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New materials are the forerunners of the development of the materials industry; they have been included in high-tech industries as well as key strategic emerging industries. Zibo Qixiang Tengda Chemical Co., Ltd. (hereinafter referred to as Qixiang Tengda) possesses advanced capabilities for the deep processing of carbon tetrafluoride and the largest production capacity in the world, and is regarded as a leading enterprise in the field of high-end chemical materials in China. Since 2022, Shandong Energy Group has earnestly implemented the decisions and arrangements of the Shandong Provincial Party Committee and the provincial government. Through various stages such as debt acquisition, compulsory enforcement, bankruptcy reorganization, and integrated development, it has revitalized Qixiang Tengda’s 30 billion yuan worth of high-quality listed assets, strengthening Shandong Energy’s industrial chain in high-end chemical new materials. This approach has achieved an organic integration of the three goals: protecting local brands, promoting the high-quality development of state-owned enterprises, and fostering local economic and social development. Established in 2002 under urgent circumstances, Qixiang Tengda was originally a subsidiary of Zibo Qixiang Petrochemical Group Co., Ltd. (hereinafter referred to as Qixiang Group); it was listed on the Shenzhen Stock Exchange on May 18, 2010. After years of development, Qixiang Tengda has become the world’s largest enterprise in the deep processing of carbon tetrafluoride. It holds the highest production capacity for methyl ethyl ketone in the world, with a domestic market share of over 50% and an export share of 63% ； Among the 33 listed companies in Zibo City, Qixiang Tengda has ranked first in terms of foreign exchange earnings from exports for 7 consecutive years. In 2020, the trust product held by Qixiang Tengda’s former controlling shareholder collapsed, causing the company’s stock price to plummet. Due to its own debt problems, the former major shareholder pledged the shares he held in Qixiang Tengda to creditors including Shandong International Trust. Affected by this, a large number of creditors filed lawsuits in court, resulting in the seizure of Qixiang Tengda’s shares on more than 20 occasions. This led to a chain reaction such as banks pulling back their loans and projects being halted, putting Qixiang Tengda’s development in difficulty. Given the strong industrial ties between Qixiang Tengda and Shandong Energy Group, Shandong Energy Group reported to the Shandong Provincial Party Committee, the provincial government, and the Shandong State-owned Assets Supervision and Administration Commission regarding its intention to invest in and acquire Qixiang Tengda. From the perspective of ensuring the integrity of Shandong Province’s advanced chemical and new material industry chains as well as the security of its supply chains, and of protecting local branded products, the Shandong Provincial Party Committee and Government decided that Shandong Energy Group should take on the role of investor in order to gain control over Qixiang Tengda. After conducting a thorough analysis of the situation at Qixiang Tengda in order to find a way out of this predicament, Shandong Energy Group proposed to use the acquisition of Shandong Trust’s claims as a starting point, thereby obtaining the rights related to the pledged shares. This would allow them to initiate court enforcement procedures and take control of Qixiang Tengda through \"order-based compensation\". In August 2022, the Supreme People’s Court issued a notice regarding centralized jurisdiction; commercial litigation cases and enforcement cases related to Qixiang Tengda’s former controlling shareholder were to be under the jurisdiction of the Guangzhou Intermediate People’s Court. Thus, the plan for Shandong Energy Group to gain control of the company by forcing the sale of Qixiang Tengda’s shares could no longer be carried out. After thoroughly evaluating feasible options such as increased capital through share issuance, private placements, and bankruptcy reorganization, Shandong Energy Group planned strategically and came up with innovative approaches. It quickly decided to shift from forced execution to bankruptcy reorganization, breaking away from the constraint that commercial litigation and enforcement cases were under the exclusive jurisdiction of the Guangzhou Intermediate People’s Court. Instead, Shandong Trust, in its capacity as a creditor, filed an application for the bankruptcy of Qixiang Group with the Zibo Intermediate People’s Court. The Zibo Intermediate People’s Court accepted the case in accordance with the law and handled it efficiently, making full use of the institutional advantages of bankruptcy proceedings – namely directness, compliance, effectiveness, and minimal residual effects. This approach enabled effective risk separation between the former controlling shareholder and Qixiang Tengda, thereby protecting Qixiang Tengda as a key high-quality asset and effectively breaking the debt chain of the former controlling shareholder. After the initiation of the bankruptcy reorganization process, faced with challenges such as conflicting interests among creditors, debt amounts in the tens of billions, and the inability to determine the nature and proportion of certain debts at that time, the Zibo Intermediate People’s Court made every effort to speed up the process. It completed the reorganization procedures in just 33 days, setting the fastest record for such cases nationwide. It also efficiently handled a series of complex related procedures, including the transfer of equity rights and changes to the legal status of the company, thereby creating the necessary procedural pathways and laying a legal foundation for resolving the debts and freeing up the industry. In response to the significant interests at stake related to state-owned assets in other provinces, under the leadership of the Provincial Party Committee’s *** department, with the active participation of provincial and municipal courts, the Provincial State-owned Assets Supervision and Administration Commission, Zibo *** and other entities, and by adhering firmly to market-based and law-based principles, more than 200 rounds of discussions were held with various parties. A consensus was reached on cooperating to resolve disputes, safeguard the safety of state-owned assets, assist quality enterprises in recovering from difficulties, and maintain social stability in both regions. Together, efforts were made to improve the implementation of the reorganization plan for Qixiang Group, ensuring that the process proceeded in accordance with laws and regulations and that all parties could benefit from the negotiations. Faced with creditors located in various places and claims whose amounts cannot be determined in the short term, the task force developed a dynamic settlement approach that involves first confirming those claims for which there is agreement, and reserving those with doubts for settlement later. This method not only facilitates the efficient settlement of claims but also effectively addresses the objections raised by creditors. For the confirmed claims, repayment is carried out first to protect the interests of the relevant creditors; at the same time, accurate assessments and projections are made to set aside sufficient funds for subsequent repayments. 7 months after the bankruptcy reorganization, as soon as the disputed claims were determined, the second round of repayments was carried out smoothly, and all ordinary creditors received their repayments in proportion. On May 31, 2023, the Zibo Intermediate People’s Court issued a ruling confirming that the restructuring plan for Qixiang Group had been fully implemented. From the breakdown of the financial resources of Qixiang Tengda’s original controlling shareholder at the beginning of 2021, to the completion of the restructuring of Qixiang Group in May 2023, Qixiang Tengda went through two full years of turmoil. During the bankruptcy reorganization process, no matter how complex the circumstances, thanks to the support of government agencies at all levels and the effective operation of the coordinated mechanism between government authorities and courts involved in bankruptcy handling, Qixiang Tengda was able to maintain normal safety production and business operations. During the reorganization period, it continued to produce, retained its employees, and held onto its market position, making positive contributions to the economic and social development of Shandong. Since June 2023, under the management of Shandong Energy Group, Qixiang Tengda has completely shaken off the impact of the debt crisis faced by its former controlling shareholder. Adhering to a development strategy focused on high-end, intelligent, and green technologies, and remaining committed to achieving world-class status in the carbon three and carbon four industry chains, the company is striving to build a world-class base for high-end chemical new materials. It has successfully carried out the \"three transformations\" – from a private enterprise to a state-owned enterprise, from being managed by individual experts to being managed by a team, and from holding shares to exercising control – with the pace of integration continuing to accelerate. Over the past three years, the role of Party building in providing guidance has continued to be evident. Since its restructuring, the new Qixiang Tengda has remained committed to the Party’s leadership over the enterprise, giving full play to the leading and political core role of the enterprise’s Party organization. It has continued to focus on supporting production and operations, striving to improve the enterprise’s efficiency and enhance its competitive strength, thereby providing a solid organizational foundation for the enterprise’s growth and development. We will carry out in a thorough manner the themed education of \"uniting as one to move forward and pooling efforts for development,\" and comprehensively improve systems such as those for the study sessions of the Party committee’s theoretical study group, the responsibility system for Party building work, and the development of learning-oriented Party organizations, so as to achieve a deep integration of Party building work with production and operations, technical innovation, and team building. Fully leverage the vanguard and exemplary role of Party members, serving as role models in production and operations, thereby enabling a shift from individual excellence to collective success. This creates a dynamic atmosphere of competition and learning among employees, enhancing their sense of safety, belonging, and happiness, and injecting \"red momentum\" into high-quality development. Over the past three years, the concept of compliant operations has continued to strengthen. Firmly uphold the philosophy of \"comprehensive compliance, honest operation, and creating value through compliance,\" strengthen a sense of bottom-line thinking and reverence, improve the ability to identify and address risks, and foster voluntary behavior that avoids crossing red lines and stepping into hazardous areas. In key areas such as procurement, sales, bidding, project construction, mergers and acquisitions, personnel selection and management, and fund disbursement, efforts have been made to strengthen process-based, institutionalized, and standardized approaches. 45 issues were identified, and 135 corrective measures were formulated; all of these have now been fully implemented. Bidding processes are continuously tightened, and for projects and services above a certain value threshold, bidding is required in all cases. As of the end of October this year, a total of 21 tenders for engineering services have been completed, resulting in cost savings of 33.73 million yuan, or a cost-saving rate of 16% ； 143 non-tendered projects resulted in cost savings of 12.99 million yuan, representing a cost savings rate of 21% ； There are 13 items in the materials category, resulting in cost savings of 4.56 million yuan, with a cost-saving rate of 8.8%. After joining the Shandong Energy family, employees’ work attitude, morale, and work style have been completely transformed, while the company’s competitiveness, innovation capacity, and ability to create value have seen significant improvements. Over the past three years, the framework for standardized governance has been continuously improved. In accordance with the principles of \"clear responsibilities and authorities, effective checks and balances, and standardized operations,\" Shandong Energy Group has formulated a control list based on the actual conditions of Qixiang Tengda. Optimize the composition of the board of directors, strengthen its capabilities, and enhance the supervisory role of independent directors in strategic decision-making, risk control, and related-party transactions, to ensure the objectivity and rationality of decisions. The organizational structure of the headquarters was adjusted: the number of departments was reduced to 12, a decrease of 25%; 110 employees in the headquarters were laid off, representing a 51% reduction. The composition of the management teams in the subsidiaries was standardized, and the number of management levels within the company was reduced, resulting in clearer definitions of the company’s core responsibilities and tasks, as well as a more structured corporate governance framework. Over the past three years, the trend of steady improvement has continued to strengthen. Amid a persistently sluggish chemical industry market and widespread losses among neighboring enterprises, the new Qixiang Tengda managed to maintain relatively stable revenue and profits. In 2023, the output of chemical products reached 3.47 million tons; in 2024, it amounted to 3.42 million tons ； In 2023, exports reached 480,000 tons, generating $370 million in foreign exchange earnings. In 2024, exports amounted to 560,000 tons, bringing in $440 million in foreign exchange earnings. The city has consistently maintained the top position in Zibo City in this regard. The debt-to-asset ratio and financing costs have declined for three consecutive years; the debt-to-asset ratio dropped from 54% in 2023 to 52% in 2025, while financing costs fell from 3.59% in 2023 to 2.17% in 2025. Significant results were achieved in terms of technological innovation and improvement: 4 invention patents were obtained and 16 utility model patents were granted by 2025. 274 technological upgrades and improvements were carried out, generating economic benefits worth 153 million yuan ； Carbon emission management has achieved a surplus for 6 consecutive years. Over the past three years, the results of high-quality development have continued to manifest. Focusing on the goal of building “one zone and two bases”—a hub for high-end chemical new materials, as well as an industrial and talent incubation base—we have formulated a medium- and long-term development plan titled “36521”. Centered on the integration of petrochemical, coal chemical, and salt chemical industries, we are deliberating and evaluating various research and development projects, strengthening internal coordination, and optimizing the expansion of the downstream industrial chain. Since the restructuring, the construction of the comprehensive hydrogen energy utilization project has been completed, generating 105 million yuan in revenue ； It took 100 days to become the world’s first facility to successfully convert from pure propane dehydrogenation to mixed dehydrogenation. Focusing on specific segments of the chemical industry, 18 projects for optimizing existing facilities have been identified, and they will be put into operation or used gradually by 2026. “By the end of the 15th Five-Year Plan period, we aim to achieve sales revenue and total assets both in the range of 60 billion, thus creating an even more outstanding Qixiang Tengda!