China 33 Media Group Limited provided earnings guidance for the six months ended June 30, 2012. For the period, the company is expected to record a loss compared with a profit made for the corresponding period in 2011. The Board believes that the loss was mainly attributable to the decrease of profit margin as a result of amortisation of the agency fee, maintenance fees and media service fees paid for the advertisement project on headrests cover sheets, folding tables and poster frames on high-speed railway trains, increase in headcounts and increment of staff costs, increase in printing costs for the printed media business, as well as agency fees payable to the Group's publishing partners.