*ST Velvet ((000982): Manager'S Announcement On Progress In Restructuring

Ningxia silver cashmere Limited by Share Ltd Manager

Announcement on progress in restructuring

First, restructuring progress

In July 9, 2019, the intermediate people's Court of Yinchuan, the Ningxia Hui Autonomous Region (hereinafter referred to as "Yinchuan intermediate people's court") made (2018) ning 01 Shen Shen 29, "civil ruling" and "(2019) ning 01" 6-1 "decision", and decided to accept the reorganization of Shanghai's Cci Capital Ltd, the Bank of China (hereinafter referred to as "cashmere industry" or "company"). Please, the decision is made by the relevant departments and agencies recommended by the Yinchuan Municipal People's government. (see the announcement of the Limited by Share Ltd of Ningxia Bank of China on the court's decision to accept the warning of the company's reorganization and stock being continued to withdraw from the market) issued by the cashmere industry in July 11, 2019. The announcement number is 2019-69.

After the company entered the bankruptcy reorganization process, according to the relevant provisions of the People's Republic of China enterprise bankruptcy law, the manager has fully initiated the declaration, registration and examination of claims. The deadline for declaration is August 17, 2019. As of 5 o'clock p.m. on July 23, 2019, a total of 19 creditors had reported 19 claims to managers, and the total amount of claims was 787907217.36 yuan.

Two, risk warning

1, the risk that a company's stock may be suspended from listing.

The company's stock trading is currently implemented with a delisting risk warning (*ST), and the net assets at the end of 2018 audited are negative. If the net assets of the company audited in 2019 are still negative, then according to the provisions of article 14.1.1 of the Shenzhen Stock Exchange Listing Rules (revised in November 2018) (hereinafter referred to as the "Listing Rules"), the company's stock will face the risk of suspension of listing.

2, the risk that the company's stock may be terminated.

(1) if the company's shares are suspended from listing, the first year of the year (2020) reports that the net profit of the company's net profit or net profit after deducting non recurring gains and losses is negative, the net assets at the end of the year are negative, the operating income is less than ten million yuan, or the audit report of the company's financial accounting report is issued with reservations, inability to express opinions or negative opinions, or fails to make a report. The annual report of 2020 is disclosed within the statutory time limit. According to the provisions of article 14.4.1 (1) to (five) of the listing rules, the company's stock will face the risk of being terminated.

(2) the court has ruled that the company enters the reorganization process. According to the relevant provisions of the People's Republic of China enterprise bankruptcy law, if the reorganization fails, the company will be declared bankrupt and liquidated by the court. If the company is declared bankrupt and liquidated by the court, according to clause 14.4.1 (twenty-three) of the listing rules, the company's stock will face the risk of being terminated.

(3) if the company implements the reorganization and completes the reorganization plan, it will help improve the company's assets and liabilities structure and avoid continuous losses, but the company's stock transaction still needs to meet the relevant regulatory requirements, otherwise it will still face the risk of suspending the listing or terminating the listing.

Managers will conscientiously fulfill their obligations of information disclosure in strict accordance with relevant laws and regulations, pay close attention to and timely disclose the progress of related matters, and the information released by the company shall be designated information.

Disclosure of the securities times, China Securities Daily, Securities Daily, Shanghai Securities News and tide information network. Www.cninfo.com.cn The announcement is based. At the same time, it also reminds the majority of investors to make prudent decisions and pay attention to investment risks.

Notice hereby.

Ningxia silver cashmere Limited by Share Ltd manager July 25, 2019