Declaration
The company and all members of the board guarantee that the content of this stock ownership plan is true, accurate, and complete, with no false records, misleading statements, or significant omissions. Special reminder: The terminology in this section is consistent with the "Definitions" section.
- The "2025 Employee Stock Ownership Plan (Mid-to-Long Term Employee Stock Ownership Plan) (Draft Revision)" is formulated by TCL Technology Group Co., Ltd. in accordance with the Company Law, Securities Law, Guidelines, Self-Regulatory Supervision Guidelines No. 1, and other relevant laws, administrative regulations, rules, normative documents, and the Articles of Association. It is a sub-plan of the 2025 Employee Stock Ownership Plan of TCL Technology Group Co., Ltd.
- This stock ownership plan follows the principles of voluntary participation by employees and independent decision-making by the company, with no forced participation through allocation or coercion.
- The funding for this stock ownership plan comes from employees' lawful income, performance bonuses, or other legally permitted means, not exceeding 570 million RMB, with the final total amount subject to actual figures.
- The stock ownership plan will be managed by the company after its establishment. The management committee may also delegate a specialized asset management institution to manage the plan as needed.
- The stock for this plan will be sourced from shares repurchased by the company. The company held the ninth meeting of the eighth board of directors on April 15, 2025, and approved the proposal to repurchase part of the public shares. The stock for this plan will come from the aforementioned repurchased shares. Within six months after the shareholders' meeting approves the 2025 Employee Stock Ownership Plan, the shares held in the company's repurchase special securities account will be non-traditionally transferred to this plan on November 6, 2025. This plan will continue to use the special securities account and trading qualifications established for the 2025 Employee Stock Ownership Plan.
- The total number of shares held by all valid employee stock ownership plans shall not exceed 10% of the company's total share capital, and the total number of shares corresponding to the equity rights of individual employees in all valid employee stock ownership plans shall not exceed 1% of the company's total share capital. The total number of target shares does not include shares obtained by employees before the company's initial public offering, shares purchased on the secondary market, or shares obtained through equity incentives.
- The duration of this stock ownership plan is 20 years from the date of approval by the shareholders' meeting for the 2025 Employee Stock Ownership Plan. Upon expiration, the plan may be extended upon approval by the board of directors based on a proposal from the management committee.
- This stock ownership plan will establish a 12-month lock-up period starting from the date the company discloses the completion of the acquisition and purchase of the target shares (i.e., November 8, 2025), during which trading is prohibited.