Zhen Ding-KY Approves Increased Endorsement Guarantee Limit for Subsidiary Xian Feng Communications

On May 12, 115 (Republic of China calendar), the board of directors of Zhen Ding-KY approved a proposal to renew and increase the endorsement guarantee limit for its affiliated company, Xian Feng Communications Co., Ltd. The new total endorsement guarantee limit is NT$125,758,458,000. An additional NT$14,219,450,000 has been added, bringing the total outstanding balance to NT$28,236,100,000 as of the factual occurrence date. The subsidiary has actually utilized NT$3,264,380,000 of the guarantee. This strategic measure aims to support the subsidiary's business expansion and secure working capital, thereby enhancing the overall financial stability of the group. Xian Feng Communications' latest financial statement shows a capital of NT$2,159,185,000 and an accumulated deficit of NT$4,649,632,000. There are no collateral provisions for this guarantee. The conditions and date for the release of the endorsement guarantee responsibility are as per contract regulations. The outstanding endorsement guarantee balance as of the factual occurrence date represents 22.45% of the publicly issued company's net worth based on its latest financial statements. The combined total of endorsement guarantees, long-term investments, and fund lending outstanding as of the factual occurrence date represents 66.09% of the publicly issued company's net worth based on its latest financial statements. The exchange rate used for USDTWD is 31.5700.