Securities code: 600237 Securities abbreviation: Tongfeng Electronic Number: Lin 2020-031

Suggestive Announcement of Anhui Tongfeng Electronic Co., Ltd. on the court ruling accepting bankruptcy liquidation of the controlling shareholder

The Company and all members of the Board of Directors warrant that the information disclosed is true, accurate and complete, and that there is no false record, misleading statement or material omission.

I. Bankruptcy of the controlling shareholder

Anhui Tongfeng Electronics Co., LTD. (hereinafter referred to as the "Company") received the Civil Decision No. 6 (2020) Wan 07 from the Intermediate People's Court of Tongling City, Anhui Province on July 2, 2020 from the controlling shareholder Anhui Tongfeng Electronics Group Co., LTD. (hereinafter referred to as the "Tongfeng Group"). The Company has learned that Tongling Guofa Venture Capital Co., LTD. (hereinafter referred to as "Guofa Venture Capital"), a creditor of Tongfeng Group, has applied to the Intermediate People's Court of Tongling City, Anhui Province for bankruptcy liquidation of Tongfeng Group on the grounds that Tongfeng Group is unable to pay off due debts and obviously lacks solvency. Tongling Intermediate People's Court in Anhui Province accepted the case and ruled as follows: Accept Tongling Guofa Venture Capital Co LTD's application for bankruptcy liquidation against Anhui Tongfeng Electronics Group Co LTD. According to the decision No. 2 of Wan 07 of the Intermediate People's Court of Tongling City, Anhui Province, the Intermediate People's Court of Tongling City has appointed Anhui Jingwang Law Firm as the manager of Tongfeng Group.

On July 3, 2020, the Company received a letter from Guofa Venture Capital, the applicant for the bankruptcy liquidation of Tongfeng Group, to Tongfeng Group. The letter informed that, as the applicant for the bankruptcy liquidation of Tongfeng Group, Guofa Venture Capital will actively promote the bankruptcy reorganization of Tongfeng Group under conditions, given that Tongfeng Group is a leading private enterprise in Tongling City and a representative enterprise of the Copper-based new material industry. Registered in No. 1258, West Section of Cuihu 2nd Road, Tongling City, Anhui Province, Guofa Venture Capital is a limited liability company (wholly state-owned), which is 100% controlled by the Management Committee of Tongling Economic and Technological Development Zone.

On the same day, The Company has received the minutes of Tongling Municipal Government's special meeting on debt risks and bankruptcy reorganization of Tongfeng Group, which pointed out that in view of the current serious insolvency of Tongfeng Group and the fact that the Intermediate People's Court of Hefei City, Anhui Province has conducted judicial auction on the shares of Tongfeng Electronics held by Tongfeng Group, in order to implement the "six stability" and "six protection" of the central, provincial and Municipal governments, and prevent and resolve For the decision and deployment of major risks, all relevant units should cooperate to actively and prudently deal with the debt risks of Tongfeng Group, and jointly do the related work of the bankruptcy reorganization of Tongfeng Group.

Ii. Impact analysis

1. At present, the bankruptcy reorganization of Tongfeng Group is only a preliminary arrangement, and no specific plans and schemes have been introduced. The success of the bankruptcy reorganization is still uncertain. The Company will pay attention to the progress of the above matters and fulfill the information disclosure obligations in a timely manner in accordance with relevant laws and regulations.

2. As of the disclosure date of this announcement, it has been verified that the Company and Tongfeng Group have infringed on the interests of the listed company through no more than operational fund transactions, non-operational fund occupation, illegal guarantees and abnormal asset transactions.

3. As of the disclosure date of this announcement, Tongfeng Group holds a total of 94,561,280 shares of the Company, accounting for 16.76% of the total share capital of the Company. The proportion of the shares it holds in the Company that are pledged accounts for 99.94% of its total shares, and the proportion of the shares that are frozen by the judicial system and frozen on waiting list accounts for 100% of its total shares. Whether the subsequent disposal of the bankruptcy of Tongfeng Group will cause the change of the actual control of the company is still uncertain.

4. As a different entity from Tongfeng Group, the Company has independent and complete business and self-management ability, and is independent from the controlling shareholder in terms of business, personnel, assets, institutions and finance. The bankruptcy procedure of Tongfeng Group will not affect the production and operation of the company. The current production and operation situation of the company is normal.

3. Other tips

1. Since Tongling Intermediate People's Court has accepted the applicant's application for bankruptcy liquidation of Tongfeng Group, The scheduled public auction of 18 million shares of the Company held by Tongfeng Group on the judicial auction network platform of Taobao.com from July 7 to 8, 2020 has been suspended on Taobao.com (see the relevant announcement of the Company on the designated information disclosure media on June 5, 2020 for details about the auction).

2. The Company's designated media for information disclosure are China Securities Journal, Shanghai Securities Journal, Securities Daily, Securities Times and the website of Shanghai Stock Exchange (www.sse.com.cn). The information released by the company shall be subject to the information disclosed in the above designated media.

This is to announce.