Snow Dragon Group: Termination of external investment to establish wholly-owned subsidiary Ningbo Snow Dragon Aluminum-Magnesium Technology Co., Ltd.

Announcement of Snow Dragon Group: The company held a board meeting on December 10, 2025, and approved the establishment of a wholly-owned subsidiary "Ningbo Snow Dragon Aluminum Magnesium Technology Co., Ltd." with a registered capital of 100 million yuan. However, after careful consideration, the company has decided to terminate this external investment. The company will integrate and promote the die-casting project layout in the form of internal workshops, rely on the existing entities to implement the extension of the industrial chain, streamline the management structure, improve operational efficiency, reduce management costs, further reduce reliance on external processing, optimize production processes and cost structures, and continuously strengthen core competitiveness. As of now, the subsidiary has not been established, and the company has not actually made any investment. This termination will not have a significant impact on the company's financial condition and operations.