China Life Announces Proposed Change of Auditors

Rhea-AI Summary

China Life Insurance Company Limited (LFC) announced the proposed appointment of new auditors: PricewaterhouseCoopers Zhong Tian LLP for PRC audits and PricewaterhouseCoopers for Hong Kong. This decision follows an eight-year term limit imposed by PRC regulations on audit firms for financial institutions. Ernst & Young, the current auditors, will retire following the annual general meeting (AGM) without any unresolved matters or disagreements reported. The appointment is pending shareholder approval during the upcoming AGM.

Positive

• New auditor appointments reflect compliance with PRC regulations regarding auditor tenure.
• No unresolved matters reported with outgoing auditors, ensuring a smooth transition.

Negative

• None.

HONG KONG, April 28, 2021 /PRNewswire/ -- China Life Insurance Company Limited (the "Company") (NYSE: LFC; SSE: 601628; HKSE: 2628) announced today that on the recommendation of the audit committee of the Company, the board of directors of the Company (the "Board") proposed to appoint PricewaterhouseCoopers Zhong Tian LLP as the PRC auditor and the auditor for the Form 20-F of the Company to be filed with U.S. Securities and Exchange Commission for the year 2021, and PricewaterhouseCoopers as the Hong Kong auditor of the Company for the year 2021, who will hold office until the conclusion of the annual general meeting of the Company for the year 2021. The proposed appointment of auditors has been approved by the audit committee and the Board of the Company, and is still subject to the approval by the shareholders of the Company at the forthcoming annual general meeting of the Company for the year 2020 (the "AGM").

The Board notes that Ernst & Young Hua Ming LLP and Ernst & Young have consecutively served as the auditors of the Company for eight years since 2013 and the decision to change auditors was due to relevant PRC rules limiting the term of service of audit firms continuously engaged by a PRC financial institution to eight years.

Ernst & Young Hua Ming LLP and Ernst & Young will retire as the auditors of the Company upon conclusion of the AGM. Ernst & Young Hua Ming LLP and Ernst & Young have confirmed that there are no matters relating to their retirement that need to be brought to the attention of the shareholders of the Company. The Board has also confirmed that the Company has no disagreement or unresolved matters with Ernst & Young Hua Ming LLP and Ernst & Young, and is not aware of any matters that need to be brought to the attention of the shareholders of the Company. There have been no reportable events requiring disclosure pursuant to Item 16F(a)(1)(v) of Form 20-F.

The Board would like to express its gratitude to Ernst & Young Hua Ming LLP and Ernst & Young for their professional services provided to the Company in the past years.

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SOURCE China Life Insurance (Overseas) Company Limited

FAQ

What are the new auditors appointed by China Life Insurance (LFC)?

China Life Insurance proposed PricewaterhouseCoopers Zhong Tian LLP and PricewaterhouseCoopers as new auditors.

Why is China Life Insurance changing its auditors?

The change is due to PRC regulations limiting the term of audit firms for financial institutions to eight years.

When will the new auditors take effect for China Life Insurance (LFC)?

The new auditors will take effect after approval at the upcoming annual general meeting (AGM).

Who was the previous auditor for China Life Insurance (LFC)?

The previous auditors were Ernst & Young Hua Ming LLP and Ernst & Young.

Will there be any unresolved matters upon the retirement of the current auditors at LFC?

No unresolved matters have been reported regarding the retirement of Ernst & Young.