Shi Shuo Industrial Announces Improvement Plan for Subsidiary Global Tek GmbH's Excessive Lending to Others

1. Factual Date: 115/08/10

2. Company Name: Global Tek GmbH

3. Relationship with Company (please enter Parent or Subsidiary): Subsidiary

4. Cross-shareholding Ratio: 100%

5. Reason for Occurrence:

(1) In accordance with the Financial Supervisory Commission’s Notice No. 1140340215 dated April 25, 2025, an announcement regarding the improvement plan is hereby issued.

(2) Due to recognizing losses from an investee company, Global Tek GmbH experienced a decline in net worth, resulting in its outstanding loan balance to Formtechnology GmbH exceeding the prescribed limit.

6. Response Measures:

(1) The improvement plan is as follows: Formtechnology GmbH filed for bankruptcy with a German local court during 113. The local court appointed a provisional bankruptcy administrator in December 113, but the liquidation process remains incomplete. The entire loan amount has been fully provided for as bad debt loss in December 113, amounting to EUR 110 thousand. The formal derecognition will be carried out based on the final liquidation results.

(2) On August 10, 115, the board of directors reported that the liquidation procedure is still ongoing.

7. Other Matters to be Disclosed (If the subject of the event or resolution is a publicly listed company or above, this significant information also qualifies under Article 7, Paragraph 9 of the Enforcement Rules of the Securities Trading Act, concerning matters having material impact on shareholders’ rights or securities prices):

The implementation status of the improvement plan will be announced quarterly and reported to the board of directors each quarter for control purposes. The execution status has already been reported at the annual general meeting held on June 9, 115.