Securities code: Sinopec Shanghai Petrochemical Company Limited(600688) securities abbreviation: Sinopec Shanghai Petrochemical Company Limited(600688) Announcement No.: pro 202215 China Petroleum & Chemical Corporation(600028) Shanghai Petrochemical Co., Ltd
Announcement on the appointment of accounting firms
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:
Names of accounting firms to be renewed: KPMG Huazhen accounting firm (special general partnership) (hereinafter referred to as "KPMG Huazhen") and KPMG accounting firm (hereinafter referred to as "KPMG Hong Kong")
1、 Basic information of the accounting firm to be employed
(I) institutional information
1. KPMG Huazhen Certified Public Accountants (special general partnership)
(1) Basic information
KPMG Huazhen certified public accountants was established in Beijing on August 18, 1992. It was approved by the Ministry of finance to be transformed into a special general partnership on July 5, 2012. It was renamed KPMG Huazhen Certified Public Accountants (special general partnership). It obtained a business license on July 10, 2012 and officially operated on August 1, 2012.
KPMG Huazhen general office is located in Beijing and its registered address is 8 / F, building 2, East Oriental Plaza, No. 1, East Chang'an Street, Dongcheng District, Beijing.
(2) Personnel information
Zou Jun, the chief partner of KPMG Huazhen, is a Chinese national with the qualification of Chinese certified public accountant.
On December 31, 2020, KPMG Huazhen had 167 partners and 927 certified public accountants, including more than 170 certified public accountants who signed the audit report of securities service business.
(3) Business information
KPMG Huazhen's total audited business income in 2020 exceeded RMB 3.4 billion, including audit business income of more than RMB 3.1 billion (including domestic legal securities business income of more than RMB 600 million, other securities business income of more than RMB 700 million, and securities business income of more than RMB 1.3 billion). KPMG Huazhen has 57 annual report audit clients of Listed Companies in 2020, and the total audit fees of financial statements of listed companies are RMB 356 million. The main industries of these listed companies are manufacturing, finance, mining, power, heat, gas and water production and supply, wholesale and retail, transportation, storage and postal services, real estate, leasing and business services, scientific research and technical services, water conservancy, environment and public facilities management, information transmission, software and information technology services, as well as health and social work. KPMG Huazhen had 24 audit clients in China Petroleum & Chemical Corporation(600028) Shanghai Petrochemical Co., Ltd. in 2020.
(4) Investor protection ability
The sum of the cumulative compensation limit of occupational insurance purchased by KPMG Huazhen and the accrued occupational risk fund exceeds 200 million yuan, which is in line with the relevant provisions of laws and regulations. KPMG Huazhen has not been subject to civil liability due to civil litigation related to its practice in recent three years.
(5) Independence and integrity record
KPMG Huazhen has maintained its independence in accordance with the provisions of the code of professional ethics.
KPMG Huazhen and its employees have not been subject to any criminal punishment, administrative punishment, administrative supervision measures of the CSRC and its dispatched offices, or self-discipline supervision measures or disciplinary sanctions of self-discipline organizations such as stock exchanges and industry associations in recent three years.
2. KPMG
KPMG is a partnership firm established under the laws of Hong Kong and wholly owned by its partners. KPMG Hong Kong has provided professional services such as audit, tax and consulting in Hong Kong since 1945, and provided audit services for many listed companies in Hong Kong, including banking, insurance, securities and other financial institutions. KPMG Hong Kong has been a member of the global organization of independent members associated with KPMG international since its establishment.
KPMG Hong Kong has been registered as an auditor of public interest entities under the Hong Kong Financial Reporting Bureau Ordinance since October 1, 2019. In addition, KPMG Hong Kong has obtained the temporary audit business license in China with the approval of the Ministry of finance of the people's Republic of China, and is an accounting firm registered in US PCAOB (American public company accounting supervision committee) and Japanese Financial Services Agency (Japan financial agency) to engage in relevant audit business.
In December 2021, KPMG Hong Kong has more than 2000 employees. KPMG Hong Kong shall purchase occupational insurance every year in accordance with relevant laws and regulations.
The relevant regulatory authorities in Hong Kong conduct independent inspection on KPMG Hong Kong every year. The practice quality inspection in the last three years has not found any matters that have a significant impact on the audit business.
(II) project member information
1. Project member information
KPMG Huazhen undertook to be the project partner, signing certified public accountant and project quality control reviewer of the 2021 financial statement audit project of China Petroleum & Chemical Corporation(600028) Shanghai Petrochemical Co., Ltd. the basic information is as follows: Wang Wenli, the project partner of the project, obtained the qualification of Chinese certified public accountant in 2000. Wang Wenli began to practice in KPMG Huazhen in 1998, engaged in the audit of Listed Companies in 2000, and provided audit services for China Petroleum & Chemical Corporation(600028) Shanghai Petrochemical Co., Ltd. from 2021. Wang Wenli signed or reviewed three audit reports of listed companies and listed companies in recent three years.
Fang Haijie, the signing certified public accountant of the project, obtained the qualification of Chinese certified public accountant in 2004. Fang Haijie began to practice in KPMG Huazhen in 2003, engaged in the audit of Listed Companies in 2004 and provided audit services for China Petroleum & Chemical Corporation(600028) Shanghai Petrochemical Co., Ltd. from 2021. Fang Haijie signed or reviewed 7 audit reports of Listed Companies in recent three years.
Yu Xiaojun, the quality control reviewer of the project, obtained the qualification of Chinese certified public accountant in 1999. Yu Xiaojun began to practice in KPMG Huazhen in 1996, engaged in the audit of Listed Companies in 1996, and provided audit services for China Petroleum & Chemical Corporation(600028) Shanghai Petrochemical Co., Ltd. from 2021. Yu Xiaojun signed or reviewed 2 audit reports of listed companies and listed companies in recent three years.
2. Record of independence and integrity of project members
The project partner, the signing certified public accountant and the project quality control reviewer have maintained their independence in accordance with the provisions of the code of professional ethics. In the past three years, the project partner, the signing certified public accountant and the project quality control reviewer have not been subject to any criminal punishment or administrative punishment due to their professional behavior, or the administrative supervision measures of the CSRC and its dispatched offices, or the self-discipline supervision measures or disciplinary measures of self-discipline organizations such as stock exchanges and industry associations.
(III) audit fees
The board of directors of the company will request the general meeting of shareholders to authorize the board of directors to determine the audit fee in 2022 according to the specific workload and market price level in 2022. The company's audit fee in 2021 was 6.837 million yuan. 2、 Procedures to be performed by the accounting firm to be renewed
(I) deliberations of the audit committee
The ninth meeting of the audit committee of the 10th board of directors of the company considered and approved the proposal of appointing domestic and overseas accounting firms in 2022 and recommending authorizing the board of directors to decide their remuneration. The audit committee of the board of Directors believes that KPMG Huazhen and KPMG Hong Kong have due professional competence, investor protection ability, independence and good integrity, and agrees to submit the proposal to the board of directors for consideration.
(II) prior approval and independent opinions of independent non-executive directors
After consulting the relevant qualification certificates, relevant information and integrity records of KPMG Huazhen and KPMG Hong Kong, the independent non-executive director of the company believes that KPMG Huazhen and KPMG Hong Kong have corresponding professional qualifications and competence, and agrees to submit the proposal to the board of directors of the company for deliberation.
The independent non-executive directors of the company believe that KPMG Huazhen and KPMG Hong Kong are accounting firms with securities related business qualifications, have professional experience and ability to provide financial audit and internal control audit services, have sufficient independence, professional competence and investor protection ability, can meet the requirements of the company's audit work, and the relevant review procedures are fully and properly performed. The company agreed to appoint KPMG Huazhen and KPMG Hong Kong as the domestic and overseas accounting firms of the company in 2022, and agreed to submit the proposal to the annual general meeting of shareholders of the company in 2021 for deliberation.
(III) deliberation and voting of the board of directors
The company held the 16th meeting of the 10th board of directors on March 23, 2022, deliberated and approved the proposal of appointing domestic and overseas accounting firms in 2022 and recommending authorizing the board of directors to decide their remuneration. (IV) effective date
The appointment of an accounting firm needs to be submitted to the 2021 annual general meeting of shareholders of the company for deliberation, and will take effect from the date of deliberation and approval of the 2021 annual general meeting of shareholders of the company.
It is hereby announced.
China Petroleum & Chemical Corporation(600028) Shanghai Petrochemical Co., Ltd. board of directors March 23, 2002
