Parkson Retail Group Limited announced that based on a preliminary assessment on the unaudited consolidated management accounts of the company, its subsidiaries, a joint venture and associated companies the board of directors of the company announced that the group is expected to record a loss attributable to equity holders of the company for the year ended 31 December 2015 as compared to a profit attributable to equity holders recorded for the corresponding year in 2014. Such loss was mainly attributable to (i) a one-off litigation loss recorded in respect of the arbitral award arising from the disputes on the Beijing Metro City Shopping Plaza's Tenancy Agreement as disclosed in the announcements of the company dated 31 March 2015, 24 April 2015 and 27, December 2015 which amounted to RMB 140.9 million; (ii) costs incurred by new business ventures and new stores during their ramp up period; and (iii) increasingly competitive landscape of the retail sector which has led to drops in both sales and gross profit.