ST Yellow Sea to sue major shareholder

ST Yellow Sea (600579) notice, the company board of Directors to consider the adoption of the "on the prosecution of Qingdao Huanghai Rubber Group Co., Ltd. of the bill." June 2005 and December, the company and the controlling shareholder Qingdao Huanghai Rubber Group Co., Ltd. signed two transfer agreements, the Yellow Sea Group will total 71,501 2 square meters of land and related properties and equipment transfer to the company, and undertook to complete the relevant assets within a year of the transfer procedures.　　In the company paid the relevant land and property transfer price of 47.776 million yuan, the Yellow Sea group due to the seizure of land and other reasons can not meet the agreement, leading to the completion of the relevant land, property transfer procedures.　　The company intends to sue the Yellow Sea Group and request a court decree to terminate the two "agreement on the transfer of part of the land, Equipment and plant" (except for the related equipment transfer which has been completed), and to request the Yellow Sea group to return the transfer price and compensate for the economic losses amounting to 66.6632 million yuan. The company also announced that the first half of 2010 performance losses of about 30 million yuan.