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6/18/13 General Steel Files 2012 Annual Report on Form 10-K
Company Reports Third, Fourth Quarter and Full Year 2012 Financial Results
Achieves Positive Gross Profits for Full Year 2012
PR NewswirePress Release: General Steel Holdings, Inc. – Tue, Jun 18, 2013 8:00 AM EDT...
http://finance.yahoo.com/news/general-steel-files-2012-annual-120000680.html
BEIJING, June 18, 2013 /PRNewswire/ -- General Steel Holdings, Inc. ("General Steel" or the "Company") (GSI), a leading non-state-owned steel producer in China, today announced financial results for the third quarter ended September 30, 2012, fourth quarter of 2012 and full-year ended December 31, 2012. In conjunction with this announcement, the Company has filed the corresponding Quarterly Report on Form 10-Q for the quarter ended September 30, 2012 and Annual Report on Form 10-K for year ended 2012 ("2012 Annual Report") with the U.S. Securities & Exchange Commission (the "SEC"). Upon the filing of the 2012 Annual Report, the Company has regained compliance with the New York Stock Exchange's ("NYSE") continued listing standards relating to the filing of its 2012 Annual Report.
"We are pleased to have completed the filing of our 2012 Annual Report, and thereby regaining compliance with the NYSE's continued listing requirement that we file our Annual Report," said Henry Yu, Chairman and Chief Executive Officer of General Steel. "Again, I would like to thank our finance team for their diligent efforts in completing these filings and we look forward to soon updating the investment community on our business strategy and development efforts for 2013 and beyond."
"According to the China Iron and Steel Association, 2012 was the most difficult year in the last decade for China's steel industry. Due to the economic slowdown and an oversupply of inventory, steel prices declined sharply in 2012, and, as a result, more Chinese steel companies suffered net losses in 2012[1]. Given the challenging macro environment, we strategically focused on optimizing and upgrading our production capability and on strengthening our market competitiveness via our geographic advantages in Western China and through cooperation with the government and state-owned enterprises. Our efforts helped us achieve positive gross profits and narrow net losses for the year. Looking ahead, we remain focused on further strengthening our geographic advantages in Western China, while forging ahead with upgrading our production capability and improving operating efficiency."
[1] Source: Press release distributed by China Iron and Steel Association on February 1, 2013.
Full Year 2012 Financial Review
•Revenue decreased 19.6% year-over-year to $2.9 billion, from $3.6 billion in 2011, mainly due to decreased sales volumes as well as a decrease in average selling price of rebar products.
•Sales volume totaled approximately 5.3 million metric tons, compared with 6.2 million metric tons in 2011.
•Gross profit totaled $32.1 million, or 1.1% of revenue, compared with gross loss of $(88.2) million, or gross margin of negative (2.5%) in 2011.
•Operating loss for the year improved to $(73.0) million, compared with an operating loss of $(180.0) million in 2011.
•Net loss attributable to the Company narrowed to $(152.7) million, or $(2.78) per diluted share based on 54.9 million weighted average shares outstanding, compared with a net loss of $(177.2) million, or $(3.24) per diluted share based on 54.8 million weighted average shares outstanding in 2011.
The decreased net loss in 2012 was primarily attributable to improved gross profit, a decrease in operating loss, offset by an increase of $70.5 million in other expenses as compared to the same period of 2012. The increase in other expenses are mainly due to increased finance expanse, which include an increase of $15.4 million in interest expense on capital lease, and $45.9 million in interest expense on bank borrowings, related parties borrowings, and discounted notes receivables.
Third Quarter 2012 Financial Review
•Revenue decreased 28.7% year-over-year to $711.4 million, from $998.2 million in the third quarter of 2011.
•Sales volume totaled approximately 1.4 million metric tons, down from 1.7 million metric tons in the third quarter of 2011.
•Gross loss was $(13.6) million, or negative (1.9%) of revenue, compared with gross profit of $34.1 million, or 3.4% of revenue in the third quarter of 2011.
•Operating loss for the quarter was $(36.4) million, compared with an operating income of $9.7 million in the third quarter of 2011.
•Net loss attributable to the Company was $(41.6) million, or $(0.76) per diluted share based on 54.5 million weighted average shares outstanding, compared with a net loss of $(13.8) million, or $(0.25) per diluted share based on 55.2 million weighted average shares outstanding in the third quarter of 2011.
Fourth Quarter 2012 Financial Review
•Revenue decreased 8.8% year-over-year to $723.4 million, from $793.5 million in the fourth quarter of 2011.
•Sales volume totaled approximately 1.4 million metric tons, compared with 1.6 million metric tons in the fourth quarter of 2011.
•Gross profit totaled $12.0 million, or 1.7% of revenue, compared with gross loss of $(150.7) million, or negative (19.0%) of revenue in the fourth quarter of 2011.
•Operating loss for the quarter decreased to $(31.5) million, compared with $(176.6) million in the fourth quarter of 2011.
•Net loss attributable to the Company was $(49.9) million, or $(0.91) per diluted share based on 54.9 million weighted average shares outstanding, compared with a net loss of $(131.5) million, or $(2.38) per diluted share based on 55.4 million weighted average shares outstanding in the fourth quarter of 2011.
Balance Sheet
As of December 31, 2012, the Company had cash and restricted cash of approximately $369.9 million, compared to $518.2 million as of December 31, 2011. The Company had an inventory balance of approximately $212.7 million as of December 31, 2012, compared to $297.7 million as of December 31, 2011. As of December 31, 2012, the Company had total liabilities of approximately $3.1 billion.
About General Steel Holdings, Inc.
General Steel Holdings, Inc., headquartered in Beijing, China, produces a variety of steel products including rebar, high-speed wire and spiral-weld pipe. The Company has operations in China's Shaanxi and Guangdong provinces, Inner Mongolia Autonomous Region and Tianjin municipality with seven million metric tons of crude steel production capacity under management. For more information, please visit www.gshi-steel.com.
6/11/13
General Steel Reports First and Second Quarter 2012 Financial Results
Company Reports 18.6% Year-over-Year Increase in Gross Profits in the First Half of 2012
Reiterates Intent to File 2012 Annual Report on Form 10-K on or before June 21, 2013
PR NewswirePress Release: General Steel Holdings, Inc. – Tue, Jun 11, 2013 8:00 AM EDT...
BEIJING, June 11, 2013 /PRNewswire/ -- General Steel Holdings, Inc. ("General Steel" or the "Company") (GSI), a leading non-state-owned steel producer in China, today announced financial results for the first quarter ended March 31, 2012 and the second quarter ended June 30, 2012. In conjunction with this announcement, the Company has filed the corresponding Quarterly Reports on Form 10-Q with the U.S. Securities & Exchange Commission (the "SEC").
"The completion of these financial reports is another big step forward in our march towards bringing the Company current in its reporting obligations. I would like to thank our finance team and auditor for their tireless efforts to complete these filings and our shareholders for their continued support of the Company," said Henry Yu, Chairman and Chief Executive Officer of General Steel.
"Statistics from China Iron and Steel Association and reports from other publicly-listed Chinese steel companies clearly showed that 2012 was a very tough year for the entire steel industry. However, benefiting from our favorable geographic advantage in Western China and close cooperation with the government and state-owned enterprises, I'm encouraged that General Steel was able to significantly grow gross profits and improve gross margin in the first six months of 2012. We remain focused on executing our business strategy."
General Steel is currently preparing its Quarterly Report on Form 10-Q for the period ended September 30, 2012 and Annual Report on Form 10-K ("Annual Report") for the year ended December 31, 2012 and intends to file on or before June 21, 2013. Filing the Annual Report will regain compliance with the New York Stock Exchange's continued listing standards.
First Six Months 2012 Financial Review
•Revenue decreased 19.4% year-over-year to $1.4 billion in the first six months of 2012, from $1.8 billion in the first six months of 2011.
•Sales volume totaled approximately 2.5 million metric tons, compared with 3.0 million metric tons in the first six months of 2011.
•Gross profit increased 18.6% year-over-year to $33.7 million, or 2.4% of revenue, up from $28.4 million, or 1.6% of revenue in the first six months of 2011.
•Operating loss for the quarter improved to $(5.1) million, compared with an operating loss of $(13.1) million in the first six months of 2011.
•Net loss attributable to the Company was $(61.2) million, or $(1.11) per diluted share based on 55.2 million weighted average shares outstanding, compared with a net loss of $(31.8) million, or $(0.59) per diluted share based on 54.2 million weighted average shares outstanding in the first six months of 2011.
The increase in net loss for the first six months of 2012 was primarily attributable to a provision of inventory allowance of $16.9 million due to drop in market prices, and an increase of $65.1 million in finance expense. The increased in finance expense include an increase of $14.9 million in interest expense on capital lease, and $50.2 million in interest expense on bank borrowings, related parties borrowings, and discounted notes receivables.
First Quarter 2012 Financial Review
•Revenue decreased 8.8% year-over-year to $648.0 million in the first quarter of 2012, from $710.5 million in the first quarter of 2011.
•Sales volume totaled approximately 1.2 million metric tons, relatively unchanged from the first quarter of 2011.
•Gross profit increased 11.5% year-over-year to $5.6 million, or 0.9% of revenue, up from $5.0 million, or 0.7% of revenue in the first quarter of 2011.
•Operating loss for the quarter was $(13.0) million, compared with an operating loss of $(9.5) million in the first quarter of 2011.
•Net loss attributable to the Company was $(34.8) million, or $(0.63) per diluted share based on 55.5 million weighted average shares outstanding, compared with a net loss of $(8.9) million, or $(0.16) per diluted share based on 54.8 million weighted average shares outstanding in the first quarter of 2011.
Second Quarter 2012 Financial Review
•Revenue decreased 26.5% year-over-year to $780.7 million in the second quarter of 2012, from $1.1 billion in the second quarter of 2011.
•Sales volume totaled approximately 1.3 million metric tons, compared with 1.8 million metric tons in the second quarter of 2011.
•Gross profit increased 20.2% year-over-year to $28.0 million, or 3.6% of revenue, up from $23.3 million, or 2.2% of revenue in the second quarter of 2011.
•Operating income for the quarter totaled $7.9 million, compared with an operating loss of $(3.7) million in the second quarter of 2011.
•Net loss attributable to the Company was $(26.4) million, or $(0.48) per diluted share based on 54.9 million weighted average shares outstanding, compared with a net loss of $(22.9) million, or $(0.42) per diluted share based on 54.3 million weighted average shares outstanding in the second quarter of 2011.
Balance Sheet
As of June 30, 2012, the Company had cash and restricted cash of approximately $465.8 million, compared to $518.2 million as of December 31, 2011. The Company had an inventory balance of approximately $323.3 million as of June 30, 2012, compared to $297.7 million as of December 31, 2011. As of June 30, 2012, the Company had total liabilities of approximately $3.1 billion.
About General Steel Holdings, Inc.
General Steel Holdings, Inc., headquartered in Beijing, China, produces a variety of steel products including rebar, high-speed wire and spiral-weld pipe. The Company has operations in China's Shaanxi and Guangdong provinces, Inner Mongolia Autonomous Region and Tianjin municipality with seven million metric tons of crude steel production capacity under management. For more information, please visit www.gshi-steel.com.
To be added to the General Steel email list to receive Company news, or to request a hard copy of the Company's Annual Report on Form 10-K, please send your request to generalsteel@asiabridgegroup.com.
Hey Kmx!
I'm not holding my breath
But that would be a hoot!
Right now, I'll be happy if they get all caught up on their financials!
That's all I want.
Hi east...when shall we see this dog jump to fiver? 2014? :)
General Steel Files 2011 Annual Report on Form 10-K
Friday , February 15, 2013 16:53ET
http://www.knobias.com/story.htm?eid=3.1.ecddbcd4d894f765fef96a35731c7261aa08d5994b03c5d6d729e5edc307e477
BEIJING, Feb. 15, 2013 /PRNewswire/ -- General Steel Holdings, Inc. ("General Steel" or the "Company") (NYSE: GSI), one of China's leading non-state-owned producers of steel products and aggregators of domestic steel companies, today announced that it has filed its Annual Report on Form 10-K for the year ended December 31, 2011 with the U.S. Securities and Exchange Commission (the "SEC"). The Company's independent registered public accounting firm, Friedman LLP has expressed an unqualified audit opinion on the Company's annual financial statement for the 12 months ended December 31, 2011.
With the filing of this Annual Report on Form 10-K, the Company believes it has met the New York Stock Exchange's ("NYSE") extended deadline and expects to regain compliance with the NYSE's continued listing requirement for annual report filings under Section 802.01E of the NYSE Listed Company Manual.
"The filing of our 2011 Annual Report demonstrates our commitment to proper financial reporting, and is the result of a concerted effort by our finance team and audit firm partners. Although the review and audit process for our 2011 financial statements took much longer than originally anticipated, we are pleased that we will regain compliance with the NYSE's Annual Report listing requirements," said Henry Yu, Chairman and Chief Executive Officer of General Steel. "Moving ahead, we will continue to focus on our business while we work diligently to prepare our 2012 financial statements and bring General Steel fully current in its SEC filing obligations. Again, I would like to thank our team for their tremendous work and dedication to completing this process, as well as our shareholders for their ongoing support of the Company."
Full Year 2011 Financial Review
-- Total crude steel production capacity under management was 7.0 million
metric tons per annum as of December 31, 2011.
-- Total sales increased 89.4% year-over-year to $3.6 billion, from $1.9
billion in 2010. The increase was attributable to both higher sales
volume and increased average selling prices.
-- Sales volume for the year totaled 6.2 million metric tons, an increase
of 2.3 million metric tons, or 58.1%, compared to 3.9 million metric
tons in 2010, with an average selling price for rebar of $635 per ton in
2011, compared to $526 per ton in 2010.
-- Gross loss was $(88.2) million, representing a gross margin of (2.5)%,
compared with gross profit of $31.4 million, or a gross margin of 1.7%
in 2010. The gross loss in 2011 was mainly attributable to a sharp
increase in the cost of iron ore and coke, the Company's primary raw
materials, in the fourth quarter.
-- Selling, general and administrative expenses totaled $91.8 million,
compared with $52.6 million in 2010. This increase was mainly related to
operational expansion and an increase in production and shipping volume,
which led to an increase in transportation and sales agent charges.
-- Loss from operations totaled $(180.0) million, compared with a loss from
operations of $(21.2) million in 2010.
-- Finance expenses for the year ended December 31, 2011 increased to
$115.0 million, compared with $51.3 million in the year-ago period. The
increase was primarily due to $27.7 million of non-cash capital
financing costs, and a $36.0 million increase in interest expense from
increased bank borrowings.
-- Net loss attributable to the Company was $(177.2) million, or $(3.24)
per diluted share, compared with a net loss of $(30.0) million, or
$(0.56) per diluted share in 2010. The year-over-year increase in net
loss was primarily related to the negative gross margin resulting from
the fourth quarter raw material price increases, an increase of $36.4
million in inventory impairment, an increase of $39.3 million in
operating expenses from expanded operations and higher production and
shipping volume, as well as an increase of $63.7 million in finance
expenses from increased capital lease and interest expense on bank
borrowings. In addition, the Company determined that the net operating
loss carryforward may not have been fully realizable in the second
quarter of 2011 and provided 100% allowance charges of $15.4 of deferred
tax assets carried over from 2010.
Fourth Quarter 2011 Financial Review
-- Total sales increased 69.9% year-over-year to $793.5 million, compared
with $467.2 million in the fourth quarter of 2010. The increase was
attributable to both higher sales volume and increased average selling
prices.
-- Sales volume for the fourth quarter of 2011 totaled 1.6 million metric
tons, an increase of 0.7 million metric tons, or 77.8%, compared to 0.9
million metric tons in the fourth quarter of 2010.
-- Gross loss was $(150.7) million, representing a gross margin loss of
(19.0)%, compared with gross profit of $4.7 million, or a gross margin
of 1.0% in the fourth quarter of 2010. The gross loss in the fourth
quarter of 2011 was mainly attributable to a year-over-year increase in
the cost of iron ore and coke, the Company's primary raw materials, that
exceeded the increase in the average selling price of the Company's
products.
-- Selling, general and administrative expenses totaled $26.0 million,
compared with $17.2 million in the fourth quarter of 2010. This increase
was mainly related to operational expansion and increased production and
shipping volume, which led to an increase in transportation and sales
agent charges.
-- Loss from operations totaled $(176.6) million, compared with a loss from
operations of $(12.5) million in the fourth quarter of 2010.
-- Finance expenses for the quarter ended December 31, 2011 increased to
$42.6 million, compared with $13.7 million in the year-ago period. The
increase was primarily related to $18.6 million of non-cash capital
financing costs, and a $10.4 million increase in interest expense from
increased bank borrowings.
-- Net loss attributable to the Company was $(131.5) million, or $(2.38)
per diluted share, compared with a net loss of $(18.6) million, or
$(0.34) per diluted share in the fourth quarter of 2010. The
year-over-year increase in net loss was primarily related to the
negative gross margin resulting from raw material price increases, as
well as an increase of $36.4 million in inventory impairment, an
increase of $8.8 million in operating expenses from expanded operations
and higher production and shipping volume and an increase of $29.0
million in finance expenses from increased capital lease and interest
expense on bank borrowings.
Balance Sheet
As of December 31, 2011, General Steel had cash and restricted cash of approximately $518.2 million, compared to $263.1 million as of December 31, 2010. The Company had an inventory balance of approximately $297.7 million as of December 31, 2011, compared to $453.6 million as of December 31, 2010. As of December 31, 2011, the Company had total liabilities of approximately $3.2 billion, compared to $1.7 billion as of December 31, 2010.
I just wonder if they deliver audited papers. And how do they want to pay that debt...But if they raise meanwhile to five, no complaints here :)
2/1/13 Second and Third Quarter 2011 Financial Results
Company Files Quarterly Reports on Form 10-Q for the Periods Ended June 30 and September 30, 2011
http://finance.yahoo.com/news/general-steel-reports-second-third-141300201.html
Press Release: General Steel Holdings, Inc. – Fri, Feb 1, 2013 9:13 AM EST.. .
BEIJING, Feb. 1, 2013 /PRNewswire/ -- General Steel Holdings, Inc. ("General Steel" or the "Company") (GSI), one of China's leading non-state-owned producers of steel products and aggregators of domestic steel companies, today announced financial results for the second quarter ended June 30, 2011 and the third quarter ended September 30, 2011. In conjunction with this announcement, the Company has filed the corresponding Quarterly Reports on Form 10-Q with the U.S. Securities & Exchange Commission ("SEC").
"The completion of these financial reports marks an important step forward for General Steel. Our finance team and audit partners continue to work diligently to complete the additional quarterly and annual filings to bring the Company current in its reporting obligations and to regain compliance with NYSE continued listing requirements," said Henry Yu, Chairman and Chief Executive Officer of General Steel. "We have made a great deal of operational progress. I believe that our business is markedly stronger as a result of favorable trends in our core market of Western China, as well as internal measures we have taken to improve our business at the manufacturing level and elsewhere. I would like to thank our team for their tireless efforts to complete these filings and our shareholders for their continued support of the Company."
General Steel is currently preparing its Annual Report on Form 10-K for the year ended December 31, 2011 and expects to file it around February 15, 2013. General Steel is also preparing its Quarterly Reports on Form 10-Q for the first, second and third quarters of 2012, and plans to file these reports with the SEC as soon as practicable.
Second Quarter 2011 Financial Summary
•Revenue increased 111.6% year-over-year to $1.1 billion in the second quarter of 2011, from $502.0 million in the second quarter of 2010.
•Second quarter 2011 sales volume totaled approximately 1.8 million metric tons, compared with 1.0 million metric tons in the second quarter of 2010.
•Gross profit increased 216.9% year-over-year to $23.3 million, or 2.2% of revenue, up from $7.4 million, or 1.5% of revenue in the second quarter of 2010.
•Operating loss for the quarter was $(3.7) million, compared with an operating loss of $(6.3) million in the second quarter of 2010.
•Net loss attributable to the Company was $(22.9) million, or $(0.42) per diluted share based on 54.3 million weighted average shares outstanding, compared with a net loss of $(2.0) million, or $(0.04) per diluted share based on 52.1 million weighted average shares outstanding in the second quarter of 2010. The increased net loss for the second quarter of 2011 was primarily attributable to a $5.4 million increase in impairment charge on equipment, an increase of $6.7 million in interest expense on capital lease and a decrease of $8.9 million related to the change in fair value of derivative liabilities, partially offset by an increase of $3.4 million in gain from debt extinguishment. In addition, we determined the net operating loss carry forward may not be fully realizable and provided 100% valuation allowance charges of $19.3 million on our deferred tax assets.
Third Quarter 2011 Financial Summary
•Revenue increased 116.9% year-over-year to $998.2 million, from $460.3 million in the same period in 2010.
•Sales volume in the third quarter of 2011 totaled approximately 1.7 million metric tons, compared with approximately 0.9 million metric tons for the same period in 2010.
•Gross profit increased 150.6% to $34.1 million, or 3.4% of revenue, compared with $13.6 million, or 3.0% of revenue for the same period in 2010.
•Operating income totaled $9.7 million, compared with $4.0 million for the same period in 2010.
•Net loss attributable to the Company was $(13.8) million, or $(0.25) per diluted share, based on 55.2 million weighted average shares outstanding, compared with a net loss of $(3.8) million, or $(0.07) per diluted share, based on 53.9 million weighted average shares outstanding in the third quarter of 2010. The increase in net loss for the third quarter of 2011 was primarily related to an increase of $5.5 million in impairment charges on equipment, an increase of $10.6 million in interest expense on capital lease and a $14.3 million increase in interest expense on bank borrowings, partially offset by $9.7 million in operating income.
Balance Sheet
As of September 30, 2011, General Steel had cash and restricted cash of approximately $282.4 million, compared to $263.1 million as of December 31, 2010. The Company had an inventory balance of approximately $432.1 million as of September 30, 2011 compared to $453.6 million as of December 31, 2010. As of September 30, 2011, the Company had total liabilities of approximately $2.8 billion.
The most probable reason why the auditor has been changed :
WSJ article:
December 27, 2012, 6:07 p.m. ET
U.S.-China Audit Spat May Spill Over
By MICHAEL RAPOPORT
As U.S. regulators and Chinese authorities spar over the right to oversee audits of companies in China, U.S. multinational firms like Sanmina Corp. could suffer collateral damage.
Sanmina, a San Jose, Calif., electronics maker, has major operations in China and is partly audited by KPMG Huazhen, which is one of five Chinese accounting companies facing legal action from the U.S. Securities and Exchange Commission over their refusal to turn over audit work papers. KPMG Huazhen is the Chinese affiliate of accounting giant KPMG.
If the SEC prevails, the firms could be banned from auditing dozens of Chinese companies listed on U.S. markets. An SEC victory also could affect U.S. multinationals like Apple Inc., Qualcomm Inc. and Kimberly-Clark Corp. that have major Chinese operations. Chinese affiliates of U.S. auditors often contribute to audits of multinationals, a practice that couldn't continue if the affiliates were banned. Without complete audited financial statements, a company can't sell securities or remain listed on U.S. exchanges.
"The consequences are monumental when it comes not only to Chinese companies but to Chinese subsidiaries of U.S.-based multinationals," said Jacob S. Frenkel, a former SEC enforcement attorney now at Shulman Rogers Gandal Pordy & Ecker in Potomac, Md.
Sanmina declined to comment. KPMG and the other audit firms have said they could be penalized under Chinese "state secrecy" laws if they hand over the documents, and urge that a solution be worked out between the SEC and the Chinese government.
"We remain hopeful that a positive resolution that ensures cooperation and an appropriate level of information sharing will be reached," KPMG said in a statement.
PricewaterhouseCoopers, another of the firms whose Chinese affiliate faces SEC action, said, "We continue to hope that the two governments will find a way to come to an understanding and resolve this issue given the potential implications to the capital markets if they don't."
Spokesmen for the three other firms—Ernst & Young, Deloitte Touche Tohmatsu and BDO—declined to comment. An SEC spokesman couldn't be reached.
The SEC filed an administrative proceeding this month against the five firms, saying they were violating U.S. law by refusing to cooperate. An SEC administrative law judge will hear the case and render a ruling by next September.
The judge could censure the firms or temporarily suspend them from seeking new audit clients. The potential penalty that has many observers concerned, though, is "deregistration"—revoking the firms' right to practice before the SEC and conduct audits of U.S.-traded companies.
Such an action would be unprecedented on this scale, and could result in millions of dollars in lost fees and disruption. The international accounting firms' affiliates in China and other countries are legally independent, and the Chinese affiliates have local legal obligations, so a firm's global organization couldn't simply step in to replace a Chinese affiliate barred from U.S. auditing.
Together, the five Chinese affiliates currently audit 126 U.S.-traded companies, according to data from the Public Company Accounting Oversight Board, the U.S. government's auditing regulator. Among them: Baidu Inc., the Chinese search-engine giant, which currently uses E&Y's Chinese member firm Ernst & Young Hua Ming as its auditor. Baidu is "watching the situation closely as it develops," said spokesman Kaiser Kuo.
Sanmina's primary auditor is KPMG's U.S. affiliate, but KPMG Huazhen played a "substantial role" in Sanmina's fiscal 2011 audit by auditing a Sanmina subsidiary, according to the Chinese audit firm's annual report filed with the PCAOB.
U.S. auditors of multinationals "generally" use their affiliates in other countries to assist with audits of the multinationals' operations in those countries, including China, said Martin Baumann, the PCAOB's chief auditor, though auditors and their clients usually don't disclose such arrangements. Those affiliates must be SEC-registered if they play a "substantial role" in the company's audit.
Other multinationals with major Chinese operations whose audits could be affected include Apple, which reported $22.8 billion in revenue from China in its fiscal year that ended in September, and Qualcomm, which had 42% of its total revenue from China. Apple, which is audited by Ernst & Young, and Qualcomm, audited by PwC, declined to comment.
Some Deloitte multinational clients, like Kimberly-Clark, suggest in filings that "member firms" and affiliates of Deloitte participate in their audits, though they don't specifically say whether Deloitte's Chinese affiliate is involved. Kimberly-Clark has manufacturing facilities in Beijing, Nanjing and Shanghai and says on its website that it is "devoted to maintaing a long-term development strategy in China." The company declined to comment on the SEC action.
Some say the potential ramifications could help bring about an agreement. "It's possible that the threat of disqualification will bring the Chinese regulators back to the bargaining table," said Peter Bresnan, an attorney at Simpson Thacher & Bartlett LLP and a former SEC deputy enforcement director.
Write to Michael Rapoport at Michael.Rapoport@dowjones.com
12/19 General Steel Appoints Friedman LLP as Its Independent Auditor
Press Release: General Steel Holdings, Inc. – Wed, Dec 19, 2012 8:40 AM EST.. .
(just placing the article in a post - THX kmx!)
BEIJING, Dec. 19, 2012 /PRNewswire/ – General Steel Holdings, Inc. ("General Steel" or the "Company") (GSI), one of China's leading non-state-owned producers of steel products and aggregators of domestic steel companies, today announced that its Audit Committee of the Board of Directors has appointed Friedman LLP ("Friedman") as the Company's independent registered public accounting firm. Friedman is replacing PricewaterhouseCoopers Zhong Tian CPAs Limited Company ("PwC"). The appointment of Friedman is effective immediately.
The change in auditors was not due to any disagreement between the Company and PwC on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedures.
The Company intends on remaining listed on the New York Stock Exchange ("NYSE"), which requires it meet the filing extension date for the Annual Report set by NYSE, although the Company is subject to ongoing assessment by NYSE. Therefore, the Audit Committee, after consultation with Friedman, determined that Friedman provides the best chance of completing the Annual Report audit by the extension date.
"We have been proactively updating the U.S. Securities and Exchange Commission ("SEC") and the NYSE on the current status of the Company's filings, as well as with our plans to change auditors," said Mr. Henry Yu, Chairman and Chief Executive Officer of General Steel. "We look forward to moving past this filing delay and returning to a regular reporting schedule."
Friedman will begin its audit of General Steel's Annual Report, as well as complete its review of the Quarterly Reports on Form 10-Q for the quarters ended June 30, 2011 and September 30, 2011. Following the completion of these filings, General Steel will work with Friedman to file its 2012 Quarterly Reports on Form 10-Q with the SEC as soon as possible.
About Friedman LLP
Friedman LLP has been serving the accounting, tax and business consulting needs of public and private companies since 1924. Its industry-focused practice features concentrated areas of expertise and understanding of the economic environment. Friedman has the ability to be innovative in its approach, act quickly in its decision-making and be flexible in its delivery of services. Friedman's clients benefit from hands-on contact with the firm's partners, cutting-edge technical expertise and Friedman's understanding of their industry and their business. For more information about Friedman, visit: http://www.friedmanllp.com/home.php.
About General Steel Holdings, Inc.
General Steel Holdings, Inc., (GSI), headquartered in Beijing, China, operates a diverse portfolio of Chinese steel companies. With 7 million metric tons of crude steel production capacity under management, its subsidiaries serve various industries and produce a variety of steel products including rebar, high-speed wire and spiral-weld pipe. General Steel Holdings, Inc. has steel operations in Shaanxi and Guangdong provinces, Inner Mongolia Autonomous Region and Tianjin municipality. For more information, please visit www.gshi-steel.com.
Take A Look At General Steel, A Smaller Chinese Steel Player
Take a look at our numbers, oh wait, whaaat?
All indications are that China's economy is on the rebound, with consumption leading the way. The transition to a new government has been smooth and President Xi Jinping appears committed to implementing the stimulus programs announced by the prior administration, which mean hundreds of large-scale infrastructure projects are due to come online in 2013, and this bodes well for China's steel industry. While many of the country's larger manufacturers are private or state run, keep an eye on Sutor Technology Group Limited (SUTR), China Gerui Advanced Materials Group Limited (CHOP), China Industrial Steel Inc. (CDNN.OB) and General Steel Holdings, Inc.(GSI). As I have previously discussed, these companies are turning to technology, specialty products, and strategic relationships to secure their foothold in China's domestic market and are well positioned to participate in the anticipated return to growth.
The Changing Steel Market
Steel has always been a critical element, or should I say alloy, in the building of modern economies. Dominated by the United Kingdom in the late 19th century and the United States in the 20th, the steel industry built the cities we all live in and the transportation systems that connect us domestically and abroad, not to mention considerable personal wealth. We have Andrew Carnegie, J.P. Morgan, Charles Schwab, et.al. (see Robber Barons) to thank for the formation of U.S. Steel (NYSE:X) in 1901, one of the earliest public vehicles allowing lesser known investors to participate in the industrialization of America.
The steel industry has seen a lot of changes since then; technological advances in metallurgy have resulted in lighter, stronger alloys, vastly expanding the applications for steel; improvements in the production process have considerably reduced the need for labor; and demand for steel has shifted from the U.S. and other mature markets to emerging economies.
These changes pose significant challenges for the steel industry in the U.S. and Europe. Some producers, such as U.S. Steel have managed to maintain a position, albeit a weaker one, in the global market, while others have simply gone by the wayside. Still others have found creative alternatives for their resources. I went to college in Bethlehem Pennsylvania, home to Bethlehem Steel, once the second largest steel company in the U.S. and remember well the smell of sulfur (and beer) gently wafting through the hills of Lehigh University. I was recently surprised to discover, that after declaring bankruptcy in 2001, the old Bethlehem Steel factory reopened as the Sands Casino Resort Bethlehem in 2009, which now includes a hotel and outlet mall, bringing traffic and jobs to the previously depressed community.
If this makes no other point, one thing is clear; Pennsylvania is no longer the epicenter of the world's steel production. Today, China leads the world in both the production and demand for steel, with India, Russia, South Korea, Brazil, and Turkey among the top ten manufacturers. The modern facilities in these countries are safer, cleaner and more cost efficient than older factories in the U.S., many of which had been operating since America's heyday, making them the markets to watch.
While each of these emerging economies offers significant opportunity for mid- and long- term investors, I believe China represents the low-hanging fruit; particularly as the Country's innate growth is nurtured by infrastructure-based government stimulus.
General Steel Holdings
There are several Chinese steel manufacturers that are publicly traded in the United States and investors hoping to participate in China's next economic wave should consider building a position in one or more of these companies. One in particular is General Steel Holdings. Here are few highlights:
Located in Shaanxi Province, GSI has a foothold in Western China, where rebuilding following 2008 Wenchuan earthquake, and government-sponsored infrastructure projects continue to fuel demand for steel.
The Company has demonstrated its ability to supply materials for large infrastructure projects, including Xi'an subway lines, high speed railway Zhengxi and Xicheng lines and Three Gorges Hydropower Station.
Working through five joint ventures/subsidiaries, GSI continues to build relationships with raw material suppliers, distribution networks and direct sales outlets. Its Longmen Joint Venture contributed $1.86 billion in revenue on sales volume of 3.5 million metric tons,
Construction to begin on a state-of-the-art, 900,000 metric ton seismic-grade rebar production line. Once completed, this production line is expected to reduce GSI's rebar production costs by approximately RMB100 per metric ton.
Earlier this year the Company announced it had reassessed its accounting treatment with regard to certain aspects of its collaboration with its joint venture partner, Shaanxi Steel, for the period from June 2009 to December 2010, and that it would be restating its financials for that period, without material impact to revenue or cash balances. The Company has made every effort to remedy the situation. Management has communicated regularly with the market and investors, brought Price Waterhouse on board as auditor, and was granted a filing extension from the NYSE. By August, GSI had filed revised financials for 2009, 2010 and first quarter 2011 financial results, and expects to fully cure its accounting issues by February 2013.
On September 27, the Company announced preliminary financial results for the first half of 2012 and provided an update on its operations and strategic initiatives, expecting to report revenues of approximately $1.4 billion and production volume of approximately 2.4 million metric tons.
CONCLUSION
With a population of more than 1.3 billion and a per capita GDP of only approximately $5,000, China's path to becoming the world's largest economy is well lit; in keeping with the trailing indicator theory, look to China's steel manufacturers to thrive as its economy picks up speed.
One company worth investigating is General Steel Holdings. Selling at or around $1.15 (November 27, 2012), GSI has a market cap just over $63 million, and is well off its $15.50 peak prior to the global economic downturn. Management is expecting to report revenue of $1.4 billion for the first half of 2012, and GSI is well positioned to continue this trend going forward. The Company is not currently profitable, however I believe that management's work in the face of a weakened economy will payoff next year, and I am looking to see GSI return to breakeven by the end of 2013. Investors looking for a long term play on China's growth should take a real look at the GSI.
Caution
Investing in companies in emerging markets, including China, is not suitable for all investors, and can be risky. It's important that investors thoroughly perform their own due diligence and analyze the potential risk.
The companies mentioned here are listed on Nasdaq and the NYSE but have operations based in China. They are all U.S. reporting issuers, and subject to the reporting requirements of the U.S. Securities and Exchange Commission, so U.S. transparency and disclosure is available to
So 2 months to go for GSI and Friedmann to fill the earnings.
To fill those 3 billions USD revenues, with market cap of 56 milions USD
If that happens, the stock's PPS should be at 16-17 dollars. Well because it is china we will be happy with 7-8 dollars.
So two months to get everything or nothing for the patience with this troublemaker.
Go GSI! Go Friedmann! Go China!
Now I go...
So they have changed the auditor. Very disappointing move.
http://www.friedmanllp.com/cn/pdf/SEC%20practice%20Ranking%20Report%20Chinese%20Firms.pdf
I will dig now for Friedman and if I see they were involved in any fraud in China, then GSI is out of my watchlist forever.
this only confirms the reason of that agreement... it is really great to be invested in company without any fillings to SEC ´but with plenty of horrible PRs and infos around. This can jump to pink sheets not later than on February 16, 2013. Or to dollars earlier.
Chit.... lol :)
Dec 07, 2012 (SmarTrend(R) News Watch via COMTEX) --
Below are the three companies in the Steel industry with the lowest current ratios. Current ratio is useful to get an idea of how quickly a company can repay its short-term liabilities with its short-term assets. The higher the current ratio, the more capable the company is of paying its obligations.General Steel Holdings ranks lowest with a a current ratio of 0.7. Following is Cliffs Natural Resources with a a current ratio of 1.0. Mechel ranks third lowest with a a current ratio of 1.0.
ArcelorMittal follows with a a current ratio of 1.4, and AK Steel Holding rounds out the bottom five with a a current ratio of 1.5.
SmarTrend recommended that its subscribers protect gains by selling shares of AK Steel Holding on November 13th, 2012 by issuing a Downtrend alert when the shares were trading at $4.74. Since that call, shares of AK Steel Holding have fallen 14.0%. We are now looking for when a new Uptrend will commence and will alert SmarTrend subscribers in real time.
http://futures.tradingcharts.com/news/futures/General_Steel_Holdings_has_the_Lowest_Current_Ratio_in_the_Steel_Industry__GSI__CLF__MTL__MT__AKS___189822350.html
[December 13, 2012]
Relatively High Debt to Asset Ratio Detected in Shares of General Steel Holdings in the Steel Industry (GSI, STLD, ZEUS, AKS, SUTR)
Dec 13, 2012 (SmarTrend(R) News Watch via COMTEX) -- Below are the three companies in the Steel industry with the highest debt to asset ratios. The Debt/Asset ratio shows the proportion of a company's assets that are financed through debt. If the ratio is greater than one, most of the company's assets are financed through debt.General Steel Holdings ranks highest with a a debt to asset ratio of 0.52. Following is Steel Dynamics with a a debt to asset ratio of 0.38. Olympic Steel ranks third highest with a a debt to asset ratio of 0.37.
AK Steel Holding follows with a a debt to asset ratio of 0.36, and Sutor Technology Group rounds out the top five with a a debt to asset ratio of 0.33.
http://sports.tmcnet.com/news/2012/12/13/6792172.htm
yawn...those guys from PcW are really fast in auditing. They need 6 months to audit a quarter. With this pace they never match to be up-to-date lol :)
"GSI has signed a one-year supply agreement with Tianjin Product and Energy Resources Development Co., Ltd. ("Tianwu"), through which Tianwu will provide Longmen JV with a minimum of 3 million metric tons of iron ore at market prices, with favorable credit terms."
Another horrible PR. They áre in fact confirming that they are position so much in debt that they have problems to get the regular financing on the market. So luckily they agreed fnancing directly from supplier by longer terms of payment. But for one year only.
I would love to see PR stating that they are not losing money. Not the confirmation that they still do a lot... :/
and I was betting on PWC ...damn it!
SEC charges China affiliates of top accounting firms
REUTERS — 3:42 PM ET 12/03/12
WASHINGTON (Reuters) - Regulators on Monday charged the Chinese affiliates of five top accounting firms with violations of U.S. securities laws, alleging that they refused to produce audit documents in connection with accounting fraud investigations into Chinese companies.
The Securities and Exchange Commission began proceedings against the Chinese units of Deloitte & Touche, Ernst & Young, KPMG, PricewaterhouseCoopers and BDO. The companies violated laws that require foreign public accounting firms to provide the SEC with audit work papers involving any company trading on U.S. markets, the SEC said.
An administrative law judge will schedule a hearing to determine potential sanctions against the firms, the SEC said.
(Reporting By Aruna Viswanatha)
nice to see Lorin is pumping GSI again
http://seekingalpha.com/article/1038531-take-a-look-at-general-steel-a-smaller-chinese-steel-player?source=yahoo
I will buy some more before Christmas... :)
General Steel to Present at Goldman Sachs Annual Global Metals & Mining, Steel Conference in New York on November 28, 2012
fantastic! another stupid worthless presentation of company which cannot submit to potential investors there even the anual report for 2011...as well as no results for Q1 and Q2.
Instead of playing Flying Cirkus on different priceless presentations, they should spent money, time and efforts on finnishing their obligatory documents.
General Steal they should call themselves on those presentations, not General Steel. :p
Still here - although I'm not answering my door for any strangers. ;)
are you still there or arrested already? :)
GSI management maybe today prepared another line to annual report of 2011...I expect one hundred pages. And possibly they have ready the first two..
"This presentation is strictly confidental and may not be disclosed to any other person"
LOL. What a HOOT! LOLOLOL
Okay - so we can assume they aren't familiar with how the Sec works.
(As if we didn't already know that with the late filings. ;)
muhahaha...read line 3 of their presentation filled publically with SEC.
They should really care what they do and what they write :
"This pesentation is strictly confidental and may not be disclosed to any other person" ROTFLMAO
Get ready for handcuffs, eastunder.. (eye wink)
Other funny thingy is -
They prepare the presentation for investors - THEY DO IT - and the same time they write there :
"..and no reliance should be placed on, the accuracy, fairness, or the completness of the information presented herein"
I have one word for them: Idiots
ITEM 7.01 REGULATION FD DISCLOSURE.
On November 7, 2012, General Steel Holdings, Inc. (the "Company") gave a presentation in one-on-one sessions with certain investors at the Bank of America Merrill Lynch China Conference in Beijing, China. The presentation included a slide show in the form attached hereto as Exhibit 99.1, which is incorporated herein by reference.
I just wonder who was that certain investor or invéstors - if they cannot even present their audited finicials as the joint stock company. Red flags had to be waving around all time during that session....and investor's head was hit by flag stick couple of times during presentation.
Why do they waste time on presentations - instead they should to at least those few basic issues which make joint stock company legal.
Let us wait another week(s)
Ahhh! Geesh!
Lazy saps!
Here below is their to do list
all is about their magical formula "as soon as possible". Almost three another months have gone and nothing has happened... with this speed they file one quarter while another two pass. They stink imo...chinese reputation was built once and they do everything just to confirm the chinese are scammers who should not be trusted...
Update on Filings Thu, Sep 27, 2012 9:00 AM EDT
On August 30, 2012, General Steel completed filing its amended annual report on Form 10-K/A for the year ended December 31, 2010 and amended quarterly reports on Form 10-Q/A for the quarters ended June 30, 2010, September 30, 2010 and March 31, 2011 with the U.S. Securities and Exchange Commission ("SEC").
With these restatements complete, the Company is working diligently with its independent registered public accountant, PricewaterhouseCoopers Zhong Tian CPAs Limited Company ("PwC") on the audit process for its outstanding financial statements for 2011. Currently, the Company is finalizing its quarterly report on Form 10-Q for the period ended June 30, 2011 (what a rubbish - they have this fillings displayed on their website since August 2011, you can download it there - typical chinese scammers - write rubbish without noticing that they were lying contrary to this earlier) , while simultaneously working on the quarterly report on Form 10-Q for the period ended September 30, 2011 and its Annual Report on Form 10-K for the year ended December 31, 2011. These reports are expected to be released in a sequential order.
Following the completion of these filings, General Steel will file its quarterly reports with the SEC on Form 10-Q for the periods ended March 31 and June 30, 2012 as soon as possible.
Ohhh - what's a couple more years? ;)
Once again we are waiting on an earnings report and weren't they supposed to complete one prior to the current quarter? So actually two are missing?
Maybe it's even more than that?
Somewhere on this board I have what we were waiting on. I should probably look that up before I open my mouth - but I'm so lazy today!!
China. It's either China or Greece for me this year in my portfolios. I should start sticking to America! :(
jump down, jump up...this is not what we are waiting for. I expect strong move above 3, maybe to 5...If it is not china, for sure this would be above 10...
I hope we do no need to wait for it couple of years... :)
http://seekingalpha.com/article/939481-china-slowdown-is-an-opportunity-for-investors-as-the-prc-moves-to-sustainable-growth?source=yahoo
it is only question of time...GSI is a giant
Surprisingly there is no pull back..
The stock is held and supported on very tiny volume at 1.20 level. If they come in November with financials - and if they really will be stamped by PricewaterhouseCoppers, then this stock must jump over 3.00, because it is China...otherwise somewhere over 5.00 at least.
Anybody knows about the red flags here? Management seems to be very concerned and serious.
General Steel Obtains New York Stock Exchange Listing Extension
http://ih.advfn.com/p.php?pid=nmona&article=54515626&symbol=GSI
BEIJING, Oct. 15, 2012
BEIJING, Oct. 15, 2012 /PRNewswire/ -- General Steel Holdings, Inc. ("General Steel" or the "Company") (NYSE: GSI), one of China's leading non-state-owned producers of steel products and aggregators of domestic steel companies, today announced that it has received a four-month extension for continued listing and trading of the Company's stock on the New York Stock Exchange (the "NYSE").
As previously disclosed, the Company is not in compliance with Section 802.01E of the NYSE's Listed Company Manual ("Section 802.01E") based on its delay in filing its Annual Report on Form 10-K for the year ended December 31, 2011 (the "Annual Report") on or before its April 16, 2012 (the "Filing Due Date"). Section 802.01E allows the Company six months from the Filing Due Date to cure such deficiency. At its discretion, the Exchange may allow a company's securities to be traded for up to an additional six-month trading period depending on the company's specific circumstances.
On October 9, 2012, the Company submitted a request to the NYSE to extend its cure period for an additional four months. On October 12, 2012, the NYSE approved such request and granted the Company an additional four-month trading period to February 15, 2013, subject to ongoing reassessment, to complete and file its Annual Report with the Securities and Exchange Commission (the "SEC"). General Steel expects to file the Annual Report on or prior to February 15, 2013.
"We are delighted that the NYSE has granted us further extension for our filings and we continue to work closely with auditors to complete this process," said Mr. Henry Yu, General Steel Chairman and Chief Executive Officer. "Our business remains healthy and we have continued to progress our operational goals. In 2012, we have implemented new manufacturing efficiencies, initiated construction plans to expand and upgrade our rebar production line, improved our coke sourcing capabilities and strengthened our relationships with state-owned enterprises. These initiatives help to fortify our business and are designed to reduce our manufacturing and transportation costs, expand our presence in Western China and improve our margins."
On August 30, 2012, General Steel announced that it had filed its amended annual reports on Form 10-K/A for the year ended December 31, 2010 and amended quarterly reports on Form 10-Q/A for the quarters ended June 30, 2010, September 30, 2010 and March 31, 2011 with the SEC.
The Company continues to work diligently with its independent registered public accountant, PricewaterhouseCoopers Zhong Tian CPAs Limited Company to complete the audit for its 2011 Annual Report on Form 10-K for the year ended December 31, 2011 as well as to complete the filings on Forms 10-Q for the three month periods ended June 30 and September 30, 2011. Following the completion of these filings, General Steel will file its outstanding 2012 quarterly reports with the SEC on Form 10-Q as soon as possible.
http://finance.yahoo.com/news/general-steel-obtains-york-stock-130000129.html
From today's news:
The Company continues to work diligently with its independent registered public accountant, PricewaterhouseCoopers Zhong Tian CPAs Limited Company to complete the audit for its 2011 Annual Report on Form 10-K for the year ended December 31, 2011 as well as to complete the filings on Forms 10-Q for the three month periods ended June 30 and September 30, 2011. Following the completion of these filings, General Steel will file its outstanding 2012 quarterly reports with the SEC on Form 10-Q as soon as possible.
This is very important. All chinese frauds care a shit about filling but GSI hired PwC as an auditor to work on their documents.
Good times ahead for this stock...
10-4-12: General Steel Regains Compliance with NYSE Listing Requirement for Minimum Share Price
Press Release: General Steel Holdings, Inc. – Thu, Oct 4, 2012 9:00 AM EDT.. .
http://finance.yahoo.com/news/general-steel-regains-compliance-nyse-130000319.html
BEIJING, Oct. 4, 2012 /PRNewswire/ -- General Steel Holdings, Inc. ("General Steel" or the "Company") (GSI), one of China's leading non-state-owned producers of steel products and aggregators of domestic steel companies, today announced that it has regained compliance with minimum share price criteria required by the New York Stock Exchange ("NYSE") for continued listing of the Company's shares.
As previously disclosed, the Company received a notice from the NYSE on March 30, 2012 that its common shares closed with an average bid price below $1.00 for 30 consecutive trading days, the threshold requirement for continued listing of the Company's shares on the NYSE. The Company was granted a cure period of six months in order to regain compliance with the requirement for continued listing set forth in section 802.01C of the NYSE's Listed Company Manual.
On October 2, 2012, the Company received confirmation from the NYSE that it had regained compliance with continued listing standards under section 802.01C after its average closing share price for the 30 trading days ended September 30, 2012 and its closing price on September 30, 2012 exceeded $1.00.
The Company continues to work toward regaining compliance with the NYSE listing standard under Section 802.01E related to the filing of its Annual Report on Form 10-K for the year ended December 31, 2011 ("Annual Report"). The Company is working diligently with its independent registered public accountant, PricewaterhouseCoopers Zhong Tian CPAs Limited Company ("PwC") to complete the audit for the Annual Report and file the Annual Report as soon as possible.
Q: Who is General Steel’s auditor?
A: PricewaterhouseCoopers Zhong Tian CPAs Limited Company (“PwC”)
http://www.pwc.com/gx/en/office-locations/china.jhtml
Q: How many shares are currently issued and outstanding?
A: As of August 28, 2012, 56,932,788 shares of common stock were issued and outstanding.
As of June 30, 2011, the Company had cash and restricted cash of approximately $262 million and total stockholders’ equity of approximately $102 million.
http://www.mzcan.com/us/GSI/financial/19/EN/08.15.11_GSI_Reports_2Q2011_Results_nEb3hF7M5abL.pdf
current PPS : 1.25
I for once will do a risk and believe that PricewaterhouseCoopers do their job. If they want to be legit, then this is the opportunity. If not, I am toast. :)
I have lost lots of money on these chinese liars...Im mean on chinese scams generaly.
My confidence in SEC, auditing and law was shattered.
But ok, I see some developments within past year..
And I want to believe that the chinese will return me back those money. I tend to bet on story of GSI...I was used to own it at 5.50
And I want this stock back at those values.
In fact if their numbers are real, after confidence comes back, this should run to double diggits.
I wish I am the part of it...
But it is only wish :))
Why would not they buy back shares in those ridicuolously low levels? Why would they give out their company for free to strangers?
Fishy as everything on stock market from China...
I know, right?
I hope it's the later part of that. :)
scamiest scam .... or this stock will jump one day to 5$ overnight... :)
General Steel issues 1st-half revenue prediction
General Steel projects about $1.4B in revenue for the 1st half of 2012
Associated Press – 7 minutes ago.. .
http://finance.yahoo.com/news/general-steel-issues-1st-half-140302750.html
NEW YORK (AP) -- General Steel Holdings Inc. said Thursday that it expects its revenue for the first half of the year to total about $1.4 billion.
The Chinese steel maker also said that it expects its production volume to total about 2.4 million metric tons.
In May, the Beijing-based company reported revenue of $710.5 million for the first three months of the year. The new forecast implies revenue of about $689.5 million for the April-to-June period.
General Steel reported first quarter production volume of 1.2 million metric tons. The outlook implies flat production rates for the second quarter.
While the Chinese steel market has slowed, demand in its primary market of Western China has remained stable, helped by large-scale, government-sponsored housing and infrastructure investment projects, the Beijing-based company said.
General Steel also said that while the cost of both iron ore and other raw materials for steel products remains volatile, it expect to offset price fluctuations with cost cuts an efficiency improvements.
General Steel shares added 4 cents, or 3.2 percent, to $1.25 in light morning trading.
General Steel (GSI) Says Sales and Volume Momentum Strong as Areas Initiate China Infrastructure Projects
http://www.streetinsider.com/Corporate+News/General+Steel+%28GSI%29+Says+Sales+and+Volume+Momentum+Strong+as+Areas+Initiate+China+Infrastructure+Projects/7754189.html
General Steel Holdings, Inc. (NYSE: GSI), one of China's non-state-owned producers of steel products and aggregators of domestic steel, today announced select preliminary financial results for the first half of 2012 and provided an update on its operations and strategic initiatives.
For the first half of 2012, General Steel expects to report revenues of approximately US$1.4 billion and production volume of approximately 2.4 million metric tons.
"While the nationwide steel market has slowed, demand in our primary target market of Western China has remained stable, supported by large-scale, government-sponsored housing and infrastructure investment projects," said Mr. Henry Yu, General Steel Chairman and Chief Executive Officer.
"Our sales and volume momentum remains strong and continues to grow as Shaanxi Province and the nearby areas initiate new infrastructure projects that have been recently approved by the National Development and Reform Commission," said Yu
General Steel Announces Preliminary Sales Data and Provides Operational Update for the First Half of 2012
First Six Months of 2012 Revenues Total approximately US$1.4 Billion on Production Volume of approximately 2.4 Million Metric Tons
http://www.streetinsider.com/Press+Releases/General+Steel+Announces+Preliminary+Sales+Data+and+Provides+Operational+Update+for+the+First+Half+of+2012/7754097.html
BEIJING, Sept. 27, 2012 /PRNewswire-FirstCall/ -- General Steel Holdings, Inc. ("General Steel" or the "Company") (NYSE: GSI), one of China's leading non-state-owned producers of steel products and aggregators of domestic steel, today announced select preliminary financial results for the first half of 2012 and provided an update on its operations and strategic initiatives. For the first half of 2012, General Steel expects to report revenues of approximately US$1.4 billion and production volume of approximately 2.4 million metric tons.
"While the nationwide steel market has slowed, demand in our primary target market of Western China has remained stable, supported by large-scale, government-sponsored housing and infrastructure investment projects," said Mr. Henry Yu, General Steel Chairman and Chief Executive Officer. "Our sales and volume momentum remains strong and continues to grow as Shaanxi Province and the nearby areas initiate new infrastructure projects that have been recently approved by the National Development and Reform Commission. Situated in Shaanxi, we believe our Longmen JV presents a highly capable, geographically desirable partner for these upcoming projects, and we believe we are well positioned to capture new growth opportunities as we extend our presence in this rapidly developing region. Our expanded Unified Management Agreement with Shaanxi Steel and Shaanxi Coal, is creating additional advantages by improving our raw material procurement and direct sales capabilities and further strengthening our market position."
"Expanding our direct sales channel and securing new contracts have been among our primary areas of focus. In the first half of the year, we have increased cooperation with large state-owned-enterprises through direct sales contracts. We are simultaneously maintaining tight expense controls, scaling production at Longmen JV, improving our product-mix and achieving additional operating efficiencies to mitigate market challenges and pricing pressure. While the cost of both iron ore and other raw materials for steel products remains volatile, we expect to offset pricing fluctuations based on our strategic cost reduction and efficiency improvement initiatives. Under our benchmarking program, we are improving our raw materials procurement capabilities, reducing transportation costs for securing coke, and upgrading equipment with state-of-the-art technology," Mr. Yu concluded.
"While we focus on implementing our strategic operating efficiency initiatives, we continue upholding the highest standards of internal controls and accounting policies," said John Chen, Chief Financial Officer of General Steel.
"In August, we successfully completed restatement of 2009, 2010 and first quarter 2011 financial results. We view the completion of these restatements as an important step forward for our Company. We are now focused on completing the audit process and SEC filings for our outstanding financial statements. We look forward to completing this process and returning to a regular financial reporting schedule as soon as possible," stated Mr. Chen.
Recent Operational Highlights
Completed the first stage of a series of benchmarking programs, which have resulted in efficiency improvements and cost reduction at Longmen JV.
Initiated construction on a state-of-the-art, 900,000 metric ton seismic-grade rebar production line at Longmen JV. The production line incorporates cutting-edge technology that is expected to reduce rebar production costs substantially. The added capacity will also improve margins and enable the Company to better address demand for seismic-grade rebar in Western China.
Currently Longmen JV is sourcing coke from a 5 million metric ton coke plant adjacent to Longmen JV, which was built by Shaanxi Coal and Chemical Industry Group Co., Ltd., one of the parties in the unified management agreement. General Steel expects the construction of a conveyor belt that will feed the coke directly to its Longmen JV to be completed in October and further reduce transportation costs.
Update on Filings
On August 30, 2012, General Steel completed filing its amended annual report on Form 10-K/A for the year ended December 31, 2010 and amended quarterly reports on Form 10-Q/A for the quarters ended June 30, 2010, September 30, 2010 and March 31, 2011 with the U.S. Securities and Exchange Commission ("SEC").
With these restatements complete, the Company is working diligently with its independent registered public accountant, PricewaterhouseCoopers Zhong Tian CPAs Limited Company ("PwC") on the audit process for its outstanding financial statements for 2011. Currently, the Company is finalizing its quarterly report on Form 10-Q for the period ended June 30, 2011, while simultaneously working on the quarterly report on Form 10-Q for the period ended September 30, 2011 and its Annual Report on Form 10-K for the year ended December 31, 2011. These reports are expected to be released in a sequential order.
Following the completion of these filings, General Steel will file its quarterly reports with the SEC on Form 10-Q for the periods ended March 31 and June 30, 2012 as soon as possible.
General Steel Begins Construction on Advanced Rebar Production Line at Longmen Joint Venture
Today : Wednesday 19 September 2012
General Steel Holdings, Inc. ("General Steel" or the "Company") (NYSE: GSI), one of China's leading non-state-owned producers of steel products and aggregators of domestic steel, today announced its plan to initiate construction on a state-of-the-art, 900,000 metric ton seismic-grade rebar production line at its principal manufacturing facility, Longmen Joint Venture ("Longmen JV"), located in Hancheng City, Shaanxi Province, China. The production line incorporates cutting-edge technology that is expected to reduce rebar production costs by approximately RMB100 per metric ton.
"Through the implementation of new production lines that utilize cutting-edge technology, we are reducing energy consumption and production costs, while improving the quality of rebar we produce. This is consistent with our broader efficiency improvement programs and efforts to optimize our capacity utilization capabilities at Longmen JV," said General Steel's Chairman and Chief Executive Officer Henry Yu. "The launch of this new production line better positions our Company at the high-end of the steel value chain where we can be a standard-bearer for high-quality construction steel products. At the same time, this is an investment in our growth that enables us to meet increasing customer demand, generate sustainable profitability and improve shareholder value."
In 2011, General Steel completed the installation and testing of a one million ton high-speed wire production line and a 1.2 million ton rebar production line, both of which were transferred to the Longmen facility from the Company's Maoming facility to leverage economies of scale. As part of the Company's growth strategy, Longmen JV plans to continue increasing its annual rebar rolling capacity through the installation of additional rebar production lines at its facility. By rolling rebar at the same facility in which steel billet is produced, the Company can eliminate the process of cooling, transporting and re-heating of the steel billet for processing at another location, substantially reducing the costs.
The new production line utilizes Thermo Mechanical Control Process ("TMCP") technology, which enables ultra fine-grain and uniform rebar production that results in steel products with greater strength and durability. Steel that is manufactured using TMCP production is typically less susceptible to cold cracking, is better able to withstand extra high-heat input welding, and meets industry standards for seismic-grade rebar.
"The market for seismic rebar has exploded in recent years following the 2008 Wenchuan Earthquake in the eastern Sichuan province of China. This disaster revealed that enforcement of seismic building codes in rural areas of China was lax. Seismic activities in China are typically high frequency, high magnitude, wide distribution and shallow hypocenter, which make China one of the world's most earthquake-hit countries, and the seismic activities in China are chiefly concentrated in the west region, the primary end market for Longmen JV's rebar and other steel products," Mr. Yu added, "Extensive construction activities in the west region following the recent earthquake in China have increased the use of seismic-grade rebar, which we expect to drive significant demand for our seismic-grade rebar in next few years."
In accordance with China's 12th Five-Year Plan for National, Social and Economic Development, the Chinese government issued a national regulation that requires seismic-grade rebar for new housing and infrastructure construction. To promote this upgrade, by the end of 2015, rebar products with greater strength and durability will be awarded 80% of total rebar production volume in China.
General Steel Optimizes Efficiency for Reduced Manufacturing Costs
9:06 AM ET, 09/11/2012 - PR Newswire
BEIJING, Sept. 11, 2012 /PRNewswire-FirstCall/ -- General Steel Holdings, Inc. ("General Steel" or "the Company") (NYSE: GSI), one of China's leading non-state-owned producers of steel products and aggregators of domestic steel companies, today announced that it has completed the first stage of a series of benchmarking programs, which have resulted in efficiency improvements at its Longmen Joint Venture ("Longmen JV"), the Company's principal manufacturing facility. The Company expects these measures, as well as other planned improvements, to reduce its manufacturing costs per ton of crude steel produced.
"As we continue to scale production at Longmen JV, we have undertaken a number of initiatives to better address volatility in steel and raw materials pricing to reduce our per-ton manufacturing expenses, drive margin expansion and improve our bottom-line performance," said General Steel Chairman and Chief Executive Officer, Mr. Henry Yu. "Strong customer demand in Western China, coupled with the ongoing realization of benefits from our unified management agreement with Shaanxi Steel and Shaanxi Coal, position us well for growth over the longer-term. The successful completion of this initial phase of our benchmarking program is expected to drive interim efficiency, making us less susceptible to potential ASP pressure, and helping accelerate our path to sustained profitability."
Following an in-depth benchmarking analysis of its operations and those of its peers, Longmen JV implemented a series of initiatives aimed at optimizing production equipment to maximize output, reduce operational costs and leverage economies of scale. The optimization initiatives undertaken by Longmen JV in 2012 to-date include:
Improvements in raw material procurement capabilities, reducing the cost of both iron ore and coke;
Tight raw materials purchasing controls and inventory management;
Optimization of manufacturing techniques and production management systems at each step in the steelmaking process; and,
Enhancements to certain non-manufacturing capabilities such as quality control, safety and finance.
"We are particularly encouraged by the recently announced National Development and Reform Commission approvals of a total of 60 new infrastructure projects, which involve investment of over US$150 billion. These projects include the construction of 25 rail and subway lines, and development of another 13 roads. Many of these projects are situated in or near Shaanxi Province, which bodes well for our Longmen JV subsidiary." Mr. Yu added, "We remain confident in our ability to execute on our primary strategic objectives and are excited about what the future holds for General Steel as we continue to grow our internal capabilities and expand our reach through partnerships with leading State-owned Enterprises. We believe that these efforts, combined with future initiatives and an improving macro environment, will help improve visibility and give General Steel greater control over the changing market landscape."
I know- had toungue in cheek when posting it.
Yes, I would say...
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