Guide to this report: Aowei and the National Commission on Aging signed a “Strategic Cooperation Framework Agreement”, clarifying that Aowei is the main operator of the national aging information system project, which will effectively promote the company's virtual pension business to other regions of the country. Investment points: Maintain the “increase in holdings” rating, with a target price of 11.2 yuan. The direction of the company's business transformation is clear, and the layout in the fields of virtual old-age care and industrial IoT is beginning to take shape. The signing of the “Strategic Cooperation Framework Agreement” with the National Commission on Aging this time is expected to accelerate the deployment of virtual pension services throughout the country. We maintain the 2014-2015 EPS of 0.15/0.22 yuan and a target price of 11.2 yuan, and maintain the “increase in holdings” rating. Event: The company signed a “Strategic Cooperation Framework Agreement” with the Information Center of the National Office for Aging. The company announced the signing of a “Strategic Cooperation Framework Agreement” with the Information Center of the National Office for Aging to jointly promote the national aging information system project. Among them, the Committee on Aging formulates policies and guides local institutions to cooperate in project construction, and invests in, and maintains Aowei Communications's national information system for aging. At the same time, the agreement made it clear that Aowei is the main operator in the construction of the national aging information system project. When the project cooperation between the two sides meets expectations, a joint stock company will be jointly established to be responsible for project investment and operation. The development of virtual old-age care is expected to enter the fast track. With the advent of an aging society, raising the level of informatization for home care has become a top priority. Aowei Communications began investing in virtual pension projects in 2012, and has formed a good cooperative relationship with the Aging Committee system. The company has now set up virtual nursing homes in Tianjin, Nanjing, Chongqing, Hainan, Wuhan and other places to provide housekeeping, medical care, catering and other services for the local elderly, and has formed a certain number of users. The national information system on aging, which is the focus of this agreement, is an important part of the virtual old-age care platform. The system will collect data on the elderly and build a national big data platform for the elderly to provide a data foundation for better allocation of medical care and service resources. We believe that forming cooperation with the National Commission on Aging will effectively promote the company's virtual pension business to other regions of the country, and the number of users is expected to grow rapidly. Catalysts: The number of virtual pension users is growing rapidly; the Industrial Internet of Things project has been implemented; Risk warning: the national information system is progressing slowly; the demand for operator network optimization falls short of market expectations.