Shenzhen Textile A (000045): Progress In Providing Guarantee For Subsidiaries

Shenzhen textile (Group) Co., Ltd

The company and all members of the board of directors guarantee that the contents of the announcement are true, accurate and complete, and there are no false records, misleading statements or major omissions.

1、 Overview of guarantee

Shenzhen textile (Group) Co., Ltd. (hereinafter referred to as "the company" or "the guarantor") held the 28th meeting of the seventh board of directors on March 17, 2020, which deliberated and passed the proposal on applying for mortgage loan from the bank by the subsidiary and the proposal on providing guarantee for the mortgage loan of the subsidiary company. The second extraordinary general meeting of shareholders in 2020 was held on April 3, 2020 The proposal on providing guarantee for the mortgage loan of the subsidiary company was deliberated and passed. It was agreed that the subsidiary Shenzhen Shengbo Optoelectronic Technology Co., Ltd. (hereinafter referred to as "Shengbo optoelectronics" or "the borrower") to apply for 80% of its own properties to the Syndicate (hereinafter referred to as the "lender") with Shenzhen Branch of Bank of Communications Co., Ltd. as the lead bank, Fixed assets loan of RMB 10 million, with a term of no more than 8 years. The specific terms are subject to the syndicated loan for the industrialization project of polarizing film for ultra large size TV (line 7) (hereinafter referred to as the "loan agreement") and the mortgage contract of the syndicated loan of the polarizer industrialization project for ultra large size TV (line 7) signed by Shengbo optoelectronics and the lender; it is agreed that the company is a subsidiary of Shengbo optoelectronics 60% of the total debt under the project loan is provided with joint liability guarantee to the lender, of which the principal amount of the guaranteed creditor's right is 480 million yuan. For the above contents, please refer to the announcement on the company's application for bank mortgage loan guarantee (No. 2020-19) issued by cninfo.com.cn.

2、 Progress of guarantee

Recently, the company and Shenzhen Branch of Bank of Communications Co., Ltd., the guarantee agent of the lender, signed the guarantee contract for syndicated loan of large size polarizer industrialization project (line 7) (hereinafter referred to as "guarantee agreement") with respect to the above guarantee matters, stipulating that the company shall pay 60% of the total debt under the above loan agreement

Undertake joint and several liability to the lender.

3. Main contents of guarantee agreement

(1) guarantor: Shenzhen textile (Group) Co., Ltd

(2) guarantee agent: Shenzhen Branch of Bank of Communications Co., Ltd

(3) guarantee mode: joint and several liability guarantee

(4) scope of guarantee: 60% of all debts under the loan agreement. All debts include but are not limited to the loan principal, interest, penalty interest, compound interest and liquidated damages under the loan agreement; the expenses to be paid by the borrower as agreed in the loan agreement; all expenses incurred by the lender and the security agent to realize or protect the creditor's rights and / or the rights under the security agreement; the loan agreement or the guarantee agreement shall be paid by the borrower and the guarantor to the lender Other expenses, expenses and losses of the insurance agency.

(5) guarantee period: from the effective date of the guarantee agreement to any and / or all debts under the loan agreement

Two years from the date of expiration of the performance period.

4. The cumulative number of external guarantees and the number of overdue guarantees

As of the date of this announcement, the company's accumulated principal balance of external guarantee (including this time) is RMB 480 million, accounting for 17.60% of the company's audited net assets in 2019. In addition to this guarantee, the company and its holding subsidiaries did not provide guarantee for enterprises other than consolidated statements. The company and its holding subsidiaries have no overdue external guarantee, no external guarantee involving litigation and losses due to the judgment of losing the guarantee.

5、 Documents for reference

Guarantee contract of syndicated loan for large size TV polarizer industrialization project (line 7)

It is hereby announced

Shenzhen textile (Group) Co., Ltd

Board of directors October 24, 2002