Audit Committee of the board of directors
Explanation on the rationality of the provision for asset impairment
Changchai Company Limited(000570) (hereinafter referred to as "the company") has fully evaluated and analyzed the signs of impairment in the value of relevant assets within the scope of the company's consolidated statements as of December 31, 2021 in accordance with the relevant provisions of the accounting standards for business enterprises, self regulatory guidelines for listed companies No. 1 - standardized operation of listed companies on the main board and the company's accounting policies. As a member of the audit committee of the ninth board of directors, after consulting relevant materials and reviewing, we believe that the company's provision for impairment of 6069317602 yuan is based on the principle of prudence, fully based, in line with the provisions of the accounting standards for business enterprises and relevant accounting policies of the company, and there is no damage to the interests of the company and all shareholders, especially minority shareholders. Agree to withdraw the provision for asset impairment this time, and submit the above proposal to the 12th meeting of the ninth board of directors for deliberation.
Audit Committee of the board of directors: Zhang Yan
Lin Tian
Wang Manchang
April 7, 2022
