Swan Cotton Machinery(SH:603029) Shang Hai Zheng Quan Bao·2025-09-26 19:44Core Viewpoint - The company has signed an agreement with Xinjiang Changji Rural Commercial Bank to provide a credit limit of RMB 50 million for cotton picker mortgage sales, indicating a strategic move to support its customers and manage financial risks [2][3]. Group 1: Guarantee and Credit Agreement - The company has provided a guarantee for the mortgage loans of cotton picker customers, with a total guarantee amount of RMB 34,139.44 million, which accounts for 38.07% of the company's latest audited net assets [2][10]. - The company has agreed to provide a maximum credit limit of RMB 50 million for new cotton picker mortgage sales, with a loan term not exceeding 36 months [3][4]. - The company will provide a cash collateral guarantee amounting to 8% of the total loan amount for the credit line [4]. Group 2: Loan Extension and Repayment - As of September 25, 2025, the company has provided guarantees for the extension of mortgage loans totaling RMB 6,030.44 million for 57 customers, with one customer having an outstanding loan balance of RMB 150.6 million [8]. - The company has undertaken to repay a total of RMB 959.10 million for five customers with non-performing loans, which includes principal and interest for overdue loans [9]. - The company has made provisions for expected liabilities amounting to RMB 2,605.83 million related to the mortgage loan guarantees, which will not significantly impact its current profit and loss [9]. Group 3: Future Measures and Risk Management - The company plans to adopt a "reduce new, lower existing" principle to manage the scale of mortgage guarantee business and will encourage customers to seek financing independently [9]. - The company will actively cooperate with the bank to enhance collection efforts and reduce the balance of existing mortgage guarantees [9]. - The company will continue to monitor the repayment status of customers with loans maturing in 2025 and will fulfill its information disclosure obligations based on subsequent developments [9].