Beijing Enterprises Environment Group Limited announced that, the 2018 Deposit Services Master Agreement will expire on 31 December 2020. In order to regulate such transactions that will continue to take place, the Company and BG Finance entered into the 2021 Deposit Services Master Agreement on 23 December 2020 whereby the Company and BG Finance will continue to carry out the transactions under the 2018 Deposit Services Master Agreement for three years from 1 January 2021 to 31 December 2023, and save as the Renewed Caps, with the terms and conditions substantially the same as those under the 2018 Deposit Services Master Agreement. The term of the 2021 Deposit Services Master Agreement shall commence on 1 January 2021 and shall continue up to and including 31 December 2023. Subject to the compliance with the Listing Rules and/or upon the expiration of 2021 Deposit Services Master Agreement, it may be renewed, varied or modified by the Company and BG Finance by agreement in writing. The rates at which interest will accrue on any deposit placed by the Group with BG Finance under the 2021 Deposit Services Master Agreement will not be lower than (i) the benchmark interest rate prescribed by the People's Bank of China; (ii) the interest rates offered by commercial banks in Hong Kong and mainland China to the Group; and (iii) the interest rates offered by BG Finance to other members of BEGCL for the same type of deposits at the same period. The Group has to maintain deposits and other bank balances with financial institutions in Hong Kong and mainland China from time to time as part of its treasury activities and in order to satisfy its business needs in the ordinary and usual course of business. The 2021 Deposit Services will be conducted on normal commercial terms and the deposit interest rates offered by BG Finance to the Group will be equal to or more favourable to the Group than those offered by commercial banks in Hong Kong and mainland China to the Group for comparable deposits. The 2021 Deposit Services Master Agreement is therefore expected not only to provide the Group with a new mean of financing but also to improve the efficiency of the use of its funds through higher interest income and lower costs of financing. The Group also expects to be in a better position to manage the security of its funds since BG Finance is not considered to be exposed to any significant capital risk. For the avoidance of doubt, the 2021 Deposit Services Master Agreement does not preclude the Group from using the services of other financial institutions. The Group still has the freedom to select any major and independent commercial banks in Hong Kong and mainland China as its financial services providers as it thinks fit and appropriate for the benefit of the Group.