Greenfield Chemical Holdings Ltd Comments On FY 2012 Earnings Guidance

Greenfield Chemical Holdings Ltd announced that it expected to record a loss for fiscal 2012 as compared to a profit recorded in fiscal 2011. Subject to the final review by the Company and its auditor, such expected loss is primarily attributable to (i) the one-off loss on the disposal of 51% interests in Rookwood Investment Limited and its subsidiaries in April 2012; (ii) the drop in transaction volume and decrease in gross profit margin of the LED products as a result of increasing market competition and the global economic uncertainties; (iii) the increase in the overall operating costs incurred by the Group; (iv) the impairment on the goodwill arising from the acquisition of LED business in year 2011; and (v) the possible impairment on account receivables due from a customer.