Zhengzhou Huajing: A clarification announcement on media reports

The company and all members of the board of directors guarantee the truthfulness, accuracy and completeness of the information disclosure, and there are no false records, misleading statements or major omissions.

First, the rumor

On July 31, 2014, some media reported that the “Diamond Diamond Receivables Rafted Mystery” was reprinted by some media. The report mainly mentions the following matters:

1. Questioning the company's accounts receivable as related companies;
2. The amount of accounts receivable has increased rapidly since 2012, and the turnover days of accounts receivable are not normal;
3. The prospects of fundraising projects are not optimistic.

Second, clarification

After verification, the company explained the above matters as follows:

(1) With regard to the explanation that the accounts receivable party is an affiliated enterprise, the company's accounts receivable party has no related enterprise, and the company does not have the situation of using the affiliated enterprise to perform performance fraud.

(2) Description of accounts receivable matters

In recent years, with the expansion of the company's business scale and the development of new projects, the company's industrial structure has been adjusted and upgraded, the industrial chain has been extended, and the product structure has been continuously enriched, but the market expansion requires a certain amount of time. In order to expand the market share of products and enhance the comprehensive competitiveness, taking into account the current macroeconomic situation and market competition and other factors, the company has adopted appropriate and appropriate credit policies for some high-quality customers in response to product differences, resulting in accounts receivable. The amount of the payment and the number of turnover days have increased.

The company's 2012, 2013, and first half of 2014 accounts receivable were 143,804,400 yuan, 237,564,200 yuan, and 325,563,400 yuan, of which the balance of accounts receivable with a aging account within one year accounted for the total accounts receivable. The proportions are 99.97%, 91.93%, and 91.45%, respectively. Although the amount of accounts receivable is relatively large, the collection of accounts receivable is in good condition. In view of the credibility of the downstream customers and the actual operating conditions, the risk of bad debts of the company's accounts receivable is small.

At the same time, the company is also concerned about the potential risks of accounts receivable. In terms of system, the company further improved the internal control system and credit management system, strengthened the credit inspection and approval process control for customers, clarified the responsibility assessment mechanism, optimized reward and punishment measures, and increased the collection of receivables; on the other hand, the company According to the development strategy objectives and actual capital needs, combined with their own financial situation, rational use of various financing methods to ensure the future development of funding needs, and promote the company's sustainable and healthy development.

(3) Explanation on the situation of fundraising projects

On July 12, 2014, the second meeting of the third board of directors of the company reviewed and approved the “Proposal on the 2014 Non-public Issuance of Stocks Plan”. The company plans to raise funds through non-public offering of shares to build an annual output of 350 million meters of micron diamonds. Line project.

Micron diamond wire products are mainly used in the field of silicon-based battery slicing, silicon rod opening, and silicon rod cutting in the solar photovoltaic industry. They are used in the sapphire industry for the cutting of LED substrate sheets, epitaxial wafers, etc., such as precious metals and precision. The cutting of ceramics and the like has a wide range of applications and the market demand for products is strong. The company's implementation of the expansion plan for the micro-diamond line project will help solve the company's capacity bottleneck and meet the growing market demand. The project is in line with the relevant national industrial policies and industry development plans, in line with the interests of the company and all shareholders.

For details of the fundraising project, please refer to the announcement on July 15, 2014, which was disclosed on the website of the China Securities Regulatory Commission for the GEM.

(4) Other explanations

The company's current production and operation is normal, we welcome the media to monitor and pay attention to the company's compliance.

Third, the necessary tips

Five websites including “Juchao Information Network”, “China Securities Network”, “China Securities Network”, “Securities Times Network” and “China Capital Securities Network” and “Securities Times” are the information disclosure media designated by the company. All information is subject to the announcement published in the above media. Investors are advised to invest rationally and pay attention to investment risks.

Special announcement.

Other Night Light

Other Night Light,Projector Nightlight For Star Sky ,Led Emergency Light,Night Light For Moon Sky

NINGBO ZHENGUO INTELLINGENT LIGHTING CO.,LTD , https://www.zguolight.com