Hangzhou Zhongheng Electric Co., Ltd. Management System for Remuneration of Directors and Senior Management
Chapter 1 General Provisions
Article 1 To further improve the remuneration management of directors and senior management of Hangzhou Zhongheng Electric Co., Ltd. (hereinafter referred to as the "Company"), establish a scientific and effective incentive and restraint mechanism, fully mobilize the enthusiasm and creativity of the Company's directors and senior management, and promote the healthy and sustainable development of the Company, this system is formulated in accordance with the "Company Law of the People's Republic of China," "Securities Law of the People's Republic of China," "Corporate Governance Guidelines for Listed Companies," and the "Articles of Association of Hangzhou Zhongheng Electric Co., Ltd." (hereinafter referred to as the "Articles of Association") and other relevant laws, regulations, and normative documents.
Article 2 This system applies to all directors (including non-independent directors (including employee directors) and independent directors) and senior management of the Company. Senior management refers to the general manager, deputy general managers, secretary of the board of directors, financial controller (chief financial officer) of the Company, and other personnel included in the scope of senior management in the "Articles of Association."
Article 3 The remuneration management of the Company's directors and senior management follows the following principles: (1) The remuneration level should be matched with the Company's scale and performance, while also considering market remuneration levels; (2) Remuneration should be commensurate with responsibilities and risks; (3) Remuneration should be linked to business performance assessment; (4) Remuneration should be consistent with the Company's long-term interests and the goal of sustainable healthy development.