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

All members of the company and the board of directors guarantee the authenticity, accuracy and completeness of the information disclosure. There is no 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) stock in February 4, 2020, February 5th, February 6th, 3 consecutive trading days, the cumulative deviation value reached -12.18%. According to the relevant provisions of the Shenzhen stock exchange, the company's stock transactions are abnormal fluctuations in transactions.

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

In view of the abnormal fluctuation of stock trading, the board of directors of the company has verified the relevant matters.

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

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

3, no public information has been reported on the recent public media that may have or has already had a significant impact on the stock trading price of the company. 4, the controlling shareholders and shareholders holding more than 5% of the company did not buy or sell shares in the company during the abnormal fluctuation of stock transactions.

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 (hereinafter referred to as "Yinchuan intermediate people's court") made (2018) ning 01 Shen Shen 29 "civil ruling", and ruled that it accepted the application of the Shanghai Yong run Cci Capital Ltd of the creditors to the reorganization of the Bank of China.

In November 13, 2019, the company held second creditors' meeting and investor group meeting. The meeting examined and adopted the "reorganization plan (Draft)" and "the adjustment plan of investor interest in the Limited by Share Ltd reorganization of the Ningxia silver cashmere industry Limited by Share Ltd". The Yinchuan intermediate people's court made (2019) ning 01 break No. 6-2 "civil ruling", approved the cashmere industry reorganization plan, and terminated the Bank of China's cashmere industry reorganization procedure, and the company entered the implementation stage of the reorganization plan. The company manager has already disposed of some of the capital provident fund to increase the proceeds of the stock and assets through competitive bidding. For details, please refer to the announcement of the 2019-126 Ningxia Bank of China's Limited by Share Ltd manager on the disposal of part of the capital reserve fund and the assets transferred by competitive bidding in November 26, 2019, as well as the announcement of the 2019-133 Ningxia Bank of China (cashmere) Limited by Share Ltd on the implementation of the capital reserve fund conversion scheme in December 19, 2019. The registration date for capital surplus is to be increased in December 24, 2019. In December 24, 2019, the listing date of the capital increase is December 25, 2019. For the capital stock added to the capital reserve, the stock price is no longer authorized. In December 19, 2019, the company issued the announcement of the 2019-134 Ningxia Bank of China cashmere industry on the stock price of the company after the capital reserve was converted to equity.

The registration of the above transferred shares has been completed at the Shenzhen branch of China Securities Registration Co., Ltd. After the completion of the registration, Heng Tian Jin Shi Cci Capital Ltd (hereinafter referred to as "Heng Tian Jinshi") directly holds and shares the shares of the listed company indirectly through Heng Tian Ju Xin and Heng Tian Jia Ye, which reaches 565438176 shares and becomes the controlling shareholder of the company. The detailed report on equity changes was disclosed in December 25, 2019. On the same day, the company issued the "2019-136 Ningxia cashmere industry Limited by Share Ltd" on the changes in shareholders' equity and controlling shareholders' change notice notice.

In December 26, 2019, the Yinchuan intermediate people's court ruled that the cashmere industry restructuring plan was completed. In December 28, 2019, the company announced the announcement of the 2019-138 Ningxia silver Cashmere Company Limited on the implementation of the reorganization plan in the designated information disclosure media.

In January 21, 2020, the company released the 2019 annual performance notice of Ningxia 2020-06 Limited by Share Ltd. The company expects net assets at the end of 2019 to be 1 billion 136 million 484 thousand and 800 yuan, and the net profit attributable to shareholders of Listed Companies in 2019 is between -250000 yuan and 3 billion 200 million yuan.

The board of directors confirms that, in addition to the above, there is no listing on the Shenzhen stock exchange.

The rules and other relevant provisions should be disclosed and not disclosed or matters related to planning, negotiation, intention, agreement, etc., and the board of directors has not received the information that the company has disclosed under the relevant provisions of the Shenzhen Stock Exchange Listing Rules and has not been disclosed, which has a greater impact on the trading price of the company's stock. There is no need to correct and supplement the information disclosed by the company's previous disclosure.

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. If the company's audited net assets in the end of 2019 are still negative, according to the provisions of article 14.1.1 of the Shenzhen Stock Exchange Listing Rules (revised November 2018) (hereinafter referred to as the "Listing Rules"), the company's stock will face the risk of suspension of listing. The company's audited net profit in 2018 was negative. If the company's audited net profit in 2019 is still negative, according to article 13.2.1 of the listing rules, the company's stock will continue to implement the delisting risk warning (*ST).

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

If the company's shares are suspended from listing, the first year of the year (2020) report shows that the company's net profit or net profit after deducting non recurring gains and losses is negative, net assets at the end of the year are negative, business income is less than ten million yuan, or 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.

The company will strictly fulfill the obligation of information disclosure in strict accordance with relevant laws and regulations. The information released by the company is based on the notice published in the securities information times, China Securities Daily, Securities Daily, Shanghai Securities Daily 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.

Notice hereby.

The board of Limited by Share Ltd of Ningxia BOC cashmere industry

Two February 7th two