Securities code: 000912 securities abbreviation: Sichuan Lutianhua Company Limited(000912) Announcement No.: 2022-007
Sichuan Lutianhua Company Limited(000912)
Announcement on business cooperation with securities companies
The company and all members of the board of directors guarantee that the contents of the announcement are true, accurate and complete without false records and misleading
Material statements or material omissions.
1、 Business Overview
(I) basic information
1. Financial management amount: the amount of idle self owned funds available for entrusted financial management in 2022 shall not exceed RMB 500 million. The financial department will make scheduling and flexible investment according to the situation of each stage of the year.
2. Financial management period: the investment period of a single investment product shall not exceed 12 months.
3. Financial investment type: low-risk financial products with high security and good liquidity issued by securities companies, including but not limited to securities dealers' income certificates, national debt reverse repurchase, currency and bond funds, etc. the investment period of a single product shall not exceed one year.
(II) voting of the board of directors
This proposal has been deliberated and adopted at the 22nd extraordinary meeting of the 7th board of directors, and does not need to be approved by the general meeting of shareholders or relevant government departments. The financial department authorized by the board of directors is responsible for the specific operation of this business, and the specific person in charge is the chief financial officer of the company.
(III) whether it constitutes related party transactions
This entrusted financial management does not constitute a connected transaction.
2、 Pricing principles and expenses
The above businesses conducted by the company and securities companies will follow the market pricing principle. The performance benchmark of relevant financial products shall not be lower than the benchmark interest rate of bank deposits in the same period. The fees charged for handling business shall be charged in accordance with the relevant provisions of the CSRC. The actual financial business application of the company shall be negotiated and determined with the securities company within the above limit, and a specific agreement shall be signed.
3、 Purpose of financial management, existing risks, risk prevention and control and impact on the company
(I) purpose of financial management
In order to further improve the efficiency of capital use, reduce financial expenses and increase capital income, on the premise of ensuring that it does not affect the daily operation and use, capital safety and liquidity, it is proposed to participate in the low-risk financial products with high safety and good liquidity issued by securities companies, including but not limited to securities companies' income certificates, national debt reverse repurchase, currency and bond funds, etc.
(II) existing risks
1. Although short-term bank principal guaranteed financial products belong to low-risk investment varieties, the financial market is greatly affected by macro-economy, and it is not excluded that the investment is affected by market fluctuations;
2. The company will intervene appropriately and timely according to the national macroeconomic situation and changes in the financial market, so the actual income of investment is unpredictable;
3. Operational risks of relevant staff.
(III) risk prevention and control
For the investment risk of financial products, the company will implement in strict accordance with relevant regulations to effectively prevent investment risk and ensure capital safety. The main measures are as follows:
1. The Finance Department of the company will timely analyze and track the investment direction of financial products and the progress of the project. If it is found that there are risk factors that may affect the safety of funds, it will take corresponding measures in time to control the investment risk.
2. The Finance Department of the company implements authorization management for the purchase of financial products, and establishes standing books to facilitate the management of financial products, establish and improve accounting accounts, and do a good job in accounting the use of funds; Regularly report to the board of directors on the investment principal and income of financial products.
3. The Audit Department of the company shall regularly or irregularly inspect the purchase of financial products, supervise the financial department to implement risk management policies and risk management procedures, strictly review whether the purchase amount and risk nature of financial products are within the scope authorized by the board of directors of the company, and report to the board of directors of the company immediately if they exceed the scope of authorization.
4. The independent directors and the board of supervisors have the right to supervise and inspect the use of funds, and can hire professional institutions to audit when necessary.
5. The company will disclose the relevant progress and profits and losses of purchasing financial products in strict accordance with the relevant provisions of the CSRC and Shenzhen Stock Exchange.
(IV) impact on the company
Under the condition of ensuring the working capital required for the normal operation of the company, the company carries out entrusted financial management business with idle self owned funds, which will not affect the daily capital turnover needs of the company or the normal development of the company's main business. This business is conducive to improving the efficiency of capital use, obtaining certain investment income and further improving the overall performance level of the company.
4、 Documents for future reference
(I) Sichuan Lutianhua Company Limited(000912) resolution of the 22nd extraordinary meeting of the 7th board of directors
(II) independent opinions of independent directors on matters related to the 22nd extraordinary meeting of the seventh board of directors. It is hereby announced
Sichuan Lutianhua Company Limited(000912) board of directors
January 14, 2022
