The board of directors of Shougang Concord Technology Holdings Ltd. announced that, based on the information currently available, the unaudited consolidated loss of the Company for the six months ended 30 June 2012 is expected to further increase as compared to that for the corresponding period in 2011. Such increase is mainly attributable to: an increase in other expenses as a result of a provision of approximately HKD 58 million made during the period under review in connection with delivery of photomask machinery pursuant to the agreement entered into by the Group, and announced by the Company, on 27 April 2009; and the Group did not recognize any profit from the digital television business segment for the six months ended 30 June 2012 as a result of discontinuation of the segment at the end of 2011 while for the corresponding period in 2011, the Group recorded a profit of approximately HKD 25 million from the digital television business segment.