002359SZSE

Announcement on Provision for Asset Impairment

Beixun Technology Co., Ltd.··3 pages

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Northcom Group Co., Ltd. announces its provision for asset impairment for 2020, totaling RMB 357.17 million. This includes goodwill impairment of RMB 300 million, impacting net profit. The board deems the provision reasonable and reflective of the company's asset status.

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Northcom Group Co., Ltd. Northcom Group Co.,Ltd. Stock Code: 002359 Stock Abbreviation: Beixun Tui Announcement Number: 2021-041

Northcom Group Co., Ltd. Announcement on Provision for Asset Impairment

The Company and all members of the Board of Directors guarantee the content of the information disclosed is true, accurate, and complete, and that there are no false records, misleading statements, or material omissions.

Northcom Group Co., Ltd. (hereinafter referred to as the "Company") held its 28th meeting of the Fifth Board of Directors on June 25, 2021, and reviewed and approved the "Proposal on Provision for Asset Impairment in 2020". The details are as follows:

I. Overview of the Current Provision for Asset Impairment

In accordance with the "Guidelines for the Regulation of Listed Companies," "Enterprise Accounting Standards," and other relevant regulations, to truthfully and accurately reflect the Company's operating results for 2020 and the value of its assets as of December 31, 2020, based on the principle of prudence, the Company has made provisions for impairment of relevant assets within the scope of the consolidated financial statements for the 2020 financial report.

II. Approval Procedures for the Company's Provision for Asset Impairment

The proposed provision for asset impairment has been reviewed and approved by the 28th meeting of the Fifth Board of Directors of the Company, which agreed to the provision for asset impairment.

III. Details of the Current Provision for Asset Impairment

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