Securities Code: 002324 Securities Abbreviation: PuliTe Announcement Number: 2026-013 Shanghai PuliTe Composite Material Co., Ltd. Announcement on Conducting Forward Foreign Exchange Settlement and Sale Business The Company and all members of the Board of Directors guarantee the authenticity, accuracy, and completeness of the announcement, and that there are no false records, misleading statements, or material omissions. Shanghai PuliTe Composite Material Co., Ltd. (hereinafter referred to as the "Company") held the Seventh Board of Directors' Seventh Meeting on April 23, 2026, and approved the "Proposal on Conducting Forward Foreign Exchange Settlement and Sale Business." The relevant situation is announced as follows: I. Purpose and Necessity of Conducting Forward Foreign Exchange Settlement and Sale Business With the advancement of RMB internationalization, currency exchange rate fluctuations have increased. To lock in current settlement and sale costs and mitigate the impact of exchange rate fluctuations on the Company's operating results, the Company will conduct forward foreign exchange settlement and sale business after research by the Company's management. Forward settlement and sale is a foreign exchange hedging financial product approved by the People's Bank of China. The transaction principle is to sign a forward settlement and sale contract with a bank, agreeing on the currency, amount, exchange rate, and term for future settlement or sale of foreign exchange. Upon the occurrence of foreign exchange income or expenditure on the maturity date, settlement or sale business will be conducted according to the currency, amount, and exchange rate agreed upon in the forward settlement and sale contract, thereby locking in current settlement and sale costs. In terms of specific operations, the Company will quote to customers based on the forward settlement exchange rate and sign forward settlement contracts with banks based on the forecast of foreign currency receipts, thereby locking in the Company's exchange rate risk. II. Basic Situation of Conducting Forward Foreign Exchange Settlement and Sale Business
- Types of Forward Settlement and Sale Business The Company's forward foreign exchange settlement and sale transaction business is limited to the settlement currencies used for the production and operation of the Company and its subsidiaries, and for USD loans.
- Transaction Amount Based on actual business needs, the Company plans to set a cumulative credit line for forward foreign exchange settlement of no more than USD 20 million.
- Transaction Period and Authorization The credit line for conducting forward foreign exchange settlement and sale business this time is valid for one year from the date of approval by the Board of Directors. III. Risk Analysis of Forward Foreign Exchange Settlement and Sale and Risk Control Measures Taken by the Company (I) Exchange Rate Fluctuation Risk: When the exchange rate fluctuates significantly, it not only affects the normal conduct of the Company's export business but may also cause exchange loss to the Company. To address this risk, the Company will strengthen its research and analysis of exchange rates and adjust its operating strategies in a timely manner to stabilize its export business and minimize exchange losses. (II) Internal Control Risk: Forward foreign exchange settlement and sale is highly specialized and may involve internal control risks. To address this risk, the Company has formulated the "Internal Control System for Forward Foreign Exchange Transaction Business," which clearly stipulates the principles of forward settlement and sale operations, approval authority, organizational structure and responsibilities, and implementation procedures, thereby reducing internal control risks. (III) Customer Default Risk: Accounts receivable may become overdue, leading to the risk of delayed delivery of forward foreign exchange settlement. To address this risk, the Company will strengthen the management of accounts receivable and plans to increase the coverage of export credit insurance to reduce customer default risk. (IV) Remittance Forecast Risk: The Company forecasts remittances based on customer orders and anticipated orders. If the remittance forecast is inaccurate, it may lead to the risk of delayed delivery of forward foreign exchange settlement. To address this risk, the Company will strictly control the scale of forward foreign exchange settlement, keeping the potential risks faced by the Company within an acceptable range. IV. Accounting Treatment Related to Transactions The Company will perform correct accounting treatment and disclosure for the proposed forward foreign exchange settlement and sale business in accordance with the "Accounting Standards for Business Enterprises No. 22 - Recognition and Measurement of Financial Instruments," "Accounting Standards for Business Enterprises No. 24 - Hedging Accounting," and "Accounting Standards for Business Enterprises No. 37 - Presentation of Financial Instruments" and their guidelines issued by the Ministry of Finance. V. Impact of Forward Foreign Exchange Settlement and Sale Business on the Company With the advancement of RMB internationalization, currency exchange rate fluctuations have increased. Locking in current settlement and sale costs is conducive to hedging against exchange rate fluctuation risks in the foreign exchange market, reducing the impact of exchange rate fluctuations on the Company's operating results, and reasonably controlling financial expenses. This business is in line with the Company's own development needs, conducive to enhancing the Company's operational stability, and does not harm the interests of the Company's shareholders. VI. Feasibility Analysis The Company's conduct of forward foreign exchange settlement and sale business mainly utilizes forward foreign exchange locking products provided by financial institutions to lock in exchange rates in advance, thereby hedging against the exchange rate fluctuation risks faced by the Company and minimizing the impact of foreign exchange fluctuations on the Company to the greatest extent. This is highly necessary. At the same time, the Company has formulated practical risk response measures in accordance with relevant regulations and actual conditions, and the relevant risks can be effectively controlled. In summary, the Company's conduct of forward foreign exchange settlement and sale business is aimed at hedging and preventing exchange rate fluctuation risks, and is carried out under the premise of ensuring normal production and operation, which is necessary and feasible. VII. Documents for Inspection
- Resolution of the Seventh Board of Directors' Seventh Meeting of the Company. Hereby announced Shanghai PuliTe Composite Material Co., Ltd. Board of Directors 2026 April 24