CRRC Corporation intends to amend the "Articles of Association" and related rules of procedure to further enhance the level of corporate governance. The revisions include the resignation of the legal representative, the procedure for reducing registered capital, and various aspects concerning the qualifications of independent directors.The amended "Articles of Association" clearly state that the resignation of the chairman is regarded as the simultaneous resignation of the legal representative, and the company must confirm a new legal representative within 30 days. When reducing registered capital, the company must announce it in the national enterprise credit information public system. New requirements for independent director qualifications include "having good personal character and not having significant dishonesty or other adverse records". Additionally, the shareholding...Show More

CRRC Corporation intends to amend the "Articles of Association" and related rules of procedure to further enhance the level of corporate governance. The revisions include the resignation of the legal representative, the procedure for reducing registered capital, and various aspects concerning the qualifications of independent directors.The amended "Articles of Association" clearly state that the resignation of the chairman is regarded as the simultaneous resignation of the legal representative, and the company must confirm a new legal representative within 30 days. When reducing registered capital, the company must announce it in the national enterprise credit information public system. New requirements for independent director qualifications include "having good personal character and not having significant dishonesty or other adverse records". Additionally, the shareholding ratio for shareholders' proposal rights is adjusted from 3% to 1%.The above amendments must be approved by the shareholders' meeting through a special resolution to take effect. The Board of Directors believes that these amendments are in the interest of the company and shareholders and recommends that shareholders vote in favor. The company will promptly announce and send a shareholder circular containing the details of the amendments.