Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
CSNH... Offering..
China Shandong Industries, Inc.
$20,000,000 of Common Stock
We are offering $20,000,000 of shares of our common stock. The number of shares that we will offer will be determined based on the public offering price per share.
Our common stock is currently quoted on the OTC Bulletin Board under the symbol “CSNH”. The last reported sale price of our common stock on the OTC Bulletin Board on April 19, 2010 was $ 3.10 per share. We intend to apply for listing of our common stock on the NASDAQ Capital Market. If the application is not approved, we will not complete this offering.
__________________________
Investing in our securities involves a high degree of risk. See “Risk Factors” beginning on page 8 of this prospectus for a discussion of information that should be considered in connection with an investment in our securities.
Per share Total
Public offering price $ $
Underwriting discounts and commissions (1) $ $
Proceeds to us, before expenses $ $
(1) The underwriter will receive compensation in addition to the discounts and commissions as set forth under “Underwriting.”
We have paid the underwriter $25,000 advance upon the execution of the engagement letter. The underwriter has a 45-day option to purchase up to 15% of the total number of shares of our common stock to be sold in this offering solely to cover over-allotments, if any. The underwriter will also be entitled to a non-accountable expense allowance equal to 1% of the public offering price and will receive warrants to purchase 5% of the aggregate number of shares of our common stock sold in this offering.
The underwriter is offering the common stock as set forth under “Underwriting.” The underwriter expects to deliver the shares of common stock to purchasers on or about , 2010.
Neither the Securities and Exchange Commission nor any state securities commission has approved or disapproved of these securities or determined if this prospectus is truthful or complete. Any representation to the contrary is a criminal offense.
Rodman & Renshaw, LLC
The date of this prospectus is , 2010.
CSNH.. $2.31 Cheap again..
This stock again looks cheap,, especally with the earnings restatement.. hank
Restating '09 earnings $9,987,430 to $12,021,155
On June 17, 2010, management of China Shandong Industries, Inc. (the “Company”) concluded that the Company’s audited consolidated financial statements for the fiscal year ended December 31, 2009 (the “2009 Year”), and the Company’s unaudited consolidated financial statements for the quarter ended March 31, 2010 (the “2010 1st Quarter), could no longer be relied upon.
In May 2010, upon the request of the Company’s underwriter of the Company’s proposed public offering, the Company and its independent accountant, Bongiovanni & Associates, C.P.A.’s, conducted a review of the Company’s (i) audited consolidated financial statements for the 2009 Year, and (ii) unaudited consolidated financial statements for the 2010 1st Quarter.
During the course of such review, the Company determined that its revenues were understated by $9,885,472 for the 2009 Year and overstated by $54,831 for the 2010 1st Quarter with an overstatement of inventories by $7,173,838 as of December 31, 2009 and $7,150,617 as of March 31, 2010.
The reason for the discrepancy in such financial statements was that the Company was recognizing revenues on the date the Company “physically” received clearance papers from the Chinese customs department (“Customs”), to permit the Company to ship its products to purchasers of such products. However, there exists a time gap between the date the Company receives the “physical” approval paper from Customs and the date Customs actually approves the release of the Company’s products to customers. The Company believes the date that Customs actually approves the release of the Company’s products from Customs is the more appropriate and accurate date for the Company to recognize revenues. As a result, the Company is restating its financial statements for (i) the 2009 Year and (ii) the 2010 1st Quarter. The Company did not find any understatement in revenues for the comparative year ended December 31, 2008 and the comparative quarter ended March 31, 2009.
The Company believes that such restatement will result in an increase in revenues to $69, 435,044 from $59,549,572 for its 2009 Year and a decrease from $19,461,568 to $19,406,737 for the 2010 1st Quarter, and its net income will increase to $12,021,155 from $9,987,430 for the 2009 Year, and decrease from $3,540,282 to $3,516,574 for the 2010 1st Quarter.
The Company intends to file as soon as possible hereafter, amendments to its Form 10-K for its 2009 Year, and to its Form 10-Q for the 2010 1st Quarter to include restated financial statements reflecting the above changes and any other required disclosure.
The Company’s management has discussed above matters with the Board of Directors and the Company’s independent registered public accounting firm, Bongiovanni & Associates, C.P.A.’s.
http://sec.gov/Archives/edgar/data/1417192/000114420410034666/v188900_8k.htm
CSNH.. $2.71.. I-Box Updated..
China Shandong Industries, Inc.
Consolidated Balance Sheets (Unaudited)
As of March 31, 2010 and December 31, 2009
March 31, 2010
(Unaudited) December 31, 2009
(Audited)
ASSETS
CURRENT ASSETS
Cash and cash equivalents $ 3,455,275 $ 2,185,839
Trade accounts receivable 7,958,089 6,948,326
Inventories 18,199,156 17,527,584
Prepaid expenses 642,492 1,021,608
Other receivables 166,978 295,752
TOTAL CURRENT ASSETS $ 30,421,990 $ 27,979,109
FIXED ASSETS
Property, plant, and equipment 10,935,573 10,755,341
Accumulated depreciation (3,532,946 ) (3,331,407 )
NET FIXED ASSETS $ 7,402,627 $ 7,423,934
OTHER ASSETS
Construction in progress 8,510,258 6,940,632
TOTAL OTHER ASSETS $ 8,510,258 $ 6,940,632
TOTAL ASSETS $ 46,334,875 $ 42,343,675
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Short-term borrowings $ 7,910,581 $ 8,054,831
Accounts payable 598,631 240,290
Other payables and accrued liabilities 445,388 323,100
Deposits received in advance 60,263 56,849
Taxes payable 747,163 643,476
TOTAL CURRENT LIABILITIES $ 9,762,026 $ 9,318,546
TOTAL LIABILITIES $ 9,762,026 $ 9,318,546
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY
Registered and paid up capital $ 7,800,000 $ 7,800,000
Statutory and discretionary surplus reserve 3,608,243 3,608,243
Accumulated other comprehensive income (loss) (17,585 ) (25,023 )
Retained earnings 25,182,191 21,641,909
TOTAL STOCKHOLDERS' EQUITY $ 36,572,849 $ 33,025,129
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 46,334,875 $ 42,343,675
See accompanying notes to these financial statements and auditors' report.
3
--------------------------------------------------------------------------------
China Shandong Industries, Inc.
Consolidated Statements of Income (Unaudited)
For the Three Months ended March 31, 2010 and 2009
For the three months ended
March 31, 2010 March 31, 2009
Revenues
Sales $ 19,461,568 $ 14,495,795
Cost of sales 13,824,621 11,145,799
Gross profits 5,636,946 3,349,996
Operating expenses
Selling and marketing $ 237,577 $ 160,238
General and administrative 514,440 258,225
Total Operating Expenses 752,017 418,463
Income from continuing operations 4,884,929 2,931,533
Other income (expenses)
Finance income (costs) $ (247,095 ) $ (128,885 )
Other operating income(cost) 140,721
Non-operating income 93,318 (1,305 )
Total other income (expense) (153,778 ) 10,530
Income from operations before income taxes 4,731,151 2,942,063
Income taxes 1,190,869 706,635
Net income 3,540,282 2,235,428
Other comprehensive income
Foreign currency translation adjustment 7,440 7,194
Comprehensive income $ 3,547,722 $ 2,242,622
See accompanying notes to these financial statements and auditors' report.
4
--------------------------------------------------------------------------------
China Shandong Industries, Inc.
Consolidated Statements of Cash Flows (Unaudited)
For the Three Months ended March 31, 2010 and 2009
For the three months ended
March 31, 2010 March 31, 2009
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income 3,540,282 2,235,428
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation 201,539 181,128
Changes in operating assets and liabilities:
Trade accounts receivable (1,007,741 ) (3,401,142 )
Prepaid expense 379,367 (95,830 )
Inventories (666,635 ) 1,704,333
Other receivables 128,844 (192,729 )
Accounts payable 358,243 493,496
Taxes payable 103,498 (995,609 )
Other payables and accrued liabilities 122,188 (221,633 )
Deposits received in advance 3,398 1,158
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES 3,162,983 (291,400 )
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase for property, plant, and equipment (180,232 )
Disposals of property, plant and equipment 14,264
Additions to construction in progress (1,567,556 ) (791 )
NET CASH (USED IN) INVESTING ACTIVITIES (1,747,788 ) 13,473
CASH FLOWS FROM FINANCING ACTIVITIES:
Principal repayments of short term borrowings (146,479 ) -
Proceeds from short term borrowings - 1,391,554
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES (146,479 ) 1,391,554
Foreign currency adjustment 720 127
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS 1,269,436 1,113,753
CASH AND CASH EQUIVALENTS:
Beginning of year 2,185,839 1,751,997
End of year $ 3,455,275 $ 2,865,750
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Cash paid during the year for:
Interest $ 247,096 $ 128,834
Taxes $ 982,542 $ 599,403
CSNH.. @$2.88,, Files To Offer $20M
China Shandong Industries Files To Offer $20M In Common Shrs
Dow Jones & Company, Inc. - Apr 20 at 07:32
Company Symbols: NONE
(MORE TO FOLLOW) Dow Jones Newswires (212-416-2400)
04-20-10 0616ET
Copyright (c) 2010 Dow Jones & Company, Inc.
Added on 04/20 at 07:32 China Shandong Industries Files To Offer US$20 Mln In Common Shares
DOW JONES NEWSWIRES
Furniture manufacturer China Shandong Industries Inc. (CSNH) said Tuesday it is selling $20 million worth of common stock, and it will use the proceeds to build new production facilities.
The total number of shares sold will be determined by the per-share pricing, it said.
-By Hong Kong Bureau, Dow Jones Newswires; 852-2802-7002; djnews.hk@ dowjones.com
Click here to go to Dow Jones NewsPlus, a web front page of today's most important business and market news, analysis and commentary: http:// www.djnewsplus.com/nae/al?rnd=bYHaTDNSXjSTeeQ8giQ9VA%3D%3D. You can use this link on the day this article is published and the following day.
(END) Dow Jones Newswires
04-20-10 0731ET
Copyright (c) 2010 Dow Jones & Company, Inc.
CSNH.. $2.88 China Vesting Adds China Shandong Industries to the China Dragon Undervalued Index...
GlobeNewswire - Apr 16 at 09:57
Company Symbols: NASDAQ-OTCBB:CSNH, NASDAQ-OTCBB:SGZH
DONGGUAN and GUANGDONG, China, April 16, 2010 (GLOBE NEWSWIRE) -- China Vesting reconstituted its family of U.S. listed Chinese public company indexes on April 16 by adding China Shandong Industries (OTCBB:CSNH) to the China Dragon Undervalued Index. China Shandong Industries is a leading producer and marketer of straw wicker products, wooden crafts and wood furniture. The company sells 20,000 different products via 300 distributors and retailers in more than 30 countries. Their products are carried by Wal-Mart, IKEA and other mass market retailers.
On Thursday April 15th, China Shandong Industries filed their 10K annual report. Revenue for the fiscal year ended December 31, 2009 was approximately $60 million, increasing by approximately $18 million, or 41%, from approximately $42 million for the comparable period in 2008. Net income for fiscal 2009 was approximately $10.0 million, an increase of $4.24 million, or 73.6% as compared to $5.76 million in 2008.
China Shandong Industries currently has 25,725,000 shares outstanding and based on Thursday's closing price of $2.72 per share the market capitalization is $69,972,000. The company's current 2009 trailing Price to Earnings Ratio (P/E) is 6.99.
Additionally, China Vesting announces the removal of Songzai International Holding Group Inc. (OTCBB:SGZH) from the China Dragon Undervalued Index. Within the last month, Yvonne Zhang, the company's CFO, announced his resignation and yesterday the company reported 2009 fourth quarter revenues decreased 24.1% and net income plunged 77.5% year-over-year. China Vesting no longer considers the company to meet the requirements of its China Dragon Undervalued Index.
China Vesting determines membership for its indexes primarily by objective, market-capitalization rankings and style attributes.
Total returns data for the China 100 Index and other China Vesting Indexes are available at http://www.chinavesting.com
About China Vesting:
China Vesting researches 500 of the top U.S. Listed Chinese Public Companies and tracks the best 100 with state-of-the-art performance benchmarks. China Vesting is based in Dongguan China, an industrial city located in the Pearl River Delta. Dongguan borders the provincial capital of Guangzhou to the north, Huizhou to the northeast, Shenzhen to the south, and the Pearl River to the west. Our network consists of Chinese officials, investment bankers, venture capitalists, scholars, academics and most importantly entrepreneurs that track China Stocks.
CONTACT: China Vesting Inc.
Chang Huan
+8613412342538
changhuan@chinavesting.com
http://www.chinavesting.com
2010 GlobeNewswire, Inc.
CSNH background..
China Shandong Industries Announces Listing on OTC Bulletin Board
Market Wire - Jan 21 at 08:35
Company Symbols: NASDAQ-OTCBB:CSNH
Company Reports New Name, Ticker Symbol and Forward Stock Split
LOS ANGELES, CA -- (MARKET WIRE) -- 01/21/10 -- China Shandong Industries, Inc. (OTCBB: CSNH), a leading producer and global marketer of straw-wicker products and furniture, is pleased to announce that it has closed a reverse acquisition.
The new company has changed its ticker symbol to "CSNH" and completed a fifteen-for-one forward stock split effective January 4. Following the stock split, the total number of common shares issued and outstanding has increased from 1,715,000 to 25,725,000.
The Company is led by Li Jinliang, Chief Executive Officer. Mr. Li Jinliang, 50, founded Shandong Industries in 2000. He has over 30 years experience in sales and production of handicrafts and furniture, and majored in Management at Shandong Agricultural University, China.
For the fiscal audited year ended December 31, 2008, Shandong Industries generated revenue of $43.3 million and net income of $5.9 million. For period ended December 31, 2008, the Company reported total shareholders equity of $24.7 million and working capital of $33.4 million. For the unaudited twelve months ended June 30, 2009, revenue grew to $53.7 million and net income grew to $7.7 million. For period ended June 30, 2008, the Company reported total shareholders equity of $29.3 million and working capital of $34.7 million. Audited financials for the year ended December 31, 2008, and unaudited financials for the six months ended June 30, 2009, can be found in its SEC report filed on Form 8-K dated November 6, 2009.
Prior to its reverse merger, the company traded under the symbol "MBPI" reflecting the underlying shell company Mobile Presence Technologies, Inc.
About China Shandong Industries, Inc.
Based in Shandong Province, China, China Shandong Industries believes it is a leading producer and global marketer of straw-wicker products, wooden crafts and solid wooden furniture. It employs approximately 1,500 employees primarily at its factory and headquarters campus covering 1.2 million square feet on 49 acres of property. The Company sells 20,000 different products through over 300 distributors and retailers in more than 30 countries in North America, Middle East, Europe and Asia. Its products are sold by well known mass market retailers including Wal-Mart, ABM Group, Argos Limited, IKEA, Zara and others.
Safe Harbor
This news release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. While these statements are made to convey Company progress, business opportunities and growth prospects, readers are cautioned that such forward-looking statements represent management's opinion. Whereas management believes such representations to be true and accurate based on information and data available to the company at this time, actual results may differ materially and are subject to risk and uncertainties. Factors that may cause actual results to differ include without limitation: dependence on key personnel and partners; raw materials prices; currency fluctuations; an uncertain regulatory climate in China; economic conditions; consumer demand and competition.
Additional considerations and risk factors are set forth in our Nov. 6, 2009 report filed on Form 8-K with the SEC and other filings. Readers are cautioned not to place undue reliance upon these forward-looking statements; historical information is not an indicator of future performance. The Company undertakes no obligation to update publicly any forward-looking statements.
Add to Digg Bookmark with del.icio.us Add to Newsvine
Contacts
Li Jinliang
CEO
Tel: 86 0530 3431658
Fax: 86 0530 3431221
Email: zgsd@cpgy.com
CSNH.. Background..
China Shandong Industries, Inc. and Subsidiaries
(FKA Mobile Presence Technologies, Inc.)
Consolidated Balance Sheets
As of December 31, 2009 and 2008
ASSETS 2009 2008
CURRENT ASSETS
Cash and cash equivalents $ 2,185,839 $ 1,751,997
Trade accounts receivable 6,948,326 6,339,459
Inventories 17,527,584 17,336,566
Prepaid expenses 375,493 107,128
Deposits 767,204 -
Other receivables 295,752 22,499
TOTAL CURRENT ASSETS $ 28,100,198 $ 25,557,649
FIXED ASSETS
Property, plant, and equipment 10,755,341 10,374,947
Accumulated depreciation (3,331,407 ) (2,453,851 )
NET FIXED ASSETS $ 7,423,934 $ 7,921,096
OTHER ASSETS
Construction in progress 6,940,632 6,372
TOTAL OTHER ASSETS $ 6,940,632 $ 6,372
TOTAL ASSETS $ 42,464,764 $ 33,485,117
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Short-term borrowings $ 8,054,831 $ 5,946,962
Current portion of notes payable - 2,638,136
Accounts payable 240,289 362,549
Other payables and accrued liabilities 731,330 1,118,408
Deposits received in advance 56,849 160,074
Taxes payable 643,476 266,907
TOTAL CURRENT LIABILITIES $ 9,726,775 $ 10,493,036
TOTAL LIABILITIES $ 9,726,775 $ 10,493,036
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY
Preferred stock ($.0001 par value, 5,000,000 authorized, none issued and outstanding) $ - $ -
Common stock ($.0001 par value, 100,000,000 authorized, 25,725,000 issued and outstanding) 2,573 2,573
Additional paid in capital 7,797,427 7,797,427
Statutory and discretionary surplus reserve 3,608,243 3,608,243
Accumulated other comprehensive income (loss) (25,022 ) 216,500
Retained earnings 21,354,768 11,367,338
TOTAL STOCKHOLDERS' EQUITY $ 32,737,989 $ 22,992,081
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 42,464,764 $ 33,485,117
See accompanying notes to these consolidated financial statements and auditors' report.
F-2
--------------------------------------------------------------------------------
China Shandong Industries, Inc. and Subsidiaries
(FKA Mobile Presence Technologies, Inc.)
Consolidated Statements of Income and Comprehensive Income
For the years ended December 31, 2009 and 2008
2009 2008
Revenues
Sales $ 59,549,572 $ 42,197,393
Cost of sales 42,186,937 31,570,829
Gross profits 17,362,635 10,626,565
Operating expenses
Selling and marketing $ 831,245 $ 686,104
General and administrative 1,966,402 1,867,589
Total Operating Expenses 2,797,647 2,553,694
Income from continuing operations 14,564,988 8,072,871
Other income (expenses)
Finance income (costs) $ (753,093 ) $ (751,865 )
Other income 202,851 367,099
Non-operating income (expense) (611,339 ) 27,807
Total other income (expense) (1,161,580 ) (356,959 )
Income from operations before income taxes 13,403,408 7,715,912
Income taxes (3,415,978 ) (1,953,918 )
Net income 9,987,430 5,761,994
Other comprehensive income
Foreign currency translation adjustment (241,552 ) 746,119
Comprehensive income $ 9,745,878 $ 6,508,112
See accompanying notes to these consolidated financial statements and auditors' report.
F-3
--------------------------------------------------------------------------------
China Shandong Industries, Inc. and Subsidiaries
(FKA Mobile Presence Technologies, Inc.)
Consolidated Statements of Cash Flows
For the years ended December 31, 2009 and 2008
2009 2008
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income 9,987,430 5,761,994
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation 813,394 661,993
Loss on disposal of property, plant and equipment 626,258 -
Changes in operating assets and liabilities:
Trade accounts receivable (613,437 ) (1,576,587 )
Prepaid expenses (268,063 ) 520,539
Inventories (204,136 ) (6,440,180 )
Other receivables (274,030 ) 182,387
Deposits (767,204 ) -
Accounts payable (121,932 ) (493,591 )
Taxes payable 376,615 592,864
Other payables and accrued liabilities (385,017 ) (303,540 )
Deposits received in advance (103,060 ) 153,666
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES 9,066,819 (940,455 )
CASH FLOWS FROM INVESTING ACTIVITIES:
Dividend distribution - (224,755 )
Disposals of property, plant, and equipment - 293,904
Expenditures for property, plant, and equipment (1,121,964 ) (1,094,614 )
Additions to construction in progress (6,931,355 ) 125,685
NET CASH (USED IN) INVESTING ACTIVITIES (8,053,319 ) (899,781 )
CASH FLOWS FROM FINANCING ACTIVITIES:
Principal repayments of short term borrowings (3,676,471 ) (360,969 )
Proceeds from short term borrowings 5,787,983 1,754,245
Borrowings of notes payable - 6,359,126
Repayments of notes payable (2,635,020 ) (4,893,495 )
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES (523,508 ) 2,858,907
Foreign currency adjustment (56,149 ) 156,750
NET INCREASE IN CASH AND CASH EQUIVALENTS 433,843 1,175,421
CASH AND CASH EQUIVALENTS:
Beginning of year 1,751,997 576,575
End of year $ 2,185,839 $ 1,751,997
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Cash paid during the year for:
Interest $ 621,619 $ 566,289
Taxes $ 3,415,978 $ 1,953,918
See accompanying notes to these consolidated financial statements and auditors' report.
F-4
--------------------------------------------------------------------------------
China Shandong Industries, Inc. and Subsidiaries
(FKA Mobile Presence Technologies, Inc.)
Consolidated Statement of Stockholders' Equity
For the years ended December 31, 2009 and 2008
Common Stock Preferred Stock Additional
Paid in Discretionary
Surplus Other
Comprehensive Retained Total
Stockholders'
(Shares) (Amount) (Shares) (Amount) Capital Reserve Income (loss) Earnings Equity
Balances as of January 1, 2008 25,725,000 $ 2,573 - $ 0 $ 7,797,427 $ 3,608,243 $ (529,618 ) $ 5,605,344 $ 16,483,969
Net income for the year ended
December 31, 2008 - - - - - - - 5,761,994 5,761,994
Foreign currency translation gain for 2008 - - - - - - 746,118 - 746,118
Balances as of December 31, 2008 25,725,000 $ 2,573 - $ 0 $ 7,797,427 $ 3,608,243 $ 216,500 $ 11,367,338 $ 22,992,081
Net income for the year ended
December 31, 2009 - - - - - - 9,987,430 9,987,430
Foreign currency translation loss for 2009 - - - - - - (241,522 ) (241,522 )
Balances as of December 31, 2009 25,725,000 $ 2,573 - $ 0 $ 7,797,427 $ 3,608,243 $ (25,022 ) $ 21,354,768 $ 32,737,989
See accompanying notes to these consolidated financial statements and auditors' report.
F-5
--------------------------------------------------------------------------------
CHINA SHANDONG INDUSTRIES, INC. AND SUBSIDIARIES
(FKA MOBILE PRESENCE TECHNOLOGIES, INC.)
NOTES TO AUDITED CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008
1. ORGANIZATION AND BUSINESS BACKGROUND
China Shandong Industries Inc. (the “Company”) was incorporated on February 13, 2007 under the laws of the State of Delaware as “Mobile Presence Technologies, Inc”. On December 3, 2009, the Company changed its name to China Shandong Industries, Inc.
On October 22, 2009, the Company entered a Stock Exchange and Reorganization Agreement (the “Agreement”), by and among the Company, Tianwei International Development Corporation, an Oregon Corporation (“TIDC”), CAOPU Enterprise Limited, a company organized under the laws of the British Virgin Islands (“Caopu”), London Financial Group Ltd., a company organized under the laws of the British Virgin Islands (“LFG”), Phoebus Vision Investment Developing Group, Ltd., a company organized under the laws of the British Virgin Islands (“Phoebus”), and Timothy Lightman (“TL”), pursuant to which the Company acquired all of the issued and outstanding capital stock of TIDC owned by each of CAOPU, LFG and Phoebus in exchange for an issuance by the Company of an aggregate of 1,543,500 shares of Common Stock of the Company, with a par value of $0.0001 per share (the“MBPI Common Stock”), to Caopu, LFG and Phoebus. The shares of MBPI Common Stock were issued pursuant to the exemption from registration provided under Section 4(2) of the Securities Act of 1933, as amended, and Rule 506 promulgated thereunder.
In addition, TL, the owner of 975,000 shares of MBPI Common Stock (“TL’s MBPI Shares”), representing approximately 93% of the 1,046,500 issued and outstanding shares of the Company’s Common Stock, delivered a stock certificate or stock certificates representing 875,000 of TL’s MBPI Shares to the Company for cancellation.
On November 5, 2009, pursuant to a separate Assignment and Assumption Agreement by and between the Company and TL, the Company sold to TL all of the assets of the Company and TL assumed all the liabilities of the Company.
The transaction was effectively completed on November 6, 2009, which has been accounted for as a reverse acquisition and recapitalization of the Company, through a wholly-owned subsidiary, TIDC, whereby TIDC is deemed to be the ultimate accounting acquirer (legal acquiree) and the Company to be the ultimate accounting acquiree (legal acquirer). The accompanying consolidated financial statements are in substance those of TIDC, with the assets and liabilities, and revenues and expenses, of the Company being included effective from the date of stock exchange transaction. The Company is deemed to be a continuation of the business of TIDC, through its wholly-owned subsidiary, Shandong Caopu Arts & Crafts Co., Ltd. (“SCAC”), a PRC-based company incorporated on August 15, 2000 under the laws of the PRC. Accordingly, the accompanying consolidated financial statements include the following:
(1) the balance sheet consists of the net assets of the accounting acquirer at historical cost and the net assets of the accounting acquiree at historical cost;
(2) the financial position, results of operations, and cash flows of the accounting acquirer for all periods presented as if the recapitalization had occurred at the beginning of the earliest period presented and the operations of the accounting acquiree from the date of stock exchange transaction.
On November 6, 2009, concurrent with the Stock Exchange with TIDC, the Company adopted the fiscal year end of SCAC, the wholly-owned subsidiary of TIDC, thereby changing the fiscal year end from September 30 to December 31. The consolidated audited financial statements for the new fiscal year will be reflected in the Company’s Form 10-K for the year ending December 31, 2009.
China Shandong Industries Inc., TIDC and SCAC are hereinafter referred to as (the “Company”).
F-6
--------------------------------------------------------------------------------
CHINA SHANDONG INDUSTRIES, INC. AND SUBSIDIARIES
(FKA MOBILE PRESENCE TECHNOLOGIES, INC.)
NOTES TO AUDITED CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008
1. ORGANIZATION AND BUSINESS BACKGROUND (CONT’D)
The Company is located in the Cao Xian Development Zone, which is near the Beijing-Kowloon railway with the DeShang Highway to the East and Qinghe Road to the West. There are three production areas including sixteen production workshops and staff who work on willow products, craft and wooden furniture.
The Company undertakes joint production with local farmers by purchasing the processing products from them and then by proceeding to finish the products in order to generate sales. The Company has numerous products, such as grass willow products, wooden crafts, indoor/outdoor wooden furniture, office furniture, different kinds of frames and craftwork. The Company also has numerous national patterns for design and utility models.
The Company’s products are sold in various countries and regions, including the United States of America, Germany, the United Kingdom, the Netherlands, Italy, Sweden, Japan, Canada, Denmark, Hong Kong and Taiwan.
The Company’s business model is original equipment manufacture (OEM) for North American and European manufacturers.
A majority of the Company’s sales were from exports. In order to adapt to the international market, the Company passed the ISO9001 international quality management system certification, ISO14001 environmental management system certification, OHSMS18001 Occupational Health and Safety Management System Certification, as well as the CE certification for access to the EU market.
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of presentation
The accompanying consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America under the accrual basis of accounting.
Use of estimates
In preparing consolidated financial statements in conformity with accounting principles generally accepted in the United States of America, management makes estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the dates of the consolidated financial statements, as well as the reported amounts of revenues and expenses during the reporting periods. These accounts and estimates include, but are not limited to, the valuation of trade receivables, other receivables, inventories, income taxes and the estimation on useful lives of property, plant and equipment. Actual results could differ from these estimates.
Concentrations of credit risk
Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of cash and cash equivalents, and trade and other receivables. As of December 31, 2009 and 2008, substantially all of the Company’s cash and cash equivalents were held by financial institutions located in the PRC, which the Company’s management believes are of high credit quality. With respect to trade receivables, the Company extends credit based on an evaluation of the customer’s financial condition. The Company generally does not require collateral for trade and other receivables and maintains an allowance for doubtful accounts of trade and other receivables.
CSNH Background..
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of Earliest Event Reported): March 30, 2010
CHINA SHANDONG INDUSTRIES, INC.
(Exact Name of Registrant as Specified in its Charter)
Delaware 333-147666 20-8545693
(State or other Jurisdiction of Incorporation) (Commission File Number) (I.R.S. Employer Identification No.)
No. 2888 Qinghe Road
Development Zone Cao County
Shandong Province, 274400 China
________________________________________________________________________________
(Address of Principal Executive Offices)
Registrant’s telephone number, including area code: (86) 530-3431658
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation under any of the following provisions ( see General Instruction A.2. below):
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o Pre-commencement communications pursuant to Rule 13e-4(c)) under the Exchange Act (17 CFR 240.13e-4(c))
--------------------------------------------------------------------------------
ITEM 5.02. DEPARTURE OF DIRECTORS OR CERTAIN OFFICERS; ELECTION OF DIRECTORS; APPOINTMENT OF CERTAIN OFFICERS; COMPENSATORY ARRANGEMENTS OF CERTAIN OFFICERS
(b) Departure of Principal Financial Officer.
Effective March 30, 2010, Mr. Zhiyu Wang resigned as the Chief Financial Officer of China Shandong Industries, Inc. (the “Company”), but will continue to serve as the chief financial officer of Shandong Caopu Arts & Crafts Co., Ltd., the Company’s wholly owned subsidiary.
(c) Appointment of Principal Financial Officer.
Pursuant to an Employment Agreement effective as of March 30, 2010 by and between the Company and Ms. Yuhong Lei (the “Agreement”), Ms. Lei was hired as the Chief Financial Officer of the Company.
The Agreement has a one-year term expiring March 30, 2011 (the “Term”) unless earlier terminated in accordance with the Agreement. The Company may, in its sole discretion, terminate the Agreement upon thirty (30) days’ written notice to Ms. Lei. The Agreement provides that Ms. Lei will receive an annual base salary of RMB 360,000, or approximately $52,738 based on the exchange rate in effect as of the date of this Current Report on Form 8-K.
Prior to her appointment as the Company’s Chief Financial Officer, Ms. Lei was a Senior Financial Analyst with J&R Investment Service Limited commencing in 2009, where her responsibilities included monitoring financial markets on behalf of J&R’s senior management. From 2008 to 2009, Ms. Lei acted as a Financial Analyst with Linear Capital Asia Limited, where she provided consulting services to the firm’s clients. From 2003 to 2006, Ms. Lei was a Business Analyst with PetroChina Jiangxi Region Sales Company, where she provided business analysis to the company’s sales and marketing division. Ms. Lei received an MBA from the University of Bradford in 2007 and a BA in Insurance from Liaoning University in 1999. Ms. Lei is a candidate for the Level 3 exam given by the CFA Institute.
Ms. Lei has no family relationships with any of the executive officers or directors of the Company. There have been no related party transactions in the past two years in which the Company or any of its subsidiaries was or is to be a party, in which Ms. Lei had, or will have, a direct or indirect material interest.
The foregoing summary description of the Agreement is qualified in its entirety by reference to the full text of the Agreement attached to this report as Exhibit 10.1.
Item 9.01. Financial Statement and Exhibits
(c ) Exhibits
10.1 Employment Agreement, dated as of March 30, 2010, between the Company and Ms. Yuhong Lei.
--------------------------------------------------------------------------------
SIGNATURES
Pursuant to the requirements of Section12 of the Securities Exchange Act of 1934, as amended the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
China Shandong Industries, Inc.
Date: March 30, 2010 By: /s/ Jinliang Li
Name: Jinliang Li
Title: Chief Executive Officer
--------------------------------------------------------------------------------
EXHIBIT 10.1
EMPLOYMENT AGREEMENT
This Agreement (this “Agreement”) is entered into by and among China Shandong Industries, Inc., a Delaware corporation (the “Company”) and subsidiaries, and Yuhong Lei (the “Employee”), effective as of March 30, 2010 (“Effective Date”).
WHEREAS, the Company desires to employ the Employee on the terms and conditions set forth herein, and the Employee desires to be employed by the Company in such capacity on such terms and conditions.
NOW, THEREFORE, in consideration of the mutual promises contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows:
1. Employment. The Company hereby employs the Employee, and the Employee hereby accepts such employment on the terms and conditions hereinafter set forth.
2. Term of Employment. The initial term of employment under this Agreement shall be one year period commencing on the Effective Date (the “Term”) unless the Agreement is terminated earlier in accordance with the provisions herein; provided that such Term will be extended upon the same terms and conditions contained herein and any additional terms and conditions upon expiration of the Term as mutually agreed by both parties (an “Extended Term”) unless a written notice of nonrenewal is given by either party at least thirty (30) days prior to the expiration date of the Term or the Extended Term, as the case may be.
3. Duties. The Employee shall be appointed as Chief Financial Officer and, as such, the Employee shall perform such duties and possess such authorities and privileges consistent with such position and such duties and rights as may reasonably be assigned by and subject to the direction of the Company’s Chief Executive Officer or any other executive officer in similar capacities in writing from time to time during the Term. During the Term, the Employee shall have no other employment or receive compensation for services rendered to any other person other than the Company and any affiliated entities without the express prior written consent of the Company. Accordingly, the Employee agrees to devote his full working time and best efforts in such capacities as set forth herein to the business of the Company.
Duties and Responsibilities. The Executive agree to perform CFO’s duties and responsibilities for the Company and its USA and China subsidiaries as following:
3.1 Responsible for all accounting and financial functions of company including:
a. All SEC filings
b. Annual audits and quarterly reviews
c. Monthly financial reports
d. Budget preparation, reconciliation to actual, and reporting to management and Board of Director
e. Development of long-range business plans
f. Tax return planning and control
g. Control of Employee Stock Option Plan (ESOP) and other employee benefits
h. Maintaining of internal controls and adherence to Sarbanes Oxley
i. Control of company expenses
j. Maintenance of adequate but not excessive insurance
k. Monitoring of cash flow and funding requirements
3.2 As an active and positive force with the Executive Team:
a. Help develop and implement long-range strategy
b. Help develop and implement business models
c. Integrating financial perspective into operations of the Company
d. Determine that contracts are negotiated in the best interests of Company
e. Coordinating with Company auditors and SEC attorney on filings, contracts, and business models as appropriate
3.3 Maintain effective and efficient accounting and financial systemsa. Manage, mentor and motivate accounting team
b. Streamline accounting systems for efficient and accurate financial reporting
c. Responsible for accounting systems including,
(1) Accounts receivable billing and timely collection
(2) Accounts payable and accurate payments
(3) Payroll administration
d. Knowledge of US GAAP, and SEC Rules and Regulations
3.4 Enforce company compliance with:
a. Corporate governance(China and USA)
b. Government regulations(China and USA)
c. Company policy and procedures(China and USA)
--------------------------------------------------------------------------------
4. Compensation. The Employee’s compensation (the “Compensation”) shall consist of the following:
4.1 Annual Base Salary. The Employee shall be paid an annual base salary equivalent to approximately U.S. $52,738 (RMB 360,000) per year, payable in equal monthly installments once every month, by the Company or its designated subsidiaries or affiliates.
5. Expenses. The Employee works in her existing inhabited place, Beijing. The Employee shall be reimbursed for all reasonable and documented expenses for travel, communication, network cost. The Employee shall provide receipts of such expenses.
6. Termination. Notwithstanding Section 2 above, the Employee’s employment with the Company may be terminated by the Company at any time during the Term or the Extended Term, as the case may be (“Early Termination”) for any reason upon 30 days prior written notice.
7. Effect upon Termination. In the event of Early Termination within thirty (30) days following the date of such Early Termination, the Company shall pay the Employee any accrued but unpaid cash salary.
8. Indemnification. The Company shall indemnify, defend and hold the Employee harmless for all losses, costs, expenses or liabilities based upon or related to acts, decisions or omissions made by the Employee in good faith while performing services within the scope of his employment for the Company. The Company’s obligation under this Section 10 shall survive any termination or expiration of the Employee’s employment.
9. Confidential Information. The Employee agrees that both during the Term and for two (2) years thereafter to keep secret and confidential all information labeled confidential or not generally known which is heretofore or hereafter acquired concerning the business and affairs of the Company, including without limitation, information regarding trade secrets, proprietary processes, confidential business plans, market research data and financial data, and further agrees not to disclose any such information to any person, firm, or corporation or use the same in any manner other than in furtherance of the business or affairs of the Company or unless such information shall become public knowledge by other means. The Employee agrees that such information is a valuable, special, and unique asset of Company. Upon the termination of the Employee’s employment with Company, the Employee shall immediately return to the Company all documents, records, notebooks, and similar repositories of information relating to confidential information of the Company and/or the development of any inventions. The provisions of this Section 11 shall survive the termination of this Agreement and the Employee’s employment for one year.
10. Notice. Any and all notices or other communications of deliveries required or permitted to be provided hereunder shall be deemed to have been duly given if in writing and hand delivered or sent by certified or registered mail, return receipt requested, to the appropriate address indicated below or to such other address as may be given in a notice sent to all parties hereto:
(a) If to the Company, to:
Jinliang Li
China Shandong Industries, Inc.
No. 2888 Qinghe Road,
Development Zone Cao County
Shandong Province 274400 PRC
(b) If to the Employee by email or to the address or facsimile number that is on file with the Company from time to time, as may be updated by the Employee.
11. Entire Agreement. Except as provided below, this Agreement contains the complete agreement and understanding concerning the employment arrangement between the parties and shall supersede all other agreements, understandings or commitments between the parties as to such subject matter.
12. Parties Bound. The terms, promises, covenants, and agreements contained in this Agreement shall apply to, be binding upon, and inure to the benefit of the parties hereto and their respective subsidiaries, affiliates, successors and assigns (whether direct or indirect, by purchase, merger, consolidation or otherwise); provided, however, that this Agreement may not be assigned by the Company or the Employee without the prior written consent of the other party.
13. Modification; Waiver. No provision of this Agreement may be modified, waived or discharged unless modification, waiver or discharge is agreed to in writing signed by the Employee and the Company. No waiver by either party at any time of any breach by the other party of, or compliance with, any condition or provision of this Agreement to be performed by such other party will be deemed a waiver of similar or provisions or conditions at the same or at any prior or subsequent time.
14. Governing Law and jurisdiction. The validity of this Agreement and any of the terms or provisions as well as the rights and duties of the parties hereunder shall be governed by the laws of PRC, without reference to any conflict of law or choice of law principles thereof and subject to the exclusive jurisdiction of the courts by the Address of Shandong Caopu Arts & Crafts Company Ltd.
--------------------------------------------------------------------------------
15 Validity. The invalidity or unenforceability of any provision or provisions of this Agreement will not affect the validity or enforceability of any other provision of this Agreement, which will remain in full force and effect.
16. Counterparts. This Agreement may be executed in multiple original counterparts, each of which shall be deemed an original and all of which together shall constitute but one and the same document.
IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above.
China Shandong Industries, Inc.
/s/ Jinliang Li
Jinliang Li
Chairman & Chief Executive Officer
Employee
/s/ Yuhong Lei
Yuhong Lei
CNSG.. Background..
CAOPU ARTS & CRAFTS CO., LTD.
(Unaudited) Balance Sheet
As of September 30, 2009
ASSETS
CURRENT ASSETS
Cash and Cash Equivalents $ 4,146,146
Trade Accounts Receivable 8,285,979
Inventories 15,916,996
Prepaid Expenses 180,292
Other Receivables 131,275
TOTAL CURRENT ASSETS 28,660,687
PROPERTY AND EQUIPMENT
Property and Equipment 11,178,675
Accumulated Depreciation (2,997,280 )
Net Property and Equipment 8,181,395
OTHER ASSETS
Construction in Progress 952,537
Net Other Assets 952,537
TOTAL ASSETS $ 37,794,619
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Accounts Payable and Accrued Expenses $ 762,253
Current Portion of Notes Payable 1,171,932
Short-term Borrowings 5,398,213
Deposits Received in Advance 170,220
TOTAL CURRENT LIABILITIES 7,502,619
STOCKHOLDERS' EQUITY
Preferred Stock ($.0001 par value, 1,000,000 authorized: none issued and outstanding) $ -
Registered and Paid Up Capital 7,800,000
Statutory and Discretionary Surplus Reserve 3,608,243
Accumulated Other Comprehensive Income 214,460
Common Stock ($.0001 par value, 20,000,000 shares authorized: 1,046,500 shares issued and outstanding) 105
Additional Paid-in-Capital -
Retained Earnings 18,669,193
TOTAL STOCKHOLDERS' EQUITY 30,292,001
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 37,794,619
--------------------------------------------------------------------------------
CAOPU ARTS & CRAFTS CO., LTD.
(Unaudited) Income Statement
For the Nine Months Ended September 30, 2009
2009
SALES AND COST OF SALES:
Sales $ 46,207,204
Cost of Sales 34,521,474
Gross Profit 11,685,730
OPERATING EXPENSES:
Selling, general and administrative 1,657,489
1,657,489
Income from continuing operations 10,028,241
OTHER INCOME (EXPENSE):
Finance costs (439,881 )
Other income 140,630
Net non-operating income 6,816
(292,435 )
Income before income taxes 9,735,806
Income taxes (2,433,952 )
NET INCOME BEFORE OCI 7,301,855
OTHER COMPREHENSIVE INCOME (LOSS):
Foreign currency translation adjustment (2,040 )
NET INCOME $ 7,299,815
Net income per common share $ 6.98
--------------------------------------------------------------------------------
Shandong Caopu Arts & Crafts Co., Ltd.
(Unaudited) Statement of Cash Flows
For the nine months ended September 30, 2009
2009
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income 7,299,815
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation 418,366
Changes in operating assets and liabilities:
Trade accounts receivable (366,951 )
Prepaid expense 51,457
Inventories (2,333,860 )
Other receivables (47,555 )
Accounts payable and accrued expenses 201,468
Deposits received in advance 169,939
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES 5,392,679
CASH FLOWS FROM INVESTING ACTIVITIES:
Disposals of property, plant, and equipment 55,714
Expenditures for property, plant, and equipment (434,152 )
Additions to construction in progress (794,537 )
NET CASH (USED IN) INVESTING ACTIVITIES (1,172,975 )
CASH FLOWS FROM FINANCING ACTIVITIES:
Principal repayments of short term borrowings (873,216 )
Repayments of notes payable (256,639 )
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES (1,129,855 )
Foreign currency adjustment 56,912
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS 3,146,761
CASH AND CASH EQUIVALENTS:
Beginning of year 999,385
End of year $ 4,146,146
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Cash paid during the year for:
Interest $ 439,881
Taxes $ 2,433,942
--------------------------------------------------------------------------------
CAOPU ARTS & CRAFTS CO., LTD.
(Unaudited) Income Statement
For the Nine Months Ended September 30, 2008
2008
SALES AND COST OF SALES:
Sales $ 29,977,753
Cost of Sales 22,220,271
Gross Profit 7,757,482
OPERATING EXPENSES:
Selling, general and administrative 1,711,152
1,711,152
Income from continuing operations 6,046,330
OTHER INCOME (EXPENSE):
Finance costs (490,724 )
Other income 17,857
Net non-operating income 1,873
(470,994 )
Income before income taxes 5,575,336
Income taxes (921,822 )
NET INCOME BEFORE OCI 4,653,514
OTHER COMPREHENSIVE INCOME (LOSS):
Foreign currency translation adjustment (3,650 )
NET INCOME $ 4,649,864
Net income per common share $ 4.44
--------------------------------------------------------------------------------
Shandong Caopu Arts & Crafts Co., Ltd.
(Unaudited) Statement of Cash Flows
For the nine months ended September 30, 2008
2008
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income 4,649,864
Adjustments to reconcile net income to net cash
(used in) operating activities:
Depreciation 427,277
Changes in operating assets and liabilities:
Trade accounts receivable (3,112,098 )
Prepaid expense 382,275
Inventories (3,027,140 )
Other receivables and assets 298,474
Accounts payable and accrued expenses (1,777,299 )
NET CASH (USED IN) OPERATING ACTIVITIES (2,158,647 )
CASH FLOWS FROM INVESTING ACTIVITIES:
Expenditures for property, plant, and equipment (357,251 )
Additions to construction in progress (29,923 )
NET CASH (USED IN) INVESTING ACTIVITIES (387,174 )
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings of short term borrowings and notes payable 10,058,394
Principal repayments of short term borrowings and notes payable (7,430,657 )
NET CASH PROVIDED BY FINANCING ACTIVITIES 2,627,737
Foreign currency adjustment 236,031
NET INCREASE IN CASH AND CASH EQUIVALENTS 317,947
CASH AND CASH EQUIVALENTS:
Beginning of year 703,322
End of year $ 1,021,269
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Cash paid during the year for:
Interest $ 490,724
Taxes $ 942,008
CSNH.. Background..
China Shandong Industries Announces Listing on OTC Bulletin Board
Market Wire - Jan 21 at 08:35
Company Symbols: NASDAQ-OTCBB:CSNH
Company Reports New Name, Ticker Symbol and Forward Stock Split
LOS ANGELES, CA -- (MARKET WIRE) -- 01/21/10 -- China Shandong Industries, Inc. (OTCBB: CSNH), a leading producer and global marketer of straw-wicker products and furniture, is pleased to announce that it has closed a reverse acquisition.
The new company has changed its ticker symbol to "CSNH" and completed a fifteen-for-one forward stock split effective January 4. Following the stock split, the total number of common shares issued and outstanding has increased from 1,715,000 to 25,725,000.
The Company is led by Li Jinliang, Chief Executive Officer. Mr. Li Jinliang, 50, founded Shandong Industries in 2000. He has over 30 years experience in sales and production of handicrafts and furniture, and majored in Management at Shandong Agricultural University, China.
For the fiscal audited year ended December 31, 2008, Shandong Industries generated revenue of $43.3 million and net income of $5.9 million. For period ended December 31, 2008, the Company reported total shareholders equity of $24.7 million and working capital of $33.4 million. For the unaudited twelve months ended June 30, 2009, revenue grew to $53.7 million and net income grew to $7.7 million. For period ended June 30, 2008, the Company reported total shareholders equity of $29.3 million and working capital of $34.7 million. Audited financials for the year ended December 31, 2008, and unaudited financials for the six months ended June 30, 2009, can be found in its SEC report filed on Form 8-K dated November 6, 2009.
Prior to its reverse merger, the company traded under the symbol "MBPI" reflecting the underlying shell company Mobile Presence Technologies, Inc.
About China Shandong Industries, Inc.
Based in Shandong Province, China, China Shandong Industries believes it is a leading producer and global marketer of straw-wicker products, wooden crafts and solid wooden furniture. It employs approximately 1,500 employees primarily at its factory and headquarters campus covering 1.2 million square feet on 49 acres of property. The Company sells 20,000 different products through over 300 distributors and retailers in more than 30 countries in North America, Middle East, Europe and Asia. Its products are sold by well known mass market retailers including Wal-Mart, ABM Group, Argos Limited, IKEA, Zara and others.
Safe Harbor
This news release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. While these statements are made to convey Company progress, business opportunities and growth prospects, readers are cautioned that such forward-looking statements represent management's opinion. Whereas management believes such representations to be true and accurate based on information and data available to the company at this time, actual results may differ materially and are subject to risk and uncertainties. Factors that may cause actual results to differ include without limitation: dependence on key personnel and partners; raw materials prices; currency fluctuations; an uncertain regulatory climate in China; economic conditions; consumer demand and competition.
Additional considerations and risk factors are set forth in our Nov. 6, 2009 report filed on Form 8-K with the SEC and other filings. Readers are cautioned not to place undue reliance upon these forward-looking statements; historical information is not an indicator of future performance. The Company undertakes no obligation to update publicly any forward-looking statements.
Add to Digg Bookmark with del.icio.us Add to Newsvine
Contacts
Li Jinliang
CEO
Tel: 86 0530 3431658
Fax: 86 0530 3431221
Email: zgsd@cpgy.com
CSNH.. $3.05
Cross post..
Posted by: 2morrowsGains Date: Thursday, February 04, 2010 9:48:00 AM
In reply to: None Post # of 125047
CSNH...Nice numbers hidden in a recent reverse acquisition...
Six months ended June 30 2009...
Net revenues = $29.7M
Net income = $4.63M
Shares Outstanding = 25,725,000
SIX MONTH EPS = $0.18
Current Stock Price = $1.75
PE = 5
http://sec.gov/Archives/edgar/data/1417192/000114420409057925/v165144_8k.htm
Sales are currently up 54% over last year w/ net income up approx 75%!! NOT BAD cosidering the economy last year. (See big name customers below). If this trend continued in the 2nd half of 2009, CSNH could come in with approx $0.40 EPS for the year. Good stock for the watch list...
Based in Shandong Province, China, China Shandong Industries believes it is a leading producer and global marketer of straw-wicker products, wooden crafts and solid wooden furniture. It employs approximately 1,500 employees primarily at its factory and headquarters campus covering 1.2 million square feet on 49 acres of property. The Company sells 20,000 different products through over 300 distributors and retailers in more than 30 countries in North America, Middle East, Europe and Asia. Its products are sold by well known mass market retailers including Wal-Mart, ABM Group, Argos Limited, IKEA, Zara and others.
http://finance.yahoo.com/news/China-Shandong-Industries-iw-3581182571.html?x=0&.v=1
CSNH.. $3.05 Cross post..
Posted by: researcher59 Date: Tuesday, March 02, 2010 11:01:35 AM
In reply to: 2morrowsGains who wrote msg# 123229 Post # of 125047
2morrowsGains: CSNH (1.49) is a nice find. Recent reverse merger in October. Strong growth both y/y and sequentially. 8K filing on 2/17 shows the 9 month figures.
EPS of $0.10 in Q3 and $0.28 through 9 months versus $0.07 and $0.18 in the year earlier periods. Revenues up 54% for the 9 month period.
I'm averaged into a small position at $1.48 ..... PE is under 4 based on the 9 month EPS.
CSNG.. $2.72
China Shandong Industries Announces Listing on OTC Bulletin Board
Company Reports New Name, Ticker Symbol and Forward Stock Split
China Shandong Industries, Inc. On Thursday January 21, 2010, 8:35 am EST
LOS ANGELES, CA--(Marketwire - 01/21/10) - China Shandong Industries, Inc. (OTC.BB:CSNH - News), a leading producer and global marketer of straw-wicker products and furniture, is pleased to announce that it has closed a reverse acquisition.
The new company has changed its ticker symbol to "CSNH" and completed a fifteen-for-one forward stock split effective January 4. Following the stock split, the total number of common shares issued and outstanding has increased from 1,715,000 to 25,725,000.
The Company is led by Li Jinliang, Chief Executive Officer. Mr. Li Jinliang, 50, founded Shandong Industries in 2000. He has over 30 years experience in sales and production of handicrafts and furniture, and majored in Management at Shandong Agricultural University, China.
For the fiscal audited year ended December 31, 2008, Shandong Industries generated revenue of $43.3 million and net income of $5.9 million. For period ended December 31, 2008, the Company reported total shareholders equity of $24.7 million and working capital of $33.4 million. For the unaudited twelve months ended June 30, 2009, revenue grew to $53.7 million and net income grew to $7.7 million. For period ended June 30, 2008, the Company reported total shareholders equity of $29.3 million and working capital of $34.7 million. Audited financials for the year ended December 31, 2008, and unaudited financials for the six months ended June 30, 2009, can be found in its SEC report filed on Form 8-K dated November 6, 2009.
Prior to its reverse merger, the company traded under the symbol "MBPI" reflecting the underlying shell company Mobile Presence Technologies, Inc.
About China Shandong Industries, Inc.
Based in Shandong Province, China, China Shandong Industries believes it is a leading producer and global marketer of straw-wicker products, wooden crafts and solid wooden furniture. It employs approximately 1,500 employees primarily at its factory and headquarters campus covering 1.2 million square feet on 49 acres of property. The Company sells 20,000 different products through over 300 distributors and retailers in more than 30 countries in North America, Middle East, Europe and Asia. Its products are sold by well known mass market retailers including Wal-Mart, ABM Group, Argos Limited, IKEA, Zara and others.
Safe Harbor
This news release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. While these statements are made to convey Company progress, business opportunities and growth prospects, readers are cautioned that such forward-looking statements represent management's opinion. Whereas management believes such representations to be true and accurate based on information and data available to the company at this time, actual results may differ materially and are subject to risk and uncertainties. Factors that may cause actual results to differ include without limitation: dependence on key personnel and partners; raw materials prices; currency fluctuations; an uncertain regulatory climate in China; economic conditions; consumer demand and competition.
Additional considerations and risk factors are set forth in our Nov. 6, 2009 report filed on Form 8-K with the SEC and other filings. Readers are cautioned not to place undue reliance upon these forward-looking statements; historical information is not an indicator of future performance. The Company undertakes no obligation to update publicly any forward-looking statements.
Contact:
ContactsLi JinliangCEOTel: 86 0530 3431658Fax: 86 0530 3431221Email: zgsd@cpgy.com
CSNH.. $2.72
China Vesting Adds China Shandong Industries to the China Dragon Undervalued Index
GlobeNewswire - Apr 16 at 09:57
Company Symbols: NASDAQ-OTCBB:CSNH, NASDAQ-OTCBB:SGZH
DONGGUAN and GUANGDONG, China, April 16, 2010 (GLOBE NEWSWIRE) -- China Vesting reconstituted its family of U.S. listed Chinese public company indexes on April 16 by adding China Shandong Industries (OTCBB:CSNH) to the China Dragon Undervalued Index. China Shandong Industries is a leading producer and marketer of straw wicker products, wooden crafts and wood furniture. The company sells 20,000 different products via 300 distributors and retailers in more than 30 countries. Their products are carried by Wal-Mart, IKEA and other mass market retailers.
On Thursday April 15th, China Shandong Industries filed their 10K annual report. Revenue for the fiscal year ended December 31, 2009 was approximately $60 million, increasing by approximately $18 million, or 41%, from approximately $42 million for the comparable period in 2008. Net income for fiscal 2009 was approximately $10.0 million, an increase of $4.24 million, or 73.6% as compared to $5.76 million in 2008.
China Shandong Industries currently has 25,725,000 shares outstanding and based on Thursday's closing price of $2.72 per share the market capitalization is $69,972,000. The company's current 2009 trailing Price to Earnings Ratio (P/E) is 6.99.
Additionally, China Vesting announces the removal of Songzai International Holding Group Inc. (OTCBB:SGZH) from the China Dragon Undervalued Index. Within the last month, Yvonne Zhang, the company's CFO, announced his resignation and yesterday the company reported 2009 fourth quarter revenues decreased 24.1% and net income plunged 77.5% year-over-year. China Vesting no longer considers the company to meet the requirements of its China Dragon Undervalued Index.
China Vesting determines membership for its indexes primarily by objective, market-capitalization rankings and style attributes.
Total returns data for the China 100 Index and other China Vesting Indexes are available at http://www.chinavesting.com
About China Vesting:
China Vesting researches 500 of the top U.S. Listed Chinese Public Companies and tracks the best 100 with state-of-the-art performance benchmarks. China Vesting is based in Dongguan China, an industrial city located in the Pearl River Delta. Dongguan borders the provincial capital of Guangzhou to the north, Huizhou to the northeast, Shenzhen to the south, and the Pearl River to the west. Our network consists of Chinese officials, investment bankers, venture capitalists, scholars, academics and most importantly entrepreneurs that track China Stocks.
CONTACT: China Vesting Inc.
Chang Huan
+8613412342538
changhuan@chinavesting.com
http://www.chinavesting.com
2010 GlobeNewswire, Inc.
Followers
|
3
|
Posters
|
|
Posts (Today)
|
0
|
Posts (Total)
|
67
|
Created
|
10/27/08
|
Type
|
Free
|
Moderators |
China Shandong Industries, Inc. |
Consolidated Balance Sheets (Unaudited) |
As of March 31, 2010 and December 31, 2009 |
March 31, 2010 (Unaudited) | December 31, 2009 (Audited) | |||||||
ASSETS | ||||||||
CURRENT ASSETS | ||||||||
Cash and cash equivalents | $ | 3,455,275 | $ | 2,185,839 | ||||
Trade accounts receivable | 7,958,089 | 6,948,326 | ||||||
Inventories | 18,199,156 | 17,527,584 | ||||||
Prepaid expenses | 642,492 | 1,021,608 | ||||||
Other receivables | 166,978 | 295,752 | ||||||
TOTAL CURRENT ASSETS | $ | 30,421,990 | $ | 27,979,109 | ||||
FIXED ASSETS | ||||||||
Property, plant, and equipment | 10,935,573 | 10,755,341 | ||||||
Accumulated depreciation | (3,532,946 | ) | (3,331,407 | ) | ||||
NET FIXED ASSETS | $ | 7,402,627 | $ | 7,423,934 | ||||
OTHER ASSETS | ||||||||
Construction in progress | 8,510,258 | 6,940,632 | ||||||
TOTAL OTHER ASSETS | $ | 8,510,258 | $ | 6,940,632 | ||||
TOTAL ASSETS | $ | 46,334,875 | $ | 42,343,675 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
CURRENT LIABILITIES | ||||||||
Short-term borrowings | $ | 7,910,581 | $ | 8,054,831 | ||||
Accounts payable | 598,631 | 240,290 | ||||||
Other payables and accrued liabilities | 445,388 | 323,100 | ||||||
Deposits received in advance | 60,263 | 56,849 | ||||||
Taxes payable | 747,163 | 643,476 | ||||||
TOTAL CURRENT LIABILITIES | $ | 9,762,026 | $ | 9,318,546 | ||||
TOTAL LIABILITIES | $ | 9,762,026 | $ | 9,318,546 | ||||
COMMITMENTS AND CONTINGENCIES | ||||||||
STOCKHOLDERS' EQUITY | ||||||||
Registered and paid up capital | $ | 7,800,000 | $ | 7,800,000 | ||||
Statutory and discretionary surplus reserve | 3,608,243 | 3,608,243 | ||||||
Accumulated other comprehensive income (loss) | (17,585 | ) | (25,023 | ) | ||||
Retained earnings | 25,182,191 | 21,641,909 | ||||||
TOTAL STOCKHOLDERS' EQUITY | $ | 36,572,849 | $ | 33,025,129 | ||||
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 46,334,875 | $ | 42,343,675 |
China Shandong Industries, Inc. |
Consolidated Statements of Income (Unaudited) |
For the Three Months ended March 31, 2010 and 2009 |
For the three months ended | ||||||||
March 31, 2010 | March 31, 2009 | |||||||
Revenues | ||||||||
Sales | $ | 19,461,568 | $ | 14,495,795 | ||||
Cost of sales | 13,824,621 | 11,145,799 | ||||||
Gross profits | 5,636,946 | 3,349,996 | ||||||
Operating expenses | ||||||||
Selling and marketing | $ | 237,577 | $ | 160,238 | ||||
General and administrative | 514,440 | 258,225 | ||||||
Total Operating Expenses | 752,017 | 418,463 | ||||||
Income from continuing operations | 4,884,929 | 2,931,533 | ||||||
Other income (expenses) | ||||||||
Finance income (costs) | $ | (247,095 | ) | $ | (128,885 | ) | ||
Other operating income(cost) | 140,721 | |||||||
Non-operating income | 93,318 | (1,305 | ) | |||||
Total other income (expense) | (153,778 | ) | 10,530 | |||||
Income from operations before income taxes | 4,731,151 | 2,942,063 | ||||||
Income taxes | 1,190,869 | 706,635 | ||||||
Net income | 3,540,282 | 2,235,428 | ||||||
Other comprehensive income | ||||||||
Foreign currency translation adjustment | 7,440 | 7,194 | ||||||
Comprehensive income | $ | 3,547,722 | $ | 2,242,622 |
For the three months ended | ||||||||
March 31, 2010 | March 31, 2009 | |||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||
Net income | 3,540,282 | 2,235,428 | ||||||
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||||||||
Depreciation | 201,539 | 181,128 | ||||||
Changes in operating assets and liabilities: | ||||||||
Trade accounts receivable | (1,007,741 | ) | (3,401,142 | ) | ||||
Prepaid expense | 379,367 | (95,830 | ) | |||||
Inventories | (666,635 | ) | 1,704,333 | |||||
Other receivables | 128,844 | (192,729 | ) | |||||
Accounts payable | 358,243 | 493,496 | ||||||
Taxes payable | 103,498 | (995,609 | ) | |||||
Other payables and accrued liabilities | 122,188 | (221,633 | ) | |||||
Deposits received in advance | 3,398 | 1,158 | ||||||
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES | 3,162,983 | (291,400 | ) | |||||
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||
Purchase for property, plant, and equipment | (180,232 | ) | ||||||
Disposals of property, plant and equipment | 14,264 | |||||||
Additions to construction in progress | (1,567,556 | ) | (791 | ) | ||||
NET CASH (USED IN) INVESTING ACTIVITIES | (1,747,788 | ) | 13,473 | |||||
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||
Principal repayments of short term borrowings | (146,479 | ) | - | |||||
Proceeds from short term borrowings | - | 1,391,554 | ||||||
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES | (146,479 | ) | 1,391,554 | |||||
Foreign currency adjustment | 720 | 127 | ||||||
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 1,269,436 | 1,113,753 | ||||||
CASH AND CASH EQUIVALENTS: | ||||||||
Beginning of year | 2,185,839 | 1,751,997 | ||||||
End of year | $ | 3,455,275 | $ | 2,865,750 | ||||
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: | ||||||||
Cash paid during the year for: | ||||||||
Interest | $ | 247,096 | $ | 128,834 | ||||
Taxes | $ | 982,542 | $ | 599,403 |
ASSETS | 2009 | 2008 | ||||||
CURRENT ASSETS | ||||||||
Cash and cash equivalents | $ | 2,185,839 | $ | 1,751,997 | ||||
Trade accounts receivable | 6,948,326 | 6,339,459 | ||||||
Inventories | 17,527,584 | 17,336,566 | ||||||
Prepaid expenses | 375,493 | 107,128 | ||||||
Deposits | 767,204 | — | ||||||
Other receivables | 295,752 | 22,499 | ||||||
TOTAL CURRENT ASSETS | $ | 28,100,198 | $ | 25,557,649 | ||||
FIXED ASSETS | ||||||||
Property, plant, and equipment | 10,755,341 | 10,374,947 | ||||||
Accumulated depreciation | (3,331,407 | ) | (2,453,851 | ) | ||||
NET FIXED ASSETS | $ | 7,423,934 | $ | 7,921,096 | ||||
OTHER ASSETS | ||||||||
Construction in progress | 6,940,632 | 6,372 | ||||||
TOTAL OTHER ASSETS | $ | 6,940,632 | $ | 6,372 | ||||
TOTAL ASSETS | $ | 42,464,764 | $ | 33,485,117 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
CURRENT LIABILITIES | ||||||||
Short-term borrowings | $ | 8,054,831 | $ | 5,946,962 | ||||
Current portion of notes payable | — | 2,638,136 | ||||||
Accounts payable | 240,289 | 362,549 | ||||||
Other payables and accrued liabilities | 731,330 | 1,118,408 | ||||||
Deposits received in advance | 56,849 | 160,074 | ||||||
Taxes payable | 643,476 | 266,907 | ||||||
TOTAL CURRENT LIABILITIES | $ | 9,726,775 | $ | 10,493,036 | ||||
TOTAL LIABILITIES | $ | 9,726,775 | $ | 10,493,036 | ||||
COMMITMENTS AND CONTINGENCIES | ||||||||
STOCKHOLDERS' EQUITY | ||||||||
Preferred stock ($.0001 par value, 5,000,000 authorized, none issued and outstanding) | $ | — | $ | — | ||||
Common stock ($.0001 par value, 100,000,000 authorized, 25,725,000 issued and outstanding) | 2,573 | 2,573 | ||||||
Additional paid in capital | 7,797,427 | 7,797,427 | ||||||
Statutory and discretionary surplus reserve | 3,608,243 | 3,608,243 | ||||||
Accumulated other comprehensive income (loss) | (25,022 | ) | 216,500 | |||||
Retained earnings | 21,354,768 | 11,367,338 | ||||||
TOTAL STOCKHOLDERS' EQUITY | $ | 32,737,989 | $ | 22,992,081 | ||||
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 42,464,764 | $ | 33,485,117 |
China Shandong Industries, Inc. and Subsidiaries (FKA Mobile Presence Technologies, Inc.) Consolidated Statements of Income and Comprehensive Income For the years ended December 31, 2009 and 2008 |
2009 | 2008 | |||||||
Revenues | ||||||||
Sales | $ | 59,549,572 | $ | 42,197,393 | ||||
Cost of sales | 42,186,937 | 31,570,829 | ||||||
Gross profits | 17,362,635 | 10,626,565 | ||||||
Operating expenses | ||||||||
Selling and marketing | $ | 831,245 | $ | 686,104 | ||||
General and administrative | 1,966,402 | 1,867,589 | ||||||
Total Operating Expenses | 2,797,647 | 2,553,694 | ||||||
Income from continuing operations | 14,564,988 | 8,072,871 | ||||||
Other income (expenses) | ||||||||
Finance income (costs) | $ | (753,093 | ) | $ | (751,865 | ) | ||
Other income | 202,851 | 367,099 | ||||||
Non-operating income (expense) | (611,339 | ) | 27,807 | |||||
Total other income (expense) | (1,161,580 | ) | (356,959 | ) | ||||
Income from operations before income taxes | 13,403,408 | 7,715,912 | ||||||
Income taxes | (3,415,978 | ) | (1,953,918 | ) | ||||
Net income | 9,987,430 | 5,761,994 | ||||||
Other comprehensive income | ||||||||
Foreign currency translation adjustment | (241,552 | ) | 746,119 | |||||
Comprehensive income | $ | 9,745,878 | $ | 6,508,112 |
China Shandong Industries, Inc. and Subsidiaries (FKA Mobile Presence Technologies, Inc.) Consolidated Statements of Cash Flows For the years ended December 31, 2009 and 2008 |
2009 | 2008 | |||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||
Net income | 9,987,430 | 5,761,994 | ||||||
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||||||||
Depreciation | 813,394 | 661,993 | ||||||
Loss on disposal of property, plant and equipment | 626,258 | — | ||||||
Changes in operating assets and liabilities: | ||||||||
Trade accounts receivable | (613,437 | ) | (1,576,587 | ) | ||||
Prepaid expenses | (268,063 | ) | 520,539 | |||||
Inventories | (204,136 | ) | (6,440,180 | ) | ||||
Other receivables | (274,030 | ) | 182,387 | |||||
Deposits | (767,204 | ) | — | |||||
Accounts payable | (121,932 | ) | (493,591 | ) | ||||
Taxes payable | 376,615 | 592,864 | ||||||
Other payables and accrued liabilities | (385,017 | ) | (303,540 | ) | ||||
Deposits received in advance | (103,060 | ) | 153,666 | |||||
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES | 9,066,819 | (940,455 | ) | |||||
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||
Dividend distribution | — | (224,755 | ) | |||||
Disposals of property, plant, and equipment | — | 293,904 | ||||||
Expenditures for property, plant, and equipment | (1,121,964 | ) | (1,094,614 | ) | ||||
Additions to construction in progress | (6,931,355 | ) | 125,685 | |||||
NET CASH (USED IN) INVESTING ACTIVITIES | (8,053,319 | ) | (899,781 | ) | ||||
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||
Principal repayments of short term borrowings | (3,676,471 | ) | (360,969 | ) | ||||
Proceeds from short term borrowings | 5,787,983 | 1,754,245 | ||||||
Borrowings of notes payable | — | 6,359,126 | ||||||
Repayments of notes payable | (2,635,020 | ) | (4,893,495 | ) | ||||
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES | (523,508 | ) | 2,858,907 | |||||
Foreign currency adjustment | (56,149 | ) | 156,750 | |||||
NET INCREASE IN CASH AND CASH EQUIVALENTS | 433,843 | 1,175,421 | ||||||
CASH AND CASH EQUIVALENTS: | ||||||||
Beginning of year | 1,751,997 | 576,575 | ||||||
End of year | $ | 2,185,839 | $ | 1,751,997 | ||||
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: | ||||||||
Cash paid during the year for: | ||||||||
Interest | $ | 621,619 | $ | 566,289 | ||||
Taxes | $ | 3,415,978 | $ | 1,953,918 |
China Shandong Industries, Inc. and Subsidiaries (FKA Mobile Presence Technologies, Inc.) Consolidated Statement of Stockholders' Equity For the years ended December 31, 2009 and 2008 |
Common Stock | Preferred Stock | Additional Paid in | Discretionary Surplus | Other Comprehensive | Retained | Total Stockholders' | ||||||||||||||||||||||||||||||
(Shares) | (Amount) | (Shares) | (Amount) | Capital | Reserve | Income (loss) | Earnings | Equity | ||||||||||||||||||||||||||||
Balances as of January 1, 2008 | 25,725,000 | $ | 2,573 | — | $ | 0 | $ | 7,797,427 | $ | 3,608,243 | $ | (529,618 | ) | $ | 5,605,344 | $ | 16,483,969 | |||||||||||||||||||
Net income for the year ended December 31, 2008 | — | — | — | — | — | — | — | 5,761,994 | 5,761,994 | |||||||||||||||||||||||||||
Foreign currency translation gain for 2008 | — | — | — | — | — | — | 746,118 | — | 746,118 | |||||||||||||||||||||||||||
Balances as of December 31, 2008 | 25,725,000 | $ | 2,573 | — | $ | 0 | $ | 7,797,427 | $ | 3,608,243 | $ | 216,500 | $ | 11,367,338 | $ | 22,992,081 | ||||||||||||||||||||
Net income for the year ended December 31, 2009 | — | — | — | — | — | — | 9,987,430 | 9,987,430 | ||||||||||||||||||||||||||||
Foreign currency translation loss for 2009 | — | — | — | — | — | — | (241,522 | ) | (241,522 | ) | ||||||||||||||||||||||||||
Balances as of December 31, 2009 | 25,725,000 | $ | 2,573 | — | $ | 0 | $ | 7,797,427 | $ | 3,608,243 | $ | (25,022 | ) | $ | 21,354,768 | $ | 32,737,989 |
CHINA SHANDONG INDUSTRIES, INC. AND SUBSIDIARIES (FKA MOBILE PRESENCE TECHNOLOGIES, INC.) NOTES TO AUDITED CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 |
(1) | the balance sheet consists of the net assets of the accounting acquirer at historical cost and the net assets of the accounting acquiree at historical cost; |
(2) | the financial position, results of operations, and cash flows of the accounting acquirer for all periods presented as if the recapitalization had occurred at the beginning of the earliest period presented and the operations of the accounting acquiree from the date of stock exchange transaction. |
CHINA SHANDONG INDUSTRIES, INC. AND SUBSIDIARIES (FKA MOBILE PRESENCE TECHNOLOGIES, INC.) NOTES TO AUDITED CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 |
1. | ORGANIZATION AND BUSINESS BACKGROUND (CONT’D) |
2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES |
CHINA SHANDONG INDUSTRIES, INC. AND SUBSIDIARIES (FKA MOBILE PRESENCE TECHNOLOGIES, INC.) NOTES TO AUDITED CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 |
2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) |
CHINA SHANDONG INDUSTRIES, INC. AND SUBSIDIARIES (FKA MOBILE PRESENCE TECHNOLOGIES, INC.) NOTES TO AUDITED CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2009 AND 2008 |
2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) |
Volume | |
Day Range: | |
Bid Price | |
Ask Price | |
Last Trade Time: |