[Matters]

On November 9, the company issued an announcement to reduce capital and withdraw from the subsidiary. It plans to use the holding subsidiary Longhushan Xinyi to withdraw from Longhushan's new interpretation by targeting the company's registered capital. After the capital reduction is completed, the registered capital of Longhushan Xinyi will be reduced from 250 million yuan to 100 million yuan. At the same time, the company will no longer hold shares in Longhushan Xinyi.