Shanxi Fenjiu: The ownership hierarchy between the controlling shareholder and the actual controller will be reduced.

Shanxi Fenjiu announced that the Shanxi Provincial People's Government has decided to transfer 90% of the equity of Fenjiu Group held by Shanxi SOE Operation Company directly to the Shanxi Provincial State-owned Assets Supervision and Administration Commission. The industrial and commercial registration changes have not been completed yet. This reduction in equity levels will not change the direct controlling shareholder or the actual controller of the company. The direct controlling shareholder remains Fenjiu Group, and the actual controller remains the Shanxi Provincial State-owned Assets Supervision and Administration Commission, and does not involve a tender offer. This change in ownership will not affect the stability of the company's control rights and will not have any adverse impact on the company's operation and development.