At the beginning of the reorganization of the Capital Group, there were a large number of affiliated companies, scattered resources, shortage of funds, heavy burdens and no profit sources, and about half of them were in a state of loss. Facing the difficult situation, the whole group proceeded from reality and worked hard, and put forward the working guidelines of "revitalizing assets, highlighting key points, generating income and paying debts, talking less and doing more, and causing less trouble", adjusted the industrial development direction of enterprises, handled a number of enterprises with low management level and poor profitability, and opened up business and strengthened management, which laid the foundation for the initial development of the group. With the steady and gradual development of various businesses, the Capital Group focused on "What on earth? What are the advantages? " And other issues were discussed. After nearly a year of in-depth internal research and repeated argumentation, the development strategy of "investment banking as the guide, industry as the foundation, two wheels promoting each other and * * * developing together" was determined in 1997. According to this strategy, the Group took advantage of its own investment banking business and started the journey of using the capital market for capital operation to seize the market opportunities.

the first stage: the exploration period of seizing market resources with the help of the capital market. The group has successively acquired listed companies such as Guangxi Huwei, Ningbo Zhongbai and Qianfeng through shell listing. At the same time, it acquired Foshan Securities and "Xintaike", and invested in Capital Securities, Yin Hua Fund Management Company and Metro Line 5. In addition, it also issued 5 million yuan of corporate bonds and signed a cooperation agreement with Huaxia Bank. After this series of capital operation, it has accumulated valuable experience for the group to develop its core industries with the help of the capital market.

the second stage: using the capital market service strategy to cultivate the standardized development period of pioneering core industries. In 2, the Capital Stock Exchange was successfully listed, raising 2.67 billion yuan. In 23, Capital Land was successfully listed on the Hong Kong Stock Exchange, raising 1.2 billion yuan. These funds have successively invested in large-scale real estate projects such as Beijing Water, Shenzhen Water, Qingdao Water, Maanshan Water and Hujialou, which has initially cultivated and developed the core industries of Capital, among which Capital Co., Ltd. has become the largest company in the domestic water industry. The total daily water treatment capacity of the Capital reached 6.79 million tons. Real estate has become one of the top listed companies in China and abroad in terms of return on net assets and land reserve.

in p>1999, the "Capital Shares" was initiated and set up, and it was listed on the Shanghai Stock Exchange in May 2, successfully raising 2.7 billion yuan, which provided a strong financial support and follow-up financing platform for the development of the Group's infrastructure industry.

In p>23, the Capital Group launched the listing of H shares of Capital Land in Hong Kong against the backdrop of SARS. The preparatory team for the listing traveled tens of thousands of kilometers for eight consecutive days, lobbying in Hong Kong, Europe and the United States, and conducting global roadshows and promotion. After hard work, the Capital Land was finally successfully listed in Hong Kong, and the organic connection between the Capital Group and the international capital market was completed. In March, 27, the Capital Co., Ltd. Xindadu Hotel successfully completed the reception task of delegates to the NPC and CPPCC, and the Fifth Session of the Tenth National People's Congress was held in Beijing. The Capital Co., Ltd. Xindadu Hotel was once again designated as the representative residence of the NPC and was responsible for receiving delegations from Shanghai, Jilin and Taiwan Province to the NPC. On March 27th, 27, Deputy General Manager Li Songping met with Keyi, deputy secretary of the Party Committee of Jiangxi Investment Group Corporation, and Keyi, the manager of the company's human resources department and the director of the Party Committee Office, who visited the group. Li Songping, deputy general manager of the Group, met with the key secretary and his party, and presided over an exchange forum attended by the heads of the Group Office, the Human Resources Department and the Party Committee Office. The heads of the relevant departments of the group introduced and exchanged views with the guests on the overall development of the group, human resource management, party building and corporate culture construction. On April 6-7, 27, the 27 Urban Water Strategy Forum, co-organized by Capital Co., Ltd., was successfully held in Beijing Xindadu Hotel International Conference Center. The meeting discussed some hot issues such as the reform and development of water industry in China, the technical trend and route of water industry, water franchising at home and abroad, the establishment of environmental service chamber of commerce and industry self-discipline, and commended the top ten influential enterprises in water industry in China in 26. The Capital Corporation continued to be elected, ranking third. On April 29th, 27, Capital Co., Ltd. and Haikou Municipal Government signed the Cooperation Contract for Primary Land Development in Xihai New District of Haikou City. Pan Wentang, general manager of the Capital Corporation, and Haikou Land Reserve and Consolidation Center signed the First-level Land Development Cooperation Contract of Xihai New District in Haikou City in Haikou Municipal Building. The formal signing of this contract indicates that the development strategy of Capital Co., Ltd. in 27 is more abundant, the investment layout has been redone, and the business expansion has reached a new level. On May 29th, 27, the Group held a mobilization meeting on industrial restructuring. On behalf of the Party Group and the Board of Directors, General Manager Liu Xiaoguang made a mobilization report on industrial restructuring. Mr. Liu's report made a comprehensive exposition from four aspects: fully understanding the significance of the group's industrial structure adjustment, correctly judging the development situation and tasks faced by the group, accurately grasping the objectives and basic principles of the industrial structure adjustment, and doing well the requirements of the group's industrial structure adjustment. On June 12, 27, Capital Co., Ltd. participated in the establishment of the Environmental Service Chamber of the All-China Federation of Industry and Commerce, which was formally established in the Great Hall of the People. The Chamber of Commerce was founded by 81 enterprises including Capital Corporation, Sander Group, Veolia (China) and Sino-French Water. At the inaugural meeting, the leaders of 81 enterprises also signed the Self-discipline Convention for Environmental Service Industry of the All-China Federation of Industry and Commerce. The establishment of the Chamber of Commerce for Environmental Services marks the formation of a strategic alliance among enterprises in China's environmental service industry. It will devote itself to safeguarding the rights and interests of the industry, standardizing industry competition, safeguarding public interests, promoting effective government supervision of the industry, and promoting enterprises' participation in the formulation of national environmental protection policies and industrial policies. Its establishment plays an important and positive role in guiding the healthy development of the industry. On the afternoon of June 26th, 27, the Group held a meeting to commemorate the 86th anniversary of the founding of the Communist Party of China * * * * and the Capital Group held a meeting to commemorate the 86th anniversary of the founding of the Communist Party of China * * * in Tianqiao Theater. More than 7 people attended the meeting, including representatives from party member, the headquarters of the Group, its subsidiaries and holding companies, activists who joined the Party and representatives of the masses. On July 17th, 27, the overall relocation of the Capital Tire Company was successfully completed. The Capital Tire Company and Zhuzong Real Estate Development Company signed a supplementary agreement in Cuigong Hotel on the Relocation Compensation Agreement for Land Use Enterprises of Xindu East Road Tire Factory in Xisanqi, Haidian District, Beijing. On July 18th, both parties fulfilled the handover procedures of the original site land and overground objects in the first round of Xisanqi, and the land was officially handed over to Zhuzong Real Estate Development Company. In the future, the security of this plot will be handed over to Zhuzong Real Estate Development Company. The signing of this supplementary agreement marks the successful conclusion of the overall relocation of the Capital Tire Company. From October 31st to December 4th, the Group held a series of activities to implement the spirit of the 17th CPC National Congress. On October 31st, the Group held a mobilization meeting to study and implement the spirit of the 17th CPC National Congress at its headquarters. On the morning of October 29th, the second seminar on studying the spirit of the 17th CPC National Congress was held. The leaders at the meeting discussed the significance of the 17th National Congress of the Communist Party of China and some new theories, new ideas, new concepts and new formulations involved in the report of the 17th National Congress of the Communist Party of China. Combined with the actual situation of the Capital Group, we had a heated discussion on how to implement the spirit of the 17th CPC National Congress and how to promote the sound and rapid development of the Capital Group under the guidance of Scientific Outlook on Development. On December 21st, 27, Capital Co., Ltd. signed the Strategic Cooperation Agreement with Hunan Provincial People's Government. Liu Xiaoguang, the general manager and chairman of Capital Co., Ltd., delivered a speech at the ceremony and signed the Strategic Cooperation Agreement with Xu Xianping, member of the Standing Committee of Hunan Provincial Committee and vice governor, on behalf of Capital Co., Ltd. and Hunan Provincial People's Government respectively. According to the relevant provisions of the state and the Regulations on Franchising of Municipal Public Utilities in Hunan Province, Capital Co., Ltd. will set up a project company in Hunan by granting the franchise right to assist in the construction and operation of new sewage treatment facilities in Hunan Province by BOT and other means. The formal signing of the Strategic Cooperation Agreement marks a major innovation in the strategic investment model of the Capital Co., Ltd., and its business expansion has reached a new level.