Announcement on Progress of Providing Guarantees for Subsidiaries

Securities Code: 002397 Securities Abbreviation: Mengjie Shares Announcement Number: 2026-026 Hunan Mengjie Home Textile Co., Ltd. Announcement on Progress of Providing Guarantees for Subsidiaries The Company and all members of the Board of Directors guarantee that the information disclosed is true, accurate, and complete, and that there are no false records, misleading statements, or major omissions. Special Reminder: The asset-liability ratio of the guaranteed entity, Hunan Meijia Home Furnishing Technology Co., Ltd., exceeds 70%. Investors are advised to pay close attention to the guarantee risk. I. Overview of Guarantee Situation Hunan Mengjie Home Textile Co., Ltd. (hereinafter referred to as the "Company" or "Shareholding Company") deliberated and approved the "Proposal on Providing Guarantees for Subsidiaries Applying for Bank Comprehensive Credit" at the third meeting of the Eighth Board of Directors held on March 18, 2026, and the 2026 second extraordinary general meeting of shareholders held on April 10, 2026. The Company provides guarantees for some of its subsidiaries applying for bank comprehensive credit business, with a total guarantee amount of RMB 280 million. Specifically, the guarantee amount for Hunan Meijia Home Furnishing Technology Co., Ltd. (hereinafter referred to as "Meijia Home Furnishing") is RMB 70 million; the guarantee amount for Fujian Dafang Sleep Technology Co., Ltd. is RMB 150 million; the guarantee amount for Hunan Mengjie Sleep Technology Co., Ltd. is RMB 30 million; the guarantee amount for Hunan Mengjie Baby Home Furnishing Technology Co., Ltd. is RMB 20 million; and the guarantee amount for Hunan Mengjie Home Furnishing Co., Ltd. is RMB 10 million. This guarantee period is valid for one year from the date of approval by the 2026 second extraordinary general meeting of shareholders. For details, please refer to the "Announcement on Providing Guarantees for Subsidiaries Applying for Bank Comprehensive Credit" (Announcement Number: 2026-011) disclosed by the Company on March 19, 2026, in the Securities Times, Securities Daily, and on the Juchao Information Network (www.cninfo.com.cn). II. Progress of External Guarantees

1. The Company signed the "Maximum Amount Guarantee Contract" with the Changsha Branch of Guangfa Bank Co., Ltd., agreeing to provide a guarantee of RMB 9 million for the comprehensive credit business of its wholly-owned subsidiary, Meijia Home Furnishing.
2. The Company signed the "Principal Maximum Amount Guarantee Contract" with the Changsha Hexi Branch of China Construction Bank Corporation, agreeing to provide a guarantee of RMB 10 million for the comprehensive credit business of its wholly-owned subsidiary, Meijia Home Furnishing.
3. The Company signed the "Maximum Amount Guarantee Contract" with the Changsha Fenglin Branch of Industrial and Commercial Bank of China Limited, agreeing to provide a guarantee of RMB 5 million for the comprehensive credit business of its wholly-owned subsidiary, Meijia Home Furnishing. Table of Basic Guarantee Information: Unit: RMB 10,000 Guarantor | Guaranteed Party | Approved Guarantee Amount | Guarantee Balance for Guaranteed Party Before This Guarantee | Amount Used for This Guarantee | Guarantee Balance for Guaranteed Party After This Guarantee | Remaining Available Guarantee Amount ---|---|---|---|---|---|--- Shareholding Company | Meijia Home Furnishing | 7,000 | 1,500 | 2,400 | 3,900 | 3,100 III. Basic Information of the Guaranteed Party (I) Hunan Meijia Home Furnishing Technology Co., Ltd.
4. Date of Establishment: March 11, 2005
5. Registered Address: No. 168 Guyuan Road, Lugu Street, Xiangjiang New Area, Hunan, Mengjie Industrial Park
6. Registered Capital: RMB 20 million
7. Legal Representative: Jiang Tianwu
8. Business Scope: Home technology development; bedding product research and development; home product, apparel, bedding design; interior decoration, lighting, furniture design services; home product manufacturing (limited to branch operations); bedding manufacturing (limited to branch operations); curtain and textile product manufacturing (limited to branch operations); curtain and textile product installation; home product, furniture, bedding, apparel, footwear, baby products, luggage, watches, handicrafts, cosmetics, sanitary products, Class I medical devices, Class II medical devices, pre-packaged food, daily household appliances, electronic product sales; leather and leather product wholesale; lighting retail; kitchenware, equipment, tableware, and daily necessities retail services; food sales; laundry services; building decoration, renovation, and cleaning services; enterprise management consulting services; Internet information technology consulting; software technology services. (Business activities that require approval shall be carried out only after approval by the relevant departments. Without approval, P2P lending, equity crowdfunding, Internet insurance, asset management, and cross-industry financial activities such as third-party payment, virtual currency trading, ICO, and illegal foreign exchange shall not be engaged in.)
9. Equity Structure and Relationship with the Company: Meijia Home Furnishing is a wholly-owned subsidiary of the Company.
10. Main Financial Indicators for the Most Recent Year and Period: Unit: RMB 10,000 Item | December 31, 2025 | March 31, 2026 ---|---|--- Total Assets | 69,182.35 | 76,648.14 Total Liabilities | 46,759.51 | 53,909.79 Net Assets | 22,422.84 | 22,738.35 Item | 2025 | January-March 2026 ---|---|--- Operating Revenue | 28,151.43 | 6,373.50 Total Profit | 473.19 | 426.33 Net Profit | 550.71 | 315.51
11. Meijia Home Furnishing is not a dishonest judgment debtor. IV. Main Contents of Guarantee Agreements (I) Guarantee Contract with Guangfa Bank Co., Ltd. Changsha Branch
12. Guarantor: Hunan Mengjie Home Textile Co., Ltd. Creditor: Guangfa Bank Co., Ltd. Changsha Branch Debtor: Hunan Meijia Home Furnishing Technology Co., Ltd.
13. Guarantee Amount: RMB 9 million
14. Guarantee Type: Joint and several liability guarantee.
15. Scope of Guarantee: Principal of the main contract, interest, late fees, compound interest, liquidated damages, compensation for losses, expenses incurred to realize the creditor's rights (including but not limited to litigation fees, arbitration fees, lawyer fees, travel expenses, execution fees, preservation fees, appraisal fees, auction or sale fees, transfer fees, announcement fees, etc.) and all other payable expenses.
16. Guarantee Period: Three years from the expiration of the principal debtor's performance period. The Guarantor hereby agrees and confirms that if the Creditor requires the Principal Debtor to perform the debt in advance according to law or the main contract, the guarantee period shall be three years from the expiration of the Principal Debtor's advance performance period. During the guarantee period, the Creditor has the right to claim the guarantee liability from the Guarantor for all or part of the principal debt, in multiple or single instances, collectively or separately. If any part of the principal debt is paid in installments, the guarantee period shall be three years from the date of effectiveness of this contract until the expiration of the last installment payment period. If the Creditor and the Debtor reach an extension agreement on the debt repayment period, the Guarantor agrees to continue to bear the guarantee liability, and the guarantee period shall be three years from the expiration of the debt repayment period as stipulated in the extension agreement. (II) Guarantee Contract with China Construction Bank Corporation Changsha Hexi Branch
17. Guarantor: Hunan Mengjie Home Textile Co., Ltd. Creditor: China Construction Bank Corporation Changsha Hexi Branch Debtor: Hunan Meijia Home Furnishing Technology Co., Ltd.
18. Guarantee Amount: RMB 10 million
19. Guarantee Type: Joint and several liability guarantee.
20. Scope of Guarantee: The principal balance not exceeding RMB 10 million under the main contract; and interest (including compound interest and late fees), liquidated damages, compensation for losses, penalties for delayed payment of legal documents such as judgments or mediation agreements, other amounts payable by the debtor to the creditor (including but not limited to fees advanced by the creditor, such as handling fees, communication fees, miscellaneous fees, bank fees for refused beneficiaries under letters of credit, etc.), and all expenses incurred by the creditor to realize the creditor's rights (including but not limited to litigation fees, arbitration fees, property preservation fees, travel expenses, execution fees, appraisal fees, auction fees, notarization fees, delivery fees, announcement fees, lawyer fees, etc.). If the Guarantor performs the guarantee liability under this contract, the maximum amount of the guaranteed principal shall be reduced accordingly based on the principal amount paid by the Guarantor. The actual formation time of loans, advances, interest, fees, or any other creditor's rights of the creditor under the main contract shall be within the scope of guarantee of this contract, even if it exceeds the main contract signing period. The expiration date of the debt repayment period under the main contract shall not be limited by the expiration date of the main contract signing period.
21. Guarantee Period: The guarantee period under this contract shall be calculated separately for each credit business handled by the creditor for the debtor, starting from the date of signing the main contract of each credit business until three years after the expiration of the debtor's debt repayment period under the main contract. If the creditor and the debtor reach an extension agreement on the debt repayment period of the main contract, the guarantee period shall be three years from the expiration date of the debt repayment period newly agreed upon in the extension agreement. The extension does not require the consent of the Guarantor, and the Guarantor shall still bear joint and several liability. If the creditor declares the debt due in advance due to events stipulated by laws and regulations or the main contract, the guarantee period shall be three years from the date of advance maturity of the debt. (III) Guarantee Contract with Changsha Fenglin Branch of Industrial and Commercial Bank of China Limited
22. Guarantor: Hunan Mengjie Home Textile Co., Ltd. Creditor: Industrial and Commercial Bank of China Limited Changsha Fenglin Branch Debtor: Hunan Meijia Home Furnishing Technology Co., Ltd.
23. Guarantee Amount: RMB 5 million
24. Guarantee Type: Joint and several liability guarantee.
25. Scope of Guarantee: The principal of the main debt (including the principal of precious metal leasing and its RMB equivalent calculated according to the provisions of the precious metal leasing contract), interest, precious metal leasing fees and service fees, compound interest, late fees, liquidated damages, compensation for losses, overweight or underweight fees for precious metals, exchange rate losses (losses caused by exchange rate fluctuations), losses caused by precious metal price fluctuations, transaction fees incurred by the lessor according to the provisions of the main contract for exercising its rights, and expenses for realizing the creditor's rights (including but not limited to litigation fees, lawyer fees, etc.).
26. Guarantee Period: If the main contract is a loan contract or a precious metal leasing contract, the guarantee period of this contract shall be: three years from the day after the expiration of the loan period or precious metal leasing period of the main contract; if the creditor declares the loan or precious metal leasing due in advance according to the provisions of the main contract, the guarantee period shall be three years from the day after the advance due date of the loan or precious metal leasing. If the main contract is a bank acceptance bill, the guarantee period shall be three years from the date of the creditor's outward payment. If the main contract is a guarantee issuance agreement, the guarantee period shall be three years from the date of the creditor's performance of guarantee obligations. If the main contract is a letter of credit issuance agreement/contract, the guarantee period shall be three years from the date of the creditor's payment for the letter of credit. If the main contract is other financing documents, the guarantee period shall be three years from the day after the maturity or advance maturity of the creditor's rights determined by the main contract. V. Cumulative Number of External Guarantees and Overdue Guarantees After this guarantee, the total guarantee amount for the Company's holding subsidiaries is RMB 280 million, accounting for 23.15% of the Company's net assets as of the most recent audited period; the total outstanding guarantee balance for the Company's holding subsidiaries is RMB 138 million, accounting for 11.41% of the Company's net assets as of the most recent audited period. The Company and its holding subsidiaries have not provided guarantees to entities outside the consolidated financial statements, have no overdue guarantees, and there are no guarantees involving litigation or judgments against the Company due to guarantees. VI. Documents for Inspection
27. "Maximum Amount Guarantee Contract";
28. "Principal Maximum Amount Guarantee Contract". Hunan Mengjie Home Textile Co., Ltd. Board of Directors April 30, 2026