1. Overview of Guarantees
Anhui Chujiang Technology New Materials Co., Ltd. (hereinafter referred to as "the Company" or "Chujiang New Materials") held the 32nd meeting of the sixth board of directors on March 15, 2025, and the 2024 annual shareholders' meeting on April 11, 2025, to review and approve the proposal to provide guarantees for its subsidiaries and joint subsidiaries' applications for bank credit, agreeing to provide a total guarantee of no more than RMB 1,080 million. The details are as follows:
- The Company provides a joint liability guarantee of no more than RMB 275 million for its wholly-owned subsidiary Anhui Chujiang High-Precision Copper Strip Co., Ltd. (hereinafter referred to as "Chujiang High-Precision Copper Strip") for its application for bank credit.
- The Company provides a joint liability guarantee of no more than RMB 85 million for its wholly-owned subsidiary Wuhu Chujiang Alloy Copper Materials Co., Ltd. (hereinafter referred to as "Chujiang Alloy").
- The Company provides a joint liability guarantee of no more than RMB 30 million for its wholly-owned subsidiary Wuhu Chujiang Alloy Copper Materials Supply and Marketing Co., Ltd. (hereinafter referred to as "Chujiang Alloy Supply and Marketing").
- The Company provides a joint liability guarantee of no more than RMB 165 million for its holding subsidiary Jiangsu Xinhai High-Conductivity New Materials Co., Ltd. (hereinafter referred to as "Xinhai High-Conductivity").
2. Progress of Guarantees
(1) Recent Guarantee Progress
- Based on the operational needs of its wholly-owned subsidiary Chujiang High-Precision Copper Strip, the Company recently provided a joint liability guarantee for its application for a comprehensive credit limit of RMB 30 million from Wuhu Yangzi Rural Commercial Bank Co., Ltd. (hereinafter referred to as "Yangzi Rural Commercial Bank"). The Company signed a guarantee contract with Yangzi Rural Commercial Bank. Before this guarantee, the Company's guarantee balance for Chujiang High-Precision Copper Strip was RMB 240.52 million, and after this guarantee, the balance is RMB 243.52 million.
- Based on the operational needs of its wholly-owned subsidiary Chujiang Alloy, the Company recently provided a joint liability guarantee for its application for a comprehensive credit limit of RMB 20 million from CITIC Bank Wuhu Branch (hereinafter referred to as "CITIC Bank Wuhu Branch"). The Company signed a maximum guarantee contract with CITIC Bank Wuhu Branch. Before this guarantee, the Company's guarantee balance for Chujiang Alloy was RMB 68.5 million, and after this guarantee, the balance is RMB 70.5 million.
- Based on the operational needs of its wholly-owned subsidiary Chujiang Alloy Supply and Marketing, the Company recently provided a joint liability guarantee for its application for a comprehensive credit limit of RMB 5 million from Bank of Communications Wuhu Branch (hereinafter referred to as "Bank of Communications Wuhu Branch"). The Company signed a guarantee contract with Bank of Communications Wuhu Branch. Before this guarantee, the Company's guarantee balance for Chujiang Alloy Supply and Marketing was RMB 24.99 million, and after this guarantee, the balance is RMB 29.99 million.
- Based on the operational needs of its holding subsidiary Xinhai High-Conductivity, the Company recently provided a joint liability guarantee for its application for a comprehensive credit limit of RMB 80 million from Bank of Communications Zhenjiang Branch (hereinafter referred to as "Bank of Communications Zhenjiang Branch"). The Company signed a guarantee contract with Bank of Communications Zhenjiang Branch. Additionally, the Company provided a joint liability guarantee for Xinhai High-Conductivity's application for a comprehensive credit limit of RMB 30 million from China Postal Savings Bank Zhenjiang Branch (hereinafter referred to as "Postal Savings Bank Zhenjiang Branch"). The Company signed a guarantee contract with Postal Savings Bank Zhenjiang Branch. Before these guarantees, the Company's guarantee balance for Xinhai High-Conductivity was RMB 154 million, and after these guarantees, the balance is RMB 165 million.