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Summary of Shenzhen Xinguodu Co., Ltd. 2026 Stock Option Incentive Plan (Draft)

XGD INC.··33 pages

✨ AI Summary

This document outlines the 2026 stock option incentive plan for Shenzhen Xinguodu Co., Ltd. The plan aims to enhance the company's governance structure and align employee interests with shareholder value. It proposes the issuance of 12 million stock options, with a price set at 24.50 yuan per share. The plan is subject to approval by the board of directors and relevant regulatory bodies.

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Full Translation

AI Translation· azure_openai

Statement

The company and its board of directors will ensure that the stock option incentive plan and its summary are not misleading or inaccurate, and will be truthful, accurate, and complete in their legal responsibilities.

The information contained in this document is subject to change. If the company is found to have provided false information due to the use of incorrect documents, it will not be eligible for stock option incentives, and the company will return all profits obtained from the incentive plan.

Special Instructions

  1. Shenzhen Xinguodu Co., Ltd. (hereinafter referred to as "the Company") 2026 stock option incentive plan (hereinafter referred to as "the Plan") is based on the "Company Law of the People's Republic of China," "Regulations on the Management of Stock Options," and other relevant laws and regulations.

  2. The Company plans to grant stock options to 12 million shares. Each stock option will have an exercise price based on the average closing price of the Company’s stock in the last 20 trading days prior to the grant date. The exercise price will be 24.50 yuan per share.

  3. The stock options granted under this plan shall not exceed 1% of the total share capital of the Company.

  4. The effective period of the stock options shall be from the date of grant to the expiration date, which shall not exceed 36 months.

  5. The Company will not grant stock options to any person who is not eligible under the relevant laws and regulations.

  6. The Company will announce the implementation of the stock option incentive plan within 60 days after the approval by the board of directors.

Table of Contents

ChapterTitle
1Definition
2General Principles
3Scope and Range of Incentives
4Sources and Quantities of Stock Options
5Validity and Conditions of Stock Options
6Conditions for Granting Stock Options
7Adjustment Methods and Procedures
8Accounting Treatment of the Plan
9Company and Related Matters
10Appendix

Chapter Two: General Principles

1. Objectives of the Incentive Plan

To further improve the company's governance structure, establish a long-term incentive mechanism for the company, and guide the company's management and employees to continuously develop their concepts, enhance motivation, and strengthen the management team. The plan aims to enhance the company's competitive strength, ensure the company's sustainable development, and achieve the company's development goals. This plan is based on the company's laws, the "Securities Law," "Management Measures," "Listing Rules," and other relevant laws and regulations, and is formulated in accordance with the company's articles of association.

2. Basic Principles for the Implementation of the Incentive Plan

  1. Firmly uphold shareholder interests, ensuring that the company's profits and shareholder benefits are aligned, and that the company maintains sustainable development.
  2. Ensure that the incentive objects are clearly defined, and risks and returns are specified.
  3. Adhere to regulations and transparency, ensuring compliance with legal regulations and the company's articles of association.

3. Management Structure of the Incentive Plan

  1. The board of directors acts as the highest authority of the company, responsible for approving the implementation of the incentive plan and making adjustments. The board of directors can delegate authority within the scope of the incentive plan to relevant departments.
  2. The board of directors will establish an incentive plan review committee, responsible for reviewing the incentive plan and reporting to the board of directors. The board of directors can adjust the scope of the incentive plan as necessary.

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