Dear colleagues:

　　Time flies, and the years pass in the blink of an eye. Before we know it, 2017 is coming to an end, and the Lunar New Year is just around the corner. At this exciting and momentous occasion—marking the transition from the old year to the new—we, on behalf of all shareholders, the Board of Directors, and the senior management team of Feishang Group, extend our warmest holiday greetings and heartfelt New Year wishes to every member of our team, as well as to the families of our employees who have quietly dedicated themselves to the Group’s development. We wish you all good health, family happiness, and success in everything you do in the coming year!

　　Looking back on 2017, there are many achievements that give us cause for satisfaction, as well as some shortcomings that call for deep reflection.

　　This year, Feishang Group leveraged the strategic opportunities presented by the “Belt and Road” initiative and the national strategy of building a China-ASEAN community with a shared future. Guided by a business perspective centered on “four pillars,” and adhering to the integrated business logic of “five-in-one”—involving government, industry, academia, research, and capital—Feishang Group has, on the one hand, successfully phased out certain traditional industries and facilitated their transformation and upgrading; on the other hand, it has undertaken in-depth exploration and strategic deployment in high-growth emerging sectors such as greater healthcare, TMT, smart cities, smart agriculture, the Internet of Things, and information security.

　　This year, bathed in the gentle breeze of a new era, the group’s 30,000 employees have braced themselves with renewed vigor, boldly shouldering responsibilities and daring to surpass their own limits. Guizhou Energy, Haqiao Mining, and the copper industry sector have achieved impressive results. Enterprises such as Jiangxi Forestry Products, Angwei Environmental Protection, Sike Microelectronics, Siqi Communications, Guanglong Optoelectronics, and Yake Bio have made new breakthroughs. Meanwhile, companies like Dahé Medical, Hui Kou Hospital, and Zhaohe Seed Industry have further completed their compliance efforts. In addition, the group has signed equity agreements with enterprises including Yancheng Jiekang.

　　This year, the Group’s headquarters moved to the 79th floor of Ping An Financial Center—the landmark building in Shenzhen—fulfilling its promise of steady advancement and reaching new heights. Headquarters staff have stepped up their business learning and continuously honed their “push-cart” skills, presenting a fresh outlook in investment, financing, management, and control operations. Meanwhile, the Group has preliminarily established a dual-headquarters strategy centered on Shenzhen and Nanning, marking a decisive step toward the successful third strategic transformation of Feishang.

　　Every achievement we’ve made is the result of the collective wisdom and hard work of our employees, and it reflects the pioneering spirit of Feishang people—our unwavering commitment to excellence and our courage to break new ground. Feishang has grown stronger because of you, and we’re proud of you.

　　Going upstream against the current, if you don’t move forward, you’ll only go backward. Feishang’s brilliance today stems from yesterday’s forward-looking business vision and its ability to make pioneering strategic moves—rooted in our constant awareness of potential risks even in times of stability and our relentless drive to surpass ourselves. Today, as we’re swept up in the tide of a new era, fresh ideas and groundbreaking transformations are continually giving rise to new industries. We’re facing unprecedented opportunities—and at the same time, unprecedented challenges.

　　Once upon a time, Alipay sparked a financial revolution, and WeChat profoundly disrupted the telecommunications industry. Now, the rapid development of artificial intelligence is bound to shake up the entire socio-economic landscape with overwhelming force, ultimately replacing numerous jobs.

　　Change is the theme of the new era—and also the subject of our research.

　　To remain adaptable in the face of ever-changing circumstances and avoid being left behind by the new era, we must steadfastly embrace innovation, summon the boldness and courage to take on the spirit of “If not me, who?”—dare to revolutionize ourselves, actively embrace the new era, become interpreters and cultivators of our times, and propel our endeavors to the forefront of the age.

　　Colleagues, there are no shortcuts to success. We cannot afford to stand still, nor can we afford to become complacent. Our past achievements are the greatest reward for our efforts, yet the road ahead will be even more winding and arduous. At present, both the international and domestic economic situations remain uncertain, and some of our group’s member enterprises continue to face tremendous operational pressures. We must recognize even more clearly that the bottlenecks hindering Feishang’s development still persist, and outdated mindsets and conventional ideas continue to constrain our progress. 2018 is designated by Feishang Group as the “Year of Management Innovation.” We will remain committed to innovation-driven development: on the one hand, we will strengthen the integration and restructuring of our existing industries; on the other hand, we will accelerate the deployment in emerging industries, with a particular focus on sectors such as health, healthcare, elderly care, tea, TMT, and cultural tourism, thereby effectively shifting our strategic focus. Meanwhile, the Group’s headquarters must enhance team building and reinforce its control mechanisms, taking our “supportive service” to new heights.

　　Colleagues, the New Year symbolizes new hope. Let’s move forward with confidence, constantly surpassing ourselves on this new journey, and together with Feishang, achieve “mutual value creation and win-win outcomes,” paving the way for an even brighter and more splendid tomorrow!

　　Finally, once again, I wish you all a happy Spring Festival! May the Year of the Dog bring you good fortune and prosperity in all your endeavors!

Chairman of Feishang Group:

February 14, 2018