Hikvision Preparing For Potential SDN Sanctions

********* ** ********* *** ********* ***** new ** ********* **** ***** *** it ****** **** *********** **** *** US ******* ** *********, ** ****** in *** ****** ******** ****. ***** preparations ******* ******** *** ******** ** the ** ****** ****** *** ******** up ** *********, ********* ****.

******* ***** ********* **** ****** ******* to ** ****, *** *** **** that ********* ** ********* *** **** shows **** *** ****** *** *********** seriously *** **** **** * **** conservative ******** ******* ************* *********.

SDN/Magnitsky ********* **********

** *** ****, ************ ***************** ** ********* **** *********** "****-*******" Magnitsky ********* ** ********* ******** * "final ******** *** *** **** *****."

********* ********* ***** *** ********* ** the*** (********* ********** ********) ********* ****** ********* **** *** ************ with ** ******* *** *********, ******** all *** ** ******. **** ***** end ********* ***'* ******** ***** ******* countries *** ********* ** ** ******** with ********* ** *** **, ***** "could **** **** ************" *** *** company's ****** ********** ** *** ** reported.

**** ********* ** **** ******* **** the **' ***********,****** ****, ************* *********, ***** ***** ********* **** ***** within *** ** *** ******** *** company **** ********* ** ********** *** capital.

Hikvision **** ********* *** *********

** ********* ******** ****, ********* **** ** ** ********* for *** *********, ******* **** ** its **** "******** ****" *** **** it *** ******* *** ******** ** the ** ****** ******:

**** *********** ** *** ********* ********* risk ** *** ** ****** ******, and *** ******* *** ******* ******** the ********** ** ** ****** **********, and *** ******* ** ****** ********** accounts *** *******%[******** *****]

********* **** ****** **** *** ***** assets ******** *** "*******" *** "************":

** ***** ** ***** ******, *** company's ******** ****** *** ****** ******* assets, *** ***proportion ** ***** ****** ** *******. For example, the local warehouse in Amsterdam, the Netherlands, the investment amount is about 10 million euros; The Indian factory building is leased; fixed asset investment in other regions is ************. ***company's ******* ****** *** **** *****, the turnover is good, the overseas gross profit is higher, we will maintain iteration and gradually reduce the risk. [emphasis added]

**** ***** ********* ***** ******* ***** assets ***** ****** ** *** ***** of *** *********.

Speculates "********* ***"

********* ********** **** *** ********* ***** spark "* ********* ***" ******* *** US *** *****, ****** ****** **** don't ***** *** ********* *** ****** to **** ***** ***:

**** * ********** ***** ** ****, I ***** ***** ****** ** **************. ** ******, ******** *** **** say, **** ** *** ** ********** is ************? ********* ** **** * company, ** *** *** ******* ** competing **** *** ** **********, *** we ******* ****the ******* ********** **** *** *** **** **, if the United States **** ***** ******** * ******* ******* * legitimate ******, ******** * ******* **** operates ************, *** *** ******** *********** *** *****. ** **** ********* and *******, **** ********* **** **** turn **** * **** ****** ** the *********** ** *** ** **********, andit ** *** ******** **** * ********* *** *** ***** *** ******* ***** *** *** ****** ******, and eventuallyboth ***** **** ****** **** ****. I don't ***** **'** ****** ** **** ***** ***, and I believe that reason *** ******* *** ** *** ****** ** ********** ********* ** *** *.*. **********. [emphasis added]

**** ************* *** ***** ** ***** $** million** ** ******** ** ** ***** 2022, *************** ** **-******** *********** ****** ** *** **** ********** (OFAC) ***** *********** *** *** ****.

High *********** ** ******** ** "***********"

********* ********** ********** **** ** "**** maintain * **** ********* ***** *** a **** ****" ** ******** ** "uncertainty ** *** ********* ***********":'

*** *******'* ***********continued ** ******** **** ********* ****** in response to uncertainty ** *** ********* ***********. The company strives to maintain a good inventory duration management, as fast as possible in and out [...] At present, globalization faces many potential risks, and issues such as economic turmoil, the impact of the epidemic, and local conflicts will affect the security of the supply chain, so Hikvision will ******** * **** ********* ***** *** * **** ****. [emphasis added]

**** *** ********* ** ****, **** Hikvision********* ** *** ******** ** **************** ********* ***** ** *** ****** ****(***** ********* ** **** *******) ** October. ********* **** ** ***** **** reduce ********* "***** *** ****-** ******** eases", **** ** ***** **** *********** switching "**** ** **** **********,**** ** ********".

"Very ********", **** ****** ******** ********

********* **** ** *** "**** ********" in ***** ** ******** ********** *** would "********* ****** *** ********** ** some *********" ***** ********** ********** ** developing ********* ***** ************* *** "*****":

*** ******* ** **** ******** ** terms ** ********** *** **** *************adjust *** ******** **** ** *** ********, avoid being misunderstood or irritating others, and do the basic work more solidly. The recent Russo-Ukrainian war, Pelosi's visit to Taiwan and other events have brought about subtle changes in the international situation, while the opportunities *** ********** ******* *** *****. Therefore, the company will further increase the overall investment overseas, gradually ****** *** ********** ** **** ********s in the structure, and furtherincrease ********** ** ********* **** ***** *************, and strive to seize opportunities in a complex environment. [emphasis added]

********* ********* *** **, **, *** Australia ** "********** *********" ***** ******* growth ** ***** *******, ***** ** Asia, *** ******* ******.** **** ****************'* ******** ****** ** ***** **** strong (**% ** ** ****) *** it ***** ***** *** *** ******* to ******** ** ***** *** ***** to ********** ********* (**** ***** ** ties) ** *** ***** ** *** sanctions.

Hikvision ** ********

**** ********* ******* **** ********* ** any ******** ** ** ****** ** prepare *** *** ********* *** **** concrete ****** *** ********* ***** **** on *** ********** *** ********** ** they ********. *******, ********* *** *** respond. ** **** **, ** **** update.