ChongqingChanganAutomobileCompanyLimitedSemi-annualreport20101I.Importantnotes,ExplainationandCataloguei.ImportantNotesTheBoardofDirectors&SupervisorsofChongqingChanganAutomobileCo.,Ltd.(hereinafterreferredtoas“theCompany”),thedirectors,supervisorsandseniormanagementguaranteethattheinformationcontainedinthereportisfreeoffalserecords,misguidingstatementsorsignificantomissions,andassumeindividualandjointliabilitiesforthetruthfulness,accuracyandintegrityofthereport.Nodirector,supervisororseniormanagementhaveraisedanydisagreementwithregardtothetruthfulness,accuracyandcompletenessofthesemi-annualreport..AlldirectorsattendedtheBoardmeeting.Thefinancialreportinthisreportingperiodisunaudited.ChairmanMr.XuLiuping,GeneralManagerMr.ZhangBaolin,ChiefAccountantMr.CuiYunjiang,andtheChiefofAccountantdepartment,Mr.NiErke,hereinguarantee:thetruthfulnessandcompletenessofthefinancialstatementsofthissemi-annualreport.ⅱContentsIImportantnotesandcontents1IIGeneralintroductionoftheCompany2IIIChangeinsharesandinformationaboutshareholders5IVInformationondirectors,supervisors,seniorexecutivesandstaffs8VReportbyBoardofDirectors9VIImportantIssues12VIIFinancialStatements18VIIIDocumentforfuturereference742II.GeneralIntroductionoftheCompany1.TheCompany’slegalChinesename:重庆长安汽车股份有限公司TheCompany’slegalEnglishname:ChongqingChanganAutomobileCompanyLimited2.Placeoflisting:ShenzhenStockExchangeAbbreviatednameofthestock:ChanganAutomobileChanganBStockCode:0006252006253.Registeredaddress:No.260,JianXinEastRoad,JiangBeiDistrict,ChongqingPostcode:400023OfficeAddress:No.260,JianXinEastRoad,JiangBeiDistrict,ChongqingPostcode:400023InternetWebsiteoftheCompany:@changan.com.cn4.LegalrepresentativeoftheCompany:Mr.XuLiuping5.SecretariesoftheBoard:Mr.CuiYunjiang,Ms.LiJunAddress:No.260,JianXinEastRoad,JiangBeiDistrict,ChongqingTelephone:(023)67594009Fax:(023)67866055Emailaddress:cazqc@changan.com.cn6.PublicationsforinformationdisclosureoftheCompany:ChinaSecurities,SecuritiesTimesandHongKongCommercialDailyWebsiteforinformationdisclosureoftheCompany::(RMB)YuanThisreportingperiodendason30June2010Lastreportingperiodendason31December2009Increase/Decrease(%)BeforeadjustmentAdjustedAdjustedTotalassets27,263,028,614.2924,471,416,861.8925,241,314,645.218.01%Owner’sequity(orshareholder’sequity)9,907,922,628.888,800,120,393.158,895,667,191.6911.38%Sharecapital2,325,657,615.002,334,022,848.002,334,022,848.00-0.36%Netassetspershare4.263.773.8111.81%3Reportingperiod(January-June)CorrespondingperiodofpreviousyearIncrease/Decrease(%)BeforeadjustmentAdjustedAdjustedoperationtotalincome16,627,454,932.7811,282,706,557.0011,500,650,715.9044.58%Operationprofit1,374,742,402.37499,571,315.00486,019,960.40182.86%Grossprofit1,371,628,474.32498,132,565.00484,740,350.97182.96%Netprofit1,366,565,351.61532,801,780.00522,993,993.40161.30%Netprofitexceptnon-recurringlossandprofit1,365,347,793.93534,211,783.00524,244,856.72160.44%Basicearningspershare0.590.230.22168.18%Dilutedearningpershare0.590.230.22168.18%Returnrateonnetassets14.27%6.78%6.66%Increase7.61percentagepointsNetcashflowfromoperatingactivities2,687,373,910.691,303,517,504.001,504,416,207.8678.63%Netcashflowfromoperatingactivitiespershare1.160.560.6481.25%Note1:SinceMay31,2010,theCompanystartedtomergeChongqingChanganJinlingAutomobilePartsCo.,Ltd.whichiscontrolledbythesameparent.AccordingtothespecificationsinAccountingStandardsforBusinessEnterprises,allpartiesshouldbeseemedasincurrentconditionwhenthefinalcontrollerproceedcontrol,correspondingreportsaretobeadjusted,includingthebalancesheet,comparisonofstatementofchangesinowner’sequitybetweenlastperiodandearlierthisperiod,comparisonofincomestatementandcashflowoverbetweenlastperiodandthisperiod.Note2:deductionfromnon-recurringprofitandlossprojectandcashNon-recurringprofitandlossprojectAmountGain/lossofnon-currentassets-2,090,764.45Governmentsubsidiesaccountedintocurrentgain/lossaccount,otherthanthosecloselyrelatedtotheCompany’scommonbusiness,complywiththenationalpolicyandcontinuestoenjoyatcertainfixedrateoramount.1,557,629.83Gain/lossfromchangeoffairvalueoftransactionalassetandliabilities,andinvestmentgainsfromdisposaloftransactionalfinancialassetsandliabilitiesandsellablefinancialassets,otherthanvalidperiodvalueinstrumentsrelatedtotheCompany’scommonbusinesses4,563,744.00Othernon-businessincomeandexpendituresotherthantheabove-1,734,397.59Influencedamountofincometax-537,688.81Influencedamountofminiorityshareholders’equity-540,965.30total1,217,557.688.NetassetprofitrateandprofitindexpershareNetassetprofitrateProfitpershare(yuanpershare)ProfitinthereportingperiodApportionAverageBasicprofitpershareDilutedprofitpershareNetprofitattributedtolistedcompanyshareholders13.79%14.27%0.590.59Netprofitattributedtolistedcompanyshareholderexceptnon-recurringlossandprofit13.78%14.25%0.590.5949.Reconciliationofthenetp