The Company has established a Remuneration Committee with specific terms of reference which deal clearly with its duties and responsibilities. As at 31 December 2018, the Remuneration Committee had three members, comprising Mr. Wu Feng (Chairman and independent non-executive Director), Mr. Huang Dongliang (independent non-executive Director) and Mr. Zhang Aogen (executive Director).

The terms of reference of the Remuneration Committee follow the guidelines set out in the Code and it is mainly responsible for making recommendations to the Board on the Company’s policy for the remuneration of Directors and senior management.

During the Remuneration Committee meeting, proposal for adjustment of remuneration package for Directors and senior management (“the Proposal”) was reviewed and approved by the Remuneration Committee and the Proposal was proposed to the Board for approval. The Proposal was approved by the Board.