Flagship Group: The shareholding ratio of the controlling shareholder and its concerted actor has been passively diluted by 5%.

Qibin Group announcement, the conversion of convertible bonds into shares increases the total number of company shares, resulting in the dilution of the shareholding ratio of the controlling shareholder Fujian Qibin, the actual controller Yu Qibing and their concerted action person Yu Yong, Ningbo Qibin, from 40.98% to 39.90%, triggering a decrease of a multiple of 5%. The shareholding amounts of the above entities have not changed. This equity change does not trigger a tender offer, will not lead to changes in the company's largest shareholder and actual controller, and will not affect the company's governance structure and ongoing operations.