The shares will resume trading in the morning of 21st.

Absrtact: July 21 News, yesterday evening, Lok Visual Network Information Technology (Beijing) Co., Ltd. issued a duplicate notice, said that the Shenzhen stock Exchange has applied for, the music network will be in the morning of the official resumption of the exchange of transactions. Announcement also disclosed that the set-top box has

July 21 News, yesterday evening, Lok Visual Network Information Technology (Beijing) Co., Ltd. issued a resumption of the announcement, said that the Shenzhen stock Exchange has applied for, the music network will be in the morning of the official resumption of the exchange of trading. Announcement also disclosed that set-top box has accumulated sales of 1.75 million units, the amount of nearly 430 million yuan.

Le View in the announcement said: Le See in the Internet set-top box cooperation does involve the violation, the company is active with CCTV jointly on the Internet set-top box to cooperate with the violation of the problem of rectification, le-View mall has stopped the Internet set-top box sales, the two sides made rectification plan has been completed, and is reported to the regulatory The company will strive to complete the fastest speed rectification, as soon as possible restore set-top box sales.

Le view pointed out that the notice of rectification is only a suspension of the company's set-top box business, the rectification will be completed after the rapid recovery, at present, will not be the company's set-top box business has a greater impact on the company's Super TV and the music of the ecological business model will not affect.

The announcement stressed that "the current policy of the company has formed a platform + content + Terminal + Application" four-tier architecture will not change, the company's business model has not changed. ”

According to the announcement, the company to completely solve the licensing issue, will be active in the radio and television regulatory departments under the guidance of the Independent or joint radio and television system related units to jointly apply for Internet television content license.

It is reported that, because the music in the Internet set-top box to cooperate in the violation, the business by the radio and television regulatory authorities to stop, and then triggered music as the stock fell, Lok as on 18th to apply for temporary suspension of stock

Announcements are as follows:

Lok Vision Network Information Technology (Beijing) Co., Ltd.

Notes on communication and related issues of investor exchange

The company and all members of the Board of Directors ensure that the content of the information disclosure is true, accurate and complete, without false records, misleading statements or major omissions.

Recently, some media appeared about the music Network Information Technology (Beijing) Co., Ltd. (hereinafter referred to as "music network" or "Company") related reports, Shenzhen Stock Exchange to the company to send a letter of inquiry (GEM Inquiry letter "2014" 112th), inquiries, including the occurrence of the background, reasons, progress, policy impact, Related risks, stock transactions, information disclosure, chairman of the overseas work content, etc., the company gave a written reply. The company has issued a clarification notice on the evening of July 17, 2014 (Bulletin No.: 2014-078). To further communicate with investors and protect the interests of investors, the company decided to hold an investor exchange on July 18. In order to ensure the fairness of information and avoid stock price, the company applied for a temporary suspension of shares since July 18.

Company on July 18, 2014 13:00-14:30 in Hongcheng building 17-storey company conference Room held a meeting of investors, the recent media-related reports, the company's chairman Jia Yue Pavilion, Vice Chairman Liu, director Deng Wei, deputy General Manager bin, deputy general manager Lei Zhenjian, Secretary of the Board Queen-size, Liu, general manager of the government Affairs Department, Overseas Division general manager Motritein and other directors, senior executives, through the scene, telephone, video link and other means attended the meeting, answered the investor questions.

Now the company combines the Shenzhen inquiry letter reply content and the Investor Exchange communication situation, regarding the related question explanation as follows:

I. On the background, occurrence, development and information disclosure of this event

Radio and television supervision of the background is "people must first," a heavy blow to manage the content of the network, clear and 181th text contrary to things. This round of regulation is mainly for set-top boxes. Article 181th was introduced two years ago, the reason why the recent frequent regulation of the market, mainly because of the current market participants in the behavior and regulation of the policy of a certain deviation, outstanding performance in: 1, Shanzhai set-top box; 2, piracy and harmful information, 3, Internet set-top box sales methods and regional irregularities; 4, Internet set-top box manufacturers and license-side cooperation mode is inconsistent. Therefore, the music network understanding is that the general administration of the norms of the market and policy level deviation, the set-top box chaos image of a governance. Le Vision also exists in the set-top box products on the issue of nonstandard, this time to cooperate with the licensing party to rectify. The purpose of the General administration is to make the current private box providers to carry out comprehensive rectification, and then to carry out standardized services.

On July 17, the company found that some of the media in response to the company's related untrue reports, and then actively with the superior regulatory departments for instructions to communicate, detailed understanding of the matter, in particular, to confirm the accuracy of related matters, in the afternoon of July 17 received accurate information, the company after the closing of July 17, 2014 issued a notice To clarify the relevant matters, the Company believes that the information disclosure of this matter is timely and adequate.

In addition, our company has not received in the last 30 days institutional investors to the company's research, day-to-day investor relations telephone or mail and Shenzhen interactive platform, are normal to accept all investors open communication, No advance or selective communication to institutions and other investors does not comply with the disclosure requirements.

Ii. Impact on matters

According to the company to the supervision of direct communication to understand, Lok see in the Internet set-top box cooperation does involve violations, the company is active with the CCTV joint cooperation on the Internet set-top box of the violation of the problem of rectification, Le View Mall has stopped the Internet set-top box sales, the two sides of the And is reported to the regulatory Department of the process, the company will strive to complete the fastest speed rectification, as soon as possible to restore set-top box sales.

In the rectification period, in addition to CCTV, other than the suspension of licensing and cooperation, to be completed after the rectification and acceptance of other licences before the normal cooperation with the video network.

Le Vision set-top box since the listing as of June 30, 2014, cumulative sales (including orders) about 1.75 million units, has confirmed that the cumulative sales volume of about 1.63 million units, corresponding to the amount of about 429.91 million yuan, of which 2014 1-June sales (including orders) about 1.25 million units, Confirmed revenue sales of about 1.13 million units, corresponding to the amount of about 271.65 million Yuan, 2012, 2013, 2014 1-June gross margin (due to the company's business costs are shared, can not separate calculate the business of the net profit contribution) is 3.18%, 1.09%, Estimated impact interval 6.42% to 7.1%. Therefore, the Company believes that the set-top box business to the performance of the direct quantitative impact of small, controllable.

The notice of rectification is only a suspension of the company's set-top box business, the rectification will be completed after the rapid recovery, at present, will not be the company's set-top box business has a greater impact on the company's Super TV and the music of the ecological business model will not affect.

Super TV since the listing as of June 30, 2014, the cumulative sales (including orders) about 900,000 units, has confirmed the cumulative sales volume of about 720,000 units, corresponding to the amount of about 2,037,880,000 yuan, of which 2014 1-June sales (including orders) about 700,000 units, Confirmed revenue sales of about 570,000 units, corresponding to the amount of about 1,482,720,000 yuan, 2013, 2014 1-June margin (due to the company's business costs are shared, can not calculate the business of the net profit contribution) respectively is 0.31%, the expected impact interval-3.67% To-4.05%. In the early 2014, the company to further enhance the brand, the marketing strategy for the timely adjustment, resulting in the initial margin of decline, but the follow-up with the rapid growth of sales volume, the benefits have been significantly improved.

The company's Super TV has not been affected, and in normal sales, the company expects the future Super TV business will not face significant policy risks.

On the policy level, the Company believes that the capital market has some overreaction, SARFT's regulatory policy in the long run is conducive to music, although short-term will have a certain impact. The company believes that the current regulatory policy for the company in the long term is a good, the general administration of the supervision of the purpose is to hope that the industry healthy and orderly development, so the genuine reserves larger, and reasonable rectification of the company is a long-term positive.