1. Main Content of the Incentive Plan
(1) Source of the Stock and Number of Options Granted
- The stock involved in this stock option incentive plan comes from the company's A-share common stock issued to the incentive objects and/or repurchased from the secondary market.
- This incentive plan proposes to grant 22,981,400 stock options, accounting for 4.50% of the total share capital of 51,069,760 shares at the time of the announcement. Among these, 18,385,200 stock options will be granted initially, accounting for 80.00% of the total options granted, approximately 3.60% of the total share capital at the time of the draft announcement; 4,596,200 stock options are reserved, accounting for 20.00%, approximately 0.90% of the total share capital at the time of the draft announcement. Each stock option granted to the incentive objects allows them to purchase one share of the company's stock at the exercise price within the validity period, provided the exercise conditions are met.
- After the implementation of this incentive plan, the total number of stocks involved in all valid stock incentive plans will not exceed 10% of the company's total share capital. The number of shares granted to any single incentive object through all valid stock incentive plans will not exceed 1% of the company's total share capital, and the reserved portion will not exceed 20% of the total rights to be granted under this incentive plan.
(2) Scope of Incentive Objects and Distribution of Rights
The total number of incentive objects for the initial grant is 86, including directors, senior management, core management personnel, and core technical (business) personnel employed by the company (including subsidiaries and holding subsidiaries) at the time of the announcement of this incentive plan. Independent directors, shareholders or actual controllers holding more than 5% of the company's shares, and their spouses, parents, and children are excluded. Among the incentive objects, directors must be elected by the shareholders' meeting, and senior management must be appointed by the board of directors. All incentive objects must have an employment or service relationship with the company, subsidiaries, or holding subsidiaries during the assessment period of this incentive plan. The distribution of stock options granted under this incentive plan among the incentive objects is shown in the following table:
| No. | Name | Nationality | Position | Stock Options Granted (10,000 shares) | Percentage of Total Options Granted | Percentage of Current Total Capital |
|---|---|---|---|---|---|---|
| 1 | Chen Yang | China | Director | 141.14 | 6.14% | 0.28% |
| 2 | Wen Ming | China | Director | 20.09 | 0.87% | 0.04% |
| 3 | Luo Xinmei | China | Director | 174.95 | 7.61% | 0.34% |
| 4 | Xin Liming | China | CFO | 183.56 | 7.99% | 0.36% |
| Core Management and Core Technical (Business) Personnel (82 people) | 1,318.78 | 57.38% | 2.58% | |||
| Reserved Portion | 459.62 | 20.00% | 0.90% | |||
| Total | 2,298.14 | 100.00% | 4.50% |
Note: 1. None of the above incentive objects will receive more than 1% of the total share capital of Xinya Process through all valid stock incentive plans. The total number of stocks involved in all valid incentive plans will not exceed 10% of the total share capital of the company. 2. The stock options granted to the incentive objects do not include independent directors or shareholders or actual controllers holding more than 5% of the company's shares, and their spouses, parents, and children. 3. Any discrepancies in totals due to rounding.