Xinye Textile: 116 Million 300 Thousand Yuan For Wholly Owned Subsidiary

[announcement brief]

November 21, 2014 announcement

At the eighteenth meeting of the seventh board of directors held in November 20, 2014, the motion on capital increase for wholly-owned subsidiaries was deliberated and approved. The company plans to increase its capital to Xinjiang Yuhua Textile Technology Co., Ltd. by 116 million 300 thousand yuan.

[bulletin review]

Xinjiang Yuhua Textile Technology Co., Ltd. was established in January 2014. Its business scope is cotton textile processing; cotton weaving; wholesale and sale of knitwear, textiles and raw materials; cotton.

And sales.

According to the 1-9 month financial report in 2014, the company achieved operating income of 81637080.45 yuan and realized a net profit of -9909333.29 yuan. The purpose of the increase is to help subsidiaries expand the 30 airstreams by using idle factories and pre spinning equipment. After the implementation of the project, the company can produce OE32 yarn 10920 tons annually, with annual sales income of 240 million 250 thousand yuan, total profit 34 million 80 thousand yuan, and investment profit margin 23%.

So as to enhance the core competitiveness of the company in the field of cotton textile, and lay a solid foundation for achieving strategic pformation and sustainable development.

[institutional rating in recent months]

nothing

Technology

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The stock's recent high volatility, BIAS index no serious deviation phenomenon, stock prices continued to close in recent days, after the market bull market has not changed; suggest positive attention.