Jinheng Automotive Safety Technology Holdings Ltd. board of directors announced that the consolidated loss for the six months ended June 30, 2013 is expected to decrease as compared to the unaudited consolidated loss for the corresponding six-months period ended 30 June 2012. Based on the information currently available, the expected decrease in loss was mainly due to: the one-off profit tax expenses recorded during the period ended 30 June 2012, while there was no such expenses recorded during the first half of 2013; the reduction of turnover due to certain old production facilities were under reallocation and certain newly installed production facilities were still in testing stage, thus the current production capacity and efficiency of certain products was reduced; and certain expenses were incurred for reallocation and the additional depreciation of newly used fixed assets.