According to the announcement by Rifa Seiki, the company's wholly-owned subsidiary, MCM Italy, was unable to repay its maturing debts due to continued losses and had insufficient liquidity, and the company's board of directors agreed to Italian MCM to file for bankruptcy. Italian MCM's consolidated losses from 2022 to 2024 accounted for 1.53%, 4.57%, and 20.40% of the company's losses, respectively, and the ratio was further expanded from January to March 2025. Filing for bankruptcy is beneficial to reducing losses, reducing burdens, and reducing future business risks. Italian MCM's assets and business are all overseas, and are relatively independent of the company's domestic business and finances. Filing for bankruptcy will not have a significant impact on the company's main domestic business. The amount of the company's investment and debt to MCM Italy is not expected to be recovered. The exact amount is subject to the accountants' audit results. There is uncertainty about whether the court will accept it and the final ruling.

According to the announcement by Rifa Seiki, the company's wholly-owned subsidiary, MCM Italy, was unable to repay its maturing debts due to continued losses and had insufficient liquidity, and the company's board of directors agreed to Italian MCM to file for bankruptcy. Italy's MCM's consolidated losses from 2022 to 2024 accounted for 1.53%, 4.57%, and 20.40% of the company's losses, respectively, and the ratio was further expanded from January to March 2025. Filing for bankruptcy is beneficial to reducing losses, reducing burdens, and reducing future business risks. Italian MCM's assets and business are all overseas, and are relatively independent of the company's domestic business and finances. Filing for bankruptcy will not have a significant impact on the company's main domestic business. The amount of the company's investment and debt to MCM Italy is not expected to be recovered. The exact amount is subject to the accountants' audit results. There is uncertainty about whether the court will accept it and the final ruling.