Common use of Loan Services Clause in Contracts

Loan Services. The loan services to be provided by CSCF to the Group are on normal commercial terms or better (i.e. terms that are similar or more favourable than those offered by at least three major commercial banks in the PRC for the provision of comparable services) and are in the interest of the Group. No security over the assets of the Group is granted to CSCF in respect of the loan services. They will therefore be exempt from all reporting, announcement and independent Shareholders’ approval requirements under Rule 14A.90 of the Listing Rules. CSCF will provide other financial services, including centralized fund monitoring, entrusted loans, cross-border capital pooled-transmittance, opening of acceptance bills and supply-chain financing services, to the Group for free under the Financial Services Agreement. Thus, the Company expects that all of the applicable percentage ratios as defined under the Listing Rules calculated for the Company in respect of the total fees payable by the Group to CSCF for the provision of other financial services by CSCF under the Financial Services Agreement will fall within the de minimis threshold and will be exempt from all reporting, announcement and independent Shareholders’ approval requirements under Rule 14A.76 of the Listing Rules.

Loan Services. The loan services to be provided by CSCF to the Group are on normal commercial terms or better (i.e. terms that are similar or more favourable than those offered by at least three major commercial banks in the PRC for the provision of comparable services) and are in the interest of the Group. No security over the assets of the Group or any interest payment is granted to CSCF in respect of the loan services. They will therefore be exempt from all reporting, announcement and independent Shareholders’ approval requirements under Rule 14A.90 of the Listing Rules. CSCF will provide other financial services, including centralized fund monitoring, entrusted loans, cross-border capital pooled-transmittance, opening of acceptance bills and supply-chain financing services, to the Group for free under the Financial Services Agreement. Thus, the Company expects that all of the applicable percentage ratios as defined under the Listing Rules calculated for the Company in respect of the total fees payable by the Group to CSCF for the provision of other financial services by CSCF under the Financial Services Agreement will fall within the de minimis threshold and will be exempt from all reporting, announcement and independent Shareholders’ approval requirements under Rule 14A.76 of the Listing Rules.