I. Overview of the Guarantee
(I) Basic Situation of the Guarantee
Zhonglun New Material Co., Ltd. (hereinafter referred to as "Zhonglun New Material" or the "Company") issued a "Letter of Authorization for the Use of Strategic Customer Credit Line" to the Xiamen Branch of China Everbright Bank Co., Ltd. (hereinafter referred to as "Everbright Bank Xiamen Branch") in 2025. The Company agreed that its wholly-owned third-tier subsidiary, PT Changsu Industrial Indonesia (Chinese name: 印尼长塑实业有限公司, hereinafter referred to as "Indonesia Changsu" or the "Debtor"), could handle credit-related procedures using the authorized credit line in its own name, including but not limited to signing individual "Loan Contracts" or similar documents. The Company committed to assuming joint liability for all debts owed by Indonesia Changsu to Everbright Bank Xiamen Branch under the relevant "Loan Contracts," with a guaranteed creditor amount of RMB 50 million. For details, please refer to the announcement disclosed by the Company on Juchao Information Website on December 24, 2025 (Announcement No.: 2025-058).
Recently, the Company signed a supplementary "Maximum Guarantee Contract" with Everbright Bank Xiamen Branch. The Company provides a joint liability guarantee for the debts incurred by Indonesia Changsu under the "Comprehensive Credit Agreement" signed with Everbright Bank Xiamen Branch, with a maximum principal limit of RMB 50 million. This signing of the "Maximum Guarantee Contract" serves as a supplement to the aforementioned guarantee arrangement; the Company's cumulative external guarantee amount remains unchanged, with no new guarantee amount added.