Overview of Guarantee Situation
Hubei Yihua Chemical Co., Ltd. (hereinafter referred to as "the Company") approved the proposal on the estimated external guarantee limit for 2025 at the annual shareholders' meeting held on April 24, 2025. On September 8, 2025, at the sixth extraordinary shareholders' meeting of 2025, the proposal for an additional estimated external guarantee limit for 2025 was approved. The Company and its subsidiaries are authorized to provide a total guarantee limit not exceeding 569.63 million yuan for its holding subsidiaries and joint-stock companies. Among this, a guarantee limit of 314.45 million yuan is provided for holding subsidiaries with a debt-to-asset ratio greater than 70%, 245.37 million yuan for holding subsidiaries with a debt-to-asset ratio less than or equal to 70%, and 9.82 million yuan for joint-stock companies with a debt-to-asset ratio less than or equal to 70%. During the validity period, the aforementioned estimated guarantee limits can be adjusted among the guaranteed companies within the same category based on actual conditions of the debt-to-asset ratio. I