The board of directors of Coslight Technology International Group Ltd. informed the shareholders of the company and potential investors that the group is expected to record a substantial decrease in consolidated net profits for the year ended 31 December 2012 when compared with the consolidated net profits for the year ended 31 December 2011 or even record a loss for the year ended 31 December 2012, which the Board believes is mainly attributable to the keen market competition and cost pressure of the sale of the sealed lead acid batteries and a substantial provision to be made for the land deposits paid by a subsidiary in Shenyang.