Zijin Bank (601860) issued a notice on September 16, 2021: Tianfeng Securities, Minsheng Tonghui Capital Management, Century Securities Asset Management, Yingda Securities, PICC Pension, Guotai Junan Capital Management, Fu Anda Fund, and Gaozhi Investment conducted a survey of our company on September 13, 2011. this survey is received by the Board Office, the Planning Finance Department, the Pratt & Whitney Finance Department, the Corporate Finance Department and the Private Banking Department.

The main contents of this survey are as follows:
1. What are the main reasons for the marked increase in your bank's revenue in the second quarter compared with the first quarter? since 2021, in accordance with the regulatory requirements, our bank has returned to the origin of deposits and loans, increased the proportion of deposit and loan business, and increased the proportion of deposit and loan interest income, especially retail business income. By the first half of 2021, our bank had achieved net interest income of 1.988 billion yuan, an increase of 1.02% over the same period last year. Net interest income accounted for 94.2%, an increase of 14.4%, of which retail business income accounted for 40.30%, an increase of 17.9%. Retail transformation was carried out step by step. In the process of retail transformation, the scale of capital business gradually decreased, accounting for 10.1% of capital business income, down 7.7 percentage points, providing a certain basis for promoting the increase of revenue scale through the optimization of business structure.
May I ask how to coordinate the company's business in the retail transformation of your bank? In the second half of the year, our bank's asset-liability allocation is still focused on increasing credit and reducing the size of the same industry. it is expected that there will be an additional 6 billion yuan in the second half of the year, and the allocation will still be dominated by small, micro and personal loans. In the process of retail transformation, the structure and quality of our company's business are also constantly improving and improving. In the first half of the year, the loan balance of our company was 98.452 billion yuan (including discount), an increase of 7.45 billion yuan or 8.19% over the beginning of the year. By the end of August, the loan balance had increased by about 1.5 billion yuan compared with the end of June, and the investment will be further strengthened in the fourth quarter, with a net increase of more than 7 billion yuan for the whole year. Large loans accounted for 30.20 percent, down 2.65 percent from the beginning of the year, and are expected to reach less than 30 percent by the end of the year. First, fully support the real economy. We closely follow the guidance of regulatory policies, increase product and service innovation, optimize business audit processes, focus on serving the real economy, and enhance the availability of financing for small and micro enterprises. From the perspective of guarantee, the balance of credit loans of our bank in the first half of the year was 20.649 billion yuan, an increase of 7.081 billion yuan or 52.19% over the beginning of the year, accounting for 15.32%, which was higher than the average growth rate of various loans. Of this total, manufacturing credit loans totaled 1.594 billion yuan, an increase of 602 million yuan over the beginning of the year, accounting for 19.55 percent of all manufacturing loans. In the second half of the year, with the introduction of a series of related products and policies of our bank, the efforts to support entities, manufacturing and small and micro enterprises will be further strengthened. The second is to promote business transformation in an orderly manner. We actively promote the construction of industry banks, formulate industry comprehensive financial service plans according to the characteristics of customers' regional industrial clusters, explore business opportunities according to the pain points of the industry, take customers as the center, coordinate and coordinate multiple lines of public business, and continue to improve the competitiveness of customers. The third is to take the initiative to adjust the focus of business. Our bank continues to promote the continuous decline of business and guide the gradual transformation of corporate credit from the old standard to the new standard, that is, giving priority to loans of less than 3 million, actively putting in loans between 3 million and 5 million, steadily putting in loans between 5 million and 10 million, and prudently putting in loans between 10 million and 20 million. Pratt & Whitney Finance has a clear business orientation, taking individual industrial and commercial households, small and micro enterprises, private enterprises and agriculture-related loans as the main customer group, actively investing 2 million of the loans., Focus on marketing about 500000 of customers. Fourth, the rapid development of green finance. Our bank supports green and low-carbon development and promotes harmonious symbiosis between human and nature from the aspects of corporate governance, policy system, product innovation, financial science and technology, internal control management, capacity building and so on. By the end of the first half of the year, the balance of our green loans was 8.935 billion yuan, an increase of 83%, which was 6.9 times the growth rate of various loans. Our bank issued its first ESG report in April 2021, which is the first case of a national agricultural bank. Recently, our bank formally signed and adopted the principles of responsible Banks of the United Nations, becoming the tenth commercial bank in China to sign PRB. At the same time, our bank also won the honor of "Top Ten Outstanding institutions of Green Finance in Jiangsu Province". In the second half of the year, our bank will further introduce perilla carbon finance, green bills and other related green products, and vigorously develop green finance.
3. What are your plans for expanding non-interest income? In order to effectively promote the high-quality development of the bank, our bank is making great efforts to build a new development system and speed up the expansion of intermediary business income on the basis of strengthening the main credit business. On the whole, our bank will firmly promote the construction of a new pattern of transformation and development through the two-wheel drive of community banks and wealth management banks. In the aspect of community bank building, our bank puts forward the brand strategy of "purple gold to home". Through the four dimensions of Zijin products to home, service to home, finance to home and social to home, combined with offline and online network upgrading and scene building, promote financial attributes with the attribute of social responsibility, and comprehensively create a unique community ecosystem of offline outlets. Fully realize the strategic vision of "Zijin to home, to Zijin is to go home". In terms of the promotion of wealth management, we closely revolve around the business concept of "customer-centered", strengthen the construction of wealth team, build a three-tier wealth system of "VIP customers-wealth customers-private bank customers", form a customer hierarchical management model of "network lobby manager-branch financial manager-head office private banker", and improve the mechanism of professional division of labor and overall planning in the retail section. Improve the fine management ability of the retail customer base and the comprehensive service ability of the wealth team. At the same time, Jili product innovation, ensure the supply of wealth products, benchmark advanced banks, continue to carry out product innovation and process optimization, lengthen the product line, and constantly increase the supply of private exclusive products, financial management, funds, precious metals, insurance and other products to meet the diversified needs of customers.

Zijin Bank's main business: absorbing public deposits; issuing short-term, medium-term and long-term loans; handling domestic settlement, bill acceptance and discount, agent issuing, acting payment, underwriting government bonds, buying and selling government bonds and financial bonds; engaged in interbank lending; engaged in bank card business, acting receipt and payment and insurance business, providing safe deposit box services Foreign exchange deposits, foreign exchange loans, foreign exchange remittance, foreign currency exchange, international settlement, acceptance and discount of foreign exchange bills, foreign exchange guarantee, foreign exchange interbank lending, credit investigation, credit and witness business, foreign exchange settlement and sale business, fund sales business, other businesses approved by the banking regulatory body. (projects subject to approval according to law shall be approved by relevant departments before business activities can be carried out.)

According to the 2021 report of Zijin Bank, the company's main income was 2.111 billion yuan, down 14.4% from the same period last year; the net profit was 749 million yuan, up 2.72% from the same period last year; the non-net profit was 735 million yuan, up 4.81% from the same period last year; the debt ratio was 93.28%, and the investment income was 116 million yuan.