China Fiberglass And Henan Xinye Announced

China

Preliminary report on the initiation of research and evaluation of the construction of the US production base

Securities short: China Fiberglass securities code: 600176 announcement number: 2012-028

China Fiberglass Limited by Share Ltd

Preliminary report on the initiation of research and evaluation of the construction of the US production base

The board of directors and all directors of the company guarantee that there is no false record, misleading statement or major omission in the contents of this announcement, and shall bear individual and joint liabilities for the authenticity, accuracy and completeness of its contents.

To promote the internationalization strategy and further expand overseas markets, the boulder group, a wholly owned subsidiary of China Fiberglass Limited by Share Ltd (hereinafter referred to as the "company"), intends to build a production base in the United States, and will initiate corresponding preliminary research and evaluation work.

The specific investment and construction of the US production base will be determined according to the results of investigation and evaluation.

"Internationalization of layout" is an important part of the company's development strategy. The US market is a key market in the overseas market. The company hopes to further expand its overseas customers by setting up an American production base. This measure is a confidence embodiment of the company's all-round opening up to the US market, and also a confidence embodiment of the quality, category and competitive advantage of the boulder products.

The company will carry out the corresponding review procedures and disclosure obligations according to the actual progress of the investigation and assessment work, and invite investors to pay attention to investment risks.

Notice hereby.

China Fiberglass Limited by Share Ltd

October 10, 2012

Stock Code: 002087 securities short: Xinye textile Bulletin No.: 2012-032

Xinye, Henan

All members of the company and the board of directors guarantee the authenticity, accuracy and completeness of the announcement. There is no false record, misleading statement or major omission.

According to the joint circular issued by the National People's Congress, the Ministry of Finance and the people's Bank of China ([2007]228), we have been designated as the designated producer of minority special needs products during the period of 11th Five-Year. Our company has been designated as a designated producer of special needs for minority nationalities. Since October 2007, we have enjoyed the preferential loan interest rate policy of the state related civilian enterprises, which is 2.88 percentage points lower than the benchmark interest rate of one year loan.

The current national "11th Five-Year" policy on ethnic trade and ethnic products has expired, and the specific implementation measures for ethnic trade and ethnic products policy are in the period of convergence during the period of 12th Five-Year.

According to the notice issued by the National People's Liberation Commission on further implementation of the preferential policies for supporting enterprises for the production of ethnic trade and special needs of commodities in the period of 12th Five-Year, which is issued by the people's Liberation Committee ([2011]24), the original practice is temporarily maintained before the new measures are promulgated.

Recently, the company received a total of 7887475.20 yuan in the third quarter of the 2012 quarter of the year, which was subsidized by the people's Bank of China. According to the relevant provisions of the enterprise accounting standards, the company has made corresponding accounting treatment, and the government subsidy will be recognized as extra business income.

The subsidy will be 2012 for the company.

The positive results will be based on the audit results of accounting firms.

Notice hereby.

Henan Xinye textile Limited by Share Ltd

Board of directors

October 11, 2012