::HaiViet Corporation:: 
Tuesday, 20 October 2020

Shareholder Information

WELCOME TO haiviet CORPORATION!
Chapter IV. FINANCIAL STATEMENTS AND PROFIT DISTRIBUTION
Article 53 The company's fiscal year

The company's fiscal year starts on the 01st of January and ends on 31st of December of calendar year. The first fiscal year of the company begins from the date on which the company is granted a certificate of business registration and ends on the last day of that year.

Article 54 Accounting books of the Company

The company must open accounting books, accounting records, invoices and documents relating to the operation of the Company under the provisions of law.

The retention or removal of accounting books, accounting records, invoices and documents relating to the operation of the Company shall comply with the provisions of law.

Article 55 Submission of annual reports

1. At the end of a fiscal year, the Board of Management must prepare the following reports and documents:

(a) Report on the business situation of the company;

(b) Financial statements;

(c) Reports on the evaluation of the management and administration of the company.

2. Where it is required by laws that the company must be audited, the annual financial statements of the company must have been audited before submission to the General Assembly of Shareholders for consideration and approval.

3. The reports and documents stipulated in clause 1 of this article must be sent to the Inspection Committee for evaluation no later than thirty (30) days before the opening day of the annual meeting of the General Assembly of Shareholders.

4. Reports and documents prepared by the Board of Management; evaluation reports of the Inspection Committee and audited reports must be available at the head office and branches of the company no later than seven working days prior to the opening day of the annual meeting of the General Assembly of Shareholders unless otherwise stipulated in the charter of the company.

A shareholder owning shares of the company for at least one consecutive year shall have the right to directly review the reports stipulated in this article in a reasonable period of time by himself or herself or together with a lawyer or an accountant or auditor having a practicing certificate.

Article 56 Audit requirements

Where it is required by laws that the company must be audited, the annual financial reports must be audited and verified by an independent auditing organization before submitting to the General Assembly of Shareholders for their consideration and approval.

Article 57 Profit distribution

The company's net profit in the year consists of income of the year minus total expenses and taxes.

The company shall appropriate Compulsory-Reserved-Fund of 5% of net profits which is for the capital development and adding to the capital until the fund is equal to 10% of charter capital of the Company.

Net profit remaining after deduction of the Compulsory-Reserved-Fund is used as follows:

- Appropriation of Business-Development-Fund at a rate of no greater than 35%;

- Appropriation of Welfare-Reward-Fund at a rate of no greater than 20%;

- The net profit remaining after the appropriation of the above stipulated funds used to pay dividends to shareholders.

The rate of appropriation for Business-Development-Fund and Welfare-Reward-Fund shall be decided by the General Assembly of shareholders at annual meetings. The General Assembly of shareholders may authorize the Board of management to decide the rate of net profits distributed to shareholders of the Company and the appropriation of funds of the Company before submission to the General Assembly of Shareholders.

Article 58 Payment of dividends

1. The company may only pay dividends to shareholders when the company has fulfilled its tax obligations and other financial obligations in accordance with laws; has appropriated all funds of the company and fully covered previous losses in accordance with laws; and upon payment of all intended dividends, the company is still able to satisfy its debts and other property obligations which become due.

2. The Board of Management shall prepare a list of shareholders to be paid dividends and determine the rate of dividend paid for each share and the time-limit and method of payment no later than thirty (30) days prior to each payment of dividends.

3. The notice on payment of dividends must be sent by a method guaranteed to reach the registered addresses of all shareholders no later than fifteen (15) days prior to the actual payment of dividends. The notice must specify the name of the company; full name, permanent address, the number of shares of each class held by such shareholder, the dividend rate for each share and the total dividends to be paid to such shareholder, and the time and method for payment of dividends;

4. Where shares are assigned between the completion of the list of shareholders and the time of payment of dividends, the assignor shall receive dividends from the company.

5. If dividends are not paid conforming to the provision of clause 1 of this article, all shareholders must return to the company the dividends received; if the shareholders do not return the wrongly-paid dividend to the company, those shareholders and members of the Board of management must resume joint-responsibility for debts of the company.

Article 59 Public disclosure of information about the company

1. Within a limit of 90 days from the ending date of the fiscal year, the companies must submit annual financial reports as approved by the General Assembly of Shareholders to competent tax bodies and business registration agency.

2. In addition to annual financial report as stipulated above, the company shall also be liable for submitting other documents to the business registration agency as it request.

3. A summary of annual financial reports must be notified to all shareholders.