Chinese Apparel Major Shareholder'S Chasing Consideration

The adjustment of the industry has made it impossible for the major shareholders of Chinese clothing (000902).

A year ago, the Chinese clothing (000902) implemented the share reform. In the share reform plan, the major shareholder of the company and the China Hengtian Group Co made a commitment to increase the price arrangement: Heng Tian Group and Han Bo company promised to enhance the company's performance, that is, the net profit of the company in 2007 was no less than 20 million yuan, otherwise, 5 million 200 thousand shares should be chased to the current stock holders. According to the current circulating stock size, it is equivalent to adding 0.8 shares to every 10 shares.

The 2007 audited net profit that the company has just announced is 6 million 21 thousand and 700 yuan, which is lower than the commitment of 20 million yuan. For this reason, Heng Tian Group and Han Bo company promise to fulfill their commitments within 10 working days after the disclosure of the annual report, and execute additional placement arrangements to the tradable shareholders registered on the "additional stock date registration date". The total number of additional shares is 5 million 200 thousand shares.

But the question is, when the share reform is carried out, how much should the major shareholders of Chinese clothing enterprises have to the profitability of the company?

It is understood that Chinese clothing is a textile and clothing leading industry, mainly engaged in garment processing and textile trade business, of which the textile trade business is most important, its 2007 annual business income is 1 billion 839 million yuan, and the company's main business income of 2 billion 215 million yuan.

In 2007, the state's macroeconomic regulation and control was strengthened, domestic tightening was tightened, the RMB continued to appreciate, interest rates continued to rise, export tax rebates were lowered, and energy and raw materials prices rose.

Chinese clothing therefore believes that macroeconomic policy adjustments, appreciation of the renminbi and the decline in non recurring earnings have led to the failure of the company's net profit in 2007 to fulfill its commitment to share reform.