Incident 1: The company announced its 2013 annual report. During the reporting period, the company achieved operating income of 4,557 billion yuan, a year-on-year increase of 23.94%; net profit attributable to shareholders of listed companies was 392 million yuan, an increase of 14.18% over the previous year; and realized basic earnings per share of 0.49 yuan. The dividend plan is to distribute a cash dividend of 1.48 yuan (tax included) for every 10 shares. Investment advice: The company integrates textiles and clothing, comprehensive urban development, and industrial investment. On behalf of the government, the company is deeply involved in the development of the entire business in New Taipei; the 17.5 square kilometer high-speed rail area and 10,000 hectares of good land projects, which are in the first phase of construction, are progressing smoothly, and the second phase of land development is starting. According to the contract company, it will receive 10% project revenue and a 5:5 share of revenue. Changzhou's housing price-income ratio is low, and the 439-square-kilometer Xinbei District has developed only 1/5, so there is room for expansion in the future. The company promotes the rejuvenation of textiles and clothing through a brand strategy (self-created ERQ jeans brand), and the Bank of Jiangsu, which it invests in, is expected to go public. Therefore, we expect the company's EPS for 2014 and 2015 to be 0.51 and 0.67 yuan respectively, and the corresponding RNAV is 12.14 yuan. As of April 21, the company closed at 5.57 yuan, corresponding to 2014 and 2015 PE of 10.86 times and 8.35 times, respectively. We use the company's target price of 7.28 yuan, which is 60% off the company's RNAV for the next 6 months, to maintain the “increase in holdings” rating.