Zhongtian City to invest in the proposed 180 million-share investment Zhongtian exhibition City residential Projects

Zhongtian City Investment Co., Ltd. today proposed the number of Non-public offering shares not more than 188 million units of the plan.　　The distribution price of the targeted issue is not lower than the benchmark 20 trading day of the company's stock exchange rate of 90%, that is, 8.33 yuan/share. Yesterday, the reporter contacted Mr. Li June, Director of the Board office of Zhongtian City, Mr. Li said: "The non-public issue of the fund-raising is to the Zhongtian exhibition City project, the project of the land in fact last November when the film Down, and the exhibition Center project of the plot together, but this is the development of mid-range residential."　　The progress of this project is all in our plan, we are very confident in this project. Control of the company will not change in the Tiancheng investment is a main real estate business in Guizhou listed companies.　　The non-public offerings are expected to raise funds of 1.6 billion yuan, after deducting the issue fee will be all into the Zhongtian exhibition city, the project total investment of 5.1085 billion yuan, to be put into the fund-raising 1.6 billion yuan.　　Zhongtian City Investment in the private issue of the benchmark date for the fifth session of the Board of Directors 34th meeting resolution Notice Day, the issue price is not less than the benchmark date of 20 trading days of the company's stock exchange rate of 90%, that is 8.33 yuan/share. This non-public offering of shares shall not be transferable within 12 months from the date of the end of this issue.　　And the company's new and old shareholders share the current distribution before the accumulated unallocated profit. If this non-public offering does not meet the capital needs of the Transit Convention City project, Zhongtian City Investment Company will use self-financing to solve the shortage of funds. If this non-public offering raises more funds than is required for the project, the remainder of the fundraising will supplement the company's liquidity.　　Before the non-public offering of funds is in place, the company will invest in a self-financing basis according to the actual situation of the project, and replace it after the fund-raising is in place.　　As of March 31, 2009, Zhongtian City, chairman of the Lou Yuping through the company's largest shareholder King holding control company shares 23,082, 860,000 shares of the company's total share capital of 40.43%, for the company's actual control person. According to the quantity ceiling of this non-public offering, after the completion of this non-public offering, it is expected that Mr Lou Yuping's share of the company's share capital through King control is 30.42%, still the actual controller of the company.　　Therefore, this non-public offering will not cause the company's control rights to change.　　This non-public offering has been approved by the company at its 34th meeting of the fifth session of the Board of Directors and is subject to the approval of the China Securities Regulatory Commission.　　Directional additional will reduce the company's assets and liabilities ratio as of March 31, 2009, Zhongtian City investment assets and liabilities ratio (combined statement caliber) is 72.59%, the proportion of debt is relatively high. After the release, Zhongtian City investment capital strength will be promoted. With the substantial increase in the company's total assets and net assets, the asset-liability ratio will be effectively reduced,The capital structure is optimized, the solvency and the long-term profitability are improved.　　The targeted additional funds will be all used for the development of the Zhongtian exhibition city, the project is completed, is expected to achieve sales revenue of 7.1677 billion yuan, net profit of 1,243,350,000 yuan, the project investment net profit margin of 24.34%, a better profit. With the implementation and completion of the project as scheduled, will be in the next 2-3 years to bring the company a better return on investment, conducive to improving the company's profitability level.　　The business benefits arising from the proposed project of raising funds need a certain amount of time to be reflected, so it is not ruled out that the increase in total equity after issuance may result in a dilution of earnings per share. According to information, after the release, Zhongtian City investment will receive about 1.6 billion yuan in cash, corporate fund-raising activities generated by the cash inflow will be greatly increased; the cash outflows from investment activities will increase substantially after the funds have been invested in the proposed projects, and after the proposed project is completed, The net cash flow generated by the company's operations will be significantly increased. This issue will improve the cash flow of transit City investment, reduce capital costs.