Avic Heavy Machinery announces share buyback, board reshuffle

Avic Heavy Machinery announced the termination of its A-share restricted stock incentive plan (second phase), leading to the repurchase and cancellation of 11,054,000 restricted shares. This action, approved on December 14, 2025, will reduce the company's total share capital by 11,054,000 shares, consequently decreasing its registered capital by 11,054,000 yuan. Creditors are invited to submit claims within 45 days from the announcement date.

Concurrently, the company is undergoing a board reshuffle, as the seventh board's term has expired. The eighth board will comprise nine directors, including three independent directors and one employee director. Five non-independent and three independent director candidates have been nominated and are pending shareholder approval at the sixth extraordinary general meeting in 2025.

Additionally, Avic Heavy Machinery is renewing its Directors' and Officers' Liability (D&O) insurance with a total cumulative compensation limit not exceeding 10,000 yuan for a 12-month period. This renewal aims to strengthen the company’s risk management and support its directors and senior management in fulfilling their responsibilities.