China Securities Regulatory Commission, Compilation Rules for Information Disclosure by Companies that Offer Securities to the Public (No.26): Special Provisions for the Information Disclosure of Commercial Banks

Promulgated: July 25 2008
Effective: September 1 2008

Applicability: Commercial banks shall comply with the general provisions of the China Securities Regulatory Commission on the information disclosure of regular reports and ad hoc reports as well as the requirements in these Provisions (Article 2).

Main Contents: Commercial banks shall disclose in regular reports the major financial indicators in the three years before the end of the current reporting period, including the loan ratio of the single largest customer; the loan ratios of the top ten customers; the migration ratios of standard loans, special mentioned loans, substandard loans and doubtful loans; provisioning coverage ratio; and cost-to-income ratio (Article 4). Commercial banks shall disclose in regular reports the types and amount of financial bonds they hold, the face value, annual interest rates and dates of maturity of major financial bonds, and the reserve for depreciation (Article 13). Where a single security amount provided by the commercial bank to an external party exceeds 5% of the audited net assets of the preceding year or exceeds Rmb2 billion, the company shall make an announcement in a timely manner (Article 19). Where there is a major emergency event (including but not limited to a bank run, major fraud, and major violation of rules by a branch or individual), and the amount involved is at least 1% of the audited net profit for the most recent reporting period, the commercial bank shall make an announcement in a timely manner as required (Article 22). Where the amount of a transaction between a commercial bank and its affiliated natural person is Rmb300,000 or above, or the amount of a transaction between the bank and an affiliated legal person is at least 0.5% of the audited net assets for the most recent reporting period, such transactions shall be disclosed in a timely manner (Article 23).