Securities code: Zhejiang Busen Garments Co.Ltd(002569) securities abbreviation: St BUSEN Announcement No.: 2022021 Zhejiang Busen Garments Co.Ltd(002569)
Announcement on the continued implementation of other risk warnings for the company’s shares
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.
Important:
1. Because Zhejiang Busen Garments Co.Ltd(002569) (hereinafter referred to as “the company”) has a negative net profit before and after deducting non recurring profits and losses in the last three fiscal years, and the audit report of the latest year shows that there is uncertainty in the company’s sustainable operation ability, according to the relevant provisions of article 13.3 of the stock listing rules of Shenzhen Stock Exchange (revised in 2020), The company’s shares have been subject to other risk warnings since the opening of the market on April 30, 2021.
2. Due to the fact that “the net profit of the company before and after deducting non recurring profits and losses in the last three fiscal years, whichever is lower, is negative, and the audit report of the last year shows that there is uncertainty in the company’s sustainable operation ability”, according to the relevant provisions of the stock listing rules of Shenzhen Stock Exchange (revised in 2022) (hereinafter referred to as the “Stock Listing Rules”), The company’s shares will continue to be subject to other risk warnings from the opening of the market on Friday, April 29, 2022.
3. After other risk warnings continue to be implemented this time, the abbreviation of the company’s stock is still “St BUSEN”, the securities code remains unchanged, it is still Zhejiang Busen Garments Co.Ltd(002569) , and the daily rise and fall limit of the company’s stock trading is still 5%.
1、 The company is subject to other risk warnings
According to the annual report of the company in 2021 and the yakuaishan Zi (2022) No. 01110728 Zhejiang Busen Garments Co.Ltd(002569) audit report issued by Asia Pacific (Group) Certified Public Accountants (special general partnership), as of December 31, 2021, BUSEN Co., Ltd. had accumulated a net loss of RMB 2701445 million, and the net cash flow from operating activities in recent three years was negative. These events or circumstances indicate that there are major uncertainties that may lead to major doubts about the sustainable operation ability of BUSEN Co., Ltd. This matter does not affect the audit opinion issued.
Asia Pacific (Group) Certified Public Accountants (special general partnership) issued an unqualified audit report with emphasis on the financial statements and operating results of the company in 2021. According to the relevant provisions of the stock listing rules, the company’s shares will continue to be subject to “other risk warning (st)”.
2、 The type, abbreviation and stock code of the stock, the starting date of continued implementation of other risk warnings and the daily rise and fall restrictions
1. Stock type: RMB common stock a share;
2. Stock abbreviation: “St BUSEN”;
3. Stock Code: ” Zhejiang Busen Garments Co.Ltd(002569) “;
4. The starting date of other risk warnings: April 29, 2022;
5. Starting date of suspension and resumption of trading of the company’s shares: no suspension;
6. After other risk warnings continue to be implemented, the daily limit on the rise and fall of the company’s shares is still 5%.
3、 Main reasons for continued implementation of other risk warnings
Asia Pacific (Group) Certified Public Accountants (special general partnership) issued an unqualified audit report with highlights in 2021 with major uncertainties related to continuous operation. According to the audit report, the lower of the net profit before and after deducting non recurring profit and loss in the last three accounting years is negative, In addition, the audit report of the latest year shows that there is uncertainty in the company’s sustainable operation ability. According to the relevant provisions of the stock listing rules, the company’s shares will continue to be subject to other risk warnings.
4、 Description of the board of directors
The board of directors and the management of the company actively take the following measures in response to the major uncertainties related to going concern pointed out in the company’s 2021 audit report:
1. In terms of operation, the company further optimizes the sales mode of franchise and direct sales. On the one hand, it strengthens the expansion of direct sales mode, realizes vertical management and fine marketing, and improves the market popularity of BUSEN men’s wear brand; On the other hand, take various measures to encourage and support franchisees with good performance to realize the survival of the fittest; At the same time, actively expand new retail business and strive to improve the company’s sales performance;
2. In terms of management, the company will strengthen the control of various internal expenses and production costs and reduce the expenses of inefficient operating costs;
3. The company and the lawyer team will actively respond to the lawsuit, safeguard the legitimate rights and interests of the listed company as much as possible and reduce the possible losses of the company.
5、 During the implementation of other risk warnings, the company accepts the contact information of investors
During the implementation of other risk warnings in the company’s stock trading, the company will accept the consultation of investors by telephone, e-mail and other means, and arrange relevant personnel to respond to the inquiries of investors in a timely manner on the premise of not violating the relevant provisions on the confidentiality of insider information. The company’s contact information is as follows:
Tel: (0571) 87837827
Fax: (0571) 87837827
Contact: Office of the board of directors
Email: [email protected].
Contact address: approval center, No. 9, Feiyunjiang Road, Shangcheng District, Hangzhou, Zhejiang Province
The designated information disclosure media of the company are securities times, Securities Daily, China Securities News and cninfo（ http://www.cn.info.com.cn. ）, all information of the company is subject to the information disclosed in the above designated media and websites. Please pay attention to the investment risks.
It is hereby announced.
Zhejiang Busen Garments Co.Ltd(002569) board of directors April 28, 2021
