Northeast Electric Development Co., Ltd. (hereinafter referred to as "Northeast Electric," "the listed company," or "the company") and all members of the board of directors guarantee that the content of the information disclosure is true, accurate, and complete, without any false records, misleading statements, or major omissions.
I. Basic Information on Daily Related Transactions
(1) Overview of Daily Related Transactions
According to the needs of daily production and operation and relevant provisions of the Shenzhen Stock Exchange listing rules, Northeast Electric expects to incur a total of approximately 29.53 million yuan in daily related transactions for the year 2022. This includes:
- Utility costs collected and paid on behalf of related parties: 7.2424 million yuan
- Sales of products and goods to related parties: 1.16 million yuan
- Leasing properties from related parties and property management services: 1.19 million yuan
- Labor services provided by related parties: 19.6906 million yuan
- Other incidental daily related transactions: 0.2422 million yuan
The actual total amount of similar daily related transactions in 2021 was 29.06 million yuan. The company also expects that the total amount of continuous related transactions under the Hong Kong Stock Exchange listing rules for 2022 will be 6 million yuan, compared to the actual amount of 1.72 million yuan in 2021.
On April 28, 2022, the company held the 29th meeting of the 9th board of directors. According to relevant regulations, related directors Shan Duoxu and Wang Yongfan abstained from voting on this proposal, which was approved by non-related directors Su Weiguo, Guo Qianli, Mi Hongjie, and independent directors Fang Guangrong, Wang Hongyu, and Li Zhengning. The independent directors conducted a prior review of the related transactions and expressed independent opinions, unanimously agreeing to the transactions.
Based on the estimated transaction scale, these transactions do not constitute matters that require approval by the company's shareholders' meeting under the Shenzhen Stock Exchange and Hong Kong Stock Exchange listing rules. These transactions also do not constitute significant asset restructuring as defined by the "Measures for the Administration of Major Asset Restructuring of Listed Companies" and do not require approval from relevant authorities.