Announcement on Cumulative Litigation and Arbitration Matters

Securities Code: 002542 Securities Abbreviation: *ST Zhongyan Announcement Number: 2026-060

Zhonghua Rock and Soil Group Co., Ltd.

Announcement on Cumulative Litigation and Arbitration Matters

The Company and all members of the Board of Directors guarantee the truthfulness, accuracy, and completeness of the information disclosed, and that there are no false records, misleading statements, or material omissions.

Special Reminder:

1. Stage of the litigation (arbitration) case: First instance.

2. Party status: Beijing Changdao Municipal Engineering Group Co., Ltd., a wholly-owned subsidiary of the Company, and the Company are defendants.

3. Amount involved: RMB 2,125,396.44 (excluding amounts not yet determined).

4. Impact on the Company's profit and loss: As the case has not yet been heard and the judgment is not yet determined, the impact on the Company's current or future profits is uncertain. The Company will actively respond to litigation and arbitration cases, fully protect the legitimate interests of the listed company and all shareholders, and closely monitor subsequent developments, fulfilling information disclosure obligations in a timely manner. Investors are kindly advised to pay attention to investment risks.

I. Basic Situation of the Acceptance of the Litigation Matter

Zhonghua Rock and Soil Group Co., Ltd. (hereinafter referred to as the "Company") received a summons, a civil ruling, and other case materials from the People's Court of Fangshan District, Beijing, for its wholly-owned subsidiary, Beijing Changdao Municipal Engineering Group Co., Ltd. (hereinafter referred to as "Beijing Changdao"). This case is a dispute over a construction contract between Zhao Yadan and Beijing Changdao, the Company, and the XiaZhuang Village Economic Cooperative of Dashiwo Town, Fangshan District, Beijing. The case number is (2026) Jing Min Chu Zi No. 0111. The case has been transferred to ordinary procedure and will be heard by a sole judge. The basic situation of the acceptance of this litigation matter is as follows:

(I) Situation of the Parties to the Litigation

1. Plaintiff: Zhao Yadan.

2. Defendant One: Beijing Changdao Municipal Engineering Group Co., Ltd.; Registered Address: Room 509, Building B, Courtyard 1, Keyuan Road, Daxing District, Beijing; Legal Representative: Chai Junhu.

3. Defendant Two: Zhonghua Rock and Soil Group Co., Ltd.; Registered Address: Courtyard 1, Keyuan Road, Daxing District, Beijing; Legal Representative: Liu Mingjun.

4. Defendant Three: XiaZhuang Village Economic Cooperative of Dashiwo Town, Fangshan District, Beijing; Registered Address: XiaZhuang Village, Dashiwo Town, Fangshan District, Beijing; Legal Representative: Cui Baoli.

(II) Situation of the Litigation Institution

1. Name: People's Court of Fangshan District, Beijing; Location: No. 10, Liangxiang Zhengong Road, Fangshan District, Beijing.

II. Basic Situation of the Case

(I) Facts and Reasons for the Litigation Case

On March 12, 2016, the Defendant Three, XiaZhuang Village Economic Cooperative of Dashiwo Town, Fangshan District, Beijing, issued a bid winning notice to the Defendant One, Beijing Changdao Municipal Engineering Group Co., Ltd., for the outdoor engineering project of the permanent disaster avoidance resettlement housing project in XiaZhuang Village, Dashiwo Town, Fangshan District, Beijing. On March 14, 2016, the Defendant Three, XiaZhuang Village Economic Cooperative of Dashiwo Town, Fangshan District, Beijing, signed the "Construction Contract for Outdoor Engineering of the Permanent Disaster Avoidance Resettlement Housing Project in XiaZhuang Village, Dashiwo Town, Fangshan District" with the Defendant One, Beijing Changdao Municipal Engineering Group Co., Ltd. The contract stipulated that the Defendant One would undertake all the work within the scope of the design drawings, including fire pipelines, weak current systems, and monitoring systems, with a contract price of RMB 3,654,786.07.