Shenzhen Longli Biological Technology Co., Ltd. (hereinafter referred to as "Longli Biological" or "the Company") held the ninth meeting of the fourth board of directors and the seventh meeting of the fourth supervisory board on April 28, 2020, where it reviewed and approved the proposal on the renewal of the audit institution for the 2020 fiscal year, agreeing to reappoint Lixin Certified Public Accountants (Special General Partnership) (hereinafter referred to as "Lixin") as the audit institution for the Company's 2020 financial report. This matter is subject to approval by the Company's shareholders' meeting, and the relevant matters are announced as follows:
1. Explanation of the Proposed Appointment of the Accounting Firm
Lixin has qualifications for securities and futures-related business and possesses rich experience and strong professional service capabilities in providing high-quality audit services to listed companies for many years. As the Company's long-term audit institution, it can diligently fulfill its audit responsibilities and objectively evaluate the Company's financial status and operating results through the implementation of audit work, independently issuing audit opinions. According to the Company Law of the People's Republic of China and the Articles of Association, the Company intends to renew Lixin as the audit institution for the 2020 financial report for a term of one year. The Company will negotiate the audit fees for 2020 with Lixin based on the audit scope and workload, referring to relevant regulations and standards, and according to market conditions. The Company and all members of the board guarantee that the information disclosed is true, accurate, and complete, with no false records, misleading statements, or significant omissions.