Friend (SH:605050) Zheng Quan Zhi Xing·2025-08-25 16:13General Provisions - The company establishes a management system for the shares held by its directors and senior management to comply with relevant laws and regulations, including the Company Law and Securities Law of the People's Republic of China [1][2] - This system applies to the management of shares held by directors and senior management, who must adhere to legal restrictions on share transactions [1][2] Shareholding Management - Directors and senior management must notify the board secretary in writing of their trading plans before buying or selling shares, and the board secretary will verify compliance with disclosure and legal requirements [2][3] - There are specific circumstances under which directors and senior management are prohibited from transferring shares, including within one year of the company's stock listing and within six months after leaving the company [2][3] Transfer Limitations - Directors and senior management can only transfer up to 25% of their total shareholdings during their term, with exceptions for certain legal circumstances [3] - If the number of shares held is less than 1,000, they may transfer all shares without being subject to the aforementioned limit [4] Disclosure Requirements - A reduction plan must be reported to the stock exchange 15 trading days before the first sale, detailing the number of shares, time frame, and reasons for the reduction [4][5] - Directors and senior management must disclose the progress of their share reductions if they exceed half of the planned amount or if significant company events occur during the reduction period [5] Trading Restrictions - Directors and senior management are prohibited from trading shares during specific periods, such as 15 days before the annual or semi-annual report announcements [6][7] - Violations of the Securities Law regarding the timing of buying and selling shares will result in the company reclaiming any profits made from such transactions [6] Reporting Changes - Any changes in shareholdings must be reported to the company within two trading days, including details of the number of shares before and after the change [7][8] - The company is responsible for ensuring that all information related to shareholding and transfers is accurate and timely [8]