Demax: Equity Incentive Plan Self-Checklist
Self-Check Form for Equity Incentive Plans of GEM Listed Companies
Company abbreviation: Demax Stock code: 301007 Independent financial advisor (if any): Not applicable
Does this serial number matter matter (yes/no remarks/not applicable) compliance requirements for listed companies
Whether the financial accounting report for the most recent fiscal year has been issued a negative opinion by a certified public accountant or cannot be expressed
1 Audit report disclaiming an opinion
The internal control of the financial report in the most recent fiscal year was issued by a certified public accountant with a negative opinion or could not be expressed
2 Audit report disclaiming an opinion
In the past 36 months after listing, there has been a failure to distribute profits in accordance with laws, regulations, company articles of association, and public commitments.
3 no
matching situation
4 Are there any other circumstances that make it inappropriate to implement equity incentives? No 5 Have a performance appraisal system and methods been established? Yes 6 Are loans and any other form of financial assistance provided to incentive recipients? No
Incentive object compliance requirements
Whether it includes shareholders or actual controllers who individually or collectively hold more than 5% of the shares of the listed company and their
7 Spouses, parents, children and foreign employees, if yes, do you explain why the above-mentioned persons have become the incentive targets? No
necessity, rationality
8 Whether it includes independent directors No 9 Whether it has been deemed as an inappropriate candidate by the stock exchange in the past 12 months No 10 Whether it has been recognized as an inappropriate candidate by the China Securities Regulatory Commission and its dispatched offices in the past 12 months No
Whether you have been administratively punished by the China Securities Regulatory Commission and its dispatched agencies due to major violations of laws and regulations in the past 12 months
11 no
Or take market entry ban measures
12 Whether there are any circumstances that prohibit you from serving as a director or senior manager of the company as stipulated in the Company Law? No 13 Whether there are other circumstances that make you unsuitable to be an incentive target? No 14 Whether the incentive list has been verified by the Remuneration and Assessment Committee, which is a compliance requirement for the incentive plan
Whether the cumulative total number of underlying stocks involved in all equity incentive plans of the listed company within the validity period exceeds
15 no
More than 20% of the company’s total share capital
16 Whether the cumulative number of shares granted to a single incentive object exceeds 1% of the company's total share capital No 17 Whether the proportion of reserved equity to the incentive object does not exceed 20% of the number of rights to be granted under this equity incentive plan Not applicable
Incentive targets are directors, senior managers, shareholders individually or collectively holding more than 5% of the shares or actual controllers
- For spouses, parents, children and foreign employees, has their last name been listed in the draft equity incentive plan? Yes
Name, position, number of awards
If the incentive objects are directors and senior executives, whether performance appraisal indicators are set up as the incentive objects to exercise their rights and interests.
19 is the condition
20 Whether the validity period of the equity incentive plan does not exceed 10 years from the date of grant? Yes
21 Is the draft equity incentive plan drafted by the Remuneration and Appraisal Committee? Yes
Equity Incentive Plan Disclosure Completeness Requirements
22 Are the matters stipulated in the equity incentive plan complete? Yes
(1) According to the provisions of the "Measures for the Administration of Equity Incentives", explain item by item whether there are any listed companies that are not allowed to implement
The implementation of equity incentives and incentive objects are not allowed to participate in equity incentives; explain whether the implementation of equity incentive plans will cause the equity distribution of listed companies not to meet listing conditions.
(2) The purpose of the equity incentive plan, the basis and scope of determining the incentive objects Yes
(3) The number of interests to be granted by the equity incentive plan and its proportion to the total share capital of the listed company; if it is divided into
If implemented, the number of rights and interests to be granted each time and the proportion to the total share capital of the listed company; setting of reservation rights
If the equity incentive plan is beneficial, the number of equity to be reserved and its proportion to the total equity of the equity incentive plan; whether the total number of underlying stocks involved in all equity incentive plans within the validity period exceeds 20% of the company’s total equity and
Description of its calculation method
(4) Except for the reserved part, if the incentive targets are directors or senior managers of the company, their surnames should be disclosed
name, position, the number of rights and interests that can be granted to each, and the proportion of the total rights and interests to be granted under the equity incentive plan
; The number of rights and interests that can be granted to other incentive objects (each or according to appropriate classification) and the proportion of the total rights and interests planned to be granted under the equity incentive plan; and a single incentive object will receive all equity incentives within the validity period
Explanation on whether the cumulative number of company shares granted under the incentive plan exceeds 1% of the company’s total share capital
(5) The validity period of the equity incentive plan, the grant date of restricted stocks, the restricted period and the arrangement for lifting the restricted shares
Yes, vesting arrangements, authorization date, exercise date, exercise validity period and exercise arrangements of stock options, etc.
(6) The grant price of restricted stocks, the exercise price of stock options and their determination methods. Not adopted
The grant price and performance are determined according to the methods specified in Articles 23 and 29 of the Measures for the Administration of Equity Incentives.
If the right price is determined, the pricing basis and pricing method shall be explained, and an independent financial consultant shall be hired to verify and
It is the feasibility of the equity incentive plan, whether it is conducive to the sustainable development of the listed company, and the relevant pricing basis.
and the rationality of the pricing method, whether it harms the interests of the listed company, and the impact on the interests of shareholders.
confirm opinions and disclose
(7) Conditions for incentive objects to be granted and exercise their rights. If it is planned to grant rights in installments, the incentive plan shall be disclosed.
The conditions under which the incentive objects are granted each time the rights are granted; if the rights and interests are planned to be exercised in installments, each time the incentive objects are exercised shall be disclosed.
Conditions for granting rights and interests; when the conditions for granting rights and exercising rights are not fulfilled, the relevant rights and interests shall not be deferred.
Until the next period; if the incentive objects include directors and senior managers, the performance appraisal indicators for the incentive objects to exercise their rights and interests shall be disclosed; if the performance appraisal indicators for the incentive objects to exercise their rights and interests are disclosed, the performance appraisal indicators for the incentive objects to exercise their rights and interests shall be fully disclosed.
The scientificity and rationality of the set indicators; if the company implements multiple equity incentive plans at the same time, the later incentives
If the performance indicators of the incentive plan company are lower than those of the previous incentive plan, the reasons and rationality should be fully explained.
(8) The company’s procedures for granting rights and motivating objects to exercise rights; among them, it should be clear that listed companies do not
It is the period during which restricted stocks can be granted and incentive recipients cannot exercise their rights.
(9) Methods and procedures for adjusting the amount of equity and exercise price involved in the equity incentive plan (such as the actual
This is an adjustment method when implementing profit distribution, share allotment and other plans)
(10) Accounting treatment method for equity incentives, method for determining fair value of restricted stocks or stock options
method, the values of important parameters of the valuation model and their rationality, the expenses that should be accrued for the implementation of equity incentives and the impact on the operating performance of listed companies
(11) Change and termination of equity incentive plan Yes
(12) The company's control rights change, merge, or split, and the incentive objects change their positions, resign, or
How to implement an equity incentive plan in the event of death and other events
(13) The respective rights and obligations of the company and incentive objects, relevant disputes or dispute resolution mechanisms Yes
(14) There are no false records or misleading information in the listed company’s information disclosure documents related to equity incentive plans.
sexual statements or commitments with major omissions; the relevant disclosure documents of incentive objects contain false records or misleading
Statements or major omissions that result in non-compliance with the company's commitment to return all benefits when rights are granted or exercised. Triggering standards and timing of equity repurchase and cancellation and earnings recovery procedures of listed companies, repurchase
Price and income calculation principles, operating procedures, completion deadlines, etc.
Whether performance appraisal indicators meet relevant requirements
23 Does it include company performance indicators and individual performance indicators of incentive targets? Yes
Whether the indicators are objective, open, clear and transparent, in line with the actual situation of the company, and whether they are conducive to promoting the company
24 yes
Improvement of competitiveness
25 Using relevant indicators of comparable companies in the same industry as the comparison basis, whether the selected comparison companies are no less than 3. Not applicable
26 Do you explain the scientificity and rationality of setting indicators? Yes
Compliance requirements for lock-up period, vesting period, and exercise period
27 Whether the interval between the grant registration date of restricted stocks (Class I) and the first release date of restrictions is less than 1 year. Not applicable. 28 Whether the time limit for releasing restrictions in each period is not less than 12 months. Not applicable. 29 Whether the proportion of unlocking restrictions in each period does not exceed 50% of the total number of restricted stocks granted to incentive targets. Not applicable.
30 Whether the interval between the grant date of restricted stocks (Class II) and the first vesting date is less than 1 year. No 31 Whether the time limit of each vesting period is not less than 12 months. Yes 32 Whether the vesting ratio of each period does not exceed 50% of the total number of restricted stocks granted to the incentive objects. Yes 33 Whether the interval between the stock option authorization date and the first exercisable date is less than 1 year. Not applicable 34 Whether the starting date of the subsequent exercise period of stock options is not earlier than the expiration date of the previous exercise period. Not applicable 35. Whether the exercise period of stock options is not less than 12 months. Not applicable
Whether the proportion of stock options exercisable in each issue does not exceed the total number of stock options granted to the incentive recipients
36 50% not applicable
Compliance requirements for professional opinions of remuneration and appraisal committees and intermediaries
Whether the Remuneration and Appraisal Committee discusses whether the equity incentive plan is conducive to the sustainable development of the listed company and whether it is
37 Express opinions on whether there is obvious harm to the interests of the listed company and all shareholders
Whether the listed company hires a law firm to issue a legal opinion and follow the "Equity Incentive Management Measures"
38 is to issue professional opinions in accordance with the provisions of
(1) Whether the listed company meets the conditions for implementing equity incentives stipulated in the "Equity Incentive Management Measures" Yes (2) Whether the content of the equity incentive plan complies with the provisions of the "Equity Incentive Management Measures" Yes (3) Whether the formulation, review, publicity and other procedures of the equity incentive plan comply with the "Equity Incentive Management Measures"
"Yes" stipulation
(4) Whether the determination of equity incentive objects complies with the "Equity Incentive Management Measures" and relevant laws and regulations
It's a rule
(5) Whether the listed company has fulfilled its information disclosure obligations in accordance with the relevant requirements of the China Securities Regulatory Commission. Yes (6) Whether the listed company provides financial assistance to the incentive targets. No (7) Whether the equity incentive plan obviously damages the interests of the listed company and all shareholders and violates relevant laws.
Failure to comply with laws and administrative regulations
(8) Whether the director who is intended to be the incentive target or the director who has an associated relationship with him or her has obtained the incentive plan in accordance with the "Equity Incentives"
The provisions of "Shili Management Measures" have been avoided.
(9) Other matters that should be explained Not applicable
If a listed company hires an independent financial advisor, is the professional opinion expressed in the independent financial advisor’s report complete?
39 Not applicable for consolidation, in line with the requirements of the "Equity Incentive Management Measures"
Review program compliance requirements
40 When the board of directors votes on the draft equity incentive plan, do related directors abstain from voting? Yes 41 When the shareholders’ meeting reviews the draft equity incentive plan, do related shareholders intend to abstain from voting? Yes
42 Are there any financial innovation matters? No
The company guarantees that the information filled in is true, accurate, complete and legal, and assumes all legal responsibilities arising from errors in the information filled in.
Dalian Demax Precision Technology Co., Ltd.
August 31, 2026