Shenzhen Huakong Seg Co.Ltd(000068) : Announcement on the progress of arbitration cases

Stock Code: 000068 stock abbreviation: Shenzhen Huakong Seg Co.Ltd(000068) Announcement No.: 2022-02 Shenzhen Huakong Seg Co.Ltd(000068)

Announcement on the progress of arbitration cases

The company and all members of the board of supervisors guarantee that the information disclosed is true, accurate and complete without false records, misleading statements or major omissions.

Special tips:

1. The arbitration stage of the case: the arbitration institution has held a hearing, but has not yet made an award.

2. The party status of the listed company: the respondent.

3. Amount involved: RMB 585351491.2.

4. Whether it has a negative impact on the profits and losses of the listed company: because the arbitration has not been ruled, it is impossible to predict the impact on the profits of the company in the current period or after the current period.

1、 Basic information of this arbitration

Shenzhen Huakong Seg Co.Ltd(000068) (hereinafter referred to as ” Shenzhen Huakong Seg Co.Ltd(000068) “) received the notice on reply to the arbitration case (2020) Jingzhong case Zi No. 2257) mailed by Beijing Arbitration Commission (Beijing International Arbitration Center) and relevant materials of the case on July 24, 2020. The applicant Tongfang Investment Co., Ltd. requested a ruling Shenzhen Huakong Seg Co.Ltd(000068) to repay the principal and income of Tongfang investment, totaling RMB 585351491.2. Up to now, the case has been heard on November 13, 2020 and April 20, 2021 respectively, but it has not been decided, so it is impossible to estimate all the impact on the company for the time being.

For details about the arbitration application, civil ruling and property preservation, see the announcement on receiving the arbitration application (Announcement No.: 2020-41) issued by the company on cninfo.com on July 29, September 11 and September 16, 2020 Announcement on receiving civil ruling (Announcement No.: 2020-51) and announcement on arbitration progress and property preservation (Announcement No.: 2020-53).

2、 Progress of this arbitration

The company recently received the execution ruling and the notice of property preservation result (2021) Yue 0310 Zhibao No. 397-2 issued by the people’s Court of Pingshan District, Shenzhen, Guangdong Province. The main contents are as follows:

“On July 20, 2021, the deposit of the respondent Shenzhen Huakong Seg Co.Ltd(000068) in Ping An Bank Co.Ltd(000001) Shenzhen Branch 0012100782571 account (RMB 11029015.95 has been actually frozen, and the frozen amount is RMB 584350880.70). The freezing period is one year, from July 20, 2021 to July 19, 2022.”

3、 Other undisclosed litigation and arbitration matters

As of the disclosure date of this announcement, the company has no other major litigation and arbitration matters that should be disclosed but not disclosed. 4、 Possible impact of litigation and arbitration in this announcement on the company’s profits in the current period or after the period

As of the date of this announcement, the above cases have not been adjudicated, and it is temporarily impossible to estimate the possible impact on the company’s current or future profits. The final result can be determined only after the arbitration institution makes a judgment on the case or mediation takes effect. The company will attach great importance to, pay close attention to and actively respond to the case, earnestly safeguard the interests of the company and shareholders, and timely perform the obligation of information disclosure according to the progress of arbitration. Please pay attention to investment risks.

5、 Documents for future reference

The people’s Court of Pingshan District, Shenzhen, Guangdong Province issued the execution ruling and the notice of property preservation results (2021) Yue 0310 Zhibao No. 397-2.

It is hereby announced.

Shenzhen Huakong Seg Co.Ltd(000068) board of directors January 26, 2002

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