Yihualu: The court decided to initiate pre-reorganization proceedings for the company.

Yihua Lu announced that the company received a decision from the Beijing First Intermediate People's Court on May 19, 2026, to initiate pre-reorganization of the company. The company is required to fulfill various obligations including properly safeguarding assets. Initiating pre-reorganization is helpful for early implementation of relevant work and development of pre-reorganization plans. However, there is uncertainty about whether the company will proceed to the reorganization process. Additionally, the company faces the risk of bankruptcy and delisting if the reorganization fails due to being under investigation for suspected disclosure violations and having negative net assets for the year 2025, resulting in the implementation of delisting risk warnings on the company's stock.