The board of directors Chaoda Modern Agriculture (Holdings) Ltd. announced that, based on the information currently available to the Board, the financial performance of the group for the financial years ended 30 June 2012 and 2013 and the six months' periods ended 31 December 2011, 2012 and 2013 had been affected in varying degrees by the events leading to the suspension and/or continued suspension of trading in the Company's shares on the Stock Exchange since 26 September 2011, particularly those allegations made against the company in an anonymous report issued by Anonymous Analytics on 26 September 2011. These allegations, which were responded to and categorically denied by the company in its announcement dated 19 July 2013, have dampened the confidence of the group's business partners (including its customers and suppliers) in the group, tarnished the group's good reputation, reduced demand for the group's products, put the group in a disadvantages position in its sales momentum, and adversely affected the group's overall business and financial performance. Based on the preliminary assessment by the Board, it is currently expected that the Group will record a net loss for the financial years ended 30 June 2012 and 2013 and for the six months' periods ended 31 December 2011, 2012 and 2013, which are mainly attributable to the decrease in average selling price of the agricultural produce which led to the decrease in the turnover and revenue of the group; and the loss recorded as a result of the disposal or written off of the group's farmland infrastructure erected on the returned farmlands to the PRC government during the relevant periods.