Core Points - The article outlines the management measures for Haier Smart Home Co., Ltd.'s bulk raw material hedging business, emphasizing the need for compliance with relevant laws and regulations to protect company assets and investor interests [2][3] - The hedging business aims to lock in raw material procurement costs through futures and options trading, mitigating risks associated with price fluctuations in the spot market [2][3] Group 1: General Provisions - The measures apply to all relevant departments and personnel of the company and its wholly-owned subsidiaries, which may develop supplementary measures based on these guidelines [2] - The total annual hedging volume and capital must be approved by the company's executive office, board of directors, or shareholders' meeting [3] Group 2: Organizational Structure and Responsibilities - The board of directors authorizes the management to establish a hedging business leadership group responsible for defining the scope, principles, and annual plans for the hedging business [6] - A working group under the leadership group is responsible for executing the hedging transactions and ensuring proper separation of duties among its members [6][7] Group 3: Authorization Management - The company implements a hierarchical authorization management system for hedging operations, requiring approval for transactions exceeding the authorized limits [8][10] - Any changes in authorized personnel must be communicated immediately to all relevant parties [10] Group 4: Business Processes - The working group must develop hedging plans based on various factors, including operational goals, market conditions, and risk assessments [11] - Hedging plans must be submitted for approval and executed strictly according to the approved guidelines [11][12] Group 5: Risk Management - The finance department is responsible for monitoring risks associated with the hedging business and ensuring compliance with internal control policies [18][19] - A risk measurement system is established to monitor changes in funding risks, including margin requirements and potential losses [19] Group 6: Documentation Management - The company is required to maintain records of all hedging transactions and related documents for a minimum of seven years [23] Group 7: Implementation and Amendments - The measures are to be implemented upon approval by the shareholders' meeting and can be amended following the same process [24]