Dear all leaders, colleagues, partners, friends from all walks of life,

Golden rooster in delight bid farewell to the old year. Looking back on 2017, with the strong support of all levels of party committees, governments and friends from all walks of life,         all colleagues forge ahead, work together. ROYALSTAR Electronics Group achieved remarkable success and wrote a new national brand chapter! Jade dog was presented to the New Year, welcome 2018, we will embark on a new journey. Here, on behalf of all employees of ROYALSTAR Electronics Group, I would like to extend my warmest regards and my heartiest thanks to all levels of leaders, colleagues, partners and friends from all walks of life who have long cherished, supported and helped to develop the Group. Happy New Year to you and your family, good health, whole family happiness!

Every day, we are recording history; every day, we are creating history. In the reports of 19th National Congress of the Communist Party of China, General Secretary Xi pointed out that the major social contradictions in our country have been transformed from the contradiction between the ever-growing material and cultural needs of the people and the backward social production into the people's growing and beautiful life needs and imbalances the contradiction between inadequate development. Royalstar, the production of traditional home appliances products business, transforms into the smart home industry, IT companies. It is precisely the embodiment of the General Secretary's important conclusion .

Time and tide wait for no man, only seize the day. The forthcoming 2018 is the 65th anniversary of ROYALSTAR'S birth. Sixty-five years, ROYALSTAR from more than a dozen artisans composed of metal turning sand production cooperatives in Hefei, to the end of last century swept the country, "ROYALSTAR, the tide of the times", to today's ROYALSTAR that strives to create a new era of intelligent home ownership system. Though ROYALSTAR experiences several transformations, it has not changed: it is the unswerving pursuit of all our ROYALSTAR people who are committed to the real economy, who are brave and courageous and dedicate to improve the quality of life of their people.

The situation is moving from the heart. Dear leaders at all levels, colleagues, partners, friends from all walks of life, in the past year, ROYALSTAR takes mass entrepreneurship and innovation as the core, has made a series of major achievements, has been named The National Mass Entrepreneurship and Innovation Demonstration Base, The Demonstration Projects Unit of The Mass Entrepreneurship and Innovation Platform in the manufacturing industry and The National Industrial Tourism Demonstration Base. It has achieved high recognition by the party committees and governments at all levels of the central, provincial, municipal and county levels in various fields. We all know that these achievements can not be achieved without the trust and support of all of us as always and the understanding and dedication of everyone without complaint. Here, please allow me to express my heart-felt gratitude to you all once again. Thank you!

Flowers bloom all over the road, the prospect is even more encouraging. Dear friends, in the future, we will, as always, uphold the service philosophy of "Red Carpet +", the philosophy of "new peace business" and the management concept of "zero defect". Focusing on the smart home system through technology integration, business integration and service integration to realize the vision of smart life and participate in global competition. Let us work together to forge ahead in the power of inheritance, "innovation-driven, industry serve the country," the spirit of ROYALSTAR. Let us always side by side, cast greater glory so that the Chinese-style ROYALSTAR brand carries far-reaching national culture connotation swept the world and sings the strong era tone onational rejuvenation!

Finally, I wish you and your family a chance to flourish in the new year.

Sincerely

Pan Baochun, Chairman

December 31, 2017