VANCOUVER, June 27 /CNW/ - CY Oriental Holdings Ltd. (TSX-V: CYO)
("CY Oriental" or the "Company"), today announced that independent accountants
engaged by the Company's Audit Committee to verify the Company's sale and
purchase transactions, recoverability of accounts receivable and internal
controls, have substantially completed their work and have submitted a draft
report, which has been reviewed by the Company's Audit Committee. The
Company's Audit Committee expects to receive a final report shortly.
The Company is pleased with the findings of the independent accountants
detailed in the draft report, which are subject to review by the Company's
auditors prior to completion of the audit of the Company's annual financial
statements for the year ended December 31, 2007. The Company expects at least
another two weeks from the date of this report for that process to be
The Company now expects that the audited year end financial statements
will be filed by mid-July, 2008, and its interim financial statements for the
period ending March 31, 2008 will be filed shortly thereafter. Should the
Company fail to file the audited year end financial statements by June 30,
2008, the Canadian Securities Regulators may impose a cease trade order on all
trading of the Company's shares until the financial statements are filed.
About CY Oriental Holdings Ltd.
CY Oriental is a Canadian incorporated, China-based manufacturer and
value-added supplier of apparel and fashion products to leading international
brands and retailers, including department stores. CY Oriental owns and
operates a manufacturing facility in Shanghai, China, and is readying its
newly constructed facility in the city of Tengzhou, China, for regular
commercial production. The Company's ready-made products include a broad range
of high-quality garments, including woven casual wear, woven formal wear,
denim and knit junior sportswear. More information may be found online by
This news release has been reviewed by the Company's Audit Committee and
has been approved by the Board of Directors.
This news release contains "forward-looking" statements that are subject
to important risks, uncertainties and assumptions relating to the Company and
the environment in which it operates, which are based on the Company's
operations and management's estimates, forecasts and projections. A
forward-looking statement may contain words such as "anticipates that,"
"believes," "can impact," "continue to," "estimates," "expects to," "intends,"
"may," "plans," "potential," "projects," "to be," "will be," "will continue to
be," "continuing," "ongoing," or the negative thereof or other comparable
terminology regarding beliefs, plans, expectations or intentions regarding the
future. The forward-looking information in this news release describes the
Company's expectations as of the date of this news release.
Forward-looking statements involve known and unknown risks, uncertainties
and other factors that may cause actual results, performance or achievements
to be materially different from any results, performance or achievements
anticipated or implied by the forward-looking statements. There is no
assurance that forward-looking statements will prove to be accurate, as actual
results and future events could differ materially from those anticipated in
such statements. Accordingly, investors should not place undue reliance on
forward-looking statements. Such statements reflect management's view of
future events and are subject to certain assumptions, risks and uncertainties.
Such assumptions include assumptions based on the growth of the apparel
industry and the success of the Company's marketing and expansion plans. The
following factors could cause material differences in results from those
expressed or implied in any forward-looking statements set out herein: changes
in consumer spending patterns; consumer preferences towards product offerings;
reliance on the U.S. market; reliance on major customers; the sustainability
of customers' orders; the Company's ability to develop new merchandise;
general economic conditions and normal business uncertainty; the potential
impact on the retail environment of national and international security and
health concerns; the impact of competition and pricing; competitive conditions
in the industries in which the Company participates; changes in weather
patterns; operating risks; seasonality of the retail industry; political
instability; transportation cost increases; the success or failure of the
Company's business plan; the ability of the Company to successfully execute
its growth strategy and whether such strategic initiatives will yield the
expected benefits; uncertainties related to the Tengzhou facility; the ability
to retain, hire and train key personnel; relationship with suppliers;
fluctuations in foreign currency exchange rates and raw materials prices;
interest rate fluctuations and other changes in borrowing costs; potential
deterioration of the Company's financial position; reliance on banking
facilities; import/export controls and inspection; insurance risks;
environmental protection; conflicts of interest; and changes in laws,
reductions in refunds of value added tax, volatility of quota prices for
certain products, rules and regulations applicable to the Company and other
risks associated with doing business in China (such as state ownership,
government intervention, foreign investment controls, repatriation of profits
and controls over currency conversion, taxes, shareholders' rights and
enforcement of judgments, permits and business licenses, a developing legal
system, acquisition and appropriation of land use rights, inflation, recent
regulations relating to cross-border mergers and acquisitions and relating to
establishment of offshore special purpose companies), as well as the
assumptions and risks set out under "Risk Factors" in the Company's
Management's Discussion & Analysis for the year ended December 31, 2006 as
filed on SEDAR and is available on the SEDAR website at www.sedar.com on
April 30, 2007.
Should one or more of these risks or uncertainties materialize, or should
underlying assumptions prove incorrect, our actual results could differ
materially from those anticipated in these forward-looking statements.
Although management believes that its expectations are based on reasonable
assumptions there is no assurance that these expectations will materialize.
The Company does not assume any obligation to update this forward looking
information, except as may be required by law.
The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this release.
For further information:
For further information: Clarence Kwong, Chief Financial Officer, CY
Oriental Holdings Ltd., Tel: (604) 247-0868, Email: firstname.lastname@example.org;
Trevor Heisler, Investor Relations, The Equicom Group Inc., Tel: (416)
815-0700 ext 270, Email: email@example.com