Lianhua Supermarket : ANNOUNCEMENT RESIGNATION AND APPOINTMENT OF SUPERVISOR

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(a joint stock limited company incorporated in the People's Republic of China with limited liability)

(Stock Code: 00980)

ANNOUNCEMENT

RESIGNATION AND APPOINTMENT OF SUPERVISOR

The board of directors (the "Board") of Lianhua Supermarket Holdings Co., Ltd. (the "Company") received a resignation letter on 30 November 2019 from Mr. Shi Hao- gang, an employee representative supervisor of the Company, informing the Company his intention to resign as an employee representative supervisor of the Company due to his age. His resignation should take effect upon the approval of the appointment of the employee representative supervisor at the workers' congress meeting held by the Company. Mr. Shi has confirmed that he has no disagreement with the Board and the supervisory committee of the Company (the "Supervisory Committee") and there are no other circumstances relating to his resignation that need to be brought to the attention of the shareholders of the Company and The Stock Exchange of Hong Kong Limited (the "Stock Exchange").

The workers' congress of the Company held a meeting (the "Workers' Meeting") on 11 December 2019. The Workers' Meeting was held in compliance with the requirements of the Company Law of the People's Republic of China and the articles of association of the Company (the "Articles of Association"). The Company announced that Ms. Tang HaoNote ("Ms. Tang") was appointed as an employee representative supervisor of the sixth session of the Supervisory Committee at the Workers' Meeting for a term from 11 December 2019 until the conclusion of the annual general meeting of the Company for the year of 2019. The resignation of Mr. Shi therefore took effect on 11 December 2019.

By order of the Board

Lianhua Supermarket Holdings Co., Ltd.

Ye Yong-ming

Chairman

Shanghai, People's Republic of China, 11 December 2019

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As at the date of this announcement, the directors of the Company are:

Executive director:	Xu Tao;
Non-executive directors:	Ye Yong-ming, Xu Zi-ying, Xu Hong,
	Qian Jian-qiang, Zheng Xiao-yun, and
	Wong Tak Hung;
Independent non-executive directors:	Xia Da-wei, Lee Kwok Ming, Don,
	Chen Wei and Zhao Xin-sheng.

Note:

Ms. Tang Hao, aged 49, is a member of the Communist Party of China, with a master's degree majoring in the world economy from the Graduate School of the Party School of the Central Committee of C.P.C. From July 1991 to December 2002, Ms. Tang worked in the second chemical supply company of Shanghai Chemical Industry Corporation, serving as the statistician, office clerk, and assistant to general manager. From December 2002 to December 2006, Ms. Tang worked in Shanghai Jingtong Chemical Co., Ltd., serving as the deputy manager of the first branch company, deputy manager of the second branch company and deputy manager of the plastic branch company. From December 2006 to September 2014, Ms. Tang worked in Shanghai Jingtong Chemical Development Co., Ltd., serving as the director of general office from December 2006 to February 2008, the assistant to general manager and director of general office from February 2008 to August 2009, the deputy general manager from August 2009 to May 2010, the deputy general manager and the deputy secretary of the Party branch from June 2010 to April 2012, the secretary of the Party Committee and the deputy general manager from April 2012 to September 2014. From September 2014 to October 2017, she served as the member of the Party Committee of Shanghai Modern Logistics Investment and Development Co., Ltd. and the executive director, the secretary of the Party branch and the general manager of Shanghai Jingtong Chemicals Development Co., Ltd., Since October 2017, Ms. Tang has been appointed as the deputy secretary of the Party Committee, the secretary of the Discipline Commission and president of labour union of the Company, and secretary of the Party Committee of Shanghai Lianhua Quik Convenience Stores Co., Ltd. ("Lianhua Quik"). Since October 2019, Ms Tang has been appointed as the presiding deputy secretary of the Party Committee of the Company.

Ms. Tang was elected as a supervisor of the Company for a term from the date of this announcement until the conclusion of the annual general meeting of the Company for the year of 2019, subject however to the Articles of Association. Ms. Tang will enter into a service contract with the Company and she will be entitled to receive remuneration from the Company during the term of serving as a supervisor. Ms. Tang will be entitled to a basic remuneration of RMB507,000 per year which is determined according to the results of the Company and the condition of similar companies in the market. Her basic remuneration may be adjusted and discretionary bonus during his term of service is determined according to the results of the Company and the condition of similar companies in the market, while such adjustments and determination shall be in accordance with the remuneration policy of the Company approved at the annual general meeting for the year of 2013 of the Company. As at the date of this announcement, Ms. Tang has no interest in the shares of the Company within the meaning of Part XV of the Securities and Futures Ordinance. Save as disclosed in this announcement, Ms. Tang has not held any other directorships in any public listed companies in the past three years and she has no relationship with any directors, senior management or substantial or controlling shareholders of the Company. Ms. Tang has confirmed that there is no other information to be disclosed pursuant to Rule 13.51(2)(h) to (v) of the Rules Governing the Listing of Securities on the Stock Exchange and there is no matter relating to his appointment that need to be brought to the attention of the shareholders of the Company and the Stock Exchange.

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