A8 Digital Music Holdings Limited announced that based on the information currently available to the Board, the Group is expected to record a loss for the year ending 31 December 2012 which represents significant decline as compared to a consolidated profit for the year ended 31 December 2011 which is mainly due to the following reasons: the continuing negative impact brought by the series of measures and policies implemented to MVAS industry by related management divisions and mobile operators in China since 2010, the restructure of the current business and deployment of new business in the company are still in process; and the effect of sharing of losses of associates.