Huaihe Energy(SH:600575) Zheng Quan Zhi Xing·2025-08-29 11:44Core Viewpoint - Huaihe Energy Group Co., Ltd. has announced the cancellation of its supervisory board and the revision of its Articles of Association to enhance corporate governance and comply with the new Company Law effective from July 1, 2024 [1][2]. Summary by Sections Cancellation of Supervisory Board - The company plans to abolish the supervisory board and its members, transferring the supervisory responsibilities to the audit committee of the board of directors [2]. - The supervisory board will continue to fulfill its supervisory duties until the shareholders' meeting approves the cancellation [2]. Revision of Articles of Association - The revision includes numerous changes, such as replacing "shareholders' meeting" with "shareholders' assembly" and deleting the section related to the supervisory board [2]. - Specific terms related to the supervisory board have been modified to reflect the new structure, including changes to the titles and responsibilities of the audit committee [2][3]. Key Changes in Articles of Association - The first article now emphasizes the protection of the rights of the company, shareholders, and creditors [3]. - The role of the chairman as the legal representative of the company is clarified, with provisions for appointing a new representative within 30 days if the current one resigns [6]. - New provisions have been added regarding the company's liability for damages caused by the legal representative while performing duties [7]. - The total number of shares issued by the company remains at 3,886,261,065, all of which are ordinary shares [8]. - The company is prohibited from providing financial assistance for the acquisition of its shares, with specific exceptions for employee stock ownership plans [8]. Governance and Compliance - The company has established measures to prevent the controlling shareholders from misusing their power and harming the interests of the company and minority shareholders [24][25]. - The board of directors is tasked with enhancing the management of financial resources and ensuring compliance with legal and regulatory requirements [25][26]. - The company will implement a mechanism to freeze shares held by controlling shareholders in case of asset misappropriation [26][27].