The board of directors of China Qinfa Group Limited informed the shareholders of the company and potential investors that, based on the information currently available to the Company and the preliminary review on the group's unaudited consolidated management accounts for the year ended 31 December 2016, the loss attributable to equity shareholders of the Company for the year ended 31 December 2016 is expected to decrease by more than 90% as compared with the year ended 31 December 2015. Such decrease is mainly attributable to no further significant impairment on the Group's assets and a partial recovery of previous impairment of coal mining rights, property, plant and equipment.