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Hangzhou Iron and Steel shares changed the depreciation meth
According to the Zhejiang provincial government related to the spirit of the meeting, Hangzhou Iron and Steel shares (hereinafter referred to as the company), where the main production and operation of mid base will be in by the end of 2015 shutting down.
March 27, 2015, the ninth meeting of the sixth board of directors considered and adopted a major asset replacement and issue shares to buy assets and raise matching funds and related transactions. After the completion of a major reorganization of assets, the production capacity of the original mid iron and steel base will set out the listed companies, including Ningbo iron and steel, environmental protection and renewable resources, such as business will be placed in the listed company.
In order to strengthen the management of assets after the reorganization of the company, so that after the reorganization of listed company fixed assets depreciation method better reflect the company's financial position and operating results; at the same time, for this major asset reorganization of assets placed related fixed assets depreciation method and the listed company will accounting treatment more matching, better reflect the placement of the assets of the financial position and operating results, the company intends to since June 1, 2015 the depreciation method of fixed assets by the double the original balance descending method is changed to the straight-line method.
Due to the inability to accurately predict changes in the amount of the increase or decrease in fixed assets for the year 2015, the company based on early 2015 the net book value of fixed assets and expected remaining useful life and classification of fixed assets, preliminary estimates, is expected this accounting estimates change will be reduced by 2015 6-12 months total profit 94.54_wan million yuan, to reduce the 94.54_wan million yuan total assets, reduce net assets of 97.68 million yuan.
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