【正文】 the flight control department should make decision to approve/disapprove and inform the applicant 3 working days before the planned use. Confidential Page 30 of 44 August, 2020 TEL： 01085803205 FAX： 01085803874 Email: ADD： D2105 Xian Dai Cheng 88 JianGuo Road Chao Yang District, Beijing P. R. China. 100022 Flight plans must be submitted by 15:00 of the day before the flight, and the relevant flight control department will approve/disapprove by 21:00 at the latest on the same day and notify the applicant. For emergencies, rescue and disaster relief, weathermaking and other urgent tasks, flight plans should be submitted at least an hour before the flight。 the percentage of foreign investment in general aviation enterprises engaging in agriculture, forestry and fishery should be decided mutually by the Sinoforeign parties Chinese investors should hold the majority of shares of aircraft maintenance (these enterprises must be internationally oriented and not limited to maintenance of aircraft from one pany or region only) and aviation fuel enterprises。 ? Nanjing Light Aircraft Company manufactures AD－ 500 business aircraft, a 5seat aircraft developed by Nanjing University of Aeronautics and Astronautics (NUAA) ? Guizhou airline and EvektorAerotechnik . manufactures EV－ 97 aircraft, a 2seat ultralight aircraft. Market shares of main aircraft manufacturers As the market shares of main aircraft manufacturers, Shijiazhuang Aircraft Industry Co.,Ltd takes the first place by number of registered aircraft in China by the end of April, 2020. The number of Y5 airplane, made by Shijiazhuang Aircraft Industry Co., Ltd, amounted to 148. Harbin Aircraft Manufacturing Company takes the second place with 52 Y11 or Y12 aircraft registered. See report Market Shares of Main Aircraft Manufacturers according to Registered Aircraft in China for details. Table 4 Market shares of aircraft manufacturers by registered aircraft, 2020 Confidential Page 10 of 44 August, 2020 TEL： 01085803205 FAX： 01085803874 Email: ADD： D2105 Xian Dai Cheng 88 JianGuo Road Chao Yang District, Beijing P. R. China. 100022 Hours flown by primary use Benefit from the opening up of onsea petroleum service, hours flown of oil field service increase rapidly, taking a large proportion of all hours flown at present. Agriculture and forestry related services also play an important role in China’s GA market. Figure 8 Hours flown by primary use of China’ s GA market,2020 Confidential Page 11 of 44 August, 2020 TEL： 01085803205 FAX： 01085803874 Email: ADD： D2105 Xian Dai Cheng 88 JianGuo Road Chao Yang District, Beijing P. R. China. 100022 Figure 9 Comparison of Hours flown by primary use ,1986 to 2020 Hours flown by region China covers a vast area and great regional difference exists between traditions, natural resources, economic base and development speed, which makes GA activities have great regional difference. For example, agriculture and forestry market are developed fully in Northeast China and Northwest China whereas petroleum services market are developed fully in East China and South China. In 2020, a good year with high hours flown and revenue for GA industry, hours flown of industrial activities reached 21752, in which central south making up percent of hours flown. Hours flown of agriculture activities reached 30754 with North China accounting for percent Figure 10 Hours flown by region of industrial activities and agricultural activities , 2020 Confidential Page 12 of 44 August, 2020 TEL： 01085803205 FAX： 01085803874 Email: ADD： D2105 Xian Dai Cheng 88 JianGuo Road Chao Yang District, Beijing P. R. China. 100022 Figure 11 Hours flown by province of agriculture and forestry related activities, 2020 Figure 12 Hours flown by province of industrial activities ,2020 GA industry developed well in Guangdong, Xinjiang and Heilongjiang province and main GA activities are onsea petroleum service, onland petroleum service and agriculture and forestry related operations respectively Confidential Page 13 of 44 August, 2020 TEL： 01085803205 FAX： 01085803874 Email: ADD： D2105 Xian Dai Cheng 88 JianGuo Road Chao Yang District, Beijing P. R. China. 100022 Introduction of GA enterprises in China Number of enterprises In 2020, CAAC lowered the approval rights for the set up of general aviation enterprises to local administration department of civil aviation, which created a warm environment for the development of general aviation industry in China. By the Sep., 2020, general aviation enterprises amounted to 44, including 9 enterprises invested by airlines State Physical Cultural Administration, 2 invested by aviation schools of State Physical Cultural Administration, 6 invested by aviation bureau and other invested by local investors. Other 11 enterprises were approved and preparing for setup. Figure 13 Num. Of GA Enterprises in China Figure 14 Supervision Bureau and Number of GA Enterprises Registered capital According to our investigation on 39 main GA enterprises in China, there are only 4 enterprises with registered capital over RMB 100 million yuan, 31 enterprises with Confidential Page 14 of 44 August, 2020 TEL： 01085803205 FAX： 01085803874 Email: ADD： D2105 Xian Dai Cheng 88 JianGuo Road Chao Yang District, Beijing P. R. China. 100022 registered capital between RMB 10 million yuan and RMB 100 million yuan and 5 enterprises with registered capital below RMB 10 million yuan. GA enterprises with registered capital between RMB 20 million yuan and RMB 30 million yuan make up large proportion of all enterprises. There is only one GA public enterprise, CITIC Offshore Helicopter Co.,Ltd. listed in