Shanghai Trendzone Holdings Group Co.Ltd(603030) : announcement of Dongfang Jincheng on reducing the credit rating of Shanghai Trendzone Holdings Group Co.Ltd(603030) subject and “all construction convertible bonds”

Shanghai Trendzone Holdings Group Co.Ltd(603030) : announcement of Dongfang Jincheng on lowering the credit rating of Shanghai Trendzone Holdings Group Co.Ltd(603030) subject and “Quanzhu convertible bond”, Dongfang Jincheng International Credit Evaluation Co., Ltd. (hereinafter referred to as “Dongfang Jincheng”) is entrusted to issue Shanghai Trendzone Holdings Group Co.Ltd(603030) (hereinafter referred to as ” Shanghai Trendzone Holdings Group Co.Ltd(603030) ” or “the company”) and its “2020 Shanghai Quanzhu architectural decoration Group Co., Ltd. publicly issued convertible corporate bonds” (hereinafter referred to as “Quanzhu convertible bond”) has conducted initial rating and tracking rating. On June 8, 2021, Dongfang Jincheng carried out regular follow-up rating on Shanghai Trendzone Holdings Group Co.Ltd(603030) and “all building convertible bonds”, maintained its main credit rating as AA, maintained a stable rating outlook, and maintained the credit rating of “all building convertible bonds” as AA. In view of the pre loss of Shanghai Trendzone Holdings Group Co.Ltd(603030) performance in 2021, the sharp decline of newly signed contract amount and the increase of liquidity pressure, Dongfang Jincheng implemented this irregular follow-up rating according to the relevant credit rating system. Dongfang Jchx Mining Management Co.Ltd(603979) use rating committee decided to downgrade the credit rating of Shanghai Trendzone Holdings Group Co.Ltd(603030) subject from AA to AA -, the rating outlook was adjusted from stable to negative, and the debt credit rating of “all building convertible bonds” was reduced from AA to AA -. The reasons for rating are as follows: 1. Performance forecast of Shanghai Trendzone Holdings Group Co.Ltd(603030) 2021. On January 29, 2022, Shanghai Trendzone Holdings Group Co.Ltd(603030) issued the announcement of annual performance loss in Shanghai Trendzone Holdings Group Co.Ltd(603030) 2021. The company expects to realize the net profit attributable to the shareholders of the listed company in 2021 from – 80000 yuan to – 120 million yuan; It is estimated that the net profit attributable to the shareholders of the listed company after deducting non recurring profits and losses will be – 818.8 million yuan to – 1218.8 million yuan in 2021. The main reasons for the company’s performance loss in advance are: (1) the company’s largest customer, Evergrande Real Estate Group Co., Ltd. (hereinafter referred to as “Evergrande”), has liquidity problems. Since April 2021, Evergrande’s commercial acceptance bills held by the company have been overdue, while Evergrande’s receivables have deteriorated in a large area, and the company has accrued corresponding bad debt reserves for the amounts received from Evergrande and its subsidiaries; (2) In order to speed up the settlement of projects and the return of funds and reduce the impact of Evergrande’s liquidity problems on the company’s cash flow, the company abandoned the visa price of some projects, resulting in a decline in the gross profit margin of some projects