The Board of Directors of Zheneng Jinjiang Environment Holding Company Limited announcement dated 13 June 2018 in relation to the Group securing a syndicated term loan facility of an aggregate amount of USD 200,000,000 and RMB 100,000,000 (the "Facility"). Capitalised terms used herein and not otherwise defined shall bear the same meanings ascribed to them in the Announcement. In view of the aforesaid article, the Board wishes to announce the following in relation to the Facility: under the terms of the USD 200,000,000 syndicated term loan facility, the Company, as borrower, must ensure, inter alia, that the ratio of its consolidated EBITDA in respect of any 12-month period ending on 30 June or 31 December is not less than 3.0 times its consolidated interest expenses for such period ("Relevant Financial Covenant"). The aforesaid ratio for the 12-month periods ended 30 June 2019 and 31 December 2019 had fallen below 3.0 times resulting in technical breaches by the Company of the Relevant Financial Covenant. The Company has been in regular communication with the respective offshore and onshore agents for the finance parties in relation to the Facility ("Agents") on an ongoing basis in relation to the Company's compliance with the relevant financial covenants under the Facility and the Agents had been notified of the aforesaid technical breaches of the Relevant Financial Covenant in a timely manner since August 2019; under the terms of the Facility, a breach of the Relevant Financial Covenant constitutes an event of default, upon which the Agents may at their discretion, and shall if so directed by the Majority Lenders representing two-thirds of the total commitments under the Facility, by notice declare that all or part of the outstanding loans, and all other amounts accrued or outstanding under the Facility, be immediately due and payable; the Company has not received any notice for accelerated repayment from the Agents as at the date of this announcement. The Company has been further informed by the Agents that none of the syndicate lenders under the Facility have requested for accelerated repayment; and to avoid any impact on the Group's cash flow and operations which would result from a demand for accelerated repayment, the Company had in September 2019 submitted a written request to the Agents for a waiver of the aforesaid technical breaches of the Relevant Financial Covenant (the "Waiver"), and is in continued discussions with the Agents to ensure the continuation of the Facility notwithstanding the technical breaches. The Company has been informed by the Agents that lenders representing approximately 28% of the total commitments under the Facility (including the Agents which are also the mandated lead arrangers and bookrunners of the Facility) have already agreed to the Waiver and the Agents are still in discussions with the remaining syndicate lenders in relation to the Waiver.