Riven make 79% to 300 million less paper

"The newspaper" (reporter Li Yongqing) because last 10-December per ton of finished paper price from 3400 to 2200 yuan, in addition to the 3-month stock purchased at high prices, Riven paper (02314) in the 3rd quarter of the fiscal year 09 suffered 890 million yuan losses, which dragged down the net profit of the year by 79% to 300 million yuan, 　　26.56 cents per share, no dividend. 　　Chief Operating Officer Li Wenjun stressed that the recent price per ton of paper has risen to 2700-2800 yuan, equipment average boot rate of more than 95%, showing the worst case has passed. Li Wenjun Frankly, in the past 10-December are the industry peak season, not expected to the financial tsunami will cause such a huge impact, but the fourth quarter has improved, recorded a profit of 4.5 billion yuan. He acknowledged that poor export performance would affect the group's performance, but stressed that 79% of the group's demand came from the mainland market, and that the growth in the mainland market would completely offset the slump in export markets. 　　At the same time, the group's finished paper stock is only 7-8 days, which shows the demand for finished paper in the mainland market is keen. In view of the strong demand in the mainland market and the closure of some small paper mills earlier, Li Wenjun estimated that the group sales in FY 2010 would rise from the current 2.982 million tonnes to 3.3 million tonnes, and the 2011 fiscal year would rise to 3.7 million tonnes. 　　The annual productivity of fiscal year 2010 will also rise from 3.76 million tonnes to 4.18 million tonnes. The net debt ratio fell to 55% of the current group net liabilities of 6.882 billion yuan, in the fiscal year 2010 to be repaid 880 million yuan short debt, the current repayment of four cents. Li Wenjun said there is no financing needs, there is no rights issue plan. He said that the primary task at present was to reduce debt and hoped that the net debt ratio would be reduced to 50-55% over the next two years, and that the current group had a net cash flow of more than $1.6 billion a year to meet debt expenditure. 　　As for the dividend rate, the long-term hope can be maintained at 25-40%. At the same time, the future group will be suitable for each family sigh the mainland business, providing package installation and product Mode services. He said that the business profits are higher and hope to occupy 10% of the turnover in the future. In addition, the group will produce more profitable office-friendly paper at the end of the year, with an annual output of about 50,000 tonnes.