Core Viewpoint - The company aims to conduct foreign exchange derivative trading to mitigate exchange rate fluctuation risks and enhance financial stability as its international shipping business expands [1][2][5] Summary by Sections 1. Overview of Foreign Exchange Derivative Trading - The purpose of the trading is to prevent and reduce exchange rate fluctuation risks due to the growing scale of the company's international shipping business [1][2] - The company plans to engage in forward foreign exchange contracts, foreign exchange forwards, and foreign exchange swaps, with a maximum trading balance not exceeding $30 million (or equivalent foreign currency) [1][2][3] 2. Approval Process - The proposal for foreign exchange derivative trading was approved in the 21st meeting of the 4th Board of Directors and the 16th meeting of the 4th Supervisory Board on May 9, 2025 [2][3] - The authorization is valid for twelve months from the date of approval, allowing for the trading amount to be rolled over within the approved limit [3] 3. Risk Analysis and Control Measures - The company will adhere to legal, prudent, safe, and effective principles in its trading activities, avoiding speculative trading [4] - Risk management measures include strict operational guidelines, approval authority, and ongoing market analysis to adjust strategies as needed [4] 4. Impact on the Company - Engaging in foreign exchange derivative trading is intended to enhance financial stability and is aligned with the company's operational needs, posing no harm to shareholders, especially minority shareholders [5] - The company will follow relevant accounting standards for the recognition and measurement of financial instruments related to these trading activities [5]
海通发展: 福建海通发展股份有限公司关于开展外汇衍生品交易业务的公告