Polaris Bay Group to abolish supervisory board, update governance

Polaris Bay Group announced the cancellation of its board of supervisors and amendments to its Articles of Association, effective November 24, 2025. This restructuring delegates the supervisory board's legal functions to the audit committee of the board of directors and introduces employee directors. Concurrently, the company will revise related internal management policies, including the Rules of Procedure for Shareholders' Meetings, Rules of Procedure for the Board of Directors, and various committee work rules. This move aligns with the new Company Law and China Securities Regulatory Commission guidelines for listed companies.

The revised Articles of Association will see the removal of the supervisory board chapter, the establishment of independent director special meeting systems, new regulations for employee directors, and a standardized use of "shareholders' meeting." Additionally, related policies like the management of connected transactions, external guarantees, information disclosure, and guidelines for shareholdings of directors and senior management will be updated. These changes aim to streamline operations and strengthen internal controls.

The company's board of directors approved these changes and nominated Mr. Zhu Yu as a new member of the Strategic Committee. All amendments, except for the addition of Mr. Zhu Yu, await approval at the second extraordinary shareholders' meeting on December 10, 2025.