Aeolus Tire Threw away Burdens Through Assets Adjustment

Aeolus Tire Co., Ltd. successively released 14 announcements on December 3, 2018 for two big news on assets operation so as to throw away the huge burdens to the business development and make the future development of the company easier.

Firstly, it is the overall share transfer of Yellow Sea Rubber Company. By signing a Share and Debt Transfer Agreement with Qingdao Yellow Sea Rubber Co., Ltd., Aeolus Tire sold its 100% shares of Yellow Sea Rubber at the price of 80.076 Million Yuan to the latter and the state of business of Yellow Sea Rubber would no longer be included in the financial reports of the listed Aeolus Tire Company. After that, Aeolus Tire declared that it was entrustedwith the daily management of Yellow Sea Rubber and Yellow Sea Group would pay it 500 Thousand Yuan as trustee fee every 6 months. This trusteeship expires at October 31, 2019. Through this transfer of ownership of Yellow Sea Rubber, Aeolus Tire greatly improves its asset structure and boosts its profitability.

Secondly, it is the termination of trusteeship of Guilin Beili Tire. The board of directors of Aeolus Tire all agreed to sign the Agreement on Termination of Trusteeship of Shares with China National Tire & Rubber Co., Ltd., indicating that it would not be responsible for the trusteeship of 100% shares of Guilin Beili Tire Co., Ltd. nor the operating management of this company in the future.