Core Viewpoint - The company has approved a hedging business to mitigate risks associated with price fluctuations of raw materials and related products, using its own funds not exceeding 46 million yuan [1][2][3] Group 1: Hedging Business Details - The hedging business will focus on futures related to cottonseed and its products, including cotton oil and cotton meal/protein, as well as soybean meal futures [2] - The investment amount is capped at 46 million yuan, which includes margin and risk funds, with a maximum contract value of 650 million yuan on any trading day [2] - The trading will occur on legally operating futures exchanges within China, using self-owned funds without involving raised capital [2] Group 2: Risk Management and Oversight - The hedging business is intended solely to reduce risks from price fluctuations and not for profit-making purposes [2] - The company has established a risk management system to control market, technical, and policy risks, including regular audits by the audit department and oversight by the audit committee [2][3] - The supervisory board supports the hedging initiative, affirming that it aligns with legal and regulatory requirements and does not harm the interests of shareholders, particularly minority shareholders [3]