Henan Xinye Textile Limited By Share Ltd Announcements

Stock Code: 002087 stock abbreviation: Xinye

Announcement No.: 2012-033

1. Important hints

The board of directors, the board of supervisors and directors, supervisors and senior management of the company guarantee that the information contained in this report does not contain any false record, misleading statement or major omission, and bears individual and joint liabilities for the authenticity, accuracy and completeness of its contents.

All directors have attended the board meeting to consider this quarterly report.

The company's third quarter report was not audited by an accounting firm.

Wei Xuezhu, chief accountant of the company, Xu Qinzhi, head of accounting work, and Wan Hua Nan, head of accounting institutions, said: ensure the authenticity and completeness of financial reports in quarterly reports.

Two, the company's basic situation

(1) major accounting data and financial indicators

Is there any retrospective adjustment in the previous reporting period?

Is it not applicable?

Deducting non recurring items and amounts

Application is not applicable.

The company defines the items of non recurring profit and loss items as items of regular profit or loss according to other items of profit and loss which are defined by non recurring gains and losses and according to the nature and characteristics of their normal business operations.

(two) the total number of shareholders and the shareholdings of the top ten shareholders at the end of the reporting period

Three, important matters

(1) the situation and reasons for major changes in accounting items and financial indicators of the company

Application is not applicable.

1, notes receivable decreased by 31.47% compared with the beginning of the year, mainly due to the decrease in stock receivables at the end of 9 in 2012.

2, accounts receivable increased by 33.72% over the beginning of the year, mainly due to the fact that some sales have not yet been received.

3, prepaid accounts increased by 36.08% over the beginning of the year, mainly due to the beginning of the acquisition of new cotton and the increase in prepaid cotton.

4, in construction projects, a decrease of 51.70% compared with the beginning of the year. The main reason is that some construction projects are completed and pferred to fixed assets.

5, deferred income tax assets increased by 65.49% over the beginning of the year, mainly due to the loss of some subsidiaries and the recognition of deferred income tax assets.

6, notes payable increased by 49.64% over the beginning of the year, mainly due to the increased use of bills.

7, other current liabilities fell by 100%, because the company returned short-term financing coupons.

8, long-term borrowings increased by 31.58% over the beginning of the year, mainly due to the addition of some long-term loans.

9, the increase in bonds payable is the issue of corporate bonds this year.

10, financial expenses increased by 45.38% compared with the same period last year, mainly due to the increase in average interest rates compared with the same period last year, while interest bearing debts increased and financial costs increased.

11, operating profit decreased by 42.95% compared with the same period last year, mainly due to the downturn in the textile industry, the decline in gross margin and the excessive increase in financial costs.

12.

Net cash flow from activity decreased by 126.03% compared with the same period last year, mainly due to the increase in cash payments for purchases and receiving services in the 1-9 months of this year, especially in the third quarter.

13, net cash flows from investment activities decreased by 79.54% compared with the same period last year, mainly due to the decrease in the amount of cash paid for fixed assets, intangible assets and other long-term assets in the 1-9 months of this year, compared with the same period last year.

14, the net cash flow generated by fund-raising activities in 1-9 months in 2012 was 76156346.91 yuan, compared with -129733726.45 yuan in the same period last year, mainly due to the issuance of corporate bonds.

(two) analysis and explanation of the progress of major matters and their impacts and Solutions

1, non-standard opinion

Application is not applicable.

2, the company exists to provide funds to the controlling shareholder or its associated parties, and to provide guarantees in violation of the prescribed procedures.

Application is not applicable.

3, the signing and performance of major contracts for daily operation.

Application is not applicable.

4, others

Application is not applicable.

(three) commitments of companies or shareholders holding more than 5% of shareholders during the reporting period or continuing to the reporting period

Application is not applicable.

(four) prediction of operating performance in 2012

The estimated operating performance in 2012: the net profit attributable to shareholders of listed companies is positive and does not belong to the situation of turning losses into profits.

The net profit attributable to shareholders of listed companies is positive and does not belong to the situation of turning losses into profits.

(five) other important matters that need to be explained

1, securities investment situation

Application is not applicable.

2, investment in derivatives

Application is not applicable.

3. The position of derivatives investment at the end of the reporting period.

Application is not applicable.

4. Registration forms for receiving research, communication and interviews during the reporting period.

5, the issuance of corporate bonds

Whether to issue corporate bonds?

Whether or not

1, approved by the CSRC's [2011]1827, the company issued the first corporate bond to the public on the 25 day of April 2012 with a face value of 300000000 Yuan, with a term of 5 years (with the option of increasing the coupon interest rate and the investor's right to sell back at the end of third). After deducting the total cost of the 5 million yuan, such as sponsorship fee and underwriting fee, the net amount of the raised fund is RMB 295000000 yuan.

The Asia Pacific (Group) accounting firm Limited has issued a verification report no. 2012 for the current issue of bonds raising funds in 011.

Bonds are calculated on a single interest year, excluding compound interest, and interest is paid once a year, and the last interest is paid with principal.

The date of interest of the bond is April 25, 2012, when the coupon rate is 7.1%/ years (the company has the right to decide whether to raise the coupon rate of the bonds after 2 years at the end of third of the current term of the bonds), the company bonds will pay interest on a yearly basis, and the interest will be paid back once a month, and the interest bearing date is from April 25, 2012 to April 25, 2017.

The company's interest rate is 3905000 yuan according to the coupon interest rate.

The corporate bonds were listed on June 21, 2012, with the code 112081 and managed by Ping An Securities.

2, the company publicly issued second corporate bonds to the public on 13 July 2012, with a face value of 300000000 Yuan, with a period of 5 years (with the option to raise the coupon interest rate and the right of investors to sell back at the end of third). After deducting the total cost of sponsorship fees and underwriting fees, the net amount of the proceeds is RMB 297000000 yuan.

Asia-Pacific Group accounting firm limited liability company issued a number of funds in place for this issue as the sub session (2012) 024 verification report.

Bonds are calculated on a single interest year, excluding compound interest, and interest is paid once a year, and the last interest is paid with principal.

The date of interest of the bond is July 13, 2012, when the coupon rate is 5.88%/ years (the company has the right to decide whether to raise the coupon rate of the bonds after 2 years at the end of third of the current term of the bonds), the company bonds will pay interest on a yearly basis, and the interest will be paid back once a month, and the interest bearing date is from July 13, 2012 to July 13, 2017.

The corporate bonds were listed on August 22, 2012, with the code 112098 and managed by Ping An Securities.

Henan

Limited company

Chairman: Wei Xuezhu

October 23, 2012