Incident: The company announced that the company signed a “Cooperation Agreement” with Swiss EHC Biel Holding AG (EHC Biel Holding AG) on September 29, 2016, and the two sides will carry out comprehensive in-depth cooperation in the field of equity and ice and snow business. The “ice and snow industry” has broad space, and Bill joined hands to consolidate the company's two core sports “event+service” systems. According to statistics, the output value of China's ski market in 2015 was about 12 billion yuan, and the total number of skiers was 12.5 million, an increase of 21.36% over 10.3 million in 2014. However, the ski population still accounts for only 0.9% of the total population, and the number of participants is only equivalent to the level of the US in the early 70s. Meanwhile, the US ice and snow market is about 120 billion yuan, and the number of skiers is around 60 million, accounting for about 2.5% of the ski population. With the catalytic effects of policies such as “300 million people on ice and snow” and consumption upgrades, China's ice and snow industry's 100 billion market is yet to be developed. The company cooperated with Bill to hold three subsidiaries EHC Biel Sport AG, EHC Biel Marketing AG, and EHC Biel-Bienne Spirit AG. Among them, the hockey club under EHC Biel Marketing AG has won the Hockey League title many times and has a rich player reserve and systematic training system. In the future, the company and Bill may cooperate as follows: 1) ice and snow program coach training and youth training; 2) construction and operation of snow and ice sports venues; 3) building commercial league IPs for amateur and professional levels; 4) jointly forming ice hockey and curling clubs. We believe that the company is standing on the cusp of the “ice and snow industry” about to explode and seize superior resources; at the same time, the company's current cooperation is also consolidating the company's layout in the snow and ice sports field, increasing its brand influence in the snow and ice industry, and cultivating new performance growth points for the company's development. A “social public sports service system” centered on stadiums: In the first half of the year, the company signed 5 new stores and 2 stores to be signed. At the same time, it is also building an “international outdoor sports base” in Huangshan, China. Currently, it is actively promoting land acquisition. In the future, the company can rely on years of experience in the real estate field, and by complementing the advantages of the China Institute of Architectural Design and the China Sports Federation Planning and Design Company, the company will focus on laying out a six-level stadium system, including a national fitness center, and strive to build 270 multi-level sports complexes and fitness venues over 5 years to form a stadium platform for Rhine Sports. A “high-quality IP tournament operation system” with tournaments as the core: In the first half of the year, the company focused on promoting tournament operation, and hosted many events such as the “2016 Stankovic Cup Intercontinental Basketball Tournament” and the “Rhein Sports” 5th Kyoto Darts Championship. At present, the company has multiple competition IPs, and is striving to complete a platform with 50-100 high-quality IP events in 5 years. In the future, through various methods such as acquisitions, self-construction and cooperation, the company will use IP as the core to carry out the entire sports industry chain layout and global expansion, opening up the entire industry chain of IP content development and innovation, professional events and venue operations, brand promotion, media communication and commercial monetization, and maximizing the commercial value of IP. Profit forecast: With the further divestment of residential real estate, the return of some real estate business capital and energy+ commercial real estate provide profit growth points for the company; for sports, with continued early investment in sports and a clear layout, the profit share will also gradually increase, becoming a support for performance. Risk warning: Risks such as sports layout falling short of expectations and long payback periods for sports projects.