Zhang He: Strongly opposes the ruling of the Supreme Court of Panama and the corresponding actions of Panama.

In response to the voluntary announcement published by our company on February 4, 2026, the Panamanian government, on February 23, 2026, published in the Panamanian government's official gazette the decision of the Panamanian Supreme Court on January 29, 2026, regarding Law No. 5 of January 16, 1997, as well as an administrative order requiring the Panamanian government to take possession of all assets of our company's subsidiary, Panama Ports Company. The Panamanian government forcibly entered the terminals operated by PPC at the ports of Balboa and Cristobal, and took over administrative and operational control of the terminals. It is understood that the concession rights were deemed terminated as of February 23, 2026, and PPC ceased all operations at the two ports on the same day. PPC has received legal advice indicating that the decision, the administrative order, and the actions taken by the Panamanian government regarding PPC's operations at the two ports are not in line with the relevant legal framework and the laws approving the concession contract. The Board strongly opposes the decision, the administrative order, and the actions of the Panamanian government, and the Group will continue to work with its legal advisors to preserve all rights and explore all possible legal avenues to defend the Group's interests, including resorting to further domestic and international legal proceedings on the matter.