Chapter 1 General Provisions
Article 1 To further improve the remuneration management system of Wuxi Shuangxiang Ultra-fine Fiber Materials Co., Ltd. (hereinafter referred to as "the Company"), establish and improve an effective incentive and restraint mechanism, fully mobilize the enthusiasm and creativity of directors and senior management, and promote the sustained and healthy development of the Company, this system is formulated in accordance with the "Company Law of the People's Republic of China," the "Corporate Governance Guidelines for Listed Companies," relevant laws, regulations, departmental rules, and the "Articles of Association of Wuxi Shuangxiang Ultra-fine Fiber Materials Co., Ltd." (hereinafter referred to as "the Articles of Association").
Article 2 This system applies to the following personnel: (1) Members of the Board of Directors: including independent directors, non-independent directors (including employee representative directors). (2) Senior Management Personnel: including the General Manager, Deputy General Managers, Secretary of the Board, Financial Controller, and other senior management personnel stipulated in the "Articles of Association."
Article 3 The remuneration of the Company's directors and senior management shall follow the following principles: (1) Fairness and openness principle, reflecting that the income level is in line with the Company's scale and performance, while also considering the market remuneration level; (2) Principle of equal and unified responsibility, rights, and interests, reflecting that remuneration is commensurate with the value of the position and the extent of responsibilities and obligations; (3) Principle of long-term development, reflecting that remuneration is consistent with the goal of sustained, stable, and healthy development of the Company; (4) Principle of equal emphasis on incentives and restraints, reflecting that remuneration is linked to performance appraisal, rewards and punishments, and incentive mechanisms; (5) Performance principle, remuneration standards are linked to performance appraisal, and individual income is combined with the Company's benefits.