BEIJING, Aug. 30, 2012 /PRNewswire-Asia-FirstCall/ --
General Steel Holdings, Inc. ("General Steel" or "the Company")
(NYSE: GSI), one of China's
leading non-state-owned producers of steel products and aggregators
of domestic steel companies, today announced that it has filed
amended annual reports on Form 10-K/A for the year ended
December 31, 2010 and amended
quarterly reports on Form 10-Q/A for the quarters ended
June 30, 2010, September 30, 2010 and March 31, 2011 with the U.S. Securities and
Exchange Commission ("SEC").
With these restatements complete, the Company is focused on the
audit process on its outstanding financial statements and expects
to file its quarterly reports on Form 10-Q for the periods ended
June 30, 2011, September 30, 2011, March
31 and June 30, 2012, as well
as its Annual Report on Form 10-K for the year ended December 31, 2011 with SEC as soon as
possible.
"We view the completion of these amended filings as an important
step forward for our Company and are grateful for the tremendous
effort put forth by our finance team, our auditors and the OCA
staff over the last year that has enabled us to reach this stage in
the process," said John Chen, Chief
Financial Officer of General Steel. "We continue to move ahead and
look forward to completing our outstanding filings."
Henry Yu, Chief Executive Officer
of General Steel added, "While our finance team has been intently
focused on resolving these accounting issues, we have made great
progress toward strengthening our operational capabilities to
support the Company's long-term growth. Our business and strategy
remain on track, and we are poised to benefit from the ongoing
investment in the development of China's Greenfield Western region. We have a
solid reputation throughout the industry, partnerships with leading
government-owned entities and a meaningful geographic advantage. We
look forward to leveraging these strengths to advance our business
and help build shareholder value."
As previously disclosed, these amended filings follow a
reassessment of the accounting treatment for certain reimbursements
received from June 2009 to
March 2011 with regard to General
Steel's collaboration with Shaanxi Iron and Steel Group, Co. Ltd.
("Shaanxi Steel") on the construction of manufacturing equipment by
Shaanxi Steel at the Longmen Joint Venture facility.
Following discussions with its current and former auditors and
guidelines from the Office of the Chief Accountant of the SEC, the
Company concluded that, except for the reimbursement for site
preparation costs, the amount of reimbursement previously recorded
as income should be deferred and recognized as a component of the
property that was sub-leased during construction, to be amortized
to income over the remaining term of the 40-year sub-lease. This
deferral had no impact on the Company's previously reported revenue
or cash balances.
About General Steel Holdings, Inc.
General Steel Holdings, Inc., (NYSE: GSI), headquartered in
Beijing, China, operates a diverse
portfolio of Chinese steel companies. With 7 million metric tons of
crude steel production capacity under management, its companies
serve various industries and produce a variety of steel products
including rebar, high-speed wire and spiral-weld pipe. General
Steel Holdings, Inc. has steel operations in Shaanxi and Guangdong provinces, Inner Mongolia Autonomous
Region and Tianjin municipality.
For more information, please visit www.gshi-steel.com.
To be added to the General Steel email list to receive Company
news, please send your request to generalsteel@tpg-ir.com.
Forward-Looking Statements
This press release may contain certain forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. These statements are based on management's
current expectations or beliefs about future events and financial,
political and social trends and assumptions it has made based on
information currently available to it. The Company cannot assure
that any expectations, forecasts or assumptions made by management
in preparing these forward-looking statements will prove accurate,
or that any projections will be realized. Actual results could
differ materially from those projected in the forward-looking
statements as a result of inaccurate assumptions or a number of
risks and uncertainties. These risks and uncertainties are set
forth in the Company's filings under the Securities Act of 1933 and
the Securities Exchange Act of 1934 under "Risk Factors" and
elsewhere, and include: (a) those risks and uncertainties related
to general economic conditions in China, including regulatory factors that may
affect such economic conditions; (b) whether the Company is able to
manage its planned growth efficiently and operate profitable
operations, including whether its management will be able to
identify, hire, train, retain, motivate and manage required
personnel or that management will be able to successfully manage
and exploit existing and potential market opportunities; (c)
whether the Company is able to generate sufficient revenues or
obtain financing to sustain and grow its operations; (d) whether
the Company is able to successfully fulfill our primary
requirements for cash; and (e) other risks, including those
disclosed in the Company's Form 10-K, filed with the SEC.
Forward-looking statements contained herein speak only as of
the date of this release. The Company does not undertake any
obligation to update or revise publicly any forward-looking
statements, whether to reflect new information, future events or
otherwise.
Contact Us
In China:
Jenny Wang
General Steel Holdings, Inc.
Tel: +86-10-5775-7691
Email: jenny.wang@gshi-steel.com
In the US:
The Piacente Group, Inc.
Investor Relations
Brandi Floberg or Lee Roth
Tel: (212) 481-205
Email: generalsteel@tpg-ir.com
SOURCE General Steel Holdings, Inc.