2016 Document No. 2 for the Annual General Meeting

Dalian Refrigeration Co., Ltd.

Supervisory Board 2016 Annual Work Report

Dear Shareholders:

Now, the company’s Supervisory Board 2016 The annual work report is submitted to the Shareholders’ Meeting for your review and approval.

I. Status of the Supervisory Board Meeting

2016 In the year, the company’s Supervisory Board held nine meetings.

    1 , the 13th meeting of the 6th Session of the Supervisory Board was held on 2016 year 1 month 4 The meeting was held in the company’s fifth-floor conference room. During the meeting, the list of candidates for the seventh session of the Company’s Supervisory Board was reviewed and approved.

    2 , the first meeting of the seventh session of the Supervisory Board was held on 2016 year 1 month 21 The meeting was held in the company’s fifth-floor conference room. During the meeting, Mr. Yu Fuchun was elected Chairman of the Supervisory Board.

    3 , the Second Session of the Seventh Term of the Supervisory Board was held on 2016 year 3 month 29 The meeting was held in the company’s fifth-floor conference room. The meeting reviewed and approved Company 2015 Annual Report on the Work of the Supervisory Board; Regarding 2015 Audit opinions on the annual report; regarding the company 2015 Opinions on the Annual Internal Control Evaluation Report; Regarding the Company 2015 Opinions on the Annual Social Responsibility Report 。

4 , the third meeting of the seventh session of the Supervisory Board was held on 2016 year 4 month 13 The meeting was held in the company’s fifth-floor conference room. During the meeting, the proposal to unlock the first vesting period under the restricted stock incentive plan was reviewed and approved.

5 , the fourth meeting of the seventh session of the Supervisory Board was held on 2016 year 4 month 21 The meeting was held in the company’s fifth-floor conference room. The meeting reviewed and approved About 2016 Written review comments on the first-quarter report for the year.

    6 , the 5th meeting of the 7th Session of the Supervisory Board was held on 2016 year 7 month 5 The meeting was held in the company’s fifth-floor conference room. During the meeting, the reports on using raised funds to replace prior investments and on changing the method of depositing temporarily idle raised funds were reviewed and approved.

    7 , the sixth meeting of the seventh session of the Supervisory Board was held on 2016 year 8 month 25 The meeting was held in the company’s fifth-floor conference room. The meeting reviewed and approved the company’s 2016 Annual and semi-annual reports and their summaries; regarding 2016 Written review comments on the semi-annual report; regarding “Dalian Refrigeration Co., Ltd.” 2016 Proposal on the Draft Restricted Stock Incentive Plan for the Year and Its Summary; Dalian Refrigeration Co., Ltd. 2016 “Management Measures for the Assessment of the Annual Restricted Stock Incentive Plan”; Regarding the Verification of “Dalian Refrigeration Co., Ltd.” 2016 Proposal on the List of Recipients under the Annual Restricted Stock Incentive Plan; Proposal on Using Bank Acceptance Bills to Pay for Funds Required for Projects Funded by Raised Capital and Replacing Such Funds with an Equal Amount of Raised Capital.

    8 , the seventh meeting of the seventh session of the Supervisory Board was held on 2016 year 9 month 20 The meeting was held in the company’s fifth-floor conference room. The meeting reviewed and confirmed the company… 2016 On the grant date of the annual equity incentive plan, verify whether the eligible recipients meet the grant conditions.

    9 , the 8th meeting of the 7th Session of the Supervisory Board was held on 2016 year 10 month 26 The meeting was held in the company’s fifth-floor conference room. The meeting reviewed and approved the matter concerning… 2016 Written review comments on the third-quarter report for the year.

II. Independent Opinion on the Company’s Material Matters

The Supervisory Board hereby expresses the following independent opinion on the following matters:

1 — The company’s compliance with the law in its operations. The company’s decision-making procedures are lawful, and it has established a relatively comprehensive internal control system. During the performance of their duties, the company’s directors and managers have not engaged in any conduct that violates laws, regulations, the company’s articles of association, or that harms the company’s interests.

2 — Financial condition of the company. Shinewing Zhonghe Certified Public Accountants has issued an unqualified audit report. The financial statements faithfully reflect the company’s financial position and operating results.

3、 During the reporting period, the Company formally implemented a non-public offering, and the deposit and use of the raised funds were in compliance with applicable laws, regulations, and the Company’s internal fund-raising management policies.

4 During the reporting period, the company’s related-party transactions primarily involved the procurement of complete-project supporting products from affiliated companies, the sale of supporting components, and joint investments. Such related-party transactions were conducted on a fair basis and did not prejudice the company’s interests.

5 , Company 2016 The annual provision for asset impairment and the write-off of certain fixed assets are in accordance with the actual condition of the assets and relevant policy requirements. The Board of Directors’ decision-making procedures regarding these matters are lawful and conducive to the provision of reliable and accurate accounting information.

6 The Company has established relevant systems for the registration and management of persons privy to inside information and has rigorously implemented these systems in accordance with their requirements. During the reporting period, no directors, supervisors, or senior management personnel engaged in unauthorized trading of the Company’s shares.

Please review the above report.

                                2017 year 5 month 19 day