The Board of Directors of China-Hongkong Photo Products Holdings Ltd. informed the shareholders of the company and potential investors that according to the preliminary review of currently available information, including the unaudited management accounts of the Group for the year ended 31 March 2016, indicates that the Group will continue to record a consolidated loss for the year. Main reasons as follows: The downturn of the macro economy of the past year, not only weakened consumer sentiment on spending but also caused a hard attack to the local retail market, thus the revenue and gross profit of the Group be decreased persistently; and Impairment of goodwill and trademarks of "AV Life", "Life Electric" and "Life Digital".