Huamao Shares (000850): Receiving Government Subsidies

Anhui Huamao textile Limited by Share Ltd announcements on receipt of government subsidies

All members of the company and the board of directors guarantee that the contents of the information disclosure are true, accurate and complete, without false records, misleading statements or major omissions.

First, the basic situation of obtaining subsidies.

According to the Anhui Provincial Department of human resources and social security, the Anhui provincial finance department, the Anhui provincial development and Reform Commission, the Anhui economic and information department, the circular on the development of unemployment insurance and stable return work (Anhui people's secret number [2019] 166), Anhui's Huamao textile Limited by Share Ltd (hereinafter referred to as the "company") received a stable subsidy from the labor and Employment Bureau of Anqing City: 28 million 503 thousand and 200 yuan.

Two. Types of subsidies and their impact on the company

1. Types and confirmation and measurement of subsidies

According to the provisions of the accounting standards for Enterprises No. sixteenth - government subsidies, government subsidies related to assets refer to the government subsidies obtained by enterprises for the purchase or construction or other forms of long-term assets. The government subsidy related to income refers to government subsidies other than assets related government subsidies. The above subsidy is 28 million 503 thousand and 200 yuan and related to income, all of which are included in other current income subjects.

2, the impact of subsidies on listed companies.

According to the relevant provisions of the enterprise accounting standards, the amount of government subsidy received above is 28 million 503 thousand and 200 yuan, which is included in other income of the third quarter of the company, accounting for 24.02% of the company's latest (2018) audited attributable to the shareholders' net profit of the listed company, which will have a positive impact on the company's profit in the third quarter of 2019.

3, risk warning and other instructions.

If the above data are not audited, the final accounting treatment of the company will be based on the result of the accounting firm's audit confirmation. We invite investors to pay attention to investment risk and rational investment.

Three. Reference documents

1, the government approvals on subsidies.

2, collection voucher.

Notice hereby

Anhui Huamao textile Limited by Share Ltd board of directors

July 23rd two 19