The board of Haitian Hydropower International Limited announced that the group is expected to record a loss for the first quarter ended March 31, 2013 as compared to the net profit recorded in the corresponding period in 2012. Based on the relevant information currently available to the company, the Board considers that such loss was mainly attributable to the decrease in turnover as a result of the decrease in rainfall in Fuan and Zhouning, Fujian Province, the PRC by 57% and 52% respectively for the three months ended March 31, 2013 as compared with the corresponding period in 2012. The above factor has adversely affected the group's turnover as well as its operating results for the three months ended March 31, 2013.