Company code: 276019
Changchun Engley Automobile Industry Co.Ltd(601279)
Internal control evaluation report in 2021
Changchun Engley Automobile Industry Co.Ltd(601279) all shareholders:
In accordance with the provisions of the basic norms of enterprise internal control and its supporting guidelines and other internal control regulatory requirements (hereinafter referred to as the enterprise internal control normative system), combined with the company's (hereinafter referred to as the company's) internal control system and evaluation methods, and on the basis of daily and special supervision of internal control, we evaluated the effectiveness of the company's internal control on December 31, 2021 (the benchmark date of internal control evaluation report). I Important statement
It is the responsibility of the board of directors of the company to establish, improve and effectively implement internal control, evaluate its effectiveness and truthfully disclose the internal control evaluation report in accordance with the provisions of the enterprise's internal control standard system. The board of supervisors shall supervise the establishment and implementation of internal control by the board of directors. The management is responsible for organizing and leading the daily operation of the enterprise's internal control. The board of directors, the board of supervisors and the directors, supervisors and senior managers of the company guarantee that there are no false records, misleading statements or major omissions in the contents of this report, and bear individual and joint legal liabilities for the authenticity, accuracy and completeness of the contents of the report.
The objective of the company's internal control is to reasonably ensure the legal compliance of operation and management, asset safety, authenticity and integrity of financial reports and relevant information, improve operation efficiency and effect, and promote the realization of development strategy. Due to the inherent limitations of internal control, it can only provide reasonable assurance for the realization of the above objectives. In addition, as changes in circumstances may lead to inappropriate internal control or reduced compliance with control policies and procedures, there is a certain risk to speculate the effectiveness of internal control in the future according to the internal control evaluation results. II Internal control evaluation conclusion 1 On the benchmark date of the internal control evaluation report, does the company have any major defects in the internal control of financial reporting
□ yes √ no
2. Evaluation conclusion of internal control over financial reporting
√ valid □ invalid
According to the identification of major defects in the company's internal control over financial reporting, there are no major defects in the internal control over financial reporting on the benchmark date of the internal control evaluation report. The board of Directors believes that the company has maintained effective internal control over financial reporting in all major aspects in accordance with the requirements of the enterprise's internal control standard system and relevant regulations. 3. Whether major defects in internal control over non-financial reporting are found
□ yes √ no
According to the identification of major defects in the company's internal control over non-financial reports, the company found no major defects in the company's internal control over non-financial reports on the benchmark date of the internal control evaluation report. 4. Factors affecting the evaluation conclusion of internal control effectiveness from the benchmark date of internal control evaluation report to the date of issuance of internal control evaluation report □ applicable √ not applicable
There are no factors affecting the evaluation conclusion of the effectiveness of internal control from the base date of the internal control evaluation report to the date of issuance of the internal control evaluation report. 5. Whether the internal control audit opinion is consistent with the company's evaluation conclusion on the effectiveness of internal control over financial reporting
√ yes □ No 6 Whether the disclosure of major defects in internal control of non-financial reports in the internal control audit report is consistent with the disclosure of the company's internal control evaluation report √ yes □ no III Internal control evaluation (I) Scope of internal control evaluation
According to the risk oriented principle, the company determines the main units, businesses and matters included in the evaluation scope and high-risk areas. 1. The main units included in the scope of assessment include: 601 Changchun Engley Automobile Industry Co.Ltd(601279) \ parts manufacturing Co., Ltd Changsha Changchun Engley Automobile Industry Co.Ltd(601279) Parts Co., Ltd., Ningbo Changchun Engley Automobile Industry Co.Ltd(601279) Industry Co., Ltd., Liaoning Changchun Engley Automobile Industry Co.Ltd(601279) Parts Co., Ltd., Linde Yingli (Tianjin) Auto Parts Co., Ltd., Linde Yingli (Changchun) Auto Parts Co., Ltd., Ningbo Maoxiang Metal Co., Ltd. and Taizhou Maoqi Metal Co., Ltd. 2. Proportion of units included in the scope of evaluation:
Proportion of indicators (%)
The ratio of the total assets of the units included in the evaluation scope to the total assets of the company's consolidated financial statements is 100.00
The total operating income of the units included in the evaluation scope accounts for 100.00% of the total operating income in the company's consolidated financial statements, accounting for 3.5% The main operations and matters included in the scope of evaluation include:
Sales and collection, procurement and payment, inventory management, production and operation, human resources, asset management, capital budget management, financing management, tax management, contract management, project management, investment and guarantee management, financial report and information disclosure system management, internal audit, etc. 4. High risk areas of focus mainly include:
Sales and collection, procurement and payment, production and storage control, human resources, financing management, major investment, asset management, budget management, financial report, information disclosure, etc. 5. The above units, businesses and matters included in the evaluation scope and high-risk areas cover the main aspects of the company's operation and management. Is there any major omission □ yes √ No 6 Is there a statutory exemption
□ yes √ No 7 Other explanatory matters
None (II) Basis of internal control evaluation and identification standard of internal control defects
According to the enterprise internal control standard system and internal control system, the company organizes and carries out internal control evaluation on the basis of internal system control, daily supervision and special supervision.
1. Whether the specific identification standard of internal control defects is adjusted with that of previous years
□ yes √ no
The board of directors of the company distinguished the internal control of financial report from the internal control of non-financial report according to the identification requirements for major defects, important defects and general defects of the enterprise internal control standard system, combined with the factors such as the company's size, industry characteristics, risk preference and risk tolerance, and studied and determined the specific identification standards of internal control defects applicable to the company, which are consistent with the previous years. 2. Identification standard of internal control defects in financial reporting
The quantitative criteria for the evaluation of internal control defects in financial reporting determined by the company are as follows:
Index name major defect quantitative standard important defect quantitative standard general defect quantitative standard
Operating revenue: 0.2% of total operating revenue of potential misstatement of total operating revenue ≤ misstatement business misstatement 0.5% of total operating revenue ≤ 0.2% of 0.5% of total misstatement revenue
Gross profit potential misstatement 5% of gross profit ≤ 2% of gross profit ≤ misstatement ＜ gross profit misstatement ＜ 5% 2% of gross profit
Potential misstatement of total assets 0.5% of total assets ≤ 0.2% of total assets ≤ misstatement total assets misstatement 0.5% 0.2% of total assets misstatement
Potential misstatement of owner's equity 0.2% of total owner's equity ≤ misstatement ＜ misstatement ＜ owner's equity 0.5% ≤ misstatement 0.5% of total owner's equity 0.2% of total
Description: None
The qualitative criteria for the evaluation of internal control defects in financial reporting determined by the company are as follows:
Qualitative standard of defect nature
Major defects 1. Ineffective control environment of the company: fraud of directors, supervisors and senior managers of the company;
2. The external audit found that there were significant misstatements in the current financial report, and the company failed to find such misstatements in the process of operation;
3. Major defects that have been found and reported to the company's management have not been corrected within a reasonable time;
4. The supervision of the company's audit committee and audit department on internal control is invalid;
5. Other defects that may affect the correct judgment of users of financial reports.
Significant defects 1. Failure to select and apply accounting policies in accordance with generally accepted accounting standards;
2. Failure to establish anti fraud procedures and control measures;
3. No corresponding control mechanism has been established or implemented for the accounting treatment of unconventional or special transactions, and there is no corresponding compensatory control;
4. There are one or more defects in the control of the financial reporting process at the end of the period, and there is no reasonable guarantee that the prepared financial report can express the true and complete objectives.
General defects and other internal control defects that do not constitute major defects or important defects
Note: none 3 Identification standard of internal control defects in non-financial reporting
The quantitative criteria for the evaluation of internal control defects in non-financial reporting determined by the company are as follows:
Index name major defect quantitative standard important defect quantitative standard general defect quantitative standard
Direct property loss of more than 10 million yuan and less than 5 million yuan to 10 million yuan (inclusive)
Significant negative impact has a great negative impact on the company, which has been punished by the national government department, and has been disclosed in the form of announcement by the government at or below the provincial level, but has not caused a negative impact on the company
Have a negative impact
No: description
The qualitative criteria for the evaluation of internal control defects in non-financial reporting determined by the company are as follows:
Qualitative standard of defect nature
Major defects 1. Serious violation of national construction laws, regulations or normative documents;
2. Lack of system may lead to systematic failure;
3. Violation of decision-making procedures leading to major mistakes;
4. Major defects in internal control evaluation cannot be rectified;
5. Other circumstances that have a significant impact on the company.
Important defects 1. There are important defects in the company's important business system;
2. Violation of decision-making procedures leads to general mistakes;
3. Important defects in internal control evaluation cannot be rectified;
4. Negative news in the media;
5. The company was criticized by the stock exchange.
General defects other internal control defects except the above major defects and important defects
Note: none (III) Identification and rectification of internal control defects 1 Identification and rectification of internal control defects in financial reporting 1.1 Major defects
Whether the company has major defects in internal control over financial reporting during the reporting period □ yes √ no 1.2 Important defects
Whether the company has significant defects in internal control over financial reporting during the reporting period □ yes √ no 1.3 General defect
None 1.4 After the above rectification, on the benchmark date of the internal control evaluation report, does the company have any major defects in the internal control of financial reporting that have not been rectified □ yes √ no 1.5 After the above rectification, on the benchmark date of the internal control evaluation report, whether the company has any important defects in the internal control of financial reporting that have not been rectified □ yes √ No 2 Identification and rectification of internal control defects in non-financial reporting 2.1 Major defects
Whether the company found any major defects in internal control over non-financial reporting during the reporting period □ yes √ no
2.2. Important defects
Whether the company found any significant defects in internal control over non-financial reporting during the reporting period □ yes √ no 2.3 General defect
None 2.4 After the above rectification, on the benchmark date of the internal control evaluation report, does the company find any major defects in the non-financial reporting internal control that have not been rectified □ yes √ no 2.5 After the above rectification, on the benchmark date of the internal control evaluation report, whether the company finds any important defects in non-financial reporting internal control that have not been rectified □ yes √ no IV Description of other major matters related to internal control 1 Rectification of internal control defects in the previous year □ applicable √ not applicable 2 Operation of internal control in this year and improvement direction in the next year
√ applicable □ not applicable
Operation of internal control: during the reporting period, the company, in accordance with the internal evaluation guidelines and regulatory requirements, combined with the actual situation of the company and focusing on the requirements of internal environment, risk assessment and internal supervision, passed on-site testing, identified control defects and implemented rectification plans, so as to ensure the effectiveness of the company's internal control. The company hired PricewaterhouseCoopers (Zhongtian) accounting firm to conduct independent audit on the effectiveness of the company's internal control, and the operation of internal control is generally good.
