Replies to post #34306 on Kiwa Bio-Tech Products Group Corp (fka KWBT)

[operating_line]

Disagree with your strong opinion

There is no doubt long term shareholders are in the dark and it is not comfortable while we have been waiting. However, I disagree with your post that states the company is bankrupt given the recent financials (10K reported on May 29th 2020) indicate otherwise: https://sec.report/Document/0001493152-20-010111/

in which they met the $40m USD revenue target. They announced a 7.5 m USD deal in Q2 and have a bank loan facility to accelerate receivables. I do not understand your opinion on how they become insolvent in less than 3 months with these types of audited revenues.

https://www.globenewswire.com/news-release/2020/03/30/2008164/0/en/Kiwa-Bio-Tech-Announces-Agreement-with-China-State-Owned-Enterprises-to-Develop-New-Fertilizer-Market-Areas-Including-An-Initial-Order-of-at-Least-Seven-Million-Five-Hundred-Thousa.html

Until I hear otherwise, I do not see your reasoning.

As for restructuring, I only know of the past PR below and consolidating operations has corporate tax benefits and aligns with government incentives to support the western region of China:

"The Company's Accounting and Finance Department also introduced that the Company is now in the final stage of restructuring and divestiture, which approved by the Board of Director the end of the last year. In order to take advantage of the valuable incentives agreed by the Yangling Free Trade Zone, Kiwa Bio-Tech has agreed to restructure its operations in China to relocate its activities previously located in Shenzhen, Beijing and Shandong to Yangling and focus its manufacturing activities in the Yangling Free Trade Zone. After the divestiture, the Kiwa Bio-Tech China will use Kiwa Yangling as the main operating platform to realize the overall plan for the development in China."

https://www.globenewswire.com/news-release/2019/10/09/1927189/0/en/Kiwa-Bio-Tech-Provides-Positive-Progress-Report-For-3rd-Quarter-Results-Company-to-be-Featured-at-High-Tech-Ag-Expo.html

This relocation of operations was announced before the convertible debt fiasco. I never thought much of it at the time since it seemed a positive development and did not expect this delinquency. I have no reason to think the business is not moving along as always for the past decade and hope they update shareholders within the next few weeks.