Since its establishment, the Company has been committed to maintain a high standard of corporate governance practice to ensure transparency, such that the interests of our shareholders, customers, employees as well as the long term development of the Group can be safeguarded. The Group has established the board of directors, audit committee, remuneration committee and nomination committee that are up to the requirements as being diligent, accountable and professional. KPMG has been appointed as the Group’s external auditors.

To maintain a high level of independence and objectivity in decision making, and to exercise its power of supervising the management of the Group in a comprehensive and equitable manner, the Board comprises of three executive Directors (Messrs. Zhang Yuping, Song Jianwen and Huang Yonghua), three nonexecutive Directors (Messrs. Chen Sheng, Shi Zhongyang, and Shen Zhiyuan) and three independent nonexecutive Directors (Messrs. Cai Jianmin, Wong Kam Fai, William and Liu Xueling).

In order to ensure the interests of our shareholders, apart from the engagement of KPMG as the external auditor of the Group, the Group also established departments dedicated to the supervision of finance and business operation. Such departments conduct audit and trail checking from all aspects and at all departments regularly and on ad hoc basis, so as to ensure the sound development of the enterprise. The Board has reviewed the effectiveness of our internal control system and completed its annual review on the same. Pursuant to the review made by independent review institutes to the internal control system of the Group, the Group will further improve its internal administration and control system.