|834,400.00|Yes|1,112,148.72|
|Equipment Co., Ltd.||||||
|Shijiazhuang||||||
|Dongxu Mechanical|Raw material|319,194.85|0.00|Yes||
|Equipment Co., Ltd.||||||
|Shijiazhuang||||||
||Processing|||||
|Dongxu Mechanical||1,449,230.79|0.00|Yes||
||charges|||||
|Equipment Co., Ltd.||||||
|Shijiazhuang||||||
|Xuling Electrinic||||||
||Part||||255,942.90|
|Technology Co.,||||||
|Ltd.||||||
|Sichuan Xuhong|Part|719,858.03|0.00|Yes||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|Optoelectronic||||||
|Technology Co.,||||||
|Ltd.||||||
|Chengdu Zhong||||||
|Optoelectronic||||||
||Material|15,384.62|0.00|Yes||
|Technology Co.,||||||
|Ltd.||||||
|Shijiazhuang||||||
|Xuling Electrinic|Monitoring|||||
|||445,238.07|0.00|Yes|3,636,526.13|
|Technology Co.,|system|||||
|Ltd.||||||
||Processing|||||
|Dongxu Group|||||3,573,094.84|
||charges|||||
|Dongxu Group|Packing||||16,399,514.24|
|Shijiazhuang||||||
|Dongxu Mechanical|A-frame||||10,516,183.42|
|Equipment Co., Ltd||||||
|Hebei Baoshi||||||
||Lamps|13,470.09|0.00|Yes|55,490.60|
|Lighting Co., Ltd.||||||

Related transactions on sale goods and receiving services
In RMB
|||||
|-|-|-|-|
|Related parties|Content of related transaction|Amount of current period|Amount of previous period|
|Dongxu （Yingkou）||||
||High-Display production line|||
|Optoelectronic Display Co.,|||6,360,752.23|
||Equipment Construction|||
|Ltd.||||
|Baoshi Group|Lead tube||3,521,605.78|
|Shijiazhuang Dongxu||||
|Mechanical Equipment Co.,|A-frame|5,544,871.80|8,854,273.50|
|Ltd.||||
|Shijiazhuang Dongxu||||
||Glass substrate defect|||
|Mechanical Equipment Co.,||36,412,136.75||
||detection eqiupment|||
|Ltd.||||
|Sichuan Xuhong||||
||Line technological|||
|Optoelectronic Technology||150,471,698.11||
||transformation|||
|Co., Ltd.||||
|Jinzhou Xulong Solar energy|Tester|223,076.93||
|Chengdu Taiyisi Technology||||
||Equipment and technology||45,792,614.10|
|Co., Ltd.||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
|Chengdu Zhong Optoelectronic||||
||Glass Substrate|2,685,888.56|1,401,923.08|
|Technology Co., Ltd.||||
|Dongxu Group|Construction and installation||56,550,283.94|
|Dongxu Group|Materal|657,008.55||
||National Engineering|||
|Dongxu Group||82,115,384.62||
||laboratory test equipment|||
|Hebei Baoshi Energy saving||||
||Construction and installation||74,270.00|
|lighting technology co., LTD||||
|Shijiazhuang Baodong||||
||Hydrogen||259,857.69|
|Electronic Co.,Ltd.||||
|Chengdu Zhong Optoelectronic||||
||Semi-manufacture||39,978,059.66|
|Technology Co., Ltd.||||
|Sichuan Xuhong Optoelectronic||||
||Technology Service|11,909,433.96|2,958,490.57|
|Technology Co., Ltd.||||
|Dongxu （ Yingkou ）||||
||Technology Service|||
|Optoelectronic Display Co.,||9,135,849.06|1,015,094.34|
|Ltd.||||

（2）Related trusteeship or contracting
Related trusteeship or contracting in which the Company is the undertake
In RMB
||||||||
|-|-|-|-|-|-|-|
|||||||Gains from the|
|Name of the|Name of the|Asset situation of|||||
||||Start date|Terminating date|Pricing basis|deal in report|
|employer|undertaker|the undertaker|||||
|||||||period|
|||||irff|The trustee fee||
||||||ncludes share||
||||||ight trustee||
|Dongxu Group,|||||ee(500 thousand||
|Yingkou Coastal|||||RMB/year) and||
|Development|||||operation trustee||
||Dongxu|Dongxu|||||
|Construction Co.,|||||ee. The||
||Optoelectronic|(Yingkou)|||||
|ltd., Wukuang|||January 1, 2012||operation trustee|1,500,000.00|
||Technology Co.,|Optoelectronic|||||
|(Yingkou )||||f|ee is basic||
||Ltd.|Display Co., Ltd.|||||
|Industrial Park|||||management fee||
|Development|||||and incentive||
|Co., Ltd.|||||management fee,||
||||||of which the||
||||||basic||
||||||management fee||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|||||is 1 million||
|||||RMB/year, the||
|||||incentive||
|||||management fee||
|||||is counted by 5%||
|||||of the after-tax||
|||||net profit yearly||
|||||achieved by the||
|||||trustee||
|||||company(the base||
|||||of the incentive||
|||||management fee||
|||||deducts the loss||
|||||of the previous||
|||||year.).||
|||||The trustee fee||
|||||includes share||
|||||right trustee||
|||||fee(500 thousand||
|||||RMB/year) and||
|||||operation trustee||
|||||fee. The||
|Dongxu||||operation trustee||
|Optoelectronic||||fee is basic||
|Investment Co.,||The right to||management fee||
|Ltd.Henan|Dongxu|operate of||and incentive||
|State-owned|Optoelectronic|Dongxu||management fee,||
||||March 1, 2012||500,000.00|
|Assets|Technology Co.,|Optoelectronic||of which the||
|Management Co.,|ltd.|Technology Co.,||basic||
|Ltd.,Zhengzhou||ltd.||management fee||
|Investment||||is 1 million||
|Holding Co., Ltd.||||RMB/year, the||
|||||incentive||
|||||management fee||
|||||is counted by 5%||
|||||of the after-tax||
|||||net profit yearly||
|||||achieved by the||
|||||trustee company||
|Dongxu Group,||||The trustee fee||
||Dongxu|The right to||||
|Mianyang||||includes share||
||Optoelectronic|operate of||||
|Investment City|||March 1, 2012|right trustee|1,500,000.00|
||Technology Co.,|Sichuan Xuhong||||
|Development||||fee(500 thousand||
||Ltd.|Optoelectronic||||
|(Group) Co., Ltd.,||||RMB/year) and||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|Sichuan||Co., Ltd.||operation trustee||
|Changhong||||fee. The||
|Electric Co., Ltd.||||operation trustee||
|||||fee is basic||
|||||management fee||
|||||and incentive||
|||||management fee,||
|||||of which the||
|||||basic||
|||||management fee||
|||||is 1 million||
|||||RMB/year, the||
|||||incentive||
|||||management fee||
|||||is counted by 5%||
|||||of the after-tax||
|||||net profit yearly||
|||||achieved by the||
|||||trustee company||
|||||The trustee fee||
|||||includes share||
|||||right trustee||
|||||fee(500 thousand||
|||||RMB/year) and||
|||||operation trustee||
|||||fee. The||
|||||operation trustee||
|Baoshi Group ,||||fee is basic||
|||The right to||||
|Shijiazhuang||||management fee||
|||operate of||||
|High –tech Lanhu||||and incentive||
|||Shijiazhuang||||
|Investment Co.,|Dongxu|||management fee,||
|||Xuxin|March 1, 2012||500,000.00|
|Ltd.,Shijiazhuang|Optoelectronic|||of which the||
|||Optoelectronic||||
|State Holding||||basic||
|||Technology Co.,||||
|Group Investment||||management fee||
|||Ltd.||||
|Co., Ltd.||||is 1 million||
|||||RMB/year, the||
|||||incentive||
|||||management fee||
|||||is counted by 5%||
|||||of the after-tax||
|||||net profit yearly||
|||||achieved by the||
|||||trustee company||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|||||The trustee fee||
|||||includes share||
|||||right trustee||
|||||fee(500 thousand||
|||||RMB/year) and||
|||||operation trustee||
|||||fee. The||
|||||operation trustee||
|||||fee is basic||
|||||management fee||
|||The right to||and incentive||
||Dongxu|operate of|December 1,|management fee,||
|Dongxu Group|||||500,000.00|
||Optoelectronic|Chengdu Taiyisi|2014|of which the||
|||Technology Co.,||basic||
|||Ltd.||management fee||
|||||is 1 million||
|||||RMB/year, the||
|||||incentive||
|||||management fee||
|||||is counted by 5%||
|||||of the after-tax||
|||||net profit yearly||
|||||achieved by the||
|||||trustee company||

(3) Information of related lease
The company eas lessor:
In RMB
|||||
|-|-|-|-|
|||The lease income confirmed in|The lease income confirmed in|
|Name of lessee|Category of leased assets|||
|||this year|last year|
|Dongxu Group|House|4,538,268.00|6,051,024.00|

（4）Related guarantee condition
The Company as a guarantor
||||||
|-|-|-|-|-|
|||||Execution accomplished|
|Secured party|Guarantee amount|Start date|End date||
|||||or not|

The Company was secured party
In RMB
||||||
|-|-|-|-|-|
|Guarantor|Guarantee Amount|Starting date|Stop date|If completed or not|
|The pledge of accounts|||||
||20,000,000.00|September 18,|August 22,|Yes|
|receivable of Dongxu|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||
|-|-|-|-|-|
|Group and Zhengzhou||2014|2015||
|Xufei|||||
|The pledge of accounts|||||
|receivable of Dongxu||August 27,|August 22,||
||20,000,000.00|||Yes|
|Group and Zhengzhou||2014|2015||
|Xufei|||||
|Dongxu Group, Li||September 11,|September 11,||
||200,000,000.00|||No|
|Zhaoting||2015|2016||
|Dongxu Group, Li||August 31,|August 16,||
||350,000,000.00|||No|
|Zhaoting||2015|2016||
|Dongxu Group, Li||October 23,|October 23,||
||200,000,000.00|||No|
|Zhaoting||2015|2016||
|Dongxu Group, Li||December 30,|December 30,||
||200,000,000.00|||No|
|Zhaoting||2015|2016||
|Dongxu Group, Li||December 22,|December 31,||
||400,000,000.00|||Yes|
|Zhaoting, Li Qing||2014|2015||
|Dongxu Group, Li||May 12,|Maty 12,||
||20,000,000.00|||No|
|Zhaoting, Li Qing||2015|2017||
|Dongxu Group, Li||April 23,|April 22,||
||30,000,000.00|||No|
|Zhaoting, Li Qing||2015|2017||
|||December 30,|September 30,||
|Li Zhaoting|50,000,000.00|||Yes|
|||2014|2015||
|Dongxu Group, Li||May 4,|May 4,||
||50,000,000.00|||No|
|Zhaoting, Li Qing||2015|2017||
|The pledge of accounts|||||
|receivable of Dongxu||September 24,|August 22,||
||60,000,000.00|||No|
|Group and Zhengzhou||2014|2015||
|Xufei|||||
|Dongxu Group, Li||June 24,|June 24,||
||60,000,000.00|||No|
|Zhaoting, Li Qing||2015|2017||
|Dongxu Group, Li||March 25,|March 24,||
||80,000,000.00|||No|
|Zhaoting, Li Qing||2015|2017||
|||January 23,|January 23,||
|Dongxu Group|80,000,000.00|||No|
|||2015|2016||
|The pledge of accounts|||||
|receivable of Dongxu||May 27,|||
||100,000,000.00||May 26, 2015|Yes|
|Group and Zhengzhou||2014|||
|Xufei|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||
|-|-|-|-|-|
|Dongxu Group|100,000,000.00|January 22, 2015|November 11, 2015|Yes|
|Dongxu Group|100,000,000.00|April 23, 2015|March 22, 2016|No|
|Dongxu Group|200,000,000.00|September 23, 2015|September 23, 2016|No|
|Dongxu Group|100,000,000.00|January 22, 2015|Januaryp 22, 2016|No|
|Dongxu Group|200,000,000.00|July 22, 2015|July 22, 2016|No|
|The pledge of accounts|||||
|receivable of Dongxu|||||
||100,000,000.00|August 22, 2014|August 22, 2015|Yes|
|Group and Zhengzhou|||||
|Xufei|||||
|Li Zhaoting|40,000,000.00|December 22, 2015|December 22, 2016|No|
|Dongxu Group|200,000,000.00|September 29, 2015|September 29, 2016|No|
|Dongxu Group|200,000,000.00|May 15, 2014|May 14, 2015|Yes|
|Dongxu Group|450,000,000.00|January 28, 2013|January 27, 2021|No|
|Dongxu Group|50,000,000.00|December 8, 2014|December 4, 2015|Yes|
|Dongxu Group|49,000,000.00|December 29, 2014|December 4, 2015|No|
|Dongxu Group|45,000,000.00|November 30,2015|November 30,2016|No|
|Dongxu Group|50,000,000.00|April 23, 2015|March 22, 2016|No|
|Dongxu Group, Li|||||
||20,000,000.00|December 22, 2015|June 22, 2016|No|
|Zhaoting|||||
|Dongxu Optoelectronic|||||
|Investment Co., Ltd.,|||||
||80,000,000.00|July 24, 2015|July 24, 2016|No|
|Baoshi Group, Li|||||
|Zhaoting|||||
|Hold shares in the|||||
|company of Dong Group,|||||
||200,000,000.00|January 4, 2015|January 4, 2016|No|
|Li Zhaoting, Li Qing,|||||
|Baoshi Group|||||
|Dongxu Group, Li|||||
||200,000,000.00|January 4, 2015|January 4, 2016|No|
|Zhaoting, Li Qing|||||
|Dongxu Group, Li|||||
||100,000,000.00|April 12, 2013|May 20, 2016|No|
|Zhaoting, Li Qing|||||
|Dongxu Group, Li|||||
||100,000,000.00|April 12, 2013|October 20,2016|No|
|Zhaoting, Li Qing|||||
|Dongxu Group, Li|||||
||90,000,000.00|April 12, 2013|April 11, 20221日|No|
|Zhaoting, Li Qing|||||
|Dongxu Group, Li|||||
||150,000,000.00|May 2, 2013|April 11, 2022|No|
|Zhaoting, Li Qing|||||
|Dongxu Group, Li|100,000,000.00|September 26, 2013|April 11, 2022|No|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||
|-|-|-|-|-|
|Zhaoting, Li Qing|||||
|Dongxu Group, Li|||||
||300,000,000.00|April 1, 2014|April 11, 2022|No|
|Zhaoting, Li Qing|||||
|Dongxu Group, Li|||||
||150,000,000.00|April 10,2015|April 12, 2022|No|
|Zhaoting, Li Qing|||||
|Dongxu Group|200,000,000.00|August 21, 2014|August 9, 2015|Yes|
|Li Zhaoting|250,000,000.00|December 2, 2014|October 2, 2015|Yes|
|Li Zhaoting|200,000,000.00|May 9, 2015|May 9, 2016|No|
|Li Zhaoting|100,000,000.00|February 13, 2015|February 13, 2016|No|
|Li Zhaoting|300,000,000.00|February 13, 2015|February 13, 2016|No|
|Dongxu Group, Li|||||
||85,000,000.00|||No|
|Zhaoting|||||

(5) Rewards for the key management personnel
In RMB
||||
|-|-|-|
||Amount of current period|Amount of previous period|
|Items|||
|Rewards for the key management|||
||4,609,100.00|3,916,700.00|
|personnel|||

6.Payables and receivables of the related party
（1）Receivable
In RMB
|||||||
|-|-|-|-|-|-|
|||Amount at year end||Amount at year beginning||
|Name|Related party|||||
|||Balance of Book|Bad debt Provision|Balance of Book|Bad debt Provision|
||Shijiazhuang|||||
|Account receivable|Dongxu Mechanical|3,756,250.00||88,000.00||
||Equipment Co., Ltd.|||||
||Chengdu Taiyisi|||||
|Account receivable||||83,333.33||
||Technology Co., ltd.|||||
||Chengdu Zhong|||||
|Account receivable|Optoelectronic|13,872,414.13||44,338,623.05||
||Technology Co., Ltd|||||
||Dongxu （Yingkou）|||||
|Account receivable|Optoelectronic|||25,212,000.00||
||Display Co., Ltd.|||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
||Hebei Baoshi|||
||Energy saving|||
|Account receivable||10,000.00|10,000.00|
||lighting technology|||
||Co., Ltd.|||
||Sichuan Xuhong|||
|Account receivable|Optoelectronic|914,000.00|4,050,000.00|
||Technology Co., Ltd.|||
||Dongxu （Yingkou）|||
|Bill receivable|Optoelectronic||80,000,000.00|
||Display Co., Ltd.|||
||Sichuan Xuhong|||
|Bill receivable|Optoelectronic|21,500,000.00||
||Technology Co., Ltd.|||
||Hebei Baoshi|||
||Energy saving|||
|Prepayments||60,000.00|60,000.00|
||lighting technology|||
||Co., Ltd.|||
|Prepayments|Dongxu Group||203,171,278.25|
||Hebei Decoration|||
|Prepayments|Printing Machinery|775,680.87|655,680.87|
||Co., Ltd.|||
||Shijiazhuang|||
|Prepayments|XumingTube Co.,|335,052.00|335,052.00|
||Ltd.|||
||Shijiazhuang|||
|Prepayments|Dongxu Mechanical|8,521,569.97|18,751,434.08|
||Equipment Co., Ltd.|||
||Shijiazhuang|||
|Other receivable|Baodong Electronic|299,905.00|299,905.00|
||Co., Ltd.|||
|Other non-current||||
||Dongxu Group|155,505,869.52||
|assets||||

（2）Payables
In RMB
|||||
|-|-|-|-|
|Name|Related party|Book balance at year end|Book balanc at year beginning|
||Chengdu Dongxu Energy||649,745.00|
|Account payable||||
||Technology Co., Ltd.|||
|Account payable|Shijiazhuang Baoshi Electronic|5,755,158.95|5,533,363.79|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
||vacuum Glass Co., Ltd.|||
||Shijiazhuang Baoshi|533,942.80|533,942.80|
|Account payable|Large-diameter plastic tube Co.,|||
||ltd|||
||Shijiazhuang Baoshi|152,978.40|152,978.40|
|Account payable|Zhonghe Steel Plastic Shape|||
||Co., Ltd.|||
||Shijiazhuang Xuling Electronic|1,335,136.31|1,008,852.78|
|Account payable||||
||Technology Co., Ltd.|||
|Advance revenue|Dongxu Group|73,125,716.06||
||Chengdu Dongxu Energy||50,000.00|
|Other payable||||
||Technology Co., Ltd.|||
||Jinzhou Xulong Solar energy|1,500,000.00|1,500,000.00|
|Other payable||||
||Technology Co., Ltd.|||
|Other payable|Baoshi Group|165,815,170.48|5,892,565.56|
||Shijiazhuang XumingTube Co.,||97,031.00|
|Other payable||||
||Ltd.|||
|Other payable|Dongxu Group|88,910,757.77|217,447,613.15|
||Dongxu Optoelectronic|146,229,180.00||
|Other payable||||
||Investment Co., Ltd.|||
||Shijiazhuang Baoshi Electronic|264,000.00||
|Other payable||||
||vacuum Glass Co., Ltd.|||
||Sichuan Xuhong Optoelectronic|100,000.00||
|Other payable||||
||Technology Co., Ltd.|||

XII. Stock payment
1. The Stock payment overall situation
√ Applicable□Not applicable
In RMB
|||
|-|-|
|The current total equity instruments granted to the company|0.00|
|Amount of the equity instruments company right of this line|596,000.00|
|Company current total failure of the equity instruments|0.00|

 2. The Stock payment settled by equity
√ Applicable□Not applicable
In RMB
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||
|-|-|
|The determined methods of the fair value of the equity instruments|The 20 trading days prior to the announcement of the stock|
|granted to date|incentive plan average stock trading company|
||《Unlock the first phase of the company restricted stock|
|Determine the number of vested equity instruments||
||incentive plan period can unlock the object list》|
|This estimate and it is estimated that there are significant||
||Without|
|differences of the previous period||
|Equity-settled share-based payment included in the total amount of||
||7,037,400.00|
|capital reserves||
|This period of equity-settled share-based payment confirmation||
||5,975,200.00|
|total costs||

3. The Stock payment settled by cash
□ Applicable√ Not applicable
4. Modification and termination of the stock payment
Without
XIII. Commitments
1. Significant commitments
(1) Significant contingency at balance sheet date
(2) The Company have no significant contingency to disclose, also should be stated
There was no significant contingency in the Company.
XVI. Notes s of main items in financial reports of parent company
（1）Account receivable
1.Classification accojunt receivables.
In RMB
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||Amount in year-end|||||Amount in year-beginning|||||
||Book Balance||Bad debt provision|||Book Balance||Bad debt provision|||
|Classification|||||Book||||||
||Amount|Proportio|Amount|Proportio||Amount|Proportio|Amount|Proportion(|Book value|
||||||value||||||
|||n(%)||n(%)|||n(%)||%)||
|Receivables with|||||||||||
|major individual||||||6,661,7||6,661,700|||
||||||||30.20%||100.00%||
|amount and bad debt||||||00.00||.00|||
|provision provided|||||||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
|individually|||||||||||
|receivables with|||||||||||
|major individual|||||||||||
|amount and bad debt|||||||||||
|provision provided|||||||||||
|individually|||||||||||
|Account receivable|26,294,370.18|||28.69%|||||||
|with minor individual|||365,561.||25,928,80|15,395,||2,899,932||12,495,493.|
|||100.00%|||||69.80%||68.72%||
|amount but bad debt|||55||8.63|425.47||.18||29|
|provision is provided|||||||||||
||26,294,370.18||365,561.|28.69%|25,928,808.63|22,057,||9,561,632||12,495,493.29|
|Total||100.00%|||||100.00%||168.72%||
||||55|||125.47||.18|||

 Accounts receivable of individual significance and subject to individual impairment assessment.
□Applicable√ Not applicable
Account reveivable on which bad debt proisions are provided on age basis in the group
√ Applicable□ Not applicable
In RMB
|||||
|-|-|-|-|
||Year-end balance|||
|Aging||||
||Account receivable|Bad debt provision|Proportion|
|Withitem 1 year||||
|Credit external within 1 year||||
|1-2 years|1,009,668.39|100,966.84|10.00%|
|Over 5 years|264,594.71|264,594.71|100.00%|
|Total|1,274,263.10|365,561.55|28.69%|

Notes：
Receivable account in Group on which bad debt provisions were provided on percentagebasis：
□ Applicable√ Not applicable
Receivable account in Group on which bad debt provisions were provided on otherbasis：
Name 2015.12.31 Bad debt provision Related party Group
25,020,107.08
Notes：
N/A
(2) Bad debt provision withdrawal, reversed or recovered in the report period
The current amount of provision for bad debts is RMB31,483.42; recovery or payback for bad debts Amount is RMB9,227,554.05.
Significant amount of reversed or recovered bad debtprofision：
In RMB
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Name|Amount|Method|

(3) Particulars of the actual verification of accounts receivable during the reporting period
In RMB
|||
|-|-|
|Itmes|Amount|

Of which: significant actual verification of accountsreceivable：
In RMB
|||||||
|-|-|-|-|-|-|
||||||Whether occurredc|
|Name|Nature|Amount|Reason|Procedure|bacause of related|
||||||party transaction|

 Notes：
(4) Top five of account receivable of closing balance collected by arrears party
The total receivable amount of top five closing balances collected by the debtors in the current reporting period is RMB 24,106,107.08, which accounts for91.68% of the total other receivables. The total amount of balances in the end of the period for corresponding accrued bad-debt provision is RMB 0.00.
2.Other receivable
（1）．Category of Other receivable
In RMB
||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|
||Amount in year-end|||||Amount in year-beginng|||||
||Book Balance||Bad debt provision|||Book Balance||Bad debt provision|||
|Classification|||||Book||||||
||Amount|Proportio|Amount|Proportion(%)||Amount|Proportio|Amount|Proportion(|Book value|
||||||value||||||
|||n(%)|||||n(%)||%)||
|Account receivable|||||||||||
|with minor individual|1,259,14||1,797,04||1,257,350|319,713||2,845,794||316,867,75|
|||100.00%||0.14%|||100.00%||0.89%||
|amount but bad debt|7,144.18||5.49||,098.69|,549.26||.38||4.88|
|provision is provided|||||||||||
||1,259,14||1,797,04||1,257,350,098.69|319,713||2,845,794||316,867,754.88|
|Total||100.00%||0.14%|||100.00%||0.89%||
||7,144.18||5.49|||,549.26||.38|||

 Other Receivable accounts on which bad debt provisions are provided by other ways in theportfolio：
□Applicable√Not applicable
Other receivable accounts in Group on which bad debt provisions were provided on age analyzebasis：
√ Applicable□Not applicable
In RMB
|||||
|-|-|-|-|
||Amount in year-endOther receivable Bad debt provision Withdrawal proportion|||
|Aging||||
|||Bad debt provision|Withdrawal proportion|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||
|-|-|-|-|
|Subitem within 1 year||||
|Credit external within 1 year|485,541.91|24,277.10|5.00%|
|Subtotal within 1 year|485,541.91|24,277.10|5.00%|
|1-2 years|718,105.55|71,810.55|10.00%|
|Over 5 years|1,700,957.84|1,700,957.84|100.00%|
|Total|2,904,605.30|1,797,045.49|61.87%|

 Notes:
Other receivable account in Group on which bad debt provisions were provided on percentagebasis：
□Applicable√Not applicable
Other Receivable accounts on which bad debt provisions are provided by other ways in theportfolio：
√Applicable□Not applicable
|||
|-|-|
|Name|2015.12.31|
|Current fund|1,246,010,916.22|
|Personal insurance returned|455,012.80|
|Personal loans|156,609.86|
|Deposit|9,620,000.00|
|Total|1,256,242,538.88|

Continue：
|||
|-|-|
|Name|2014.12.31|
|Deposit|10,000,000.00|
|Petty cash|1,910,852.12|
|Current fund|303,156,899.22|
|Export rebate|43,522.96|
|Personal insurance returned|1,104,926.88|
|Total|316,216,201.18|

（2）Bad debt provision withdrawal, reversed or recovered in the report period.
The amount of bad debt provision was RMB45,584.45, The amount of reversed or recovered bad debt provision in the report period RMB1,094,333.29.
Significant amount of reversed or recovered bad debtprovision：
In RMB
||||
|-|-|-|
|Name|Amount|Method|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report（3）Particulars of the actual verification of other accounts receivable during the reporting period.
In RMB
|||
|-|-|
|Items|Amount|

Of which : Significant actual verification of other accountreceivable：
In RMB
|||||||
|-|-|-|-|-|-|
||||||Whether occurred|
|Name|Nature|Amount|Reason|Procedure|because of related|
||||||party transactions|

Notes：
（4）Other account receivable classified by account nature
In RMB
||||
|-|-|-|
|Nature|Closing book value|Opening book value|
|Deposit|9,620,000.00|10,000,000.00|
|Pretty cash|156,609.86|1,910,852.12|
|Current fund|1,248,135,068.38|305,301,689.86|
|Export rebate||43,522.96|
|Personal insurance and provident fund|455,012.80|1,104,926.88|
|Other|780,453.14|1,352,557.44|
|Total|1,259,147,144.18|319,713,549.26|

 (5) The top five other account receivable classified by debtor at period end
In RMB
|||||||
|-|-|-|-|-|-|
||||||Closing balance of|
|Name|Nature|Closing balance|Aging|Proportion %||
||||||bad debt prof=vision|
|Zhengzhou Xufei||||||
|Optoelectronic|Related party|633,336,950.00|Credit period|50.30%||
|Technology Co., Ltd.||||||
|Beijing Xufeng||||||
||Related party|561,652,495.89|Credit period|44.61%||
|Property Co., Ltd.||||||
|Shijiazhuang Dongxu||||||
|Optoelectronic||||||
||Related party|29,630,448.10|Credit period|2.35%||
|Equipment||||||
|Technology Co., Ltd.||||||
|Wuhan Dongxu||||||
|Optoelectronic|Related party|11,000,000.00|Credit period|0.87%||
|Technology Co., Ltd.||||||
|Dongxu （Kunshan）|Related party|8,000,000.00|Credit period|0.64%||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||||
|-|-|-|-|-|
|Display Material|||||
|Co., Ltd.|||||
|Total|--|1,243,619,893.99|--|98.77%|

3.Long-term equity investment
In RMB
||||||||
|-|-|-|-|-|-|-|
||Year-end balance|||Year-beginning balance|||
|Items||Bad debt|||Bad debt||
||Book balance||Book value|Book balance||Book value|
|||provision|||provision||
|Investment to the|10,143,802,777.3||||||
|||378,172,649.84|9,765,630,127.51|5,475,084,685.33|378,172,649.84|5,096,912,035.49|
|subsidiary|5||||||
|Investment tojoint ventures andassociatedenterprises|||||||
||72,426,252.41||72,426,252.41||||
||10,216,229,029.7||9,838,056,379.92|||5,096,912,035.49|
|Total||378,172,649.84||5,475,084,685.33|378,172,649.84||
||6||||||

（1）Investment to the subsidiary
In RMB
||||||||
|-|-|-|-|-|-|-|
||||||Withdrawn||
|||||||Closing balance|
||||||impairment||
|Name|Opening balance|Increase|Decrease|Closing balance||of impairment|
||||||provision in the||
|||||||provision|
||||||reporting period||
|Shijiazhuang|||||||
|Baoshi Color Bulb|439,341,956.80|||439,341,956.80|||
|Co., Ltd.|||||||
|Hebei Xubao|||||||
|Construction|||||||
|Engineering|100,000,000.00|||100,000,000.00|||
|Installation Co.,|||||||
|Ltd.|||||||
|Wuhu Dongxu|||||||
|Optoelectronic|||||||
|Equipment|93,100,000.00|||93,100,000.00|||
|Technology Co.,|||||||
|Ltd.|||||||
|Wuhu Dongxu|||||||
||4,711,064,000.00|||4,711,064,000.00|||
|Optoelectronic|||||||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
|||||||
|-|-|-|-|-|-|
|Technology Co.,||||||
|Ltd.||||||
|Sichuan Ruiyi||||||
|Construction||||||
||100,453,728.53|||100,453,728.53||
|Engineering Co.,||||||
|Ltd.||||||
|Wuhan Dongxu||||||
|Optoelectronic||||||
||3,125,000.00|||3,125,000.00||
|Technology Co.,||||||
|Ltd.||||||
|Beijing Xufeng||||||
|Real Estate Co.,|20,000,000.00|450,000,000.00||470,000,000.00||
|Ltd.||||||
|Dongxu||||||
|（Kunshan）||||||
||8,000,000.00|272,500,000.00||280,500,000.00||
|Display Material||||||
|Co., Ltd.||||||
|Jiangsu Jixing||||||
|New Material Co.,||167,345,300.00||167,345,300.00||
|Ltd.||||||
|Beijing Xutan||||||
|New Material||||||
|||10,500,000.00||10,500,000.00||
|Technology Co.,||||||
|Ltd.||||||
|Beijing Dongxu||||||
|Huaqing||||||
|||3,500,000.00||3,500,000.00||
|Investment Co.,||||||
|Ltd.||||||
|Shijiazhuang||||||
|Xuxin||||||
|Optoelectronic||1,966,568,609.92||1,966,568,609.92||
|Technology Co.,||||||
|Ltd.||||||
|Zhengzhou Xufei||||||
|Optoelectronic||||||
|||1,798,304,182.10||1,798,304,182.10||
|Technology Co.,||||||
|Ltd.||||||
|Long-terminvestm||||||
|ent depreciation|||||378,172,649.84|
|reserves||||||
|Total|5,475,084,685.33|4,668,718,092.02|0.00|10,143,802,777.3|378,172,649.84|

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||
|-|
|5|

（2）Investment to joint ventures and associated enterprises
In RMB
|||||||||||||
|-|-|-|-|-|-|-|-|-|-|-|-|
|||Increase /decrease in reporting period||||||||||
||||||||||||Closing|
||||||Adjustme|||||||
|||||||||Withdraw|||balance|
||||Decrease|Gain/loss|nt of||Declarati|||||
||Opening|Add||||Other||n||Closing|of|
|Name||||||||||||
||||d|of|other||on of cash|||||
||balance|investmen||||equity||impairme|Other|balance|impairme|
||||investmen|Investme|comprehe||dividends|||||
|||t||||changes||nt|||nt|
||||t|nt|nsive||or profit|||||
|||||||||provision|||provision|
||||||income|||||||
|I. Joint ventures||||||||||||
|II. Associated enterprises||||||||||||
|Zhongda||||||||||||
|Chengx||||||||||||
|in||||||||||||
|Internat||||||||||||
|ional||72,000,00||426,252.4||||||72,426,25||
|Comm||0.00||1||||||2.41||
|ercial||||||||||||
|Factori||||||||||||
|ng Co.,||||||||||||
|Ltd.||||||||||||
|||72,000,00||426,252.4||||||72,426,25||
|Subtotal||||||||||||
|||0.00||1||||||2.41||
|||72,000,00||426,252.4||||||72,426,252.41||
|Total||||||||||||
|||0.00||1||||||||

（3）Other
4.Business income and Business cost
In RMB
||||||
|-|-|-|-|-|
||Amount of current period||Amount of previous period||
|Items|||||
||Income|Cost|Income|Cost|
|Main business|704,155,982.26|388,287,892.82|31,543,226.87|30,310,753.30|
|Other business|17,006,514.07|1,136,943.48|28,722,583.81|7,364,606.56|
|Total|721,162,496.33|389,424,836.30|60,265,810.68|37,675,359.86|

OtherNotes：
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report 5. Investment income
In RMB
||||
|-|-|-|
|Items|Amount of current period|Amount of previous period|
|Income from long-term equity investment|||
||380,000,000.00|950,000,000.00|
|measured by adopting the cost method|||
|Income from long-term equity investment|||
||426,252.41||
|measured by adopting the Equity method|||
|Investment income received from holding of|||
||0.00|0.00|
|available-for –sale financial assets|||
|Total|380,426,252.41|950,000,000.00|

 XVII. Supplementary Information
1.Current non-recurring gains/losses
√ Applicable□Not applicable
In RMB
||||
|-|-|-|
|Items|Amount|Notes|
|Gains/Losses on the disposal of non-current|||
||-42,342.96||
|assets|||
|Government grants recognized in the current|||
|period, except forthose acquired in the|||
|ordinary course of business or granted at|514,763,264.28||
|certain quotas or amounts according to the|||
|country’s unified standards|||
|Gains due to that the investment costs for the|||
|Company to obtain subsidiaries, associates|||
|and joint ventures are lower than the|||
||18,763,137.14||
|enjoyable fair value of the identifiable net|||
|assets of the investees when making the|||
|investments|||
|Net profit or loss of subsidiaries from the|||
|beginning of the period up to the business|||
|combination date recognized as a result of|84,703,345.09||
|business combination of enterprises under|||
|common control|||
|Separate impairment test of the impairment|||
||14,009,355.59||
|of receivables back|||
|Gain/loss on loans obtained by entrusting|||
||4,500,000.00||
|others|||

Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report
||||
|-|-|-|
|Other non-operating income and expenditure|||
||2,588,776.63||
|beside for the above items|||
|Less: Influenced amount of income tax|82,348,493.83||
|Amount of influence of minority interests|53,402,758.27||
|Total|503,534,283.67|--|

For theCompany’s non-recurring gain/loss items as defined in the Explanatory Announcement No.1 on
information disclosure for Companies Offering their Securities to the Public-Non-recurring Gains and Losses and its non-recurring gain/loss items as illustrated in the Explanatory Announcement No.1 on information Disclosure for Companies offering their securities to the public-non-recurring Gains and losses which have been defined as recurring gains and losses, it is necessary to explain the reason.
□ Applicable√ Not applicable
2 Return on net assets and earnings per share
|||||
|-|-|-|-|
|||Earnings per share||
|Profit of the report period|Return on net assets . Weighted（%）|||
|||Basic earnings per share|Diluted gains per share|
|Net profit attributable to the||0.48|0.48|
|Common stock shareholders of|14.99%|||
|Company.||||
|Net profit attributable to the||0.30|0.30|
|Common stock shareholders of||||
||10.93%|||
|Company after deducting of||||
|non-recurring gain/loss.||||

3. Differences between accounting data under domestic and overseas accounting standards
(1) Differences of net profit and net assets disclosed in financial reports prepared under international and Chinese accounting standards
□ Applicable√ Not applicable
(2) Differences of net profit and net assets disclosed in financial reports prepared under overseas and
Chinese accounting standards
□ Applicable√ Not applicable
XI. Documents available for inspection
1.The original annual report bearing the signature of the Chairman of the Board of Directors of the Company; 2.The text of the financial report bearing the seal and signature of the person in charge of the Company, financial
controller and the person in charge of accounting organ
3. Originals of all documents and manuscripts of public Notices of the Company Disclosed in public in the
Dongxu Optoelectronic Technology Co., Ltd. 2015 Annual Report newspapers as designated by China Securities Regulatory Commission.
【Notes】This Report has been prepared in both Chinese and English. In case of any discrepancy, the Chinese version shall prevail.
Dongxu Optoelectronic Technology Co., Ltd.
Chairman: Li Zhaoting
Issue day approved by the Board ofDirectors：February 5,2016