Securities code: China United Network Communications Limited(600050) securities abbreviation: China United Network Communications Limited(600050) Announcement No.: 2022018 China United Network Communications Limited(600050)
Announcement on reappointment of accounting firm
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. Important content tips:
Name of accounting firm to be employed: Deloitte Touche Tohmatsu (special general partnership) (hereinafter referred to as “Deloitte Touche Tohmatsu”)
1、 Basic information of the accounting firm to be employed
(I) institutional information
1. Basic information
Deloitte Touche Tohmatsu (special general partnership) (hereinafter referred to as “Deloitte Touche Tohmatsu”) was formerly known as Hujiang Deloitte Touche Tohmatsu Co., Ltd. established in February 1993. It was renamed Deloitte Touche Tohmatsu Co., Ltd. in 2002 and was transformed into a special general partnership with the approval of the Ministry of Finance and other departments in September 2012. Deloitte Huayong’s registered address is 30 / F, No. 222 Yan’an East Road, Huangpu District, Shanghai.
Deloitte Huayong has the practice certificate of accounting firm approved by the Ministry of finance, and is approved by the Ministry of Finance and China Securities Regulatory Commission to engage in the audit business of H-share enterprises. Deloitte Huayong has filed for securities service business in accordance with the administrative measures for the filing of accounting firms engaged in securities service business and other relevant documents issued by the Ministry of Finance and the CSRC. Deloitte Huayong has been engaged in Securities and futures related service business for more than 20 years and has rich experience in securities service business.
The chief partner of Deloitte Huayong is Mr. Fu Jianchao. At the end of 2021, there were 220 partners, 6681 employees and 1131 certified public accountants, including
Deloitte Huayong’s total audited business income in 2020 was RMB 4 billion, including audit business income of RMB 3.1 billion and securities business income of RMB 688 million. Deloitte Huayong provided annual report audit services for 60 listed companies in 2020, with a total audit fee of RMB 205 million. Among the listed companies served by Deloitte Huayong, the main industries are information transmission, software and information technology services, manufacturing, finance, real estate, transportation, warehousing, postal services and mining. Among the listed companies that Deloitte Huayong provides audit services, there are 6 customers in the same industry as the company.
2. Investor protection ability
The cumulative compensation limit of occupational insurance purchased by Deloitte Huayong exceeds 200 million yuan, which is in line with relevant regulations. Deloitte Huayong has not borne civil liability in relevant civil proceedings due to its practice in recent three years.
3. Integrity record
Deloitte Huayong and its employees have not been subject to criminal punishment for their professional behavior in recent three years, administrative punishment and supervision measures by the CSRC, its dispatched offices and industry competent departments, and self-discipline supervision measures and disciplinary sanctions by self-discipline organizations such as stock exchanges and industry associations.
(II) project information
1. Basic information
Mao Guangqin, the partner of the project, is now a practicing member of Chinese certified public accountants. Mao Guangqin joined Deloitte Huayong in 2012 and has been engaged in professional audit services for more than 19 years. He has been working full-time in an accounting firm and has provided audit services for state-owned telecom operating enterprises and their listed companies for a long time. Mao Guangqin has signed the annual audit report of one A-share listed company in recent three years. Mao Guangqin has provided professional audit services for the company since 2021 and is the signing accountant of the company.
Wu Wuyi, another signing accountant, joined Deloitte Huayong in 2007 and began to engage in the audit of listed companies and professional services related to the capital market. He became a certified public accountant in 2012 and is now a practicing member of Chinese certified public accountants. Wu Wuyi has been engaged in auditing for more than 14 years. He has been working full-time in an accounting firm and has provided audit services for state-owned telecom operating enterprises and their listed companies for a long time. Wu Wuyi has provided professional audit services for the company since 2021.
Deng Kang, the quality control reviewer of the project, is now a practicing member and senior member of the Chinese Institute of certified public accountants, a member of the Hong Kong Institute of certified public accountants and a member of the Australian Institute of Chartered Accountants. Deng Kang has been engaged in audit professional services for more than 25 years, worked full-time in accounting firms, served as a partner for more than 10 years, and served as a reviewer of audit project quality control of many listed companies.
2. Integrity record
In the past three years, the above personnel have not been subject to criminal punishment or administrative punishment due to their professional behavior, nor have they been subject to the supervision and management measures of securities regulatory institutions or the self-discipline supervision measures and disciplinary sanctions of stock exchanges, industry associations and other self-discipline organizations.
3. Independence
Deloitte Huayong and above project partners, signed certified public accountants and project quality control reviewers have no circumstances that may affect their independence.
4. Audit fees
As the company has gradually realized digital transformation through years of information system construction and capacity accumulation, it has built a centralized billing system, management information system and intelligent financial sharing system, providing a centralized data, tool and information technology environment for improving audit efficiency. Based on the above reasons, the audit fee level in 2021 is lower than that in 2020.
The audit service charge of Deloitte Huayong is determined according to the business responsibility, complexity, work requirements, required working conditions and working hours, as well as the professional knowledge and working experience invested by the staff at all levels who actually participate in the business. The annual audit service fee is RMB 2.2 million, of which the annual audit service fee is RMB 2.2 million.
2、 Procedures to be performed by the accounting firm to be reappointed
(I) performance of the audit committee
The audit committee of the board of directors of the company has fully understood and reviewed the basic information, relevant certification documents of professional qualification, business scale, personnel information, professional competence, investor protection ability, independence and integrity of Deloitte Huayong, and believes that Deloitte Huayong has relevant business audit qualification and can meet the audit needs of the company. The audit committee recommended that Deloitte Touche Tohmatsu be reappointed as the company’s accounting firm in 2022, and the audit committee agreed to submit the proposal to the board of directors for deliberation.
(II) prior approval and independent opinions of independent directors
The independent directors of the company reviewed the relevant materials of the proposal on hiring an accounting firm in advance, approved and agreed to submit the above proposal to the 11th meeting of the seventh board of directors for deliberation. The independent directors expressed independent opinions that: after verification, Deloitte Huayong has the qualification and professional ability to engage in financial audit and internal control audit, has the ability to protect investors, has rich experience in securities industry, and meets the independence requirements of relevant independence policies and professional codes. The reasons for renewing the appointment of the accounting firm are justified and sufficient, there is no damage to the interests of the company and all shareholders, and the relevant decision-making procedures comply with the provisions of relevant laws, regulations and the articles of association. Therefore, the independent directors unanimously agreed to this proposal and agreed to submit it to the general meeting of shareholders of the company for deliberation after being approved by the board of directors.
(III) deliberation and voting of the board of directors
At the 11th meeting of the 7th board of directors held on March 11, 2022, the company unanimously passed the proposal on employing an accounting firm, agreed to appoint Deloitte Huayong as the company’s accounting firm in 2022, and agreed to submit the proposal to the general meeting of shareholders for deliberation.
(IV) effective date
The appointment of an accounting firm needs to be submitted to the general meeting of shareholders of the company for deliberation, and will take effect from the date of deliberation and approval by the general meeting of shareholders of the company.
Filing documents
(I) China United Network Communications Limited(600050) the resolution of the 11th meeting of the 7th board of directors.
(II) prior approval and independent opinions of China United Network Communications Limited(600050) independent directors on employing accounting firms.
(III) audit opinions of the audit committee of China United Network Communications Limited(600050) board of directors on employing an accounting firm.
(IV) basic information of Deloitte Touche Tohmatsu (special general partnership).
It is hereby announced.
China United Network Communications Limited(600050) board of directors March 11, 2002
