Stock abbreviation: ST Yaxing Stock Code: Weifang Yaxing Chemical Co.Ltd(600319) No.: pro 2022023 Weifang Yaxing Chemical Co.Ltd(600319)
Announcement on receiving the inquiry letter from Shanghai Stock Exchange
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.
Weifang Yaxing Chemical Co.Ltd(600319) (hereinafter referred to as “the company”) received the inquiry letter on relocation compensation in Weifang Yaxing Chemical Co.Ltd(600319) 2021 annual report (szgh [2022] No. 0215) (hereinafter referred to as “the inquiry letter”) issued by Shanghai Stock Exchange on April 1, 2022. The specific contents of the inquiry letter are as follows:
“In accordance with the requirements of the standards for the content and format of information disclosure by companies offering securities to the public No. 2 – the content and format of annual report (hereinafter referred to as the” Format Standards No. 2 “), the self regulatory guidelines for listed companies of Shanghai Stock Exchange No. 3 – industry information disclosure guidelines and other regulations, your 2021 annual report (hereinafter referred to as the annual report) and the information disclosed by your company on March 19, 2022 For the post audit of the announcement on replying to the inquiry letter of Shanghai Stock Exchange (hereinafter referred to as the reply to the inquiry letter of the annual report), your company is requested to further disclose the following information in accordance with article 13.1.1 of the stock listing rules of the exchange.
1、 The reply to the annual report and the inquiry letter of the annual report shows that in the early stage, on October 31, 2019, the original production plant of the company was completely shut down and relocated simultaneously. The total compensation for land and other accessories within the scope of expropriation of the company was 1.418 billion yuan, including 746 million yuan for houses and other accessories, 262 million yuan for land compensation and 410 million yuan for losses caused by shutdown. In 2021, the company completed the demolition liquidation of houses and other attachments in the old plant area in accordance with the demolition compensation agreement, realized the demolition income of 251 million yuan, and confirmed the asset disposal income of 251 million yuan. As of December 31, 2021, the net assets attributable to the parent company of the company were 232 million yuan. The company is requested to further verify and make supplementary disclosure: (1) whether the performance obligations corresponding to the compensation for houses and other accessories, land compensation and compensation for losses caused by shutdown are regarded as single performance obligations, the transaction price and allocation basis of different performance obligations, and the rationality and basis for the company to recognize the asset disposal income of 251 million yuan due to the demolition of houses and other accessories in 2021; (2) Whether the overall expropriation and relocation should be regarded as a package deal, and the income from asset disposal shall be recognized at the time of land use right transfer. If it is regarded as a package deal, please explain the impact on the net assets of the company. Please comment on the annual audit accountant.
2、 The reply to the inquiry letter of the annual report shows that the relocation compensation received by the company is based on the evaluation value of the third party, without additional policy conditions and use conditions, and does not contain government subsidies. The relevant relocation compensation is not applicable to the interpretation of accounting standards for Business Enterprises No. 3. The company is requested to further verify and make supplementary disclosure: (1) whether the evaluation price of relocation compensation is fair, Whether it should be recognized as government subsidies related to assets; (2) Rationality and basis of including the received compensation funds into “special accounts payable”. Please comment on the annual audit accountant. 3、 The reply to the inquiry letter of the annual report shows that the relocation compensation received by the company is accounted for in accordance with the general principles of asset disposal. The company is requested to further verify and disclose: (1) the rationality and basis for the relocation related expenses after shutdown, including employee resettlement expenses and compensation, production workers’ salary and loan interest, to be included in the collection of “other non current assets”; (2) The basis for judging whether the relevant expenditures are directly related to the disposal of assets, and whether there is a case of capitalization of some expenditures that should be included in the current profit and loss; (3) The use of machinery and equipment in other non current assets and the rationality of being included in other non current assets. Please comment on the annual audit accountant.
For reasons such as inconvenience or inapplicability of the aforesaid standard, the company believes that the format 2 cannot be disclosed. Where a listed company applies for cancellation of the risk warning, the bourse may require the listed company to provide supplementary materials, and the period during which the company replies to the inquiry letter shall not be included in the time limit for making relevant decisions.
Please disclose to the public immediately after receiving this letter, and reply to our department in writing on the above matters within 5 trading days, and fulfill the obligation of information disclosure at the same time. “
According to the requirements of the inquiry letter, the company is answering and explaining the questions raised in the inquiry letter, and will reply to the Shanghai Stock Exchange and make disclosure after completion.
The information disclosure media designated by the company are China Securities News, Shanghai Securities News, securities times and the website of Shanghai Stock Exchange (www.sse. Com. CN), Please pay attention to relevant announcements and pay attention to investment risks.
It is hereby announced.
Weifang Yaxing Chemical Co.Ltd(600319) board of directors April 1, 2002
