Zhongbai Holdings Group Co.Ltd(000759) : Announcement on obtaining government subsidies

Securities code: Zhongbai Holdings Group Co.Ltd(000759) securities abbreviation: Zhongbai Holdings Group Co.Ltd(000759) Announcement No.: 2022016 Zhongbai Holdings Group Co.Ltd(000759)

Announcement on obtaining government subsidies

The company and all members of the board of directors guarantee that the information disclosed is true, accurate and complete without false records, misleading statements or major omissions.

1、 Basic information of subsidies

Zhongbai Holdings Group Co.Ltd(000759) (hereinafter referred to as “the company”) and its subsidiaries received various government subsidies totaling 845576770 yuan (Unaudited) from January 1 to March 31, 2022. The details are as follows:

Sequence: whether the subsidy subject who obtains the subsidy amount of the subsidy project has the subsidy basis

Number (yuan) persistence

Work instead of training subsidy for Zhongbai warehouse supermarket wurenshefa [2020] No. 14 1 (employee skill improvement 52800000 Co., Ltd. no wurenshehan [2020] No. 49)

2 social security employment Wengang 20564570 Zhongbai warehouse supermarket No. ezhbf [2020] No. 5 return Co., Ltd. errshefa [2021] No. 24

3. Municipal small entry limit award 5000000 Zhongbai warehouse supermarket No. wuzhenggui [2021] No. 5 Li Capital Co., Ltd

4 city headquarters economic award 468612200 Zhongbai warehouse supermarket No. 504 of Wufa Gai service [2021] Li Co., Ltd

Publicity on whether urban green freight 5 construction fund is to be awarded and supplemented by 4000000 Co., Ltd. or not for the construction of distribution system by Zhongbai warehouse supermarket of urban green distribution system

Central military civilian integration Zhongbai Holdings Group Co.Ltd(000759) Wuhan

6 development special transfer 38000000 raw and fresh food processing no/

Payment Capital Distribution Co., Ltd

7. Municipal small progress limit award 5000000 Wuhan Zhongbai convenience No. wuzhenggui [2021] No. 5 Lizi gold store Co., Ltd

Qiaokou District Taxation Bureau & No. 8 Department settled in reward 200000000 Technology Co., Ltd. no Zhiyun company cooperation and development agreement

2021 “long”

Shashi promotes trade and Changsha senhuo family business

9. Circulation industry development Shanghai Hajime Advanced Material Technology Co.Ltd(301000) 00 Trade Co., Ltd. no “Chang Shang Wu Fa [2021] No. 29 project fund” proposed

Supporting projects

10 municipal small progress Limited award 15000000 Wuhan Zhongbai department store wuzhenggui [2021] No. 5 Li Capital Co., Ltd

Work instead of training subsidy Wuhan Zhongbai department store wurenshefa [2020] No. 14 11 (employee skill increase 1500000, limited liability company no wurenshehan [2020] No. 49)

12 municipal small progress limit award 5000000 Wuhan Zhongbai industry and trade No. wuzhenggui [2021] No. 5 Lijin Electric Appliance Co., Ltd

Total 845576770

All the above subsidies are in cash, and the company has received relevant funds.

2、 Types of subsidies and their impact on Listed Companies

1. Type of subsidy.

According to the provisions of the accounting standards for Business Enterprises No. 16 – government subsidies, the government subsidies related to assets refer to the government subsidies obtained by the enterprise for the purchase and construction or the formation of long-term assets in other ways; Government subsidies related to income refer to government subsidies other than those related to assets. The above-mentioned government subsidies received by the company are all income related government subsidies.

2. Recognition and measurement of subsidies.

According to the accounting standards for Business Enterprises No. 16 – government subsidies, the above government subsidies are directly included in the current profits and losses, and the specific accounting treatment shall be subject to the audit results of accounting firms.

3. Impact of subsidies on listed companies.

The government subsidy of 845576770 yuan obtained this time is included in the current profit and loss of the company, increasing the total pre tax profit of the company in 2022. The company will make rational and compliant use of funds in accordance with relevant accounting standards, laws and regulations and the requirements of relevant government departments to realize the efficient use of government subsidy funds.

4. Risk tips and other instructions.

The specific accounting treatment of obtaining government subsidies and its impact on the company’s performance shall be subject to the results confirmed by the accountant after audit. Please pay attention to the investment risks.

3、 Documents for future reference

1. Government approval on subsidies.

2. Collection voucher.

Zhongbai Holdings Group Co.Ltd(000759) board of directors

April 2, 2022

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