The board of directors of China Water Industry Group Limited announced that the group is expected to record a significant increase in the preliminary unaudited profit for the year ended 31 December 2013 as compared with the year ended 31 December 2012. This significant increase is mainly attributable to (i) waiver of interests on loans made to the group; (ii) increase in revenue and profit generated from the operating activities of the group; and (iii) decrease of imputed interest charged on convertible bonds.