Shanghai Qingpu fire-fighting equipment Co. Ltd. provided earnings guidance for the first quarter ended March 31, 2015. The board of directors announced that, based on the information currently available, the quarterly results of the Group (i.e. the Company together with its subsidiaries) for the three months ended March 31, 2015 are expected to record a loss attributable to the owners of the Group as compared with the profit in the corresponding period in 2014.

Such loss was mainly attributable to: fine tuning in some production procedures and change of a fuel used due to the tighten up of environmental protection policies in Shanghai leading to the increase in cost of production; a decrease in the revenue because some customers stop ordering or ordering less and decrease in trading business due to the weak economic environment in China; a substantial decrease in gross profit because of price competition in certain type of products.