Kingnet Network Co., Ltd. 2026 Stock Option Incentive Plan (Draft)

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Kingnet Network Co., Ltd. 2026 Stock Option Incentive Plan (Draft)

August 2026

Statement

The Company and all members of the Board of Directors guarantee that the contents of this incentive plan and its summary are true, accurate, and complete, with no false records, misleading statements, or material omissions.

Special Notice

1. The "Kingnet Network Co., Ltd. 2026 Stock Option Incentive Plan (Draft)" is formulated by Kingnet Network Co., Ltd. (hereinafter referred to as "Kingnet Network," "the Company," or "this Company") in accordance with the Company Law of the People's Republic of China, the Securities Law of the People's Republic of China, the Rules Governing the Listing of Stocks on the Shenzhen Stock Exchange, the Administrative Measures for Equity Incentives of Listed Companies, the Guidelines No. 1 of the Shenzhen Stock Exchange for Self-Regulation of Listed Companies—Business Handling, and other relevant laws, administrative regulations, normative documents, and the Articles of Association.

2. The incentive form adopted by the Kingnet Network 2026 Stock Option Incentive Plan (hereinafter referred to as "this Incentive Plan") is stock options. The source of the shares is the Company's RMB A-share common stock repurchased from the secondary market and/or RMB A-share common stock issued by the Company to the incentive targets.

3. The number of stock options proposed to be granted to the incentive targets under this Incentive Plan is 15.4504 million, accounting for approximately 0.72% of the Company's total share capital of 2.136443234 billion shares on the date of the announcement of this draft. This grant is a one-time grant with no reserved interests. Each stock option granted under this Incentive Plan carries the right to purchase 1 share of the Company's RMB A-share common stock at the exercise price during the exercise period, provided that the vesting conditions and arrangements are met.

As of the date of the announcement of this draft, the total number of underlying shares involved in all of the Company's equity incentive plans within their validity period does not exceed 10% of the Company's total share capital. The total number of company shares granted to any single incentive target through all equity incentive plans within their validity period does not exceed 1% of the Company's total share capital.

1. There are 115 incentive targets involved in this Incentive Plan, including directors, senior management, and core management and technical (business) personnel serving in the Company (including holding subsidiaries) at the time of the announcement of this Incentive Plan. It does not include independent directors of Kingnet Network, shareholders or actual controllers who individually or collectively hold more than 5% of the Company's shares, their spouses, parents, children, or foreign employees.

2. The exercise price of the stock options granted under this Incentive Plan is 14.31 yuan per share. From the date of the announcement of this draft until the registration of the exercise of the stock options, if the Company undergoes capital reserve capitalization, stock dividends, stock splits, share consolidations, rights issues, or dividend distributions, the exercise price and the number of equity interests will be adjusted accordingly in accordance with this Incentive Plan.

3. The validity period of this Incentive Plan shall be from the date of the grant of the stock options until the date on which all stock options granted to the incentive targets have been exercised or cancelled, with a maximum duration of no more than 36 months.

4. The stock options granted under this Incentive Plan shall be exercised in two tranches after 12 months from the date of grant, with an exercise ratio of 50% and 50% for each tranche.

The company-level performance appraisal targets for the stock options granted under this Incentive Plan are shown in the table below: