Important Statement
According to the regulations of the enterprise internal control standard system, establishing, improving, and effectively implementing internal controls, evaluating their effectiveness, and truthfully disclosing the internal control evaluation report is the responsibility of the company's board of directors. The management is responsible for organizing and leading the daily operation of internal controls. The board of directors, directors, and senior management guarantee that the content of this report does not contain any false records, misleading statements, or significant omissions, and they bear individual and joint legal responsibility for the truthfulness, accuracy, and completeness of the report's content. The goal of the company's internal control is to reasonably ensure that management is legal and compliant, assets are secure, financial reports and related information are true and complete, operational efficiency and effectiveness are improved, and development strategies are promoted. Due to the inherent limitations of internal controls, they can only provide reasonable assurance of achieving the above goals. Furthermore, changes in circumstances may render internal controls inappropriate or reduce compliance with control policies and procedures, which carries certain risks in inferring the future effectiveness of internal controls based on evaluation results.
Internal Control Evaluation Conclusion
Based on the identification of significant deficiencies in financial reporting internal controls, as of the internal control evaluation report benchmark date, there are no significant deficiencies in financial reporting internal controls; based on the identification of significant deficiencies in non-financial reporting internal controls, as of the internal control evaluation report benchmark date, the company has not identified any significant deficiencies in non-financial reporting internal controls. No factors affecting the evaluation conclusion of internal control effectiveness have occurred between the internal control evaluation report benchmark date and the issuance date of the internal control evaluation report. The board of directors believes that the company has maintained effective internal controls in all significant aspects according to the requirements of the enterprise internal control standard system and related regulations, with no significant internal control deficiencies identified.
Internal Control Evaluation Work Situation
(1) Scope of Internal Control Evaluation
The company has determined the main units, businesses, and matters included in the evaluation scope based on a risk-oriented principle, as well as high-risk areas. The main units included in the evaluation scope comprise the company and all wholly-owned subsidiaries, with the total assets of the included units accounting for 100% of the total assets in the consolidated financial statements, and the total operating income accounting for 100% of the total operating income in the consolidated financial statements. The main businesses and matters included in the evaluation scope are as follows:
- Main businesses include third-party logistics for bulk and oversized (special) goods, supply chain management, logistics park operations, international air logistics, international railway logistics, multimodal transport, warehousing services, logistics information system development, and property leasing.
- Main matters include organizational structure, social responsibility, human resources, corporate culture, asset management, accounting system management, contract management, information system management, and internal auditing. High-risk areas of focus mainly include financial management, significant investments, information disclosure, related party transactions, and external guarantees.