Shandong Donghong Pipe Industry Co.Ltd(603856) : Shandong Donghong Pipe Industry Co.Ltd(603856) supplementary announcement on the company's directors and senior managers' increase of shares and apology due to misoperation and violation

Securities code: Shandong Donghong Pipe Industry Co.Ltd(603856) securities abbreviation: Shandong Donghong Pipe Industry Co.Ltd(603856) Announcement No.: 2022015

Shandong Donghong Pipe Industry Co.Ltd(603856)

The company's directors and senior managers increased their holdings in violation of regulations due to misoperation

Supplementary announcement of the company's shares and apology

The board of directors and all directors of the company guarantee that there are no false records, misleading statements or major omissions in the contents of this announcement, and bear individual and joint liabilities for the authenticity, accuracy and completeness of its contents.

Shandong Donghong Pipe Industry Co.Ltd(603856) (hereinafter referred to as "the company") disclosed the announcement of Shandong Donghong Pipe Industry Co.Ltd(603856) on directors and senior managers' increase of shares and apology for misoperation and violation of regulations (Announcement No.: 2022014) on April 7, 2022. The company recently received the supplementary explanation on the explanation and apology letter on the purchase of shares of the company due to misoperation and violation issued by Mr. Bi Xingtao, director and vice president of the company. The specific contents are as follows:

2、 The apology statement and commitment of the directors and senior managers of the company and the handling of this illegal shareholding increase

1. The illegal increase of shares was the party's operation error, not subjective intention. Mr. Bi Xingtao deeply recognized the seriousness of the violation, took the initiative to review the board of directors of the company and apologized to the majority of investors for the illegal increase of shares. It is clear that in the future, we will strengthen the management of securities accounts, strengthen the study and strict compliance with relevant laws, regulations and normative documents, and strictly manage individual stock accounts to prevent such things from happening again.

2. Mr. Bi Xingtao promised not to reduce his holdings of the company's shares in the next six months, and promised that if he sold these shares in the future, the proceeds would belong to the company.

3. The board of directors of the company attached great importance to this matter after learning about it, timely verified the relevant situation, warned it about this matter, and reiterated to it the relevant provisions on the trading of shares of listed companies by directors, supervisors and senior managers. The company will take further measures to remind relevant personnel to strengthen the study of laws and regulations, urge relevant personnel to comply with regulations and strengthen account management to avoid such things from happening again.

Supplementary disclosure:

2、 The apology statement and commitment of the directors and senior managers of the company and the handling of this illegal shareholding increase

1. The illegal increase of shares was the party's operation error, not subjective intention. Mr. Bi Xingtao deeply recognized the seriousness of the violation, took the initiative to review the board of directors of the company and apologized to the majority of investors for the illegal increase of shares. It is clear that in the future, we will strengthen the management of securities accounts, strengthen the study and strict compliance with relevant laws, regulations and normative documents, and strictly manage individual stock accounts to prevent such things from happening again.

2. Mr. Bi Xingtao promised not to reduce his holdings of the company's shares in the next 12 months, and promised that if he sold these shares in the future, the proceeds would belong to the company.

3. The board of directors of the company attached great importance to this matter after learning about it, timely verified the relevant situation, warned it about this matter, and reiterated to it the relevant provisions on the trading of shares of listed companies by directors, supervisors and senior managers. The company will take further measures to remind relevant personnel to strengthen the study of laws and regulations, urge relevant personnel to comply with regulations and strengthen account management to avoid such things from happening again.

In addition to the above supplementary contents, the original announcement of the company remains unchanged. The Company Apologizes for the inconvenience caused to investors. Please understand.

It is hereby announced.

Shandong Donghong Pipe Industry Co.Ltd(603856) board of directors April 7, 2022

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