Shandong Lukang Pharmaceutical Co.Ltd(600789) : announcement on receiving government subsidies

Securities code: Shandong Lukang Pharmaceutical Co.Ltd(600789) securities abbreviation: Shandong Lukang Pharmaceutical Co.Ltd(600789) Announcement No.: 2022011

Shandong Lukang Pharmaceutical Co.Ltd(600789)

Announcement on receiving government subsidies

The board of directors and all directors of the company guarantee that there are no false records, misleading statements or major omissions in the contents of this announcement, and bear individual and joint liabilities for the authenticity, accuracy and completeness of its contents.

1、 Basic information of obtaining government subsidies

From January 29, 2022 to March 7, 2022, Shandong Lukang Pharmaceutical Co.Ltd(600789) (hereinafter referred to as “the company”) received a total of 1819994 million yuan of government subsidies related to income. The details of the above government subsidies are as follows:

No. subsidy name received time subsidy amount

(10000 yuan) subsidy basis: subsidy type

1. Enterprise development support fund 2022.1.29 200.00 Zou Jing Guan Fa [2022] No. 7 is related to income

2. Enterprise development support fund 2022.3.7 646.00 Zou Jing Guan Fa [2022] No. 8 is related to income

Member of the 12th Jining Municipal Committee of the Communist Party of China

3. Minutes of the 184th standing committee meeting of the 973.94 meeting on March 7, 2022 and income related

Total 181994

2、 Types of subsidies and their impact on Listed Companies

According to the relevant provisions of accounting standards for Business Enterprises No. 16 – government subsidies, the above matters are recognized and the types of subsidies are divided. The above government subsidies obtained by the company are related to income. Among them, the enterprise development support fund is included in other income of 8.46 million yuan, and the discount interest for returning to the city and entering the park offsets the financial expenses of 9.7394 million yuan, affecting the company’s current profit of 181994 million yuan in total. The impact of the accounting treatment of the above government subsidies on the company’s profits and losses is finally subject to the results confirmed by the accountant’s annual audit. Please pay attention to the investment risks.

It is hereby announced.

Shandong Lukang Pharmaceutical Co.Ltd(600789) board of directors March 8, 2022

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