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Announcement on the Subsidiary's Receipt of the Decision of the Environmental Protection Department Ordering to Stop Production and Remediation

Release time:

2020-08-05

Securities Code: 600668 Securities Abbreviation: Jianfeng Group Announcement No.: 2018-020

Bond Abbreviation: 13 Jianfeng 02 Bond Code: 122344

Zhejiang Jianfeng Group Co., Ltd.

Announcement

of the Company's Board of Directors and all directors guarantee that there are no false records, misleading statements or major omissions in the contents of this announcement, and shall bear individual and joint liabilities for the authenticity, accuracy and completeness of its contents

Recently, Anhui Xinbeika Chemical Co., Ltd. (hereinafter referred to as "Anhui Beika"), a subsidiary of the company, received the Dongzhi County Environmental Protection Bureau's "Decision on Ordering Suspension of Production and Rectification" (

Donghuan Zit [2018] No. 04), the main contents are hereby announced as follows:

1. the contents of the "Decision on Ordering to Stop Production and Rectification"

(I) Investigation and Findings of Environmental Violations

After investigation by our bureau, it is found that your company has implemented the following environmental violations: "Your company's annual output of 500

tons of acetamiprid is in production, and the valve of the gas outlet pipeline of the activated carbon adsorption tank of the waste gas treatment facility in the 201 workshop is closed, the waste gas in the tank overflows from the outlet of the sewage pipe and the inlet and outlet of activated carbon replacement, etc., and the smell on site is heavy." The above facts of

are based on evidence such as the on-site (survey) record, investigation and inquiry record, on-site photos and so on on June 22, 2018

by our bureau.

The above actions of your company violate the provisions of Article 20, paragraph 2, of the the People's Republic of China Air Pollution Prevention and Control Law.

The basis and type of the (II)'s decision to suspend production for rectification

According to Item (III) of Paragraph 1 of Article 99 of the the People's Republic of China Air Pollution Prevention and Control Law, and Item (I) of Article 6 of the Measures for the Implementation of Restrictions on Production and Suspension of Production by Environmental Protection Authorities, our bureau has decided to order your company to implement suspension of production for rectification.

Implementation method and deadline for (III) shutdown rectification

, your company shall immediately stop production from the date of receipt of this decision, and take corrective measures to formulate and implement the rectification plan.

. Your company shall report the rectification plan to our bureau for the record and make it public within 15 working days after receiving this decision. The rectification plan shall determine the corrective measures, the progress of the project, the guarantee of funds and the responsible personnel.

. After your company completes the rectification task, it shall report the completion of the rectification task and the public disclosure of the rectification information to our bureau for the record within 15 working days.

. Your company shall not have any illegal pollutant discharge during the rectification period, and shall not resume production without reporting the completion of the rectification task to our bureau for the record.

The period of suspension of production for rectification is from the date of service of this decision to the date of cancellation of the suspension of production for rectification.

Our bureau will supervise your unit after the implementation of the shutdown rectification, and conduct follow-up inspection after the shutdown rectification is lifted. If your company refuses to carry out rectification as required or commits illegal acts after resuming production, our bureau will impose administrative penalties or administrative treatment in accordance with the law according to your company's illegal circumstances and environmental consequences.

Ways and Time Limit for (IV) to Apply for Administrative Reconsideration or File Administrative Litigation

If your company does not accept this decision, it may apply for administrative reconsideration to Chizhou Municipal Environmental Protection Bureau or Dongzhi County People's Government within 60 days from the date of receipt of this decision in accordance with the provisions of Article 9 of the the People's Republic of China Administrative Reconsideration Law, an administrative lawsuit may also be brought to the people's Court of Dongzhi County within six months from the date of receipt of this decision in accordance with Article 46 of the the People's Republic of China Administrative procedure Law. If an application for administrative reconsideration or an administrative lawsuit is filed, the implementation of this decision shall not be suspended.

If you do not apply for administrative reconsideration, file an administrative lawsuit, or perform this decision within the time limit, our bureau will apply to the people's court for enforcement in accordance with the law.

2. Rectification Measures

Company attached great importance to the above decision and immediately requested Anhui Beika to actively cooperate with the environmental protection department in inspection and stop illegal acts. The specific measures are as follows:

. In response to the incident, the company instructed Jianfeng Pharmaceutical to immediately set up an environmental protection incident emergency working group to investigate the incident and supervise the rectification; at the same time, arrange the company's production enterprises to conduct a comprehensive environmental self-examination to prevent the occurrence of similar incidents.

, prepare a rectification plan and arrange special funds to further upgrade the existing waste gas treatment system in Beika, Anhui Province.

. During the period of shutdown and rectification, Anhui North Carolina will be arranged to carry out annual routine equipment maintenance to ensure the normal operation of production facilities after resumption of production.

Anhui North Carolina will complete the rectification as soon as possible and report the completion of the rectification to the Environmental Protection Bureau, so as to resume normal production as soon as possible.

Impact of 3. on the Company

2018

In January and August, the board of directors of the company approved that the subsidiary Zhejiang Jianfeng Pharmaceutical Co., Ltd. acquired 55% of the equity of Shanghai Beika Pharmaceutical Technology Co., Ltd. by acquiring shares and increasing capital. Anhui Beika is a wholly-owned subsidiary of Shanghai Beika Pharmaceutical Technology Co., Ltd. In May 2018, the industrial and commercial change registration and handover procedures for the investment were completed. In accordance with the "Application Guide to Enterprise Accounting Standards No. 20-Business Combinations", the Company has included Shanghai Beika Pharmaceutical Technology Co., Ltd. and its subsidiaries in the scope of the Company's consolidation since June 2018.

At the end of 2017

, the company's total assets were 41.76 .1 billion yuan, and the net assets attributable to the owners of the parent company were 2.627 billion yuan. In 2017, the company realized operating income of 2.827 billion yuan and realized net profit attributable to the owners of the parent company. 0.348 billion yuan. At the end of 2017, Anhui North Card's total assets were 0.047 billion yuan and net assets were 0.012 billion yuan. Anhui North Card's annual operating income in 2017 was 0.046 billion yuan and net profit was -0.008 billion yuan. Anhui North Card's total assets were about 1.13 of the company's total assets and its operating income was about 1.63 of the company's operating income. Anhui North Card has a small impact on the Company's overall operating income and efficiency.

The company will strictly follow the "Shanghai Stock Exchange Stock Listing Rules" and other relevant requirements to do a good job of information disclosure in a timely manner. Please invest rationally and pay attention to investment risks.

This is to announce

Zhejiang Jianfeng Group Co., Ltd. Board of Directors

July 5, 2018

More information

The company fully deploys 2018 work

On January 27, the group company held a business analysis meeting to review and summarize the work in 2017, arrange and deploy the work for the new year, and put forward work requirements. At the meeting, various professional companies and directly affiliated enterprises reported on the overall work situation in 2017, focusing on analyzing the existing problems and deficiencies, and proposing corresponding solutions and work plans for 2018. Xiang Chongping, deputy general manager of the group company, systematically combed the current human resources efficiency and human resources development of the company. Chen Tianci, chairman of the board of supervisors, made a report and analysis on the "three reductions and three improvements" and the safety and environmental protection work in 2017. Lan Xiaolong, head of finance, analyzed the risks and challenges currently faced by the company according to the operating data and financial situation of its subordinate enterprises. The functional departments and offices of the headquarters also made a brief report on their annual work. Yu Jianhong, general manager of the group company, made a comprehensive review of the company's operation in 2017, compared and analyzed the main economic indicators of various industrial sectors, and pointed out that looking for new investment and development projects around strategic objectives, promoting the optimization of organizational structure and post setting, significantly improving the level of information management, improving the ability of fund management and tax planning, achieving certain results in scientific and technological innovation and technological transformation, and strengthening marketing management and market expansion, safety and environmental protection work is basically up to standard, training and talent development have achieved new results and other work highlights; at the same time, it summarizes and reflects on the shortcomings in strategic decision-making, management innovation, performance appraisal, market operation, and talent team building. After analyzing the current macroeconomic situation and the future trends of various related industries, Yu Jianhong informed

2020

07-31

Peak Pharmaceutical Invests in Shanghai North Carolina to Build API R & D and Production Base

News from our newspaper On January 19, the group company held the second meeting of the tenth board of directors and reviewed and approved the "Proposal on Foreign Investment of Subsidiary Jianfeng Pharmaceutical." On the same day, Jianfeng Pharmaceutical signed an agreement to invest in Shanghai North Carolina Pharmaceutical Technology Co., Ltd. (hereinafter referred to as "Shanghai North Carolina") by acquiring shares and increasing capital. Shanghai Beika is a high-tech enterprise in Shanghai. It has an academician expert workstation and a number of Shanghai high-tech achievements transformation projects. It has won the title of "second prize for scientific and technological progress" in Songjiang District, Shanghai, "patent pilot enterprise" and "enterprise technology center" in Songjiang District, Shanghai. The company has strong research and development capabilities and has obtained 14 patents. At present, its main business is to provide products and customized services for domestic and foreign pharmaceutical companies. The products mainly include Tinib, alkaloids, carbohydrates and other anti-tumor drug intermediates. The customized services are mainly CDMO (contract development and manufacturing) of new drugs and intermediates. Shanghai North Carolina has two wholly-owned subsidiaries, Anhui Changtai Chemical Co., Ltd. (hereinafter referred to as "Changtai Chemical") and Anhui North Carolina Pharmaceutical Co., Ltd. (hereinafter referred to as "Anhui North Carolina"). Changtai Chemical is a pesticide manufacturer designated by the Ministry of Industry and Information Technology. It was established in July 2007. It now has three chemical synthesis workshops and a pesticide preparation compounding workshop, with 10 product approvals and 13 patents. Anhui North Carolina was established in December 2016. Its business scope includes the customization, production and sales of chemical raw materials and pharmaceutical intermediates, and the wholesale and retail of chemical raw materials and products (except hazardous chemicals

2020

07-30

Peak Pharmaceutical Invests in Shanghai North Carolina to Build API R & D and Production Base

2020

07-31

Jianfeng Pharmaceutical was rated as a provincial trademark brand demonstration enterprise

On December 28, 2017, Zhejiang Administration for Industry and Commerce announced the list of trademark brand demonstration counties (cities, districts), demonstration towns (streets) and demonstration enterprises in Zhejiang Province in 2017. Jianfeng Pharmaceutical Company was identified as a trademark brand demonstration enterprise, and it was also the only enterprise in Jinhua City to enter the list. Peak Pharmaceutical was established in 1998 and obtained the first registered trademark in 1999. Since then, Jianfeng Pharmaceutical has been actively carrying out brand building in accordance with the requirements of the Trademark Law and other laws and regulations, and has set up an intellectual property department to carry out trademark management, rights protection and other activities; it has established a sound trademark management system, strictly in accordance with the provisions of the Trademark Law to supervise and manage the use of trademarks inside and outside the enterprise, and safeguard the legitimate rights and interests of the enterprise. Establish strategic cooperation with professional institutions, for trademark applications, renewals and other work. In recent years, Jianfeng Pharmaceutical has also explored trademark investment, creating value through intangible assets such as trademarks and brands, promoting efficiency improvement, and further expanding corporate influence; at the same time, it has continuously increased investment in new product research and development and technological transformation, and actively Declare various patents to provide strong support for brand building with technological innovation. According to incomplete statistics, Jianfeng Pharmaceutical and its subsidiaries currently have more than 120 valid trademarks, including 1 well-known trademark in China, 2 well-known trademarks in Zhejiang Province, 5 well-known trademarks in Jinhua City, and 2 overseas registered trademarks; Obtained more than 40 domestic and international patents. Trademark is an important part of intellectual property rights, in the knowledge economy, brand effect is increasingly becoming the leading force of economic development.

2020

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Peak Pharmaceutical Invests in Shanghai North Carolina to Build API R & D and Production Base

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The company was rated as an advanced unit of the city's focus on talent and love talent.

News from our newspaper On December 11, the Talent Work Leading Group of the Jinhua Municipal Committee of the Communist Party of China commended the advanced units of Jinhua City that value talents and love talents. 36 units including Jianfeng Group won this honor. The selection of advanced units that value talents and love talents is a measure taken by the Jinhua Municipal Party Committee to further create a good atmosphere of focusing on talents and loving talents, fully respect and make good use of the first resource of talents, serve innovation to drive development, and implement the development strategy of strengthening the province with talents and innovation. The enterprises and institutions that have won this honorary title have always regarded talents as the fundamental driving force for development for a long time, regarded the investment of talents as the most effective investment, and integrated the love of talents into the unit culture. Remarkable achievements have been made in gathering talents, achieving talents, transforming and upgrading, and accelerating development. The Jinhua Municipal Party Committee requires the majority of employers to learn from advanced units, vigorously promote the trend of focusing on talents and loving talents, remove the obstacles to the talent development system and mechanism, and in accordance with the requirements of "walking in the forefront and jointly building Jinhua", in order to promote the construction of a modern metropolitan area and accelerate the construction of the province An important growth pole for high-quality development provides talent support and intellectual guarantee. (this newspaper reporter)

2020

07-31

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