*ST Velvet ((000982): Abnormal Fluctuations In Stock Trading

Stock Code: 000982 securities short: *ST velvet notice number: 2019-115

Ningxia cashmere industry Limited by Share Ltd announcement on abnormal fluctuations in stock trading

The manager of the company guarantees the authenticity, accuracy and completeness of the information disclosure, without false record, misleading statement or major omission.

1. Abnormal fluctuations in stock transactions

Ningxia BOC cashmere Limited by Share Ltd (hereinafter referred to as "company" or "cashmere industry").

*ST middle velvet, stock code: 000982) stocks in October 29, 2019, October 30th and October 31st rose 3 consecutive trading days, and the total deviation value reached 17.56%. According to the relevant provisions of the Shenzhen stock exchange, the company's stock transactions were abnormal fluctuations in transactions.

Two, the company pays attention to and verifying the situation.

In view of the abnormal fluctuation of stock trading, the company manager has verified the related matters.

1, there is no need to correct and supplement the information disclosed by the company in the early stage.

2, the controlling shareholder and the actual controller and shareholders holding more than 5% of the company do not have any major issues that should be disclosed but not disclosed by the company.

3, no public information has been reported in recent public media on possible or already significant impact on the stock trading price of the company. 4, the controlling shareholder, the actual controller and the shareholder holding more than 5% have not traded the company's stock during the abnormal fluctuation of the stock transaction.

5, there is no violation of fair information disclosure regulations.

Three, there should be no disclosure and no disclosure of information.

In July 9, 2019, the intermediate people's Court of Yinchuan, the Ningxia Hui Autonomous Region made (2018) ning 01 broken Shen 29 "civil ruling" and (2019) ning 01 break 6-1 "decision", the ruling accepted the application of the Shanghai Yong run Cci Capital Ltd's reorganization of the company, and the decision was designated by the Yinchuan Municipal People's government.

The relevant departments and agencies formed a liquidation team to serve as the manager of the Bank of China. (see the announcement of the Limited by Share Ltd of Ningxia Bank of China on the court's decision to accept the warning of the company's reorganization and stock being continued to withdraw from the market) issued by the cashmere industry in July 11, 2019. The announcement number is 2019-69.

According to the relevant provisions of the People's Republic of China enterprise bankruptcy law, the administrator is accepting creditors' supplementary declaration claims in accordance with the law. As of 5 p.m. on October 30, 2019, a total of 159 creditors had declared 171 claims to managers, with a total value of 11008258231.35 yuan. At present, managers are examining the declared claims according to law.

According to the "property management and price change plan" adopted by the first time creditors meeting of the Bank of China, the Jingdong commissioned the Jingdong online judicial auction platform (sifa.jd.com/) to make the first, second, third and fourth public auctions of the property of the cashmere industry. The auction was conducted in September 11, 2019, September 18th, September 26th and October 4th. The manager has commissioned the Jingdong online judicial auction platform in October 28, 2019 to conduct fifth public auctions of some properties of the cashmere industry.

In October 29, 2019, the administrator issued the notice on the convening of the second creditors' meeting (Bulletin number 2019-108), the announcement on the convening of the investor group meeting (Bulletin number: 2019-109) and the adjustment plan for the investor's rights and interests in the reorganization of the Limited by Share Ltd of the Ningxia Bank of China. The company manager has confirmed that the company has not disclosed any items that are not disclosed in accordance with the relevant provisions of the Shenzhen Stock Exchange listing rules or related matters such as planning, negotiation, intention, agreement, etc., and the manager has not been informed that the company has the information that the company should disclose and not disclose the trading price of the company's stock and its derivatives according to the relevant provisions of the Shenzhen Stock Exchange Listing Rules, etc.

Four. Special risk warning

1, the risk that a company's stock may be suspended from listing.

The company's stock trading is currently implemented by delisting risk warning (*ST), and the company's 2018 audited net assets at the end of the year are negative. The company disclosed the first three quarter report in October 31, 2019, and the net profit from the non recurring gains and losses attributable to shareholders of listed companies at the end of the 3 quarter of 2019.

-645859120.63 yuan, attributable to shareholders of listed companies net assets of -1749628582.79 yuan, if the company's 2019 audited net assets of the end of the year is still negative, according to the Shenzhen Stock Exchange Listing Rules (November 2018 Revision) (hereinafter referred to as "Listing Rules") article 14.1.1, the company's shares will face the risk of suspension of listing.

2, the risk that the company's stock may be terminated.

(1) if the company's shares are suspended from listing, the first year (2020) report shows that the company's net profit or net profit after deducting the non recurring gains and losses is negative, the net assets at the end of the year are negative, the operating income is less than ten million yuan, or the audit report of the company's financial accounting report is issued with reservations, unable to express opinions or negative opinions, or fails to disclose the 2020 annual report within the statutory time limit. According to the provisions of article 14.4.1 (1) to (five) of the listing rules, the company's stock will face the risk of being terminated.

(2) the court has ruled that the company enters the reorganization process. According to the relevant provisions of the People's Republic of China enterprise bankruptcy law, if the reorganization fails, the company will be declared bankrupt and liquidated by the court. If the company is declared bankrupt and liquidated by the court, according to clause 14.4.1 (twenty-three) of the listing rules, the company's stock will face the risk of being terminated.

(3) if the company implements the reorganization and completes the reorganization plan, it will help improve the company's assets and liabilities structure and avoid continuous losses, but the company's stock transaction still needs to meet the relevant regulatory requirements, otherwise it will still face the risk of suspending the listing or terminating the listing.

Managers will conscientiously carry out the obligation of information disclosure in strict accordance with relevant laws and regulations, pay close attention to and disclose the progress of related matters in a timely manner. The information released by the company shall be based on the notice published in the securities information times, China Securities Daily, Securities Daily, Shanghai Securities Journal and www.cninfo.com.cn. At the same time, it also reminds the majority of investors to make prudent decisions and pay attention to investment risks.

It is hereby announced.

Ningxia silver cashmere Limited by Share Ltd Manager

November 1st two 19