Announcement for Shanghai Unitech 2022 Q1 Endorsement Guarantee Balance Exceeded Explanation and Improvement Plan

 Announcement for Shanghai Unitech
2022 Q1 Endorsement Guarantee Balance Exceeded
Explanation and Improvement Plan

1.Date of occurrence of the event:2022/08/09
2.Company name:Shanghai Unitech Electronics Co,Ltd.
3.Relationship to the Company (please enter "head office" or
  "subsidiaries"):subsidiary
4.Reciprocal shareholding ratios:100%
5.Cause of occurrence:
(1).In accordance with the Financial Supervision and Administration
Commission's letter on August 1, 2022, letter No. 1110351173.
(2).Shanghai Zhanhua Electronics Co., Ltd.(SUT), a subsidiary of the parent
company, as of the end of the Q1 of 2022, the balance of endorsement
guarantees has exceeded the limit set by the subsidiary. The parent company
should urge the subsidiary to formulate improvement plans and announce the
implementation status and report to the parent company's board of directors
quarterly for control, and report the implementation situation at the next
parent company's shareholders meeting.
6.Countermeasures:
The improvement plan is as follows:
To amend the "Endorsement and Guarantee Operation Procedures" of
 both the UT and SUT to increase the limit of endorsement guarantees
for a single enterprise;To conduct an overall overhaul of the operation
 procedures, and report to the Audit Committee and the Board of
 Directors in November 2022 in accordance with the internal operation
 procedures, and the shareholders' meeting in 2023.
7.Any other matters that need to be specified:No