China Rundong Auto Group Limited announces that Mr. Xiao Zhengsan has resigned as an independent non-executive Director, a member of each of the audit committee, the risk management committee, the nomination committee and the remuneration committee of the Board with effect from 1 August 2022 in order to pursue other business and personal commitments. The Board also announces that Mr. Yang Peng, an executive Director, has been appointed as a member of the Risk Management Committee, with effect from 1 August 2022. Following Mr. Xiao Zhengsan's resignation, the number of members in each of the Audit Committee, the Nomination Committee and the emuneration Committee will be decreased and as a result, the company will fail to meet Rule 3.21 of the Rules Governing the Listing of Securities on the Stock Exchange that the audit committee of the Company must comprise a minimum
of three members.