In order to make full use of the available listed company platform, realize fast go public of good-quality assets of Sinosteel MECC and the strategic adjustment of carbon business, and accelerate the reform and difficulty relief speed, the Group decided to implement major assets restructuring to Sinosteel Jilin Carbon Co., Ltd. and Sinosteel MECC in May of 2013. Since the commencement of this program, confronted with difficult interior and exterior conditions, leaders of the Group paid high attention. After all the effort of the entire Group and the program team's hard and careful work of 16 months, the settlement agreement of major restructured assets of Sinosteel Jilin Carbon Co., Ltd. was signed on August 29th, 2014. On September 2nd, alteration of industrial and commercial registration was done between Sinosteel MECC and Sinosteel Jilin Carbon Co., Ltd., indicating the successful completion of settlement of major restructured assets. Sinosteel MECC achieved back-door listing, being another significant measure of the Group in capital market after the non-public issuance of stocks of Sinosteel Tianyuan Technology Co., Ltd. in 2012.

Major assets restructuring of listed companies is a complicated systematic project, featuring heavy workload, high techniques and difficulty as well as interconnected aspect. The Group established a team consisting of major leaders and business backbones to push ahead all the work forcefully, guaranteeing the key task and process to be finished on time.

This major assets restructuring project was also strongly supported by State-owned Assets Supervision and Administration Commission as well as China Securities Regulatory Commission.

The completion of major assets restructuring program between the two companies laid foundation for the Group's strategic adjustment of carbon business. What’s more important is that the successful go public will provide more space for future business expansion and development, and realize sustainable and healthy development of Sinosteel MECC with the aid of capital market. Next, after finishing new share registration and adjustment of legal person management structure, the associated financing will be initiated immediately to effectively complete the non-public offering as well as the associated fund-raising work within the year.