The company and all members of the board guarantee that the information disclosed is true, accurate, and complete, without false records, misleading statements, or significant omissions.
I. Basic Information on Daily Related Transactions
(1) Overview of Daily Related Transactions
In accordance with the operational development needs of AVIC Chengfei Co., Ltd. (hereinafter referred to as "the Company"), to ensure the support of upstream and downstream businesses of aviation products and the normal conduct of the Company's operations, the Company will continue to engage in related transactions with its actual controller, AVIC Group Co., Ltd. (hereinafter referred to as "AVIC Group") and its controlled subsidiaries in 2026. On April 27, 2026, the Company held the tenth meeting of the eighth board of directors, which approved the proposal on the estimated daily related transactions for 2026 with 8 votes in favor, 0 against, and 0 abstentions. Related directors Xiao Zhiyuan, Nie Xiaoming, Xu Dongsheng, and Sun Shaoshan fulfilled their obligation to abstain from voting on the proposal. This proposal has been reviewed and approved by the independent directors' special meeting and is subject to approval by the shareholders' meeting.
Due to the financial relationship with AVIC Financial Co., Ltd. (hereinafter referred to as "AVIC Financial"), a subsidiary controlled by AVIC Group, according to the relevant provisions of the Shenzhen Stock Exchange's GEM Listing Rules, AVIC Group and AVIC Financial are related parties of the Company, constituting a related relationship, and the aforementioned transactions constitute related transactions. According to the relevant provisions of the Shenzhen Stock Exchange's GEM Listing Rules and the Company's Articles of Association, this related transaction must be approved by the Company's shareholders' meeting, and related shareholders AVIC Group, Hanzhong Hanhang Electromechanical Co., Ltd., Hanzhong Aviation Industry (Group) Co., Ltd., and AVIC Technology Co., Ltd. will abstain from voting. This related transaction does not constitute a major asset reorganization as defined by the Measures for the Administration of Major Asset Restructuring of Listed Companies.
(2) Actual Occurrence of Daily Related Transactions in 2025
The actual occurrence of daily related transactions in 2025 is as follows:
| Related Party | Type of Related Transaction | Pricing Principle | Estimated Amount for 2025 | Actual Amount for 2025 |
|---|---|---|---|---|
| AVIC Group or its controlled subsidiaries | Purchase of goods | Market principle | 2,748,042.66 | 2,473,245.69 |
| AVIC Group or its controlled subsidiaries | Provision of labor services | Market principle | 332,155.15 | 303,922.49 |
| AVIC Group or its controlled subsidiaries | Sale of goods | Market principle | 447,705.31 | 365,903.96 |
| AVIC Group or its controlled subsidiaries | Provision of services | Market principle | 42,563.22 | 5,439.45 |
| AVIC Group or its controlled subsidiaries | Lease of assets | Market principle | 3,876.19 | 2,391.32 |
| AVIC Group or its controlled subsidiaries | Rental of assets | Market principle | 450.00 | 176.07 |
| AVIC Financial | Deposits | Market principle | 4,900,000.00 (maximum daily deposit) | 4,874,200.00 (maximum daily deposit) |
| AVIC Financial | Loans | Market principle | 120,000.00 (comprehensive credit limit) | 84,600.00 (comprehensive credit limit) |