The operating philosophy of Inner Mongolia Simon Group Co., Ltd.

For more than ten years, Simon Group has always adhered to the corporate development strategy of "coal-based, diversified development, technology-based enterprises, and mechanism innovation", and various industries have shown healthy and rapid development.

Coal is the founding industry, basic industry and pillar industry of Simon Group. The group company has a well field area of ??nearly 100 square kilometers and total coal reserves of 2.5 billion tons. There are currently 2 coal mines in production, with an annual production, transportation and sales of more than 6 million tons of coal, and 1 coal mine under construction, with a designed annual production capacity of 7.2 million tons. The company has a nationally configured key railway transport capacity plan of 2 million tons, has container stations at major coal shipping stations in the autonomous region, and has land and water transfer offices in Tianjin Port, Qinhuangdao Port, Jingtang Port and other places, forming a network covering Northeast and North China. Coal marketing network in , East China, South China and other places. The group company has always adhered to the "people-oriented" business management philosophy, attaches great importance to production safety, and established a long-term safety mechanism. Since its establishment, the company has never had a major safety accident. From 2005 to 2009, it was rated by the All-China Federation of Trade Unions for five consecutive years. , the State Administration of Work Safety was named "Ankang Cup Competition Winning Enterprise". The comprehensive strength of the coal industry ranks among the top 100 coal enterprises in the country, and it is one of the 30 key coal enterprises in the autonomous region. In addition, the group also participated in the construction of the new Baoshen Railway with a total investment of 6 billion yuan.

The coal chemical industry sector is the extension and development of the coal industry. In 2005, the group company completed the project establishment of a coal-to-methanol project with an annual output of 1.2 million tons. The project has a total investment of approximately 9.5 billion yuan and is scheduled to be completed by the end of 2013. At present, the first phase of the 600,000 tons/year methanol project has been officially launched. The total investment is expected to be 3.5 billion yuan. It is planned to complete the plant construction infrastructure by the end of 2010. After it is put into operation, it can achieve an annual output value of 5 billion yuan and an annual profit and tax of 2 billion yuan. After the project is completed, it will be of great significance for innovating the development model of circular economy, extending the industrial chain, exploring new industrialization paths with good national industrial policies, economic and social benefits, and driving the rapid development of the local economy. In addition, the "Simon Lanende" brand series organic compound fertilizer project independently developed by the group company, using weathered coal as raw material and extracting humic acid as the core technology, was designated as a "National Torch" by the Ministry of Science and Technology in May 2004. Plan Project". The "Simon Lan Ende" trademark has passed ISO9001:2000 international quality management system certification and ISO14001:1996 international environmental management system certification. "Simon Lanende" brand humic acid compound fertilizer was rated as "Recommended Product at the Sixth National Fertilizer Information Exchange and Product Fair"; in 2005, it was rated as "Recommended Fertilizer for Pollution-free Product Production" by the National Agricultural Technology Extension Service Center Product"; and was recognized as a key protected brand of "Integrity and Rights Protection" by the Anti-Counterfeiting and Rights Protection Center of "China Quality Journey". The company was also rated as "Inner Mongolia Scientific and Technological Innovation Demonstration Enterprise" by the Inner Mongolia Productivity Promotion Center; in 2005 and 2007, it won the "Best Enterprise" award in the "Wujin Cup" selection event of the humic acid industry for two consecutive years. At present, the products have been sold well in 12 provinces and autonomous regions in China, and exported to South Korea, Pakistan and other places.

Investing in the aviation industry is a major measure taken by Simon Group to respond to the country’s western development strategy and achieve diversified development. In 2003, the group established Ordos General Aviation, one of the largest private general aviation companies in my country. The company currently has 10 Y-5-B aircraft and two Y-12 aircraft. It is a national Class A qualified general aviation enterprise and ranks third among general aviation enterprises in the country. Since its operation, the General Aviation Company has completed nearly 10,000 hours of flight missions, covering an area of ??more than 20 million acres of aerial seeding and pest control operations. It has achieved good economic and social benefits and has been highly praised by local governments, civil aviation and the air force. In 2005, the group company invested 200 million yuan and took the initiative to undertake the construction and operation of Ordos Airport. This was the first civil aviation airport in the history of my country's civil aviation that was self-built and independently operated by private capital. In the next step, the group will rely on the successful experience of general aviation companies and airport construction to gradually develop regional aviation, pilot schools, helicopter equipment manufacturing, aerial surveying and mapping, air tourism and other aviation industries to create a larger aviation industry cluster.

Hohhot Lanende Real Estate Co., Ltd. is a wholly-owned subsidiary of Simon Group. Although it started late, it has developed rapidly. In recent years, with the continuous real estate boom in Hohhot, Baotou, and Hubei, real estate development will surely become another pillar industry of the group. In 2009, the group controlled the establishment of Inner Mongolia Simon Nairen Real Estate Co., Ltd. The existing Handing Optoelectronics project is located in the Ruyi Development Zone with the most development potential in Hohhot City. The project covers an area of ??290,000 square meters and a construction area of ??nearly 600,000 square meters. meters, it is composed of multiple independent commercial entities, independent multi-functional office buildings and finely decorated apartments. It is divided into three functional groups: "themed commercial shopping area", "business office area" and "residential living area". It is a collection of modern commercial, A multi-functional building group integrating science, technology, economy, business office, living and residence, fashion and leisure, the project is expected to be fully completed and delivered for use in December 2011. In recent years, as the real estate boom in Hunan, Baotou and Hubei continues, real estate development will surely become another pillar industry of the group.

The quasi-financial industry is an emerging industry for the group to transform its economic growth model and improve the efficiency of capital use. In September 2007, the group invested 100 million yuan to establish Dacheng Investment Guarantee Company, which is mainly engaged in financing guarantee business. At the end of the same year, with the approval of the financial offices of the autonomous region and Hohhot City, Simon Small Loan Company was established, becoming the first batch of small loan pilot units in the autonomous region and one of the earliest small loan companies established in the autonomous region. At present, the small loan company has a registered capital of 200 million yuan. It has established two branches in Baotou and Ordos, and holds a subsidiary in Tongliao. The company's main customer groups are farmers, herdsmen, individual industrial and commercial households, and micro-enterprises. After two years, Through many operations, the company has accumulated more than 1,000 customers, issued a total of 500 million yuan in loans, and solved employment problems for more than 1,000 people. Microfinance companies will continue to increase their outlets, accumulate customers, and prepare for their eventual development into commercial banks. In addition, the group has also invested in financial institutions such as Bank of Inner Mongolia and Ordos Commercial Bank.

With high-end electronic engineering technology as its trump card, Eilko Industry and Trade Co., Ltd. is mainly engaged in a series of electronic projects such as network integration with computer technology as the core, CCTV closed-circuit television projects, and road toll projects. , and is also engaged in website construction, software development and other businesses. In the past few years, it has developed "Container Station Bill Management System", "Coal Bill Management Software System" and "Office Automation OA Software System" for coal enterprises. It was appointed as a "Science and Technology Demonstration Enterprise" by the Autonomous Region Science and Technology Commission. Its independently developed " The "Coal Networked Sales Management System" was also rated as "the first scientific and technological achievement to be successfully applied" by the autonomous region.

The taxi industry is a window for establishing the group's image and enhancing its popularity. In 2009, the group obtained the qualification to operate 167 taxis in the capital city of Hohhot through public bidding. Since its establishment, the taxi company has followed the development strategy of "building a brand and repaying society" and adhered to the business philosophy of "winning the market with brand and uniting employees with true feelings". It has taken advantage of its scale to achieve scientific and refined management, and all operating vehicles have unified names. , unified identification, unified management and unified service standards. With the care of the government and all walks of life, after nearly a year of operation, the company has established the core corporate value of "'Simon Taxi' makes you more satisfied", and its brand reputation has continued to improve. The company will gradually build a comprehensive operation service enterprise focusing on taxi services, supporting business etiquette car rental services, car washing and inspection services, and coordinated development of related industries. The non-ferrous metal exploration industry is responsible for the Group's reserve of follow-up resources. In 2007, after a public auction, the group obtained 90 square kilometers of non-ferrous metal exploration rights in Alxa's Black Eagle Mountain, Crescent Mountain and other areas. At present, it has preliminarily identified mineral types with lead-zinc ore and agate mine as the focus of development. After scale development, it will become a new profit growth point for the group. After more than ten years of market competition, Simon people have not only achieved considerable economic benefits, but also achieved gratifying social benefits. Simon Group has established its corporate mission of “serving the country through industry and benefiting society” since its inception, and has actively participated in the Guangcai cause.

In 2003, the group established the "Education Foundation", allocated 6 million yuan of shares from the total share capital, and used all its dividends to support poor students and scientific researchers; in 2005, the group company grandly launched the "True Feedback to Hometown - Poverty Alleviation" "Relief for Poor Farmers" project, a total of 10 million yuan worth of "Simon Lan Ende" brand humic acid organic compound fertilizer will be donated to farmers for free within three years; in June 2007, the group spent another 15 million yuan to donate and build Baotou Simon Primary School in Jiuyuan District has solved the problem of nearly 2,000 local school-age children having difficulty going to school; in 2008, in the process of fighting the Wenchuan earthquake, the group made a one-time donation of 2 million yuan. Over the past ten years, Simon Group has donated more than 50 million yuan worth of money and materials to poverty-stricken areas, Project Hope, the fight against SARS, earthquake relief and other public welfare undertakings.