Yantai North Andre Juice : Environmental, Social and Governance Report 2016

YANTAI NORTH ANDRE JUICE CO.,LTD.

(a joint stock limited company incorporated in the People's Republic of China)

( Stock Code: 02218)

A Professional Concentrated Juice Manufacturer

Environmental, Social and Governance Report 2016

Environmental, Social and Governance Report

In recent years, enterprises around the globe have been experiencing an unprecedented environmental and social transformation. Amid escalation of global resources distribution, rapid growth of population and improvement of living standards, green and healthy food has become people's constant pursuit, which in turn promises vast development potential for pure natural apple juice market.

As a leading enterprise in the apple juice concentrate market in China, Yantai North Andre Juice Co., Ltd.* (the "Company") has its manufacturing bases situated in Shandong, Jiangsu, Liaoning, Shaanxi, Shanxi, Sichuan and other provinces. The Company acknowledges that protecting environment and performing social responsibility shall be the fundamental obligations of agricultural products processing enterprises. Meanwhile, it is firmly believed that the sustainable development of the Company also relies on efforts and dedication of its staff as well as the social support and inclusion.

By adherence to the product philosophy of "From Nature to Concentrate" ("源於自然 濃縮 精華"), the Company's engagement in manufacturing and sales of apple juice concentrate, pear

juice concentrate, bio-feed stuff and related products is closely related to environmental protection and utilization of natural resources. Therefore, the Company has established a series of policies and measures for administering environmental and natural resources protection regarding energy, water, production materials, use of manpower and disposal of emissions, demonstrating its commitment to making contribution to the sustainable development of China and the world as a whole and fulfilling the social responsibility at different operation levels. Further details of the environmental and natural resources protection policies and measures of the Company are set out in sections below.

This Environmental, Social and Governance Report (the "Report") is prepared according to the ESG Reporting Guide issued by The Stock Exchange of Hong Kong Limited (the "Stock Exchange"), containing the measures in respect of environment, society and governance adopted by the Company and its subsidiaries and the progress thereof during the period from 1 January to 31 December 2016.

The board of the Company (the "Board") has reviewed and approved the Report, and will continue to perform its duties in supervision, reporting and improvement of the related responsibilities. Besides, the Board would like to express its sincere appreciation to all the persons who make contribution to the Report and the Company's outstanding performance in environment, society and governance.

* For identification purpose only

Environmental, Social and Governance Report 2016 1

Environmental, Social and Governance Report

For any advice or suggestion on the Report, please feel free to contact us by the following means: Yantai North Andre Juice Co., Ltd.*

The principal place of business in Hong Kong: Unit A, 10/F, Winsan Tower,

98 Thomson Road, Wanchai, Hong Kong

Tel: (852) 2511-6988

Fax: (852) 2587-9166

Email: andrehk@northandre.com

* For identification purpose only

2 Yantai North Andre Juice Co., Ltd.

Corporate Culture and Honor

As an agricultural products processing enterprise, the Company has been insisting on its own corporate culture which attaches great importance to environmental and social responsibilities. Through proactive cooperation with relevant industrial associations and government, the Company is enabled to take the leading position in development of the industry. Numerous prizes and honors obtained by the Company reflect the market recognition of the Company's performance in corporate governance, investor relation as well as social and environmental responsibilities.

Environmental, Social and Governance Report 2016 3