——Chairman Li Feilie's speech at the group's 2016 commendation meeting

(March 10, 2017 · Shenzhen)

　　 Fellow Feishang colleagues:

Hello everyone! I am very happy to be here again with everyone. Today we are holding the annual commendation meeting of Feishang Group to honor the teams and individuals who have made outstanding contributions in 2016. We hope that all members of our group will learn from their loyalty to Feishang’s career and their dedication and hard work. Fighting spirit. Here, on behalf of all shareholders of the group, I would like to express my heartfelt congratulations and gratitude to the winning teams and individuals. Thank you for your hard work, and wish you all good health, happy work, and success in your career. In addition to the companies and member companies of Feishang Holdings, who attended the conference today, we also specially invited some important cooperative companies, such as President Peng of Guanglong Optoelectronics, and President He of Zhaohe, to also attend the meeting. Welcome and thank you for coming.

　　 Feishang Group is a veritable big family. The development of the group over the years depends on the joint efforts of all member companies, partners and all employees. Therefore, we insist on holding a group-wide commendation meeting every year, and use a grand cultural ceremony to express our condolences and gratitude to everyone for their hard work in the past year, and also express our eager pursuit of common cause. At the same time, we also use this commendation meeting to discuss the development plan of the group, communicate strategy, and draw up a blueprint, so as to establish a firmer belief in the realization of the dream of a great enterprise of this era, so that every member company, partner, and every Fei Shang Colleagues realize value and win-win in fulfilling the mission of the enterprise. Here, on behalf of the leadership of the group, I will introduce to you the main work of the group in 2016, analyze and judge the impact of the macroeconomic situation on us, our strategies and countermeasures in 2017 and a period of time in the future, so as to implement the group's future development goals Direction and deploy key tasks in 2017.

　　Part 1: Main achievements of the group in 2016

　　 Some of our entrepreneurs often get together at the end of 2016 and the beginning of 2017, and they are discussing that 2015 and 2016 are very cold. Our Feishang Group business is very special, unlike other enterprise groups. Other group companies may focus on a certain industry, but we, Feishang Group, just now commended outstanding employees and outstanding teams. Everyone saw that there are coal companies, which are very painful and exhausting; in the past, we also have steel companies. Now We are the second shareholder; there are also mines, which are also very difficult. But we also do very high-end products. For example, Peng always makes chips and microwaves, and we also work as doctors in white coats. Our business involves many industries. So I also understand why so many entrepreneurs want me to talk about it. They all feel that Feishang is involved in many industries, there are very difficult companies and good companies, and the feelings are very obvious. Although this winter is very cold, and some industries are really bitter, but some industries have been really good. We have traditional industries in Feishang, the information industry, and the evergreen industry. Like medical care, we call the evergreen industry. There are high-tech industries in the industry, cultural industries, and movies and TV series. Advertising, everything. Feishang involves a lot of industries, and the companies we are here today are only a part of them, and not all other companies have invited them.

　　 The world is relatively turbulent in 2016, whether it is Europe or Asia, except the United States. The United States is in electoral turmoil and its economy is very good. Europe is indeed in the process of institutional transformation just like us. Whether China's economic environment has bottomed out or whether it has gone sideways is still being discussed. Some experts say it has bottomed out, but others say it hasn’t. Now the data is false. The real economy is indeed a very difficult year in 2016. This difficulty is due to the big economic cycle of our economy, and the adjustment of our own economic structure, coupled with the government’s anti-corruption pressure, and under various pressures, our entire macro-economy, especially the real economy, is said to be in a severe winter. Not an exaggeration.

　　 Feishang has experienced a cold winter in the traditional industry in the past, but I am very optimistic, not optimistic, but very optimistic. Because I am very optimistic that the results of macroeconomic reduction of production capacity will have a positive impact on Feishang. why? In nature, every bitter winter freezes to death by flies, and the leftovers are king. Feishang has overcome the difficulties since this year. You can take a look at the development of the various industrial sectors of the group.

　　1. The group's industry sectors have an optimistic outlook

　　 (1) Traditional Industry

　　 Feishang’s traditional industry has experienced many difficulties in the past year, but it has come over. Like our coal industry, it can be said to be a life of nine deaths, and now we have tasted the sweetness of supply-side reform; we have withdrawn from the iron and steel industry, which is now the second shareholder, and the same is true. Pinggang has made a profit in the past year; the coal industry has been profitable last year. There will be a surplus every month after January. This year, it can be said that there is no problem with profit, and the country’s determination to reduce production capacity is still continuing. The three main traditional sectors of Feishang, coal, steel, and copper processing were all strictly controlled industries and reduced capacity industries in the past. Especially last year, the three companies in our three sectors were drew RMB 3 billion in loans. Feishang was still alive in this situation, which shows that we have gone through the test.

　　 Why do you say that the darkest time has passed? Because these three business sectors have slowly bottomed out since October last year, now the signs of bottoming out are becoming more and more obvious. So it can be said that in the traditional industry sector—the most painful part of Feishang, we have come out of the trough. The leftover is king. In the future, although we have no chance to return to the lucrative glory of the past, we think it will not be so bitter anymore. From this perspective, for Feishang, the darkest time has passed, but we still have to fear tomorrow and maintain the mentality of living a hard life.

　　 (two) emerging industries

　　In emerging industries, the development of our emerging information industry is in full swing, as if the severe winter has nothing to do with it. Our medical sector has also achieved brilliant results in the past year. Although Feishang has not invested a long time in the medical sector, it only took more than three years. Our Daupei Hospital originally only had two hospitals, and soon the other two hospitals will be able to open successfully this year. Once opened, the hospital under Feishang will become the largest blood hospital in Asia. They told me that it might even become the largest blood hospital in the world. This is a very successful company for us.

　　 Various institutions are rushing to buy shares with us, including institutions that are known to be very good. They are all chasing shares at a valuation of more than 2 billion and 3 billion. Facing the pursuit of these big cattle institutions, our dean at Dao Pei is like a proud princess. This is our blood hospital.

　　In our medical sector, under the leadership of Dean Wang, Huikou Hospital has also achieved brilliant results in the past year. In southern China, we must establish our oral brand, and we strive to become the first brand in southern China and even southern China. Last year, Huikou Hospital also made a profit of more than 30 million yuan. There is also Dahe Medical, which is led by Mr. Zhang, which had a profit of more than 30 million last year. The next two years will also grow rapidly. Therefore, our medical sector has nothing to do with this severe winter. This is our original judgment. When the economy is not good, the medical treatment is very good. You should check your health and see the doctor. I'm not busy earning money anymore, because there is no money to earn.

　　 Our other section —— the cultural section is also very good. The familiar Mengzhou film and television culture sector also achieved the goal of 200 million yuan in revenue in 2016, which is also quite good. Another small part of our cultural industry, Sanle in Hainan has also made a profit of tens of millions. In the next step, if everyone here travels to Hainan, basically half of the outdoor advertisements you see outside are from our Feishang. We basically monopolize outdoor advertising in Hainan. Of course, we have others, like our CEO Guanglong Optoelectronics, which successfully landed on the New Third Board last year and completed more than 18 million after-tax profits. What's more important is that our chip project can be launched as scheduled, and it will be able to show its due effect this year, creating very good conditions for us to log on to the stock market, the ChiNext board, the small and medium board, and the main board. At the same time, there are other companies, such as Siqi and Sky Micro, which have achieved important results.

　　 So, I am very optimistic that Fei has not come to develop.

　　 2. Main achievements of each member company

　　 (1) Copper business sector

　　Xinke Materials' copper business, we once expected to lose money in 2016, but thanks to the increase in sales of its subsidiary Xinguhe and the efforts of the new management team, we successfully reduced the loss. Hengxin Copper has made some active explorations in the elderly care.

Haqiao Mining has encountered great difficulties. As our first overseas mining project, it has experienced many uncontrollable factors. Because the mining agreement on the mine was rejected by the Bolivian National Mining Company, more than 40,000 tons of ore could not be shipped out. The task cannot be completed. With the support of the group headquarters, the new team started intensive work in June last year, introduced a streamlined and efficient organizational structure, and made phased progress in various aspects such as mining contract disputes.

　　 (2) Coal business sector

　　 The coal business sector is still in a severe winter in 2016. So far, there has been no obvious change in the industry's positive development. In this harsh industry environment, the Group’s coal business has always been in a predicament, but all employees of Feishang Energy and Feichi Energy have gritted their teeth, practiced hard work, and constantly improved themselves in the difficult situation, and have also made valuable achievements.

　　The slogan of Feishang Energy in 2016 is "Standing on Immortality, Living to Death", it is a year of turning over. The company takes safety as the prerequisite, sales as the leader, coal quality as the core, and output as the guarantee. Under extremely difficult circumstances, the company concentrated on launching high-width screens, building supporting coal washing plants, and building docks. On the one hand, it has solved the problem of poor coal quality. Sales difficulties, low prices, and poor transportation caused by poor prices have also created an industrial chain of production, washing, and transportation, which has taken another solid step in the high-end anthracite market. Trading coal has also entered the stage of actual operation. On the whole, Feishang Energy's work in 2016 basically met expectations, laying a solid foundation for the next step of growth and development.

In 2016, Feichi Energy's coal mines were in the status of "stay behind". In the absence of income generation, the company took a series of measures to reduce various expenditures. At the same time, it guaranteed the assets of each mine during the stay of major coal mines. Safety, in addition, mine integration and inventory financing are also steadily advancing.

　　 (3) Forestry and Agriculture Section

　　 Feishang Forestry is centered on its 2016 business goals, with "Huasheng re-listing" as its core work. It has achieved good results in ensuring main business profits, promoting full compliance, and actively seeking transformation. In the case of the continued downturn in the industry environment, Feishang Forestry has achieved good results in operating and listing profits, exceeding the annual budgeted profits. The company clarifies all kinds of compliance requirements to everyone, requires all employees to participate, and normalizes compliance. The strategic transformation of the forest farm has also made a major breakthrough and entered the timber supply chain field, mainly engaged in timber import agency, port loading and unloading, warehousing logistics and trade finance, and improved operational capabilities.

In 2016, Zhaohe Seed Industry, in accordance with the strategic requirements of the group, started from improving the quality and quality of varieties, making full use of capital advantages, overcoming various difficulties such as low grain prices, high land circulation costs, and high inventory pressures, and upgrading the quality of varieties. The highly coordinated “Guang 8A” and its series of combination varieties of abundant, resistant and excellent, continue to enhance the strength of core products. In terms of operation, the company continues to expand new sales channels, focus on the layout of the national market, and achieve leapfrog development.

　　 (4) Medical and health sector

　　The medical and health sector is a late-layout industry in the group's industrial structure, but it represents the group's strategic transformation direction. Happily, the relevant companies we have invested in have developed rapidly in recent years and have risen strongly on the group's industrial map, which once again verified our judgment on the general trend, and strengthened our belief in strategic transformation and re-engineering Feishang.

　　 Lu Daopei Hospital has newly expanded Yizhuang Hospital and Shunyi Hospital. It has expanded from two hospitals, Yanda Hospital and Shanghai Hospital, to 4 hospitals.

　　 Dahe Medical has further strengthened internal control and improved management in the past year. The company has paid close attention to safety and achieved zero medical accident operations throughout the year. The newly established Shanglin Equipment and Shanglin Pharmaceutical Company have greatly promoted the business development of Dahe Medical. The newly-built Linquan Quanhe Hospital and Jieshou Jing’an Orthopedic Hospital opened one after another, and the construction of the new Caihonghe Hospital also started, which opened the prelude to the development of Dahe Medical.

In 2016, Huizhou Dental Center focused on the development strategy of “steady growth, safeguarding the state, and building core competitiveness”, insisting on being technology-oriented, customer-centric, and market-oriented. With the efforts of all employees, revenue and profit Close to the target value. hospitalThere were no safety incidents and no major medical disputes throughout the year. The core team was stable, and talents in key positions were introduced and cultivated. The initial goals of listing compliance work were completed. In addition, Guangzhou Yahao Dental Hospital, a subsidiary of Jilin University, was officially opened for business, opening up a new business layout.

In 2016, Shanghai Aacco Biotech, which we have a stake in, also confirmed the strategic cooperation with the group, further clarified the company’s development goals and direction, focusing on the research and development of tumor cell immunotherapy technology platforms. Among them, the company’s main CAR-T cell The treatment has made a major breakthrough and achieved an internationally leading level of curative effect. Relevant results have been demonstrated by partner hospitals at the annual blood conferences in Europe and the United States.

　　(5) Information Technology Sector

　　 Guanglong Optoelectronics successfully achieved the three-board listing in 2016, making a breakthrough in history. As a national-level project, the new project has also been successfully launched, laying a good foundation for the next take-off.

　　 In 2016, Guilin Siqi still achieved a sales revenue of more than 100 million yuan despite the in-depth adjustment of the wireless digital TV equipment industry and the fierce competition. While improving internal management, the company vigorously promoted the research and development of new products, successfully developed high-efficiency transmitters and national standard exciters, completed the construction of the national laboratory, and initiated the development of a number of new products.

　　 In 2016, Guilin Sileway reformed the organizational structure, improved the internal management system, improved the company's qualifications, and controlled procurement costs. The company's operations have entered a normal track and have the foundation to participate in market competition.

Shenzhen Sky Micro is a technology-based entrepreneurial enterprise. In 2016, it successfully developed a number of key products and technologies, and successfully declared nearly 20 intellectual property rights. It has cooperated with a number of large industry organizations to establish a clearer business mode.

　　(6) Cultural Industry Sector

　　 Mengzhou Film and Television Company achieved a profit of nearly 200 million yuan and completed a series of large-scale productions. Hainan Sanle Company monopolized half of the outdoor billboards in Hainan Island, which provided convenience for the next step of expansion.

　　(7) Mining and other business sectors

　　 Pingxiang Iron & Steel has bottomed out its business in the past year and has achieved full-year profitability. After overcapacity is reduced, the surplus is king, and it has become an enjoyment of supply-side dividends.

　　 Feishang Nonmetal In 2016, in terms of R&D and technological transformation, the company declared 7 utility model patents and 5 invention patents, and the R&D project with Southwest University of Science and Technology is also proceeding as scheduled. Wuhu Mining has reduced the operating costs of the entire company. Pakistan's mining industry has basically completed the set plan.

　　 Due to various factors, Haifeng Chemical has not completed its business objectives, but the transformation work is progressing smoothly.

　　 3. The main work of the group headquarters

In terms of financial capital management, as mentioned earlier, we have been extremely tight in funds in the past year because our traditional business sector banks collect loans. Although our business sector is profitable, as the cost of raw materials increases, the demand for liquidity increases. Coupled with the bank's collection of loans, our funds are very tight. In this case, our financial capital management can still ensure the smooth operation of the entire enterprise group, which is not easy.

　　In terms of compliance work, because we have begun to position ourselves as the "trolley man", we have also done orderly in the building of compliance capabilities, as well as compliance guidance and implementation. In terms of capital operation, all member companies have actually seen that the relevant personnel of our headquarters are all going to give guidance, which is also called being busy. We hope that in 2017 we have new companies to be able to report, and we hope that in 2018 we have new companies to be listed in Hong Kong or China.

　　In audit work, we often see the audit department of our group headquarters in our subsidiaries. They are running around in order to reveal risks to shareholders in advance. In terms of human resources, we also provide a lot of help based on the needs of member companies and partners. In terms of strategic management, we have introduced different management ideas for each member company according to their strategies and characteristics.

Colleagues, through my brief introduction, in the past 2016, if we only look at the business indicators, we will find that our overall data is not satisfactory. We are not satisfied. The traditional industries are still suffering in predicament and are suffering. Huge loss pressure; emerging industries are still incubating. Although we have many companies with a profit of more than 20 million or more than 30 million, this is not our pursuit. This can only be just started, and we need to continue to invest. But all these are the cost of our group's strategic transformation, and also the traces we left through the years. Whether it is loss or profit, it is our precious wealth.

　　Part 2: Feishang’s development strategy in the next three years

　　 The second part focuses on Feishang’s development strategy in the next three years. The first sub-topic is the topic of my speech at the Peking University Entrepreneur Club, which is called "Knowing the sky, taking advantage of the geographical position, fighting people and being willing to be a carter". These few words are the theme that Fei has not yet come to develop, and they are also a summary of the ups and downs of my business management over the past year. In the past year, our entrepreneurs and our employees have worked very hard. Some have done very successful companies, and some have done very tired companies. I feel the pain and tiredness of yours, because I am your shareholder, I am Your actual controller, I am your important partner. I am very happy that you are profitable, and I am very distressed that you are losing money, but whether it is distressed or happy, I am reflecting on whether I have done well enough, and whether I can do better.

　　1. Knowing the sky, according to the right place, fighting for harmony between people

　　 Some new partners who have joined us may not have heard my speech in the past, and many others have heard it. I put it forward two years ago. Feishang emphasizes "four footholds". When we do anything and do any strategy, we must first take advantage of the "potential" and talk about the "dao", To talk about "technique", including our corporate song "Flying", each sentence in it has its own experience. We said to "borrow thousands of miles of wind", what is meant by "ten thousand miles of wind"? Every time I do something, I think about what is our "long wind" in this matter. We have "strong wings", what are "strong wings"? As long as you have "strong wings", and then "borrow thousands of miles of wind", you can "embrace the world", and you are looking down from the big picture and from high in the sky "embrace the world" ;, your perspective is different. I hope that whether it is a partner who has cooperated with Feishang now or will cooperate with Feishang in the future, what they value is that we can take him high in the sky to “embrace the world”, this is their original intention for cooperation with us. .

　　 (1) Know the sky

　　 I would like to discuss with you, what "time of day" is and what is now "time of day". We can know that time of day will take advantage of it to become our general trend. It can be said that in the three years before the flight, our positioning is to be a "carriage man", what kind of "carriage man"? In practical and popular terms, we hope to be able to be close to our partners in the industries we choose, help them formulate strategies and industrial layouts, help them with capital operations, and achieve their careers. Who does this kind of “stroller” is not welcome? The transformation of Feishang in the next few years lies in whether it can help our partners become winners. If they succeed, Feishang will succeed.

　　1. The Internet era has changed lifestyles and industrial cycles

　　 The advent of the global Internet era has really changed the world. The past industrial cycle may take eight to ten years. In the Internet era, the world has truly become a "global village". First of all, it is a village of knowledge sharing. You have a new technology, and soon others will learn and surpass you. , Leading to faster and faster upgrading of all industries, what does it mean? It means that there are more and more uncertainties, the content that can be determined and the time for determination are getting shorter and shorter, and the world is in a huge uncertainty. There have been many successful experiences in the past, but many famous companies have also closed down. Why? Because their success depends on the certainty of a large environment. In the past, a new technology may last for eight to ten years, but now it may be only three years old, and the IT industry has even been updated in six months.

　　As decision-makers, our entrepreneurs have to make decisions under uncertain and inadequate environments at any time. In fact, this is a huge challenge for us. What does this mean? It means that a new era has arrived, it means that the era of going it alone has passed, it means that the risk of the enterprise under uncertainty has increased sharply, if you can’t give full play to your strengths and give full play to your strengths in the context of short-term certainty Profitability, you will not be able to lose when you should lose in the future. So for Feishang, our experience is that you must maximize your strengths, and you must follow the correct mechanism under the correct circumstances to earn the money you should earn, so that you have the capital to resist the winter. This is very important. An important business philosophy.

　　2, Chinese business has entered the era of capital securities

　　 Chinese business has entered the era of capital securitization. This judgment is very important. If our traditional enterprises do not enter the capital market, there is only one way out for you, which is death. Because you have not changed your thinking, you have not entered a new era, others have entered a new era. No matter how hard you work, you will never earn as much money as others can earn by landing in a small capital market.

　　 Entering the capital market also has important characteristics. You must comply with regulations. Without compliant profits, it still belongs to the farming era, and it is still in the stage of self-rolling and self-development. If you can't use external forces, you can't use the advanced weapons that others give you, and you will inevitably be eliminated. The biggest feature of the capital era is that the competition of enterprises is the competition of the valuation era. The highest level of competition in the valuation era is the listing. The listing makes valuation liquid, and liquidity is valuable, which many entrepreneurs have not seen of. A basic premise of liquidity is regulation and compliance. If you are not compliant, who is willing to play with you; if you are not compliant, who can trust you. From this point of view, all the factors that depend on survival in the new era may become your obstacles and become your shackles. In the new era, if you do not have securitization, you will have no drama. Only securitization can better deal with uncertainty. This is "time", and this is the general trend.

　　 3. Domestic demand has been artificially boosted by market and non-market factors, and has become an important driving force. Therefore, if we do not keep an eye on domestic demand, whether we have invested or will invest in the future, we will definitely not enjoy this "long wind and sky".

　　4. The eating, drinking, and health of the middle class is the general trend in the future. In the past, the first thing we had to solve was to have a full stomach, to solve the problem of "eating", and to solve the problem of "goods", that is, the problem of cars. Now the most important thing is to be "good", to eat well, to dress well, to eat healthy, play healthy, physically healthy, and mentally healthy. Only by seizing healthy consumption can you have a chance. Who can cater to the consumption of the middle class, who can take advantage of the "long wind" of middle class consumption, who can win the next ten years.

　　5. The mode, speed, and quality of China's economic growth have undergone qualitative changes and are increasingly recognized. The dividends of supply-side reforms are slowly being released, and the era when the "leftovers" are king is slowly coming. This can be said to be a guiding ideology of Feishang's existing traditional industries.

　　The above mentioned are the so-called "Time of Days". This "Time of Days" allows Feishang to select the future in a targeted manner. "Track" is the guiding ideology for our new business to choose the track. Feishang will firmly grasp the currently selected medical and health, communications and cultural industries, including the next step in the elderly care, and Feishang’s investment should be tilted in these areas. For example, in medical care, our next step is not only to deploy domestically, but also to deploy overseas, so that we can effectively combine the good things overseas with the trend of China, so as to achieve the effect of "overtaking in corners". "Tianshi" helped us choose the track for Feishang. At the same time, we are no longer pessimistic about the existing industries such as coal. We think that our copper processing has also reached the bottom. In this situation where the general environment is slowly changing, we are confident and determined to use Feishang’s capital operation capabilities to step out of another world, and the "leftover" in a small area is the king. There is also our forestry industry. Although we can't talk about full compliance now, we have spared no effort to do it well.

　　 (2) According to the geographical advantage

　　 Where is our "location"? Our "geographical advantage" is our own advantage, and we must have a clear understanding of Feishang's existing advantages. Simply put, what does Feishang do? Feishang is an industry, turning industry into an industry, this is the first stage; turning industry into capital goods, this is the second stage; in the third stage, turning capital goods intoReturn to the industry and become the king of the industry. Feishang is doing these three things, as long as they meet the conditions of these three stages, they can become our partners. So what advantages does Feishang have to do well in these three stages?

　　 Feishang's characteristic is based on being a pusher. Who is the driver? You are the one who pulls the cart. What does Feishang use to push? It is to use the advantages of Feishang, the existing advantages and the advantages to be created in the future. I know you will ask: Since you are a carter, what is the difference between Feishang and a broker? I will tell him this way, we will help you in the whole process, and after the listing, we will do the following. Another, a brokerage may help hundreds of companies at the same time, we are not the same, maybe this year I will help two or three, and I will do it for you for free. We are capable. Our strategic layout capabilities, our compliance capabilities, and our capital operation capabilities are all our strengths.

　　1. Strategic layout ability

Feishang has nearly 20 years of industry experience. Not only does industry experience, we also have industry experience. We have experienced every stage. We have a solid foundation, successful experience, and failure. Lessons learned, our international vision and strategic vision have won the recognition of all walks of life, and every transformation of Feishang is a praise of our successful business layout. We can seize the opportunity, and someone often tells me: non-colleagues, you are a big opportunist. Every successful person is a big opportunist, and a person with a stubborn muscle has died a long time ago. Opportunists are different from opportunists. Opportunities are long-term. Any good strategy must be based on opportunities. What is opportunism? If you have an opportunity to make a lot of money, that is a business; a big opportunist should be called an opportunist, and they are doing two different things, although there is only one word difference. We are proud of our strategic layout capabilities. We can provide our partners and our own industry with some strategic layouts from a high level. We can stand higher and see more in cooperation with Feishang. Far, our ambitions can be greater. I especially encourage our partners to be ambitious and our team to be ambitious. This is one of our advantages. This advantage is destined in the future that we will spare no effort to strengthen our advantages. In the future, the key task of the group headquarters is to build our ability to serve subordinate companies. The first is the strategic layout ability. This is also the first difference between us and the brokerage company. The brokerage company will not help you make a strategy. , We do it for you, we give you enough connections, social and government resources and even national-level resources to help our company make strategies. This is also an important aspect of turning enterprises into industries that I mentioned earlier.

　　2. Compliance ability

　　 The second is different from brokerage companies. We have the ability to comply with the whole process. Brokerage companies will not do it for you, and intermediary agencies will not do it with you. They want to make money. We are not the same. We invested money and did it with you for our higher goals. This is the essential difference between us and it. Listing is even more different. We say that going public is only the middle link of our take-off, not the most important link. The most important link is to use the listing platform to continue mergers and acquisitions to realize our king's dream. Feishang’s dream is to achieve transformation within five years and cultivate three to six sub-industries to become the top few in this small sub-industry worldwide. Our ambitions are very big. Whether it can be realized depends on everyone. I will do it alone. But come.

　　3. Capital operation capability

　　The third ability of Feishang is the capital operation ability that everyone has recognized in the past, helping our shareholders and partners to achieve value. This ability is also not possessed by the brokerage firm. The brokerage firm is only an intermediary structure for the procedures. This is also the third difference between us and the brokerage firm. In the past, we wanted to be cart pullers by ourselves. We thought that we were doing well. Some of us did lead very well, such as steel. We achieved 12 million tons from a small steel plant of more than 1 million tons, which is the best in the industry. A few, it is really not easy to be a private enterprise; the port, originally we are just a small port of about 100,000 tons, and we have become the leader of the entire Yangtze River route port; Guizhou coal, we have become an important new force. Now Feishang has to adapt to the new era, and Feishang has to achieve the third transformation. We deeply feel that our own capabilities are not enough, and we need to unite more partners. Therefore, Feishang has acquired a lot of new business sectors in the past two years, and we are only the second shareholder and the important second shareholder, and we don't want to be the major shareholder. It's not that we don't have the money to be a major shareholder, nor that we don't want to be a major shareholder, but that we can't be a major shareholder. Why? Being a major shareholder has the responsibilities and obligations of a major shareholder. First of all, you must be familiar with the business. It is impossible for us to be familiar with many different businesses.

　　 Now some bosses told me that Feishang wanted to send a general manager. I said that Feishang will not send a general manager. If Feishang wants to send a general manager, it means that this business model is different from ours. We hope that whether the general manager or the main business platform is handled by our partners, we are carts and we only do our expertise, but we will definitely guard against risks. This is also our right. Once the original general manager does not do well, we have the obligation and power to re-select, but this is the result we least want to see.

The next step for Feishang to do business, the first step is to choose the track, and then select companies, teams in the industry, and companies and teams that are suitable for cooperation with Feishang, we will help it succeed; the second step is to help our existing business The team becomes a shareholder, helping them to become a puller. We now have a controlling stake. Feishang is a cart driver. We are all Feishang teams. We at Feishang have gradually transitioned from pulling carts and carts to only carts. Of course, the election of shareholders is not random, and you cannot try and say it first, as some CEOs have said, because we have no opportunity for trial and error, time does not give you the opportunity for trial and error, and cost does not allow you to try and error.

　　 We are a layer by layer to realize Feishang's characteristic management model with a sense of service. Of course, our supervision also requires compliance supervision. In addition to the interests of shareholders, Feishang has no other interests in the invested enterprises. We at Feishang hope to operate in compliance and standardization. We want to do capital securitization. The biggest feature of capital securitization is compliance. Compliant profits and non-compliant profits are completely different, so what we want is audited. Without this compliance, it is meaningless, because Feishang does not only rely on dividends to grow. It is not enough to rely on dividends alone. Dividends alone cannot make an excellent company. Only by following Feishang’s model can everyone and Feishang be realized. The original intention of the cooperation, and only in this way can the original intention of Feishang Industry to serve the country be realized. We must keep in mind what is different in Feishang, and all our efforts must have a positive impact on this difference. Regardless of whether it is a new partner or our existing business, everything we do must reflect the value of capital securitization, and it must also reflect the return to the industry after capital securitization. Only in this way is Feishang's characteristic. Otherwise, we will not be able to enjoy the results brought by Feishang's advantages, and we will not be able to realize our value-added and win-win cultural concept.

　　 (3) Fight Renhe

　　 Our own advantages continue to come from our people. Fighting for people and harmony is to fight for the ability of our team, fight for our courage to take responsibility, and be good at taking responsibility. What kind of puller does Feishang need? The first is the courage to take responsibility, the mentality of courage to take responsibility, and the ability to be good at taking responsibility. We fight for people and this, not for our labor, nor for our motivation. Incentives that conform to values ​​are positive incentives, and they cannot be biased incentives. Fei hasn't come a few years later, there will definitely be a lot of mergers and acquisitions, and a lot of people will play the role of carts. I am the pusher of the headquarters management team, and the headquarters management team is the pusher of each of our member companies, so that our partners, our employees, and our team can enjoy the results brought by Feishang Feiyue and realize us The cultural concept of value-added and win-win. Everyone, the boss talks a lot about cultural concepts, what does value-added and win-win bring? What is value-added and what is a win-win situation? Without value-added, where is the win-win situation? There is no free lunch in the world. What is really valuable to our lives is to constantly cultivate and exercise our value-added ability. When you have the ability to add value, you can win-win at any time, it's nothing more than a win-win situation with whom. If you win with the pig team, he will turn you into a pig; if you win with the god team, you will also become a god.

The next step is to start with the headquarters and the existing team to implement how to achieve a win-win situation. Some of them should receive bonuses, and some should be paid. Some management teams in the headquarters, such as human resources and strategic management, must be highly paid. , I need talents to help us come up with ideas and help us prevent risks. He does not rely on bonuses. For those who do business like our financing department and our investment department, I'm sorry, you have low salary and high bonus. No performance, no contribution, sorry, there must be no bonus, this is our headquarters. Every time the backbone members complete a project, they can share the value-added brought by our capital securitization benefits. There will be more than one company preparing to go public or have already gone public every year before Fei has come. We have this confidence, and we also hope that our headquarters and human resources department can implement our concept of harmony as soon as possible, and be able to screen out the courageous and good at every level of the team to become our partners and become our pull carts. people. It can be said that the platforms of Feishang at all levels are the platforms of our partners. The first is the platform of your partners, and then the platform of our Feishang. We have this height, this mindset, if you succeed, I will succeed. On the other hand, we have this kind of mind, so why don't we have no partners? Therefore, we must work together to achieve our skills and achieve our value-added capabilities. The core of Feishang's culture is value-added, and win-win is the inevitable result. To fly is to know the time, according to the right place, fight for harmony, willing to be a pusher, leave the stage to more capable people, and shine a halo on the faces of others. Regarding us as the background, when the company rushes to the final point of victory, although the spotlight as a cart man only shines on our happiness, as long as the company and partners can seize the commanding heights, we will be very happy.

　　 Today, there are many people who participated in the group commendation meeting for the first time, such as President Peng, President Wang, President He, President Zhang, etc. I hope that the aura will shine on you in the future. I believe that if we work together, we will be able to achieve results if we work together organically and unite each other. It is nothing more than a question of longer time and shorter time. Feishang’s title of “king” was struck from the battlefield and was not set up by others. We are not the “second generation ancestor”. We are the first generation and we are struggling. We ourselves are brave to bear and dare. A warrior who is responsible and good at taking responsibility.

　　 2. Macroeconomic situation

　　 Macroeconomic situation, I used to attach great importance to it, now I also attach importance to it. I was pessimistic in the first two years, but now I am not pessimistic anymore. After the "19th National Congress of the Communist Party of China", another situation of stable macroeconomic growth is bound to come. This is based on the fact that we Chinese are too hardworking. Each of us over a billion people has a dream of making a fortune. All of us are teachers of tigers and wolves. As long as there is a stable environment, the policy has been held back for several years in the past. We will do more quickly, so our macro-economy will surely grow steadily, whether it’s hard or tired, everyone is used to it, and you won’t be tired if you get used to it.

　　The international situation is indeed different, especially after Trump came to power. Once the trend of dollar appreciation is interrupted, this kind of increase in our commodities may continue, and there may be another wave of rise. This has very important guiding significance for our traditional industries of coal and copper processing. The stock market is not much worse, and not much better. "The 19th National Congress of the Communist Party of China" may be better afterwards. "The 19th National Congress of the Communist Party of China" used to be at most a small sunny day, but there is almost no big drop. Because the country has manipulated this market, the national team has become the biggest main force. Basically, it rises when it rises and falls when it wants to fall. I mentioned the whole macroeconomic situation just now in "Tianshi", and that's the big one. Of course, deleveraging has always existed, and banks themselves are also transforming. How we make good use of external funds, we must consider our own advantages and the capabilities of our team.

　　 Finally, I will talk about the key tasks in 2017. I don't want to talk about the time relationship, but only the key points. First of all, our headquarters must build our cart capacity and the ability to prevent risks, capital risks, business risks, and so on. The cart capability just mentioned, one is our strategic layout capability, the other is compliance capability, and the other is capital operation capability. This is what the headquarters should do. Secondly, the following companies, like our business sector, President Peng, will start securitization anyway this year, and securitization again, which will really allow President Peng to drive onto the road as soon as possible. Similarly, although Huikou Hospital has not changed its major shareholders for three years, it has been prepared and well prepared. Dahe Medical should also start counting from the compliance year as soon as possible. Our capital market platforms have tasks this year, including the listing of the copper industry as soon as possible to be included in our process, because you have enough conditions, you have been profitable for several years in a row, and each year you have earned more than 20-30 million. As long as the company reaches 20 to 30 million yuan, I will strive to go public as soon as possible. I will go public first. This will give us a favorable opportunity for a decisive battle in the market. Huasheng Technology has delayed us due to policy changes. Let’s see if we have any luck to break through the barriers this year and return to the main board smoothly in 2017. Thirdly, our existing business sector must consider how to achieve the contracting requirements, so as not to hinder the group, or even become the new force of the group, to prepare for our next second capital operation and to smoothly realize the transformation of Feishang's positioning.

　　Finally, I hope that all employees and partners in the whole group: first, be full of confidence; second, stay humble, work hard, and be optimistic; third, keep healthy.

thank you all!