QINGLING MOTORS (01122), the finance leasing company, and the dealer entered into three repurchase agreements with substantially the same terms.

QINGLING MOTORS (01122) announced that on September 22, 2026, the Company, the finance leasing company, and the dealer entered into three repurchase agreements with substantially the same terms. The leased assets are a batch of new energy vehicles leased by the dealer from the finance leasing company under the finance leasing contracts, with a total of 65 vehicles; and the lease receivables are the lease receivables corresponding to the leased assets that the finance leasing company is entitled to against the dealer under the finance leasing contracts (including overdue unpaid rent, the principal in all unpaid rent and the residual purchase price, but excluding other fees, liquidated damages, damages, etc. under the finance leasing contracts), as well as the related rights established by the finance leasing company to control the leased assets (including but not limited to the corresponding mortgage receivables established by the finance leasing company against the dealer in respect of the relevant leased assets). In response to national policies and government requirements, the Company actively explores technological innovation and business model transformation for new energy commercial vehicles, promotes the deep integration of the industrial chain, innovation chain, and capital chain of the new energy intelligent connected vehicle industry, and cultivates and strengthens the new energy commercial vehicle industry and market. At present, although the Company's sales volume of new energy commercial vehicles has achieved relatively rapid growth in the light commercial vehicle industry, the overall sales volume remains relatively low. As the general purchase cost of new energy commercial vehicles is relatively high, customers' mode of using new energy commercial vehicles has gradually shifted from the past car-purchasing model to a car-leasing model. Therefore, the leasing model has become an important channel for driving sales of new energy commercial vehicles. To this end, the Company draws on the finance leasing model generally adopted by domestic automobile enterprises, strengthens cooperation with financial institutions such as commercial banks and financial leasing companies, and provides repurchase obligations for the financing business of customers or dealers purchasing the Group's new energy vehicles. Accordingly, the repurchase obligation under the repurchase agreements is in substance a performance enhancement guarantee provided by the Company for the sale of its own products, and does not constitute pure financing guarantee provided for third parties. Taking into account, among other things, that the repurchase obligation provided by the Company under the repurchase agreements is a guarantee measure generally adopted in the finance leasing business of the automobile industry, which is conducive to driving the Company's sales volume of new energy vehicles and expanding the sales scale and market share of the Company's new energy vehicles; that the Company has the right to monitor the leased assets through technical means such as the Internet of Vehicles, thereby reducing the risk of damage to or loss of the leased assets and the risk that the dealer fails to return the corresponding leased assets to the Company, and the Company still has the right to require the dealer to purchase the leased assets on an as-is basis; that the Company will establish a digital monitoring platform for vehicle operation to monitor the intact rate, rental rate, utilization efficiency, and payment collection of the leased asset, and will share information with the finance leasing company; that the Company will expand second-hand vehicle subleasing or sales business, as well as aftermarket businesses such as vehicle reconditioning and remanufacturing, which will help the Company expand its second-hand vehicle business and increase revenue; that the dealer is required under the repurchase agreements to pay a performance bond to the Company to offset any shortfall payable by the dealer to the Company; and that the Company can collect the full sales proceeds in advance, thereby enhancing the liquidity and flexibility of the Group's funds, the Directors consider that the terms of the repurchase agreements (including but not limited to the performance bond and the repurchase price) and the transactions contemplated thereunder are fair and reasonable and in the overall interests of the Company and its shareholders.