Jiahe Foods(SH:605300) Xin Lang Cai Jing·2025-08-23 03:53Core Viewpoint - Jiahe Food Industrial Co., Ltd. has announced an adjustment to its foreign exchange hedging business limits to address the increasing foreign exchange receipts from its overseas operations [1][2]. Adjustment Background and Review Process - The adjustment is necessitated by the growing foreign exchange receipts due to the company's expanding overseas business, which has rendered the existing hedging limits insufficient for daily operational needs [2]. - The board of directors convened on April 24, 2025, to review and approve the relevant proposals for the foreign exchange hedging business [2]. - On August 21, 2025, the board held a subsequent meeting to approve the adjustment of the hedging limits and the feasibility analysis report, allowing the company and its subsidiaries to adjust the hedging limits based on actual operational needs [2]. Post-Adjustment Business Situation - The trading methods and venues include forward foreign exchange contracts, foreign exchange options, foreign exchange swaps, and foreign exchange mutual swaps, with transactions conducted through qualified financial institutions [3]. - The maximum contract value held on any trading day will not exceed 50 million USD (or equivalent foreign currency), with a maximum margin and premium of 3.5 million USD (or equivalent foreign currency) [3]. - The funding for these transactions will come from the company's own funds, and the authorization for these activities is valid until April 23, 2026 [3]. Risk and Control Measures - The company has established a management system for financial derivatives trading to mitigate risks, including market risk, operational risk, and bank default risk [4]. - Transactions will only be conducted with qualified financial institutions, and operations will be based on foreign exchange income and expenditure budgets, with regular audits by the internal audit department [4]. Impact on the Company - Engaging in foreign exchange hedging will enhance the company's ability to manage foreign exchange volatility risks, protecting profits and shareholder equity from adverse impacts [5]. - The company will adhere to relevant accounting standards for accounting and disclosure related to these hedging activities [5].