The board of directors of the Yuanda China Holdings Limited informed the shareholders of the company and potential investors that, based on the information currently available, the profit of the group for the six months ended June 30, 2012 is expected to experience a decline as compared with the same period of 2011. The decline in the group's profit was primarily attributable to a slowdown in domestic project developments due to the tightening of the domestic credit market and an increase in installation costs in certain overseas markets.