China Satellite Communications to abolish supervisory board, update governance

China Satellite Communications, in line with the "Company Law" effective July 1, 2024, and the China Securities Regulatory Commission's "Arrangements for the Transitional Period of Implementing New 'Company Law' Supporting Institutional Rules" issued on December 27, 2024, will abolish its supervisory board. Its functions will be transferred to the board's audit committee. This change, approved by the board of directors on September 22, 2025, requires shareholder approval and will lead to revisions in the company's articles of association and other governance documents. The "Supervisory Board Rules of Procedure" will be repealed, while the "Shareholder Meeting Rules of Procedure" and "Board of Directors Rules of Procedure" will be revised for consistency.

Additionally, the company announced its intention to reappoint Pan-China Certified Public Accountants (Special General Partnership) as its 2025 financial report and internal control audit firm. The proposed audit fee is RMB 800,000 for the financial report and RMB 250,000 for internal control, totaling RMB 1.05 million, consistent with 2024 fees. This reappointment, approved by the board of directors, the independent directors' special meeting, and the audit committee on September 22, 2025, is also subject to approval at the 2025 third extraordinary general meeting of shareholders.