Mr. Wang Peihua and Mr. Ming Guoqing, both are current supervisors of the Haier Smart Home Co., Ltd., have retired. According to their applications, they will no longer hold any position in the Company after new supervisors are elected at the shareholder's general meeting of the Company. The Company would like to extend its heartfelt due to Mr. Wang Peihua and Mr. Ming Guoqing for their contributions to the Company during their tenure as the supervisors of the Company. To ensure the normal operation of the Board of Supervisors, pursuant to the relevant requirements of the Companies Law of the People's Republic of China and the Articles of Association of the Company, Mr. Liu Dalin (``Mr. Liu'') and Ms. Ma Yingjie (``Ms. Ma'') are nominated as supervisors, whose terms of service are in line with the tenth session of the Supervisory Committee.