EXPORT CONTROL AND SANCTIONS COMPLIANCE POLICY

(For All iFlight’s Cooperating Parties)

According to the company's policy requirements, Huizhou iFlight Intelligent Technology Co., Ltd. (hereinafter referred to as "iFlight") shall fully comply with the applicable export control and sanction laws and regulations of China, the United States, the European Union, and other countries or regions where iFlight conducts business activities under any circumstances. iFlight’s distributors, dealers, suppliers, and customers (collectively referred to as "iFlight Partners") play an important role in iFlight's compliance operations; this policy applies to all iFlight Partners.

iFlight Partners are obligated to understand and comply with the aforementioned laws and regulations applicable in those countries and regions. Violating applicable export control and sanction laws may result in criminal or civil fines for violators, while their companies could also face substantial penalties due to employees' illegal actions, loss of export privileges, damage to reputation from legal actions related to commercial integrity issues, as well as serious violations leading to losses under contracts signed with iFlight along with lost business opportunities. If you act contrary to relevant contracts or documents as an iFlight Partner, iFlight reserves the right to take punitive measures including terminating your partnership and temporarily suspending supply.

The management of iFlight is committed to complying with all applicable export control and sanction laws. Therefore, we urge you to take our compliance commitments seriously by supporting our efforts through adherence to the compliance requirements outlined in this policy.

Compliance Requirements

iFlight Partners must strictly adhere to applicable export control and sanction laws as well as any written compliance requirements regarding these controls issued by iFlight from time to time.

Export Control Requirements & Licenses: Before exporting, re-exporting, transferring, or moving any products from iFlight, partners should carefully review current export control requirements that apply. They must obtain necessary licenses based on these requirements when needed. For unmanned aerial vehicles not listed on controlled lists or subject only to temporary restrictions exporters knowing or having reason should know that exports will be used for the proliferation of weapons of mass destruction (WMD), terrorist activities, or military purposes-must not proceed with such exports.

Prohibited Countries/Regions: iFlight partners shall not directly or indirectly export,re-export transfer, or move any products from iFlight into:

(1) Any area designated by relevant governments as a comprehensive embargo zone or countries/regions subjected to similar sanctions including but not limited to Cuba, Iran, North Korea, Syria, Crimea, DNR region, and LNR region.

(2) Countries/regions explicitly prohibited by  iFlight which includes Russia & Ukraine, or others specified within latest Export Compliance Regulations prohibiting sales of  iFlight products .

Sanctioned Entities: iFlight partners shall neither directly nor indirectly sell, resell, transfer nor move any product belonging to iFlight toward individuals/entities listed on the SDN list (collectively termed “sanctioned entities”).

End-Use Restrictions: iFlight partners can solely utilize iFlights products for civilian purposes without direct/indirect involvement concerning the following activities:

(1) Any combat military use;

(2) Terrorist activity;

(3) Proliferation of WMD. You are also required ensure your client's downstream dealers /end-users abide above stipulations.

End-User Verification: Each transaction requires verification of identity end-user ensuring no provision occurs towards sanctioned entities. Furthermore, you need to request final users refrain providing iFlight goods sanctioned parties. All records verifying end-user checks should be retained by available inspection authorities.

Identifying Irregularities: Upon identifying irregularities / should have identified them transactions ought suspend until risks are eliminated.

Archiving Records: All documentation pertaining to undertaken compliant measures maintained minimum of five years guaranteeing adherence to respective obligations.

Consequences Of Policy Violation

Should there exist a violation against this policy / or pertinent Export Control/Sanctions Laws, iFlight reserves the right undertake appropriate remedial action inclusive termination cooperation relationship involved the partner seeking compensation incurred losses resulting breach occurred.