Li Xinda Increased Its Capacity To 3 Million Pairs In 2012.

Huang Dacong, chief financial officer of XinDa, said that the expansion of the Shunde plant has been completed and will be formally put into trial production in August. As for the Gaoming plant in Foshan, it is expected that the first phase of the project will be completed in 09 years, with an annual capacity of 1 million 200 thousand. The total capacity of the group is expected to reach 3 million in 2012.

Comprehensive external power August 4th reported that Li XinDa (00738) chief financial officer Huang Dacong said that the expansion of Shunde plant has been completed, will be formally launched in August trial production, is expected to end February 2011 at the end of the year capacity can be increased to 2 million 100 thousand pairs, as for the Foshan Gaoming plant, it is expected that 09 years will complete the first phase of the project, the annual capacity of 1 million 200 thousand pairs, the group expected total production capacity in 2012 to 3 million pairs.

Liu Shunhui, executive director of Hongkong sales, pointed out that business in Hongkong and Macao had only slightly increased in the 3-6 months, while sales in the same store grew by about 10% in 6 and July, while sales in the same stores grew more than 5% in 3, 4 and May. Future Ltd will concentrate Hongkong's shops on business and tourist areas.

Mr Wong added that Hongkong's business would aim at balance of payments. It would not exclude some shops from the rent situation.

In view of the failure of the Spanish Company's combined battalion, Huang Dacong said that the cooperation was a part of the project, but the partners failed to complete some of the prerequisites, so the cancellation of the stake was still a matter of OEM cooperation.

He also pointed out that it was not easy to disclose the prerequisites.

In addition, Liu Shunhui said that the gross profit margin of the company in 08 years and 3-6 months grew by more than 20%, and the sales of domestic brand Lies Dan in the same store grew by more than 20% in June, up more than 10% in July, and an average increase of 10% in 3-6 months. As for the brand of Siyi, the sales growth of the same store in the same month was more than 10%, while the franchised store maintained double-digit sales growth in the same month, and the overall sales and expenses of the company were at a reasonable level.

She said that the company has set a target of 3 years, and the total number of shops will increase to 300 by the end of 2010, including 157 domestic stores and 117 franchised stores. The rest will be shops in Hongkong. The company will still develop high-grade brand lines in the future and develop in the first and second tier cities.

In view of whether the company has enough capital to develop, Huang Dacong, chief financial officer, said that the company had cash of HK $280 million. After paying dividends, there were still more than HK $200 million in cash, enough to build new factories and shops. It was expected that the Shunde plant would need 5 million dollars, and the Foshan Gaoming plant needed 10 million dollars.

Liu Shunhui also pointed out that, without inventory, a new shop opened in China, with an investment of HK $100 thousand each, and the balance can be made in half a year.