Hangzhou Fuen Co., Ltd. Explanation of the Establishment of the Audit Committee and Other Special Committees
I. Basic Situation of the Establishment of the Board of Directors' Special Committees
The issuer's Board of Directors has established a Strategy Committee, an Audit Committee, a Nomination Committee, and a Remuneration and Assessment Committee. On August 28, 2023, the company held the first meeting of the first Board of Directors, where members of the four special committees were elected, and the "Hangzhou Fuen Co., Ltd. Audit Committee Implementation Rules," "Hangzhou Fuen Co., Ltd. Strategy Committee Work Rules," "Hangzhou Fuen Co., Ltd. Nomination Committee Implementation Rules," and "Hangzhou Fuen Co., Ltd. Remuneration and Assessment Committee Implementation Rules" were deliberated and approved. On November 12, 2025, the issuer held the third extraordinary general meeting of shareholders in 2025, deliberating and approving proposals such as "Proposal to Abolish the Supervisory Board and Repeal the 'Supervisory Board Rules of Procedure'," "Proposal to Amend the 'Articles of Association'," and "Proposal to Amend Certain Company Regulations." The Supervisory Board was abolished, and its duties were assumed by the Board of Directors' Audit Committee, further refining the implementation rules for the Audit Committee and other special committees.
On August 28, 2023, the company held the first meeting of the first Board of Directors, electing members for each special committee. The current roles in the issuer's special committees are as follows: