*ST Middle Velvet (000982): Fifteenth Session Resolution Of The Seven Session Of The Board Of Directors

Securities code: 000982 securities short: *ST velvet notice number: 2020-03

Announcement of the fifteenth meeting of the seventh board of directors of Ningxia Limited by Share Ltd

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

The fifteenth meeting of the seventh board of directors of Limited by Share Ltd of Ningxia cashmere industry was held in Ningxia Lingwu City on January 17, 2020 (Friday) at 10:00 a.m. by means of a communication vote. The notice of the conference was sent to all directors by e-mail and WeChat in January 15, 2020. The meeting should vote on 6 directors and 6 actual directors, namely, Li Xiangchun, Hao Guangli, Shen Chen and independent directors Yu Shiquan, Zhang Gang and An Guojun. The convening, holding and voting procedures of this conference are in conformity with the relevant laws, regulations and the provisions of the articles of association of the company, and the resolutions formed by the conference are lawful and effective. The following items were considered and approved by the conference:

1. The bill on the election of Mr. Li Xiangchun as chairman of the company was deliberated and passed.

Due to the adjustment of work, Mr. Shen Chen, chairman of the company, resigned as chairman of the company and the convenor of the board of directors of the board of directors. Audited by the nomination committee of the board of directors, Mr. Li Xiangchun (resume attached) is elected as the chairman of the board of directors and served as the convener of the company's strategic committee for the seventh session of the board of directors. Mr. Li Xiangchun has resigned from his position as managing director of the company.

Details of our company's announcement in January 18, 2020 are "the announcement of the resignation and election of the chairman of Limited by Share Ltd 2020-04 Limited by Share Ltd of Shanghai, China", which is published in the "disclosure of Securities Times", "China Securities Journal", "Securities Daily", "Securities Daily" and "www.cninfo.com.cn". Independent directors issued independent opinions on the matter, and the opinions of independent directors were published on the same day in www.cninfo.com.cn.

Voting results: 6 votes were agreed, 0 against and 0 for abstention.

Two, the bill on the appointment of Mr. Hao Guangli as general manager of the company was deliberated and adopted.

In accordance with the provisions of the articles of association and the relevant normative legal documents, the chairman of the board of directors is nominated and approved by the chairman of the board of directors and approved by the board of directors nomination committee, and the board of directors shall appoint Mr. Hao Guangli as the general manager of the company for the tenure of office. Mr. Hao Guangli has resigned as deputy chief executive and chief financial officer.

Details of our company's announcement in January 18, 2020 are "the announcement of the general manager, chief financial officer and deputy general manager of 2020-05 Ningxia Bank of Shanghai", which is published in the "disclosure of Securities Times", "China Securities Journal", "Ningxia Securities Daily", "Securities Daily" and "www.cninfo.com.cn". Independent directors issued independent opinions on the matter, and the opinions of independent directors were published on the same day in www.cninfo.com.cn.

Voting results: 6 votes were agreed, 0 against and 0 for abstention.

Three, the motion on appointment of chief financial officer and deputy general manager of the company was deliberated.

Because of the company's implementation of the reorganization plan, all property in the property disposal scope stipulated in the property management and price change plan has been disposed of at different prices. The senior executives who were responsible for the corresponding businesses have resigned from the senior executives of the listed companies due to work changes and other reasons, and no longer remain in the work of the listed companies. According to the needs of the company's future business development plan, it is recommended by the chairman and general manager of the company to nominate the Committee for examination and nomination. The board of directors of the company is appointed Mr. Zhang Zhimin as the financial controller of the company. Shen Chen and Mr. Liu Jingjin are the deputy general managers of the company. The term is the same as the seven board of directors of the company. Zhang Zhimin, Shen Chen and Mr. Liu Jingjin's resume are attached.

Voting results: 6 votes were agreed, 0 against and 0 for abstention.

Four, the motion on adjusting and setting up the internal management organs of the company was deliberated.

In July 9, 2019, the Yinchuan intermediate people's court ruled in accordance with the law to accept the cashmere industry reorganization case, and designated the Bank of China liquidation group as a reorganization manager. In November 13, 2019, the Yinchuan intermediate people's court ruled in accordance with the law to ratification of the Limited by Share Ltd's Limited by Share Ltd reorganization plan and to terminate the reorganization process. Up to now, the company's reorganization plan has been completed. In order to meet the company's business expansion and management needs, and strengthen internal control management, the company intends to make adjustments to the internal management institutions as follows:

The permanent board of directors of the company is responsible for the daily affairs of the board of directors, and sets up the audit department as the company strategy.

Provide protection for development and compliance operation. The company continues to retain the 2 departments of the former finance department and the securities affairs department, the 2 wholly owned subsidiaries of Jiangyin cashmere import and Export Co., Ltd., the Eastern Branch of cashmere Co., and 3 branches of Beijing branch, Shenzhen branch and Yinchuan office. The new comprehensive department (under the office of the Party building, the human resources, administrative office and Yinchuan Office) is responsible for the daily administrative affairs of the company; the cashmere business unit (in charge of Jiangyin velvet import and Export Co., Ltd., Eastern cashmere Co., and Shenzhen branch) is responsible for the cashmere plate business; the asset management department governs the securities investment and fixed income platform; the strategic investment department is responsible for the company's direct investment in mergers and acquisitions and fund operations; and the wind control compliance department is responsible for the company's legal and internal control work. Voting results: 6 votes were agreed, 0 against and 0 for abstention. Notice hereby.

Attached to the board of directors of Limited by Share Ltd of Ningxia BOC cashmere industry, January 18th, January 18th, resume: Mr. Li Xiangchun, Mr. Li Xiangchun, male, born in 1964, Han nationality, Bachelor of law in Northwest University of Politics and Law, EMBA, National University of Singapore. He served as a lawyer in corps law office. He has served as director of Hainan General Alliance pharmaceutical company since January 2000. He has served as chairman of Haida Investment Limited company since May 2000 and has served as director of Yunnan Nine Star Technology Development Co., Ltd. since December 2001. He has served as general manager of Cci Capital Ltd in January 2000 and has served as director of Limited by Share Ltd in silver in April 2019.

Mr. Li Xiangchun does not own shares of the company, and is not related to the company and other directors, supervisors and executives. He is the general manager of the company's controlling shareholder, Heng Tian Jin Shi Cci Capital Ltd. There are no cases of company directors, supervisors and senior managers not stipulated in the company law and articles of association. They have not been punished by the CSRC and other relevant departments and punished by stock exchanges, nor are they "dishonest executors".

Mr. Hao Guangli, resume, Hao Guangli, male, born in June 1972, Han nationality, university degree, member of the Communist Party of China. He graduated from Shanxi Institute of Finance and economics in 1996. From July 1996 to November 2006, he worked in Jingwei Textile Machinery Limited by Share Ltd Yuci branch. From December 2006 to June 2009, he served as chief financial officer of Jinzhong Jingwei Chemical Fiber Machinery Co., Ltd. From July 2009 to December 2010, he served as vice minister of finance of Jingwei Textile Machinery Limited by Share Ltd Yuci branch. From December 2010 to December 2011, he was the chief financial officer of Wuxi Hongda Textile Machinery Parts Co., Ltd. From December 2011 to March 2016, he was the chief financial officer of Qingdao Hongda Textile Machinery Co., Ltd. From April 2016 to January 2018, he served as deputy general manager of Ningxia Limited by Share Ltd. Since January 2018, he has been the director of the seventh board of directors of the company, and has been the deputy general manager and chief financial officer of the company from January 2018 to January 2020.

Mr. Hao Guangli has no relationship with the company or controlling shareholders, and does not hold shares in the cashmere industry. He has not been punished by the SFC and other relevant departments and has been disciplined by the stock exchange. There are no cases of company directors, supervisors and senior managers not stipulated in the company law or articles of association, nor are they "dishonest executors". Mr. Shen Chen's resume

Shen Chen, male, born in November 1987, Han nationality, university degree, graduated from the PLA Air Force Academy. Since July 2013, he has been the legal representative of the FTSE Cci Capital Ltd in Zhengyang, Beijing, and has served as executive director. Since May 2018, he has been the director of the Limited by Share Ltd of Ningxia BOC cashmere industry, and has been the convenor of the company's chairman and strategic committee from April 2019 to January 2020.

Mr. Shen Chen did not hold shares in the Bank of China, and was not punished by the SFC and other relevant departments and punished by the stock exchange. There are no cases of company directors, supervisors and senior managers not stipulated in the company law or articles of association, nor are they "dishonest executors".

Mr. Shen Chen's company, Beijing Zhengyang FTSE Cci Capital Ltd, is a partner in the management of Ningxia investment fund management partnership (limited partnership), and a management partner (limited partnership) of Ningxia Wen Fu fund.

It is Shanghai Langwei Cci Capital Ltd shareholder, holding shares accounted for 20%, Shanghai Langwei Cci Capital Ltd is the controlling shareholder of our company Heng Tian Jinshi Cci Capital Ltd shareholders, holding shares accounted for 6.67%. Mr. Liu Jingjin's resume

Liu Jingjin, male, born in May 1983, Han nationality, Bachelor of finance, Tianjin University of Finance Economics, master of finance, York University. From October 2008 to May 2011, ICBC International Holdings Limited, Beijing representative office investment analyst; from May 2011 to March 2016, served as investment manager, vice president and senior vice president of Jiangxi Poyang Lake industrial Cci Capital Ltd; from March 2016 to January 2020, vice president of Cci Capital Ltd, Li Feng, deputy director of compliance wind control and director of compliance wind control. Mr. Liu Jingjin did not hold shares in the company and had no relationship with other directors, supervisors and executives of the company. There are no cases of company directors, supervisors and senior managers not stipulated in the company law and articles of association. They have not been punished by the CSRC and other relevant departments and punished by stock exchanges, nor are they "dishonest executors". Mr. Zhang Zhimin's resume

Zhang Zhimin, male, born in November 1982, Han nationality, university degree, certified public accountant, member of the Communist Party of China. In 2006, he graduated from The Second Northwest University for Nationalities in financial management. From July 2006 to August 2009, he served as assistant auditor at the Ningxia branch of Beijing Wulian Fangyuan accounting firm. From September 2009 to December 2012, he served as auditor and project manager in Yinchuan branch of Xin Yong Zhong accounting firm. From January 2013 to January 2020, he served as vice minister, finance minister and deputy director of Finance Department of Limited by Share Ltd of Ningxia cashmere industry.

Mr. Zhang Zhimin did not own shares of the company, and had no relationship with other directors, supervisors, executives and shareholders holding more than five percent of the company's shares. There are no cases of company directors, supervisors and senior managers not stipulated in the company law and articles of association. They have not been punished by the CSRC and other relevant departments and punished by stock exchanges, nor are they "dishonest executors".