Qn:
Thank you for for taking time to answer my questions.
I do have another concern.
From your prospectus,
Expected tax resolution is 46 million and company has set aside 50.2 million in loans for the settlement.
But the maximum amount claimed by the tax bureau is actually $122.4 million, a whopping 74 million difference.
Granted, company has mentioned the discussion is progressing well, but its coming to the end of 2013, and there is no announcement of any resolution yet.
In the event that the tax payable is much higher than what the company has set aside for, how will the company manage the shortfall, but accumulation more loans or reducing payout? Is there a contingency plan? Do the company expect to appeal? Is the judiciary process costly?
Also, the prospectus mentioned hedging loss in pre-IPO years. How is management managing that such that the problem will ......