Hunan Mengjie Home Textile Co., Ltd.
To all shareholders of Hunan Mengjie Home Textile Co., Ltd.:
Pursuant to the "Basic Norms for Enterprise Internal Control" and its supporting guidelines, as well as other internal control regulatory requirements (collectively referred to as the "Enterprise Internal Control Normative System"), and in conjunction with the Company's internal control system and evaluation methods, based on daily and special supervision of internal controls, we have evaluated the effectiveness of the Company's internal controls as of December 31, 2025 (the "Evaluation Base Date").
I. Important Statement
In accordance with the requirements of the Enterprise Internal Control Normative System, establishing and effectively implementing internal controls, evaluating their effectiveness, and truthfully disclosing the internal control evaluation report are the responsibilities of the Company's Board of Directors. The Audit Committee supervises the establishment and implementation of internal controls by the Board of Directors. The management team is responsible for organizing and leading the daily operations of the Company's internal controls. The Company's Board of Directors, directors, and senior management guarantee that the content of this report contains no false records, misleading statements, or significant omissions, and they bear individual and joint legal liability for the truthfulness, accuracy, and completeness of the report's content.
The objective of the Company's internal control is to reasonably ensure that business operations are legal and compliant, assets are secure, financial reports and related information are true and complete, and to improve operational efficiency and effectiveness, thereby promoting the achievement of development strategies. Due to the inherent limitations of internal control, it can only provide reasonable assurance for achieving these objectives. Furthermore, due to changes in circumstances, internal controls may become inappropriate, or the degree of compliance with control policies and procedures may decrease. Therefore, there is a certain risk in inferring the future effectiveness of internal controls based on the results of the internal control evaluation.