"Glorious Years" Have Gone Back To The United States, Cash Flow Pressure Highlights

The Shanghai Metersbonwe apparel Limited by Share Ltd announced that the controlling shareholder of Shanghai, China clothing Investment Co., Ltd. (hereinafter referred to as Huabu investment), which is actually controlled by the chairman of the board of directors, is required to reduce the holdings of some of its shares through bulk trading in the next 6 months as a result of its own business needs. The total amount of the reduction is estimated to be no more than 10% of the total share capital of the company. "Zhou Chengjian"

According to yesterday's closing price of 10.21 yuan, the Chinese clothing investment in this US state clothing reduction, it can cash about 1 billion yuan.

As of September 22, 2014, China clothing investment held 709 million 400 thousand shares of American state clothing, accounting for 70.17% of the total share capital of the company, all of which are sold on an unlimited sale.

Hu Jiajia is Zhou Chengjian's daughter. As of June 30th this year, Hu Jia Jia still holds 90 million shares of American state clothing, accounting for 8.96% of the total share capital.

The first half of 2014 shows that the total liabilities of the company in the first half of the year were 3 billion 460 million yuan, and the asset liability ratio was 48%, up 6 percentage points over the same period last year.

The company said that since the issuance of corporate bonds made debt rise, in order to supplement cash flow, as the first enterprise in the apparel industry to set up a fund company, Smith Barney took off the Changan fund in May and the paction price was 66 million yuan.

The gap is expected to be 1 billion 828 million yuan this year.

According to the industry analysis, "domestic casual wear companies are constantly challenged by foreign brands such as H&M, UNIQLO, GAP and so on. In the fierce competition, foreign brands are rapidly becoming bigger and stronger, and sales and profits of domestic brands have declined rapidly.

The market value of Mei Bang clothing has been approaching 40 billion yuan. As the market suffered foreign brands' encroachment, the market value of the company is only about 10 billion yuan now. Even if the stock price dropped by more than 70% compared with the highest level in 2010, the major shareholder still chose to cash in. The bright years of casual clothes have gone forever.

According to the forecast of the American Apparel, the next three quarters are still facing the pressure of declining performance. It is estimated that the net profit attributable to shareholders of listed companies will remain between 210 million yuan and 325 million yuan in 2014 1~9, which is 15% to 45% lower than that of 383 million yuan in 2013 1~9.