Mountain Push Group: The controlling shareholder intends to extend the fulfillment of the commitment to avoid competing in the same industry by 3 years.

Shandong Heavy Industry Group recently received a letter from its controlling shareholder Shandong Heavy Industry Group, proposing to extend the deadline for the fulfillment of the "Letter of Commitment to Avoid Inter-industry Competition" issued in 2021 by 3 years to 2029, in order to resolve the issue of inter-industry competition in the loader business between SDLG and the company. As of the end of 2024, SDLG's asset-liability ratio was 112.20%, net assets were -773 million, 2024 revenue was 5.07 billion, and net profit was 22 million. The current integration has a significant impact on the company's financial indicators, and it is not the best time for integration at this stage. During the extension period, Shandong Heavy Industry Group will take measures such as product differentiation, customer segmentation, and channel division. The proposal has been approved by the board of directors and still needs to be submitted for approval at the first extraordinary general meeting of shareholders in 2026.