Huabao Flavours & Fragrances Organized Theme Training of Prevention and Control of Insider Trading, Normative Use of Raised Funds and Internal Control May 22nd, 2019

In order to implement the requirements of the board of directors on strengthening the prevention and control of insider trading and improving the standard operation of the Company, Huabao Flavours & Fragrances Co.，Ltd. (the “Company”) organized the all-day theme training on the prevention and control of insider trading, the normative use of raised funds and internal control on May 22^nd, 2019.

The training was led by the board of directors, and the heads of relevant business of Zhong Lun Law Firm, PricewaterhouseCoopers Zhongtian Certified Public Accountants Co., Ltd. and Zheshang Securities Co., Ltd., have been invited to give lectures, and the company leaders, responsible persons of various functional departments, and related personnel of the department attended the training. Our parent company Huabao International Holdings Ltd., as well as the head of our main subsidiaries and related personnel, participated in the training through remote access.

Zhong Lun Law Firm was conducting the training themed by prevention and control of insider trading

PricewaterhouseCoopers Zhongtian Certified Public Accountants was conducting the training themed by fundraising management

Zheshang Securities Co., Ltd. was conducting the training themed by continuous supervision of raised funds

Through this training, the participants further strengthened their understanding of the elements of insider trading, the administrative penalties faced by insider trading, and the civil and criminal liability, and enhanced awareness of taking the initiative to prevent insider trading. The participants’ in-depth study of the relevant regulations on the normative use of raised funds helps further improve the Company's standard operating level.