The board of directors of Beijing Jingcheng Machinery Electric Company Limited has recently received the written resignation letter tendered by Mr. Yang Xiaohui, an independent non- executive director of the Company. Due to job changes, Mr. Yang Xiaohui is no longer qualified to be an independent non-executive director of the Company. He tendered his resignation from the positions of independent non-executive director and the chairman of the audit committee of the board. Upon his resignation taking effect, Mr. Yang Xiaohui will no longer hold any position in the Company. Before the resignation takes effect, Mr. Yang Xiaohui will still perform the duties of an independent non-executive director and the chairman of the audit committee of the board in accordance with relevant laws and regulations and various rules and regulations of the Company.