Guangzhou Shipyard International Co. Ltd.'s the unaudited net profit of the company and its subsidiaries (collectively the “Group”) for the first three quarters of 2012 is expected to decrease by more than 50% compared with the published net profit for the same period in 2011. It is also expected that the Group will record a loss for the third quarter of the year ending on September 30, 2012 based on the PRC Accounting Standards and Regulations.