China Merchants Shekou guarantees loans for subsidiary Zhaoxin (Xiamen)

China Merchants Shekou Industrial Zone Holdings will provide a joint liability guarantee for its wholly-owned subsidiary, Zhaoxin (Xiamen) Real Estate Co., Ltd., covering loans of up to 500 million yuan from China Construction Bank Xiamen Branch and up to 200 million yuan from China Merchants Bank Xiamen Branch. The guarantee is proportional to its 100% equity stake in Zhaoxin (Xiamen) and will be valid for three years from the effective date of the guarantee contract.

This guarantee falls within the previously approved quota of 31.6 bn yuan for the company's subsidiaries, with 15 bn yuan allocated for subsidiaries with asset-liability ratios exceeding 70%. Following this transaction, the company's outstanding guarantee balance for subsidiaries will be 25.652 bn yuan, of which 9.052 bn yuan is for subsidiaries with an asset-liability ratio above 70%.

As of the announcement date, the total external guarantees by China Merchants Shekou and its controlled subsidiaries amount to 35.065 bn yuan, representing 31.59% of the latest audited net assets attributable to the parent company. Guarantees for consolidated entities outside the scope of the parent company's consolidated financial statements stand at 5.014 bn yuan, or 4.52% of the parent company's net assets. There are no overdue, litigated, or judgment-induced loss-bearing guarantees.