Mongolian Grass Ecological Reserve: Hangjin Houqi PPP project terminated early, debt restructuring involves an amount of 173 million yuan.

The ecological announcement of Mengcao, the holding subsidiary Hangjin Houqi Jingfeng Landscaping Co., Ltd. signed the "PPP Project Contract for the Construction of Lake and Two Roads in Hangjin Houqi, Bayannur City, Wide Forest Belt Landscape" with Hangjin Houqi Landscaping Service Center is planned to be terminated in advance. As of December 31, 2025, the total project cost is 173 million yuan, of which 119 million yuan has been paid, and the remaining 53.9281 million yuan has not been paid. According to the termination agreement, Hanghou Greening will pay 37.12 million yuan before December 31, 2025, and 7.8488 million yuan before January 30, 2026. After a total payment of 44.9688 million yuan, the remaining debt will be waived. The debt restructuring is expected to impact the company's current pre-tax profit by approximately -8.0345 million yuan.