Juneyao Airlines revamps governance, abolishes board of supervisors

Shanghai Juneyao Airlines Company Limited (Juneyao Airlines) announced comprehensive changes to its corporate governance, including the abolition of its board of supervisors. This move, effective from July 1, 2024, aligns with China's new Company Law and related regulations. The board's audit committee will assume the responsibilities previously held by the supervisors. The company's Articles of Association will be revised to reflect these changes, alongside updates to multiple governance systems such as the Shareholder Meeting Rules and Information Disclosure Management System.

These governance updates aim to enhance the company's operational efficiency and adherence to the latest legal frameworks. Key revisions also include new rules for external guarantees, external investments, related party transactions, and capital raising. Certain amended rules for the Articles of Association and some new governance policies will require shareholder approval.

Additionally, Juneyao Airlines is proposing the appointment of Shanghai Certified Public Accountants (Special General Partnership) as its financial report and internal control audit institution for 2025, with an annual audit fee totaling RMB2.1 million. This appointment follows the termination of services from ZhongShen ZhongHuan Certified Public Accountants (Special General Partnership) after a one-year engagement, a change that has received no objections from the previous firm.