Datang International Power Generation Co.Ltd(601991)
Risk assessment report of China Datang Group Finance Co., Ltd
According to the requirements of Shanghai Stock Exchange self regulatory guidelines for listed companies of Shanghai Stock Exchange No. 5 - transactions and related party transactions, the company inspected the financial license and business license of enterprise legal person of China Datang Group Finance Co., Ltd. (hereinafter referred to as "finance company"), and obtained and reviewed the annual financial report of the finance company, including balance sheet, income statement, cash flow statement, etc, The business qualification, business and risk status of the financial company are evaluated, and the specific situation is reported as follows:
1、 Basic information of finance company
The finance company was officially established on May 10, 2005 in accordance with the reply of China Datang Group on issues related to the reorganization of Shenzhen Special Economic Zone Economic Development Finance Company (syjf „ 2004 ‟ 250) and the reply of Bank Of China Limited(601988) industry supervision and Administration Commission on the business scope and change of business premises of Datang Group Finance Co., Ltd. (YJF „ 2005 ‟ 95), It was officially opened in August 2005. The finance company is the first non bank financial institution in the system controlled by China Datang Group Co., Ltd., with a registered capital of 4.87 billion yuan (including 7.5 million US dollars). The basic information of the financial company is as follows: Unified Social Credit Code: 9111 Shenzhen Cereals Holdings Co.Ltd(000019) 21956572
Financial license institution code: l0200h211 Ping An Bank Co.Ltd(000001)
Legal representative: Tao Yunpeng
Registered address: 1301, floor 13 and 1401, floor 14, No. 1, Caishikou street, Xicheng District, Beijing. The business scope of the company includes:
(1) Handle financial and financing consulting, credit assurance and related consulting and agency business for member units;
(2) Assist member units to realize the receipt and payment of transaction funds;
(3) Approved insurance agency business;
(4) Provide guarantee to member units;
(5) Handle entrusted loans and entrusted investment between member units;
(6) Handle bill acceptance and discount for member companies;
(7) Handle the internal transfer settlement between member units and the corresponding settlement and clearing scheme design;
(8) Absorbing deposits from member units;
(9) Handle loans and financial leases for member units;
(10) Engage in interbank lending;
(11) Issue financial corporate bonds upon approval;
(12) Underwriting corporate bonds of member units;
(13) Equity investment in financial institutions;
(14) Portfolio investment.
(enterprises shall independently choose business projects and carry out business activities according to law; projects that must be approved according to law shall carry out business activities according to the approved contents after being approved by relevant departments; they shall not engage in business activities of projects prohibited and restricted by national and municipal industrial policies.)
2、 Basic internal financial control of the company
(I) internal control environment
In accordance with the provisions of the company law of the people's Republic of China, the articles of association of China Datang Group Finance Co., Ltd. and the actual operation needs, an efficient and capable internal organization has been established. The institutional responsibilities and post settings fully reflect the principles of mutual restraint, prudent independence and incompatible job separation. The finance company has established an operation mechanism composed of the board of directors, the board of supervisors and the management, And clearly defined their respective responsibilities. An organizational structure with reasonable division of labor, clear responsibilities and clear reporting relationship has been established, with a total of 10 departments, including 5 business departments; Five functional departments. The front, middle and back office departments, posts and personnel are effectively separated.
1. The organizational structure of the finance company is as follows:
2. Full business operation, strengthen internal control and build a risk control system
(1) With the main line of strengthening risk control and improving compliance control, and with the purpose of ensuring the realization of business objectives, the finance company continuously optimizes the construction of risk compliance system and comprehensively improves the execution of internal control. The finance company has formulated various internal management systems and processes, involving key links such as settlement business, credit business, fund management, risk management, legal compliance, human resources, information system and comprehensive affairs management. Operational special compliance guidelines have been formulated, the level of internal control management has been further optimized, and the ability of risk prevention and control has been effectively enhanced.
(2) According to the requirements of business development and risk control, the finance company has gradually revised or improved the relevant management systems and operation processes. At present, a relatively sound set of rules and regulations including business operation, internal control and risk management systems has been formed to ensure the orderly and compliant development of all businesses. The level of the system is clear and the content is constantly improved.
(II) risk identification and assessment
By strengthening internal control and risk management processes and aiming at promoting sustainable development, the finance company has continuously improved the management and control strength and response ability of legal compliance risks before, during and after the event, established a set of more scientific, sound and reasonable internal control system, covering all business activities, management activities and main risks, regularly evaluated and improved, and the internal control management responsibility system is clear, Can strengthen accountability.
The finance company has established an organization with reasonable division of labor, clear responsibilities and clear reporting relationship. The business department is the first line of defense for internal control and compliance, and carries out business in strict accordance with the system and process. The legal risk control department is the second line of defense for internal control and compliance, and earnestly completes the overall planning, organization, implementation, inspection and evaluation of the internal control system. The Party Construction Department (Discipline Inspection Commission Office and audit department) is the third line of defense for internal control and compliance, Audit and supervise the effectiveness of internal control.
(III) important control activities
1. Capital business control
According to the requirements, the finance company has formulated various management methods and business operation processes for fund management and settlement management to effectively control business risks.
(1) In terms of deposit business of member units, strictly follow the principles of equality, voluntariness, fairness and good faith, strictly standardize the operation, ensure the safety of funds of member units and safeguard the legitimate rights and interests of all parties.
(2) In terms of capital settlement business, relying on the information system of the financial company, timely and accurately complete the payment.
2. Credit business control
We must strictly implement the "three checks" and other related regulatory requirements. We have established a comprehensive loan review and audit process, including the pre loan investigation, the loan review, the post loan inspection system and the separation of loans, and strictly enforce the various systems.
The first link before the loan is to implement the credit management requirements of the Bank Insurance Regulatory Commission, and implement unified management of the on balance sheet and off balance sheet credit and investment business credit of member units and interbank customers in accordance with the revised credit business management measures, so as to effectively reduce potential risks. Second, strictly carry out compliance review and improve the quality of loan data collection. Third, strengthen the risk review of lending units, make scientific pre loan decisions, and actively defend against credit risks. The first link in the loan process is to closely track the use of credit and timely remind the business department of the risk points in the process of loan issuance.
Fourth, it urged the business departments to strictly implement the credit decision of the loan review committee, effectively reducing the credit risk. The first is to improve the post loan management and credit file management. Second, strengthen risk prevention of key enterprises and ensure the safety of credit assets. In terms of bill business, in combination with regulatory requirements, review the trade background, prudent management, margin management and business development of bill intermediaries of bill business, so as to ensure the "point-to-point combination" of credit risk management of bill business.
Adhering to the principle of prudence, we not only made provision for credit assets on a quarterly basis according to the quality of credit assets, but also made provision for off balance sheet acceptance business, comprehensively and truly identified, reflected and monitored asset risks, and ensured to maintain a strong ability of credit risk prevention and control.
3. Investment business control
Adhere to steady investment and flexible operation, monitor the investment business day by day, and better control the market risk. The structure of investment products is reasonable, with fixed income as the main factor and low comprehensive risk. Strict counterparty access standards have been set for all businesses to ensure that investment risks are controllable.
4. Information system management
Promote the optimization and improvement of business systems every year. First, the core business system realizes the whole process management function of the loan review committee to ensure the systematization and process of credit business risk control. The second is to realize the whole process management function of investment transaction in the investment system, which meets the needs of internal control management of investment business. Third, it can effectively monitor and control the implementation of internal control system, regulatory regulations and various regulatory indicators, build different approval processes according to the authorization system, and realize systematic and process control.
(IV) overall evaluation of internal control
The finance company has formulated relevant business systems and processes according to business needs, improved and effectively implemented the internal control system, and the overall risk is controllable.
3、 Operation management and risk management of finance company
(I) operation
As of December 31, 2021, the total assets of the finance company were 4852716434426 yuan, the owner's equity was 898056598281 yuan, and the deposits from member units and interbank deposits were 3932490476171 yuan. In 2021, the operating income was 146974655595 yuan, the total profit was 110947220439 yuan, and the net profit was 86176633083 yuan. (II) management
1. Since its opening and operation, the finance company has adhered to the principle of prudent operation, standardized its business behavior in strict accordance with relevant national financial laws and regulations and the articles of association of the finance company, and steadily promoted various business activities. Strengthen risk control, promote system construction, and continuously optimize business processes. Strengthen liquidity control and optimize the asset allocation structure on the premise of ensuring capital security and group payment. Continue to improve financial service capabilities and promote the healthy development of various businesses.
2. At present, the internal control of the finance company is effective, the risk is controllable, the operation is in good condition, there is no violation of the provisions of the measures for the administration of financial companies of enterprise groups, and there has been no potential safety hazard to the company's deposited funds.
(III) regulatory indicators
According to the provisions of the measures for the administration of financial companies of enterprise groups, the monitoring and monitoring indicators of the financial company meet the requirements of the regulatory authorities, and there are no major economic accidents and risk compliance events throughout the year. The main risks and regulatory indicators are as follows:
Implementation of regulatory indicators
Standard value of item No. at the beginning and end of the year
1. Capital adequacy ratio ≥ 10% 13.56% 16.24%
2. Non performing assets ratio ≤ 4% 0.00% 0.00%
3. Non performing loan ratio ≤ 5% 0.00% 0.00%
Loan provision ratio ≥ 1.5%
5. Control provision coverage ≥ 150% 0.00% 0.00%
6 refers to the ratio of borrowing funds ≤ 100%, 53.40%, 0.00%
7. Bid guarantee ratio ≤ 100%, 22.81%, 6.02%
9. Investment ratio ≤ 70%, 43.61%, 44.21%
10. Liquidity ratio ≥ 25%, 32.79%, 48.15%
11. Single customer loan concentration 26.56% 11.41%
12. Asset profit margin 1.86% 1.73%
13. Capital profit margin 10.44% 9.88%
14. The loan ratio is 84.27% and 61.44%
It refers to the balance of bill acceptance business/
16 standard ≤ 3 times 0.05
Interbank balance
Acceptance deposit/
17 ≤30% 0 0
All deposits
4、 Deposits and loans of the company in the finance company
