Creative Technology Ltd. reported unaudited consolidated earnings results for the second quarter and six months ended December 31, 2011. For the quarter, the company reported sales, net of $59,547,000 compared to $69,289,000 a year ago. Loss before income tax was $33,787,000 compared to $11,203,000 a year ago. Net loss attributable to equity holders of the company were $33,855,000 or $0.49 per basic and diluted share compared to $10,866,000 or $0.16 per basic and diluted share a year ago. Revenue was lower in the second quarter and first half year of fiscal year 2012 as the group continues to be affected by the difficult market for its products, particularly for the personal digital entertainment products. Gross profit margin was 20% in the second quarter of fiscal year 2012 and 19% in the first half year of fiscal year 2012 compared to 26% in the second quarter of fiscal year 2011 and 25% in the first half year of fiscal year 2011. Gross profit margin in the second quarter and first half year of fiscal year 2012 was lower due to write-down of inventories. For the six months, the company reported sales, net of $109,903,000 compared to $126,516,000 a year ago. Loss before income tax was $63,253,000 compared to $14,701,000 a year ago. Net loss attributable to equity holders of the company were $63,458,000 or $0.91 per basic and diluted share compared to $14,466,000 or $0.21 per basic and diluted share a year ago. Net cash used in operating activities was $10,060,000 compared to $27,783,000 a year ago. Purchase of property and equipment was $5,194,000 compared to $3,776,000 a year ago. The company reported impairment for the second quarter of fiscal 2012. The company reported impairment loss on property and equipment and intangible assets of $15,639,000. Impairment loss on investments was $40,000 compared to $145,000 a year ago.