XJJW(SH:600888) Xin Lang Cai Jing·2025-08-26 13:53Core Viewpoint - Xinjiang Zhonghe Co., Ltd. plans to conduct aluminum oxide hedging to mitigate price volatility risks affecting sales profits [1][2] Group 1: Business Details - The hedging transaction is expected to have a maximum margin requirement of 1.152 billion yuan and a maximum contract value of 9.6 billion yuan on any trading day [2] - The company plans to sell up to 2.4 million tons of aluminum oxide for hedging within the next 12 months, with the hedging position not exceeding the sales volume [2] - The funding for the hedging activities will come from self-raised funds, without involving raised capital [2] Group 2: Approval Process - The proposal was approved by the Audit Committee on August 19, 2025, and subsequently by the Board of Directors on August 26, 2025, pending approval from the shareholders' meeting [3] - The hedging activities will be conducted in compliance with the internal control system of the company, focusing on risk management and avoiding speculative trading [3] Group 3: Risk Analysis and Control - The company acknowledges potential risks including price volatility, funding, liquidity, and internal control risks, and has established measures to manage these risks [3] - The aim of the hedging business is to stabilize profit levels and mitigate product price fluctuation risks, with accounting treatment to follow relevant accounting standards [3]